Document:

Blueprint

 

 

RUMBLEON, INC.

 

AND

 

WILMINGTON TRUST, NATIONAL ASSOCIATION

 

as Trustee

 

INDENTURE

 

Dated as of May 14, 2019

 

6.75% Convertible Senior Notes due 2024

 

 

 

 

TABLE OF CONTENTS

 

	

	
 

	

Page 

	

Article 1
DEFINITIONS 

	
1

	

   
    Section 1.01

	

Definitions

	

1

	

   
    Section 1.02

	

References
to Interest

	

15

	

Article 2 ISSUE,
DESCRIPTION, EXECUTION, REGISTRATION AND EXCHANGE OF
NOTES 

	
16

	

   
    Section 2.01

	

Designation
and Amount

	

16

	

   
    Section 2.02

	

Form
of Notes

	

16

	

   
    Section 2.03

	

Date
and Denomination of Notes; Payments of Interest and Defaulted
Amounts

	

17

	

   
    Section 2.04

	

Execution,
Authentication and Delivery of Notes

	

18

	

   
    Section 2.05

	

Exchange
and Registration of Transfer of Notes; Restrictions on Transfer;
Depositary

	

18

	

   
    Section 2.06

	

Mutilated,
Destroyed, Lost or Stolen Notes

	

24

	

   
    Section 2.07

	

Temporary
Notes

	

25

	

   
    Section 2.08

	

Cancellation
of Notes Paid, Converted, Etc

	

25

	

   
    Section 2.09

	

CUSIP
Numbers

	

25

	

   
    Section 2.10

	

Repurchases

	

26

	

Article 3
SATISFACTION AND DISCHARGE 

	
26

	

   
    Section 3.01

	

Satisfaction
and Discharge

	

26

	

Article 4
PARTICULAR COVENANTS OF THE COMPANY 

	
26 

	

   
    Section 4.01

	

Payment
of Principal and Interest

	

26

	

   
    Section 4.02

	

Maintenance
of Office or Agency

	

26

	

   
    Section 4.03

	

Appointments
to Fill Vacancies in Trustee’s Office

	

27

	

   
    Section 4.04

	

Provisions
as to Paying Agent

	

27

	

   
    Section 4.05

	

Existence

	

28

	

   
    Section 4.06

	

Rule 144A
Information Requirement and Annual Reports

	

28

	

   
    Section 4.07

	

Stay,
Extension and Usury Laws

	

29

	

   
    Section 4.08

	

Compliance
Certificate; Statements as to Defaults

	

30

	

   
    Section 4.09

	

Additional
Interest pursuant to the Registration Rights Agreement

	

30

	

   
    Section 4.10

	

Limitation
on Liens Securing Indebtedness

	

30

	

   
    Section 4.11

	

Further
Instruments and Acts

	

30

 

 

 

 

	

Article 5 LISTS OF
HOLDERS AND REPORTS BY THE COMPANY AND THE
TRUSTEE 

	
31 

	

   
    Section 5.01

	

Lists
of Holders

	

31

	

   
    Section 5.02

	

Preservation
and Disclosure of Lists

	

31

	

Article 6 DEFAULTS
AND REMEDIES 

	
31 

	

   
    Section 6.01

	

Events
of Default

	

31

	

   
    Section 6.02

	

Acceleration;
Rescission and Annulment

	

32

	

   
    Section 6.03

	

Additional
Interest

	

33

	

   
    Section 6.04

	

Payments
of Notes on Default; Suit Therefor

	

34

	

   
    Section 6.05

	

Application
of Monies Collected by Trustee

	

35

	

   
    Section 6.06

	

Proceedings
by Holders

	

36

	

   
    Section 6.07

	

Proceedings
by Trustee

	

37

	

   
    Section 6.08

	

Remedies
Cumulative and Continuing

	

37

	

   
    Section 6.09

	

Direction
of Proceedings and Waiver of Defaults by Majority of
Holders

	

38

	

   
    Section 6.10

	

Notice
of Defaults

	

38

	

   
    Section 6.11

	

Undertaking
to Pay Costs

	

38

	

Article 7
CONCERNING THE TRUSTEE 

	
39 

	

   
    Section 7.01

	

Duties
and Responsibilities of Trustee

	

39

	

   
    Section 7.02

	

Reliance
on Documents, Opinions, Etc

	

40

	

   
    Section 7.03

	

No
Responsibility for Recitals, Etc

	

42

	

   
    Section 7.04

	

Trustee,
Paying Agents, Conversion Agents, Bid Solicitation Agent or Note
Registrar May Own Notes

	

42

	

   
    Section 7.05

	

Monies
to Be Held in Trust

	

42

	

   
    Section 7.06

	

Compensation
and Expenses of Trustee

	

42

	

   
    Section 7.07

	

Officers’
Certificate as Evidence

	

43

	

   
    Section 7.08

	

Eligibility
of Trustee

	

43

	

   
    Section 7.09

	

Resignation
or Removal of Trustee

	

43

	

   
    Section 7.10

	

Acceptance
by Successor Trustee

	

44

	

   
    Section 7.11

	

Succession
by Merger, Etc

	

45

	

   
    Section 7.12

	

Trustee’s
Application for Instructions from the Company

	

45

	

Article 8
CONCERNING THE HOLDERS 

	
46 

	

   
    Section 8.01

	

Action
by Holders

	

46

	

   
    Section 8.02

	

Proof
of Execution by Holders

	

46

	

   
    Section 8.03

	

Who
Are Deemed Absolute Owners

	

46

	

   
    Section 8.04

	

Company-Owned
Notes Disregarded

	

47

	

   
    Section 8.05

	

Revocation
of Consents; Future Holders Bound

	

47

 

 

 

 

	

Article 9
HOLDERS’ MEETINGS 

	
47 

	

   
    Section 9.01

	

Purpose
of Meetings

	

47

	

   
    Section 9.02

	

Call
of Meetings by Trustee

	

48

	

   
    Section 9.03

	

Call
of Meetings by Company or Holders

	

48

	

   
    Section 9.04

	

Qualifications
for Voting

	

48

	

   
    Section 9.05

	

Regulations

	

48

	

   
    Section 9.06

	

Voting

	

49

	

   
    Section 9.07

	

No
Delay of Rights by Meeting

	

49

	

Article 10
SUPPLEMENTAL INDENTURES 

	
49

	

   
    Section 10.01

	

Supplemental
Indentures Without Consent of Holders

	

49

	

   
    Section 10.02

	

Supplemental
Indentures with Consent of Holders

	

50

	

   
    Section 10.03

	

Effect
of Supplemental Indentures

	

51

	

   
    Section 10.04

	

Notation
on Notes

	

52

	

   
    Section 10.05

	

Evidence
of Compliance of Supplemental Indenture to Be Furnished
Trustee

	

52

	

Article 11
CONSOLIDATION, MERGER, SALE, CONVEYANCE AND
LEASE 

	
52 

	

   
    Section 11.01

	

Company
May Consolidate, Etc. on Certain Terms

	

52

	

   
    Section 11.02

	

Successor
Corporation to Be Substituted

	

52

	

   
    Section 11.03

	

Opinion
of Counsel to Be Given to Trustee

	

53

	

Article 12
IMMUNITY OF INCORPORATORS, STOCKHOLDERS, OFFICERS AND
DIRECTORS 

	
52 

	

   
    Section 12.01

	

Indenture
and Notes Solely Corporate Obligations

	

52

	

Article 13
[INTENTIONALLY OMITTED] 

	
52 

	

Article
14 CONVERSION OF NOTES

	

	
52

	

   
    Section 14.01

	

Conversion
Privilege

	

52

	

   
    Section 14.02

	

Conversion
Procedure; Settlement Upon Conversion

	

57

	

   
    Section 14.03

	

Increased
Conversion Rate Applicable to Certain Notes Surrendered in
Connection with Make-Whole Fundamental Changes or Redemption
Notice

	

61

	

   
    Section 14.04

	

Adjustment
of Conversion Rate

	

63

	

   
    Section 14.05

	

Adjustments
of Prices

	

69

	

   
    Section 14.06

	

Shares
to Be Fully Paid

	

69

	

   
    Section 14.07

	

Effect
of Recapitalizations, Reclassifications and Changes of the Common
Stock

	

69

	

   
    Section 14.08

	

Certain
Covenants

	

71

	

   
    Section 14.09

	

Responsibility
of Trustee

	

71

	

   
    Section 14.10

	

Notice
to Holders Prior to Certain Actions

	

71

	

   
    Section 14.11

	

Stockholder
Rights Plans

	

72

	

   
    Section 14.12

	

Ownership
Limitation

	

72

 

 

 

 

	

Article 15
REPURCHASE OF NOTES AT OPTION OF HOLDERS 

	
73 

	

   
    Section 15.01

	

[Intentionally
Omitted]

	

73

	

   
    Section 15.02

	

Repurchase
at Option of Holders Upon a Fundamental Change

	

73

	

   
    Section 15.03

	

Withdrawal
of Fundamental Change Repurchase Notice

	

75

	

   
    Section 15.04

	

Deposit
of Fundamental Change Repurchase Price

	

75

	

   
    Section 15.05

	

Covenant
to Comply with Applicable Laws Upon Repurchase of
Notes

	

76

	

Article 16
OPTIONAL REDEMPTION 

	
76 

	

   
    Section 16.01

	

Optional
Redemption

	

76

	

   
    Section 16.02

	

Notice
of Optional Redemption; Selection of Notes

	

76

	

   
    Section 16.03

	

Payment
of Notes Called for Redemption

	

78

	

   
    Section 16.04

	

Restrictions
on Redemption

	

78

	

Article 17
MISCELLANEOUS PROVISIONS 

	
78 

	

   
    Section 17.01

	

Provisions
Binding on Company’s Successors

	

78

	

   
    Section 17.02

	

Official
Acts by Successor Corporation

	

78

	

   
    Section 17.03

	

Addresses
for Notices, Etc

	

78

	

   
    Section 17.04

	

Governing
Law; Jurisdiction

	

79

	

   
    Section 17.05

	

Evidence
of Compliance with Conditions Precedent; Certificates and Opinions
of Counsel to Trustee

	

79

	

   
    Section 17.06

	

Legal
Holidays

	

80

	

   
    Section 17.07

	

No
Security Interest Created

	

80

	

   
    Section 17.08

	

Benefits
of Indenture

	

80

	

   
    Section 17.09

	

Table
of Contents, Headings, Etc

	

80

	

   
    Section 17.10

	

Authenticating
Agent

	

80

	

   
    Section 17.11

	

Execution
in Counterparts

	

81

	

   
    Section 17.12

	

Severability

	

81

	

   
    Section 17.13

	

Waiver
of Jury Trial

	

81

	

   
    Section 17.14

	

Force
Majeure

	

81

	

   
    Section 17.15

	

Calculations

	

82

	

   
    Section 17.16

	

USA
PATRIOT Act

	

82

 

 

 

 

EXHIBIT

 

Exhibit A                       

Form of Note
A-1

 

INDENTURE dated as of May 14, 2019
between RUMBLEON, INC., a
Delaware corporation, as issuer (the “Company,” as more fully set forth
in Section 1.01) and
WILMINGTON TRUST, NATIONAL
ASSOCIATION, a national banking association, as trustee (the
“Trustee,” as
more fully set forth in Section 1.01).

 

W I T N E S S E T H:

 

WHEREAS, for its lawful corporate
purposes, the Company has duly authorized the issuance of its 6.75%
Convertible Senior Notes due 2024 (the “Notes”), initially in an aggregate
principal amount not to exceed $30,000,000, and in order to provide
the terms and conditions upon which the Notes are to be
authenticated, issued and delivered, the Company has duly
authorized the execution and delivery of this Indenture;
and

 

WHEREAS, the Form of Note, the
certificate of authentication to be borne by each Note, the Form of
Notice of Conversion, the Form of Fundamental Change Repurchase
Notice and the Form of Assignment and Transfer to be borne by the
Notes are to be substantially in the forms hereinafter provided;
and

 

WHEREAS, all acts and things necessary
to make the Notes, when executed by the Company and authenticated
and delivered by the Trustee or a duly authorized authenticating
agent, as in this Indenture provided, the valid, binding and legal
obligations of the Company, and this Indenture a valid agreement
according to its terms, have been done and performed, and the
execution of this Indenture and the issuance hereunder of the Notes
have in all respects been duly authorized.

 

NOW,
THEREFORE, THIS INDENTURE WITNESSETH:

 

That in
order to declare the terms and conditions upon which the Notes are,
and are to be, authenticated, issued and delivered, and in
consideration of the premises and of the purchase and acceptance of
the Notes by the Holders thereof, the Company covenants and agrees
with the Trustee for the equal and proportionate benefit of the
respective Holders from time to time of the Notes (except as
otherwise provided below), as follows:

 

ARTICLE 1

DEFINITIONS

Section
1.01                                Definitions.
The terms defined in this Section 1.01 (except as
herein otherwise expressly provided or unless the context otherwise
requires) for all purposes of this Indenture and of any indenture
supplemental hereto shall have the respective meanings specified in
this Section 1.01. The words
“herein,” “hereof,” “hereunder”
and words of similar import refer to this Indenture as a whole and
not to any particular Article, Section or other subdivision. The
terms defined in this Article include the plural as well as the
singular

 

“Additional Interest” means all
amounts, if any, payable pursuant to Section 4.06(d) and
Section 6.03
hereof and pursuant to the Registration Rights Agreement, as
applicable.

 

“Additional Shares” shall have the
meaning specified in Section 14.03(a).

 

 

1

 

 

“Affiliate” of any specified Person
means any other Person directly or indirectly controlling or
controlled by or under direct or indirect common control with such
specified Person. For the purposes of this definition,
“control,” when used with respect to any specified
Person means the power to direct or cause the direction of the
management and policies of such Person, directly or indirectly,
whether through the ownership of voting securities, by contract or
otherwise; and the terms “controlling” and
“controlled” have meanings correlative to the
foregoing. Notwithstanding anything to the contrary herein, the
determination of whether one Person is an “Affiliate” of another Person for
purposes of this Indenture shall be made based on the facts at the
time such determination is made or required to be made, as the case
may be, hereunder.

 

“Affiliated Holders” means, (1)
with respect to any specified natural Person, any company,
partnership, trust, foundation or other entity or investment
vehicle for which such specified natural Person (or such specified
Person’s estate) retains sole dispositive and exclusive
voting power with respect to the Class A Common Stock and/or the
Common Stock, as the case may be, held by such company,
partnership, trust, foundation or other entity or investment
vehicle, and the trustees, legal representatives, beneficiaries
and/or beneficial owners, but solely in such capacity, of such
company, partnership, trust, foundation or other entity or
investment vehicle and (2) the estates of such specified natural
Person (it being understood, for the avoidance of doubt, that this
clause (2) will not cover any Person to whom any securities are
transferred from any such estate).

 

“beneficial owner,”
“beneficial
ownership” or “beneficially owned” shall have the
meaning ascribed to such term in Rule 13d-3 under the Exchange
Act.

 

“Bid Solicitation Agent” means the
Company or the Person appointed by the Company to solicit bids for
the Trading Price of the Notes in accordance with Section 14.01(b)(i). The
Company shall initially act as the Bid Solicitation
Agent.

 

“Board of Directors” means the
board of directors of the Company or a committee of such board duly
authorized to act for it hereunder.

 

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

 

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

 

“Capital Lease Obligation” means,
at the time any determination is to be made, the amount of the
liability in respect of a capital lease that would at that time be
required to be capitalized on a balance sheet prepared in
accordance with U.S. GAAP, and the stated maturity thereof shall be
the date of the last payment of rent or any other amount due under
such lease prior to the first date upon which such lease may be
prepaid by the lessee without payment of a penalty.

 

 

2

 

 

“Capital Stock” means, for any
entity, any and all shares, interests, rights to purchase,
warrants, options, participations or other equivalents of or
interests in (however designated) stock issued by that
entity.

 

“Cash Settlement” shall have the
meaning specified in Section 14.02(a).

 

“Class A Common Stock” means the
Class A common stock of the Company, par value $0.001 per share, at
the date of this Indenture.

 

“Clause A Distribution” shall have
the meaning specified in Section 14.04(c).

 

“Clause B Distribution” shall have
the meaning specified in Section 14.04(c).

 

“Clause C Distribution” shall have
the meaning specified in Section 14.04(c).

 

“close of business” means
5:00 p.m. (New York City time).

 

“Combination Settlement” shall have
the meaning specified in Section 14.02(a).

 

“Commission” means the U.S.
Securities and Exchange Commission.

 

“Common Equity” of any Person means
Capital Stock of such Person that is generally entitled (a) to
vote in the election of directors of such Person or (b) if
such Person is not a corporation, to vote or otherwise participate
in the selection of the governing body, partners, managers or
others that will control the management or policies of such
Person.

 

“Common Stock” means the Class B
common stock of the Company, par value $0.001 per share, at the
date of this Indenture, subject to Section 14.07.

 

“Company” shall have the meaning
specified in the first paragraph of this Indenture, and subject to
the provisions of Article 11, shall include
its successors and assigns.

 

“Company Order” means a written
order of the Company, signed by the Company’s Chief Executive
Officer, Chief Financial Officer, President, Executive or Senior
Vice President or any Vice President (whether or not designated by
a number or numbers or word or words added before or after the
title “Vice
President”), and delivered to the
Trustee.

 

“Consumer Warehouse Facilities”
means a revolving credit or repurchase facility intended to finance
the loans made by the Company or any of its Subsidiaries to
consumers acquiring vehicles of any nature from any of the
Company’s Subsidiaries which facility may include Liens on
the accounts, documents and other property of the entity making or
acquiring or otherwise involved with such consumer
loans.

 

“Conversion Agent” shall have the
meaning specified in Section 4.02.

 

“Conversion Date” shall have the
meaning specified in Section 14.02(c).

 

“Conversion Obligation” shall have
the meaning specified in Section 14.01(a).

 

 

3

 

 

“Conversion Price” means as of any
time, $1,000, divided by
the Conversion Rate as of such time.

 

“Conversion Rate” shall have the
meaning specified in Section 14.01(a).

 

“Corporate Event” shall have the
meaning specified in Section
14.01(b)(iii).

 

“Corporate Trust Office” means the
designated office of the Trustee at which at any time this
Indenture shall be administered, which office at the date hereof is
located at Wilmington Trust, National Association, Global Capital
Markets, 50 South Sixth Street, Suite 1290, Minneapolis, Minnesota
55402, Attention: RumbleOn Notes Administrator, or such other
address as the Trustee may designate from time to time by notice to
the Holders and the Company, or the designated corporate trust
office of any successor trustee (or such other address as such
successor trustee may designate from time to time by notice to the
Holders and the Company).

 

“Credit Facilities” means one or
more (i) debt facilities or commercial paper facilities, providing
for revolving credit loans, term loans, receivables financing
(including through the sale of receivables to lenders or to special
purpose entities formed to borrow from lenders against such
receivables), letters of credit, (ii) debt securities, indentures
or other forms of debt financing (including convertible or
exchangeable debt instruments or bank guarantees or bankers’
acceptances) or (iii) instruments or agreements evidencing any
other Indebtedness, in each case, as amended, supplemented,
modified, extended, restructured, renewed, refinanced, restated,
replaced or refunded in whole or in part from time to time
(including increasing the amount of available borrowings thereunder
or adding the Company’s Subsidiaries as additional borrowers
or guarantors thereunder).

 

“Custodian” means the Trustee, as
custodian for The Depository Trust Company, with respect to the
Global Notes, or any successor entity thereto.

 

“Daily Conversion Value” means, for
each of the 40 consecutive Trading Days during the Observation
Period, one-fortieth (1/40th) of the product of (a) the
Conversion Rate on such Trading Day and (b) the Daily VWAP for
such Trading Day.

 

“Daily Measurement Value” means the
Specified Dollar Amount (if any), divided by 40.

 

“Daily Settlement Amount,” for each
of the 40 consecutive Trading Days during the Observation Period,
shall consist of:

 

(a)           cash
in an amount equal to the lesser of (i) the Daily Measurement
Value and (ii) the Daily Conversion Value on such Trading Day;
and

 

(b)           if
the Daily Conversion Value on such Trading Day exceeds the Daily
Measurement Value, a number of shares of Common Stock equal to
(i) the difference between the Daily Conversion Value and the
Daily Measurement Value, divided by (ii) the Daily VWAP for such Trading
Day.

 

“Daily VWAP” means the per share
volume-weighted average price as displayed under the heading
“Bloomberg VWAP” on Bloomberg page “RMBL
<equity> AQR” (or its equivalent successor if such page
is not available) in respect of the period from the scheduled open
of trading until the scheduled close of trading of the primary
trading session on such Trading Day (or if such volume-weighted
average price is unavailable, the market value of one share of the
Common Stock on such Trading Day determined, using a
volume-weighted average method, by a nationally recognized
independent investment banking firm retained for this purpose by
the Company). The “Daily VWAP” shall be determined
without regard to after-hours trading or any other trading outside
of the regular trading session trading hours.

 

 

4

 

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

 

“Defaulted Amounts” means any
amounts on any Note (including, without limitation, the Redemption
Price, the Fundamental Change Repurchase Price, principal and
interest) that are payable but are not punctually paid or duly
provided for, in each case, when due.

 

“delivered” means, with respect to
any notice to be delivered, given or mailed to a Holder pursuant to
this Indenture, notice (x) given to the Depositary (or its
designee) pursuant to the standing instructions from the Depositary
or its designee, including by electronic mail in accordance with
accepted practices or procedures at the Depositary (in the case of
a Global Note) or (y) mailed to such Holder by first class mail,
postage prepaid, at its address as it appears on the Note Register,
in each case in accordance with Section 17.03. Notice so
“delivered” shall be deemed to include any notice to be
“mailed” or “given,” as applicable, under
this Indenture.

 

“Depositary” means, with respect to
each Global Note, the Person specified in Section 2.05(c) as the
Depositary with respect to such Notes, until a successor shall have
been appointed and become such pursuant to the applicable
provisions of this Indenture, and thereafter, “Depositary” shall mean or include
such successor.

 

“Distributed Property” shall have
the meaning specified in Section 14.04(c).

 

“Effective Date” shall have the
meaning specified in Section 14.03(c), except
that, as used in Section 14.04 and
Section 14.05,
“Effective Date”
means the first date on which shares of the Common Stock trade on
the applicable exchange or in the applicable market, regular way,
reflecting the relevant share split or share combination, as
applicable.

 

“Event of Default” shall have the
meaning specified in Section 6.01.

 

“Ex-Dividend Date” means the first
date on which shares of the Common Stock trade on the applicable
exchange or in the applicable market, regular way, without the
right to receive the issuance, dividend or distribution in
question, from the Company or, if applicable, from the seller of
Common Stock on such exchange or market (in the form of due bills
or otherwise) as determined by such exchange or
market.

 

“Exchange Act” means the Securities
Exchange Act of 1934, as amended, and the rules and regulations
promulgated thereunder.

 

“Form of Assignment and Transfer”
means the “Form of Assignment and Transfer” attached as
Attachment 3 to the Form of Note attached hereto as
Exhibit A.

 

“Form of Fundamental Change Repurchase
Notice” means the “Form of Fundamental Change
Repurchase Notice” attached as Attachment 2 to the Form
of Note attached hereto as Exhibit A.

 

“Form of Note” means the
“Form of Note” attached hereto as Exhibit A.

 

 

5

 

“Form of Notice of Conversion”
means the “Form of Notice of Conversion” attached as
Attachment 1 to the Form of Note attached hereto as
Exhibit A.

 

“Fundamental Change” shall be
deemed to have occurred at the time after the Notes are originally
issued if any of the following occurs:

 

(a)           a
“person” or “group” within the meaning of
Section 13(d) of the Exchange Act, other than the Company, its
Wholly Owned Subsidiaries and the employee benefit plans of the
Company and its Wholly Owned Subsidiaries, has become the direct or
indirect beneficial owner, of (i) the Common Stock representing
more than 50% of the voting power of the Common Stock or (ii) the
Company’s common equity representing more than 50% of the
voting power of its Common Equity on an aggregate basis; provided
that, for purposes of both clauses (i) and (ii), the voting power
of the Company’s Class A Common Stock and the Common Stock
directly or indirectly beneficially owned, by a Permitted Holder
(as defined below) or a “group” (composed solely of
Permitted Holders) will exclude (A) any shares of Class A Common
Stock and Common Stock directly or indirectly beneficially owned by
such Permitted Holder on the date of this Indenture for so long as
such shares of the Company’s Class A Common Stock or Common
Stock, as the case may be, are directly or indirectly beneficially
owned by such Permitted Holder and (B) any shares of Common Stock
directly or indirectly beneficially owned by such Permitted Holder
that are acquired after the date of this Indenture by such
Permitted Holder pursuant to equity grants (or the exercise,
vesting, settlement or conversion thereof by such Permitted Holder
outstanding on the date of this Indenture or subsequently granted
under one or more of the Company’s equity incentive plans;
or

 

(b)           the
consummation of (A) any recapitalization, reclassification or
change of the Common Stock (other than changes resulting from a
subdivision or combination) as a result of which the Common Stock
would be converted into, or exchanged for, stock, other securities,
other property or assets; (B) any share exchange,
consolidation or merger of the Company pursuant to which the Common
Stock will be converted into cash, securities or other property or
assets; or (C) any sale, lease or other transfer in one
transaction or a series of transactions of all or substantially all
of the consolidated assets of the Company and its Subsidiaries,
taken as a whole, to any Person other than one of the
Company’s direct or indirect Wholly Owned
Subsidiaries; provided,
however, that a transaction
described in clause (B) in which the holders of all classes of
the Company’s Common Equity immediately prior to such
transaction own, directly or indirectly, more than 50% of all
classes of Common Equity of the continuing or surviving corporation
or transferee or the parent thereof immediately after such
transaction in substantially the same proportions as such ownership
immediately prior to such transaction shall not be a Fundamental
Change pursuant to this clause (b); or

 

(c)           the
stockholders of the Company approve any plan or proposal for the
liquidation or dissolution of the Company; or

 

(d)           the
Common Stock (or other common stock underlying the Notes) ceases to
be listed or quoted on any of The New York Stock Exchange, The
NASDAQ Capital Market, The NASDAQ Global Select Market or The
NASDAQ Global Market (or any of their respective
successors);

 

provided, however,
that a transaction or transactions described in clause (a) or
clause (b) above shall not constitute a Fundamental Change, if
at least 90% of the consideration received or to be received by the
holders of the Common Stock of the Company, excluding cash payments
for fractional shares, in connection with such transaction or
transactions consists of shares of common stock that are listed or
quoted on any of The New York Stock Exchange, The NASDAQ Capital
Market, The NASDAQ Global Select Market or The NASDAQ Global Market
(or any of their respective successors) or will be so listed or
quoted when issued or exchanged in connection with such transaction
or transactions and as a result of such transaction or transactions
the Notes become convertible into such consideration, excluding
cash payments for fractional shares (subject to the provisions of
Section 14.02(a)). If any
transaction in which the Common Stock is replaced by the securities
of another entity occurs, following completion of any related
Make-Whole Fundamental Change Period (or, in the case of a
transaction that would have been a Fundamental Change or a
Make-Whole Fundamental Change but for the proviso immediately
following clause (d) of the definition thereof, following the
effective date of such transaction), references to the Company in
this definition shall instead be references to such other
entity.

 

 

6

 

 

For
purposes of this definition, any transaction that constitutes a
“Fundamental Change” pursuant to both clause (a) and
clause (b) above (without giving effect to the proviso to clause
(b)) shall be deemed a “Fundamental Change” solely
under clause (b) (subject to the proviso to clause
(b)).

 

“Fundamental Change Company Notice”
shall have the meaning specified in Section 15.02(c).

 

“Fundamental Change Repurchase
Date” shall have the meaning specified in Section 15.02(a).

 

“Fundamental Change Repurchase
Notice” shall have the meaning specified in
Section 15.02(b)(i).

 

“Fundamental Change Repurchase
Price” shall have the meaning specified in
Section 15.02(a).

 

“Global Note” shall have the
meaning specified in Section 2.05(b).

 

“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, by way of a pledge of assets or
through letters of credit or reimbursement agreements in respect
thereof, of all or any part of any Indebtedness (whether arising by
virtue of partnership arrangements, or by agreements to keep-well,
to purchase assets, goods, securities or services, to take or pay
or to maintain financial statement conditions or
otherwise).

 

“Hedging Obligations” means, with
respect to any specified Person, the obligations of such Person
under:

 

(1) 

interest rate swap
agreements (whether from fixed to floating or from floating to
fixed), interest rate cap agreements and interest rate collar
agreements;

 

(2) 

other agreements or
arrangements designed to manage interest rates or interest rate
risk; and

 

(3) 

other agreements or
arrangements designed to protect such Person against fluctuations
in currency exchange rates or commodity prices.

 

“Holder,” as applied to any Note,
or other similar terms (but excluding the term “beneficial
holder”), means any Person in whose name at the time a
particular Note is registered on the Note Register.

 

 

7

 

 
       
   

             
“Indebtedness”
means, with respect to any specified Person, any indebtedness of
such Person (excluding accrued expenses and trade payables),
whether or not contingent:

 

(1) 

in respect of
borrowed money;

 

(2) 

evidenced by bonds,
notes, debentures or similar instruments or letters of credit (or
reimbursement agreements in respect thereof);

 

(3) 

in respect of
banker’s acceptances;

 

(4) 

representing
Capital Lease Obligations;

 

(5) 

representing the
balance deferred and unpaid of the purchase price of any property
or services (other than trade payables not overdue by more than 60
days incurred in the ordinary course of such Person’s
business); or

 

(6) 

representing any
Hedging Obligations,

 

if and
to the extent any of the preceding items (other than letters of
credit and Hedging Obligations) would appear as a liability upon a
balance sheet of the specified Person prepared in accordance with
U.S. GAAP. In addition, the term “Indebtedness”
includes all Indebtedness of others secured by a Lien on any asset
of the specified Person (whether or not such Indebtedness is
assumed by the specified Person) and, to the extent not otherwise
included, the Guarantee by the specified Person of any Indebtedness
of any other Person, to the extent, as applicable, of the amount of
Indebtedness covered by such Guarantee, or the lesser of the fair
market value (as determined in good faith by the Company) of the
asset or assets subject to such Lien or the principal (or accreted)
amount of the Indebtedness secured by such Lien; provided that
Indebtedness shall not include post-closing payment adjustments to
which the seller may become entitled to the extent such payment is
determined by a final closing balance sheet or such payment depends
on the performance of such business after the closing. Indebtedness
shall be calculated without giving effect to the effects of
Accounting Standards Codification 815 — Derivatives and
Hedging and related interpretations to the extent such effects
would otherwise increase or decrease an amount of Indebtedness for
any purpose under this Indenture as a result of accounting for any
embedded derivatives created by the terms of such
Indebtedness.

 

The
amount of any Indebtedness outstanding as of any date will
be:

 

(1) 

the accreted value
of the Indebtedness, in the case of any Indebtedness issued with
original issue discount;

 

(2) 

the principal
amount of the Indebtedness, in the case of any other
Indebtedness;

 

(3) 

in the case of the
Guarantee by the specified Person of any Indebtedness of any other
Person where the amount of the Guarantee is less than the principal
amount of such Indebtedness, such lesser amount; and

 

(4) 

in respect of
Indebtedness of another Person secured by a Lien on the assets of
the specified Person, the lesser of:

 

(a) 

the fair market
value of such assets at the date of determination, as determined in
good faith by the Company; and

 

(b) 

the amount of the
Indebtedness of the other Person so secured.

 

“Indenture” means this instrument
as originally executed or, if amended or supplemented as herein
provided, as so amended or supplemented.

 

 

8

 

“Interest Make-Whole Payment” shall
have the meaning specified in Section 14.01(c).

 

“Interest Payment Date” means each
May 1 and November 1 of each year, beginning on
November 1, 2019.

 

“Inventory Financing Agreement”
means that certain Inventory Financing and Security Agreement, by
and among Inventory Financing Lenders and RMBL Missouri, dated
February 16, 2018, as it may be amended, and any similar agreements
entered into with any Inventory Financing Lender.

 

“Inventory Financing Lenders” means
Ally Bank and Ally Financial Inc., collectively and each of their
assigns or successors in interest, and any additional or
replacement lenders providing inventory financing to the Company or
any of its Subsidiaries, provided that such lender shall be
domiciled in the United States and shall be in the business of
extending credit of such type in the ordinary course of
business.

 

“Last Reported Sale Price” of the
Common Stock on any date means the closing sale price per share (or
if no closing sale price is reported, the average of the bid and
ask prices or, if more than one in either case, the average of the
average bid and the average ask prices) on that date as reported in
composite transactions for the principal U.S. national or regional
securities exchange on which the Common Stock is traded. If the
Common Stock is not listed for trading on a U.S. national or
regional securities exchange on the relevant date, the
“Last Reported Sale
Price” shall be the last quoted bid price for the
Common Stock in the over-the-counter market on the relevant date as
reported by OTC Markets Group Inc. or a similar organization. If
the Common Stock is not so quoted, the “Last Reported Sale Price” shall be
the average of the mid-point of the last bid and ask prices for the
Common Stock on the relevant date from each of at least three
nationally recognized independent investment banking firms selected
by the Company for this purpose. The “Last Reported Sale
Price” shall be determined without regard to after-hours
trading or any other trading outside of the regular trading session
trading hours.

 

“Liens” means, with respect to any
asset, any mortgage, lien, pledge, charge, security interest or
encumbrance of any kind in the nature of a security interest in
respect of such asset, whether or not filed, recorded or otherwise
perfected under applicable law, including any conditional sale or
other title retention agreement or any lease in the nature thereof.
For the avoidance of doubt, a license shall not constitute a
“Lien” for
purposes of this section.

 

“Make-Whole Fundamental Change”
means any transaction or event that constitutes a Fundamental
Change (as defined above and determined after giving effect to any
exceptions to or exclusions from such definition, but without
regard to the proviso in
clause (b) of the definition thereof).

 

“Make-Whole Fundamental Change
Period” shall have the meaning specified in
Section 14.03(a).

 

“Market Disruption Event” means,
for the purposes of determining amounts due upon conversion and the
number of shares of Common Stock deliverable in respect of an
Interest Make-Whole Payment if the Company elects (or is deemed to
have elected) to make an Interest Make-Whole Payment in shares of
its Common Stock, (a) a failure by the primary U.S. national
or regional securities exchange or market on which the Common Stock
is listed or admitted for trading to open for trading during its
regular trading session or (b) the occurrence or existence
prior to 1:00 p.m., New York City time, on any Scheduled
Trading Day for the Common Stock for more than one half-hour period
in the aggregate during regular trading hours of any suspension or
limitation imposed on trading (by reason of movements in price
exceeding limits permitted by the relevant stock exchange or
otherwise) in the Common Stock or in any options contracts or
futures contracts relating to the Common Stock.

 

9

 

 

“Maturity Date” means May 1,
2024.

 

“Measurement Period” shall have the
meaning specified in Section 14.01(b)(i).

 

“Note” or “Notes” shall have the meaning
specified in the first paragraph of the recitals of this
Indenture.

 

“Note Register” shall have the
meaning specified in Section 2.05(a).

 

“Note Registrar” shall have the
meaning specified in Section 2.05(a).

 

“Notice of Conversion” shall have
the meaning specified in Section 14.02(b).

 

“Observation Period” with respect
to any Note surrendered for conversion means: (i) subject to
clause (ii), if the relevant Conversion Date occurs prior to
November 1, 2023, the 40 consecutive Trading Day period
beginning on, and including, the second Trading Day immediately
succeeding such Conversion Date; (ii) if the relevant
Conversion Date occurs during a Redemption Period with respect to
the Notes pursuant to Section 16.02 and prior to
the relevant Redemption Date, the 40 consecutive Trading Days
beginning on, and including, the 41st Scheduled Trading Day
immediately preceding such Redemption Date; and (iii) if the
relevant Conversion Date occurs on or after November 1, 2023, the
40 consecutive Trading Days beginning on, and including, the 41st
Scheduled Trading Day immediately preceding the Maturity
Date.

 

“Offering Memorandum” means the
preliminary offering memorandum dated May 9, 2019, as supplemented
by the related pricing term sheet dated May 9, 2019, relating
to the offering and sale of the Notes.

 

“Officer” means, with respect to
the Company, the President, the Chief Executive Officer, the Chief
Financial Officer, the Treasurer, the Secretary, any Executive or
Senior Vice President or any Vice President (whether or not
designated by a number or numbers or word or words added before or
after the title “Vice President”).

 

“Officers’ Certificate,” when
used with respect to the Company, means a certificate that is
delivered to the Trustee and that is signed by (a) two
Officers of the Company or (b) one Officer of the Company and
one of the Treasurer, any Assistant Treasurer, the Secretary, any
Assistant Secretary or the Controller of the Company. Each such
certificate shall include the statements provided for in
Section 17.05
if and to the extent required by the provisions of such Section.
One of the Officers giving an Officers’ Certificate pursuant
to Section 4.08 shall be the
principal executive, financial or accounting officer of the
Company.

 

“open of business” means
9:00 a.m. (New York City time).

 

“Opinion of Counsel” means an
opinion in writing signed by legal counsel, who may be an employee
of or counsel to the Company, or other counsel who is acceptable to
the Trustee, that is delivered to the Trustee. Each such opinion
shall include the statements provided for in Section 17.05 if and to
the extent required by the provisions of such Section 17.05.

 

“Optional Redemption” shall have
the meaning specified in Section 16.01.

 

 

10

 

 

“outstanding,” when used with
reference to Notes, shall, subject to the provisions of
Section 8.04,
mean, as of any particular time, all Notes authenticated and
delivered by the Trustee under this Indenture, except:

 

(a)           Notes
theretofore canceled by the Trustee or accepted by the Trustee for
cancellation;

 

(b)           Notes,
or portions thereof, that have become due and payable and in
respect of which monies in the necessary amount shall have been
deposited in trust with the Trustee or with any Paying Agent (other
than the Company) or shall have been set aside and segregated in
trust by the Company (if the Company shall act as its own Paying
Agent);

 

(c)           Notes
that have been paid pursuant to Section 2.06
or Notes in lieu of which, or in
substitution for which, other Notes shall have been authenticated
and delivered pursuant to the terms of Section 2.06
unless proof satisfactory to the
Trustee is presented that any such Notes are held by protected
purchasers in due course;

 

(d)           Notes
converted pursuant to Article 14
and required to be cancelled pursuant
to Section 2.08;

 

(e)           Notes
redeemed pursuant to Article 16;
and

 

(f)           Notes
repurchased by the Company pursuant to the penultimate sentence
of Section 2.10.

 

“Ownership Limitation” shall have
the meaning specified in Section 14.12.

 

“Paying Agent” shall have the
meaning specified in Section 4.02.

 

“Permitted Holder” means any of (1)
Marshall Chesrown, the Company’s Chief Executive Officer as
of the date of the Offering Memorandum, (2) Steven Berrard, the
Company’s Chief Financial Officer as of the date of the
Offering Memorandum and (3) each of the Affiliated Holders (as
defined below) of either of the natural persons referred to in
clauses (1) and (2) of this definition.

 

 

11

 

 

“Permitted Liens”
means:

 

(1) 

Liens on any or all
of the Company’s and its Subsidiaries’ assets securing
one or more Credit Facilities (and borrowings thereunder) other
than Inventory Financing Agreements and Credit Facilities for
Consumer Warehouse Facilities; provided that the aggregate secured
borrowings under such Credit Facilities shall not at any one time
exceed $22.5 million in the aggregate;

 

(2) 

Liens on property
(including equity interests) existing at the time of acquisition of
the property and/or person by the Company or any of its
Subsidiaries (plus improvements and accessions to such property or
proceeds or distributions thereof); provided that such Liens were
in existence prior to such acquisition and not incurred in
contemplation of such acquisition;

 

(3) 

Liens arising under
this Indenture, including those that are for the benefit of the
Trustee;

 

(4) 

Liens securing
Hedging Obligations entered into by the Company and/or any of its
Subsidiaries in the ordinary course of business and entered into
for bona fide hedging purposes (and not for speculative purposes)
as determined in good faith by the Company;

 

(5) 

Liens securing
Indebtedness pursuant to a Qualified Inventory
Financing;

 

(6) 

Liens securing
Indebtedness constituting Consumer Warehouse
Facilities;

 

(7) 

Liens securing
Capital Lease Obligations in an amount not in excess of
$1,000,000.00; and

 

(8) 

Liens securing
letters of credit (or reimbursement agreements in respect thereof)
in an amount not to exceed $500,000.00 at any time outstanding, and
Liens securing reimbursement obligations in connection with letters
of credit serving as a lease deposit.

 

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

 

“Physical Notes” means permanent
certificated Notes in registered form issued in minimum
denominations of $1,000 principal amount and integral multiples of
$1,000 in excess thereof.

 

“Physical Settlement” shall have
the meaning specified in Section 14.02(a).

 

“Predecessor Note” of any
particular Note means every previous Note evidencing all or a
portion of the same debt as that evidenced by such particular Note;
and, for the purposes of this definition, any Note authenticated
and delivered under Section 2.06 in lieu of or
in exchange for a mutilated, lost, destroyed or stolen Note shall
be deemed to evidence the same debt as the mutilated, lost,
destroyed or stolen Note that it replaces.

 

 

12

 

“Qualified Inventory Financing”
means Indebtedness owing to Inventory Financing Lenders pursuant to
an Inventory Financing Agreement, provided that, the aggregate
outstanding amount of the aggregate amount of such Indebtedness at
any time outstanding shall not exceed the aggregate book value of
all inventory of the Company and its Subsidiaries, on a
consolidated basis.

 

“Record Date” means, with respect
to any dividend, distribution or other transaction or event in
which the holders of Common Stock (or other applicable security)
have the right to receive any cash, securities or other property or
in which the Common Stock (or such other security) is exchanged for
or converted into any combination of cash, securities or other
property, the date fixed for determination of holders of the Common
Stock (or such other security) entitled to receive such cash,
securities or other property (whether such date is fixed by the
Board of Directors, by statute, by contract or
otherwise).

 

“Redemption Date” shall have the
meaning specified in Section 16.02(a).

 

“Redemption Notice” shall have the
meaning specified in Section 16.02(a).

 

“Redemption Period” shall the
meaning specified in Section
14.02(a)(i).

 

“Redemption Price” means, for any
Notes to be redeemed pursuant to Section 16.01, 100% of the
principal amount of such Notes, plus accrued and unpaid interest, if
any, to, but excluding, the Redemption Date (unless the Redemption
Date falls after a Regular Record Date but on or prior to the
immediately succeeding Interest Payment Date, in which case
interest accrued to the Interest Payment Date will be paid to
Holders of record of such Notes on such Regular Record Date, and
the Redemption Price will be equal to 100% of the principal amount
of such Notes).

 

“Reference Property” shall have the
meaning specified in Section 14.07(a).

 

“Registration Rights Agreement”
means that certain Registration Rights Agreement, dated as of May
14, 2019, among the Company and the Initial Purchaser, as amended
from time to time.

 

“Regular Record Date,” with respect
to any Interest Payment Date, means the April 15 or
October 15 (whether or not such day is a Business Day)
immediately preceding the applicable May 1 or November 1
Interest Payment Date, respectively.

 

“Responsible Officer” means, when
used with respect to the Trustee, any officer within the Corporate
Trust Office of the Trustee, including any vice president,
assistant vice president, assistant secretary, assistant treasurer,
trust officer or any other officer of the Trustee who customarily
performs functions similar to those performed by the Persons who at
the time shall be such officers, respectively, or to whom any
corporate trust matter relating to this Indenture is referred
because of such person’s knowledge of and familiarity with
the particular subject and, in each case, who shall have direct
responsibility for the administration of this
Indenture.

 

“Restricted Securities” shall have
the meaning specified in Section 2.05(c).

 

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

 

 

13

 

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

 

“Scheduled Trading Day” means a day
that is scheduled to be a Trading Day on the principal U.S.
national or regional securities exchange or market on which the
Common Stock is listed or admitted for trading. If the Common Stock
is not so listed or admitted for trading, “Scheduled Trading Day” means a
Business Day.

 

“Securities Act” means the
Securities Act of 1933, as amended, and the rules and regulations
promulgated thereunder.

 

“Settlement Amount” has the meaning
specified in Section 14.02(a)(iv).

 

“Settlement Method” means, with
respect to any conversion of Notes, Physical Settlement, Cash
Settlement or Combination Settlement, as elected (or deemed to have
been elected) by the Company.

 

“Settlement Notice” has the meaning
specified in Section 14.02(a)(iii).

 

“Share Exchange Event” shall have
the meaning specified in Section 14.07(a).

 

“Significant Subsidiary” means a
Subsidiary of the Company that meets the definition of
“significant subsidiary” in Article 1,
Rule 1-02 of Regulation S-X under the Exchange
Act.

 

“Specified Dollar Amount” means the
maximum cash amount per $1,000 principal amount of Notes to be
received upon conversion as specified in the Settlement Notice (or
as deemed specified pursuant to Section 14.02) related to any
converted Notes.

 

“Spin-Off” shall have the meaning
specified in Section 14.04(c).

 

“Stock Price” shall have the
meaning specified in Section 14.03(c).

 

“Subsidiary” means, with respect to
any Person, any corporation, association, partnership or other
business entity of which more than 50% of the total voting power of
shares of Capital Stock or other interests (including partnership
interests) entitled (without regard to the occurrence of any
contingency) to vote in the election of directors, managers,
general partners or trustees thereof is at the time owned or
controlled, directly or indirectly, by (i) such Person;
(ii) such Person and one or more Subsidiaries of such Person;
or (iii) one or more Subsidiaries of such Person.

 

“Successor Company” shall have the
meaning specified in Section 11.01(a).

 

“Trading Day”, except for purposes
of determining amounts due upon conversion and the number of shares
of Common Stock, if any, deliverable in respect of an Interest
Make-Whole Payment, means a day on which (i) trading in the
Common Stock (or other security for which a closing sale price must
be determined) generally occurs on The NASDAQ Capital Market or, if
the Common Stock (or such other security) is not then listed on The
NASDAQ Capital Market, on the principal other U.S. national or
regional securities exchange on which the Common Stock (or such
other security) is then listed or, if the Common Stock (or such
other security) is not then listed on a U.S. national or regional
securities exchange, on the principal other market on which the
Common Stock (or such other security) is then traded and
(ii) a Last Reported Sale Price for the Common Stock (or such
other security) is available on such securities exchange or market;
provided that if the Common
Stock (or such other security) is not so listed or traded,
“Trading Day”
means a Business Day; and provided further that, for purposes of
determining amounts due upon conversion and the number of shares of
Common Stock deliverable in respect of an Interest Make-Whole
Payment if the Company elects (or is deemed to have elected) to
make an Interest Make-Whole Payment in shares of its Common Stock
only, “Trading
Day” means a day on which (x) there is no Market
Disruption Event and (y) trading in the Common Stock generally
occurs on The NASDAQ Capital Market or, if the Common Stock is not
then listed on The NASDAQ Capital Market, on the principal other
U.S. national or regional securities exchange on which the Common
Stock is then listed or, if the Common Stock is not then listed on
a U.S. national or regional securities exchange, on the principal
other market on which the Common Stock is then listed or admitted
for trading, except that if the Common Stock is not so listed or
admitted for trading, “Trading Day” means a Business
Day.

 

 

14

 

“Trading Price” of the Notes on any
date of determination means the average of the secondary market bid
quotations obtained by the Bid Solicitation Agent for $2,000,000
principal amount of Notes at approximately 3:30 p.m., New York
City time, on such determination date from three independent
nationally recognized securities dealers the Company selects for
this purpose; provided that
if three such bids cannot reasonably be obtained by the Bid
Solicitation Agent but two such bids are obtained, then the average
of the two bids shall be used, and if only one such bid can
reasonably be obtained by the Bid Solicitation Agent, that one bid
shall be used. If the Bid Solicitation Agent cannot reasonably
obtain at least one bid for $2,000,000 principal amount of Notes
from a nationally recognized securities dealer on any determination
date, then the Trading Price per $1,000 principal amount of Notes
on such determination date shall be deemed to be less than 98% of
the product of the Last Reported Sale Price of the Common Stock and
the Conversion Rate.

 

“transfer” shall have the meaning
specified in Section 2.05(c).

 

“Trigger Event” shall have the
meaning specified in Section 14.04(c).

 

“Trust Indenture Act” means the
Trust Indenture Act of 1939, as amended, as it was in force at the
date of execution of this Indenture; provided, however, that in the event the Trust
Indenture Act of 1939 is amended after the date hereof, the term
“Trust Indenture Act” shall mean, to the extent
required by such amendment, the Trust Indenture Act of 1939, as so
amended.

 

“Trustee” means the Person named as
the “Trustee” in
the first paragraph of this Indenture until a successor trustee
shall have become such pursuant to the applicable provisions of
this Indenture, and thereafter “Trustee” shall mean or include
each Person who is then a Trustee hereunder.

 

“U.S. GAAP” means generally
accepted accounting principles in the United States as in effect on
the date of this Indenture, without giving effect to ASU 2016-02,
Leases (Topic 842).

 

“unit of Reference Property” shall
have the meaning specified in Section 14.07(a).

 

“Valuation Period” shall have the
meaning specified in Section 14.04(c).

 

“Wholly Owned Subsidiary” means,
with respect to any Person, any Subsidiary of such Person, except
that, solely for purposes of this definition, the reference to
“more than 50%” in the definition of
“Subsidiary” shall be deemed replaced by a reference to
“100%”.

 

Section
1.02                                References
to Interest. Unless the context otherwise
requires, any reference to interest on, or in respect of, any Note
in this Indenture shall be deemed to include Additional Interest
if, in such context, Additional Interest is, was or would be
payable pursuant to any of Section 4.06(d) and
Section 6.03
hereof or pursuant to the Registration Rights Agreement. Unless the
context otherwise requires, any express mention of Additional
Interest in any provision hereof shall not be construed as
excluding Additional Interest in those provisions hereof where such
express mention is not made.

 

 

15

 

 

ARTICLE 2

ISSUE, DESCRIPTION, EXECUTION,
REGISTRATION AND EXCHANGE OF NOTES

Section
2.01                                Designation
and Amount. The Notes shall be designated as the
“6.75% Convertible Senior Notes due 2024.” The
aggregate principal amount of Notes that may be authenticated and
delivered under this Indenture is limited to $30,000,000. Except
for Notes authenticated and delivered upon registration or transfer
of, or in exchange for, or in lieu of other Notes to the extent
expressly permitted hereunder, the Company may not issue additional
Notes without the consent of at least a majority of the aggregate
principal amount of the Notes then outstanding (determined in
accordance with Article
8).

 

Section
2.02                                Form
of Notes. The Notes and the Trustee’s
certificate of authentication to be borne by such Notes shall be
substantially in the respective forms set forth in Exhibit A, the terms and
provisions of which shall constitute, and are hereby expressly
incorporated in and made a part of this Indenture. To the extent
applicable, the Company and the Trustee, by their execution and
delivery of this Indenture, expressly agree to such terms and
provisions and to be bound thereby.

 

Any
Global Note may be endorsed with or have incorporated in the text
thereof such legends or recitals or changes not inconsistent with
the provisions of this Indenture as may be required by the
Custodian or the Depositary, or as may be required to comply with
any applicable law or any regulation thereunder or with the rules
and regulations of any securities exchange or automated quotation
system upon which the Notes may be listed or traded or designated
for issuance or to conform with any usage with respect thereto, or
to indicate any special limitations or restrictions to which any
particular Notes are subject.

 

Any of
the Notes may have such letters, numbers or other marks of
identification and such notations, legends or endorsements as the
Officer executing the same may approve (execution thereof to be
conclusive evidence of such approval) and as are not inconsistent
with the provisions of this Indenture, or as may be required to
comply with any law or with any rule or regulation made pursuant
thereto or with any rule or regulation of any securities exchange
or automated quotation system on which the Notes may be listed or
designated for issuance, or to conform to usage or to indicate any
special limitations or restrictions to which any particular Notes
are subject.

 

Each
Global Note shall represent such principal amount of the
outstanding Notes as shall be specified therein and shall provide
that it shall represent the aggregate principal amount of
outstanding Notes from time to time endorsed thereon and that the
aggregate principal amount of outstanding Notes represented thereby
may from time to time be increased or reduced to reflect
redemptions, repurchases, cancellations, conversions, transfers or
exchanges permitted hereby. Any endorsement of a Global Note to
reflect the amount of any increase or decrease in the amount of
outstanding Notes represented thereby shall be made by the Trustee
or the Note Registrar, at the direction of the Trustee, in such
manner and upon instructions given by the Holder of such Notes in
accordance with this Indenture. Payment of principal (including the
Redemption Price and the Fundamental Change Repurchase Price, if
applicable) of, and accrued and unpaid interest on, a Global Note
shall be made to the Holder of such Note on the date of payment,
unless a record date or other means of determining Holders eligible
to receive payment is provided for herein.

 

 

16

 

Section
2.03                                Date
and Denomination of Notes; Payments of Interest and Defaulted
Amounts. (a) The Notes shall be issuable only
in registered form without coupons and only in minimum
denominations of $1,000 principal amount and integral multiples of
$1,000 in excess thereof. Each Note shall be dated the date of its
authentication and shall bear interest from, and including, the
date specified on the face of such Note. Accrued interest on the
Notes shall be computed on the basis of a 360-day year composed of
twelve 30-day months and, for partial months, on the basis of the
number of days actually elapsed in a 30-day month.

 

(b)           The
Person in whose name any Note (or its Predecessor Note) is
registered on the Note Register at the close of business on any
Regular Record Date with respect to any Interest Payment Date shall
be entitled to receive the interest payable on such Interest
Payment Date. The principal amount of any Note (x) in the case
of any Physical Note, shall be payable at the office or agency of
the Company maintained by the Company for such purposes in the
contiguous United States, which shall initially be the Corporate
Trust Office and (y) in the case of any Global Note, shall be
payable by wire transfer of immediately available funds to the
account of the Depositary or its nominee. The Company shall pay, or
cause the Paying Agent to pay (to the extent funded by the
Company),interest (i) on any Physical Notes (A) to
Holders holding Physical Notes having an aggregate principal amount
of $5,000,000 or less, by check mailed (at the Company’s
expense) to the Holders of these Notes at their address as it
appears in the Note Register and (B) to Holders holding
Physical Notes having an aggregate principal amount of more than
$5,000,000, either by check mailed to each Holder or, upon
application by such a Holder to the Trustee not later than the
relevant Regular Record Date, by wire transfer in immediately
available funds to that Holder’s account within the United
States, which application shall remain in effect until the Holder
notifies, in writing, the Trustee to the contrary or (ii) on
any Global Note by wire transfer of immediately available funds to
the account of the Depositary or its nominee.

 

(c)           Any
Defaulted Amounts shall forthwith cease to be payable to the Holder
on the relevant payment date but shall accrue interest per annum at
the rate borne by the Notes, subject to the enforceability thereof
under applicable law, from, and including, such relevant payment
date, and such Defaulted Amounts together with such interest
thereon shall be paid by the Company, at its election in each case,
as provided in clause (i) or (ii) below:

 

(i)           The
Company may elect to make payment of any Defaulted Amounts to the
Persons in whose names the Notes (or their respective Predecessor
Notes) are registered at the close of business on a special record
date for the payment of such Defaulted Amounts, which shall be
fixed in the following manner. The Company shall notify the Trustee
in writing of the amount of the Defaulted Amounts proposed to be
paid on each Note and the date of the proposed payment (which shall
be not less than 25 days after the receipt by the Trustee of such
notice), and at the same time the Company shall deposit with the
Trustee an amount of money equal to the aggregate amount to be paid
in respect of such Defaulted Amounts or shall make arrangements
satisfactory to the Trustee for such deposit on or prior to the
date of the proposed payment, such money when deposited to be held
in trust for the benefit of the Persons entitled to such Defaulted
Amounts as in this clause provided. Thereupon the Company shall fix
a special record date for the payment of such Defaulted Amounts
which shall be not more than 15 days and not less than 10 days
prior to the date of the proposed payment, and not less than 10
days after the receipt by the Trustee of the notice of the proposed
payment. The Company shall promptly notify the Trustee of such
special record date at least five (5) Business Days before
such notice is to be sent to the Holders, and the Trustee, in the
name and at the expense of the Company, shall cause notice of the
proposed payment of such Defaulted Amounts and the special record
date therefor to be sent to each Holder not less than 10 days
prior to such special record date. Notice of the proposed payment
of such Defaulted Amounts and the special record date therefor
having been so sent, such Defaulted Amounts shall be paid to the
Persons in whose names the Notes (or their respective Predecessor
Notes) are registered at the close of business on such special
record date and shall no longer be payable pursuant to the
following clause (ii) of this Section 2.03(c).
The Trustee shall have no responsibility for the calculation of
Defaulted Amounts.

 

 

 

17

 

(ii)           The
Company may make payment of any Defaulted Amounts in any other
lawful manner not inconsistent with the requirements of any
securities exchange or automated quotation system on which the
Notes may be listed or designated for issuance, and upon such
notice as may be required by such exchange or automated quotation
system, if, after written notice given by the Company to the
Trustee of the proposed payment pursuant to this clause, such
manner of payment shall be practicable in consultation with the
Trustee.

 

Section
2.04                                Execution,
Authentication and Delivery of Notes. The Notes shall be signed in the name
and on behalf of the Company by the manual or facsimile signature
by one of its Chief Executive Officer, President, Chief Financial
Officer, Treasurer, Secretary or any of its Executive or Senior
Vice Presidents.

 

At any
time and from time to time after the execution and delivery of this
Indenture, the Company may deliver Notes executed by the Company to
the Trustee for authentication, together with a Company Order for
the authentication and delivery of such Notes, such Company Order
to specify the amount of Notes to be authenticated, the applicable
rate at which interest will accrue on such Notes, the date on which
the original issuance of such Notes is to be authenticated, the
date from which interest on such Notes will begin to accrue, the
date or dates on which interest on such Notes will be payable and
the date on which the principal of such Notes will be payable and
other terms relating to such Notes; provided that the Trustee shall
be entitled to receive an Officers’ Certificate and an
Opinion of Counsel with respect to the issuance, authentication and
delivery of such Notes as provided in Section 17.05. The Trustee
shall thereupon in accordance with such Company Order manually
authenticate and deliver such Notes, without any further action by
the Company hereunder.

 

Only
such Notes as shall bear thereon a certificate of authentication
substantially in the form set forth on the Form of Note attached as
Exhibit A
hereto, executed manually by an authorized officer of the Trustee
(or an authenticating agent appointed by the Trustee as provided by
Section 17.10), shall be
entitled to the benefits of this Indenture or be valid or
obligatory for any purpose. Such certificate by the Trustee (or
such an authenticating agent) upon any Note executed by the Company
shall be conclusive evidence that the Note so authenticated has
been duly authenticated and delivered hereunder and that the Holder
is entitled to the benefits of this Indenture.

 

In case
any Officer of the Company who shall have signed any of the Notes
shall cease to be such Officer before the Notes so signed shall
have been authenticated and delivered by the Trustee, or disposed
of by the Company, such Notes nevertheless may be authenticated and
delivered or disposed of as though the person who signed such Notes
had not ceased to be such Officer of the Company; and any Note may
be signed on behalf of the Company by such persons as, at the
actual date of the execution of such Note, shall be the Officers of
the Company, although at the date of the execution of this
Indenture any such person was not such an Officer.

 

Section
2.05                                Exchange
and Registration of Transfer of Notes; Restrictions on Transfer;
Depositary. (a) The Company shall cause to be
kept at the Corporate Trust Office a register (the register
maintained in such office or in any other office or agency of the
Company designated pursuant to Section 4.02, the
“Note Register”)
in which, subject to such reasonable regulations as it may
prescribe, the Company shall provide for the registration of Notes
and of transfers of Notes. Such register shall be in written form
or in any form capable of being converted into written form within
a reasonable period of time. The Trustee is hereby initially
appointed the “Note
Registrar” for the purpose of registering Notes and
transfers of Notes as herein provided. The Company may appoint one
or more co-Note Registrars in accordance with Section 4.02.

 

 

18

 

 

Upon
surrender for registration of transfer of any Note to the Note
Registrar or any co-Note Registrar, and satisfaction of the
requirements for such transfer set forth in this Section 2.05, the Company
shall execute, and the Trustee shall authenticate and deliver, in
the name of the designated transferee or transferees, one or more
new Notes of any authorized denominations and of a like aggregate
principal amount and bearing such restrictive legends as may be
required by this Indenture.

 

Notes
may be exchanged for other Notes of any authorized denominations
and of a like aggregate principal amount, upon surrender of the
Notes to be exchanged at any such office or agency maintained by
the Company pursuant to Section 4.02. Whenever any
Notes are so surrendered for exchange, the Company shall execute,
and the Trustee shall authenticate and deliver, the Notes that the
Holder making the exchange is entitled to receive, bearing
registration numbers not contemporaneously
outstanding.

 

All
Notes presented or surrendered for registration of transfer or for
exchange, repurchase or conversion shall (if so required by the
Company, the Trustee, the Note Registrar or any co-Note Registrar)
be duly endorsed, or be accompanied by a written instrument or
instruments of transfer in form satisfactory to the Company and the
Note Registrar and duly executed, by the Holder thereof or its
attorney-in-fact duly authorized in writing. Each Holder presenting
or surrendering for registration or transfer or for exchange shall
(if so required by the Trustee), provide to the Trustee such security or
indemnity satisfactory to the Trustee against any loss, liability
or expense to be incurred therein or thereby.

 

No
service charge shall be imposed by the Company, the Trustee, the
Note Registrar, any co-Note Registrar or the Paying Agent for any
exchange or registration of transfer of Notes, but the Company may
require a Holder to pay a sum sufficient to cover any documentary,
stamp or similar issue or transfer tax required in connection
therewith as a result of the name of the Holder of new Notes issued
upon such exchange or registration of transfer being different from
the name of the Holder of the old Notes surrendered for exchange or
registration of transfer.

 

None of
the Company, the Trustee, the Note Registrar or any co-Note
Registrar shall be required to exchange or register a transfer of
(i) any Notes surrendered for conversion or, if a portion of
any Note is surrendered for conversion, such portion thereof
surrendered for conversion, (ii) any Notes, or a portion of
any Note, surrendered for repurchase (and not withdrawn) in
accordance with Article 15 or
(iii) any Notes selected for redemption in accordance with
Article 16,
except the unredeemed portion of any Note being redeemed in
part.

 

All
Notes issued upon any registration of transfer or exchange of Notes
in accordance with this Indenture shall be the valid obligations of
the Company, evidencing the same debt, and entitled to the same
benefits under this Indenture as the Notes surrendered upon such
registration of transfer or exchange.

 

(b)           So
long as the Notes are eligible for book-entry settlement with the
Depositary, unless otherwise required by law, subject to the fourth
paragraph from the end of Section 2.05(c)
all Notes shall be represented by one
or more Notes in global form (each, a “Global Note”) registered in the name of the Depositary
or the nominee of the Depositary. The transfer and exchange of
beneficial interests in a Global Note that does not involve the
issuance of a Physical Note shall be effected through the
Depositary (but not the Trustee or the Custodian) in accordance
with this Indenture (including the restrictions on transfer set
forth herein) and the procedures of the Depositary
therefor.

 

 

19

 

 

(c)           Every
Note that bears or is required under this Section 2.05(c)
to bear the legend set forth in
this Section 2.05(c)
(together with any Common Stock issued
upon conversion of the Notes that is required to bear the legend
set forth in Section 2.05(d),
collectively, the “Restricted
Securities”) shall be
subject to the restrictions on transfer set forth in this
Section 2.05(c)
(including the legend set forth
below), unless such restrictions on transfer shall be eliminated or
otherwise waived by written consent of the Company, and the Holder
of each such Restricted Security, by such Holder’s acceptance
thereof, agrees to be bound by all such restrictions on transfer.
As used in this Section 2.05(c)
and Section 2.05(d),
the term “transfer” encompasses any sale, pledge, transfer or
other disposition whatsoever of any Restricted
Security.

 

Any
certificate evidencing such Note (and all securities issued in
exchange therefor or substitution thereof, other than Common Stock,
if any, issued upon conversion thereof, which shall bear the legend
set forth in Section 2.05(d), if
applicable) shall bear a legend in substantially the following form
(unless (i) such Notes have been transferred pursuant to a
registration statement that has become or been declared effective
under the Securities Act and that continues to be effective at the
time of such transfer, (ii) such Notes have been or sold pursuant
to the exemption from registration provided by Rule 144 or any
similar provision then in force under the Securities Act, which
results in such Notes not being subject to transfer restrictions
under the Securities Act and pursuant to which the Company
reasonably believes such legend may be removed in compliance with
applicable law, or (iii)otherwise agreed by the Company in writing,
with notice thereof to the Trustee):

 

THIS
SECURITY AND THE CLASS B COMMON STOCK, IF ANY, ISSUABLE UPON
CONVERSION OF THIS SECURITY HAVE NOT BEEN REGISTERED UNDER THE
SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND MAY NOT BE
OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED EXCEPT IN
ACCORDANCE WITH THE FOLLOWING SENTENCE. BY ITS ACQUISITION HEREOF
OR OF A BENEFICIAL INTEREST HEREIN, THE ACQUIRER:

 

(1)           REPRESENTS
THAT IT AND ANY ACCOUNT FOR WHICH IT IS ACTING IS A
“QUALIFIED INSTITUTIONAL BUYER” (WITHIN THE MEANING OF
RULE 144A UNDER THE SECURITIES ACT) AND THAT IT EXERCISES SOLE
INVESTMENT DISCRETION WITH RESPECT TO EACH SUCH ACCOUNT,
AND

 

(2)           AGREES
FOR THE BENEFIT OF RUMBLEON, INC. (THE “COMPANY”) THAT IT WILL NOT OFFER,
SELL, PLEDGE OR OTHERWISE TRANSFER THIS SECURITY OR ANY BENEFICIAL
INTEREST HEREIN, EXCEPT:

 

(A)           TO
THE COMPANY OR ANY SUBSIDIARY THEREOF, OR

 

(B)           PURSUANT
TO, AND IN ACCORDANCE WITH, A REGISTRATION STATEMENT THAT IS
EFFECTIVE UNDER THE SECURITIES ACT AT THE TIME OF SUCH TRANSFER,
OR

 

(C)           TO
A QUALIFIED INSTITUTIONAL BUYER IN COMPLIANCE WITH RULE 144A
UNDER THE SECURITIES ACT, OR

 

(D)           PURSUANT
TO AN EXEMPTION FROM REGISTRATION PROVIDED BY RULE 144 UNDER
THE SECURITIES ACT OR ANY OTHER AVAILABLE EXEMPTION FROM THE
REGISTRATION REQUIREMENTS OF THE SECURITIES
ACT.

 

 

20

 

PRIOR
TO THE REGISTRATION OF ANY TRANSFER IN ACCORDANCE WITH
CLAUSE (2)(D) ABOVE, THE COMPANY AND THE TRUSTEE RESERVE THE
RIGHT TO REQUIRE THE DELIVERY OF SUCH LEGAL OPINIONS,
CERTIFICATIONS OR OTHER EVIDENCE AS MAY REASONABLY BE REQUIRED IN
ORDER FOR THE COMPANY TO DETERMINE THAT THE PROPOSED TRANSFER IS
BEING MADE IN COMPLIANCE WITH THE SECURITIES ACT AND APPLICABLE
STATE SECURITIES LAWS. NO REPRESENTATION IS MADE AS TO THE
AVAILABILITY OF ANY EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF
THE SECURITIES ACT.

 

No
transfer of any Note that bears the legend set forth in this
Section 2.05(c) will be registered by the Note Registrar unless the
applicable box on the Form of Assignment and Transfer has been
checked.

 

Any
Note (or security issued in exchange or substitution therefor)
(i) that has been transferred pursuant to a registration
statement that has become effective or been declared effective
under the Securities Act and that continues to be effective at the
time of such transfer or (ii) that has been sold pursuant to
the exemption from registration provided by Rule 144 or any
similar provision then in force under the Securities Act which
results in such Notes not being subject to transfer restrictions
under the Securities Act and pursuant to which the Company
reasonably believes such legend may be removed in compliance with
applicable laws, may, upon surrender of such Note for exchange to
the Note Registrar in accordance with the provisions of this
Section 2.05,
be exchanged for a new Note or Notes, of like tenor and aggregate
principal amount, which shall not bear the restrictive legend
required by this Section 2.05(c) and shall
not be assigned a restricted CUSIP number. The Company shall be
entitled to instruct the Custodian in writing to so surrender any
Global Note as to which any of the conditions set forth in
clause (i) through (iii) of the immediately preceding sentence
have been satisfied, and, upon such instruction, the Custodian
shall so surrender such Global Note for exchange in accordance with
the applicable procedures of the Depositary; and any new Global
Note so exchanged therefor shall not bear the restrictive legend
specified in this Section 2.05(c) and shall
not be assigned a restricted CUSIP number. The Company shall
promptly notify the Trustee after a registration statement, if any,
with respect to the Notes or any Common Stock issued upon
conversion of the Notes has been declared effective under the
Securities Act. Any exchange pursuant to the forgoing paragraph
shall be in accordance with the applicable procedures of the
Depositary.

 

Notwithstanding any
other provisions of this Indenture (other than the provisions set
forth in this Section 2.05(c)), a Global
Note may not be transferred as a whole or in part except
(i) by the Depositary to a nominee of the Depositary or by a
nominee of the Depositary to the Depositary or another nominee of
the Depositary or by the Depositary or any such nominee to a
successor Depositary or a nominee of such successor Depositary and
(ii) for exchange of a Global Note or a portion thereof for
one or more Physical Notes in accordance with the second
immediately succeeding paragraph.

 

The
Depositary shall be a clearing agency registered under the Exchange
Act. The Company initially appoints The Depository Trust Company to
act as Depositary with respect to each Global Note. Initially, each
Global Note shall be issued to the Depositary, registered in the
name of Cede & Co., as the nominee of the Depositary, and
deposited with the Trustee as custodian for Cede &
Co.

 

 

21

 

If
(i) the Depositary notifies the Company at any time that the
Depositary is unwilling or unable to continue as depositary for the
Global Notes and a successor depositary is not appointed within
90 days, (ii) the Depositary ceases to be registered as a
clearing agency under the Exchange Act and a successor depositary
is not appointed within 90 days or (iii) an Event of Default
with respect to the Notes has occurred and is continuing, subject
to the Depositary’s applicable procedures, and a beneficial
owner of any Note requests that its beneficial interest therein be
issued as a Physical Note, the Company shall execute, and the
Trustee, upon receipt of an Officers’ Certificate and a
Company Order for the authentication and delivery of Notes, shall
authenticate and deliver (x) in the case of clause (iii),
a Physical Note to such beneficial owner in a principal amount
equal to the principal amount of such Note corresponding to such
beneficial owner’s beneficial interest and (y) in the
case of clause (i) or (ii), Physical Notes to each beneficial
owner of the related Global Notes (or a portion thereof) in an
aggregate principal amount equal to the aggregate principal amount
of such Global Notes in exchange for such Global Notes, and upon
delivery of the Global Notes to the Trustee such Global Notes shall
be canceled.

 

Physical Notes
issued in exchange for all or a part of the Global Note pursuant to
this Section 2.05(c) shall be
registered in such names and in such authorized denominations as
the Depositary, pursuant to instructions from its direct or
indirect participants or otherwise, or, in the case of clause
(iii) of the immediately preceding paragraph, the relevant
beneficial owner, shall instruct the Trustee. Upon execution and
authentication, the Trustee shall deliver such Physical Notes to
the Persons in whose names such Physical Notes are so
registered.

 

At such
time as all interests in a Global Note have been converted,
canceled, repurchased, redeemed or transferred, such Global Note
shall be, upon receipt thereof, canceled by the Trustee in
accordance with standing procedures and existing instructions
between the Depositary and the Custodian. At any time prior to such
cancellation, if any interest in a Global Note is exchanged for
Physical Notes, converted, canceled, repurchased, redeemed or
transferred to a transferee who receives Physical Notes therefor or
any Physical Note is exchanged or transferred for part of such
Global Note, the principal amount of such Global Note shall, in
accordance with the standing procedures and instructions existing
between the Depositary and the Custodian, be appropriately reduced
or increased, as the case may be, and an endorsement shall be made
on such Global Note, by the Trustee or the Custodian, at the
direction of the Trustee, to reflect such reduction or
increase.

 

None of
the Company, the Trustee, the Paying Agent, the Conversion Agent or
any agent of the Company or the Trustee shall have any
responsibility or liability for the payment of amounts to
beneficial holders, any aspect of the records relating to or
payments made on account of beneficial ownership interests of a
Global Note or maintaining, supervising or reviewing any records
relating to such beneficial ownership interests.

 

(d)           Any
stock certificate representing Common Stock issued upon conversion
of a Note (including any Common Stock delivered in connection with
the payment of an Interest Make-Whole Payment) shall bear a legend
in substantially the following form (unless (i) such Common Stock
has been transferred pursuant to a registration statement that has
become or been declared effective under the Securities Act and that
continues to be effective at the time of such transfer, or (ii) the
Note or such Common Stock has been sold pursuant to the exemption
from registration provided by Rule 144 or any similar
provision then in force under the Securities Act, which results in
such Common Stock not being subject to transfer restrictions under
the Securities Act and pursuant to which the Company reasonably
believes such legend may be removed in compliance with applicable
law, or (iii) such Common Stock has been issued upon conversion of
a Note that has transferred pursuant to a registration statement
that has become or been declared effective under the Securities Act
and that continues to be effective at the time of such transfer, or
pursuant to the exemption from registration provided by
Rule 144 or any similar provision then in force under the
Securities Act, which results in such Notes not being subject to
transfer restrictions under the Securities Act and pursuant to
which the Company reasonably believes such legend may be removed in
compliance with applicable law, or unless otherwise agreed by the
Company with written notice thereof to the Trustee and any transfer
agent for the Common Stock):

 

 

22

 

THIS
SECURITY HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933,
AS AMENDED (THE “SECURITIES
ACT”), AND MAY NOT BE OFFERED, SOLD, PLEDGED OR
OTHERWISE TRANSFERRED EXCEPT IN ACCORDANCE WITH THE FOLLOWING
SENTENCE. BY ITS ACQUISITION HEREOF OR OF A BENEFICIAL INTEREST
HEREIN, THE ACQUIRER:

 

(1)           REPRESENTS
THAT IT AND ANY ACCOUNT FOR WHICH IT IS ACTING IS A
“QUALIFIED INSTITUTIONAL BUYER” (WITHIN THE MEANING OF
RULE 144A UNDER THE SECURITIES ACT) AND THAT IT EXERCISES SOLE
INVESTMENT DISCRETION WITH RESPECT TO EACH SUCH ACCOUNT,
AND

 

(2)           AGREES
FOR THE BENEFIT OF RUMBLEON, INC. (THE “COMPANY”) THAT IT WILL NOT OFFER,
SELL, PLEDGE OR OTHERWISE TRANSFER THIS SECURITY OR ANY BENEFICIAL
INTEREST HEREIN, EXCEPT:

 

(A)           TO
THE COMPANY OR ANY SUBSIDIARY THEREOF, OR

 

(B)           PURSUANT
TO, AND IN ACCORDANCE WITH A REGISTRATION STATEMENT THAT IS
EFFECTIVE UNDER THE SECURITIES ACT AT THE TIME OF SUCH TRANSFER,
OR

 

(C)           TO
A QUALIFIED INSTITUTIONAL BUYER IN COMPLIANCE WITH RULE 144A
UNDER THE SECURITIES ACT, OR

 

(D)           PURSUANT
TO AN EXEMPTION FROM REGISTRATION PROVIDED BY RULE 144 UNDER
THE SECURITIES ACT OR ANY OTHER AVAILABLE EXEMPTION FROM THE
REGISTRATION REQUIREMENTS OF THE SECURITIES
ACT.

 

PRIOR
TO THE REGISTRATION OF ANY TRANSFER IN ACCORDANCE WITH
CLAUSE (2)(D) ABOVE, THE COMPANY AND THE TRANSFER AGENT FOR
THE COMPANY’S CLASS B COMMON STOCK RESERVE THE RIGHT TO
REQUIRE THE DELIVERY OF SUCH LEGAL OPINIONS, CERTIFICATIONS OR
OTHER EVIDENCE AS MAY REASONABLY BE REQUIRED IN ORDER FOR THE
COMPANY TO DETERMINE THAT THE PROPOSED TRANSFER IS BEING MADE IN
COMPLIANCE WITH THE SECURITIES ACT AND APPLICABLE STATE SECURITIES
LAWS. NO REPRESENTATION IS MADE AS TO THE AVAILABILITY OF ANY
EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES
ACT.

 

Any
such Common Stock (i) as to which such restrictions on
transfer shall have expired in accordance with their terms,
(ii) that has been transferred pursuant to a registration
statement that has become or been declared effective under the
Securities Act and that continues to be effective at the time of
such transfer or (iii) that has been sold pursuant to the
exemption from registration provided by Rule 144 or any
similar provision then in force under the Securities Act, which
results in such Common Stock not being subject to transfer
restrictions under the Securities Act and pursuant to which the
Company reasonably believes such legend may be removed in
compliance with applicable law, may, upon surrender of the
certificates representing such shares of Common Stock for exchange
in accordance with the procedures of the transfer agent for the
Common Stock, be exchanged for a new certificate or certificates
for a like aggregate number of shares of Common Stock, which shall
not bear the restrictive legend required by this Section 2.05(d).

 

 

23

 

(e)           Any
Note or Common Stock issued upon the conversion or exchange of a
Note that is repurchased or owned by any Affiliate of the Company
(or any Person who was an Affiliate of the Company at any time
during the three months immediately preceding) may not be resold by
such Affiliate (or such Person, as the case may be) unless
registered under the Securities Act or resold pursuant to an
exemption from the registration requirements of the Securities Act
in a transaction that results in such Note or Common Stock, as the
case may be, no longer being a “restricted security”
(as defined under Rule 144). The Company shall cause any Note
that is repurchased or owned by it to be surrendered to the Trustee
for cancellation in accordance with Section 2.08.

 

(f)           The
Trustee shall have no obligation or duty to monitor, determine or
inquire as to compliance with any securities laws or restrictions
on transfer imposed under this Indenture or under applicable law
with respect to any transfer of any interest in any Note (including
any transfers between or among Depositary participants or
beneficial owners of interests in any Global Note) other than to
require delivery of such certificates and other documentation or
evidence as are expressly required by, and to do so if and when
expressly required by the terms of, this Indenture, and to examine
the same to determine substantial compliance as to form with the
express requirements hereof.

 

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

 

Section
2.06                                Mutilated,
Destroyed, Lost or Stolen Notes. In case any Note shall become
mutilated or be destroyed, lost or stolen, the Company in its
discretion may execute, and upon receipt of a Company Order the
Trustee or an authenticating agent appointed by the Trustee shall
authenticate and deliver, a new Note, bearing a registration number
not contemporaneously outstanding, in exchange and substitution for
the mutilated Note, or in lieu of and in substitution for the Note
so destroyed, lost or stolen. In every case the applicant for a
substituted Note shall furnish to the Company, to the Trustee and,
if applicable, to such authenticating agent such security or
indemnity as may be required by them to save each of them harmless
from any loss, liability, cost or expense caused by or connected
with such substitution, and, in every case of destruction, loss or
theft, the applicant shall also furnish to the Company, to the
Trustee and, if applicable, to such authenticating agent evidence
to their satisfaction of the destruction, loss or theft of such
Note and of the ownership thereof.

 

The
Trustee or such authenticating agent may authenticate any such
substituted Note and deliver the same upon the receipt of a Company
Order and such security or indemnity as the Trustee, the Company
and, if applicable, such authenticating agent may require. No
service charge shall be imposed by the Company, the Trustee, the
Note Registrar, any co-Note Registrar or the Paying Agent upon the
issuance of any substitute Note, but the Company may require a
Holder to pay a sum sufficient to cover any documentary, stamp or
similar issue or transfer tax required in connection therewith as a
result of the name of the Holder of the new substitute Note being
different from the name of the Holder of the old Note that became
mutilated or was destroyed, lost or stolen. In case any Note that
has matured or is about to mature or has been surrendered for
required repurchase or is about to be converted in accordance with
Article 14
shall become mutilated or be destroyed, lost or stolen, the Company
may, in its sole discretion, instead of issuing a substitute Note,
pay or authorize the payment of or convert or authorize the
conversion of the same (without surrender thereof except in the
case of a mutilated Note), as the case may be, if the applicant for
such payment or conversion shall furnish to the Company, to the
Trustee and, if applicable, to such authenticating agent such
security or indemnity as may be required by them to save each of
them harmless for any loss, liability, cost or expense caused by or
connected with such substitution, and, in every case of
destruction, loss or theft, evidence satisfactory to the Company,
the Trustee and, if applicable, any Paying Agent or Conversion
Agent evidence of their satisfaction of the destruction, loss or
theft of such Note and of the ownership thereof.

 

 

24

 

Every
substitute Note issued pursuant to the provisions of this
Section 2.06
by virtue of the fact that any Note is destroyed, lost or stolen
shall constitute an additional contractual obligation of the
Company, whether or not the destroyed, lost or stolen Note shall be
found at any time, and shall be entitled to all the benefits of
(but shall be subject to all the limitations set forth in) this
Indenture equally and proportionately with any and all other Notes
duly issued hereunder. To the extent permitted by law, all Notes
shall be held and owned upon the express condition that the
foregoing provisions are exclusive with respect to the replacement,
payment, redemption, conversion or repurchase of mutilated,
destroyed, lost or stolen Notes and shall preclude any and all
other rights or remedies notwithstanding any law or statute
existing or hereafter enacted to the contrary with respect to the
replacement, payment, redemption, conversion or repurchase of
negotiable instruments or other securities without their
surrender.

 

Section
2.07                                Temporary
Notes. Pending the preparation of Physical
Notes, the Company may execute and the Trustee or an authenticating
agent appointed by the Trustee shall, upon written request of the
Company, authenticate and deliver temporary Notes (printed or
lithographed). Temporary Notes shall be issuable in any authorized
denomination, and substantially in the form of the Physical Notes
but with such omissions, insertions and variations as may be
appropriate for temporary Notes, all as may be determined by the
Company. Every such temporary Note shall be executed by the Company
and authenticated by the Trustee or such authenticating agent upon
the same conditions and in substantially the same manner, and with
the same effect, as the Physical Notes. Without unreasonable delay,
the Company shall execute and deliver to the Trustee or such
authenticating agent Physical Notes (other than any Global Note)
and thereupon any or all temporary Notes (other than any Global
Note) may be surrendered in exchange therefor, at each office or
agency maintained by the Company pursuant to Section 4.02 and the
Trustee or such authenticating agent upon receipt of a Company
Order shall authenticate and deliver in exchange for such temporary
Notes an equal aggregate principal amount of Physical Notes. Such
exchange shall be made by the Company at its own expense and
without any charge therefor. Until so exchanged, the temporary
Notes shall in all respects be entitled to the same benefits and
subject to the same limitations under this Indenture as Physical
Notes authenticated and delivered hereunder.

 

Section
2.08                                Cancellation
of Notes Paid, Converted, Etc. The Company shall
cause all Notes surrendered for the purpose of payment, repurchase,
redemption, registration of transfer or exchange or conversion, if
surrendered to any Person other than the Trustee (including any of
the Company’s agents, Subsidiaries or Affiliates), to be
surrendered to the Trustee for cancellation. All Notes delivered to
the Trustee shall be canceled promptly by it, and, except for Notes
surrendered for transfer or exchange, no Notes shall be
authenticated in exchange thereof except as expressly permitted by
any of the provisions of this Indenture. The Trustee shall deliver
an acknowledgment of such cancellation to the Company, at the
Company’s written request in a Company Order.

 

Section
2.09                                CUSIP
Numbers. The Company in issuing the Notes may
use “CUSIP” numbers (if then generally in use), and, if
so, the Trustee shall use “CUSIP” numbers in all
notices issued to Holders as a convenience to such Holders;
provided that any such
notice may state that no representation is made as to the
correctness of such numbers either as printed on the Notes or on
such notice and that reliance may be placed only on the other
identification numbers printed on the Notes. The Company shall
promptly notify the Trustee in writing of any change in the
“CUSIP” numbers.

 

 

 

25

 

 

 

 

 

Section
2.10                                Repurchases.
The Company may, to the extent permitted by law, and directly or
indirectly (regardless of whether such Notes are surrendered to the
Company), repurchase Notes in the open market or otherwise, whether
by the Company or its Subsidiaries or through a private or public
tender or exchange offer or through counterparties to private
agreements, including by cash-settled swaps or other derivatives.
The Company shall cause any Notes so repurchased (other than Notes
repurchased pursuant to cash-settled swaps or other derivatives) to
be surrendered to the Trustee for cancellation in accordance with
Section 2.08,
and the Trustee and no one else shall cancel all Notes so
surrendered and such Notes shall no longer be considered
outstanding under this Indenture upon their
cancellation.

 

ARTICLE 3

SATISFACTION AND
DISCHARGE

Section
3.01                                Satisfaction
and Discharge. This Indenture shall upon request of
the Company contained in an Officers’ Certificate cease to be
of further effect, and the Trustee, at the expense of the Company,
shall execute such instruments acknowledging satisfaction and
discharge of this Indenture as reasonably requested by the Company,
when (a) (i) all Notes theretofore authenticated and
delivered (other than Notes which have been destroyed, lost or
stolen and which have been replaced, paid or converted as provided
in Section 2.06) have been
delivered to the Trustee for cancellation; or (ii) the Company
has deposited with the Trustee or delivered to Holders, as
applicable, after the Notes have become due and payable, whether on
the Maturity Date, any Redemption Date, any Fundamental Change
Repurchase Date, upon conversion or otherwise, cash or cash, shares
of Common Stock or a combination thereof, as applicable (which
shall be delivered directly to the Holders and not to the Trustee),
solely to satisfy the Company’s Conversion Obligation,
sufficient to pay all of the outstanding Notes and all other sums
due and payable under this Indenture by the Company, including any
Interest Make-Whole Payment; and (b) the Company has delivered
to the Trustee an Officers’ Certificate and an Opinion of
Counsel, each stating that all conditions precedent herein provided
for relating to the satisfaction and discharge of this Indenture
have been complied with. Notwithstanding the satisfaction and
discharge of this Indenture, the obligations of the Company to the
Trustee under Section 7.06 shall
survive.

 

ARTICLE 4

PARTICULAR COVENANTS OF THE
COMPANY

Section
4.01                                Payment
of Principal and Interest. The Company covenants and agrees that
it will cause to be paid the principal (including the Redemption
Price and the Fundamental Change Repurchase Price, if applicable)
of, and accrued and unpaid interest on, each of the Notes at the
places, at the respective times and in the manner provided herein
and in the Notes. Principal, premium, if any, and interest shall be
considered paid on the date due if the Paying Agent, if other than
the Company, holds as of 12:00 p.m. (New York City time) on the due
date money deposited by the Company in immediately available funds
and designated for and sufficient to pay all principal, premium, if
any, and interest then due.

 

Section
4.02                                Maintenance
of Office or Agency. The Company will maintain in the
contiguous United States an office or agency where the Notes may be
surrendered for registration of transfer or exchange or for
presentation for payment or repurchase (“Paying Agent”) or for conversion
(“Conversion
Agent”). The Company will give prompt written notice
to the Trustee of the location, and any change in the location, of
such office or agency. If at any time the Company shall fail to
maintain any such required office or agency or shall fail to
furnish the Trustee with the address thereof, such presentations
and surrenders may be made or served at the Corporate Trust
Office.

 

 

 

26

 

The
Company may also from time to time designate as co-Note Registrars
one or more other offices or agencies where the Notes may be
presented or surrendered for any or all such purposes and may from
time to time rescind such designations; provided that no such designation or
rescission shall in any manner relieve the Company of its
obligation to maintain an office or agency in the contiguous United
States for such purposes. The Company will give prompt written
notice to the Trustee of any such designation or rescission and of
any change in the location of any such other office or agency. The
terms “Paying
Agent” and “Conversion Agent” include any such
additional or other offices or agencies, as
applicable.

 

The
Company hereby initially designates the Trustee as the Paying Agent
(other than for purposes of Article 15, which shall be appointed by
the Company in connection with a Fundamental Change), Note
Registrar, Custodian and Conversion Agent and the Corporate Trust
Office as the office or agency in the contiguous United States,
where Notes may be surrendered for registration of transfer or
exchange or for presentation for payment or repurchase or for
conversion.

 

Section
4.03                                Appointments
to Fill Vacancies in Trustee’s
Office. The Company, whenever necessary to
avoid or fill a vacancy in the office of Trustee, will appoint, in
the manner provided in Section 7.09, a Trustee,
so that there shall at all times be a Trustee
hereunder.

 

Section
4.04                                Provisions
as to Paying Agent. (a) If the Company shall appoint a
Paying Agent other than the Trustee, the Company will cause such
Paying Agent to execute and deliver to the Trustee an instrument in
which such agent shall agree with the Trustee, subject to the
provisions of this Section 4.04:

 

(i)           that
it will hold all sums held by it as such agent for the payment of
the principal (including the Redemption Price and the Fundamental
Change Repurchase Price, if applicable) of, and accrued and unpaid
interest on, the Notes in trust for the benefit of the Holders of
the Notes;

 

(ii)           that
it will give the Trustee prompt written notice of any failure by
the Company to make any payment of the principal (including the
Redemption Price and the Fundamental Change Repurchase Price, if
applicable) of, and accrued and unpaid interest on, the Notes when
the same shall be due and payable; and

 

(iii)           that
at any time during the continuance of an Event of Default, upon
request of the Trustee, it will forthwith pay to the Trustee all
sums so held in trust.

 

The
Company shall, on or before each due date of the principal
(including the Redemption Price and the Fundamental Change
Repurchase Price, if applicable) of, or accrued and unpaid interest
on, the Notes, deposit with the Paying Agent a sum in immediately
available funds sufficient to pay such principal (including the
Redemption Price and the Fundamental Change Repurchase Price, if
applicable) or accrued and unpaid interest, and (unless such Paying
Agent is the Trustee) the Company will promptly notify the Trustee
in writing of any failure to take such action; provided that if such deposit is made
on the due date, such deposit must be received by the Paying Agent
by 11:00 a.m., New York City time, on such
date.

 

(b)           If
the Company shall act as its own Paying Agent, it will, on or
before each due date of the principal (including the Redemption
Price and the Fundamental Change Repurchase Price, if applicable)
of, and accrued and unpaid interest on, the Notes, set aside,
segregate and hold in trust for the benefit of the Holders of the
Notes a sum sufficient to pay such principal (including the
Redemption Price and the Fundamental Change Repurchase Price, if
applicable) and accrued and unpaid interest so becoming due and
will promptly notify the Trustee in writing of any failure to take
such action and of any failure by the Company to make any payment
of the principal (including the Redemption Price and the
Fundamental Change Repurchase Price, if applicable) of, or accrued
and unpaid interest on, the Notes when the same shall become due
and payable. The Company or any Affiliate of the Company may act as
Paying Agent (except for the purposes of Article 3).
Upon the occurrence of any Event of Default under
Section 6.01(i)
or Section 6.01(j),
the Trustee shall automatically be the Paying
Agent.

 

 

27

 

(c)           Anything
in this Section 4.04
to the contrary notwithstanding, the
Company may, at any time, for the purpose of obtaining a
satisfaction and discharge of this Indenture, or for any other
reason, pay, cause to be paid or deliver to the Trustee all sums or
amounts held in trust by the Company or any Paying Agent hereunder
as required by this Section 4.04,
such sums or amounts to be held by the Trustee upon the trusts
herein contained and upon such payment or delivery by the Company
or any Paying Agent to the Trustee, the Company or such Paying
Agent shall be released from all further liability but only with
respect to such sums or amounts.

 

(d)           Subject
to applicable abandoned property laws, any money or property
deposited with the Trustee or any Paying Agent, or then held by the
Company, in trust for the payment of the principal (including the
Redemption Price and the Fundamental Change Repurchase Price, if
applicable) of, accrued and unpaid interest on and the
consideration due upon conversion of any Note and remaining
unclaimed for two years after such principal (including the
Redemption Price and the Fundamental Change Repurchase Price, if
applicable), interest or consideration due upon conversion has
become due and payable shall be paid or delivered, as the case may
be, to the Company on request of the Company contained in an
Officers’ Certificate, or (if then held by the Company) shall
be discharged from such trust; and the Holder of such Note shall
thereafter, as an unsecured general creditor, look only to the
Company for payment thereof, and all liability of the Trustee or
such Paying Agent with respect to such trust money or property, and
all liability of the Company as trustee thereof, shall thereupon
cease.

 

Section
4.05                                Existence.
Subject to Article 11, the Company
shall do or cause to be done all things necessary to preserve and
keep in full force and effect its corporate existence.

 

Section
4.06                                Rule 144A
Information Requirement and Annual
Reports.
(a) At any time the Company is not subject to Section 13 or
15(d) of the Exchange Act, the Company shall, so long as any of the
Notes or any shares of Common Stock issuable upon conversion
thereof shall, at such time, constitute “restricted
securities” within the meaning of Rule 144(a)(3) under
the Securities Act, promptly deliver to the Trustee and, upon
written request, any Holder, beneficial owner or prospective
purchaser of such Notes or any shares of Common Stock issuable upon
conversion of such Notes, the information required to be delivered
pursuant to Rule 144A(d)(4) under the Securities Act to
facilitate the resale of such Notes or shares of Common Stock
pursuant to Rule 144A. The Company shall take such further
action as any Holder or beneficial owner of such Notes or such
Common Stock may reasonably request to the extent from time to time
required to enable such Holder or beneficial owner to sell such
Notes or shares of Common Stock in accordance with Rule 144A,
as such rule may be amended from time to time.

 

(b)           The
Company shall deliver to the Trustee, within 15 days after the
same are required to be filed with the Commission, copies of any
documents or reports that the Company is required to file with the
Commission pursuant to Section 13 or 15(d) of the Exchange Act
(giving effect to any grace period provided by Rule 12b-25
under the Exchange Act). Any such document or report that the
Company files with the Commission via the Commission’s EDGAR
system shall be deemed to be delivered to the Trustee for purposes
of this Section 4.06(b)
at the time such documents are filed
via the EDGAR system, it being understood that the Trustee shall
not be responsible for determining whether such filings have been
made.

 

 

 

28

 

(c)           Delivery
of the reports and documents described in subsection (b) above
to the Trustee is for informational purposes only, and the
Trustee’s receipt of such shall not constitute actual or
constructive notice or knowledge of any information contained
therein or determinable from information contained therein,
including the Company’s compliance with any of its covenants
hereunder (as to which the Trustee is entitled to conclusively rely
on an Officers’ Certificate).

 

(d)           If,
at any time during the six-month period beginning on, and
including, the date that is six months after May 14, 2019, the
Company fails to timely file any document or report that it is
required to file with the Commission pursuant to Section 13 or
15(d) of the Exchange Act, as applicable (after giving effect to
all applicable grace periods thereunder and other than reports on
Form 8-K), or the Notes offered by the Offering Memorandum are not
otherwise freely tradable pursuant to Rule 144 by Holders
other than the Company’s Affiliates or Holders that were the
Company’s Affiliates at any time during the three months
immediately preceding (as a result of restrictions pursuant to U.S.
securities laws or the terms of this Indenture or the Notes), the
Company shall pay Additional Interest on such Notes. Such
Additional Interest shall accrue on such Notes at the rate of 0.50%
per annum of the principal amount of such Notes outstanding for
each day during such period for which the Company’s failure
to file has occurred and is continuing or such Notes are not
otherwise freely tradable pursuant to Rule 144 by Holders
other than the Company’s Affiliates (or Holders that were the
Company’s Affiliates at any time during the three months
immediately preceding). As used in this Section 4.06(d),
documents or reports that the Company is required to
“file” with the Commission pursuant to Section 13
or 15(d) of the Exchange Act does not include documents or reports
that the Company furnishes to the Commission pursuant to
Section 13 or 15(d) of the Exchange Act.

 

(e)           Additional
Interest will be payable in arrears on each Interest Payment Date
following accrual in the same manner as regular interest on the
Notes.

 

(f)           The
Additional Interest that is payable in accordance with
Section 4.06(d)
shall be in addition to, and not in
lieu of, any Additional Interest that may be payable as a result of
the Company’s election pursuant to Section 6.03
hereof or pursuant to the Registration
Rights Agreement.

 

(g)           If
Additional Interest is payable by the Company pursuant to
Section 4.06(d),
the Company shall deliver to the Trustee an Officers’
Certificate stating (i) the amount of such Additional Interest
that is payable, (ii) the date on which such Additional
Interest is payable and (iii) accompanied by a form of notice to be
delivered to Holders of such Additional Interest payment with a
direction to the Trustee to deliver such notice to the Holders.
Unless and until a Responsible Officer of the Trustee receives at
the Corporate Trust Office such a certificate, the Trustee may
assume without inquiry that no such Additional Interest is payable.
If the Company has paid such Additional Interest directly to the
Persons entitled to it, the Company shall deliver to the Trustee an
Officers’ Certificate setting forth the particulars of such
payment.

 

Section
4.07                                Stay,
Extension and Usury Laws. The Company covenants (to the extent
that it may lawfully do so) that it shall not at any time insist
upon, plead, or in any manner whatsoever claim or take the benefit
or advantage of, any stay, extension or usury law or other law that
would prohibit or forgive the Company from paying all or any
portion of the principal of or interest on the Notes as
contemplated herein, wherever enacted, now or at any time hereafter
in force, or that may affect the covenants or the performance of
this Indenture; and the Company (to the extent it may lawfully do
so) hereby expressly waives all benefit or advantage of any such
law, and covenants that it will not, by resort to any such law,
hinder, delay or impede the execution of any power herein granted
to the Trustee, but will suffer and permit the execution of every
such power as though no such law had been enacted.

 

 

 

29

 

Section
4.08                                Compliance
Certificate; Statements as to Defaults. The Company shall deliver to the
Trustee within 120 days after the end of each fiscal year of
the Company (beginning with the fiscal year ending on
December 31, 2019) an Officers’ Certificate stating
whether the signers thereof have knowledge of any failure by the
Company to comply with all conditions and covenants then required
to be performed under this Indenture, any Default or Event of
Default, and, if so, specifying each such failure, the nature
thereof and what actions the Company is taking or proposes to take
with respect thereto.

 

In
addition, the Company shall deliver to the Trustee, as soon as
possible, and in any event within 30 days after the occurrence of
any Event of Default or Default, an Officers’ Certificate
setting forth the details of such Event of Default or Default, its
status and the action that the Company is taking or proposing to
take in respect thereof. Unless and until a Responsible Officer of
the Trustee shall have received such Officers’ Certificate,
the Trustee shall not be deemed to have knowledge of any such Event
of Default or Default.

 

Section
4.09                                Additional
Interest pursuant to the Registration Rights
Agreement. If Additional
Interest is payable by the Company pursuant to the Registration
Rights Agreement, the Company shall deliver to the Trustee an
Officers’ Certificate to that effect stating (a) the amount
of such Additional Interest that is payable, (b) the date on which
such interest is payable and (c) accompanied by a form of notice to
be delivered to Holders of such Additional Interest payment with a
direction to the Trustee to deliver such notice to the Holders.
Unless and until a Responsible Officer of the Trustee receives at
the Corporate Trust Office such a certificate, the Trustee may
assume without inquiry that no such Additional Interest is
payable.

 

Section
4.10                                Limitation
on Liens Securing Indebtedness. The Company will not, nor will the
Company permit any of its Subsidiaries to create, assume or suffer
to exist any Lien to secure Indebtedness on any asset now owned or
hereafter acquired by the Company or any of its Subsidiaries except
for Permitted Liens; provided, however, that any Lien on such asset
shall be permitted notwithstanding that it is not a Permitted Lien
if all payments due under this Indenture and the Notes are secured
on an equal and ratable (or senior) basis with the obligations so
secured by such Lien until such time as such obligations are no
longer secured by a Lien.

 

The
foregoing covenant will immediately terminate, and any then
existing default thereof will immediately be deemed cured, upon the
earliest to occur of: (i) a Fundamental Change described in clause
(1) or (2) of the definition thereof, (ii) such time as less than
$3.0 million aggregate principal amount of Notes are outstanding
and (iii) both of (x) the conclusion of any 30 Trading Day period
during which the Last Reported Sale Price of the Common Stock has
been at least 150% of the Conversion Price then in effect for at
least 20 Trading Days (whether or not consecutive) and (y) the
initial effectiveness of the registration statement filed pursuant
to the Company’s obligations under the Registration Rights
Agreement. Any Lien created for the benefit of the Holders pursuant
to the foregoing covenant shall provide by its terms that such Lien
shall be automatically and unconditionally released and discharged
upon the earlier of (x) the termination of such Indebtedness and
(y) the termination of the foregoing covenant.

 

Section
4.11                                Further
Instruments and Acts. Upon request of the Trustee, the
Company will execute and deliver such further instruments and do
such further acts as may be reasonably necessary or proper to carry
out more effectively the purposes of this Indenture.

 

 

30

 

ARTICLE 5

LISTS OF HOLDERS AND REPORTS BY
THE COMPANY AND THE TRUSTEE

Section
5.01                                Lists
of Holders. The Company covenants and agrees that
it will furnish or cause to be furnished to the Trustee,
semi-annually, not more than 5 days after each April 15 and
October 15 in each year beginning with October 15, 2019,
and at such other times as the Trustee may request in writing,
within 15 days after receipt by the Company of any such request (or
such lesser time as the Trustee may reasonably request in order to
enable it to timely provide any notice to be provided by it
hereunder), a list in such form as the Trustee may reasonably
require of the names and addresses of the Holders as of a date not
more than 15 days (or such other date as the Trustee may reasonably
request in order to so provide any such notices) prior to the time
such information is furnished, except that no such list need be
furnished so long as the Trustee is acting as Note
Registrar.

 

Section
5.02                                Preservation
and Disclosure of Lists. The Trustee shall preserve, in as
current a form as is reasonably practicable, all information as to
the names and addresses of the Holders contained in the most recent
list furnished to it as provided in Section 5.01 or maintained
by the Trustee in its capacity as Note Registrar, if so acting. The
Trustee may destroy any list furnished to it as provided in
Section 5.01
upon receipt of a new list so furnished.

 

ARTICLE 6

DEFAULTS AND
REMEDIES

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

 

(a)           default
in any payment of interest on any Note when due and payable, and
the default continues for a period of 30 days;

 

(b)           default
in the payment of principal of any Note when due and payable on the
Maturity Date, upon Optional Redemption, upon any required
repurchase, upon declaration of acceleration or
otherwise;

 

(c)           failure
by the Company to comply with its obligation to convert the Notes
in accordance with this Indenture upon exercise of a Holder’s
conversion right, including the payment of any Interest Make-Whole
Payment;

 

(d)           failure
by the Company to issue a Fundamental Change Company Notice in
accordance with Section 15.02(c),
notice of the Effective Date of a Make-Whole Fundamental Change in
accordance with Section 14.03(b)
or notice of a specified distribution
or specified Corporate Event in accordance with Section 14.01(b)(ii)
or 14.01(b)(iii),
in each case, when due;

 

(e)           failure
by the Company to comply with its obligations under
Article 11;

 

(f)           failure
by the Company for 60 days after written notice from the Trustee or
the Holders of at least 25% in principal amount of the Notes then
outstanding has been received by the Company to comply with any of
its other agreements contained in the Notes or this
Indenture;

 

 

31

 

 

(g)           default
by the Company or any Significant Subsidiary of the Company with
respect to any mortgage, agreement or other instrument under which
there may be outstanding, or by which there may be secured or
evidenced, any indebtedness for money borrowed in excess of
$5,000,000 (or its foreign currency equivalent) in the aggregate of
the Company and/or any such Significant Subsidiary, whether such
indebtedness now exists or shall hereafter be created
(i) resulting in such indebtedness becoming or being declared
due and payable or (ii) constituting a failure to pay the
principal or interest of any such debt when due and payable at its
stated maturity, upon required repurchase, upon declaration of
acceleration or otherwise;

 

(h)           a
final judgment or judgments for the payment of $5,000,000 (or its
foreign currency equivalent) or more (excluding any amounts covered
by insurance) in the aggregate rendered against the Company or any
Subsidiary of the Company, which judgment is not discharged,
bonded, paid, waived or stayed within 90 days after
(i) the date on which the right to appeal thereof has expired
if no such appeal has commenced, or (ii) the date on which all
rights to appeal have been extinguished;

 

(i)           the
Company or any Significant Subsidiary shall commence a voluntary
case or other proceeding seeking liquidation, reorganization or
other relief with respect to the Company or any such Significant
Subsidiary or its debts under any bankruptcy, insolvency or other
similar law now or hereafter in effect or seeking the appointment
of a trustee, receiver, liquidator, custodian or other similar
official of the Company or any such Significant Subsidiary or any
substantial part of its property, or shall consent to any such
relief or to the appointment of or taking possession by any such
official in an involuntary case or other proceeding commenced
against it, or shall make a general assignment for the benefit of
creditors, or shall fail generally to pay its debts as they become
due; or

 

(j)           an
involuntary case or other proceeding shall be commenced against the
Company or any Significant Subsidiary seeking liquidation,
reorganization or other relief with respect to the Company or such
Significant Subsidiary or its debts under any bankruptcy,
insolvency or other similar law now or hereafter in effect or
seeking the appointment of a trustee, receiver, liquidator,
custodian or other similar official of the Company or such
Significant Subsidiary or any substantial part of its property, and
such involuntary case or other proceeding shall remain undismissed
and unstayed for a period of 30 consecutive
days.

 

Section
6.02                                Acceleration;
Rescission and Annulment. If one or more
Events of Default shall have occurred and be continuing (whatever
the reason for such Event of Default and whether it shall be
voluntary or involuntary or be effected by operation of law or
pursuant to any judgment, decree or order of any court or any
order, rule or regulation of any administrative or governmental
body), then, and in each and every such case (other than an Event
of Default specified in Section 6.01(i) or
Section 6.01(j) with
respect to the Company or any of its Significant Subsidiaries),
unless the principal of all of the Notes shall have already become
due and payable, the Trustee may, or the Holders of at least 25% in
aggregate principal amount of the Notes then outstanding determined
in accordance with Section 8.04, by notice in
writing to the Company (and to the Trustee if given by Holders),
may declare 100% of the principal of, and accrued and unpaid
interest on, all the Notes to be due and payable immediately, and
upon any such declaration the same shall become and shall
automatically be immediately due and payable, anything contained in
this Indenture or in the Notes to the contrary notwithstanding. If
an Event of Default specified in Section 6.01(i) or
Section 6.01(j) with
respect to the Company or any of its Significant Subsidiaries
occurs and is continuing, 100% of the principal of, and accrued and
unpaid interest, if any, on, all Notes shall become and shall
automatically be immediately due and payable.

 

 

32

 

The
immediately preceding paragraph, however, is subject to the
conditions that if, at any time after the principal of the Notes
shall have been so declared due and payable, and before any
judgment or decree for the payment of the monies due shall have
been obtained or entered as hereinafter provided, the Company shall
pay or shall deposit with the Trustee a sum in immediately
available funds sufficient to pay installments of accrued and
unpaid interest upon all Notes and the principal of any and all
Notes that shall have become due otherwise than by acceleration
(with interest on overdue installments of accrued and unpaid
interest to the extent that payment of such interest is enforceable
under applicable law, and on such principal at the rate borne by
the Notes at such time) and amounts due to the Trustee pursuant to
Section 7.06,
and if (1) rescission would not conflict with any judgment or
decree of a court of competent jurisdiction and (2) any and
all existing Events of Default under this Indenture, other than the
nonpayment of the principal of and accrued and unpaid interest, if
any, on Notes that shall have become due solely by such
acceleration, shall have been cured or waived pursuant to
Section 6.09,
then and in every such case (except as provided in the immediately
succeeding sentence) the Holders of a majority in aggregate
principal amount of the Notes then outstanding, by written notice
to the Company and to the Trustee, may waive all Defaults or Events
of Default with respect to the Notes and rescind and annul such
declaration and its consequences and such Default shall cease to
exist, and any Event of Default arising therefrom shall be deemed
to have been cured for every purpose of this Indenture; but no such
waiver or rescission and annulment shall extend to or shall affect
any subsequent Default or Event of Default, or shall impair any
right consequent thereon. Notwithstanding anything to the contrary
herein, no such waiver or rescission and annulment shall extend to
or shall affect any Default or Event of Default resulting from
(i) the nonpayment of the principal (including the Redemption
Price and the Fundamental Change Repurchase Price, if applicable)
of, or accrued and unpaid interest on, any Notes, (ii) a
failure to repurchase any Notes when required or (iii) a
failure to pay or deliver, as the case may be, the consideration
due upon conversion of the Notes.

 

Section
6.03                                Additional
Interest. Notwithstanding
anything in this Indenture or in the Notes to the contrary, to the
extent the Company elects, the sole remedy for an Event of Default
relating to the Company’s failure to (i) comply with its
obligations as set forth in Section 4.06(b) or (ii)
deliver to the Trustee pursuant to Section 314(a)(1) of the Trust
Indenture Act any documents or reports that it is required to file
with the SEC pursuant to Section 13 or 15(d) of the Exchange Act
shall after the occurrence of such an Event of Default consist
exclusively of the right to receive Additional Interest on the
Notes at a rate equal to 0.25% per annum of the principal amount of
the Notes outstanding for each day during the 60-day period on
which such Event of Default is continuing beginning on, and
including, the date on which such an Event of Default first occurs.
Additional Interest payable pursuant to this Section 6.03 shall be in
addition to, not in lieu of, any Additional Interest payable
pursuant to Section 4.06(d) hereof or
pursuant to the Registration Rights Agreement. If the Company so
elects, such Additional Interest shall be payable in the same
manner and on the same dates as the stated interest payable on the
Notes. On the 61st day after such Event of Default (if the Event of
Default relating to the Company’s failure to comply with (i)
its obligations as set forth in Section 4.06(b) or (ii) the
requirements of Section 314(a(1) of the Trust Indenture Act is not
cured or waived prior to such 61st day), the Notes shall be
immediately subject to acceleration as provided in Section 6.02. The
provisions of this paragraph will not affect the rights of Holders
of Notes in the event of the occurrence of any Event of Default
other than the Company’s failure to comply with (i) its
obligations as set forth in Section 4.06(b) or (ii)
the requirements of Section 314(a(1) of the Trust Indenture Act. In
the event the Company does not elect to pay Additional Interest
following an Event of Default in accordance with this Section 6.03 or the
Company elected to make such payment but does not pay the
Additional Interest when due, the Notes shall be immediately
subject to acceleration as provided in Section 6.02.

 

 

33

 

 

In
order to elect to pay Additional Interest as the sole remedy during
the first 60 days after the occurrence of any Event of Default
described in the immediately preceding paragraph, the Company must
notify in writing all Holders of the Notes, the Trustee and the
Paying Agent in writing of such election prior to the beginning of
such 60-day period. Upon the failure to timely give such written
notice, the Notes shall be immediately subject to acceleration as
provided in Section 6.02.

 

Section
6.04                                Payments
of Notes on Default; Suit Therefor. If an Event of Default described in
clause (a) or (b) of Section 6.01 shall have
occurred, the Company shall, upon demand of the Trustee, pay to the
Trustee, for the benefit of the Holders of the Notes, the whole
amount then due and payable on the Notes for principal and
interest, if any, with interest on any overdue principal and
interest, if any, at the rate borne by the Notes at such time, and,
in addition thereto, such further amount as shall be sufficient to
cover any amounts due to the Trustee under Section 7.06. If the
Company shall fail to pay such amounts forthwith upon such demand,
the Trustee, in its own name and as trustee of an express trust,
may institute a judicial proceeding for the collection of the sums
so due and unpaid, may prosecute such proceeding to judgment or
final decree and may enforce the same against the Company or any
other obligor upon the Notes and collect the moneys adjudged or
decreed to be payable in the manner provided by law out of the
property of the Company or any other obligor upon the Notes,
wherever situated.

In the
event there shall be pending proceedings for the bankruptcy or for
the reorganization of the Company or any other obligor on the Notes
under Title 11 of the United States Code, or any other
applicable law, or in case a receiver, assignee or trustee in
bankruptcy or reorganization, liquidator, sequestrator or similar
official shall have been appointed for or taken possession of the
Company or such other obligor, the property of the Company or such
other obligor, or in the event of any other judicial proceedings
relative to the Company or such other obligor upon the Notes, or to
the creditors or property of the Company or such other obligor, the
Trustee, irrespective of whether the principal of the Notes shall
then be due and payable as therein expressed or by declaration or
otherwise and irrespective of whether the Trustee shall have made
any demand pursuant to the provisions of this Section 6.04, shall be
entitled and empowered, by intervention in such proceedings or
otherwise, to file and prove a claim or claims for the whole amount
of principal and accrued and unpaid interest, if any, in respect of
the Notes, and, in case of any judicial proceedings, to file such
proofs of claim and other papers or documents and to take such
other actions as it may deem necessary or advisable in order to
have the claims of the Trustee (including any claim for the
compensation, reasonable expenses, disbursements and advances of
the Trustee, its agents and counsel) and of the Holders allowed in
such judicial proceedings relative to the Company or any other
obligor on the Notes, its or their creditors, or its or their
property, and to collect and receive any monies or other property
payable or deliverable on any such claims, and to distribute the
same after the deduction of any amounts due to the Trustee under
Section 7.06;
and any receiver, assignee or trustee in bankruptcy or
reorganization, liquidator, custodian or similar official is hereby
authorized by each of the Holders to make such payments to the
Trustee, as administrative expenses, and, in the event that the
Trustee shall consent to the making of such payments directly to
the Holders, to pay to the Trustee any amount due to it for
compensation, reasonable expenses, advances and disbursements,
including agents and counsel fees, and including any other amounts
due to the Trustee under Section 7.06, incurred by
it up to the date of such distribution. To the extent that such
payment of compensation, reasonable expenses, advances and
disbursements out of the estate in any such proceedings shall be
denied for any reason, payment of the same shall be secured by a
lien on, and shall be paid out of, any and all distributions,
dividends, monies, securities and other property that the Holders
of the Notes may be entitled to receive in such proceedings,
whether in liquidation or under any plan of reorganization or
arrangement or otherwise.

 

 

34

 

 

Nothing
herein contained shall be deemed to authorize the Trustee to
authorize or consent to or accept or adopt on behalf of any Holder
any plan of reorganization, arrangement, adjustment or composition
affecting such Holder or the rights of any Holder thereof, or to
authorize the Trustee to vote in respect of the claim of any Holder
in any such proceeding.

 

All
rights of action and of asserting claims under this Indenture, or
under any of the Notes, may be enforced by the Trustee without the
possession of any of the Notes, or the production thereof at any
trial or other proceeding relative thereto, and any such suit or
proceeding instituted by the Trustee shall be brought in its own
name as trustee of an express trust, and any recovery of judgment
shall, after provision for the payment of the reasonable
compensation, expenses, disbursements and advances of the Trustee,
its agents and counsel, be for the ratable benefit of the Holders
of the Notes.

 

In any
proceedings brought by the Trustee (and in any proceedings
involving the interpretation of any provision of this Indenture to
which the Trustee shall be a party) the Trustee shall be held to
represent all the Holders of the Notes, and it shall not be
necessary to make any Holders of the Notes parties to any such
proceedings.

 

In case
the Trustee shall have proceeded to enforce any right under this
Indenture and such proceedings shall have been discontinued or
abandoned because of any waiver pursuant to Section 6.09 or any
rescission and annulment pursuant to Section 6.02 or for any
other reason or shall have been determined adversely to the
Trustee, then and in every such case the Company, the Holders and
the Trustee shall, subject to any determination in such proceeding,
be restored respectively to their several positions and rights
hereunder, and all rights, remedies and powers of the Company, the
Holders and the Trustee shall continue as though no such proceeding
had been instituted.

 

Section
6.05                                Application
of Monies Collected by Trustee. Any monies or property collected by
the Trustee pursuant to this Article 6 with respect to
the Notes shall be applied in the following order, at the date or
dates fixed by the Trustee for the distribution of such monies,
upon presentation of the several Notes:

 

First,
to the payment of all amounts due the Trustee (in each of its
capacities) under Section 7.06;

 

Second,
in case the principal of the outstanding Notes shall not have
become due and be unpaid, to the payment of interest on, and any
cash due upon conversion of, the Notes in default in the order of
the date due of the payments of such interest and cash due upon
conversion, as the case may be, with interest (to the extent that
such interest has been collected by the Trustee) upon such overdue
payments at the rate borne by the Notes at such time, such payments
to be made ratably to the Persons entitled thereto;

 

 

35

 

Third,
in case the principal of the outstanding Notes shall have become
due, by declaration or otherwise, and be unpaid to the payment of
the whole amount (including, if applicable, the payment of the
Redemption Price, the Fundamental Change Repurchase Price and any
cash due upon conversion) then owing and unpaid upon the Notes for
principal and interest, if any, with interest on the overdue
principal and, to the extent that such interest has been collected
by the Trustee, upon overdue installments of interest at the rate
borne by the Notes at such time, and in case such monies shall be
insufficient to pay in full the whole amounts so due and unpaid
upon the Notes, then to the payment of such principal (including,
if applicable, the Redemption Price and the Fundamental Change
Repurchase Price and the cash due upon conversion) and interest
without preference or priority of principal over interest, or of
interest over principal or of any installment of interest over any
other installment of interest, or of any Note over any other Note,
ratably to the aggregate of such principal (including, if
applicable, the Redemption Price, the Fundamental Change Repurchase
Price and any cash due upon conversion) and accrued and unpaid
interest; and

 

Fourth,
to the payment of the remainder, if any, to the
Company.

 

Section
6.06                                Proceedings
by Holders. Except to enforce the right to
receive payment of principal (including, if applicable, the
Redemption Price and the Fundamental Change Repurchase Price) or
interest when due, or the right to receive payment or delivery of
the consideration due upon conversion, no Holder of any Note shall
have any right by virtue of or by availing of any provision of this
Indenture to institute any suit, action or proceeding in equity or
at law upon or under or with respect to this Indenture, or for the
appointment of a receiver, trustee, liquidator, custodian or other
similar official, or for any other remedy hereunder,
unless:

 

(a)           such
Holder previously shall have given to the Trustee written notice of
an Event of Default and of the continuance thereof, as herein
provided;

 

(b)           Holders
of at least 25% in aggregate principal amount of the Notes then
outstanding shall have made written request upon the Trustee to
institute such action, suit or proceeding in its own name as
Trustee hereunder;

 

(c)           such
Holders shall have offered to the Trustee such security or
indemnity reasonably satisfactory to it against any loss, liability
or expense;

 

(d)           the
Trustee shall have not complied with such notice within 60 days
after the receipt of the notice and the offer of such security or
indemnity; and

 

(e)           no
direction that, in the opinion of the Trustee, is inconsistent with
such written request shall have been given to the Trustee by the
Holders of a majority of the aggregate principal amount of the
Notes then outstanding within such 60-day period pursuant to
Section 6.09,
it being understood and intended, and being expressly covenanted by
the taker and Holder of every Note with every other taker and
Holder and the Trustee that no one or more Holders shall have any
right in any manner whatever by virtue of or by availing of any
provision of this Indenture to affect, disturb or prejudice the
rights of any other Holder, or to obtain or seek to obtain priority
over or preference to any other such Holder, or to enforce any
right under this Indenture, except in the manner herein provided
and for the equal, ratable and common benefit of all Holders
(except as otherwise provided herein). For the protection and
enforcement of this Section 6.06,
each and every Holder and the Trustee shall be entitled to such
relief as can be given either at law or in
equity.

 

 

 

36

 

Notwithstanding any
other provision of this Indenture and any provision of any Note,
each Holder shall have the right to receive payment or delivery, as
the case may be, of (x) the principal (including the
Redemption Price and the Fundamental Change Repurchase Price, if
applicable) of, (y) accrued and unpaid interest, if any, on,
and (z) the consideration due upon conversion of, such Note,
on or after the respective due dates expressed or provided for in
such Note or in this Indenture, or to institute suit for the
enforcement of any such payment or delivery, as the case may be and
such right to receive such payment or delivery, as the case may be,
on or after such respective dates shall not be impaired or affected
without the consent of such Holder.

 

Section
6.07                                Proceedings
by Trustee. In case of an Event of Default, the
Trustee may in its discretion proceed to protect and enforce the
rights vested in it by this Indenture by such appropriate judicial
proceedings as are necessary to protect and enforce any of such
rights, either by suit in equity or by action at law or by
proceeding in bankruptcy or otherwise, whether for the specific
enforcement of any covenant or agreement contained in this
Indenture or in aid of the exercise of any power granted in this
Indenture, or to enforce any other legal or equitable right vested
in the Trustee by this Indenture or by law.

 

Section
6.08                                Remedies
Cumulative and Continuing. Except as provided in the last
paragraph of Section 2.06, all powers
and remedies given by this Article 6 to the Trustee
or to the Holders shall, to the extent permitted by law, be deemed
cumulative and not exclusive of any thereof or of any other powers
and remedies available to the Trustee or the Holders of the Notes,
by judicial proceedings or otherwise, to enforce the performance or
observance of the covenants and agreements contained in this
Indenture, and no delay or omission of the Trustee or of any Holder
of any of the Notes to exercise any right or power accruing upon
any Default or Event of Default shall impair any such right or
power, or shall be construed to be a waiver of any such Default or
Event of Default or any acquiescence therein; and, subject to the
provisions of Section 6.06, every power
and remedy given by this Article 6 or by law to the
Trustee or to the Holders may be exercised from time to time, and
as often as shall be deemed expedient, by the Trustee or by the
Holders.

 

 

37

 

Section
6.09                                Direction
of Proceedings and Waiver of Defaults by Majority of
Holders. The Holders of a majority of the
aggregate principal amount of the Notes at the time outstanding
determined in accordance with Section 8.04 shall have
the right to direct the time, method and place of conducting any
proceeding for any remedy available to the Trustee or exercising
any trust or power conferred on the Trustee with respect to the
Notes; provided,
however, that (a) such
direction shall not be in conflict with any rule of law or with
this Indenture, and (b) the Trustee may take any other action
deemed proper by the Trustee that is not inconsistent with such
direction. The Trustee may refuse to follow any direction that it
determines is unduly prejudicial to the rights of any other Holder
(it being understood that the Trustee does not have an affirmative
duty to ascertain whether or not such directions are unduly
prejudicial to such Holder) or that would involve the Trustee in
personal liability, unless the Trustee is offered indemnity or
security satisfactory to it against any loss, liability or expense;
provided, however, that the Trustee may take any
other action deemed proper by the Trustee that is not inconsistent
with such direction. The Holders of a majority in aggregate
principal amount of the Notes at the time outstanding determined in
accordance with Section 8.04 may on behalf
of the Holders of all of the Notes waive any past Default or Event
of Default hereunder and its consequences except (i) a default
in the payment of accrued and unpaid interest, if any, on, or the
principal (including any Redemption Price and any Fundamental
Change Repurchase Price) of, the Notes when due that has not been
cured pursuant to the provisions of Section 6.01, (ii) a
failure by the Company to pay or deliver, as the case may be, the
consideration due upon conversion of the Notes or (iii) a
default in respect of a covenant or provision hereof which under
Article 10
cannot be modified or amended without the consent of each Holder of
an outstanding Note affected. Upon any such waiver the Company, the
Trustee and the Holders of the Notes shall be restored to their
former positions and rights hereunder; but no such waiver shall
extend to any subsequent or other Default or Event of Default or
impair any right consequent thereon. Whenever any Default or Event
of Default hereunder shall have been waived as permitted by this
Section 6.09,
said Default or Event of Default shall for all purposes of the
Notes and this Indenture be deemed to have been cured and to be not
continuing; but no such waiver shall extend to any subsequent or
other Default or Event of Default or impair any right consequent
thereon.

 

Section
6.10                                Notice
of Defaults. The Trustee shall, within 90 days
after a Responsible Officer obtains actual knowledge of the
occurrence and continuance of a Default or Event of Default,
deliver to all Holders at the name and address set forth in the
Note Register (at the Company’s expense) notice of all
Defaults known to the Trustee, unless such Defaults or Events of
Default shall have been cured or waived before the giving of such
notice; provided that,
except in the case of a Default in the payment of the principal of
(including the Redemption Price and the Fundamental Change
Repurchase Price, if applicable), or accrued and unpaid interest
on, any of the Notes or a Default in the payment or delivery of the
consideration due upon conversion, the Trustee shall be protected
in withholding such notice if and so long as a Responsible Officer
of the Trustee in good faith determines that the withholding of
such notice is in the interests of the Holders.

 

Section
6.11                                Undertaking
to Pay Costs. All parties to this Indenture agree,
and each Holder of any Note by its acceptance thereof shall be
deemed to have agreed, that any court may, in its discretion,
require, in any suit for the enforcement of any right or remedy
under this Indenture, or in any suit against the Trustee for any
action taken or omitted by it as Trustee, the filing by any party
litigant in such suit of an undertaking to pay the costs of such
suit and that such court may in its discretion assess reasonable
costs, including reasonable attorneys’ fees and expenses,
against any party litigant in such suit, having due regard to the
merits and good faith of the claims or defenses made by such party
litigant; provided that the
provisions of this Section 6.11 (to the
extent permitted by law) shall not apply to any suit instituted by
the Trustee, to any suit instituted by any Holder, or group of
Holders, holding in the aggregate more than 10% in principal amount
of the Notes at the time outstanding determined in accordance with
Section 8.04,
or to any suit instituted by any Holder for the enforcement of the
payment of the principal of or accrued and unpaid interest, if any,
on any Note (including, but not limited to, the Redemption Price
and the Fundamental Change Repurchase Price, if applicable) on or
after the due date expressed or provided for in such Note or to any
suit for the enforcement of the right to convert any Note, or
receive the consideration due upon conversion, in accordance with
the provisions of Article 14.

 

 

 

38

 

 

 

 

 

ARTICLE 7

CONCERNING THE
TRUSTEE

Section
7.01                                Duties
and Responsibilities of Trustee. The Trustee, prior to the occurrence
of an Event of Default of which a Responsible Officer of the
Trustee has actual knowledge and after the curing or waiver of all
Events of Default that may have occurred, undertakes to perform
such duties and only such duties as are specifically set forth in
this Indenture. In the event an Event of Default has occurred and
is continuing and a Responsible Officer of the Trustee has written
notice or actual knowledge of such Event of Default, the Trustee
shall exercise such of the rights and powers vested in it by this
Indenture, and use the same degree of care and skill in its
exercise, as a prudent person would exercise or use under the
circumstances in the conduct of such person’s own affairs;
provided that if an Event
of Default occurs and is continuing and a Responsible Officer has
written notice or actual knowledge of such Event of Default, the
Trustee will be under no obligation to exercise any of the rights
or powers under this Indenture at the request or direction of any
of the Holders unless such Holders have offered (and, if requested,
provided) to the Trustee indemnity or security satisfactory to it
in its sole discretion against any loss, liability or expense that
might be incurred by it in compliance with such request or
direction.

 

No
provision of this Indenture shall be construed to relieve the
Trustee from liability for its own grossly negligent action, its
own grossly negligent failure to act or its own willful misconduct,
except that:

 

(a)           prior
to the occurrence of an Event of Default of which a Responsible
Officer of the Trustee has actual knowledge and after the curing or
waiving of all Events of Default that may have
occurred:

 

(i)           the
duties of the Trustee shall be determined solely by the express
provisions of this Indenture, and the Trustee shall not be liable
except for the performance of such duties as are specifically set
forth in this Indenture and no implied covenants or obligations
shall be read into this Indenture against the Trustee;
and

 

(ii)           in
the absence of gross negligence and willful misconduct on the part
of the Trustee, the Trustee may conclusively and without liability
rely, as to the truth of the statements and the correctness of the
opinions expressed therein, upon any certificates or opinions
furnished to the Trustee and conforming to the requirements of this
Indenture; but, in the case of any such certificates or opinions
that by any provisions hereof are specifically required to be
furnished to the Trustee, the Trustee shall be under a duty to
examine the same to determine whether or not they conform to the
requirements of this Indenture (but need not confirm or investigate
the accuracy of any mathematical calculations or other facts stated
therein);

 

(b)           the
Trustee shall not be liable for any error of judgment made in good
faith by a Responsible Officer or Officers of the Trustee, unless
it shall be proved that the Trustee was grossly negligent in
ascertaining the pertinent facts;

 

(c)           the
Trustee shall not be liable with respect to any action taken or
omitted to be taken by it in good faith in accordance with the
direction of the Holders of not less than a majority of the
aggregate principal amount of the Notes at the time outstanding
determined as provided in Section 8.04
relating to the time, method and place
of conducting any proceeding for any remedy available to the
Trustee, or exercising any trust or power conferred upon the
Trustee, under this Indenture;

 

 

39

 

 

(d)           whether
or not therein provided, every provision of this Indenture relating
to the conduct or affecting the liability of, or affording
protection to, the Trustee shall be subject to the provisions of
this Section;

 

(e)           the
Trustee shall not be liable in respect of any payment (as to the
correctness of amount, entitlement to receive or any other matters
relating to payment) or notice effected by the Company or any
Paying Agent or any records maintained by any co-Note Registrar
with respect to the Notes;

 

(f)           if
any party fails to deliver a notice relating to an event the fact
of which, pursuant to this Indenture, requires notice to be sent to
the Trustee, the Trustee may conclusively and without liability
rely on its failure to receive such notice as reason to act as if
no such event occurred, unless a Responsible Officer of the Trustee
had actual knowledge of such event;

 

(g)           all
cash received by the Trustee shall be placed in a non-interest
bearing trust account and shall not be invested unless agreed in
writing by the Company and the Trustee;

 

(h)           in
the event that the Trustee is also acting as Custodian, Note
Registrar, Paying Agent, Conversion Agent, Bid Solicitation Agent
or transfer agent hereunder, the rights and protections afforded to
the Trustee pursuant to this Article 7
shall also be afforded to such
Custodian, Note Registrar, Paying Agent, Conversion Agent, Bid
Solicitation Agent or transfer agent; and

 

(i)           under
no circumstances shall the Trustee be liable in its individual
capacity for the obligations evidenced by the
Notes.

 

None of
the provisions contained in this Indenture shall require the
Trustee to expend or risk its own funds or otherwise incur personal
financial liability in the performance of any of its duties or in
the exercise of any of its rights or powers. The Trustee shall not
be required to give any bond or surety in respect of the
performance of its powers or duties hereunder. The Trustee will be
under no obligation to exercise any of its rights and powers under
this Indenture at the request or direction of the Holders unless
such Holder has offered (and if requested, provided) to the Trustee
security or indemnity satisfactory to it in its sole discretion
against any loss, liability or expense.

 

Section
7.02                                Reliance
on Documents, Opinions, Etc. Except as
otherwise provided in Section 7.01:

 

(a)

 

(b)           before
the Trustee acts or refrains from acting, it may require an
Officers’ Certificate and/or an Opinion of Counsel. The
Trustee shall not be liable for any action it takes or omits to
take in good faith in reliance on an Officers’ Certificate or
Opinion of Counsel.

 

(c)           the
Trustee may conclusively and without liability rely and shall be
fully protected in acting upon any resolution, certificate,
statement, instrument, opinion, report, notice, request, consent,
order, bond, note, coupon or other paper or document believed by it
in good faith to be genuine and to have been signed or presented by
the proper party or parties;

 

 

40

 

(d)           any
request, direction, order or demand of the Company mentioned herein
shall be sufficiently evidenced by an Officers’ Certificate
(unless other evidence in respect thereof be herein specifically
prescribed); and any Board Resolution may be evidenced to the
Trustee by a copy thereof certified by the Secretary or an
Assistant Secretary of the Company;

 

(e)           the
Trustee may consult with counsel of its own selection and require
an Opinion of Counsel and any written or verbal advice of such
counsel or Opinion of Counsel shall be full and complete
authorization and protection in respect of any action taken or
omitted by it hereunder in good faith and in accordance with such
advice or Opinion of Counsel;

 

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

 

(g)           the
Trustee may execute any of the trusts or powers hereunder or
perform any duties hereunder either directly or by or through a
co-trustee, agents, custodians, nominees or attorneys and the
Trustee shall not be responsible for any misconduct or negligence
on the part of any agent, custodian, nominee or attorney appointed
by it with due care hereunder;

 

(h)           the
permissive rights of the Trustee enumerated herein shall not be
construed as duties;

 

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

 

(j)           the
Trustee shall not be responsible for monitoring the performance of
other persons or for the failure of others to perform their
duties;

 

(k)           the
Holders will not direct the Trustee to take action contrary to this
Indenture, the Notes or applicable law, and the Trustee is not
obligated to follow any instruction of the Holders that is contrary
to this Indenture, the Notes or applicable law;

 

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

 

(m)           the
Trustee shall not be required to give any bond or surety in respect
of the execution of the trusts and powers under this
Indenture;

 

 

41

 

(n)           in
no event shall the Trustee be liable for any special, punitive,
indirect or consequential loss or damage of any kind whatsoever
(including but not limited to lost profits), even if the Trustee
has been advised of the likelihood of such loss or damage and
regardless of the form of action; and

 

(o)           the
Trustee shall not be charged with knowledge of any Default or Event
of Default with respect to the Notes, unless either (1) a
Responsible Officer shall have actual knowledge of such Default or
Event of Default or (2) written notice of such Default or
Event of Default shall have been given to the Trustee by the
Company or actually received by a Responsible Officer at the
Corporate Trust Office of the Trustee from the Company, a Paying
Agent, any Holder or any agent of any Holder, referencing this
Indenture and stating that it is a “notice of
default”.

 

Section
7.03                                No
Responsibility for Recitals, Etc. The recitals,
statements, warranties and representations contained herein and in
the Notes (except in the Trustee’s certificate of
authentication) shall be taken as the statements of the Company,
and the Trustee assumes no responsibility for the correctness of
the same. The Trustee makes no representations as to the validity
or sufficiency of this Indenture or of the Notes. The Trustee shall
not be accountable for the use or application by the Company of any
Notes or the proceeds of any Notes authenticated and delivered by
the Trustee in conformity with the provisions of this Indenture.
Notwithstanding the generality of the foregoing, each Holder shall
be solely responsible for making its own independent appraisal of,
and investigation into, the financial condition, creditworthiness,
condition, affairs, status and nature of the Company, and the
Trustee shall not at any time have any responsibility for the same
and each Holder shall not rely on the Trustee in respect
thereof.

 

Section
7.04                                Trustee,
Paying Agents, Conversion Agents, Bid Solicitation Agent or Note
Registrar May Own Notes. The Trustee, any Paying Agent (if
other than the Company or an Affiliate thereof), any Conversion
Agent, Bid Solicitation Agent (if other than the Company or an
Affiliate thereof) or Note Registrar, in its individual or any
other capacity, may become the owner or pledgee of Notes with the
same rights it would have if it were not the Trustee, Paying Agent,
Conversion Agent, Bid Solicitation Agent or Note
Registrar.

 

Section
7.05                                Monies
to Be Held in Trust. All monies received by the Trustee
shall, until used or applied as herein provided, be held in trust
for the purposes for which they were received. Money held by the
Trustee in trust hereunder need not be segregated from other funds
except to the extent required by law. The Trustee shall be under no
liability for interest on any money received by it hereunder except
as may be agreed in writing from time to time by the Company and
the Trustee. The Trustee shall not be obligated to take possession
of any Common Stock, whether upon conversion or in connection with
any discharge of this Indenture pursuant to Article 3 hereof, but
shall satisfy its obligation as Conversion Agent by working through
the stock transfer agent of the Company from time to time as
directed by the Company.

 

Section
7.06                                Compensation
and Expenses of Trustee. The Company covenants and agrees to
pay to the Trustee, in any of its capacities under this Indenture,
from time to time, and the Trustee shall be entitled to,
compensation as agreed in writing between the Company and the
Trustee for all services rendered by it hereunder in any capacity
(which shall not be limited by any provision of law in regard to
the compensation of a trustee of an express trust) as mutually
agreed to in writing between the Trustee and the Company, and the
Company will pay or reimburse the Trustee upon its request for all
reasonable expenses, disbursements and advances reasonably incurred
or made by the Trustee in accordance with any of the provisions of
this Indenture in any capacity thereunder (including the reasonable
compensation and the expenses and disbursements of its agents and
counsel and of all Persons not regularly in its employ and
including reasonable attorneys’ fees in connection with
enforcement of its rights to indemnity herein) except any such
expense, disbursement or advance as shall have been caused by its
gross negligence or willful misconduct, as determined by a final,
non-appealable order of a court of competent jurisdiction. The
Company also covenants to indemnify the Trustee in any capacity
under this Indenture and any other document or transaction entered
into in connection herewith and its agents and any authenticating
agent for, and to hold them harmless against, any loss, claim,
damage, liability, fee, cost, loss, tax, claim, action or expense
incurred without gross negligence or willful misconduct on the part
of the Trustee, its officers, directors, agents or employees, or
such agent or authenticating agent, as the case may be, and arising
out of or in connection with the acceptance or administration of
this Indenture or in any other capacity hereunder, including
third-party claims and claims involving the Company, and including
the costs and expenses of defending themselves against any claim of
liability in the premises. The obligations of the Company under
this Section 7.06 to compensate
or indemnify the Trustee and to pay or reimburse the Trustee for
expenses, disbursements and advances shall be secured by a senior
lien to which the Notes are hereby made subordinate on all money or
property held or collected by the Trustee, except, subject to the
effect of Section 6.05, funds held
in trust herewith for the benefit of the Holders of particular
Notes. The Trustee’s right to receive payment of any amounts
due under this Section 7.06 shall not be
subordinate to any other liability or indebtedness of the Company.
The indemnity under this Section 7.06 is payable upon demand by the
Trustee. The obligation of the Company under this Section 7.06 shall survive
the satisfaction and discharge of this Indenture, the payment of
the Notes and the earlier resignation or removal of the Trustee.
The Company need not pay for any settlement made without its
consent, which consent shall not be unreasonably withheld. The
indemnification provided in this Section 7.06 shall extend
to the officers, directors, agents and employees of the
Trustee.

 

 

42

 

 

Without
prejudice to any other rights available to the Trustee under
applicable law, when the Trustee and its agents and any
authenticating agent incur expenses or render services after an
Event of Default specified in Section 6.01(i) or
Section 6.01(j) occurs,
the expenses and the compensation for the services are intended to
constitute expenses of administration under any bankruptcy,
insolvency or similar laws.

 

Section
7.07                                Officers’
Certificate as Evidence. Except as otherwise provided in
Section 7.01,
whenever in the administration of the provisions of this Indenture
the Trustee shall deem it necessary or desirable that a matter be
proved or established prior to taking or omitting any action
hereunder, such matter (unless other evidence in respect thereof be
herein specifically prescribed) may, in the absence of gross
negligence or willful misconduct on the part of the Trustee, as
determined by a final, non-appealable order of a court of competent
jurisdiction, be deemed to be conclusively proved and established
by an Officers’ Certificate delivered to the Trustee, and
such Officers’ Certificate, in the absence of gross
negligence or willful misconduct on the part of the Trustee, as
determined by a final, non-appealable order of a court of competent
jurisdiction, shall be full warrant to the Trustee for any action
taken or omitted by it under the provisions of this Indenture upon
the faith thereof.

 

Section
7.08                                Eligibility
of Trustee. There shall at all times be a Trustee
hereunder which shall be a Person that is eligible pursuant to the
Trust Indenture Act (as if the Trust Indenture Act were applicable
hereto) to act as such and has a combined capital and surplus of at
least $50,000,000. If such Person publishes reports of condition at
least annually, pursuant to law or to the requirements of any
supervising or examining authority, then for the purposes of this
Section, the combined capital and surplus of such Person shall be
deemed to be its combined capital and surplus as set forth in its
most recent report of condition so published. If at any time the
Trustee shall cease to be eligible in accordance with the
provisions of this Section, it shall resign immediately in the
manner and with the effect hereinafter specified in this
Article.

 

Section
7.09                                Resignation
or Removal of Trustee. (a) The Trustee may at any time
resign by giving written notice of such resignation to the Company
and by delivering notice thereof to the Holders. Upon receiving
such notice of resignation, the Company shall promptly appoint a
successor trustee by written instrument, in duplicate, executed by
order of the Board of Directors, one copy of which instrument shall
be delivered to the resigning Trustee and one copy to the successor
trustee. If no successor trustee shall have been so appointed and
have accepted appointment within 60 days after the giving of such
notice of resignation to the Holders, the resigning Trustee may at
the expense of the Company, upon ten Business Days’ notice to
the Company and the Holders, petition any court of competent
jurisdiction for the appointment of a successor trustee, or any
Holder who has been a bona fide holder of a Note or Notes for at
least six months (or since the date of this Indenture) may, subject
to the provisions of Section 6.11, on behalf of
himself or herself and all others similarly situated, petition any
such court for the appointment of a successor trustee. Such court
may thereupon, after such notice, if any, as it may deem proper and
prescribe, appoint a successor trustee, and the Company shall bear
the expense associated with such appointment.

 

(b)           In
case at any time any of the following shall
occur:

 

(i)           the
Trustee shall cease to be eligible in accordance with the
provisions of Section 7.08
and shall fail to resign after written
request therefor by the Company or by any such Holder,
or

 

 

 

43

 

(ii)           the
Trustee shall become incapable of acting, or shall be adjudged a
bankrupt or insolvent, or a receiver of the Trustee or of its
property shall be appointed, or any public officer shall take
charge or control of the Trustee or of its property or affairs for
the purpose of rehabilitation, conservation or liquidation, then,
in either case, the Company may by a Board Resolution remove the
Trustee and appoint a successor trustee by written instrument, in
duplicate, executed by order of the Board of Directors, one copy of
which instrument shall be delivered to the Trustee so removed and
one copy to the successor trustee, or, subject to the provisions
of Section 6.11,
any Holder who has been a bona fide holder of a Note or Notes for
at least six months (or since the date of this Indenture) may, on
behalf of himself or herself and all others similarly situated,
petition any court of competent jurisdiction for the removal of the
Trustee and the appointment of a successor trustee. Such court may
thereupon, after such notice, if any, as it may deem proper and
prescribe, remove the Trustee and appoint a successor
trustee.

 

(c)           The
Holders of a majority in aggregate principal amount of the Notes at
the time outstanding, as determined in accordance with
Section 8.04,
may at any time remove the Trustee and nominate a successor trustee
that shall be deemed appointed as successor trustee unless within
ten days after notice to the Company of such nomination the Company
objects thereto, in which case the Trustee so removed or any
Holder, upon the terms and conditions and otherwise as in
Section 7.09(a)
provided, may petition any court of
competent jurisdiction for an appointment of a successor
trustee.

 

(d)           Any
resignation or removal of the Trustee and appointment of a
successor trustee pursuant to any of the provisions of this
Section 7.09
shall become effective upon acceptance
of appointment by the successor trustee as provided in
Section 7.10.

 

Section
7.10                                Acceptance
by Successor Trustee. Any successor trustee appointed as
provided in Section 7.09 shall
execute, acknowledge and deliver to the Company and to its
predecessor trustee an instrument accepting such appointment
hereunder, and thereupon the resignation or removal of the
predecessor trustee shall become effective and such successor
trustee, without any further act, deed or conveyance, shall become
vested with all the rights, powers, duties and obligations of its
predecessor hereunder, with like effect as if originally named as
Trustee herein; but, nevertheless, on the written request of the
Company or of the successor trustee, the trustee ceasing to act
shall, upon payment of any amounts then due it pursuant to the
provisions of Section 7.06, execute and
deliver an instrument transferring to such successor trustee all
the rights and powers of the trustee so ceasing to act. Upon
request of any such successor trustee, the Company shall execute
any and all instruments in writing for more fully and certainly
vesting in and confirming to such successor trustee all such rights
and powers. Any trustee ceasing to act shall, nevertheless, retain
a senior lien to which the Notes are hereby made subordinate on all
money or property held or collected by such trustee as such, except
for funds held in trust for the benefit of Holders of particular
Notes, to secure any amounts then due to it pursuant to the
provisions of Section 7.06.

 

No
successor trustee shall accept appointment as provided in this
Section 7.10
unless at the time of such acceptance such successor trustee shall
be eligible under the provisions of Section 7.08.

 

 

 

44

 

 

Upon
acceptance of appointment by a successor trustee as provided in
this Section 7.10, each of the
Company and the successor trustee, at the written direction and at
the expense of the Company shall deliver or cause to be delivered
notice of the succession of such trustee hereunder to the Holders
at their addresses as they shall appear on the Note Register. If
the Company fails to deliver such notice within ten days after
acceptance of appointment by the successor trustee, the successor
trustee may cause such notice to be delivered at the expense of the
Company.

 

Section
7.11                                Succession
by Merger, Etc. Any corporation
or other entity into which the Trustee may be merged or converted
or with which it may be consolidated, or any corporation or other
entity resulting from any merger, conversion or consolidation to
which the Trustee shall be a party, or any corporation or other
entity succeeding to all or substantially all of the corporate
trust business of the Trustee (including the administration of this
Indenture), shall be the successor to the Trustee hereunder without
the execution or filing of any paper or any further act on the part
of any of the parties hereto; provided that in the case of any
corporation or other entity succeeding to all or substantially all
of the corporate trust business of the Trustee such corporation or
other entity shall be eligible under the provisions of Section 7.08.

 

In case
at the time such successor to the Trustee shall succeed to the
trusts created by this Indenture, any of the Notes shall have been
authenticated but not delivered, any such successor to the Trustee
may adopt the certificate of authentication of any predecessor
trustee or authenticating agent appointed by such predecessor
trustee, and deliver such Notes so authenticated; and in case at
that time any of the Notes shall not have been authenticated, any
successor to the Trustee or an authenticating agent appointed by
such successor trustee may authenticate such Notes either in the
name of any predecessor trustee hereunder or in the name of the
successor trustee; and in all such cases such certificates shall
have the full force which it is anywhere in the Notes or in this
Indenture provided that the certificate of the Trustee shall have;
provided, however, that the right to adopt the
certificate of authentication of any predecessor trustee or to
authenticate Notes in the name of any predecessor trustee shall
apply only to its successor or successors by merger, conversion or
consolidation.

 

Section
7.12                                Trustee’s
Application for Instructions from the
Company. Any application by the Trustee for
written instructions from the Company (other than with regard to
any action proposed to be taken or omitted to be taken by the
Trustee that affects the rights of the Holders of the Notes under
this Indenture) may, at the option of the Trustee, set forth in
writing any action proposed to be taken or omitted by the Trustee
under this Indenture and the date on and/or after which such action
shall be taken or such omission shall be effective. The Trustee
shall not be liable for any action taken by, or omission of, the
Trustee in accordance with a proposal included in such application
on or after the date specified in such application (which date
shall not be less than three Business Days after the notice has
been deemed to have been given pursuant to Section 17.03, unless any such
officer shall have consented in writing to any earlier date),
unless, prior to taking any such action (or the effective date in
the case of any omission), the Trustee shall have received written
instructions in accordance with this Indenture in response to such
application specifying the action to be taken or
omitted.

 

 

 

45

 

 
 

ARTICLE
8

CONCERNING THE
HOLDERS

Section
8.01                                Action
by Holders. Whenever in this Indenture it is
provided that the Holders of a specified percentage of the
aggregate principal amount of the Notes may take any action
(including the making of any demand or request, the giving of any
notice, consent or waiver or the taking of any other action), the
fact that at the time of taking any such action, the Holders of
such specified percentage have joined therein may be evidenced
(a) by any instrument or any number of instruments of similar
tenor executed by Holders in person or by agent or proxy appointed
in writing, or (b) by the record of the Holders voting in
favor thereof at any meeting of Holders duly called and held in
accordance with the provisions of Article 9, or (c) by
a combination of such instrument or instruments and any such record
of such a meeting of Holders. Whenever the Company or the Trustee
solicits the taking of any action by the Holders of the Notes, the
Company or the Trustee may, but shall not be required to, fix in
advance of such solicitation, a date as the record date for
determining Holders entitled to take such action. The record date
if one is selected shall be not more than fifteen days prior to the
date of commencement of solicitation of such action.

 

Section
8.02                                Proof
of Execution by Holders. Subject to the provisions of
Section 7.01,
Section 7.02
and Section 9.05, proof of the
execution of any instrument by a Holder or its agent or proxy shall
be sufficient if made in accordance with such reasonable rules and
regulations as may be prescribed by the Trustee or in such manner
as shall be satisfactory to the Trustee. The holding of Notes shall
be proved by the Note Register or by a certificate of the Note
Registrar. The record of any Holders’ meeting shall be proved
in the manner provided in Section 9.06.

 

Section
8.03                                Who
Are Deemed Absolute Owners. The Company, the Trustee, any
authenticating agent, any Paying Agent, any Conversion Agent and
any Note Registrar may deem the Person in whose name a Note shall
be registered upon the Note Register to be, and may treat it as,
the absolute owner of such Note (whether or not such Note shall be
overdue and notwithstanding any notation of ownership or other
writing thereon made by any Person other than the Company or any
Note Registrar) for the purpose of receiving payment of or on
account of the principal (including any Redemption Price and any
Fundamental Change Repurchase Price) of and (subject to
Section 2.03)
accrued and unpaid interest on such Note, for conversion of such
Note and for all other purposes; and neither the Company nor the
Trustee nor any Paying Agent nor any Conversion Agent nor any Note
Registrar shall be affected by any notice to the contrary. The sole
registered Holder of a Global Note shall be the Depositary or its
nominee. All such payments or deliveries so made to any Holder for
the time being, or upon its order, shall be valid, and, to the
extent of the sums or shares of Common Stock so paid or delivered,
effectual to satisfy and discharge the liability for monies payable
or shares deliverable upon any such Note. Notwithstanding anything
to the contrary in this Indenture or the Notes following an Event
of Default, any holder of a beneficial interest in a Global Note
may directly enforce against the Company, without the consent,
solicitation, proxy, authorization or any other action of the
Depositary or any other Person, such holder’s right to
exchange such beneficial interest for a Note in certificated form
in accordance with the provisions of this Indenture.

 

 

46

 

Section
8.04                                Company-Owned
Notes Disregarded. In determining whether the Holders of
the requisite aggregate principal amount of Notes have concurred in
any direction, consent, waiver or other action under this
Indenture, Notes that are owned by the Company, by any Subsidiary
thereof or by any Affiliate of the Company or any Subsidiary
thereof shall be disregarded and deemed not to be outstanding for
the purpose of any such determination; provided that for the purposes of
determining whether the Trustee shall be protected in relying on
any such direction, consent, waiver or other action only Notes that
a Responsible Officer knows are so owned shall be so disregarded.
Notes so owned that have been pledged in good faith may be regarded
as outstanding for the purposes of this Section 8.04 if the
pledgee shall establish to the satisfaction of the Trustee the
pledgee’s right to so act with respect to such Notes and that
the pledgee is not the Company, a Subsidiary thereof or an
Affiliate of the Company or a Subsidiary thereof. In the case of a
dispute as to such right, any decision by the Trustee taken upon
the advice of counsel shall be full protection to the Trustee. Upon
request of the Trustee, the Company shall furnish to the Trustee
promptly an Officers’ Certificate listing and identifying all
Notes, if any, known by the Company to be owned or held by or for
the account of any of the above described Persons; and, subject to
Section 7.01,
the Trustee shall be entitled to accept such Officers’
Certificate as conclusive evidence of the facts therein set forth
and of the fact that all Notes not listed therein are outstanding
for the purpose of any such determination.

 

Section
8.05                                Revocation
of Consents; Future Holders Bound. At any time prior to (but not after)
the evidencing to the Trustee, as provided in Section 8.01, of the
taking of any action by the Holders of the percentage of the
aggregate principal amount of the Notes specified in this Indenture
in connection with such action, any Holder of a Note that is shown
by the evidence to be included in the Notes the Holders of which
have consented to such action may, by filing written notice with
the Trustee at its Corporate Trust Office and upon proof of holding
as provided in Section 8.02, revoke such
action so far as concerns such Note. Except as aforesaid, any
action taken by the Holder of any Note shall be conclusive and
binding upon such Holder and upon all future Holders and owners of
such Note and of any Notes issued in exchange or substitution
therefor or upon registration of transfer thereof, irrespective of
whether any notation in regard thereto is made upon such Note or
any Note issued in exchange or substitution therefor or upon
registration of transfer thereof.

 

ARTICLE 9

HOLDERS’
MEETINGS

Section
9.01                                Purpose
of Meetings. A meeting of Holders may be called at
any time and from time to time pursuant to the provisions of this
Article 9 for
any of the following purposes:

 

(a)           to
give any notice to the Company or to the Trustee or to give any
directions to the Trustee permitted under this Indenture, or to
consent to the waiving of any Default or Event of Default hereunder
(in each case, as permitted under this Indenture) and its
consequences, or to take any other action authorized to be taken by
Holders pursuant to any of the provisions of Article 6;

 

(b)           to
remove the Trustee and nominate a successor trustee pursuant to the
provisions of Article 7;

 

 

 

47

 

(c)           to
consent to the execution of an indenture or indentures supplemental
hereto pursuant to the provisions of Section 10.02;
or

 

(d)           to
take any other action authorized to be taken by or on behalf of the
Holders of any specified aggregate principal amount of the Notes
under any other provision of this Indenture or under applicable
law.

 

Section
9.02                                Call
of Meetings by Trustee. The Trustee may at any time call a
meeting of Holders to take any action specified in Section 9.01, to be held
at such time and at such place as the Trustee shall determine.
Notice of every meeting of the Holders, setting forth the time and
the place of such meeting and in general terms the action proposed
to be taken at such meeting and the establishment of any record
date pursuant to Section 8.01, shall be
delivered to Holders of such Notes at their addresses as they shall
appear on the Note Register. Such notice shall also be delivered to
the Company. Such notices shall be delivered not less than 20 nor
more than 90 days prior to the date fixed for the
meeting.

 

Any
meeting of Holders shall be valid without notice if the Holders of
all Notes then outstanding are present in person or by proxy or if
notice is waived before or after the meeting by the Holders of all
Notes then outstanding, and if the Company and the Trustee are
either present by duly authorized representatives or have, before
or after the meeting, waived notice.

 

Section
9.03                                Call
of Meetings by Company or Holders. In case at any time the Company,
pursuant to a Board Resolution, or the Holders of at least 10% of
the aggregate principal amount of the Notes then outstanding, shall
have requested the Trustee to call a meeting of Holders, by written
request setting forth in reasonable detail the action proposed to
be taken at the meeting, and the Trustee shall not have delivered
the notice of such meeting within 20 days after receipt of such
request, then the Company or such Holders may determine the time
and the place for such meeting and may call such meeting to take
any action authorized in Section 9.01, by
delivering notice thereof as provided in Section 9.02.

 

Section
9.04                                Qualifications
for Voting. To be entitled to vote at any meeting
of Holders a Person shall (a) be a Holder of one or more Notes
on the record date pertaining to such meeting or (b) be a
Person appointed by an instrument in writing as proxy by a Holder
of one or more Notes on the record date pertaining to such meeting.
The only Persons who shall be entitled to be present or to speak at
any meeting of Holders shall be the Persons entitled to vote at
such meeting and their counsel and any representatives of the
Trustee and its counsel and any representatives of the Company and
its counsel.

 

Section
9.05                                Regulations.
Notwithstanding any other provisions of this Indenture, the Trustee
may make such reasonable regulations as it may deem advisable for
any meeting of Holders, in regard to proof of the holding of Notes
and of the appointment of proxies, and in regard to the appointment
and duties of inspectors of votes, the submission and examination
of proxies, certificates and other evidence of the right to vote,
and such other matters concerning the conduct of the meeting as it
shall think fit.

 

The
Trustee shall, by an instrument in writing, appoint a temporary
chairman of the meeting, unless the meeting shall have been called
by the Company or by Holders as provided in Section 9.03, in which
case the Company or the Holders calling the meeting, as the case
may be, shall in like manner appoint a temporary chairman. A
permanent chairman and a permanent secretary of the meeting shall
be elected by vote of the Holders of a majority in aggregate
principal amount of the Notes represented at the meeting and
entitled to vote at the meeting.

 

 

48

 

Subject
to the provisions of Section 8.04, at any
meeting of Holders each Holder or proxyholder shall be entitled to
one vote for each $1,000 principal amount of Notes held or
represented by him or her; provided, however, that no vote shall be cast or
counted at any meeting in respect of any Note challenged as not
outstanding and ruled by the chairman of the meeting to be not
outstanding. The chairman of the meeting shall have no right to
vote other than by virtue of Notes held by it or instruments in
writing as aforesaid duly designating it as the proxy to vote on
behalf of other Holders. Any meeting of Holders duly called
pursuant to the provisions of Section 9.02 or
Section 9.03
may be adjourned from time to time by the Holders of a majority of
the aggregate principal amount of Notes represented at the meeting,
whether or not constituting a quorum, and the meeting may be held
as so adjourned without further notice.

 

Section
9.06                                Voting

 

. The vote upon any resolution
submitted to any meeting of Holders shall be by written ballot on
which shall be subscribed the signatures of the Holders or of their
representatives by proxy and the outstanding aggregate principal
amount of the Notes held or represented by them. The permanent
chairman of the meeting shall appoint two inspectors of votes who
shall count all votes cast at the meeting for or against any
resolution and who shall make and file with the secretary of the
meeting their verified written reports in duplicate of all votes
cast at the meeting. A record in duplicate of the proceedings of
each meeting of Holders shall be prepared by the secretary of the
meeting and there shall be attached to said record the original
reports of the inspectors of votes on any vote by ballot taken
thereat and affidavits by one or more Persons having knowledge of
the facts setting forth a copy of the notice of the meeting and
showing that said notice was delivered as provided in Section 9.02. The record
shall show the aggregate principal amount of the Notes voting in
favor of or against any resolution. The record shall be signed and
verified by the affidavits of the permanent chairman and secretary
of the meeting and one of the duplicates shall be delivered to the
Company and the other to the Trustee to be preserved by the
Trustee, the latter to have attached thereto the ballots voted at
the meeting.

 

Any
record so signed and verified shall be conclusive evidence of the
matters therein stated.

 

Section
9.07                                No
Delay of Rights by Meeting

 

. Nothing contained in this
Article 9
shall be deemed or construed to authorize or permit, by reason of
any call of a meeting of Holders or any rights expressly or
impliedly conferred hereunder to make such call, any hindrance or
delay in the exercise of any right or rights conferred upon or
reserved to the Trustee or to the Holders under any of the
provisions of this Indenture or of the Notes.

 

ARTICLE 10

SUPPLEMENTAL
INDENTURES

Section
10.01                                Supplemental
Indentures Without Consent of Holders

 

. The Company, when authorized by the
resolutions of the Board of Directors and the Trustee, at the
Company’s expense and direction, may from time to time and at
any time enter into an indenture or indentures supplemental hereto
for one or more of the following purposes:

 

 

49

 

 

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

 

(b)           to
provide for the assumption by a Successor Company of the
obligations of the Company under this Indenture pursuant to
Article 11;

 

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

 

(d)           to
secure the Notes;

 

(e)           to
add to the covenants or Events of Default of the Company for the
benefit of the Holders or surrender any right or power conferred
upon the Company;

 

(f)           to
make any change that does not adversely affect the rights of any
Holder;

 

(g)           in
connection with any Share Exchange Event, to provide that the notes
are convertible into Reference Property, subject to the provisions
of Section 14.02,
and make such related changes to the terms of the Notes to the
extent expressly required by Section 14.07;

 

(h)           irrevocably
elect a Settlement Method or a specified dollar amount, or
eliminate the Company’s right to elect a Settlement
Method;

 

(i)           comply
with any requirement of the SEC in connection with the
qualification of this Indenture under the Trust Indenture Act, to
the extent that this Indenture is required to comply with the Trust
Indenture Act; or

 

(j)           to
conform the provisions of this Indenture or the Notes to the
“Description of Notes” section of the Offering
Memorandum.

 

Upon
the written request of the Company, the Trustee is hereby
authorized to join with the Company in the execution of any such
supplemental indenture, to make any further appropriate agreements
and stipulations that may be therein contained, but the Trustee
shall not be obligated to, but may in its discretion, enter into
any supplemental indenture that affects the Trustee’s own
rights, duties, liabilities or immunities under this Indenture or
otherwise.

 

Any
supplemental indenture authorized by the provisions of this
Section 10.01
may be executed by the Company and the Trustee without the consent
of the Holders of any of the Notes at the time outstanding,
notwithstanding any of the provisions of Section 10.02.

 

Section
10.02                                Supplemental
Indentures with Consent of Holders. With the consent (evidenced as
provided in Article 8) of the Holders
of at least a majority of the aggregate principal amount of the
Notes then outstanding (determined in accordance with Article 8 and including,
without limitation, consents obtained in connection with a
repurchase of, or tender or exchange offer for, Notes), the
Company, when authorized by the resolutions of the Board of
Directors, at the Company’s expense, may from time to time
and at any time enter into an indenture or indentures supplemental
hereto with the Trustee for the purpose of adding any provisions to
or changing in any manner or eliminating any of the provisions of
this Indenture or any supplemental indenture or of modifying in any
manner the rights of the Holders; provided, however, that, without the consent of
each Holder of an outstanding Note affected, no such supplemental
indenture shall:

 

 

 

50

 

 

 

 

 

(a)           reduce
the amount of Notes whose Holders must consent to an
amendment;

 

(b)           reduce
the rate of or extend the stated time for payment of interest on
any Note;

 

(c)           reduce
the principal of or extend the Maturity Date of any
Note;

 

(d)           make
any change that adversely affects the conversion rights of any
Notes;

 

(e)           reduce
the Redemption Price or the Fundamental Change Repurchase Price of
any Note or amend or modify in any manner adverse to the Holders
the Company’s obligation to make such payments, whether
through an amendment or waiver of provisions in the covenants,
definitions or otherwise;

 

(f)           make
any Note payable in a currency, or at a place of payment, other
than that stated in the Note;

 

(g)           change
the ranking of the Notes;

 

(h)           impair
the right of any Holder to receive payment of principal and
interest (including any interest Make-Whole Payment, if applicable)
on such Holder’s Notes on or after the due dates therefor or
to institute suit for the enforcement of any payment on or with
respect to such Holder’s Notes; or

 

(i)           make
any change in this Article 10
that requires each Holder’s
consent or in the waiver provisions in Section 6.02
or Section 6.09.

 

Upon
the written request of the Company, and upon the delivery to the
Trustee of evidence of the requisite consent of Holders as
aforesaid and subject to Section 10.05, the Trustee
shall join with the Company in the execution of such supplemental
indenture unless such supplemental indenture affects the
Trustee’s own rights, duties or immunities under this
Indenture or otherwise, in which case the Trustee may in its
discretion, but shall not be obligated to, enter into such
supplemental indenture.

 

Holders
do not need under this Section 10.02 to approve
the particular form of any proposed supplemental indenture. It
shall be sufficient if such Holders approve the substance thereof.
After any such supplemental indenture becomes effective, the
Company shall deliver to the Holders (with a copy to the Trustee) a
notice briefly describing such supplemental indenture. However, the
failure to give such notice to all the Holders, or any defect in
the notice, will not impair or affect the validity of the
supplemental indenture.

 

Section
10.03                                Effect
of Supplemental Indentures. Upon the execution of any
supplemental indenture pursuant to the provisions of this
Article 10,
this Indenture shall be and be deemed to be modified and amended in
accordance therewith and the respective rights, limitation of
rights, obligations, duties and immunities under this Indenture of
the Trustee, the Company and the Holders shall thereafter be
determined, exercised and enforced hereunder subject in all
respects to such modifications and amendments and all the terms and
conditions of any such supplemental indenture shall be and be
deemed to be part of the terms and conditions of this Indenture for
any and all purposes.

 

 

51

 

Section
10.04                                Notation
on Notes. Notes authenticated and delivered
after the execution of any supplemental indenture pursuant to the
provisions of this Article 10 may, at the
Company’s expense, bear a notation in form acceptable to the
Trustee as to any matter provided for in such supplemental
indenture. If the Company or the Trustee shall so determine, new
Notes so modified as to conform, in the opinion of the Trustee and
the Board of Directors, to any modification of this Indenture
contained in any such supplemental indenture may, at the
Company’s expense, be prepared and executed by the Company,
authenticated by the Trustee (or an authenticating agent duly
appointed by the Trustee pursuant to Section 17.10) and
delivered in exchange for the Notes then outstanding, upon
surrender of such Notes then outstanding.

 

Section
10.05                                Evidence
of Compliance of Supplemental Indenture to Be Furnished
Trustee. In addition to the documents required
by Section 17.05, the Trustee
shall receive an Officers’ Certificate and an Opinion of
Counsel as conclusive evidence that any supplemental indenture
executed pursuant hereto complies with the requirements of this
Article 10 and
is permitted or authorized by this Indenture.

 

ARTICLE 11

CONSOLIDATION, MERGER, SALE,
CONVEYANCE AND LEASE

Section
11.01                                Company
May Consolidate, Etc. on Certain Terms. Subject to the provisions of
Section 11.02,
the Company shall not consolidate with, merge with or into, or
sell, convey, transfer or lease all or substantially all of its
consolidated properties and assets of the Company and its
Subsidiaries, taken as a whole, to another Person,
unless:

 

(a)           the
resulting, surviving or transferee Person (the
“Successor
Company”), if not the
Company, shall be a corporation organized and existing under the
laws of the United States of America, any State thereof or the
District of Columbia, and the Successor Company (if not the
Company) shall expressly assume, (A) by supplemental indenture all
of the obligations of the Company under the Notes and this
Indenture, and (B) to the extent the Registration Rights Agreement
is then still operative, all of the Company’s obligations
under the Registration Rights Agreement; and

 

(b)           immediately
after giving effect to such transaction, no Default or Event of
Default shall have occurred and be continuing under this
Indenture.

 

For
purposes of this Section 11.01, the sale,
conveyance, transfer or lease of all or substantially all of the
properties and assets of one or more Subsidiaries of the Company to
another Person, which properties and assets, if held by the Company
instead of such Subsidiaries, would constitute all or substantially
all of the properties and assets of the Company on a consolidated
basis, shall be deemed to be the sale, conveyance, transfer or
lease of all or substantially all of the properties and assets of
the Company to another Person.

 

Section
11.02                                Successor
Corporation to Be Substituted. In case of any such consolidation,
merger, sale, conveyance, transfer or lease and upon the assumption
by the Successor Company, by supplemental indenture, executed and
delivered to the Trustee, of the due and punctual payment of the
principal of and accrued and unpaid interest on all of the Notes,
the due and punctual delivery or payment, as the case may be, of
any consideration due upon conversion of the Notes and the due and
punctual performance of all of the covenants and conditions of this
Indenture to be performed by the Company, such Successor Company
(if not the Company) shall succeed to and, except in the case of a
lease of all or substantially all of the Company’s properties
and assets, shall be substituted for the Company, with the same
effect as if it had been named herein as the party of the first
part. Such Successor Company thereupon may cause to be signed, and
may issue either in its own name or in the name of the Company any
or all of the Notes issuable hereunder which theretofore shall not
have been signed by the Company and delivered to the Trustee; and,
upon the order of such Successor Company instead of the Company and
subject to all the terms, conditions and limitations in this
Indenture prescribed, the Trustee shall authenticate and shall
deliver, or cause to be authenticated and delivered, any Notes that
previously shall have been signed and delivered by the Officers of
the Company to the Trustee for authentication, and any Notes that
such Successor Company thereafter shall cause to be signed and
delivered to the Trustee for that purpose. All the Notes so issued
shall in all respects have the same legal rank and benefit under
this Indenture as the Notes theretofore or thereafter issued in
accordance with the terms of this Indenture as though all of such
Notes had been issued at the date of the execution hereof. In the
event of any such consolidation, merger, sale, conveyance or
transfer (but not in the case of a lease), upon compliance with
this Article 11 the Person
named as the “Company” in the first paragraph of this
Indenture (or any successor that shall thereafter have become such
in the manner prescribed in this Article 11) may be
dissolved, wound up and liquidated at any time thereafter and,
except in the case of a lease, such Person shall be released from
its liabilities as obligor and maker of the Notes and from its
obligations under this Indenture and the Notes.

 

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

 

 

52

 

Section
11.03                                Opinion
of Counsel to Be Given to Trustee. No such consolidation, merger, sale,
conveyance, transfer or lease shall be effective unless the Trustee
shall receive an Officers’ Certificate and an Opinion of
Counsel as conclusive evidence that any such consolidation, merger,
sale, conveyance, transfer or lease, as the case may be, and any
such assumption and, if a supplemental indenture is required in
connection with such transaction, such supplemental indenture,
comply with the provisions of this Article 11, and which
Opinion of Counsel shall state that the Notes and such supplemental
indenture are valid and binding obligations of the Successor
Company.

 

ARTICLE 12

IMMUNITY OF INCORPORATORS,
STOCKHOLDERS, OFFICERS AND DIRECTORS

Section
12.01                                Indenture
and Notes Solely Corporate Obligations. No recourse for the payment of the
principal of or accrued and unpaid interest on any Note, nor for
any claim based thereon or otherwise in respect thereof, and no
recourse under or upon any obligation, covenant or agreement of the
Company in this Indenture or in any supplemental indenture or in
any Note, nor because of the creation of any indebtedness
represented thereby, shall be had against any incorporator,
stockholder, employee, agent, Officer or director or Subsidiary, as
such, past, present or future, of the Company or of any successor
corporation, either directly or through the Company or any
successor corporation, whether by virtue of any constitution,
statute or rule of law, or by the enforcement of any assessment or
penalty or otherwise; it being expressly understood that all such
liability is hereby expressly waived and released as a condition
of, and as a consideration for, the execution of this Indenture and
the issue of the Notes.

 

ARTICLE 13

[INTENTIONALLY
OMITTED]

ARTICLE 14

CONVERSION OF NOTES

Section
14.01                                Conversion
Privilege. (a) Subject to and upon compliance
with the provisions of this Article 14, each Holder of
a Note shall have the right, at such Holder’s option, to
convert all or any portion (if the portion to be converted is
$1,000 principal amount or an integral multiple thereof) of such
Note (i) subject to satisfaction of the conditions described
in Section 14.01(b), at any
time prior to the close of business on the Business Day immediately
preceding November 1, 2023 under the circumstances and during the
periods set forth in Section 14.01(b), and
(ii) regardless of the conditions described in Section 14.01(b), on or
after November 1, 2023 and prior to the close of business on the
Business Day immediately preceding the Maturity Date, in each case,
at an initial conversion rate of 173.9130 shares of Common Stock
(subject to adjustment as provided in this Article 14, the
“Conversion
Rate”) per $1,000 principal amount of Notes (subject
to, and in accordance with, the settlement provisions of
Section 14.02,
the “Conversion
Obligation”).

 

(b)           (i)
Prior to the close of business on the Business Day immediately
preceding November 1, 2023, a Holder may surrender all or any
portion of its Notes for conversion at any time during the five
consecutive Business Day period immediately following any five
consecutive Trading Day period (the “Measurement
Period”) in which the
Trading Price per $1,000 principal amount of Notes, as determined
following a request by a Holder of Notes in accordance with this
subsection (b)(i), for each Trading Day of the Measurement
Period was less than 98% of the product of the Last Reported Sale
Price of the Common Stock on each such Trading Day and the
Conversion Rate on each such Trading Day. The Trading Prices shall
be determined by the Bid Solicitation Agent pursuant to this
subsection (b)(i) and the definition of Trading Price set
forth in this Indenture. The Company shall provide written notice
to the Bid Solicitation Agent of the three independent nationally
recognized securities dealers selected by the Company pursuant to
the definition of Trading Price, along with appropriate contact
information for each. The Bid Solicitation Agent shall have no
obligation to determine the Trading Price per $1,000 principal
amount of Notes unless the Company has requested such determination
in writing and the Company shall have no obligation to make such
request unless a Holder provides the Company with reasonable
evidence that the Trading Price per $1,000 principal amount of
Notes on any Trading Day would be less than 98% of the product of
the Last Reported Sale Price of the Common Stock on such Trading
Day and the Conversion Rate on such Trading Day, at which time the
Company shall instruct the Bid Solicitation Agent in writing to
determine the Trading Price per $1,000 principal amount of Notes
beginning on the next Trading Day and on each successive Trading
Day until the Trading Price per $1,000 principal amount of Notes is
greater than or equal to 98% of the product of the Last Reported
Sale Price of the Common Stock and the Conversion Rate and instruct
three independent nationally recognized securities dealers to
deliver bids to the Bid Solicitation Agent. If the Company does not
instruct the Bid Solicitation Agent to determine the Trading Price
per $1,000 principal amount of Notes when obligated as provided in
the preceding sentence, or if the Company instructs the Bid
Solicitation Agent in writing to obtain bids and the Bid
Solicitation Agent fails to make such determination, then, in
either case, the Trading Price per $1,000 principal amount of Notes
shall be deemed to be less than 98% of the product of the Last
Reported Sale Price of the Common Stock and the Conversion Rate on
each Trading Day of such failure. If the Trading Price condition
set forth above has been met, the Company shall so notify the
Holders, the Trustee and the Conversion Agent (if other than the
Trustee) in writing. If, at any time after the Trading Price
condition set forth above has been met, the Trading Price per
$1,000 principal amount of Notes is greater than or equal to 98% of
the product of the Last Reported Sale Price of the Common Stock and
the Conversion Rate for such date, the Company shall so notify the
Holders of the Notes, the Trustee and the Conversion Agent (if
other than the Trustee) in writing.

 

 

53

 

(ii)           If,
prior to the close of business on the Business Day immediately
preceding November 1, 2023, the Company elects
to:

 

(A)           issue
to all or substantially all holders of the Common Stock any rights,
options or warrants (other than pursuant to a stockholder rights
plan in respect of which the stockholder rights have not separated
from the shares of Common Stock) entitling them, for a period of
not more than 45 calendar days after the announcement date of such
issuance, to subscribe for or purchase shares of the Common Stock
at a price per share that is less than the average of the Last
Reported Sale Prices of the Common Stock for the 10 consecutive
Trading Day period ending on, and including, the Trading Day
immediately preceding the date of announcement of such issuance;
or

 

 

(B)           distribute
to all or substantially all holders of the Common Stock the
Company’s assets, securities or rights to purchase securities
of the Company (other than pursuant to a stockholder rights plan in
respect of which the stockholder rights have not separated from the
shares of Common Stock), which distribution has a per share value,
as reasonably determined by the Board of Directors, exceeding 10%
of the Last Reported Sale Price of the Common Stock on the Trading
Day preceding the date of announcement for such
distribution,

 

then,
in either case, the Company shall notify all Holders of the Notes,
the Trustee and the Conversion Agent (if other than the Trustee) in
writing at least 50 Scheduled Trading Days prior to the Ex-Dividend
Date for such issuance or distribution. Once the Company has given
such notice, a Holder may surrender all or any portion of its Notes
for conversion at any time until the earlier of (1) the close
of business on the Business Day immediately preceding the
Ex-Dividend Date for such issuance or distribution and (2) the
Company’s announcement that such issuance or distribution
will not take place, in each case, even if the Notes are not
otherwise convertible at such time.

 

(iii)           If
(A) a transaction or event that constitutes (x) a Fundamental
Change or (y) a Make-Whole Fundamental Change occurs prior to the
close of business on the Business Day immediately preceding
November 1, 2023, regardless of whether a Holder has the right to
require the Company to repurchase the Notes pursuant to
Section 15.02,
or (B) the Company is a party to a Share Exchange that occurs prior
to the close of business on the Business Day immediately preceding
November 1, 2023 (each such Fundamental Change, Make-Whole
Fundamental Change or Share Exchange Event a
“Corporate
Event”), then, in each
case, all or any portion of a Holder’s Notes may be
surrendered for conversion at any time on or after the effective
date of such Corporate Event until 35 Trading Days after the
effective date of such Corporate Event or, if such Corporate Event
also constitutes a Fundamental Change, until the related
Fundamental Change Repurchase Date. The Company shall notify
Holders, the Trustee and the Conversion Agent (if other than the
Trustee) in writing no later than the effective date of such
Corporate Event.

 

 

54

 

(iv)           Prior
to the close of business on the Business Day immediately preceding
November 1, 2023, a Holder may surrender all or any portion of its
Notes for conversion at any time during any calendar quarter
commencing after the calendar quarter ending on September 30,
2019 (and only during such calendar quarter), if the Last Reported
Sale Price of the Common Stock for at least 20 Trading Days
(whether or not consecutive) during the period of 30 consecutive
Trading Days ending on, and including, the last Trading Day of the
immediately preceding calendar quarter is greater than or equal to
130% of the Conversion Price on each applicable Trading Day. The
Company shall determine at the beginning of each calendar quarter
commencing after October 1, 2019 whether the Notes may be
surrendered for conversion in accordance with this clause (iv)
and shall notify in writing the Holders, the Trustee and the
Conversion Agent (if other than the Trustee) if the Notes become
convertible in accordance with this
clause (iv).

 

(v)           If
the Company calls any or all of the Notes for redemption pursuant
to Article 16,
then a Holder may surrender all or any portion of its Notes for
conversion at any time prior to the close of business on the
Scheduled Trading Day prior to the Redemption Date, even if the
Notes are not otherwise convertible at such time. After that time,
the right to convert on account of the Company’s delivery of
the Redemption Notice shall expire, unless the Company defaults in
the payment of the Redemption Price, in which case a Holder of
Notes may convert its Notes until the Business Day immediately
preceding the date on which the Redemption Price has been paid or
duly provided for.

 

(c)           For
any Conversion Date that occurs on or after May 14, 2020 or after
the occurrence of any 30 Trading Day period during which the Last
Reported Sale Price of the Common Stock has been at least 150% of
the Conversion Price then in effect for at least 20 Trading Days
(whether or not consecutive), the Company shall, in addition to the
other consideration payable or deliverable in connection with any
conversion of Notes, make an interest make-whole payment (an
“Interest Make-Whole
Payment”) to such
converting Holder equal to the sum of the present values of the
scheduled payments of interest that would have been made on the
Notes to be converted had such Notes remained outstanding from the
Conversion Date through the earlier of (i) the date that is two
years after the Conversion Date and (ii) June 15, 2022, if the
Notes had not been so converted. The present values of the
remaining interest payments shall be computed by the Company in
good faith using a discount rate equal to 2.0%.

 

If a
Conversion Date occurs after the close of business on a Regular
Record Date but prior to the open of business on the Interest
Payment Date corresponding to such Regular Record Date, the Company
shall not pay accrued interest to any converting Holder and shall
instead pay the full amount of the relevant interest payment on
such Interest Payment Date to the Holder of record on such Regular
Record Date. In such case, the Interest Make-Whole Payment to such
converting Holder shall equal the present value of all remaining
interest payments, starting with the next Interest Payment Date for
which interest has not been provided for until the earlier of (i)
the date that is two years after the Conversion Date and (ii) June
15, 2022, if the notes had not been so converted, computed by the
Company in good faith using a discount rate equal to
2.0%.

 

 

55

 

 

The
Company may pay any Interest Make-Whole Payment either in cash or
shares of Common Stock, at its election. In order to make an
election to pay any Interest Make-Whole Payment in cash or shares
of Common Stock, the Company shall notify in writing all Holders of
the Notes, the Trustee, Paying Agent and the Conversion Agent (if
other than the Trustee) of such election at least 15 Scheduled
Trading Days prior to May 14, 2020. Thereafter, the Company shall
be permitted to make such an election no earlier than 30 Scheduled
Trading Days prior to, but no later than 15 Scheduled Trading Days
before, the first Scheduled Trading Day of each calendar quarter
that begins on or after July 1, 2020, which election shall be
effective from the period that begins at the open of business on
the first Scheduled Trading Day of such calendar quarter and ends
immediately prior to the open of business on the first Scheduled
Trading Day of the immediately succeeding calendar quarter. If the
Company does not make an election with respect to any Interest
Make-Whole Payment to pay in cash or shares of Common Stock, the
payment of any such Interest Make-Whole Payment shall be in shares
of Common Stock. The Company’s election with respect to any
Interest Make-Whole Payment required to be paid prior to May 14,
2020 is to pay in shares of Common Stock. If the Company elects (or
is deemed to have elected) to pay any Interest Make-Whole Payment
by delivering shares Common Stock, the number of shares of Common
Stock a converting Holder of Notes shall receive shall be equal to
the amount of the Interest Make-Whole Payment due divided by the
greater of (A) the product of (x) 95.0% and (y) the simple average
of the daily VWAP of the Common Stock for the 10 trading days
ending on and including the Trading Day immediately preceding the
Conversion Date and (B) the Conversion Price (rounded to the
nearest ten-thousandth) on the applicable Conversion Date. The
Company shall pay cash in lieu of delivering any fractional share
of Common Stock as described under Section 14.02(j). If the Company
elects to pay any Interest Make-Whole Payment in cash, the Company
shall pay cash in an amount equal to the Interest Make-Whole
Payment.

 

Notwithstanding the
foregoing, (x) if the Company elects (or is deemed to have elected)
to pay any Interest Make-Whole Payment in shares of Common Stock,
the number of shares of Common Stock the Company may deliver in
connection with a conversion of the Notes, including those
delivered in connection with an Interest Make-Whole Payment, shall
not exceed 197.0440 shares of Common Stock per $1,000 principal
amount of Notes, subject to adjustment at the same time and in the
same manner as the Conversion Rate as set forth under Section 14.04
and (y) if the Company elects to pay any Interest Make-Whole
Payment in cash, the amount of cash the Company may deliver in
connection with any such Interest Make-Whole Payment shall not
exceed $117.39 per $1,000 principal amount of Notes. The Company
shall not be required to make any cash payments in lieu of any
fractional share or have any further obligation to deliver any
shares of Common Stock or pay any cash in excess of the threshold
described in the preceding sentence. In addition, if in connection
with any conversion the Conversion Rate is adjusted pursuant to
Section 14.03, then
such Holder shall not receive the Interest Make-Whole Payment with
respect to such Note. None of the Trustee, Paying Agent or
Conversion Agent shall be responsible for determining, calculating
or verifying the Company’s calculations of, the Interest
Make-Whole Payment.

 

 

56

 

Section
14.02                                Conversion
Procedure; Settlement Upon Conversion.

 

(a)           Subject
to this Section 14.02,
Section 14.03(b),
Section 14.07(a)
and Section 14.12,
upon conversion of any Note, the Company shall pay or deliver, as
the case may be, to the converting Holder, in respect of each
$1,000 principal amount of Notes being converted, cash
(“Cash
Settlement”), shares of
Common Stock, together with cash, if applicable, in lieu of
delivering any fractional share of Common Stock in accordance with
subsection (j) of this Section 14.02
(“Physical
Settlement”) or a
combination of cash and shares of Common Stock, together with cash,
if applicable, in lieu of delivering any fractional share of Common
Stock in accordance with subsection (j) of this
Section 14.02
(“Combination
Settlement”), at its
election, as set forth in this Section 14.02.

 

(i)           All
conversions for which the relevant Conversion Date occurs on or
after November 1, 2023, and all conversions for which the relevant
Conversion Date occurs on or after the Company’s issuance of
a Redemption Notice with respect to the Notes and prior to the
related Redemption Date (a “Redemption
Period”), shall be
settled using the same Settlement Method.

 

(ii)           Except
for any conversions for which the relevant Conversion Date occurs
on or after November 1, 2023, and any conversions for which the
relevant Conversion Date occurs during a Redemption Period, the
Company shall use the same Settlement Method for all conversions
with the same Conversion Date, but the Company shall not have any
obligation to use the same Settlement Method with respect to
conversions with different Conversion Dates.

 

(iii)           If,
in respect of any Conversion Date (or one of the periods described
in the third immediately succeeding set of parentheses, as the case
may be), the Company elects to deliver a notice (the
“Settlement
Notice”) of the relevant
Settlement Method in respect of such Conversion Date (or such
period, as the case may be), the Company shall deliver such
Settlement Notice in writing to converting Holders, the Trustee and
the Conversion Agent (if other than the Trustee) no later than the
close of business on the Scheduled Trading Day immediately
following the relevant Conversion Date (or, in the case of any
conversions for which the relevant Conversion Date occurs
(x) during a Redemption Period, in the related Redemption
Notice or (y) on or after November 1, 2023, no later than
November 1, 2023). If the Company does not elect a Settlement
Method prior to the deadline set forth in the immediately preceding
sentence, the Company shall no longer have the right to elect Cash
Settlement or Physical Settlement for such conversion or during
such period and the Company shall be deemed to have elected
Combination Settlement in respect of its Conversion Obligation, and
the Specified Dollar Amount per $1,000 principal amount of Notes
shall be equal to $1,000. Such Settlement Notice shall specify the
relevant Settlement Method and in the case of an election of
Combination Settlement, the relevant Settlement Notice shall
indicate the Specified Dollar Amount per $1,000 principal amount of
Notes. If the Company timely delivers a Settlement Notice electing
Combination Settlement in respect of its Conversion Obligation but
does not indicate a Specified Dollar Amount per $1,000 principal
amount of Notes in such Settlement Notice, the Specified Dollar
Amount per $1,000 principal amount of Notes shall be deemed to be
$1,000.

 

 

57

 

 

(iv)           The
cash, shares of Common Stock or combination of cash and shares of
Common Stock in respect of any conversion of Notes (the
“Settlement
Amount”) shall be
computed as follows:

 

(A)           if
the Company elects to satisfy its Conversion Obligation in respect
of such conversion by Physical Settlement, subject to the Ownership
Limitation, the Company shall deliver to the converting Holder in
respect of each $1,000 principal amount of Notes being converted a
number of shares of Common Stock equal to the Conversion Rate in
effect on the Conversion Date, together with the amount of cash
payable in lieu of delivering any fractional share of Common Stock,
and an Interest Make-Whole Payment, if
applicable;

 

(B)           if
the Company elects to satisfy its Conversion Obligation in respect
of such conversion by Cash Settlement, subject to the Ownership
Limitation, the Company shall pay to the converting Holder in
respect of each $1,000 principal amount of Notes being converted
cash in an amount equal to the sum of the Daily Conversion Values
for each of the 40 consecutive Trading Days during the related
Observation Period, together with the amount of cash payable in
lieu of delivering any fractional share of Common Stock, and an
Interest Make-Whole Payment, if applicable; and

 

(C)           if
the Company elects (or is deemed to have elected) to satisfy its
Conversion Obligation in respect of such conversion by Combination
Settlement, subject to the Ownership Limitation, the Company shall
pay or deliver, as the case may be, in respect of each $1,000
principal amount of Notes being converted, a Settlement Amount
equal to the sum of the Daily Settlement Amounts for each of the 40
consecutive Trading Days during the related Observation Period,
together with the amount of cash payable in lieu of delivering any
fractional share of Common Stock, and an Interest Make-Whole
Payment, if applicable.

 

(v)           The
Daily Settlement Amounts (if applicable) and the Daily Conversion
Values (if applicable) shall be determined by the Company promptly
following the last day of the Observation Period. Promptly after
such determination of the Daily Settlement Amounts or the Daily
Conversion Values, as the case may be, and the amount of cash
payable in lieu of delivering any fractional share of Common Stock,
the Company shall notify the Trustee and the Conversion Agent (if
other than the Trustee) of the Daily Settlement Amounts or the
Daily Conversion Values, as the case may be, and the amount of cash
payable in lieu of delivering fractional shares of Common Stock.
The Trustee and the Conversion Agent (if other than the Trustee)
shall have no responsibility for any such
determination.

 

 

58

 

 

(b)           Subject
to Section 14.02(e),
before any Holder of a Note shall be entitled to convert a Note as
set forth above, such Holder shall (i) in the case of a Global
Note, comply with the procedures of the Depositary in effect at
that time and, if required, pay funds equal to interest payable on
the next Interest Payment Date to which such Holder is not entitled
as set forth in Section 14.02(h)
and (ii) in the case of a
Physical Note (1) complete, manually sign and deliver an
irrevocable notice to the Conversion Agent as set forth in the Form
of Notice of Conversion (or a facsimile or other electronic
transmission thereof) (a “Notice of
Conversion”) at the
office of the Conversion Agent and state in writing therein the
principal amount of Notes to be converted and the name or names
(with addresses) in which such Holder wishes the certificate or
certificates for any shares of Common Stock to be delivered upon
settlement of the Conversion Obligation to be registered,
(2) surrender such Notes, duly endorsed to the Company or in
blank (and accompanied by appropriate endorsement and transfer
documents), at the office of the Conversion Agent, (3) if
required, furnish appropriate endorsements and transfer documents
and (4) if required, pay funds equal to interest payable on
the next Interest Payment Date to which such Holder is not entitled
as set forth in Section 14.02(h).
The Trustee (and if different, the Conversion Agent) shall notify
the Company of any conversion pursuant to this Article 14
on the Conversion Date for such
conversion. No Notice of Conversion with respect to any Notes may
be surrendered by a Holder thereof if such Holder has also
delivered a Fundamental Change Repurchase Notice to the Company in
respect of such Notes and has not validly withdrawn such
Fundamental Change Repurchase Notice in accordance with
Section 15.03.

 

If more
than one Note shall be surrendered for conversion at one time by
the same Holder, the Conversion Obligation with respect to such
Notes shall be computed on the basis of the aggregate principal
amount of the Notes (or specified portions thereof to the extent
permitted thereby) so surrendered.

 

(c)           A
Note shall be deemed to have been converted immediately prior to
the close of business on the date (the “Conversion
Date”) that the Holder
has complied with the requirements set forth in subsection (b)
above. Except as set forth in Section 14.03(b)
and Section 14.07(a),
the Company shall pay or deliver, as the case may be, the
consideration due in respect of the Conversion Obligation on the
second Business Day immediately following the relevant Conversion
Date, if the Company elects Physical Settlement, or on the second
Business Day immediately following the last Trading Day of the
Observation Period, in the case of any other Settlement Method. If
any shares of Common Stock are due to a converting Holder, the
Company shall issue or cause to be issued, and deliver (if
applicable) to the Conversion Agent or to such Holder, or such
Holder’s nominee or nominees, the full number of shares of
Common Stock to which such Holder shall be entitled, in book-entry
format through the Depositary, in satisfaction of the
Company’s Conversion Obligation.

 

(d)           In
case any Physical Note shall be surrendered for partial conversion,
the Company shall execute and the Trustee shall authenticate and
deliver to or upon the written order of the Holder of the Physical
Note so surrendered a new Physical Note or Notes in authorized
denominations in an aggregate principal amount equal to the
unconverted portion of the surrendered Physical Note, without
payment of any service charge by the converting Holder but, if
required by the Company or Trustee, with payment of a sum
sufficient to cover any documentary, stamp or similar issue or
transfer tax or similar governmental charge required by law or that
may be imposed in connection therewith as a result of the name of
the Holder of the new Physical Notes issued upon such conversion
being different from the name of the Holder of the old Physical
Notes surrendered for such conversion.

 

 

59

(e)           If
a Holder submits a Note for conversion, the Company shall pay any
documentary, stamp or similar issue or transfer tax due on the
issue of any shares of Common Stock upon conversion, unless the tax
is due because the Holder requests such shares to be issued in a
name other than the Holder’s name, in which case the Holder
shall pay that tax. The Conversion Agent may refuse to deliver the
certificates representing the shares of Common Stock being issued
in a name other than the Holder’s name until the Trustee
receives a sum sufficient to pay any tax that is due by such Holder
in accordance with the immediately preceding
sentence.

 

(f)           Except
as provided in Section 14.04,
no adjustment shall be made for dividends on any shares of Common
Stock issued upon the conversion of any Note as provided in
this Article 14.

 

(g)           Upon
the conversion of an interest in a Global Note, the Trustee, or the
Custodian at the direction of the Trustee, shall make a notation on
such Global Note as to the reduction in the principal amount
represented thereby. The Company shall notify the Trustee in
writing of any conversion of Notes effected through any Conversion
Agent other than the Trustee.

 

(h)           Upon
conversion, a Holder shall not receive any separate cash payment
for accrued and unpaid interest, if any, except as set forth below
and under Section
14.01(c). The Company’s
settlement of the full Conversion Obligation shall be deemed to
satisfy in full its obligation to pay the principal amount of the
Note and accrued and unpaid interest, if any, to, but not
including, the relevant Conversion Date. As a result, accrued and
unpaid interest, if any, to, but not including, the relevant
Conversion Date shall be deemed to be paid in full rather than
cancelled, extinguished or forfeited. Upon a conversion of Notes
into a combination of cash and shares of Common Stock, accrued and
unpaid interest will be deemed to be paid first out of the cash
paid upon such conversion. Notwithstanding the foregoing, if Notes
are converted after the close of business on a Regular Record Date
but prior to the open of business on the Interest Payment Date
corresponding to such Regular Record Date, Holders of such Notes as
of the close of business on such Regular Record Date will receive
the full amount of interest payable on such Notes on the
corresponding Interest Payment Date notwithstanding the conversion.
Notes surrendered for conversion during the period from the close
of business on any Regular Record Date to the open of business on
the immediately following Interest Payment Date must be accompanied
by funds equal to the amount of interest payable on the Notes so
converted; provided that no such payment shall be required
(1) for conversions following the Regular Record Date
immediately preceding the Maturity Date; (2) if the Company
has specified a Redemption Date that is after a Regular Record Date
and on or prior to the second Business Day immediately following
the corresponding Interest Payment Date (or, if such Interest
Payment Date is not a Business Day, the third Business Day
immediately following such Interest Payment Date); (3) if the
Company has specified a Fundamental Change Repurchase Date that is
after a Regular Record Date and on or prior to the Business Day
immediately following the corresponding Interest Payment Date (or,
if such Interest Payment Date is not a Business Day, the second
Business Day immediately following such Interest Payment Date);
(4) for Notes in respect of which an Interest Make-Whole
Payment is payable upon conversion; or (5) to the extent of
any Defaulted Amounts, if any Defaulted Amounts exists at the time
of conversion with respect to such Note. Therefore, for the
avoidance of doubt, all Holders of record after the close of
business on the Regular Record Date immediately preceding the
Maturity Date, a Redemption Date or Fundamental Change Repurchase
Date described in clauses (2)
and (3)
of this Section
14.02(h), and any Holders of
record entitled to receive an Interest Make-Whole Payment upon
conversion described in clause (4) of this Section
14.02(h) shall receive the full
interest payment due on the Maturity Date or other applicable
Interest Payment Date in cash regardless of whether their Notes
have been converted following such Regular Record
Date.

 

 

 

60

 

 

 

 

 

(i)           The
Person in whose name the shares of Common Stock shall be issuable
upon conversion shall be treated as a stockholder of record as of
the close of business on the relevant Conversion Date (if the
Company elects to satisfy the related Conversion Obligation by
Physical Settlement) or the last Trading Day of the relevant
Observation Period (if the Company elects to satisfy the related
Conversion Obligation by Combination Settlement), as the case may
be. Upon a conversion of Notes, such Person shall no longer be a
Holder of such Notes surrendered for
conversion.

 

(j)           The
Company shall not issue any fractional share of Common Stock upon
conversion of the Notes and shall instead pay cash in lieu of
delivering any fractional share of Common Stock issuable upon
conversion based on the Daily VWAP for the relevant Conversion Date
(in the case of Physical Settlement) or based on the Daily VWAP for
the last Trading Day of the relevant Observation Period (in the
case of Combination Settlement). For each Note surrendered for
conversion, if the Company has elected Combination Settlement, the
full number of shares that shall be issued upon conversion thereof
shall be computed on the basis of the aggregate Daily Settlement
Amounts for the relevant Observation Period and any fractional
shares remaining after such computation shall be paid in
cash.

 

Section
14.03                                Increased
Conversion Rate Applicable to Certain Notes Surrendered in
Connection with Make-Whole Fundamental Changes or Redemption
Notice. (a) If
(x) the Effective Date of a Make-Whole Fundamental Change
occurs prior to the Maturity Date or (y) the Company gives a
Redemption Notice with respect to any or all of the Notes in
accordance with Section 16.02 and, in each
case, a Holder elects to convert its Notes in connection with such
Make-Whole Fundamental Change or Redemption Notice, as applicable,
the Company shall, under the circumstances described below,
increase the Conversion Rate for the Notes so surrendered for
conversion by a number of additional shares of Common Stock (the
“Additional
Shares”), as described below. A conversion of Notes
shall be deemed for these purposes to be “in connection
with” such Make-Whole Fundamental Change if the relevant
Notice of Conversion is received by the Conversion Agent from, and
including, the Effective Date of the Make-Whole Fundamental Change
up to, and including, the Business Day immediately prior to the
related Fundamental Change Repurchase Date (or, in the case of a
Make-Whole Fundamental Change that would have been a Fundamental
Change but for the proviso in clause (b) of the definition
thereof, the 35th Trading Day immediately following the Effective
Date of such Make-Whole Fundamental Change) (such period, the
“Make-Whole Fundamental
Change Period”). A conversion of Notes shall be deemed
for these purposes to be “in connection with” a
Redemption Notice if the relevant Notice of Conversion is received
by the Conversion Agent from, and including, the date of the
Redemption Notice until the close of business on the Scheduled
Trading Day immediately preceding corresponding Redemption
Date.

 

(b)           Upon
surrender of Notes for conversion in connection with a Make-Whole
Fundamental Change pursuant to Section 14.01(b)(iii)
or Redemption Notice pursuant
to Section 14.01(b)(v),
the Company shall, at its option, satisfy the related Conversion
Obligation by Physical Settlement, Cash Settlement or Combination
Settlement in accordance with Section 14.02
based on the Conversion Rate as
increased to reflect the Additional Shares pursuant to the table
set forth in Section
14.03(f) below;
provided, however, that if, at the effective time of a Make-Whole
Fundamental Change described in clause (b) of the definition
of Fundamental Change, the Reference Property following such
Make-Whole Fundamental Change is composed entirely of cash, for any
conversion of Notes following the Effective Date of such Make-Whole
Fundamental Change, the Conversion Obligation shall be calculated
based solely on the Stock Price for the transaction and shall be
deemed to be an amount of cash per $1,000 principal amount of
converted Notes equal to the Conversion Rate (including any
adjustment for Additional Shares), multiplied by
such Stock Price. In such event, the
Conversion Obligation shall be paid to Holders in cash on the
second Business Day following the Conversion Date. The Company
shall notify the Holders of Notes, the Trustee and the Conversion
Agent (if other than the Trustee) in writing of the Effective Date
of any Make-Whole Fundamental Change and issue a press release
announcing such Effective Date no later than five Business Days
after such Effective Date.

 

 

 

61

 

(c)           The
number of Additional Shares, if any, by which the Conversion Rate
shall be increased shall be determined by reference to the table
below, based on the date on which the Make-Whole Fundamental Change
occurs or becomes effective, or the date of the relevant Redemption
Notice, as the case may be (in each case, the
“Effective
Date”), and the price
paid (or deemed to be paid) per share of the Common Stock in the
Make-Whole Fundamental Change or with respect to the Optional
Redemption, as the case may be (the “Stock Price”). If the holders of the Common Stock
receive in exchange for their Common Stock only cash in a
Make-Whole Fundamental Change described in clause (b) of the
definition of Fundamental Change, the Stock Price shall be the cash
amount paid per share. Otherwise, the Stock Price shall be the
average of the Last Reported Sale Prices of the Common Stock over
the five consecutive Trading Day period ending on, and including,
the Trading Day immediately preceding the Effective Date of the
Make-Whole Fundamental Change or the date of the Redemption Notice,
as the case may be.

 

(d)           In
the event that a conversion in connection with a Redemption Notice
would also be deemed to be in connection with a Make-Whole
Fundamental Change, a Holder of the Notes to be converted will be
entitled to a single increase to the Conversion Rate with respect
to the first to occur of the date of the applicable Redemption
Notice or the Effective Date of the applicable Make-Whole
Fundamental Change, and the later event will be deemed not to have
occurred for purposes of this Section
14.03. The Board of Directors
shall make appropriate adjustments to the Stock Price, in its good
faith determination, to account for any adjustment to the
Conversion Rate that becomes effective, or any event requiring an
adjustment to the Conversion Rate where the Ex-Dividend Date,
Effective Date (as such term is used in Section 14.04)
or expiration date of the event occurs during such five consecutive
Trading Day period.

 

(e)           The
Stock Prices set forth in the column headings of the table below
shall be adjusted as of any date on which the Conversion Rate for
the Notes is otherwise adjusted. The adjusted Stock Prices shall
equal the Stock Prices applicable immediately prior to such
adjustment, multiplied by
a fraction, the numerator of which is
the Conversion Rate immediately prior to such adjustment giving
rise to the Stock Price adjustment and the denominator of which is
the Conversion Rate as so adjusted. The number of Additional Shares
set forth in the table below shall be adjusted in the same manner
and at the same time as the Conversion Rate as set forth in
Section 14.04.

 

(f)           The
following table sets forth the number of Additional Shares of
Common Stock by which the Conversion Rate shall be increased per
$1,000 principal amount of Notes pursuant to this
Section 14.03
for each Stock Price and Effective
Date set forth below:

 

	
 

	

Stock Price

	

Effective Date

 

	

$5.075

 

	

$5.75

 

	

$6.00

 

	

$7.00

 

	

$8.00

 

	

$9.00

 

	

$10.00

 

	

$11.00

 

	

$12.00

 

	

May 14,
2019

 

	

23.1310

 

	

20.0000

 

	

18.7500

 

	

15.8857

 

	

13.1250

 

	

8.8889

 

	

4.5000

 

	

2.1818

 

	

0.0000

 

	

May 1,
2020

 

	

23.1310

 

	

19.5000

 

	

18.2813

 

	

15.4886

 

	

12.7969

 

	

8.6667

 

	

4.3875

 

	

2.1273

 

	

0.0000

 

	

May 1,
2021

 

	

23.1310

 

	

18.8000

 

	

17.6250

 

	

14.9326

 

	

12.3375

 

	

8.3556

 

	

4.2300

 

	

2.0509

 

	

0.0000

 

	

May 1,
2022

 

	

23.1310

 

	

18.0000

 

	

16.8750

 

	

14.2971

 

	

11.8125

 

	

8.0000

 

	

4.0500

 

	

1.9636

 

	

0.0000

 

	

May 1,
2023

 

	

23.1310

 

	

17.5000

 

	

16.4063

 

	

13.9000

 

	

11.4844

 

	

7.7778

 

	

3.9375

 

	

1.9091

 

	

0.0000

 

	

May 1,
2024

 

	

23.1310

 

	

0.0000

 

	

0.0000

 

	

0.0000

 

	

0.0000

 

	

0.0000

 

	

0.0000

 

	

0.0000

 

	

0.0000

 

 

 

62

 

 

The
exact Stock Price and Effective Date may not be set forth in the
table above, in which case:

 

(i)           if
the Stock Price is between two Stock Prices in the table above or
the Effective Date is between two Effective Dates in the table, the
number of Additional Shares shall be determined by a straight-line
interpolation between the number of Additional Shares set forth for
the higher and lower Stock Prices and the earlier and later
Effective Dates, as applicable, based on a 365-day
year;

 

(ii)           if
the Stock Price is greater than $12.00 per share (subject to
adjustment in the same manner as the Stock Prices set forth in the
column headings of the table above pursuant to subsection (d)
above), no Additional Shares shall be added to the Conversion Rate;
and

 

(iii)           if
the Stock Price is less than $5.075 per share (subject to
adjustment in the same manner as the Stock Prices set forth in the
column headings of the table above pursuant to subsection (d)
above), no Additional Shares shall be added to the Conversion
Rate.

 

Notwithstanding
the foregoing, in no event shall the Conversion Rate per $1,000
principal amount of Notes exceed 197.0440 shares of Common Stock,
subject to adjustment in the same manner as the Conversion Rate
pursuant to Section 14.04.

(g)           Nothing
in this Section 14.03
shall prevent an adjustment to the
Conversion Rate pursuant to Section 14.04
in respect of a Make-Whole Fundamental
Change.

 

Section
14.04                                Adjustment
of Conversion Rate. The Conversion Rate shall be adjusted
from time to time by the Company if any of the following events
occurs, except that the Company shall not make any adjustments to
the Conversion Rate if Holders of the Notes participate (other than
in the case of (x) a share split or share combination or
(y) a tender or exchange offer), at the same time and upon the
same terms as holders of the Common Stock and solely as a result of
holding the Notes, in any of the transactions described in this
Section 14.04,
without having to convert their Notes, as if they held a number of
shares of Common Stock equal to the Conversion Rate, multiplied by the principal amount
(expressed in thousands) of Notes held by such Holder.

 

(a)           If
the Company exclusively issues shares of Common Stock as a dividend
or distribution on shares of the Common Stock, or if the Company
effects a share split or share combination in respect of the Common
Stock, the Conversion Rate shall be adjusted based on the following
formula:

 

 

where,

 

CR0 = the
Conversion Rate in effect immediately prior to the open of business
on the Ex- Dividend Date of such dividend or distribution, or
immediately prior to the open of business on the Effective Date of
such share split or share combination, as applicable;

 

CR1 = the
Conversion Rate in effect immediately after the open of business on
such Ex- Dividend Date or Effective Date;

 

OS0 = the
number of shares of Common Stock outstanding immediately prior to
the open of business on such Ex-Dividend Date or Effective Date;
and

 

OS1 = the
number of shares of Common Stock outstanding immediately after
giving effect to such dividend, distribution, share split or share
combination.

 

Any
adjustment made under this Section 14.04(a) shall
become effective immediately after the open of business on the
Ex-Dividend Date for such dividend or distribution, or immediately
after the open of business on the Effective Date for such share
split or share combination, as applicable. If any dividend or
distribution of the type described in this Section 14.04(a) is
declared but not so paid or made, the Conversion Rate shall be
immediately readjusted, effective as of the date the Board of
Directors determines not to pay such dividend or distribution, to
the Conversion Rate that would then be in effect if such dividend
or distribution had not been declared.

 

 

63

 

(b)           If
the Company issues to all or substantially all holders of the
Common Stock any rights, options or warrants (other than in
connection with a stockholder rights plan) entitling them, for a
period of not more than 45 calendar days after the announcement
date of such issuance, to subscribe for or purchase shares of the
Common Stock at a price per share that is less than the average of
the Last Reported Sale Prices of the Common Stock for the 10
consecutive Trading Day period ending on, and including, the
Trading Day immediately preceding the date of announcement of such
issuance, the Conversion Rate shall be increased based on the
following formula:

 

 

where,

 

CR0 = the
Conversion Rate in effect immediately prior to the open of business
on the Ex-Dividend Date for such issuance;

 

CR1 = the
Conversion Rate in effect immediately after the open of business on
such Ex-Dividend Date;

 

OS0 = the
number of shares of Common Stock outstanding immediately prior to
the open of business on such Ex-Dividend Date;

 

X = the
total number of shares of Common Stock issuable pursuant to such
rights, options or warrants; and

 

Y = the
number of shares of Common Stock equal to the aggregate price
payable to exercise such rights, options or warrants, divided by
the average of the Last Reported Sale Prices of the Common Stock
over the 10 consecutive Trading Day period ending on, and
including, the Trading Day immediately preceding the date of
announcement of the issuance of such rights, options or
warrants.

 

Any
increase made under this Section 14.04(b) shall be
made successively whenever any such rights, options or warrants are
issued and shall become effective immediately after the open of
business on the Ex-Dividend Date for such issuance. To the extent
that shares of the Common Stock are not delivered after the
expiration of such rights, options or warrants, the Conversion Rate
shall be decreased to the Conversion Rate that would then be in
effect had the increase with respect to the issuance of such
rights, options or warrants been made on the basis of delivery of
only the number of shares of Common Stock actually delivered. If
such rights, options or warrants are not so issued, the Conversion
Rate shall be decreased to the Conversion Rate that would then be
in effect if such Ex-Dividend Date for such issuance had not
occurred.

 

For
purposes of this Section 14.04(b) and for
the purpose of Section 14.01(b)(ii)(A),
in determining whether any rights, options or warrants entitle the
holders to subscribe for or purchase shares of the Common Stock at
less than such average of the Last Reported Sale Prices of the
Common Stock for the 10 consecutive Trading Day period ending on,
and including, the Trading Day immediately preceding the date of
announcement for such issuance, and in determining the aggregate
offering price of such shares of Common Stock, there shall be taken
into account any consideration received by the Company for such
rights, options or warrants and any amount payable on exercise or
conversion thereof, the value of such consideration, if other than
cash, to be determined by the Board of Directors.

 

 

64

 

(c)           If
the Company distributes shares of its Capital Stock, evidences of
its indebtedness, other assets or property of the Company or
rights, options or warrants to acquire its Capital Stock or other
securities, to all or substantially all holders of the Common
Stock, excluding (i) dividends, distributions or issuances as
to which an adjustment was effected pursuant to Section 14.04(a)
or Section 14.04(b),
(ii) dividends or distributions paid exclusively in cash as to
which an adjustment was effected pursuant to Section 14.04(d),
(iii) except as otherwise provided in Section 14.11,
rights issued under a stockholder rights plan of the Company,
(iv) distributions of Reference Property in exchange for or
upon conversion of the Common Stock in a Share Exchange Event and
(v) Spin-Offs as to which the provisions set forth below in
this Section 14.04(c)
shall apply (any of such shares of
Capital Stock, evidences of indebtedness, other assets or property
or rights, options or warrants to acquire Capital Stock or other
securities, the “Distributed
Property”), then the
Conversion Rate shall be increased based on the following
formula:

 

 

where,

 

CR0 = the
Conversion Rate in effect immediately prior to the open of business
on the Ex-Dividend Date for such distribution;

 

CR1 = the
Conversion Rate in effect immediately after the open of business on
such Ex-Dividend Date;

 

SP0 = the
average of the Last Reported Sale Prices of the Common Stock over
the 10 consecutive Trading Day period ending on, and including, the
Trading Day immediately preceding the Ex-Dividend Date for such
distribution; and

 

FMV 

= 

the fair market
value (as determined by the Board of Directors) of the Distributed
Property with respect to each outstanding share of the Common Stock
on the Ex- Dividend Date for such distribution.

 

Any
increase made under the portion of this Section 14.04(c) above
shall become effective immediately after the open of business on
the Ex-Dividend Date for such distribution. If such distribution is
not so paid or made, the Conversion Rate shall be decreased to the
Conversion Rate that would then be in effect if such distribution
had not been declared. Notwithstanding the foregoing, if
“FMV” (as defined above) is equal to or greater than
“SP0” (as defined above), in lieu of the foregoing
increase, each Holder of a Note shall receive, in respect of each
$1,000 principal amount thereof, at the same time and upon the same
terms as holders of the Common Stock receive the Distributed
Property, the amount and kind of Distributed Property such Holder
would have received if such Holder owned a number of shares of
Common Stock equal to the Conversion Rate in effect on the
Ex-Dividend Date for the distribution. If the Board of Directors
determines the “FMV” (as defined above) of any
distribution for purposes of this Section 14.04(c) by
reference to the actual or when-issued trading market for any
securities, it shall in doing so consider the prices in such market
over the same period used in computing the Last Reported Sale
Prices of the Common Stock over the 10 consecutive Trading Day
period ending on, and including, the Trading Day immediately
preceding the Ex-Dividend Date for such distribution.

 

With
respect to an adjustment pursuant to this Section 14.04(c) where
there has been a payment of a dividend or other distribution on the
Common Stock of shares of Capital Stock of any class or series, or
similar equity interest, of or relating any Subsidiaries or other
business units of the Company, that are, or, when issued, will be,
listed or admitted for trading on a U.S. national securities
exchange (a “Spin-Off”), the Conversion Rate
shall be increased based on the following formula:

 

 

where,

 

CR0 = the
Conversion Rate in effect immediately prior to the end of the
Valuation Period;

 

CR1 = the
Conversion Rate in effect immediately after the end of the
Valuation Period;

 

FMV0 

= 

the average of the
Last Reported Sale Prices of the Capital Stock or similar equity
interest distributed to holders of the Common Stock applicable to
one share of the Common Stock (determined by reference to the
definition of Last Reported Sale Price as set forth in Section 1.01 as if
references therein to Common Stock were to such Capital Stock or
similar equity interest) over the first 10 consecutive Trading Day
period after, and including, the Ex-Dividend Date of the Spin-Off
(the “Valuation
Period”); and

 

MP0 = the
average of the Last Reported Sale Prices of the Common Stock over
the Valuation Period.

 

 

65

 

 

The
adjustment to the Conversion Rate under the preceding paragraph
shall occur at the close of business on the last Trading Day of the
Valuation Period; provided
that (x) in respect of any conversion of Notes for which
Physical Settlement is applicable, if the relevant Conversion Date
occurs during the Valuation Period, references to “10”
in the preceding paragraph shall be deemed to be replaced with such
lesser number of Trading Days as have elapsed between the
Ex-Dividend Date of such Spin-Off and the Conversion Date in
determining the Conversion Rate and (y) in respect of any
conversion of Notes for which Cash Settlement or Combination
Settlement is applicable, for any Trading Day that falls within the
relevant Observation Period for such conversion and within the
Valuation Period, references to “10” in the preceding
paragraph shall be deemed to be replaced with such lesser number of
Trading Days as have elapsed between the Ex-Dividend Date of such
Spin-Off and such Trading Day in determining the Conversion Rate as
of such Trading Day.

 

For
purposes of this Section 14.04(c) (and
subject in all respect to Section 14.11), rights,
options or warrants distributed by the Company to all holders of
the Common Stock entitling them to subscribe for or purchase shares
of the Company’s Capital Stock, including Common Stock
(either initially or under certain circumstances), which rights,
options or warrants, until the occurrence of a specified event or
events (“Trigger
Event”): (i) are deemed to be transferred with
such shares of the Common Stock; (ii) are not exercisable; and
(iii) are also issued in respect of future issuances of the
Common Stock, shall be deemed not to have been distributed for
purposes of this Section 14.04(c) (and no
adjustment to the Conversion Rate under this Section 14.04(c) will be
required) until the occurrence of the earliest Trigger Event,
whereupon such rights, options or warrants shall be deemed to have
been distributed and an appropriate adjustment (if any is required)
to the Conversion Rate shall be made under this Section 14.04(c). If any
such right, option or warrant, including any such existing rights,
options or warrants distributed prior to the date of this
Indenture, are subject to events, upon the occurrence of which such
rights, options or warrants become exercisable to purchase
different securities, evidences of indebtedness or other assets,
then the date of the occurrence of any and each such event shall be
deemed to be the date of distribution and Ex-Dividend Date with
respect to new rights, options or warrants with such rights (in
which case the existing rights, options or warrants shall be deemed
to terminate and expire on such date without exercise by any of the
holders thereof). In addition, in the event of any distribution (or
deemed distribution) of rights, options or warrants, or any Trigger
Event or other event (of the type described in the immediately
preceding sentence) with respect thereto that was counted for
purposes of calculating a distribution amount for which an
adjustment to the Conversion Rate under this Section 14.04(c) was made,
(1) in the case of any such rights, options or warrants that
shall all have been redeemed or purchased without exercise by any
holders thereof, upon such final redemption or purchase
(x) the Conversion Rate shall be readjusted as if such rights,
options or warrants had not been issued and (y) the Conversion
Rate shall then again be readjusted to give effect to such
distribution, deemed distribution or Trigger Event, as the case may
be, as though it were a cash distribution, equal to the per share
redemption or purchase price received by a holder or holders of
Common Stock with respect to such rights, options or warrants
(assuming such holder had retained such rights, options or
warrants), made to all holders of Common Stock as of the date of
such redemption or purchase, and (2) in the case of such
rights, options or warrants that shall have expired or been
terminated without exercise by any holders thereof, the Conversion
Rate shall be readjusted as if such rights, options and warrants
had not been issued.

 

For
purposes of Section 14.04(a),
Section 14.04(b) and this
Section 14.04(c), if any
dividend or distribution to which this Section 14.04(c) is
applicable also includes one or both of:

 

(A)           a
dividend or distribution of shares of Common Stock to which
Section 14.04(a)
is applicable (the
“Clause A
Distribution”);
or

 

(B)           a
dividend or distribution of rights, options or warrants to
which Section 14.04(b)
is applicable (the
“Clause B
Distribution”),

 

then,
in either case, (1) such dividend or distribution, other than
the Clause A Distribution and the Clause B Distribution, shall be
deemed to be a dividend or distribution to which this Section 14.04(c) is
applicable (the “Clause C
Distribution”) and any Conversion Rate adjustment
required by this Section 14.04(c) with
respect to such Clause C Distribution shall then be made, and
(2) the Clause A Distribution and Clause B Distribution shall
be deemed to immediately follow the Clause C Distribution and any
Conversion Rate adjustment required by Section 14.04(a) and
Section 14.04(b) with
respect thereto shall then be made, except that, if determined by
the Company (I) the “Ex-Dividend Date” of the
Clause A Distribution and the Clause B Distribution shall be deemed
to be the Ex-Dividend Date of the Clause C Distribution and
(II) any shares of Common Stock included in the Clause A
Distribution or Clause B Distribution shall be deemed not to be
“outstanding immediately prior to the open of business on
such Ex-Dividend Date or Effective Date” within the meaning
of Section 14.04(a) or
“outstanding immediately prior to the open of business on
such Ex-Dividend Date” within the meaning of Section 14.04(b).

 

 

66

 

 

(d)           If
any cash dividend or distribution is made to all or substantially
all holders of the Common Stock, the Conversion Rate shall be
adjusted based on the following formula:

 

where,

 

 

CR0 = the
Conversion Rate in effect immediately prior to the open of business
on the Ex-Dividend Date for such dividend or
distribution;

 

CR1 = the
Conversion Rate in effect immediately after the open of business on
the Ex-Dividend Date for such dividend or
distribution;

 

SP0 = the
Last Reported Sale Price of the Common Stock on the Trading Day
immediately preceding the Ex-Dividend Date for such dividend or
distribution; and

 

C = the
amount in cash per share the Company distributes to all or
substantially all holders of the Common Stock.

 

Any
increase pursuant to this Section 14.04(d) shall
become effective immediately after the open of business on the
Ex-Dividend Date for such dividend or distribution. If such
dividend or distribution is not so paid, the Conversion Rate shall
be decreased, effective as of the date the Board of Directors
determines not to make or pay such dividend or distribution, to be
the Conversion Rate that would then be in effect if such dividend
or distribution had not been declared. Notwithstanding the
foregoing, if “C” (as defined above) is equal to or
greater than “SP0” (as defined above), in lieu of the
foregoing increase, each Holder of a Note shall receive, for each
$1,000 principal amount of Notes such Holder holds, at the same
time and upon the same terms as holders of shares of the Common
Stock, the amount of cash that such Holder would have received if
such Holder owned a number of shares of Common Stock equal to the
Conversion Rate in effect on the Ex-Dividend Date for such cash
dividend or distribution.

(e)           If
the Company or any of its Subsidiaries make a payment in respect of
a tender or exchange offer for the Common Stock, to the extent that
the cash and value of any other consideration included in the
payment per share of the Common Stock exceeds the average of the
Last Reported Sale Prices of the Common Stock over the 10
consecutive Trading Day period commencing on, and including, the
Trading Day next succeeding the last date on which tenders or
exchanges may be made pursuant to such tender or exchange offer,
the Conversion Rate shall be increased based on the following
formula:

 

where,

 

 

CR0 = the
Conversion Rate in effect immediately prior to the close of
business on the 10th Trading Day immediately following, and
including, the Trading Day next succeeding the date such tender or
exchange offer expires;

 

CR1 = the
Conversion Rate in effect immediately after the close of business
on the 10th Trading Day immediately following, and including, the
Trading Day next succeeding the date such tender or exchange offer
expires;

 

AC = the
aggregate value of all cash and any other consideration (as
determined by the Board of Directors) paid or payable for shares of
Common Stock purchased in such tender or exchange
offer;

 

OS0 = the
number of shares of Common Stock outstanding immediately prior to
the date such tender or exchange offer expires (prior to giving
effect to the purchase of all shares of Common Stock accepted for
purchase or exchange in such tender or exchange
offer);

 

OS1 = the
number of shares of Common Stock outstanding immediately after the
date such tender or exchange offer expires (after giving effect to
the purchase of all shares of Common Stock accepted for purchase or
exchange in such tender or exchange offer); and

 

SP1 = the
average of the Last Reported Sale Prices of the Common Stock over
the 10 consecutive Trading Day period commencing on, and including,
the Trading Day next succeeding the date such tender or exchange
offer expires.

 

 

67

 

 

The
increase to the Conversion Rate under this Section 14.04(e) shall
occur at the close of business on the 10th Trading Day immediately
following, and including, the Trading Day next succeeding the date
such tender or exchange offer expires; provided that (x) in respect of
any conversion of Notes for which Physical Settlement is
applicable, if the relevant Conversion Date occurs during the 10
Trading Days immediately following, and including, the Trading Day
next succeeding the expiration date of any tender or exchange
offer, references to “10” or “10th” in the
preceding paragraph shall be deemed replaced with such lesser
number of Trading Days as have elapsed between the date that such
tender or exchange offer expires and the Conversion Date in
determining the Conversion Rate and (y) in respect of any
conversion of Notes for which Cash Settlement or Combination
Settlement is applicable, for any Trading Day that falls within the
relevant Observation Period for such conversion and within the 10
Trading Days immediately following, and including, the Trading Day
next succeeding the expiration date of any tender or exchange
offer, references to “10” or “10th” in the
preceding paragraph shall be deemed replaced with such lesser
number of Trading Days as have elapsed between the expiration date
of such tender or exchange offer and such Trading Day in
determining the Conversion Rate as of such Trading
Day.

 

Notwithstanding
this Section 14.04 or any other
provision of this Indenture or the Notes, if a Conversion Rate
adjustment becomes effective on any Ex-Dividend Date, and a Holder
that has converted its Notes on or after such Ex-Dividend Date and
on or prior to the related Record Date would be treated as the
record holder of the shares of Common Stock as of the related
Conversion Date as described under Section 14.02(i) based on
an adjusted Conversion Rate for such Ex-Dividend Date, then,
notwithstanding the Conversion Rate adjustment provisions in this
Section 14.04,
the Conversion Rate adjustment relating to such Ex-Dividend Date
shall not be made for such converting Holder. Instead, such Holder
shall be treated as if such Holder were the record owner of the
shares of Common Stock on an unadjusted basis and participate in
the related dividend, distribution or other event giving rise to
such adjustment.

 

(f)           Except
as stated herein, the Company shall not adjust the Conversion Rate
for the issuance of shares of the Common Stock or any securities
convertible into or exchangeable for shares of the Common Stock or
the right to purchase shares of the Common Stock or such
convertible or exchangeable securities.

 

(g)           In
addition to those adjustments required by clauses (a), (b),
(c), (d) and (e) of this Section 14.04,
and to the extent permitted by applicable law and subject to the
applicable listing standards of The NASDAQ Capital Market, the
Company from time to time may increase the Conversion Rate by any
amount for a period of at least 20 Business Days if the Board of
Directors determines that such increase would be in the
Company’s best interest. In addition, to the extent permitted
by applicable law and subject to the applicable listing standards
of The NASDAQ Capital Market, the Company may (but is not required
to) increase the Conversion Rate to avoid or diminish any income
tax to holders of Common Stock or rights to purchase Common Stock
in connection with a dividend or distribution of shares of Common
Stock (or rights to acquire shares of Common Stock) or similar
event. Whenever the Conversion Rate is increased pursuant to either
of the preceding two sentences, the Company shall deliver to the
Holder of each Note, the Trustee and the Conversion Agent (if other
than the Trustee) a written notice of the increase at least 15 days
prior to the date the increased Conversion Rate takes effect, and
such notice shall state the increased Conversion Rate and the
period during which it will be in effect.

 

(h)           Notwithstanding
anything to the contrary in this Article 14,
the Conversion Rate shall not be adjusted:

 

(i)           upon
the issuance of any shares of Common Stock pursuant to any present
or future plan providing for the reinvestment of dividends or
interest payable on the Company’s securities and the
investment of additional optional amounts in shares of Common Stock
under any plan;

 

(ii)           upon
the issuance of any shares of Common Stock or options or rights to
purchase those shares pursuant to any present or future employee,
director or consultant benefit plan or program of or assumed by the
Company or any of the Company’s Subsidiaries (other than
rights plans described in Section
14.11);

 

(iii)           upon
the issuance of any shares of the Common Stock pursuant to any
option, warrant, right or exercisable, exchangeable or convertible
security not described in clause (ii) of this subsection and
outstanding as of the date the Notes were first
issued;

 

(iv)           solely
for a change in the par value of the Common Stock;
or

 

(v)           for
accrued and unpaid interest, if any.

 

(i)           All
calculations and other determinations under this
Article 14
shall be made by the Company and shall
be made to the nearest one-ten thousandth (1/10,000th) of a
share.

 

 

68

 

(j)           Whenever
the Conversion Rate is adjusted as herein provided, the Company
shall promptly deliver to the Trustee (and the Conversion Agent if
not the Trustee) an Officers’ Certificate setting forth the
Conversion Rate after such adjustment and setting forth a brief
statement of the facts requiring such adjustment. Unless and until
a Responsible Officer of the Trustee shall have received such
Officers’ Certificate, the Trustee shall not be deemed to
have knowledge of any adjustment of the Conversion Rate and may
assume without inquiry that the last Conversion Rate of which it
has knowledge is still in effect. Promptly after delivery of such
certificate, the Company shall prepare a notice of such adjustment
of the Conversion Rate setting forth the adjusted Conversion Rate
and the date on which each adjustment becomes effective and shall
deliver such notice of such adjustment of the Conversion Rate to
each Holder at its address appearing in the Note Register. Failure
to deliver such notice shall not affect the legality or validity of
any such adjustment. Neither the Trustee nor any Conversion Agent
shall be under any duty or responsibility with respect to any such
certificate or the information and calculations contained
therein.

 

(k)           For
purposes of this Section 14.04,
the number of shares of Common Stock at any time outstanding shall
not include shares of Common Stock held in the treasury of the
Company so long as the Company does not pay any dividend or make
any distribution on shares of Common Stock held in the treasury of
the Company, but shall include shares of Common Stock issuable in
respect of scrip certificates issued in lieu of fractions of shares
of Common Stock.

 

Section
14.05                                Adjustments
of Prices. Whenever any provision of this
Indenture requires the Company to calculate the Last Reported Sale
Prices, the Daily VWAPs, the Daily Conversion Values or the Daily
Settlement Amounts over a span of multiple days (including an
Observation Period and the period for determining the Stock Price
for purposes of a Make-Whole Fundamental Change or Optional
Redemption), the Board of Directors shall make appropriate
adjustments to each to account for any adjustment to the Conversion
Rate that becomes effective, or any event requiring an adjustment
to the Conversion Rate where the Ex-Dividend Date, Effective Date
or expiration date, as the case may be, of the event occurs, at any
time during the period when the Last Reported Sale Prices, the
Daily VWAPs, the Daily Conversion Values or the Daily Settlement
Amounts are to be calculated.

 

Section
14.06                                Shares
to Be Fully Paid. The Company shall provide, free from
preemptive rights, out of its authorized but unissued shares or
shares held in treasury, sufficient shares of Common Stock to
provide for conversion of the Notes from time to time as such Notes
are presented for conversion (assuming delivery of the maximum
number of Additional Shares pursuant to Section 14.03 and that at
the time of computation of such number of shares, all such Notes
would be converted by a single Holder and that Physical Settlement
were applicable).

 

Section
14.07                                Effect
of Recapitalizations, Reclassifications and Changes of the Common
Stock.

 

(a)           In
the case of:

 

(i)           any
recapitalization, reclassification or change of the Common Stock
(other than changes resulting from a subdivision or combination or
a change of par value or to no par value),

 

(ii)           any
consolidation, merger, combination or similar transaction involving
the Company,

 

(iii)           any
sale, lease or other transfer to a third party of the consolidated
assets of the Company and the Company’s Subsidiaries
substantially as an entirety or

 

(iv)           any
statutory share exchange,

 

 

69

 

 

in each
case, as a result of which the Common Stock would be converted
into, or exchanged for, stock, other securities, other property or
assets (including cash or any combination thereof) (any such event,
a “Share Exchange
Event”), then, at the effective time of the Share
Exchange Event, the Company or the successor or acquiring
corporation, as the case may be, shall execute with the Trustee a
supplemental indenture, without the consent of Holders, providing
that at and after the effective time of such Share Exchange Event,
the right to convert each $1,000 principal amount of Notes shall be
changed into a right to convert such principal amount of Notes into
the kind and amount of shares of stock, other securities or other
property or assets (including cash or any combination thereof) that
a holder of a number of shares of Common Stock equal to the
Conversion Rate immediately prior to such Share Exchange Event
would have owned or been entitled to receive (the
“Reference
Property,” with each “unit of Reference Property”
meaning the kind and amount of Reference Property that a holder of
one share of Common Stock is entitled to receive) upon such Share
Exchange Event and, prior to or at the effective time of such Share
Exchange Event, the Company or the successor or purchasing Person,
as the case may be, shall execute with the Trustee a supplemental
indenture permitted under Section 10.01(g) providing
for such change in the right to convert each $1,000 principal
amount of Notes; provided,
however, that at and after
the effective time of the Share Exchange Event (A) the Company
shall continue to have the right to determine the form of
consideration to be paid or delivered, as the case may be, upon
conversion of Notes in accordance with Section 14.02 and
(B) (I) any amount payable in cash upon conversion of the
Notes in accordance with Section 14.02 shall
continue to be payable in cash, (II) any shares of Common
Stock that the Company would have been required to deliver upon
conversion of the Notes in accordance with Section 14.02 shall
instead be deliverable in the amount and type of Reference Property
that a holder of that number of shares of Common Stock would have
been entitled to receive in such Share Exchange Event and
(III) the Daily VWAP shall be calculated based on the value of
a unit of Reference Property.

 

If the
Share Exchange Event causes the Common Stock to be converted into,
or exchanged for, the right to receive more than a single type of
consideration (determined based in part upon any form of
stockholder election), then the Reference Property into which the
Notes will be convertible shall be deemed to be the weighted
average of the types and amounts of consideration received by the
holders of Common Stock. If the holders of the Common Stock receive
only cash in such Share Exchange Event, then for all conversions
for which the relevant Conversion Date occurs after the effective
date of such Share Exchange Event (A) the consideration due
upon conversion of each $1,000 principal amount of Notes shall be
solely cash in an amount equal to the Conversion Rate in effect on
the Conversion Date (as may be increased by any Additional Shares
pursuant to Section 14.03),
multiplied by the price
paid per share of Common Stock in such Share Exchange Event, and,
if applicable, an Interest Make-Whole Payment, which the Company
shall pay in cash (B) the Company shall satisfy the Conversion
Obligation by paying cash to converting Holders on the second
Business Day immediately following the relevant Conversion Date.
The Company shall notify Holders, the Trustee and the Conversion
Agent (if other than the Trustee) in writing of such weighted
average of the types and amounts of consideration received by the
holders of the Common Stock as soon as practicable after such
determination is made.

 

Such
supplemental indenture described in the second immediately
preceding paragraph shall provide for anti-dilution and other
adjustments that shall be as nearly equivalent as is possible to
the adjustments provided for in this Article 14. If, in the
case of any Share Exchange Event, the Reference Property includes
shares of stock, securities or other property or assets (including
cash or any combination thereof) of a Person other than the
successor or acquiring corporation, as the case may be, in such
Share Exchange Event, then such supplemental indenture shall also
be executed by such other Person and shall contain such additional
provisions to protect the interests of the Holders of the Notes as
the Board of Directors shall reasonably consider necessary by
reason of the foregoing, including the provisions providing for the
purchase rights set forth in Article 15.

 

(b)           When
the Company executes a supplemental indenture pursuant to
subsection (a) of this Section 14.07,
the Company shall promptly deliver to the Trustee an
Officers’ Certificate briefly stating the reasons therefor,
the kind or amount of cash, securities or property or asset that
will comprise a unit of Reference Property after any such Share
Exchange Event, any adjustment to be made with respect thereto and
that all conditions precedent have been complied with, and shall
promptly deliver notice thereof to all Holders. The Company shall
cause notice of the execution of such supplemental indenture to be
delivered to each Holder within 20 days after execution thereof.
Failure to deliver such notice shall not affect the legality or
validity of such supplemental indenture.

 

(c)           The
Company shall not become a party to any Share Exchange Event unless
its terms are consistent with this Section 14.07.
None of the foregoing provisions shall affect the right of a holder
of Notes to convert its Notes into cash, shares of Common Stock or
a combination of cash and shares of Common Stock, as applicable, as
set forth in Section 14.01
and Section 14.02
prior to the effective date of such
Share Exchange Event.

 

(d)           The
above provisions of this Section shall similarly apply to
successive Share Exchange Events.

 

 

70

 

 

Section
14.08                                Certain
Covenants. (a) The Company covenants that all
shares of Common Stock issued upon conversion of Notes will be
fully paid and non-assessable by the Company and free from all
taxes, liens and charges with respect to the issue
thereof.

 

(b)           The
Company covenants that, if any shares of Common Stock to be
provided for the purpose of conversion of Notes hereunder require
registration with or approval of any governmental authority under
any federal or state law before such shares of Common Stock may be
validly issued upon conversion, the Company will, to the extent
then permitted by the rules and interpretations of the Commission,
secure such registration or approval, as the case may
be.

 

(c)           The
Company further covenants that if at any time the Common Stock
shall be listed on any national securities exchange or automated
quotation system the Company will list and keep listed, so long as
the Common Stock shall be so listed on such exchange or automated
quotation system, any Common Stock issuable upon conversion of the
Notes.

Section
14.09                                Responsibility
of Trustee. The Trustee and any other Conversion
Agent shall not at any time be under any duty or responsibility to
any Holder to determine the Conversion Rate (or any adjustment
thereto) or whether any facts exist that may require any adjustment
(including any increase) of the Conversion Rate, or with rspect to
the nature or extent or calculation of any such adjustment when
made, or with respect to the method employed, or herein or in any
supplemental indenture provided to be employed, in making the same.
The Trustee and any other Conversion Agent shall not be accountable
with respect to the validity or value (or the kind or amount) of
any shares of Common Stock, or of any securities, property or cash
that may at any time be issued or delivered upon the conversion of
any Note; and the Trustee and any other Conversion Agent make no
representations with respect thereto. Neither the Trustee nor any
Conversion Agent shall be responsible for any failure of the
Company to issue, transfer or deliver any shares of Common Stock or
stock certificates or other securities or property or cash upon the
surrender of any Note for the purpose of conversion, the accuracy
or inaccuracy of any mathematical calculation or formulae under
this Indenture, whether by the Company or any Person so authorized
by the Company for such purpose under this Indenture or the failure
by the Company or to comply with any of the duties,
responsibilities or covenants of the Company contained in this
Article. Without limiting the generality of the foregoing, neither
the Trustee nor any Conversion Agent shall be under any
responsibility to determine the correctness of any provisions
contained in any supplemental indenture entered into pursuant to
Section 14.07
relating either to the kind or amount of shares of stock or
securities or property (including cash) receivable by Holders upon
the conversion of their Notes after any event referred to in such
Section 14.07
or to any adjustment to be made with respect thereto, but, subject
to the provisions of Section 7.01, may accept
(without any independent investigation) as conclusive evidence of
the correctness of any such provisions, and shall be protected in
relying upon, the Officers’ Certificate and Opinion of
Counsel (which the Company shall be obligated to deliver to the
Trustee prior to the execution of any such supplemental indenture)
with respect thereto. Neither the Trustee nor the Conversion Agent
shall be responsible for determining whether any event contemplated
by Section 14.01(b) has
occurred that makes the Notes eligible for conversion or no longer
eligible therefor until the Company has delivered to the Trustee
and the Conversion Agent the notices referred to in Section 14.01(b) with
respect to the commencement or termination of such conversion
rights, on which notices the Trustee and the Conversion Agent may
conclusively rely, and the Company agrees to deliver such notices
to the Trustee and the Conversion Agent immediately after the
occurrence of any such event or at such other times as shall be
provided for in Section 14.01(b). Except
as otherwise expressly provided herein, neither the Trustee nor any
other agent acting under this Indenture (other than the Company, if
acting in such capacity) shall have any obligation to make any
calculation or to determine whether the Notes may be surrendered
for conversion pursuant to this Indenture, or to notify the Company
or the Depositary or any of the Holders if the Notes have become
convertible pursuant to the terms of this Indenture.

 

Section
14.10                                Notice
to Holders Prior to Certain Actions. In case of
any:

 

(a)           action
by the Company or one of its Subsidiaries that would require an
adjustment in the Conversion Rate pursuant to Section 14.04
or Section 14.11;

 

(b)           Share
Exchange Event; or

 

(c)           voluntary
or involuntary dissolution, liquidation or winding-up of the
Company or any of its Subsidiaries;

 

then,
in each case (unless notice of such event is otherwise required
pursuant to another provision of this Indenture), the Company shall
cause to be delivered to the Trustee and the Conversion Agent (if
other than the Trustee) and to be delivered to each Holder at its
address appearing on the Note Register, as promptly as possible but
in any event at least 20 days prior to the applicable date
hereinafter specified, a notice stating (i) the date on which
a record is to be taken for the purpose of such action by the
Company or one of its Subsidiaries or, if a record is not to be
taken, the date as of which the holders of Common Stock of record
are to be determined for the purposes of such action by the Company
or one of its Subsidiaries, or (ii) the date on which such
Share Exchange Event, dissolution, liquidation or winding-up is
expected to become effective or occur, and the date as of which it
is expected that holders of Common Stock of record shall be
entitled to exchange their Common Stock for securities or other
property deliverable upon such Share Exchange Event, dissolution,
liquidation or winding-up. Failure to give such notice, or any
defect therein, shall not affect the legality or validity of such
action by the Company or one of its Subsidiaries, Share Exchange
Event, dissolution, liquidation or winding-up.

 

 

71

 

Section
14.11                                Stockholder
Rights Plans. If the Company has a stockholder
rights plan in effect upon conversion of the Notes, each share of
Common Stock, if any, issued upon such conversion shall be entitled
to receive the appropriate number of rights, if any, and the
certificates representing the Common Stock issued upon such
conversion shall bear such legends, if any, in each case as may be
provided by the terms of any such stockholder rights plan, as the
same may be amended from time to time. The Company shall not adjust
the Conversion Rate upon the adoption of a stockholder rights plan,
so long as the rights are not currently exercisable and have not
separated from the shares of Common Stock in accordance with the
provisions of the applicable rights plan. However, if, prior to any
conversion of Notes, the rights have separated from the shares of
Common Stock in accordance with the provisions of the applicable
stockholder rights plan, the Conversion Rate shall be adjusted at
the time of separation as if the Company distributed to all or
substantially all holders of the Common Stock Distributed Property
as provided in Section 14.04(c), subject
to readjustment in the event of the expiration, termination or
redemption of such rights.

 

Section
14.12                                Ownership
Limitation. Notwithstanding anything herein to
the contrary, no Holder (other than the Depositary with respect to
the Notes) or beneficial owner of a Note shall have the right to
receive shares of Common stock upon Conversion, and any purported
delivery of shares of Common Stock to such Holder or beneficial
owner, shall be null and void, to the extent that, following
receipt of such shares of Common Stock, such Holder or beneficial
owner (together with such Holder’s Affiliates and any other
persons whose beneficial ownership of Common Stock would be
aggregated with the Holder’s for purposes of Section 13(d) of
the Exchange Act and the rules promulgated thereunder, including
any “group” of which such holder is a member) would be
the beneficial owner of more than 4.99% of the outstanding shares
of Common Stock. For the avoidance of doubt, if a Holder or
beneficial owner is prevented from receiving any shares of Common
Stock to which it would otherwise be entitled pursuant to this
Section 14.12, the
Company’s obligation to deliver such shares of Common Stock
shall not be extinguished, and the Company shall deliver such
shares of Common Stock (or any designated portion thereof) within
two Business Days following written notice from the converting
Holder or beneficial owner that receipt of such shares of Common
Stock (or any designated portion thereof) would not be prohibited
by this sentence (this sentence being referred to as the
“Ownership
Limitation”); provided, however, that the Ownership
Limitation shall not apply in connection with and subject to
completion of a third party tender offer for the Common Stock
issuable thereupon. The provisions of this Section 14.12 may be construed
and implemented by the Company in a manner that is otherwise than
in strict conformity with the terms of this Section 14.12 in order to
correct this Section
14.12 (or any portion hereof) which may be defective or
inconsistent with the intended ownership limitation herein
contained or to make changes or supplements necessary or desirable
to properly give effect to such limitation. The limitations
contained in this Section
14.12 shall apply to a successor Holder of Notes. The
Trustee (including in its capacities as Note Registrar, Paying
Agent and, if applicable, Conversion Agent) shall have no
responsibility for construing or implementing the provisions of
this Section 14.12
or for determining whether any Holder or beneficial owner of a Note
would upon conversion be prevented from receiving any shares of
Common Stock as a result of this Section 14.12.

 

 

72

 

ARTICLE 15

REPURCHASE OF NOTES AT OPTION OF
HOLDERS

Section
15.01                                [Intentionally
Omitted].

 

Section
15.02                                Repurchase
at Option of Holders Upon a Fundamental
Change. (a) If a Fundamental Change occurs at
any time, each Holder shall have the right, at such Holder’s
option, to require the Company to repurchase for cash all of such
Holder’s Notes, or any portion thereof that is equal to
$1,000 or an integral multiple of $1,000, on the date (the
“Fundamental Change
Repurchase Date”) specified by the Company that is not
less than 20 calendar days or more than 35 calendar days following
the date of the Fundamental Change Company Notice at a repurchase
price equal to 100% of the principal amount thereof, plus accrued and unpaid interest
thereon to, but excluding, the relevant Fundamental Change
Repurchase Date (the “Fundamental Change Repurchase
Price”), unless the Fundamental Change Repurchase Date
falls after a Regular Record Date but on or prior to the Interest
Payment Date to which such Regular Record Date relates, in which
case the Company shall instead pay the full amount of accrued and
unpaid interest to Holders of record as of such Regular Record Date
on such Interest Payment Date, and the Fundamental Change
Repurchase Price shall be equal to 100% of the principal amount of
Notes to be repurchased pursuant to this Article 15.

 

(b)           Repurchases
of Notes under this Section 15.02
shall be made, at the option of the
Holder thereof, upon:

 

(i)           delivery
to the Paying Agent by a Holder of a duly completed notice (the
“Fundamental Change Repurchase
Notice”) in the form set
forth in Attachment 2 to the Form of Note attached hereto
as Exhibit A,
if the Notes are Physical Notes, or in compliance with the
Depositary’s procedures for surrendering interests in Global
Notes, if the Notes are Global Notes, in each case on or before the
close of business on the Business Day immediately preceding the
Fundamental Change Repurchase Date; and

 

(ii)           delivery
of the Notes, if the Notes are Physical Notes, to the Paying Agent
at any time after delivery of the Fundamental Change Repurchase
Notice (together with all necessary endorsements for transfer) at
the Corporate Trust Office of the Paying Agent located in the
contiguous United States as notified by the Company, as the case
may be, or book-entry transfer of the Notes, if the Notes are
Global Notes, in compliance with the procedures of the Depositary,
in each case such delivery being a condition to receipt by the
Holder of the Fundamental Change Repurchase Price
therefor.

 

The
Fundamental Change Repurchase Notice in respect of any Notes to be
repurchased shall state:

 

(iii)           in
the case of Physical Notes, the certificate numbers of the Notes to
be delivered for repurchase;

 

(iv)           the
portion of the principal amount of Notes to be repurchased, which
must be $1,000 or an integral multiple thereof;
and

 

(v)           that
the Notes are to be repurchased by the Company pursuant to the
applicable provisions of the Notes and this
Indenture;

 

provided, however,
that if the Notes are Global Notes, the Fundamental Change
Repurchase Notice must comply with appropriate Depositary
procedures.

 

 

73

 

Notwithstanding
anything herein to the contrary, any Holder delivering to the
Paying Agent, the Fundamental Change Repurchase Notice contemplated
by this Section 15.02 shall have
the right to withdraw, in whole or in part, such Fundamental Change
Repurchase Notice at any time prior to the close of business on the
Business Day immediately preceding the Fundamental Change
Repurchase Date by delivery of a written notice of withdrawal to
the Paying Agent in accordance with Section 15.03.

 

The
Paying Agent shall promptly notify the Company of the receipt by it
of any Fundamental Change Repurchase Notice or written notice of
withdrawal thereof.

 

(c)           On
or before the 20th calendar day after the occurrence of the
effective date of a Fundamental Change, the Company shall provide
to all Holders of Notes and the Trustee, the Paying Agent (if other
than the Trustee) and the Conversion Agent (if other than the
Trustee) a written notice (the “Fundamental Change Company
Notice”) of the
occurrence of the effective date of the Fundamental Change and of
the repurchase right at the option of the Holders arising as a
result thereof. In the case of Physical Notes, such notice shall be
by first class mail or, in the case of Global Notes, such notice
shall be delivered in accordance with the applicable procedures of
the Depositary. Simultaneously with providing such notice, the
Company shall publish a notice containing the information set forth
in the Fundamental Change Company Notice in a newspaper of general
circulation in The City of New York or publish such information on
the Company’s website or through such other public medium as
the Company may use at that time. Each Fundamental Change Company
Notice shall specify:

 

(i)           the
events causing the Fundamental Change;

 

(ii)           the
date of the Fundamental Change;

 

(iii)           the
last date on which a Holder may exercise the repurchase right
pursuant to this Article 15;

 

(iv)           the
Fundamental Change Repurchase Price;

 

(v)           the
Fundamental Change Repurchase Date;

 

(vi)           the
name and address of the Paying Agent and the Conversion Agent, if
applicable;

 

(vii)           if
applicable, the Conversion Rate and any adjustments to the
Conversion Rate;

 

(viii)           that
the Notes with respect to which a Fundamental Change Repurchase
Notice has been delivered by a Holder may be converted only if the
Holder withdraws the Fundamental Change Repurchase Notice in
accordance with the terms of this Indenture;
and

 

(ix)           the
procedures that Holders must follow to require the Company to
repurchase their Notes.

 

 

74

 

No
failure of the Company to give the foregoing notices and no defect
therein shall limit the Holders’ repurchase rights or affect
the validity of the proceedings for the repurchase of the Notes
pursuant to this Section 15.02.

 

At the
Company’s request, the Paying Agent shall give such notice in
the Company’s name and at the Company’s expense;
provided, however, that, in all cases, the text
of such Fundamental Change Company Notice shall be prepared by the
Company and delivered to the Paying Agent no later than two (2)
Business Days (or such shorter period as is acceptable to the
Paying Agent) prior to the date the Fundamental Change Company
Notice is to be sent.

 

(d)           Notwithstanding
the foregoing, no Notes may be repurchased by the Company on any
date at the option of the Holders upon a Fundamental Change if the
principal amount of the Notes has been accelerated, and such
acceleration has not been rescinded, on or prior to such date
(except in the case of an acceleration resulting from a Default by
the Company in the payment of the Fundamental Change Repurchase
Price with respect to such Notes). The Paying Agent will promptly
return to the respective Holders thereof any Physical Notes held by
it during the acceleration of the Notes (except in the case of an
acceleration resulting from a Default by the Company in the payment
of the Fundamental Change Repurchase Price with respect to such
Notes), or any instructions for book-entry transfer of the Notes in
compliance with the procedures of the Depositary shall be deemed to
have been cancelled, and, upon such return or cancellation, as the
case may be, the Fundamental Change Repurchase Notice with respect
thereto shall be deemed to have been withdrawn.

 

Section
15.03                                Withdrawal
of Fundamental Change Repurchase Notice. (a) A Fundamental Change Repurchase
Notice may be withdrawn (in whole or in part) by means of a written
notice of withdrawal delivered to the Paying Agent located in the
contiguous United States as notified to Holders and the Trustee in
accordance with this Section 15.03 at any time
prior to the close of business on the Business Day immediately
preceding the Fundamental Change Repurchase Date,
specifying:

 

(i)           the
principal amount of the Notes with respect to which such notice of
withdrawal is being submitted, which must be $1,000 or an integral
multiple thereof,

 

(ii)           if
Physical Notes have been issued, the certificate number of the Note
in respect of which such notice of withdrawal is being submitted,
and

 

(iii)           the
principal amount, if any, of such Note that remains subject to the
original Fundamental Change Repurchase Notice, which portion must
be in a minimum principal amount of $1,000 or an integral multiple
of $1,000;

 

provided, however,
that if the Notes are Global Notes, the notice must comply with
appropriate procedures of the Depositary.

Section
15.04                                Deposit
of Fundamental Change Repurchase Price. (a) The Company will deposit with the
Trustee (or other Paying Agent appointed by the Company, or if the
Company is acting as its own Paying Agent, set aside, segregate and
hold in trust as provided in Section 4.04) on or prior
to 11:00 a.m., New York City time, on the Fundamental
Change Repurchase Date an amount of money sufficient to repurchase
all of the Notes to be repurchased at the appropriate Fundamental
Change Repurchase Price. Subject to receipt of funds and/or Notes
by the Trustee (or other Paying Agent appointed by the Company),
payment for Notes surrendered for repurchase (and not withdrawn
prior to the close of business on the Business Day immediately
preceding the Fundamental Change Repurchase Date) will be made on
the later of (i) the Fundamental Change Repurchase Date
(provided the Holder has
satisfied the conditions in Section 15.02) and
(ii) the time of book-entry transfer or the delivery of such
Note to the Trustee (or other Paying Agent appointed by the
Company) by the Holder thereof in the manner required by
Section 15.02
by mailing checks for the amount payable to the Holders of such
Notes entitled thereto as they shall appear in the Note Register;
provided, however, that payments to the
Depositary shall be made by wire transfer of immediately available
funds to the account of the Depositary or its nominee. The Trustee
or Paying Agent shall, promptly after such payment and upon written
demand by the Company, return to the Company any funds in excess of
the Fundamental Change Repurchase Price.

 

 

75

 

 

(b)           If
by 11:00 a.m. New York City time, on the Fundamental Change
Repurchase Date, the Trustee (or other Paying Agent appointed by
the Company) holds money sufficient to make payment on all the
Notes or portions thereof that are to be repurchased on such
Fundamental Change Repurchase Date, then, with respect to the Notes
that have been properly surrendered for repurchase to the Paying
Agent and have not been validly withdrawn, (i) such Notes will
cease to be outstanding, (ii) interest will cease to accrue on
such Notes (whether or not book-entry transfer of the Notes has
been made or the Notes have been delivered to the Trustee or Paying
Agent) and (iii) all other rights of the Holders of such Notes
will terminate (other than the right to receive the Fundamental
Change Repurchase Price and, if applicable, accrued and unpaid
interest).

 

(c)           Upon
surrender of a Physical Note that is to be repurchased in part
pursuant to Section 15.02,
the Company shall execute and the Trustee shall authenticate and
deliver to the Holder a new Physical Note in an authorized
denomination equal in principal amount to the unrepurchased portion
of the Physical Note surrendered.

 

Section
15.05                                Covenant
to Comply with Applicable Laws Upon Repurchase of
Notes. In connection
with any repurchase offer, the Company will, if
required:

 

(a)           comply
with the provisions of Rule 13e-4, Rule 14e-1 and any
other tender offer rules under the Exchange
Act;

 

(b)           file
a Schedule TO or any other required schedule under the
Exchange Act; and

 

(c)           otherwise
comply with all federal and state securities laws in connection
with any offer by the Company to repurchase the
Notes;

 

in each
case, so as to permit the rights and obligations under this
Article 15 to
be exercised in the time and in the manner specified in this
Article 15.

ARTICLE 16

OPTIONAL REDEMPTION

Section
16.01                                Optional
Redemption. No sinking fund
is provided for the Notes. The Notes shall not be redeemable by the
Company prior to May 6, 2022. On or after May 6, 2022,
the Company may redeem (an “Optional Redemption”) for cash all
or any portion of the Notes, at the Redemption Price, if the Last
Reported Sale Price of the Common Stock has been at least 150% of
the Conversion Price then in effect for at least 20 Trading Days
(whether or not consecutive), including the Trading Day immediately
preceding the date on which the Company provides the relevant
Redemption Notice, during any 30 consecutive Trading Day period
ending on, and including, the Trading Day immediately preceding the
date on which the Company provides the Redemption Notice in
accordance with Section 16.02.

 

Section
16.02                                Notice
of Optional Redemption; Selection of
Notes.
(a) In case the Company exercises its Optional Redemption right to
redeem all or, as the case may be, any part of the Notes pursuant
to Section 16.01, it shall
fix a date for redemption (each, a “Redemption Date”) and it or, at
its written request received by the Trustee not less than five
Business Days prior to the date the Redemption Notice is to be
delivered to the Holders (or such shorter period of time as may be
acceptable to the Trustee), the Trustee, in the name of and at the
expense of the Company, shall deliver or cause to be delivered a
notice of such Optional Redemption (a “Redemption Notice”) not less than
50 nor more than 65 Scheduled Trading Days prior to the Redemption
Date to each Holder of Notes so to be redeemed as a whole or in
part; provided,
however, that, if the
Company shall give such notice, it shall also give written notice
of the Redemption Date to the Trustee. The Redemption Date must be
a Business Day. The Company shall not specify a Redemption Date
that falls on or after November 1, 2023.

 

(b)           The
Redemption Notice, if delivered in the manner herein provided,
shall be conclusively presumed to have been duly given, whether or
not the Holder receives such notice. In any case, failure to give
such Redemption Notice by mail or any defect in the Redemption
Notice to the Holder of any Note designated for redemption as a
whole or in part shall not affect the validity of the proceedings
for the redemption of any other Note.

 

 

76

 

 

(c)           Each
Redemption Notice shall specify:

 

(i)           the
Redemption Date;

 

(ii)           the
Redemption Price;

 

(iii)           that
on the Redemption Date, the Redemption Price will become due and
payable upon each Note to be redeemed, and that interest thereon,
if any, shall cease to accrue on and after the Redemption
Date;

 

(iv)           the
place or places where such Notes are to be surrendered for payment
of the Redemption Price;

 

(v)           that
Holders may surrender their Notes for conversion at any time prior
to the close of business on the Scheduled Trading Day immediately
preceding the Redemption Date (unless the Company fails to pay the
Redemption Price, in which case a Holder may convert such Notes
until the Business Day immediately preceding the date on which the
Redemption Price has been paid or duly provided
for);

 

(vi)           the
procedures a converting Holder must follow to convert its Notes and
the Settlement Method and Specified Cash Amount, if
applicable;

 

(vii)           the
Conversion Rate and, if applicable, the number of Additional Shares
added to the Conversion Rate in accordance with Section 14.03;

 

(viii)           the
CUSIP, ISIN or other similar numbers, if any, assigned to such
Notes; and

 

(ix)           in
case any Note is to be redeemed in part only, the portion of the
principal amount thereof to be redeemed and on and after the
Redemption Date, upon surrender of such Note, a new Note in
principal amount equal to the unredeemed portion thereof shall be
issued.

 

A
Redemption Notice shall be irrevocable.

 

If fewer than all of the outstanding Notes are to be redeemed, the
Notes to be redeemed will be selected according to the applicable
procedures of the Depositary, in the case of Notes represented by a
Global Note, or, in the case of Physical Notes, the Trustee shall
select, pro rata or by lot in such other manner as it shall deem
appropriate and fair, Notes to be redeemed in whole or in part. If
any Note selected for partial redemption is submitted for
conversion in part after such selection, the portion of the Note
submitted for conversion shall be deemed (so far as may be
possible) to be the portion selected for redemption.

 

 

77

 

 

Section
16.03                                Payment
of Notes Called for Redemption. (a) If any
Redemption Notice has been given in respect of the Notes in
accordance with Section 16.02, the Notes
shall become due and payable on the Redemption Date at the place or
places stated in the Redemption Notice and at the applicable
Redemption Price. On presentation and surrender of the Notes at the
place or places stated in the Redemption Notice, the Notes shall be
paid and redeemed by the Company at the applicable Redemption
Price.

 

(b)           Prior
to the open of business on the Redemption Date, the Company shall
deposit with the Paying Agent or, if the Company or a Subsidiary of
the Company is acting as the Paying Agent, shall segregate and hold
in trust as provided in Section 7.05
an amount of cash (in immediately
available funds if deposited on the Redemption Date), sufficient to
pay the Redemption Price of all of the Notes to be redeemed on such
Redemption Date. Subject to receipt of funds by the Paying Agent,
payment for the Notes to be redeemed shall be made on the
Redemption Date for such Notes. The Paying Agent shall, promptly
after such payment and upon written demand by the Company, return
to the Company any funds in excess of the Redemption
Price.

 

Section
16.04                                Restrictions
on Redemption. The Company may
not redeem any Notes on any date if the principal amount of the
Notes has been accelerated in accordance with the terms of this
Indenture, and such acceleration has not been rescinded, on or
prior to the Redemption Date (except in the case of an acceleration
resulting from a Default by the Company in the payment of the
Redemption Price with respect to such Notes).

 

ARTICLE 17

MISCELLANEOUS
PROVISIONS

Section
17.01                                Provisions
Binding on Company’s Successors. All the covenants, stipulations,
promises and agreements of the Company contained in this Indenture
shall bind its successors and assigns whether so expressed or
not.

 

Section
17.02                                Official
Acts by Successor Corporation. Any act or proceeding by any
provision of this Indenture authorized or required to be done or
performed by any board, committee or Officer of the Company shall
and may be done and performed with like force and effect by the
like board, committee or officer of any corporation or other entity
that shall at the time be the lawful sole successor of the
Company.

 

Section
17.03                                Addresses
for Notices, Etc. Any notice or
demand that by any provision of this Indenture is required or
permitted to be given or served by the Trustee or by the Holders on
the Company shall be deemed to have been sufficiently given or
made, for all purposes if given or served by being deposited
postage prepaid by registered or certified mail in a post office
letter box addressed (until another address is filed by the Company
with the Trustee) to RumbleOn, Inc., 1350 Lakeshore Drive, Suite
160, Coppell, Texas 75019, Attention: General Counsel. Any notice,
direction, request or demand hereunder to the Trustee by any Holder
or by the Company shall be sufficient for every purpose hereunder
if made, given, furnished or filed in writing and delivered in
person or by first-class mail (registered or certified, return
receipt requested), facsimile transmission (confirmed by delivery
in Person or by first-class mail (registered or certified, return
receipt requested)) or guaranteed overnight courier at the
Corporate Trust Office, or such other means reasonably acceptable
to the Trustee (it being agreed that such notice to the Trustee
shall be deemed to have been sufficiently given or made, for all
purposes, if it is in writing and actually received by the
Trustee).

 

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

 

Any
notice or communication delivered or to be delivered to a Holder of
Physical Notes shall be sent to each Holder at its address as it
appears on the Note Register and shall be sufficiently given to it
if so sent within the time prescribed. Any notice or communication
delivered or to be delivered to a Holder of Global Notes shall be
delivered in accordance with the applicable procedures of the
Depositary and shall be sufficiently given to it if so delivered
within the time prescribed.

 

Failure
to mail or deliver a notice or communication to a Holder or any
defect in it shall not affect its sufficiency with respect to other
Holders. If a notice or communication is sent or delivered, as the
case may be, in the manner provided above, it is duly given,
whether or not the addressee receives it.

 

 

78

 

Section
17.04                                Governing
Law; Jurisdiction. THIS INDENTURE AND EACH NOTE, AND ANY
CLAIM, CONTROVERSY OR DISPUTE ARISING UNDER OR RELATED TO THIS
INDENTURE AND EACH NOTE, SHALL BE GOVERNED BY, AND CONSTRUED IN
ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK (WITHOUT REGARD
TO THE CONFLICTS OF LAWS PROVISIONS THEREOF).

 

The
Company irrevocably consents and agrees, for the benefit of the
Holders from time to time of the Notes and the Trustee, that any
legal action, suit or proceeding against it with respect to
obligations, liabilities or any other matter arising out of or in
connection with this Indenture or the Notes may be brought in the
courts of the State of New York or the courts of the United
States located in the Borough of Manhattan, New York City,
New York and, until amounts due and to become due in respect
of the Notes have been paid, hereby irrevocably consents and
submits to the non-exclusive jurisdiction of each such court
in personam, generally and
unconditionally with respect to any action, suit or proceeding for
itself in respect of its properties, assets and
revenues.

 

The
Company irrevocably and unconditionally waives, to the fullest
extent permitted by law, any objection which it may now or
hereafter have to the laying of venue of any of the aforesaid
actions, suits or proceedings arising out of or in connection with
this Indenture brought in the courts of the State of New York
or the courts of the United States located in the Borough of
Manhattan, New York City, New York and hereby further
irrevocably and unconditionally waives and agrees not to plead or
claim in any such court that any such action, suit or proceeding
brought in any such court has been brought in an inconvenient
forum.

 

Section
17.05                                Evidence
of Compliance with Conditions Precedent; Certificates and Opinions
of Counsel to Trustee. Upon any application or demand by the
Company to the Trustee to take any action under any of the
provisions of this Indenture, the Trustee shall be entitled to
receive: (a) an Officers’ Certificate stating that, in
the opinion of the signers, all conditions precedent (including any
covenants, compliance with which constitutes a condition
precedent), if any, provided for in this Indenture relating to the
proposed action have been complied with; and (b) an Opinion of
Counsel stating that, in the opinion of such counsel, all such
conditions precedent (including any covenants, compliance with
which constitutes a condition precedent) have been complied
with.

 

Each
Officers’ Certificate and Opinion of Counsel provided for, by
or on behalf of the Company in this Indenture and delivered to the
Trustee with respect to compliance with this Indenture (other than
the Officers’ Certificates provided for in Section 4.08) shall
include (a) a statement that the person signing such
certificate is familiar with the requested action and this
Indenture; (b) a brief statement as to the nature and scope of
the examination or investigation upon which the statement contained
in such certificate is based; (c) a statement that, in the
judgment of such person, he or she has made such examination or
investigation as is necessary to enable him or her to express an
informed judgment as to whether or not such action is permitted by
this Indenture and as to whether all conditions precedent
(including any covenants, compliance with which constitutes a
condition precedent), if any, provided for in this Indenture
relating to the proposed action have been complied with; and
(d) a statement as to whether or not, in the judgment of such
person, such action is permitted by this Indenture and all such
conditions precedent (including any covenants, compliance with
which constitutes a condition precedent) have been complied
with.

 

 

79

 

Section
17.06                                Legal
Holidays. In any case where any Interest
Payment Date, any Redemption Date, any Fundamental Change
Repurchase Date or the Maturity Date is not a Business Day, then
any action to be taken on such date need not be taken on such date,
but may be taken on the next succeeding Business Day with the same
force and effect as if taken on such date, and no interest shall
accrue in respect of the delay.

 

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

 

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

 

Section
17.09                                Table
of Contents, Headings, Etc. The table of
contents and the titles and headings of the articles and sections
of this Indenture have been inserted for convenience of reference
only, are not to be considered a part hereof, and shall in no way
modify or restrict any of the terms or provisions
hereof.

 

Section
17.10                                Authenticating
Agent. The Trustee may appoint an
authenticating agent that shall be authorized to act on its behalf
and subject to its direction in the authentication and delivery of
Notes in connection with the original issuance thereof and
transfers and exchanges of Notes hereunder, including under
Section 2.04,
Section 2.05,
Section 2.06,
Section 2.07,
Section 10.04
and Section 15.04 as fully to
all intents and purposes as though the authenticating agent had
been expressly authorized by this Indenture and those Sections to
authenticate and deliver Notes. For all purposes of this Indenture,
the authentication and delivery of Notes by the authenticating
agent shall be deemed to be authentication and delivery of such
Notes “by the Trustee” and a certificate of
authentication executed on behalf of the Trustee by an
authenticating agent shall be deemed to satisfy any requirement
hereunder or in the Notes for the Trustee’s certificate of
authentication. Such authenticating agent shall at all times be a
Person eligible to serve as trustee hereunder pursuant to
Section 7.08.

 

Any
corporation or other entity into which any authenticating agent may
be merged or converted or with which it may be consolidated, or any
corporation or other entity resulting from any merger,
consolidation or conversion to which any authenticating agent shall
be a party, or any corporation or other entity succeeding to the
corporate trust business of any authenticating agent, shall be the
successor of the authenticating agent hereunder, if such successor
corporation or other entity is otherwise eligible under this
Section 17.10,
without the execution or filing of any paper or any further act on
the part of the parties hereto or the authenticating agent or such
successor corporation or other entity.

Any
authenticating agent may at any time resign by giving written
notice of resignation to the Trustee and to the Company. The
Trustee may at any time terminate the agency of any authenticating
agent by giving written notice of termination to such
authenticating agent and to the Company. Upon receiving such a
notice of resignation or upon such a termination, or in case at any
time any authenticating agent shall cease to be eligible under this
Section, the Trustee may appoint a successor authenticating agent
(which may be the Trustee), shall give written notice of such
appointment to the Company and shall deliver notice of such
appointment to all Holders.

 

The
Company agrees to pay to the authenticating agent from time to time
compensation for its services as agreed to in writing
..

 

The
provisions of Article 7
and Section 8.03 and this
Section 17.10
shall be applicable to any authenticating agent.

 

 

80

 

 

If an
authenticating agent is appointed pursuant to this Section 17.10, the Notes
may have endorsed thereon, in addition to the Trustee’s
certificate of authentication, an alternative certificate of
authentication in the following form:

 

as
Authenticating Agent, certifies that this is one

 

of the
Notes described in the within-named

 

Indenture.

 

By:

 

Authorized
Officer

 

Section
17.11                                Execution
in Counterparts. This Indenture may be executed in any
number of counterparts, each of which shall be an original, but
such counterparts shall together constitute but one and the same
instrument. The exchange of copies of this Indenture and of
signature pages by facsimile or PDF transmission shall constitute
effective execution and delivery of this Indenture as to the
parties hereto and may be used in lieu of the original Indenture
for all purposes. Signatures of the parties hereto transmitted by
facsimile or PDF shall be deemed to be their original signatures
for all purposes.

 

Section
17.12                                Severability.
In the event any provision of this Indenture or in the Notes shall
be invalid, illegal or unenforceable, then (to the extent permitted
by law) the validity, legality or enforceability of the remaining
provisions shall not in any way be affected or
impaired.

 

Section
17.13                                Waiver
of Jury Trial. EACH OF THE COMPANY AND THE TRUSTEE
HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY
APPLICABLE LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL
PROCEEDING ARISING OUT OF OR RELATING TO THIS INDENTURE, THE NOTES
OR THE TRANSACTIONS CONTEMPLATED HEREBY.

 

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

 

 

81

 

Section
17.15                                Calculations.
Except as otherwise provided herein, the Company shall be
responsible for making all calculations called for under the Notes.
These calculations include, but are not limited to, determinations
of the Last Reported Sale Prices of the Common Stock, the Daily
VWAPs, the Daily Conversion Values, the Daily Settlement Amounts,
accrued interest payable on the Notes, any Interest Make-Whole
Payment, the Conversion Rate of the Notes and Defaulted Amounts.
The Company shall make all these calculations in good faith and,
absent manifest error, the Company’s calculations shall be
final and binding on Holders of Notes. The Company shall provide a
schedule of its calculations to each of the Trustee, the Paying
Agent and the Conversion Agent, and each of the Trustee, the Paying
Agent and Conversion Agent is entitled to rely conclusively and
without liability upon the accuracy of the Company’s
calculations without independent verification. The Trustee will
forward the Company’s calculations to any registered Holder
of Notes upon the request of that Holder at the sole cost and
expense of the Company. The Trustee, the Paying Agent and any other
Conversion Agent, and their respective agents, shall not be under
any duty or responsibility to monitor the accuracy of any
calculation made by the Company.

 

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

 

[Remainder
of page intentionally left blank]

 

 

 

82

 

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

 

 

 

	

 

	
RUMBLEON,
INC.

	

 

	

 

	

 

	

 

	

 

	

	
By:  

	
/s/ Steven R.
Berrard

	

 

	

 

	

 

	
Name: Steven R.
Berrard 

	

 

	

 

	

 

	

Title:
Chief Financial Officer

	

 

 

 

	

 

	WILMINGTON TRUST, NATIONAL ASSOCIATION,
as Trustee	

 

	

 

	

 

	

 

	

 

	

	
By:  

	
/s/ Jane Y.
Schweiger

	

 

	

 

	

 

	
Name: Jane Y.
Schweiger 

	

 

	

 

	

 

	

Title:
Vice President 

	

 

 

 

 

83

 

EXHIBIT A

 

[FORM
OF FACE OF NOTE]

 

[INCLUDE
FOLLOWING LEGEND IF A GLOBAL NOTE]

 

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

 

[INCLUDE
FOLLOWING LEGEND IF A RESTRICTED SECURITY]

 

[THIS
SECURITY AND THE CLASS B COMMON STOCK, IF ANY, ISSUABLE UPON
CONVERSION OF THIS SECURITY HAVE NOT BEEN REGISTERED UNDER THE
SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES
ACT”), AND MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE
TRANSFERRED EXCEPT IN ACCORDANCE WITH THE FOLLOWING SENTENCE. BY
ITS ACQUISITION HEREOF OR OF A BENEFICIAL INTEREST HEREIN, THE
ACQUIRER:

 

(1)           REPRESENTS
THAT IT AND ANY ACCOUNT FOR WHICH IT IS ACTING IS A
“QUALIFIED INSTITUTIONAL BUYER” (WITHIN THE MEANING OF
RULE 144A UNDER THE SECURITIES ACT) AND THAT IT EXERCISES SOLE
INVESTMENT DISCRETION WITH RESPECT TO EACH SUCH ACCOUNT,
AND

 

(2)           AGREES
FOR THE BENEFIT OF RUMBLEON, INC. (THE “COMPANY”) THAT
IT WILL NOT OFFER, SELL, PLEDGE OR OTHERWISE TRANSFER THIS SECURITY
OR ANY BENEFICIAL INTEREST HEREIN, EXCEPT:

 

(A)           TO
THE COMPANY OR ANY SUBSIDIARY THEREOF, OR

 

(B)           PURSUANT
TO, AND IN ACCORDANCE WITH A REGISTRATION STATEMENT THAT IS
EFFECTIVE UNDER THE SECURITIES ACT AT THE TIME OF SUCH TRANSFER,
OR

 

(C)           TO
A QUALIFIED INSTITUTIONAL BUYER IN COMPLIANCE WITH RULE 144A
UNDER THE SECURITIES ACT, OR

 

(D)           PURSUANT
TO AN EXEMPTION FROM REGISTRATION PROVIDED BY RULE 144 UNDER
THE SECURITIES ACT OR ANY OTHER AVAILABLE EXEMPTION FROM THE
REGISTRATION REQUIREMENTS OF THE SECURITIES ACT.

 

PRIOR
TO THE REGISTRATION OF ANY TRANSFER IN ACCORDANCE WITH
CLAUSE (2)(D) ABOVE, THE COMPANY AND THE TRUSTEE RESERVE THE
RIGHT TO REQUIRE THE DELIVERY OF SUCH LEGAL OPINIONS,
CERTIFICATIONS OR OTHER EVIDENCE AS MAY REASONABLY BE REQUIRED IN
ORDER FOR THE COMPANY TO DETERMINE THAT THE PROPOSED TRANSFER IS
BEING MADE IN COMPLIANCE WITH THE SECURITIES ACT AND APPLICABLE
STATE SECURITIES LAWS. NO REPRESENTATION IS MADE AS TO THE
AVAILABILITY OF ANY EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF
THE SECURITIES ACT.]

 

 

 

84

 

RumbleOn,
Inc.

 

6.75%
Convertible Senior Note due 2024

 

No. [
]  [Initially]1 $[ ]

 

CUSIP
No. [ ]

 

RumbleOn, Inc., a
corporation duly organized and validly existing under the laws of
the State of Delaware (the “Company,” which term includes any
successor corporation or other entity under the Indenture referred
to on the reverse hereof), for value received hereby promises to
pay to [CEDE & CO.]2 [ ]3, or registered assigns, the principal
sum [as set forth in the “Schedule of Exchanges of
Notes” attached hereto]4 [of $[ ]]5, which amount, taken together with the
principal amounts of all other outstanding Notes, shall not exceed
$30,000,000 in aggregate at any time, in accordance with the rules
and procedures of the Depositary, on May 1, 2024, and interest
thereon as set forth below.

 

This
Note shall bear interest at the rate of 6.75% per year from, and
including, May 14, 2019, or from, and including, the most recent
date to which interest had been paid or provided for to, but
excluding, the next scheduled Interest Payment Date until
May 1, 2024. Interest is payable semi-annually in arrears on
each May 1 and November 1, commencing on November 1,
2019, to Holders of record at the close of business on the
preceding April 15 and October 15 (whether or not such day is
a Business Day), respectively. Additional Interest will be payable
as set forth in Section 4.06(d) and
Section 6.03
of the within-mentioned Indenture, and pursuant to the Registration
Rights Agreement, and any reference to interest on, or in respect
of, any Note therein shall be deemed to include Additional Interest
if, in such context, Additional Interest is, was or would be
payable pursuant to any of such Section 4.06(d) or
Section 6.03,
or the Registration Rights Agreement, and any express mention of
the payment of Additional Interest in any provision therein shall
not be construed as excluding Additional Interest in those
provisions thereof where such express mention is not
made.

 

Any
Defaulted Amounts shall accrue interest per annum at the rate borne
by the Notes, subject to the enforceability thereof under
applicable law, from, and including, the relevant payment date to,
but excluding, the date on which such Defaulted Amounts shall have
been paid by the Company, at its election, in accordance with
Section 2.03(c) of the
Indenture.

 

The
Company shall pay the principal of and interest on this Note, if
and so long as such Note is a Global Note, by wire transfer in
immediately available funds to the Depositary or its nominee, as
the case may be, as the registered Holder of such Note. As provided
in and subject to the provisions of the Indenture, the Company,
through the Paying Agent, shall pay the principal of any Notes
(other than Notes that are Global Notes) at the office or agency
designated by the Company for that purpose. The Company has
initially designated the Trustee as its Paying Agent, Note
Registrar, Custodian and Conversion Agent in respect of the Notes
and the Corporate Trust Office as a place where Notes may be
presented for payment or for registration of transfer and
exchange.

 

1
Include if a global note.

2 Include if a global note.

3 Include if a physical note.

4 Include if a global note.

5 Include if a physical note.

 

 

85

 

Reference is made
to the further provisions of this Note set forth on the reverse
hereof, including, without limitation, provisions giving the Holder
of this Note the right to convert this Note into cash, shares of
Common Stock or a combination of cash and shares of Common Stock,
as applicable, on the terms and subject to the limitations set
forth in the Indenture. Such further provisions shall for all
purposes have the same effect as though fully set forth at this
place.

 

This
Note, and any claim, controversy or dispute arising under or
related to this Note, shall be construed in accordance with and
governed by the laws of the State of New York (without regard to
the conflicts of laws provisions thereof).

 

In the
case of any conflict between this Note and the Indenture, the
provisions of the Indenture shall control and govern.

 

This
Note shall not be valid or become obligatory for any purpose until
the certificate of authentication hereon shall have been signed
manually by the Trustee or a duly authorized authenticating agent
under the Indenture.

 

[Remainder
of page intentionally left blank]

 

 

 

86

 

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

 

RUMBLEON,
INC.

 

By:                                                                 

Name:

Title:

 

 

 

 

 

Dated:                      

 

TRUSTEE’S CERTIFICATE OF AUTHENTICATION

 

WILMINGTON TRUST, NATIONAL ASSOCIATION

 

as
Trustee, certifies that this is

 

one of
the Notes described in the within-named

 

Indenture.

 

By: 

                     Authorized
signatory

 

 

87

 

 

[FORM
OF REVERSE OF NOTE]

 

RumbleOn,
Inc.

 

6.75%
Convertible Senior Note due 2024

 

This
Note is one of a duly authorized issue of Notes of the Company,
designated as its 6.75% Convertible Senior Notes due 2024 (the
“Notes”),
limited to the aggregate principal amount of $30,000,000, all
issued or to be issued under and pursuant to an Indenture dated as
of May 14, 2019 (the “Indenture”), between the Company
and Wilmington Trust, National Association (the “Trustee”), to which Indenture and
all indentures supplemental thereto reference is hereby made for a
description of the rights, limitations of rights, obligations,
duties and immunities thereunder of the Trustee, the Company and
the Holders of the Notes. Capitalized terms used in this Note and
not defined in this Note shall have the respective meanings set
forth in the Indenture.

 

In case
certain Events of Default shall have occurred and be continuing,
the principal of, and interest on, all Notes may be declared, by
either the Trustee or Holders of at least 25% in aggregate
principal amount of Notes then outstanding, and upon said
declaration shall become, due and payable, in the manner, with the
effect and subject to the conditions and certain exceptions set
forth in the Indenture.

 

Subject
to the terms and conditions of the Indenture, the Company will make
all payments and deliveries in respect of the Fundamental Change
Repurchase Price on the Fundamental Change Repurchase Date (if
applicable), the Redemption Price on any Redemption Date (if
applicable) and the principal amount on the Maturity Date, as the
case may be, to the Holder who surrenders a Note to a Paying Agent
to collect such payments in respect of the Note. The Company will
pay cash amounts in money of the United States that at the time of
payment is legal tender for payment of public and private
debts.

 

The
Indenture contains provisions permitting the Company and the
Trustee in certain circumstances, without the consent of the
Holders of the Notes, and in certain other circumstances, with the
consent of the Holders of not less than a majority in aggregate
principal amount of the Notes at the time outstanding, evidenced as
in the Indenture provided, to execute supplemental indentures
modifying the terms of the Indenture and the Notes as described
therein. It is also provided in the Indenture that, subject to
certain exceptions, the Holders of a majority in aggregate
principal amount of the Notes at the time outstanding may on behalf
of the Holders of all of the Notes waive any past Default or Event
of Default under the Indenture and its consequences.

 

Each
Holder shall have the right to receive payment or delivery, as the
case may be, of (x) the principal (including the Redemption
Price and the Fundamental Change Repurchase Price, if applicable)
of, (y) accrued and unpaid interest, if any, on, and
(z) the consideration due upon conversion of, this Note at the
place, at the respective times, at the rate and in the lawful money
or shares of Common Stock, as the case may be, herein
prescribed.

 

The
Notes are issuable in registered form without coupons in minimum
denominations of $1,000 principal amount and integral multiples
thereof. At the office or agency of the Company referred to on the
face hereof, and in the manner and subject to the limitations
provided in the Indenture, Notes may be exchanged for a like
aggregate principal amount of Notes of other authorized
denominations, without payment of any service charge but, if
required by the Company or Trustee, with payment of a sum
sufficient to cover any transfer or similar tax that may be imposed
in connection therewith as a result of the name of the Holder of
the new Notes issued upon such exchange of Notes being different
from the name of the Holder of the old Notes surrendered for such
exchange.

 

 

88

 

The
Notes shall be redeemable at the Company’s option on or after
May 6, 2022 in accordance with the terms and subject to the
conditions specified in the Indenture. No sinking fund is provided
for the Notes.

 

Upon
the occurrence of a Fundamental Change, the Holder has the right,
at such Holder’s option, to require the Company to repurchase
for cash all of such Holder’s Notes or any portion thereof
(in principal amounts of $1,000 or integral multiples of $1,000 in
excess thereof) on the Fundamental Change Repurchase Date at a
price equal to the Fundamental Change Repurchase
Price.

 

Subject
to the provisions of the Indenture, the Holder hereof has the
right, at its option, during certain periods and upon the
occurrence of certain conditions specified in the Indenture, prior
to the close of business on the Business Day immediately preceding
the Maturity Date, to convert any Notes or portion thereof that is
$1,000 or an integral multiple thereof, into cash, shares of Common
Stock or a combination of cash and shares of Common Stock, as
applicable, at the Conversion Rate specified in the Indenture, as
adjusted from time to time as provided in the
Indenture.

 

For
any Conversion Date that occurs on or after May 14, 2020 or after
the occurrence of any 30 Trading Day period during which the Last
Reported Sale Price of the Common Stock has been at least 150% of
the Conversion Price then in effect for at least 20 Trading Days
(whether or not consecutive), the Company shall, in addition to the
other consideration payable or deliverable in connection with any
conversion of Notes, make an Interest Make-Whole Payment as
provided in the Indenture.

 

 

89

 

 

ABBREVIATIONS

 

The
following abbreviations, when used in the inscription of the face
of this Note, shall be construed as though they were written out in
full according to applicable laws or regulations:

 

TEN COM
= as tenants in common

 

UNIF
GIFT MIN ACT = Uniform Gifts to Minors Act

 

CUST =
Custodian

 

TEN ENT
= as tenants by the entireties

 

JT TEN
= joint tenants with right of survivorship and not as tenants in
common

 

Additional
abbreviations may also be used though not in the above
list.

 

 

SCHEDULE A6

 

SCHEDULE OF EXCHANGES OF NOTES

 

RumbleOn,
Inc.

 

6.75%
Convertible Senior Notes due 2024

 

The
initial principal amount of this Global Note is DOLLARS ($[ ]). The
following increases or decreases in this Global Note have been
made:

 

	

Date of exchange

	

Amount of decrease in principal amount of this Global
Note

	

Amount of increase in principal amount of this Global
Note

	

Principal amount of this Global Note following such decrease or
increase

	

Signature of authorized signatory of Trustee or
Custodian

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

 

 

6 Include if a global
note.

 

90

 

ATTACHMENT 1

 

[FORM
OF NOTICE OF CONVERSION]

 

To: 

Wilmington Trust,
National Association

Global
Capital Markets

50
South Sixth Street, Suite 1290

Minneapolis,
Minnesota 55402

Attn:
RumbleOn Notes Administrator

 

The
undersigned registered owner of this Note hereby exercises the
option to convert this Note, or the portion hereof (that is $1,000
principal amount or an integral multiple thereof) below designated,
into cash, shares of Common Stock or a combination of cash and
shares of Common Stock, as applicable, in accordance with the terms
of the Indenture referred to in this Note, and directs that any
cash payable and any shares of Common Stock issuable and
deliverable upon such conversion, together with any cash for any
fractional share, and any Notes representing any unconverted
principal amount hereof, be issued and delivered to the registered
Holder hereof unless a different name has been indicated below. If
any shares of Common Stock or any portion of this Note not
converted are to be issued in the name of a Person other than the
undersigned, the undersigned will pay all documentary, stamp or
similar issue or transfer taxes, if any in accordance with
Section 14.02(d) and
Section 14.02(e) of the
Indenture. Any amount required to be paid to the undersigned on
account of interest accompanies this Note. Capitalized terms used
herein but not defined shall have the meanings ascribed to such
terms in the Indenture.

 

Dated:                                                

 

 

 

Signature(s)

 

 

 

 

 

 

 

Signature
Guarantee

 

Signature(s)
must be guaranteed by

 

an
eligible Guarantor Institution

 

(banks,
stock brokers, savings and

 

loan
associations and credit unions)

 

with
membership in an approved

 

signature
guarantee medallion program

 

pursuant
to Securities and Exchange

 

Commission
Rule 17Ad-15 if shares

 

of
Common Stock are to be issued, or

 

Notes
are to be delivered, other than

 

to and
in the name of the registered holder.

 

Fill in
for registration of shares if to be issued,

 

and
Notes if to be delivered, other than to and in

 

the
name of the registered holder:

 

 

 

(Name)

 

 

 

(Street
Address)

 

 

 

(City,
State and Zip Code)

 

Please
print name and address

 

Principal amount to
be converted (if less than all):

 

$_______,000

 

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

 

 

Social
Security or Other Taxpayer

 

Identification
Number

 

 

91

 

ATTACHMENT 2

 

[FORM
OF FUNDAMENTAL CHANGE REPURCHASE NOTICE]

 

To: 

Wilmington Trust,
National Association

Global
Capital Markets

50
South Sixth Street, Suite 1290

Minneapolis,
Minnesota 55402

Attn:
RumbleOn Notes Administrator

 

 

The
undersigned registered owner of this Note hereby acknowledges
receipt of a notice from RumbleOn, Inc. (the “Company”) as to the occurrence of
a Fundamental Change with respect to the Company and specifying the
Fundamental Change Repurchase Date and requests and instructs the
Company to pay to the registered holder hereof in accordance with
Section 15.02
of the Indenture referred to in this Note (1) the entire
principal amount of this Note, or the portion thereof (that is
$1,000 principal amount or an integral multiple thereof) below
designated, and (2) if such Fundamental Change Repurchase Date
does not fall during the period after a Regular Record Date and on
or prior to the corresponding Interest Payment Date, accrued and
unpaid interest, if any, thereon to, but excluding, such
Fundamental Change Repurchase Date. Capitalized terms used herein
but not defined shall have the meanings ascribed to such terms in
the Indenture.

 

In the
case of Physical Notes, the certificate numbers of the Notes to be
repurchased are as set forth below:

 

 

 

Dated:                                                

 

 

 

Signature(s)

 

 

 

Social
Security or Other Taxpayer

 

Identification
Number

 

Principal amount to
be repaid (if less than all):

 

$_______,000

 

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

 

 

 

92

 

ATTACHMENT 3

 

[FORM
OF ASSIGNMENT AND TRANSFER]

 

Wilmington
Trust, National Association

Global
Capital Markets

50
South Sixth Street, Suite 1290

Minneapolis,
Minnesota 55402

Attn:
RumbleOn Notes Administrator

 

 

For
value received ____________________ hereby sell(s), assign(s) and
transfer(s) unto

 

_____________________________________________________________

 

 

 

_____________________________________________________________

 

(Please
insert social security or Taxpayer Identification Number of
assignee)

 

the
within Note, and hereby irrevocably constitutes and appoints
attorney to transfer the said Note on the books of the Company,
with full power of substitution in the premises.

 

In
connection with any transfer of the within Note occurring during
the time that such Note includes the legend set forth in Section
2.05(c), the undersigned confirms that such Note is being
transferred:

 

 
 To RumbleOn, Inc. or a subsidiary thereof; or

 

 
 Pursuant to a registration statement that has become or been
declared effective under the Securities Act of 1933, as amended;
or

 

 
 Pursuant to and in compliance with Rule 144A under the
Securities Act of 1933, as amended; or

 

 
 Pursuant to and in compliance with Rule 144 under the
Securities Act of 1933, as amended, or any other available
exemption from the registration requirements of the Securities Act
of 1933, as amended.

 

 

Dated:                                                

 

 

 

Signature(s)

 

 

 

Signature Guarantee

 

 

 

Signature(s)
must be guaranteed

 

by an
eligible Guarantor Institution

 

(banks,
stock brokers, savings and

 

loan
associations and credit unions)

 

with
membership in an approved

 

signature
guarantee medallion

 

program
pursuant to Securities and

 

Exchange
Commission Rule 17Ad-15

 

if
Notes are to be delivered, other than

 

to and
in the name of the registered holder.

 

 

NOTICE:
The signature on the assignment

 

must
correspond with the name as written

 

upon
the face of the Note in every particular

 

without
alteration or enlargement or any

 

change
whatever.

 

 

93Blueprint

  

 

 

$30,000,000

 

RUMBLEON, INC.

 

6.75% Convertible Senior Notes Due 2024

 

Registration Rights Agreement

 

May
14, 2019

 

JMP Securities LLC

 

600 Montgomery Street, Suite 1100

 

San Francisco, CA 94111

 

RumbleOn, Inc., a Nevada corporation (the
“Company”), proposes to issue and sell to JMP
Securities LLC (the “Initial
Purchaser”), pursuant to
the purchase agreement dated May 9, 2019, between the Company and
the Initial Purchaser (the “Purchase
Agreement”), $30,000,000
aggregate principal amount of its 6.75% Convertible Senior Notes
due 2024 (the “Notes”) upon the terms and subject to the
conditions set forth in the Purchase Agreement.

 

As
an inducement to the Initial Purchaser to enter into the Purchase
Agreement and in satisfaction of a condition to the obligations of
the Initial Purchaser thereunder, the Company agrees with the
Initial Purchaser, for the benefit of the Holders (as defined
below), as follows:

 

1.                  

Certain Definitions.

 

Capitalized
terms used but not defined herein shall have the meanings given to
such terms in the Purchase Agreement. For purposes of this
Registration Rights Agreement, the following terms shall have the
following meanings:

 

(a) “Additional
Interest” has the meaning
assigned thereto in Section 2(d).

 

(b) “Additional
Interest Payment Date”
has the meaning assigned thereto in Section
2(d).

 

(c) “Affiliate”
has the meaning set forth in Rule 405 under the Securities Act,
except as otherwise expressly provided herein.

 

(d) “Agreement”
means this Registration Rights Agreement, as the same may be
amended from time to time pursuant to the terms
hereof.

 

1

 

 

(e) “Automatic
Shelf Registration Statement” has the meaning set forth in Rule 405
under the Securities Act.

 

(f) “Business
Day” means any day that
is not a Saturday, Sunday or other day on which commercial banks in
New York City are authorized or required by law to remain
closed.

 

(g) “Commission”
means the Securities and Exchange Commission, or any other federal
agency at the time administering the Exchange Act or the Securities
Act, whichever is the relevant statute for the particular
purpose.

 

(h) “Company”
has the meaning assigned thereto in the first paragraph of this
Agreement.

 

(i) “Deferral
Notice” has the meaning
assigned thereto in Section 3(b).

 

(j) “Deferral
Period” has the meaning
assigned thereto in Section 3(b).

 

(k) “Effective
Period” has the meaning
assigned thereto in Section 2(a).

 

(l) “Exchange
Act” means the Securities
Exchange Act of 1934, as amended, and the rules and regulations
promulgated thereunder.

 

(m) “FINRA”
means the Financial Industry Regulatory Authority,
Inc.

 

(n) “Holder”
means each holder, from time to time, of Registrable Securities
(including the Initial Purchaser).

 

(o) “Indemnified
Holder” has the meaning
assigned thereto in Section 6(a).

 

(p) “Indenture”
means the Indenture dated as of May 14, 2019 between the Company
and the Trustee, pursuant to which the Notes are being
issued.

 

(q) “Initial
Purchaser” has the
meaning assigned thereto in the first paragraph of this
Agreement.

 

(r) “Last
Reported Sale Price” has
the meaning assigned to it in the Indenture.

 

(s) “Material
Event” has the meaning
assigned thereto in Section 3(a)(iv).

 

(t) “Majority
Holders” means, on any
date, the holders of the majority in aggregate amount of the
Registrable Securities; provided that such aggregate amount, with
respect to Notes that are Registrable Securities will be based on
the aggregate principal amount of Notes that are Registrable
Securities, and with respect to Shares that are Registrable
Securities, will be based on the average of the Last Reported Sale
Prices of the Company’s Common Stock for each of five
consecutive trading days ending on a date chosen by the Company in
a reasonable manner to effect the intent of this Agreement
multiplied by the number of such Shares that are Registrable
Securities; provided further that whenever the consent or approval
of the Majority Holders is required hereunder, any Registrable
Securities owned directly or indirectly by the Company or any
Affiliate shall not be counted in determining whether such consent
or approval was given by the Majority Holders.

 

 

2

 

 

 

 

 

(u) “Notice
and Questionnaire” means
a written notice delivered to the Company containing substantially
the information called for by the Form of Selling Securityholder
Notice and Questionnaire attached as Annex A to the Offering
Memorandum.

 

(v) “Notice
Holder” means, on any
date, any Holder that has delivered a properly completed Notice and
Questionnaire to the Company on or prior to such
date.

 

(w) “Notes”
has the meaning assigned thereto in the first paragraph of this
Agreement.

 

(x) “Offering
Memorandum” means the
Final Offering Memorandum dated May 9, 2019 relating to the offer
and sale of the Notes.

 

(y) “Person”
means a corporation, limited liability company, association,
partnership, organization, business, individual, government or
political subdivision thereof or governmental
agency.

 

(z) “Prospectus”
means the prospectus included in any Shelf Registration Statement
(including, without limitation, a prospectus that discloses
information previously omitted from a prospectus filed as part of
an effective registration statement in reliance upon Rule 430A,
430B or 430C under the Securities Act), as amended or supplemented
by any amendment or prospectus supplement, including post-effective
amendments, and all materials incorporated by reference or
explicitly deemed to be incorporated by reference in such
Prospectus.

 

(aa) “Purchase
Agreement” has the
meaning assigned thereto in the first paragraph of this
Agreement.

 

(bb) “Registrable
Securities” means the
Securities; provided, however,
that such Securities shall not be
Registrable Securities if as of the applicable date of
determination (i) such Securities have ceased to be outstanding;
(ii) in the circumstances contemplated by Section 2(a), a
registration statement registering such Securities under the
Securities Act has been declared or becomes effective and such
Securities have been sold or otherwise transferred or disposed of
by the Holder thereof pursuant to such effective registration
statement; or (iii) Securities that have been transferred or sold
in a transaction in which the Company delivered a new security in
place of the Securities and such new security (x) is not subject to
transfer restrictions under the Securities Act, (y) does not bear a
restrictive legend and (z) is assigned an unrestricted
CUSIP.

 

(cc) “Registration
Default” has the meaning
assigned thereto in Section 2(d).

 

 

3

 

 

(dd) “Registration
Expenses” has the meaning
assigned thereto in Section 5.

 

(ee) “Rule 144,” “Rule 144A,” “Rule 405,” “Rule 415” and “Rule 433” mean, in each case, such rule as
promulgated under the Securities Act.

 

(ff)            

“Securities” means the Notes and the
Shares.

 

(gg) “Securities
Act” means the Securities
Act of 1933, as amended, and the rules and regulations promulgated
thereunder.

 

(hh) “Shares” means the shares of Class B Common Stock
of the Company, par value $0.001 per share (the
“Common Stock”), as of the date hereof (and subject to
Section 14.07 of the Indenture), into which the Notes are
convertible or that have been issued upon any conversion of Notes
into Common Stock of the Company, including any Interest Make-Whole
Payment (as defined in the Indenture).

 

(ii)            

“Shelf
Inspectors” has the
meaning assigned thereto in Section 3(a)(vii).

 

(jj)                      “Shelf
Registration Statement”
means the shelf registration statement referred to in Section 2(a),
as amended or supplemented by any amendment or supplement,
including post-effective amendments and any additional information
contained in a form of prospectus or prospectus supplement that is
deemed retroactively to be a part of the Shelf Registration
Statement pursuant to Rules 430A, 430B or 430C, and all materials
incorporated by reference or explicitly deemed to be incorporated
by reference in such Shelf Registration Statement, which may be an
Automatic Shelf Registration Statement.

 

(kk) “Special
Counsel” shall have the
meaning assigned thereto in Section 5.

 

(ll)                      “Trust
Indenture Act” means the
Trust Indenture Act of 1939, as amended, or any successor thereto,
and the rules, regulations and forms promulgated thereunder, all as
the same shall be amended from time to time.

 

(mm) “Trustee” shall have the meaning assigned such term
in the Indenture.

 

Unless
the context otherwise requires, any reference herein to a
“Section” or “clause” refers to a Section
or clause, as the case may be, of this Agreement, and the words
“herein,” “hereof” and
“hereunder” and other words of similar import refer to
this Agreement as a whole and not to any particular Section or
other subdivision. Unless the context otherwise requires, any
reference to a statute, rule or regulation refers to the same
(including any successor statute, rule or regulation thereto) as it
may be amended from time to time.

 

2.                 

Registration Under the Securities Act.

 

(a)                 The
Company shall file an Automatic Shelf Registration Statement, if
the Company is eligible to do so and has not already done so
(provided such previously filed Automatic Shelf Registration
Statement covers all Holders of Registrable Securities determined
as of the date such subsequent obligation arose), and, if the
Company is not eligible for an Automatic Shelf Registration
Statement, then in lieu of the foregoing the Company shall file a
Shelf Registration Statement for the registration of, and the sale
on a continuous or delayed basis by the Holders of, all of the
Registrable Securities pursuant to Rule 415 or any similar rule
that may be adopted by the Commission, and use its commercially
reasonable efforts to cause the Shelf Registration Statement to
become or be declared effective under the Securities Act on the day
that is 120 days after the date of the Offering Memorandum. It
being understood that if there are no Registrable Securities
entitled to be included in the Shelf Registration Statement at such
time that the Company shall have no obligation to file such Shelf
Registration Statement at such time.

 

 

4

 

 

The Company agrees to use its commercially
reasonable efforts to keep such Shelf Registration Statement
continuously effective, subject to Section 3(b), until the earliest
of (x) the date by which all Registrable Securities have been sold
pursuant to such Shelf Registration Statement; and (y) such date as
each of the Registrable Securities covered by the Shelf
Registration Statement ceases to be a Registrable Security (the
“Effective
Period”).

 

(b) The
Company further agrees that it shall cause the Shelf Registration
Statement, the related Prospectus and any amendment or supplement
thereto, as of the effective date of the Shelf Registration
Statement, as of the time of sale of any Securities under such
Shelf Registration Statement, and as of the date of any such
amendment or supplement, (i) to comply in all material respects
with the applicable requirements of the Securities Act and (ii) not
to contain any untrue statement of a material fact or omit to state
a material fact required to be stated therein or necessary in order
to make the statements therein (in the case of the Prospectus, in
the light of the circumstances under which they were made) not
misleading, and the Company agrees to furnish to the Holders such
number of copies as such Holders may reasonably request of any
supplement or amendment prior to its being used or promptly
following its filing with the Commission; provided, however,
that the Company shall have no
obligation to deliver to Holders copies of any amendment consisting
exclusively of an Exchange Act report or other Exchange Act filing
otherwise publicly available on the Commission’s Edgar
database. If the Shelf Registration Statement, as amended or
supplemented from time to time, ceases to be effective for any
reason at any time during the Effective Period (other than because
all Registrable Securities registered thereunder shall have been
sold pursuant thereto or shall have otherwise ceased to be
Registrable Securities), the Company shall use its commercially
reasonable efforts to obtain the prompt withdrawal of any order
suspending the effectiveness thereof. 

 

(c) Each
Holder agrees that if such Holder wishes to sell Registrable
Securities pursuant to the Shelf Registration Statement and related
Prospectus, it will do so only in accordance with this Section 2(c)
and Section 3(c) and Section 4 hereof. From and after the date the
Shelf Registration Statement is initially effective and until the
tenth (10th)
Business Day prior to the expiration of the Effective Period, the
Company shall, as promptly as is reasonably practicable after the
date a Notice and Questionnaire is delivered by a Notice Holder,
and in any event within (x) ten (10) Business Days after the date
such Notice and Questionnaire is received by the Company, (y) if a
Notice and Questionnaire is so received during a Deferral Period,
ten (10) Business Days after the expiration of such Deferral Period
or (z) if a Notice and Questionnaire is received prior to a
Deferral Period, but a Deferral Period occurs prior to ten (10)
Business Days after such receipt, ten (10) Business Days after the
expiration of such Deferral Period,

 

(i) if
required by applicable law, file with the Commission a
post-effective amendment to the Shelf Registration Statement or
prepare and, if required by applicable law, file a supplement to
the related Prospectus or a supplement or amendment to any document
incorporated therein by reference or file any other required
document so that the Holder delivering such Notice and
Questionnaire is named as a selling security holder in the Shelf
Registration Statement and the related Prospectus in such a manner
as to permit such Holder to deliver such Prospectus to purchasers
of the Registrable Securities in accordance with applicable law
and, if the Company shall file a post-effective amendment to the
Shelf Registration Statement and such amendment is not
automatically effective, use its commercially reasonable efforts to
cause such post-effective amendment to be declared or to otherwise
become effective under the Securities Act as promptly as is
reasonably practicable;

 

(ii) provide
such Holder with as many copies of any documents filed pursuant to
Section 2(c)(i) as such Holder may reasonably request in connection
with the Securities covered by such Holder’s Notice and
Questionnaire; and

 

(iii) notify
such Holder as promptly as reasonably practicable after the
effectiveness under the Securities Act of any post-effective
amendment filed pursuant to Section 2(c)(i);

 

provided that if such Notice
and Questionnaire is delivered during a Deferral Period, the
Company shall so inform the Holder delivering such Notice and
Questionnaire and shall take the actions set forth in this Section
2(c) above upon expiration of the Deferral Period in accordance
with Section 3(b). Notwithstanding anything contained herein to the
contrary, the Company shall be under no obligation to name any
Holder that is not a Notice Holder as a selling securityholder in
any Shelf Registration Statement or related Prospectus or
prospectus supplement; provided, however,
that any Holder that becomes a Notice
Holder pursuant to the provisions of this Section 2(c) (whether or
not such Holder was a Notice Holder at the time the Shelf
Registration Statement was declared or otherwise became effective)
shall be named as a selling securityholder in the Shelf
Registration Statement or related Prospectus in accordance with the
requirements of this Section 2(c). Notwithstanding the forgoing, in
no event shall the Company be required to file more than one
post-effective amendment to the Shelf Registration Statement
pursuant to Section 2(c)(i) during any 45-day
period.

 

(d)          If
any of the following events (any such event a
“Registration
Default”) shall occur,
then additional interest (the “Additional
Interest”) shall become
payable by the Company to Holders in respect of the Notes as
follows:

 

5

 

 

(i) if
on the day that is 120 days after the date of the Offering
Memorandum, Registrable Securities are held by any Person other
than the Company or an Initial Purchaser and the Shelf Registration
Statement has not been filed with and declared effective by the
Commission by such date (other than pursuant to Section 3(b)
hereof), and the Company does not file and have declared effective
a Shelf Registration Statement within five (5) Business Days, then,
commencing on the day following the Registration Default,
Additional Interest shall accrue on the principal amount of the
outstanding Notes that are Registrable Securities at a rate of
0.50% per annum;

 

(ii) [Reserved];

 

(iii) if
the Shelf Registration Statement has become or been declared
effective but such Shelf Registration Statement ceases to be
effective or the prospectus contained therein ceases to be usable
in connection with the resales of Registrable Securities at any
time during the Effective Period (other than pursuant to Section
3(b) hereof), and the Company does not cure the Registration
Default within five (5) Business Days by a post-effective amendment
or a report filed pursuant to the Exchange Act, then, commencing on
the day such Shelf Registration Statement ceases to be effective,
Additional Interest shall accrue on the principal amount of the
outstanding Notes that are Registrable Securities at a rate of
0.50% per annum;

 

(iv) if
the aggregate duration of Deferral Periods in any period exceeds
the number of days permitted in respect of such period pursuant to
Section 3(b) hereof, then, commencing on the day the aggregate
duration of Deferral Periods in any period exceeds the number of
days permitted in respect of such period, Additional Interest shall
accrue on the principal amount of the outstanding Notes that are
Registrable Securities at a rate of 0.50% per annum;

 

provided, however,
that the Additional Interest rate on
the Notes shall not exceed in the aggregate 0.50% per annum and
shall not be payable under more than one clause above for any given
period of time; provided
further, however, that
Additional Interest on the Notes that are Registrable Securities as
a result of clauses (i) through (iv) above, shall cease to accrue
upon the earlier of (1) the filing and effectiveness of the Shelf
Registration Statement (in the case of clause (i) above), (2) the
effectiveness of the Shelf Registration Statement which had ceased
to remain effective (in the case of clause (iii) above), (3) the
termination of the Deferral Period that caused the limit on the
aggregate duration of Deferral Periods in a period set forth in
Section 3(b) to be exceeded (in the case of clause (iv) above), (4)
the date the Notes cease to be Registrable Securities or (5) the
date the Notes cease to be outstanding (as determined in accordance
with the terms of the Indenture).

Additional Interest on the Notes, if any, will be
payable in arrears in cash on May 1 and November 1 of each year
(the “Additional Interest Payment
Date”) to holders of
record of outstanding Notes that are Registrable Securities at the
close of business on April 15 or October 15 (whether or not a
Business Day), as the case may be, immediately preceding the
relevant Additional Interest Payment Date; provided that (x) any accrued and unpaid Additional
Interest with respect to any Notes or portion thereof submitted for
conversion shall be paid in the manner and to the extent provided
for the payment of interest in Section 14.02(h) of the Indenture
and (y) that any accrued and unpaid Additional Interest with
respect to any Notes or portion thereof submitted for repurchase on
a Fundamental Change Repurchase Date (as defined in the Indenture),
and not withdrawn in compliance with Section 15.03 of the
Indenture, shall be paid in the manner provided for the payment of
interest in Section 15.02(a) of the Indenture. Following the cure
of all Registration Defaults requiring the payment of Additional
Interest to the Holders of Notes that are Registrable Securities
pursuant to this Section 2(d), the accrual of Additional Interest
will cease (without in any way limiting the effect of any
subsequent Registration Default requiring the payment of Additional
Interest). Additional Interest on the Notes, if any, will accrue
beginning on the date provided for in clauses 2(d)(i) through (iv)
above, as applicable, to, but excluding, the date on which all
Registration Defaults have been cured. If a Holder converts some or
all of the Notes into Shares, such Holder will not be entitled to
receive Additional Interest on such Shares.

 

The
Company shall notify the Trustee as promptly as reasonably
practicable upon the happening of each and every Registration
Default. The Trustee shall be entitled, on behalf of Holders, to
seek any available remedy for the enforcement of this Agreement,
including for the payment of any Additional Interest if any becomes
due.

 

Notwithstanding
the foregoing, the parties agree that the sole monetary damages
payable for a violation of the terms of this Agreement with respect
to which additional monetary amounts are expressly provided shall
be as set forth in this Section 2(d). Nothing shall preclude a
Notice Holder or Holder from pursuing or obtaining specific
performance or other equitable relief with respect to this
Agreement.

 

 

6

 

 

3.                  

Registration
Procedures.

 

The
following provisions shall apply to the Shelf Registration
Statement filed pursuant to Section 2:

 

(a)            

The
Company shall:

 

(i) notify
the Holders of Registrable Securities at least 20 (twenty) Business
Days before filing any Shelf Registration Statement pursuant to
Section 2 of the Company’s intent to file such Shelf
Registration Statement and seeking a determination from such Holder
as to whether such Holder elects to have its Registrable Securities
included in such Shelf Registration Statement;

 

(ii) before
filing any Shelf Registration Statement or Prospectus or any
amendments or supplements thereto with the Commission, furnish to
the Initial Purchaser copies of all such documents proposed to be
filed and use its commercially reasonable efforts to reflect in
each such document when so filed with the Commission such comments
as such Initial Purchaser reasonably shall propose within three (3)
Business Days of the delivery of such copies to the Initial
Purchaser; provided, however, that the

 

Company shall be permitted to file prospectus supplements or
post-effective amendments to reflect additional selling
securityholders without prior review of the Initial
Purchaser;

 

(iii) use
its commercially reasonable efforts to prepare and file with the
Commission such amendments and post-effective amendments to the
Shelf Registration Statement and file with the Commission any other
required document as may be necessary to keep such Shelf
Registration Statement continuously effective until the expiration
of the Effective Period; cause the related Prospectus to be
supplemented by any required prospectus supplement, and as so
supplemented to be filed pursuant to Rule 424 (or any similar
provisions then in force) under the Securities Act; and comply with
the provisions of the Securities Act applicable to it with respect
to the disposition of all Securities covered by such Shelf
Registration Statement during the Effective Period in accordance
with the intended methods of disposition by the sellers thereof set
forth in such Shelf Registration Statement as so amended or such
Prospectus as so supplemented;

 

(iv) as
promptly as reasonably practicable, notify the Notice Holders (A)
when such Shelf Registration Statement or the Prospectus included
therein or any amendment or supplement to the Prospectus or
post-effective amendment has been filed with the Commission, and,
with respect to such Shelf Registration Statement or any
post-effective amendment that is not an Automatic Shelf
Registration Statement, when the same is declared or has become
effective, provided, that the availability of such Shelf Registration
Statement or any Prospectus or post-effective amendment on the
Commission’s EDGAR database shall be considered notice for
the purpose of this Section 3(a)(iv),
(B)
of any request (but not the nature or
details regarding such request), following the effectiveness of the
Shelf Registration Statement, by the Commission or any other
federal or state governmental authority for amendments or
supplements to the Shelf Registration Statement or related
Prospectus (other than any such request relating to a review of the
Company’s Exchange Act filings), (C) of the issuance by the
Commission of any stop order suspending the effectiveness of such
Shelf Registration Statement or the initiation or written threat of
any proceedings for that purpose, (D) of the receipt by the Company
of any notification with respect to the suspension of the
qualification of the Registrable Securities for sale in any
jurisdiction or the initiation or written threat of any proceeding
for such purpose, (E) of the occurrence of any event or the
existence of any fact (but not the nature of or details concerning
such event or fact) (a “Material
Event”) as a result of
which any Shelf Registration Statement shall contain any untrue
statement of a material fact or omit to state any material fact
required to be stated therein or necessary to make the statements
therein not misleading, or any Prospectus shall contain any untrue
statement of a material fact or omit to state any material fact
required to be stated therein or necessary to make the statements
therein, in the light of the circumstances under which they were
made, not misleading; provided, however,
that no notice by the Company shall be
required pursuant to this clause (E) in the event that the Company
either promptly files a prospectus supplement, amendment to the
Shelf Registration Statement to update the Prospectus or a Form 8-K
or other appropriate Exchange Act report that is incorporated by
reference into the Shelf Registration Statement, which, in either
case, contains the requisite information with respect to such
Material Event that results in such Shelf Registration Statement or
Prospectus, as the case may be, no longer containing any untrue
statement of material fact or omitting to state a material fact
required to be stated therein or necessary to make the statements
contained therein (in the case of the Prospectus, in light of the
circumstances under which they were made) not misleading, (F) of
the determination by the Company that a post-effective amendment to
the Shelf Registration Statement (other than for the purpose of
naming a Notice Holder as a selling securityholder therein) will be
filed with the Commission, which notice may, at the discretion of
the Company (or as required pursuant to Section 3(b)), state that
it constitutes a Deferral Notice, in which event the provisions of
Section 3(b) shall apply or (G) at any time when a Prospectus is
required (or but for the exemption contained in Rule 172 would be
required) to be delivered under the Securities Act, that the Shelf
Registration Statement, Prospectus, Prospectus amendment or
supplement or post-effective amendment does not conform in all
material respects to the applicable requirements of the Securities
Act and the rules and regulations of the Commission
thereunder;

 

7

 

(v) prior
to any public offering of the Registrable Securities pursuant to
the Shelf Registration Statement, use its commercially reasonable
efforts to register or qualify, or cooperate with the Notice
Holders included therein and their respective counsel in connection
with the registration or qualification of Securities for offer and
sale under the securities or blue sky laws of such jurisdictions
within the United States as any such Notice Holders reasonably
request in writing and do any and all other acts or things
reasonably necessary or advisable to enable the offer and sale in
such jurisdictions of the Securities covered by the Shelf
Registration Statement; prior to any public offering of the
Registrable Securities pursuant to the Shelf Registration
Statement, use its commercially reasonable efforts to keep each
such registration or qualification (or exemption therefrom)
effective during the Effective Period in connection with such
Notice Holder’s offer and sale of Registrable Securities
pursuant to such registration or qualification (or exemption
therefrom) and use its commercially reasonable efforts to provide
for the disposition in such jurisdictions of such Registrable
Securities in the manner set forth in the Shelf Registration
Statement and the related Prospectus; provided that for purposes of this Section 3(a)(v), the
Company will not be required to qualify generally to do business in
any jurisdiction where it is not then so qualified or to take any
action which would subject it to general service of process or to
taxation in any such jurisdiction where it is not then so
subject;

 

(vi) use
its commercially reasonable efforts to lift any suspension of the
qualification of any of the Registrable Securities for sale in any
jurisdiction in which they have been qualified for sale, in each
case at the earliest practicable date;

 

(vii) upon
reasonable written notice, and only in connection with a
disposition of Securities under the Shelf Registration Statement,
for a reasonable period prior to the filing of the Shelf
Registration Statement, and throughout the Effective Period (but
not during a Deferral Period), (i) make reasonably available for
inspection by a representative of, and Special Counsel acting for,
the Majority Holders and any underwriter (and its counsel)
participating in any disposition of Securities pursuant to such
Shelf Registration Statement (collectively, the
“Shelf
Inspectors”), all
relevant and material financial and other records and pertinent
corporate documents of the Company and its subsidiaries and (ii)
use commercially reasonable efforts to have its officers,
employees, accountants and counsel make available all relevant
material information reasonably requested by such representative,
Special Counsel or any such underwriter in connection with such
Shelf Registration Statement, in each case as is reasonable and
customary for similar “due diligence” examinations of
issuers of similar size and business of the Company;
provided, however, that such persons shall first agree with the
Company that any information that is reasonably designated by the
Company as confidential at the time of delivery shall be kept
confidential by such persons and shall be used solely for the
purposes of exercising rights under this Agreement and satisfying
“due diligence” obligations under the Securities Act
and such person shall not engage in trading any securities of the
Company until such material non-public information becomes properly
publicly available, unless (w) disclosure of such information is
required by court or administrative order or is necessary to
respond to inquiries of regulatory authorities, (x) disclosure of
such information is required by law, including any disclosure
requirements pursuant to federal securities laws in connection with
the filing of any Shelf Registration Statement or the use of any
Prospectus or prospectus supplement referred to in this Agreement
upon a customary opinion of counsel for such persons delivered and
reasonably satisfactory to the Company, (y) such information
becomes generally available to the public other than as a result of
a disclosure or failure to safeguard by any such person, or (z)
such information becomes available to any such person from a source
(other than the Company, its Affiliates, officers, employees,
accountants, agents and counsel) and such source is not bound by a
confidentiality agreement; provided, further, that with respect to any Special Counsel engaged
by the Majority Holders, the foregoing inspection and information
gathering shall be coordinated by one counsel designated by the
Majority Holders;

(viii) if
requested by the Majority Holders, their Special Counsel or the
managing underwriters (if any) in connection with an underwritten
offering of the Registrable Securities pursuant to the Shelf
Registration Statement, use its commercially reasonable efforts to
cause (i) its counsel to deliver an opinion relating to the Shelf
Registration Statement and the Securities in a customary form, (ii)
its officers to execute and deliver all customary documents and
certificates reasonably requested by the Majority Holders, their
Special Counsel or the managing underwriters (if any) and (iii) its
registered independent public accounting firm to provide a comfort
letter or letters relating to the Shelf Registration Statement in a
reasonable and customary form, subject to receipt of appropriate
documentation as contemplated, and only if permitted, by Statement
of Auditing Standards No. 72 or any successor statement thereto,
covering matters of the type customarily covered in comfort letters
in connection with secondary underwritten offerings;
provided,
that in no event shall the Company be
required to furnish such opinions, documents or comfort letters
pursuant to the provisions of this Section in more than three
underwritten offerings.

 

(ix) if
reasonably requested in writing by any Initial Purchaser or any
Notice Holder as a result of the “due diligence”
examination referred to in Section 3(a)(vii) above, promptly
incorporate in a prospectus supplement or post-effective amendment
to the Shelf Registration Statement such information as such
Initial Purchaser or such Notice Holder shall, on the basis of a
written opinion of Special Counsel, determine to be required to be
included therein by applicable law and make any required filings of
such prospectus supplement or such post-effective amendment;
provided, that the Company shall not be required to take
any actions under this Section 3(a)(ix) that are not, in the
reasonable opinion of counsel for the Company, in compliance with
applicable law; provided,
further, that the Company shall
have no liability for Additional Interest under this Agreement if
it reasonably objects to making such additional filing and if such
additional filing would otherwise cause the Company to pay
Additional Interest.

 

 

8

 

 

(x) as
promptly as practicable furnish to each Notice Holder and the
Initial Purchaser, upon their request and without charge, at least
one (1) conformed copy of the Shelf Registration Statement and any
amendments thereto, including financial statements but excluding
schedules, all documents incorporated or deemed to be incorporated
therein by reference and all exhibits; provided, however,
that the Company shall have no
obligation to deliver to Notice Holders or the Initial Purchaser a
copy of any amendment publicly available on the Company’s
website or in the Commission’s EDGAR
database;

 

(xi) during
the Effective Period, deliver to each Notice Holder in connection
with any sale of Registrable Securities pursuant to the Shelf
Registration Statement, upon their request and without charge, as
many copies of the Prospectus relating to such Registrable
Securities (including each preliminary prospectus) and any
amendment or supplement thereto as such Notice Holder may
reasonably request; and the Company hereby consents (except during
such periods that a Deferral Notice is outstanding and has not been
revoked) to the use of such Prospectus or each amendment or
supplement thereto by each Notice Holder in connection with any
offering and sale of the Registrable Securities covered by such
Prospectus or any amendment or supplement thereto in the manner set
forth therein and subject to applicable law; and

 

(xii) during
the Effective Period, cooperate with the Notice Holders to
facilitate the timely preparation and delivery of certificates
representing Securities to be sold pursuant to the Shelf
Registration Statement free of any restrictive legends, unless
required by applicable law, and in such denominations as permitted
by the Indenture and registered in such names as the Holders
thereof may request in writing at least one (1) Business Days prior
to sales of Securities pursuant to such Shelf Registration
Statement; provided, that nothing herein shall require the Company to
deliver certificated Securities to any beneficial holder of
Securities, except as required by the Indenture;
provided
further however, such Notice
Holders shall pay any such tax that is due because such Notice
Holder requests any shares of Common Stock to be issued in a name
other than the holder’s name as provided for in Sections
2.05(a) and 14.02(e) of the Indenture.

 

(b)          Upon
(A) the issuance by the Commission of a stop order suspending the
effectiveness of the Shelf Registration Statement or the initiation
of proceedings with respect to the Shelf Registration Statement
under Section 8(d) or 8(e) of the Securities Act, (B) the
occurrence of any event or the existence of any Material Event as a
result of which the Shelf Registration Statement shall contain any
untrue statement of a material

 

fact or omit to state any material fact required to be stated
therein or necessary to make the statements therein not misleading,
or any Prospectus shall contain any untrue statement of a material
fact or omit to state any material fact required to be stated
therein or necessary to make the statements therein, in the light
of the circumstances under which they were made, not misleading, or
(C) the occurrence or existence of any corporate development or
business reason that, in the sole discretion of the Company, makes
it appropriate to suspend the availability of the Shelf
Registration Statement and the related Prospectus, including,
without limitation, the acquisition of assets, pending corporate
developments, public filings with Commission and similar events,
the Company will (i) in the case of clause (B) above, subject to
the second sentence of this provision, use its commercially
reasonable efforts to prepare and file an amendment to such Shelf
Registration Statement or a supplement to the related Prospectus or
any document incorporated therein by reference or file any other
required document that would be incorporated by reference into such
Shelf Registration Statement and Prospectus so that (1) such Shelf
Registration Statement does not contain any untrue statement of a
material fact or omit to state any material fact required to be
stated therein or necessary to make the statements therein not
misleading, and (2) such Prospectus does not contain any untrue
statement of a material fact or omit to state any material fact
required to be stated therein or necessary to make the statements
therein, in the light of the circumstances under which they were
made, not misleading, as thereafter delivered or made available to
the purchasers of the Registrable Securities being sold thereunder,
and, in the case of a post-effective amendment to the Shelf
Registration Statement, subject to the second sentence of this
provision, use its commercially reasonable efforts to cause it to
be declared effective or otherwise become effective and (ii) give
notice to the Notice Holders that the availability of the Shelf
Registration Statement is suspended (a “Deferral
Notice”). The Company
will use its commercially reasonable efforts to ensure that the use
of the Prospectus may be resumed (x) in the case of clause (A)
above, as promptly as reasonably practicable, (y) in the case of
clause (B) above, as soon as, in the sole judgment of the Company,
public disclosure of such Material Event would not be prejudicial
to or contrary to the interests of the Company or, if necessary to
avoid unreasonable burden or expense, as soon as practicable
thereafter and (z) in the case of clause (C) above, as soon as, in
the sole discretion of the Company, such suspension is no longer
appropriate; provided that the period during which the availability of
the Shelf Registration Statement and any Prospectus is suspended
(the “Deferral
Period”), without the
Company incurring any obligation to pay Additional Interest
pursuant to Section 2(d), shall not exceed forty-five (45) days in
the aggregate in any ninety (90) day period or an aggregate of
ninety (90) days in any 12-month period.

 

(c)           Each
Holder agrees that upon receipt of any Deferral Notice from the
Company, such Holder shall forthwith discontinue (and cause any
placement or sales agent or underwriters acting on their behalf to
discontinue) the disposition of Registrable Securities pursuant to
the Shelf Registration Statement until such Holder (i) shall have
received copies of such amended or supplemented Prospectus and, if
so directed by the Company, such Holder shall 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 Registrable Securities at the time of
receipt of such notice or

 

9

 

 

(ii)
shall have received notice from the Company that the disposition of
Registrable Securities pursuant to the Shelf Registration may
continue. Each Holder shall keep confidential any communication
received by it from the Company regarding the suspension of the use
of the Prospectus, except as required by applicable
law.

 

(d) The
Company may require each Holder as to which any registration
pursuant to Section 2(a) is being effected to furnish to the
Company such information regarding such Holder and such
Holder’s intended method of distribution of such Registrable
Securities as the Company may from time to time reasonably request
in writing, but only to the extent such information is required to
comply with the Securities Act.

 

(e) The
Company shall provide a CUSIP number for all Registrable Securities
covered by the Shelf Registration Statement not later than the
effective date of such Shelf Registration Statement and provide the
Trustee and the transfer agent for the Shares with printed
certificates for the Registrable Securities that are in a form
eligible for deposit with The Depository Trust
Company.

 

(f) The
Company shall use commercially reasonable efforts to provide such
information as is required for any filings required to be made with
FINRA.

 

(g) Until
the expiration of the Effective Period, the Company will not
resell, and will use its commercially reasonable efforts to prevent
its “affiliates” (as defined in Rule 144) from
reselling, any of the Notes that have been reacquired by any of
them except pursuant to an effective registration statement under
the Securities Act.

 

(h) The
Company shall cause the Indenture to be qualified under the Trust
Indenture Act in a the manner prescribed by the Trust Indenture Act
and shall enter into any necessary supplemental indentures in
connection therewith.

 

(i) The
Company shall enter into such customary agreements and take such
other reasonable and lawful actions in connection therewith
(including those reasonably requested by the Majority Holders) in
order to expedite or facilitate disposition of such Registrable
Securities.

 

() The
Company shall cause the Shares covered by the Shelf Registration
Statement to be listed or quoted, as the case may be, on each
securities exchange or automated quotation system on which the
Common Stock is then listed or quoted.

 

4.                 

Holders’
Obligations.

 

(a)            In
addition to the other limitations and requirements described
herein, each Holder agrees, by acquisition of the Registrable
Securities, that no Holder shall be entitled to sell any of such
Registrable Securities pursuant to the Shelf Registration Statement
or to receive a Prospectus relating thereto, unless such Holder has
furnished the Company with a completed Notice and Questionnaire as
required pursuant to Section 2(c) hereof (including the information
required to be included in such Notice and Questionnaire) and the
information set forth in the next sentence. Each Notice Holder
agrees to notify the Company as promptly as practicable of any
inaccuracy or change in information previously furnished by such
Notice Holder to the Company or of the occurrence of any event in
either case as a result of which any Prospectus relating to such
registration contains or would contain an untrue statement of a
material fact regarding such Notice Holder or such Notice
Holder’s intended method of disposition of such Registrable
Securities or omits to state any material fact regarding such
Notice Holder or such Notice Holder’s intended method of
disposition of such Registrable Securities necessary to make the
statements therein, in light of circumstances in which they were
made, not misleading, and promptly to furnish to the Company (i)
any additional information required to correct and update any
previously furnished information or required so that such
Prospectus shall not contain, with respect to such Notice Holder or
the disposition of such Registrable Securities, an untrue statement
of a material fact or omit to state a material fact necessary to
make the statements therein, in light of the circumstances in which
they were made, not misleading and (ii) any other information
regarding such Notice Holder and the distribution of such
Registrable Securities as may be required to be disclosed in the
Shelf Registration Statement under applicable law or pursuant to
Commission comments. Each Holder further agrees not to sell any
Registrable Securities pursuant to the Shelf Registration Statement
without delivering, causing to be delivered, or, if permitted by
applicable law, making available, a Prospectus to the purchaser
thereof and, following termination of the Effective Period, to
notify the Company, within ten (10) Business Days of a request by
the Company, of the amount of Registrable Securities sold pursuant
to the Shelf Registration Statement and, in the absence of a
response, the Company may assume that all of the Holder’s
Registrable Securities were so sold in compliance with applicable
law and this Agreement unless and until the Company is notified
otherwise.

 

 

10

 

 

(b) Any
sale of any Registrable Securities by any Holder shall constitute a
representation and warranty by such Holder that the information
relating to such Holder and its plan of distribution is as set
forth in the Prospectus delivered by such Holder in connection with
such disposition, that such Prospectus does not as of the time of
such sale contain any untrue statement of a material fact relating
to or provided by such Holder or its plan of distribution and that
such Prospectus does not as of the time of such sale omit to state
any material fact relating to or provided by such Holder or its
plan of distribution necessary to make the statements in such
Prospectus, in the light of the circumstances under which they were
made, not misleading. Each Holder further agrees that such Holder
will not make any offer relating to the Registrable Securities that
would constitute an “issuer free writing prospectus”
(as defined in Rule 433) or that would otherwise constitute a
“free writing prospectus” (as defined in Rule 405)
required to be filed by the Company with the Commission or retained
by the Company under Rule 433 of the Securities Act, unless it has
obtained the prior written consent of the Company.

(c) The
Holders shall not offer Registrable Securities under the Shelf
Registration Statement in an underwritten offering without the
Company’s prior written consent. Any underwritten offering
agreed to by the Company shall be on terms and conditions agreed to
by the Company in connection with such offering. The Company shall
not be required to undertake more than three underwritten offerings
pursuant to this Agreement.

 

5. Registration
Expenses.

 

The Company agrees to bear and to pay or cause to
be paid promptly after request being made therefor all fees and
expenses incident to the Company’s performance of or
compliance with this Agreement, including, but not limited to, (a)
all Commission and any FINRA registration and filing fees and
expenses, (b) all fees and expenses in connection with the
qualification of the Securities for offering and sale under the
state securities and blue sky laws referred to in Section 3(a)(v)
hereof, including reasonable fees and disbursements of one counsel
for the placement agent or underwriters, if any, in connection with
such qualifications, (c) all expenses relating to the preparation,
printing, distribution and reproduction of the Shelf Registration
Statement, the related Prospectus, each amendment or supplement to
each of the foregoing, the certificates representing the Securities
and all other documents relating hereto, (d) fees and expenses of
the Trustee under the Indenture, any escrow agent or custodian, and
of the registrar and transfer agent for the Shares, (e) in
connection with an underwritten offering, fees, disbursements and
expenses of counsel and the registered independent public
accounting firm of the Company (including the expenses of any
opinions or “cold comfort” letters required by or
incident to such performance and compliance) and (f) reasonable
fees, disbursements and expenses of one counsel for all Holders
retained in connection with the Shelf Registration Statement, as
selected by the Company (unless reasonably objected to by the
Majority Holders, in which case the Majority Holders shall select
such counsel for the Holders) (“Special
Counsel”), and fees,
expenses and disbursements of any other Persons, including special
experts, retained by the Company in connection with such
registration (collectively, the “Registration
Expenses”). To the extent
that any reasonable and proper Registration Expenses are incurred,
assumed or paid by any Holder or any underwriter or placement agent
therefor, the Company shall reimburse such Person for the full
amount of the Registration Expenses so incurred, assumed or paid
promptly after receipt of a documented request therefor.
Notwithstanding the foregoing, the Holders of the Registrable
Securities being registered shall pay all underwriting discounts
and commissions and placement agent fees and commissions
attributable to the sale of such Registrable Securities and the
fees and disbursements of any counsel or other advisors or experts
retained by such Holders (severally or jointly), other than the
Special Counsel and experts specifically referred to
above.

 

6. Indemnification.

 

(a)           The
Company shall indemnify and hold harmless each Notice Holder
(including, without limitation, the Initial Purchaser), its
Affiliates, their respective officers, directors, employees,
representatives and agents, and each Person, if any, who controls
such Notice Holder within the meaning of the Securities Act or the
Exchange Act (collectively referred to for purposes of this Section
6 and Section 7 as an “Indemnified
Holder”) from and against
any loss, claim, damage or liability, joint or several, or any
action in respect thereof (including, without limitation, any loss,
claim, damage, liability or action relating to purchases and sales
of Registrable Securities), to which that Indemnified Holder may
become subject, whether commenced or threatened, under the
Securities Act, the Exchange Act, any other federal or state
statutory law or regulation, at common law or otherwise, insofar as
such loss, claim, damage, liability or action arises out of, or is
based upon, (i) any untrue statement or alleged untrue statement of
a material fact contained in any such Shelf Registration Statement
or any Prospectus forming part thereof, or (ii) the omission or
alleged omission to state therein a material fact required to be
stated therein or necessary in order to make the statements therein
(in the case of any Prospectus, in the light of the circumstances
under which they were made) not misleading, and shall reimburse
each Indemnified Holder promptly upon demand for any legal or other
expenses reasonably incurred by that Indemnified Holder in
connection with investigating or defending or preparing to defend
against or appearing as a third party witness in connection with
any such loss, claim, damage, liability or action as such expenses
are incurred; provided, however,
that the Company shall not be liable
in any such case to the extent that any such loss, claim, damage,
liability or action arises out of, or is based upon, an untrue
statement or alleged untrue statement in or omission or alleged
omission from any of such documents in reliance upon and in
conformity with any information provided by such Indemnified Holder
in writing to the Company expressly for use therein including its
Notice and Questionnaire. This indemnity agreement shall be in
addition to any liability that the Company may otherwise
have.

 

 

11

 

 

(b)           Each
Notice Holder (including, without limitation, the Initial
Purchaser) shall indemnify and hold harmless the Company, its
Affiliates, their respective officers, directors, employees,
representatives and agents, and each Person, if any, who controls
the Company within the meaning of the Securities Act or the
Exchange Act (collectively referred to for purposes of this Section
6(b) and Section 7 as the Company), from and against any loss,
claim, damage or liability, joint or several, or any action in
respect thereof, to which the Company may become subject, whether
commenced or threatened, under the Securities Act, the Exchange
Act, any other federal or state statutory law or regulation, at
common law or otherwise, insofar as such loss, claim, damage,
liability or action arises out of, or is based upon, (i) any untrue
statement or alleged untrue statement of a material fact contained
in any such Shelf Registration Statement or any Prospectus forming
part thereof, or (ii) the omission or alleged omission to state
therein a material fact required to be stated therein or necessary
in order to make the statements therein (in the case of any
Prospectus, in the light of the circumstances under which they were
made) not misleading, but in each case only to the extent that the
untrue statement or alleged untrue statement or omission or alleged
omission was made in reliance upon and in conformity with any
information furnished to the Company in writing by such Notice
Holder expressly for use therein including its Notice and
Questionnaire, and shall reimburse the Company for any legal or
other expenses reasonably incurred by the Company in connection
with investigating or defending or preparing to defend against or
appearing as a third party witness in connection with any such
loss, claim, damage, liability or action as such expenses are
incurred; provided, however,
that no such Notice Holder shall be
liable for any indemnity claims hereunder in excess of the amount
of net proceeds received by such Notice Holder from the sale of
Registrable Securities pursuant to such Shelf Registration
Statement. This indemnity agreement will be in addition to any
liability which any such Notice Holder may otherwise
have.

 

(b) Promptly
after receipt by an indemnified party under this Section 6 of
notice of any claim or the commencement of any action, the
indemnified party shall, if a claim in respect thereof is to be
made against the indemnifying party pursuant to Section 6(a) or
6(b), notify the indemnifying party in writing of the claim or the
commencement of that action; provided, however,
that the failure to notify the
indemnifying party shall not relieve it from any liability that it
may have under this Section 6 except to the extent that it has been
materially prejudiced (through the forfeiture of substantive rights
or defenses) by such failure; and provided, further,
that the failure to notify the
indemnifying party shall not relieve it from any liability that it
may have to an indemnified party otherwise than under this Section
6. If any such claim or action shall be brought against an
indemnified party, and it shall notify the indemnifying party
thereof, the indemnifying party shall be entitled to participate
therein and, to the extent that it wishes, jointly with any other
similarly notified indemnifying party, to assume the defense
thereof with counsel reasonably satisfactory to the indemnified
party. After notice from the indemnifying party to the indemnified
party of its election to assume the defense of such claim or
action, the indemnifying party shall not be liable to the
indemnified party under this Section 6 for any legal or other
expenses subsequently incurred by the indemnified party in
connection with the defense thereof other than the reasonable costs
of investigation; provided, however,
that an indemnified party shall have
the right to employ its own counsel in any such action, but the
fees, expenses and other charges of such counsel for the
indemnified party will be at the expense of such indemnified party
unless (1) the employment of counsel by the indemnified party has
been authorized in writing by the indemnifying party, (2) the
indemnified party has reasonably concluded (based upon advice of
counsel to the indemnified party) that there may be legal defenses
available to it or other indemnified parties that are different
from or in addition to those available to the indemnifying party,
(3) a conflict or potential conflict exists (based upon advice of
counsel to the indemnified party) between the indemnified party and
the indemnifying party (in which case the indemnifying party will
not have the right to direct the defense of such action on behalf
of the indemnified party) or (4) the indemnifying party has not in
fact employed counsel reasonably satisfactory to the indemnified
party to assume the defense of such action within a reasonable time
after receiving notice of the commencement of the action, in each
of which cases the reasonable fees, disbursements and other charges
of counsel will be at the expense of the indemnifying party or
parties. It is understood that the indemnifying party or parties
shall not, in connection with any proceeding or related proceedings
in the same jurisdiction, be liable for the reasonable fees,
disbursements and other charges of more than one separate firm of
attorneys (in addition to any local counsel) at any one time for
all such indemnified party or parties. Each indemnified party, as a
condition of the indemnity agreements contained in Sections 6(a)
and 6(b), shall use its reasonable efforts to cooperate with the
indemnifying party in the defense of any such action or claim. No
indemnifying party shall be liable for any settlement of any such
action effected without its written consent (which consent shall
not be unreasonably withheld), but if settled with its written
consent or if there be a final judgment for the plaintiff in any
such action, the indemnifying party agrees to indemnify and hold
harmless any indemnified party from and against any loss or
liability by reason of such settlement or judgment. Notwithstanding
the foregoing sentence, if at any time an indemnified party shall
have requested an indemnifying party to reimburse the indemnified
party for fees and expenses or counsel as contemplated by this
section, the indemnifying party agrees that it shall be liable for
any settlement of any proceeding effected without its written
consent if (i) such settlement is entered into more than 45 days
after receipt by such indemnifying party of a request in writing
setting forth proposed settlement terms from the indemnified party
and (ii) such indemnifying party shall not have reimbursed the
indemnified party in accordance with the aforesaid request prior to
the date of such settlement. No indemnifying party shall, without
the prior written consent of the indemnified party (which consent
shall not be unreasonably withheld), effect any settlement of any
pending or threatened proceeding in respect of which any
indemnified party is or could have been a party and indemnity could
have been sought hereunder by such indemnified party, unless such
settlement (i) includes an unconditional release of such
indemnified party from all liability on claims that are the subject
matter of such proceeding and (ii) does not include a statement or
admission of fault, culpability or a failure to act, by or on
behalf of the indemnified party.

 

12

 

 

(d)           The
provisions of this Section 6 and Section 7 shall remain in full
force and effect, regardless of any investigation made by or on
behalf of any Notice Holder, the Company, or any of the indemnified
Persons referred to in this Section 6 and Section 7, and shall
survive the sale by a Notice Holder of Registrable Securities
covered by the Shelf Registration Statement.

 

7. Contribution.

 

If the indemnification provided for in Section 6
is unavailable or insufficient to hold harmless an indemnified
party under Section 6(a) or 6(b), then each indemnifying party
shall, in lieu of indemnifying such indemnified party, contribute
to the amount paid or payable by such indemnified party as a result
of such loss, claim, damage or liability, or action in respect
thereof, (i) in such proportion as shall be appropriate to reflect
the relative benefits received by the Company from the offering and
sale of the Notes, on the one hand, and a Holder with respect to
the sale by such Holder of Registrable Securities, on the other, or
(ii) if the allocation provided by clause (i) above is not
permitted by applicable law, in such proportion as is appropriate
to reflect not only the relative benefits referred to in clause (i)
above but also the relative fault of the Company on the one hand
and such Holder on the other with respect to the statements or
omissions that resulted in such loss, claim, damage or liability,
or action in respect thereof, as well as any other relevant
equitable considerations. The relative benefits received by the
Company on the one hand and a Holder on the other with respect to
such offering and such sale shall be deemed to be in the same
proportion as the total net proceeds from the offering of the Notes
(before deducting expenses) received by or on behalf of the
Company, on the one hand, and the total net proceeds (before
deducting expenses) received by such Holder upon a resale of the
Registrable Securities, on the other, bear to the total gross
proceeds from the sale of all Registrable Securities pursuant to
the Shelf Registration Statement in the offering of the Registrable
Securities from which the contribution claim arises. The relative
fault 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 a material fact
relates to the Company or information supplied by the Company on
the one hand or to any informationcontained in the relevant Notice
and Questionnaire supplied by such Holder on the other, the intent
of the parties and their relative knowledge, access to information
and opportunity to correct or prevent such untrue statement or
omission. The Notice Holders’ respective obligations to
contribute pursuant to this Section 7 are several in proportion to
the respective number of Registrable Securities they have sold
pursuant to the Shelf Registration Statement and not joint. The
parties hereto agree that it would not be just and equitable if
contributions pursuant to this Section 7 were to be determined
by pro
rata allocation or by any other
method of allocation that does not take into account the equitable
considerations referred to herein. The amount paid or payable by an
indemnified party as a result of the loss, claim, damage or
liability, or action in respect thereof, referred to above in this
Section 7 shall be deemed to include, for purposes of this Section
7, any legal or other expenses reasonably incurred by such
indemnified party in connection with investigating or defending or
preparing to defend any such action or claim. Notwithstanding the
provisions of this Section 7, an indemnifying party that is a
Holder shall not be required to contribute any amount in excess of
the amount by which the total price at which the Registrable
Securities sold by such indemnifying party to any purchaser exceeds
the amount of any damages which such indemnifying party has
otherwise paid or become liable to pay by reason of any 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 Securities Act) shall be entitled to
contribution from any Person who was not guilty of such fraudulent
misrepresentation.

 

8. Information
Requirements.

 

The
Company covenants that, if at any time before the end of the
Effective Period the Company is not subject to the reporting
requirements of the Exchange Act, it will cooperate with any Holder
and take such further customary action as any Holder may reasonably
request in writing (including, without limitation, making such
representations as any such Holder may reasonably request), all to
the extent required from time to time to enable such Holder to sell
Registrable Securities without registration under the Securities
Act within the limitation of the exemptions provided by Rule 144
and Rule 144A under the Securities Act and customarily taken in
connection with sales pursuant to such exemptions. Upon the written
request of any Holder, the Company shall deliver to such Holder a
written statement as to whether it has complied with such filing
requirements, unless such a statement has been included in the
Company’s most recent report filed pursuant to Section 13 or
Section 15(d) of Exchange Act. Notwithstanding the foregoing,
nothing in this Section 8 shall be deemed to require the Company to
register any of its securities under any section of the Exchange
Act.

 

9. Miscellaneous.

 

(a)           Amendments
and Waivers. The provisions of
this Agreement may not be amended, modified or supplemented, and
waivers or consents to departures from the provisions hereof may
not be given, unless the Company has obtained the written consent
of the Majority Holders. Notwithstanding the foregoing, a waiver or
consent to depart from the provisions hereof with respect to a
matter that relates exclusively to the rights of Holders whose
Registrable Securities are being sold pursuant to the Shelf
Registration Statement and that does not directly or indirectly
affect the rights of other Holders may be given by Holders of a
majority in aggregate amount of the Registrable Securities being
sold by such Holders pursuant to the Shelf Registration
Statement; provided that such aggregate amount, with respect to such
Registrable Securities that are Notes will be based on the
aggregate principal amount of such Notes that are Registrable
Securities, and with respect to such Registrable Securities that
are Shares, will be based on the average of the Last Reported Sale
Prices of the Company’s Common Stock for each of five
consecutive trading days ending on a date chosen by the Company in
a reasonable manner to effect the intent of this Agreement
multiplied by the number of such Registrable Securities that are
Shares. Notwithstanding the foregoing sentence, (i) this Agreement
may be amended by written agreement signed by the Company and the
Initial Purchaser, without the consent of the Holders, to cure any
ambiguity or to correct or supplement any provision contained
herein that may be defective or inconsistent with any other
provision contained herein, or to make such other provisions in
regard to matters or questions arising under this Agreement that
shall not adversely affect the interests of the Holders. Each
Holder at the time of any such amendment, modification, supplement,
waiver or consent or thereafter shall be bound by any such
amendment, modification, supplement, waiver or consent effected
pursuant to this Section 9(a), whether or not any notice, writing
or marking indicating such amendment, modification, supplement,
waiver or consent appears on the Registrable Securities or is
delivered to such Holder.

 

13

 

(b)           Notices.
All notices and other communications provided for or permitted
hereunder shall be made in writing by hand-delivery, first-class
mail, telecopier or air courier guaranteeing next-day
delivery:

 

(1) If
to the Company, initially at the address set forth in the
Indenture;

 

(2) If
to the Initial Purchaser, initially at c/o JMP Securities, 600
Montgomery Street, Suite 1100, San Francisco, CA 94111 (fax: (212)
906-3551); Attention: Forrest Koenig, with a copy to General
Counsel and Goodwin Procter LLP, 100 Northern Avenue, Boston, MA
02210, Attention: James Barri; and

 

(3) If
to a Holder, to the address of such Holder set forth in the
register (described in Section 2.06 of the Indenture), the Notice
and Questionnaire or other records of the Company.

 

All
such notices and communications shall be deemed to have been duly
given: when delivered by hand, if personally delivered; one (1)
Business Day after being delivered to a next-day air courier; five
(5) Business Days after being deposited in the mail, if being
delivered by first-class mail; and when receipt is acknowledged by
the recipient’s telecopier machine, if sent by
telecopier.

 

Notwithstanding
the foregoing, the notice required pursuant to Section 3(a)(i)
shall be given in the same manner that notices are required to be
delivered to holders of Notes pursuant to the
Indenture.

 

(c)           Successors
and Assigns. This Agreement
shall be binding upon the Company and each of its successors and
assigns. Any Person who purchases any Securities from any Initial
Purchaser shall be deemed, for purposes of this Agreement, to be an
assignee of such Initial Purchaser. This Agreement shall inure to
the benefit of and be binding upon the successors and assigns of
each of the parties and shall inure to the benefit of and be
binding upon each Holder, provided that
nothing herein shall be deemed to
permit any assignment, transfer or other disposition of Registrable
Securities in violation of the terms of the Indenture. If any
transferee of any Holder shall acquire Registrable Securities, in
any manner, whether by operation of law or otherwise, such
Registrable Securities shall be held subject to all of the terms of
this Agreement, and by taking and holding such Registrable
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 and such Person shall be entitled to receive the
benefits hereof.

 

(d)            Counterparts.
This Agreement may be executed in any number of counterparts (which
may be delivered in original form or by telecopier) 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.

 

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

 

(f)            Governing
Law. THIS AGREEMENT SHALL BE
DEEMED TO BE A CONTRACT MADE UNDER THE LAWS OF NEW YORK, AND FOR
ALL PURPOSES SHALL BE CONSTRUED IN ACCORDANCE WITH THE LAWS OF NEW
YORK (WITHOUT REGARD TO THE CONFLICTS OF LAWS PROVISIONS
THEREOF).

 

(g)            Remedies.
In the event of a breach by the Company or by any Holder of any of
their respective obligations under this Agreement, each Holder or
the Company, as the case may be, in addition to being entitled to
exercise all rights granted by law, including recovery of damages
(other than the recovery of damages for a breach by the Company of
its obligations under Section 3 hereof for which Additional
Interest has been paid pursuant to Section 2 hereof), will be
entitled to specific performance of its rights under this
Agreement. The Company and each Holder agree that monetary damages
would not be adequate compensation for any loss incurred by reason
of a breach by it of any of the provisions of this Agreement and
hereby further agree that, in the event of any action for specific
performance in respect of such breach, it shall waive the defense
that a remedy at law would be adequate.

 

(h)            No
Inconsistent Agreements. The
Company represents, warrants and agrees that (i) it has not entered
into and shall not on or after the date of this Agreement enter
into any agreement that is inconsistent with the rights granted to
the Holders in this Agreement or otherwise conflicts with the
provisions hereof, (ii) it has not previously entered into any
agreement which remains in effect and does not currently
contemplate entering into any agreement granting any registration
rights with respect to any of its debt securities to any Person
other than this Agreement and (iii) without limiting the generality
of the foregoing, without the written consent of the Majority
Holders, it shall not grant to any Person the right to request the
Company to register any securities of the Company under the
Securities Act unless the rights so granted are not in conflict or
inconsistent with the provisions of this
Agreement.

 

14

 

 

(i)            Piggyback
on Registrations. The Company
may grant registration rights that would permit any person that is
a third party the right to piggyback on any Shelf Registration
Statement, provided that if the managing underwriter, if any, of
any underwritten offering conducted pursuant to Section 4(c) hereof
notifies the Company that the total amount of securities which the
Notice Holders and the holders of such piggyback rights intend to
include in any Shelf Registration Statement is so large as to
materially threaten the success of such offering (including the
price at which such securities can be sold), then the amount,
number or kind of securities to be offered for the account of
holders of such piggyback rights will be reduced to the extent
necessary to reduce the total amount of securities to be included
in such offering to the amount, number and kind recommended by the
managing underwriter prior to any reduction in the amount of
Registrable Securities to be included in such Shelf Registration
Statement; provided that it would not be a default under the
agreements granting such piggyback rights to make such reduction;
provided further that to the extent it would be such a default
under any such agreement to make such reduction, the Company will
use its commercially reasonable efforts to obtain appropriate
waivers.

 

(j)            Severability.
The remedies provided herein are cumulative and not exclusive of
any remedies provided by law. If any term, provision, covenant or
restriction of this Agreement is held by a court of competent
jurisdiction to be invalid, illegal, void or unenforceable, the
remainder of the terms, provisions, covenants and restrictions set
forth herein shall remain in full force and effect and shall in no
way be affected, impaired or invalidated, and the parties hereto
shall use their commercially reasonable efforts to find and employ
an alternative means to achieve the same or substantially the same
result as that contemplated by such term, provision, covenant or
restriction. It is hereby stipulated and declared to be the
intention of the parties that they would have executed the
remaining terms, provisions, covenants and restrictions without
including any term, provision, covenant or restriction that may be
hereafter declared invalid, illegal, void or
unenforceable.

 

(k)            Survival.
The respective indemnities, agreements, representations, warranties
and each other provision set forth in this Agreement or made
pursuant hereto shall remain in full force and effect regardless of
any investigation (or statement as to the results thereof) made by
or on behalf of any Holder, any director, officer or partner of
such Holder, any agent or underwriter or any director, officer or
partner thereof, or any controlling Person of any of the foregoing,
and shall survive (x) the delivery and payment for the Notes
pursuant to the Purchase Agreement and (y) the transfer and
registration of Registrable Securities by holders of Registrable
Securities.

 

(l)            Securities
Held by the Company, etc. Whenever the consent or approval of Holders of a
specified percentage of Securities is required hereunder,
Securities held by the Company or its Affiliates (other than
subsequent Holders if such subsequent Holders are deemed to be
Affiliates solely by reason of their holdings of such Securities)
shall not be counted in determining whether such consent or
approval was given by the Holders of such required
percentage.

 

 15

 

 

If
the foregoing is in accordance with your understanding of our
agreement, kindly sign and return to us a counterpart hereof,
whereupon this instrument will become a binding agreement between
the Company and the Initial Purchaser in accordance with its
terms.

 

	

 

	
Very
truly yours,

	

 

	

 

	
 

	

 

	

 

	
RUMBLEON,
INC.

	

 

	

 

	

 

	

 

	

 

	

	
By:  

	
/s/ Steven R. Berrard

	

 

	

 

	

 

	
Steven R. Berrard

	

 

	

 

	

 

	

Chief Financial
Officer

	

 

 

 

	
  Accepted:  

	

May 14, 2019  

	

 

	

 

	
 

	

 

	

 

	
JMP
SECURITIES LLC

	

 

	

 

	

 

	

 

	

 

	

	
By:  

	
/s/ Forrest Koenig

	

 

	

 

	

 

	
Forrest Koenig
 

	

 

	

 

	

 

	

Managing
Director  

	

 

 

16

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