Document:

Exhibit 10.2

 

This RESTRICTED
STOCK AGREEMENT is entered into as of                ,
20     (the “Grant Date”),
between BED BATH & BEYOND INC. (the “Company”)
and                                
(“you”).

 

1.               Restricted Stock
Grant.  Subject to
the restrictions, terms and conditions of the Plan and this Agreement, the
Company hereby awards you the number of shares of Common Stock specified in
paragraph 7 below.  The shares are
subject to certain restrictions as set forth in the Plan and this
Agreement.  Until vested, the shares are
referred to herein as “Restricted Stock.”

 

2.               The Plan.  The Restricted Stock is entirely subject to
the terms of the Company’s 2004 Incentive Compensation Plan (the “Plan”).  A description of key terms of the Plan is set
forth in the Prospectus for the Plan. 
Capitalized terms used but not defined in this Agreement have the
meanings set forth in the Plan.

 

3.               Restrictions on
Transfer. 
You will not sell, transfer, pledge, hypothecate, assign or otherwise
dispose of (any such action, a “Transfer”) the Restricted Stock, except as set
forth in the Plan or this Agreement.  Any
attempted Transfer in violation of the Plan or this Agreement will be void and
of no effect.

 

4.               Forfeiture.  Except as provided in this paragraph, upon
your Termination or the failure to attain the performance goal discussed in
paragraph 7 below, all unvested Restricted Stock shall immediately be forfeited
without compensation.  Notwithstanding
anything herein to the contrary, the Restricted Stock will vest in full upon a
Termination by reason of your death or Disability.  In the event of your Termination by the
Company without Cause or, if provided in an agreement between you and the
Company in effect as of the Grant Date, by you for Good Reason or due to a
Constructive Termination without Cause, as each such term (or concept of like
import) is defined in that agreement, the Restricted Stock will vest upon, and
subject to, the certification by the Committee of attainment of the performance
goal discussed in paragraph 7 below regardless of whether or not you are
employed on the date of certification. 
If you have been granted Company stock options that are subject to
accelerated vesting upon a “Change in Control” as defined in an employment
agreement between you and the Company in effect as of the Grant Date, your
Restricted Stock will also vest in full upon a Change in Control (as defined in
that agreement).

 

5.               Retention of
Certificates. 
Promptly after the Grant Date, the Company will recognize your ownership
of the Restricted Stock through uncertificated book entry, another similar
method, or issuance of stock certificates representing the Restricted
Stock.  Any stock certificates will be
registered in your name, bear any legend that the Committee deems appropriate
to reflect any restrictions on Transfer, and be held in custody by the Company
or its designated agent until the Restricted Stock vests.  If requested by the Company, you will deliver
to the Company a duly signed stock power, endorsed in blank, relating to the
Restricted Stock.  If you receive a
dividend (whether in cash or stock) on the Restricted Stock, the Restricted
Stock shares are split, or you receive other shares, securities, monies,
warrants, rights, options or property representing a dividend or distribution
in respect of the Restricted Stock, you will immediately deposit with the
Company, or the Company will retain, any such rights or property (including
cash or any certificates representing shares duly endorsed in blank or
accompanied by stock powers duly endorsed in blank), which shall be subject to
the same restrictions as the Restricted Stock and be encompassed within the
term “Restricted Stock” as used herein.

 

6.               Rights with
Regard to Restricted Stock.  On and after the Grant Date, you will have
the right to vote the Restricted Stock and to exercise all other rights, powers
and privileges of a holder of Common Stock with respect to the Restricted Stock
set forth in the Plan, except:  (i) you
will not be entitled to delivery of any unvested Restricted Stock, and the
Company (or its designated agent) will retain custody of any such shares; (ii) no
part of the Restricted Stock will bear interest or be segregated in separate
accounts; and (iii) you may not Transfer any unvested Restricted Stock.

 

1

 

7.               Grant Size;
Vesting Schedule; Performance Goal.  Restricted Stock covered by this Award:                           
shares (representing $              ,
valued at the Grant Date).  The
performance goal applicable to the Restricted Stock has been set forth in a
resolution by an appropriate Board-level committee and separately communicated
to you.  Except in the case of death,
Disability, or to the extent applicable, Change in Control as provided in paragraph
4 above, your vesting in any portion of the Restricted Stock is contingent on
attainment of the performance goal before the first Vesting Date (and, if
required under Section 162(m) of the Code, on subsequent
certification of that attainment by the Committee).  In the event the performance goal is not
attained during the time period described above, all of the Restricted Stock
shall be forfeited without compensation. 
Subject to the attainment of the performance goal (and, if required, the
subsequent certification described above), the vesting schedule applicable to
the Restricted Stock is as follows:

 

	
  Vesting Date

  	
   

  	
  Percent Vested

  	
   

  
	
  Later
  of (x) [3rd] anniversary of Grant Date and (y) if such anniversary
  falls within a scheduled blackout period to which you are subject (“SBP”), the date of expiration of the SBP (“DESBP”)

  	
   

  	
  [20%

  	
   

  
	
  Later
  of (x) [4th] anniversary of Grant Date and (y) DESBP

  	
   

  	
  20%

  	
   

  
	
  Later
  of (x) [5th] anniversary of Grant Date and (y) DESBP

  	
   

  	
  20%

  	
   

  
	
  Later
  of (x) [6th] anniversary of Grant Date and (y) DESBP

  	
   

  	
  20%

  	
   

  
	
  Later
  of (x) [7th] anniversary of Grant Date and (y) DESBP

  	
   

  	
  20%]

  	
   

  

 

Restricted Stock that
vests will cease to be Restricted Stock (but will remain subject to the terms
of the Plan).  The number of shares to
which you become entitled on vesting shall be subject to reduction by the
Company, at its option, to cover the applicable minimum statutorily required
withholding obligation.  Fractional
shares shall not vest but shall instead be accumulated for vesting as whole
shares in accordance with Company policy, with full vesting scheduled to occur
no later than the final Vesting Date. 
All unscheduled blackout periods (each, a “UBP”) and SBPs are determined
by the Company.  If a Vesting Date occurs
during a UBP to which you are subject, (i) you will vest in the applicable
shares on the applicable Vesting Date, but (ii) you will be unable to sell
your shares (net of any shares withheld at the Company’s option to pay minimum
required taxes) until the later of (x) the expiration of the UBP, or (y) in
the event the expiration of the UBP falls within a SBP, the immediately
following DESBP.

 

All vesting will occur
only on the appropriate Vesting Dates, with no proportionate or partial vesting
in the period prior to any such date. 
Except as otherwise provided in the preceding paragraph, when any
Restricted Stock becomes vested, the Company (unless it determines a delay is
required under applicable law or rules) will promptly issue and deliver to you
a stock certificate registered in your name or will promptly recognize
ownership of your shares through uncertificated book entry or another similar
method, subject to applicable federal, state and local tax withholding in a
manner acceptable to the Committee.  You
will be permitted to transfer shares of Restricted Stock following the
expiration of the Restriction Period, but only to the extent permitted by
applicable law.

 

8.               Notice.  Any notice or communication to the Company
concerning the Restricted Stock must be in writing and delivered in person, or
by U.S. mail, to the following address (or another address specified by the
Company): Bed Bath & Beyond Inc., Finance Department — Stock
Administration, 650 Liberty Avenue, Union, New Jersey  07083.  In accordance with the Plan, you must deliver
an executed copy of this Agreement to the Company.

 

 

	
  BED BATH &
  BEYOND INC.

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
   

  	
   

  	
   

  
	
   

  	
  An Authorized Officer

  	
   

  	
  Restricted Stock
  Recipient (You)

  

 

2Exhibit
4.1

 

 

INDENTURE

 

Dated as of July 6, 2009

 

Among

 

HUNTSMAN INTERNATIONAL LLC, as Issuer,

 

each of the Guarantors named herein

 

and

 

Wilmington Trust FSB, as Trustee

 

 

$600,000,000

 

5 1/2 % Senior Notes due 2016

 

 

 

TABLE OF CONTENTS

 

	
   

  	
   

  	
  Page

  
	
   

  	
   

  	
   

  
	
  ARTICLE I

  
	
  DEFINITIONS AND INCORPORATION BY REFERENCE

  
	
   

  	
   

  	
   

  
	
  Section 1.01

  	
  Definitions

  	
  1

  
	
  Section 1.02

  	
  Incorporation by Reference of TIA

  	
  27

  
	
  Section 1.03

  	
  Rules of Construction

  	
  27

  
	
   

  	
   

  	
   

  
	
  ARTICLE II

  
	
  THE NOTES

  
	
   

  	
   

  	
   

  
	
  Section 2.01

  	
  Form and Dating

  	
  28

  
	
  Section 2.02

  	
  Execution and Authentication; Aggregate Principal Amount

  	
  29

  
	
  Section 2.03

  	
  Registrar and Paying Agent

  	
  29

  
	
  Section 2.04

  	
  Paying Agent To Hold Assets in Trust

  	
  30

  
	
  Section 2.05

  	
  Holder Lists

  	
  30

  
	
  Section 2.06

  	
  Transfer and Exchange

  	
  30

  
	
  Section 2.07

  	
  Replacement Notes

  	
  31

  
	
  Section 2.08

  	
  Outstanding Notes

  	
  31

  
	
  Section 2.09

  	
  Treasury Notes

  	
  32

  
	
  Section 2.10

  	
  [Intentionally Omitted]

  	
  32

  
	
  Section 2.11

  	
  Cancellation

  	
  32

  
	
  Section 2.12

  	
  Defaulted Interest

  	
  32

  
	
  Section 2.13

  	
  CUSIP Numbers

  	
  33

  
	
  Section 2.14

  	
  Deposit of Moneys

  	
  33

  
	
  Section 2.15

  	
  Book-Entry Provisions for Global Securities

  	
  33

  
	
  Section 2.16

  	
  Transfer and Exchange of Securities

  	
  34

  
	
  Section 2.17

  	
  Special Transfer Provisions

  	
  37

  
	
  Section 2.18

  	
  Issuance of Additional Notes

  	
  37

  
	
   

  	
   

  	
   

  
	
  ARTICLE III

  
	
  REDEMPTION

  
	
   

  	
   

  	
   

  
	
  Section 3.01

  	
  Notices to Trustee

  	
  38

  
	
  Section 3.02

  	
  Selection of Notes To Be Redeemed

  	
  38

  
	
  Section 3.03

  	
  Notice of Redemption

  	
  38

  
	
  Section 3.04

  	
  Effect of Notice of Redemption

  	
  39

  
	
  Section 3.05

  	
  Deposit of Redemption Price

  	
  40

  
	
  Section 3.06

  	
  Notes Redeemed in Part

  	
  40

  
				

 

i

 

	
  ARTICLE IV

  
	
  COVENANTS

  
	
   

  	
   

  	
   

  
	
  Section 4.01

  	
  Payment of Notes

  	
  40

  
	
  Section 4.02

  	
  Maintenance of Office or Agency

  	
  40

  
	
  Section 4.03

  	
  Limitation on Restricted Payments

  	
  40

  
	
  Section 4.04

  	
  Corporate Existence

  	
  42

  
	
  Section 4.05

  	
  Payment of Taxes and Other Claims

  	
  42

  
	
  Section 4.06

  	
  Maintenance of Properties and Insurance

  	
  42

  
	
  Section 4.07

  	
  Compliance Certificate; Notice of Default

  	
  43

  
	
  Section 4.08

  	
  Compliance with Laws

  	
  43

  
	
  Section 4.09

  	
  Reports to Holders

  	
  44

  
	
  Section 4.10

  	
  Waiver of Stay, Extension or Usury Laws

  	
  45

  
	
  Section 4.11

  	
  Limitations on Transactions with Affiliates

  	
  45

  
	
  Section 4.12

  	
  Limitation on Incurrence of Additional Indebtedness

  	
  46

  
	
  Section 4.13

  	
  Limitation on Dividend and Other Payment Restrictions
  Affecting Subsidiaries

  	
  46

  
	
  Section 4.14

  	
  Change of Control

  	
  47

  
	
  Section 4.15

  	
  Limitation on Asset Sales

  	
  49

  
	
  Section 4.16

  	
  [Reserved]

  	
  53

  
	
  Section 4.17

  	
  Limitation on Preferred Stock of Restricted Subsidiaries

  	
  53

  
	
  Section 4.18

  	
  Limitation on Liens

  	
  53

  
	
  Section 4.19

  	
  Limitation of Guarantees by Restricted Subsidiaries

  	
  53

  
	
  Section 4.20

  	
  Conduct of Business

  	
  54

  
	
  Section 4.21

  	
  Covenant Termination

  	
  54

  
	
   

  	
   

  	
   

  
	
  ARTICLE V

  
	
  SUCCESSOR CORPORATION

  
	
   

  	
   

  	
   

  
	
  Section 5.01

  	
  Merger, Consolidation and Sale of Assets

  	
  54

  
	
  Section 5.02

  	
  Successor Corporation Substituted

  	
  56

  
	
   

  	
   

  	
   

  
	
  ARTICLE VI

  
	
  DEFAULT AND REMEDIES

  
	
   

  	
   

  	
   

  
	
  Section 6.01

  	
  Events of Default

  	
  56

  
	
  Section 6.02

  	
  Acceleration

  	
  57

  
	
  Section 6.03

  	
  Other Remedies

  	
  58

  
	
  Section 6.04

  	
  Waiver of Past Defaults

  	
  58

  
	
  Section 6.05

  	
  Control by Majority

  	
  58

  
	
  Section 6.06

  	
  Limitation on Suits

  	
  59

  
	
  Section 6.07

  	
  Rights of Holders To Receive Payment

  	
  59

  
	
  Section 6.08

  	
  Collection Suit by Trustee

  	
  59

  
	
  Section 6.09

  	
  Trustee May File Proofs of Claim

  	
  60

  
	
  Section 6.10

  	
  Priorities

  	
  60

  

 

ii

 

	
  Section 6.11

  	
  Undertaking for Costs

  	
  60

  
	
  Section 6.12

  	
  Expenses and Services After an Event of Default

  	
  61

  
	
   

  	
   

  	
   

  
	
  ARTICLE VII

  
	
  TRUSTEE

  
	
   

  	
   

  	
   

  
	
  Section 7.01

  	
  Duties of Trustee

  	
  61

  
	
  Section 7.02

  	
  Rights of Trustee

  	
  62

  
	
  Section 7.03

  	
  Individual Rights of Trustee

  	
  64

  
	
  Section 7.04

  	
  Trustee’s Disclaimer

  	
  64

  
	
  Section 7.05

  	
  Notice of Default

  	
  64

  
	
  Section 7.06

  	
  Reports by Trustee to Holders

  	
  64

  
	
  Section 7.07

  	
  Compensation and Indemnity

  	
  64

  
	
  Section 7.08

  	
  Replacement of Trustee

  	
  65

  
	
  Section 7.09

  	
  Successor Trustee by Merger, Etc.

  	
  66

  
	
  Section 7.10

  	
  Eligibility; Disqualification

  	
  67

  
	
  Section 7.11

  	
  Preferential Collection of Claims Against the Company

  	
  67

  
	
   

  	
   

  	
   

  
	
  ARTICLE VIII

  
	
  DISCHARGE OF INDENTURE; DEFEASANCE

  
	
   

  	
   

  	
   

  
	
  Section 8.01

  	
  Termination of the Company’s Obligations

  	
  67

  
	
  Section 8.02

  	
  Acknowledgment of Discharge by Trustee

  	
  69

  
	
  Section 8.03

  	
  Application of Trust Money

  	
  69

  
	
  Section 8.04

  	
  Repayment to the Company

  	
  70

  
	
  Section 8.05

  	
  Reinstatement

  	
  70

  
	
   

  	
   

  	
   

  
	
  ARTICLE IX

  
	
  AMENDMENTS, SUPPLEMENTS AND WAIVERS

  
	
   

  	
   

  	
   

  
	
  Section 9.01

  	
  Without Consent of Holders

  	
  70

  
	
  Section 9.02

  	
  With Consent of Holders

  	
  71

  
	
  Section 9.03

  	
  Compliance with TIA

  	
  72

  
	
  Section 9.04

  	
  Revocation and Effect of Consents

  	
  72

  
	
  Section 9.05

  	
  Notation on or Exchange of Notes

  	
  72

  
	
  Section 9.06

  	
  Trustee To Sign Amendments, Etc.

  	
  73

  
	
   

  	
   

  	
   

  
	
  ARTICLE X

  
	
  [RESERVED]

  
	
   

  	
   

  	
   

  
	
  ARTICLE XI

  
	
  GUARANTEE OF NOTES

  
	
   

  	
   

  	
   

  
	
  Section 11.01

  	
  Unconditional
  Guarantee

  	
  73

  

 

iii

 

	
  Section 11.02

  	
  Limitations on Guarantees

  	
  74

  
	
  Section 11.03

  	
  Execution and Delivery of Guarantee

  	
  74

  
	
  Section 11.04

  	
  Release of a Guarantor

  	
  75

  
	
  Section 11.05

  	
  Waiver of Subrogation

  	
  76

  
	
  Section 11.06

  	
  Immediate Payment

  	
  76

  
	
  Section 11.07

  	
  No Set-Off

  	
  76

  
	
  Section 11.08

  	
  Obligations Absolute

  	
  76

  
	
  Section 11.09

  	
  Obligations Continuing

  	
  77

  
	
  Section 11.10

  	
  Obligations Not Reduced

  	
  77

  
	
  Section 11.11

  	
  Obligations Reinstated

  	
  77

  
	
  Section 11.12

  	
  Obligations Not Affected

  	
  77

  
	
  Section 11.13

  	
  Waiver

  	
  78

  
	
  Section 11.14

  	
  No Obligation To Take Action Against the Company

  	
  78

  
	
  Section 11.15

  	
  Dealing with the Company and Others

  	
  78

  
	
  Section 11.16

  	
  Default and Enforcement

  	
  79

  
	
  Section 11.17

  	
  Amendment, Etc.

  	
  79

  
	
  Section 11.18

  	
  Acknowledgment

  	
  79

  
	
  Section 11.19

  	
  Costs and Expenses

  	
  79

  
	
  Section 11.20

  	
  No Waiver; Cumulative Remedies

  	
  79

  
	
  Section 11.21

  	
  Guarantee in Addition to Other Obligations

  	
  80

  
	
  Section 11.22

  	
  Severability

  	
  80

  
	
  Section 11.23

  	
  Successors and Assigns

  	
  80

  
	
   

  	
   

  	
   

  
	
  ARTICLE XII

  
	
  [RESERVED]

  
	
   

  	
   

  	
   

  
	
  ARTICLE XIII

  
	
  MISCELLANEOUS

  
	
   

  	
   

  	
   

  
	
  Section 13.01

  	
  TIA Controls

  	
  80

  
	
  Section 13.02

  	
  Notices

  	
  80

  
	
  Section 13.03

  	
  Communications by Holders with Other Holders

  	
  81

  
	
  Section 13.04

  	
  Certificate and Opinion as to Conditions Precedent

  	
  81

  
	
  Section 13.05

  	
  Statements Required in Certificate or Opinion

  	
  81

  
	
  Section 13.06

  	
  Rules by Trustee, Paying Agent, Registrar

  	
  82

  
	
  Section 13.07

  	
  Legal Holidays

  	
  82

  
	
  Section 13.08

  	
  Governing Law

  	
  82

  
	
  Section 13.09

  	
  No Adverse Interpretation of Other Agreements

  	
  82

  
	
  Section 13.10

  	
  No Recourse Against Others

  	
  82

  
	
  Section 13.11

  	
  Successors

  	
  82

  
	
  Section 13.12

  	
  Duplicate Originals

  	
  83

  
	
  Section 13.13

  	
  Severability

  	
  83

  
	
  Section 13.14

  	
  Independence
  of Covenants

  	
  83

  

 

iv

 

	
  Exhibit A

  	
  –

  	
  Form of Note

  
	
  Exhibit B

  	
  –

  	
  Form of Legend for Global Notes

  
	
  Exhibit C

  	
  –

  	
  Form of Transfer Certificates

  
	
  Exhibit D

  	
  –

  	
  Form of IAI Transfer Certificate

  
	
  Exhibit E

  	
  –

  	
  Form of Guarantee

  

 

Note:  This Table of Contents shall not, for any
purpose, be deemed to be part of this Indenture.

 

v

 

INDENTURE, dated as of July 6,
2009, among HUNTSMAN INTERNATIONAL LLC, a Delaware limited liability company
(the “Company”), each of the Guarantors named herein, as guarantors, and
Wilmington Trust FSB, a federal savings bank, as trustee (the “Trustee”).

 

The Company has duly
authorized the creation of an issue of 5 1/2 % Senior Notes due 2016 (the “Notes”).  All things necessary to make the Notes, when
duly issued and executed by the Company and authenticated and delivered hereunder,
the valid and binding obligations of the Company and to make this Indenture a
valid and binding agreement of the Company have been done.

 

Each party hereto agrees as
follows for the benefit of the other parties and for the equal and ratable benefit
of the Holders of the Notes:

 

ARTICLE I

DEFINITIONS AND INCORPORATION BY REFERENCE

 

Section 1.01           Definitions.

 

“Acceleration Notice” has
the meaning provided in Section 6.02(a).

 

“Acquired Indebtedness”
means Indebtedness of a Person or any of its Subsidiaries existing at the time
such Person becomes a Restricted Subsidiary of the Company or at the time it
merges or consolidates with the Company or any of its Restricted Subsidiaries
or assumed in connection with the acquisition of assets from such Person and in
each case not incurred by such Person in connection with, or in anticipation or
contemplation of, such Person becoming a Restricted Subsidiary of the Company
or such acquisition, merger or consolidation, except for Indebtedness of a
Person or any of its Subsidiaries that is repaid at the time such Person
becomes a Restricted Subsidiary of the Company or at the time it merges or
consolidates with the Company or any of its Restricted Subsidiaries.

 

“Additional Notes” means
Notes (other than the Initial Notes and other than Exchange Notes issued
pursuant to an exchange offer for such Initial Notes under this Indenture or
issuances under Section 2.07 or 2.16) issued under this Indenture from
time to time in accordance with Sections 2.01, 2.02, 2.18 and 4.12 hereof.

 

“Affiliate” means, with
respect to any specified Person, any other Person who directly or indirectly
through one or more intermediaries controls, or is controlled by, or is under
common control with, such specified Person. 
The term “control” means the possession, directly or indirectly, of the
power to direct or cause the direction of the management and policies of a
Person, whether through the ownership of voting securities, by contract or
otherwise; and the terms “controlling” and “controlled” have meanings
correlative of the foregoing; provided, however, that none of the
Initial Purchasers or their Affiliates shall be deemed to be an Affiliate of
the Company.

 

“Affiliate Transaction” has
the meaning provided in Section 4.11(a).

 

“Agent” means any Registrar,
Paying Agent or Co-Registrar.

 

 

“Agent Member” means any
member of, or participant in, the Depositary.

 

“Applicable Procedures” has
the meaning provided in Section 2.16(a)(ii).

 

“Asset Acquisition” means (a) an
Investment by the Company or any Restricted Subsidiary of the Company in any
other Person pursuant to which such Person shall become a Restricted Subsidiary
of the Company or of any Restricted Subsidiary of the Company, or shall be
merged with or into the Company or any Restricted Subsidiary of the Company, or
(b) the acquisition by the Company or any Restricted Subsidiary of the
Company of the assets of any Person (other than a Restricted Subsidiary of the
Company) which constitute all or substantially all of the assets of such Person
or comprises any division or line of business of such Person or any other
properties or assets of such Person other than in the ordinary course of
business.

 

“Asset Sale” means any
direct or indirect sale, issuance, conveyance, transfer, lease (other than
operating leases entered into in the ordinary course of business), assignment
or other transfer for value by the Company or any of its Restricted
Subsidiaries (including any Sale and Leaseback Transaction) to any Person other
than the Company or a Restricted Subsidiary of the Company of (a) any
Capital Stock of any Restricted Subsidiary of the Company; or (b) any
other property or assets of the Company or any Restricted Subsidiary of the
Company other than in the ordinary course of business; provided, however,
that Asset Sales shall not include (i) a transaction or series of related
transactions for which the Company or its Restricted Subsidiaries receive
aggregate consideration of less than $50 million, (ii) sales, pledges,
conveyances or other transfers of accounts receivable or participations or
other interests therein and related assets (including contract rights) of the
type specified in the definition of “Qualified Securitization Transaction”
directly or indirectly to a Securitization Entity for the Fair Market Value
thereof, (iii) sales or grants of licenses to use the patents, trade
secrets, know-how and other intellectual property of the Company or any of its
Restricted Subsidiaries to the extent that such license does not prohibit the
Company or any of its Restricted Subsidiaries from using the technologies
licensed or require the Company or any of its Restricted Subsidiaries to pay
any fees for any such use, (iv) the sale, lease, conveyance, disposition
or other transfer (A) of all or substantially all of the assets of the
Company as permitted under Section 5.01, (B) of any Capital Stock or
other ownership interest in or assets or property of an Unrestricted Subsidiary
or a Person which is not a Subsidiary, (C) pursuant to any foreclosure of
assets or other remedy provided by applicable law to a creditor of the Company
or any Subsidiary of the Company with a Lien on such assets, which Lien is
permitted under this Indenture; provided that such foreclosure or other
remedy is conducted in a commercially reasonable manner or in accordance with
any bankruptcy law, (D) involving only Cash Equivalents, Foreign Cash
Equivalents or inventory in the ordinary course of business or obsolete or worn
out property or property that is no longer useful in the conduct of the
business of the Company or its Restricted Subsidiaries in the ordinary course
of business consistent with past practices of the Company or such Restricted
Subsidiaries or (E) including only the lease or sublease of any real or
personal property in the ordinary course of business, (v) the consummation
of any transaction in accordance with the terms of Sections 4.03 and 5.01
hereof and (vi) Permitted Investments.

 

“Bankruptcy Law” means Title
11, United States Code or any similar federal, state or 

 

2

 

foreign law for the relief
of debtors.

 

“Board of Managers” means,
as to any Person, the board of managers, the board of directors or other similar
body of such Person or any duly authorized committee thereof.

 

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

 

“Business Day” means a day
that is not a Saturday or Sunday or a day on which banking institutions in New
York, New York are not required to be open.

 

“Capital Stock” means (i) with
respect to any Person that is a corporation, any and all shares, interests,
participations or other equivalents (however designated and whether or not
voting) of corporate stock, including each class of Common Stock and Preferred
Stock of such Person and (ii) with respect to any Person that is not a
corporation, any and all partnership, membership or other equity interests of
such Person.

 

“Capitalized Lease” means a
lease that is required to be classified and accounted for as a capitalized
lease under GAAP.

 

“Capitalized Lease
Obligation” means, as to any Person, the obligations of such Person under a
lease that are required to be classified and accounted for as capital lease
obligations under GAAP and, for purposes of this definition, the amount of such
obligations at any date shall be the capitalized amount of such obligations at
such date, determined in accordance with GAAP.

 

“Cash Equivalents” means (i) a
marketable obligation, maturing within two years after issuance thereof, issued
or guaranteed by the United States of America or an instrumentality or agency
thereof, (ii) a certificate of deposit or banker’s acceptance, maturing
within one year after issuance thereof, issued by any lender under the Credit
Facilities, or a national or state bank or trust company or a European,
Canadian or Japanese bank, in each case having capital, surplus and undivided
profits of at least $100,000,000 and whose long-term unsecured debt has a
rating of “A” or better by S&P or A2 or better by Moody’s or the equivalent
rating by any other nationally recognized rating agency (provided that
the aggregate face amount of all Investments in certificates of deposit or
bankers’ acceptances issued by the principal offices of or branches of such
European or Japanese banks located outside the United States of America shall
not at any time exceed 33 1/3% of all Investments described in this
definition), (iii) open market commercial paper, maturing within 270 days
after issuance thereof, which has a rating of A1 or better by S&P or P1 or
better by Moody’s or the equivalent rating by any other nationally recognized
rating agency, (iv) repurchase agreements and reverse repurchase
agreements with a term not in excess of one year with any financial institution
which has been elected as a primary government securities dealer by the Federal
Reserve Board or whose securities are rated AA- or better by S&P or Aa3 or
better by Moody’s or the equivalent rating by any other nationally 

 

3

 

recognized rating agency
relating to marketable direct obligations issued or unconditionally guaranteed
by the United States of America or any agency or instrumentality thereof and
backed by the full faith and credit of the United States of America, (v) “Money
Market” preferred stock maturing within six months after issuance thereof or
municipal bonds issued by a corporation organized under the laws of any state
of the United States of America, which has a rating of “A” or better by S&P
or Moody’s or the equivalent rating by any other nationally recognized rating
agency, (vi) tax exempt floating rate option tender bonds backed by
letters of credit issued by a national or state bank whose long-term unsecured
debt has a rating of AA or better by S&P or Aa2 or better by Moody’s or the
equivalent rating by any other nationally recognized rating agency, and (vii) shares
of any money market mutual fund rated at least AAA or the equivalent thereof by
S&P or at least Aaa or the equivalent thereof by Moody’s or any other
mutual fund holding assets consisting (except for de minimis amounts) of the
type specified in clauses (i) through (vi) above.

 

“Change of Control” means (a) any
“person” or “group” (as such terms are used in Sections 13(d) and 14(d) of
the Exchange Act), other than Mr. Jon M. Huntsman, his spouse, direct
descendants, an entity controlled by any of the foregoing and/or by a trust of
the type described hereafter, and/or a trust for the benefit of any of the
foregoing (the “Huntsman Group”) or GOP, is or becomes the “beneficial owner”
(as defined in Rules 13d-3 and 13d-5 under the Exchange Act, except that a
Person shall be deemed to have “beneficial ownership” of all securities that
such Person has the right to acquire, whether such right is exercisable immediately
or only after the passage of time), directly or indirectly, of 35% or more of
the then outstanding voting capital stock of the Company other than in a
transaction having the approval of the Board of Managers of the Company at
least a majority of which members are Continuing Managers; or (b) Continuing
Managers shall cease to constitute at least a majority of the persons
constituting the Board of Managers of the Company.

 

“Change of Control Date” has
the meaning provided in Section 4.14(c).

 

“Change of Control Offer” has
the meaning provided in Section 4.14(a).

 

“Change of Control Payment
Date” has the meaning provided in Section 4.14.

 

“Clearing Agency” has
meaning provided in Section 2.15.

 

“Clearstream” shall mean
Clearstream Banking S.A.

 

“Commission” or “SEC” means
the Securities and Exchange Commission.

 

“Commodity Agreements” means
any commodity futures contract, commodity option or other similar agreement or
arrangement entered into by the Company or any of its Restricted Subsidiaries
designed to protect the Company or any of its Restricted Subsidiaries against
fluctuations in the price of commodities actually at that time used in the
ordinary course of business of the Company or its Restricted Subsidiaries.

 

4

 

“Common Stock” of any Person
means any and all shares, interests or other participations in, and other
equivalents (however designated and whether voting or non-voting) of such
Person’s common stock, whether outstanding on the Issue Date or issued after the
Issue Date, and includes, without limitation, all series and classes of such
common stock.

 

“Company” means the party
named as such in this Indenture until a successor replaces it pursuant to this
Indenture and thereafter means such successor.

 

“Company Order” means any
written order signed in the name of the Company by two of its Officers.

 

“Consolidated EBITDA” means,
with respect to any Person, for any period, the sum (without duplication) of (i) Consolidated
Net Income and (ii) to the extent Consolidated Net Income has been reduced
thereby, (A) all income taxes of such Person and its Restricted Subsidiaries
paid or accrued in accordance with GAAP for such period (other than income
taxes attributable to extraordinary, unusual or nonrecurring gains or losses or
taxes attributable to sales or dispositions outside the ordinary course of
business) and Permitted Tax Distributions paid during such period, (B) Consolidated
Interest Expense, (C) Consolidated Non-cash Charges less any non-cash
items increasing Consolidated Net Income for such period and (D) the
amount of net loss resulting from the payment of any premiums or similar
amounts that are required to be paid under the express terms of the instrument(s) governing
any Indebtedness of the Company upon the repayment or other extinguishment of
such Indebtedness by the Company in accordance with the express terms of such
Indebtedness, all as determined on a consolidated basis for such Person and its
Restricted Subsidiaries in accordance with GAAP.

 

“Consolidated Fixed Charge
Coverage Ratio” means, with respect to any Person, the ratio of Consolidated
EBITDA of such Person during the four full fiscal quarters for which financial
statements are available as provided pursuant to Section 4.09 (the “Four
Quarter Period”) ending on or prior to the date of the transaction giving rise
to the need to calculate the Consolidated Fixed Charge Coverage Ratio (the “Transaction
Date”) to Consolidated Fixed Charges of such Person for the Four Quarter
Period.  In addition to and without
limitation of the foregoing, for purposes of this definition, “Consolidated
EBITDA” and “Consolidated Fixed Charges” shall be calculated after giving
effect on a pro forma basis for the period of such calculation to (i) the
incurrence or repayment or other reduction or discharge of any Indebtedness of
such Person or any of its Restricted Subsidiaries (and the application of the
proceeds thereof) giving rise to the need to make such calculation and any
incurrence or repayment of other Indebtedness (and the application of the
proceeds thereof), other than the incurrence or repayment of Indebtedness in
the ordinary course of business for working capital purposes pursuant to
working capital facilities, occurring during the Four Quarter Period or at any
time subsequent to the last day of the Four Quarter Period and prior to the
Transaction Date, as if such incurrence or repayment, as the case may be (and
the application of the proceeds thereof), occurred on the first day of the Four
Quarter Period and (ii) any asset sales (other than asset sales (A) in
the ordinary course of business or (B) involving a nominal amount of gross
assets of less than $25 million) or Asset Acquisitions (including any Asset
Acquisition giving rise to the need to make such calculation) occurring during
the Four Quarter Period or at any time subsequent to the last day of the Four 

 

5

 

Quarter Period and on or
prior to the Transaction Date, as if such Asset Sale or Asset Acquisition
(including the incurrence, assumption or liability for any such Acquired
Indebtedness) occurred on the first day of the Four Quarter Period.  If such Person or any of its Restricted
Subsidiaries directly or indirectly guarantees Indebtedness of a Person other
than the Company or a Restricted Subsidiary, the preceding sentence shall give
effect to the incurrence of such guaranteed Indebtedness as if such Person or
any Restricted Subsidiary of such Person had directly incurred or otherwise
assumed such guaranteed Indebtedness. 
Furthermore, in calculating “Consolidated Fixed Charges” for purposes of
determining the denominator (but not the numerator) of this “Consolidated Fixed
Charge Coverage Ratio,” (1) interest on outstanding Indebtedness
determined on a fluctuating basis as of the Transaction Date and which will
continue to be so determined thereafter shall be deemed to have accrued at a
fixed rate per annum equal to the rate of interest on such Indebtedness in
effect on the Transaction Date; (2) if interest on any Indebtedness
actually incurred on the Transaction Date may optionally be determined at an
interest rate based upon a factor of a prime or similar rate, a eurocurrency
interbank offered rate, or other rates, then the interest rate in effect on the
Transaction Date will be deemed to have been in effect during the Four Quarter
Period; and (3) notwithstanding clause (1) above, interest on
Indebtedness determined on a fluctuating basis, to the extent such interest is
covered by agreements relating to Interest Swap Obligations, shall be deemed to
accrue at the rate per annum resulting after giving effect to the operation of
such agreements.

 

“Consolidated Fixed Charges”
means, with respect to any Person for any period, the sum, without duplication,
of (i) Consolidated Interest Expense, plus (ii) the product of (x) the
amount of all dividend payments on any series of Preferred Stock of such Person
and its Restricted Subsidiaries (other than dividends paid in Qualified Capital
Stock and other than dividends paid to such Person or to a Restricted
Subsidiary of such Person) paid, accrued or scheduled to be paid or accrued
during such period times (y) a fraction, the numerator of which is one and
the denominator of which is one minus the then current effective consolidated
federal, state and local tax rate of such Person, expressed as a decimal.

 

“Consolidated Interest
Expense” means, with respect to any Person for any period, the sum of, without
duplication:  (i) the aggregate of
the interest expense of such Person and its Restricted Subsidiaries for such
period determined on a consolidated basis in accordance with GAAP, including
without limitation, (a) any amortization of debt discount and amortization
or write-off of deferred financing costs, excluding such costs relating to
early retirement of debt, (b) the net costs under Interest Swap
Obligations, (c) all capitalized interest and (d) the interest
portion of any deferred payment obligation; and (ii) the interest
component of Capitalized Lease Obligations paid, accrued and/or scheduled to be
paid or accrued by such Person and its Restricted Subsidiaries during such
period as determined on a consolidated basis in accordance with GAAP.

 

“Consolidated Leverage Ratio”
means, for any Person, the ratio of (i) Indebtedness of such Person, and
its Restricted Subsidiary to (ii) Consolidated EBITDA of such Person
calculated as set forth in the definition of Consolidated Fixed Charge Coverage
Ratio.

 

“Consolidated Net Income”
means, with respect to any Person, for any period, the sum 

 

6

 

of:  (x) the aggregate net income (or loss)
of such Person and its Restricted Subsidiaries for such period on a
consolidated basis, determined in accordance with GAAP plus (y) cash dividends
or distributions paid to such Person or a Restricted Subsidiary of such Person
by any other Person (the “Payor”) other than a Restricted Subsidiary of the
referent Person, to the extent not otherwise included in Consolidated Net
Income, which have been derived from operating cash flow of the Payor; provided
that there shall be excluded therefrom (a) after-tax gains and losses from
Asset Sales or abandonments or reserves relating thereto, (b) after-tax
items classified as extraordinary or nonrecurring gains, (c) the net
income of any Person acquired in a “pooling of interests” transaction accrued
prior to the date it becomes a Restricted Subsidiary of the Person or is merged
or consolidated with the Person or any Restricted Subsidiary of the Person, (d) the
net income (but not loss) of any Restricted Subsidiary of the Person to the
extent that the declaration of dividends or similar distributions by that
Restricted Subsidiary of that income is restricted; provided, however,
that the net income of Foreign Subsidiaries shall only be excluded in any calculation
of Consolidated Net Income of the Company as a result of application of this
clause (d) if the restriction on dividends or similar distributions
results from consensual restrictions, (e) the net income or loss of any
Person, other than a Restricted Subsidiary of the Person, except to the extent
of cash dividends or distributions paid to the Person or to a Wholly Owned
Restricted Subsidiary of the Person by such Person, (f) any restoration to
income of any contingency reserve, except to the extent that provision for such
reserve was made out of Consolidated Net Income accrued at any time following June 30,
1999, (g) income or loss attributable to discontinued operations
(including, without limitation, operations disposed of during such period
whether or not such operations were classified as discontinued), (h) in
the case of a successor to the referent Person by consolidation or merger or as
a transferee of the referent Person’s assets, any earnings of the successor
corporation prior to such consolidation, merger or transfer of assets, (i) non-cash
charges relating to asset impairments, which charges do not require an accrual
of or a Reserve for cash charges for any future period, (j) all gains or
losses from the cumulative effect of any change in accounting principles and (k) the
net amount of all Permitted Tax Distributions made during such period.

 

“Consolidated Non-cash
Charges” means, with respect to any Person, for any period, the aggregate
depreciation, amortization and other non-cash charges of such Person and its
Restricted Subsidiaries reducing Consolidated Net Income of such Person and its
Restricted Subsidiaries for such period, determined on a consolidated basis in
accordance with GAAP (excluding any such charges constituting an extraordinary
item or loss or any such charge which requires an accrual of or a reserve for
cash charges for any future period).

 

“Continuing Managers” means,
as of any date, the collective reference to (i) all members of the Board
of Managers of the Company who have held office continuously since the Issue
Date, and (ii) all members of the Board of Managers of the Company who
assumed office after such date and whose appointment or nomination for election
by the holders of the Company’s Capital Stock was approved by a vote of at
least 50% of the Continuing Managers in office immediately prior to such
appointment or nomination or by the Huntsman Group.

 

“Corporate Trust Office”
means the principal office of the Trustee at which at any time 

 

7

 

its corporate trust business
shall be administered, or such other address as the Trustee may designate from
time to time by notice to the Holders and the Company, or the principal
corporate trust office of any successor Trustee (or such other address as a
successor Trustee may designate from time to time by notice to the Holders and
the Company).

 

“Covenant Defeasance” has
the meaning provided in Section 8.01.

 

“Credit Facilities” means
any one or more debt facilities, indentures or other agreements governing
Indebtedness, including the senior secured Credit Agreement, dated as of August 16,
2005, as amended, among the Company and the financial institutions party
thereto, together with the related documents thereto (including, without
limitation, any guarantee agreements and security documents), in each case as
such agreements may be amended, supplemented, extended or otherwise modified
from time to time, and any one or more debt facilities, indentures or other
agreements that refinances, replaces or otherwise restructures (including
increasing the amount of available borrowings thereunder in accordance with Section 4.12
or making Restricted Subsidiaries of the Company a borrower or guarantor thereunder)
all or any portion of the Indebtedness under such agreement or any successor or
replacement agreement and whether including any additional obligors or with the
same or any other agent, lender, investor or group of lenders or investors or
with other financial institutions, investors or lenders.

 

“Currency Agreement” means
any foreign exchange contract, currency swap agreement or other similar
agreement or arrangement designed to protect the Company or any Restricted
Subsidiary of the Company against fluctuations in currency values.

 

“Custodian” means any
receiver, trustee, assignee, liquidator, sequestrator or similar official under
any Bankruptcy Law.

 

“Default” means an event or
condition the occurrence of which is, or with the lapse of time or the giving
of notice or both would be, an Event of Default.

 

“Depositary” means DTC.

 

“Designated Date” means November 13,
2006.

 

“Discharged” means that the
Company shall be deemed to have paid and discharged the entire Indebtedness
represented by, and obligations under, the Notes and to have satisfied all the
obligations under this Indenture relating to the Notes (and the Trustee, at the
expense of the Company, shall execute proper instruments acknowledging the same
upon compliance by the Company with the provisions of Article Eight),
except (i) the rights of the Holders of Notes to receive, from the trust
fund described in Article Eight, payment of the principal of and the
interest on such Notes when such payments are due, (ii) the Company’s
obligations with respect to the Notes under Sections 2.03 through 2.07, 7.07
and 7.08 and (iii) the rights, powers, trusts, duties and immunities of
the Trustee hereunder.

 

“Disqualified Capital Stock”
means that portion of any Capital Stock which, by its terms 

 

8

 

(or by the terms of any
security into which it is convertible or for which it is exchangeable), or upon
the happening of any event, matures or is mandatorily redeemable, pursuant to a
sinking fund obligation or otherwise, or is redeemable at the sole option of
the holder thereof on or prior to the final maturity date of the Notes.

 

“Dollar” or “$” means the
lawful currency of the United States of America.

 

“Domestic Subsidiary” means
any Subsidiary other than a Foreign Subsidiary.

 

“DTC” means the Depository
Trust Company, its nominees and successors.

 

“Equity Offering” means any
sale of Qualified Capital Stock of the Company or any capital contribution to
the equity of the Company from any person other than a Subsidiary of the
Company.

 

“Euroclear” means Euroclear
Bank S.A./N.V., as operator of the Euroclear System.

 

“Event of Default” has the
meaning provided in Section 6.01.

 

“Exchange Act” means the
Securities Exchange Act of 1934, as amended, or any successor statute or statutes
thereto.

 

“Exchange Notes” means with
respect to the Initial Notes, Notes issued in exchange for the Initial Notes
pursuant to the terms of the Registration Rights Agreement or, with respect to
any Additional Notes, Notes issued in exchange for such Additional Notes
pursuant to the terms of a registration rights agreement among the Company, the
Guarantors and the initial purchasers of such Additional Notes.

 

“Fair Market Value” means,
with respect to any asset or property, the price which could be negotiated in
an arm’s-length, free market transaction, for cash, between a willing seller
and a willing and able buyer, neither of whom is under undue pressure or
compulsion to complete the transaction. 
Fair market value (i) with respect to a determination of value in
excess of $100 million shall be determined by the Board of Managers of the
Company acting reasonably and in good faith and shall be evidenced by a Board
Resolution delivered to the Trustee or (ii) in all other cases, by an
Officers’ Certificate delivered to the Trustee.

 

“Foreign Cash Equivalents”
means (i) debt securities with a maturity of 365 days or less issued by
any member nation of the European Union, Switzerland or any other country whose
debt securities are rated by S&P and Moody’s A-1 or P-1, or the equivalent
thereof (if a short-term debt rating is provided by either) or at least AA or
AA2, or the equivalent thereof (if a long- term unsecured debt rating is
provided by either) (each such jurisdiction, an “Approved Jurisdiction”) or any
agency or instrumentality of an Approved Jurisdiction, provided that the
full faith and credit of the Approved Jurisdiction is pledged in support of
such debt securities or such debt securities constitute a general obligation of
the Approved Jurisdiction and (ii) debt securities in an aggregate
principal amount not to exceed $25 million with a maturity of 365 days 

 

9

 

or less issued by any nation
in which the Company or its Restricted Subsidiaries has cash which is the
subject of restrictions on export or any agency or instrumentality of such
nation, provided that the full faith and credit of such nation is
pledged in support of such debt securities or such debt securities constitute a
general obligation of such nation.

 

“Foreign Subsidiary” means
any Subsidiary of the Company (other than a Guarantor) organized under the laws
of, and conducting a substantial portion of its business in, any jurisdiction
other than the United States of America or any state thereof or the District of
Columbia.

 

“Funds” means the aggregate
amount of U.S. Legal Tender and/or U.S. Government Obligations deposited with
the Trustee pursuant to Article Eight.

 

“GAAP” means generally
accepted accounting principles set forth in the opinions and pronouncements of
the Accounting Principles Board of the American Institute of Certified Public
Accountants and statements and pronouncements of the Financial Accounting
Standards Board or in such other statements by such other entity as may be
approved by a significant segment of the accounting profession of the United
States of America, which were in effect as of the Designated Date.

 

“Global Security” means a
Restricted Global Security or Unrestricted Global Security.

 

“GOP” means MatlinPatterson
Global Opportunities Partners L.P. and any other entity managed by its
investment advisor, MatlinPatterson Global Advisers LLC.

 

“Guarantee” means the
guarantee by a Guarantor of the obligations of the Company under this Indenture
and the Notes contemplated by Article Eleven of this Indenture.

 

“Guarantor”
means (i) each of the Company’s Restricted Subsidiaries that executes this
Indenture as a Guarantor and (ii) each of the Company’s Restricted
Subsidiaries that in the future executes a supplemental indenture in which such
Restricted Subsidiary agrees to be bound by the terms of this Indenture as a
Guarantor; provided that any Person constituting a Guarantor as
described above shall cease to constitute a Guarantor when its respective
Guarantee is released in accordance with the terms of this Indenture.

 

“Holder” or “Noteholder”
means the Person in whose name a Note is registered on the Registrar’s books.

 

“Holdings U.K.” means
Huntsman (Holdings) UK, a private unlimited company incorporated under the laws
of England and Wales.

 

“Huntsman Affiliate” means
the Company or any of its Affiliates (other than the Company and its Subsidiaries).

 

“Huntsman Corporation” means
Huntsman Corporation, a Delaware corporation.

 

10

 

“Huntsman Parent Company”
means Huntsman Corporation or any entity of which the Company is a direct or
indirect Wholly Owned Subsidiary.

 

“Huntsman Public Parent”
means any Huntsman Parent Company that has completed an Initial Public Equity
Offering including Huntsman Corporation.

 

“Indebtedness” means with
respect to any Person, without duplication, (i) all Obligations of such
Person for borrowed money, (ii) all Obligations of such Person evidenced
by bonds, debentures, notes or other similar instruments, (iii) all
Capitalized Lease Obligations of such Person, (iv) all Obligations of such
Person issued or assumed as the deferred purchase price of property that is due
more than six months after taking delivery of such property, all conditional
sale obligations and all Obligations under any title retention agreement (but
excluding trade accounts payable and other accrued liabilities arising in the
ordinary course of business that are not overdue by 90 days or more or are
being contested in good faith by appropriate proceedings promptly instituted
and diligently conducted), (v) all Obligations for the reimbursement of
any obligor on any letter of credit, banker’s acceptance or similar credit
transaction, (vi) guarantees in respect of Indebtedness referred to in
clauses (i) through (v) above and clause (viii) below, (vii) all
Obligations of any other Person of the type referred to in clauses (i) through
(vi) which are secured by any lien on any property or asset of such
Person, the amount of such Obligation being deemed to be the lesser of the Fair
Market Value of such property or asset or the amount of the Obligation so
secured, (viii) all Obligations under Currency Agreements and Interest
Swap Agreements of such Person and (ix) all Disqualified Capital Stock
issued by such Person with the amount of Indebtedness represented by such
Disqualified Capital Stock being equal to the greater of its voluntary or
involuntary liquidation preference and its maximum fixed repurchase price, but
excluding accrued dividends, if any.  For
purposes hereof, the “maximum fixed repurchase price” of any Disqualified
Capital Stock which does not have a fixed repurchase price shall be calculated
in accordance with the terms of such Disqualified Capital Stock as if such Disqualified
Capital Stock were purchased on any date on which Indebtedness shall be
required to be determined pursuant to this Indenture, and if such price is
based upon, or measured by, the Fair Market Value of such Disqualified Capital
Stock, such Fair Market Value shall be determined reasonably and in good faith
by the Board of Managers of the issuer of such Disqualified Capital Stock; provided,
however, that notwithstanding the foregoing, “Indebtedness” shall not
include (i) advances paid by customers in the ordinary course of business
for services or products to be provided or delivered in the future, (ii) deferred
taxes or (iii) unsecured indebtedness of the Company and/or its Restricted
Subsidiaries incurred to finance insurance premiums in a principal amount not
in excess of the insurance premiums to be paid by the Company and/or its
Restricted Subsidiaries for a three year period beginning on the date of any
incurrence of such indebtedness.

 

“Indenture” means this
Indenture, as amended or supplemented from time to time in accordance with the
terms hereof.

 

“Independent Financial
Advisor” means a firm which, in the judgment of the Board of Managers of the
Company, is independent and qualified to perform the task for which it is to be
engaged.

 

11

 

“Initial Notes” means the
$600,000,000 in aggregate principal amount of 5 1⁄2% Senior Notes due 2016 of the
Company that are issued on the Issue Date.

 

“Initial Public Equity
Offering” means a firm commitment underwritten offering of shares of Capital
Stock of the applicable Person registered on Form S-1 under the Securities
Act.

 

“Initial Purchasers” means
Deutsche Bank Securities Inc. and Credit Suisse Securities (USA) LLC.

 

“Institutional Accredited
Investor” means an accredited investor within the meaning of Rule 501(a)(1),
(2), (3), or (7) under the Securities Act.

 

“Interest Payment Date”
means, with respect to each Note, the stated maturity of an installment of
interest on the Notes specified therein.

 

“Interest Swap Obligations”
means the obligations of any Person pursuant to any arrangement with any other
Person, whereby, directly or indirectly, such Person is entitled to receive
from time to time periodic payments calculated by applying either a floating or
a fixed rate of interest on a stated notional amount in exchange for payments
made by such other Person calculated by applying a fixed or a floating rate of
interest on the same notional amount and shall include, without limitation,
interest rate swaps, caps, floors, collars and similar agreements.

 

“Investment” means, with
respect to any Person, any direct or indirect loan or other extension of credit
(including, without limitation, a guarantee) or capital contribution to (by
means of any transfer of cash or other property to others or any payment for
property or services for the account or use of others), or any purchase or
acquisition by such Person of any Capital Stock, bonds, notes, debentures or
other securities or evidences of Indebtedness issued by, any other Person.  “Investment” excludes extensions of trade
credit by the Company and its Restricted Subsidiaries on commercially
reasonable terms in accordance with normal trade practices of the Company or
such Restricted Subsidiary, as the case may be. 
For the purposes of Section 4.03 hereof, (i) “Investment”
shall include and be valued at the Fair Market Value of the net assets of any
Restricted Subsidiary at the time that such Restricted Subsidiary is designated
an Unrestricted Subsidiary after the Designated Date and shall exclude the Fair
Market Value of the net assets of any Unrestricted Subsidiary at the time that
such Unrestricted Subsidiary is designated a Restricted Subsidiary and (ii) the
amount of any Investment is the original cost of such Investment plus the cost
of all additional Investments by the Company or any of its Restricted Subsidiaries,
without any adjustments for increases or decreases in value, or write-ups,
write-downs or write-offs with respect to such Investment, reduced by the payment
of dividends or distributions in connection with such Investment or any other
amounts received in respect of such Investment; provided that no such
payment of dividends or distributions or receipt of any such other amounts
shall reduce the amount of any Investment if such payment of dividends or
distributions or receipt of any such amounts would be included in Consolidated
Net Income.  If the Company or any
Restricted Subsidiary of the Company sells or otherwise disposes of any Common
Stock of any direct or indirect Restricted Subsidiary of the Company such that,
after giving effect to any such sale or disposition, the Company no longer
owns, 

 

12

 

directly or indirectly,
greater than 50% of the outstanding Common Stock of such Restricted Subsidiary,
the Company shall be deemed to have made an Investment on the date of any such
sale or disposition equal to the Fair Market Value of the Common Stock of such
Restricted Subsidiary not sold or disposed of.

 

“Investment Grade Rating”
means a rating equal to or higher than Baa3 (or the equivalent) by Moody’s and
BBB- (or the equivalent) by S&P.

 

“Issue Date” means June 23,
2009.

 

“Legal Defeasance” has the
meaning provided in Section 8.01.

 

“Lien” means any lien, mortgage,
deed of trust, pledge, security interest, charge or encumbrance of any kind
(including any conditional sale or other title retention agreement, any lease
in the nature thereof and any agreement to give any security interest), but not
including any interests in accounts receivable and related assets conveyed by
the Company or any of its Subsidiaries or other entities formed as necessary or
customary under the laws of the relevant jurisdiction in connection with any
Qualified Securitization Transaction.

 

“Maturity Date” means June 30,
2016.

 

“Moody’s” means Moody’s
Investors Service, Inc. and its successors.

 

“Net Cash Proceeds” means,
with respect to any Asset Sale, the proceeds in the form of cash or Cash
Equivalents including payments in respect of deferred payment obligations when
received in the form of cash or Cash Equivalents (other than the portion of any
such deferred payment constituting interest) received by the Company or any of
its Restricted Subsidiaries from such Asset Sale net of (a) all
out-of-pocket expenses and fees relating to such Asset Sale (including, without
limitation, legal, accounting and investment banking fees and sales
commissions), (b) taxes paid or payable after taking into account any
reduction in consolidated tax liability due to available tax credits or
deductions and any tax sharing arrangements, (c) repayment of Indebtedness
that is required to be repaid in connection with such Asset Sale (d) the
decrease in proceeds from Qualified Securitization Transactions which results
from such Asset Sale and (e) appropriate amounts to be provided by the
Company or any Restricted Subsidiary, as the case may be, as a reserve, in
accordance with GAAP, against any liabilities associated with such Asset Sale
and retained by the Company or any Restricted Subsidiary, as the case may be,
after such Asset Sale, including, without limitation, pension and other
post-employment benefit liabilities, liabilities related to environmental
matters and liabilities under any indemnification obligations associated with
such Asset Sale.

 

“Net Proceeds Offer” has the
meaning provided in Section 4.15(c).

 

“Net Proceeds Offer Amount”
has the meaning provided in Section 4.15(c).

 

“Net Proceeds Offer Payment
Date” has the meaning provided in Section 4.15(c).

 

13

 

“Net Proceeds Offer Trigger
Date” has the meaning provided in Section 4.15(c).

 

“Noon Buying Rate” has the
meaning provided in Section 2.02.

 

“Non-U.S.
Person” means a person who is not a U.S. Person within the meaning assigned to
such term in Regulation S.

 

“Notes” means, the Initial
Notes, any Additional Notes and the Exchange Notes.

 

“Obligations”
means all obligations for principal, premium, interest, penalties, fees,
indemnifications, reimbursements, damages and other liabilities payable under
the documentation governing any Indebtedness.

 

“Officer” means, with
respect to any Person, the Chairman of the Board, the Chief Executive Officer,
the President, any Vice President, the Chief Financial Officer, the Treasurer,
the Assistant Treasurer, the Financial Director, or the Secretary or the
Assistant Secretary of such Person (or, with respect to a Person that is a
limited partnership, the General Partner of such Person), or any other officer
designated by the Board of Managers serving in a similar capacity.

 

“Officers’ Certificate”
means, with respect to any Person, a certificate signed by two Officers or by
an Officer and either an Assistant Treasurer or an Assistant Secretary of such
Person and otherwise complying with the requirements of Sections 13.04 and
13.05, as they relate to the making of an Officers’ Certificate, and delivered
to the Trustee.

 

“Opinion of Counsel” means a
written opinion from legal counsel who is reasonably acceptable to the Trustee
complying with the requirements of Sections 13.04 and 13.05, as they relate to
the giving of an Opinion of Counsel, and delivered to the Trustee.  Counsel giving any Opinion of Counsel shall
be entitled to rely on an Officers’ Certificate as to any factual matters
relevant to such opinion.

 

“Participants”
means institutions that have accounts with DTC or its nominee.

 

“Paying Agent” means any
Person (other than the Company and any of its Affiliates) authorized by the
Company to pay the principal of (and premium, if any) or interest on any notes
on behalf of the Company and perform all the other obligations and duties of a “Paying
Agent” described herein.

 

“Permitted
Indebtedness” means, without duplication, each of the following:

 

(i)      Indebtedness
represented by the Initial Notes, the Exchange Notes with respect to the
Initial Notes and the related Guarantees;

 

(ii)     Indebtedness
incurred under the Credit Facilities pursuant to this clause (ii) in an
aggregate principal amount not exceeding the greater of $3.3 billion or 30% of
Total Assets of the Company at any one time outstanding;

 

14

 

(iii)         other
Indebtedness of the Company and its Restricted Subsidiaries outstanding on the
Issue Date reduced by the amount of any prepayments with Net Cash Proceeds of
any Asset Sale (which are accompanied by a corresponding permanent commitment
reduction) pursuant to clause (c) of Section 4.15;

 

(iv)        Interest
Swap Obligations of the Company relating to Indebtedness of the Company or any
of its Restricted Subsidiaries (or Indebtedness that the Company or any of its
Restricted Subsidiaries reasonably intends to incur within six months) and
Interest Swap Obligations of any Restricted Subsidiary of the Company relating
to Indebtedness of such Restricted Subsidiary (or Indebtedness that such
Restricted Subsidiary reasonably intends to incur within six months); provided,
however, that such Interest Swap Obligations will constitute “Permitted
Indebtedness” only if they are entered into to protect the Company and its
Restricted Subsidiaries from fluctuations in interest rates on Indebtedness
permitted under this Indenture to the extent the notional principal amount of
such Interest Swap Obligations, when incurred, does not exceed the principal
amount of the Indebtedness to which such Interest Swap Obligations relate;

 

(v)         Indebtedness
under Commodity Agreements and Currency Agreements; provided that in the
case of Currency Agreements which relate to Indebtedness, such Currency
Agreements do not increase the Indebtedness of the Company and its Restricted
Subsidiaries outstanding other than as a result of fluctuations in foreign
currency exchange rates or by reason of fees, indemnities and compensation
payable thereunder;

 

(vi)        Indebtedness
of a Restricted Subsidiary of the Company to the Company or to a Restricted
Subsidiary of the Company for so long as such Indebtedness is held by the
Company or a Restricted Subsidiary of the Company, in each case subject to no
Lien held by a Person other than the Company or a Restricted Subsidiary of the
Company (other than the pledge of intercompany notes under the Credit Facilities);
provided that if as of any date any Person other than the Company or a
Restricted Subsidiary of the Company owns or holds any such Indebtedness or
holds a Lien in respect of such Indebtedness (other than the pledge of
intercompany notes under the Credit Facilities), such date shall be deemed the
incurrence of Indebtedness not constituting Permitted Indebtedness by the
issuer of such Indebtedness;

 

(vii)       Indebtedness
of the Company to a Restricted Subsidiary for so long as such Indebtedness is
held by a Restricted Subsidiary, in each case subject to no Lien (other than
Liens securing intercompany notes pledged under the Credit Facilities); provided
that (a) any Indebtedness of the Company to any Restricted Subsidiary
(other than pursuant to notes pledged under the Credit Facilities) is unsecured
and subordinated, pursuant to a written agreement, to the Company’s obligations
under this Indenture and the Notes and (b) if as of any date any Person
other than a Restricted Subsidiary owns or holds any such Indebtedness or any
Person holds a Lien in respect of such Indebtedness (other than pledges
securing the Credit Facilities), such date shall be deemed the incurrence of
Indebtedness not constituting Permitted Indebtedness by the Company;

 

15

 

(viii)      Indebtedness
arising from the honoring by a bank or other financial institution of a check,
draft or similar instrument inadvertently (except in the case of daylight
overdrafts) drawn against insufficient funds in the ordinary course of
business; provided, however, that such Indebtedness is
extinguished within two business days of incurrence;

 

(ix)         Indebtedness
of the Company or any of its Restricted Subsidiaries represented by letters of
credit for the account of the Company or such Restricted Subsidiary, as the
case may be, in order to provide security for workers’ compensation claims,
payment obligations in connection with self-insurance or similar requirements
in the ordinary course of business;

 

(x)          Refinancing
Indebtedness;

 

(xi)         Indebtedness
arising from agreements of the Company or a Subsidiary providing for
indemnification, adjustment of purchase price or similar obligations, in each
case, incurred in connection with the disposition of any business, assets or
Subsidiary, other than guarantees of Indebtedness incurred by any Person
acquiring all or any portion of such business, assets or Subsidiary for the
purpose of financing such acquisition; provided that the maximum
aggregate liability in respect of all such Indebtedness shall at no time exceed
the gross proceeds actually received by the Company and the Subsidiary in
connection with such disposition;

 

(xii)        Obligations
in respect of performance bonds and completion, guarantee, surety and similar
bonds provided by the Company or any Subsidiary in the ordinary course of business;

 

(xiii)       guarantees
by the Company or a Restricted Subsidiary of Indebtedness incurred by the
Company or a Restricted Subsidiary so long as the incurrence of such
Indebtedness by the Company or any such Restricted Subsidiary is otherwise permitted
by the terms of this Indenture;

 

(xiv)       Indebtedness
of the Company or any Subsidiary (A) representing Capitalized Lease
Obligations not to exceed $150 million outstanding at any time or (B) constituting
purchase money Indebtedness incurred to finance property or assets of the
Company or any Restricted Subsidiary of the Company acquired in the ordinary
course of business; provided, however, that such purchase money
Indebtedness shall not exceed the cost of such property or assets and shall not
be secured by any property or assets of the Company or any Restricted
Subsidiary of the Company other than the property and assets so acquired;

 

(xv)        Indebtedness
of Foreign Subsidiaries that are Restricted Subsidiaries to the extent that the
aggregate outstanding amount of Indebtedness incurred by such Foreign
Subsidiaries under this clause (xv) does not exceed at any one time an amount
equal to the sum of (A) 80% of the consolidated book value of the accounts
receivable of 

 

16

 

all Foreign Subsidiaries and (B) 60% of the consolidated book
value of the inventory of all Foreign Subsidiaries; provided, however,
that notwithstanding the foregoing limitation, Foreign Subsidiaries may incur
in the aggregate up to $150 million of Indebtedness outstanding at any one
time;

 

(xvi)       Indebtedness
of the Company and its Domestic Subsidiaries pursuant to over draft lines or
similar extensions of credit in an aggregate amount not to exceed $30 million
at any one time outstanding and Indebtedness of Foreign Subsidiaries pursuant
to over draft lines or similar extensions of credit in an aggregate principal
amount not to exceed $60 million at any one time outstanding;

 

(xvii)      the
incurrence by a Securitization Entity of Indebtedness in a Qualified
Securitization Transaction that is not recourse to the Company or any
Subsidiary of the Company (except for Standard Securitization Undertakings);

 

(xviii)     Indebtedness
of the Company to a Huntsman Affiliate constituting Subordinated Indebtedness;

 

(xix)       Indebtedness
consisting of take-or-pay obligations contained in supply agreements entered
into in the ordinary course of business;

 

(xx)        Indebtedness
of the Company to any of its Subsidiaries or other entities formed as necessary
or customary under the laws of the relevant jurisdiction incurred in connection
with the sale, pledge or other conveyance of accounts receivable or
participations or any interests therein and related assets directly or
indirectly to the Company by any such Subsidiary which assets or interests are
subsequently conveyed, pledged or otherwise transferred, directly or
indirectly, by the Company to a Securitization Entity in a Qualified
Securitization Transaction;

 

(xxi)       additional
Indebtedness of the Company and its Restricted Subsidiaries in an aggregate
principal amount not to exceed the greater of $200 million or 2% of Total
Assets of the Company at any one time outstanding; and

 

(xxii)                   (A) guarantees
(“Upstream Guarantees”) issued by the Company or any guarantor of Indebtedness
of a Huntsman Public Parent (“Parent Debt”), provided that:

 

1.     such Upstream Guarantee may
guarantee only Parent Debt that was incurred, and the proceeds of which are
used, to Refinance Indebtedness of the Company;

 

2.     the aggregate amount of
Parent Debt that is guaranteed by the Upstream Guarantee shall not exceed the
sum of (x) the aggregate amount of Indebtedness of the Company that is
Refinanced with the proceeds of such Parent Debt (“HI Refinanced Debt”), and (y) the
amount of any premiums required to be 

 

17

 

paid
under the terms of the instrument governing such HI Refinanced Debt and the
amount of reasonable expenses incurred by the Company, in each case in connection
with the Refinancing of such HI Refinanced Debt;

 

3.     the HI Refinanced Debt is not incurred in connection with or in
anticipation or contemplation of the Refinancing of such HI Refinanced Debt;
and

 

4.     both immediately before and after the issuance of any Upstream
Guarantee there shall be existing no Default or Event of Default.

 

For purposes of the
foregoing provisions, any Upstream Guarantee given with respect to Parent Debt
under a revolving or undrawn credit facility shall be deemed entered into only
when such Upstream Guarantee is initially entered into with respect to the full
commitment of revolving or undrawn credit facility,

 

or

 

(B)                                guarantees by
the Company or any guarantor, as the case may be (“Replacement Guarantees”),
that replace any Upstream Guarantee (a “Previous Guarantee”) that (a) was
previously issued by such person pursuant to paragraph (A) of this clause
(xxii) or (b) was a Replacement Guarantee previously issued by such person
pursuant to this paragraph (B),

 

provided that:

 

1.     the Replacement Guarantee may guarantee only Parent Debt (“Replacement
Debt”) that was incurred, and the proceeds of which are used, to Refinance the
Parent Debt that was guaranteed by the Previous Guarantee being so replaced (“Previous
Debt”);

 

2.     the aggregate amount of Replacement Debt that is guaranteed by
the Replacement Guarantee shall not exceed the sum of (x) the aggregate
amount of Previous Debt guaranteed by the Previous Guarantee being so replaced,
(y) the amount of any premiums required to be paid under the terms of the
instrument governing such Previous Debt with respect to the amount of Previous
Debt guaranteed by the Previous Guarantee being so replaced, and (z) and
the pro rata portion of the amount of reasonable expenses incurred by the
Huntsman Public Parent, in each case in connection with the Refinancing of such
Previous Debt; and

 

3.     both immediately before and after the issuance of any
Replacement Guarantee there shall be existing no Default or Event of Default.

 

For purposes of determining
compliance with Section 4.12, in the event that an item of Indebtedness
meets the criteria of more than one of the categories of Permitted Indebtedness

 

18

 

described in clauses (i) through
(xxii) above or is entitled to be incurred pursuant to the Consolidated Fixed
Charge Coverage Ratio provisions of Section 4.12, the Company shall, in
its sole discretion, classify (or later reclassify) such item of Indebtedness
in any manner that complies with Section 4.12; provided that $1.4 billion of Indebtedness outstanding
under the Credit Facilities on the Issue Date (and any refinancings thereof)
shall be deemed to have been incurred pursuant to clause (ii) above.
Accrual of interest, accretion or amortization of original issue discount, the
payment of interest on any Indebtedness in the form of additional Indebtedness
with the same terms, and the payment of dividends on Disqualified Capital Stock
in the form of additional shares of the same class of Disqualified Capital
Stock will not be deemed to be an incurrence of Indebtedness or an issuance of
Disqualified Capital Stock for purposes of Section 4.12.

 

“Permitted Investments”
means (i) Investments by the Company or any Restricted Subsidiary of the
Company in any Person that is or will become immediately after such Investment
a Restricted Subsidiary of the Company or that will merge or consolidate into
the Company or a Restricted Subsidiary of the Company; (ii) Investments in
the Company by any Restricted Subsidiary of the Company; provided that
any Indebtedness evidencing such Investment is unsecured and subordinated
(other than pursuant to intercompany notes pledged under the Credit Facilities),
pursuant to a written agreement, to the Company’s obligations under the Notes
and this Indenture; (iii) investments in cash and Cash Equivalents; (iv) loans
and advances to employees and officers of the Company and its Restricted
Subsidiaries in the ordinary course of business for travel, relocation and
related expenses; (v) Investments in Unrestricted Subsidiaries or joint
ventures not to exceed the greater of $300 million or 3% of Total Assets of the
Company, plus (A) the aggregate net after-tax amount returned in cash on
or with respect to any Investments made in Unrestricted Subsidiaries and joint
ventures whether through interest payments, principal payments, dividends or
other distributions or payments, (B) the net after-tax cash proceeds
received by the Company or any Restricted Subsidiary from the disposition of
all or any portion of such Investments (other than to a Restricted Subsidiary
of the Company), (C) upon redesignation of an Unrestricted Subsidiary as a
Restricted Subsidiary, the Fair Market Value of such Subsidiary and (D) the
net cash proceeds received by the Company from the issuance of Specified
Venture Capital Stock; (vi) Investments in securities received pursuant to
any plan of reorganization or similar arrangement upon the bankruptcy or
insolvency of any debtors of the Company or its Restricted Subsidiaries; (vii) Investments
made by the Company or its Restricted Subsidiaries as a result of consideration
received in connection with an Asset Sale made in compliance with Section 4.15;
(viii) Investments existing on the Designated Date; (ix) any
Investment by the Company or a Wholly Owned Subsidiary of the Company or by
Tioxide Group or Holdings U.K., in a Securitization Entity or any Investment by
a Securitization Entity in any other Person in connection with a Qualified
Securitization Transaction; provided that any Investment in a
Securitization Entity is in the form of a Purchase Money Note or an equity
interest; (x) Investments by the Company in Rubicon, Inc. and
Louisiana Pigment Company (each a “Joint Venture”), so long as: (A) such
Joint Venture does not have any Indebtedness for borrowed money at any time on
or after the date of such Investment (other than Indebtedness owing to the
equity holders of such Joint Ventures), (B) the documentation governing
such Joint Venture does not contain a restriction on distributions to the 

 

19

 

Company, and (C) such
Joint Venture is engaged only in the business of manufacturing product used or
marketed by the Company and its Restricted Subsidiaries and/or the joint
venture partner, and business reasonably related thereto; (xi) Investments by
Foreign Subsidiaries in Foreign Cash Equivalents; (xii) loans to any Huntsman
Parent Company for the purposes described in clause (7) of the second
paragraph of Section 4.03 which, when aggregated with the payment made
under such clause, will not exceed $10 million in any fiscal year; (xiii) any
Indebtedness of the Company to any of its Subsidiaries or other entities formed
as necessary or customary under the laws of the relevant jurisdiction incurred
in connection with the conveyance, pledge or other transfer of accounts
receivable or participations or interests therein and related assets directly
or indirectly to the Company by any such Subsidiary which assets are
subsequently conveyed, pledged or otherwise transferred, directly or
indirectly, by the Company to a Securitization Entity in a Qualified
Securitization Transaction; (xiv) Investments by the Company or any of its
Restricted Subsidiaries in a Permitted Joint Venture, so long as:  (A) such Permitted Joint Venture does
not have any Indebtedness for borrowed money which would be required to be
reflected on a balance sheet as debt under GAAP at any time on or after the
date of such Investment (other than Indebtedness owing to the equity holders of
such Permitted Joint Venture, the Company or any Restricted Subsidiary); (B) the
documentation governing such Permitted Joint Venture does not contain a
restriction on distributions to the Company or its Restricted Subsidiaries; and
(C) after giving pro  forma effect to such
Investment, the Company would be permitted to incur $1.00 of additional
Indebtedness other than Permitted Indebtedness under Section 4.12; (xv)
additional Investments in an aggregate amount not exceeding $150 million at any
one time outstanding; and (xvi) the incurrence of Guarantees permitted by
clause (xxii) of the definition of Permitted Indebtedness.

 

“Permitted Joint Venture” means, with respect to any Person:

 

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

 

2.             any partnership, joint venture, limited liability
company or similar entity of which

 

(a)           50% or more of the capital accounts, distribution rights,
total equity and voting interests or general or limited partnership interests,
as applicable, are owned or controlled, directly or indirectly, by such Person
or one or more of the other Restricted Subsidiaries of that Person or a
combination thereof whether in the form of membership, general, special or
limited partnership interests or otherwise; and

 

(b)           either such Person or any Restricted Subsidiary of such
Person is a controlling general partner or no other Person controls such
entity.

 

20

 

“Permitted Tax Distribution”
for any fiscal year means any payments in compliance with clause (6) of
the second paragraph under Section 4.03.

 

“Person” means an
individual, partnership, corporation, unincorporated organization, trust or
joint venture, or a governmental agency or political subdivision thereof.

 

“Physical Notes” shall have
the meaning provided in Section 2.01(c).

 

“Preferred Stock” of any
Person means any Capital Stock of such Person that has preferential rights to
any other Capital Stock of such Person with respect to dividends or redemptions
or upon liquidation.

 

“principal” of any
Indebtedness (including the Notes) means the principal amount of such Indebtedness
plus the premium, if any, on such Indebtedness.

 

“Private Placement Legend”
means the legend initially set forth on the Notes in the form set forth for
Restricted Securities on Exhibit A.

 

“pro forma” means, unless
otherwise provided herein, with respect to any calculation made or required to
be made pursuant to the terms of this Indenture, a calculation in accordance
with Article 11 of Regulation S-X promulgated under the Securities Act.

 

“Purchase Money Note” means
a promissory note evidencing a line of credit, or evidencing other Indebtedness
owed to the Company or any Restricted Subsidiary in connection with a Qualified
Securitization Transaction, which note shall be repaid from cash available to
the maker of such note, other than amounts required to be established as
reserves, amounts paid to investors in respect of interest, principal and other
amounts owing to such investors and amounts paid in connection with the
purchase of newly generated accounts receivable.

 

“Qualified Capital Stock”
means any Capital Stock that is not Disqualified Capital Stock.

 

“Qualified Institutional
Buyer” or “QIB” has the meaning specified in Rule 144A.

 

“Qualified Securitization
Transaction” means any transaction or series of transactions that may be
entered into by the Company or any of its Subsidiaries pursuant to which the
Company or any of its Subsidiaries may sell, convey or otherwise transfer
pursuant to terms necessary or customary in the relevant jurisdiction, directly
or indirectly, to (a) a Securitization Entity or to the Company which
subsequently transfers to a Securitization Entity (in the case of a transfer by
the Company or any of its Subsidiaries) and (b) any other Person (in the
case of transfer by a Securitization Entity), or may grant a security interest
in any accounts receivable or any participations or other interests therein
(whether now existing or arising or acquired in the future) of the Company or
any of its Subsidiaries or other entities formed as necessary or customary under
the laws of the relevant jurisdiction, and any assets related thereto
including, without limitation, all collateral securing such accounts
receivable, all contracts and contract rights and all guarantees or other
obligations in respect of such accounts receivable, proceeds of 

 

21

 

such accounts receivable and
other assets (including contract rights) which are necessarily or customarily
transferred in the relevant jurisdiction or in respect of which security
interests are necessarily or customarily granted in the relevant jurisdiction
in connection with asset securitization transactions involving accounts
receivable.  Following the Initial Public
Equity Offering of a Huntsman Public Parent, references in the foregoing
definition to the “Company” shall be deemed also to refer to such Huntsman
Public Parent.

 

“Rating Agencies” means
Moody’s and S&P.

 

“Record Date” means with
respect to each Note, each applicable record date specified therein.

 

“Redemption Date” means,
with respect to any Note, the Maturity Date of such Note or the earlier date on
which such Note is to be redeemed by the Company pursuant to paragraph 5 of the
Notes.

 

“Redemption Price” has the
meaning provided in Section 3.03.

 

“Reference Date” has the
meaning provided in Section 4.03.

 

“Refinance” means, in
respect of any security or Indebtedness, to refinance, extend, renew, refund,
repay, prepay, redeem, defease or retire, or to issue a security or Indebtedness
in exchange or replacement for, such security or Indebtedness in whole or in
part.  “Refinanced” and “Refinancing”
shall have correlative meanings.

 

“Refinancing Indebtedness”
means any Refinancing by the Company or any Restricted Subsidiary of the
Company of Indebtedness incurred in accordance with the Fixed Charge Coverage Ratio
test set forth in Section 4.12 or Indebtedness described in clauses (i),
(iii), (x), (xiv)(B) or (xv) of the definition of “Permitted Indebtedness,”
in each case that does not (1) result in an increase in the aggregate
principal amount of Indebtedness of such Person as of the date of such proposed
Refinancing (plus the amount of any premium required to be paid under the terms
of the instrument governing such Indebtedness and plus the amount of reasonable
expenses incurred by the Company in connection with such Refinancing) or (2) create
Indebtedness with (A) a Weighted Average Life to Maturity that is less
than the Weighted Average Life to Maturity of the Indebtedness being Refinanced
or (B) a final maturity earlier than the final maturity of the
Indebtedness being Refinanced; provided that (x) if such
Indebtedness being Refinanced is Indebtedness solely of the Company, then such
Refinancing Indebtedness shall be Indebtedness solely of the Company and (y) if
such Indebtedness being Refinanced is subordinate or junior to the Notes, then
such Refinancing Indebtedness shall be subordinate to the Notes at least to the
same extent and in the same manner as the Indebtedness being Refinanced.

 

“Registrar” has the meaning
provided in Section 2.03.

 

“Registration Rights
Agreement” means the Exchange and Registration Rights 

 

22

 

Agreement dated June 23,
2009 among the Company, the Guarantors and the Initial Purchasers.

 

“Regulation S” means
Regulation S under the Securities Act.

 

“Replacement Assets” has the
meaning provided in Section 4.15(c).

 

“Responsible Officer” means,
when used with respect to the Trustee, any officer within the corporate trust
department 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 is referred because of such Person’s
knowledge of and familiarity with the particular subject and who shall have
direct responsibility for the administration of this Indenture.

 

“Restricted Global Security”
has the meaning provided in Section 2.01(a)(i).

 

“Restricted Payment” means
to

 

1.             declare or pay any dividend or make any distribution,
other than dividends or distributions payable in Qualified Capital Stock of the
Company, on or in respect of shares of the Company’s Capital Stock to holders
of such Capital Stock,

 

2.             purchase, redeem or otherwise acquire or retire for
value any Capital Stock of the Company or any warrants, rights or options to
purchase or acquire shares of any class of such Capital Stock,

 

3.             make any principal payment on, purchase, defease,
redeem, prepay, decrease or otherwise acquire or retire for value, prior to any
scheduled final maturity, scheduled repayment or scheduled sinking fund
payment, any Indebtedness of the Company or any Guarantor that is subordinate
or junior in right of payment to the Notes or such Guarantor’s Guarantee, as
the case may be, or

 

4.             make any Investment other than Permitted Investments.

 

“Restricted Security” means
a Note that constitutes a “restricted security” within the meaning of Rule 144(a)(3) under
the Securities Act; provided, however, that the Trustee shall be
entitled to request and conclusively rely on an Opinion of Counsel with respect
to whether any Note constitutes a Restricted Security.

 

“Restricted Subsidiary” of
any Person means any Subsidiary of such Person which at the time of
determination is not an Unrestricted Subsidiary.

 

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

 

“Sale and Leaseback
Transaction” means any direct or indirect arrangement with any 

 

23

 

Person or to which any such
Person is a party, providing for the leasing to the Company or a Restricted
Subsidiary of any property, whether owned by the Company or any Restricted
Subsidiary on the Issue Date or later acquired, which has been or is to be sold
or transferred by the Company or such Restricted Subsidiary to such Person or
to any other Person from whom funds have been or are to be advanced by such
Person on the security of such property.

 

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

 

“Securitization Entity”
means a Wholly Owned Subsidiary of the Company (or Tioxide Group or Holdings
U.K. or another Person in which the Company or any Subsidiary of the Company
makes an Investment and to which the Company or any Subsidiary of the Company
transfers, directly or indirectly, accounts receivable or participations or
interests therein or related assets) which engages in no activities other than
in connection with the financing of accounts receivable and which is designated
by the Board of Managers of the Company (as provided below) as a Securitization
Entity (a) no portion of the Indebtedness or any other Obligations
(contingent or otherwise) of which (i) is guaranteed by the Company or any
Subsidiary of the Company (other than the Securitization Entity)(excluding guarantees
of Obligations (other than the principal of, and interest on, Indebtedness))
pursuant to Standard Securitization Undertakings, (ii) is recourse to or
obligates the Company or any Subsidiary of the Company (other than the
Securitization Entity) in any way other than pursuant to Standard
Securitization Undertakings or (iii) subjects any property or asset of the
Company or any Subsidiary of the Company (other than the Securitization
Entity), directly or indirectly, contingently or otherwise, to the satisfaction
thereof, other than pursuant to Standard Securitization Undertakings and other
than any interest in the accounts receivable and related assets being financed
(whether in the form of any equity interest in such assets or subordinated
indebtedness payable primarily from such financed assets) retained or acquired
by the Company or any Subsidiary of the Company, (b) with which neither
the Company nor any Subsidiary of the Company has any material contract,
agreement, arrangement or understanding other than on terms no less favorable
to the Company or such Subsidiary than those that might be obtained at the time
from Persons that are not Affiliates of the Company, other than fees payable in
the ordinary course of business in connection with servicing receivables of
such entity, and (c) to which neither the Company nor any Subsidiary of
the Company has any obligation to maintain or preserve such entity’s financial
condition or cause such entity to achieve certain levels of operating
results.  Any such designation by the
Board of Managers of the Company shall be evidenced to the Trustee by filing
with the Trustee a certified copy of the Board Resolution of the Board of
Managers of the Company giving effect to such designation and an officers’
certificate certifying that such designation complied with the foregoing conditions;
provided that Huntsman Receivables Finance LLC shall be deemed to be a
Securitization Entity as of the Issue Date. 
Following the Initial Public Equity Offering of a Huntsman Public Parent,
references in the foregoing definition to the “Company” shall be deemed also to
refer to such Huntsman Public Parent.

 

“Senior Debt” means
Indebtedness of the Company or any Guarantor that is not 

 

24

 

Subordinated Indebtedness.

 

“Significant Subsidiary”
means any Restricted Subsidiary of the Company which, at the date of
determination, is a “Significant Subsidiary” as such term is defined in
Regulation S-X under the Exchange Act.

 

“Specified Venture Capital
Stock” means Qualified Capital Stock of the Company issued to a Person who is
not an Affiliate of the Company and the proceeds from the issuance of which are
applied within 180 days after the issuance thereof to an Investment in an
Unrestricted Subsidiary or joint venture.

 

“Standard Securitization
Undertakings” means obligations, representations, warranties, covenants and
indemnities entered into by the Company or any Securitization Entity or any
Subsidiary of the Company which are customary or necessary in the relevant
jurisdiction in an accounts receivable securitization transaction.  Following the Initial Public Equity Offering
of a Huntsman Public Parent, references in the foregoing definition to the “Company”
shall be deemed also to refer to such Huntsman Public Parent.

 

“Subordinated Indebtedness”
means Indebtedness of the Company or any Guarantor which is expressly
subordinated in right of payment to the Notes or the Guarantee of such
Guarantor, as the case may be.

 

“Subsidiary,” with respect
to any Person, means (i) any corporation of which the outstanding Capital
Stock having at least a majority of the votes entitled to be cast in the
election of managers or directors, as applicable, under ordinary circumstances
shall at the time be owned, directly or indirectly, by such Person or (ii) any
other Person of which at least a majority of the voting interest under ordinary
circumstances is at the time, directly or indirectly, owned by such Person.

 

“Surviving Entity” has the
meaning provided in Section 5.01(a)(i).

 

“Tax Sharing Agreement”
means the Tax Sharing Agreement dated as of August 16, 2005 between the
Company and Huntsman Corporation as in existence on the Issue Date or any
amendment thereto or replacement thereof so long as any such amendment or
replacement provisions are not more disadvantageous to the Holders of Notes in
any material respect than the provisions of the agreement being amended or
replaced.

 

“TIA” means the Trust
Indenture Act of 1939 (15 U.S.C. §§ 77aaa-77bbbb), as amended, as in
effect on the date hereof, except as otherwise provided in Section 9.03.

 

“Total Assets of Huntsman International” means, as of any
determination dates, the total assets of the Company and its consolidated
subsidiaries, as determined in accordance with GAAP at the end of the most
recent fiscal quarter for which financial statements are available under Section 4.09.

 

25

 

“Trust
Officer” means any officer or assistant officer of the Trustee assigned by the
Trustee to administer its corporate trust matters or, in the case of a
successor trustee, an officer assigned to the department, division or group
performing the corporate trust work of such successor.

 

“Trustee” means the party
named as such in this Indenture until a successor replaces it in accordance
with the provisions of this Indenture and thereafter means such successor.

 

“Unrestricted
Global Security” means one or more securities in definitive, fully registered
form without interest coupons, with the legend provided in Exhibit B
hereto, without the Private Placements Legend.

 

“Unrestricted Notes” means
Notes that are not Restricted Securities including, without limitation, the
Exchange Notes issued pursuant to a registered exchange offer in accordance
with the Registration Rights Agreement.

 

“Unrestricted Subsidiary” of
any Person means (i) any Subsidiary of such Person that at the time of
determination shall be or continue to be designated an Unrestricted Subsidiary,
and (ii) any Subsidiary of an Unrestricted Subsidiary.  Huntsman China Investments B.V., Huntsman
Distribution Corporation, Huntsman SA Investment Corporation, Huntsman
Styrenics Investments Holdings LLC and Huntsman Verwaltungs GmbH and their
respective Subsidiaries shall each be Unrestricted Subsidiaries as of the date
of this Indenture without further action by the Company or compliance with
requirements in this Indenture applicable to such designation.  The Board of Managers of the Company may,
after the Issue Date, designate any Subsidiary (including any newly acquired or
newly formed Subsidiary) to be an Unrestricted Subsidiary if such Subsidiary
does not own any Capital Stock of, or does not own or hold any Lien on any
property of, the Company or any other Subsidiary of the Company that is not a
Subsidiary of the Subsidiary to be so designated; the Company certifies to the
Trustee that such designation complies with Section 4.03 and each
Subsidiary to be designated as an Unrestricted Subsidiary and each of its
Subsidiaries has not at the time of designation, and does not thereafter,
create, incur, issue, assume, guarantee or otherwise become directly or
indirectly liable with respect to any Indebtedness under which the lender has
recourse to any of the assets of the Company or any of its Restricted
Subsidiaries.  The Board of Managers of
the Company may designate any Unrestricted Subsidiary to be a Restricted Subsidiary
only if (x) immediately after giving effect to such designation, the
Company is able to incur at least $1.00 of additional Indebtedness (other than
Permitted Indebtedness) in compliance with Section 4.12 and (y) immediately
before and immediately after giving effect to such designation, no default or
Event of Default shall have occurred and be continuing.  Any such designation by the Board of Managers
of the Company shall be evidenced to the Trustee by promptly filing with the
Trustee a copy of the Board Resolution approving the designation and an
officers’ certificate certifying that the designation complied with this Indenture.

 

“U.S. Government Obligations”
means direct obligations (or certificates representing an ownership interest in
such obligations) of the United States of America (including any agency or instrumentality
thereof) for the payment of which the full faith and credit of the United
States of 

 

26

 

America is pledged and which
are not callable or redeemable at the issuer’s option.

 

“U.S. Legal Tender” means
such coin or currency of the United States of America as at the time of payment
shall be legal tender for the payment of public and private debts.

 

“Weighted Average Life to
Maturity” means, when applied to any Indebtedness at any date, the number of
years obtained by dividing (a) the then outstanding aggregate principal
amount of such Indebtedness into (b) the sum of the total of the products
obtained by multiplying (i) the amount of each then remaining installment,
sinking fund, serial maturity or other required payment of principal, including
payment at final maturity, in respect thereof, by (ii) the number of years
(calculated to the nearest one-twelfth) which will elapse between such date and
the making of such payment.

 

“Wholly Owned Subsidiary” of
any Person means any Subsidiary of such Person to the extent all of the
outstanding Capital Stock or other ownership interests of which (other than in
the case of a Foreign Subsidiary, directors’ qualifying shares or an immaterial
amount of shares owned by other Persons pursuant to applicable law) are owned
by such Person or any Wholly Owned Subsidiary of such Person; provided, however,
that each of Tioxide Group and Holdings U.K. shall be deemed to Wholly Owned
Subsidiaries.

 

“Wholly Owned Restricted
Subsidiary” means a Restricted Subsidiary that is a Wholly Owned Subsidiary.

 

Section 1.02           Incorporation
by Reference of TIA.  Whenever
this Indenture refers to a provision of the TIA, that portion of such provision
that is required to be incorporated for this Indenture to be qualified under
the TIA is incorporated by reference in, and made a part of, this
Indenture.  The following TIA terms used
in this Indenture have the following meanings:

 

“indenture securities” means
the Notes.

 

“indenture to be qualified”
means this Indenture.

 

“indenture trustee” or “institutional
trustee” means the Trustee.

 

“obligor” on the Indenture
securities means the Company or any other obligor on the Notes.

 

All other TIA terms used in
this Indenture that are defined by the TIA, defined by the TIA by reference to
another statute or defined by SEC rule and not otherwise defined herein
have the meanings assigned to them therein.

 

Section 1.03           Rules of
Construction.  Unless the
context otherwise requires:

 

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

 

(2)           an
accounting term not otherwise defined has the meaning 

 

27

 

assigned to it in accordance with GAAP as in effect on the Designated
Date;

 

(3)           “or”
is not exclusive;

 

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

 

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

 

ARTICLE II

THE NOTES

 

Section 2.01                                Form and
Dating.  Notes and the certificate of
authentication relating thereto shall be substantially in the form of Exhibit A
hereto.  The Notes may have notations,
legends or endorsements required by law, stock exchange rule or
usage.  Notes that are Restricted
Securities (including the Initial Notes) shall bear the Private Placement Legend.  Each Note shall be dated the date of issuance
and shall show the date of its authentication. 
Each Note shall have an executed Guarantee from each of the Guarantors
endorsed thereon substantially in the form of Exhibit E hereto.

 

The terms and provisions
contained in the Notes annexed hereto as Exhibit A, shall constitute, and
are hereby expressly made, a part of this Indenture and, to the extent applicable,
the Company, the Guarantors and the Trustee, by their execution and delivery of
this Indenture, expressly agree to such terms and provisions and to be bound
thereby.

 

(a)                                  Restricted
Global Securities.

 

(i)      Notes
that are Restricted Securities shall be issued in the- form of one or more
global securities (each, a “Restricted Global Security”) in definitive, fully
registered form without interest coupons, with the legend provided for in Exhibit B
hereto, except as otherwise permitted herein.

 

(ii)     Each
Restricted Global Security shall be registered in the name of DTC or its
nominee and deposited with the Trustee, at its Corporate Trust Office, as
custodian for DTC, duly executed by the Company and authenticated by the Trustee
as hereinafter provided.  The aggregate
principal amount of a Restricted Global Security may from time to time be
increased or decreased by adjustments made on the records of the Trustee, as
custodian for DTC, in connection with a corresponding decrease or increase in
the aggregate principal amount of an Unrestricted Global Security, as
hereinafter provided.

 

(b)                                 [Reserved].

 

(c)                                  Physical Notes.  Notes issued in exchange for interests in a
Global Note 

 

28

 

pursuant to Section 2.15
may be issued in the form of permanent certificated Notes in registered form in
substantially the form set forth in Exhibit A (the “Physical Notes”).

 

Section 2.02           Execution and Authentication; Aggregate Principal
Amount.  A duly authorized Officer of
the Company shall execute the Notes for the Company, and a duly authorized
officer of each Guarantor shall sign the Guarantees for the Guarantors, in each
case by manual or facsimile signature.

 

If an Officer whose
signature is on a Note or a Guarantee, as the case may be, was an Officer at
the time of such execution but no longer holds that office or position at the
time the Trustee authenticates the Note, the Note shall nevertheless be valid.

 

A Note shall not be valid
until an authorized signatory of the Trustee manually signs the certificate of
authentication on the Note.  The
signature of such representative of the Trustee shall be conclusive evidence
that the Note has been authenticated under this Indenture.

 

On the date hereof, upon
Company Order the Trustee shall authenticate and deliver Notes for original
issue in an initial aggregate principal amount not to exceed $600,000,000.  In addition, at any time, from time to time,
the Trustee shall authenticate and deliver Exchange Notes in the form of
Unrestricted Notes, upon a written notice of the Company for original issuance
in the aggregate principal amount specified in such order for original issue in
the aggregate principal amount, provided that Exchange Notes shall be issuable
only upon the valid surrender for cancellation of Global Securities or other
Notes of a like aggregate principal amount. 
Additional Notes may be issued in accordance with Sections 2.01 and
2.18.  Any such Company Order may specify
the amount of the Notes to be authenticated and the date on which the original
issue of Notes is to be authenticated, whether such Notes are Unrestricted
Notes and whether (subject to Section 2.01) the Notes are to be issued as
Physical Notes or Global Notes and such other information as the Trustee may
reasonably request and, in the case of an issuance of Additional Notes pursuant
to Section 2.18 after the Issue Date, shall certify that such issuance
will not be prohibited by Section 4.12.

 

Notwithstanding the
foregoing, all Notes issued under this Indenture shall vote and consent
together on all matters (as to which any of such Notes may vote or consent) as
one class.

 

The Trustee may appoint an
authenticating agent reasonably acceptable to the Company to authenticate
Notes.  Unless otherwise provided in the
appointment, an authenticating agent may authenticate Notes whenever the
Trustee may do so.  Each reference in
this Indenture to authentication by the Trustee includes authentication by such
agent.  An authenticating agent has the
same rights as an Agent to deal with the Company and Affiliates of the Company.

 

The Notes shall be issuable
in fully registered form only, without coupons, in minimum denominations of
$2,000 and integral multiples of $1,000 in excess thereof.

 

Section 2.03           Registrar and Paying Agent.  The Company shall maintain an office or
agency, where (a) Notes may be presented or surrendered for registration
of transfer or for 

 

29

 

exchange (“Registrar”), (b) Notes may be
presented or surrendered for payment and (c) notices and demands to or
upon the Company in respect of the Notes and this Indenture may be served.  The Paying Agent shall not be the Company or
an Affiliate of the Company.  The
Registrar shall keep a register of the Notes and of their transfer and
exchange.  The Company, upon notice to
the Trustee, may have one or more co-Registrars and one or more additional
paying agents reasonably acceptable to the Trustee.  The term “Paying Agent” includes any additional
paying agent.  The Company may change the
Paying Agent or Registrar without notice to any Holder.

 

The Company shall enter into
an appropriate agency agreement with any Agent not a party to this Indenture,
which agreement shall incorporate the provisions of the TIA and implement the
provisions of this Indenture that relate to such Agent.  The Company shall notify the Trustee, in
advance, of the name and address of any such Agent.  If the Company fails to maintain a Registrar
or Paying Agent, or fails to give the foregoing notice, the Trustee shall act
as such.

 

The Company initially
appoints the Trustee as Registrar and Paying Agent for the Notes until such
time as such entity has resigned or a successor has been appointed.  Any of the Registrar, the Paying Agent or any
other agent may resign upon 30 days’ notice to the Company.

 

Section 2.04           Paying Agent To Hold Assets in Trust.  The Company shall require each Paying Agent
other than the Trustee to agree in writing that each Paying Agent shall hold in
trust for the benefit of the Holders or the Trustee all assets held by the
Paying Agent for the payment of principal of, premium, if any, or interest on,
the Notes (whether such assets have been distributed to it by the Company or
any other obligor on the Notes), and shall notify the Trustee of any default by
the Company (or any other obligor on the Notes) in making any such
payment.  The Company at any time may
require a Paying Agent to distribute all assets held by it to the Trustee and
account for any assets disbursed and the Trustee may at any time during the
continuance of any payment Default, upon written request to a Paying Agent,
require such Paying Agent to distribute all assets held by it to the Trustee
and to account for any assets distributed.  Upon distribution to the Trustee of all assets
that shall have been delivered by the Company to the Paying Agent and the
completion of any accounting required to be made hereunder, the Paying Agent
shall have no further liability for such assets.

 

Section 2.05           Holder Lists. 
The Trustee shall preserve in as current a form as is reasonably
practicable the most recent list available to it of the names and addresses of
the Holders and shall otherwise comply with TIA §312(a).  If the Trustee is not the Registrar or Paying
Agent, the Company shall furnish annually on each May 15 and at such other
times as the Trustee may request in writing a list in such form as the Trustee
may reasonably require of the names and addresses of the Holders, which list
may be conclusively relied upon by the Trustee.

 

Section 2.06           Transfer and Exchange.  Subject to Sections 2.15 and 2.16, when Notes
are presented to the Registrar or a co-Registrar with a request to register the
transfer of such Notes or to exchange such Notes for an equal principal amount
of Notes of other authorized denominations, the Registrar or co-Registrar shall
register the transfer or make the exchange as requested if its requirements for
such transaction are met; provided, however, that the Notes 

 

30

 

presented or surrendered for transfer or exchange
shall be duly endorsed or accompanied by a written instrument of transfer in
form satisfactory to the Company and the Registrar or co-Registrar, duly
executed by the Holder thereof or his attorney duly authorized in writing.  To permit registrations of transfers and exchanges,
the Company shall execute and the Trustee shall authenticate Notes at the Registrar’s
or co-Registrar’s written request.  No
service charge shall be made for any registration of transfer or exchange, but
the Company may require payment of a sum sufficient to cover any transfer tax
or similar governmental charge payable in connection therewith.  The Registrar or co-Registrar shall not be
required to register the transfer of or exchange of any Note (i) during a
period beginning at the opening of business 15 days before the mailing of a
notice of redemption pursuant to Section 3.03 and paragraph 5 of the Notes
and ending at the close of business on the day of such mailing and (ii) selected
for redemption in whole or in part pursuant to Article Three, except the
unredeemed portion of any Note being redeemed in part.

 

Any Holder of a beneficial
interest in a Global Security shall, by acceptance of such beneficial interest,
agree that transfers of beneficial interests in such Global Security may be
effected only through a book entry system maintained by the Holder of such
Global Security (or its agent), and that ownership of a beneficial interest in
the Note shall be required to be reflected in a book entry system.

 

Section 2.07           Replacement Notes. 
If a mutilated Note is surrendered to the Trustee or if the Holder of a
Note claims that the Note has been lost, destroyed or wrongfully taken, the
Company shall issue and the Trustee shall authenticate a replacement Note and
each of the Guarantors shall execute a Guarantee thereon if the Trustee’s
requirements are met.  If required by the
Trustee or the Company, such Holder must provide an indemnity bond or other
indemnity, sufficient in the reasonable judgment of the Company, the Guarantors
and the Trustee, to protect the Company, the Guarantors, the Trustee or any
Agent from any loss which any of them may suffer if a Note is replaced.  The Company and the Trustee may charge such
Holder for their reasonable out-of-pocket expenses in replacing a Note,
including reasonable fees and expenses of counsel.  Every replacement Note shall constitute an
additional obligation of the Company and every replacement Guarantee shall
constitute an additional obligation of the Guarantors.

 

Section 2.08           Outstanding Notes. 
Notes outstanding at any time are all the Notes that have been
authenticated by the Trustee except those cancelled by it or a Registrar, those
delivered to it or a Registrar for cancellation and those described in this Section as
not outstanding.  Subject to Section 2.09,
a Note does not cease to be outstanding because the Company or any of its
Affiliates holds the Note.

 

If a Note is replaced
pursuant to Section 2.07 (other than a mutilated Note surrendered for replacement),
it ceases to be outstanding unless the Trustee receives proof satisfactory to
it that the replaced Note is held by a bona fide purchaser.  A mutilated Note ceases to be outstanding
upon surrender of such Note and replacement thereof pursuant to Section 2.07.

 

If on a Redemption Date or
the Maturity Date, as applicable, the Paying Agent holds U.S. Legal Tender,
U.S. Government Obligations, or a combination thereof sufficient to pay all of
the 

 

31

 

principal, premium, if any,
and interest due on the Notes payable on that date, then on and after that date
such Notes cease to be outstanding and interest on them ceases to accrue.

 

If on any date which is no
earlier than 60 days prior to a Redemption Date, the Company has irrevocably
deposited in trust with the Trustee U.S. Legal Tender, U.S. Government
Obligations or a combination thereof in an amount sufficient to pay all of the
principal, premium, if any, and interest due on the Notes payable on such
Redemption Date, together with irrevocable instructions from the Company
directing the Trustee to apply such funds to the payment thereof on such
Redemption Date pursuant to the terms of this Indenture, then and after the
date of such deposit such Notes shall be deemed to be not outstanding for
purposes of determining whether the Holders of the required aggregate principal
amount of Notes have concurred in any direction, waiver, consent or notice
which requires the consent of at least a majority in aggregate principal amount
of Notes then outstanding.

 

Section 2.09           Treasury Notes. 
In determining whether the Holders of the required aggregate principal
amount of Notes have concurred in any direction, waiver, consent or notice,
Notes owned by the Company or an Affiliate shall be considered as though they
are not outstanding, except that for the purposes of determining whether the
Trustee shall be protected in relying on any such direction, waiver or consent,
only Notes which the Trustee actually knows are so owned shall be so
considered.  The Company shall notify the
Trustee, in writing, when it or any of its Affiliates repurchases or otherwise
acquires Notes, of the aggregate principal amount of such Notes so repurchased
or otherwise acquired.

 

Section 2.10           [Intentionally Omitted].

 

Section 2.11           Cancellation. 
The Company at any time may deliver Notes to the Trustee for
cancellation.  The Registrar and the
Paying Agent shall forward to the Trustee any Notes surrendered to them for
transfer, exchange or payment.  The
Trustee, or at the direction of the Trustee, the Registrar or the Paying Agent,
and no one else, shall cancel and shall dispose all cancelled Securities in
accordance with its customary procedures. 
Subject to Section 2.07, the Company may not issue new Notes to
replace Notes that the Company has paid or delivered to the Trustee for
cancellation.  Notes redeemed shall be
cancelled.  However, if the Company shall
acquire any of the Notes, such acquisition shall not operate as a redemption or
satisfaction of the Indebtedness represented by such Notes unless and until the
same are surrendered to the Trustee for cancellation pursuant to this Section 2.11.

 

Section 2.12           Defaulted Interest. 
The Company will pay interest on overdue principal from time to time on
demand at the rate of interest then borne by the Notes.  The Company shall, to the extent lawful, pay
interest on overdue installments of interest (without regard to any applicable
grace periods) from time to time on demand at the rate of interest then borne
by the Notes, as applicable.  Interest on
the Notes will be computed on the basis of a 360-day year comprised of twelve
30-day months.

 

If the Company defaults in a
payment of interest on the Notes, it shall pay the defaulted interest, plus (to
the extent lawful) any interest payable on the defaulted interest to the
Persons 

 

32

 

who are Holders on a
subsequent special record date, which date shall be the fifteenth day next
preceding the date fixed by the Company for the payment of defaulted interest
or the next succeeding Business Day if such date is not a Business Day.  At least 15 days before the subsequent special
record date, the Company shall deliver or cause to be delivered to each Holder,
with a copy to the Trustee, a notice that states the subsequent special record
date, the payment date and the amount of defaulted interest, and interest
payable on such defaulted interest, if any, to be paid.

 

Notwithstanding the
foregoing, any interest which is paid prior to the expiration of the 30-day
period set forth in Section 6.01(a) shall be paid to Holders as of
the regular record date for the Interest Payment Date for which interest has
not been paid.

 

Section 2.13           CUSIP Numbers. 
The Company in issuing the Notes may use one or more “CUSIP” and/or “ISIN”
numbers, and if so, the Trustee shall use the CUSIP and/or “ISIN” numbers in
notices of redemption or exchange as a convenience to Holders; provided,
however, that no representation is hereby deemed to be made by the
Trustee as to the correctness or accuracy of the CUSIP numbers printed in the
notice or on the Notes, and that reliance may be placed only on the other
identification numbers printed on the Notes. 
The Company shall promptly notify the Trustee of any change in the CUSIP
or “ISIN” number.

 

Section 2.14           Deposit of Moneys. 
Prior to 11:00 a.m. New York City time on each Interest Payment
Date, Maturity Date, Redemption Date, Change of Control Payment Date, and Net
Proceeds Offer Payment Date, the Company shall have deposited with each Paying
Agent in immediately available funds money sufficient to make cash payments, if
any, due on such Interest Payment Date, Maturity Date, Redemption Date, Change
of Control Payment Date, and Net Proceeds Offer Payment Date, as the case may
be, in a timely manner which permits each Paying Agent to remit payment to the
Holders on such Interest Payment Date, Maturity Date, Redemption Date, Change
of Control Payment Date, and Net Proceeds Offer Payment Date, as the case may
be.

 

Section 2.15           Book-Entry Provisions for Global Securities.  Except as indicated below in this Section 2.15,
the Notes shall be represented only by Global Securities.  The Global Securities shall be deposited with
a Depositary for such Notes or its custodian (initially, the Trustee) (and
shall be registered in the name of such Depositary or its nominee).  The Depositary for the Notes shall be DTC
unless the Company appoints a successor Depositary by delivery of a Company
Order to the Trustee specifying such successor Depositary.

 

All payments on a Global
Security will be made to DTC or its nominee, as the case may be, as the
registered owner and Holder of such Global Security.  In each case, the Company will be fully
discharged by payment to or to the order of such Depositary from any
responsibility or liability in respect of each amount so paid.  Upon receipt of any such payment in respect
of a Global Security, DTC will credit Participants’ accounts with payments in
amounts proportionate to their respective beneficial interests in the principal
amount of such Global Security as shown on the records of DTC.

 

33

 

Unless and until it is
exchanged in whole or in part for Physical Notes, in accordance with this Section 2.15,
a Global Security may not be transferred except as a whole by the relevant
Depositary or nominee thereof to another nominee of the Depositary or to a
successor of Depositary or a nominee of such successor.

 

Owners of beneficial
interests in Global Securities shall be entitled or required, as the case may
be, but only under the circumstances described in this Section 2.15, to
receive physical delivery of Physical Notes.

 

Interests in a Global Security
shall be exchangeable or transferable, as the case may be, for Physical Notes
if (i) DTC notifies the Company that it is unwilling or unable to continue
as Depositary for such Global Security, or DTC ceases to be a “Clearing Agency”
registered under the United States Securities Exchange Act of 1934, and a
successor depositary is not appointed by the Company or (ii) an Event of
Default has occurred and is continuing with respect thereto and the owner of a
beneficial interest therein requests such exchange or transfer.  Upon the occurrence of any of the events
described in the preceding sentence, the Company shall cause the appropriate
Physical Notes to be delivered to the owners of beneficial interests in the
Global Securities or the Participants in DTC through which such owners hold
their beneficial interest.  Physical
Notes shall be exchangeable or transferable for interests in other Physical
Notes as described herein.

 

Section 2.16                                Transfer and
Exchange of Securities.

 

(a)                                  Transfer and
Exchange of Global Securities.  Notwithstanding any provisions of this
Indenture or the Notes, transfers of a Global Security, in whole or in part,
transfers and exchanges of interests therein of the kinds described in clauses
(ii), (iii) and (iv) below and exchange of interests in Global
Securities or of other Securities as described in clause (v) below, shall
be made only in accordance with this Section 2.16(a).  Transfers and exchanges subject to this Section 2.16
shall also be subject to the other provisions of this Indenture that are not
inconsistent with this Section 2.16.

 

(i)      General.  A Global Security may not be transferred, in
whole or in part, to any Person other than DTC or a nominee thereof or a
successor to DTC or its nominee, and no such transfer to any such other Person
may be registered; provided that this clause (i) shall not prohibit
any transfer of a Security that is issued in exchange for a Global Security but
is not itself a Global Security.  No
transfer of a Note to any Person shall be effective under this Indenture or the
Notes unless and until such Note has been registered in the name of such
Person.  Nothing in this Section 2.16(a)(i) shall
prohibit or render ineffective any transfer of a beneficial interest in a
Global Security effected in accordance with the other provisions of this Section 2.16(a).

 

(ii)     [Reserved].

 

(iii)    Restricted
Global Security to Unrestricted Global Security.  If the Holder of a beneficial interest in a
Restricted Global Security wishes at any time to 

 

34

 

transfer such interest to a Person who wishes to take delivery thereof
in the form of a beneficial interest in an Unrestricted Global Security, such
transfer may be effected, subject to the Applicable Procedures, only in accordance
with this Section 2.16(a)(iii). 
Upon receipt by the Registrar, of (A) written instructions given in
accordance with the Applicable Procedures from an Agent Member directing the
Registrar to credit or cause to be credited to a specified Agent Member’s
account a beneficial interest in an Unrestricted Global Security in a principal
amount equal to that of the beneficial interest in a Restricted Global Security
to be so transferred, (B) a written order given in accordance with the
Applicable Procedures containing information regarding the account of the Agent
Member to be credited with, and the account of the Agent Member to be debited
for, such beneficial interest and (C) a certificate in substantially the
form set forth in Exhibit C given by the Holder of such beneficial
interest, the principal amount of the Restricted Global Security shall be
reduced, and the principal amount of an Unrestricted Global Security shall be
increased, by the principal amount of the beneficial interest in a Restricted Global
Security to be so transferred, in each case by means of an appropriate
adjustment on the records of the Registrar and the Registrar shall instruct DTC
or its authorized representative to make a corresponding adjustment to its
records and to credit or cause to be credited to the account of the Person
specified in such instructions a beneficial interest in an Unrestricted Global
Security having a principal amount equal to the amount so transferred.

 

(iv)    [Reserved].

 

(v)     Exchanges
of Global Security for Non-Global Security. 
In the event that a Global Security or any portion thereof is exchanged
for securities other than Global Securities, such other securities may in turn
be exchanged (on transfer or otherwise) for Notes that are not Global
Securities or for beneficial interests in a Global Security (if any is then
outstanding) only in accordance with such procedures, which shall be
substantially consistent with the provisions of clauses (i) through (iv) above
(including the certification requirements intended to insure that transfers and
exchanges of beneficial interests in a Global Security comply with Rule 144A,
Rule 144 or Regulation S, as the case may be) and any Applicable
Procedures, as may be from time to time adopted by the Company and the Trustee.

 

(b)                                 [Reserved].

 

(c)                                  Global
Securities.  The
provisions of clauses (i), (ii), (iii), and (iv) below shall apply only to
Global Securities;

 

(i)      General.  Each Global Security authenticated under this
Indenture shall be registered in the name of the appropriate Depositary or a
nominee thereof and delivered to such Depositary or a nominee thereof or
custodian therefor.

 

(ii)     Transfer
to Persons Other than Depositary. 
Notwithstanding any other provision in this Indenture or the Notes, no
Global Security may be exchanged in 

 

35

 

whole or in part for Notes registered, and no transfer of a Global
Security in whole or in part may be registered, in the name of any person other
than the appropriate Depositary or a nominee thereof unless (A) DTC
notifies the Company that it is unwilling or unable to continue as Depositary
for such Global Security, or DTC ceases to be a Clearing Agency registered
under the United States Securities Exchange Act of 1934, and a successor to DTC
is not appointed by the Company or (B) in the case of any Global Security,
an Event of Default has occurred and is continuing with respect thereto and the
owner of a beneficial interest therein requests such exchange or transfer.  Any Global Security exchanged pursuant to
clause (A) above shall be so exchanged in whole and not in part and any
Global Security exchanged pursuant to clause (B) above may be exchanged in
whole or from time to time in part as directed by DTC.  Any Security issued in exchange for a Global
Security or any portion thereof shall be a Global Security, provided
that any such Security so issued that is registered in the name of a Person
other than the appropriate Depositary or a nominee thereof shall not be a
Global Security.

 

(iii)    Global
Security to Physical Note.  Physical
Notes issued in exchange for a Global Security or any portion thereof pursuant
to clause (ii) above shall be issued in definitive, fully registered form
without interest coupons, and shall have an aggregate principal amount equal to
that of such Global Security or portion thereof to be so exchanged, shall be
registered in such names and be in such authorized denominations as the
appropriate Depositary shall designate and shall bear any legends required
hereunder.  Any Global Security to be
exchanged in whole shall be surrendered by the appropriate Depositary to the
Registrar.  With regard to any Global
Security to be exchanged in part, either such Global Security shall be so
surrendered for exchange or if the Trustee is acting as custodian for DTC or
its nominee with respect to such Global Security, the principal amount thereof
shall be reduced, by an amount equal to the portion thereof to be so exchanged,
by means of an appropriate adjustment made on the records of the Trustee, as
Authenticating Agent.  Upon any such
surrender or adjustment, the Trustee shall authenticate and deliver the
Security issuable on such exchange to or upon the order of the appropriate
Depositary or an authorized representative thereof.

 

(iv)    In
the event of the occurrence of any of the events specified in clause (ii) above,
the Company will promptly make available to the Trustee a reasonable supply of
Physical Notes in definitive, fully registered form, without interest coupons.

 

(v)     No
Rights of Agent Members in Global Security. 
No Agent Member of any Depositary nor any other Persons on whose behalf
Agent Members may act shall have any rights under this Indenture with respect
to any Global Security, or under any Global Security, and each Depositary or
its nominee, as the case may be, may be treated by the Company, the Trustee and
any agent of the Company or the Trustee as the absolute owner and Holder of
such Global Security for all purposes whatsoever.  Notwithstanding the foregoing, nothing herein
shall prevent the Company, the Trustee or any agent of the Company or the
Trustee from giving effect to any written certification,

 

36

 

proxy or other authorization furnished by the applicable Depositary or
such nominee, as the case may be, or impair, as between DTC, Euroclear and
Clearstream, their respective Agent Members and any other person on whose
behalf an Agent Member may act, the operation of customary practices of such
Persons governing the exercise of the rights of a Holder of any Note.

 

(vi)           Notwithstanding anything to the contrary in this
Indenture, all Global Securities shall be governed by the relevant Applicable
Procedures.

 

Section 2.17                                Special Transfer Provisions.

 

(a)                                  Transfers to
Institutional Accredited Investors.  If Notes are being transferred to an
Institutional Accredited Investor, the Notes shall be accompanied by delivery
of a transferee certificate for Institutional Accredited Investors
substantially in the form of Exhibit D hereto and an Opinion of Counsel
reasonably satisfactory to the Company to the effect that such transfer is in
compliance with the Securities Act.

 

(b)                                 Other Transfers.  If a Holder proposes to transfer an Initial
Note pursuant to any exemption from the registration requirements of the
Securities Act other than as provided for above, the Registrar shall only
register such transfer or exchange if such transferor delivers to the Registrar
and the Trustee an Opinion of Counsel satisfactory to the Company and the
Registrar that such transfer is in compliance with the Securities Act and the
terms of this Indenture; provided that the Company may, based upon the
opinion of its counsel, instruct the Registrar by a Company Order not to
register such transfer in any case where the proposed transferee is not a QIB,
an Institutional Accredited Investor or a non-U.S. Person.

 

(c)                                  General.  By its acceptance of any Note bearing
legends, each- Holder of such a Note acknowledges the restrictions on transfer
of such Security set forth in this Indenture and in the legends and agrees that
it will transfer such Security only as provided in this Indenture.

 

The Registrar shall retain
copies of all letters, notices and other written communications received
pursuant to Section 2.15, 2.16 or this Section 2.17 for a period of
two years, after which time such letters, notices and other written
communications shall at the written request of the Company be delivered to the
Company.  The Company shall have the
right to inspect and make copies of all such letters, notices or other written
communications at any reasonable time upon the giving of reasonable prior
written notice to the Registrar.

 

Section 2.18                                Issuance of Additional Notes.  The Company shall be entitled to issue
Additional Notes under this Indenture which shall have substantially identical
terms as the Initial Notes, other than with respect to the date of issuance,
issue price, amount of interest payable on the first Interest Payment Date
applicable thereto or upon a registration default as provided under a
registration rights agreement related thereto (and, if such Additional Notes
shall be issued in the form of Exchange Notes, other than with respect to
transfer restrictions); provided that such issuance is not prohibited by Section 4.12.

 

37

 

With respect to any
Additional Notes, the Company shall set forth in a resolution of its Board of
Managers (or a duly appointed committee thereof) and in an Officers’
Certificate, a copy of each of which shall be delivered to the Trustee, the
following information:

 

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

 

(2)                                  the issue price and the
issue date of such Additional Notes and the amount of interest payable on the
first Interest Payment Date applicable thereto; and

 

(3)                                  whether such Additional
Notes shall be Restricted Securities or Unrestricted Notes.

 

ARTICLE III

REDEMPTION

 

Section 3.01                                Notices to Trustee.  If the Company elects to redeem Notes
pursuant to paragraph 5 of the Notes it shall notify the Trustee and the Paying
Agent in writing of the Redemption Date and the aggregate principal amount of
the Notes to be redeemed.  Such notice
must be given at least 30 days prior to the Redemption Date, but shall not be
given more than 60 days before such Redemption Date.  Any such notice may be cancelled at any time
prior to notice of such redemption being mailed to any Holder and shall thereby
be void and of no effect.

 

Section 3.02                                Selection of Notes To Be
Redeemed.  If less
than all the Notes are to be redeemed at any time, selection of such Notes for
redemption will be made by the Trustee in compliance with the requirements of
the principal national securities exchange, if any, on which such Notes are
listed or, if such Notes are not listed on a national securities exchange, on a
pro rata basis, by lot or by such method as the Trustee shall deem fair and
appropriate; provided, however, that no Notes of a principal amount of $2,000
or less shall be redeemed in part.

 

Section 3.03                                Notice of Redemption.  At least 30 days but not more than 60 days
before a Redemption Date, the Company shall mail or cause to be mailed a notice
of redemption by first- class mail to each Holder whose Notes are to be
redeemed at its registered address, with a copy to the Trustee, except that
redemption notices may be mailed more than 60 days prior to a redemption date
if the notice is issued in connection with a defeasance of the notes or a
satisfaction and discharge of this Indenture, in each case in accordance with
this Indenture.  At the Company’s
request, the Trustee shall give the notice of redemption in the Company’s name
and at the Company’s expense provided, however, that the Company
shall deliver to the Trustee, at least 40 days prior to the Redemption Date
(which may be waived by the Trustee to a shorter notice period to the Trustee),
an Officers’ Certificate requesting that the Trustee give such notice.  Each notice for redemption shall identify the
Notes to be redeemed and shall state:

 

(1)                                  the Redemption Date;

 

(2)                                  the redemption price and the
amount of accrued interest, if any, to 

 

38

 

be paid (the “Redemption Price”);

 

(3)                                  the paragraph of the Notes,
pursuant to which the Notes are being redeemed;

 

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

 

(5)                                  that Notes called for redemption
must be surrendered to the Paying Agent to collect the Redemption Price;

 

(6)                                  that, unless the Company
defaults in making the redemption payment, interest, if any, on Notes called
for redemption shall cease to accrue on and after the Redemption Date and the
only remaining right of the Holders of such Notes is to receive payment of the
Redemption Price upon surrender to the Paying Agent of the Notes redeemed;

 

(7)                                  that, if any Note is being
redeemed in part, the portion of the principal amount of such Note to be
redeemed;

 

(8)                                  that, if less than all the
Notes are to be redeemed, the identification of the particular Notes and the
aggregate principal amount (or portion thereof) of such Notes to be redeemed,
to be redeemed and the aggregate principal amount of Notes to be outstanding
after such partial redemption; and

 

(9)                                  whether the redemption is
conditioned on any events and what such conditions are.

 

If one or more conditions
specified with respect to a redemption are not satisfied or waived, the
Redemption Date shall be deemed not to have occurred for all purposes of this
Indenture and the Company shall give notice of such non-occurrence to the
Holders of the applicable Notes and to the Trustee.

 

The Company will comply with
the requirements of Rule 14e-1 under the Exchange Act and any other securities
laws and regulations thereunder to the extent such rule, laws and regulations
are applicable in connection with the purchase of Notes.

 

Section 3.04                                Effect of Notice of
Redemption.  Once notice
of redemption is mailed in accordance with Section 3.03, Notes called for
redemption become due and payable on the Redemption Date and at the Redemption
Price.  Upon surrender to the Trustee or
Paying Agent, such Notes called for redemption shall be paid at the Redemption
Price, but installments of interest, the maturity of which is on or prior to
the Redemption Date, shall be payable to Holders of record at the close of
business on the relevant record dates referred to in the Notes.  Interest shall accrue on or after the
Redemption Date and shall be payable only if the Company defaults in payment of
the Redemption Price.

 

39

 

Section 3.05                                Deposit of Redemption Price.  On or before the Redemption Date, the Company
shall deposit with the Paying Agent U.S. Legal Tender sufficient to pay the
Redemption Price of all Notes to be redeemed on that date.  The Paying Agent shall promptly return to the
Company any U.S. Legal Tender so deposited that is not required for that
purpose, except with respect to monies owed as obligations to the Trustee
pursuant to Article Seven.

 

Unless the Company fails to
comply with the preceding paragraph and defaults in the payment of such
Redemption Price, interest on the Notes to be redeemed will cease to accrue on
and after the applicable Redemption Date, whether or not such Notes are
presented for payment.

 

Section 3.06                                Notes Redeemed in Part.  Upon surrender of a Note that is to be
redeemed in part, the Trustee shall authenticate for the Holder a new Note or
Notes equal in principal amount to the unredeemed portion of the Note
surrendered.

 

ARTICLE IV

COVENANTS

 

Section 4.01                                Payment of Notes.  The Company shall pay the interest on the
Notes on the dates and in the manner provided in the Notes.  An installment of principal of or interest on
the Notes shall be considered paid on the date it is due if the Trustee or
Paying Agent holds on that date U.S. Legal Tender designated for and sufficient
to pay the installment.  Interest on the
Notes will be computed on the basis of a 360- day year comprised of twelve
30-day months.

 

Notwithstanding anything to
the contrary contained in this Indenture, the Company may, to the extent it is
required to do so by law, deduct or withhold income or other similar taxes
imposed by the United States of America from principal, premium or interest
payments hereunder.

 

Section 4.02                                Maintenance of Office or
Agency.  The Company shall maintain the
office or agency required under Section 2.03.  The Company shall give prior 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, surrenders, notices
and demands may be made or served at the address of the Trustee set forth in Section 13.02.

 

Section 4.03                                Limitation on Restricted
Payments.  The Company
shall not, and shall not cause or permit any of its Restricted Subsidiaries to,
directly or indirectly, make any Restricted Payment if at the time of such
Restricted Payment or immediately after giving effect thereto, (i) a
Default or an Event of Default shall have occurred and be continuing, (ii) the
Company is not able to incur at least $1.00 of additional Indebtedness other
than Permitted Indebtedness in compliance with Section 4.12, or (iii) the
aggregate amount of Restricted Payments including such proposed Restricted
Payment made after June 30, 2006, including, the Fair Market Value as
determined reasonably and in good faith by the Board of Managers of the Company
of non-cash amounts constituting Restricted Payments shall exceed the sum
of:  (w) 50% of the cumulative
Consolidated Net Income (or if cumulative Consolidated Net Income shall be a
loss, minus 

 

40

 

100% of such loss) of the Company earned from June 30,
2006 through the last day of the last full fiscal quarter immediately preceding
the date the Restricted Payment occurs (the “Reference Date”) (treating such
period as a single accounting period); plus (x) 100% of the aggregate net
cash proceeds received by the Company from any Person (other than a Subsidiary
of the Company) from the issuance and sale subsequent to June 30, 2006 of
Qualified Capital Stock of the Company (other than Specified Venture Capital
Stock) or debt securities of the Company that are, upon issuance, convertible
into or exchangeable for Qualified Capital Stock of the Company, but only when
and to the extent such debt securities are converted into or exchanged for
Qualified Capital Stock of the Company; plus (y) without duplication of
any amounts included in clause (iii)(x) above, 100% of the aggregate net
cash proceeds of any equity contribution received by the Company from a holder
of the Company’s Capital Stock subsequent to June 30, 2006; plus (z) $400
million.

 

Notwithstanding the
foregoing, the provisions set forth in the immediately preceding paragraph
shall not prohibit:  (1) the payment
of any dividend within 60 days after the date of declaration of such dividend
if the dividend would have been permitted on the date of declaration; (2) the
acquisition of any shares of Capital Stock of the Company, either (i) solely
in exchange for shares of Qualified Capital Stock of the Company or (ii) if
no Default or Event of Default shall have occurred and be continuing, through
the application of net cash proceeds of a substantially concurrent Equity
Offering (other than to a Subsidiary of the Company); (3) the acquisition
or repayment of any Indebtedness of the Company that is subordinate or junior
in right of payment to the Notes either (i) solely in exchange for shares
of Qualified Capital Stock of the Company, or (ii) if no Default or Event
of Default shall have occurred and be continuing, through the application of
net cash proceeds of (A) a substantially concurrent Equity Offering or (B) incurrence
for cash of Refinancing Indebtedness, (in the case of (A) or (B), other
than to a Subsidiary of the Company); (4) so long as no Default or Event
of Default shall have occurred and be continuing, repurchases by the Company
of, or dividends to a Huntsman Parent Company to permit repurchases by a
Huntsman Parent Company of, Common Stock of the Company or a Huntsman Parent
Company from employees of the Company or any of its Subsidiaries or their
authorized representatives upon the death, disability or termination of
employment of such employees, in an aggregate amount not to exceed $25 million
in any calendar year; (5) the redemption or repurchase of any Common Stock
of the Company held by a Restricted Subsidiary of the Company which obtained
such Common Stock directly from the Company; (6) distributions to any Huntsman
Parent Company in accordance with the Tax Sharing Agreement; (7) payments
to any Huntsman Parent Company for legal, audit and other expenses directly
relating to the administration of such Huntsman Parent Company not to exceed
$10.0 million in any fiscal year; (8) the payment of consideration by a
third party to equity holders of the Company; (9) additional Restricted
Payments in an aggregate amount not to exceed $225 million since the Designated
Date; (10) the payment of dividends or distributions to any Huntsman
Parent Company which are contemporaneously applied to pay dividends on common
stock of the Huntsman Public Parent at a rate not to exceed $0.40 per share per
annum (such amount to be appropriately adjusted to reflect any stock split,
reverse stock split, stock dividend, stock issuance or similar transactions
made after the Designated Date so that the aggregate amount of dividends
payable after such transaction is the same as the amount payable immediately
prior to 

 

41

 

such transaction);
(11) payments of dividends on Disqualified Capital Stock issued in
accordance with Section 4.12; and (12) if the Consolidated Leverage
Ratio of the Company, calculated after giving pro
forma effect to any repurchase under this clause (12), is less
than 2.5 to 1.0, then the Company may repurchase or dividend to a Huntsman
Parent Company to repurchase, up to an aggregate of $250 million of Common
Stock of a Huntsman Parent Company.  In
determining the aggregate amount of Restricted Payments made subsequent to the
Designated Date in accordance with clause (iii) of the immediately
preceding paragraph, cash amounts expended pursuant to clauses (1), (2),
(3)(ii)(A) and (4) shall be included in such calculation and
Restricted Payments made pursuant to the other clauses of this paragraph shall
not be so included.

 

Not later than the date of
making any Restricted Payment pursuant to clause (iii) of the second
preceding paragraph or clause (9) of the immediately preceding paragraph,
the Company shall deliver to the Trustee an officers’ certificate stating that
such Restricted Payment complies with this Indenture and setting forth in
reasonable detail the basis upon which the required calculations were computed,
which calculations may be based upon the Company’s quarterly financial
statements last provided to the Trustee pursuant to Section 4.09.

 

Section 4.04                                Corporate Existence.  Except as otherwise permitted by Article Five,
the Company shall do or cause to be done all things reasonably necessary to
preserve and keep in full force and effect its corporate or other existence and
the corporate or other existence of each of its Restricted Subsidiaries in
accordance with the respective organizational documents of each such Restricted
Subsidiary and the material rights (charter and statutory) and franchises of
the Company and each such Restricted Subsidiary; except for such noncompliances
as are not in the aggregate reasonably likely to have a material adverse effect
on the financial condition or results of operations of the Company and its Restricted
Subsidiaries taken as a whole.

 

Section 4.05                                Payment of Taxes and Other
Claims.  The Company shall pay or
discharge or cause to be paid or discharged, before the same shall become
delinquent, (i) all material taxes, assessments and governmental charges
(including withholding taxes and any penalties, interest and additions to
taxes) levied or imposed upon it or any of its Restricted Subsidiaries or
properties of it or any of its Restricted Subsidiaries and (ii) all
material lawful claims for labor, materials, supplies and services that, if
unpaid, might by law become a Lien upon the property of it or any of its
Restricted Subsidiaries; except for such noncompliances as are not in the
aggregate reasonably likely to have a material adverse effect on the financial
condition or results of operations of the Company and its Restricted
Subsidiaries as a whole; provided, however, that there shall not
be required to be paid or discharged any such tax, assessment or charge, the
amount, applicability or validity of which is being contested in good faith by
appropriate proceedings and for which adequate provision has been made or where
the failure to effect such payment or discharge is not adverse in any material
respect to the Holders.

 

Section 4.06                                Maintenance of Properties
and Insurance.

 

(a)                                  The Company
shall, and shall cause each of its Restricted Subsidiaries to, make all
reasonable efforts to maintain its material properties in normal condition
(subject to ordinary wear and tear) and make all reasonably necessary repairs,
renewals or replacements 

 

42

 

thereto as in the judgment
of the Company may be reasonably necessary to the conduct of the business of
the Company and its Restricted Subsidiaries; except for such noncompliances as
are not in the aggregate reasonably likely to have a material adverse effect on
the financial condition or results of operations of the Company and its
Restricted Subsidiaries taken as a whole.

 

(b)                                 The Company
shall provide or cause to be provided, for itself and each of its Restricted
Subsidiaries, insurance (including appropriate self- insurance) against loss or
damage of the kinds that, in the reasonable, good faith opinion of the Company,
are reasonably adequate and appropriate for the conduct of the business of the
Company and such Restricted Subsidiaries.

 

Section 4.07                                Compliance Certificate;
Notice of Default.

 

(a)                                  The Company
shall deliver to the Trustee, within 120 days after the end of each of the
Company’s fiscal years commencing with the fiscal year ending December 31,
2009, an Officers’ Certificate stating that a review of its activities and the
activities of its Restricted Subsidiaries during the preceding fiscal year has
been made under the supervision of the signing officers with a view to
determining whether it has kept, observed, performed and fulfilled its
obligations under this Indenture and further stating, as to each such officer
signing such certificate, that to the best of his knowledge at the date of such
certificate there is no Default or Event of Default that has occurred and is
continuing or, if such signers do know of such Default or Event of Default, the
certificate shall describe the Default or Event of Default and its status with
particularity.  The Officers’ Certificate
shall also notify the Trustee should the Company elect to change the manner in
which it fixes its fiscal year end.

 

(b)                                 The annual
financial statements delivered to the Trustee pursuant to Section 4.09
shall be accompanied by a written report of the Company’s independent
accountants that in conducting their audit of the financial statements which
are a part of such annual report or such annual financial statements nothing
has come to their attention that would lead them to believe that the Company
has violated any provisions of Article Four or Five insofar as they relate
to accounting matters or, if any such violation has occurred, specifying the
nature and period of existence thereof, it being understood that such
accountants shall not be liable directly or indirectly to any Person for any
failure to obtain knowledge of any such violation.

 

(c)                                  So long as any
of the Notes are outstanding (i) if any Default or Event of Default has
occurred and is continuing or (ii) if any Holder seeks to exercise any
remedy hereunder with respect to a claimed Default under this Indenture or the
Notes, the Company shall deliver to the Trustee as soon as practicable by
registered or certified mail or by telegram, telex or facsimile transmission
followed by hard copy by registered or certified mail an Officers’ Certificate
specifying such event, notice or other action.

 

Section 4.08                                Compliance with Laws.  The Company shall comply, and shall cause
each of its Restricted Subsidiaries to comply, with all applicable statutes,
rules, regulations, orders and restrictions of the United States of America,
all states and municipalities thereof, and of any governmental department,
commission, board, regulatory authority, bureau, agency and 

 

43

 

instrumentality of the foregoing, in respect of the
conduct of their respective businesses and the ownership of their respective
properties, except for such noncompliances as are not in the aggregate
reasonably likely to have a material adverse effect on the financial condition
or results of operations of the Company and its Restricted Subsidiaries taken
as a whole.

 

Section 4.09                                Reports to Holders.  Whether or not required by the Commission, so
long as any Notes are outstanding, the Company will furnish to the Holders of
the Notes and to the Trustee, within the time periods specified in the
Commission’s rules and regulations including any extension periods
available under such rules and regulations and excluding any requirement
and time periods applicable to “accelerated filers” (as defined in Rule 12b-2
under the Exchange Act) under such rules and regulations, and make
available to securities analysts and potential investors upon request:

 

(1)                                  all quarterly and annual
financial information that would be required to be contained in a filing with
the Commission on Forms 10-Q and 10-K if the Company were required to file such
Forms, including a “Narrative Analysis of Results of Operations” or “Management’s
Discussion and Analysis of Financial Condition and Results of Operations,” as applicable,
and, with respect to the annual information only, a report on the annual
financial statements by the Company’s certified independent accountants; and

 

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

 

Notwithstanding the
foregoing, the Company shall not be required to furnish any information or
reports that are separate from information or reports furnished by Huntsman
Corporation, and the requirements specified in this paragraph shall be deemed
to be satisfied upon Huntsman Corporation’s filing of its required reports
within the time periods specified in the Commission’s rules and
regulations including any extension periods available under such rules and
regulations, in each case provided that the assets, liabilities, revenues and
net income of Huntsman Corporation are substantially similar to those of the
Company at the time of such filing.

 

If the Company has
designated as an Unrestricted Subsidiary any of its Subsidiaries that would
constitute a significant subsidiary within the meaning of Regulation S-X under
the Exchange Act, then the quarterly and annual financial information required
by the preceding paragraph shall include a reasonably detailed presentation,
either on the face of the financial statements or in the footnotes or schedules
thereto, or in Narrative Analysis of Results of Operations, of the financial
condition and results of operations of the Company and its Restricted Subsidiaries
separate from the financial condition and results of operations of the
Unrestricted Subsidiaries of the Company.

 

In the event that any
Huntsman Parent Company becomes a Guarantor of the Notes, the Company may
satisfy its obligations under this Section 4.09 with respect to financial
information relating to the Company by furnishing financial information
relating to such Huntsman Parent Company as provided in Section 3-10 of
Regulation S-X under the Exchange Act.

 

44

 

Section 4.10                                Waiver of Stay, Extension or
Usury Laws.  The Company
covenants (to the extent that it may lawfully do so) that it will not at any
time insist upon, plead, or in any manner whatsoever claim or take the benefit
or advantage of, any stay or extension law or any usury law or other law that
would prohibit or forgive the Company from paying all or any portion of the
principal of, premium or interest on the Notes as contemplated herein, wherever
enacted, now or at any time hereafter in force, or which may affect the
obligations or the performance of this Indenture; and (to the extent that it
may lawfully do so) the Company hereby expressly waives all benefit or
advantage of any such law, and covenants that it will not 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.

 

Section 4.11                                Limitations on Transactions
with Affiliates.

 

(a)                                  The Company
will not, and will not permit any of its Restricted Subsidiaries to, directly
or indirectly, enter into or permit to exist any transaction or series of
related transactions with, or for the benefit of, any of its Affiliates (each
an “Affiliate Transaction”), other than (x) Affiliate Transactions
permitted under paragraph (b) below and (y) Affiliate Transactions on
terms that are no less favorable to the Company or the relevant Restricted
Subsidiary than those terms that might reasonably have been obtained in a
comparable transaction at such time on an arm’s-length basis by the Company or
the relevant Restricted Subsidiary and an unrelated Person.  The Board of Managers of the Company or the
Board of Managers of the relevant Restricted Subsidiary must approve each
Affiliate Transaction to which they are a party that involves aggregate
payments or other property with a Fair Market Value in excess of $25.0
million.  This approval must be evidenced
by a Board Resolution that states that the applicable Board of Managers has
determined that the transaction complies with the foregoing provisions.  If the Company or any Restricted Subsidiary
of the Company enters into an Affiliate Transaction that involves an aggregate
Fair Market Value of more than $50.0 million, then prior to the consummation of
the Affiliate Transaction, the parties to such Affiliate Transaction must
obtain a favorable opinion as to the fairness of such transaction or series of
related transactions to the Company or the relevant Restricted Subsidiary, as
the case may be, from a financial point of view, from an Independent Financial
Advisor and file the same with the Trustee.

 

(b)                                 The
restrictions set forth in clause (a) shall not apply to (i) reasonable
fees and compensation paid to and indemnity provided on behalf of, officers,
directors, manager, employees or consultants of the Company or any Restricted
Subsidiary of the Company as determined in good faith by the Company’s Board of
Managers or senior management; (ii) transactions exclusively between or
among the Company and any of its Restricted Subsidiaries or exclusively between
or among such Restricted Subsidiaries, provided such transactions are not otherwise
prohibited by this Indenture; (iii) any agreement as in effect as of the
Issue Date or any amendment thereto or any transaction contemplated thereby or
in any replacement agreement thereto so long as any such amendment or
replacement agreement is not more disadvantageous to the Holders in any
material respect than the original agreement; (iv) Permitted Investments
and Restricted Payments made in compliance with Section 4.03; (v) transactions
between or among 

 

45

 

any of the Company, any of
its Subsidiaries and any Securitization Entity in connection with a Qualified
Securitization Transaction, in each case provided that such transactions
are not otherwise prohibited by this Indenture; (vi) transactions with
distributors or other purchases or sales of goods or services, in each case in
the ordinary course of business and otherwise in compliance with the terms of
this Indenture which when taken together are fair to the Company or the
Restricted Subsidiaries as applicable, in the reasonable determination of the
Board of Managers of the Company or the senior management thereof, or are on
terms at least as favorable as might reasonably have been obtained at such time
from an unaffiliated party and (vii) Guarantees by the Company or a
Guarantor incurred in accordance with clause (xxii) of the definition of Permitted
Indebtedness.

 

Section 4.12                                Limitation on Incurrence of
Additional Indebtedness.  The
Company will not, and will not permit any of its Restricted Subsidiaries to,
directly or indirectly, create, incur, assume, guarantee, acquire, become
liable, contingently or otherwise, with respect to, or otherwise become
responsible for payment of (collectively, “incur”) any Indebtedness (other than
Permitted Indebtedness); provided, however, if no Default or Event of Default
shall have occurred and be continuing at the time of or as a consequence of the
incurrence of any such Indebtedness, the Company and its Restricted
Subsidiaries may incur Indebtedness (including Acquired Indebtedness) in each
case if on the date of the incurrence of such Indebtedness, after giving effect
to the incurrence thereof, the Consolidated Fixed Charge Coverage Ratio of the
Company is greater than 2.0 to 1.0.

 

Section 4.13                                Limitation on Dividend and
Other Payment Restrictions Affecting Subsidiaries.  The Company will not, and will not cause or
permit any of its Restricted Subsidiaries to, directly or indirectly, create or
otherwise cause or permit to exist or become effective any encumbrance or
restriction on the ability of any Restricted Subsidiary of the Company to (a) pay
dividends or make any other distributions on or in respect of its Capital
Stock; (b) make loans or advances or to pay any Indebtedness or other
obligation owed to the Company or any other Restricted Subsidiary of the
Company; or (c) transfer any of its property or assets to the Company or any
other Restricted Subsidiary of the Company, except for such encumbrances or
restrictions existing under or by reason of: 
(1) applicable law, rules, regulations and/or orders; (2) 
this Indenture (including, without limitation, any Liens permitted hereunder); (3) customary
non-assignment provisions of any contract or any lease governing a leasehold
interest of the Company or any Restricted Subsidiary of the Company; (4) any
agreements existing at the time of any merger or consolidation with any Person,
acquisition of any Person or the properties or assets of such Person (including
agreements governing Acquired Indebtedness), which encumbrance or restriction
is not applicable to any Person, or the properties or assets of any Person,
other than the Person or the properties or assets of the Person merged or
consolidated with or so acquired or any Subsidiary of such Person; (5) agreements
existing on the Issue Date to the extent and in the manner such agreements are
in effect on such date and any amendments, modifications, restatements,
renewals, increases, supplements, refundings, replacements or refinancings
thereof, provided that such amendments, modifications, restatements, increases,
supplements, refundings, replacements or refinancings are no more restrictive
(as determined by the Board of Managers of the Company in their reasonable and 

 

46

 

good faith judgment) in any material respect, taken
as a whole, with respect to such dividend and other payment restrictions than
those contained in such agreements or instruments as in effect on the Issue
Date; (6) restrictions imposed by any agreement to sell assets or Capital
Stock permitted under this Indenture to any Person pending the closing of such
sale; (7) any agreement or instrument governing Capital Stock of any
Person that is acquired; (8) Indebtedness or other contractual
requirements of a Securitization Entity in connection with a Qualified
Securitization Transaction; provided that such restrictions apply only to such
Securitization Entity; (9) Liens incurred in accordance with the covenant
described under Section 4.18; (10) restrictions on cash or other
deposits or net worth imposed by customers under contracts entered into in the
ordinary course of business; (11) the Credit Facilities; (12) any restriction under
an agreement governing Indebtedness of a Foreign Subsidiary permitted under Section 4.12;
(13) customary restrictions in Capitalized Lease Obligations, security
agreements or mortgages securing Indebtedness of the Company or a Restricted
Subsidiary to the extent such restrictions restrict the transfer of the
property subject to such Capitalized Lease Obligations, security agreements or
mortgages; (14) customary provisions in joint venture agreements and other
similar agreements (in each case relating solely to the respective joint
venture or similar entity or the equity interests therein) entered into in the
ordinary course of business; (15) contracts entered into in the ordinary course
of business, not relating to Indebtedness, and that do not, individually or in
the aggregate, detract from the value of property or assets of the Company or
any Restricted Subsidiary in any manner material to the Company or any
Restricted Subsidiary; and (16) an agreement governing Indebtedness incurred to
Refinance the Indebtedness issued, assumed or incurred pursuant to an agreement
referred to in clause (2), (4), (5), (8), (11), (12) or (13) above; provided,
however, that the provisions relating to such encumbrance or restriction
contained in any such Indebtedness are no less favorable to the Company in any
material respect as determined by the Board of Managers of the Company in their
reasonable and good faith judgment than the provisions relating to such
encumbrance or restriction contained in agreements referred to in such clause
(2), (4), (5), (8), (11), (12) or (13).

 

Section 4.14                                Change of Control.

 

(a)                                  Upon the
occurrence of a Change of Control, each Holder will have the right to require
that the Company purchase all or a portion (equal to $2,000 or an integral
multiple of $1,000 in excess thereof) of such Holder’s Notes in cash pursuant
to the offer described below (the “Change of Control Offer”), at a purchase
price equal to 101% of the principal amount thereof plus accrued and unpaid
interest, if any, to the date of purchase.

 

(b)                                 [Reserved]

 

(c)                                  Within 30 days
following the date on which a Change of Control occurs (the “Change of Control
Date”), the Company shall send, by first class mail, postage prepaid, a notice
to each Holder of Notes at their last registered address and the Trustee, which
notice shall govern the terms of the Change of Control Offer.  The notice to the Holders shall contain all
instructions and materials necessary to enable such Holders to tender Notes
pursuant to the Change of Control Offer. 
Such notice shall state:

 

47

 

(1)                              that the Change
of Control Offer is being made pursuant to Section 4.14 of this Indenture
and that all Notes validly tendered and not withdrawn will be accepted for payment;

 

(2)                                  the purchase
price (including the amount of accrued interest, if any) and the purchase date
(which shall be no earlier than 30 days nor later than 60 days from the date
such notice is mailed, other than as may be required by law) (the “Change of
Control Payment Date”);

 

(3)                                  that any Note
not tendered will continue to accrue interest;

 

(4)                                  that, unless
the Company defaults in making payment therefor, any Note accepted for payment
pursuant to the Change of Control Offer shall cease to accrue interest after
the Change of Control Payment Date;

 

(5)                                  that Holders
electing to have a Note purchased pursuant to a Change of Control Offer will be
required to surrender the Note, with the form entitled “Option of Holder to
Elect Purchase” on the reverse of the Note completed, to the Paying Agent and
Registrar for the Notes at the address specified in the notice prior to the
close of business on the third Business Day prior to the Change of Control
Payment Date;

 

(6)                                  that Holders
will be entitled to withdraw their election if the Paying Agent receives, not
later than the second Business Day prior to the Change of Control Payment Date,
a telegram, telex, facsimile transmission or letter setting forth the name of
the Holder, the principal amount of the Notes the Holder delivered for purchase
and a statement that such Holder is withdrawing his election to have such Note
purchased;

 

(7)                                  that Holders
whose Notes are purchased only in part will be issued new Notes in a principal
amount equal to the unpurchased portion of the Notes surrendered; provided,
however, that each Note purchased and each new Note issued shall be in a
principal amount of $2,000 or integral multiples of $1,000 in excess thereof;
and

 

(8)                                  the
circumstances and relevant facts regarding such Change of Control.

 

(d)                                 On or before
the Change of Control Payment Date, the Company shall (i) accept for
payment Notes or portions thereof (in minimum principal amount of $2,000 or
integral multiples of $1,000 in excess thereof) validly tendered pursuant to
the Change of Control Offer, (ii) deposit with the Paying Agent in
accordance with Section 2.14 cash sufficient to pay the purchase price
plus accrued and unpaid interest, if any, of all Notes to be purchased and (iii) deliver
to the Trustee Notes so accepted together with an Officers’ Certificate stating
the Notes or portions thereof being purchased by the Company.  Upon receipt by the Paying Agent of the
monies specified in clause (ii) above and a copy of the Officers’
Certificate specified in clause 

 

48

 

(iii) above, the Paying
Agent shall promptly pay to the Holders of Notes so accepted payment in an
amount equal to the purchase price plus accrued and unpaid interest, if any,
out of the funds deposited with the Paying Agent in accordance with the
preceding sentence.  The Trustee shall
promptly authenticate and mail or cause to be transferred by book-entry to such
Holders new Notes equal in principal amount to any unpurchased portion of the
Notes surrendered, provided that each such new Note will be in a principal
amount of $2,000 or integral multiples of $1,000 in excess thereof.  Upon the payment of the purchase price for
the Notes accepted for purchase, the Trustee shall return the Notes purchased
to the Company for cancellation.  Any
monies remaining after the purchase of Notes pursuant to a Change of Control
Offer shall be returned within three Business Days by the Trustee to the
Company except with respect to monies owed as obligations to the Trustee
pursuant to Article Seven.  For
purposes of this Section 4.14, the Trustee shall act as the Paying Agent
for the Notes.

 

(e)                                  The Company
will comply with the requirements of Rule 14e-1 under the Exchange Act and
any other securities laws and regulations thereunder to the extent such rule,
laws and regulations are applicable in connection with the purchase of the
Notes pursuant to a Change of Control Offer. 
To the extent the provisions of any securities laws and regulations
conflict with the provisions of this Indenture relating to a Change of Control
Offer, the Company shall comply with the applicable securities laws and
regulations and shall not be deemed to have breached its obligations relating
to such Change of Control Offer by virtue thereof.

 

(f)                                    The Company
will not be required to make a Change of Control Offer upon a Change of Control
if a third party makes the Change of Control Offer in the manner, at the times
and otherwise in compliance with the requirements set forth in this Indenture
with respect to a Change of Control Offer made by the Company and purchases all
Notes validly tendered and not withdrawn under such Change of Control Offer.

 

Section 4.15                                Limitation on Asset Sales.

 

(a)                                  The Company will not, and
will not permit any of its Restricted Subsidiaries to, consummate an Asset Sale
unless (i) the Company or the applicable Restricted Subsidiary receives
consideration at the time of such Asset Sale at least equal to the Fair Market
Value of the assets sold or otherwise disposed of as determined in good faith
by the Company’s Board of Managers; and (ii) at least 75% (or, in the case
of an Asset Sale consisting of assets used or useful in a business similar or
related to the Pigments business of the Company and its Subsidiaries, 65%) of
the consideration received by the Company or the applicable Restricted
Subsidiary from such Asset Sale shall be in the form of cash or Cash
Equivalents, and is received at the time of the Asset Sale (which shall be
deemed to include other consideration converted to cash or Cash Equivalents
within 90 days of such Asset Sale).

 

(b)                                 For the purposes of paragraph
(a) above, the amount of any liabilities shown on the most recent
applicable balance sheet of the Company or the applicable Restricted
Subsidiary, other than liabilities that are by their terms subordinated to the
Notes, that are assumed by the transferee of any such assets will be deemed to
be cash for 

 

49

 

purposes of such provision.

 

(c)                                  Upon the consummation of an
Asset Sale, the Company may apply, or cause such applicable Restricted
Subsidiary to apply, the Net Cash Proceeds relating to such Asset Sale within
415 days of having received the Net Cash Proceeds:

 

(i)                  to prepay any Senior Debt of the Company or a
Guarantor or any Indebtedness of a Restricted Subsidiary that is not a
Guarantor and, in the case of any such Indebtedness under any revolving credit
facility, effect a permanent reduction in the availability under such revolving
credit facility, and/or

 

(ii)               to make an investment in or expenditures for
properties and assets (including Capital Stock of any entity) that replace the
properties and assets that were the subject of the Asset Sale or in properties
and assets (including Capital Stock of any entity) that will be used in the
business of the Company and its Subsidiaries as existing on the Issue Date or
in businesses reasonably related thereto (“Replacement Assets”) and/or

 

(iii)            make an acquisition of all of the capital stock or
assets of any Person or division conducting a business reasonably related to
that of the Company or its Subsidiaries. 
On the 416th day after an Asset Sale or any earlier date, if any, on
which the Board of Managers of the Company or of the applicable Restricted
Subsidiary determines not to apply the Net Cash Proceeds in accordance with the
above provisions of this clause (c) (each, a “Net Proceeds Offer Trigger
Date”), such aggregate amount of Net Cash Proceeds which have not been applied
or contractually committed to be applied (and to the extent not subsequently
applied, the Net Proceeds Offer Trigger Date related thereto shall be deemed to
be the date of termination of such contractual commitment or any earlier date,
if any, on which the Board of Managers of the Company or the board of the
applicable Restricted Subsidiary determines not to apply the Net Cash Proceeds
in accordance with such contractual commitment) on or before such Net Proceeds
Offer Trigger Date as permitted by the above provisions of this clause (c) (the
“Net Proceeds Offer Amount”) shall be applied by the Company or such Restricted
Subsidiary to make an offer to purchase (or repay, prepay or redeem, as the
case may be) (the “Net Proceeds Offer”) on a date (the “Net Proceeds Offer
Payment Date”) that is not less than 30 nor more than 45 days following the
applicable Net Proceeds Offer Trigger Date, from all Holders and all holders of
Indebtedness that is equal in right of payment with the Notes and contains
provisions requiring that an offer to purchase such other Indebtedness be made
with the proceeds of the Asset Sale, on a pro rata basis, the maximum principal
amount of Notes and other Indebtedness that may be purchased with the Net
Proceeds Offer Amount.  Notwithstanding
the foregoing, the obligation to make a Net Proceeds Offer shall be suspended
until such time as the aggregate amount of the Net Proceeds Offer Amount is
equal to or exceeds $75 million.  The
offer price in any Net Proceeds Offer will be equal to 100% of the principal
value of the Notes to be purchased, plus any accrued and unpaid interest to the
date of purchase.  The following events
will be deemed to constitute an Asset Sale and the Net Cash Proceeds for such
Asset Sale must be 

 

50

 

applied in accordance with this Section 4.15: in the event any
non-cash consideration received by the Company or any Restricted Subsidiary of
the Company in connection with any Asset Sale is converted into or sold or
otherwise disposed of for cash (other than interest received with respect to
any such non-cash consideration), or in the event of the transfer of
substantially all (but not all) of the property and assets of the Company and
its Restricted Subsidiaries as an entirety to a Person in a transaction
permitted under Section 5.01 and as a result thereof the Company is no
longer an obligor on the Notes, the successor corporation shall be deemed to
have sold the properties and assets of the Company and its Restricted
Subsidiaries not so transferred for purposes of this Section 4.15, and
shall comply with the provisions of this covenant with respect to such deemed
sale as if it were an Asset Sale.  In
addition, the Fair Market Value of such properties and assets of the Company or
its Restricted Subsidiaries deemed to be sold shall be deemed to be Net Cash
Proceeds for purposes of this Section 4.15.

 

(d)                                 Notwithstanding the
immediately preceding paragraphs, the Company and its Restricted Subsidiaries
may consummate an Asset Sale without complying with such paragraphs to the
extent (i) at least 75% of the consideration for such Asset Sale
constitutes Replacement Assets and (ii) such Asset Sale is for Fair Market
Value; provided, however, that any consideration that does not constitute
Replacement Assets that is received by the Company or any of its Restricted
Subsidiaries in connection with any Asset Sale permitted under this paragraph
shall constitute Net Cash Proceeds and will be subject to the provisions
described in the preceding paragraphs.

 

(e)                                  Each notice of a Net
Proceeds Offer pursuant to this Section 4.15 shall be mailed, by
first-class mail, by the Company to Holders of Notes at their last registered
address not more than 30 days following the Net Proceeds Offer Trigger Date,
with a copy to the Trustee.  The notice
shall contain all instructions and materials necessary to enable such Holders
to tender Notes pursuant to the Net Proceeds Offer and shall state the
following terms:

 

(1)                                  that the Net Proceeds Offer
is being made pursuant to Section 4.15 of this Indenture, that all Notes
tendered will be accepted for payment; provided, however, that if
the aggregate principal amount of Notes tendered in a Net Proceeds Offer plus
accrued interest at the expiration of such offer exceeds the aggregate amount
of the Net Proceeds Offer, the Company shall select the Notes to be purchased
on a pro rata basis (with such adjustments as may be deemed appropriate by the
Company so that only Notes in denominations of $2,000 or integral multiples of
$1,000 in excess thereof shall be purchased) and that the Net Proceeds Offer
shall remain open for a period of 20 Business Days or such longer periods as
may be required by law;

 

(2)                                  the purchase price
(including the amount of accrued interest) and the Net Proceeds Offer Payment
Date (which shall be not less than 30 nor more than 45 days following the
applicable Net Proceeds Offer Trigger Date and which shall be at least five
Business Days after the Trustee receives notice thereof from 

 

51

 

the Company);

 

(3)                                  that any Note not tendered
will continue to accrue interest;

 

(4)                                  that, unless the Company
defaults in making payment therefor, any Note accepted for payment pursuant to
the Net Proceeds Offer shall cease to accrue interest after the Net Proceeds
Offer Payment Date;

 

(5)                                  that Holders electing to
have a Note purchased pursuant to a Net Proceeds Offer will be required to
surrender the Note, with the form entitled “Option of Holder to Elect Purchase”
on the reverse of the Note completed, to the Paying Agent at the address
specified in the notice prior to the close of business on the third Business
Day prior to the Net Proceeds Offer Payment Date;

 

(6)                                  that Holders will be
entitled to withdraw their election if the Paying Agent receives, not later
than the second Business Day prior to the Net Proceeds Offer Payment Date, a
telegram, telex, facsimile transmission or letter setting forth the name of the
Holder, the principal amount of the Notes the holder delivered for purchase and
a statement that such Holder is withdrawing his election to have such Note
purchased; and

 

(7)                                  that Holders whose Notes are
purchased only in part will be issued new Notes in a principal amount equal to
the unpurchased portion of the Note surrendered; provided, however,
that each new Note issued shall be in an original principal amount of $2,000 or
integral multiples of $1,000 in excess thereof.

 

On or before the Net
Proceeds Offer Payment Date, the Company shall (i) accept for payment
Notes or portions thereof (in minimum principal amount of $2,000 or integral
multiples of $1,000 in excess thereof validly tendered pursuant to the Net
Proceeds Offer, (ii) deposit with the Paying Agent, in accordance with Section 2.14,
U.S. Legal Tender sufficient to pay the purchase price plus accrued and unpaid
interest, if any, of all Notes to be purchased and (iii) deliver to the
Trustee Notes so accepted together with an Officers’ Certificate stating the
Notes or portions thereof being purchased by the Company.  Upon receipt by the Paying Agent of the
monies specified in clause (ii) above and a copy of the Officers’ Certificate
specified in clause (iii) above, the Paying Agent shall promptly pay to
the Holders of Notes so accepted payment in an amount equal to the purchase
price plus accrued and unpaid interest, if any, out of the funds deposited with
the Paying Agent in accordance with the preceding sentence.  The Trustee shall promptly authenticate and
mail to such Holders new Notes equal in principal amount to any unpurchased
portion of the Notes surrendered.  Upon
the payment of the purchase price for the Notes accepted for purchase, the
Trustee shall cancel such Notes pursuant to Section 2.11 of this
Indenture.  Any monies remaining after
the purchase of Notes pursuant to a Net Proceeds Offer shall be returned within
three Business Days by the Trustee to the Company except with respect to monies
owed as obligations to the Trustee pursuant to Article Seven.  For purposes of this Section 4.15, the
Trustee shall act as the Paying Agent for the Notes.

 

52

 

To the extent the amount of
Notes tendered pursuant to any Net Proceeds Offer is less than the amount of
Net Cash Proceeds subject to such Net Proceeds Offer, the Company may use any remaining
portion of such Net Cash Proceeds not required to fund the repurchase of
tendered Notes for general corporate purposes and such Net Proceeds Offer
Amount shall be reset to zero.

 

The Company will comply with
the requirements of Rule 14e-1 under the Exchange Act and any other
securities laws and regulations thereunder to the extent such rule, laws and
regulations are applicable in connection with the repurchase of Notes pursuant
to a Net Proceeds Offer.  To the extent
the provisions of any securities laws and regulations conflict with the
provisions of this Indenture relating to a Net Proceeds Offer, the Company
shall comply with the applicable securities laws and regulations and shall not
be deemed to have breached its obligations relating to such Net Proceeds Offer
by virtue thereof.

 

Section 4.16                                [Reserved].

 

Section 4.17                                Limitation on Preferred
Stock of Restricted Subsidiaries.  The Company will not permit any of its
Restricted Subsidiaries to issue any Preferred Stock (other than to the Company
or to another Restricted Subsidiary of the Company) or permit any Person (other
than the Company or a Restricted Subsidiary of the Company) to own any
Preferred Stock of any Restricted Subsidiary of the Company; provided, however,
that any Person that is not a Restricted Subsidiary of the Company may issue
Preferred Stock to equity holders of such Person in exchange for equity
interests if after such issuance such Person becomes a Restricted Subsidiary of
the Company.

 

Section 4.18                                Limitation on Liens.  The Company shall not, and shall not permit
any of its Restricted Subsidiaries to create, incur, or otherwise cause or
suffer to exist or become effective any Liens of any kind upon any property or
assets of the Company or any Restricted Subsidiary now owned or hereafter
acquired, which secures Subordinated Indebtedness unless such Indebtedness is incurred
in accordance with this Indenture and the Notes are secured on an equal and
ratable basis with the obligations so secured until such time as such
obligation is no longer secured by a Lien; provided that any such Lien shall be
subordinated to the Lien granted to the Holders in the same collateral as that
securing such Lien to the same extent as such Subordinated Indebtedness is
subordinated to the Notes.

 

Section 4.19                                Limitation of Guarantees by
Restricted Subsidiaries.  The
Company will not permit any of its Restricted Subsidiaries, directly or indirectly,
by way of the pledge of any intercompany note or otherwise, to assume,
guarantee or in any other manner become liable with respect to any Indebtedness
of the Company or any other Restricted Subsidiary (other than (A) Indebtedness
under Commodity Agreements and Currency Agreements in reliance on clause (v) of
the definition of Permitted Indebtedness, (B) Interest Swap Obligations incurred
in reliance on clause (iv) of the definition of Permitted Indebtedness, (C) any
guarantee by a Foreign Subsidiary of Indebtedness of another Foreign Subsidiary
permitted under Section 4.12), or (D) any guarantee of Acquired
Indebtedness of a person by any Subsidiary of such person which guarantee
constitutes Acquired Indebtedness, unless, in any such case (a) such
Restricted Subsidiary that is not a Guarantor executes and delivers a
supplemental indenture to this 

 

53

 

Indenture, providing a Guarantee by such Restricted
Subsidiary, (b) if any such assumption, guarantee or other liability by
such Restricted Subsidiary is provided in respect of Senior Indebtedness, then
the guarantee or other instrument provided by such Restricted Subsidiary in
respect of such Senior Indebtedness shall be pari passu in right of payment
with the Guarantees and (c) any such assumption, guarantee or other
liability of such Restricted Subsidiary that is provided in respect of
Subordinated Indebtedness shall be subordinated to the Guarantees in a manner
substantially similar to the manner in which such Subordinated Indebtedness is
subordinated.

 

Section 4.20                                Conduct of Business.  The Company and its Restricted Subsidiaries
(other than a Securitization Entity) will not engage in any businesses which
are not the same, similar or related to the businesses in which the Company and
its Restricted Subsidiaries were engaged on the Issue Date, except to the
extent that after engaging in any new business, the Company and its Restricted
Subsidiaries, taken as a whole, remain substantially engaged in similar lines
of business as were conducted by them on the Issue Date.

 

Section 4.21                                Covenant Termination.  After such time as (i) the Notes have
been assigned an Investment Grade Rating by either Rating Agency (the “Investment
Grade Rating Date”) and (ii) no Default or Event of Default under this
Indenture shall have occurred and be continuing, and notwithstanding that the
Notes may later cease to have an Investment Grade Rating by any Rating Agency,
the Company and its Restricted Subsidiaries shall no longer be subject to the
following sections:  Section 4.03, Section 4.11,
Section 4.12, Section 4.13, Section 4.15, Section 4.17, Section 4.19,
Section 4.20 and Section 5.01(a)(iii) or (c)(iii).  Notice of such covenant termination shall be
provided in writing to the Trustee.

 

ARTICLE V

SUCCESSOR CORPORATION

 

Section 5.01                                Merger, Consolidation and
Sale of Assets.

 

(a)                                  The Company
shall not, in a single transaction or a series of related transactions,
consolidate or merge with or into any Person, or sell, transfer or otherwise
dispose of (or permit any Restricted Subsidiary of the Company to sell, assign,
transfer, lease, convey or otherwise dispose of) all or substantially all of
the Company’s assets (determined on a consolidated basis for the Company and
its Restricted Subsidiaries), unless:

 

(i)                  either (1) the Company shall be the
surviving or continuing entity or (2) the Person (if other than the
Company) formed by such consolidation or merger shall be an entity organized
and validly existing under the laws of the United States or any State thereof
or the District of Columbia (the “Surviving Entity”)

 

(ii)               the Surviving Entity, if any, expressly
assumes, by supplemental indenture (in form and substance satisfactory to the
Trustee), all rights and obligations of the Company under the Notes and this
Indenture;

 

54

 

(iii)            immediately after giving effect to such transaction
either (a) the Company or the Surviving Entity shall be able to incur at
least $1.00 of additional Indebtedness (other than Permitted Indebtedness)
pursuant to Section 4.12 or (b) the Consolidated Fixed Charge
Coverage Ratio of the Company or the Surviving Entity would be greater than the
Consolidated Fixed Charge Coverage Ratio of the Company determined immediately
prior to such transaction;

 

(iv)           immediately before and after giving effect to such
transaction, including the assumption of the Notes, no Default or Event of
Default occurred or exists; and

 

(v)              the Company or the Surviving Entity shall have
delivered to the Trustee an Officers’ Certificate and an Opinion of Counsel
stating that all conditions precedent in this Indenture relating to such
transaction have been satisfied.

 

(b)                                 For purposes of
this Section 5.01, the transfer (by lease, assignment, sale or otherwise,
in a single transaction or series of related transactions) of all or
substantially all of the properties and assets of one or more Restricted
Subsidiaries of the Company, the Capital Stock of which constitutes all or
substantially all of the properties or assets of the Company, will be deemed to
be the transfer of all or substantially all of the properties and assets of the
Company.

 

(c)                                  Each Guarantor
(other than any Guarantor whose Guarantee is to be released in accordance with
the terms of the Guarantee and this Indenture in connection with any
transaction complying with the provisions of Section 4.15) will not, and
the Company will not cause or permit any Guarantor to, consolidate with or
merge with or into any Person other than the Company or any other Guarantor
unless: (i) the entity formed by or surviving any such consolidation or
merger (if other than the Guarantor) or to which such sale, lease, conveyance
or other disposition shall have been made assumes by supplemental indenture all
of the obligations of the Guarantor on its Guarantee; (ii) immediately
after giving effect to such transaction, no Default or Event of Default shall
have occurred and be continuing; and (iii) immediately after giving effect
to such transaction and the use of any net proceeds therefrom on a pro forma
basis, the Company could satisfy the provisions of Section 5.01(a)(iii).  Any merger or consolidation of a Guarantor
with and into the Company (with the Company being the surviving entity) or
another Guarantor need not comply with clause (a) above.

 

Notwithstanding anything in
this Section 5.01 to the contrary, (a) the Company may merge with an
Affiliate that has no material assets or liabilities and that is incorporated
or organized solely for the purpose of reincorporating or reorganizing the
Company in another state of the United States or the District of Columbia
without complying with Section 5.01(a)(iii) and (b) any
transaction characterized as a merger under applicable state law where each of
the constituent entities survives, shall not be treated as a merger for
purposes of this covenant, but shall instead be treated as (x) an Asset
Sale, if the result of such transaction is the transfer of assets by the Company
or a Restricted Subsidiary, or (y) an Investment, if the result of such
transaction is the acquisition of assets by the Company or a Restricted
Subsidiary.

 

55

 

Section 5.02                                Successor Corporation Substituted.  Upon any consolidation, combination or
merger, or any transfer of all or substantially all of the assets of the
Company in accordance with Section 5.01 in which the Company is not the
Surviving Entity, the successor Person formed by such consolidation or into
which the Company is merged or to which such conveyance, lease or transfer is
made shall succeed to, and be substituted for, and may exercise every right and
power of, the Company under this Indenture and the Notes with the same effect
as if such Surviving Entity had been named as such.

 

ARTICLE VI

DEFAULT AND REMEDIES

 

Section 6.01                                Events of Default.  Each of the following shall be an “Event of
Default”:

 

(1)                                  the failure to pay interest
on any Notes when the same becomes due and payable and such Default continues
for a period of 30 days;

 

(2)                                  the failure to pay principal
on any Notes, when such principal becomes due and payable, at maturity, upon
redemption or otherwise (including the failure to make a payment when due to purchase
the Notes tendered pursuant to a Change of Control Offer or a Net Proceeds
Offer);

 

(3)                                  the failure of the Company
or any Guarantor to comply with any covenant or agreement contained in this
Indenture, which default continues for a period of 60 days after the Company receives
a written notice specifying the default (or 120 days after such a notice in the
event of a Default under Section 4.09) (and demanding that such default be
remedied) from the Trustee or the Holders of at least 25% of the outstanding
principal amount of the Notes (including any Additional Notes subsequently issued
under this Indenture) (except in the case of a default with respect to Section 5.01,
which will constitute an Event of Default with such notice requirement but
without such passage of time requirement);

 

(4)                                  the occurrence of any
default under any agreement governing Indebtedness of the Company or any of its
Restricted Subsidiaries, if that default: 
(A) is caused by the failure to pay at final maturity the principal
amount of any Indebtedness after giving effect to any applicable grace periods
and any extensions of time for payment of such Indebtedness; or (B) results in the acceleration of the final stated maturity of
any such Indebtedness, and in each case if the aggregate principal amount of such
Indebtedness unpaid or accelerated aggregates $100.0 million or more at any
time, and in each case such Indebtedness has not been discharged in full or
such acceleration has not been rescinded or annulled within 30 days of such
final maturity or acceleration;

 

(5)                                  the failure of the Company
or any of the Guarantors to pay or otherwise discharge or stay one or more
judgments in an aggregate amount exceeding $100.0 million (which are not
covered by indemnities or third party insurance as to which the Person giving
such indemnity or such insurer has not disclaimed coverage) for a 

 

56

 

period of 60 days after such judgments become final and non-appealable;

 

(6)                                  the Company or any
Restricted Subsidiary which is also a Significant Subsidiary (A) commences
a voluntary case or proceeding under any Bankruptcy Law with respect to itself,
(B) consents to the entry of a judgment, decree or order for relief
against it in an involuntary case or proceeding under any Bankruptcy Law, (C) consents
to the appointment of a custodian of it or for substantially all of its
property, (D) consents to or acquiesces in the institution of a bankruptcy
or an insolvency proceeding against it or (E) makes a general assignment
for the benefit of its creditors;

 

(7)                                  a court of competent
jurisdiction enters a judgment, decree or order for relief in respect of the
Company or any Restricted Subsidiary which is also a Significant Subsidiary in
an involuntary case or proceeding under any Bankruptcy Law, which shall (A) approve
as properly filed a petition seeking reorganization, arrangement, adjustment or
composition in respect of the Company or any Significant Subsidiary, (B) appoint
a custodian of the Company or any Significant Subsidiary or for substantially
all of its property or (C) order the winding-up or liquidation of its
affairs; and such judgment, decree or order shall remain unstayed and in effect
for a period of 60 consecutive days; or

 

(8)                                  the failure of any Guarantee
of any Significant Subsidiary of the Company to be in full force and effect
(other than as provided in accordance with the terms of such Guarantee and this
Indenture) or any of the Guarantors denies its liability under its Guarantee.

 

Section 6.02                                Acceleration.

 

(a)                                  If an Event of
Default of the type described in Section 6.01(6) or (7) occurs
with respect to the Company and is continuing, then all unpaid principal of,
and premium, if any, and accrued and unpaid interest on all of the outstanding
Notes (including any Additional Notes subsequently issued under this Indenture)
will become immediately due and payable without further action or notice.  If any other Event of Default occurs and is
continuing, then the Trustee or the Holders of at least 25% in principal amount
of outstanding Notes (including any Additional Notes subsequently issued under
this Indenture) may declare the principal of and accrued interest on all the
Notes to be due and payable by notice in writing (the “Acceleration Notice”) to
the Company and the Trustee, which notice must also specify that it is a “notice
of acceleration.”

 

(b)                                 At any time
after a declaration of acceleration with respect to the Notes as described in Section 6.02(a),
the Holders of a majority in principal amount of the Notes (including any
Additional Notes) may rescind and cancel such declaration and its consequences:

 

(1)                                  if the
rescission would not conflict with any judgment or decree;

 

(2)                                  if all existing
Events of Default have been cured or waived except

 

57

 

nonpayment
of principal or interest that has become due solely because of the
acceleration;

 

(3)           to the extent the payment of such
interest is lawful, interest on overdue installments of interest and overdue
principal, which has become due otherwise than by such declaration of
acceleration, has been paid;

 

(4)           if the Company has paid the Trustee
its compensation and reimbursed the Trustee for its reasonable expenses,
disbursements and advances; or

 

(5)           in the event of the cure or waiver of
an Event of Default of the type described in Section 6.01(6) or (7),
the Trustee shall have received an Officers’ Certificate that such Event of
Default has been cured or waived.

 

No
such rescission shall affect any subsequent Default or impair any right
consequent thereto.

 

Section 6.03           Other Remedies.  If an Event of Default occurs and is
continuing, the Trustee may pursue any available remedy by proceeding at law or
in equity to collect the payment of principal of, premium, if any, or accrued
and unpaid interest on the Notes or to enforce the performance of any provision
of the Notes or this Indenture.

 

The Trustee may maintain a
proceeding even if it does not possess any of the Notes or does not produce any
of them in the proceeding.  A delay or
omission by the Trustee or any Noteholder in exercising any right or remedy
accruing upon an Event of Default shall not impair the right or remedy or
constitute a waiver of or acquiescence in the Event of Default.  No remedy is exclusive of any other
remedy.  All available remedies are
cumulative to the extent permitted by law.

 

Section 6.04           Waiver of Past
Defaults.  Subject to
Sections 6.07 and 9.02, the Holders of a majority in aggregate principal amount
of the Notes (including the aggregate principal amount of any Additional Notes
subsequently issued under this Indenture) by notice to the Trustee may waive
any existing Default or Event of Default hereunder and its consequences, except
a Default in the payment of the principal of or interest on any Note as
specified in clauses (1) and (2) of Section 6.01; provided
that a Default or Event of Default due to failure to comply with Section 4.09
shall be deemed to be cured upon filing by the Company (or, if applicable,
Huntsman Corporation) of the reports in compliance with Section 4.09.

 

Section 6.05           Control by
Majority.  Subject to Section 2.09,
the Holders of a majority in aggregate principal amount of the then outstanding
Notes may direct the time, method and place of conducting any proceeding for
any remedy available to the Trustee or exercising any trust or power conferred
on it, including, without limitation, any remedies provided for in Section 6.03.  Subject to Section 7.01, however, the
Trustee may, in its discretion, refuse to follow any direction that conflicts
with any law or this Indenture, that the Trustee determines may be unduly
prejudicial to the rights of another Holder (it being understood that the
Trustee shall have no duty 

 

58

 

to ascertain whether or not such actions or
forbearances are unduly prejudicial to such Holders) or that may involve the
Trustee in personal liability; provided, however, that the Trustee may take any
other action deemed proper by the Trustee, in its discretion, that is not inconsistent
with such direction.

 

Prior to taking any action
hereunder, the Trustee shall be entitled to indemnification by the Holders
satisfactory to it in its sole discretion against all losses and expenses
caused by taking or not taking such action

 

Section 6.06           Limitation on
Suits.  A Holder may not pursue any
remedy with respect to this Indenture or the Notes unless:

 

(1)           the
Holder gives to the Trustee notice of a continuing Event of Default;

 

(2)           Holders
of at least 25% in aggregate principal amount of the then outstanding Notes
make a written request to the Trustee to pursue the remedy;

 

(3)           such
Holders offer to the Trustee indemnity or security against any loss, liability
or expense to be incurred in compliance with such request which is satisfactory
to the Trustee;

 

(4)           the
Trustee does not comply with the request within 45 days after receipt of the
request and the offer of satisfactory indemnity or security; and

 

(5)           during
such 45-day period the Holders of a majority in aggregate principal amount of
the then outstanding Notes do not give the Trustee a direction which, in the
opinion of the Trustee, is inconsistent with the request.

 

A Holder may not use this
Indenture to prejudice the rights of another Holder or to obtain a preference
or priority over such other Holder.

 

Section 6.07           Rights of
Holders To Receive Payment.  Notwithstanding any other provision of this
Indenture, the right of any Holder to receive payment of principal of, premium
and interest on a Note, on or after the respective due dates expressed in such
Note, or to bring suit for the enforcement of any such payment on or after such
respective dates, shall not be impaired or affected without the consent of such
Holder.

 

Section 6.08           Collection Suit
by Trustee.  If an Event
of Default in payment of principal or interest specified in clause (1) or (2) of
Section 6.01 occurs and is continuing, the Trustee may recover judgment in
its own name and as trustee of an express trust against the Company or any
other obligor on the Notes for the whole amount of principal and accrued
interest remaining unpaid, together with interest on overdue principal and, to
the extent that payment of such interest is lawful, interest on overdue
installments of interest at the rate set forth in the Notes and such further
amount as shall be sufficient to cover the costs and expenses of collection,
including 

 

59

 

the reasonable compensation, expenses, disbursements
and advances of the Trustee, its agents and counsel.

 

Section 6.09           Trustee May File
Proofs of Claim.  The Trustee
may file such proofs of claim and other papers or documents as may be necessary
or advisable in order to have the claims of the Trustee (including any claim
for the reasonable compensation, expenses, taxes, disbursements and advances of
the Trustee, its agents and counsel) and the Holders allowed in any judicial
proceedings relating to the Company or any other obligor upon the Notes, any of
their respective creditors or any of their respective property, and shall be
entitled and empowered to collect and receive any monies or other property
payable or deliverable on any such claims and to distribute the same, and any
custodian in any such judicial proceedings is hereby authorized by each Holder
to make such payments to the Trustee and, in the event that the Trustee shall
consent to the making of such payments directly to the Holders, to pay to the
Trustee any amount due to it for the reasonable compensation, expenses, taxes,
disbursements and advances of the Trustee, its agents and counsel, and any
other amounts due the Trustee under Section 7.07.  The Company’s payment obligations under this Section 6.09
shall be secured in accordance with the provisions of Section 7.07.  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 the Notes 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.

 

Section 6.10           Priorities.  If the Trustee collects any money or property
pursuant to this Article Six, it shall pay out the money in the following
order:

 

First:  to the Trustee, its
agents and attorneys for amounts due under Sections 6.09 and 7.07;

 

Second:  if the Holders are
forced to proceed against the Company directly without the Trustee, to Holders
for their collection costs;

 

Third:  to Holders for amounts
due and unpaid on the Notes for principal, premium, if any, and interest,
ratably, without preference or priority of any kind, according to the amounts
due and payable on the Notes for principal, premium, if any, and interest,
respectively; and

 

Fourth:  to the Company or any
other obligor on the Notes, as their interests may appear, or as a court of
competent jurisdiction may direct.

 

The Trustee, upon prior
notice to the Company, may fix a record date and payment date for any payment
to Holders pursuant to this Section 6.10.

 

Section 6.11           Undertaking for
Costs.  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, a court in its
discretion may require the filing by any party litigant in the suit of an 

 

60

 

undertaking to pay the costs of the suit, and the
court in its discretion may assess reasonable costs, including reasonable
attorneys’ fees, against any party litigant in the suit, having due regard to
the merits and good faith of the claims or defenses made by the party
litigant.  This Section 6.11 does
not apply to a suit by the Trustee, a suit by a Holder pursuant to Section 6.06
or 6.07.

 

Section 6.12           Expenses and
Services After an Event of Default.  When the Trustee incurs expenses or renders
services after the occurrence of an Event of Default described in this Article VI,
the expenses and compensation for services are intended to constitute expenses
of administration under any bankruptcy law.

 

ARTICLE VII

TRUSTEE

 

Section 7.01           Duties of
Trustee.

 

(a)                                  If an Event of
Default has occurred and is continuing, the Trustee shall exercise such rights
and powers vested in it by this Indenture and use the same degree of care and
skill in its exercise thereof as a prudent Person would exercise or use under
the circumstances in the conduct of its own affairs.

 

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

 

(1)           The Trustee
need perform only those duties as are specifically set forth in this Indenture
or the TIA and no duties, covenants, responsibilities or obligations shall be implied
in this Indenture that are adverse to the Trustee.

 

(2)           In the absence
of bad faith on its part, the Trustee may conclusively rely, as to the truth of
the statements and the correctness of the opinions expressed therein, upon
certificates (including Officers’ Certificates) or opinions (including Opinions
of Counsel) furnished to the Trustee and conforming to the requirements of this
Indenture.  However, as to any
certificates or opinions which are required by any provision of this Indenture
to be delivered or provided to the Trustee, the Trustee shall examine the
certificates and opinions to determine whether or not they conform to the
requirements of this Indenture but need not confirm or investigate the accuracy
or mathematical calculations or other facts stated therein or otherwise verify
the contents thereof.

 

(c)                                  Notwithstanding
anything to the contrary herein contained, the Trustee may not be relieved from
liability for its own negligent action, its own negligent failure to act, or
its own willful misconduct, except that:

 

(1)           This paragraph
does not limit the effect of paragraph (b) of this Section 7.01.

 

61

 

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

 

(3)           The Trustee
shall not be liable with respect to any action it takes or omits to take in
good faith in accordance with a direction received by it pursuant to Section 6.02,
6.04 or 6.05.

 

(d)                                 No provision of
this Indenture shall require the Trustee to expend or risk its own funds or
otherwise incur any financial liability in the performance of any of its duties
hereunder or in the exercise of any of its rights or powers if it shall have
reasonable grounds for believing that repayment of such funds or adequate
indemnity against such risk or liability is not reasonably assured to it.

 

(e)                                  Every provision
of this Indenture that in any way relates to the Trustee is subject to
paragraphs (a), (b), (c) and (d) of this Section 7.01.

 

(f)                                    The Trustee
shall not be liable for interest on any money or assets received by it except
as the Trustee may agree with the Company. 
Assets held in trust by the Trustee need not be segregated from other
assets except to the extent required by law.

 

Section 7.02           Rights of
Trustee.  Subject to Section 7.01:

 

(a)                                  In the absence
of bad faith, negligence or willful misconduct on the part of the Trustee, the
Trustee may conclusively rely and shall be fully protected in acting or
refraining from acting upon any document believed by it to be genuine and to
have been signed or presented by the proper Person.  The Trustee need not investigate any fact or
matter stated in the document.

 

(b)                                 Before the
Trustee acts or refrains from acting, it may consult with counsel and may
require an Officers’ Certificate or an Opinion of Counsel, which shall conform
to Sections 13.04 and 13.05.  The Trustee
shall not be liable for and shall be fully protected in respect of any action
it takes or omits to take in good faith in reliance on such Officers’
Certificate, or an Opinion of Counsel or advice of counsel.

 

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

 

(d)                                 The Trustee
shall not be bound to make any investigation into the facts or matters stated
in any resolution, certificate (including any Officers’ Certificate),
statement, instrument, opinion (including any Opinion of Counsel), 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, upon reasonable notice to the Company, to examine the 

 

62

 

books, records, and premises of the Company, personally or by agent or
attorney.

 

(e)                                  The Trustee
shall be under no obligation to exercise any of the rights or powers vested in
it by this Indenture at the request, order or direction of any of the Holders
of the Notes pursuant to the provisions of this Indenture, unless such Holders
shall have offered to the Trustee satisfactory security or indemnity against
the costs, expenses and liabilities which may be incurred by it in compliance
with such request, order or direction.

 

(f)                                    The Trustee may
consult with counsel of its selection, and the advice or opinion of counsel
with respect to legal matters relating to this Indenture and the Notes shall be
full and complete authorization and protection from liability with respect to
any action taken, omitted or suffered by it hereunder in good faith and in
accordance with the advice or opinion of such counsel.

 

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

 

(h)                                 The permissive
rights of the Trustee to do things enumerated in this Indenture shall not be
construed as a duty.

 

(i)                                     The Trustee may
execute any of the trusts or powers hereunder or perform any duties hereunder
either directly or by or through agents, attorneys or independent contractors
and the Trustee will not be responsible for any misconduct or negligence on the
part of any agent, attorney or independent contractor appointed with due care
by it hereunder.

 

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

 

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

 

(l)                                     The Trustee may
request that the Company deliver an incumbency 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 incumbency certificate may
be signed by any Person authorized to sign an incumbency certificate, including
any Person as so authorized in any such certificate previously delivered and
not superseded.

 

63

 

Section 7.03           Individual
Rights of Trustee.  The Trustee
in its individual or any other capacity may become the owner or pledgee of
Notes and may otherwise deal with the Company, any Restricted or Unrestricted
Subsidiary, or their respective Affiliates, with the same rights it would have
if it were not Trustee.  Any Agent may do
the same with like rights.  However, the
Trustee must comply with Sections 7.10 and 7.11.

 

Section 7.04           Trustee’s
Disclaimer.  The Trustee
makes no representation as to the validity or adequacy of this Indenture or the
Notes, and it shall not be accountable for the Company’s use of the proceeds
from the Notes, and it shall not be responsible for any statement of the
Company in this Indenture or the Notes other than the certificate of
authentication.

 

Section 7.05           Notice of
Default.  If a Default or an Event of
Default occurs and is continuing and if the Trustee has actual knowledge of
such Default or Event of Default, the Trustee shall mail to each Noteholder
notice of the uncured Default or Event of Default on the later of (i) 60
days after such Default or Event of Default occurs or (ii) 10 days after
the Trustee has actual knowledge of such Default or Event of Default.  Except in the case of a Default or an Event
of Default in the payment of interest or principal of, premium or interest on,
any Note, including an accelerated payment and the failure to make payment on
the Change of Control Payment Date pursuant to a Change of Control Offer or on
a Net Proceeds Offer Payment Date pursuant to a Net Proceeds Offer and, except
in the case of a failure to comply with Article Five, the Trustee may
withhold the notice if and so long as its Responsible Officer(s) in good
faith determines that withholding the notice is in the interest of the
Holders.  The Trustee shall not be deemed
to have knowledge of a Default or Event of Default other than (i) any
Event of Default occurring pursuant to Sections 6.01(1) or 6.01(2); or (ii) any
Default or Event of Default of which a Trust Officer shall have received written
notification or obtained actual knowledge. 
As used herein, the term “actual knowledge” means the actual fact or
statement of knowing, without any duty to make any investigation with regard
thereto.

 

Section 7.06           Reports by
Trustee to Holders.  Within 60
days after April 15 of each year beginning with April 15, 2010, the
Trustee shall, to the extent that any of the events described in TIA § 313(a) occurred
within the previous twelve months, but not otherwise, mail to each Noteholder a
brief report dated as of such date that complies with TIA § 313(a).  The Trustee also shall comply with TIA § 313(b) and
313(c).

 

A copy of each report at the
time of its mailing to Holders shall be mailed to the Company and filed with
the SEC and each stock exchange, if any, on which the Notes are listed.

 

The Company shall promptly notify
the Trustee if the Notes become listed on any stock exchange, and if the Notes
are so listed, the Trustee shall comply with TIA § 313(d).

 

Section 7.07           Compensation
and Indemnity.  The Company
shall pay to the Trustee from time to time, and the Trustee shall be entitled
to, such compensation as may be agreed upon by the Company and the
Trustee.  The Trustee’s compensation
shall not be limited by any law on compensation of a trustee of an express
trust.  The Company shall reimburse the
Trustee promptly upon request for all reasonable out-of-pocket expenses,
disbursements and advances 

 

64

 

incurred or made by it in connection with the
performance of its duties and the discharge of its obligations under this
Indenture.  Such expenses shall include
the reasonable fees and expenses of the Trustee’s agents and counsel.

 

The Company shall indemnify
the Trustee and its agents, employees, officers, stockholders and directors
for, and hold them harmless against, any loss, liability or expense including
taxes (other than taxes based on the income of the Trustee) and reasonable
attorneys’ fees and expenses incurred by them except for such actions to the
extent caused by any negligence, bad faith or willful misconduct on their part,
arising out of or in connection with the acceptance or administration of this
trust including the reasonable costs and expenses of defending themselves
against or investigating any claim (whether asserted by the Company, and Holder
or any other Person) or liability in connection with the exercise or
performance of any of the Trustee’s rights, powers or duties hereunder.  The Trustee shall notify the Company promptly
of any claim asserted against the Trustee or any of its agents, employees, officers,
stockholders and directors for which it may seek indemnity.  Failure by the Company to so notify the
Trustee shall not relieve the Company of its obligations hereunder.  The Company shall defend the claim and the
Trustee shall cooperate in the defense at the Company’s expense.  The Trustee and its agents, employees,
officers, stockholders and directors subject to the claim may have separate
counsel and the Company shall pay the reasonable fees and expenses of such
counsel; provided, however, that the Company will not be required
to pay such fees and expenses if it assumes the Trustee’s defense and there is
no conflict of interest between the Company and the Trustee and its agents,
employees, officers, stockholders and directors subject to the claim in
connection with such defense as reasonably determined by the Trustee; provided,
further, that, unless the Company otherwise agrees in writing, the
Company shall not be liable to pay the fees and expenses of more than one
counsel at any given time located within one particular jurisdiction.  The Company need not pay for any settlement
made without its written consent which consent shall not be unreasonably
withheld.  The Company need not reimburse
any expense or indemnify against any loss or liability to the extent incurred
by the Trustee through its negligence, bad faith or willful misconduct.

 

To secure the Company’s
payment obligations in this Section 7.07, the Trustee shall have a lien
prior to the Notes on all assets or money held or collected by the Trustee, in
its capacity as Trustee, except assets or money held in trust to pay principal
of or interest on particular Notes.

 

When the Trustee incurs
expenses or renders services after an Event of Default specified in Section 6.01(6) or
(7) occurs, such expenses 
(including the reasonable charges and expenses of its counsel) and the
compensation for such services are intended to constitute expenses of administration
and shall be paid to the extent allowed under any Bankruptcy Law.

 

The provisions of this Section shall
survive the termination of this Indenture, any rejection or termination of this
Indenture under any Bankruptcy Law or the resignation or removal of the
Trustee.

 

Section 7.08           Replacement of
Trustee.  The Trustee may resign by so
notifying the Company in writing at least 30 days in advance.  The Holders of a majority in principal amount

 

65

 

of the outstanding Notes may remove the Trustee by
so notifying the Company and the Trustee and may appoint a successor Trustee
with the Company’s consent.  A
resignation or removal of the Trustee and appointment of a successor Trustee
shall become effective only with the successor Trustee’s acceptance of
appointment as provided in this Section. 
The Company may remove the Trustee if:

 

(1)           the
Trustee fails to comply with Section 7.10;

 

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

 

(3)           a
receiver or other public officer takes charge of the Trustee or its property;
or

 

(4)           the
Trustee becomes incapable of acting.

 

If the Trustee resigns or is
removed or if a vacancy exists in the office of Trustee for any reason, the
Company shall notify each Holder of such event and shall promptly appoint a
successor Trustee.  Within one year after
the successor Trustee takes office, the Holders of a majority in principal
amount of the Notes may appoint a successor Trustee to replace the successor Trustee
appointed by the Company.

 

A successor Trustee shall
deliver a written acceptance of its appointment to the retiring Trustee and to
the Company.  Promptly after that, the
retiring Trustee shall transfer all property held by it as Trustee to the successor
Trustee, subject to the lien provided in Section 7.07, the resignation or
removal of the retiring Trustee shall become effective, and the successor
Trustee shall have all the rights, powers and duties of the Trustee under this
Indenture.  A successor Trustee shall mail
notice of its succession to each Holder.

 

If a successor Trustee does
not take office within 60 days after the retiring Trustee resigns or is
removed, the retiring Trustee, the Company or the Holders of at least 10% in
aggregate principal amount of the outstanding Notes may petition any court of
competent jurisdiction for the appointment of a successor Trustee.

 

If the Trustee fails to
comply with Section 7.10, any Holder may petition any court of competent
jurisdiction for the removal of the Trustee and the appointment of a successor
Trustee.

 

Notwithstanding replacement
of the Trustee pursuant to this Section 7.08, the Company’s obligations
under Section 7.07 shall continue for the benefit of the retiring Trustee.

 

Section 7.09           Successor
Trustee by Merger, Etc.  If
the Trustee consolidates with, merges or converts into, or transfers all or
substantially all of its corporate trust business to, another corporation, the
resulting, surviving or transferee corporation without any further act shall,
if such resulting, surviving or transferee corporation is otherwise eligible
hereunder, be the successor Trustee; provided, however, that such
corporation shall be otherwise qualified and 

 

66

 

eligible under this Article Seven.

 

Section 7.10           Eligibility;
Disqualification.  This
Indenture shall always have a Trustee who satisfies the requirement of TIA
§§ 310(a)(1) and 310(a)(2). 
The Trustee (or in the case of a corporation included in a bank holding
company system, the related bank holding company) shall have a combined capital
and surplus of at least $100,000,000 as set forth in its most recent published
annual report of condition.  In addition,
if the Trustee is a corporation included in a bank holding company system, the
Trustee, independently of such bank holding company, shall meet the capital
requirements of TIA § 310(a)(2). 
The Trustee shall comply with TIA § 310(b); provided, however,
that there shall be excluded from the operation of TIA § 310(b)(1) any
indenture or indentures under which other notes, or certificates of interest or
participation in other notes, of the Company are outstanding, if the
requirements for such exclusion set forth in TIA § 310(b)(1) are
met.  The provisions of TIA § 310
shall apply to the Company and any other obligor of the Notes.

 

Section 7.11           Preferential
Collection of Claims Against the Company.  The Trustee shall comply with TIA
§ 311(a), excluding any creditor relationship listed in TIA
§ 311(b).  A Trustee who has
resigned or been removed shall be subject to TIA § 311(a) to the
extent indicated therein.  The provisions
of TIA § 311 shall apply to the Company and any other obligor of the
Notes.

 

ARTICLE VIII

DISCHARGE OF INDENTURE; DEFEASANCE

 

Section 8.01           Termination of
the Company’s Obligations.  This
Indenture will be Discharged and will cease to be of further effect and the
obligations of the Company and the Guarantors under the Notes and the
Guarantees and this Indenture shall terminate (except that the obligations
under Sections 2.03 through 2.07, 7.01, 7.02, 7.07 and 7.08 and the rights, powers,
trusts, duties and immunities of the Trustee hereunder shall survive the effect
of this Article Eight) when (a) either (i) all existing Notes
theretofore authenticated and delivered (except lost, stolen or destroyed Notes
which have been replaced or paid and Notes for whose payment money has
theretofore been deposited in trust or segregated and held in trust by the
Company and thereafter repaid to the Company or discharged from such trust)
have been delivered to the Trustee for cancellation or (ii) all Notes not
theretofore delivered to the Trustee for cancellation have become due and
payable or will become due and payable within one year (including by way of
irrevocable instructions delivered by the Company to the Trustee to effect the
redemption of the Notes), and the Company has irrevocably deposited or caused
to be deposited with the Trustee as trust funds in trust solely for the benefit
of the Holders of such Notes, cash in U.S. dollars, U.S. Government Obligations
or a combination thereof, in amounts as will be sufficient without
consideration of any reinvestment of interest to pay and discharge the entire
Indebtedness on the Notes not theretofore delivered to the Trustee for
cancellation, for principal of, premium, if any, and interest on the Notes to
the date of deposit together with irrevocable instructions from the Company
directing the Trustee to apply such Funds to the payment thereof at maturity or
redemption, as the case may be; (b) the Company has paid all other sums
payable under this Indenture by the Company with respect to the Notes; and (c) the
Company has 

 

67

 

delivered to the Trustee an Officers’ Certificate
and an Opinion of Counsel stating that all conditions precedent under this
Indenture relating to the satisfaction and discharge of this Indenture with
respect to the Notes have been complied with. 
All funds that remain unclaimed for one year will be paid to the Company
and thereafter Holders must look to the Company for payment as general
creditors.

 

In addition, at the Company’s
option, either (a) the Company shall be deemed to have been Discharged
from any and all obligations with respect to the Notes and the Guarantees (“Legal
Defeasance”) after the applicable conditions set forth below have been
satisfied (except for the obligations of the Company under Sections 2.03, 2.04,
2.06, 2.07, 7.01, 7.02, 7.07 and this Section 8.01) or (b) the
Company and its Restricted Subsidiaries shall cease to be under any obligation
to comply with any term, provision or condition set forth in Sections 4.03,
4.09 and 4.11 through 4.20 and Section 5.01 and thereafter any omission to
comply with such obligations shall not constitute a Default or Event of Default
with respect to the Notes (“Covenant Defeasance”) after the applicable
conditions set forth below have been satisfied:

 

(1)           the Company
must irrevocably deposit with the Trustee in trust, for the benefit of the
Holders cash in U.S. Dollars or non-callable U.S. government obligations, in
such amounts as will be sufficient, in the opinion of a nationally recognized
firm of independent public accountants, to pay the principal of, premium, if
any, and interest on the Notes on the stated date for payment thereof or on an
applicable redemption date;

 

(2)           in the case of
Legal Defeasance, the Company shall have delivered to the Trustee an Opinion of
Counsel in the United States of America reasonably acceptable to the Trustee
confirming that

 

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

 

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

 

in either case, to the effect that, and based
thereon such Opinion of Counsel shall confirm that, the Holders of the
outstanding Notes will not recognize income, gain or loss for United States
federal income tax purposes as a result of such Legal Defeasance and will be
subject to United States federal income tax on the same amounts, in the same
manner and at the same times as would have been the case if such Legal
Defeasance had not occurred; provided, however, such Opinion of Counsel shall
not be required if all the Notes will become due and payable on the Maturity Date
within one year or are to be called for redemption within one year under arrangements
satisfactory to the Trustee;

 

(3)           in the case of
Covenant Defeasance, the Company shall have delivered to the Trustee an Opinion
of Counsel in the United States of America reasonably acceptable to the Trustee
confirming that the Holders of the outstanding Notes

 

68

 

will not recognize income, gain or loss for United States federal
income tax purposes as a result of such Covenant Defeasance and will be subject
to United States federal income tax on the same amounts, in the same manner and
at the same times as would have been the case if such Covenant Defeasance had
not occurred;

 

(4)           no Event of Default or Default shall have occurred
and be continuing on the date of such deposit (other than any Default arising
from the substantially contemporaneous incurrence of Indebtedness to fund the
deposit described above in clause (1));

 

(5)           such Legal Defeasance or Covenant Defeasance shall
not result in a breach or violation of, or constitute a default under this
Indenture (other than any Default arising from the substantially contemporaneous
incurrence of Indebtedness to fund the deposit described above in clause (1))
or any other material agreement or instrument to which the Company or any of
its Subsidiaries is a party or by which the Company or any of its Subsidiaries
is bound;

 

(6)           the Company shall have delivered to the Trustee an
Officers’ Certificate stating that the deposit was not made by the Company with
the intent of preferring the Holders of the Notes over any other creditors of
the Company or with the intent of defeating, hindering, delaying or defrauding
any other creditors of the Company or others;

 

(7)           the Company shall have delivered to the Trustee an
Officers’ Certificate and an Opinion of Counsel, each stating that all
conditions precedent provided for or relating to the Legal Defeasance or the
Covenant Defeasance have been complied with; and

 

(8)           the Company shall have delivered to the Trustee an
Opinion of Counsel, to the effect that either (i) the Company has assigned
all its ownership interest in the trust funds to the Trustee or (ii) the
Trustee has a valid perfected security interest in the trust funds.

 

Section 8.02           Acknowledgment of Discharge by Trustee.  Subject to Section 8.05, after (i) the
conditions of Section 8.01, have been satisfied and (ii) the Company
has delivered to the Trustee an Opinion of Counsel, stating that all conditions
precedent referred to in clause (i) above relating to the satisfaction and
discharge of this Indenture have been complied with, the Trustee upon written
request of the Company shall acknowledge in writing the discharge of the
Company’s obligations under this Indenture except for those surviving
obligations specified in this Article Eight.

 

Section 8.03           Application of Trust Money.  The Trustee shall hold in trust Funds deposited
with it pursuant to Section 8.01. 
It shall apply the Funds through the Paying Agent and in accordance with
this Indenture to the payment of all the principal of, or premium, if any, and
interest on the Notes.

 

69

 

Section 8.04           Repayment to the Company.  The Trustee and the Paying Agent shall
promptly pay to the Company any Funds held by them for the payment of all the
principal of, or premium, if any, and interest that remains unclaimed for one
year; provided, however, that the Trustee or such Paying Agent
may, at the expense of the Company, cause to be published once in a newspaper
of general circulation in the City of New York or mailed to each Holder, notice
that such Funds remain unclaimed and that, after a date specified therein,
which shall not be less than 30 days from the date of such publication or
mailing, any unclaimed balance of such Funds then remaining will be repaid to
the Company.  After payment to the
Company, Holders entitled to the Funds must look to the Company for payment as
general unsecured creditors unless an applicable abandoned property law
designates another Person and all liability of the Trustee and Paying Agent
with respect to such Funds shall cease.

 

Section 8.05           Reinstatement.  If the Trustee or Paying Agent is unable to
apply any Funds by reason of any legal proceeding or by reason of any order or
judgment of any court or governmental authority enjoining, restraining or
otherwise prohibiting such application, the Company’s obligations under this
Indenture and the Notes shall be revived and reinstated as though no deposit
had occurred pursuant to Section 8.01 until such time as the Trustee or
Paying Agent is permitted to apply all such Funds in accordance with Section 8.01;
provided, however, that if the Company has made any payment of
principal, or premium, if any, and interest on any Notes because of the
reinstatement of its obligations, the Company shall be subrogated to the rights
of the Holders of such Notes to receive such payment from Funds held by the
Trustee or Paying Agent.

 

ARTICLE IX

AMENDMENTS, SUPPLEMENTS AND WAIVERS

 

Section 9.01           Without Consent of Holders.  The Company, when authorized by a Board
Resolution, the Guarantors and the Trustee, together, may amend or supplement
this Indenture, the Notes or the Guarantees without the consent of any Holders
to:

 

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

 

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

 

(3)           provide for uncertificated Notes in addition to or
in place of certificated Notes;

 

(4)           to add any person as a Guarantor of the Notes or
secure the Notes or the Guarantees;

 

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

 

70

 

(6)           to make any change that would provide any additional
benefit or rights to the Holders or that does not adversely affect in any
material respect the legal rights of any Noteholders hereunder; provided
that the Company has delivered to the Trustee an Opinion of Counsel and an
Officers’ Certificate, each stating that such amendment or supplement complies
with the provisions of this Section 9.01.

 

Section 9.02           With Consent of Holders.  Subject to Section 6.07, the Company,
when authorized by a Board Resolution, the Guarantors and the Trustee,
together, with the written consent (including any electronic communication
thereof by a Depositary) of the Holder or Holders of at least a majority in
principal amount of the then outstanding Notes (including the aggregate
principal amount of any Additional Notes subsequently issued under this
Indenture) may make all other modifications, waivers and amendments of this
Indenture, the Notes or the Guarantees, except that, without the consent of
each Holder of Notes affected thereby, no amendment and waiver may, directly or
indirectly:

 

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

 

(2)           reduce the rate of or change the time for payment of
interest, including defaulted interest, on any Notes;

 

(3)           reduce the principal of or change the fixed maturity
of any Notes, or change the date on which any Notes may be subject to
redemption or repurchase, or reduce the redemption or repurchase price thereof
for the Notes;

 

(4)           make any Notes payable in money other than that
stated in the Notes and this Indenture;

 

(5)           make any change in provisions of this Indenture or
the Notes relating to the rights of Holders of Notes to receive payment of
principal of and interest on such Notes on or after the due date thereof or to
bring suit to enforce such payment or permitting Holders of a majority in
principal amount of the Notes to waive Defaults or Events of Default;

 

(6)           after a Change of Control has occurred, amend,
change or modify any provision of this Indenture that would amend, change or
modify in any material respect the obligation of the Company to make and
complete a Change of Control Offer with respect to such Change of Control or,
after an Asset Sale has occurred, amend, change or modify in any material
respect the obligation of the Company to make and complete a Net Proceeds Offer
with respect to such Asset Sale; or

 

(7)           release any Guarantor from any of its obligations
under its Guarantee or this Indenture otherwise than in accordance with the
terms of this Indenture.

 

It shall not be necessary
for the consent of the Holders under this Section 9.02 to approve 

 

71

 

the particular form of any
proposed amendment, supplement or waiver, but it shall be sufficient if such
consent approves the substance thereof.

 

After an amendment, supplement
or waiver under this Section 9.02 becomes effective (as provided in Section 9.04),
the Company shall mail to the Holders affected thereby a notice briefly
describing the amendment, supplement or waiver. 
Any failure of the Company to mail such notice, or any defect therein,
shall not, however, in any way impair or affect the validity of any such
supplemental indenture.

 

Section 9.03           Compliance with TIA.  Every amendment, waiver or supplement of this
Indenture or the Notes shall comply with the TIA as then in effect.

 

Section 9.04           Revocation and Effect of Consents.  Until an amendment, waiver or supplement
becomes effective, a consent to it by a Holder is a continuing consent by the
Holder and every subsequent Holder of a Note or portion of a Note that
evidences the same debt as the consenting Holder’s Note, even if notation of
the consent is not made on any Note. 
Subject to the following paragraph, any such Holder or subsequent Holder
may revoke the consent as to his Note or portion of his Note by notice to the
Trustee or the Company received before the date on which the Trustee receives
an Officers’ Certificate certifying that the Holders of the requisite principal
amount of Notes have consented (and not theretofore revoked such consent) to
the amendment, supplement or waiver (at which time such amendment, supplement
or waiver shall become effective).

 

The Company may, but shall
not be obligated to, fix such record date as it may select for the purpose of
determining the Holders entitled to consent to any amendment, supplement or
waiver.  If a record date is fixed, then
notwithstanding the last sentence of the immediately preceding paragraph, those
Persons who were Holders at such record date (or their duly designated proxies),
and only those Persons, shall be entitled to revoke any consent previously
given, whether or not such Persons continue to be Holders after such record
date.  No such consent shall be valid or
effective for more than 120 days after such record date.

 

After an amendment, supplement
or waiver becomes effective, it shall bind every Holder, unless it makes a
change described in any of clauses (1) through (8) of Section 9.02,
in which case, the amendment, supplement or waiver shall bind only each Holder
of a Note who has consented to it and every subsequent Holder of a Note or
portion of a Note that evidences the same debt as a consenting Holder’s Note; provided,
however, that any such waiver shall not impair or affect the right of
any Holder to receive payment of principal of and interest on a Note, on or
after the respective due dates expressed in such Note, or to bring suit for the
enforcement of any such payment on or after such respective dates without the
consent of such Holder.

 

Section 9.05           Notation on or Exchange of Notes.  If an amendment, supplement or waiver changes
the terms of a Note, the Trustee may require the Holder of the Note to deliver
it to the Trustee.  The Trustee may place
an appropriate notation on the Note about the changed terms and return it to
the Holder.  Alternatively, if the
Company or the Trustee so determines, the Company in exchange for the Note
shall issue and the Trustee shall authenticate a new Note that 

 

72

 

reflects the changed terms.

 

Section 9.06           Trustee To Sign Amendments, Etc.  The Trustee shall execute any amendment,
supplement or waiver authorized pursuant to and adopted in accordance with this
Article Nine; provided, however, that the Trustee may, but shall not be
obligated to, execute any such amendment, supplement or waiver which affects
the Trustee’s own rights, duties or immunities under this Indenture.  The Trustee shall be entitled to receive, and
shall be fully protected in relying upon, an Opinion of Counsel and an Officers’
Certificate each stating that the execution of any amendment, supplement or
waiver authorized pursuant to this Article Nine is authorized or permitted
by this Indenture.  Such Opinion of
Counsel shall not be an expense of the Trustee.

 

ARTICLE X

[RESERVED]

 

ARTICLE XI

GUARANTEE OF NOTES

 

Section 11.01         Unconditional Guarantee.  Subject to the provisions of this Article Eleven,
each of the Guarantors hereby, jointly and severally, unconditionally and
irrevocably guarantees (such guarantees to be referred to herein as the “Guarantee”)
to each Holder of a Note (including any Additional Notes upon issuance in
accordance with Section 2.18) authenticated and delivered by the Trustee
and to the Trustee and its successors and assigns, irrespective of the validity
and enforceability of this Indenture, the Notes or the obligations of the
Company or any other Guarantors to the Holders or the Trustee hereunder or
thereunder, that: (a) the principal of, premium, if any, and interest on
the Notes (and any Additional Interest payable thereon) shall be duly and
punctually paid in full when due, whether at maturity, upon redemption at the
option of Holders pursuant to the provisions of the Notes relating thereto, by
acceleration or otherwise, and interest on the overdue principal and (to the
extent permitted by law) interest, if any, on the Notes and all other
obligations of the Company or the Guarantors to the Holders or the Trustee
hereunder or thereunder (including amounts due the Trustee under Section 7.07
hereof) and all other obligations shall be promptly paid in full or performed,
all in accordance with the terms hereof and thereof; and (b) in case of
any extension of time of payment or renewal of any Notes or any of such other
obligations, the same shall be promptly paid in full when due or performed in
accordance with the terms of the extension or renewal, whether at maturity, by
acceleration or otherwise.  Failing
payment when due of any amount so guaranteed, or failing performance of any
other obligation of the Company to the Holders under this Indenture or under
the Notes, for whatever reason, each Guarantor shall be obligated to pay, or to
perform or cause the performance of, the same immediately.  An Event of Default under this Indenture or
the Notes shall constitute an event of default under this Guarantee, and shall
entitle the Holders of Notes to accelerate the obligations of the Guarantors
hereunder in the same manner and to the same extent as the obligations of the
Company.

 

Each of the Guarantors
hereby agrees that its obligations hereunder shall be unconditional,
irrespective of the validity, regularity or enforceability of the Notes or this

 

73

 

Indenture, the absence of
any action to enforce the same, any waiver or consent by any Holder of the
Notes with respect to any provisions hereof or thereof, any release of any
other Guarantor, the recovery of any judgment against the Company, any action
to enforce the same, whether or not a Guarantee is affixed to any particular
Note, or any other circumstance which might otherwise constitute a legal or
equitable discharge or defense of a Guarantor. 
Each of the Guarantors hereby waives the benefit of diligence,
presentment, demand of payment, filing of claims with a court in the event of
insolvency or bankruptcy of the Company, any right to require a proceeding
first against the Company, protest, notice and all demands whatsoever and
covenants that its Guarantee shall not be discharged except by complete
performance of the obligations contained in the Notes, this Indenture and this
Guarantee.  This Guarantee is a guarantee
of payment and not of collection.  If any
Holder or the Trustee is required by any court or otherwise to return to the
Company or to any Guarantor, or any custodian, trustee, liquidator or other
similar official acting in relation to the Company or such Guarantor, any
amount paid by the Company or such Guarantor to the Trustee or such Holder,
this Guarantee, to the extent theretofore discharged, shall be reinstated in full
force and effect.  Each Guarantor further
agrees that, as between it, on the one hand, and the Holders of Notes and the
Trustee, on the other hand, (a) subject to this Article Eleven, the
maturity of the obligations guaranteed hereby may be accelerated as provided in
Article Six hereof for the purposes of this Guarantee, notwithstanding any
stay, injunction or other prohibition preventing such acceleration in respect
of the obligations guaranteed hereby, and (b) in the event of any
acceleration of such obligations as provided in Article Six hereof, such
obligations (whether or not due and payable) shall forthwith become due and
payable by the Guarantors for the purpose of this Guarantee.

 

No stockholder, officer,
director, employee or incorporator, past, present or future, or any Guarantor,
as such, shall have any personal liability under this Guarantee by reason of
his, her or its status as such stockholder, officer, director, employee or
incorporator.

 

Each Guarantor that makes a
payment or distribution under its Guarantee shall be entitled to a contribution
from each other Guarantor in an amount pro rata, based on the net assets of
each Guarantor, determined in accordance with GAAP.

 

Section 11.02         Limitations on Guarantees.  The obligations of each Guarantor under its
Guarantee are limited to the maximum amount which, after giving effect to all
other contingent and fixed liabilities of such Guarantor and after giving
effect to any collections from or payments made by or on behalf of any other
Guarantor in respect of the obligations of such other Guarantor under its
Guarantee or pursuant to its contribution obligations under this Indenture,
will result in the obligations of such Guarantor under the Guarantee not
constituting a fraudulent conveyance or fraudulent transfer under applicable
law.

 

Section 11.03         Execution and Delivery of Guarantee.  To further evidence the Guarantee set forth
in Section 11.01, each Guarantor hereby agrees that a notation of such
Guarantee, substantially in the form of Exhibit E hereto, shall be
endorsed on each Note authenticated and delivered by the Trustee.  Such Guarantee shall be executed on behalf of
each Guarantor by either manual or facsimile signature of a duly authorized
Officer of each Guarantor.  The validity
and enforceability of any Guarantee shall not be affected by the fact that it
is not affixed to any 

 

74

 

particular Note.

 

Each of the Guarantors
hereby agrees that its Guarantee set forth in Section 11.01 shall remain
in full force and effect notwithstanding any failure to endorse on each Note a
notation of such Guarantee.

 

If an Officer of a Guarantor
whose signature is on this Indenture or a Guarantee no longer holds that office
at the time the Trustee authenticates the Note on which such Guarantee is
endorsed or at any time thereafter, such Guarantor’s Guarantee of such Note
shall be valid nevertheless.

 

The delivery of any Note by
the Trustee, after the authentication thereof hereunder, shall constitute due
delivery of any Guarantee set forth in this Indenture on behalf of each
Guarantor.

 

Section 11.04         Release of a Guarantor.

 

(a)           If no Default or Event of
Default exists and is continuing, the obligations of any Guarantor under its
Guarantee of the Notes will be automatically and unconditionally released and
discharged when any of the following occurs:

 

(1)           a sale, exchange, transfer
or other disposition (including, without limitation, by way of merger,
consolidation or otherwise), directly or indirectly, of all of the Capital
Stock of such Guarantor to any Person that is not a Restricted Subsidiary of
the Company; provided that such sale, exchange, transfer or other disposition
is made in accordance with the provisions of this Indenture;

 

(2)           a sale, exchange, transfer
or other disposition (including, without limitation, by way of merger,
consolidation or otherwise), directly or indirectly, of Capital Stock of such
Guarantor to any Person that is not a Restricted Subsidiary of the Company, or
an issuance by such Guarantor of its Capital Stock, in each case as a result of
which such Guarantor ceases to be a majority-owned Subsidiary of the Company;
provided that such transaction is made in accordance with the provisions of
this Indenture;

 

(3)           such Guarantor is unconditionally
released and discharged from its liability with respect to Indebtedness in
connection with which such Guarantee was executed pursuant to clause (1) of
the covenant described under the Section 4.19 hereof;

 

(4)           the designation of such
Guarantor as an Unrestricted Subsidiary in accordance with the provisions of
this Indenture; or

 

(5)           the occurrence of Legal
Defeasance or Covenant Defeasance in accordance with this Indenture.

 

(b)           In connection with any
transaction set forth Section 11.04(a) above, the 

 

75

 

Trustee shall receive an
Officers’ Certificate and an Opinion of Counsel certifying as to the compliance
with this Section 11.04; provided, however, that the legal
counsel delivering such Opinion of Counsel may rely as to matters of fact on
one or more Officers’ Certificates of the Company.

 

The Trustee shall execute
any documents reasonably requested by the Company or a Guarantor in order to
evidence the release of such Guarantor from its obligations under its Guarantee
endorsed on the Notes and under this Article Eleven.

 

Section 11.05         Waiver of Subrogation.  Until this Indenture is discharged and all of
the Notes are discharged and paid in full, each Guarantor hereby irrevocably
waives and agrees not to exercise any claim or other rights which it may now or
hereafter acquire against the Company that arise from the existence, payment,
performance or enforcement of the Company’s obligations under the Notes or this
Indenture and such Guarantor’s obligations under this Guarantee and this
Indenture, in any such instance including, without limitation, any right of
subrogation, reimbursement, exoneration, contribution, indemnification, and any
right to participate in any claim or remedy of the Holders against the Company,
whether or not such claim, remedy or right arises in equity, or under contract,
statute or common law, including, without limitation, the right to take or
receive from the Company, directly or indirectly, in cash or other property or
by set-off or in any other manner, payment or security on account of such claim
or other rights.  If any amount shall be
paid to any Guarantor in violation of the preceding sentence and any amounts
owing to the Trustee or the Holders of Notes under the Notes, this Indenture,
or any other document or instrument delivered under or in connection with such
agreements or instruments, shall not have been paid in full, such amount shall
have been deemed to have been paid to such Guarantor for the benefit of, and
held in trust for the benefit of, the Trustee or the Holders and shall
forthwith be paid to the Trustee for the benefit of itself or such Holders to
be credited and applied to the obligations in favor of the Trustee or the
Holders, as the case may be, whether matured or unmatured, in accordance with
the terms of this Indenture.  Each
Guarantor acknowledges that it will receive direct and indirect benefits from
the financing arrangements contemplated by this Indenture and that the waiver
set forth in this Section 11.05 is knowingly made in contemplation of such
benefits.

 

Section 11.06         Immediate Payment.  Each Guarantor agrees to make immediate
payment to the Trustee on behalf of the Holders of all Obligations owing or
payable to the respective Holders upon receipt of a demand for payment therefor
by the Trustee to such Guarantor in writing.

 

Section 11.07         No Set-Off.  Each payment to be made by a Guarantor
hereunder in respect of the Obligations shall be payable in the currency or
currencies in which such Obligations are denominated, and shall be made without
set-off, defense, counterclaim, reduction or diminution of any kind or nature.

 

Section 11.08         Obligations Absolute.  The obligations of each Guarantor hereunder
are and shall be absolute and unconditional and any monies or amounts expressed
to be owing or payable by each Guarantor hereunder which may not be recoverable
from such Guarantor on the 

 

76

 

basis of a Guarantee shall be recoverable from such
Guarantor as a primary obligor and principal debtor in respect thereof.

 

Section 11.09         Obligations Continuing.  The obligations of each Guarantor hereunder
shall be continuing and shall remain in full force and effect until all the
obligations have been paid and satisfied in full.

 

Section 11.10         Obligations Not Reduced.  The obligations of each Guarantor hereunder
shall not be satisfied, reduced or discharged solely by the payment of such
principal, premium, if any, interest, fees and other monies or amounts as may
at any time prior to discharge of this Indenture pursuant to Article Eight
be or become owing or payable under or by virtue of or otherwise in connection
with the Notes or this Indenture.

 

Section 11.11         Obligations Reinstated.  The obligations of each Guarantor hereunder
shall continue to be effective or shall be reinstated, as the case may be, if
at any time any payment which would otherwise have reduced the obligations of
any Guarantor hereunder (whether such payment shall have been made by or on
behalf of the Company or by or on behalf of a Guarantor) is rescinded or
reclaimed from any of the Holders upon the insolvency, bankruptcy, liquidation
or reorganization of the Company or any Guarantor or otherwise, all as though
such payment had not been made.  If demand
for, or acceleration of the time for, payment by the Company is stayed upon the
insolvency, bankruptcy, liquidation or reorganization of the Company, all such
Indebtedness otherwise subject to demand for payment or acceleration shall
nonetheless be payable by each Guarantor as provided herein.

 

Section 11.12         Obligations Not Affected.  The obligations of each Guarantor hereunder
shall not be affected, impaired or diminished in any way by any act, omission,
matter or thing whatsoever, occurring before, upon or after any demand for
payment hereunder (and whether or not known or consented to by any Guarantor or
any of the Holders) which, but for this provision, might constitute a whole or
partial defense to a claim against any Guarantor hereunder or might operate to
release or otherwise exonerate any Guarantor from any of its obligations
hereunder or otherwise affect such obligations, whether occasioned by default
of any of the Holders or otherwise, including, without limitation:

 

(a)           any limitation of status or
power, disability, incapacity or other circumstance relating to the Company or
any other Person, including any insolvency, bankruptcy, liquidation,
reorganization, readjustment, composition, dissolution, winding-up or other
proceeding involving or affecting the Company or any other Person;

 

(b)           any irregularity, defect,
unenforceability or invalidity in respect of any indebtedness or other
obligation of the Company or any other Person under this Indenture, the Notes
or any other document or instrument;

 

(c)           any failure of the Company,
whether or not without fault on its part, to perform or comply with any of the
provisions of this Indenture or the Notes, or to give notice thereof to a
Guarantor;

 

77

 

(d)           the taking or enforcing or exercising
or the refusal or neglect to take or enforce or exercise any right or remedy
from or against the Company or any other Person or their respective assets or
the release or discharge of any such right or remedy;

 

(e)           the granting of time, renewals,
extensions, compromises, concessions, waivers, releases, discharges and other
indulgences to the Company or any other Person;

 

(f)            any change in the time, manner or
place of payment of, or in any other term of, any of the Notes, or any other
amendment, variation, supplement, replacement or waiver of, or any consent to departure
from, any of the Notes or this Indenture, including, without limitation, any
increase or decrease in the principal amount of or premium, if any, or interest
on any of the Notes;

 

(g)           any change in the ownership, control,
name, objects, businesses, assets, capital structure or constitution of the
Company or a Guarantor;

 

(h)           any merger or amalgamation of the
Company or a Guarantor with any Person or Persons;

 

(i)            the occurrence of any change in the
laws, rules, regulations or ordinances of any jurisdiction by any present or
future action of any governmental authority or court amending, varying,
reducing or otherwise affecting, or purporting to amend, vary, reduce or
otherwise affect, any of the Obligations or the obligations of a Guarantor
under its Guarantee; and

 

(j)            any other circumstance, (other than
release of the Guarantor pursuant to Section 11.04 and other than by
complete, irrevocable payment) that might otherwise constitute a legal or
equitable discharge or defense of the Company under this Indenture or the Notes
or of a Guarantor in respect of its Guarantee hereunder.

 

Section 11.13         Waiver. 
Without in any way limiting the provisions of Section 11.01 hereof,
each Guarantor hereby waives notice of acceptance hereof, notice of any
liability of any Guarantor hereunder, notice or proof of reliance by the
Holders upon the obligations of any Guarantor hereunder, and diligence,
presentment, demand for payment on the Company, protest, notice of dishonor or
non-payment of any of the Obligations, or other notice or formalities to the
Company or any Guarantor of any kind whatsoever.

 

Section 11.14         No Obligation To Take Action Against the Company.  Neither the Trustee nor any other Person
shall have any obligation to enforce or exhaust any rights or remedies or to
take any other steps under any security for the Obligations or against the Company
or any other Person or any property of the Company or any other Person before
the Trustee is entitled to demand payment and performance by any or all
Guarantors of their liabilities and obligations under their Guarantees or under
this Indenture.

 

Section 11.15         Dealing with the Company and Others.  The Holders, without releasing, 

 

78

 

discharging, limiting or otherwise affecting in
whole or in part the obligations and liabilities of any Guarantor hereunder and
without the consent of or notice to any Guarantor, may

 

(a)           grant
time, renewals, extensions, compromises, concessions, waivers, releases,
discharges and other indulgences to the Company or any other Person;

 

(b)           take
or abstain from taking security or collateral from the Company or from
perfecting security or collateral of the Company;

 

(c)           accept
compromises or arrangements from the Company;

 

(d)           apply
all monies at any time received from the Company or from any security upon such
part of the Obligations as the Holders may see fit or change any such application
in whole or in part from time to time as the Holders may see fit; and

 

(e)           otherwise
deal with, or waive or modify their right to deal with, the Company and all
other Persons and any security as the Holders or the Trustee may see fit.

 

Section 11.16         Default and Enforcement.  If any Guarantor fails to pay in accordance
with Section 11.06 hereof, the Trustee may proceed in its name as trustee
hereunder in the enforcement of the Guarantee of any such Guarantor and such
Guarantor’s obligations thereunder and hereunder by any remedy provided by law,
whether by legal proceedings or otherwise, and to recover from such Guarantor
the obligations.

 

Section 11.17         Amendment, Etc. 
No amendment, modification or waiver of any provision of this Indenture
relating to any Guarantor or consent to any departure by any Guarantor or any
other Person from any such provision will in any event be effective unless it
is signed by such Guarantor and the Trustee.

 

Section 11.18         Acknowledgment. 
Each Guarantor hereby acknowledges communication of the terms of this
Indenture and the Notes and consents to and approves of the same.

 

Section 11.19         Costs and Expenses. 
Each Guarantor shall pay on demand by the Trustee any and all costs,
fees and expenses (including, without limitation, legal fees) incurred by the
Trustee, its agents, advisors and counsel or any of the Holders in enforcing
any of their rights under any Guarantee.

 

Section 11.20         No Waiver; Cumulative Remedies.  No failure to exercise and no delay in
exercising, on the part of the Trustee or the Holders, any right, remedy, power
or privilege hereunder or under this Indenture or the Notes, shall operate as a
waiver thereof; nor shall any single or partial exercise of any right, remedy,
power or privilege hereunder or under this Indenture or the Notes preclude any
other or further exercise thereof or the exercise of any other right, remedy,
power or privilege.  The rights,
remedies, powers and privileges in the Guarantee and under this Indenture, the
Notes and any other document or instrument between a Guarantor and/or the
Company and the Trustee are cumulative and not exclusive of any rights, remedies,

 

79

 

powers and privilege provided by law.

 

Section 11.21         Guarantee in Addition to Other Obligations.  The obligations of each Guarantor under its
Guarantee and this Indenture are in addition to and not in substitution for any
other obligations to the Trustee or to any of the Holders in relation to this
Indenture or the Notes and any guarantees or security at any time held by or
for the benefit of any of them.

 

Section 11.22         Severability. 
Any provision of this Article Eleven which is prohibited or
unenforceable in any jurisdiction shall not invalidate the remaining provisions
and any such prohibition or unenforceability in any jurisdiction shall not
invalidate or render unenforceable such provision in any other jurisdiction
unless its removal would substantially defeat the basic intent, spirit and
purpose of this Indenture and this Article Eleven.

 

Section 11.23         Successors and Assigns.  Unless released in accordance with this
Indenture, each Guarantee shall be binding upon and inure to the benefit of
each Guarantor and the Trustee and the other Holders and their respective
successors and permitted assigns, except that no Guarantor may assign any of
its obligations hereunder or thereunder.

 

ARTICLE XII

[RESERVED]

 

ARTICLE XIII

MISCELLANEOUS

 

Section 13.01         TIA Controls. 
If any provision of this Indenture limits, qualifies, or conflicts with
another provision which is required to be included in this Indenture by the
TIA, the required provision shall control. 
If any provision of this Indenture modifies or excludes any provision of
the TIA that may be so modified or excluded, the latter provision shall be
deemed to apply to this Indenture as so modified or excluded, as the case may
be.

 

Section 13.02         Notices.  Any
notices or other communications required or permitted hereunder shall be in
writing, and shall be sufficiently given if made by hand delivery, by telex, by
telecopier or registered or certified mail, postage prepaid, return receipt
requested, addressed as follows:

 

if to the Company or any
Guarantor:

 

Huntsman International LLC

500 Huntsman Way

Salt Lake City, Utah 84108

 

Attention: Office of General Counsel

 

80

 

if to the Trustee:

 

Wilmington Trust FSB

Corporate Capital Markets

50 South Sixth Street, Suite 1290

Minneapolis, MN 55402

Attention:        Huntsman Administrator

 

The Company, the Guarantors
and the Trustee by written notice to each other may designate additional or
different addresses for notices.  Any
notice or communication to the Company, the Guarantors or the Trustee shall be
deemed to have been given or made as of the date so delivered if personally
delivered; when answered back, if telexed; when receipt is acknowledged, if
faxed; and five (5) calendar days after mailing if sent by registered or
certified mail, postage prepaid (except that a notice of change of address
shall not be deemed to have been given until actually received by the
addressee).

 

Any notice or communication
mailed to a Holder shall be mailed to him by first class mail or other
equivalent means at his address as it appears on the registration books of the
Registrar and shall be sufficiently given to him if so mailed within the time
prescribed.

 

Failure to mail a notice or
communication to a Noteholder or any defect in it shall not affect its
sufficiency with respect to other Holders. 
If a notice or communication is mailed in the manner provided above, it
is duly given, whether or not the addressee receives it.

 

Section 13.03         Communications by Holders with Other Holders.  Holders may communicate pursuant to TIA (§)
312(b) with other Holders with respect to their rights under this Indenture
or the Notes.  The Company, the Trustee,
the Registrar and any other Person shall have the protection of TIA (§) 312(c).

 

Section 13.04         Certificate and Opinion as to Conditions Precedent.  Upon any request or application by the Company
or the Guarantors to the Trustee to take any action under this Indenture, the
Company shall furnish to the Trustee:

 

(1)           an
Officers’ Certificate, in form and substance satisfactory to the Trustee,
stating that, in the opinion of the signers, all conditions precedent to be
performed by the Company, if any, provided for in this Indenture relating to
the proposed action have been complied with; and

 

(2)           an
Opinion of Counsel stating that, in the opinion of such counsel, all such
conditions precedent to be performed by the Company, if any, provided for in
this Indenture relating to the proposed action have been complied with.

 

Section 13.05         Statements Required in Certificate or Opinion.  Each certificate or opinion with respect to
compliance with a condition or covenant provided for in this Indenture, other
than 

 

81

 

the Officers’ Certificate required by Section 4.07,
shall include:

 

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

 

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

 

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

 

(4)           a
statement as to whether or not, in the opinion of each such Person, such
condition or covenant has been complied with.

 

Section 13.06         Rules by Trustee, Paying Agent, Registrar.  The Trustee may make reasonable rules in
accordance with the Trustee’s customary practices for action by or at a meeting
of Holders.  The Paying Agent or
Registrar may make reasonable rules for its functions.

 

Section 13.07         Legal Holidays. 
If a payment date under this Indenture is not a Business Day, payment
may be made at such place on the next succeeding day that is a Business Day, and
no interest shall accrue for the intervening period.

 

Section 13.08         Governing Law. 
THIS INDENTURE, THE NOTES AND THE GUARANTEES SHALL BE GOVERNED BY, AND
CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK.  Each of the parties hereto agrees to submit
to the non-exclusive jurisdiction of the competent courts of the State of New
York in any action or proceeding arising out of or relating to this Indenture
or the Notes.

 

Section 13.09         No Adverse Interpretation of Other Agreements.  This Indenture may not be used to interpret
another indenture, loan or debt agreement of the Company or any of its
Subsidiaries.  Any such indenture, loan
or debt agreement may not be used to interpret this Indenture.

 

Section 13.10         No Recourse Against Others.  A past, present or future director, officer,
member, manager, employee, stockholder or incorporator, as such, of the Company
or any Guarantor shall not have any liability for any obligations of the
Company or any Guarantor under the Notes, the Guarantees or this Indenture or
for any claim based on, in respect of or by reason of such obligations or their
creations.  Each Holder by accepting a
Note waives and releases all such liability. 
Such waiver and release are part of the consideration for the issuance
of the Notes.

 

Section 13.11         Successors. 
All agreements of the Company in this Indenture and the 

 

82

 

Notes shall bind its successors.  All agreements of the Trustee in this
Indenture shall bind its successors.

 

Section 13.12         Duplicate Originals. 
All parties may sign any number of copies of this Indenture.  Each signed copy shall be an original, but
all of them together shall represent the same agreement.

 

Section 13.13         Severability. 
In case any one or more of the provisions in this Indenture or in the
Notes shall be held invalid, illegal or unenforceable, in any respect for any
reason, the validity, legality and enforceability of any such provision in
every other respect and of the remaining provisions shall not in any way be
affected or impaired thereby, it being intended that all of the provisions
hereof shall be enforceable to the full extent permitted by law.

 

Section 13.14         Independence of Covenants.  All covenants and agreements in this
Indenture and the Notes shall be given independent effect so that if any
particular action or condition is not permitted by any of such covenants, the
fact that it would be permitted by an exception to, or otherwise be within the
limitations of, another covenant shall not avoid the occurrence of a Default or
an Event of Default if such action is taken or condition exists.

 

[Remainder of Page Intentionally Left
Blank]

 

83

 

SIGNATURES

 

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

 

	
   

  	
  HUNTSMAN INTERNATIONAL LLC

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ J. Kimo Esplin

  
	
   

  	
   

  	
  Name:

  	
  J. Kimo Esplin

  
	
   

  	
   

  	
  Title:

  	
  Executive Vice President and Chief Financial Officer

  

 

	
   

  	
   

  
	
   

  	
  GUARANTORS

  
	
   

  	
   

  
	
   

  	
  AIRSTAR CORPORATION

  
	
   

  	
  EUROFUELS LLC

  
	
   

  	
  EUROSTAR INDUSTRIES LLC

  
	
   

  	
  HUNTSMAN EA HOLDINGS LLC

  
	
   

  	
  HUNTSMAN ETHYLENEAMINES LTD.

  
	
   

  	
  HUNTSMAN INTERNATIONAL FINANCIAL LLC

  
	
   

  	
  HUNTSMAN INTERNATIONAL FUELS,
  L.P.

  
	
   

  	
  HUNTSMAN PROPYLENE OXIDE
  HOLDINGS LLC

  
	
   

  	
  HUNTSMAN PROPYLENE OXIDE LTD.

  
	
   

  	
  HUNTSMAN TEXAS HOLDINGS LLC

  
	
   

  	
  HUNTSMAN ADVANCED MATERIALS AMERICAS INC.

  
	
   

  	
  HUNTSMAN ADVANCED MATERIALS LLC

  
	
   

  	
  HUNTSMAN AUSTRALIA INC.

  
	
   

  	
  HUNTSMAN CHEMICAL COMPANY LLC

  
	
   

  	
  HUNTSMAN CHEMICAL FINANCE CORPORATION

  
	
   

  	
  HUNTSMAN CHEMICAL PURCHASING CORPORATION

  
	
   

  	
  HUNTSMAN ENTERPRISES, INC.

  
	
   

  	
  HUNTSMAN EXPANDABLE POLYMERS COMPANY, LC

  
	
   

  	
  By:

  	
  Huntsman International Chemicals Corporation, its Sole 

  
	
   

  	
  Member and Manager

  
	
   

  	
  HUNTSMAN FUELS, L.P.

  
	
   

  	
  HUNTSMAN GROUP
  INTELLECTUAL PROPERTY HOLDINGS CORPORATION

  
	
   

  	
  HUNTSMAN HEADQUARTERS 

  

 

S-1

 

	
   

  	
  CORPORATION

  	 

	
   

  	
  HUNTSMAN INTERNATIONAL
  CHEMICALS CORPORATION

  	 

	
   

  	
  HUNTSMAN INTERNATIONAL TRADING CORPORATION

  	 

	
   

  	
  HUNTSMAN MA INVESTMENT CORPORATION

  	 

	
   

  	
  HUNTSMAN MA SERVICES CORPORATION

  	 

	
   

  	
  HUNTSMAN PETROCHEMICAL CORPORATION

  	 

	
   

  	
  HUNTSMAN PETROCHEMICAL FINANCE CORPORATION

  	 

	
   

  	
  HUNTSMAN PETROCHEMICAL
  PURCHASING CORPORATION

  	 

	
   

  	
  HUNTSMAN PROCUREMENT CORPORATION

  	 

	
   

  	
  HUNTSMAN PURCHASING, LTD.

  	 

	
   

  	
  By:

  	
  Huntsman Procurement Corporation, its General Partner

  	 

	
   

  	
  JK HOLDINGS CORPORATION

  	 

	
   

  	
  PETROSTAR FUELS LLC

  	 

	
   

  	
  PETROSTAR INDUSTRIES LLC

  	 

	
   

  	
  POLYMER
  MATERIALS INC.

  	 

	
   

  	
   

  	 

	
   

  	
   

  	 

	
   

  	
  By:

  	
  /s/ Troy M. Keller

  
	
   

  	
   

  	
  Name:

  	
  Troy M. Keller

  
	
   

  	
   

  	
  Title:

  	
  Assistant Secretary

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Executed as a Deed by

  	
   

  	
  TIOXIDE AMERICAS INC.

  
	
  Troy M. Keller 

  	
   

  	
   

  
	
  for and on behalf of 

  	
   

  	
   

  
	
  Tioxide Americas Inc 

  	
   

  	
  By:

  	
  /s/ Troy M.
  Keller

  
	
  in the presence of 

  	
   

  	
   

  	
  Name:

  	
  Troy M. Keller

  
	
   

  	
   

  	
   

  	
  Title:

  	
  Assistant
  Secretary

  
	
  /s/ Jodi Russell

  	
   

  	
   

  	
   

  	
   

  
	
  Witness

  	
   

  	
   

  	
   

  	
   

  
							

 

S-2

 

	
   

  	
   

  	
  TIOXIDE GROUP

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ J. Kimo Esplin

  
	
   

  	
   

  	
   

  	
  Name:

  	
  J. Kimo Esplin

  
	
   

  	
   

  	
   

  	
  Title:

  	
  Director

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ L. Russell Healy

  
	
   

  	
   

  	
   

  	
  Name:

  	
  L. Russell Healy

  
	
   

  	
   

  	
   

  	
  Title:

  	
  Director

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Wilmington Trust FSB, as Trustee

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Jane Schweiger

  
	
   

  	
   

  	
   

  	
  Name:

  	
  Jane Schweiger

  
	
   

  	
   

  	
   

  	
  Title:

  	
  Vice President

  

 

S-3

 

 

EXHIBIT A

 

[FORM OF NOTE]

 

[THIS
SECURITY (OR ITS PREDECESSOR) WAS ORIGINALLY ISSUED IN A TRANSACTION EXEMPT
FROM REGISTRATION UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED
(THE “SECURITIES ACT”), AND THIS SECURITY MAY NOT BE OFFERED, SOLD OR OTHERWISE
TRANSFERRED IN THE ABSENCE OF SUCH REGISTRATION OR AN APPLICABLE EXEMPTION
THEREFROM. EACH PURCHASER OF THIS SECURITY IS NOTIFIED THAT THE SELLER OF THIS
SECURITY MAY BE RELYING ON THE EXEMPTION FROM THE PROVISIONS OF SECTION 5 OF
THE SECURITIES ACT PROVIDED BY RULE 144A THEREUNDER.  BY ITS ACQUISITION HEREOF, THE HOLDER OF THIS
SECURITY (1) REPRESENTS THAT (A) IT IS A “QUALIFIED INSTITUTIONAL BUYER” (AS
DEFINED IN RULE 144A UNDER THE SECURITIES ACT) OR (B) IT IS NOT A U.S. PERSON
AND IS ACQUIRING THIS SECURITY IN AN OFFSHORE TRANSACTION IN COMPLIANCE WITH
RULE 904 UNDER THE SECURITIES ACT.

 

THE HOLDER OF THIS SECURITY
AGREES FOR THE BENEFIT OF HUNTSMAN INTERNATIONAL LLC THAT (A) THIS SECURITY MAY
BE OFFERED, RESOLD, PLEDGED OR OTHERWISE TRANSFERRED, ONLY (I) TO HUNTSMAN
INTERNATIONAL LLC OR ITS SUBSIDIARIES, (II) INSIDE THE UNITED STATES TO A
PERSON WHO THE SELLER REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER
(AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT) IN A TRANSACTION MEETING THE
REQUIREMENTS OF RULE 144A, (III) OUTSIDE THE UNITED STATES IN AN OFFSHORE
TRANSACTION IN ACCORDANCE WITH RULE 904 UNDER THE SECURITIES ACT, (IV) PURSUANT
TO AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT PROVIDED BY RULE 144
THEREUNDER (IF AVAILABLE) OR (V) PURSUANT TO AN EFFECTIVE REGISTRATION
STATEMENT UNDER THE SECURITIES ACT, IN EACH OF CASES (I) THROUGH (V) IN
ACCORDANCE WITH ANY APPLICABLE SECURITIES LAWS OF ANY STATE OF THE UNITED
STATES, AND (B) THE HOLDER WILL, AND EACH SUBSEQUENT HOLDER IS REQUIRED TO,
NOTIFY ANY PURCHASER OF THIS SECURITY FROM IT OF THE RESALE RESTRICTIONS
REFERRED TO IN (A) ABOVE.] [Include for Restricted Securities only]

 

A-1

 

HUNTSMAN INTERNATIONAL LLC

 

5 1⁄2 % Senior Note due 2016

 

	
  No.  $

  	
   

  	
  CUSIP No.

  

 

HUNTSMAN INTERNATIONAL LLC,
a Delaware limited liability company (the “Company”), for value received,
promises to pay to                      or registered assigns, the principal sum of $              ,[ or such greater or lesser
principal sum as is shown on the attached Schedule of Increases or Decreases in
Global Security] [to be included in Global Securities only], on June 30, 2016.

 

Interest Payment Dates:  June 30 and December 31 (commencing December 31,
2009)

 

Record Dates:  June 15 and December 15

 

Reference is made to the
further provisions of this Note contained herein, which will for all purposes
have the same effect as if set forth at this place.

 

A-2

 

IN WITNESS WHEREOF, the
Company has caused this Note to be signed manually or by facsimile by its duly
authorized officer.

 

	
  Dated:

  	
  HUNTSMAN INTERNATIONAL LLC

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

 

Certificate
of Authentication

 

This is one of the 5 1⁄2 %
Senior Notes due 2016 referred to in the within-mentioned Indenture.

 

	
  Dated:

  	
  Wilmington Trust FSB, as Trustee

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Authorized Signature

  

 

A-3

 

(REVERSE OF NOTE)

 

5 1⁄2 % Senior Note due 2016

 

1.             Interest. 
HUNTSMAN INTERNATIONAL LLC, a Delaware limited liability company (the “Company”),
promises to pay interest on the principal amount of this Note at the rate per
annum shown above.  Interest on the Notes
will accrue from the most recent date on which interest has been paid or, if no
interest has been paid, from June 23, 2009. 
The Company will pay interest semi-annually in arrears on each June 30
and December 31 (each, an “Interest Payment Date”) and at stated maturity,
commencing on December 31, 2009. 
Interest will be computed on the basis of a 360-day year comprised of
twelve 30-day months.

 

The Company shall pay
interest on overdue principal and on overdue installments of interest from time
to time on demand at the rate borne by the Notes (without regard to any
applicable grace periods) to the extent lawful.

 

2.             Method of Payment.  The Company shall pay interest on the Notes
(except defaulted interest) to the Persons who are the registered Holders at
the close of business on the June 15 or December 15 (each, a “Record Date”)
immediately preceding the Interest Payment Date even if the Notes are cancelled
on registration of transfer or registration of exchange after such Record
Date.  Holders must surrender Notes to a
Paying Agent to collect principal payments. 
The Company shall pay principal, premium and interest in money of the
United States that at the time of payment is legal tender for payment of public
and private debts (“U.S. Legal Tender”). 
However, the Company may pay principal, premium and interest by its
check payable in such U.S. Legal Tender. 
The Company may deliver any such interest payment to the Paying Agent or
to a Holder at the Holder’s registered address.

 

3.             Paying Agent and Registrar.  Initially, Wilmington Trust FSB (the “Trustee”)
will act as Paying Agent and Registrar. 
The Company may change any Paying Agent, Registrar or co-Registrar
without notice to the Holders.  The
Company or any of its Subsidiaries may, subject to certain exceptions, act as
Registrar or co-Registrar.

 

4.             Indenture. 
The Company issued the Notes under an Indenture, dated as of July 6,
2009 (the “Indenture”), among the Company, each of the Guarantors named therein
and the Trustee.  This Note is one of a
duly authorized issue of Notes of the Company designated as its 5 1⁄2 % Senior Notes
due 2016 (the “Notes”), which may be issued under the Indenture.  The Company shall be entitled to issue
Additional Notes pursuant to Section 2.18 of the Indenture.  The Notes and any Additional Notes and any
Exchange Notes issued in accordance with the Indenture are treated as a single
class of securities under the Indenture unless otherwise specified in the
Indenture.  Capitalized terms used herein
shall have the meanings assigned to them in the Indenture unless otherwise
defined herein.  The terms of the Notes
include those stated in the Indenture and those made part of the Indenture by
reference to the Trust Indenture Act of 1939 (15 U.S.C. §§ 77aaa-77bbbb) (the “TIA”),
as in effect on the date of the Indenture. 
Notwithstanding anything to the contrary herein, the Notes are subject
to all such terms, and Holders of Notes are referred to the Indenture and the
TIA for a statement of them.

 

A-4

 

5.             Optional Redemption.  The Notes will be redeemable, at the Company’s
option, in whole at any time or in part from time to time, upon not less than
30 nor more than 60 days’ notice, at a redemption price equal to the principal
amount thereof, plus accrued and unpaid interest thereon, if any, to the date
of redemption.

 

6.             Notice of Redemption.  Notice of redemption will be delivered at
least 30 days but not more than 60 days before the Redemption Date to each
Holder whose Notes are to be redeemed at such Holder’s registered address,
except as provided in the Indenture. 
Notes in denominations larger than $2,000 may be redeemed in part.

 

7.             Change of Control Offer.  In the event of a Change of Control, upon the
satisfaction of the conditions set forth in the Indenture, the Company shall be
required to offer to repurchase all of the then outstanding Notes pursuant to a
Change of Control Offer at a purchase price equal to 101% of the principal
amount thereof plus accrued and unpaid interest, if any, to the date of
purchase.  Holders of Notes that are the
subject of such an offer to repurchase shall receive an offer to repurchase and
may elect to have such Notes repurchased in accordance with the provisions of
the Indenture pursuant to and in accordance with the terms of the Indenture.

 

8.             Limitation on Asset Sales.  Under certain circumstances set forth in Section
4.15 of the Indenture, the Company is required to apply the net proceeds from
Asset Sales to offer to repurchase the Notes at a price equal to 100% of the
principal amount thereof plus accrued and unpaid interest thereon, if any, to
the date of repurchase.

 

9.             Denominations; Transfer; Exchange.  The Notes are in fully registered form only,
without coupons, in denominations of $2,000 and integral multiples of $1,000 in
excess thereof.  A Holder shall register
the transfer or exchange of Notes in accordance with the Indenture.  The Registrar may require a Holder, among
other things, to furnish appropriate endorsements and transfer documents and to
pay certain transfer taxes or similar governmental charges payable in
connection therewith as permitted by the Indenture.  The Registrar need not register the transfer
or exchange of any Notes during a period beginning 15 days before the mailing
of a redemption notice for any Notes or portions thereof selected for redemption.

 

10.           Persons Deemed Owners.  The registered Holder of a Note shall be
treated as the owner of it for all purposes.

 

11.           Unclaimed Money. 
If money for the payment of principal or interest remains unclaimed for
one year, the Trustee and the Paying Agent will pay the money back to the
Company.  After that, all liability of
the Trustee and such Paying Agent with respect to such money shall cease.

 

12.           Discharge Prior to Redemption or Maturity.  If the Company at any time deposits with the
Trustee U.S. Legal Tender or non-callable U.S. Government Obligations sufficient
to pay the principal of, premium and interest on the Notes to redemption or
maturity and complies with the other provisions of this Indenture relating
thereto, the Company will be discharged from certain provisions of the
Indenture and the Notes (including certain covenants, but excluding its 

 

A-5

 

obligation to pay the
principal of, premium and interest on the Notes).

 

13.           Amendment; Supplement; Waiver.  The Indenture or the Notes may be amended or
supplemented as provided in the Indenture.

 

14.           Restrictive Covenants.  The Indenture imposes certain limitations on
the ability of the Company and its Subsidiaries to, among other things, incur
additional Indebtedness, create Liens, pay dividends or make certain other
restricted payments, enter into transactions with Affiliates, create dividend
or other payment restrictions affecting Restricted Subsidiaries and merge or
consolidate with any other Person, sell, assign, transfer, lease, convey or
otherwise dispose of all or substantially all of its assets or adopt a plan of
liquidation.  Such limitations are
subject to a number of important qualifications and exceptions.  The Company must annually report to the
Trustee on compliance with such limitations.

 

15.           Successors. 
When a successor assumes, in accordance with this Indenture, all the
obligations of its predecessor under the Notes and the Indenture, the
predecessor will be released from those obligations.

 

16.           Defaults and Remedies.  If an Event of Default occurs and is
continuing, the Trustee or the Holders of at least 25% in principal amount of
the then outstanding Notes (including any Additional Notes) may declare all the
Notes to be due and payable in the manner, at the time and with the effect
provided in the Indenture.  Holders of
Notes may not enforce the Indenture or the Notes except as provided in the
Indenture.  The Trustee is not obligated
to enforce the Indenture or the Notes unless it has been offered indemnity or
security reasonably satisfactory to it. 
The Indenture permits, subject to certain limitations therein provided,
Holders of a majority in aggregate principal amount of the Notes (including any
Additional Notes) then outstanding to direct the Trustee in its exercise of any
trust or power.  The Trustee may withhold
from Holders of Notes notice of any continuing Default or Event of Default
(except a Default in payment of principal or interest) if it determines in good
faith that withholding notice is in their interest.

 

17.           Trustee Dealings with Company.  The Trustee under the Indenture, in its
individual or any other capacity, may become the owner or pledgee of Notes and
may otherwise deal with the Company, its Restricted and Unrestricted
Subsidiaries or their respective Affiliates as if it were not the Trustee.

 

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

 

19.           Authentication. 
This Note shall not be valid until the Trustee or authenticating agent
manually signs the certificate of authentication on this Note.

 

A-6

 

20.           Governing Law. 
This Note shall be governed by, and construed in- accordance with, the
laws of the State of New York.

 

21.           Abbreviations and Defined Terms.  Customary abbreviations may be- used in the
name of a Holder of a Note or an assignee, such as: TEN COM (= tenants in
common), TEN ENT (= tenants by the entireties), JT TEN (= joint tenants with
right of survivorship and not as tenants in common), CUST (= Custodian), and
U/G/M/A (= Uniform Gifts to Minors Act).

 

22.           CUSIP/ISIN Numbers. 
The Company may cause CUSIP and/or ISIN numbers to be printed on the
Notes as a convenience to the Holders of the Notes.  No representation is made as to the accuracy
of such numbers as printed on the Notes and reliance may be placed only on the
other identification numbers printed hereon.

 

[23.        Registration Rights.  Pursuant to the Registration Rights
Agreement, the Company and the Guarantors may be obligated upon the occurrence
of certain events and subject to certain conditions to consummate an exchange
offer pursuant to which the Holder of this Note shall have the right to
exchange this Note for a 5 1⁄2 %  Senior
Note due 2016, of the Company (an “Unrestricted Note”) which have been
registered under the Securities Act, in like principal amount and having terms
identical in all material respects as this Note.  The Holders may be entitled to receive
certain additional interest payments in the event such exchange offer is not
consummated and upon certain other conditions, all pursuant to and in accordance
with the terms of the Registration Rights Agreement.][Include for Restricted
Securities only]

 

24.           Indenture. 
Each Holder, by accepting a Note, agrees to be bound by all of the terms
and provisions of the Indenture, as the same may be amended from time to
time.  Capitalized terms used herein and
not defined herein have the meanings ascribed thereto in the Indenture

 

25.           Guarantees. 
This Note will be entitled to the benefits of certain Guarantees made
for the benefit of the Holders. 
Reference is hereby made to the Indenture for a statement of the
respective rights, limitations of rights, duties and obligations thereunder of
the Guarantors, the Trustee and the Holders.

 

The Company will furnish to
any Holder of a Note upon written request and without charge a copy of the
Indenture.  Requests may be made to:  HUNTSMAN INTERNATIONAL LLC, 500 Huntsman Way,
Salt Lake City, Utah 84108, Attention: 
Office of General Counsel.

 

A-7

 

[SCHEDULE OF INCREASES OR DECREASES IN GLOBAL
SECURITY]

[to be included in Global Securities only]

 

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

 

	
  Date
  of

  exchange

  	
   

  	
  Amount of decrease in

  principal amount of this

  Global Security

  	
   

  	
  Amount of increase in

  principal amount of this

  Global Security

  	
   

  	
  Principal amount of this

  Global Security following

  such decrease (or increase)

  	
   

  	
  Signature of authorized

  officer of Trustee or

  Depositary

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

A-8

 

[FORM OF ASSIGNMENT]

 

I or we assign to

 

PLEASE INSERT SOCIAL SECURITY

OR OTHER IDENTIFYING NUMBER

 

	
   

  	
   

  
	
   

  
	
   

  
	
  (please print or type name
  and address)

  
	
   

  
	
   

  
	
   

  
	
  the within Note and all rights thereunder, and hereby irrevocably
  constitutes and appoints

  

 

	
   

  
	
  attorney to transfer the Note on the books of the Company with full
  power of substitution in the premises.

  

 

	
  Dated:

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  NOTICE: The signature on this assignment must correspond with the
  name as it appears upon the face of the within Note in every particular
  without alteration or enlargement or any change whatsoever and be guaranteed
  by the endorser’s bank or broker.

  
	
   

  	
   

  	
   

  

 

	
  Signature Guarantee:

  	
   

  

 

A-9

 

[In
connection with any transfer of this Note occurring prior to the date of the declaration
by the Commission of the effectiveness of a registration statement under the Securities
Act of 1933, as amended (the “Securities Act”) covering resales of this Note
(which effectiveness shall not have been suspended or terminated at the date of
the transfer) the undersigned confirms that it has not utilized any general
solicitation or general advertising in connection with the transfer and that
the sale is being made:

 

	
  [Check One]

  
	
   

  
	
  (1)

  	
  —

  	
  to the Company or a subsidiary thereof; or

  
	
   

  	
   

  	
   

  
	
  (2)

  	
  —

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

  
	
   

  	
   

  	
   

  
	
  (3)

  	
  —

  	
  to an institutional “accredited investor” (as defined in Rule 501(a)(1),
  (2), (3) or (7) under the Securities Act of 1933, as amended) that has
  furnished to the Trustee a signed letter containing certain representations
  and agreements (the form of which letter can be obtained from the Trustee);
  or

  
	
   

  	
   

  	
   

  
	
  (4)

  	
  —

  	
  outside the United States to a “foreign purchaser” in compliance with
  Rule 904 of Regulation S under the Securities Act of 1933, as amended; or

  
	
   

  	
   

  	
   

  
	
  (5)

  	
  —

  	
  pursuant to the exemption from registration provided by Rule 144
  under the Securities Act of 1933, as amended; or

  
	
   

  	
   

  	
   

  
	
  (6)

  	
  —

  	
  pursuant to an effective registration statement under the Securities
  Act of 1933, as amended; or

  
	
   

  	
   

  	
   

  
	
  (7)

  	
  —

  	
  pursuant to another available exemption from the registration
  statement requirements of the Securities Act of 1933, as amended,

  

 

	
  and, unless the box below is checked, the undersigned confirms that
  such Note is not being transferred to an “affiliate” of the Company as
  defined in Rule 144 under the Securities Act of 1933, as amended (an
  “Affiliate”):

  
	
   

  	
   

  	
   

  
	
   

  	
  o

  	
  The transferee is an Affiliate of the Company.

  

 

Unless one of the items is
checked, the Trustee will refuse to register any of the Notes evidenced by this
certificate in the name of any person other than the registered Holder thereof;
provided, however, that if item (3), (4), (5) or (7) is checked,
the Company or the Trustee may 

 

A-10

 

require, prior to
registering any such transfer of the Notes, in their sole discretion, such
written legal opinions, certifications (including an investment letter in the
case of box (3) or (4) and other information as the Trustee or the Company have
reasonably requested to confirm that such transfer is being made pursuant to an
exemption from, or in a transaction not subject to, the registration
requirements of the Securities Act of l933, as amended.

 

If none of the foregoing
items are checked, the Trustee or Registrar shall not be obligated to register
this Note in the name of any person other than the Holder hereof unless and
until the conditions to any such transfer of registration set forth herein and
in Section 2.16 of the Indenture shall have been satisfied.

 

	
  Dated:

  	
   

  	
   

  	
  Signed:

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  (Sign exactly as name appears

  
	
   

  	
   

  	
   

  	
   

  	
  on the other side of this Note)

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Signature Guarantee:

  	
   

  
						

 

TO
BE COMPLETED BY PURCHASER IF (2) ABOVE IS CHECKED

 

The undersigned represents
and warrants that it is purchasing this Note for its own account or an account
with respect to which it exercises sole investment discretion and that it and
any such account is a “qualified institutional buyer” within the meaning of Rule
144A under the Securities Act of 1933, as amended, and is aware that the sale
to it is being made in reliance on Rule 144A and acknowledges that it has
received such information regarding the Company as the undersigned has
requested pursuant to Rule 144A or has determined not to request such
information and that it is aware that the transferor is relying upon the
undersigned’s foregoing representations in order to claim the exemption from
registration provided by Rule 144A.

 

	
  Dated:

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  NOTICE:

  	
  To be executed by an executive officer] [To be included in Restricted
  Securities only]

  

 

A-11

 

OPTION OF HOLDER TO ELECT PURCHASE

 

If you want to elect to have
this Note purchased by the Company pursuant to Section 4.14 or Section 4.15
of the Indenture, check the appropriate box:

 

Section 4.14 [ ] Section 4.15
[ ]

 

If you want to elect to have
only part of this Note purchased by the Company pursuant to Section 4.14
or Section 4.15 of the Indenture, state the amount: $

 

	
  Dated:

  	
   

  	
   

  	
  Signed:

  	
   

  
	
   

  	
   

  	
   

  	
   

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

  
	
   

  	
   

  	
   

  	
   

  

 

	
  Signature Guarantee:

  	
   

  
	
   

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

  

 

A-12

 

EXHIBIT B

 

FORM OF LEGEND FOR
GLOBAL SECURITY

 

Any Global Security authenticated
and delivered hereunder shall bear a legend (which would be in addition to any
other legends required in the case of a Restricted Security) in substantially
the following form:

 

THIS NOTE IS A GLOBAL
SECURITY WITHIN THE MEANING OF THE INDENTURE HEREINAFTER REFERRED TO AND IS
REGISTERED IN THE NAME OF A DEPOSITORY OR A NOMINEE OF A DEPOSITORY OR A
SUCCESSOR DEPOSITORY.  THIS NOTE IS NOT
EXCHANGEABLE FOR NOTES REGISTERED IN THE NAME OF A PERSON OTHER THAN THE
DEPOSITORY OR ITS NOMINEE EXCEPT IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE
INDENTURE, AND NO TRANSFER OF THIS NOTE (OTHER THAN A TRANSFER OF THIS NOTE AS
A WHOLE BY THE DEPOSITORY TO A NOMINEE OF THE DEPOSITORY OR BY A NOMINEE OF THE
DEPOSITORY TO THE DEPOSITORY OR ANOTHER NOMINEE OF THE DEPOSITORY) MAY BE
REGISTERED EXCEPT IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE.

 

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

 

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

 

B -1

 

EXHIBIT C

 

FORM OF TRANSFER CERTIFICATE

RESTRICTED GLOBAL SECURITY TO UNRESTRICTED

GLOBAL SECURITY

 

(Transfers Pursuant to Sections 2.16(a)(iii) and
2.16(b)(ii) of the Indenture)

 

Wilmington
Trust FSB

Corporate Capital Markets

50 South Sixth Street, Suite 1290

Minneapolis, MN 55402

Attention: Huntsman Administrator

 

Huntsman International LLC

500
Huntsman Way

Salt
Lake City, Utah 84108

Attention:  Secretary

 

Re:                               Huntsman
International LLC 5 1⁄2 % Senior Notes due 2016 (the “Securities”)

 

Reference is hereby made to
the Indenture, dated as of July 6, 2009 between the Company, the
Guarantors named therein and Wilmington Trust FSB, as trustee, (the “Indenture”).  Terms used but not defined herein and defined
in Regulation S under the U.S. Securities Act of 1933 (the “Securities Act”) or
in the Indenture shall have the meanings given to them in Regulation S or the
Indenture, as the case may be.

 

This certificate relates to
U.S.$           principal
amount of Securities, which are evidenced by the following certificate(s) (the
“Specified Securities”):

 

	
  [CUSIP
  No(s).

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  CERTIFICATE
  No(s).

  	
   

  	
   

  
				

 

The person in whose name this
certificate is executed below (the “Undersigned”) hereby certifies that either (i) it
is the sole beneficial owner of the Specified Securities or (ii) it is
acting on behalf of all the beneficial owners of the Specified Securities and
is duly authorized by them to do so. 
Such beneficial owner or owners are referred to herein collectively as
the “Owner”.  If the Specified Securities
are represented by a Global Security, they are held through the appropriate Depositary
or an Agent Member in the name of the Undersigned, as or on behalf of the
Owner.

 

The Owner has requested that
the Specified Securities be transferred to a person (the “Transferee”) who will
take delivery in the form of an interest in the Unrestricted Global
Security.  In connection with such
transfer, the Owner hereby certifies that such transfer is being 

 

C-1

 

effected in accordance with Rule 904
or Rule 144 under the Securities Act and with all applicable securities
laws of the states of the United States and other jurisdictions.  Accordingly, the Owner hereby further
certifies as follows:

 

(1)                                  Rule 904
Transfers.  If the transfer is being
effected in accordance with Rule 904:

 

(A)                              the Owner is not a
distributor of the Specified Securities, an Affiliate of the Company or any
such distributor or a person acting on behalf of any of the foregoing;

 

(B)                                the offer of the Specified
Securities was not made to a person in the United States;

 

(C)                                either:

 

(i)                                     at the time the buy order
was originated, the Transferee was outside the United States or the Owner and
any person acting on its behalf reasonably believed that the Transferee was outside
the United States; or

 

(ii)                                  the transaction is being
executed in, on or through the facilities of the Eurobond market, as regulated
by the Association of International Bond Dealers, or another designated
offshore securities market and neither the Owner nor any person acting on its
behalf knows that the transactions has been prearranged with a buyer in the United
States;

 

(D)                               no directed selling efforts
have been made in the United States by or on behalf of the Owner or any
Affiliate thereof;

 

(E)                                 if the Owner is a dealer in
securities or has received a selling concession, fee or other remuneration in
respect of the Specified Securities, and the transfer is to occur during the
Restricted Period, then the requirements of Rule 904(c)(1) have been
satisfied; and

 

(F)                                 the transaction is not part
of a plan or scheme to evade the registration requirements of the Securities
Act.

 

(2)                                  Rule 144
Transfers.  If the transfer is being
effected pursuant to Rule 144:

 

(A)                              the transfer is being
effected in accordance with the applicable amount, manner of sale and notice
requirements of Rule 144; or

 

(B)                                the transfer is occurring after
[date one year after the latest date of issuance of any of the Specified
Securities] and the Owner is not, and during the preceding three months has not
been, an Affiliate of the Company.

 

C-2

 

This certificate and the
statements contained herein are made for your benefit and the benefit of the
Company.

 

Dated:

 

 

	
   

  	
   

  
	
   

  	
  (Print the name of the Undersigned, as such term is

  defined in the second paragraph of this certificate.)

  
	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

 

(If the Undersigned is a
corporation, partnership or fiduciary, the title of the person signing on
behalf of the Undersigned must be stated.)

 

C-3

 

EXHIBIT D

 

FORM OF CERTIFICATE TO BE

DELIVERED IN CONNECTION WITH

TRANSFERS TO INSTITUTIONAL ACCREDITED INVESTORS

 

(Transfers Pursuant to Section 2.17(a) of
the Indenture)

 

Wilmington
Trust FSB

Corporate Capital Markets

50 South Sixth Street, Suite 1290

Minneapolis, MN 55402

Attention: Huntsman Administrator

 

Huntsman International LLC

500
Huntsman Way

Salt
Lake City, Utah 84108

Attention:  Secretary

 

Re:                               Huntsman
International LLC 5 1⁄2 % Senior Notes due 2016 (the “Securities”)

 

Ladies and Gentlemen:

 

Reference is hereby made to
the Indenture, dated as of July 6, 2009 between the Company and Wilmington
Trust FSB, as trustee (the “Indenture”). 
Terms used but not defined herein have the meanings given to them in the
Indenture.

 

This certificate relates to
$         principal amount of
Securities, which are evidenced by the following certificate(s):

 

1.  We understand that the Securities have not
been registered under the Securities Act of 1933, as amended (the “Securities
Act”), and may not be sold except as permitted in the following sentence.  We understand and agree, on our own behalf
and on behalf of any accounts for which we are acting as hereinafter stated, (x) that
such Securities are being offered only in a transaction not involving any
public offering within one year after the date of the original issuance of the
Securities or if within three months after we cease to be an affiliate (within
the meaning of Rule 144 under the Securities Act) of the Company, such
Securities may be resold, pledged or transferred only (i) to the Company, (ii) so
long as the Securities are eligible for resale pursuant to Rule 144A under
the Securities Act (“Rule 144A”), to a person whom we reasonably believe
is a “qualified institution buyer” (as defined in Rule 144A) (“QIB”) that
purchases for its own account or for the account of a QIB to whom notice is
given that the resale, pledge or transfer is being made in reliance on Rule 144A
(as indicated by the box checked by the transferor on the Certificate of
Transfer on the reverse of the certificate for the Securities), (iii) in
an offshore transaction in accordance with Regulation S under the Securities
Act (as indicated by the box checked by the transferor on the Certificate of
Transfer on the reverse of the 

 

D-1

 

Note if the Note is not in
book-entry form), and, if such transfer is being effected by certain
transferors prior to the expiration of the “40-day distribution compliance
period” (within the meaning of Rule 903(b)(2) of Regulation S under
the Securities Act), a certificate that may be obtained from the Trustee is
delivered by the transferee, (iv) to an institution that is an “accredited
investor” as defined in Rule 501(a)(1), (2), (3) or (7) under
the Securities Act (as indicated by the box checked by the transferor on the Certificate
of Transfer on the reverse of the certificate for the Securities) which has
certified to the Company and the Trustee for the Securities that it is such an
accredited investor and is acquiring the Securities for investment purposes and
not for distribution (provided that no Securities purchased from a foreign
purchaser or from any person other than a QIB or an institutional accredited
investor pursuant to this clause (iii) shall be permitted to transfer any
Securities so purchased to an institutional accredited investor pursuant to
this clause (iv) prior to the expiration of the “applicable restricted
period” (within the meaning of Regulation S under the Securities Act), (v) pursuant
to an exemption from registration under the Securities Act provided by Rule 144
(if applicable) under the Securities Act, or (vi) pursuant to an effective
registration statement under the Securities Act, in each case in accordance
with any applicable securities laws of any state of the United States, and we
will notify any purchaser of the Securities from us of the above resale
restriction, if then applicable.  We
further understand that in connection with any transfer of the Securities by us
that the Company and the Trustee for the Securities may request, and if so requested
we will furnish, such certificates, legal opinions and other information as
they may reasonably require to confirm that any such transfer complies with the
foregoing restrictions.

 

2.  We are able to fend for ourselves in the
transactions contemplated hereby, we have such knowledge and experience in
financial and business matters as to be capable of evaluating the merits and
risks of our investment in the Securities, and we and any accounts for which we
are acting are each able to bear the economic risk of our or its investment and
can afford the complete loss of such investment.

 

3.  We understand that the Company and others
will rely upon the truth and accuracy of the foregoing acknowledgments,
representations and agreements and we agree that if any of the acknowledgments,
representations and warranties deemed to have been made by us by our purchase
of Securities, for our own account or of one or more accounts as to each of
which we exercise sole investment discretion, are no longer accurate, we shall
promptly notify the Company.

 

4.  We are acquiring the Securities purchased by
us for investment purposes and not for distribution of our own account or for
one or more accounts as to each of which we exercise sole investment discretion
and we are or such account is an institutional “accredited investor” (as
defined in rule 501(a)(1), (2), (3) or (7) of Regulation D under
the Securities Act).

 

5.  You are entitled to rely upon this letter and
you are irrevocably authorized to produce this letter or a copy hereof to any
interested party in any administrative or legal proceeding or official inquiry
with respect to the matters covered hereby.

 

D-2

 

	
   

  	
  Very truly yours,

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  (Name of Purchaser)

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  Date:

  	
   

  

 

D-3

 

EXHIBIT E

 

GUARANTEE

 

For value received, the
undersigned hereby unconditionally guarantees, as principal obligor and not
only as a surety, to the Holder of this Note the payments of principal of,
premium, if any, and interest on this Note in the amounts and at the times when
due and interest on the overdue principal, premium, if any, and interest, if
any, of this Note, if lawful, and the payment or performance of all other
obligations of the Company under the Indenture (as defined below) or the Notes,
to the Holder of this Note and the Trustee, all in accordance with and subject
to the terms and limitations of this Note, Article Eleven of the Indenture
and this Guarantee.  This Guarantee will
become effective in accordance with Article Eleven of the Indenture and
its terms shall be evidenced therein. 
The validity and enforceability of any Guarantee shall not be affected
by the fact that it is not affixed to any particular Note.

 

Capitalized terms used but
not defined herein shall have the meanings ascribed to them in the Indenture
dated as of July    , 2009, among HUNTSMAN INTERNATIONAL
LLC as issuer (the “Company”), each of the Guarantors named therein and
Wilmington Trust FSB, as trustee (the “Trustee”), as amended or supplemented
(the “Indenture”).

 

The obligations of the
undersigned to the Holders of Notes and to the Trustee pursuant to this
Guarantee and the Indenture are expressly set forth in Article Eleven of
the Indenture (including, without limitation, the applicable limitations on
this Guarantee as set forth in Section 11.02 of the Indenture and the
provisions relating to the release of this Guarantee as set forth in Section 11.04
of the Indenture) and reference is hereby made to the Indenture for the precise
terms of the Guarantee and all of the other provisions of the Indenture to
which this Guarantee relates.

 

THIS GUARANTEE SHALL BE
GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW
YORK.  The undersigned Guarantor hereby
agrees to submit to the jurisdiction of the courts of the State of New York in
any action or proceeding arising out of or relating to this Guarantee.

 

This Guarantee is subject to
release upon the terms set forth in the Indenture.

 

E-1

 

IN WITNESS WHEREOF, each
Guarantor has caused its Guarantee to be duly executed.

 

	
  Date:

  	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
                                                                                                           ,

  
	
   

  	
  as Guarantor

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

 

E-2

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00160-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00160-of-00352.parquet"}]]