Document:

Exhibit 4.3

 

EXECUTION VERSION

 

MIDLAND STATES BANCORP, INC.

 

As Issuer,

 

and

 

UMB Bank National Association

 

As Trustee

 

INDENTURE

 

Dated as of September 20, 2019

 

5.50% Fixed-to-Floating Rate Subordinated
Notes due 2034

 

     

     

    

 

CROSS-REFERENCE TABLE

 

	 	Trust Indenture Act Section	Indenture Section
	§310	(a)(1)	5.08
	 	(a)(2)	5.08
	 	(a)(3)	Not applicable
	 	(a)(4)	Not applicable
	 	(a)(5)	5.08
	 	(b)	5.08, 5.09
	§311	(a)	5.05
	 	(b)	5.05
	§312	(a)	6.01
	 	(b)	6.02
	 	(c)	6.02
	§313	(a)	6.03
	 	(b)(1)	6.03
	 	(b)(2)	6.03
	 	(c)	6.03
	 	(d)	6.03
	§314	(a)	6.04
	 	(a)(4)	9.08
	 	(b)	Not applicable
	 	(c)(1)	1.02
	 	(c)(2)	1.02
	 	(c)(3)	Not applicable
	 	(d)	Not applicable
	 	(e)	1.02
	 	(f)	Not applicable
	§315	(a)	5.01, 5.02
	 	(b)	5.03
	 	(c)	5.01
	 	(d)	5.01, 5.02
	 	(e)	4.13
	§316	(a)	4.11, 4.12
	 	(b)	4.07
	 	(c)	1.04
	§317	(a)(1)	4.02
	 	(a)(2)	4.03
	 	(b)	9.03
	§318	(a)	1.07
	 	(b)	1.07
	 	(c)	1.07

 

Note: This Cross-Reference table will not,
for any purpose, be deemed part of this Indenture.

 

     

     

    

 

TABLE OF CONTENTS

 

Page

 

	ARTICLE I DEFINITIONS AND INCORPORATION BY REFERENCE	 	 	1	 
	 	 	 	 	 
	Section 1.01	Definitions	 	 	1	 
	Section 1.02  	Compliance Certificates and Opinions	 	 	13	 
	Section 1.03  	Form of Documents Delivered to Trustee	 	 	14	 
	Section 1.04  	Acts of Holders	 	 	15	 
	Section 1.05   	Required Notices or Demands	 	 	16	 
	Section 1.06   	Incorporation by Reference of Trust Indenture Act; Conflicts	 	 	17	 
	Section 1.07  	Effect of Headings and Table of Contents	 	 	18	 
	Section 1.08  	Successors and Assigns	 	 	18	 
	Section 1.09  	Severability	 	 	18	 
	Section 1.10 	Benefits of Indenture	 	 	18	 
	Section 1.11 	Governing Law	 	 	18	 
	Section 1.12 	Legal Holidays	 	 	19	 
	Section 1.13  	Counterparts; Electronic Transmission	 	 	19	 
	Section 1.14  	Immunity of Certain Persons	 	 	19	 
	Section 1.15  	Waiver of Jury Trial	 	 	19	 
	Section 1.16 	Force Majeure	 	 	19	 
	Section 1.17  	No Sinking Fund	 	 	20	 
	Section 1.18  	Rules of Construction	 	 	20	 
	 	 	 	 	 	 
	ARTICLE II THE SUBORDINATED NOTES	 	 	20	 
	 	 	 	 	 
	Section 2.01 	Forms Generally	 	 	20	 
	Section 2.02 	Definitive Subordinated Notes	 	 	21	 
	Section 2.03  	Global Subordinated Notes	 	 	21	 
	Section 2.04  	Restricted Subordinated Notes	 	 	21	 
	Section 2.05 	Execution and Authentication	 	 	22	 
	Section 2.06  	Registrar and Paying Agent	 	 	23	 
	Section 2.07   	Registration of Transfer and Exchange	 	 	23	 
	Section 2.08  	Exchange Offer	 	 	27	 
	Section 2.09  	Mutilated, Destroyed, Lost and Stolen Subordinated Notes	 	 	28	 
	Section 2.10  	Payment of Interest; Rights to Interest Preserved	 	 	28	 
	Section 2.11  	Persons Deemed Owners	 	 	30	 
	Section 2.12  	Cancellation	 	 	30	 
	Section 2.13 	Computation of Interest	 	 	30	 
	Section 2.14  	CUSIP Numbers	 	 	31	 
	 	 	 	 	 	 
	ARTICLE III SATISFACTION AND DISCHARGE OF INDENTURE	 	 	31	 
	 	 	 	 	 
	Section 3.01 	Satisfaction and Discharge	 	 	31	 
	Section 3.02  	Defeasance and Covenant Defeasance	 	 	32	 
	Section 3.03  	Application of Trust Money	 	 	35	 
	Section 3.04 	Reinstatement	 	 	35	 
	Section 3.05 	Effect on Subordination Provisions	 	 	35	 

 

    i

     

    

 

	ARTICLE IV REMEDIES	 	 	36	 
	 	 	 	 	 
	Section 4.01  	Events of Default; Acceleration	 	 	36	 
	Section 4.02  	Failure to Make Payments	 	 	37	 
	Section 4.03  	Trustee May File Proofs of Claim	 	 	38	 
	Section 4.04  	Trustee May Enforce Claims Without Possession of Subordinated Notes	 	 	39	 
	Section 4.05   	Application of Money Collected	 	 	39	 
	Section 4.06  	Limitation on Suits	 	 	39	 
	Section 4.07  	Unconditional Right of Holders to Payments	 	 	40	 
	Section 4.08 	Restoration of Rights and Remedies	 	 	40	 
	Section 4.09 	Rights and Remedies Cumulative	 	 	40	 
	Section 4.10  	Delay or Omission Not Waiver	 	 	41	 
	Section 4.11 	Control by Holders	 	 	41	 
	Section 4.12 	Waiver of Past Defaults	 	 	41	 
	Section 4.13 	Undertaking for Costs	 	 	42	 
	 	 	 	 	 	 
	ARTICLE V THE TRUSTEE	 	 	42	 
	 	 	 	 	 
	Section 5.01 	Duties of Trustee	 	 	42	 
	Section 5.02 	Certain Rights of Trustee	 	 	43	 
	Section 5.03  	Notice of Defaults	 	 	45	 
	Section 5.04 	Not Responsible for Recitals or Issuance of Subordinated Notes	 	 	45	 
	Section 5.05 	May Hold Subordinated Notes	 	 	45	 
	Section 5.06 	Money Held in Trust	 	 	46	 
	Section 5.07 	Compensation and Reimbursement	 	 	46	 
	Section 5.08	Corporate Trustee Required; Eligibility	 	 	47	 
	Section 5.09 	Resignation and Removal; Appointment of Successor	 	 	47	 
	Section 5.10 	Acceptance of Appointment by Successor	 	 	49	 
	Section 5.11 	Merger, Conversion, Consolidation or Succession to Business	 	 	50	 
	Section 5.12 	Appointment of Authenticating Agent	 	 	50	 
	Section 5.13	Preferred Collection of Claims against Company	 	 	51	 
	 	 	 	 	 	 
	ARTICLE VI HOLDERS LISTS AND REPORTS BY TRUSTEE AND COMPANY	 	 	52	 
	 	 	 	 	 
	Section 6.01 	Holder Lists	 	 	52	 
	Section 6.02 	Preservation of Information; Communications to Holders	 	 	52	 
	Section 6.03 	Reports by Trustee	 	 	52	 
	Section 6.04	Reports by Company	 	 	52	 
	 	 	 	 	 	 
	ARTICLE VII SUCCESSORS	 	 	54	 
	 	 	 	 	 
	Section 7.01 	Merger, Consolidation or Sale of All or Substantially All Assets	 	 	54	 
	Section 7.02	Successor Person Substituted for Company	 	 	54	 
	 	 	 	 	 	 
	ARTICLE VIII SUPPLEMENTAL INDENTURES	 	 	55	 
	 	 	 	 	 
	Section 8.01 	Supplemental Indentures without Consent of Holders	 	 	55	 
	Section 8.02  	Supplemental Indentures with Consent of Holders	 	 	56	 
	Section 8.03  	Execution of Supplemental Indentures	 	 	57	 
	Section 8.04 	Effect of Supplemental Indentures	 	 	57	 
	Section 8.05 	Reference in Subordinated Notes to Supplemental Indentures	 	 	57	 
	Section 8.06 	Effect on Senior Indebtedness	 	 	57	 
	Section 8.07  	Conformity with Trust Indenture Act	 	 	57	 

 

    ii

     

    

 

	ARTICLE IX COVENANTS	 	 	58	 
	 	 	 	 	 
	Section 9.01 	Payment of Principal and Interest	 	 	58	 
	Section 9.02 	Maintenance of Office	 	 	58	 
	Section 9.03 	Money for Subordinated Notes Payments to Be Held in Trust	 	 	59	 
	Section 9.04 	Corporate Existence	 	 	60	 
	Section 9.05 	Maintenance of Properties	 	 	60	 
	Section 9.06	Dividends	 	 	60	 
	Section 9.07 	Waiver of Certain Covenants	 	 	60	 
	Section 9.08 	Company Statement as to Compliance	 	 	61	 
	Section 9.09  	Tier 2 Capital	 	 	61	 
	 	 	 	 	 	 
	ARTICLE X REDEMPTION OF SECURITIES	 	 	61	 
	 	 	 	 	 
	Section 10.01 	Applicability of Article	 	 	61	 
	Section 10.02  	Election to Redeem; Notice to Trustee	 	 	62	 
	Section 10.03 	Selection by Trustee of Subordinated Notes to be Redeemed	 	 	62	 
	Section 10.04 	Notice of Redemption	 	 	63	 
	Section 10.05 	Deposit of Redemption Price	 	 	64	 
	Section 10.06 	Subordinated Notes Payable on Redemption Date	 	 	64	 
	Section 10.07 	Subordinated Notes Redeemed in Part	 	 	64	 
	 	 	 	 	 	 
	ARTICLE XI SUBORDINATION OF SECURITIES	 	 	65	 
	 	 	 	 	 
	Section 11.01 	Agreement to Subordinate	 	 	65	 
	Section 11.02 	Distribution of Assets	 	 	65	 
	Section 11.03 	Default With Respect to Senior Indebtedness	 	 	67	 
	Section 11.04  	No Impairment	 	 	67	 
	Section 11.05 	Effectuation of Subordination Provisions	 	 	67	 
	Section 11.06 	Notice to Trustee	 	 	67	 
	Section 11.07 	Trustee Knowledge of Senior Indebtedness	 	 	68	 
	Section 11.08	Senior Indebtedness to Trustee	 	 	68	 
	Section 11.09 	Subordination Not Applicable to Trustee Compensation	 	 	68	 

 

    iii

     

    

 

This INDENTURE dated as of September 20,
2019 is between Midland States Bancorp, Inc., an Illinois corporation (the “Company”), and UMB Bank National
Association, a national banking association duly organized and existing under the laws of the United States of America, as trustee
(the “Trustee”).

 

RECITALS

 

WHEREAS, the Company
has duly authorized the execution and delivery of this Indenture to provide for an issue of $27,250,000 in aggregate principal
amount of 5.50% Fixed-to-Floating Rate Subordinated Notes due 2034, subject to the terms and conditions set forth in this Indenture.

 

NOW, THEREFORE, in
order to declare the terms and conditions upon which the Subordinated Notes are authenticated, issued and delivered, and in consideration
of the premises, and of the purchase and acceptance of the Subordinated Notes by the Holders thereof, the Company and the Trustee
agree as follows for the benefit of each other and for the benefit of the respective Holders from time to time of the Subordinated
Notes.

 

ARTICLE
I

DEFINITIONS AND INCORPORATION BY REFERENCE

 

		Section	1.01	Definitions.

 

Except as otherwise
expressly provided in this Indenture or unless the context otherwise requires, the terms defined in this Section for all purposes
of this Indenture, any Company Order, any Board Resolution, and any indenture supplemental hereto will have the respective meanings
specified in this Section.

 

“Act,”
when used with respect to any Holders, is defined in Section 1.04.

 

“Additional
Interest” has the meaning set forth in the Registration Rights Agreement.

 

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

 

“Applicable
Procedures” means, with respect to any transfer or exchange of or for beneficial interests in any Global Subordinated
Note, the rules and procedures of the Depositary that apply to such transfer or exchange.

 

“Authenticating
Agent” means any Person authorized by the Trustee in accordance with Section 5.12 to act on behalf of the Trustee
to authenticate Subordinated Notes.

 

“Authorized
Officer” means each of the Chairman of the Board, the Chief Executive Officer, the President, any Senior Vice President,
the Chief Financial Officer and the Chief Accounting Officer of the Company.

 

     1

     

    

 

“Bankruptcy
Laws” mean Title 11, United States Code (11 U.S.C. §§101 et seq.) or any similar federal or state law for the
relief of debtors.

 

“Benchmark”
means, initially, Three-Month Term SOFR; provided that if a Benchmark Transition Event and its related Benchmark Replacement
Date have occurred with respect to Three-Month Term SOFR or the then-current Benchmark, then “Benchmark” means the
applicable Benchmark Replacement.

 

“Benchmark
Replacement” means the Interpolated Benchmark with respect to the then-current Benchmark, plus the Benchmark Replacement
Adjustment for such Benchmark; provided that if (a) the Calculation Agent cannot determine the Interpolated Benchmark as of the
Benchmark Replacement Date or (b) the then-current Benchmark is Three-Month Term SOFR and a Benchmark Transition Event and its
related Benchmark Replacement Date have occurred with respect to Three-Month Term SOFR (in which event no Interpolated Benchmark
with respect to Three-Month Term SOFR shall be determined), then “Benchmark Replacement” means the first alternative
set forth in the order below that can be determined by the Calculation Agent, as of the Benchmark Replacement Date:

 

		(a)	Compounded SOFR;

 

		(b)	the sum of: (i) the alternate rate of interest that has been selected or recommended by the
Relevant Governmental Body as the replacement for the then-current Benchmark for the applicable Corresponding Tenor and (ii) the
Benchmark Replacement Adjustment;

 

		(c)	the sum of: (i) the ISDA Fallback Rate and (ii) the Benchmark Replacement Adjustment;

 

		(d)	the sum of: (i) the alternate rate of interest that has been selected by the Company as the
replacement for the then-current Benchmark for the applicable Corresponding Tenor giving due consideration to any industry-accepted
rate of interest as a replacement for the then-current Benchmark for U.S. dollar denominated floating rate notes at such time and
(ii) the Benchmark Replacement Adjustment.

 

“Benchmark
Replacement Adjustment” means the first alternative set forth in the order below that can be determined by the Calculation
Agent, as of the Benchmark Replacement Date:

 

		(a)	the spread adjustment, or method for calculating or determining such spread adjustment, (which
may be a positive or negative value or zero) that has been selected or recommended by the Relevant Governmental Body for the applicable
Unadjusted Benchmark Replacement;

 

		(b)	if the applicable Unadjusted Benchmark Replacement is equivalent to the ISDA Fallback Rate, then
the ISDA Fallback Adjustment;

 

		(c)	the spread adjustment (which may be a positive or negative value or zero) that has been selected
by the Calculation Agent giving due consideration to any industry-accepted spread adjustment, or method for calculating or determining
such spread adjustment, for the replacement of the then-current Benchmark with the applicable Unadjusted Benchmark Replacement
for U.S. dollar denominated floating rate notes at such time.

 

     2

     

    

 

“Benchmark
Replacement Conforming Changes” means, with respect to any Benchmark Replacement, any technical, administrative or operational
changes (including changes to the definition of “Floating Interest Period,” timing and frequency of determining rates
with respect to each Floating Interest Period and making payments of interest, rounding of amounts or tenors and other administrative
matters) that the Company decides may be appropriate to reflect the adoption of such Benchmark Replacement in a manner substantially
consistent with market practice (or, if the Company decides that adoption of any portion of such market practice is not administratively
feasible or if the Calculation Agent determines that no market practice for use of the Benchmark Replacement exists, in such other
manner as the Calculation Agent determines is reasonably necessary).

 

“Benchmark
Replacement Date” means the earliest to occur of the following events with respect to the then-current Benchmark:

 

		(a)	in the case of clause (a) of the definition of “Benchmark Transition Event,” the relevant
Reference Time in respect of any determination;

 

		(b)	in the case of clause (b) or (c) of the definition of “Benchmark Transition Event,”
the later of (i) the date of the public statement or publication of information referenced therein and (ii) the date
on which the administrator of the Benchmark permanently or indefinitely ceases to provide the Benchmark; or

 

		(c)	in the case of clause (d) of the definition of “Benchmark Transition Event,” the date
of such public statement or publication of information referenced therein.

 

For the avoidance of doubt, if the event
giving rise to the Benchmark Replacement Date occurs on the same day as, but earlier than, the Reference Time in respect of any
determination, the Benchmark Replacement Date will be deemed to have occurred prior to the Reference Time for purposes of such
determination.

 

“Benchmark
Transition Event” means the occurrence of one or more of the following events with respect to the then-current Benchmark:

 

		(a)	if the Benchmark is Three-Month Term SOFR, (i) the Relevant Governmental Body has not selected
or recommended a forward-looking term rate for a tenor of three months based on SOFR, (ii) the development of a forward-looking
term rate for a tenor of three months based on SOFR that has been recommended or selected by the Relevant Governmental Body is
not complete or (iii) the Calculation Agent determines that the use of a forward-looking rate for a tenor of three months based
on SOFR is not administratively feasible;

 

     3

     

    

 

		(b)	a public statement or publication of information by or on behalf of the administrator of the Benchmark
announcing that such administrator has ceased or will cease to provide the Benchmark, permanently or indefinitely, provided that,
at the time of such statement or publication, there is no successor administrator that will continue to provide the Benchmark;

 

		(c)	a public statement or publication of information by the regulatory supervisor for the administrator
of the Benchmark, the central bank for the currency of the Benchmark, an insolvency official with jurisdiction over the administrator
for the Benchmark, a resolution authority with jurisdiction over the administrator for the Benchmark or a court or an entity with
similar insolvency or resolution authority over the administrator for the Benchmark, which states that the administrator of the
Benchmark has ceased or will cease to provide the Benchmark permanently or indefinitely, provided that, at the time of such statement
or publication, there is no successor administrator that will continue to provide the Benchmark; or

 

		(d)	a public statement or publication of information by the regulatory supervisor for the administrator
of the Benchmark announcing that the Benchmark is no longer representative.

 

“Board of
Directors” means, as to any Person, the board of directors, or similar governing body, of such Person or any duly authorized
committee thereof.

 

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

 

“Business
Day” means any day other than a Saturday, Sunday or other day on which banking institutions in the State of Illinois
or the State of New York are authorized or obligated by law, regulation or executive order to close.

 

“Calculation
Agent” means such bank or other entity (which may be the Company or one of its Affiliates) as may be appointed by the
Company, in writing, to act as Calculation Agent for the Subordinated Notes during the Floating Rate Period, and who has accepted
such appointment in writing.

 

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

 

“Company”
is defined in the preamble to this Indenture.

 

“Company Request”
and “Company Order” mean, respectively, a written request or order, as the case may be, signed on behalf of
the Company by an Authorized Officer and delivered to the Trustee.

 

     4

     

    

 

“Compounded
SOFR” means the compounded average of SOFRs for the applicable Corresponding Tenor, with the rate, or methodology for
this rate, and conventions for this rate (which will be compounded in arrears with a lookback and/or suspension period as a mechanism
to determine the interest amount payable prior to the end of each Floating Interest Period) being established by the Company in
accordance with:

 

		(a)	the rate, or methodology for this rate, and conventions for this rate selected or recommended by
the Relevant Governmental Body for determining compounded SOFR; provided that:

 

		(b)	if, and to the extent that, the Calculation Agent determines that Compounded SOFR cannot be determined
in accordance with clause (a) above, then the rate, or methodology for this rate, and conventions for this rate that have
been selected by the Company or its designee giving due consideration to any industry-accepted market practice for U.S. dollar
denominated floating rate notes at such time.

 

For the avoidance of doubt, the calculation
of Compounded SOFR will exclude the Benchmark Replacement Adjustment.

 

“Corresponding
Tenor” with respect to a Benchmark Replacement means a tenor (including overnight) having approximately the same length
(disregarding Business Day adjustment) as the applicable tenor for the then-current Benchmark.

 

“Corporate
Trust Office” means the address of the Trustee specified in Section 1.05 or such other address as the Trustee
may designate from time to time by notice to the Holders and the Company, or the designated address of any successor Trustee (or
such other address as such successor Trustee may designate from time to time by notice to the Holders and the Company).

 

“Covenant
Defeasance” is defined in Section 3.02(3).

 

“Defaulted
Interest” is defined in Section 2.10.

 

“Definitive
Subordinated Notes” means, individually and collectively, each Restricted Definitive Subordinated Note and each Unrestricted
Definitive Subordinated Note, substantially in the form of Exhibit A-l hereto, issued under this Indenture.

 

“Depositary”
means, with respect to any Subordinated Note issuable or issued in whole or in part in global form, the Person designated as depositary
by the Company in accordance with this Indenture, and any and all successors thereto appointed as Depositary under this Indenture.
The initial Depositary shall be The Depository Trust Company.

 

“Dollars”
or “$” means a dollar or other equivalent unit of legal tender for payment of public or private debts in the
United States.

 

“Event of
Default” is defined in Section 4.01.

 

     5

     

    

 

“Exchange
Act” means the Securities Exchange Act of 1934, as amended, or any successor statute thereto.

 

“Exchange
Notes” means the Subordinated Notes issued in the Exchange Offer in accordance with Section 2.08.

 

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

 

“Federal Reserve
Board” means the Board of Governors of the Federal Reserve System or any successor regulatory authority with jurisdiction
over bank holding companies.

 

“Fixed Interest
Payment Date” means March 30 and September 30 of each year, beginning March 30, 2020.

 

“Floating
Interest Determination Date” means the date upon which the Floating Interest Rate is determined by the Calculation Agent
pursuant to the Three-Month Term SOFR Conventions.

 

“Floating
Interest Payment Date” means March 30, June 30, September 30 and December 30 of each year, beginning September 30, 2029.

 

“Floating
Interest Period” means each three-month period beginning on each Floating Interest Payment Date.

 

“Floating
Interest Rate” means:

 

		(i)	initially Three-Month Term SOFR;

 

		(ii)	notwithstanding the foregoing clause (i) of this definition:

 

		(1)	If the Calculation Agent determines prior to the relevant Floating Interest Determination Date that a Benchmark Transition
Event and its related Benchmark Replacement Date have occurred with respect to Three-Month Term SOFR, then the Company shall promptly
provide notice of such determination to the Holder and Section 2(c) will thereafter apply to all determinations, calculations and
quotations made or obtained for the purposes of calculating the Floating Interest Rate payable on the Subordinated Notes during
a relevant Floating Interest Period.

 

		(2)	However, if the Calculation Agent determines that a Benchmark Transition Event and its related Benchmark Replacement Date have
occurred with respect to Three-Month Term SOFR, but for any reason the Benchmark Replacement has not been determined as of the
relevant Floating Interest Determination Date, the Floating Interest Rate for the applicable Floating Interest Period will be equal
to the Floating Interest Rate on the last Floating Interest Determination Date for the Subordinated Notes, as determined by the
Calculation Agent.

 

     6

     

    

 

		(iii)	If the then-current Benchmark is Three-Month Term SOFR and any of the foregoing provisions concerning the calculation of the
interest rate and the payment of interest during the Floating Rate Period are inconsistent with any of the Three-Month Term SOFR
Conventions (as defined below) determined by the Calculation Agent, then the relevant Three-Month Term SOFR Conventions will apply.

 

“FRBNY”
means the Federal Reserve Bank of New York.

 

“FRBNY’s
Website” means the website of the FRBNY at http://www.newyorkfed.org or any successor source.

 

“GAAP”
means accounting principles generally accepted in the United States set forth in the opinions and pronouncements of the Accounting
Principles Board of the American Institute of Certified Public Accountants, the statements and pronouncements of the Financial
Accounting Standards Board and such other statements by such other entities (including the Commission) as have been accepted by
a significant segment of the accounting profession, which are applicable at the date of this Indenture, consistently applied.

 

“Global Subordinated
Notes” means, individually and collectively, each Restricted Global Subordinated Note and each Unrestricted Global Subordinated
Note, substantially in the form of Exhibit A-2 hereto, issued under this Indenture.

 

“Government
Obligations” means securities which are direct obligations of the United States of America in each case where the payment
or payments thereunder are supported by the full faith and credit of the United States of America.

 

“Holder”
means the Person in whose name the Subordinated Note is registered in the Subordinated Note Register.

 

“Indenture”
means this Indenture, as amended and supplemented from time to time in accordance with its terms.

 

“Initial Notes”
means the $27,250,000 in aggregate principal amount of the Company’s 5.50% Fixed-to-Floating Rate Subordinated Notes due
2034 issued under this Indenture on the date hereof.

 

“Interest
Payment Date” means either a Fixed Interest Payment Date or a Floating Interest Payment Date, as applicable.

 

“Interpolated
Benchmark” with respect to the Benchmark means the rate determined for the Corresponding Tenor by interpolating on a
linear basis between: (1) the Benchmark for the longest period (for which the Benchmark is available) that is shorter than
the Corresponding Tenor and (2) the Benchmark for the shortest period (for which the Benchmark is available) that is longer
than the Corresponding Tenor.

 

     7

     

    

 

“Investment
Company Event” means the receipt by the Company of a legal opinion from counsel experienced in such matters to the effect
that there is more than an insubstantial risk that the Company is or, within 90 days of the date of such legal opinion will be,
considered an “investment company” that is required to be registered under the Investment Company Act of 1940, as amended.

 

“ISDA”
means the International Swaps and Derivatives Association, Inc. or any successor thereto.

 

“ISDA Definitions”
means the 2006 ISDA Definitions published by the ISDA or any successor thereto, as amended or supplemented from time to time, or
any successor definitional booklet for interest rate derivatives published from time to time.

 

“ISDA Fallback
Adjustment” means the spread adjustment (which may be a positive or negative value or zero) that would apply for derivatives
transactions referencing the ISDA Definitions to be determined upon the occurrence of an index cessation event with respect to
the Benchmark for the applicable tenor.

 

“ISDA Fallback
Rate” means the rate that would apply for derivatives transactions referencing the ISDA Definitions to be effective upon
the occurrence of an index cessation date with respect to the Benchmark for the applicable tenor excluding the applicable ISDA
Fallback Adjustment.

 

“Legal Defeasance”
is defined in Section 3.02(2).

 

“Letter of
Transmittal” means the letter of transmittal to be prepared by the Company and sent to all Holders for use by such Holders
in connection with an Exchange Offer.

 

“Maturity”
means the date on which the principal of a Subordinated Note or an installment of principal becomes due and payable as provided
in or under this Indenture or such Subordinated Note, whether at the Stated Maturity or by an acceleration of the maturity of such
Subordinated Note in accordance with the terms of such Subordinated Note, upon redemption at the option of the Company, upon repurchase
or repayment or otherwise, and includes a Redemption Date for such Subordinated Note and a date fixed for the repurchase or repayment
of such Subordinated Note at the option of the Holder.

 

“Officer”
means, with respect to any Person, the chairman of the board, vice chairman of the board, the chief executive officer, the president,
the chief operating officer, the chief financial officer, the treasurer, any assistant treasurer, the controller, the secretary
or any vice president of such Person.

 

“Officers’
Certificate” means a certificate signed on behalf of the Company by two Officers of the Company, at least one of whom
must be the principal executive officer, the principal financial officer or the principal accounting officer of the Company, that
complies with the requirements of Section 1.02 and is delivered to the Trustee.

 

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“Opinion of
Counsel” means a written opinion from legal counsel, which opinion meets the requirements of Section 1.02. The
counsel may be an employee of or counsel to the Company or any Subsidiary of the Company.

 

“Outstanding,”
when used with respect to any Subordinated Notes, means, as of the date of determination, all such Subordinated Notes theretofore
authenticated and delivered under this Indenture, except (1) any such Subordinated Note theretofore cancelled by the Trustee or
the Registrar or delivered to the Trustee or the Registrar for cancellation; (2) any such Subordinated Note for whose payment at
the Maturity thereof money in the necessary amount has been theretofore deposited in accordance with this Indenture (other than
in accordance with Section 3.02) with the Trustee or any Paying Agent (other than the Company) in trust or set aside and
segregated in trust by the Company (if the Company will act as its own Paying Agent) for the Holders of such Subordinated Notes,
provided that, if such Subordinated Notes are to be redeemed, notice of such redemption has been duly given in accordance
with this Indenture or provision therefor satisfactory to the Trustee has been made; (3) any such Subordinated Note with respect
to which the Company has effected Legal Defeasance or Covenant Defeasance in accordance with Section 3.02, except to the
extent provided in Section 3.02; and (4) any such Subordinated Note that has been paid in accordance with Section 2.09
or in exchange for or in lieu of which other Subordinated Notes have been authenticated and delivered under this Indenture, unless
there will have been presented to the Trustee proof satisfactory to the Trustee that such Subordinated Note is held by a bona fide
purchaser in whose hands such Subordinated Note is a valid obligation of the Company; provided, however, in all cases,
that in determining whether the Holders of the requisite principal amount of Outstanding Subordinated Notes have given any request,
demand, authorization, direction, notice, consent or waiver hereunder, Subordinated Notes owned by the Company or any Affiliate
of the Company will be disregarded and deemed not to be Outstanding. Subordinated Notes so owned that will have been pledged in
good faith may be regarded as Outstanding if the pledgee establishes to the satisfaction of the Trustee the pledgee’s right
so to act with respect to such Subordinated Notes and that the pledgee is not the Company or an Affiliate of the Company.

 

“Participating
Broker-Dealer” has the meaning set forth in the Registration Rights Agreement.

 

“Paying Agent”
is defined in Section 2.06.

 

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

 

“Place of
Payment,” with respect to any Subordinated Note, means the place or places where the principal of, or interest on, such
Subordinated Note are payable as provided in or under this Indenture or such Subordinated Note.

 

“Private Placement
Legend” means the legend set forth in Section 2.04 of this Indenture to be placed on all Subordinated Notes issued
under this Indenture, except where otherwise permitted by the provisions of this Indenture.

 

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“Purchase
Agreement” means the Subordinated Note Purchase Agreement, dated as of September 20, 2019, by and among the Company and
the purchasers identified therein.

 

“Redemption
Date” with respect to any Subordinated Note or portion thereof to be redeemed, means the date fixed for such redemption
by or under this Indenture or such Subordinated Note.

 

“Redemption
Price” with respect to any Subordinated Note or portion thereof to be redeemed, means the price at which it is to be
redeemed as determined by or under this Indenture or such Subordinated Note.

 

“Reference
Time” with respect to any determination of a Benchmark means (1) if the Benchmark is Three-Month Term SOFR, the time
determined by the Calculation Agent after giving effect to the Three-Month Term SOFR Conventions, and (2) if the Benchmark is not
Three-Month Term SOFR, the time determined by the Calculation Agent after giving effect to the Benchmark Replacement Conforming
Changes.

 

“Registrar”
is defined in Section 2.06.

 

“Registration
Rights Agreement” means the Registration Rights Agreement in the form attached as Exhibit B to the Purchase Agreement,
dated as of the date of this Indenture, by and among the Company and the purchasers identified therein.

 

“Regular Record
Date,” with respect to any Interest Payment Date, means the close of business on the fifteenth calendar day prior to
such Interest Payment Date, without regard to whether the Regular Record Date is a Business Day.

 

“Relevant
Governmental Body” means the Federal Reserve Board and/or the FRBNY, or a committee officially endorsed or convened by
the Federal Reserve Board and/or the FRBNY or any successor thereto.

 

“Responsible
Officer” means, when used with respect to the Trustee, any officer assigned to the Corporate Trust Office who has direct
responsibility for the administration of this Indenture and, with respect to a particular corporate trust matter, any other officer
of the Trustee to whom such matter is referred because of such Person’s knowledge of and familiarity with the particular
subject.

 

“Restricted
Definitive Subordinated Note” means a Definitive Subordinated Note bearing, or that is required to bear, the Private
Placement Legend.

 

“Restricted
Global Subordinated Note” means a Global Subordinated Note bearing, or that is required to bear, the Private Placement
Legend,

 

“Restricted
Subordinated Note” means a Restricted Global Subordinated Note or a Restricted Definitive Subordinated Note.

 

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

 

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

 

“Securities
Act” means the Securities Act of 1933, as amended, or any successor statute thereto.

 

“Senior Indebtedness”
means the principal of, and premium, if any, and interest, including interest accruing after the commencement of any bankruptcy
proceeding relating to the Company, on, or substantially similar payments the Company makes in respect of the following categories
of debt, whether that debt was outstanding on the date of execution of this Indenture or thereafter incurred, created or assumed:
(1) all indebtedness of the Company for borrowed money, whether or not evidenced by notes, debentures, bonds, securities or other
similar instruments issued under the provisions of any indenture, fiscal agency agreement, debenture or note purchase agreement
or other agreement, including any senior debt securities that may be offered; (2) indebtedness of the Company for money borrowed
or represented by purchase money obligations, as defined below; (3) the Company’s obligations as lessee under leases of property
whether made as part of a sale and leaseback transaction to which it is a party or otherwise; (4) reimbursement and other obligations
relating to letters of credit, bankers’ acceptances and similar obligations and direct credit substitutes; (5) all obligations
of the Company in respect of interest rate swap, cap or other agreements, interest rate future or option contracts, currency swap
agreements, currency future or option contacts, commodity contracts and other similar arrangements; (6) all of the Company’s
obligations issued or assumed as the deferred purchase price of property or services, but excluding trade accounts payable and
accrued liabilities arising in the ordinary course of business; (7) any other obligation of the Company to its general creditors;
(8) all obligations of the type referred to in clauses (1) through (7) of other persons for the payment of which the Company is
liable contingently or otherwise to pay or advance money as obligor, guarantor, endorser or otherwise; (9) all obligations of the
types referred to in clauses (1) through (8) of other persons secured by a lien on any property or asset of the Company; and (10)
deferrals, renewals or extensions of any of the indebtedness or obligations described above; provided, however, that
“Senior Indebtedness” does not include: (a) the subordinated notes of the Company issued in June 2015 and October 2017,
and in each case any subordinated notes issued in exchange therefor or upon transfer thereof, in each case that are outstanding
as of the date hereof or that are issued in exchange for or upon transfer of such subordinated notes after the date hereof, (b)
the subordinated debt securities, including, without limitation, any subordinated debentures or junior subordinated debentures,
of the Company underlying trust preferred securities issued by subsidiary trusts of the Company that are outstanding as of the
date hereof or that are issued after the date hereof by a subsidiary trust of the Company; (c) any indebtedness, obligation
or liability that is subordinated to indebtedness, obligations or liabilities of the Company to substantially the same extent as
or to a greater extent than the Subordinated Notes are subordinated, including, without limitation, the Company’s 5.00% Fixed-to-Floating
Rate Subordinated Notes due 2029; and (d) any Subordinated Notes issued under this Indenture and, unless expressly provided in
the terms thereof, any indebtedness of the Company to its Subsidiaries.

 

As used above, the
term “purchase money obligations” means indebtedness, obligations evidenced by a note, debenture, bond or other instrument,
whether or not secured by a lien or other security interest, issued to evidence the obligation to pay or a guarantee of the payment
of, and any deferred obligation for the payment of, the purchase price of property but excluding indebtedness or obligations for
which recourse is limited to the property purchased, issued or assumed as all or a part of the consideration for the acquisition
of property or services, whether by purchase, merger, consolidation or otherwise, but does not include any trade accounts payable
as set forth in clause (6) above.

 

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“Significant
Subsidiary” means any Subsidiary of the Company that is a “significant subsidiary” as defined in Rule 1-02
of Regulation S-X promulgated by the Commission (as such rule is in effect on the date of this Indenture).

 

“SOFR”
means the daily Secured Overnight Financing Rate provided by the FRBNY, as the administrator of the benchmark (or a successor administrator),
on the FRBNY’s Website.

 

“Special Record
Date” for the payment of any Defaulted Interest on any Subordinated Note means a date fixed in accordance with Section
2.10.

 

“Stated Maturity”
means September 30, 2034.

 

“Subordinated
Note” or “Subordinated Notes” means the Initial Notes and the Exchange Notes and, more particularly,
any Subordinated Note authenticated and delivered under this Indenture, including those Subordinated Notes issued or authenticated
upon transfer, replacement or exchange.

 

“Subordinated
Note Register” is defined in Section 2.06.

 

“Subordination
Provisions” means the provisions contained in Article XI or any provisions with respect to subordination contained in
the Subordinated Notes.

 

“Subsidiary”
means a corporation, a partnership, business or statutory trust or a limited liability company, a majority of the outstanding voting
equity securities or a majority of the voting membership or partnership interests, as the case may be, of which is owned or controlled,
directly or indirectly, by the Company or by one or more other Subsidiaries of the Company. For the purposes of this definition,
“voting equity securities” means securities having voting power for the election of directors, managers, managing partners
or trustees, as the case may be, whether at all times or only so long as no senior class of stock has voting power by reason of
any contingency.

 

“Tax Event”
means the receipt by the Company of a legal opinion from counsel experienced in such matters to the effect that, as a result of
a change in law on or after the date hereof, there is more than an insubstantial risk that interest paid by the Company on the
Subordinated Notes is not, or, within 90 days of the date of such legal opinion, will not be, deductible by the Company, in whole
or in part, for United States federal income tax purposes.

 

“Term SOFR”
means the forward-looking term rate based on SOFR that has been selected or recommended by the Relevant Governmental Body.

 

“Term SOFR
Administrator” means any entity designated by the Relevant Governmental Body as the administrator of Term SOFR (or a
successor administrator).

 

“Three-Month
Term SOFR” means the greater of: (i) the rate for Term SOFR for a tenor of three months that is published by the Term
SOFR Administrator at the Reference Time for any Floating Interest Period, as determined by the Calculation Agent after giving
effect to the Three-Month Term SOFR Conventions; and (ii) zero percent (0.00%).

 

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“Three-Month
Term SOFR Conventions” means any determination, decision or election by the Calculation Agent with respect to any technical,
administrative or operational matter (including with respect to the manner and timing of the publication of Three-Month Term SOFR,
or changes to the definition of “Floating Interest Period”, timing and frequency of determining Three-Month Term SOFR
with respect to each Floating Interest Period and making payments of interest, rounding of amounts or tenors, and other administrative
matters) that the Calculation Agent decides may be appropriate to reflect the use of Three-Month Term SOFR as the Benchmark in
a manner substantially consistent with market practice (or, if the Company decides that adoption of any portion of such market
practice is not administratively feasible or if the Calculation Agent determines that no market practice for the use of Three-Month
Term SOFR exists, in such other manner as the Calculation Agent determines is reasonably necessary).

 

“Tier 2 Capital”
means Tier 2 capital for purposes of capital adequacy regulations of the Federal Reserve Board, as then in effect and applicable
to the Company.

 

“Tier 2 Capital
Event” means the receipt by the Company of a legal opinion from counsel experienced in such matters to the effect that,
as a result of any change, event, occurrence, circumstance or effect occurring on or after the date hereof, the Subordinated Notes
do not constitute, or within 90 days of the date of such legal opinion will not constitute, Tier 2 Capital (or its then equivalent
if the Company were subject to such capital requirement).

 

“Trust Indenture
Act” means the Trust Indenture Act of 1939, as amended.

 

“Trustee”
means UMB Bank National Association, as trustee, until a successor replaces it in accordance with the provisions of this Indenture
and thereafter means the successor serving hereunder.

 

“Unadjusted
Benchmark Replacement” means the Benchmark Replacement excluding the Benchmark Replacement Adjustment.

 

“United States”
means the United States of America (including the states thereof and the District of Columbia), its territories, its possessions
and other areas subject to its jurisdiction.

 

“Unrestricted
Definitive Subordinated Note” means a Definitive Subordinated Note that does not bear, and is not required to bear, the
Private Placement Legend.

 

“Unrestricted
Global Subordinated Note” means a Global Subordinated Note that does not bear, and is not required to bear, the Private
Placement Legend.

 

		Section	1.02	Compliance Certificates and Opinions.

 

Except as otherwise
expressly provided in or under this Indenture, upon any application or request by the Company to the Trustee to take any action
under any provision of this Indenture, the Company will furnish to the Trustee an Officers’ Certificate stating that, in
the opinion of the signers, all conditions precedent (including covenants compliance with which constitutes a condition precedent),
if any, provided for in this Indenture relating to the proposed action have been complied with and an Opinion of Counsel stating
that, in the opinion of such counsel, all such conditions precedent (including covenants compliance with which constitutes a condition
precedent), if any, have been complied with, except that in the case of any such application or request as to which the furnishing
of such documents or any of them is specifically required by any provision of this Indenture relating to such particular application
or request, no additional certificate or opinion need be furnished.

 

     13

     

    

 

Each certificate or
opinion with respect to which compliance with a condition provided for in this Indenture (other than an Officers’ Certificate
provided under Section 9.08) must comply with the provisions of Section 314(e) of the Trust Indenture Act and must 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 or she has made such examination or investigation as is necessary to enable
him or her to express an informed opinion as to whether or not such condition has been satisfied; and

 

(4)           a statement as to whether or not, in the opinion of such person, such condition has been satisfied.

 

		Section	1.03	Form of Documents Delivered to Trustee.

 

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

 

Any certificate or
opinion of an officer of the Company may be based, insofar as it relates to legal matters, upon a certificate or opinion of, or
representations by, counsel, unless such officer knows, or in the exercise of reasonable care, but without investigation, should
know, that the certificate or opinion or representations with respect to the matters upon which his certificate or opinion is based
is erroneous.

 

Any such certificate
or opinion of counsel may be based, insofar as it relates to factual matters, upon a certificate or opinion of, or representations
by, an officer or officers of the Company stating that the information with respect to such factual matters is in the possession
of the Company unless such counsel knows, or in the exercise of reasonable care, but without investigation, should know, that the
certificate or opinion or representations with respect to such matters are erroneous.

 

     14

     

    

 

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

 

		Section	1.04	Acts of Holders.

 

(1)           Any
request, demand, authorization, direction, notice, consent, waiver or other action provided by or under this Indenture to be made,
given or taken by Holders may be embodied in and evidenced by one or more instruments of substantially similar tenor signed by
such Holders in person or by an agent duly appointed in writing. Except as herein otherwise expressly provided, such action will
become effective when such instrument or instruments or record or both are delivered to the Trustee and, where it is hereby expressly
required, to the Company. Such instrument or instruments and any such record (and the action embodied therein and evidenced thereby)
are herein sometimes referred to as the “Act” of the Holders signing such instrument or instruments. Proof
of execution of any such instrument or of a writing appointing any such agent, or of the holding by any Person of a Subordinated
Note, will be sufficient for any purpose of this Indenture and (subject to Section 5.01) conclusive in favor of the Trustee
and the Company and any agent of the Trustee or the Company, if made in the manner provided in this Section.

 

(2)           The fact and date of the execution by any Person of any such instrument or writing may be proved in any reasonable
manner that the Trustee deems sufficient and in accordance with such reasonable rules as the Trustee may determine, and the Trustee
may in any instance require further proof with respect to any of the matters referred to in this Section.

 

(3)           The
ownership, principal amount and serial numbers of Subordinated Notes held by any Person, and the date of the commencement and
the date of the termination of holding the same, will be proved by the Subordinated Note Register.

 

(4)           The
Company may, in the circumstances permitted by the Trust Indenture Act, set a record date for purposes of determining the identity
of Holders entitled to give any request, demand, authorization, direction, notice, consent, waiver or take any other act authorized
or permitted to be given or taken by Holders. Unless otherwise specified, if not set by the Company prior to the first solicitation
of a Holder made by any Person in respect of any such action, any such record date will be the later of 30 days prior to the first
solicitation of such consent or the date of the most recent list of Holders furnished to the Trustee prior to such solicitation.
If a record date is fixed, the Holders on such record date, and only such Persons, will be entitled to make, give or take such
request, demand, authorization, direction, notice, consent, waiver or other action, whether or not such Holders remain Holders
after such record date. No such request, demand, authorization, direction, notice, consent, waiver or other action will be valid
or effective if made, given or taken more than 90 days after such record date.

 

(5)           Any effective request, demand, authorization, direction, notice, consent, waiver or other Act by the Holder of any
Subordinated Note will bind every future Holder of the same Subordinated Note and the Holder of every Subordinated Note issued
upon the registration of transfer thereof or in exchange therefor or in lieu thereof in respect of anything done or suffered to
be done by the Trustee, any Registrar, any Paying Agent or the Company in reliance thereon, whether or not notation of such Act
is made upon such Subordinated Note.

 

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(6)              Without
limiting the foregoing, a Holder entitled to take any action hereunder with regard to any particular Note may do so with regard
to all or any part of the principal amount of such Note or by one or more duly appointed agents, each of which may do so in accordance
with such appointment with regard to all or any part of such principal amount. Any notice given or action taken by a Holder or
its agents with regard to different parts of such principal amount in accordance with this paragraph will have the same effect
as if given or taken by separate Holders of each such different part.

 

(7)              Without
limiting the generality of this Section 1.04, a Holder, including a Depositary that is a Holder of a Global Subordinated
Note, may make, give or take, by a proxy or proxies, duly appointed in writing, any request, demand, authorization, direction,
notice, consent, waiver or other Act provided in or under this Indenture or the Subordinated Notes to be made, given or taken
by Holders, and a Depositary that is a Holder of a Global Subordinated Note may provide its proxy or proxies to the beneficial
owners of interests in any such Global Subordinated Note through such Depositary’s Applicable Procedures. The Company may
fix a record date for the purpose of determining the Persons who are beneficial owners of interests in any Global Subordinated
Note entitled under the Applicable Procedures of such Depositary to make, give or take, by a proxy or proxies duly appointed in
writing, any request, demand, authorization, direction, notice, consent, waiver or other action provided in this Indenture to
be made, given or taken by Holders. If such a record date is fixed, the Holders on such record date or their duly appointed proxy
or proxies, and only such Persons, will be entitled to make, give or take such request, demand, authorization, direction, notice,
consent, waiver or other action, whether or not such Holders remain Holders after such record date. No such request, demand, authorization,
direction, notice, consent, waiver or other action will be valid or effective if made, given or taken more than 90 days after
such record date.

 

Promptly upon any record
date being set in accordance with this Section 1.04, the Company, at its own expense, will cause notice of the record date,
the proposed action by Holders and the expiration date to be given to the Trustee in writing and the Holders in the manner set
forth in Section 1.05.

 

		Section 1.05	Required Notices
or Demands.

 

Any notice or communication
by the Company or the Trustee to the other is duly given if in writing and delivered in Person or delivered by registered or certified
mail (return receipt requested), facsimile or overnight air courier guaranteeing next day delivery, to the other’s address:

 

If to the Company;

 

Midland States Bancorp, Inc.

1201 Network Centre Drive

Effingham, Illinois 62401

Attention:  Jeffrey
G. Ludwig

Chief Executive Officer

Facsimile:  (217) 342-9462

 

If to the Trustee:

 

UMB Bank National Association

5555 San Felipe, Suite 870

Houston, Texas 77056

Attention:         Mauri
J. Cowen

Facsimile No.:  214-389-5949

 

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

 

All notices and communications
will 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 delivered by mail; on the first Business Day after being sent, if sent by facsimile
and the sender receives confirmation of successful transmission; and the next Business Day after timely delivery to the courier,
if sent by overnight air courier guaranteeing next day delivery.

 

Any notice required
or permitted to be given to a Holder under the provisions of this Indenture will be deemed to be properly delivered by being deposited
postage prepaid in a post office letter box in the United States addressed to such Holder at the address of such Holder as shown
on the Subordinated Note Register. Any report in accordance with Section 313 of the Trust Indenture Act will be transmitted in
compliance with subsection (c) therein. If the Company delivers a notice or communication to Holders, the Company will deliver
a copy to the Trustee at the same time.

 

In any case where notice
to Holders of Subordinated Notes is delivered by mail, neither the failure to deliver such notice, nor any defect in any notice
so delivered, to any particular Holder of a Subordinated Note will affect the sufficiency of such notice with respect to other
Holders of Subordinated Notes. Any notice that is delivered in the manner herein provided will be conclusively presumed to have
been duly given or provided. In the case by reason of the suspension of regular mail service or by reason of any other cause it
will be impracticable to give such notice by mail, then such notification as will be made with the approval of the Trustee will
constitute a sufficient notification for every purpose hereunder.

 

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

 

Notwithstanding any
other provision herein, where this Indenture provides for notice to any Holder of a Global Subordinated Note, or of an interest
therein, such notice will be sufficiently given if given to the Depositary for such Global Subordinated Note (or its designee)
according to the Applicable Procedures of such Depositary prescribed for giving such notice.

 

		Section 1.06	Incorporation by
Reference of Trust Indenture Act; Conflicts.

 

Whenever this Indenture
refers to a provision of the Trust Indenture Act, the provision is incorporated by reference in and made a part of this Indenture.
The Trust Indenture Act term “obligor” used in this Indenture means the Company and any successor obligor upon
the Subordinated Notes.

 

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All other terms used
in this Indenture that are defined by the Trust Indenture Act, defined by Trust Indenture Act reference to another statute or defined
by Commission rule under the Trust Indenture Act have the meanings so assigned to them as of the date of this Indenture. If and
to the extent that any provision of this Indenture limits, qualifies or conflicts with another provision included in this Indenture
that is required to be included in this Indenture by any of Sections 310 to 317, inclusive, of the Trust Indenture Act, such required
provision will control. If any provision of this Indenture limits, qualifies or conflicts with the duties imposed by Section 318(c)
of the Trust Indenture Act, the duties imposed by Section 318(c) of the Trust Indenture Act will control. If any provision of this
Indenture modifies or excludes any provision of the Trust Indenture Act that may be so modified or excluded, the provisions of
the Trust Indenture Act will be deemed to apply to this Indenture as so modified or will be excluded, as the case may be.

 

		Section 1.07	Effect of Headings
and Table of Contents.

 

The Article and Section
headings in this Indenture and the Table of Contents are for convenience only and will not affect the construction of this Indenture.

 

		Section 1.08	Successors and
Assigns.

 

All the covenants,
stipulations, promises and agreements in this Indenture by or on behalf of the Company or the Trustee will bind its respective
successors and permitted assigns, whether so expressed or not. The Company may assign its rights under this Indenture, but may
not assign its obligations under this Indenture, other than in connection with a transaction permitted by Article VII hereof, or
as consented to by the Holder of each Outstanding Subordinated Note.

 

		Section 1.09	Severability.

 

In case any provision
in this Indenture or any Subordinated Note will be invalid, illegal or unenforceable, the validity, legality and enforceability
of the remaining provisions will not, to the fullest extent permitted by law, in any way be affected or impaired thereby.

 

		Section 1.10	Benefits of Indenture.

 

Nothing in this Indenture
or any Subordinated Note, express or implied, will give to any Person, other than the parties hereto, any Registrar, any Paying
Agent and their respective successors hereunder and the Holders of Subordinated Notes, and the holders of Senior Indebtedness,
any benefit or any legal or equitable right, remedy or claim under this Indenture.

 

		Section 1.11	Governing
Law.

 

This Indenture and
the Subordinated Notes will be deemed to be a contract made under the laws of the State of New York and will be governed by, and
construed in accordance with, the laws of the State of New York without giving effect to any laws or principles of conflict of
laws that would apply the laws of a different jurisdiction.

 

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		Section 1.12	Legal Holidays.

 

Unless otherwise specified
in or under this Indenture or any Subordinated Notes, in any case where any Interest Payment Date, Stated Maturity or Maturity
of, or any other day on which a payment is due with respect to, any Subordinated Note will be a day that is not a Business Day
at any Place of Payment, then (notwithstanding any other provision of this Indenture or any Subordinated Note other than a provision
in any Subordinated Note or in the Board Resolution, Officers’ Certificate or supplemental indenture establishing the terms
of any Subordinated Note that specifically states that such provision will apply in lieu hereof) payment need not be made at such
Place of Payment on such date, but such payment may be made on the next succeeding day that is a Business Day at such Place of
Payment with the same force and effect as if made on the Interest Payment Date, at the Stated Maturity or Maturity or on any such
other payment date, as the case may be, and no interest will accrue on the amount payable on such date or at such time for the
period from and after such Interest Payment Date, Stated Maturity, Maturity or other payment date, as the case may be, to the next
succeeding Business Day,

 

		Section 1.13	Counterparts; Electronic
Transmission.

 

This Indenture may
be executed in several counterparts, each of which will be an original and all of which will constitute but one and the same instrument.
Any facsimile or electronically transmitted copies hereof or signature hereon will, for all purposes, be deemed originals.

 

		Section 1.14	Immunity of Certain
Persons.

 

No recourse under or
upon any obligation, covenant or agreement contained in this Indenture, or in any Subordinated Note, or because of any indebtedness
evidenced thereby, will be had against any past, present or future shareholder, employee, officer or director, as such, of the
Company or Trustee or of any predecessor or successor, either directly or through the Company or Trustee or any predecessor or
successor, under any rule of law, statute or constitutional provision or by the enforcement of any assessment or by any legal or
equitable proceeding or otherwise, all such liability being expressly waived and released by the acceptance of the Subordinated
Notes by the Holders and as part of the consideration for the issue of the Subordinated Notes.

 

		Section 1.15	Waiver of Jury
Trial.

 

EACH PARTY HERETO IRREVOCABLY
WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING DIRECTLY
OR INDIRECTLY ARISING OUT OF OR RELATING TO THIS INDENTURE, THE SUBORDINATED NOTES OR THE TRANSACTIONS CONTEMPLATED HEREBY.

 

		Section 1.16	Force Majeure.

 

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

 

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		Section 1.17	No Sinking Fund.

 

The Subordinated Notes
are not entitled to the benefit of any sinking fund.

 

		Section 1.18	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)	words in the singular include the plural, and in the
plural include the singular;

 

		(5)	“including” means including without limitation;

 

		(6)	“will” will be interpreted to express a command;

 

		(7)	provisions apply to successive events and transactions;

 

		(8)	references to sections of, or rules under, the Securities
Act will be deemed to include substitute, replacement or successor sections or rules 
	adopted by the Commission from time to time;

 

		(9)	unless the context otherwise requires, any reference
to an “Article,” “Section” or “clause” refers to an Article, Section or clause, as the case 
	may be, of this Indenture; and

 

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

 

ARTICLE
II

THE SUBORDINATED NOTES

 

		Section 2.01	Forms Generally.

 

The Subordinated Notes
and the Trustee’s certificate of authentication will be substantially in the form of Exhibit A-l and Exhibit A-2,
as applicable, which are a part of this Indenture. The Subordinated Notes may have notations, legends or endorsements required
by law, stock exchange rule or usage (provided that any such notation, legend or endorsement is in a form acceptable to the Company).
The Company will provide any such notations, legends or endorsements to the Trustee in writing. Each Subordinated Note will be
dated the date of its authentication. The terms and provisions contained in the Subordinated Notes will constitute, and are hereby
expressly made a part of this Indenture and the Company and the Trustee, by their execution and delivery of this Indenture, agree
to such terms and provisions and to be bound thereby. However, to the extent any provision of any Subordinated Note irreconcilably
conflicts with the express provisions of this Indenture, the provisions of this Indenture will govern and be controlling.

 

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		Section 2.02	Definitive Subordinated
Notes.

 

The Initial Notes will
be issued initially in the form of one or more Definitive Subordinated Notes, unless, before the issuance of such Exchange Notes,
the Company has determined that the Initial Notes may be represented by Global Subordinated Notes and has so notified the Trustee,
in which event the Initial Notes will be issued in the form of one or more Global Subordinated Notes. The Exchange Notes will also
be issued initially in the form of one or more Definitive Subordinated Notes, unless, before the issuance of such Exchange Notes,
the Company has determined that the Subordinated Notes may be represented by Global Subordinated Notes and has so notified the
Trustee, in which event the Exchange Notes will be issued in the form of one or more Global Subordinated Notes. Except as provided
in Section 2.07, Holders of Definitive Subordinated Notes will not be entitled to transfer Definitive Subordinated Notes
in exchange for beneficial interests in Global Subordinated Notes, and owners of beneficial interests in Global Subordinated Notes
will not be entitled to receive physical delivery of Definitive Subordinated Notes.

 

		Section 2.03	Global Subordinated
Notes.

 

Each Global Subordinated
Note issued under this Indenture will be deposited with the Trustee at its Corporate Trust Office, as custodian for the Depositary,
and registered in the name of the Depositary or the nominee thereof, duly executed by the Company and authenticated by the Trustee
as hereinafter provided. The aggregate principal amount of any Global Subordinated Note may from time to time be increased or decreased
by adjustments made on the records of the Trustee and the Depositary as hereinafter provided. Any adjustment of the aggregate principal
amount of a Global Subordinated Note to reflect the amount of any increase or decrease in the amount of outstanding Subordinated
Notes represented thereby will be made by the Trustee in accordance with written instructions given by the Holder thereof as required
by Section 2.07 hereof and will be made on the records of the Trustee and the Depositary.

 

		Section 2.04	Restricted Subordinated
Notes.

 

Each Restricted Definitive
Subordinated Note and Restricted Global Subordinated Note will bear a legend in substantially the following form:

 

“THE SECURITIES
REPRESENTED BY THIS INSTRUMENT HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES
ACT”), OR SECURITIES LAWS OF ANY STATE AND MAY NOT BE TRANSFERRED, SOLD OR OTHERWISE DISPOSED OF EXCEPT (A) PURSUANT
TO, AND IN ACCORDANCE WITH, A REGISTRATION STATEMENT THAT IS EFFECTIVE UNDER THE SECURITIES ACT AT THE TIME OF SUCH TRANSFER; (B)
TO A PERSON THAT YOU REASONABLY BELIEVE TO BE A QUALIFIED INSTITUTIONAL BUYER IN COMPLIANCE WITH RULE 144A UNDER THE SECURITIES
ACT OR TO A PERSON THAT YOU REASONABLY BELIEVE TO BE AN INSTITUTIONAL ACCREDITED INVESTOR AS DEFINED IN RULE 501(A)(1), (2), (3)
OR (7) OF REGULATION D UNDER THE SECURITIES ACT; OR (C) UNDER ANY OTHER AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS
OF THE SECURITIES ACT (INCLUDING, IF AVAILABLE, THE EXEMPTION PROVIDED BY RULE 144 UNDER THE SECURITIES ACT).”

 

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The Private Placement
Legend set forth above will be removed and a new Subordinated Note of like tenor and principal amount without such Private Placement
Legend will be executed by the Company, and upon written request of the Company (together with an Officers’ Certificate and
an Opinion of Counsel) given at least three Business Days prior to the proposed authentication date, the Trustee will authenticate
and deliver such new Subordinated Note to the respective Holder, if legal counsel to the Holder or owner of beneficial interests
requesting the removal of such Private Placement Legend deliver to the Trustee, any Registrar and Paying Agent (if a different
Person than the Trustee) and the Company an opinion of counsel in compliance with this Indenture and additionally opining that
the restrictive legend can be removed in connection with the transfer in accordance with the Securities Act.

 

		Section 2.05	Execution and Authentication.

 

Subordinated Notes
will be executed on behalf of the Company by any Authorized Officer and may (but need not) have the Company’s corporate seal
or a facsimile thereof reproduced thereon. The signature of an Authorized Officer on the Subordinated Notes may be manual or facsimile.
Subordinated Notes bearing the manual or facsimile signatures of individuals who were at the time of execution Authorized Officers
of the Company will, to the fullest extent permitted by law, bind the Company, notwithstanding that such individuals or any of
them have ceased to hold such offices prior to the authentication and delivery of such Subordinated Notes or did not hold such
offices at the date of such Subordinated Notes.

 

The Trustee or an Authenticating
Agent will authenticate and deliver the Initial Notes for original issue in an initial aggregate principal amount of up to $27,250,000
upon one or more Company Orders and an Opinion of Counsel. In addition, the Trustee or an Authenticating Agent will upon receipt
of a Company Order, Opinion of Counsel and Officers’ Certificate authenticate and deliver any Exchange Notes for an initial
aggregate principal amount not to exceed $27,250,000 specified in such Company Order for Exchange Notes issued hereunder. The aggregate
principal amount of the Outstanding Subordinated Notes to be issued hereunder may be increased at any time hereafter and the series
may be reopened for issuances of additional Subordinated Notes upon Company Order without the consent of any Holder. The Subordinated
Notes issued on the date hereof and any such additional Subordinated Notes that may be issued hereafter shall be part of the same
series of Subordinated Notes for all purposes under the Indenture. Unless the context otherwise requires, the initial Subordinated
Notes and the Exchange Notes shall constitute one series for all purposes under the Indenture, including with respect to any amendment,
waiver, acceleration or other Act of the Holders or upon redemption of the Subordinated Notes. The Subordinated Notes will be issued
only in registered form without coupons and in minimum denominations of $1,000 and any integral multiple of $1,000 in excess thereof.

 

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The Trustee will not
be required to authenticate any Subordinated Notes if the issue of such Subordinated Notes under this Indenture will affect the
Trustee’s own rights, duties or immunities under the Subordinated Notes and this Indenture or otherwise in a manner that
is not reasonably acceptable to the Trustee or if the Trustee, being advised by counsel, determines that such action may not lawfully
be taken.

 

No Subordinated Note
will be entitled to any benefit under this Indenture or be valid or obligatory for any purpose, unless there appears on such Subordinated
Note a certificate of authentication substantially in the form provided for herein executed by or on behalf of the Trustee or by
the Authenticating Agent by the manual signature of one of its authorized signatories. Such certificate upon any Subordinated Note
will be conclusive evidence, and the only evidence, that such Subordinated Note has been duly authenticated and delivered hereunder.

 

		Section 2.06	Registrar and Paying
Agent.

 

The Company will maintain
an office or agency where Subordinated Notes may be presented for registration of transfer or for exchange (“Registrar”)
and an office or agency where Subordinated Notes may be presented for payment (“Paying Agent”). The Registrar
will keep a register of the Subordinated Notes (“Subordinated Note Register”) and of their transfer and exchange.
The registered Holder of a Subordinated Note will be treated as the owner of the Subordinated Note for all purposes. The Company
may appoint one or more co-registrars and one or more additional paying agents. The term “Registrar” includes any co-registrar
and the term “Paying Agent” includes any additional paying agent. The Company may change any Paying Agent or Registrar
without prior notice to any Holder; provided that no such removal or replacement will be effective until a successor Paying Agent
or Registrar will have been appointed by the Company and will have accepted such appointment. The Company will notify the Trustee
in writing of the name and address of any Registrar or Paying Agent not a party to this Indenture. If the Company fails to appoint
or maintain another entity as Registrar or Paying Agent, the Trustee will act as such. The Company or any of its Subsidiaries may
act as Paying Agent or Registrar.

 

The Company initially
appoints the Trustee to act as the Paying Agent and Registrar for the Subordinated Notes and, in the event that any Subordinated
Notes are issued in global form, to initially act as custodian with respect to the Global Subordinated Notes. In the event that
the Trustee will not be or will cease to be Registrar with respect the Subordinated Notes, it will have the right to examine the
Subordinated Note Register at all reasonable times. There will be only one Subordinated Note Register.

 

		Section 2.07	Registration of
Transfer and Exchange.

 

(1)            Except as otherwise provided in or under this Indenture, upon surrender for registration of transfer of any Subordinated
Note, the Company will execute, and the Trustee will, upon receipt of a Company Order, authenticate and deliver, in the name of
the designated transferee or transferees, one or more new Subordinated Notes denominated as authorized in or under this Indenture,
of a like aggregate principal amount bearing a number not contemporaneously outstanding and containing identical terms and provisions.

 

    23

     

    

 

Except as otherwise
provided in or under this Indenture, at the option of the Holder, Subordinated Notes may be exchanged for other Subordinated Notes
containing identical terms and provisions, in any authorized denominations (minimum denominations of $1,000 and any integral multiple
of $1,000 in excess thereof), and of a like aggregate principal amount, upon surrender of the Subordinated Notes to be exchanged
at any office or agency for such purpose. Whenever any Subordinated Notes are so surrendered for exchange, the Company will execute,
and the Trustee will authenticate and deliver, subject to the terms hereof, the Subordinated Notes that the Holder making the exchange
is entitled to receive.

 

All Subordinated Notes
issued upon any registration of transfer or exchange of Subordinated Notes will be the valid obligations of the Company evidencing
the same debt and entitling the Holders thereof to the same benefits under this Indenture as the Subordinated Notes surrendered
upon such registration of transfer or exchange.

 

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

 

No service charge will
be made for any registration of transfer or exchange of Subordinated Notes, or any redemption or repayment of Subordinated Notes,
or any conversion or exchange of Subordinated Notes for other types of securities or property, but the Company may require payment
of a sum sufficient to pay all taxes, assessments or other governmental charges that may be imposed in connection with the transfer
or exchange of the Subordinated Notes from the Holder requesting such transfer or exchange.

 

Except as otherwise
provided in or under this Indenture, the Company will not be required (i) to issue, register the transfer of or exchange any Subordinated
Notes during a period beginning at the opening of business 15 days before the day of the selection for redemption of Subordinated
Notes under Section 10.03 and ending at the close of business on the day of such selection, or (ii) to register the transfer
of or exchange any Subordinated Note, or portion thereof, so selected for redemption, except in the case of any Subordinated Note
to be redeemed in part, the portion thereof not to be redeemed.

 

Any Registrar (if not
the Trustee) appointed in accordance with Section 2.06 hereof will provide to the Trustee such information as the Trustee
may reasonably require in connection with the delivery by such Registrar of Subordinated Notes upon transfer or exchange of Subordinated
Notes. No Registrar will be required to make registrations of transfer or exchange of Subordinated Notes during any periods designated
in the Subordinated Notes or in this Indenture as periods during which such registration of transfers and exchanges need not be
made.

 

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The Trustee and the
Registrar will 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 Subordinated Note (including any
transfers between or among Depositary participants or beneficial owners of interests in any Global Subordinated Note) other than
to require delivery of such certificates and other documentation or evidence as are expressly required by, and to do so if and
when expressly required by the terms of, this Indenture.

 

Neither the Trustee
nor any Paying Agent will have any responsibility for any actions taken or not taken by the Depositary.

 

(2)            When
Definitive Subordinated Notes are presented by a Holder to the Registrar with a request to register the transfer of such Definitive
Subordinated Notes or to exchange such Definitive Subordinated Notes for an equal principal amount of Definitive Subordinated
Notes of other authorized denominations, the Registrar will register the transfer or make the exchange as requested if its reasonable
requirements for such transaction are met; provided, however, that the Definitive Subordinated Notes surrendered
for transfer or exchange will be duly endorsed or accompanied by a written instrument of transfer in form reasonably satisfactory
to the Company and the Registrar, duly executed by the Holder thereof or such Holder’s attorney duly authorized in writing.

 

(3)            A
Global Subordinated Note may not be transferred except by the Depositary to a nominee of the Depositary, by a nominee of the Depositary
to the Depositary or to another nominee of the Depositary, or by the Depositary or any such nominee to a successor Depositary
or a nominee of such successor Depositary. All Global Subordinated Notes will be exchanged by the Company for Definitive Subordinated
Notes if: (i) the Depositary has notified the Company that it is unwilling or unable to continue as Depositary for such Global
Subordinated Note or such Depositary has ceased to be a “clearing agency” registered under the Exchange Act, and a
successor depositary is not appointed by the Company within 90 days, (ii) the Company determines that the Subordinated Notes are
no longer to be represented by Global Subordinated Notes and so notifies the Trustee in writing, or (iii) an Event of Default
has occurred and is continuing with respect to the Subordinated Notes and the Depositary or its participant(s) has requested the
issuance of Definitive Subordinated Notes.

 

Any Global Subordinated
Note exchanged in accordance with clause (i) or (ii) above will be so exchanged in whole and not in part, and any Global Subordinated
Note exchanged in accordance with clause (iii) above may be exchanged in whole or from time to time in part as directed by the
Depositary.

 

Upon the occurrence
of any of the preceding events in (i), (ii) or (iii) above, Definitive Subordinated Notes will be issued in fully registered form,
without interest coupons, will have an aggregate Principal Amount equal to that of the Global Subordinated Note or portion thereof
to be so exchanged, will be registered in such names and be in such authorized denominations as the Depositary will instruct the
Trustee in writing and will bear such legends as provided herein. Global Subordinated Notes also may be exchanged or replaced,
in whole or in part, as provided in Section 2.09 hereof. Every Subordinated Note authenticated and delivered in exchange
for, or in lieu of, a Global Subordinated Note or any portion thereof, in accordance with this Section 2.07 or Section
2.09 hereof, will be authenticated and delivered in the form of, and will be, a Global Subordinated Note, except as otherwise
provided herein. A Global Subordinated Note may not be exchanged for another Subordinated Note other than as provided in this Section
2.07(3); however, beneficial interests in a Global Subordinated Note may be transferred and exchanged as provided in Section
2.07(4) hereof.

 

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Any Global Subordinated
Note to be exchanged in whole will be surrendered by the Depositary to the Trustee. With regard to any Global Subordinated Note
to be exchanged in part, either such Global Subordinated Note will be so surrendered for exchange or, if the Trustee is acting
as custodian for the Depositary or its nominee with respect to such Global Subordinated Note, the principal amount thereof will
be reduced, by an amount equal to the portion thereof to be so exchanged, by means of an appropriate adjustment made on the records
of the Trustee. Upon any such surrender or adjustment, the Trustee will authenticate and deliver the Subordinated Note issuable
on such exchange to or upon the order of the Depositary or an authorized representative thereof.

 

(4)            The
transfer and exchange of beneficial interests in the Global Subordinated Notes will be effected through the Depositary in accordance
with the Applicable Procedures and this Section 2.07.

 

(5)            A
Definitive Subordinated Note may not be exchanged for a beneficial interest in a Global Subordinated Note unless the Company determines
that the Subordinated Notes may be represented by Global Subordinated Notes and so notifies the Trustee. After the Company has
determined that the Subordinated Notes may be represented by Global Subordinated Notes and so notifies the Trustee in writing,
then upon receipt by the Trustee of a Definitive Subordinated Note, duly endorsed or accompanied by appropriate instruments of
transfer, in form satisfactory to the Trustee, together with written instructions from such Holder directing the Trustee to make,
or to direct the Registrar to make, an adjustment on its books and records with respect to such Global Subordinated Note to reflect
an increase in the aggregate principal amount of the Subordinated Notes represented by the Global Subordinated Note, such instructions
to contain information regarding the Depositary account to be credited with such increase, the Trustee will cancel such Definitive
Subordinated Note and cause, or direct the Registrar to cause, in accordance with the standing instructions and procedures existing
between the Depositary and the Registrar, the aggregate principal amount of Subordinated Notes represented by the Global Subordinated
Note to be increased by the aggregate principal amount of the Definitive Subordinated Note to be exchanged, and will credit or
cause to be credited to the account of the Person specified in such instructions a beneficial interest in the Global Subordinated
Note equal to the principal amount of the Definitive Subordinated Note so cancelled. If no Global Subordinated Notes are then
outstanding, the Company will issue and the Trustee will authenticate, upon Company Order, a new Global Subordinated Note in the
appropriate principal amount.

 

(6)            At
such time as all beneficial interests in a particular Global Subordinated Note have been exchanged for Definitive Subordinated
Notes or a particular Global Subordinated Note has been repurchased or canceled in whole and not in part, each such Global Subordinated
Note will be returned to or retained and canceled by the Trustee in accordance with Section 2.12 hereof. At any time prior
to such cancellation, if any beneficial interest in a Global Subordinated Note is exchanged for or transferred to a Person who
will take delivery thereof in the form of a beneficial interest in another Global Subordinated Note or for Definitive Subordinated
Notes, the principal amount of Subordinated Notes represented by such Global Subordinated Note will be reduced accordingly by
adjustments made on the records of the Trustee to reflect such reduction; and if the beneficial interest is being exchanged for
or transferred to a Person who will take delivery thereof in the form of a beneficial interest in another Global Subordinated
Note, such other Global Subordinated Note will be increased accordingly by adjustments made on the records of the Trustee to reflect
such increase.

 

    26

     

    

 

(7)            No Restricted Subordinated Note will be transferred or exchanged except in compliance with the Private Placement
Legend or as provided in accordance with Section 2.08. In addition to the provisions for transfer and exchange set forth
in this Section 2.07, the Trustee, any Registrar and Paying Agent (if a different Person than the Trustee) and the Company
may, prior to effecting any requested transfer or exchange of any Restricted Subordinated Notes, other than an exchange in accordance
with Section 2.08, require that legal counsel to the Holder or owner of beneficial interests requesting such transfer or
exchange deliver to the Trustee, any Registrar and Paying Agent (if a different Person than the Trustee) and the Company, an Opinion
of Counsel in compliance with this Indenture and additionally opining that the transfer or exchange is in compliance with the requirements
of the Private Placement Legend and that the Subordinated Note issued to the transferee or in exchange for the Restricted Subordinated
Note may be issued free of the Private Placement Legend. Any untransferred or unexchanged balance of a Restricted Subordinated
Note will be reissued to the Holder with the Private Placement Legend, unless the Private Placement Legend may be omitted in accordance
with Section 2.04, as evidenced by the Opinion of Counsel.

 

		Section 2.08	Exchange Offer.

 

Upon the occurrence
of an Exchange Offer in accordance with the Registration Rights Agreement, the Company will issue and, upon receipt of a Company
Order in accordance with Section 2.05 hereof, the Trustee will authenticate (i) Unrestricted Definitive Subordinated Notes
in aggregate principal amounts equal to the principal amounts of the Restricted Definitive Subordinated Notes tendered in such
Exchange Offer for acceptance by Persons that certify in the applicable Letters of Transmittal that (x) they are not Participating
Broker-Dealers, (y) they are not participating in a distribution of the applicable Exchange Notes and (z) they are not Affiliates
of the Company, and accepted for exchange in such Exchange Offer or, if permitted by the Company, (ii) one or more Unrestricted
Global Subordinated Notes in an aggregate principal amount equal to the aggregate principal amount of the beneficial interests
in the Restricted Global Subordinated Notes tendered in such Exchange Offer for acceptance by Persons that certify in the applicable
Letters of Transmittal that (x) they are not Participating Broker-Dealers, (y) they are not participating in a distribution of
the applicable Exchange Notes and (z) they are not Affiliates of the Company, and accepted for exchange in such Exchange Offer.
Concurrently with the issuance of such Unrestricted Global Subordinated Notes upon exchange of Restricted Global Subordinated Notes,
the Trustee will cause the aggregate principal amount of the applicable Restricted Global Subordinated Notes to be reduced accordingly,
and the Company will execute and the Trustee will authenticate and deliver to the Persons designated by the Holders of Restricted
Definitive Subordinated Notes so accepted Unrestricted Definitive Subordinated Notes in the applicable principal amount. Any Subordinated
Notes that remain outstanding after the consummation of such Exchange Offer, and Exchange Notes issued in connection with such
Exchange Offer, will be treated as a single class of securities under this Indenture.

 

    27

     

    

 

		Section 2.09	Mutilated, Destroyed,
Lost and Stolen Subordinated Notes.

 

If any mutilated Subordinated
Note is surrendered to the Trustee, subject to the provisions of this Section 2.09, the Company will execute and the Trustee
will authenticate and deliver in exchange therefor a new Subordinated Note containing identical terms and of like principal amount
and bearing a number not contemporaneously outstanding.

 

If there be delivered
to the Company and to the Trustee (i) evidence to their satisfaction of the destruction, loss or theft of any Subordinated Note,
and (ii) such security or indemnity as may be required by them to save each of them and any agent of either of them harmless, then,
in the absence of notice to the Company or the Trustee that such Subordinated Note has been acquired by a bona fide purchaser,
the Company will execute and, upon the Company’s written instruction the Trustee will authenticate and deliver, in exchange
for or in lieu of any such destroyed, lost or stolen Subordinated Note, a new Subordinated Note containing identical terms and
of like principal amount and bearing a number not contemporaneously outstanding.

 

Notwithstanding the
foregoing provisions of this Section 2.09, in case the outstanding principal balance of any mutilated, destroyed, lost or
stolen Subordinated Note has become or is about to become due and payable, or is about to be redeemed by the Company pursuant to
Article X hereof, the Company in its discretion may, instead of issuing a new Subordinated Note, pay or redeem such Subordinated
Note, as the case may be.

 

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

 

Every new Subordinated
Note issued in accordance with this Section in lieu of any destroyed, lost or stolen Subordinated Note will constitute a separate
obligation of the Company, whether or not the destroyed, lost or stolen Subordinated Note will be at any time enforceable by anyone,
and will be entitled to all the benefits of this Indenture equally and proportionately with any and all other Subordinated Notes
duly issued hereunder.

 

The provisions of this
Section, as amended or supplemented in accordance with this Indenture with respect to particular Subordinated Notes or generally,
will (to the extent lawful) be exclusive and will preclude (to the extent lawful) all other rights and remedies with respect to
the replacement or payment of mutilated, destroyed, lost or stolen Subordinated Notes.

 

		Section 2.10	Payment of Interest;
Rights to Interest Preserved.

 

Any interest on any
Subordinated Note that will be payable, and punctually paid or duly provided for, on any Interest Payment Date will be paid to
the Person in whose name such Subordinated Note is registered on the Regular Record Date for such Interest Payment Date.

 

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

 

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(1)            The
Company may elect to make payment of any Defaulted Interest to the Person in whose name such Subordinated Note will be registered
at the close of business on a Special Record Date for the payment of such Defaulted Interest, which will be fixed in the following
manner:

 

The Company will notify
the Trustee in writing of the amount of Defaulted Interest proposed to be paid on such Subordinated Note and the date of the proposed
payment, and at the same time the Company will deposit with the Trustee an amount of money equal to the aggregate amount proposed
to be paid in respect of such Defaulted Interest or will make arrangements satisfactory to the Trustee for such deposit on or prior
to the date of the proposed payment, such money when so deposited to be held in trust for the benefit of the Person entitled to
such Defaulted Interest as in this clause provided. Thereupon, the Company will fix or cause to be fixed a Special Record Date
for the payment of such Defaulted Interest, which will be not more than 15 days and not less than 10 days prior to the date of
the proposed payment and not less than 10 days after the receipt by the Trustee of the notice of the proposed payment. The Company
(or, upon the written request of the Company, the Trustee in the name and at the expense of the Company), will cause notice of
the proposed payment of such Defaulted Interest and the Special Record Date therefor to be delivered to the Holder of such Subordinated
Note at the Holder’s address as it appears in the Subordinated Note Register not less than 10 days prior to such Special
Record Date. Notice of the proposed payment of such Defaulted Interest and the Special Record Date therefor having been delivered
as aforesaid, such Defaulted Interest will be paid to the Person in whose name such Subordinated Note will be registered at the
close of business on such Special Record Date and will no longer be payable under the following clause (2).

 

(2)            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 such Subordinated Note may be listed, and upon such notice as may be required by such exchange, if, after written
notice given by the Company to the Trustee of the proposed payment under this Clause, such payment will be deemed practicable
by the Trustee.

 

Unless otherwise provided
in or under this Indenture or the Subordinated Notes, at the option of the Company, interest on Subordinated Notes that bear interest
may be paid by mailing a check to the address of the Person entitled thereto as such address will appear in the Subordinated Note
Register or by transfer to an account maintained by the payee with a bank located in the United States.

 

Subject to the foregoing
provisions of this Section and Section 2.07, each Subordinated Note delivered under this Indenture upon registration of
transfer of or in exchange for or in lieu of any other Subordinated Note will carry the rights to interest accrued and unpaid,
and to accrue, which were carried by such other Subordinated Note.

 

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		Section 2.11	Persons Deemed
Owners.

 

Prior to due presentment
of a Subordinated Note for registration of transfer, the Company, the Trustee and any agent of the Company or the Trustee may treat
the Person in whose name such Subordinated Note is registered in the Subordinated Note Register as the owner of such Subordinated
Note for the purpose of receiving payment of principal of, and (subject to Section 2.07 and Section 2.10) interest
on, such Subordinated Note and for all other purposes whatsoever, whether or not any payment with respect to such Subordinated
Note will be overdue, and neither the Company, the Trustee or any agent of the Company or the Trustee will be affected by notice
to the contrary.

 

No holder of any beneficial
interest in any Global Subordinated Note held on its behalf by a Depositary will have any rights under this Indenture with respect
to such Global Subordinated Note, and such Depositary may be treated by the Company, the Trustee, and any agent of the Company
or the Trustee as the owner of such Global Subordinated Note for all purposes whatsoever. None of the Company, the Trustee, any
Paying Agent or the Registrar will have any responsibility or liability for any aspect of the records relating to or payments made
on account of beneficial ownership interests of a Global Subordinated Note or for maintaining, supervising or reviewing any records
relating to such beneficial ownership interests.

 

Notwithstanding the
foregoing, nothing herein will prevent the Company, the Trustee, any Paying Agent or the Registrar from giving effect to any written
certification, proxy or other authorization furnished by the applicable Depositary, as a Holder, with respect to a Global Subordinated
Note or impair, as between such Depositary and the owners of beneficial interests in such Global Subordinated Note, the operation
of customary practices governing the exercise of the rights of such Depositary (or its nominee) as the Holder of such Global Subordinated
Note.

 

		Section 2.12	Cancellation.

 

All Subordinated Notes
surrendered for payment, redemption, registration of transfer or exchange will, if surrendered to any Person other than the Trustee,
be delivered to the Trustee, and any such Subordinated Note, as well as Subordinated Notes surrendered directly to the Trustee
for any such purpose, will be cancelled promptly by the Trustee. The Company may at any time deliver to the Trustee for cancellation
any Subordinated Notes previously authenticated and delivered hereunder which the Company may have acquired in any manner whatsoever,
and all Subordinated Notes so delivered will be cancelled promptly by the Trustee. No Subordinated Notes will be authenticated
in lieu of or in exchange for any Subordinated Notes cancelled as provided in this Section, except as expressly permitted by or
under this Indenture. All cancelled Subordinated Notes held by the Trustee will be disposed of in accordance with its procedure
for the disposition of cancelled Subordinated Notes, and the Trustee upon the written request of the Company will deliver to the
Company a certificate of such disposition, unless by a Company Order the Company shall direct that cancelled Subordinated Notes
shall be returned to the Company.

 

		Section 2.13	Computation of
Interest.

 

From and including
the original issue date of the Subordinated Notes, or from the most recent date to which interest has been paid or duly provided
for, to but excluding September 30, 2029, the rate at which the Subordinated Notes shall bear interest shall be 5.50% per annum,
computed on the basis of a 360-day year consisting of twelve 30-day months and payable semiannually in arrears on each Fixed Interest
Payment Date, beginning on March 30, 2020. From and including September 30, 2029, to but excluding the Stated Maturity or at any
Redemption Date, the rate at which the Subordinated Notes shall bear interest shall be a floating rate per annum, reset quarterly,
equal to the Floating Interest Rate determined by the Calculation Agent on the Floating Interest Determination Date for the applicable
Floating Interest Period plus 404.5 basis points, computed on the basis of a 360-day year and the actual number of days elapsed
and payable quarterly in arrears on each Floating Interest Payment Date. Any payment of principal of or interest on the Subordinated
Notes that would otherwise become due and payable on a day which is not a Business Day will become due and payable on the next
succeeding Business Day, with the same force and effect as if made on the date for payment of such principal or interest, and no
interest will accrue in respect of such payment for the period after such day.

 

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		Section 2.14	CUSIP Numbers.

 

The Company may issue
the Subordinated Notes with one or more “CUSIP” numbers (if then generally in use). The Company will promptly notify
the Trustee in writing of any change in the CUSIP numbers. The Trustee may use “CUSIP” numbers in notices (including
but not limited to notices of redemption or exchange) as a convenience to Holders; provided that any such notice may state
that no representation is made as to the correctness of such numbers either as printed on the Subordinated Notes or as contained
in any notice (including any notice of redemption or exchange) and that reliance may be placed only on the other identification
numbers printed on the Subordinated Notes, and any such notice will not be affected by any defect in or omission of such numbers.

 

ARTICLE
III

SATISFACTION AND DISCHARGE OF INDENTURE

 

		Section 3.01	Satisfaction and
Discharge.

 

This Indenture will
cease to be of further effect, and the Trustee, on receipt of a Company Order, at the expense of the Company, will execute proper
instruments acknowledging satisfaction and discharge of this Indenture, when:

 

(1)            either:

 

(a)            all Subordinated Notes theretofore authenticated and delivered (other than (i) Subordinated Notes that have been
destroyed, lost or stolen and which have been replaced or paid as provided in Section 2.09 and (ii) Subordinated Notes 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, as provided in Section 9.03) have been delivered to the Trustee for cancellation;
or

 

(b)            all
Subordinated Notes that have not been delivered to the Trustee for cancellation (i) have become due and payable, or (ii) will
become due and payable at their Stated Maturity within one year, or (iii) if redeemable at the option of the Company, are to be
called for redemption within one year under arrangements satisfactory to the Trustee for the giving of notice of redemption by
the Trustee in the name, and at the expense, of the Company, and the Company, in the case of (i), (ii) or (iii) above, has deposited
or caused to be deposited with the Trustee as trust funds in trust for such purpose, an amount sufficient to pay and discharge
the entire indebtedness on such Subordinated Notes not theretofore delivered to the Trustee for cancellation, including the principal
of, and interest on, such Subordinated Notes, to the date of such deposit (in the case of Subordinated Notes which have become
due and payable) or to the Maturity thereof, as the case may be;

 

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(2)            the
Company has paid or caused to be paid all other sums payable hereunder by the Company with respect to the Outstanding Subordinated
Notes; and

 

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

 

Notwithstanding the
satisfaction and discharge of this Indenture with respect to the Subordinated Notes, the obligations of the Company to the Trustee
under Section 5.07 and, if money will have been deposited with the Trustee in accordance with Section 3.01(1)(b),
the obligations of the Company and the Trustee with respect to the Subordinated Notes under Section 3.03 and Section
9.03 will survive.

 

		Section 3.02	Defeasance
                                         and Covenant Defeasance.

 

(1)            The Company may at its option and at any time, elect to have Section 3.02(2) or Section 3.02(3) be
applied to such Outstanding Subordinated Notes upon compliance with the conditions set forth below in this Section 3.02.
Legal Defeasance and Covenant Defeasance may be effected only with respect to all, and not less than all, of the Outstanding Subordinated
Notes.

 

(2)            Upon
the Company’s exercise of the above option applicable to this Section 3.02(2), the Company will be deemed to have
been discharged from its obligations with respect to such Outstanding Subordinated Notes on the date the conditions set forth
in clause (4) of this Section 3.02 are satisfied (“Legal Defeasance”). For this purpose, Legal Defeasance
means that the Company will be deemed to have paid and discharged the entire indebtedness represented by such Outstanding Subordinated
Notes, which will thereafter be deemed to be “Outstanding” only for the purposes of Section 3.02(5) and the
other Sections of this Indenture referred to in clauses (i) through (iv) of this paragraph, and to have satisfied all of its other
obligations under such Subordinated Notes and this Indenture insofar as such Subordinated Notes are concerned (and the Trustee,
at the expense of the Company, will execute proper instruments acknowledging the same), except for the following which will survive
until otherwise terminated or discharged hereunder: (i) the rights of Holders of such Outstanding Subordinated Notes to receive,
solely from the trust fund described in Section 3.02(4)(a) and as more fully set forth in this Section 3.02 and
Section 3.03, payments in respect of the principal of and interest, if any, on, such Subordinated Notes when such payments
are due, (ii) the obligations of the Company and the Trustee with respect to such Subordinated Notes under Section 2.07,
Section 2.09, Section 9.02 and Section 9.03, (iii) the rights, powers, trusts, duties and immunities of the
Trustee hereunder and (iv) this Section 3.02 and Section 3.03. The Company may exercise its option under this Section
3.02(2) notwithstanding the prior exercise of its option under Section 3.02(3) with respect to such Subordinated Notes.

 

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(3)            Upon
the Company’s exercise of the above option applicable to this Section 3.02(3), the Company will be released from
its obligations under Section 9.04 (except with respect to clause (i)), Section 9.05. Section 9.08 and Section
9.09 on and after the date the conditions set forth in Section 3.02(4) are satisfied (“Covenant Defeasance”),
and such Subordinated Notes will thereafter be deemed to be not “Outstanding” for the purposes of any direction, waiver,
consent or declaration or Act of Holders (and the consequences of any thereof) in connection with any such covenant, but will
continue to be deemed “Outstanding” for all other purposes hereunder. For this purpose, such Covenant Defeasance means
that with respect to such Outstanding Subordinated Notes, the Company may omit to comply with, and will have no liability in respect
of. any term, condition or limitation set forth in any such Section or any such other covenant, whether directly or indirectly,
by reason of any reference elsewhere herein to any such Section or such other covenant or by reason of reference in any such Section
or such other covenant to any other provision herein or in any other document and such omission to comply will not constitute
a default, but, except as specified above, the remainder of this Indenture and such Subordinated Notes will be unaffected thereby.

 

(4)            The
following will be the conditions to application of Section 3.02(2) or Section 3.02(3) to any Outstanding Subordinated
Notes:

 

(a)            The
Company will irrevocably have deposited or caused to be deposited with the Trustee (or another trustee satisfying the requirements
of Section 5.08 who will agree to comply with the provisions of this Section 3.02 applicable to it) as trust funds
in trust for the purpose of making the following payments, specifically pledged as security for, and dedicated solely to, the
benefit of the Holders, (i) an amount in Dollars, (ii) Government Obligations that through the scheduled payment of principal
and interest in respect thereof in accordance with their terms will provide, not later than one day before the due date of any
payment of principal of and interest, if any, on such Subordinated Notes, money or (iii) a combination thereof, in any case, in
an amount, sufficient, without consideration of any reinvestment of such principal and interest, in the opinion of a nationally
recognized firm of independent public accountants expressed in a written certification thereof delivered to the Trustee, to pay
and discharge, and which will be applied by the Trustee (or other qualifying trustee) to pay and discharge, the principal of and
interest, if any, on, such Outstanding Subordinated Notes on the Stated Maturity of such principal or installment of principal
or interest or the applicable Redemption Date, as the case may be.

 

(b)            Such
Legal Defeasance or Covenant Defeasance will 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 Subsidiary is a party or by which it is bound.

 

(c)            No
Event of Default or event which with notice or lapse of time or both would become an Event of Default with respect to such Subordinated
Notes will have occurred and be continuing on the date of such deposit, and, solely in the case of Legal Defeasance under Section
3.02(2), no Event of Default, or event which with notice or lapse of time or both would become an Event of Default, under
Section 4.01 will have occurred and be continuing at any time during the period ending on and including the 91st
day after the date of such deposit (it being understood that this condition to Legal Defeasance under Section
3.02(2) will not be deemed satisfied until the expiration of such period).

 

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(d)            In
the case of Legal Defeasance, the Company will have delivered to the Trustee an Opinion of Counsel stating that (i) the Company
has received from, or there has been published by, the Internal Revenue Service a ruling or (ii) since the date of this Indenture
there has been a change in applicable federal income tax law, in either case to the effect that, and based thereon such opinion
of independent counsel will confirm that, the Holders of such Outstanding Subordinated Notes 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.

 

(e)            In
the case of Covenant Defeasance, the Company will have delivered to the Trustee an Opinion of Counsel to the effect that the Holders
of such Outstanding Subordinated Notes 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.

 

(f)            The
Company will have delivered to the Trustee an Officers’ Certificate and an Opinion of Counsel, each stating that all conditions
precedent to the Legal Defeasance or Covenant Defeasance, as the case may be, under this Indenture have been satisfied.

 

(g)            If
the moneys or Government Obligations or combination thereof, as the case may be, deposited under Section 3.02(4)(a) above
are sufficient to pay the principal of, and interest, if any, on, such Subordinated Notes provided such Subordinated Notes are
redeemed on a particular Redemption Date, the Company will have given the Trustee irrevocable instructions to redeem such Subordinated
Notes on such date and to provide notice of such redemption to Holders as provided in or under this Indenture.

 

(h)            The Trustee will have received such other documents, assurances and Opinions of Counsel as the Trustee will have
reasonably required in its discretion.

 

(5)            Subject
to the provisions of the last paragraph of Section 9.03, all money and Government Obligations deposited with the Trustee
(or other qualifying trustee, collectively for purposes of this Section 3.02(5), the “Trustee”) in accordance
with Section 3.02(4)(a) in respect of any Outstanding Subordinated Notes will be held in trust and applied by the Trustee,
in accordance with the provisions of such Subordinated Notes and this Indenture, to the payment, either directly or through any
Paying Agent (other than the Company or any Subsidiary or Affiliate of the Company acting as Paying Agent) as the Trustee may
determine in its discretion, to the Holders of all sums due and to become due thereon in respect of principal and interest but
such money and Government Obligations need not be segregated from other funds, except to the extent required by law.

 

The Company will pay
and indemnify the Trustee against any tax, fee or other charge, imposed on or assessed against the Government Obligations deposited
in accordance with this Section 3.02 or the principal or 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 the Outstanding Subordinated Notes.

 

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		Section 3.03	Application of
Trust Money.

 

Subject to the provisions
of the last paragraph of Section 9.03, all money and Government Obligations deposited with the Trustee in accordance with
Section 3.01 or Section 3.02 will be held in trust and applied by the Trustee, in accordance with the provisions
of such Subordinated Notes subject to discharge under Section 3.01 or Legal Defeasance or Covenant Defeasance under Section
3.02, and this Indenture, to the payment, either directly or through any Paying Agent (including the Company, acting as its
own Paying Agent) as the Trustee may determine, to the Persons entitled thereto, of the principal and interest for whose payment
such money has or Government Obligations have been deposited with or received by the Trustee; but such money and Government Obligations
need not be segregated from other funds, except to the extent required by law.

 

		Section 3.04	Reinstatement.

 

If the Trustee (or
other qualifying trustee appointed in accordance with Section 3.02(4)(a)) or any Paying Agent is unable to apply any moneys
or Government Obligations deposited in accordance with Section 3.01(1) or Section 3.02(4)(a) to pay any principal
of, or interest, if any, on, the Subordinated Notes by reason of any legal proceeding or any order or judgment of any court or
governmental authority enjoining, restraining or otherwise prohibiting such application, then the Company’s obligations under
this Indenture and the Subordinated Notes will be revived and reinstated as though no such deposit had occurred, until such time
as the Trustee (or other qualifying trustee) or Paying Agent is permitted to apply all such moneys and Government Obligations to
pay the principal of, and interest, if any, on the Subordinated Notes as contemplated by Section 3.01 or Section 3.02
as the case may be; provided, however, that if the Company makes any payment of the principal of, or interest if
any on, the Subordinated Notes following the reinstatement of its obligations as aforesaid, the Company will be subrogated to the
rights of the Holders of such Subordinated Notes to receive such payment from the funds held by the Trustee (or other qualifying
trustee) or Paying Agent.

 

		Section 3.05	Effect on Subordination
Provisions.

 

The provisions of Article
XI are expressly made subject to the provisions for, and to the right of the Company to effect, the satisfaction and discharge
of all of the Subordinated Notes as set forth in and in accordance with Section 3.01 and the provisions for, and to the
right of the Company to effect, Legal Defeasance and Covenant Defeasance of all of the Subordinated Notes as set forth in and in
accordance with Section 3.02. As a result, and anything herein to the contrary notwithstanding, if the Company complies
with the provisions of Section 3.01 to effect the satisfaction and discharge of the Subordinated Notes or complies with
the provisions of Section 3.02 to effect the Legal Defeasance or Covenant Defeasance, upon the effectiveness of such satisfaction
and discharge in accordance with Section 3.01 or of Legal Defeasance or Covenant Defeasance in accordance with Section
3.02, in the case of satisfaction and discharge in accordance with Section 3.01, or, in the case of Legal Defeasance
or Covenant Defeasance in accordance with Section 3.02, the Subordinated Notes as to which Legal Defeasance or Covenant
Defeasance, as the case may be, will have become effective will thereupon cease to be so subordinated in right of payment to the
Senior Indebtedness and will no longer be subject to the provisions of Article XI and, without limitation to the foregoing, all
moneys and Government Obligations deposited with the Trustee (or other qualifying trustee) in trust in connection with such satisfaction
and discharge, Legal Defeasance or Covenant Defeasance, as the case may be, and all proceeds therefrom may be applied to pay the
principal of, and interest, if any, on, such Subordinated Notes as and when the same will become due and payable notwithstanding
the provisions of Article XI without regard to whether any or all of the Senior Indebtedness then outstanding will have been paid
or otherwise provided for.

 

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ARTICLE
IV

REMEDIES

 

		Section 4.01	Events of Default;
Acceleration.

 

An “Event of
Default” means any one of the following events (whatever the reason for such Event of Default and whether it will be voluntary
or involuntary or be effected by operation of law or in accordance with any judgment, decree, or order of any court or any order,
rule, or regulation of any administrative or governmental body):

 

(1)            the
entry of a decree or order for relief in respect of the Company by a court having jurisdiction in the premises in an involuntary
case or proceeding under any applicable bankruptcy, insolvency, or reorganization law, now or hereafter in effect of the United
States or any political subdivision thereof, and such decree or order will have continued unstayed and in effect for a period
of 30 consecutive days;

 

(2)            the
commencement by the Company of a voluntary case under any applicable bankruptcy, insolvency or reorganization law, now or hereafter
in effect of the United States or any political subdivision thereof, or the consent by the Company to the entry of a decree or
order for relief in an involuntary case or proceeding under any such law;

 

(3)            the
failure of the Company to pay any installment of interest on any of the Subordinated Notes as and when the same will become due
and payable, and the continuation of such failure for a period of 15 days;

 

(4)            the
failure of the Company to pay all or any part of the principal of any of the Subordinated Notes as and when the same will become
due and payable under this Indenture;

 

(5)            the
failure of the Company to perform any other covenant or agreement on the part of the Company contained in the Subordinated Notes
or in this Indenture, and the continuation of such failure for a period of 30 days after the date on which notice specifying such
failure, stating that such notice is a “Notice of Default” hereunder and demanding that the Company remedy the same,
will have been given, in the manner set forth in Section 1.05, to the Company by the Trustee, or to the Company and the
Trustee by the Holders of at least 25% in aggregate principal amount of the Subordinated Notes at the time Outstanding; or

 

(6)            the default by the Company under any bond, debenture, note or other evidence of indebtedness for money borrowed by
the Company having an aggregate principal amount outstanding of at least $75,000,000, whether such indebtedness now exists or is
created or incurred in the future, which default (i) constitutes a failure to pay any portion of the principal of such indebtedness
when due and payable after the expiration of any applicable grace period or (ii) results in such indebtedness becoming due or being
declared due and payable prior to the date on which it otherwise would have become due and payable without, in the case of clause
(i), such indebtedness having been discharged or, in the case of clause (ii), without such indebtedness having been discharged
or such acceleration having been rescinded or annulled.

 

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Upon becoming aware
of any Event of Default, the Company will promptly deliver to the Trustee a written statement specifying the Event of Default.

 

If an Event of Default
described in Section 4.01(1) or Section 4.01(2) occurs, then the principal amount of all of the Outstanding Subordinated
Notes, and accrued and unpaid interest, if any, on all Outstanding Subordinated Notes will become and be immediately due and payable
without any declaration or other act on the part of the Trustee or any Holder, and the Company waives demand, presentment for payment,
notice of nonpayment, notice of protest, and all other notices. Notwithstanding the foregoing, because the Company will treat the
Subordinated Notes as Tier 2 Capital, upon the occurrence of an Event of Default other than an Event of Default described in Section
4.01(1) or Section 4.01(2), neither the Trustee nor any Holder may accelerate the Maturity of the Subordinated Notes
and make the principal of, and any accrued and unpaid interest on, the Subordinated Notes, immediately due and payable.

 

If any Event of Default
occurs and is continuing, the Trustee may also pursue any other available remedy to collect the payment of principal of, and interest
on, the Subordinated Notes or to enforce the performance of any provision of the Subordinated Notes or this Indenture.

 

		Section 4.02	Failure
                                         to Make Payments.

 

If an Event of Default
described in Section 4.01(3) or Section 4.01(4) occurs, the Company will, upon demand of the Trustee, pay to the
Trustee, for the benefit of the Holders of such Subordinated Notes, the whole amount then due and payable with respect to such
Subordinated Notes, with interest upon the overdue principal, and, to the extent permitted by applicable law, upon any overdue
installments of interest at the rate or respective rates, as the case may be, provided for or with respect to such Subordinated
Notes or, if no such rate or rates are so provided, at the rate or respective rates, as the case may be, of interest borne by such
Subordinated Notes, and, in addition thereto, such further amount of money as will 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
and all other amounts due to the Trustee under Section 5.07.

 

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

 

The Trustee may proceed
to protect and enforce its rights and the rights of the Holders of Subordinated Notes by such appropriate judicial proceedings
as the Trustee will deem most effectual to protect and enforce any such rights, whether for the specific enforcement of any covenant
or agreement in this Indenture or in aid of the exercise of any power granted in this Indenture, or to enforce any other proper
remedy.

 

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Upon the occurrence
of a failure by the Company to make any required payment of principal or interest on the Subordinated Notes, the Company may not
declare or pay any dividends or distributions on, or redeem, purchase, acquire, or make a liquidation payment with respect to,
any of the Company’s capital stock, make any payment of principal or interest or premium, if any, on or repay, repurchase
or redeem any debt securities of the Company that rank equal with or junior to the Subordinated Notes, or make any payments under
any guarantee that ranks equal with or junior to the Subordinated Notes, other than: (i) any dividends or distributions in shares
of, or options, warrants or rights to subscribe for or purchase shares of, any class of Company’s common stock; (ii) any
declaration of a dividend in connection with the implementation of a shareholders’ rights plan, or the issuance of stock
under any such plan in the future, or the redemption or repurchase of any such rights pursuant thereto; (iii) as a result of a
reclassification of Company’s capital stock or the exchange or conversion of one class or series of Company’s capital
stock for another class or series of Company’s capital stock; (iv) the purchase of fractional interests in shares of Company’s
capital stock in accordance with the conversion or exchange provisions of such capital stock or the security being converted or
exchanged; or (v) purchases of any class of Company’s common stock related to the issuance of common stock or rights under
any benefit plans for Company’s directors, officers or employees or any of Company’s dividend reinvestment plans.

 

		Section 4.03	Trustee
                                         May File Proofs of Claim.

 

In case of any judicial
proceeding relative to the Company (or any other obligor upon the Subordinated Notes), its property or its creditors, the Trustee
will be entitled and empowered, by intervention in such proceeding or otherwise, to take any and all actions authorized under the
Trust Indenture Act in order to have claims of the Holders and the Trustee allowed in any such proceeding. In particular, the Trustee
will be authorized to:

 

(1)            file and prove a claim for the whole amount, or such lesser amount as may be provided for in the Subordinated Notes,
of the principal and interest owing and unpaid in respect of such Subordinated Notes and to file such other papers or documents
as may be necessary or advisable in order to have the claims of the Trustee (including any claim for the reasonable compensation,
expenses, disbursements and advances of the Trustee, its agents or retained professionals) and of the Holders of such Subordinated
Notes allowed in such judicial proceeding, and

 

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

 

and any custodian, receiver, assignee,
trustee, liquidator, sequestrator, or other similar official in any such judicial proceeding is authorized by each Holder to make
such payments to the Trustee and, in the event that the Trustee will consent to the making of such payments directly to the Holders
and to pay to the Trustee any amount due it for the reasonable compensation, expenses, disbursements, and advances of the Trustee,
its agents and retained professionals, and any other amounts due hereunder.

 

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No provision of this
Indenture will 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 Subordinated Notes or the rights of any Holder or to authorize
the Trustee to vote in respect of the claim of any Holder in any such proceeding; provided, however, the Trustee
may vote on behalf of the Holders for the election of a trustee in bankruptcy or similar official and may be a member of a creditors,
or other similar committee.

 

		Section 4.04	Trustee
                                         May Enforce Claims Without Possession of Subordinated Notes.

 

All rights of action
and claims under this Indenture or the Subordinated Notes may be prosecuted and enforced by the Trustee without the possession
of any of the Subordinated Notes or the production of such Subordinated Notes in any related proceeding, and any such proceeding
instituted by the Trustee will be brought in its own name as trustee of an express trust, and any recovery of judgment will, after
provision for the payment of the reasonable compensation, expenses, disbursements, and advances of the Trustee, its agents, and
retained professionals, be for the ratable benefit of the Holders in respect of which such judgment has been recovered.

 

		Section 4.05	Application
                                         of Money Collected.

 

Any money collected
by the Trustee in accordance with this Article IV or, after an Event of Default, any money or other property distributable in respect
of the Company’s obligations under this Indenture will be applied in the following order, at the date or dates fixed by the
Trustee and, in case of the distribution of such money on account of principal or any interest, upon presentation of the Subordinated
Notes and the notation on such Subordinated Notes of the payment if only partially paid and upon surrender of such Subordinated
Notes if fully paid:

 

FIRST: To the payment
of all amounts due the Trustee (including the payment of Trustee’s agents, accountants, consultants, counsel and other experts
employed by it in the exercise and performance of its powers and duties as Trustee), acting in any capacity hereunder, (including
any predecessor trustee) under Section 5.07;

 

SECOND: To the payment
of amounts then due and unpaid to the holders of Senior Indebtedness, to the extent required under the Subordination Provisions
established with respect to the Subordinated Notes;

 

THIRD: To the payment
of the amounts then due and unpaid for principal of and any interest on the Subordinated Notes in respect of which or for the benefit
of which such money has been collected, ratably, without preference or priority of any kind, according to the aggregate amounts
due and payable on such Subordinated Notes for principal and interest, respectively; and

 

FOURTH: The balance,
if any, to the Person or Persons entitled thereto.

 

		Section 4.06	Limitation
                                         on Suits.

 

No Holder of any Subordinated
Note will have any right to institute any proceeding, judicial or otherwise, with respect to this Indenture or any Subordinated
Notes, or for the appointment of a receiver or trustee, or for any other remedy under this Indenture, unless:

 

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

 

(2)            the
Holders of not less than 25% in aggregate principal amount of the Outstanding Subordinated Notes will have made written request
to the Trustee to institute proceedings in respect of such Event of Default in its own name as Trustee under the Indenture;

 

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

 

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

 

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

 

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

 

		Section 4.07	Unconditional Right of Holders to Payments.

 

 

Notwithstanding any
other provision in this Indenture, the Holder of any Subordinated Note will have the right, which is absolute and unconditional,
to receive payment of the principal of and (subject to Section 2.07 and Section 2.10) any interest on such Subordinated
Note on the respective Stated Maturity or Maturities expressed in such Subordinated Note (or, in the case of redemption, on the
Redemption Date), and to institute suit for the enforcement of any such payment and such rights will not be impaired without the
consent of such Holder.

 

		Section 4.08	Restoration of Rights
and Remedies.

 

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

 

		Section 4.09	Rights and Remedies
Cumulative.

 

Except as otherwise
provided with respect to the replacement or payment of mutilated, destroyed, lost, or stolen Subordinated Notes in the last paragraph
of Section 2.09, no right or remedy conferred in this Indenture upon or reserved to the Trustee or to the Holders is intended
to be exclusive of any other right or remedy, and every right and remedy will, to the extent permitted by law, be cumulative and
in addition to every other right and remedy given under this Indenture or now or in the future existing at law or in equity or
otherwise. The assertion or employment of any right or remedy under this Indenture, or otherwise, will not prevent the concurrent
assertion or employment of any other appropriate right or remedy.

 

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		Section 4.10	Delay or Omission Not
Waiver.

 

No delay or omission
of the Trustee or of any Holder of any Subordinated Notes to exercise any right or remedy accruing upon any Event of Default will
impair any such right or remedy or constitute a waiver of or acquiescence in any such Event of Default. Every right and remedy
given by this Article or by law to the Trustee or to the Holders may be exercised from time to time, and as often as may be deemed
expedient, by the Trustee or by the Holders, as the case may be.

 

		Section 4.11	Control by Holders.

 

The Holders of a majority
in aggregate principal amount of the Outstanding Subordinated Notes will have the right to direct the time, method, and place of
conducting any proceeding for any remedy available to the Trustee, or exercising any trust or power conferred on the Trustee, with
respect to the Subordinated Notes, provided that

 

(1)            such
direction will not violate any rule of law or this Indenture or the Subordinated Notes,

 

(2)            the Trustee may take any other action deemed proper by the Trustee in its discretion which is not inconsistent with
such direction, and

 

(3)            the
Trustee will have the right to decline to follow any such direction if the Trustee in good faith will determine that the proceeding
so directed would involve the Trustee in personal liability.

 

		Section 4.12	Waiver of Past Defaults.

 

The Holders of not
less than a majority in aggregate principal amount of the Outstanding Subordinated Notes may on behalf of the Holders of all the
Subordinated Notes waive any past default under this Indenture and its consequences, except a default in the payment of the principal
of, or interest on, any Subordinated Note, or in respect of a covenant or provision of this Indenture which under Article VIII
cannot be modified or amended without the consent of the Holder of each Outstanding Subordinated Note.

 

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

 

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		Section 4.13	Undertaking for Costs.

 

All parties to this
Indenture agree, and each Holder of any Subordinated Notes by his acceptance of such Subordinated Notes will be deemed to have
agreed, that any court may in its discretion require, in any suit for the enforcement of any right or remedy under this Indenture,
or in any suit against the Trustee for any action taken, suffered, or omitted by it as Trustee, the filing by any party litigant
in such suit of an undertaking to pay the costs of such suit, and that such court may in its discretion assess reasonable costs,
including reasonable attorney’s fees and expenses, against any party litigant in such suit, having due regard to the merits
and good faith of the claims or defenses made by such party litigant; but the provisions of this Section 4.13 will not apply
to any suit instituted by the Company, to any suit instituted by the Trustee, to any suit instituted by any Holder, or group of
Holders, holding in the aggregate more than 10% in principal amount of the Outstanding Subordinated Notes, or to any suit instituted
by any Holder for the enforcement of the payment of the principal of or interest, if any, on any Subordinated Notes on or after
the Stated Maturity or Maturities expressed in such Subordinated Notes (or, in the case of redemption, on or after the Redemption
Date).

 

ARTICLE
V

THE TRUSTEE

 

		Section 5.01	Duties of Trustee.

 

(1)            If
an Event of Default has occurred and is continuing, the Trustee will exercise such of the rights and powers vested in it hereby,
and use the same degree of care and skill in its exercise, as a prudent person would exercise or use under the circumstances in
the conduct of such person’s own affairs.

 

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

 

(a)            the
duties of the Trustee will be determined solely by the express provisions hereof and the Trustee need perform only those duties
that are specifically set forth herein and no others, and no implied covenants or obligations will be read into this Indenture
against the Trustee; and

 

(b)            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 furnished to the Trustee and conforming to the requirements hereof;
however, the Trustee will examine the certificates and opinions to determine whether or not they conform on their face to the
requirements hereof (but need not confirm or investigate the accuracy of mathematical calculations or other facts stated therein).

 

(3)            Whether
or not therein expressly so provided, every provision hereof that in any way relates to the Trustee is subject to paragraphs (1)
and (2) of this Section 5.01 and to Section 5.02.

 

(4)            No
provision hereof will require the Trustee to expend or risk its own funds or incur any liability. The Trustee will be under no
obligation to exercise any of its rights and powers under this Indenture at the request of any Holders, unless such Holder has
offered to the Trustee security and indemnity reasonably satisfactory to it against any loss, liability or expense.

 

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(5)            The
Trustee will 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 5.02	Certain Rights of Trustee.

 

Subject to Section
315(a) through Section 315(d) of the Trust Indenture Act:

 

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

 

(2)            any
request or direction of the Company mentioned herein will be sufficiently evidenced by a Company Request or a Company Order (unless
other evidence in respect thereof be herein specifically prescribed) and any resolution of the Board of Directors may be sufficiently
evidenced by a Board Resolution;

 

(3)            whenever
in the administration of this Indenture the Trustee will deem it desirable that a matter be proved or established prior to taking,
suffering or omitting any action hereunder, the Trustee (unless other evidence will be herein specifically prescribed) may, in
the absence of bad faith on its part, rely upon an Officers’ Certificate or Opinion of Counsel, or both, which will comply
with Section 1.02;

 

(4)            before
the Trustee acts or refrains from acting, it may require an Officers’ Certificate or an Opinion of Counsel or both. The
Trustee will not be liable for any action it takes or omits to take in good faith in reliance on such Officers’ Certificate
or Opinion of Counsel. The Trustee may consult with counsel and the written advice of such counsel or any Opinion of Counsel will
be full and complete authorization and protection from liability in respect of any action taken, suffered or omitted by it hereunder
in good faith and in reliance thereon. The Trustee may act through its attorneys and agents and will not be responsible for the
misconduct or negligence of any agent appointed with due care;

 

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

 

(6)            the
Trustee will 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 will determine to make such further inquiry or investigation, it will be entitled
to examine, during business hours and upon reasonable notice, the books, records and premises of the Company, personally or by
agent, accountant or attorney, at the sole cost of the Company and will incur no liability or additional liability of any kind
by reason of such inquiry or investigation;

 

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(7)            the
Trustee may execute any of the trusts or powers hereunder or perform any duties hereunder either directly or by or through agents
or attorneys and the Trustee will not be responsible for any misconduct or negligence on the part of any agent or professional
appointed with due care by it hereunder;

 

(8)            the Trustee will not be liable for any action taken, suffered or omitted to be taken by it in good faith and reasonably
believed by it to be authorized or within the discretion or rights or powers conferred upon it by this Indenture;

 

(9)            in
no event will 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;

 

(10)          the
Trustee will not be required to take notice or be deemed to have notice of any default or Event of Default, except failure by
the Company to pay or cause to be made any of the payments required to be made to the Trustee to pay principal of, and interest
on, the Subordinated Notes, unless a Responsible Officer of the Trustee shall receive written notice of such default or Event
of Default from the Company or from the Holders of at least 25% in aggregate principal amount of the then Outstanding Subordinated
Notes delivered to the Corporate Trust Office of the Trustee and in the absence of such notice so delivered the Trustee may conclusively
assume no default or Event of Default exists;

 

(11)          the
Trustee shall have no duty to monitor or confirm compliance by the Company with the terms of this Indenture or any Subordinated
Note;

 

(12)          the
Trustee shall not be bound to make any investigation into (i) the performance of or compliance with any of the covenants or agreements
set forth herein, (ii) the occurrence of any default, or the validity, enforceability, effectiveness or genuineness of this Indenture
or any other agreement, instrument or document;

 

(13)          the
rights, privileges, protections, immunities and benefits given to the Trustee, including, without limitation, its right to be
indemnified for all costs (including those of its retained professionals), are extended to, and will be enforceable by, the Trustee
in each of its capacities hereunder, and each agent, custodian and other Person employed or appointed to act hereunder;

 

(14)          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 under this Indenture;

 

(15)          the
Trustee shall not be required to give any bond or surety in respect of the performance of its powers and duties hereunder;

 

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(16)          the
Trustee shall not be liable or responsible for any calculation in connection with the transactions contemplated hereunder nor
for any information used in connection with such calculation; and

 

(17)          in
no event shall the Trustee be responsible or liable for special, indirect, punitive 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.

 

		Section 5.03	Notice of Defaults.

 

Within 90 days after
a Responsible Officer of the Trustee is notified of the occurrence of any default hereunder with respect to the Subordinated Notes
in accordance with Section 5.02(10), the Trustee will deliver to all Holders entitled to receive reports in accordance with
Section 6.03(4), notice of such default hereunder known to the Trustee, unless such default will have been cured or waived;
provided, however, that, except in the case of a default in the payment of the principal of or interest, if any,
on, any Subordinated Note, the Trustee will be protected in withholding such notice if and so long as the Board of Directors or
a Responsible Officer of the Trustee in good faith determines that the withholding of such notice is in the best interest of the
Holders. For the purpose of this Section, the term “default” means any event that is, or after notice or lapse of time
or both would become, an Event of Default with respect to Subordinated Notes.

 

		Section 5.04	Not Responsible for
Recitals or Issuance of Subordinated Notes.

 

The recitals contained
herein and in the Subordinated Notes, except the Trustee’s certificate of authentication, will be taken as the statements
of the Company and neither the Trustee nor any Authenticating Agent assumes any responsibility for their correctness. The Trustee
makes no representations as to the validity or sufficiency of this Indenture or of the Subordinated Notes, except that the Trustee
represents that it is duly authorized to execute and deliver this Indenture, authenticate the Subordinated Notes and perform its
obligations hereunder. Neither the Trustee nor any Authenticating Agent will be accountable for the use or application by the Company
of the Subordinated Notes or the proceeds thereof. The Trustee will not be responsible for and makes no representation as to the
validity or adequacy of this Indenture or the Subordinated Notes, it will not be accountable for the Company’s use of the
proceeds from the Subordinated Notes or any money paid to the Company or upon the Company’s direction under any provision
hereof, it will not be responsible for the use or application of any money received by any Paying Agent other than the Trustee,
and it will not be responsible for any statement or recital herein or any statement in the Subordinated Notes or any other document
in connection with the sale of the Subordinated Notes or under this Indenture other than its certificate of authentication.

 

		Section 5.05	May Hold Subordinated
Notes.

 

The Trustee, any Authenticating
Agent, any Paying Agent, any Registrar or any other Person that may be an agent of the Trustee or the Company, in its individual
or any other capacity, may become the owner or pledgee of Subordinated Notes and, subject to Section 310(b) and Section 311 of
the Trust Indenture Act, may otherwise deal with the Company with the same rights that it would have if it were not Trustee, Authenticating
Agent, Paying Agent, Registrar or such other Person.

 

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The Trustee is subject
to Section 311(a) of the Trust Indenture Act, excluding any creditor relationship listed in Section 311(b) of the Trust Indenture
Act. A Trustee who has resigned or been removed shall be subject to Section 311(a) of Trust Indenture Act to the extent indicated.

 

		Section 5.06	Money Held in Trust.

 

Except as provided
in Section 3.02(5), Section 3.03 and Section 9.03, money held by the Trustee in trust hereunder need not be segregated from other
funds except to the extent required by law and will be held uninvested. The Trustee will be under no liability for interest on
any money received by it hereunder except as otherwise agreed in writing with the Company.

 

		Section 5.07	Compensation and Reimbursement.

 

The Company agrees:

 

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

 

(2)            except
as otherwise expressly provided herein, to reimburse the Trustee promptly upon its request for all reasonable expenses, disbursements
and advances incurred or made by the Trustee in accordance with any provision of this Indenture (including the reasonable compensation
and the expenses and disbursements of Trustee’s agents, accountants, consultants, counsel and other experts employed by
it in the exercise and performance of its powers and duties as Trustee), except any such expense, disbursement or advance resulting
from the Trustee’s gross negligence or willful misconduct; and

 

(3)            to indemnify, defend, protect and hold each of the Trustee acting in any capacity or any predecessor Trustee and
their agents, accountants, consultants, counsel and other experts employed by it in the exercise and performance of its powers
and duties as Trustee harmless from and against any and all losses, liabilities, damages, costs or expenses suffered or incurred
by it arising out of or in connection with the acceptance or administration of its duties under this Indenture, including the costs
and expenses of enforcing this Indenture against the Company and defending itself against any claim (whether asserted by the Company,
any Holder or any other Person) or liability in connection with the exercise or performance of any of its powers or duties hereunder,
except to the extent any such loss, liability or expense resulting from its gross negligence or willful misconduct, as determined
by a final, non-appealable judgment of a court of competent jurisdiction, and the fees and disbursements of the Trustee’s
agents, legal counsel, accountants and experts and including taxes (other than taxes based upon, measured by or determined by the
income of the Trustee). The Trustee will notify the Company promptly of any claim for which it may seek indemnity. Failure by the
Trustee to so notify the Company will not relieve the Company of its obligations hereunder. The Company will defend the claim and
the Trustee will cooperate in the defense. The Trustee may have separate counsel and the Company will pay the reasonable fees and
expenses of such counsel. None of the Company need pay for any settlement made without its consent, which consent will not be unreasonably
withheld.

 

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The obligations of
the Company under this Section 5.07 will survive the satisfaction and discharge of this Indenture.

 

As security for the
performance of the obligations of the Company under this Section, the Trustee will have a lien prior to the Subordinated Notes
upon all property and funds held or collected by the Trustee as such, except funds held in trust for the payment of principal of,
or interest on, Subordinated Notes. Such lien will survive the satisfaction and discharge hereof and the resignation or removal
of the Trustee.

 

Any compensation or
expense incurred by the Trustee after a default specified by Section 4.01 is intended to constitute an expense of administration
under any then applicable bankruptcy or insolvency law. “Trustee” for purposes of this Section 5.07 will include
any predecessor Trustee, but the negligence or bad faith of any Trustee will not affect the rights of any other Trustee under this
Section 5.07. The provisions of this Section 5.07 will, to the extent permitted by law, survive any termination of
this Indenture (including, without limitation, termination in accordance with any Bankruptcy Laws) and the resignation or removal
of the Trustee.

 

		Section 5.08	Corporate Trustee Required; Eligibility.

 

(1)            There
will at all times be a Trustee hereunder that is a corporation, organized and doing business under the laws of the United States,
any state thereof or the District of Columbia, eligible under Section 310(a)(1) of the Trust Indenture Act to act as trustee under
an indenture qualified under the Trust Indenture Act and that has a combined capital and surplus (computed in accordance with
Section 310(a)(2) of the Trust Indenture Act) of at least $50,000,000 and is subject to supervision or examination by federal
or state authority. The Trustee will also satisfy the requirements of Section 310(a)(5) of the Trust Indenture Act. If at any
time the Trustee will cease to be eligible in accordance with the provisions of this Section, it will resign immediately upon
written request therefor by the Company or any Holder in the manner and with the effect hereinafter specified in this Article,

 

(2)            The
Trustee will comply with Section 310(b) of the Trust Indenture Act; provided, however, that there will be excluded
from the operation of Section 310(b)(1) of the Trust Indenture Act this Indenture or 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 Section 310(b)(1) of the Trust Indenture Act are met.

 

		Section 5.09	Resignation and Removal;
Appointment of Successor.

 

(1)            No
resignation or removal of the Trustee and no appointment of a successor Trustee in accordance with this Article V will become
effective until the acceptance of appointment by the successor Trustee in accordance with Section 5.10.

 

(2)            The
Trustee may resign at any time with respect to the Subordinated Notes by giving written notice thereof to the Company. If the
instrument of acceptance by a successor Trustee required by Section 5.10 will not have been delivered to the Trustee within
30 days after the giving of such notice of resignation, the resigning Trustee may, at the Company’s expense, petition any
court of competent jurisdiction for the appointment of a successor Trustee.

 

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(3)            The Trustee may be removed at any time with respect to the Subordinated Notes by Act of the Holders of a majority
in principal amount of the Outstanding Subordinated Notes, delivered to the Trustee and the Company.

 

If at any time:

 

(a)            the
Trustee will fail to comply with the obligations imposed upon it under Section 310(b) of the Trust Indenture Act with respect
to Subordinated Notes after written request therefor by the Company or any Holder who has been a bona fide Holder for at least
six months,

 

(b)            the
Trustee will cease to be eligible under Section 5.08 and will fail to resign after written request therefor by the Company
or any such Holder, or

 

(c)            the
Trustee will become incapable of acting or will be adjudged a bankrupt or insolvent or a receiver of the Trustee or of its property
will be appointed or any public officer will take charge or control of the Trustee or of its property or affairs for the purpose
of rehabilitation, conservation or liquidation,

 

then, in any such case, (i) the Company,
by or in accordance with a Board Resolution, may remove the Trustee with respect to the Subordinated Notes, or (ii) subject to
Section 315(e) of the Trust Indenture Act, any Holder who has been a bona fide Holder for at least six months may, on behalf of
himself and all others similarly situated, petition any court of competent jurisdiction for the removal of the Trustee with respect
to all Subordinated Notes and the appointment of a successor Trustee or Trustees.

 

(4)            If
the Trustee will resign, be removed or become incapable of acting, or if a vacancy will occur in the office of Trustee for any
cause, with respect to the Subordinated Notes, the Company, by or in accordance with a Board Resolution, will promptly appoint
a successor Trustee or Trustees with respect to the Subordinated Notes and will comply with the applicable requirements of Section
5.10. If, within one year after such resignation, removal or incapability, or the occurrence of such vacancy, a successor
Trustee with respect to the Subordinated Notes shall have been appointed by Act of the Holders of a majority in principal amount
of the Outstanding Subordinated Notes delivered to the Company and the retiring Trustee, the successor Trustee so appointed will,
forthwith upon its acceptance of such appointment in accordance with the applicable requirements of Section 5.10, become
the successor Trustee with respect to the Subordinated Notes and to that extent supersede the successor Trustee appointed by the
Company. If no successor Trustee with respect to the Subordinated Notes will have been so appointed by the Company or the Holders
and accepted appointment in the manner required by Section 5.10, any Holder who has been a bona fide Holder for at least
six months may, on behalf of himself and all others similarly situated, petition any court of competent jurisdiction for the appointment
of a successor Trustee with respect to the Subordinated Notes.

 

(5)            The
Company will give notice of each resignation and each removal of the Trustee with respect to the Subordinated Notes and each appointment
of a successor Trustee with respect to the Subordinated Notes by delivering written notice of such event by first-class mail,
postage prepaid, to the Holders as their names and addresses appear in the Subordinated Note Register. Each notice will include
the name of the successor Trustee with respect to the Subordinated Notes and the address of its Corporate Trust Office.

 

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		Section 5.10	Acceptance of Appointment by Successor.

 

(1)            Upon
the appointment hereunder of any successor Trustee with respect to all Subordinated Notes, such successor Trustee so appointed
will execute, acknowledge and deliver to the Company and the retiring Trustee an instrument accepting such appointment, and thereupon
the resignation or removal of the retiring Trustee will become effective and such successor Trustee, without any further act,
deed or conveyance, will become vested with all the rights, powers, trusts and duties hereunder of the retiring Trustee; but,
on the request of the Company or such successor Trustee, such retiring Trustee, upon payment of its charges, will execute and
deliver an instrument transferring to such successor Trustee all the rights, powers and trusts of the retiring Trustee and, subject
to Section 9.03, will duly assign, transfer and deliver to such successor Trustee all property and money held by such retiring
Trustee hereunder, subject nevertheless to its claim, if any, provided for in Section 5.07.

 

(2)            Upon
the appointment hereunder of any successor Trustee with respect to the Subordinated Notes, the Company, the retiring Trustee and
such successor Trustee will execute and deliver an indenture supplemental hereto wherein each successor Trustee will accept such
appointment and which (i) will contain such provisions as will be necessary or desirable to transfer and confirm to, and to vest
in, such successor Trustee all the rights, powers, trusts and duties of the retiring Trustee with respect to the Subordinated
Notes, (ii) if the retiring Trustee is not retiring with respect to all Subordinated Notes, will contain such provisions as will
be deemed necessary or desirable to confirm that all the rights, powers, trusts and duties of the retiring Trustee with respect
to the Subordinated Notes will continue to be vested in the retiring Trustee, and (iii) will add to or change any of the provisions
of this Indenture as will be necessary to provide for or facilitate the administration of the trusts hereunder by more than one
Trustee, it being understood that nothing herein or in such supplemental indenture will constitute such Trustees co-trustees of
the same trust, that each such Trustee will be trustee of a trust or trusts hereunder separate and apart from any trust or trusts
hereunder administered by any other such Trustee and that no Trustee will be responsible for any notice given to, or received
by, or any act or failure to act on the part of any other Trustee hereunder, and, upon the execution and delivery of such supplemental
indenture, the resignation or removal of the retiring Trustee will become effective to the extent provided therein, such retiring
Trustee will have no further responsibility for the exercise of rights and powers or for the performance of the duties and obligations
vested in the Trustee under this Indenture with respect to the Subordinated Notes other than as hereinafter expressly set forth,
and such successor Trustee, without any further act, deed or conveyance, will become vested with all the rights, powers, trusts
and duties of the retiring Trustee with respect to the Subordinated Notes; but, on request of the Company or such successor Trustee,
such retiring Trustee, upon payment of its charges with respect to the Subordinated Notes and subject to Section 9.03 will
duly assign, transfer and deliver to such successor Trustee, to the extent contemplated by such supplemental indenture, the property
and money held by such retiring Trustee hereunder with respect to the Subordinated Notes, subject to its claim, if any, provided
for in Section 5.07.

 

(3)            Upon
request of any Person appointed hereunder as a successor Trustee, the Company will execute any and all instruments for more fully
and certainly vesting in and confirming to such successor Trustee all such rights, powers and trusts referred to in paragraph
(1) or (2) of this Section, as the case may be.

 

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(4)            No
Person will accept its appointment hereunder as a successor Trustee unless at the time of such acceptance such successor Person
will be qualified and eligible under this Article. No resigning or removed Trustee shall have any liability or responsibility
for the action or inaction of any successor Trustee.

 

		Section 5.11	Merger, Conversion, Consolidation or Succession
to Business.

 

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

 

		Section 5.12	Appointment of Authenticating
Agent.

 

The Trustee may appoint
one or more Authenticating Agents acceptable to the Company with respect to the Subordinated Notes which will be authorized to
act on behalf of the Trustee to authenticate Subordinated Notes issued upon original issue, exchange, registration of transfer,
partial redemption, partial repayment, or in accordance with Section 2.09, and Subordinated Notes so authenticated will
be entitled to the benefits of this Indenture and will be valid and obligatory for all purposes as if authenticated by the Trustee
hereunder. Wherever reference is made in this Indenture to the authentication and delivery of Subordinated Notes by the Trustee
or the Trustee’s certificate of authentication, such reference will be deemed to include authentication and delivery on behalf
of the Trustee by an Authenticating Agent and a certificate of authentication executed on behalf of the Trustee by an Authenticating
Agent.

 

Each Authenticating
Agent will be reasonably acceptable to the Company and, except as provided in or under this Indenture, will at all times be a corporation
that would be permitted by the Trust Indenture Act to act as trustee under an indenture qualified under the Trust Indenture Act,
is authorized under applicable law and by its charter to act as an Authenticating Agent and has a combined capital and surplus
(computed in accordance with Section 310(a)(2) of the Trust Indenture Act) of at least $50,000,000 and is subject to supervision
or examination by federal or state authority. If at any time an Authenticating Agent will cease to be eligible in accordance with
the provisions of this Section, it will resign immediately upon written request therefor by the Company or any Holder in the manner
and with the effect specified in this Section.

 

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

 

An Authenticating Agent
may resign at any time by giving written notice thereof to the Trustee and the Company. The Trustee may at any time terminate the
agency of an Authenticating Agent by giving written notice thereof to such Authenticating Agent and the Company. Upon receiving
such a notice of resignation or upon such a termination, or in case at any time such Authenticating Agent will cease to be eligible
in accordance with the provisions of this Section, the Trustee may appoint a successor Authenticating Agent that will be acceptable
to the Company and will deliver written notice of such appointment by first-class mail, postage prepaid, to all Holders with respect
to which such Authenticating Agent will serve, as their names and addresses appear in the Subordinated Note Register. Any successor
Authenticating Agent, upon acceptance of its appointment hereunder, will become vested with all the rights, powers and duties of
its predecessor hereunder, with like effect as if originally named as an Authenticating Agent. No successor Authenticating Agent
will be appointed unless eligible under the provisions of this Section 5.12.

 

The Company agrees
to pay each Authenticating Agent from time to time reasonable compensation for its services under this Section. If the Trustee
makes such payments, it will be entitled to be reimbursed for such payments, subject to the provisions of Section 5.07.

 

The provisions of Section
2.11, Section 5.04 and Section 5.05 will be applicable to each Authenticating Agent.

 

If an Authenticating
Agent is appointed under this Section, the Subordinated Notes may have endorsed thereon, in addition to or in lieu of the Trustee’s
certificate of authentication, an alternate certificate of authentication in substantially the following form:

 

This is one of the
Subordinated Notes of the series designated therein referred to in the within-mentioned Indenture.

 

	 	UMB Bank National Association, as Trustee
	 	 
	 	By:	 
	 	Name:	 
	 	Title:	 
	 	Dated:	 

 

		Section 5.13	Preferred Collection
of Claims against Company.

 

If and when the Trustee
will be or become a creditor of the Company (or any other obligor upon the Subordinated Notes), the Trustee will be subject to
the provisions of the Trust Indenture Act regarding the collection of claims against the Company (or any such other obligor).

 

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ARTICLE
VI

HOLDERS LISTS AND REPORTS BY TRUSTEE AND COMPANY

 

		Section 6.01	Holder Lists.

 

The Trustee will preserve
in as current a form as is reasonably practicable the most recent list available to it of the names and addresses of the Holders.
If the Trustee is not the Registrar, the Company will cause to be furnished to the Trustee at least semiannually on January 1 and
July 1 a listing of the Holders dated within 10 days of the date on which the list is furnished 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 the Holders.

 

		Section 6.02	Preservation of Information;
Communications to Holders.

 

The Trustee will comply
with the obligations imposed upon it in accordance with Section 312 of the Trust Indenture Act.

 

Every Holder of Subordinated
Notes, by receiving and holding the same, agrees with the Company and the Trustee that neither the Company, the Trustee, any Paying
Agent or any Registrar will be held accountable by reason of the disclosure of any such information as to the names and addresses
of the Holders of Subordinated Notes in accordance with Section 312(c) of the Trust Indenture Act, regardless of the source from
which such information was derived, and that the Trustee will not be held accountable by reason of delivering any material in accordance
with a request made under Section 312(b) of the Trust Indenture Act.

 

		Section 6.03	Reports by Trustee.

 

(1)            Within
60 days after July 15 of each year commencing with the first July 15 following the date of this Indenture, if required by Section
313(a) of the Trust Indenture Act, the Trustee will transmit, in accordance with Section 313(c) of the Trust Indenture Act, a
brief report dated as of such July 15 with respect to any of the events specified in said Section 313(a) and Section 313(b)(2)
that may have occurred since the later of the immediately preceding July 15 and the date of this Indenture.

 

(2)            The
Trustee will transmit the reports required by Section 313(a) of the Trust Indenture Act at the times specified therein.

 

(3)            The
Trustee shall comply with Sections 313(b) and 313(c) of the Trust Indenture Act.

 

(4)            Reports
under this Section will be transmitted in the manner and to the Persons required by Section 313(c) and Section 313(d) of the Trust
Indenture Act.

 

		Section 6.04	Reports
by Company.

 

(1)            The
Company, in accordance with Section 314(a) of the Trust Indenture Act, will:

 

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

 

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

 

(c)            transmit
to the Holders within 30 days after the filing thereof with the Trustee, in the manner and to the extent provided in Section 313(c)
of the Trust Indenture Act, such summaries of any information, documents and reports required to be filed by the Company in accordance
with paragraphs (1) and (2) of this Section as may be required by rules and regulations prescribed from time to time by the Commission.

 

Delivery of such reports,
information and documents to the Trustee is for informational purposes only and the Trustee’s receipt of such will not constitute
constructive notice of any information contained therein or determinable from information contained therein, including the Company’s
compliance with any of its covenants hereunder (as to which the Trustee is entitled to rely exclusively on Officers’ Certificates).

 

(2)            The Company intends to file the reports referred to in Section 6.04(1) with the Commission in electronic form
in accordance with Regulation S-T of the Commission using the Commission’s Electronic Data Gathering, Analysis and Retrieval
system. Compliance with the foregoing, or any successor electronic system approved by the Commission, will constitute delivery
by the Company of such reports to the Trustee and Holders in compliance with the provision of Section 6.04(1) and Trust
Indenture Act Section 314(a). Notwithstanding anything to the contrary herein, the Trustee will have no duty to search for or obtain
any electronic or other filings that the Company makes with the Commission, regardless of whether such filings are periodic, supplemental
or otherwise. Delivery of the reports, information and documents to the Trustee in accordance with this Section 6.04(2)
will be solely for the purposes of compliance with Section 6.04(1) and with Trust Indenture Act Section 314(a). The Trustee’s
receipt of such reports, information and documents (whether or not filed in electronic form) is for informational purposes only
and the Trustee’s receipt of such will not constitute constructive notice of any information contained therein or determinable
from information contained therein, including the Company’s compliance with any of its covenants hereunder (as to which the
Trustee is entitled to rely exclusively on Officers’ Certificates). The Trustee shall have no liability or responsibility
for the filing, content or timelines of any report hereunder aside from any report transmitted under Section 6.03 hereof.

 

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ARTICLE
VII

SUCCESSORS

 

		Section 7.01	Merger,
Consolidation or Sale of All or Substantially All Assets.

 

The Company will not,
in any transaction or series of related transactions, consolidate with or merge into any Person or sell, assign, transfer, lease
or otherwise convey all or substantially all its properties and assets to any Person, unless:

 

(1)            either
the Company will be the continuing Person (in the case of a merger), or the successor Person (if other than the Company) formed
by such consolidation or into which the Company is merged or which acquires by sale, assignment, transfer, lease or other conveyance
all or substantially all the properties and assets of the Company will be a corporation organized and existing under the laws
of the United States, any state thereof or the District of Columbia and will expressly assume, by an indenture (or indentures,
if at such time there is more than one Trustee) supplemental hereto, executed by such successor corporation and delivered to the
Trustee, in form satisfactory to the Trustee, the due and punctual payment of the principal of, and interest on, all the Outstanding
Subordinated Notes and the due and punctual performance and observance of every obligation in this Indenture and the Outstanding
Subordinated Notes on the part of the Company to be performed or observed;

 

(2)            immediately
after giving effect to such transaction and treating any indebtedness that becomes an obligation of the Company or any Subsidiary
as a result of that transaction as having been incurred by the Company or any Subsidiary at the time of the transaction, no Event
of Default, and no event which, after notice or lapse of time, or both, would become an Event of Default, will have occurred and
be continuing; and

 

(3)            either
the Company or the successor Person will have delivered to the Trustee an Officers’ Certificate and an Opinion of Counsel,
each stating that such consolidation, merger, sale, assignment, transfer, lease or other conveyance and, if a supplemental indenture
is required in connection with such transaction, such supplemental indenture comply with this Article VII and that all conditions
precedent herein provided for relating to such transaction have been complied with.

 

For purposes of the
foregoing, any sale, assignment, transfer, lease or other conveyance of all or any of the properties and assets of one or more
Subsidiaries of the Company (other than to the Company or another Subsidiary), which, if such properties and assets were directly
owned by the Company, would constitute all or substantially all of the Company’s properties and assets, will be deemed to
be the transfer of all or substantially all of the properties and assets of the Company.

 

		Section 7.02	Successor
                                         Person Substituted for Company.

 

Upon any consolidation
by the Company with or merger of the Company into any other Person or any sale, assignment, transfer, lease or conveyance of all
or substantially all of the properties and assets of the Company to any Person in accordance with Section 7.01, the successor
Person formed by such consolidation or into which the Company is merged or to which such sale, assignment, transfer, lease or other
conveyance is made will succeed to, and be substituted for, and may exercise every right and power of, the Company under this Indenture
with the same effect as if such successor Person had been named as the Company herein; and thereafter, except in the case of a
lease, the predecessor Person will be released from all obligations and covenants under this Indenture and the Subordinated Notes.

 

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ARTICLE
VIII

SUPPLEMENTAL INDENTURES

 

		Section 8.01	Supplemental
Indentures without Consent of Holders.

 

Without the consent
of any Holders of Subordinated Notes, the Company (when authorized by or in accordance with a Board Resolution) and the Trustee,
at any time and from time to time, may enter into one or more indentures supplemental hereto, in form satisfactory to the Trustee,
for any of the following purposes:

 

(1)            to
evidence the succession of another Person to the Company, and the assumption by any such successor of the covenants of the Company
contained herein and in the Subordinated Notes;

 

(2)            to add to the covenants of the Company for the benefit of the Holders (as will be specified in such supplemental
indenture or indentures) or to surrender any right or power herein conferred upon the Company with respect to the Subordinated
Notes issued under this Indenture (as will be specified in such supplemental indenture or indentures);

 

(3)            to
permit or facilitate the issuance of Subordinated Notes in uncertificated or global form, provided any such action will not adversely
affect the interests of the Holders;

 

(4)            to evidence and provide for the acceptance of appointment hereunder by a successor Trustee with respect to the Subordinated
Notes and to add to or change any of the provisions of this Indenture as will be necessary to provide for or facilitate the administration
of the trusts hereunder by more than one Trustee, in accordance with the requirements of Section 5.10;

 

(5)            to
cure any ambiguity or to correct or supplement any provision herein that may be defective or that may be inconsistent with any
other provision herein;

 

(6)            to make any other provisions with respect to matters or questions arising under this Indenture that will not adversely
affect the interests of the Holders of then Outstanding Subordinated Notes;

 

(7)            to
add any additional Events of Default (as will be specified in such supplemental indenture);

 

(8)            to
supplement any of the provisions of this Indenture to such extent as will be necessary to permit or facilitate the Legal Defeasance,
Covenant Defeasance and/or satisfaction and discharge of the Subordinated Notes in accordance with Article III, provided that
any such action will not adversely affect the interests of any Holder;

 

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(9)            to
provide for the issuance of Exchange Notes;

 

(10)          to
conform any provision in this Indenture to the requirements of the Trust Indenture Act; or

 

(11)          to make any change that does not adversely affect the legal rights under this Indenture of any Holder.

 

		Section 8.02	Supplemental
                                         Indentures with Consent of Holders.

 

With the consent of
the Holders of not less than a majority in principal amount of the Outstanding Subordinated Notes, by Act of said Holders delivered
to the Company and the Trustee, the Company (when authorized by or in accordance with a Board Resolution), and the Trustee may
enter into an indenture or indentures supplemental hereto for the purpose of adding any provisions to or changing in any manner
or eliminating any of the provisions of this Indenture or of the Subordinated Notes or of modifying in any manner the rights of
the Holders under this Indenture; provided, that no such supplemental indenture, without the consent of the Holder of each Outstanding
Subordinated Note affected thereby, will:

 

(1)            reduce the rate of or change the time for payment of interest, including Defaulted Interest, on any Subordinated
Notes;

 

(2)            reduce
the principal of or change the Stated Maturity of any Subordinated Notes, or change the date on which any Subordinated Notes may
be subject to redemption or reduce the Redemption Price therefore;

 

(3)            make
any Subordinated Note payable in money other than Dollars;

 

(4)            make
any change in provisions of this Indenture protecting the right of each Holder to receive payment of principal of and interest
on such Subordinated Note on or after the due date thereof or to bring suit to enforce such payment;

 

(5)            reduce
the percentage in principal amount of the Outstanding Subordinated Notes, the consent of whose Holders is required for any such
supplemental indenture, or the consent of whose Holders is required for any waiver (of compliance with certain provisions of this
Indenture or certain defaults hereunder and their consequences) provided for in Section 4.12 or Section 9.07 of
this Indenture; or

 

(6)            modify
any of the provisions of this Section 8.02, Section 4.12 or Section 9.07, except to increase any such percentage
or to provide that certain other provisions of this Indenture cannot be modified or waived without the consent of the Holder of
each Outstanding Subordinated Note affected thereby.

 

It will not be necessary
for any Act of Holders under this Section 8.02 to approve the particular form of any proposed supplemental indenture, but
it will be sufficient if such Act will approve the substance thereof.

 

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		Section 8.03	Execution of Supplemental Indentures.

 

As a condition to executing,
or accepting the additional trusts created by, any supplemental indenture permitted by this Article VIII or the modifications thereby
of the trust created by this Indenture, the Trustee will be entitled to receive, and (subject to Section 5.01) will be fully
protected in relying upon, an Officers’ Certificate and an Opinion of Counsel to the effect that the execution of such supplemental
indenture is authorized or permitted by this Indenture, that such supplemental indenture has been duly authorized, executed and
delivered by, and is a valid, binding and enforceable obligation of, the Company, subject to customary exceptions, and that, to
the extent applicable pursuant to Section 8.01, such supplemental indenture does not adversely affect the interests of the
Holders. The Trustee may, but will not be obligated to, enter into any such supplemental indenture which affects the Trustee’s
own rights, duties or immunities under this Indenture or otherwise.

 

		Section 8.04	Effect of Supplemental
Indentures.

 

Upon the execution
of any supplemental indenture under this Article VIII, this Indenture will be modified in accordance therewith, and such supplemental
indenture will form a part of this Indenture for all purposes; and every Holder theretofore or thereafter authenticated and delivered
hereunder.

 

		Section 8.05	Reference in Subordinated
Notes to Supplemental Indentures.

 

Subordinated Notes
authenticated and delivered after the execution of any supplemental indenture in accordance with this Article VIII may, and will
if required by the Company, bear a notation in form approved by the Company as to any matter provided for in such supplemental
indenture. If the Company will so determine, new Subordinated Notes so modified as to conform, in the opinion of the Company, to
any such supplemental indenture may be prepared and executed by the Company and authenticated and delivered by the Trustee in exchange
for Outstanding Subordinated Notes.

 

		Section 8.06	Effect on Senior
Indebtedness.

 

No supplemental indenture
will directly or indirectly modify or eliminate the Subordination Provisions or the definition of “Senior Indebtedness”
applicable with respect to the Subordinated Notes in any manner that might terminate or impair the subordination of such Subordinated
Notes to such Senior Indebtedness without the prior written consent of each of the holders of such Senior Indebtedness.

 

		Section 8.07	Conformity with
Trust Indenture Act.

 

Every supplemental
indenture executed in accordance with this Article will conform to the requirements of the Trust Indenture Act as then in effect.

 

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ARTICLE
IX

COVENANTS

 

		Section 9.01	Payment of Principal
and Interest.

 

The Company covenants
and agrees for the benefit of the Holders that it will duly and punctually pay the principal of, and interest on, the Subordinated
Notes, in accordance with the terms thereof and this Indenture. Principal and interest will be considered paid on the date due
if the Paying Agent, if other than the Company or a Subsidiary thereof, holds as of 11:00 a.m., Eastern time, on the Business Day
immediately prior to any Interest Payment Date, an amount in immediately available funds provided by the Company that is designated
for and sufficient to pay all principal and interest then due. The Company will pay all Additional Interest, if any, on the dates
and in the amounts set forth in the Registration Rights Agreement.

 

If Additional Interest
is payable by the Company in accordance with the Registration Rights Agreement, the Company will deliver to the Trustee a certificate
to that effect stating (i) the amount of such Additional Interest that is payable and (ii) the date on which such Additional Interest
is payable. Unless and until a Responsible Officer of the Trustee receives such a certificate or instruction or direction from
the Holders in accordance with the terms of this Indenture, the Trustee may assume without inquiry that no Additional Interest
is payable. The foregoing will not prejudice the rights of the Holders with respect to their entitlement to Additional Interest
as otherwise set forth in this Indenture or the Subordinated Notes and pursuing any action against the Company directly or otherwise
directing the Trustee to take such action in accordance with the terms of this Indenture and the Subordinated Notes. If the Company
has paid Additional Interest directly to persons entitled to it, the Company will deliver to the Trustee a certificate setting
forth the particulars of such payment.

 

		Section 9.02	Maintenance of
Office.

 

The Company will maintain
an office or agency in The City of New York (which may be an office of the Trustee or an Affiliate of the Trustee or Registrar)
where Subordinated Notes may be surrendered for registration of transfer or for exchange and where notices and demands to or upon
the Company in respect of the Subordinated Notes and this Indenture may be served. The Company will give prompt written notice
to the Trustee of the location, and any change in the location, of such office or agency. If at any time the Company fails to maintain
any such required office or agency or fails to furnish the Trustee with the address thereof, such presentations, surrenders, notices
and demands may be made or served at the Corporate Trust Office of the Trustee.

 

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

 

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The Company hereby
designates the Corporate Trust Office of the Trustee in each of The City of New York and in Houston, Texas as one such office or
agency of the Company in accordance with Section 9.02; provided, however, that no service of legal process on the Company
may be made at any office of the Trustee.

 

		Section 9.03	Money for Subordinated
Notes Payments to Be Held in Trust.

 

If the Company will
at any time act as its own Paying Agent, it will, on or before each due date of the principal of, or interest on, any of the Subordinated
Notes, segregate and hold in trust for the benefit of the Persons entitled thereto a sum in Dollars sufficient to pay the principal
and interest, as the case may be, so becoming due until such sums will be paid to such Persons or otherwise disposed of as herein
provided, and will promptly notify the Trustee of its action or failure so to act.

 

Whenever the Company
will have one or more Paying Agents, it will, on or prior to each due date of the principal of, or interest on, any Subordinated
Notes, deposit with any Paying Agent a sum in Dollars sufficient to pay the principal and interest, as the case may be, so becoming
due, such sum to be held in trust for the benefit of the Persons entitled thereto, and (unless such Paying Agent is the Trustee)
the Company will promptly notify the Trustee of its action or failure so to act.

 

The Company will cause
each Paying Agent other than the Trustee to execute and deliver to the Trustee an instrument in which such Paying Agent will agree
with the Trustee, subject to the provisions of this Section that such Paying Agent will:

 

(1)              hold all sums held by it for the payment of the principal of, or interest on, the Subordinated Notes in trust for
the benefit of the Persons entitled thereto until such sums will be paid to such Persons or otherwise disposed of as provided in
or under this Indenture;

 

(2)              give
the Trustee notice of any default by the Company in the making of any payment of principal, or interest on, the Subordinated Notes;
and

 

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

 

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

 

Any money deposited
with the Trustee or any Paying Agent, or then held by the Company, in trust for the payment of the principal of, or interest on,
any Subordinated Note and remaining unclaimed for two years after such principal or interest will have become due and payable will
be paid to the Company upon a Company Request, or (if then held by the Company) will be discharged from such trust; and the Holder
of such Subordinated Note will thereafter, as an unsecured general creditor, look only to the Company for payment thereof, and
all liability of the Trustee or such Paying Agent with respect to such trust money, and all liability of the Company as trustee
thereof, will thereupon cease.

 

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		Section 9.04	Corporate Existence.

 

Subject to Article
VII, the Company will do or cause to be done all things necessary to preserve and keep in full force and effect (i) the corporate
existence of the Company, (ii) the existence (corporate or otherwise) of each Significant Subsidiary and (iii) the rights (charter
and statutory), licenses and franchises of the Company and each of its Significant Subsidiaries, including without limitation the
Company’s status as a bank holding company or financial holding company under the Bank Holding Company Act of 1956, as amended,
and the Company’s principal bank subsidiary’s status as an “insured depository institution” under Section
3(c)(2) of the Federal Deposit Insurance Act, as amended; provided, however, that the Company will not be required to preserve
the existence (corporate or other) of any of its Significant Subsidiaries or any such right, license or franchise of the Company
or any of its Significant Subsidiaries if the Board of Directors of the Company determines that the preservation thereof is no
longer desirable in the conduct of the business of the Company and its Significant Subsidiaries taken as a whole and that the loss
thereof will not be disadvantageous in any material respect to the Holders. Subject to Article VII, the Company shall not take
any action, omit to take any action or enter into any transaction that would have the effect of the Company owning less than one
hundred percent (100%) of the capital stock of the Company’s principal bank subsidiary.

 

		Section 9.05	Maintenance of
Properties.

 

The Company will, and
will cause each Significant Subsidiary to, cause all its properties used or useful in the conduct of its business to be maintained
and kept in good condition, repair and working order and supplied with all necessary equipment and will cause to be made all necessary
repairs, renewals, replacements, betterments and improvements thereof, all as in the judgment of the Company may be necessary so
that the business carried on in connection therewith may be properly and advantageously conducted at all times; provided,
however, that nothing in this Section will prevent the Company or any Significant Subsidiary from discontinuing the operation
and maintenance of any of their respective properties if such discontinuance is, in the judgment of the Board of Directors of the
Company or of any Significant Subsidiary, as the case may be desirable in the conduct of its business.

 

		Section 9.06	Dividends.

 

The Company shall not
declare or pay any dividend, or make any distribution on capital stock or other equity securities of any kind of the Company, in
each case except: (i) in such amounts as permitted by applicable regulations and only upon receipt of any required regulatory approval;
and (ii) for dividends payable solely in shares of common stock of the Company.

 

		Section 9.07	Waiver of Certain
Covenants.

 

The Company may omit
in any particular instance to comply with any term, provision or condition set forth in Section 9.02 to Section 9.06,
inclusive, with respect to the Subordinated Notes if before the time for such compliance the Holders of at least a majority in
principal amount of the Outstanding Subordinated Notes, by Act of such Holders, either will waive such compliance in such instance
or generally will have waived compliance with such term, provision or condition, but no such waiver will extend to or affect such
term, provision or condition except to the extent so expressly waived, and, until such waiver will become effective, the obligations
of the Company and the duties of the Trustee in respect of any such term, provision or condition will remain in full force and
effect.

 

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		Section 9.08	Company Statement
as to Compliance.

 

The Company will deliver
to the Trustee, within 120 days after the end of each fiscal year, an Officers’ Certificate covering the preceding calendar
year, stating whether or not, to the best of his or her knowledge, the Company is in default in the performance and observance
of any of the terms, provisions and conditions of this Indenture (without regard to notice requirements or periods of grace) and
if the Company will be in default, specifying all such defaults and the nature and status thereof of which he or she may have knowledge.

 

		Section 9.09	Tier 2 Capital.

 

If all or any portion
of the Subordinated Notes ceases to be deemed to be Tier 2 Capital, other than due to the limitation imposed on the capital treatment
of subordinated debt during the five (5) years immediately preceding the Maturity Date of the Subordinated Notes, the Company will
immediately notify the Trustee and the Holders thereof, and thereafter the Company and the Holders will work together in good faith,
subject to the terms of this Indenture, to execute and deliver all agreements as reasonably necessary in order to restructure the
applicable portions of the obligations evidenced by the Subordinated Notes to qualify as Tier 2 Capital and the Company shall request,
subject to the terms of this Indenture, that the Trustee execute and deliver all such agreements as may be reasonably necessary
in order to effect any restructuring agreed to by the Company and the Holders; provided, however, that nothing contained
in this Section 9.09 shall limit the Company’s right to redeem the Subordinated Notes upon the occurrence of a Tier
2 Capital Event pursuant to Section 10.01(3) hereof.

 

ARTICLE
X

REDEMPTION OF SECURITIES

 

		Section 10.01	Applicability of
Article.

 

(1)              Except
as provided in this Section 10.01, the Subordinated Notes are not subject to redemption at the option of the Company. The
Subordinated Notes are not subject to redemption at the option of the Holders.

 

(2)              Subject
to the receipt of the prior approval of the Board of Governors of the Federal Reserve System (the “Federal Reserve”),
to the extent such approval is then required under the capital adequacy rules of the Federal Reserve, with corresponding written
notice to the Trustee, the Company may, at its option, on any Interest Payment Date on or after September 30, 2029, redeem all
or a portion of the Subordinated Notes.

 

(3)              Subject
to the receipt of the prior approval of the Federal Reserve, to the extent such approval is then required under the capital adequacy
rules of the Federal Reserve, with corresponding written notice to the Trustee, the Company may, at its option, redeem all, but
not a portion of the Outstanding Subordinated Notes at any time upon an Investment Company Event, a Tax Event or a Tier 2 Capital
Event.

 

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(4)              The
Redemption Price with respect to any redemption permitted under this Indenture will be equal to 100% of the principal amount of
the Subordinated Notes to be redeemed, plus accrued but unpaid interest and Additional Interest, if any, thereon to, but excluding,
the Redemption Date.

 

		Section 10.02	Election to Redeem;
Notice to Trustee.

 

The election of the
Company to redeem any Subordinated Notes will be evidenced by a Company Order. In case of any redemption of less than all of the
Subordinated Notes, the Company will, at least 60 days prior to the Redemption Date fixed by the Company (unless a shorter notice
will be satisfactory to the Trustee, but in any event not less than 45 days prior to the Redemption Date), notify the Trustee,
of such Redemption Date and of the principal amount of Subordinated Notes to be redeemed.

 

In the case of any
redemption of Subordinated Notes (i) prior to the expiration of any restriction on such redemption provided in the terms of such
Subordinated Notes or elsewhere in this Indenture or (ii) in accordance with an election of the Company that is subject to a condition
specified in the terms of such Subordinated Notes or elsewhere in this Indenture, the Company will furnish to the Trustee an Officers’
Certificate evidencing compliance with such restriction or condition.

 

		Section 10.03	Selection by Trustee
of Subordinated Notes to be Redeemed.

 

If less than all of
the Subordinated Notes are to be redeemed, the particular Subordinated Notes to be redeemed will be selected not more than 45 days
prior to the Redemption Date by the Trustee from the Outstanding Subordinated Notes not previously called for redemption unless
otherwise required by law or applicable depositary requirements, on a pro rata basis as to the Holders and which may provide for
the selection for redemption of portions of the principal amount of Subordinated Notes; provided, however, that no
such partial redemption will reduce the portion of the principal amount of a Subordinated Note not redeemed to less than the minimum
denomination for a Subordinated Note established in or under this Indenture. In the event a pro rata redemption is not permitted
under applicable law or applicable depositary requirements, the Subordinated Notes to be redeemed will be selected by lot or such
method as the Trustee will deem fair and appropriate.

 

The Trustee will promptly
notify the Company and the Registrar (if other than itself) in writing of the Subordinated Notes selected for redemption and, in
the case of any Subordinated Notes selected for partial redemption, the principal amount thereof to be redeemed.

 

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

 

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		Section 10.04	Notice of Redemption.

 

Notice of redemption
will be given in the manner provided in Section 1.05, not less than 30 nor more than 60 days prior to the Redemption Date
to the Holders of Subordinated Notes to be redeemed. Failure to give notice by delivering in the manner herein provided to the
Holder of any Subordinated Notes designated for redemption as a whole or in part, or any defect in the notice to any such Holder,
will not affect the validity of the proceedings for the redemption of any other Subordinated Notes or portions thereof.

 

Any notice that is
delivered to the Holder of any Subordinated Notes in the manner herein provided will be conclusively presumed to have been duly
given, whether or not such Holder receives the notice.

 

All notices of redemption
will state:

 

(1)              the Redemption Date,

 

(2)              the
Redemption Price,

 

(3)              if
less than all Outstanding Subordinated Notes are to be redeemed, the identification (and, in the case of partial redemption, the
principal amount) of the particular Subordinated Note or Subordinated Notes to be redeemed,

 

(4)              that,
in case any Subordinated Note is to be redeemed in part only, on and after the Redemption Date, upon surrender of such Subordinated
Note, the Holder of such Subordinated Note will receive, without charge, a new Subordinated Note or Subordinated Notes of authorized
denominations for the principal amount thereof remaining unredeemed,

 

(5)              that,
on the Redemption Date, the Redemption Price will become due and payable upon each such Subordinated Note or portion thereof to
be redeemed, together (if applicable) with accrued and unpaid interest and Additional Interest, if any, thereon (subject, if applicable,
to the provisos to the first paragraph of Section 10.06), and, if applicable, that interest thereon will cease to accrue
on and after said date,

 

(6)              the
place or places where such Subordinated Notes are to be surrendered for payment of the Redemption Price and any accrued interest
pertaining thereto, and

 

(7)              the section hereunder providing for such redemption.

 

The notice of redemption
shall include the CUSIP number reference numbers of such Subordinated Notes, if any (or any other numbers used by a Depositary
to identify such Subordinated Notes).

 

Notice of redemption
of Subordinated Notes to be redeemed at the election of the Company will be given by the Company or, at the Company’s request
delivered at least 10 days before the date such notice is to be given (unless a shorter period will be acceptable to the Trustee)
together with the form of notice to be delivered, by the Trustee in the name and at the expense of the Company.

 

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		Section 10.05	Deposit of Redemption
Price.

 

On or prior to 11:00
a.m., Eastern time, on any Redemption Date, the Company will deposit, with respect to the Subordinated Notes called for redemption
in accordance with Section 10.04, with the Trustee or with a Paying Agent (or, if the Company is acting as its own Paying
Agent, segregate and hold in trust as provided in Section 9.03) an amount sufficient to pay the Redemption Price of, and
(except if the Redemption Date will be an Interest Payment Date) any accrued interest on, all such Subordinated Notes or portions
thereof which are to be redeemed on that date.

 

		Section 10.06	Subordinated Notes
Payable on Redemption Date.

 

Notice of redemption
having been given as provided above, the Subordinated Notes so to be redeemed will, on the Redemption Date, become due and payable
at the Redemption Price therein specified, together with accrued and unpaid interest and Additional Interest, if any, thereon and
from and after such date (unless the Company will default in the payment of the Redemption Price and accrued interest, if any)
such Subordinated Notes will cease to bear interest. Upon surrender of any such Subordinated Note for redemption in accordance
with said notice, such Subordinated Note will be paid by the Company at the Redemption Price, together with any accrued and unpaid
interest and Additional Interest, if any, thereon to but excluding the Redemption Date; provided, however, that installments
of interest on Subordinated Notes whose Stated Maturity is on or prior to the Redemption Date will be payable to the Holders of
such Subordinated Notes registered as such on the Regular Record Dates therefor according to their terms and the provisions of
Section 2.10.

 

If any Subordinated
Note called for redemption will not be so paid upon surrender thereof for redemption, the principal, until paid, will bear interest
from the Redemption Date at the rate prescribed therefor in the Subordinated Note or, if no rate is prescribed therefor in the
Subordinated Note, at the rate of interest, if any, borne by such Subordinated Note.

 

		Section 10.07	Subordinated
Notes Redeemed in Part.

 

Any Subordinated Note
which is to be redeemed only in part will be surrendered at any office or agency for such Subordinated Note (with, if the Company
or the Trustee so requires, due endorsement by, or a written instrument of transfer in form satisfactory to the Company and the
Trustee duly executed by, the Holder thereof or his attorney duly authorized in writing) and the Company will execute and the Trustee
will authenticate and deliver to the Holder of such Subordinated Note without service charge, a new Subordinated Note or Subordinated
Notes, containing identical terms and provisions, of any authorized denomination as requested by such Holder in aggregate principal
amount equal to and in exchange for the unredeemed portion of the principal of the Subordinated Note so surrendered. If a Global
Subordinated Note is so surrendered, the Company will execute, and the Trustee will authenticate and deliver to the Depositary
for such Global Subordinated Note as will be specified in the Company Order with respect thereto to the Trustee, without service
charge, a new Global Subordinated Note in a denomination equal to and in exchange for the unredeemed portion of the principal of
the Global Subordinated Note so surrendered.

 

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Upon surrender of a
Subordinated Note that is redeemed in part, the Company will issue and the Trustee will authenticate for the Holder at the expense
of the Company a new Subordinated Note equal in principal amount to the unredeemed portion of the Subordinated Notes Note surrendered
representing the same indebtedness to the extent not redeemed. Notwithstanding anything in this Indenture to the contrary, only
a Company Order and not an Opinion of Counsel or an Officers’ Certificate of the Company is required for the Trustee to authenticate
such new Subordinated Note.

 

ARTICLE
XI

SUBORDINATION OF SECURITIES

 

		Section 11.01	Agreement to Subordinate.

 

The Company, for itself,
its successors and assigns, covenants and agrees, and each Holder of Subordinated Notes by the Holder’s acceptance thereof,
likewise covenants and agrees, that the payment of the principal of and interest on each and all of the Subordinated Notes is and
will be expressly subordinated in right of payment to the prior payment in full of all Senior Indebtedness.

 

		Section 11.02	Distribution of
Assets.

 

(1)              Upon
any distribution of assets of the Company upon any termination, winding up, liquidation or reorganization of the Company, whether
in bankruptcy, insolvency, reorganization or receivership proceedings or upon an assignment for the benefit of creditors or any
other marshalling of the assets and liabilities of the Company or otherwise (subject to the power of a court of competent jurisdiction
to make other equitable provision reflecting the rights conferred upon the Senior Indebtedness and the holders thereof with respect
to the Subordinated Notes and the Holders thereof by a lawful plan of reorganization under applicable bankruptcy law):

 

(a)              holders
of all Senior Indebtedness will first be entitled to receive payment in full in accordance with the terms of such Senior Indebtedness
of the principal thereof, premium, if any, and the interest due thereon (including interest accruing subsequent to the commencement
of any proceeding for the bankruptcy or reorganization of the Company under any applicable bankruptcy, insolvency or similar law
now or hereafter in effect) before the Holders of the Subordinated Notes are entitled to receive any payment upon the principal
of or interest on indebtedness evidenced by the Subordinated Notes;

 

(b)              any
payment or distribution of assets of the Company of any kind or character, whether in cash, property or securities, to which the
Holders would be entitled except for the provisions of this Article XI, including any such payment or distribution that may be
payable or deliverable by reason of the payment of any other indebtedness of the Company being subordinated to the payment of
the Subordinated Notes, will be paid by the liquidating trustee or agent or other Person making such payment or distribution,
whether a trustee in bankruptcy, a receiver or liquidating trustee or otherwise, directly to the holders of Senior Indebtedness
or their representative or representatives or to the trustee or trustees under any indenture under which any instruments evidencing
any of such Senior Indebtedness may have been issued, in accordance with the priorities then existing among holders of Senior
Indebtedness for payment of the aggregate amounts remaining unpaid on account of the principal, premium, if any, and interest
(including interest accruing subsequent to the commencement of any proceeding for the bankruptcy or reorganization of the Company
under any applicable bankruptcy, insolvency or similar law now or hereafter in effect) on the Senior Indebtedness held or represented
by each, to the extent necessary to make payment in full of all Senior Indebtedness remaining unpaid, after giving effect to any
concurrent payment or distribution to the holders of such Senior Indebtedness; it being understood that if the Holders fail to
file a proper claim in the form required by any proceeding referred to in this Section 11.02(1)(b) prior to 30 days before
the expiration of the time to file such claim or claims, then the holders of Senior Indebtedness are hereby authorized to file
an appropriate claim or claims for and on behalf of the Holders, in the form required in any such proceeding; and

 

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(c)              in
the event that, notwithstanding the foregoing, any payment or distribution of assets of the Company of any kind or character,
whether in cash, property or securities, including any such payment or distribution that may be payable or deliverable by reason
of the payment of any other indebtedness of the Company being subordinate to the payment of the Subordinated Notes will be received
by the Trustee or the Holders before all Senior Indebtedness is paid in full, such payment or distribution will be paid over to
the trustee in bankruptcy, receiver, liquidating trustee, custodian, assignee, agent or other Person making payment of assets
of the Company for all Senior Indebtedness remaining unpaid until all such Senior Indebtedness will have been paid in full, after
giving effect to any concurrent payment or distribution to the holders of such Senior Indebtedness,

 

(2)              Subject
to the payment in full of all Senior Indebtedness, the Holders will be subrogated to the rights of the holders of Senior Indebtedness
to receive payments or distributions of cash, property or securities of the Company applicable to the Senior Indebtedness until
the principal of and interest on the Subordinated Notes will be paid in full and no such payments or distributions to holders
of such Senior Indebtedness to which the Holders would be entitled except for the provisions hereof of cash, property or securities
otherwise distributable to the holders of Senior Indebtedness will, as between the Company, its creditors, other than the 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 XI are intended solely for the purpose of defining the relative rights of
the Holders of the Subordinated Notes, on the one hand, and the holders of Senior Indebtedness, on the other hand. Nothing contained
in this Article XI or elsewhere in this Indenture or any supplemental indenture issued in accordance with Article VIII of this
Indenture or in the Subordinated Notes is intended to or will impair, as between the Company, its creditors, other than the holders
of Senior Indebtedness, and the Holders, the obligation of the Company, which is unconditional and absolute, to pay to the Holders
the principal of and interest on the Subordinated Notes as and when the same will become due and payable in accordance with their
terms or to affect the relative rights of the Holders and creditors of the Company, other than the holders of the Senior Indebtedness,
nor, except as otherwise expressly provided in this Indenture and the Subordinated Notes with respect to the limitation on the
rights of the Trustee and the Holders, to accelerate the maturity of the Subordinated Notes and pursue remedies upon such an acceleration,
will anything herein or in the Subordinated Notes prevent the Trustee or any Holder from exercising all remedies otherwise permitted
by applicable law upon any Event of Default under the Indenture occurring, subject to the rights, if any, under this Article XI
of the holders of Senior Indebtedness, in respect of cash, property or securities of the Company received upon the exercise of
any such remedy. Upon any payment or distribution of assets of the Company referred to in this Article XI, the Trustee and the
Holders will be entitled to rely upon any order or decree of a court of competent jurisdiction in which such termination, winding
up, liquidation or reorganization proceeding is pending or upon a certificate of the liquidating trustee or agent or other Person
making any distribution 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 XI. In the
absence of any such liquidating trustee, agent or other person, the Trustee will be entitled to rely upon a written notice by
a Person representing itself to be a holder of Senior Indebtedness (or a trustee or representative on behalf of such holder) as
evidence that such Person is a holder of Senior Indebtedness (or is such a trustee or representative). If the Trustee determines,
in good faith, that further evidence is required with respect to the right of any Person, as a holder of Senior Indebtedness,
to participate in any payment or distribution in accordance with this Article XI, 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, as to the
extent to which such Person is entitled to participation in such payment or distribution, and as to other facts pertinent to the
rights of such Person under this Article XI, 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.

 

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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 Indenture, and no implied covenants or obligations with respect to the holders of Senior Indebtedness
will be read into this Indenture against the Trustee. The Trustee, however, will not be deemed to owe any fiduciary duty to the
holders of Senior Indebtedness by reason of the execution of this Indenture, or any other supplemental indenture entered into in
accordance with Article VIII of this Indenture, and will not be liable to any such holders if it will in good faith mistakenly
pay over or distribute to or on behalf of the Holders or the Company moneys or assets to which any holders of Senior Indebtedness
will be entitled by virtue of this Article XI or otherwise.

 

		Section 11.03	Default With Respect
to Senior Indebtedness.

 

In the event and during
the continuation of any default in the payment of principal of, or premium, if any, or interest on, any Senior Indebtedness, beyond
any applicable grace period, or if any event of default with respect to any Senior Indebtedness will have occurred and be continuing,
or would occur as a result of the payment referred to hereinafter, permitting the holders of such Senior Indebtedness (or a trustee
on behalf of the holders thereof) to accelerate the maturity thereof, then, unless and until such default or event of default will
have been cured or waived or will have ceased to exist, no payment or principal of or interest on the Subordinated Notes, or in
respect of any retirement, purchase or other acquisition of any of the Subordinated Notes, will be made by the Company.

 

		Section 11.04	No Impairment.

 

Nothing contained in
this Indenture, any other supplemental indenture entered into in accordance with Article VIII of this Indenture, or in any of the
Subordinated Notes will: (i) impair, as between the Company and the Holders, the obligations of the Company, to make, or prevent
the Company from making, at any time except as provided in Section 11.02 and Section 11.03, payments of principal
of, or interest (including interest accruing subsequent to the commencement of any proceeding for the bankruptcy or reorganization
of the Company under any applicable bankruptcy, insolvency, or similar law now or hereafter in effect) on, the Subordinated Notes,
as and when the same will become due and payable in accordance with the terms of the Subordinated Notes; (ii) affect the relative
rights of the Holders and creditors of the Company other than the holders of the Senior Indebtedness; (iii) except as otherwise
expressly provided in this Indenture and the Subordinated Notes with respect to the limitation on the rights of the Trustee and
the Holders, to accelerate the maturity of the Subordinated Notes and pursue remedies upon such an acceleration, prevent the Holder
of any Subordinated Notes or the Trustee from exercising all remedies otherwise permitted by applicable law upon default thereunder,
subject to the rights, if any, under this Article XI of the holders of Senior Indebtedness in respect of cash, property or securities
of the Company received upon the exercise of such remedy; or (iv) prevent the application by the Trustee or any Paying Agent of
any moneys deposited with it hereunder to the payment of or on account of the principal of, or interest on, the Subordinated Notes
or prevent the receipt by the Trustee or any Paying Agent of such moneys, if, prior to the third Business Day prior to such deposit,
the Trustee or such Paying Agent did not have written notice of any event prohibiting the making of such deposit by the Company.

 

		Section 11.05	Effectuation of
Subordination Provisions.

 

Each Holder by his
acceptance of any Notes authorizes and expressly directs the Trustee on such Holder’s behalf to take such action as may be
necessary or appropriate to effectuate the Subordination Provisions, and appoints the Trustee such Holder’s attorney-in-fact
for such purposes, including, in the event of any termination, winding up, liquidation or reorganization of the Company (whether
in bankruptcy, insolvency, receivership, reorganization or similar proceedings or upon an assignment for the benefit of creditors
by the Company, a marshalling of the assets and liabilities of the Company or otherwise) tending toward the liquidation of the
property and assets of the Company, the filing of a claim for the unpaid balance of the Subordinated Notes in the form required
in those proceedings.

 

		Section 11.06	Notice to Trustee.

 

The Company will give
prompt written notice to the Trustee of any fact known to the Company that would prohibit the Company from making any payment to
or by the Trustee in respect of the Subordinated Notes in accordance with the provisions of this Article XI. The Trustee will not
be charged with the knowledge of the existence of any default or event of default with respect to any Senior Indebtedness or of
any other facts that would prohibit the making of any payment to or by the Trustee or any Paying Agent unless and until a Responsible
Officer of the Trustee has received a written notice specifying such default, event of default or other facts signed by an Authorized
Officer, or by a holder of Senior Indebtedness or a trustee or agent thereof; and prior to the receipt of any such written notice,
the Trustee will, subject to Article V of this Indenture, be entitled to assume that no such facts exist; provided that, if the
Trustee will not have received the notice provided for in this Section 11.06 at least two Business Days prior to the date
upon which, by the terms of the Indenture, any monies will become payable for any purpose (including, without limitation, the payment
of the principal of or interest on any Subordinated Note), then, notwithstanding anything herein to the contrary, the Trustee will
have full power and authority to receive any monies from the Company and to apply the same to the purpose for which they were received,
and will not be affected by any notice to the contrary that may be received by it on or after such prior date except for an acceleration
of the Subordinated Notes prior to such application. The foregoing will not apply if the Paying Agent is the Company. The Trustee
will 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 agent of, such holder) to establish that such notice has been given by a
holder of such Senior Indebtedness or a trustee or agent on behalf of any such holder.

 

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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 in accordance with this Article XI, 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 XI and, if such evidence is not furnished to the Trustee, the Trustee may defer any payment to such
Person pending such evidence being furnished to the Trustee or a judicial determination that such Person has the right to receive
such payment.

 

		Section 11.07	Trustee Knowledge
of Senior Indebtedness.

 

Notwithstanding the
provisions of this Article XI or any other provisions of this Indenture or any other supplemental indenture issued in accordance
with Article VIII of this Indenture, neither the Trustee nor any Paying Agent will be charged with knowledge of the existence of
any Senior Indebtedness or of any event that would prohibit the making of any payment of moneys to or by the Trustee or such Paying
Agent, unless and until a Responsible Officer of the Trustee or such Paying Agent has received written notice thereof from the
Company or from the holder of any Senior Indebtedness or from the representative of any such holder.

 

		Section 11.08	Senior Indebtedness
to Trustee.

 

The Trustee will be
entitled to all of the rights set forth in this Article XI in respect of any Senior Indebtedness at any time held by it in its
individual capacity to the same extent as any other holder of such Senior Indebtedness, and nothing in this Indenture or any other
supplemental indenture issued in accordance with Article VIII of this Indenture will be construed to deprive the Trustee of any
of its rights as such holder.

 

		Section 11.09	Subordination Not
Applicable to Trustee Compensation.

 

Nothing contained in
this Article XI will apply to the claims of, or payments to, the Trustee under Section 5.07 of this Indenture.

 

The Trustee hereby
accepts the trusts in this Indenture upon the terms and conditions set forth herein.

 

[Signature Page
Follows]

 

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

 

	 	MIDLAND STATES BANCORP, INC.
	 	 
	 	 
		By:	/s/ Jeffrey G. Ludwig
		Name	Jeffrey G. Ludwig
		Title	President and Chief Executive Officer

 

[Signature page to Indenture]

 

    

     

    

 

	 	UMB Bank National Association
	 	As Trustee
	 	 
	 	 
	 	By:	/s/ Mauri J. Cowen
	 	Name	Mauri J. Cowen
	 	Title	Sr. Vice President

 

[Signature page to Indenture]

 

    

     

    

 

Exhibit A-1

Form of Definitive Subordinated Notes

 

MIDLAND STATES BANCORP, INC.

 

5.50% FIXED-TO-FLOATING RATE SUBORDINATED
NOTE DUE SEPTEMBER 30, 2034

 

[THE SECURITIES REPRESENTED BY THIS INSTRUMENT
HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR SECURITIES LAWS OF
ANY STATE AND MAY NOT BE TRANSFERRED, SOLD OR OTHERWISE DISPOSED OF EXCEPT (A) PURSUANT TO, AND IN ACCORDANCE WITH, A REGISTRATION
STATEMENT THAT IS EFFECTIVE UNDER THE SECURITIES ACT AT THE TIME OF SUCH TRANSFER; (B) TO A PERSON THAT YOU REASONABLY BELIEVE
TO BE A QUALIFIED INSTITUTIONAL BUYER IN COMPLIANCE WITH RULE 144A UNDER THE SECURITIES ACT OR TO A PERSON THAT YOU REASONABLY
BELIEVE TO BE AN INSTITUTIONAL ACCREDITED INVESTOR AS DEFINED IN RULE 501(A)(1), (2), (3) OR (7) OF REGULATION D UNDER THE SECURITIES
ACT; OR (C) UNDER ANY OTHER AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT (INCLUDING, IF AVAILABLE,
THE EXEMPTION PROVIDED BY RULE 144 UNDER THE SECURITIES ACT).]

 

THE SECURITY AND THE OBLIGATIONS OF THE
COMPANY AS EVIDENCED BY THIS SUBORDINATED NOTE (1) ARE NOT A DEPOSIT AND ARE NOT INSURED BY THE FEDERAL DEPOSIT INSURANCE CORPORATION
OR ANY OTHER GOVERNMENT AGENCY OR FUND AND (2) ARE SUBORDINATE IN THE RIGHT OF PAYMENT TO ALL SENIOR INDEBTEDNESS (AS DEFINED IN
THE INDENTURE IDENTIFIED HEREIN).

 

    A-1-1

     

    

 

CERTAIN ERISA CONSIDERATIONS:

 

THE HOLDER OF THIS SUBORDINATED NOTE, OR
ANY INTEREST HEREIN, BY ITS ACCEPTANCE HEREOF OR THEREOF AGREES, REPRESENTS AND WARRANTS THAT IT IS NOT AN EMPLOYEE BENEFIT PLAN,
INDIVIDUAL RETIREMENT ACCOUNT OR OTHER PLAN OR ARRANGEMENT SUBJECT TO TITLE I OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF
1974, AS AMENDED (“ERISA”), OR SECTION 4975 OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE “CODE”)
(EACH A “PLAN”), OR AN ENTITY WHOSE UNDERLYING ASSETS INCLUDE “PLAN ASSETS” BY REASON OF ANY PLAN’S
INVESTMENT IN THE ENTITY, AND NO PERSON INVESTING “PLAN ASSETS” OF ANY PLAN MAY ACQUIRE OR HOLD THIS SUBORDINATED NOTE
OR ANY INTEREST HEREIN, UNLESS SUCH PURCHASER OR HOLDER IS ELIGIBLE FOR THE EXEMPTIVE RELIEF AVAILABLE UNDER U.S. DEPARTMENT OF
LABOR PROHIBITED TRANSACTION CLASS EXEMPTION 96-23, 95-60, 91-38, 90-1 OR 84-14 OR ANOTHER APPLICABLE EXEMPTION OR ITS PURCHASE
AND HOLDING OF THIS SUBORDINATED NOTE, OR ANY INTEREST HEREIN, ARE NOT PROHIBITED BY SECTION 406 OF ERISA OR SECTION 4975 OF THE
CODE WITH RESPECT TO SUCH PURCHASE AND HOLDING. ANY PURCHASER OR HOLDER OF THIS SUBORDINATED NOTE OR ANY INTEREST HEREIN WILL BE
DEEMED TO HAVE REPRESENTED BY ITS PURCHASE AND HOLDING THEREOF THAT EITHER: (i) IT IS NOT AN EMPLOYEE BENEFIT PLAN OR OTHER PLAN
TO WHICH TITLE I OF ERISA OR SECTION 4975 OF THE CODE IS APPLICABLE, A TRUSTEE OR OTHER PERSON ACTING ON BEHALF OF ANY SUCH EMPLOYEE
BENEFIT PLAN OR PLANS, OR ANY OTHER PERSON OR ENTITY USING THE “PLAN ASSETS” OF ANY SUCH EMPLOYEE BENEFIT PLAN OR PLAN
TO FINANCE SUCH PURCHASE OR (ii) SUCH PURCHASE OR HOLDING WILL NOT RESULT IN A PROHIBITED TRANSACTION UNDER SECTION 406 OF ERISA
OR SECTION 4975 OF THE CODE FOR WHICH FULL EXEMPTIVE RELIEF IS NOT AVAILABLE UNDER APPLICABLE STATUTORY OR ADMINISTRATIVE EXEMPTION.

 

ANY FIDUCIARY OF ANY PLAN WHO IS CONSIDERING
THE ACQUISITION OF THIS SUBORDINATED NOTE OR ANY INTEREST HEREIN SHOULD CONSULT WITH HIS OR HER LEGAL COUNSEL PRIOR TO ACQUIRING
THIS SUBORDINATED NOTE OR ANY INTEREST HEREIN.

 

    A-1-2

     

    

 

	No.2034-[●]	ACCREDITED INVESTOR CUSIP: 597742 AJ4
/ US597742AJ49

QIB CUSIP: 597742 AH8 / US597742AH82

[REGISTERED CUSIP: [●]/[●]]

 

MIDLAND STATES BANCORP, INC.

 

5.50% FIXED-TO-FLOATING RATE SUBORDINATED
NOTE DUE 2034

 

THIS OBLIGATION IS NOT A DEPOSIT AND
IS NOT INSURED BY THE FEDERAL DEPOSIT INSURANCE CORPORATION OR ANY OTHER GOVERNMENT AGENCY OR FUND.

 

1.          Indenture;
Holder. This Subordinated Note is one of a duly authorized issue of notes of Midland States Bancorp, Inc., an Illinois corporation
(the “Company”), designated as the “5.50% Fixed-to-Floating Rate Subordinated Notes due 2034” (the “Subordinated
Notes”) in an aggregate principal amount of $27,250,000 and initially issued on September 20, 2019. The Company has issued
this Subordinated Note under that certain Indenture dated as of September 20, 2019, relating to the Subordinated Notes, as the
same may be amended or supplemented from time to time (“Indenture”), between the Company and UMB Bank National Association,
a national banking association, as Trustee (the “Trustee”). All capitalized terms not otherwise defined in this Subordinated
Note will have the meanings assigned to them in the Indenture. The terms of this Subordinated Note include those stated in the
Indenture and those made part of the Indenture by reference to the Trust Indenture Act of 1939, as amended (the “Trust Indenture
Act”). This Subordinated Note is subject to all such terms, and the Holder (as defined below) is referred to the Indenture
and the Trust Indenture Act for a statement of such terms. To the extent any provision of this Subordinated Note irreconcilably
conflicts with the express provisions of the Indenture, the provisions of the Indenture will govern and be controlling.

 

2.          Payment.
The Company, for value received, promises to pay to [●], the principal sum of [●] DOLLARS (U.S.) ($[●]),
plus accrued but unpaid interest on September 30, 2034 (“Stated Maturity”) and to pay interest thereon (i) from and
including the original issue date of the Subordinated Notes, or from the most recent date to which interest has been paid or duly
provided for, to but excluding September 30, 2029, at the rate of 5.50% per annum, computed on the basis of a 360-day year consisting
of twelve 30-day months and payable semi-annually in arrears on March 30 and September 30 of each year (each, a “Fixed Interest
Payment Date”), beginning March 30, 2020, and (ii) from and including September 30, 2029 to, but excluding the Stated Maturity
or the early redemption date contemplated by Section 5 of this Subordinated Note (the “Floating Rate Period”), at the
rate per annum, reset quarterly, equal to the Floating Interest Rate (as defined below) determined on the Floating Interest Determination
Date (as defined below) of the applicable interest period plus 404.5 basis points, computed on the basis of a 360-day year and
the actual number of days elapsed and payable quarterly in arrears on March 30, June 30, September 30 and December 30 (each quarterly
period, a “Floating Interest Period”) of each year (each payment date, a “Floating Interest Payment Date”).
Dollar amounts resulting from this calculation shall be rounded to the nearest cent, with one-half cent being rounded up. The term
“Floating Interest Determination Date” means the date upon which the Floating Interest Rate is determined by the Calculation
Agent pursuant to the Three-Month Term SOFR Conventions. The Company will pay all Additional Interest (as defined in the Indenture),
if any, on the dates and in the amounts set forth in the Registration Rights Agreement (as defined in the Indenture).

 

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		(a)	An “Interest Payment Date” is either a Fixed
Interest Payment Date or a Floating Interest Payment Date, as applicable.

 

		(b)	The “Floating Interest Rate” means:

 

		(i)	initially Three-Month Term SOFR (as defined below).

 

		(ii)	Notwithstanding the foregoing clause (i) of this Section 2(b):

 

		(1)	If the Calculation Agent determines prior to the relevant Floating Interest Determination Date that a Benchmark Transition
Event and its related Benchmark Replacement Date (each of such terms as defined below) have occurred with respect to Three-Month
Term SOFR, then the Company shall promptly provide notice of such determination to the Holder and Section 2(c) will thereafter
apply to all determinations, calculations and quotations made or obtained for the purposes of calculating the Floating Interest
Rate payable on the Subordinated Notes during a relevant Floating Interest Period.

 

		(2)	However, if the Calculation Agent determines that a Benchmark Transition Event and its related Benchmark Replacement Date have
occurred with respect to Three-Month Term SOFR, but for any reason the Benchmark Replacement has not been determined as of the
relevant Floating Interest Determination Date, the Floating Interest Rate for the applicable Floating Interest Period will be equal
to the Floating Interest Rate on the last Floating Interest Determination Date for the Subordinated Notes, as determined by the
Calculation Agent.

 

		(iii)	If the then-current Benchmark is Three-Month Term SOFR and any of the foregoing provisions concerning the calculation of the
interest rate and the payment of interest during the Floating Rate Period are inconsistent with any of the Three-Month Term SOFR
Conventions (as defined below) determined by the Calculation Agent, then the relevant Three-Month Term SOFR Conventions will apply.

 

		(c)	Effect of Benchmark Transition Event.

 

		(i)	If the Calculation Agent determines that a Benchmark Transition Event and its related Benchmark Replacement Date have occurred
prior to the Reference Time (as defined below) in respect of any determination of the Benchmark (as defined below) on any date,
the Benchmark Replacement will replace the then-current Benchmark for all purposes relating to the Subordinated Notes during the
relevant Floating Interest Period in respect of such determination on such date and all determinations on all subsequent dates.

 

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		(ii)	In connection with the implementation of a Benchmark Replacement, the Company will have the right to make Benchmark Replacement
Conforming Changes from time to time.

 

		(iii)	Any determination, decision or election that may be made by the Calculation Agent pursuant to the benchmark transition provisions
set forth herein, including any determination with respect to a tenor, rate or adjustment or of the occurrence or non-occurrence
of an event, circumstance or date, and any decision to take or refrain from taking any action or any selection:

 

		(1)	will be conclusive and binding absent manifest error;

 

		(2)	if made by the Company, will be made in the Company’s sole discretion; and

 

		(3)	notwithstanding anything to the contrary in this Subordinated Note or the Indenture, shall become effective without consent
from the Holder or any other party.

 

		(iv)	For the avoidance of doubt, after a Benchmark Transition Event and its related Benchmark Replacement Date have occurred, interest
payable on this Subordinated Note for the Floating Rate Period will be an annual rate equal to the sum of the applicable Benchmark
Replacement and the spread specified on the face hereof.

 

		(v)	As used in this Subordinated Note:

 

		1.	“Benchmark” means, initially, Three-Month Term SOFR; provided that if a Benchmark Transition Event and its related
Benchmark Replacement Date have occurred with respect to Three-Month Term SOFR or the then-current Benchmark, then “Benchmark”
means the applicable Benchmark Replacement.

 

		2.	“Benchmark Replacement” means the Interpolated Benchmark with respect to the then-current Benchmark, plus the Benchmark
Replacement Adjustment for such Benchmark; provided that if (a) the Calculation Agent cannot determine the Interpolated Benchmark
as of the Benchmark Replacement Date or (b) the then-current Benchmark is Three-Month Term SOFR and a Benchmark Transition Event
and its related Benchmark Replacement Date have occurred with respect to Three-Month Term SOFR (in which event no Interpolated
Benchmark with respect to Three-Month Term SOFR shall be determined), then “Benchmark Replacement” means the first
alternative set forth in the order below that can be determined by the Calculation Agent, as of the Benchmark Replacement Date:

 

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		a.	Compounded SOFR;

 

		b.	the sum of: (i) the alternate rate of interest that has been selected or recommended by the Relevant Governmental Body
as the replacement for the then-current Benchmark for the applicable Corresponding Tenor and (ii) the Benchmark Replacement
Adjustment;

 

		c.	the sum of: (i) the ISDA Fallback Rate and (ii) the Benchmark Replacement Adjustment;

 

		d.	the sum of: (i) the alternate rate of interest that has been selected by the Company as the replacement for the then-current
Benchmark for the applicable Corresponding Tenor giving due consideration to any industry-accepted rate of interest as a replacement
for the then-current Benchmark for U.S. dollar denominated floating rate notes at such time and (ii) the Benchmark Replacement
Adjustment.

 

		3.	“Benchmark Replacement Adjustment” means the first alternative set forth in the order below that can be determined
by the Calculation Agent, as of the Benchmark Replacement Date:

 

		a.	the spread adjustment, or method for calculating or determining such spread adjustment, (which may be a positive or negative
value or zero) that has been selected or recommended by the Relevant Governmental Body for the applicable Unadjusted Benchmark
Replacement;

 

		b.	if the applicable Unadjusted Benchmark Replacement is equivalent to the ISDA Fallback Rate, then the ISDA Fallback Adjustment;

 

		c.	the spread adjustment (which may be a positive or negative value or zero) that has been selected by the Calculation Agent giving
due consideration to any industry-accepted spread adjustment, or method for calculating or determining such spread adjustment,
for the replacement of the then-current Benchmark with the applicable Unadjusted Benchmark Replacement for U.S. dollar denominated
floating rate notes at such time.

 

    A-1-6

     

    

 

		4.	“Benchmark
                                         Replacement Conforming Changes” means, with respect to any Benchmark Replacement,
                                         any technical, administrative or operational changes (including changes to the definition
                                         of “Floating Interest Period,” timing and frequency of determining rates
                                         with respect to each Floating Interest Period and making payments of interest, rounding
                                         of amounts or tenors and other administrative matters) that the Company decides may be
                                         appropriate to reflect the adoption of such Benchmark Replacement in a manner substantially
                                         consistent with market practice (or, if the Company decides that adoption of any portion
                                         of such market practice is not administratively feasible or if the Calculation Agent
                                         determines that no market practice for use of the Benchmark Replacement exists, in such
                                         other manner as the Calculation Agent determines is reasonably necessary).

 

		5.	“Benchmark Replacement Date” means the earliest to occur of the following events with respect to the then-current
Benchmark:

 

		a.	in the case of clause (a) of the definition of “Benchmark Transition Event,” the relevant Reference Time in respect
of any determination;

 

		b.	in the case of clause (b) or (c) of the definition of “Benchmark Transition Event,” the later of (i) the
date of the public statement or publication of information referenced therein and (ii) the date on which the administrator
of the Benchmark permanently or indefinitely ceases to provide the Benchmark; or

 

		c.	in the case of clause (d) of the definition of “Benchmark Transition Event,” the date of such public statement
or publication of information referenced therein.

 

For the avoidance of doubt,
if the event giving rise to the Benchmark Replacement Date occurs on the same day as, but earlier than, the Reference Time in respect
of any determination, the Benchmark Replacement Date will be deemed to have occurred prior to the Reference Time for purposes of
such determination.

 

		6.	“Benchmark Transition Event” means the occurrence of one or more of the following events with respect to the then-current
Benchmark:

 

		a.	if the Benchmark is Three-Month Term SOFR, (i) the Relevant Governmental Body has not selected or recommended a forward-looking
term rate for a tenor of three months based on SOFR, (ii) the development of a forward-looking term rate for a tenor of three months
based on SOFR that has been recommended or selected by the Relevant Governmental Body is not complete or (iii) the Calculation
Agent determines that the use of a forward-looking rate for a tenor of three months based on SOFR is not administratively feasible;

 

    A-1-7

     

    

  

		b.	a public statement or publication of information by or on behalf of the administrator of the Benchmark announcing that such
administrator has ceased or will cease to provide the Benchmark, permanently or indefinitely, provided that, at the time of such
statement or publication, there is no successor administrator that will continue to provide the Benchmark;

 

		c.	a public statement or publication of information by the regulatory supervisor for the administrator of the Benchmark, the central
bank for the currency of the Benchmark, an insolvency official with jurisdiction over the administrator for the Benchmark, a resolution
authority with jurisdiction over the administrator for the Benchmark or a court or an entity with similar insolvency or resolution
authority over the administrator for the Benchmark, which states that the administrator of the Benchmark has ceased or will cease
to provide the Benchmark permanently or indefinitely, provided that, at the time of such statement or publication, there is no
successor administrator that will continue to provide the Benchmark; or

 

		d.	a public statement or publication of information by the regulatory supervisor for the administrator of the Benchmark announcing
that the Benchmark is no longer representative.

 

		7.	“Calculation Agent” means such bank or other entity (which may be the Company or one of its Affiliates) as may
be appointed by the Company, in writing, to act as Calculation Agent for the Subordinated Notes during the Floating Rate Period,
and who has accepted such appointment in writing.

 

		8.	“Compounded SOFR” means the compounded average of SOFRs for the applicable Corresponding Tenor, with the rate,
or methodology for this rate, and conventions for this rate (which will be compounded in arrears with a lookback and/or suspension
period as a mechanism to determine the interest amount payable prior to the end of each Floating Interest Period) being established
by the Company in accordance with:

 

		a.	the rate, or methodology for this rate, and conventions for this rate selected or recommended by the Relevant Governmental
Body for determining compounded SOFR; provided that:

 

		b.	if, and to the extent that, the Calculation Agent determines that Compounded SOFR cannot be determined in accordance with clause
(a) above, then the rate, or methodology for this rate, and conventions for this rate that have been selected by the Company
or its designee giving due consideration to any industry-accepted market practice for U.S. dollar denominated floating rate notes
at such time.

 

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For the avoidance of doubt,
the calculation of Compounded SOFR will exclude the Benchmark Replacement Adjustment.

 

		9.	“Corresponding Tenor” with respect to a Benchmark Replacement means a tenor (including overnight) having approximately
the same length (disregarding Business Day adjustment) as the applicable tenor for the then-current Benchmark.

 

		10.	“FRBNY” means the Federal Reserve Bank of New York.

 

		11.	“FRBNY’s Website” means the website of the FRBNY at http://www.newyorkfed.org or any successor source.

 

		12.	“Interpolated Benchmark” with respect to the Benchmark means the rate determined for the Corresponding Tenor by
interpolating on a linear basis between: (1) the Benchmark for the longest period (for which the Benchmark is available) that
is shorter than the Corresponding Tenor and (2) the Benchmark for the shortest period (for which the Benchmark is available)
that is longer than the Corresponding Tenor.

 

		13.	“ISDA” means the International Swaps and Derivatives Association, Inc. or any successor thereto.

 

		14.	“ISDA Definitions” means the 2006 ISDA Definitions published by the ISDA or any successor thereto, as amended or
supplemented from time to time, or any successor definitional booklet for interest rate derivatives published from time to time.

 

		15.	“ISDA Fallback Adjustment” means the spread adjustment (which may be a positive or negative value or zero) that
would apply for derivatives transactions referencing the ISDA Definitions to be determined upon the occurrence of an index cessation
event with respect to the Benchmark for the applicable tenor.

 

		16.	“ISDA Fallback Rate” means the rate that would apply for derivatives transactions referencing the ISDA Definitions
to be effective upon the occurrence of an index cessation date with respect to the Benchmark for the applicable tenor excluding
the applicable ISDA Fallback Adjustment.

 

		17.	“Reference Time” with respect to any determination of a Benchmark means (1) if the Benchmark is Three-Month Term
SOFR, the time determined by the Calculation Agent after giving effect to the Three-Month Term SOFR Conventions, and (2) if the
Benchmark is not Three-Month Term SOFR, the time determined by the Calculation Agent after giving effect to the Benchmark Replacement
Conforming Changes.

 

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		18.	“Relevant Governmental Body” means the Federal Reserve Board and/or the FRBNY, or a committee officially endorsed
or convened by the Federal Reserve Board and/or the FRBNY or any successor thereto.

 

		19.	“SOFR” means the daily Secured Overnight Financing Rate provided by the FRBNY, as the administrator of the benchmark
(or a successor administrator), on the FRBNY’s Website.

 

		20.	“Term SOFR” means the forward-looking term rate based on SOFR that has been selected or recommended by the Relevant
Governmental Body.

 

		21.	“Term SOFR Administrator” means any entity designated by the Relevant Governmental Body as the administrator of
Term SOFR (or a successor administrator).

 

		22.	“Three-Month Term SOFR” means the greater of (i) the rate for Term SOFR for a tenor of three months that is published
by the Term SOFR Administrator at the Reference Time for any Floating Interest Period, as determined by the Calculation Agent after
giving effect to the Three-Month Term SOFR Conventions; and (ii) zero percent (0.00%).

 

		23.	“Three-Month Term SOFR Conventions” means any determination, decision or election by the Calculation Agent with
respect to any technical, administrative or operational matter (including with respect to the manner and timing of the publication
of Three-Month Term SOFR, or changes to the definition of “Floating Interest Period”, timing and frequency of determining
Three-Month Term SOFR with respect to each Floating Interest Period and making payments of interest, rounding of amounts or tenors,
and other administrative matters) that the Calculation Agent decides may be appropriate to reflect the use of Three-Month Term
SOFR as the Benchmark in a manner substantially consistent with market practice (or, if the Company decides that adoption of any
portion of such market practice is not administratively feasible or if the Calculation Agent determines that no market practice
for the use of Three-Month Term SOFR exists, in such other manner as the Calculation Agent determines is reasonably necessary).

 

		24.	“Unadjusted Benchmark Replacement” means the Benchmark Replacement excluding the Benchmark Replacement Adjustment.

 

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(d)       In
the event that any Fixed Interest Payment Date during the Fixed Rate Period falls on a day that is not a Business Day (as defined
below), the dividend payment due on that date shall be postponed to the next day that is a Business Day and no additional dividends
shall accrue as a result of that postponement. In the event that any Floating Interest Payment Date during the Floating Rate Period
falls on a day that is not a Business Day (as defined below), the dividend payment due on that date shall be postponed to the next
day that is a Business Day and dividends shall accrue to but excluding the date dividends are paid. However, if the postponement
would cause the day to fall in the next calendar month during the Floating Interest Period, the Floating Interest Payment Date
shall instead be brought forward to the immediately preceding Business Day. The term “Business Day” means any day other
than a Saturday or Sunday or any other day on which banking institutions in the State of Illinois or State of New York are generally
authorized or required by law or executive order to be closed.

 

The Company will pay
interest on this Subordinated Note to the Person who is the registered Holder at the close of business on the fifteenth calendar
day prior to the applicable Interest Payment Date, except as provided in Section 2.10 of the Indenture with respect to Defaulted
Interest. This Subordinated Note will be payable as to principal and interest at the office or agency of the Paying Agent, or,
at the option of the Company, payment of interest may be made by check delivered to the Holder at its address set forth in the
Subordinated Note Register or by wire transfer to an account appropriately designated by the Person entitled to payment; provided,
that the Paying Agent will have received written notice of such account designation at least five Business Days prior to the
date of such payment (subject to surrender of this Subordinated Note in the case of a payment of interest at Maturity).

 

3.          Paying
Agent and Registrar. The Trustee will act as the initial Paying Agent and Registrar through its offices presently located at
[●]. The Company may change any Paying Agent or Registrar without notice to any Holder. The Company or any of its
Subsidiaries may act in any such capacity.

 

4.          Subordination.
The indebtedness of the Company evidenced by this Subordinated Note, including the principal thereof and interest thereon, is,
to the extent and in the manner set forth in the Indenture, subordinate and junior in right of payment to obligations of the Company
constituting the Senior Indebtedness (as defined in the Indenture) on the terms and subject to the terms and conditions as provided
and set forth in Article XI of the Indenture and will rank pari passu in right of payment with all other Subordinated Notes.
Holder, by the acceptance of this Subordinated Note, agrees to and will be bound by such provisions of the Indenture and authorizes
and directs the Trustee on his behalf to take such actions as may be necessary or appropriate to effectuate the subordination so
provided.

 

5.          Redemption.

 

(a)          The
Company may, at its option, on any Interest Payment Date on or after September 30, 2029, redeem this Subordinated Note, in whole
or in part, without premium or penalty, but in all cases in a principal amount with integral multiples of $1,000. In addition,
the Company may redeem all, but not a portion of the Subordinated Notes, at any time upon the occurrence of a Tier 2 Capital Event,
Tax Event or an Investment Company Event. Any redemption of this Subordinated Note shall be subject to the prior approval of the
Board of Governors of the Federal Reserve System (or its designee) or any successor agency, and any other bank regulatory agency,
to the extent such approval shall then be required by law, regulation or policy. This Subordinated Note is not subject to redemption
at the option of the Holder. The Redemption Price with respect to any redemption permitted under this Indenture will be equal to
100% of the principal amount of this Subordinated Note, or portion thereof, to be redeemed, plus accrued but unpaid interest and
Additional Interest, if any, thereon to, but excluding, the Redemption Date.

 

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(b)          If
less than the then outstanding principal amount of this Subordinated Note is redeemed, (i) a new note shall be issued representing
the unredeemed portion without charge to the Holder thereof and (ii) such redemption shall be effected on a pro rata basis as to
the Holder. For purposes of clarity, upon a partial redemption, a like percentage of the principal amount of every Subordinated
Note held by every Holder shall be redeemed.

 

(c)          Effectiveness
of Redemption. If notice of redemption has been duly given and notwithstanding that any Subordinated Notes so called for redemption
have not been surrendered for cancellation, on and after the Redemption Date interest shall cease to accrue on all Subordinated
Notes so called for redemption, all Subordinated Notes so called for redemption shall no longer be deemed outstanding and all rights
with respect to such Subordinated Notes shall forthwith on such Redemption Date cease and terminate (unless the Company shall default
in the payment of the redemption price), except only the right of the Holder thereof to receive the amount payable on such redemption,
without interest.

 

6.          Events
of Default; Acceleration. An “Event of Default” means any one of the events described in Section 4.01 of the Indenture.
If an Event of Default described in Section 4.01(1) or Section 4.01(2) of the Indenture occurs, then the principal amount of all
of the Outstanding Subordinated Notes, and accrued and unpaid interest, if any, on all Outstanding Subordinated Notes will become
and be immediately due and payable without any declaration or other act on the part of the Trustee or the Holder, and the Company
waives demand, presentment for payment, notice of nonpayment, notice of protest, and all other notices. Notwithstanding the foregoing,
because the Company will treat the Subordinated Notes as Tier 2 Capital, upon the occurrence of an Event of Default other than
an Event of Default described in Section 4.01(1) or Section 4.01(2) of the Indenture, neither the Trustee nor the Holder may accelerate
the Maturity of the Subordinated Notes and make the principal of, and any accrued and unpaid interest on, the Subordinated Notes,
immediately due and payable. If any Event of Default occurs and is continuing, the Trustee may also pursue any other available
remedy to collect the payment of principal of, and interest on, the Subordinated Notes then due and payable or to enforce the performance
of any provision of the Subordinated Notes or the Indenture.

 

7.          Failure
to Make Payments. If the Company fails to make any payment of interest on this Subordinated Note when such interest becomes
due and payable and such default continues for a period of 30 days, or if the Company fails to make any payment of the principal
of this Subordinated Note when such principal becomes due and payable, the Company will, upon demand of the Trustee, pay to the
Trustee, for the benefit of the Holder, the whole amount then due and payable with respect to this Subordinated Note, with interest
upon the overdue principal, any premium and, to the extent permitted by applicable law, upon any overdue installments of interest
at the rate or respective rates, as the case may be, provided for or with respect to this Subordinated Note or, if no such rate
or rates are so provided, at the rate or respective rates, as the case may be, of interest borne by this Subordinated Note.

 

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Upon an Event of Default,
the Company may not declare or pay any dividends or distributions on, or redeem, purchase, acquire, or make a liquidation payment
with respect to, any of the Company’s capital stock, make any payment of principal or interest or premium, if any, on or
repay, repurchase or redeem any debt securities of the Company that rank equal with or junior to this Subordinated Note, or make
any payments under any guarantee that ranks equal with or junior to this Subordinated Note, other than: (i) any dividends or distributions
in shares of, or options, warrants or rights to subscribe for or purchase shares of, any class of Company’s common stock;
(ii) any declaration of a dividend in connection with the implementation of a shareholders’ rights plan, or the issuance
of stock under any such plan in the future, or the redemption or repurchase of any such rights pursuant thereto; (iii) as a result
of a reclassification of Company’s capital stock or the exchange or conversion of one class or series of Company’s
capital stock for another class or series of Company’s capital stock; (iv) the purchase of fractional interests in shares
of Company’s capital stock in accordance with the conversion or exchange provisions of such capital stock or the security
being converted or exchanged; or (v) purchases of any class of Company’s common stock related to the issuance of common stock
or rights under any benefit plans for Company’s directors, officers or employees or any of Company’s dividend reinvestment
plans.

 

8.          Denominations,
Transfer, Exchange. The Subordinated Notes are issuable only in registered form without interest coupons in minimum denominations
of $1,000 and integral multiples of $1,000 in excess thereof. The transfer of this Subordinated Note may be registered and this
Subordinated Note may be exchanged as provided in the Indenture. The Registrar may require the Holder, among other things, to furnish
appropriate endorsements and transfer documents and the Company may require the Holder to pay any taxes and fees required by law
or permitted by the Indenture.

 

9.          Charges
and Transfer Taxes. No service charge will be made for any registration of transfer or exchange of this Subordinated Note,
or any redemption or repayment of this Subordinated Note, or any conversion or exchange of this Subordinated Note for other types
of securities or property, but the Company may require payment of a sum sufficient to pay all taxes, assessments or other governmental
charges that may be imposed in connection with the transfer or exchange of this Subordinated Note from the Holder requesting such
transfer or exchange.

 

10.         Persons
Deemed Owners. The Company and the Trustee and any agent of the Company or the Trustee may treat the Person in whose name this
Subordinated Note is registered as the owner hereof for all purposes, whether or not this Subordinated Note is overdue, and neither
the Company, the Trustee nor any such agent will be affected by notice to the contrary.

 

11.        Amendments;
Waivers. The Indenture permits, with certain exceptions as therein provided, the amendment thereof and the modification of
the rights and obligations of the Company and the rights of the Holders of the Subordinated Notes at any time by the Company and
the Trustee with the consent of the holders of a majority in principal amount of the then Outstanding Subordinated Notes. The
Indenture also contains provisions permitting the holders of specified percentages in principal amount of the then Outstanding
Subordinated Notes, on behalf of the holders of all Subordinated Notes, to waive certain past defaults under the Indenture and
their consequences. Any such consent or waiver by the Holder of this Subordinated Note will be conclusive and binding upon such
Holder and upon all future holders of this Subordinated Note and of any Subordinated Note issued upon the registration of transfer
hereof or in exchange herefor or in lieu hereof, whether or not notation of such consent or waiver is made upon this Subordinated
Note.

 

    A-1-13

     

    

  

12.        No
Impairment. No reference herein to the Indenture and no provision of this Subordinated Note or of the Indenture will alter
or impair the obligation of the Company, which is absolute and unconditional, to pay the principal of and interest (if any) and
Additional Interest on this Subordinated Note at the times, place and rate as herein prescribed.

 

13.        Sinking
Fund; Convertibility. This Subordinated Note is not entitled to the benefit of any sinking fund. This Subordinated Note is
not convertible into or exchangeable for any of the equity securities, other securities or assets of the Company or any Subsidiary.

 

14.        No
Recourse Against Others. No recourse under or upon any obligation, covenant or agreement contained in the Indenture or in
this Subordinated Note, or for any claim based thereon or otherwise in respect thereof, will be had against any past, present
or future shareholder, employee, officer, or director, as such, of the Company or of any predecessor or successor, either directly
or through the Company or any predecessor or successor, under any rule of law, statute or constitutional provision or by the enforcement
of any assessment or by any legal or equitable proceeding or otherwise, all such liability being expressly waived and released
by the acceptance of this Subordinated Note by the Holder and as part of the consideration for the issuance of this Subordinated
Note.

 

15.        Authentication.
This Subordinated Note will not be valid until authenticated by the manual signature of the Trustee or an Authenticating Agent.

 

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

 

17.        Available
Information. The Company will furnish to the Holder upon written request and without charge a copy of the Indenture. Requests
by the Holder to the Company may be made to: Midland States Bancorp, Inc., 1201 Network Centre Drive, Effingham, Illinois 62401,
Attention: Douglas J. Tucker, Corporate Counsel.

 

18.        Governing
Law. THIS SUBORDINATED NOTE WILL BE DEEMED TO BE A CONTRACT MADE UNDER THE LAWS OF THE STATE OF NEW YORK AND WILL BE GOVERNED
BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK WITHOUT GIVING EFFECT TO ANY LAWS OR PRINCIPLES OF CONFLICT
OF LAWS THAT WOULD APPLY THE LAWS OF A DIFFERENT JURISDICTION.

 

[Signature page follows]

 

    A-1-14

     

    

  

IN WITNESS WHEREOF, the undersigned has
caused this Subordinated Note to be duly executed.

 

	 	MIDLAND STATES BANCORP, INC.
	 	 	 	 
	 	By:	 
	 	 	Name:	Jeffrey G. Ludwig
	 	 	Title:	Chief Executive Officer and President

 

[Signature page to Certificate of Authentication]

  

    

     

    

 

TRUSTEE’S CERTIFICATE OF AUTHENTICATION

 

This is one of the
Subordinated Notes of Midland States Bancorp, Inc., referred to in the within-mentioned Indenture:

 

	UMB BANK NATIONAL ASSOCIATION,	 
	a national banking association, as Trustee	 
	 	 	 
	By:		 
	Name: 	 	 
	Title:	 	 
	Dated: 	 	 

 

[Signature page to Certificate of Authentication]

 

    

     

    

 

ASSIGNMENT FORM

 

To assign this Subordinated Note, fill
in the form below: (I) or (we) assign and transfer this Subordinated Note to:

 

 

 

 

(Print or type assignee’s name, address
and zip code)

 

 

 

 

(Insert assignee’s social security
or tax I.D. No.)

 

and irrevocably appoint _______________________ agent to transfer
this Subordinated Note on the books of the Company. The agent may substitute another to act for him.

 

	Date:	 	 	Your signature:	 
	 	 	 	(Sign exactly as your name appears on the face of this Subordinated Note)
	 	 	 	 	 
	 	 	 	Tax Identification No:	 

 

	Signature Guarantee:	 

(Signatures must be guaranteed by an eligible
guarantor institution (banks, stockbrokers, savings and loan associations and credit unions with membership in an approved signature
guarantee medallion program), pursuant to Exchange Act Rule 17Ad-15).

 

The undersigned certifies
that it [is / is not] an Affiliate of the Company and that, to its knowledge, the proposed transferee [is / is not] an Affiliate
of the Company.

 

In connection with
any transfer or exchange of this Subordinated Note occurring prior to the date that is one year after the later of the date of
original issuance of this Subordinated Note and the last date, if any, on which this Subordinated Note was owned by the Company
or any Affiliate of the Company, the undersigned confirms that this Subordinated Note is being:

 

CHECK ONE BOX BELOW:

 

 ̈     (1)     acquired
for the undersigned’s own account, without transfer;

 

 ̈     (2)     transferred
to the Company;

 

 ̈     (3)     transferred
in accordance and in compliance with Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”);

 

 ̈     (4)     transferred
under an effective registration statement under the Securities Act;

 

    A-1-17

     

    

  

 ̈     (5)     transferred
in accordance with and in compliance with Regulation S under the Securities Act;

 

 ̈     (6)    transferred
to an institutional “accredited investor” (as defined in Rule 501(a)(1), (2), (3) or (7) under the Securities Act)
or an “accredited investor” (as defined in Rule 501(a)(4) under the Securities Act), that has furnished a signed letter
containing certain representations and agreements; or

 

 ̈     (7)     transferred
in accordance with another available exemption from the registration requirements of the Securities Act of 1933, as amended.

 

Unless one of the boxes is checked, the
Paying Agent will refuse to register this Subordinated Note in the name of any person other than the registered Holder thereof;
provided, however, that if box (5), (6) or (7) is checked, the Paying Agent may require, prior to registering any such transfer
of this Subordinated Note, in its sole discretion, such legal opinions, certifications and other information as the Paying Agent
may reasonably request to confirm that such transfer is being made pursuant to an exemption from, or in a transaction not subject
to, the registration requirements of the Securities Act such as the exemption provided by Rule 144 under such Act.

 

	 	Signature:	 

 

	Signature Guarantee:	 

(Signatures must be guaranteed by an eligible
guarantor institution (banks, stockbrokers, savings and loan associations and credit unions with membership in an approved signature
guarantee medallion program), pursuant to Exchange Act Rule 17Ad-15).

 

TO BE COMPLETED BY PURCHASER IF BOX (1)
OR (3) ABOVE IS CHECKED.

 

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

 

	Date:	 	 	Signature:	 

 

    A-1-18

     

    

  

Exhibit A-2

Form of Global Subordinated Notes

 

MIDLAND STATES BANCORP, INC.

 

5.50% FIXED-TO-FLOATING RATE SUBORDINATED
NOTE DUE SEPTEMBER 30, 2034

 

[THE SECURITIES REPRESENTED BY THIS INSTRUMENT
HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR SECURITIES LAWS OF
ANY STATE AND MAY NOT BE TRANSFERRED, SOLD OR OTHERWISE DISPOSED OF EXCEPT (A) PURSUANT TO, AND IN ACCORDANCE WITH, A REGISTRATION
STATEMENT THAT IS EFFECTIVE UNDER THE SECURITIES ACT AT THE TIME OF SUCH TRANSFER; (B) TO A PERSON THAT YOU REASONABLY BELIEVE
TO BE A QUALIFIED INSTITUTIONAL BUYER IN COMPLIANCE WITH RULE 144A UNDER THE SECURITIES ACT OR TO A PERSON THAT YOU REASONABLY
BELIEVE TO BE AN INSTITUTIONAL ACCREDITED INVESTOR AS DEFINED IN RULE 501(A)(1), (2), (3) OR (7) OF REGULATION D UNDER THE SECURITIES
ACT; OR (C) UNDER ANY OTHER AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT (INCLUDING, IF AVAILABLE,
THE EXEMPTION PROVIDED BY RULE 144 UNDER THE SECURITIES ACT).]

 

THIS SUBORDINATED NOTE IS A GLOBAL SUBORDINATED
NOTE WITHIN THE MEANING OF THE INDENTURE HEREINAFTER REFERRED TO AND IS REGISTERED IN THE NAME OF CEDE & CO AS NOMINEE OF THE
DEPOSITORY TRUST COMPANY (“DTC”) OR A NOMINEE OF DTC. THIS SUBORDINATED NOTE IS EXCHANGEABLE FOR SUBORDINATED NOTES
REGISTERED IN THE NAME OF A PERSON OTHER THAN DTC OR ITS NOMINEE ONLY IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE,
AND NO TRANSFER OF THIS SUBORDINATED NOTE (OTHER THAN A TRANSFER OF THIS SUBORDINATED NOTE AS A WHOLE BY DTC TO A NOMINEE OF DTC
OR BY A NOMINEE OF DTC TO DTC OR ANOTHER NOMINEE OF DTC) MAY BE REGISTERED EXCEPT IN LIMITED CIRCUMSTANCES SPECIFIED IN THE INDENTURE.

 

UNLESS THIS SUBORDINATED NOTE IS PRESENTED
BY AN AUTHORIZED REPRESENTATIVE OF DTC TO THE COMPANY OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE, OR PAYMENT, AND ANY
SUBORDINATED NOTE 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 HEREON 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.

 

    A-2-1

     

    

  

TRANSFERS OF THIS SUBORDINATED NOTE WILL
BE LIMITED TO TRANSFERS IN WHOLE, BUT NOT IN PART, TO NOMINEES OF DTC OR A SUCCESSOR THEREOF OR SUCH SUCCESSOR’S NOMINEE
AND TRANSFERS OF PORTIONS OF THIS SUBORDINATED NOTE WILL BE LIMITED TO TRANSFERS MADE IN ACCORDANCE WITH RESTRICTIONS SET FORTH
IN THE INDENTURE IDENTIFIED HEREIN.

 

THE SECURITY AND THE OBLIGATIONS OF THE
COMPANY AS EVIDENCED BY THIS SUBORDINATED NOTE (1) ARE NOT A DEPOSIT AND ARE NOT INSURED BY THE FEDERAL DEPOSIT INSURANCE CORPORATION
OR ANY OTHER GOVERNMENT AGENCY OR FUND AND (2) ARE SUBORDINATE IN THE RIGHT OF PAYMENT TO ALL SENIOR INDEBTEDNESS (AS DEFINED IN
THE INDENTURE IDENTIFIED HEREIN).

 

CERTAIN ERISA CONSIDERATIONS:

 

THE HOLDER OF THIS SUBORDINATED NOTE, OR
ANY INTEREST HEREIN, BY ITS ACCEPTANCE HEREOF OR THEREOF AGREES, REPRESENTS AND WARRANTS THAT IT IS NOT AN EMPLOYEE BENEFIT PLAN,
INDIVIDUAL RETIREMENT ACCOUNT OR OTHER PLAN OR ARRANGEMENT SUBJECT TO TITLE I OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF
1974, AS AMENDED (“ERISA”), OR SECTION 4975 OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE “CODE”)
(EACH A “PLAN”), OR AN ENTITY WHOSE UNDERLYING ASSETS INCLUDE “PLAN ASSETS” BY REASON OF ANY PLAN’S
INVESTMENT IN THE ENTITY, AND NO PERSON INVESTING “PLAN ASSETS” OF ANY PLAN MAY ACQUIRE OR HOLD THIS SUBORDINATED NOTE
OR ANY INTEREST HEREIN, UNLESS SUCH PURCHASER OR HOLDER IS ELIGIBLE FOR THE EXEMPTIVE RELIEF AVAILABLE UNDER U.S. DEPARTMENT OF
LABOR PROHIBITED TRANSACTION CLASS EXEMPTION 96-23, 95-60, 91-38, 90-1 OR 84-14 OR ANOTHER APPLICABLE EXEMPTION OR ITS PURCHASE
AND HOLDING OF THIS SUBORDINATED NOTE, OR ANY INTEREST HEREIN, ARE NOT PROHIBITED BY SECTION 406 OF ERISA OR SECTION 4975 OF THE
CODE WITH RESPECT TO SUCH PURCHASE AND HOLDING. ANY PURCHASER OR HOLDER OF THIS SUBORDINATED NOTE OR ANY INTEREST HEREIN WILL BE
DEEMED TO HAVE REPRESENTED BY ITS PURCHASE AND HOLDING THEREOF THAT EITHER: (i) IT IS NOT AN EMPLOYEE BENEFIT PLAN OR OTHER PLAN
TO WHICH TITLE I OF ERISA OR SECTION 4975 OF THE CODE IS APPLICABLE, A TRUSTEE OR OTHER PERSON ACTING ON BEHALF OF ANY SUCH EMPLOYEE
BENEFIT PLAN OR PLANS, OR ANY OTHER PERSON OR ENTITY USING THE “PLAN ASSETS” OF ANY SUCH EMPLOYEE BENEFIT PLAN OR PLAN
TO FINANCE SUCH PURCHASE OR (ii) SUCH PURCHASE OR HOLDING WILL NOT RESULT IN A PROHIBITED TRANSACTION UNDER SECTION 406 OF ERISA
OR SECTION 4975 OF THE CODE FOR WHICH FULL EXEMPTIVE RELIEF IS NOT AVAILABLE UNDER APPLICABLE STATUTORY OR ADMINISTRATIVE EXEMPTION.

 

ANY FIDUCIARY OF ANY PLAN WHO IS CONSIDERING
THE ACQUISITION OF THIS SUBORDINATED NOTE OR ANY INTEREST HEREIN SHOULD CONSULT WITH HIS OR HER LEGAL COUNSEL PRIOR TO ACQUIRING
THIS SUBORDINATED NOTE OR ANY INTEREST HEREIN.

 

    A-2-2

     

    

  

	No. 2034-[Ÿ]	 	ACCREDITED INVESTOR CUSIP: 597742 AJ4 / US597742AJ49
	 	 	QIB CUSIP: 597742 AH8 / US597742AH82
		 	[REGISTERED CUSIP: [Ÿ]/[Ÿ]]

 

MIDLAND STATES BANCORP, INC.

 

5.50% FIXED-TO-FLOATING RATE SUBORDINATED
NOTE DUE 2034

 

THIS OBLIGATION IS NOT A DEPOSIT AND
IS NOT INSURED BY THE FEDERAL DEPOSIT INSURANCE CORPORATION OR ANY OTHER GOVERNMENT AGENCY OR FUND.

 

1.          Indenture;
Holder. This Subordinated Note is one of a duly authorized issue of notes of Midland States Bancorp, Inc., an Illinois corporation
(the “Company”), designated as the “5.50% Fixed-to-Floating Rate Subordinated Notes due 2034” (the “Subordinated
Notes”) in an aggregate principal amount of $27,250,000 and initially issued on September 20, 2019. The Company has issued
this Subordinated Note under that certain Indenture dated as of September 20, 2019, relating to the Subordinated Notes, as the
same may be amended or supplemented from time to time (“Indenture”), between the Company and UMB Bank National Association,
a national banking association, as Trustee (the “Trustee”). All capitalized terms not otherwise defined in this Subordinated
Note will have the meanings assigned to them in the Indenture. The terms of this Subordinated Note include those stated in the
Indenture and those made part of the Indenture by reference to the Trust Indenture Act of 1939, as amended (the “Trust Indenture
Act”). This Subordinated Note is subject to all such terms, and the Holder (as defined below) is referred to the Indenture
and the Trust Indenture Act for a statement of such terms. To the extent any provision of this Subordinated Note irreconcilably
conflicts with the express provisions of the Indenture, the provisions of the Indenture will govern and be controlling.

 

2.          Payment.
The Company, for value received, promises to pay to Cede & Co., or its registered assigns (the “Holder”), as nominee
of The Depository Trust Company, the principal sum of [Ÿ] DOLLARS (U.S.) ($[Ÿ]), plus accrued but unpaid
interest on September 30, 2034 (“Stated Maturity”) and to pay interest thereon (i) from and including the original
issue date of the Subordinated Notes, or from the most recent date to which interest has been paid or duly provided for, to but
excluding September 30, 2029, at the rate of 5.50% per annum, computed on the basis of a 360-day year consisting of twelve 30-day
months and payable semi-annually in arrears on March 30 and September 30 of each year (each, a “Fixed Interest Payment Date”),
beginning March 30, 2020, and (ii) from and including September 30, 2029 to, but excluding the Stated Maturity or the early redemption
date contemplated by Section 5 of this Subordinated Note (the “Floating Rate Period”), at the rate per annum, reset
quarterly, equal to the Floating Interest Rate (as defined below) determined on the Floating Interest Determination Date (as defined
below) of the applicable interest period plus 404.5 basis points, computed on the basis of a 360-day year and the actual number
of days elapsed and payable quarterly in arrears on March 30, June 30, September 30 and December 30 (each quarterly period, a “Floating
Interest Period”) of each year (each payment date, a “Floating Interest Payment Date”). Dollar amounts resulting
from this calculation shall be rounded to the nearest cent, with one-half cent being rounded up. The term “Floating Interest
Determination Date” means the date upon which the Floating Interest Rate is determined by the Calculation Agent pursuant
to the Three-Month Term SOFR Conventions. The Company will pay all Additional Interest (as defined in the Indenture), if any, on
the dates and in the amounts set forth in the Registration Rights Agreement (as defined in the Indenture).

 

    A-2-3

     

    

  

(a)           An “Interest
Payment Date” is either a Fixed Interest Payment Date or a Floating Interest Payment Date, as applicable.

 

(b)           The
“Floating Interest Rate” means:

 

		(i)	initially Three-Month Term SOFR (as defined below).

 

		(ii)	Notwithstanding the foregoing clause (i) of this Section 2(b):

 

		(1)	If the Calculation Agent determines prior to the relevant Floating Interest Determination Date that a Benchmark Transition
Event and its related Benchmark Replacement Date (each of such terms as defined below) have occurred with respect to Three-Month
Term SOFR, then the Company shall promptly provide notice of such determination to the Holder and Section 2(c) will thereafter
apply to all determinations, calculations and quotations made or obtained for the purposes of calculating the Floating Interest
Rate payable on the Subordinated Notes during a relevant Floating Interest Period.

 

		(2)	However, if the Calculation Agent determines that a Benchmark Transition Event and its related Benchmark Replacement Date have
occurred with respect to Three-Month Term SOFR, but for any reason the Benchmark Replacement has not been determined as of the
relevant Floating Interest Determination Date, the Floating Interest Rate for the applicable Floating Interest Period will be equal
to the Floating Interest Rate on the last Floating Interest Determination Date for the Subordinated Notes, as determined by the
Calculation Agent.

 

		(iii)	If the then-current Benchmark is Three-Month Term SOFR and any of the foregoing provisions concerning the calculation of the
interest rate and the payment of interest during the Floating Rate Period are inconsistent with any of the Three-Month Term SOFR
Conventions (as defined below) determined by the Calculation Agent, then the relevant Three-Month Term SOFR Conventions will apply.

 

(c)           Effect
of Benchmark Transition Event.

 

		(i)	If the Calculation Agent determines that a Benchmark Transition Event and its related Benchmark Replacement Date have occurred
prior to the Reference Time (as defined below) in respect of any determination of the Benchmark (as defined below) on any date,
the Benchmark Replacement will replace the then-current Benchmark for all purposes relating to the Subordinated Notes during the
relevant Floating Interest Period in respect of such determination on such date and all determinations on all subsequent dates.

 

    A-2-4

     

    

  

		(ii)	In connection with the implementation of a Benchmark Replacement, the Company will have the right to make Benchmark Replacement
Conforming Changes from time to time.

 

		(iii)	Any determination, decision or election that may be made by the Calculation Agent pursuant to the benchmark transition provisions
set forth herein, including any determination with respect to a tenor, rate or adjustment or of the occurrence or non-occurrence
of an event, circumstance or date, and any decision to take or refrain from taking any action or any selection:

 

		(1)	will be conclusive and binding absent manifest error;

 

		(2)	if made by the Company, will be made in the Company’s sole discretion; and

 

		(3)	notwithstanding anything to the contrary in this Subordinated Note or the Indenture, shall become effective without consent
from the Holder or any other party.

 

		(iv)	For the avoidance of doubt, after a Benchmark Transition Event and its related Benchmark Replacement Date have occurred, interest
payable on this Subordinated Note for the Floating Rate Period will be an annual rate equal to the sum of the applicable Benchmark
Replacement and the spread specified on the face hereof.

 

		(v)	As used in this Subordinated Note:

 

		1.	“Benchmark” means, initially, Three-Month Term SOFR; provided that if a Benchmark Transition Event and its related
Benchmark Replacement Date have occurred with respect to Three-Month Term SOFR or the then-current Benchmark, then “Benchmark”
means the applicable Benchmark Replacement.

 

		2.	“Benchmark Replacement” means the Interpolated Benchmark with respect to the then-current Benchmark, plus the Benchmark
Replacement Adjustment for such Benchmark; provided that if (a) the Calculation Agent cannot determine the Interpolated Benchmark
as of the Benchmark Replacement Date or (b) the then-current Benchmark is Three-Month Term SOFR and a Benchmark Transition Event
and its related Benchmark Replacement Date have occurred with respect to Three-Month Term SOFR (in which event no Interpolated
Benchmark with respect to Three-Month Term SOFR shall be determined), then “Benchmark Replacement” means the first
alternative set forth in the order below that can be determined by the Calculation Agent, as of the Benchmark Replacement Date:

 

    A-2-5

     

    

  

		a.	Compounded SOFR;

 

		b.	the sum of: (i) the alternate rate of interest that has been selected or recommended by the Relevant Governmental Body
as the replacement for the then-current Benchmark for the applicable Corresponding Tenor and (ii) the Benchmark Replacement
Adjustment;

 

		c.	the sum of: (i) the ISDA Fallback Rate and (ii) the Benchmark Replacement Adjustment;

 

		d.	the sum of: (i) the alternate rate of interest that has been selected by the Company as the replacement for the then-current
Benchmark for the applicable Corresponding Tenor giving due consideration to any industry-accepted rate of interest as a replacement
for the then-current Benchmark for U.S. dollar denominated floating rate notes at such time and (ii) the Benchmark Replacement
Adjustment.

 

		3.	“Benchmark Replacement Adjustment” means the first alternative set forth in the order below that can be determined
by the Calculation Agent, as of the Benchmark Replacement Date:

 

		a.	the spread adjustment, or method for calculating or determining such spread adjustment, (which may be a positive or negative
value or zero) that has been selected or recommended by the Relevant Governmental Body for the applicable Unadjusted Benchmark
Replacement;

 

		b.	if the applicable Unadjusted Benchmark Replacement is equivalent to the ISDA Fallback Rate, then the ISDA Fallback Adjustment;

 

		c.	the spread adjustment (which may be a positive or negative value or zero) that has been selected by the Calculation Agent giving
due consideration to any industry-accepted spread adjustment, or method for calculating or determining such spread adjustment,
for the replacement of the then-current Benchmark with the applicable Unadjusted Benchmark Replacement for U.S. dollar denominated
floating rate notes at such time.

 

    A-2-6

     

    

  

		4.	“Benchmark Replacement Conforming Changes” means, with respect to any Benchmark Replacement, any technical, administrative
or operational changes (including changes to the definition of “Floating Interest Period,” timing and frequency of
determining rates with respect to each Floating Interest Period and making payments of interest, rounding of amounts or tenors
and other administrative matters) that the Company decides may be appropriate to reflect the adoption of such Benchmark Replacement
in a manner substantially consistent with market practice (or, if the Company decides that adoption of any portion of such market
practice is not administratively feasible or if the Calculation Agent determines that no market practice for use of the Benchmark
Replacement exists, in such other manner as the Calculation Agent determines is reasonably necessary).

 

		5.	“Benchmark Replacement Date” means the earliest to occur of the following events with respect to the then-current
Benchmark:

 

		a.	in the case of clause (a) of the definition of “Benchmark Transition Event,” the relevant Reference Time in respect
of any determination;

 

		b.	in the case of clause (b) or (c) of the definition of “Benchmark Transition Event,” the later of (i) the
date of the public statement or publication of information referenced therein and (ii) the date on which the administrator
of the Benchmark permanently or indefinitely ceases to provide the Benchmark; or

 

		c.	in the case of clause (d) of the definition of “Benchmark Transition Event,” the date of such public statement
or publication of information referenced therein.

 

For the avoidance of doubt,
if the event giving rise to the Benchmark Replacement Date occurs on the same day as, but earlier than, the Reference Time in respect
of any determination, the Benchmark Replacement Date will be deemed to have occurred prior to the Reference Time for purposes of
such determination.

 

		6.	“Benchmark Transition Event” means the occurrence of one or more of the following events with respect to the then-current
Benchmark:

 

		a.	if the Benchmark is Three-Month Term SOFR, (i) the Relevant Governmental Body has not selected or recommended a forward-looking
term rate for a tenor of three months based on SOFR, (ii) the development of a forward-looking term rate for a tenor of three months
based on SOFR that has been recommended or selected by the Relevant Governmental Body is not complete or (iii) the Calculation
Agent determines that the use of a forward-looking rate for a tenor of three months based on SOFR is not administratively feasible;

 

		b.	a public statement or publication of information by or on behalf of the administrator of the Benchmark announcing that such
administrator has ceased or will cease to provide the Benchmark, permanently or indefinitely, provided that, at the time of such
statement or publication, there is no successor administrator that will continue to provide the Benchmark;

 

    A-2-7

     

    

 

		c.	a public statement or publication of information by the regulatory supervisor for the administrator of the Benchmark, the central
bank for the currency of the Benchmark, an insolvency official with jurisdiction over the administrator for the Benchmark, a resolution
authority with jurisdiction over the administrator for the Benchmark or a court or an entity with similar insolvency or resolution
authority over the administrator for the Benchmark, which states that the administrator of the Benchmark has ceased or will cease
to provide the Benchmark permanently or indefinitely, provided that, at the time of such statement or publication, there is no
successor administrator that will continue to provide the Benchmark; or

 

		d.	a public statement or publication of information by the regulatory supervisor for the administrator of the Benchmark announcing
that the Benchmark is no longer representative.

 

		7.	“Calculation Agent” means such bank or other entity (which may be the Company or one of its Affiliates) as may
be appointed by the Company, in writing, to act as Calculation Agent for the Subordinated Notes during the Floating Rate Period,
and who has accepted such appointment in writing.

 

		8.	“Compounded SOFR” means the compounded average of SOFRs for the applicable Corresponding Tenor, with the rate,
or methodology for this rate, and conventions for this rate (which will be compounded in arrears with a lookback and/or suspension
period as a mechanism to determine the interest amount payable prior to the end of each Floating Interest Period) being established
by the Company in accordance with:

 

		a.	the rate, or methodology for this rate, and conventions for this rate selected or recommended by the Relevant Governmental
Body for determining compounded SOFR; provided that:

 

		b.	if, and to the extent that, the Calculation Agent determines that Compounded SOFR cannot be determined in accordance with clause
(a) above, then the rate, or methodology for this rate, and conventions for this rate that have been selected by the Company
or its designee giving due consideration to any industry-accepted market practice for U.S. dollar denominated floating rate notes
at such time.

 

    A-2-8

     

    

 

For the avoidance of doubt,
the calculation of Compounded SOFR will exclude the Benchmark Replacement Adjustment.

 

		9.	“Corresponding Tenor” with respect to a Benchmark Replacement means a tenor (including overnight) having approximately
the same length (disregarding Business Day adjustment) as the applicable tenor for the then-current Benchmark.

 

		10.	“FRBNY” means the Federal Reserve Bank of New York.

 

		11.	“FRBNY’s Website” means the website of the FRBNY at http://www.newyorkfed.org or any successor source.

 

		12.	“Interpolated Benchmark” with respect to the Benchmark means the rate determined for the Corresponding Tenor by
interpolating on a linear basis between: (1) the Benchmark for the longest period (for which the Benchmark is available) that
is shorter than the Corresponding Tenor and (2) the Benchmark for the shortest period (for which the Benchmark is available)
that is longer than the Corresponding Tenor.

 

		13.	“ISDA” means the International Swaps and Derivatives Association, Inc. or any successor thereto.

 

		14.	“ISDA Definitions” means the 2006 ISDA Definitions published by the ISDA or any successor thereto, as amended or
supplemented from time to time, or any successor definitional booklet for interest rate derivatives published from time to time.

 

		15.	“ISDA Fallback Adjustment” means the spread adjustment (which may be a positive or negative value or zero) that
would apply for derivatives transactions referencing the ISDA Definitions to be determined upon the occurrence of an index cessation
event with respect to the Benchmark for the applicable tenor.

 

		16.	“ISDA Fallback Rate” means the rate that would apply for derivatives transactions referencing the ISDA Definitions
to be effective upon the occurrence of an index cessation date with respect to the Benchmark for the applicable tenor excluding
the applicable ISDA Fallback Adjustment.

 

		17.	“Reference Time” with respect to any determination of a Benchmark means (1) if the Benchmark is Three-Month Term
SOFR, the time determined by the Calculation Agent after giving effect to the Three-Month Term SOFR Conventions, and (2) if the
Benchmark is not Three-Month Term SOFR, the time determined by the Calculation Agent after giving effect to the Benchmark Replacement
Conforming Changes.

 

    A-2-9

     

    

 

		18.	“Relevant Governmental Body” means the Federal Reserve Board and/or the FRBNY, or a committee officially endorsed
or convened by the Federal Reserve Board and/or the FRBNY or any successor thereto.

 

		19.	“SOFR” means the daily Secured Overnight Financing Rate provided by the FRBNY, as the administrator of the benchmark
(or a successor administrator), on the FRBNY’s Website.

 

		20.	“Term SOFR” means the forward-looking term rate based on SOFR that has been selected or recommended by the Relevant
Governmental Body.

 

		21.	“Term SOFR Administrator” means any entity designated by the Relevant Governmental Body as the administrator of
Term SOFR (or a successor administrator).

 

		22.	“Three-Month Term SOFR” means the greater of (i) the rate for Term SOFR for a tenor of three months that is published
by the Term SOFR Administrator at the Reference Time for any Floating Interest Period, as determined by the Calculation Agent after
giving effect to the Three-Month Term SOFR Conventions; and (ii) zero percent (0.00%).

 

		23.	“Three-Month Term SOFR Conventions” means any determination, decision or election by the Calculation Agent with
respect to any technical, administrative or operational matter (including with respect to the manner and timing of the publication
of Three-Month Term SOFR, or changes to the definition of “Floating Interest Period”, timing and frequency of determining
Three-Month Term SOFR with respect to each Floating Interest Period and making payments of interest, rounding of amounts or tenors,
and other administrative matters) that the Calculation Agent decides may be appropriate to reflect the use of Three-Month Term
SOFR as the Benchmark in a manner substantially consistent with market practice (or, if the Company decides that adoption of any
portion of such market practice is not administratively feasible or if the Calculation Agent determines that no market practice
for the use of Three-Month Term SOFR exists, in such other manner as the Calculation Agent determines is reasonably necessary).

 

		24.	“Unadjusted Benchmark Replacement” means the Benchmark Replacement excluding the Benchmark Replacement Adjustment.

 

    A-2-10

     

    

 

(d)       In
the event that any Fixed Interest Payment Date during the Fixed Rate Period falls on a day that is not a Business Day (as defined
below), the dividend payment due on that date shall be postponed to the next day that is a Business Day and no additional dividends
shall accrue as a result of that postponement. In the event that any Floating Interest Payment Date during the Floating Rate Period
falls on a day that is not a Business Day (as defined below), the dividend payment due on that date shall be postponed to the next
day that is a Business Day and dividends shall accrue to but excluding the date dividends are paid. However, if the postponement
would cause the day to fall in the next calendar month during the Floating Interest Period, the Floating Interest Payment Date
shall instead be brought forward to the immediately preceding Business Day. The term “Business Day” means any day other
than a Saturday or Sunday or any other day on which banking institutions in the State of Illinois or State of New York are generally
authorized or required by law or executive order to be closed.

 

The Company will pay
interest on this Subordinated Note to the Person who is the registered Holder at the close of business on the fifteenth calendar
day prior to the applicable Interest Payment Date, except as provided in Section 2.10 of the Indenture with respect to Defaulted
Interest. This Subordinated Note will be payable as to principal and interest at the office or agency of the Paying Agent, or,
at the option of the Company, payment of interest may be made by check delivered to the Holder at its address set forth in the
Subordinated Note Register or by wire transfer to an account appropriately designated by the Person entitled to payment; provided,
that the Paying Agent will have received written notice of such account designation at least five Business Days prior to the
date of such payment (subject to surrender of this Subordinated Note in the case of a payment of interest at Maturity).

 

3.         Paying
Agent and Registrar. The Trustee will act as the initial Paying Agent and Registrar through its offices presently located at
[●]. The Company may change any Paying Agent or Registrar without notice to any Holder. The Company or any of its
Subsidiaries may act in any such capacity.

 

4.         Subordination.
The indebtedness of the Company evidenced by this Subordinated Note, including the principal thereof and interest thereon, is,
to the extent and in the manner set forth in the Indenture, subordinate and junior in right of payment to obligations of the Company
constituting the Senior Indebtedness (as defined in the Indenture) on the terms and subject to the terms and conditions as provided
and set forth in Article XI of the Indenture and will rank pari passu in right of payment with all other Subordinated Notes.
Holder, by the acceptance of this Subordinated Note, agrees to and will be bound by such provisions of the Indenture and authorizes
and directs the Trustee on his behalf to take such actions as may be necessary or appropriate to effectuate the subordination so
provided.

 

5.         Redemption.

 

(a)           The
Company may, at its option, on any Interest Payment Date on or after September 30, 2029, redeem this Subordinated Note, in whole
or in part, without premium or penalty, but in all cases in a principal amount with integral multiples of $1,000. In addition,
the Company may redeem all, but not a portion of the Subordinated Notes, at any time upon the occurrence of a Tier 2 Capital Event,
Tax Event or an Investment Company Event. Any redemption of this Subordinated Note shall be subject to the prior approval of the
Board of Governors of the Federal Reserve System (or its designee) or any successor agency, and any other bank regulatory agency,
to the extent such approval shall then be required by law, regulation or policy. This Subordinated Note is not subject to redemption
at the option of the Holder. The Redemption Price with respect to any redemption permitted under this Indenture will be equal to
100% of the principal amount of this Subordinated Note, or portion thereof, to be redeemed, plus accrued but unpaid interest and
Additional Interest, if any, thereon to, but excluding, the Redemption Date.

 

    A-2-11

     

    

 

(b)           If
less than the then outstanding principal amount of this Subordinated Note is redeemed, (i) a new note shall be issued representing
the unredeemed portion without charge to the Holder thereof and (ii) such redemption shall be effected on a pro rata basis as to
the Holder. For purposes of clarity, upon a partial redemption, a like percentage of the principal amount of every Subordinated
Note held by every Holder shall be redeemed.

 

(c)            Effectiveness
of Redemption. If notice of redemption has been duly given and notwithstanding that any Subordinated Notes so called for redemption
have not been surrendered for cancellation, on and after the Redemption Date interest shall cease to accrue on all Subordinated
Notes so called for redemption, all Subordinated Notes so called for redemption shall no longer be deemed outstanding and all rights
with respect to such Subordinated Notes shall forthwith on such Redemption Date cease and terminate (unless the Company shall default
in the payment of the redemption price), except only the right of the Holder thereof to receive the amount payable on such redemption,
without interest.

 

6.         Events
of Default; Acceleration. An “Event of Default” means any one of the events described in Section 4.01 of the Indenture.
If an Event of Default described in Section 4.01(1) or Section 4.01(2) of the Indenture occurs, then the principal amount of all
of the Outstanding Subordinated Notes, and accrued and unpaid interest, if any, on all Outstanding Subordinated Notes will become
and be immediately due and payable without any declaration or other act on the part of the Trustee or the Holder, and the Company
waives demand, presentment for payment, notice of nonpayment, notice of protest, and all other notices. Notwithstanding the foregoing,
because the Company will treat the Subordinated Notes as Tier 2 Capital, upon the occurrence of an Event of Default other than
an Event of Default described in Section 4.01(1) or Section 4.01(2) of the Indenture, neither the Trustee nor the Holder may accelerate
the Maturity of the Subordinated Notes and make the principal of, and any accrued and unpaid interest on, the Subordinated Notes,
immediately due and payable. If any Event of Default occurs and is continuing, the Trustee may also pursue any other available
remedy to collect the payment of principal of, and interest on, the Subordinated Notes then due and payable or to enforce the performance
of any provision of the Subordinated Notes or the Indenture.

 

7.         Failure
to Make Payments. If the Company fails to make any payment of interest on this Subordinated Note when such interest becomes
due and payable and such default continues for a period of 30 days, or if the Company fails to make any payment of the principal
of this Subordinated Note when such principal becomes due and payable, the Company will, upon demand of the Trustee, pay to the
Trustee, for the benefit of the Holder, the whole amount then due and payable with respect to this Subordinated Note, with interest
upon the overdue principal, any premium and, to the extent permitted by applicable law, upon any overdue installments of interest
at the rate or respective rates, as the case may be, provided for or with respect to this Subordinated Note or, if no such rate
or rates are so provided, at the rate or respective rates, as the case may be, of interest borne by this Subordinated Note.

 

    A-2-12

     

    

 

Upon an Event of Default,
the Company may not declare or pay any dividends or distributions on, or redeem, purchase, acquire, or make a liquidation payment
with respect to, any of the Company’s capital stock, make any payment of principal or interest or premium, if any, on or
repay, repurchase or redeem any debt securities of the Company that rank equal with or junior to this Subordinated Note, or make
any payments under any guarantee that ranks equal with or junior to this Subordinated Note, other than: (i) any dividends or distributions
in shares of, or options, warrants or rights to subscribe for or purchase shares of, any class of Company’s common stock;
(ii) any declaration of a dividend in connection with the implementation of a shareholders’ rights plan, or the issuance
of stock under any such plan in the future, or the redemption or repurchase of any such rights pursuant thereto; (iii) as a result
of a reclassification of Company’s capital stock or the exchange or conversion of one class or series of Company’s
capital stock for another class or series of Company’s capital stock; (iv) the purchase of fractional interests in shares
of Company’s capital stock in accordance with the conversion or exchange provisions of such capital stock or the security
being converted or exchanged; or (v) purchases of any class of Company’s common stock related to the issuance of common stock
or rights under any benefit plans for Company’s directors, officers or employees or any of Company’s dividend reinvestment
plans.

  

8.         Denominations,
Transfer, Exchange. The Subordinated Notes are issuable only in registered form without interest coupons in minimum denominations
of $1,000 and integral multiples of $1,000 in excess thereof. The transfer of this Subordinated Note may be registered and this
Subordinated Note may be exchanged as provided in the Indenture. The Registrar may require the Holder, among other things, to furnish
appropriate endorsements and transfer documents and the Company may require the Holder to pay any taxes and fees required by law
or permitted by the Indenture.

 

9.         Charges
and Transfer Taxes. No service charge will be made for any registration of transfer or exchange of this Subordinated Note,
or any redemption or repayment of this Subordinated Note, or any conversion or exchange of this Subordinated Note for other types
of securities or property, but the Company may require payment of a sum sufficient to pay all taxes, assessments or other governmental
charges that may be imposed in connection with the transfer or exchange of this Subordinated Note from the Holder requesting such
transfer or exchange.

 

10.       Persons
Deemed Owners. The Company and the Trustee and any agent of the Company or the Trustee may treat the Person in whose name this
Subordinated Note is registered as the owner hereof for all purposes, whether or not this Subordinated Note is overdue, and neither
the Company, the Trustee nor any such agent will be affected by notice to the contrary.

 

11.       Amendments;
Waivers. The Indenture permits, with certain exceptions as therein provided, the amendment thereof and the modification of
the rights and obligations of the Company and the rights of the Holders of the Subordinated Notes at any time by the Company and
the Trustee with the consent of the holders of a majority in principal amount of the then Outstanding Subordinated Notes. The Indenture
also contains provisions permitting the holders of specified percentages in principal amount of the then Outstanding Subordinated
Notes, on behalf of the holders of all Subordinated Notes, to waive certain past defaults under the Indenture and their consequences.
Any such consent or waiver by the Holder of this Subordinated Note will be conclusive and binding upon such Holder and upon all
future holders of this Subordinated Note and of any Subordinated Note issued upon the registration of transfer hereof or in exchange
herefor or in lieu hereof, whether or not notation of such consent or waiver is made upon this Subordinated Note.

 

    A-2-13

     

    

 

12.       No
Impairment. No reference herein to the Indenture and no provision of this Subordinated Note or of the Indenture will alter
or impair the obligation of the Company, which is absolute and unconditional, to pay the principal of and interest (if any) and
Additional Interest on this Subordinated Note at the times, place and rate as herein prescribed.

 

13.       Sinking
Fund; Convertibility. This Subordinated Note is not entitled to the benefit of any sinking fund. This Subordinated Note is
not convertible into or exchangeable for any of the equity securities, other securities or assets of the Company or any Subsidiary.

 

14.       No
Recourse Against Others. No recourse under or upon any obligation, covenant or agreement contained in the Indenture or in this
Subordinated Note, or for any claim based thereon or otherwise in respect thereof, will be had against any past, present or future
shareholder, employee, officer, or director, as such, of the Company or of any predecessor or successor, either directly or through
the Company or any predecessor or successor, under any rule of law, statute or constitutional provision or by the enforcement of
any assessment or by any legal or equitable proceeding or otherwise, all such liability being expressly waived and released by
the acceptance of this Subordinated Note by the Holder and as part of the consideration for the issuance of this Subordinated Note.

 

15.       Authentication.
This Subordinated Note will not be valid until authenticated by the manual signature of the Trustee or an Authenticating Agent.

 

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

 

17.       Available
Information. The Company will furnish to the Holder upon written request and without charge a copy of the Indenture. Requests
by the Holder to the Company may be made to: Midland States Bancorp, Inc., 1201 Network Centre Drive, Effingham, Illinois 62401,
Attention: Douglas J. Tucker, Corporate Counsel.

 

18.       Governing
Law. THIS SUBORDINATED NOTE WILL BE DEEMED TO BE A CONTRACT MADE UNDER THE LAWS OF THE STATE OF NEW YORK AND WILL BE GOVERNED
BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK WITHOUT GIVING EFFECT TO ANY LAWS OR PRINCIPLES OF CONFLICT
OF LAWS THAT WOULD APPLY THE LAWS OF A DIFFERENT JURISDICTION.

 

[Signature page follows]

 

    A-2-14

     

    

 

IN WITNESS WHEREOF, the undersigned has
caused this Subordinated Note to be duly executed.

 

	 	MIDLAND STATES BANCORP, INC.
	 	 	 	 
	 	By:	 
	 	 	Name:	Jeffrey G. Ludwig
	 	 	Title:	Chief Executive Officer and President

 

[Signature page to Subordinated Note]

 

    

     

    

 

TRUSTEE’S CERTIFICATE OF AUTHENTICATION

 

This is one of the
Subordinated Notes of Midland States Bancorp, Inc., referred to in the within-mentioned Indenture:

 

	UMB BANK NATIONAL ASSOCIATION,
	a national banking association, as Trustee
	 
	By:	 	 
	Name:
	Title:
	Dated:    

 

[Signature page to Certificate of Authentication]

 

    

     

    

 

ASSIGNMENT FORM

 

To assign this Subordinated Note, fill
in the form below: (I) or (we) assign and transfer this Subordinated Note to:

 

	 

 

(Print or type assignee’s name, address
and zip code)

 

	 

 

(Insert assignee’s social security
or tax I.D. No.)

 

and irrevocably appoint _______________________ agent to transfer
this Subordinated Note on the books of the Company. The agent may substitute another to act for him.

 

	Date:	 	 	Your signature:	 
	 	 	 	(Sign exactly as your name appears on the face of this Subordinated Note)
	 	 	 	 	 
	 	 	 	Tax Identification No:	 

 

	Signature Guarantee:	 

(Signatures must be guaranteed by an eligible
guarantor institution (banks, stockbrokers, savings and loan associations and credit unions with membership in an approved signature
guarantee medallion program), pursuant to Exchange Act Rule 17Ad-15).

 

The undersigned certifies
that it [is / is not] an Affiliate of the Company and that, to its knowledge, the proposed transferee [is / is not] an Affiliate
of the Company.

 

In connection with
any transfer or exchange of this Subordinated Note occurring prior to the date that is one year after the later of the date of
original issuance of this Subordinated Note and the last date, if any, on which this Subordinated Note was owned by the Company
or any Affiliate of the Company, the undersigned confirms that this Subordinated Note is being:

 

CHECK ONE BOX BELOW:

 

		 ̈	(1)  	acquired for the undersigned’s own account, without transfer;

 

		 ̈	(2) 	transferred to the Company;

 

		 ̈	(3)   	transferred in accordance and in compliance with Rule 144A under the Securities Act of 1933, as amended (the “Securities
Act”);

 

		 ̈	(4)   	transferred under an effective registration statement under the Securities Act;

 

    A-2-17

     

    

 

		 ̈	(5)  	transferred in accordance with and in compliance with Regulation S under the Securities Act;

 

		 ̈	(6)   	transferred to an institutional “accredited investor” (as defined in Rule 501(a)(1), (2), (3) or (7) under the
Securities Act) or an “accredited investor” (as defined in Rule 501(a)(4) under the Securities Act), that has furnished
a signed letter containing certain representations and agreements; or

 

		 ̈	(7) 	transferred in accordance with another available exemption from the registration requirements of the Securities
Act of 1933, as amended.

 

Unless one of the boxes is checked, the
Paying Agent will refuse to register this Subordinated Note in the name of any person other than the registered Holder thereof;
provided, however, that if box (5), (6) or (7) is checked, the Paying Agent may require, prior to registering any such transfer
of this Subordinated Note, in its sole discretion, such legal opinions, certifications and other information as the Paying Agent
may reasonably request to confirm that such transfer is being made pursuant to an exemption from, or in a transaction not subject
to, the registration requirements of the Securities Act such as the exemption provided by Rule 144 under such Act.

 

	 	Signature:	 

 

	Signature Guarantee:	 

(Signatures must be guaranteed by an eligible
guarantor institution (banks, stockbrokers, savings and loan associations and credit unions with membership in an approved signature
guarantee medallion program), pursuant to Exchange Act Rule 17Ad-15).

 

TO BE COMPLETED BY PURCHASER IF BOX (1)
OR (3) ABOVE IS CHECKED.

 

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

 

	Date:	 	 	Signature:	 

 

    A-2-18

     

    

 

SCHEDULE OF INCREASES OR DECREASES IN GLOBAL
SUBORDINATED NOTE

 

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

 

	Date of 
Exchange	 	Amount of 
decrease in 
principal  amount 
of this Global

 Subordinated 
Note	 	Amount of 
increase in 
principal amount 
of this Global 
Subordinated Note	 	Principal amount 
of this Global 
Subordinated Note

 following 
such decrease or 
increase	 	Signature of 
authorized officer 
of Trustee or 
Notes Custodian
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 

 

    A-2-19Exhibit 4.5

 

FORM
OF REGISTRATION RIGHTS AGREEMENT

 

This REGISTRATION RIGHTS
AGREEMENT (the “Agreement”) is dated as of September 20, 2019 and is made by and among Midland States Bancorp,
Inc., an Illinois corporation (the “Company”), and the several purchasers identified on the signature pages
hereto (collectively, the “Purchasers”).

 

This Agreement is made
pursuant to the Subordinated Note Purchase Agreement, dated September 20, 2019 by and among the Company and the Purchasers
(the “Purchase Agreement”), which provides for the sale by the Company of $72,750,000 aggregate principal amount
of the Company’s 5.00% Fixed-to-Floating Rate Subordinated Notes due 2029 (the “2029 Notes”) to certain
of the Purchasers, and $27,250,000 aggregate principal amount of the Company’s 5.50% Fixed-to-Floating Rate Subordinated
Notes due 2034 (the “2034 Notes” and, together with the 2029 Notes, the “Subordinated Notes,”
and each, a “Series” of Subordinated Notes) to certain of the Purchasers. To induce the Purchasers to enter
into the Purchase Agreement and in satisfaction of a condition to the Purchasers’ obligations thereunder, the Company has
agreed to provide to the Purchasers and their respective direct and indirect transferees and assigns the registration rights set
forth in this Agreement.

 

In consideration of
the foregoing, the parties hereto agree as follows:

 

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

 

“1933 Act”
shall mean the Securities Act of 1933, as amended from time to time, and the rules and regulations of the SEC promulgated thereunder.

 

“1934 Act”
shall mean the Securities Exchange Act of 1934, as amended from time to time, and the rules and regulations of the SEC promulgated
thereunder.

 

“2029 Indenture”
shall mean the Indenture, dated as of the date hereof, by and between the Company and UMB Bank National Association, as trustee,
under which the 2029 Notes are to be issued, as the same may be amended or supplemented from time to time in accordance with the
terms thereof.

 

“2029 Notes”
shall have the meaning specified in the preamble to this Agreement.

 

“2034 Indenture”
shall mean the Indenture, dated as of the date hereof, by and between the Company and UMB Bank National Association, as trustee,
under which the 2034 Notes are to be issued, as the same may be amended or supplemented from time to time in accordance with the
terms thereof.

 

“2034 Notes”
shall have the meaning specified in the preamble to this Agreement.

 

“Additional
Interest” shall have the meaning set forth in Section 2(e) hereof.

 

“Agreement”
shall have the meaning set forth in the preamble to this Agreement.

 

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

 

“Closing Date”
shall mean the date of this Agreement.

 

“Company”
shall have the meaning set forth in the preamble to this Agreement and also includes the Company’s successors.

 

“Depositary”
shall mean The Depository Trust Company, or any other depositary appointed by the Company, including any agent thereof; provided,
however, that any such depositary must at all times have an address in the Borough of Manhattan, The City of New York.

 

    

     

    

 

“Event Date”
shall have the meaning set forth in Section 2(e).

 

“Exchange
Offer” shall mean, with respect to any Series, the exchange offer by the Company of Exchange Notes for Registrable Notes
of such Series pursuant to Section 2(a) hereof.

 

“Exchange
Offer Registration” shall mean a registration under the 1933 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) covering the Registrable Notes, and all amendments and supplements to such registration statement, in
each case including the Prospectus contained therein, all exhibits thereto and all material incorporated or deemed to be incorporated
by reference therein.

 

“Exchange
Notes” shall mean: (a) with respect to the 2029 Notes, the 5.00% Fixed-to-Floating Rate Subordinated Notes due 2029
issued by the Company under the Indenture containing terms substantially identical to the 2029 Notes, and (b) with respect
to the 2034 Notes, the 5.50% Fixed-to-Floating Rate Subordinated Notes due 2034 issued by the Company under the Indenture containing
terms substantially identical to the 2034 Notes, except, in each case, that (i) provisions relating to an increase in the
stated rate of interest thereon upon the occurrence of a Registration Default shall be eliminated, and (ii) the transfer restrictions
and legends relating to restrictions on ownership and transfer thereof as a result of the issuance of the Subordinated Notes without
registration under the 1933 Act shall be eliminated, and in each case to be offered to Holders of Registrable Notes of such Series
in exchange for Registrable Notes of such Series pursuant to the Exchange Offer.

 

“FINRA”
shall mean the Financial Industry Regulatory Authority, Inc.

 

“Holders”
shall mean (i) the Purchasers, and each of their respective successors, assigns and direct and indirect transferees who become
registered owners of Registrable Notes under the Indenture, in each case for so long as they own any Registrable Notes and (ii) each
Participating Broker-Dealer that holds Exchange Notes for so long as such Participating Broker-Dealer is required to deliver a
prospectus meeting the requirements of the 1933 Act in connection with any resale of such Exchange Notes.

 

“Indentures”
shall mean the 2029 Indenture and the 2034 Indenture.

 

“Majority
Holders” shall mean the Holders of a majority of the aggregate principal amount of Registrable Notes outstanding, treated
for purposes of this definition as one class; provided that, for purposes of this definition, whenever the consent or approval
of Holders of a specified percentage of Registrable Notes is required hereunder, Registrable Notes held by the Company or any of
its affiliates (as such term is defined in Rule 405 under the 1933 Act) shall not be deemed to be outstanding.

 

“Notifying
Broker-Dealer” shall have the meaning set forth in Section 3(f).

 

“Participating
Broker-Dealer” shall have the meaning set forth in Section 3(f).

 

“Person”
shall mean an individual, partnership, joint venture, 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 Notes covered by a Shelf Registration Statement, and by all other amendments and supplements
to a prospectus, including post-effective amendments, and in each case including all material incorporated or deemed to be incorporated
by reference therein.

 

“Purchase
Agreement” shall have the meaning set forth in the preamble to this Agreement.

 

“Purchasers”
shall have the meaning set forth in the preamble of this Agreement.

 

    2

     

    

 

“Registrable
Notes” shall mean the Subordinated Notes; provided, however, that any Subordinated Notes shall cease to
be Registrable Notes when (i) a Registration Statement with respect to such Subordinated Notes shall have been declared effective
under the 1933 Act and such Subordinated Notes shall have been exchanged or disposed of pursuant to such Registration Statement,
(ii) such Subordinated Notes shall have been sold to the public pursuant to Rule 144 (or any similar provision then in force,
but not Rule 144A) under the 1933 Act, or are eligible to be resold pursuant to Rule 144 without regard to the public information
requirements thereunder, (iii) such Subordinated Notes shall have ceased to be outstanding, or (iv) except for Subordinated
Notes that are ineligible to be exchanged in the Exchange Offer, when the Exchange Offer is consummated.

 

“Registration
Default” shall have the meaning set forth in Section 2(e).

 

“Registration
Expenses” shall mean any and all reasonable expenses incident to performance of or compliance by the Company with this
Agreement, including without limitation: (i) all SEC, stock exchange or FINRA registration and filing fees, (ii) all
fees and expenses incurred in connection with compliance with state or other securities or blue sky laws and compliance with the
rules of FINRA (including reasonable fees and disbursements of one counsel for any Holders in connection with qualification of
any of the Exchange Notes or Registrable Notes under state or other securities or blue sky laws and any filing with and review
by FINRA), (iii) all expenses of any Persons in preparing, printing and distributing any Registration Statement, any Prospectus,
any amendments or supplements thereto, securities sales agreements, certificates representing the Subordinated Notes or Exchange
Notes and other documents relating to the performance of and compliance with this Agreement, (iv) all rating agency fees,
(v) all fees and expenses incurred in connection with the listing, if any, of any of the Subordinated Notes or Exchange Notes
on any securities exchange or exchanges or on any quotation system, (vi) all fees and disbursements relating to the qualification
of the Indenture under applicable securities laws, (vii) the fees and disbursements of counsel for the Company and the fees
and expenses of independent public accountants for the Company or for any other Person, business or assets whose financial statements
are included in any Registration Statement or Prospectus, including the expenses of any special audits or “comfort letters
required by or incident to such performance and compliance, and (viii) the fees and expenses of the Trustee, any registrar,
any depositary, any paying agent, any escrow agent or any custodian, in each case including fees and disbursements of their respective
counsel, but excluding any underwriting discounts and commissions, brokerage commissions and transfer taxes, if any, relating to
the sale or disposition of Registrable Securities by a Holder.

 

“Registration
Statement” shall mean any registration statement of the Company relating to any offering of the Exchange Notes or Registrable
Notes pursuant to the provisions of this Agreement (including, without limitation, any Exchange Offer Registration Statement and
any Shelf Registration Statement), 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 all material incorporated or deemed
to be incorporated by reference therein.

 

“SEC”
shall mean the Securities and Exchange Commission or any successor thereto.

 

“Series”
shall have the meaning specified in the preamble to this Agreement.

 

“Shelf Registration”
shall mean a registration effected pursuant to Section 2(b) hereof.

 

“Shelf Registration
Event” shall have the meaning set forth in Section 2(b) hereof.

 

“Shelf Registration
Statement” shall mean a “shelf” registration statement of the Company pursuant to the provisions of Section 2(b)
of this Agreement which covers all of the Registrable Notes, as the case may be, on an appropriate form under Rule 415 under the
1933 Act, or any similar rule that may be adopted by the SEC, and all amendments and supplements to such registration statement,
including post-effective amendments, in each case including the Prospectus contained therein, all exhibits thereto and all material
incorporated or deemed to be incorporated by reference therein.

 

“Subordinated
Notes” shall have the meaning set forth in the preamble to this Agreement.

 

    3

     

    

 

“TIA”
shall mean the Trust Indenture Act of 1939, as amended from time to time, and the rules and regulations of the SEC promulgated
thereunder.

 

“Trustee”
shall mean the trustee with respect to the Subordinated Notes and the Exchange Notes under the Indenture.

 

For purposes of this
Agreement, (i) all references in this Agreement to any Registration Statement, preliminary prospectus or Prospectus or any
amendment or supplement to any of the foregoing shall be deemed to include the copy filed with the SEC pursuant to its Electronic
Data Gathering, Analysis and Retrieval system; (ii) all references in this Agreement to financial statements and schedules
and other information which is “contained,” “included” or “stated” in any Registration Statement,
preliminary prospectus or Prospectus (or other references of like import) shall be deemed to mean and include all such financial
statements and schedules and other information which is incorporated or deemed to be incorporated by reference in such Registration
Statement, preliminary prospectus or Prospectus, as the case may be; (iii) all references in this Agreement to amendments
or supplements to any Registration Statement, preliminary prospectus or Prospectus shall be deemed to mean and include the filing
of any document under the 1934 Act which is incorporated or deemed to be incorporated by reference in such Registration Statement,
preliminary prospectus or Prospectus, as the case may be; (iv) all references in this Agreement to Rule 144, Rule 144A, Rule
405 or Rule 415 under the 1933 Act, and all references to any sections or subsections thereof or terms defined therein,
shall in each case include any successor provisions thereto; and (v) all references in this Agreement to days (but not to
Business Days) shall mean calendar days.

 

		2.	Registration Under the 1933 Act.

 

(a)          Exchange Offer Registration. The Company shall (A) use its commercially reasonable efforts to file with
the SEC on or prior to the 90th day after the Closing Date an Exchange Offer Registration Statement covering the offer by the Company
to the Holders to exchange all of the Registrable Notes of each Series for a like aggregate principal amount of Exchange Notes
with respect to such Series, (B) use its commercially reasonable efforts to cause such Exchange Offer Registration Statement
to be declared effective by the SEC no later than the 120th day after the Closing Date, (C) use its commercially reasonable
efforts to cause such Registration Statement to remain effective until the closing of the Exchange Offer and (D) use its commercially
reasonable efforts to consummate the Exchange Offer no later than 45 days after the effective date of the Exchange Offer Registration
Statement. Upon the effectiveness of the Exchange Offer Registration Statement, the Company shall promptly commence the Exchange
Offer.

 

In connection with
the Exchange Offer, the Company shall:

 

(i)          promptly
mail or otherwise transmit, in compliance with the applicable procedures of the depositary for such Registrable Notes, to each
Holder a copy of the Prospectus forming part of the Exchange Offer Registration Statement, together with an appropriate letter
of transmittal and related documents;

 

(ii)         keep
the Exchange Offer open for not less than 20 Business Days (or longer if required by applicable law) after the date notice thereof
is mailed to the Holders and, during the Exchange Offer, offer to all Holders who are legally eligible to participate in the Exchange
Offer the opportunity to exchange their Registrable Notes for Exchange Notes;

 

(iii)        use
the services of a depositary with an address in the Borough of Manhattan, City of New York for the Exchange Offer;

 

(iv)        permit
Holders to withdraw tendered Registrable Notes at any time prior to the close of business, Eastern time, on the last Business
Day on which the Exchange Offer shall remain open, by sending to the institution and at the address specified in the Prospectus
or the related letter of transmittal or related documents a facsimile transmission or letter setting forth the name of such Holder,
the principal amount of Registrable Notes delivered for exchange, and a statement that such Holder is withdrawing its election
to have such Subordinated Notes exchanged, and otherwise complying with the applicable procedures of the Depositary;

 

    4

     

    

 

(v)         notify
each Holder that any Registrable Security not tendered will remain outstanding and continue to accrue interest, but will not retain
any rights under this Agreement (except in the case of Participating Broker-Dealers as provided herein); and

 

(vi)        otherwise
comply in all material respects with all applicable laws relating to the Exchange Offer.

 

The Exchange Notes
shall be issued under the Indenture, which shall be qualified under the TIA. The Indenture shall provide that the Exchange Notes
issued in respect of any Series and the Subordinated Notes of such Series shall vote and consent together on all matters as a single
class and shall constitute a single series of debt securities issued under the Indenture.

 

As soon as reasonably
practicable after the close of the Exchange Offer, the Company shall:

 

(i)          accept
for exchange all Registrable Notes duly tendered and not validly withdrawn pursuant to the Exchange Offer in accordance with the
terms of the Exchange Offer Registration Statement and the letter of transmittal that is an exhibit thereto;

 

(ii)         deliver,
or cause to be delivered, to the Trustee for cancellation all Registrable Notes so accepted for exchange by the Company; and

 

(iii)        cause
the Trustee promptly to authenticate and deliver Exchange Notes to each Holder of Registrable Notes so accepted for exchange equal
in principal amount to the principal amount of the Registrable Notes of such Holder so accepted for exchange.

 

For the avoidance of
doubt, notwithstanding any provision herein purporting to require physical mailing, delivery or acceptance of any document or instrument,
the Company may conduct the Exchange Offer exclusively through the automated tender offer program of the Depository, provided that
this provision shall apply only to Registrable Notes held in the form of beneficial interests in a global note deposited with (or
held by a custodian for) the Depository Trust Company.

 

Interest on each Exchange
Security will accrue from the last date on which interest was paid or duly provided for on the Subordinated Notes surrendered in
exchange therefor or, if no interest has been paid or duly provided for on such Subordinated Notes, from the Closing Date. The
Exchange Offer shall not be subject to any conditions, other than (i) that the Exchange Offer, or the making of any exchange by
a Holder, does not violate any applicable law or any applicable interpretation of the staff of the SEC, (ii) that no action or
proceeding shall have been instituted or threatened in any court or by or before any governmental agency with respect to the Exchange
Offer which, in the Company’s judgment, would reasonably be expected to impair the ability of the Company to proceed with
the Exchange Offer, and (iii) that the Holders tender the Registrable Securities to the Company in accordance with the Exchange
Offer. Each Holder of Registrable Notes who wishes to exchange such Registrable Notes for Exchange Notes in the Exchange Offer
will be required to represent that (i) it is not an affiliate (as defined in Rule 405 under the 1933 Act) of the Company or
if it is an affiliate, it will comply with the registration and prospectus delivery requirements of the 1933 Act to the extent
applicable, (ii) any Exchange Notes to be received by it will be acquired in the ordinary course of business, (iii) 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 1933 Act) of the Exchange Notes in violation of the provisions of the 1933 Act, (iv) if
such Holder is not a broker-dealer, that it is not engaged in, and does not intend to engage in, the distribution of the Exchange
Notes, (v) if such Holder is a broker-dealer that will receive Exchange Notes for its own account in exchange for Registrable Notes
acquired as a result of market-making or other trading activities, then such broker-dealer will deliver a Prospectus (or, to the
extent permitted by law, make available a Prospectus to purchasers) in connection with any resale of such Exchange Notes; and (vi)
it is not acting on behalf of any Person who could not truthfully make the statements set forth in clauses (i) – (v)
immediately above, and shall be required to make such other representations as may be reasonably necessary under applicable SEC
rules, regulations or interpretations to render the use of Form S-4 or another appropriate form under the 1933 Act available.

 

    5

     

    

 

(b)          Shelf
Registration. (i) If, because of any change in law or applicable interpretations thereof by the staff of the SEC, the
Company is not permitted to effect the Exchange Offer as contemplated by Section 2(a) hereof, or (ii) if for
any other reason (A) the Exchange Offer Registration Statement is not declared effective within 120 days following the Closing
Date or (B) the Exchange Offer is not consummated within 45 days after effectiveness of the Exchange Offer Registration Statement
(provided that if the Exchange Offer Registration Statement shall be declared effective after such 120-day period or if the Exchange
Offer shall be consummated after such 45-day period, then the Company’s obligations under this clause (ii) arising
from the failure of the Exchange Offer Registration Statement to be declared effective within such 120-day period or the failure
of the Exchange Offer to be consummated within such 45-day period, respectively, shall terminate), or (iii) if any Holder
delivers a written representation to the Company that such Holder was not eligible to participate in the Exchange Offer or validly
elects to participate in the Exchange Offer but does not receive Exchange Notes that are freely tradeable without any limitations
or restrictions under the 1933 Act (each of the foregoing, a “Shelf Registration Event”), the Company shall,
at its cost:

 

(A)       use
its commercially reasonable efforts to file with the SEC on or prior to (a) the 180th day after the Closing Date or (b) the 60th
day after any such Shelf Registration Event, whichever is later, a Shelf Registration Statement relating to the offer and sale
of the Registrable Notes by the Holders from time to time in accordance with the methods of distribution elected by the Majority
Holders of such Registrable Notes and set forth in such Shelf Registration Statement;

 

(B)        use
its commercially reasonable efforts to cause such Shelf Registration Statement to be declared or become effective as promptly
as practicable, but in no event later than (a) the 225th day after the Closing Date or (b) the 105th day
after any such Shelf Registration Event, whichever is later. In the event that the Company is required to file a Shelf Registration
Statement pursuant to clause (iii) above, the Company shall file and use its commercially reasonable efforts to have declared
effective by the SEC both an Exchange Offer Registration Statement pursuant to Section 2(a) with respect to all Registrable
Notes 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 Notes held by such Holder described in clause (iii) above;

 

(C)        use
its commercially reasonable efforts to keep the Shelf Registration Statement continuously effective, supplemented and amended
as required, in order to permit the Prospectus forming part thereof to be usable by Holders for a period of 180 days after the
date the Shelf Registration Statement was declared or became effective (subject to extension pursuant to the last paragraph of
Section 3) or, if earlier, when all of the Registrable Notes covered by such Shelf Registration Statement (i) have
been sold pursuant to the Shelf Registration Statement in accordance with the intended method of distribution thereunder, or (ii) cease
to be Registrable Notes; and

 

(D)       notwithstanding
any other provisions hereof, use its commercially reasonable efforts to ensure that (i) any Shelf Registration Statement
and any amendment thereto and any Prospectus forming a part thereof and any supplements thereto comply in all material respects
with the 1933 Act, (ii) any Shelf Registration Statement and any amendment thereto does not, when it becomes effective, contain
an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the
statements therein not misleading and (iii) any Prospectus forming part of any Shelf Registration Statement and any amendment
or supplement to such Prospectus does not include an untrue statement of a material fact or omit to state a material fact necessary
in order to make the statements therein, in the light of the circumstances under which they were made, not misleading; provided,
however, clauses (ii) and (iii) shall not apply to any statement in or omission from a Shelf Registration Statement
or a Prospectus made in reliance upon and conformity with information relating to any Holder or Participating Broker-Dealer of
Registrable Notes furnished to the Company in writing by such Holder or Participating Broker-Dealer, respectively, expressly for
use in such Shelf Registration Statement or Prospectus.

 

The Company further
agrees, if necessary, to supplement or amend the Shelf Registration Statement if reasonably requested by the Majority Holders with
respect to information relating to the Holders and otherwise as required by Section 3(b) below, to use its commercially
reasonable efforts to cause any such amendment to become effective and such Shelf Registration Statement to become usable as soon
as reasonably practicable thereafter and to furnish to the Holders of Registrable Notes copies of any such supplement or amendment
promptly after its being used or filed with the SEC.

 

    6

     

    

 

(c)           Expenses.
The Company shall pay all Registration Expenses in connection with the registration pursuant to Section 2(a) and 2(b)
and, in the case of any Shelf Registration Statement, will reimburse the Holders for the reasonable fees and disbursements
of one counsel (in addition to any local counsel) designated in writing by the Majority Holders to act as counsel for the Holders
of the Registrable Notes in connection therewith; provided, however, that the Company shall not be responsible for reimbursement
for the fees and disbursements of such counsel in an aggregate amount in excess of $10,000. Each Holder shall pay all fees and
disbursements of its counsel other than as set forth in the preceding sentence or in the definition of Registration Expenses and
all underwriting discounts and commissions and transfer taxes, if any, relating to the sale or disposition of such Holder’s
Registrable Notes pursuant to a Shelf Registration Statement.

 

(d)          Effective
Registration Statement.

 

(i)          The
Company shall be deemed not to have used its commercially reasonable efforts to cause the Exchange Offer Registration Statement
or any Shelf Registration Statement, as the case may be, to become, or to remain, effective during the requisite periods set forth
herein if the Company voluntarily takes any action that could reasonably be expected to result in any such Registration Statement
not being declared effective or remaining effective or in the Holders of Registrable Notes (including, under the circumstances
contemplated by Section 3(f) hereof, Exchange Notes) covered thereby not being able to exchange or offer and sell
such Registrable Notes during that period unless (A) such action is required by applicable law or (B) such action is
taken by the Company in good faith and for valid business reasons (but not including avoidance of the Company’s obligations
hereunder), including, but not limited to, the acquisition or divestiture of assets or a material corporate transaction or event,
or if the Company determines in good faith that effecting or maintaining the availability of the registration would materially
and adversely affect an offering of securities of the Company or if the Company is in possession of material non-public information
the disclosure of which would not be in the best interests of the Company, in each case so long as the Company promptly complies
with the notification requirements of Section 3(k) hereof, if applicable. Nothing in this paragraph shall prevent
the accrual of Additional Interest on any Registrable Notes or Exchange Notes.

 

(ii)         During
any 365-day period, the Company may, by notice as described in Section 3(e), suspend the availability of a Shelf Registration
Statement (and, if the Exchange Offer Registration Statement is being used in connection with the resale of Exchange Notes by
Participating Broker-Dealers as contemplated by Section 3(f), the Exchange Offer Registration Statement) and the use
of the related Prospectus for up to two periods of up to 60 consecutive days each (except for the consecutive 60-day period immediately
prior to final maturity of the Subordinated Notes), but no more than an aggregate of 120 days during any 365-day period, upon
(a) the happening of any event or the discovery of any fact referred to in Section 3(e)(vi), or (b) if the
Company determines in good faith that effecting or maintaining the availability of the registration would materially and adversely
affect an offering of securities of the Company or if the Company is in possession of material non-public information the disclosure
of which would not be in the best interests of the Company, in each case subject to compliance by the Company with its obligations
under the last paragraph of Section 3.

 

(e)          
Increase in Interest Rate. In the event that:

 

(i)          the
Exchange Offer Registration Statement is not filed with the SEC on or prior to the 90th day following the Closing Date,

 

(ii)         the
Exchange Offer Registration Statement is not declared effective by the SEC on or prior to the 120th day following the Closing
Date,

 

(iii)        the
Exchange Offer is not consummated on or prior to the 45th day following the effective date of the Exchange Offer Registration
Statement,

 

    7

     

    

 

(iv)        if required, a Shelf Registration Statement is not filed with the SEC on or prior to (A) the 180th day following
the Closing Date or (B) the 60th day after a Shelf Registration Event, whichever is later, or

 

(v)         if required, a Shelf Registration Statement is not declared or otherwise has not become effective on or prior to
(a) the 225th day following the Closing Date or (b) the 105th day after a Shelf Registration Event, whichever
is later, or

 

(vi)        a Shelf Registration Statement is declared effective by the SEC or has otherwise become effective, but such Shelf
Registration Statement ceases to be effective or such Shelf Registration Statement or the Prospectus included therein ceases to
be usable in connection with resales of Registrable Notes for any reason and (A) the aggregate number of days in any consecutive
365-day period for which the Shelf Registration Statement or such Prospectus shall not be effective or usable exceeds 120 days,
(B) the Shelf Registration Statement or such Prospectus shall not be effective or usable for more than two periods (regardless
of duration) in any consecutive 365-day period or (C) the Shelf Registration Statement or such Prospectus shall not be effective
or usable for a period of more than 90 consecutive days, or

 

(vii)       the
Exchange Offer Registration Statement is declared effective by the SEC but, if the Exchange Offer Registration Statement is being
used in connection with the resale of Exchange Notes as contemplated by Section 3(f) of this Agreement, the Exchange
Offer Registration Statement ceases to be effective or the Exchange Offer Registration Statement or the Prospectus included therein
ceases to be usable in connection with resales of Exchange Notes for any reason during the 180-day period referred to in Section 3(f)(B)
of this Agreement (as such period may be extended pursuant to the last paragraph of Section 3 of this Agreement)
and (A) the aggregate number of days in any consecutive 365-day period for which the Exchange Offer Registration Statement
or such Prospectus shall not be effective or usable exceeds 120 days, (B) the Exchange Offer Registration Statement or such
Prospectus shall not be effective or usable for more than two periods (regardless of duration) in any consecutive 365-day period
or (C) the Exchange Offer Registration Statement or the Prospectus shall not be effective or usable for a period of more
than 90 consecutive days,

 

(each of the events referred to in clauses (i)
through (vii) above being hereinafter called a “Registration Default”), the per annum interest rate borne by
the Registrable Notes shall be increased (“Additional Interest”) by one-quarter of one percent (0.25%) per annum
immediately following such 90-day period in the case of clause (i) above, immediately following such 120-day period in the
case of clause (ii) above, immediately following such 45-day period in the case of clause (iii) above, immediately following
any such 180-day period or 60-day period, whichever ends later, in the case of clause (iv) above, immediately following any
such 225-day period or 105-day period, as applicable, in the case of clause (v) above, immediately following the 120th
day in any consecutive 365-day period, as of the first day of the third period in any consecutive 365-day period or immediately
following the 90th consecutive day, whichever occurs first, that a Shelf Registration Statement shall not be effective or a Shelf
Registration Statement or the Prospectus included therein shall not be usable as contemplated by clause (vi) above, or immediately
following the 120th day in any consecutive 365-day period, as of the first day of the third period in any consecutive
365-day period or immediately following the 90th consecutive day, whichever occurs first, that the Exchange Offer Registration
Statement shall not be effective or the Exchange Offer Registration Statement or the Prospectus included therein shall not be usable
as contemplated by clause (vii) above, which rate will be increased by an additional one-quarter of one percent (0.25%) per
annum immediately following each 90-day period that any Additional Interest continues to accrue under any circumstances; provided,
however, that, if at any time more than one Registration Default has occurred and is continuing, then, until the next date
that there is no Registration Default, the increase in interest rate provided for by this paragraph shall apply as if there occurred
a single Registration Default that begins on the date that the earliest such Registration Default occurred and ends on such date
that there is no Registration Default; provided further, that the aggregate increase in such annual interest rate may in
no event exceed one-half of one percent (0.50%) per annum. Upon the filing of the Exchange Offer Registration Statement after the
90-day period described in clause (i) above, the effectiveness of the Exchange Offer Registration Statement after the 120-day
period described in clause (ii) above, the consummation of the Exchange Offer after the 45-day period described in clause (iii)
above, the filing of the Shelf Registration Statement after the 180-day period or 60-day period, as the case may be, described
in clause (iv) above, the effectiveness of a Shelf Registration Statement after the 225-day period or 105-day period, as applicable,
described in clause (v) above, or the Shelf Registration Statement once again being effective or the Shelf Registration Statement
and the Prospectus included therein becoming usable in connection with resales of Registrable Notes, as the case may be, in the
case of clause (vi) above, or the Exchange Offer Registration Statement once again becoming effective or the Exchange Offer
Registration Statement and the Prospectus included therein becoming usable in connection with resales of Exchange Notes, as the
case may be, in the case of clause (vii) thereof, the interest rate borne by the Subordinated Notes from the date of such
filing, effectiveness, consummation or resumption of effectiveness or usability, as the case may be, shall be reduced to the original
interest rate so long as no other Registration Default shall have occurred and shall be continuing at such time and the Company
is otherwise in compliance with this paragraph; provided, however, that, if after any such reduction in interest
rate, one or more Registration Defaults shall again occur, the interest rate shall again be increased pursuant to the foregoing
provisions (as if it were the original Registration Default). Notwithstanding anything in this Agreement to the contrary, the Company
will not be obligated to pay any Additional Interest in the case of a Shelf Registration Statement with respect to any Holder of
Registrable Notes who fails to timely provide all information with respect to Holder that is reasonably requested by the Company
to enable it to timely comply with its obligations under Section 2(b).

 

    8

     

    

 

The Company shall notify
the Trustee within three Business Days after each and every date on which an event occurs in respect of which Additional Interest
is required to be paid (an “Event Date”). Additional Interest shall be paid by depositing with the Trustee,
in trust, for the benefit of the Holders of Registrable Notes, on or before the applicable interest payment date, immediately available
funds in sums sufficient to pay the Additional Interest then due. The Additional Interest due shall be payable on each interest
payment date to the record Holder of Registrable Notes entitled to receive the interest payment to be paid on such date as set
forth in the Indenture. Each obligation to pay Additional Interest shall be deemed to accrue from and including the day following
the applicable Event Date.

 

Anything herein to
the contrary notwithstanding, any Holder who was, at the time the Exchange Offer was pending and consummated, eligible to exchange,
and did not validly tender, its Subordinated Notes for Exchange Notes in the Exchange Offer will not be entitled to receive any
Additional Interest.

 

(f)            Specific
Enforcement. Without limiting the remedies available to the Holders or any Participating Broker-Dealer, the Company acknowledges
that any failure by the Company to comply with its obligations under Sections 2(a) and 2(b) hereof may result
in material irreparable injury to the Holders or the Participating Broker-Dealers 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, any Holder
and any Participating Broker-Dealer may seek such relief as may be required to specifically enforce the Company’s obligations
under Sections 2(a) and 2(b).

 

		3.	Registration Procedures. In connection with the
obligations of the Company with respect to the Registration Statements pursuant to Sections 2(a) and 2(b) hereof, the Company
shall:

 

(a)          prepare
and file with the SEC a Registration Statement or, if required, Registration Statements, within the time periods specified in
Section 2, on the appropriate form under the 1933 Act, which form (i) shall be selected by the Company, (ii) shall,
in the case of a Shelf Registration Statement, be available for the sale of the Registrable Notes by the selling Holders thereof
and (iii) shall comply as to form in all material respects with the requirements of the applicable form and include or incorporate
by reference all financial statements required by the SEC to be filed therewith or incorporated by reference therein, and use
its commercially reasonable efforts to cause such Registration Statement to become effective and remain effective for the applicable
period in accordance with Section 2 hereof;

 

(b)          prepare and file with the SEC such amendments and post-effective amendments to each Registration Statement as may
be necessary under applicable law to keep such Registration Statement effective for the applicable period in accordance with Section 2
hereof; cause each Prospectus to be supplemented by any required prospectus supplement, and as so supplemented to be filed pursuant
to Rule 424 under the 1933 Act; and comply with the provisions of the 1933 Act and the 1934 Act with respect to the disposition
of all Registrable Notes covered by each Registration Statement during the applicable period in accordance with the intended method
or methods of distribution by the selling Holders thereof;

 

(c)          in
the case of a Shelf Registration, (i) notify each Holder of Registrable Notes, at least ten Business Days prior to filing,
that a Shelf Registration Statement with respect to the Registrable Notes is being filed and advising such Holders that the distribution
of Registrable Notes will be made in accordance with the method elected by the Majority Holders; (ii) furnish to each Holder
of Registrable Notes and counsel for the Holders, without charge, as many copies of each Prospectus, including each preliminary
Prospectus, and any amendment or supplement thereto and such other documents as such Holder or counsel may reasonably request,
including financial statements and schedules and, if such Holder or counsel so requests, all exhibits (including those incorporated
by reference) in order to facilitate the public sale or other disposition of the Registrable Notes; and (iii) subject to
the penultimate paragraph of this Section 3, the Company hereby consents to the use of the Prospectus, including each
preliminary Prospectus, or any amendment or supplement thereto by each of the Holders of Registrable Notes in accordance with
applicable law in connection with the offering and sale of the Registrable Notes covered by and in the manner described in any
Prospectus or any amendment or supplement thereto;

 

    9

     

    

 

(d)          use its commercially reasonable efforts to register or qualify the Registrable Notes under all applicable state securities
or “blue sky” laws of such jurisdictions as any Holder of Registrable Notes covered by a Registration Statement shall
reasonably request, to cooperate with the Holders of any Registrable Notes in connection with any filings required to be made with
FINRA, to keep each such registration or qualification effective during the period such Registration Statement is required to be
effective and do any and all other acts and things which may be reasonably necessary or advisable to enable such Holder to consummate
the disposition in each such jurisdiction of such Registrable Notes owned by such Holder; provided, however, that
the Company shall not be required to (i) qualify as a foreign corporation or entity or as a dealer in securities in any jurisdiction
where it would not otherwise be required to qualify but for this Section 3(d) or (ii) take any action which would
subject it to general service of process or taxation in any such jurisdiction if it is not then so subject;

 

(e)           in the case of a Shelf Registration, notify each Holder of Registrable Notes and counsel for such Holders promptly
and, if requested by such Holder or counsel, confirm such advice in writing promptly

 

(i)          when
a Registration Statement has become effective and when any post-effective amendments and supplements thereto become effective,

 

(ii)         of
any request by the SEC or any state securities authority for post-effective amendments or supplements to a Registration Statement
or Prospectus or for additional information after a Registration Statement has become effective (other than comments to 1934 Act
reports incorporated therein by reference),

 

(iii)        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,

 

(iv)        of
the receipt by the Company of any notification with respect to the suspension of the qualification of the Registrable Notes for
sale in any jurisdiction or the initiation or threatening of any proceeding for such purpose,

 

(v)         of
the happening of any event or the discovery of any facts during the period a Shelf Registration Statement is effective which is
contemplated in Section 2(d)(i) or which makes any statement made in such Shelf Registration Statement or the related Prospectus
untrue in any material respect or which constitutes an omission to state a material fact in such Shelf Registration Statement
or Prospectus and

 

(vi)        of
any determination by the Company that a post-effective amendment to a Registration Statement would be appropriate. Without limitation
to any other provisions of this Agreement, the Company agrees that this Section 3(e) shall also be applicable, mutatis mutandis,
with respect to the Exchange Offer Registration Statement and the Prospectus included therein to the extent that such Prospectus
is being used by Participating Broker-Dealers as contemplated by Section 3(f);

 

(f)            (A) in the case of an Exchange Offer, (i) include in the Exchange Offer Registration Statement (1) a
“Plan of Distribution” section covering the use of the Prospectus included in the Exchange Offer Registration Statement
by broker-dealers who have exchanged their Registrable Notes for Exchange Notes for the resale of such Exchange Notes and (2) a
statement to the effect that any such broker-dealers who wish to use the related Prospectus in connection with the resale of Exchange
Notes acquired as a result of market-making or other trading activities will be required to notify the Company to that effect,
together with instructions for giving such notice (which instructions shall include a provision for giving such notice by checking
a box or making another appropriate notation on the related letter of transmittal) (each such broker-dealer who gives notice to
the Company as aforesaid being hereinafter called a “Notifying Broker-Dealer”), (ii) furnish to each Notifying
Broker-Dealer who desires to participate in the Exchange Offer, without charge, as many copies of each Prospectus included in the
Exchange Offer Registration Statement, including any preliminary prospectus, and any amendment or supplement thereto, as such broker-dealer
may reasonably request, (iii) include in the Exchange Offer Registration Statement a statement that any broker-dealer who
holds Registrable Notes acquired for its own account as a result of market-making activities or other trading activities (a “Participating
Broker-Dealer”), and who receives Exchange Notes for Registrable Notes pursuant to the Exchange Offer, may be a statutory
underwriter and must deliver a prospectus meeting the requirements of the 1933 Act in connection with any resale of such Exchange
Notes, (iv) subject to the penultimate paragraph of this Section 3, the Company hereby consents to the use of
the Prospectus forming part of the Exchange Offer Registration Statement or any amendment or supplement thereto by any Notifying
Broker-Dealer in accordance with applicable law in connection with the sale or transfer of Exchange Notes, and (v) include
in the transmittal letter or similar documentation to be executed by an exchange offeree in order to participate in the Exchange
Offer the following provision:

 

    10

     

    

 

“If the undersigned is not
a broker-dealer, the undersigned represents that it is not engaged in, and does not intend to engage in, a distribution of Exchange
Notes. If the undersigned is a broker-dealer that will receive Exchange Notes for its own account in exchange for Registrable Notes,
it represents that the Registrable Notes to be exchanged for Exchange Notes were acquired by it as a result of market-making activities
or other trading activities and acknowledges that it will deliver a prospectus meeting the requirements of the 1933 Act in connection
with any resale of such Exchange Notes pursuant to the Exchange Offer; however, by so acknowledging and by delivering a prospectus,
the undersigned will not be deemed to admit that it is an “underwriter” within the meaning of the 1933 Act;”

 

(B)         to
the extent any Notifying Broker-Dealer participates in the Exchange Offer, (i) the Company shall use its commercially reasonable
efforts to maintain the effectiveness of the Exchange Offer Registration Statement for a period of 180 days (subject to extension
pursuant to the last paragraph of this Section 3) following the last date on which exchanges are accepted pursuant
to the Exchange Offer, and (ii) the Company will comply, insofar as relates to the Exchange Offer Registration Statement,
the Prospectus included therein and the offering and sale of Exchange Notes pursuant thereto, with its obligations under Section 2(b)(D),
the last paragraph of Section 2(b), Section 3(c), 3(d), 3(e), 3(g), 3(i),
3(j), 3(n), 3(o) and 3(p), and the last three paragraphs of this Section 3 as if all references
therein to a Shelf Registration Statement, the Prospectus included therein and the Holders of Registrable Notes referred, mutatis
mutandis, to the Exchange Offer Registration Statement, the Prospectus included therein and the applicable Notifying Broker-Dealers
and, for purposes of this Section 3(f), all references in any such paragraphs or sections to the “Majority
Holders” shall be deemed to mean, solely insofar as relates to this Section 3(f), the Notifying Broker-Dealers
who are the Holders of the majority in aggregate principal amount of the Exchange Notes which are Registrable Notes; and

 

(C)         the
Company shall not be required to amend or supplement the Prospectus contained in the Exchange Offer Registration Statement as
would otherwise be contemplated by Section 3(b) or 3(k) hereof, or take any other action as a result of this
Section 3(f), for a period exceeding 180 days (subject to extension pursuant to the last paragraph of this Section 3)
after the last date on which exchanges are accepted pursuant to the Exchange Offer and Notifying Broker-Dealers shall not be authorized
by the Company to, and shall not, deliver such Prospectus after such period in connection with resales contemplated by this Section 3;

 

(g)          in the case of a Shelf Registration, furnish counsel for the Holders of Registrable Notes copies of any request by
the SEC or any state securities authority for amendments or supplements to a Registration Statement or Prospectus or for additional
information (other than comments to 1934 Act reports incorporated therein by reference);

 

(h)          use
its commercially reasonable efforts to obtain the withdrawal of any order suspending the effectiveness of a Registration Statement
as soon as practicable and provide immediate notice to each Holder of the withdrawal of any such order;

 

    11

     

    

 

(i)           in the case of a Shelf Registration, cooperate with the selling Holders of Registrable Notes to facilitate the timely
preparation and delivery of certificates representing Registrable Notes to be sold and not bearing any restrictive legends; and
cause such Registrable Notes to be in such denominations (consistent with the provisions of the Indenture) and in a form eligible
for deposit with the Depositary and registered in such names as the selling Holders may reasonably request in writing at least
two Business Days prior to the closing of any sale of Registrable Notes;

 

(j)           in the case of a Shelf Registration, upon the occurrence of any event or the discovery of any facts as contemplated
by Section 3(e)(v) hereof, use its commercially reasonable efforts to prepare a supplement or post-effective amendment
to a Registration Statement or the related Prospectus or any document incorporated or deemed to be incorporated therein by reference
or file any other required document so that, as thereafter delivered to the purchasers of the Registrable Notes, such Prospectus
will not contain at the time of such delivery any untrue statement of a material fact or omit to state a material fact necessary
in order to make the statements therein, in light of the circumstances under which they were made, not misleading. The Company
agrees to notify each Holder to suspend use of the Prospectus as promptly as practicable after the occurrence of such an event,
and each Holder hereby agrees to suspend use of the Prospectus until the Company has amended or supplemented the Prospectus to
correct such misstatement or omission. At such time as such public disclosure is otherwise made or the Company determines that
such disclosure is not necessary, in each case to correct any misstatement of a material fact or to include any omitted material
fact, the Company agrees promptly to notify each Holder of such determination and to furnish each Holder such number of copies
of the Prospectus, as amended or supplemented, as such Holder may reasonably request;

 

(k)          obtain
CUSIP and ISIN numbers for all Exchange Notes or Registrable Notes, as the case may be, not later than the effective date of a
Registration Statement, and provide the Trustee with printed or word-processed certificates for the Exchange Notes or Registrable
Notes, as the case may be, in a form eligible for deposit with the Depositary;

 

(l)           (i) cause the Indenture to be qualified under the TIA in connection with the registration of the Exchange Notes
or Registrable Notes, as the case may be, (ii) cooperate with the Trustee and the Holders to effect such changes, if any,
to the Indenture as may be required for the Indenture to be so qualified in accordance with the terms of the TIA and (iii) execute,
and use its commercially reasonable efforts to cause the Trustee to execute, all documents as may be required to effect such changes,
if any, 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;

 

(m)         in the case of a Shelf Registration, upon request make available for inspection by representatives of the Holders
of the Registrable Notes participating in any disposition pursuant to a Shelf Registration Statement and any one counsel or accountant
retained by such Holders (with such inspection to occur at such time as mutually agreed between the Company and such Persons),
all financial statements and other records, documents and properties of the Company reasonably requested by any such Persons, and
cause the respective officers, directors, employees, and any other agents of the Company to supply all information reasonably requested
by any such Persons in connection with a Shelf Registration Statement; provided, that any such Persons shall be required to execute
a customary confidentiality agreement;

 

(n)          in the case of a Shelf Registration, a reasonable time prior to filing any Shelf Registration Statement, any Prospectus
forming a part thereof, any amendment to such Shelf Registration Statement or amendment or supplement to such Prospectus, provide
copies of such document to the Holders of Registrable Notes and to counsel for any such Holders, and make such changes in any such
document prior to the filing thereof as the Holders of Registrable Notes, or any of their counsel may reasonably request, and cause
the representatives of the Company to be available for discussion of such documents as shall be reasonably requested by the Holders
of Registrable Notes and shall not at any time make any filing of any such document of which such Holders or their counsel shall
not have previously been advised and furnished a copy or to which such Holders or their counsel shall reasonably object within
a reasonable time period;

 

(o)          in the case of a Shelf Registration, use its commercially reasonable efforts to cause the Registrable Notes to be
rated by the same rating agency that initially rated the Subordinated Notes, if so requested by the Majority Holders of Registrable
Notes, unless the Registrable Notes are already so rated; otherwise use its commercially reasonable efforts to comply with all
applicable rules and regulations of the SEC and, with respect to each Registration Statement and each post-effective amendment,
if any, thereto and each filing by the Company of an Annual Report on Form 10-K, make available to its security holders, as soon
as reasonably practicable, an earnings statement covering at least twelve months which shall satisfy the provisions of Section 11(a)
of the 1933 Act and Rule 158 thereunder; and

 

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(p)          cooperate and assist in any filings required to be made with FINRA.

 

In the case of a Shelf
Registration Statement, the Company may (as a condition to such Holder’s participation in the Shelf Registration) require
each Holder of Registrable Notes to furnish to the Company such information regarding such Holder and the proposed distribution
by such Holder of such Registrable Notes as the Company may from time to time reasonably request in writing and require such Holder
to agree in writing to be bound by all provisions of this Agreement applicable to such Holder.

 

In the case of a Shelf
Registration Statement, each Holder agrees and, in the event that any Participating Broker-Dealer is using the Prospectus included
in the Exchange Offer Registration Statement in connection with the sale of Exchange Notes pursuant to Section 3(f),
each such Participating Broker-Dealer agrees that, upon receipt of any notice from the Company of the happening of any event or
the discovery of any facts of the kind described in Section 3(e)(ii), 3(e)(iii) or 3(e)(iv) through 3(e)(vi)
hereof, such Holder or Participating Broker-Dealer, as the case may be, will forthwith discontinue disposition of Registrable Notes
pursuant to a Registration Statement until receipt by such Holder or Participating Broker-Dealer, as the case may be, of (i) the
copies of the supplemented or amended Prospectus contemplated by Section 3(j) hereof or (ii) written notice from
the Company that the Shelf Registration Statement or the Exchange Offer Registration Statement, respectively, are once again effective
or that no supplement or amendment is required. If so directed by the Company, such Holder or Participating Broker-Dealer, as the
case may be, will deliver to the Company (at the Company’s expense) all copies in its possession, other than permanent file
copies then in its possession, of the Prospectus covering such Registrable Notes current at the time of receipt of such notice.
Nothing in this paragraph shall prevent the accrual of Additional Interest on any Registrable Notes.

 

If the Company shall
give any such notice to suspend the disposition of Registrable Notes pursuant to the immediately preceding paragraph, the Company
shall be deemed to have used its commercially reasonable efforts to keep the Shelf Registration Statement or, in the case of Section 3(f),
the Exchange Offer Registration Statement, as the case may be, effective during such period of suspension; provided that
(i) such period of suspension shall not exceed the time periods provided in Section 2(d)(iii) hereof and (ii) the Company
shall use its commercially reasonable efforts to file and have declared effective (if an amendment) as soon as practicable thereafter
an amendment or supplement to the Shelf Registration Statement or the Exchange Offer Registration Statement or both, as the case
may be, or the Prospectus included therein and shall extend the period during which the Shelf Registration Statement or the Exchange
Offer Registration Statement or both, as the case may be, shall be maintained effective pursuant to this Agreement (and, if applicable,
the period during which Participating Broker-Dealers may use the Prospectus included in the Exchange Offer Registration Statement
pursuant to Section 3(f) hereof) by the number of days during the period from and including the date of the giving
of such notice to and including the earlier of the date when the Holders or Participating Broker-Dealers, respectively, shall have
received copies of the supplemented or amended Prospectus necessary to resume such dispositions and the effective date of written
notice from the Company to the Holders or Participating Broker-Dealers, respectively, that the Shelf Registration Statement or
the Exchange Offer Registration Statement, respectively, are once again effective or that no supplement or amendment is required.

 

		4.	Indemnification and Contribution.

 

(a)          The
Company agrees to indemnify and hold harmless each Holder, each Participating Broker-Dealer and each Person, if any, who controls
any Holder or Participating Broker-Dealer within the meaning of either Section 15 of the 1933 Act or Section 20 of the
1934 Act, as follows:

 

(i)         against
any and all loss, liability, claim, damage and expense whatsoever, as incurred, arising out of any untrue statement or alleged
untrue statement of a material fact contained in any Registration Statement (or any amendment thereto) pursuant to which Exchange
Notes or Registrable Notes were registered under the 1933 Act, including all documents incorporated therein by reference, or any
omission or alleged omission therefrom of a material fact required to be stated therein or necessary to make the statements therein
not misleading, or arising out of any untrue statement or alleged untrue statement of a material fact contained in any preliminary
prospectus or Prospectus (or any amendment or supplement thereto) or any omission or alleged omission therefrom of a material
fact necessary in order to make the statements therein, in the light of the circumstances under which they were made, not misleading;

 

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(ii)        against
any and all loss, liability, claim, damage and expense whatsoever, as incurred, to the extent of the aggregate amount paid in
settlement of any litigation, or any investigation or proceeding by any governmental agency or body, commenced or threatened,
or of any claim whatsoever based upon any such untrue statement or omission, or any such alleged untrue statement or omission
described in subparagraph (i) above; provided that any such settlement is effected with the written consent of the
Company; and

 

(iii)       against
any and all expense whatsoever, as incurred (including, subject to Section 4(c) below, the fees and disbursements
of counsel chosen by any indemnified party), reasonably incurred in investigating, preparing or defending against any litigation,
or any investigation or proceeding by any governmental agency or body, commenced or threatened, or any claim whatsoever based
upon any such untrue statement or omission, or any such alleged untrue statement or omission described in subparagraph (i)
above, to the extent that any such expense is not paid under subparagraph (i) or (ii) above;

 

provided, however, that this
indemnity agreement shall not apply to any loss, liability, claim, damage or expense to the extent arising out of any untrue statement
or omission or alleged untrue statement or omission made in reliance upon and in conformity with written information furnished
to the Company by any Holder or Participating Broker-Dealer with respect to such Holder, Participating Broker-Dealer, as the case
may be, expressly for use in the Registration Statement (or any amendment thereto) or the Prospectus (or any amendment or supplement
thereto).

 

(b)          Each
Holder, severally but not jointly, agrees to indemnify and hold harmless the Company, each director of the Company, each officer
of the Company who signed the Registration Statement, each Participating Broker-Dealer and each other selling Holder and each
Person, if any, who controls the Company, any Participating Broker-Dealer or any other selling Holder within the meaning of Section 15
of the 1933 Act or Section 20 of the 1934 Act against any and all loss, liability, claim, damage and expense described in
the indemnity contained in Section 4(a) hereof, as incurred, but only with respect to untrue statements or omissions,
or alleged untrue statements or omissions, made in the Shelf Registration Statement (or any amendment thereto) or any Prospectus
included therein (or any amendment or supplement thereto) in reliance upon and in conformity with written information with respect
to such Holder furnished to the Company by such Holder expressly for use in the Shelf Registration Statement (or any amendment
thereto) or such Prospectus (or any amendment or supplement thereto); provided, however, that no such Holder shall
be liable for any claims hereunder in excess of the amount of net proceeds received by such Holder from the sale of Registrable
Notes pursuant to such Shelf Registration Statement.

 

(c)          Each
indemnified party shall give notice as promptly as reasonably practicable to each indemnifying party of any action commenced against
it in respect of which indemnity may be sought hereunder, but failure so to notify an indemnifying party shall not relieve such
indemnifying party from any liability hereunder to the extent it is not materially prejudiced as a result thereof and in any event
shall not relieve it from any liability which it may have otherwise than on account of this indemnity agreement. Counsel to the
respective indemnified parties shall be selected as follows: (i) counsel to the Company, its directors, each of its officers
who signed the Registration Statement and all Persons, if any, who control the Company within the meaning of Section 15 of
the 1933 Act or Section 20 of the 1934 Act shall be selected by the Company; (ii) counsel to the Holders (other than
Participating Broker-Dealers) and all Persons, if any, who control any Holders (other than any Participating Broker-Dealers) within
the meaning of Section 15 of the 1933 Act or Section 20 of the 1934 Act shall be selected by the Holders who held or
hold, as the case may be, a majority in aggregate principal amount of the Registrable Notes held by all such Holders; and (iii) counsel
to the Participating Broker-Dealers and all Persons, if any, who control any such Participating Broker-Dealer within the meaning
of Section 15 of the 1933 Act or Section 20 of the 1934 Act shall be selected by the Participating Broker-Dealers who
held or hold, as the case may be, a majority in aggregate principal amount of the Exchange Notes referred to in Section 3(f)
hereof held by all such Participating Broker-Dealers. In no event shall the indemnifying party or parties be liable for (A) the
fees and expenses of more than one counsel (in addition to any local counsel) separate from the indemnifying parties’ own
counsel for the Company and all other Persons referred to in clause (i) of this paragraph, (B) the fees and expenses
of more than one counsel (in addition to any local counsel) separate from the indemnifying parties’ own counsel for all
Holders (other than Participating Broker-Dealers) and all other Persons referred to in clause (ii) of this paragraph, and
(C) the fees and expenses of more than one counsel (in addition to any local counsel) separate from the indemnifying parties’
own counsel for all Participating Broker-Dealers and all other Persons referred to in clause (iv) of this paragraph, in each
case in connection with any one action or separate but similar or related actions in the same jurisdiction arising out of the
same general allegations or circumstances. The indemnifying party shall be entitled to participate therein and, to the extent
that it shall elect, jointly with any other indemnifying party similarly notified, to assume the defense thereof, with counsel
reasonably satisfactory to such indemnified party, provided, however, if the defendants in any such action include both the indemnified
party and the indemnifying party and the indemnified party shall have reasonably concluded that a conflict may arise between the
positions of the indemnifying party and the indemnified party in conducting the defense of any such action or that there may be
legal defenses available to it and/or other indemnified parties which are different from or additional to those available to the
indemnifying party, the indemnified party or parties shall have the right to select separate counsel to assume such legal defenses
and to otherwise participate in the defense of such action on behalf of such indemnified party or parties. After notice from the
indemnifying party to such indemnified party of its election so to assume the defense thereof, the indemnifying party shall not
be liable to such indemnified party under such subsection for any legal expenses of other counsel or any other expenses,
in each case subsequently incurred by such indemnified party, in connection with the defense thereof other than reasonable costs
of investigation unless (A) the indemnified party shall have employed separate counsel in accordance with the proviso to
the preceding sentence (it being understood, however, that the indemnifying party shall not be liable for the expenses of more
than one separate counsel, approved by the indemnifying party) or (B) the indemnifying party shall not have employed counsel
reasonably satisfactory to the indemnified party within a reasonable time after notice of commencement of the action, in each
of which cases the fees and expenses of counsel shall be at the expense of the indemnifying party. No indemnifying party shall,
without the prior written consent of the indemnified parties, settle or compromise or consent to the entry of any judgment with
respect to any litigation, or any investigation or proceeding by any governmental agency or body, commenced or threatened, or
any claim whatsoever in respect of which indemnification or contribution could be sought under this Section 4 (whether
or not the indemnified parties are actual or potential parties thereto), unless such settlement, compromise or consent (i) includes
an unconditional release of each indemnified party from all liability arising out of such litigation, investigation, proceeding
or claim and (ii) does not include a statement as to or an admission of fault, culpability or a failure to act by or on behalf
of any indemnified party.

 

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(d)          If the indemnification provided for in this Section 4 is for any reason unavailable to or insufficient
to hold harmless an indemnified party in respect of any losses, liabilities, claims, damages or expenses referred to therein, then
each indemnifying party shall contribute to the aggregate amount of such losses, liabilities, claims, damages and expenses incurred
by such indemnified party, as incurred, in such proportion as is appropriate to reflect the relative fault of the indemnifying
party or parties on the one hand and of the indemnified party or parties on the other hand in connection with the statements or
omissions that resulted in such losses, liabilities, claims, damages or expenses, as well as any other relevant equitable considerations.
The relative fault of such indemnifying party or parties on the one hand and the indemnified party or parties on the other hand
shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of a material fact or omission
or alleged omission to state a material fact relates to information supplied by such indemnifying party or parties or such indemnified
party or parties, and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent
such statement or omission.

 

(e)           The
Company and the Holders agree that it would not be just or equitable if contribution pursuant to this Section 4 were
determined by pro rata allocation or by any other method of allocation that does not take account of the equitable considerations
referred to in paragraph (d) above. The aggregate amount of losses, liabilities, claims, damages and expenses incurred by
an indemnified party and referred to above in this Section 4 shall be deemed to include any legal or other expenses
reasonably incurred by such indemnified party in investigating, preparing or defending against any litigation, or any investigation
or proceeding by any governmental agency or body, commenced or threatened, or any claim whatsoever based upon any such untrue
or alleged untrue statement or omission or alleged omission.

 

Notwithstanding the
provisions of this Section 4, other than in the case of intentional misrepresentation or omission of a material fact,
no Holder or Participating Broker-Dealer shall be required to contribute any amount in excess of the amount by which the total
price at which Registrable Notes sold by it were offered exceeds the amount of any damages that such Holder or Participating Broker-Dealer
has otherwise been required to pay by reason of any such untrue or alleged untrue statement or omission or alleged omission.

 

    15

     

    

 

No Person guilty of
fraudulent misrepresentation (within the meaning of Section 11(f) of the 1933 Act) shall be entitled to contribution from
any Person who was not guilty of such fraudulent misrepresentation.

 

For purposes of this
Section 4, each Person, if any, who controls a Holder or Participating Broker-Dealer within the meaning of Section 15
of the 1933 Act or Section 20 of the 1934 Act shall have the same rights to contribution as such Holder or Participating Broker-Dealer,
as the case may be, and each director of the Company, each officer of the Company who signed the Registration Statement and each
Person, if any, who controls the Company within the meaning of Section 15 of the 1933 Act or Section 20 of the 1934 Act
shall have the same rights to contribution as the Company.

 

The respective obligations
of the Holders and Participating Broker-Dealers to contribute pursuant to this Section 4 are several in proportion to the
principal amount of Subordinated Notes purchased by them and not joint.

 

The indemnity and contribution
provisions contained in this Section 4 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 any Holder or Participating Broker-Dealer or any Person
controlling any Holder or Participating Broker-Dealer, or by or on behalf of the Company, its officers or directors or any Person
controlling the Company, (iii) acceptance of any of the Exchange Notes and (iv) any sale of Registrable Notes or Exchange
Notes pursuant to a Shelf Registration Statement.

 

		5.	Miscellaneous.

 

(a)          Rule
144 and Rule 144A. For so long as the Company is subject to the reporting requirements of Section 13 or 15 of the 1934
Act, the Company covenants that it will file all reports required to be filed by it under Section 13(a) or 15(d) of the 1934
Act and the rules and regulations adopted by the SEC thereunder, that if it ceases to be so required to file such reports, it
will upon the request of any Holder or beneficial owner of Registrable Notes (i) make publicly available such information
(including, without limitation, the information specified in Rule 144(c)(2) under the 1933 Act) as is necessary to permit sales
pursuant to Rule 144 under the 1933 Act, (ii) deliver or cause to be delivered, promptly following a request by any Holder
or beneficial owner of Registrable Notes or any prospective purchaser or transferee designated by such Holder or beneficial owner,
such information (including, without limitation, the information specified in Rule 144A(d)(4) under the 1933 Act) as is necessary
to permit sales pursuant to Rule 144A under the 1933 Act, and (iii) take such further action that is reasonable in the circumstances,
in each case to the extent required from time to time to enable such Holder to sell its Registrable Notes without registration
under the 1933 Act within the limitation of the exemptions provided by (x) Rule 144 under the 1933 Act, as such Rule may
be amended from time to time, (y) Rule 144A under the 1933 Act, as such Rule may be amended from time to time, or (z) any
similar rules or regulations hereafter adopted by the SEC. Upon the request of any Holder
or beneficial owner of Registrable Notes, the Company will deliver to such Holder a written statement as to whether it has complied
with such requirements.

 

(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 has obtained
the written consent of Holders of at least a majority in aggregate principal amount of the outstanding Registrable Notes affected
by such amendment, modification, supplement, waiver or departure.

 

(c)          Notices.
All notices and other communications provided for or permitted hereunder shall be made in writing by hand-delivery, registered
first-class mail, electronic mail, or any courier guaranteeing overnight delivery (i) if to a Holder or Participating Broker-Dealer
at the most current address set forth on the records of the registrar under the Indenture, and (ii) if to the Company, initially
at the 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 5(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 receipt is acknowledged, if sent via electronic mail; and on
the next Business Day if timely delivered to an air courier guaranteeing overnight delivery.

 

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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.

 

(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
Notes in violation of the terms hereof or of the Purchase Agreement or the Indenture. If any transferee of any Holder shall acquire
Registrable Notes, in any manner, whether by operation of law or otherwise, such Registrable Notes shall be held subject to all
of the terms of this Agreement, and by taking and holding such Registrable Notes, 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, including the restrictions on resale set
forth in this Agreement and, if applicable, the Purchase Agreement, and such Person shall be entitled to receive the benefits hereof.

 

(e)          Third
Party Beneficiary. Each Holder and Participating Broker-Dealer shall be a third party beneficiary of the agreements made hereunder
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. Each Holder, by its acquisition of Subordinated Notes, shall be deemed
to have agreed to the provisions of Section 4 hereof.

 

(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 and shall not limit or otherwise
affect the meaning hereof.

 

(h)          Restriction on Resales. If the Company or any of its subsidiaries or affiliates (as defined in Rule 144 under
the 1933 Act) shall redeem, purchase or otherwise acquire any Registrable Security or any Exchange Security which is a “restricted
security” within the meaning of Rule 144 under the 1933 Act, the Company will deliver or cause to be delivered such Registrable
Security or Exchange Security, as the case may be, to the Trustee for cancellation and neither the Company nor any of its subsidiaries
or affiliates will hold or resell such Registrable Security or Exchange Security or issue any new Security or Exchange Security
to replace the same.

 

(i)           GOVERNING LAW. THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE
OF NEW YORK.

 

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

 

[SIGNATURE PAGES FOLLOW]

 

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IN WITNESS WHEREOF,
the Company has caused this Registration Rights Agreement to be executed by its duly authorized representative as of the date first
above written.

 

	 	COMPANY:
	 	 
	 	MIDLAND STATES Bancorp, inc.
	 	 
	 	By:	                 
	 	Jeffrey G. Ludwig
	 	Chief Executive Officer and President

 

[Signature page to Registration Rights
Agreement]

 

    

     

    

 

IN WITNESS WHEREOF,
each Purchaser has caused this Registration Agreement to be executed by its duly authorized representative as of the date first
above written.

 

	 	
        PURCHASERS:

        

	 	 
	 	[_____________________]
	 	 
	 	By:	                                      
	 	 	Name:
	 	 	Title:

 

[Signature page to Registration Rights
Agreement]

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00300-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00300-of-00352.parquet"}]]