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Exhibit 4.6    
    

 

GENTIUM S.p.A.  

 and  

 THE BANK OF NEW YORK  

                                         
                   As Depositary  

 and  

 OWNERS AND BENEFICIAL OWNERS OF

AMERICAN DEPOSITARY RECEIPTS  

 Deposit Agreement  

 Dated as of                        , 2005  

 

  

  

 
 

TABLE OF CONTENTS    
    

	 
	 	 
	 
	 	Page

	ARTICLE 1.    DEFINITIONS	 	1
	 	 	SECTION 1.01.	American Depositary Shares.	 	1
	 	 	SECTION 1.02.	Beneficial Owner.	 	1
	 	 	SECTION 1.03.	Commission.	 	1
	 	 	SECTION 1.04.	Company.	 	1
	 	 	SECTION 1.05.	Custodian.	 	1
	 	 	SECTION 1.06.	Deliver; Surrender.	 	2
	 	 	SECTION 1.07.	Deposit Agreement.	 	2
	 	 	SECTION 1.08.	Depositary; Corporate Trust Office.	 	2
	 	 	SECTION 1.09.	Deposited Securities.	 	2
	 	 	SECTION 1.10.	Dollars; Euro.	 	2
	 	 	SECTION 1.11.	Foreign Registrar.	 	2
	 	 	SECTION 1.12.	Owner.	 	2
	 	 	SECTION 1.13.	Receipts.	 	2
	 	 	SECTION 1.14.	Registrar.	 	3
	 	 	SECTION 1.15.	Restricted Securities.	 	3
	 	 	SECTION 1.16.	Securities Act of 1933.	 	3
	 	 	SECTION 1.17.	Shares.	 	3
	ARTICLE 2.    FORM OF RECEIPTS, DEPOSIT OF SHARES, EXECUTION AND DELIVERY, TRANSFER AND SURRENDER OF RECEIPTS	 	3
	 	 	SECTION 2.01.	Form and Transferability of Receipts.	 	3
	 	 	SECTION 2.02.	Deposit of Shares.	 	4
	 	 	SECTION 2.03.	Execution and Delivery of Receipts.	 	4
	 	 	SECTION 2.04.	Registration of Transfer of Receipts; Combination and Split-up of Receipts.	 	5
	 	 	SECTION 2.05.	Surrender of Receipts and Withdrawal of Shares.	 	5
	 	 	SECTION 2.06.	Limitations on Execution and Delivery, Transfer and Surrender of Receipts.	 	6
	 	 	SECTION 2.07.	Lost Receipts, etc.	 	6
	 	 	SECTION 2.08.	Cancellation and Destruction of Surrendered Receipts.	 	6
	 	 	SECTION 2.09.	Pre-Release of Receipts.	 	7
	ARTICLE 3.    CERTAIN OBLIGATIONS OF OWNERS AND BENEFICIAL OWNERS OF RECEIPTS	 	7
	 	 	SECTION 3.01.	Filing Proofs, Certificates and Other Information.	 	7
	 	 	SECTION 3.02.	Liability of Owner or Beneficial Owner for Taxes.	 	7
	 	 	SECTION 3.03.	Warranties on Deposit of Shares.	 	7
	ARTICLE 4.    THE DEPOSITED SECURITIES	 	8
	 	 	SECTION 4.01.	Cash Distributions.	 	8
	 	 	SECTION 4.02.	Distributions Other Than Cash, Shares or Rights.	 	8
	 	 	SECTION 4.03.	Distributions in Shares.	 	8
	 	 	SECTION 4.04.	Rights.	 	9
	 	 	SECTION 4.05.	Conversion of Foreign Currency.	 	10
	 	 	SECTION 4.06.	Fixing of Record Date.	 	11
	 	 	SECTION 4.07.	Voting of Deposited Securities.	 	11
	 	 	SECTION 4.08.	Changes Affecting Deposited Securities.	 	11
	 	 	SECTION 4.09.	Reports.	 	12
	 	 	SECTION 4.10.	Lists of Owners.	 	12
	 	 	SECTION 4.11.	Withholding.	 	12
	 	 	 	 	 	 

i

 

	ARTICLE 5.    THE DEPOSITARY, THE CUSTODIANS AND THE COMPANY	 	12
	 	 	SECTION 5.01.	Maintenance of Office and Transfer Books by the Depositary.	 	12
	 	 	SECTION 5.02.	Prevention or Delay in Performance by the Depositary or the Company.	 	13
	 	 	SECTION 5.03.	Obligations of the Depositary, the Custodian and the Company.	 	13
	 	 	SECTION 5.04.	Resignation and Removal of the Depositary.	 	14
	 	 	SECTION 5.05.	The Custodians.	 	14
	 	 	SECTION 5.06.	Notices and Reports.	 	15
	 	 	SECTION 5.07.	Distribution of Additional Shares, Rights, etc.	 	15
	 	 	SECTION 5.08.	Indemnification.	 	16
	 	 	SECTION 5.09.	Charges of Depositary.	 	16
	 	 	SECTION 5.10.	Retention of Depositary Documents.	 	17
	 	 	SECTION 5.11.	Exclusivity.	 	17
	 	 	SECTION 5.12.	List of Restricted Securities Owners.	 	17
	ARTICLE 6.    AMENDMENT AND TERMINATION	 	17
	 	 	SECTION 6.01.	Amendment.	 	17
	 	 	SECTION 6.02.	Termination.	 	17
	ARTICLE 7.    MISCELLANEOUS	 	18
	 	 	SECTION 7.01.	Counterparts.	 	18
	 	 	SECTION 7.02.	No Third Party Beneficiaries.	 	18
	 	 	SECTION 7.03.	Severability.	 	18
	 	 	SECTION 7.04.	Owners and Beneficial Owners as Parties; Binding Effect.	 	18
	 	 	SECTION 7.05.	Notices.	 	18
	 	 	SECTION 7.06.	Submission to Jurisdiction; Appointment of Agent for Service of Process.	 	19
	 	 	SECTION 7.07.	Waiver of Immunities.	 	19
	 	 	SECTION 7.08.	Governing Law.	 	20

EXHIBIT A 

Form
of Receipt 

ii

 
 

DEPOSIT AGREEMENT    
    

        DEPOSIT AGREEMENT dated as
of                        , 2005 among GENTIUM S.p.A., incorporated under the laws of the
Republic of Italy (herein called the Company), THE BANK OF NEW YORK, a New York banking corporation (herein called the Depositary), and all Owners and Beneficial Owners from time to time of American
Depositary Receipts issued hereunder. 

 
 

W I T N E S S E T H:    
    

        WHEREAS, the Company desires to provide, as hereinafter set forth in this Deposit Agreement, for the deposit of
Shares (as hereinafter defined) of the Company from time to time with the Depositary or with the Custodian (as hereinafter defined) as agent of the Depositary for the purposes set forth in this
Deposit Agreement, for the creation of American Depositary Shares representing the Shares so deposited and for the execution and delivery of American Depositary Receipts evidencing the American
Depositary Shares; and 

        WHEREAS, the American Depositary Receipts are to be substantially in the form of Exhibit A annexed hereto, with appropriate
insertions, modifications and omissions, as hereinafter provided in this Deposit Agreement; 

        NOW, THEREFORE, in consideration of the premises, it is agreed by and between the parties hereto as follows: 

ARTICLE 1.    DEFINITIONS  

        The
following definitions shall for all purposes, unless otherwise clearly indicated, apply to the respective terms used in this Deposit Agreement: 

        SECTION
1.01.    American Depositary Shares.    

        The
term "American Depositary Shares" shall mean the securities representing the interests in the Deposited Securities and evidenced by the Receipts issued hereunder. Each American
Depositary Share shall represent the number of Shares specified in Exhibit A to this Deposit Agreement, until there shall occur a distribution upon Deposited Securities covered by
Section 4.03 or a change in Deposited Securities covered by Section 4.08 with respect to which additional Receipts are not executed and delivered, and thereafter American Depositary
Shares shall represent the amount of Shares or Deposited Securities specified in such Sections. 

        SECTION
1.02.    Beneficial Owner.    

        The
term "Beneficial Owner" shall mean each person owning from time to time any beneficial interest in the American Depositary Shares evidenced by any Receipt. 

        SECTION
1.03.    Commission.    

        The
term "Commission" shall mean the Securities and Exchange Commission of the United States or any successor governmental agency in the United States. 

        SECTION
1.04.    Company.    

        The
term "Company" shall mean Gentium S.p.A., incorporated under the laws of the Republic of Italy, and its successors. 

        SECTION
1.05.    Custodian.    

        The
term "Custodian" shall mean the principal Cologno Monzese, Italy office of UniCredito Italiano, as agent of the Depositary for the purposes of this Deposit Agreement, and any other
firm or corporation which may hereafter be appointed by the Depositary pursuant to the terms of Section 5.05, as substitute or additional custodian or custodians hereunder, as the context shall
require and shall also mean all of them collectively. 

 

        SECTION
1.06.    Deliver; Surrender.    

        (a)   The
term "deliver", or its noun form, when used with respect to Shares shall mean (i) one or more book-entry transfers to an account or accounts
maintained with a depository institution authorized under applicable law to effect book-entry transfers of such securities or (ii) the physical transfer of certificates representing
Shares. 

        (b)   The
term "deliver", or its noun form, when used with respect to Receipts, shall mean (i) one or more book-entry transfers of American Depositary
Shares to an account or accounts at The Depository Trust Company ("DTC") designated by the person entitled to such delivery or (ii) if requested by the person entitled to such delivery,
delivery at the Corporate Trust Office of the Depositary of one or more Receipts. 

        (c)   The
term "surrender", when used with respect to Receipts, shall mean (i) one or more book-entry transfers of American Depositary Shares to the DTC
account of the Depositary or (ii) surrender to the Depositary at its Corporate Trust Office of one or more Receipts. 

        SECTION
1.07.    Deposit Agreement.    

        The
term "Deposit Agreement" shall mean this Deposit Agreement, as the same may be amended from time to time in accordance with the provisions of this Deposit Agreement. 

        SECTION
1.08.    Depositary; Corporate Trust Office.    

        The
term "Depositary" shall mean The Bank of New York, a New York banking corporation, and any successor as depositary hereunder. The term "Corporate Trust Office", when used with
respect to the Depositary, shall mean the office of the Depositary which at the date of this Agreement is 101 Barclay Street, New York, New York 10286. 

        SECTION
1.09.    Deposited Securities.    

        The
term "Deposited Securities" as of any time shall mean Shares at such time deposited or deemed to be deposited under this Deposit Agreement and any and all other securities, property
and cash received by the Depositary or the Custodian in respect thereof and at such time held hereunder, subject as to cash to the provisions of Section 4.05. 

        SECTION
1.10.    Dollars; Euro.    

        The
term "Dollars" shall mean United States dollars. The term "Euro" shall mean the lawful currency of the European Monetary Union. 

        SECTION
1.11.    Foreign Registrar.    

        The
term "Foreign Registrar" shall mean the entity that carries out the duties of registrar for the Shares and any other appointed agent of the Company for the transfer and registration
of Shares. 

        SECTION
1.12.    Owner.    

        The
term "Owner" shall mean the person in whose name a Receipt is registered on the books of the Depositary maintained for such purpose. 

        SECTION
1.13.    Receipts.    

        The
term "Receipts" shall mean the American Depositary Receipts issued hereunder evidencing American Depositary Shares. 

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        SECTION
1.14.    Registrar.    

        The
term "Registrar" shall mean any bank or trust company having an office in the Borough of Manhattan, The City of New York, which shall be appointed to register Receipts and transfers
of Receipts as herein provided. 

        SECTION
1.15.    Restricted Securities.    

        The
term "Restricted Securities" shall mean Shares, or Receipts representing such Shares, which are acquired directly or indirectly from the Company, or any affiliate (as defined in
Rule 144 to the Securities Act of 1933) of the Company, in a transaction or chain of transactions not involving any
public offering, or which are held by an officer, director (or persons performing similar functions) or other affiliate of the Company, or which would require registration under the Securities Act of
1933 in connection with the public offer and sale thereof in the United States, or which are subject to other restrictions on sale or deposit under the laws of the United States or Italy, or under a
shareholder agreement or the articles of association or similar document of the Company. 

        SECTION
1.16.    Securities Act of 1933.    

        The
term "Securities Act of 1933" shall mean the United States Securities Act of 1933, as from time to time amended. 

        SECTION
1.17.    Shares.    

        The
term "Shares" shall mean ordinary shares in registered form of the Company, heretofore validly issued and outstanding and fully paid, nonassessable and that were not issued in
violation of any pre-emptive or similar rights of the holders of outstanding Shares or hereafter validly issued and outstanding and fully paid, nonassessable and that are not issued in
violation of any pre-emptive or similar rights of the holders of outstanding Shares or interim certificates representing such Shares;  provided, however,
that, if there shall occur any change in nominal value, a split-up or
consolidation or any other reclassification or, upon the occurrence of an event described in Section 4.08, an exchange or conversion in respect of the Shares of the Company, the term "Shares"
shall thereafter also mean the successor securities resulting from such change in nominal value, split-up or consolidation or such other reclassification or such exchange or conversion. 

ARTICLE 2.    FORM OF RECEIPTS, DEPOSIT OF SHARES, EXECUTION AND DELIVERY, TRANSFER AND SURRENDER OF RECEIPTS  

        SECTION
2.01.    Form and Transferability of Receipts.    

        Definitive
Receipts shall be substantially in the form set forth in Exhibit A annexed to this Deposit Agreement, with appropriate insertions, modifications and omissions, as
hereinafter provided. No Receipt shall be entitled to any benefits under this Deposit Agreement or be valid or obligatory for any purpose, unless such Receipt shall have been executed by the
Depositary by the manual or facsimile signature of a duly authorized signatory of the Depositary and, if a Registrar for the Receipts shall have been appointed, countersigned by the manual signature
of a duly authorized officer of the Registrar. The Depositary shall maintain books on which each Receipt so executed and delivered as hereinafter provided and the transfer of each such Receipt shall
be registered. Receipts bearing the
manual or facsimile signature of a duly authorized signatory of the Depositary who was at any time a proper signatory of the Depositary shall bind the Depositary, notwithstanding that such signatory
has ceased to hold such office prior to the execution and delivery of such Receipts by the Registrar or did not hold such office on the date of issuance of such Receipts. 

        The
Receipts may be endorsed with or have incorporated in the text thereof such legends or recitals or modifications not inconsistent with the provisions of this Deposit Agreement as may
be required by the Depositary or required to comply with any applicable law or regulations thereunder or 

3

 

with
the rules and regulations of any securities exchange upon which American Depositary Shares may be listed or to conform with any usage with respect thereto, or to indicate any special limitations
or restrictions to which any particular Receipts are subject by reason of the date of issuance of the underlying Deposited Securities or otherwise. 

        Title
to a Receipt (and to the American Depositary Shares evidenced thereby), when properly endorsed or accompanied by proper instruments of transfer, shall be transferable by delivery
with the same effect as in the case of a negotiable instrument under the laws of New York; provided,  however, that the Depositary, notwithstanding any
notice to the contrary, may treat the Owner thereof as the absolute owner thereof for the purpose of
determining the person entitled to distribution of dividends or other distributions or to any notice provided for in this Deposit Agreement and for all other purposes. 

        SECTION
2.02.    Deposit of Shares.    

        Subject
to the terms and conditions of this Deposit Agreement, Shares or evidence of rights to receive Shares may be deposited by delivery thereof to any Custodian hereunder, accompanied
by any appropriate instrument or instruments of transfer, or endorsement, in form satisfactory to the Custodian, together with all such certifications as may be required by the Depositary or the
Custodian in accordance with the provisions of this Deposit Agreement, and, if the Depositary requires, together with a written order directing the Depositary to execute and deliver to, or upon the
written order of, the person or persons stated in such order, a Receipt or Receipts for the number of American Depositary Shares representing such deposit. No Share shall be accepted for deposit
unless accompanied by evidence satisfactory to the Depositary that any necessary approval has been granted by any governmental body in Italy that is then performing the function of the regulation of
currency exchange. If required by the Depositary, Shares presented for deposit at any time, whether or not the transfer books of the Company or the Foreign Registrar, if applicable, are closed, shall
also be accompanied by an agreement or assignment, or other instrument satisfactory to the Depositary, which will provide for the prompt transfer to the Custodian of any dividend, or right to
subscribe for additional Shares or to receive other property which any person in whose name the Shares are or have been recorded may thereafter receive upon or in respect of such deposited Shares, or
in lieu thereof, such agreement of indemnity or other agreement as shall be satisfactory to the Depositary. 

        Deposited
Securities shall be held by the Depositary or by a Custodian for the account and to the order of the Depositary or at such other place or places as the Depositary shall
determine. 

        SECTION
2.03.    Execution and Delivery of Receipts.    

        Upon
receipt by any Custodian of any deposit pursuant to Section 2.02 hereunder (and in addition, if the transfer books of the Company or the Foreign Registrar, if applicable, are
open, the Depositary may in its sole discretion require a proper acknowledgment or other evidence from the Company that any Deposited Securities have been recorded upon the books of the Company or the
Foreign Registrar, if applicable, in the name of the Depositary or its nominee or such Custodian or its nominee), together with the other documents required as above specified, such Custodian shall
notify the Depositary of such deposit and the person or persons to whom or upon whose written order a Receipt or Receipts are deliverable in respect thereof and the number of American Depositary
Shares to be evidenced thereby. Such notification shall be made by letter or, at the request, risk and expense of the person making the deposit, by cable, telex or facsimile transmission. Upon
receiving such notice from such Custodian, or upon the receipt of Shares by the Depositary, the Depositary, subject to the terms and conditions of this Deposit Agreement, shall execute and deliver at
its Corporate Trust Office, to or upon the order of the person or persons entitled thereto, a Receipt or Receipts, registered in the name or names and evidencing any authorized number of American
Depositary Shares requested by such person or persons, but only upon payment to the Depositary of the fees and expenses of the Depositary for the execution and delivery of such Receipt or Receipts as
provided in Section 5.09, and of all taxes 

4

 

and
governmental charges and fees payable in connection with such deposit and the transfer of the Deposited Securities. 

        SECTION
2.04.    Registration of Transfer of Receipts; Combination and Split-up of Receipts.    

        The
Depositary, subject to the terms and conditions of this Deposit Agreement, shall register transfers of Receipts on its transfer books from time to time, upon any surrender of a
Receipt, by the Owner in person or by a duly authorized attorney, properly endorsed or accompanied by proper instruments of transfer, and duly stamped as may be required by the laws of the State of
New York and of the United States of America. Thereupon the Depositary shall execute a new Receipt or Receipts and deliver the same to or upon the order of the person entitled thereto. 

        The
Depositary, subject to the terms and conditions of this Deposit Agreement, shall upon surrender of a Receipt or Receipts for the purpose of effecting a split-up or
combination of such Receipt or Receipts, execute and deliver a new Receipt or Receipts for any authorized number of American Depositary Shares requested, evidencing the same aggregate number of
American Depositary Shares as the Receipt or Receipts surrendered. 

        The
Depositary may appoint one or more co-transfer agents for the purpose of effecting transfers, combinations and split-ups of Receipts at designated transfer
offices on behalf of the Depositary. In carrying out its functions, a co-transfer agent may require evidence of authority and compliance with applicable laws and other requirements by
Owners or persons entitled to Receipts and will be entitled to protection and indemnity to the same extent as the Depositary. 

        SECTION
2.05.    Surrender of Receipts and Withdrawal of Shares.    

        Upon
surrender at the Corporate Trust Office of the Depositary of a Receipt for the purpose of withdrawal of the Deposited Securities represented by the American Depositary Shares
evidenced by such Receipt, and upon payment of the fee of the Depositary for the surrender of Receipts as provided in Section 5.09 and payment of all taxes and governmental charges payable in
connection with such surrender and withdrawal of the Deposited Securities, and subject to the terms and conditions of this Deposit Agreement, the Owner of such Receipt shall be entitled to delivery,
to him or upon his order, of the amount of Deposited Securities at the time represented by the American Depositary Shares evidenced by such Receipt. 

        A
Receipt surrendered for such purposes may be required by the Depositary to be properly endorsed in blank or accompanied by proper instruments of transfer in blank, and if the
Depositary so requires, the Owner thereof shall execute and deliver to the Depositary a written order directing the Depositary to cause the Deposited Securities being withdrawn to be delivered to or
upon the written order of a person or persons designated in such order. Thereupon the Depositary shall direct the Custodian to deliver at the office of such Custodian, subject to Sections 2.06, 3.01
and 3.02 and to the other terms and conditions of this Deposit Agreement, to or upon the written order of the person or persons designated in the order delivered to the Depositary as above provided,
the amount of Deposited Securities represented by the American Depositary Shares evidenced by such Receipt, except that the Depositary may make delivery to such person or persons at the Corporate
Trust Office of the Depositary of any dividends or distributions with respect to the Deposited Securities represented by the American Depositary Shares evidenced by such Receipt, or of any proceeds of
sale of any dividends, distributions or rights, which may at the time be held by the Depositary. 

        At
the request, risk and expense of any Owner so surrendering a Receipt, and for the account of such Owner, the Depositary shall direct the Custodian to forward any cash or other
property (other than rights) comprising, and forward a certificate or certificates, if available, and other proper documents of title for, the Deposited Securities represented by the American
Depositary Shares evidenced by such Receipt to the Depositary for delivery at the Corporate Trust Office of the 

5

 

Depositary.
Such direction shall be given by letter or, at the request, risk and expense of such Owner, by cable, telex or facsimile transmission. 

        SECTION
2.06.    Limitations on Execution and Delivery, Transfer and Surrender of Receipts.    

        As
a condition precedent to the execution and delivery, registration of transfer, split-up, combination or surrender of any Receipt or withdrawal of any Deposited Securities,
the Depositary, Custodian or Registrar may require payment from the depositor of Shares or the presenter of the Receipt of a sum sufficient to reimburse it for any tax or other governmental charge and
any stock transfer or registration fee with respect thereto (including any such tax or charge and fee with respect to Shares being deposited or withdrawn) and payment of any applicable fees as herein
provided, may require the production of proof satisfactory to it as to the identity and genuineness of any signature and may also require compliance with any regulations the Depositary may establish
consistent with the provisions of this Deposit Agreement, including, without limitation, this Section 2.06. 

        The
delivery of Receipts against deposit of Shares generally or against deposit of particular Shares may be suspended, or the transfer of Receipts in particular instances may be refused,
or the registration of transfer of outstanding Receipts generally may be suspended, during any period when the transfer books of the Depositary are closed, or if any such action is deemed necessary or
advisable by the Depositary or the Company at any time or from time to time because of any requirement of law or of any government or governmental body or commission, or under any provision of this
Deposit Agreement, or for any other reason, subject to the provisions of the following sentence. Notwithstanding anything to the contrary in this Deposit Agreement, the surrender of outstanding
Receipts and withdrawal of Deposited Securities may not be suspended subject only to (i) temporary delays caused by closing the transfer books of the Depositary or the Company or the deposit of
Shares in connection with voting at a shareholders' meeting, or the payment of dividends, (ii) the payment of fees, taxes and similar charges, and (iii) compliance with any U.S. or
foreign laws or governmental regulations relating to the Receipts or to the withdrawal of the Deposited Securities. Without limitation of the foregoing, the Depositary shall not knowingly accept for
deposit under this Deposit Agreement any Shares which would be required to be registered under the provisions of the Securities Act of 1933 for the public offer and sale thereof in the United States
unless a registration statement is in effect as to such Shares for such offer and sale. 

        SECTION
2.07.    Lost Receipts, etc.    

        In
case any Receipt shall be mutilated, destroyed, lost or stolen, the Depositary shall execute and deliver a new Receipt of like tenor in exchange and substitution for such mutilated
Receipt upon cancellation thereof, or in lieu of and in substitution for such destroyed, lost or stolen Receipt. Before the Depositary shall execute and deliver a new Receipt in substitution for a
destroyed, lost or stolen Receipt, the Owner thereof shall have (a) filed with the Depositary (i) a request for such execution and delivery before the Depositary has notice that the
Receipt has been acquired by a bona fide purchaser and (ii) a sufficient indemnity bond and (b) satisfied any other reasonable requirements imposed by the Depositary. 

        SECTION
2.08.    Cancellation and Destruction of Surrendered Receipts.    

        All
Receipts surrendered to the Depositary shall be canceled by the Depositary. The Depositary is authorized to destroy Receipts so canceled. 

6

   
        SECTION 2.09.    Pre-Release of Receipts.    

        Notwithstanding
Section 2.03 hereof, the Depositary may execute and deliver Receipts prior to the receipt of Shares pursuant to Section 2.02 (a "Pre-Release").
The Depositary may, pursuant to Section 2.05, deliver Shares upon the receipt and cancellation of Receipts which have been Pre-Released, whether or not such cancellation is prior to
the termination of such Pre-Release or the Depositary knows that such Receipt has been Pre-Released. The Depositary may receive Receipts in lieu of Shares in satisfaction of a
Pre-Release. Each Pre-Release will be (a) preceded or accompanied by a written representation from the person to whom Receipts or Shares are to be delivered, that such
person, or its customer, owns the Shares or Receipts to be remitted, as the case may be, (b) at all times fully collateralized with cash or such other collateral as the Depositary deems
appropriate, (c) terminable by the Depositary on not more than five (5) business days notice, and (d) subject to such further indemnities and credit regulations as the Depositary
deems appropriate. The number of Shares represented by American Depositary Shares which are outstanding at any time as a result of Pre-Release will not normally exceed thirty percent (30%)
of the Shares deposited hereunder; provided, however, that the Depositary reserves the right to change
or disregard such limit from time to time as it deems appropriate. 

        The
Depositary may retain for its own account any compensation received by it in connection with the foregoing. 

ARTICLE 3.    CERTAIN OBLIGATIONS OF OWNERS AND BENEFICIAL OWNERS OF RECEIPTS  

        SECTION
3.01.    Filing Proofs, Certificates and Other Information.    

        Any
person presenting Shares for deposit or any Owner or Beneficial Owner of a Receipt may be required from time to time to file with the Depositary or the Custodian such proof of
citizenship or residence, exchange control approval, or such information relating to the registration on the books of the Company or the Foreign Registrar, if applicable, to execute such certificates
and to make such representations and warranties, as the Depositary may deem necessary or proper. The Depositary may withhold the delivery or registration of transfer of any Receipt or the distribution
of any dividend or sale or distribution of rights or of the proceeds thereof or the delivery of any Deposited Securities until
such proof or other information is filed or such certificates are executed or such representations and warranties made. 

        SECTION
3.02.    Liability of Owner or Beneficial Owner for Taxes.    

        If
any tax or other governmental charge shall become payable by the Custodian or the Depositary with respect to any Receipt or any Deposited Securities represented by any Receipt, such
tax or other governmental charge shall be payable by the Owner or Beneficial Owner of such Receipt to the Depositary. The Depositary may refuse to effect any transfer of such Receipt or any withdrawal
of Deposited Securities represented by American Depositary Shares evidenced by such Receipt until such payment is made, and may withhold any dividends or other distributions, or may sell for the
account of the Owner or Beneficial Owner thereof any part or all of the Deposited Securities represented by the American Depositary Shares evidenced by such Receipt, and may apply such dividends or
other distributions or the proceeds of any such sale in payment of such tax or other governmental charge and the Owner or Beneficial Owner of such Receipt shall remain liable for any deficiency. 

        SECTION
3.03.    Warranties on Deposit of Shares.    

        Every
person depositing Shares under this Deposit Agreement shall be deemed thereby to represent and warrant that such Shares and each certificate therefor are validly issued, fully
paid, nonassessable and were not issued in violation of any preemptive or similar rights of the holders of outstanding Shares and that the person making such deposit is duly authorized so to do. Every
such person shall also be deemed to represent that such Shares are not, and American Depositary Shares 

7

 

representing
such Shares would not be, Restricted Securities. Such representations and warranties shall survive the deposit of Shares and delivery of Receipts. 

ARTICLE 4.    THE DEPOSITED SECURITIES  

        SECTION
4.01.    Cash Distributions.    

        Whenever
the Depositary shall receive any cash dividend or other cash distribution on any Deposited Securities, the Depositary shall, subject to the provisions of Section 4.05,
convert such dividend or distribution into Dollars and shall distribute the amount thus received (net of the fees and expenses of
the Depositary as provided in Section 5.09) to the Owners entitled thereto, in proportion to the number of American Depositary Shares representing such Deposited Securities held by them
respectively; provided, however, that in the event that the Company or the Depositary shall be required
to withhold and does withhold from such cash dividend or such other cash distribution an amount on account of taxes, the amount distributed to the Owner of the Receipts evidencing American Depositary
Shares representing such Deposited Securities shall be reduced accordingly. The Depositary shall distribute only such amount, however, as can be distributed without attributing to any Owner a fraction
of one cent. Any such fractional amounts shall be rounded to the nearest whole cent and so distributed to Owners entitled thereto. The Company or its agent will remit to the appropriate governmental
agency in Italy all amounts withheld and owing to such agency. The Depositary will forward to the Company or its agent such information from its records as the Company may reasonably request to enable
the Company or its agent to file necessary reports with governmental agencies, and the Depositary or the Company or its agent may file any such reports necessary to obtain benefits under the
applicable tax treaties for the Owners of Receipts. 

        SECTION
4.02.    Distributions Other Than Cash, Shares or Rights.    

        Subject
to the provisions of Sections 4.11 and 5.09, whenever the Depositary shall receive any distribution other than a distribution described in Section 4.01, 4.03 or 4.04, the
Depositary shall cause the securities or property received by it to be distributed to the Owners entitled thereto, after deduction or upon payment of any fees and expenses of the Depositary or any
taxes or other governmental charges, in proportion to the number of American Depositary Shares representing such Deposited Securities held by them respectively, in any manner that the Depositary may
deem equitable and practicable for accomplishing such distribution; provided, however, that if in the
opinion of the Depositary such distribution cannot be made proportionately among the Owners entitled thereto, or if for any other reason (including, but not limited to, any requirement that the
Company or the Depositary withhold an amount on account of taxes or other governmental charges or that such securities must be registered under the Securities Act of 1933 in order to be distributed to
Owners or Beneficial Owners) the Depositary deems such distribution not to be feasible, the Depositary may adopt such method as it may deem equitable and practicable for the purpose of effecting such
distribution, including, but not limited to, the public or private sale of the securities or property thus received, or any part thereof, and the net proceeds of any such sale (net of the fees and
expenses of the Depositary as provided in Section 5.09) shall be distributed by the Depositary to the Owners entitled thereto, all in the manner and subject to the conditions described in
Section 4.01. The Depositary may withhold any distribution of securities under this Section 4.02 if it has not received satisfactory assurances from the Company that the distribution
does not require registration under the Securities Act of 1933. 

        SECTION
4.03.    Distributions in Shares.    

        If
any distribution upon any Deposited Securities consists of a dividend in, or free distribution of, Shares, the Depositary may distribute to the Owners of outstanding Receipts entitled
thereto, in proportion to the number of American Depositary Shares representing such Deposited Securities held by them respectively, additional Receipts evidencing an aggregate number of American
Depositary 

8

 

Shares
representing the amount of Shares received as such dividend or free distribution, subject to the terms and conditions of the Deposit Agreement with respect to the deposit of Shares and the
issuance of American Depositary Shares evidenced by Receipts, including the withholding of any tax or other governmental charge as provided in Section 4.11 and the payment of the fees and
expenses of the Depositary as provided in Section 5.09. The Depositary may withhold any such distribution of Receipts if it has not received satisfactory assurances from the Company that such
distribution does not require registration under the Securities Act of 1933. In lieu of delivering Receipts for fractional American Depositary Shares in any such case, the Depositary shall sell the
amount of Shares represented by the aggregate of such fractions and distribute the net proceeds, all in the manner and subject to the conditions described in Section 4.01. If additional
Receipts are not so distributed, each American Depositary Share shall thenceforth also represent the additional Shares distributed upon the Deposited Securities represented thereby. 

        SECTION
4.04.    Rights.    

        In
the event that the Company shall offer or cause to be offered to the holders of any Deposited Securities any rights to subscribe for additional Shares or any rights of any other
nature, the Depositary shall have discretion as to the procedure to be followed in making such rights available to any Owners or in disposing of such rights on behalf of any Owners and making the net
proceeds available to such Owners or, if by the terms of such rights offering or for any other reason, the Depositary may not either make such rights available to any Owners or dispose of such rights
and make the net proceeds available to such Owners, then the Depositary shall allow the rights to lapse. If at the time of the offering of any rights the Depositary determines in its discretion that
it is lawful and feasible to make such rights available to all or certain Owners but not to other Owners, the Depositary may distribute to any Owner to whom it determines the distribution to be lawful
and feasible, in proportion to the number of American Depositary Shares held by such Owner, warrants or other instruments therefor in such form as it deems appropriate. 

        In
circumstances in which rights would otherwise not be distributed, if an Owner of Receipts requests the distribution of warrants or other instruments in order to exercise the rights
allocable to the American Depositary Shares of such Owner hereunder, the Depositary will make such rights available to such Owner upon written notice from the Company to the Depositary that
(a) the Company has elected in its sole discretion to permit such rights to be exercised and (b) such Owner has executed such documents as the Company has determined in its sole
discretion are reasonably required under applicable law. 

        If
the Depositary has distributed warrants or other instruments for rights to all or certain Owners, then upon instruction from such an Owner pursuant to such warrants or other
instruments to the Depositary
from such Owner to exercise such rights, upon payment by such Owner to the Depositary for the account of such Owner of an amount equal to the purchase price of the Shares to be received upon the
exercise of the rights, and upon payment of the fees and expenses of the Depositary and any other charges as set forth in such warrants or other instruments, the Depositary shall, on behalf of such
Owner, exercise the rights and purchase the Shares, and the Company shall cause the Shares so purchased to be delivered to the Depositary on behalf of such Owner. As agent for such Owner, the
Depositary will cause the Shares so purchased to be deposited pursuant to Section 2.02 of this Deposit Agreement, and shall, pursuant to Section 2.03 of this Deposit Agreement, execute
and deliver Receipts to such Owner; provided, however, that in the case of a distribution pursuant to
the second paragraph of this Section, such deposit shall be made, and depositary shares shall be delivered, under depositary arrangements which provide for issuance of depositary receipts subject to
the appropriate restrictions on sale, deposit, cancellation, and transfer under applicable United States laws. 

        If
the Depositary determines in its discretion that it is not lawful and feasible to make such rights available to all or certain Owners, it may sell the rights, warrants or other
instruments in proportion to 

9

 

the
number of American Depositary Shares held by the Owners to whom it has determined it may not lawfully or feasibly make such rights available, and allocate the net proceeds of such sales (net of
the fees and expenses of the Depositary as provided in Section 5.09 and all taxes and governmental charges payable in connection with such rights and subject to the terms and conditions of this
Deposit Agreement) for the account of such Owners otherwise entitled to such rights, warrants or other instruments, upon an averaged or other practical basis without regard to any distinctions among
such Owners because of exchange restrictions or the date of delivery of any Receipt or otherwise. 

        Except
as otherwise provided in the third preceding paragraph, the Depositary will not offer rights to Owners unless both the rights and the securities to which such rights relate are
either exempt from registration under the Securities Act of 1933 with respect to a distribution to all Owners or are registered under the provisions of such Act. Nothing in this Deposit Agreement
shall create any obligation on the part of the Company to file a registration statement with respect to such rights or underlying securities or to endeavor to have such a registration statement
declared effective. If an Owner of Receipts requests the distribution of warrants or other instruments, notwithstanding that there has been no such registration under such Act, the Depositary shall
not effect such distribution unless it has received an opinion from recognized counsel in the United States for the Company upon which the Depositary may rely that such distribution to such Owner is
exempt from such registration. 

        The
Depositary shall not be responsible for any failure to determine that it may be lawful or feasible to make such rights available to Owners in general or any Owner in particular. 

        SECTION
4.05.    Conversion of Foreign Currency.    

        Whenever
the Depositary or the Custodian shall receive foreign currency, by way of dividends or other distributions or the net proceeds from the sale of securities, property or rights,
and if at the time of the receipt thereof the foreign currency so received can in the judgment of the Depositary be converted on a reasonable basis into Dollars and the resulting Dollars transferred
to the United States, the Depositary shall convert or cause to be converted, by sale or in any other manner that it may determine, such foreign currency into Dollars, and such Dollars shall be
distributed to the Owners entitled thereto or, if the Depositary shall have distributed any warrants or other instruments which entitle the holders thereof to such Dollars, then to the holders of such
warrants or instruments upon surrender thereof for cancellation. Such distribution may be made upon an averaged or other practicable basis without regard to any distinctions among Owners on account of
exchange restrictions, the date of delivery of any Receipt or otherwise and shall be net of any expenses of conversion into Dollars incurred by the Depositary as provided in Section 5.09. 

        If
such conversion or distribution can be effected only with the approval or license of any government or agency thereof, the Depositary shall file such application for approval or
license, if any, as it may deem desirable. 

        If
at any time the Depositary shall determine that in its judgment any foreign currency received by the Depositary or the Custodian is not convertible on a reasonable basis into Dollars
transferable to the United States, or if any approval or license of any government or agency thereof which is required for such conversion is denied or in the opinion of the Depositary is not
obtainable, or if any such approval or license is not obtained within a reasonable period as determined by the Depositary, the Depositary may distribute the foreign currency (or an appropriate
document evidencing the right to receive such foreign currency) received by the Depositary to, or in its discretion may hold such foreign currency uninvested and without liability for interest thereon
for the respective accounts of, the Owners entitled to receive the same. 

        If
any such conversion of foreign currency, in whole or in part, cannot be effected for distribution to some of the Owners entitled thereto, the Depositary may in its discretion make
such conversion and distribution in Dollars to the extent permissible to the Owners entitled thereto and may distribute the 

10

 

balance
of the foreign currency received by the Depositary to, or hold such balance uninvested and without liability for interest thereon for the respective accounts of, the Owners entitled thereto. 

        SECTION
4.06.    Fixing of Record Date.    

        Whenever
any cash dividend or other cash distribution shall become payable or any distribution other than cash shall be made, or whenever rights shall be issued with respect to the
Deposited Securities, or whenever the Depositary shall receive notice of any meeting of holders of Shares or other Deposited Securities, or whenever for any reason the Depositary causes a change in
the number of Shares that are
represented by each American Depositary Share, or whenever the Depositary shall find it necessary or convenient, the Depositary shall fix a record date (a) for the determination of the Owners
who shall be (i) entitled to receive such dividend, distribution or rights or the net proceeds of the sale thereof or (ii) entitled to give instructions for the exercise of voting rights
at any such meeting or (iii) responsible for any fee or charges assessed by the Depositary pursuant to this Deposit Agreement, or (b) on or after which each American Depositary Share
will represent the changed number of Shares. Subject to the provisions of Sections 4.01 through 4.05 and to the other terms and conditions of this Deposit Agreement, the Owners on such record date
shall be entitled, as the case may be, to receive the amount distributable by the Depositary with respect to such dividend or other distribution or such rights or the net proceeds of sale thereof in
proportion to the number of American Depositary Shares held by them respectively, to give voting instructions or to act in respect of any other such matter. 

        SECTION
4.07.    Voting of Deposited Securities.    

        Upon
receipt from the Company of notice of any meeting or solicitation of proxies or consents of holders of Shares or other Deposited Securities, the Depositary shall, if requested in
writing by the Company, as soon as practicable thereafter, mail to the Owners a notice, the form of which notice shall be in the sole discretion of the Depositary, which shall contain (a) such
information as is contained in such notice of meeting received by the Depositary from the Company, (b) a statement that the Owners as of the close of business on a specified record date will be
entitled, subject to any applicable provision of Italian law and of the articles of association or similar document of the Company, to instruct the Depositary as to the exercise of the voting rights,
if any, pertaining to the amount of Shares or other Deposited Securities represented by their respective American Depositary Shares and (c) a statement as to the manner in which such
instructions may be given. Upon the written request of an Owner of a Receipt on such record date, received on or before the date established by the Depositary for such purpose, the Depositary shall
endeavor, in so far as practicable, to vote or cause to be voted the amount of Shares or other Deposited Securities represented by the American Depositary Shares evidenced by such Receipt in
accordance with the instructions set forth in such request. The Depositary shall not vote or attempt to exercise the right to vote that attaches to such Shares or other Deposited Securities other than
in accordance with such instructions. 

        In
order to give Owners a reasonable opportunity to instruct the Depositary as to the exercise of voting rights relating to Deposited Securities, if the Company will request the
Depositary to act under the preceding paragraph, the Company shall give the Depositary notice of any such meeting or solicitation not less than 45 days prior to the meeting date or date for
giving such proxies or consents. 

        SECTION
4.08.    Changes Affecting Deposited Securities.    

        In
circumstances where the provisions of Section 4.03 do not apply, upon any change in nominal value, change in par value, split-up, consolidation or any other
reclassification of Deposited Securities, or upon any recapitalization, reorganization, merger or consolidation or sale of assets affecting the Company or to which it is a party, any securities which
shall be received by the Depositary or a Custodian in exchange for or in conversion of or in respect of Deposited Securities, shall be treated as new Deposited Securities under this Deposit Agreement,
and American Depositary Shares shall 

11

 

thenceforth
represent, in addition to the existing Deposited Securities, the right to receive the new Deposited Securities so received in exchange or conversion, unless additional Receipts are
delivered pursuant to the following sentence. In any such case the Depositary may execute and deliver additional Receipts as in the case of a dividend in Shares, or call for the surrender of
outstanding Receipts to be exchanged for new Receipts specifically describing such new Deposited Securities. 

        SECTION
4.09.    Reports.    

        The
Depositary shall make available for inspection by Owners at its Corporate Trust Office any reports and communications, including any proxy soliciting material, received from the
Company which are both (a) received by the Depositary as the holder of the Deposited Securities and (b) made generally available to the holders of such Deposited Securities by the
Company. The Depositary shall also send to the Owners copies of such reports when furnished by the Company pursuant to Section 5.06. Any such reports and communications, including any such
proxy soliciting material, furnished to the Depositary by the Company shall be furnished in English, to the extent such materials are required to be translated into English pursuant to any regulations
of the Commission. 

        SECTION
4.10.    Lists of Owners.    

        Promptly
upon request by the Company, the Depositary shall, at the expense of the Company, furnish to it a list, as of a recent date, of the names, addresses and holdings of American
Depositary Shares by all persons in whose names Receipts are registered on the books of the Depositary. 

        SECTION
4.11.    Withholding.    

        In
the event that the Depositary determines that any distribution in property (including Shares and rights to subscribe therefor) is subject to any tax or other governmental charge which
the Depositary is obligated to withhold, the Depositary may by public or private sale dispose of all or a portion of such property (including Shares and rights to subscribe therefor) in such amounts
and in such manner as the Depositary deems necessary and practicable to pay such taxes or charges and the Depositary shall distribute the net proceeds of any such sale after deduction of such taxes or
charges to the Owners entitled thereto in proportion to the number of American Depositary Shares held by them respectively. 

ARTICLE 5.    THE DEPOSITARY, THE CUSTODIANS AND THE COMPANY  

        SECTION
5.01.    Maintenance of Office and Transfer Books by the Depositary.    

        Until
termination of this Deposit Agreement in accordance with its terms, the Depositary shall maintain in the Borough of Manhattan, The City of New York, facilities for the execution
and delivery, registration, registration of transfers and surrender of Receipts in accordance with the provisions of this Deposit Agreement. 

12

   
        The Depositary shall keep books, at its Corporate Trust Office, for the registration of Receipts and transfers of Receipts which at all reasonable times shall be open for inspection by
the Owners, provided that such inspection shall not be for the purpose of communicating with Owners in the interest of a business or object other than the business of the Company or a matter related
to this Deposit Agreement or the Receipts. 

        The
Depositary may close the transfer books, at any time or from time to time, when deemed expedient by it in connection with the performance of its duties hereunder. 

        If
any Receipts or the American Depositary Shares evidenced thereby are listed on one or more stock exchanges in the United States, the Depositary shall act as Registrar or appoint a
Registrar or one or more co-registrars for registry of such Receipts in accordance with any requirements of such exchange or exchanges. 

        SECTION
5.02.    Prevention or Delay in Performance by the Depositary or the Company.    

        Neither
the Depositary nor the Company nor any of their respective directors, employees, agents or affiliates shall incur any liability to any Owner or Beneficial Owner if, by reason of
any provision of any present or future law or regulation of the United States or any other country, or of any governmental or regulatory authority or stock exchange, or by reason of any provision,
present or future, of the articles of association or similar document of the Company, or by reason of any provision of any securities issued or distributed by the Company, or any offering or
distribution thereof, or by reason of any act of God or war or terrorism or other circumstances beyond its control, the Depositary or the Company shall be prevented, delayed or forbidden from, or be
subject to any civil or criminal penalty on account of, doing or performing any act or thing which by the terms of this Deposit Agreement or Deposited Securities it is provided shall be done or
performed; nor shall the Depositary or the Company or any of their respective directors, employees, agents or affiliates incur any liability to any Owner or Beneficial Owner of any Receipt by reason
of any nonperformance or delay, caused as aforesaid, in the performance of any act or thing which by the terms of this Deposit Agreement it is provided shall or may be done or performed, or by reason
of any exercise of, or failure to exercise, any discretion provided for in this Deposit Agreement. Where, by the terms of a distribution pursuant to Section 4.01, 4.02, or 4.03, or an offering
or distribution pursuant to Section 4.04, or for any other reason, such distribution or offering may not be made available to Owners, and the Depositary may not dispose of such distribution or
offering on behalf of such Owners and make the net proceeds available to such Owners, then the Depositary shall not make such distribution or offering, and shall allow any rights, if applicable, to
lapse. 

        SECTION
5.03.    Obligations of the Depositary, the Custodian and the Company.    

        The
Company assumes no obligation nor shall it be subject to any liability under this Deposit Agreement to Owners or Beneficial Owners, except that it agrees to perform its obligations
specifically set forth in this Deposit Agreement without negligence or bad faith. 

        The
Depositary assumes no obligation nor shall it be subject to any liability under this Deposit Agreement to any Owner or Beneficial Owner (including, without limitation, liability with
respect to the validity or worth of the Deposited Securities), except that it agrees to perform its obligations specifically set forth in this Deposit Agreement without negligence or bad faith. 

        Neither
the Depositary nor the Company shall be under any obligation to appear in or prosecute any action, suit or other proceeding in respect of any Deposited Securities or in respect
of the Receipts on behalf of any Owner, Beneficial Owner or other person, and the Custodian shall not be under any obligation whatsoever with respect to such proceedings, the responsibility of the
Custodian being solely to the Depositary. 

13

 

        Neither
the Depositary nor the Company shall be liable for any action or nonaction by it in reliance upon the advice of or information from legal counsel, accountants, any person
presenting Shares for deposit, any Owner or any other person believed by it in good faith to be competent to give such advice or information. 

        The
Depositary shall not be liable for any acts or omissions made by a successor depositary whether in connection with a previous act or omission of the Depositary or in connection with
any matter arising wholly after the removal or resignation of the Depositary, provided that in connection with the issue out of which such potential liability arises the Depositary performed its
obligations without negligence or bad faith while it acted as Depositary. 

        The
Depositary shall not be responsible for any failure to carry out any instructions to vote any of the Deposited Securities, or for the manner in which any such vote is cast or the
effect of any such vote, provided that any such action or nonaction is in good faith. 

        No
disclaimer of liability under the Securities Act of 1933 is intended by any provision of this Deposit Agreement. 

        SECTION
5.04.    Resignation and Removal of the Depositary.    

        The
Depositary may at any time resign as Depositary by written notice of its election so to do delivered to the Company, such resignation to take effect upon the appointment of a
successor depositary and its acceptance of such appointment as hereinafter provided. 

        The
Depositary may at any time be removed by the Company by 120 days' prior written notice of such removal, to become effective upon the later of (i) the 120th day after
delivery of the notice to the Depositary or (ii) the appointment of a successor depositary and its acceptance of such appointment as hereinafter provided. 

        In
case at any time the Depositary acting hereunder shall resign or be removed, the Company shall use its best efforts to appoint a successor depositary, which shall be a bank or trust
company having an office in the Borough of Manhattan, The City of New York. Every successor depositary shall execute and deliver to its predecessor and to the Company an instrument in writing
accepting its appointment hereunder, and thereupon such successor depositary, without any further act or deed, shall become fully vested with all the rights, powers, duties and obligations of its
predecessor; but such predecessor, nevertheless, upon payment of all sums due it and on the written request of the Company shall execute and deliver an instrument transferring to such successor all
rights and powers of such predecessor hereunder, shall duly assign, transfer and deliver all right, title and interest in the Deposited Securities to such successor, and shall deliver to such
successor a list of the Owners of all outstanding Receipts. Any such successor depositary shall promptly mail notice of its appointment to the Owners. 

        Any
corporation into or with which the Depositary may be merged or consolidated shall be the successor of the Depositary without the execution or filing of any document or any further
act. 

        SECTION
5.05.    The Custodians.    

        The
Custodian shall be subject at all times and in all respects to the directions of the Depositary and shall be responsible solely to it. Any Custodian may resign and be discharged from
its duties hereunder by notice of such resignation delivered to the Depositary at least 30 days prior to the date on which such resignation is to become effective. If upon the effectiveness of
such resignation there would be no Custodian acting hereunder, the Depositary shall, as promptly as practicable after receiving such notice, appoint a substitute custodian or custodians, each of which
shall thereafter be a Custodian hereunder. Whenever the Depositary in its discretion determines that it is in the best interest of the Owners to do so, it may appoint a substitute or additional
custodian or custodians, each of which shall thereafter be one of the Custodians hereunder. Upon demand of the Depositary any Custodian shall deliver such of the Deposited Securities held by it as are
requested of it to any other 

14

 

Custodian
or such substitute or additional custodian or custodians. Each such substitute or additional custodian shall deliver to the Depositary, forthwith upon its appointment, an acceptance of such
appointment satisfactory in form and substance to the Depositary. 

        Upon
the appointment of any successor depositary hereunder, each Custodian then acting hereunder shall forthwith become, without any further act or writing, the agent hereunder of such
successor depositary and the appointment of such successor depositary shall in no way impair the authority of each Custodian hereunder; but the successor depositary so appointed shall, nevertheless,
on the written request of any Custodian, execute and deliver to such Custodian all such instruments as may be proper to give to such Custodian full and complete power and authority as agent hereunder
of such successor depositary. 

        SECTION
5.06.    Notices and Reports.    

        On
or before the first date on which the Company gives notice, by publication or otherwise, of any meeting of holders of Shares or other Deposited Securities, or of any adjourned meeting
of such holders, or of the taking of any action in respect of any cash or other distributions or the offering of any rights, the Company agrees to transmit to the Depositary and the Custodian a copy
of the notice thereof in English but otherwise in the form given or to be given to holders of Shares or other Deposited Securities. 

        The
Company will arrange for the translation into English, if not already in English, to the extent required pursuant to any regulations of the Commission, and the prompt transmittal by
the Company to the Depositary and the Custodian of such notices and any other reports and communications which are made generally available by the Company to holders of its Shares. If requested in
writing by the Company, the Depositary will arrange for the mailing, at the Company's expense, of copies of such notices, reports and communications to all Owners. The Company will timely provide the
Depositary with the quantity of such notices, reports, and communications, as requested by the Depositary from time to time, in order for the Depositary to effect such mailings. 

        The
Company has delivered to the Depositary and the Custodian a copy (in English or with an English translation) of all provisions of or governing the Shares and any other Deposited
Securities. Promptly upon any change in such provisions, the Company shall deliver promptly to the Depositary and the Custodian a copy (in English or with an English translation) of such provisions as
so changed. The Depositary and its agents may rely on the copy of such provisions as so delivered for all purposes of this Deposit Agreement. 

        SECTION
5.07.    Distribution of Additional Shares, Rights, etc.    

        If
the Company or any affiliate of the Company determines to make any issuance or distribution of (1) additional Shares, (2) rights to subscribe for Shares,
(3) securities convertible into Shares, or (4) rights to subscribe for such securities (each a "Distribution"), the Company shall notify the Depositary in writing in English as promptly
as practicable and in any event before the Distribution starts and, if requested in writing by the Depositary, the Company shall promptly furnish to the Depositary a written opinion from U.S. counsel
for the Company that is reasonably satisfactory to the Depositary, stating whether or not the Distribution requires, or, if made in the United States, would require, registration under the Securities
Act of 1933. If, in the opinion of that counsel, the Distribution requires, or, if made in the United States, would require, registration under the Securities Act of 1933, that counsel shall furnish
to the Depositary a written opinion as to whether or not there is a registration statement under the Securities Act of 1933 in effect that will cover that Distribution. 

        The
Company agrees with the Depositary that neither the Company nor any company controlled by, controlling or under common control with the Company will at any time deposit any Shares,
either originally issued or previously issued and reacquired by the Company or any such affiliate, unless a Registration Statement is in effect as to such Shares under the Securities Act of 1933. 

15

 

        SECTION
5.08.    Indemnification.    

        The
Company agrees to indemnify the Depositary, its directors, employees, agents and affiliates and any Custodian against, and hold each of them harmless from, any liability or expense
(including, but not limited to, the fees and expenses of counsel) which may arise out of (a) any registration with the Commission of American Depositary Shares or Deposited Securities or the
offer or sale thereof in the United States or (b) acts performed or omitted, pursuant to the provisions of this Deposit Agreement and of the Receipts, as the same may be amended, modified or
supplemented from time to time, (i) by either the Depositary or a Custodian or their respective directors, employees, agents and affiliates, except for any liability or expense arising out of
the negligence, wilfull misconduct or bad faith of either of them, or (ii) by the Company or any of its directors, employees, agents and affiliates. 

        The
Depositary agrees to indemnify the Company, its directors, employees, agents and affiliates and hold them harmless from any liability or expense which may arise out of acts performed
or omitted by the Depositary or its Custodian or their respective directors, employees, agents and affiliates due to their negligence, wilfull misconduct or bad faith. 

        SECTION
5.09.    Charges of Depositary.    

        The
Company agrees to pay the fees, reasonable expenses and out-of-pocket charges of the Depositary and those of any Registrar only in accordance with agreements
in writing entered into between the Depositary and the Company from time to time. The Depositary shall present its statement for such charges and expenses to the Company once every three months. The
charges and expenses of the Custodian are for the sole account of the Depositary. 

        The
following charges shall be incurred by any party depositing or withdrawing Shares or by any party surrendering Receipts or to whom Receipts are issued (including, without limitation,
issuance pursuant to a stock dividend or stock split declared by the Company or an exchange of stock regarding the Receipts or Deposited Securities or a distribution of Receipts pursuant to
Section 4.03) or by Owners, as applicable: (1) taxes and other governmental charges, (2) such registration fees as may from time to time be in effect for the registration of
transfers of Shares generally on the Share register of the Company or Foreign Registrar and applicable to transfers of Shares to the name of the Depositary or its nominee or the Custodian or its
nominee on the making of deposits or withdrawals hereunder, (3) such cable, telex and facsimile transmission expenses as are expressly provided in this Deposit Agreement, (4) such
expenses as are incurred by the Depositary in the conversion of foreign currency pursuant to Section 4.05, (5) a fee of $5.00 or less per 100 American Depositary Shares (or portion
thereof) for the execution and delivery of Receipts pursuant to Section 2.03, 4.03 or 4.04 and the surrender of Receipts pursuant to Section 2.05 or 6.02, (6) a fee of $.02 or
less per American Depositary Share (or portion thereof) for any cash distribution made pursuant to this Deposit Agreement, including, but not limited to Sections 4.01 through 4.04, (7) a fee
for the distribution of securities pursuant to Section 4.02, such fee being in an amount equal to the fee for the execution and delivery of American Depositary Shares referred to above which
would have been charged as a result of the deposit of such securities (for purposes of this clause 7 treating all such securities as if they were Shares) but which securities are instead
distributed by the Depositary to Owners, (8) a fee of $.02 or less per American Depositary Share (or portion thereof) for depositary services, which will accrue on the last day of each calendar
year and will be payable as provided in clause 9 below; provided, however, that no fee will be
assessed under this clause 8 to the extent that a fee of $.02 was charged pursuant to clause 6 above during that calendar year and (9) any other charges payable by the Depositary,
any of the Depositary's agents, including the Custodian, or the agents of the Depositary's agents in connection with the servicing of Shares or other Deposited Securities (which charge shall be
assessed against Owners as of the date or dates set by the Depositary in accordance with Section 4.06 and shall be collected at the sole discretion of the Depositary by billing such Owners for
such charge or by deducting such charge from one or more cash dividends or other cash distributions). 

16

 

        The
Depositary, subject to Section 2.09, may own and deal in any class of securities of the Company and its affiliates and in Receipts. 

        SECTION
5.10.    Retention of Depositary Documents.    

        The
Depositary is authorized to destroy those documents, records, bills and other data compiled during the term of this Deposit Agreement at the times permitted by the laws or
regulations governing the Depositary unless the Company reasonably requests that such papers be retained for a longer period. 

        SECTION
5.11.    Exclusivity.    

        The
Company agrees not to appoint any other depositary for issuance of American or global depositary receipts so long as The Bank of New York is acting as Depositary hereunder. 

        SECTION
5.12.    List of Restricted Securities Owners.    

        The
Company shall provide to the Depositary a list setting forth, to the actual knowledge of the Company, those persons or entities who beneficially own Restricted Securities as of the
date hereof and the Company shall update that list as changes occur. The Company agrees to advise in writing each of the persons or entities so listed that such Restricted Securities, so long as they
remain such, are ineligible for deposit hereunder. The Depositary may rely on the list provided under this Section 5.12, as most recently updated, but shall not be liable for any action or
omission made in reliance thereon. 

ARTICLE 6.    AMENDMENT AND TERMINATION  

        SECTION
6.01.    Amendment.    

        The
form of the Receipts and any provisions of this Deposit Agreement may at any time and from time to time be amended by agreement between the Company and the Depositary without the
consent of Owners or Beneficial Owners in any respect which they may deem necessary or desirable. Any amendment which shall impose or increase any fees or charges (other than taxes and other
governmental charges, registration fees, cable, telex or facsimile transmission costs, delivery costs or other such expenses), or which shall otherwise prejudice any substantial existing right of
Owners, shall, however, not become effective as to outstanding Receipts until the expiration of 30 days after notice of
such amendment shall have been given to the Owners of outstanding Receipts. Every Owner and Beneficial Owner, at the time any amendment so becomes effective, shall be deemed, by continuing to hold
such Receipt or any interest therein, to consent and agree to such amendment and to be bound by the Deposit Agreement as amended thereby. In no event shall any amendment impair the right of the Owner
of any Receipt to surrender such Receipt and receive therefor the Deposited Securities represented thereby, except in order to comply with mandatory provisions of applicable law. 

        SECTION
6.02.    Termination.    

        The
Depositary shall, at any time at the direction of the Company, terminate this Deposit Agreement by mailing notice of termination to the Owners of all Receipts then outstanding at
least 30 days prior to the date fixed in such notice for such termination. The Depositary may likewise terminate this Deposit Agreement by mailing notice of termination to the Company and the
Owners of all Receipts then outstanding if at least 60 days have passed since the Depositary delivered to the Company a written notice of its election to resign and a successor depositary has
not been appointed and accepted its appointment as provided in Section 5.04. On and after the date of termination, the Owner of a Receipt will, upon (a) surrender of such Receipt at the
Corporate Trust Office of the Depositary, (b) payment of the fee of the Depositary for the surrender of Receipts referred to in Section 2.05, and (c) payment of any applicable
taxes or governmental charges, be entitled to delivery, to him or upon his order, of the amount of Deposited Securities represented by the American Depositary Shares evidenced by such Receipt. If any
Receipts shall remain outstanding after the date of 

17

 

termination,
the Depositary thereafter shall discontinue the registration of transfers of Receipts, shall suspend the distribution of dividends to the Owners thereof, and shall not give any further
notices or perform any further acts under this Deposit Agreement, except that the Depositary shall continue to collect dividends and other distributions pertaining to Deposited Securities, shall sell
rights and other property as provided in this Deposit Agreement, and shall continue to deliver Deposited Securities, together with any dividends or other distributions received with respect thereto
and the net proceeds of the sale of any rights or other property, in exchange for Receipts surrendered to the Depositary (after deducting, in each case, the fee of the Depositary for the surrender of
a Receipt, any expenses for the account of the Owner of such Receipt in accordance with the terms and conditions of this Deposit Agreement, and any applicable taxes or governmental charges). At any
time after the expiration of one year from the date of termination, the Depositary may sell the Deposited Securities then held hereunder and may thereafter hold uninvested the net proceeds of any such
sale, together with any other cash then held by it hereunder, unsegregated and without liability for interest, for the pro rata benefit of the Owners of Receipts which have not theretofore been
surrendered, such Owners thereupon becoming general creditors of the Depositary with respect to such net proceeds. After making such sale, the Depositary shall be discharged from all obligations under
this Deposit Agreement, except to account for such net proceeds and other cash (after deducting, in each case, the fee of the Depositary for the surrender of a Receipt, any expenses for the account of
the Owner of such Receipt in accordance with the terms and conditions of this Deposit Agreement, and any applicable taxes or governmental charges). Upon the termination of this Deposit Agreement, the
Company shall be discharged from all obligations under this Deposit Agreement except for its obligations to the Depositary under Sections 5.08 and 5.09. 

ARTICLE 7.    MISCELLANEOUS  

        SECTION
7.01.    Counterparts.    

        This
Deposit Agreement may be executed in any number of counterparts, each of which shall be deemed an original and all of such counterparts shall constitute one and the same instrument.
Copies of this Deposit Agreement shall be filed with the Depositary and the Custodians and shall be open to inspection by any Owner or Beneficial Owner during business hours. 

        SECTION
7.02.    No Third Party Beneficiaries.    

        This
Deposit Agreement is for the exclusive benefit of the parties hereto and shall not be deemed to give any legal or equitable right, remedy or claim whatsoever to any other person. 

        SECTION
7.03.    Severability.    

        In
case any one or more of the provisions contained in this Deposit Agreement or in the Receipts should be or become invalid, illegal or unenforceable in any respect, the validity,
legality and enforceability of the remaining provisions contained herein or therein shall in no way be affected, prejudiced or disturbed thereby. 

        SECTION
7.04.    Owners and Beneficial Owners as Parties; Binding Effect.    

        The
Owners and Beneficial Owners of Receipts from time to time shall be parties to this Deposit Agreement and shall be bound by all of the terms and conditions hereof and of the Receipts
by acceptance thereof or any interest therein. 

        SECTION
7.05.    Notices.    

        Any
and all notices to be given to the Company shall be deemed to have been duly given if personally delivered or sent by mail or cable, telex or facsimile transmission confirmed by
letter, addressed to Gentium S.p.A., Piazze XX Septembre, 2, 22079 Villa Guardia, Como, Italy, Attention: Dr. Laura Ferro, 

18

 

Facsimile:
39-031-385-333, or any other place to which the Company may have transferred its principal office with notice to the Depositary. 

        Any
and all notices to be given to the Depositary shall be deemed to have been duly given if in English and personally delivered or sent by mail or cable, telex or facsimile transmission
confirmed by letter, addressed to The Bank of New York, 101 Barclay Street, New York, New York 10286, Attention: American Depositary Receipt Administration, or any other place to which the Depositary
may have transferred its Corporate Trust Office with notice to the Company. 

        Any
and all notices to be given to any Owner shall be deemed to have been duly given if personally delivered or sent by mail or cable, telex or facsimile transmission confirmed by
letter, addressed to such Owner at the address of such Owner as it appears on the transfer books for Receipts of the Depositary, or, if such Owner shall have filed with the Depositary a written
request that notices intended for such Owner be mailed to some other address, at the address designated in such request. 

        Delivery
of a notice sent by mail or cable, telex or facsimile transmission shall be deemed to be effective at the time when a duly addressed letter containing the same (or a
confirmation thereof in the case of a cable, telex or facsimile transmission) is deposited, postage prepaid, in a post-office letter box. The Depositary or the Company may, however, act
upon any cable, telex or facsimile transmission received by it, notwithstanding that such cable, telex or facsimile transmission shall not subsequently be confirmed by letter as aforesaid. 

        SECTION
7.06.    Submission to Jurisdiction; Appointment of Agent for Service of Process.    

        The
Company hereby (i) irrevocably designates and appoints CT Corporation System, 111 Eighth Avenue, New York, New York 10011, in the State of New York, as the Company's
authorized agent upon which process may be served in any suit or proceeding arising out of or relating to the Shares or Deposited Securities, the American Depositary Shares, the Receipts or this
Deposit Agreement, (ii) consents and submits to the jurisdiction of any state or federal court in the State of New York in which any such suit or proceeding may be instituted, and
(iii) agrees that service of process upon said authorized agent shall be deemed in every respect effective service of process upon the Company in any such suit or proceeding. The Company agrees
to deliver, upon the execution and delivery of this Deposit Agreement, a written acceptance by such agent of its appointment as such agent. The Company further agrees to take any and all action,
including the filing of any and all such documents and instruments, as may be necessary to continue such designation and appointment in full force and effect for so long as any American Depositary
Shares or Receipts remain outstanding or this Agreement remains in force. In the event the Company fails to continue such designation and appointment in full force and effect, the Company hereby
waives personal service of process upon it
and consents that any such service of process may be made by certified or registered mail, return receipt requested, directed to the Company at its address last specified for notices hereunder, and
service so made shall be deemed completed five (5) days after the same shall have been so mailed. 

        SECTION
7.07.    Waiver of Immunities.    

        To
the extent that the Company or any of its properties, assets or revenues may have or may hereafter become entitled to, or have attributed to it, any right of immunity, on the grounds
of sovereignty or otherwise, from any legal action, suit or proceeding, from the giving of any relief in any respect thereof, from setoff or counterclaim, from the jurisdiction of any court, from
service of process, from attachment upon or prior to judgment, from attachment in aid of execution or judgment, or from execution of judgment, or other legal process or proceeding for the giving of
any relief or for the enforcement of any judgment, in any jurisdiction in which proceedings may at any time be commenced, with respect to its obligations, liabilities or any other matter under or
arising out of or in connection with the Shares or Deposited Securities, the American Depositary Shares, the Receipts or this Agreement, the Company, to the fullest extent permitted by law, hereby
irrevocably and unconditionally 

19

 

waives,
and agrees not to plead or claim, any such immunity and consents to such relief and enforcement. 

        SECTION
7.08.    Governing Law.    

        This
Deposit Agreement and the Receipts shall be interpreted and all rights hereunder and thereunder and provisions hereof and thereof shall be governed by the laws of the State of New
York, except with respect to its authorization and execution by the Company, which shall be governed by the laws of Italy. 

20

 

        IN
WITNESS WHEREOF, GENTIUM S.p.A. and THE BANK OF NEW YORK have duly executed this Deposit Agreement as of the day and year first set forth above and all Owners and Beneficial Owners
shall become parties hereto upon acceptance by them of Receipts issued in accordance with the terms hereof or any interest therein. 

	

 	
 	

GENTIUM S.p.A.
	

 	
 	

By:	

	 	 	 	Name:	

	 	 	 	Title:	

	

 	
 	

THE BANK OF NEW YORK,

as Depositary
	

 	
 	

By:	

	 	 	 	Name:	

	 	 	 	Title:	

21

   EXHIBIT A  

	No.	 	

	 	 	AMERICAN DEPOSITARY SHARES
 (Each American Depositary Share represents one deposited Share)

THE BANK OF NEW YORK

AMERICAN DEPOSITARY RECEIPT

FOR ORDINARY SHARES

PAR VALUE EURO 1.00 PER SHARE OF

GENTIUM S.p.A.

(INCORPORATED UNDER THE LAWS OF THE REPUBLIC OF ITALY)  

        The Bank of New York, as depositary (herein called the Depositary), hereby certifies
that                                         
                                          
                 , or registered assigns IS THE OWNER
OF                                         
                   
 

AMERICAN DEPOSITARY SHARES  

        representing deposited ordinary shares (herein called Shares) of Gentium S.p.A., incorporated under the laws of the Republic of Italy (herein called the Company).
At the date hereof, each American Depositary Share represents one Share deposited or subject to deposit under the Deposit Agreement (as such term is hereinafter defined) at the Cologno Monzese, Italy
office of UniCredito Italiano (herein called the Custodian). The Depositary's Corporate Trust Office is located at a different address
than its principal executive office. Its Corporate Trust Office is located at 101 Barclay Street, New York, N.Y. 10286, and its principal executive office is located at One Wall Street, New York, N.Y.
10286. 

THE DEPOSITARY'S CORPORATE TRUST OFFICE ADDRESS IS

101 BARCLAY STREET, NEW YORK, N.Y. 10286  

1.     THE DEPOSIT AGREEMENT.  

        This American Depositary Receipt is one of an issue (herein called Receipts), all issued and to be issued upon the terms and conditions set forth in the deposit
agreement, dated as of                        , 2005, as the same may be amended from time to time in accordance with its terms
(the "Deposit Agreement"), by and among the Company, the Depositary, and all
Owners and Beneficial Owners from time to time of Receipts issued thereunder, each of whom by accepting a Receipt or any interest therein agrees to become a party thereto and become bound by all the
terms and conditions thereof. The Deposit Agreement sets forth the rights of Owners and Beneficial Owners of the Receipts and the rights and duties of the Depositary in respect of the Shares deposited
thereunder and any and all other securities, property and cash from time to time received in respect of such Shares and held thereunder (such Shares, securities, property, and cash are herein called
Deposited Securities). Copies of the Deposit Agreement are on file at the Depositary's Corporate Trust Office in New York City and at the office of the Custodian. 

        The
statements made on the face and reverse of this Receipt are summaries of certain provisions of the Deposit Agreement and are qualified by and subject to the detailed provisions of
the Deposit Agreement, to which reference is hereby made. Capitalized terms defined in the Deposit Agreement and not defined herein shall have the meanings set forth in the Deposit Agreement. 

A-1

 

2.     SURRENDER OF RECEIPTS AND WITHDRAWAL OF SHARES.  

        Upon surrender at the Corporate Trust Office of the Depositary of this Receipt, and upon payment of the fee of the Depositary provided in this Receipt, and
subject to the terms and conditions of the
Deposit Agreement, the Owner hereof is entitled to delivery, to him or upon his order, of the Deposited Securities at the time represented by the American Depositary Shares for which this Receipt is
issued. 

3.     TRANSFERS, SPLIT-UPS, AND COMBINATIONS OF RECEIPTS.  

        The transfer of this Receipt is registrable on the books of the Depositary at its Corporate Trust Office by the Owner hereof in person or by a duly authorized
attorney, upon surrender of this Receipt properly endorsed for transfer or accompanied by proper instruments of transfer and funds sufficient to pay any applicable transfer taxes and the expenses of
the Depositary and upon compliance with such regulations, if any, as the Depositary may establish for such purpose. This Receipt may be split into other such Receipts, or may be combined with other
such Receipts into one Receipt, evidencing the same aggregate number of American Depositary Shares as the Receipt or Receipts surrendered. As a condition precedent to the execution and delivery,
registration of transfer, split-up, combination, or surrender of any Receipt or withdrawal of any Deposited Securities, the Depositary, the Custodian, or Registrar may require payment from
the depositor of the Shares or the presentor of the Receipt of a sum sufficient to reimburse it for any tax or other governmental charge and any stock transfer or registration fee with respect thereto
(including any such tax or charge and fee with respect to Shares being deposited or withdrawn) and payment of any applicable fees as provided in this Receipt, may require the production of proof
satisfactory to it as to the identity and genuineness of any signature and may also require compliance with any regulations the Depositary may establish consistent with the provisions of the Deposit
Agreement or this Receipt, including, without limitation, this Article 3. 

        The
delivery of Receipts against deposit of Shares generally or against deposit of particular Shares may be suspended, or the transfer of Receipts in particular instances may be refused,
or the registration of transfer of outstanding Receipts generally may be suspended, during any period when the transfer books of the Depositary are closed, or if any such action is deemed necessary or
advisable by the Depositary or the Company at any time or from time to time because of any requirement of law or of any government or governmental body or commission, or under any provision of the
Deposit Agreement or this Receipt, or for any other reason, subject to the provisions of the following sentence. Notwithstanding anything to the contrary in the Deposit Agreement or this Receipt, the
surrender of outstanding Receipts and withdrawal of Deposited Securities may not be suspended subject only to (i) temporary delays caused by closing the transfer books of the Depositary or the
Company or the deposit of Shares in connection with voting at a shareholders' meeting, or the payment of dividends, (ii) the payment of fees, taxes and similar charges, and
(iii) compliance with any U.S. or foreign laws or governmental regulations relating to the Receipts or to the withdrawal of the Deposited Securities. Without limitation of the foregoing, the
Depositary shall not knowingly accept for deposit under the Deposit Agreement any Shares which would be required to be registered under the provisions of the Securities Act of 1933 for the public
offer and sale thereof in the United States unless a registration statement is in effect as to such Shares for such offer and sale. 

4.     LIABILITY OF OWNER OR BENEFICIAL OWNER FOR TAXES.  

        If any tax or other governmental charge shall become payable with respect to any Receipt or any Deposited Securities represented hereby, such tax or other
governmental charge shall be payable by the Owner or Beneficial Owner hereof to the Depositary. The Depositary may refuse to effect any transfer of this Receipt or any withdrawal of Deposited
Securities represented by American Depositary Shares evidenced by such Receipt until such payment is made, and may withhold any dividends or other distributions, or may sell for the account of the
Owner or Beneficial Owner hereof any part or all of 

A-2

 

the
Deposited Securities represented by the American Depositary Shares evidenced by this Receipt, and may apply such dividends or other distributions or the proceeds of any such sale in payment of
such tax or other governmental charge and the Owner or Beneficial Owner hereof shall remain liable for any deficiency. 

5.     WARRANTIES ON DEPOSIT OF SHARES.  

        Every person depositing Shares under the Deposit Agreement shall be deemed thereby to represent and warrant that such Shares and each certificate therefor are
validly issued, fully paid, non-assessable, and were not issued in violation of any preemptive or similar rights of the holders of outstanding Shares and that the person making such
deposit is duly authorized so to do. Every such person shall also be deemed to represent that such Shares are not, and American Depositary Shares representing such Shares would not be, Restricted
Securities. Such representations and warranties shall survive the deposit of Shares and delivery of Receipts. 

6.     FILING PROOFS, CERTIFICATES, AND OTHER INFORMATION.  

        Any person presenting Shares for deposit or any Owner or Beneficial Owner of a Receipt may be required from time to time to file with the Depositary or the
Custodian such proof of citizenship or residence, exchange control approval, or such information relating to the registration on the books of the Company or the Foreign Registrar, if applicable, to
execute such certificates and to make such representations and warranties, as the Depositary may deem necessary or proper. The Depositary may withhold the delivery or registration of transfer of any
Receipt or the distribution of any dividend or sale or distribution of rights or of the proceeds thereof or the delivery of any Deposited Securities until such proof or other information is filed or
such certificates are executed or such representations and warranties made. No Share shall be accepted for deposit unless accompanied by evidence satisfactory to the Depositary that any necessary
approval has been granted by any governmental body in Italy that is then performing the function of the regulation of currency exchange. 

7.     CHARGES OF DEPOSITARY.  

        The Company agrees to pay the fees, reasonable expenses and out-of-pocket charges of the Depositary and those of any Registrar only in
accordance with agreements in writing entered into between the Depositary and the Company from time to time. The Depositary shall present its statement for such charges and expenses to the Company
once every three months. The charges and expenses of the Custodian are for the sole account of the Depositary. 

        The
following charges shall be incurred by any party depositing or withdrawing Shares or by any party surrendering Receipts or to whom Receipts are issued (including, without limitation,
issuance pursuant to a stock dividend or stock split declared by the Company or an exchange of stock regarding the Receipts or Deposited Securities or a distribution of Receipts pursuant to
Section 4.03 of the Deposit Agreement), or by Owners, as applicable: (1) taxes and other governmental charges, (2) such registration fees as may from time to time be in effect for
the registration of transfers of Shares generally on the Share register of the Company or Foreign Registrar and applicable to transfers of Shares to the name of the Depositary or its nominee or the
Custodian or its nominee on the making of deposits or withdrawals under the terms of the Deposit Agreement, (3) such cable, telex and facsimile transmission expenses as are expressly provided
in the Deposit Agreement, (4) such expenses as are incurred by the Depositary in the conversion of foreign currency pursuant to Section 4.05 of the Deposit Agreement, (5) a fee of
$5.00 or less per 100 American Depositary Shares (or portion thereof) for the execution and delivery of Receipts pursuant to Section 2.03, 4.03 or 4.04 of the Deposit Agreement and the
surrender of Receipts pursuant to Section 2.05 or 6.02 of the Deposit Agreement, (6) a fee of $.02 or less per American Depositary Share (or portion thereof) for any cash distribution
made pursuant to Sections 4.01 through 4.04 of the Deposit Agreement, (7) a fee for the distribution 

A-3

 

of
securities pursuant to Section 4.02 of the Deposit Agreement, such fee being in an amount equal to the fee for the execution and delivery of American Depositary Shares referred to above
which would have been charged as a result of the deposit of such securities (for purposes of this clause 7 treating all such securities as if they were Shares), but which securities are instead
distributed by the Depositary to Owners, (8)) a fee of $.02 or less per American Depositary Share (or portion thereof) for depositary services, which will accrue on the last day of each calendar year
and will be payable as provided in clause 9 below; provided, however, that no fee will be
assessed under this clause 8 to the extent that a fee of $.02 was charged pursuant to clause 6 above during that calendar year and (9) any other charges payable by the Depositary,
any of the Depositary's agents, including the Custodian, or the agents of the Depositary's agents in connection with the servicing of Shares or other Deposited Securities (which charge shall be
assessed against Owners as of the date or dates set by the Depositary in accordance with Section 4.06 of the Deposit Agreement and shall be collected at the sole discretion of the Depositary by
billing such Owners for such charge or by deducting such charge from one or more cash dividends or other cash distributions). 

        The
Depositary, subject to Article 8 hereof, may own and deal in any class of securities of the Company and its affiliates and in Receipts. 

8.     PRE-RELEASE OF RECEIPTS.  

        Notwithstanding Section 2.03 of the Deposit Agreement, the Depositary may execute and deliver Receipts prior to the receipt of Shares pursuant to
Section 2.02 of the Deposit Agreement (a "Pre-Release"). The Depositary may, pursuant to Section 2.05 of the Deposit Agreement, deliver Shares upon the receipt and
cancellation of Receipts which have been Pre-Released, whether or not such cancellation is prior to the termination of such Pre-Release or the Depositary knows that such
Receipt has been Pre-Released. The Depositary may receive Receipts in lieu of Shares in satisfaction of a Pre-Release. Each Pre-Release will be (a) preceded
or accompanied by a written representation from the person to whom Receipts or Shares are to be delivered that such person, or its customer, owns the Shares or Receipts to be remitted, as the case may
be, (b) at all times fully collateralized with cash or such other collateral as the Depositary deems appropriate, (c) terminable by the Depositary on not more than five
(5) business days notice, and (d) subject to such further indemnities and credit regulations as the Depositary deems appropriate. The number of Shares represented by American Depositary
Shares which are outstanding at any time as a result of Pre-Releases will not normally exceed thirty percent (30%) of the Shares deposited under the Deposit Agreement;  provided, however, that the Depositary reserves the right to change or disregard such limit from time to
time as it deems appropriate. 

        The
Depositary may retain for its own account any compensation received by it in connection with the foregoing. 

9.     TITLE TO RECEIPTS.  

        It is a condition of this Receipt and every successive Owner and Beneficial Owner of this Receipt by accepting or holding the same consents and agrees, that title
to this Receipt when properly endorsed or accompanied by proper instruments of transfer, is transferable by delivery with the same effect as in the case of a negotiable instrument under the laws of
New York; provided, however, that the Depositary, notwithstanding any notice to the contrary, may treat
the person in whose name this Receipt is registered on the books of the Depositary as the absolute owner hereof for the purpose of determining the person entitled to distribution of dividends or other
distributions or to any notice provided for in the Deposit Agreement or for all other purposes. 

A-4

 

10.   VALIDITY OF RECEIPT.  

        This Receipt shall not be entitled to any benefits under the Deposit Agreement or be valid or obligatory for any purpose, unless this Receipt shall have been
executed by the Depositary by the manual or facsimile signature of a duly authorized signatory of the Depositary and, if a Registrar for the Receipts shall have been appointed, countersigned by the
manual signature of a duly authorized officer of the Registrar. 

11.   REPORTS; INSPECTION OF TRANSFER BOOKS.  

        The Company is subject to the periodic reporting requirements of the Securities Exchange Act of 1934 and, accordingly, files certain reports with the Commission.
Such reports will be available for inspection and copying by Owners and Beneficial Owners at the public reference facilities maintained by the Commission located at 450 Fifth Street, N.W., Washington,
D.C. 20549. 

        The
Depositary will make available for inspection by Owners of Receipts at its Corporate Trust Office any reports and communications, including any proxy soliciting material, received
from the Company which are both (a) received by the Depositary as the holder of the Deposited Securities and (b) made generally available to the holders of such Deposited Securities by
the Company. The Depositary will also send to Owners of Receipts copies of such reports when furnished by the Company pursuant to the Deposit Agreement. Any such reports and communications, including
any such proxy soliciting material, furnished to the Depositary by the Company shall be furnished in English to the extent such materials are required to be translated into English pursuant to any
regulations of the Commission. 

        The
Depositary will keep books, at its Corporate Trust Office, for the registration of Receipts and transfers of Receipts which at all reasonable times shall be open for inspection by
the Owners of Receipts provided that such inspection shall not be for the purpose of communicating with Owners of Receipts in the interest of a business or object other than the business of the
Company or a matter related to the Deposit Agreement or the Receipts. 

12.   DIVIDENDS AND DISTRIBUTIONS.  

        Whenever the Depositary receives any cash dividend or other cash distribution on any Deposited Securities, the Depositary will, if at the time of receipt thereof
any amounts received in a foreign currency can in the judgment of the Depositary be converted on a reasonable basis into United States dollars transferable to the United States, and subject to the
Deposit Agreement, convert such dividend or distribution into dollars and will distribute the amount thus received (net of the fees and expenses of
the Depositary as provided in Section 5.09 of the Deposit Agreement) to the Owners of Receipts entitled thereto; provided,  however, that in the event
that the Company or the Depositary is required to withhold and does withhold from any cash dividend or other cash
distribution in respect of any Deposited Securities an amount on account of taxes, the amount distributed to the Owners of the Receipts evidencing American Depositary Shares representing such
Deposited Securities shall be reduced accordingly. 

        Subject
to the provisions of Sections 4.11 and 5.09 of the Deposit Agreement, whenever the Depositary receives any distribution other than a distribution described in
Section 4.01, 4.03 or 4.04 of the Deposit Agreement, the Depositary will cause the securities or property received by it to be distributed to the Owners entitled thereto, in any manner that the
Depositary may deem equitable and practicable for accomplishing such distribution; provided, however,
that if in the opinion of the Depositary such distribution cannot be made proportionately among the Owners of Receipts entitled thereto, or if for any other reason the Depositary deems such
distribution not to be feasible, the Depositary may adopt such method as it may deem equitable and practicable for the purpose of effecting such distribution, including, but not limited to, the public
or private sale of the securities or 

A-5

 

property
thus received, or any part thereof, and the net proceeds of any such sale (net of the fees and expenses of the Depositary as provided in Section 5.09 of the Deposit Agreement) will be
distributed by the Depositary to the Owners of Receipts entitled thereto all in the manner and subject to the conditions described in Section 4.01 of the Deposit Agreement. 

        If
any distribution consists of a dividend in, or free distribution of, Shares, the Depositary may distribute to the Owners of outstanding Receipts entitled thereto, additional Receipts
evidencing an aggregate number of American Depositary Shares representing the amount of Shares received as such dividend or free distribution subject to the terms and conditions of the Deposit
Agreement with respect to the deposit of Shares and the issuance of American Depositary Shares evidenced by Receipts, including the withholding of any tax or other governmental charge as provided in
Section 4.11 of the Deposit Agreement and the payment of the fees and expenses of the Depositary as provided in Section 5.09 of the Deposit Agreement. In lieu of delivering Receipts for
fractional American Depositary Shares in any such case, the Depositary will sell the amount of Shares represented by the aggregate of such fractions and distribute the net proceeds, all in the manner
and subject to the conditions described in Section 4.01 of the Deposit Agreement. If additional Receipts are not so distributed, each American Depositary Share shall thenceforth also represent
the additional Shares distributed upon the Deposited Securities represented thereby. 

        In
the event that the Depositary determines that any distribution in property (including Shares and rights to subscribe therefor) is subject to any tax or other governmental charge which
the Depositary is obligated to withhold, the Depositary may by public or private sale dispose of all or a portion of such property (including Shares and rights to subscribe therefor) in such amounts
and in such manner as the Depositary deems necessary and practicable to pay any such taxes or charges, and the Depositary shall distribute the net proceeds of any such sale after deduction of such
taxes or charges to the Owners of Receipts entitled thereto. 

13.   RIGHTS.  

        In the event that the Company shall offer or cause to be offered to the holders of any Deposited Securities any rights to subscribe for additional Shares or any
rights of any other nature, the Depositary shall have discretion as to the procedure to be followed in making such rights available to any Owners or in disposing of such rights on behalf of any Owners
and making the net proceeds available to such Owners or, if by the terms of such rights offering or for any other reason, the Depositary may not either make such rights available to any Owners or
dispose of such rights and make the net proceeds available to such Owners, then the Depositary shall allow the rights to lapse. If at the time of the offering of any rights the Depositary determines
in its discretion that it is lawful and feasible to make such rights available to all or certain Owners but not to other Owners, the Depositary may distribute to any Owner to whom it determines the
distribution to be lawful and feasible, in proportion to the number of American Depositary Shares held by such Owner, warrants or other instruments therefor in such form as it deems appropriate. 

        In
circumstances in which rights would otherwise not be distributed, if an Owner of Receipts requests the distribution of warrants or other instruments in order to exercise the rights
allocable to the American Depositary Shares of such Owner hereunder, the Depositary will make such rights available to such Owner upon written notice from the Company to the Depositary that
(a) the Company has elected in its sole discretion to permit such rights to be exercised and (b) such Owner has executed such documents as the Company has determined in its sole
discretion are reasonably required under applicable law. 

        If
the Depositary has distributed warrants or other instruments for rights to all or certain Owners, then upon instruction from such an Owner pursuant to such warrants or other
instruments to the Depositary from such Owner to exercise such rights, upon payment by such Owner to the Depositary 

A-6

 

for
the account of such Owner of an amount equal to the purchase price of the Shares to be received upon the exercise of the rights, and upon payment of the fees and expenses of the Depositary and any
other charges as set forth in such warrants or other instruments, the Depositary shall, on behalf of such Owner, exercise the rights and purchase the Shares, and the Company shall cause the Shares so
purchased to be delivered to the Depositary on behalf of such Owner. As agent for such Owner, the Depositary will cause the Shares so purchased to be deposited pursuant to Section 2.02 of the
Deposit Agreement, and shall, pursuant to Section 2.03 of the Deposit Agreement, execute and deliver Receipts to such Owner; provided,  however, that
in the case of a distribution pursuant to the preceding paragraph, such deposit shall be made, and depositary shares shall be delivered,
under depositary arrangements which provide for issuance of depositary receipts subject to the appropriate restrictions on sale, deposit, cancellation, and transfer under applicable United States
laws. 

        If
the Depositary determines in its discretion that it is not lawful and feasible to make such rights available to all or certain Owners, it may sell the rights, warrants or other
instruments in proportion to the number of American Depositary Shares held by the Owners to whom it has determined it may not lawfully or feasibly make such rights available, and allocate the net
proceeds of such sales (net of the fees and expenses of the Depositary as provided in Section 5.09 of the Deposit Agreement and all taxes and governmental charges payable in connection with
such rights and subject to the terms and conditions of the Deposit Agreement) for the account of such Owners otherwise entitled to such rights, warrants or other instruments, upon an averaged or other
practical basis without regard to any distinctions among such Owners because of exchange restrictions or the date of delivery of any Receipt or otherwise. 

        Except
as otherwise provided in the third preceding paragraph, the Depositary will not offer rights to Owners unless both the rights and the securities to which such rights relate are
either exempt from registration under the Securities Act of 1933 with respect to a distribution to all Owners or are registered under the provisions of such Act. Nothing in the Deposit Agreement shall
create any obligation on the part of the Company to file a registration statement with respect to such rights or underlying securities or to endeavor to have such a registration statement
declared effective. If an Owner of Receipts requests the distribution of warrants or other instruments, notwithstanding that there has been no such registration under such Act, the Depositary shall
not effect such distribution unless it has received an opinion from recognized counsel in the United States for the Company upon which the Depositary may rely that such distribution to such Owner is
exempt from such registration. 

        The
Depositary shall not be responsible for any failure to determine that it may be lawful or feasible to make such rights available to Owners in general or any Owner in particular. 

14.   CONVERSION OF FOREIGN CURRENCY.  

        Whenever the Depositary or the Custodian shall receive foreign currency, by way of dividends or other distributions or the net proceeds from the sale of
securities, property or rights, and if at the time of the receipt thereof the foreign currency so received can in the judgment of the Depositary be converted on a reasonable basis into Dollars and the
resulting Dollars transferred to the United States, the Depositary shall convert or cause to be converted, by sale or in any other manner that it may determine, such foreign currency into Dollars, and
such Dollars shall be distributed to the Owners entitled thereto or, if the Depositary shall have distributed any warrants or other instruments which entitle the holders thereof to such Dollars, then
to the holders of such warrants or instruments upon surrender thereof for cancellation. Such distribution may be made upon an averaged or other practicable basis without regard to any distinctions
among Owners on account of exchange restrictions, the date of delivery of any Receipt or otherwise and shall be net of any expenses of conversion into Dollars incurred by the Depositary as provided in
Section 5.09 of the Deposit Agreement. 

A-7

 

        If
such conversion or distribution can be effected only with the approval or license of any government or agency thereof, the Depositary shall file such application for approval or
license, if any, as it may deem desirable. 

        If
at any time the Depositary shall determine that in its judgment any foreign currency received by the Depositary or the Custodian is not convertible on a reasonable basis into Dollars
transferable to the United States, or if any approval or license of any government or agency thereof which is required for such conversion is denied or in the opinion of the Depositary is not
obtainable, or if any such approval or license is not obtained within a reasonable period as determined by the Depositary, the Depositary may distribute the foreign currency (or an appropriate
document evidencing the right to receive such foreign currency) received by the Depositary to, or in its discretion may hold such foreign currency uninvested and without liability for interest thereon
for the respective accounts of, the Owners entitled to receive the same. 

        If
any such conversion of foreign currency, in whole or in part, cannot be effected for distribution to some of the Owners entitled thereto, the Depositary may in its discretion make
such conversion and distribution in Dollars to the extent permissible to the Owners entitled thereto and may distribute the balance of the foreign currency received by the Depositary to, or hold such
balance uninvested and without liability for interest thereon for the respective accounts of, the Owners entitled thereto. 

15.   RECORD DATES.  

        Whenever any cash dividend or other cash distribution shall become payable or any distribution other than cash shall be made, or whenever rights shall be issued
with respect to the Deposited Securities, or whenever the Depositary shall receive notice of any meeting of holders of Shares or other Deposited Securities, or whenever for any reason the Depositary
causes a change in the number of Shares that are represented by each American Depositary Share, or whenever the Depositary shall find it necessary or convenient, the Depositary shall fix a record date
(a) for the determination of the Owners of Receipts who shall be (i) entitled to receive such dividend, distribution or rights or the net proceeds of the sale thereof,
(ii) entitled to give instructions for the exercise of voting rights at any such meeting or (iii) responsible for any fees or charges assessed by the Depositary pursuant to the Deposit
Agreement, or (b) on or after which each American Depositary Share will represent the changed number of Shares, subject to the provisions of the Deposit Agreement. 

16.   VOTING OF DEPOSITED SECURITIES.  

        Upon receipt from the Company of notice of any meeting or solicitation of proxies or consents of holders of Shares or other Deposited Securities, the Depositary
shall, if requested in writing by the Company, as soon as practicable thereafter, mail to the Owners of Receipts a notice, the form of which notice shall be in the sole discretion of the Depositary,
which shall contain (a) such information as is contained in such notice of meeting received by the Depositary from the Company, (b) a statement that the Owners of Receipts as of the
close of business on a specified record date will be entitled, subject to any applicable provision of law and of the articles of association or similar document of the Company, to instruct the
Depositary as to the exercise of the voting rights, if any, pertaining to the amount of Shares or other Deposited Securities represented by their respective American Depositary Shares and (c) a
statement as to the manner in which such instructions may be given. Upon the written request of an Owner of a Receipt on such record date, received on or before the date established by the Depositary
for such purpose, the Depositary shall endeavor insofar as practicable to vote or cause to be voted the amount of Shares or other Deposited Securities represented by the American Depositary Shares
evidenced by such Receipt in accordance with the instructions set forth in such request. The Depositary shall not vote or attempt to exercise the right to vote that attaches to such Shares or other
Deposited Securities, other than in accordance with such instructions. 

A-8

 

17.   CHANGES AFFECTING DEPOSITED SECURITIES.  

        In circumstances where the provisions of Section 4.03 of the Deposit Agreement do not apply, upon any change in nominal value, change in par value,
split-up, consolidation, or any other reclassification of Deposited Securities, or upon any recapitalization, reorganization, merger or consolidation, or sale of assets affecting the
Company or to which it is a party, any securities which shall be received by the Depositary or a Custodian in exchange for or in conversion of or in respect of Deposited Securities shall be treated as
new Deposited Securities under the Deposit Agreement, and American Depositary Shares shall thenceforth represent, in addition to the existing Deposited Securities, the right to receive the new
Deposited Securities so received in exchange or conversion, unless additional Receipts are delivered pursuant to the following sentence. In any such case the Depositary may execute and deliver
additional Receipts as in the case of a dividend in Shares, or call for the surrender of outstanding Receipts to be exchanged for new Receipts specifically describing such new Deposited Securities. 

18.   LIABILITY OF THE COMPANY AND DEPOSITARY.  

        Neither the Depositary nor the Company nor any of their respective directors, employees, agents or affiliates shall incur any liability to any Owner or Beneficial
Owner if, by reason of any provision of any present or future law or regulation of the United States or any other country, or of any other governmental or regulatory authority, or by reason of any
provision, present or future, of the articles of association or similar document of the Company, or by reason of any provision of any securities issued or distributed by the Company, or any offering
or distribution thereof, or by reason of any act of God or war or terrorism or other circumstances beyond its control, the Depositary or the Company shall be prevented, delayed or forbidden from or be
subject to any civil or criminal penalty on account of doing or performing any act or thing which by the terms of the Deposit Agreement or Deposited Securities it is provided shall be done or
performed; nor shall the Depositary or the Company or any of their respective directors, employees, agents or affiliates incur any liability to any Owner or Beneficial Owner of a Receipt by reason of
any non-performance or delay, caused as aforesaid, in the performance of any act or thing which by the terms of the Deposit Agreement it is provided shall or may be done or performed, or
by reason of any exercise of, or failure to exercise, any discretion provided for in the Deposit Agreement. Where, by the terms of a distribution pursuant to Section 4.01, 4.02 or 4.03 of the
Deposit Agreement, or an offering or distribution pursuant to Section 4.04 of the Deposit Agreement, such distribution or offering may not be made available to Owners of Receipts, and the
Depositary may not dispose of such distribution or offering on behalf of such Owners and make the net proceeds available to such Owners, then the Depositary shall not make such distribution or
offering, and shall allow any rights, if applicable, to lapse. Neither the Company nor the Depositary assumes any obligation or shall be subject to any liability under the Deposit Agreement to Owners
or Beneficial Owners of Receipts, except that they agree to perform their obligations specifically set forth in the Deposit Agreement without negligence or bad faith. The Depositary shall not be
subject to any liability with respect to the validity or worth of the Deposited Securities. Neither the Depositary nor the Company shall be under any obligation to appear in or prosecute any action,
suit, or other proceeding in respect of any Deposited Securities or in respect of the Receipts on behalf of any Owner, Beneficial Owner or other person, and the Custodian shall not be under any
obligation whatsoever with respect to such proceedings, the responsibility of the Custodian being solely to the Depositary. Neither the Depositary nor the Company shall be liable for any action or
nonaction by it in reliance upon the advice of or information from legal counsel, accountants, any person presenting Shares for deposit, any Owner or Beneficial Owner of a Receipt, or any other person
believed by it in good faith to be competent to give such advice or information. The Depositary shall not be responsible for any failure to carry out any instructions to vote any of the Deposited
Securities, or for the manner in which any such vote is cast or the effect of any such vote, provided that any such action or nonaction is in good faith. The Depositary shall not be liable for any
acts or omissions made by a successor depositary 

A-9

 

whether
in connection with a previous act or omission of the Depositary or in connection with a matter arising wholly after the removal or resignation of the Depositary, provided that in connection
with the issue out of which such potential liability arises, the Depositary performed its obligations without negligence or bad faith while it acted as Depositary. No disclaimer of liability under the
Securities Act of 1933 is intended by any provision of the Deposit Agreement. 

19.   RESIGNATION AND REMOVAL OF THE DEPOSITARY; APPOINTMENT OF SUCCESSOR CUSTODIAN.  

        The Depositary may at any time resign as Depositary by written notice of its election so to do delivered to the Company, such resignation to take effect upon the
appointment of a successor depositary and its acceptance of such appointment as provided in the Deposit Agreement. The Depositary may at any time be removed by the Company by 120 days' prior
written notice of such removal, to become effective upon the later of (i) the 120th day after delivery of the notice to the Depositary or (ii) the appointment of a successor depositary
and its acceptance of such appointment as provided in the Deposit Agreement. Whenever the Depositary in its discretion determines that it is in the best interest of the Owners of Receipts to do so, it
may appoint a substitute or additional custodian or custodians. 

20.   AMENDMENT.  

        The form of the Receipts and any provisions of the Deposit Agreement may at any time and from time to time be amended by agreement between the Company and the
Depositary without the consent of Owners or Beneficial Owners in any respect which they may deem necessary or desirable. Any amendment which shall impose or increase any fees or charges (other than
taxes and other governmental charges, registration fees and cable, telex or facsimile transmission costs, delivery costs or other such expenses), or which shall otherwise prejudice any substantial
existing right of Owners of Receipts, shall, however, not become effective as to outstanding Receipts until the expiration of thirty days after notice of such amendment shall have been given to the
Owners of outstanding Receipts. Every Owner and Beneficial Owner of a Receipt at the time any amendment so becomes effective shall be deemed, by continuing to hold such Receipt or any interest
therein, to consent and agree to such amendment and to be bound by the Deposit Agreement as amended thereby. In no event shall any amendment impair the right of the Owner of any Receipt to surrender
such Receipt and receive therefor the Deposited Securities represented thereby except in order to comply with mandatory provisions of applicable law. 

21.   TERMINATION OF DEPOSIT AGREEMENT.  

        The Depositary at any time at the direction of the Company, shall terminate the Deposit Agreement by mailing notice of termination to the Owners of all Receipts
then outstanding at least 30 days prior to the date fixed in such notice for such termination. The Depositary may likewise terminate the Deposit Agreement by mailing notice of termination to
the Company and the Owners of all Receipts then outstanding if at least 60 days have passed since the Depositary delivered to the Company a written notice of its election to resign and a
successor depositary has not been appointed and accepted its appointment as provided in the Deposit Agreement. On and after the date of termination, the Owner of a Receipt will, upon
(a) surrender of such Receipt at the Corporate Trust Office of the Depositary, (b) payment of the fee of the Depositary for the surrender of Receipts referred to in Section 2.05
of the Deposit Agreement, and (c) payment of any applicable taxes or governmental charges, be entitled to delivery, to him or upon his order, of the amount of Deposited Securities represented
by the American Depositary Shares evidenced by such Receipt. If any Receipts shall remain outstanding after the date of termination, the Depositary thereafter shall discontinue the registration of
transfers of Receipts, shall suspend the distribution of dividends to the Owners thereof, 

A-10

 

and
shall not give any further notices or perform any further acts under the Deposit Agreement, except that the Depositary shall continue to collect dividends and other distributions pertaining to
Deposited Securities, shall sell rights and other property as provided in the Deposit Agreement, and shall continue to deliver Deposited Securities, together with any dividends or other distributions
received with respect thereto and the net proceeds of the sale of any rights or other property, in exchange for Receipts surrendered to the Depositary (after deducting, in each case, the fee of the
Depositary for the surrender of a Receipt, any expenses for the account of the Owner of such Receipt in accordance with the terms and conditions of the Deposit Agreement, and any applicable taxes or
governmental charges). At any time after the expiration of one year from the date of termination, the Depositary may sell the Deposited Securities then held under the Deposit Agreement and may
thereafter hold uninvested the net proceeds of any such sale, together with any other cash then held by it thereunder, unsegregated and without liability for interest, for the pro rata benefit of the
Owners of Receipts which have not theretofore been surrendered, such Owners thereupon becoming general creditors of the Depositary with respect to such net proceeds. After making such sale, the
Depositary shall be discharged from all obligations under the Deposit Agreement, except to account for such net proceeds and other cash (after deducting, in each case, the fee of the Depositary for
the surrender of a Receipt, any expenses for the account of the Owner of such Receipt in accordance with the terms and conditions of the Deposit Agreement, and any applicable taxes or governmental
charges). Upon the termination of the Deposit Agreement, the Company shall be discharged from all obligations under the Deposit Agreement except for its obligations to the Depositary with respect to
indemnification, charges, and expenses. 

22.   SUBMISSION TO JURISDICTION; WAIVER OF IMMUNITIES.  

        In the Deposit Agreement, the Company has (i) appointed [CT Corporation System, 111 Eighth Avenue, New York, New York 10011], in
the State of New York, as the Company's authorized agent upon which process may be served in any suit or proceeding arising out of or relating to the Shares or Deposited Securities, the American
Depositary Shares, the Receipts or this Agreement, (ii) consented and submitted to the jurisdiction of any state or federal court in the State of New York in which any such suit or proceeding
may be instituted, and (iii) agreed that service of
process upon said authorized agent shall be deemed in every respect effective service of process upon the Company in any such suit or proceeding. 

        To
the extent that the Company or any of its properties, assets or revenues may have or hereafter become entitled to, or have attributed to it, any right of immunity, on the grounds of
sovereignty or otherwise, from any legal action, suit or proceeding, from the giving of any relief in any respect thereof, from setoff or counterclaim, from the jurisdiction of any court, from service
of process, from attachment upon or prior to judgment, from attachment in aid of execution or judgment, or other legal process or proceeding for the giving of any relief or for the enforcement of any
judgment, in any jurisdiction in which proceedings may at any time be commenced, with respect to its obligations, liabilities or any other matter under or arising out of or in connection with the
Shares or Deposited Securities, the American Depositary Shares, the Receipts or the Deposit Agreement, the Company, to the fullest extent permitted by law, hereby irrevocably and unconditionally
waives, and agrees not to plead or claim, any such immunity and consents to such relief and enforcement. 

A-11

QuickLinks

Exhibit 4.6

TABLE OF CONTENTS

DEPOSIT AGREEMENT

W I T N E S S E T HFiled by Automated Filing Services Inc. (604) 609-0244 - Terax Energy, Inc - Exhibit 10.1

 

Exhibit 10.1  

 MANAGEMENT STOCK POOL AGREEMENT  

THIS AGREEMENT is dated for reference this 7th day of June,
  2005  

	 AMONG:  
	 
	  	TERAX ENERGY, INC., a body corporate
        formed pursuant to the laws of the State of Nevada and having an office
        for business located at 9600 Great Hills Trail, Suite 150W, Austin Texas
        78759

      (the “Company”) 
	 
	 AND: 
	 
	  
	THE SHAREHOLDERS OF TERAX ENERGY, INC. listed
        in Schedule “A” hereto

      (the “Shareholders”) 

	 WHEREAS:  
	  
	 A.  	 The Company is primarily engaged in the business
      of locating, acquiring and  developing oil and natural gas properties; 
    
	  
	 B.  	 The Company’s common stock is registered
        under Section 15(d) of the Securities  Exchange Act of 1934, as amended
        (the “Exchange Act”) and the Company’s  common
        stock is quoted on the NASD "Bulletin Board” under the symbol “TXEI”; 
      

	  
	 C.  	 The shareholders of the Company own the
        shares of the Company’s common  stock as listed in Schedule
        “A” attached hereto and are duly appointed officers 
        and/or directors of the Company;  

	  
	 D.  	 In order to ensure that the management
        of the Company has the proper  incentives to enhance the Company’s
        performance, management of the  Company have agreed to the escrow,
        lock-up, performance criteria and return to  treasury provisions
        provided for herein.  

 NOW THEREFORE THIS AGREEMENT WITNESSETH THAT in consideration
  of the premises and the mutual covenants, agreements, representations and warranties
  contained herein, and other good and valuable consideration, the receipt and
  sufficiency of which is hereby acknowledged, the parties hereto hereby agree
  as follows: 

 ARTICLE 1

  DEPOSIT OF SHARES INTO ESCROW 

 Each Shareholder covenants and agrees to and in favor of the
  Company that he or she shall cause the certificates representing the Shares
  to be deposited with Phillip A. Wylie, Esq. (the “Escrow Agent”)
  on and subject to the terms of the Management Stock Pool Escrow Agreement in
  the form attached hereto as Schedule “B”.

 2

 ARTICLE 2

  ESCROW TERMS 

No Options, etc. 

 2.01 Each Shareholder covenants and agrees to and in favor
  of the Company that, for so long as the Shares issued to them hereunder are
  held in escrow pursuant to the terms hereof, they will not option, pledge, hypothecate
  or otherwise agree to transfer such Shares in any manner whatsoever. 

Return to Treasury – Termination or Resignation 

	 2.02 The Shares will be returned to the
      treasury of the Company as follows: 
	 
	 	 (a)      	 in the event that a particular Shareholder who is
        an employee of the Company ceases to be an employee of the Company either
        by resignation or through termination by the Company for Cause (as that
        term is defined in the particular Shareholders’ employment agreement)
        on or before December 31, 2007 (the “Outside Date”), all of
        the Shares held in escrow on account of that particular Shareholder and
        not released to that particular Shareholder pursuant to section 2.03 hereof
        are to be returned to the treasury of the Company without consideration;
        and 

	 
	 	 (b)      	 in the event that a particular Shareholder who is
        a director of the Company resigns as a director of the Company on or before
        the Outside Date, all of the Shares held in escrow on account of that
        particular Shareholder and not released to that particular Shareholder
        pursuant to section 2.03 hereof are to be returned to the treasury of
        the Company without consideration. 

Release from Escrow- Performance Milestones

	 2.03 Any Shares not returned to treasury of the Company pursuant
      to section 2.02  hereof will be released from escrow as follows: 
    
	  
	  	(a)	 in the event
        that the Company, as at December 31, 2005, has achieved both of the following
        performance milestones) 1/3 of the Shares deposited into escrow on account
        of that particular Shareholder are to be released to that Shareholder
      

	 
	 	 	(i) 	 the Company, based solely upon its audited
        financial statements for the year ended December 31, 2005, as filed with
        the Securities and Exchange Commission (the “2005 Statements”)
        has total proved oil, gas, and condensate reserves (“Total Proved
        Reserves”), as estimated by a competent third-party engineering
        firm, of not less than 3,515 million cubic feet of gas equivalent recoverable
        (“MMCFE”). For the purposes of this calculation and those
        to follow in this agreement, oil and condensate shall be converted to
        equivalent gas on the basis of the generally accepted accounting practice
        of one (1) barrel of oil or condensate per six (6) thousand cubic feet
        of gas (“MCF”), and 

 3

	 	 	 (ii)      	 the Company, as determined by the Company’s
        auditor in conjunction with the preparation of the 2005 Statements, has
        achieved, or should have achieved, an average MCF per day production rate
        for the thirty days immediately prior to December 31, 2005 of not less
        than 1,090 MCF per day. To the extent the Company did not achieve this
        threshold but was capable of doing so, as estimated by a competent third-party
        engineering firm, were it not for infrastructure considerations beyond
        the control of the Company, or for then prevailing market considerations,
        this threshold shall be deemed to have been met (the “Market Consideration
        Test”); 

	 
	  	(b)	 in the event that the Company, as at December
        31, 2006, has achieved both of the following performance milestones 1/3
        of the Shares deposited into escrow on account of that particular Shareholder
        are to be released to that Shareholder 

	 
	 	 	 (i)      	 the Company, based solely upon its audited financial
        statements for the year ended December 31, 2006, as filed with the Securities
        and Exchange Commission (the “2006 Statements”) has Total
        Proved Reserves, as estimated by a competent third-party engineering firm,
        of not less than 36,700 MMCFE, and 

	 
	 	 	 (ii)      	 the Company, as determined by the Company’s
        auditor in conjunction with the preparation of the 2006 Statements, has
        achieved, or should have achieved, an average MCF per day production rate
        for the thirty days immediately prior to December 31, 2006 of not less
        than 14,857 MCF per day, subject to the Market Consideration Test; 

	 
	  	(c)	 in the event that the Company, as at December
        31, 2007, has achieved both of the following performance milestones 1/3
        of the Shares deposited into escrow on account of that particular Shareholder
        are to be released to that Shareholder 

	 
	 	 	 (i)      	 the Company, based solely upon its audited financial
        statements for the year ended December 31, 2007, as filed with the Securities
        and Exchange Commission (the “2007 Statements”) has Total
        Proved Reserves, as estimated by a competent third-party engineering firm,
        of not less than 65,875 MMCFE, and 

	 
	 	 	 (ii)      	 the Company, as determined by the Company’s
        auditor in conjunction with the preparation of the 2007 Statements, has
        achieved, or should have achieved, an average MCF per day production rate
        for the thirty days immediately prior to December 31, 2007 of not less
        than 29,930 MCF per day, subject to the Market Consideration Test; 

	 
	  	(d)	 in the event that the Company, as at December 31, 2007, has
      achieved both of the following performance milestones (collectively the
      “2007 Catch-up Performance Milestones”) all of the Shares then
      held in escrow on account are to be released to the Shareholders: 

 4

	 	 	(i)	 the Company, based solely upon the 2007 Statements
        has Total Proved Reserves, as estimated by a competent third-party engineering
        firm, of not less than 109,791 MMCFE, and 

	 
	 	 	(ii)	 the Company, as determined by the Company’s
        auditor in conjunction with the preparation of the 2007 Statements, has
        achieved, or should have achieved, an average MCF per day production rate
        for the thirty days immediately prior to December 31, 2007 of not less
        than 49,882 MCF per day, subject to the Market Consideration Test; and
      

	 
	  	(e)	 	 in the event that the Company, as at March 31, 2008,
        has achieved (based upon its unaudited interim financial statements for
        the three months ended March 31, 2008, as filed with the Securities and
        Exchange Commission and confirmed by the Company’s auditor) both
        of the 2007 Catch-up Performance Milestones all of the Shares then held
        in escrow on account are to be released to the Shareholders, provided
        that in the event that the 2007 Catch-up Performance Milestones are not
        met, the costs incurred by the Company in confirming the Total Proved
        Reserves and MCF per day production rate shall be born by the Shareholders
        (in proportion to the number of Share held in escrow for each Shareholder
        as at March 31, 2008) unless the actual Total Proved Reserves and MCF
        per day production rate as at March 31, 2008 are within 10% of the 2007
        Catch-up Performance Milestones. 

 2.04 All Shares to be released from escrow pursuant to section
  2.03 hereof are to be released within thirty days of the date on which the annual
  reports containing the 2005, 2006, 2007 Statements or 2008 Interim Statements
  (as the case may be) are filed with the Securities and Exchange Commission.

Release from Escrow - Change of Control 

	 2.05 In the event of a Change of Control
        (as hereinafter defined) occurs on or before the Outside Date, all of
        the Shares then held in escrow are to be released to the Shareholders.
        For the purposes of this section 2.05, “Change of Control”
        means: 

	  
	  	(a)	 the acquisition by any individual, entity or group
        (within the meaning of Section 13(d)(3) or 14(d)(2) of the Securities
        Exchange Act of 1934, as amended (the "Exchange Act")) (a "Person") of
        beneficial ownership (within the meaning of Rule 13d-3 promulgated under
        the Exchange Act) of 50% or more of either (i) the then outstanding shares
        of common stock of the Company (the “Outstanding Company Common
        Stock”), or (ii) the combined voting power of the then outstanding
        voting securities of the Company entitled to vote generally in the election
        of directors (the "Outstanding Company Voting Securities"); provided,
        however, that the following acquisitions shall not constitute a Change
        of Control: (i) any acquisition directly from the Company, (ii) any acquisition
        by the Company, (iii) any acquisition by any employee benefit plan (or
        related trust) sponsored or maintained by the Company or any corporation
        controlled by the Company, or (iv) any acquisition by any corporation
        pursuant to a transaction which complies with the following clause (b);
      

 5

	  	(b)	 the approval by the shareholders of the Company
        of a reorganization, merger, share exchange or consolidation (a "Business
        Combination"), in each case, unless, following such Business Combination,
        all or substantially all of the individuals and entities who were the
        beneficial owners, respectively, of the Outstanding Company Common Stock
        and Outstanding Company Voting Securities immediately prior to such Business
        Combination beneficially own, directly or indirectly, more than 50% of,
        respectively, the then outstanding shares of common stock and the combined
        voting power of the then outstanding voting securities entitled to vote
        generally in the election of directors, as the case may be, of the corporation
        resulting from such Business Combination (including, without limitation,
        a corporation which as a result of such transaction owns the Company through
        one or more subsidiaries); or 

	 
	  	(c)	 the approval by the shareholders of the Company
        of (i) a complete liquidation or dissolution of the Company, or (ii) the
        sale or other disposition of all or substantially all of the assets of
        the Company unless, following such sale or other disposition more than
        50% of, respectively, the then outstanding shares of common stock of such
        corporation and the combined voting power of the then outstanding voting
        securities of such corporation entitled to vote generally in the election
        of directors is then beneficially owned, directly or indirectly, by all
        or substantially all of the individuals and entities who were the beneficial
        owners, respectively, of the Outstanding Company Common Stock and Outstanding
        Company Voting Securities immediately prior to such sale or other disposition.
      

 2.06 All Shares to be released from escrow pursuant to section
  2.05 hereof are to be released within thirty days of the date on which the Change
  of Control occurs.

Return to Treasury 

 2.07 Any Shares held in escrow on the Outside Date which have
  not been returned to treasury of the Company pursuant to section 2.02 hereof
  and are not to be released from escrow pursuant to sections 2.03 or 2.05 hereof
  will be returned to treasury for cancellation without consideration within thirty
  days of the date on which the quarterly report containing the 2008 Interim Statements
  is filed with the Securities and Exchange Commission.

Voting Rights 

 2.08 Notwithstanding the deposit of the Shares into Escrow,
  the Shareholders shall enjoy the full right to vote the Shares as they see fit
  unless such Shares are to be returned to treasury pursuant to the terms hereof.

 6

      ARTICLE 3

  GENERAL PROVISIONS 

Arbitration 

 3.01 The parties hereto shall attempt to resolve any dispute,
  controversy, difference or claim arising out of or relating to this Agreement
  by negotiation in good faith. If such good faith negotiation fails to resolve
  such dispute, controversy, difference or claim within thirty (30) days after
  any party delivers to any other party a notice of its intent to submit such
  matter to arbitration, then any party to such dispute, controversy, difference
  or claim may submit such matter to arbitration. 

 Any action or proceeding seeking to enforce any provision
  of, or based upon any right arising out of, this Agreement shall be settled
  by binding arbitration by a panel of three (3) arbitrators in accordance with
  the Commercial Arbitration Rules of the American Arbitration Association and
  governed by the laws of the State of Texas (without regard to the choice-of-law
  rules or principles of that jurisdiction). Judgment upon the award may be entered
  in any court located in the State of Texas, and all the parties hereto hereby
  consent to submit to the jurisdiction of such courts and expressly waive any
  objections or defense based upon lack of personal jurisdiction or venue. 

 Each of the plaintiff and defendant party to the arbitration
  shall select one (1) arbitrator (or where multiple plaintiffs and/or defendants
  exist, one (1) arbitrator shall be chosen collectively by such parties comprising
  the plaintiffs and one (1) arbitrator shall be chosen collectively by those
  parties comprising the defendants) and then the two (2) arbitrators shall mutually
  agree upon the third arbitrator. Where no agreement can be reached on the selection
  of either a third arbitrator or an arbitrator to be named by either a group
  of plaintiffs or a group of defendants, any implicated party may apply to a
  judge of the courts of the State of Texas, to name an arbitrator. The location
  of any arbitration shall be in the State of Texas. Process in any such action
  or proceeding may be served on any party anywhere in the world. 

Notice 

 3.02 Any notice required or permitted to be given by any party
  will be deemed to be given when in writing and delivered to the address for
  notice of the intended recipient by personal delivery, prepaid single certified
  or registered mail, or telecopier. Any notice delivered by mail shall be deemed
  to have been received on the fourth business day after and excluding the date
  of mailing, except in the event of a disruption in regular postal service in
  which event such notice shall be deemed to be delivered on the actual date of
  receipt. Any notice delivered personally or by telecopier shall be deemed to
  have been received on the actual date of delivery. 

Further Assurances 

 3.03 Each of the parties will execute and deliver such further
  and other documents and do and perform such further and other acts as any other
  party may reasonably require to carry out and give effect to the terms and intention
  of this Agreement. 

 7

Time of the Essence 

3.04 Time is expressly declared to be the essence of this Agreement. 

Enurement 

3.05 This Agreement will enure to the benefit of and be binding upon the parties hereto and their respective heirs, executors, administrators, successors and permitted assigns. 

Assignment 

3.06 This Agreement is not assignable without the prior written consent of the parties hereto.

Counterparts 

 3.07 This Agreement may be executed in counterparts, each
  of which when executed by any party will be deemed to be an original and all
  of which counterparts will together constitute one and the same Agreement. Delivery
  of executed copies of this Agreement by telecopier will constitute proper delivery,
  provided that originally executed counterparts are delivered to the parties
  within a reasonable time thereafter. 

Applicable Law 

3.08 This Agreement is subject to the laws of the State of Texas. 

 [Remainder of page intentionally left blank.] 

IN WITNESS WHEREOF the parties have executed this Agreement effective as of the day and year first above written. 

	  	  	 TERAX ENERGY, INC.  
	  
	  
	  	  	 By: /s/ J. William Rhea, IV  
	  	  	          Authorized Signatory 
    
	  
	  
	  
	  	 /s/ Bill Chester	  
	  	Bill Chester 	  
	  
	  
	  
	  	 /s/ J. William Rhea, IV	  
	  	J. William Rhea, IV	  

This is page 8 of the Management Stock Pool Agreement dated for reference June 7, 2005 between Terax Energy, Inc. and the shareholders of Terax Energy, Inc.

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