Document:

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         This Registration Rights Agreement (this "AGREEMENT") is made and
entered into as of October 2, 2003, by and among EchoStar DBS Corporation, a
Colorado corporation (the "COMPANY"), the Guarantors named in the Purchase
Agreement (as defined below) (the "GUARANTORS"), and Banc of America Securities
LLC and Credit Suisse First Boston LLC (each, a "PURCHASER" and, collectively,
the "PURCHASERS"), whom have agreed to purchase $1,000,000,000 aggregate
principal amount of 5-3/4% Senior Notes due 2008 of the Company (the "2008
NOTES"), $1,000,000,000 aggregate principal amount of 6-3/8% Senior Notes due
2011 of the Company (the "2011 NOTES") and $500,000,000 aggregate principal
amount of Floating Rate Senior Notes due 2008 of the Company (the "LIBOR
NOTES"), pursuant to the Purchase Agreement. The series of the 2008 Notes, the
series of the 2011 Notes and the series of the LIBOR Notes are collectively
referred to herein as, the "NOTES").

         This Agreement is made pursuant to the Purchase Agreement, dated as of
September 18, 2003 (the "PURCHASE AGREEMENT"), among the Company, the Guarantors
and the Purchasers. In order to induce the Purchasers to purchase the Notes, the
Company has agreed to provide the registration rights set forth in this
Agreement. The execution and delivery of this Agreement is a condition to the
obligations of the Purchasers under the Purchase Agreement. Capitalized terms
used herein and not otherwise defined herein shall have the meanings assigned to
them in the three Indentures, dated as of October 2, 2003, among the Company,
the Guarantors and U.S. Bank National Association, as Trustee, relating to the
three separate series of Notes (each, an "INDENTURE" and, collectively, the
"INDENTURES").

         The parties hereby agree as follows:

SECTION 1. DEFINITIONS

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

         ACT: The Securities Act of 1933, as amended.

         AFFILIATE: As defined in Rule 144 of the Act.

         BROKER-DEALER: Any broker or dealer registered under the Exchange Act.

         CLOSING DATE: The date hereof.

         COMMISSION: The Securities and Exchange Commission.

         CONSUMMATE: An Exchange Offer related to any series of Notes shall be
deemed "Consummated" for purposes of this Agreement upon the occurrence of (i)
the filing and effectiveness under the Act of the Exchange Offer Registration
Statement relating to that series of Exchange Notes to be issued in the Exchange
Offer, (ii) the maintenance of such Exchange Offer continuously effective and
the keeping of the Exchange Offer open for a period not less than the period
required pursuant to Section 3(b) hereof, and (iii) the delivery by the Company
to the Registrar under the Indenture of that series, Exchange Notes in the same
aggregate principal amount as the aggregate principal amount of Notes of that
series that were tendered by Holders thereof pursuant to the Exchange Offer.

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         CONSUMMATION DEADLINE: As defined in Section 3(b) hereof.

         EFFECTIVENESS DEADLINE: As defined in Section 3(a) hereof.

         EXCHANGE ACT: The Securities Exchange Act of 1934, as amended.

         EXCHANGE NOTES: The Company's 5-3/4% Senior Notes due 2008, 6-3/8%
Senior Notes due 2011 and Floating Rate Senior Notes due 2008, in each case
guaranteed by the Guarantors to the same extent as the Notes, to be issued
pursuant to the Indentures: (i) in the Exchange Offers or (ii) as contemplated
by Section 6 hereof.

         EXCHANGE OFFERS: The exchange and issuance by the Company of a
principal amount of Exchange Notes of each series (which shall be registered,
pursuant to the Exchange Offer Registration Statement) equal to the outstanding
principal amount of Notes of each series that are tendered by such Holders in
connection with such exchange and issuance.

         EXCHANGE OFFER REGISTRATION STATEMENT: A Registration Statement
relating to any of the Exchange Offers, including the related Prospectus, which
may be in the form of a single Registration Statement.

         FILING DEADLINE: As defined in Sections 3(a) and 4(a) hereof.

         HOLDERS: As defined in Section 2 hereof.

         NASD: National Association of Securities Dealers, Inc.

         PROSPECTUS: The prospectus included in a Registration Statement at the
same time such Registration Statement is declared effective, as amended or
supplemented by any prospectus supplement and by all other amendments thereto,
including post-effective amendments, and all material incorporated by reference
into such Prospectus.

         RECOMMENCEMENT DATE: As defined in Section 6(d) hereof.

         REGISTRATION DEFAULT: As defined in Section 5 hereof.

         REGISTRATION STATEMENT: Any registration statement of the Company
relating to (a) an offering of Exchange Notes pursuant to an Exchange Offer or
(b) the registration for resale of Transfer Restricted Securities pursuant to
the Shelf Registration Statement, in each case, that is filed pursuant to the
provisions of this Agreement, including the Prospectus included therein, all
amendments and supplements thereto (including post-effective amendments) and all
exhibits and material incorporated by reference therein.

         REGULATION S: Regulation S promulgated under the Act.

         RULE 144: Rule 144 promulgated under the Act.

         SHELF REGISTRATION STATEMENT: As defined in Section 4 hereof.

         SUSPENSION NOTICE: As defined in Section 6(d) hereof.

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         TIA: The Trust Indenture Act of 1939 (15 U.S.C. Section 77aaa-77bbbb)
as in effect on the date of the Indenture.

         TRANSFER RESTRICTED SECURITIES: Each Note, until the earliest to occur
of (a) the date on which such Note is exchanged in an Exchange Offer for an
Exchange Note which is entitled to be resold to the public by the Holder thereof
without complying with the prospectus delivery requirements of the Act, (b) the
date on which such Note has been disposed of in accordance with a Shelf
Registration Statement, (c) the date on which such Note may be distributed to
the public pursuant to Rule 144(k) under the Act or (d) each Exchange Note until
the date on which such Exchange Note is disposed of by a Broker-Dealer pursuant
to the "Plan of Distribution" contemplated by the Exchange Offer Registration
Statement (including the delivery of the Prospectus contained therein).

         UNDERWRITTEN REGISTRATION OR UNDERWRITTEN OFFERING: A registration in
which securities of the Company are sold to an underwriter for reoffering to the
public.

SECTION 2. HOLDERS

         A person is deemed to be a holder of Transfer Restricted Securities
(each, a "HOLDER") whenever such Person owns Transfer Restricted Securities.

SECTION 3. REGISTERED EXCHANGE OFFER

         (a)      Unless an Exchange Offer with respect to any series of Notes
shall not be permitted by applicable law or Commission policy (after the
procedures set forth in Section 6(a) below have been complied with), the Company
shall with respect to each other series of Notes: (i) cause an Exchange Offer
Registration Statement to be filed with the Commission as soon as practicable
after the Closing Date, but in no event later than 180 days after the Closing
Date (such 180th day being the "FILING DEADLINE"), (ii) use its reasonable best
efforts to cause such Exchange Offer Registration Statement to become effective
at the earliest possible time, but in no event later than 270 days after the
Closing Date (such 270th day being the "EFFECTIVENESS Deadline"), (iii) in
connection with the foregoing, (A) file all pre-effective amendments to such
Exchange Offer Registration Statement as may be necessary in order to cause it
to become effective, (B) file, if applicable, a post-effective amendment to such
Exchange Offer Registration Statement pursuant to Rule 430A under the Act, and
(C) cause all necessary filings, if any, in connection with the registration and
qualification of the Exchange Notes to be made under the Blue Sky laws of such
jurisdictions as are necessary to permit Consummation of the Exchange Offers,
and (iv) upon the effectiveness of such Exchange Offer Registration Statement,
use its reasonable best efforts to commence and Consummate the Exchange Offers
such that the Exchange Offers are Consummated not later than the 315th day after
the Closing Date. The Exchange Offers shall be on the appropriate form
permitting (i) registration of the Exchange Notes to be offered in exchange for
the Notes that are Transfer Restricted Securities and (ii) resales of Exchange
Notes by Broker-Dealers that tendered the Exchange Notes that such Broker-Dealer
acquired for its own account as a result of market making activities or other
trading activities (other than Notes acquired directly from the Company or any
of its Affiliates) as contemplated by Section 3(c) below.

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         (b)      The Company shall use its reasonable best efforts to cause an
Exchange Offer Registration Statement with respect to each series of Exchange
Notes (which may be in the form of a single Registration Statement) to be
effective continuously and shall keep the Exchange Offers open for a period of
not less than the minimum period required under applicable federal and state
securities laws to Consummate the Exchange Offers; provided, however, that in no
event shall such period be less than 20 business days. The Company shall cause
the Exchange Offers to comply with all applicable federal and state securities
laws. No securities other than Exchange Notes shall be included in any Exchange
Offer Registration Statement. The Company shall use its reasonable best efforts
to cause the Exchange Offers to be Consummated not later than the 315th day
after the Closing Date (such 315th day being the "CONSUMMATION DEADLINE").

         (c)      The Company shall include a "Plan of Distribution" section in
the Prospectus contained in each Exchange Offer Registration Statement and
indicate therein that any Broker-Dealer who holds Transfer Restricted Securities
that were acquired for the account of such Broker-Dealer as a result of
market-making activities or other trading activities (other than Notes acquired
directly from the Company or any Affiliate of the Company), may exchange such
Transfer Restricted Securities pursuant to the Exchange Offers. Such "Plan of
Distribution" section shall also contain all other information with respect to
such sales by such Broker-Dealers that the Commission may require in order to
permit such sales pursuant thereto, but such "Plan of Distribution" shall not
name any such Broker-Dealer or disclose the amount of Transfer Restricted
Securities held by any such Broker-Dealer, except to the extent required by the
Commission as a result of a change in policy, rules or regulations after the
date of this Agreement.

         Because such Broker-Dealer may be deemed to be an "underwriter" within
the meaning of the Act and must, therefore, deliver a prospectus meeting the
requirements of the Act in connection with any initial sale of any Exchange
Notes received by such Broker-Dealer in the Exchange Offers, the Company shall
permit the use of the prospectus contained in each Exchange Offer Registration
Statement by such Broker-Dealer to satisfy such Prospectus delivery requirement.
To the extent necessary to ensure that the prospectus contained in each Exchange
Offer Registration Statement is available for sales of Exchange Notes by
Brokers-Dealers, the Company shall use its reasonable best efforts to keep each
Exchange Offer Registration Statement continuously effective, supplemented,
amended and current as required by and subject to the provisions of Sections
6(a) and 6(c) hereof and in conformity with the requirements of this Agreement,
the Act and the policies, rules and regulations of the Commission as announced
from time to time, for a period of one year from the date on which each Exchange
Offer is Consummated or such shorter period as will terminate when all Transfer
Restricted Securities covered by such Registration Statement have been sold
pursuant thereto. The Company shall provide sufficient copies of the latest
version of such Prospectus to such Broker-Dealers, promptly upon request, and in
no event later than one day after such request, at any time during such period.

SECTION 4. SHELF REGISTRATION

         (a)      Shelf Registration. If (i) any Exchange Offer is not permitted
by applicable law or Commission policy (after the Company has complied with the
procedures set forth in Section

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6(a) below) or (ii) if any Holder of Transfer Restricted Securities shall notify
the Company within 20 business days following the date on which any Exchange
Offer is Consummated that (A) such Holder was prohibited by applicable law or
Commission policy from participating in the Exchange Offer, or (B) such Holder
may not resell the Exchange Notes acquired by it in the Exchange Offer to the
public without delivering a prospectus and that the Prospectus contained in such
Exchange Offer Registration Statement is not appropriate or available for such
resales by such Holder, or (C) that such Holder is a Broker-Dealer and holds
Notes acquired directly from the Company or any of its Affiliates, then the
Company shall:

                  (x) cause to be filed a shelf registration statement pursuant
         to Rule 415 under the Act (the "SHELF REGISTRATION STATEMENT"),
         relating to all Transfer Restricted Securities of such series of Notes,
         on or prior to the later of (1) 30 days after the date on which the
         Company determines that an Exchange Offer Registration Statement with
         respect to that series of Notes cannot be filed as a result of clause
         (a)(i) above, (2) 30 days after the date on which the Company receives
         notice specified in clause (a)(ii) above, and (3) the 120th day after
         the Closing Date (such later date, the "FILING DEADLINE"); and

                  (y) shall use its reasonable best efforts to cause such Shelf
         Registration Statement to become effective on or prior to the 180th
         day, after the Filing Deadline (such 180th day, the "EFFECTIVENESS
         DEADLINE"). To the extent necessary to ensure that the Shelf
         Registration Statement is available for sales of Transfer Restricted
         Securities of such series of Notes by the Holders thereof entitled to
         the benefit of this Section 4(a) and other securities required to be
         registered therein pursuant to Section 6(b)(ii) hereof, the Company
         shall use its reasonable best efforts to keep such Shelf Registration
         Statement required by this Section 4(a) continuously effective,
         supplemented, amended and current as required by and subject to the
         provisions of Sections 6(b) and (c) hereof and in conformity with the
         requirements of this Agreement, the Act and the policies, rules and
         regulations of the Commission as announced from time to time, for a
         period of at least two years (as extended pursuant to Section 6(d)
         hereof) following the Closing Date or such shorter period as will
         terminate where all Transfer Restricted Securities covered by such
         Shelf Registration Statement have been sold pursuant thereto.

         (b)      Provision by Holders of Certain Information in connection with
the Shelf Registration Statement. No Holder of Transfer Restricted Securities
may include any of its Transfer Restricted Securities in any Shelf Registration
Statement pursuant to this Agreement unless and until such Holder furnishes to
the Company in writing, within 20 days after receipt of a request therefor, (i)
the information specified in Item 507 or 508 of Regulation S-K, as applicable,
of the Act for use in connection with any Shelf Registration Statement or
Prospectus or preliminary Prospectus included therein and (ii) the undertaking
specified in Section 8(b) hereof. No Holder of Transfer Restricted Securities
shall be entitled to liquidated damages pursuant to Section 5 hereof unless and
until such Holder shall have used its reasonable best efforts to provide all
such information. Each Selling Holder agrees to furnish promptly to the Company
all information required to be disclosed in order to make the information
previously furnished to the Company by such Holder not materially misleading.

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SECTION 5. LIQUIDATED DAMAGES

         If (i) any Registration Statement required by this Agreement is not
filed with the Commission on or prior to the applicable Filing Deadline, (ii)
any such Registration Statement has not been declared effective by the
Commission on or prior to the applicable Effectiveness Deadline, (iii) any
Exchange Offer has not been Consummated on or prior to the Consummation Deadline
or (iv) any Registration Statement required by this Agreement is filed and
declared effective but shall thereafter (and before the second anniversary of
the initial sale) cease to be effective or fail to be usable in connection with
resales of the Transfer Restricted Securities without being succeeded
immediately by a post-effective amendment to such Registration Statement that
cures such failure and that is itself immediately declared effective, and only
for such time of non-effectiveness or non-usability (each such event referred to
in clauses (i) through (iv), a "REGISTRATION DEFAULT"), then the Company hereby
agrees to pay (and the Guarantors agree to guarantee such payments) liquidated
damages to each Holder of Transfer Restricted Securities affected thereby for
the first 90-day period immediately following the occurrence of such
Registration Default, in an amount equal to $0.05 per week per $1,000 in
principal amount of Transfer Restricted Securities held by such Holder for each
week or portion thereof that the Registration Default continues. The amount of
the liquidated damages shall increase by an additional $0.05 per week per $1,000
in principal amount of Transfer Restricted Securities with respect to each
subsequent 90-day period until all Registration Defaults have been cured, the
Transfer Restricted Securities become freely tradable without registration under
the Act or no Transfer Restricted Securities are outstanding, up to a maximum
amount of liquidated damages of $0.30 per week per $1,000 in principal amount of
Transfer Restricted Securities; provided that the Company shall in no event be
required to pay liquidated damages with respect to any one series of Notes for
more than one Registration Default at any given time. All accrued liquidated
damages shall be paid to the Holders entitled thereto, in the manner provided
for the payment of interest, on each Interest Payment Date, as more fully set
forth in the Indentures and the Notes. Notwithstanding anything to the contrary
set forth herein, (1) upon filing of an Exchange Offer Registration Statement
with respect to the affected series of Transfer Restricted Securities (and/or,
if applicable, the Shelf Registration Statement), in the case of (i) above, (2)
upon the effectiveness of an Exchange Offer Registration Statement with respect
to the affected series of Transfer Restricted Securities (and/or, if applicable,
the Shelf Registration Statement), in the case of (ii) above, (3) upon
Consummation of an Exchange Offer with respect to the affected series of
Transfer Restricted Securities, in the case of (iii) above, or (4) upon the
filing of a post-effective amendment to a Registration Statement or an
additional Registration Statement that causes the Exchange Offer Registration
Statement with respect to the affected series of Transfer Restricted Securities
(and/or, if applicable, the Shelf Registration Statement) to again be declared
effective or made usable in the case of (iv) above, the liquidated damages
payable with respect to the affected series of Transfer Restricted Securities as
a result of such clause (i), (ii), (iii) or (iv), as applicable, shall cease.

         Notwithstanding the fact that any securities for which liquidated
damages are due cease to be Transfer Restricted Securities, all obligations of
the Company to pay liquidated damages with respect to securities shall survive
until such time as such obligations with respect to such securities shall have
been satisfied in full.

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SECTION 6. REGISTRATION PROCEDURES

         (a)      Exchange Offer Registration Statement. In connection with the
Exchange Offers, the Company shall (x) comply with all of the provisions of
Section 6(c) below, (y) use its reasonable best efforts to effect such exchange
and to permit the resale of Exchange Notes by Broker-Dealers that tendered in
the Exchange Offers, Notes that such Broker-Dealer acquired for its own account
as a result of its market making activities as other trading activities (other
than Notes acquired directly from the Company or any of its Affiliates) being
sold in accordance with the intended method or methods of distribution thereof,
and (z) comply with all of the following provisions:

                  (i)      If, following the date hereof there has been
         announced a change in Commission policy with respect to exchange offers
         such as the Exchange Offers, that in the reasonable opinion of counsel
         to the Company raises a substantial question as to whether any Exchange
         Offer is permitted by applicable federal law, the Company hereby agrees
         to seek a no-action letter or other favorable decision from the
         Commission allowing the Company to Consummate such Exchange Offer for
         such Transfer Restricted Securities. The Company agrees to pursue the
         issuance of such a decision to the Commission staff level. In
         connection with the foregoing, the Company agrees, to take all such
         other actions as may be requested by the Commission or otherwise
         required in connection with the issuance of such decision, including
         without limitation (A) participating in telephonic conferences with the
         Commission, (B) delivering to the Commission staff an analysis prepared
         by counsel to the Company setting forth the legal bases, if any, upon
         which such counsel has concluded that such an Exchange Offer should be
         permitted and (C) diligently pursuing a resolution (which need not be
         favorable) by the Commission staff.

                  (ii)     As a condition to its participation in the Exchange
         Offers, each Holder of Transfer Restricted Securities (including,
         without limitation, any Holder who is a Broker-Dealer) shall furnish,
         upon the request of the Company, prior to the Consummation of the
         applicable Exchange Offer, a written representation to the Company
         (which may be contained in the letter of transmittal contemplated by
         the related Exchange Offer Registration Statement) to the effect that
         (A) it is not an Affiliate of the Company, (B) it is not engaged in,
         and does not intend to engage in, and has no arrangement or
         understanding with any person to participate in, a distribution of the
         applicable series of Exchange Notes to be issued in the Exchange Offer
         and (C) it is acquiring the Exchange Notes of the applicable series in
         its ordinary course of business. Each Holder using an Exchange Offer to
         participate in a distribution of the Exchange Notes shall acknowledge
         and agree that, if the resales are of Exchange Notes obtained by such
         Holder in exchange for Notes acquired by such Holder directly from the
         Company or an Affiliate thereof, it (1) could not, under Commission
         policy as in effect on the date of this Agreement rely on the position
         of the Commission enunciated in Morgan Stanley and Co., Inc. (available
         June 5, 1991) and Exxon Capital Holdings Corporation (available May 13,
         1988), as interpreted in the Commission's letter to Shearman & Sterling
         dated July 2, 1993, and similar no-action letters (including, if
         applicable, any no-action letter obtained pursuant to clause (i)
         above), and (2) must comply with the registration and prospectus
         delivery requirements of the Act in connection with a secondary resale
         transaction and that such a

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         secondary resale transaction should be covered by an effective
         registration statement containing the selling security holder
         information required by Item 507 or 508, as applicable, of Regulation
         S-K.

                  (iii)    Prior to effectiveness of each Exchange Offer
         Registration Statement, the Company shall provide a supplemental letter
         to the Commission (A) stating that the Company is registering the
         related Exchange Offer in reliance on the position of the Commission
         enunciated in Exxon Capital Holdings Corporation (available May 13,
         1988), Morgan Stanley and Co., Inc. (available June 5, 1991), as
         interpreted in the Commission's letter to Shearman & Sterling dated
         July 2, 1993, and, if applicable, any no-action letter obtained
         pursuant to clause (i) above, (B) including a representation that
         neither the Company nor any Guarantor has entered into any arrangement
         or understanding with any Person to distribute the Exchange Notes to be
         received in the Exchange Offers and that, to the best of the Company's
         information and belief, each Holder participating in the Exchange
         Offers is acquiring the Exchange Notes in its ordinary course of
         business and has no arrangement or understanding with any Person to
         participate in the distribution of the Exchange Notes received in the
         Exchange Offers and (C) any other undertaking or representation
         required by the Commission as set forth in any no-action letter
         obtained pursuant to clause (i) above, if applicable.

         (b)      Shelf Registration Statement. In connection with each Shelf
Registration Statement, the Company shall: (i) comply with all the provisions of
Section 6(c) below and shall use its reasonable best efforts to effect such
registration to permit the sale of the Transfer Restricted Securities being sold
in accordance with the intended method or methods of distribution thereof (as
indicated in the information furnished to the Company pursuant to Section 4(b)
hereof), and pursuant thereto the Company will prepare and file with the
Commission, a Registration Statement relating to the registration on any
appropriate form under the Act, which form shall be available for the sale of
the Transfer Restricted Securities in accordance with the intended method or
methods of distribution thereof within the time periods and otherwise in
accordance with the provisions hereof and (ii) issue, upon the request of any
Holder or purchaser of Notes covered by any Shelf Registration Statement
contemplated by this Agreement, Exchange Notes having an aggregate principal
amount equal to the aggregate principal amount of Notes sold pursuant to the
Shelf Registration Statement and surrendered to the Company for cancellation;
the Company shall register Exchange Notes on the Shelf Registration Statement
for this purpose and issue the Exchange Notes to the purchasers of securities
subject to the Shelf Registration Statement in the names as such purchasers
shall designate.

         (c)      General Provisions. In connection with any Registration
Statement and any related Prospectus required by this Agreement, the Company
shall:

                  (i)      use its reasonable best efforts to keep such
         Registration Statement continuously effective and provide all requisite
         financial statements for the period specified in Section 3 or 4 of this
         Agreement, as applicable. Upon the occurrence of any event that would
         cause any such Registration Statement or the Prospectus contained
         therein (A) to contain an untrue statement of material fact or omit to
         state any material fact necessary to make the statements therein not
         misleading or (B) not to be effective

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         and usable for resale of Transfer Restricted Securities during the
         period required by this Agreement, the Company shall file promptly an
         appropriate amendment to such Registration Statement, curing such
         defect, and if Commission review is required, use its reasonable best
         efforts to cause such amendment to be declared effective as soon as
         practicable;

                  (ii)     prepare and file with the Commission such amendments
         and post-effective amendments to the Registration Statement as may be
         necessary to keep such Registration Statement effective for the
         applicable period set forth in Section 3 or 4 hereof, as the case may
         be; cause the Prospectus to be supplemented by any required Prospectus
         supplement, and as so supplemented to be filed pursuant to Rule 424
         under the Act, and to comply fully with the applicable provisions of
         Rules 424 and 430A under the Act in a timely manner; and comply with
         the provisions of the Act with respect to the disposition of all
         securities covered by such Registration Statement during the applicable
         period in accordance with the intended method or methods of
         distribution by the sellers thereof set forth in such Registration
         Statement or supplement to the Prospectus;

                  (iii)    advise the underwriters, if any, and each selling
         Holder promptly and, if requested by such Holder, confirm such advice
         in writing, (A) when the Prospectus or any Prospectus supplement or
         post-effective amendment has been filed, and, with respect to any
         Registration Statement or any post-effective amendment thereto, when
         the same has become effective, (B) of any request by the Commission for
         amendments to the Registration Statement or amendments or supplements
         to the Prospectus or for additional information relating thereto, (C)
         of the issuance by the Commission of any stop order suspending the
         effectiveness of any Registration Statement under the Act or of the
         suspension by any state securities commission of the qualification of
         the Transfer Restricted Securities for offering or sale in any
         jurisdiction, or the initiation of any proceeding for any of the
         preceding purposes, and (D) of the existence of any fact or the
         happening of any event that makes any statement of a material fact made
         in any Registration Statement, any Prospectus, any amendment or
         supplement thereto, or any document incorporated by reference therein
         untrue, or that requires the making of any additions to or changes in
         any Registration Statement or any Prospectus in order to make the
         statements therein not misleading, or that requires the making of any
         additions to or changes in any Prospectus in order to make the
         statements therein in the light of the circumstances under which they
         were made, not misleading. If at any time the Commission shall issue
         any stop order suspending the effectiveness of any Registration
         Statement, or any state securities commission or other regulatory
         authority shall issue an order suspending the qualification or
         exemption from qualification of the Transfer Restricted Securities
         under state securities or Blue Sky laws, the Company shall use its
         reasonable best efforts to obtain the withdrawal or lifting of such
         order at the earliest possible time;

                  (iv)     furnish to each selling Holder and each of the
         underwriters, if any, in connection with such exchange or sale, if any,
         before filing with the Commission, copies of any Registration Statement
         or any Prospectus included therein or any amendments or supplements to
         any such Registration Statement or Prospectus (including all documents
         incorporated by reference after the initial filing of such Registration
         Statement), which

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<PAGE>

         documents will be subject to the review and comment of such Holders and
         underwriter(s), if any, in connection with such sale, if any, for a
         period of at least five business days, and the Company will not file
         any such Registration Statement or Prospectus or any amendment or
         supplement to any such Registration Statement or Prospectus (including
         all such documents incorporated by reference) to which such Holders or
         the underwriters, if any, shall reasonably object within five business
         days after the receipt thereof. A Holder or underwriter, if any, shall
         be deemed to have reasonably objected to such filing if such
         Registration Statement, amendment, Prospectus or supplement, as
         applicable, as proposed to be filed, contains an untrue statement of a
         material fact or omits to state any material fact necessary to make the
         statements therein not misleading or fails to comply with the
         applicable requirements of the Act;

                  (v)      promptly prior to the filing of any document that is
         to be incorporated by reference into a Registration Statement or
         Prospectus, provide copies of such document to each selling Holder and
         to the underwriters, if any, in connection with such exchange or sale,
         if any, make the Company's representatives available for discussion of
         such document and other customary due diligence matters, and include
         such information in such document prior to the filing thereof as such
         Holders or underwriters, if any, reasonably may request;

                  (vi)     make available, at reasonable times, for inspection
         by each selling Holder, any underwriter, if any, participating in any
         disposition pursuant to such Registration Statement, and any attorney
         or accountant retained by such Holders or any of the underwriters, all
         financial and other records, pertinent corporate documents and
         properties of the Company and cause the Company's officers, directors
         and employees to supply all information reasonably requested by any
         such Holder, underwriter, attorney or accountant in connection with
         such Registration Statement or any post-effective amendment thereto
         subsequent to the filing thereof and prior to its effectiveness;

                  (vii)    if requested by any Holders or the underwriters, if
         any, in connection with such exchange or sale, promptly include in any
         Registration Statement or Prospectus, pursuant to a supplement or
         post-effective amendment if necessary, such information as such Holders
         and underwriters, if any, may reasonably request to have included
         therein, including, without limitation, information relating to the
         "Plan of Distribution" of the Transfer Restricted Securities; and make
         all required filings of such Prospectus supplement or post-effective
         amendment as soon as practicable after the Company is notified of the
         matters to be included in such Prospectus supplement or post-effective
         amendment;

                  (viii)   cause the Transfer Restricted Securities covered by
         each Registration Statement to be rated with the appropriate rating
         agencies, if so requested by the Holders of a majority in aggregate
         principal amount of Notes covered thereby or the underwriters, if any;

                  (ix)     furnish to each selling Holder (and upon request, any
         Holder) and each of the underwriter(s), if any, in connection with such
         exchange or sale, without charge, at least one copy of each
         Registration Statement, as first filed with the Commission, and of

                                       10
<PAGE>

         each amendment thereto, including all documents incorporated by
         reference therein and all exhibits (including exhibits incorporated
         therein by reference);

                  (x)      deliver to each Holder and each of the underwriters,
         if any, without charge, as many copies of each Prospectus (including
         each preliminary prospectus) and any amendment or supplement thereto as
         such Persons reasonably may request; the Company hereby consents to the
         use (in accordance with applicable law) of the Prospectus and any
         amendment or supplement thereto by each selling Holder and each
         underwriter, if any, in connection with the offering and the sale of
         the Transfer Restricted Securities covered by each Prospectus or any
         amendment or supplement thereto;

                  (xi)     upon the request of any selling Holder, enter into
         such agreements (including underwriting agreements), and make, such
         representations and warranties, and take all such other actions in
         connection therewith in order to expedite or facilitate the disposition
         of the Transfer Restricted Securities pursuant to any Registration
         Statement contemplated by this Agreement, as may be requested by any
         Purchaser or by any selling Holder in connection with any sale or
         resale pursuant to any Registration Statement. In such connection, the
         Company shall:

                           (A)      upon request of any Holder, furnish to each
                  Purchaser, each selling Holder and each underwriter, if any,
                  in such substance and scope as they may request and as are
                  customarily made by issuers to underwriters in primary
                  underwritten offerings, upon the Consummation of the Exchange
                  Offers or upon, the effectiveness of each Shelf Registration
                  Statement, as the case may be:

                                    (1)      a certificate, dated such date
                  signed on behalf of the Company by (x) the President or any
                  Vice President and (y) a principal financial or accounting
                  officer of the Company, confirming, as of the date thereof,
                  the matters set forth in Sections 2(bb) of the Purchase
                  Agreement and confirming that the representations and
                  warranties of the Company contained in any such underwriting
                  agreement (which shall be of the same tenor as the
                  representations and warranties contained in the Purchase
                  Agreement, excluding Sections 2(a) (which shall reference the
                  related Registration Statement and Prospectus instead of the
                  Offering Memorandum), (cc), (dd), (ee), (ff), (gg) and (hh))
                  qualified as to materiality are true and correct, and those
                  not so qualified are true and correct in all material
                  respects, in each case, as of the date hereof, and confirming
                  such other matters as such parties may reasonably request;

                                    (2)      an opinion, dated the date of
                  Consummation of the Exchange Offers and the date of
                  effectiveness of each Shelf Registration Statement, as the
                  case may be, of counsel for the Company, covering the matters
                  similar to those set forth in Annex I and Annex II of the
                  Purchase Agreement and such other matters as such parties may
                  reasonably request, and in any event including a statement to
                  the effect that such counsel has participated in conferences
                  with officers and other representatives of the Company,
                  representatives of the independent public accountants for the
                  Company, the Purchasers' representatives and the Purchasers'
                  counsel in connection with the

                                       11
<PAGE>

                  preparation of such Registration Statement and the related
                  Prospectus and have considered the matters required to be
                  stated therein and the statements contained therein, although
                  such counsel has not independently verified the accuracy,
                  completeness or fairness of such statements; and that such
                  counsel advises that, on the basis of the foregoing (relying
                  as to materiality to the extent such counsel deems appropriate
                  upon the statements of officers and other representatives of
                  the Company and without independent check or verification), no
                  facts came to such counsel's attention that caused such
                  counsel to believe that the applicable Registration Statement,
                  at the time such Registration Statement or any post-effective
                  amendment thereto became effective, and, in the case of an
                  Exchange Offer Registration Statement, as of the date of
                  Consummation of the related Exchange Offer, contained an
                  untrue statement of a material fact or omitted to state a
                  material fact required to be stated therein or necessary to
                  make the statements therein not misleading, or that the
                  related Prospectus contained in such Registration Statement as
                  of its date and, in the case of the opinion dated the date of
                  Consummation of the related Exchange Offer, as of the date of
                  Consummation, contained an untrue statement of a material fact
                  or omitted to state a material fact necessary in order to make
                  the statements therein, in the light of the circumstances
                  under which they were made, not misleading. Without limiting
                  the foregoing, such counsel may state further that such
                  counsel assumes no responsibility for, and has not
                  independently verified, the accuracy, completeness or fairness
                  of the financial statements, notes and schedules and other
                  financial data included in any Registration Statement
                  contemplated by this Agreement or the related Prospectus; and

                                    (3)      a customary comfort letter, dated
                  as of the date of Consummation of each Exchange Offer, or as
                  of the date of effectiveness of each Shelf Registration
                  Statement, as the case may be, from the Company's independent
                  accountants, in the customary form and covering matters of the
                  type customarily covered in comfort letters to underwriters in
                  connection with primary underwritten offerings, and affirming
                  the matters set forth in the comfort letters of KPMG delivered
                  pursuant to the Purchase Agreement, without exception; and

                           (B)      deliver such other documents and
                  certificates as may be reasonably requested by such parties to
                  evidence compliance with the matters covered in clause (A)
                  above and with any customary conditions contained in any
                  agreement or other agreement entered into by the Company
                  pursuant to this clause (xi), if any.

If at any time the representations and warranties of the Company contemplated in
clause (A)(1) above cease to be true and correct, the Company shall so advise
the Purchasers and the underwriter(s), if any, and each selling Holder promptly
and, if requested by such Persons, shall confirm such advice in writing;

                  (xii)    prior to any public offering of Transfer Restricted
         Securities, cooperate with, the selling Holders, the underwriters, if
         any, and their respective counsel in connection with the registration
         and qualification of the Transfer Restricted Securities

                                       12
<PAGE>

         under the securities or Blue Sky laws of such jurisdictions as the
         selling Holders or underwriters may request and do any and all other
         acts or things necessary or advisable to enable the disposition in such
         jurisdictions of the Transfer Restricted Securities covered by the
         applicable Registration Statement; provided, however, that the Company
         shall not be required to register or qualify as a foreign corporation
         where it is not now so qualified or to take any action that would
         subject it to the service of process in suits or to taxation, other
         than as to matters and transactions relating to any Registration
         Statement, in any jurisdiction where it is not now so subject;

                  (xiii)   shall issue, upon the request of any Holder of Notes
         covered by each Shelf Registration Statement, Exchange Notes, having an
         aggregate principal amount equal to the aggregate principal amount of
         Notes surrendered to the Company by such Holder in exchange therefor or
         being sold by such Holder; such Exchange Notes to be registered in the
         name of such Holder or in the name of the purchaser(s) of such Notes or
         Exchange Notes, as the case may be; in return, the Notes held by such
         Holder shall be surrendered to the Company for cancellation;

                  (xiv)    in connection with any sale of Transfer Restricted
         Securities that will result in such securities no longer being Transfer
         Restricted Securities, cooperate with the Holders and the underwriters,
         if any, to facilitate the timely preparation and delivery of
         certificates representing Transfer Restricted Securities to be sold and
         not bearing any restrictive legends; and to register such Transfer
         Restricted Securities in such denominations and in such names as the
         selling Holders or the underwriters, if any, may request at least two
         business days prior to any such sale of Transfer Restricted Securities;

                  (xv)     use its reasonable best efforts to cause the
         disposition of the Transfer Restricted Securities covered by each
         Registration Statement to be registered with or approved by such other
         governmental agencies or authorities as may be necessary to enable the
         seller or sellers thereof or the underwriters, if any, to consummate
         the disposition of such Transfer Restricted Securities, subject to the
         proviso contained in clause (xii) above;

                  (xvi)    subject to Section 6(c)(i), if any fact or event
         contemplated by Section 6(c)(iii)(D) above shall exist or have
         occurred, prepare a supplement or post-effective amendment to each
         Registration Statement or related Prospectus or any document
         incorporated therein by reference or file any other required document
         so that, as thereafter delivered to the purchasers of Transfer
         Restricted Securities, the Prospectus will not contain an untrue
         statement of a material fact or omit to state any material fact
         necessary to make the statements therein, not misleading;

                  (xvii)   provide a CUSIP number for all Transfer Restricted
         Securities not later than the effective date of a Registration
         Statement covering such Transfer Restricted Securities and provide the
         Trustee under the Indentures with printed certificates for the Transfer
         Restricted Securities which are in a form eligible for deposit with the
         Depositary Trust Company;

                                       13
<PAGE>

                  (xviii)  cooperate and assist in any filings required to be
         made with the NASD and in the performance of any due diligence
         investigation by any underwriter (including any "qualified independent
         underwriter") that is required to be retained in accordance with the
         rules and regulations of the NASD, and use its reasonable best efforts
         to cause such Registration Statement to become effective and approved
         by such governmental agencies or authorities as may be necessary to
         enable the Holders selling Transfer Restricted Securities to consummate
         the disposition of such Transfer Restricted Securities;

                  (xix)    otherwise use its reasonable best efforts to comply
         with all applicable rules and regulations of the Commission, and make
         generally available to its security holders with regard to any
         Registration Statement, as soon as practicable, a consolidated earnings
         statement meeting the requirements of Rule 158 (which need not be
         audited) covering a twelve-month period, beginning after the effective
         date of the Registration Statement (as such term is defined in
         paragraph (c) of rule 158 under the Act);

                  (xx)     cause the Indentures to be qualified under the TIA
         not later than the effective date of the first Registration Statement
         required by this Agreement, and, in connection therewith, cooperate
         with the Trustee and the Holders to effect such changes to the
         Indentures as may be required for such Indenture to be so qualified in
         accordance with the terms of the TIA; and execute, and use its
         reasonable best efforts to cause the Trustee to execute, all documents
         that may be required to effect such changes and all other forms and
         documents required to be filed with the Commission to enable such
         Indentures to be so qualified in a timely manner;

                  (xxi)    cause all Transfer Restricted Securities covered by
         the Registration Statement to be listed on each securities exchange on
         which similar securities issued by the Company are then listed if
         requested by the Holders of a majority in aggregate principal amount of
         Notes or the managing underwriters, if any; and

                  (xxii)   provide promptly to each Holder, upon request, each
         document filed with the Commission pursuant to the requirements of
         Section 13 or Section 15(d) of the Exchange Act.

         (d)      Restrictions on Holders. Each Holder agrees by acquisition of
a Transfer Restricted Security that, upon receipt of the notice referenced to in
Section 6(c)(iii)(D) or any notice from the Company of the existence of any fact
of the kind described in Section 6(c)(iii)(D) hereof (in each case, a
"SUSPENSION NOTICE"), such Holder will forthwith discontinue disposition of
Transfer Restricted Securities pursuant to the applicable Registration Statement
until (i) such Holder has received copies of the supplemented or amended
Prospectus contemplated by Section 6(c)(xvi) hereof, or (ii) such Holder is
advised in writing by the Company that the use of the Prospectus may be resumed,
and has received copies of any additional or supplemental filings that are
incorporated by reference in the Prospectus (in each case, the "RECOMMENCEMENT
DATE"). Each Holder receiving a Suspension Notice hereby agrees that it will
either (i) destroy any Prospectuses, other than permanent file copies then in
such Holder's possession which have been replaced by the Company with more
recently dated Prospectuses, or (ii) will deliver to the Company (at the
Company's expense) all copies, other than permanent file copies then in such
Holder's possession, of the Prospectus covering such

                                       14
<PAGE>

Transfer Restricted Securities that was current at the time of receipt of such
Suspension Notice. The time period regarding the effectiveness of such
Registration Statement set forth in Section 3 or 4 hereof, as applicable, shall
be extended by a number of days equal to the number of days in the period from
and including the date of delivery of the Suspension Notice to the date of the
Recommencement Date.

SECTION 7. REGISTRATION EXPENSES

         Subject to the compliance in all material respects by the Company and
the Guarantors with all of their respective obligations under this Agreement,
the Purchasers agree to pay (and, to the extent not paid by the Purchasers, to
reimburse the Company for) all out-of-pocket expenses reasonably incurred by the
Company and the Guarantors which are incident to the performance of their
obligations under this Agreement, regardless of whether a Registration Statement
becomes effective (unless due to the noncompliance of the Company and the
Guarantors of their obligations under this Agreement), up to a maximum of
$540,000, after which such expenses shall be borne by the Company and the
Guarantors, including without limitation: (i) all registration and filing fees
and expenses (including filings made by any Purchaser or Holder with the NASD
(and, if applicable, the fees and expenses of any "qualified independent
underwriter" and its counsel that may be required by the rules and regulations
of the NASD)); (ii) all fees and expenses of compliance with federal securities
and state Blue Sky or securities laws; (iii) all expenses of printing (including
printing certificates for the Exchange Notes to be issued in the Exchange Offers
and printing of Prospectuses), messenger and delivery services and telephone;
(iv) all fees and disbursements of counsel for the Company and the Holders of
Transfer Restricted Securities; (v) all application and filing fees in
connection with listing Exchange Notes on a national securities exchange
automated quotation system pursuant to the requirements hereof; (vi) all fees
and disbursements of independent certified public accountants of the Company
(including the expenses of any special audit and comfort letters required by or
incidental to such performance); (vii) fees and expenses of the Trustee,
including fees and expenses of counsel and (viii) all travel related expenses
incurred by officers or employees of the Company incident to the performance of
the Company's or the Guarantors' obligations under this Agreement. The
Purchasers' obligations under this Section 7(a) shall be subject in each case to
the submission by the Company and the Guarantors to the Purchasers of invoices
and other documentation with respect to such costs and expenses. In no event
shall the Purchasers' obligations under Section this 7(a) limit their rights
under Section 8 hereof, whether by set-off or otherwise by the Company and the
Guarantors, and no liability of the Company and the Guarantors under Section 8
hereof shall be an obligation required to be paid or reimbursed by the
Purchasers pursuant to this Section 7(a).

         The Company will, in any event, bear its internal expenses (including,
without limitation, all salaries and expenses of its officers and employees
performing legal or accounting duties), the expenses of any annual audit and the
fees and expenses of any Person, including special experts, retained by the
Company.

SECTION 8. INDEMNIFICATION

         (a)      The Company and the Guarantors agree to indemnify and hold
harmless (i) each Holder and (ii) each Person, if any, who controls such Holder
(within the meaning of Section 15

                                       15
<PAGE>

of the Act or Section 20 of the Exchange Act) (any of the persons referred to in
this clause (ii) being hereinafter referred to as a "controlling person") and
(iii) the respective officers, directors, partners, employees, representatives
and agents of any Holder or any controlling person, from and against any and all
losses, claims, damages, liabilities, judgments, actions and expenses
(including, without limitation, any legal or other expenses incurred in
connection with, investigating, preparing, pursuing or defending any claim or
action, or any investigation or proceeding by any governmental agency or body,
commenced or threatened, including any action that could give rise to any such
losses, claims, damages, liabilities or judgments) directly or indirectly caused
by, related to, based upon, arising out of or in connection with any untrue
statement or alleged untrue statement of a material fact contained in any
Registration Statement, preliminary prospectus or Prospectus (or any amendment
or supplement thereto), provided by the Company to any Holder or any prospective
purchaser of Exchange Notes or registered Notes or caused by 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, except insofar as
such losses, claims, damages, liabilities, judgments, actions or expenses are
caused by an untrue statement or omission or alleged untrue statement or
omission that is based upon information relating to such Holder furnished in
writing to the Company by such Holder.

         (b)      The Company may require, as a condition to including any
Transfer Restricted Securities held by any Holder in a Registration Statement,
that the Company shall have received an undertaking reasonably satisfactory to
it from such Holder that such Holder agrees, severally and not jointly, to
indemnify and hold harmless the Company and the Guarantors, and their respective
directors and officers, and each person, if any, who controls (within the
meaning of Section 15 of the Act or Section 20 of the Exchange Act) the Company
or the Guarantors, as the case may be, to the same extent as the foregoing
indemnity from the Company set forth in Section 8(a) above, but only with
reference to information relating to such Holder furnished in writing to the
Company by such Holder expressly for use in any Registration Statement. In no
event shall any Holder, its directors, officers, or any person who controls such
Holder be liable or responsible for any amount in excess of the amount by which
the entire amount received by such Holder with respect to its sale of the
Transfer Restricted Securities pursuant to a Registration Statement exceeds (i)
the amount paid by such Holder for such Transfer Restricted Securities and (ii)
the amount of any damages that such Holder, its directors, officers or any
Person who controls such Holder has otherwise been required to pay by reason of
such untrue or alleged untrue statement or omission or alleged omission.

         (c)      In case any action shall be commenced involving any person in
respect of which indemnity may be sought pursuant to Section 8(a) or 8(b) (the
"INDEMNIFIED PARTY"), the indemnified party shall promptly notify the person
against whom such indemnity may be sought (the "INDEMNIFYING PARTY") in writing
and the indemnifying party shall assume the defense of such action, including
the employment of counsel reasonably satisfactory to the indemnified party and
the payment of all fees and expenses of such counsel, as incurred (except that
in the case of any action in respect of which indemnity may be sought pursuant
to both Sections 8(a) and 8(b), a Holder shall not be required to assume the
defense of such action pursuant to this Section 8(c), but may employ separate
counsel and participate in the defense thereof, but the fees and expenses of
such counsel, except as provided below, shall be at the expense of the Holder).
Any indemnified party shall have the right to employ separate counsel in any
such action and participate in the defense thereof, but the fees and expenses of
such

                                       16
<PAGE>

counsel shall be at the expense of the indemnified party unless (i) the
employment of such counsel shall have been specifically authorized in writing by
the indemnifying party, (ii) the indemnifying party shall have failed to assume
the defense of such action or employ counsel reasonably satisfactory to the
indemnified party or (iii) 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 been advised by such counsel that
there may be one or more legal defenses available to it which are different from
or additional to those available to the indemnifying party (in which case the
indemnifying party shall not have the right to assume the defense of such action
on behalf of the indemnified party). In any such case, the indemnifying party
shall not, in connection with any one action or separate but substantially
similar or related actions in the same jurisdiction arising out of the same
general allegations or circumstances, be liable for the fees and expenses of
more than one separate firm of attorneys (in addition to any local counsel) for
all indemnified parties and all such fees and expenses shall be reimbursed as
they are incurred. Such firm shall be designated in writing by a majority of the
Holders, in the case of the parties indemnified pursuant to Section 8(a), and by
the Company, in the case of parties indemnified pursuant to Section 8(b). The
indemnifying party shall indemnify and hold harmless the indemnified party from
and against any and all losses, claims, damages, liabilities, judgments and
expenses by reason of any settlement of any action (i) effected with its written
consent or (ii) effected without its written consent if the settlement is
entered into more than twenty business days after the indemnifying party shall
have received a request from the indemnified party for reimbursement for the
fees and expenses of counsel (in any case where such fees and expenses are at
the expense of the indemnifying party) and, prior to the date of such
settlement, the indemnifying party shall have failed to comply with such
reimbursement request. No indemnifying party shall, without the prior written
consent of the indemnified party, effect any settlement or compromise of, or
consent to the entry of judgment with respect to, any pending or threatened
action in respect of which the indemnified party is or could have been a party
and indemnity or contribution may be or could have been sought hereunder by the
indemnified party, unless such settlement, compromise or judgment (i) includes
an unconditional release of the indemnified party from all liability on claims
that are or could have been the subject matter of such action and (ii) does not
include a statement as to or an admission of fault, culpability or a failure to
act, by or on behalf of the indemnified party.

         (d)      To the extent that the indemnification provided for in this
Section 8 is unavailable to an indemnified party under Section 8(a) or Section
8(b) hereof in respect of any losses, claims, damages, liabilities, judgements
or expenses referred to therein, then each indemnifying party, in lieu of
indemnifying such indemnified party, shall contribute to the amount paid or
payable by such indemnified party as a result of such losses, claims, damages,
liabilities, judgments or expenses (i) in such proportion as is appropriate to
reflect the relative benefits received by the Company, on the one hand, and the
Holders, on the other hand, from their sale of Transfer Restricted Securities or
(ii) if the allocation provided by clause 8(d)(i) is not permitted by applicable
law, in such proportion as is appropriate to reflect not only the relative
benefits referred to in clause 8(d)(i) above but also the relative fault of the
Company, on the one hand, and of the Holder, on the other hand, in connection
with the statements or omissions which resulted in such losses, claims, damages,
liabilities, judgments or expenses, as well as any other relevant equitable
considerations. The relative fault of the Company, on the one hand, and of the
Holder, on the other hand, shall be determined by reference to, among other
things, whether the untrue or alleged untrue statement of a material fact or the
omission or alleged omission to state

                                       17
<PAGE>

a material fact relates to information supplied by the Company, on the one hand,
or by such Holder, on the other hand, and the parties' relative intent,
knowledge, access to information and opportunity to correct or prevent such
statement or omission.

         The Company, the Guarantors and each Holder agree that it would not be
just and equitable if contribution pursuant to this Section 8(d) were determined
by pro rata allocation (even if the Holders were treated as one entity for such
purpose) or by any other method of allocation which does not take account of the
equitable considerations referred to in the immediately preceding paragraph. The
amount paid or payable by an indemnified party as a result of the losses,
claims, damages, liabilities, judgments or expenses referred to in the
immediately preceding paragraph shall be deemed to include, subject to the
limitations set forth above, any legal or other expenses incurred by such
indemnified party in connection with investigating or defending any such action
or claim including any action that could have given rise to such losses, claims,
damages, liabilities, judgments or expenses. Notwithstanding the provisions of
this Section 8, no Holder shall be required to contribute, in the aggregate, any
amount in excess of the amount by which the total received by such Holder with
respect to the sale of Transfer Restricted Securities pursuant to a Registration
Statement exceeds (i) the amount paid by such Holder for such Transfer
Restricted Securities and (ii) the amount of any damages which such Holder has
otherwise been required to pay by reason of such untrue or alleged untrue
statement or omission or alleged omission. No person guilty of fraudulent
misrepresentation (within the meaning of Section 11(f) of the Act) shall be
entitled to contribution from any person who was not guilty of such fraudulent
misrepresentation. The Holders' obligations to contribute pursuant to this
Section 8(d) are several in proportion to the respective principal amount of
Transfer Restricted Securities held by each Holder hereunder and not joint.

SECTION 9. RULE 144A

         The Company hereby agrees with each Holder, for so long as any Transfer
Restricted Securities remain outstanding and during any period in which the
Company (i) is not subject to Section 13 or 15(d) of the Exchange Act, to make
available, upon request of any Holder, to such Holder or beneficial owner of
Transfer Restricted Securities in connection with any sale thereof and any
prospective purchaser of such Transfer Restricted Securities designated by such
Holder or beneficial owner, the information required by Rule 144A(d)(4) under
the Act in order to permit resales of such Transfer Restricted Securities
pursuant to Rule 144A, and (ii) is subject to Section 13 or 15(d) of the
Exchange Act, to make all filings required thereby in a timely manner in order
to permit resales of such Transfer Restricted Securities pursuant to Rule 144.

SECTION 10. PARTICIPATION IN UNDERWRITTEN REGISTRATIONS

         No Holder may participate in any Underwritten Registration hereunder
unless such Holder (a) agrees to sell such Holder's Transfer Restricted
Securities on the basis provided in any underwriting arrangements approved by
the Persons entitled hereunder to approve such arrangements and (b) completes
and executes all reasonable questionnaires, powers of attorney, indemnities,
underwriting agreements, lock-up letters and other documents required under the
terms of such underwriting arrangements.

                                       18
<PAGE>

SECTION 11. SELECTION OF UNDERWRITERS

         The Holders of Transfer Restricted Securities covered by the Shelf
Registration Statement who desire to do so may sell such Transfer Restricted
Securities in an Underwritten Offering. In any such Underwritten Offering, the
investment banker or investment bankers and manager or managers that will
administer the offering will be selected by the Holders of a majority in
aggregate principal amount of the Transfer Restricted Securities included in
such offering; provided that such investment bankers and managers must be
reasonably satisfactory to the Company.

SECTION 12. MISCELLANEOUS

         (a)      Remedies. The Company and the Guarantors acknowledge and agree
that any failure by the Company to comply with its obligations under Sections 3
and 4 hereof may result in material irreparable injury to the Purchasers or
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 Purchasers or any Holder may obtain such relief as may
be required to specifically enforce the Company's obligations under Sections 3
and 4 hereof. The Company and the Guarantors further agree to waive the defense
in any action for specific performance that a remedy at law would be adequate.

         (b)      No Inconsistent Agreements. The Company will not, on or after
the date of this Agreement, enter into any agreement with respect to its
securities that is inconsistent with the rights granted to the Holders in this
Agreement or otherwise conflicts with the provisions hereof. The rights granted
to the Holders hereunder do not in any way conflict with and are not
inconsistent with the rights granted to the holders of the Company's securities
under any agreement in effect on the date hereof.

         (c)      Adjustments Affecting the Notes or Exchange Notes. The Company
will not take any action, or permit any change to occur, with respect to the
Notes or the Exchange Notes that would materially and adversely affect the
ability of the Holders to Consummate any Exchange Offer.

         (d)      Amendments and Waivers. The provisions of this Agreement may
not be amended, modified or supplemented, and waivers or consents to or
departures from the provisions hereof may not be given unless (i) in the case of
Section 5 hereof and this Section 12(d)(i), the Company has obtained the written
consent of Holders of all outstanding Transfer Restricted Securities and (ii) in
the case of all other provisions hereof, the Company has obtained the written
consent of Holders of a majority of the outstanding principal amount of Transfer
Restricted Securities (excluding Transfer Restricted Securities held by the
Company or its Affiliates). Notwithstanding the foregoing, a waiver or consent
to departure from the provisions hereof that relates exclusively to the rights
of Holders whose Transfer Restricted Securities are being tendered pursuant to
the Exchange Offer and that does not affect directly or indirectly the rights of
other Holders whose Transfer Restricted Securities are not being tendered
pursuant to such Exchange Offer may be given by the Holders of a majority of the
outstanding principal amount of Transfer Restricted Securities subject to such
Exchange Offer.

                                       19
<PAGE>

         (e)      Third Party Beneficiary. The Holders shall be third party
beneficiaries to the agreements made hereunder between the Company, on the one
hand, and the Purchasers, on the other hand, and shall have the right to enforce
such agreements directly to the extent they may deem such enforcement necessary
or advisable to protect its rights or the rights of Holders hereunder.

         (f)      Notices. All notices and other communications provided for or
permitted hereunder shall be made in writing by hand-delivery, first-class mail
(registered or certified, return receipt requested), telex, telecopier, or air
courier guaranteeing overnight delivery:

                  (i)      if to a Holder, at the address set forth on the
         records of the Registrar under the Indenture, with a copy to the
         Registrar under the Indenture; and

                  (ii)     if to the Company or the Guarantors:

                                            EchoStar DBS Corporation
                                            5701 South Santa Fe Drive
                                            Littleton, Colorado 80120
                                            Telecopier No.: (303) 723-1699
                                            Attention: David K. Moskowitz, Esq.

                                    With a copy to:

                                            Sullivan & Cromwell LLP
                                            1870 Embarcadero Road
                                            Palo Alto, California 94303

                                            Telecopier No.: (650) 461-5600
                                            Attention: Scott D. Miller, Esq.

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

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

         (g)      Successors and Assigns. This Agreement shall inure to the
benefit of and be binding upon the successors and assigns of each of the
parties, including without limitation and without the need for an express
assignment, subsequent Holders; provided, that nothing herein shall be deemed to
permit any assignment, transfer or other disposition of Transfer Restricted
Securities in violation of the terms hereof or of the Purchase Agreement or the
Indenture. If any transferee of any Holder shall acquire Transfer Restricted
Securities in any manner, whether by operation of law or otherwise, such
Transfer Restricted Securities shall be held subject to all of the terms of this
Agreement, and by taking and holding such Transfer Restricted Securities such
Person shall be conclusively deemed to have agreed to be bound by and to perform
all of the terms and provisions of this Agreement, including the restrictions on
resale set forth in this

                                       20
<PAGE>

Agreement and, if applicable, the Purchase Agreement, and such Person shall be
entitled to receive the benefits hereof.

         (h)      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.

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

         (j)      Governing Law. THIS AGREEMENT SHALL BE GOVERNED BY AND
CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT REGARD
TO THE CONFLICT OF LAW RULES THEREOF.

         (k)      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.

         (l)      Entire Agreement. This Agreement is intended by the parties as
a final expression of their agreement and intended to be a complete and
exclusive statement of the agreement and understanding of the parties hereto in
respect of the subject matter contained herein. There are no restrictions,
promises, warranties or undertakings, other than those set forth or referred to
herein with respect to the registration rights granted with respect to the
Transfer Restricted Securities. This Agreement supersedes all prior agreements
and understandings between the parties with respect to such subject matter.

                                       21
<PAGE>

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

                            ECHOSTAR DBS CORPORATION

                            By: ________________________________________
                                Name:
                                Title:

                                       S-1
<PAGE>

                            ECHOSTAR SATELLITE CORPORATION

                            ECHOSTAR TECHNOLOGIES CORPORATION

                            ECHO ACCEPTANCE CORPORATION

                            ECHOSPHERE CORPORATION

                            DISH NETWORK SERVICE CORPORATION

                            ECHOSTAR INTERNATIONAL CORPORATION

                            as Guarantors

                            By: ________________________________________
                                Name:
                                Title:

                            BANC OF AMERICA SECURITIES LLC
                            CREDIT SUISSE FIRST BOSTON LLC

                            By: BANC OF AMERICA SECURITIES LLC

                            By: ________________________________________
                                Name:
                                Title:

                                       S-2<PAGE>
                                                                     EXHIBIT 4.5

THIS NOTE AND THE SECURITIES ISSUABLE UPON CONVERSION HEREOF HAVE NOT BEEN
REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR THE SECURITIES LAWS
OF ANY STATE, AND MAY NOT BE SOLD, OFFERED FOR SALE, ASSIGNED, PLEDGED OR
HYPOTHECATED, OR OTHERWISE TRANSFERRED OR DISPOSED OF IN THE ABSENCE OF A
REGISTRATION STATEMENT IN EFFECT WITH RESPECT TO THIS NOTE OR SUCH SECURITIES
UNDER SUCH ACT AND ANY APPLICABLE STATE SECURITIES LAWS, EXCEPT IN A TRANSACTION
THAT IS EXEMPT FROM OR NOT SUBJECT TO THE REGISTRATION REQUIREMENTS OF SUCH ACT
OR SUCH LAWS AND, IF REQUESTED BY THE COMPANY, UPON DELIVERY OF AN OPINION OF
COUNSEL REASONABLY SATISFACTORY TO THE COMPANY TO THE EFFECT THAT SUCH
TRANSACTION IS NOT REQUIRED TO BE REGISTERED UNDER SUCH ACT.

                       ECHOSTAR COMMUNICATIONS CORPORATION

                                  $500,000,000

                 CONVERTIBLE SUBORDINATED NOTE DUE JULY 21, 2010

         ECHOSTAR COMMUNICATIONS CORPORATION, a Nevada corporation (the
"Company"), for value received, hereby promises to pay to SBC COMMUNICATIONS
INC., a Delaware corporation, or its successors and permitted assigns (the
"Holder"), the principal amount of FIVE HUNDRED MILLION DOLLARS ($500,000,000),
on July 21, 2010 (the "Maturity Date") and to pay interest thereon, from July
21, 2003 or the most recent interest payment date on which interest has been
paid to the Maturity Date, semiannually on June 30 and December 31 in each year
and on the Maturity Date, commencing December 31, 2003, at the rate of 3% per
annum. The Company will pay interest on any overdue principal and on any overdue
installments of interest (without regard to any applicable grace period) at a
rate of 10%, compounded semiannually.

         Payment of the principal amount of this Note, and interest thereon,
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, by transfer to an account maintained by the Holder with a bank in the
United States of America. Terms not defined elsewhere herein are defined in
Section 9.

         This Note has been executed, issued and delivered pursuant to the
Investment Agreement, dated as of July 20, 2003 (the "Investment Agreement"),
between the Company and the Holder.

         1. Conversion. (a) The Holder shall be entitled at any time prior to
the Maturity Date (or, in the event this Note has been called for redemption or
the Holder has

<PAGE>

exercised any of its rights pursuant to Section 3 below, then (only in respect
of the principal amount to be redeemed or repurchased) until and including, but
(unless the Company defaults in making the payment due upon redemption or
repurchase, as the case may be) not after, the close of business on the second
Business Day next preceding the Redemption Date or the date of the Repurchase
Notice, as the case may be) to convert this Note as a whole, or from time to
time in part (in any principal amount that is an integral multiple of
$50,000,000 or, if less, the aggregate principal amount outstanding), into newly
issued, fully paid and nonassessable shares of Class A Common Stock, par value
$0.01 per share (the "Class A Common Stock"), of the Company at the conversion
price per share of Class A Common Stock issuable upon such conversion (each such
share, a "Conversion Share" and such price per share, the "Conversion Price") in
effect on the applicable Satisfaction Date (as herein defined), by delivering to
the Company a written notice of its election to convert this Note (a "Conversion
Notice"), specifying the principal amount to be converted. The Conversion Price
on the date of the Investment Agreement was $72.82 (the "Initial Conversion
Price"), and the Conversion Price in effect on the applicable Satisfaction Date
shall be the Initial Conversion Price as it shall have been adjusted from time
to time pursuant to Section 1(g).

         (b) In connection with any conversion:

             (i) The Company shall (A) if requested by the Holder, file or cause
         to be filed, on or prior to the twentieth day following the date of the
         Conversion Notice, or as soon thereafter as may be reasonably
         practicable, with the United States Federal Trade Commission and the
         Antitrust Division of the United States Department of Justice, all
         reports and other documents required to be filed by it under the
         Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended, and
         the rules and regulations thereunder (the "HSR Act") concerning the
         acquisition of securities pursuant to such conversion, (B) promptly
         comply with or cause to be complied with any requests by the United
         States Federal Trade Commission or the Antitrust Division of the United
         States Department of Justice for additional information, so that the
         waiting period applicable to the acquisition of securities pursuant to
         such conversion under the HSR Act shall expire as soon as reasonably
         practicable, and (C) if requested by the Holder, request early
         termination of such waiting period. Nothing in this Section 1(b)(i)
         shall be deemed to require the Company to (A) waive any rights or agree
         to any limitation on its operations or to dispose of any securities or
         assets or collection of securities or assets, or (B) incur any material
         out-of-pocket costs other than attorneys' fees and disbursements, it
         being understood that all HSR Act filing fees shall be paid by the
         Holder.

             (ii) Promptly following its receipt of the Conversion Notice and
         from time to time thereafter, the Company shall take or cause to be
         taken all reasonable actions, and shall do or cause to be done, and
         shall assist and cooperate with the Holder in doing, all things
         reasonably necessary to effect the conversion in the most expeditious
         manner practicable, including attempting to obtain all necessary

                                       2
<PAGE>

         actions or non-actions, waivers, consents and approvals from
         Governmental Authorities and the making of any necessary registrations
         and filings (including filings with Governmental Authorities, if any)
         and the taking of all reasonable steps as may be necessary to obtain an
         approval or waiver from, or to avoid any action or proceeding by, any
         Governmental Authority. Nothing in this Section 1(b)(ii) shall be
         deemed to require the Company to (A) waive any rights or agree to any
         limitation on its operations or to dispose of any securities or assets
         or collection of securities or assets, or (B) incur any material
         out-of-pocket costs other than attorneys' fees and disbursements and
         any filing fees required to be paid by the Company by applicable law.

             (iii) Prior to the issuance and delivery of the Conversion Shares,
         the Company shall (A) effect and/or maintain such registrations with
         Governmental Authorities, and obtain such approvals by Governmental
         Authorities, as may be necessary under any United States federal or
         state law (including the Securities Act of 1933, as amended (the
         "Securities Act"), the Securities Exchange Act of 1934, as amended (the
         "Exchange Act") and state securities and "blue sky" laws), in each case
         to the extent necessary, and only to the extent necessary, for the
         Conversion Shares to be lawfully issued and delivered as provided
         herein and listed or qualified for quotation as contemplated by clause
         (B) of this subsection 1(b)(iii), and (B) cause the Conversion Shares
         to be qualified for quotation, subject to notice of issuance, on the
         Nasdaq Stock Market or such other inter-dealer quotation system, if
         any, on which the Class A Common Stock is then quoted or cause the
         Conversion Shares to be listed, subject to notice of issuance, on each
         national securities exchange on which the Class A Common Stock is
         listed or traded at the time of such delivery, in each case to the
         extent permitted by the rules of the Nasdaq Stock Market or such
         securities exchange, as the case may be.

             (iv) It shall be a condition precedent to the effectiveness of such
         conversion that (A) any waiting period applicable thereto under the HSR
         Act shall have elapsed or been terminated, and (B) any authorization,
         consent, order and approval of, or declaration or filing with, and any
         other waiting period imposed by, any Governmental Authority in
         connection therewith shall have been received or filed or shall have
         elapsed or been terminated, as the case may be. Not later than the
         second Business Day following the satisfaction of the foregoing
         conditions precedent (or, if no waiting period is applicable to the
         conversion under the HSR Act and no authorization, consent, order,
         approval, declaration, filing or other waiting period is required or
         imposed, then the third Business Day following the date of the
         Conversion Notice) (such second or third Business Day, as the case may
         be, the "Satisfaction Date"), the Company shall deliver to the Holder,
         upon the surrender of this Note, a certificate or certificates
         representing the Conversion Shares, registered in the name of the
         Holder or its designee and containing such legends as the Company and
         the Holder shall agree, and a replacement note identical to this Note
         but having a principal amount equal to the

                                       3
<PAGE>

         principal amount not theretofore converted, redeemed or repurchased (if
         any). Any conversion shall be deemed to have been made as of the
         applicable Satisfaction Date, and the Holder shall be treated for all
         purposes as the record holder of the Conversion Shares as of such
         Satisfaction Date.

         (c) The Company will not issue fractional Conversion Shares upon
conversion of this Note. In lieu thereof, the Company will pay an amount in cash
based upon the Daily Market Price per share of the Class A Common Stock on the
trading day prior to the Satisfaction Date or, at its option, shall round up to
the next higher whole share.

         (d) The Company shall at all times reserve and keep available, free
from preemptive rights, out of its authorized but unissued Class A Common Stock,
for the purpose of effecting the conversion of this Note, the maximum number of
shares of Class A Common Stock then issuable upon the conversion of this Note.

         (e) Except as provided in the next sentence, the Company shall pay any
and all transfer taxes, stamp taxes and similar taxes and duties that may be
payable in respect of the issue or delivery of Conversion Shares on conversion
of this Note. The Company shall not, however, be required to pay any tax or duty
which may be payable in respect of any transfer involved in the issue and
delivery of Conversion Shares in a name other than that of the Holder, and no
such issue or delivery shall be made unless and until the person requesting such
issue has paid to the Company the amount of any such tax or duty, or has
established to the satisfaction of the Company that such tax or duty has been
paid.

         (f) The Company agrees that all shares of Class A Common Stock which
may be delivered upon conversion of this Note, upon such delivery, shall have
been duly authorized and validly issued and shall be fully paid and
nonassessable (and shall be issued out of the Company's authorized but unissued
Class A Common Stock) .

         (g) The Conversion Price in effect on the date of any Conversion Notice
shall reflect any and all adjustments to the Initial Conversion Price effected
on or following the date of the Investment Agreement and on or prior to the
applicable Satisfaction Date, in accordance with the following provisions:

             (i) In case the Company shall (1) pay a dividend in shares of Class
         A Common Stock to all holders of Class A Common Stock, (2) make a
         distribution in shares of Class A Common Stock to all holders of Class
         A Common Stock, (3) subdivide its outstanding shares of Class A Common
         Stock into a greater number of shares of Class A Common Stock or (4)
         combine its outstanding shares of Class A Common Stock into a smaller
         number of shares of Class A Common Stock, the Conversion Price in
         effect immediately prior to such action shall be adjusted so that the
         Holder shall upon the conversion of this Note be entitled to receive
         the number of shares of Class A Common Stock which the Holder would
         have owned immediately following such action had the Note been
         converted immediately prior thereto. Any adjustment made pursuant to
         this

                                       4
<PAGE>

         subsection 1(g)(i) shall become effective immediately after the record
         date in the case of a dividend or distribution and shall become
         effective immediately after the effective date in the case of a
         subdivision or combination.

             (ii) In case the Company shall issue rights or warrants to all or
         substantially all holders of Class A Common Stock entitling them (for a
         period commencing no earlier than the record date for the determination
         of holders of Class A Common Stock entitled to receive such rights or
         warrants and expiring not more than 45 days after such record date) to
         subscribe for or purchase shares of Class A Common Stock (or securities
         convertible into Class A Common Stock) at a price per share less than
         the current market price (as determined pursuant to subsection
         1(g)(vi)) of the Class A Common Stock on such record date, the
         Conversion Price shall be adjusted so that the same shall equal the
         price determined by multiplying the Conversion Price in effect
         immediately prior to such record date by a fraction of which the
         numerator shall be the number of shares of Class A Common Stock
         outstanding on such record date, plus the number of shares of Class A
         Common Stock which the aggregate offering price of the offered shares
         of Class A Common Stock (or the aggregate conversion price of the
         convertible securities so offered) would purchase at such current
         market price, and of which the denominator shall be the number of
         shares of Class A Common Stock outstanding on such record date plus the
         number of additional shares of Class A Common Stock offered (or into
         which the convertible securities so offered are convertible). Such
         adjustment shall become effective immediately after such record date.

             (iii) In case the Company shall distribute to all or substantially
         all holders of Class A Common Stock shares of Capital Stock of the
         Company other than Class A Common Stock, evidences of Indebtedness or
         other assets (other than cash dividends out of current or retained
         earnings), or shall distribute to all or substantially all holders of
         Class A Common Stock, rights or warrants to subscribe for securities
         (other than those referred to in subsection 1(g)(ii)), then in each
         such case the Conversion Price shall be adjusted so that the same shall
         equal the price determined by multiplying the Conversion Price in
         effect immediately prior to the date of such distribution by a fraction
         of which the numerator shall be the current market price (determined as
         provided in subsection 1(g)(vi)) of the Class A Common Stock on the
         record date mentioned below less the then fair market value (as
         determined by the Board of Directors or a duly authorized committee
         thereof, whose determination shall be conclusive evidence of such fair
         market value and described in a Board Resolution) of the portion of
         shares of Capital Stock, evidences of Indebtedness or other assets so
         distributed in respect of, or of such rights or warrants applicable to,
         one share of Class A Common Stock, and of which the denominator shall
         be such current market price of the Class A Common Stock. Such
         adjustment shall become effective immediately after the record date for
         the determination of the holders of Class A Common Stock entitled to
         receive such distribution. Notwithstanding the foregoing, in the

                                       5
<PAGE>

         event that the Company shall distribute rights or warrants (other than
         those referred to in subsection 1(g)(ii)) ("Rights") pro rata to
         holders of Class A Common Stock, the Company may, in lieu of making any
         adjustment pursuant to this subsection 1(g)(iii), make proper provision
         so that if the applicable Satisfaction Date occurs after the record
         date for such distribution and prior to the expiration or redemption of
         the Rights the Holder shall be entitled to receive upon such
         conversion, in addition to the Conversion Shares, a number of Rights to
         be determined as follows: (i) if the Satisfaction Date occurs on or
         prior to the date for the distribution to the holders of Rights of
         separate certificates evidencing such Rights (the "Distribution Date"),
         the same number of Rights to which a holder of a number of shares of
         Class A Common Stock equal to the number of Conversion Shares is
         entitled at the Satisfaction Date in accordance with the terms and
         provisions of and applicable to the Rights; and (ii) if the
         Satisfaction Date occurs after the Distribution Date, the same number
         of Rights to which a holder of the number of shares of Class A Common
         Stock into which the principal amount of the Note so converted was
         convertible immediately prior to the Distribution Date would have been
         entitled on the Distribution Date in accordance with the terms and
         provisions of and applicable to the Rights.

             (iv) In case the Company shall, by dividend or otherwise, at any
         time distribute to all or substantially all holders of its Class A
         Common Stock cash (including any distributions of cash out of current
         or retained earnings of the Company but excluding any cash that is
         distributed as part of a distribution requiring a Conversion Price
         adjustment pursuant to subsection 1(g)(iii)) in an aggregate amount
         that, together with the sum of (x) the aggregate amount of any other
         distributions to all or substantially all holders of its Class A Common
         Stock made in cash plus (y) all Excess Payments, in each case made
         within the 12 months preceding the date fixed for determining the
         stockholders entitled to such distribution (the "Distribution Record
         Date") and in respect of which no Conversion Price adjustment pursuant
         to subsection 1(g)(iii) or 1(g)(v) or this subsection 1(g)(iv) has been
         made, exceeds 10% of the product of the current market price per share
         (determined as provided in subsection 1(g)(vi)) of the Class A Common
         Stock on the Distribution Record Date times the number of shares of
         Class A Common Stock outstanding on the Distribution Record Date
         (excluding shares held in the treasury of the Company), the Conversion
         Price shall be reduced so that the same shall equal the price
         determined by multiplying such Conversion Price in effect immediately
         prior to the effectiveness of the Conversion Price reduction
         contemplated by this subsection 1(g)(iv) by a fraction of which the
         numerator shall be the current market price per share (determined as
         provided in subsection 1(g)(vi)) of the Class A Common Stock on the
         Distribution Record Date less the amount of such cash distributions and
         Excess Payments applicable to one share (based on the pro rata portion
         of the aggregate amount of such cash distributions and Excess Payments,
         divided by the number of shares of Class A Common Stock outstanding on
         the Distribution Record Date) of Class A Common Stock and the
         denominator shall be such current market price per share

                                       6
<PAGE>

         (determined as provided in subsection 1(g)(vi)) of the Class A Common
         Stock on the Distribution Record Date, such reduction to become
         effective immediately prior to the opening of business on the day
         following the Distribution Record Date.

             (v) In case a tender offer or other negotiated transaction made by
         the Company or any Subsidiary for all or any portion of the Class A
         Common Stock shall be consummated, if an Excess Payment is made in
         respect of such tender offer or negotiated transaction and the amount
         of such Excess Payment, together with the sum of (x) the aggregate
         amount of all Excess Payments plus (y) the aggregate amount of all
         distributions to all or substantially all holders of the Class A Common
         Stock made in cash (specifically including distributions of cash out of
         current or retained earnings), in each case made within the 12 months
         preceding the date of payment of such current negotiated transaction
         consideration or expiration of such current tender offer, as the case
         may be (any such date, the "Tender Payment Date"), and as to which no
         adjustment pursuant to subsection 1(g)(iii) or 1(g)(iv) or this
         subsection 1(g)(v) has been made, exceeds 10% of the product of the
         current market price per share (determined as provided in subsection
         1(g)(vi)) of the Class A Common Stock on the Tender Payment Date times
         the number of shares of Class A Common Stock outstanding (including any
         acquired shares but excluding any shares held in the treasury of the
         Company) on the Tender Payment Date, the Conversion Price shall be
         reduced so that the same shall equal the price determined by
         multiplying such Conversion Price in effect immediately prior to the
         effectiveness of the Conversion Price reduction contemplated by this
         subsection 1(g)(v) by a fraction of which the numerator shall be the
         current market price per share (determined as provided in subsection
         1(g)(vi)) of the Class A Common Stock on the Tender Payment Date less
         the amount of such Excess Payments and such cash distributions, if any,
         applicable to one share (based on the pro rata portion of the aggregate
         amount of such Excess Payments and such cash distributions, divided by
         the number of shares of Class A Common Stock outstanding on the Tender
         Payment Date) of Class A Common Stock and the denominator shall be such
         current market price per share (determined as provided in subsection
         1(g)(vi)) of the Class A Common Stock on the Tender Payment Date, such
         reduction to become effective immediately prior to the opening of
         business on the day following the Tender Payment Date.

             (vi) The current market price per share of the Class A Common Stock
         on any date shall be deemed to be the average of the Daily Market
         Prices for the shorter of (i) ten consecutive business days ending on
         the last full trading day on the exchange or market referred to in
         determining such Daily Market Prices prior to the time of
         determination, or (ii) the period commencing on the date next
         succeeding the first public announcement of the issuance of such rights
         or such warrants or such other distribution or such negotiated
         transaction through such

                                       7
<PAGE>

         last full trading day on the exchange or market referred to in
         determining such Daily Market Prices prior to the time of
         determination.

             (vii) In any case in which this Section 1(g) shall require that an
         adjustment be made immediately following a record date and the
         applicable Satisfaction Date occurs after such record date, the Company
         may elect to defer issuing to the Holder after such record date the
         shares of Class A Common Stock and other Capital Stock of the Company
         issuable upon such conversion over and above the shares of Class A
         Common Stock and other Capital Stock of the Company issuable upon such
         conversion only on the basis of the Conversion Price prior to
         adjustment; and, in lieu of the shares the issuance of which is so
         deferred, the Company shall issue or cause its transfer agents to issue
         due bills or other appropriate evidence of the right to receive such
         shares.

             (viii) No adjustment in the Conversion Price shall be required
         until cumulative adjustments amount to 1% or more of the Conversion
         Price as last adjusted; provided, however, that any adjustments which
         by reason of this subsection 1(g)(viii) are not required to be made
         shall be carried forward and taken into account in any subsequent
         adjustment. All calculations under this Section 1(g) shall be made to
         the nearest cent or to the nearest one-hundredth of a share, as the
         case may be. No adjustment need be made for rights to purchase Class A
         Common Stock pursuant to a Company plan for reinvestment of dividends
         or interest. No adjustment need be made for a change in the par value
         or no par value of the Class A Common Stock.

             (ix) In the event that, as a result of an adjustment made pursuant
         to this Section 1(g), the Holder shall become entitled to receive any
         shares of Capital Stock of the Company other than shares of Class A
         Common Stock, thereafter the Conversion Price of such other shares so
         receivable upon conversion of the Note shall be subject to adjustment
         from time to time in a manner and on terms as nearly equivalent as
         practicable to the provisions with respect to Class A Common Stock
         contained in this Section 1(g). In the event that shares of Class A
         Common Stock are not delivered after the expiration of any of the
         rights or warrants referred to in subsection 1(g)(ii) and subsection
         1(g)(iii), the Conversion Price shall be readjusted to the Conversion
         Price which would otherwise be in effect had the adjustment made upon
         the issuance of such rights or warrants been made on the basis of
         delivery of only the number of shares of Class A Common Stock actually
         delivered.

             (x) The Company may make such reductions in the Conversion Price,
         in addition to those required by this Section 1(g), as it determines to
         be advisable in order that any stock dividend, subdivision of shares,
         distribution or rights to purchase stock or securities or distribution
         of securities convertible into or exchangeable for stock made by the
         Company to its stockholders will not be taxable to the recipients
         thereof.

                                       8
<PAGE>

             (xi) Whenever the Conversion Price is adjusted, the Company shall
         promptly mail to the Holder at the address set forth herein a notice of
         the adjustment briefly stating the facts requiring the adjustment and
         the manner of computing it.

         (h) In the event that:

             (i) the Company takes any action which would require an adjustment
         to the Conversion Price;

             (ii) the Company takes any action that would require a supplemental
         agreement pursuant to Section 1(i); or

             (iii) there is a dissolution or liquidation of the Company;

the Holder may wish to convert this Note into shares of Class A Common Stock
prior to the record date for or the effective date of the transaction so that
the Holder may receive the rights, warrants, securities or assets which a holder
of shares of Class A Common Stock on that date may receive. Therefore, the
Company shall mail to the Holder a notice stating the proposed record or
effective date, as the case may be. The Company shall mail the notice at least
15 days before such date; however, failure to mail such notice or any defect
therein shall not affect the validity of any transaction referred to in clauses
(i), (ii) or (iii) of this Section 1(h).

         (i) If any of the following shall occur, namely: (A) any
reclassification or change in the Class A Common Stock issuable upon conversion
of this Note (other than a change in par value, or from par value to no par
value, or from no par value to par value, or as a result of a subdivision or
combination), (B) any consolidation or merger to which the Company is a party,
other than a merger in which the Company is the continuing corporation and which
does not result in any reclassification of, or change (other than a change in
name, or par value, or from par value to no par value, or from no par value to
par value or as a result of a subdivision or combination) in, the Class A Common
Stock or (C) any sale, assignment, transfer, lease, conveyance or other
disposition of all or substantially all of the properties or assets of the
Company and its Subsidiaries (taken as a whole), then the Company, or such
successor or transferee, as the case may be, shall, as a condition precedent to
such reclassification, change, consolidation, merger, sale, assignment,
transfer, lease, conveyance or other disposition, execute and deliver an
agreement to the Holder in form reasonably satisfactory to the Holder providing
that the Holder shall have the right to convert this Note into the kind and
amount of shares of stock and other securities and property (including cash)
receivable upon such reclassification, change, consolidation, merger, sale,
assignment, transfer, lease, conveyance or other disposition by a holder of the
number of shares of Class A Common Stock deliverable upon conversion of this
Note immediately prior to such reclassification, change, consolidation, merger,
sale, assignment, transfer, lease, conveyance or other disposition. Such
agreement shall provide for adjustments of the Conversion Price which

                                       9
<PAGE>

shall be as nearly equivalent as may be practicable to the adjustments of the
Conversion Price provided for in Section 1(g).

         The foregoing, however, shall not in any way affect the right the
Holder may otherwise have, pursuant to Section 1(g)(iii), to receive Rights upon
conversion of this Note. If, in the case of any such consolidation, merger,
sale, assignment, transfer, lease, conveyance or other disposition, the stock or
other securities and property (including cash) receivable thereupon by a holder
of Class A Common Stock includes shares of stock or other securities and
property of a business entity other than the successor or transferee, as the
case may be, in such consolidation, merger, sale, assignment, transfer, lease,
conveyance or other disposition, then such supplemental agreement shall also be
executed by such other business entity and shall contain such additional
provisions to protect the interests of the Holder as the Board of Directors
shall reasonably consider necessary by reason of the foregoing. The provision of
this Section 1(i) shall similarly apply to successive consolidations, mergers,
sales, assignments, transfers, leases, conveyances or other dispositions. In the
event the Company shall execute a supplemental agreement pursuant to this
Section 1(i), the Company shall promptly deliver to the Holder of the Note an
Officers' Certificate briefly stating the reasons therefor, the kind or amount
of shares of stock or securities or property (including cash) receivable by the
Holder upon the conversion of this Note after any such reclassification, change,
consolidation, merger, sale, assignment, transfer, lease, conveyance or other
disposition and any adjustment to be made with respect thereto.

         2. Redemption. Prior to July 21, 2008, this Note shall not be
redeemable at the Company's option. Beginning on July 21, 2008, the Company, at
its option, shall be entitled to redeem this Note for cash at any time, as a
whole, or from time to time in part (in any principal amount that is an integral
multiple of not less than $50,000,000 or, if less, the aggregate principal
amount outstanding), on the Redemption Date (as herein defined), at a price
equal to 100% of the principal amount to be redeemed, together with accrued but
unpaid interest thereon through the Redemption Date (if any) (the "Redemption
Price"); provided that the Company shall not be entitled to redeem this Note to
the extent that the Holder shall have duly delivered to the Company, on or prior
to the close of business on the second Business Day next preceding the
Redemption Date, a Conversion Notice relating to all or a portion of the
principal amount hereof. Not fewer than 30 nor more than 60 days prior to the
date on which redemption is to be effected (such date, the "Redemption Date"),
the Company shall provide the Holder with written notice (a "Redemption Notice")
of the Redemption Date and the principal amount to be redeemed, and this Note
shall thereupon be due and payable at the Redemption Price at 3:00 p.m., Central
time, on the Redemption Date, to the extent of the principal amount to be
redeemed, except to the extent that the Holder shall have so delivered such a
Conversion Notice. On the Redemption Date, the Company shall pay to the Holder,
by transfer to an account maintained by the Holder with a bank in the United
States of America specified to the Company in writing not fewer than five
Business Days prior to the Redemption Date, the Redemption Price in respect of
the principal amount to be redeemed and, in the case of a redemption in part,
shall execute, issue and deliver to the

                                       10
<PAGE>

Holder a replacement note identical to this Note but having a principal amount
equal to the principal amount hereof not theretofore converted, redeemed or
repurchased. Upon the Holder's receipt of the Redemption Price (and, in the case
of a redemption in part, such replacement note), this Note shall be deemed to be
cancelled, and the Holder shall thereafter send this Note to the Company.

         3. Repurchase Rights. (a) At any time following any Repurchase Trigger
Date, the Holder, at its option, shall be entitled to require the Company to
repurchase this Note, as a whole, or from time to time in part (in any principal
amount that is an integral multiple of $50,000,000 or, if less, the aggregate
principal amount outstanding), at a price equal to 100% of the principal amount
to be repurchased, together with accrued but unpaid interest thereon through the
Repurchase Date (if any) (the "Repurchase Price"), by delivering to the Company
a written notice (a "Repurchase Notice") of the exercise of its rights pursuant
to this Section 3 specifying the principal amount to be repurchased. Prior to
July 21, 2008, the Repurchase Notice shall be delivered not more than 60 days
following the Holder's receipt of the Company Change in Control Notice (as
herein defined). Upon delivery of the Repurchase Notice, this Note shall be due
and payable at 3:00 p.m., Central time, on the 40th day following the date of
the Repurchase Notice (the "Repurchase Date"), to the extent of the principal
amount to be repurchased. On the Repurchase Date, the Company shall pay to the
Holder, by transfer to an account maintained by the Holder with a bank in the
United State of America specified to the Company in writing not fewer than five
Business Days prior to the Repurchase Date, the Repurchase Price in respect of
the principal amount to be repurchased and, in the case of a repurchase in part,
shall execute, issue and deliver to the Holder a replacement note identical to
this Note but having a principal amount equal to the principal amount hereof not
theretofore converted, redeemed or repurchased. Upon the Holder's receipt of the
Repurchase Price (and, in the case of a repurchase in part, such replacement
note), this Note shall be deemed to be cancelled, and the Holder shall send this
Note to the Company.

         (b) Not later than 40 days following the occurrence of a Company Change
in Control, the Company shall deliver to the Holder a written notice (a "Company
Change in Control Notice") stating that a Company Change in Control has
occurred.

         4. Covenants. The Company covenants and agrees with the Holder that:

         (a) The Company shall duly and punctually pay the principal of and
interest on this Note in accordance herewith, and perform and discharge its
other obligations pursuant hereto.

         (b) Subject to Section 5, to the extent permitted by law, the Company
shall do or cause to be done all things necessary to preserve and keep in full
force and effect its corporate existence and the corporate, partnership or other
existence of each Subsidiary of the Company in accordance with the respective
organizational documents of each Subsidiary and the rights (charter and
statutory), licenses and franchises of the Company;

                                       11
<PAGE>

provided, however, that the Company shall not be required to preserve any such
right, license or franchise, or the corporate, partnership or other existence of
any Subsidiary, if the Company shall determine that the preservation thereof is
no longer desirable in the conduct of the business of the Company and its
Subsidiaries taken as a whole.

         5. Consolidation, Merger, Etc. The Company shall not sell, assign,
transfer, lease, convey or otherwise dispose of all or substantially all of the
properties or assets of the Company and its Subsidiaries (taken as a whole) in
one or more related transactions to another corporation, Person or entity
unless:

         (a) the entity or Person to which such sale, assignment, transfer,
lease, conveyance or other disposition shall have been made is a corporation
organized or existing under the laws of the United States, any state thereof or
the District of Columbia;

         (b) the entity or Person to which such sale, assignment, transfer,
lease, conveyance or other disposition will have been made assumes all the
obligations of the Company under this Note, including the conversion and
repurchase rights provided herein, pursuant to an agreement in form and
substance reasonably satisfactory to the Holder; and

         (c) immediately after such transaction no Default or Event of Default
shall exist.

Upon any consolidation or merger, or any sale, assignment, transfer, lease,
conveyance or other disposition of all or substantially all of the properties or
assets of the Company and its Subsidiaries (taken as a whole) in accordance with
Section 5, the successor corporation formed by such consolidation or into which
the Company is merged or to which such sale, assignment, transfer, lease,
conveyance or other disposition is made shall succeed to, and be substituted for
and may exercise every right and power of, the Company under this Note with the
same effect as if such successor has been named as the Company herein; provided
that the Company, as predecessor in the case of any sale, assignment, transfer,
lease, conveyance or other disposition shall not be released from the obligation
to pay the principal of and interest on this Note.

         6.  Events of Default. (a) An "Event of Default" shall occur if:

             (i) the Company defaults in the payment of any amount due and
         payable on this Note when the same becomes due and payable at the
         Maturity Date, any interest payment date, any Redemption Date or
         Repurchase Date or otherwise; provided that no Event of Default shall
         occur with respect to a default in the payment of interest on this Note
         unless such default shall continue for a period of 30 days after the
         date such interest payment is due and payable;

             (ii) the Company fails to observe or perform for a period of 30
         days after written notice from the Holder to the Company stating that
         such notice is a

                                       12
<PAGE>

         "Notice of Default" any covenant or agreement contained in Section 3(b)
         or Section 5;

             (iii) the Company fails to observe or perform any other covenant or
         agreement contained in this Note, required by it to be performed (other
         than the covenant to duly and punctually pay the principal of and
         interest on this Note) and such Default continues for a period of 60
         days after written notice from the Holder to the Company stating that
         such notice is a "Notice of Default";

             (iv) the Company or any of its Significant Subsidiaries defaults
         under any mortgage, indenture, agreement or instrument under which
         there may be issued or by which there may be secured or evidenced any
         Indebtedness for money borrowed by the Company or any of its
         Significant Subsidiaries, which Indebtedness has been either (A)
         offered or sold through a public offering or resold to qualified
         institutional buyers pursuant to Rule 144A under the Securities Act, or
         (B) incurred in connection with the Company's main unsecured revolving
         credit facility (if any), whether, in any such case described by clause
         (A) or (B), such Indebtedness now exists or is created after the
         issuance of this Note, and which default:

                  (A) is caused by a failure to pay when due principal of or
                      interest on such Indebtedness within the grace period
                      provided for in such Indebtedness (which failure continues
                      beyond any applicable grace period) (a "Payment Default");
                      or

                  (B) results in the acceleration of such Indebtedness prior to
                      its express maturity and, in each case, the principal
                      amount of any such Indebtedness, together with the
                      principal amount of any other such Indebtedness described
                      in this subsection 6(iv) under which there is a Payment
                      Default or the maturity of which has been so accelerated,
                      aggregates $100 million or more;

             (v) the Company or any of its Subsidiaries that is a Significant
         Subsidiary or any group of two or more Subsidiaries that, taken as a
         whole, would constitute a Significant Subsidiary pursuant to or within
         the meaning of any Bankruptcy Law:

                  (A) commences a voluntary case;

                  (B) consents to the entry of an order for relief against it in
                      an involuntary case in which it is the debtor;

                  (C) consents to the appointment of a Custodian of it or for
                      all or substantially all of its property;

                                       13
<PAGE>

                  (D) makes a general assignment for the benefit of its
                      creditors; or

                  (E) generally is unable to pay its debts as the same become
                      due; or

             (vi) a court of competent jurisdiction enters an order or decree
         under any Bankruptcy Law that:

                  (A) is for relief against the Company or any of its
                      Subsidiaries that is a Significant Subsidiary or any group
                      of two or more Subsidiaries that, taken as a whole, would
                      constitute a Significant Subsidiary in an involuntary
                      case;

                  (B) appoints a Custodian of the Company or any of its
                      Subsidiaries that is a Significant Subsidiary or any group
                      of two or more Subsidiaries that, taken as a whole, would
                      constitute a Significant Subsidiary or for all or
                      substantially all of its property; or

                  (C) orders the liquidation of the Company or any of its
                      Subsidiaries that is a Significant Subsidiary or any group
                      of two or more Subsidiaries that, taken as a whole, would
                      constitute a Significant Subsidiary, and the order or
                      decree remains unstayed and in effect for 60 days.

         (b) If an Event of Default (other than an Event of Default specified in
clauses (v) or (vi) of Section 6(a)) occurs and is continuing, the Holder may
declare the principal amount of this Note together with accrued but unpaid
interest thereon (if any) to be due and payable immediately. If an Event of
Default specified in clauses (v) or (vi) of Section 6(a) occurs, such an amount
shall ipso facto become and be immediately due and payable without any other act
on the part of the Holder. If this Note shall have been declared due and payable
as a result of the acceleration of Indebtedness prior to its Maturity Date
pursuant to subsection 6(a)(iv)(B), such declaration shall be automatically
rescinded if the acceleration of such Indebtedness has been rescinded or
annulled within 30 days after such acceleration in accordance with the mortgage,
indenture or instrument under which it was issued and (A) such rescission would
not conflict with any judgment or decree of a court of competent jurisdiction
and (B) if all existing Events of Default have been cured or waived except
nonpayment of the principal amount of or interest on this Note that has become
due solely because of the acceleration of this Note.

         (c) If an Event of Default occurs and is continuing, the Holder may
pursue any available remedy to collect the payment of the principal amount on
this Note or to enforce the performance of any provision of this Note. A delay
or omission by the Holder in exercising any right or remedy accruing upon an
Event of Default shall not impair the right or remedy or constitute a waiver of
or acquiescence in the Event of Default. All remedies are cumulative to the
extent permitted by law.

                                       14
<PAGE>

         (d) The Holder may waive an existing Default or Event of Default and
its consequences. When a Default or Event of Default is waived, it is cured and
ceases, except as set forth in such waiver; but no such waiver shall extend to
any subsequent or other Default or impair any right consequent thereon.

         7. Subordination.

         (a) Agreement To Subordinate and Ranking. The Company, for itself and
its successors, and the Holder, by its acceptance of this Note, agree that the
payment of the principal of or interest on or any other amounts due on this Note
is subordinated in right and priority of payment, to the extent and in the
manner stated in this Section 7, to the prior payment in full of all existing
and future Senior Debt. This Note shall rank pari passu with, and shall not be
senior in right of payment to such other Indebtedness of the Company whether
outstanding on the date of issuance of this Note or hereafter created, incurred,
issued or guaranteed by the Company, whenever the instrument creating or
evidencing such Indebtedness expressly provides that such Indebtedness ranks
pari passu with this Note. The Notes shall rank pari passu with the 1999
Convertible Notes and the 2001 Convertible Notes.

         (b) No Payment On Note If Senior Debt In Default. Anything in this Note
to the contrary notwithstanding, no payment on account of principal of or
redemption of, interest on or other amounts due on this Note, and no redemption,
repurchase, or other acquisition of this Note, shall be made by or on behalf of
the Company (i) unless full payment of amounts then due for principal and
interest and of all other amounts then due on all Senior Debt has been made or
duly provided for pursuant to the terms of the instrument governing such Senior
Debt, (ii) if, at the time of such payment, redemption, repurchase or other
acquisition, or immediately after giving effect thereto, there shall exist under
any Senior Debt, or any agreement pursuant to which any Senior Debt is issued,
any default, which default shall not have been cured or waived and which default
shall have resulted in the full amount of such Senior Debt being declared due
and payable or (iii) if, at the time of such payment, redemption, repurchase or
other acquisition, the Holder shall have received written notice from any of the
holders of Senior Debt or such holder's representative (a "Payment Blockage
Notice") that there exists under such Senior Debt, or any agreement pursuant to
which such Senior Debt is issued, any default, which default shall not have been
cured or waived, permitting the holders thereof to declare any amounts of such
Senior Debt due and payable, but only for the period (the "Payment Blockage
Period") commencing on the date of receipt of the Payment Blockage Notice and
ending (unless earlier terminated by notice given to the Holder by the holders
of such Senior Debt) on the earlier of (a) the date on which such event of
default shall have been cured or waived or (b) 180 days from the receipt of the
Payment Blockage Notice. Upon termination of the Payment Blockage Period,
payments on account of principal of or interest on this Note (other than,
subject to subsection 7(c) hereof, amounts due and payable by reason of the
acceleration of the maturity of this Note) and redemptions, repurchases or other
acquisitions may be made by or on behalf of the Company. Notwithstanding
anything herein to the contrary, (x) only one Payment

                                       15
<PAGE>

Blockage Notice may be given during any period of 360 consecutive days with
respect to the same event of default or any other events of default on the same
issue of Senior Debt existing and known to the Person giving such notice at the
time of such notice unless such event of default or such other events of default
have been cured or waived for a period of not less than 90 consecutive days and
(y) no new Payment Blockage Period may be commenced by the holder or holders of
the same issue of Senior Debt or their representative or representatives during
any period of 360 consecutive days unless all events of default which were the
object of the immediately preceding Payment Blockage Notice, and any other event
of default on the same issue of Senior Debt existing and known to the Person
giving such notice at the time of such notice, have been cured or waived.

         In the event that, notwithstanding the provisions of this subsection
7(b), payments are made by or on behalf of the Company in contravention of the
provisions of this subsection 7(b), such payments shall be held by the Holder in
trust for the benefit of, and shall be paid over to and delivered to, the
holders of Senior Debt or their representative or the trustee under the
indenture or other agreement (if any), pursuant to which any instruments
evidencing any Senior Debt may have been issued for application to the payment
of all Senior Debt ratably according to the aggregate amounts remaining unpaid
to the extent necessary to pay all Senior Debt in full in accordance with the
terms of such Senior Debt, after giving effect to any concurrent payment or
distribution to or for the holders of Senior Debt.

         The Company shall give prompt written notice to the Holder of any
default or event of default under any Senior Debt or under any agreement
pursuant to which any Senior Debt may have been issued.

         (c) Distribution On Acceleration Of Note; Dissolution and
Reorganization; Subrogation Of Note.

             (i) If this Note is declared due and payable because of the
         occurrence of an Event of Default, the Company shall give prompt
         written notice to the holders of all Senior Debt or to the trustee(s)
         for such Senior Debt of such acceleration. The Company may not pay the
         principal of or interest on or any other amounts due on this Note until
         five days after such holders or trustee(s) of Senior Debt receive such
         notice and, thereafter, the Company may pay the principal of or
         interest on or any other amounts due on this Note only if the
         provisions of this Section 7 permit such payment.

             (ii) Upon (A) any acceleration of the principal amount due on this
         Note because of an Event of Default or (B) any distribution of assets
         of the Company upon any dissolution, winding up, liquidation or
         reorganization of the Company (whether in bankruptcy, insolvency or
         receivership proceedings or upon an assignment for the benefit of
         creditors or any other dissolution, winding up, liquidation or
         reorganization of the Company):

                                       16
<PAGE>

                  (A) the holders of all Senior Debt shall first be entitled to
                      receive payment in full of the principal thereof, the
                      interest thereon and any other amounts due thereon before
                      the Holder is entitled to receive payment on account of
                      the principal of or interest on or any other amounts due
                      on this Note;

                  (B) any payment or distribution of assets of the Company of
                      any kind or character, whether in cash, property or
                      securities (other than securities of the Company as
                      reorganized or readjusted or securities of the Company or
                      any other corporation provided for by a plan of
                      reorganization or readjustment the payment of which is
                      subordinate, at least to the extent provided in this
                      Section 7 with respect to the Note, to the payment in full
                      without diminution or modification by such plan of all
                      Senior Debt), to which the Holder would be entitled except
                      for the provisions of this Section 7, shall be paid by the
                      liquidating trustee or agent or other Person making such a
                      payment or distribution, directly to the holders of Senior
                      Debt (or their representatives(s) or trustee(s) acting on
                      their behalf), ratably according to the aggregate amounts
                      remaining unpaid on account of the principal of or
                      interest on and other amounts due on the Senior Debt held
                      or represented by each, to the extent necessary to make
                      payment in full of all Senior Debt remaining unpaid, after
                      giving effect to any concurrent payment or distribution to
                      the holders of such Senior Debt; and

                  (C) in the event that, notwithstanding the foregoing, any
                      payment or distribution of assets of the Company of any
                      kind or character, whether in cash, property or securities
                      (other than securities of the Company as reorganized or
                      readjusted, or securities of the Company or any other
                      corporation provided for by a plan of reorganization or
                      readjustment the payment of which is subordinate, at least
                      to the extent provided in this Section 7 with respect to
                      the Note, to the payment in full without diminution or
                      modification by such plan of Senior Debt), shall be
                      received by the Holder before all Senior Debt is paid in
                      full, such payment or distribution shall be held in trust
                      for the benefit of, and be paid over to upon request by a
                      holder of the Senior Debt, the holders of the Senior Debt
                      remaining unpaid (or their representatives) or trustee(s)
                      acting on their behalf, ratably as aforesaid, for
                      application to the payment of such Senior Debt until all
                      such Senior Debt shall have been paid in full, after
                      giving effect to any

                                       17
<PAGE>

                      concurrent payment or distribution to the holders of such
                      Senior Debt.

             Subject to the payment in full of all Senior Debt, the Holder shall
         be subrogated to the rights of the holders of Senior Debt to receive
         payments or distributions of cash, property or securities of the
         Company applicable to the Senior Debt until the principal of and
         interest on this Note shall be paid in full and, for purposes of such
         subrogation, no such payments or distributions to the holders of Senior
         Debt of cash, property or securities which otherwise would have been
         payable or distributable to the Holder shall, as between the Company,
         its creditors other than the holders of Senior Debt, and the Holder, be
         deemed to be a payment by the Company to or on account of the Senior
         Debt, it being understood that the provisions of this Section 7 are and
         are intended solely for the purpose of defining the relative rights of
         the Holder, on the one hand, and the holders of Senior Debt, on the
         other hand.

             Nothing contained in this Section 7 or elsewhere in this Note is
         intended to or shall (i) impair, as between the Company and its
         creditors other than the holders of Senior Debt, the obligation of the
         Company, which is absolute and unconditional, to pay to the Holder the
         principal of and interest on this Note as and when the same shall
         become due and payable in accordance with the terms of this Note, (ii)
         affect the relative rights of the Holder and creditors of the Company
         other than holders of Senior Debt or, as between the Company and the
         Holder, the obligations of the Company to the Holder, or (iii) prevent
         the Holder from exercising all remedies otherwise permitted by
         applicable law upon default under this Note, subject to the rights, if
         any, under this Section 7 of the holders of Senior Debt in respect of
         cash, property and securities of the Company received upon the exercise
         of any such remedy.

             Upon distribution of assets of the Company referred to in this
         Section 7, the Holder shall be entitled to rely upon a certificate of
         the liquidating trustee or agent or other Person making any
         distribution to the Holder for the purpose of ascertaining the Persons
         entitled to participate in such distribution, the holders of the Senior
         Debt and other indebtedness of the Company, the amount thereof or
         payable thereon, the amount or amounts paid or distributed thereon and
         all other facts pertinent thereto or to this Section 7. The Holder,
         however, shall not be deemed to owe any fiduciary duty to the holders
         of Senior Debt.

             (iii) The provisions of this Section 7 shall not be applicable to
         any cash, properties or securities received by the Holder when received
         as a holder of Senior Debt and nothing in this Section 7 or elsewhere
         in this Note shall deprive the Holder of any of its rights as such a
         holder.

             (iv) The Company shall give prompt written notice to the Holder of
         any fact known to the Company which would prohibit the making by the

                                       18
<PAGE>

         Company of any payment of money to the Holder in respect of the Note
         pursuant to the provisions of this Section 7.

             The Holder shall be entitled to rely on the delivery to it of a
         written notice by a Person representing himself or itself to be a
         holder of Senior Debt (or a trustee on behalf of such holder) to
         establish that such notice has been given by a holder of Senior Debt
         (or a trustee on behalf of any such holder or holders). In the event
         that the Holder determines in good faith that further evidence is
         required with respect to the right of any Person as a holder of Senior
         Debt to participate in any payment or distribution pursuant to this
         Section 7, the Holder may request such Person to furnish evidence to
         the reasonable satisfaction of the Holder as to the amount of Senior
         Debt held by such Person, the extent to which such Person is entitled
         to participate in such payment or distribution and any other facts
         pertinent to the rights of such Person under this Section 7, and, if
         such evidence is not furnished, the Holder may defer any payment to
         such Person pending judicial determination as to the right of such
         Person to receive such payment.

         (d) Reliance By Senior Debt On Subordination Provisions. The Holder, by
his acceptance of this Note, acknowledges and agrees that the foregoing
subordination provisions are, and are intended to be, an inducement and a
consideration for each holder of any Senior Debt, whether such Senior Debt was
created or acquired before or after the issuance of this Note, to acquire and
continue to hold, or to continue to hold, such Senior Debt, and such holder of
Senior Debt shall be deemed conclusively to have relied on such subordination
provisions in acquiring and continuing to hold, or in continuing to hold, such
Senior Debt. Notice of any default in the payment of any Senior Debt, except as
expressly stated in this Section 7, and notice of acceptance of the provisions
hereof are hereby expressly waived. Except as otherwise expressly provided
herein, no waiver, forbearance or release by any holder of Senior Debt under
such Senior Debt or under this Section 7 shall constitute a release of any of
the obligations or liabilities of the Holder provided in this Section 7.

         (e) No Waiver Of Subordination Provisions. Except as otherwise
expressly provided herein, no right of any present or future holder of any
Senior Debt to enforce subordination as herein provided shall at any time in any
way be prejudiced or impaired by any act or failure to act on the part of the
Company or by any act or failure to act, in good faith, by any such holder, or
by any noncompliance by the Company with the terms, provisions and covenants of
this Note, regardless of any knowledge thereof any such holder may have or be
otherwise charged with.

         Without in any way limiting the generality of the foregoing paragraph,
the holders of Senior Debt may, at any time and from time to time, without the
consent of, or notice to, the Holder, without incurring responsibility to the
Holder and without impairing or releasing the subordination provided in this
Section 7 or the obligations hereunder of the Holder to the holders of Senior
Debt, do any one or more of the following: (i) change the manner, place or terms
of payment of, or renew or alter, Senior Debt, or otherwise amend

                                       19
<PAGE>

or supplement in any manner Senior Debt or any instrument evidencing the same or
any agreement under which Senior Debt is outstanding; (ii) sell, exchange,
release or otherwise dispose of any property pledged, mortgaged or otherwise
securing Senior Debt; (iii) release any Person liable in any manner for the
collection of Senior Debt; and (iv) exercise or refrain from exercising any
rights against the Company or any other Person.

         (f) Other Provisions Subject Hereto. Expect as expressly stated in this
Section 7, notwithstanding anything contained in this Note to the contrary, all
the provisions of this Note are subject to the provisions of this Section 7.
Notwithstanding the foregoing, the failure to make a payment on account of
principal of or interest on the Notes by reason of any provision of this Section
7 shall not be construed as preventing the occurrence of an Event of Default
under Section 6 hereof.

         8. Miscellaneous.

         (a) Absolute Obligation to Pay. No provision of this Note shall alter
or impair the obligation of the Company, which is absolute and unconditional, to
pay the principal of, and interest on, this Note at the times, places and rate,
and in the coin or currency, herein prescribed or to convert this Note as herein
provided. The Company shall not have any right to set off any payment of any
amounts payable pursuant to this Note against any payment of amounts payable to
the Holder or its Affiliates under any other agreement or instrument
(collectively, "Other Amounts"), or set off any payment of any Other Amount
against any payment of any amounts payable pursuant to this Note.

         (b) Assignment. Neither the Company nor the Holder may assign this Note
without the prior written consent of the other and any attempted assignment by
either the Company or the Holder without such written consent shall be null and
void; provided that the Holder may, at any time and without the prior consent of
the Company, assign this Note to any of the Holder's wholly-owned Subsidiaries;
and, provided, further, that upon the termination of the Commercial Agreement in
accordance with its terms, the Holder may, at any time thereafter and without
the prior written consent of the Company, assign this Note to any Person in
whole but not in part; and provided, further, that any subsequent assignee of
this Note may only transfer this Note in whole but not in part. Upon notice to
the Company of an assignment of this Note in accordance with the provisions
hereof, the Company shall recognize such assignee as the Holder of this Note for
all purposes hereof and such assignee shall be entitled to all rights,
privileges and benefits received by the Holder under the terms of this Note.

         (c) Notices. In any case where any notice, approval, agreement or other
communication is required or permitted to be given hereunder, such notice,
approval, agreement or communication shall be in writing and deemed to have been
duly given and delivered: (i) if delivered in person, on the date of such
delivery; (ii) if sent by overnight express or registered or certified mail
(with return receipt requested), on the date of receipt of such mail; or (iii)
if sent by confirmed facsimile transmission (with answer

                                       20
<PAGE>

back received), on the date of such facsimile transmission; provided that notice
is also sent on the same day by one of the methods set forth in (i) or (ii)
above. Such notice or other communication shall be sent to the following
address(es) (or such other address(es) as designated from time to time in
writing):

                 If to the Holder, to:

                 SBC Communications Inc.
                 175 Houston Street
                 San Antonio, TX  78205

                 Attn:    James S. Kahan, Senior Executive Vice President -
                          Corporate Development
                 Facsimile:  210-351-5034

                 with a copy to:

                 Senior Vice President and Assistant General Counsel - Corporate
                 Facsimile:  210-351-3257

                 and a copy (which shall not constitute notice) to:

                 Sullivan & Cromwell LLP
                 125 Broad Street
                 New York, New York 10004

                 Attn:  Joseph B. Frumkin
                 Facsimile:  212-558-3588

                 if to the Company, to:

                 Echostar Communications Corporation
                 5701 South Santa Fe Drive
                 Littleton, CO  80120

                 Attn:    David K. Moskowitz, Senior Vice President and
                          General Counsel
                 Facsimile:  303-723-1699

         (d) Governing Law; WAIVER OF JURY TRIAL.

             (i) THIS NOTE SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH
         THE LAW OF THE STATE OF NEW YORK, UNITED STATES OF AMERICA APPLICABLE
         TO CONTRACTS MADE AND TO BE PERFORMED ENTIRELY WITHIN THE STATE OF NEW

                                       21
<PAGE>

         YORK. Any suit, action or proceeding shall be brought against any of
         the Company or the Holder only in a federal court sitting in the
         Southern District of New York or New York state court situated in The
         Borough of Manhattan, The City of New York. Each of the Company and the
         Holder (by the Holder's acceptance hereof) irrevocably and
         unconditionally agrees: (A) to be subject to the jurisdiction of the
         courts of the State of New York situated in The Borough of Manhattan,
         The City of New York and of the federal courts sitting in the Southern
         District of New York and (B) (I) to the extent the Company or the
         Holder, as the case may be, is not otherwise subject to service of
         process in the State of New York, to appoint and maintain an agent in
         the State of New York as its agent for service of legal process, and
         (II) that service of process may also be made on the Company or Holder
         by prepaid certified mail with a proof of mailing receipt validated by
         the United States Postal Service constituting evidence of valid
         service, and that service made pursuant to clause (A) (I) or (II) above
         shall have the same legal force and effect as if served upon the Holder
         or the Company, as the case may be, personally within the State of New
         York. Without limiting the generality of the foregoing, each of the
         Company and the Holder (by the Holder's acceptance hereof) agrees that
         service of process at the address referred to in subsection 8(c),
         together with written notice of such service to the Company or Holder,
         as the case may be, shall be deemed effective service of process.

             (ii) EACH OF THE COMPANY AND THE HOLDER (BY ITS ACCEPTANCE HEREOF)
         ACKNOWLEDGES AND AGREES THAT ANY CONTROVERSY WHICH MAY ARISE UNDER THIS
         NOTE IS LIKELY TO INVOLVE COMPLICATED AND DIFFICULT ISSUES, AND
         THEREFORE EACH OF THE COMPANY AND THE HOLDER (BY SUCH ACCEPTANCE)
         IRREVOCABLY AND UNCONDITIONALLY WAIVES ANY RIGHT IT MAY HAVE TO A TRIAL
         BY JURY IN RESPECT OF ANY LITIGATION DIRECTLY OR INDIRECTLY ARISING OUT
         OF OR RELATING TO THIS NOTE. THE COMPANY CERTIFIES AND ACKNOWLEDGES
         THAT (A) NO REPRESENTATIVE, AGENT OR ATTORNEY OF THE HOLDER HAS
         REPRESENTED, EXPRESSLY OR OTHERWISE, THAT THE HOLDER WOULD NOT, IN THE
         EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER, (B) THE
         COMPANY UNDERSTANDS AND HAS CONSIDERED THE IMPLICATIONS OF THIS WAIVER,
         AND (C) THE COMPANY MAKES THIS WAIVER VOLUNTARILY. THE HOLDER (BY SUCH
         ACCEPTANCE) CERTIFIES AND ACKNOWLEDGES THAT (A) NO REPRESENTATIVE,
         AGENT OR ATTORNEY OF THE COMPANY HAS REPRESENTED, EXPRESSLY OR
         OTHERWISE, THAT THE COMPANY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK
         TO ENFORCE THE FOREGOING WAIVER, (B) THE HOLDER UNDERSTANDS AND HAS
         CONSIDERED THE IMPLICATIONS OF THIS WAIVER, AND (C) THE HOLDER MAKES
         THIS WAIVER VOLUNTARILY.

                                       22
<PAGE>

         (e) Amendments and Waivers. Any provision of this Note may be amended
or waived if, but only if, such amendment or waiver is in writing and is signed,
in the case of an amendment, by the Company and the Holder, or, in the case of a
waiver, by each party against whom the waiver is to be effective. No failure or
delay by the Company or the Holder in exercising any right, power or privilege
hereunder shall operate as a waiver thereof nor shall any single or partial
exercise thereof preclude any other or further exercise thereof or the exercise
of any other right, power or privilege. The rights and remedies herein provided
shall be cumulative and not exclusive of any rights or remedies provided by law.

         (f) Remedies Cumulative. Unless expressly provided otherwise herein,
all rights and remedies granted to each of the Company and the Holder under this
Note are cumulative and in addition to, and not in lieu of, any other rights or
remedies otherwise available to the Company and the Holder at law.

         (g) Severability. The provisions of this Note shall be deemed severable
and the invalidity or unenforceability of any provision shall not affect the
validity or enforceability of any other provision hereof. To the fullest extent
permitted by law, if any provision of this Note, or the application thereof to
any Person or circumstance, is invalid or unenforceable: (i) a suitable and
equitable provision shall be substituted therefor in order to carry out, so far
as may be valid and enforceable, the intent and purpose of such invalid or
unenforceable provision and (ii) the remainder of this Note and the application
of such provision to other persons, entities or circumstances shall not be
affected by such invalidity or unenforceability.

         (h) Specific Performance. The parties agree that irreparable damage may
occur if any provision of this Note were not performed in accordance with the
terms hereof and that the Holder shall be entitled to seek an injunction or
injunctions to prevent breaches of this Note or to enforce specifically the
performance of the terms and provisions in addition to any other remedy to which
the Holder is entitled at law in accordance with the terms set forth in this
Note. The Holder shall be required to post any bond, guaranty or other surety in
order to obtain any such injunction or specific performance.

         (i) Expenses; Waivers. If any action is instituted to collect or
otherwise enforce this Note, the Company promises to pay all costs and expenses,
including, without limitation, reasonable attorneys' fees and costs, incurred in
connection with such action. The Company hereby waives notice of default,
presentment or demand for payment, protest or notice of nonpayment or dishonor
and all other notices or demands relative to this instrument.

         (j) Successors and Assigns. Subject to the restrictions on assignment
described in subsection 8(b), the rights and obligations of the Company and the
Holder shall be binding upon and benefit the successors, assigns, heirs,
administrators and transferees of the parties.

                                       23
<PAGE>

         (k) Principles of Construction. In this Note, unless otherwise
expressly indicated or required by the context:

             (i) The captions herein are included for convenience of reference
         only and shall be ignored in the construction or interpretation hereof.
         This Note has been drafted jointly by the Company and the Holder and
         shall not be construed against either the Company or the Holder as a
         result of any role the Company or the Holder, respectively, may have
         had in the drafting process.

             (ii) Any reference to and the definition of any document shall be
         deemed a reference to such document as it may be amended, supplemented,
         revised, or modified, in writing, from time to time but disregarding
         any amendment, supplement, replacement or novation made in breach of
         this Note.

             (iii) Any reference in this Note to any statute, decree or
         regulation shall be construed as a reference to such statute, law,
         decree or regulation as re-enacted, redesignated, amended or extended
         from time to time and references herein or in this Note to any document
         or agreement shall be deemed to include references to such document or
         agreement as amended, varied, supplemented or replaced from time to
         time in accordance with such document's or agreement's terms.

             (iv) Defined terms in the singular shall include the plural and
         vice versa, and the masculine, feminine or neuter gender shall include
         all genders.

             (v) The words "including" or "includes" shall be deemed to mean
         "including without limitation" and "including but not limited to" (or
         "includes without limitation" and "includes but is not limited to")
         regardless of whether the words "without limitation" or "but not
         limited to" actually follow the term.

             (vi) The words "hereof," "herein" and "hereunder" and words of
         similar import when used in this Note shall refer to this Note as a
         whole and not to any particular provision hereof or thereof, as the
         case may be.

         9. Definitions. For purposes hereof:

         "1999 Convertible Notes" means the Company's 4 7/8% Convertible
Subordinated Notes due 2007.

         "2001 Convertible Notes" means the Company's 5 3/4% Convertible
Subordinated Notes due 2008.

         "Affiliate" of any Person means any other Person that directly or
indirectly controls, is controlled by or is under common control with such
specified Person.

         "Bankruptcy Law" means Title 11, U.S. Code or any similar federal,
state or foreign law for the relief of debtors or the protection of creditors.

                                       24
<PAGE>

         "Board of Directors" means the Board of Directors of the Company.

         "Board Resolution" means a duly authorized resolution of the Board of
Directors or any duly authorized committee thereof.

         "Business Day" means any day that is not a Legal Holiday.

         "Capital Stock" means any and all shares, interests, participations,
rights or other equivalents, however designated, of corporate stock, including,
without limitation, partnership interests.

         "Commercial Agreement" means that certain agreement, dated as of July
20, 2003, entered into by SBC Communications Inc., EchoStar Satellite
Corporation and the Company, relating to the provision, marketing, sale and
distribution of a co-branded digital broadcast satellite service.

         "Company Change in Control" means: (a) any transaction or series of
transactions (including, without limitation, a tender offer, merger or
consolidation) the result of which is that the Principal and his Related Parties
or an entity controlled by the Principal and his Related Parties (and not
controlled by any Person other than the Principal or his Related Parties) sell,
transfer or otherwise dispose of more than 50% of the total Equity Interests in
the Company beneficially owned (as defined in Rule 13(d) (3) under the Exchange
Act but without including any Equity Interests which may be deemed to be owned
solely by reason of the existence of any voting arrangements), by such persons
on the date of issuance of this Note (as adjusted for stock splits and dividends
and other distributions payable in Equity Interests); or (b) the first day on
which a majority of the members of the Board of Directors of the Company are not
Continuing Directors.

         "Continuing Directors" means, as of any date of determination, any
member of the Board of Directors who: (a) was a member of such Board of
Directors on the date of issuance of this Note; or (b) was nominated for
election or elected to the Board of Directors with the affirmative vote of a
majority of the Continuing Directors who were members of the Board of Directors
at the time of such nomination or election or was nominated for election or
elected by the Principal and his Related Parties.

         "Custodian" means any receiver, trustee, assignee, liquidator or
similar official under any Bankruptcy Law.

         "Daily Market Price" means the price of a share of Class A Common Stock
on the relevant date, determined: (a) on the basis of the last reported sale
price regular way of the Class A Common Stock as reported on the Nasdaq Stock
Market, or if the Class A Common Stock is not then listed on the Nasdaq Stock
Market, as reported on such national securities exchange upon which the Class A
Common Stock is listed, or (b) if there is no such reported sale on the day in
question, on the basis of the average of the closing bid and asked quotations
regular way as so reported, or (c) if the Class A Common Stock is not listed on
the Nasdaq Stock Market or on any national securities

                                       25
<PAGE>

exchange, on the basis of the average of the high bid and low asked quotations
regular way on the day in question in the over-the-counter market as reported by
the National Association of Security Dealers Automated Quotation System, or if
not so quoted, as reported by National Quotation Bureau, Incorporated, or a
similar organization.

         "Default" means any event that is, or with the passage of time or the
giving of notice or both would be, an Event of Default.

         "Equity Interests" means Capital Stock and all warrants, options or
other rights to acquire Capital Stock, but excluding any Indebtedness that is
convertible into or exchangeable for Capital Stock.

         "Excess Payment" means the excess of (A) the aggregate of the cash and
value of other consideration paid by the Company or any of its Subsidiaries with
respect to shares of Class A Common Stock acquired in a tender offer or other
negotiated transaction, over (B) the aggregate market value of such acquired
shares after giving effect to the completion of such tender offer or other
negotiated transaction.

         "Exchange Rate Contract" means, with respect to any Person, any
currency swap agreements, forward exchange rate agreements, foreign currency
futures or options, exchange rate collar agreements, exchange rate insurance and
other agreements or arrangements, or combination thereof, the principal purpose
of which is to provide protection against fluctuations in currency exchange
rates. An Exchange Rate Contract may also include an Interest Rate Agreement.

         "GAAP" means generally accepted accounting principles set forth in the
opinions and pronouncements of the Accounting Principles Board of the American
Institute of Certified Public Accountants and statements and pronouncements of
the Financial Accounting Standards Board or in such other statements by such
other entity as approved by a significant segment of the accounting profession,
which are in effect on the date hereof and are applied on a consistent basis.

         "Governmental Authority" means any foreign, federal, state or local
court or governmental or regulatory agency or authority or applicable stock
exchange or trading market.

         "Guarantee" means a guarantee, other than by endorsement of negotiable
instruments for collection in the ordinary course of business, direct or
indirect, in any manner, including, without limitation, letters of credit and
reimbursement agreements in respect thereof, of all or any part of any
Indebtedness.

         "Indebtedness" means, with respect to any Person, any indebtedness of
such Person, whether or not contingent, in respect of borrowed money or
evidenced by bonds, notes, debentures or similar instruments or letters of
credit, or reimbursement agreements in respect thereof, or representing the
balance deferred and unpaid of the purchase price of any property (which
purchase price is due more than six months after the placing into

                                       26
<PAGE>

service or delivery of such property) including pursuant to capital leases and
sale-and-leaseback transactions, or representing any hedging obligations under
an Exchange Rate Contract or an Interest Rate Agreement, except any such balance
that constitutes an accrued expense or trade payable, if and to the extent any
of the foregoing indebtedness, other than obligations under an Exchange Rate
Contract or an Interest Rate Agreement, would appear as a liability upon a
balance sheet of such Person prepared in accordance with GAAP, and also
includes, to the extent not otherwise included, the Guarantee of items which
would be included within this definition. The amount of any Indebtedness
outstanding as of any date shall be the accreted value thereof, in the case of
any Indebtedness issued with original issue discount. Indebtedness shall not
include liabilities for taxes of any kind.

         "Interest Rate Agreement" means, with respect to any Person, any
interest rate swap agreement, interest rate cap agreement, interest rate collar
agreement or other similar agreement the principal purpose of which is to
protect the party indicated therein against fluctuations in interest rates.

         "Legal Holiday" is a Saturday, a Sunday or a day on which banking
institutions in the State of New York are not required to be open.

         "Obligations" means any principal, interest, penalties, fees,
indemnifications, reimbursements, damages and other liabilities payable under
the documentation governing any Indebtedness.

         "Officer's Certificate" means a certificate of the Company signed by
any two of the Chairman of the Board, the chief executive officer, president,
chief financial officer, treasurer or general counsel of the Company.

         "Person" means a natural person, corporation, a limited liability
company, a general or limited partnership, a trust, an estate, a joint venture,
any governmental entity, or any other entity or organization.

         "Principal" means Charles W. Ergen.

         "Related Party" means, with respect to the Principal, (a) the spouse
and each immediate family member of the Principal and (b) each trust,
corporation, partnership or other entity of which the Principal beneficially
holds an 80% or more controlling interest.

         "Repurchase Trigger Date" means the earliest of (x) July 21, 2008; and
(y) the date on which a Company Change in Control shall first occur.

         "Senior Debt" means the principal of, interest on and other amounts due
on (i) Indebtedness of the Company, whether outstanding on the date of issuance
of this Note or hereafter created, incurred, assumed or guaranteed by the
Company, for money borrowed from banks or other financial institutions; (ii)
Indebtedness of the Company, whether outstanding on the date of issuance of this
Note or hereafter created, incurred,

                                       27
<PAGE>

assumed or guaranteed by the Company; and (iii) Indebtedness of the Company
under interest rate swaps, caps or similar hedging agreements and foreign
exchange contracts, currency swaps or similar agreements: unless, in the
instrument creating or evidencing or pursuant to which Indebtedness under clause
(i) or (ii) is outstanding, it is expressly provided that such Indebtedness is
not senior in right of payment to this Note. Senior Debt includes, with respect
to the obligations described in clauses (i) and (ii) above, interest accruing,
pursuant to the terms of such Senior Debt, on or after the filing of any
petition in bankruptcy or for reorganization relating to the Company, whether or
not post-filing interest is allowed in such proceeding, at the rate specified in
the instrument governing the relevant obligation. Notwithstanding anything to
the contrary in the foregoing, Senior Debt shall not include: (a) Indebtedness
of or amounts owed by the Company for compensation to employees, or for goods or
materials purchased in the ordinary course of business, or for services; and (b)
Indebtedness of the Company to a Subsidiary of the Company.

         "Significant Subsidiary" means any Subsidiary of the Company which is a
"significant subsidiary" as defined in Rule 1-02(w) of Regulation S-X under the
Securities Act and the Exchange Act, as such Regulation is in effect on the date
hereof.

         "Subsidiary" means any corporation, association or other business
entity of which more than 50% of the total voting power of shares of Capital
Stock entitled, without regard to the occurrence of any contingency, to vote in
the election of directors, managers or trustees thereof is at the time owned or
controlled, directly or indirectly, by any Person or one or more of the other
Subsidiaries of that Person or a combination thereof.

                                       28
<PAGE>

         IN WITNESS WHEREOF, the Company has caused this Note to be duly
executed, issued and delivered.

Dated:  July 21, 2003

                                          ECHOSTAR COMMUNICATIONS CORPORATION

                                          By:
                                             -----------------------------------
                                             Name:
                                             Title:

Attest:

-----------------------------
Name:
Title:

                                       29

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