Document:

Registration Rights Agreement dated December 15, 2004

  
 Exhibit 10.1

  
 REGISTRATION RIGHTS AGREEMENT 
  
 This REGISTRATION RIGHTS AGREEMENT dated December 15, 2004 (the
“Agreement”) is entered into by and among Carrols Corporation, a Delaware corporation (the “Company”), the guarantors listed in Schedule 1 hereto (the “Guarantors”), and J.P. Morgan Securities Inc.
(“JPMorgan”), Banc of America Securities LLC, Lehman Brothers Inc., Wachovia Capital Markets, LLC and SunTrust Capital Markets, Inc. (collectively, the “Initial Purchasers”). 
  
 The Company, the Guarantors and the Initial Purchasers are parties to the
Purchase Agreement dated December 9, 2004 (the “Purchase Agreement”), which provides for the sale by the Company to the Initial Purchasers of $180,000,000 aggregate principal amount of the Company’s 9% Senior Subordinated Notes due
2013 (the “Securities”) which will be guaranteed on an unsecured senior subordinated basis by each of the Guarantors. As an inducement to the Initial Purchasers to enter into the Purchase Agreement, the Company and the Guarantors have
agreed to provide to the Initial Purchasers and their direct and indirect transferees the registration rights set forth in this Agreement. The execution and delivery of this Agreement is a condition to the closing under the Purchase Agreement.

  
 In consideration of the foregoing, the parties hereto agree as
follows: 
  
 1. Definitions. As used in this Agreement, the
following terms shall have the following meanings: 
  
 “Business Day” shall mean any day that is not a Saturday, Sunday or other day on which commercial banks in New York City are authorized or required by law to remain closed. 
  
 “Closing Date” shall mean the Closing Date as defined in the
Purchase Agreement. 
  
 “Company” shall have the meaning
set forth in the preamble and shall also include the Company’s successors. 
  
 “Exchange Act” shall mean the Securities Exchange Act of 1934, as amended from time to time. 
  
 “Exchange Dates” shall have the meaning set forth in Section 2(a)(ii) hereof. 
  

 “Exchange Offer” shall mean the exchange offer by the Company and the Guarantors of Exchange
Securities for Registrable Securities pursuant to Section 2(a) hereof. 
  
 “Exchange Offer Deadline” shall have the meaning set forth in Section 2(d) hereof. 
  
 “Exchange Offer Registration” shall mean a registration under the Securities Act effected pursuant to Section 2(a) hereof. 
  
 “Exchange Offer Registration Statement” shall mean an exchange
offer registration statement on Form S-4 (or, if applicable, on another appropriate form) and all amendments and supplements to such registration statement, in each case including the Prospectus contained therein, all exhibits thereto and any
document incorporated by reference therein. 
  
 “Exchange
Securities” shall mean senior subordinated notes issued by the Company and guaranteed by the Guarantors under the Indenture containing terms identical to the Securities (except that the Exchange Securities will not be subject to restrictions on
transfer or to any increase in annual interest rate for failure to comply with this Agreement) and to be offered to Holders of Securities in exchange for Securities pursuant to the Exchange Offer. 
  
 “Guarantors” shall have the meaning set forth in the preamble and
shall also include any Guarantor’s successors.  
  
 “Holders” shall mean the Initial Purchasers, for so long as they own any Registrable Securities, and each of their successors, assigns and direct and indirect transferees who become owners of Registrable Securities under the
Indenture; provided that for purposes of Sections 4 and 5 of this Agreement, the term “Holders” shall include Participating Broker-Dealers. 
  
 “Indenture” shall mean the Indenture relating to the Securities dated as of December 15, 2004 among the Company, the Guarantors and The Bank of
New York, as trustee, and as the same may be amended from time to time in accordance with the terms thereof. 
  
 “Initial Purchasers” shall have the meaning set forth in the preamble. 
  
 “Inspector” shall have the meaning set forth in Section 3(a)(xiii) hereof. 
  
 “JPMorgan” shall have the meaning set forth in the preamble.

  
 “Majority Holders” shall mean the Holders of a
majority of the aggregate principal amount of the outstanding Registrable Securities; provided that whenever the consent or approval of Holders of a specified percentage of 

  

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Registrable Securities is required hereunder, any Registrable Securities owned directly or indirectly by the Company or any of its affiliates shall not be
counted in determining whether such consent or approval was given by the Holders of such required percentage or amount; and provided, further, that if the Company shall issue any additional Securities under the Indenture prior to consummation of the
Exchange Offer or, if applicable, the effectiveness of any Shelf Registration Statement, such additional Securities and the Registrable Securities to which this Agreement relates shall be treated together as one class for purposes of determining
whether the consent or approval of Holders of a specified percentage of Registrable Securities has been obtained. 
  
 “Participating Broker-Dealers” shall have the meaning set forth in Section 4(a) hereof. 
  
 “Person” shall mean an individual, partnership, limited liability
company, corporation, trust or unincorporated organization, or a government or agency or political subdivision thereof. 
  
 “Prospectus” shall mean the prospectus included in a Registration Statement, including any preliminary prospectus, and any such prospectus as
amended or supplemented by any prospectus supplement, including a prospectus supplement with respect to the terms of the offering of any portion of the Registrable Securities covered by a Shelf Registration Statement, and by all other amendments and
supplements to such prospectus, and in each case including any document incorporated by reference therein. 
  
 “Purchase Agreement” shall have the meaning set forth in the preamble. 
  
 “Registrable Securities” shall mean the Securities; provided that the Securities shall cease to be Registrable
Securities (i) when a Registration Statement with respect to such Securities has been declared effective under the Securities Act and such Securities have been exchanged or disposed of pursuant to such Registration Statement, (ii) when such
Securities are eligible to be sold pursuant to Rule 144(k) (or any similar provision then in force, but not Rule 144A) under the Securities Act or (iii) when such Securities cease to be outstanding. 
  
 “Registration Expenses” shall mean any and all expenses incident to
performance of or compliance by the Company and the Guarantors with this Agreement, including without limitation: (i) all SEC, stock exchange or National Association of Securities Dealers, Inc. registration and filing fees, (ii) all fees and
expenses incurred in connection with compliance with state securities or blue sky laws (including reasonable fees and disbursements of counsel for any Underwriters or Holders in connection with blue sky qualification of any Exchange Securities or
Registrable Securities), (iii) all expenses of any Persons in preparing or assisting in preparing, word processing, printing and distributing any Registration Statement, any Prospectus and any amendments or 

  

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supplements thereto, any underwriting agreements, securities sales agreements or other similar agreements and any other documents relating to the performance
of and compliance with this Agreement, (iv) all rating agency fees, (v) all fees and disbursements relating to the qualification of the Indenture under applicable securities laws, (vi) the fees and disbursements of the Trustee and its counsel, (vii)
the fees and disbursements of counsel for the Company and the Guarantors and, in the case of a Shelf Registration Statement, the fees and disbursements of one counsel for the Holders (which counsel shall be selected by the Majority Holders and which
counsel may also be counsel for the Initial Purchasers) and (viii) the fees and disbursements of the independent public accountants of the Company and the Guarantors, including the expenses of any special audits or “comfort” letters
required by or incident to the performance of and compliance with this Agreement, but excluding fees and expenses of counsel to the Underwriters (other than fees and expenses set forth in clause (ii) above) or the Holders and underwriting discounts
and commissions and brokerage commissions, if any, relating to the sale or disposition of Registrable Securities by a Holder. 
  
 “Registration Statement” shall mean any registration statement of the Company and the Guarantors that covers any of the Exchange Securities or
Registrable Securities pursuant to the provisions of this Agreement and all amendments and supplements to any such registration statement, including post-effective amendments, in each case including the Prospectus contained therein, all exhibits
thereto and any document incorporated by reference therein. 
  
 “SEC” shall mean the United States Securities and Exchange Commission. 
  
 “Securities Act” shall mean the Securities Act of 1933, as amended from time to time. 
  
 “Shelf Additional Interest Date” shall have the meaning set forth in Section 2(d) hereof. 
  
 “Shelf Effectiveness Period” shall have the meaning set forth in
Section 2(b) hereof. 
  
 “Shelf Registration” shall mean
a registration effected pursuant to Section 2(b) hereof. 
  
 “Shelf Registration Statement” shall mean a “shelf” registration statement of the Company and the Guarantors that covers all or a portion of the Registrable Securities (but no other securities unless approved by the
Holders whose Registrable Securities are to be covered by such Shelf Registration Statement) on an appropriate form under Rule 415 under the Securities Act, or any similar rule that may be adopted by the SEC, and all amendments and supplements to

  

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such registration statement, including post-effective amendments, in each case including the Prospectus contained therein, all exhibits thereto and any
document incorporated by reference therein. 
  
 “Staff”
shall mean the staff of the SEC. 
  
 “Trust Indenture
Act” shall mean the Trust Indenture Act of 1939, as amended from time to time. 
  
 “Trustee” shall mean the trustee with respect to the Securities under the Indenture. 
  
 “Underwriter” shall have the meaning set forth in Section 3(e) hereof. 
  
 “Underwritten Offering” shall mean an offering in which Registrable Securities are sold to an Underwriter for
reoffering to the public. 
  
 2. Registration Under the
Securities Act. (a) To the extent not prohibited by any applicable law or applicable interpretations of the Staff, the Company and the Guarantors shall use their reasonable best efforts to (i) cause to be filed an Exchange Offer Registration
Statement covering an offer to the Holders to exchange all the Registrable Securities for Exchange Securities and (ii) have such Registration Statement remain effective until 180 days after the closing of the Exchange Offer. The Company and the
Guarantors shall commence the Exchange Offer promptly after the Exchange Offer Registration Statement is declared effective by the SEC and use their reasonable best efforts to complete the Exchange Offer not later than 30 days after such effective
date. 
  
 The Company and the Guarantors shall commence the
Exchange Offer by mailing the related Prospectus, appropriate letters of transmittal and other accompanying documents to each Holder stating, in addition to such other disclosures as are required by applicable law, substantially the following:

  

	(i)	that the Exchange Offer is being made pursuant to this Agreement and that all Registrable Securities validly tendered and not properly withdrawn will be accepted for exchange;

  

	(ii)	the dates of acceptance for exchange (which shall be a period of at least 20 Business Days from the date such notice is mailed) (the “Exchange Dates”);

  

	(iii)	that any Registrable Security not tendered will remain outstanding and continue to accrue interest but will not retain any rights under this Agreement; 

  

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	(iv)	that any Holder electing to have a Registrable Security exchanged pursuant to the Exchange Offer will be required to surrender such Registrable Security, together with the
appropriate letters of transmittal, to the institution and at the address (located in the Borough of Manhattan, The City of New York) and in the manner specified in the notice, prior to the close of business on the last Exchange Date; and

  

	(v)	that any Holder will be entitled to withdraw its election, not later than the close of business on the last Exchange Date, by sending to the institution and at the address (located
in the Borough of Manhattan, The City of New York) specified in the notice, a telegram, telex, facsimile transmission or letter setting forth the name of such Holder, the principal amount of Registrable Securities delivered for exchange and a
statement that such Holder is withdrawing its election to have such Securities exchanged. 

  
 As a condition to participating in the Exchange Offer, a Holder will be required to represent to the Company and the Guarantors that (i) any Exchange
Securities to be received by it will be acquired in the ordinary course of its business, (ii) at the time of the commencement of the Exchange Offer it has no arrangement or understanding with any Person to participate in the distribution (within the
meaning of the Securities Act) of the Exchange Securities in violation of the provisions of the Securities Act, (iii) it is not an “affiliate” (within the meaning of Rule 405 under the Securities Act) of the Company or any Guarantor and
(iv) if such Holder is a broker-dealer that will receive Exchange Securities for its own account in exchange for Registrable Securities that were acquired as a result of market-making or other trading activities, then such Holder will deliver a
Prospectus in connection with any resale of such Exchange Securities. 
  
 As soon as practicable after the last Exchange Date, the Company and the Guarantors shall: 
  

	(i)	accept for exchange Registrable Securities or portions thereof validly tendered and not properly withdrawn pursuant to the Exchange Offer; and 

  

	(ii)	deliver, or cause to be delivered, to the Trustee for cancellation all Registrable Securities or portions thereof so accepted for exchange by the Company and issue, and cause the
Trustee to promptly authenticate and deliver to each Holder, Exchange Securities equal in principal amount to the principal amount of the Registrable Securities surrendered by such Holder. 

  
 The Company and the Guarantors shall use their reasonable best efforts to
complete the Exchange Offer as provided above and shall comply with the applicable requirements of the Securities Act, the Exchange Act and other applicable laws and regulations in connection with the Exchange Offer. The Exchange Offer shall not be
subject to any conditions, other than that the 

  

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Exchange Offer does not violate any applicable law or applicable interpretations of the Staff. 
  
 (b) In the event that (i) the Company and the Guarantors determine that the Exchange Offer Registration provided for in
Section 2(a) above is not available or may not be completed as soon as practicable after the last Exchange Date because it would violate any applicable law or applicable interpretations of the Staff, (ii) the Exchange Offer is not for any other
reason completed by June 13, 2005 or (iii) any Initial Purchaser shall so request in connection with any offer or sale of Registrable Securities and such request shall state that the Securities held by such Initial Purchaser are not eligible to be
exchanged for Exchange Securities in the Exchange Offer, the Company and the Guarantors shall use their reasonable best efforts to cause to be filed as soon as practicable after such determination, date or request, as the case may be, a Shelf
Registration Statement providing for the sale of all the Registrable Securities by the Holders thereof and to have such Shelf Registration Statement declared effective by the SEC. 
  
 In the event that the Company and the Guarantors are required to file a Shelf Registration Statement pursuant to clause
(iii) of the preceding sentence, the Company and the Guarantors shall use their reasonable best efforts to file and have declared effective by the SEC both an Exchange Offer Registration Statement pursuant to Section 2(a) with respect to all
Registrable Securities and a Shelf Registration Statement (which may be a combined Registration Statement with the Exchange Offer Registration Statement) with respect to offers and sales of Registrable Securities held by the Initial Purchasers after
completion of the Exchange Offer. 
  
 The Company and the
Guarantors agree to use their reasonable best efforts to keep the Shelf Registration Statement continuously effective until the expiration of the period referred to in Rule 144(k) (or any similar rule then in force, but not Rule 144A) under the
Securities Act with respect to the Registrable Securities or such shorter period that will terminate when all the Registrable Securities covered by the Shelf Registration Statement have been sold pursuant to the Shelf Registration Statement (the
“Shelf Effectiveness Period”). The Company and the Guarantors further agree to supplement or amend the Shelf Registration Statement and the related Prospectus if required by the rules, regulations or instructions applicable to the
registration form used by the Company for such Shelf Registration Statement or by the Securities Act or by any other rules and regulations thereunder for shelf registration or if reasonably requested by a Holder of Registrable Securities with
respect to information relating to such Holder, and to use their reasonable best efforts to cause any such amendment to become effective and such Shelf Registration Statement and Prospectus to become usable as soon as thereafter practicable. The
Company and the Guarantors agree to furnish to the Holders of Registrable Securities 

  

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copies of any such supplement or amendment promptly after its being used or filed with the SEC. 
  
 (c) The Company and the Guarantors shall pay all Registration Expenses in connection with any registration pursuant to
Section 2(a) or Section 2(b) hereof. Each Holder shall pay all underwriting discounts and commissions, brokerage commissions and transfer taxes, if any, relating to the sale or disposition of such Holder’s Registrable Securities pursuant to the
Shelf Registration Statement. 
  
 (d) An Exchange Offer
Registration Statement pursuant to Section 2(a) hereof or a Shelf Registration Statement pursuant to Section 2(b) hereof will not be deemed to have become effective unless it has been declared effective by the SEC. 
  
 In the event that either the Exchange Offer is not completed or the Shelf
Registration Statement, if required pursuant to Section 2(b)(i) or Section 2(b)(ii), is not declared effective on or prior to June 13, 2005 (the “Exchange Offer Deadline”), the interest rate on the Registrable Securities will be increased
by (i) 0.25% per annum for the first 90-day period immediately following the Exchange Offer Deadline and (ii) an additional 0.25% per annum with respect to each subsequent 90-day period, up to a maximum of 1.00% per annum of additional interest, in
each case until the Exchange Offer is completed or the Shelf Registration Statement, if required hereby, is declared effective by the SEC or the Securities become freely tradable under the Securities Act. If the Company receives a request by the
Initial Purchasers to file a Shelf Registration Statement pursuant to Section 2(b)(iii), and the Shelf Registration Statement required to be filed thereby is not declared effective by the later of (x) the May 15, 2005 and (y) 90 days after the
delivery of such request by the Initial Purchasers (such later date, the “Shelf Additional Interest Date”), then the annual interest rate borne by the relevant Registrable Securities shall be increased immediately by (i) 0.25% per annum
for the first 90-day period immediately following the Shelf Additional Interest Date and (ii) an additional 0.25% per annum with respect to each subsequent 90-day period, up to a maximum of 1.00% per annum of additional interest, until the Shelf
Registration Statement is declared effective or the Securities become freely tradable under the Securities Act. 
  
 If the Shelf Registration Statement, if required hereby, has been declared effective and thereafter either ceases to be effective or the Prospectus
contained therein ceases to be usable at any time during the Shelf Effectiveness Period, and such failure to remain effective or usable exists for more than 30 days (whether or not consecutive) in any 12-month period, then the interest rate on the
Registrable Securities will be increased by (i) 0.25% per annum for the first 90-day period commencing on the 31st
day in such 12-month period and (ii) an additional 0.25% per annum with respect to each subsequent 90-day period, in each case up to a maximum of 1.00% per annum of additional interest and 

  

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ending on such date that the Shelf Registration Statement has again been declared effective or the Prospectus again becomes usable. 
  
 (e) Without limiting the remedies available to the Initial Purchasers and the
Holders, the Company and the Guarantors acknowledge that any failure by the Company or the Guarantors to comply with their obligations under Section 2(a) and Section 2(b) hereof may result in material irreparable injury to the Initial Purchasers or
the Holders for which there is no adequate remedy at law, that it will not be possible to measure damages for such injuries precisely and that, in the event of any such failure, the Initial Purchasers or any Holder may obtain such relief as may be
required to specifically enforce the Company’s and the Guarantors’ obligations under Section 2(a) and Section 2(b) hereof. 
  
 3. Registration Procedures. (a) In connection with their obligations pursuant to Section 2(a) and Section 2(b) hereof, the Company and the
Guarantors shall as expeditiously as possible: 
  
 (i) prepare and
file with the SEC a Registration Statement on the appropriate form under the Securities Act, which form (x) shall be selected by the Company and the Guarantors, (y) shall, in the case of a Shelf Registration, be available for the sale of the
Registrable Securities by the Holders thereof and (z) shall comply as to form in all material respects with the requirements of the applicable form and include all financial statements required by the SEC to be filed therewith; and use their
reasonable best efforts to cause such Registration Statement to become effective and remain effective for the applicable period in accordance with Section 2 hereof; 
  
 (ii) prepare and file with the SEC such amendments and post-effective amendments to each Registration Statement as may be
necessary to keep such Registration Statement effective for the applicable period in accordance with Section 2 hereof and cause each Prospectus to be supplemented by any required prospectus supplement and, as so supplemented, to be filed pursuant to
Rule 424 under the Securities Act; and keep each Prospectus current during the period described in Section 4(3) of and Rule 174 under the Securities Act that is applicable to transactions by brokers or dealers with respect to the Registrable
Securities or Exchange Securities; 
  
 (iii) in the case of a
Shelf Registration, furnish to each Holder of Registrable Securities, to counsel for the Initial Purchasers, to counsel for such Holders and to each Underwriter of an Underwritten Offering of Registrable Securities, if any, without charge, as many
copies of each Prospectus, including each preliminary Prospectus, and any amendment or supplement thereto, in order to facilitate the sale or other disposition of the Registrable Securities thereunder; and the Company and the Guarantors consent to
the use of such Prospectus and any amendment or supplement thereto in accordance with applicable law by each of the Holders of Registrable Securities and any such 

  

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Underwriters in connection with the offering and sale of the Registrable Securities covered by and in the manner described in such Prospectus or any
amendment or supplement thereto in accordance with applicable law; 
  
 (iv) use their reasonable best efforts to register or qualify the Registrable Securities under all applicable state securities or blue sky laws of such jurisdictions as any Holder of Registrable Securities covered by a Registration
Statement shall reasonably request in writing by the time the applicable Registration Statement is declared effective by the SEC; cooperate with such Holders in connection with any filings required to be made with the National Association of
Securities Dealers, Inc.; and do any and all other acts and things that may be reasonably necessary or advisable to enable each Holder to complete the disposition in each such jurisdiction of the Registrable Securities owned by such Holder;
provided that neither the Company nor any Guarantor shall be required to (1) qualify as a foreign corporation or other entity or as a dealer in securities in any such jurisdiction where it would not otherwise be required to so qualify, (2)
file any general consent to service of process in any such jurisdiction or (3) subject itself to taxation in any such jurisdiction if it is not so subject; 
  
 (v) notify counsel for the Initial Purchasers and, in the case of a Shelf Registration, notify each Holder of Registrable Securities and counsel for such
Holders promptly and, if requested by any such Holder or counsel, confirm such advice in writing (1) when a Registration Statement has become effective and when any post-effective amendment thereto has been filed and becomes effective, (2) of any
request by the SEC or any state securities authority for amendments and supplements to a Registration Statement and Prospectus or for additional information after the Registration Statement has become effective, (3) of the issuance by the SEC or any
state securities authority of any stop order suspending the effectiveness of a Registration Statement or the initiation of any proceedings for that purpose, (4) if, between the effective date of a Shelf Registration Statement and the closing of any
sale of Registrable Securities covered thereby, the representations and warranties of the Company or any Guarantor contained in any underwriting agreement, securities sales agreement or other similar agreement, if any, relating to an offering of
such Registrable Securities cease to be true and correct in all material respects or if the Company or any Guarantor receives any notification with respect to the suspension of the qualification of the Registrable Securities for sale in any
jurisdiction or the initiation of any proceeding for such purpose, (5) of the happening of any event during the period a Shelf Registration Statement is effective that makes any statement made in such Shelf Registration Statement or the related
Prospectus untrue in any material respect or that requires the making of any changes in such Shelf Registration Statement or Prospectus in order to make the statements therein not misleading and (6) of any determination by the Company or any
Guarantor that a post-effective amendment to a Registration Statement would be appropriate; 
  

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 (vi) use their reasonable best efforts to obtain the withdrawal of any order suspending the effectiveness
of a Registration Statement at the earliest possible moment and provide immediate notice to each Holder of the withdrawal of any such order; 
  
 (vii) in the case of a Shelf Registration, furnish to each Holder of Registrable Securities, without charge, at least one conformed copy of each
Registration Statement and any post-effective amendment thereto (without any documents incorporated therein by reference or exhibits thereto, unless requested); 
  

(viii) in the case of a Shelf Registration, cooperate with the Holders of Registrable Securities to facilitate the timely preparation and delivery of
certificates representing Registrable Securities to be sold and not bearing any restrictive legends and enable such Registrable Securities to be issued in such denominations and registered in such names (consistent with the provisions of the
Indenture) as such Holders may reasonably request at least one Business Day prior to the closing of any sale of Registrable Securities; 
  
 (ix) in the case of a Shelf Registration, upon the occurrence of any event contemplated by Section 3(a)(v)(5) hereof, use their reasonable best efforts to
prepare and file with the SEC a supplement or post-effective amendment to such Shelf Registration Statement or the related Prospectus or any document incorporated therein by reference or file any other required document so that, as thereafter
delivered to purchasers of the Registrable Securities, such Prospectus will not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements therein, in the light of the circumstances under which
they were made, not misleading; and the Company and the Guarantors shall notify the Holders of Registrable Securities to suspend use of the Prospectus as promptly as practicable after the occurrence of such an event, and such Holders hereby agree to
suspend use of the Prospectus until the Company and the Guarantors have amended or supplemented the Prospectus to correct such misstatement or omission; 
  
 (x) a reasonable time prior to the filing of any Registration Statement, any Prospectus, any amendment to a Registration Statement or amendment or
supplement to a Prospectus or of any document that is to be incorporated by reference into a Registration Statement or a Prospectus after initial filing of a Registration Statement, provide copies of such document to the Initial Purchasers and their
counsel (and, in the case of a Shelf Registration Statement, to the Holders of Registrable Securities and their counsel) and make such of the representatives of the Company and the Guarantors as shall be reasonably requested by the Initial
Purchasers or their counsel (and, in the case of a Shelf Registration Statement, the Holders of Registrable Securities or their counsel) available for discussion of such document; and the Company and the Guarantors 

  

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shall not, at any time after initial filing of a Registration Statement, file any Prospectus, any amendment of or supplement to a Registration Statement or a
Prospectus, or any document that is to be incorporated by reference into a Registration Statement or a Prospectus, of which the Initial Purchasers and their counsel (and, in the case of a Shelf Registration Statement, the Holders of Registrable
Securities and their counsel) shall not have previously been advised and furnished a copy or to which the Initial Purchasers or their counsel (and, in the case of a Shelf Registration Statement, the Holders of Registrable Securities or their
counsel) shall object; 
  
 (xi) obtain a CUSIP number for all
Exchange Securities or Registrable Securities, as the case may be, not later than the effective date of a Registration Statement; 
  
 (xii) cause the Indenture to be qualified under the Trust Indenture Act in connection with the registration of the Exchange Securities or Registrable
Securities, as the case may be; cooperate with the Trustee and the Holders to effect such changes to the Indenture as may be required for the Indenture to be so qualified in accordance with the terms of the Trust Indenture Act; and execute, and use
their reasonable best efforts to cause the Trustee to execute, all documents as may be required to effect such changes and all other forms and documents required to be filed with the SEC to enable the Indenture to be so qualified in a timely manner;

  
 (xiii) in the case of a Shelf Registration, make available for
inspection by a representative of the Majority Holders (an “Inspector”), a representative of the Underwriters participating in any disposition pursuant to such Shelf Registration Statement, one firm of attorneys and accountants designated
by the Majority Holders and one firm of attorneys and accountants designated by a representative of the Underwriters, at reasonable times and in a reasonable manner, all pertinent financial and other records, documents and properties of the Company
and the Guarantors, and cause the respective officers, directors and employees of the Company and the Guarantors to supply all information reasonably requested by any such Inspector, Underwriter, attorney or accountant in connection with a Shelf
Registration Statement; provided that if any such information is identified by the Company or any Guarantor as being confidential or proprietary, each Person receiving such information shall take such actions as are reasonably necessary to
protect the confidentiality of such information to the extent such action is otherwise not inconsistent with, an impairment of or in derogation of the rights and interests of any Inspector, Holder or Underwriter); 
  
 (xiv) if reasonably requested by any Holder of Registrable Securities covered
by a Shelf Registration Statement, promptly include in a Prospectus supplement or post-effective amendment such information with respect to such Holder as such Holder reasonably requests to be included therein and make all required filings of such
Prospectus supplement or such post-effective 

  

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amendment as soon as the Company has received notification of the matters to be so included in such filing; and 
  
 (xv) in the case of a Shelf Registration, enter into such customary
agreements and take all such other actions in connection therewith (including those requested by the Holders of a majority in principal amount of the Registrable Securities being sold) in order to expedite or facilitate the disposition of such
Registrable Securities including, but not limited to, an Underwritten Offering and in such connection, (1) to the extent possible, make such representations and warranties to the Holders and any Underwriters of such Registrable Securities with
respect to the business of the Company and its subsidiaries and the Registration Statement, Prospectus and documents incorporated by reference or deemed incorporated by reference, if any, in each case, in form, substance and scope as are customarily
made by issuers to underwriters in underwritten offerings and confirm the same if and when requested, (2) obtain opinions of counsel to the Company and the Guarantors (which counsel and opinions, in form, scope and substance, shall be reasonably
satisfactory to the Holders and such Underwriters and their respective counsel) addressed to each selling Holder and Underwriter of Registrable Securities, covering the matters customarily covered in opinions requested in underwritten offerings, (3)
obtain “comfort” letters from the independent certified public accountants of the Company and the Guarantors (and, if necessary, any other certified public accountant of any subsidiary of the Company or any Guarantor, or of any business
acquired by the Company or any Guarantor for which financial statements and financial data are or are required to be included in the Registration Statement) addressed to each selling Holder and Underwriter of Registrable Securities, such letters to
be in customary form and covering matters of the type customarily covered in “comfort” letters in connection with underwritten offerings and (4) deliver such documents and certificates as may be reasonably requested by the Holders of a
majority in principal amount of the Registrable Securities being sold or the Underwriters, and which are customarily delivered in underwritten offerings, to evidence the continued validity of the representations and warranties of the Company and the
Guarantors made pursuant to clause (1) above and to evidence compliance with any customary conditions contained in an underwriting agreement. 
  
 (b) In the case of a Shelf Registration Statement, the Company may require each Holder of Registrable Securities to furnish to the Company such
information regarding such Holder and the proposed disposition by such Holder of such Registrable Securities as the Company and the Guarantors may from time to time reasonably request in writing. 
  
 (c) In the case of a Shelf Registration Statement, each Holder of Registrable
Securities agrees that, upon receipt of any notice from the Company and the Guarantors of the happening of any event of the kind described in Section 3(a)(v)(3) or 3(a)(v)(5) hereof, such Holder will forthwith discontinue 

  

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disposition of Registrable Securities pursuant to the Shelf Registration Statement until such Holder’s receipt of the copies of the supplemented or
amended Prospectus contemplated by Section 3(a)(ix) hereof and, if so directed by the Company and the Guarantors, such Holder will deliver to the Company and the Guarantors all copies in its possession, other than permanent file copies then in such
Holder’s possession, of the Prospectus covering such Registrable Securities that is current at the time of receipt of such notice. 
  
 (d) If the Company and the Guarantors shall give any notice pursuant to Section 3(c) hereof to suspend the disposition of Registrable Securities pursuant
to a Shelf Registration Statement, the Company and the Guarantors shall extend the period during which such Shelf Registration Statement shall be maintained effective pursuant to this Agreement by the number of days during the period from and
including the date of the giving of such notice to and including the date when the Holders of such Registrable Securities shall have received copies of the supplemented or amended Prospectus necessary to resume such dispositions. The Company and the
Guarantors may give any such notice only twice during any 365-day period and any such suspensions shall not exceed 30 days for each suspension and there shall not be more than two suspensions in effect during any 365-day period. 
  
 (e) The Holders of Registrable Securities covered by a Shelf Registration
Statement who desire to do so may sell such Registrable Securities in an Underwritten Offering. In any such Underwritten Offering, the investment bank or investment banks and manager or managers (each an “Underwriter”) that will administer
the offering will be selected by the Majority Holders of such Restrable Securities included in such underwritten offering, subject to the consent of the Company (which shall not be unreasonably withheld or delayed). 
  
 4. Participation of Broker-Dealers in Exchange Offer. (a) The Staff
has taken the position that any broker-dealer that receives Exchange Securities for its own account in the Exchange Offer in exchange for Securities that were acquired by such broker-dealer as a result of market-making or other trading activities (a
“Participating Broker-Dealer”) may be deemed to be an “underwriter” within the meaning of the Securities Act and must deliver a prospectus meeting the requirements of the Securities Act in connection with any resale of such
Exchange Securities. 
  
 The Company and the Guarantors understand
that it is the Staff’s position that if the Prospectus contained in the Exchange Offer Registration Statement includes a plan of distribution containing a statement to the above effect and the means by which Participating Broker-Dealers may
resell the Exchange Securities, without naming the Participating Broker-Dealers or specifying the amount of Exchange Securities owned by them, such Prospectus may be delivered by Participating Broker-Dealers to satisfy their prospectus delivery
obligation under the Securities Act in connection with resales of Exchange 

  

 14 

 
Securities for their own accounts, so long as the Prospectus otherwise meets the requirements of the Securities Act. 
  
 (b) In light of the above, and notwithstanding the other provisions of this
Agreement, the Company and the Guarantors agree to amend or supplement the Prospectus contained in the Exchange Offer Registration Statement for a period of up to 180 days after the last Exchange Date (as such period may be extended pursuant to
Section 3(d) of this Agreement), if requested by the Initial Purchasers or by one or more Participating Broker-Dealers, in order to expedite or facilitate the disposition of any Exchange Securities by Participating Broker-Dealers consistent with the
positions of the Staff recited in Section 4(a) above. The Company and the Guarantors further agree that Participating Broker-Dealers shall be authorized to deliver such Prospectus during such period in connection with the resales contemplated by
this Section 4. 
  
 (c) The Initial Purchasers shall have no
liability to the Company, any Guarantor or any Holder with respect to any request that they may make pursuant to Section 4(b) above. 
  
 5. Indemnification and Contribution. (a) The Company and each Guarantor, jointly and severally, agree to indemnify and hold harmless each Initial
Purchaser and each Holder, their respective affiliates, directors and officers and each Person, if any, who controls any Initial Purchaser or any Holder within the meaning of Section 15 of the Securities Act or Section 20 of the Exchange Act, from
and against any and all losses, claims, damages and liabilities (including, without limitation, reasonable legal fees and other reasonable expenses incurred in connection with any suit, action or proceeding or any claim asserted; such fees and
expenses shall be reimbursed promptly but in no event later than 30 days following the delivery of notice of such fees and expenses), that arise out of, or are based upon, any untrue statement or alleged untrue statement of a material fact contained
in any Registration Statement or any Prospectus (or any amendment or supplement thereto) or any omission or alleged omission to state therein a material fact required to be stated therein or necessary in order to make the statements therein, in the
light of the circumstances under which they were made, not misleading, except insofar as such losses, claims, damages or liabilities arise out of, or are based upon, any untrue statement or omission or alleged untrue statement or omission made in
reliance upon and in conformity with any information relating to any Initial Purchaser or information relating to any Holder furnished to the Company in writing by such Initial Purchaser or Holder through JPMorgan or any selling Holder expressly for
use therein; provided, that upon a final determination by a court of competent jurisdiction after all rights of appeal have expired that any indemnified person was not entitled to payment of such expenses by the Company and the Guarantors
pursuant to this Section 5(a), such indemnified person shall reimburse such payment to the Company and/or the Guarantors, as the case may be. In connection with any Underwritten Offering permitted by Section 3, the Company and the Guarantors,
jointly and severally, will also indemnify the 

  

 15 

 
Underwriters, if any, selling brokers, dealers and similar securities industry professionals participating in the distribution, their respective affiliates
and each Person who controls such Persons (within the meaning of the Securities Act and the Exchange Act) to the same extent as provided above with respect to the indemnification of the Holders, if requested in connection with any Registration
Statement. 
  
 (b) Each Holder agrees, severally and not jointly,
to indemnify and hold harmless the Company, the Guarantors, the Initial Purchasers and the other selling Holders, the directors of the Company and the Guarantors, each officer of the Company and the Guarantors who signed the Registration Statement
and each Person, if any, who controls the Company, the Guarantors, any Initial Purchaser and any other selling Holder within the meaning of Section 15 of the Securities Act or Section 20 of the Exchange Act to the same extent as the indemnity set
forth in paragraph (a) above, but only with respect to any losses, claims, damages or liabilities that arise out of, or are based upon, any untrue statement or omission or alleged untrue statement or omission made in reliance upon and in conformity
with any information relating to such Holder furnished to the Company in writing by or on behalf of such Holder expressly for use in any Registration Statement and any Prospectus. 
  
 (c) If any suit, action, proceeding (including any governmental or regulatory investigation), claim or demand shall be
brought or asserted against any Person in respect of which indemnification may be sought pursuant to either paragraph (a) or (b) above, such Person (the “Indemnified Person”) shall promptly notify the Person against whom such
indemnification may be sought (the “Indemnifying Person”) in writing; provided that the failure to notify the Indemnifying Person shall not relieve it from any liability that it may have under this Section 5 except to the extent
that it has been materially prejudiced (through the forfeiture of substantive rights or defenses) by such failure; and provided, further, that the failure to notify the Indemnifying Person shall not relieve it from any liability that
it may have to an Indemnified Person otherwise than under this Section 5. If any such proceeding shall be brought or asserted against an Indemnified Person and it shall have notified the Indemnifying Person thereof, the Indemnifying Person shall
retain counsel reasonably satisfactory to the Indemnified Person to represent the Indemnified Person and any others entitled to indemnification pursuant to this Section 5 that the Indemnifying Person may designate in such proceeding and shall pay
the fees and expenses of such counsel related to such proceeding, as incurred. In any such proceeding, any Indemnified Person shall have the right to retain its own counsel, but the fees and expenses of such counsel shall be at the expense of such
Indemnified Person unless (i) the Indemnifying Person and the Indemnified Person shall have mutually agreed to the contrary; (ii) the Indemnifying Person has failed within a reasonable time to retain counsel reasonably satisfactory to the
Indemnified Person; (iii) the Indemnified Person shall have reasonably concluded (based upon advice of counsel to the Indemnified Person) that there may be legal defenses available to 

  

 16 

 
it that are different from or in addition to those available to the Indemnifying Person; or (iv) the named parties in any such proceeding (including any
impleaded parties) include both the Indemnifying Person and the Indemnified Person and representation of both parties by the same counsel would be inappropriate due to actual or potential differing interests between them. It is understood and agreed
that the Indemnifying Person shall not, in connection with any proceeding or related proceeding in the same jurisdiction, be liable for the fees and expenses of more than one separate firm (in addition to any local counsel) for all Indemnified
Persons, and that all such fees and expenses shall be reimbursed as soon as practical but in no event later than 30 days following delivery of notice of such fees and expenses. Any such separate firm (x) for any Initial Purchaser, its affiliates,
directors and officers and any control Persons of such Initial Purchaser shall be designated in writing by JPMorgan, (y) for any Holder, its directors and officers and any control Persons of such Holder shall be designated in writing by the Majority
Holders and (z) in all other cases shall be designated in writing by the Company. The Indemnifying Person shall not be liable for any settlement of any proceeding effected without its written consent, but if settled with such consent or if there be
a final judgment for the plaintiff, the Indemnifying Person agrees to indemnify each Indemnified Person from and against any loss or liability by reason of such settlement or judgment. Notwithstanding the foregoing sentence, if at any time an
Indemnified Person shall have requested that an Indemnifying Person reimburse the Indemnified Person for reasonable fees and expenses of counsel as contemplated by this paragraph, the Indemnifying Person shall be liable for any settlement of any
proceeding effected without its written consent if (i) such settlement is entered into more than 60 days after receipt by the Indemnifying Person of such request and (ii) the Indemnifying Person shall not have reimbursed the Indemnified Person in
accordance with such request prior to the date of such settlement. No Indemnifying Person shall, without the written consent of the Indemnified Person, effect any settlement of any pending or threatened proceeding in respect of which any Indemnified
Person is or could have been a party and indemnification could have been sought hereunder by such Indemnified Person, unless such settlement (A) includes an unconditional release of such Indemnified Person, in form and substance reasonably
satisfactory to such Indemnified Person, from all liability on claims that are the subject matter of such proceeding and (B) does not include any statement as to or any admission of fault, culpability or a failure to act by or on behalf of any
Indemnified Person. 
  
 (d) If the indemnification provided for in
paragraphs (a) and (b) above is unavailable to an Indemnified Person or insufficient in respect of any losses, claims, damages or liabilities referred to therein, then each Indemnifying Person under such paragraph, in lieu of indemnifying such
Indemnified Person thereunder, shall contribute to the amount paid or payable by such Indemnified Person as a result of such losses, claims, damages or liabilities (i) in such proportion as is appropriate to reflect the relative benefits received by
the Company and the Guarantors from the offering of the Securities and the 

  

 17 

 
Exchange Securities, on the one hand, and by the Holders from receiving Securities or Exchange Securities registered under the Securities Act, on the other
hand, or (ii) if the allocation provided by clause (i) is not permitted by applicable law, in such proportion as is appropriate to reflect not only the relative benefits referred to in clause (i) but also the relative fault of the Company and the
Guarantors on the one hand and the Holders on the other in connection with the statements or omissions that resulted in such losses, claims, damages or liabilities, as well as any other relevant equitable considerations. The relative fault of the
Company and the Guarantors on the one hand and the Holders on the other shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of a material fact or the omission or alleged omission to state a
material fact relates to information supplied by the Company and the Guarantors or by the Holders and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission. 

 
 (e) The Company, the Guarantors and the Holders agree that it would not be
just and equitable if contribution pursuant to this Section 5 were determined by pro rata allocation (even if the Holders were treated as one entity for such purpose) or by any other method of allocation that does not take account of
the equitable considerations referred to in paragraph (d) above. The amount paid or payable by an Indemnified Person as a result of the losses, claims, damages and liabilities referred to in paragraph (d) above shall be deemed to include, subject to
the limitations set forth above, any legal or other expenses incurred by such Indemnified Person in connection with any such action or claim. Notwithstanding the provisions of this Section 5, in no event shall a Holder be required to contribute any
amount in excess of the amount by which the total price at which the Securities or Exchange Securities sold by such Holder exceeds the amount of any damages that such Holder has otherwise been required to pay by reason of such untrue or alleged
untrue statement or omission or alleged omission. No Person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the Securities Act) shall be entitled to contribution from any Person who was not guilty of such fraudulent
misrepresentation. 
  
 (f) The remedies provided for in this
Section 5 are not exclusive and shall not limit any rights or remedies that may otherwise be available to any Indemnified Person at law or in equity. 
  
 (g) The indemnity and contribution provisions contained in this Section 5 shall remain operative and in full force and effect regardless of (i) any
termination of this Agreement, (ii) any investigation made by or on behalf of the Initial Purchasers or any Holder or any Person controlling any Initial Purchaser or any Holder, or by or on behalf of the Company or the Guarantors or the officers or
directors of or any Person controlling the Company or the Guarantors, (iii) acceptance of any of the Exchange Securities and (iv) any sale of Registrable Securities pursuant to a Shelf Registration Statement. 
  

 18 

 6. General. 
  
 (a) No Inconsistent Agreements. The Company and the Guarantors represent, warrant and agree that (i) the rights
granted to the Holders hereunder do not in any way conflict with and are not inconsistent with the rights granted to the holders of any other outstanding securities issued or guaranteed by the Company or any Guarantor under any other agreement and
(ii) neither the Company nor any Guarantor has entered into, or on or after the date of this Agreement will enter into, any agreement that is inconsistent with the rights granted to the Holders of Registrable Securities in this Agreement or
otherwise conflicts with the provisions hereof. 
  
 (b)
Amendments and Waivers. The provisions of this Agreement, including the provisions of this sentence, may not be amended, modified or supplemented, and waivers or consents to departures from the provisions hereof may not be given unless the
Company and the Guarantors have obtained the written consent of Holders of at least a majority in aggregate principal amount of the outstanding Registrable Securities affected by such amendment, modification, supplement, waiver or consent;
provided that no amendment, modification, supplement, waiver or consent to any departure from the provisions of Section 5 hereof shall be effective as against any Holder of Registrable Securities unless consented to in writing by such Holder.
Any amendments, modifications, supplements, waivers or consents pursuant to this Section 6(b) shall be by a writing executed by each of the parties hereto. 
  
 (c) Notices. All notices and other communications provided for or permitted hereunder shall be made in writing by hand-delivery, registered
first-class mail, telex, telecopier, or any courier guaranteeing overnight delivery (i) if to a Holder, at the most current address given by such Holder to the Company by means of a notice given in accordance with the provisions of this Section
6(c), which address initially is, with respect to the Initial Purchasers, the address set forth in the Purchase Agreement; (ii) if to the Company and the Guarantors, initially at the Company’s address set forth in the Purchase Agreement and
thereafter at such other address, notice of which is given in accordance with the provisions of this Section 6(c); and (iii) to such other persons at their respective addresses as provided in the Purchase Agreement and thereafter at such other
address, notice of which is given in accordance with the provisions of this Section 6(c). All such notices and communications shall be deemed to have been duly given: at the time delivered by hand, if personally delivered; five Business Days after
being deposited in the mail, postage prepaid, if mailed; when answered back, if telexed; when receipt is acknowledged, if telecopied; and on the next Business Day if timely delivered to an air courier guaranteeing overnight delivery. Copies of all
such notices, demands or other communications shall be concurrently delivered by the Person giving the same to the Trustee, at the address specified in the Indenture. 
  

 19 

 (d) Successors and Assigns. This Agreement shall inure to the benefit of and be binding upon the
successors, assigns and transferees of each of the parties, including, without limitation and without the need for an express assignment, subsequent Holders; provided that nothing herein shall be deemed to permit any assignment, transfer or
other disposition of Registrable Securities in violation of the terms of the Purchase Agreement or the Indenture. If any transferee of any Holder shall acquire Registrable Securities in any manner, whether by operation of law or otherwise, such
Registrable Securities shall be held subject to all the terms of this Agreement, and by taking and holding such Registrable Securities such Person shall be conclusively deemed to have agreed to be bound by and to perform all of the terms and
provisions of this Agreement and such Person shall be entitled to receive the benefits hereof. The Initial Purchasers (in their capacity as Initial Purchasers) shall have no liability or obligation to the Company or the Guarantors with respect to
any failure by a Holder to comply with, or any breach by any Holder of, any of the obligations of such Holder under this Agreement. 
  
 (e) Third Party Beneficiaries. Each Holder shall be a third party beneficiary to the agreements made hereunder between the Company and the
Guarantors, on the one hand, and the Initial Purchasers, on the other hand, and shall have the right to enforce such agreements directly to the extent it deems such enforcement necessary or advisable to protect its rights or the rights of other
Holders hereunder. 
  
 (f) Counterparts. This Agreement may
be executed in any number of counterparts and by the parties hereto in separate counterparts, each of which when so executed shall be deemed to be an original and all of which taken together shall constitute one and the same agreement. 

 
 (g) Headings. The headings in this Agreement are for convenience of
reference only, are not a part of this Agreement and shall not limit or otherwise affect the meaning hereof. 
  
 (h) Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of New York. 
  
 (j) Miscellaneous. This Agreement contains the entire agreement
between the parties relating to the subject matter hereof and supersedes all oral statements and prior writings with respect thereto. If any term, provision, covenant or restriction contained in this Agreement is held by a court of competent
jurisdiction to be invalid, void or unenforceable or against public policy, the remainder of the terms, provisions, covenants and restrictions contained herein shall remain in full force and effect and shall in no way be affected, impaired or
invalidated. The Company, the Guarantors and the Initial 

  

 20 

 
Purchasers shall endeavor in good faith negotiations to replace the invalid, void or unenforceable provisions with valid provisions the economic effect of
which comes as close as possible to that of the invalid, void or unenforceable provisions. 
  
 IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first written above. 
  

			
	CARROLS CORPORATION
		
	By:	 	 /s/ Joseph A. Zirkman

	 	 	 Name: Joseph A. Zirkman

	 	 	 Title: Vice President, Secretary and

	 	 	 General Counsel

  

 21 

			
	 CARROLS J.G. CORP.

	 CARROLS REALTY HOLDINGS CORP.

	 CARROLS REALTY I CORP.

	 CARROLS REALTY II CORP.

	 POLLO FRANCHISE, INC.

	 POLLO OPERATIONS, INC.

	 QUANTA ADVERTISING CORP.

	 TACO CABANA, INC.

	 TC LEASE HOLDINGS III, V AND VI, INC.

	 T.C. MANAGEMENT, INC.

	 TP ACQUISITION CORP.,

	 As Guarantors

		
	By:	 	 /s/ Joseph A. Zirkman

			
	 Name:
	 	 Joseph Zirkman

	 Title:
	 	 Vice President

  

			
	 TEXAS TACO CABANA, L.P., as Guarantor

	 By T.C. Management, Inc., as General Partner

		
	 By:
	 	 /s/ Joseph A. Zirkman

			
	 Name:
	 	 Joseph Zirkman

	 Title:
	 	 Vice President

  

 22 

			
	 CABANA BEVCO LLC, as Guarantor

		
	By:	 	 /s/ Shanna Garcia

			
	 Name:
	 	 Shanna Garcia

	 Title:
	 	 Manager

  

			
	CABANA BEVERAGES, INC., as Guarantor
		
	By:	 	 /s/ Shanna Garcia

			
	 Name:
	 	 Shanna Garcia

	 Title:
	 	 President

  

			
	TC BEVCO LLC, as Guarantor
		
	By:	 	 /s/ Shanna Garcia

			
	 Name:
	 	 Shanna Garcia

	 Title:
	 	 Manager

  

 23 

			
	GET REAL, INC., as Guarantor
		
	By:	 	 /s/ Julio Murillo

			
	 Name:
	 	 Julio Murillo

	 Title:
	 	 Vice President

  

 24 

 Confirmed and accepted as of the date first above written: 
  
 J.P. MORGAN SECURITIES INC. 
  
 For itself and on behalf of the several Initial Purchasers 
  

			
		
	By	 	 /s/ Graham Conran

	 	 	Authorized Signatory

  

 25Indenture dated December 15, 2004

  
 Exhibit 10.2

  
 INDENTURE 
  
 Dated as of December 15, 2004 
  
 among 
  
 CARROLS CORPORATION, as Issuer, 
  
 The SUBSIDIARY GUARANTORS named herein 
  
 and 
  
 THE BANK OF NEW YORK, as Trustee 
  

  
 $180,000,000 
  
 9% Senior Subordinated Notes due 2013, Series A 
 9% Senior Subordinated Notes due 2013, Series B 
  

  
 Table of Contents

  

			
	 	  	Page

	 ARTICLE I DEFINITIONS AND INCORPORATION BY REFERENCE
	  	1
		
	 Section 1.01.   Definitions
	  	1
	 Section 1.02.   Incorporation by Reference of Trust Indenture Act
	  	23
	 Section 1.03.   Rules of Construction
	  	24
		
	 ARTICLE II THE SECURITIES
	  	25
		
	 Section 2.01.   Form; Dating and Terms
	  	25
	 Section 2.02.   Execution and Authentication
	  	32
	 Section 2.03.   Registrar and Paying Agent
	  	33
	 Section 2.04.   Paying Agent To Hold Assets in Trust
	  	33
	 Section 2.05.   Holder Lists
	  	34
	 Section 2.06.   Transfer and Exchange
	  	34
	 Section 2.07.   Replacement Securities
	  	37
	 Section 2.08.   Outstanding Securities
	  	38
	 Section 2.09.   Treasury Securities
	  	38
	 Section 2.10.   Temporary Securities
	  	38
	 Section 2.11.   Cancellation
	  	38
	 Section 2.12.   Defaulted Interest
	  	39
	 Section 2.13.   CUSIP, Common Code and ISIN Numbers
	  	40
	 Section 2.14.   Deposit of Moneys
	  	40
		
	 ARTICLE III REDEMPTION
	  	40
		
	 Section 3.01.   Notices to Trustee
	  	40
	 Section 3.02.   Selection of Securities To Be Redeemed
	  	41
	 Section 3.03.   Notice of Redemption
	  	41
	 Section 3.04.   Effect of Notice of Redemption
	  	42
	 Section 3.05.   Deposit of Redemption Price
	  	42
	 Section 3.06.   Securities Redeemed in Part
	  	42
		
	 ARTICLE IV COVENANTS
	  	42
		
	 Section 4.01.   Payment of Securities
	  	42
	 Section 4.02.   Maintenance of Office or Agency
	  	43
	 Section 4.03.   Limitation on Indebtedness
	  	43
	 Section 4.04.   Limitation on Layering
	  	46
	 Section 4.05.   Limitation on Restricted Payments
	  	46
	 Section 4.06.   Limitation on Asset Sales
	  	49
	 Section 4.07.   Limitation on Restrictions on Distributions from Restricted Subsidiaries
	  	52
	 Section 4.08.   Limitation on Liens
	  	53
	 Section 4.09.   Limitation on Affiliate Transactions
	  	54
	 Section 4.10.   Change of Control
	  	54
	 Section 4.11.   Future Subsidiary Guarantees
	  	56
	 Section 4.12.   Designation of Restricted and Unrestricted Subsidiaries
	  	56
	 Section 4.13.   Conduct of Business
	  	57
	 Section 4.14.   Reports to Holders
	  	57

  

			
	 	  	Page

	 Section 4.15.   Corporate Existence
	  	58
	 Section 4.16.   Payment of Taxes and Other Claims
	  	58
	 Section 4.17.   Notice of Defaults
	  	58
	 Section 4.18.   Maintenance of Properties and Insurance
	  	58
	 Section 4.19.   Compliance Certificate
	  	59
	 Section 4.20.   Waiver of Stay, Extension or Usury Laws
	  	59
	 Section 4.21.   Payments for Consent
	  	59
		
	 ARTICLE V MERGERS; SUCCESSOR CORPORATION
	  	60
		
	 Section 5.01.   Merger, Consolidation and Sale of Assets
	  	60
	 Section 5.02.   Successor Corporation Substituted
	  	61
		
	 ARTICLE VI DEFAULT AND REMEDIES
	  	61
		
	 Section 6.01.   Events of Default
	  	61
	 Section 6.02.   Acceleration
	  	62
	 Section 6.03.   Other Remedies
	  	63
	 Section 6.04.   Waiver of Past Default
	  	63
	 Section 6.05.   Control by Majority
	  	64
	 Section 6.06.   Limitation on Suits
	  	64
	 Section 6.07.   Rights of Holders To Receive Payment
	  	64
	 Section 6.08.   Collection Suit by Trustee
	  	64
	 Section 6.09.   Trustee May File Proofs of Claim
	  	65
	 Section 6.10.   Priorities
	  	65
	 Section 6.11.   Undertaking for Costs
	  	65
		
	 ARTICLE VII TRUSTEE
	  	66
		
	 Section 7.01.   Duties of Trustee
	  	66
	 Section 7.02.   Rights of Trustee
	  	66
	 Section 7.03.   Individual Rights of Trustee
	  	68
	 Section 7.04.   Trustee’s Disclaimer
	  	68
	 Section 7.05.   Notice of Defaults
	  	68
	 Section 7.06.   Reports by Trustee to Holders
	  	68
	 Section 7.07.   Compensation and Indemnity
	  	68
	 Section 7.08.   Replacement of Trustee
	  	69
	 Section 7.09.   Successor Trustee by Merger, etc.
	  	70
	 Section 7.10.   Eligibility; Disqualification
	  	70
	 Section 7.11.   Preferential Collection of Claims Against Company
	  	71
	 Section 7.12.   Trustee’s Application for Instruction from the Company
	  	71
	 Section 7.13.   Paying Agents
	  	71
		
	 ARTICLE VIII SUBORDINATION OF SECURITIES
	  	71
		
	 Section 8.01.   Securities Subordinated to Senior Indebtedness
	  	71
	 Section 8.02.   No Payment on Securities in Certain Circumstances
	  	72
	 Section 8.03.   Payment Over of Proceeds upon Dissolution, etc.
	  	72
	 Section 8.04.   Subrogation
	  	73
	 Section 8.05.   Obligations of Company Unconditional
	  	74
	 Section 8.06.   Notice to Trustee
	  	74
	 Section 8.07.   Reliance on Judicial Order or Certificate of Liquidating Agent
	  	75

  

 ii 

			
	 	  	Page

	 Section 8.08.   Trustee’s Relation to Senior Indebtedness
	  	75
	 Section 8.09.   Subordination Rights Not Impaired by Acts or Omissions of the Company or Holders of Senior
Indebtedness
	  	75
	 Section 8.10.   Holders Authorize Trustee To Effectuate Subordination of Securities
	  	76
	 Section 8.11.   This Article Not To Prevent Events of Default
	  	76
	 Section 8.12.   Trustee’s Compensation Not Prejudiced
	  	76
	 Section 8.13.   No Waiver of Subordination Provisions
	  	76
	 Section 8.14.   Subordination Provisions Not Applicable to Money Held in Trust for Holders; Payments May Be Paid Prior to
Dissolution
	  	76
	 Section 8.15.   Acceleration of Securities
	  	77
		
	 ARTICLE IX DISCHARGE OF INDENTURE
	  	77
		
	 Section 9.01.   Termination of Company’s Obligations
	  	77
	 Section 9.02.   Defeasance
	  	78
	 Section 9.03.   Conditions to Legal Defeasance or Covenant Defeasance
	  	79
	 Section 9.04.   Application of Trust Money
	  	80
	 Section 9.05.   Repayment to Company
	  	80
	 Section 9.06.   Reinstatement
	  	80
		
	 ARTICLE X AMENDMENTS, SUPPLEMENTS AND WAIVERS
	  	80
		
	 Section 10.01.   Without Consent of Holders
	  	80
	 Section 10.02.   With Consent of Holders
	  	81
	 Section 10.03.   Compliance with Trust Indenture Act
	  	82
	 Section 10.04.   Revocation and Effect of Consents
	  	82
	 Section 10.05.   Notation on or Exchange of Securities
	  	83
	 Section 10.06.   Trustee To Sign Amendments, etc.
	  	83
		
	 ARTICLE XI SUBSIDIARY GUARANTEE
	  	83
		
	 Section 11.01.   Unconditional Guarantee
	  	83
	 Section 11.02.   Severability
	  	84
	 Section 11.03.   Release of a Subsidiary Guarantor
	  	84
	 Section 11.04.   Limitation of Subsidiary Guarantor’s Liability
	  	85
	 Section 11.05.   Contribution
	  	85
	 Section 11.06.   Subordination of Subrogation and Other Rights
	  	85
		
	 ARTICLE XII SUBORDINATION OF SUBSIDIARY GUARANTEE
	  	85
		
	 Section 12.01.   Subsidiary Guarantee Obligations Subordinated to Guarantor Senior Indebtedness
	  	85
	 Section 12.02.   No Payment on Subsidiary Guarantees in Certain Circumstances
	  	86
	 Section 12.03.   Payment Over of Proceeds upon Dissolution, etc.
	  	86
	 Section 12.04.   Subrogation
	  	87
	 Section 12.05.   Obligations of Subsidiary Guarantors Unconditional
	  	88
	 Section 12.06.   Notice to Trustee
	  	88
	 Section 12.07.   Reliance on Judicial Order or Certificate of Liquidating Agent
	  	89
	 Section 12.08.   Trustee’s Relation to Guarantor Senior Indebtedness
	  	89
	 Section 12.09.   Subordination Rights Not Impaired by Acts or Omissions of the Subsidiary Guarantors or Holders of Guarantor Senior
Indebtedness
	  	90
	 Section 12.10.   Holders Authorize Trustee To Effectuate Subordination of Subsidiary Guarantee
	  	90

  

 iii 

			
	 	  	Page

	 Section 12.11.   This Article Not To Prevent Events of Default
	  	90
	 Section 12.12.   Trustee’s Compensation Not Prejudiced
	  	90
	 Section 12.13.   No Waiver of Subsidiary Guarantee Subordination Provisions
	  	90
	 Section 12.14.   Subordination Provisions Not Applicable to Money Held in Trust for Holders; Payments May Be Paid Prior to
Dissolution
	  	91
	 Section 12.15.   Acceleration of Securities
	  	91
		
	 ARTICLE XIII MISCELLANEOUS
	  	91
		
	 Section 13.01.   Trust Indenture Act Controls
	  	91
	 Section 13.02.   Notices
	  	92
	 Section 13.03.   Communications by Holders with Other Holders
	  	93
	 Section 13.04.   Certificate and Opinion as to Conditions Precedent
	  	93
	 Section 13.05.   Statements Required in Certificate or Opinion
	  	93
	 Section 13.06.   Rules by Trustee, Paying Agent, Registrar
	  	93
	 Section 13.07.   Governing Law
	  	93
	 Section 13.08.   No Recourse Against Others
	  	93
	 Section 13.09.   Successors
	  	94
	 Section 13.10.   Counterpart Originals
	  	94
	 Section 13.11.   Severability
	  	94
	 Section 13.12.   No Adverse Interpretation of Other Agreements
	  	94
	 Section 13.13.   Legal Holidays
	  	94
		
	 SIGNATURES
	  	S-1
		
	 EXHIBIT A
	  	A-1
	 EXHIBIT B
	  	B-1
	 EXHIBIT C
	  	C-1
	 EXHIBIT D
	  	E-1
	 EXHIBIT E
	  	F-1

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

 iv 

 CROSS-REFERENCE TABLE 
  

										
	 Trust Indenture Act Section

	  	 Indenture Section

	  	 
	310 (a)(1)	  	 	  	7.10	 	 	 	  	 
	       (a)(2)	  	 	  	7.10	 	 	 	  	 
	       (a)(3)	  	 	  	N.A.	 	 	 	  	 
	       (a)(4)	  	 	  	N.A.	 	 	 	  	 
	       (a)(5)	  	 	  	7.08	, 7.10.	 	 	  	 
	       (b)    	  	 	  	7.08	; 7.10; 13.02	 	 	  	 
	       (c)    	  	 	  	N.A.	 	 	 	  	 
	311 (a)    	  	 	  	7.11	 	 	 	  	 
	       (b)    	  	 	  	7.11	 	 	 	  	 
	       (c)    	  	 	  	N.A.	 	 	 	  	 
	312 (a)    	  	 	  	2.05	 	 	 	  	 
	       (b)    	  	 	  	13.03	 	 	 	  	 
	       (c)    	  	 	  	13.03	 	 	 	  	 
	313 (a)    	  	 	  	7.06	 	 	 	  	 
	       (b)(1)	  	 	  	7.06	 	 	 	  	 
	       (b)(2)	  	 	  	7.06	 	 	 	  	 
	       (c)    	  	 	  	7.06;	 13.02	 	 	  	 
	       (d)    	  	 	  	7.06	 	 	 	  	 
	314 (a)    	  	 	  	4.14;	 4.19; 13.02	 	 	  	 
	       (b)    	  	 	  	N.A.	 	 	 	  	 
	       (c)(1)	  	 	  	13.04	 	 	 	  	 
	       (c)(2)	  	 	  	13.04	 	 	 	  	 
	       (c)(3)	  	 	  	N.A.	 	 	 	  	 
	       (d)    	  	 	  	N.A.	 	 	 	  	 
	       (e)    	  	 	  	13.05	 	 	 	  	 
	       (f)    	  	 	  	N.A.	 	 	 	  	 
	315 (a)    	  	 	  	7.01	(b)	 	 	  	 
	       (b)    	  	 	  	7.05;	 13.02	 	 	  	 
	       (c)    	  	 	  	7.01	(a)	 	 	  	 
	       (d)    	  	 	  	7.01	(c)	 	 	  	 
	       (e)    	  	 	  	6.11	 	 	 	  	 
	                   316 (a)(last sentence)	  	 	  	2.09	 	 	 	  	 
	              (a)(1)(A)	  	 	  	6.05	 	 	 	  	 
	              (a)(1)(B)	  	 	  	6.04	 	 	 	  	 
	        (a)(2)	  	 	  	N.A.	 	 	 	  	 
	    (b)	  	 	  	6.07	 	 	 	  	 
	    (c)	  	 	  	10.04	 	 	 	  	 
	  317 (a)(1)	  	 	  	6.08	 	 	 	  	 
	         (a)(2)	  	 	  	6.09	 	 	 	  	 
	     (b)	  	 	  	2.04	 	 	 	  	 
	318 (a)  	  	 	  	13.01	 	 	 	  	 

  
 N.A. means Not Applicable. 

 
 NOTE: This Cross-Reference Table shall not, for any purpose, be deemed to be a part of the
Indenture. 
  

 v 

 INDENTURE dated as of December 15, 2004, among CARROLS CORPORATION, a Delaware corporation (the
“Company”), the SUBSIDIARY GUARANTORS named herein and THE BANK OF NEW YORK, a New York banking corporation, as trustee (the “Trustee”). 
  
 Each party hereto agrees as follows for the benefit of each other party and for the equal and ratable benefit of the
Holders: 
  
 ARTICLE I 
  
 DEFINITIONS AND INCORPORATION BY REFERENCE 
  
 Section 1.01. Definitions. 
  
 “Acquired Indebtedness” means Indebtedness of a Person or
any of its Subsidiaries existing at the time such Person becomes a Restricted Subsidiary or at the time it merges or consolidates with the Company or any of its Restricted Subsidiaries or assumed in connection with the acquisition of assets from
such Person and in each case not incurred by such Person in connection with, or in anticipation or contemplation of, such Person becoming a Restricted Subsidiary or such acquisition, merger or consolidation. 
  
 “Additional Restricted Securities” has the meaning set forth
in Section 2.01(b). 
  
 “Additional Securities”
means Additional Restricted Securities and Additional Unrestricted Securities. 
  
 “Additional Unrestricted Securities” has the meaning set forth in Section 2.01(a). 
  
 “Affiliate” means, with respect to any specified Person, any other Person who directly or indirectly through one or more intermediaries
controls, or is controlled by, or is under common control with, such specified Person. The term “control” means the possession, directly or indirectly, of the power to direct or cause the direction of the management and policies of a
Person, whether through the ownership of voting securities, by contract or otherwise; and the terms “controlling” and “controlled” have meanings correlative of the foregoing. 
  
 “Affiliate Transaction” has the meaning set forth in Section
4.09. 
  
 “Agent” means any Registrar, Paying
Agent or co-Registrar. 
  
 “Agent Members” has
the meaning set forth in Section 2.01(e). 
  
 “amend” means amend, modify, supplement, restate or amend and restate, including successively; and “amending” and “amended” have correlative meanings. 
  
 “Asset Acquisition” means: 
  
 (1) an Investment by the Company or any Restricted Subsidiary in any other
Person pursuant to which such Person shall become a Restricted Subsidiary of the Company or any Restricted Subsidiary, or shall be merged with or into the Company or any Restricted Subsidiary; or 
  
 (2) the acquisition by the Company or any Restricted Subsidiary of the assets
of any Person (other than a Restricted Subsidiary) which constitute all or substantially all of the assets of such Person 

  

 
or comprise any division or line of business of such Person or any other properties or assets of such Person other than in the ordinary course of business.

  
 “Asset Sale” means any direct or indirect
sale, issuance, conveyance, transfer, lease (other than operating leases entered into in the ordinary course of business), assignment or other transfer for value by the Company or any of its Restricted Subsidiaries, including any Sale and Leaseback
Transaction, to any Person of; 
  
 (1) any Capital Stock of any
Restricted Subsidiary or 
  
 (2) any other property or assets of
the Company or any Restricted Subsidiary other than in the ordinary course of business; 
  
 Notwithstanding the preceding, the following items shall not be deemed to be Asset Sales: 
  
 (1) a transaction or series of related transactions for which the Company or its Restricted Subsidiaries receive aggregate consideration of less than $2.5
million; 
  
 (2) the sale, lease, conveyance, disposition or other
transfer of all or substantially all of the assets of the Company as permitted by Section 5.01; or 
  
 (3) transactions resulting in a Partnership Investment and a Partnership Loan. 
  
 “Bankruptcy Law” has the meaning set forth in Section 6.01. 
  
 “Board of Directors” means, as to any Person, the board of
directors of such Person or any duly authorized committee of that board of directors. 
  
 “Board Resolution” means, with respect to any Person, a copy of a resolution certified by the Secretary or an Assistant Secretary of such Person to have been duly adopted by the Board of Directors of
such Person and to be in full force and effect on the date of such certification, and delivered to the Trustee. 
  
 “Business Day” means a day that is not a Saturday, Sunday or other day on which banking institutions in New York State are authorized or
required by law to close. 
  
 “Capital Stock”
means: 
  
 (1) in the case of a corporation, any and all shares,
interests, participations or other equivalents (however designated and whether or not voting) of corporate stock, including each class of Common Stock and Preferred Stock of the corporation; and 
  
 (2) in the case of a Person that is not a corporation, any and all
partnership or other equity interests of such Person. 
  
 “Capitalized Lease Obligation” means, as to any Person, the obligations of such Person under a lease that are required to be classified and accounted for as capital lease obligations under GAAP and, for purposes of this
definition, the amount of such obligations at any date shall be the capitalized amount of such obligations at such date, determined in accordance with GAAP. 
  

 2 

 “Cash Equivalents” means: 
  
 (1) marketable direct obligations issued by, or unconditionally Guaranteed by, the United States Government or issued by any
United States Government agency and backed by the full faith and credit of the United States maturing within one year from the date of acquisition; 
  
 (2) marketable direct obligations issued by any state of the United States or any political subdivision of any such state or any public instrumentality of
any state maturing within one year from the date of acquisition thereof and, at the time of acquisition, having one of the two highest ratings obtainable from either S&P or Moody’s; 
  
 (3) commercial paper maturing no more than one year from the date of creation
and, at the time of acquisition, having a rating of at least A-1 from S&P or at least P-1 from Moody’s; 
  
 (4) certificates of deposit or bankers’ acceptances maturing within one year from the date of acquisition issued by any bank organized under the laws
of the United States or any state of the United States or the District of Columbia or any United States branch of a foreign bank having at the date of acquisition combined capital and surplus of at least $250,000,000; 
  
 (5) repurchase obligations with a term of not more than seven days for
underlying securities of the types described in clause (1) above entered into with any bank meeting the qualifications specified in clause (4) above; and 
  
 (6) investments in money market funds which invest substantially all their assets in securities of the types described in clauses (1) through (5) above.

  
 “Change of Control” means the occurrence of
one or more of the following events: 
  
 (1) 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 Restricted
Subsidiaries taken as a whole to any “person” or “group” of related persons (as such terms are used in Section 13(d) and 14(d) of the Exchange Act); 
  
 (2) the adoption of a plan relating to the liquidation or dissolution of the Company or Holdings; 
  
 (3) prior to the earlier to occur of (i) the first public offering of Capital
Stock of Holdings or (ii) the first public offering of Capital Stock of the Company, either 
  
 (a) the Permitted Holders cease to be the “beneficial owner” (as defined in Rules 13d-3 and 13d-5 under the Exchange Act, except
that a Person shall be deemed to have “beneficial ownership” of all shares that any such Person has the right to acquire, whether such right is exercisable immediately or only after the passage of time), directly or indirectly, of 35% in
the aggregate of the total voting power of the Voting Stock of the Company, whether as a result of issuance of securities of the Company, any merger, consolidation, liquidation or dissolution of the Company, any direct or indirect transfer of
securities by Holdings or otherwise; or 
  
 (b)
any “person” or “group” of related persons (as defined in clause (1) above), other than the Permitted Holders, is or becomes the beneficial owner (as defined in subclause (a) above), directly or indirectly, of more of the total
voting power of the Voting Stock of the Company than the Permitted Holders; 
  

 3 

 (4) the consummation of any transaction (including, without limitation, any merger or consolidation) the
result of which is that any “person” or “group” of related persons (as defined in clause (1) above), other than the Permitted Holders, becomes the “beneficial owner” (as defined is subclause (3)(a) above), directly or
indirectly, of more than 50% of the voting power of the Voting Stock of the Company or Holdings; 
  
 (5) the first day on which a majority of the members of the Board of Directors of the Company or Holdings are not Continuing Directors; or 
  
 (6) the Company or Holdings consolidates with, or merges with or into, any
Person, or any Person consolidates with, or merges with or into, the Company or Holdings, in any such event pursuant to a transaction in which any of the outstanding Voting Stock of the Company, Holdings or such other Person is converted into or
exchanged for cash, securities or other property, other than any such transaction where the Voting Stock of the Company or Holdings outstanding immediately prior to such transaction is converted into or exchanged for Voting Stock (other than
Disqualified Capital 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). 
  
 “Change of Control Offer” has the meaning set forth in
Section 4.10(a). 
  
 “Change of Control Payment”
has the meaning set forth in Section 4.10(a). 
  
 “Change
of Control Payment Date” has the meaning set forth in Section 4.10(c)(2). 
  
 “Commodity Obligations” means the obligations of any Person pursuant to any commodity futures contract, commodity option or other similar agreement or arrangement. 
  
 “Common Stock” of any Person means any and all shares,
interests or other participations in, and other equivalents (however designated and whether voting or non-voting) of such Person’s common stock, whether outstanding on the Issue Date or issued after the Issue Date, and includes all series and
classes of such common stock. 
  
 “Company” means
the Person named as the “Company” in the first paragraph of this Indenture until a successor shall have become such pursuant to the applicable provisions of this Indenture, and thereafter “Company” shall mean such successor.

  
 “Company Order” or “Company
Request” means a written order or request signed in the name of the Company by its Chairman of the Board, its Vice Chairman of the Board, its President, a Vice President or its Treasurer, and by an Assistant Treasurer, its Secretary or an
Assistant Secretary, and delivered to the Trustee. 
  
 “Consolidated EBITDA” means, with respect to any Person, for any period, the sum, without duplication, of: 
  
 (1) Consolidated Net Income; and 
  
 (2) to the extent Consolidated Net Income has been reduced thereby, 
  
 (a) all income taxes of such Person and its Restricted Subsidiaries paid or accrued in accordance with GAAP
for such period (other than income taxes attributable to extraordinary, 

  

 4 

 
unusual or nonrecurring gains or losses or taxes attributable to sales or dispositions outside the ordinary course of business); 
  
 (b) Consolidated Interest Expense; 
  
 (c) Consolidated Non-Cash Charges, less any non-cash items
increasing Consolidated Net Income for such period, all as determined on a consolidated basis for such Person and its Restricted Subsidiaries in accordance with GAAP; 
  
 (d) non-recurring cash fees, charges or other expenses in an amount not greater than $2.35 million made or
incurred in the fiscal quarter ended September 30, 2004 in connection with the abandonment of proposed strategic transactions and securities offerings; and 
  
 (e) any non-recurring cash fees, charges or other expenses made or incurred in connection with the offering of the Initial Securities, the
entry into and borrowings under the Senior Credit Facility, the acceptance for payment or redemption of all of the Company’ 91⁄2% Senior Subordinated Notes due 2008 and the payment of a dividend of a portion of the proceeds of the Initial
Securities and borrowing under the Senior Credit Facility to Holdings.  
  
 “Consolidated Fixed Charge Coverage Ratio” means, with respect to any Person, the ratio of Consolidated EBITDA of such Person during the four full fiscal quarters (the “Four Quarter
Period”) ending on or prior to the date of the transaction giving rise to the need to calculate the Consolidated Fixed Charge Coverage Ratio (the “Transaction Date”) to Consolidated Fixed Charges of such Person for the Four
Quarter Period. 
  
 In addition, for purposes of calculating the
“Consolidated Fixed Charge Coverage Ratio,” “Consolidated EBITDA” and “Consolidated Fixed Charges” shall be calculated after giving effect on a pro forma basis for the period of such calculation to the items described
in clauses (1) and (2) below. The pro forma calculations shall be determined in good faith by a responsible financial or accounting officer of the Company and shall comply, to the extent not inconsistent with the provisions of clauses (1) and (2)
below, with the requirements of Rule 11-02 of Regulation S-X under the Securities Act. The pro forma calculations shall give effect to: 
  
 (1) the incurrence or repayment of any Indebtedness of such Person or any of its Restricted Subsidiaries giving rise to the need to make such calculation
and any incurrence or repayment of other Indebtedness, other than the incurrence or repayment of Indebtedness in the ordinary course of business for working capital purposes pursuant to working capital facilities, occurring during the Four Quarter
Period or at any time subsequent to the last day of the Four Quarter Period and on or prior to the Transaction Date, as if such incurrence or repayment, as the case may be, occurred on the first day of the Four Quarter Period; and 
  
 (2) any Asset Sales or Asset Acquisitions (including, without limitation, any
Asset Acquisition giving rise to the need to make such calculation as a result of such Person or one of its Restricted Subsidiaries (including any Person who becomes a Restricted Subsidiary as a result of the Asset Acquisition) incurring, assuming
or otherwise being liable for Acquired Indebtedness and also including any Consolidated EBITDA attributable to the assets which are the subject of the Asset Acquisition or Asset Sale during the Four Quarter Period) occurring during the Four Quarter
Period or at any time subsequent to the last day of the Four Quarter Period and on or prior to the Transaction Date, as if such Asset Sale or Asset Acquisition, including the incurrence, assumption or liability for any such 

  

 5 

 
Acquired Indebtedness, occurred on the first day of the Four Quarter Period in the case of Asset Acquisitions or immediately prior to the first day of the
Four Quarter Period in the case of Asset Sales. 
  
 If such Person or any of its
Restricted Subsidiaries directly or indirectly Guarantees Indebtedness of a third Person, the preceding sentence shall give effect to the incurrence of such Guaranteed Indebtedness as if such Person or any Restricted Subsidiary of such Person had
directly incurred or otherwise assumed such Guaranteed Indebtedness. 
  
 Furthermore, in calculating “Consolidated Fixed Charges” for purposes of determining the denominator (but not the numerator) of this “Consolidated Fixed Charge Coverage Ratio:” 
  
 (1) interest on outstanding Indebtedness determined on a fluctuating basis as
of the Transaction Date and which will continue to be so determined thereafter shall be deemed to have accrued at a fixed rate per annum equal to the rate of interest on such Indebtedness in effect on the Transaction Date; and 
  
 (2) notwithstanding clause (1) above, interest on Indebtedness determined on
a fluctuating basis, to the extent such interest is covered by agreements relating to Interest Swap Obligations, shall be deemed to accrue at the rate per annum resulting after giving effect to the operation of such agreements. 
  
 “Consolidated Fixed Charges” means, with respect to any
Person for any period, the sum, without duplication, of: 
  
 (1)
Consolidated Interest Expense; plus 
  
 (2) the product of (a) the
amount of all dividend payments on any series of Preferred Stock of such Person or its Restricted Subsidiaries (other than dividends paid in Qualified Capital Stock and other than dividends paid with respect to such Preferred Stock held by such
Person or its Restricted Subsidiaries) paid, accrued or scheduled to be paid or accrued during such period times (b) a fraction, the numerator of which is one and the denominator of which is one minus the then-current effective consolidated federal,
state and local tax rate of such Person, expressed as a decimal. 
  
 “Consolidated Interest Expense” means, with respect to any Person for any period, the sum, without duplication, of: 
  
 (1) the aggregate of the interest expense of such Person and its Restricted Subsidiaries for such period determined on a consolidated basis in accordance
with GAAP, including; 
  
 (a) any amortization of
debt discount (and excluding the amortization or write-off of capitalized debt issuance costs), 
  
 (b) the net costs under Interest Swap Obligations, Currency Swap Obligations and Commodity Obligations, 
  
 (c) all capitalized interest, and 
  
 (d) the interest portion of any deferred payment obligation;
and 
  
 (2) the interest component of Capitalized Lease
Obligations, in each case paid, accrued and/or scheduled to be paid or accrued by such Person and its Restricted Subsidiaries during such period as determined on a consolidated basis in accordance with GAAP. 
  

 6 

 In addition, for purposes of calculating “Consolidated Interest Expense,” the Sale and Leaseback Transactions
relating to the Lease Financing Obligations shall be treated as Sale and Leaseback Transactions and not financing transactions as described under the definition of “Consolidated Net Income” below. 
  
 “Consolidated Net Income” means, with respect to any Person,
for any period, the aggregate net income (or loss) of such Person and its Restricted Subsidiaries for such period on a consolidated basis, determined in accordance with GAAP; provided that the following shall be excluded: 
  
 (1) after-tax gains from Asset Sales or abandonments or reserves relating
thereto; 
  
 (2) after-tax items classified as extraordinary or
nonrecurring gains; 
  
 (3) the net income (but not loss) of any
Restricted Subsidiary of the specified Person to the extent that the declaration of dividends or similar distributions by that Restricted Subsidiary of that income is restricted by a contract, operation of law or otherwise; 
  
 (4) the net income of any Person, other than a Restricted Subsidiary, except,
for purposes of Section 4.05, to the extent of cash dividends or distributions paid to the specified Person or to a Restricted Subsidiary of the specified Person by such Person unless, and to the extent, in the case of a Restricted Subsidiary who
receives such dividends or distributions, such Restricted Subsidiary is subject to clause (3) above; 
  
 (5) any restoration to income of any contingency reserve, except to the extent that provision for such reserve was made out of Consolidated Net Income
accrued at any time following the Issue Date; 
  
 (6) income or
loss attributable to discontinued operations, including operations disposed of during such period whether or not such operations were classified as discontinued; 
  
 (7) in the case of a successor to the specified Person by consolidation or merger or as a transferee of the specified
Person’s assets, any earnings of the successor corporation prior to such consolidation, merger or transfer of assets; 
  
 (8) loss or expenses attributable to the combination on October 27, 2004 by Holdings of all of its series of authorized common stock into one series of
common stock; 
  
 (9) loss or expenses attributable to the
distribution or payment by the Company to any employees (including management) or directors who hold options to purchase Holdings Capital Stock within a reasonable time after the Issue Date with the proceeds from the offering of the Initial
Securities and the borrowings under the Senior Credit Facility as described in the offering memorandum relating to the Initial Securities; 
  
 (10) loss or expenses attributable to either 
  
 (a) the payment of any dividends or distributions by the Company to Holdings that Holdings promptly applies to repurchase options to
purchase Holdings’ Capital Stock held by a former employee or 
  
 (b) payment made by the Company to such former employee in consideration for the cancellation of such former employee’s options to purchase Holdings’ Capital Stock; provided, 

  

 7 

 
however, that the aggregate amount of such dividends or distributions or payments shall not exceed $3.0 million; 
  
 (11) loss or expenses attributable to non-cash expenses relating to stock
options or other equity compensation grants or plans; and 
  
 (12)
consolidated impairment charges recorded in connection with the application of Financial Accounting Standard No. 142 “Goodwill and Other Intangibles” and Financial Accounting Standard No. 144 “Accounting for the Impairment or Disposal
of Long Lived Assets,” or any successor pronouncements. 
  
 In addition, for
purposes of calculating “Consolidated Net Income,” (i) there shall be an add-back of amortization associated with the excess of purchase price over the value allocated to tangible property or assets acquired by the Company or its
Restricted Subsidiaries and (ii) the Sale and Leaseback Transactions relating to the Lease Financing Obligations shall be treated as Sale and Leaseback Transactions and not financing transactions (including treating any leases relating to such Lease
Financing Obligations as operating leases, i.e. (A) reducing depreciation expense for the property and plant subject to the Lease Financing Obligations as if they were Sale and Leaseback Transactions and (B) characterizing the lease payments as rent
expense for the restaurants under Sale and Leaseback Transactions instead of principal repayments and interest expense under a financing transaction). 
  
 “Consolidated Non-Cash Charges” means, with respect to any Person, for any period, the aggregate depreciation, amortization and other
non-cash expenses of such Person and its Restricted Subsidiaries reducing Consolidated Net Income of such Person and its Restricted Subsidiaries for such period, determined on a consolidated basis in accordance with GAAP (excluding any such charges
constituting an extraordinary item or loss or any such charge which requires an accrual of or a reserve for cash charges for any future period). 
  
 “Continuing Director” means, as of any date of determination, any member of the Board of Directors of the Company who: 
  
 (1) was a member of such Board of Directors on the Issue Date; or 

 
 (2) was nominated for election or elected to such Board of Directors with
the approval of a majority of the Continuing Directors who were members of such Board at the time of such nomination or election. 
  
 “Corporate Trust Office of the Trustee” shall be at the address of the Trustee specified in Section 13.02 or such other address as the
Trustee may give notice to the Company. 
  
 “Currency Swap
Obligations” means the obligations of any Person pursuant to any foreign exchange contract, currency swap agreement or similar agreement. 
  
 “Custodian” has the meaning set forth in Section 6.01. 
  
 “Default” means an event or condition the occurrence of which is, or with the lapse of time or the giving
of notice or both would be, an Event of Default. 
  
 “Defaulted Interest” has the meaning set forth in Section 2.12. 
  
 “Defeasance Trust Payment” has the meaning set forth in Section 8.02(a). 
  

 8 

 “Definitive Securities” means certificated Securities. 
  
 “Depository” means, with respect to the Securities issued in
the form of one or more Global Securities, The Depository Trust Company or another Person designated as Depository by the Company, which must be a clearing agency registered under the Exchange Act. 
  
 “Designated Guarantor Senior Indebtedness” means, with
respect to a Subsidiary Guarantor, (1) the Guarantee by such Subsidiary Guarantor of the Senior Credit Facility (to the extent such Guarantee of the Senior Credit Facility constitutes Guarantor Senior Indebtedness) and (2) any other Guarantor Senior
Indebtedness which, at the date of determination, has an aggregate principal amount outstanding of, or under which, at the date of determination, the holders thereof are committed to lend up to, at least $20.0 million and is specifically designated
in the instrument evidencing or governing such Guarantor Senior Indebtedness as “Designated Guarantor Senior Indebtedness” for purposes of this Indenture. 
  
 “Designated Senior Indebtedness” means: 
  
 (1) any Indebtedness outstanding under the Senior Credit Facility; and 
  
 (2) any other Senior Indebtedness which, at the time of determination, has an
aggregate principal amount outstanding, together with any commitments to lend additional amounts, of at least $20.0 million, if the instrument governing such Senior Indebtedness expressly states that such Indebtedness is “Designated Senior
Indebtedness” for purposes of this Indenture and a Board Resolution setting forth such designation by the Company has been filed with the Trustee. 
  
 “Designation” has the meaning set forth in Section 4.12(a). 
  
 “Designation Amount” has the meaning set forth in Section 4.12(a). 
  
 “Disqualified Capital Stock” means that portion of any
Capital Stock which, by its terms (or by the terms of any security into which it is convertible or for which it is exchangeable), or upon the happening of any event, matures or is mandatorily redeemable, pursuant to a sinking fund obligation or
otherwise, or is redeemable at the sole option of the holder thereof on or prior to the final maturity date of the Securities. 
  
 “Equity Offering Net Cash Proceeds,” with respect to any issuance or sale of Capital Stock, means the cash proceeds of such issuance or
sale net of attorneys’ fees, accountants’ fees, underwriters’ or placement agents’ fees, listing fees, discounts or commissions and brokerage, consultant and other fees and charges actually incurred in connection with such
issuance or sale and net of taxes paid or payable as a result of such issuance or sale (after taking into account any available tax credit or deductions and any tax sharing arrangements). 
  
 “Event of Default” has the meaning set forth in Section 6.01. 
  
 “Excess Proceeds” has the meaning set forth in Section 4.06.

  
 “Existing Indebtedness” means the aggregate
principal amount of Indebtedness of the Company and its Restricted Subsidiaries in existence on the Issue Date, until the amounts are repaid. 
  
 “Exchange Act” means the Securities Exchange Act of 1934, as amended, or any successor statute or statutes thereto. 
  

 9 

 “Exchange Global Note” has the meaning set forth in Section 2.01(b). 
  
 “Exchange Securities” means the securities issued from time
to time in exchange for Initial Securities or any Additional Securities in an offer registered under the Securities Act as provided in a Registration Rights Agreement. 
  
 “fair market value” means, with respect to any asset or property, the price which could be negotiated in an
arm’s-length, free market transaction, for cash, between a willing seller and a willing and able buyer, neither of whom is under undue pressure or compulsion to complete the transaction. Fair market value shall be determined by the Board of
Directors of the Company acting reasonably and in good faith and shall be evidenced by a Board Resolution of the Board of Directors of the Company delivered to the Trustee. 
  
 “Final Maturity Date” means January 15, 2013. 
  
 “Four Quarter Period” has the meaning set forth in the definition of “Consolidated Fixed Charge
Coverage Ratio” above. 
  
 “Funding
Guarantor” has the meaning set forth in Section 11.05. 
  
 “GAAP” means generally accepted accounting principles 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 may be approved by a significant segment of the accounting profession of the United States, which are in effect as of the Issue Date.

  
 “Global Securities” has the meaning set forth
in Section 2.01(b). 
  
 “Guarantee” means any
obligation, contingent or otherwise, of any Person directly or indirectly Guaranteeing any Indebtedness of any other Person and 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 agreement to keep-well, to purchase assets, goods, securities or services, 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, however, that the term “Guarantee” will not include endorsements
for collection or deposit in the ordinary course of business. The term “Guarantee” used as a verb has a corresponding meaning. 
  
 “Guarantor Senior Indebtedness” means, with respect to any Subsidiary Guarantor, at any date: 
  
 (1) all obligations of such Subsidiary Guarantor under the Senior Credit
Facility; 
  
 (2) all Interest Swap Obligations, Currency Swap
Obligations and Commodity Obligations of such Subsidiary Guarantor; 
  
 (3) all obligations of such Subsidiary Guarantor under standby letters of credit; and 
  

 10 

 (4) all other Indebtedness of such Subsidiary Guarantor, including principal, premium, if any, and
interest (including Post-Petition Interest) on such Indebtedness, unless the instrument under which such Indebtedness of such Subsidiary Guarantor is incurred expressly provides that such Indebtedness for money borrowed is not senior or superior in
right of payment to the Subsidiary Guarantee of such Subsidiary Guarantor, and all renewals, extensions, modifications, amendments or refinancings thereof. 
  
 Notwithstanding the foregoing, Guarantor Senior Indebtedness shall not include: 
  

(1) to the extent that it may constitute Indebtedness, any obligation for federal, state, local or other taxes; 
  
 (2) any Indebtedness among or between such Subsidiary Guarantor and the
Company or any Subsidiary of the Company or any Affiliate of the Company or any of such Affiliate’s Subsidiaries; 
  
 (3) to the extent that it may constitute Indebtedness, any obligation in respect of any trade payable incurred for the purchase of goods or materials, or
for services obtained, in the ordinary course of business; 
  
 (4)
that portion of any Indebtedness that is incurred in violation of this Indenture; 
  
 (5) Indebtedness evidenced by the Subsidiary Guarantees; 
  
 (6) Indebtedness of such Subsidiary Guarantor that is expressly subordinate or junior in right of payment to any other Indebtedness of such Subsidiary Guarantor; 
  
 (7) to the extent that it may constitute Indebtedness, any obligation owing
under leases (other than Capitalized Lease Obligations) or management agreements; 
  
 (8) any Indebtedness or obligation that is senior subordinated Indebtedness; and 
  
 (9) any obligation that by operation of law is subordinate to any general unsecured obligations of such Subsidiary Guarantor. No Indebtedness shall be
deemed to be subordinated to other Indebtedness solely because such other Indebtedness is secured. 
  
 “Holder” means the registered holder of any Security. 
  
 “Holdings” means Carrols Holdings Corporation, including any successor thereto. 
  
 “incur” means, with respect to any Indebtedness or other
obligation of any Person, to create, issue, incur (including by conversion, exchange or otherwise), assume, Guarantee or otherwise become directly or indirectly liable, contingently or otherwise, in respect of such Indebtedness or other obligation
(and “incurrence,” “incurred” and “incurring” shall have meanings correlative to the foregoing). Indebtedness of a Person existing at the time such Person becomes a Restricted Subsidiary or is merged or consolidated
with or into the Company or any Restricted Subsidiary shall be deemed to be incurred at such time. The accrual of interest or the accretion of original issue discount shall not be deemed to be an incurrence. 
  
 “Indebtedness” means with respect to any Person, without
duplication: 
  
 (1) all indebtedness of such Person for borrowed
money; 
  

 11 

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

  
 (3) all Capitalized Lease Obligations of such Person;

  
 (4) all indebtedness of such Person issued or assumed as the
deferred purchase price of property, all conditional sale obligations and all obligations under any title retention agreement, but excluding trade accounts payable and other accrued liabilities arising in the ordinary course of business that are not
overdue by 90 days or more or are being contested in good faith by appropriate proceedings promptly instituted and diligently conducted; 
  
 (5) reimbursement obligations of such Person on any letter of credit, banker’s acceptance or similar credit transaction; 
  
 (6) Guarantees and other contingent obligations in respect of indebtedness or
obligations referred to in clauses (1) through (5) above and clause (8) below; 
  
 (7) all obligations of any other Person of the type referred to in clauses (1) through (6) above which are secured by any lien on any property or asset of such Person, the amount of such obligation being deemed to be
the lesser of the fair market value of such property or asset or the amount of the obligation so secured; 
  
 (8) all Interest Swap Obligations, Currency Swap Obligations and Commodity Obligations of such Person; and 
  
 (9) all Disqualified Capital Stock issued by such Person with the amount of
Indebtedness represented by such Disqualified Capital Stock being equal to the greater of its voluntary or involuntary liquidation preference and its maximum fixed repurchase price, but excluding accrued dividends, if any. For purposes hereof, the
“maximum fixed repurchase price” of any Disqualified Capital Stock which does not have a fixed repurchase price shall be calculated in accordance with the terms of such Disqualified Capital Stock as if such Disqualified Capital Stock were
purchased on any date on which Indebtedness shall be required to be determined pursuant to this Indenture, and if such price is based upon, or measured by, the fair market value of such Disqualified Capital Stock, such fair market value shall be
determined reasonably and in good faith by the Board of Directors of the issuer of such Disqualified Capital Stock. 
  
 “Indenture” means this Indenture, as amended or supplemented from time to time. 
  
 “Independent Financial Advisor” means a firm: 
  
 (1) which does not, and whose directors, officers and employees or Affiliates
do not, have a direct or indirect financial interest in the Company; and 
  
 (2) which, in the judgment of the Board of Directors of the Company, is otherwise independent and qualified to perform the task for which it is to be engaged. 
  
 “Initial Purchasers” means J.P. Morgan Securities Inc., Banc
of America Securities LLC, Lehman Brothers Inc., Wachovia Capital Markets, LLC and SunTrust Capital Markets, Inc. 
  
 “Initial Securities” means the 9% Senior Subordinated Notes due 2013, Series A, of the Company. 
  

 12 

 “Insolvency or Liquidation Proceeding” means, with respect to any Person, any
liquidation, dissolution or winding up of such Person, or any bankruptcy, reorganization, insolvency, receivership or similar proceeding with respect to such Person, whether voluntary or involuntary. 
  
 “Institutional Accredited Investor” or
“IAI” 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. 
  
 “Institutional Accredited Investor Notes” has the meaning set forth in Section 2.01(b). 
  
 “Institutional Accredited Investor Global Note” has the
meaning set forth in Section 2.01(b). 
  
 “interest” means, with respect to the Securities, the sum of any cash interest and any Additional Interest (as defined in the Registration Rights Agreement), including Defaulted Interest, on the Securities. 
  
 “Interest Payment Date” means each semiannual interest
payment date on January 15 and July 15 of each year, commencing July 15, 2005. 
  
 “Interest Record Date” for the interest payable on any Interest Payment Date (except a date for payment of Defaulted Interest) means the January 1 or July 1 (whether or not a Business Day), as the
case may be, immediately preceding such Interest Payment Date. 
  
 “Interest Swap Obligations” means the obligations of any Person pursuant to any arrangement with any other Person, whereby, directly or indirectly, such Person is entitled to receive from time to time periodic payments
calculated by applying either a floating or a fixed rate of interest on a stated notional amount in exchange for periodic payments made by such other Person calculated by applying a fixed or a floating rate of interest on the same notional amount
and shall include interest rate swaps, caps, floors, collars and similar agreements. 
  
 “Investment” means, with respect to any Person, any direct or indirect loan or other extension of credit (including a Guarantee) or capital contribution to, or any purchase or acquisition by, such
Person of any Capital Stock, bonds, notes, debentures or other securities or evidences of Indebtedness issued by, any Person, but shall exclude extensions of trade credit by the Company and its Restricted Subsidiaries on commercially reasonable
terms in accordance with normal trade practices of the Company or such Restricted Subsidiary, as the case may be. For the purposes of Section 4.05: 
  
 (1) “Investment” shall include the applicable Designation Amount of any Restricted Subsidiary as an Unrestricted Subsidiary at the time of the
Designation; and 
  
 (2) the amount of any Investment shall be the
original cost of such Investment plus the cost of all additional Investments by the Company or any of its Restricted Subsidiaries, without any adjustments for increases or decreases in value, or write-ups, write-downs or write-offs with respect to
such Investment, reduced by the payment of dividends or distributions in connection with such Investment or any other amounts received in respect of such Investment; provided that no such payment of dividends or distributions or receipt of
any such other amounts shall reduce the amount of any Investment if such payment of dividends or distributions or receipt of any such amounts would be included in Consolidated Net Income. If the Company or any Restricted Subsidiary sells or
otherwise disposes of any Common Stock of any direct or indirect Restricted Subsidiary such that, after giving effect to any such sale or disposition, the Company no longer owns, directly or indirectly, greater than 50% of the outstanding Common
Stock of such Restricted Subsidiary, the Company shall be deemed to 

  

 13 

 
have made an Investment on the date of any such sale or disposition equal to the fair market value of the Common Stock of such Restricted Subsidiary not sold
or disposed of. 
  
 “Issue Date” means the
original issue date of the Initial Securities, December 15, 2004. 
  
 “Lease Financing Obligations” means the lease financing obligations related to real property leases entered into in connection with Sale and Leaseback Transactions in an aggregate amount of $83.0 million as of September 30,
2004, and any lease financing obligations that arise with respect to the reclassification of Sale and Leaseback Transactions entered into prior to or after the Issue Date; provided that such reclassification is the result of (i) a change in
GAAP accounting rules or interpretive releases or literature or (ii) any requirements by the independent auditors of the Company. 
  
 “Lien” means any lien, mortgage, deed of trust, pledge, security interest, charge or encumbrance of any kind, including any conditional
sale or other title retention agreement, any lease in the nature thereof and any agreement to give any security interest. 
  
 “Moody’s” means Moody’s Investors Service, Inc. 
  
 “Net Cash Proceeds” means, with respect to any Asset Sale, the proceeds in the form of cash or Cash
Equivalents including payments in respect of deferred payment obligations when received in the form of cash or Cash Equivalents, other than the portion of any such deferred payment constituting interest, received by the Company or any of its
Restricted Subsidiaries from such Asset Sale net of: 
  
 (1)
reasonable out-of-pocket expenses and fees relating to such Asset Sale, including legal, accounting and investment banking fees and sales commissions; 
  
 (2) taxes paid or payable after taking into account any reduction in consolidated tax liability due to available tax credits or deductions and any tax
sharing arrangements; 
  
 (3) repayment of Indebtedness that is
required to be repaid in connection with such Asset Sale; and 
  
 (4) appropriate amounts to be provided by the Company or any Restricted Subsidiary, as the case may be, as a reserve, in accordance with GAAP, against any liabilities associated with such Asset Sale and retained by the Company or any
Restricted Subsidiary, as the case may be, after such Asset Sale. 
  
 “Net Proceeds Offer” has the meaning set forth in Section 4.06(a). 
  
 “Net Proceeds Offer Amount” has the meaning set forth in Section 4.06(a). 
  
 “Net Proceeds Offer Payment Date” has the meaning set forth in Section 4.06(a). 
  
 “Net Proceeds Offer Trigger Date” has the meaning set forth
in Section 4.06(a). 
  
 “Non-U.S. Person” means a
Person who is not a U.S. Person (as defined in Regulation S). 
  
 “Officer” means the Chairman, any Vice Chairman, the President, any Vice President, the Chief Financial Officer, the Treasurer or the Secretary of the Company. 
  

 14 

 “Officers’ Certificate” means a certificate signed by two Officers or by an Officer
and an Assistant Treasurer or Assistant Secretary of the Company complying with Sections 13.04 and 13.05. 
  
 “Opinion of Counsel” means a written opinion from legal counsel. The counsel may be an employee of or counsel to the Company. 

 
 “Partnership Investments” mean Investments by the Company
or a Restricted Subsidiary in a Person: 
  
 (1) which holds one or
more restaurant franchises; 
  
 (2) in which the Company or a
Restricted Subsidiary has at least a 20% equity interest and the remaining equity interest is held by a former employee of the Company or a Restricted Subsidiary; and 
  
 (3) which has outstanding Partnership Loans, consistent with past practice. 
  
 “Partnership Loans” means loans made by the Company or a
Restricted Subsidiary to an entity: 
  
 (1) in which the Company
or a Restricted Subsidiary has a Partnership Investment; and 
  
 (2) which finance the acquisition of assets from the Company or a Restricted Subsidiary at fair market value. 
  
 “Paying Agent” has the meaning set forth in Section 2.03. 
  
 “Payment Blockage Notice” see Section 8.02(a). 
  
 “Payment Blockage Period” see Section 8.02(a). 

 
 “Permitted Business” means the business conducted by the
Company and its Restricted Subsidiaries on the Issue Date and any other similar or reasonably related businesses. 
  
 “Permitted Holders” means BIB Holdings (Bermuda) Ltd., Madison Dearborn Capital Partners, L.P., Madison Dearborn Capital Partners II,
L.P., Alan Vituli, Daniel T. Accordino, Michael A. Biviano, Paul R. Flanders, James E. Tunnessen or Joseph A. Zirkman or their respective affiliates or, in the case of a natural person, any entity of which the controlling owners or beneficiaries
consist of such natural person or family members of such natural person. 
  
 “Permitted Indebtedness” has the meaning set forth in Section 4.03. 
  
 “Permitted Investments” means: 
  
 (1) Investments by the Company or any Restricted Subsidiary in any Person that immediately after such Investment will be a Restricted Subsidiary of the
Company; 
  
 (2) Investments in the Company by any Restricted
Subsidiary; provided that any Indebtedness evidencing such Investment is unsecured and subordinated pursuant to a written agreement, to the obligations of the Company under the Securities and this Indenture; 
  
 (3) Investments in cash and Cash Equivalents; 
  

 15 

 (4) loans and advances to employees and officers of the Company and its Restricted Subsidiaries in the
ordinary course of business and permitted by applicable law for bona fide business purposes not in excess of $1.0 million at any one time outstanding; 
  
 (5) Interest Swap Obligations, Currency Swap Obligations and Commodity Obligations entered into in the ordinary course of the Company’s or its
Restricted Subsidiaries’ businesses and otherwise in compliance with this Indenture; 
  
 (6) Investments in securities of trade creditors or customers received pursuant to any plan of reorganization or similar arrangement upon the bankruptcy or insolvency of such trade creditors or customers; 

 
 (7) Investments made by the Company or its Restricted Subsidiaries as a
result of consideration received in connection with an Asset Sale made in compliance with Section 4.06; 
  
 (8) Partnership Loans and Partnership Investments in an aggregate amount not to exceed $5.0 million (without duplication) at any one time outstanding;

  
 (9) Investments made by the Company or any Restricted
Subsidiary of the Company in a Restricted Subsidiary of the Company; and 
  
 (10) other Investments in any Person having an aggregate fair market value (measured on the date each such Investment was made and without giving effect to subsequent changes in value), when taken together with all
other Investments made pursuant to this clause (10) that are at the time outstanding, not to exceed $10.0 million; provided, that the primary business of such Person is a Permitted Business; provided, however, that to the extent that
any Permitted Investment pursuant to this clause (10) is sold for cash or Cash Equivalents or otherwise liquidated or repaid for cash or the Company or a Restricted Subsidiary otherwise receives a cash or Cash Equivalent distribution or other return
on such Permitted Investment, the Company shall be able to make additional Permitted Investments pursuant to this clause (10) in an amount equal to the lesser of (i) the cash or Cash Equivalent return of capital or other distribution or return with
respect to such Permitted Investment, including without limitation repayment of principal of any such Permitted Investment constituting a loan or advance (less any cost of disposition) and (ii) $10.0 million; provided, further, that the
amount of any such cash or Cash Equivalent return of capital or other distribution or return pursuant to subclause (i) immediately preceding this proviso, if applied to increase the availability of Permitted Investments pursuant to this clause (10),
shall be included in determining the amount of Restricted Payments made under the first paragraph of Section 4.05 to the extent that such amounts were included in the calculation of Consolidated Net Income pursuant to such paragraph. 
  
 “Permitted Junior Securities” means any securities of the
Company or any other Person that are: 
  
 (1) equity securities
without special covenants; or 
  
 (2) debt securities expressly
subordinated in right of payment to all Senior Indebtedness that may at the time be outstanding, to substantially the same extent as, or to a greater extent than, the Securities are subordinated as provided in this Indenture, in any event pursuant
to a court order so providing and as to which: 
  
 (a) the rate of interest on such securities shall not exceed the effective rate of interest on the Securities on the Issue Date; 
  

 16 

 (b) such securities shall not be entitled to the benefits of covenants or defaults
materially more beneficial to the holders of such securities than those in effect with respect to the Securities on the Issue Date; and 
  
 (c) such securities shall not provide for amortization (including sinking fund and mandatory prepayment provisions) commencing prior to
the date six months following the final scheduled maturity date of the Senior Indebtedness (as modified by the plan of reorganization or readjustment pursuant to which such securities are issued). 
  
 “Permitted Liens” means: 
  
 (1) Liens imposed by law such as carriers’, warehousemen’s,
landlords’ and mechanics’ Liens and other similar Liens arising in the ordinary course of business which secure payment of obligations not more than 60 days past due or which are being contested in good faith and by appropriate
proceedings; 
  
 (2) Liens existing on the Issue Date; 

 
 (3) Liens securing only the Securities; 
  
 (4) Liens in favor of the Company or any Restricted Subsidiary; 

 
 (5) Liens securing Interest Swap Obligations of the Company so long as the
related Indebtedness is, and is permitted to be under this Indenture, secured by a Lien on the same type of property securing the Interest Swap Obligations; 
  
 (6) Liens for taxes, assessments or governmental charges or claims that are not yet delinquent or that are being contested in good faith by appropriate
proceedings promptly instituted and diligently concluded; provided, however, that any reserve or other appropriate provision as shall be required in conformity with GAAP shall have been made therefor; 
  
 (7) easements, reservation of rights of way, restrictions and other similar
easements, licenses, restrictions on the use of properties, or minor imperfections of title that in the aggregate are not material in amount and do not in any case materially detract from the properties subject thereto or interfere with the ordinary
conduct of the business of the Company and its Restricted Subsidiaries; 
  
 (8) Liens resulting from the deposit of cash or notes in connection with contracts, tenders or expropriation proceedings, or to secure workers’ compensation, surety or appeal bonds, costs of litigation when required by law and public
and statutory obligations or obligations under franchise arrangements entered into in the ordinary course of business; 
  
 (9) judgment Liens not giving rise to an Event of Default; 
  
 (10) Liens securing letters of credit entered into in the ordinary course of business; 
  
 (11) Liens securing Purchase Money Indebtedness so long as the related Indebtedness is, and is permitted to be under this
Indenture, secured by a Lien on the same type of property securing the Purchase Money Indebtedness; and 
  

 17 

 (12) Liens securing Capital Lease Obligations so long as the related Indebtedness is, and is permitted to
be under this Indenture, secured by a Lien on the same type of property securing the Capital Lease Obligations. 
  
 “Permitted Refinancing” means, with respect to any Indebtedness of any Person, any Refinancing of such Indebtedness; provided,
however, that: 
  
 (a) such Indebtedness shall not result in
an increase in the aggregate principal amount of Indebtedness of such Person as of the date of such proposed Refinancing, plus the amount of any premium required to be paid under the terms of the instrument governing such Indebtedness and plus the
amount of reasonable expenses incurred by the Company in connection with such Refinancing; 
  
 (b) such Indebtedness other than Senior Indebtedness shall not have a Weighted Average Life to Maturity that is less than the Weighted Average Life to Maturity of the Indebtedness being Refinanced or a final maturity
earlier than the final maturity of the Indebtedness being Refinanced; and 
  
 (c) if the Indebtedness being Refinanced is subordinate or junior to the Securities, then such Refinancing Indebtedness shall be subordinate or junior to the Securities, as applicable, at least to the same extent and
in the same manner as the Indebtedness being Refinanced. 
  
 “Person” means an individual, partnership, corporation, unincorporated organization, trust or joint venture, or a governmental agency or political subdivision of a governmental agency. 
  
 “Post-Petition Interest” means, with respect to any
Indebtedness of any Person, all interest accrued or accruing on such Indebtedness after the commencement of any Insolvency or Liquidation Proceeding against such Person in accordance with and at the contract rate (including any rate applicable upon
default) specified in the agreement or instrument creating, evidencing or governing such Indebtedness, whether or not, pursuant to applicable law or otherwise, the claim for such interest is allowed as a claim in such Insolvency or Liquidation
Proceeding. 
  
 “Preferred Stock” of any Person
means any Capital Stock of such Person that has preferential rights to any other Capital Stock of such Person with respect to dividends or redemptions or upon liquidation. 
  
 “principal” of a debt security means the principal of the security, plus, when appropriate, the premium, if
any, on the security. 
  
 “Private Placement
Legend” means the legend initially set forth on the Initial Securities in one of the forms set forth in Section 2.01(d) hereto. 
  
 “Public Equity Offering” means an underwritten public offering of Qualified Capital Stock of Holdings or the Company pursuant to a
registration statement filed with the Commission in accordance with the Securities Act; provided, however, that in the event of a Public Equity Offering by Holdings, Holdings contributes to the capital of the Company the portion of the net
cash proceeds of such Public Equity Offering necessary to pay the aggregate redemption price, plus accrued interest to the date of redemption of the Securities to be redeemed pursuant to paragraph 6 of the Securities. 
  
 “Purchase Agreement” means the Purchase Agreement dated as
of December 9, 2004, by and among the Company, the Subsidiary Guarantors and the Initial Purchasers. 
  

 18 

 “Purchase Money Indebtedness” means Indebtedness of the Company and its Restricted
Subsidiaries incurred in the normal course of business for the purpose of financing part of the purchase price, or the cost of installation, construction or improvement, of property or equipment, including restaurant properties and related
franchises and other intangibles; provided, however: 
  
 (1) the Indebtedness shall not exceed 75% of the cost of such property or assets and shall not be secured by any property or assets of the Company or any Restricted Subsidiary other than the property and assets so acquired or constructed;

  
 (2) the Indebtedness constituting such Indebtedness, other
than the refinancing of such Indebtedness, shall have initially been incurred within 270 days of the entering into or incurrence of such underlying obligation; and 
  
 (3) the Lien securing such Indebtedness shall be created within 270 days of such acquisition or construction or, in the case
of a refinancing of any Purchase Money Indebtedness, within 270 days of such refinancing. 
  
 “Qualified Capital Stock” means any Capital Stock that is not Disqualified Capital Stock. 
  
 “Qualified Institutional Buyer” or “QIB” means a “qualified institutional buyer” as that term is defined in
Rule 144A under the Securities Act. 
  
 “redeem”
means redeem, repurchase, defease or otherwise acquire or retire for value; and “redemption” and “redeemed” have correlative meanings. 
  
 “Redemption Date,” when used with respect to any Security to be redeemed, means the date fixed for such redemption pursuant to this
Indenture. 
  
 “redemption price,” when used with
respect to any Security to be redeemed, means the price fixed for such redemption pursuant to this Indenture as set forth in the form of Security annexed hereto as Exhibit A. 
  
 “Reference Date” has the meaning set forth in Section 4.05. 
  
 “Refinance” means, in respect of any security or
Indebtedness, to refinance, extend, renew, refund, repay, prepay, redeem, defease or retire, or to issue a security or Indebtedness in exchange or replacement for, such security or Indebtedness in whole or in part. “Refinanced” and
“Refinancing” shall have correlative meanings. 
  
 “Registrar” has the meaning set forth in Section 2.03. 
  
 “Registration Rights Agreement” means the Registration Rights Agreement dated as of December 15, 2004, by and among the Company, the Subsidiary Guarantors and the Initial Purchasers. 
  
 “Regulation S” means Regulation S under the Securities Act.

  
 “Regulation S Notes” has the meaning set
forth in Section 2.01(b). 
  
 “Regulation S Global
Note” has the meaning set forth in Section 2.01(b). 
  

 19 

 “Replacement Assets” means, with respect to an Asset Sale, properties and assets that
replace the properties and assets that were the subject of such Asset Sale or properties and assets that will be used in a Permitted Business, or the Capital Stock of an entity all of whose assets constitute Replacement Assets. 
  
 “Representative” means the Trustee, agent or representative
(if any) for an issue of Senior Indebtedness. 
  
 “Resale
Restriction Termination Date” has the meaning set forth in Section 2.06(a). 
  
 “Restricted Payment” has the meaning set forth in Section 4.05. 
  
 “Restricted Period” means the “distribution compliance period” applicable to the Company described in Regulation S. 

 
 “Restricted Security” has the meaning set forth in
Section 2.01(a). 
  
 “Restricted Subsidiary”
means any Subsidiary of the Company that at the time of determination is not an Unrestricted Subsidiary. 
  
 “Revocation” has the meaning set forth in Section 4.12(c). 
  
 “Rule 144A” means Rule 144A under the Securities Act. 
  
 “Rule 144A Global Note” has the meaning set forth in Section
2.01(b). 
  
 “Rule 144A Notes” has the meaning
set forth in Section 2.01(b). 
  
 “Sale and Leaseback
Transaction” means any direct or indirect arrangement with any Person or to which any such Person is a party, providing for the leasing to the Company or a Restricted Subsidiary of any property, whether owned by the Company or any
Restricted Subsidiary at the Issue Date or later acquired, which has been or is to be sold or transferred by the Company or such Restricted Subsidiary to such Person or to any other Person from whom funds have been or are to be advanced by such
Person on the security of such property. 
  
 “S&P” means Standard & Poor’s Rating Services. 
  
 “SEC” or “Commission” means the Securities and Exchange Commission. 
  
 “Securities” means, collectively, the Initial Securities, the Exchange Securities and any Additional Securities treated as a single class
of securities, as amended or supplemented from time to time in accordance with the terms of this Indenture. 
  
 “Securities Act” means the Securities Act of 1933, as amended, and the rules and regulations promulgated by the SEC thereunder.

  
 “Securities Custodian” means the custodian
with respect to the Global Securities (as appointed by DTC), or any successor Person thereto and shall initially be the Trustee. 
  
 “Securities Register” has the meaning set forth in Section 2.03. 
  

 20 

 “Senior Credit Facility” means the Loan Agreement dated as of December 15, 2004, among
the Company, JPMorgan Chase Bank, N.A., as agent, and the lenders party to the agreement in their capacities as lenders, together with the related documents (including any Guarantee agreements and security documents), in each case as such agreements
may be amended, including any amendment and restatement thereof, supplemented or otherwise modified from time to time, including any agreement extending the maturity of, refinancing, replacing or otherwise restructuring, including increasing the
amount of available borrowings thereunder (provided that such increase in borrowings is permitted by Section 4.03) or adding Restricted Subsidiaries of the Company as additional borrowers or guarantors thereunder, all or any portion of
Indebtedness under such agreement or any successor or replacement agreement and whether by the same or any other agent, lender, or group of lenders; provided that the Senior Credit Facility shall not (i) include Indebtedness issued, created
or incurred pursuant to a registered offering of securities under the Securities Act or a private placement of securities (including under Rule 144A or Regulation S) pursuant to an exemption from the registration requirements of the Securities Act
or (ii) relate to Indebtedness that does not consist exclusively of Senior Indebtedness or Guarantor Senior Indebtedness. 
  
 “Senior Indebtedness” means, as to any Person, at any date: 
  
 (1) all obligations of such Person under the Senior Credit Facility; 
  
 (2) all Interest Swap Obligations, Currency Swap Obligations and Commodity
Obligations of such Person; 
  
 (3) all obligations of such Person
under standby letters of credit; and 
  
 (4) all other
Indebtedness of such Person, including principal, premium, if any, and interest, including Post-Petition Interest, on such Indebtedness, unless the instrument under which such Indebtedness is incurred expressly provides that such Indebtedness is not
senior or superior in right of payment to the Securities, and all renewals, extensions, modifications, amendments or Refinancings thereof. 
  
 Notwithstanding the foregoing, Senior Indebtedness shall not include: 
  
 (1) any obligation for federal, state, local or other taxes; 
  
 (2) any Indebtedness among or between the Company and any Subsidiary of the Company or any Affiliate of the Company or any of such Affiliate’s
Subsidiaries; 
  
 (3) any obligation in respect of any trade
payable incurred for the purchase of goods or materials, or for services obtained, in the ordinary course of business; 
  
 (4) that portion of any Indebtedness that is incurred in violation of this Indenture; 
  
 (5) Indebtedness evidenced by the Securities; 
  
 (6) Indebtedness of such Person that is expressly subordinate or junior in right of payment to any other Indebtedness of
such Person; 
  
 (7) any obligation owing under leases, other than
Capitalized Lease Obligations, including financing leases, or management agreements; 
  

 21 

 (8) any Indebtedness or obligation that is senior subordinated Indebtedness; and 
  
 (9) any obligation that by operation of law is subordinate to any general
unsecured obligations of the Company. No Indebtedness shall be deemed to be subordinated to other Indebtedness solely because such other Indebtedness is secured. 
  
 “Significant Subsidiary,” with respect to any Person, means any Restricted Subsidiary of such Person that
satisfies the criteria for a “significant subsidiary” set forth in Rule 1-02(w) of Regulation S-X under the Securities Act. 
  
 “Special Interest Payment Date” has the meaning set forth in Section 2.12(a). 
  
 “Special Record Date” has the meaning set forth in Section
2.12(a). 
  
 “Stated Maturity,” when used with
respect to any Security or any installment of interest thereon, means the date specified in such Security as the fixed date on which the principal of such Security or such installment of interest is due and payable. 
  
 “Subsidiary,” with respect to any Person, means: 

 
 (1) any corporation of which the outstanding Capital Stock having at least
a majority of the votes entitled to be cast in the election of directors under ordinary circumstances shall at the time be owned, directly or indirectly, by such Person; or 
  
 (2) any other Person of which at least a majority of the voting interest under ordinary circumstances is at the time,
directly or indirectly, owned by such Person. 
  
 “Subsidiary Guarantee” has the meaning set forth in Section 11.01. 
  
 “Subsidiary Guarantor” means each of: 
  
 (1) Cabana Bevco LLC, Cabana Beverages, Inc., Carrols J.G. Corp., Carrols Realty Holdings Corp., Carrols Realty I Corp., Carrols Realty II Corp., Get Real, Inc., Pollo Franchise, Inc., Pollo Operations, Inc., Quanta
Advertising Corp., Taco Cabana, Inc., TC Bevco LLC, TC Lease Holdings III, V and VI, Inc., T.C. Management, Inc., Texas Taco Cabana, L.P. and TP Acquisition Corp.; and 
  
 (2) each of the Restricted Subsidiaries that in the future executes a supplemental indenture in which such Restricted
Subsidiary agrees to be bound by the terms of the Indenture as a Subsidiary Guarantor. 
  
 “Surviving Entity” has the meaning set forth in Section 5.01(a). 
  
 “TIA” means the Trust Indenture Act of 1939 (15 U.S. Code ss.ss. 77aaa-77bbbb), as amended, as in effect on the Issue Date (except as
provided in Section 10.03) until such time as this Indenture is qualified under the TIA, and thereafter as in effect on the date on which this Indenture is qualified under the TIA. 
  
 “Transaction Date” has the meaning set forth in the definition of “Consolidated Fixed Charge Coverage
Ratio” above. 
  

 22 

 “Trust Officer” means any officer within the corporate trust department (or any
successor group of the Trustee) including any vice president, assistant vice president, or any other officer or assistant officer of the Trustee customarily performing functions similar to those performed by the persons who at that time shall be
such officers, and also means, with respect to a particular corporate trust matter, any other officer to whom such trust matter is referred because of his knowledge of and familiarity with the particular subject and who shall have direct
responsibility for the administration of this Indenture. 
  
 “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 this Indenture and thereafter means such successor. 
  
 “Unrestricted Subsidiary” of any Person means: 

 
 (1) any Subsidiary of such Person that at the time of determination shall
be or continue to be designated an Unrestricted Subsidiary by the Board of Directors of such Person in the manner provided in Section 4.12 and 
  
 (2) any Subsidiary of an Unrestricted Subsidiary. 
  
 On the Issue Date, Cabana Club of Lewisville No. One, Inc. (#139), Cabana Club of Ft. Worth, Inc. (#146), Cabana Club of Conroe, Inc. (#149), Cabana Club
of Pasadena, Inc. (#176), Cabana Club of Webb Chapel, Inc. (#191), Cabana Club of Preston, Inc. (#194), Cabana Club of Plano, Inc. (#197), Cabana Club of Lewisville No. Two, Inc. (#232), Cabana Club of McKinney, Inc. (#240), Cabana Club of Denton,
Inc (#248), Cabana Club of Broadway, Inc. (#266), Cabana Club of Cockrell Hill, Inc. (#265), Carrols Enterprises, Inc., Colorado Cabana, Inc., Taco Cabana Atlanta, Inc., Two Pesos Private Club #1 (#701) and Two Pesos Private Club #3 (#703) shall be
the only Unrestricted Subsidiaries. 
  
 “Voting
Stock” of a corporation means all classes of Capital Stock of such corporation then outstanding and normally entitled to vote in the election of directors. 
  
 “Weighted Average Life to Maturity” means, when applied to any Indebtedness at any date, the number of
years obtained by dividing: 
  
 (1) the then outstanding aggregate
principal amount of such Indebtedness; into 
  
 (2) the sum of the
total of the products obtained by multiplying (a) the amount of each then remaining installment, sinking fund, serial maturity or other required payment of principal, including payment at final maturity, in respect thereof, by (b) the number of
years (calculated to the nearest one-twelfth) which will elapse between such date and the making of such payment. 
  
 “Wholly-Owned Restricted Subsidiary” of any Person means any Restricted Subsidiary of such Person of which all the outstanding voting
securities (other than in the case of a foreign Restricted Subsidiary, directors’ qualifying shares or an immaterial amount of shares required to be owned by other Persons pursuant to applicable law) are owned by such Person or any Wholly-Owned
Restricted Subsidiary 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: 
  
 “Commission” means the SEC. 
  

 23 

 “indenture securities” means the Securities and the Subsidiary Guarantees. 

 
 “indenture security holder” means a Holder. 

 
 “indenture to be qualified” means this Indenture.

  
 “indenture trustee” or “institutional
trustee” means the Trustee. 
  
 “obligor” on the indenture securities means the Company, a Subsidiary Guarantor or any other obligor on the Securities. 
  
 All other TIA terms used in this Indenture that are defined by the TIA, defined by TIA reference to another statute or defined by SEC rule and not
otherwise defined herein have the meanings assigned to them therein. 
  
 Section 1.03. Rules of Construction. 
  
 Unless
the context otherwise requires: 
  
 (1) a term
has the meaning assigned to it; 
  
 (2) an
accounting term not otherwise defined has the meaning assigned to it in accordance with GAAP; 
  
 (3) “or” is not exclusive; 
  
 (4) “including” means including without limitation; 
  
 (5) words in the singular include the plural, and words in the plural include the singular; 
  
 (6) the principal amount of any noninterest bearing or other
discount security at any date shall be the principal amount thereof that would be shown on a balance sheet of the issuer dated such date prepared in accordance with GAAP; 
  
 (7) the principal amount of any Preferred Stock shall be (i) the maximum liquidation value of such Preferred
Stock or (ii) the maximum mandatory redemption or mandatory repurchase price with respect to such Preferred Stock, whichever is greater; 
  
 (8) all amounts expressed in this Indenture or in any of the Securities in terms of money refer to the lawful currency of the United
States; 
  
 (9) provisions apply to successive
events and transactions; and 
  
 (10)
“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. 
  

 24 

  
 ARTICLE II 

 
 THE SECURITIES 
  
 Section 2.01. Form; Dating and Terms. 
  
 (a) The aggregate principal amount of Securities that may be authenticated
and delivered under this Indenture is unlimited. The Initial Securities issued on the date hereof will be in an aggregate principal amount of $180,000,000. In addition, the Company may issue, from time to time in accordance with the provisions of
this Indenture, Additional Securities and Exchange Securities. Furthermore, Securities may be authenticated and delivered upon registration or transfer, or in lieu of, other Securities pursuant to Section 2.06, 2.07, 2.10 or 10.5 or in connection
with a Change of Control Offer pursuant to Section 4.10. Securities shall be dated the date of their authentication. 
  
 The Initial Securities shall be known and designated as “9% Senior Subordinated Notes due 2013, Series A” of the Company. Additional Securities
issued as securities bearing one of the Private Placement Legends (“Restricted Securities”) shall be known and designated as “9% Senior Subordinated Notes due 2013, Series A” of the Company. Additional Securities issued
other than as Restricted Securities shall be known and designated as “9% Senior Subordinated Notes due 2013, Series B” of the Company (“Additional Unrestricted Securities”), and Exchange Securities shall be known and
designated as “9% Senior Subordinated Notes due 2013, Series B” of the Company. 
  
 With respect to any Additional Securities, the Company shall set forth in (a) a Board Resolution of the Company and (b) (i) an Officers’ Certificate or (ii) one or more indentures supplemental hereto, the
following information: 
  
 (A) the aggregate
principal amount of such Additional Securities to be authenticated and delivered pursuant to this Indenture; 
  
 (B) the issue price and the issue date of such Additional Securities, including the date from which interest shall accrue; and 

 
 (C) whether such Additional Securities shall be
Restricted Securities issued in the form of Exhibit A hereto and/or shall be issued in the form of Exhibit B hereto. 
  
 The Initial Securities, the Exchange Securities and any Additional Securities shall be considered collectively as a single class for all purposes of this
Indenture. Holders of the Initial Securities, the Exchange Securities and any Additional Securities will vote and consent together on all matters to which such Holders are entitled to vote or consent as one class, and none of the Holders of the
Initial Securities, the Additional Securities or the Exchange Securities shall have the right to vote or consent as a separate class on any matter to which such Holders are entitled to vote or consent. 
  
 If any of the terms of any Additional Securities are established by action
taken pursuant to a Board Resolution of the Company, the Board Resolution shall be delivered to the Trustee at or prior to the delivery of the Officers’ Certificate or the indenture supplemental hereto setting forth the terms of the Additional
Securities. 
  
 (b) The Initial Securities are being offered and
sold by the Company pursuant to the Purchase Agreement. The Initial Securities and any Additional Securities (if issued as Restricted Securities) (the “Additional Restricted Securities”) will be resold initially only to (A) QIBs in
reliance on Rule 144A 

  

 25 

 
and (B) Non-U.S. Persons in reliance on Regulation S. Such Initial Securities and Additional Restricted Securities may thereafter be transferred to, among
others, QIBs, purchasers in reliance on Regulation S and IAIs in accordance with Rule 501 of the Securities Act, in each case, in accordance with the procedure described herein. Additional Securities offered after the date hereof may be offered and
sold by the Company from time to time pursuant to one or more purchase agreements in accordance with applicable law. 
  
 Initial Securities and Additional Restricted Securities offered and sold to QIBs in the United States in reliance on Rule 144A (the “Rule 144A
Notes”) shall be issued in the form of a permanent global Security, without interest coupons, substantially in the form of Exhibit A, which is hereby incorporated by reference and made a part of this Indenture, including appropriate legends
as set forth in Section 2.01(d) (the “Rule 144A Global Note”), deposited with the Trustee, as custodian for DTC, duly executed by the Company and authenticated by the Trustee as hereinafter provided. The Rule 144A Global Note may be
represented by more than one certificate, if so required by DTC’s rules regarding the maximum principal amount to be represented by a single certificate. The aggregate principal amount of the Rule 144A Global Note may from time to time be
increased or decreased by adjustments made on the Rule 144A Global Note and on the records of the Trustee, as custodian for DTC or its nominee, as hereinafter provided. 
  
 Initial Securities and Additional Securities offered and sold outside the United States (the “Regulation S
Notes”) in reliance on Regulation S shall be issued in the form of a permanent global Security, without interest coupons, substantially in the form of Exhibit A including appropriate legends as set forth in Section 2.01(d) (the
“Regulation S Global Note”). The Regulation S Global Note will be deposited upon issuance with the Trustee, as custodian for DTC, duly executed by the Company and authenticated by the Trustee as hereinafter provided. During the
Restricted Period, interests in the Regulation S Global Note may be transferred to Non-U.S. Persons pursuant to Regulation S or to QIBs and IAIs in accordance with this Indenture. 
  
 The Regulation S Global Note may be represented by more than one certificate, if so required by DTC’s rules regarding
the maximum principal amount to be represented by a single certificate. The aggregate principal amount of the Regulation S Global Note may from time to time be increased or decreased by adjustments made on the Regulation S Global Note and on the
records of the Trustee, as custodian for DTC or its nominee, as hereinafter provided. 
  
 Initial Securities and Additional Securities resold to IAIs (the “Institutional Accredited Investor Notes”) in the United States shall be issued in the form of a permanent global Security, without
interest coupons, substantially in the form of Exhibit A including appropriate legends as set forth in Section 2.01(d) (the “Institutional Accredited Investor Global Note”) deposited with the Trustee, as custodian for DTC, duly
executed by the Company and authenticated by the Trustee as hereinafter provided. The Institutional Accredited Investor Global Note may be represented by more than one certificate, if so required by DTC’s rules regarding the maximum principal
amount to be represented by a single certificate. The aggregate principal amount of the Institutional Accredited Investor Global Note may from time to time be increased or decreased by adjustments made on the Institutional Accredited Investor Note
and on the records of the Trustee, as custodian for DTC or its nominee, as hereinafter provided. 
  
 Exchange Securities exchanged for interests in the Rule 144A Notes, the Regulation S Notes and the Institutional Accredited Investor Notes will be issued
in the form of a permanent global Security, without interest coupons, substantially in the form of Exhibit B, which is hereby incorporated by reference and made a part of this Indenture, deposited with the Trustee as hereinafter provided, 

  

 26 

 
including the appropriate legend set forth in Section 2.01(d) (the “Exchange Global Note”). The Exchange Global Note will be deposited upon
issuance with, or on behalf of, the Trustee as custodian for DTC, duly executed by the Company and authenticated by the Trustee as hereinafter provided. The Exchange Global Note may be represented by more than one certificate, if so required by
DTC’s rules regarding the maximum principal amount to be represented by a single certificate. 
  
 The Rule 144A Global Note, the Regulation S Global Note, the Institutional Accredited Investor Global Note and the Exchange Global Note are sometimes
collectively herein referred to as the “Global Securities.” 
  
 The principal of (and premium, if any) and interest on the Securities shall be payable at the office or agency of the Company maintained for such purpose in the Borough of Manhattan, The City of New York, State of New
York, or at such other office or agency of the Company as may be maintained for such purpose pursuant to Section 2.03; provided, however, that, at the option of the Company, each installment of interest may be paid by (i) check mailed to
addresses of the Persons entitled thereto as such addresses shall appear on the Securities Register or (ii) wire transfer to an account located in the United States maintained by the payee. Payments in respect of Securities represented by a Global
Security (including principal, premium, if any, and interest) will be made by wire transfer of immediately available funds to the accounts specified by DTC. Payments in respect of Securities represented by Definitive Securities (including principal,
premium, if any, and interest) held by a Holder of at least $1,000,000 aggregate principal amount of Securities represented by Definitive Securities will be made by wire transfer to a U.S. dollar account maintained by the payee with a bank in the
United States if such Holder elects payment by wire transfer by giving written notice to the Trustee or the Paying Agent to such effect designating such account no later than 15 days immediately preceding the relevant due date for payment (or such
other date as the Trustee may accept in its discretion). 
  
 The
Securities may have notations, legends or endorsements required by law, stock exchange rule or usage, in addition to those set forth on Exhibit A and Exhibit B and in Section 2.01(d). The Company and the Trustee shall approve the forms of the
Securities and any notation, endorsement or legend on them. Each Security shall be dated the date of its authentication. The terms of the Securities set forth in Exhibit A and Exhibit B are part of the terms of this Indenture and, to the extent
applicable, the Company, the Subsidiary Guarantors and the Trustee, by their execution and delivery of this Indenture, expressly agree to be bound by such terms. 
  
 (c) The Securities shall be issuable only in fully registered form, without interest coupons, and only in denominations of
$1,000 and an integral multiple thereof. 
  
 (d) Unless and until
(i) an Initial Security is sold under an effective registration statement or (ii) an Initial Security is exchanged for an Exchange Security in connection with an effective registration statement, in each case pursuant to the Registration Rights
Agreement or a similar agreement, 
  
 (A) the
Rule 144A Global Note and the Institutional Accredited Investor Global Note shall bear the following legend on the face thereof: 
  
 THIS SECURITY HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR THE SECURITIES LAWS OF ANY STATE
OR OTHER JURISDICTION. NEITHER THIS SECURITY NOR ANY INTEREST OR PARTICIPATION HEREIN MAY BE REOFFERED, SOLD, ASSIGNED, TRANSFERRED, PLEDGED, ENCUMBERED OR OTHERWISE DISPOSED OF IN THE ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH TRANSACTION IS
EXEMPT 

  

 27 

 
FROM, OR NOT SUBJECT TO, SUCH REGISTRATION. THE HOLDER OF THIS SECURITY, BY ITS ACCEPTANCE HEREOF, AGREES ON ITS OWN BEHALF AND ON BEHALF OF ANY INVESTOR
ACCOUNT FOR WHICH IT HAS PURCHASED SECURITIES, TO OFFER, SELL OR OTHERWISE TRANSFER SUCH SECURITY, PRIOR TO THE DATE (THE “RESALE RESTRICTION TERMINATION DATE”) THAT IS TWO YEARS AFTER THE LATER OF THE ORIGINAL ISSUE DATE HEREOF AND THE
LAST DATE ON WHICH THE COMPANY OR ANY AFFILIATE OF THE COMPANY WAS THE OWNER OF THIS SECURITY (OR ANY PREDECESSOR OF SUCH SECURITY), ONLY (A) TO THE COMPANY, (B) PURSUANT TO A REGISTRATION STATEMENT THAT HAS BEEN DECLARED EFFECTIVE UNDER THE
SECURITIES ACT, (C) FOR SO LONG AS THE SECURITIES ARE ELIGIBLE FOR RESALE PURSUANT TO RULE 144A UNDER THE SECURITIES ACT, TO A PERSON IT REASONABLY BELIEVES IS A “QUALIFIED INSTITUTIONAL BUYER” AS DEFINED IN RULE 144A UNDER THE SECURITIES
ACT THAT PURCHASES FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL BUYER TO WHOM NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A, (D) PURSUANT TO OFFERS AND SALES THAT OCCUR OUTSIDE THE UNITED STATES
WITHIN THE MEANING OF REGULATION S UNDER THE SECURITIES ACT, (E) TO AN INSTITUTIONAL “ACCREDITED INVESTOR” WITHIN THE MEANING OF RULE 501(a)(1), (2), (3) OR (7) UNDER THE SECURITIES ACT THAT IS AN INSTITUTIONAL ACCREDITED INVESTOR
ACQUIRING THE SECURITY FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF SUCH AN INSTITUTIONAL ACCREDITED INVESTOR, IN EACH CASE IN A MINIMUM PRINCIPAL AMOUNT OF THE SECURITIES OF $250,000, FOR INVESTMENT PURPOSES AND NOT WITH A VIEW TO OR FOR OFFER OR SALE
IN CONNECTION WITH ANY DISTRIBUTION IN VIOLATION OF THE SECURITIES ACT, OR (F) PURSUANT TO ANOTHER AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, SUBJECT TO THE COMPANY’S AND THE TRUSTEE’S RIGHT PRIOR TO ANY
SUCH OFFER, SALE OR TRANSFER PURSUANT TO CLAUSES (D), (E) OR (F) TO REQUIRE THE DELIVERY OF AN OPINION OF COUNSEL, CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO EACH OF THEM. THIS LEGEND WILL BE REMOVED UPON THE REQUEST OF THE HOLDER AFTER
THE RESALE RESTRICTION TERMINATION DATE. 
  
 THE HOLDER OF THIS
SECURITY, BY ITS ACCEPTANCE HEREOF, REPRESENTS AND WARRANTS THAT EITHER (A) NO PORTION OF THE ASSETS USED BY SUCH HOLDER TO ACQUIRE AND HOLD THIS SECURITY CONSTITUTES THE ASSETS OF ANY EMPLOYEE BENEFIT PLAN SUBJECT TO TITLE I OF THE U.S. EMPLOYEE
RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED (“ERISA”), ANY PLAN, INDIVIDUAL RETIREMENT ACCOUNT OR OTHER ARRANGEMENT SUBJECT TO SECTION 4975 OF THE U.S. INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE “CODE”), OR PROVISIONS
UNDER ANY FEDERAL, STATE, LOCAL, NON-U.S. OR OTHER LAWS OR REGULATIONS THAT ARE SIMILAR TO SUCH PROVISIONS OF ERISA OR THE CODE (COLLECTIVELY, “SIMILAR LAWS”) OR ANY ENTITY WHOSE UNDERLYING ASSETS ARE CONSIDERED TO INCLUDE “PLAN
ASSETS” OF ANY SUCH PLAN, ACCOUNT OR ARRANGEMENT OR (B) THE ACQUISITION AND HOLDING OF THIS SECURITY BY YOU WILL NOT CONSTITUTE A NON-EXEMPT PROHIBITED TRANSACTION UNDER SECTION 406 OF ERISA OR SECTION 4975 OF THE CODE OR A VIOLATION UNDER ANY
APPLICABLE SIMILAR LAW. 
  

 28 

 (B) the Regulation S Global Note shall bear the following legend on the face thereof:

  
 THIS SECURITY HAS NOT BEEN REGISTERED UNDER THE SECURITIES
ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR THE SECURITIES LAWS OF ANY STATE OR OTHER JURISDICTION. NEITHER THIS SECURITY NOR ANY INTEREST OR PARTICIPATION HEREIN MAY BE REOFFERED, SOLD, ASSIGNED, TRANSFERRED, PLEDGED, ENCUMBERED OR
OTHERWISE DISPOSED OF IN THE ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH TRANSACTION IS EXEMPT FROM, OR NOT SUBJECT TO, SUCH REGISTRATION. THE HOLDER OF THIS SECURITY, BY ITS ACCEPTANCE HEREOF, AGREES ON ITS OWN BEHALF AND ON BEHALF OF ANY INVESTOR
ACCOUNT FOR WHICH IT HAS PURCHASED SECURITIES, TO OFFER, SELL OR OTHERWISE TRANSFER SUCH SECURITY, PRIOR TO THE DATE (THE “RESALE RESTRICTION TERMINATION DATE”) THAT IS 40 DAYS AFTER THE LATER OF THE ORIGINAL ISSUE DATE HEREOF AND THE LAST
DATE ON WHICH THE COMPANY OR ANY AFFILIATE OF THE COMPANY WAS THE OWNER OF THIS SECURITY (OR ANY PREDECESSOR OF SUCH SECURITY), ONLY (A) TO THE COMPANY, (B) PURSUANT TO A REGISTRATION STATEMENT THAT HAS BEEN DECLARED EFFECTIVE UNDER THE SECURITIES
ACT, (C) FOR SO LONG AS THE SECURITIES ARE ELIGIBLE FOR RESALE PURSUANT TO RULE 144A UNDER THE SECURITIES ACT, TO A PERSON IT REASONABLY BELIEVES IS A “QUALIFIED INSTITUTIONAL BUYER” AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT THAT
PURCHASES FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL BUYER TO WHOM NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A, (D) PURSUANT TO OFFERS AND SALES THAT OCCUR OUTSIDE THE UNITED STATES WITHIN THE
MEANING OF REGULATION S UNDER THE SECURITIES ACT, (E) TO AN INSTITUTIONAL “ACCREDITED INVESTOR” WITHIN THE MEANING OF RULE 501(a)(1), (2), (3) OR (7) UNDER THE SECURITIES ACT THAT IS AN INSTITUTIONAL ACCREDITED INVESTOR ACQUIRING THE
SECURITY FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF SUCH AN INSTITUTIONAL ACCREDITED INVESTOR, IN EACH CASE IN A MINIMUM PRINCIPAL AMOUNT OF THE SECURITIES OF $250,000, FOR INVESTMENT PURPOSES AND NOT WITH A VIEW TO OR FOR OFFER OR SALE IN CONNECTION
WITH ANY DISTRIBUTION IN VIOLATION OF THE SECURITIES ACT, OR (F) PURSUANT TO ANOTHER AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, SUBJECT TO THE COMPANY’S AND THE TRUSTEE’S RIGHT PRIOR TO ANY SUCH OFFER,
SALE OR TRANSFER PURSUANT TO CLAUSES (D), (E) OR (F) TO REQUIRE THE DELIVERY OF AN OPINION OF COUNSEL, CERTIFICATION AND/ OR OTHER INFORMATION SATISFACTORY TO EACH OF THEM. THIS LEGEND WILL BE REMOVED UPON THE REQUEST OF THE HOLDER AFTER THE RESALE
RESTRICTION TERMINATION DATE. BY ITS ACQUISITION HEREOF, THE HOLDER HEREOF REPRESENTS THAT IT IS NOT A U.S. PERSON NOR IS IT PURCHASING FOR THE ACCOUNT OF A U.S. PERSON AND IS ACQUIRING THIS SECURITY IN AN OFFSHORE TRANSACTION IN ACCORDANCE WITH
REGULATION S UNDER THE SECURITIES ACT. 
  
 THE HOLDER OF THIS
SECURITY, BY ITS ACCEPTANCE HEREOF, REPRESENTS AND WARRANTS THAT EITHER (A) NO PORTION OF THE ASSETS USED BY SUCH HOLDER TO ACQUIRE AND HOLD THIS SECURITY CONSTITUTES THE ASSETS OF ANY EMPLOYEE BENEFIT PLAN SUBJECT TO TITLE I OF THE U.S. EMPLOYEE

  

 29 

 
RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED (“ERISA”), ANY PLAN, ACCOUNT OR OTHER ARRANGEMENT SUBJECT TO SECTION 4975 OF THE U.S. INTERNAL
REVENUE CODE OF 1986, AS AMENDED (THE “CODE”), OR PROVISIONS UNDER ANY FEDERAL, STATE, LOCAL, NON-U.S. OR OTHER LAWS OR REGULATIONS THAT ARE SIMILAR TO SUCH PROVISIONS OF ERISA OR THE CODE (COLLECTIVELY, “SIMILAR LAWS”) (EACH, A
“PLAN”) OR ANY ENTITY WHOSE UNDERLYING ASSETS ARE CONSIDERED TO INCLUDE “PLAN ASSETS” OF ANY SUCH PLAN OR (B) THE ACQUISITION AND HOLDING OF THIS SECURITY BY YOU WILL NOT CONSTITUTE A NON-EXEMPT PROHIBITED TRANSACTION UNDER
SECTION 406 OF ERISA OR SECTION 4975 OF THE CODE OR A VIOLATION UNDER ANY APPLICABLE SIMILAR LAW. 
  
 (C) Each Global Security, whether or not an Initial Security, shall bear the following legend on the face thereof: 
  
 UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION (“DTC”), NEW YORK, NEW YORK, 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 SUCH
OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR
OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN. 
  
 TRANSFERS OF THIS GLOBAL SECURITY SHALL BE LIMITED TO TRANSFERS IN WHOLE, BUT NOT IN PART, TO DTC, TO NOMINEES OF DTC OR TO A SUCCESSOR THEREOF OR SUCH
SUCCESSOR’S NOMINEE AND TRANSFERS OF PORTIONS OF THIS GLOBAL SECURITY SHALL BE LIMITED TO TRANSFERS MADE IN ACCORDANCE WITH THE RESTRICTIONS SET FORTH IN THE INDENTURE REFERRED TO ON THE REVERSE HEREOF. 
  
 (e) Book-Entry Provisions. 
  
 (i) This Section 2.01(e) shall apply only to Global
Securities deposited with the Trustee, as custodian for DTC. 
  
 (ii) Each Global Security initially shall (x) be registered in the name of DTC or the nominee of DTC, (y) be delivered to the Trustee as custodian for DTC and (z) bear legends as set forth in Section 2.01(d).

  
 (iii) Members of, or participants in, DTC
(“Agent Members”) shall have no rights under this Indenture with respect to any Global Security held on their behalf by DTC or by the Trustee as the custodian of DTC or under such Global Security, and DTC may be treated by the
Company, the Trustee and any agent of the Company or the Trustee as the absolute owner of such Global Security 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 DTC or impair, as 

  

 30 

 
between DTC and its Agent Members, the operation of customary practices of DTC governing the exercise of the rights of a Holder of a beneficial interest in
any Global Security. 
  
 (iv) In connection with
any transfer of a portion of the beneficial interest in a Global Security pursuant to subsection (f) of this Section 2.01 to beneficial owners who are required to hold Definitive Securities, the Securities Custodian shall reflect on its books and
records the date and a decrease in the principal amount of such Global Security in an amount equal to the principal amount of the beneficial interest in the Global Security to be transferred, and the Company shall execute, and the Trustee shall
authenticate and make available for delivery, one or more Definitive Securities of like tenor and amount. 
  
 (v) In connection with the transfer of an entire Global Security to beneficial owners pursuant to subsection (f) of this Section 2.01,
such Global Security shall be deemed to be surrendered to the Trustee for cancellation, and the Company shall execute, and the Trustee shall authenticate and make available for delivery, to each beneficial owner identified by DTC in exchange for its
beneficial interest in such Global Security, an equal aggregate principal amount of Definitive Securities of authorized denominations. 
  
 (vi) The registered Holder of a Global Security 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 Securities. 
  
 (vii) Any Holder of a Global Security shall, by acceptance of such Global Security, agree that transfers of beneficial interests in such
Global Security may be effected only through a book-entry system maintained by (a) the Holder of such Global Security (or its agent) or (b) any Holder of a beneficial interest in such Global Security, and that ownership of a beneficial interest in
such Global Security shall be required to be reflected in a book entry. 
  
 (f) Definitive Securities. 
  
 (i) Except as provided below, owners of beneficial interests in Global Securities will not be entitled to receive Definitive Securities. If required to do so pursuant to any applicable law or regulation, beneficial owners may obtain
Definitive Securities in exchange for their beneficial interests in a Global Security upon written request in accordance with DTC’s and the Registrar’s procedures. In addition, Definitive Securities shall be transferred to all beneficial
owners in exchange for their beneficial interests in a Global Security if (A) DTC notifies the Company at any time that it is unwilling or unable to continue as depositary for such Global Security or DTC ceases to be a clearing agency registered
under the Exchange Act, at a time when DTC is required to be so registered in order to act as depositary, and in each case a successor depositary is not appointed by the Company within 90 days of such notice, (B) the Company in its sole discretion
executes and delivers to the Trustee and Registrar an Officers’ Certificate stating that such Global Security shall be so exchangeable, subject to the procedures of the Depository or (C) an Event of Default has occurred and is continuing and
the Registrar has received a request from DTC. In the event of the occurrence of any of the events specified in clause (A), (B) or (C) of the preceding sentence, the Company shall promptly make available to the Trustee a reasonable supply of
Definitive Securities in fully registered form without interest coupons. 
  

 31 

 (ii) Any Definitive Security delivered in exchange for an interest in a Global Security
pursuant to Section 2.01(e)(iv) or (v) shall, except as otherwise provided by Section 2.06(c), bear the applicable legend regarding transfer restrictions applicable to the Definitive Security set forth in Section 2.01(d). 
  
 In connection with the exchange of a portion of a Definitive Security for a
beneficial interest in a Global Security, the Trustee shall cancel such Definitive Security, and the Company shall execute, and the Trustee shall authenticate and make available for delivery, to the transferring Holder a new Definitive Security
representing the principal amount not so transferred. 
  
 Section 2.02.
Execution and Authentication. 
  
 Two Officers, or an Officer
and an Assistant Secretary, shall sign, or one Officer shall sign and one Officer or an Assistant Secretary (each of whom shall, in each case, have been duly authorized by all requisite corporate actions) shall attest to such Officer’s
signature, the Securities for the Company by manual or facsimile signature. 
  
 If an Officer or an Assistant Secretary whose signature is on a Security was an Officer or an Assistant Secretary, as the case may be, at the time of such execution but no longer holds that office at the time the
Trustee authenticates the Security, the Security shall be valid nevertheless. 
  
 A Security shall not be valid until an authorized signatory of the Trustee manually signs the certificate of authentication on the Security. The signature shall be conclusive evidence that the Security has been
authenticated under this Indenture. 
  
 The Trustee shall
authenticate (i) Initial Securities for original issue in an aggregate principal amount not to exceed $180,000,000, (ii) Exchange Securities for issue only in an exchange offer or upon resale under an effective shelf registration statement, each as
described in the Registration Rights Agreement, and only in exchange for Initial Securities or Additional Securities of an equal principal amount, and (iii) Additional Securities as authorized under this Indenture, in each case upon a written order
of the Company in the form of an Officers’ Certificate. Each such written order shall specify the amount of Securities to be authenticated and the date on which the Securities are to be authenticated, whether the Securities are to be Initial
Securities, Exchange Securities or Additional Securities and whether the Securities are to be issued as Definitive Securities or Global Securities and such other information as the Trustee may reasonably request. 
  
 The Trustee may appoint an authenticating agent reasonably acceptable to the
Company to authenticate Securities. Unless otherwise provided in the appointment, an authenticating agent may authenticate Securities whenever the Trustee may do so. Each reference in this Indenture to authentication by the Trustee includes
authentication by such agent. An authenticating agent shall have the same rights as an Agent to deal with the Company and Affiliates of the Company. 
  
 In case the Company, pursuant to Article V, shall be consolidated or merged with or into any other Person or shall convey, transfer, lease or
otherwise dispose of its properties and assets substantially as an entirety to any Person, and the successor Person resulting from such consolidation, or surviving such merger, or into which the Company shall have been merged, or the Person which
shall have received a conveyance, transfer, lease or other disposition as aforesaid, shall have executed an indenture supplemental hereto with the Trustee pursuant to Article V, any of the Securities authenticated or delivered prior to such
consolidation, merger, conveyance, transfer, lease or other disposition may, from time to time, at the request of the successor Person, be exchanged for other Securities executed in 

  

 32 

 
the name of the successor Person with such changes in phraseology and form as may be appropriate, but otherwise in substance of like tenor as the Securities
surrendered for such exchange and of like principal amount; and the Trustee, upon Company Order of the successor Person, shall authenticate and make available for delivery Securities as specified in such order for the purpose of such exchange. If
Securities shall at any time be authenticated and delivered in any new name of a successor Person pursuant to this Section 2.02 in exchange or substitution for or upon registration of transfer of any Securities, such successor Person, at the
option of the Holders but without expense to them, shall provide for the exchange of all Securities at the time outstanding for Securities authenticated and delivered in such new name. 
  
 Section 2.03. Registrar and Paying Agent. 
  

The Company shall maintain an office or agency in the Borough of Manhattan, The City of New York, where (a) Securities may be presented or surrendered
for registration of transfer or for exchange (the “Registrar”), (b) Securities may be presented or surrendered for payment (the “Paying Agent”) and (c) notices and demands in respect of the Securities and this
Indenture may be served. The Registrar shall keep a register of the Securities and of their transfer and exchange (the “Securities Register”). The Company, upon notice to the Trustee, may appoint one or more co-Registrars and one or
more additional Paying Agents. The term “Paying Agent” includes any additional Paying Agent. Except as provided herein, the Company or any Subsidiary Guarantor may act as Paying Agent, Registrar or co-Registrar. 
  
 The Company shall enter into an appropriate agency agreement with any Agent
not a party to this Indenture, which shall incorporate the provisions of the TIA. The agreement shall implement the provisions of this Indenture that relate to such Agent. The Company shall notify the Trustee in writing of the name and address of
any such Agent. If the Company fails to maintain a Registrar or Paying Agent, or fails to give the foregoing notice, the Trustee shall act as such and shall be entitled to appropriate compensation in accordance with Section 7.07. 
  
 The Company initially appoints the Trustee as Registrar and Paying Agent
until such time as the Trustee has resigned or a successor has been appointed; provided, however, that no such removal shall become effective until (i) acceptance of any appointment by a successor as evidenced by an appropriate agreement
entered into by the Company and such successor Registrar or Paying Agent, as the case may be, and delivered to the Trustee or (ii) notification to the Trustee that the Trustee shall serve as Registrar or Paying Agent until the appointment of a
successor in accordance with clause (i) above. The Registrar or Paying Agent may resign at any time upon written notice to the Company and the Trustee. 
  
 Section 2.04. Paying Agent To Hold Assets in Trust. 
  
 The Company shall require each Paying Agent other than the Trustee to agree in writing that each Paying Agent shall hold in trust for the benefit of
Holders or the Trustee all assets held by the Paying Agent for the payment of principal of, or interest on, the Securities, and shall notify the Trustee in writing of any Default by the Company in making any such payment. The Company at any time may
require a Paying Agent to distribute all assets held by it to the Trustee and account for any assets disbursed and the Trustee may at any time during the continuance of any payment Default, upon written request to a Paying Agent, require such Paying
Agent to distribute all assets held by it to the Trustee and to account for any assets distributed. Upon distribution to the Trustee of all assets that shall have been delivered by the Company to the Paying Agent (if other than the Company), the
Paying Agent shall have no further liability for such assets. If the Company, any Subsidiary Guarantor or any of their respective Affiliates acts as Paying Agent, it shall, on or before each due date of the principal of or interest on the
Securities, segregate and hold in trust for the benefit of the Persons entitled thereto a sum sufficient to 

  

 33 

 
pay the principal or interest so becoming due until such sums shall be paid to such Persons or otherwise disposed of as herein provided and will promptly
notify the Trustee in writing of its action or failure so to act. 
  
 Section
2.05. Holder Lists. 
  
 The Trustee shall preserve in as
current a form as is reasonably practicable the most recent list available to it of the names and addresses of Holders and shall otherwise comply with TIA § 312(a). If the Trustee is not the Registrar, or to the extent otherwise required under
the TIA, the Company, on its own behalf and on behalf of each of the Subsidiary Guarantors, shall furnish or cause the Registrar to furnish to the Trustee, in writing at least five Business Days before each interest payment date and at such other
times as the Trustee may request in writing, a list in such form and as of such date as the Trustee may reasonably require of the names and addresses of Holders and the Company and the Subsidiary Guarantors shall otherwise comply with TIA §
312(a). 
  
 Section 2.06. Transfer and Exchange. 
  
 (a) The following provisions shall apply with respect to any proposed
transfer of a Rule 144A Note or an Institutional Accredited Investor Note prior to the date which is two years after the later of the date of its original issue and the last date on which the Company or any Affiliate of the Company was the owner of
such Securities (or any predecessor thereto) (the “Resale Restriction Termination Date”): 
  
 (i) a transfer of a Rule 144A Note or an Institutional Accredited Investor Note or a beneficial interest therein to a QIB shall be made
upon the representation of the transferee, in the form of assignment as set forth on the reverse of the Security, that it is purchasing the Security 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, 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 its foregoing representations in order to claim the exemption from registration
provided by Rule 144A; 
  
 (ii) a transfer of a
Rule 144A Note or an Institutional Accredited Investor Note or a beneficial interest therein to an IAI shall be made upon receipt by the Trustee or its agent of a certificate substantially in the form set forth in Exhibit D hereto from the proposed
transferee and, if requested by the Company or the Trustee, the receipt by the Trustee or its agent of an opinion of counsel, certification and/or other information satisfactory to each of them; and 
  
 (iii) a transfer of a Rule 144A Note or an Institutional
Accredited Investor Note or a beneficial interest therein to a Non-U.S. Person shall be made upon receipt by the Trustee or its agent of a certificate substantially in the form set forth in Exhibit E hereto from the proposed transferor and, if
requested by the Company or the Trustee, the delivery of an opinion of counsel, certification and/or other information satisfactory to each of them. 
  
 After the Resale Restriction Termination Date, interests in a Rule 144A Note or an Institutional Accredited Investor Note may be transferred in accordance
with applicable law without requiring the certifications set forth in Exhibits D or E hereto or any additional certification. 
  

 34 

 (b) The following provisions shall apply with respect to any proposed transfer of a Regulation S Note
prior to the expiration of the Restricted Period: 
  
 (i) a transfer of a Regulation S Note or a beneficial interest therein to a QIB shall be made upon the representation of the transferee, in the form of assignment as set forth on the reverse of the Security, that it is purchasing the
Security 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, 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 its foregoing representations in order to claim the exemption from registration provided by Rule 144A; 
  
 (ii) a transfer of a Regulation S Note or a beneficial interest therein to an IAI shall be made upon receipt by the Trustee or its agent
of a certificate substantially in the form set forth in Exhibit D hereto from the proposed transferee and, if requested by the Company or the Trustee, the delivery of an opinion of counsel, certification and/or other information satisfactory to each
of them; and 
  
 (iii) a transfer of a Regulation
S Note or a beneficial interest therein to a Non-U.S. Person shall be made upon receipt by the Trustee or its agent of a certificate substantially in the form set forth in Exhibit E hereto from the proposed transferor and, if requested by the
Company or the Trustee, receipt by the Trustee or its agent of an opinion of counsel, certification and/or other information satisfactory to each of them. 
  
 After the expiration of the Restricted Period, interests in the Regulation S Note may be transferred in accordance with applicable law without requiring
the certifications set forth in Exhibits D or E hereto or any additional certification. 
  
 (c) Upon the transfer, exchange or replacement of Securities not bearing a Private Placement Legend, the Registrar shall deliver Securities that do not bear a Private Placement Legend. Upon the transfer, exchange or
replacement of Securities bearing a Private Placement Legend, the Registrar shall deliver only Securities that bear a Private Placement Legend unless, (i) Initial Securities are being exchanged for Exchange Securities in an exchange offer as
described in the Registration Rights Agreement, in which case the Exchange Securities shall not bear a Private Placement Legend, (ii) an Initial Security is being transferred pursuant to a shelf registration statement as described in the
Registration Rights Agreement or other effective registration statement or (iii) there is delivered to the Registrar an Opinion of Counsel reasonably satisfactory to the Company and the Trustee to the effect that neither such legend nor the related
restrictions on transfer are required in order to maintain compliance with the provisions of the Securities Act. Any Additional Securities sold in a registered offering shall not be required to bear the Private Placement Legend. 
  
 (d) The Registrar shall retain copies of all letters, notices and other
written communications received pursuant to Section 2.01 or this Section 2.06. The Company 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 prior written notice to the Registrar. 
  

 35 

 (e) Obligations with Respect to Transfers and Exchanges of Securities. 
  
 (i) To permit registrations of transfers and exchanges, the
Company shall, subject to the other terms and conditions of this Article II, execute, and the Trustee shall authenticate, Definitive Securities and Global Securities at the Registrar’s request. 
  
 (ii) No service charge shall be made to a Holder for any
registration of transfer or exchange, but the Company may require the Holder to pay a sum sufficient to cover any transfer tax, assessments, or similar governmental charge payable in connection therewith (other than any such transfer taxes,
assessments or similar governmental charges payable upon exchange or transfer pursuant to Section 10.05). 
  
 (iii) The Company (and the Registrar) shall not be required to register the transfer of or exchange of any Security for a period beginning
15 days before the mailing of a notice of an offer to repurchase or redeem Securities and ending at the close of business on the day of such mailing. 
  
 (iv) Prior to the due presentation for registration of transfer of any Security, the Company, the Trustee, the Paying Agent or the
Registrar may deem and treat the person in whose name a Security is registered as the absolute owner of such Security for the purpose of receiving payment of principal of, premium, if any, and interest on such Security and for all other purposes
whatsoever, including without limitation the transfer or exchange of such Security, whether or not such Security is overdue, and none of the Company, the Trustee, the Paying Agent or the Registrar shall be affected by notice to the contrary.

  
 (v) Any Definitive Security delivered in
exchange for an interest in a Global Security pursuant to Section 2.01(e) shall, except as otherwise provided by Section 2.06(c), bear the applicable legend regarding transfer restrictions applicable to the Definitive Security set forth in Section
2.01(d). 
  
 (vi) All Securities issued upon any
transfer or exchange pursuant to the terms of this Indenture shall evidence the same debt and shall be entitled to the same benefits under this Indenture as the Securities surrendered upon such transfer or exchange. 
  
 (f) No Obligation of the Trustee. 
  
 (i) The Trustee shall have no responsibility or obligation
to any beneficial owner of a Global Security, a member of, or a participant in, DTC or other Person with respect to the accuracy of the records of DTC or its nominee or of any participant or member thereof, with respect to any ownership interest in
the Securities or with respect to the delivery to any participant, member, beneficial owner or other Person (other than DTC) of any notice (including any notice of redemption) or the payment of any amount or delivery of any Securities (or other
security or property) under or with respect to such Securities. All notices and communications to be given to the Holders and all payments to be made to Holders in respect of the Securities shall be given or made only to or upon the order of the
registered Holders (which shall be DTC or its nominee in the case of a Global Security). The rights of beneficial owners in any Global Security shall be exercised only through DTC subject to the applicable rules and procedures of DTC. The Trustee
may rely and shall be fully protected in relying upon information furnished by DTC with respect to its members, participants and any beneficial owners. 
  

 36 

 (ii) The Trustee shall have no obligation or duty to monitor, determine or inquire as to
compliance with any restrictions on transfer imposed under this Indenture or under applicable law with respect to any transfer of any interest in any Security (including any transfers between or among DTC participants, members or beneficial owners
in any Global Security) other than to require delivery of such certificates and other documentation or evidence as are expressly required by, and to do so if and when expressly required by, the terms of this Indenture, and to examine the same to
determine substantial compliance as to form with the express requirements hereof. 
  
 Section 2.07. Replacement Securities. 
  
 If a
mutilated Security is surrendered to the Registrar or if the Holder of a Security claims that the Security has been lost, destroyed or wrongfully taken, the Company shall issue and the Trustee shall authenticate a replacement Security if the
requirements of Section 8-405 of the Uniform Commercial Code are met, such that the Holder (a) notifies the Company or the Trustee within a reasonable time after such Holder has notice of such loss, destruction or wrongful taking and the Registrar
has not registered a transfer prior to receiving such notification, (b) makes such request to the Company or Trustee prior to the Security being acquired by a protected purchaser as defined in Section 8-303 of the Uniform Commercial Code (a
“protected purchaser”) and (c) satisfies any other reasonable requirements of the Trustee. If required by the Trustee or the Company, such Holder shall furnish an indemnity bond sufficient in the judgment of the Company and the Trustee to
protect the Company, the Trustee, the Paying Agent and the Registrar from any loss which any of them may suffer if a Security is replaced, and, in the absence of notice to the Company, any Subsidiary Guarantor or the Trustee that such Security has
been acquired by a bona fide purchaser, the Company shall execute and, upon receipt of a Company Order, the Trustee shall authenticate and make available for delivery, in exchange for any such mutilated Security or in lieu of any such destroyed,
lost or stolen Security, a new Security of like tenor and principal amount, bearing a number not contemporaneously outstanding. 
  
 In case any such mutilated, destroyed, lost or stolen Security has become or is about to become due and payable, the Company in its discretion may,
instead of issuing a new Security, pay such Security. 
  
 Upon the
issuance of any new Security under this Section, the Company may require that such Holder pay a sum sufficient to cover any tax or other governmental charge that may be imposed in relation thereto and any other expenses (including the fees and
expenses of counsel and of the Trustee) in connection therewith. 
  
 Every new Security issued pursuant to this Section in lieu of any mutilated, destroyed, lost or stolen Security shall constitute an original additional contractual obligation of the Company, any Subsidiary Guarantor (if applicable) and any
other obligor upon the Securities, whether or not the mutilated, destroyed, lost or stolen Security shall be at any time enforceable by anyone, and shall be entitled to all benefits of this Indenture equally and proportionately with any and all
other Securities duly issued hereunder. 
  
 The provisions of this
Section 2.07 are exclusive and shall preclude (to the extent lawful) all other rights and remedies with respect to the replacement or payment of mutilated, destroyed, lost or stolen Securities. 
  

 37 

 Section 2.08. Outstanding Securities. 
  
 Securities outstanding at any time are all the Securities that have been authenticated by the Trustee except those cancelled
by it, those delivered to it for cancellation and those described in this Section 2.08 as not outstanding. Subject to Section 2.09, a Security does not cease to be outstanding because the Company or any of its Affiliates holds the Security.

  
 If a Security is replaced pursuant to Section 2.07 (other than
a mutilated Security surrendered for replacement), it ceases to be outstanding unless the Trustee receives proof satisfactory to it that the replaced Security is held by a bona fide purchaser. A mutilated Security ceases to be outstanding upon
surrender of such Security and replacement thereof pursuant to Section 2.07. 
  
 If on a Redemption Date, Net Proceeds Offer Payment Date, Change of Control Payment Date or the Final Maturity Date the Paying Agent holds money sufficient to pay all of the principal and interest due on the
Securities payable on that date, and is not prohibited from paying such money to the Holders pursuant to the terms of this Indenture, then on and after that date such Securities cease to be outstanding and interest on them ceases to accrue.

  
 Section 2.09. Treasury Securities. 
  
 In determining whether the Holders of the required principal amount of
Securities have concurred in any direction, waiver or consent, Securities owned by the Company, the Subsidiary Guarantors or any of their respective Affiliates shall be disregarded, except that, for the purposes of determining whether the Trustee
shall be protected in relying on any such direction, waiver or consent, only Securities as to which the Trustee has received an Officer’s Certificate that such Securities are so owned shall be disregarded. 
  
 The Company shall notify the Trustee, in writing, when it, any Subsidiary
Guarantor or any of its Affiliates repurchases or otherwise acquires Securities, of the aggregate principal amount of such Securities so repurchased or otherwise acquired. 
  
 Section 2.10. Temporary Securities. 
  
 In the event that Definitive Securities are to be issued under the terms of this Indenture, until such Definitive Securities are ready for delivery, the
Company may prepare and the Trustee shall authenticate temporary Securities. Temporary Securities shall be substantially in the form, and shall carry all rights, of Definitive Securities but may have variations that the Company considers appropriate
for temporary Securities. Without unreasonable delay, the Company shall prepare and the Trustee shall authenticate Definitive Securities. After the preparation of Definitive Securities, the temporary Securities shall be exchangeable for Definitive
Securities upon surrender of the temporary Securities at any office or agency maintained by the Company for that purpose and such exchange shall be without charge to the Holder. Upon surrender for cancellation of any one or more temporary
Securities, the Company shall execute, and the Trustee shall authenticate and make available for delivery in exchange therefor, one or more Definitive Securities representing an equal principal amount of Securities. Until so exchanged, the Holder of
temporary Securities shall in all respects be entitled to the same benefits under this Indenture as a Holder of Definitive Securities. 
  
 Section 2.11. Cancellation. 
  
 The Company at any time may deliver Securities to the Trustee for cancellation. The Registrar and the Paying Agent shall forward to the Trustee any
Securities surrendered to them for transfer, exchange or payment. The Trustee, or at the direction of the Trustee, the Registrar or the Paying Agent, 

  

 38 

 
and no one else, shall cancel, and at the written direction of the Company, dispose of and deliver evidence of such disposal of all Securities surrendered
for transfer, exchange, payment or cancellation. Subject to Section 2.07, the Company may not issue new Securities to replace Securities that it has delivered to the Trustee for cancellation. If the Company or any Subsidiary Guarantor shall acquire
any of the Securities, such acquisition shall not operate as a redemption or satisfaction of the Indebtedness represented by such Securities unless and until the same are surrendered to the Trustee for cancellation pursuant to this Section 2.11.

  
 At such time as all beneficial interests in a Global Security
have been exchanged for Definitive Securities, transferred, redeemed, repurchased or canceled, such Global Security shall be returned by DTC to the Trustee for cancellation or retained and canceled by the Trustee. At any time prior to such
cancellation, if any beneficial interest in a Global Security is exchanged for Definitive Securities, transferred in exchange for an interest in another Global Security, redeemed, repurchased or canceled, the principal amount of Securities
represented by such Global Security shall be reduced and an adjustment shall be made on the books and records of the Trustee (if it is then the Securities Custodian for such Global Security) with respect to such Global Security, by the Trustee or
the Securities Custodian, to reflect such reduction. 
  
 Section 2.12.
Defaulted Interest. 
  
 Interest on any Security which is
payable, and is punctually paid or duly provided for, on any interest payment date shall be paid to the Person in whose name such Security (or one or more predecessor Securities) is registered at the close of business on the regular record date for
such payment at the office or agency of the Company maintained for such purpose pursuant to Section 2.03. 
  
 Any interest on any Security which is payable, but is not paid when the same becomes due and payable and such nonpayment continues for a period of 30 days
shall forthwith cease to be payable to the Holder on the regular record date, and such defaulted interest and (to the extent lawful) interest on such defaulted interest at the rate borne by the Securities (such defaulted interest and interest
thereon herein collectively called “Defaulted Interest”) shall be paid by the Company, at its election in each case, as provided in clause (a) or (b) below: 
  
 (a) The Company may elect to make payment of any Defaulted Interest to the Persons in whose names the Securities (or their
respective predecessor Securities) are registered at the close of business on a Special Record Date (as defined below) for the payment of such Defaulted Interest, which shall be fixed in the following manner. The Company shall notify the Trustee in
writing of the amount of Defaulted Interest proposed to be paid on each Security and the date (not less than 30 days after such notice) of the proposed payment (the “Special Interest Payment Date”), and at the same time the Company
shall deposit with the Trustee an amount of money equal to the aggregate amount proposed to be paid in respect of such Defaulted Interest or shall make arrangements satisfactory to the Trustee for such deposit prior to the date of the proposed
payment, such money when deposited to be held in trust for the benefit of the Persons entitled to such Defaulted Interest as in this clause provided. Thereupon the Trustee shall fix a record date (the “Special Record Date”) for the
payment of such Defaulted Interest, which date shall be not more than 15 days and not less than 10 days prior to the Special Interest Payment Date and not less than 10 days after the receipt by the Trustee of the notice of the proposed payment. The
Trustee shall promptly notify the Company of such Special Record Date, and in the name and at the expense of the Company, shall cause notice of the proposed payment of such Defaulted Interest and the Special Record Date and Special Interest Payment
Date therefor to be given in the manner provided for in Section 13.02, not less than 10 days prior to such Special Record Date. Notice of the proposed payment of such Defaulted Interest and the Special Record Date and Special Interest 

  

 39 

 
Payment Date therefor having been so given, such Defaulted Interest shall be paid on the Special Interest Payment Date to the Persons in whose names the
Securities (or their respective predecessor Securities) are registered at the close of business on such Special Record Date and shall no longer be payable pursuant to the following clause (b). 
  
 (b) The Company may make payment of any Defaulted Interest in any other
lawful manner not inconsistent with the requirements of any securities exchange on which the Securities may be listed, and upon such notice as may be required by such exchange, if, after notice given by the Company to the Trustee of the proposed
payment pursuant to this clause, such manner of payment shall be deemed practicable by the Trustee. 
  
 Subject to the foregoing provisions of this Section, each Security delivered under this Indenture upon registration of, transfer of or in exchange for or
in lieu of any other Security shall carry the rights to interest accrued and unpaid, and to accrue, which were carried by such other Security. 
  
 Section 2.13. CUSIP, Common Code and ISIN Numbers. 
  
 The Company in issuing the Securities may use “CUSIP,” “Common Code” or “ISIN” numbers and, if so, the Trustee shall use
“CUSIP,” “Common Code” or “ISIN” numbers in notices of redemption or purchase as a convenience to Holders; provided, however, that any such notice may state that no representation is made as to the correctness of such
numbers either as printed on the Securities or as contained in any notice of a redemption or purchase and that reliance may be placed only on the other identification numbers printed on the Securities, and any such redemption or purchase shall not
be affected by any defect in or omission of such CUSIP, Common Code or ISIN number. The Company shall promptly notify the Trustee in writing of any change in the CUSIP, Common Code or ISIN number. 
  
 Section 2.14. Deposit of Moneys. 
  
 Prior to 10:00 a.m. New York City time on each Interest Payment Date,
Redemption Date, Net Proceeds Offer Payment Date, Change of Control Payment Date and the Final Maturity Date, the Company shall deposit with the Paying Agent in immediately available funds money sufficient to make cash payments, if any, due on such
Interest Payment Date, Redemption Date, Net Proceeds Offer Payment Date, Change of Control Payment Date or Final Maturity Date, as the case may be, in a timely manner which permits the Paying Agent to remit payment to the Holders on such Interest
Payment Date, Redemption Date, Net Proceeds Offer Payment Date, Change of Control Payment Date or Final Maturity Date, as the case may be. 
  
 ARTICLE III 
  
 REDEMPTION 
  
 Section 3.01. Notices to Trustee. 
  
 If the
Company wants to redeem Securities pursuant to paragraph 5 or 6 of the Securities at the applicable redemption price set forth thereon, it shall notify the Trustee in writing of the Redemption Date and the principal amount of Securities to be
redeemed. The Company shall give such notice to the Trustee at least 45 days before the Redemption Date (unless a shorter notice shall be agreed to by the Trustee in writing), together with an Officers’ Certificate stating that such redemption
will comply with the conditions contained herein. 
  

 40 

 Section 3.02. Selection of Securities To Be Redeemed. 
  
 If less than all of the Securities are to be redeemed, the Trustee shall
select the Securities to be redeemed in compliance with the requirements of the national securities exchange, if any, on which the Securities are listed or, if the Securities are not then listed on a national securities exchange, on a pro rata basis
or in such other manner as the Trustee shall deem fair and appropriate. The Trustee shall make the selection from the Securities then outstanding, subject to redemption and not previously called for redemption. 
  
 The Trustee may select for redemption pursuant to paragraph 5 or 6 of the
Securities portions of the principal amount of Securities that have denominations equal to or larger than $1,000 principal amount. Securities and portions of them the Trustee so selects shall be in amounts of $1,000 principal amount or integral
multiples thereof. Provisions of this Indenture that apply to Securities called for redemption also apply to portions of Securities called for redemption. 
  
 Section 3.03. Notice of Redemption. 
  
 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 Securities are to be redeemed at such Holder’s registered address; provided, however, that notice of a redemption pursuant to paragraph 6 of the Securities shall be mailed to each Holder whose Securities are to be redeemed in
sufficient time so that such redemption will occur no later than 90 days after the date of the Closing of the relevant Public Equity Offering of Holdings or the Company. 
  
 Each notice of redemption shall identify the Securities to be redeemed (including the CUSIP, Common Code and ISIN numbers,
if applicable, thereon) and shall state: 
  
 (1)
the Redemption Date; 
  
 (2) the redemption
price; 
  
 (3) the name and address of the Paying
Agent, 
  
 (4) that Securities called for
redemption must be surrendered to the Paying Agent to collect the redemption price; 
  
 (5) that, unless the Company defaults in making the redemption payment, interest on Securities called for redemption ceases to accrue on
and after the Redemption Date and the only remaining right of the Holders is to receive payment of the redemption price upon surrender to the Paying Agent; 
  
 (6) the paragraph of the Securities pursuant to which the Securities are to be redeemed; 
  
 (7) in the case of any redemption pursuant to paragraph 5 or
6 of the Securities, if any Security is being redeemed in part, the portion of the principal amount of such Security to be redeemed and that, after the Redemption Date, upon surrender of such Security, a new Security or Securities in principal
amount equal to the unredeemed portion thereof will be issued; and 
  
 (8) if less than all outstanding Securities are to be redeemed, the identification of the particular Securities (or portion thereof) to be redeemed, as well as the aggregate principal 

  

 41 

 
amount of Securities to be redeemed and the aggregate principal amount of Securities to be outstanding after such partial redemption. 
  
 At the Company’s written request, the Trustee shall give the notice of
redemption on behalf of the Company, in the Company’s name and at the Company’s expense. 
  
 Section 3.04. Effect of Notice of Redemption. 
  
 Once a notice of redemption is mailed, Securities called for redemption become due and payable on the Redemption Date and at the redemption price. Upon surrender to the Paying Agent, such Securities shall be paid at
the redemption price, plus accrued interest thereon, if any, to the Redemption Date, but interest installments whose maturity is on or prior to such Redemption Date shall be payable to the Holders of record at the close of business on the relevant
Interest Record Date. Subject to the provisions of Section 3.05, on and after the Redemption Date, interest ceases to accrue on the Securities or portions of them called for redemption. 
  
 Section 3.05. Deposit of Redemption Price. 
  

On or prior to the Redemption Date, the Company shall deposit with the Paying Agent (or if the Company is its own Paying Agent, shall, on or before the
Redemption Date, segregate and hold in trust) money sufficient to pay the redemption price of, including premium, if any, and accrued interest, if any, on all Securities to be redeemed on that date other than Securities or portions thereof called
for redemption on that date which have been delivered by the Company to the Trustee for cancellation. 
  
 If any Security surrendered for redemption in the manner provided in the Securities shall not be so paid on the Redemption Date due to the failure of the
Company to deposit with the Paying Agent money sufficient to pay the redemption price thereof, the principal, including premium, if any, and accrued and unpaid interest, if any, thereon shall, until paid or duly provided for, bear interest as
provided in Sections 2.12 and 4.01 with respect to any payment default. 
  
 Section 3.06. Securities Redeemed in Part. 
  
 If
any Security is to be redeemed in part only, the notice of redemption that relates to such Security shall state the portion of the principal amount thereof to be redeemed. A new Security in principal amount equal to the unredeemed portion thereof
will be issued in the name of the holder thereof upon cancellation of the original Security. No Security will be redeemed in part unless all other Securities are also redeemed in part on a pro rata basis. 
  
 ARTICLE IV 
  
 COVENANTS 
  
 Section 4.01. Payment of Securities. 
  
 The Company shall pay the principal of and interest on the Securities in the manner provided in the Securities, the Registration Rights Agreement and this
Indenture. An installment of principal or interest shall be considered paid on the date due if the Trustee or Paying Agent (other than the Company, a Subsidiary Guarantor or any of their respective Affiliates) holds on that date money designated for
and sufficient to pay the installment in full and is not prohibited from paying such money to the Holders pursuant to the terms of this Indenture. 
  

 42 

 The Company shall pay cash interest on overdue principal at the same rate per annum borne by the
Securities. The Company shall pay cash interest on overdue installments of interest at the same rate per annum borne by the Securities, to the extent lawful, as provided in Section 2.12. 
  
 The Company and the Subsidiary Guarantors will pay any present or future stamp, court or documentary taxes or any other
excise or property taxes, charges or similar levies that arise in any jurisdiction from the execution, delivery, enforcement or registration of the Securities, the Subsidiary Guarantees, this Indenture or any other document or instrument in relation
thereof, or the receipt of any payments with respect to the Securities or the Subsidiary Guarantees, excluding such taxes, charges or similar levies imposed by any jurisdiction outside of the United States, the jurisdiction of incorporation of any
successor of the Company or any Subsidiary Guarantor or any jurisdiction in which a paying agent is located, other than those resulting from, or required to be paid in connection with, the enforcement of the Securities, the Subsidiary Guarantees or
any other such document or instrument following the occurrence of any Event of Default with respect to the Securities. The Company or the Subsidiary Guarantors will agree to indemnify the Holders for any such taxes paid by such Holders. 

 
 Notwithstanding anything to the contrary contained in this Indenture, the
Company or any Subsidiary Guarantor may, to the extent it is required to do so by law, deduct or withhold income or other similar taxes imposed by the United States from principal, premium or interest payments hereunder. 
  
 Section 4.02. Maintenance of Office or Agency. 
  
 The Company shall maintain in the Borough of Manhattan, The City of New
York, the office or agency required under Section 2.03. The Company shall 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 13.02. The Company hereby initially
designates the Trustee at its address set forth in Section 13.02 as its office or agency in The Borough of Manhattan, The City of New York, for such purposes. 
  

Section 4.03. Limitation on Indebtedness. 
  
 The Company will not, and will not permit any of its Restricted Subsidiaries to, directly or indirectly, incur (as defined) any Indebtedness and the
Company will not issue any Disqualified Capital Stock and will not permit its Restricted Subsidiaries to issue any Preferred Stock except Preferred Stock of a Restricted Subsidiary issued to, and as long as it is held by, the Company or a
Wholly-Owned Restricted Subsidiary of the Company; provided, however, that if no Default or Event of Default has occurred and is continuing, the Company or any Restricted Subsidiary may incur Indebtedness, including Acquired Indebtedness, the
Company may issue Disqualified Capital Stock and any Restricted Subsidiary may issue Preferred Stock, if, in any case, at the time of and immediately after giving pro forma effect to such incurrence of such Indebtedness or the issuance of such
Disqualified Capital Stock or Preferred Stock, as the case may be, and the use of proceeds therefrom, the Consolidated Fixed Charge Coverage Ratio of the Company and its Restricted Subsidiaries is greater than 2.0 to 1.0. 
  

 43 

 The foregoing paragraph will not prohibit the incurrence of any of the following items of Indebtedness
(collectively, “Permitted Indebtedness”): 
  
 (1)
Indebtedness under the Initial Securities (but not including any other Additional Securities) and any related Exchange Securities, and Permitted Refinancings thereof; 
  
 (2) Indebtedness incurred pursuant to a credit facility, including the Senior Credit Facility, provided that the
aggregate principal amount at any time outstanding does not exceed $370.0 million, less the aggregate principal amount of all principal repayments with the proceeds from Asset Sales utilized in accordance with Section 4.06(a); 
  
 (3) Existing Indebtedness; 
  
 (4) Permitted Refinancings of: 
  

	 	(a)	Existing Indebtedness to the extent reduced by the amount of any scheduled amortization payments or mandatory prepayments when actually paid or permanent reductions thereon; and

  

	 	(b)	Indebtedness incurred under the Consolidated Fixed Charge Coverage Ratio test of this Section 4.03; 

  
 (5) Interest Swap Obligations of the Company covering Indebtedness of the Company or any Restricted Subsidiary;
provided that such Interest Swap Obligations are entered into to protect the Company and its Restricted Subsidiaries from fluctuations in interest rates on Indebtedness incurred in accordance with this Indenture to the extent the notional
principal amount of such Interest Swap Obligation does not exceed the principal amount of the Indebtedness to which such Interest Swap Obligation relates; 
  
 (6) Currency Swap Obligations of the Company covering Indebtedness of the Company or any Restricted Subsidiary; provided that such Currency Swap
Obligations are entered into to protect the Company and its Restricted Subsidiaries from fluctuations in currency exchange rates on obligations incurred in accordance with this Indenture to the extent the notional principal amount of such Currency
Swap Obligation does not exceed the amount of the underlying obligation to which such Currency Swap Obligation relates; 
  
 (7) Commodity Obligations of the Company covering Indebtedness of the Company or any Restricted Subsidiary; provided that such Commodity
Obligations are entered into to protect the Company and its Restricted Subsidiaries from fluctuations in the price of commodities actually used in the ordinary course of business of the Company and its Restricted Subsidiaries; 
  
 (8) Indebtedness of a Restricted Subsidiary to the Company or to a Restricted
Subsidiary for so long as such Indebtedness is held by the Company or a Restricted Subsidiary, in each case subject to no Lien held by a Person other than the Company or a Restricted Subsidiary; provided that if as of any date any Person
other than the Company or a Restricted Subsidiary owns or holds any such Indebtedness or holds a Lien in respect of such Indebtedness, such date shall be deemed the incurrence of Indebtedness not constituting Permitted Indebtedness by the issuer of
such Indebtedness; 
  
 (9) Indebtedness of the Company to a
Restricted Subsidiary for so long as such Indebtedness is held by a Restricted Subsidiary, in each case subject to no Lien; provided that: 
  

	 	(a)	any Indebtedness of the Company to any Restricted Subsidiary is unsecured and subordinated, pursuant to a written agreement, to the obligations of the Company under this Indenture
and the Securities; and 

  

 44 

	 	(b)	if as of any date any Person other than a Restricted Subsidiary owns or holds any such Indebtedness or any Person holds a Lien in respect of such Indebtedness, such date shall be
deemed the incurrence of Indebtedness not constituting Indebtedness permitted by this clause (9); 

  
 (10) Indebtedness arising from the honoring by a bank or other financial institution of a check, draft or similar instrument inadvertently, except in the
case of daylight overdrafts, drawn against insufficient funds in the ordinary course of business; provided, however, that such Indebtedness is extinguished within two business days of incurrence; 
  
 (11) Indebtedness of the Company or any Restricted Subsidiary represented by
letters of credit for the account of the Company or to the account of such Restricted Subsidiary, as the case may be, in order to provide security for workers’ compensation claims, payment obligations in connection with self-insurance or
similar requirements in the ordinary course of business; 
  
 (12)
Indebtedness represented by Capitalized Lease Obligations of the Company and its Restricted Subsidiaries with respect to leasehold improvements and equipment made in the ordinary course of business; 
  
 (13) Lease Financing Obligations; 
  
 (14) Purchase Money Indebtedness, in an aggregate principal amount not to
exceed $15.0 million at any time outstanding; 
  
 (15) the
Guarantee by the Company or any of its Restricted Subsidiaries of Indebtedness of the Company or any of its Restricted Subsidiaries that was permitted to be incurred by another clause of this definition of Permitted Indebtedness (including the
Guarantee by the Company or any of its Restricted Subsidiaries of (i) the Initial Securities and the related Exchange Securities and (ii) Existing Indebtedness); 
  
 (16) Indebtedness incurred in respect of workers’ compensation claims, self insurance obligations, performance, surety
and similar bonds and completion Guarantees provided by the Company or a Restricted Subsidiary in the ordinary course of business; 
  
 (17) Indebtedness of a Restricted Subsidiary incurred and outstanding on the date on which such Restricted Subsidiary was acquired by the Company (other
than Indebtedness incurred (a) to provide all or any portion of the funds utilized to consummate the transaction or series of related transactions pursuant to which such Restricted Subsidiary became a Restricted Subsidiary or was otherwise acquired
by the Company or (b) otherwise in connection with, or in contemplation of, such acquisition); provided, however, that at the time such Restricted Subsidiary is acquired by the Company, the Company would have been able to incur $1.00 of
additional Indebtedness pursuant to the first paragraph of this Section 4.03 after giving effect to the incurrence of such Indebtedness pursuant to this clause (17); 
  
 (18) Indebtedness arising from agreements of the Company or a Restricted Subsidiary providing for indemnification,
adjustment of purchase price or similar obligations, in each case, incurred or assumed in connection with the disposition of any business, assets or Capital Stock of a Restricted Subsidiary, provided that the maximum aggregate liability in
respect of all such Indebtedness shall at no time exceed the gross proceeds actually received by the Company and its Restricted Subsidiaries in connection with such disposition plus $5.0 million; and 
  

 45 

 (19) additional Indebtedness of the Company in an aggregate principal amount not to exceed $30.0 million
at any one time outstanding. 
  
 For purposes of determining
compliance with, and the outstanding principal amount of any particular Indebtedness incurred pursuant to and in compliance with, this Section 4.03: 
  
 (1) subject to clause (2) below, in the event that Indebtedness meets the criteria of more than one of the types of Indebtedness described in the first or
second paragraphs of this Section 4.03, the Company, in its sole discretion, will classify such item of Indebtedness on the date of incurrence and only be required to include the amount and type of such Indebtedness in one of such clauses;

  
 (2) all Indebtedness outstanding on the Issue Date under the
Senior Credit Facility shall be deemed initially incurred on the Issue Date under clause (2) of the second paragraph of this Section 4.03 and not the first paragraph or any other clause of the second paragraph of this Section 4.03; 
  
 (3) Guarantees of, or obligations in respect of letters of credit relating
to, Indebtedness which is otherwise included in the determination of a particular amount of Indebtedness shall not be included; 
  
 (4) if obligations in respect of letters of credit are incurred pursuant to the Senior Credit Facility and are being treated as incurred pursuant to
clause (2) of the second paragraph of this Section 4.03 and the letters of credit relate to other Indebtedness, then such other Indebtedness shall not be included; 
  
 (5) the principal amount of any Disqualified Stock of the Company or a Restricted Subsidiary, or Preferred Stock of a
Restricted Subsidiary that is not a Subsidiary Guarantor, will be equal to the greater of the maximum mandatory redemption or repurchase price (not including, in either case, any redemption or repurchase premium) or the liquidation preference
thereof; 
  
 (6) Indebtedness permitted by this Section 4.03 need
not be permitted solely by reference to one provision permitting such Indebtedness but may be permitted in part by one such provision and in part by one or more other provisions of this Section 4.03 permitting such Indebtedness; and 
  
 (7) the amount of Indebtedness issued at a price that is less than the
principal amount thereof will be equal to the amount of the liability in respect thereof determined in accordance with GAAP. 
  
 Section 4.04. Limitation on Layering. 
  
 The Company will not, and will not cause or permit any Subsidiary Guarantor to directly or indirectly incur, or be liable for any Indebtedness that
expressly ranks senior in right of payment to the Securities or the Subsidiary Guarantees of such Subsidiary Guarantor, as the case may be, and subordinate in right of payment to any other Indebtedness of the Company or such Subsidiary Guarantor, as
the case may be. 
  
 Section 4.05. Limitation on Restricted Payments.

  
 The Company will not, and will not permit any of its
Restricted Subsidiaries to, directly or indirectly: 
  
 (1)
declare or pay any dividend or make any distribution on account of the Capital Stock of the Company (other than dividends or distributions payable in Qualified Capital Stock of the Company); 
  

 46 

 (2) redeem any of the Capital Stock of the Company or any warrants, rights or options to purchase or
acquire shares of any class of such Capital Stock; 
  
 (3) make
any principal payment on, or redeem, repurchase, defease or otherwise acquire or retire for value, in each case prior to any scheduled repayment, or maturity, any Indebtedness subordinate to the Securities; 
  
 (4) make any Investment (other than Permitted Investments) (all such payments
and other actions set forth in clauses (1), (2), (3) and (4) above being collectively referred to as a “Restricted Payment”) 
  
 unless, at the time of and after giving effect to such Restricted Payment: 
  
 (a) no Default or Event of Default shall have occurred and be continuing or would occur as a consequence thereof; 
  
 (b) the Company would, at the time of such Restricted
Payment and after giving pro forma effect thereto, have been permitted to incur at least $1.00 of additional Indebtedness pursuant to the Consolidated Fixed Charge Coverage Ratio test set forth in the first paragraph of Section 4.03; and 

 
 (3) such Restricted Payment, together with the aggregate
amount of all other Restricted Payments made by the Company and the Restricted Subsidiaries after the Issue Date, is less than or equal to the sum, without duplication, of: 
  
 (i) 50% of the Consolidated Net Income of the Company for the period (taken as one accounting period) from
the fiscal quarter that first begins after the Issue Date to the end of the Company’s most recently ended fiscal quarter for which internal financial statements are available at the time of such Restricted Payment (or, if such Consolidated Net
Income for such period is a loss, less 100% of such deficit), plus 
  
 (ii) 100% of the aggregate net cash proceeds received by the Company since the Issue Date and on or prior to the date of the Restricted Payment from any Person (other than one of the Company’s Subsidiaries) from
the issue and sale of the Company’s Qualified Capital Stock or from any equity contribution from a holder of the Capital Stock of the Company (other than Qualified Capital Stock), or any equity contribution, the proceeds of which are to be used
to redeem Securities pursuant to paragraph 6 of the Securities; plus 
  
 (iii) the principal amount of any Indebtedness of the Company or any Restricted Subsidiary of the Company incurred after the Issue Date which has been converted into or exchanged for Qualified Capital Stock of the
Company (minus the amount of any cash or property distributed by the Company or any Restricted Subsidiary upon such conversion or exchange); plus 
  
 (iv) the amount equal to the net reduction in Investments (other than Permitted Investments) made by the Company or any of its Restricted
Subsidiaries in any Person resulting from, without duplication: 
  
 (A) repurchases or redemptions of such Investments, proceeds realized upon the sale of such Investments to an unaffiliated purchaser and repayments of 

  

 47 

 
loans or advances or other transfers of assets by such Person to the Company or any of the Restricted Subsidiaries; or 
  
 (B) the redesignation of Unrestricted Subsidiaries as
Restricted Subsidiaries (valued in each case as provided in the definition of “Investment”) not to exceed the initial amount of the Restricted Payment in such Unrestricted Subsidiary; 
  
 provided that no amount shall be included under this
clause (iv) to the extent already included in the calculation of Consolidated Net Income. 
  
 The preceding provisions of this Section 4.05 will not prohibit: 
  
 (1) the payment of any dividend within 60 days after the date of declaration thereof, if at the date of declaration such payment would have complied with
the provisions of this Indenture; 
  
 (2) so long as no Default or
Event of Default shall have occurred and be continuing or would occur as a consequence thereof, the redemption, repurchase, retirement, defeasance or other acquisition of any of the Company’s subordinated Indebtedness or Capital Stock in
exchange for, or out of the net cash proceeds of the substantially concurrent sale of Qualified Capital Stock of the Company; provided that the amount of any such net cash proceeds that are utilized for any such redemption, repurchase,
retirement, defeasance or other acquisition shall be excluded from the portion of Restricted Payments relating to cash proceeds from equity transactions described in the preceding paragraph; 
  
 (3) so long as no Default or Event of Default shall have occurred and be
continuing or would occur as a consequence thereof, the defeasance, redemption, repurchase or other acquisition of subordinated Indebtedness of the Company with the net cash proceeds from a substantially concurrent sale of subordinated Indebtedness
of the Company; 
  
 (4) so long as no Default or Event of Default
shall have occurred and be continuing or would occur as a consequence thereof, the payment of any dividends or distributions by the Company to Holdings which Holdings promptly applies to repurchase its Capital Stock, including rights, options or
warrants to acquire such Capital Stock, from employees of Holdings or any of its Subsidiaries or their authorized representatives upon the death, disability or termination of employment of such employees, provided that the aggregate amount of
such payments do not exceed $2.0 million in any fiscal year; provided, however, that amounts not expended in any calendar year may be expended in succeeding fiscal years up to a maximum of $6.0 million in any fiscal year; 
  
 (5) so long as no Default or Event of Default shall have occurred and be
continuing or would occur as a consequence thereof, Restricted Payments not to exceed $15.0 million during the term of this Indenture; 
  
 (6) dividends or payments to Holdings for overhead expenses, including legal, accounting and other professional fees, directly attributable to the
operations of the Company and the Restricted Subsidiaries; 
  
 (7)
the payment of any dividends or distributions by the Company to Holdings that Holdings promptly applies to repurchase options to purchase Holdings’ Capital Stock held by a former employee or payment made by the Company to such former employee
in consideration for the cancellation of such 

  

 48 

 
former employee’s options to purchase Holdings’ Capital Stock; provided, however, that the aggregate amount of such dividends or
distributions or payments shall not exceed $3.0 million; 
  
 (8)
the distribution or payment of dividends by the Company (i) to Holdings that Holdings promptly applies to either pay dividends to Holdings stockholders or to repurchase shares of Holdings Capital Stock or (ii) to make a distribution to employees and
a director who hold options to purchase Holdings Capital Stock pro rata in relation to the shares of Holdings Capital Stock issuable upon exercise of such options, in either case within a reasonable time after the Issue Date with the proceeds from
the Initial Securities and the borrowings under the Senior Credit Facility; and 
  
 (9) the payment of dividends on the Company’s Common Stock (or dividends, distributions or advances to Holdings to allow Holdings to pay dividends on Holdings’ Common Stock) following the first Public Equity
Offering of the Company’s Common Stock (or of Holdings’ Common Stock, as the case may be) after the Issue Date, of, whichever is earlier, (i) in the case of the first public offering of the Company’s Common Stock, up to 6% per annum
of the Equity Offering Net Cash Proceeds received by the Company in such public offering or (ii) in the case of the first Public Equity Offering of Holdings’ Common Stock, up to 6% per annum of the amount contributed by Holdings to the Company
from the Equity Offering Net Cash Proceeds received by Holdings in such public offering, in each case, other than public offerings of the Company’s or Holdings’ Common Stock registered on Form S-4 or S-8. 
  
 In determining the aggregate amount of Restricted Payments made under the first paragraph of
this Section 4.05, amounts expended under clauses (1), (4) and (9) of the immediately preceding paragraph will be included, but amounts under clauses (2), (3), (5), (6), (7) and (8) of the immediately preceding paragraph will not be included.

  
 The amount of all Restricted Payments, other than cash, shall be the fair
market value, on the date of the Restricted Payment of the asset(s) or securities proposed to be transferred or issued by the Company or such Restricted Subsidiary, as the case may be, pursuant to the Restricted Payment. The fair market value of any
assets or securities that are required to be valued by this Section 4.05 shall be determined by the Company’s Board of Directors. 
  
 Section 4.06. Limitation on Asset Sales. 
  
 (a) The Company will not, and will not permit any of its Restricted Subsidiaries to, consummate an Asset Sale unless: 
  
 (1) the Company or the Restricted Subsidiary, as the case
may be, receives consideration at the time of such Asset Sale at least equal to the fair market value of the assets sold or otherwise disposed of; and 
  
 (2) at least 75% of the consideration therefore received by the Company or such Restricted Subsidiary is in the form of cash or Cash
Equivalents. 
  
 However, the Company and the Restricted
Subsidiaries will be permitted to consummate an Asset Sale without complying with the preceding paragraph if: 
  
 (1) the Company or the applicable Restricted Subsidiary, as the case may be, receives consideration at the time of such Asset Sale at
least equal to the fair market value of the assets or other property sold, issued or otherwise disposed of; and 
  

 49 

 (2) at least 75% of the consideration for such Asset Sale constitutes cash or Replacement
Assets; provided that any consideration not constituting Replacement Assets, received by the Company or any of the Restricted Subsidiaries in connection with any Asset Sale permitted to be consummated under this paragraph shall constitute Net
Cash Proceeds subject to the provisions of the next paragraph. 
  
 (b) Within 360 days of the receipt of any Net Cash Proceeds from an Asset Sale, the Company may apply such Net Cash Proceeds, at its option: 
  
 (1) to prepay Indebtedness under the Senior Credit Facility and permanently reduce the availability thereunder; 
  
 (2) to repay any Senior Indebtedness and permanently reduce
the availability thereunder; 
  
 (3) to make an
investment in Replacement Assets; or 
  
 (4) to
effect a combination of the transactions set forth in clauses (1) through (3) above. 
  
 When the aggregate amount of Net Cash Proceeds from Asset Sales which are not applied or invested as provided in the preceding paragraph (“Excess Proceeds”) exceeds $10.0 million, the Company shall
make an offer to all Holders to purchase on a pro rata basis, that amount of Securities equal to the amount of Excess Proceeds. The offer price will be equal to 100% of the principal amount thereof, plus accrued and unpaid interest, if any, to the
date of purchase and will be paid in cash. On the 361st day after an Asset Sale or such earlier date, if any, as the Board of Directors of the Company or of such Restricted Subsidiary determines, as the case may be, not to apply the Net Cash
Proceeds relating to such Asset Sale as set forth in clauses (1) through (4) of the immediately preceding paragraph, (each, a “Net Proceeds Offer Trigger Date”), the Company shall make the offer to purchase (the “Net
Proceeds Offer”) on a date (the “Net Proceeds Offer Payment Date”) not less than 30 nor more than 60 days following the applicable Net Proceeds Offer Trigger Date. If at any time any non-cash consideration received by the
Company or any Restricted Subsidiary, as the case may be, in connection with any Asset Sale is converted into or sold or otherwise disposed of for cash (other than interest received with respect to any such non-cash consideration), then such
conversion or disposition shall be deemed to constitute an Asset Sale hereunder and the Net Cash Proceeds thereof shall be applied in accordance with this covenant. 
  
 In the event of the transfer of substantially all, but not all, of the property and assets of the Company and its Restricted
Subsidiaries as an entirety to a Person in a transaction permitted under Section 5.01, the successor corporation shall be deemed to have sold the properties and assets of the Company and the Restricted Subsidiaries not so transferred for purposes of
this Section 4.06 and shall comply with the provisions of this Section 4.06 in connection with such deemed sale. In addition, the fair market value of such properties and assets of the Company or its Restricted Subsidiaries deemed to be sold shall
be deemed to be Net Cash Proceeds for purposes of this covenant. 
  

 50 

 (c) Within 30 days following the Net Proceeds Offer Trigger Date, the Company shall send, by first class
mail, postage prepaid, a notice to each Holder of Securities, with a copy to the Trustee, which notice shall govern the terms of the Net Proceeds Offer. The notice to the Holders shall contain all instructions and materials necessary to enable such
Holders to tender Securities pursuant to the Net Proceeds Offer. Such notice shall state: 
  
 (1) that the Net Proceeds Offer is being made pursuant to this Section 4.06 and that all Securities validly tendered, in whole or in part,
and not withdrawn will be accepted for payment; provided, however, that to the extent that Holders validly tender Securities in an amount exceeding the Net Proceeds Offer Amount, Securities of tendering Holders will be repurchased on a pro
rata basis; 
  
 (2) the repurchase price
(including the amount of accrued interest, if any) and the repurchase date (which shall be no earlier than 30 days nor later than 60 days following the applicable Net Proceeds Offer Trigger Date, other than as may be required by law) and that the
Net Proceeds Offer will remain open for a period of 20 business days or such longer period as may be required by law; 
  
 (3) that any Security not tendered will continue to accrue interest; 
  
 (4) that, unless the Company defaults in making payment therefor, any Security accepted for payment pursuant
to the Net Proceeds Offer shall cease to accrue interest after the Net Proceeds Offer Payment Date; 
  
 (5) that Holders electing to have a Security purchased pursuant to a Net Proceeds Offer will be required to surrender the Security, with
the form entitled “Option of Holder to Elect Repurchase” on the reverse of the Security completed, to the Paying Agent at the address specified in the notice prior to the close of business on the third Business Day prior to the Net
Proceeds Offer Payment Date; 
  
 (6) that Holders
will be entitled to withdraw their election if the Paying Agent receives, not later than five Business Days prior to the Net Proceeds Offer Payment Date, a telegram, telex, facsimile transmission or letter setting forth the name of the Holder, the
principal amount of the Securities the Holder delivered for purchase and a statement that such Holder is withdrawing his election to have such Security purchased; 
  
 (7) that Holders whose Securities are purchased only in part will be issued new Securities in a principal
amount equal to the unpurchased portion of the Securities surrendered; provided, however, that each Security repurchased and each new Security issued shall be in a principal amount of $1,000 or integral multiples thereof; and 
  
 (8) the circumstances and relevant facts regarding the
applicable Asset Sale. 
  
 (d) On or before the Net Proceeds Offer
Payment Date, the Company shall (i) accept for payment Securities or portions thereof (in integral multiples of $1,000) validly tendered pursuant to the Net Proceeds Offer, (ii) deposit with the Paying Agent in accordance with Section 2.14 cash or
Cash Equivalents sufficient to pay the repurchase price plus accrued and unpaid interest, if any, of all Securities so tendered and (iii) deliver to the Trustee Securities so accepted together with an Officers’ Certificate stating the
Securities or portions thereof being repurchased by the Company. Upon receipt by the Paying Agent of the monies specified in clause (ii) above and a copy of the Officers’ Certificate specified in clause (iii) above, the Paying Agent shall
promptly mail to the Holders so accepted payment in an amount equal to the repurchase price plus accrued and unpaid interest, if any, out of the funds deposited with the Paying Agent in accordance with the preceding sentence. The Trustee shall
promptly authenticate and mail to such Holders new Securities equal in principal amount to any unpurchased portion of the Securities surrendered. Upon the payment of the repurchase price for the Securities accepted for repurchase, the Trustee shall
return the Securities repurchased to the Company for 

  

 51 

 
cancellation. Any monies remaining after the repurchase of Securities pursuant to a Net Proceeds Offer shall be returned within three Business Days by the
Trustee to the Company except with respect to monies owed as obligations to the Trustee pursuant to Article Seven. For purposes of this Section 4.06, the Trustee shall, except with respect to monies owed as obligations to the Trustee pursuant to
Article Seven, act as the Paying Agent. 
  
 (e) The Company shall
comply with the requirements of 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 connection with the repurchase of Securities pursuant to a Net
Proceeds Offer. To the extent that the provisions of any securities laws or regulations conflict with this Section 4.06, the Company shall comply with the applicable securities laws and regulations and shall not be deemed to have breached its
obligations under this Section 4.06 by virtue thereof. 
  
 Section 4.07.
Limitation on Restrictions on Distributions from Restricted Subsidiaries. 
  
 The Company will not, and will not cause or permit any of its Restricted Subsidiaries to, directly or indirectly, create or otherwise cause or permit to exist or become effective any encumbrance or restriction on the
ability of any of its Restricted Subsidiaries to: 
  
 (1) pay
dividends or make any other distributions on or in respect of their Capital Stock; 
  
 (2) make loans or advances or to pay any Indebtedness or other obligation owed to the Company or any of the Restricted Subsidiaries; or 
  
 (3) transfer any of the Company’s or the Restricted Subsidiaries’ property or assets to the Company or any other
Restricted Subsidiary. 
  
 However, the preceding restrictions will not apply to
encumbrances or restrictions existing under or by reason of: 
  
 (1) applicable law; 
  
 (2) this Indenture; 

 
 (3) customary non-assignment provisions of any contract or any lease
entered into in the ordinary course of business and consistent with past practices governing a leasehold interest of any Restricted Subsidiary; 
  
 (4) any instrument governing Acquired Indebtedness, which encumbrance or restriction is not applicable to any Person, or the properties or assets of any
Person, other than the Person or the properties or assets of the Person so acquired; 
  
 (5) agreements existing on the Issue Date, to the extent and in the manner such agreements are in effect on the Issue Date; 
  
 (6) customary Liens granted by the Company or any Restricted Subsidiary to secure Senior Indebtedness or Senior Indebtedness of a Restricted Subsidiary;

  
 (7) an agreement governing Indebtedness incurred to Refinance
the Indebtedness issued, assumed or incurred pursuant to an agreement referred to in clause (2), (3), (5), (6) or (7) of the second paragraph of Section 4.03; provided that the provisions relating to such encumbrance or restriction 

  

 52 

 
contained in any such Indebtedness are no less favorable to the Company in any material respect as determined by the Board of Directors of the Company in
their reasonable and good faith judgment than the provisions relating to such encumbrance or restriction contained in agreements referred to in such clauses; 
  
 (8) Purchase Money Indebtedness for property or assets acquired in the ordinary course of business that only imposes encumbrances or restrictions on the
property so acquired; 
  
 (9) Permitted Liens; and 
  
 (10) any agreement for the sale or disposition of the Capital Stock or assets
of a Restricted Subsidiary; provided that such encumbrances and restrictions are only applicable to such assets or Restricted Subsidiary, as applicable, and any such sale or disposition is made in compliance with Section 4.06. 
  
 Section 4.08. Limitation on Liens. 
  
 The Company will not, and will not permit any Restricted Subsidiary to,
incur or suffer to exist any Lien, other than Permitted Liens, on property or assets of the Company or the Restricted Subsidiaries to secure Indebtedness that is pari passu or subordinated in right of payment to the Securities or the
Subsidiary Guarantees without making, or causing such Restricted Subsidiary to make, effective provision for securing the Securities or the Subsidiary Guarantees; provided that: 
  
 (1) in the case of a Lien securing Indebtedness that is pari passu with the Securities or the Subsidiary Guarantees,
the Lien securing the Securities or the Subsidiary Guarantees is senior or pari passu in priority with such Lien; and 
  
 (2) in the case of a Lien securing Indebtedness that is subordinated in right of payment to the Securities or the Subsidiary Guarantees, the Lien securing
the Securities or the Subsidiary Guarantees is senior in priority to such Lien. 
  
 Notwithstanding the foregoing, any security interest granted by the Company or any Restricted Subsidiary to secure the Securities or the Subsidiary Guarantees created pursuant to the previous paragraph will provide
that such security interest shall be automatically and unconditionally released and discharged upon the release by the holders of the Indebtedness of the Company or any Restricted Subsidiary described in the previous paragraph of their security
interest (including any deemed release upon indefeasible payment in full of all obligations under such Indebtedness), at a time when: 
  
 (1) no other Indebtedness that is pari passu or subordinated in right of payment to the Securities or the Subsidiary Guarantees has been secured by
such property or assets of the Company or any such Restricted Subsidiary; or 
  
 (2) the holders of all such other Indebtedness which is secured by such property or assets of the Company or any such Restricted Subsidiary release their security interest in such property or assets (including any
deemed release upon indefeasible payment in full of all obligations under such Indebtedness). 
  

 53 

 Section 4.09. Limitation on Affiliate Transactions. 
  
 The Company will not, and will not permit any of the Restricted Subsidiaries to, enter into or permit or suffer to exist any
transaction or series of related transactions with, or for the benefit of, any Affiliate (each, an “Affiliate Transaction”), unless: 
  
 (1) such Affiliate Transaction is on terms that are no less favorable to the Company or the relevant Restricted Subsidiary than those that would have been
obtained in a comparable transaction by the Company or such Restricted Subsidiary with an unrelated Person; and 
  
 (2) the Company delivers to the Trustee: 
  
 (a) with respect to any Affiliate Transaction or a series of related Affiliate Transactions involving aggregate consideration in excess of
$5.0 million, a resolution of the Board of Directors of the Company set forth in an Officer’s Certificate certifying that such Affiliate Transaction complies with clause (1) above and that such Affiliate Transaction has been approved by a
majority of the disinterested members of the Board of Directors; and 
  
 (b) with respect to any Affiliate Transaction or a series of related Affiliate Transactions involving aggregate consideration in excess of $10.0 million, an opinion as to the fairness to the Holders of such Affiliate
Transaction from a financial point of view issued by an Independent Financial Advisor. 
  
 The following items shall not be deemed to be Affiliate Transactions and, therefore, will not be subject to the provisions of the prior paragraph: 
  
 (1) transactions between or among the Company and/or the Restricted Subsidiaries; 
  
 (2) payment of reasonable fees and compensation paid to, and indemnity
provided on behalf of, the Company’s and or any of the Restricted Subsidiaries’ officers, directors, employees or consultants and determined in good faith by the Company’s Board of Directors; 
  
 (3) agreements in effect on the Issue Date, which consist of: 
  
 (a) the Stockholders Agreement among the several
stockholders of Holdings; and 
  
 (b) the
Registration Rights Agreement among the several stockholders Holdings; and 
  
 (4) Restricted Payments that are permitted by the provisions of this Indenture. 
  
 Section 4.10. Change of Control. 
  
 (a) If a Change of Control occurs, each Holder will have the right to require the Company to make an offer (a “Change of Control Offer”)
to each Holder to repurchase all or any part, equal to $1,000 or an integral multiple thereof, of such Holder’s Securities. In the Change of Control offer, the Company will offer payment in cash equal to 101% of the principal amount thereof,
plus accrued and unpaid interest, if any, thereon to the date of purchase (the “Change of Control Payment”). Within 30 days following a Change of Control, the Company will mail a notice to each Holder describing the transaction or
transactions that constitute the Change of Control and offering to repurchase Securities on the date specified in such notice, which date shall be no earlier than 30 days and no later than 60 days from the date such notice is mailed (the
“Change of Control Payment Date”). 
  

 54 

 (b) Prior to complying with the provisions of this Section 4.10, but in any event within 30 days
following a Change of Control, if the repurchase of Securities would violate any other Indebtedness, the Company will either repay all such Indebtedness or obtain the requisite consents, if any, under all agreements governing such Indebtedness to
permit the repurchase of Securities. The Company will publicly announce the results of the Change of Control Offer on or as soon as practicable after the Change of Control Payment Date. 
  
 (c) Within 30 days following the Change of Control, the Company shall send, by first class mail, postage prepaid, a notice
to each Holder of Securities, with copy to the Trustee, which notice shall govern the terms of the Change of Control Offer. The notice to the Holders shall contain all instructions and materials necessary to enable such Holders to tender Securities
pursuant to the Change of Control Offer. Such notice shall state: 
  
 (1) that the Change of Control Offer is being made pursuant to this Section 4.10 and that all Securities validly tendered and not withdrawn will be accepted for payment; 
  
 (2) the repurchase price (including the amount of accrued
interest, if any) and the Change of Control Payment Date; 
  
 (3) that any Security not tendered will continue to accrue interest; 
  
 (4) that, unless the Company defaults in making payment therefor, any Security accepted for payment pursuant to the Change of Control
Offer shall cease to accrue interest after the Change of Control Payment Date; 
  
 (5) that Holders electing to have a Security purchased pursuant to a Change of Control Offer will be required to surrender the Security,
with the form entitled “Option of Holder to Elect Repurchase” on the reverse of the Security completed, to the Paying Agent at the address specified in the notice prior to the close of business on the third Business Day prior to the Change
of Control Payment Date; 
  
 (6) that Holders
will be entitled to withdraw their election if the Paying Agent receives, not later than five Business Days prior to the Change of Control Payment Date, a telegram, telex, facsimile transmission or letter setting forth the name of the Holder, the
principal amount of the Securities the Holder delivered for purchase and a statement that such Holder is withdrawing his election to have such Security purchased; 
  
 (7) that Holders whose Securities are purchased only in part will be issued new Securities in a principal
amount equal to the unpurchased portion of the Securities surrendered; provided that each Security repurchased and each new Security issued shall be in a principal amount of $1,000 or integral multiples thereof; and 
  
 (8) the circumstances and relevant facts regarding such
Change of Control. 
  
 (d) On the Change of Control Payment Date,
the Company will, to the extent lawful: 
  
 (1)
accept for payment all Securities or portions thereof properly tendered pursuant to the Change of Control Offer; 
  
 (2) deposit with the paying agent an amount equal to the Change of Control Payment in respect of all Securities or portions thereof so
tendered; and 
  

 55 

 (3) deliver or cause to be delivered to the Trustee the Securities so accepted together
with an Officers’ Certificate stating the aggregate principal amount of Securities or portions thereof being purchased by the Company. 
  
 (e) The paying agent will promptly mail to each holder of Securities so tendered the change of control payment for such Securities, and the Trustee will
promptly authenticate and mail, or cause to be transferred by book-entry, to each Holder a new Security equal in aggregate principal amount to any unpurchased portion of the Securities surrendered, if any; provided that each such new Security
will be in a principal amount of $1,000 or an integral multiple thereof. 
  
 (f) The Company will comply with the requirements of 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 connection with
the repurchase of the Securities as a result of a Change of Control. To the extent that the provisions of any securities laws or regulations conflict with provisions of this Section 4.10, the Company will comply with the applicable securities laws
and regulations and will not be deemed to have breached its obligations under this paragraph by virtue thereof. 
  
 (g) The Company will not be required to make a Change of Control Offer upon a Change of Control if a third party makes the Change of Control Offer in the
manner, at the times and otherwise in compliance with the requirements set forth in this Indenture applicable to a Change of Control Offer made by the Company and purchases all Securities validly tendered and not withdrawn under such Change of
Control Offer. 
  
 Section 4.11. Future Subsidiary Guarantees. 

 
 If the Company or any of its Restricted Subsidiaries transfer or cause to
be transferred, in one transaction or a series of related transactions, any property to any Restricted Subsidiary that is not a Subsidiary Guarantor, or if the Company or any of its Restricted Subsidiaries organize, acquire or otherwise invest in
another Restricted Subsidiary, then such transferee or newly acquired or other Restricted Subsidiary shall execute and deliver to the Trustee a supplemental indenture as a Subsidiary Guarantor and deliver to the Trustee an Opinion of Counsel that
such supplemental indenture has been duly authorized, executed and delivered by such Restricted Subsidiary and constitutes a legal, valid, binding and enforceable obligation of such Restricted Subsidiary. Thereafter, such Restricted Subsidiary shall
be a Subsidiary Guarantor for all purposes of this Indenture. 
  
 Section 4.12.
Designation of Restricted and Unrestricted Subsidiaries. 
  
 The Company may designate any Restricted Subsidiary to be an Unrestricted Subsidiary if that designation would not cause a Default. If a Restricted Subsidiary is designated as an Unrestricted Subsidiary, all outstanding Investments owned by
the Company and its Restricted Subsidiaries in the Subsidiary so designated will be deemed to be an Investment constituting a Restricted Payment made as of the time of such designation. All such outstanding Investments will be valued at the fair
market value of the Company’s proportionate interest in the net worth of such Subsidiary at the time of such designation calculated in accordance with GAAP. That designation will only be permitted if such Restricted Payment would be permitted
at that time. The Board of Directors may redesignate any Unrestricted Subsidiary to be a Restricted Subsidiary if the redesignation would not cause a Default and all Liens and Indebtedness of such Unrestricted Subsidiary outstanding immediately
after such redesignation would, if incurred at such time, have been permitted to be incurred for all purposes of the Indenture. 
  

 56 

 Neither the Company nor any Restricted Subsidiary shall at any time: 
  
 (1) provide credit support for or Guarantee any Indebtedness of any
Unrestricted Subsidiary; 
  
 (2) be directly or indirectly liable
for any Indebtedness of any Unrestricted Subsidiary; or 
  
 (3) be
directly or indirectly liable for any Indebtedness which provides that the holder thereof may (upon notice, lapse of time or both) declare a default thereon or cause the payment thereof to be accelerated or payable prior to its final scheduled
maturity upon the occurrence of a default with respect to any Indebtedness of any Unrestricted Subsidiary. 
  
 Section 4.13. Conduct of Business. 
  
 The Company and its Restricted Subsidiaries will not engage in any businesses other than Permitted Businesses. 
  
 Section 4.14. Reports to Holders. 
  
 Whether or not required by the rules and regulations of the Commission, so long as any Securities are outstanding, the Company will furnish to the
Trustee, within the time periods specified in the Commission’s rules and regulations: 
  
 (1) all quarterly and annual financial information that would be required to be contained in a filing with the Commission on Forms 10-Q and 10-K if the Company were required to file these forms, including a
“Management’s discussion and analysis of financial condition and results of operations” that describes the financial condition and results of operations of the Company and its consolidated Subsidiaries (showing in reasonable detail,
either on the face of the financial statements or in the footnotes thereto and in “Management’s discussion and analysis of financial condition and results of operations,” the financial condition and results of operations of the
Company and its Restricted Subsidiaries separate from the financial condition and results of operations of the Unrestricted Subsidiaries of the Company (unless immaterial and not required by Commission rules)) and, with respect to the annual
consolidated financial statements only, a report thereon by the Company’s certified independent accountants; and 
  
 (2) all current reports that would be required to be filed with the Commission on Form 8-K if the Company were required to file these reports. 

 
 In addition, whether or not required by the rules and regulations of the
Commission, the Company will file a copy of all of the information and reports referred to in the above clauses with the Commission for public availability within the time periods specified in the Commission’s rules and regulations (unless the
Commission will not accept such a filing) and make this information available to securities analysts and prospective investors upon request. 
  
 In addition, the Company will furnish the holders, and securities analysts and prospective investors upon their request, information required to be
delivered under Rule 144A(d)(4) under the Securities Act. For purposes of this covenant, the Company will be deemed to have furnished such information if it has filed the reports referred to in the first paragraph of this covenant above with the
Commission and such reports are publicly available. 
  
 The
Trustee hereby disclaims any verification or responsibility for the validity of any financial information furnished to the Holders pursuant to this Section 4.14. 
  

 57 

 Section 4.15. Corporate Existence. 
  
 Subject to Article Five, the Company shall do or shall cause to be done all things necessary to preserve and keep in full
force and effect its corporate existence and the corporate, partnership or other existence of each Restricted Subsidiary in accordance with the respective organizational documents of each such Restricted Subsidiary and the rights (charter and
statutory) and material franchises of the Company and the Restricted Subsidiaries; provided, however, that the Company shall not be required to preserve any such right or franchise, or the corporate existence of any Restricted Subsidiary, if
the Board of Directors of the Company shall determine that the preservation thereof is no longer desirable in the conduct of the business of the Company and the Restricted Subsidiaries, taken as a whole, and that the loss thereof is not, and will
not be, adverse in any material respect to the Holders; provided, further, however, that a determination of the Board of Directors of the Company shall not be required in the event of a merger of one or more Wholly-Owned Restricted
Subsidiaries of the Company with or into another Wholly-Owned Restricted Subsidiary of the Company or another Person, if the surviving Person is a Wholly-Owned Restricted Subsidiary of the Company organized under the laws of the United States or a
State thereof or of the District of Columbia. 
  
 Section 4.16. Payment of
Taxes and Other Claims. 
  
 The Company shall pay or
discharge or cause to be paid or discharged, before the same shall become delinquent, (1) all material taxes, assessments and governmental charges levied or imposed upon the Company or any Restricted Subsidiary or upon the income, profits or
property of the Company or any Restricted Subsidiary and (2) all lawful claims for labor, materials and supplies which, in each case, if unpaid, might by law become a material liability, or Lien upon the property, of the Company or any Restricted
Subsidiary; provided, however, 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 whose amount, applicability or validity is being contested in good faith by
appropriate proceedings and for which appropriate provision has been made. 
  
 Section 4.17. Notice of Defaults. 
  
 (a) In the
event that any Indebtedness of the Company or any of its Subsidiaries is declared due and payable before its maturity because of the occurrence of any default (or any event which, with notice or lapse of time, or both, would constitute such a
default) under such Indebtedness, the Company shall promptly give written notice to the Trustee of such declaration, the status of such default or event and what action the Company is taking or proposes to take with respect thereto. 
  
 (b) Upon becoming aware of any Default or Event of Default, the Company shall
promptly deliver an Officers’ Certificate to the Trustee specifying the Default or Event of Default. 
  
 Section 4.18. Maintenance of Properties and Insurance. 
  
 (a) The Company shall cause all material properties owned by or leased to it or any Restricted Subsidiary and used or useful in the conduct of its business or the business of any Restricted Subsidiary to be maintained
and kept in normal condition, repair and working order and supplied with all necessary equipment and shall 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, however, that nothing in this Section 4.18 shall prevent the Company or any Restricted Subsidiary
from discontinuing the use, operation or maintenance of any of such properties, or disposing 

  

 58 

 
of any of them, if such discontinuance or disposal is, in the judgment of the Board of Directors or of the board of directors of the Restricted Subsidiary
concerned, or of an officer (or other agent employed by the Company or of any Restricted Subsidiary) of the Company or such Restricted Subsidiary having managerial responsibility for any such property, desirable in the conduct of the business of the
Company or any Restricted Subsidiary, and if such discontinuance or disposal is not adverse in any material respect to the Holders. 
  
 (b) The Company shall maintain, and shall cause the Restricted Subsidiaries to maintain, insurance with responsible carriers against such risks and in
such amounts, and with such deductibles, retentions, self-insured amounts and co-insurance provisions, as are customarily carried by similar businesses of similar size, including property and casualty loss, and workers’ compensation insurance.

  
 Section 4.19. Compliance Certificate. 
  
 The Company shall deliver to the Trustee within 90 days after the close of
each fiscal year a certificate signed by the principal executive officer or chief financial officer stating that a review of the activities of the Company has been made under the supervision of the signing officers with a view to determining whether
a Default or Event of Default has occurred and whether or not the signers know of any Default or Event of Default by the Company that occurred during such fiscal year. If they do know of such a Default or Event of Default, the certificate shall
describe all such Defaults or Events of Default, their status and the action the Company is taking or proposes to take with respect thereto. The first certificate to be delivered by the Company pursuant to this Section 4.19 shall be for the fiscal
year ending January 2, 2005. 
  
 Section 4.20. Waiver of Stay, Extension or
Usury Laws. 
  
 Each of the Company and the Subsidiary
Guarantors covenants (to the extent that it may lawfully do so) that it shall not at any time insist upon, plead, or in any manner whatsoever claim or take the benefit or advantage of, any stay or extension law or any usury law or other law, which
would prohibit or forgive the Company or such Subsidiary Guarantor from paying all or any portion of the principal of and/or interest, if any, on the Securities as contemplated herein, wherever enacted, now or at any time hereafter in force, or
which may affect the covenants or the performance of this Indenture; and (to the extent that it may lawfully do so) the Company and each Subsidiary Guarantor hereby expressly waives all benefit or advantage of any such law, and covenants that it
shall not hinder, delay or impede the execution of any power herein granted to the Trustee, but shall suffer and permit the execution of every such power as though no such law had been enacted. 
  
 Section 4.21. Payments for Consent. 
  
 Neither the Company nor any of its Subsidiaries will, directly or
indirectly, pay or cause to be paid any consideration, whether by way of interest, fee or otherwise, to any Holder for or as an inducement to any consent, waiver or amendment of any of the terms or provisions of the Securities, this Indenture or the
Registration Rights Agreement unless such consideration is offered to be paid or is paid to all Holders that consent, waive or agree to amend in the time frame set forth in the solicitation documents relating to such consent, waiver or agreement.

  

 59 

  
 ARTICLE V 

 
 MERGERS; SUCCESSOR CORPORATION 
  
 Section 5.01. Merger, Consolidation and Sale of Assets. 
  
 The Company will not, in a single transaction or series of related
transactions: 
  
 (1) consolidate or merge with or into another
Person, whether or not the Company is the surviving corporation; or 
  
 (2) sell, assign, transfer, convey, lease or otherwise dispose of all or substantially all of the properties or assets of the Company, in one or more related transactions, to another Person, unless: 
  
 (a) either: 
  
 (i) the Company is the surviving or continuing corporation;
or 
  
 (ii) the Person formed by or surviving any
such consolidation or merger (if other than the Company) or to which such sale, assignment, transfer, conveyance, lease or other disposition shall have been made is a corporation organized or existing under the laws of the United States, any state
of the United States or the District of Columbia; 
  
 (b) the Person formed by or surviving any such consolidation or merger (if other than the Company) or to which such sale, assignment, transfer, conveyance, lease or other disposition shall have been made assumes all the obligations of the
Company under the Securities and this Indenture pursuant to a supplemental indenture reasonably satisfactory to the Trustee; 
  
 (c) immediately after such transaction no Default or Event of Default exists; and 
  
 (d) the Company or the Person formed by or surviving any
such consolidation or merger (if other than the Company) will, on the date of such transaction after giving pro forma effect thereto and any relating financing transactions as if the same had occurred at the beginning of the applicable Four-Quarter
Period, be able to incur at least $1.00 of additional Indebtedness pursuant to the Consolidated Fixed Charge Coverage Ratio test set forth in the first paragraph of Section 4.03. 
  
 For purposes of the foregoing, the transfer by lease, assignment, sale or otherwise, in a single transaction or series of transactions, of
all or substantially all of the properties or assets of one or more Restricted Subsidiaries of the Company the Capital Stock of which constitutes all or substantially all of the properties and assets of the Company shall be deemed to be the transfer
of all or substantially all of the properties and assets of the Company. 
  
 Each 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: 
  
 (1) the Person formed by or surviving any such
consolidation or merger (if other than the Subsidiary Guarantor) is a corporation organized or existing under the laws of the United States, any state of the United States or the District of Columbia; 
  

 60 

 (2) such Person formed by or surviving any such consolidation or merger (if other than the Subsidiary
Guarantor) assumes all of the obligations of the Subsidiary Guarantor on its Subsidiary Guarantee pursuant to a supplemental indenture; 
  
 (3) immediately after such transaction, no Default or Event of Default exists; and 
  
 (4) the Company will, on the date of such transaction after giving pro forma effect thereto and any relating financing
transactions as if the same had occurred at the beginning of the applicable Four-Quarter Period, be able to incur at least $1.00 of additional Indebtedness pursuant to the Consolidated Fixed Charge Coverage Ratio test set forth in the first
paragraph of Section 4.03. 
  
 Section 5.02. Successor Corporation Substituted.

  
 In the event of any transaction (other than a lease)
described in and complying with the conditions listed in Section 5.01 in which the Company is not the continuing corporation, the successor Person formed by such consolidation or into which the Company is merged or to which such sale, assignment,
transfer, lease, conveyance or other disposition is made shall succeed to, and be substituted for, and may exercise every right and power of, the Company, as applicable, under this Indenture and the Securities, as applicable, and the Registration
Rights Agreement with the same effect as if such surviving entity had been named as such and the Company shall be discharged from its Obligations under this Indenture and the Securities or such Subsidiary Guarantor shall be discharged from its
Obligations under this Indenture and its Subsidiary Guarantee. 
  
 ARTICLE VI 
  
 DEFAULT AND REMEDIES

  
 Section 6.01. Events of Default. 
  
 Each of the following shall be an “Event of Default” for
purposes of this Indenture: 
  
 (1) default for
30 days in the payment when due of interest or additional interest (as required by the Registration Rights Agreement) on the Securities, whether or not prohibited by Articles Eight or Twelve; 
  
 (2) default in payment when due of the principal of or
premium, if any, on the Securities, whether or not prohibited by Articles Eight or Twelve; 
  
 (3) failure by the Company or any Subsidiary Guarantor to comply with Section 5.01; 
  
 (4) failure for 30 days after written notice specifying any
other failure to comply with any other covenant or agreement contained in this Indenture (and demanding that such default be remedied) from the Trustee or the Holders of at least 25% of the outstanding principal amount of the Securities; 

 
 (5) default under one or more instruments under which
there may be issued or by which there may be secured or evidenced any Indebtedness having an outstanding principal amount of $20.0 million or more, individually or in the aggregate, of the Company or any of its Restricted Subsidiaries, if that
default: 
  
 (a) results in the acceleration of
such Indebtedness prior to its express maturity; or 
  

 61 

 (b) is caused by a failure to pay principal of such Indebtedness at its stated maturity
and the grace period provided in such Indebtedness on the date of such default has expired; 
  
 (6) failure by the Company or any of its Restricted Subsidiaries to pay final judgments aggregating in excess of $20.0 million, which
judgments are not paid, discharged or stayed, within a period of 60 days of the entry thereof; 
  
 (7) except as permitted by this Indenture, any Subsidiary Guarantee shall be held in any judicial proceeding to be unenforceable or
invalid or shall cease for any reason to be in full force and effect or any Subsidiary Guarantor shall deny or disaffirm its obligations under its Subsidiary Guarantee; 
  
 (8) the Company or any Significant Subsidiary pursuant to or within the meaning of any Bankruptcy Law: (i)
admits in writing its inability to pay its debts generally as they become due; (ii) commences a voluntary case or proceeding; (iii) consents to the entry of an order for relief against it in an involuntary case or proceeding; (iv) consents or
acquiesces in the institution of a bankruptcy or insolvency proceeding against it; (v) consents to the appointment of a Custodian of it or for all or substantially all of its property; or (vi) makes a general assignment for the benefit of its
creditors, or any of them takes any action to authorize or effect any of the foregoing; and 
  
 (9) a court of competent jurisdiction enters an order or decree under any Bankruptcy Law that: (i) is for relief against the Company or
any Significant Subsidiary in an involuntary case or proceeding; (ii) appoints a Custodian of the Company or any Significant Subsidiary for all or substantially all of its property; or (iii) orders the liquidation of the Company or any Significant
Subsidiary; and in each case the order or decree remains unstayed and in effect for 60 days; provided, however, that if the entry of such order or decree is appealed and dismissed on appeal, then the Event of Default hereunder by reason of
the entry of such order or decree shall be deemed to have been cured. 
  
 The term “Bankruptcy Law” means Title 11, U.S. Code or any similar Federal, state or foreign law for the relief of debtors. The term “Custodian” means any receiver, trustee, assignee, liquidator,
sequestrator or similar official under any Bankruptcy Law. 
  
 Section 6.02.
Acceleration. 
  
 If an Event of Default (other than an Event
of Default specified in clause (8) or (9) of Section 6.01 with respect to the Company) shall occur and be continuing, the Trustee or the Holders of at least 25% in aggregate principal amount of outstanding Securities may declare the principal of,
and premium, if any, and accrued interest on all the Securities to be due and payable by notice in writing to the Company (and to the Trustee if given by the Holders) specifying the respective Event of Default and that it is a “notice of
acceleration,” and the same shall become immediately due and payable. 
  
 If an Event of Default specified in clause (8) or (9) of Section 6.01 with respect to the Company occurs and is continuing, then all unpaid principal of, and premium, if any, and accrued interest on all of 

  

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the outstanding Securities shall ipso facto become and be immediately due and payable without any declaration or other act on the part of the Trustee or any
Holder. 
  
 At any time after a declaration of acceleration with
respect to the Securities as described in the two preceding paragraphs, the Holders of a majority in principal amount of the Securities may rescind and cancel such declaration and its consequences (i) if the decision would not conflict with any
judgment or decree, (ii) if all existing Events of Default have been cured or waived except nonpayment of principal or interest that has become due solely because of the acceleration, (iii) to the extent the payment of such interest is lawful,
interest on overdue installments of interest and overdue principal, which has become due otherwise than by such declaration or acceleration, has been paid, (iv) if the Company has paid the Trustee its reasonable compensation and reimbursed the
Trustee for its expenses, disbursements and advances and (v) in the event of the cure or waiver of an Event of Default of the type described in clause (8) or (9) of Section 6.01, the Trustee shall have received an Officers’ Certificate and an
Opinion of Counsel that such Event of Default has been cured or waived. No such rescission shall affect any subsequent Default or impair any right consequent thereto. 
  
 Section 6.03. Other Remedies. 
  
 If an Event of Default occurs and is continuing, the Trustee may pursue any available remedy by proceeding at law or in equity to collect the payment of
principal of or interest on the Securities or to enforce the performance of any provision of the Securities or this Indenture. 
  
 The Trustee may maintain a proceeding even if it does not possess any of the Securities or does not produce any of them in the proceeding. A delay or
omission by the Trustee or any Holder in exercising any right or remedy maturing upon an Event of Default shall not impair the right or remedy or constitute a waiver of or acquiescence in the Event of Default. No remedy is exclusive of any other
remedy. All available remedies are cumulative to the extent permitted by law. 
  
 Section 6.04. Waiver of Past Default. 
  
 Subject
to Sections 2.08, 2.09, 6.07 and 10.02, prior to the declaration of acceleration of the Securities, the Holders of not less than a majority in aggregate principal amount of the outstanding Securities by written 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 or interest on any Security as specified in clauses (1) and (2) of Section 6.01 or a Default in respect of any term or provision of this
Indenture that may not be amended or modified without the consent of each Holder affected as provided in Section 10.02. The Company shall deliver to the Trustee an Officers’ Certificate stating that the requisite percentage of Holders have
consented to such waiver and attaching copies of such consents. In case of any such waiver, the Company, the Trustee and the Holders shall be restored to their former positions and rights hereunder and under the Securities, respectively. This
paragraph of this Section 6.04 shall be in lieu of Section 316(a)(1)(B) of the TIA and such Section 316(a)(1)(B) of the TIA is hereby expressly excluded from this Indenture and the Securities, as permitted by the TIA.  
  
 Upon any such waiver, such Default shall cease to exist and be deemed to have
been cured and not to have occurred, and any Event of Default arising therefrom shall be deemed to have been cured and not to have occurred for every purpose of this Indenture and the Securities, but no such waiver shall extend to any subsequent or
other Default or Event of Default or impair any right consequent thereon. 
  

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 Section 6.05. Control by Majority. 
  
 Subject to Section 2.09 and 2.10, the Holders of not less than a majority in principal amount of the outstanding Securities
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 it. However, the Trustee may refuse to follow any direction that conflicts with law or this
Indenture that the Trustee determines may be unduly prejudicial to the rights of another Holder, or that may involve the Trustee in personal liability; provided, however, that the Trustee may take any other action deemed proper by the Trustee
which is not inconsistent with such direction. In the event the Trustee takes any action or follows any direction pursuant to this Indenture, the Trustee shall be entitled to indemnification satisfactory to it in its sole discretion against any loss
or expense caused by taking such action or following such direction. This Section 6.05 shall be in lieu of Section 316(a)(1)(A) of the TIA, and such Section 316(a)(1)(A) of the TIA is hereby expressly excluded from this Indenture and the Securities,
as permitted by the TIA. 
  
 Section 6.06. Limitation on Suits. 

 
 A Holder may not pursue any remedy with respect to this Indenture or the
Securities unless: 
  
 (i) the Holder gives to
the Trustee written notice of a continuing Event of Default; 
  
 (ii) the Holders of at least 25% in aggregate principal amount of the outstanding Securities make a written request to the Trustee to pursue a remedy; 
  
 (iii) such Holder or Holders offer and, if requested, provide to the Trustee indemnity satisfactory to the
Trustee against any loss, liability or expense; 
  
 (iv) the Trustee does not comply with the request within 60 days after receipt of the request and the offer and, if requested, the provision of indemnity; and 
  
 (v) during such 60-day period the Holders of a majority in principal amount of the outstanding Securities do
not give the Trustee a direction which, in the opinion of the Trustee, is inconsistent with the request. 
  
 A Holder may not use this Indenture to prejudice the rights of another Holder or to obtain a preference or priority over such other Holder. 
  
 Section 6.07. Rights of Holders To Receive Payment. 
  
 Notwithstanding any other provision of this Indenture, the right of any
Holder to receive payment of principal of and premium, if any or interest on a Security, on or after the respective due dates expressed in the Security, or to bring suit for the enforcement of any such payment on or after such respective dates,
shall not be impaired or affected without the consent of the Holder. 
  
 Section 6.08. Collection Suit by Trustee. 
  
 If
an Event of Default in payment of principal or interest specified in clause (1) or (2) 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 on the Securities for the whole amount of principal and accrued interest remaining unpaid, together with interest overdue on principal and to the extent that payment of such interest is lawful, interest on overdue installments of interest,
in each case at the rate per annum borne by the Securities 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. 
  

 64 

 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 the Holders allowed in any judicial proceedings relative to the Company (or any other
obligor upon the Securities), its creditors or its property and shall be entitled and empowered to collect and receive any monies or other property payable or deliverable on any such claims and to distribute the same, and any Custodian in any such
judicial proceedings is hereby authorized by each Holder to make such payments to the Trustee and, in the event that the Trustee shall consent to the making of such payments directly to the Holders, to pay to the Trustee any amount due to it for the
reasonable compensation, expenses, disbursements and advances of the Trustee, its agent and counsel, and any other amounts due the Trustee under Section 7.07. Nothing herein contained shall be deemed to authorize the Trustee to authorize or consent
to or accept or adopt on behalf of any Holder any plan of reorganization, arrangement, adjustment or composition affecting the Securities or the rights of any Holder thereof, or to authorize the Trustee to vote in respect of the claim of any Holder
in any such proceeding. 
  
 Section 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 amounts due under Section 7.07; 
  
 Second: to Holders for amounts due and unpaid on the Securities for principal and interest, ratably, without preference or priority
of any kind, according to the amounts due and payable on the Securities for principal and interest, respectively; and 
  
 Third: to the Company. 
  
 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 in its discretion may require the filing by any party litigant in the suit of an undertaking to pay the costs of the suit, and the court in its discretion
may assess reasonable costs, including reasonable attorneys’ fees and expenses, 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 shall
not apply to a suit by the Trustee, a suit by a Holder or group of Holders of more than 10% in aggregate principal amount of the outstanding Securities, or to any suit instituted by any Holder for the enforcement or the payment of the principal or
interest on any Securities on or after the respective due dates expressed in the Security. 
  

 65 

  
 ARTICLE VII

  
 TRUSTEE 
  
 Section 7.01. Duties of Trustee. 
  
 (a) If an Event of Default has occurred and is continuing, the Trustee shall
exercise such of the rights and powers vested in it by this Indenture and use the same degree of care and skill in their exercise as a prudent person would exercise or use under the circumstances in the conduct of such person’s own affairs.

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

  
 (1) The Trustee shall not be liable except
for the performance of such duties and obligations as are specifically set forth herein; and 
  
 (2) In the absence of bad faith on its part, the Trustee may conclusively rely, as to the truth of the statements and the correctness of
the opinions expressed therein, upon certificates or opinions conforming to the requirements of this Indenture; provided, however, in the case of any such certificates or opinions which by any provision hereof are specifically required to be
furnished to the Trustee, the Trustee shall examine such certificates and opinions to determine whether or not they conform to the requirements of this Indenture (but need not confirm or investigate the accuracy of any facts and mathematical
calculations stated therein). 
  
 (c) The Trustee shall not be
relieved from liability for its own negligent action, its own negligent failure to act, or its own willful misconduct, except that: 
  
 (1) This paragraph does not limit the effect of paragraph (b) of this Section 7.01; 
  
 (2) The Trustee shall not be liable for any error of
judgment made in good faith by a Trust Officer, unless it is proved that the Trustee was negligent in ascertaining the pertinent facts; and 
  
 (3) The Trustee shall not be liable with respect to any action it takes or omits to take in good faith in accordance with a direction
received by it pursuant to Section 6.05. 
  
 (d) No provision of
this Indenture shall require the Trustee to expend or risk its own funds or otherwise incur any financial liability in the performance of any of its duties hereunder or to take or omit to take any action under this Indenture or take any action at
the request or direction of Holders if it shall have reasonable grounds for believing that repayment of such funds is not assured to it or it does not receive from such Holders an indemnity satisfactory to it in its sole discretion against such
risk, liability, loss, fee or expense which might be incurred by it in compliance with such request or direction. 
  
 (e) Every provision of this Indenture that in any way relates to the Trustee is subject to paragraphs (a), (b), (c) and (d) of this Section 7.01 and to
the applicable provisions of the TIA. 
  
 (f) The Trustee shall
not be liable for interest on any money received by it except as the Trustee may agree in writing with the Company. Money held in trust by the Trustee need not be segregated from other funds except to the extent required by law. 
  
 Section 7.02. Rights of Trustee. 
  
 Subject to Section 7.01: 
  
 (a) The Trustee may conclusively rely on and shall be protected in acting or
refraining to act upon any document believed by it to be genuine and to have been signed or presented by the proper person or parties. The Trustee need not investigate any fact or matter stated in the document. 
  

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 (b) Before the Trustee acts or refrains from acting, it may require an Officers’ Certificate and/or
an Opinion of Counsel, which shall conform to the provisions of Section 13.05. 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. 
  
 (c) The Trustee may act through attorneys and agents of its selection and
shall not be responsible for the misconduct or negligence of any agent or attorney (other than an agent who is an employee of the Trustee) appointed with due care. 
  
 (d) The Trustee shall not be liable for any action it takes or omits to take in good faith which it reasonably believes to
be authorized or within its rights or powers. 
  
 (e) The Trustee
may consult with counsel of its selection and the advice or opinion of such counsel as to matters of law shall be full and complete authorization and protection from liability in respect of any action taken, omitted or suffered by it hereunder in
good faith and in accordance with the advice or opinion of such counsel. 
  
 (f) Any request or direction of the Company mentioned herein shall be sufficiently evidenced by a Company Request or Company Order and any resolution of the Board of Directors may be sufficiently evidenced by a Board
Resolution. 
  
 (g) The Trustee shall be under no obligation to
exercise any of the rights or powers vested in it by this Indenture at the request or direction of any of the Holders pursuant to this Indenture, unless such Holders shall have offered to the Trustee security or indemnity reasonably satisfactory to
it against the costs, expenses and liabilities which might be incurred by it in compliance with such request or direction. 
  
 (h) The Trustee shall not be bound to make any investigation into the facts or matters stated in any resolution, certificate, statement, instrument,
opinion, report, notice, request, direction, consent, order, bond, debenture, note, other evidence of indebtedness or other paper or document, but the Trustee, in its discretion, may make such further inquiry or investigation into such facts or
matters as it may see fit, and, if the Trustee shall determine to make such further inquiry or investigation, it shall be entitled to examine the books, records and premises of the Company, personally or by agent or attorney at the expense of the
Company and shall incur no liability of any kind by reason of such inquiry or investigation. 
  
 (i) The Trustee shall not be deemed to have notice of any Event of Default unless a Trust Officer of the Trustee has actual knowledge thereof or unless the Trustee shall have received written notice thereof at the
Corporate Trust Office of the Trustee, and such notice references the Securities and this Indenture. 
  
 (j) 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 other than any such loss or damage determined to have been caused by the Trustee’s
own negligence or bad faith; 
  
 (k) The rights, privileges,
protections, immunities and benefits given to the Trustee, including 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 
  

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 (l) 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 Securities and may otherwise deal with the Company or its Affiliates with the same rights it would have if it were not Trustee,
subject to Sections 7.10 and 7.11. Any Agent may do the same with like rights. 
  
 Section 7.04. Trustee’s Disclaimer. 
  
 The
Trustee assumes no responsibility for the correctness of, and makes no representation as to the validity or adequacy of this Indenture or the Securities, it shall not be accountable for the Company’s use of the proceeds from the Securities, and
it shall not be responsible for any statement of the Company in this Indenture or any document issued in connection with the sale of Securities or any statement in the Securities other than the Trustee’s certificate of authentication.

  
 Section 7.05. Notice of Defaults. 
  
 If a Default or an Event of Default occurs and is continuing and the Trustee
knows of such Defaults or Events of Default, the Trustee shall mail to each Holder notice of the Default or Event of Default within 30 days after the occurrence thereof. Except in the case of a Default or an Event of Default in payment of principal
of or interest on any Security or a Default or Event of Default in complying with Section 5.01, the Trustee may withhold the notice if and so long as a committee of its Trust Officers in good faith determines that withholding the notice is in the
interest of Holders. This Section 7.05 shall be in lieu of the proviso to Section 315(b) of the TIA and such proviso to Section 315(b) of the TIA is hereby expressly excluded from this Indenture and the Securities, as permitted by the TIA.

  
 Section 7.06. Reports by Trustee to Holders. 
  
 If required by TIA Section 313(a), within 60 days after each May 15
beginning with the May 15 following the Issue Date, the Trustee shall mail to each Holder a report dated as of such May 15 that complies with TIA Section 313(a). The Trustee also shall comply with TIA Section 313(b), (c) and (d). 
  
 A copy of each such report at the time of its mailing to Holders shall be
filed with the SEC and each stock exchange, if any, on which the Securities are listed. 
  
 The Company shall promptly notify the Trustee in writing if the Securities become listed on any stock exchange or of any delisting thereof. 
  
 Section 7.07. Compensation and Indemnity. 
  

The Company shall pay to the Trustee from time to time such compensation as the Company and the Trustee shall from time to time agree in writing for
its services. The Trustee’s compensation 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 (including
reasonable fees, disbursements and expenses of its agents and counsel) incurred or made by it in addition to the compensation for its services except any such disbursements, expenses and advances as may be attributable to the Trustee’s
negligence or bad faith. Such expenses shall include, but are not 

  

 68 

 
limited to, the reasonable compensation, disbursements and expenses of the Trustee’s agents, accountants, experts and counsel and any taxes or other
expenses incurred by a trust created pursuant to Sections 9.01 and 9.03 hereof. 
  
 Each of the Company and the Subsidiary Guarantors, jointly and severally, shall indemnify the Trustee for, and hold it harmless against any and all loss, damage, claims, liability or expense, including taxes (other
than franchise taxes imposed on the Trustee and 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, but not
limited to, the reasonable costs and expenses of defending itself against any claim or liability in connection with the exercise or performance of any of its powers or duties hereunder, except to the extent that such loss, damage, claim, liability
or expense is determined to have been caused by its own negligence or bad faith. The Trustee shall notify the Company promptly of any claim asserted against the Trustee for which it may seek indemnity. However, the failure by the Trustee to so
notify the Company shall not relieve the Company of its obligations hereunder. The Company shall defend the claim and the Trustee shall cooperate in the defense (and may employ its own counsel) at the Company’s expense; provided,
however, that the Trustee shall have the right to employ its own counsel in any such action only if a conflict exists (based upon advice of counsel) between the Company and the Trustee, in which case the reasonable fees and expenses of
Trustee’s counsel will be at the expense of the Company. 
  
 The Company need not pay for any settlement made without its written consent, which consent shall not be unreasonably withheld. The Company need not reimburse any expense or indemnify against any loss or liability incurred by the Trustee as
a result of the material violation of this Indenture by the Trustee. 
  
 To secure the Company’s payment obligations pursuant to this Section 7.07, the Trustee shall have a Lien prior to the Securities against 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 or interest on particular Securities or the repurchase price or redemption price of any Securities to be purchased pursuant to a Net Proceeds Offer, a Change of Control Offer or a redemption, as the case
may be. 
  
 When the Trustee incurs expenses or renders services
after an Event of Default specified in clause (8) or (9) of Section 6.01 occurs, the expenses (including the reasonable fees and expenses of its agents and counsel) and the compensation for the services shall be preferred over the status of the
Holders in a proceeding under any Bankruptcy Law and are intended to constitute expenses of administration under any Bankruptcy Law. The Company’s obligations under this Section 7.07 and any claim arising hereunder shall survive the resignation
or removal of any Trustee, the discharge of the Company’s obligations pursuant to Article Nine and any rejection or termination under any Bankruptcy Law. 
  

Section 7.08. Replacement of Trustee. 
  
 The Trustee may resign at any time by so notifying the Company in writing. The Holders of a majority in principal amount of the outstanding Securities may
remove the Trustee by so notifying the Trustee and the Company in writing and may appoint a successor Trustee with the Company’s consent. The Company may remove the Trustee if: 
  
 (a) the Trustee fails to comply with Section 7.10; 
  
 (b) the Trustee is adjudged a bankrupt or an insolvent under any Bankruptcy Law; 
  

 69 

 (c) a custodian or other public officer takes charge of the Trustee or its property; or 
  
 (d) 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 Trustee in such event being referred to herein as the retiring Trustee), 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 Securities may appoint a successor Trustee to replace the successor Trustee appointed by the Company. 
  
 A successor Trustee shall deliver a written acceptance of its appointment to the retiring Trustee and to the Company. As promptly as practicable after
that, the retiring Trustee shall transfer, after payment of all sums then owing to the Trustee pursuant to Section 7.07, all property held by it as Trustee to the successor Trustee, subject to the Lien provided in Section 7.07, the resignation or
removal of the retiring Trustee shall become effective, and the successor Trustee shall have the rights, powers and duties of the Trustee under this Indenture. A successor Trustee shall mail notice of its succession to each Holder. 
  
 If a successor Trustee does not take office within 60 days after the retiring
Trustee resigns or is removed, the retiring Trustee, the Company or the Holders of at least 10% in principal amount of the outstanding Securities may petition, at the expense of the Company, any court of competent jurisdiction for the appointment of
a successor Trustee. 
  
 If the Trustee fails to comply with
Section 7.10, any Holder may petition any court of competent jurisdiction for the removal of the Trustee and the appointment of a successor Trustee. 
  
 Notwithstanding replacement of the Trustee pursuant to this Section 7.08, the Company’s obligations under Section 7.07 shall continue for the benefit
of the retiring 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 banking corporation, the resulting, surviving or transferee corporation or banking corporation without any further act shall be the successor
Trustee. 
  
 Section 7.10. Eligibility; Disqualification. 
  
 This Indenture shall always have a Trustee which shall be eligible to act as
Trustee under TIA Sections 310(a)(1) and 310(a)(2). The Trustee shall have a combined capital and surplus of at least $50,000,000 as set forth in its most recent published annual report of condition. If the Trustee has or shall acquire any
“conflicting interest” within the meaning of TIA Section 310(b), the Trustee and the Company shall comply with the provisions of TIA Section 310(b); provided, however, that there shall be excluded from the operation of TIA Section
310(b)(1) any indenture or indentures under which other securities or certificates of interest or participation in other securities of the Company are outstanding if the requirements for such exclusion set forth in TIA Section 310(b)(1) are met. 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 hereinbefore specified in this Article Seven. 
  

 70 

 Section 7.11. Preferential Collection of Claims Against Company. 
  
 The Trustee shall comply with TIA Section 311(a), excluding any creditor
relationship listed in TIA Section 311(b). A Trustee who has resigned or been removed shall be subject to TIA Section 311(a) to the extent indicated therein. 
  
 Section 7.12. Trustee’s Application for Instruction from the Company. 
  
 Any application by the Trustee for written instructions from the Company may, at the option of the Trustee, set forth in
writing any action proposed to be taken or omitted by the Trustee under this Indenture and the date on and/or after which such action shall be taken or such omission shall be effective. The Trustee shall not be liable for any action taken by, or
omission of, the Trustee in accordance with a proposal included in such application on or after the date specified in such application (which date shall not be less than three Business Days after the date any officer of the Company actually receives
such application, unless any such officer shall have consented in writing to any earlier date) unless prior to taking any such action (or the effective date in the case of an omission), the Trustee shall have received written instructions in
response to such application specifying the action to be taken or omitted. 
  
 Section 7.13. Paying Agents. 
  
 The Company
shall cause each Paying Agent other than the Trustee to execute and deliver to it and the Trustee an instrument in which such agent shall agree with the Trustee, subject to the provisions of this Section 7.13: 
  
 (i) that it will hold all sums held by it as agent for the
payment of principal of, or premium, if any, or interest on, the Securities (whether such sums have been paid to it by the Company or by any obligor on the Securities) in trust for the benefit of Holders of the Securities or the Trustee; 

 
 (ii) that it will at any time during the continuance of
any Event of Default, upon written request from the Trustee, deliver to the Trustee all sums so held in trust by it together with a full accounting thereof; and 
  
 (iii) that it will give the Trustee written notice within three Business Days of any failure of the Company
(or by any obligor on the Securities) in the payment of any installment of the principal of, premium, if any, or interest on, the Securities when the same shall be due and payable. 
  
 ARTICLE VIII 
  
 SUBORDINATION OF SECURITIES 
  
 Section 8.01. Securities Subordinated to Senior Indebtedness. 
  
 The Company covenants and agrees, and the Trustee and each Holder of the Securities by his acceptance thereof likewise covenant and agree, that all
Securities shall be issued subject to the provisions of this Article Eight; and each person holding any Security, whether upon original issue or upon transfer, assignment or exchange thereof, accepts and agrees that all payments of the principal of,
premium, if any, and interest on the Securities by the Company shall, to the extent and in the manner set 

  

 71 

 
forth in this Article Eight, be subordinated and junior in right of payment to the prior payment in full in cash of all amounts payable under Senior
Indebtedness. 
  
 Section 8.02. No Payment on Securities in Certain
Circumstances. 
  
 No direct or indirect payment (except that
Holders may receive and retain Permitted Junior Securities and excluding any payment from funds deposited in accordance with, and held in trust for the benefit of Holders pursuant to Article Nine (a “Defeasance Trust Payment”)) by
the Company of principal of or interest on or other payments in respect of the Securities (including any deposit pursuant to Section 9.03 or repurchase, redemption or other retirement of any Securities) shall be made if: 
  
 (1) at the time of such payment, there exists a default in the payment of all
or any portion of the obligations on any Senior Indebtedness and such default shall not have been cured or waived by or on behalf of the holders of such Senior Indebtedness; or 
  
 (2) any other default occurs and is continuing with respect to any Designated Senior Indebtedness to accelerate its maturity
and the Trustee receives a notice of such default (a “Payment Blockage Notice”) from the Company or the holders of such Designated Senior Indebtedness. 
  
 Payments on the Securities may and shall be resumed: 
  
 (i) in the case of a payment default, upon the date on which such default is cured or waived; and 
  
 (ii) in case of a nonpayment default, the earlier of the date on which such
nonpayment default is cured or waived or 179 days after the date on which the applicable Payment Blockage Notice is received, unless the maturity of any Designated Senior Indebtedness has been accelerated. 
  
 No new period of payment blockage may be commenced unless and until 360 days have elapsed
since the effectiveness of the immediately prior Payment Blockage Notice. No nonpayment default that existed or was continuing on the date of delivery of any Payment Blockage Notice to the Trustee shall be, or be made, the basis for a subsequent
Payment Blockage Notice unless such default has been cured or waived for a period of at least 90 consecutive days. 
  
 In the event that, notwithstanding the foregoing, any payment shall be received by the Trustee or any Holder when such payment is prohibited by Section
8.02(1) or (2), such payment shall be held in trust for the benefit of, and shall be paid over or delivered to, the holders of Designated Senior Indebtedness or their respective representatives, or to the trustee or trustees under any indenture
pursuant to which any of such Designated Senior Indebtedness may have been issued, as their respective interests may appear, but only to the extent that, upon notice from the Trustee to the holders of Designated Senior Indebtedness that such
prohibited payment has been made, the holders of the Designated Senior Indebtedness (or their representative or representatives or a trustee or trustees) notify the Trustee in writing of the amounts then due and owing on the Designated Senior
Indebtedness, if any, and only the amounts specified in such notice to the Trustee shall be paid to the holders of Designated Senior Indebtedness. 
  
 Section 8.03. Payment Over of Proceeds upon Dissolution, etc. 
  
 (a) Upon any payment or distribution of assets or securities of the Company of any kind or character, whether in cash, property or securities, upon any
dissolution or winding up or total liquidation or reorganization of the Company, whether voluntary or involuntary or in bankruptcy, insolvency, 

  

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receivership or other proceedings (excluding any payment or distribution of Permitted Junior Securities and any Defeasance Trust Payment), all Senior
Indebtedness then due shall first be paid in full in cash before the Holders or the Trustee on behalf of such Holders shall be entitled to receive any payment by the Company of the principal of, premium, if any, or interest on the Securities, or any
payment by the Company to acquire any of the Securities for cash, property or securities, or any distribution by the Company with respect to the Securities of any cash, property or securities (excluding any payment or distribution of Permitted
Junior Securities and excluding any Defeasance Trust Payment). Before any payment may be made by, or on behalf of, the Company of the principal of, premium, if any, or interest on the Securities upon any such dissolution or winding up or total
liquidation or reorganization, whether voluntary or involuntary or in bankruptcy, insolvency, receivership or other proceedings, any payment or distribution of assets or securities of the Company of any kind or character, whether in cash, property
or securities (excluding any payment or distribution of Permitted Junior Securities and excluding any Defeasance Trust Payment), to which the Holders or the Trustee on their behalf would be entitled, but for the subordination provisions of this
Indenture, shall be made by the Company or by any receiver, trustee in bankruptcy, liquidation trustee, agent or other Person making such payment or distribution, directly to the holders of the Senior Indebtedness (pro rata to such holders on the
basis of the respective amounts of Senior Indebtedness held by such holders) or their representatives or to the trustee or trustees or agent or agents under any agreement or indenture pursuant to which any of such Senior Indebtedness may have been
issued, as their respective interests may appear, to the extent necessary to pay all such Senior Indebtedness in full in cash after giving effect to any prior or concurrent payment, distribution or provision therefor to or for the holders of such
Senior Indebtedness. 
  
 (b) In the event that, notwithstanding
the foregoing provision prohibiting such payment or distribution, any payment or distribution of assets or securities of the Company of any kind or character, whether in cash, property or securities (excluding any payment or distribution of
Permitted Junior Securities and excluding any Defeasance Trust Payment), shall be received by the Trustee or any Holder of Securities at a time when such payment or distribution is prohibited by Section 8.03(a) and before all obligations in respect
of Senior Indebtedness are paid in full in cash, such payment or distribution shall be received and held in trust for the benefit of, and shall be paid over or delivered to, the holders of Senior Indebtedness (pro rata to such holders on the basis
of the respective amounts of Senior Indebtedness held by such holders) or their respective representatives, or to the trustee or trustees or agent or agents under any indenture pursuant to which any of such Senior Indebtedness may have been issued,
as their respective interests may appear, for application to the payment of Senior Indebtedness remaining unpaid until all such Senior Indebtedness has been paid in full in cash after giving effect to any prior or concurrent payment, distribution or
provision therefor to or for the holders of such Senior Indebtedness. 
  
 The consolidation of the Company with, or the merger of the Company with or into, another corporation or the liquidation or dissolution of the Company following the conveyance or transfer of its property as an entirety, or substantially as
an entirety, to another corporation upon the terms and conditions provided in Article Five shall not be deemed a dissolution, winding-up, liquidation or reorganization for the purposes of this Section 8.03 if such other corporation shall, as a part
of such consolidation, merger, conveyance or transfer, comply with the conditions stated in Article Five. 
  
 Section 8.04. Subrogation. 
  
 Upon the payment in full in cash of all Senior Indebtedness, or provision for payment, the Holders shall be subrogated to the rights of the holders of Senior Indebtedness to receive payments or distributions of cash, property or securities
of the Company made on such Senior Indebtedness until the principal of and interest on the Securities shall be paid in full in cash; and, for the purposes of such 

  

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subrogation, no payments or distributions to the holders of the Senior Indebtedness of any cash, property or securities to which the Holders or the Trustee
on their behalf would be entitled except for the provisions of this Article Eight, and no payment over pursuant to the provisions of this Article Eight to the holders of Senior Indebtedness by Holders or the Trustee on their behalf shall, as between
the Company, its creditors other than holders of Senior Indebtedness, and the Holders, be deemed to be a payment by the Company to or on account of the Senior Indebtedness. It is understood that the provisions of this Article Eight are and are
intended solely for the purpose of defining the relative rights of the Holders, on the one hand, and the holders of the Senior Indebtedness, on the other hand. 
  

If any payment or distribution to which the Holders would otherwise have been entitled but for the provisions of this Article Eight shall have been
applied, pursuant to the provisions of this Article Eight, to the payment of all amounts payable under Senior Indebtedness, then and in such case, the Holders shall be entitled to receive from the holders of such Senior Indebtedness any payments or
distributions received by such holders of Senior Indebtedness in excess of the amount required to make payment in full in cash of such Senior Indebtedness. 
  
 Section 8.05. Obligations of Company Unconditional. 
  
 Nothing contained in this Article Eight or elsewhere in this Indenture or in the Securities is intended to or shall impair, as among the Company and the
Holders, the obligation of the Company, which is absolute and unconditional, to pay to the Holders the principal of and interest on the Securities 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 the Company other than the holders of the Senior Indebtedness, 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, subject to the rights, if any, under this Article Eight of the holders of the Senior Indebtedness in respect of cash, property or securities of the Company received upon the
exercise of any such remedy. 
  
 Without limiting the generality
of the foregoing, nothing contained in this Article Eight shall restrict the right of the Trustee or the Holders to take any action to declare the Securities to be due and payable prior to their stated maturity pursuant to Section 6.01 or to pursue
any rights or remedies hereunder; provided, however, that all Senior Indebtedness then due and payable shall first be paid in full in cash before the Holders or the Trustee are entitled to receive any direct or indirect payment from the
Company of principal of or interest on the Securities. 
  
 Section 8.06. Notice
to Trustee. 
  
 The Company shall give prompt written notice
to the Trustee of any fact known to the Company which would prohibit the making of any payment to or by the Trustee in respect of the Securities pursuant to the provisions of this Article Eight. The Trustee shall not be charged with knowledge of the
existence of any event of default with respect to any Senior Indebtedness or of any other facts which would prohibit the making of any payment to or by the Trustee unless and until the Trustee shall have received notice in writing at its Corporate
Trust Office to that effect signed by an Officer of the Company, or by a holder of Senior Indebtedness or trustee or agent therefor; and prior to the receipt of any such written notice, the Trustee shall, subject to Article Seven, be entitled to
assume that no such facts exist; provided, however, that if the Trustee shall not have received the notice provided for in this Section 8.06 at least two Business Days prior to the date upon which by the terms of this Indenture any moneys
shall become payable for any purpose (including, without limitation, the payment of the principal of or interest on any Security), then, regardless of anything herein to the contrary, the Trustee shall have full power and authority to receive any
moneys from the Company and to apply the same to 

  

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the purpose for which they were received, and shall not be affected by any notice to the contrary which may be received by it on or after such prior date.
Nothing contained in this Section 8.06 shall limit the right of the holders of Senior Indebtedness to recover payments as contemplated by Section 8.03. The Trustee shall be entitled to rely on the delivery to it of a written notice by a Person
representing himself or itself to be a holder of any Senior Indebtedness (or a trustee on behalf of, or other representative of, such holder) to establish that such notice has been given by a holder of such Senior Indebtedness or a trustee or
representative on behalf of any such holder. 
  
 In the event that
the Trustee determines in good faith that any evidence is required with respect to the right of any Person as a holder of Senior Indebtedness to participate in any payment or distribution pursuant to this Article Eight, the Trustee may request such
Person to furnish evidence to the reasonable satisfaction of the Trustee as to the amount of Senior Indebtedness held by such Person, the extent to which such Person is entitled to participate in such payment or distribution and any other facts
pertinent to the rights of such Person under this Article Eight, and if such evidence is not furnished, the Trustee may defer any payment to such Person pending judicial determination as to the right of such Person to receive such payment.

  
 Section 8.07. Reliance on Judicial Order or Certificate of Liquidating
Agent. 
  
 Upon any payment or distribution of assets or
securities referred to in this Article Eight, the Trustee and the Holders shall be entitled to rely upon any order or decree made by any court of competent jurisdiction in which bankruptcy, dissolution, winding-up, liquidation or reorganization
proceedings are pending, or upon a certificate of the receiver, trustee in bankruptcy, liquidating trustee, agent or other person making such payment or distribution, delivered to the Trustee or to the Holders for the purpose of ascertaining the
persons entitled to participate in such distribution, the holders of the Senior Indebtedness and other indebtedness of the Company, the amount thereof or payable thereon, the amount or amounts paid or distributed thereon and all other facts
pertinent thereto or to this Article Eight. 
  
 Section 8.08. Trustee’s
Relation to Senior Indebtedness. 
  
 The Trustee and any
Paying Agent shall be entitled to all the rights set forth in this Article Eight with respect to any Senior Indebtedness which may at any time be held by it in its individual or any other capacity to the same extent as any other holder of Senior
Indebtedness, and nothing in this Indenture shall deprive the Trustee or any Paying Agent of any of its rights as such holder. 
  
 With respect to the holders of Senior Indebtedness, the Trustee undertakes to perform or to observe only such of its covenants and obligations as are
specifically set forth in this Article Eight, and no implied covenants or obligations with respect to the holders of Senior Indebtedness shall be read into this Indenture against the Trustee. The Trustee shall not be deemed to owe any fiduciary duty
to the holders of Senior Indebtedness (except as provided in Section 8.03(b)). The Trustee shall not be liable to any such holders if the Trustee shall in good faith mistakenly pay over or distribute to Holders or to the Company or to any other
person cash, property or securities to which any holders of Senior Indebtedness shall be entitled by virtue of this Article Eight or otherwise. 
  
 Section 8.09. Subordination Rights Not Impaired by Acts or Omissions of the Company or Holders of Senior Indebtedness. 
  
 No right of any present or future holders of any Senior Indebtedness to
enforce subordination as provided herein shall at any time in any way be prejudiced or impaired by any act or failure to act on the 

  

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part of the Company or by any act or failure to act, in good faith, by any such holder, or by any noncompliance by the Company with the terms of this
Indenture, regardless of any knowledge thereof which any such holder may have or otherwise be charged with. The provisions of this Article Eight are intended to be for the benefit of, and shall be enforceable directly by, the holders of Senior
Indebtedness. 
  
 Section 8.10. Holders Authorize Trustee To Effectuate
Subordination of Securities. 
  
 Each Holder by his
acceptance of such Securities authorizes and expressly directs the Trustee on his behalf to take such action as may be necessary or appropriate to effectuate the subordination provided in this Article Eight, and appoints the Trustee his
attorney-in-fact for such purposes, including, in the event of any dissolution, winding-up, total liquidation or reorganization of the Company (whether in bankruptcy, insolvency, receivership, reorganization or similar proceedings or upon an
assignment for the benefit of creditors or otherwise) tending towards liquidation of the business and assets of the Company, the filing of a claim for the unpaid balance of its or his Securities in the form required in those proceedings. 

 
 Section 8.11. This Article Not To Prevent Events of Default. 
  
 The failure to make a payment on account of principal of or interest on the
Securities by reason of any provision of this Article Eight shall not be construed as preventing the occurrence of an Event of Default specified in Section 6.01. 
  
 Section 8.12. Trustee’s Compensation Not Prejudiced. 
  
 Nothing in this Article Eight shall apply to amounts due to the Trustee pursuant to other sections in this Indenture.

  
 Section 8.13. No Waiver of Subordination Provisions. 
  
 Without in any way limiting the generality of Section 8.09, the holders of
Senior Indebtedness may, at any time and from time to time, without the consent of or notice to the Trustee or the Holders, without incurring responsibility to the Holders and without impairing or releasing the subordination provided in this Article
Eight or the obligations hereunder of the Holders to the holders of Senior Indebtedness, do any one or more of the following: (a) change the manner, place or terms of payment or extend the time of payment of, or renew or alter, Senior Indebtedness
or any instrument evidencing the same or any agreement under which Senior Indebtedness is outstanding or secured; (b) sell, exchange, release or otherwise deal with any property pledged, mortgaged or otherwise securing Senior Indebtedness; (c)
release any Person liable in any manner for the collection of Senior Indebtedness; and (d) exercise or refrain from exercising any rights against the Company and any other Person. 
  
 Section 8.14. Subordination Provisions Not Applicable to Money Held in Trust for Holders; Payments May Be Paid Prior to Dissolution.

  
 All cash and Cash Equivalents deposited in trust with the
Trustee pursuant to and in accordance with Article Nine shall be for the sole benefit of the Holders and shall not be subject to this Article Eight. 
  
 Nothing contained in this Article Eight or elsewhere in this Indenture shall prevent (i) the Company, except under the conditions described in Section
8.02, from making payments of principal of and interest on the Securities or from depositing with the Trustee any moneys for such payments or from effecting a termination of the Company’s and the Subsidiary Guarantors’ obligations under
the 

  

 76 

 
Securities and this Indenture as provided in Article Nine, or (ii) the application by the Trustee of any moneys deposited with it for the purpose of making
such payments of principal of and interest on the Securities, to the holders entitled thereto unless at least two Business Days prior to the date upon which such payment becomes due and payable, the Trustee shall have received the written notice
provided for in Section 8.02 or in Section 8.06. The Company shall give prompt written notice to the Trustee of any dissolution, winding-up, liquidation or reorganization of the Company. 
  
 Section 8.15. Acceleration of Securities. 
  

If payment of the Securities is accelerated because of an Event of Default, the Company or the Trustee shall promptly notify the holders of the
Designated Senior Indebtedness (or their Representatives) of the acceleration; provided, however, that the Company and the Trustee shall be obligated to notify such a Representative only if such Representative has delivered or caused to be delivered
to the Company or the Trustee an address for service of such a notice (and the Company and the Trustee shall only be obligated to deliver the notice to the address so specified). If any Designated Senior Indebtedness is outstanding, the Company
shall not pay the Securities until five Business Days after the holders or Representative(s) of such Designated Senior Indebtedness receives notice of such acceleration and, thereafter, may pay the Securities, only if this Article Eight otherwise
permits payments at that time. 
  
 ARTICLE IX 
  
 DISCHARGE OF INDENTURE 
  
 Section 9.01. Termination of Company’s Obligations. 
  
 The Company may terminate its and the Subsidiary Guarantors’
obligations under the Securities and this Indenture, except those obligations referred to in the penultimate paragraph of this Section 9.01, if: 
  
 (1) either (a) all the Securities theretofore authenticated and delivered (except lost, stolen or destroyed Securities which have been replaced or paid
and Securities for whose payment money has theretofore been deposited in trust or segregated and held in trust by the Company and thereafter repaid to the Company or discharged from such trust) have been delivered to the Trustee for cancellation or
(b) all Securities not theretofore delivered to the Trustee for cancellation (i) have become due and payable, (ii) will become due and payable at their maturity within one year or (iii) are to be called for redemption within one year under
arrangements satisfactory to the Trustee for the giving of notice of a redemption by the Trustee, and in the case of clauses (i), (ii) and (iii) above, the Company has irrevocably deposited or caused to be deposited with the Trustee as trust funds
in trust solely for the benefit of the Holders, cash, Cash Equivalents, or a combination of such cash and Cash Equivalents, in such amounts as will be sufficient without consideration of any reinvestment of interest, to pay and discharge the entire
indebtedness on the Securities not previously delivered to the Trustee for cancellation for principal, premium, if any, and interest and additional interest, if any, on the Securities to the date of deposit, in the case of Securities that have
become due and payable, or to the stated maturity or redemption date, as the case may be; 
  
 (2) the Company has paid all other sums payable under this Indenture by the Company; 
  
 (3) no Default or Event of Default has occurred and is continuing on the date of such deposit (other than a Default or Event of Default resulting from the
borrowing of funds to be applied to such 

  

 77 

 
deposit) or will occur as a result of such deposit and such deposit will not result in a breach or violation of, or constitute a default under, any other
instrument to which the Company is a party or by which the Company is bound; and 
  
 (4) the Company has delivered to the Trustee an Officers’ Certificate and an Opinion of Counsel stating that all conditions precedent under this Indenture relating to the satisfaction and discharge of this
Indenture have been complied with. 
  
 Notwithstanding the first
paragraph of this Section 9.01, the Company’s obligations in Sections 2.02, 2.03, 2.04, 2.05, 2.06, 2.07, 2.08, 2.09, 2.10, 2.11, 2.12, 4.01, 4.02, 7.07, 7.08, 9.05 and 9.06 shall survive until the Securities are no longer outstanding.
Thereafter the Company’s obligations in Sections 7.07, 9.05 and 9.06 shall survive such satisfaction and discharge. 
  
 After such delivery or irrevocable deposit and delivery of an Officers’ Certificate and Opinion of Counsel, the Trustee upon written request shall
acknowledge in writing the discharge of the Company’s and the Subsidiary Guarantors’ obligations under the Securities and this Indenture except for those surviving obligations specified above. The Company shall pay and indemnify the
Trustee against any tax, fee or other charge imposed on or assessed against the cash or Cash Equivalents deposited pursuant to this Section 9.01 or the principal and interest received in respect thereof other than any such tax, fee or other charge
which by law is for the account of the Holders of outstanding Securities. 
  
 Section 9.02. Defeasance. 
  
 (a) The Company may
at its option terminate its and the Subsidiary Guarantors’ obligations in respect of the Securities by delivering all outstanding Securities to the Trustee for cancellation and paying all sums payable by it on account of principal of and
interest on all Securities or otherwise. In addition to the foregoing, the Company may, at its option, at any time elect to have either paragraph (b) or (c) below be applied to all outstanding Securities, subject in either case to compliance with
the conditions set forth in Section 9.03. 
  
 (b) Upon the
Company’s exercise under paragraph (a) hereof of the option applicable to this paragraph (b), the Company shall, subject to the satisfaction of the conditions set forth in Section 9.03, be deemed to have paid and discharged the entire
indebtedness represented by the outstanding Securities, except for (1) the rights of Holders to receive payments in respect of the principal of, premium, if any, and interest on the Securities when such payments are due, (2) the Company’s
obligations under Sections 2.03, 2.05, 2.06, 2.07, 2.10 and 2.11, (3) the rights, powers, trust, duties and immunities of the Trustee under this Indenture and the Company’s obligations in connection therewith and (4) Article Nine of this
Indenture (hereinafter, “Legal Defeasance”). Subject to compliance with this Article Nine, the Company may exercise its option under this paragraph (b) notwithstanding the prior exercise of its option under paragraph (c) hereof.

  
 (c) Upon the Company’s exercise under paragraph (a)
hereof of the option applicable to this paragraph (c), the Company shall, subject to the satisfaction of the conditions set forth in Section 9.03, be released from its obligations under the covenants contained in Sections 4.03 through 4.19 and
Article Five with respect to the outstanding Securities (hereinafter, “Covenant Defeasance”). In addition, upon the Company’s exercise under paragraph (a) hereof of the option applicable to this paragraph (c), subject to the
satisfaction of the conditions set forth in Section 9.03, any failure or omission to comply with such obligations shall not constitute a Default or Event of Default with respect to the Securities. 
  

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 Section 9.03. Conditions to Legal Defeasance or Covenant Defeasance. 
  
 In order to exercise either Legal Defeasance pursuant to Section 9.02(b) or
Covenant Defeasance pursuant to Section 9.02(c): 
  
 (1) the
Company must irrevocably deposit with the Trustee, in trust, for the benefit of the Holders cash, Cash Equivalents, or a combination thereof, in such amounts as will be sufficient, in the opinion of a nationally recognized firm of independent public
accountants, to pay the principal of, premium, if any, and interest on the Securities on the stated Final Maturity Date or on the applicable Redemption Date, as the case may be and the Company must specify whether the Notes are being defeased to
maturity or to a particular redemption date; 
  
 (2) in the case
of an election under Section 9.02(b), the Company shall have delivered to the Trustee an Opinion of Counsel in the United States reasonably acceptable to the Trustee confirming that (a) the Company has received from, or there has been published by,
the Internal Revenue Service a ruling or (b) since the Issue Date, there has been a change in the applicable federal income tax law, in either case to the effect that, and based thereon such Opinion of Counsel shall confirm that, the Holders will
not recognize income, gain or loss for federal income tax purposes as a result of such Legal Defeasance and will be subject to federal income tax on the same amounts, in the same manner and at the same times as would have been the case if such Legal
Defeasance had not occurred; 
  
 (3) in the case of an election
under Section 9.02(c), the Company shall have delivered to the Trustee an Opinion of Counsel in the United States reasonably acceptable to the Trustee confirming that the Holders will not recognize income, gain or loss for federal income tax
purposes as a result of such Covenant Defeasance and will be subject to federal income tax on the same amounts, in the same manner and at the same times as would have been the case if such Covenant Defeasance had not occurred; 
  
 (4) no Default or Event of Default has occurred and is continuing on the date
of such deposit (other than a Default or Event of Default resulting from the borrowing of funds to be applied to such deposit) or insofar as Events of Default from bankruptcy or insolvency events are concerned, at any time in the period ending on
the 91st day after the date of deposit; 
  
 (5) such Legal
Defeasance or Covenant Defeasance shall not result in a breach or violation of, or constitute a default under this Indenture or 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; 
  
 (6) the Company
shall have delivered to the Trustee an Opinion of Counsel to the effect that after the 91st day following the deposit, the trust funds will not be subject to the effect of any applicable bankruptcy, insolvency, reorganization or similar laws
affecting creditors’ rights generally; 
  
 (7) the Company
shall have delivered to the Trustee an Officers’ Certificate stating that the deposit was not made by the Company with the intent of preferring the Holders over any other creditors of the Company or with the intent of defeating, hindering,
delaying or defrauding any other creditors of the Company or others; and 
  
 (8) the Company shall have delivered to the Trustee an Officers’ Certificate and an Opinion of Counsel, each stating that all conditions precedent provided for or relating to the Legal Defeasance or the Covenant
Defeasance have been complied with; 
  

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 Section 9.04. Application of Trust Money. 
  
 The Trustee shall hold in trust cash or Cash Equivalents deposited with it pursuant to Sections 9.01 and 9.03, and shall
apply the deposited money and the money from Cash Equivalents in accordance with this Indenture solely to the payment of principal of and interest on the Securities. 
  
 Section 9.05. Repayment to Company. 
  
 Subject to Sections 7.07, 9.01 and 9.03, the Trustee shall promptly pay to the Company upon written request any excess money held by it at any time. The
Trustee shall pay to the Company upon written request any money held by it for the payment of principal or interest that remains unclaimed for two years; provided, however, that the Trustee before being required to make any payment may at the
expense of the Company cause to be published once in a newspaper of general circulation in The City of New York or mail to each Holder entitled to such money 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 shall be repaid to the Company. After payment to the Company, Holders entitled to money must look to the Company for payment
as general creditors unless an applicable abandoned property law designates another person and all liability of the Trustee or Paying Agent with respect to such money shall thereupon cease. 
  
 Section 9.06. Reinstatement. 
  
 If the Trustee is unable to apply any cash or Cash Equivalents in accordance
with Section 9.01 or 9.03 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 and the Subsidiary
Guarantors’ obligations under this Indenture and the Securities shall be revived and reinstated as though no deposit had occurred pursuant to Section 9.01 or 9.03, as the case may be, until such time as the Trustee is permitted to apply all
such cash or Cash Equivalents in accordance with Section 9.01 or 9.03, as the case may be; provided, however, that if the Company has made any payment of interest on or principal of any Securities because of the reinstatement of its
obligations, the Company shall be subrogated to the rights of the Holders of such Securities to receive such payment from the cash or Cash Equivalents held by the Trustee. 
  
 ARTICLE X 
  
 AMENDMENTS, SUPPLEMENTS AND WAIVERS 
  
 Section 10.01. Without Consent of Holders. 
  
 The Company and the Subsidiary Guarantors, when authorized by a resolution of their respective Boards of Directors, and the Trustee may amend or
supplement this Indenture or the Securities without notice to or consent of any Holder: 
  
 (1) to cure any ambiguity, defect or inconsistency; provided, however, that such amendment or supplement does not, in the opinion of the Trustee, adversely affect the rights of any Holder in any material
respect; 
  
 (2) to provide for uncertificated Securities in
addition to or in place of certificated Securities; 
  
 (3) to
provide for the assumption by a successor Person of all obligations of the Company under the Securities and his Indenture in connection with any transaction complying with Article Five of this Indenture; 
  

 80 

 (4) to make any change that would provide any additional benefit or rights to the Holders or that does
not adversely affect the rights of any Holder under this Indenture; 
  
 (5) to comply with any requirements of the SEC in order to effect or maintain the qualification of this Indenture under the TIA; 
  
 (6) to secure the Securities pursuant to the requirements of Section 4.08 or otherwise; or 
  
 (7) to add to the covenants of the Company or the Subsidiary Guarantors for the benefit of the Holders, or to surrender any
right or power herein conferred upon the Company or any Subsidiary Guarantor; 
  
 (8) to evidence the succession of another Person to any Subsidiary Guarantor and the assumption by any such successor of the covenants of such Subsidiary Guarantor herein and in the Subsidiary Guarantee in connection
with any transaction complying with Article Five of this Indenture; 
  
 (9) to reflect the release of a Subsidiary Guarantor from its obligations with respect to its Subsidiary Guarantee in accordance with the provisions of Section 11.03 and to add a Subsidiary Guarantor pursuant to the requirements of Section
4.11; 
  
 provided, however, that the Company has delivered to the Trustee
an Opinion of Counsel stating that such amendment or supplement complies with the provisions of this Section 10.01. 
  
 Section 10.02. With Consent of Holders. 
  
 Subject to Section 6.07, the Company and the Subsidiary Guarantors, when authorized by a resolution of their respective Boards of Directors, and the
Trustee may amend or supplement this Indenture or the Securities with the written consent of the Holders of at least a majority in principal amount of the outstanding Securities. Subject to Section 6.07, the Holders of a majority in principal amount
of the outstanding Securities may waive compliance by the Company or any Subsidiary Guarantor with any provision of this Indenture or the Securities. However, without the consent of each Holder affected, an amendment, supplement or waiver, including
a waiver pursuant to Section 6.04, may not (with respect to any Notes held by a non-consenting holder): 
  
 (1) reduce the percentage of the principal amount of outstanding Securities necessary for amendment to or waiver of compliance with any provision of this
Indenture or the Securities or for waiver of any Default; 
  
 (2)
change the Stated Maturity of the principal of or any installment of interest on any Security or alter the optional redemption or repurchase provisions of any Security or this Indenture in a manner adverse to the Holders; 
  
 (3) reduce the principal amount (or premium) of any Security; 
  
 (4) reduce the rate of or extend the time for payment of interest, including
Defaulted Interest, on any Security; 
  
 (5) change the place or
currency of payment of the principal of (or premium) or interest on any Security; 
  

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 (6) modify any provisions of Section 6.04 (other than to add sections of this Indenture or the Securities
subject thereto) or 6.07 or this Section 10.02 (other than to add sections of this Indenture or the Securities which may not be amended, supplemented or waived without the consent of each Holder affected); 
  
 (7) waive a Default in the payment of the principal of or interest on or
redemption or purchase payment with respect to any Security (except a rescission of acceleration of the Securities by the Holders as provided in Section 6.02 and a waiver of the payment default that resulted from such acceleration); 
  
 (8) modify the provisions relating to any Net Proceeds Offer pursuant to
Section 4.06 or a Change of Control Offer pursuant to Section 4.10 in a manner materially adverse to the Holders; 
  
 (9) modify the ranking or priority of the Securities or the Subsidiary Guarantee in respect of any Subsidiary Guarantor, or modify the definition of
Senior Indebtedness or Guarantor Senior Indebtedness, or amend or modify any of the provisions of Article Eight or Article Twelve in any manner adverse to the Holders; or 
  
 (10) release any Subsidiary Guarantor from any of its obligations under its Subsidiary Guarantee or this Indenture otherwise
than in accordance with this Indenture. 
  
 An amendment under
this Section 10.02 may not make any change under Article Eight or Article Twelve hereof that adversely affects in any material respect the rights of any holder of Senior Indebtedness or Guarantor Senior Indebtedness, as the case may be, then
outstanding unless the holders of such Senior Indebtedness or Guarantor Senior Indebtedness, as the case may be, (or any representative thereof authorized to give a consent) shall have consented to such change. 
  
 It shall not be necessary for the consent of the Holders under this Section
10.02 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 10.02 becomes effective, the Company shall mail to the Holders affected thereby a notice
briefly describing the amendment, supplement or waiver. 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 amendment, supplement or waiver. 
  
 Section 10.03. Compliance with Trust Indenture Act. 
  
 Every amendment to or supplement of this Indenture or the Securities shall
comply with the TIA as then in effect. 
  
 Section 10.04. Revocation and Effect
of Consents. 
  
 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 that Security or portion of that Security that evidences the same debt as the consenting Holder’s Security, even if notation of the
consent is not made on any Security. Subject to the following paragraph, any such Holder or subsequent Holder may revoke the consent as to such Holder’s Security or portion of such Security by notice to the Trustee or the Company received
before the date on which the Trustee receives an Officers’ Certificate certifying that the Holders of the requisite principal amount of Securities have consented (and not theretofore revoked such consent) to the amendment, supplement or waiver.

  

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 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 sentence of the immediately preceding paragraph, those persons who were Holders of Securities 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 of such Securities 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 makes a change described in any of clauses (1) through
(10) of Section 10.02. In that case the amendment, supplement or waiver shall bind each Holder of a Security who has consented to it and every subsequent Holder of a Security or portion of a Security that evidences the same debt as the consenting
Holder’s Security. 
  
 Section 10.05. Notation on or Exchange of
Securities. 
  
 If an amendment, supplement or waiver changes
the terms of a Security, the Trustee may require the Holder of the Security to deliver it to the Trustee. The Trustee may place an appropriate notation on the Security about the changed terms and return it to the Holder. Alternatively, if the
Company or the Trustee so determines, the Company in exchange for the Security shall issue and the Trustee shall authenticate a new Security that reflects the changed terms. Failure to make the appropriate notation or issue a new Security shall not
affect the validity and effect of such amendment, supplement or waiver. 
  
 Section 10.06. Trustee To Sign Amendments, etc. 
  
 The Trustee shall be provided with, 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 Ten is authorized or permitted by
this Indenture and that such amendment, supplement or waiver constitutes the legal, valid and binding obligation of the Company and the Subsidiary Guarantors, enforceable in accordance with its terms (subject to customary exceptions). The Trustee
may, but shall not be obligated to, execute any such amendment, supplement or waiver which affects the Trustee’s own rights, duties or immunities under this Indenture or otherwise. In signing any amendment, supplement or waiver, the Trustee
shall be entitled to receive an indemnity reasonably satisfactory to it. 
  
 ARTICLE XI 
  
 SUBSIDIARY GUARANTEE

  
 Section 11.01. Unconditional Guarantee. 
  
 Each Subsidiary Guarantor hereby unconditionally, jointly and severally,
Guarantees (each, a “Subsidiary Guarantee”) to each Holder of a Security authenticated by the Trustee and to the Trustee and its successors and assigns that the principal of and interest on the Securities will be promptly paid in
full when due, subject to any applicable grace period, whether at maturity, by acceleration or otherwise, interest on the overdue principal and interest on any overdue interest on the Securities, Additional Interest and Post-Petition Interest and
all other obligations of the Company to the Holders or the Trustee hereunder or under the Securities will be promptly paid in full or performed, all in accordance with the terms hereof and thereof; subject, however, to the limitations set forth in
Section 11.04. Each Subsidiary Guarantor hereby agrees that its obligations hereunder shall be unconditional, irrespective of the validity, regularity or enforceability of the Securities or this Indenture, the absence of any action to 

  

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enforce the same, any waiver or consent by any Holder of the Securities with respect to any provisions hereof or thereof, the recovery of any judgment
against the Company, any action to enforce the same or any other circumstance which might otherwise constitute a legal or equitable discharge or defense of a Subsidiary Guarantor. Each Subsidiary Guarantor hereby waives diligence, presentment,
demand of payment, filing of claims with a court in the event of insolvency or bankruptcy of the Company, any right to require a proceeding first against the Company, protest, notice and all demands whatsoever and covenants that the Subsidiary
Guarantee will not be discharged except by complete performance of the obligations contained in the Securities, this Indenture, and this Subsidiary Guarantee. If any Holder or the Trustee is required by any court or otherwise to return to the
Company, any Subsidiary Guarantor, or any custodian, trustee, liquidator or other similar official acting in relation to the Company or any Subsidiary Guarantor, any amount paid by the Company or any Subsidiary Guarantor to the Trustee or such
Holder, this Subsidiary Guarantee, to the extent theretofore discharged, shall be reinstated in full force and effect. Each Subsidiary Guarantor further agrees that, as between each Subsidiary Guarantor, on the one hand, and the Holders and the
Trustee, on the other hand, (x) the maturity of the obligations Guaranteed hereby may be accelerated as provided in Article Six for the purpose of this Subsidiary Guarantee, notwithstanding any stay, injunction or other prohibition preventing such
acceleration in respect of the obligations Guaranteed hereby, and (y) in the event of any acceleration of such obligations as provided in Article Six, such obligations (whether or not due and payable) shall forth become due and payable by each
Subsidiary Guarantor for the purpose of this Subsidiary Guarantee. 
  
 Section
11.02. Severability. 
  
 In case any provision of this
Subsidiary Guarantee 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 11.03. Release of a Subsidiary Guarantor. 
  
 If the Securities are defeased in accordance with the terms of this
Indenture, or if Section 5.01(b) is complied with, or if, subject to the requirements of Section 5.01(a), all or substantially all of the assets of any Subsidiary Guarantor or all of the Equity Interests of any Subsidiary Guarantor are sold
(including by issuance or otherwise) by the Company in a transaction constituting an Asset Sale and (x) the Net Cash Proceeds from such Asset Sale are used in accordance with Section 4.05 or (y) the Company delivers to the Trustee an Officers’
Certificate to the effect that the Net Cash Proceeds from such Asset Sale shall be used in accordance with Section 4.06 and within the time limits specified by Section 4.06, then each Subsidiary Guarantor (in the case of defeasance) or such
Subsidiary Guarantor (in the case of compliance with Section 5.01(b) or in the event of a sale or other disposition of all of the Equity Interests of such Subsidiary Guarantor) or the corporation acquiring such assets (in the event of a sale or
other disposition of all or substantially all of the assets of such Subsidiary Guarantor) shall be released and discharged from all obligations under this Article Eleven without any further action required on the part of the Trustee or any Holder.
The Trustee shall, at the sole cost and expense of the Company and upon receipt at the reasonable request of the Trustee of an Opinion of Counsel that the provisions of this Section 11.03 have been complied with, deliver an appropriate instrument
evidencing such release upon receipt of a request by the Company accompanied by an Officers’ Certificate certifying as to the compliance with this Section 11.03. Any Subsidiary Guarantor not so released remains liable for the full amount of
principal of and interest on the Securities and the other obligations of the Company hereunder as provided in this Article Eleven. 
  

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 Section 11.04. Limitation of Subsidiary Guarantor’s Liability. 
  
 Each Subsidiary Guarantor, and by its acceptance hereof each Holder and the
Trustee, hereby confirms that it is the intention of all such parties that the Guarantee by such Subsidiary Guarantor pursuant to its Subsidiary Guarantee not constitute a fraudulent transfer or conveyance for purposes of title 11 of the United
States Code, as amended, the Uniform Fraudulent Conveyance Act, the Uniform Fraudulent Transfer Act or any similar U.S. Federal or state or other applicable law. To effectuate the foregoing intention, the Holders and each Subsidiary Guarantor hereby
irrevocably agree that the obligations of each Subsidiary Guarantor under its Subsidiary Guarantee shall be limited to the maximum amount as will, after giving effect to all other contingent and fixed liabilities of such Subsidiary Guarantor
(including any Senior Indebtedness incurred after the Issue Date) 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 Subsidiary Guarantee or pursuant to Section 11.05, result in the obligations of such Subsidiary Guarantor under its Subsidiary Guarantee not constituting such a fraudulent transfer or conveyance. 
  
 Section 11.05. Contribution. 
  
 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 the Subsidiary Guarantee, such Funding Guarantor shall be
entitled to a contribution from all other Subsidiary Guarantors in a pro rata amount, based on the net assets of each Subsidiary Guarantor (including the Funding Guarantor), determined in accordance with GAAP, subject to Section 11.04, for all
payments, damages and expenses incurred by such Funding Guarantor in discharging the Company’s obligations with respect to the Securities or any other Subsidiary Guarantor’s obligations with respect to the Subsidiary Guarantee. 

 
 Section 11.06. Subordination of Subrogation and Other Rights. 
  
 Each Subsidiary Guarantor hereby agrees that any claim against the Company
that arises from the payment, performance or enforcement of such Subsidiary Guarantor’s obligations under its Subsidiary Guarantee or this Indenture, including, without limitation, any right of subrogation, shall be subject and subordinate to,
and no payment with respect to any such claim of such Subsidiary Guarantor shall be made before, the payment in full in cash of all outstanding Securities in accordance with the provisions provided therefor in this Indenture. 
  
 ARTICLE XII 
  
 SUBORDINATION OF SUBSIDIARY GUARANTEE 
  
 Section 12.01. Subsidiary Guarantee Obligations Subordinated to Guarantor Senior
Indebtedness. 
  
 Each Subsidiary Guarantor covenants and
agrees, and the Trustee and each Holder of the Securities by his acceptance thereof likewise covenant and agree, that the Subsidiary Guarantee of such Subsidiary Guarantor shall be issued subject to the provisions of this Article Twelve; and each
person holding any Security, whether upon original issue or upon transfer, assignment or exchange thereof, accepts and agrees that all payments of the principal of, premium, if any, and interest on the Securities pursuant to the Subsidiary Guarantee
made by or on behalf of any Subsidiary Guarantor shall, to the extent and in the manner set forth in this Article Twelve, be subordinated and junior in right of payment to the prior payment in full in cash of all amounts payable under Guarantor
Senior Indebtedness of such Subsidiary Guarantor. 
  

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 Section 12.02. No Payment on Subsidiary Guarantees in Certain Circumstances. 
  
 No direct or indirect payment (except that Holders may receive and retain
Permitted Junior Securities and excluding any Defeasance Trust Payment) by any Subsidiary Guarantor in respect of the Subsidiary Guarantees (including any deposit pursuant to Section 9.03 or repurchase, redemption or other retirement of any
Subsidiary Guarantees) shall be made if: 
  
 (1) at the time of
such payment, there exists a default in the payment of all or any portion of the obligations on any Senior Indebtedness or Guarantor Senior Indebtedness of the applicable Subsidiary Guarantor beyond any applicable grace period; or 
  
 (2) any other default occurs and is continuing with respect to any Designated
Senior Indebtedness or Designated Guarantor Senior Indebtedness of the applicable Subsidiary Guarantor to accelerate its maturity and the Trustee receives a Payment Blockage Notice from the Company or the holders of such Designated Senior
Indebtedness or Designated Guarantor Senior Indebtedness. 
  
 Payments on the
Subsidiary Guarantees may and shall be resumed: 
  
 (1) in the
case of a payment default, upon the date on which such default is cured or waived; and 
  
 (2) in case of a nonpayment default, the earlier of the date on which such nonpayment default is cured or waived or 179 days after the date on which the applicable Payment Blockage Notice is received, unless the
maturity of any Designated Senior Indebtedness or Designated Guarantor Senior Indebtedness has been accelerated. 
  
 No new period of payment blockage may be commenced unless and until 360 days have elapsed since the effectiveness of the immediately prior Payment Blockage Notice. No
nonpayment default that existed or was continuing on the date of delivery of any Payment Blockage Notice to the Trustee shall be, or be made, the basis for a subsequent Payment Blockage Notice unless such default has been cured or waived for a
period of at least 90 consecutive days. 
  
 In the event that,
notwithstanding the foregoing, any payment shall be received by the Trustee or any Holder when such payment is prohibited by Section 12.02(1) or (2), such payment shall be held in trust for the benefit of, and shall be paid over or delivered to, the
holders of Senior Indebtedness or Guarantor Senior Indebtedness or their respective representatives, or to the trustee or trustees under any indenture pursuant to which any of such Senior Indebtedness or Guarantor Senior Indebtedness may have been
issued, as their respective interests may appear, but only to the extent that, upon notice from the Trustee to the holders of Senior Indebtedness or Guarantor Senior Indebtedness that such prohibited payment has been made, the holders of the Senior
Indebtedness or Guarantor Senior Indebtedness (or their representative or representatives or a trustee or trustees) notify the Trustee in writing of the amounts then due and owing on the Senior Indebtedness or Guarantor Senior Indebtedness, if any,
and only the amounts specified in such notice to the Trustee shall be paid to the holders of Senior Indebtedness or Guarantor Senior Indebtedness. 
  
 Section 12.03. Payment Over of Proceeds upon Dissolution, etc. 
  
 (a) Upon any payment or distribution of assets or securities of any Subsidiary Guarantor of any kind or character, whether in cash, property or
securities, upon any dissolution or winding up or total liquidation or reorganization of such Subsidiary Guarantor, whether voluntary or involuntary or in 

  

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bankruptcy, insolvency, receivership or other proceedings (excluding any payment or distribution of Permitted Junior Securities), all Guarantor Senior
Indebtedness of such Subsidiary Guarantor then due shall first be paid in full in cash before the Holders or the Trustee on behalf of such Holders shall be entitled to receive any payment by such Subsidiary Guarantor in respect of the Subsidiary
Guarantees, or any payment by such Subsidiary Guarantor to acquire any of the Securities for cash, property or securities, or any distribution by such Subsidiary Guarantor in respect of the Subsidiary Guarantees of any cash, property or securities
(excluding any payment or distribution of Permitted Junior Securities). Before any payment may be made by, or on behalf of, any Subsidiary Guarantor in respect of the Subsidiary Guarantees upon any such dissolution or winding up or total liquidation
or reorganization, whether voluntary or involuntary or in bankruptcy, insolvency, receivership or other proceedings, any payment or distribution of assets or securities of such Subsidiary Guarantor of any kind or character, whether in cash, property
or securities (excluding any payment or distribution of Permitted Junior Securities), to which the Holders or the Trustee on their behalf would be entitled, but for the subordination provisions of this Indenture, shall be made by such Subsidiary
Guarantor or by any receiver, trustee in bankruptcy, liquidation trustee, agent or other Person making such payment or distribution, directly to the holders of Guarantor Senior Indebtedness of such Subsidiary Guarantor (pro rata to such holders on
the basis of the respective amounts of such Guarantor Senior Indebtedness held by such holders) or their representatives or to the trustee or trustees or agent or agents under any agreement or indenture pursuant to which any of such Guarantor Senior
Indebtedness may have been issued, as their respective interests may appear, to the extent necessary to pay all such Guarantor Senior Indebtedness in full in cash after giving effect to any prior or concurrent payment, distribution or provision
therefor to or for the holders of such Guarantor Senior Indebtedness. 
  
 (b) In the event that, notwithstanding the foregoing provision prohibiting such payment or distribution, any payment or distribution of assets or securities of any Subsidiary Guarantor of any kind or character, whether in cash, property or
securities (excluding any payment or distribution of Permitted Junior Securities), shall be received by the Trustee or any Holder of Securities at a time when such payment or distribution is prohibited by Section 12.03(a) and before all obligations
in respect of the Guarantor Senior Indebtedness of such Subsidiary Guarantor are paid in full in cash, such payment or distribution shall be received and held in trust for the benefit of, and shall be paid over or delivered to, the holders of such
Guarantor Senior Indebtedness (pro rata to such holders on the basis of the respective amounts of such Guarantor Senior Indebtedness held by such holders) or their respective representatives, or to the trustee or trustees or agent or agents under
any indenture pursuant to which any of such Guarantor Senior Indebtedness may have been issued, as their respective interests may appear, for application to the payment of such Guarantor Senior Indebtedness remaining unpaid until all such Guarantor
Senior Indebtedness has been paid in full in cash after giving effect to any prior or concurrent payment, distribution or provision therefor to or for the holders of such Guarantor Senior Indebtedness. 
  
 The consolidation of any Subsidiary Guarantor with, or the merger of any
Subsidiary Guarantor with or into, another corporation or the liquidation or dissolution of any Subsidiary Guarantor following the conveyance or transfer of its property as an entirety, or substantially as an entirety, to another corporation upon
the terms and conditions provided in Article Five shall not be deemed a dissolution, winding-up, liquidation or reorganization for the purposes of this Section 12.03 if such other corporation shall, as a part of such consolidation, merger,
conveyance or transfer, comply with the conditions stated in Article Five. 
  
 Section 12.04. Subrogation. 
  
 Upon the payment
in full in cash of all Guarantor Senior Indebtedness of a Subsidiary Guarantor, or provision for payment, the Holders shall be subrogated to the rights of the holders of such Guarantor 

  

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Senior Indebtedness to receive payments or distributions of cash, property or securities of such Subsidiary Guarantor made on such Guarantor Senior
Indebtedness until the principal of and interest on the Securities shall be paid in full in cash; and, for the purposes of such subrogation, no payments or distributions to the holders of such Guarantor Senior Indebtedness of any cash, property or
securities to which the Holders or the Trustee on their behalf would be entitled except for the provisions of this Article Twelve, and no payment over pursuant to the provisions of this Article Twelve to the holders of such Guarantor Senior
Indebtedness by Holders or the Trustee on their behalf shall, as between such Subsidiary Guarantor, its creditors other than holders of such Guarantor Senior Indebtedness, and the Holders, be deemed to be a payment by such Subsidiary Guarantor to or
on account of such Guarantor Senior Indebtedness. It is understood that the provisions of this Article Twelve are and are intended solely for the purpose of defining the relative rights of the Holders, on the one hand, and the holders of Guarantor
Senior Indebtedness of each Subsidiary Guarantor, on the other hand. 
  
 If any payment or distribution to which the Holders would otherwise have been entitled but for the provisions of this Article Twelve shall have been applied, pursuant to the provisions of this Article Twelve, to the payment of all amounts
payable under Guarantor Senior Indebtedness, then and in such case, the Holders shall be entitled to receive from the holders of such Guarantor Senior Indebtedness any payments or distributions received by such holders of Guarantor Senior
Indebtedness in excess of the amount required to make payment in full in cash of such Guarantor Senior Indebtedness. 
  
 Section 12.05. Obligations of Subsidiary Guarantors Unconditional. 
  
 Subject to Sections 11.04 and 8.02, nothing contained in this Article Twelve or elsewhere in this Indenture or in the Securities is intended to or shall
impair, as among each of the Subsidiary Guarantors and the Holders, the obligation of each Subsidiary Guarantor, which is absolute and unconditional, to pay to the Holders the principal of and interest on the Securities as and when the same shall
become due and payable in accordance with the terms of the Subsidiary Guarantee of such Subsidiary Guarantor, or is intended to or shall affect the relative rights of the Holders and creditors of any Subsidiary Guarantor other than the holders of
Guarantor Senior Indebtedness 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,
subject to the rights, if any, under this Article Twelve of the holders of Guarantor Senior Indebtedness in respect of cash, property or securities of any Subsidiary Guarantor received upon the exercise of any such remedy. 
  
 Without limiting the generality of the foregoing, nothing contained in this
Article Twelve shall restrict the right of the Trustee or the Holders to take any action to declare the Securities to be due and payable prior to their stated maturity pursuant to Section 6.01 or to pursue any rights or remedies hereunder;
provided, however, that all Guarantor Senior Indebtedness of any Subsidiary Guarantor then due and payable shall first be paid in full before the Holders or the Trustee are entitled to receive any direct or indirect payment from such
Subsidiary Guarantor of principal of or interest on the Securities pursuant to such Subsidiary Guarantor’s Subsidiary Guarantee. 
  
 Section 12.06. Notice to Trustee. 
  
 The Company and each Subsidiary Guarantor shall give prompt written notice to the Trustee of any fact known to the Company or such Subsidiary Guarantor
which would prohibit the making of any payment to or by the Trustee in respect of the Subsidiary Guarantees pursuant to the provisions of this Article Twelve. The Trustee shall not be charged with knowledge of the existence of any event of default
with respect to any Guarantor Senior Indebtedness or of any other facts which would prohibit the making of any payment to or by the Trustee unless and until the Trustee shall have received notice in 

  

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writing at its Corporate Trust Office to that effect signed by an Officer of the Company or such Subsidiary Guarantor, or by a holder of Guarantor Senior
Indebtedness or trustee or agent therefor; and prior to the receipt of any such written notice, the Trustee shall, subject to Article Seven, be entitled to assume that no such facts exist; provided, however, that if the Trustee shall not have
received the notice provided for in this Section 12.06 at least two Business Days prior to the date upon which by the terms of this Indenture any moneys shall become payable for any purpose (including, without limitation, the payment of the
principal of or interest on any Security), then, regardless of anything herein to the contrary, the Trustee shall have full power and authority to receive any moneys from any Subsidiary Guarantor and to apply the same to the purpose for which they
were received, and shall not be affected by any notice to the contrary which may be received by it on or after such prior date. Nothing contained in this Section 12.06 shall limit the right of the holders of Guarantor Senior Indebtedness to recover
payments as contemplated by Section 12.04. The Trustee shall be entitled to rely on the delivery to it of a written notice by a Person representing himself or itself to be a holder of any Guarantor Senior Indebtedness (or a trustee on behalf of, or
other representative of, such holder) to establish that such notice has been given by a holder of such Guarantor Senior Indebtedness or a trustee or representative on behalf of any such holder. 
  
 In the event that the Trustee determines in good faith that any evidence is
required with respect to the right of any Person as a holder of Guarantor Senior Indebtedness to participate in any payment or distribution pursuant to this Article Twelve, the Trustee may request such Person to furnish evidence to the reasonable
satisfaction of the Trustee as to the amount of Guarantor Senior Indebtedness held by such Person, the extent to which such Person is entitled to participate in such payment or distribution and any other facts pertinent to the rights of such Person
under this Article Twelve, and if such evidence is not furnished, the Trustee may defer any payment to such Person pending judicial determination as to the right of such Person to receive such payment. 
  
 Section 12.07. Reliance on Judicial Order or Certificate of Liquidating Agent.

  
 Upon any payment or distribution of assets or securities
of a Subsidiary Guarantor referred to in this Article Twelve, the Trustee and the Holders shall be entitled to rely upon any order or decree made by any court of competent jurisdiction in which bankruptcy, dissolution, winding-up, liquidation or
reorganization proceedings are pending, or upon a certificate of the receiver, trustee in bankruptcy, liquidating trustee, agent or other person making such payment or distribution, delivered to the Trustee or to the Holders for the purpose of
ascertaining the persons entitled to participate in such distribution, the holders of Guarantor Senior Indebtedness of such Subsidiary Guarantor and other indebtedness of such Subsidiary Guarantor, the amount thereof or payable thereon, the amount
or amounts paid or distributed thereon and all other facts pertinent thereto or to this Article Twelve. 
  
 Section 12.08. Trustee’s Relation to Guarantor Senior Indebtedness. 
  
 The Trustee and any Paying Agent shall be entitled to all the rights set forth in this Article Twelve with respect to any Guarantor Senior Indebtedness
which may at any time be held by it in its individual or any other capacity to the same extent as any other holder of Guarantor Senior Indebtedness, and nothing in this Indenture shall deprive the Trustee or any Paying Agent of any of its rights as
such holder. 
  
 With respect to the holders of Guarantor Senior
Indebtedness, the Trustee undertakes to perform or to observe only such of its covenants and obligations as are specifically set forth in this Article Twelve, and no implied covenants or obligations with respect to the holders of Guarantor Senior
Indebtedness shall be read into this Indenture against the Trustee. The Trustee shall not be deemed to 

  

 89 

 
owe any fiduciary duty to the holders of Guarantor Senior Indebtedness (except as provided in Section 12.03(b)). The Trustee shall not be liable to any such
holders if the Trustee shall in good faith mistakenly pay over or distribute to Holders or to the Company or to any other person cash, property or securities to which any holders of Guarantor Senior Indebtedness shall be entitled by virtue of this
Article Twelve or otherwise. 
  
 Section 12.09. Subordination Rights Not
Impaired by Acts or Omissions of the Subsidiary Guarantors or Holders of Guarantor Senior Indebtedness. 
  
 No right of any present or future holders of any Guarantor Senior Indebtedness to enforce subordination as provided herein shall at any time in any way be
prejudiced or impaired by any act or failure to act on the part of any Subsidiary Guarantor or by any act or failure to act, in good faith, by any such holder, or by any noncompliance by any Subsidiary Guarantor with the terms of this Indenture,
regardless of any knowledge thereof which any such holder may have or otherwise be charged with. The provisions of this Article Twelve are intended to be for the benefit of, and shall be enforceable directly by, the holders of Guarantor Senior
Indebtedness. 
  
 Section 12.10. Holders Authorize Trustee To Effectuate
Subordination of Subsidiary Guarantee. 
  
 Each Holder by his
acceptance of such Security authorizes and expressly directs the Trustee on his behalf to take such action as may be necessary or appropriate to effectuate the subordination provided in this Article Twelve, and appoints the Trustee his
attorney-in-fact for such purposes, including, in the event of any dissolution, winding-up, total liquidation or reorganization of any Subsidiary Guarantor (whether in bankruptcy, insolvency, receivership, reorganization or similar proceedings or
upon an assignment for the benefit of creditors or otherwise) tending towards liquidation of the business and assets of such Subsidiary Guarantor, the filing of a claim for the unpaid balance of its or his Securities in the form required in those
proceedings. 
  
 Section 12.11. This Article Not To Prevent Events of Default.

  
 The failure to make a payment on the Securities or
Subsidiary Guarantees by reason of any provision of this Article Twelve shall not be construed as preventing the occurrence of an Event of Default specified in clauses (1) or (2) of Section 6.01. 
  
 Section 12.12. Trustee’s Compensation Not Prejudiced. 
  
 Nothing in this Article Twelve shall apply to amounts due to the Trustee
pursuant to other sections in this Indenture. 
  
 Section 12.13. No Waiver of
Subsidiary Guarantee Subordination Provisions. 
  
 Without in
any way limiting the generality of Section 12.09, the holders of Guarantor Senior Indebtedness may, at any time and from time to time, without the consent of or notice to the Trustee or the Holders, without incurring responsibility to the Holders
and without impairing or releasing the subordination provided in this Article Twelve or the obligations hereunder of the Holders to the holders of Guarantor Senior Indebtedness, do any one or more of the following: (a) change the manner, place or
terms of payment or extend the time of payment of, or renew or alter, Guarantor Senior Indebtedness or any instrument evidencing the same or any agreement under which Guarantor Senior Indebtedness is outstanding or secured; (b) sell, exchange,
release or otherwise deal with any property pledged, mortgaged or otherwise securing Guarantor Senior Indebtedness; (c) release any Person liable in any 

  

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manner for the collection of Guarantor Senior Indebtedness; and (d) exercise or refrain from exercising any rights against any Subsidiary Guarantor and any
other Person. 
  
 Section 12.14. Subordination Provisions Not Applicable to
Money Held in Trust for Holders; Payments May Be Paid Prior to Dissolution. 
  
 All cash and Cash Equivalents deposited in trust with the Trustee pursuant to and in accordance with Article Nine shall be for the sole benefit of the Holders and shall not be subject to this Article Twelve.

  
 Nothing contained in this Article Twelve or elsewhere in this
Indenture shall prevent (i) a Subsidiary Guarantor, except under the conditions described in Section 12.03, from making payments of principal of and interest on the Securities pursuant to the Subsidiary Guarantees, or from depositing with the
Trustee any moneys for such payments, or (ii) the application by the Trustee of any moneys deposited with it for the purpose of making such payments of principal of and interest on the Securities, to the holders entitled thereto unless at least two
Business Days prior to the date upon which such payment becomes due and payable, the Trustee shall have received the written notice provided for in Section 12.07. The Subsidiary Guarantors shall give prompt written notice to the Trustee of any
dissolution, winding-up, liquidation or reorganization of such Subsidiary Guarantor. 
  
 Section 12.15. Acceleration of Securities. 
  
 If
payment of the Securities is accelerated because of an Event of Default, the Company or the Trustee shall promptly notify the holders of the Designated Senior Indebtedness or Designated Guarantor Senior Indebtedness (or their Representatives) of the
acceleration; provided, however, that the Company and the Trustee shall be obligated to notify such a Representative only if such Representative has delivered or caused to be delivered to the Company or the Trustee an address for service of
such a notice (and the Company and the Trustee shall only be obligated to deliver the notice to the address so specified). If any Designated Senior Indebtedness or Designated Guarantor Senior Indebtedness is outstanding, the Subsidiary Guarantors
shall not make any payments in respect of the Subsidiary Guarantees until five Business Days after the holders or Representative(s) of such Designated Senior Indebtedness or Designated Guarantor Senior Indebtedness receives notice of such
acceleration and, thereafter, may make payments in respect of the Subsidiary Guarantees, only if this Article Twelve otherwise permits payments at that time. 
  
 ARTICLE XIII 
  
 MISCELLANEOUS 
  
 Section 13.01. Trust Indenture Act Controls. 
  
 This Indenture is 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. If any provision of this Indenture modifies any TIA provision that
may be so modified, such TIA provision shall be deemed to apply to this Indenture as so modified. If any provision of this Indenture excludes any TIA provision that may be so excluded, such TIA provision shall be excluded from this Indenture.

  
 The provisions of TIA Sections 310 through 317 that impose
duties on any Person (including the provisions automatically deemed included unless expressly excluded by this Indenture) are a part of and govern this Indenture, whether or not physically contained herein. 
  

 91 

 Section 13.02. Notices. 
  

Any notice or communication shall be sufficiently given if in writing and delivered in person, by facsimile and confirmed by overnight courier, or
mailed by first-class mail addressed as follows: 
  
 if to the
Company or to the Subsidiary Guarantors: 
  
 Carrols Corporation

 968 James Street 
 Syracuse,
New York 13203 
 Attention: Chief Financial Officer 
 Facsimile: (315) 475-9616 
 Telephone: (315) 475-9616 x223 
  
 with a copy to: 
  
 Katten Muchin Zavis Rosenman 
 575 Madison Avenue 
 New York, New York 10022

 Attention: Wayne A. Wald, Esq. 
 Facsimile: (212) 940-8776 
 Telephone: (212) 940-8800 
  
 if to the Trustee: 
  
 The Bank of New York 
 101 Barclay Street

 8th
Floor West 
 New York, NY 10286 
 Attention: Corporate Trust Administration 
 Facsimile: (212) 815-5707 
 Telephone: (212) 815-4779 
  
 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, first-class, postage prepaid, to a Holder
including any notice delivered in connection with TIA Section 310(b), TIA Section 313(c), TIA Section 314(a) and TIA Section 315(b), shall be mailed to him at his address as set forth on the Security Register and shall be sufficiently given to him
if so mailed within the time prescribed. To the extent required by the TIA, any notice or communication shall also be mailed to any Person described in TIA Section 313(c). 
  
 Failure to mail a notice or communication to a Holder or any defect in it shall not affect its sufficiency with respect to
other Holders. Except for a notice to the Trustee, which is deemed given only when received, if a notice or communication is mailed in the manner provided above, it is duly given, whether or not the addressee receives it. 
  

 92 

 Section 13.03. Communications by Holders with Other Holders. 
  
 Holders may communicate pursuant to TIA Section 312(b) with other Holders
with respect to their rights under this Indenture or the Securities. The Company, the Trustee, the Registrar and any other person shall have the protection of TIA Section 312(c). 
  
 Section 13.04. Certificate and Opinion as to Conditions Precedent. 
  
 Upon any request or application by the Company to the Trustee to take or refrain from taking any action under this
Indenture, the Company shall furnish to the Trustee at the request of the Trustee: 
  
 (1) an Officers’ Certificate in form and substance satisfactory to the Trustee 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 
  
 (2) an Opinion of Counsel in form and substance satisfactory to the Trustee stating that, in the opinion of such counsel, all such
conditions precedent have been complied with. 
  
 Section 13.05. 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: 
  
 (1) a statement that the person making such certificate or opinion has read such covenant or condition; 
  
 (2) a brief statement as to the nature and scope of the
examination or investigation upon which the statements or opinions contained in such certificate or opinion are based; 
  
 (3) a statement that, in the opinion of such person, he has made such examination or investigation as is necessary to enable him to
express an informed opinion as to whether or not such covenant or condition has been complied with; and 
  
 (4) a statement as to whether or not, in the opinion of 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 13.06. Rules by Trustee, Paying Agent, 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 13.07. Governing Law. 
  
 THIS INDENTURE AND THE SECURITIES SHALL BE GOVERNED BY AND CONSTRUED IN
ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK. Each of the parties hereto and thereto agrees 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 and the
Securities. 
  
 Section 13.08. No Recourse Against Others. 
  
 A director, officer, employee or stockholder, as such, of the Company or any
Subsidiary Guarantor shall not have any liability for any obligations of the Company or any Subsidiary Guarantor 

  

 93 

 
under the Securities, the Subsidiary Guarantee of such Subsidiary Guarantor or this Indenture or for any claim based on, in respect of or by reason of such
obligations or their creation. Each Holder by accepting a Security waives and releases all such liability. 
  
 Section 13.09. Successors. 
  
 All agreements of the Company in this Indenture and the Securities shall bind its successor. All agreements of each Subsidiary Guarantor in this Indenture and such Subsidiary Guarantor’s Subsidiary Guarantee shall bind its successor.
All agreements of the Trustee in this Indenture shall bind its successor. 
  
 Section 13.10. Counterpart 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 13.11. Severability. 
  
 In case any provision in this Indenture, in the Securities or in the Subsidiary Guarantee 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, and a Holder shall have no claim therefor against any party hereto. 
  
 Section 13.12. No Adverse Interpretation of Other Agreements. 
  
 This Indenture may not be used to interpret another indenture, loan or debt agreement of the Company or a Subsidiary. Any
such indenture, loan or debt agreement may not be used to interpret this Indenture. 
  
 Section 13.13. Legal Holidays. 
  
 If a payment
date is a not a Business Day at a place of payment, payment may be made at that place on the next succeeding Business Day, and no interest shall accrue for the intervening period. 
  
 [Signature Pages Follow] 
  

 94 

  
 SIGNATURES 

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

			
	Very truly yours,
	
	CARROLS CORPORATION
		
	By:	 	 /s/ Joseph A. Zirkman

	 Name:
	 	 Joseph A. Zirkman

	 Title:
	 	 Vice President, Secretary and General Counsel

	
	CARROLS J.G. CORP.
	CARROLS REALTY HOLDINGS CORP.
	CARROLS REALTY I CORP.
	CARROLS REALTY II CORP.
	POLLO FRANCHISE, INC.
	POLLO OPERATIONS, INC.
	QUANTA ADVERTISING CORP.
	TACO CABANA, INC.
	TC LEASE HOLDINGS III, V AND VI, INC.
	T.C. MANAGEMENT, INC.
	TP ACQUISITION CORP.,
	As Subsidiary Guarantors
		
	By:	 	 /s/ Joseph A. Zirkman

	Name:	 	 Joseph Zirkman

	Title:	 	 Vice President

	
	 TEXAS TACO CABANA, L.P., as Subsidiary Guarantor
 By T.C. Management, Inc., as General Partner

		
	By:	 	/s/ Joseph A. Zirkman
	Name:	 	 Joseph Zirkman

	Title:	 	 Vice President

  

 S-1 

			
	CABANA BEVCO LLC, as Subsidiary Guarantor
		
	By:	 	 /s/ Shanna Garcia

	 Name:
	 	 Shanna Garcia

	 Title:
	 	 Manager

	CABANA BEVERAGES, INC., as Subsidiary Guarantor
		
	By:	 	 /s/ Shanna Garcia

	 Name:
	 	 Shanna Garcia

	 Title:
	 	 President

	TC BEVCO LLC, as Subsidiary Guarantor
		
	By:	 	 /s/ Shanna Garcia

	 Name:
	 	 Shanna Garcia

	 Title:
	 	 Manager

  

 S-2 

			
	GET REAL, INC., as Subsidiary Guarantor
		
	By:	 	 /s/ Julio Murillo

			
	 Name:
	 	 Julio Murillo

	 Title:
	 	 Vice President

  

 S-3 

			
	THE BANK OF NEW YORK, as Trustee
		
	By:	 	 /s/ Kisha A. Holder

			
	 Name:
	 	 Kisha A. Holder

	 Title:
	 	 Assistant Vice President

  

 S-4 

  
 EXHIBIT A 

 
 [FORM OF SERIES A SECURITY] 
  
 [Applicable Restricted Securities Legend] 
 [Depository Legend, if applicable] 
  
 CARROLS CORPORATION 
  
 9% Senior Subordinated Note 
 due January 15, 2013, Series A 
  

			
	 	  	CUSIP No.:
		
	 No.
	  	$

  
 CARROLS CORPORATION, a
Delaware corporation (the “Company”, which term includes any successor corporation), for value received promises to pay to Cede & Co. or registered assigns, the principal sum
of                 , on January 15, 2013. 
  
 Interest Payment Dates: January 15 and July 15, commencing on July 15, 2005. 
  
 Interest Record Dates: January 1 and July 1. 
  
 Reference is made to the further provisions of this Security contained herein, which will for all purposes have the same
effect as if set forth at this place. 
  
 IN WITNESS WHEREOF, the
Company has caused this Security to be signed manually or by facsimile by its duly authorized officer. 
  

					
	CARROLS CORPORATION
			
	By:	 	 	 	 
	 	 	 Name:
	 	 
	 	 	 Title:
	 	 

					
			
	By:	 	 	 	 
	 	 	 Name:
	 	 
	 	 	 Title:
	 	 

  
 Dated: 
  

 A-1 

  
 [FORM OF TRUSTEE’S
CERTIFICATE OF AUTHENTICATION] 
  
 This is one of the 9% Senior
Subordinated Notes due 2013, Series A, described in the within-mentioned Indenture. 
  
 Dated: 
  

					
	THE BANK OF NEW YORK, as Trustee
			
	By:	 	 	 	 
	 	 	 Name:
	 	 
	 	 	 Title:
	 	 

  

 A-2 

  
 (Reverse of Security)

  
 CARROLS CORPORATION 
  
 9% Senior Subordinated Note 
 due January 15, 2013, Series A 
  

	1.	Interest. 

  
 CARROLS CORPORATION, a Delaware corporation (the “Company”), promises to pay interest on the principal amount of this Security at the
rate per annum shown above, plus any Additional Interest. Cash interest on the Securities will accrue from the most recent date to which interest has been paid or, if no interest has been paid, from December 15, 2004. The Company will pay interest
semi-annually in arrears on each Interest Payment Date, commencing July 15, 2005. Interest will be computed on the basis of a 360-day year of twelve 30-day months. 
  
 The Company shall pay interest and any Additional Interest on overdue principal from time to time on demand and on overdue
installments of interest and Additional Interest (without regard to any applicable grace periods) to the extent lawful from time to time on demand, in each case at the rate borne by the Securities 
  

	2.	Method of Payment. 

  
 The Company shall pay interest and any Additional Interest on the Securities (except defaulted interest as described above) to the persons who are the
registered Holders at the close of business on the Interest Record Date immediately preceding the Interest Payment Date even if the Securities are cancelled on registration of transfer or registration of exchange after such Interest Record Date.
Holders must surrender Securities to a Paying Agent to collect principal payments. The Company shall pay principal and interest in money of the United States that at the time of payment is legal tender for payment of public and private debts
(“U.S. Legal Tender”). However, the Company may pay principal and interest by wire transfer of Federal funds (provided that the Paying Agent shall have received wire instructions on or prior to the relevant Interest Record Date), or
interest by check payable in such U.S. Legal Tender. The Company may deliver any such interest payment to the Paying Agent or to a Holder at the Holder’s registered address. 
  

	3.	Paying Agent and Registrar. 

  
 Initially, The Bank of New York (the “Trustee”) will act as Paying Agent and Registrar. The Company may change any Paying Agent or
Registrar without notice to the Holders. The Company or any of its Subsidiaries may, subject to certain exceptions, act as Registrar. 
  

	4.	Indenture and Subsidiary Guarantees. 

  
 The Company issued the Securities under an Indenture, dated as of December 15, 2004 (the “Indenture”), by and among the Company, the
Subsidiary Guarantors and the Trustee. Capitalized terms herein are used as defined in the Indenture unless otherwise defined herein. This Security is one of a duly authorized issue of Securities of the Company designated as its 9% Senior
Subordinated Notes due 2013, Series A (the “Initial Securities”), which may be issued under the Indenture. The Securities include the Initial Securities, the Exchange Securities (as defined below) issued in exchange for the Initial
Securities pursuant to the Registration Rights Agreement, and any Additional Securities. The 

  

 A-3 

 
Initial Securities, the Exchange Securities and any Additional Securities are treated as a single class of securities under the Indenture. The terms of the
Securities include those stated in the Indenture and those made part of the Indenture by reference to the Trust Indenture Act of 1939 (15 U.S.C. Sections 77aaa-77bbbb) (the “TIA”), as in effect on the Issue Date (except as otherwise
indicated in the Indenture) until such time as the Indenture is qualified under the TIA, and thereafter as in effect on the date on which the Indenture is qualified under the TIA. Notwithstanding anything to the contrary herein, the Securities are
subject to all such terms, and holders of Securities are referred to the Indenture and the TIA for a statement of them. The Securities are general unsecured obligations of the Company. The Securities are subordinated in right of payment to all
Senior Indebtedness of the Company to the extent and in the manner provided in the Indenture. Each Holder of a Security, by accepting a Security, agrees to such subordination, authorizes the Trustee to give effect to such subordination and appoints
the Trustee as attorney-in-fact for such purpose. 
  
 Payment on
the Securities is Guaranteed (each, a “Subsidiary Guarantee”), on a senior subordinated basis, jointly and severally, by each Restricted Subsidiary of the Company existing on the Issue Date (each, a “Subsidiary
Guarantor”) pursuant to Article Eleven and Article Twelve of the Indenture. In addition, the Indenture requires the Company to cause each Restricted Subsidiary formed, created or acquired after the Issue Date to become a party to the
Indenture as a Subsidiary Guarantor and Guarantee payment on the Securities pursuant to Article Eleven and Article Twelve of the Indenture. In certain circumstances, the Subsidiary Guarantees may be released. 
  

	5.	Optional Redemption. 

  
 The Securities will be redeemable, at the Company’s option, in whole or in part at any time, on and after January 15, 2009, upon not less than 30 nor
more than 60 days’ notice, at the following redemption prices (expressed as percentages of the principal amount thereof) if redeemed during the twelve-month period commencing on January 15 of the year set forth below, plus, in each case,
accrued and unpaid interest thereon, if any, to the date of redemption: 
  

				
	 Year

	  	Percentage

	 
	 2009
	  	104.500	%
	 2010
	  	102.250	%
	 2011 and thereafter
	  	100.000	%

  

	6.	Optional Redemption upon Public Equity Offerings. 

  
 At any time, or from time to time, on or prior to January 15, 2008, the Company may, at its option, use the net cash proceeds of one or more Public Equity
Offerings to redeem up to 35% of the principal amount of Securities originally issued at a redemption price equal to 109.0% of the principal amount thereof plus accrued and unpaid interest thereon, if any, to the date of redemption (subject to the
right of Holders of record on the relevant Interest Record Date to receive interest due on the relevant Interest Payment Date); provided that at least 65% of the principal amount of Securities originally issued remain outstanding immediately
after any such redemption (excluding any Securities held by the Company or any of its Affiliates). In order to effect the foregoing redemption with the proceeds of any Public Equity Offering, the Company shall make such redemption not more than 90
days after the consummation of any such Public Equity Offering. 
  

 A-4 

	7.	Notice of Redemption. 

  
 Notice of redemption will be mailed by first-class mail at least 30 days but not more than 60 days before the Redemption Date to each Holder of Securities
to be redeemed at its registered address. The Trustee may select for redemption portions of the principal amount of Securities that have denominations equal to or larger than $1,000 principal amount. Securities and portions of them the Trustee so
selects shall be in amounts of $1,000 principal amount or integral multiples thereof. 
  
 If any Security is to be redeemed in part only, the notice of redemption that relates to such Security shall state the portion of the principal amount thereof to be redeemed. A new Security in a principal amount equal
to the unredeemed portion thereof will be issued in the name of the Holder thereof upon cancellation of the original Security. On and after the Redemption Date, interest will cease to accrue on Securities or portions thereof called for redemption so
long as the Company has deposited with the Paying Agent for the Securities funds in satisfaction of the redemption price pursuant to the Indenture and the Paying Agent is not prohibited from paying such funds to the Holders pursuant to the terms of
the Indenture. 
  

	8.	Change of Control Offer. 

  
 Following the occurrence of a Change of Control (the date of such occurrence being the “Change of Control Date”), the Company shall,
within 60 days after the Change of Control Date, make a Change of Control Offer to repurchase all Securities then outstanding at a repurchase price in cash equal to 101% of the aggregate principal amount thereof, plus accrued and unpaid interest
thereon, if any, to the Change of Control Payment Date (subject to the right of Holders of record on the relevant Interest Record Date to receive interest due on the relevant Interest Payment Date). 
  

	9.	Limitation on Disposition of Assets. 

  
 The Company is, subject to certain conditions, obligated to make a Net Proceeds Offer to repurchase Securities at a repurchase price equal to 100% of the
principal amount thereof, plus accrued and unpaid interest thereon, if any, to the Net Proceeds Offer Date (subject to the right of Holders of record on the relevant Interest Record Date to receive interest due on the relevant Interest Payment Date)
with the proceeds of certain asset dispositions. 
  

	10.	Denominations; Transfer; Exchange. 

  
 The Securities are in registered form, without coupons, in denominations of $1,000 and integral multiples of $1,000. A Holder shall register the transfer
of or exchange Securities in accordance with the Indenture. The Registrar may require a Holder, among other things, to furnish appropriate endorsements and transfer documents and to pay certain transfer taxes or similar governmental charges payable
in connection therewith as permitted by the Indenture. The Registrar need not register the transfer of or exchange any Securities or portions thereof selected for redemption, except the unredeemed portion of any security being redeemed in part.

  

	11.	Persons Deemed Owners. 

  
 The registered Holder of a Security shall be treated as the owner of it for all purposes. 
  

 A-5 

	12.	Unclaimed Funds. 

  
 If funds for the payment of principal or interest remain unclaimed for two years, the Trustee and the Paying Agent will repay the funds to the Company at
its written request. After that, all liability of the Trustee and such Paying Agent with respect to such funds shall cease. 
  

	13.	Defeasance. 

  
 The Company and the Subsidiary Guarantors may be discharged from their obligations under the Indenture, the Securities and the Subsidiary Guarantees,
except for certain provisions thereof, and may be discharged from obligations to comply with certain covenants contained in the Indenture, the Securities and the Subsidiary Guarantees, in each case upon satisfaction of certain conditions specified
in the Indenture. 
  

	14.	Amendment; Supplement; Waiver. 

  
 Subject to certain exceptions, the Indenture, the Securities and the Subsidiary Guarantees may be amended or supplemented with the written consent of the
Holders of at least a majority in aggregate principal amount of the Securities then outstanding, and any existing Default or Event of Default or compliance with any provision may be waived with the consent of the Holders of a majority in aggregate
principal amount of the Securities then outstanding. Without notice to or consent of any Holder, the parties thereto may amend or supplement the Indenture, the Securities and the Subsidiary Guarantees to, among other things, cure any ambiguity,
defect or inconsistency, provide for uncertificated Securities in addition to or in place of certificated Securities or comply with any requirements of the SEC in connection with the qualification of the Indenture under the TIA, or make any other
change that does not materially adversely affect the rights of any Holder of a Security. 
  

	15.	Restrictive Covenants. 

  
 The Indenture contains certain covenants that, among other things, limit the ability of the Company and the Restricted Subsidiaries to make restricted
payments, to incur indebtedness, to create liens, to sell assets, to permit restrictions on dividends and other payments by Restricted Subsidiaries to the Company, to consolidate, merge or sell all or substantially all of its assets, to engage in
transactions with affiliates or certain other related persons or to engage in certain businesses. The limitations are subject to a number of important qualifications and exceptions. The Company must report quarterly to the Trustee on compliance with
such limitations. 
  

	16.	Defaults and Remedies. 

  
 If an Event of Default shall occur and be continuing, the Trustee or the Holders of at least 25% in aggregate principal amount of outstanding Securities
may declare all the Securities to be due and payable immediately in the manner and with the effect provided in the Indenture. Holders may not enforce the Indenture, the Securities or the Subsidiary Guarantees except as provided in the Indenture. The
Trustee is not obligated to enforce the Indenture, the Securities or the Subsidiary Guarantees unless it has received indemnity satisfactory to it. The Indenture permits, subject to certain limitations therein provided, Holders of a majority in
aggregate principal amount of the Securities then outstanding to direct the Trustee in its exercise of any trust or power. The Trustee may withhold from Holders notice of certain continuing Defaults or Events of Default if it determines that
withholding notice is in their interest. 
  

 A-6 

	17.	Trustee Dealings with Company. 

  
 The Trustee under the Indenture, in its individual or any other capacity, may become the owner or pledgee of Securities and may otherwise deal with the
Company, its Subsidiaries or their respective Affiliates as if it were not the Trustee. 
  

	18.	No Recourse Against Others. 

  
 No stockholder, director, officer, employee or incorporator, as such, of the Company or any Subsidiary Guarantor shall have any liability for any
obligation of the Company or any Subsidiary Guarantor under the Securities, the Subsidiary Guarantee of such Subsidiary Guarantor or the Indenture or for any claim based on, in respect of or by reason of, such obligations or their creation. Each
Holder of a Security by accepting a Security waives and releases all such liability. The waiver and release are part of the consideration for the issuance of the Securities and the Subsidiary Guarantees. 
  

	19.	Authentication. 

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

	20.	Abbreviations and Defined Terms. 

  
 Customary abbreviations may be used in the name of a Holder of a Security 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). 
  

	21.	CUSIP, Common Code and ISIN Numbers. 

  
 The Company has caused CUSIP, Common Code or ISIN numbers, if applicable, to be printed on the Securities and have directed the Trustee to use CUSIP,
Common Code or ISIN numbers, if applicable, in notices of redemption as a convenience to Holders. No representation is made as to the accuracy of such numbers either as printed on the Securities or as contained in any notice of redemption and
reliance may be placed only on the other identification numbers placed thereon. 
  

	22.	Registration Rights. 

  
 Pursuant to the Registration Rights Agreement, the Company will be obligated upon the occurrence of certain events to consummate an exchange offer
pursuant to which the Holder of this Security shall have the right to exchange this Security for a 9% Senior Subordinated Note due 2013, Series B, of the Company (an “Exchange Security”) which has been registered under the
Securities Act, in like principal amount and having terms identical in all material respects to this Security. The Holders shall be entitled to receive certain additional interest payments in the event such exchange offer is not consummated and upon
certain other conditions, all pursuant to and in accordance with the terms of the Registration Rights Agreement. 
  

	23.	Governing Law. 

  
 The Indenture and this Security shall be governed by and construed in accordance with the laws of the State of New York. Each of the parties hereto and
thereto agrees 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 the Indenture or this Security. 
  

 A-7 

  
 ASSIGNMENT FORM 

 

			
	 I or we assign and transfer this Security to 
	  	 

  
                                       
                                        
                                        
                                        
                                        
                                        
                    
 (Print or type name,
address and zip code of assignee or transferee) 
  
                                       
                                        
                                        
                                        
                                        
                                        
                    
 (Insert Social
Security or other identifying number of assignee or transferee) 
  

			
	and irrevocably appoint	  	 

  
 agent to transfer this Security on the
books of the Company. The agent may substitute another to act for him. 
  

					
			
	 Dated:
                                       
 
	 	 Signed:
	 	  
	 	 	 	 	 (Signed exactly as name appears
 on the other side of this Security)

  

					
			
	 Signature Guarantee:
	 	 	 	  
	 	 	 	 	 Participant in a recognized Signature
 Guarantee Medallion Program (or other
 signature guarantor program reasonably
 acceptable to the Trustee)

  

  
 OPTION OF HOLDER TO ELECT
REPURCHASE 
  
 If you want to elect to have this Security
repurchased by the Company pursuant to Section 4.06 or Section 4.10 of the Indenture, check the appropriate box: 
  
 Section 4.06  ̈ 
  
 Section 4.10  ̈ 
  
 If you want to elect to have only part of this Security repurchased by the Company pursuant to Section 4.06 or Section 4.10 of the Indenture, state the amount:
$                    . 
  

					
			
	 Dated:
                                       
 
	 	 Signed:
	 	  
	 	 	 	 	 (Signed exactly as name appears
 on the other side of this Security)

  

					
			
	 Signature Guarantee:
	 	 	 	  
	 	 	 	 	 Participant in a recognized Signature
 Guarantee Medallion Program (or other
 signature guarantor program reasonably
 acceptable to the Trustee)

  

  
 EXHIBIT B 

 
 [FORM OF SERIES B SECURITY] 
  
 [Depository Legend, if applicable] 
  
 CARROLS CORPORATION 
  
 9% Senior Subordinated Note 
 due January 15, 2013, Series B 
  

			
	 	 	CUSIP No.
		
	No.	 	$

  
 CARROLS CORPORATION, a
Delaware corporation (the “Company”, which term includes any successor corporation), for value received promises to pay to Cede & Co. or registered assigns, the principal sum of
                    , on January 15, 2013. 
  
 Interest Payment Dates: January 15 and July 15, commencing on July 15, 2005. 
  
 Interest Record Dates: January 1 and July 1. 
  
 Reference is made to the further provisions of this Security contained herein, which will for all purposes have the same
effect as if set forth at this place. 
  
 IN WITNESS WHEREOF, the
Company has caused this Security to be signed manually or by facsimile by its duly authorized officer. 
  

			
	CARROLS CORPORATION
		
	By:	 	 
	 	 	 Name:

	 	 	 Title:

  

			
		
	By:	 	 
	 	 	 Name:

	 	 	 Title:

  
 Dated: 
  

 B-1 

  
 [FORM OF TRUSTEE’S
CERTIFICATE OF AUTHENTICATION] 
  
 This is one of the 9% Senior
Subordinated Notes due 2013, Series B, described in the within-mentioned Indenture. 
  
 Dated: 
  

			
	THE BANK OF NEW YORK, as Trustee
		
	By:	 	 
	 	 	 Name:

	 	 	 Title:

  

 B-2 

  
 (Reverse of Security)

  
 CARROLS CORPORATION 
  
 9% Senior Subordinated Note 
 due 2013, Series B 
  

	1.	Interest. 

  
 CARROLS CORPORATION, a Delaware corporation (the “Company”), promises to pay interest on the principal amount of this Security at the
rate per annum shown above. Cash interest on the Securities will accrue from the most recent date to which interest has been paid or, if no interest has been paid, from December 15, 2004. The Company will pay interest semi-annually in arrears on
each Interest Payment Date, commencing July 15, 2005. 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 from time to time on demand and on overdue installments of interest (without regard to any applicable
grace periods) to the extent lawful from time to time on demand, in each case at the rate borne by the Securities 
  

	2.	Method of Payment. 

  
 The Company shall pay interest on the Securities (except defaulted interest as described above) to the persons who are the registered Holders at the close
of business on the Interest Record Date immediately preceding the Interest Payment Date even if the Securities are cancelled on registration of transfer or registration of exchange after such Interest Record Date. Holders must surrender Securities
to a Paying Agent to collect principal payments. The Company shall pay principal and interest in money of the United States that at the time of payment is legal tender for payment of public and private debts (“U.S. Legal Tender”).
However, the Company may pay principal and interest by wire transfer of Federal funds (provided that the Paying Agent shall have received wire instructions on or prior to the relevant Interest Record Date), or interest by check payable in such U.S.
Legal Tender. The Company may deliver any such interest payment to the Paying Agent or to a Holder at the Holder’s registered address. 
  

	3.	Paying Agent and Registrar. 

  
 Initially, The Bank of New York (the “Trustee”) will act as Paying Agent and Registrar. The Company may change any Paying Agent or
Registrar without notice to the Holders. The Company or any of its Subsidiaries may, subject to certain exceptions, act as Registrar. 
  

	4.	Indenture and Subsidiary Guarantees. 

  
 The Company issued the Securities under an Indenture, dated as of December 15, 2004 (the “Indenture”), by and among the Company, the
Subsidiary Guarantors and the Trustee. Capitalized terms herein are used as defined in the Indenture unless otherwise defined herein. This Security is one of a duly authorized issue of Securities of the Company designated as its 9% Senior
Subordinated Notes due 2013, Series B (the “Exchange Securities”), which may be issued under the Indenture. The Securities include the Initial Securities, the Exchange Securities and any Additional Securities (each as defined in the
Indenture). The Initial Securities, the Exchange Securities and any Additional Securities are treated as a single class of securities under the Indenture. The terms of the Securities include those stated in the 

  

 B-3 

 
Indenture and those made part of the Indenture by reference to the Trust Indenture Act of 1939 (15 U.S.C. Sections 77aaa-77bbbb) (the
“TIA”), as in effect on the Issue Date (except as otherwise indicated in the Indenture) until such time as the Indenture is qualified under the TIA, and thereafter as in effect on the date on which the Indenture is qualified under
the TIA. Notwithstanding anything to the contrary herein, the Securities are subject to all such terms, and holders of Securities are referred to the Indenture and the TIA for a statement of them. The Securities are general unsecured obligations of
the Company. The Securities are subordinated in right of payment to all Senior Indebtedness of the Company to the extent and in the manner provided in the Indenture. Each Holder of a Security, by accepting a Security, agrees to such subordination,
authorizes the Trustee to give effect to such subordination and appoints the Trustee as attorney-in-fact for such purpose. 
  
 Payment on the Securities is Guaranteed (each, a “Subsidiary Guarantee”), on a senior subordinated basis, jointly and severally, by each
Restricted Subsidiary of the Company existing on the Issue Date (each, a “Subsidiary Guarantor”) pursuant to Article Eleven and Article Twelve of the Indenture. In addition, the Indenture requires the Company to cause each
Restricted Subsidiary formed, created or acquired after the Issue Date to become a party to the Indenture as a Subsidiary Guarantor and Guarantee payment on the Securities pursuant to Article Eleven and Article Twelve of the Indenture. In certain
circumstances, the Subsidiary Guarantees may be released. 
  

	5.	Optional Redemption. 

  
 The Securities will be redeemable, at the Company’s option, in whole or in part at any time, on and after January 15, 2009, upon not less than 30 nor
more than 60 days’ notice, at the following redemption prices (expressed as percentages of the principal amount thereof) if redeemed during the twelve-month period commencing on January 15 of the year set forth below, plus, in each case,
accrued and unpaid interest thereon, if any, to the date of redemption: 
  

				
	 Year

	  	Percentage

	 
	 2009
	  	104.500	%
	 2010
	  	102.250	%
	 2011 and thereafter
	  	100.000	%

  

	6.	Optional Redemption upon Public Equity Offerings. 

  
 At any time, or from time to time, on or prior to January 15, 2008, the Company may, at its option, use the net cash proceeds of one or more Public Equity
Offerings to redeem up to 35% of the principal amount of Securities originally issued at a redemption price equal to 109.0% of the principal amount thereof plus accrued and unpaid interest thereon, if any, to the date of redemption (subject to the
right of Holders of record on the relevant Interest Record Date to receive interest due on the relevant Interest Payment Date); provided that at least 65% of the principal amount of Securities originally issued remain outstanding immediately
after any such redemption (excluding any Securities held by the Company or any of its Affiliates). In order to effect the foregoing redemption with the proceeds of any Public Equity Offering, the Company shall make such redemption not more than 90
days after the consummation of any such Public Equity Offering. 
  

 B-4 

	7.	Notice of Redemption. 

  
 Notice of redemption will be mailed by first-class mail at least 30 days but not more than 60 days before the Redemption Date to each Holder of Securities
to be redeemed at its registered address. The Trustee may select for redemption portions of the principal amount of Securities that have denominations equal to or larger than $1,000 principal amount. Securities and portions of them the Trustee so
selects shall be in amounts of $1,000 principal amount or integral multiples thereof. 
  
 If any Security is to be redeemed in part only, the notice of redemption that relates to such Security shall state the portion of the principal amount thereof to be redeemed. A new Security in a principal amount equal
to the unredeemed portion thereof will be issued in the name of the Holder thereof upon cancellation of the original Security. On and after the Redemption Date, interest will cease to accrue on Securities or portions thereof called for redemption so
long as the Company has deposited with the Paying Agent for the Securities funds in satisfaction of the redemption price pursuant to the Indenture and the Paying Agent is not prohibited from paying such funds to the Holders pursuant to the terms of
the Indenture. 
  

	8.	Change of Control Offer. 

  
 Following the occurrence of a Change of Control (the date of such occurrence being the “Change of Control Date”), the Company shall,
within 60 days after the Change of Control Date, make a Change of Control Offer to repurchase all Securities then outstanding at a repurchase price in cash equal to 101% of the aggregate principal amount thereof, plus accrued and unpaid interest
thereon, if any, to the Change of Control Payment Date (subject to the right of Holders of record on the relevant Interest Record Date to receive interest due on the relevant Interest Payment Date). 
  

	9.	Limitation on Disposition of Assets. 

  
 The Company is, subject to certain conditions, obligated to make a Net Proceeds Offer to repurchase Securities at a repurchase price equal to 100% of the
principal amount thereof, plus accrued and unpaid interest thereon, if any, to the Net Proceeds Offer Date (subject to the right of Holders of record on the relevant Interest Record Date to receive interest due on the relevant Interest Payment Date)
with the proceeds of certain asset dispositions. 
  

	10.	Denominations; Transfer; Exchange. 

  
 The Securities are in registered form, without coupons, in denominations of $1,000 and integral multiples of $1,000. A Holder shall register the transfer
of or exchange Securities in accordance with the Indenture. The Registrar may require a Holder, among other things, to furnish appropriate endorsements and transfer documents and to pay certain transfer taxes or similar governmental charges payable
in connection therewith as permitted by the Indenture. The Registrar need not register the transfer of or exchange any Securities or portions thereof selected for redemption, except the unredeemed portion of any security being redeemed in part.

  

	11.	Persons Deemed Owners. 

  
 The registered Holder of a Security shall be treated as the owner of it for all purposes. 
  

 B-5 

	12.	Unclaimed Funds. 

  
 If funds for the payment of principal or interest remain unclaimed for two years, the Trustee and the Paying Agent will repay the funds to the Company at
its written request. After that, all liability of the Trustee and such Paying Agent with respect to such funds shall cease. 
  

	13.	Defeasance. 

  
 The Company and the Subsidiary Guarantors may be discharged from their obligations under the Indenture, the Securities and the Subsidiary Guarantees,
except for certain provisions thereof, and may be discharged from obligations to comply with certain covenants contained in the Indenture and the Securities, in each case upon satisfaction of certain conditions specified in the Indenture.

  

	14.	Amendment; Supplement; Waiver. 

  
 Subject to certain exceptions, the Indenture and the Securities may be amended or supplemented with the written consent of the Holders of at least a
majority in aggregate principal amount of the Securities then outstanding, and any existing Default or Event of Default or compliance with any provision may be waived with the consent of the Holders of a majority in aggregate principal amount of the
Securities then outstanding. Without notice to or consent of any Holder, the parties thereto may amend or supplement the Indenture and the Securities to, among other things, cure any ambiguity, defect or inconsistency, provide for uncertificated
Securities in addition to or in place of certificated Securities or comply with any requirements of the SEC in connection with the qualification of the Indenture under the TIA, or make any other change that does not materially adversely affect the
rights of any Holder of a Security. 
  

	15.	Restrictive Covenants. 

  
 The Indenture contains certain covenants that, among other things, limit the ability of the Company and the Restricted Subsidiaries to make restricted
payments, to incur indebtedness, to create liens, to sell assets, to permit restrictions on dividends and other payments by Restricted Subsidiaries to the Company, to consolidate, merge or sell all or substantially all of its assets, to engage in
transactions with affiliates or certain other related persons or to engage in certain businesses. The limitations are subject to a number of important qualifications and exceptions. The Company must report quarterly to the Trustee on compliance with
such limitations. 
  

	16.	Defaults and Remedies. 

  
 If an Event of Default shall occur and be continuing, the Trustee or the Holders of at least 25% in aggregate principal amount of outstanding Securities
may declare all the Securities to be due and payable immediately in the manner and with the effect provided in the Indenture. Holders may not enforce the Indenture, the Securities or the Subsidiary Guarantees except as provided in the Indenture. The
Trustee is not obligated to enforce the Indenture, the Securities or the Subsidiary Guarantees unless it has received indemnity satisfactory to it. The Indenture permits, subject to certain limitations therein provided, Holders of a majority in
aggregate principal amount of the Securities then outstanding to direct the Trustee in its exercise of any trust or power. The Trustee may withhold from Holders notice of certain continuing Defaults or Events of Default if it determines that
withholding notice is in their interest. 
  

 B-6 

	17.	Trustee Dealings with Company. 

  
 The Trustee under the Indenture, in its individual or any other capacity, may become the owner or pledgee of Securities and may otherwise deal with the
Company, its Subsidiaries or their respective Affiliates as if it were not the Trustee. 
  

	18.	No Recourse Against Others. 

  
 No stockholder, director, officer, employee or incorporator, as such, of the Company or any Subsidiary Guarantor shall have any liability for any
obligation of the Company or any Subsidiary Guarantor under the Securities, the Subsidiary Guarantee of such Subsidiary Guarantor or the Indenture or for any claim based on, in respect of or by reason of, such obligations or their creation. Each
Holder of a Security by accepting a Security waives and releases all such liability. The waiver and release are part of the consideration for the issuance of the Securities and the Subsidiary Guarantees. 
  

	19.	Authentication. 

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

	20.	Abbreviations and Defined Terms. 

  
 Customary abbreviations may be used in the name of a Holder of a Security 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). 
  

	21.	CUSIP, Common Code and ISIN Numbers. 

  
 The Company has caused CUSIP, Common Code or ISIN numbers, if applicable, to be printed on the Securities and have directed the Trustee to use CUSIP,
Common Code or ISIN numbers, if applicable, in notices of redemption as a convenience to Holders. No representation is made as to the accuracy of such numbers either as printed on the Securities or as contained in any notice of redemption and
reliance may be placed only on the other identification numbers placed thereon. 
  

	22.	Governing Law. 

  
 The Indenture and this Security shall be governed by and construed in accordance with the laws of the State of New York. Each of the parties hereto and
thereto agrees 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 the Indenture or this Security. 
  

 B-7 

  
 ASSIGNMENT FORM 

 

			
	 I or we assign and transfer this Security to 
	  	 

  
                                       
                                        
                                        
                                        
                                        
                                        
                    
 (Print or type name,
address and zip code of assignee or transferee) 
  
                                       
                                        
                                        
                                        
                                        
                                        
                    
 (Insert Social
Security or other identifying number of assignee or transferee) 
  

			
	and irrevocably appoint	  	 

  
 agent to transfer this Security on the
books of the Company. The agent may substitute another to act for him. 
  

							
	 	 	 	 	 	 	 
				
	 Dated:
	 	 _________________________
	 	 Signed:
	 	  
	 	 	 	 	 	 	 (Signed exactly as name appears
 on the other side of this Security)

		
	 Signature Guarantee:
	 	 
	 	 	 	 	 	 	 Participant in a recognized Signature
 Guarantee Medallion Program (or other
 signature guarantor program reasonably
 acceptable to the Trustee)

  

  
 OPTION OF HOLDER TO ELECT
REPURCHASE 
  
 If you want to elect to have this Security
repurchased by the Company pursuant to Section 4.06 or Section 4.10 of the Indenture, check the appropriate box: 
  
 Section 4.06  ̈ 
  
 Section 4.10  ̈ 
  
 If you want to elect to have only part of this Security repurchased by the Company pursuant to Section 4.06 or Section 4.10 of the Indenture, state the amount:
$                         
  

							
	 	 	 	 	 	 	 
				
	 Dated:
	 	 _________________________
	 	 Signed:
	 	  
	 	 	 	 	 	 	 (Signed exactly as name appears
 on the other side of this Security)

		
	 Signature Guarantee:
	 	 
	 	 	 	 	 	 	 Participant in a recognized Signature
 Guarantee Medallion Program (or other
 signature guarantor program reasonably
 acceptable to the Trustee)

  

  
 EXHIBIT D 

 
 Form of Transferee Letter of Representation 
  
 [Date] 
  
 The Bank of New York 
 101 Barclay Street

 8th Floor West

 New York, NY 10286 
  
 Attention: Corporate Trust Division 
  

	 	Re:	Carrols Corporation  

	 	    	9% Senior Subordinated Notes due 2013, Series A 

  
 Ladies and Gentlemen: 
  
 This certificate is delivered to request a transfer of
$                         principal amount of the 9% Senior Subordinated Notes due 2013, Series A (the
“Securities”) of Carrols Corporation (the “Company”). 
  
 Upon transfer, the Securities would be registered in the name of the new beneficial owner as follows: 
  

	
	 Name:_________________________________________________

	
	 Address:_______________________________________________

	
	 Taxpayer ID Number:_____________________________________

  
 The undersigned
represents and warrants to you that: 
  
 1. We are an
institutional “accredited investor” (as defined in Rule 501(a)(1), (2), (3) or (7) under the Securities Act of 1933, as amended (the “Securities Act”)), purchasing for our own account or for the account of such an
institutional “accredited investor” at least $250,000 principal amount of the Securities, and we are acquiring the Securities not with a view to, or for offer or sale in connection with, any distribution in violation of the Securities Act.
We have such knowledge and experience in financial and business matters as to be capable of evaluating the merits and risk of our investment in the Securities and we invest in or purchase securities similar to the Securities in the normal course of
our business. We and any accounts for which we are acting are each able to bear the economic risk of our or its investment. 
  
 2. We understand that the Securities have not been registered under the Securities Act and, unless so registered, may not be sold except as permitted in
the following sentence. We agree on our own behalf and on behalf of any investor account for which we are purchasing Securities to offer, sell or otherwise transfer such Securities prior to the date that is two years after the later of the date of
original issue and the last date on which the Company or any affiliate of the Company was the owner of such Securities (or any predecessor thereto) (the “Resale Restriction Termination Date”) only (a) to the Company, (b) pursuant to
a registration statement that has been declared effective under the Securities Act, (c) in a transaction complying with the requirements of Rule 144A under the Securities Act, to a person we reasonably believe is a “qualified institutional
buyer” under Rule 144A of the Securities Act 

  

 E-1 

 
(a “QIB”) that is purchasing for its own account or for the account of a QIB and to whom notice is given that the transfer is being made in
reliance on Rule 144A, (d) pursuant to offers and sales that occur outside the United States within the meaning of Regulation S under the Securities Act, (e) to an institutional “accredited investor” within the meaning of Rule 501(a)(1),
(2), (3) or (7) under the Securities Act that is purchasing for its own account or for the account of such an institutional “accredited investor,” in each case in a minimum principal amount of Securities of $250,000, for investment
purposes and not with a view to or for offer or sale in connection with any distribution in violation of the Securities Act or (f) pursuant to any other available exemption from the registration requirements of the Securities Act, subject in each of
the foregoing cases to any requirement of law that the disposition of our property or the property of such investor account or accounts be at all times within our or their control and in compliance with any applicable state securities laws. The
foregoing restrictions on resale will not apply subsequent to the Resale Restriction Termination Date. If any resale or other transfer of the Securities is proposed to be made pursuant to clause (e) above prior to the Resale Restriction Termination
Date, the transferor shall deliver a letter from the transferee substantially in the form of this letter to the Company and The Bank of New York, as Trustee (the “Trustee”), which shall provide, among other things, that the
transferee is an institutional “accredited investor” (within the meaning of Rule 501(a)(1), (2), (3) or (7) under the Securities Act) and that it is acquiring such Securities for investment purposes and not for distribution in violation of
the Securities Act. Each purchaser acknowledges that the Company and the Trustee reserve the right prior to any offer, sale or other transfer prior to the Resale Termination Date of the Securities pursuant to clauses (d), (e) or (f) above to require
the delivery of an opinion of counsel, certifications and/or other information satisfactory to the Company and the Trustee. 
  
 The Trustee 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. 
  

			
	TRANSFEREE:	 	 
	 

			
		
	BY:	 	 
	 	 	 

  

	cc:	Carrols Corporation 

  

 E-2 

  
 EXHIBIT E 

 
 Form of Certificate To Be Delivered 
 in Connection with Regulation S Transfers 
  
 [Date] 
  
 The Bank of New York 
 101 Barclay Street 
 8th Floor West 
 New York, NY 10286 
  
 Attention: Corporate Trust Division 
  

	 	Re:	Carrols Corporation  

	 	    	9% Senior Subordinated Notes due 2013, Series A 

  
 Ladies and Gentlemen: 
  
 In connection with our proposed sale of
$                         aggregate principal amount of the 9% Senior Subordinated Notes due 2013, Series A (the
“Securities”) of Carrols Corporation (the “Company”), we confirm that such sale has been effected pursuant to and in accordance with Regulation S under the United States Securities Act of 1933, as amended (the
“Securities Act”), and, accordingly, we represent that: 
  
 (a) the offer of the Securities was not made to a person in the United States; 
  
 (b) either (i) at the time the buy order was originated, the transferee was outside the United States or we and any person acting on our
behalf reasonably believed that the transferee was outside the United States or (ii) the transaction was executed in, on or through the facilities of a designated off-shore securities market and neither we nor any person acting on our behalf knows
that the transaction has been pre-arranged with a buyer in the United States; 
  
 (c) no directed selling efforts have been made in the United States in contravention of the requirements of Rule 903(a)(2) or Rule 904(a)(2) of Regulation S, as applicable; and 
  
 (d) the transaction is not part of a plan or scheme to evade
the registration requirements of the Securities Act. 
  
 In
addition, if the sale is made during a restricted period and the provisions of Rule 903(b)(2) or Rule 904(b)(1) of Regulation S are applicable thereto, we confirm that such sale has been made in accordance with the applicable provisions of Rule
903(b)(2) or Rule 904(b)(1), as the case may be. 
  
 The Bank of
New York, as Trustee, 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. 
  

 F-1 

			
	Very truly yours,
	
	[Name of Transferor]
		
	By:	 	 
	
	 
		
	 	 	Authorized Signature

  

	cc:	Carrols Corporation 

  

 F-2

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