Document:

exv4w2

EXHIBIT 4.2

      

      

FIRST SUPPLEMENTAL INDENTURE

 

FIRSTENERGY SOLUTIONS CORP.

AND

THE BANK OF NEW YORK MELLON TRUST COMPANY, N.A.

TRUSTEE

TO

INDENTURE

Dated as of August 1, 2009

 

Dated as of August 1, 2009

 

4.80% Senior Notes due 2015

6.05% Senior Notes due 2021

6.80% Senior Notes due 2039

      

      

 

 

     The FIRST SUPPLEMENTAL INDENTURE, dated as of August 1, 2009 (the “First Supplemental
Indenture”) between FIRSTENERGY SOLUTIONS CORP., a corporation duly organized and existing
under the laws of the State of Ohio (herein called the “Company”), having its principal
office at 341 White Pond Drive, Akron, Ohio 44320, and THE BANK OF NEW YORK MELLON TRUST COMPANY,
N.A., a banking association duly organized and existing under the laws of the United States of
America, as Trustee (herein called the “Trustee”) under the Indenture dated as of August 1,
2009 between the Company and the Trustee (hereinafter called the “Original Indenture” and
as hereby supplemented, the “Indenture”).

RECITALS OF THE COMPANY

     WHEREAS, the Company entered into the Original Indenture to provide for the issuance from time
to time of its unsecured debentures, notes or other evidences of indebtedness (therein called the
“Securities”), in an unlimited aggregate principal amount to be issued in one or more
series as contemplated therein;

     WHEREAS, pursuant to the terms of the Indenture, the Company desires to provide for the
establishment of three new series of its Securities to be known as its 4.80% Senior Notes due 2015
(the “2015 Notes”), 6.05% Senior Notes due 2021 (the “2021 Notes”) and 6.80% Senior
Notes due 2039 (the “2039 Notes,” and together with the 2015 Notes and the 2021 Notes, the
“Senior Notes”), respectively, the form and substance of such Senior Notes and the terms,
provisions and conditions thereof to be set forth as provided in the Original Indenture and this First
Supplemental Indenture;

     WHEREAS, pursuant to the terms of the Guaranties (as defined below), the payment of each of
the Senior Notes is unconditionally and jointly and severally guaranteed by the Company’s wholly
owned subsidiaries, FirstEnergy Generation Corp. (“FGCO”) and FirstEnergy Nuclear
Generation Corp. (“NGC”);

     WHEREAS, the Company desires and has requested the Trustee to join with it in the execution
and delivery of this First Supplemental Indenture, and all requirements necessary to make this
First Supplemental Indenture a valid instrument, in accordance with its terms, and to make the
Senior Notes, when executed by the Company and authenticated and delivered by the Trustee, the
valid obligations of the Company have been satisfied;

     NOW THEREFORE, in consideration of the premises and in further consideration of the sum of One
Dollar in lawful money of the United States of America paid to the Company by the Trustee at or
before the execution and delivery of this First Supplemental Indenture, the receipt whereof is
hereby acknowledged, and of other good and valuable consideration, it is agreed by and between the
Company and the Trustee, for the equal and proportionate benefit of all holders of the Senior
Notes, as follows:

ARTICLE ONE

DEFINITIONS AND OTHER PROVISIONS OF GENERAL APPLICATION

     Section 101. Definitions. Each capitalized term used but not defined in
this First Supplemental Indenture shall have the meaning assigned to such term in the Original
Indenture.

 

 

For all purposes of this First Supplemental Indenture, except as otherwise
expressly provided or unless the context otherwise requires:

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

     (b) all terms used herein without definition which are defined in the Trust Indenture Act,
either directly or by reference therein, have the meanings assigned to them therein;

     (c) all accounting terms not otherwise defined herein have the meanings assigned to them in
accordance with GAAP (as defined below); provided, however, that in determining GAAP applicable to
the Company, the Company shall, to the extent required, conform to any order, rule or regulation of
any administrative agency, regulatory authority or other governmental body having jurisdiction over
the Company;

     (d) any reference herein to an “Article” or “Section” refers to an “Article” or “Section”, as
the case may be, of this First Supplemental Indenture; and

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

     Section 102. Certain Definitions. The following definitions are hereby added to the
definitions contained in Section 101 of the Original Indenture, but only with respect to the Senior
Notes issued in accordance with the provisions hereof:

     “Additional Interest” has the meaning ascribed to such term in the Registration Rights
Agreement.

     “Additional 2015 Notes” means any Senior Notes issued under this First Supplemental
Indenture in addition to the Initial 2015 Notes or Exchange 2015 Notes having the same terms in all
respects as the Initial 2015 Notes or Exchange 2015 Notes, as the case may be.

     “Additional 2021 Notes” means any Senior Notes issued under this First Supplemental
Indenture in addition to the Initial 2021 Notes or Exchange 2021 Notes having the same terms in all
respects as the Initial 2021 Notes or Exchange 2021 Notes, as the case may be.

     “Additional 2039 Notes” means any Senior Notes issued under this First Supplemental
Indenture in addition to the Initial 2039 Notes or Exchange 2039 Notes having the same terms in all
respects as the Initial 2039 Notes or Exchange 2039 Notes, as the case may be.

     “Additional Notes” means collectively, the Additional 2015 Notes, the Additional 2021
Notes and the Additional 2039 Notes.

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

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     “Change of Control” means the occurrence of any one of the following:

     (a) the direct or indirect sale, lease, transfer, conveyance or other disposition (other than
by way of merger or consolidation), in one or a series of related transactions, of all or
substantially all of the assets of the Company taken as a whole, or the assets of either of the
Guarantor Subsidiaries, in each case, taken as a whole, to any Person (including any “person” (as
that term is used in Section 13(d)(3) of the Exchange Act)) other than to FirstEnergy or one of its
Majority-Owned Subsidiaries;

     (b) the consummation of any transaction (including, without limitation, any merger or
consolidation) the result of which is that any Person (including any “person” (as that term is used
in Section 13(d)(3) of the Exchange Act)) becomes the “beneficial owner” (as defined in Rules 13d-3
and 13d-5 under the Exchange Act), directly or indirectly, of more than 50% of the outstanding
Voting Stock of FirstEnergy, measured by voting power rather than number of shares or any Person
(other than FirstEnergy or any Majority-Owned Subsidiary of FirstEnergy) becomes the “beneficial
owner” (as so defined) directly or indirectly, of more than 50% of the outstanding Voting Stock of
the Company, measured by voting power rather than number of shares;

     (c) the Company, FirstEnergy or the Guarantor Subsidiaries consolidate with, or merge with or
into, any Person, or any Person consolidates with, or merges with or into, the Company, FirstEnergy
or the Guarantor Subsidiaries, in any such event pursuant to a transaction in which any of the
outstanding Voting Stock of the Company, FirstEnergy or the Guarantor Subsidiaries, or such other
Person is converted into or exchanged for cash, securities or other property, other than any such
transaction where the shares of the Voting Stock of the Company, FirstEnergy or the Guarantor
Subsidiaries outstanding immediately prior to such transaction constitute, or are converted into or
exchanged for, a majority of the Voting Stock of the surviving Person immediately after giving
effect to such transaction; or

     (d) the first day on which the majority of the members of the board of directors of
FirstEnergy ceases to be Continuing Directors.

     “Change of Control Offer” has the meaning set forth in Section 301 hereto.

     “Change of Control Offer Period” has the meaning set forth in Section 302 hereto.

     “Change of Control Payment Date” has the meaning set forth in Section 302 hereto.

     “Change of Control Purchase Price” has the meaning set forth in Section 301 hereto.

     “Change of Control Triggering Event” means the Senior Notes cease to be rated
Investment Grade by at least two of the three Rating Agencies on any date during the Trigger
Period. Unless at least two of the three Rating Agencies are providing a rating for the Senior
Notes at the commencement of any Trigger Period, the Senior Notes will be deemed to have ceased to
be rated Investment Grade by at least two of the three Rating Agencies during that Trigger Period.
Notwithstanding the foregoing, no Change of Control Triggering Event will be deemed to have
occurred in connection with any particular Change of Control unless and until such Change of
Control has actually been consummated.

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     “Continuing Director” means, as of any date of determination, any member of the board
of directors of FirstEnergy, who:

     (a) was a member of such board of directors on the date of the issuance of the Senior Notes;
or

     (b) was nominated for election or elected to such board of directors with the approval of a
majority of the Continuing Directors who were members of the board of directors at the time of such
nomination or election.

     “Debt” means any indebtedness of any Person for borrowed money evidenced by bonds,
debentures, notes or similar instruments. “Debt” does not include, among other things:

     (a) indebtedness of a Person under any installment sale or conditional sale agreement or any
other agreement relating to indebtedness for the deferred purchase price of property or services;

     (b) trade accounts payable incurred in the ordinary course of business (including obligations
under agreements relating to the purchase and sale of any commodity, including power purchase or
sale agreements and any commodity hedges or derivatives regardless of whether any such transaction
is a “financial” or physical transaction) or other obligations of a Person in the ordinary course
of business;

     (c) obligations under leases that shall have been or should be, in accordance with GAAP,
recorded as capital leases in respect of which a Person is liable as lessee; or

     (d) liabilities secured by any Lien on any property owned by a Person if and to the extent the
Person has not assumed or otherwise become liable for the payment thereof.

     “Exchange 2015 Notes” means the 2015 Notes (the terms of which are identical to the
Initial 2015 Notes except that the Exchange 2015 Notes shall be registered under the Securities
Act, and shall not contain the restrictive legend on the face of the Initial 2015 Notes), to be
issued in exchange for the Initial 2015 Notes pursuant to the registered Exchange Offer.

     “Exchange 2021 Notes” means the 2021 Notes (the terms of which are identical to the
Initial 2021 Notes except that the Exchange 2021 Notes shall be registered under the Securities
Act, and shall not contain the restrictive legend on the face of the Initial 2021 Notes), to be
issued in exchange for the Initial 2021 Notes pursuant to the registered Exchange Offer.

     “Exchange 2039 Notes” means the 2039 Notes (the terms of which are identical to the
Initial 2039 Notes except that the Exchange 2039 Notes shall be registered under the Securities
Act, and shall not contain the restrictive legend on the face of the Initial 2039 Notes), to be
issued in exchange for the Initial 2039 Notes pursuant to the registered Exchange Offer.

     “Exchange Notes” means collectively, the Exchange 2015 Notes, the Exchange 2021 Notes
and the Exchange 2039 Notes.

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     “Exchange Offer” means the offer by the Company to each holder of the Initial Notes to
exchange the aggregate principal amount of Initial Notes held by such holder for an equal aggregate
principal amount of Exchange Notes of the same series, all in accordance with the terms and
conditions of the Registration Rights Agreement.

     “FirstEnergy” means FirstEnergy Corp., an Ohio corporation and the parent of the
Company.

     “FGCO” means FirstEnergy Generation Corp., an Ohio corporation and a subsidiary of the
Company.

     “FGCO Guaranty” means that certain Guaranty, dated as of March 26, 2007, executed and
delivered by FGCO in favor of the Guaranteed Parties as defined therein and acknowledged by the
Company and as evidenced by the affirmation of guaranty to be executed substantially in the form of
Exhibit D.

     “FGCO Mortgage” means the Open-End Mortgage, General Mortgage Indenture and Deed of
Trust, dated as of June 19, 2008, by and between FGCO and The Bank of New York Mellon Trust
Company, N.A., as trustee (formerly known as The Bank of New York Trust Company, N.A.), as amended
and supplemented.

     “Fitch” means Fitch Inc., a subsidiary of Fimalac, S.A., and its successors.

     “GAAP” means generally accepted accounting principles applicable to the type of
business in which the Company and the Guarantor Subsidiaries are engaged in effect as of the Issue
Date.

     “Guaranties” means the FGCO Guaranty and the NGC Guaranty.

     “Guarantor Subsidiaries” means FGCO and NGC.

     “Initial 2015 Notes” means the $400,000,000 aggregate principal amount of 2015 Notes
issued on the Issue Date and delivered under this First Supplemental Indenture.

     “Initial 2021 Notes” means the $600,000,000 aggregate principal amount of 2021 Notes
issued on the Issue Date and delivered under this First Supplemental Indenture.

     “Initial 2039 Notes” means the $500,000,000 aggregate principal amount of 2039 Notes
issued on the Issue Date and delivered under this First Supplemental Indenture.

     “Initial Notes” means collectively, the Initial 2015 Notes, the Initial 2021 Notes and
the Initial 2039 Notes.

     “Investment Grade” means a rating of Baa3 or better by Moody’s (or its equivalent
under any successor rating category of Moody’s); a rating of BBB- or better by S&P (or its
equivalent under any successor rating category of S&P); and a rating of BBB- or better by Fitch (or
its equivalent under any successor rating category of Fitch).

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     “Issue Date” means August 7, 2009, the date of the original issuance of the Initial
Notes.

     “Lien” has the meaning ascribed to it in Section 401.

     “Majority-Owned Subsidiary” means, with respect to any Person, any corporation or
other entity of which securities or other ownership interests having ordinary voting power to elect
a majority of the Board of Directors or other persons performing similar functions are at the time
directly or indirectly owned by such Person, or one or more Majority-Owned Subsidiaries, or by such
Person and one or more of its Majority-Owned Subsidiaries.

     “Moody’s” means Moody’s Investors Service, Inc., a subsidiary of Moody’s Corporation,
and its successors.

     “NGC” means FirstEnergy Nuclear Generation Corp., an Ohio corporation and a subsidiary
of the Company.

     “NGC Guaranty” means that certain Guaranty, dated as of March 26, 2007, executed and
delivered by NGC in favor of the Guaranteed Parties as defined therein and acknowledged by the
Company, and as evidenced by the affirmation of guaranty to be executed substantially in the form
of Exhibit D.

     “NGC Mortgage” means the Open-End Mortgage, General Mortgage Indenture and Deed of
Trust, dated as of June 1, 2009, by and between NGC and The Bank of New York Mellon Trust Company,
N.A., as trustee, as amended and supplemented.

     “Property” means (i) any interest in real property owned by the Company or the
Guarantor Subsidiaries, (ii) any asset owned by the Company or the Guarantor Subsidiaries that is
depreciable in accordance with GAAP and (iii) in the case of the Company, the capital stock of the
Guarantor Subsidiaries. “Property” does not include, among other things: contracts, leases, and
other agreements; contract rights, bills, notes and other instruments; revenues, income and
earnings, accounts, accounts receivable and unbilled revenues, claims, credits, demands and
judgments; governmental and other licenses, permits, franchises, consents and allowances; or
intellectual property rights and other general intangibles.

     “Senior Notes” means the Initial Notes, the Exchange Notes and any Additional Notes
issued on or after the Issue Date in accordance with Section 201 treated as a single class of
Securities, as amended or supplemented from time to time in accordance with the terms hereof, that
are issued pursuant to this First Supplemental Indenture.

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

     “Rating Agency” means each of Moody’s, S&P and Fitch; provided, that if any of
Moody’s, S&P and Fitch ceases to provide rating services to issuers or investors, the Company may
appoint a replacement for such Rating Agency that is reasonably acceptable to the Trustee under
this First Supplemental Indenture.

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     “Registration Rights Agreement” means the Registration Rights Agreement, dated the
Issue Date between the Company and Morgan Stanley & Co. Incorporated, Barclays Capital Inc., Credit
Suisse Securities (USA) LLC and RBS Securities Inc., as representatives of the initial purchasers
named in Schedule I to the Registration Rights Agreement.

     “Tangible Assets” means the amount shown as total assets on the Company’s consolidated
balance sheet, less the following: (i) intangible assets including, but without limitation, such
items as goodwill, trademarks, trade names, patents, and unamortized debt discount and expense on
the Company’s consolidated balance sheet and (ii) appropriate adjustments, if any, related to
minority interests. Such amounts shall be determined in accordance with GAAP.

     “Trigger Period” means the period commencing 60 days prior to the first public
announcement by the Company or FirstEnergy of any Change of Control (or pending Change of Control)
and ending 60 days following consummation of such Change of Control (which Trigger Period will be
extended following consummation of a Change of Control for so long as any of the Rating Agencies
has publicly announced that it is considering a possible ratings change).

     “Voting Stock” of any specified Person as of any date means the capital stock of such
Person that is at the time entitled to vote generally in the election of the board of directors of
such Person.

ARTICLE TWO

THE SENIOR NOTES

     Section 201. Designation and Issuance of Senior Notes.

     (a) There is hereby created a series of Securities designated, as hereinbefore recited, as the
Company’s “4.80% Senior Notes due 2015.” In accordance with the provisions of the Indenture, the
Trustee, will upon receipt of a Company Order, authenticate (i) the Initial 2015 Notes, (ii) the
Exchange 2015 Notes and (iii) Additional 2015 Notes from time to time as permitted under the
Indenture.

     (b) There is hereby created a series of Securities designated, as hereinbefore recited, as the
Company’s “6.05% Senior Notes due 2021.” In accordance with the provisions of the Indenture, the
Trustee, will upon receipt of a Company Order, authenticate (i) the Initial 2021 Notes, (ii) the
Exchange 2021 Notes and (iii) Additional 2021 Notes from time to time as permitted under the
Indenture.

     (c) There is hereby created a series of Securities designated, as hereinbefore recited, as the
Company’s “6.80% Senior Notes due 2039.” In accordance with the provisions of the Indenture, the
Trustee, will upon receipt of a Company Order, authenticate (i) the Initial 2039 Notes, (ii) the
Exchange 2039 Notes and (iii) Additional 2039 Notes from time to time as permitted under the
Indenture.

     (d) The Senior Notes shall be issuable initially in the form of one or more Global Securities
and shall bear the legends set forth in Exhibits A, B and C,
respectively, and the Affirmation of Guaranty set forth in Exhibit D
shall be affixed to the Senior Notes. The

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aggregate principal amount of Senior Notes which may be authenticated and delivered under this
First Supplemental Indenture is unlimited.

     (e) The
Company initially appoints The Depository Trust Company (the
“DTC”) to act as Depository with respect to the Global
Securities.

     (f) The
Company initially appoints the Trustee to act as Security Registrar
and Paying Agent with respect to The Global Securities, and the
Trustee hereby agrees so to initially act.

     Section 202. Form, Date, Maturity, Interest Rate and Interest Payment Dates of Senior
Notes.

     (a) The 2015 Notes shall be payable in the amount, on the dates and in the manner provided for
in the form of the 2015 Notes attached hereto as Exhibit A, and such provisions are incorporated at
this place as though set forth in their entirety. The interest rate and the Stated Maturity of the
2015 Notes shall be as set forth in the form of the 2015 Note. The Initial 2015 Notes shall be
entitled to Additional Interest accruing during the periods described in the Registration Rights
Agreement. All references in the Indenture and the Initial 2015 Notes to “interest” shall be
deemed to include any Additional Interest.

     (b) The 2021 Notes shall be payable in the amount, on the dates and in the manner provided for
in the form of the 2021 Notes attached hereto as Exhibit B, and such provisions are incorporated at
this place as though set forth in their entirety. The interest rate and the Stated Maturity of the
2021 Notes shall be as set forth in the form of the 2021 Note. The Initial 2021 Notes shall be
entitled to Additional Interest accruing during the periods described in the Registration Rights
Agreement. All references in the Indenture and the Initial 2021 Notes to “interest” shall be
deemed to include any Additional Interest.

     (c) The 2039 Notes shall be payable in the amount, on the dates and in the manner provided for
in the form of the 2039 Notes attached hereto as Exhibit C, and such provisions are incorporated at
this place as though set forth in their entirety. The interest rate and the Stated Maturity of the
2039 Notes shall be as set forth in the form of the Initial 2039 Note. The Initial 2039 Notes
shall be entitled to Additional Interest accruing during the periods described in the Registration
Rights Agreement. All references in the Indenture and the Initial 2039 Notes to “interest” shall
be deemed to include any Additional Interest.

     Section 203. Optional Redemption of Senior Notes.

     (a) The 2015 Notes shall be redeemable at the option of the Company, at the times and in the
manner provided for in the form of the 2015 Notes attached hereto as Exhibit A, and such provisions
are incorporated at this place as though set forth in their entirety.

     (b) The 2021 Notes shall be redeemable at the option of the Company, at the times and in the
manner provided for in the form of the 2021 Notes attached hereto as Exhibit B, and such provisions
are incorporated at this place as though set forth in their entirety.

     (c) The 2039 Notes shall be redeemable at the option of the Company, at the times and in the
manner provided for in the form of the 2039 Notes attached hereto as Exhibit C, and such provisions
are incorporated at this place as though set forth in their entirety.

     Section 204. Issuances of Additional Notes.

     The Company shall be entitled, upon delivery of an Officer’s Certificate, Opinion of Counsel
and Company Order, to issue Additional Notes under this First Supplemental Indenture

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which shall have identical terms as the Initial Notes issued on the Issue Date, other than
with respect to the date of issuance and issue price. The Initial Notes issued on the Issue Date,
the Exchange Notes and any Additional Notes issued shall be treated as a single class for all
purposes under this First Supplemental Indenture. The period
of the resale and transfer restrictions applicable to the Senior Notes
in reliance on Rule 144A under the Securities Act will be
automatically extended to the last day of the period of any resale or
transfer restrictions on any such Additional Notes.

     With respect to any Additional Notes, the Company shall set forth in a Board Resolution and an
Officer’s Certificate, a copy of each of which shall be delivered to the Trustee, the following
information:

     (a) the aggregate principal amount of such Additional Notes to be authenticated and delivered
pursuant to this First Supplemental Indenture; and

     (b) the issue price, the issue date and the CUSIP number of such Additional Notes.

     
Section 205. Guaranties. Pursuant to the terms of the FGCO Guaranty
and the NGC Guaranty, the payment of each of the Senior Notes is
unconditionally and jointly and severally guaranteed by the
Company’s wholly owned subsidiaries, FGCO and NGC, as evidenced
by the affirmation of guaranty to be executed substantially in the
form of Exhibit D and affixed to each of the Senior Notes.

ARTICLE THREE

REPURCHASE OF SENIOR NOTES UPON CHANGE OF CONTROL

     Section 301. Offer to Redeem Upon Change of Control Triggering Event. Upon the
occurrence of a Change of Control Triggering Event, unless the Company has exercised its right to
redeem the Senior Notes pursuant to Section 203 of the First Supplemental Indenture, each holder of
Senior Notes will have the right to require the Company to purchase all or a portion of such
holder’s Senior Notes pursuant to the offer described below (the “Change of Control
Offer”), at a purchase price equal to 101% of the principal amount thereof plus accrued and
unpaid interest, if any, to the date of purchase, subject to the
rights of holders of Senior Notes on the relevant record date to receive interest due on the
relevant interest payment date (the “Change of Control Purchase Price”).

     Section 302. Redemption Procedures.

     (a) Within 30 days following the Change of Control Triggering Event, or at the option of the
Company, prior to the Change of Control Triggering Event but after the public announcement of the
of the pending Change of Control, if the Company has not sent a redemption notice for all the
Senior Notes in connection with an optional redemption permitted by this First Supplemental
Indenture, the Company shall mail a notice to each registered Holder, with a copy to the Trustee,
briefly describing the transaction or transactions that constitute the Change of Control Triggering
Event and offering to repurchase Senior Notes on the date specified in such notice, which date shall be no earlier than 30 days nor later than 60 days
from the date such notice is mailed (the “Change
of Control Payment Date”). The notice, if mailed prior to the date of consummation of
the Change of Control, will state that the Change of Control Offer is conditioned on the Change of
Control being consummated on or prior to the Change of Control Payment Date. The Change of Control
Offer shall remain open for at least 30 days following its commencement (the “Change of Control
Offer Period”). Upon expiration of the Change of Control Offer Period, the Company shall
promptly purchase all Senior Notes properly tendered in response to the Change of Control Offer.

     (b) On or before the Change of Control Payment Date, the Company will (i) accept for payment
Senior Notes or portions thereof properly tendered pursuant to the Change of Control Offer, (ii)
deposit with the Paying Agent cash sufficient to pay the Change of Control

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Purchase Price of all Senior Notes so tendered and (iii) deliver to the Trustee Senior Notes so accepted
together with an Officer’s Certificate listing the Senior Notes or portions thereof being purchased
by the Company. The Paying Agent promptly will pay the Holders of Senior Notes so accepted an
amount equal to the Change of Control Purchase Price, for such Senior Notes, and the Trustee promptly will
authenticate and mail, or cause to be transferred by book-entry, to each Holder new Senior Notes
equal in principal amount to any unpurchased portion of the Senior Notes surrendered, if any;
provided that each such new Senior Note shall be in a principal amount of $2,000 and integral
multiples of $1,000 in excess of $2,000. Any Senior Notes so accepted for payment shall cease to
accrue interest on and after the Change of Control Payment Date. Any Senior Notes not so accepted
will be delivered promptly by the Company to the Holder thereof. The Company publicly will announce
the results of the Change of Control Offer on or as soon as practicable after the Change of Control
Payment Date.

     (c) Any Change of Control Offer will be made in compliance with any and all applicable laws,
rules and regulations, including, if applicable, Regulation 14E under the Exchange Act and the
rules thereunder and any and all other applicable United States Federal and state securities laws.
To the extent that the provisions of any securities laws or regulations conflict with the
provisions of this Section 302, the Company’s compliance or compliance by FirstEnergy, as the case
may be, with such laws and regulations shall not in and of itself cause a breach of their
obligations under this Section 302.

     (d) This Section 302 shall be applicable, except as described in this Section 302, following a
Change of Control Triggering Event notwithstanding any optional redemption rights of the Company
that may be set forth in this First Supplemental Indenture.

     (e) Notwithstanding the foregoing, the Company shall not be required to make a Change of
Control Offer upon a Change of Control Triggering Event if a third party makes the Change of
Control Offer in the manner, at the times and otherwise in compliance with the requirements set
forth herein applicable to a Change of Control Offer made by the Company and purchases all Senior
Notes properly tendered and not withdrawn under the Change of Control Offer.

ARTICLE FOUR

ADDITIONAL COVENANTS APPLICABLE TO THE SENIOR NOTES

     Section 401. Limitation on Liens. So long as any Senior Notes of any series are
Outstanding, the Company may not, nor permit any of the Guarantor Subsidiaries to, issue, assume,
guarantee or permit to exist any Debt that is secured by any mortgage, security, interest, pledge
or lien (“Lien”) of or upon the Property of the Company or upon the Property of the
Guarantor Subsidiaries, in each case, whether owned at the Issue Date or subsequently acquired,
without in any such case effectively securing the Senior Notes (together with, if the Company shall
so determine, any of the Company’s other indebtedness ranking equally with the Senior Notes)
equally and ratably with such Debt (but only so long as such Debt is so secured); provided,
however, that the foregoing restriction shall not apply to:

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     (a) Liens on any property existing at the time of its acquisition (which Liens may also extend
to subsequent repairs, alterations and improvements to that Property);

     (b) Liens on property of a corporation existing at the time such corporation is merged into or
consolidated with, or at the time the corporation sells, leases or otherwise disposes of its
properties (or of a division thereof) as or substantially as an entirety to, the Company;

     (c) Liens on Property to secure the costs of acquisition, construction, development or
substantial repair, alteration or improvement of such Property or to secure Debt incurred to
provide funds for any of such purposes or for reimbursement of funds previously expended for any of
such purposes, provided such Liens are created or assumed contemporaneously with, or within
eighteen (18) months after, the acquisition or the completion of such substantial repair or
alteration, construction, development or substantial improvement;

     (d) Liens in favor of any State of the United States or any department, agency or
instrumentality or political subdivision of any State, or for the benefit of holders of securities
issued by any such entity (or providers of credit enhancement with respect to such securities), to
secure any Debt (including, without limitation, obligations of the Company or the Guarantor
Subsidiaries with respect to industrial development, pollution control or similar revenue bonds)
incurred for the purpose of financing or refinancing all or any part of the purchase price or the
cost of substantially repairing or altering, constructing, developing or substantially improving
property which at the time of such purchase, repair, alteration, construction, development or
improvement was owned or operated by the Company or any of the Guarantor Subsidiaries;

     (e) Liens securing Debt outstanding as of the Issue Date;

     (f) Liens securing Debt issued and outstanding from time to time under the FGCO Mortgage or
under the NGC Mortgage;

     (g) Liens to secure pledges or deposits made in the ordinary course of business in connection
with bids, tenders or contracts (other than payment of Debt) or to secure guarantees, statutory or
regulatory obligations or surety or performance bonds each made in the ordinary course of business;

     (h) Liens on Property which is the subject of a lease agreement designating the Company or
either of the Guarantor Subsidiaries as lessee and all of its right, title and interest in such
Property and such lease agreement, whether or not such lease agreement is intended as security;

     (i) Liens for taxes, assessments, governmental charges and levies to the extent not past due;
pledges or deposits to secure performance or obligations under workmen’s compensation laws or
similar legislation, and statutory obligations of the Company or Guarantor Subsidiaries; Liens
imposed by law, such as materialmen’s, mechanics’, carriers’, workmen’s and repairmen’s Liens,
Liens created by or resulting from legal proceedings being contested in good faith, and other
similar Liens arising in the ordinary course of business securing obligations which are not overdue
or which have been fully bonded and are being contested in good faith;

     (j) Liens in favor of the Company or any Guarantor Subsidiaries;

11

 

     (k) Liens in favor of the Trustee related to Section 907 of the Original Indenture; or

     (l) any extension, renewal or replacement (or successive extensions, renewals or
replacements), in whole or in part, of any Lien referred to in clauses (a) through (k), provided,
however, that the principal amount of Debt secured thereby and not otherwise authorized by clauses
(a) through (k), shall not exceed the principal amount of Debt, plus any premium or fee payable in
connection with any such extension, renewal or replacement, so secured at the time of the
extension, renewal or replacement.

     Notwithstanding the provisions above, the Company may, and may permit each of the Guarantor
Subsidiaries to, issue, assume or guarantee Debt secured by Liens which would otherwise be subject
to the restrictions of this Section 401 up to an aggregate principal amount which, together with
the principal amount of all other Debt of the Company secured by Liens (other than Liens permitted
by clauses (a) through (l) above), does not exceed the greater of $1,500,000,000 or fifteen percent
(15%) of Tangible Assets.

     If the Company shall issue, assume or guarantee any Debt secured by any Lien and if this
Section 401 requires that the Outstanding Senior Notes be secured equally and ratably with such
Debt, the Company will promptly execute, at its expense, any instruments necessary to so equally
and ratably secure the Outstanding Senior Notes and deliver the same to the Trustee along with:

          (i)
An Officer’s Certificate stating that the covenant of the Company contained in this
Section 401 has been complied with; and

          (ii) An Opinion of Counsel to the effect that the Company has complied with the
covenant contained in this Section 401, and that any instruments executed by the Company in
the performance of such covenant comply with the requirements of such covenant.

     In the event that the Company shall hereafter secure Outstanding Senior Notes equally and
ratably with any other obligation or indebtedness pursuant to the provisions of this Section 401,
the Company will, upon the request of the Trustee, enter into an indenture or agreement
supplemental hereto and take such other action, if any, as the Trustee may reasonably request to
enable it to enforce effectively the rights of the holders of Outstanding Senior Notes so secured,
equally and ratably with such other obligation or indebtedness.

     For the avoidance of doubt, it is understood and agreed that, notwithstanding the inclusion in
any of clauses (a) through (k) in the first paragraph of this Section 401 above of a reference to
any type of obligation of any Person that in the ordinary course or under customary usage would not
be considered Debt as such term is herein defined, the inclusion of such reference in any of such
clauses shall not create any implication that such type of obligation is intended to be considered
Debt for any purpose hereunder.

     Section 402. Maintenance of Ownership. So long as any Senior Notes are outstanding, the
Company may not sell, transfer, convey or otherwise dispose of any of the capital stock of either
of the Guarantor Subsidiaries to any Person other than the Company, its subsidiaries or
FirstEnergy.

12

 

ARTICLE FIVE

EXTENSION OF CERTAIN EVENTS OF DEFAULT

TO THE GUARANTOR SUBSIDIARIES

     Section 501. Guarantor Subsidiaries. Any reference to “the Company” in Section 801(d)
and (e) of the Original Indenture shall, for the purposes of the Senior Notes, be a reference to
“the Company or one or both of the Guarantor Subsidiaries” and the reference to the “Board of
Directors” in said Section 801(e) shall be a reference to the “Board of Directors of the Company or
one or both of the Guarantor Subsidiaries.”

ARTICLE SIX

MISCELLANEOUS PROVISIONS

     Section 601. Ratification. The Original Indenture, as supplemented by this First
Supplemental Indenture, is in all respects ratified and confirmed. This First Supplemental
Indenture shall be deemed part of the Original Indenture in the manner and to the extent provided
herein and therein.

     Section 602. Governing Law. This First Supplemental Indenture and the Senior Notes
shall be governed by and construed in accordance with the laws of the State of New York (including
without limitation Section 5-1401 of the New York General Obligations Law or any successor to such
statute) except to the extent that the Trust Indenture Act shall be applicable.

     Section 603. Severability Clause. In case any provision in this First Supplemental
Indenture or the Senior Notes shall be invalid, illegal or unenforceable, the validity, legality
and enforceability of the remaining provisions shall not in any way be affected or impaired
thereby.

     Section 604. Conflict with Trust Indenture Act. If any provision of this First
Supplemental Indenture limits, qualifies or conflicts with another provision hereof which is
required or deemed to be included in this First Supplemental Indenture by, or is otherwise governed
by, any of the provisions of the Trust Indenture Act, such other provision shall control; and if
any provision hereof otherwise conflicts with the Trust Indenture Act, the Trust Indenture Act
shall control unless otherwise provided as contemplated by Section 301 of the Original Indenture
with respect to any series of Senior Notes.

     Section 605. No Additional Rights. Nothing in this First Supplemental Indenture is
intended to or shall provide any rights to any parties other than those expressly contemplated by
this First Supplemental Indenture.

     Section 606. Successors and Assigns. All covenants and agreements in this First
Supplemental Indenture by the Company and Trustee shall bind their respective successors and
assigns, whether so expressed or not.

     Section 607. Effective Date. This First Supplemental Indenture shall become effective
upon the execution and delivery by the parties hereto.

13

 

     This instrument may be executed in any number of counterparts, each of which so executed shall
be deemed to be an original, but all such counterparts shall together constitute but one and the
same instrument.

14

 

     IN WITNESS WHEREOF, the parties hereto have caused this First Supplemental Indenture to be
duly executed and attested, on the date or dates indicated in the acknowledgments and as of the day
and year first above written.

	 	 	 	 	 
	 	FIRSTENERGY SOLUTIONS CORP.

 	 
	 	By:  	/s/
Kelley E. Mendenhall 	 
	 	 	Name:  	Kelley E. Mendenhall 	 
	 	 	Title:  	Assistant Treasurer 	 
	 
	 	THE BANK OF NEW YORK MELLON TRUST 
COMPANY, N.A., as
Trustee

 	 
	 	By:  	/s/
Biagio S. Impala 	 
	 	 	Name:  	Biagio S. Impala 	 
	 	 	Title:  	Vice President 	 

15

 

EXHIBIT A

[FORM OF 2015 SENIOR NOTE]

CUSIP NUMBER [          ]

ISIN NUMBER [             ]

(Face of Senior Note)

FIRSTENERGY SOLUTIONS CORP.

4.80% SENIOR NOTES DUE 2015

No. ___

$[          ]

          FIRSTENERGY SOLUTIONS CORP., an Ohio corporation (the “Company”), for value received, hereby
promises to pay to CEDE & CO. or registered assigns, the principal sum of [ ] Dollars, or such
greater or lesser amount as may from time to time be endorsed on the Schedule of Increases and
Decreases of Interests in the Global Securities attached hereto (but in no event may such amount
exceed the aggregate principal amount of Senior Notes authenticated pursuant to Section 303 of the
Indenture referred to below and then outstanding pursuant to Section 201 of the First Supplemental
Indenture) on the Stated Maturity specified below.

Original Issue Date: August 7, 2009

Stated Maturity: February 15, 2015

Interest Rate: 4.80%

Interest Payment Dates: February 15 and August 15, commencing February 15, 2010

Record Dates: The Business Day immediately preceding each Interest Payment Date so long as this
Senior Note is issued in book-entry only form, otherwise the fifteenth calendar day next preceding
each Interest Payment Date.

[Remainder of Page Intentionally Left Blank]

 

     IN WITNESS WHEREOF, the Company has caused this instrument to be executed in its name by the
manual or facsimile signature of an Authorized Executive Officer and attested by the manual or
facsimile signature of another Authorized Executive Officer.

	 	 	 	 	 
	 	FIRSTENERGY SOLUTIONS CORP.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	ATTEST:

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

[FORM OF TRUSTEE’S AUTHENTICATION CERTIFICATE]

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

Dated:                     , 20__

THE BANK OF NEW YORK MELLON

TRUST COMPANY, N.A.,

as Trustee

By:   
                    
                     
                 

                  Authorized Signatory

 

 

(Back of Senior Note)

FIRSTENERGY SOLUTIONS CORP.

4.80% SENIOR NOTES DUE 2015

[GLOBAL NOTE LEGEND]

     UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST
COMPANY, A NEW YORK CORPORATION (“DTC”), NEW YORK, NEW YORK, TO AN ISSUER OR ITS AGENT FOR
REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME
OF CEDE & CO. OR SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY
PAYMENT IS MADE TO CEDE & CO., OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO
ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

     TRANSFERS OF THIS GLOBAL SECURITY SHALL BE LIMITED TO TRANSFERS IN WHOLE, BUT NOT IN PART, TO
NOMINEES OF DTC OR SUCCESSOR THEREOF OR SUCH SUCCESSOR’S NOMINEE AND TRANSFERS OF PORTIONS OF THIS
GLOBAL SECURITY SHALL BE LIMITED TO TRANSFERS MADE IN ACCORDANCE WITH THE RESTRICTIONS SET FORTH IN
THE INDENTURE REFERRED TO ON THE REVERSE HEREOF.

[TRANSFER RESTRICTION LEGEND]

     THIS SECURITY AND ANY RELATED DOCUMENTATION MAY BE AMENDED OR SUPPLEMENTED FROM TIME
TO TIME TO MODIFY THE RESTRICTIONS ON AND PROCEDURES FOR RESALES AND OTHER TRANSFERS OF
THIS SECURITY TO REFLECT ANY CHANGE IN APPLICABLE LAW OR REGULATION (OR THE INTERPRETATION
THEREOF) OR IN PRACTICES RELATING TO THE RESALE OR TRANSFER OF RESTRICTED SECURITIES
GENERALLY. THE HOLDER OF THIS SECURITY SHALL BE DEEMED BY THE ACCEPTANCE OF THIS SECURITY
TO HAVE AGREED TO ANY SUCH AMENDMENT OR SUPPLEMENT.

[144A LEGEND][REG S LEGEND (REPLACING TEMPORARY REG S LEGEND)]

     NEITHER THIS SECURITY NOR ANY BENEFICIAL INTEREST HEREIN HAS BEEN REGISTERED UNDER THE
SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”). EACH HOLDER HEREOF, AND EACH OWNER OF A
BENEFICIAL INTEREST HEREIN BY PURCHASING THIS SECURITY, AGREES FOR THE BENEFIT OF FIRSTENERGY
SOLUTIONS CORP. (THE “COMPANY”) THAT THIS SECURITY MAY NOT BE REOFFERED, RESOLD, PLEDGED OR
OTHERWISE TRANSFERRED OTHER THAN (A)(1) TO THE COMPANY, (2) IN A TRANSACTION ENTITLED TO AN
EXEMPTION FROM REGISTRATION PROVIDED BY RULE 144 UNDER THE SECURITIES ACT (“RULE 144”), (3) SO LONG
AS THIS SECURITY IS ELIGIBLE FOR RESALE PURSUANT TO RULE 144A UNDER THE SECURITIES ACT (“RULE
144A”), TO A PERSON WHOM THE SELLER REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER WITHIN
THE MEANING OF RULE 144A PURCHASING FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED
INSTITUTIONAL BUYER

 

 

TO WHOM NOTICE IS GIVEN THAT THE RESALE, PLEDGE OR OTHER TRANSFER IS BEING MADE IN RELIANCE ON
RULE 144A (AS INDICATED BY THE BOX CHECKED BY THE TRANSFEROR ON THE CERTIFICATE OF TRANSFER ON THE
REVERSE OF THIS SECURITY), (4) IN AN OFFSHORE TRANSACTION TO A NON-U.S. PERSON IN ACCORDANCE WITH
RULE 903 OR 904 OR REGULATION S UNDER THE SECURITIES ACT (AS INDICATED BY THE BOX CHECKED BY THE
TRANSFEROR ON THE CERTIFICATE OF TRANSFER ON THE REVERSE OF THIS SECURITY), (5) IN ACCORDANCE WITH
ANOTHER APPLICABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT (AND BASED
UPON AN OPINION OF COUNSEL ACCEPTABLE TO THE COMPANY), OR (6) PURSUANT TO AN EFFECTIVE REGISTRATION
STATEMENT UNDER THE SECURITIES ACT AND (B) IN EACH CASE IN ACCORDANCE WITH ANY APPLICABLE
SECURITIES LAWS OF ANY STATE OF THE UNITED STATES. THE HOLDER HEREOF, BY PURCHASING THIS SECURITY,
REPRESENTS AND AGREES FOR THE BENEFIT OF THE COMPANY THAT IT WILL, AND EACH SUBSEQUENT HOLDER IS
REQUIRED TO, NOTIFY ANY PURCHASER OF THE SECURITY EVIDENCED HEREBY OF THE RESALE RESTRICTIONS SET
FORTH IN CLAUSE (A) ABOVE. NO REPRESENTATION CAN BE MADE AS TO THE AVAILABILITY OF THE EXEMPTION
PROVIDED BY RULE 144 FOR RESALE OF THE SECURITY EVIDENCED HEREBY.

 

 

[TEMPORARY REG S LEGEND]

     THIS SECURITY MAY NOT BE OFFERED OR SOLD TO A U.S. PERSON OR FOR THE ACCOUNT OR BENEFIT OF A
U.S. PERSON WITHIN THE MEANING OF RULE 902(k) UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE
“SECURITIES ACT”) (OTHER THAN A DISTRIBUTOR, AS SUCH TERM IS DEFINED UNDER RULE 902(d) UNDER THE
SECURITIES ACT).

     NEITHER THIS SECURITY NOR ANY BENEFICIAL INTEREST HEREIN HAS BEEN REGISTERED UNDER THE
SECURITIES ACT. EACH HOLDER HEREOF, AND EACH OWNER OF A BENEFICIAL INTEREST HEREIN BY PURCHASING
THIS SECURITY, AGREES FOR THE BENEFIT OF FIRSTENERGY SOLUTIONS CORP. (THE “COMPANY”) THAT THIS
SECURITY MAY NOT BE REOFFERED, RESOLD, PLEDGED OR OTHERWISE TRANSFERRED OTHER THAN (A)(1) TO THE
COMPANY, (2) IN A TRANSACTION ENTITLED TO AN EXEMPTION FROM REGISTRATION PROVIDED BY RULE 144 UNDER
THE SECURITIES ACT (“RULE 144”), (3) IN AN OFFSHORE TRANSACTION TO A NON-U.S. PERSON IN ACCORDANCE
WITH RULE 903 OR 904 OR REGULATION S UNDER THE SECURITIES ACT (AS INDICATED BY THE BOX CHECKED BY
THE TRANSFEROR ON THE CERTIFICATE OF TRANSFER ON THE REVERSE OF THIS SECURITY), (4) IN ACCORDANCE
WITH ANOTHER APPLICABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT (AND
BASED UPON AN OPINION OF COUNSEL ACCEPTABLE TO THE COMPANY), OR (5) PURSUANT TO AN EFFECTIVE
REGISTRATION STATEMENT UNDER THE SECURITIES ACT AND (B) IN EACH CASE IN ACCORDANCE WITH ANY
APPLICABLE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES. THE HOLDER HEREOF, BY PURCHASING THIS
SECURITY, REPRESENTS AND AGREES FOR THE BENEFIT OF THE COMPANY THAT IT WILL, AND EACH SUBSEQUENT
HOLDER IS REQUIRED TO, NOTIFY ANY PURCHASER OF THE SECURITY EVIDENCED HEREBY OF THE RESALE
RESTRICTIONS SET FORTH IN CLAUSE (A) ABOVE. NO REPRESENTATION CAN BE MADE AS TO THE AVAILABILITY OF
THE EXEMPTION PROVIDED BY RULE 144 FOR RESALE OF THE SECURITY EVIDENCED HEREBY.

1

 

Capitalized terms used herein shall have the meanings assigned to them in the Indenture referred to
below unless otherwise indicated. The Securities are general obligations of the Company as
described in the Indenture. This Senior Note is entitled to the benefits of the FGCO Guaranty and
the NGC Guaranty on the terms set forth in the Indenture.

          1. Interest. FIRSTENERGY SOLUTIONS CORP., an Ohio corporation (the “Company”)
promises to pay interest from the Original Issue Date specified above or from the most recent
Interest Payment Date to which Interest has been paid or duly provided for, semi-annually in
arrears on the Interest Payment Dates specified above in each year, commencing on February 15,
2010, and at Maturity, at the Interest Rate per annum specified above, until the principal hereof
is paid or made available for payment. No interest shall accrue at Maturity, so long as the
principal amount of this Senior Note is paid at Maturity. The interest so payable and punctually
paid or duly provided for on any such Interest Payment Date (except for interest payable on the
Stated Maturity specified above, or, if applicable, upon redemption or acceleration) will, as
provided in the Indenture (as defined below), be paid to the Person in whose name this Senior Note
is registered at the close of business on the Regular Record Date specified above (whether or not a
Business Day) next preceding such Interest Payment Date; and provided, that interest payable on the
Stated Maturity specified above or, if applicable, upon redemption or acceleration, shall be
payable to the Person to whom principal shall be payable on such Maturity. Except as otherwise
provided in the Indenture, any such interest not so punctually paid or duly provided for will
forthwith cease to be payable to the Holder on such Regular Record Date and shall be paid to the
Person in whose name this Senior Note is registered at the close of business on a Special Record
Date for the payment of such defaulted interest to be fixed by the Trustee, notice whereof shall be
given to Holders not more than fifteen days or fewer than ten days prior to such Special Record
Date. Payment of principal of, interest and premium, if any, on this Senior Note shall be payable
pursuant to Section 601 of the Indenture.

          No reference herein to the Indenture and no provision of this Senior Note or of the Indenture
shall alter or impair the obligation of the Company, which is absolute and unconditional, to pay
the principal of and premium, if any, and interest, if any, on this Senior Note at the times,
place, and rate, in the coin or currency, and in the manner, herein prescribed.

          As used herein, “Business Day” shall mean each day that is not a day on which banking
institutions or trust companies in the Borough of Manhattan, the City and State of New York, or in
the city where the Global Corporate Trust Office of the Trustee is located, are obligated or
authorized by law or executive order to close.

          2. Method of Payment. Payment of the principal of and premium, if any, on this
Senior Note and interest hereon at the Stated Maturity shall be made upon presentation of this
Senior Note at the Global Corporate Trust Office of our designated agent, The Bank of New York
Mellon Trust Company, N.A., located at 1660 West 2nd Street, Cleveland, Ohio, 44113, or at such
other office or agency as may be designated for such purpose by the Company from time to time.
Payment of interest, if any, on this Senior Note (other than interest at the Stated Maturity) shall
be made by check mailed to the address of the Person entitled thereto as such address shall appear
in the Security Register, except that (a) if such Person shall be a securities depositary, such
payment may be made by such other means in lieu of check as shall be agreed upon by the Company,
the Trustee or other Paying Agent and such Person and (b) if such Person is a Holder of $10,000,000
or more in aggregate principal amount of Senior Notes of this series such payment may be in
immediately available funds by wire transfer to such account as may have been designated in writing
by the Person entitled thereto as set forth herein in time for the Paying Agent to make such
payments in accordance with its normal procedures. Any such designation for wire transfer purposes
shall be made by filing the appropriate information with our designated agent, The Bank of New York
Mellon Trust Company, N.A., at its Global Corporate Trust Office, located at 1660 West 2nd Street,

1

 

Cleveland, Ohio, 44113, not less than fifteen calendar days prior to the applicable payment
date and, unless revoked by written notice to the Trustee received on or prior to the Regular
Record Date immediately preceding the applicable Interest Payment Date, shall remain in effect with
respect to any further interest payments (other than interest payments at Maturity) with respect to
this Senior Note payable to such Holder. Payment of the principal of and premium, if any, and
interest, if any, on this Senior Note, as aforesaid, shall be made in such coin or currency of the
United States of America as at the time of payment shall be legal tender for the payment of public
and private debts.

          If any Interest Payment Date, any Redemption Date, or the Stated Maturity shall not be a
Business Day (as hereinafter defined), payment of the amounts due on this Senior Note on such date
may be made on the next succeeding Business Day; and, if such payment is made or duly provided for
on such next succeeding Business Day, no interest shall accrue on such amounts for the period from
and after such Interest Payment Date, Redemption Date, or Stated Maturity, as the case may be, to
such Business Day.

          3. Paying Agent and Security Registrar. Initially, The Bank of New York Mellon Trust
Company, N.A., the Trustee under the Indenture, will act as Paying Agent and Security Registrar.
The Company may change any Paying Agent or Security Registrar without notice to any Holder. The
Company or any of its subsidiaries may act in any such capacity; provided that if the Company or
such subsidiary is acting as Paying Agent, the Company or such subsidiary shall segregate all funds
held by it as Paying Agent and hold them in a separate trust fund for the benefit of the Holders.

          4. Registration of Transfer and Exchange. As provided in the Indenture and subject
to certain limitations therein set forth, the transfer of this Senior Note is registrable in the
Security Register, upon surrender of this Senior Note for registration of transfer at the office of
our designated agent, The Bank of New York Mellon Trust Company, N.A., located at 1660 West 2nd
Street, Cleveland, Ohio, 44113, or such other office or agency as may be designated by the Company
from time to time, duly endorsed by, or accompanied by a written instrument of transfer in form
satisfactory to the Company and the Security Registrar duly executed by, the Holder hereof or his
attorney duly authorized in writing, and thereupon one or more new Senior Notes of this series of
authorized denominations and of like tenor and aggregate principal amount, will be issued to the
designated transferee or transferees.

          The Company shall not be required to execute and the Security Registrar shall not be required
to register the transfer of or exchange of (a) Senior Notes of this series during a period of 15
days immediately preceding the date notice is given identifying the serial numbers of the Senior
Notes of this series called for redemption or (b) any Senior Note so selected for redemption in
whole or in part, except the unredeemed portion of any Senior Note being redeemed in part.

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

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

          5. Indenture. This Senior Note is a global security in respect of a duly authorized
issue of 4.80% Senior Notes due 2015 (the “2015 Notes,” which term includes any global note
representing such Senior Notes) of the Company, issued and issuable in one or more series under
the Indenture and First Supplemental Indenture, both dated as of August 1, 2009 (such Indentures as
originally executed and

2

 

delivered and as supplemented or amended from time to time thereafter, together with any
constituent instruments establishing the terms of particular securities, being herein called the
“Indenture”), between the Company and The Bank of New York Mellon Trust Company, N.A., under which
The Bank of New York Mellon Trust Company, N.A. is trustee (herein called the “Trustee,” which term
includes any successor trustee under the Indenture), to which Indenture and all indentures
supplemental thereto reference is hereby made for a description of the respective rights,
limitations of rights, duties, and immunities of the Company, the Trustee, and the Holders of the
Senior Notes thereunder and of the terms and conditions upon which the Senior Notes are, and are to
be, authenticated and delivered. The acceptance of this Senior Note shall be deemed to constitute
the consent and agreement by the Holder hereof to all of the terms and provisions of the Indenture.
This Senior Note is one of the series designated above.

          6. Optional Redemption.

          This Senior Note is redeemable, at any time in whole or from time to time in part, at the
Company’s option, on at least 30 days’, but not more than 60 days’, prior notice mailed to the
registered address of each holder of the Senior Notes. The Redemption Price will be equal to the
greater of: (1) 100% of the principal amount of the Senior Notes to be redeemed, and (2) as
determined by the Independent Investment Banker (as defined below), the sum of the present values
of the Remaining Scheduled Payments (as defined below) discounted to the Redemption Date, on a
semi-annual basis (assuming a 360-day year consisting of twelve 30-day months), at a rate equal to
the sum of the Adjusted Treasury Rate (as defined below) plus 35 basis points. In each case,
accrued and unpaid interest will be payable to the Redemption Date.

          “Adjusted Treasury Rate” means, with respect to any Redemption Date:

	 	•	 	the yield, under the heading which represents the average for
the immediately preceding week, appearing in the most recently published
statistical release designated “H.15(519)” or any successor publication which
is published weekly by the Board of Governors of the Federal Reserve System and
which establishes yields on actively traded United States Treasury securities
adjusted to constant maturity under the caption “Treasury Constant Maturities,”
for the maturity corresponding to the Comparable Treasury Issue (if no maturity
is within three months before or after the Remaining Life, yields for the two
published maturities most closely corresponding to the Comparable Treasury
Issue shall be determined and the Adjusted Treasury Rate shall be interpolated
or extrapolated from these yields on a straight line basis, rounding to the
nearest month); or
	 
	 	•	 	if the release (or any successor release) is not published
during the week preceding the calculation date or does not contain these
yields, the rate per annum equal to the semi-annual equivalent yield to
maturity of the Comparable Treasury Issue, calculated using a price for the
Comparable Treasury Issue (expressed as a percentage of its principal amount)
equal to the Comparable Treasury Price for the Redemption Date. The Adjusted
Treasury Rate will be calculated on the third Business Day preceding the
Redemption Date.

          “Comparable Treasury Issue” means the United States Treasury security selected by an
Independent Investment Banker as having a maturity comparable to the remaining term of the Senior
Notes to be redeemed that would be utilized, at the time of selection and in accordance with
customary financial practice, in pricing new issues of corporate debt securities of comparable
maturity to the remaining term of such securities (“Remaining Life”).

3

 

          “Comparable Treasury Price” means (1) the average of three Reference Treasury Dealer
Quotations for the Redemption Date, after excluding the highest and lowest Reference Treasury
Dealer Quotations, or (2) if the Independent Investment Banker obtains fewer than three Reference
Treasury Dealer Quotations, the average of all such quotations.

          “Independent Investment Banker” means one of the Reference Treasury Dealers appointed by the
Company.

          “Reference Treasury Dealer” means (i) each of Morgan Stanley & Co. Incorporated, Barclays
Capital Inc., Credit Suisse Securities (USA) LLC and RBS Securities Inc. and their respective
successors; provided, however, that if any of the foregoing cease to be a primary U.S. Government
securities dealer in the United States (a “Primary Treasury Dealer”), the Company shall substitute
therefor another Primary Treasury Dealer, and (ii) any other Primary Treasury Dealer selected by
the Independent Investment Banker after consultation with the Company.

          “Reference Treasury Dealer Quotations” means, with respect to each Reference Treasury Dealer
and any Redemption Date, the average, as determined by the Independent Investment Banker, of the
bid and asked prices for the Comparable Treasury Issue (expressed in each case as a percentage of
its principal amount) quoted in writing to the Independent Investment Banker at 5:00 p.m., New York
City time, on the third Business Day preceding the Redemption Date.

          “Remaining Scheduled Payments” means the remaining scheduled payments of principal of and
interest on this Senior Note that would be due after the related Redemption Date but for such
redemption. If such Redemption Date is not an Interest Payment Date with respect to this Senior
Note, the amount of the next succeeding scheduled interest payment on this Senior Note will be
reduced by the amount of interest accrued on this Senior Note to such Redemption Date.

          On and after the Redemption Date, interest will cease to accrue on this Senior Note or any
portion of the Senior Note called for redemption (unless the Company defaults in the payment of the
Redemption Price and accrued interest. On or before the Redemption Date, the Company will deposit
with the Paying Agent money sufficient to pay the Redemption Price of and accrued interest on the
Senior Note to be redeemed on such date. If less than all the Senior Notes of any series are to be
redeemed, the Senior Notes to be redeemed shall be selected by the Trustee by such method as the
Trustee shall deem fair and appropriate.

          7. Mandatory Redemption.

          The Company shall not be required to make mandatory redemption or sinking fund payments with
respect to the Senior Notes.

          8. Notice of Redemption. Notice of redemption shall be given by mail to Holders of
Senior Notes, not less than 30 days nor more than 60 days prior to the date fixed for redemption,
all as provided in the Indenture. As provided in the Indenture, notice of redemption at the
election of the Company as aforesaid may state that such redemption shall be conditional upon the
receipt by the Paying Agent or Agents of money sufficient to pay the principal of and premium, if
any, and interest, if any, on this Senior Note on or prior to the date fixed for such redemption; a
notice of redemption so conditioned shall be of no force or effect if such money is not so received
and, in such event, the Company shall not be required to redeem this Senior Note.

4

 

          In the event of redemption of this Senior Note in part only, a new Senior Note or Senior Notes
of this series, of like tenor, representing the unredeemed portion hereof shall be issued in the
name of the Holder hereof upon the cancellation hereof.

          9. Repurchase at Option of Holder. If a Change of Control Triggering Event occurs,
each Holder of Senior Notes will have the right to require the Company to repurchase all or any
part (equal to $2,000 or an integral multiple of $1,000 in excess thereof) of that Holder’s Notes
pursuant to an offer (a “Change of Control Offer”) on the terms set forth in the Indenture. In the
Change of Control Offer, the Company shall offer payment (a “Change of Control Purchase Price”) in
cash equal to 101% of the aggregate principal amount of Senior Notes repurchased plus accrued and
unpaid interest and Additional Interest, if any, thereon, to the date of repurchase (the “Change of
Control Payment Date,” which date will be no earlier than the date of such Change of Control). No
later than 30 days following any Change of Control Triggering Event, the Company shall mail a
notice to each Holder stating that a Change of Control Triggering Event has occurred and offering
to repurchase Senior Notes on the Change of Control Payment Date specified in such notice, which
date will be no earlier than 30 days and no later than 60 days from the date such notice is mailed,
pursuant to the procedures required by the Indenture and described in such notice. Holders of
Senior Notes electing to have Senior Notes purchased pursuant to a Change of Control Offer will be
required to surrender their Senior Notes, with the form entitled “Option of Holder to Elect
Purchase” on the reverse of the Senior Note completed, to the Paying Agent at the address specified
in the notice, or transfer their Senior Notes to the Paying Agent by book-entry transfer pursuant
to the applicable procedures of the Paying Agent, prior to the close of business on the third
Business Day prior to the Change of Control Payment Date.

          10. Restrictions on Transfer. Each Holder shall be deemed to understand that the
offer and sale of this Senior Note has not been registered under the Securities Act and that this
Senior Note may not be offered or sold except as permitted in the following sentence. Each Holder
shall be deemed to agree, on its own behalf and on behalf of any accounts for which it is acting as
hereinafter stated, that if such Holder sells any Senior Notes, such Holder will do so only (A) to
the Company, (B) pursuant to the exemption from registration provided by Rule 144 under the
Securities Act (if available), (C) so long as such Senior Note is eligible for resale pursuant to
Rule 144A under the Securities Act (“Rule 144A”) to a person whom it reasonably believes is a
“qualified institutional buyer” within the meaning of Rule 144A that purchases for its own account
or for the account of a qualified institutional buyer to whom notice is given that the resale,
pledge or transfer is being made in reliance on Rule 144A, (D) in an offshore transaction in
accordance with Rule 903 or 904 of Regulation S under the Securities Act, (E) in accordance with
another applicable exemption from the registration requirements of the Securities Act (and based
upon an Opinion of Counsel acceptable to the Company), or (F) pursuant to an effective registration
statement under the Securities Act, and, in each case in accordance with any applicable securities
laws of any state of the United States, and each Holder is further deemed to agree to provide to
any person purchasing any Securities from it a notice advising such purchaser that resales of the
Securities are restricted as stated herein.

          Each Holder shall be deemed to understand that, on any proposed resale of any Senior Notes
pursuant to the exemption from registration under Rule 144 under the Securities Act, any Holder
making any such proposed resale will be required to furnish to the Trustee and Company such
certifications, legal opinions, and other information as the Trustee and Company may reasonably
require to confirm that the proposed sale complies with the foregoing restrictions.

          11. Denominations, Transfer, Exchange. The Senior Notes of this series are issuable
only as registered Senior Notes, without coupons, and in denominations of $2,000 and integral
multiples of $1,000 in excess thereof. As provided in the Indenture and subject to certain
limitations therein set

5

 

forth, Senior Notes of this series are exchangeable for a like aggregate principal amount of
Senior Notes of the same series and tranche, of any authorized denominations, as requested by the
Holder surrendering the same, and of like tenor upon surrender of the Senior Note or Senior Notes
to be exchanged at the Corporate Trust Administration Office of our designated agent, The Bank of
New York Mellon Trust Company, N.A., located at 1660 West 2nd Street, Cleveland, Ohio, 44113, or
such other office or agency as may be designated by the Company from time to time.

          12. Amendment, Supplement and Waiver. The Indenture permits, with certain exceptions
as therein provided, the Trustee to enter into one or more supplemental indentures for the purpose
of adding any provisions to, or changing in any manner or eliminating any of the provisions of, the
Indenture with the consent of the Holders of a majority in aggregate principal amount of the Senior
Notes of all series then outstanding under the Indenture; provided, however, that if there shall be
Senior Notes of more than one series outstanding under the Indenture and if a proposed
supplemental indenture shall directly affect the rights of the Holders of Senior Notes of any such
series, then the consent of the Holders of only a majority in aggregate principal amount of the
outstanding Senior Notes of all series so directly affected, considered as one class, shall be
required; and provided, further, that if the Senior Notes of any series shall have been issued in
more than one tranche and if the proposed supplemental indenture shall directly affect the rights
of the Holders of Senior Notes of one or more, but less than all, of such tranches, then the
consent only of the Holders of a majority in aggregate principal amount of the outstanding Senior
Notes of all tranches so directly affected, considered as one class, shall be required; and
provided, further, that the Indenture permits the Trustee to enter into one or more supplemental
indentures for limited purposes without the consent of any Holders of Senior Notes. The Indenture
also contains provisions permitting the Holders of a majority in aggregate principal amount of the
Senior Notes then outstanding, on behalf of the Holders of all Senior Notes, to waive compliance by
the Company with certain provisions of the Indenture and certain past defaults under the Indenture
and their consequences. Any such consent or waiver by the Holder of this Senior Note shall be
conclusive and binding upon such Holder and upon all future Holders of this Senior Note and of any
Senior Note issued upon the registration of transfer hereof or in exchange therefor or in lieu
hereof, whether or not notation of such consent or waiver is made upon this Senior Note.

          13. Defaults and Remedies. If an Event of Default with respect to the Senior Notes
of this series shall occur and be continuing, the principal of this Senior Note may be declared due
and payable in the manner and with the effect provided in the Indenture.

          14. No Recourse Against Others. As provided in the Indenture, no recourse shall be
had for the payment of the principal of or premium, if any, or interest, if any, on any Senior
Notes, or any part thereof, or for any claim based thereon or otherwise in respect thereof, or of
the indebtedness represented thereby, or upon any obligation, covenant, or agreement under the
Indenture, against, and no personal liability whatsoever shall attach to, or be incurred by, any
incorporator, shareholder, officer, or director, as such, past, present, or future of the Company
or of any predecessor or successor corporation (either directly or through the Company, or a
predecessor or successor corporation), whether by virtue of any constitutional provision, statute
or rule of law, or by the enforcement of any assessment or penalty or otherwise; it being expressly
agreed and understood that the Indenture and this Senior Note are solely corporate obligations and
that any such personal liability is hereby expressly waived and released as a condition of, and as
part of the consideration for, the execution of the Indenture and the issuance of this Senior Note.

          15. Authentication. Unless the certificate of authentication hereon has been
executed by the Trustee or an Authenticating Agent by manual signature, this Senior Note shall not
be entitled to any benefit under the Indenture or be valid or obligatory for any purpose.

6

 

          16. Additional Rights of Holders. Pursuant to the Registration Rights Agreement
dated August 7, 2009 between the Company and Morgan Stanley & Co. Incorporated, Barclays Capital
Inc., Credit Suisse Securities (USA) LLC and RBS Securities Inc., as representatives of the initial
purchasers (the “Registration Rights Agreement”), the Company will be obligated to consummate an
exchange offer pursuant to which the Holder of this Senior Note shall have the right to exchange
this Senior Note for the Company’s 4.80% Exchange Senior Note due 2015 (the “2015 Exchange Note”),
at such time as such 2015 Exchange Note shall have been registered under the Securities Act, in
like principal amount and having terms identical in all material respects to this Senior Note
(except that such 2015 Exchange Note will not contain terms with respect to registration rights,
the payment of additional interest, and other provisions restricting transfers and resales,
including this paragraph). The Holders of this Senior Note shall be entitled to receive certain
additional interest payments at the rate per annum of 0.25% in the event such exchange offer is not
consummated within 210 days after the Closing Date (as defined in the Registration Rights
Agreement) and upon certain other conditions, all pursuant to and in accordance with the terms of
the Registration Rights Agreement.

          17. CUSIP Numbers. Pursuant to a recommendation promulgated by the Committee on
Uniform Security Identification Procedures, the Company has caused CUSIP numbers to be printed on
the Senior Notes and the Trustee may use CUSIP numbers in notices of redemption as a convenience to
Holders. No representation is made as to the accuracy of such numbers either as printed on the
Senior Notes or as contained in any notice of redemption and reliance may be placed only on the
other identification numbers placed thereon.

          The Company shall furnish to any Holder upon written request and without charge a copy of the
Indenture and/or the Registration Rights Agreement. Requests may be made to:

FirstEnergy Solutions Corp.

c/o FirstEnergy Corp.

76 South Main Street

Akron, Ohio 44308-1890

Attention: Shareholder Services

(800) 736-3402

          18. Discharge and Defeasance. As provided in the Indenture and subject to certain
limitations therein and herein set forth, this Senior Note or any portion of the principal amount
hereof will be deemed to have been paid for all purposes of the Indenture and to be no longer
outstanding thereunder, and, at the election of the Company, the Company’s entire indebtedness in
respect thereof will be satisfied and discharged, if there has been irrevocably deposited with the
Trustee or any Paying Agent (other than the Company) in trust, money in an amount which will be
sufficient and/or Eligible Obligations, the principal of and interest on which when due, without
any regard to reinvestment thereof, will provide moneys which, together with moneys so deposited,
will be sufficient to pay when due the principal of and premium, if any, and interest, if any, on
this Senior Note when due.

          19. Merger, Consolidation. The Indenture contains terms, provisions, and conditions
relating to the consolidation or merger of the Company with or into, and the conveyance or other
transfer, or lease, of assets to, another Person, to the assumption by such other Person, in
certain circumstances, of all of the obligations of the Company under the Indenture and on the
Senior Notes and to the release and discharge of the Company in certain circumstances, from such
obligations.

          20. Governing Law. The Indenture, the Supplemental Indenture and the Senior Notes
shall be governed by and construed in accordance with the laws of the State of New York.

7

 

CERTIFICATE OF TRANSFER

4.80% SENIOR NOTE DUE 2015

FOR VALUE RECEIVED, the undersigned sells, assigns, and transfers unto

     PLEASE INSERT SOCIAL SECURITY OR OTHER

IDENTIFYING NUMBER OF ASSIGNEE

Name and address of assignee must be printed or typewritten:

     $
                                                            
                                                            
                    
principal amount of or beneficial interests* in the within Senior Note of the Company and
does hereby irrevocably constitute and appoint to transfer the said principal amount of or
beneficial interests in said Senior Note on the books of the within-named Company, with full
power of substitution in the premises.

     The undersigned certifies that said principal amount of or beneficial interests in said
Senior Note are being resold, pledged, or otherwise transferred as follows: (check one)

o to the Company;

o pursuant to an exemption from registration provided by Rule 144 under the Securities Act
(if available);

o to a Person whom the undersigned reasonably believes is a qualified institutional buyer
within the meaning of Rule 144A under the Securities Act of 1933, as amended (the “Securities
Act”) purchasing for its own account or for the account of a qualified institutional buyer to
whom notice is given that the resale, pledge, or other transfer is being made in reliance on
Rule 144A;

o in an offshore transaction in accordance with Rule 903 or 904 of Regulation S under the
Securities Act;

o as otherwise permitted by the non-registration legend appearing on this Senior Note; or

o as otherwise agreed by the Company, confirmed in writing to the Trustee, as follows:
[describe]

	 	 	 	 	 	 	 	 	 
	Dated:

	 	 	 	 	 	Signature:	 	 
	 

	 	 
	 	 	 	 	 	 
	 

	 	 	 	 	 	Print name:	 	 

     NOTICE. The signature to this assignment must correspond with the name as written upon the
face of the Senior Note in every particular without alteration or enlargement or any change
whatsoever.

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

 

			
	*	 	transfers of beneficial interests in this security may be made only
to another global security of the same series or as otherwise permitted by
applicable securities laws.

8

 

OPTION OF HOLDER TO ELECT PURCHASE

     If you want to elect to have this Senior Note purchased by the Company pursuant to Section 302
of the First Supplemental Indenture, check the box below:

o Section 302

     If you want to elect to have only part of the Senior Note purchased by the Company pursuant to
Section 302 of the First Supplemental Indenture, state the amount you elect to have purchased:

	 	 	 	 	 	 	 
	 	 	$                     	 	 
	 
	 	 	 	 	 	 
	Date:                                         
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	Your Signature:                                                             
	 	 	(Sign exactly as your name appears on the face
	 	 	of this Senior Note)
	 
	 	 	 	 	 	 
	 	 	Tax Identification No.:                                                            

     Signature Guarantee1:                                        

 

			
	1	 	Participant in a recognized Signature Guarantee Medallion Program
(or other signature guarantor acceptable to the Trustee).

9

 

SCHEDULE OF INCREASES AND DECREASES OF INTERESTS

IN THE GLOBAL SECURITIES

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

	 	 	 	 	 	 	 	 	 
	 	 	Amount of	 	 	 	 	 	 
	 	 	decrease	 	 	 	Principal Amount	 	 
	 	 	in Principal	 	Amount of increase	 	of this Global	 	 
	 	 	Amount of	 	in Principal Amount	 	Security following	 	Signature of
	Date of	 	this Global	 	of	 	such decrease	 	authorized officer of
	Exchange	 	Security	 	this Global Security	 	(or increase)	 	Trustee
	 	 	 	 	 	 	 	 	 

10

 

AFFIRMATION OF GUARANTY

     Reference is hereby made to that certain Guaranty, dated as of March 26, 2007 (the
“Guaranty”), executed and delivered by the undersigned in favor of the Guaranteed Parties
as defined therein and acknowledged by FirstEnergy Solutions Corp. (the “Company”).

     The undersigned hereby affirms:

     (i) that the Senior Notes of the Company constitute FES Indebtedness (as defined in the
Guaranty) and are Guaranteed Obligations (as defined in the Guaranty); and

     (ii) the Holder of the Senior Notes to which this affirmation is attached and the Trustee are
Guaranteed Parties (as defined in the Guaranty); and

     (iii) its obligations under the Guaranty to the Guaranteed Parties thereunder in respect of
the due and punctual payment of the principal of, premium and Additional Interest, if any, and
interest on, such Senior Notes, whether at maturity, by acceleration, redemption or otherwise.

     Capitalized terms not defined herein have the meaning set forth in the First Supplemental
Indenture.

     IN WITNESS WHEREOF, the undersigned has executed this Affirmation as of this 7th day of
August, 2009.

	 	 	 	 	 
	 	FIRSTENERGY GENERATION CORP.

 	 
	 	By:  	 	 
	 	 	Name:  	James F. Pearson 	 
	 	 	Title:  	Vice President and Treasurer 	 
	 

 

 

AFFIRMATION OF GUARANTY

     Reference is hereby made to that certain Guaranty, dated as of March 26, 2007 (the
“Guaranty”), executed and delivered by the undersigned in favor of the Guaranteed Parties
as defined therein and acknowledged by FirstEnergy Solutions Corp. (the “Company”).

     The undersigned hereby affirms:

     (i) that the Senior Notes of the Company constitute FES Indebtedness (as defined in the
Guaranty) and are Guaranteed Obligations (as defined in the Guaranty); and

     (ii) the Holder of the Senior Notes to which this affirmation is attached and the Trustee are
Guaranteed Parties (as defined in the Guaranty); and

     (iii) its obligations under the Guaranty to the Guaranteed Parties thereunder in respect of
the due and punctual payment of the principal of, premium and Additional Interest, if any, and
interest on, such Senior Notes, whether at maturity, by acceleration, redemption or otherwise.

     Capitalized terms not defined herein have the meaning set forth in the First Supplemental
Indenture.

     IN WITNESS WHEREOF, the undersigned has executed this Affirmation as of this 7th day of
August, 2009.

	 	 	 	 	 
	 	FIRSTENERGY NUCLEAR GENERATION CORP.

 	 
	 	By:  	 	 
	 	 	Name:  	James F. Pearson 	 
	 	 	Title:  	Vice President and Treasurer 	 
	 

 

 

EXHIBIT B

[FORM OF 2021 SENIOR NOTE]

CUSIP NUMBER [           ]

ISIN NUMBER [              ]

(Face of Senior Note)

FIRSTENERGY SOLUTIONS CORP.

6.05% SENIOR NOTES DUE 2021

No. __

$[                ]

          FIRSTENERGY SOLUTIONS CORP., an Ohio corporation(the “Company”), for value received, hereby
promises to pay to CEDE & CO. or registered assigns, the principal sum of [           ] Dollars, or such
greater or lesser amount as may from time to time be endorsed on the Schedule of Increases and
Decreases of Interests in the Global Securities attached hereto (but in no event may such amount
exceed the aggregate principal amount of Senior Notes authenticated pursuant to Section 303 of the
Indenture referred to below and then outstanding pursuant to Section 201 of the First Supplemental
Indenture) on the Stated Maturity specified below.

Original Issue Date: August 7, 2009

Stated Maturity: August 15, 2021

Interest Rate: 6.05%

Interest Payment Dates: February 15 and August 15, commencing February 15, 2010

Record Dates: The Business Day immediately preceding each Interest Payment Date so long as this
Senior Note is issued in book-entry only form, otherwise the fifteenth calendar day next preceding
each Interest Payment Date.

[Remainder of Page Intentionally Left Blank]

 

 

     IN WITNESS WHEREOF, the Company has caused this instrument to be executed in its name by the
manual or facsimile signature of an Authorized Executive Officer and attested by the manual or
facsimile signature of another Authorized Executive Officer.

	 	 	 	 	 
	 	FIRSTENERGY SOLUTIONS CORP.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	ATTEST:

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

[FORM OF TRUSTEE’S AUTHENTICATION CERTIFICATE]

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

Dated:                     , 20__

THE BANK OF NEW YORK MELLON

TRUST COMPANY, N.A.,

as Trustee

	 	 	 	 	 
	By:
	 	 	 	 
	 

	 	 

Authorized Signatory
	 	 

 

 

(Back of Senior Note)

FIRSTENERGY SOLUTIONS CORP.

6.05% SENIOR NOTES DUE 2021

[GLOBAL NOTE LEGEND]

     UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST
COMPANY, A NEW YORK CORPORATION (“DTC”), NEW YORK, NEW YORK, TO AN ISSUER OR ITS AGENT FOR
REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME
OF CEDE & CO. OR SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY
PAYMENT IS MADE TO CEDE & CO., OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO
ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

     TRANSFERS OF THIS GLOBAL SECURITY SHALL BE LIMITED TO TRANSFERS IN WHOLE, BUT NOT IN PART, TO
NOMINEES OF DTC OR SUCCESSOR THEREOF OR SUCH SUCCESSOR’S NOMINEE AND TRANSFERS OF PORTIONS OF THIS
GLOBAL SECURITY SHALL BE LIMITED TO TRANSFERS MADE IN ACCORDANCE WITH THE RESTRICTIONS SET FORTH IN
THE INDENTURE REFERRED TO ON THE REVERSE HEREOF.

[TRANSFER RESTRICTION LEGEND]

     THIS SECURITY AND ANY RELATED DOCUMENTATION MAY BE AMENDED OR SUPPLEMENTED FROM TIME
TO TIME TO MODIFY THE RESTRICTIONS ON AND PROCEDURES FOR RESALES AND OTHER TRANSFERS OF
THIS SECURITY TO REFLECT ANY CHANGE IN APPLICABLE LAW OR REGULATION (OR THE INTERPRETATION
THEREOF) OR IN PRACTICES RELATING TO THE RESALE OR TRANSFER OF RESTRICTED SECURITIES
GENERALLY. THE HOLDER OF THIS SECURITY SHALL BE DEEMED BY THE ACCEPTANCE OF THIS SECURITY
TO HAVE AGREED TO ANY SUCH AMENDMENT OR SUPPLEMENT.

[144A LEGEND][REG S LEGEND (REPLACING TEMPORARY REG S LEGEND)]

     NEITHER THIS SECURITY NOR ANY BENEFICIAL INTEREST HEREIN HAS BEEN REGISTERED UNDER THE
SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”). EACH HOLDER HEREOF, AND EACH OWNER OF A
BENEFICIAL INTEREST HEREIN BY PURCHASING THIS SECURITY, AGREES FOR THE BENEFIT OF FIRSTENERGY
SOLUTIONS CORP. (THE “COMPANY”) THAT THIS SECURITY MAY NOT BE REOFFERED, RESOLD, PLEDGED OR
OTHERWISE TRANSFERRED OTHER THAN (A)(1) TO THE COMPANY, (2) IN A TRANSACTION ENTITLED TO AN
EXEMPTION FROM REGISTRATION PROVIDED BY RULE 144 UNDER THE SECURITIES ACT (“RULE 144”), (3) SO LONG
AS THIS SECURITY IS ELIGIBLE FOR RESALE PURSUANT TO RULE 144A UNDER THE SECURITIES ACT (“RULE
144A”), TO A PERSON WHOM THE SELLER REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER WITHIN
THE MEANING OF RULE 144A PURCHASING FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED
INSTITUTIONAL BUYER

 

 

TO WHOM NOTICE IS GIVEN THAT THE RESALE, PLEDGE OR OTHER TRANSFER IS BEING MADE IN RELIANCE ON
RULE 144A (AS INDICATED BY THE BOX CHECKED BY THE TRANSFEROR ON THE CERTIFICATE OF TRANSFER ON THE
REVERSE OF THIS SECURITY), (4) IN AN OFFSHORE TRANSACTION TO A NON-U.S. PERSON IN ACCORDANCE WITH
RULE 903 OR 904 OR REGULATION S UNDER THE SECURITIES ACT (AS INDICATED BY THE BOX CHECKED BY THE
TRANSFEROR ON THE CERTIFICATE OF TRANSFER ON THE REVERSE OF THIS SECURITY), (5) IN ACCORDANCE WITH
ANOTHER APPLICABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT (AND BASED
UPON AN OPINION OF COUNSEL ACCEPTABLE TO THE COMPANY), OR (6) PURSUANT TO AN EFFECTIVE REGISTRATION
STATEMENT UNDER THE SECURITIES ACT AND (B) IN EACH CASE IN ACCORDANCE WITH ANY APPLICABLE
SECURITIES LAWS OF ANY STATE OF THE UNITED STATES. THE HOLDER HEREOF, BY PURCHASING THIS SECURITY,
REPRESENTS AND AGREES FOR THE BENEFIT OF THE COMPANY THAT IT WILL, AND EACH SUBSEQUENT HOLDER IS
REQUIRED TO, NOTIFY ANY PURCHASER OF THE SECURITY EVIDENCED HEREBY OF THE RESALE RESTRICTIONS SET
FORTH IN CLAUSE (A) ABOVE. NO REPRESENTATION CAN BE MADE AS TO THE AVAILABILITY OF THE EXEMPTION
PROVIDED BY RULE 144 FOR RESALE OF THE SECURITY EVIDENCED HEREBY.

 

 

[TEMPORARY REG S LEGEND]

     THIS SECURITY MAY NOT BE OFFERED OR SOLD TO A U.S. PERSON OR FOR THE ACCOUNT OR BENEFIT OF A
U.S. PERSON WITHIN THE MEANING OF RULE 902(k) UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE
“SECURITIES ACT”) (OTHER THAN A DISTRIBUTOR, AS SUCH TERM IS DEFINED UNDER RULE 902(d) UNDER THE
SECURITIES ACT).

     NEITHER THIS SECURITY NOR ANY BENEFICIAL INTEREST HEREIN HAS BEEN REGISTERED UNDER THE
SECURITIES ACT. EACH HOLDER HEREOF, AND EACH OWNER OF A BENEFICIAL INTEREST HEREIN BY PURCHASING
THIS SECURITY, AGREES FOR THE BENEFIT OF FIRSTENERGY SOLUTIONS CORP. (THE “COMPANY”) THAT THIS
SECURITY MAY NOT BE REOFFERED, RESOLD, PLEDGED OR OTHERWISE TRANSFERRED OTHER THAN (A)(1) TO THE
COMPANY, (2) IN A TRANSACTION ENTITLED TO AN EXEMPTION FROM REGISTRATION PROVIDED BY RULE 144 UNDER
THE SECURITIES ACT (“RULE 144”), (3) IN AN OFFSHORE TRANSACTION TO A NON-U.S. PERSON IN ACCORDANCE
WITH RULE 903 OR 904 OR REGULATION S UNDER THE SECURITIES ACT (AS INDICATED BY THE BOX CHECKED BY
THE TRANSFEROR ON THE CERTIFICATE OF TRANSFER ON THE REVERSE OF THIS SECURITY), (4) IN ACCORDANCE
WITH ANOTHER APPLICABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT (AND
BASED UPON AN OPINION OF COUNSEL ACCEPTABLE TO THE COMPANY), OR (5) PURSUANT TO AN EFFECTIVE
REGISTRATION STATEMENT UNDER THE SECURITIES ACT AND (B) IN EACH CASE IN ACCORDANCE WITH ANY
APPLICABLE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES. THE HOLDER HEREOF, BY PURCHASING THIS
SECURITY, REPRESENTS AND AGREES FOR THE BENEFIT OF THE COMPANY THAT IT WILL, AND EACH SUBSEQUENT
HOLDER IS REQUIRED TO, NOTIFY ANY PURCHASER OF THE SECURITY EVIDENCED HEREBY OF THE RESALE
RESTRICTIONS SET FORTH IN CLAUSE (A) ABOVE. NO REPRESENTATION CAN BE MADE AS TO THE AVAILABILITY OF
THE EXEMPTION PROVIDED BY RULE 144 FOR RESALE OF THE SECURITY EVIDENCED HEREBY.

 

 

Capitalized terms used herein shall have the meanings assigned to them in the Indenture referred to
below unless otherwise indicated. The Securities are general obligations of the Company as
described in the Indenture. This Senior Note is entitled to the benefits of the FGCO Guaranty and
the NGC Guaranty on the terms set forth in the Indenture.

          1. Interest. FIRSTENERGY SOLUTIONS CORP., an Ohio corporation (the “Company”)
promises to pay interest from the Original Issue Date specified above or from the most recent
Interest Payment Date to which Interest has been paid or duly provided for, semi-annually in
arrears on the Interest Payment Dates specified above in each year, commencing on February 15,
2010, and at Maturity, at the Interest Rate per annum specified above, until the principal hereof
is paid or made available for payment. No interest shall accrue at Maturity, so long as the
principal amount of this Senior Note is paid at Maturity. The interest so payable and punctually
paid or duly provided for on any such Interest Payment Date (except for interest payable on the
Stated Maturity specified above, or, if applicable, upon redemption or acceleration) will, as
provided in the Indenture (as defined below), be paid to the Person in whose name this Senior Note
is registered at the close of business on the Regular Record Date specified above (whether or not a
Business Day) next preceding such Interest Payment Date; and provided, that interest payable on the
Stated Maturity specified above or, if applicable, upon redemption or acceleration, shall be
payable to the Person to whom principal shall be payable on such Maturity. Except as otherwise
provided in the Indenture, any such interest not so punctually paid or duly provided for will
forthwith cease to be payable to the Holder on such Regular Record Date and shall be paid to the
Person in whose name this Senior Note is registered at the close of business on a Special Record
Date for the payment of such defaulted interest to be fixed by the Trustee, notice whereof shall be
given to Holders not more than fifteen days or fewer than ten days prior to such Special Record
Date. Payment of principal of, interest and premium, if any, on this Senior Note shall be payable
pursuant to Section 601 of the Indenture.

          No reference herein to the Indenture and no provision of this Senior Note or of the Indenture
shall alter or impair the obligation of the Company, which is absolute and unconditional, to pay
the principal of and premium, if any, and interest, if any, on this Senior Note at the times,
place, and rate, in the coin or currency, and in the manner, herein prescribed.

          As used herein, “Business Day” shall mean each day that is not a day on which banking
institutions or trust companies in the Borough of Manhattan, the City and State of New York, or in
the city where the Global Corporate Trust Office of the Trustee is located, are obligated or
authorized by law or executive order to close.

          2. Method of Payment. Payment of the principal of and premium, if any, on this
Senior Note and interest hereon at the Stated Maturity shall be made upon presentation of this
Senior Note at the Global Corporate Trust Office of our designated agent, The Bank of New York
Mellon Trust Company, N.A., located at 1660 West 2nd Street, Cleveland, Ohio, 44113, or at such
other office or agency as may be designated for such purpose by the Company from time to time.
Payment of interest, if any, on this Senior Note (other than interest at the Stated Maturity) shall
be made by check mailed to the address of the Person entitled thereto as such address shall appear
in the Security Register, except that (a) if such Person shall be a securities depositary, such
payment may be made by such other means in lieu of check as shall be agreed upon by the Company,
the Trustee or other Paying Agent and such Person and (b) if such Person is a Holder of $10,000,000
or more in aggregate principal amount of Senior Notes of this series such payment may be in
immediately available funds by wire transfer to such account as may have been designated in writing
by the Person entitled thereto as set forth herein in time for the Paying Agent to make such
payments in accordance with its normal procedures. Any such designation for wire transfer purposes
shall be made by filing the appropriate information with our designated agent, The Bank of New York
Mellon Trust Company, N.A., at its Global Corporate Trust Office, located at 1660 West 2nd Street,

1

 

Cleveland, Ohio, 44113, not less than fifteen calendar days prior to the applicable payment
date and, unless revoked by written notice to the Trustee received on or prior to the Regular
Record Date immediately preceding the applicable Interest Payment Date, shall remain in effect with
respect to any further interest payments (other than interest payments at Maturity) with respect to
this Senior Note payable to such Holder. Payment of the principal of and premium, if any, and
interest, if any, on this Senior Note, as aforesaid, shall be made in such coin or currency of the
United States of America as at the time of payment shall be legal tender for the payment of public
and private debts.

          If any Interest Payment Date, any Redemption Date, or the Stated Maturity shall not be a
Business Day (as hereinafter defined), payment of the amounts due on this Senior Note on such date
may be made on the next succeeding Business Day; and, if such payment is made or duly provided for
on such next succeeding Business Day, no interest shall accrue on such amounts for the period from
and after such Interest Payment Date, Redemption Date, or Stated Maturity, as the case may be, to
such Business Day.

          3. Paying Agent and Security Registrar. Initially, The Bank of New York Mellon Trust
Company, N.A., the Trustee under the Indenture, will act as Paying Agent and Security Registrar.
The Company may change any Paying Agent or Security Registrar without notice to any Holder. The
Company or any of its subsidiaries may act in any such capacity; provided that if the Company or
such subsidiary is acting as Paying Agent, the Company or such subsidiary shall segregate all funds
held by it as Paying Agent and hold them in a separate trust fund for the benefit of the Holders.

          4. Registration of Transfer and Exchange. As provided in the Indenture and subject
to certain limitations therein set forth, the transfer of this Senior Note is registrable in the
Security Register, upon surrender of this Senior Note for registration of transfer at the office of
our designated agent, The Bank of New York Mellon Trust Company, N.A., located at 1660 West 2nd
Street, Cleveland, Ohio, 44113, or such other office or agency as may be designated by the Company
from time to time, duly endorsed by, or accompanied by a written instrument of transfer in form
satisfactory to the Company and the Security Registrar duly executed by, the Holder hereof or his
attorney duly authorized in writing, and thereupon one or more new Senior Notes of this series of
authorized denominations and of like tenor and aggregate principal amount, will be issued to the
designated transferee or transferees.

          The Company shall not be required to execute and the Security Registrar shall not be required
to register the transfer of or exchange of (a) Senior Notes of this series during a period of 15
days immediately preceding the date notice is given identifying the serial numbers of the Senior
Notes of this series called for redemption or (b) any Senior Note so selected for redemption in
whole or in part, except the unredeemed portion of any Senior Note being redeemed in part.

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

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

          5. Indenture. This Senior Note is a global security in respect of a duly authorized
issue of 6.05% Senior Notes due 2021 (the “2021 Notes,” which term includes any global note
representing such Senior Notes) of the Company, issued and issuable in one or more series under
the Indenture and First Supplemental Indenture, both dated as of August 1, 2009 (such Indentures as
originally executed and

2

 

delivered and as supplemented or amended from time to time thereafter, together with any
constituent instruments establishing the terms of particular securities, being herein called the
“Indenture”), between the Company and The Bank of New York Mellon Trust Company, N.A., under which
The Bank of New York Mellon Trust Company, N.A. is trustee (herein called the “Trustee,” which term
includes any successor trustee under the Indenture), to which Indenture and all indentures
supplemental thereto reference is hereby made for a description of the respective rights,
limitations of rights, duties, and immunities of the Company, the Trustee, and the Holders of the
Senior Notes thereunder and of the terms and conditions upon which the Senior Notes are, and are to
be, authenticated and delivered. The acceptance of this Senior Note shall be deemed to constitute
the consent and agreement by the Holder hereof to all of the terms and provisions of the Indenture.
This Senior Note is one of the series designated above.

          6. Optional Redemption.

          This Senior Note is redeemable, at any time in whole or from time to time in part, at the
Company’s option, on at least 30 days’, but not more than 60 days’, prior notice mailed to the
registered address of each holder of the Senior Notes. The Redemption Price will be equal to the
greater of: (1) 100% of the principal amount of the Senior Notes to be redeemed, and (2) as
determined by the Independent Investment Banker (as defined below), the sum of the present values
of the Remaining Scheduled Payments (as defined below) discounted to the Redemption Date, on a
semi-annual basis (assuming a 360-day year consisting of twelve 30-day months), at a rate equal to
the sum of the Adjusted Treasury Rate (as defined below) plus 40 basis points. In each case,
accrued and unpaid interest will be payable to the Redemption Date.

          “Adjusted Treasury Rate” means, with respect to any Redemption Date:

	 	•	 	the yield, under the heading which represents the average for
the immediately preceding week, appearing in the most recently published
statistical release designated “H.15(519)” or any successor publication which
is published weekly by the Board of Governors of the Federal Reserve System and
which establishes yields on actively traded United States Treasury securities
adjusted to constant maturity under the caption “Treasury Constant Maturities,”
for the maturity corresponding to the Comparable Treasury Issue (if no maturity
is within three months before or after the Remaining Life, yields for the two
published maturities most closely corresponding to the Comparable Treasury
Issue shall be determined and the Adjusted Treasury Rate shall be interpolated
or extrapolated from these yields on a straight line basis, rounding to the
nearest month); or
	 
	 	•	 	if the release (or any successor release) is not published
during the week preceding the calculation date or does not contain these
yields, the rate per annum equal to the semi-annual equivalent yield to
maturity of the Comparable Treasury Issue, calculated using a price for the
Comparable Treasury Issue (expressed as a percentage of its principal amount)
equal to the Comparable Treasury Price for the Redemption Date. The Adjusted
Treasury Rate will be calculated on the third Business Day preceding the
Redemption Date.

          “Comparable Treasury Issue” means the United States Treasury security selected by an
Independent Investment Banker as having a maturity comparable to the remaining term of the Senior
Notes to be redeemed that would be utilized, at the time of selection and in accordance with
customary financial practice, in pricing new issues of corporate debt securities of comparable
maturity to the remaining term of such securities (“Remaining Life”).

3

 

          “Comparable Treasury Price” means (1) the average of three Reference Treasury Dealer
Quotations for the Redemption Date, after excluding the highest and lowest Reference Treasury
Dealer Quotations, or (2) if the Independent Investment Banker obtains fewer than three Reference
Treasury Dealer Quotations, the average of all such quotations.

          “Independent Investment Banker” means one of the Reference Treasury Dealers appointed by the
Company.

          “Reference Treasury Dealer” means (i) each of Morgan Stanley & Co. Incorporated, Barclays
Capital Inc., Credit Suisse Securities (USA) LLC and RBS Securities Inc. and their respective
successors; provided, however, that if any of the foregoing cease to be a primary U.S. Government
securities dealer in the United States (a “Primary Treasury Dealer”), the Company shall substitute
therefor another Primary Treasury Dealer, and (ii) any other Primary Treasury Dealer selected by
the Independent Investment Banker after consultation with the Company.

          “Reference Treasury Dealer Quotations” means, with respect to each Reference Treasury Dealer
and any Redemption Date, the average, as determined by the Independent Investment Banker, of the
bid and asked prices for the Comparable Treasury Issue (expressed in each case as a percentage of
its principal amount) quoted in writing to the Independent Investment Banker at 5:00 p.m., New York
City time, on the third Business Day preceding the Redemption Date.

          “Remaining Scheduled Payments” means the remaining scheduled payments of principal of and
interest on this Senior Note that would be due after the related Redemption Date but for such
redemption. If such Redemption Date is not an Interest Payment Date with respect to this Senior
Note, the amount of the next succeeding scheduled interest payment on this Senior Note will be
reduced by the amount of interest accrued on this Senior Note to such Redemption Date.

          On and after the Redemption Date, interest will cease to accrue on this Senior Note or any
portion of the Senior Note called for redemption (unless the Company defaults in the payment of the
Redemption Price and accrued interest. On or before the Redemption Date, the Company will deposit
with the Paying Agent money sufficient to pay the Redemption Price of and accrued interest on the
Senior Note to be redeemed on such date. If less than all the Senior Notes of any series are to be
redeemed, the Senior Notes to be redeemed shall be selected by the Trustee by such method as the
Trustee shall deem fair and appropriate.

          7. Mandatory Redemption.

          The Company shall not be required to make mandatory redemption or sinking fund payments with
respect to the Senior Notes.

          8. Notice of Redemption. Notice of redemption shall be given by mail to Holders of
Senior Notes, not less than 30 days nor more than 60 days prior to the date fixed for redemption,
all as provided in the Indenture. As provided in the Indenture, notice of redemption at the
election of the Company as aforesaid may state that such redemption shall be conditional upon the
receipt by the Paying Agent or Agents of money sufficient to pay the principal of and premium, if
any, and interest, if any, on this Senior Note on or prior to the date fixed for such redemption; a
notice of redemption so conditioned shall be of no force or effect if such money is not so received
and, in such event, the Company shall not be required to redeem this Senior Note.

4

 

          In the event of redemption of this Senior Note in part only, a new Senior Note or Senior Notes
of this series, of like tenor, representing the unredeemed portion hereof shall be issued in the
name of the Holder hereof upon the cancellation hereof.

9. Repurchase at Option of Holder. If a Change of Control Triggering Event occurs, each
Holder of Senior Notes will have the right to require the Company to repurchase all or any part
(equal to $2,000 or an integral multiple of $1,000 in excess thereof) of that Holder’s Notes
pursuant to an offer (a “Change of Control Offer”) on the terms set forth in the Indenture. In the
Change of Control Offer, the Company shall offer payment (a “Change of Control Purchase Price”) in
cash equal to 101% of the aggregate principal amount of Senior Notes repurchased plus accrued and
unpaid interest and Additional Interest, if any, thereon, to the date of repurchase (the “Change of
Control Payment Date,” which date will be no earlier than the date of such Change of Control). No
later than 30 days following any Change of Control Triggering Event, the Company shall mail a
notice to each Holder stating that a Change of Control Triggering Event has occurred and offering
to repurchase Senior Notes on the Change of Control Payment Date specified in such notice, which
date will be no earlier than 30 days and no later than 60 days from the date such notice is mailed,
pursuant to the procedures required by the Indenture and described in such notice. Holders of
Senior Notes electing to have Senior Notes purchased pursuant to a Change of Control Offer will be
required to surrender their Senior Notes, with the form entitled “Option of Holder to Elect
Purchase” on the reverse of the Senior Note completed, to the Paying Agent at the address specified
in the notice, or transfer their Senior Notes to the Paying Agent by book-entry transfer pursuant
to the applicable procedures of the Paying Agent, prior to the close of business on the third
Business Day prior to the Change of Control Payment Date.

          10. Restrictions on Transfer. Each Holder shall be deemed to understand that the
offer and sale of this Senior Note has not been registered under the Securities Act and that this
Senior Note may not be offered or sold except as permitted in the following sentence. Each Holder
shall be deemed to agree, on its own behalf and on behalf of any accounts for which it is acting as
hereinafter stated, that if such Holder sells any Senior Notes, such Holder will do so only (A) to
the Company, (B) pursuant to the exemption from registration provided by Rule 144 under the
Securities Act (if available), (C) so long as such Senior Note is eligible for resale pursuant to
Rule 144A under the Securities Act (“Rule 144A”) to a person whom it reasonably believes is a
“qualified institutional buyer” within the meaning of Rule 144A that purchases for its own account
or for the account of a qualified institutional buyer to whom notice is given that the resale,
pledge or transfer is being made in reliance on Rule 144A, (D) in an offshore transaction in
accordance with Rule 903 or 904 of Regulation S under the Securities Act, (E) in accordance with
another applicable exemption from the registration requirements of the Securities Act (and based
upon an Opinion of Counsel acceptable to the Company), or (F) pursuant to an effective registration
statement under the Securities Act and, in each case in accordance with any applicable securities
laws of any state of the United States, and each Holder is further deemed to agree to provide to
any person purchasing any Securities from it a notice advising such purchaser that resales of the
Securities are restricted as stated herein.

          Each Holder shall be deemed to understand that, on any proposed resale of any Senior Notes
pursuant to the exemption from registration under Rule 144 under the Securities Act, any Holder
making any such proposed resale will be required to furnish to the Trustee and Company such
certifications, legal opinions, and other information as the Trustee and Company may reasonably
require to confirm that the proposed sale complies with the foregoing restrictions.

          11. Denominations, Transfer, Exchange. The Senior Notes of this series are issuable
only as registered Senior Notes, without coupons, and in denominations of $2,000 and integral
multiples of $1,000 in excess thereof. As provided in the Indenture and subject to certain
limitations therein set

5

 

forth, Senior Notes of this series are exchangeable for a like aggregate principal amount of
Senior Notes of the same series and tranche, of any authorized denominations, as requested by the
Holder surrendering the same, and of like tenor upon surrender of the Senior Note or Senior Notes
to be exchanged at the Corporate Trust Administration Office of our designated agent, The Bank of
New York Mellon Trust Company, N.A., located at 1660 West 2nd Street, Cleveland, Ohio, 44113, or
such other office or agency as may be designated by the Company from time to time.

          12. Amendment, Supplement and Waiver. The Indenture permits, with certain exceptions
as therein provided, the Trustee to enter into one or more supplemental indentures for the purpose
of adding any provisions to, or changing in any manner or eliminating any of the provisions of, the
Indenture with the consent of the Holders of a majority in aggregate principal amount of the Senior
Notes of all series then outstanding under the Indenture; provided, however, that if there shall be
Senior Notes of more than one series outstanding under the Indenture and if a proposed
supplemental indenture shall directly affect the rights of the Holders of Senior Notes of any such
series, then the consent of the Holders of only a majority in aggregate principal amount of the
outstanding Senior Notes of all series so directly affected, considered as one class, shall be
required; and provided, further, that if the Senior Notes of any series shall have been issued in
more than one tranche and if the proposed supplemental indenture shall directly affect the rights
of the Holders of Senior Notes of one or more, but less than all, of such tranches, then the
consent only of the Holders of a majority in aggregate principal amount of the outstanding Senior
Notes of all tranches so directly affected, considered as one class, shall be required; and
provided, further, that the Indenture permits the Trustee to enter into one or more supplemental
indentures for limited purposes without the consent of any Holders of Senior Notes. The Indenture
also contains provisions permitting the Holders of a majority in aggregate principal amount of the
Senior Notes then outstanding, on behalf of the Holders of all Senior Notes, to waive compliance by
the Company with certain provisions of the Indenture and certain past defaults under the Indenture
and their consequences. Any such consent or waiver by the Holder of this Senior Note shall be
conclusive and binding upon such Holder and upon all future Holders of this Senior Note and of any
Senior Note issued upon the registration of transfer hereof or in exchange therefor or in lieu
hereof, whether or not notation of such consent or waiver is made upon this Senior Note.

          13. Defaults and Remedies. If an Event of Default with respect to the Senior Notes
of this series shall occur and be continuing, the principal of this Senior Note may be declared due
and payable in the manner and with the effect provided in the Indenture.

          14. No Recourse Against Others. As provided in the Indenture, no recourse shall be
had for the payment of the principal of or premium, if any, or interest, if any, on any Senior
Notes, or any part thereof, or for any claim based thereon or otherwise in respect thereof, or of
the indebtedness represented thereby, or upon any obligation, covenant, or agreement under the
Indenture, against, and no personal liability whatsoever shall attach to, or be incurred by, any
incorporator, shareholder, officer or director, as such, past, present, or future of the Company or
of any predecessor or successor corporation (either directly or through the Company, or a
predecessor or successor corporation), whether by virtue of any constitutional provision, statute
or rule of law, or by the enforcement of any assessment or penalty or otherwise; it being expressly
agreed and understood that the Indenture and this Senior Note are solely corporate obligations and
that any such personal liability is hereby expressly waived and released as a condition of, and as
part of the consideration for, the execution of the Indenture and the issuance of this Senior Note.

          15. Authentication. Unless the certificate of authentication hereon has been
executed by the Trustee or an Authenticating Agent by manual signature, this Senior Note shall not
be entitled to any benefit under the Indenture or be valid or obligatory for any purpose.

6

 

          16. Additional Rights of Holders. Pursuant to the Registration Rights Agreement
dated August 7, 2009 between the Company and Morgan Stanley & Co. Incorporated, Barclays Capital
Inc., Credit Suisse Securities (USA) LLC and RBS Securities Inc., as representatives of the initial
purchasers (the “Registration Rights Agreement”), the Company will be obligated to consummate an
exchange offer pursuant to which the Holder of this Senior Note shall have the right to exchange
this Senior Note for the Company’s 6.05% Exchange Senior Note due 2021 (the “2021 Exchange Note”),
at such time as such 2021 Exchange Note shall have been registered under the Securities Act, in
like principal amount and having terms identical in all material respects to this Senior Note
(except that such 2021 Exchange Note will not contain terms with respect to registration rights,
the payment of additional interest, and other provisions restricting transfers and resales,
including this paragraph). The Holders of this Senior Note shall be entitled to receive certain
additional interest payments at the rate per annum of 0.25% in the event such exchange offer is not
consummated within 210 days after the Closing Date (as defined in the Registration Rights
Agreement) and upon certain other conditions, all pursuant to and in accordance with the terms of
the Registration Rights Agreement.

          17. CUSIP Numbers. Pursuant to a recommendation promulgated by the Committee on
Uniform Security Identification Procedures, the Company has caused CUSIP numbers to be printed on
the Senior Notes and the Trustee may use CUSIP numbers in notices of redemption as a convenience to
Holders. No representation is made as to the accuracy of such numbers either as printed on the
Senior Notes or as contained in any notice of redemption and reliance may be placed only on the
other identification numbers placed thereon.

          The Company shall furnish to any Holder upon written request and without charge a copy of the
Indenture and/or the Registration Rights Agreement. Requests may be made to:

FirstEnergy Solutions Corp.

c/o FirstEnergy Corp.

76 South Main Street

Akron, Ohio 44308-1890

Attention: Shareholder Services

(800) 736-3402

          18. Discharge and Defeasance. As provided in the Indenture and subject to certain
limitations therein and herein set forth, this Senior Note or any portion of the principal amount
hereof will be deemed to have been paid for all purposes of the Indenture and to be no longer
outstanding thereunder, and, at the election of the Company, the Company’s entire indebtedness in
respect thereof will be satisfied and discharged, if there has been irrevocably deposited with the
Trustee or any Paying Agent (other than the Company) in trust, money in an amount which will be
sufficient and/or Eligible Obligations, the principal of and interest on which when due, without
any regard to reinvestment thereof, will provide moneys which, together with moneys so deposited,
will be sufficient to pay when due the principal of and premium, if any, and interest, if any, on
this Senior Note when due.

          19. Merger, Consolidation. The Indenture contains terms, provisions, and conditions
relating to the consolidation or merger of the Company with or into, and the conveyance or other
transfer, or lease, of assets to, another Person, to the assumption by such other Person, in
certain circumstances, of all of the obligations of the Company under the Indenture and on the
Senior Notes and to the release and discharge of the Company in certain circumstances, from such
obligations.

          20. Governing Law. The Indenture, the Supplemental Indenture and the Senior Notes
shall be governed by and construed in accordance with the laws of the State of New York.

7

 

CERTIFICATE OF TRANSFER

6.05% SENIOR NOTE DUE 2021

FOR VALUE RECEIVED, the undersigned sells, assigns, and transfers unto

     PLEASE INSERT SOCIAL SECURITY OR OTHER
IDENTIFYING NUMBER OF ASSIGNEE

          Name and address of assignee must be printed or typewritten:

	 	 	 
	     $
	 	 
	 

	 	 

principal amount of or beneficial interests* in the within Senior Note of the Company and
does hereby irrevocably constitute and appoint                                          to transfer the said principal amount of or
beneficial interests in said Senior Note on the books of the within-named Company, with full
power of substitution in the premises.

     The undersigned certifies that said principal amount of or beneficial interests in said
Senior Note are being resold, pledged, or otherwise transferred as follows: (check one)

o to the Company;

o pursuant to an exemption from registration provided by Rule 144 under the Securities Act
(if available);

o to a Person whom the undersigned reasonably believes is a qualified institutional buyer
within the meaning of Rule 144A under the Securities Act of 1933, as amended (the “Securities
Act”) purchasing for its own account or for the account of a qualified institutional buyer to
whom notice is given that the resale, pledge, or other transfer is being made in reliance on
Rule 144A;

o in an offshore transaction in accordance with Rule 903 or 904 of Regulation S under the
Securities Act;

o as otherwise permitted by the non-registration legend appearing on this Senior Note; or

o as otherwise agreed by the Company, confirmed in writing to the Trustee, as follows:
[describe]

	 	 	 	 	 	 	 	 	 
	Dated:

	 	 	 	Signature:	 	 	 	 
	 

	 	 

	 	 	 	 

	 	 
	 

	 	 	 	Print name:	 	 	 	 

     NOTICE. The signature to this assignment must correspond with the name as written upon the
face of the Senior Note in every particular without alteration or enlargement or any change
whatsoever.

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

 

			
	*	 	transfers of beneficial interests in this security may be made only
to another global security of the same series or as otherwise permitted by
applicable securities laws.

8

 

OPTION OF HOLDER TO ELECT PURCHASE

     If you want to elect to have this Senior Note purchased by the Company pursuant to Section 302
of the First Supplemental Indenture, check the box below:

o Section 302

     If you want to elect to have only part of the Senior Note purchased by the Company pursuant to
Section 302 of the First Supplemental Indenture, state the amount you elect to have purchased:

$                     

Date:                     

	 	 	 	 	 	 	 
	 

	 	Your Signature:	 	 	 	 
	 

	 	 	 	 

	 	 
	 	 	(Sign exactly as your name appears on the face
of this Senior Note)	 	 
	 
	 	 	 	 	 	 
	 

	 	Tax Identification No.:	 	 
	 

	 	 	 	 

	 	 

          Signature Guarantee1:                                         

 

			
	1	 	Participant in a recognized Signature Guarantee Medallion Program
(or other signature guarantor acceptable to the Trustee).

9

 

SCHEDULE OF INCREASES AND DECREASES OF INTERESTS

IN THE GLOBAL SECURITIES

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

	 	 	 	 	 	 	 	 	 
	 	 	Amount of	 	 	 	 	 	 
	 	 	decrease	 	 	 	Principal Amount	 	 
	 	 	in Principal	 	Amount of increase	 	of this Global	 	 
	 	 	Amount of	 	in Principal Amount	 	Security following	 	Signature of
	Date of	 	this Global	 	of	 	such decrease	 	authorized officer of
	Exchange	 	Security	 	this Global Security	 	(or increase)	 	Trustee
	 	 	 	 	 	 	 	 	 

10

 

AFFIRMATION OF GUARANTY

     Reference is hereby made to that certain Guaranty, dated as of March 26, 2007 (the
“Guaranty”), executed and delivered by the undersigned in favor of the Guaranteed Parties
as defined therein and acknowledged by FirstEnergy Solutions Corp. (the “Company”).

     The undersigned hereby affirms:

     (i) that the Senior Notes of the Company constitute FES Indebtedness (as defined in the
Guaranty) and are Guaranteed Obligations (as defined in the Guaranty); and

     (ii) the Holder of the Senior Notes to which this affirmation is attached and the Trustee are
Guaranteed Parties (as defined in the Guaranty); and

     (iii) its obligations under the Guaranty to the Guaranteed Parties thereunder in respect of
the due and punctual payment of the principal of, premium and Additional Interest, if any, and
interest on, such Senior Notes, whether at maturity, by acceleration, redemption or otherwise.

     Capitalized terms not defined herein have the meaning set forth in the First Supplemental
Indenture.

     IN WITNESS WHEREOF, the undersigned has executed this Affirmation as of this 7th day of
August, 2009.

	 	 	 	 	 
	 	FIRSTENERGY GENERATION CORP.

 	 
	 	By:  	 	 
	 	 	Name:  	James F. Pearson 	 
	 	 	Title:  	Vice President and Treasurer 	 
	 

 

AFFIRMATION OF GUARANTY

     Reference is hereby made to that certain Guaranty, dated as of March 26, 2007 (the
“Guaranty”), executed and delivered by the undersigned in favor of the Guaranteed Parties
as defined therein and acknowledged by FirstEnergy Solutions Corp. (the “Company”).

     The undersigned hereby affirms:

     (i) that the Senior Notes of the Company constitute FES Indebtedness (as defined in the
Guaranty) and are Guaranteed Obligations (as defined in the Guaranty); and

     (ii) the Holder of the Senior Notes to which this affirmation is attached and the Trustee are
Guaranteed Parties (as defined in the Guaranty); and

     (iii) its obligations under the Guaranty to the Guaranteed Parties thereunder in respect of
the due and punctual payment of the principal of, premium and Additional Interest, if any, and
interest on, such Senior Notes, whether at maturity, by acceleration, redemption or otherwise.

     Capitalized terms not defined herein have the meaning set forth in the First Supplemental
Indenture.

     IN WITNESS WHEREOF, the undersigned has executed this Affirmation as of this 7th day of
August, 2009.

	 	 	 	 	 
	 	FIRSTENERGY NUCLEAR GENERATION CORP.

 	 
	 	By:  	 	 
	 	 	Name:  	James F. Pearson 	 
	 	 	Title:  	Vice President and Treasurer 	 
	 

 

EXHIBIT C

[FORM OF 2039 SENIOR NOTE]

CUSIP NUMBER [              ]

ISIN NUMBER [                 ]

(Face of Senior Note)

FIRSTENERGY SOLUTIONS CORP.

6.80% SENIOR NOTES DUE 2039

No. __

$[                      ]

          FIRSTENERGY SOLUTIONS CORP., an Ohio corporation (the “Company”), for value received, hereby
promises to pay to CEDE & CO. or registered assigns, the principal sum of [                     ] Dollars, or such
greater or lesser amount as may from time to time be endorsed on the Schedule of Increases and
Decreases of Interests in the Global Securities attached hereto (but in no event may such amount
exceed the aggregate principal amount of Senior Notes authenticated pursuant to Section 303 of the
Indenture referred to below and then outstanding pursuant to Section 201 of the First Supplemental
Indenture) on the Stated Maturity specified below.

Original Issue Date: August 7, 2009

Stated Maturity: August 15, 2039

Interest Rate: 6.80%

Interest Payment Dates: February 15 and August 15, commencing February 15, 2010

Record Dates: The Business Day immediately preceding each Interest Payment Date so long as this
Senior Note is issued in book-entry only form, otherwise the fifteenth calendar day next preceding
each Interest Payment Date.

[Remainder of Page Intentionally Left Blank]

 

 

     IN WITNESS WHEREOF, the Company has caused this instrument to be executed in its name by the
manual or facsimile signature of an Authorized Executive Officer and attested by the manual or
facsimile signature of another Authorized Executive Officer.

	 	 	 	 	 
	 	FIRSTENERGY SOLUTIONS CORP.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

	 	 	 	 	 
	 	ATTEST:

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

[FORM OF TRUSTEE’S AUTHENTICATION CERTIFICATE]

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

Dated:                     , 20___

THE BANK OF NEW YORK MELLON

TRUST COMPANY, N.A.,

as Trustee

	 	 	 	 	 
	By:
	 	 	 	 
	 

	 	 

Authorized Signatory
	 	 

 

 

(Back of Senior Note)

FIRSTENERGY SOLUTIONS CORP.

6.80% SENIOR NOTES DUE 2039

[GLOBAL NOTE LEGEND]

     UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST
COMPANY, A NEW YORK CORPORATION (“DTC”), NEW YORK, NEW YORK, TO AN ISSUER OR ITS AGENT FOR
REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME
OF CEDE & CO. OR SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY
PAYMENT IS MADE TO CEDE & CO., OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO
ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

     TRANSFERS OF THIS GLOBAL SECURITY SHALL BE LIMITED TO TRANSFERS IN WHOLE, BUT NOT IN PART, TO
NOMINEES OF DTC OR SUCCESSOR THEREOF OR SUCH SUCCESSOR’S NOMINEE AND TRANSFERS OF PORTIONS OF THIS
GLOBAL SECURITY SHALL BE LIMITED TO TRANSFERS MADE IN ACCORDANCE WITH THE RESTRICTIONS SET FORTH IN
THE INDENTURE REFERRED TO ON THE REVERSE HEREOF.

[TRANSFER RESTRICTION LEGEND]

     THIS SECURITY AND ANY RELATED DOCUMENTATION MAY BE AMENDED OR SUPPLEMENTED FROM TIME
TO TIME TO MODIFY THE RESTRICTIONS ON AND PROCEDURES FOR RESALES AND OTHER TRANSFERS OF
THIS SECURITY TO REFLECT ANY CHANGE IN APPLICABLE LAW OR REGULATION (OR THE INTERPRETATION
THEREOF) OR IN PRACTICES RELATING TO THE RESALE OR TRANSFER OF RESTRICTED SECURITIES
GENERALLY. THE HOLDER OF THIS SECURITY SHALL BE DEEMED BY THE ACCEPTANCE OF THIS SECURITY
TO HAVE AGREED TO ANY SUCH AMENDMENT OR SUPPLEMENT.

[144A LEGEND][REG S LEGEND (REPLACING TEMPORARY REG S LEGEND)]

     NEITHER THIS SECURITY NOR ANY BENEFICIAL INTEREST HEREIN HAS BEEN REGISTERED UNDER THE
SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”). EACH HOLDER HEREOF, AND EACH OWNER OF A
BENEFICIAL INTEREST HEREIN BY PURCHASING THIS SECURITY, AGREES FOR THE BENEFIT OF FIRSTENERGY
SOLUTIONS CORP. (THE “COMPANY”) THAT THIS SECURITY MAY NOT BE REOFFERED, RESOLD, PLEDGED OR
OTHERWISE TRANSFERRED OTHER THAN (A)(1) TO THE COMPANY, (2) IN A TRANSACTION ENTITLED TO AN
EXEMPTION FROM REGISTRATION PROVIDED BY RULE 144 UNDER THE SECURITIES ACT (“RULE 144”), (3) SO LONG
AS THIS SECURITY IS ELIGIBLE FOR RESALE PURSUANT TO RULE 144A UNDER THE SECURITIES ACT (“RULE
144A”), TO A PERSON WHOM THE SELLER REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER WITHIN
THE MEANING OF RULE 144A PURCHASING FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED
INSTITUTIONAL BUYER

 

 

TO WHOM NOTICE IS GIVEN THAT THE RESALE, PLEDGE OR OTHER TRANSFER IS BEING MADE IN RELIANCE ON
RULE 144A (AS INDICATED BY THE BOX CHECKED BY THE TRANSFEROR ON THE CERTIFICATE OF TRANSFER ON THE
REVERSE OF THIS SECURITY), (4) IN AN OFFSHORE TRANSACTION TO A NON-U.S. PERSON IN ACCORDANCE WITH
RULE 903 OR 904 OR REGULATION S UNDER THE SECURITIES ACT (AS INDICATED BY THE BOX CHECKED BY THE
TRANSFEROR ON THE CERTIFICATE OF TRANSFER ON THE REVERSE OF THIS SECURITY), (5) IN ACCORDANCE WITH
ANOTHER APPLICABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT (AND BASED
UPON AN OPINION OF COUNSEL ACCEPTABLE TO THE COMPANY), OR (6) PURSUANT TO AN EFFECTIVE REGISTRATION
STATEMENT UNDER THE SECURITIES ACT AND (B) IN EACH CASE IN ACCORDANCE WITH ANY APPLICABLE
SECURITIES LAWS OF ANY STATE OF THE UNITED STATES. THE HOLDER HEREOF, BY PURCHASING THIS SECURITY,
REPRESENTS AND AGREES FOR THE BENEFIT OF THE COMPANY THAT IT WILL, AND EACH SUBSEQUENT HOLDER IS
REQUIRED TO, NOTIFY ANY PURCHASER OF THE SECURITY EVIDENCED HEREBY OF THE RESALE RESTRICTIONS SET
FORTH IN CLAUSE (A) ABOVE. NO REPRESENTATION CAN BE MADE AS TO THE AVAILABILITY OF THE EXEMPTION
PROVIDED BY RULE 144 FOR RESALE OF THE SECURITY EVIDENCED HEREBY.

 

 

[TEMPORARY REG S LEGEND]

     THIS SECURITY MAY NOT BE OFFERED OR SOLD TO A U.S. PERSON OR FOR THE ACCOUNT OR BENEFIT OF A
U.S. PERSON WITHIN THE MEANING OF RULE 902(k) UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE
“SECURITIES ACT”) (OTHER THAN A DISTRIBUTOR, AS SUCH TERM IS DEFINED UNDER RULE 902(d) UNDER THE
SECURITIES ACT).

     NEITHER THIS SECURITY NOR ANY BENEFICIAL INTEREST HEREIN HAS BEEN REGISTERED UNDER THE
SECURITIES ACT. EACH HOLDER HEREOF, AND EACH OWNER OF A BENEFICIAL INTEREST HEREIN BY PURCHASING
THIS SECURITY, AGREES FOR THE BENEFIT OF FIRSTENERGY SOLUTIONS CORP. (THE “COMPANY”) THAT THIS
SECURITY MAY NOT BE REOFFERED, RESOLD, PLEDGED OR OTHERWISE TRANSFERRED OTHER THAN (A)(1) TO THE
COMPANY, (2) IN A TRANSACTION ENTITLED TO AN EXEMPTION FROM REGISTRATION PROVIDED BY RULE 144 UNDER
THE SECURITIES ACT (“RULE 144”), (3) IN AN OFFSHORE TRANSACTION TO A NON-U.S. PERSON IN ACCORDANCE
WITH RULE 903 OR 904 OR REGULATION S UNDER THE SECURITIES ACT (AS INDICATED BY THE BOX CHECKED BY
THE TRANSFEROR ON THE CERTIFICATE OF TRANSFER ON THE REVERSE OF THIS SECURITY), (4) IN ACCORDANCE
WITH ANOTHER APPLICABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT (AND
BASED UPON AN OPINION OF COUNSEL ACCEPTABLE TO THE COMPANY), OR (5) PURSUANT TO AN EFFECTIVE
REGISTRATION STATEMENT UNDER THE SECURITIES ACT AND (B) IN EACH CASE IN ACCORDANCE WITH ANY
APPLICABLE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES. THE HOLDER HEREOF, BY PURCHASING THIS
SECURITY, REPRESENTS AND AGREES FOR THE BENEFIT OF THE COMPANY THAT IT WILL, AND EACH SUBSEQUENT
HOLDER IS REQUIRED TO, NOTIFY ANY PURCHASER OF THE SECURITY EVIDENCED HEREBY OF THE RESALE
RESTRICTIONS SET FORTH IN CLAUSE (A) ABOVE. NO REPRESENTATION CAN BE MADE AS TO THE AVAILABILITY OF
THE EXEMPTION PROVIDED BY RULE 144 FOR RESALE OF THE SECURITY EVIDENCED HEREBY.

 

 

Capitalized terms used herein shall have the meanings assigned to them in the Indenture referred to
below unless otherwise indicated. The Securities are general obligations of the Company as
described in the Indenture. This Senior Note is entitled to the benefits of the FGCO Guaranty and
the NGC Guaranty on the terms set forth in the Indenture.

          1. Interest. FIRSTENERGY SOLUTIONS CORP., an Ohio corporation (the “Company”)
promises to pay interest from the Original Issue Date specified above or from the most recent
Interest Payment Date to which Interest has been paid or duly provided for, semi-annually in
arrears on the Interest Payment Dates specified above in each year, commencing on February 15,
2010, and at Maturity, at the Interest Rate per annum specified above, until the principal hereof
is paid or made available for payment. No interest shall accrue at Maturity, so long as the
principal amount of this Senior Note is paid at Maturity. The interest so payable and punctually
paid or duly provided for on any such Interest Payment Date (except for interest payable on the
Stated Maturity specified above, or, if applicable, upon redemption or acceleration) will, as
provided in the Indenture (as defined below), be paid to the Person in whose name this Senior Note
is registered at the close of business on the Regular Record Date specified above (whether or not a
Business Day) next preceding such Interest Payment Date; and provided, that interest payable on the
Stated Maturity specified above or, if applicable, upon redemption or acceleration, shall be
payable to the Person to whom principal shall be payable on such Maturity. Except as otherwise
provided in the Indenture, any such interest not so punctually paid or duly provided for will
forthwith cease to be payable to the Holder on such Regular Record Date and shall be paid to the
Person in whose name this Senior Note is registered at the close of business on a Special Record
Date for the payment of such defaulted interest to be fixed by the Trustee, notice whereof shall be
given to Holders not more than fifteen days or fewer than ten days prior to such Special Record
Date. Payment of principal of, interest and premium, if any, on this Senior Note shall be payable
pursuant to Section 601 of the Indenture.

          No reference herein to the Indenture and no provision of this Senior Note or of the Indenture
shall alter or impair the obligation of the Company, which is absolute and unconditional, to pay
the principal of and premium, if any, and interest, if any, on this Senior Note at the times,
place, and rate, in the coin or currency, and in the manner, herein prescribed.

          As used herein, “Business Day” shall mean each day that is not a day on which banking
institutions or trust companies in the Borough of Manhattan, the City and State of New York, or in
the city where the Global Corporate Trust Office of the Trustee is located, are obligated or
authorized by law or executive order to close.

          2. Method of Payment. Payment of the principal of and premium, if any, on this
Senior Note and interest hereon at the Stated Maturity shall be made upon presentation of this
Senior Note at the Global Corporate Trust Office of our designated agent, The Bank of New York
Mellon Trust Company, N.A., located at 1660 West 2nd Street, Cleveland, Ohio, 44113, or at such
other office or agency as may be designated for such purpose by the Company from time to time.
Payment of interest, if any, on this Senior Note (other than interest at the Stated Maturity) shall
be made by check mailed to the address of the Person entitled thereto as such address shall appear
in the Security Register, except that (a) if such Person shall be a securities depositary, such
payment may be made by such other means in lieu of check as shall be agreed upon by the Company,
the Trustee or other Paying Agent and such Person and (b) if such Person is a Holder of $10,000,000
or more in aggregate principal amount of Senior Notes of this series such payment may be in
immediately available funds by wire transfer to such account as may have been designated in writing
by the Person entitled thereto as set forth herein in time for the Paying Agent to make such
payments in accordance with its normal procedures. Any such designation for wire transfer purposes
shall be made by filing the appropriate information with our designated agent, The Bank of New York
Mellon Trust Company, N.A., at its Global Corporate Trust Office, located at 1660 West 2nd Street,

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Cleveland, Ohio, 44113, not less than fifteen calendar days prior to the applicable payment
date and, unless revoked by written notice to the Trustee received on or prior to the Regular
Record Date immediately preceding the applicable Interest Payment Date, shall remain in effect with
respect to any further interest payments (other than interest payments at Maturity) with respect to
this Senior Note payable to such Holder. Payment of the principal of and premium, if any, and
interest, if any, on this Senior Note, as aforesaid, shall be made in such coin or currency of the
United States of America as at the time of payment shall be legal tender for the payment of public
and private debts.

          If any Interest Payment Date, any Redemption Date, or the Stated Maturity shall not be a
Business Day (as hereinafter defined), payment of the amounts due on this Senior Note on such date
may be made on the next succeeding Business Day; and, if such payment is made or duly provided for
on such next succeeding Business Day, no interest shall accrue on such amounts for the period from
and after such Interest Payment Date, Redemption Date, or Stated Maturity, as the case may be, to
such Business Day.

          3. Paying Agent and Security Registrar. Initially, The Bank of New York Mellon Trust
Company, N.A., the Trustee under the Indenture, will act as Paying Agent and Security Registrar.
The Company may change any Paying Agent or Security Registrar without notice to any Holder. The
Company or any of its subsidiaries may act in any such capacity; provided that if the Company or
such subsidiary is acting as Paying Agent, the Company or such subsidiary shall segregate all funds
held by it as Paying Agent and hold them in a separate trust fund for the benefit of the Holders.

          4. Registration of Transfer and Exchange. As provided in the Indenture and subject
to certain limitations therein set forth, the transfer of this Senior Note is registrable in the
Security Register, upon surrender of this Senior Note for registration of transfer at the office of
our designated agent, The Bank of New York Mellon Trust Company, N.A., located at 1660 West 2nd
Street, Cleveland, Ohio, 44113, or such other office or agency as may be designated by the Company
from time to time, duly endorsed by, or accompanied by a written instrument of transfer in form
satisfactory to the Company and the Security Registrar duly executed by, the Holder hereof or his
attorney duly authorized in writing, and thereupon one or more new Senior Notes of this series of
authorized denominations and of like tenor and aggregate principal amount, will be issued to the
designated transferee or transferees.

          The Company shall not be required to execute and the Security Registrar shall not be required
to register the transfer of or exchange of (a) Senior Notes of this series during a period of 15
days immediately preceding the date notice is given identifying the serial numbers of the Senior
Notes of this series called for redemption or (b) any Senior Note so selected for redemption in
whole or in part, except the unredeemed portion of any Senior Note being redeemed in part.

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

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

          5. Indenture. This Senior Note is a global security in respect of a duly authorized
issue of 6.80% Senior Notes due 2039 (the “2039 Notes,” which term includes any global note
representing such Senior Notes) of the Company, issued and issuable in one or more series under
the Indenture and First Supplemental Indenture, both dated as of August 1, 2009 (such Indentures as
originally executed and

2

 

delivered and as supplemented or amended from time to time thereafter, together with any
constituent instruments establishing the terms of particular securities, being herein called the
“Indenture”), between the Company and The Bank of New York Mellon Trust Company, N.A., under which
The Bank of New York Mellon Trust Company, N.A. is trustee (herein called the “Trustee,” which term
includes any successor trustee under the Indenture), to which Indenture and all indentures
supplemental thereto reference is hereby made for a description of the respective rights,
limitations of rights, duties, and immunities of the Company, the Trustee, and the Holders of the
Senior Notes thereunder and of the terms and conditions upon which the Senior Notes are, and are to
be, authenticated and delivered. The acceptance of this Senior Note shall be deemed to constitute
the consent and agreement by the Holder hereof to all of the terms and provisions of the Indenture.
This Senior Note is one of the series designated above.

          6. Optional Redemption.

          This Senior Note is redeemable, at any time in whole or from time to time in part, at the
Company’s option, on at least 30 days’, but not more than 60 days’, prior notice mailed to the
registered address of each holder of the Senior Notes. The Redemption Price will be equal to the
greater of: (1) 100% of the principal amount of the Senior Notes to be redeemed, and (2) as
determined by the Independent Investment Banker (as defined below), the sum of the present values
of the Remaining Scheduled Payments (as defined below) discounted to the Redemption Date, on a
semi-annual basis (assuming a 360-day year consisting of twelve 30-day months), at a rate equal to
the sum of the Adjusted Treasury Rate (as defined below) plus 40 basis points. In each case,
accrued and unpaid interest will be payable to the Redemption Date.

          “Adjusted Treasury Rate” means, with respect to any Redemption Date:

	 	•	 	the yield, under the heading which represents the average for
the immediately preceding week, appearing in the most recently published
statistical release designated “H.15(519)” or any successor publication which
is published weekly by the Board of Governors of the Federal Reserve System and
which establishes yields on actively traded United States Treasury securities
adjusted to constant maturity under the caption “Treasury Constant Maturities,”
for the maturity corresponding to the Comparable Treasury Issue (if no maturity
is within three months before or after the Remaining Life, yields for the two
published maturities most closely corresponding to the Comparable Treasury
Issue shall be determined and the Adjusted Treasury Rate shall be interpolated
or extrapolated from these yields on a straight line basis, rounding to the
nearest month); or
	 
	 	•	 	if the release (or any successor release) is not published
during the week preceding the calculation date or does not contain these
yields, the rate per annum equal to the semi-annual equivalent yield to
maturity of the Comparable Treasury Issue, calculated using a price for the
Comparable Treasury Issue (expressed as a percentage of its principal amount)
equal to the Comparable Treasury Price for the Redemption Date. The Adjusted
Treasury Rate will be calculated on the third Business Day preceding the
Redemption Date.

          “Comparable Treasury Issue” means the United States Treasury security selected by an
Independent Investment Banker as having a maturity comparable to the remaining term of the Senior
Notes to be redeemed that would be utilized, at the time of selection and in accordance with
customary financial practice, in pricing new issues of corporate debt securities of comparable
maturity to the remaining term of such securities (“Remaining Life”).

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          “Comparable Treasury Price” means (1) the average of three Reference Treasury Dealer
Quotations for the Redemption Date, after excluding the highest and lowest Reference Treasury
Dealer Quotations, or (2) if the Independent Investment Banker obtains fewer than three Reference
Treasury Dealer Quotations, the average of all such quotations.

          “Independent Investment Banker” means one of the Reference Treasury Dealers appointed by the
Company.

          “Reference Treasury Dealer” means (i) each of Morgan Stanley & Co. Incorporated, Barclays
Capital Inc., Credit Suisse Securities (USA) LLC and RBS Securities Inc. and their respective
successors; provided, however, that if any of the foregoing cease to be a primary U.S. Government
securities dealer in the United States (a “Primary Treasury Dealer”), the Company shall substitute
therefor another Primary Treasury Dealer, and (ii) any other Primary Treasury Dealer selected by
the Independent Investment Banker after consultation with the Company.

          “Reference Treasury Dealer Quotations” means, with respect to each Reference Treasury Dealer
and any Redemption Date, the average, as determined by the Independent Investment Banker, of the
bid and asked prices for the Comparable Treasury Issue (expressed in each case as a percentage of
its principal amount) quoted in writing to the Independent Investment Banker at 5:00 p.m., New York
City time, on the third Business Day preceding the Redemption Date.

          “Remaining Scheduled Payments” means the remaining scheduled payments of principal of and
interest on this Senior Note that would be due after the related Redemption Date but for such
redemption. If such Redemption Date is not an Interest Payment Date with respect to this Senior
Note, the amount of the next succeeding scheduled interest payment on this Senior Note will be
reduced by the amount of interest accrued on this Senior Note to such Redemption Date.

          On and after the Redemption Date, interest will cease to accrue on this Senior Note or any
portion of the Senior Note called for redemption (unless the Company defaults in the payment of the
Redemption Price and accrued interest. On or before the Redemption Date, the Company will deposit
with the Paying Agent money sufficient to pay the Redemption Price of and accrued interest on the
Senior Note to be redeemed on such date. If less than all the Senior Notes of any series are to be
redeemed, the Senior Notes to be redeemed shall be selected by the Trustee by such method as the
Trustee shall deem fair and appropriate.

          7. Mandatory Redemption.

          The Company shall not be required to make mandatory redemption or sinking fund payments with
respect to the Senior Notes.

          8. Notice of Redemption. Notice of redemption shall be given by mail to Holders of
Senior Notes, not less than 30 days nor more than 60 days prior to the date fixed for redemption,
all as provided in the Indenture. As provided in the Indenture, notice of redemption at the
election of the Company as aforesaid may state that such redemption shall be conditional upon the
receipt by the Paying Agent or Agents of money sufficient to pay the principal of and premium, if
any, and interest, if any, on this Senior Note on or prior to the date fixed for such redemption; a
notice of redemption so conditioned shall be of no force or effect if such money is not so received
and, in such event, the Company shall not be required to redeem this Senior Note.

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          In the event of redemption of this Senior Note in part only, a new Senior Note or Senior Notes
of this series, of like tenor, representing the unredeemed portion hereof shall be issued in the
name of the Holder hereof upon the cancellation hereof.

          9. Repurchase at Option of Holder. If a Change of Control Triggering Event occurs,
each Holder of Senior Notes will have the right to require the Company to repurchase all or any
part (equal to $2,000 or an integral multiple of $1,000 in excess thereof) of that Holder’s Notes
pursuant to an offer (a “Change of Control Offer”) on the terms set forth in the Indenture. In the
Change of Control Offer, the Company shall offer payment (a “Change of Control Purchase Price”) in
cash equal to 101% of the aggregate principal amount of Senior Notes repurchased plus accrued and
unpaid interest and Additional Interest, if any, thereon, to the date of repurchase (the “Change of
Control Payment Date,” which date will be no earlier than the date of such Change of Control). No
later than 30 days following any Change of Control Triggering Event, the Company shall mail a
notice to each Holder stating that a Change of Control Triggering Event has occurred and offering
to repurchase Senior Notes on the Change of Control Payment Date specified in such notice, which
date will be no earlier than 30 days and no later than 60 days from the date such notice is mailed,
pursuant to the procedures required by the Indenture and described in such notice. Holders of
Senior Notes electing to have Senior Notes purchased pursuant to a Change of Control Offer will be
required to surrender their Senior Notes, with the form entitled “Option of Holder to Elect
Purchase” on the reverse of the Senior Note completed, to the Paying Agent at the address specified
in the notice, or transfer their Senior Notes to the Paying Agent by book-entry transfer pursuant
to the applicable procedures of the Paying Agent, prior to the close of business on the third
Business Day prior to the Change of Control Payment Date.

          10. Restrictions on Transfer. Each Holder shall be deemed to understand that the
offer and sale of this Senior Note has not been registered under the Securities Act and that this
Senior Note may not be offered or sold except as permitted in the following sentence. Each Holder
shall be deemed to agree, on its own behalf and on behalf of any accounts for which it is acting as
hereinafter stated, that if such Holder sells any Senior Notes, such Holder will do so only (A) to
the Company, (B) pursuant to the exemption from registration provided by Rule 144 under the
Securities Act (if available), (C) so long as such Senior Note is eligible for resale pursuant to
Rule 144A under the Securities Act (“Rule 144A”) to a person whom it reasonably believes is a
“qualified institutional buyer” within the meaning of Rule 144A that purchases for its own account
or for the account of a qualified institutional buyer to whom notice is given that the resale,
pledge or transfer is being made in reliance on Rule 144A, (D) in an offshore transaction in
accordance with Rule 903 or 904 of Regulation S under the Securities Act, (E) in accordance with
another applicable exemption from the registration requirements of the Securities Act (and based
upon an Opinion of Counsel acceptable to the Company), or (F) pursuant to an effective registration
statement under the Securities Act, and, in each case in accordance with any applicable securities
laws of any state of the United States, and each Holder is further deemed to agree to provide to
any person purchasing any Securities from it a notice advising such purchaser that resales of the
Securities are restricted as stated herein.

          Each Holder shall be deemed to understand that, on any proposed resale of any Senior Notes
pursuant to the exemption from registration under Rule 144 under the Securities Act, any Holder
making any such proposed resale will be required to furnish to the Trustee and Company such
certifications, legal opinions, and other information as the Trustee and Company may reasonably
require to confirm that the proposed sale complies with the foregoing restrictions.

          11. Denominations, Transfer, Exchange. The Senior Notes of this series are issuable
only as registered Senior Notes, without coupons, and in denominations of $2,000 and integral
multiples of $1,000 in excess thereof. As provided in the Indenture and subject to certain
limitations therein set forth, Senior Notes of this series are exchangeable for a like aggregate
principal amount of Senior Notes

5

 

of the same series and tranche, of any authorized denominations, as requested by the Holder
surrendering the same, and of like tenor upon surrender of the Senior Note or Senior Notes to be
exchanged at the Corporate Trust Administration Office of our designated agent, The Bank of New
York Mellon Trust Company, N.A., located at 1660 West 2nd Street, Cleveland, Ohio, 44113, or such
other office or agency as may be designated by the Company from time to time.

          12. Amendment, Supplement and Waiver. The Indenture permits, with certain exceptions
as therein provided, the Trustee to enter into one or more supplemental indentures for the purpose
of adding any provisions to, or changing in any manner or eliminating any of the provisions of, the
Indenture with the consent of the Holders of a majority in aggregate principal amount of the Senior
Notes of all series then outstanding under the Indenture; provided, however, that if there shall be
Senior Notes of more than one series outstanding under the Indenture and if a proposed
supplemental indenture shall directly affect the rights of the Holders of Senior Notes of any such
series, then the consent of the Holders of only a majority in aggregate principal amount of the
outstanding Senior Notes of all series so directly affected, considered as one class, shall be
required; and provided, further, that if the Senior Notes of any series shall have been issued in
more than one tranche and if the proposed supplemental indenture shall directly affect the rights
of the Holders of Senior Notes of one or more, but less than all, of such tranches, then the
consent only of the Holders of a majority in aggregate principal amount of the outstanding Senior
Notes of all tranches so directly affected, considered as one class, shall be required; and
provided, further, that the Indenture permits the Trustee to enter into one or more supplemental
indentures for limited purposes without the consent of any Holders of Senior Notes. The Indenture
also contains provisions permitting the Holders of a majority in aggregate principal amount of the
Senior Notes then outstanding, on behalf of the Holders of all Senior Notes, to waive compliance by
the Company with certain provisions of the Indenture and certain past defaults under the Indenture
and their consequences. Any such consent or waiver by the Holder of this Senior Note shall be
conclusive and binding upon such Holder and upon all future Holders of this Senior Note and of any
Senior Note issued upon the registration of transfer hereof or in exchange therefor or in lieu
hereof, whether or not notation of such consent or waiver is made upon this Senior Note.

          13. Defaults and Remedies. If an Event of Default with respect to the Senior Notes
of this series shall occur and be continuing, the principal of this Senior Note may be declared due
and payable in the manner and with the effect provided in the Indenture.

          14. No Recourse Against Others. As provided in the Indenture, no recourse shall be
had for the payment of the principal of or premium, if any, or interest, if any, on any Senior
Notes, or any part thereof, or for any claim based thereon or otherwise in respect thereof, or of
the indebtedness represented thereby, or upon any obligation, covenant, or agreement under the
Indenture, against, and no personal liability whatsoever shall attach to, or be incurred by, any
incorporator, shareholder, officer, or director, as such, past, present, or future of the Company
or of any predecessor or successor corporation (either directly or through the Company, or a
predecessor or successor corporation), whether by virtue of any constitutional provision, statute
or rule of law, or by the enforcement of any assessment or penalty or otherwise; it being expressly
agreed and understood that the Indenture and this Senior Note are solely corporate obligations and
that any such personal liability is hereby expressly waived and released as a condition of, and as
part of the consideration for, the execution of the Indenture and the issuance of this Senior Note.

     15. Authentication. Unless the certificate of authentication hereon has been
executed by the Trustee or an Authenticating Agent by manual signature, this Senior Note shall not
be entitled to any benefit under the Indenture or be valid or obligatory for any purpose.

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          16. Additional Rights of Holders. Pursuant to the Registration Rights Agreement
dated August 7, 2009 between the Company and Morgan Stanley & Co. Incorporated, Barclays Capital
Inc., Credit Suisse Securities (USA) LLC and RBS Securities Inc., as representatives of the initial
purchasers (the “Registration Rights Agreement”), the Company will be obligated to consummate an
exchange offer pursuant to which the Holder of this Senior Note shall have the right to exchange
this Senior Note for the Company’s 6.80% Exchange Senior Note due 2039 (the “2039 Exchange Note”),
at such time as such 2039 Exchange Note shall have been registered under the Securities Act, in
like principal amount and having terms identical in all material respects to this Senior Note
(except that such 2039 Exchange Note will not contain terms with respect to registration rights,
the payment of additional interest, and other provisions restricting transfers and resales,
including this paragraph). The Holders of this Senior Note shall be entitled to receive certain
additional interest payments at the rate per annum of 0.25% in the event such exchange offer is not
consummated within 210 days after the Closing Date (as defined in the Registration Rights
Agreement) and upon certain other conditions, all pursuant to and in accordance with the terms of
the Registration Rights Agreement.

          17. CUSIP Numbers. Pursuant to a recommendation promulgated by the Committee on
Uniform Security Identification Procedures, the Company has caused CUSIP numbers to be printed on
the Senior Notes and the Trustee may use CUSIP numbers in notices of redemption as a convenience to
Holders. No representation is made as to the accuracy of such numbers either as printed on the
Senior Notes or as contained in any notice of redemption and reliance may be placed only on the
other identification numbers placed thereon.

          The Company shall furnish to any Holder upon written request and without charge a copy of the
Indenture and/or the Registration Rights Agreement. Requests may be made to:

FirstEnergy Solutions Corp.

c/o FirstEnergy Corp.

76 South Main Street

Akron, Ohio 44308-1890

Attention: Shareholder Services

(800) 736-3402

          18. Discharge and Defeasance. As provided in the Indenture and subject to certain
limitations therein and herein set forth, this Senior Note or any portion of the principal amount
hereof will be deemed to have been paid for all purposes of the Indenture and to be no longer
outstanding thereunder, and, at the election of the Company, the Company’s entire indebtedness in
respect thereof will be satisfied and discharged, if there has been irrevocably deposited with the
Trustee or any Paying Agent (other than the Company) in trust, money in an amount which will be
sufficient and/or Eligible Obligations, the principal of and interest on which when due, without
any regard to reinvestment thereof, will provide moneys which, together with moneys so deposited,
will be sufficient to pay when due the principal of and premium, if any, and interest, if any, on
this Senior Note when due.

          19. Merger, Consolidation. The Indenture contains terms, provisions, and conditions
relating to the consolidation or merger of the Company with or into, and the conveyance or other
transfer, or lease, of assets to, another Person, to the assumption by such other Person, in
certain circumstances, of all of the obligations of the Company under the Indenture and on the
Senior Notes and to the release and discharge of the Company in certain circumstances, from such
obligations.

          20. Governing Law. The Indenture, the Supplemental Indenture, and the Senior Notes
shall be governed by and construed in accordance with the laws of the State of New York.

7

 

CERTIFICATE OF TRANSFER

6.80% SENIOR NOTE DUE 2039

FOR VALUE RECEIVED, the undersigned sells, assigns, and transfers unto

     PLEASE INSERT SOCIAL SECURITY OR OTHER
IDENTIFYING NUMBER OF ASSIGNEE

          Name and address of assignee must be printed or typewritten:

     $
                                                            
                                                            
                    
principal amount of or beneficial interests* in the within Senior Note of the Company and
does hereby irrevocably constitute and appoint to transfer the said principal amount of or
beneficial interests in said Senior Note on the books of the within-named Company, with full
power of substitution in the premises.

     The undersigned certifies that said principal amount of or beneficial interests in said
Senior Note are being resold, pledged, or otherwise transferred as follows: (check one)

o to the Company;

o pursuant to an exemption from registration provided by Rule 144 under the Securities Act
(if available);

o to a Person whom the undersigned reasonably believes is a qualified institutional buyer
within the meaning of Rule 144A under the Securities Act of 1933, as amended (the “Securities
Act”) purchasing for its own account or for the account of a qualified institutional buyer to
whom notice is given that the resale, pledge, or other transfer is being made in reliance on
Rule 144A;

o in an offshore transaction in accordance with Rule 903 or 904 of Regulation S under the
Securities Act;

o as otherwise permitted by the non-registration legend appearing on this Senior Note; or

o as otherwise agreed by the Company, confirmed in writing to the Trustee, as follows:
[describe]

	 	 	 	 	 	 	 
	Dated:

	 	 	 	Signature:	 	 
	 

	 	 
	 	 	 	 
	 

	 	 	 	Print name:	 	 

     NOTICE. The signature to this assignment must correspond with the name as written upon the
face of the Senior Note in every particular without alteration or enlargement or any change
whatsoever.

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

 

			
	*	 	transfers of beneficial interests in this security may be made only
to another global security of the same series or as otherwise permitted by
applicable securities laws.

8

 

OPTION OF HOLDER TO ELECT PURCHASE

     If you want to elect to have this Senior Note purchased by the Company pursuant to Section 302
of the First Supplemental Indenture, check the box below:

          o Section 302

     If you want to elect to have only part of the Senior Note purchased by the Company pursuant to
Section 302 of the First Supplemental Indenture, state the amount you elect to have purchased:

$                    

Date:                    

Your Signature:                                                            

(Sign exactly as your name appears on the face

of this Senior Note)

Tax Identification No.:                                        

     Signature Guarantee1:                    

 

			
	1	 	Participant in a recognized Signature Guarantee Medallion Program
(or other signature guarantor acceptable to the Trustee).

9

 

SCHEDULE OF INCREASES AND DECREASES OF INTERESTS

IN THE GLOBAL SECURITIES

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

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Amount of	 	 	 	 	 	 	 	 	 	 	 
	 	 	decrease	 	 	 	 	 	 	Principal Amount	 	 	 	 
	 	 	in Principal	 	 	Amount of increase	 	 	of this Global	 	 	 	 
	 	 	Amount of	 	 	in Principal Amount	 	 	Security following	 	 	Signature of	 
	Date of	 	this Global	 	 	of	 	 	such decrease	 	 	authorized officer of	 
	Exchange	 	Security	 	 	this Global Security	 	 	(or increase)	 	 	Trustee	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

 

 

AFFIRMATION OF GUARANTY

     Reference is hereby made to that certain Guaranty, dated as of March 26, 2007 (the
“Guaranty”), executed and delivered by the undersigned in favor of the Guaranteed Parties
as defined therein and acknowledged by FirstEnergy Solutions Corp. (the “Company”).

     The undersigned hereby affirms:

     (i) that the Senior Notes of the Company constitute FES Indebtedness (as defined in the
Guaranty) and are Guaranteed Obligations (as defined in the Guaranty); and

     (ii) the Holder of the Senior Notes to which this affirmation is attached and the Trustee are
Guaranteed Parties (as defined in the Guaranty); and

     (iii) its obligations under the Guaranty to the Guaranteed Parties thereunder in respect of
the due and punctual payment of the principal of, premium and Additional Interest, if any, and
interest on, such Senior Notes, whether at maturity, by acceleration, redemption or otherwise.

     Capitalized terms not defined herein have the meaning set forth in the First Supplemental
Indenture.

     IN WITNESS WHEREOF, the undersigned has executed this Affirmation as of this 7th day of
August, 2009.

	 	 	 	 	 
	 	FIRSTENERGY GENERATION CORP.

 	 
	 	By:  	 	 
	 	 	Name:  	James F. Pearson 	 
	 	 	Title:  	Vice President and Treasurer 	 
	 

 

 

AFFIRMATION OF GUARANTY

     Reference is hereby made to that certain Guaranty, dated as of March 26, 2007 (the
“Guaranty”), executed and delivered by the undersigned in favor of the Guaranteed Parties
as defined therein and acknowledged by FirstEnergy Solutions Corp. (the “Company”).

     The undersigned hereby affirms:

     (i) that the Senior Notes of the Company constitute FES Indebtedness (as defined in the
Guaranty) and are Guaranteed Obligations (as defined in the Guaranty); and

     (ii) the Holder of the Senior Notes to which this affirmation is attached and the Trustee are
Guaranteed Parties (as defined in the Guaranty); and

     (iii) its obligations under the Guaranty to the Guaranteed Parties thereunder in respect of
the due and punctual payment of the principal of, premium and Additional Interest, if any, and
interest on, such Senior Notes, whether at maturity, by acceleration, redemption or otherwise.

     Capitalized terms not defined herein have the meaning set forth in the First Supplemental
Indenture.

     IN WITNESS WHEREOF, the undersigned has executed this Affirmation as of this 7th day of
August, 2009.

	 	 	 	 	 
	 	FIRSTENERGY NUCLEAR GENERATION CORP.

 	 
	 	By:  	 	 
	 	 	Name:  	James F. Pearson 	 
	 	 	Title:  	Vice President and Treasurer 	 
	 

 

 

EXHIBIT D

[FORM OF AFFIRMATION OF GUARANTY]

     Reference is hereby made to that certain Guaranty, dated as of March 26, 2007 (the
“Guaranty”), executed and delivered by the undersigned in favor of the Guaranteed Parties
as defined therein and acknowledged by FirstEnergy Solutions Corp. (the “Company”).

     The undersigned hereby affirms:

     (i) that the Senior Notes of the Company constitute FES Indebtedness (as defined in the
Guaranty) and are Guaranteed Obligations (as defined in the Guaranty); and

     (ii) the
Holder of the Senior Notes to which this affirmation is attached and the Trustee are Guaranteed Parties (as defined in the
Guaranty); and

     (iii) its obligations under the Guaranty to the Guaranteed Parties thereunder in respect of
the due and punctual payment of the principal of, premium and Additional Interest, if any, and
interest on, such Senior Notes, whether at maturity, by acceleration, redemption or otherwise.

     Capitalized terms not defined herein have the meaning set forth in the First Supplemental
Indenture.

     IN WITNESS WHEREOF, the
undersigned has executed this Affirmation as of this 7th  day of
August, 2009.

	 	 	 	 	 
	 	FIRSTENERGY [NUCLEAR] GENERATION CORP.

 	 
	 	By:  	
 	 
	 	 	Name:  	James F. Pearson	 
	 	 	Title:  	Vice President and  Treasurerexv10w1

EXHIBIT 10.1

 

Registration Rights Agreement

Dated as of August 7, 2009

among

FirstEnergy Solutions Corp.,

(an Ohio corporation)

as Issuer

and

Morgan Stanley & Co. Incorporated

Barclays Capital Inc.

Credit Suisse Securities (USA) LLC

RBS Securities Inc.

as Representatives of the Initial Purchasers

 

 

 

REGISTRATION RIGHTS AGREEMENT

          This Registration Rights Agreement (the “Agreement”) is made and entered into this
7th day of August, 2009, by and between FirstEnergy Solutions Corp., an Ohio corporation
(the “Issuer”) and Morgan Stanley & Co. Incorporated (“Morgan Stanley”), Barclays
Capital Inc. (“Barclays”), Credit Suisse Securities (USA) LLC (“Credit Suisse”) and
RBS Securities Inc. (“RBS”), as Representatives (defined below) of the Initial Purchasers
(defined below).

          This Agreement is made pursuant to the Purchase Agreement, dated August 4, 2009 (the
“Purchase Agreement”), between the Issuer and Morgan Stanley, Barclays, Credit Suisse and
RBS as Representatives of the Initial Purchasers, which provides for the sale by the Issuer to the
Initial Purchasers of $400,000,000 aggregate principal amount of 4.80% Senior Notes due 2015 (the
“2015 Notes”), $600,000,000 aggregate principal amount of 6.05% Senior Notes due 2021 (the
“2021 Notes”), and $500,000,000 aggregate principal amount of 6.80% Senior Notes due 2039
(the “2039 Notes” and together with the 2015 Notes and the 2021 Notes, the
“Notes”). In order to induce the Initial Purchasers to enter into the Purchase Agreement,
the Issuer has agreed to provide to the Initial Purchasers and their direct and indirect
transferees the registration rights set forth in this Agreement. The execution and delivery of
this Agreement is a condition to the closing under the Purchase Agreement.

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

          1. Definitions.

          1.1 As used in this Agreement, the following capitalized defined terms shall have the
following meanings:

     “1933 Act” shall mean the Securities Act of 1933, as amended from time to time.

     “1934 Act” shall mean the Securities Exchange Act of 1934, as amended from time
to time.

     “2015 Exchange Notes” shall mean, collectively, the Issuer’s 4.80% Exchange
Senior Notes due 2015 containing terms identical to the 2015 Notes in all material respects
(except in each case for references to certain interest rate provisions, restrictions on
transfers and restrictive legends), to be offered to Holders of 2015 Notes in exchange for
Registrable Notes of such series pursuant to the Exchange Offer.

     “2015 Notes” shall mean the Company’s $400,000,000 aggregate principal amount
of 4.80% Senior Notes due 2015.

     “2021 Exchange Notes” shall mean, collectively, the Issuer’s 6.05% Exchange
Senior Notes due 2021 containing terms identical to the 2021 Notes in all material respects
(except in each case for references to certain interest rate provisions, restrictions on
transfers and restrictive legends), to be offered to Holders of 2021 Notes in exchange for
Registrable Notes of such series pursuant to the Exchange Offer.

 

 

     “2021 Notes” shall mean the Company’s $600,000,000 aggregate principal amount
of 6.05% Senior Notes due 2021.

     “2039 Exchange Notes” shall mean, collectively, the Issuer’s 6.80% Exchange
Senior Notes due 2039 containing terms identical to the 2039 Notes in all material respects
(except in each case for references to certain interest rate provisions, restrictions on
transfers and restrictive legends), to be offered to Holders of 2039 Notes in exchange for
Registrable Notes of such series pursuant to the Exchange Offer.

     “2039 Notes” shall mean the Company’s $500,000,000 aggregate principal amount
of 6.80% Senior Notes due 2039.

     “Affiliate” shall have the meaning given to that term in Rule 405 under the
1933 Act or any successor rule thereunder.

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

     “Closing Date” shall mean the Closing Time as defined in the Purchase
Agreement.

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

     “Depositary” shall mean The Depository Trust Company, or any other depositary
appointed by the Issuer, provided, however, that such depositary must have an
address in the Borough of Manhattan, in The City of New York and, provided
further, that if the Notes are not held in book-entry form, references herein to the
Depositary shall be deemed to refer to the Holders.

     “Exchange Notes” shall mean collectively, the 2015 Exchange Notes, the 2021
Exchange Notes and the 2039 Exchange Notes.

     “Exchange Offer” shall mean the exchange offer by the Issuer of Exchange Notes
for Registrable Notes pursuant to Section 2.1 hereof.

     “Exchange Offer Registration” shall mean a registration under the 1933 Act
effected pursuant to Section 2.1 hereof.

     “Exchange Offer Registration Statement” shall mean an exchange offer
registration statement on Form S-4 (or, if applicable, on another appropriate form), and all
amendments and supplements to such registration statement, including the Prospectus
contained therein, all exhibits thereto and all documents incorporated by reference therein.

     “Exchange Period” shall have the meaning set forth in Section 2.1 hereof.

2

 

     “First Supplemental Indenture” shall mean the First Supplemental Indenture,
dated as of August 1, 2009, between the Issuer and The Bank of New York Mellon Trust
Company, N.A., as trustee, supplementing the Indenture.

     “Holder” shall mean any beneficial owner from time to time of Registrable Notes
(including any of the Initial Purchasers, for so long as it owns any Registrable Notes).

     “Indenture” shall mean the Indenture, dated as of August 1, 2009, between the
Issuer and The Bank of New York Mellon Trust Company, N.A., as trustee, as supplemented by
the First Supplemental Indenture, and as the same may be amended, supplemented, waived or
otherwise modified from time to time in accordance with the terms thereof.

     “Initial Purchasers” shall mean the initial purchasers named in Schedule 1 to
the Purchase Agreement.

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

     “Majority Holders” shall mean the Holders of a majority of the aggregate
principal amount of Outstanding (as defined in the Indenture) Registrable Notes; provided
that whenever the consent or approval of Holders of a specified percentage of Registrable
Notes is required hereunder, Registrable Notes held by the Issuer or any Affiliate (as
defined in the Indenture) of the Issuer shall be disregarded in determining whether such
consent or approval was given by the Holders of such required percentage amount.

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

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

     “Participating Broker-Dealer” shall mean each of Morgan Stanley, Barclays,
Credit Suisse and RBS and any other broker-dealer which makes a market in the Notes and
exchanges Registrable Notes in the Exchange Offer for Exchange Notes.

     “Person” shall mean an individual, partnership (general or limited),
corporation, limited liability company, trust or unincorporated organization, or a
government or agency or political subdivision thereof.

     “Prospectus” shall mean the prospectus included in a Registration Statement,
including any preliminary prospectus, and any such prospectus as amended or supplemented by
any prospectus supplement, including any such prospectus supplement with respect to the
terms of the offering of any portion of the Registrable Notes covered by a Shelf
Registration Statement, and by all other amendments and supplements to a prospectus,
including pre-effective and post-effective amendments, and in each case including all
documents incorporated by reference therein.

3

 

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

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

     “Registrable Notes” shall mean the Notes of any Holder; provided,
however, that such Notes shall cease to be Registrable Notes when (i) a Registration
Statement with respect to such Notes shall have been declared or otherwise become effective
under the 1933 Act and such Notes shall have been disposed of pursuant to such Registration
Statement, (ii) such Notes are eligible for resale to the public pursuant to Rule 144 (or
any similar provision then in force, but not Rule 144A under the 1933 Act) under the 1933
Act, (iii) such Notes shall have ceased to be outstanding or (iv) the Exchange Offer is
consummated (except in the case of Notes purchased from the Issuer that continue to be held
by any Initial Purchaser).

     “Registration Expenses” shall mean any and all expenses incident to performance
of or compliance by the Issuer with this Agreement, regardless of whether a Registration
Statement becomes effective, including without limitation: (i) all SEC, stock exchange or
Financial Industry Regulatory Authority (formerly known as National Association of
Securities Dealers, Inc. (the “FINRA”)) registration and filing fees, including, if
applicable, the reasonable fees and expenses of any “qualified independent underwriter” (and
its counsel) that is required to be retained by any Holder of Registrable Notes in
accordance with the rules and regulations of the FINRA, (ii) all reasonable fees and
expenses incurred in connection with compliance with state securities or blue sky laws and
compliance with the rules of the FINRA (including reasonable fees and disbursements of
counsel for any underwriters or Holders in connection with blue sky qualification of any of
the Exchange Notes or Registrable Notes and any filings with the FINRA), (iii) all expenses
of any Persons in preparing or assisting in preparing, word processing, printing and
distributing any Registration Statement, any Prospectus, any amendments or supplements
thereto, any underwriting agreements, securities sales agreements and other documents
relating to the performance of and compliance with this Agreement, (iv) all fees and
expenses incurred in connection with the listing, if any, of any of the Registrable Notes on
any securities exchange or exchanges, (v) all rating agency fees, (vi) the fees and
disbursements of counsel for the Issuer and of the independent public accountants of the
Issuer, including the expenses of any special audits or “cold comfort” letters required by
or incident to such performance and compliance, (vii) the fees and expenses of the Trustee,
and any escrow agent or custodian, (viii) the reasonable fees and expenses of the Initial
Purchasers in connection with the Exchange Offer, including the reasonable fees and expenses
of counsel to the Initial Purchasers in connection therewith, and (ix) any reasonable fees
and disbursements of the underwriters customarily required to be paid by issuers or sellers
of securities and the reasonable fees and expenses of any special experts retained by the
Issuer in connection with any Registration Statement, but excluding underwriting discounts
and commissions and transfer taxes, if any, relating to the sale or disposition of
Registrable Notes by a Holder, it being understood that in no event shall the Issuer be
liable for the fees and expenses of more than one counsel (in addition to any local counsel)
in connection with registration pursuant to either Section 2.1 or Section 2.2 hereof.

4

 

     “Registration Statement” shall mean any registration statement of the Issuer
which covers any of the Exchange Notes or Registrable Notes pursuant to the provisions of
this Agreement, and all amendments and supplements to any such Registration Statement,
including pre-effective and post-effective amendments, in each case including the Prospectus
contained therein, all exhibits thereto and all documents incorporated by reference therein.

     “Representatives” shall mean each of Morgan Stanley, Barclays, Credit Suisse
and RBS in its capacity as Representatives of the Initial Purchasers.

     “SEC” shall mean the United States Securities and Exchange Commission or any
successor agency or government body performing the functions currently performed by the
United States Securities and Exchange Commission.

     “Shelf Registration” shall mean a registration effected pursuant to Section 2.2
hereof.

     “Shelf Registration Statement” shall mean a “shelf” registration statement of
the Issuer pursuant to the provisions of Section 2.2 of this Agreement which covers all of
the Registrable Notes on an appropriate form under Rule 415 under the 1933 Act, or any
similar rule that may be adopted by the SEC, and all amendments and supplements to such
registration statement, including post-effective amendments, in each case including the
Prospectus contained therein, all exhibits thereto and all documents incorporated by
reference therein.

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

          2. Registration Under the 1933 Act.

          2.1 Exchange Offer. The Issuer shall (A) prepare and, as soon as practicable
following the Closing Date, file with the SEC an Exchange Offer Registration Statement with respect
to a proposed Exchange Offer and the issuance and delivery to the Holders, in exchange for the
Registrable Notes, a like principal amount of Exchange Notes, (B) use its reasonable best efforts
to cause the Exchange Offer Registration Statement to be declared effective under the 1933 Act not
later than 180 calendar days following the Closing Date, (C) use its reasonable best efforts to
keep the Exchange Offer Registration Statement effective until the closing of the Exchange Offer
and (D) use its reasonable best efforts to cause the Exchange Offer to be consummated within 210
calendar days following the Closing Date. The Exchange Notes will be issued under the Indenture.
Upon the effectiveness of the Exchange Offer Registration Statement, the Issuer shall promptly
commence the Exchange Offer, it being the objective of such Exchange Offer to enable each Holder
eligible and electing to exchange Registrable Notes for Exchange Notes (assuming that such Holder
(a) is not an Affiliate of the Issuer within the meaning of Rule 405 under the 1933 Act, (b) is not
a broker-dealer tendering Registrable Notes acquired directly from the Issuer for its own account,
(c) acquired the Exchange Notes in the ordinary course of such Holder’s business and (d) has no
arrangements or understandings with any person to participate in the Exchange Offer for the purpose
of distributing the Exchange Notes) to transfer such Exchange Notes from and after their receipt
without any limitations or

5

 

restrictions under the 1933 Act and without material restrictions under the securities laws of
a majority of the several states of the United States.

          In connection with the Exchange Offer, the Issuer shall:

     (a) mail to the Depositary a copy of the Prospectus forming part of the Exchange Offer
Registration Statement together with an appropriate letter of transmittal and related
documents;

     (b) use its reasonable best efforts to keep the Exchange Offer open for acceptance for
a period of not less than 20 business days after the date notice thereof is mailed to the
Depositary (or longer if required by applicable law) (such period referred to herein as the
“Exchange Period”);

     (c) utilize the services of the Depositary for the Exchange Offer;

     (d) permit Holders to withdraw tendered Registrable Notes at any time prior to 5:00
p.m. (Eastern Time) on the last business day of the Exchange Period, by sending to the
institution specified in the notice, a telegram, telex, facsimile transmission or letter
setting forth the name of such Holder, the principal amount of Registrable Notes delivered
for exchange, and a statement that such Holder is withdrawing his election to have such
Notes exchanged;

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

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

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

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

     (ii) deliver to the Trustee for cancellation all Registrable Notes so accepted
for exchange; and

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

          The Issuer shall use its reasonable best efforts to keep the Exchange Offer Registration
Statement effective and to amend and supplement the Prospectus contained therein,

6

 

in order to permit such Prospectus to be lawfully delivered by all Participating
Broker-Dealers subject to the prospectus delivery requirements of the 1933 Act for such period of
time as such Participating Broker-Dealers must comply with such requirements in order to resell the
Exchange Notes; provided, however, that (i) such period shall end on the earlier of 90 days after
the consummation of the Exchange Offer and the date on which all Participating Broker-Dealers have
sold all Exchange Notes held by them (unless such period is extended pursuant to Section 3(k)
below) and (ii) the Issuer shall make such Prospectus, and any amendment or supplement thereto,
available to any such Participating Broker-Dealer for use in connection with any resale of any
Exchange Notes for a period ending on the earlier of 90 days after the consummation of the Exchange
Offer and the date on which all Participating Broker-Dealers have sold all Exchange Notes held by
them (unless such period is extended pursuant to Section 3(k) below).

          Interest on the Exchange Notes will accrue from the most recent interest payment date to which
interest has been paid on the respective Registrable Notes surrendered in exchange therefor or, if
no interest has been paid on such Registrable Notes, from the Closing Date. The Exchange Offer
shall not be subject to any conditions, other than (i) that the Exchange Offer, or the making of
any exchange by a Holder, does not violate applicable law or any applicable interpretation of the
staff of the SEC, (ii) the due tendering of Registrable Notes in accordance with the Exchange
Offer, (iii) that each Holder of Registrable Notes exchanged in the Exchange Offer shall have
represented (x) that all Exchange Notes to be received by it shall be acquired in the ordinary
course of its business (y) that it is not an Affiliate of the Issuer and (z) that at the time of
the consummation of the Exchange Offer it shall have no arrangement or understanding with any
person to participate in the distribution (within the meaning of the 1933 Act) of the Exchange
Notes and shall have made such other representations as may be reasonably necessary under
applicable SEC rules, regulations or interpretations to render the use of Form S-4 or other
appropriate form under the 1933 Act available and (iv) that no action or proceeding shall have been
instituted or threatened in any court or by or before any governmental agency with respect to the
Exchange Offer which, in the judgment of the Issuer, would reasonably be expected to impair the
ability of the Issuer to proceed with the Exchange Offer. The Issuer shall inform the Initial
Purchasers of the names and addresses of the Holders to whom the Exchange Offer is made, and the
Initial Purchasers shall have the right to contact such Holders and otherwise facilitate the tender
of Registrable Notes in the Exchange Offer. Each Holder of Registrable Notes who wishes to
exchange such Registrable Notes for Exchange Notes in the Exchange Offer will be required to make
certain customary representations in connection therewith, including representations that (i) all
Exchange Notes to be received by it were acquired in the ordinary course of its business, (ii)  it
is not an Affiliate of the Issuer and (iii) at the time of the consummation of the Exchange Offer
it shall have no arrangement or understanding with any person to participate in the distribution
(within the meaning of the 1933 Act) of the Exchange Notes and shall have made such other
representations as may be reasonably necessary under applicable SEC rules, regulations or
interpretations to render the use of Form S-4 or other appropriate form under the 1933 Act
available. Each Holder hereby acknowledges and agrees that any Participating Broker-Dealer and any
such Holder using the Exchange Offer to participate in a distribution of the Exchange Notes:
(1) could not under SEC policy as in effect on the date of this Agreement rely on the position of
the SEC enunciated in Morgan Stanley and Co., Inc. (available June 5, 1991) and Exxon Capital
Holdings Corporation (available May 13, 1988), as interpreted in the SEC’s letter to Shearman &
Sterling dated July 2, 1993, and similar

7

 

no-action letters (including any no-action letter obtained based on the representation in
clause (i) above), and (2) must comply with the registration and prospectus delivery requirements
of the 1933 Act in connection with the secondary resale transaction and that such a secondary
resale transaction should be covered by an effective registration statement containing the selling
security holder information required by Items 507 and 508, as applicable, of Regulation S-K, the
SEC standard instructions for filing forms under the 1933 Act, if the resales are of Exchange Notes
obtained by such Holder in exchange for Notes acquired by such Holder directly from the Issuer or
an affiliate of the Issuer.

          2.2 Shelf Registration. (i) If, because of any changes in law, SEC rules or
regulations or applicable interpretations thereof by the staff of the SEC, the Issuer is not
permitted to effect the Exchange Offer as contemplated by Section 2.1 hereof, (ii) if for any other
reason (A) the Exchange Offer Registration Statement is not declared effective within 180 calendar
days following the Closing Date or (B) the Exchange Offer is not consummated within 210 calendar
days after the Closing Date (provided that the Issuer is not then actively pursuing such
effectiveness or consummation, as the case may be), (iii) upon the written request of the Initial
Purchasers with respect to any Registrable Notes which they acquired directly from the Issuer,
(iv) upon the written request of any Holder that either (A) is not permitted pursuant to applicable
law, SEC rules and regulations or applicable interpretations thereof by the staff of the SEC to
participate in the Exchange Offer or (B) participates in the Exchange Offer and does not receive
fully tradable Exchange Notes pursuant to the Exchange Offer, or (v) if the Issuer so elects, then
in case of each of clauses (i) through (v) the Issuer shall, at its cost:

     (a) as promptly as practicable, file with the SEC, and thereafter shall use its
reasonable best efforts to cause to be declared or otherwise become effective as promptly as
practicable but no later than 180 calendar days after the Closing Date, a Shelf Registration
Statement relating to the offer and sale of the Registrable Notes by the Holders from time
to time in accordance with the methods of distribution elected by the Majority Holders
participating in the Shelf Registration and set forth in such Shelf Registration Statement;

     (b) use its reasonable best efforts to keep the Shelf Registration Statement
continuously effective in order to permit the Prospectus forming a part thereof to be usable
by Holders for a period ending on the earliest of (i) two years from the Closing Date,
(ii) the date on which the Registrable Notes become eligible for resale without volume
limitations pursuant to Rule 144 under the 1933 Act, or (iii) for such shorter period that
will terminate when all Registrable Notes covered by the Shelf Registration Statement have
been sold pursuant to the Shelf Registration Statement or cease to be outstanding or
otherwise to be Registrable Notes; and

     (c) notwithstanding any other provisions hereof, use its reasonable best efforts to
ensure that (i) any Shelf Registration Statement and any amendment thereto and any
Prospectus forming a part thereof and any supplement thereto complies in all material
respects with the 1933 Act and the rules and regulations thereunder, (ii) any Shelf
Registration Statement and any amendment thereto does not, when it becomes effective,
contain an untrue statement of a material fact or omit to state a material fact required to
be stated therein or necessary to make the statements therein not misleading and (iii) any

8

 

Prospectus forming a part of any Shelf Registration Statement, and any supplement to
such Prospectus (as amended or supplemented from time to time), does not include an untrue
statement of a material fact or omit to state a material fact necessary in order to make the
statements, in light of the circumstances under which they were made, not misleading.

          The Issuer further agrees, if necessary, to supplement or amend the Shelf Registration
Statement, as required by Section 3(b) below, and to furnish to the Depositary copies of any such
supplement or amendment as promptly as reasonably practicable after its being used or filed with
the SEC.

          No Holder of Registrable Notes shall be entitled to include any of its Registrable Notes in
any Shelf Registration Statement pursuant to this Agreement unless and until such Holder agrees in
writing to be bound by all of the provisions of this Agreement applicable to such Holder and
furnishes to the Issuer in writing, within 15 days after receipt of a request therefor, such
information as the Issuer may, after conferring with counsel with regard to information relating to
Holders that would be required by the SEC to be included in such Shelf Registration Statement or
Prospectus included therein, reasonably request for inclusion in any Shelf Registration Statement
or Prospectus included therein. Each Holder as to which any Shelf Registration is being effected
agrees promptly to furnish to the Issuer all information with respect to such Holder necessary to
make the information previously furnished to the Issuer by such Holder not materially misleading.

          2.3 Expenses. The Issuer shall pay all Registration Expenses in connection with the
registration pursuant to Section 2.1 or 2.2 hereof. Each Holder shall pay all underwriting
discounts and commissions and transfer taxes, if any, relating to the sale or disposition of such
Holder’s Registrable Notes pursuant to the Shelf Registration Statement.

          2.4 Effectiveness.

     (a) The Issuer will be deemed not to have used its reasonable best efforts to cause the
Exchange Offer Registration Statement or the Shelf Registration Statement, as the case may
be, to become, or to remain, effective during the requisite period if the Issuer voluntarily
takes any action that would, or omits to take any action which omission would, result in any
such Registration Statement not being declared or otherwise becoming effective or in the
Holders of Registrable Notes covered thereby not being able to exchange or offer and sell
such Registrable Notes during that period as and to the extent contemplated hereby, unless
such action is required by applicable law.

     (b) Neither an Exchange Offer Registration Statement pursuant to Section 2.1 hereof nor
a Shelf Registration Statement pursuant to Section 2.2 hereof will be deemed to have become
effective unless it has been declared effective by the SEC or otherwise become effective
under the 1933 Act; provided, however, that if, after it has been declared or otherwise
become effective, the offering of Registrable Notes pursuant to a Shelf Registration
Statement is interfered with by any stop order, injunction or other order or requirement of
the SEC or any other governmental agency or court, such Registration Statement will be
deemed not to have become effective during the period of

9

 

such interference until the offering of Registrable Notes pursuant to such Registration
Statement may legally resume.

          2.5 Additional Interest. The Notes will provide that if the Exchange Offer is not
consummated and the Shelf Registration Statement is not declared or does not otherwise become
effective on or prior to the date that is 210 calendar days after the Closing Date, the interest
rate on the Notes will be increased by 0.25% per annum commencing on the date that is 210 calendar
days after the Closing Date, until the Exchange Offer is consummated or the Shelf Registration
Statement is declared effective by the SEC or has otherwise become effective; provided, that in the
case of a Shelf Registration Statement, if the Issuer is unable to cause such Shelf Registration
Statement to become effective because Holders of Registrable Notes have not provided information
with respect to themselves as required by law to be included therein pursuant to the Issuer’s
request as provided herein, such 0.25% increase in the interest rate shall be payable only to
Holders that have furnished such information required by law to be included therein to the Issuer
pursuant to its request hereunder from but excluding the date such information is provided to the
Issuer to but excluding the date the Shelf Registration Statement is declared effective by the SEC
or otherwise became effective (such increased interest, the “Additional Interest”).

          2.6 Specific Enforcement. Without limiting the remedies available to the Initial
Purchasers and the Holders, the Issuer acknowledges that any failure by the Issuer to comply with
its obligations under Sections 2.1 and 2.2 hereof may result in material irreparable injury to the
Initial Purchasers or the Holders for which there is no adequate remedy at law, that it will not be
possible to measure damages for such injuries precisely and that, in the event of any such failure,
the Initial Purchasers or any Holder may obtain such relief as may be required to specifically
enforce the Issuer’s obligations under Sections 2.1 and 2.2 hereof.

          3. Registration Procedures.

          In connection with the obligations of the Issuer with respect to Registration Statements
pursuant to Sections 2.1 and 2.2 hereof, the Issuer shall:

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

     (b) prepare and file with the SEC such amendments and post-effective amendments to each
Registration Statement as may be necessary under applicable law to keep such Registration
Statement effective for the applicable period, and cause each Prospectus to be supplemented
by any required prospectus supplement, and as so

10

 

supplemented to be filed pursuant to Rule 424 under the 1933 Act and comply with the
provisions of the 1933 Act applicable to them with respect to the disposition of all
securities covered by each Registration Statement during the applicable period in accordance
with the intended method or methods of distribution by the selling Holders thereof;

     (c) in the case of a Shelf Registration, (i) notify the Depositary, at least five (5)
business days prior to filing, that a Shelf Registration Statement with respect to the
Registrable Notes is being filed and advise the Depositary that the distribution of
Registrable Notes will be made in accordance with the method selected by the Majority
Holders participating in the Shelf Registration; (ii) furnish to the Depositary and to each
underwriter of an underwritten offering of Registrable Notes, if any, without charge, as
many copies of each Prospectus, including each preliminary Prospectus, and any amendment or
supplement thereto and such other documents as the Depositary or underwriter may reasonably
request, including financial statements and schedules and, if the Depositary so requests,
all exhibits, in order to facilitate the public sale or other disposition of the Registrable
Notes; and (iii) hereby consent to the use of the Prospectus or any amendment or supplement
thereto by each of the selling Holders of Registrable Notes in connection with the offering
and sale of the Registrable Notes covered by the Prospectus or any amendment or supplement
thereto;

     (d) use its best efforts to register or qualify the Registrable Notes under all
applicable state securities or “blue sky” laws of such jurisdictions as any Holder of
Registrable Notes covered by a Registration Statement and each underwriter of an
underwritten offering of Registrable Notes shall reasonably request in writing by the time
the applicable Registration Statement is declared effective by the SEC or has otherwise
become effective under the 1933 Act, and do any and all other acts and things which may be
reasonably necessary or advisable to enable each such Holder and underwriter to consummate
the disposition in each such jurisdiction of such Registrable Notes owned by such Holder;
provided, however, that the Issuer shall not be required to (i) qualify as a foreign
corporation or as a dealer in securities in any jurisdiction where it would not otherwise be
required to qualify but for this Section 3(d), or (ii) take any action which would subject
it to general service of process or taxation in any such jurisdiction where it is not then
so subject;

     (e) notify promptly each Holder of Registrable Notes under a Shelf Registration or any
Participating Broker-Dealer who has notified the Issuer that it is utilizing the Exchange
Offer Registration Statement as provided in Section 3(f) hereof, and, if requested by such
Holder or Participating Broker-Dealer, confirm such advice in writing promptly (i) when a
Registration Statement has become effective and when any post-effective amendments and
supplements thereto become effective, (ii) of any request by the SEC or any state securities
authority for post-effective amendments and supplements to a Registration Statement and
Prospectus or for additional information after the Registration Statement has become
effective, (iii) of the issuance by the SEC or any state securities authority of any stop
order suspending the effectiveness of a Registration Statement or the initiation of any
proceedings for that purpose, (iv) in the case of a Shelf Registration, if, between the
effective date of a Registration Statement and

11

 

the closing of any sale of Registrable Notes covered thereby, the representations and
warranties of the Issuer contained in any underwriting agreement, securities sales agreement
or other similar agreement, if any, relating to the offering cease to be true and correct in
all material respects, (v) of the happening of any event or the discovery of any facts
during the period a Shelf Registration Statement is effective or an Exchange Offer
Registration Statement is being utilized pursuant to Section 2.1 above which makes any
statement made in such Registration Statement or related Prospectus untrue in any material
respect or which requires the making of any changes in such Registration Statement or
Prospectus in order to make the statements therein not misleading, and (vi) of the receipt
by the Issuer of any notification with respect to the suspension of the qualification of the
Registrable Notes or the Exchange Notes, as the case may be, for sale in any jurisdiction or
the initiation or threatening of any proceeding for such purpose;

     (f) in the case of the Exchange Offer Registration Statement (i) include in the
Prospectus contained in the Exchange Offer Registration Statement a section entitled “Plan
of Distribution” which section shall be reasonably acceptable to the Initial Purchasers or
another representative of the Participating Broker-Dealers and shall contain a summary
statement of the positions taken or policies made by the staff of the SEC with respect to
the potential “underwriter” status of any broker-dealer that holds Registrable Notes
acquired for its own account as a result of market-making activities or other trading
activities and that will be the beneficial owner (as defined in Rule 13d-3 under the 1934
Act) of Exchange Notes to be received by such broker-dealer in the Exchange Offer, whether
such positions or policies have been publicly disseminated by the staff of the SEC or such
positions or policies, in the reasonable judgment of the Initial Purchasers and their
counsel, represent the prevailing views of the staff of the SEC, including a statement that
any such broker-dealer who receives Exchange Notes for Registrable Notes pursuant to the
Exchange Offer may be deemed a statutory underwriter and must deliver a prospectus meeting
the requirements of the 1933 Act in connection with any resale of such Exchange Notes,
(ii) furnish to each Participating Broker-Dealer who has delivered to the Issuer the notice
referred to in Section 3(e) hereof, without charge, as many copies of each Prospectus
included in the Exchange Offer Registration Statement, including any preliminary prospectus,
and any amendment or supplement thereto, as such Participating Broker-Dealer may reasonably
request, (iii) hereby consent to the use of the Prospectus forming part of the Exchange
Offer Registration Statement or any amendment or supplement thereto, by any person subject
to the prospectus delivery requirement of the SEC, including all Participating
Broker-Dealers, in connection with the sale or transfer of the Exchange Notes covered by the
Prospectus or any amendment or supplement thereto, and (iv) include in the transmittal
letter or similar documentation to be executed by an exchange offeree in order to
participate in the Exchange Offer (x) the following provision:

“if the exchange offeree is a broker-dealer holding
Registrable Notes acquired for its own account as a result
of market-making activities or other trading activities, it
will deliver a prospectus meeting the requirements of the
1933 Act in connection with any resale of Exchange Notes

12

 

received in respect of such Registrable Notes pursuant to
the Exchange Offer;” and

(y) a statement to the effect that by a broker-dealer making the acknowledgment described in
clause (x) and by delivering a Prospectus in connection with the exchange of Registrable
Notes, the broker-dealer will not be deemed to admit that it is an underwriter within the
meaning of the 1933 Act;

     (g) (i) in the case of an Exchange Offer, furnish counsel for the Initial Purchasers
and (ii) in the case of a Shelf Registration, furnish counsel for the Holders of Registrable
Notes, copies of any comment letters received from the SEC or any other request by the SEC
or any state securities authority for amendments or supplements to a Registration Statement
and Prospectus or for additional information;

     (h) make every reasonable effort to obtain the withdrawal of any order suspending the
effectiveness of a Registration Statement at the earliest possible moment;

     (i) in the case of a Shelf Registration, furnish to the Depositary, and each
underwriter, if any, without charge, at least one conformed copy of each Registration
Statement and any post-effective amendment thereto, including financial statements and
schedules (without documents incorporated therein by reference and exhibits thereto, unless
requested);

     (j) in the case of a Shelf Registration, cooperate with the selling Holders of
Registrable Notes to facilitate the timely preparation and delivery of certificates
representing Registrable Notes to be sold and not bearing any restrictive legends, and
enable such Registrable Notes to be in such denominations (consistent with the provisions of
the Indenture) and registered in such names as the selling Holders or the underwriters, if
any, may reasonably request at least three (3) business days prior to the closing of any
sale of Registrable Notes;

     (k) in the case of a Shelf Registration, upon the occurrence of any event or the
discovery of any facts, each as contemplated by Sections 3(e)(ii), 3(e)(iv), 3(e)(v) and
3(e)(vi) hereof, or in the case of an Exchange Offer Registration Statement, upon the
occurrence of any event or the discovery of facts, each as contemplated by Sections
3(e)(ii), 3(e)(v) and 3(e)(vi) hereof, use its best efforts to prepare a supplement or
post-effective amendment to the Registration Statement or the Prospectus or any document
incorporated therein by reference or file any other required document so that, as thereafter
delivered to the purchasers of the Registrable Notes or Participating Broker-Dealers, such
Prospectus will not contain at the time of such delivery any untrue statement of a material
fact or omit to state a material fact necessary to make the statements therein, in light of
the circumstances under which they were made, not misleading; and notify each Holder to
suspend use of the Prospectus as promptly as practicable after the occurrence of such an
event, and each Holder hereby agrees to suspend use of the Prospectus until such time as
such Holder has received from the Issuer an amended or supplemented Prospectus correcting
such misstatement or omission;

13

 

     (l) in the case of a Shelf Registration, a reasonable time prior to the filing of any
Registration Statement, any Prospectus, any amendment to a Registration Statement or
amendment or supplement to a Prospectus or any document which is to be incorporated by
reference into a Registration Statement or a Prospectus after initial filing of a
Registration Statement, provide copies of such document to the Initial Purchasers on behalf
of such Holders, and make representatives of the Issuer as shall be reasonably requested by
the Holders of Registrable Notes, or the Initial Purchasers on behalf of such Holders,
available for discussion of such document;

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

     (n) (i) cause the Indenture to be qualified under the Trust Indenture Act of 1939, as
amended (the “TIA”), in connection with the registration of the Exchange Notes or
Registrable Notes, as the case may be, (ii) cooperate with the Trustee and the Holders to
effect such changes to the Indenture as may be required for the Indenture to be so qualified
in accordance with the terms of the TIA, and (iii) execute, and use its best efforts to
cause the Trustee to execute, all documents as may be required to effect such changes, and
all other forms and documents required to be filed with the SEC to enable the Indenture to
be so qualified in a timely manner;

     (o) in the case of a Shelf Registration, enter into agreements (including underwriting
agreements) and take all other customary and appropriate actions in order to expedite or
facilitate the disposition of such Registrable Notes and in such connection whether or not
an underwriting agreement is entered into and whether or not the registration is an
underwritten registration:

     (i) make such representations and warranties to the Holders of such Registrable
Notes and the underwriters, if any, in form, substance and scope as are customarily
made by issuers to underwriters in similar underwritten offerings as may be
reasonably requested by them;

     (ii) obtain opinions of counsel to the Issuer and updates thereof (which
counsel and opinions (in form, scope and substance) shall be reasonably satisfactory
to the managing underwriters, if any, and the holders of a majority in principal
amount of the Registrable Notes being sold) addressed to each selling Holder and the
underwriters, if any, covering the matters customarily covered in opinions requested
in sales of securities or underwritten offerings and such other matters as may be
reasonably requested by such Holders and underwriters;

     (iii) if requested by any selling Holder of Registrable Notes or underwriter,
obtain “cold comfort” letters and updates thereof from the independent registered
public accounting firm of the Issuer who have certified the financial statements of
the Issuer and any other entity included or incorporated by reference in the
Registration Statement addressed to the such underwriters, if any,

14

 

and use reasonable efforts to have such letter addressed to the selling Holders
of Registrable Notes (to the extent consistent with SAS 72), such letters to be in
customary form and covering matters of the type customarily covered in “cold
comfort” letters to underwriters in connection with similar underwritten offerings;

     (iv) enter into a securities sales agreement with the Holders and an agent of
the Holders providing for, among other things, the appointment of such agent for the
selling Holders for the purpose of soliciting purchases of Registrable Notes, which
agreement shall be in form, substance and scope customary for similar offerings;

     (v) if an underwriting agreement is entered into, cause the same to set forth
indemnification provisions and procedures substantially equivalent to the
indemnification provisions and procedures set forth in Sections 4 and 5 hereof with
respect to the underwriters and all other parties to be indemnified pursuant to said
Sections or, at the request of any underwriters, in the form customarily provided to
such underwriters in similar types of transactions; and

     (vi) deliver such documents and certificates as may be reasonably requested and
as are customarily delivered in similar offerings to the Holders of a majority in
principal amount of the Registrable Notes being sold and the managing underwriters,
if any.

The above shall be done at (i) the effectiveness of such Registration Statement (and each
post-effective amendment thereof) and (ii) each closing under any underwriting or similar
agreement as and to the extent required thereunder;

     (p) in the case of a Shelf Registration, make available for inspection by
representatives of the Holders of the Registrable Notes and any underwriters participating
in any disposition pursuant to a Shelf Registration Statement and any counsel or accountant
retained by such Holders or underwriters, all financial and other records, pertinent
corporate documents and properties of the Issuer reasonably requested by any such persons
and use its reasonable best efforts to cause the respective officers, directors, employees,
and any other agents of the Issuer to supply all information reasonably requested by any
such representative, underwriter, special counsel or accountant in connection with a
Registration Statement, and make such representatives of the Issuer available for discussion
of such documents as shall be reasonably requested by the Initial Purchasers;

     (q)

     (i) in the case of an Exchange Offer Registration Statement, within a
reasonable time prior to the filing of any Exchange Offer Registration Statement,
any Prospectus forming a part thereof, any amendment to an Exchange Offer
Registration Statement or amendment or supplement to such Prospectus, provide copies
of such document to the Initial Purchasers and make such changes in any such
document prior to the filing thereof as the Initial Purchasers may reasonably

15

 

request and, except as otherwise required by applicable law, not file any such
document in a form to which the Initial Purchasers on behalf of the Holders of
Registrable Notes shall reasonably object; and

     (ii) in the case of a Shelf Registration, within a reasonable time prior to
filing any Shelf Registration Statement, any Prospectus forming a part thereof, any
amendment to such Shelf Registration Statement or amendment or supplement to such
Prospectus, provide copies of such document to the Depositary, to the Initial
Purchasers, to counsel on behalf of the Holders and to the underwriter or
underwriters of an underwritten offering of Registrable Notes, if any, make such
changes in any such document prior to the filing thereof as the Initial Purchasers,
the counsel to the Holders or the underwriter or underwriters reasonably request and
not file any such document in a form to which the Majority Holders or the Initial
Purchasers on behalf of the Holders of Registrable Notes or any underwriter may
reasonably object and make the representatives of the Issuer available for
discussion of such document as shall be reasonably requested by the Holders of
Registrable Notes, the Initial Purchasers on behalf of such Holders, or any
underwriter;

     (r) in the case of a Shelf Registration, use its reasonable best efforts to cause all
Registrable Notes to be listed on any securities exchange on which similar securities issued
by the Issuer are then listed if requested by the Majority Holders, or if requested by the
underwriter or underwriters of an underwritten offering of Registrable Notes, if any;

     (s) in the case of a Shelf Registration, use its reasonable best efforts to cause the
Registrable Notes to be rated by the appropriate rating agencies, if so requested by the
Majority Holders, or if requested by the underwriter or underwriters of an underwritten
offering of Registrable Notes, if any;

     (t) otherwise comply with all applicable rules and regulations of the SEC and make
available to security holders, as soon as reasonably practicable, an earnings statement
covering at least 12 months which shall satisfy the provisions of Section 11(a) of the 1933
Act and Rule 158 thereunder;

     (u) cooperate and assist in any filings required to be made with the FINRA and, in the
case of a Shelf Registration, in the performance of any due diligence investigation by any
underwriter and its counsel (including any “qualified independent underwriter” that is
required to be retained in accordance with the rules and regulations of the FINRA); and

     (v) in the case of any Exchange Offer Registration Statement, upon consummation of an
Exchange Offer,

          (A) obtain a customary opinion of counsel to the Issuer addressed to the Trustee for
the benefit of all Holders of Registrable Notes participating in the Exchange Offer, and
which includes an opinion that (i) the Issuer has duly authorized, executed and

16

 

delivered the Exchange Notes and the Indenture and (ii) each of the Exchange Notes and
the Indenture constitute legal, valid and binding obligations of the Issuer, enforceable
against the Issuer in accordance with their terms (with customary exceptions); and

          (B) deliver to the Initial Purchasers or to another representative of the
Participating Broker-Dealers, if requested by the Initial Purchasers or such other
representative of the Participating Broker-Dealers, on behalf of the Participating
Broker-Dealers (i) an opinion of counsel or opinions of counsel substantially in the form
attached hereto as Exhibit A and (ii) an officer’s certificate substantially in the form
customarily delivered in a public offering of debt securities.

          In the case of a Shelf Registration Statement, the Issuer may (as a condition to such Holder’s
participation in the Shelf Registration) require each Holder of Registrable Notes to furnish to the
Issuer such information regarding the Holder and the proposed distribution by such Holder of such
Registrable Notes as the Issuer may from time to time reasonably request in writing for use in
connection with any Shelf Registration Statement or Prospectus included therein, including, without
limitation, information specified in Item 507 of Regulation S-K under the 1933 Act. Each Holder as
to which any Shelf Registration is being effected agrees to furnish promptly to the Issuer all
information required to be disclosed with respect to such Holder in order to make any information
with respect to such Holder previously furnished to the Issuer by such Holder not materially
misleading.

          In the case of a Shelf Registration Statement or an Exchange Offer Registration Statement,
each Holder agrees that, upon receipt of any notice directly or indirectly from the Issuer of the
happening of any event or the discovery of any facts, each of the kind described in Section 3(e)(v)
hereof, such Holder will forthwith discontinue disposition of Registrable Notes pursuant to a
Registration Statement until such Holder’s receipt of the copies of the supplemented or amended
Prospectus contemplated by Section 3(k) hereof, and, if so directed by the Issuer, such Holder will
deliver to the Issuer (at such Holder’s expense) all copies in such Holder’s possession, other than
permanent file copies then in such Holder’s possession, of the Prospectus covering such Registrable
Notes current at the time of receipt of such notice.

          If any of the Registrable Notes covered by any Shelf Registration Statement are to be sold in
an underwritten offering, the underwriter or underwriters and manager or managers that will manage
such offering will be selected by the Majority Holders of such Registrable Notes included in such
offering and shall be acceptable to the Issuer. No Holder of Registrable Notes may participate in
any underwritten registration hereunder unless such Holder (a) agrees to sell such Holder’s
Registrable Notes on the basis provided in any underwriting arrangements approved by the persons
entitled hereunder to approve such arrangements and (b) completes and executes all questionnaires,
powers of attorney, indemnities, underwriting agreements and other documents required under the
terms of such underwriting agreement.

          4. Indemnification.

          4.1 Indemnification by the Issuer. The Issuer agrees to indemnify and hold harmless
each Initial Purchaser, its directors and officers, each Holder, each Participating Broker-Dealer,
each Person who participates as an underwriter (any such Person being an

17

 

“Underwriter”) and each Person, if any, who controls any Holder or Underwriter within
the meaning of Section 15 of the 1933 Act or Section 20 of the 1934 Act from and against any and
all losses, claims, damages and liabilities that arise out of or are based upon any untrue
statement or alleged untrue statement of a material fact contained in any Registration Statement
pursuant to which Exchange Notes or Registrable Notes were registered under the 1933 Act or any
related Prospectus or any related Issuer Free Writing Prospectus (as that term is defined in Rule
433(h)(1) under the 1933 Act), or any omission or alleged omission to state therein a material fact
required to be stated therein or necessary to make the statements therein not misleading, and
agrees to reimburse each Initial Purchaser and each controlling person, as incurred, for any legal
or other expenses reasonably incurred by them in connection with investigating or defending any
such loss, claim, damage or liability, except insofar as such losses, claims, damages or
liabilities arise out of or are based upon any such untrue statement or alleged untrue statement or
omission or alleged omission or are based upon information furnished in writing to the Issuer by
any Initial Purchaser, Holder, Participating Broker-Dealer or Underwriter with respect to such
Initial Purchaser, Holder, Participating Broker-Dealer or Underwriter, as the case may be,
specifically for inclusion therein.

          4.2 Indemnification by the Holders, Initial Purchasers, Participating Broker-Dealers and
Underwriters. Each Holder, each Initial Purchaser, each Participating Broker-Dealer and each
Underwriter severally, but not jointly, agrees to indemnify and hold harmless the Issuer, each
other Initial Purchaser, each other Participating Broker-Dealer, each other Underwriter and each
other selling Holder, and each of their respective directors and officers, and each Person, if any,
who controls the Issuer, any Initial Purchaser, any Participating Broker-Dealer, any Underwriter,
or any other selling Holder within the meaning of Section 15 of the 1933 Act or Section 20 of the
1934 Act to the same extent as the foregoing indemnity contained in Section 4.1 hereof, but only
with reference to written information relating to such Holder, Initial Purchaser, Participating
Broker-Dealer or Underwriter furnished in writing to the Issuer by such Holder, Initial Purchaser,
Participating Broker-Dealer or Underwriter specifically for inclusion in the Shelf Registration
Statement or such Prospectus; provided, however, that no such Holder, Initial Purchaser,
Participating Broker-Dealer or Underwriter shall be liable for any claims hereunder in excess of
the amount of net proceeds received by such Holder, Initial Purchaser, Participating Broker-Dealer
or Underwriter from the sale of Registrable Notes pursuant to such Shelf Registration Statement.
This indemnity agreement will be in addition to any liability which such Holder, Initial Purchaser,
Participating Broker-Dealer or Underwriter may otherwise have.

          4.3 Actions Against Parties; Notification. Promptly after receipt by an indemnified
party under Section 4.1 or 4.2 hereof of notice of the commencement of any action, such indemnified
party will, if a claim in respect thereof is to be made against the indemnifying party under
Section 4.1 or 4.2 hereof, notify the indemnifying party in writing of the commencement thereof;
but the omission so to notify the indemnifying party (i) will not relieve it from any liability
under Section 4.1 or 4.2 hereof unless and to the extent such failure results in the loss by the
indemnifying party of substantial rights and defenses and (ii) will not, in any event relieve the
indemnifying party from any obligations to any indemnified party other than the indemnification
obligation provided in Section 4.1 or 4.2 hereof. In any such proceeding, any indemnified party
shall have the right to retain its own counsel, but fees and expenses of such counsel shall be at
the expense of such indemnified party unless (i) the indemnifying party and

18

 

the indemnified party shall have mutually agreed to the retention of such counsel or (ii) the
named parties to any such action (including any impleaded parties) include both the indemnified
party and the indemnifying party and the indemnified party shall have reasonably concluded upon
advice of counsel that there may be legal defenses available to it and/or other indemnified parties
which are different from or additional to those available to the indemnifying party. It is
understood that the indemnifying party shall not, in connection with any proceeding or related
proceedings in the same jurisdiction, be liable for the fees and expenses of more than one separate
counsel for all such indemnified parties. Such counsel shall be designated in writing by the
Representatives in the case of parties indemnified pursuant to the second preceding paragraph, and
by the Issuer in the case of parties indemnified pursuant to the first preceding paragraph.

          4.4 Settlement Without Consent. The indemnifying party shall not be liable for any
settlement of any proceeding effected without its written consent, but if settled with such consent
or if there has been a final judgment for the plaintiff, the indemnifying party agrees to indemnify
the indemnified party from and against any loss or liability by reason of such settlement or
judgment. An indemnifying party will not, without the prior written consent of the indemnified
parties, settle or compromise or consent to the entry of any judgment with respect to any pending
or threatened claim, action, suit or proceeding in respect of which indemnification or contribution
may be sought hereunder (whether the indemnified parties are actual or potential parties to such
claim or action) unless such settlement, compromise or consent (i) includes an unconditional
release of each indemnified party from all liability arising out of such claim, action, suit or
proceeding and (ii) does not include any statement as to, or any admission of, fault, culpability
or failure to act by or on behalf of any indemnified party.

          5. Contribution. In the event that the indemnity provided for in Section 4.1 or
4.2 hereof is held by a court to be unavailable, in whole or in part, to hold harmless an
indemnified party for any reason, then each applicable indemnifying party shall have several and
not joint obligation to contribute to the aggregate losses, claims, damages and liabilities
(including legal or other expenses reasonably incurred in connection with investigating or
defending same) (collectively “Losses”) to which such indemnified party may be subject in
such proportion as is appropriate to reflect the relative benefits received by such indemnifying
party, on the one hand, and such indemnified party, on the other hand, from the offering of the
Notes, the Exchange Notes or the Registrable Notes and the Registration Statement which resulted in
such Losses. If the allocation provided by the immediately preceding sentence is held by a court
to be unavailable for any reason, the indemnifying party and the indemnified party shall contribute
in such proportion as is appropriate to reflect not only such relative benefits but also the
relative fault of such indemnifying party on the one hand and of such indemnified party on the
other hand in connection with the statements or omissions that resulted in such Losses, as well as
any other relevant equitable considerations. Benefits received by the Issuer shall be deemed to be
equal to the sum of (x) the total net proceeds from the offering (before deducting expenses) and
(y) the total amount of Additional Interest (as defined in Section 2.5 hereof) which the Issuer was
not required to pay as a result of registering the securities covered by the Registration Statement
which resulted in the Losses. Benefits received by the Initial Purchasers shall be deemed to be
equal to the total discounts and commissions, and benefits received by any other Holders shall be
deemed to be equal to the value of receiving Notes, Exchange Notes or Registrable Notes, as
applicable, registered under the 1933 Act. Benefits received by any

19

 

Participating Broker-Dealer shall be deemed to be equal to the total commissions relating to
the market-making and exchange of Registrable Notes for Exchange Notes. Benefits received by any
Underwriter shall be deemed to be equal to the total underwriting discounts and commissions, as set
forth on the cover page of the Prospectus forming a part of the Registration Statement which
resulted in such Losses. Relative fault shall be determined by reference to, among other things,
whether any untrue or alleged untrue statement of a material fact or the omission or alleged
omission to state a material fact relates to information provided by the indemnifying party on the
one hand or by the indemnified party on the other hand, the intent of the parties and their
relative knowledge, access to information and opportunity to correct or prevent such untrue
statement or omission. Notwithstanding the provisions of this Section 5, no Initial Purchaser
shall be required to contribute any amount in excess of the amount by which the total price at
which the Notes underwritten by it and distributed by it to the public were offered to the public
exceeds the amounts of any damages which such Initial Purchaser has otherwise been required to pay
by reason of such untrue or alleged untrue statement or omission or alleged omission; nor shall any
Participating Broker-Dealer be required to contribute any amount in excess of the amount by which
the total price at which the Notes exchanged for Exchange Notes by it were offered to the public
exceeds the amounts of any damages which such Participating Broker-Dealer has otherwise been
required to pay by reason of such untrue or alleged untrue statement or omission or alleged
omission; nor, shall any Underwriter in the case of a Shelf Registration Statement be required to
contribute any amount in excess of the amount by which the total price at which the Notes
underwritten by it exceeds the amounts of any damages which such Underwriter has otherwise been
required to pay by reason of such untrue or alleged untrue statement or omission or alleged
omission. The parties agree that it would not be just and equitable if contribution were determined
by pro rata allocation (even if the Holders were treated as one entity for such purpose) or any
other method of allocation that does not take account of the equitable considerations referred to
above. Notwithstanding the provisions of this Section 5, no person guilty of fraudulent
misrepresentation (within the meaning of Section 11(f) of the 1933 Act) shall be entitled to
contribution from any person who was not guilty of such fraudulent misrepresentation.

          For purposes of this Section 5, each person, if any, who controls a Holder, an Initial
Purchaser, a Participating Broker-Dealer or an Underwriter, in each case, within the meaning of
Section 15 of the 1933 Act or Section 20 of the 1934 Act, shall have the same rights to
contribution as such Holder, Initial Purchaser, Participating Broker-Dealer or Underwriter, as the
case may be, and each officer of the Issuer who shall have signed the Registration Statement, each
director of the Issuer and each person, if any, who controls the Issuer within the meaning of
Section 15 of the 1933 Act or Section 20 of the 1934 Act shall have the same rights to contribution
as the Issuer.

          6. Miscellaneous.

          6.1 Rule 144 and Rule 144A. For so long as the Issuer is not subject to the reporting
requirements of Section 13 or 15 of the 1934 Act, the Issuer covenants that it will upon the
request of any Holder of Registrable Notes (a) make publicly available such information as is
necessary to permit sales pursuant to Rule 144 under the 1933 Act, (b) deliver such information to
a prospective purchaser as is necessary to permit sales pursuant to Rule 144A under the 1933 Act,
and (c) take such further action that is reasonable in the circumstances, in each case, to the

20

 

extent required from time to time to enable such Holder to sell its Registrable Notes without
registration under the 1933 Act within the limitation of the exemptions provided by (i) Rule 144
under the 1933 Act, as such Rule may be amended from time to time, (ii) Rule 144A under the 1933
Act, as such Rule may be amended from time to time, or (iii) any similar rules or regulations
hereafter adopted by the SEC. Upon the request of any Holder of Registrable Notes, the Issuer will
deliver to such Holder a written statement as to whether it has complied with such requirements.
The Issuer agrees to comply with the information obligations to the extent that they are required
by applicable law or regulation.

          If the Issuer becomes subject to the reporting requirements of Section 13 or 15 of the 1934
Act, the Issuer covenants that it will file the reports required to be filed by it under the 1933
Act and Section 13(a) or 15(d) of the 1934 Act and the rules and regulations adopted by the SEC
thereunder, unless it ceases to be so required to file such reports, in which case it will comply
with the covenants in the immediately preceding paragraph.

          6.2 No Inconsistent Agreements. The Issuer has not entered into and the Issuer will
not after the date of this Agreement enter into any agreement which is inconsistent with the rights
granted to the Holders of Registrable Notes in this Agreement or otherwise conflicts with the
provisions hereof. The rights granted to the Holders hereunder do not in any way conflict with the
rights granted to the Holders of the Issuer’s other issued and outstanding securities under any
such agreements.

          6.3 Amendments and Waivers. The provisions of this Agreement, including the
provisions of this sentence, may not be amended, modified or supplemented, and waivers of consents
to departures from the provisions hereof may not be given unless the Issuer has obtained the
written consent of (i) Majority Holders and (ii) Participating Broker-Dealers holding a majority in
aggregate principal amount of the Exchange Notes held by all Participating Broker-Dealers, in each
case to the extent affected by such amendment, modification, supplement, waiver or departure.

          6.4 Notices. All notices and other communications provided for or permitted hereunder
shall be made in writing by hand delivery, registered first-class mail, telex, facsimile
transmission, or any courier guaranteeing overnight delivery (a) if to the Depositary, at 55 Water
Street, New York, New York 10041 or if The Depository Trust Company is no longer the Depositary, at
the most current address given by the Depositary to the Issuer by means of a notice given in
accordance with the provisions of this Section 6.4; (b) if to a Holder, at the most current address
given by such Holder to the Issuer by means of a notice given in accordance with the provisions of
this Section 6.4, which address initially is the address set forth in the Purchase Agreement with
respect to the Initial Purchasers; and (c) if to the Issuer, initially at the Issuer’s address set
forth in the Purchase Agreement, and thereafter at such other address of which notice is given in
accordance with the provisions of this Section 6.4.

          All such notices and communications shall be deemed to have been duly given: at the time
delivered by hand, if personally delivered; two (2) business days after being deposited in the
mail, postage prepaid, if mailed; when answered back, if telexed; when receipt is acknowledged, if
transmitted by facsimile; and on the next business day if timely delivered to an air courier
guaranteeing overnight delivery.

21

 

          Copies of all such notices, demands or other communications shall be concurrently delivered by
the person giving the same to the Trustee under the Indenture, at the address specified in the
Indenture.

          6.5 Successor and Assigns. This Agreement shall inure to the benefit of and be
binding upon the successors, assigns and transferees of each of the parties, including without
limitation and without the need for an express assignment, subsequent Holders and Participating
Broker-Dealers; provided that nothing herein shall be deemed to permit any assignment, transfer or
other disposition of Registrable Notes in violation of the terms of the Purchase Agreement. If any
transferee of any Holder shall acquire Registrable Notes, in any manner, whether by operation of
law or otherwise, such Registrable Notes shall be held subject to all of the terms of this
Agreement, and by taking any holding such Registrable Notes such person shall be conclusively
deemed to have agreed to be bound by and to perform all of the terms and provisions of this
Agreement, including the restrictions on resale set forth in this Agreement and, if applicable, the
Purchase Agreement, and such person shall be entitled to receive the benefits hereof.

          6.6 Third Party Beneficiaries. The Initial Purchasers (even if the Initial Purchasers
are not Holders of Registrable Notes) shall be third party beneficiaries to the agreements made
hereunder between the Issuer, on the one hand, and the Holders, on the other hand, and shall have
the right to enforce such agreements directly to the extent they deem such enforcement necessary or
advisable to protect their rights or the rights of Holders hereunder. Each Holder of Registrable
Notes shall be a third party beneficiary to the agreements made hereunder between the Issuer, on
the one hand, and the Initial Purchasers, on the other hand, and shall have the right to enforce
such agreements directly to the extent it deems such enforcement necessary or advisable to protect
its rights hereunder.

          6.7 Counterparts. This Agreement may be executed in any number of counterparts and by
the parties hereto in separate counterparts, each of which when so executed shall be deemed to be
an original and all of which taken together shall constitute one and the same agreement.

          6.8 Headings. The headings in this Agreement are for convenience of reference only
and shall not limit or otherwise affect the meaning hereof.

          6.9 GOVERNING LAW. THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE
WITH THE LAW OF THE STATE OF NEW YORK WITHOUT REGARD TO THE PRINCIPLES OF CONFLICT OF LAWS THEREOF.

          6.10 Severability. In the event that any one or more of the provisions contained
herein, or the application thereof in any circumstance, is held invalid, illegal or unenforceable,
the validity, legality and enforceability of any such provision in every other respect and of the
remaining provisions contained herein shall not be affected or impaired thereby.

22

 

          IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first written
above.

	 	 	 	 	 
	 	FIRSTENERGY SOLUTIONS CORP.

as Issuer

 	 
	 	By:  	/s/
James F. Pearson	 
	 	 	Name:  	James F. Pearson 	 
	 	 	Title:  	Vice President & Treasurer 	 
	 

Signature Page to Registration Rights Agreement relating to

FirstEnergy Solutions Corp.’s Senior Notes due 2015, 2021 and 2039

 

 

Confirmed and accepted as

of the date first above written:

	 	 	 	 	 
	MORGAN STANLEY & CO. INCORPORATED	 	 
	 
	 	 	 	 
	By:
	 	/s/ Yurij Slyz	 	 
	 

	 	 

Name: Yurij Slyz
		 
	 

	 	Title: Vice President		
	 
	 	 	 	 
	BARCLAYS CAPITAL INC.	 	 
	 
	 	 	 	 
	By:
	 	/s/ Pamela Kendall	 	 
	 

	 	 

Name: Pamela Kendall
	 	 
	 

	 	Title: Director	 	 
	 
	 	 	 	 
	CREDIT SUISSE SECURITIES (USA) LLC	 	 
	 
	 	 	 	 
	By:
	 	/s/ John Cogan	 	 
	 

	 	 

Name: John Cogan
	 	 
	 

	 	Title: Managing Director	 	 
	 
	 	 	 	 
	RBS SECURITIES INC.	 	 
	 
	 	 	 	 
	By:
	 	/s/ Okwudiri Onyedum	 	 
	 

	 	 

Name: Okwudiri Onyedum
	 	 
	 

	 	Title: Senior Vice President	 	 

Acting as Representatives of the Initial Purchasers

Signature Page to Registration Rights Agreement relating to

FirstEnergy Solutions Corp.’s Senior Notes due 2015, 2021 and 2039

 

 

Exhibit A

Form of Opinion of Counsel

          We are of the opinion that the Exchange Offer Registration Statement and the Prospectus (other
than the financial statements, financial schedules and other financial and accounting data
contained or incorporated by reference therein or omitted therefrom and the Form(s) T-1, as to
which we express no view), appeared on its face to be appropriately responsive in all material
respects to the requirements of the 1933 Act and the rules and regulations promulgated under such
provisions.

          In addition, we have participated in conferences and conversations with representatives of the
Issuer, representatives of the independent public accountants of the Issuer, and representatives of
the Initial Purchasers, during which conferences and conversations the contents of the Registration
Statement and the Prospectus and related matters were discussed and, although we are not passing
upon, and do not assume any responsibility for, the accuracy, completeness or fairness of the
statements contained in the Registration Statement and the Prospectus and have not made any
independent check or verification thereof, during the course of such participation, no information
came to our attention that caused us to believe that the Registration Statement or any amendment
thereto, at the time the Registration Statement or any such amendment became effective, contained
an untrue statement of a material fact or omitted to state any material fact necessary in order to
make the statements therein not misleading, or that the Prospectus or any amendment or supplement
thereto, at the time the Prospectus was issued, at the time any such amended or supplemented
Prospectus was issued or at the Closing Date, included or includes an untrue statement of a
material fact or omitted or omits to state a material fact necessary in order to make the
statements therein, in light of the circumstances under which they were made, not misleading; it
being understood that we express no belief with respect to the financial statements, financial
schedules and other financial and accounting data contained or incorporated by reference in the
Registration Statement and the Prospectus.

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