Document:

Exhibit 4.1

 

 

DYNEGY INC.,

 

as Issuer

 

 

INDENTURE

 

Dated as of June 21, 2016

 

 

Wilmington Trust, National Association

 

as Trustee

 

 

 

Table of Contents

 

	
 
    	
 
    	
Page
    
	
 
    	
 
    	
 
    
	
ARTICLE I
    
	
 
    
	
DEFINITIONS AND INCORPORATION BY   REFERENCE
    
	
 
    	
 
    	
 
    
	
Section 1.01
    	
Definitions
    	
1
    
	
Section 1.02
    	
Other Definitions
    	
5
    
	
Section 1.03
    	
Incorporation by   Reference of Trust Indenture Act
    	
6
    
	
Section 1.04
    	
Rules of   Construction
    	
6
    
	
 
    	
 
    	
 
    
	
ARTICLE II
    
	
 
    
	
THE SECURITIES
    
	
 
    	
 
    	
 
    
	
Section 2.01
    	
Form and Dating
    	
6
    
	
Section 2.02
    	
Execution and   Authentication
    	
7
    
	
Section 2.03
    	
Amount Unlimited;   Issuable in Series
    	
8
    
	
Section 2.04
    	
Denomination and Date   of Securities: Payments of Interest
    	
10
    
	
Section 2.05
    	
Registrar and Paving Agent
    	
11
    
	
Section 2.06
    	
Paving Agent to Hold   Money in Trust
    	
11
    
	
Section 2.07
    	
Holder Lists
    	
12
    
	
Section 2.08
    	
Transfer and Exchange
    	
12
    
	
Section 2.09
    	
Replacement Securities
    	
15
    
	
Section 2.10
    	
Outstanding Securities
    	
15
    
	
Section 2.11
    	
Treasury Securities
    	
16
    
	
Section 2.12
    	
Temporary Securities
    	
16
    
	
Section 2.13
    	
Cancellation
    	
16
    
	
Section 2.14
    	
CUSIP Numbers
    	
16
    
	
Section 2.15
    	
Series May Include   Tranches
    	
16
    
	
 
    	
 
    	
 
    
	
ARTICLE III
    
	
 
    
	
REDEMPTION
    
	
 
    	
 
    	
 
    
	
Section 3.01
    	
Applicability of   Article
    	
17
    
	
Section 3.02
    	
Selection of Securities   to Be Redeemed
    	
17
    
	
Section 3.03
    	
Notice of Redemption
    	
17
    
	
Section 3.04
    	
Effect of Notice of   Redemption
    	
18
    
	
Section 3.05
    	
Deposit of Redemption   Price
    	
19
    
	
Section 3.06
    	
Securities Redeemed in   Part
    	
19
    
	
Section 3.07
    	
Mandatory and Optional   Sinking Funds
    	
19
    
	
Section 3.08
    	
Calculation of   Redemption Price
    	
20
    
	
 
    	
 
    	
 
    
	
ARTICLE IV
    
	
 
    
	
COVENANTS
    
	
 
    	
 
    	
 
    
	
Section 4.01
    	
Payment of Securities
    	
20
    
	
Section 4.02
    	
Maintenance of Officer   or Agency
    	
20
    
	
Section 4.03
    	
Reports
    	
21
    
	
Section 4.04
    	
Compliance Certificate
    	
21
    
	
Section 4.05
    	
Holders’ Lists
    	
22
    

 

i

 

	
ARTICLE V 
    
	
 
    
	
CONSOLIDATION, MERGER OR SALE OF   ASSETS
    
	
 
    	
 
    	
 
    
	
Section 5.01
    	
Merger, Consolidation   or Sale of Assets
    	
22
    
	
Section 5.02
    	
Successor Corporation   Substituted
    	
23
    
	
 
    	
 
    	
 
    
	
ARTICLE
    
	
 
    
	
VIDEFAULTS   AND REMEDIES
    
	
 
    	
 
    	
 
    
	
Section 6.01
    	
Events of Default
    	
23
    
	
Section 6.02
    	
Acceleration
    	
24
    
	
Section 6.03
    	
Waiver of Past Defaults
    	
24
    
	
Section 6.04
    	
Control by Majority
    	
25
    
	
Section 6.05
    	
Limitations on Suits
    	
25
    
	
Section 6.06
    	
Collection Suit by   Trustee
    	
25
    
	
Section 6.07
    	
Priorities
    	
25
    
	
Section 6.08
    	
Trustee May File   Proofs of Claim
    	
26
    
	
 
    	
 
    	
 
    
	
ARTICLE VII
    
	
 
    
	
TRUSTEE
    
	
 
    	
 
    	
 
    
	
Section 7.01
    	
Duties of Trustee
    	
26
    
	
Section 7.02
    	
Rights of Trustee
    	
27
    
	
Section 7.03
    	
Individual Rights of   Trustee
    	
28
    
	
Section 7.04
    	
Trustee’s Disclaimer
    	
29
    
	
Section 7.05
    	
Notice of Defaults
    	
29
    
	
Section 7.06
    	
Reports by Trustee to   Holders
    	
29
    
	
Section 7.07
    	
Compensation and   Indemnity
    	
29
    
	
Section 7.08
    	
Replacement of Trustee
    	
30
    
	
Section 7.09
    	
Acceptance of   Appointment by Successor
    	
31
    
	
Section 7.10
    	
Successor Trustee by   Merger, etc.
    	
31
    
	
Section 7.11
    	
Eligibility;   Disqualification
    	
31
    
	
Section 7.12
    	
Preferential Collection   of Claims Against the Company
    	
32
    
	
 
    	
 
    	
 
    
	
ARTICLE VIII
    
	
 
    
	
LEGAL DEFEASANCE   AND COVENANT DEFEASANCE
    
	
 
    	
 
    	
 
    
	
Section 8.01
    	
Option to Effect Legal   Defeasance or Covenant Defeasance
    	
32
    
	
Section 8.02
    	
Legal Defeasance and   Discharge
    	
32
    
	
Section 8.03
    	
Covenant Defeasance
    	
32
    
	
Section 8.04
    	
Conditions to Legal or   Covenant Defeasance
    	
33
    
	
Section 8.05
    	
Deposited Money and   Government Securities to be Held in Trust; Other Miscellaneous Provisions
    	
34
    
	
Section 8.06
    	
Repayment to Company
    	
34
    
	
Section 8.07
    	
Reinstatement
    	
35
    
	
 
    	
 
    	
 
    
	
ARTICLE IX
    
	
 
    
	
AMENDMENT, SUPPLEMENT AND WAIVER
    
	
 
    	
 
    	
 
    
	
Section 9.01
    	
Without Consent of   Holders of Securities
    	
35
    

 

ii

 

	
Section 9.02
    	
With Consent of Holders   of Securities
    	
36
    
	
Section 9.03
    	
Compliance with Trust   Indenture Act
    	
37
    
	
Section 9.04
    	
Revocation and Effect   of Consents
    	
37
    
	
Section 9.05
    	
Notation on or Exchange   of Securities
    	
37
    
	
Section 9.06
    	
Trustee to Sign   Amendments, etc.
    	
37
    
	
 
    	
 
    	
 
    
	
ARTICLE X
    
	
 
    
	
SATISFACTION AND   DISCHARGE
    
	
 
    	
 
    	
 
    
	
Section 10.01
    	
Satisfaction and   Discharge
    	
38
    
	
Section 10.02
    	
Application of Trust   Money
    	
38
    
	
 
    	
 
    	
 
    
	
ARTICLE XI 
    
	
 
    
	
MISCELLANEOUS SECTION 11.01
    
	
 
    	
 
    	
 
    
	
Section 11.01
    	
Trust Indenture Act   Controls
    	
39
    
	
Section 11.02
    	
Notices
    	
39
    
	
Section 11.03
    	
Communication by   Holders of Securities with Other Holders of Securities
    	
40
    
	
Section 11.04
    	
Certificate and Opinion   as to Conditions Precedent
    	
40
    
	
Section 11.05
    	
Statements Required in   Certificate or Opinion
    	
41
    
	
Section 11.06
    	
Rules by Trustee   and Agents
    	
41
    
	
Section 11.07
    	
No Personal Liability   of Directors, Officers, Employees and Stockholders
    	
41
    
	
Section 11.08
    	
Governing Law
    	
41
    
	
Section 11.09
    	
Waiver of Immunity
    	
42
    
	
Section 11.10
    	
Waiver of Jury Trials
    	
42
    
	
Section 11.11
    	
No Adverse   Interpretation of Other Agreements
    	
42
    
	
Section 11.12
    	
Successors
    	
42
    
	
Section 11.13
    	
Evidence of Ownership
    	
42
    
	
Section 11.14
    	
U.S.A. Patriot Act
    	
43
    
	
Section 11.15
    	
Severability
    	
43
    
	
Section 11.16
    	
Counterpart Originals
    	
43
    
	
Section 11.17
    	
Table of Contents,   Headings, etc.
    	
43
    

 

iii

 

CROSS-REFERENCE TABLE*

 

	
Trust Indenture Act Section
    	
 
    	
Indenture Section
    
	
310(a)(1)
    	
 
    	
7.11
    
	
310(a)(2)
    	
 
    	
7.11
    
	
310(a)(5)
    	
 
    	
7.11
    
	
310(b)
    	
 
    	
7.03; 7.11
    
	
311
    	
 
    	
7.03
    
	
311(a)
    	
 
    	
7.12
    
	
311(b)
    	
 
    	
7.12
    
	
311(b)(4)
    	
 
    	
7.03
    
	
311(b)(6)
    	
 
    	
7.03
    
	
312(a)
    	
 
    	
2.07; 4.03
    
	
312(b)
    	
 
    	
11.03
    
	
312(c)
    	
 
    	
11.03
    
	
313(a)
    	
 
    	
7.06
    
	
313(b)
    	
 
    	
7.06
    
	
313(b)(2)
    	
 
    	
7.07
    
	
313(c)
    	
 
    	
7.05; 7.06; 11.02
    
	
313(c)(2)
    	
 
    	
11.02
    
	
314
    	
 
    	
1.01
    
	
315(a)
    	
 
    	
7.02
    
	
315(b)
    	
 
    	
7.02318
    
	
315(c)
    	
 
    	
7.02
    
	
315(d)
    	
 
    	
7.02
    
	
318(c)
    	
 
    	
11.01
    

 

*                 This Cross Reference Table is not part of this Indenture.

 

 

INDENTURE, dated as of June 21, 2016, by and between Dynegy Inc., a Delaware corporation, and Wilmington Trust, National Association, as Trustee (as defined below).

 

The Company (as defined below) desires to the extent set forth herein to provide for the issuance from time to time of its notes, bonds, debentures or other evidences of indebtedness in one or more series up to such principal amount or amounts as may from time to time be authorized in accordance with the terms of this Indenture.

 

The execution and delivery of this Indenture has been duly authorized by a Board Resolution (as defined below) of the Company.

 

All conditions and requirements necessary to make this Indenture a valid, binding and legal instrument of the Company in accordance with its terms have been performed and fulfilled and the execution and delivery hereof has been in all respects duly authorized by the Company.

 

The Company and the Trustee agree as follows for the benefit of each other and for the equal and ratable benefit of the Holders (as defined herein) from time to time of the Securities or of any and all series thereof and of the coupons, if any, appertaining thereto:

 

ARTICLE I

 

DEFINITIONS AND INCORPORATION BY REFERENCE

 

Section 1.01         Definitions.

 

For all purposes of this Indenture and of any indenture supplemental hereto, the following terms shall have the respective meanings set forth in this Section.

 

“Affiliate” of any specified Person means any other Person directly or indirectly controlling or controlled by or under direct or indirect common control with such specified Person.  For purposes of this definition, “control,” as used with respect to any Person, means the possession, directly or indirectly, of the power to direct or cause the direction of the management or policies of such Person, whether through the ownership of voting securities, by agreement or otherwise; provided that Beneficial Ownership of 10% or more of the Voting Stock of a Person will be deemed to be control.  For purposes of this definition, the terms “controlling,” “controlled by” and “under common control with” have correlative meanings.

 

“Agent” means any Registrar, co-registrar, Paying Agent, additional paying agent, Calculation Agent or transfer agent.

 

“Authorized Officer” shall mean, with respect to (i) delivering an Officer’s Certificate pursuant to this Indenture, the chief executive officer, the president, the chief financial officer, the treasurer, the assistant treasurer, the principal accounting officer or any other person of the Company having substantially the same responsibilities as the aforementioned officers, and (ii) any other matter in connection with this Indenture, the chief executive officer, chief financial officer, treasurer, the assistant treasurer, general counsel or a responsible financial or accounting officer of the Company.

 

“Bankruptcy Law” means Title 11, U.S. Code, 11 U.S.C. §§101, et. seq., as amended from time to time, or any similar federal or state or other law for the relief of debtors.

 

“Beneficial Owner” has the meaning assigned to such term in Rule 13d-3 and Rule 13d-5 under the Exchange Act.

 

1

 

“Board of Directors” means:

 

(a)           with respect to a corporation, the board of directors of the corporation or any committee thereof duly authorized to act on behalf of such board;

 

(b)           with respect to a partnership, the board of directors of the general partner of the partnership;

 

(c)           with respect to a limited liability company, the managing member or members or any controlling committee of managing members thereof; and

 

(d)           with respect to any other Person, the board or committee of such Person serving a similar function.

 

“Board Resolution” means one or more resolutions of the Board of Directors of the Company or any authorized committee thereof, certified by the secretary or an assistant secretary of the Company to have been duly adopted and to be in full force and effect on the date of certification, and delivered to the Trustee.

 

“Business Day” means, unless otherwise provided with respect to a series of Securities, any day other than a Legal Holiday.

 

“Calculation Agent” means a financial institution appointed by the Company to calculate the interest rate payable in respect of each interest period on any floating rate notes issued pursuant to this Indenture.

 

“Capital Stock” means:

 

(a)           in the case of a corporation, corporate stock;

 

(b)           in the case of an association or business entity, any and all shares, interests, participations, rights or other equivalents (however designated) of corporate stock;

 

(c)           in the case of a partnership or limited liability company, partnership interests (whether general or limited) or membership interests; and

 

(d)           any other interest or participation that confers on a Person the right to receive a share of the profits and losses of, or distributions of assets of, the issuing Person,

 

but excluding from all of the foregoing any debt securities convertible into Capital Stock, whether or not such debt securities include any right of participation with Capital Stock.

 

“Company” means Dynegy Inc., and any and all successors thereto.

 

“Company Order” means a written order signed in the name of the Company by one Officer, which must be the Company’s principal executive officer, principal financial officer or principal accounting officer.

 

“Corporate Trust Office of the Trustee” will be at the address of the Trustee specified in Section 11.02 hereof or such other address as to which the Trustee may give notice to the Company.

 

“Default” means any event, act or condition which with notice or lapse of time, or both, would (without cure or waiver hereunder) constitute an Event of Default.

 

“Depositary” means, with respect to the Securities of any series issuable or issued, in whole or in part, in the form of one or more Registered Global Securities, the Person designated as Depositary by the

 

2

 

Company pursuant to Section 2.03 hereof until a successor Depositary replaces it pursuant to the applicable provisions of this Indenture, and thereafter “Depositary” shall mean or include each Person who is then a Depositary hereunder, and if at any time there is more than one such Person, “Depositary” as used with respect to the Securities of any such series shall mean the Depositary with respect to the Registered Global Securities of that series.

 

“Disqualified Stock” means any Capital Stock that, by its terms (or by the terms of any security into which it is convertible, or for which it is exchangeable, in each case at the option of the holder of the Capital Stock), or upon the happening of any event, matures or is mandatorily redeemable, pursuant to a sinking fund obligation or otherwise, or redeemable at the option of the holder of the Capital Stock, in whole or in part, on or prior to the date that is 91 days after the date on which the Securities of any applicable series mature.

 

“Equity Interests” means Capital Stock and all warrants, options or other rights to acquire Capital Stock (but excluding any debt security that is convertible into, or exchangeable for, Capital Stock).

 

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

 

“GAAP” means generally accepted accounting principles set forth in the opinions and pronouncements of the Accounting Principles Board of the American Institute of Certified Public Accountants and statements and pronouncements of the Financial Accounting Standards Board or in such other statements by such other entity as have been approved by a significant segment of the accounting profession, which are in effect from time to time; provided, however, that if any operating lease would be recharacterized as a capital lease due to changes in the accounting treatment of such operating lease under GAAP since the date of issuance of the Securities of any series, then solely with respect to the accounting treatment of any such leases, GAAP shall be interpreted as it was in effect on the date of issuance of the Securities of such series.

 

“Government Securities” means direct obligations of, or obligations guaranteed by, the United States of America (including any agency or instrumentality thereof) for the payment of which obligations or guarantees the full faith and credit of the United States of America is pledged and which are not callable or redeemable at the issuer’s option.

 

“Holder” means the registered holder of any Security with respect to Registered Securities and the bearer of any Unregistered Security or any coupon appertaining thereto, as the case may be.

 

“Indenture” means this Indenture as originally executed and delivered or as it may be amended or supplemented from time to time by one or more indentures supplemental to this Indenture entered into pursuant to the applicable provisions of this Indenture and shall include the forms and terms of the Securities of each series established as contemplated pursuant to Section 2.01 and 2.03 hereof.

 

“Indirect Participant” means a Person who holds a beneficial interest in a Registered Global Security through a Participant.

 

“Legal Holiday” means a Saturday, a Sunday or a day on which banking institutions in the City of New York or at a place of payment are authorized by law, regulation or executive order to remain closed.  If a payment date is a Legal Holiday at a place of payment, payment may be made at that place on the next succeeding day that is not a Legal Holiday, and no interest shall accrue on such payment for the intervening period.

 

“Officer” means, with respect to any Person, the 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, any Assistant Secretary or any Vice-President of such Person.

 

3

 

“Officer’s Certificate” means a certificate signed on behalf of the Company by an Authorized Officer of the Company that meets the requirements set forth in this Indenture.

 

“Opinion of Counsel” means an opinion from legal counsel who is reasonably acceptable to the Trustee, that meets the requirements of Section 11.05 hereof.  The counsel may be an employee of or counsel to the Company, any Subsidiary of the Company or the Trustee.  Each such opinion shall comply with TIA § 314, if applicable.

 

“Original Issue Date” of any Security (or portion thereof) means the earlier of (a) the date of authentication of such Security or (b) the date of any Security (or portion thereof) for which such Security was issued (directly or indirectly) on registration of transfer, exchange or substitution.

 

“Original Issue Discount Security” means any Security that provides for an amount less than the principal amount thereof to be due and payable upon a declaration of acceleration of the maturity thereof pursuant to Section 6.02 hereof.

 

“Participant” means, with respect to the Depositary, a Person who has an account with the Depositary.

 

“Periodic Offering” means an offering of Securities of a series from time to time, the specific terms of which Securities, including, without limitation, the rate or rates of interest, if any, thereon, the stated maturity or maturities thereof and the redemption provisions, if any, with respect thereto, are to be determined by the Company or its agents upon the issuance of such Securities.

 

“Person” means any individual, corporation, partnership, joint venture, association, joint-stock company, trust, unincorporated organization, limited liability company or government or other entity.

 

“Qualifying Equity Interests” means Equity Interests of the Company other than Disqualified Stock.

 

“Registered Global Security” means a Security evidencing all or a part of a series of Registered Securities, issued to the Depositary for such series in accordance with Section 2.02 hereof, and bearing the legend prescribed in Section 2.02 hereof.

 

“Registered Security” means any Security registered on the Security Register (as defined in Section 2.05 hereof).

 

“Responsible Officer” means (i) when used with respect to the Trustee, any vice president, assistant vice president, any assistant secretary, any assistant treasurer, any associate or any other officer of the Trustee customarily performing functions similar to those performed by any of the above designated officers, in each case, who at such time shall have direct responsibility for the administration of this Indenture and, with respect to a particular matter, any other officer of the Trustee to whom such matter is referred because of such officer’s knowledge of and familiarity with the particular subject, and (ii) when used with respect to any other Person, the chief executive officer, chief financial officer, treasurer or general counsel of such person.

 

“SEC” means the Securities and Exchange Commission or, if at any time after the execution and delivery of this instrument such SEC is not existing and performing the duties now assigned to it under the TIA, then the body performing such duties at such time.

 

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

 

4

 

“Security” or “Securities” means any of the securities, as described in the second paragraph of the recitals hereof, that are authenticated and delivered under this Indenture and, unless the context indicates otherwise, shall include any coupon appertaining thereto.

 

“Stated Maturity” means, with respect to any installment of interest or principal on any series of indebtedness, the date on which the payment of interest or principal is scheduled to be paid in the documentation governing such indebtedness, and will not include any contingent obligations to repay, redeem or repurchase any such interest or principal prior to the date originally scheduled for the payment thereof.

 

“Subsidiary” means, with respect to any specified Person:

 

(a)           any corporation, association or other business entity of which more than 50% of the total voting power of shares of Capital Stock entitled (without regard to the occurrence of any contingency and after giving effect to any voting agreement or stockholders’ agreement that effectively transfers voting power) to vote in the election of directors, managers or trustees of the corporation, association or other business entity is at the time owned or controlled, directly or indirectly, by that Person or one or more of the other Subsidiaries of that Person (or a combination thereof); and

 

(b)           any partnership (a) the sole general partner or the managing general partner of which is such Person or a Subsidiary of such Person or (b) the only general partners of which are that Person or one or more Subsidiaries of that Person (or any combination thereof).

 

“TIA” means the Trust Indenture Act of 1939, as amended (15 U.S.C. §§ 77aaa-77bbbb).

 

“Trustee” means Wilmington Trust, National Association, until a successor replaces it in accordance with the provisions of Article VII, and thereafter shall mean or include each Person who is then a Trustee hereunder, and if at any time there is more than one such Person, “Trustee” as used with respect to the Securities of any series shall mean the Trustee with respect to Securities of that series.

 

“Unregistered Security” means any Security other than a Registered Security.

 

“Voting Stock” of any Person as of any date means the Capital Stock of such Person that is at the time entitled to vote in the election of the Board of Directors of such Person.

 

“Yield to Maturity” means, as the context may require, the yield to maturity (i) on a series of Securities or (ii) if the Securities of a series are issuable from time to time, on a Security of such series, calculated at the time of issuance of such series in the case of clause (i) or at the time of issuance of such Security of such series in the case of clause (ii), or, if applicable, at the most recent redetermination of interest on such series or on such Security, and calculated in accordance with the constant interest method or such other accepted financial practice as is specified in the terms of such Security.

 

Section 1.02         Other Definitions.

 

	
Term
    	
 
    	
Section
    
	
Cash Transaction
    	
 
    	
7.03
    
	
Covenant Defeasance
    	
 
    	
8.03
    
	
Event of Default
    	
 
    	
6.01
    
	
Legal Defeasance
    	
 
    	
8.02
    
	
Mandatory Sinking Fund Payment
    	
 
    	
3.07
    
	
Optional Sinking Fund Payment
    	
 
    	
3.07
    
	
Paying Agent
    	
 
    	
2.05
    
	
Payment Default
    	
 
    	
6.01
    

 

5

 

	
Term
    	
 
    	
Section
    
	
record date
    	
 
    	
2.04
    
	
Registrar
    	
 
    	
2.05
    
	
Security Register
    	
 
    	
2.05
    
	
self-liquidating paper
    	
 
    	
7.03
    
	
Sinking Fund Payment Date
    	
 
    	
3.07
    
	
Tranche
    	
 
    	
2.15
    

 

Section 1.03         Incorporation by Reference of Trust Indenture Act.  Whenever this Indenture refers to a provision of the TIA, the provision is incorporated by reference in and made a part of this Indenture.  The following TIA terms used in this Indenture have the following meanings:

 

“obligor” on the Securities means the Company and any successor obligor upon the Securities.

 

All other terms used in this Indenture that are defined by the TIA, defined by TIA reference to another statute or defined by SEC rule under the TIA have the meanings so assigned to them.

 

Section 1.04         Rules of Construction.  Unless the context otherwise requires:

 

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

 

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

 

(c)           “or” is not exclusive;

 

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

 

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

 

(f)            provisions apply to successive events and transactions; and

 

(g)           references to sections of or rules under the Securities Act and the Exchange Act will be deemed to include substitute, replacement of successor sections or rules adopted by the SEC from time to time.

 

ARTICLE II

 

THE SECURITIES

 

Section 2.01         Form and Dating.  The Securities of each series shall be substantially in such form or forms (not inconsistent with this Indenture) as shall be established by or pursuant to one or more Board Resolutions or in one or more indentures supplemental hereto, in each case with such appropriate insertions, omissions, substitutions and other variations as are required or permitted by this Indenture and may have imprinted or otherwise reproduced thereon such legend or legends or endorsements, not inconsistent with the provisions of this Indenture, as may be required to comply with any law, or with any rules of any securities exchange or usage, all as may be determined by the Officers executing such Securities as evidenced by their execution of the Securities.  Unless otherwise so established, Unregistered Securities shall have coupons attached.  To the extent any provisions of any Security conflict with the express provisions of this Indenture, the provisions of this Indenture shall govern and control.

 

6

 

Section 2.02         Execution and Authentication.

 

(a)           One Officer must sign the Securities and the coupons appertaining thereto, if any, for the Company by manual, facsimile or .pdf signature.

 

(b)           If an Officer whose signature is on a Security or coupon appertaining thereto no longer holds that office at the time such Security is authenticated, such Security will nevertheless be valid.

 

(c)           A Security will not be valid until authenticated by the manual signature of the Trustee.  The signature will be conclusive evidence that the Security has been authenticated under this Indenture.  Unless otherwise specified with respect to a series of Securities, a Security shall be dated the date of its authentication.

 

(d)           At any time and from time to time after the execution and delivery of this Indenture, the Company may deliver Securities of any series having attached thereto appropriate coupons, if any, executed by the Company to the Trustee for authentication together with the applicable documents referred to below in this Section, and the Trustee shall, upon receipt of a Company Order, authenticate such Securities for issuance under this Indenture.  Such Company Order may authorize authentication and delivery pursuant to oral or electronic instructions from the Company or its duly authorized agent or agents, which oral instructions shall be promptly confirmed in writing.  In authenticating such Securities, the Trustee shall be entitled to receive prior to the authentication of any Securities of such series each of the following, and (subject to Article VII) shall be fully protected in relying upon, unless and until such documents have been superseded or revoked:

 

(i)            a Board Resolution and/or executed supplemental indenture referred to in Section 2.01 and 2.03 hereof by or pursuant to which the forms and terms of the Securities of that series were established;

 

(ii)           a Company Order;

 

(iii)          an Officer’s Certificate stating that (A) all covenants and conditions precedent to the issuance, execution, authentication and delivery of the Securities have been complied with, (B) no Default or Event of Default has occurred and is continuing, and (C) setting forth the form or forms and terms of the Securities, stating that the form or forms and terms of the Securities of such series have been, or, in the case of a Periodic Offering, will be when established in accordance with such procedures as shall be referred to therein, established in compliance with this Indenture; and

 

(iv)          an Opinion of Counsel substantially to the following effect, which Opinion of Counsel may contain such assumptions, qualifications and limitations as such counsel shall reasonably deem appropriate:  (A) the form or forms and terms of the Securities of such series have been, or, in the case of a Periodic Offering, will be when established in accordance with such procedures as shall be referred to therein, established in compliance with this Indenture and (B) this Indenture and such Securities have been duly authorized and, if executed and authenticated in accordance with the provisions of this Indenture and delivered and duly paid for, will be entitled to the benefits of this Indenture and will constitute valid and legally binding obligations of the Company, enforceable against the Company in accordance with their respective terms, subject to bankruptcy, insolvency, reorganization, receivership, moratorium and other similar laws affecting creditors’ rights generally and general principles of equity (regardless of whether enforceability is considered in a proceeding of equity or law).

 

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(e)           The Trustee may appoint an authenticating agent acceptable to the Company to authenticate Securities.  An authenticating agent may authenticate Securities whenever the Trustee may do so.  Each reference in this Indenture to authentication by the Trustee includes authentication by such agent.  An authenticating agent has the same rights as an Agent to deal with Holders, the Company or an Affiliate of the Company.

 

(f)            Notwithstanding the provisions of Section 2.01 hereof and this Section 2.02. if, in connection with a Periodic Offering, all Securities of a series are not to be originally issued at one time, it shall not be necessary to deliver the Board Resolution or Officer’s Certificate and Opinion of Counsel otherwise required pursuant to this Section at or prior to the authentication of each Security of such series if such documents are delivered at or prior to the authentication upon original issuance of the first Security of such series to be issued; provided that a Company Order shall be delivered in connection with each request to authenticate any Security.

 

(g)           With respect to Securities of a series offered in a Periodic Offering, the Trustee may conclusively rely, as to the authorization by the Company of any of such Securities, the forms and terms thereof and the legality, validity, binding effect and enforceability thereof, upon the Opinion of Counsel and the other documents delivered pursuant to this Section, as applicable, in connection with the first authentication of Securities of such series.

 

(h)           If the Company shall establish pursuant to or as contemplated by Section 2.03 hereof that the Securities of a series or a portion thereof are to be issued in the form of one or more Registered Global Securities, then the Company shall execute and the Trustee, upon receipt of a Company Order, shall authenticate and deliver one or more Registered Global Securities in temporary or permanent form that (i) shall represent and shall be denominated in an amount equal to the aggregate principal amount of all of the Securities of such series issued in such form and not yet cancelled, (ii) shall be registered in the name of the Depositary for such Registered Global Security or Securities or the nominee of such Depositary, (iii) shall be delivered by the Trustee to such Depositary or pursuant to such Depositary’s instructions and (iv) shall bear a legend substantially to the following effect:

 

“THIS SECURITY IS A REGISTERED GLOBAL SECURITY WITHIN THE MEANING OF THE INDENTURE HEREINAFTER REFERRED TO AND IS REGISTERED IN THE NAME OF A DEPOSITARY OR A NOMINEE THEREOF.  THIS SECURITY IS EXCHANGEABLE FOR SECURITIES REGISTERED IN THE NAME OF A PERSON OTHER THAN THE DEPOSITARY OR ITS NOMINEE ONLY IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE AND, UNLESS AND UNTIL IT IS EXCHANGED IN WHOLE OR IN PART FOR SECURITIES IN DEFINITIVE REGISTERED FORM, THIS SECURITY MAY NOT BE TRANSFERRED EXCEPT AS A WHOLE BY THE DEPOSITARY TO THE NOMINEE OF THE DEPOSITARY OR BY A NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY OR ANOTHER NOMINEE OF THE DEPOSITARY OR BY THE DEPOSITARY OR ANY SUCH NOMINEE TO A SUCCESSOR DEPOSITARY OR A NOMINEE OF SUCH SUCCESSOR DEPOSITARY.”

 

Section 2.03         Amount Unlimited; Issuable in Series.

 

(a)           The aggregate principal amount of Securities which may be authenticated and delivered under this Indenture is unlimited.

 

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(b)           There shall be established in or pursuant to a Board Resolution and set forth in an Officer’s Certificate, or established in one or more indentures supplemental hereto, prior to the initial issuance of Securities of any series, subject to the last sentence of this Section 2.03. any or all of the following:

 

(i)            title and aggregate principal amount;

 

(ii)           any applicable subordination provisions for any subordinated Securities;

 

(iii)          whether the Securities will be secured or unsecured;

 

(iv)          the guarantors, if any, and the terms of any guarantees (including provisions relating to seniority, subordination, security and release of any guarantees);

 

(v)           whether the Securities are exchangeable for other securities;

 

(vi)          the price, or prices, expressed as a percentage or percentages of principal amount at which the Securities will be issued;

 

(vii)         issue and maturity date(s);

 

(viii)        interest rate(s) or the method for determining the interest rate(s);

 

(ix)          dates on which interest will accrue or the method for determining dates on which interest will accrue;

 

(x)           dates on which interest will be payable and record dates for the determination of the Holders to which interest will be payable on such payment dates;

 

(xi)          the places where payments on the Securities will be payable;

 

(xii)         redemption or early repayment provisions;

 

(xiii)        authorized denominations;

 

(xiv)        form;

 

(xv)         amount of discount or premium, if any, with which the Securities will be issued;

 

(xvi)        whether the Securities will be issued in whole or in part in the form of one or more Registered Global Securities;

 

(xvii)       identity of the Depositary for Registered Global Securities;

 

(xviii)      whether a temporary Security is to be issued with respect to a series and whether any interest payable prior to the issuance of definitive Securities of the series will be credited to the account of the persons entitled thereto;

 

(xix)        the terms upon which beneficial interests in a temporary Registered Global Security may be exchanged in whole or in part for beneficial interests in a definitive Registered Global Security or for individual definitive Securities;

 

(xx)         any covenants applicable to the particular Securities being issued;

 

(xxi)        any Defaults and Events of Default applicable to the particular Securities being issued;

 

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(xxii)       currency, currencies or currency units in which the purchase price for, the principal of and any premium and any interest on, such Securities will be payable;

 

(xxiii)      time period within which, the manner in which and the terms and conditions upon which the purchaser of the Securities can select the payment currency;

 

(xxiv)     securities exchange(s) on which the Securities will be listed, if any;

 

(xxv)      the Company’s obligation or right to redeem, purchase or repay Securities under a sinking fund, amortization or analogous provision;

 

(xxvi)     provisions relating to covenant defeasance and legal defeasance;

 

(xxvii)    provisions relating to satisfaction and discharge of this Indenture;

 

(xxviii)   provisions relating to the modification of this Indenture both with and without the consent of Holders of Securities issued under this Indenture; and

 

(xxix)     any other terms of the Securities of such series and guarantees thereof, if any (which terms are not inconsistent with the provisions of the TIA, but may modify, amend, supplement or delete any of the terms of this Indenture with respect to the Securities of such series and guarantees thereof, if any).

 

(c)           Each Depositary designated pursuant to this Section 2.03 must, at the time of its designation and at all times while it serves as Depositary, be either a clearing agency registered under the Exchange Act and any other applicable statute or regulation or a foreign clearing agency regulated by a foreign financial regulatory authority as defined in Section 3(a)(52) of the Exchange Act, including, without limitation, Euroclear Bank S.A./N.V. and Clearstream Banking, société anonyme.

 

(d)           All Securities of any one series and coupons, if any, appertaining thereto shall be substantially identical, except (i) in the case of Registered Securities as to date and denomination, (ii) in the case of any Periodic Offering and (iii) as otherwise may be provided by or pursuant to the Board Resolution referred to in clause (b) above or as set forth in any such indenture supplemental hereto.  All Securities of any one series need not be issued at the same time and may be issued from time to time, consistent with the terms of this Indenture, if so provided by or pursuant to such Board Resolution or in any such indenture supplemental hereto and any forms and terms of Securities to be issued from time to time may be completed and established from time to time prior to the issuance thereof by procedures described in such Board Resolution or supplemental indenture.

 

Section 2.04         Denomination and Date of Securities:  Payments of Interest.

 

(a)           The Securities of each series shall be issuable as Registered Securities or Unregistered Securities in denominations established as contemplated by Section 2.03 hereof or, if not so established with respect to Securities of any series, in minimum denominations of $2,000 and integral multiples of $1,000 in excess thereof.  The Securities of each series shall be numbered, lettered or otherwise distinguished in such manner or in accordance with such plan as the Officers of the Company executing the same may determine, as evidenced by their execution thereof.

 

(b)           The Securities of each series shall bear interest, if any, from the date, and such interest and shall be payable on the dates, established as contemplated by Section 2.03 hereof.

 

(c)           The person in whose name any Registered Security of any series is registered at the close of business on any record date applicable to a particular series with respect to any interest payment date for such series shall be entitled to receive the interest, if any, payable on such interest

 

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payment date notwithstanding any transfer or exchange of such Registered Security subsequent to the record date and prior to such interest payment date.  The term “record date” as used with respect to any interest payment date (except a date for payment of defaulted interest) for the Securities of any series shall mean the date specified as such in the terms of the Registered Securities of such series established as contemplated by Section 2.03 hereof, or, if no such date is so established, the 15th day next preceding such interest payment date, whether or not such record date is a Business Day.

 

(d)                                 The Company shall promptly deliver to the Trustee following the end of each calendar year a written notice specifying the amount of original issue discount accrued on any outstanding Securities that are Original Issue Discount Securities or otherwise are issued with more than a de minimis amount of original issue discount (as defined in Section 1273(a) of the Internal Revenue Code of 1986, as amended) for such calendar year, including daily rates and accrual periods, and such other information relating to original issue discount reasonably necessary in order to complete any required tax information reports for such calendar year.

 

Section 2.05                            Registrar and Paving Agent.

 

(a)                                 The Company will maintain an office or agency where Securities may be presented for registration, registration of transfer or for exchange (the “Registrar”) and an office or agency where Securities may be presented for payment (the “Paving Agent”).  The Registrar will keep a register of the Registered Securities and the Holders thereof and of the Registered Securities’ registration, transfer and exchange (the “Security Register”).  The Company may appoint one or more co-registrars, one or more additional Paying Agents and one or more transfer agents with respect to any series of Securities.  The term “Registrar” includes any co-registrar and the term “Paying Agent” includes any additional paying agent.  The Company may change any Paying Agent, Registrar or transfer agent without notice to any Holder.  The Company will notify the Trustee in writing of the name and address of any Agent not a party to this Indenture.  The Company or any of the Company’s Subsidiaries may act as Paying Agent or Registrar.

 

(b)                                 The Company initially appoints the Trustee to act as the Registrar, Paying Agent and Calculation Agent.

 

(c)                                  Prior to due presentment for the registration of a transfer of any Registered Security, the Trustee, any Agent and the Company may deem and treat the Person in whose name such Registered Security is registered as the absolute owner of such Registered Security for the purpose of receiving payment of principal of and interest on such Registered Security and for all other purposes, and none of the Trustee, any Agent or the Company shall be affected by notice to the contrary.

 

(d)                                 The Trustee, any Agent and the Company may treat the bearer of any Unregistered Security and the bearer of any coupon as the absolute owner of such Unregistered Security or coupon for the purpose of receiving payment thereof or on account thereof and for all other purposes whatsoever, whether or not such Unregistered Security or coupon be overdue, and none of the Trustee, any Agent or the Company shall be affected by notice to the contrary.

 

Section 2.06                            Paving Agent to Hold Money in Trust.  The Company will require each Paying Agent other than the Trustee to agree in writing that the Paying Agent (i) will hold in trust for the benefit of Holders or the Trustee all money held by the Paying Agent for the payment of principal, premium or interest on the Securities and (ii) will notify the Trustee in writing of any default by the Company in making any such payment.  While any such default continues, the Trustee may require a Paying Agent to pay all money held by it to the Trustee.  The Company at any time may require a Paying Agent to pay all money held by it to the Trustee.  Upon payment over to the Trustee, the Paying Agent (if other than the Company or a Subsidiary of the Company) will have no further liability for the money.  If the Company or a Subsidiary of the Company acts as Paying Agent, it will segregate and hold in a separate trust fund

 

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for the benefit of the Holders all money held by it as Paying Agent.  Upon any bankruptcy or reorganization proceedings relating to the Company, the Trustee will serve as Paying Agent for the Securities.

 

Section 2.07                            Holder Lists.  The Trustee shall preserve in as current a form as is reasonably practicable the most recent list available to it of the names and addresses of all Holders and shall otherwise comply with TIA § 312(a).  If the Trustee is not the Registrar, the Company shall furnish to the Trustee at least seven Business Days before each interest payment date and at such other times as the Trustee may request in writing, a list in such form and as of such date as the Trustee may reasonably require of the names and addresses of the Holders and the Company shall otherwise comply with TIA § 312(a).

 

Section 2.08                            Transfer and Exchange.

 

(a)                                 Unregistered Securities (except for any temporary global Unregistered Securities) and coupons (except for coupons attached to any temporary global Unregistered Securities) shall be transferable by delivery.

 

(b)                                 At the option of the Holder thereof,

 

(i)                                     Registered Securities of any series (other than a Registered Global Security, except as set forth below) may be exchanged for a Registered Security or Registered Securities of such series and like tenor, of any authorized denominations and like aggregate principal amount and maturity, upon surrender of such Registered Securities to be exchanged at the agency of the Company that shall be maintained for such purpose in accordance with Section 2.05 hereof and upon payment, if the Company shall so require, of the charges hereinafter provided;

 

(ii)                                  if the Securities of any series are issued in both registered and unregistered form, except as otherwise established pursuant to Section 2.03 hereof, Unregistered Securities of any series may be exchanged for Registered Securities of such series and tenor having authorized denominations and an equal aggregate principal amount, upon surrender of such Unregistered Securities to be exchanged at the agency of the Company that shall be maintained for such purpose in accordance with Section 4.02 hereof, with, in the case of Unregistered Securities that have coupons attached, all unmatured coupons and all matured coupons in default thereto appertaining, and upon payment, if the Company shall so require, of the charges hereinafter provided;

 

(iii)                               if Unregistered Securities of any series, maturity date, interest rate and Original Issue Date are issued in more than one authorized denomination, except as otherwise established pursuant to Section 2.03 hereof, such Unregistered Securities may be exchanged for Unregistered Securities of such series and tenor having authorized denominations and an equal aggregate principal amount, upon surrender of such Unregistered Securities to be exchanged at the agency of the Company that shall be maintained for such purpose in accordance with Section 4.02 hereof, with, in the case of Unregistered Securities that have coupons attached, all unmatured coupons and all matured coupons in default thereto appertaining, and upon payment, if the Company shall so require, of the charges hereinafter provided.

 

Registered Securities of any series may not be exchanged for Unregistered Securities of such series.  Whenever any Securities are so surrendered for exchange, the Company shall execute, and the Trustee, upon receipt of a Company Order, shall authenticate and deliver, the Securities which the Holder making the exchange is entitled to receive.

 

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(c)                                  Upon surrender for registration of transfer of any Registered Security of a series at the agency of the Company that shall be maintained for that purpose in accordance with Section 2.05 hereof and upon payment, if the Company shall so require, of the charges hereinafter provided, the Company shall execute, and the Trustee shall, upon receipt of a Company Order, authenticate and deliver, in the name of the designated transferee or transferees, one or more new Registered Securities of the same series, of any authorized denominations and of like tenor and aggregate principal amount and maturity.

 

(d)                                 All Registered Securities presented or surrendered for registration of transfer, exchange, redemption or payment shall (if so required by the Company) be duly endorsed by, or be accompanied by a written instrument or instruments of transfer in form satisfactory to the Company duly executed by the Holder thereof or his attorney duly authorized in writing.

 

(e)                                  No service charge shall be made to a Holder of a Security for any registration of transfer or exchange, but the Company may require payment of a sum sufficient to cover any transfer tax or similar governmental charge payable in connection therewith (other than any such transfer taxes or similar governmental charge payable upon exchange or transfer pursuant to Sections 2.12, 3.07 and 9.05 hereof).

 

(f)                                   Notwithstanding any other provision of this Section 2.08, unless and until it is exchanged in whole or in part for Securities in definitive registered form, a Registered Global Security representing all or a portion of the Securities of a series may not be transferred except as a whole by the Depositary for such series to a nominee of such Depositary or by a nominee of such Depositary to such Depositary or another nominee of such Depositary or by such Depositary or any such nominee to a successor Depositary for such series or a nominee of such successor Depositary.

 

(g)                                  Registered Global Securities may be exchanged by the Company for Registered Securities of such series in definitive form if:

 

(i)                                     the Company delivers to the Trustee notice from the Depositary that it is unwilling or unable to continue to act as Depositary or that it is no longer a clearing agency registered under the Exchange Act and, in either case, a successor Depositary is not appointed by the Company within 120 days after the date of such notice from the Depositary;

 

(ii)                                  the Company in its sole discretion determines that the Registered Global Securities (in whole but not in part) should be exchanged for Registered Securities in definitive form and delivers an Officer’s Certificate to such effect to the Trustee; or

 

(iii)                               there has occurred and is continuing a Default or Event of Default with respect to the Securities of the applicable series.

 

(h)                                 If established by the Company pursuant to Section 2.03 hereof with respect to any Registered Global Security, the Depositary for such Registered Global Security may surrender such Registered Global Security in exchange in whole or in part for Registered Securities of the same series in definitive registered form on such terms as are acceptable to the Company and such Depositary.  Thereupon, the Company shall execute, and the Trustee shall, upon receipt of a Company Order, authenticate and deliver, without service charge,

 

(i)                                     to each Person specified by such Depositary, new Registered Securities of the same series, of any authorized denominations as requested by such Person, in an aggregate principal amount equal to and in exchange for such Person’s beneficial interest in the Registered Global Security; and

 

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(ii)                                  to such Depositary, a new Registered Global Security in a denomination equal to the difference, if any, between the principal amount of the surrendered Registered Global Security and the aggregate principal amount of Registered Securities authenticated and delivered pursuant to clause (i) above.

 

(i)                                     Registered Securities issued in exchange for a Registered Global Security pursuant to this Section 2.08 shall be registered in such names and in such authorized denominations as the Depositary for such Registered Global Security, pursuant to instructions from its Participant or Indirect Participants or otherwise, shall instruct the Trustee.  The Trustee shall deliver such Securities to or as directed by the Persons in whose names such Securities are so registered.  The Registered Global Security exchanged shall be canceled by the Trustee.

 

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

 

(k)                                 Notwithstanding anything herein or in the forms or terms of any Securities to the contrary, none of the Company, the Trustee or any agent of the Company or the Trustee shall be required to exchange any Unregistered Security for a Registered Security if such exchange would result in adverse federal income tax consequences to the Company (such as, for example, the inability of the Company to deduct from its income, as computed for federal income tax purposes, the interest payable on the Unregistered Securities) under then applicable United States federal income tax laws.  The Trustee and any such agent shall be entitled to rely on an Officer’s Certificate or an Opinion of Counsel in determining such result.

 

(l)                                     Neither the Registrar nor the Company shall be required (i) to issue, to register the transfer of or to exchange any Securities during a period beginning at the opening of business 15 days before the day of any selection of Securities for redemption and ending at the close of business on the day of selection; (ii) to register the transfer of or to exchange any Securities selected for redemption in whole or in part, except the unredeemed portion of any Securities being redeemed in part; or (iii) to register the transfer of or to exchange a Registered Security between a record date and the next succeeding interest payment date.

 

(m)                             Neither the Trustee nor any agent of the Trustee shall have any responsibility for any actions taken or not taken by the Depositary.

 

The Trustee shall have no responsibility or obligation to any Participant or Indirect Participant or any other Person with respect to the accuracy of the books or records, or the acts or omissions, of the Depositary or its nominee or of any Participant or Indirect Participant or member thereof, with respect to any ownership interest in the Securities or with respect to the delivery to any Participant or Indirect Participant or other Person (other than the Depositary) of any notice (including any notice of redemption) or the payment of any amount, under or with respect to such Securities.  All notices and communications to be given to the Holders and all payments to be made to the Holders under the Securities shall be given or made only to or upon the order of the registered holders of the Securities (which shall be the Depositary or its nominee in the case of a Registered Global Security).  The rights of beneficial owners in any Registered Global Security shall be exercised only through the Depositary subject to the customary procedures of the Depositary.  The Trustee may rely and shall be fully protected in relying upon information furnished by the Depositary with respect to its Participants or Indirect Participants.

 

The Trustee shall have no obligation or duty to monitor, determine or inquire as to compliance with any restrictions on transfer imposed under this Indenture or under applicable law with respect to any transfer of any interest in any Security (including any transfers between or among Participants or Indirect Participants in any Registered Global Security) other than to require delivery of such certificates and

 

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documentation or evidence as are expressly required by, and to do so if an when expressly required by, the terms of this Indenture, and to examine the same to determine substantial compliance as to form with the express requirements thereof.

 

Section 2.09                            Replacement Securities.

 

(a)                                 If any mutilated Security or a Security with a mutilated coupon appertaining to it is surrendered to the Trustee or the Company, the Company will issue and the Trustee, upon receipt of a Company Order, will authenticate, in exchange for such mutilated Security or in exchange for the Security to which a mutilated coupon appertains, a replacement Security of the same series and of like tenor and principal amount and bearing a number not contemporaneously outstanding, with coupons corresponding to the coupons, if any, appertaining to such mutilated Security or to the Security to which such mutilated coupon appertains.

 

(b)                                 If the Trustee or the Company receives evidence to its satisfaction of the destruction, loss or theft of any Security or coupon, the Company will issue and the Trustee, upon receipt of a Company Order, will authenticate, in lieu of any such destroyed, lost or stolen Security or in exchange for the Security to which a destroyed, lost or stolen coupon appertains (with all appurtenant coupons not destroyed, lost or stolen), a replacement Security of the same series and of like tenor and principal amount and bearing a number not contemporaneously outstanding, with coupons corresponding to the coupons, if any, appertaining to such destroyed, lost or stolen Security or to the Security to which such destroyed, lost or stolen coupon appertains.

 

(c)                                  An indemnity bond must be supplied by the Holder that is sufficient in the judgment of the Trustee and the Company to protect the Company, the Trustee, any Agent and any authenticating agent from any loss that any of them may suffer if a Security is replaced.  The Company may charge for its expenses in replacing a Security.

 

(d)                                 Every replacement Security of any series, with its coupons, if any, is an additional obligation of the Company and will be entitled to all of the benefits of this Indenture equally and proportionately with all other Securities of the same series and their coupons, if any, duly issued hereunder.

 

Section 2.10                            Outstanding Securities.

 

(a)                                 The Securities outstanding at any time are all the Securities authenticated by the Trustee except for those canceled by it, those delivered to it for cancellation and those described in this Section 2.10 as not outstanding.  Except as set forth in Section 2.11 hereof, a Security does not cease to be outstanding because the Company or an Affiliate of the Company holds the Security; however, Securities held by the Company or a Subsidiary of the Company shall not be deemed to be outstanding for purposes of Section 9.02(a) hereof.

 

(b)                                 If a Security is replaced pursuant to Section 2.09 hereof, it ceases to be outstanding unless the Trustee receives proof satisfactory to it that the replaced Security is held by a protected purchaser.

 

(c)                                  If the principal amount of any Security is considered paid under Section 4.01 hereof, it ceases to be outstanding and interest on it ceases to accrue.

 

(d)                                 If the Paying Agent (other than the Company, a Subsidiary of the Company or an Affiliate of any thereof) holds, on a redemption date or maturity date, money sufficient to pay Securities payable on that date, then on and after that date such Securities will be deemed to be no longer outstanding and will cease to accrue interest.

 

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(e)                                  In determining whether the Holders of the requisite principal amount of the outstanding Securities have concurred in any direction, waiver or consent, the principal amount of an Original Issue Discount Security that shall be deemed to be outstanding shall be the amount of the principal thereof that would be due and payable as of the date of such determination upon acceleration of the maturity thereof pursuant to Section 6.02 hereof.

 

Section 2.11                            Treasury Securities.  in determining whether the Holders of the required principal amount of Securities have concurred in any direction, waiver or consent, Securities owned by the Company, or by any Person directly or indirectly controlling or controlled by or under direct or indirect common control with the Company, will be considered as though not outstanding, except that for the purposes of determining whether the Trustee will be protected in relying on any such direction, waiver or consent, only Securities that a Responsible Officer of the Trustee actually knows are so owned will be so disregarded.

 

Section 2.12                            Temporary Securities.  Until certificates representing Securities of any series are ready for delivery, the Company may prepare and the Trustee, upon receipt of a Company Order, will authenticate temporary Securities of such series.  Temporary Securities of any series will be substantially in the form of certificated Securities of such series but may have variations that the Company considers appropriate for temporary Securities and as may be reasonably acceptable to the Trustee.  Without unreasonable delay, the Company will prepare and the Trustee will authenticate definitive Securities of any series in exchange for temporary Securities of such series.

 

(b)                                 Holders of temporary Securities will be entitled to all of the benefits of this Indenture.

 

Section 2.13                            Cancellation.  The Company at any time may deliver Securities to the Trustee for cancellation.  The Registrar, Paying Agent and transfer agent will forward to the Trustee any Securities surrendered to them for registration of transfer, exchange or payment.  The Trustee and no one else will cancel all Securities surrendered for registration of transfer, exchange, payment, replacement or cancellation and will dispose of such canceled Securities in its customary manner.  Certification of the disposition of all canceled Securities will be delivered to the Company at the Company’s written request.  The Company may not issue new Securities to replace Securities that it has paid or that have been delivered to the Trustee for cancellation.

 

Section 2.14                            CUSIP Numbers.  The Company in issuing Securities may use “CUSIP” numbers (if then generally in use), and, if so, the Trustee shall use “CUSIP” numbers in notices of redemption 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 Securities or as contained in any notice of a redemption and that reliance may be placed only on the other identification numbers printed on the Securities, and any such redemption shall not be affected by any defect in or omission of such numbers.  The Company will promptly notify the Trustee in writing of any change in the “CUSIP” numbers.

 

Section 2.15                            Series May Include Tranches.  A series of Securities may include one or more tranches (each a “tranche”) of Securities, including Securities issued in a Periodic Offering.  The Securities of different tranches may have one or more different terms, including authentication dates and public offering prices, but all the Securities within each such tranche shall have identical terms, including authentication date and public offering price.  Notwithstanding any other provision of this Indenture, with respect to Sections 2.02 (other than clauses (c) and (g) thereof) through 2.04, 2.08, 2.09, 2.12, 3.01 through 3.07, 4.02, 6.01 through 6.08, 8.01 through 8.03, 8.06, 9.02, 9.04, 9.05, 10.01 and 10.02 hereof, if any series of Securities includes more than one tranche, all provisions of such sections applicable to any series of Securities shall be deemed equally applicable to each tranche of any series of Securities in the

 

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same manner as though originally designated a series unless otherwise provided with respect to such series or tranche pursuant to Section 2.03 hereof.  In particular, and without limiting the scope of the next preceding sentence, any of the provisions of such sections which provide for or permit action to be taken with respect to a series of Securities shall also be deemed to provide for and permit such action to be taken instead only with respect to Securities of one or more tranches within that series (and such provisions shall be deemed satisfied thereby), even if no comparable action is taken with respect to Securities in the remaining tranches of that series.

 

ARTICLE III

 

REDEMPTION

 

Section 3.01                            Applicability of Article.  The provisions of this Article III shall be applicable to the Securities of any series which are redeemable before their maturity or to any sinking fund for the retirement of Securities of a series except as otherwise specified as contemplated by Section 2.03 hereof for Securities of such series.

 

Section 3.02                            Selection of Securities to Be Redeemed.

 

If less than all of the Securities of any series are to be redeemed at any time, the Trustee (or Registrar if other than the Trustee) shall select Securities of such series for redemption on a pro rata basis to the extent practicable or by lot or such other similar method in accordance with the procedures of the Depositary, if any, unless otherwise required by law or applicable stock exchange requirements.

 

In the event of partial redemption by lot, the particular Securities of the series to be redeemed shall be selected, unless otherwise provided herein, not less than 30 nor more than 60 days prior to the redemption by the Trustee from the outstanding Securities of such series not previously called for redemption.

 

The Trustee shall promptly notify the Company in writing of the Securities selected for redemption and, in the case of any Security of a series selected for partial redemption, the principal amount thereof to be redeemed.  Securities may be redeemed in principal amounts equal to authorized denominations for Securities of such series; except that if all of the Securities of a series of a Holder are to be redeemed, the entire outstanding amount of Securities of such series held by such Holder may be redeemed, even if not in the authorized denominations for such Security.  Except as provided in the preceding sentence, provisions of this Indenture that apply to Securities of a series called for redemption also apply to portions of Securities of a series called for redemption.

 

If a Security of any series is to be redeemed in part only, the notice of redemption that relates to such Security shall state the portion of the principal amount of such Security that is to be redeemed.  A new Security of the applicable series in principal amount equal to the unredeemed portion of the original Security shall be issued in the name of the Holder of the Securities of such series upon cancellation of the original Securities.  Securities called for redemption become due on the date fixed for redemption.  On and after the redemption date, interest ceases to accrue on Securities or portions of them called for redemption unless the Company defaults in making the applicable redemption payment.

 

Section 3.03                            Notice of Redemption.

 

(a)                                 At least 30 days but not more than 60 days before a redemption date, the Company shall mail or cause to be mailed, by first class mail or delivered electronically, a notice of redemption to each Holder whose Securities are to be redeemed at its registered address, except that redemption notices may be mailed or delivered electronically more than 60 days prior to a redemption

 

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date if the notice is issued in connection with a defeasance of the Securities or a satisfaction and discharge of this Indenture with respect to a series of Securities.

 

(b)                                 The notice will identify the Securities to be redeemed and will state:

 

(i)                                     the redemption date;

 

(ii)                                  the redemption price;

 

(iii)                               if Securities of any series are being redeemed in part, the portion of the principal amount of such Securities to be redeemed and that, after the redemption date upon surrender of such Securities, a new Security or Securities in principal amount equal to the unredeemed portion will be issued upon cancellation of the original Securities;

 

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

 

(v)                                 that Securities called for redemption together with coupons appertaining thereto maturing after the redemption date, if any, must be surrendered to the Paying Agent to collect the redemption price;

 

(vi)                              that such redemption is pursuant to the mandatory or optional sinking fund, or both, if such be the case;

 

(vii)                           that, unless the Company defaults in making such redemption payment, interest on Securities called for redemption ceases to accrue on and after the redemption date;

 

(viii)                        the paragraph of the Securities and/or section of the Officer’s Certificate or indenture supplemental hereto pursuant to which the Securities are issued pursuant to which the Securities called for redemption are being redeemed;

 

(ix)                              that no representation is made as to the correctness or accuracy of the CUSIP number, if any, listed in such notice or printed on the Securities; and

 

(x)                                 if such redemption is subject to the satisfaction of one of more conditions precedent, such notice shall state that, in the Company’s discretion, the redemption date may be delayed until such time as any or all such conditions shall be satisfied (or waived by the Company in its sole discretion), such redemption may not occur and such notice may be rescinded in the event that any or all of such conditions shall not have been satisfied (or waived by the Company in its sole discretion) by the redemption date, or by the redemption date so delayed.

 

(c)                                  The notice of redemption of Securities of any series to be redeemed at the option of the Company shall be given by the Company or, at the Company’s request, by the Trustee in the name and at the expense of the Company.

 

(d)                                 Any redemption and notice thereof may, in the Company’s discretion, be subject to the satisfaction of one or more conditions precedent.

 

Section 3.04                            Effect of Notice of Redemption.  Once notice of redemption is mailed or delivered electronically in accordance with Section 3.03 hereof, Securities called for redemption become, subject to any conditions precedent set forth in the notice of redemption, irrevocably due and payable on the redemption date at the redemption price.

 

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Section 3.05                            Deposit of Redemption Price.

 

One Business Day prior to the redemption date, the Company shall deposit with the Trustee or with the Paying Agent money sufficient to pay the redemption price of, accrued interest to but excluding the redemption date, and premium, if any, on all Securities of any series to be redeemed on that date.  Promptly after the Company’s written request, the Trustee or the Paying Agent shall promptly return to the Company any money deposited with the Trustee or the Paying Agent by the Company in excess of the amounts necessary to pay the redemption price of, accrued interest, and premium, if any, on, all Securities to be redeemed.

 

If the Company complies with the provisions of the preceding paragraph, on and after the redemption date, interest will cease to accrue on the Securities or the portions of Securities called for redemption.  If a Registered Security is redeemed on or after an interest record date but on or prior to the related interest payment date, then any accrued and unpaid interest shall be paid to the Person in whose name such Registered Security was registered at the close of business on such record date.  If any Security called for redemption is not so paid upon surrender for redemption because of the failure of the Company to comply with the preceding paragraph, interest shall be paid on the unpaid principal, from the redemption date until such principal is paid, and to the extent lawful on any interest or Yield to Maturity (in the case of an Original Issue Discount Security) not paid on such unpaid principal, in each case at the rate provided in the applicable Securities.

 

If any Security with coupons attached thereto is surrendered for redemption and is not accompanied by all appurtenant coupons maturing after the redemption date, the surrender of such missing coupon or coupons may be waived by the Company and the Trustee, if there be furnished to each of them such security or indemnity as they may require to save each of them harmless.

 

Section 3.06                            Securities Redeemed in Part.

 

Upon surrender of a Security of any series that is redeemed in part, the Company shall issue and, upon receipt of a Company Order, the Trustee shall authenticate for the Holder at the expense of the Company a new Security or Securities of such series (with any unmatured coupons attached), of authorized denominations, equal in principal amount to the unredeemed portion of the Security surrendered.

 

Section 3.07                            Mandatory and Optional Sinking Funds.

 

(a)                                 The provisions of this Section shall be applicable to any sinking fund for the retirement of Securities of any series except as otherwise specified in the Officer’s Certificate or indenture supplemental hereto for such Securities.  The minimum amount of any sinking fund payment provided for by the terms of Securities of any series is herein referred to as a “Mandatory Sinking Fund Payment,” and any payment in excess of such minimum amount provided for by the terms of the Securities of any series is herein referred to as an “Optional Sinking Fund Payment.” The date on which a sinking fund payment is to be made is herein referred to as the “Sinking Fund Payment Date.” If provided for by the terms of any Securities, the cash amount of any sinking fund payment may be subject to reduction as provided in clause (b) below.  Each sinking fund payment shall be applied to the redemption of Securities as provided for by the terms of such Securities.

 

(b)                                 The Company (i) may deliver outstanding Securities of a series (other than any previously called for redemption) and (ii) may apply as a credit Securities of a series which have been redeemed either at the election of the Company pursuant to the terms of such Securities or through the application of permitted Optional Sinking Fund Payments pursuant to the terms of such Securities, in each case in satisfaction of all or any part of any sinking fund payment with respect to any Securities of such series required to be made pursuant to the terms of such Securities as and to the extent provided for

 

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by the terms of such Securities; provided that the Securities to be so credited have not been previously so credited.  The Securities to be so credited shall be received and credited for such purpose by the Trustee at the redemption price, as specified in the Securities so to be redeemed, for redemption through operation of the sinking fund and the amount of such sinking fund payment shall be reduced accordingly.

 

(c)                                  Not less than 60 days prior to each Sinking Fund Payment Date for any Securities, the Company will deliver to the Trustee an Officer’s Certificate specifying the amount of the next ensuing sinking fund payment for such Securities pursuant to the terms of such Securities, the portion thereof, if any, which is to be satisfied by payment of cash and the portion thereof, if any, which is to be satisfied by delivering and crediting Securities pursuant to clause (b) above and will also deliver to the Trustee any Securities to be so delivered.  Not less than 30 days prior to each such Sinking Fund Payment Date, the Trustee shall select the Securities to be redeemed upon such Sinking Fund Payment Date in the manner specified in Section 3.03 hereof and cause notice of the redemption thereof to be given in the name of and at the expense of the Company in the manner provided in Section 3.03 hereof.  Such notice having been duly given, the redemption of such Securities shall be made upon the terms and in the manner stated in Section 3.03 hereof.

 

Section 3.08                            Calculation of Redemption Price.  The Trustee shall have no obligation to calculate the redemption price of any Security.

 

ARTICLE IV

 

COVENANTS

 

Unless otherwise specified as contemplated by Section 2.03. the covenants contained in this Article IV shall be applicable to the Securities of any series.

 

Section 4.01                            Payment of Securities.  The Company shall pay or cause to be paid the principal of, premium, if any, and interest on the Securities of a series on the dates and in the manner provided in the Securities of such series.  Principal, premium, if any, 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 10:00 a.m. Eastern Time on the due date money deposited by the Company in immediately available funds and designated for and sufficient to pay all principal, premium, if any, and interest then due.

 

Section 4.02                            Maintenance of Officer or Agency.

 

(a)                                 The Company shall maintain an office or agency (which may be an office of the Trustee or an affiliate of the Trustee or Registrar) where Securities of any series may be surrendered for registration of transfer or for exchange and where notices and demands to or upon the Company in respect of the Securities of such series and this Indenture may be served.  The Company shall give prompt written notice to the Trustee of the location, and any change in the location, of such office or agency.  If at any time the Company 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.

 

(b)                                 The Company may also from time to time designate one or more other offices or agencies where the Securities of a series may be presented or surrendered for any or all such purposes and may from time to time rescind such designations.  The Company shall give prompt written notice to the Trustee of any such designation or rescission and of any change in the location of any such other office or agency.

 

(c)                                  The Company hereby designates the Corporate Trust Office of the Trustee as one such office or agency of the Company in accordance with Section 2.05 hereof.

 

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Section 4.03                            Reports.

 

(a)                                 Whether or not required by the SEC’s rules and regulations, so long as Securities of any series are outstanding, the Company shall furnish to the Trustee, within the time periods (including any extensions thereof) specified in the SEC’s rules and regulations:

 

(i)                                     all quarterly and annual reports that would be required to be filed with the SEC on Forms 10-Q and 10-K if the Company were required to file such reports; and

 

(ii)                                  all current reports that would be required to be filed with the SEC on Form 8-K if the Company were required to file such reports.

 

All such reports shall be prepared in all material respects in accordance with all of the rules and regulations applicable to such reports.  Each annual report on Form 10-K will include a report on the Company’s consolidated financial statements by the Company’s independent registered public accounting firm.  In addition, the Company shall file a copy of each of the reports referred to in clauses (1) and (2) above with the SEC for public availability within the time periods specified in the rules and regulations applicable to such reports (unless the SEC will not accept such a filing).  To the extent such filings are made with the SEC, the reports shall be deemed to have been furnished to the Trustee and Holders of the Securities.  The Company agrees that it shall not take any action for the purpose of causing the SEC not to accept any such filings.

 

If, notwithstanding the foregoing, the SEC will not accept the Company’s filings for any reason, the Company shall (i) post the reports referred to in the preceding paragraph on its website with no password protection within the time periods that would apply if the Company were required to file those reports with the SEC, (ii) not later than ten Business Days after the time the Company posts its quarterly and annual reports on its website, hold a quarterly conference call to discuss the information contained in such reports and (iii) no fewer than two Business Days prior to the date of the conference call required to be held in accordance with clause (ii) above, issue a press release to appropriate U.S. wire services announcing the time and date of such conference call and either including all information necessary to access the call or directing the Holders or Beneficial Owners of, and prospective investors in, the Securities of any series and securities analysts and market makers to contact an individual at the Company (for whom contact information shall be provided in such press release) to obtain the information on how to access such conference call.

 

(b)                                 Delivery of any reports, information and documents to the Trustee pursuant to this Section 4.03 will be for informational purposes only, and the Trustee’s receipt thereof shall 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 under this Indenture or documents related thereto.

 

Section 4.04                            Compliance Certificate.

 

(a)                                 The Company shall deliver to the Trustee, within 90 days after the end of each fiscal year, an Officer’s Certificate stating that a review of the activities of the Company and its Subsidiaries during the preceding fiscal year has been made under the supervision of the signing Officer with a view to determining whether the Company has kept, observed, performed and fulfilled its obligations under this Indenture, and further stating, as to such Officer signing such certificate, that to the best of his or her knowledge the Company has kept, observed, performed and fulfilled each and every covenant contained in this Indenture and is not in default in the performance or observance of any of the terms, provisions and conditions of this Indenture (or, if a Default or Event of Default has occurred, describing all such Defaults or Events of Default of which he or she may have knowledge and what action the Company is taking or proposes to take with respect thereto) and that to the best of his or her knowledge no event has occurred

 

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and remains in existence by reason of which payments on account of the principal of or interest, if any, on the Securities of a series is prohibited or if such event has occurred, a description of the event and what action the Company is taking or proposes to take with respect thereto.

 

(b)                                 So long as any of the Securities of any series are outstanding, the Company shall deliver to the Trustee, forthwith upon any Officer becoming aware of any Default or Event of Default, an Officer’s Certificate specifying such Default or Event of Default and what action the Company is taking or proposes to take with respect thereto.

 

Section 4.05                            Holders’ Lists.  The Company shall furnish to the Trustee at least seven Business Days before each interest payment date of a series of Securities 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 of such series and the Company shall otherwise comply with TIA § 312(a); provided, however, that so long as the Trustee shall be the Registrar, such lists shall not be required to be furnished.

 

ARTICLE V

 

CONSOLIDATION, MERGER OR SALE OF ASSETS

 

Section 5.01                            Merger, Consolidation or Sale of Assets.  The Company may not, directly or indirectly:  (1) consolidate or merge with or into another Person (whether or not the Company is the surviving corporation); or (2) sell, assign, transfer, convey or otherwise dispose of all or substantially all of the properties or assets of the Company and its Subsidiaries taken as a whole, in one or more related transactions, to another Person; unless:

 

(a)                                 either:

 

(i)                                     the Company is the surviving corporation; or

 

(ii)                                  the Person formed by or surviving any such consolidation or merger (if other than the Company) or to which such sale, assignment, transfer, conveyance or other disposition has been made is a corporation, partnership or limited liability company organized or existing under the laws of the United States, any state of the United States or the District of Columbia; provided that if the Person is a partnership or limited liability company, then a corporation wholly-owned by such Person organized or existing under the laws of the United States, any state of the United States or the District of Columbia that does not and will not have any material assets or operations shall become a co-issuer of the Securities pursuant to a supplemental indenture executed by the Trustee;

 

(b)                                 the Person formed by or surviving any such consolidation or merger (if other than the Company) or the Person to which such sale, assignment, transfer, conveyance or other disposition has been made assumes all the obligations of the Company under this Indenture and the Securities pursuant to documents in such form as are reasonably satisfactory to the Trustee; and

 

(c)                                  immediately after such transaction, no Default or Event of Default exists.

 

In addition, the Company shall not, directly or indirectly, lease all or substantially all of its properties or assets, in one or more related transactions, to any other Person.

 

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This Section 5.01 shall not apply to:

 

(a)                                 a merger of the Company with an Affiliate solely for the purpose of re incorporating the Company in another jurisdiction or forming a direct holding company of the Company; and

 

(b)                                 any sale, transfer, assignment, conveyance, lease or other disposition of assets between or among the Company and its Subsidiaries, including by way of merger or consolidation.

 

Section 5.02                            Successor Corporation Substituted.  Upon any consolidation or merger, or any sale, assignment, transfer, lease, conveyance or other disposition of all or substantially all of the assets of the Company and its Subsidiaries taken as a whole in a transaction that is subject to, and that complies with the provisions of, Section 5.01 hereof, the successor corporation formed by such consolidation or into or with which the Company is merged or to which such sale, assignment, transfer, lease, conveyance or other disposition is made shall succeed to, and be substituted for (so that from and after the date of such consolidation, merger, sale, lease, conveyance or other disposition, the provisions of this Indenture referring to the “Company” shall refer instead to the successor corporation and not to the Company), 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; provided, however, that the predecessor Company shall not be relieved from the obligation to pay the principal of, interest, premium on the Securities except in the case of a sale of all of the Company’s assets in a transaction that is subject to, and that complies with the provisions of, Section 5.01 hereof.

 

ARTICLE VI

 

DEFAULTS AND REMEDIES

 

Section 6.01                            Events of Default.  Each of the following is an “Event of Default” with respect to the Securities of any series:

 

(a)                                 default for 30 days in the payment when due of interest on the Securities of such series;

 

(b)                                 default in payment when due of the principal of, or premium, if any, on the Securities of such series;

 

(c)                                  failure by the Company to comply with any covenant in this Indenture (other than a default specified in clause (a) or (b) above) for 60 days after written notice by the Trustee or Holders of at least 25% in principal amount of the Securities of such series;

 

(d)                                 default under any document evidencing any indebtedness for borrowed money by the Company, whether such indebtedness now exists or is created after the date of issuance of the Securities of such series, if that default:

 

(i)                                     is caused by a failure to pay principal when due at final (and not any interim) maturity on or prior to the expiration of any grace period provided in such indebtedness (a “Payment Default”); or

 

(ii)                                  results in the acceleration of such indebtedness prior to its express maturity (without such acceleration having been rescinded, annulled or otherwise cured),

 

and, in each case, the principal amount of any such indebtedness, together with the principal amount of any other such indebtedness under which there has been a Payment Default or the

 

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maturity of which has been so accelerated (without such acceleration having been rescinded, annulled or otherwise cured), aggregates $100.0 million or more; provided that this clause (d) shall not apply to (i) secured indebtedness that becomes due as a result of the voluntary sale or transfer of the property or assets securing such indebtedness and (ii) any indebtedness that is required to be converted into Qualifying Equity Interests upon the occurrence of certain designated events so long as no payments in cash or otherwise are required to be made in accordance with such conversion;

 

(e)                                  (i) a court of competent jurisdiction (A) enters an order or decree under any Bankruptcy Law that is for relief against the Company in an involuntary case; (B) appoints a custodian for all or substantially all of the property of the Company; or (C) orders the liquidation of the Company and, in each of clauses (A), (B) or (C), the order, appointment or decree remains unstayed and in effect for at least 60 consecutive days; or (ii) the Company, pursuant to or within the meaning of Bankruptcy Law (A) commences a voluntary case; (B) consents to the entry of an order for relief against it in an involuntary case; (C) consents to the appointment of a custodian of it or for all or substantially all of its property; or (D) makes a general assignment for the benefit of its creditors; or

 

(f)                                   any other Event of Default established pursuant to Section 2.03 hereof with respect to the Securities of such series occurs.

 

Section 6.02                            Acceleration.  In the case of an Event of Default pursuant to Section 6.01(e) hereof, the Securities of any series that are outstanding will become due and payable immediately without further action or notice.  If any other Event of Default with respect to the Securities of any series then outstanding occurs and is continuing, then, and in each such case, except for any series of Securities the principal of which shall have already become due and payable, the Trustee or the Holders of at least 25% in principal amount of the Securities of any such series that are outstanding (each such series treated as a separate class) may declare the entire principal (or, if the Securities of any such series are Original Issue Discount Securities, such portion of the principal amount as may be specified in the terms of such series established pursuant to Section 2.03 hereof) of all Securities of such series to be due and payable immediately.

 

For all purposes under this Indenture, if a portion of the principal of any Original Issue Discount Securities shall have been accelerated and declared or become due and payable pursuant to the provisions hereof, then, from and after such declaration, unless such declaration has been rescinded and annulled as provided in Section 6.03 hereof, the principal amount of such Original Issue Discount Securities shall be deemed, for all purposes hereunder, to be such portion of the principal thereof as shall be due and payable as a result of such acceleration, and payment of such portion of the principal thereof as shall be due and payable as a result of such acceleration, together with interest or premium, if any, thereon and all other amounts owing thereunder, shall constitute payment in full of such Original Issue Discount Securities.

 

Section 6.03                            Waiver of Past Defaults.  Holders of not less than a majority in aggregate principal amount of the then outstanding Securities of any series affected (voting as a single class) by notice to the Trustee may on behalf of the Holders of all of the Securities of such series waive any existing Default or Event of Default and its consequences hereunder, except a continuing Default or Event of Default in the payment of the principal of, premium, if any, or interest on, any Security; provided, however, that the Holders of a majority in aggregate principal amount of the then outstanding Securities of any series affected (voting as a single class) may rescind an acceleration and its consequences, including any related payment default that resulted from such acceleration.  Upon any such waiver, such Default shall cease to exist, and any Event of Default arising therefrom shall be deemed to have been cured for every purpose of this Indenture; but no such waiver shall extend to any subsequent or other Default or impair any right consequent thereon.

 

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Section 6.04                            Control by Majority.  Holders of a majority in principal amount of the Securities of any series affected (voting as a single class) that are then outstanding may direct the Trustee in its exercise of any trust or power.  However, the Trustee may refuse to follow any direction that conflicts with law or this Indenture or the affected Securities or, subject to Sections 7.01 and 7.02 hereof, that the Trustee determines is unduly prejudicial to the rights of other Holders of Securities of the affected series or would involve the Trustee in personal liability; provided, however, that the Trustee may take any other action deemed proper by the Trustee that is not inconsistent with such direction.  The Trustee may withhold from Holders of the Securities notice of any continuing Default or Event of Default if it determines that withholding notice is in their interest, except a Default or Event of Default relating to the payment of principal or interest.

 

Section 6.05                            Limitations on Suits.  In case an Event of Default occurs and is continuing with respect to the Securities of any series, the Trustee will be under no obligation to exercise any of the rights or powers under this Indenture at the request or direction of any Holders of the Securities of such series unless such Holders have offered to the Trustee indemnity or security satisfactory to the Trustee against any loss, liability or expense.  Except to enforce the right to receive payment of principal, premium (if any) or interest when due, no Holder of a Security may pursue any remedy with respect to this Indenture unless:

 

(a)                                 such Holder has previously given the Trustee notice that an Event of Default is continuing;

 

(b)                                 Holders of at least 25% in aggregate principal amount of the Securities of such series affected that are then outstanding have requested the Trustee to pursue the remedy;

 

(c)                                  such Holders have offered the Trustee reasonable security or indemnity against any loss, liability or expense;

 

(d)                                 the Trustee has not complied with such request within 60 days after the receipt thereof and the offer of security or indemnity; and

 

(e)                                  Holders of a majority in aggregate principal amount of Securities of such affected series then outstanding have not given the Trustee a direction inconsistent with such request within such 60-day period.

 

Section 6.06                            Collection Suit by Trustee.  If an Event of Default with respect to the Securities of any series specified in Section 6.01(a) or (b) hereof occurs and is continuing, the Trustee is authorized to recover judgment in its own name and as trustee of an express trust against the Company for the whole amount (or such portion thereof as specified in the terms established pursuant to Section 2.03 hereof of Original Issue Discount Securities) of principal of, premium, if any, and interest remaining unpaid on the Securities of such series and interest on overdue principal and, to the extent lawful, interest and such further amount as shall be sufficient to cover the costs and expenses of collection, including the reasonable compensation, expenses, disbursements and advances of the Trustee, its agents and counsel.  The Trustee may maintain a proceeding even if it does not possess any of the Securities of any series affected or does not produce any of them in the proceeding.

 

Section 6.07                            Priorities.  If the Trustee collects any money or property pursuant to this Article VI in respect of the Securities of any series, it shall pay out the money or property in the following order:

 

FIRST:  to the Trustee, its agents and attorneys for amounts due under Section 7.07 hereof with respect to such series of Securities, including payment of all compensation, expenses and liabilities incurred, and all advances made, by the Trustee and the costs and expenses of collection;

 

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SECOND:  to Holders of Securities of the applicable series for amounts due and unpaid on such Securities for principal, premium, if any, and interest, ratably, without preference or priority of any kind, according to the amounts due and payable on the Securities of such series for principal, premium, if any, and interest, respectively; and

 

THIRD:  to the Company or to such party as a court of competent jurisdiction shall direct.

 

The Trustee may fix a record date and payment date for any payment to Holders of Securities pursuant to this Section 6.07

 

Section 6.08                            Trustee May File Proofs of Claim.  The Trustee may file such proofs of claim and other papers or documents as may be necessary or advisable in order to have the claims of the Trustee (including any claim for the reasonable compensation, expenses, disbursements and advances of the Trustee, its agents and counsel) and the Holders allowed in any judicial proceedings relative to the Company, its Subsidiaries or its or their respective creditors or properties and, unless prohibited by law or applicable regulations, may be entitled and empowered to participate as a member of any official committee of creditors appointed in such matter and may vote on behalf of the Holders in any election of a trustee in bankruptcy or other Person performing similar functions, and any custodian or other party making payment in any such judicial proceeding is hereby authorized by each Holder to make payments to the Trustee and, in the event that the Trustee shall consent to the making of such payments directly to the Holders, to pay to the Trustee any amount due it for the compensation, expenses, disbursements and advances of the Trustee, its agents and its counsel, and any other amounts due the Trustee under Section 7.07 hereof.  No provision of this Indenture shall be deemed to authorize the Trustee to authorize or consent to or accept or adopt on behalf of any Holder any plan of reorganization, arrangement, adjustment or composition affecting the Securities or the rights of any Holder thereof or to authorize the Trustee to vote in respect of the claim of any Holder in any such proceeding.

 

ARTICLE VII

 

TRUSTEE

 

Section 7.01                            Duties of Trustee.

 

(a)                                 If an Event of Default has occurred and is continuing, the Trustee will exercise such of the rights and powers vested in it by this Indenture, 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.

 

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

 

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

 

(ii)                                  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 of this Indenture.  However, with respect to certificates or opinions specifically required by any provision hereof to be furnished to it, the Trustee will examine the certificates and opinions to determine whether or not they conform to the requirements of this Indenture (but need not confirm or investigate the accuracy of mathematical calculations or other facts stated therein).

 

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(c)                                  The Trustee may not be relieved from liabilities for its own negligent action, its own negligent failure to act, or its own willful misconduct, except that:

 

(i)                                     this Section 7.01(c) does not limit the effect of Section 7.01(b) hereof;

 

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

 

(iii)                               the Trustee will not be liable with respect to any action it takes or omits to take in good faith in accordance with a direction received by it pursuant to Section 6.04 hereof, relating to the time, method and place of conducting any proceeding for any remedy available to the Trustee, or exercising any trust or power conferred upon the Trustee, under this Indenture with respect to the Securities of any series.

 

(d)                                 No provision of this Indenture will require the Trustee to expend or risk its own funds or incur any liability.

 

(e)                                  The Trustee will not be liable for interest on or the investment of 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.

 

Whether or not therein expressly so provided, every provision of this Indenture that in any way relates to the Trustee is subject to this Section 7.01.

 

Section 7.02                            Rights of Trustee.  Subject to TIA §§ 315(a) through (d):

 

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

 

(b)                                 Before the Trustee acts or refrains from acting, it may require an Officer’s 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 Officer’s Certificate or Opinion of Counsel.  The Trustee may consult with counsel of its own selection and the 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.

 

(c)                                  The Trustee may act through its attorneys and agents and will not be responsible for the misconduct, negligence or failure to act of any attorney or agent appointed with due care.

 

(d)                                 The Trustee will not be liable for any action it takes, suffers or omits to take in good faith that it believes to be authorized or within the discretion or rights or powers conferred upon it by this Indenture.

 

(e)                                  Unless otherwise specifically provided in this Indenture, any demand, request, direction or notice from the Company will be sufficient if signed by an Officer of the Company.

 

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

 

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(g)                                  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.

 

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

 

(i)                                     The rights, privileges, protections, immunities and benefits given to the Trustee, including, without limitation, its right to be indemnified, are extended to, and shall be enforceable by, the Trustee in each of its capacities hereunder as Registrar and Paying Agent, and each Agent and other Person employed to act hereunder.

 

(j)                                    The Trustee may request that the Company deliver an Officer’s Certificate setting forth the names of individuals and/or titles of Officers authorized at such time to take specified actions pursuant to this Indenture, which Officer’s Certificate may be signed by any Person authorized to sign an Officer’s Certificate, including any Person specified as so authorized in any such certificate previously delivered and not superseded.

 

(k)                                 Notwithstanding any provision herein to the contrary, in no event shall the Trustee be liable for any failure or delay in the performance of its obligations under this Indenture because of circumstances beyond its control, including, but not limited to, nuclear or natural catastrophes or acts of God, flood, war (whether declared or undeclared), terrorism, fire, riot, strikes or work stoppages for any reason, embargo, government action, including any laws, ordinances, regulations or the like which restrict or prohibit the providing of the services contemplated by this Indenture, inability to obtain material, equipment, or communications or computer (software and hardware) facilities, or the failure of equipment or interruption of utilities, communications or computer (software and hardware) facilities, and other causes beyond its control whether or not of the same class or kind as specifically named above.

 

(l)                                     The Trustee shall not be bound to make any investigation into the facts or matters stated in any resolution, certificate, statement, instrument, opinion, report, notice, request, direction, consent, order, bond, debenture, note, other evidence of indebtedness or other paper or document, but the Trustee, in its discretion, may make such further inquiry or investigation into such facts or matters as it may see fit, and, if the Trustee shall determine to make such further inquiry or investigation, it shall be entitled to examine the books, records and premises of the Company, personally or by agent or attorney at the sole cost of the Company and shall incur no liability or additional liability of any kind by reason of such inquiry or investigation.

 

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

 

Section 7.03                            Individual Rights of Trustee.  The Trustee in its individual or any other capacity may become the owner or pledgee of Securities and may otherwise deal with the Company or any Affiliate of the Company with the same rights it would have if it were not Trustee.  Any Agent may do the same with like rights and duties.  The Trustee is also subject to Sections 7.10 and 7.11 hereof.  The Trustee is further subject to TIA §§ 310(b) and 311, and the rights, privileges, protections, immunities and benefits given to the Trustee, including without limitation its right to be compensated, reimbursed, and indemnified, are extended to, and shall be enforceable by, the Trustee in each of its capacities hereunder, and to each Agent and other Person employed to act hereunder.  For purposes of TIA § 311(b) (4) and (6), the following terms shall have the following meanings:

 

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(a)                                 “Cash Transaction” means any transaction in which full payment for goods or securities sold is made within seven days after delivery of the goods or securities in currency or in checks or other orders drawn upon banks or bankers and payable upon demand; and

 

(b)                                 “self-liquidating paper” means any draft, bill of exchange, acceptance or obligation which is made, drawn, negotiated or incurred by the Company for the purpose of financing the purchase, processing, manufacturing, shipment, storage or sale of goods, wares or merchandise and which is secured by documents evidencing title to, possession of, or a lien upon, the goods, wares or merchandise or the receivables or proceeds arising from the sale of the goods, wares or merchandise previously constituting the security, provided the security is received by the Trustee simultaneously with the creation of the creditor relationship with the Company arising from the making, drawing, negotiating or incurring of the draft, bill of exchange, acceptance or obligation.

 

Section 7.04                            Trustee’s Disclaimer.  The Trustee will not be responsible for and makes no representation as to the validity or adequacy of any offering materials, this Indenture or any Securities, it shall not be accountable for the Company’s use of the proceeds from any Securities or any money paid to the Company or upon the Company’s direction under any provision of this Indenture, 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 any Securities or any other document in connection with the sale of such Securities or pursuant to this Indenture other than its certificate of authentication.

 

Section 7.05                            Notice of Defaults.  If a Default or Event of Default occurs and is continuing with respect to the Securities of any series and if it is known to the Trustee, the Trustee will mail or deliver electronically to Holders of the Securities of such series a notice of the Default or Event of Default within 90 days after it occurs in the manner and to the extent provided in TIA § 313(c).  Except in the case of a Default or Event of Default in payment of principal of, premium, if any, or interest on, Securities of any series, the Trustee may and shall be protected in withholding the notice if and so long as it in good faith determines that withholding the notice is in the interests of the Holders of the Securities of such series.

 

Section 7.06                            Reports by Trustee to Holders.  Within 60 days after each calendar year following the date of this Indenture, and for so long as Securities of any series remain outstanding, the Trustee will mail or deliver electronically to the Holders a brief report dated as of such reporting date that complies with TIA § 313(a) (but if no event described in TIA § 313(a) has occurred within the 12 months preceding the reporting date, no report need be transmitted).  The Trustee also will comply with TLA § 313(b), and transmit by mail or deliver electronically all reports in the manner required by TIA § 313(c).  A copy of each such report shall, at the time of such transmission to Holders, be filed by the Trustee with each stock exchange upon which any Securities are listed, with the SEC and with the Company.

 

Section 7.07                            Compensation and Indemnity.

 

(a)                                 The Company shall pay to the Trustee from time to time reasonable compensation, as agreed in writing from time to time, for its acceptance and administration of this Indenture and services hereunder.  The Trustee’s compensation will not be limited by any law on compensation of a Trustee of an express trust.  The Company shall reimburse the Trustee promptly upon request for all reasonable and documented disbursements, advances and expenses incurred or made by it in addition to the compensation for its services.  Such expenses will include the reasonable and documented compensation, disbursements and expenses of the Trustee’s agents and counsel.

 

(b)                                 The Company will indemnify the Trustee and hold it harmless from and against any and all losses, liabilities, claims, damages, costs or expenses incurred by it arising out of or in

 

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connection with the acceptance or administration of its duties or the exercise of its rights under this Indenture, including the reasonable and documented costs and expenses of enforcing this Indenture against the Company (including this Section 7.07) 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 may be attributable to its own gross negligence or bad faith or willful misconduct.  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 shall defend the claim and the Trustee shall cooperate in the defense.  The Trustee may have separate counsel and the Company shall pay the reasonable fees and expenses of such counsel.  The Company does not need to pay for any settlement made without its consent, which consent shall not be unreasonably withheld.

 

(c)                                  When the Trustee incurs expenses or renders services after an Event of Default specified in clause (e) of Section 6.01 hereof occurs, the expenses and the compensation for the services (including the fees and expenses of its agents and counsel) are intended to constitute expenses of administration under any Bankruptcy Law.

 

(d)                                 The Trustee will comply with the provisions of TLA § 313(b)(2) to the extent applicable.

 

(e)                                  The Company’s obligations under this Section 7.07 shall survive the resignation or removal of the Trustee, the satisfaction and discharge of this Indenture, any termination of this Indenture, including any termination or rejection of this Indenture in any insolvency or similar proceeding, and the repayment of all the Securities.

 

Section 7.08                            Replacement of Trustee.

 

(a)                                 A resignation or removal of the Trustee and appointment of a successor Trustee will become effective only upon the successor Trustee’s acceptance of appointment as provided in Section 7.09 hereof.

 

(b)                                 The Trustee may resign at any time and be discharged from the trust hereby created by so notifying the Company in writing.  The Holders of a majority in aggregate principal amount of the then outstanding Securities of any series may remove the Trustee with respect to the Securities of such series by so notifying the Trustee and the Company in writing not less than 30 days prior to the effective date of such removal.  The Company may remove the Trustee if:

 

(i)                                     the Trustee fails to comply with Section 7.11 hereof;

 

(ii)                                  the Trustee is adjudged a bankrupt or an insolvent or an order for relief is entered with respect to the Trustee under any Bankruptcy Law;

 

(iii)                               a custodian or public officer takes charge of the Trustee or its property; or

 

(iv)                              the Trustee becomes incapable of acting.

 

(c)                                  If the Trustee resigns or is removed with respect to the Securities of any series or if a vacancy exists in the office of Trustee with respect to the Securities of any series for any reason, the Company will promptly appoint a successor Trustee with respect to the Securities of such series.  Within one year after the successor Trustee takes office with respect to the Securities of any series, the Holders of a majority in aggregate principal amount of the then outstanding Securities of such series may appoint a successor Trustee to replace the successor Trustee appointed by the Company.

 

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(d)           If a successor Trustee does not take office within 30 days after the retiring Trustee resigns or is removed, the retiring or removed Trustee, the Company, or the Holders of at least 10% in aggregate principal amount of the then outstanding Securities of any affected series may, at the expense of the Company, petition any court of competent jurisdiction for the appointment of a successor Trustee.

 

(e)           If the Trustee, after written request by a Holder of the Securities of any series who has been a Holder for at least six months, fails to comply with Section 7.11 hereof, such Holder may petition at the expense of the Company any court of competent jurisdiction for the removal of the Trustee with respect to the Securities of any affected series and the appointment of a successor Trustee.

 

Section 7.09         Acceptance of Appointment by Successor.

 

(a)           In case of the appointment hereunder of a successor Trustee with respect to all Securities, every such successor Trustee so appointed will deliver a written acceptance of its appointment to the retiring Trustee and to the Company.  Thereupon, the resignation or removal of the retiring Trustee will become effective, and the successor Trustee will have all the rights, powers and duties of the Trustee under this Indenture with respect to any and all applicable series of Securities.  The successor Trustee will mail or deliver electronically a notice of its succession to Holders of the Securities of any applicable series.  The retiring Trustee will promptly transfer all property held by it as Trustee to such successor Trustee.

 

(b)           The retiring Trustee shall have no responsibility or liability for any action or inaction of a successor Trustee.

 

(c)           In case of the appointment hereunder of a successor Trustee with respect to the Securities of one or more (but not all) series, the Company, the retiring Trustee and each successor Trustee with respect to the Securities of one or more series shall execute and deliver an indenture supplemental hereto wherein each successor Trustee shall accept such appointment and which (i) shall contain such provisions as shall be necessary or desirable to transfer and confirm to, and to vest in, each successor Trustee all the rights, powers, trusts and duties of the retiring Trustee with respect to the Securities of that or those series to which the appointment of such successor Trustee relates, (ii) shall contain such provisions as shall be deemed necessary or desirable to confirm that all the rights, powers, trusts and duties of the retiring Trustee with respect to the Securities of that or those series as to which the retiring Trustee is not retiring shall continue to be vested in the retiring Trustee and (iii) shall add to or change any of the provisions of this Indenture as shall be necessary to provide for or facilitate the administration of the trusts hereunder by more than one Trustee, it being understood that nothing herein or in such supplemental indenture shall constitute such Trustees co-trustees of the same trust and that each such Trustee shall be trustee of a trust or trusts hereunder separate and apart from any trust or trusts hereunder administered by any other such Trustee; and upon the execution and delivery of such supplemental indenture the resignation or removal of the retiring Trustee will become effective to the extent provided therein, and each successor Trustee will have all the rights, powers and duties of the Trustee under this Indenture with respect to the Securities of that or those series to which the appointment of such successor Trustee relates.

 

Section 7.10         Successor Trustee by Merger, etc..  If the Trustee consolidates, merges or converts into, or transfers all or substantially all of its corporate trust business (including this transaction) to, another corporation, the successor corporation without any further act will be the successor Trustee.

 

Section 7.11         Eligibility; Disqualification.  There will at all times be a Trustee hereunder that is an entity organized and doing business under the laws of the United States of America or of any state thereof that is authorized under such laws to exercise corporate trust powers, that is subject to supervision

 

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or examination by federal or state authorities and that has a combined capital and surplus of at least $50.0 million as set forth in its most recent published annual report of condition.

 

This Indenture will always have a Trustee who satisfies the requirements of TIA § 310(a)(1), (2) and (5).  The Trustee is subject to TIA§ 310(b).

 

Section 7.12         Preferential Collection of Claims Against the Company.  The Trustee is subject to TIA § 311(a), excluding any creditor relationship listed in TIA § 311(b).  A Trustee who has resigned or been removed shall be subject to TIA § 311(a) to the extent indicated therein.

 

ARTICLE VIII

 

LEGAL DEFEASANCE AND COVENANT DEFEASANCE

 

Section 8.01         Option to Effect Legal Defeasance or Covenant Defeasance.  The Company may, at the option of its Board of Directors evidenced by a resolution set forth in an Officer’s Certificate, at any time, elect to have either Section 8.02 or 8.03 hereof be applied to all outstanding Securities of any series upon compliance with the conditions set forth below in this Article VIII.

 

Section 8.02         Legal Defeasance and Discharge.

 

Upon the Company’s exercise under Section 8.01 hereof of the option applicable to this Section 8.02, the Company shall, subject to the satisfaction of the conditions set forth in Section 8.04 hereof, be deemed to have been discharged from their obligations with respect to all outstanding Securities of such series on the date the conditions set forth in Section 8.04 hereof are satisfied (hereinafter, “Legal Defeasance”).  For this purpose, Legal Defeasance means that the Company shall be deemed to have paid and discharged the entire indebtedness represented by the outstanding Securities of such series, which will thereafter be deemed to be “outstanding” only for the purposes of Section 8.05 hereof and the other Sections of this Indenture referred to in clauses (i) and (ii) below, and to have satisfied all their other obligations under such Securities and this Indenture (and the Trustee, on demand of and at the expense of the Company, shall execute proper instruments acknowledging the same), except for the following provisions which will survive until otherwise terminated or discharged hereunder:

 

(i)            the rights of Holders of outstanding Securities of such series to receive payments in respect of the principal of, or interest or premium, if any, and on such Securities when such payments are due from the trust referred to in Section 8.04 hereof;

 

(ii)           the Company’s obligations with respect to such Securities under Article II and Section 4.02 hereof;

 

(iii)          the rights, powers, trusts, duties, indemnities and immunities of the Trustee hereunder, and the Company’s obligations in connection therewith; and

 

(iv)          this Article VIII.

 

Subject to compliance with this Article VIII, the Company may exercise its option under this Section 8.02 notwithstanding the prior exercise of its option under Section 8.03 hereof.

 

Section 8.03         Covenant Defeasance.  Upon the Company’s exercise under Section 8.01 hereof of the option applicable to this Section 8.03, the Company shall, subject to the satisfaction of the conditions set forth in Section 8.04 hereof, be released from its obligations under Sections 4.03, 4.04 and 4.05 hereof with respect to the outstanding Securities of the applicable series on and after the date the conditions set forth in Section 8.04 hereof are satisfied (hereinafter, “Covenant Defeasance”), and the Securities of such series will thereafter be deemed not “outstanding” for the purposes of any direction,

 

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waiver, consent or declaration or act of Holders (and the consequences of any thereof) in connection with such covenants, but will continue to be deemed “outstanding” for all other purposes hereunder (it being understood that Securities of such series will not be deemed outstanding for accounting purposes).  For this purpose, Covenant Defeasance means that, with respect to the outstanding Securities of the applicable series, the Company may omit to comply with and shall have no liability in respect of any term, condition or limitation set forth in any such covenant, whether directly or indirectly, by reason of any reference elsewhere herein to any such covenant or by reason of any reference in any such covenant to any other provision herein or in any other document and such omission to comply will not constitute a Default or an Event of Default under Section 6.01 hereof, but, except as specified above, the remainder of this Indenture and Securities of such series shall be unaffected thereby.  In addition, upon the Company’s exercise under Section 8.01 hereof of the option applicable to this Section 8.03, subject to the satisfaction of the conditions set forth in Section 8.04 hereof, Sections 6.01(c) and 6.01(d) hereof shall not constitute Events of Default.

 

Section 8.04         Conditions to Legal or Covenant Defeasance.

 

(a)           In order to exercise either Legal Defeasance or Covenant Defeasance under either Section 8.02 or 8.03 hereof:

 

(i)            the Company must irrevocably deposit with the Trustee, in trust, for the benefit of the Holders of the Securities of the applicable series, cash in U.S. dollars, non-callable Government Securities or a combination of cash in U.S. dollars and non-callable Government Securities, in amounts as will be sufficient, in the opinion of a nationally recognized investment bank, appraisal firm or firm of independent public accountants to pay the principal of, or interest and premium on the then outstanding Securities of such series on the Stated Maturity or on the applicable redemption date, as the case may be, and the Company must specify whether the Securities of such series are being defeased to maturity or to a particular redemption date;

 

(ii)           in the case of Legal Defeasance, the Company has delivered to the Trustee an Opinion of Counsel reasonably acceptable to the Trustee confirming that (a) the Company has received from, or there has been published by, the Internal Revenue Service a ruling or (b) since the date of issuance of the Securities of the applicable series, there has been a change in the applicable federal income tax law, in either case to the effect that, and based thereon such Opinion of Counsel will confirm that, the Holders of the Securities of such series that are then outstanding 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;

 

(iii)          in the case of Covenant Defeasance, the Company has delivered to the Trustee an Opinion of Counsel reasonably acceptable to the Trustee confirming that the Holders of the then outstanding Securities of the applicable series 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;

 

(iv)          no Default or Event of Default has occurred and is continuing on the date of such deposit (other than a Default or Event of Default resulting from the borrowing of funds to be applied to such deposit);

 

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(v)           such Legal Defeasance or Covenant Defeasance will not result in a breach or violation of, or constitute a default under any material agreement or instrument (other than this Indenture) to which the Company or any of its Subsidiaries is a party or by which the Company or any of its Subsidiaries is bound;

 

(vi)          the Company must deliver to the Trustee an Officer’s Certificate stating that the deposit was not made by the Company with the intent of preferring the Holders of Securities of the applicable series over the other creditors of the Company with the intent of defeating, hindering, delaying or defrauding creditors of the Company or others; and

 

(vii)         the Company must deliver to the Trustee an Officer’s Certificate and an Opinion of Counsel, each stating that all conditions precedent relating to the Legal Defeasance or the Covenant Defeasance have been complied with.

 

Section 8.05         Deposited Money and Government Securities to be Held in Trust; Other Miscellaneous Provisions.  Subject to Section 8.06 hereof, all money and non-callable Government Securities (including the proceeds thereof) deposited with the Trustee (or other qualifying trustee, collectively for purposes of this Section 8.05, the “Trustee”) pursuant to Section 8.04 hereof in respect of the outstanding Securities of any series shall be held in trust and applied by the Trustee, in accordance with the provisions of the Securities of such series and this Indenture, to the payment, either directly or through any Paying Agent (including the Company acting as Paying Agent) as the Trustee may determine, to the Holders of such Securities of all sums due and to become due thereon in respect of principal, premium, if any, and interest, but such money need not be segregated from other funds except to the extent required by law.

 

The Company shall pay and indemnify the Trustee against any tax, fee or other charge imposed on or assessed against the cash or non-callable Government Securities deposited pursuant to Section 8.04 hereof or the principal and interest received in respect thereof other than any such tax, fee or other charge which by law is for the account of the Holders of the outstanding Securities.

 

Notwithstanding anything in this Article VIII to the contrary, the Trustee shall deliver or pay to the Company from time to time upon the request of the Company any money or non-callable Government Securities held by it as provided in Section 8.04 hereof which, in the opinion of a nationally recognized firm of independent public accountants expressed in a written certification thereof delivered to the Trustee (which may be the opinion delivered under Section 8.04(a)(i) hereof), are in excess of the amount thereof that would then be required to be deposited to effect an equivalent Legal Defeasance or Covenant Defeasance.

 

Section 8.06         Repayment to Company.  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, premium, if any, or interest on any Security and remaining unclaimed for two years after such principal, premium, if any, or interest has become due and payable shall be paid to the Company on its written request or (if then held by the Company) will be discharged from such trust; and the Holder of such Security will thereafter be permitted to 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; provided, however, that the Trustee or such Paying Agent, before being required to make any such repayment, may at the expense of the Company cause to be published once, in the New York Times and The Wall Street Journal (national edition), notice that such money remains unclaimed and that, after a date specified therein, which will not be less than 30 days from the date of such notification or publication, any unclaimed balance of such money then remaining shall be repaid to the Company.

 

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Section 8.07         Reinstatement.  If the Trustee or Paying Agent is unable to apply any United States dollars or non-callable Government Securities with respect to the Securities of any series in accordance with Section 8.02 or 8.03 hereof, as the case may be, by reason of 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 Securities of such series will be revived and reinstated as though no deposit had occurred pursuant to Section 8.02 or 8.03 hereof until such time as the Trustee or Paying Agent is permitted to apply all such money in accordance with Section 8.02 or 8.03 hereof, as the case may be; provided, however, that, if the Company makes any payment of principal of, premium, if any, or interest on any Security of such series following the reinstatement of its obligations, the Company shall be subrogated to the rights of the Holders of such Securities to receive such payment from the money held by the Trustee or Paying Agent.

 

ARTICLE IX

 

AMENDMENT, SUPPLEMENT AND WAIVER

 

Section 9.01         Without Consent of Holders of Securities.  Notwithstanding Section 9.02 of this Indenture, the Company and the Trustee may amend or supplement the Securities of any series or this Indenture with respect to such series without the consent of any Holder of Securities of such series:

 

(a)           to cure any ambiguity, defect or inconsistency;

 

(b)           to provide for uncertificated Securities in addition to or in place of certificated Securities;

 

(c)           to provide for the assumption of the Company’s obligations to Holders of Securities in the case of a merger or consolidation or sale of all or substantially all of the Company’s assets;

 

(d)           to make any change that would provide any additional rights or benefits to the Holders of Securities of such series or that does not adversely affect the legal rights under this Indenture of any such Holder;

 

(e)           to comply with requirements of the SEC in order to effect or maintain the qualification of this Indenture under the TIA;

 

(f)            to conform the text of this Indenture or the Securities of any series to any provision of a description of such Securities in the prospectus or prospectus supplement or other document relating to the offering of such Securities to the extent that such provision was intended to be a verbatim or substantially verbatim recitation of a provision of this Indenture or the Securities of such series;

 

(g)           modify or delete any provision of this Indenture, but only if the change or deletion becomes effective when there are no outstanding Securities of any series which are entitled to the benefit of such provision as to which such modification or deletion would apply;

 

(h)           to evidence and provide for the acceptance and appointment under this Indenture of a successor Trustee pursuant to the requirements thereof; or

 

(i)            to provide for the issuance of additional Securities in accordance with the limitations set forth in this Indenture.

 

Upon the request of the Company accompanied by a resolution of its Board of Directors authorizing the execution of any such amended or supplemental indenture, and upon receipt by the

 

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Trustee of the documents described in Sections 11.04 and 9.06 of this Indenture the Trustee shall join with the Company in the execution of any amended or supplemental indenture authorized or permitted by the terms of this Indenture and to make any further appropriate agreements and stipulations that may be therein contained, but the Trustee shall not be obligated to enter into such amended or supplemental indenture that affects its own rights, duties or immunities under this Indenture or otherwise.

 

Section 9.02         With Consent of Holders of Securities.

 

(a)           Except as provided below in this Section 9.02, the Company and the Trustee may amend or supplement this Indenture and the Securities of any series with the consent of the Holders of at least a majority in principal aggregate amount of the applicable Securities then outstanding (including, without limitation, consents obtained in connection with a tender offer or exchange offer for, or purchase of, the Securities of any applicable series), and, subject to Section 6.03 hereof, any existing Default or Event of Default (other than a Default or Event of Default in the payment of the principal of, premium or interest on the Securities of any series, except a payment default resulting from an acceleration that has been rescinded) or compliance with any provision of this Indenture or the Securities of any series may be waived with the consent of the Holders of a majority in principal aggregate amount of the applicable Securities then outstanding (including, without limitation, consents obtained in connection with a tender offer or exchange offer for, or purchase of, the Securities of any applicable series).  Section 2.10 hereof shall determine which Securities are considered to be “outstanding” for purposes of this Section 9.02.

 

(b)           Upon the request of the Company accompanied by a resolution of its Board of Directors and upon the filing with the Trustee of evidence satisfactory to the Trustee of the consent of the Holders of Securities of the applicable series as aforesaid, and upon receipt by the Trustee of the documents described in Sections 11.04 and 9.06 hereof, the Trustee shall join with the Company in the execution of such amended or supplemental indenture unless such amended or supplemental indenture directly affects the Trustee’s own rights, duties or immunities under this Indenture or otherwise, in which case the Trustee may in its discretion, but will not be obligated to, enter into such amended or supplemental indenture.

 

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

 

(d)           After an amendment, supplement or waiver under this Section 9.02 becomes effective, the Company shall mail or deliver electronically to the Holders affected thereby a notice briefly describing the amendment, supplement or waiver.  Any failure of the Company to mail or deliver electronically such notice, or any defect therein, will not, however, in any way impair or affect the validity of any such amended or supplemental indenture or waiver.  Subject to Sections 6.03 hereof, the Holders of a majority in aggregate principal amount of the Securities of any series affected then outstanding voting as a single class may waive compliance in a particular instance by the Company with any provision of this Indenture or the Securities of such affected series.  However, without the consent of each Holder of outstanding Securities of any series affected, an amendment, supplement or waiver under this Section 9.02 may not (with respect to any Securities held by a non-consenting Holder):

 

(i)            reduce the principal amount of any Securities of such series whose Holders must consent to an amendment, supplement or waiver;

 

(ii)           reduce the principal of or change the fixed maturity of any Securities of such series or alter the provisions with respect to the redemption of such Securities (other than provisions relating to any covenant requiring the Company to make an offer to repurchase such Securities upon a change of control or similar event and provisions relating to the number of days’ notice to be given in the event of a redemption);

 

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(iii)          reduce the rate of or change the time for payment of interest on any Securities of such series;

 

(iv)          waive a Default or Event of Default in the payment of principal of, or interest or premium on any Securities of such series (except a rescission of acceleration of such Securities by the Holders of a majority in aggregate principal amount of the Securities of such series and a waiver of the payment default that resulted from such acceleration);

 

(v)           make any Security payable in currency other than that stated in the Securities of such series;

 

(vi)          make any change in the provisions of this Indenture relating to waivers of past Defaults or the rights of Holders of Securities of such series to receive payments of principal of, or interest or premium on such Securities;

 

(vii)         waive a redemption payment with respect to Securities of any series (other than a payment required by any covenant requiring the Company to make an offer to repurchase such Securities upon a change of control or similar event); or

 

(viii)        make any change in Section 9.02 hereof, as to the Securities, or in the foregoing amendment and waiver provisions.

 

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

 

Section 9.03         Compliance with Trust Indenture Act.  Every amendment or supplement to this Indenture or the Securities will be set forth in an amended or supplemental Indenture that complies with the TIA as then in effect.

 

Section 9.04         Revocation and Effect of Consents.  Until an amendment, supplement or waiver becomes effective, a consent to it by a Holder of a Security is a continuing consent by the Holder of such Security and every subsequent Holder of such Security or portion of such Security that evidences the same debt as the Security of the consenting Holder, even if notation of the consent is not made on such Security.  However, any such Holder of a Security or subsequent Holder of a Security may revoke the consent as to its Security if the Trustee receives written notice of revocation before the date the amendment, supplement or waiver becomes effective.  An amendment, supplement or waiver becomes effective in accordance with its terms and thereafter binds every Holder.

 

Section 9.05         Notation on or Exchange of Securities.  The Trustee may place an appropriate notation about an amendment, supplement or waiver on any Security thereafter authenticated.  The Company in exchange for all Securities of any series may issue and the Trustee shall, upon receipt of a Company Order, authenticate new Securities of such series that reflect the amendment, supplement or waiver.

 

Failure to make the appropriate notation or issue a new Security will not affect the validity and effect of such amendment, supplement or waiver.

 

Section 9.06         Trustee to Sign Amendments, etc..  The Trustee shall sign any amended or supplemental indenture authorized pursuant to this Article IX if the amendment or supplement does not adversely affect the rights, duties, liabilities or immunities of the Trustee.  The Company may not sign an amended or supplemental indenture until the Board of Directors of the Company approves it.  In

 

37

 

executing any amended or supplemental indenture, the Trustee will be entitled to receive and (subject to Section 7.01 hereof) will be fully protected in relying upon an Officer’s Certificate and an Opinion of Counsel stating that the execution of such amended or supplemental indenture is authorized or permitted by this Indenture.

 

ARTICLE X

 

SATISFACTION AND DISCHARGE

 

Section 10.01       Satisfaction and Discharge.  This Indenture will be discharged and will cease to be of further effect as to all Securities of any series issued hereunder, when:

 

(a)           either:

 

(i)            all Securities of such series that have been authenticated, except lost, stolen or destroyed Securities of such series that have been replaced or paid and Securities of such series for whose payment money has been deposited in trust and thereafter repaid to the Company, have been delivered to the Trustee for cancellation; or

 

(ii)           all Securities of such series that have not been delivered to the Trustee for cancellation have become due and payable by reason of the distribution of a notice of redemption or otherwise or will become due and payable within one year and the Company has irrevocably deposited or caused to be deposited with the Trustee as trust funds in trust solely for the benefit of the Holders, cash in U.S. dollars, non-callable Government Securities or a combination of cash in U.S. dollars and non-callable Government Securities, in such amounts as will be sufficient without consideration of any reinvestment of interest, to pay and discharge the entire indebtedness on the Securities of such series not delivered to the Trustee for cancellation for principal, premium, if any, and accrued interest to the date of maturity or redemption;

 

(b)           no Default or Event of Default has occurred and is continuing on the date of the deposit (other than a Default or Event of Default resulting from the borrowing of funds to be applied to such deposit) and the deposit will not result in a breach or violation of, or constitute a default under, any other instrument to which the Company is a party or by which the Company is bound;

 

(c)           the Company has paid or caused to be paid all sums payable by it under this Indenture with respect to the Securities of such series; and

 

(d)           the Company has delivered irrevocable written instructions to the Trustee under this Indenture to apply the deposited money toward the payment of the Securities of such series at maturity or the redemption date, as the case may be.

 

In addition, the Company must deliver an Officer’s Certificate and an Opinion of Counsel to the Trustee stating that all conditions precedent to satisfaction and discharge have been satisfied.

 

Notwithstanding the satisfaction and discharge of this Indenture, if money has been deposited with the Trustee pursuant to subclause (ii) of clause (a) of this Section 10.01, the provisions of Section 10.02 hereof and Section 8.06 hereof will survive.  In addition, nothing in this Section 10.01 will be deemed to discharge those provisions of Section 7.07 hereof, that, by their terms, survive the satisfaction and discharge of this Indenture.

 

Section 10.02       Application of Trust Money.  Subject to the provisions of Section 8.06 hereof, all money deposited with the Trustee pursuant to Section 10.01 hereof shall be held in trust and applied

 

38

 

by it, in accordance with the provisions of the applicable Securities 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, premium, if any, and interest for whose payment such money has been deposited with the Trustee; but such money need not be segregated from other funds except to the extent required by law.

 

If the Trustee or Paying Agent is unable to apply any money or Government Securities in accordance with Section 10.01 hereof by reason of any legal proceeding or by reason of any order or judgment of any court or governmental authority enjoining, restraining or otherwise prohibiting such application, the Company’s obligations under this Indenture and the applicable Securities shall be revived and reinstated as though no deposit had occurred pursuant to Section 10.01 hereof; provided that if the Company has made any payment of principal of, premium, if any, or interest on any Securities because of the reinstatement of its obligations, the Company shall be subrogated to the rights of the Holders of such Securities to receive such payment from the money or Government Securities held by the Trustee or Paying Agent.

 

ARTICLE XI

 

MISCELLANEOUS SECTION 11.01

 

Section 11.01       Trust Indenture Act Controls.

 

If any provision of this Indenture limits, qualifies or conflicts with the duties imposed by TIA § 318(c), the imposed duties will control.

 

Section 11.02       Notices.

 

Any notice or communication by the Company or the Trustee to the others is duly given if in writing and delivered in Person or mailed by first class mail (registered or certified, return receipt requested), telex, telecopier, email or overnight air courier guaranteeing next day delivery, to the others’ address:

 

If to the Company:

 

Dynegy Inc.

601 Travis Street

Suite 1400

Houston, Texas 77002

Telecopier No.:  (713) 507-6588

Email:  Catherine.James@dynegy.com

Attention:  General Counsel

 

With a copy to:

White & Case LLP

1155 Avenue of the Americas

New York, New York 10036

Telecopier No.:  (212) 354-8113

Email:  gkashar@whitecase.com

Attention:  Gary Kashar, Esq.

 

If to the Trustee:

 

Wilmington Trust, National Association

1100 N. Market Street

 

39

 

Wilmington, Delaware 19890

Telecopier No.:  (212) 343-1079

Email:  sgoffinet@WilmingtonTrust.com

Attention:  Dynegy Administrator

 

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

 

All notices and communications (other than those sent to Holders) 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 mailed; when answered back, if telexed; when receipt acknowledged, if telecopied; when sent, without automatic reply that such transmission was unsuccessful, if emailed; and the next Business Day after timely delivery to the courier, if sent by overnight air courier guaranteeing next day delivery.

 

Any notice or communication to a Holder will be delivered electronically or mailed by first class mail, certified or registered, return receipt requested, or by overnight air courier guaranteeing next day delivery or emailed to such Holders who have filed their names and addresses with the Trustee pursuant to TIA § 313(c)(2) at such addresses as were so furnished to the Trustee and to Holders of Registered Securities at their addresses as they shall appear on the Security Register.  Any notice or communication will also be so mailed to any Person described in TIA § 313(c), to the extent required by the TIA.  Failure to mail a notice or communication to a Holder or any defect in it will not affect its sufficiency with respect to other Holders.

 

If a notice or communication is delivered or mailed in the manner provided above within the time prescribed, it is duly given, whether or not the addressee receives it.

 

If the Company delivers a notice or communication to Holders, it will mail a copy to the Trustee and each Agent at the same time.

 

Section 11.03       Communication by Holders of Securities with Other Holders of Securities.

 

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

 

Section 11.04       Certificate and Opinion as to Conditions Precedent.

 

Upon any request or application by the Company to the Trustee to take any action under this Indenture, the Company shall furnish to the Trustee:

 

(a)           an Officer’s Certificate in form and substance satisfactory to the Trustee (which must include the statements set forth in Section 11.05 hereof) stating that, in the opinion of the signers, all conditions precedent and covenants, if any, provided for in this Indenture relating to the proposed action have been satisfied; and

 

(b)           an Opinion of Counsel in form and substance satisfactory to the Trustee (which must include the statements set forth in Section 11.05 hereof) stating that, in the opinion of such counsel, all such conditions precedent and covenants have been satisfied.

 

40

 

Section 11.05       Statements Required in Certificate or Opinion.

 

Each certificate or opinion with respect to compliance with a condition or covenant provided for in this Indenture must include substantially:

 

(a)           a statement that the Person making such certificate or opinion has read such covenant or condition;

 

(b)           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;

 

(c)           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 covenant or condition has been satisfied; and

 

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

 

Section 11.06       Rules by Trustee and Agents.

 

The Trustee may make reasonable rules for action by or at a meeting of Holders.  The Agents may make reasonable rules and set reasonable requirements for their respective functions.

 

Section 11.07       No Personal Liability of Directors, Officers, Employees and Stockholders.

 

No director, officer, employee, incorporator or stockholder of the Company, as such, will have any liability for any obligations of the Company under any Securities, this Indenture or for any claim based on, in respect of, or by reason of, such obligations or their creation.  Each Holder of Securities by accepting a Security waives and releases all such liability.  The waiver and release are part of the consideration for issuance of the Securities.  The waiver may not be effective to waive liabilities under the federal securities laws.

 

Section 11.08       Governing Law.

 

(a)           THIS INDENTURE AND THE SECURITIES SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK.

 

(b)           Each party hereto irrevocably and unconditionally submits to the jurisdiction of the Supreme Court of the State of New York sitting in the Borough of Manhattan, New York County and of the United States District Court of the Southern District of New York sitting in the Borough of Manhattan, and any appellate court from any jurisdiction thereof, in any action or proceeding arising out of or relating to this Indenture or the Securities, or for recognition or enforcement of any judgment, and each of the parties hereto hereby irrevocably and unconditionally agrees that all claims in respect of any such action or proceeding may be heard and determined in such New York State or, to the extent permitted by law, in such federal court.  Each party hereto agrees that a final judgment in any such action or proceeding shall be conclusive and may be enforced in other jurisdictions by suit on the judgment or in any other manner provided by law.  Nothing in this Indenture shall affect any right that any party hereto otherwise have to bring any action or proceeding relating to this Indenture against any party hereto or its properties in the courts of any jurisdiction.

 

(c)           Each party hereto irrevocably and unconditionally waives, to the fullest extent it may legally and effectively do so, any objection which it may now or hereafter have to the laying of venue of any suit, action or proceeding arising out of or relating to this Indenture in any court referred to

 

41

 

in Section 11.08(b) hereof.  Each party hereto irrevocably waives, to the fullest extent permitted by law, the defense of an inconvenient forum to the maintenance of such action or proceeding in any such court.

 

(d)           Each party hereto irrevocably consents to service of process in the manner provided for notices in Section 11.02 hereof, such service to be effective upon receipt.  Nothing in this Indenture will affect the right of any party hereto to serve process in any other manner permitted by law.

 

Section 11.09       Waiver of Immunity.

 

To the extent that the Company has or hereafter may acquire any immunity from jurisdiction of any court or from any legal process (whether through service of notice, attachment prior to judgment, attachment in aid of execution or execution, on the ground of sovereignty or otherwise) with respect to itself or its property, it hereby irrevocably waives, to the fullest extent permitted by applicable law, such immunity in respect of its obligations under this Indenture and the Securities.

 

Section 11.10       Waiver of Jury Trials.

 

ALL PARTIES HERETO HEREBY IRREVOCABLY WAIVE ALL RIGHTS TO TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM (WHETHER BASED ON CONTRACT, TORT OR OTHERWISE) ARISING OUT OF OR RELATING TO THIS INDENTURE, THE SECURITIES OR THE TRANSACTIONS CONTEMPLATED HEREBY OR THEREBY.

 

Section 11.11       No Adverse Interpretation of Other Agreements.

 

This Indenture may not be used to interpret any other indenture, loan or debt agreement of the Company or its Subsidiaries or of any other Person.  Any such indenture, loan or debt agreement may not be used to interpret this Indenture.

 

Section 11.12       Successors.

 

All agreements of the Company in this Indenture and the Securities will bind its successors.  All agreements of the Trustee in this Indenture will bind its successors.

 

Section 11.13       Evidence of Ownership.  The Company, the Trustee and any agent of the Company or the Trustee may deem and treat the Holder of any Unregistered Security and the Holder of any coupon as the absolute owner of such Unregistered Security or coupon (whether or not such Unregistered Security or coupon shall be overdue) for the purpose of receiving payment thereof or on account thereof and for all other purposes, and neither the Company, the Trustee, nor any agent of the Company or the Trustee shall be affected by any notice to the contrary.  The fact of the holding by any Holder of an Unregistered Security, and the identifying number of such Security and the date of his holding the same, may be proved by the production of such Security or by a certificate executed by any trust company, bank, banker or recognized securities dealer wherever situated satisfactory to the Trustee, if such certificate shall be deemed by the Trustee to be satisfactory.  Each such certificate shall be dated and shall state that on the date thereof a Security bearing a specified identifying number was deposited with or exhibited to such trust company, bank, banker or recognized securities dealer by the person named in such certificate.  Any such certificate may be issued in respect of one or more Unregistered Securities specified therein.  The holding by the person named in any such certificate of any Unregistered Securities specified therein shall be presumed to continue for a period of one year from the date of such certificate unless at the time of any determination of such holding (1) another certificate bearing a later date issued in respect of the same Securities shall be produced or (2) the Security specified in such certificate shall be produced by some other Person or (3) the Security specified in such certificate shall have ceased to be outstanding.  Subject to Article VII, the fact and date of the execution of any such instrument and the amount and numbers of Securities held by the Person so executing such instrument may also be proven in

 

42

 

accordance with such reasonable rules and regulations as may be prescribed by the Trustee or in any other manner which the Trustee may deem sufficient.

 

The Company, the Trustee and any agent of the Company or the Trustee may deem and treat the person in whose name any Registered Security shall be registered upon the Security Register for such series as the absolute owner of such Registered Security (whether or not such Registered Security shall be overdue and notwithstanding any notation of ownership or other writing thereon) for the purpose of receiving payment of or on account of the principal of and, subject to the provisions of this Indenture, premium or interest on such Registered Security and for all other purposes; and neither the Company nor the Trustee nor any agent of the Company or the Trustee shall be affected by any notice to the contrary.

 

Section 11.14       U.S.A. Patriot Act.

 

The parties hereto acknowledge that in accordance with Section 326 of the U.S.A. Patriot Act, the Trustee, like all financial institutions and in order to help fight the funding of terrorism and money laundering, is required to obtain, verify, and record information that identifies each person or legal entity that establishes a relationship or opens an account with the Trustee.  The parties to this Indenture agree that they will provide the Trustee with such information as it may request in order for the Trustee to satisfy the requirements of the U.S.A. Patriot Act.

 

Section 11.15       Severability.

 

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

 

Section 11.16       Counterpart Originals.

 

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

 

Section 11.17       Table of Contents, Headings, etc..

 

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

 

[Signature Page Follows]

 

43

 

SIGNATURES

 

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

 

	
DYNEGY INC.
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
/s/ Robert C. Flexon
    	
 
    
	
Name:
    	
Robert C. Flexon
    	
 
    
	
Title:
    	
President and Chief Executive   Officer
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
WILMINGTON TRUST, NATIONAL   ASSOCIATION,
    	
 
    
	
as Trustee
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
/s/ Shawn Goffinet
    	
 
    
	
Name:
    	
Shawn Goffinet
    	
 
    
	
Title:
    	
Assistant Vice President
    	
 
    

 

[Dynegy Base Indenture Signature Page]

 

1Exhibit 4.2

 

EXECUTION VERSION

 

Dynegy Inc.

 

as Issuer

 

Wilmington Trust, National Association

 

as Trustee

 

 

First Supplemental Indenture

 

Dated as of June 21, 2016

 

to the

 

Indenture

 

Dated as of June 21, 2016

 

 

7.00% Senior Amortizing Notes due 2019

 

 

TABLE OF CONTENTS

 

	
 
    	
 
    	
Page
    
	
 
    	
 
    	
 
    
	
ARTICLE I   DEFINITIONS AND OTHER PROVISIONS OF GENERAL APPLICATION
    	
1
    
	
 
    	
 
    	
 
    
	
Section 1.01
    	
Scope of Supplemental   Indenture
    	
1
    
	
Section 1.02
    	
Definitions and   Interpretation
    	
2
    
	
Section 1.03
    	
References to Interest
    	
6
    
	
 
    	
 
    	
 
    
	
ARTICLE II   GENERAL TERMS AND CONDITIONS OF THE NOTES
    	
6
    
	
 
    	
 
    	
 
    
	
Section 2.01
    	
Designation, Principal   Amount and Original Issuance
    	
6
    
	
Section 2.02
    	
Form of Notes
    	
6
    
	
Section 2.03
    	
Installment Payments
    	
7
    
	
Section 2.04
    	
Depositary
    	
8
    
	
Section 2.05
    	
Certificated Notes
    	
8
    
	
 
    	
 
    	
 
    
	
ARTICLE III   COVENANTS
    	
9
    
	
 
    	
 
    	
 
    
	
Section 3.01
    	
Covenants Made in the   Base Indenture
    	
9
    
	
Section 3.02
    	
Payment of Installment   Payments
    	
9
    
	
Section 3.03
    	
Paying Agent and   Security Registrar
    	
9
    
	
Section 3.04
    	
Appointments to Fill   Vacancies in Trustee’s Office
    	
9
    
	
Section 3.05
    	
Deposit of Installment   Payments
    	
9
    
	
Section 3.06
    	
Reports
    	
10
    
	
Section 3.07
    	
Statements as to   Defaults
    	
10
    
	
Section 3.08
    	
Additional Interest   Notice
    	
10
    
	
 
    	
 
    	
 
    
	
ARTICLE IV   REDEMPTION AND SINKING FUNDS
    	
10
    
	
 
    	
 
    	
 
    
	
Section 4.01
    	
Article Three of   the Base Indenture; No Redemption or Sinking Funds
    	
10
    
	
 
    	
 
    	
 
    
	
ARTICLE V   DISCHARGE AND DEFEASANCE
    	
11
    
	
 
    	
 
    	
 
    
	
Section 5.01
    	
Inapplicability of   Provisions of Base Indenture; Discharge of the Indenture
    	
11
    
	
Section 5.02
    	
Satisfaction and   Discharge
    	
11
    
	
Section 5.03
    	
Legal Defeasance
    	
11
    
	
Section 5.04
    	
Covenant Defeasance
    	
12
    
	
Section 5.05
    	
Conditions to Legal or   Covenant Defeasance
    	
12
    
	
Section 5.06
    	
Application of Trust   Money
    	
13
    
	
Section 5.07
    	
Repayment to Company
    	
13
    
	
Section 5.08
    	
Reinstatement
    	
13
    
	
Section 5.09
    	
Provisions to Survive   Defeasance and Discharge
    	
13
    
	
 
    	
 
    	
 
    
	
ARTICLE VI   DEFAULTS AND REMEDIES
    	
14
    
	
 
    	
 
    	
 
    
	
Section 6.01
    	
Article VI of the   Base Indenture
    	
14
    
	
Section 6.02
    	
Events of Default
    	
14
    
	
Section 6.03
    	
Acceleration;   Rescission and Annulment
    	
15
    
	
Section 6.04
    	
Additional Interest
    	
15
    
	
Section 6.05
    	
Control by Majority
    	
16
    
	
Section 6.06
    	
Limitation on Suits
    	
16
    
	
Section 6.07
    	
Rights of Holders to   Receive Installment Payments
    	
17
    
	
Section 6.08
    	
Collection of   Indebtedness; Suit for Enforcement by Trustee
    	
17
    
				

 

i

 

	
Section 6.09
    	
Trustee   May Enforce Claims Without Possession of Notes
    	
17
    
	
Section 6.10
    	
Trustee May File Proofs   of Claim
    	
17
    
	
Section 6.11
    	
Restoration of Rights   and Remedies
    	
17
    
	
Section 6.12
    	
Rights and Remedies   Cumulative
    	
17
    
	
Section 6.13
    	
Delay or Omission Not a   Waiver
    	
18
    
	
Section 6.14
    	
Priorities
    	
18
    
	
Section 6.15
    	
Undertaking for Costs
    	
18
    
	
Section 6.16
    	
Waiver of Stay,   Extension and Usury Laws
    	
18
    
	
Section 6.17
    	
Notices from the   Trustee
    	
19
    
	
 
    	
 
    	
 
    
	
ARTICLE VII   CONSOLIDATION, MERGER, SALE OR CONVEYANCE
    	
19
    
	
 
    	
 
    	
 
    
	
Section 7.01
    	
Covenant Not to   Consolidate or Merge, Convey, Transfer or Lease Property Except Under Certain   Conditions
    	
19
    
	
Section 7.02
    	
Successor Corporation   to Be Substituted
    	
19
    
	
 
    	
 
    	
 
    
	
ARTICLE VIII   SUPPLEMENTAL INDENTURES
    	
20
    
	
 
    	
 
    	
 
    
	
Section 8.01
    	
Supplemental Indentures   Without Consent of Holders
    	
20
    
	
Section 8.02
    	
Supplemental Indentures   With Consent of Holders
    	
20
    
	
Section 8.03
    	
Notice of Amendment or   Supplement
    	
21
    
	
 
    	
 
    	
 
    
	
ARTICLE IX   REPURCHASE OF NOTES AT THE OPTION OF THE HOLDER
    	
21
    
	
 
    	
 
    	
 
    
	
Section 9.01
    	
Offer to Repurchase
    	
21
    
	
Section 9.02
    	
Notice to Trustee and   Holders
    	
22
    
	
Section 9.03
    	
Procedures for Exercise
    	
22
    
	
Section 9.04
    	
Withdrawal of   Repurchase Notice
    	
22
    
	
Section 9.05
    	
Effect of Repurchase
    	
22
    
	
 
    	
 
    	
 
    
	
ARTICLE X   TAX TREATMENT
    	
23
    
	
 
    	
 
    	
 
    
	
Section 10.01
    	
Tax Treatment
    	
23
    
	
 
    	
 
    	
 
    
	
ARTICLE XI   MISCELLANEOUS
    	
23
    
	
 
    	
 
    	
 
    
	
Section 11.01
    	
Effect on Successors   and Assigns
    	
23
    
	
Section 11.02
    	
Governing Law; Waiver   of Trial by Jury
    	
23
    
	
Section 11.03
    	
No Security Interest   Created
    	
23
    
	
Section 11.04
    	
Trust Indenture Act
    	
23
    
	
Section 11.05
    	
Benefits of   Supplemental Indenture
    	
24
    
	
Section 11.06
    	
Calculations
    	
24
    
	
Section 11.07
    	
Execution in   Counterparts
    	
24
    
	
Section 11.08
    	
Ratification of Base   Indenture
    	
24
    
	
Section 11.09
    	
The Trustee
    	
24
    
	
Section 11.10
    	
No Recourse Against   Others
    	
24
    

 

ii

 

FIRST SUPPLEMENTAL INDENTURE (this “Supplemental Indenture”), dated as of June 21, 2016, between Dynegy Inc., a Delaware corporation (the “Company”), and Wilmington Trust, National Association as trustee (the “Trustee”), supplements the indenture, dated as of June 21, 2016, between the Company and the Trustee (as amended or supplemented from time to time in accordance with the terms thereof, the “Base Indenture” and together with the Supplemental Indenture, the “Indenture”).

 

RECITALS OF THE COMPANY

 

WHEREAS, the Board of Directors has duly adopted resolutions authorizing the Company to execute and deliver the Base Indenture;

 

WHEREAS, Section 9.01(i) of the Base Indenture provides for the Company and the Trustee to enter into supplemental indentures to the Base Indenture to establish the form and terms of Securities of any series as contemplated by Section 2.03 of the Base Indenture;

 

WHEREAS, the Board of Directors has duly adopted resolutions authorizing the Company to execute and deliver this Supplemental Indenture;

 

WHEREAS, the Company desires and has requested the Trustee to join with it in the execution and delivery of this Supplemental Indenture in order to supplement the Base Indenture as and to the extent set forth herein to provide for the issuance and the terms of the Company’s 7.00% Senior Amortizing Notes due 2019;

 

WHEREAS, pursuant to the terms of the Base Indenture, the Company has authorized the creation and issuance under this Supplemental Indenture of its 7.00% Senior Amortizing Notes due 2019, the form and substance of such Notes and the terms, provisions and conditions thereof to be set forth as provided in the Base Indenture and this Supplemental Indenture; and

 

WHEREAS, all acts and things necessary to make this Supplemental Indenture, when duly executed and delivered, a valid and binding instrument in accordance with its terms and for the purposes herein expressed, have been done and performed.

 

NOW, THEREFORE, for and in consideration of the purchases of the Notes by the Holders thereof, it is mutually agreed, for the benefit of the Company and the Holders, as follows:

 

ARTICLE I
 DEFINITIONS AND OTHER PROVISIONS OF GENERAL APPLICATION

 

Section 1.01                            Scope of Supplemental Indenture.  The changes, modifications and supplements to the Base Indenture effected by this Supplemental Indenture shall be applicable only with respect to, and shall govern only the terms of (and only the rights of the Holders and the obligations of the Company with respect to), the Notes, which may be issued from time to time, and shall not apply to any other securities that may be issued under the Base Indenture (or govern the rights of the Holders or the obligations of the Company with respect to any such other securities) unless a supplemental indenture with respect to such other securities specifically incorporates such changes, modifications and supplements. The provisions of this Supplemental Indenture shall, with respect to the Notes, supersede any corresponding provisions in the Base Indenture.  Subject to the preceding sentence, and except as otherwise provided herein, the provisions of the Base Indenture shall apply to the Notes and govern the rights of the Holders of the Notes and the obligations of the Company and the Trustee with respect thereto.

 

 

Section 1.02                            Definitions and Interpretation.  For all purposes of the Supplemental Indenture, except as otherwise expressly provided or unless the context otherwise requires:

 

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

 

(b)                                 all words, terms and phrases defined in the Base Indenture (but not otherwise defined herein) shall have the same meanings as in the Base Indenture and all words, terms and phrases defined in the TIA shall have the meanings provided therein;

 

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

 

(d)                                 the definition of any term in this Supplemental Indenture that is also defined in the Base Indenture, shall for the purposes of this Supplemental Indenture supersede the definition of such term in the Base Indenture;

 

(e)                                  headings are for convenience of reference only and do not affect interpretation;

 

(f)                                   “or” is not exclusive; and

 

(g)                                  the following terms have the meanings set forth below:

 

“2014 Indenture” means the indenture dated as of October 27, 2014, between the Company (as successor to Dynegy Finance II, Inc.) and Wilmington Trust, National Association, as trustee, as supplemented prior to the date of the Indenture.

 

“Acquisition Redemption Notice” has the meaning ascribed to it in the Purchase Contract Agreement.

 

“Acquisition Redemption Settlement Date” has the meaning ascribed to it in the Purchase Contract Agreement.

 

“Acquisition Termination Redemption” has the meaning ascribed to it in the Purchase Contract Agreement.

 

“Additional Interest” has the meaning specified in Section 6.04(a).

 

“Applicable Procedures” means, with respect to any matter at any time, the policies and procedures of a Depositary, if any, that are applicable to such matter at such time.

 

“Base Indenture” has the meaning ascribed to it in the first recital of this Supplemental Indenture.

 

“Business Day” means any day other than a Saturday, a Sunday or a day on which the Federal Reserve Bank of New York is authorized or required by law or executive order to close or be closed.

 

“Certificate of Authentication” means the Certificate of Authentication substantially in the form attached as a part of Exhibit A hereto.

 

“Certificated Note” means a Note in definitive registered form.

 

“Clearing Agency” means an organization registered as a “Clearing Agency” pursuant to Section 17A of the Exchange Act.

 

“Close of Business” means 5:00 p.m., New York City time.

 

2

 

“Common Stock” means the shares of common stock, par value $0.01 per share, of the Company authorized at the date of this instrument as originally executed or shares of any class or classes of common stock resulting from any reclassification or reclassifications thereof.

 

“Company” has the meaning ascribed to it in the first paragraph of this Supplemental Indenture.

 

“Component Note” means a Note in global form and attached to a Global Unit that (a) shall evidence the number of Notes specified therein that are components of the Units evidenced by such Global Unit, (b) shall be registered on the Security Register in the name of Wilmington Trust, National Association, as attorney-in-fact of holder(s) of the Units of which such Notes form a part, and (c) shall be held by the Purchase Contract Agent as attorney-in-fact for such holder(s), together with the Global Unit, as custodian of such Global Unit for the Depositary.

 

“Corporate Trust Office” means the principal corporate trust office of the Trustee at which, at any particular time, the Indenture shall be administered, which office at the date hereof is located at Wilmington Trust, National Association, Attn: Corporate Trust Officer, 15950 N. Dallas Parkway, Suite 550, Dallas, Texas 75248.

 

“Covenant Defeasance” has the meaning ascribed to it in Section 5.04.

 

“Credit Agreement” shall have the meaning ascribed to it in the 2014 Indenture.

 

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

 

“Discharge” has the meaning specified in Section 5.02.

 

“DTC” means The Depository Trust Company.

 

“Early Mandatory Settlement Date” has the meaning ascribed to it in the Purchase Contract Agreement.

 

“Early Mandatory Settlement Notice” has the meaning ascribed to it in the Purchase Contract Agreement.

 

“Early Mandatory Settlement Notice Date” has the meaning ascribed to it in the Purchase Contract Agreement.

 

“Early Mandatory Settlement Right” has the meaning ascribed to it in the Purchase Contract Agreement.

 

“EDGAR” means the Electronic Data-Gathering, Analysis, and Retrieval system of the SEC or any successor system thereto.

 

“Effective Date” has the meaning ascribed to it in the Purchase Contract Agreement.

 

“Event of Default” has the meaning ascribed to it Section 6.02.

 

“Exchange Act” means the Securities Exchange Act of 1934, as amended, and any statute successor thereto, in each case as amended from time to time, together with the rules and regulations promulgated thereunder.

 

“Fundamental Change” has the meaning ascribed to it in the Purchase Contract Agreement.

 

“Global Note” means a Note in global form registered in the name of the Depositary or its nominee and substantially in the form attached hereto as Exhibit A.

 

“Global Unit” has the meaning ascribed to such term in the Purchase Contract Agreement.

 

3

 

“Government Securities” means direct obligations of, or obligations guaranteed by, the United States of America (including any agency or instrumentality thereof) for the payment of which obligations or guarantees the full faith and credit of the United States of America is pledged and which are not callable or redeemable at the issuer’s option.

 

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

 

“Indenture” has the meaning given in the recitals hereto.

 

“Initial Principal Amount” means $18.94911 per Note.

 

“Installment Payment” has the meaning ascribed to it in Section 2.03(a).

 

“Installment Payment Date” means each January 1, April 1, July 1 and October 1, commencing on October 1, 2016 and ending on the Maturity Date.

 

“Installment Payment Period” means the period from, and including, the Issue Date to, but excluding, the first Installment Payment Date and each subsequent period from, and including, an Installment Payment Date to, but excluding, the immediately succeeding Installment Payment Date.

 

“Issue Date” means June 21, 2016.

 

“Issuer Free Writing Prospectus” means the Issuer Free Writing Prospectus filed with the SEC by the Company and dated June 16, 2016, relating to the offering of the Units.

 

“Issuer Order” means a written order signed in the name of the Company by its Chairman of the Board of Directors, its President, one of its Vice Presidents, or its Treasurer, and delivered to the Purchase Contract Agent or the Trustee.

 

“Legal Defeasance” has the meaning ascribed to it in Section 5.03.

 

“Material Subsidiary” mean any of the Company’s wholly-owned domestic Subsidiaries that is, on the date of determination of any event specified in Section 6.02(d) or 6.02(e) a borrower under the Credit Agreement or guarantees any indebtedness under the Credit Agreement.

 

“Maturity Date” means July 1, 2019.

 

“Note” and “Notes” have the respective meaning ascribed to them in Section 2.01(a).

 

“Notice of Default” has the meaning ascribed to it in Section 6.02.

 

“Outstanding” means, with respect to the Notes, notwithstanding anything to the contrary in Section 2.10 of the Base Indenture, any Notes authenticated by the Trustee except (i) Notes cancelled by it, (ii) Notes delivered to it for cancellation and (iii)(A) Notes replaced pursuant to Section 2.09 of the Base Indenture, on and after the time such Notes are replaced (unless the Trustee and the Company receive proof satisfactory to them that such Notes are held by a bona fide purchaser), (B) any and all Notes, as of the Maturity Date, if the Paying Agent holds, in accordance with the Indenture, money sufficient to pay all of the Notes then payable, and (C) any and all Notes owned by the Company or any Affiliate of the Company, except that in determining whether the Trustee shall be protected in relying upon any request, demand, authorization, direction, notice consent or waiver or other action that is to be made by a requisite principal amount of Notes then Outstanding, only such Notes which a Responsible Officer of the Trustee knows to be so owned shall be disregarded.

 

“Paying Agent” means any Person (including the Company acting in such capacity) authorized by the Company to pay the principal, interest and other amounts otherwise due on the Notes on behalf of the Company.

 

4

 

The Trustee shall initially act as Paying Agent as provided in Section 3.03.  The Company may designate an alternate or additional Paying Agent by providing written notice to the Holders.

 

“Payment Default” has the meaning ascribed to it in Section 6.02(d)(i).

 

“Preliminary Prospectus Supplement” means the preliminary prospectus supplement, dated June 15, 2016, related to the offering of the Units, as filed with the Securities and Exchange Commission.

 

“Purchase Contract” has the meaning ascribed to it in the Purchase Contract Agreement.

 

“Purchase Contract Agent” means Wilmington Trust, National Association, a national banking association, in its capacity as such under the Purchase Contract Agreement, until a successor Purchase Contract Agent shall have become such pursuant to the applicable provisions of the Purchase Contract Agreement, and thereafter “Purchase Contract Agent” shall mean such Person.

 

“Purchase Contract Agreement” means the Purchase Contract Agreement, dated as of June 21, 2016, between the Company and Wilmington Trust, National Association, as Purchase Contract Agent and as Trustee.

 

“Qualifying Equity Interests” has the meaning ascribed to it in the 2014 Indenture.

 

“Registrar” with respect to the Notes, initially means the Trustee.

 

“Regular Record Date” means, with respect to any Installment Payment Date, the immediately preceding March 15, June 15, September 15 or December 15, as applicable.

 

“Reporting Event of Default” has the meaning ascribed to it in Section 6.04(a).

 

“Repurchase Date” means (i) for a repurchase in connection with a Fundamental Change, the date specified by the Company in the notice of a Fundamental Change, which will be at least 20 but not more than 45 Business Days following the Effective Date, (ii) for a repurchase in connection with the Company’s Early Mandatory Settlement Right, the date specified by the Company in the Early Mandatory Settlement Notice, which date shall be at least 20 but no more than 45 Business Days following the Early Mandatory Settlement Notice Date (and which shall be required to fall on the Early Mandatory Settlement Date) and (iii) for a repurchase in connection with an Acquisition Termination Redemption, the date specified by the Company in the Acquisition Redemption Notice, which shall be at least 20 but not more than 45 Business Days following the date of the Acquisition Redemption Notice.

 

“Repurchase Notice” means a notice in the form entitled “Form of Repurchase Notice” on the reverse side of the Notes.

 

“Repurchase Price” means with respect to a Note to be repurchased pursuant to Article IX, an amount equal to the principal amount of such Note as of the Repurchase Date, plus accrued and unpaid interest, if any, on such principal amount from, and including, the immediately preceding Installment Payment Date (or, if none, from, and including, the Issue Date) to, but not including, such Repurchase Date, calculated at an annual rate of 7.00% (as increased by any Additional Interest); provided that, if the Repurchase Date falls after a Regular Record Date and on or prior to the immediately succeeding Installment Payment Date, the Installment Payment payable on such Installment Payment Date will be paid on such Installment Payment Date to the Holder as of the Close of Business on such Regular Record Date and shall be deducted from the Repurchase Price.

 

“Repurchase Right” has the meaning ascribed to it in Section 9.01.

 

“SEC” means the United States Securities and Exchange Commission.

 

“Security Register” and “Security Registrar” have the meaning ascribed to them in the Purchase Contract Agreement.

 

5

 

“Separate Note” has the meaning ascribed to it in the Purchase Contract Agreement.

 

“Separate Purchase Contract” has the meaning ascribed to it in the Purchase Contract Agreement.

 

“Significant Subsidiary” means, with respect to any Person, a Subsidiary of such person that would constitute a “significant subsidiary” as such term is defined in Article 1, Rule 1-02 of Regulation S-X, promulgated pursuant to the Securities Act, as in effect on the Issue Date.

 

“Subsidiary,” when used with respect to any Person, means:

 

(i) any corporation, association or other business entity of which more than 50.0% of the total voting power of shares of Capital Stock entitled (without regard to the occurrence of any contingency and after giving effect to any voting agreement or stockholders’ agreement that effectively transfers voting power) to vote in the election of directors, managers or trustees of the corporation, association or other business entity is at the time owned or controlled, directly or indirectly, by that Person or one or more of the other Subsidiaries of that Person (or a combination thereof); and

 

(ii) any partnership (a) the sole general partner or the managing general partner of which is such Person or a Subsidiary of such Person or (b) the only general partners of which are that Person or one or more Subsidiaries of that Person (or any combination thereof).

 

“Successor Company” has the meaning ascribed to it in Section 7.01(a).

 

“Trustee” has the meaning ascribed to it in the first paragraph of this Supplemental Indenture.

 

“Unit” has the meaning ascribed to it in the Purchase Contract Agreement.

 

Section 1.03                            References to Interest. Any reference to interest on, or in respect of, any Note in this Supplemental Indenture shall be deemed to include Additional Interest if, in such context, Additional Interest is, was or would be payable pursuant to Section 6.04(a).  Any express mention of the payment of Additional Interest in any provision hereof shall not be construed as excluding Additional Interest in those provisions hereof where such express mention is not made.

 

ARTICLE II
 GENERAL TERMS AND CONDITIONS OF THE NOTES

 

Section 2.01                            Designation, Principal Amount and Original Issuance.

 

(a)                                 Establishment; Designation. Pursuant to Section 2.03 of the Base Indenture, there is hereby established and authorized a new series of Securities under the Indenture, which series of Securities shall be designated the “7.00% Senior Amortizing Notes due 2019” (the “Notes,” and “Note” means each note of such series having an initial principal amount equal to the Initial Principal Amount) and shall mature on the Maturity Date.

 

(b)                                 Initial Issuance. The aggregate principal amount of Notes that may initially be authenticated and delivered under the Indenture is limited to $87,165,860.00 except for Notes authenticated and delivered upon registration or transfer of, or in exchange for, or in lieu of, other Notes pursuant to Sections 2.02, 2.05, 2.08, 2.09 and 2.12 of the Base Indenture.

 

Section 2.02                            Form of Notes.

 

(a)                                 The Notes will initially be issued as Component Notes in the form of Attachment 4 to the form of Global Unit attached as Exhibit A to the Purchase Contract Agreement, and will be attached to the related Global Unit and registered in the name of Wilmington Trust, National Association, as attorney-in-fact of the holder(s) of such Global Unit.

 

6

 

(b)                                 Holders of Units have the right to separate such Units into their constituent parts, consisting of Separate Purchase Contracts and Separate Notes, during the times, and under the circumstances, as provided in Section 2.03 of the Purchase Contract Agreement. Upon separation of any Unit into its constituent parts, (i) if such Unit is a Global Unit, (x) the Separate Notes will initially be evidenced by Global Notes deposited with the Trustee as custodian for the Depositary and registered in the name of the Depositary or its nominee and (y) the Trustee shall register in accordance with its procedures and the Applicable Procedures (1) a decrease in the Global Unit and the amount of the Component Note represented thereby by the amount of such Separate Notes by documenting it on Schedule A of such Component Note and on Schedule A of such Global Unit, and (2) a corresponding increase in the amounts of the Global Note representing Separate Notes by documenting it on Schedule A of such Global Notes, or (ii) if such Unit is in definitive, registered form, the Separate Notes will be evidenced by a Certificated Note, in each case, as provided in Section 2.03 of the Purchase Contract Agreement.  Following separation of any Unit into its constituent Separate Note and Separate Purchase Contract, the Separate Notes are transferable independently from the Separate Purchase Contracts. In addition, Separate Notes can be recombined with Separate Purchase Contracts to recreate Units, as provided for in Section 2.04 of the Purchase Contract Agreement and following such recreation, the Trustee, as applicable, shall register in accordance with its procedures and the Applicable Procedures (i) an increase in the Global Unit and the amount of the Component Note represented thereby by the amount of the Separate Notes to be recombined by documenting it on Schedule A of such Component Note and on Schedule A of such Global Unit, and (ii) a corresponding decrease in the amounts of the Global Note representing such Separate Notes by documenting it on Schedule A of such Global Note.

 

(c)                                  The terms of the Global Note are incorporated by reference herein and is part of this Supplemental Indenture.

 

(d)                                 The Notes shall be issuable in denominations initially equal to the Initial Principal Amount and integral multiples in excess thereof.

 

Section 2.03                            Installment Payments.

 

(a)                                 On each Installment Payment Date, the Company shall pay an installment on each Note of $1.7500 (each such payment, an “Installment Payment”) in cash at the place, at the respective times and in the manner provided in the Notes; provided that the Installment Payment on each Note on October 1, 2016 shall equal $1.94444.  Installment Payments shall be paid to the Person in whose name a Note is registered at the Close of Business on the Regular Record Date corresponding to such Installment Payment Date.

 

(b)                                 Each Installment Payment shall constitute a payment of interest (at an annual rate of 7.00%) and a partial repayment of principal on the Note, allocated as set forth in the schedule below:

 

	
Scheduled Installment Payment Date
    	
 
    	
Amount of 
   Principal per 
   Note
    	
 
    	
Amount of 
   Interest per 
   Note
    	
 
    
	
October 1,   2016
    	
 
    	
$
    	
1.57599
    	
 
    	
$
    	
0.36845
    	
 
    
	
January 1,   2017
    	
 
    	
$
    	
1.44597
    	
 
    	
$
    	
0.30403
    	
 
    
	
April 1,   2017
    	
 
    	
$
    	
1.47128
    	
 
    	
$
    	
0.27872
    	
 
    
	
July 1,   2017
    	
 
    	
$
    	
1.49702
    	
 
    	
$
    	
0.25298
    	
 
    
	
October 1,   2017
    	
 
    	
$
    	
1.52322
    	
 
    	
$
    	
0.22678
    	
 
    
	
January 1,   2018
    	
 
    	
$
    	
1.54988
    	
 
    	
$
    	
0.20012
    	
 
    
	
April 1,   2018
    	
 
    	
$
    	
1.57700
    	
 
    	
$
    	
0.17300
    	
 
    
	
July 1,   2018
    	
 
    	
$
    	
1.60460
    	
 
    	
$
    	
0.14540
    	
 
    
	
October 1,   2018
    	
 
    	
$
    	
1.63268
    	
 
    	
$
    	
0.11732
    	
 
    
	
January 1,   2019
    	
 
    	
$
    	
1.66125
    	
 
    	
$
    	
0.08875
    	
 
    
	
April 1,   2019
    	
 
    	
$
    	
1.69032
    	
 
    	
$
    	
0.05968
    	
 
    
	
July 1,   2019
    	
 
    	
$
    	
1.71990
    	
 
    	
$
    	
0.03010
    	
 
    

 

(c)                                  Each Installment Payment for any Installment Payment Period shall be computed on the basis of a 360-day year of twelve 30-day months. If an Installment Payment is payable for any period shorter or

 

7

 

longer than a full Installment Payment Period, such Installment Payment shall be computed on the basis of the actual number of days elapsed per 30-day month.

 

(d)                                 If any date on which an Installment Payment is payable is not a Business Day, then payment of the Installment Payment on such date shall be made on the next succeeding day that is a Business Day, and without any interest or other payment in respect of any such delay. However, if such Business Day is in the next succeeding calendar year, then such Installment Payment shall be made on the immediately preceding Business Day, in each case with the same force and effect as if made on the date when such Installment Payment was originally due.

 

(e)                                  Notwithstanding anything to the contrary herein, the amount of any Installment Payment for any Installment Payment Period shall be increased by the amount of Additional Interest, if any, payable for such Installment Payment Period pursuant to Section 6.04(a).

 

Section 2.04                            Depositary.  The Depositary for the Global Note shall initially be DTC. The Global Note (which shall initially have a balance of zero) shall be deposited on or about the Issue Date with, or on behalf of, DTC and registered in the name of Cede & Co., as nominee of DTC.

 

None of the Company, the Trustee, the Security Registrar or the Paying Agent shall have any responsibility or obligation to any Beneficial Owner of a Global Note, an agent member or other Person with respect to the accuracy of the records of the Depositary or its nominee or of any agent member, with respect to any ownership interest in the Notes or with respect to the delivery to any agent member, Beneficial Owner or other Person (other than the Depositary) of any notice or the payment of any amount, under or with respect to such Notes. All notices and communications to be given to the Holders and all payments to be made to Holders under the Notes and the Indenture shall be given or made only to or upon the order of the registered Holders (which shall be the Depositary or its nominee in the case of a Global Note). The rights of Beneficial Owners in a Global Note shall be exercised only through the Depositary pursuant to the Applicable Procedures. The Company, the Trustee, the Security Registrar and the Paying Agent shall be entitled to rely and shall be fully protected in relying upon information furnished by the Depositary with respect to its members, participants and any Beneficial Owners. The Company, the Trustee, the Paying Agent and the Security Registrar shall be entitled to deal with the Depositary, and any nominee thereof, that is the registered Holder of any Global Note for all purposes of the Indenture relating to such Global Note (including the payment or delivery of amounts due hereunder and the giving of instructions or directions by or to any Beneficial Owner) as the sole Holder of such Global Note and shall have no obligations to the Beneficial Owners thereof. None of the Company, the Trustee, the Paying Agent and the Security Registrar shall have any responsibility or liability for any acts or omissions of the Depositary with respect to such Global Note, for the records of any such Depositary, including records in respect of the Beneficial Owners of any such Global Note, for any transactions between the Depositary and any agent member or between or among the Depositary, any such agent member and/or any Holder or Beneficial Owner of such Global Note, or for any transfers of beneficial interests in any such Global Note.

 

Notwithstanding the foregoing, with respect to any Global Note, nothing herein shall prevent the Company, the Trustee, or any agent of the Company or the Trustee from giving effect to any written certification, proxy or other authorization furnished by any depositary (or its nominee), as a Holder, with respect to such Global Note or shall impair, as between such Depositary and Beneficial Owners of such Global Note, the operation of customary practices governing the exercise of the rights of such depositary (or its nominee) as Holder of such Global Note.

 

None of the Company, the Trustee, the Paying Agent or the Security Registrar shall have any obligation or duty to monitor, determine or inquire as to compliance with any restrictions on transfer imposed under the Indenture or under applicable law with respect to any transfer of any interest in any Note (including any transfers between or among participants of DTC, members or Beneficial Owners in any Global Note) other than to require delivery of such certificates and other documentation or evidence as are expressly required by, and to do so if and when expressly required by, the terms of the Indenture, and to examine the same to determine substantial compliance as to form with the express requirements hereof.

 

8

 

Section 2.05                            Certificated Notes.  If:

 

(a)                                 the Depositary is unwilling or unable to continue as Depositary for such Global Note and the Company is unable to find a qualified replacement for such Depositary within 90 days;

 

(b)                                 at any time the Depositary ceases to be a Clearing Agency; or

 

(c)                                  the Company elects, in its sole discretion, to allow some or all Global Units, Global Purchase Contracts or Global Notes to be exchangeable for securities in registered definitive form;

 

then, in each case, the Company shall execute, and the Trustee, upon receipt of an Issuer Order for the authentication and delivery of Certificated Notes, shall authenticate and deliver Certificated Notes in any authorized denominations, in an aggregate principal amount equal to the principal amount of the Global Note or Notes representing such Notes (or in an aggregate principal amount equal to the principal amount of the Notes in respect of which a Beneficial Owner (through the Depositary) has requested the issuance of Notes in physical, certificated form pursuant to clause (c) above) in exchange for such Global Note or Notes (or relevant portion thereof).

 

ARTICLE III
 COVENANTS

 

Section 3.01                            Covenants Made in the Base Indenture.

 

The Holders shall have the benefit of the covenants set forth in Article IV of the Base Indenture unless specified otherwise herein.

 

Section 3.02                            Payment of Installment Payments.

 

The Company covenants and agrees that it will cause to be paid the Installment Payments (for the avoidance of doubt, as increased by any Additional Interest), on each of the Notes at the places, at the respective times and in the manner provided herein and in the Notes.

 

Section 3.03                            Paying Agent and Security Registrar.

 

The Company hereby initially designates the Trustee as the Paying Agent and Security Registrar, and the Corporate Trust Office, which shall be in the continental United States, shall be considered as one such office or agency of the Company for each of the aforesaid purposes.

 

With respect to any Global Note, the Corporate Trust Office of the Trustee or any Paying Agent shall be the place of payment where such Global Note may be presented or surrendered for payment, registration of transfer or exchange, or where successor Notes may be delivered in exchange therefor; provided, however, that any such payment, registration of transfer or exchange effected pursuant to the Applicable Procedures for such Global Note shall be deemed to have been effected at the Place of Payment for such Global Note in accordance with the provisions of the Indenture.

 

Section 3.04                            Appointments to Fill Vacancies in Trustee’s Office.

 

The Company, whenever necessary to avoid or fill a vacancy in the office of Trustee, will appoint, in the manner provided in Section 7.08 of the Base Indenture, a Trustee, so that there shall at all times be a Trustee hereunder.

 

Section 3.05                            Deposit of Installment Payments.

 

The Company shall, on or before each Installment Payment Date deposit with the Paying Agent a sum sufficient to pay the Installment Payments then due and payable and (unless such Paying Agent is the Trustee) the Company will promptly notify the Trustee of any failure to take such action, provided that, if such deposit is made on the Installment Payment Date, such deposit must be received by the Paying Agent by 11:00 a.m., New York City time, on such Installment Payment Date.

 

9

 

Section 3.06                            Reports.

 

This Section 3.06 replaces Section 4.03 of the Base Indenture in its entirety with respect to the Notes.  With respect to the Notes, references in the Base Indenture to Section 4.03 of the Base Indenture are deemed replaced with references to this Section 3.06.

 

The Company shall deliver to the Trustee, within 15 days after it is required to file the same with the SEC (after giving effect to any grace period provided by Rule 12b-25 under the Exchange Act), 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 SEC may from time to time by rules and regulations prescribe) which the Company may be required to file   pursuant to Section 13 or 15(d) of the Exchange Act.  For the purposes of this Section 3.06, any such information, documents or report that the Company files with the SEC through EDGAR (or any successor thereto) will be deemed to be delivered to the Trustee as of the time of such filing through EDGAR (or such successor thereto); provided, however, that the Trustee shall have no obligation whatsoever to determine whether such filing occurred.

 

Delivery of any such reports, information and documents to the Trustee shall be for informational purposes only and the Trustee’s receipt of such reports, information and documents shall 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 under the Indenture (as to which the Trustee is entitled to rely exclusively on an Officers Certificate).

 

Section 3.07                            Statements as to Defaults.

 

The Company shall deliver, within 120 calendar days after the end of each fiscal year, to the Trustee an annual statement regarding compliance with the Indenture, and include in such statement, if any Officer is aware of any Default or Event of Default, a statement specifying such Default or Event of Default and what action the Company is taking or proposes to take with respect thereto.  In addition, the Company shall deliver prompt written notice upon becoming aware of the occurrence of any Default or Event of Default and of what action the Company is taking or proposes to take with respect thereto. This Section 3.07 shall, with respect to the Notes, replace Section 4.04 of the Base Indenture to the extent inconsistent with this Section 3.07.

 

Section 3.08                            Additional Interest Notice.

 

If Additional Interest is payable by the Company pursuant to Section 6.04(a) hereof, the Company shall deliver to the Trustee an Officer’s Certificate to that effect stating the date on which Additional Interest began accruing. In addition, the Company shall deliver to the Trustee an Officer’s Certificate stating when Additional Interest has ceased accruing, along with the amount of such Additional Interest payable, but failure to deliver such certificate shall not cause Additional Interest to accrue beyond the date that it accrues pursuant to Section 6.04(a) hereof.  Unless and until a Responsible Officer of the Trustee receives at the Corporate Trust Office such a certificate, the Trustee may assume without inquiry that no such Additional Interest is payable.  If the Company has paid Additional Interest directly to the Persons entitled to them, the Company shall deliver to the Trustee an Officer’s Certificate setting forth the particulars of such payment.

 

ARTICLE IV
 REDEMPTION AND SINKING FUNDS

 

Section 4.01                            Article Three of the Base Indenture; No Redemption or Sinking Funds.  Article III of the Base Indenture shall not apply to the Notes. The Company shall not be permitted to redeem the Notes, and no sinking fund is provided for the Notes.

 

10

 

ARTICLE V
 DISCHARGE AND DEFEASANCE

 

Section 5.01                            Inapplicability of Provisions of Base Indenture; Discharge of the Indenture.

 

Article VIII and Article X of the Base Indenture shall not apply to the Notes.  Instead, the discharge and defeasance provisions set forth in this Article V shall, with respect to the Notes, supersede in their entirety Article VIII and Article X of the Base Indenture.

 

Section 5.02                            Satisfaction and Discharge.

 

This Indenture shall be discharged and shall cease to be of further effect (except as to surviving rights of registration of transfer or exchange of the Notes, as expressly provided for in this Indenture) as to all outstanding Notes issued hereunder (“Discharge”), when:

 

(a)                                 either:

 

(i)                                     all Notes that have been authenticated and delivered (except lost, stolen or destroyed Notes that have been replaced or paid and Notes for whose payment money has been deposited in trust or segregated and held in trust by the Company and thereafter repaid to the Company or discharged from their trust as provided in this Indenture) have been delivered to the Trustee for cancellation; or

 

(ii)                                  all the Notes that have not been delivered to the Trustee for cancellation will mature within one year and the Company has irrevocably deposited or caused to be deposited with the Trustee as trust funds in trust solely for the benefit of the Holders, cash in U.S. dollars, non-callable Government Securities or a combination thereof, in such amounts as will be sufficient, in the opinion of a nationally recognized investment bank or firm of independent public accountants delivered to the Trustee to pay the principal of, and interest on, the Outstanding Notes to the Maturity Date;

 

(b)                                 in respect of subclause (ii) of clause (a) of this Section 5.02, no Default or Event of Default has occurred and is continuing as a result of such deposit and such deposit will not result in a breach or violation of, or constitute a default under any other instrument to which the Company is a party or by which the Company is bound;

 

(c)                                  the Company has paid or caused to be paid all sums payable by it under this Indenture; and

 

(d)                                 the Company has delivered irrevocable instructions to the Trustee under this Indenture to apply the deposited money toward the payment of principal of, and interest on, the outstanding Notes to their maturity.

 

In addition, the Company must deliver an Officer’s Certificate and an Opinion of Counsel (subject to customary assumptions and exceptions) to the Trustee stating that all conditions precedent to satisfaction and discharge pursuant to this section have been satisfied.

 

Section 5.03                            Legal Defeasance.

 

The Company shall, subject to Section 5.09 and the satisfaction of the conditions set forth in Section 5.05, be deemed to have been discharged from its obligations with respect to the Notes on the date the conditions set forth in Section 5.05 are satisfied (“Legal Defeasance”).  For this purpose, Legal Defeasance means that the Company shall be deemed to have paid and discharged the entire indebtedness represented by the Notes, which shall thereafter be deemed to be Outstanding only for the purposes of Section 5.06 hereof and the other Sections of this Supplemental Indenture referred to in Section 5.09 below, and to have satisfied all of its obligations under the Notes and the Indenture (and the Trustee, on demand of and at the expense of the Company, shall execute proper instruments delivered to it by the Company acknowledging the same). The Company may exercise Legal

 

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Defeasance with respect to the Notes notwithstanding the prior exercise of Covenant Defeasance with respect to the Notes.

 

Section 5.04                            Covenant Defeasance.

 

The Company shall, subject to Section 5.09 and the satisfaction of the conditions set forth in Section 5.05, be released from its obligations under the covenants contained in Section 3.06 and in Article VII (other than Section 7.01(a)(y)) and, on and after the date that the conditions set forth in Section 5.05 are satisfied with respect to the Notes (“Covenant Defeasance”), the Company may omit to comply with and shall have no liability in respect of any term, condition or limitation set forth in such covenants, whether directly or indirectly, by reason of any reference elsewhere herein to such covenants or by reason of any reference in such covenants to any other provision herein or in any other document and such omission to comply shall not constitute a Default or an Event of Default under Section 6.02, but, except as specified above, the remainder of the Indenture and the Notes shall be unaffected thereby.

 

Upon the Company’s exercise of Covenant Defeasance, subject to the satisfaction of the conditions set forth in Section 5.05 and the exceptions set forth in Section 5.09, clauses (c) through (d) of Section 6.02 shall not constitute Defaults or Events of Default hereunder.

 

Section 5.05                            Conditions to Legal or Covenant Defeasance.  In  order to exercise either Legal Defeasance or Covenant Defeasance:

 

(a)                                 The Company must irrevocably deposit, or cause to be deposited, with the Trustee, in trust, for the benefit of the Holders of the Notes, cash in U.S. dollars, Government Securities, or a combination thereof, in such amounts as will be sufficient, in the opinion of a nationally recognized investment bank or firm of independent public accountants delivered to the Trustee, to pay principal of, and interest, on, the outstanding Notes to their maturity;

 

(b)                                 in the case of Legal Defeasance, the Company shall have delivered to the Trustee an Opinion of Counsel by an independent U.S. tax counsel of recognized standing (subject to customary assumptions and exceptions) confirming that:

 

(i)                                     the Company has received from, or there has been published by, the Internal Revenue Service a ruling or

 

(ii)                                  since the Issue Date, there has been a change in the applicable federal income tax law,

 

in either case to the effect that, and based thereon such Opinion of Counsel shall confirm that, the Holders of the outstanding 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;

 

(c)                                  in the case of Covenant Defeasance, the Company shall have delivered to the Trustee an Opinion of Counsel by an independent U.S. tax counsel of recognized standing (subject to customary assumptions and exceptions) confirming that the Holders of the outstanding 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;

 

(d)                                 no Default or Event of Default shall have occurred and be continuing on the date of such deposit;

 

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(e)                                  such Legal Defeasance or Covenant Defeasance will not result in a breach or violation of, or constitute a default under this Indenture or any material agreement or instrument to which the Company or any of its Subsidiaries is a party or by which the Company or any of its Subsidiaries is bound;

 

(f)                                   the Company must deliver to the Trustee an Officer’s Certificate stating that the deposit was not made by the Company with the intent of preferring the Holders of Notes over the other creditors of the Company with the intent of defeating, hindering, delaying or defrauding creditors of the Company or others; and

 

(g)                                  the Company must deliver to the Trustee an Officer’s Certificate and an Opinion of Counsel (subject to customary assumptions and exceptions), each stating that all conditions precedent relating to the Legal Defeasance or the Covenant Defeasance have been complied with.

 

Section 5.06                            Application of Trust Money.

 

Subject to Section 5.07, the Trustee will hold in trust the money or Government Securities deposited with it pursuant to Section 5.02 or pursuant to Legal Defeasance or Covenant Defeasance, and apply the deposited money and the proceeds from deposited Government Securities to the payment of principal of and interest on the Notes (in the form of Installment Payments) in accordance with the Notes and the Indenture. Such money and Government Securities need not be segregated from other funds except to the extent required by law.

 

Section 5.07                            Repayment to Company.

 

Upon the satisfaction and discharge of the Indenture, all monies, if any, then held by any Paying Agent (if other than the Trustee) shall, upon written request of the Company, be repaid to it or paid to the Trustee, and thereupon such Paying Agent shall be released from all further liability with respect to such monies.

 

Subject to the requirements of applicable law, any monies deposited with or paid to the Trustee for payment of the Installment Payments with respect to the Notes and not applied but remaining unclaimed by the Holders of the Notes for two years after the date upon which the Installment Payments with respect to such Notes, shall have become due and payable, shall be repaid to the Company by the Trustee or the Paying Agent on demand, and all liability of the Trustee shall thereupon cease with respect to such monies; and the Holders shall thereafter look only to the Company for any payment that such Holder may be entitled to collect unless an applicable abandoned property law designates another person; provided, however, that before the Trustee or such Paying Agent are required to make any such repayment, the Company shall cause to be published once, in a newspaper published in the English language, customarily published on each Business Day and of general circulation in The Borough of Manhattan, The City of New York, New York, notice that such money remains unclaimed and that, after a date specified therein, which shall not be less than thirty days from the date of such publication, any unclaimed balance of such money then remaining will be repaid to the Company.

 

Section 5.08                            Reinstatement.

 

If the Trustee or the Paying Agent is unable to apply any money in accordance with Section 5.06 by reason of any order or judgment of any court or governmental authority enjoining, restraining or otherwise prohibiting such application, the Company’s obligations under the Indenture and the Notes shall be revived and reinstated as though no deposit had occurred pursuant to Sections 5.02 or 5.05, as the case may be, until such time as the Trustee or the Paying Agent is permitted to apply all such money and shares of Common Stock in accordance with Section 5.06; provided, however, that if the Company makes any payment of interest on, principal of or payment in respect of any Note following the reinstatement of its obligations, the Company shall be subrogated to the rights of the Holders of such Notes to receive such payment from the money, if any, held by the Trustee or Paying Agent.

 

Section 5.09                            Provisions to Survive Defeasance and Discharge.

 

Notwithstanding the foregoing and Sections 5.02, 5.03 and 5.04, no Discharge, Legal Defeasance or Covenant Defeasance pursuant to this Article V shall affect the following obligations to, or rights of, the Holders of the Notes:

 

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(a)                                 the rights of registration of transfer and exchange of the Notes;

 

(b)                                 the Company’s obligations with respect to the Notes concerning mutilated, defaced, destroyed, lost or stolen Notes;

 

(c)                                  the rights of Holders of Notes to receive payments in respect of the principal thereof and interest thereon (in the form of Installment Payments), upon the original due dates therefor, but not upon acceleration;

 

(d)                                 the rights, indemnities and immunities of the Trustee, and the Company’s obligations in connection therewith;

 

(e)                                  the rights of Holders of Notes that are beneficiaries with respect to property so deposited with the Trustee payable to all or any of them;

 

(f)                                   the maintenance of an office or agency for payment and money for payments held in trust in respect of the Notes;

 

(g)                                  the rights and obligations under Article IX hereof; and

 

(h)                                 the provisions under Section 5.03 hereof.

 

ARTICLE VI
  DEFAULTS AND REMEDIES

 

Section 6.01                            Article VI of the Base Indenture.

 

Article VI of the Base Indenture shall not apply to the Notes.  Instead, this Article VI supersedes Article VI of the Base Indenture in its entirety, and references in the Base Indenture to provisions of Article VI thereof shall be deemed to be references to the corresponding provisions of this Article VI.

 

Section 6.02                            Events of Default.  Each of the following events shall be an “Event of Default” wherever used with respect to the Notes:

 

(a)                                 (i) failure by the Company to pay any Installment Payment on any Note when such is due which failure to pay is not cured within 30 days or (ii) failure by the Company to pay the Repurchase Price of any Note when due;

 

(b)                                 failure by the Company to give notice of a Fundamental Change when any such notice is due pursuant to the terms of the Purchase Contract Agreement;

 

(c)                                  failure by the Company to comply with any of its agreements or covenants in, or provisions of, the Notes or the Indenture, and such failure continues for 60 days after receipt by the Company of a Notice of Default;

 

(d)                                 default by the Company or any Material Subsidiary under any document evidencing any indebtedness for borrowed money by the Company or any Material Subsidiary, whether such indebtedness exists on the date of the Indenture or is created thereafter, if that default:

 

(i)                                     is caused by a failure to pay principal when due at final (and not any interim) maturity on or prior to the expiration of any grace period provided in such indebtedness (a “Payment Default”); or

 

(ii)                                  results in the acceleration of such indebtedness prior to its express maturity (without acceleration having been rescinded, annulled or otherwise cured),

 

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and, in each case, the principal amount of any such indebtedness, together with the principal amount of any other such indebtedness under which there has been a Payment Default or the maturity of which has been so accelerated (without such acceleration having been rescinded, annulled or otherwise cured), aggregates $100.0 million or more; provided that this Section 6.02(d) shall not apply to (A) secured indebtedness that becomes due as a result of the voluntary sale or transfer of the property or assets securing such indebtedness and (B) any indebtedness that is required to be converted into Qualifying Equity Interests upon the occurrence of certain designated events so long as no payments in cash or otherwise are required to be made in accordance with such conversion; or

 

(e)                                  a court of competent jurisdiction (i) enters an order or decree under any Bankruptcy Law that is for relief against the Company or any Material Subsidiary in an involuntary case; (ii) appoints a custodian for all or substantially all of the property of the Company or any Material Subsidiary; or (iii) orders the liquidation of the Company or any Material Subsidiary and, in each of clauses (i), (ii) or (iii), the order, appointment or decree remains unstayed and in effect for at least 60 consecutive days; or (b) the Company or any Material Subsidiary, pursuant to or within the meaning of Bankruptcy Law (i) commences a voluntary case; (ii) consents to the entry of an order for relief against it in an involuntary case; (iii) consents to the appointment of a custodian of it or for all or substantially all of its property; or (iv) makes a general assignment for the benefit of its creditors.

 

A Default as described in Section 6.02(c) above shall not be deemed an Event of Default until the Trustee notifies the Company, or the Holders of at least 25% in principal amount of the Notes then Outstanding notify the Company and the Trustee in writing, of the Default and the Company does not cure the Default within 60 calendar days after receipt of the notice. The notice must specify the Default, demand that it be remedied and state that the notice is a “Notice of Default” (such notice, a “Notice of Default”).

 

Section 6.03                            Acceleration; Rescission and Annulment.

 

(a)                                 Subject to Section 6.04(a), if one or more Events of Default shall have occurred and be continuing (whatever the reason for such Event of Default and whether it shall be voluntary or involuntary or be effected by operation of law or pursuant to any judgment, decree or order of any court or any order, rule or regulation of any administrative or governmental body), then, and in each and every such case, unless the principal of all of the Notes shall have already become due and payable, the Trustee or the holders of at least 25% in aggregate principal amount of the Notes then Outstanding, by notice in writing to the Company (and to the Trustee if given by the Holders), may declare 100% of the principal of, and accrued and unpaid interest, if any, on all the Notes to be due and payable immediately, and upon any such declaration the same shall become and shall automatically be immediately due and payable, anything in the Indenture or in the Notes contained to the contrary notwithstanding; provided, however, that if an Event of Default specified in Section 6.02(e) with respect to the Company (and not solely with respect to one or more Material Subsidiaries) occurs and is continuing, the Installment Payments on any Notes shall be immediately due and payable.

 

(b)                                 The Holders of a majority in aggregate principal amount of the Notes then Outstanding, by written notice to the Trustee, may waive all Defaults with respect to the Notes (other than a Default or an Event of Default resulting from a failure to pay the Installment Payments) and rescind and annul such declaration of acceleration resulting from such Defaults (other than a Default or an Event of Default resulting from a failure to pay the Installment Payments) and their consequences if (i) such rescission would not conflict with any judgment or decree of a court of competent jurisdiction and (ii) all existing Events of Default, other than the nonpayment of the Installment Payments that have become due solely by such declaration of acceleration, have been cured or waived then such Default (other than a Default or an Event of Default resulting from a failure to pay the Installment Payments) shall cease to exist, and any Event of Default arising therefrom shall be deemed to have been cured for every purpose of the Indenture; provided, that no such waiver or rescission and annulment shall extend to or shall affect any subsequent Default or Event of Default, or shall impair any right consequent thereon.

 

Section 6.04                            Additional Interest.

 

(a)                                 Notwithstanding any provisions of the Indenture to the contrary, during the first 180 days after the occurrence of an Event of Default relating to the Company’s failure to comply with Section 3.06 (a

 

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“Reporting Event of Default”), the Company by notifying the Trustee, the Paying Agent and all of the Holders, in writing, on or before the Close of Business on the fifth Business Day immediately following the date on which such Event of Default otherwise would occur, may elect that the sole remedy of the Holders for such a Reporting Event of Default will consist exclusively of the right to receive additional interest on the Notes (“Additional Interest”) at a rate per year equal to (i) 0.25% of the Outstanding principal amount of the Notes for the first 90 days after the occurrence of such Reporting Event of Default and (ii) 0.50 % of the Outstanding principal amount of the Notes for the 90 days immediately following such 90-day period, payable in arrears on each Installment Payment Date following the date on which such Reporting Event of Default first occurs and in the same manner as regular interest on the Notes (which Additional Interest will, for the avoidance of doubt, result in an increase in the amount of any such Installment Payment). The Notes may not be accelerated during such five Business Day period following a Reporting Event of Default.

 

(b)                                 (x) On the 181st day after such Reporting Event of Default (if such violation is not cured or waived prior to such 181st day) or (y) if the Company does not elect to pay Additional Interest upon a Reporting Event of Default in accordance with Section 6.04(a) or fails to timely provide the notice of the Company’s election to pay Additional Interests pursuant to Section 6.04(a), the Notes will be subject to acceleration as described in Section 6.03.

 

Section 6.05                            Control by Majority.

 

At any time, the Holders of a majority of the aggregate principal amount of the Notes then Outstanding may direct the time, method and place of conducting any proceeding for any remedy available to the Trustee or for exercising any trust or power conferred on the Trustee.  However, the Trustee may refuse to follow any direction that conflicts with law or the Indenture or, subject to the Trustee’s duties under Article VII of the Base Indenture and the TIA, that the Trustee determines to be unduly prejudicial to the rights of a Holder or to the Trustee, or that would potentially involve the Trustee in personal liability unless the Trustee is offered indemnity or security satisfactory to it, in its sole discretion, against any loss, liability or expense to the Trustee that may result from the Trustee’s instituting such proceeding as the Trustee.  Prior to taking any action hereunder, the Trustee will be entitled to indemnification satisfactory to it against all losses and expenses caused by taking or not taking such action.

 

Section 6.06                            Limitation on Suits.  Subject to Section 6.07 hereof, no Holder may pursue a remedy with respect to the Indenture or the Notes unless:

 

(a)                                 such Holder has previously delivered to the Trustee written notice that an Event of Default has occurred and is continuing;

 

(b)                                 the Holders of at least 25% of the aggregate principal amount of the Notes then Outstanding have delivered to the Trustee a written request that the Trustee pursue a remedy with respect to such Event of Default;

 

(c)                                  such Holder or Holders have offered and, if requested, provided to the Trustee security or indemnity satisfactory to the Trustee against any loss, liability or other expense in compliance with such written request;

 

(d)                                 the Trustee has not complied with such written request within 60 days after receipt of such written request and offer of security or indemnity; and

 

(e)                                  during such 60-day period, the Holders of a majority of the aggregate principal amount of the Notes then Outstanding did not deliver to the Trustee a direction that, in the opinion of the Trustee, is inconsistent with such written request.

 

A Holder may not use the Indenture to prejudice the rights of any other Holder or to obtain a preference or priority over any other Holder, it being understood that the Trustee does not have any affirmative duty to ascertain whether any usage of the Indenture by a Holder is unduly prejudicial to such other Holders.

 

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Section 6.07                            Rights of Holders to Receive Installment Payments.

 

Notwithstanding anything to the contrary elsewhere in the Indenture, the right of any Holder to receive Installment Payments on its Notes, on or after the respective due date, or to bring suit for the enforcement of any such payment, will not be impaired or affected without the consent of such Holder and will not be subject to the requirements of Section 6.06 hereof.

 

Section 6.08                            Collection of Indebtedness; Suit for Enforcement by Trustee.

 

If an Event of Default specified in Section 6.02(a) hereof occurs and is continuing, the Trustee is authorized to recover judgment in its own name and as trustee of an express trust against the Company for the whole amount of Installment Payments on the Notes or Repurchase Price, as applicable, and such further amount as is sufficient to cover the costs and expenses of collection, including the reasonable compensation, expenses, disbursements and advances of the Trustee, its agents and counsel, as well as any other amounts that may be due under Section 7.07 of the Base Indenture.

 

Section 6.09                            Trustee May Enforce Claims Without Possession of Notes.

 

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

 

Section 6.10                            Trustee May File Proofs of Claim.

 

The Trustee is authorized to file such proofs of claim and other papers or documents as may be necessary or advisable to have the claims of the Trustee and the Holders allowed in any judicial proceedings relative to the Company, its creditors or its property and, unless prohibited by law or applicable regulations, will be entitled to collect, receive and distribute any money or other property payable or deliverable on any such claims, and any custodian in any such judicial proceeding is hereby authorized by each Holder to make such payments to the Trustee, and, in the event that the Trustee consents to the making of such payments directly to the Holders, to pay to the Trustee any amount due to it for the reasonable compensation, expenses, disbursements and advances of the Trustee, its agents and counsel, and any other amounts due the Trustee under Section 7.07 of the Base Indenture.  To the extent that the payment of any such compensation, expenses, disbursements and advances of the Trustee, its agents and counsel, and any other amounts due the Trustee under Section 7.07 of the Base Indenture out of the estate in any such proceeding, will be denied for any reason, payment of the same will be secured by a lien on, and is paid out of, any and all distributions, dividends, money, securities and other properties that the Holders may be entitled to receive in such proceeding, whether in liquidation or under any plan of reorganization or arrangement or otherwise.  Nothing herein contained will be deemed to authorize the Trustee to authorize or consent to, or to accept or to adopt on behalf of any Holder, any plan of reorganization, arrangement, adjustment or composition affecting the 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.

 

Section 6.11                            Restoration of Rights and Remedies.

 

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

 

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Section 6.12                            Rights and Remedies Cumulative.

 

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

 

Section 6.13                            Delay or Omission Not a Waiver.

 

No delay or omission of the Trustee or of any Holder to exercise any right or remedy accruing upon any Event of Default shall impair any such right or remedy or constitute a waiver of any such Event of Default or an acquiescence therein.  Every right and remedy given by this Article VI 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 (subject to the limitations contained in the Indenture) or by the Holders, as the case may be.

 

Section 6.14                            Priorities.

 

If the Trustee collects any money pursuant to this Article VI, it will pay out the money in the following order:

 

FIRST:  to the Trustee, its agents and attorneys for amounts due under Section 7.07 of the Base Indenture, including payment of all compensation, expenses and liabilities incurred, and all advances made, by the Trustee and the costs and expenses of collection;

 

SECOND:  to the Holders, for any amounts due and unpaid on the principal of and accrued and unpaid interest on any Note, without preference or priority of any kind, according to such amounts due and payable on all of the Notes for principal and interest; and

 

THIRD:  the balance, if any, to the Company or to such other party as a court of competent jurisdiction directs.

 

The Trustee may fix a record date and payment date for any payment to the Holders pursuant to this Section 6.14.  If the Trustee so fixes a record date and a payment date, at least 15 days prior to such record date, the Company will deliver to each Holder and the Trustee a written notice, which notice will state such record date, such payment date and the amount of such payment.

 

Section 6.15                            Undertaking for Costs.

 

All parties to the Indenture agree, and each Holder, by such Holder’s acceptance of a Note, shall be deemed to have agreed, that any court may in its discretion require, in any suit for the enforcement of any right or remedy under the Indenture, or in any suit against the Trustee for any action taken or omitted by it as Trustee, the filing by any party litigant in such suit of an undertaking to pay the costs of such suit, and that such court may in its discretion assess reasonable costs, including reasonable attorneys’ fees, against any party litigant in such suit, having due regard to the merits and good faith of the claims or defenses made by such party litigant; provided, however, that the provisions of this Section 6.15 shall not apply to any suit instituted by the Trustee, to any suit instituted by any Holder pursuant to Section 6.07, or to any suit by a group of Holders pursuant to Section 6.07, holding in the aggregate more than 10% in aggregate principal amount of the Notes then Outstanding.

 

Section 6.16                            Waiver of Stay, Extension and Usury Laws.

 

The Company covenants that, to the extent that it may lawfully do so, it will not at any time insist upon, plead, or in any manner whatsoever claim or take the benefit or advantage of, any stay, extension or usury law wherever enacted, now or at any time hereafter in force, that may affect the covenants or the performance of the Indenture; and the Company, to the extent that it may lawfully do so, hereby expressly waives all benefit or

 

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advantage of any such law, and covenants that it will not, by resort to any such law, hinder, delay or impede the execution of any power herein granted to the Trustee, but will instead suffer and permit the execution of every such power as though no such law has been enacted.

 

Section 6.17                            Notices from the Trustee.

 

Notwithstanding anything to the contrary in the Base Indenture, including Section 7.05, whenever a Default occurs and is continuing and is actually known to a Responsible Officer of the Trustee, the Trustee must mail notice of such Default to the Holders within 90 days after the date on which such Default first occurred or if not known until after the 90th day, as soon as is reasonably practicable.  Except in the case of a Default in the payment of an Installment Payment on any Note, the Trustee may withhold notice if and so long as the Trustee in good faith determines that withholding notice is in the interests of the Holders.

 

ARTICLE VII
 CONSOLIDATION, MERGER, SALE OR CONVEYANCE

 

Section 7.01                            Covenant Not to Consolidate or Merge, Convey, Transfer or Lease Property Except Under Certain Conditions.  Article V of the Base Indenture shall not apply with respect to the Notes, and this Article VII supersedes the entirety thereof, with respect to the Notes.  With respect to the Notes, references in the Base Indenture to Article V of the Base Indenture are deemed replaced with references to this Article VII.

 

The Company shall not (1) consolidate or merge with or into another Person or (2) sell, assign, transfer, lease or otherwise dispose of all or substantially all of the properties or assets of the Company and its Subsidiaries taken as a whole to another Person unless:

 

(a)                                 the successor entity (the “Successor Company”), if not the Company, is (and, if the Company remains a party to the Notes and the Indenture after giving effect to such transaction and the requirements in respect thereof under the Indenture) a corporation organized and existing under the laws of the United States, any state of the United States or the District of Columbia, and the Successor Company, if not the Company, expressly assumes all of the obligations of the Company under the Notes and the Indenture pursuant to agreements reasonably satisfactory to the Trustee;

 

(b)                                 the obligor under the Indenture will not, immediately after the relevant transaction, be in default in the performance of its covenants and conditions under the Units or the Notes; and

 

(c)                                  the Company shall have delivered to the Trustee an Officer’s Certificate and an Opinion of Counsel, subject to customary qualifications and assumptions, each stating that such transaction and such modifications to the Indenture, if any, comply with the requirements therefor under this Article VII.

 

This Section 7.01 shall not apply to any sale, assignment, transfer, lease or other disposition of assets between or among the Company and its Subsidiaries.

 

Section 7.02                            Successor Corporation to Be Substituted.

 

Upon any consolidation or merger, or any sale, assignment, transfer, lease or other disposition of all or substantially all of the assets of the Company and its Subsidiaries taken as a whole in a transaction that is subject to, and that complies with the provisions of, Section 7.01 hereof, the Successor Company formed by such consolidation or into or with which the Company is merged or to which such sale, assignment, transfer, lease or other disposition is made shall succeed to, and be substituted for (so that from and after the date of such consolidation, merger, sale, lease or other disposition, the provisions of the Indenture referring to the “Company” shall refer instead to the successor corporation and not to the Company, and in the case of such consolidation, merger, sale, or other disposition (other than a lease), the predecessor Company shall be released from all obligations and covenants under the Indenture and the Notes), and may exercise every right and power of the Company under the Indenture with the same effect as if such successor Person had been named as the Company herein.

 

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In case of any such consolidation, merger, conveyance, transfer or lease, such changes in phraseology and form (but not in substance) may be made in the Notes thereafter to be issued as may be appropriate.

 

ARTICLE VIII
 SUPPLEMENTAL INDENTURES

 

Section 8.01                            Supplemental Indentures Without Consent of Holders.  Section 9.01 of the Base Indenture shall not apply with respect to the Notes, and this Section 8.01 shall replace Section 9.01 of the Base Indenture in its entirety, with respect to the Notes.  With respect to the Notes, references in the Base Indenture to Section 9.01 of the Base Indenture are deemed replaced with references to this Section 8.01 hereof.

 

Notwithstanding Section 8.02 of this Supplemental Indenture, the Company and the Trustee may amend or supplement the Indenture (with respect to the Notes) or the Notes (whether or not part of a Unit) without the consent of any Holder of Notes:

 

(a)                                 to evidence the succession by a successor corporation and to provide for the assumption by a successor of the Company’s obligations under the Indenture;

 

(b)                                 to provide additional rights or benefits to the Holders or to surrender any right or power conferred on the Company;

 

(c)                                  to comply with any requirement of the SEC in connection with any qualification of the Indenture under the TIA;

 

(d)                                 to secure the Notes;

 

(e)                                  to add guarantees with respect to the Notes;

 

(f)                                   to evidence and provide for the acceptance of appointment with respect to the Notes by a successor Trustee in accordance with the Indenture;

 

(g)                                  to cure any ambiguity, omission, defect or inconsistency in the Indenture or the Notes; and

 

(h)                                 to make any change that does not adversely affect the rights of any Holder in any material respect; provided that any amendment to conform the terms of the Indenture to the description thereof in the Preliminary Prospectus Supplement, as supplemented by the Issuer Free Writing Prospectus, will not be deemed to be adverse to any Holder.

 

Upon the request of the Company accompanied by a resolution of its Board of Directors and upon receipt by the Trustee of the documents described in Sections 11.04 and 9.06 of the Base Indenture, the Trustee shall join with the Company in the execution of such amended or supplemental indenture pursuant to this Section 8.01, unless such amended or supplemental indenture directly affects the Trustee’s own rights, duties or immunities under the Indenture or otherwise, in which case the Trustee may in its discretion, but will not be obligated to, enter into such amended or supplemental indenture.

 

Section 8.02                            Supplemental Indentures With Consent of Holders.  Section 9.02 of the Base Indenture shall not apply with respect to the Notes, and this Section 8.02 shall replace Section 9.02 of the Base Indenture in its entirety, with respect to the Notes.  With respect to the Notes, references in the Base Indenture to Section 9.02 of the Base Indenture are deemed replaced with references to Section 8.02 hereof.

 

(a)                                 Except as provided below in this Section 8.02, the Company and the Trustee may amend or supplement the Indenture and the Notes with the consent of the Holders of at least a majority in principal aggregate amount of the Notes (whether or not part of a Unit) Outstanding (including, without limitation, consents obtained in connection with a tender offer or exchange offer for, or purchase of, the Notes (whether or not part of a Unit)), and, subject to Section 6.03 hereof, any existing Default or Event of Default (other than a Default or Event of Default in

 

20

 

the payment of the principal of, premium or interest on the Notes, except a Payment Default resulting from an acceleration that has been rescinded) or compliance with any provision of the Indenture or the Notes may be waived with the consent of the Holders of a majority in principal aggregate amount of the Notes (whether or not part of a Unit) Outstanding (including, without limitation, consents obtained in connection with a tender offer or exchange offer for, or purchase of, the Notes (whether or not part of a Unit)).

 

(b)                                 Upon the request of the Company accompanied by a resolution of its Board of Directors and upon the filing with the Trustee of evidence satisfactory to the Trustee of the consent of the Holders of Notes as aforesaid, and upon receipt by the Trustee of the documents described in Sections 11.04 and 9.06 of the Base Indenture, the Trustee shall join with the Company in the execution of such amended or supplemental indenture pursuant to this Section 8.02, unless such amended or supplemental indenture directly affects the Trustee’s own rights, duties or immunities under the Indenture or otherwise, in which case the Trustee may in its discretion, but will not be obligated to, enter into such amended or supplemental indenture.

 

(c)                                  It is not necessary for the consent of the Holders under this Section 8.02 to approve the particular form of any proposed amendment or waiver, but it is sufficient if such consent approves the substance thereof.

 

(d)                                 Subject to Section 6.03 hereof, the Holders of a majority in aggregate principal amount of the Notes (whether or not part of a Unit) then Outstanding voting as a single class may waive compliance in a particular instance by the Company with any provision of the Indenture or the Notes. However, without the consent of each Holder of Notes Outstanding, an amendment, supplement or waiver under this Section 8.02 may not (with respect to any Notes held by a non-consenting Holder):

 

(i)                                     change any Installment Payment Date or the amount owed on any Installment Payment Date;

 

(ii)                                  reduce the principal amount of the Notes or the rate of interest thereon;

 

(iii)                               reduce the percentage in principal amount of Notes then Outstanding the consent of whose Holders is required for any supplemental indenture hereto or for any waiver of compliance with provisions of the Indenture or Events of Default and their consequences provided for herein;

 

(iv)                              change the ranking of the Notes;

 

(v)                                 make the Notes payable in a currency other than that stated in the Notes;

 

(vi)                              reduce the Repurchase Price or amend or modify in any manner adverse to the Holders the Company’s obligation to make payment of the Repurchase Price or give notices in respect thereof;

 

(vii)                           impair the right to institute suit for the enforcement of the Notes; or

 

(viii)                        make any change in the percentage of Holders required to consent to any amendment, modification or waiver of any provision of the Indenture or make any change to this sentence.

 

Section 8.03                            Notice of Amendment or Supplement.  After an amendment or supplement under this Article VIII becomes effective, the Company shall mail to the Holders a notice briefly describing such amendment or supplement.  However, the failure to give such notice to all the Holders, or any defect in the notice, shall not impair or affect the validity of the amendment or supplement.

 

ARTICLE IX
 REPURCHASE OF NOTES AT THE OPTION OF THE HOLDER

 

Section 9.01                            Offer to Repurchase.  If a Fundamental Change occurs, the Company elects to exercise its Early Mandatory Settlement Right or the Company elects to exercise an Acquisition Termination Redemption, in each case with respect to the Purchase Contracts pursuant to the terms of the Purchase Contract Agreement, then

 

21

 

each Holder of Notes shall have the right (the “Repurchase Right”) to require the Company to repurchase some or all of its Notes, whether any such Note is a Separate Note or a component of a Unit, for cash at the Repurchase Price per Note to be repurchased on the Repurchase Date, pursuant to Section 9.03. The Company shall not be required to repurchase a portion of a Note.

 

Section 9.02                            Notice to Trustee and Holders. If a Fundamental Change occurs, the Company elects to exercise its Early Mandatory Settlement Right or the Company causes an Acquisition Termination Redemption, in each case with respect to the Purchase Contracts pursuant to the terms of the Purchase Contract Agreement, the Company shall provide the Trustee and the Holders of the Notes with a copy of the notice of a Fundamental Change, Early Mandatory Settlement Notice or Acquisition Redemption Notice, as applicable, in each case delivered pursuant to the Purchase Contract Agreement.

 

Section 9.03                            Procedures for Exercise.

 

(a)                                 To exercise the Repurchase Right, a Holder must deliver, at or prior to the Close of Business on the Business Day immediately preceding the Repurchase Date, the Notes to be repurchased (or the Units if the relevant Notes have not been separated from the Units into their constituent components) to the Paying Agent, together with a duly completed written Repurchase Notice, in each case in accordance with the Applicable Procedures, unless the Notes are Certificated Notes (or the Units are not in the form of Global Units, as the case may be), in which case such Holder must deliver the Notes to be repurchased (or Units) to the Paying Agent or Trustee, duly endorsed for transfer to the Company, together with a Repurchase Notice, to the Paying Agent or Trustee.

 

(b)                                 The Repurchase Notice must state the following:

 

(i)                                     if Certificated Notes or Units have been issued, the certificate numbers of the Notes or Units, or if not certificated, the Repurchase Notice must comply with the Applicable Procedures;

 

(ii)                                  the number of Notes to be repurchased; and

 

(iii)                               that the Notes are to be repurchased by the Company pursuant to the applicable provisions of the Notes and the Indenture.

 

Section 9.04                            Withdrawal of Repurchase Notice

 

(a)                                 A Holder may withdraw any Repurchase Notice (in whole or in part) by a written, irrevocable notice of withdrawal delivered to the Trustee, prior to the Close of Business on the Business Day immediately preceding the Repurchase Date and by complying with the Applicable Procedures, in the case of Global Notes (or Global Units).

 

(b)                                 The Notice of withdrawal must state the following:

 

(i)                                     the number of Notes to be withdrawn;

 

(ii)                                  if Certificated Notes or Units have been issued, the certificate numbers of the Notes or Units, as applicable, or if not certificated, the notice of withdrawal must comply with the Applicable Procedures; and

 

(iii)                               the number of Notes, if any, that remain subject to the Repurchase Notice.

 

Section 9.05                            Effect of Repurchase

 

(a)                                 The Company shall be required to repurchase on the Repurchase Date, the Notes with respect to which the Repurchase Right has been exercised and not validly withdrawn.  To effectuate such

 

22

 

repurchase, the Company shall deposit immediately available funds with the Paying Agent on the later of (i) the Repurchase Date and (ii) the time of book-entry transfer or delivery of the Notes or Units.

 

(b)                                 If the Trustee holds money on the Repurchase Date sufficient to pay the Repurchase Price with respect to those Notes for which the Repurchase Right has been exercised, then (i) such Notes shall cease to be outstanding and interest shall cease to accrue thereon (whether or not book-entry transfer of the Notes or Units, as applicable, is made or whether or not the Notes or Units, as applicable, are delivered as required herein), and (ii) all other rights of the Holder shall terminate (other than the right to receive the Repurchase Price and, if the Repurchase Date falls between a Regular Record Date and the corresponding Installment Payment Date, the related Installment Payment); provided, however, that if the Repurchase Date falls after a Regular Record Date and on or prior to the immediately succeeding installment Payment Date, then the Installment Payment payable on such Installment Payment Date will be paid on such Installment Payment Date to the Holder as of the Close of Business on such Regular Record Date and shall be deducted from the Repurchase Price per note.

 

(c)                                  The Company shall, in connection with any repurchase offer pursuant to this Article IX, if required by applicable provisions of the Exchange Act or SEC regulations thereunder, (i) comply with the provisions of the tender offer rules under the Exchange Act that may then be applicable, and (ii) file a Schedule TO or any other required schedule under the Exchange Act.

 

(d)                                 Notwithstanding anything to the contrary herein, no Notes may be repurchased at the option of Holders if the principal amount thereof has been accelerated, and such acceleration has not been rescinded, on or prior to the Repurchase Date (except in the case of an acceleration resulting from a Default by the Company in the payment of the Repurchase Price with respect to such Notes).

 

ARTICLE X
 TAX TREATMENT

 

Section 10.01                                       Tax Treatment.  The Company, each Holder and each Beneficial Owner (for U.S. federal income tax purposes) by its acquisition of a beneficial interest in the Notes agrees, for U.S. federal income tax purposes, to treat the Notes as indebtedness of the Company.

 

ARTICLE XI
 MISCELLANEOUS

 

Section 11.01                                       Effect on Successors and Assigns.  Notwithstanding anything to the contrary in the Base Indenture, all agreements of the Company, the Trustee, the Registrar and the Paying Agent in the Indenture and the Notes will bind their respective successors.

 

Section 11.02                                       Governing Law; Waiver of Trial by Jury.  Notwithstanding Section 11.08 of the Base Indenture, the Notes and the Indenture and any claim, controversy or dispute arising under or related to the Indenture or the Notes, shall be governed by, and construed in accordance with, the laws of the State of New York.

 

ALL PARTIES HERETO HEREBY IRREVOCABLY WAIVE ALL RIGHTS TO TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM (WHETHER BASED ON CONTRACT, TORT OR OTHERWISE) ARISING OUT OF OR RELATING TO THE INDENTURE, THE NOTES OR THE TRANSACTIONS CONTEMPLATED HEREBY OR THEREBY.

 

Section 11.03                                       No Security Interest Created.  Nothing in the Indenture or in the Notes, expressed or implied, shall be construed to constitute a security interest with respect to the Notes under the Uniform Commercial Code or similar legislation, as now or hereafter enacted and in effect, in any jurisdiction.

 

Section 11.04                                       Trust Indenture Act.  If any provision hereof limits, qualifies or conflicts with a provision of the TIA that is required thereunder to be a part of and govern the Indenture, the latter provision shall control.  If any provision of the Indenture modifies or excludes any provision of the TIA that may be so modified or

 

23

 

excluded, the latter provision shall be deemed to apply to the Indenture as so modified or to be excluded, as the case may be.

 

Section 11.05                                       Benefits of Supplemental Indenture.  Nothing in this Supplemental Indenture or in the Notes, expressed or implied, will give to any Person, other than the parties hereto, any Paying Agent, any authenticating agent, any Registrar or their successors hereunder or the Holders of the Notes, any benefit or any legal or equitable right, remedy or claim under this Supplemental Indenture.

 

Section 11.06                                       Calculations.  The Company shall be responsible for making all calculations called for under the Notes.  The Company shall make all these calculations in good faith and, absent manifest error, the Company’s calculations shall be final and binding on Holders of Notes.  The Company shall provide a schedule of its calculations to each of the Trustee and the Purchase Contract Agent, and each of the Trustee and the Purchase Contract Agent is entitled to rely conclusively upon the accuracy of the Company’s calculations without independent verification.  The Trustee will forward the Company’s calculations to any Holder upon the written request of that Holder.

 

Section 11.07                                       Execution in Counterparts.  This Supplemental Indenture may be executed in any number of counterparts, each of which shall be an original, but such counterparts shall together constitute but one and the same instrument.

 

Section 11.08                                       Ratification of Base Indenture.  The Base Indenture, as supplemented by this Supplemental Indenture, is in all respects ratified and confirmed, and this Supplemental Indenture shall be deemed part of the Base Indenture in the manner and to the extent herein provided.  For the avoidance of doubt, each of the Company and each Holder of Notes, by its acceptance of such Notes, acknowledges and agrees that all of the rights, privileges, protections, immunities and benefits afforded to the Trustee under the Base Indenture are deemed to be incorporated herein, and shall be enforceable by the Trustee hereunder, in each of its capacities hereunder as if set forth herein in full.

 

Section 11.09                                       The Trustee.  The recitals in this Supplemental Indenture are made by the Company only and not by the Trustee, and all of the provisions contained in the Base Indenture in respect of the rights, privileges, immunities, powers and duties of the Trustee shall be applicable in respect of the Notes and of this Supplemental Indenture as fully and with like effect as set forth in full herein.

 

Section 11.10                                       No Recourse Against Others.  No director, officer, employee, incorporator or stockholder of the Company shall have any liability for any obligations of the Company under the Notes, the Indenture or any claim based on, in respect of, or by reason of, such obligations or their creation.  Each Holder, by accepting a Note, waives and releases all such liability.  The waiver and release are part of the consideration for issuance of the Notes.

 

[SIGNATURES ON THE FOLLOWING PAGES]

 

24

 

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

 

	
 
    	
DYNEGY INC.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Robert C. Flexon
    
	
 
    	
Name:
    	
Robert C. Flexon
    
	
 
    	
Title:
    	
President and Chief   Executive Officer
    

 

 

	
 
    	
WILMINGTON TRUST, NATIONAL   ASSOCIATION,
    
	
 
    	
as Trustee
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Shawn Goffinet
    
	
 
    	
Name:
    	
Shawn Goffinet
    
	
 
    	
Title:
    	
Assistant Vice   President
    

 

 

EXHIBIT A

 

[FORM OF NOTE]

 

[INCLUDE IF A GLOBAL NOTE]

 

[THIS SECURITY IS A GLOBAL 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, A NEW YORK CORPORATION (THE “DEPOSITARY”), THE DEPOSITARY OR ANOTHER NOMINEE OF THE DEPOSITARY. THIS GLOBAL NOTE IS EXCHANGEABLE FOR NOTES REGISTERED IN THE NAME OF A PERSON OTHER THAN THE DEPOSITARY OR ITS NOMINEE ONLY IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE AND NO TRANSFER OF THIS SECURITY (OTHER THAN A TRANSFER OF THIS SECURITY AS A WHOLE BY THE DEPOSITARY TO A NOMINEE OF THE DEPOSITARY OR BY A NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY OR ANOTHER NOMINEE OF THE DEPOSITARY) MAY BE REGISTERED EXCEPT IN LIMITED CIRCUMSTANCES.

 

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

 

A-1

 

DYNEGY INC.
 7.00% SENIOR AMORTIZING NOTES
 DUE JULY 1, 2019

 

CUSIP No.: 26817R306

 

ISIN No.: US26817R3066

 

	
No.
    	
[Initial] Number   of Notes: [                        ]
    

 

Dynegy Inc., a Delaware corporation (the “Company”, which term includes any successor corporation under the Indenture hereinafter referred to), for value received, hereby promises to pay to CEDE & CO., or registered assigns, the initial principal sum of $18.94911 for each of the number of Notes set forth [above][in Schedule A hereto], in quarterly installments of $1.7500 per Note (except for the October 1, 2016 installment, which shall be $1.94444 per Note) (each such payment, an “Installment Payment,” constituting a payment of interest at the rate per year of 7.00% and a partial repayment of principal) payable on each January 1, April 1, July 1 and October 1, commencing on October 1, 2016 (each such date, an “Installment Payment Date” and the period from, and including, June 21, 2016 to, but excluding, the first Installment Payment Date and each subsequent full quarterly period from and including an Installment Payment Date to, but excluding, the immediately succeeding Installment Payment Date, an “Installment Payment Period”), all as set forth on the reverse hereof.  Notwithstanding the foregoing, the amount of any Installment Payment for any Installment Payment Period shall be increased by the amount of additional interest, if any, payable for such Installment Payment Period as provided in the Indenture hereinafter referred to.

 

The Installment Payment on any Installment Payment Date shall be computed on the basis of a 360-day year consisting of twelve 30-day months. If an installment is payable for any period shorter or longer than a full Installment Payment Period, such installment shall be computed on the basis of the actual number of days elapsed per 30-day month. In the event that any date on which an installment is payable is not a Business Day, then payment of the installment on such date will be made on the next succeeding day that is a Business Day, and without any interest or other payment in respect of any such delay. However, if such Business Day is in the next succeeding calendar year, then such Installment Payment shall be made on the immediately preceding Business Day, in each case with the same force and effect as if made on the date when such Installment Payment was originally due.

 

Installment Payments shall be paid to the person in whose name the Note is registered, with limited exceptions, at the Close of Business on the March 15, June 15, September 15 or December 15, as applicable, immediately preceding the relevant Installment Payment Date. Installment Payments shall be payable at the office or agency of the Company maintained for that purpose in the continental United States; provided, however, that payment of Installment Payments may be made at the option of the Company by check mailed to the registered Holder at such address as shall appear in the Security Register or by wire transfer to an account appropriately designated by the Holder entitled to payment.

 

This Note shall not be entitled to any benefit under the Indenture hereinafter referred to or be valid or obligatory for any purpose until the Certificate of Authentication shall have been signed by or on behalf of the Trustee.

 

The provisions of this Note are continued on the reverse side hereof and such continued provisions shall for all purposes have the same effect as though fully set forth at this place.

 

[SIGNATURES ON THE FOLLOWING PAGE]

 

A-2

 

IN WITNESS WHEREOF, DYNEGY INC. has caused this instrument to be signed manually or by facsimile by one of its duly authorized Officers.

 

Dated: [      ]

 

	
 
    	
DYNEGY INC.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
Name:
    
	
 
    	
Title:
    

 

A-3

 

TRUSTEE’S CERTIFICATE OF AUTHENTICATION

 

This is one of the Notes referred to in the within mentioned Indenture.

 

Date of authentication:

 

	
 
    	
Wilmington Trust, National   Association, as Trustee under the Indenture
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
 
    	
Authorized   Signatory
    

 

A-4

 

[REVERSE OF NOTE]

 

DYNEGY INC.

 

This Amortizing Note is one of a duly authorized series of Securities of the Company designated as its 7.00% Senior Amortized Notes due 2019 (herein sometimes referred to as the “Notes”), issued under the indenture, dated as of June 21, 2016, between the Company and Wilmington Trust, National Association, as trustee (the “Trustee,” which term includes any successor trustee under the Indenture) (the “Base Indenture”) as supplemented by the First Supplemental Indenture, dated as of June 21, 2016, between the Company and the Trustee (the “Supplemental Indenture” and together with the Base Indenture, the “Indenture”), to which Indenture reference is hereby made for a description of the rights, limitations of rights, obligations, duties and immunities thereunder of the Trustee, the Company and the Holders. The terms of other series of Securities issued under the Base Indenture may vary with respect to interest rates, issue dates, maturity, redemption, repayment, currency of payment and otherwise as provided in the Base Indenture. The Base Indenture further provides that securities of a single series may be issued at various times, with different maturity dates and may bear interest at different rates. This series of Securities is limited in aggregate principal amount as specified in the Supplemental Indenture.

 

Each Installment Payment shall constitute a payment of interest (at a rate of 7.00% per annum) and a partial repayment of principal on the Note, allocated as set forth in the schedule below:

 

	
Scheduled Installment Payment Date
    	
 
    	
Amount of
   Principal per
   Note
    	
 
    	
Amount of
   Interest per
   Note
    	
 
    
	
October 1,   2016
    	
 
    	
$
    	
1.57599
    	
 
    	
$
    	
0.36845
    	
 
    
	
January 1,   2017
    	
 
    	
$
    	
1.44597
    	
 
    	
$
    	
0.30403
    	
 
    
	
April 1,   2017
    	
 
    	
$
    	
1.47128
    	
 
    	
$
    	
0.27872
    	
 
    
	
July 1,   2017
    	
 
    	
$
    	
1.49702
    	
 
    	
$
    	
0.25298
    	
 
    
	
October 1,   2017
    	
 
    	
$
    	
1.52322
    	
 
    	
$
    	
0.22678
    	
 
    
	
January 1,   2018
    	
 
    	
$
    	
1.54988
    	
 
    	
$
    	
0.20012
    	
 
    
	
April 1,   2018
    	
 
    	
$
    	
1.57700
    	
 
    	
$
    	
0.17300
    	
 
    
	
July 1,   2018
    	
 
    	
$
    	
1.60460
    	
 
    	
$
    	
0.14540
    	
 
    
	
October 1,   2018
    	
 
    	
$
    	
1.63268
    	
 
    	
$
    	
0.11732
    	
 
    
	
January 1,   2019
    	
 
    	
$
    	
1.66125
    	
 
    	
$
    	
0.08875
    	
 
    
	
April 1,   2019
    	
 
    	
$
    	
1.69032
    	
 
    	
$
    	
0.05968
    	
 
    
	
July 1,   2019
    	
 
    	
$
    	
1.71990
    	
 
    	
$
    	
0.03010
    	
 
    

 

Notwithstanding the foregoing, the amount of any Installment Payment for any Installment Payment Period shall be increased by the amount of additional interest, if any, payable for such Installment Payment Period as provided in the Indenture.

 

The Notes shall not be subject to redemption at the option of the Company, and no sinking fund is provided for the Notes.  However, a Holder shall have the right to require the Company to repurchase some or all of its Notes for cash at the Repurchase Price per Note, and on the Repurchase Date, upon the occurrence of certain events, and subject to the conditions set forth in the Indenture.

 

This Note is not entitled to the benefit of any sinking fund. The Indenture contains provisions for legal defeasance and covenant defeasance at any time of the Indenture and this Note upon compliance by the Company with certain conditions set forth therein, which provisions apply to this Note.

 

If an Event of Default with respect to the Notes shall occur and be continuing, then (unless no declaration of acceleration or notice is required for such Event of Default) either the Trustee or the Holders of not less than 25% in principal amount of the Notes then outstanding may declare all future, scheduled Installment Payments to be due and payable immediately, in the manner, subject to the conditions and with the effect provided in the Indenture.

 

A-5

 

The Indenture permits, with certain exceptions as therein provided, the Company and the Trustee, with the consent of the holders of a majority in principal amount of the Notes at the time outstanding, to execute supplemental indentures for certain purposes as described therein.

 

Obligations Unconditional. No provision of this Note or of the Indenture shall alter or impair the obligation of the Company, which is absolute and unconditional, to pay Installment Payments, if applicable, on this Note at the time, place and rate, and in the coin or currency, herein and in the Indenture prescribed.

 

Additional Terms. The Notes are originally being issued as part of the Company’s 7.00% Tangible Equity Units (the “Units”) issued pursuant to that certain Purchase Contract Agreement, dated as of June 21, 2016, between the Company, and Wilmington Trust, National Association, as Purchase Contract Agent and as Trustee of the Indenture (the “Purchase Contract Agreement”).  Holders of the Units have the right to separate such Units into their constituent parts, consisting of Separate Purchase Contracts (as defined in the Purchase Contract Agreement) and Separate Notes, during the times, and under the circumstances described in the Purchase Contract Agreement. Following separation of any Unit into its constituent Separate Purchase Contract and Separate Note, the Separate Notes are transferable independently from the Separate Purchase Contracts. In addition, Separate Notes can be recombined with Separate Purchase Contracts to recreate Units, as provided for in the Purchase Contract Agreement. Reference is hereby made to the Purchase Contract Agreement for a more complete description of the terms thereof applicable to the Units and Notes.

 

Transfer and Exchange. As provided in the Indenture and subject to certain limitations therein set forth, the transfer of this Note shall be registered on the Security Register of the Company, upon surrender of this Note for registration of transfer at the office or agency of the Company in the continental United States, duly endorsed by, or accompanied by a written instrument of transfer in form satisfactory to the Company duly executed by, the Holder hereof or by his or her attorney duly authorized in writing, and thereupon the Company shall execute and the Trustee shall authenticate and deliver in the name of the transferee or transferees a new Note or Notes in authorized denominations and for a like aggregate principal amount.

 

The Notes are initially issued in registered, global form without coupons in denominations initially equal to $18.94911 and integral multiples in excess thereof.

 

No service charge shall be made for any such registration of transfer or exchange, but the Company may require payment of a sum sufficient to cover any transfer tax or other similar governmental charge payable in connection therewith.

 

Prior to due presentment of this Note for registration of transfer, the Company, the Trustee and any agent of the Issuer or the Trustee may treat the Holder in whose name this Note is registered as the absolute owner hereof for all purposes, whether or not this Note be overdue, and neither the Company, the Trustee nor any such agent shall be affected by notice to the contrary.

 

This Note and the Indenture, and any claim, controversy or dispute arising under or related to the Indenture or this Note, shall be governed by, and construed in accordance with, the laws of the State of New York.

 

All terms used in this Note which are defined in the Indenture and not otherwise defined herein shall have the meanings assigned to them in the Indenture.

 

No recourse shall be had for the payment of any Installment Payment on this Note, or for any claim based hereon, or upon any obligation, covenant or agreement of the Company in the Indenture, against any incorporator, stockholder, officer or director, past, present or future of the Company or of any predecessor or successor corporation, either directly or through the Company or of any successor corporation, whether by virtue of any constitution, statute or rule of law, or by the enforcement of any assessment of penalty or otherwise; and all such personal liability is expressly released and waived as a condition of, and as part of the consideration for, the issuance of this Note.

 

A-6

 

The Company, each Holder and each Beneficial Owner (for U.S. federal income tax purposes) by its acquisition of a beneficial interest in the Notes agrees, for U.S. federal income tax purposes, to treat the Notes as indebtedness of the Company.

 

A copy of the Indenture is available for inspection at the office of the Trustee.

 

In the event of any inconsistency between the provisions of this Note and the provisions of the Indenture, the Indenture shall prevail.

 

A-7

 

ASSIGNMENT

 

FOR VALUE RECEIVED, the undersigned assigns and transfers this Note to:

 

(Insert assignee’s social security or tax identification number)

 

(Insert address and zip code of assignee)

 

and irrevocably appoints:

 

as agent to transfer this Note on the books of the Company.  The agent may substitute another to act for him or her.

 

	
Date:
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Signature:
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Signature Guarantee
    

 

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

 

A-8

 

SIGNATURE GUARANTEE

 

Signatures must be guaranteed by an “eligible guarantor institution” meeting the requirements of the Registrar, which requirements include membership or participation in the Security Transfer Agent Medallion Program (“STAMP”) or such other “signature guarantee program” as may be determined by the Registrar in addition to, or in substitution for, STAMP, all in accordance with the Exchange Act of 1934, as amended.

 

	
By:
    	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
 
    	
 
    
	
 
    	
Title:
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
as Trustee
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
 
    
	
 
    	
 
    	
Name:
    
	
 
    	
 
    	
Title:
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
Attest:
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
By:
    	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
 
    	
 
    
	
 
    	
Title:
    	
 
    	
 
    

 

A-9

 

FORM OF REPURCHASE NOTICE

 

TO: Dynegy Inc. and Wilmington Trust, National Association, as Trustee

 

The undersigned registered Holder hereby irrevocably acknowledges receipt of a notice from Dynegy Inc. (the “Company”) regarding the right of Holders to elect to require the Company to repurchase the Notes and requests and instructs the Company to repay the entire principal amount of the number of Notes below designated, in accordance with the terms of the Indenture and the Notes, together with accrued and unpaid interest to, but excluding, the Repurchase Date to the registered holder hereof.  Capitalized terms used herein but not defined shall have the meanings ascribed to such terms in the indenture, dated as of June 21, 2016, between the Company and Wilmington Trust, National Association, as trustee (the “Trustee”) as supplemented by the First Supplemental Indenture, dated as of June 21, 2016, between the Company and the Trustee (such indenture, as so supplemented, the “Indenture”).

 

The Notes shall be repurchased by the Company as of the Repurchase Date pursuant to the terms and conditions specified in the Notes and the Indenture.

 

	
Dated:
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Signature:
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    

 

NOTICE: The above signature of the Holder hereof must correspond with the name as written upon the face of the Notes in every particular without alteration or enlargement or any change whatever.

 

	
Notes   Certificate Number (if applicable):
    	
 
    	
 
    
	
 
    
	
Number   of Notes to be repurchased (if less than all, must be one Note or integral   multiples in excess thereof):
    
	
 
    	
 
    
	
 
    
	
Social   Security or Other Taxpayer Identification Number:
    	
 
    	
 
    
						

 

 

A-10

 

SCHEDULE A

 

[INCLUDE IF A GLOBAL NOTE]

 

SCHEDULE OF INCREASES OR DECREASES IN THE NOTE

 

The initial number of Notes evidenced by this certificate is [  ]. The following increases or decreases in this Note have been made:

 

	
Date
    	
 
    	
Amount of 
   decrease in number 
   of Notes evidenced 
   hereby
    	
 
    	
Amount of increase 
   in number of Notes 
   evidenced hereby
    	
 
    	
Number of Notes 
   evidenced hereby 
   following such 
   decrease (or 
   increase)
    	
 
    	
Signature of 
   authorized officer 
   of Trustee
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    

 

A-11

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