Document:

Exhibit 4.4

 

INDENTURE

between

Exact Sciences Corporation

and

[            ] 

TRUSTEE

 

Dated as of [           ]

 

Providing for Issuance of

Debt Securities in Series

 

 

Reconciliation
and tie between Indenture, dated as of                           ,
and the Trust Indenture Act of 1939, as amended.

 

	
  Trust
  Indenture Act of 1939

  Section

  	
   

  	
  Indenture Section

  
	
  310(a)(1)

  	
   

  	
  6.11

  
	
  (a)(2)

  	
   

  	
  6.11

  
	
  (a)(3)

  	
   

  	
  TIA

  
	
  (a)(4)

  	
   

  	
  Not
  Applicable

  
	
  (a)(5)

  	
   

  	
  TIA

  
	
  (b)

  	
   

  	
  6.9;
  6.11; TIA

  
	
   

  	
   

  	
   

  
	
  311(a)

  	
   

  	
  TIA

  
	
  (b)

  	
   

  	
  TIA

  
	
   

  	
   

  	
   

  
	
  312(a)

  	
   

  	
  6.7

  
	
  (b)

  	
   

  	
  TIA

  
	
  (c)

  	
   

  	
  TIA

  
	
   

  	
   

  	
   

  
	
  313(a)

  	
   

  	
  6.6;
  TIA

  
	
  (b)

  	
   

  	
  TIA

  
	
  (c)

  	
   

  	
  6.6;
  TIA

  
	
  (d)

  	
   

  	
  6.6

  
	
   

  	
   

  	
   

  
	
  314(a)

  	
   

  	
  9.6;
  9.7; TIA

  
	
  (b)

  	
   

  	
  Not
  Applicable

  
	
  (c)(1)

  	
   

  	
  1.2

  
	
  (c)(2)

  	
   

  	
  1.2

  
	
  (c)(3)

  	
   

  	
  Not
  Applicable

  
	
  (d)

  	
   

  	
  Not
  Applicable

  
	
  (e)

  	
   

  	
  1.2

  
	
  (f)

  	
   

  	
  TIA

  
	
   

  	
   

  	
   

  
	
  315(a)

  	
   

  	
  TIA

  
	
  (b)

  	
   

  	
  6.5

  
	
  (c)

  	
   

  	
  6.1

  
	
  (d)(1)

  	
   

  	
  TIA

  
	
  (d)(2)

  	
   

  	
  TIA

  
	
  (d)(3)

  	
   

  	
  TIA

  
	
  (e)

  	
   

  	
  TIA

  

 

 

	
  316(a)(1)(A)

  	
   

  	
  5.8

  
	
  (a)(1)(B)

  	
   

  	
  5.7

  
	
  (b)

  	
   

  	
  5.2;
  5.10

  
	
  (c)

  	
   

  	
  TIA

  
	
   

  	
   

  	
   

  
	
  317(a)(1)

  	
   

  	
  5.3

  
	
  (a)(2)

  	
   

  	
  5.4

  
	
  (b)

  	
   

  	
  9.3

  
	
   

  	
   

  	
   

  
	
  318(a)

  	
   

  	
  1.11

  
	
  (b)

  	
   

  	
  TIA

  
	
  (c)

  	
   

  	
  1.11;
  TIA

  

 

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

 

 

TABLE OF CONTENTS

 

	
   

  	
  Page

  
	
   

  	
   

  
	
  ARTICLE I DEFINITIONS AND OTHER PROVISIONS OF GENERAL
  APPLICATION

  	
  1

  
	
   

  	
   

  
	
  Section 1.1. DEFINITIONS

  	
  1

  
	
  Section 1.2. COMPLIANCE
  CERTIFICATES AND OPINIONS

  	
  8

  
	
  Section 1.3. FORM OF
  DOCUMENTS DELIVERED TO TRUSTEE

  	
  9

  
	
  Section 1.4. ACTS OF HOLDERS

  	
  9

  
	
  Section 1.5. NOTICES, ETC.,
  TO TRUSTEE AND COMPANY

  	
  11

  
	
  Section 1.6. NOTICE TO
  HOLDERS; WAIVER

  	
  11

  
	
  Section 1.7. HEADINGS AND
  TABLE OF CONTENTS

  	
  12

  
	
  Section 1.8. SUCCESSOR AND
  ASSIGNS

  	
  12

  
	
  Section 1.9. SEPARABILITY

  	
  13

  
	
  Section 1.10. BENEFITS OF
  INDENTURE

  	
  13

  
	
  Section 1.11. GOVERNING LAW

  	
  13

  
	
  Section 1.12. LEGAL HOLIDAYS

  	
  13

  
	
  Section 1.13. NO RECOURSE
  AGAINST OTHERS

  	
  13

  
	
   

  	
   

  
	
  ARTICLE II SECURITY FORMS

  	
  14

  
	
   

  	
   

  
	
  Section 2.1. FORMS GENERALLY

  	
  14

  
	
  Section 2.2. FORM OF
  TRUSTEE’S CERTIFICATE OF AUTHENTICATION

  	
  14

  
	
  Section 2.3. SECURITIES IN
  GLOBAL FORM

  	
  15

  
	
  Section 2.4. FORM OF
  LEGEND FOR SECURITIES IN GLOBAL FORM

  	
  15

  
	
   

  	
   

  
	
  ARTICLE III THE SECURITIES

  	
  16

  
	
   

  	
   

  
	
  Section 3.1. AMOUNT
  UNLIMITED; ISSUABLE IN SERIES

  	
  16

  
	
  Section 3.2. DENOMINATIONS

  	
  20

  
	
  Section 3.3. EXECUTION,
  AUTHENTICATION, DELIVERY AND DATING

  	
  20

  
	
  Section 3.4. TEMPORARY
  SECURITIES

  	
  23

  
	
  Section 3.5. REGISTRATION,
  TRANSFER AND EXCHANGE

  	
  23

  
	
  Section 3.6. REPLACEMENT
  SECURITIES

  	
  27

  
	
  Section 3.7. PAYMENT OF
  INTEREST; INTEREST RIGHTS PRESERVED

  	
  28

  
	
  Section 3.8. PERSONS DEEMED
  OWNERS

  	
  29

  
	
  Section 3.9. CANCELLATION

  	
  30

  
	
  Section 3.10. COMPUTATION OF
  INTEREST

  	
  30

  
	
  Section 3.11. CURRENCY AND
  MANNER OF PAYMENT IN RESPECT OF SECURITIES

  	
  30

  
	
  Section 3.12. APPOINTMENT
  AND RESIGNATION OF EXCHANGE RATE AGENT

  	
  35

  
	
  Section 3.13. WIRE TRANSFERS

  	
  35

  
	
  Section 3.14. CUSIP NUMBERS

  	
  36

  
	
   

  	
   

  
	
  ARTICLE IV SATISFACTION, DISCHARGE AND DEFEASANCE

  	
  36

  

 

i

 

	
  Section 4.1. TERMINATION OF
  COMPANY’S OBLIGATIONS UNDER THE INDENTURE

  	
  36

  
	
  Section 4.2. APPLICATION OF
  TRUST FUNDS

  	
  37

  
	
  Section 4.3. APPLICABILITY
  OF DEFEASANCE PROVISIONS; COMPANY’S OPTION TO EFFECT DEFEASANCE OR COVENANT
  DEFEASANCE

  	
  37

  
	
  Section 4.4. DEFEASANCE AND
  DISCHARGE

  	
  37

  
	
  Section 4.5. COVENANT
  DEFEASANCE

  	
  38

  
	
  Section 4.6. CONDITIONS TO
  DEFEASANCE OR COVENANT DEFEASANCE

  	
  38

  
	
  Section 4.7. DEPOSITED MONEY
  AND GOVERNMENT OBLIGATIONS TO BE HELD IN TRUST

  	
  40

  
	
  Section 4.8. REPAYMENT TO
  COMPANY

  	
  41

  
	
  Section 4.9. INDEMNITY FOR
  GOVERNMENT OBLIGATIONS

  	
  41

  
	
   

  	
   

  
	
  ARTICLE V DEFAULTS AND REMEDIES

  	
  41

  
	
   

  	
   

  
	
  Section 5.1. EVENTS OF
  DEFAULT

  	
  41

  
	
  Section 5.2. ACCELERATION;
  RESCISSION AND ANNULMENT

  	
  42

  
	
  Section 5.3. COLLECTION OF
  INDEBTEDNESS AND SUITS FOR ENFORCEMENT BY TRUSTEE

  	
  42

  
	
  Section 5.4. TRUSTEE MAY FILE
  PROOFS OF CLAIM

  	
  43

  
	
  Section 5.5. TRUSTEE MAY ENFORCE
  CLAIMS WITHOUT POSSESSION OF SECURITIES

  	
  43

  
	
  Section 5.6. DELAY OR
  OMISSION NOT WAIVER

  	
  43

  
	
  Section 5.7. WAIVER OF PAST
  DEFAULTS

  	
  43

  
	
  Section 5.8. CONTROL BY
  MAJORITY

  	
  44

  
	
  Section 5.9. LIMITATION ON
  SUITS BY HOLDERS

  	
  44

  
	
  Section 5.10. RIGHTS OF HOLDERS
  TO RECEIVE PAYMENT

  	
  44

  
	
  Section 5.11. APPLICATION OF
  MONEY COLLECTED

  	
  45

  
	
  Section 5.12. RESTORATION OF
  RIGHTS AND REMEDIES

  	
  46

  
	
  Section 5.13. RIGHTS AND
  REMEDIES CUMULATIVE

  	
  46

  
	
   

  	
   

  
	
  ARTICLE VI THE TRUSTEE

  	
  46

  
	
   

  	
   

  
	
  Section 6.1. RIGHTS OF
  TRUSTEE

  	
  46

  
	
  Section 6.2. TRUSTEE MAY HOLD
  SECURITIES

  	
  48

  
	
  Section 6.3. MONEY HELD IN
  TRUST

  	
  48

  
	
  Section 6.4. TRUSTEE’S
  DISCLAIMER

  	
  48

  
	
  Section 6.5. NOTICE OF
  DEFAULTS

  	
  48

  
	
  Section 6.6. REPORTS BY
  TRUSTEE TO HOLDERS

  	
  49

  
	
  Section 6.7. SECURITY HOLDER
  LISTS

  	
  49

  
	
  Section 6.8. COMPENSATION
  AND INDEMNITY

  	
  49

  
	
  Section 6.9. SEPARATE
  TRUSTEE; REPLACEMENT OF TRUSTEE

  	
  50

  
	
  Section 6.10. ACCEPTANCE OF
  APPOINTMENT BY SUCCESSOR

  	
  52

  
	
  Section 6.11. ELIGIBILITY;
  DISQUALIFICATION

  	
  52

  
	
  Section 6.12. MERGER,
  CONVERSION, CONSOLIDATION OR SUCCESSION TO BUSINESS

  	
  53

  

 

ii

 

	
  Section 6.13. APPOINTMENT OF
  AUTHENTICATING AGENT

  	
  53

  
	
   

  	
   

  
	
  ARTICLE VII CONSOLIDATION, MERGER OR SALE BY THE
  COMPANY

  	
  55

  
	
   

  	
   

  
	
  Section 7.1. CONSOLIDATION,
  MERGER OR SALE OF ASSETS

  	
  55

  
	
   

  	
   

  
	
  ARTICLE VIII SUPPLEMENTAL INDENTURES

  	
  55

  
	
   

  	
   

  
	
  Section 8.1. SUPPLEMENTAL
  INDENTURES WITHOUT CONSENT OF HOLDERS

  	
  55

  
	
  Section 8.2. WITH CONSENT OF
  HOLDERS

  	
  57

  
	
  Section 8.3. COMPLIANCE WITH
  TRUST INDENTURE ACT

  	
  58

  
	
  Section 8.4. EXECUTION OF
  SUPPLEMENTAL INDENTURES

  	
  58

  
	
  Section 8.5. EFFECT OF
  SUPPLEMENTAL INDENTURES

  	
  58

  
	
  Section 8.6. REFERENCE IN
  SECURITIES TO SUPPLEMENTAL INDENTURES

  	
  58

  
	
   

  	
   

  
	
  ARTICLE IX COVENANTS

  	
  58

  
	
   

  	
   

  
	
  Section 9.1. PAYMENT OF
  PRINCIPAL, PREMIUM, IF ANY, AND INTEREST

  	
  58

  
	
  Section 9.2. MAINTENANCE OF
  OFFICE OR AGENCY

  	
  59

  
	
  Section 9.3. MONEY FOR
  SECURITIES TO BE HELD IN TRUST; UNCLAIMED MONEY

  	
  60

  
	
  Section 9.4. CORPORATE
  EXISTENCE

  	
  61

  
	
  Section 9.5. REPORTS BY THE
  COMPANY

  	
  61

  
	
  Section 9.6. ANNUAL REVIEW
  CERTIFICATE

  	
  62

  
	
  Section 9.7. WAIVER OF
  CERTAIN COVENANTS

  	
  62

  
	
   

  	
   

  
	
  ARTICLE X REDEMPTION

  	
  62

  
	
   

  	
   

  
	
  Section 10.1. APPLICABILITY
  OF ARTICLE

  	
  62

  
	
  Section 10.2. ELECTION TO
  REDEEM; NOTICE TO TRUSTEE

  	
  62

  
	
  Section 10.3. SELECTION OF
  SECURITIES TO BE REDEEMED

  	
  63

  
	
  Section 10.4. NOTICE OF
  REDEMPTION

  	
  63

  
	
  Section 10.5. DEPOSIT OF
  REDEMPTION PRICE

  	
  64

  
	
  Section 10.6. SECURITIES
  PAYABLE ON REDEMPTION DATE

  	
  65

  
	
  Section 10.7. SECURITIES
  REDEEMED IN PART

  	
  66

  
	
   

  	
   

  
	
  ARTICLE XI SINKING FUNDS

  	
  66

  
	
   

  	
   

  
	
  Section 11.1. APPLICABILITY
  OF ARTICLE

  	
  66

  
	
  Section 11.2. SATISFACTION
  OF SINKING FUND PAYMENTS WITH SECURITIES

  	
  66

  
	
  Section 11.3. REDEMPTION OF
  SECURITIES FOR SINKING FUND

  	
  66

  

 

iii

 

INDENTURE,
dated as of [                ],
between Exact Sciences Corporation, a corporation duly organized and existing
under the laws of the State of Delaware (the “Company”), and [                ],
as trustee, a national banking association organized and existing under the
laws of the United States of America (the “Trustee”).

 

RECITALS

 

The
Company has duly authorized the execution and delivery of this Indenture to
provide for the issuance from time to time of its debentures, notes or other
evidences of indebtedness (“Securities”) to be issued in one or more series as
herein provided.

 

For
and in consideration of the premises and the purchase of the Securities by the
Holders thereof, it is mutually covenanted and agreed as follows for the equal
and ratable benefit of the Holders of the Securities or of series thereof:

 

ARTICLE I

 

DEFINITIONS
AND OTHER PROVISIONS

OF GENERAL APPLICATION

 

Section 1.1.  DEFINITIONS.  (a) For all purposes of this Indenture,
except as otherwise expressly provided or unless the context otherwise
requires:

 

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

 

(2)           all other terms used herein which are defined in the Trust
Indenture Act, either directly or by reference therein, have the meanings
assigned to them therein;

 

(3)           all accounting terms not otherwise defined herein have the
meanings assigned to them in accordance with generally accepted accounting
principles; and

 

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

 

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

 

“Agent”
means any Paying Agent or Registrar.

 

“Authenticating
Agent” means any authenticating agent appointed by the Trustee pursuant to Section 6.13.

 

 

“Authorized
Newspaper” means a newspaper of general circulation, in the official language
of the country of publication or in the English language, customarily published
on each Business Day whether or not published on Saturdays, Sundays or
holidays.  Whenever successive
publications in an Authorized Newspaper are required hereunder they may be made
(unless otherwise expressly provided herein) on the same or different days of
the week and in the same or different Authorized Newspapers.

 

“Bearer
Security” means any Security issued hereunder which is payable to bearer.

 

“Board”
or “Board of Directors” means the Board of Directors of the Company or any duly
authorized committee thereof.

 

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

 

“Business
Day”, when used with respect to any Place of Payment or any other particular
location referred to in this Indenture or in the Securities, means, unless
otherwise specified with respect to any Securities pursuant to Section 3.1,
each Monday, Tuesday, Wednesday, Thursday and Friday which is not a day on
which banking institutions in that Place of Payment or particular location are
authorized or obligated by law or executive order to close, except as may
otherwise be provided in the form of Security of any particular series pursuant
to the provisions of this Indenture.

 

“Commission”
means the Securities and Exchange Commission, as from time to time constituted,
created under the Securities Exchange Act of 1934, or, if at any time after the
execution of this Indenture such Commission is not existing and performing the
duties now assigned to it under the Trust Indenture Act, then the body
performing such duties at such time.

 

“Common
Stock” means the shares of common stock, $0.01 par value per share, of the
Company.

 

“Company”
means the party named as the Company in the first paragraph of this Indenture
until a successor shall have become such pursuant to the applicable provisions
of this Indenture, and thereafter means such successors.

 

“Company
Order” and “Company Request” mean, respectively, a written order or request
signed in the name of the Company by the President, the Chief Executive
Officer, the Chief Financial Officer, any Vice President, the Treasurer or the
Corporate Secretary of the Company.

 

“Corporate
Trust Office” means the corporate trust office of the Trustee at which at any
particular time this Indenture shall be principally administered, which office
at the date hereof is located at [                ].

 

“Currency
unit”, for all purposes of this Indenture, shall include any composite
currency.

 

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

 

2

 

“Depository”,
when used with respect to the Securities of or within any series issuable or
issued in whole or in part in global form, means the Person designated as
Depository by the Company pursuant to Section 3.1 until a successor
Depository shall have become such pursuant to the applicable provisions of this
Indenture, and thereafter shall mean or include each Person which is then a
Depository hereunder, and if at any time there is more than one such Person,
shall be a collective reference to such Persons.

 

“Dollar”
or “$” means the coin or currency of the United States as at the time of
payment is legal tender for the payment of public and private debts.

 

“Euro”
means the lawful currency of the participating member states of the European
Union that adopt a single currency in accordance with the Treaty establishing
the European Community, as amended by the Treaty on European Union signed February 7,
1992.

 

“Foreign
Currency” shall mean any currency issued by the government or governments of
one or more countries other than the United States or by any recognized
confederation or association of such governments and shall include the Euro.

 

“Government
Obligations” means securities which are (i) direct obligations of the
United States or, if specified as contemplated by Section 3.1, the
government which issued the currency in which the Securities of a particular
series are payable, for the payment of which its full faith and credit is
pledged or (ii) obligations of a Person controlled or supervised by and
acting as an agency or instrumentality of the United States or, if specified as
contemplated by Section 3.1, such government which issued the foreign currency
in which the Securities of such series are payable, for the payment of which
the full faith and credit of the United States or such other government is
pledged (whether by guaranty or otherwise), which, in either case, are not
callable or redeemable at the option of the issuer thereof, and shall also
include a depository receipt issued by a bank or trust company as custodian
with respect to any such Government Obligation or a specific payment of
interest on or principal of any such Government Obligation held by such
custodian for the account of the holder of a depository receipt, provided that
(except as required by law) such custodian is not authorized to make any
deduction from the amount payable to the holder of such depository receipt from
any amount received by the custodian in respect of the Government Obligation
evidenced by such depository receipt.

 

“Holder”
means, with respect to a Bearer Security, a bearer thereof or of a coupon
appertaining thereto and, with respect to a Registered Security, a person in
whose name such Registered Security is registered on the Register.

 

“Indenture”
means this instrument as originally executed or as it may from time to time be
supplemented or amended by one or more indentures supplemental hereto entered
into pursuant to the applicable provisions hereof, including, for all purposes
of this instrument and any such supplemental indenture, the provisions of the
Trust Indenture Act that are deemed to be a part of and govern this instrument
and any such supplemental indenture, respectively.  The term “Indenture” shall also include the
terms of the particular series of Securities established as contemplated by Section 3.1;
provided, however, that if at any time more than one Person is acting as
Trustee under this Indenture due to the appointment of one or more separate
Trustees for any one or more separate series of Securities, “Indenture” shall
mean, with respect to such 

 

3

 

series
of Securities for which any such Person is Trustee, this instrument as
originally executed or as it may from time to time be supplemented or amended
by one or more indentures supplemental hereto entered into pursuant to the
applicable provisions hereof and shall include the terms of the particular
series of Securities for which such Person is Trustee established as
contemplated by Section 3.1, exclusive, however, of any provisions or
terms which relate solely to other series of Securities for which such Person
is not Trustee, regardless of when such terms or provisions were adopted, and
exclusive of any provisions or terms adopted by means of one or more indentures
supplemental hereto executed and delivered after such Person had become such
Trustee, but to which such Person, as such Trustee, was not a party; provided
further that in the event that this indenture is supplemented or amended by one
or more indentures supplemental hereto which are only applicable to certain
series of Securities, the term “Indenture” for a particular series of Securities
shall only include the supplemental indentures applicable thereto.

 

“Indexed
Security” means a Security the terms of which provide that the principal amount
thereof payable at Stated Maturity may be more or less than the principal face
amount thereof at original issuance.

 

“Interest”,
when used with respect to an Original Issue Discount Security which by its
terms bears interest only after Maturity, means interest payable after
Maturity.

 

“Interest
Payment Date”, when used with respect to any Security, means the Stated
Maturity of an installment of interest on such Security.

 

“Maturity”,
when used with respect to any Security, means the date on which the principal
of such Security or an installment of principal becomes due and payable as
therein or herein provided, whether at the Stated Maturity or by declaration of
acceleration, call for redemption or otherwise.

 

“Officer”
means the President, the Chief Executive Officer, the Chief Financial Officer,
any Vice President, the Treasurer or the Corporate Secretary of the Company.

 

“Officers’
Certificate” means a certificate signed by the President, the Chief Executive
Officer, the Chief Financial Officer, any Vice President, the Corporate
Secretary or the Treasurer of the Company.

 

“Opinion
of Counsel” means a written opinion of legal counsel, who may be, without
limitation, (a) an employee of the Company, or (b) outside counsel
designated by the Company.

 

“Original
Issue Discount Security” means any Security which provides for an amount less
than the stated principal amount thereof to be due and payable upon declaration
of acceleration of the Maturity thereof pursuant to Section 5.2.

 

“Outstanding”,
when used with respect to Securities, means, as of the date of determination,
all Securities theretofore authenticated and delivered under this Indenture,
except:

 

(i)            Securities theretofore cancelled by
the Trustee or delivered to the Trustee for cancellation;

 

4

 

(ii)           Securities, or portions thereof, for
whose payment or redemption money or Government Obligations in the necessary
amount has been theretofore deposited with the Trustee or any Paying Agent
(other than the Company) in trust or set aside and segregated in trust by the
Company (if the Company shall act as its own Paying Agent) for the Holders of
such Securities and any coupons appertaining thereto, provided that, if such
Securities are to be redeemed, notice of such redemption has been duly given
pursuant to this Indenture or provisions therefor satisfactory to the Trustee
have been made;

 

(iii)          Securities, except to the extent
provided in Sections 4.4 and 4.5, with respect to which the Company has
effected defeasance and/or covenant defeasance as provided in Article IV;
and

 

(iv)          Securities which have been paid
pursuant to Section 3.6 or in exchange for or in lieu of which other
Securities have been authenticated and delivered pursuant to this Indenture,
other than any such Securities in respect of which there shall have been
presented to the Trustee proof satisfactory to it that such Securities are held
by a bona fide purchaser in whose hands such Securities are valid obligations
of the Company;

 

provided,
however, that unless otherwise provided with respect to any Securities of any
series pursuant to Section 3.1, in determining whether the Holders of the
requisite principal amount of the Outstanding Securities have given any
request, demand, authorization, direction, notice, consent or waiver hereunder,
or whether sufficient funds are available for redemption or for any other
purpose, and for the purpose of making the calculations required by section 313
of the Trust Indenture Act or are present at a meeting of Holders for quorum
purposes, (w) the principal amount of any Original Issue Discount
Securities that may be counted in making such determination or calculation and
that shall be deemed to be Outstanding for such purpose shall be equal to the
amount of principal thereof that would be (or shall have been declared to be)
due and payable, at the time of such determination, upon a declaration of
acceleration of the maturity thereof pursuant to Section 5.2, (x) the
principal amount of any Security denominated in one or more Foreign Currencies
or currency units that may be counted in making such determination or
calculation and that shall be deemed Outstanding for such purpose shall be
equal to the Dollar equivalent, determined as of the date such Security is
originally issued by the Company as set forth in an Exchange Rate Officer’s
Certificate delivered to the Trustee, of the principal amount (or, in the case
of an Original Issue Discount Security, the Dollar equivalent, determined as of
such date of original issuance, of the amount determined as provided in clause (w) above)
of such Security, (y) unless otherwise provided with respect to such
Security pursuant to Section 3.1, the principal amount of any Indexed
Security that may be counted in making such determination or calculation and
that shall be deemed Outstanding for such purpose shall be equal to the
principal face amount of such Indexed Security at original issuance, and (z) Securities
owned by the Company or any other obligor upon the Securities or any Affiliate
of the Company or of such other obligor shall be disregarded and deemed not to
be Outstanding, except that, in determining whether the Trustee shall be
protected in making such calculation or in relying upon any such request,
demand, authorization, direction, notice, consent or waiver, or determination
as to the presence of a quorum, only Securities which a Responsible Officer of
the Trustee knows to be so owned shall be so disregarded.  

 

5

 

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

 

“Paying
Agent” means any Person authorized by the Company to pay the principal of,
premium, if any, or interest and any other payments on any Securities on behalf
of the Company.

 

“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 or formula for determining the rate or rates of interest
thereon, if any, the Maturity thereof and the redemption provisions, if any,
with respect thereto, are to be determined by the Company upon the issuance of
such Securities.

 

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

 

“Place
of Payment”, when used with respect to the Securities of or within any series,
means the place or places where the principal of, premium, if any, and interest
and any other payments on such Securities are payable as specified as
contemplated by Sections 3.1 and 9.2.

 

“Predecessor
Security” of any particular Security means every previous Security evidencing
all or a portion of the same debt as that evidenced by such particular
Security; and, for the purposes of this definition, any Security authenticated
and delivered under Section 3.6 in exchange for or in lieu of a mutilated,
destroyed, lost or stolen Security shall be deemed to evidence the same debt as
the mutilated, destroyed, lost or stolen Security.

 

“Preferred
Stock” as applied to the capital stock of the Company means capital stock of
any class or classes (however designated) which is preferred as to the payment
of dividends, or as to the distribution of assets upon any voluntary or
involuntary liquidation or dissolution of the Company, over shares of Common
Stock of such corporation.

 

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

 

“Redemption
Price”, when used with respect to any Security to be redeemed, in whole or in
part, means the price at which it is to be redeemed pursuant to this Indenture.

 

“Registered
Security” means any Security issued hereunder and registered as to principal
and interest in the Register.

 

“Regular
Record Date” for the interest payable on any Interest Payment Date on the
Securities of or within any series means the date specified for that purpose as
contemplated by Section 3.1, which date shall be, unless otherwise
specified pursuant to Section 3.1, the fifteenth day preceding such
Interest Payment Date, whether or not such day shall be a Business Day.

 

6

 

“Responsible
Officer”, when used with respect to the Trustee, shall mean any senior vice
president, vice president, any assistant vice president or assistant secretary
working in its corporate trust department and assigned responsibility for this
engagement, or any other officer of the Trustee customarily performing
functions similar to those performed by the persons who at the time shall be
such officers, respectively, working in its corporate trust department and
assigned responsibility for this engagement, or to whom any corporate trust
matter relating to the Indenture or the Securities is referred because of his
knowledge of and familiarity with a particular subject.

 

“Security”
or “Securities” has the meaning stated in the first recital of this Indenture
and more particularly means a Security or Securities of the Company issued,
authenticated and delivered under this Indenture.

 

“Special
Record Date” for the payment of any Defaulted Interest means a date fixed by
the Trustee pursuant to Section 3.7.

 

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

 

“Subsidiary”
means any Person of which the Company at the time owns or controls, directly or
indirectly, more than 50% of the shares of outstanding stock or other equity
interests having general voting power under ordinary circumstances to elect a
majority of the Board of Directors, managers or trustees, as the case may be,
of such Person (irrespective of whether or not at the time stock of any other
class or classes or other equity interests of such corporation shall have or
might have voting power by reason of the happening of any contingency).

 

“Trust
Indenture Act” means the Trust Indenture Act of 1939 as in effect on the date
of this Indenture, except as provided in Section 8.3.

 

“Trustee”
means the party named as such in the first paragraph of this Indenture until a
successor Trustee replaces it pursuant to the applicable provisions of this
Indenture, and thereafter means such successor Trustee and if, at any time, there
is more than one Trustee, “Trustee” as used with respect to the Securities of
any series shall mean the Trustee with respect to the Securities of that
series.

 

“United
States” means, unless otherwise specified with respect to the Securities of any
series as contemplated by Section 3.1, the United States of America
(including the States and the District of Columbia), its territories, its
possessions and other areas subject to its jurisdiction.

 

“U.S.
Person” means, unless otherwise specified with respect to the Securities of any
series as contemplated by Section 3.1, an individual citizen or resident
of the United States, a corporation created or organized in or under the laws
of the United States, any State thereof or the District of Columbia, or a partnership,
estate or trust treated as a domestic partnership, estate or trust for United
States federal income tax purposes.

 

7

 

(b)           The following terms shall have the meanings specified in
the Sections referred to opposite such term below:

 

 

	
  Term

  	
   

  	
  Section

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  “Act”

  	
   

  	
  1.4(a)

  	
   

  
	
  “Bankruptcy Law”

  	
   

  	
  5.1

  	
   

  
	
  “Claims”

  	
   

  	
  6.8(b)

  	
   

  
	
  “Component Currency”

  	
   

  	
  3.11(h)

  	
   

  
	
  “Conversion Date”

  	
   

  	
  3.11(d)

  	
   

  
	
  “Conversion Event”

  	
   

  	
  3.11(h)

  	
   

  
	
  “Custodian”

  	
   

  	
  5.1

  	
   

  
	
  “Defaulted Interest”

  	
   

  	
  3.7(b)

  	
   

  
	
  “Election Date”

  	
   

  	
  3.11(h)

  	
   

  
	
  “Event of Default”

  	
   

  	
  5.1

  	
   

  
	
  “Exchange Rate Agent”

  	
   

  	
  3.11(h)

  	
   

  
	
  “Exchange Rate Officer’s Certificate”

  	
   

  	
  3.11(h)

  	
   

  
	
  “Market Exchange Rate”

  	
   

  	
  3.11(h)

  	
   

  
	
  “Register”

  	
   

  	
  3.5

  	
   

  
	
  “Registrar”

  	
   

  	
  3.5

  	
   

  
	
  “Specified Amount”

  	
   

  	
  3.11(h)

  	
   

  
	
  “Valuation Date”

  	
   

  	
  3.11(c)

  	
   

  

 

Section 1.2.  COMPLIANCE CERTIFICATES AND OPINIONS.  Upon any application or request by the
Company to the Trustee to take any action under any provision of this
Indenture, the Company shall furnish to the Trustee an Officer’s Certificate
stating that all conditions precedent, if any, provided for in this Indenture
relating to the proposed action have been complied with and an Opinion of
Counsel stating that in the opinion of such counsel all such conditions
precedent, if any, have been complied with, except that in the case of any
application or request as to which the furnishing of such documents is
specifically required by any provision of this Indenture relating to such
particular application or request, no additional certificate or opinion need be
furnished.

 

Every
certificate or opinion with respect to compliance with a condition or covenant
provided for in this Indenture (other than pursuant to Sections 2.3 and 9.7)
shall include:

 

(1)           a statement that the individual signing such certificate
or opinion has read such condition or covenant and any definitions in this
Indenture that are used in such certificate or opinion;

 

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

 

8

 

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

 

(4)           a statement as to whether, in the opinion of such
individual, such condition or covenant has been complied with.

 

Section 1.3.  FORM OF DOCUMENTS DELIVERED TO TRUSTEE.  In any case where several matters are
required to be certified by, or covered by an opinion of, any specified Person,
it is not necessary that all such matters be certified by, or covered by the
opinion of, only one such Person, or that they be so certified or covered by
only one document, but one such Person may certify or give an opinion with
respect to some matters and one or more other such Persons as to other matters,
and any such Person may certify or give an opinion as to such matters in one or
several documents.

 

Any
certificate or opinion of an officer of the Company may be based, insofar as it
relates to legal matters, upon a certificate or opinion of, or representations
by, counsel, unless such officer knows that the certificate or opinion or
representations with respect to the matters upon which his certificate or
opinion is based are erroneous.  Any such
certificate or Opinion of Counsel may be based, insofar as it relates to
factual matters, upon a certificate or opinion of, or representations by, an
officer or officers of the Company stating that the information with respect to
such factual matters is in the possession of the Company, unless such counsel
knows that the certificate or opinion or representations as to such matters are
erroneous.

 

Any
certificate or opinion of an officer of the Company or of counsel may be based,
insofar as it relates to accounting matters, upon a certificate or opinion of
or representations by an accountant or firm of accountants in the employ of the
Company, unless such officer or counsel, as the case may be, knows that the
certificate or opinions or representations as to such accounting matters are
erroneous.

 

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

 

Section 1.4.  ACTS OF HOLDERS.  (a) Any request, demand, authorization,
direction, notice, consent, waiver or other action provided by this Indenture
to be given or taken by Holders may be embodied in and evidenced by one or more
instruments of substantially similar tenor signed by such Holders in person or
by agent duly appointed in writing; and, except as herein otherwise expressly
provided, such action shall become effective when such instrument or
instruments are delivered to the Trustee and, where it is hereby expressly
required, to the Company.  Such
instrument or instruments (and the action embodied therein and evidenced
thereby) are herein sometimes referred to as the “Act” of the Holders signing
such instrument or instruments.  Proof of
execution of any such instrument or of a writing appointing any such agent
shall be sufficient for any purpose of this Indenture and conclusive in favor
of the Trustee and the Company, if made in the manner provided in this Section.

 

9

 

(b)           The fact and date of the execution by any Person of any
such instrument or writing may be proved by the affidavit of a witness of such
execution or by a certificate of a notary public or other officer authorized by
law to take acknowledgments of deeds, certifying that the individual signing
such instrument or writing acknowledged to him the execution thereof.  Where such execution is by a signer acting in
a capacity other than his individual capacity, such certificate or affidavit
shall also constitute sufficient proof of his authority.  The fact and date of the execution of any
such instrument or writing, or the authority of the Person executing the same,
may also be proved in any other manner which the Trustee deems sufficient.

 

(c)           The ownership of Bearer Securities may be proved by the
production of such Bearer Securities or by a certificate executed by any trust
company, bank, banker or other depository, wherever situated, if such
certificate shall be deemed by the Trustee to be satisfactory, showing that at
the date therein mentioned such Person had on deposit with such depository, or
exhibited to it, the Bearer Securities therein described; or such facts may be
proved by the certificate or affidavit of the Person holding such Bearer
Securities, if such certificate or affidavit is deemed by the Trustee to be
satisfactory.  The Trustee and the
Company may assume that such ownership of any Bearer Security continues until (i) another
such certificate or affidavit bearing a later date issued in respect of the
same Bearer Security is produced, (ii) such Bearer Security is produced to
the Trustee by some other Person, (iii) such Bearer Security is
surrendered in exchange for a Registered Security or (iv) such Bearer
Security is no longer Outstanding.  The
ownership of Bearer Securities may also be proved in any other manner which the
Trustee deems sufficient.

 

(d)           The ownership of Registered Securities shall be proved by
the Register (as defined in Section 3.5 below).

 

(e)           Any request, demand, authorization, direction, notice,
consent, waiver or other Act of the Holder of any Security shall bind every
future Holder of the same Security and the Holder of every Security issued upon
the registration of transfer thereof or in exchange therefor or in lieu thereof
in respect of anything done, omitted or suffered to be done by the Trustee or
the Company in reliance thereon, whether or not notation of such action is made
upon such Security.

 

(f)            If the Company shall solicit from the Holders of any
series any request, demand, authorization, direction, notice, consent, waiver
or other Act, the Company may, at its option, fix in advance a record date for
the determination of Holders of such series entitled to give such request,
demand, authorization, direction, notice, consent, waiver or other Act, but the
Company shall have no obligation to do so. 
If such a record date is fixed, such request, demand, authorization,
direction, notice, consent, waiver or other Act may be given before or after
such record date, but only the Holders of such series of record at the close of
business on such record date shall be deemed to be Holders for the purposes of
determining whether Holders of the requisite proportion of Outstanding
Securities of such series have authorized or agreed or consented to such
request, demand, authorization, direction, notice, consent, waiver or other Act,
and for that purpose the Outstanding Securities of such series shall be
computed as of such record date; provided that no such authorization, agreement
or consent by the Holders on such record date shall be deemed effective unless
taken on or prior to the applicable Expiration Date (as defined below) by
Holders of the requisite amount of Outstanding Securities of such series on
such record date.  Nothing in this
paragraph shall be construed to prevent the Company from 

 

10

 

setting a new record date for any action for which a
record date has previously been set pursuant to this paragraph (whereupon the
record date previously set shall automatically and with no action by any Person
be cancelled and of no effect), and nothing in this paragraph shall be
construed to render ineffective any action taken by Holders of the requisite
amount of Outstanding Securities on the date such action is taken.  Promptly after any record date is set
pursuant to this paragraph, the Company, at its own expense, shall cause notice
of such record date, the proposed action by Holders and the applicable
Expiration Date to be given to the Trustee in writing and to each Holder of
Notes in the manner set forth in Section 1.6.

 

With
respect to any record date set pursuant to this Section 1.4, the Company
may designate any date as the “Expiration Date” and from time to time may
change the Expiration Date to any earlier or later day; provided that no such
change shall be effective unless notice of the proposed new Expiration Date is
given to the Trustee, and to each Holder of Securities of the applicable series
in the manner set forth in Section 1.6 on or prior to the existing
Expiration Date.  If an Expiration Date
is not designated with respect to any record date pursuant to this Section, the
Company shall be deemed to have initially designated the 180th day after such
record date as the Expiration Date with respect thereto, subject to its right
to change the Expiration Date as provided in this paragraph.  Notwithstanding the foregoing, no Expiration
Date shall be later than the 180th day after the applicable record date.

 

(g)           Without limiting the foregoing, a Holder entitled
hereunder to take any action hereunder with regard to any particular Security
may do so with regard to all or any part of the principal amount of such
Security or by one or more duly appointed agents, each of which may do so
pursuant to such appointment with regard to all or any part of such principal
amount.

 

(h)           The Company and the Trustee may make reasonable rules for
action by or at a meeting of Holders.

 

Section 1.5.  NOTICES, ETC., TO TRUSTEE AND COMPANY.  Any request, demand, authorization,
direction, notice, consent, waiver or Act of Holders or other document provided
or permitted by this Indenture to be made upon, given or furnished to, or filed
with,

 

(1)           the Trustee by any Holder or by the Company shall be
sufficient for every purpose hereunder if made, given, furnished or filed in
writing to or with the Trustee to the attention of its Corporate Trust Office,
or

 

(2)           the Company by the Trustee or by any Holder shall be
sufficient for every purpose hereunder (unless otherwise herein expressly
provided) if in writing and mailed, first-class postage prepaid, to the Company
addressed to it at Exact Sciences Corporation, 441 Charmany Drive, Madison, WI
53719, attention: Chief Financial Officer, or at any other address previously
furnished in writing to the Trustee by the Company.

 

Section 1.6.  NOTICE TO HOLDERS; WAIVER.  Where this Indenture provides for notice to
Holders of any event, (i) if any of the Securities affected by such event
are Registered Securities, such notice to the Holders thereof shall be
sufficiently given (unless otherwise herein or in the terms of such Securities
expressly provided) if in writing and mailed, first-class postage prepaid, to
each such Holder affected by such event, at his address as it appears in the
Register, 

 

11

 

within
the time prescribed for the giving of such notice and, (ii) if any of the
Securities affected by such event are Bearer Securities, notice to the Holders
thereof shall be sufficiently given (unless otherwise herein or in the terms of
such Bearer Securities expressly provided) if published once in an Authorized
Newspaper in New York, New York, and in such other city or cities, if any, as
may be specified as contemplated by Section 3.1.

 

In
any case where notice to Holders is given by mail, neither the failure to mail
such notice, nor any defect in any notice so mailed, to any particular Holder
shall affect the sufficiency of such notice with respect to other Holders of
Registered Securities or the sufficiency of any notice to Holders of Bearer
Securities given as provided herein.  In
any case where notice is given to Holders by publication, neither the failure
to publish such notice, nor any defect in any notice so published, shall affect
the sufficiency of such notice with respect to other Holders of Bearer
Securities or the sufficiency of any notice to Holders of Registered Securities
given as provided herein.  Any notice
mailed to a Holder in the manner herein prescribed shall be conclusively deemed
to have been received by such Holder, whether or not such Holder actually receives
such notice.

 

If
by reason of the suspension of regular mail service or by reason of any other
cause it shall be impracticable to give such notice as provided above, then
such notification as shall be made with the approval of the Trustee (such approval
not to be unreasonably withheld) shall constitute a sufficient notification for
every purpose hereunder.  If it is
impossible or, in the opinion of the Trustee, impracticable to give any notice
by publication in the manner herein required, then such publication in lieu
thereof as shall be made with the approval of the Trustee shall constitute a
sufficient publication of such notice.

 

Any
request, demand, authorization, direction, notice, consent or waiver required
or permitted under this Indenture shall be in the English language, except that
any published notice may be in an official language of the country of
publication.

 

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

 

Section 1.7.  HEADINGS AND TABLE OF CONTENTS.  The Article and Section headings
herein and the Table of Contents are for convenience only and shall not affect
the construction hereof.

 

Section 1.8.  SUCCESSOR AND ASSIGNS.  All covenants and agreements in this
Indenture by the Company shall bind its successor and assigns, whether so
expressed or not.

 

Any
act or proceeding that is required or permitted by any provision of this
Indenture and that is authorized or required to be done or performed by any
board, committee or officer of the Company shall and may be done and performed
with like force and effect by the like board, committee or officer of any
corporation that shall at the time be the successor or assign of the Company.

 

12

 

Section 1.9.  SEPARABILITY.  In case any provision of this Indenture or
the Securities shall be invalid, illegal or unenforceable, the validity,
legality and enforceability of the remaining provisions shall not in any way be
affected or impaired thereby.

 

Section 1.10.  BENEFITS OF INDENTURE.  Nothing in this Indenture or in the
Securities, expressed or implied, shall give to any Person, other than the
parties hereto and their successors hereunder, any Agent and the Holders, any
benefit or any legal or equitable right, remedy or claim under this Indenture.

 

Section 1.11.  GOVERNING LAW.  UNLESS OTHERWISE PROVIDED WITH RESPECT TO ANY
SECURITIES OF ANY SERIES PURSUANT TO SECTION 3.1, THIS INDENTURE, THE
SECURITIES AND ANY COUPONS APPERTAINING THERETO SHALL BE GOVERNED BY AND
CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, INCLUDING
ALL MATTERS OF CONSTRUCTION, VALIDITY AND PERFORMANCE.  This Indenture is subject to the Trust
Indenture Act and if any provision hereof limits, qualifies or conflicts with a
provision included in this Indenture which is required by the Trust Indenture
Act, the latter provision shall control. 
If any provision of this Indenture modifies or excludes any provision of
the Trust Indenture Act that may be so modified or excluded, the latter
provision shall be deemed to apply to this Indenture as so modified, or to be
excluded, as the case may be, whether or not such provision of this Indenture
refers expressly to such provision of the Trust Indenture Act.

 

Section 1.12.  LEGAL HOLIDAYS.  Unless otherwise provided with respect to any
Security or Securities pursuant to Section 3.1, in any case where any
Interest Payment Date, Redemption Date, sinking fund payment date, Stated
Maturity or Maturity or other payment date of any Security shall not be a
Business Day at any Place of Payment, then, notwithstanding any other provision
of this Indenture or any Security or coupon, payment of principal, premium, if
any or interest or other payments need not be made at such Place of Payment on
such date, but may be made on the next succeeding Business Day at such Place of
Payment with the same force and effect as if made on such date; provided that
no interest shall accrue on the amount so payable for the period from and after
such Interest Payment Date, Redemption Date, sinking fund payment date, Stated
Maturity or Maturity or other payment date, as the case may be.

 

Section 1.13.  NO RECOURSE AGAINST OTHERS.  No past, present or future director, officer,
employee, agent, member, manager, trustee or stockholder, as such, of the
Company or any successor Person shall have any liability for any obligations of
the Company or any successor Person, either directly or through the Company or
any successor Person, under the Securities or this Indenture or for any claim
based on, in respect of or by reason of such obligations or their creation,
whether by virtue of any rule of law, statute or constitutional provision
or by the enforcement of any assessment or by any legal or equitable proceeding
or otherwise.  By accepting a Security,
each Holder agrees to the provisions of this Section 1.13 and waives and
releases all such liability.  Such waiver
and release shall be part of the consideration for the issue of the Securities.

 

13

 

ARTICLE II

 

SECURITY
FORMS

 

Section 2.1.  FORMS GENERALLY.  The Securities of each series and the
coupons, if any, to be attached thereto shall be in substantially such form as
shall be established by or pursuant to a Board Resolution 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 such letters, numbers or other marks of identification
and such legends or endorsements placed thereon as the Company may deem
appropriate or as may be required to comply with any applicable law, rule or
regulation or with the rules or usage of any securities exchange or
Depository therefor or as may, consistently herewith, be determined by the
officers executing such Securities and coupons, if any, as evidenced by their
execution of the Securities and coupons, if any.  If temporary Securities of any series are
issued as permitted by Section 3.4, the form thereof also shall be established
as provided in the preceding sentence. 
If the forms of Securities and coupons, if any, of any series are
established by, or by action taken pursuant to, a Board Resolution, a copy of
the Board Resolution, and, if such Board Resolution delegates a particular
action to another Person, an appropriate record of any such action taken
pursuant thereto, including a copy of the approved form of Securities or
coupons, if any, shall be certified by the Corporate Secretary or an Assistant
Secretary of the Company and delivered to the Trustee at or prior to the
delivery of the Company Order contemplated by Section 3.3 for the
authentication and delivery of such Securities.

 

Unless
otherwise specified as contemplated by Section 3.1, Bearer Securities
shall have interest coupons attached.

 

The
definitive Securities and coupons, if any, shall be typeset, printed,
lithographed or engraved on steel engraved borders or may be produced in any
other manner or medium, all as determined by the officers executing such Securities
and coupons, if any, as evidenced by their execution of such Securities and
coupons, if any.

 

Section 2.2.  FORM OF TRUSTEE’S CERTIFICATE OF
AUTHENTICATION.  Subject to Section 6.13
(as applicable to any Authenticating Agent), the Trustee’s certificate of
authentication shall be in substantially the following form:

 

This
is one of the [Securities] [of the series designated herein and] referred to in
the within-mentioned Indenture.

 

	
   

  	
   

  	
  , as Trustee

  
	
   

  	
   

  	
   

  
	
  Dated:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
          AUTHORIZED
  SIGNATORY

  

 

14

 

Section 2.3.  SECURITIES IN GLOBAL FORM.  If Securities of or within a series are
issuable in whole or in part in global form, any such Security may provide that
it shall represent the aggregate or specified amount of Outstanding Securities
from time to time endorsed thereon and may also provide that the aggregate
amount of Outstanding Securities represented thereby may from time to time be
reduced or increased to reflect exchanges. 
Any endorsement of a Security in global form to reflect the amount, or
any increase or decrease in the amount, or changes in the rights of Holders, of
Outstanding Securities represented thereby, shall be made in such manner and by
such Person or Persons as shall be specified therein or in the Company Order to
be delivered to the Trustee pursuant to Section 3.3 or 3.4.  Subject to the provisions of Section 3.3
and, if applicable, Section 3.4, the Trustee shall deliver and redeliver
any security in permanent global form in the manner and upon instructions given
by the Person or Persons specified therein or in the applicable Company
Order.  Any instructions by the Company
with respect to endorsement or delivery or redelivery of a Security in global
form shall be in writing but need not comply with Section 1.2 hereof and
need not be accompanied by an Opinion of Counsel.

 

The
provisions of the last paragraph of Section 3.3 shall apply to any
Security in global form if such Security was never issued and sold by the
Company and the Company delivers to the Trustee the Security in global form
together with written instructions (which need not comply with Section 1.2
and need not be accompanied by an Opinion of Counsel) with regard to the
reduction in the principal amount of Securities represented thereby, together
with the written statement contemplated by the last paragraph of Section 3.3.

 

Notwithstanding
the provisions of Section 2.1 and 3.7, unless otherwise specified as
contemplated by Section 3.1, payment of principal of, premium, if any, and
interest on any Security in permanent global form shall be made to the Person
or Persons specified therein.

 

Section 2.4.  FORM OF LEGEND FOR SECURITIES IN GLOBAL
FORM.  Unless otherwise provided with
respect to any Securities of any series pursuant to Section 3.1 or
required by the Depository, any Security of such series in global form
authenticated and delivered hereunder shall bear a legend in substantially the
following form:

 

This
Security is in global form within the meaning of the Indenture hereinafter
referred to and is registered in the name of a Depository or a nominee of a
Depository.  Unless and until it is
exchanged in whole or in part for Securities in certificated form, this
Security may not be transferred except as a whole by the Depository to a
nominee of the Depository or by a nominee of the Depository to the Depository
or another nominee of the Depository or by the Depository or any such nominee
to a successor Depository or a nominee of such successor Depository.  Every Security authenticated and delivered
upon registration of, or in exchange for, or in lieu of, this Security will be
in global form, subject to the foregoing.

 

15

 

ARTICLE III

 

THE
SECURITIES

 

Section 3.1.  AMOUNT UNLIMITED; ISSUABLE IN SERIES.  (a) The aggregate principal amount of
Securities which may be authenticated, delivered and outstanding under this
Indenture is unlimited.  The Securities
may be issued from time to time in one or more series.

 

(b)           The following matters shall be established, without the
approval of any Holders, with respect to each series of Securities issued
hereunder (i) by a Board Resolution, (ii) by action taken pursuant to
a Board Resolution and (subject to Section 3.3) set forth, or determined
in the manner provided, in an Officers’ Certificate or (iii) in one or
more indentures supplemental hereto (provided, however, that any changes to
terms that are established by a Board Resolution shall, after their initial
establishment, also be governed by the requirements of Sections 8.1 and 8.2):

 

(1)           the title of the Securities of the series (which title
shall distinguish the Securities of the series from all other series of
Securities);

 

(2)           any limit upon the aggregate principal amount of the
Securities of the series which may be authenticated, delivered and outstanding
under this Indenture (which limit shall not pertain to Securities authenticated
and delivered upon registration of transfer of, or in exchange for, or in lieu
of, other Securities of the series pursuant to Section 3.4, 3.5, 3.6, 8.6,
or 10.7 and except for any Securities which, pursuant to Section 3.3, are
deemed never to have been authenticated and delivered hereunder);

 

(3)           the date or dates on which the principal of and premium,
if any, on the Securities of the series is payable or the method of
determination and/or extension of such date or dates; and the amount or amounts
of such principal and premium, if any, payments or the method of determination
thereof;

 

(4)           the rate or rates (which may be fixed or variable) at
which the Securities of the series shall bear interest, if any, or the method
of calculating and/or resetting such rate or rates of interest, the date or
dates from which such interest shall accrue or the method by which such date or
dates shall be determined, the Interest Payment Dates on which any such
interest shall be payable or the method by which such dates will be determined,
the terms of any deferral of interest and the additional interest, if any, thereon
and, with respect to Registered Securities, the Regular Record Date, if any,
for the interest payable on any Registered Security on any Interest Payment
Date, the right, if any, of the Company to extend the Interest Payment Dates
and the Regular Record Date, if any, and the duration of the extensions and the
basis upon which interest shall be calculated if other than upon a 360-day year
of twelve 30-day months;

 

(5)           the place or places where the principal of, premium, if
any, and interest, if any, on Securities of the series shall be payable;

 

(6)           the period or periods within which, the price or prices at
which, the currency or currencies (including currency units) in which, and the
other terms and conditions upon which, Securities of the series may be redeemed,
in whole or in part, at the option of the Company or 

 

16

 

otherwise, and, if other than as provided in Section 10.3,
the manner in which the particular Securities of such series (if less than all
Securities of such series are to be redeemed) are to be selected for
redemption;

 

(7)           the obligation, if any, of the Company to redeem or
purchase Securities of the series pursuant to any sinking fund or analogous
provisions or upon the happening of a specified event or at the option of a
Holder thereof and the period or periods within which, the price or prices at
which, and the other terms and conditions upon which, Securities of the series
shall be redeemed or purchased, in whole or in part, pursuant to such
obligation and provisions for the remarketing of such series;

 

(8)           if other than denominations of $1,000 and any integral
multiple thereof, for Registered Securities, and if other than denominations of
$5,000 and any integral multiple thereof, for Bearer Securities, the
denominations in which Securities of the series shall be issuable;

 

(9)           if other than Dollars, the currency or currencies
(including currency unit or units) in which the principal of, premium, if any,
and interest, if any, or other payments, if any, on the Securities of the
series shall be payable, or in which the Securities of the series shall be
denominated, and the particular provisions applicable thereto in accordance
with, in addition to, or in lieu of the provisions of Section 3.11;

 

(10)         the terms, if any, upon which
Securities of the series may be convertible into or exchanged for other
Securities, Common Stock, Preferred Stock, other debt securities, warrants to
purchase any of the foregoing, or other securities of any kind of the Company
or any other obligor and the terms and conditions upon which the conversion or
exchange shall be effected, including the initial conversion or exchange price
or rate, the conversion or exchange period, and any other additional
provisions;

 

(11)         if the payments of principal of,
premium, if any, or interest, if any, or other payments, if any, on the
Securities of the series are to be made, at the election of the Company or a
Holder, in a currency or currencies (including currency unit or units) other than
that in which such Securities are denominated or designated to be payable, the
currency or currencies (including currency unit or units) in which such
payments are to be made, the terms and conditions of such payments and the
manner in which the exchange rate with respect to such payments shall be
determined, and the particular provisions applicable thereto in accordance
with, in addition to, or in lieu of the provisions of Section 3.11;

 

(12)         if the amount of payments of principal
of, premium, if any, and interest, if any, or other payments, if any, on the
Securities of the series shall be determined with reference to an index,
formula or other method (which index, formula or method may be based, without
limitation, on the price of one or more commodities, derivatives or securities;
one or more securities, derivatives or commodities exchange indices or other
indices; a currency or currencies (including currency unit or units) other than
that in which the Securities of the series are denominated or designated to be
payable; or any other variable or the relationship between any variables or
combination of variables), the index, formula or other method by which such
amounts shall be determined;

 

17

 

(13)         if other than the principal amount
thereof, the portion of the principal amount of such Securities of the series
or other amount which shall be payable upon declaration of acceleration thereof
pursuant to Section 5.2 or provable in bankruptcy or the method by which
such portion or amount shall be determined;

 

(14)         if other than as provided in Section 3.7,
the Person to whom any interest on any Registered Security of the series shall
be payable and the manner in which, or the Person to whom, any interest on any
Bearer Securities of the series shall be payable;

 

(15)         if the principal amount payable at the
Maturity of any Securities of the series will not be determinable as of one or
more dates prior to Maturity, the amount which shall be deemed to be the
principal amount of such Securities as of any such date hereunder or
thereunder, or, if other than as provided in the definition of the term “Outstanding”,
which shall be deemed to be Outstanding as of any date prior to the Stated
Maturity (or, in any such case, the manner in which such amount deemed to be
the principal amount shall be determined) and, if necessary, the manner of
determining the equivalent thereof in U.S. currency;

 

(16)         provisions, if any, granting special
rights to the Holders of Securities of the series upon the occurrence of such
events as may be specified;

 

(17)         the applicability of or any deletions
from, modifications of or additions to the Events of Default set forth in Section 5.1
or covenants of the Company set forth in Article IX pertaining to the
Securities of the series;

 

(18)         under what circumstances, if any, the
Company will pay additional amounts on the Securities of that series held by a
Person who is not a U.S. Person in respect of taxes or similar charges withheld
or deducted and, if so, whether the Company will have the option to redeem such
Securities rather than pay such additional amounts (and the terms of any such
option);

 

(19)         whether Securities of the series shall
be issuable as Registered Securities or Bearer Securities (with or without
interest coupons), or both, and any restrictions applicable to the offering,
sale or delivery of Bearer Securities and, if other than as provided in Section 3.5,
the terms upon which Bearer Securities of a series may be exchanged for
Registered Securities of the same series and vice versa;

 

(20)         the date as of which any Bearer
Securities of the series and any temporary global Security representing
Outstanding Securities of the series shall be dated if other than the date of
original issuance of the first Security of the series to be issued;

 

(21)         the forms of the Securities and
coupons, if any, of the series;

 

(22)         any changes or additions to the
provisions provided in Article Four of this Indenture pertaining to
defeasance, including without limitation, the exclusion of Section 4.4 or
4.5, or both, with respect to the Securities of or within the series; or the
applicability, if any, to the Securities of or within the series of such means
of defeasance or covenant defeasance other than those provided in Sections 4.4
and 4.5 as may be specified for the Securities and coupons, if any, of such
series, and whether, for the purpose of any defeasance or covenant defeasance 

 

18

 

pursuant to Section 4.4 or 4.5 or otherwise,
the term “Government Obligations” shall include obligations referred to in the
definition of such term which are not obligations of the United States or an
agency or instrumentality of the United States;

 

(23)         if other than the Trustee, the identity
of the Registrar and any Paying Agent;

 

(24)         any terms which may be related to
warrants, options or other rights to purchase and sell securities issued by the
Company in connection with, or for the purchase of, Securities of such series,
including whether and under what circumstances the Securities of any series may
be used toward the exercise price of any such warrants, options or other
rights;

 

(25)         the designation of the initial Exchange
Rate Agent, if any;

 

(26)         whether any of the Securities of the
series shall be issued in whole or in part in global form, and if so (i) the
Depository for such global Securities, (ii) the form of any legend in
addition to or in lieu of that in Section 2.4 which shall be borne by such
global Securities, (iii) whether beneficial owners of interests in any
Securities of the series in global form may exchange such interests for
certificated Securities of such series and of like tenor of any authorized form
and denomination, and (iv) if other than as provided in Section 3.5,
the circumstances under which any such exchange may occur;

 

(27)         the priority, ranking or subordination,
if any, of the Securities of the series;

 

(28)         if the Securities of the series will be
governed by, and the extent to which such Securities will be governed by, any
law other than the laws of the state of New York;

 

(29)         the terms, if any, of any guarantee of
the payment of principal, premium and interest with respect to Securities of
the series and any corresponding changes to the provisions of this Indenture as
then in effect;

 

(30)         the terms, if any, of the transfer,
mortgage, pledge or assignment as security for the Securities of the series of
any properties, assets, moneys, proceeds, securities or other collateral,
including whether certain provisions in the Trust Indenture Act are applicable
and any corresponding changes to provisions of this Indenture as then in
effect; and

 

(31)         any other terms of the series,
including any terms which may be required by or advisable under United States
laws or regulations or advisable (as determined by the Company) in connection
with the marketing of Securities of the series.

 

(c)           The terms applicable to the Securities of any one series
and coupons, if any, appertaining to any Bearer Securities of such series need
not be identical but may vary as may be provided (i) by a Board
Resolution, (ii) by action taken pursuant to a Board Resolution and
(subject to Section 3.3) set forth, or determined in the manner provided,
in the related Officers’ Certificate or (iii) in an indenture supplemental
hereto.  All Securities of any one series
need not be issued at the same time and, unless otherwise provided, a series
may be reopened, without the consent of the Holders, for issuances of
additional Securities of such series.

 

19

 

(d)           If any of the terms of the Securities of any series are
established by action taken pursuant to a Board Resolution, a copy of such
Board Resolution shall be certified by the Corporate Secretary or an Assistant
Secretary of the Company and delivered to the Trustee at or prior to the
delivery of the Officers’ Certificate setting forth, or providing the manner
for determining, the terms of the Securities of such series, and, if such Board
Resolution delegates a particular action to another Person, an appropriate
record of any such action taken pursuant thereto, shall be delivered to the
Trustee prior to the authentication and delivery thereof.

 

(e)           Except as may be otherwise expressly provided in the applicable
Board Resolutions or supplemental indenture, as contemplated by this Section 3.1,
the Securities of any Series shall rank PARI PASSU with the Securities of
each other Series.

 

Section 3.2.  DENOMINATIONS.  Unless otherwise provided as contemplated by Section 3.1,
any Registered Securities of a series shall be issuable in denominations of
$1,000 and any integral multiple thereof and any Bearer Securities of a series
shall be issuable in the denomination of $5,000 and any integral multiple
thereof.

 

Section 3.3.  EXECUTION, AUTHENTICATION, DELIVERY AND
DATING.  Securities shall be executed
on behalf of the Company by the Chief Executive Officer, the Chief Financial
Officer, the President, or any Vice President, the Treasurer or the Corporate
Secretary of the Company.  The seal of
the Company, if any, may be in the form of a facsimile thereof and may be
impressed, affixed, imprinted or otherwise reproduced on the Securities.  The signatures of any of these officers on
the Securities may be manual or facsimile. 
The coupons, if any, of Bearer Securities shall bear the facsimile
signature of the Chief Executive Officer, the Chief Financial Officer, the
President, any Vice President, the Treasurer the Corporate Secretary of the
Company.

 

Securities
and coupons bearing the manual or facsimile signatures of individuals who were
at any time the proper officers of the Company shall bind the Company,
notwithstanding that such individuals or any of them have ceased to hold such
offices prior to the authentication and delivery of such Securities or did not
hold such offices at the date of such Securities.

 

At
any time and from time to time, the Company may deliver Securities, together
with any coupons appertaining thereto, of any series executed by the Company to
the Trustee for authentication, together with a Company Order for the
authentication and delivery of such Securities, and the Trustee in accordance
with the Company Order shall authenticate and deliver such Securities;
provided, however, that in the case of Securities offered in a Periodic
Offering, the Trustee shall authenticate and deliver such Securities from time
to time in accordance with such other procedures (including, without
limitation, the receipt by the Trustee of oral or electronic instructions from
the Company or its duly authorized agents, promptly confirmed in writing)
acceptable to the Trustee as may be specified by or pursuant to a Company Order
delivered to the Trustee prior to the time of the first authentication of
Securities of such series.

 

If
the form or terms of the Securities of a series have been established by or
pursuant to one or more Board Resolutions as permitted by Sections 2.1 and 3.1,
in authenticating such Securities and accepting the additional responsibilities
under this Indenture in relation to such Securities, the Trustee shall be
entitled to receive, and (subject to section 315(a) through (d) of 

 

20

 

the
Trust Indenture Act) shall be fully protected in relying upon, an Opinion of
Counsel substantially to the effect that,

 

(1)           the form of such Securities and any coupons have been
established in conformity with the provisions of this Indenture;

 

(2)           the terms of such Securities and any coupons have been, or
in the case of Securities of a series offered in a Periodic Offering will be,
established in conformity with the provisions of this Indenture, subject in the
case of Securities offered in a Periodic Offering, to any conditions specified
in such Opinion of Counsel; and

 

(3)           such Securities together with any coupons appertaining
thereto, when authenticated and delivered by the Trustee, issued by the Company
in accordance with the provisions of this Indenture, and delivered to and duly
paid for by the purchasers thereof, and subject to any conditions specified in
such Opinion of Counsel, will constitute legal, valid and binding obligations
of the Company, enforceable in accordance with their terms, subject to
bankruptcy, insolvency, fraudulent transfer, reorganization, moratorium and
other similar laws of general applicability relating to or affecting the
enforcement of creditors’ rights and to general equity principles and except
further as enforcement thereof may be limited by or subject to certain
exceptions and qualifications specified in such Opinion of Counsel, including
in the case of any Securities denominated in a Foreign Currency, (A) requirements
that a claim with respect to any Securities denominated other than in Dollars
(or a foreign currency or foreign currency unit judgment in respect of such
claim) be converted into Dollars at a rate of exchange prevailing on a date
determined pursuant to applicable law or (B) governmental authority to
limit, delay or prohibit the making of payments in foreign currency or currency
units or payments outside the United States.

 

Such
Opinion of Counsel need express no opinion as to the enforceability of Section 6.8
or as to whether a court in the United States would render a money judgment in
a currency other than that of the United States.  Such counsel may rely on opinions of other
counsel (copies of which shall be delivered to the Trustee), and, to the extent
such opinion involves factual matters, such counsel may rely upon certificates
of officers of the Company and certificates of public officials.

 

Notwithstanding
that such form or terms have been so established, the Trustee shall have the
right to decline to authenticate such Securities if, in the written opinion of
counsel to the Trustee (which counsel may be an employee of the Trustee), such
action may not lawfully be taken or if the Trustee in good faith by its board
of directors or trustees, executive committee or a trust committee of
directors, trustees or vice presidents shall determine that such action would
expose the Trustee to personal liability.

 

Notwithstanding
the provisions of Section 3.1 and of the two preceding paragraphs, if all
of the Securities of any series are not to be issued at one time, it shall not
be necessary to deliver the Officers’ Certificate otherwise required pursuant
to Section 3.1 or the Company Order and Opinion of Counsel otherwise
required pursuant to the two preceding paragraphs in connection with the
authentication of each Security of such series if such documents, with
appropriate 

 

21

 

modifications
to cover such future issuances, are delivered at or prior to the authentication
upon original issuance of the first Security of such series to be issued.

 

With
respect to Securities of a series offered in a Periodic Offering, the Trustee
may rely, as to the authorization by the Company of any of such Securities, the
form and terms thereof and the legality, validity, binding effect and
enforceability thereof, upon the Opinion of Counsel and the other documents
delivered pursuant to Sections 2.1 and 3.1 and this Section, as applicable, in
connection with the first authentication of Securities of such series.

 

If
the Company shall establish pursuant to Section 3.1 that the Securities of
a series are to be issued in whole or in part in global form, then, unless
otherwise provided with respect to such Securities pursuant to Section 3.1,
the Company shall execute and the Trustee shall, in accordance with this Section and
the Company Order with respect to such series, authenticate and deliver one or
more Securities in global form that (i) shall represent and shall be
denominated in an amount equal to the aggregate principal amount of the
Outstanding Securities of such series to be represented by such Security or Securities
in global form, (ii) shall be registered, if a Registered Security, in the
name of the Depository for such Security or Securities in global form or the
nominee of such Depository, (iii) shall be delivered by the Trustee to
such Depository or pursuant to such Depository’s instruction and (iv) shall
bear the legend set forth in Section 2.4.

 

Unless
otherwise established pursuant to Section 3.1, each Depository designated
pursuant to Section 3.1 for a Registered Security in global form must, at
the time of its designation and at all times while it serves as Depository, be
a clearing agency registered under the Securities Exchange Act of 1934 and any
other applicable statute or regulation. 
Neither the Company nor the Trustee shall have any responsibility to
determine if the Depository is so registered.

 

Each
Depository shall enter into an agreement with the Company and the Trustee, as
agent, governing the respective duties and rights of such Depository, the
Company and the Trustee, as agent, with regard to Securities issued in global
form.

 

Each
Registered Security shall be dated the date of its authentication and each
Bearer Security shall be dated as of the date specified as contemplated by Section 3.1.

 

No
Security or coupon appertaining thereto shall be entitled to any benefits under
this Indenture or be valid or obligatory for any purpose until authenticated by
the manual signature of one of the authorized signatories of the Trustee or an
Authenticating Agent and no coupon shall be valid until the Security to which
it appertains has been so authenticated. 
Such signature upon any Security shall be conclusive evidence, and the
only evidence, that such Security has been duly authenticated and delivered
under this Indenture and is entitled to the benefits of this Indenture.  Except as permitted by Section 3.6 or
3.7, the Trustee shall not authenticate and deliver any Bearer Security unless
all appurtenant coupons for interest then matured have been detached and
cancelled.

 

Notwithstanding
the foregoing, if any Security shall have been authenticated and delivered
hereunder but never issued and sold by the Company, and the Company shall
deliver 

 

22

 

such
Security to the Trustee for cancellation as provided in Section 3.9
together with a written statement (which need not comply with Section 1.2
and need not be accompanied by an Opinion of Counsel) stating that such
Security has never been issued and sold by the Company, for all purposes of
this Indenture such Security shall be deemed never to have been authenticated
and delivered hereunder and shall not be entitled to the benefits of this
Indenture.

 

Section 3.4.  TEMPORARY SECURITIES.  Pending the preparation of definitive
Securities of any series, the Company may execute and, upon Company Order, the
Trustee shall authenticate and deliver temporary Securities of such series
which are printed, lithographed, typewritten, mimeographed or otherwise
produced, in any authorized denomination, substantially of the tenor and form,
with or without coupons, of the definitive Securities in lieu of which they are
issued and with such appropriate insertions, omissions, substitutions and other
variations as the officers executing such Securities may determine, as
conclusively evidenced by their execution of such Securities and coupons, if
any.  In the case of Securities of any
series, all or a portion of such temporary Securities may be in global form.

 

Except
in the case of temporary Securities in global form, each of which shall be
exchanged in accordance with the provisions thereof, if temporary Securities of
any series are issued, the Company will cause definitive Securities of such
series to be prepared without unreasonable delay.  After preparation of definitive Securities of
such series, the temporary Securities of such series shall be exchangeable for
definitive Securities of such series upon surrender of the temporary Securities
of such series at the office or agency of the Company pursuant to Section 9.2
in a Place of Payment for such series, without charge to the Holder.  Upon surrender for cancellation of any one or
more temporary Securities of any series (accompanied by any unmatured coupons
appertaining thereto), the Company shall execute and the Trustee shall authenticate
and deliver in exchange therefor a like principal amount of definitive
Securities of the same series of authorized denominations and of like tenor;
provided, however, that no definitive Bearer Security shall be delivered in
exchange for a temporary Registered Security; and provided further that no
definitive Bearer Security shall be delivered in exchange for a temporary
Bearer Security unless the Trustee shall have received from the person entitled
to receive the definitive Bearer Security a certificate substantially in the
form approved in or pursuant to the Board Resolutions relating thereto and such
delivery shall occur only outside the United States.  Until so exchanged, the temporary Securities
of any series shall in all respects be entitled to the same benefits under this
Indenture as definitive Securities of such series except as otherwise specified
as contemplated by Section 3.1.

 

Section 3.5.  REGISTRATION, TRANSFER AND EXCHANGE.  The Company shall cause to be kept at the
Corporate Trust Office of the Trustee or in any office or agency to be
maintained by the Company in accordance with Section 9.2 in a Place of
Payment or in such other place or medium as may be specified pursuant to Section 3.1
a register for each series of Securities (the registers maintained in such
office or in any such office or agency of the Company in a Place of Payment
being herein sometimes referred to collectively as the “Register”) in which,
subject to such reasonable regulations as it may prescribe, the Company shall provide
for the registration of Registered Securities and the registration of transfers
of Registered Securities.  The Register
shall be in written form or any other form capable of being converted into
written form within a reasonable time. 
Unless otherwise provided as contemplated by Section 3.1, the
Trustee is hereby appointed “Registrar” for the purpose of

 

23

 

 registering Registered Securities and
transfers of Registered Securities, and for the purpose of maintaining the
Register in respect thereof, as herein provided.

 

Upon
surrender for registration of transfer of any Registered Security of any series
at the office or agency maintained pursuant to Section 9.2 in a Place of
Payment for that series, the Company shall execute, and the Trustee shall
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 a like aggregate principal amount.

 

Unless
otherwise provided as contemplated by Section 3.1, Bearer Securities
(except for any temporary global Bearer Securities) or any coupons appertaining
thereto (except for coupons attached to any temporary global Bearer Security)
shall be transferable by delivery.

 

Unless
otherwise provided as contemplated by Section 3.1, at the option of the
Holder, Registered Securities of any series (except a Registered Security in
global form) may be exchanged for other Registered Securities of the same
series, of any authorized denominations and of a like aggregate principal
amount containing identical terms and provisions, upon surrender of the
Registered Securities to be exchanged at such office or agency.  Whenever any Registered Securities are so
surrendered for exchange, the Company shall execute, and the Trustee shall
authenticate and deliver, the Registered Securities which the Holder making the
exchange is entitled to receive.  Unless
otherwise specified as contemplated by Section 3.1, Bearer Securities may
not be issued in exchange for Registered Securities.

 

Unless
otherwise specified as contemplated by Section 3.1, at the option of the
Holder, Bearer Securities of such series may be exchanged for Registered
Securities (if the Securities of such series are issuable in registered form)
or Bearer Securities (if Bearer Securities of such series are issuable in more
than one denomination and such exchanges are permitted by such series) of the
same series, of any authorized denominations and of like tenor and aggregate
principal amount, upon surrender of the Bearer Securities to be exchanged at
any such office or agency, with all unmatured coupons and all matured coupons
in default thereto appertaining.  If the
Holder of a Bearer Security is unable to produce any such unmatured coupon or
coupons or matured coupon or coupons in default, such exchange may be effected
if the Bearer Securities are accompanied by payment in funds acceptable to the
Company and the Trustee in an amount equal to the face amount of such missing
coupon or coupons, or the surrender of such missing coupon or coupons may be
waived by the Company and the Trustee if there be furnished to them such
security or indemnity as they may require to save each of them and any Paying
Agent harmless.  If thereafter the Holder
of such Security shall surrender to any Paying Agent any such missing coupon in
respect of which such a payment shall have been made, such Holder shall be
entitled to receive the amount of such payment; provided, however, that, except
as otherwise provided in Section 9.2, interest represented by coupons
shall be payable only upon presentation and surrender of those coupons at an
office or agency located outside the United States.  Notwithstanding the foregoing, in case any
Bearer Security of any series is surrendered at any such office or agency in
exchange for a Registered Security of the same series after the close of
business at such office or agency on (i) any Regular Record Date and
before the opening of business at such office or agency on the relevant
Interest Payment Date, or (ii) any Special Record Date and before the
opening of business at such office or agency on the related date for payment of
Defaulted Interest, such Bearer Security shall be surrendered without the
coupon 

 

24

 

relating
to such Interest Payment Date or proposed date of payment, as the case may be
(or, if such coupon is so surrendered with such Bearer Security, such coupon
shall be returned to the person so surrendering the Bearer Security), and
interest or Defaulted Interest, as the case may be, will not be payable on such
Interest Payment Date or proposed date for payment, as the case may be, in
respect of the Registered Security issued in exchange for such Bearer Security,
but will be payable only to the Holder of such coupon, when due in accordance
with the provisions of this Indenture.

 

Unless
otherwise specified pursuant to Section 3.1 with respect to a series of
Securities or as otherwise provided below in this Section 3.5, owners of
beneficial interests in Securities of such series represented by a Security
issued in global form will not be entitled to have Securities of such series
registered in their names, will not receive or be entitled to receive physical
delivery of Securities of such series in certificated form and will not be
considered the Holders or owners thereof for any purposes hereunder.  Notwithstanding any other provision of this
Section, unless and until it is exchanged in whole or in part for Securities in
certificated form in the circumstances described below, a Security in global
form representing all or a portion of the Securities of a series may not be
transferred or exchanged except as a whole by the Depository for such series to
a nominee of such Depository or by a nominee of such Depository to such
Depository or another nominee of such Depository or by such Depository or any
such nominee to a successor Depository for such series or a nominee of such
successor Depository.

 

If
at any time the Depository for the Securities of a series notifies the Company
that it is unwilling or unable to continue as Depository for the Securities of
such series or if at any time the Depository for the Securities of such series
notifies the Company that it shall no longer be eligible under Section 3.3,
the Company shall appoint a successor Depository with respect to the Securities
of such series.  Unless otherwise
provided as contemplated by Section 3.1, if a successor Depository for the
Securities of such series is not appointed by the Company within 90 days after
the Company receives such notice or becomes aware of such ineligibility, the
Company’s election pursuant to Section 3.1(b) (26) shall no longer be
effective with respect to the Securities of such series and the Company shall
execute, and the Trustee, upon receipt of a Company Order for the
authentication and delivery of certificated Securities of such series of like
tenor, shall authenticate and deliver, Securities of such series of like tenor
in certificated form, in authorized denominations and in an aggregate principal
amount equal to the principal amount of the Security or Securities of such
series of like tenor in global form in exchange for such Security or Securities
in global form.

 

The
Company may at any time in its sole discretion determine that Securities of a
series issued in global form shall no longer be represented by such a Security
or Securities in global form.  In such
event the Company shall execute, and the Trustee, upon receipt of a Company
Order for the authentication and delivery of certificated Securities of such
series of like tenor, shall authenticate and deliver, Securities of such series
of like tenor in certificated form, in authorized denominations and in an
aggregate principal amount equal to the principal amount of the Security or
Securities of such series of like tenor in global form in exchange for such
Security or Securities in global form.

 

If
specified by the Company pursuant to Section 3.1 with respect to a series
of Securities, the Depository for such series may surrender a Security in
global form of such series in exchange 

 

25

 

in
whole or in part for Securities of such series in certificated form on such
terms as are acceptable to the Company and such Depository.  Thereupon, the Company shall execute, and the
Trustee shall authenticate and deliver, without service charge,

 

(i)            to each Person specified by such
Depository a new certificated Security or Securities of the same series of like
tenor, of any authorized denomination as requested by such Person in aggregate
principal amount equal to and in exchange for such Person’s beneficial interest
in the Security in global form; and

 

(ii)           to such Depository a new Security in
global form of like tenor in a denomination equal to the difference, if any,
between the principal amount of the surrendered Security in global form and the
aggregate principal amount of certificated Securities delivered to Holders
thereof.

 

(iii)          Upon the exchange of a Security in
global form for Securities in certificated form, such Security in global form
shall be cancelled by the Trustee. 
Unless expressly provided with respect to the Securities of any series that
such Security may be exchanged for Bearer Securities, Securities in
certificated form issued in exchange for a Security in global form pursuant to
this Section shall be registered in such names and in such authorized
denominations as the Depository for such Security in global form, pursuant to
instructions from its direct or indirect participants or otherwise, shall
instruct the Trustee.  The Trustee shall
deliver such Securities to the Persons in whose names such Securities are so
registered.

 

Whenever
any Securities are surrendered for exchange, the Company shall execute, and the
Trustee shall authenticate and deliver, the Securities which the Holder making
the exchange is entitled to receive.

 

All
Securities issued upon any registration of transfer or upon any 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.

 

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

 

Unless
otherwise provided as contemplated by Section 3.1, no service charge shall
be made for any registration of transfer or for any exchange of Securities, but
the Company may require payment of a sum sufficient to cover any tax or other
governmental charge that may be imposed in connection with any registration or
transfer or exchange of Securities, other than exchanges pursuant to Section 3.4
or 10.7 not involving any transfer.

 

Unless
otherwise provided as contemplated by Section 3.1, none of the Company,
the Registrar or the Trustee shall be required (i) to issue, register the
transfer of, or exchange any Securities for a period beginning at the opening
of 15 Business Days before any selection for redemption of Securities of like
tenor and of the series of which such Security is a part and 

 

26

 

ending
at the close of business on the earliest date on which the relevant notice of
redemption is deemed to have been given to all Holders of Securities of like
tenor and of such series to be redeemed; (ii) to register the transfer of
or exchange any Registered Security so selected for redemption, in whole or in
part, except the unredeemed portion of any Security being redeemed in part; or (iii) to
exchange any Bearer Security so selected for redemption, except that such a
Bearer Security may be exchanged for a Registered Security of that series and
like tenor; provided that such Registered Security shall be simultaneously
surrendered for redemption.

 

Section 3.6.  REPLACEMENT SECURITIES.  If a mutilated Security or a Security with a
mutilated coupon appertaining to it is surrendered to the Trustee, together
with, in proper cases, such security or indemnity as may be required by the
Company or the Trustee to save each of them harmless, the Company shall execute
and the Trustee shall authenticate and deliver a replacement Registered
Security, if such surrendered Security was a Registered Security, or a
replacement Bearer Security with coupons corresponding to the coupons
appertaining to the surrendered Security, if such surrendered Security was a
Bearer Security, of the same series and date of maturity.

 

If
there shall be delivered to the Company and the Trustee (i) evidence to
their satisfaction of the destruction, loss or theft of any Security or
Security with a destroyed, lost or stolen coupon and (ii) such security or
indemnity as may be required by them to save each of them and any agent of either
of them harmless, then, in the absence of notice to the Company or the Trustee
that such Security or coupon has been acquired by a bona fide purchaser, the
Company shall execute and the Trustee shall authenticate and deliver 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 Registered Security, if
such Holder’s claim appertains to a Registered Security, or a replacement
Bearer Security with coupons corresponding to the coupons appertaining to the
destroyed, lost or stolen Bearer Security or the Bearer Security to which such
lost, destroyed or stolen coupon appertains, if such Holder’s claim appertains
to a Bearer Security, of the same series and principal amount, containing
identical terms and provisions and bearing a number not contemporaneously
outstanding with coupons corresponding to the coupons, if any, appertaining to
the destroyed, lost or stolen Security.

 

In
case any such mutilated, destroyed, lost or stolen Security or coupon has
become or is about to become due and payable, the Company in its discretion
may, instead of issuing a new Security or coupon, pay such Security or coupon;
provided, however, that payment of principal of and any premium or interest on
Bearer Securities shall, except as otherwise provided in Section 9.2, be
payable only at an office or agency located outside the United States and,
unless otherwise specified as contemplated by Section 3.1, any interest on
Bearer Securities shall be payable only upon presentation and surrender of the
coupons appertaining thereto.

 

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

 

27

 

Every
new Security of any series with its coupons, if any, issued pursuant to this
Section in lieu of any destroyed, lost or stolen Security, or in exchange for a
Security to which a destroyed, lost or stolen coupon appertains, shall
constitute an original additional contractual obligation of the Company,
whether or not the destroyed, lost or stolen Security and its coupon, if any,
or the destroyed, lost or stolen coupon, shall be at any time enforceable by
anyone, and shall be entitled to all the benefits of this Indenture equally and
proportionately with any and all other Securities of that series and their
coupons, if any, duly issued hereunder.

 

The
provisions of this Section are exclusive and shall preclude (to the extent
lawful) all other rights and remedies with respect to the replacement or
payment of mutilated, destroyed, lost or stolen Securities or coupons.

 

Section
3.7.  PAYMENT OF INTEREST; INTEREST
RIGHTS PRESERVED.  (a) Unless
otherwise provided as contemplated by Section 3.1, interest, if any, on any
Registered Security which is payable, and is punctually paid or duly provided
for, on any Interest Payment Date shall be paid to the Person in whose name
that Security (or one or more Predecessor Securities) is registered at the
close of business on the Regular Record Date for such interest at the office or
agency maintained for such purpose pursuant to 9.2; provided, however, that at
the option of the Company, interest on any series of Registered Securities that
bear interest may be paid (i) by check mailed to the address of the Person
entitled thereto as it shall appear on the Register of Holders of Securities of
such series or (ii) by wire transfer to an account maintained by the Person
entitled thereto as specified in the Register of Holders of Securities of such
series.

 

Unless
otherwise provided as contemplated by Section 3.1, (A) (i) interest, if any, on
Bearer Securities shall be paid only against presentation and surrender of the
coupons for such interest installments as are evidenced thereby as they mature
and (ii) principal, original issue discount, if any, and premium, if any, on
Bearer Securities shall be paid only against presentation and surrender of such
Securities; in either case at the office of a Paying Agent located outside the
United States, unless the Company shall have otherwise instructed the Trustee
in writing provided that any such instruction for payment in the United States
does not cause any Bearer Security to be treated as a “registration-required
obligation” under United States laws and regulations; (B) the interest, if any,
on any temporary Bearer Security shall be paid, as to any installment of
interest evidenced by a coupon attached thereto only upon presentation and
surrender of such coupon as provided in clause (A) above and, as to other
installments of interest, only upon presentation of such Security for notation
thereon of the payment of such interest; and (C) if at the time a payment of
principal of premium, if any, or interest, if any, on a Bearer Security or coupon
shall become due, the payment of the full amount so payable at the office or
offices of all the Paying Agents outside the United States is illegal or
effectively precluded because of the imposition of exchange controls or other
similar restrictions on the payment of such amount in Dollars, then the Company
may instruct the Trustee to make such payment at a Paying Agent located in the
United States, provided that provision for such payment in the United States
would not cause such Bearer Security to be treated as a “registration-required
obligation” under United States laws and regulations.

 

(a)           Unless otherwise provided as contemplated by Section 3.1,
any interest on any Registered Security of any series which is payable, but is
not punctually paid or duly provided for, on any interest payment date (herein
called “Defaulted Interest”) shall forthwith cease to be 

 

28

 

payable to the Holder on the relevant Regular Record
Date by virtue of having been such Holder, and such Defaulted Interest may be
paid by the Company, at its election in each case, as provided in clause (1) or
(2) below:

 

(1)           The Company may elect to make payment of any Defaulted
Interest to the Persons in whose names such Registered Securities of such
series (or their respective Predecessor Securities) are registered at the close
of business on a Special Record Date for the payment of such Defaulted
Interest, which shall be fixed in the following manner.  The Company shall deposit with the Trustee an
amount of money equal to the aggregate amount proposed to be paid in respect of
such Defaulted Interest or shall make arrangements satisfactory to the trustee
for such deposit prior to the date of the proposed payment, such money when
deposited to be held in trust for the benefit of the Persons entitled to such
Defaulted Interest as in this clause (1) provided.  Thereupon the Trustee shall fix a Special
Record Date for the payment of such Defaulted Interest which shall be not more
than 15 days and not less than 10 days prior to the date of the proposed
payment and not less than 10 days after the receipt by the Trustee of the
notice of the proposed payment.  The
Trustee shall promptly notify the Company of such Special Record Date and, in
the name and at the expense of the Company, shall cause notice of the proposed
payment of such Defaulted Interest and the Special Record Date therefor to be
mailed, first-class postage prepaid, to each Holder of such Registered
Securities of such series at his address as it appears in the Register, not
less than 10 days prior to such Special Record Date.  Notice of the proposed payment of such
Defaulted Interest and the Special Record Date therefor having been so mailed,
such Defaulted Interest shall be paid to the Persons in whose names such
Registered Securities of such series (or their respective Predecessor
Securities) are registered at the close of business on such Special Record Date
and shall no longer be payable pursuant to the following clause (2).

 

(2)           The Company may make payment of any Defaulted Interest to
the Persons in whose names such Registered Securities of such series (or their
respective Predecessor Securities) are registered at the close of business on a
specified date in any other lawful manner not inconsistent with the
requirements of any securities exchange on which such Registered Securities may
be listed, and upon such notice as may be required by such exchange, if, after
notice given by the Company to the Trustee of the proposed payment pursuant to
this clause (2), such manner of payment shall be deemed practicable by the
Trustee.

 

(b)           Subject to the foregoing provisions of this Section and
Section 3.5, each Security delivered under this Indenture upon registration of
transfer of or in exchange for or in lieu of any other Security shall carry the
rights to interest accrued and unpaid, and to accrue, which were carried by
such other Security.

 

Section
3.8.  PERSONS DEEMED OWNERS.  Prior to due presentment of any Registered
Security for registration of transfer, the Company, the Trustee and any agent
of the Company or the Trustee may treat the Person in whose name such
Registered Security is registered as the owner of such Registered Security for
the purpose of receiving payment of principal of, premium, if any, and (subject
to Section 3.7) interest and any other payments on such Registered Security and
for all other purposes whatsoever, whether or not such Registered Security
shall be overdue, and neither the Company, the Trustee nor any agent of the
Company or the Trustee shall be affected by notice to the contrary.

 

29

 

The
Company, the Trustee and any agent of the Company or the Trustee may treat the
bearer of any Bearer Security and the bearer of any coupon as the absolute
owner of such Bearer Security or coupon for the purpose of receiving payment
thereof or on account thereof and for all other purposes whatsoever, whether or
not such Bearer Security or coupon be overdue, and neither the Company, the
Trustee nor any agent of the Company or the Trustee shall be affected by notice
to the contrary.

 

None
of the Company, the Trustee or any agent of the Company or the Trustee shall
have any responsibility or liability for any aspect of the records relating to
or payments made on account of beneficial ownership interests of a Security in
global form, or for maintaining, supervising or reviewing any records relating
to such beneficial ownership interests. 
Notwithstanding the foregoing, with respect to any Security in global
form, nothing herein shall prevent the Company or 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 Depository (or its nominee), as a
Holder, with respect to such Security in global form or impair, as between such
Depository and owners of beneficial interests in such Security in global form,
the operation of customary practices governing the exercise of the rights of
such Depository (or its nominee) as Holder of such Security in global form.

 

Section
3.9.  CANCELLATION.  The Company at any time may deliver
Securities and coupons to the Trustee for cancellation.  The Registrar and any Paying Agent shall
forward to the Trustee any Securities and coupons surrendered to them for
replacement, for registration of transfer, or for exchange or payment.  The Trustee shall cancel all Securities and
coupons surrendered for replacement, for registration of transfer, or for
exchange, payment, redemption or cancellation and may destroy cancelled
Securities and coupons and, if so destroyed, shall issue a certificate of
destruction to the Company.  The Company
may not issue new Securities to replace Securities that it has paid or
delivered to the Trustee for cancellation.

 

Section
3.10.  COMPUTATION OF INTEREST.  Except as otherwise specified as contemplated
by Section 3.1, interest on the Securities of each series shall be computed on
the basis of a 360-day year of twelve 30-day months.

 

Section
3.11.  CURRENCY AND MANNER OF PAYMENT IN
RESPECT OF SECURITIES.  (a) Unless
otherwise specified with respect to any Securities pursuant to Section 3.1,
with respect to Registered Securities of any series and with respect to Bearer
Securities of any series payment of the principal of, premium, if any,
interest, if any, and other amounts, if any, on any Registered or Bearer
Security of such series will be made in the currency or currencies or currency
unit or units in which such Registered Security or Bearer Security, as the case
may be, is payable.  The provisions of
this Section 3.11, including without limitation any defined terms specified
herein, may be modified or superseded in whole or in part pursuant to Section
3.1 with respect to any Securities.

 

(b)           If expressly specified pursuant to Section 3.1, with
respect to Registered Securities of any series, Holders shall have the option,
subject to paragraphs (d) and (e) below, to receive payments of principal of,
premium, if any, or interest, if any, on such Registered Securities in any of
the currencies or currency units which may be designated for such election by
delivering to the Trustee (or the applicable Paying Agent) a written election
with signature 

 

30

 

guarantees and in the applicable form established
pursuant to Section 3.1, not later than the close of business on the Election
Date immediately preceding the applicable payment date.  If a Holder so elects to receive such payments
in any such currency or currency unit, such election will remain in effect for
such Holder or any transferee of such Holder until changed by such Holder or
such transferee by written notice to the Trustee (or any applicable Paying
Agent) for such series of Registered Securities (but any such change must be
made not later than the close of business on the Election Date immediately
preceding the next payment date to be effective for the payment to be made on
such payment date, and no such change of election may be made with respect to
payments to be made on any Registered Security of such series with respect to
which an Event of Default has occurred or with respect to which the Company has
deposited funds pursuant to Article IV or with respect to which a notice of
redemption has been given by or on behalf of the Company).  Any Holder of any such Registered Security
who shall not have delivered any such election to the Trustee (or any
applicable Paying Agent) not later than the close of business on the applicable
Election Date will be paid the amount due on the applicable payment date in the
relevant currency or currency unit as provided in Section 3.11(a).  The Trustee (or the applicable Paying Agent)
shall notify the Company and the Exchange Rate Agent as soon as practicable
after the Election Date of the aggregate principal amount of Registered
Securities for which Holders have made such written election.

 

(c)           If the election referred to in paragraph (b) above has
been provided for with respect to any Registered Securities of a series
pursuant to Section 3.1, then, unless otherwise specified pursuant to Section
3.1 with respect to any such Registered Securities, not later than the fourth
Business Day after the Election Date for each payment date for such Registered
Securities, the Exchange Rate Agent will deliver to the Company a written
notice specifying, in the currency or currencies or currency unit or units in
which Registered Securities of such series are payable, the respective
aggregate amounts of principal of, premium, if any, and interest, if any, on
such Registered Securities to be paid on such payment date, and specifying the
amounts in such currency or currencies or currency unit or units so payable in
respect of such Registered Securities as to which the Holders of Registered
Securities denominated in any currency or currencies or currency unit or units
shall have elected to be paid in another currency or currency unit as provided
in paragraph (b) above.  If the election
referred to in paragraph (b) above has been provided for with respect to any
Registered Securities of a series pursuant to Section 3.1, and if at least one
Holder has made such election, then, unless otherwise specified pursuant to
Section 3.1, on the second Business Day preceding such payment date the Company
will deliver to the Trustee (or the applicable Paying Agent) an Exchange Rate
Officers’ Certificate in respect of the Dollar, Foreign Currency or Currencies
or other currency unit payments to be made on such payment date.  Unless otherwise specified pursuant to Section
3.1, the Dollar, Foreign Currency or Currencies or other currency unit amount
receivable by Holders of Registered Securities who have elected payment in a
currency or currency unit as provided in paragraph (b) above shall be
determined by the Company on the basis of the applicable Market Exchange Rate
in effect on the second Business Day (the “Valuation Date”) immediately
preceding each payment date, and such determination shall be conclusive and
binding for all purposes, absent manifest error.

 

(d)           If a Conversion Event occurs with respect to a Foreign
Currency or any other currency unit in which any of the Securities are
denominated or payable otherwise than pursuant to an election provided for
pursuant to paragraph (b) above, then, unless otherwise specified 

 

31

 

pursuant to Section 3.1, with respect to each date
for the payment of principal of, premium, if any, and interest, if any, on the
applicable Securities denominated or payable in such Foreign Currency or such
other currency unit occurring after the last date on which such Foreign
Currency or such other currency unit was used (the “Conversion Date”), the
Dollar shall be the currency of payment for use on each such payment date (but
such Foreign Currency or such other currency unit that was previously the
currency of payment shall, at the Company’s election, resume being the currency
of payment on the first such payment date preceded by 15 Business Days during
which the circumstances which gave rise to the Dollar becoming such currency of
payment no longer prevail).  Unless
otherwise specified pursuant to Section 3.1, the Dollar amount to be paid by
the Company to the Trustee or any applicable Paying Agent and by the Trustee or
any applicable Paying Agent to the Holders of such Securities with respect to
such payment date shall be, in the case of a Foreign Currency other than a
currency unit, the Dollar Equivalent of the Foreign Currency or, in the case of
a Foreign Currency that is a currency unit, the Dollar Equivalent of the
Currency Unit, in each case as determined by the Exchange Rate Agent in the
manner provided in paragraph (f) or (g) below.

 

(e)           Unless otherwise specified pursuant to Section 3.1, if the
Holder of a Registered Security denominated in any currency or currency unit
shall have elected to be paid in another currency or currency unit or in other
currencies as provided in paragraph (b) above, and (i) a Conversion Event
occurs with respect to any such elected currency or currency unit, such Holder
shall receive payment in the currency or currency unit in which payment would
have been made in the absence of such election and (ii) if a Conversion Event
occurs with respect to the currency or currency unit in which payment would
have been made in the absence of such election, such Holder shall receive
payment in Dollars as provided in paragraph (d) of this Section 3.11 (but,
subject to any contravening valid election pursuant to paragraph (b) above, the
elected payment currency or currency unit, in the case of the circumstances
described in clause (i) above, or the payment currency or currency unit in the
absence of such election, in the case of the circumstances described in clause
(ii) above, shall, at the Company’s election, resume being the currency or
currency unit of payment with respect to Holders who have so elected, but only
with respect to payments on payment dates preceded by 15 Business Days during
which the circumstances which gave rise to such currency or currency unit, in
the case of the circumstances described in clause (i) above, or the Dollar, in
the case of the circumstances described in clause (ii) above, becoming the
currency or currency unit, as applicable, of payment, no longer prevail).

 

(f)            The “Dollar Equivalent of the Foreign Currency” shall be
determined by the Exchange Rate Agent and shall be obtained for each subsequent
payment date by the Exchange Rate Agent by converting the specified Foreign
Currency into Dollars at the Market Exchange Rate on the Conversion Date.

 

(g)           The “Dollar Equivalent of the Currency Unit” shall be
determined by the Exchange Rate Agent and, subject to the provisions of
paragraph (h) below, shall be the sum of each amount obtained by converting the
Specified Amount of each Component Currency (as each such term is defined in
paragraph (h) below) into Dollars at the Market Exchange Rate for such
Component Currency on the Valuation Date with respect to each payment.

 

(h)           For purposes of this Section 3.11, the following terms
shall have the following meanings:

 

32

 

A
“Component Currency” shall mean any currency which, on the Conversion Date, was
a component currency of the relevant currency unit.

 

“Conversion
Event” shall mean the cessation of use of (i) a Foreign Currency both by the
government of the country which issued such currency and for the settlement of
transactions by a central bank or other public institutions of or within the
international banking community, or (ii) any currency unit for the purposes for
which it was established.

 

“Election
Date” shall mean the Regular Record Date for the applicable series of
Registered Securities as specified pursuant to Section 3.1 by which the written
election referred to in Section 3.11(b) may be made.

 

“Exchange
Rate Agent”, when used with respect to Securities of or within any series,
shall mean, unless otherwise specified with respect to any Securities pursuant
to Section 3.1, a New York Clearing House bank designated pursuant to Section
3.1 or Section 3.12.

 

“Exchange
Rate Officer’s Certificate” shall mean a certificate setting forth (i) the
applicable Market Exchange Rate or the applicable bid quotation and (ii) the
Dollar or Foreign Currency amounts of principal (and premium, if any) and
interest, if any (on an aggregate basis and on the basis of a Security having
the lowest denomination principal amount in the relevant currency or currency
unit), payable with respect to a Security of any series on the basis of such
Market Exchange Rate or the applicable bid quotation, signed by the President,
the Chief Executive Officer, the Chief Financial Officer, any Vice President,
the Treasurer, or any Assistant Treasurer of the Company.

 

“Market
Exchange Rate” shall mean, unless otherwise specified with respect to any
Securities pursuant to Section 3.1, as of any date of determination, (i) for
any conversion involving a currency unit on the one hand and Dollars or any
Foreign Currency on the other, the exchange rate between the relevant currency
unit and Dollars or such Foreign Currency calculated by the method specified
pursuant to Section 3.1 for the Securities of the relevant series, (ii) for any
conversion of Dollars into any Foreign Currency, the noon buying rate for such
Foreign Currency for cable transfers quoted in New York City as certified for
customs purposes by the Federal Reserve Bank of New York and (iii) for any
conversion of one Foreign Currency into Dollars or another Foreign Currency,
the spot rate at noon local time in the relevant market at which, in accordance
with normal banking procedures, the Dollars or Foreign Currency into which
conversion is being made could be purchased with the Foreign Currency from
which conversion is being made from major banks located in New York City,
London or any other principal market for Dollars or such purchased Foreign
Currency, in each case determined by the Exchange Rate Agent.  Unless otherwise specified with respect to
any Securities pursuant to Section 3.1, in the event of the unavailability of
any of the exchange rates provided for in the foregoing clauses (i), (ii) and
(iii), the Exchange Rate Agent shall use, in its sole discretion and without
liability on its part, such quotation of the Federal Reserve Bank of New York
as of the most recent available date, or quotations from one or more major
banks in New York City, London or other principal market for such currency or
currency unit in question (which may include any such bank acting as Trustee
under this Indenture), or such other quotations as the Exchange Rate Agent
shall deem appropriate.  Unless otherwise
specified by the Exchange Rate Agent, if there is more than one market for
dealing in any currency or 

 

33

 

currency
unit by reason of foreign exchange regulations or otherwise, the market to be
used in respect of such currency or currency unit shall be that upon which a
nonresident issuer of securities designated in such currency or currency unit
would purchase such currency or currency unit in order to make payments in
respect of such securities.

 

A
“Specified Amount” of a Component Currency shall mean the number of units of
such Component Currency or fractions thereof which such Component Currency
represented in the relevant currency unit on the Conversion Date.  If after the Conversion Date the official
unit of any Component Currency is altered by way of combination or subdivision,
the Specified Amount of such Component Currency shall be divided or multiplied
in the same proportion.  If after the
Conversion Date two or more Component Currencies are consolidated into a single
currency, the respective Specified Amounts of such Component Currencies shall
be replaced by an amount in such single currency equal to the sum of the
respective Specified Amounts of such consolidated Component Currencies
expressed in such single currency, and such amount shall thereafter be a
Specified Amount and such single currency shall thereafter be a Component
Currency.  If after the Conversion Date
any Component Currency shall be divided into two or more currencies, the
Specified Amount of such Component Currency shall be replaced by specified
amounts of such two or more currencies, the sum of which, at the Market
Exchange Rate of such two or more currencies on the date of such replacement,
shall be equal to the Specified Amount of such former Component Currency and
such amounts shall thereafter be Specified Amounts and such currencies shall
thereafter be Component Currencies.  If,
after the Conversion Date of the relevant currency unit, a Conversion Event
(other than any event referred to above in this definition of “Specified Amount”)
occurs with respect to any Component Currency of such currency unit and is
continuing on the applicable Valuation Date, the Specified Amount of such
Component Currency shall, for purposes of calculating the Dollar Equivalent of
the Currency Unit, be converted into Dollars at the Market Exchange Rate in
effect on the Conversion Date of such Component Currency.

 

All
decisions and determinations of the Exchange Rate Agent regarding the Dollar
Equivalent of the Foreign Currency, the Dollar Equivalent of the Currency Unit,
the Market Exchange Rate and changes in the Specified Amounts as specified
above shall be in its sole discretion and shall, in the absence of manifest
error, be conclusive for all purposes and irrevocably binding upon the Company,
the Trustee (and any applicable Paying Agent) and all Holders of Securities
denominated or payable in the relevant currency, currencies or currency units.  The Exchange Rate Agent shall promptly give
written notice to the Company and the Trustee of any such decision or
determination.

 

In
the event that the Company determines in good faith that a Conversion Event has
occurred with respect to a Foreign Currency, the Company will promptly give
written notice thereof to the Trustee (or any applicable Paying Agent) and to
the Exchange Rate Agent (and the Trustee (or such Paying Agent) will promptly
thereafter give notice in the manner provided in Section 1.6 to the affected
Holders) specifying the Conversion Date. 
In the event the Company so determines that a Conversion Event has
occurred with respect to any currency unit in which Securities are denominated
or payable, the Company will promptly give written notice thereof to the
Trustee (or any applicable Paying Agent) and to the Exchange Rate Agent (and
the Trustee (or such Paying Agent) will promptly thereafter give notice in the
manner provided in Section 1.6 to the affected Holders) specifying the
Conversion Date and the Specified Amount of each 

 

34

 

Component
Currency on the Conversion Date.  In the
event the Company determines in good faith that any subsequent change in any
Component Currency as set forth in the definition of Specified Amount above has
occurred, the Company will similarly give written notice to the Trustee (or any
applicable Paying Agent) and to the Exchange Rate Agent.

 

The
Trustee of the appropriate series of Securities shall be fully justified and
protected in relying and acting upon information received by it from the
Company and the Exchange Rate Agent and shall not otherwise have any duty or
obligation to determine the accuracy or validity of such information
independent of the Company or the Exchange Rate Agent.

 

Section
3.12.  APPOINTMENT AND RESIGNATION OF
EXCHANGE RATE AGENT.  (a) Unless
otherwise specified pursuant to Section 3.1, if and so long as the Securities
of any series (i) are denominated in a currency or currency unit other than Dollars
or (ii) may be payable in a currency or currency unit other than Dollars, or so
long as it is required under any other provision of this Indenture, then the
Company will maintain with respect to each such series of Securities, or as so
required, at least one Exchange Rate Agent. 
The Company will cause the Exchange Rate Agent to make the necessary
foreign exchange determinations at the time and in the manner specified
pursuant to Section 3.11 for the purpose of determining the applicable rate of
exchange and, if applicable, for the purpose of converting the issued currency
or currencies or currency unit or units into the applicable payment currency or
currency unit for the payment of principal, premium, if any, and interest, if
any, pursuant to Section 3.11.

 

(b)           No resignation of the Exchange Rate Agent and no
appointment of a successor Exchange Rate Agent pursuant to this Section shall
become effective until the acceptance of appointment by the successor Exchange
Rate Agent as evidenced by a written instrument delivered to the Company and
the Trustee of the appropriate series of Securities accepting such appointment
executed by the successor Exchange Rate Agent.

 

(c)           If the Exchange Rate Agent shall resign, be removed or
become incapable of acting, or if a vacancy shall occur in the office of the
Exchange Rate Agent for any cause, with respect to the Securities of one or
more series, the Company shall promptly appoint a successor Exchange Rate Agent
or Exchange Rate Agents with respect to the Securities of that or those series
(it being understood that any such successor Exchange Rate Agent may be
appointed with respect to the Securities of one or more or all of such series
and that, unless otherwise specified pursuant to Section 3.1, at any time there
shall only be one Exchange Rate Agent with respect to the Securities of any
particular series that are originally issued by the Company on the same date
and that are initially denominated and/or payable in the same currency or
currencies or currency unit or units).

 

Section
3.13.  WIRE TRANSFERS.  Notwithstanding any other provisions to the
contrary in this Indenture, the Company may make any payment of monies required
to be deposited with the Trustee on account of principal of, or premium, if
any, or interest on, the Securities (whether pursuant to optional or mandatory
redemption payments, interest payment or otherwise) by wire transfer and
immediately available funds to an account designated by the Trustee on or
before the date and time such monies are to be paid to the Holders of the
Security in accordance with the terms hereof.

 

35

 

Section
3.14.  CUSIP NUMBERS.  The Company in issuing Securities may use “CUSIP”
numbers (if then generally in use), and if so, the Trustee may use the CUSIP
numbers in notices of redemption or exchange as a convenience to Holders;
provided, however, that any such notice may state that no representation is
made as to the correctness or accuracy of the CUSIP number printed in the notice
or on the Securities, that reliance may be placed only on the other
identification numbers printed on the Securities, and any such redemption or
exchange shall not be affected by any defect or omission of such CUSIP numbers.  The Company will promptly notify the Trustee
of any change in CUSIP numbers known to an Officer of the Company.

 

ARTICLE IV

 

SATISFACTION,
DISCHARGE AND DEFEASANCE

 

Section
4.1.  TERMINATION OF COMPANY’S
OBLIGATIONS UNDER THE INDENTURE.  (a) This Indenture shall upon Company Request
cease to be of further effect with respect to Securities of or within any
series and any coupons appertaining thereto (except as to any surviving rights
of registration of transfer or exchange of such Securities and replacement of
such Securities which may have been lost, stolen or mutilated as herein
expressly provided for) and the Trustee, at the expense of the Company, shall
execute proper instruments acknowledging satisfaction and discharge of this
Indenture with respect to such Securities and any coupons appertaining thereto
when

 

(1)           either

 

(A)          all such Securities previously
authenticated and delivered and all coupons appertaining thereto (other than
(i) such coupons appertaining to Bearer Securities surrendered in exchange for
Registered Securities and maturing after such exchange, surrender of which is
not required or has been waived as provided in Section 3.5, (ii) such
Securities and coupons which have been destroyed, lost or stolen and which have
been replaced or paid as provided in Section 3.6, (iii) such coupons
appertaining to Bearer Securities called for redemption and maturing after the
relevant Redemption Date, surrender of which has been waived as provided in
Section 10.6 and (iv) such Securities and coupons for whose payment money has theretofore
been deposited in trust or segregated and held in trust by the Company and
thereafter repaid to the Company or discharged from such trust, as provided in
Section 9.3) have been delivered to the Trustee for cancellation; or

 

(B)           all Securities of such series and, in
the case of (i) or (ii) below, any coupons appertaining thereto not theretofore
delivered to the Trustee for cancellation

 

(i)            have become due and payable, or

 

(ii)           will become due and payable at their
Stated Maturity within one year, or

 

(iii)          if redeemable at the option of the
Company, are to be called for redemption within one year under arrangements
satisfactory to the Trustee for giving of notice of redemption, and the
Company, in the case of (i), (ii) or (iii) above, has irrevocably deposited or
caused to be deposited with the Trustee as trust funds in trust for the purpose
an amount in the currency or currencies or currency unit or units in which the
Securities of such series are 

 

36

 

payable, sufficient to
pay and discharge the entire indebtedness on such Securities and such coupons
not theretofore delivered to the Trustee for cancellation, for principal,
premium, if any, and interest, with respect thereto, to the date of such deposit
(in the case of Securities which have become due and payable) or to the Stated
Maturity or Redemption Date, as the case may be;

 

(2)           the Company has paid or caused to be paid all other sums
then payable hereunder by the Company; and

 

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

 

Notwithstanding
the satisfaction and discharge of this Indenture, the obligation of the Company
to the Trustee and any predecessor Trustee under Section 6.8 and the
obligations of the Company to any Authenticating Agent under Section 6.13 shall
survive until the Securities of the discharged series have been paid in full,
and, if money shall have been deposited with the Trustee pursuant to subclause
(B) of clause (1) of this Section, the obligations of the Trustee under Section
4.2 and the last paragraph of Section 9.3 shall survive in accordance with the
terms of such Sections.

 

Section
4.2.  APPLICATION OF TRUST FUNDS.  Subject to the provisions of the last
paragraph of Section 9.3, all money deposited with the Trustee pursuant to
Section 4.1 shall be held in trust and applied by it, in accordance with the
provisions of the Securities, the coupons 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 any interest for whose payment
such money has been deposited with or received by the Trustee, but such money
need not be segregated from other funds except to the extent required by law.

 

Section
4.3.  APPLICABILITY OF DEFEASANCE
PROVISIONS; COMPANY’S OPTION TO EFFECT DEFEASANCE OR COVENANT DEFEASANCE.  Unless pursuant to Section 3.1 provision is
made to exclude with respect to the Securities of a particular series either or
both of (i) defeasance of the Securities of or within such series under Section
4.4 or (ii) covenant defeasance of the Securities of or within such series
under Section 4.5, then, in addition to the rights of the Company pursuant to
Section 4.1 above, the provisions of such Section or Sections, as the case may
be, together with the provisions of Sections 4.6 through 4.9 inclusive, with
such modifications thereto as may be specified pursuant to Section 3.1 with
respect to any Securities of such series, shall be applicable to such
Securities and any coupons appertaining thereto, and the Company may at its
option, at any time, with respect to such Securities and any coupons
appertaining thereto, elect to have Section 4.4 (if applicable) or Section 4.5
(if applicable) be applied to such Outstanding Securities and any coupons
appertaining thereto upon compliance with the conditions set forth below in
this Article.

 

Section
4.4.  DEFEASANCE AND DISCHARGE.  Upon the Company’s exercise of the option
specified in Section 4.3 applicable to this Section with respect to the
Securities of or within a series, the Company shall be deemed to have been
discharged from its obligations with respect to such Securities and any coupons
appertaining thereto on the date the conditions set 

 

37

 

forth
in Section 4.6 are satisfied (hereinafter, a “defeasance”).  For this purpose, such defeasance means that
the Company shall be deemed to have paid and discharged the entire indebtedness
represented by such Securities and any coupons appertaining thereto, which
Securities and coupons appertaining thereto shall thereafter be deemed to be “Outstanding”
only for the purposes of Section 4.7 and the other Sections of this Indenture
referred to in clause (ii) of this Section, and to have satisfied all its other
obligations under such Securities and any coupons appertaining thereto and this
Indenture insofar as such Securities and any coupons appertaining thereto are
concerned (and the Trustee, at the expense of the Company, shall on Company
Order execute proper instruments acknowledging the same), except the following
which shall survive until otherwise terminated or discharged hereunder:  (i) the rights of Holders of such Securities
and any coupons appertaining thereto to receive, solely from the trust funds
described in Section 4.6(a) and as more fully set forth in such Section,
payments in respect of the principal of, premium, if any, and interest, if any,
on such Securities or any coupons appertaining thereto when such payments are
due; (ii) the Company’s obligations with respect to such Securities under
Sections 3.5, 3.6, 9.2 and 9.3 and with respect to the payment of additional
amounts, if any, payable with respect to such Securities as specified pursuant
to Section 3.1(b) (18); (iii) the rights, powers, trusts, duties, immunities
and indemnities of the Trustee hereunder and (iv) this Article IV.  Subject to compliance with this Article IV,
the Company may exercise its option under this Section notwithstanding the prior
exercise of its option under Section 4.5 with respect to such Securities and
any coupons appertaining thereto. 
Following a defeasance, payment of such Securities may not be
accelerated because of an Event of Default.

 

Section
4.5.  COVENANT DEFEASANCE.  Upon the Company’s exercise of the option
specified in Section 4.3 applicable to this Section with respect to any
Securities of or within a series, the Company shall be released from its
obligations under Sections 7.1, 9.4 and 9.5, and, if specified pursuant to
Section 3.1, its obligations under any other covenant, with respect to such
Securities and any coupons appertaining thereto on and after the date the
conditions set forth in Section 4.6 are satisfied (hereinafter, “covenant
defeasance”), and such Securities and any coupons appertaining thereto shall
thereafter be deemed to be not “Outstanding” for the purposes of any direction,
waiver, consent or declaration or Act of Holders (and the consequences of any
thereof) in connection with Sections 7.1, 9.4 and 9.5, or such other specified
covenant, and the operation of Sections 5.1(3) and 5.1(6), but shall continue
to be deemed “Outstanding” for all other purposes hereunder.  For this purpose, such covenant defeasance
means that, with respect to such Securities and any coupons appertaining
thereto, 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 Section or
such other covenant, whether directly or indirectly, by reason of any reference
elsewhere herein to any such Section or such other covenant or by reason of
reference in any such Section or such other covenant to any other provision
herein or in any other document and such omission to comply shall not
constitute a Default or an Event of Default under Section 5.1(3) or 5.1(6) or
otherwise, as the case may be, but, except as specified above, the remainder of
this Indenture and such Securities and any coupons appertaining thereto shall
be unaffected thereby.

 

Section
4.6.  CONDITIONS TO DEFEASANCE OR
COVENANT DEFEASANCE.  The
following shall be the conditions to application of Section 4.4 or Section 4.5
to any Securities of or within a series and any coupons appertaining thereto:

 

38

 

(a)           The Company shall have deposited or caused to be deposited
irrevocably with the Trustee (or another trustee satisfying the requirements of
Section 6.11 who shall agree to comply with, and shall be entitled to the
benefits of, the provisions of Sections 4.3 through 4.9 inclusive and the last
paragraph of Section 9.3 applicable to the Trustee, for purposes of such
Sections also a “Trustee”) as trust funds in trust for the purpose of making
the payments referred to in clauses (x) and (y) of this Section 4.6(a), with
instructions to the Trustee as to the application thereof, (A) money in an
amount (in such currency, currencies or currency unit in which such Securities
and any coupons appertaining thereto are then specified as payable at
Maturity), or (B) Government Obligations which through the payment of interest
and principal in respect thereof in accordance with their terms will provide,
not later than one day before the due date of any payment referred to in clause
(x) or (y) of this Section 4.6(a), money in an amount or (C) a combination
thereof in an amount, sufficient, in the determination of a nationally
recognized independent accounting or investment banking firm expressed in a
written certification thereof delivered to the Trustee in the case of clauses
(B) or (C), to pay and discharge, and which shall be applied by the Trustee to
pay and discharge, (x) the principal of, premium, if any, and interest, if any,
on such Securities and any coupons appertaining thereto on the Maturity of such
principal or installment of principal or interest and (y) any mandatory sinking
fund payments applicable to such Securities on the day on which such payments
are due and payable in accordance with the terms of this Indenture and such
Securities and any coupons appertaining thereto.

 

Before
such a deposit the Company may make arrangements satisfactory to the Trustee
for the redemption of Securities at a future date or dates in accordance with
Article X which shall be given effect in applying the foregoing.

 

(b)           The deposit pursuant to subsection (a) above shall not
result in or constitute a Default or Event of Default under this Indenture or
result in a breach or violation of, or constitute a default under, any other
material agreement or instrument to which the Company is a party or by which it
is bound.

 

(c)           In the case of an election under Section 4.4, no Default
or Event of Default under Section 5.1(4) or 5.1(5) with respect to such
Securities and any coupons appertaining thereto shall have occurred and be
continuing during the period commencing on the date of such deposit and ending
on the 91st day after such date (it being understood that this condition shall
not be deemed satisfied until the expiration of such period).

 

(d)           In the case of an election under Section 4.4, the Company
shall have delivered to the Trustee an Officers’ Certificate and an Opinion of
Counsel to the effect that (i) the Company has received from, or there has been
published by, the Internal Revenue Service a ruling, or (ii) since the date of
execution of this Indenture, there has been a change in the applicable Federal
income tax law, in either case to the effect that, and based thereon such
opinion shall confirm that, the Holders of such Securities and any coupons
appertaining thereto will not recognize income, gain or loss for Federal income
tax purposes as a result of such defeasance and will be subject to Federal
income tax on the same amounts and in the same manner and at the same times, as
would have been the case if such deposit, defeasance and discharge had not
occurred.

 

(e)           In the case of an election under Section 4.5, the Company
shall have delivered to the Trustee an Opinion of Counsel to the effect that
the Holders of such Securities and any 

 

39

 

coupons appertaining thereto will not recognize
income, gain or loss for Federal income tax purposes as a result of such
covenant defeasance and will be subject to Federal income tax on the same
amounts, in the same manner and at the same times as would have been the case
if such covenant defeasance had not occurred.

 

(f)            The Company shall have delivered to the Trustee an
Officers’ Certificate and an Opinion of Counsel, each stating that all
conditions precedent to the defeasance under Section 4.4 or the covenant
defeasance under Section 4.5 (as the case may be) have been complied with and
an Opinion of Counsel to the effect that either (i) as a result of a deposit
pursuant to subsection (a) above and the related exercise of the Company’s option
under Section 4.4 or Section 4.5 (as the case may be), registration is not
required under the Investment Company Act of 1940, as amended, by the Company,
with respect to the trust funds representing such deposit or by the trustee for
such trust funds or (ii) all necessary registrations under said act have been
effected.

 

(g)           Such defeasance or covenant defeasance shall be effected
in compliance with any additional or substitute terms, conditions or
limitations which may be imposed on the Company in connection therewith as
contemplated by Section 3.1.

 

Section
4.7.  DEPOSITED MONEY AND GOVERNMENT
OBLIGATIONS TO BE HELD IN TRUST.  Subject to the provisions of the last
paragraph of Section 9.3, all money and Government Obligations (or other
property as may be provided pursuant to Section 3.1) (including the proceeds
thereof) deposited with the Trustee pursuant to Section 4.6 in respect of any
Securities of any series and any coupons appertaining thereto shall be held in
trust and applied by the Trustee, in accordance with the provisions of such
Securities and any coupons appertaining thereto 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 Holders of
such Securities and any coupons appertaining thereto of all sums due and to
become due thereon in respect of principal, premium, if any, and interest, if
any, but such money need not be segregated from other funds except to the
extent required by law.

 

If
specified with respect to any Security pursuant to Section 3.1, if, after a
deposit referred to in Section 4.6(a) has been made, (i) the Holder of a
Security in respect of which such deposit was made is entitled to, and does,
elect pursuant to Section 3.11(b) or the terms of such Security to receive
payment in a currency or currency unit other than that in which the deposit
pursuant to Section 4.6(a) has been made in respect of such Security, or (ii) a
Conversion Event occurs as contemplated in Section 3.11(d) or 3.11(e) or by the
terms of any Security in respect of which the deposit pursuant to Section
4.6(a) has been made, the indebtedness represented by such Security and any
coupons appertaining thereto shall be deemed to have been, and will be, fully
discharged and satisfied through the payment of the principal of, premium, if
any, and interest, if any, on such Security as the same becomes due out of the
proceeds yielded by converting (from time to time as specified below in the
case of any such election) the amount or other property deposited in respect of
such Security into the currency or currency unit in which such Security becomes
payable as a result of such election or Conversion Event based on the
applicable Market Exchange Rate for such currency or currency unit in effect on
the second Business Day prior to each payment date, except, with respect to a
Conversion Event, for such currency or currency unit in effect (as nearly as
feasible) at the time of the Conversion Event.

 

40

 

Section
4.8.  REPAYMENT TO COMPANY.  The Trustee (and any Paying Agent) shall
promptly pay to the Company upon Company Request any excess money or securities
held by them at any time.

 

Section
4.9.  INDEMNITY FOR GOVERNMENT
OBLIGATIONS.  The Company shall pay, and
shall indemnify the Trustee against, any tax, fee or other charge imposed on or
assessed against Government Obligations deposited pursuant to this Article or
the principal and interest received on such Government Obligations, other than
any such tax, fee or other charge that by law is for the account of the Holders
of the Securities subject to defeasance or covenant defeasance pursuant to this
Article.

 

ARTICLE V

 

DEFAULTS
AND REMEDIES

 

Section
5.1.  EVENTS OF DEFAULT.  An “Event of Default” occurs with respect to
the Securities of any series, except to the extent such event is specifically
deleted or modified by the applicable Board Resolutions or supplemental
indenture as contemplated by Section 3.1 for the Securities of such series, if
(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):

 

(1)           the Company defaults in the payment of interest on any
Security of that series or any coupon appertaining thereto or any additional
amount payable with respect to any Security of that series as specified pursuant
to Section 3.1(b)(17) when the same becomes due and payable and such default
continues for a period of 30 days;

 

(2)           the Company defaults in the payment of the principal of or
any premium on any Security of that series when the same becomes due and payable
at its Maturity or on redemption or otherwise, or in the payment of a mandatory
sinking fund payment when and as due by the terms of the Securities of that
series;

 

(3)           the Company defaults in the performance of, or breaches,
any covenant or warranty of the Company in this Indenture with respect to any
Security of that series (other than a covenant or warranty a default in whose
performance or whose breach is elsewhere in this Section specifically dealt
with), and such default or breach continues for a period of 90 days after there
has been given, by registered or certified mail, to the Company by the Trustee
or to the Company and the Trustee by the Holders of at least 25% in principal
amount of the Outstanding Securities of that series, a written notice specifying
such default or breach and requiring it to be remedied and stating that such
notice is a “Notice of Default” hereunder;

 

(4)           the Company, pursuant to or within the meaning of any
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;

 

41

 

(5)           a court of competent jurisdiction enters an order or
decree under any Bankruptcy Law that (A) is for relief against the Company in
an involuntary case, (B) appoints a Custodian of the Company or for all or
substantially all of its property, or (C) orders the liquidation of the
Company; and the order or decree remains unstayed and in effect for 90 days; or

 

(6)           any other Event of Default provided as contemplated by
Section 3.1 with respect to Securities of that series.

 

The
term “Bankruptcy Law” means Title 11, U.S. Code, or any similar federal or
state law for the relief of debtors.  The
term “Custodian” means any receiver, trustee, assignee, liquidator or similar
official under any Bankruptcy Law.

 

Section
5.2.  ACCELERATION; RESCISSION AND
ANNULMENT.  If an Event of Default with
respect to the Securities of any series at the time Outstanding occurs and is
continuing, the Trustee or the Holders of at least 25% in aggregate principal
amount of all of the Outstanding Securities of that series, by written notice
to the Company (and, if given by the Holders, to the Trustee), may declare the
principal (or, if the Securities of that series are Original Issue Discount
Securities or Indexed Securities, such portion of the principal amount or other
amount as may be specified in the terms of that series) of all the Securities
of that series to be due and payable and upon any such declaration such
principal (or, in the case of Original Issue Discount Securities or Indexed
Securities, such specified amount) shall be immediately due and payable.

 

At
any time after such a declaration of acceleration with respect to Securities of
any series has been made and before a judgment or decree for payment of the
money due has been obtained by the Trustee as hereinafter in this Article
provided, the Holders of a majority in aggregate principal amount of the
Outstanding Securities of that series, by written notice to the Trustee, may
rescind and annul such declaration and its consequences if all existing
Defaults and Events of Default with respect to Securities of that series, other
than the non-payment of the principal of Securities of that series which have
become due solely by such declaration of acceleration, have been cured or
waived as provided in Section 5.7.  Upon
any such rescission, the parties hereto shall be restored respectively to their
several positions and rights hereunder, and all rights, remedies and powers of
the parties hereto shall continue as though no acceleration had occurred.

 

Section
5.3.  COLLECTION OF INDEBTEDNESS AND
SUITS FOR ENFORCEMENT BY TRUSTEE.  The Company covenants that if

 

(1)           default is made in the payment of any interest on or
coupon of any Security of any series, when such interest becomes due and
payable and such default continues for a period of 30 days, or

 

(2)           default is made in the payment of the principal of (or
premium, if any, on) any Security of any series at the Maturity thereof and
such default continues for a period of 10 days, the Company will, upon demand
of the Trustee, pay to it, for the benefit of the Holders of such Securities or
coupons, if any, the whole amount then due and payable on such Securities for
principal, premium, if any, and interest and, to the extent that payment of
such interest shall be 

 

42

 

legally enforceable, interest on any overdue
principal, premium, if any, and on any overdue interest, at the rate or rates
prescribed therefor in such Securities or coupons.

 

If
the Company fails to pay such principal, premium, if any, and interest amounts
forthwith upon such demand, the Trustee, in its own name and as trustee of an
express trust, may institute a judicial proceeding for the collection of such
principal, premium, if any, and interest amounts so due and unpaid, may
prosecute such proceeding to judgment or final decree and may enforce the same
against the Company.

 

In
addition, if an Event of Default with respect to Securities of any series
occurs and is continuing, the Trustee may in its discretion proceed, in its own
name and as trustee of an express trust, to protect and enforce its rights and
the rights of the Holders of Securities of such series by such appropriate
judicial proceedings as the Trustee shall deem most effectual to protect and
enforce any such rights, whether for the specific enforcement of any covenant
or agreement in this Indenture or in aid of the exercise of any power granted
herein, or to enforce any other proper remedy.

 

Section
5.4.  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 and the Holders of Securities allowed in any judicial
proceedings relating to the Company, its creditors or its property.

 

Section
5.5.  TRUSTEE MAY ENFORCE CLAIMS WITHOUT
POSSESSION OF SECURITIES.  All rights
of action and claims under this Indenture or the Securities may be prosecuted
and enforced by the Trustee, in its own name and as trustee of an express
trust, without the possession of any of the Securities or the production
thereof in any proceeding relating thereto.

 

Section
5.6.  DELAY OR OMISSION NOT WAIVER.  No delay or omission by the Trustee or any
Holder of any Securities to exercise any right or remedy accruing upon an Event
of Default shall impair any such right or remedy or constitute a waiver of or
acquiescence in any such Event of Default.

 

Section
5.7.  WAIVER OF PAST DEFAULTS.  The Holders of a majority in aggregate
principal amount of Outstanding Securities of any series by notice to the
Trustee may waive on behalf of the Holders of all Securities of such series a
past Default or Event of Default with respect to that series and its
consequences except a Default or Event of Default (i) in the payment of the
principal of, premium, if any, or interest on any Security of such series or
any coupon appertaining thereto or (ii) in respect of a covenant or provision
hereof which pursuant to Section 8.2 cannot be amended or modified without the consent
of the Holder of each Outstanding Security of such series adversely
affected.  Upon any such waiver, such
Default shall cease to exist, and any Event of Default arising therefrom shall
be deemed to have been cured, for every purpose of this Indenture; but no such
waiver shall extend to any subsequent or other Default or Event of Default or
impair any right consequent thereon.  In
case of any such waiver, the Company, the Trustee and the Holders shall be
restored to their former positions and rights hereunder and under the
Securities of such series, respectively.

 

43

 

Section
5.8.  CONTROL BY MAJORITY.  The Holders of a majority in aggregate
principal amount of the Outstanding Securities of each series affected (with
each such series voting as a class) shall have the right to direct the time,
method and place of conducting any proceeding for any remedy available to the
Trustee or exercising any trust or power conferred on it with respect to
Securities of that series; provided, however, that (i) the Trustee may refuse
to follow any direction that conflicts with law or this Indenture, (ii) the
Trustee may refuse to follow any direction that is unduly prejudicial to the
rights of the Holders of Securities of such series not consenting, or that
would in the good faith judgment of the Trustee have a substantial likelihood
of involving the Trustee in personal liability and (iii) the Trustee may take
any other action deemed proper by the Trustee which is not inconsistent with
such direction.

 

Section
5.9.  LIMITATION ON SUITS BY HOLDERS.  No Holder of any Security of any series or
any coupons appertaining thereto shall have any right to institute any
proceeding, judicial or otherwise, with respect to this Indenture, or for the
appointment of a receiver or trustee, or for any other remedy hereunder,
unless:

 

(1)           the Holder has previously given written notice to the
Trustee of a continuing Event of Default with respect to the Securities of that
series;

 

(2)           the Holders of at least 25% in aggregate principal amount
of the Outstanding Securities of that series have made a written request to the
Trustee to institute proceedings in respect of such Event of Default in its own
name as Trustee hereunder;

 

(3)           such Holder or Holders have offered to the Trustee
indemnity satisfactory to the Trustee against any loss, liability or expense to
be, or which may be, incurred by the Trustee in pursuing the remedy;

 

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

 

(5)           during such 60 day period, the Holders of a majority in
aggregate principal amount of the Outstanding Securities of that series have
not given to the Trustee a direction inconsistent with such written request.

 

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

 

Section
5.10.  RIGHTS OF HOLDERS TO RECEIVE
PAYMENT.  Notwithstanding any other
provision of this Indenture, but subject to Section 9.2, the right of any
Holder of a Security or coupon of any series to receive payment of principal
of, premium, if any, and, subject to Sections 3.5 and 3.7, interest on the
Security, on or after the respective due dates expressed in the Security (or,
in case of redemption, on the redemption dates), and the right of any Holder of
a coupon to receive payment of interest due as provided in such coupon, or to
bring suit for the enforcement of any such payment on or after such respective
dates, shall not be impaired or affected without the consent of such Holder.

 

44

 

Section
5.11.  APPLICATION OF MONEY COLLECTED.  If the Trustee collects any money pursuant to
this Article, it shall pay out the money in the following order, at the date or
dates fixed by the Trustee and, in case of the distribution of such money on
account of principal, premium, if any, or interest, upon presentation of the
Securities and the notation thereon of the payment if only partially paid and
upon surrender thereof if fully paid:

 

First:  to the Trustee for amounts due under Section
6.8 in connection with such series of Securities in respect of which money or
other property is collected;

 

Second:  Subject to the terms of any subordination
entered into as contemplated by Section 3.1(b) (27) hereof, to Holders of
Securities of such series and coupons in respect of which or for the benefit of
which such money has been collected for amounts due and unpaid on such
Securities for principal of, premium, if any, and interest, ratably, without
preference or priority of any kind, according to the amounts due and payable on
such Securities for principal, premium, if any, and interest, respectively; and

 

Third:  The balance, if any, to the Company.

 

The
Trustee may fix a record date and payment date for any payment to Holders
pursuant to this Section 5.11.  At least
15 days before such record date, the Trustee shall mail to each Holder and the
Company a notice that states the record date, the payment date and the amount
to be paid.

 

Unless
otherwise specified in a supplemental indenture with respect to a series of
Securities, in any case where Securities are outstanding which are denominated
in more than one currency, or in a composite currency and at least one other
currency, and the Trustee is directed to make ratable payments under this
Section to Holders of Securities, the Trustee shall calculate the amount of such
payments as follows:  as of the day the
Trustee collects an amount under this Article, the Trustee shall, (i) as to
each Holder of a Security to whom an amount is due and payable under this
Section which is denominated in a foreign currency or a composite currency,
determine that amount of Dollars that would be obtained for the amount owing
such Holder, using the rate of exchange at which in accordance with normal
banking procedures the Trustee could purchase in Dollars as of such day with
such amount owing, (ii) calculate the sum of all Dollar amounts determined
under (i) and add thereto any amounts due and payable in Dollars; and (iii)
using the individual amounts determined in (i) or any individual amounts due
and payable in Dollars, as the case may be, as a numerator and the sum
calculated in (ii) as a denominator, calculate as to each Holder of a Security
to whom an amount is owed under this Section the fraction of the amount
collected under this Article payable to such Holder.  Any expenses incurred by the Trustee in
actually converting amounts owing Holders of Securities denominated in a
currency or composite currency other than that in which any amount is collected
under this Article shall be likewise (in accordance with this paragraph) be
borne ratably by all Holders of Securities to whom amounts are payable under
this Section.

 

Unless
otherwise specified in the supplemental indenture with respect to a series of
Securities, to the fullest extent allowed under applicable law, if for the
purpose of obtaining judgment against the Company in any court it is necessary
to convert the sum due in respect of the principal of, or any premium or
interest on the Securities of any series (the “Required 

 

45

 

Currency”)
into a currency in which judgment will be rendered (the “Judgment Currency”),
the rate of exchange used shall be the rate at which in accordance with normal
banking procedures the Trustee could purchase in The City of New York the
Required Currency with the Judgment Currency on the New York Business Day
preceding that on which final judgment is given.  The Company shall not be liable for any
shortfall in payments to Holders of Securities under this Section caused by a
change in exchange rates between the time the amount of a judgment against it
is calculated as above and the time the Trustee converts the Judgment Currency
into the Required Currency to make payments under this Section to Holders of
Securities, but payment of such judgment shall discharge all amounts owed by
the Company on the claim or claims underlying such judgment.

 

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

 

Section
5.13.  RIGHTS AND REMEDIES CUMULATIVE.  Except as otherwise provided in Section 5.9
or with respect to the replacement or payment of mutilated, destroyed, lost or
stolen Securities in the last paragraph of Section 3.6, no right or remedy
herein conferred upon or reserved to the Trustee or 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.

 

ARTICLE VI

 

THE TRUSTEE

 

Section
6.1.  RIGHTS OF TRUSTEE.  Subject to the applicable provisions of the
Trust Indenture Act:

 

(a)           The Trustee may conclusively rely and shall be protected
in acting or refraining from acting upon any document believed by it to be
genuine and to have been signed or presented by the proper party or
parties.  The Trustee need not
investigate any fact or matter stated in the document, and may conclusively
rely, in good faith, as to the truth of the statements and concerns of the
opinions expressed therein.

 

(b)           Any request or direction of the Company mentioned herein
shall be sufficiently evidenced by a Company Request or Company Order (other
than delivery of any Security, together with any coupons appertaining thereto,
to the Trustee for authentication and delivery 

 

46

 

pursuant to Section 3.3, which shall be sufficiently
evidenced as provided therein) and any resolution of the Board of Directors may
be sufficiently evidenced by a Board Resolution.

 

(c)           Before the Trustee acts or refrains from acting, it may
consult with counsel or require an Officers’ Certificate.  The Trustee shall not be liable for any
action it takes or omits to take in good faith in reliance on a Board
Resolution, the written advice of counsel acceptable to the Trustee, a certificate
of an Officer or Officers delivered pursuant to Section 1.2, an Officers’
Certificate or an Opinion of Counsel.

 

(d)           The Trustee may act through agents or attorneys and shall
not be responsible for the misconduct or negligence of any agent or attorney
appointed with due care.

 

(e)           The Trustee shall not be liable for any action it takes or
omits to take in good faith which it believes to be authorized or within its
discretion or rights or powers.

 

(f)            The Trustee shall not be required to expend or risk its
own funds or otherwise incur any financial liability in the performance of any
of its duties hereunder, or in the exercise of its rights or powers, if it
shall have reasonable grounds for believing that repayment of such funds or
adequate indemnity against such risk or liability is not reasonably assured to
it.

 

(g)           Except during the continuance of an Event of Default, the
Trustee undertakes to perform such duties and only such duties as are
specifically set forth in this Indenture, and no implied covenants or
obligations shall be read into this Indenture against the Trustee.

 

(h)           The Trustee shall not be liable for any error of judgment
made in good faith by a Responsible Officer, unless it shall be proved that the
Trustee was negligent in ascertaining the pertinent facts.

 

(i)            The Trustee shall not be liable with respect to any
action taken or omitted to be taken by it in good faith in accordance with the
direction of the Holders of a majority in aggregate principal amount of the
Outstanding Securities (pursuant to Section 5.8) 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.

 

(j)            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.

 

(k)           Any permissive right of the Trustee hereunder shall not be
construed to be a duty.

 

(l)            The Trustee shall not be charged with knowledge of any
Event of Default, other than as described in Section 5.1(1) or (2), unless and
except to the extent actually known by a Responsible Officer of the Trustee or
written notice thereof is received by the Trustee at its Corporate Trust
Office.

 

47

 

Notwithstanding
anything contained herein to the contrary, in case an Event of Default with
respect to the Securities of any series has occurred and is continuing, and is
known to the Trustee, the Trustee shall exercise, with respect to Securities of
such series, such of the rights and powers vested in it by this Indenture, and
shall use the same degree of care and skill in their exercise, as a prudent
individual would exercise or use under the circumstances in the conduct of his
or her own affairs.

 

Section 6.2.  TRUSTEE MAY HOLD SECURITIES.  The Trustee, any Paying Agent, any Registrar
or any other agent of the Company, in its individual or any other capacity, may
become the owner or pledgee of Securities and coupons and, subject to Sections
310(b) and 311 of the Trust Indenture Act, may otherwise deal with the
Company, an Affiliate or Subsidiary with the same rights it would have if it
were not Trustee, Paying Agent, Registrar or such other agent.

 

Section 6.3.  MONEY HELD IN TRUST.  Subject to the provisions of Section 4.8
and the last paragraph of Section 9.3, all moneys received by the Trustee
shall, until used or applied as herein provided, be held in trust for the
purposes for which they were received, but need not be segregated from other
funds except to the extent required by law. 
The Trustee shall be under no liability for investment of or interest on
any money received by it hereunder except as otherwise agreed with the Company.  Except for amounts deposited pursuant to Article Four,
so long as no Event of Default shall have occurred and be continuing, all
interest allowed on any such moneys shall be paid from time to time to the
Company upon a Company Order.  Money held
by the Trustee in trust hereunder need not be segregated from other funds except
to the extent required by law.

 

Section 6.4.  TRUSTEE’S DISCLAIMER.  The recitals contained herein and in the
Securities, except the Trustee’s certificate of authentication, shall be taken
as the statements of the Company, and the Trustee assumes no responsibility for
their correctness.  The Trustee makes no
representation as to the validity or adequacy of this Indenture or the
Securities or any coupon, except that the Trustee represents and warrants that
it is duly authorized to execute and deliver this Indenture, authenticate the
Securities and perform its obligations hereunder and thereunder; that the
statements made by it in a Statement of Eligibility and Qualification on Form T-1
supplied or to be supplied to the Company in connection with the registration
of any Securities are and at the time of delivery will be true and accurate;
and that such Statement complies and at the time of delivery will comply with
the requirements of the Trust Indenture Act and the Securities Act, in each
case, applicable to such Statement.  The
Trustee shall not be accountable for the Company’s use of the proceeds from the
Securities or for monies paid over to the Company pursuant to the Indenture.

 

Section 6.5.  NOTICE OF DEFAULTS.  If a Default occurs and is continuing with
respect to the Securities of any series and if it is known to a Responsible
Officer of the Trustee, the Trustee shall, within 90 days after it occurs,
transmit, in the manner and to the extent provided in Section 313(c) of
the Trust Indenture Act, notice of all uncured Defaults known to it; provided,
however, that, except in the case of a Default in payment on the Securities of
any series, the Trustee may withhold the notice if and so long as a Responsible
Officer in good faith determines that withholding such notice is in the
interests of Holders of Securities of that series; provided, further, that in
the case of any default or breach of the character specified in Section 

 

48

 

5.1(3) with
respect to the Securities and coupons of such series, no such notice to Holders
shall be given until at least 90 days after the occurrence thereof.

 

Section 6.6.  REPORTS BY TRUSTEE TO HOLDERS.  (a) Within 60 days after each May 15
of each year commencing with the first May 15 after the first issuance of
Securities pursuant to this Indenture, the Trustee shall transmit by mail to
all Holders of Securities as provided in Section 313(c) of the Trust
Indenture Act a brief report dated as of such May 15 if required by and in
compliance with Section 313(a) of the Trust Indenture Act.  A copy of each report shall, at the time of
such transmission to Holders, be filed by the Trustee with each stock exchange,
if any, upon which the Securities are listed, with the Commission and with the
Company.  The Company will promptly
notify the Trustee when the Securities are listed on any stock exchange and of
any delisting thereof.

 

(b)           The Trustee shall from time to time transmit by mail to
all Holders of Securities as provided in Section 313(c) of the Trust
Indenture Act, such reports as are required to be filed pursuant to Section 313(b) of
the Trust Indenture Act.

 

Section 6.7.  SECURITY HOLDER LISTS.  The Trustee shall preserve in as current a
form as is reasonably practicable the most recent list available to it of the
names and addresses of Holders of Securities of each series.  If the Trustee is not the Registrar, the
Company shall furnish to the Trustee semiannually on or before the last day of June and
December in each year, 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, containing all the information in the possession or control
of the Registrar, the Company or any of its Paying Agents other than the
Trustee as to the names and addresses of Holders of Securities of each such
series.  If there are Bearer Securities
of any series Outstanding, even if the Trustee is the Registrar, the Company
shall furnish to the Trustee such a list containing such information with
respect to Holders of such Bearer Securities only.

 

Section 6.8.  COMPENSATION AND INDEMNITY.  (a) The Company shall pay to the Trustee
from time to time such reasonable compensation for its services as the Company
and the Trustee may agree in writing from time to time.  The Trustee’s compensation shall not be
limited by any law on compensation of a trustee of an express trust.  The Company shall reimburse the Trustee upon
request for all reasonable expenses, disbursements and advances incurred by it
in connection with the performance of its duties under this Indenture, except
any such expense, disbursement or advance as may be attributable to its
negligence or bad faith.  Such expenses
shall include the reasonable compensation and expenses of the Trustee’s agents
and counsel.

 

(b)           The Company shall indemnify the Trustee for, and hold it
harmless against, any and all loss, liability, damage, claim or expense
(including attorneys fees and expenses, and including taxes other than taxes
based upon, measured by or determined by the income of the Trustee), including
without limitation the costs and expenses of defending itself against any
third-party claim (whether asserted by any Holder or any other Person (other
than the Company to the extent of any claim brought by it against the Trustee
that establishes a breach by the Trustee in the observance or performance of
its duties under this Indenture)), incurred by it without negligence, willful
misconduct or bad faith arising out of or in connection with its acceptance or
administration of the trust or trusts hereunder, including the performance of
its 

 

49

 

duties or the exercise of its powers hereunder
(collectively, “Claims”).  The Trustee
shall notify the Company promptly of any Claim (other than Claims made by the
Company against the Trustee) for which it may seek indemnity.  The Company may elect to defend the Claim
and, in such case, 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 need not pay for any settlement
made without its consent.

 

(c)           The Company need not reimburse any expense, disbursement
or advance or indemnify against any Claim incurred by the Trustee through
negligence, willful misconduct or bad faith on the part of the Trustee.

 

(d)           To secure the payment obligations of the Company pursuant
to this Section, the Trustee shall have a lien prior to the Securities of any
series on all money or property held or collected by the Trustee, except that
held in trust to pay principal, premium, if any, and interest on particular
Securities.

 

(e)           When the Trustee incurs expenses or renders services in
connection with an Event of Default specified in Section 5.1(4) or Section 5.1(5),
the expenses (including the reasonable charges and expenses of its counsel) and
the compensation for the services are intended to constitute expenses of
administration under any applicable federal or state bankruptcy, insolvency or
other similar law.

 

(f)            The provisions of this Section shall survive the
termination of this Indenture.

 

(g)           The protections, agreements and indemnities afforded to
the Trustee under this Section shall include any other agency to which it
may be appointed or with respect to which it may serve hereunder, or in respect
of any Securities under any related Board Resolution or supplemental indenture,
including but not limited to registrar, paying agent, conversion agent or
calculation agent.

 

Section 6.9.  SEPARATE TRUSTEE; REPLACEMENT OF TRUSTEE.  (a) The Company may, but need not,
appoint a separate Trustee for any one or more series of Securities.  The resignation or removal of the Trustee and
the appointment of a successor Trustee shall become effective only upon the
successor Trustee’s acceptance of appointment as provided in Section 6.10.  In the event of an appointment of a separate
Trustee for any one or more series of Securities, the allocation of
responsibilities between the separate Trustees shall be determined at that
time.

 

(b)           The Trustee may resign at any time with respect to the
Securities of any one or more series by giving written notice thereof to the
Company.  If the instrument of acceptance
by a successor Trustee required by Section 6.10 shall not have been
delivered to the Trustee within 30 days after the giving of such notice of
resignation, the resigning Trustee may petition any court of competent
jurisdiction for the appointment of a successor Trustee with respect to the
Securities of such series.

 

(c)           The Holders of a majority in aggregate principal amount of
the Outstanding Securities of any series may remove the Trustee with respect to
any one or more series by so 

 

50

 

notifying the Trustee and the Company in writing and
may appoint a successor Trustee for such series with the Company’s consent.

 

If
an instrument of acceptance by a successor Trustee required by Section 6.10
shall not have been delivered to the Trustee within 30 days after the giving of
such notice of removal, the Trustee being removed may petition any court of
competent jurisdiction for the appointment of a successor Trustee with respect
to the Securities of such series.

 

(d)           If at any time:

 

(1)           the Trustee fails to comply with Section 310(b) of
the Trust Indenture Act after written request therefor by the Company or by any
Holder who has been a bona fide Holder of a Security for at least six months,
or

 

(2)           the Trustee shall cease to be eligible under Section 6.11
hereof or Section 310(a) of the Trust Indenture Act and shall fail to
resign after written request therefor by the Company or by any Holder of a
Security who has been a bona fide Holder of a Security for at least six months;
or

 

(3)           the Trustee becomes incapable of acting, is adjudged a
bankrupt or an insolvent or a receiver or public officer takes charge of the
Trustee or its property or affairs for the purpose of rehabilitation,
conservation or liquidation, then, in any such case, (i) the Company may
remove the Trustee with respect to all Securities, or (ii) subject to Section 315(e) of
the Trust Indenture Act, any Holder who has been a bona fide Holder of a
Security for at least six months may, on behalf of himself and all others
similarly situated, petition any court of competent jurisdiction for the
removal of the Trustee with respect to all Securities and the appointment of a
successor Trustee or Trustees.

 

(e)           If the Trustee resigns or is removed or becomes incapable
of acting or if a vacancy exists in the office of Trustee for any reason, with
respect to Securities of one or more series, the Company shall promptly appoint
a successor Trustee with respect to the Securities of that or those series (it
being understood that any such successor Trustee may be appointed with respect
to the Securities of one or more or all of such series and that at any time
there shall be only one Trustee with respect to the Securities of any
particular series) and shall comply with the applicable requirements of Section 6.10.  If, within one year after such resignation,
removal or incapability, or the occurrence of such vacancy, a successor Trustee
with respect to the Securities of any series shall be appointed by Act of the
Holders of a majority in principal amount of the Outstanding Securities of such
series delivered to the Company and the retiring Trustee, the successor Trustee
so appointed shall, forthwith upon its acceptance of such appointment in
accordance with the applicable requirements of Section 6.10, become the
successor Trustee with respect to the Securities of such series and to that
extent supersede the successor Trustee appointed by the Company.  If no successor Trustee with respect to the
Securities of any series shall have been so appointed by the Company or the
Holders and accepted appointment in the manner required by Section 6.10,
then, subject to Section 315(e) of the Trust Indenture Act, any
Holder who has been a bona fide Holder of a Security of such series for at
least six months may, on behalf of himself and all others similarly situated,
petition any court of competent jurisdiction for the appointment of a successor
Trustee with respect to the Securities of such series.

 

51

 

Section 6.10.  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 shall execute, acknowledge and deliver to the Company and to the
retiring Trustee an instrument accepting such appointment.  Thereupon, the resignation or removal of the
retiring Trustee shall become effective, and the successor Trustee, without
further act, deed or conveyance, shall become vested with all the rights,
powers and duties of the retiring Trustee; but, on the request of the Company
or the successor Trustee, such retiring Trustee shall, upon payment of its
charges, execute and deliver an instrument transferring to such successor
Trustee all the rights, powers and trusts of the retiring Trustee and shall
duly assign, transfer and deliver to such successor Trustee all property and
money held by such retiring Trustee hereunder.

 

(b)           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 such successor Trustee shall execute and
deliver an indenture supplemental hereto wherein such 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,
such 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) if the
retiring Trustee is not retiring with respect to all Securities, 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 shall become
effective to the extent provided therein and each such successor Trustee,
without any further act, deed or conveyance, shall become vested with 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; but, on request of the Company or any successor Trustee, such retiring
Trustee shall duly assign, transfer and deliver to such successor Trustee all
property and money held by such retiring Trustee hereunder with respect to the
Securities of that or those series to which the appointment of such successor
Trustee relates.

 

(c)           No successor Trustee shall accept its appointment unless
at the time of such acceptance such successor Trustee shall be qualified and
eligible under the Trust Indenture Act.

 

(d)           The Company shall give, or cause to be given, notice of
each resignation and each removal of the Trustee with respect to the Securities
of any series and each appointment of a successor Trustee with respect to the
Securities of any series in the manner provided for notices to the Holders of
Securities in Section 1.6.  Each
notice shall include the name of the successor Trustee with respect to the
Securities of such series and the address of its Corporate Trust Office.

 

Section 6.11.  ELIGIBILITY; DISQUALIFICATION.  There shall at all times be a Trustee
hereunder with respect to each series of Securities (which need not be the same
Trustee 

 

52

 

for
all series).  Each Trustee hereunder
shall be eligible to act as trustee under Section 310(a)(1) of the
Trust Indenture Act and shall have a combined capital and surplus of at least
$100,000,000.  If such corporation
publishes reports of condition at least annually, pursuant to law or the
requirements of federal, state, territorial or District of Columbia supervising
or examining authority, then for the purposes of this Section, the combined
capital and surplus of such corporation shall be deemed to be its combined
capital and surplus as set forth in its most recent report of condition so
published.  If at any time the Trustee
shall cease to be eligible in accordance with the provisions of this Section,
it shall resign immediately in the manner and with the effect hereinafter
specified in this Article.

 

If
the Trustee has or shall acquire a conflicting interest within the meaning of
the Trust Indenture Act, the Trustee shall either eliminate such interest or
resign, to the extent and in the manner provided by, and subject to the
provisions of, the Trust Indenture Act and this Indenture.

 

Section 6.12.  MERGER, CONVERSION, CONSOLIDATION OR
SUCCESSION TO BUSINESS.  Any
corporation into which the Trustee may be merged or converted or with which it
may be consolidated, or any corporation resulting from any merger, conversion
or consolidation to which the Trustee shall be a party, or any corporation
succeeding to or acquiring all or substantially all of the corporate trust
business of the Trustee, shall be the successor of the Trustee hereunder,
provided such corporation shall be otherwise qualified and eligible under this
Article, without the execution or filing of any paper or any further act on the
part of any of the parties hereto.  In
case any Securities shall have been authenticated, but not delivered, by the
Trustee then in office, any successor by merger, conversion or consolidation
to, or by succession to or acquisition of all or substantially all of the
corporate trust business of, such authenticating Trustee may adopt such
authentication and deliver the Securities so authenticated with the same effect
as if such successor Trustee had itself authenticated such Securities.

 

Section 6.13.  APPOINTMENT OF AUTHENTICATING AGENT.  The Trustee may appoint an Authenticating
Agent or Agents with respect to one or more series of Securities which shall be
authorized to act on behalf of the Trustee to authenticate Securities of such
series issued upon original issue exchange, registration of transfer or partial
redemption thereof, and Securities so authenticated shall be entitled to the
benefits of this Indenture and shall be valid and obligatory for all purposes
as if authenticated by the Trustee hereunder. 
Any such appointment shall be evidenced by an instrument in writing
signed by a Responsible Officer of the Trustee, a copy of which instrument
shall be promptly furnished to the Company. 
Wherever reference is made in this Indenture to the authentication and
delivery of Securities by the Trustee or the Trustee’s certificate of
authentication, such reference shall be deemed to include authentication and
delivery on behalf of the Trustee by an Authenticating Agent and a certificate
of authentication executed on behalf of the Trustee by an Authenticating
Agent.  Each Authenticating Agent shall
be acceptable to the Company and, except as may otherwise be provided pursuant
to Section 3.1, shall at all times be a bank or trust company or
corporation organized and doing business and in good standing under the laws of
the United States of America or of any State or the District of Columbia,
authorized under such laws to act as Authenticating Agent, having a combined
capital and surplus of not less than $1,500,000 and subject to supervision or
examination by Federal or State authorities. 
If such Authenticating Agent publishes reports of condition at least
annually, pursuant to law or the requirements of the aforesaid supervising or
examining authority, then for the purposes of this Section, the combined 

 

53

 

capital
and surplus of such Authenticating Agent shall be deemed to be its combined
capital and surplus as set forth in its most recent report of condition so
published.  In case at any time an
Authenticating Agent shall cease to be eligible in accordance with the
provisions of this Section, such Authenticating Agent shall resign immediately
in the manner and with the effect specified in this Section.

 

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

 

An
Authenticating Agent for any series of Securities may at any time resign by
giving written notice of resignation to the Trustee for such series and to the
Company.  The Trustee for any series of
Securities may at any time terminate the agency of an Authenticating Agent by
giving written notice of termination to such Authenticating Agent and to the
Company.  Upon receiving such a notice of
resignation or upon such a termination, or in case at any time such
Authenticating Agent shall cease to be eligible in accordance with the
provisions of this Section, the Trustee for such series may appoint a successor
Authenticating Agent which shall be acceptable to the Company and shall give
notice of such appointment to all Holders of Securities of the series with
respect to which such Authenticating Agent will serve in the manner set forth
in Section 1.6.  Any successor
Authenticating Agent upon acceptance of its appointment hereunder shall become
vested with all the rights, powers and duties of its predecessor hereunder,
with like effect as if originally named as an Authenticating Agent herein.  No successor Authenticating Agent shall be
appointed unless eligible under the provisions of this Section.

 

The
Company agrees to pay to each Authenticating Agent from time to time such
reasonable compensation as the Company and such Authenticating Agent agree in
writing from time to time including reimbursement of its reasonable expenses
for its services under this Section.

 

If
an appointment with respect to one or more series is made pursuant to this
Section, the Securities of such series may have endorsed thereon, in addition
to or in lieu of the Trustee’s certificate of authentication, an alternate
certificate of authentication substantially in the following form:

 

This
is one of the [Securities] [of the series designated herein and] referred to in
the within-mentioned Indenture.

 

	
   

  	
  [                  ],
  as Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
  By

  	
   

  
	
   

  	
   

  	
  as Authenticating Agent

  
	
   

  	
   

  	
   

  
	
   

  	
  By

  	
   

  
	
   

  	
   

  	
  Authorized Signatory

  

 

54

 

ARTICLE VII

 

CONSOLIDATION,
MERGER OR SALE BY THE COMPANY

 

Section 7.1.  CONSOLIDATION, MERGER OR SALE OF ASSETS.  The Company may not merge or consolidate with
or into any other Person, in a transaction in which it is not the surviving
corporation, or sell, convey, transfer or otherwise dispose of all or
substantially all of its assets to any Person, unless (i) surviving or
transferee Person is organized and existing under the laws of the United States
or a State thereof and such Person expressly assumes by supplemental indenture
all the obligations of the Company under the Securities and any coupons
appertaining thereto and under this Indenture, (ii) immediately
thereafter, giving effect to such merger or consolidation, or such sale,
conveyance, transfer or other disposition, no Default or Event of Default shall
have occurred and be continuing and (iii) the Company shall have delivered
to the Trustee an Officers’ Certificate and an Opinion of Counsel each stating
that such merger, consolidation, sale, conveyance, transfer or other
disposition complies with this Article and that all conditions precedent
herein provided for relating to such transaction have been complied with.  In the event of the assumption by a successor
Person of the obligations of the Company, such successor Person shall succeed
to and be substituted for the Company hereunder and under the Securities and
any coupons appertaining thereto and all such obligations of the Company shall
terminate.

 

ARTICLE VIII

 

SUPPLEMENTAL
INDENTURES

 

Section 8.1.  SUPPLEMENTAL INDENTURES WITHOUT CONSENT OF
HOLDERS.  Without the consent of any
Holders, the Company and the Trustee, at any time and from time to time, may
enter into indentures supplemental hereto for any of the following purposes:

 

(1)           to evidence the succession of another Person to the
Company and the assumption by any such successor of the covenants and
obligations of the Company herein and in the Securities (with such changes
herein and therein as may be necessary or advisable to reflect such Person’s
legal status, if such Person is not a corporation); or

 

(2)           to add to the covenants of the Company for the benefit of
the Holders of all or any series of Securities (and if such covenants are to be
for the benefit of less than all series of Securities, stating that such
covenants are expressly being included solely for the benefit of such series)
or to surrender any right or power herein conferred upon the Company or to
comply with any requirement of the Commission or otherwise in connection with
the qualification of this Indenture under the Trust Indenture Act or otherwise;
or

 

(3)           to add any additional Events of Default with respect to
all or any series of Securities; or

 

55

 

(4)           to add to or change any of the provisions of this
Indenture to such extent as shall be necessary to facilitate the issuance of
Bearer Securities (including, without limitation, to provide that Bearer
Securities may be registrable as to principal only) or to facilitate or provide
for the issuance of Securities in global form in addition to or in place of
Securities in certificated form; or

 

(5)           to change or eliminate any of the provisions of this
Indenture, provided that any such change or elimination shall become effective
only with respect to Securities which have not been issued as of the execution
of such supplemental indenture or when there is no Security Outstanding of any
series created prior to the execution of such supplemental indenture which is
entitled to the benefit of such provision; or

 

(6)           to add guarantees with respect to any or all of the
Securities; or

 

(7)           to convey, transfer, assign, mortgage or pledge any
property to or with the Trustee; or

 

(8)           to supplement any of the provisions of this Indenture to
such extent as shall be necessary to permit or facilitate the defeasance and
discharge of any series of Securities pursuant to Sections 4.1, 4.4, and 4.5;
provided that any such action shall not adversely affect the interests of the
Holders of Securities of such series and any related coupons or any other
series of Securities in any material respect; or

 

(9)           to establish the form or terms of Securities of any series
as permitted by Sections 2.1 and 3.1; or

 

(10)         to provide for the delivery of
indentures supplemental hereto or the Securities of any series in or by means
of any computerized, electronic or other medium, including without limitation
by computer diskette; or

 

(11)         to evidence and provide for the
acceptance of appointment hereunder by a successor or separate Trustee with
respect to the Securities of one or more series and/or to 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,
pursuant to the requirements of Article VI; or

 

(12)         if allowed without penalty under
applicable laws and regulations, to permit payment in the United States
(including any of the states and the District of Columbia), its territories,
its possessions and other areas subject to its jurisdiction of principal,
premium, if any, or interest, if any, on Bearer Securities or coupons, if any;
or

 

(13)         to correct or supplement any provision
herein which may be inconsistent with any other provision herein or to cure any
ambiguity or omission or to correct any mistake; or

 

(14)         to make any other provisions with
respect to matters or questions arising under this Indenture, provided such
action shall not adversely affect the interests of the Holders of Securities of
any series in any material respect.

 

56

 

Section 8.2.  WITH CONSENT OF HOLDERS.  Without prior notice to any Holder but with
the written consent of the Holders of a majority of the aggregate principal
amount of the Outstanding Securities of each series adversely affected by such
supplemental indenture (with the Securities of each series voting as a class),
the Company and the Trustee may enter into an indenture or indentures
supplemental hereto to add any provisions to or to change or eliminate any
provisions of this Indenture or of any other indenture supplemental hereto or
to modify the rights of the Holders of Securities of each such series;
provided, however, that without the consent of the Holder of each Outstanding
Security adversely affected thereby, a supplemental indenture under this Section may
not:

 

(1)           change the Stated Maturity of the principal of, or any
installment of principal of or interest on, any Security, or reduce the
principal amount thereof or the rate of interest thereon or any premium payable
upon the redemption thereof, or reduce the amount of the principal of an
Original Issue Discount Security or Indexed Security that would be due and
payable upon a declaration of acceleration of the Maturity thereof pursuant to Section 5.2,
or change any Place of Payment where, or the coin or currency in which any
Securities or any premium or the interest thereon is payable, or impair the
right to institute suit for the enforcement of any such payment on or after the
Stated Maturity thereof (or, in the case of redemption, on or after the
Redemption Date);

 

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

 

(3)           except to the extent provided in Section 8.1(11),
make any change in Section 5.7 or this 8.2 except to increase any
percentage or to provide that certain other provisions of this Indenture cannot
be modified or waived except with the consent of the Holders of each
Outstanding Security affected thereby, provided, however, that this clause
shall not be deemed to require the consent of any Holders with respect to
changes in the references to the “Trustee” and concomitant changes in this
Section, in accordance with the requirements of Sections 6.10(b) and
8.1(11); or

 

(4)           modify the ranking or priority of the Securities.

 

For
the purposes of this Section 8.2, if the Securities of any series are
issuable upon the exercise of warrants, any holder of an unexercised and
unexpired warrant with respect to such series shall not be deemed to be a
Holder of Outstanding Securities of such series in the amount issuable upon the
exercise of such warrants.

 

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 the Holders of Securities of such series with respect to such
covenant or other provision, shall be deemed not to affect the rights under
this Indenture of the Holders of Securities of any other series.

 

57

 

 

It
is not necessary under this Section 8.2 for the Holders to consent to the
particular form of any proposed supplemental indenture, but it is sufficient if
they consent to the substance thereof.

 

Section
8.3.  COMPLIANCE WITH TRUST INDENTURE ACT.  Every amendment to this Indenture or the
Securities of one or more series shall be set forth in a supplemental indenture
that complies with the Trust Indenture Act as then in effect.

 

Section
8.4.  EXECUTION OF SUPPLEMENTAL
INDENTURES.  In executing, or accepting the
additional trusts created by, any supplemental indenture permitted by this
Article or the modification thereby of the trusts created by this Indenture,
the Trustee shall be entitled to receive, and shall be fully protected in
relying upon, an Opinion of Counsel stating that the execution of such
supplemental indenture is authorized or permitted by this Indenture.  The Trustee may, but shall not be obligated
to, enter into any such supplemental indenture which adversely affects the
Trustee’s own rights, duties or immunities under this Indenture or
otherwise.  The Trustee shall enter into
any such supplemental indenture presented to it by the Company in compliance
with this Article 8 if such supplemental indenture does not adversely affect
the Trustee’s own rights, duties or immunities under this Indenture or
otherwise.  In formulating its opinion on
such matters the Trustee shall be entitled to rely on such evidence as it deems
appropriate, which may be or include, without limitation, reliance solely on an
opinion or advice of its counsel.

 

Section
8.5.  EFFECT OF SUPPLEMENTAL INDENTURES.  Upon the execution of any supplemental
indenture under this Article, this Indenture shall be modified in accordance
therewith, and such supplemental indenture shall form a part of this Indenture
for all purposes; and every Holder of Securities theretofore or thereafter
authenticated and delivered hereunder and of any coupon appertaining thereto
shall be bound thereby; provided that if such supplemental indenture makes any
of the changes described in clauses (1) through (4) of the first proviso to
Section 8.2, such supplemental indenture shall bind each Holder of a Security
who has consented to it and every subsequent Holder of such Security or any
part thereof.

 

Section
8.6.  REFERENCE IN SECURITIES TO
SUPPLEMENTAL INDENTURES.  Securities,
including any coupons, of any series authenticated and delivered after the
execution of any supplemental indenture pursuant to this Article may, and shall
if required by the Trustee, bear a notation in form approved by the Trustee as
to any matter provided for in such supplemental indenture.  If the Company shall so determine, new
Securities including any coupons of any series so modified as to conform, in
the opinion of the Trustee and the Company, to any such supplemental indenture
may be prepared and executed by the Company and authenticated and delivered by
the Trustee in exchange for Outstanding Securities including any coupons of
such series.

 

ARTICLE IX

 

COVENANTS

 

Section
9.1.  PAYMENT OF PRINCIPAL, PREMIUM, IF
ANY, AND INTEREST.  The Company
covenants and agrees for the benefit of the Holders of each series of
Securities that it 

 

58

 

will
duly and punctually pay the principal of, premium, if any, and interest on the
Securities of that series in accordance with the terms of the Securities of
such series, any coupons appertaining thereto and this Indenture.  An installment of principal, premium, if any,
or interest shall be considered paid on the date it is due if the Trustee or
Paying Agent holds on that date money designated for and sufficient to pay the
installment.

 

Section
9.2.  MAINTENANCE OF OFFICE OR AGENCY.  If Securities of a series are issued as
Registered Securities, the Company will maintain in each Place of Payment for
any series of Securities an office or agency where Securities of that series
may be presented or surrendered for payment, where Securities of that series
may be surrendered for registration of transfer or exchange and where notices
and demands to or upon the Company in respect of the Securities of that series
and this Indenture may be served.  If
Securities of a series are issuable as Bearer Securities, the Company will
maintain, (i) subject to any laws or regulations applicable thereto, an office
or agency in a Place of Payment for that series which is located outside the
United States, where Securities of that series and related coupons may be
presented and surrendered for payment; provided, however, that if the
Securities of that series are listed on The International Stock Exchange of the
United Kingdom and the Republic of Ireland Limited, the Luxembourg Stock
Exchange or any other stock exchange located outside the United States and such
stock exchange shall so require, the Company will maintain a Paying Agent for
the Securities of that series in London, Luxembourg or any other required city
located outside the United States, as the case may be, so long as the
Securities of that series are listed on such exchange, and (ii) subject to any
laws or regulations applicable thereto, an office or agency in a Place of
Payment for that series which is located outside the United States where
Securities of that series may be surrendered for exchange and where notices and
demands to or upon the Company in respect of the Securities of that series and
this Indenture may be served.  The
Company will give prompt written notice to the Trustee of the location, and any
change in the location, of any such office or agency.  If at any time the Company shall fail to
maintain any such required office or agency or shall fail to furnish the
Trustee with the address thereof, such presentations, surrenders, notices and
demands may be made or served at the Corporate Trust Office of the Trustee,
except that Bearer Securities of that series and the related coupons unless
otherwise specified in the Supplemental Indenture for such Series, may be
presented and surrendered for payment and conversion at the offices specified
in the Security, in London, England, and the Company hereby appoints the
Trustee as its agent to receive all such presentations, surrenders, notices and
demands (provided, however, that the foregoing appointment shall not impose or
imply any obligation on the part of the Trustee to maintain any office for any
such purposes other than the Corporate Trust Office.)

 

Unless
otherwise specified as contemplated by Section 3.1, no payment of principal,
premium or interest on Bearer Securities shall be made at any office or agency
of the Company in the United States, by check mailed to any address in the
United States, by transfer to an account located in the United States or upon
presentation or surrender in the United States of a Bearer Security or coupon
for payment, even if the payment would be credited to an account located
outside the United States; provided, however, that, if the Securities of a
series are denominated and payable in Dollars, payment of principal of and any
premium or interest on any such Bearer Security shall be made at an office of a
Paying Agent of the Company in the Borough of Manhattan, The City of New York,
if (but only if) payment in Dollars of the full amount of such principal,
premium or interest, as the case may be, at all offices or agencies 

 

59

 

outside
the United States maintained for the purpose by the Company in accordance with
this Indenture is illegal or effectively precluded by exchange controls or
other similar restrictions.

 

Subject
to the preceding paragraphs, the Company may also from time to time designate
one or more other offices or agencies where the Securities (including any
coupons, if any) of one or more series may be presented or surrendered for any
or all such purposes and may from time to time rescind such designations;
provided, however, that no such designation or rescission shall in any manner
relieve the Company of its obligation to maintain an office or agency in each
Place of Payment for Securities (including any coupons, if any) of any series
for such purposes.  The Company will give
prompt written notice to the Trustee of any such designation or rescission and
of any change in the location of any such other office or agency.

 

Unless
otherwise specified as contemplated by Section 3.1, the Trustee shall initially
serve as Paying Agent.  The Paying Agent
may make reasonable rules not inconsistent herewith for the performance of its
functions.

 

Section
9.3.  MONEY FOR SECURITIES TO BE HELD IN
TRUST; UNCLAIMED MONEY.  If the
Company shall at any time act as its own Paying Agent with respect to any
series of Securities, it will, on or before each due date of the principal of,
premium, if any, or interest on any of the Securities of that series, segregate
and hold in trust for the benefit of the Persons entitled thereto a sum
sufficient to pay the principal, premium, if any, or interest so becoming due
until such sums shall be paid to such Persons or otherwise disposed of as
herein provided and will promptly notify the Trustee in writing of any failure
so to act.

 

Whenever
the Company shall have one or more Paying Agents for any series of Securities,
it will, on or prior to each due date of the principal of or any premium or
interest on any Securities of that series, deposit with a Paying Agent a sum
sufficient to pay such amount, such sum to be held as provided by the Trust
Indenture Act, and (unless such Paying Agent is the Trustee) the Company will
promptly notify the Trustee of any failure so to act.

 

If
the Company is not acting as its own Paying Agent, the Company will cause each
Paying Agent for any series of Securities other than the Trustee to execute and
deliver to the Trustee an instrument in which such Paying Agent shall agree
with the Trustee, subject to the provisions of this Section, that such Paying
Agent will:

 

(1)           hold all sums held by it for the payment of the principal
of, premium, if any, or interest on Securities of that series in trust for the
benefit of the Persons entitled thereto until such sums shall be paid to such Persons
or otherwise disposed of as herein provided;

 

(2)           give the Trustee notice of any Default by the Company (or
any other obligor upon the Securities of that series) in the making of any
payment of principal, premium, if any, or interest on the Securities; and

 

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

 

Notwithstanding
anything in this Section 9.3 to the contrary, the Company may at any time, for
the purpose of obtaining the satisfaction and discharge of this Indenture, or
with respect 

 

60

 

to
one or more series of Securities, or for any other purpose, pay, or by Company
Order direct any Paying Agent to pay, to the Trustee all sums held in trust by
the Company or such Paying Agent, such sums to be held by the Trustee upon the
same trusts as those upon which such sums were held by the Company or such
Paying Agent; and, upon such payment by any Paying Agent to the Trustee, such
Paying Agent shall be released from all further liability with respect to such
money.

 

Subject
to applicable abandoned property laws, any money deposited with the Trustee or
any Paying Agent, or then held by the Company, in trust for the payment of any
principal, premium or interest or other amounts on any Security of any series
and remaining unclaimed for two years after such principal, premium, if any, or
interest or other amounts has become due and payable shall be paid to the
Company (including interest income on such funds, if any), or (if then held by
the Company) shall be discharged from such trust; and the Holder of such
Security and coupon, if any, shall thereafter, as an unsecured general creditor,
look only to the Company for payment thereof, and all liability of the Trustee
or such Paying Agent with respect to such trust money, and all liability of the
Company as trustee thereof, shall thereupon cease.

 

Section
9.4.  CORPORATE EXISTENCE.  Subject to Article VII, the Company will at
all times do or cause to be done all things necessary to preserve and keep in
full force and effect its corporate existence.

 

Section
9.5.  REPORTS BY THE COMPANY.  The Company covenants, at any time at which
there are Outstanding Securities of any series issued under this Indenture:

 

(a)           to file with the Trustee, within 30 days after the Company
is required to file the same with the Commission, copies of the annual reports
and of the information, documents and other reports (or copies of such portions
of any of the foregoing as the Commission may from time to time by rules and
regulations prescribe) which the Company may be required to file with the
Commission pursuant to section 13 or section 15(d) of the Securities Exchange
Act of 1934, as amended; or, if the Company is not required to file
information, documents or reports pursuant to either of such sections, then to
file with the Trustee and the Commission, in accordance with rules and
regulations prescribed from time to time by the Commission, such of the
supplementary and periodic information, documents and reports which may be
required pursuant to section 13 of the Securities Exchange Act of 1934, as
amended, in respect of a security listed and registered on a national
securities exchange as may be prescribed from time to time in such rules and
regulations;

 

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

 

(c)           to transmit to all Holders of Securities within 30 days
after the filing thereof with the Trustee, in the manner and to the extent
provided in section 313(c) of the Trust Indenture Act, such summaries of any
information, documents and reports required to be filed by the 

 

61

 

Company pursuant to subsections (a) and (b) of this
Section 9.6, as may be required by rules and regulations prescribed from time
to time by the Commission.

 

Section
9.6.  ANNUAL REVIEW CERTIFICATE.  At any time at which there are Outstanding
Securities of any series issued under this Indenture, the Company covenants and
agrees to deliver to the Trustee, within 120 days after the end of each fiscal
year of the Company, a brief certificate from the principal executive officer,
principal financial officer, or principal accounting officer as to his or her
knowledge of whether the Company is in Default under this Indenture.  For purposes of this Section 9.7, such
compliance shall be determined without regard to any period of grace or
requirement of notice provided under this Indenture.

 

Section
9.7.  WAIVER OF CERTAIN COVENANTS.  The Company may omit in any particular
instance to comply with any term, provision or condition as specified pursuant
to Section 3.1(b)(17) for Securities of any series, in any covenants of the
Company added to Article IX pursuant to Section 3.1(b)(16) or Section
3.1(b)(17) in connection with Securities of a series, if before or after the
time for such compliance the Holders of at least a majority in principal amount
of all outstanding Securities, by act of such Holders, waive such compliance in
such instance or generally waive compliance with such term, provision or
condition, but no such waiver shall extend to or affect such term, provision or
condition except to the extent so expressly waived, and, until such waiver
shall become effective, the obligations of the Company and the duties of the
Trustee in respect of any such term, provision or condition shall remain in
full force and effect.

 

ARTICLE X

 

REDEMPTION

 

Section
10.1.  APPLICABILITY OF ARTICLE.  Securities (including coupons, if any) of or
within any series which are redeemable in whole or in part before their Stated
Maturity shall be redeemable in accordance with their terms and (except as
otherwise specified in the applicable Board Resolution or supplemental
indenture with respect to such Series of Securities, as contemplated by Section
3.1 for Securities of any series) in accordance with this Article.

 

Section
10.2.  ELECTION TO REDEEM; NOTICE TO TRUSTEE.  The election of the Company to redeem any
Securities, including coupons, if any, shall be evidenced by a Board
Resolution.  In the case of any
redemption at the election of the Company of less than all the Securities or
coupons, if any, of any series of the same tenor, the Company shall, at least
60 days (45 days in the case of redemption of all Securities of any series or
of any series with the same (i) Stated Maturity, (ii) period or periods within
which, price or prices at which and terms and conditions upon which such
Securities may or shall be redeemed or purchased, in whole or in part, at the
option of the Company or pursuant to any sinking fund or analogous provision or
repayable at the option of the Holder and (iii) rate or rates at which the
Securities bear interest, if any, or formula pursuant to which such rate or
rates accrue (collectively, the “Equivalent Principal Terms”)) prior to the
Redemption Date fixed by the Company (unless a shorter notice shall be
satisfactory to the Trustee), notify the Trustee of such Redemption Date of the
principal amount of Securities of such series to be redeemed and, if
applicable, of the tenor of the Securities to be redeemed.  In the case of any redemption of Securities
(i) prior to the expiration 

 

62

 

of
any restriction on such redemption provided in the terms of such Securities or
elsewhere in this Indenture or (ii) pursuant to an election of the Company
which is subject to a condition specified in the terms of such Securities, the
Company shall furnish the Trustee with an Officers’ Certificate evidencing
compliance with such restriction or condition.

 

Section
10.3.  SELECTION OF SECURITIES TO BE
REDEEMED.  If less than all the
Securities with Equivalent Principal Terms of any series are to be redeemed
(unless all of the Securities of such series and of a specified tenor are to be
redeemed), the particular Securities to be redeemed shall be selected not more
than 60 days prior to the Redemption Date by the Trustee, from the Outstanding
Securities of such series not previously called for redemption, by such method
as the Trustee shall deem fair and appropriate and which may provide for the
selection for redemption of portions (equal to the minimum authorized
denomination for Securities (including coupons, if any) of that series with
Equivalent Principal Terms or any integral multiple thereof) of the principal
amount of Securities (including coupons, if any) of such series with Equivalent
Principal Terms of a denomination larger than the minimum authorized
denomination for Securities of that series. 
Unless otherwise provided in the terms of a particular series of
Securities, the portions of the principal of Securities so selected for partial
redemption shall be equal to the minimum authorized denomination of the
Securities of such series, or an integral multiple thereof, and the principal
amount which remains outstanding shall not be less than the minimum authorized
denomination for Securities of such series.

 

The
Trustee shall promptly notify the Company in writing of the Securities selected
for redemption and, in the case of any Securities selected for partial
redemption, the principal amount thereof to be redeemed.  If the Securities (including coupons, if any)
of a series having different issue dates, interest rates and maturities
(whether or not originally issued in a Periodic Offering) are to be redeemed,
the Company in its discretion may select the particular Securities or portions
thereof to be redeemed and shall notify the Trustee thereof by such time prior
to the relevant redemption date or dates as the Company and the Trustee may
agree.

 

For
purposes of this Indenture, unless the context otherwise requires, all
provisions relating to the redemption of Securities (including coupons, if any)
shall relate, in the case of any Securities (including coupons, if any)
redeemed or to be redeemed only in part, to the portion of the principal amount
of such Securities (including coupons, if any) which has been or is to be
redeemed.

 

Section
10.4.  NOTICE OF REDEMPTION.  Unless otherwise specified as contemplated by
Section 3.1, notice of redemption shall be given by first-class mail, postage
prepaid, mailed not less than 30 days nor more than 60 days prior to the Redemption
Date, unless a shorter period is specified in the Securities to be redeemed, to
each Holder of the Securities to be redeemed.

 

All
notices of redemption shall state:

 

(1)           the Redemption Date;

 

(2)           the Redemption Price and the amount of accrued interest,
if any, to be paid;

 

63

 

(3)           if less than all the Outstanding Securities of a series
are to be redeemed, the identification (and, in the case of partial redemption
of any Securities, the principal amounts) of the particular Security or
Securities to be redeemed;

 

(4)           in case any Security is to be redeemed in part only, the
notice which relates to such Security shall state that on and after the
Redemption Date, upon surrender of such Security, the Holder of such Security
will receive, without a charge, a new Security or Securities of authorized
denominations for the principal amount thereof remaining unredeemed;

 

(5)           the Place or Places of Payment where such Securities are
to be surrendered for payment for the Redemption Price;

 

(6)           that Securities of the series called for redemption and
all unmatured coupons, if any, appertaining thereto must be surrendered to the
Paying Agent to collect the Redemption Price;

 

(7)           that, on the Redemption Date, the Redemption Price will
become due and payable upon each such Security, or the portion thereof, to be
redeemed and, if applicable, that interest thereon will cease to accrue on and
after said date;

 

(8)           that the redemption is for a sinking fund, if such is the
case;

 

(9)           that, unless otherwise specified in such notice, Bearer
Securities of any series, if any, surrendered for redemption must be
accompanied by all coupons maturing subsequent to the Redemption Date or the
amount of any such missing coupon or coupons will be deducted from the
Redemption Price, unless security or indemnity satisfactory to the Company, the
Trustee and any Paying Agent is furnished;

 

(10)         if Bearer Securities of any series are
to be redeemed and any Registered Securities of such series are not to be
redeemed and if such Bearer Securities may be exchanged for Registered
Securities not subject to redemption on this Redemption Date pursuant to
Section 3.5 or otherwise, the last date, as determined by the Company, on which
such exchanges may be made; and

 

(11)         the CUSIP number, if any, of such
Securities.

 

Notice
of redemption of Securities to be redeemed at the election 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 (provided that the Company prepare and
provide to the Trustee the form of such notice, or, if acceptable to the
Trustee, provides sufficient information to enable the Trustee to prepare such
notice, in each case on a timely basis.)

 

Section
10.5.  DEPOSIT OF REDEMPTION PRICE.  On or prior to any Redemption Date, the
Company shall deposit with the Trustee or with a Paying Agent (or, if the
Company is acting as its own Paying Agent, segregate and hold in trust as
provided in Section 9.3) an amount of money in the currency or currencies
(including currency units or composite currencies) in which the Securities of
such series are payable (except as otherwise specified pursuant to Section 3.1
for the Securities of such series) sufficient to pay on the Redemption Date the
Redemption 

 

64

 

Price
of, and (unless the Redemption Date shall be an Interest Payment Date) interest
accrued to the Redemption Date on, all Securities or portions thereof which are
to be redeemed on that date.

 

Unless
any Security by its terms prohibits any sinking fund payment obligation from
being satisfied by delivering and crediting Securities (including Securities
redeemed otherwise than through a sinking fund), the Company may deliver such
Securities to the Trustee for crediting against such payment obligation in
accordance with the terms of such Securities and this Indenture.

 

Section
10.6.  SECURITIES PAYABLE ON REDEMPTION
DATE.  Notice of redemption having
been given as aforesaid, the Securities so to be redeemed shall, on the
Redemption Date, become due and payable at the Redemption Price therein
specified, and from and after such date (unless the Company shall default in
the payment of the Redemption Price and accrued interest) such Securities shall
cease to bear interest and the coupons for any such interest appertaining to
any Bearer Security so to be redeemed, except to the extent provided below,
shall be void and such Securities shall cease from and after the Redemption
Date to be entitled to any benefit or security under this Indenture, and the
Holders thereof shall have no right in respect of such Securities except the
right to receive the Redemption Price thereof and unpaid interest to the
Redemption Date.  Except as provided in
the next succeeding paragraph, upon surrender of any such Security, including
coupons, if any, for redemption in accordance with said notice, such Security
shall be paid by the Company at the Redemption Price, together with accrued
interest, if any, to the Redemption Date; provided, however, that unless
otherwise specified as contemplated by Section 3.1, installments of interest on
Bearer Securities whose Stated Maturity is on or prior to the Redemption Date
and the principal of, and premium, if any, on such Bearer Securities shall be
payable only at an office or agency located outside the United States and it
possessions (except as otherwise provided in Section 9.2) and, unless otherwise
specified as contemplated by Section 3.1, only upon presentation and surrender
of coupons for such interest; and provided, further, that, unless otherwise
specified as contemplated by Section 3.1, installments of interest on
Registered Securities whose Stated Maturity is on or prior to the Redemption
Date shall be payable to the Holders of such Securities, or one or more
Predecessor Securities, registered as such at the close of business on the
relevant Record Dates according to their terms and the provisions of Section
3.7.

 

If
any Bearer Security surrendered for redemption shall not be accompanied by all
appurtenant coupons maturing after the Redemption Date, such Bearer Security
may be paid after deducting from the Redemption Price an amount equal to the
face amount of all such missing coupons, or the surrender of such missing
coupon or coupons may be waived by the Company and the Trustee if there be
furnished to them such security or indemnity as they may require to save each
of them and any Paying Agent harmless. 
If thereafter the Holder of such Bearer Security shall surrender to the
Trustee or any Paying Agent any such missing coupon in respect of which a
deduction shall have been made from the Redemption Price, such Holder shall be
entitled to receive the amount so deducted; provided, however, that interest
represented by coupons shall be payable only at an office or agency located
outside of the United States (except as otherwise provided pursuant to Section
9.2) and, unless otherwise specified as contemplated by Section 3.1, only upon
presentation and surrender of those coupons.

 

65

 

If
any Security called for redemption shall not be so paid upon surrender thereof
for redemption, the principal (and premium, if any) shall, until paid, bear
interest from the Redemption Date at the rate prescribed therefor in the
Security.

 

Section
10.7.  SECURITIES REDEEMED IN PART.  Upon surrender of a Security that is redeemed
only in part at any Place of Payment therefor (with, if the Company or the
Trustee so require, due endorsement by, or a written instrument of transfer in
form satisfactory to the Company and the Trustee duly executed by, the Holder
thereof or his attorney duly authorized in writing), the Company shall execute
and the Trustee shall authenticate and deliver to the Holder of that Security,
without service charge, a new Security or Securities of the same series, having
the same form, terms and Stated Maturity, in any authorized denomination equal
in aggregate principal amount to the unredeemed portion of the principal amount
of the Security surrendered.

 

ARTICLE XI

 

SINKING
FUNDS

 

Section
11.1.  APPLICABILITY OF ARTICLE.  The provisions of this Article shall be
applicable to any sinking fund for the retirement of Securities of a series
except as otherwise specified as contemplated by Section 3.1 for Securities of
such series.

 

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 Securities of any series is herein referred to as an “optional sinking
fund payment.” If provided for by the terms of Securities of any series, the
cash amount of any sinking fund payment may be subject to reduction as provided
in Section 11.2.  Each sinking fund
payment shall be applied to the redemption of Securities of any series as
provided for by the terms of Securities of such series.

 

Section
11.2.  SATISFACTION OF SINKING FUND
PAYMENTS WITH SECURITIES.  The Company
(i) may deliver Outstanding Securities of a series (other than any previously
called for redemption) together, in the case of Bearer Securities of such
series, with all unmatured coupons appertaining thereto 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 the Securities of such series required to
be made pursuant to the terms of such Securities as provided for by the terms
of such series; provided that such Securities have not been previously so
credited.  Such Securities shall be
received and credited for such purpose by the Trustee at the Redemption Price
specified in such Securities for redemption through operation of the sinking
fund and the amount of such sinking fund payment shall be reduced accordingly.

 

Section
11.3.  REDEMPTION OF SECURITIES FOR
SINKING FUND.  Not less
than 60 days prior to each sinking fund payment date for any series of
Securities, the Company will deliver to the Trustee an Officers’ Certificate
specifying the amount of the next ensuing sinking fund payment for that series
pursuant to the terms of that series, the portion thereof, if any, which 

 

66

 

is
to be satisfied by payment of cash and the portion thereof, if any, which is to
be satisfied by delivering and crediting Securities of that series pursuant to
Section 11.2 and will also deliver to the Trustee any Securities to be so
delivered.  Not less than 30 days before
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 10.3 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 10.4.  Such notice having been duly given, the
redemption of such Securities shall be made upon the terms and in the manner
stated in Sections 10.6 and 10.7.

 

This
Indenture may be executed in any number of counterparts, each of which shall be
an original, but such counterparts shall together constitute but one
instrument.

 

67

 

IN
WITNESS WHEREOF, the parties hereto have caused this Indenture to be duly
executed, and their respective corporate seals to be hereunto affixed and
attested, all as of the day and year first above written.

 

	
   

  	
  EXACT
  SCIENCES CORPORATION

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
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  [                ],
  as Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
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68Exhibit
10.6

 

LEASE AGREEMENT

 

THIS
LEASE, is entered into effective on the 1st day of October, 2006, between
Powers Avenue Joint Venture, a Florida partnership, hereinafter referred to as “Landlord”
and Body Shop of America, Inc., a Florida corporation, hereinafter
referred to as “Tenant”.

 

Landlord
and Tenant agree as follows:

 

ARTICLE I- DEMISE AND
TERM

 

SECTION 1.01 DEMISE AND
ACCEPTANCE GENERALLY:  Landlord
leases to the Tenant, and Tenant rents and leases from Landlord, the premises
hereinafter described upon the terms and conditions hereinafter set forth.

 

SECTION 1.02 PREMISES:  The leased premises consist of the property
located at 6225 Powers Avenue, Jacksonville, Florida 32217 and described on
attached Exhibit A, together with all improvements (the “Building”)
now located thereon, and is hereafter referred to as the “Premises.”

 

SECTION 1.03 COMMENCEMENT
AND DURATION OF LEASE:  This
Lease shall be effective and the Rent Commencement Date is October 1,
2006.  The term (“Term”) and duration of
this Lease shall be for a period beginning on the Rent Commencement Date and
ending ten (10) years thereafter.

 

ARTICLE II - RENT

 

SECTION 2.01 AMOUNT OF
MINIMUM RENT:  Yearly Rent
for the calendar year 2006 is Four Hundred Eight Thousand ($408,000.00)
Dollars.  Rent payments due hereunder are
payable in monthly installments of Thirty-four Thousand ($34,000.00) Dollars (“Minimum
Monthly Rent”) due in advance, on the first (1st) day of each month beginning
on the Rent Commencement Date and continuing thereafter during the Term hereof,
without demand, prior notice, set-off, deduction or abatement whatsoever.  Yearly Rent for the initial year and the year
in which the Term of this Lease shall terminate shall be pro rated under this
Lease.

 

Commencing
on the 1st day of January next following the Rent
Commencement Date and on each January 1 thereafter (each such date a “Rent
Adjustment Date”) the Minimum Monthly Rent then in effect shall be increased or
decreased by a percentage equal to the percentage increase in the Index
published for the month, which is four (4) months prior to the Rent
Adjustment Date compared to the Index published for the month, which is sixteen
(16) months prior to such Rent Adjustment Date.

 

The
Index refers to the Consumer Price Index published by the United States
Department of Labor, Bureau of Labor Statistics Consumer Price Index, Sub-group
“All Items” entitled “All Urban Consumers”, “United States City Average (1982 –
1984 = 100)”. If the publication of the Consumer Price Index of the U.S. Bureau
of Labor Statistics is discontinued, comparable statistics on the purchasing
power of the consumer dollar published by a responsible financial periodical
mutually acceptable to Landlord and Tenant shall be used for making such
computations.

 

SECTION 2.02 PAYMENT OF
RENT:  All rent shall be payable by
the Tenant to the Landlord at 6225 Powers Avenue, Jacksonville, Florida 32217,
or to such other address as Landlord may hereafter designate by written notice
to Tenant.

 

SECTION 2.03 LEASE YEAR
DEFINED:  “Lease Year” as used herein
shall mean a twelve month period, the first Lease Year commencing on the Rent
Commencement Date, and each successive Lease Year commencing on the successive
anniversaries thereof.

 

 

ARTICLE III -
EXPENSES PAYABLE BY TENANT

 

SECTION 3.01 NET
INTENT.  Except as otherwise provided
herein (including without limitation, Sections 6.02 and 9.01), all costs and
expenses and relating to the operation of the Premises and the use or occupancy
thereof shall be paid by Tenant (it being the intent hereof that this is a “net-net-net”
lease to the Landlord).

 

SECTION 3.02 TENANT
UTILITIES.  The Tenant
shall pay for all utilities consumed by Tenant on or in connection with the use
and occupancy of the Premises, including, without limitation, water, gas, sewer
and electricity, the amounts of such utilities attributable to Tenant’s use to
be determined in accordance with separate meters for the Premises.

 

SECTION 3.03 TENANT TO
PAY ALL TAXES

 

Tenant
shall pay, together with each payment of Minimum Monthly Rent, all sales tax
thereon.  Tenant shall pay all real
property taxes and general and special assessments (“Real Property Taxes”)
levied against the Premises during the Term of this Lease within 30 days after
the same become due and payable; provided, however, taxes for the initial year
and the year in which the Term of this Lease shall terminate shall be pro-rated
with Landlord. Tenant shall furnish to Landlord receipt for payment of the Real
Property Taxes promptly after payment thereof by the Tenant. The provisions of
this Section shall survive the termination of the Term of this Lease.

 

SECTION 3.04 ADDITIONAL
RENT:  All costs and expenses which
Tenant assumes or agrees to pay pursuant to this Lease shall be treated as
additional rent and, in the event of nonpayment which continues beyond
applicable grace and cure periods set forth in Section 10.02, Landlord
shall have all the rights and remedies herein provided for in the case of
nonpayment of rent. If Tenant shall default in making any payment required to
be made by Tenant or shall default in performing any term, covenant or
condition of this Lease on the part of Tenant to be performed, which shall
involve the expenditure of money by Tenant, Landlord at Landlord’s option may,
but shall not be obligated to, make such payment, or, on behalf of Tenant,
expend such sum as may be necessary to perform and fulfill such term, covenant
or condition, and any and all sums so expended by Landlord, with interest
thereon at the rate of eight percent (8%) per annum from the date of such
expenditure, shall be additional rent, and shall be repaid by Tenant to
Landlord, on demand, but no such payment or expenditure by Landlord shall be
deemed a waiver of Tenant’s default nor shall it affect any other remedy of
Landlord by reason of such default.

 

ARTICLE IV - INSURANCE

 

SECTION 4.01 PROPERTY
INSURANCE:  Tenant, at
its sole cost and expense, shall keep the improvements on the Premises, and all
appurtenances attached to or located in or upon the Premises, insured, for the
mutual benefit of Landlord and any mortgagee of Landlord and Tenant, during the
Term of this Lease against loss or damage by fire and other risks, including
but not limited to windstorm, now or hereafter embraced or covered by a policy
of standard fire and extended coverage insurance with vandalism and malicious
mischief endorsements for no less than their full replacement value.

 

SECTION 4.02 LIABILITY
INSURANCE:  Tenant, at
its sole cost and  expense, but for
the mutual benefit of Landlord and any mortgagee of Landlord and Tenant, shall
maintain personal injury and property damage liability insurance against claims
for personal injury, death or property damage occurring in, on or about the
Premises or other areas which by law are the responsibility of the landowner,
such insurance to afford minimum protection during the Term of this Lease, of
not less than Two Million Dollars ($2,000,000.00) combined limit (including the
Tenant’s excess liability coverage) in respect of personal injury or death, and
of not less than Five Hundred Thousand Dollars ($500,000.00) for property
damage.

 

SECTION 4.03
MISCELLANEOUS: All insurance provided for in this Article IV
shall be  effected under  valid and enforceable insurers licensed to
do business in the State of Florida whose capital assets are sufficient to
write the insurance under Florida law without re-insurance and who have a Best’s
rating

 

2

 

of A or better. Upon the execution of this Lease,
and thereafter not less than thirty (30) days prior to the expiration dates of
the expiring policies theretofore furnished pursuant to this Article IV,
certificates of all policies (or the original or duplicate original policies
evidencing such insurance, bearing evidence of the payments of premiums or
accompanied by other evidence of insurance and payment of premiums satisfactory
to Landlord, shall be delivered by Tenant to Landlord. All policies of
insurance provided for herein shall name Landlord, any mortgagees of Landlord and
Tenant as the insureds, as their respective interests may appear. Each such
policy shall contain an agreement by the insurer that such policy shall not be
cancelled or modified without at least ten (10) days’ prior written notice
to Landlord, and any other person to whom a loss thereunder may be
payable.  All policy limits shall be
subject to increase at Landlord’s option based upon inflation, increased
liability awards, recommendations of Landlord’s professional insurance
advisers, and other relevant factors. 
Each such policy shall contain waiver of subrogation rights against
Landlord and Tenant, to the extent obtainable.

 

ARTICLE V -
REPRESENTATIONS AND WARRANTIES

 

Landlord
represents and warrants to Tenant as follows:

 

SECTION 5.01.  The Building and all heating, ventilating,
air conditioning, plumbing, electrical and other utility systems in the
Building or on the Premises are in good condition and repair and, without
limitation, are in a state of maintenance and repair which is equal to or
better than that required by Section 6.01 of the Lease.

 

SECTION 5.02.  The Building and the Premises are in
compliance with all building, zoning, subdivision, environmental protection,
health and safety laws and regulations, and all requirements of property and
liability insurers.

 

SECTION 5.03.  Tenant’s permitted use is allowed under
applicable zoning by-laws.

 

SECTION 5.04.  The lease to Tenant is permitted under all
agreements to which Landlord is a party, or by which the property is bound,
including any and all mortgage and financing agreements.

 

SECTION 5.05.  No governmental permits are required for
occupancy by Tenant for the permitted use, except as described herein.

 

ARTICLE VI - REPAIRS,
REPLACEMENT, AND MAINTENANCE

 

SECTION 6.01 TENANT’S
OBLIGATION TO MAINTAIN: 
Subject to Landlord’s obligations pursuant to Section 6.02 of this
Lease, Tenant shall, at all times during the Term hereof, at Tenant’s sole cost
and expense, perform ordinary maintenance and repair of the Premises in order
to keep the Premises in good order and condition, but in no event shall Tenant
have any obligation to perform any capital repairs or replacements during the
Term hereof.

 

SECTION 6.02 LANDLORD’S
OBLIGATION TO REPAIR.  Landlord
shall, at Landlord’s sole cost and expense, promptly make all repairs and
replacements that may be necessary to cure any defects, deficiencies or
violations whether foreseen or unforeseen, latent or otherwise, in the roof,
walls, structural portions of the Premises, irrespective of whether above or
below ground level, as well as such defects or deficiencies which in the
opinion of the public body having jurisdiction must be remedied as a condition
to compliance of the Premises and the improvements therein, thereon or
constituting a part thereof with all lawful requirements.  Without limiting the generality of the
foregoing, Landlord shall be responsible, at its sole cost and expense, for all
environmental liabilities and violations of applicable environmental laws
related to the Premises, unless such liabilities or violations are caused by an
act or omission of Tenant.

 

SECTION 6.03 MAKING
REPAIRS AND ALTERATIONS: 
Landlord and Tenant each agree that it will procure all necessary
permits before making any repairs, alterations, other improvements or
installations.

 

3

 

SECTION 6.04 NOT
SUBJECT TO MECHANIC OR MATERIALMEN’S LIENS:  The interest of the Landlord shall not be
subject to lien for improvements made by the Tenant, and this Lease expressly
prohibits such liability beyond applicable grace and cure periods set forth in Section 10.2.

 

ARTICLE VII - USE OF
PREMISES

 

The
Premises shall be used for any and all lawful purposes not prohibited by
applicable zoning laws and regulations.

 

ARTICLE VIII -
ASSIGNMENT AND SUBLETTING

 

Tenant
shall not assign Tenant’s interest in this Lease or sublet the Premises, or any
portion thereof, without the prior written consent of the Landlord, which
consent the Landlord agrees will not be unreasonably withheld or delayed,
provided that Tenant shall be permitted to sublet up to 49% of the Premises in
the aggregate without obtaining the prior written consent of Landlord.  No assignment or sublease shall release or
otherwise discharge Tenant from Tenant’s obligations and liabilities hereunder.

 

Notwithstanding
any of the foregoing to the contrary, without Landlord’s consent Tenant may
assign this Lease or sublet the Premises or any portion thereof to any entity
which (i) directly or indirectly controls, is directly or indirectly
controlled by, or is under direct or indirect common control with, Tenant, (ii) acquires
all or substantially all of the assets or ownership interests of Tenant, (iii) is
the resulting entity of a merger, consolidation, sale of stock or other
reorganization of Tenant, or (iv) is a bank or other lending institution
which obtains a leasehold mortgage for the purposes of securing financing by
the Tenant.  Furthermore, after a
foreclosure or deed-in-lieu of foreclosure of a leasehold mortgage, the holder
of such mortgage shall be entitled to a one time free assignment of the Lease
without obtaining the prior written consent of Landlord.

 

ARTICLE IX - DAMAGE
AND DESTRUCTION

 

SECTION 9.01 LANDLORD’S
OBLIGATION TO RESTORE AND REPAIR:  In the event that the improvements or any
portion thereof, shall be damaged or destroyed, by fire, the elements or other
casualty, whether such damage or destruction renders the Premises unfit for the
use contemplated hereby, this Lease shall continue in full force and effect,
and Landlord, at Landlord’s sole cost and expense, and as expeditiously as
possible, shall restore, repair and replace the improvements to the Premises
and all portions thereof to the condition as required by this Lease and, in any
event, to a condition at least as good and of at least the same fair market
value as existed immediately prior to such damage or destruction.

 

Notwithstanding
the foregoing, such repair shall, in any event, be completed within 180 days
after the date of such casualty.  If
Landlord does not complete such repair or restoration within such 180 day
period Tenant may cancel this Lease at any time thereafter by written notice to
the Landlord. Until such repairs or restoration are completed the rent
hereunder shall be abated in its entirety, except to the extent the Tenant is
able to use the Premises in which event the rent shall be adjusted to reflect
such use.

 

SECTION 9.02
APPLICATION OF INSURANCE PROCEEDS:  The hazard insurance  proceeds under the policies maintained by
Landlord for the Premises shall be held by Landlord and applied toward the cost
of all repairs and restoration Landlord is required to make under this Article IX.

 

ARTICLE X - QUIET
ENJOYMENT - BREACH AND LANDLORD’S REMEDIES

 

SECTION 10.01 COVENANT
OF QUIET ENJOYMENT: Upon payment of the rent and additional rent
herein provided, and observance and performance of all the covenants, terms and
conditions on Tenant’s part, the Landlord covenants that Tenant shall peaceably
and quietly hold and enjoy the Premises for the Term herein demised without
hindrance or interruption by the Landlord or any other person, or persons,
lawfully or equitably claiming by, through or under the Landlord.

 

4

 

SECTION 10.02 TENANT’S
DEFAULT: Upon the failure of Tenant (a) to pay the rent or additional
rent within ten (10) days after the receipt of a written notice of such
non-payment from Landlord or (b) to perform any other covenant or
agreement herein made within thirty (30) days of the receipt of any written
notice from Landlord, or if such performance cannot reasonably occur within 30
days, within such further time as may be necessary to complete such
performance, so long as such party diligently pursues such performance to
completion; then Landlord may, at Landlord’s option, terminate this Lease and
the Term hereof by giving to the Tenant ten (10) days’ written notice of
such termination.  In the event of any
termination of the Lease by Landlord pursuant to this Section 10.02 the
Tenant shall, notwithstanding such termination, continue to pay and be liable
for on the days originally fixed herein for they payment thereof, amounts equal
to the several installments of rent and any other charges herein reserved as
they would, under the terms of this Lease, become due if this Lease had not
been terminated and whether the Premises be relet or remain vacant in whole or
in part or for a period less than the remainder of the Term, or for the whole
thereof.  Landlord shall make reasonable
efforts to relet the Premises after any such termination.  In the event the Premises are relet, in whole
or in part, by the Landlord, the Tenant shall be entitled to a credit in the
net amount of rent received by the Landlord in reletting, after deduction of
reasonable expenses incurred in reletting the Premises and in collecting the
rent in connection therewith.  The Tenant
shall also be liable to the Landlord for all expenses (including reasonable
attorney’s fees) incurred by the Landlord in enforcing its rights under this
Lease in the event of a default by the Tenant, and such expenses may also be
deducted from any credit due the Tenant on account of any reletting by the
Landlord.

 

SECTION 10.03 LEGAL
FEES:  In the event of any litigation
between the parties under this Lease, the prevailing party in such litigation
shall be entitled to receive a reasonable attorney’s fee (including mediation,
arbitration, pretrial, all levels of appeal, and bankruptcy), and all
reasonable costs and expenses of any and all such proceedings.

 

SECTION 10.04 LATE CHARGE:  Tenant will pay a “late charge” to Landlord
equal to 8% of all rent and additional rent, paid more than 10 days after the
receipt of written notice of such non-payment from Landlord.

 

SECTION 10.05 LANDLORD’S
DEFAULT:  Notwithstanding anything herein
otherwise provided, in no event may Landlord be in default hereunder unless at
least 30 days’ written notice thereof is given to Landlord and Landlord shall
fail to cure the same by the date fixed in such notice.

 

ARTICLE XI - TENANT
TO KEEP PREMISES LIEN FREE

 

Tenant
agrees to keep the Premises at all times free of mechanic’s liens and other
liens for labor, services, or material purchased or procured, directly or
indirectly, by or for Tenant.

 

ARTICLE XII -
ESTOPPEL CERTIFICATE

 

Landlord
and Tenant shall, without charge, at any time and from time to time hereafter,
within 10 days after written request of the other party, certify by a written
instrument duly executed and acknowledged to any mortgagee, lender, purchaser
or assignee, or proposed mortgagee, purchaser, lender or assignee, as to the
then validity and force and effect of this Lease, as to any work to be done
thereunder by either party, as to the existence or non-existence of any default
on the part of the other party hereunder, and as to the existence or
non-existence of any offsets, counterclaims or defenses thereto on the part of
the other party.

 

ARTICLE XIII - SUBORDINATION

 

SECTION 13.01
SUBORDINATION OF LEASE:  At
Landlord’s request, Tenant shall subordinate this Lease and the estate of Tenant
hereunder to any mortgage lien (hereafter, the “Mortgage”) which now encumbers
or which at any time hereafter may encumber the Premises (such Mortgage and any
replacement, renewal, modification, consolidation, or extension thereof being
sometimes hereinafter 

 

5

 

referred to as an “Encumbrance”); provided,
however that the holder of such Encumbrance agrees that Tenant’s occupancy
of the Premises and its rights under this Lease will not be disturbed in the
event of foreclosure or other transfer of Landlord’s interest in the Premises
to such holder or its successor in interest so long as Tenant is not in default
under the terms of this Lease, beyond any applicable notice, grace or cure
periods, and that the holder of such Encumbrance agrees to assume the
obligations of Landlord under this Lease from and after the date such holder or
its successor assumes such obligation. 
Notwithstanding the foregoing, any holder of an Encumbrance may elect
that this Lease shall have priority over such Encumbrance and, upon
notification of such election by the holder of such Encumbrance, this Lease
shall be deemed to have priority over such Encumbrance, whether this Lease is
dated prior to or subsequent to the date of such Encumbrance.

 

Landlord
represents and warrants that as of the date of this Lease, there are no
Encumbrances that are or may be prior or paramount to this Lease.

 

SECTION 13.02
ATTORNMENT BY TENANT: 
Tenant agrees that if the holder of any Encumbrance or any persons
claiming under said Encumbrance shall succeed to the interest of Landlord in
this Lease, Tenant shall recognize and attorn to said holder as Landlord under
the terms of this Lease.  Tenant agrees
that it will, upon the request of Landlord, execute, acknowledge and deliver
any and all instruments necessary or desirable to give effect or notice of such
Attornment.

 

ARTICLE XIV -
COMPLETION OF IMPROVEMENTS

 

SECTION 14.01
NON-STRUCTURAL ALTERATIONS, ADDITIONS AND IMPROVEMENTS.  The Tenant, at its sole cost, shall have the
right to make such non-structural alterations, additions and improvements to
the Premises as may be necessary for its business, provided that such
non-structural alterations, additions and improvements do not decrease the
value of the Premises.

 

SECTION 14.02
STRUCTURAL ALTERATIONS, ADDITIONS AND IMPROVEMENTS, CONSTRUCTION OF ADDITIONAL
BUILDINGS.  The Tenant,
at its sole cost, shall have the right, with the prior written consent of the
Landlord (which consent shall not be unreasonably withheld or delayed) to make
such structural alterations, additions and improvements (“Structural
Alterations”) to the Premises, as may be necessary for its business, provided (a) the
Landlord shall have received written notice of any proposed Structural Alterations
not less than sixty days prior to the date on which work on such Structural
Alterations are to commence, (b) the architecture, workmanship and
materials employed in any Structural Alterations are similar to that of the
existing Building and other improvements on the Premises, and (c) such
Structural Alterations will not decrease the value on the Premises.

 

SECTION 14.03 INCLUSION
IN THE PREMISES.  Any and all
alterations, additions or improvements (including Structural Alterations) to
the Premises made by the Tenant during the Term shall be the property of the
Landlord without payment therefor by the Landlord, and shall be deemed included
in the Premises, and the terms and conditions of this Lease shall be fully
applicable thereto.  Tenant may, prior to
making any such additions, alterations or improvements, request Landlord’s
consent to their removal at the end of the Term.  If such consent is requested Landlord shall
be deemed to have given such consent unless a written denial is given to Tenant
within 15 days after such consent is requested.

 

ARTICLE XV -
GOVERNMENTAL REQUIREMENTS

 

SECTION 15.01 TENANT’S
GOVERNMENTAL REQUIREMENTS. Except as provided in Section 15.02,
Tenant shall, at its sole cost, comply with all requirements of all local,
municipal, county, state and federal governmental and fire underwriting
authorities now in force or which may hereafter be in force pertaining solely
to the specific use or operation of the Premises and any portion thereof by
Tenant, and shall faithfully observe all municipal and county ordinances and
state and federal statutes and regulations now in force or which may hereafter
be in force.

 

6

 

SECTION 15.02 LANDLORD’S
GOVERNMENTAL REQUIREMENTS. 
Landlord shall, at its sole cost and expense, comply with all
requirements of all local, municipal, county, state and federal governmental
and fire underwriting authorities now in force or which may hereafter be in
force pertaining to the ownership, operation, construction and maintenance of
the Premises, and any portion thereof, and shall faithfully observe all
municipal and county ordinances and state and federal statutes and regulations
now in force or which may hereafter be in force, including, without limitation,
the Americans with Disabilities Act and all laws and regulations relating to
protection of the environment.

 

ARTICLE XVI -
INDEMNIFICATION

 

Tenant
is and shall be in exclusive control and possession of the Premises, and
Landlord shall not in any event whatsoever be liable for any injury or damage
to any property or to any person happening on or about the Premises, or for any
injury or damage to any property of any tenant, lessee, business invitee,
guest, or licensee or of any other person contained therein, resulting from the
act or omission of Tenant.  Tenant hereby
indemnifies and agrees to hold the Landlord harmless from and against any and
all claims, liabilities, loss, damages, costs or expenses whatsoever resulting
from the acts or omissions of Tenant.

 

Notwithstanding
the foregoing, Tenant shall not in any event whatsoever be liable for any
injury or damage to any property or to any person happening on or about the
Premises, or for any injury or damage to any property of any tenant, lessee,
business invitee, guest, or licensee or of any other person contained therein,
which is not the result of acts or omissions of Tenant.  Landlord hereby indemnifies and agrees to
hold the Tenant harmless from and against any and all claims, liabilities,
loss, damages, costs or expenses whatsoever resulting from all of such other
causes or events.

 

ARTICLE XVII -
TERMINATION AND PRORATIONS

 

SECTION 17.01
TERMINATION:  The Tenant
covenants and agrees that at the termination of this Lease, whether by default,
lapse of time or otherwise, the Tenant shall peaceably and quietly surrender
possession and vacate the Premises immediately, and deliver possession thereof
to the Landlord. The Premises will be surrendered by the Tenant to the Landlord
in as good condition as prevailed at the time of commencement of the Term
hereof.

 

SECTION 17.02 PRORATION:  Provided that this Lease is not terminated on
account of Tenant’s default all taxes, assessments, and any other similar
expense or cost pertaining to the Premises, to the extent the same are the
obligation of the Tenant, shall be prorated on the day of termination of this
Lease; and any prepaid amounts due and owing under said proration to the Tenant
shall be repaid by Landlord, and any amounts unpaid, but prorated to be an
obligation of Tenant hereunder, shall be paid by the Tenant at the termination
of the Lease to the Landlord. The provisions of this Article XVII shall
survive the expiration or sooner termination of this Lease.

 

ARTICLE XVIII - OPTION TO EXTEND

 

Provided
that the Tenant shall not currently be in default hereunder, beyond applicable
grace and cure periods, Tenant shall have the right to extend the Term of this
Lease for two (2) consecutive periods of two (2) years each, on the
same terms and conditions as provided herein.

 

In
order for Tenant to elect to extend the Term of this option as provided, Tenant
shall give written notice to the Landlord at least 6 months prior to the
expiration of the then existing Term of its election to extend the Term as
provided herein.

 

ARTICLE XIX - GENERAL
COVENANTS

 

SECTION 19.01
CONSTRUCTION:  Whenever
the context of any provision shall require it, the singular number shall be
held to include the plural number and vice versa; and the use of any gender 

 

7

 

shall include any other or all genders. The Article and
Section headings in this Lease are for convenience only and do not
constitute a part of the provisions hereof. 
This Lease binds, applies to and inures to the benefit of, as the case may
require, the respective heirs, personal representatives, successors and assigns
of Landlord and Tenant.

 

This
Lease and the terms and provisions thereof shall not be construed more strongly
against the party preparing or causing the same to be prepared.

 

SECTION 19.02
MODIFICATION:  No waiver,
change, modification or discharge, in whole or in part, of any provision hereof
shall be deemed to have been made by either party unless such waiver, change,
modification or discharge be in writing signed by such party.

 

SECTION 19.03
ACCEPTANCE OF RENT:  No payment
by Tenant or receipt by Landlord of a lesser amount than the rent herein
stipulated shall be deemed to be other than on account of the stipulated rent,
nor shall any endorsement or statement on any check nor any letter accompanying
any check or payment as rent be deemed an accord and satisfaction, and Landlord
may accept such check or payment without prejudice to Landlord’s right to
recover the balance of such rent or pursue any other remedy in this Lease
provided.

 

SECTION 19.04 RIGHT TO
CURE:  Each of Tenant and Landlord
may, but shall not be obligated to, cure, at any time, without notice, any
default under this Lease uncured by the responsible party under this Lease as
and within the time periods provided herein; and whenever the curing party so
elects, all reasonable costs and expenses incurred by the curing party in
curing a default and including, without limitation, reasonable attorney’s fees,
(including all levels of appeal), together with interest on the amount of costs
and expenses so incurred at the rate of 8% per annum, shall be paid by the
responsible party to the curing party on demand, and shall be recoverable as
additional rent.

 

SECTION 19.05 NOTICES:  All notices required or desired to be given
hereunder shall be in writing and shall be valid and deemed delivered when
mailed by United States Registered or Certified Mail, Return Receipt Requested,
postage and charge prepaid thereon to carry it to its addressed destination,
said notices to be addressed as follows:

 

	
  TO
  LANDLORD:

  	
   

  	
  6225
  Powers Avenue

  Jacksonville, FL 32217

  
	
   

  	
   

  	
   

  
	
  TO
  TENANT:

  	
   

  	
  6225
  Powers Avenue

  Jacksonville, FL 32217

  

 

Either
Landlord or Tenant may change the place to which notice to that party shall
thereafter be given and addressed by giving written notice to the other party
in the manner set forth above.

 

SECTION 19.06
RECORDATION:  Tenant will
not record this Lease.  Landlord or
Tenant may record short form giving notice as provided in Florida Statutes, Section 713.10.

 

SECTION 19.07 NO BROKER:  Each party represents to the other that it
had no dealings with any broker in connection with this Lease, and agrees to
hold the other harmless from and against any and all claims, liabilities and/or
damages for brokerage commission claimed by any broker with whom it has dealt
with respect to this Lease or the negotiation thereof.

 

SECTION 19.08
COUNTERPARTS:  This
instrument may be executed in any number of counterparts, each of which shall
be deemed an original for all purposes, and all of which shall be one and the
same document.

 

8

 

SECTION 19.09 TIME OF
ESSENCE: Time is of the essence of each and every provision of this Lease.

 

SECTION 19.10 WAIVER:  The failure of the Landlord to insist in any
one or more instances upon the strict performance of any one or more of the
covenants, terms and agreements of this Lease, shall not be construed as a
waiver of such covenants, terms or agreements, but the same shall continue in
full force and effect, and no waiver by the Landlord of any of the provisions
hereof shall in any event be deemed to have been made (by acceptance of rent or
otherwise) unless the same be expressed in writing, signed by the Landlord, and
all remedies provided for by the terms of this Lease shall be cumulative.

 

SECTION 19.11
SEVERABILITY:  If any
provision or portion thereof of this Lease is declared or found by any court of
competent jurisdiction to be unenforceable or null and void, such provision or
portions thereof shall be deemed stricken and severed from this Lease, and the
remaining provisions and portions thereof shall continue in full force and
effect. If a portion is so stricken, it is the intention of the parties that
the court give such provision its nearest valid and legal meaning.

 

SECTION 19.12 ENTIRE
AGREEMENT:  This Lease
constitutes the entire agreement between the parties hereto.  Except as set forth herein, there are no
promises, representations, or understandings between the parties of any kind or
nature whatsoever.

 

9

 

IN
WITNESS WHEREOF, the parties hereto have executed this Lease Agreement
effective the day and year first above written.

 

	
  Signed,
  sealed, and delivered in the presence of:

  	
   

  	
  Powers
  Avenue Joint Venture

  
	
   

  	
   

  	
   

  
	
  /s/ Gardner F. Davis

  	
   

  	
  By:

  	
  /s/ Jerrold Rosenbaum

  
	
  Print Name Gardner F. Davis

  	
   

  	
   

  	
  A Managing Partner

  
	
   

  	
   

  	
   

  
	
  /s/
  Brenda M. Jones

  	
   

  	
   

  
	
  Print
  Name Brenda M. Jones

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  As to Landlord

  	
   

  	
  “LANDLORD”

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  /s/
  J. Ryan McCarthy

  	
   

  	
   

  
	
  Print
  Name J. Ryan McCarthy

  	
   

  	
  Body
  Shop of America, Inc.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  /s/
  Matthew T. Carroll

  	
   

  	
  By:

  	
  /s/ Carlo von Schroeter

  
	
  Print
  Name Matthew T. Carroll

  	
   

  	
   

  	
  Its Vice President

  
	
   

  	
   

  	
   

  
	
  As to Tenant

  	
   

  	
  “TENANT”

  
					

 

10

 

Exhibit A

 

LAND DESCRIPTION

 

That
certain piece, parcel or tract of land, situate, lying and being a part of
Tract 1, as shown on the Acreage Replat of part of Dixie Farms, as recorded in
Plat Book 14, page 100 of the current public records of Duval County,
Florida, and being more particularly described as follows:

 

Beginning
at the intersection of the Northeasterly right of
way line of Powers Avenue (an 80-foot right of way as now
established by the office of the County Engineer), with the Southeasterly right
of way line of Morton Street (formerly Arthur Street, a 50-foot right of
way as shown on said Plat of Dixie Farms); thence North 52”58’49” East
along said Southeasterly right of way line of Morton Street, 650.01 feet to its
intersection with the Southwesterly right of way line of the Florida East
Coast Railroad right of way (a 100-foot right of way as shown
on said Plat); thence South 31”11’24” East along said Southwesterly
right of way of said Railroad, 440.0 feet; thence South 56”30’12” West,
646.45 feet to said Northeasterly right of way line of Powers Avenue;
thence North 31”17’40” West along said Northeasterly right of way line, 400.0
feet to the point of beginning.

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