Document:

Exhibit 4.1 

EXECUTION VERSION

 

 

INDENTURE 

Dated as of December 4, 2012

between 

MERITOR, INC. 

and 

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

____________________

7.875% CONVERTIBLE SENIOR NOTES DUE
2026

 

TABLE OF
CONTENTS 

		      		Page
	ARTICLE 1		Definitions and Incorporation by
      Reference	1
		 		
	Section 1.01		Definitions	1
	Section 1.02		Other Definitions	11
	Section 1.03		References to Interest	12
	Section 1.04		Trust Indenture Act Provisions	13
	Section 1.05		Rules of Construction	13
		 		
	ARTICLE 2		The Securities	13
		 		
	Section 2.01		Form and Dating	13
	Section 2.02		Execution and Authentication	15
	Section 2.03		Registrar, Paying Agent and Conversion
      Agent	16
	Section 2.04		Paying Agent to Hold Money in Trust	17
	Section 2.05	 	Securityholder Lists	17
	Section 2.06		Transfer and Exchange	17
	Section 2.07		Replacement Securities	18
	Section 2.08		Outstanding Securities	19
	Section 2.09		Treasury Securities	19
	Section 2.10		Temporary Securities	19
	Section 2.11		Cancellation	20
	Section 2.12		Legend, Additional Transfer and Exchange
      Requirements	20
	Section 2.13		CUSIP Numbers	22
	Section 2.14		Regular Interest	23
	Section 2.15		Accretion of Principal Amount	23
	Section 2.16		Defaulted Interest	23
		 		
	ARTICLE 3		Redemption and Purchases	24
		 		
	Section 3.01		Right to Redeem; Notice to
      Trustee	24
	Section 3.02		Selection of Securities to Be Redeemed	25
	Section 3.03		Notice of Redemption	25
	Section 3.04		Effect of Notice of Redemption	26
	Section 3.05		Deposit of Redemption Price	26
	Section 3.06		Securities Redeemed in Part	27
	Section 3.07		No Redemption of Securities Upon
      Occurrence of Acceleration	27
	Section 3.08		Purchase of Securities at the Option of Holders	27
	Section 3.09		Purchase of Securities at Option of the
      Holder Upon Fundamental	
			Change	31
		 		
	ARTICLE 4		Conversion	36
		  		
	Section 4.01		Conversion Privilege	36
	Section 4.02		Conversion Procedure; Conversion Rate; Fractional Shares;
      Settlement	
			in Cash in Lieu of Common Stock	38
	Section 4.03		Adjustment of Conversion Rate for
      Common Stock	41
	Section 4.04		Consolidation or Merger of the Company	49
	Section 4.05		Notice of Adjustment	52

i 

	Section 4.06	      	Notice in Certain Events	52
	Section 4.07		Company to Reserve Stock; Registration; Listing	53
	Section 4.08		Taxes on Conversion	54
	Section 4.09		Conversion After Record Date	54
	Section 4.10		Company Determination Final	55
	Section 4.11		Responsibility of Trustee for Conversion
    Provisions	55
	Section 4.12		Unconditional Right of Holders to
      Convert	55
	Section 4.13		Adjustment to the Conversion Rate Upon Certain
      Fundamental	
			Changes	55
	Section 4.14		Stockholder Rights Plan	57
			 
	
	ARTICLE 5		Covenants	57
			 
	
	Section 5.01		Payment of Securities	57
	Section 5.02		SEC and Other Reports	58
	Section 5.03		Compliance Certificates	58
	Section 5.04		Further Instruments and Acts	59
	Section 5.05		Maintenance of Corporate
      Existence	59
	Section 5.06		Rule 144A Information Requirement	59
	Section 5.07		Stay, Extension and Usury
Laws	60
	Section 5.08		Limitation On Liens	60
	Section 5.09		Limitations On Sale And
      Lease-back	63
	Section 5.10		Limitations On Change In Subsidiary Status	64
			 
	
	ARTICLE 6		Consolidation, Merger, Conveyance,
      Transfer or Lease	64
			 
	
	Section 6.01		Company May Consolidate, Etc, Only on
      Certain Terms	64
	Section 6.02		Successor Substituted	65
			 
	
	ARTICLE 7		Default and Remedies	65
			  	
	Section 7.01		Events of Default	65
	Section 7.02		Acceleration	67
	Section 7.03		Other Remedies	68
	Section 7.04		Waiver of Defaults and Events of Default	68
	Section 7.05		Control by Majority	68
	Section 7.06		Limitations on Suits	69
	Section 7.07		Rights of Holders to Receive Payment
      and to Convert	69
	Section 7.08		Collection Suit by Trustee	69
	Section 7.09		Trustee May File Proofs of
    Claim	70
	Section 7.10		Priorities	70
	Section 7.11		Undertaking for Costs	70
			 
	
	ARTICLE 8		Trustee	71
			 
	
	Section 8.01	 	Duties of Trustee	71
	Section 8.02		Rights of Trustee	71
	Section 8.03		Individual Rights of Trustee	73
	Section 8.04		Trustee’s Disclaimer	73
	Section 8.05		Notice of Default or Events of
      Default	73
	Section 8.06		Reports by Trustee to Holders	73

ii 

	Section 8.07	      	Compensation and Indemnity	73
	Section 8.08		Replacement of Trustee	74
	Section 8.09		Successor Trustee by Merger,
    Etc	75
	Section 8.10		Eligibility; Disqualification	75
	Section 8.11		Preferential Collection of Claims
      Against Company	75
		  	 
	
	ARTICLE 9		Satisfaction and Discharge of
      Indenture	76
		  	 
	
	Section 9.01		Satisfaction and Discharge of
      Indenture	76
	Section 9.02		Application of Trust Money	76
	Section 9.03		Repayment to Company	77
	Section 9.04		Reinstatement	77
		  	 
	
	ARTICLE 10		Amendments, Supplements and
      Waivers	77
		  	 
	
	Section 10.01		Without Consent of Holders	77
	Section 10.02		With Consent of Holders	78
	Section 10.03		Compliance with Trust Indenture
      Act	79
	Section 10.04	 	Revocation and Effect of Consents	79
	Section 10.05		Notation on or Exchange of
      Securities	79
	Section 10.06		Trustee to Sign Amendments, Etc	80
	Section 10.07		Effect of Supplemental
    Indentures	80
			 
	
	ARTICLE 11		[Reserved]	80
			 
	
	ARTICLE 12		Miscellaneous	80
			  	
	Section 12.01		Trust Indenture Act Controls	80
	Section 12.02		Notices	80
	Section 12.03		Communications by Holders with Other
      Holders	81
	Section 12.04		Certificate and Opinion as to Conditions
    Precedent	81
	Section 12.05		Record Date for Vote or Consent of
      Securityholders	82
	Section 12.06		Rules by Trustee, Paying Agent, Registrar and Conversion
      Agent	82
	Section 12.07		Legal Holidays	82
	Section 12.08		Governing Law	82
	Section 12.09		No Adverse Interpretation of Other
      Agreements	82
	Section 12.10		Successors	83
	Section 12.11		Multiple Counterparts	83
	Section 12.12		Separability	83
	Section 12.13		Table of Contents, Headings,
    Etc	83
	Section 12.14		No Recourse Against Others	83
	Section 12.15		Calculations in Respect of
      Securities	83
	Section 12.16		Waiver of Jury Trial	83
	Section 12.17		Force Majeure	84
			   	
	EXHIBITS
			   	
	Exhibit A		Form of Note	A-1
	Exhibit B		Certificate to be Delivered Upon Exchange or Registration
      of Transfer of	
			Transfer Restricted Securities	B-1
	Exhibit C		Form of Subsidiary Guaranty	C-1

iii 

CROSS-REFERENCE TABLE*

	TIA SECTION	      	INDENTURE
      SECTION
	Section	      	310(a)(1)			8.10	
			(a)(2)			8.10	
			(a)(3)			N.A.**	
			(a)(4)			N.A.	
	 		(a)(5)			8.10	
			(b)			8.08; 8.10	
		 	(c)			N.A.	
	Section		311(a)			8.11	 
			(b)			8.11	
			(c)			N.A.	
	Section		312(a)			2.05	
			(b)			12.03	
			(c)			12.03	 
	Section		313(a)			8.06	
			(b)(1)			N.A.	
			(b)(2)			8.06	 
			(c)			8.06; 12.02	
			(d)			8.06	
	Section		314(a)			5.02; 5.04; 12.02	
			(b)	 		N.A.	
			(c)(1)			12.04(a)	
			(c)(2)			12.04(a)	
			(c)(3)		 	N.A.	
			(d)			N.A.	
			(e)			12.04(b)	
			(f)		 	N.A.	
	Section		315(a)			8.01(b)	
			(b)			8.05; 12.02	
			(c)			8.01(a)	
			(d)			8.01(c)	
			(e)			7.11	
	Section		316(a) (last sentence)			2.09	
			(a)(1)(A)			7.05	
			(a)(1)(B)			7.04	
			(a)(2)			N.A.	
			(b)			7.07	
			(c)			12.05	
	Section		317(a)(1)			7.08	
			(a)(2)			7.09	
			(b)			2.04	

____________________
 

	* 
      	This Cross-Reference
      Table shall not, for any purpose, be deemed a part of this Indenture.
      
	 	   
	** 
      	N.A. means Not
      Applicable. 

iv 

     THIS INDENTURE
dated as of December 4, 2012 is between Meritor, Inc., a corporation duly
organized under the laws of the State of Indiana (the “Company”) and The Bank of
New York Mellon Trust Company, N.A., a national banking association, as Trustee
(the “Trustee”). 

    
In consideration of the premises and the purchase of the Securities by
the Holders thereof, it is mutually covenanted and agreed by the Company and the
Trustee, for the equal and proportionate benefit of all Holders of the Company’s
7.875% Convertible Senior Notes due 2026, as follows: 

ARTICLE 1 

Definitions and Incorporation by Reference

    
Section 1.01 Definitions.

    
“Additional Interest” means all amounts, if any, payable pursuant to Section
5.06(b), Section 5.06(c) and Section 7.02(b), as applicable. 

    
“Affiliate” means, with respect to any specified person, any other person directly
or indirectly controlling or controlled by or under direct or indirect common
control with such specified person. For the purposes of this definition,
“control”
when used with respect to any person means the power to direct the management
and policies of such person, directly or indirectly, whether through the
ownership of voting securities, by contract or otherwise; and the terms
“controlling” and “controlled” have meanings correlative to the foregoing. 

    
“Agent” means any Registrar, Paying Agent or Conversion Agent. 

    
“Applicable Conversion
Price” means, for any Security at any time,
the Principal Amount at Maturity of such Security divided by the Conversion Rate at such
time, rounded to four decimal places (rounded up if the fifth decimal place
thereof is 5 or more and otherwise rounded down). 

    
“Applicable Procedures” means, with respect to any transfer or exchange of
beneficial ownership interests in a Global Security, the rules and procedures of
the Depositary, in each case to the extent applicable to such transfer or
exchange. 

    
“Bankruptcy Code” means Title 11 of the United States Code (or any successor
thereto) or any similar federal or state law for the relief of debtors.

    
“Bid Solicitation Agent” means the Company or an agent selected by the Company to
serve as bid solicitation agent hereunder, and, initially, the Company.

    
“Board of Directors” means either the board of directors of the Company or any
committee of the board of directors of the Company authorized to act for it with
respect to this Indenture. 

    
“Business Day” means each day that is not a Legal Holiday. 

     “Capital Stock” of any
Person means any and all shares, interests, rights to purchase, warrants,
options, participations or other equivalents of or interests in (however
designated) equity of such Person, but excluding any debt securities convertible
into such equity. 

    
“Cash” means such coin or currency of the United States as at any time of
payment is legal tender for the payment of public and private debts. 

    
“Certificated Security” means a Security that is in substantially the form attached
hereto as Exhibit A and that does not include the information or the schedule
called for by footnotes 1 and 3 thereof. 

    
“Change in Control” will be deemed to occur at such time as: 

    
(a) any “person” or “group” (as such terms are used for purposes of
Sections 13(d) and 14(d) of the Exchange Act) other than the Company, a
Subsidiary of the Company or one of the Company’s employee benefits plans is or
becomes the “beneficial owner” (as such term is used in Rule 13d-3 under the
Exchange Act), directly or indirectly, of fifty percent (50%) or more of the
Company’s Voting Stock; 

    
(b) the sale, transfer, lease, conveyance or other disposition of all or
substantially all of the property or assets of the Company to any “person” or
“group” (as such terms are used in Sections 13(d) and 14(d) of the Exchange
Act), including any group acting for the purpose of acquiring, holding, voting
or disposing of securities within the meaning of Rule 13d-5(b)(1) under the
Exchange Act (but excluding any event of the type described in clause (c) of
this definition); 

    
(c) there occurs any transaction or series of related transactions
(whether by means of an exchange offer, liquidation, tender offer,
consolidation, merger, combination, reclassification, recapitalization, asset
sale, lease of assets or otherwise) in connection with which the Common Stock is
exchanged for, converted into, acquired for or constitutes solely the right to
receive other securities, other property, assets or Cash, other than:

     (i) any transaction pursuant to which
holders of the Capital Stock of the Company immediately prior to such
transaction have the entitlement to exercise, directly or indirectly, 50% or
more of the total voting power of all shares of Voting Stock of the continuing
or surviving Person immediately after such transaction; or 

     (ii) any transaction in which (A) at
least ninety percent (90%) of the consideration (other than Cash payments for
fractional shares or pursuant to statutory appraisal rights) in such transaction
consists of common stock and any associated rights traded or quoted on a U.S.
national securities exchange (or which will be so traded or quoted when issued
or exchanged in connection with such transaction); and (B) as a result of such
transaction, the Conversion Value shall be determined with respect to, and the
Net Shares, if any, shall be payable in, the same type and amount of
consideration that a Holder would have received in such transaction if such
Holder had owned a number of shares of the Common Stock equal to the Conversion
Rate (subject to the Company’s right to pay Cash to satisfy all or a portion of
the Net Share Amount pursuant to Section 4.02(b)(iv)(B) or Section
4.02(b)(iv)(C) of this Indenture); 

2 

     (d) the following
persons cease for any reason to constitute a majority of the Board of Directors:
(i) individuals who on the first Issuance Date constituted the Company’s Board
of Directors; and (ii) any new directors whose election to the Board of
Directors or whose nomination for election by the Company’s shareholders was
approved by at least a majority of the directors of the Company then still in
office either who were directors of the Company on the first Issuance Date or
whose election or nomination for election was previously so approved; or

    
(e) the Company is liquidated or dissolved or holders of the Company’s
Capital Stock approve any plan or proposal for the Company’s liquidation or
dissolution. 

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

    
“Closing Sale Price” of the Common Stock on any date means, as determined by the
Company, the closing sale price per share (or if no closing sale price is
reported, the average of the bid and ask prices or, if more than one in either
case, the average of the average bid and the average ask prices) on that date as
reported in composite transactions for the principal U.S. national or regional
securities exchange on which the Common Stock is listed, admitted for trading or
quoted. If the Common Stock is not listed, admitted for trading or quoted on a
U.S. national or regional securities exchange on the relevant date, the
“Closing Sale Price” will be the last quoted bid price for the Common Stock in the
over-the-counter market on the relevant date as reported by OTC Markets Group
Inc. or a similar organization. If the Common Stock is not so quoted, the
“Closing Sale Price” will be the average of the mid-point of the last bid and ask prices for
the Common Stock on the relevant date from each of at least three nationally
recognized independent investment banking firms selected by the Company for this
purpose. 

    
“Common Stock” means the common stock of the Company, $1.00 par value, as
it exists on the date of this Indenture and any shares of any class or classes
of Capital Stock of the Company resulting from any reclassification or
reclassifications thereof and which have no preference in respect of dividends
or of amounts payable in the event of any voluntary or involuntary liquidation,
dissolution or winding-up of the Company and which are not subject to redemption
by the Company; provided, however, that if at any time there shall be more than one such
resulting class, the shares of each such class then so issuable on conversion of
Securities shall be substantially in the proportion which the total number of
shares of such class resulting from all such reclassifications bears to the
total number of shares of all such classes resulting from all such
reclassifications. 

    
“Company” means the party named as such in the first paragraph of this Indenture
until a successor replaces it pursuant to the applicable provisions of this
Indenture, and thereafter “Company” shall mean such successor
Company. 

    
“Consolidated Funded
Debt” means the Funded Debt of the Company
and its Restricted Subsidiaries, as consolidated and determined in accordance
with generally accepted accounting principles. 

    
“Consolidated Net Tangible
Assets” means, at any date of computation,
the total amount of consolidated assets of the Company and its consolidated
subsidiaries, less the sum of (a) all current liabilities, except for (i) any
short-term debt, (ii) any current portion of long-term debt
and (iii) any current portion of obligations under capital leases, and (b) all
goodwill, trade names, trademarks, patents, unamortized debt discount and
expense (less unamortized debt premium) and other like intangibles as shown on a
balance sheet of the Company and its consolidated subsidiaries prepared not more
than 90 days prior to the date of computation, in all cases computed in
accordance with generally accepted accounting principles. 

3 

     “Conversion Rate” means
initially 83.3333 shares per $1,000 Principal Amount at Maturity of Securities,
subject to adjustment as set forth herein. 

    
“Conversion Share Cap” means 76.8336 shares of Common Stock for each $1,000
Principal Amount at Maturity of Securities, subject to adjustment in the same
manner as the Conversion Rate. 

    
“Conversion Value” shall have the meaning specified in Section 4.02(b);
provided
that for purposes of determining whether the Trading Price Condition is
satisfied only, the “Conversion
Value” per $1,000 Principal Amount at
Maturity of Securities on a Trading Day is the product of the Closing Sale Price
of the Common Stock on such Trading Day and the Conversion Rate of the
Securities in effect on such Trading Day. 

    
“Corporate Trust Office” means the office of the Trustee at which at any particular
time the trust created by this Indenture shall be administered which office at
the date of the execution of this Indenture is located at 2 North LaSalle
Street, Suite 1020 Chicago, IL 60602, Attention: Corporate Trust Administration,
or at any other time at such other address as the Trustee may designate from
time to time by notice to the Company. 

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

    
“Default” or “default” means, when used with respect to the Securities, any event
which is or, after notice or passage of time or both, would be an Event of
Default. 

    
“Exchange Act” means the Securities Exchange Act of 1934, as amended, and
the rules and regulations promulgated thereunder, as in effect from time to
time. 

    
“Final Maturity Date” means March 1, 2026; provided, however, that if there is a
Market Disruption Event during the period beginning on, and including, the 22nd
Scheduled Trading Day immediately preceding March 1, 2026, to and including
March 1, 2026, the Final Maturity Date will be delayed, effective as of the
close of business on March 1, 2026, by one Scheduled Trading Day for each
Trading Day during such period on which there was a Market Disruption Event.

    
“Fundamental Change” will be deemed to occur upon the occurrence of a Change in
Control or a Termination of Trading. 

    
“Funded Debt” of any corporation means, at any date of computation, all indebtedness
for money borrowed by such corporation which by its terms matures more than 12
months after such date or which is extendible or renewable at the option of the
obligor on such indebtedness to a time more than 12 months after such date;
provided,
however,
that (i) Funded Debt shall include all obligations in
respect of lease rentals which, under generally accepted accounting principles,
appear on a balance sheet of the obligor as a liability item other than a
current liability, (ii) in the case of the Company, Funded Debt shall not
include Subordinated Debt and (iii) outstanding preferred stock of a Restricted
Subsidiary that is not owned by the Company or a Wholly-owned Restricted
Subsidiary shall be deemed to constitute a principal amount of Funded Debt equal
to the par value or involuntary liquidation value, whichever amount is higher,
of such preferred stock.

4 

     “GAAP” means generally
accepted accounting principles in the United States of America as in effect as
of the date of this Indenture, including those set forth in (1) the opinions and
pronouncements of the Accounting Principles Board of the American Institute of
Certified Public Accountants, (2) the statements and pronouncements of the
Financial Accounting Standards Board, (3) such other statements by such other
entity as approved by a significant segment of the accounting profession and (4)
the rules and regulations of the SEC governing the inclusion of financial
statements (including pro forma financial statements) in registration statements
filed under the Securities Act and periodic reports required to be filed
pursuant to Section 13 of the Exchange Act, including opinions and
pronouncements in staff accounting bulletins and similar written statements from
the accounting staff of the SEC. 

    
“Global Security” means a permanent Global Security that is in substantially
the form attached hereto as Exhibit A and that includes the information and
schedule called for by footnotes 1 and 3 thereof and which is deposited with the
Depositary or its custodian and registered in the name of the Depositary or its
nominee. 

    
“Guarantee” means the Subsidiary Guaranty dated as of December 4, 2012 provided by
each of the Guarantors with respect to the obligations of the Company under this
Indenture, a form of which is attached hereto as Exhibit C. 

    
“Guarantors” means, Arvin International Holdings, LLC, Arvin Replacement Products
Finance LLC, Arvin Technologies, Inc., ArvinMeritor Assembly, LLC, ArvinMeritor
Brake Holdings, LLC, ArvinMeritor Filters Holding Co., LLC, ArvinMeritor Filters
Operating Co., LLC, ArvinMeritor Holdings Mexico, LLC, ArvinMeritor Holdings,
LLC, ArvinMeritor Investments, LLC, ArvinMeritor OE, LLC, ArvinMeritor
Technology, LLC, ArvinMeritor, Inc., AVM, Inc., Euclid Industries, LLC, Gabriel
Europe, Inc., Maremont Corporation, Maremont Exhaust Products, Inc., Meritor
Aftermarket USA, LLC, Meritor Heavy Vehicle Braking Systems (U.S.A.), LLC,
Meritor Heavy Vehicle Systems (Singapore) Pte., Ltd., Meritor Heavy Vehicle
Systems (Venezuela), Inc., Meritor Heavy Vehicle Systems, LLC, Meritor
Management Corp., Meritor Technology, LLC, Meritor Transmission Corporation,
Meritor, Inc. (a Nevada corporation), Arvinmeritor Sweden AB, ArvinMeritor
Limited, Arvin Cayman Islands, Ltd, Meritor Cayman Islands, Ltd., Arvin European
Holdings (UK) Limited, Meritor Luxembourg S.A.R.L., Meritor Holdings Netherlands
B.V., Arvin Holdings Netherlands B.V., Meritor Netherlands B.V. and any
additional Subsidiaries that become parties to the Guarantee by executing a
supplement thereto in the form attached thereto as Annex I. “Guarantor” means each of
the Guarantors. 

    
“Holder” or “Securityholder” means the person in whose name a Security is registered on
the Primary Registrar’s books. 

5 

     “Indenture” means this
Indenture as amended or supplemented from time to time pursuant to the terms of
this Indenture. 

    
“Initial Principal
Amount” means, with respect to each Security,
$900. 

    
“Initial Purchasers” means BNP Paribas Securities Corp., UBS Securities LLC, J.P.
Morgan Securities LLC and RBS Securities Inc. 

    
“Interest Payment Date” has the meaning specified in Paragraph 1 of the Security.

    
“Issuance Date” means, for any Security, the date on which such Security or
any predecessor Security is first authenticated and issued. 

    
“Legal Holiday” is a Saturday, Sunday or a day on which state or federally
chartered banking institutions in New York, New York and the state in which the
Corporate Trust Office is located are not required to be open. 

    
“Make-Whole Fundamental
Change” a Fundamental Change, as described
under clause (b) or (c) of the definition of Change in Control (in the case of
clause (c), without regard to the exception set forth in sub-clause (i) of
clause (c) of the definition of Change in Control relating to entitlement to
exercise 50% or more of the total voting power of the surviving or continuing
corporation’s Voting Stock). 

    
“Market Disruption
Event” means (a) a failure by the primary
U.S. national or regional securities exchange or market on which the Common
Stock is listed or admitted for trading to open for trading during its regular
trading session or (b) the occurrence or existence prior to 1:00 p.m., New York
City time, on any Scheduled Trading Day for the Common Stock for more than one
half-hour period in the aggregate during regular trading hours of any suspension
or limitation imposed on trading (by reason of movements in price exceeding
limits permitted by the relevant stock exchange or otherwise) in the Common
Stock or in any options, contracts or future contracts relating to the Common
Stock. 

    
“Officer” means the Chairman or any Co-Chairman of the Board, any Vice Chairman
of the Board, the Chief Executive Officer, the President, any Vice President,
the Chief Financial Officer, the Controller, the Secretary or any Assistant
Controller, Assistant Treasurer or Assistant Secretary of the Company.

    
“Officers’ Certificate” means a certificate signed by the principal executive
officer, principal financial officer or principal accounting officer of the
Company and by one other Officer. 

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

    
“Opinion of Counsel” means a written opinion from legal counsel experienced in
such matters as are covered by the opinion. The counsel may be an employee of,
or counsel to, the Company. 

6

     “Person” or “person” means any
individual, corporation, partnership, limited liability company, joint venture,
association, joint-stock company, trust, unincorporated organization, government
or any agency or political subdivision thereof or any other entity. 

    
“Principal Amount at
Maturity” means, with respect to any
Security, the principal sum that the Company must pay on the Final Maturity
Date, as set forth on the face of such Security. 

    
“Principal Property” means any real property (including buildings and other
improvements) of the Company or any Restricted Subsidiary whether currently
owned or hereafter acquired (other than any property hereafter acquired for the
control or abatement of atmospheric pollutants or contaminants or water, noise,
odor or other pollution, or for purposes of developing a cogeneration facility
or a small power production facility as such terms are defined in the Public
Utility Regulatory Policies Act of 1978, as amended) which (i) has, at any date
of determination, a book value in excess of 2.5% of Consolidated Net Tangible
Assets and (ii) in the opinion of the Board of Directors is of material
importance to the total business conducted by the Company and its Restricted
Subsidiaries as a whole. 

    
“Redemption Date” when used with respect to any Security to be redeemed, means
the date fixed for such redemption pursuant to this Indenture. 

    
“Redemption Price” when used with respect to any Security to be redeemed, means
the price fixed for such redemption pursuant to this Indenture, as set forth in
Paragraph 5 of the Security. 

    
“Regular Record Date” has the meaning specified in Paragraph 1 of the Security.

    
“Relevant Average Price Per
Share” means the average of the VWAP per
share of the Common Stock on each Trading Day during the Twenty Day Averaging
Period (appropriately adjusted to take into account the occurrence during such
Twenty Day Averaging Period of stock splits and similar events). 

    
“Restricted Subsidiary” means any Subsidiary of the Company other than an
Unrestricted Subsidiary. 

    
“Rule 144” means Rule 144 promulgated under the Securities Act, as such Rule may
be amended and in effect from time to time, or any successor to such Rule.

    
“Rule 144A” means Rule 144A promulgated under the Securities Act, as such Rule may
be amended and in effect from time to time, or any successor to such Rule.

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

    
“SEC” means the Securities and Exchange Commission. 

7 

     “Secured Debt” means
indebtedness for money borrowed by the Company or a Restricted Subsidiary (other than indebtedness owed by a Restricted
Subsidiary to the Company, by a Restricted Subsidiary to another Restricted
Subsidiary or by the Company to a Restricted Subsidiary), which is secured by
(a) a mortgage or other lien on any Principal Property of the Company or a
Restricted Subsidiary, or (b) a pledge, lien or other security interest on any
shares of stock or indebtedness of a Restricted Subsidiary. The amount of
Secured Debt at any time outstanding shall be the amount then owing thereon by
the Company or a Restricted Subsidiary. 

    
“Securities” means the 7.875% Convertible Senior Notes due 2026 or any of them (each
$1,000 Principal Amount at Maturity of such Securities, a “Security”), as amended or
supplemented from time to time, that are issued under this Indenture.

    
“Securities Act” means the Securities Act of 1933, as amended, and the rules
and regulations promulgated thereunder, as in effect from time to time.

    
“Securities Custodian” means the Trustee, as custodian with respect to the
Securities in global form, or any successor thereto. 

    
“Significant Subsidiary” means, in respect of any Person, a Subsidiary of such Person
that would constitute a “significant
subsidiary” as such term is defined under
Rule 1-02 of Regulation S-X under the Securities Act and the Exchange Act.

    
“Special Record Date” for the payment of any Defaulted Interest means a date fixed
by the Company pursuant to Section 2.16. 

    
“Subordinated Debt” means any unsecured indebtedness of the Company which: (1)
has a final maturity subsequent to the Final Maturity Date; (2) does not provide
for mandatory payment or retirement prior to said date, whether by means of
serial maturities or sinking fund or other analogous provisions or plan, fixed
or contingent, requiring, or which on the happening of a contingency may
require, the payment or retirement of such indebtedness in amounts which as of
any particular time would aggregate more than such portion of the original
principal amount thereof as is obtained by multiplying such original principal
amount by a fraction the numerator of which shall be the number of months
elapsed from the date of creation of such indebtedness to such time and the
denominator of which shall be the number of months from the date of creation
thereof to the final maturity thereof; and (3) is expressly made subordinate and
junior in right of payment to the Securities and such other indebtedness of the
Company (except other Subordinated Debt) as may be specified in the instruments
evidencing the Subordinated Debt or the indenture or other similar instrument
under which it is issued (which indenture or other instrument shall be binding
on all holders of such Subordinated Debt). 

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

8 

     “TIA” means the Trust
Indenture Act of 1939, as amended, and the rules and regulations thereunder as
in effect on the date of this Indenture, except as provided in Section 10.03,
and except to the extent any amendment to the Trust Indenture Act expressly
provides for application of the Trust Indenture Act as in effect on another
date. 

    
“Termination of Trading” shall be deemed to occur if, after the date hereof, the
Common Stock (or other common stock with respect to which the Conversion Value
of the Securities is then determined) is neither listed for trading on a U.S.
national securities exchange nor approved for trading on an established
automated over-the-counter trading market in the United States. 

    
“Trading Day” means a day on which trading in the Common Stock (or other security for
which a Closing Sale Price must be determined) generally occurs on The New York
Stock Exchange or, if the Common Stock (or such other security) is not then
listed on The New York Stock Exchange, on the principal other U.S. national or
regional securities exchange on which the Common Stock (or such other security)
is then listed or, if the Common Stock (or such other security) is not then
listed on a U.S. national or regional securities exchange, on the principal
other market on which the Common Stock (or such other security) is then listed
or admitted for trading; provided that if the Common Stock (or
such other security) is not so listed or traded, “Trading Day” means a Business Day; and
provided,
further,
that for purposes of determining amounts due upon conversion only,
“Trading Day” means a day on which (i) there is no Market Disruption Event and (ii)
trading in the Common Stock generally occurs on The New York Stock Exchange or,
if the Common Stock is not then listed on The New York Stock Exchange, on the
principal other U.S. national or regional securities exchange on which the
Common Stock is then listed or, if the Common Stock is not then listed on a U.S.
national or regional securities exchange, on the principal other market on which
the Common Stock is then listed or admitted for trading, except that if the
Common Stock (or such other security) is not so listed or traded,
“Trading Day” means a Business Day. 

    
“Trading Price” of the Securities on any day means the average secondary
market bid quotations obtained by the Bid Solicitation Agent for $5,000,000
Principal Amount at Maturity of the Securities at approximately 4:00 p.m., New
York City time, on such day from three independent nationally recognized
securities dealers that the Company selects. However, if the Bid Solicitation
Agent can reasonably obtain only two such bids, then the average of the two bids
will be instead used, and if the Bid Solicitation Agent can reasonably obtain
only one such bid, then that one bid will be used. If on a given day (a) the Bid
Solicitation Agent cannot reasonably obtain at least one bid for $5,000,000
Principal Amount at Maturity of the Securities from one of the independent
nationally recognized securities dealers, or (b) in the reasonable, good faith
judgment of the Chief Financial Officer of the Company, the bid quotation or
quotations that the Bid Solicitation Agent has obtained are not indicative of
the secondary market value of the Securities; then the “Trading Price” per $1,000
Principal Amount at Maturity of the Securities shall be deemed to be equal to
97% of the product of the Closing Sale Price of the Common Stock on that day and
the Conversion Rate then in effect. 

9 

    
The Bid Solicitation Agent (if other than the Company) will have no
obligation to determine the Trading Price of the Securities unless the Company
has requested it to do so, and the Company will have no obligation to make such
request (or, if the Company is acting as Bid Solicitation Agent, the Company will have no obligation to determine the
Trading Price) unless a Holder provides the Company with reasonable evidence
that the Trading Price per $1,000 Principal Amount at Maturity of the Securities
would be equal to or less than 97% of the Conversion Value of the Securities. At
such time, the Company will instruct the Bid Solicitation Agent (if other than
the Company) to determine, or if the Company is acting as Bid Solicitation
Agent, the Company will determine the Trading Price of the Securities for each
of the next five Trading Days and on each following Trading Day until the
Trading Price Condition is no longer satisfied. If (x) the Company is not acting
as Bid Solicitation Agent, and the Company does not so instruct the Bid
Solicitation Agent to obtain bids, or the Company gives such instruction to the
Bid Solicitation Agent, and the Bid Solicitation Agent fails to make such
determination, or (y) the Company is acting as Bid Solicitation Agent and the
Company fails to make such determination, then, in either case, the
“Trading Price” per $1,000 Principal Amount at Maturity of the Securities shall be
deemed to be equal to 97% of the product of the Closing Sale Price of the Common
Stock on that day and the Conversion Rate then in effect. 

    
“Transfer Restricted Global
Security” means a Global Security that is a
Transfer Restricted Security. 

    
“Transfer Restricted
Security” means a Security required to bear
the restricted legend set forth in the form of Security set forth in Exhibit A
of this Indenture. 

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

    
“Trust Officer” means, with respect to the Trustee, any officer assigned to
the Corporate Trust Office who shall have direct responsibility for the
administration of this Indenture, and also, with respect to a particular matter,
any other officer to whom such matter is referred because of such officer’s
knowledge of and familiarity with the particular subject. 

    
“Twenty Day Averaging
Period” means, with respect to any conversion
of Securities, each of the twenty consecutive Trading Days beginning on and
including: 

    
(a) if the relevant Conversion Date occurs prior to the 22nd Scheduled
Trading Day immediately preceding the Final Maturity Date, the third Trading Day
immediately following the relevant Conversion Date; and

    
(b) if the relevant Conversion Date occurs on or after the 22nd Scheduled
Trading Day immediately preceding the Final Maturity Date, the 22nd Scheduled
Trading Day immediately preceding the Final Maturity Date, provided that such period
may be extended by no more than one Scheduled Trading Day for each Trading Day
during such twenty consecutive Trading Day period on which there is a Market
Disruption Event prior to the Final Maturity Date. 

    
“Unrestricted
Subsidiary” means (a) any Subsidiary which,
in accordance with the provisions of this Indenture, has been designated by the
Company as an Unrestricted Subsidiary, unless and until such Subsidiary shall,
in accordance with the provisions of this Indenture, be designated by the
Company as a Restricted Subsidiary; and (b) any corporation of which any one or
more Unrestricted Subsidiaries directly or indirectly own outstanding shares of
capital stock having voting power sufficient to
elect, under ordinary circumstances (not dependent upon the happening of a
contingency), a majority of the directors. 

10 

     “Vice President” when used
with respect to the Company or the Trustee, means any vice president, whether or
not designated by a number or a word or words added before or after the title
“vice president.” 

    
“Voting Stock” of a Person means all classes of Capital Stock of such
Person then outstanding and normally entitled (without regard to the occurrence
of any contingency) to vote in the election of directors, managers or trustees
thereof. 

    
“VWAP” per share of the Common Stock on any Trading Day shall be the volume
weighted average price on The New York Stock Exchange or, if the Common Stock is
not listed on The New York Stock Exchange, on the principal exchange or
over-the-counter market on which the Common Stock is then listed or traded, from
9:30 a.m. to 4:00 p.m. (New York City time) on that Trading Day as displayed
under the heading “Bloomberg VWAP” on Bloomberg Page “MTOR <Equity> AQR”
(or any successor thereto), or if such volume weighted average price is not
available, then the “VWAP” will be the market value per share of the Common Stock on
such day as determined by a nationally recognized independent investment banking
firm retained for this purpose by the Company. The “VWAP” shall be determined without
regard to after hours trading or any other trading outside of the regular
trading session trading hours. 

    
“Wholly-owned Restricted
Subsidiary” means a Restricted Subsidiary all
of the outstanding Capital Stock of which, other than directors’ qualifying
shares, and all of the Funded Debt of which, shall at the time be owned by the
Company or by one or more Wholly-owned Restricted Subsidiaries, or by the
Company in conjunction with one or more Wholly-owned Restricted Subsidiaries.

    
Section 1.02 Other Definitions. 

	Term	      	Defined in Section
	Accreted Principal Amount		      	2.15	      
	Agent Members			2.01(b)	
	Aggregate Amount			4.03(f)	 
	Company Order			2.02	 
	Conversion Agent			2.03	
	Conversion Date			4.02(a)	
	Conversion Notice	 		4.02(a)	
	Conversion Obligation			4.01	
	Current Market Price		 	4.03(g)	 
	DTC		 	2.01(a)	
	Defaulted Interest	 		2.16(a)	 
	Depositary			2.01(a)	
	Determination Date		 	4.02(b)(vi)	
	distributed assets			4.03(d)	

11 

	Term	      	Defined in Section
	Effective Date		      	4.13(b)	      
	Event of Default			7.01	
	Ex-Dividend Date			4.03(g)	
	Expiration Date			4.03(f)	
	Expiration Time			4.03(f)	
	Fair Market Value			4.03(g)	
	Fundamental Change Company
    Notice			3.09(a)(ii)	
	Fundamental Change Purchase Date			3.09(a)(i)	
	Fundamental Change Purchase
      Notice			3.09(a)(ii)	
	Fundamental Change Purchase Price			3.09(a)(i)	
	Fundamental Change Purchase
    Right			3.09(a)(i)	
	Legend			2.12(a)	
	Net Shares			4.02(b)(ii)(B)	
	Net Share Amount			4.02(b)(ii)(B)	
	Note Measurement Period			4.01(a)(ii)	
	Notice of Default			7.01	
	Paying Agent			2.03	
	Primary Registrar			2.03	
	Principal Return			4.02(b)(ii)(A)	
	Purchase Date			3.08(a)(i)	
	Purchase Notice			3.08(a)(ii)	
	Purchase Offer			3.08(a)(ii)	
	Purchase Price			3.08(a)(i)	
	Purchased Shares			4.03(f)	
	Record Date			4.03(g)	
	Reference Period			4.03(d)	
	Reference Property			4.04	
	Registrar			2.03	
	Sale and Lease-Back
    Transaction			5.09	
	Specified Cash Amount			4.02(b)(iii)	
	Specified Transaction			4.04	
	Spin-Off			4.03(d)	
	Stock Price			4.13(b)	
	Trading Price Condition			4.01(a)(ii)	
	Trigger Event			4.03(d)	
	value			5.09	

     Section
1.03 References
to Interest. Unless the context otherwise
requires, any reference to interest on, or in respect of, any Security in this
Indenture shall be deemed to include Additional Interest if, in such context,
Additional Interest is, was or would be payable pursuant to any of Section
5.06(b), Section 5.06(c) and Section 7.02(b). Unless the context otherwise
requires, any express mention of Additional Interest in any provision hereof
shall not be construed as excluding Additional Interest in those provisions
hereof where such express mention is not made. 

12 

     Section 1.04 Trust Indenture Act
Provisions. Whenever this Indenture refers to
a provision of the TIA, that provision is incorporated by reference in and made
a part of this Indenture. The Indenture shall also include those provisions of
the TIA required to be included herein by the provisions of the Trust Indenture
Reform Act of 1990. The following TIA terms used in this Indenture have the
following meanings: 

     (a) “indenture securities” means the
Securities; 

     (b) “indenture security holder” means a Securityholder; 

     (c) “indenture to be qualified” means this Indenture; 

     (d) “indenture trustee” or “institutional trustee”
means the Trustee; and 

     (e) “obligor” on the indenture securities
means the Company or any other obligor on the Securities. 

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

     Section 1.05 Rules of Construction. Unless the context otherwise requires: 

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

     (b) an accounting term not otherwise
defined has the meaning assigned to it in accordance with GAAP; 

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

     (d) provisions apply to successive
events and transactions; 

     (e) the term “merger” includes a
statutory share exchange and the term “merged” has a correlative meaning;

     (f) the masculine gender includes
the feminine and the neuter; 

     (g) references to agreements and
other instruments include subsequent amendments thereto; and 

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

ARTICLE 2
The Securities 

     Section 2.01 Form and Dating. The Securities and the Trustee’s certificate of
authentication shall be substantially in the respective forms set forth in
Exhibit A, which Exhibit is incorporated in and made part of this Indenture. The
Securities may have notations, legends or endorsements required by law, stock
exchange rule or usage. The Company shall provide any such notations, legends or
endorsements to the Trustee in writing. Each Security shall be dated the date of
its authentication. The Securities are being offered and sold by the Company
pursuant to a purchase agreement, dated November 28, 2012, between the Company
and the Initial Purchasers, in transactions exempt from, or not subject to, the
registration requirements of the Securities Act.

13

     (a)
Restricted Global Securities. All of the Securities are initially being offered and sold
to qualified institutional buyers as defined in Rule 144A (collectively,
“QIBs” or
individually, each a “QIB”) in reliance on Rule 144A under the Securities Act and shall
be issued initially in the form of one or more Restricted Global Securities,
which shall be deposited on behalf of the purchasers of the Securities
represented thereby with the Trustee, at its Corporate Trust Office, as
custodian for the depositary, The Depository Trust Company (“DTC”) (such depositary, or any successor thereto, being
hereinafter referred to as the “Depositary”), and
registered in the name of its nominee, Cede & Co., duly executed by the
Company and authenticated by the Trustee as hereinafter provided. The aggregate
Principal Amount at Maturity of the Restricted Global Securities may from time
to time be increased or decreased by adjustments made on the records of the
Securities Custodian as hereinafter provided, subject in each case to compliance
with the Applicable Procedures. 

     (b)
Global Securities in General. Each Global Security shall represent such of the outstanding
Securities as shall be specified therein and each shall provide that it shall
represent the aggregate amount of outstanding Securities from time to time
endorsed thereon and that the aggregate amount of outstanding Securities
represented thereby may from time to time be reduced or increased, as
appropriate, to reflect exchanges, redemptions, purchases or conversions of such
Securities. Any adjustment of the aggregate Principal Amount at Maturity of a
Global Security to reflect the amount of any increase or decrease in the amount
of outstanding Securities represented thereby shall be made by the Trustee in
accordance with instructions given by the Holder thereof as required by Section
2.12 and shall be made on the records of the Trustee and the Depositary.

     Members of, or participants in, the
Depositary (“Agent Members”) shall have no rights under this Indenture with respect to
any Global Security held on their behalf by the Depositary or under the Global
Security, and the Depositary (including, for this purpose, its nominee) may be
treated by the Company, the Trustee and any agent of the Company or the Trustee
as the absolute owner and Holder of such Global Security for all purposes
whatsoever. Notwithstanding the foregoing, nothing herein shall (A) prevent the
Company, the Trustee or any agent of the Company or the Trustee from giving
effect to any written certification, proxy or other authorization furnished by
the Depositary or (B) impair, as between the Depositary and its Agent Members,
the operation of customary practices governing the exercise of the rights of a
Holder of any Security. 

14

     (c)
Book Entry Provisions. The Company shall execute and the Trustee shall, in
accordance with this Section 2.01(c), authenticate and deliver initially one or
more Global Securities that (i) shall be registered in the name of the
Depositary, (ii) shall be delivered by the Trustee to the Depositary or pursuant
to the Depositary’s instructions and (iii) shall bear a legend substantially to
the following effect: 

“UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF
THE DEPOSITORY TRUST COMPANY TO THE COMPANY OR ITS AGENT FOR REGISTRATION OF
TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE
NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY (AND ANY PAYMENT HEREON IS MADE
TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY), ANY TRANSFER, PLEDGE OR OTHER
USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL SINCE THE
REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN. THIS SECURITY
IS A GLOBAL SECURITY WITHIN THE MEANING OF THE INDENTURE HEREINAFTER REFERRED TO
AND IS REGISTERED IN THE NAME OF A DEPOSITARY OR A NOMINEE THEREOF. THIS
SECURITY IS EXCHANGEABLE FOR SECURITIES REGISTERED IN THE NAME OF A PERSON OTHER
THAN THE DEPOSITARY OR ITS NOMINEE ONLY IN THE LIMITED CIRCUMSTANCES DESCRIBED
IN THE INDENTURE AND, UNLESS AND UNTIL IT IS
EXCHANGED IN WHOLE OR IN PART FOR SECURITIES IN DEFINITIVE FORM, THIS SECURITY
MAY NOT BE TRANSFERRED EXCEPT AS A WHOLE BY THE DEPOSITARY TO A NOMINEE OF THE
DEPOSITARY OR BY A NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY OR ANOTHER NOMINEE OF THE DEPOSITARY OR BY THE DEPOSITARY OR ANY
SUCH NOMINEE TO A SUCCESSOR DEPOSITARY OR A
NOMINEE OF SUCH SUCCESSOR DEPOSITARY.” 

     Section 2.02 Execution and
Authentication. An Officer shall sign the
Securities for the Company by manual or facsimile signature attested by the
manual or facsimile signature of the Secretary or an Assistant Secretary of the
Company. Typographic and other minor errors or defects in any such facsimile
signature shall not affect the validity or enforceability of any Security which
has been authenticated and delivered by the Trustee. 

     If an Officer whose signature is on
a Security no longer holds that office at the time the Trustee authenticates the
Security, the Security shall be valid nevertheless. 

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

     The Trustee shall authenticate and
make available for delivery Securities for original issue in the aggregate
Principal Amount at Maturity of $250,000,000 upon receipt of a written order or
orders of the Company signed by an Officer of the Company (a “Company Order”). The
Company Order shall specify the amount of Securities to be authenticated, shall
provide that all such Securities will be represented by a Global Security and
the date on which each original issue of Securities is to be authenticated. The
aggregate Principal Amount at Maturity of Securities outstanding at any time may
not exceed $250,000,000 except as provided in Section 2.07.

15

     The Trustee shall act as the initial
authenticating agent. Thereafter, the Trustee may appoint an authenticating
agent acceptable to the Company to authenticate Securities. An authenticating
agent may authenticate Securities whenever the Trustee may do so. Each reference
in this Indenture to authentication by the Trustee includes authentication by
such agent. An authenticating agent shall have the same rights as an Agent to
deal with the Company or an Affiliate of the Company. 

     The Securities shall be issuable
only in registered form without coupons and only in denominations of $1,000
Principal Amount at Maturity and any integral multiple thereof. 

     Section 2.03 Registrar, Paying Agent and Conversion
Agent. The Company shall maintain one or more
offices or agencies where Securities may be presented for registration of
transfer or for exchange (each, a “Registrar”), one or more offices or
agencies where Securities may be presented for payment (each, a “Paying Agent”), one or more
offices or agencies where Securities may be presented for conversion (each, a
“Conversion Agent”) and one or more offices or agencies where notices and demands to or
upon the Company in respect of the Securities and this Indenture may be served.
The Company will at all times maintain a Paying Agent, Conversion Agent,
Registrar and an office or agency where notices and demands to or upon the
Company in respect of the Securities and this Indenture may be served in The
Borough of Manhattan, The City of New York. One of the Registrars (the
“Primary Registrar”) shall keep a register of the Securities and of their transfer and
exchange. 

     The Company shall enter into an
appropriate agency agreement with any Agent not a party to this Indenture. The
agreement shall implement the provisions of this Indenture that relate to such
Agent. The Company shall notify the Trustee of the name and address of any Agent
not a party to this Indenture. If the Company fails to maintain a Registrar,
Paying Agent, Conversion Agent or agent for service of notices and demands in
any place required by this Indenture, or fails to give the foregoing notice, the
Trustee shall act as such. The Company or any Affiliate of the Company may act
as Paying Agent (except for the purposes of Section 5.01 and Article 9).

     The Company hereby initially
designates the Trustee as Paying Agent, Registrar, Securities Custodian and
Conversion Agent, and each of the Corporate Trust Office of the Trustee and the
office or agency of the Trustee in The Borough of Manhattan, The City of New
York (located at 101 Barclay Street, New York, New York 10286, Attention:
Corporate Trust Administration), one such office or agency of the Company for
each of the aforesaid purposes. 

16

     Section 2.04 Paying Agent to Hold Money in
Trust. Prior to 1:00 p.m., New York City
time, on each date on which the Principal Amount at Maturity or Accreted
Principal Amount, as applicable, of or interest, if any, on any Securities is
due and payable, the Company shall deposit with a Paying Agent a sum sufficient
to pay such Principal Amount at Maturity or Accreted Principal Amount, as
applicable, or interest, if any, so becoming due. A Paying Agent shall hold in
trust for the benefit of Securityholders or the Trustee all money held by the
Paying Agent for the payment of the Principal Amount at Maturity or Accreted
Principal Amount, as applicable, of or interest, if any, on the Securities, and
shall notify the Trustee of any default by the Company (or any other obligor on
the Securities) in making any such payment. If the Company or an Affiliate of
the Company acts as Paying Agent, it shall, before 1:00 p.m., New York City
time, on each date on which a payment of the Principal Amount at Maturity or
Accreted Principal Amount, as applicable, of or interest on any Securities is
due and payable, segregate the money and hold it as a separate trust fund. The
Company at any time may require a Paying Agent to pay all money held by it to
the Trustee, and the Trustee may at any time during the continuance of any
default, upon written request to a Paying Agent, require such Paying Agent to
pay forthwith to the Trustee all sums so held in trust by such Paying Agent.
Upon doing so, the Paying Agent (other than the Company) shall have no further
liability for the money. 

     Section 2.05 Securityholder Lists. The Trustee shall preserve in as current a form as is
reasonably practicable the most recent list available to it of the names and
addresses of Securityholders. If the Trustee is not the Primary Registrar, the
Company shall furnish to the Trustee on or before each semiannual interest
payment date, and at such other times as the Trustee may request in writing, a
list in such form and as of such date as the Trustee may reasonably require of
the names and addresses of Securityholders. 

     Section 2.06 Transfer and Exchange. Subject to compliance with any applicable additional
requirements contained in Section 2.12, when a Security is presented to a
Registrar with a request to register a transfer thereof or to exchange such
Security for an equal Principal Amount at Maturity of Securities of other
authorized denominations, the Registrar shall register the transfer or make the
exchange as requested if its requirements for such transactions are met;
provided,
however,
that every Security presented or surrendered for registration of transfer or
exchange shall be duly endorsed or accompanied by an assignment form in the form
included in Exhibit A, and in form satisfactory to the Registrar duly executed
by the Holder thereof or its attorney duly authorized in writing. To permit
registration of transfers and exchanges, upon surrender of any Security for
registration of transfer or exchange at an office or agency maintained pursuant
to Section 2.03, the Company shall execute and the Trustee shall authenticate
Securities of a like aggregate Principal Amount at Maturity at the Registrar’s
request. Any exchange or transfer shall be without charge, except that the
Company or the Registrar may require payment of a sum sufficient to cover any
tax or other governmental charge that may be imposed in relation thereto, and
provided,
that this
sentence shall not apply to any exchange pursuant to Section 2.10, Section 2.12,
Section 3.06, Section 3.08(d), Section 4.02(e) or Section 10.05 not involving
any transfer. 

     Neither the Company, any Registrar
nor the Trustee shall be required to (a) register the transfer of or exchange
any Security for a period of 15 days before selecting Securities to be redeemed;
(b) register the transfer of or exchange any Security during the period
beginning at the opening of business 15 days before the mailing of a notice of
redemption of Securities selected for redemption and ending at 5:00 p.m. New
York City time on the day of the mailing; or (c) register the transfer of or
exchange any Security that has been selected for redemption or for which the
Holder has delivered, and not validly withdrawn, a Purchase Notice or
Fundamental Change Purchase Notice, except, in the case of a partial redemption
or purchase, that portion of the Securities not being redeemed or
purchased.

17 

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

     Any Registrar appointed pursuant to
Section 2.03 shall provide to the Trustee such information as the Trustee may
reasonably require in connection with the delivery by such Registrar of
Securities upon transfer or exchange of Securities. 

     Each Holder of a Security agrees to
indemnify the Company and the Trustee against any liability that may result from
the transfer, exchange or assignment of such Holder’s Security in violation of
any provision of this Indenture and/or applicable United States federal or state
securities law. 

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

     Section 2.07 Replacement Securities. If any mutilated Security is surrendered to the Company, a
Registrar or the Trustee, or the Company, a Registrar and the Trustee receive
evidence to their satisfaction of the destruction, loss or theft of any
Security, and there is delivered to the Company, the applicable Registrar and
the Trustee such security or indemnity as will be required by them to save each
of them harmless, then, in the absence of notice to the Company, such Registrar
or the Trustee that such Security has been acquired by a protected purchaser,
the Company shall execute, and upon its written request the Trustee shall
authenticate and deliver, in exchange for any such mutilated Security or in lieu
of any such destroyed, lost or stolen Security, a new Security of like tenor and
Principal Amount at Maturity, bearing a number not contemporaneously
outstanding. 

     In case any such mutilated,
destroyed, lost or stolen Security has become or is about to become due and
payable, or is about to be redeemed or purchased by the Company pursuant to
Article 3, the Company in its discretion may, instead of issuing a new Security,
pay, redeem or purchase such Security, as the case may be. 

     Upon the issuance of any new
Securities under this Section 2.07, the Company may require the payment of a sum
sufficient to cover any tax or other governmental charge that may be imposed in
relation thereto and any other reasonable expenses (including the reasonable
fees and expenses of the Trustee or the Registrar) in connection therewith.

     Every new Security issued pursuant
to this Section 2.07 in lieu of any mutilated, destroyed, lost or stolen
Security shall constitute an original additional contractual obligation of the
Company, whether or not the mutilated, destroyed, lost or stolen Security shall
be at any time enforceable by anyone, and shall be entitled to all benefits of
this Indenture equally and proportionately with any and all other Securities
duly issued hereunder.

18

     The provisions of this Section 2.07
are (to the extent lawful) exclusive and shall preclude (to the extent lawful)
all other rights and remedies with respect to the replacement or payment of
mutilated, destroyed, lost or stolen Securities. 

     Section 2.08 Outstanding Securities. Securities outstanding at any time are all Securities
authenticated by the Trustee, except for those canceled by it, those converted
pursuant to Article 4, those delivered to it for cancellation or surrendered for
transfer or exchange and those described in this Section 2.08 as not
outstanding. 

     If a Security is replaced pursuant
to Section 2.07, it ceases to be outstanding unless the Company receives proof
satisfactory to it that the replaced Security is held by a protected purchaser.

     If a Paying Agent holds at 1:00
p.m., New York City time, on the Final Maturity Date Cash sufficient to pay the
Principal Amount at Maturity of the Securities payable on that date, then on and
after the Final Maturity Date, such Securities shall cease to be outstanding.

     Subject to the restrictions
contained in Section 2.09, a Security does not cease to be outstanding because
the Company or an Affiliate of the Company holds the Security. 

     Section 2.09 Treasury Securities. 

     (a)
In determining whether the Holders of the
required principal amount of Securities have concurred in any notice, direction,
waiver or consent, Securities owned by the Company or any other obligor on the
Securities or by any Affiliate of the Company or of such other obligor shall be
disregarded, except that, for purposes of determining whether the Trustee shall
be protected in relying on any such notice, direction, waiver or consent, only
Securities which a Trust Officer of the Trustee actually knows are so owned
shall be so disregarded. Securities so owned which have been pledged in good
faith shall not be disregarded if the pledgee establishes to the satisfaction of
the Trustee the pledgee’s right so to act with respect to the Securities and
that the pledgee is not the Company or any other obligor on the Securities or
any Affiliate of the Company or of such other obligor. 

     (b)
Any Securities or shares of Common Stock issued
upon the conversion of Securities that are purchased or owned by the Company or
any Affiliate thereof may not be resold by the Company or such Affiliate unless
registered under the Securities Act or resold pursuant to an exemption from the
registration requirements of the Securities Act in a transaction that results in
such Securities or shares of Common Stock, as the case may be, no longer being
“restricted securities” (as defined under Rule 144). 

     Section 2.10 Temporary Securities. Until definitive Securities are ready for delivery, the
Company may prepare and execute, and, upon receipt of a Company Order, the
Trustee shall authenticate and deliver, temporary Securities. Temporary
Securities shall be substantially in the form of definitive Securities but may
have variations that the Company with the consent of the Trustee considers
appropriate for temporary Securities. Without unreasonable delay, the Company
shall prepare and the Trustee shall authenticate and deliver definitive
Securities in exchange for temporary Securities.

19

     Section 2.11 Cancellation. The Company at any time may deliver Securities to the
Trustee for cancellation. The Registrar, the Paying Agent and the Conversion
Agent shall forward to the Trustee or its agent any Securities surrendered to
them for transfer, exchange, redemption, payment or conversion. The Trustee and
no one else shall cancel, in accordance with its standard procedures, all
Securities surrendered for transfer, exchange, redemption, payment, conversion
or cancellation and upon written request of the Company shall deliver the
canceled Securities to the Company. 

     Section 2.12 Legend, Additional Transfer and
Exchange Requirements.

     (a)
If Securities are issued upon the transfer,
exchange or replacement of Securities subject to restrictions on transfer and
bearing the legends set forth on the forms of Securities attached hereto as
Exhibit A (collectively, the “Legend”), or if a request is made to
remove the Legend on a Security, the Securities so issued shall bear the Legend,
or the Legend shall not be removed, as the case may be, unless there is
delivered to the Company and the Registrar such satisfactory evidence, which, in
the case of any transfer pursuant to Rule 144 or any other available exemption
from registration under the Securities Act, shall include an Opinion of Counsel
if requested by the Company or such Registrar, as may be reasonably required by
the Company and the Registrar, that neither the Legend nor the restrictions on
transfer set forth therein are required to ensure that transfers thereof comply
with the provisions of Rule 144A or Rule 144 under the Securities Act or that
such Securities are not “restricted” within the meaning of Rule 144 under the
Securities Act. Upon (i) provision of such satisfactory evidence if requested,
or (ii) written notification by the Company to the Trustee and Registrar of the
sale of such Security pursuant to a registration statement that is effective at
the time of such sale, the Trustee, at the written direction of the Company,
shall authenticate and deliver a Security that does not bear the
Legend.

     (b)
A Global Security may not be transferred, in
whole or in part, to any Person other than the Depositary or a nominee or any
successor thereof, and no such transfer to any such other Person may be
registered; provided, that the foregoing shall not prohibit any transfer of a
Security that is issued in exchange for a Global Security but is not itself a
Global Security. No transfer of a Security to any Person shall be effective
under this Indenture or the Securities unless and until such Security has been
registered in the name of such Person. Notwithstanding any other provisions of
this Indenture or the Securities, transfers of a Global Security, in whole or in
part, shall be made only in accordance with this Section 2.12. 

     (c)
Subject to the succeeding paragraph, every
Security shall be subject to the restrictions on transfer provided in the Legend
other than a Restricted Global Security. Whenever any Transfer Restricted
Security other than a Restricted Global Security is presented or surrendered for
registration of transfer or for exchange for a Security registered in a name
other than that of the Holder, such Security must be accompanied by a
certificate in substantially the form set forth in Exhibit B, dated the date of
such surrender and signed by the Holder of such Security, as to compliance with
such restrictions on transfer. The Registrar shall not be required to accept for
such registration of transfer or exchange any Security not so accompanied by a
properly completed certificate.

20

     (d)
The restrictions imposed by the Legend upon the
transferability of any Security shall cease and terminate when such Security has
been sold pursuant to an effective registration statement under the Securities
Act or transferred in compliance with Rule 144 under the Securities Act (or any
successor provision thereto) or, if earlier, upon the expiration of the holding
period applicable to sales thereof under Rule 144 under the Securities Act (or
any successor provision). Any Security as to which such restrictions on transfer
shall have expired in accordance with their terms or shall have terminated may,
upon a surrender of such Security for exchange to the Registrar in accordance
with the provisions of this Section 2.12 (accompanied, in the event that such
restrictions on transfer have terminated by reason of a transfer in compliance
with Rule 144 or any successor provision, by, if requested, an Opinion of
Counsel reasonably acceptable to the Company and the Trustee, addressed to the
Company and the Trustee and in form acceptable to the Company and the Trustee,
to the effect that the transfer of such Security has been made in compliance
with Rule 144 or such successor provision and applicable state securities laws),
be exchanged for a new Security, of like tenor and aggregate Principal Amount at
Maturity, which shall not bear the restrictive Legend. The Company shall inform
the Trustee of the effective date of any registration statement registering the
Securities under the Securities Act. The Trustee shall not be liable for any
action taken or omitted to be taken by it in good faith in accordance with the
aforementioned Opinion of Counsel or registration statement. 

     (e)
As used in the preceding two paragraphs of this
Section 2.12, the term “transfer” encompasses any sale, pledge, transfer,
hypothecation or other disposition of any Security. 

     (f)
The provisions of clauses (i), (ii), (iii) and
(iv) below shall apply only to Global Securities: 

     (i)
Notwithstanding any other provisions of this
Indenture or the Securities, a Global Security shall not be exchanged in whole
or in part for a Security registered in the name of any Person other than the
Depositary or one or more nominees thereof, provided, that a Global Security may
be exchanged for Securities registered in the names of any person designated by
the Depositary in the event that (A) the Depositary has notified the Company
that it is unwilling or unable to continue as Depositary for such Global
Security or such Depositary has ceased to be a “clearing agency” registered under the
Exchange Act, and a successor Depositary is not appointed by the Company within
90 days, or (B) an Event of Default has occurred and is continuing with respect
to the Securities. Any Global Security exchanged pursuant to clause (A) above
shall be so exchanged in whole and not in part, and any Global Security
exchanged pursuant to clause (B) above may be exchanged in whole or from time to
time in part as directed by the Depositary. Any Security issued in exchange for
a Global Security or any portion thereof shall be a Global Security; provided,
that any such Security so issued that is registered in the name of a Person
other than the Depositary or a nominee thereof shall not be a Global Security.

21

     (ii)
Securities issued in exchange for a Global
Security or any portion thereof shall be issued in definitive, fully-registered
book-entry form, without interest coupons, shall have an aggregate Principal
Amount at Maturity equal to that of such Global Security or portion thereof to
be so exchanged, shall be registered in such names and be in such authorized
denominations as the Depositary shall designate and shall bear the applicable
legends provided for herein. Any Global Security to be exchanged in whole shall
be surrendered by the Depositary to the Trustee, as Registrar. With regard to
any Global Security to be exchanged in part, either such Global Security shall
be so surrendered for exchange or, if the Trustee is acting as custodian for the
Depositary or its nominee with respect to such Global Security, the Principal
Amount at Maturity thereof shall be reduced, by an amount equal to the portion
thereof to be so exchanged, by means of an appropriate adjustment made on the
records of the Trustee. Upon any such surrender or adjustment, the Trustee shall
authenticate and deliver the Security issuable on such exchange to or upon the
order of the Depositary or an authorized representative thereof.

     (iii)
Subject to the provisions of clause (v) below,
the registered Holder may grant proxies and otherwise authorize any Person,
including Agent Members and persons that may hold interests through Agent
Members, to take any action which a Holder is entitled to take under this
Indenture or the Securities.

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

     (v)
Neither Agent Members nor any other Persons on
whose behalf Agent Members may act shall have any rights under this Indenture
with respect to any Global Security registered in the name of the Depositary or
any nominee thereof, or under any such Global Security, and the Depositary or
such nominee, as the case may be, may be treated by the Company, the Trustee and
any agent of the Company or the Trustee as the absolute owner and holder of such
Global Security for all purposes whatsoever. Notwithstanding the foregoing, nothing herein shall prevent the Company,
the Trustee or any agent of the Company or the Trustee from giving effect to any
written certification, proxy or other authorization furnished by the Depositary
or such nominee, as the case may be, or impair, as between the Depositary, its
Agent Members and any other person on whose behalf an Agent Member may act, the
operation of customary practices of such Persons governing the exercise of the
rights of a holder of any Security. 

     Section 2.13 CUSIP Numbers. The Company in issuing the Securities may use one or more
“CUSIP” numbers (if then generally in use), and, if so, the Trustee shall use
“CUSIP” numbers in notices of redemption or purchase as a convenience to
Holders; provided, that any such notice may state that no representation is made as to the
correctness of such numbers either as printed on the Securities or as contained
in any notice of a redemption or purchase and that reliance may be placed only
on the other identification numbers printed on the Securities, and any such
redemption or purchase shall not be affected by any defect in or omission of
such numbers. The Company will promptly notify the Trustee of any change in the
“CUSIP” numbers. 

22

     Section
2.14 Regular Interest. Subject to Section 5.06(b), Section 5.06(c) and Section 7.02(b), interest will accrue on the
Principal Amount at Maturity of the Securities at the rate of 7.875 % per year from and including December 4, 2012 or from
and including the last date in respect of which interest has been paid or provided for, as the case may be, to but excluding
the next Interest Payment Date. Interest will be payable in Cash in arrears on June 1 and December 1 of each year, beginning
June 1, 2013, to the Holder of record at the close of business on the Regular Record Date preceding such Interest Payment
Date and on the Final Maturity Date to the Holder that presents the Security for payment. 

     Section 2.15 Accretion of Principal Amount.
(a) Following December 4, 2012, the principal
amount of the Securities shall increase daily at a rate that provides Holders
with an aggregate annual yield to December 1, 2020 of 1.3227% (computed on a
semi-annual bond equivalent yield basis), until the principal amount of each
Security equals $1,000 on December 1, 2020. The principal amount of the
Securities shall not increase after December 1, 2020. The “Accreted Principal Amount”
of any Security shall be the Initial Principal Amount on December 4, 2012, the
principal amount as adjusted upwards for accretion at any time after December 4,
2012 and prior to December 1, 2020 and $1,000 on and after December 1, 2020.

     (a)
The following table sets forth the Accreted
Principal Amounts of the Securities during the period from December 4, 2012
through December 1, 2020:

	Accretion Date	     	Accreted Principal
  Amount
	December 4,
      2012		$900.00
	June 1, 2013		$905.85
	December 1,
      2013		$911.84
	June 1, 2014		$917.87
	December 1,
      2014		$923.95
	June 1, 2015		$930.06
	December 1,
      2015		$936.21
	June 1, 2016		$942.40
	December 1,
      2016		$948.63
	June 1, 2017		$954.91
	December 1,
      2017		$961.22
	June 1, 2018		$967.58
	December 1,
      2018		$973.98
	June 1, 2019		$980.42
	December 1,
      2019		$986.90
	June 1, 2020		$993.43
	December 1,
      2020		$1,000.00

     The Accreted Principal Amount of a
Security between the dates listed above shall include an amount reflecting the
additional principal accretion that has accrued as of such date since the
immediately preceding date in the table.

     Section 2.16 Defaulted Interest. (a) Any interest (including Additional Interest) on any
Security that is payable, but is not punctually paid or duly provided for, on
any Interest Payment Date (herein called “Defaulted Interest”) shall forthwith
cease to be payable to the Holder on the relevant Regular Record Date by virtue
of having been such Holder, and such Defaulted Interest may be paid by the
Company, at its election in each case, as provided in subsection (b) of this
Section 2.16.

23

     (b)
The Company may elect to make payment of any
Defaulted Interest to the Persons in whose names the Securities (or their
respective predecessor Securities) are registered at the close of business on a
Special Record Date for the payment of such Defaulted Interest, which shall be
fixed in the following manner. The Company shall notify the Trustee in writing
of the amount of Defaulted Interest proposed to be paid on each Security, the
date of the proposed payment and the Special Record Date, and at the same time
the Company shall deposit with the Trustee an amount of money equal to the
aggregate amount proposed to be paid in respect of such Defaulted Interest or
shall make arrangements reasonably satisfactory to the Trustee for such deposit
prior to the date of the proposed payment, such money when deposited to be held
in trust for the benefit of the Persons entitled to such Defaulted Interest as
in this clause provided. The Special Record Date for the payment of such
Defaulted Interest shall be not more than 15 days and not less than 10 days
prior to the date of the proposed payment and not less than 10 days after the
receipt by the Trustee of the notice of the proposed payment. The Trustee, in
the name and at the expense of the Company, shall cause notice of the proposed
payment of such Defaulted Interest and the Special Record Date therefor to be
mailed, first-class postage prepaid, to each Holder at such Holder’s address as
it appears in the register referred to in Section 2.03, not less than 10 days
prior to such Special Record Date. Notice of the proposed payment of such
Defaulted Interest and the Special Record Date therefor having been so mailed,
such Defaulted Interest shall be paid to the Persons in whose names the
Securities (or their respective predecessor Securities) are registered at the
close of business on such Special Record Date. 

     (c)
Subject to the foregoing and following provisions
of this Article 2, each Security delivered under this Indenture upon
registration of transfer of or in exchange for or in lieu of any other Security
shall carry the rights to interest (if any) accrued and unpaid, and to accrue,
which were carried by such other Security. 

ARTICLE 3
Redemption and
Purchases 

     Section 3.01 Right to Redeem; Notice to
Trustee. No sinking fund is provided for the
Securities. The Securities shall not be redeemable by the Company prior to
December 1, 2020. The Securities may be redeemed at the election of the Company,
as a whole or from time to time in part, at any time on or after December 1,
2020, at the Redemption Price in Cash specified in Paragraph 5 of the form of
Security attached hereto as Exhibit A, together with accrued and unpaid
interest, if any (including Additional Interest, if any), up to, but excluding,
the Redemption Date. However, if the Redemption Date falls after a Regular
Record Date and on or prior to the corresponding Interest Payment Date, the
Company will pay the full amount of accrued and unpaid interest, if any
(including Additional Interest, if any), due on such Interest Payment Date to
the Holder of record at the close of business on the corresponding Regular
Record Date. 

24

     If the Company elects to redeem
Securities pursuant to this Section 3.01 and Paragraph 5 of the Securities, it
shall notify the Trustee in writing at least 45 days prior to the Redemption
Date, as fixed by the Company (unless a shorter notice shall be satisfactory to
the Trustee), of the Redemption Date and the Principal Amount at Maturity of
Securities to be redeemed. 

     Section 3.02 Selection of Securities to Be
Redeemed. If the Securities are held in
book-entry form and fewer than all of the outstanding Securities are to be
redeemed, the Securities shall be redeemed in accordance with the procedures of
the Depositary. If the Securities are not held in book-entry form and fewer than
all of the outstanding Securities are to be redeemed, the Trustee shall, at
least 30 days but not more than 60 days prior to the Redemption Date, select the
Securities to be redeemed. The Trustee shall make the selection from the
Securities outstanding and not previously called for redemption, by lot, on a
pro rata basis or in accordance with any other method the Trustee considers fair
and appropriate. Securities in denominations of $1,000 Principal Amount at
Maturity may only be redeemed in whole. The Trustee may select for redemption
portions (equal to $1,000 Principal Amount at Maturity or any integral multiple
thereof) of the Principal Amount at Maturity of Securities that have
denominations larger than $1,000 Principal Amount at Maturity. Provisions of
this Indenture that apply to Securities called for redemption also apply to
portions of Securities called for redemption. 

     If any Security selected for partial
redemption is converted in part before termination of the conversion right with
respect to the portion of the Security so selected, the converted portion of
such Security shall be deemed to be taken from the portion selected for
redemption. Securities which have been converted
during a selection of Securities to be redeemed shall be treated by the Trustee
as outstanding for the purpose of such selection. 

     Section 3.03 Notice of Redemption. At least 30 days but not more than 60 days before a
Redemption Date, the Company shall mail or cause to be mailed a notice of
redemption to each Holder of Securities to be redeemed at such Holder’s address
as it appears on the Primary Registrar’s books. 

     The notice shall identify the
Securities (including CUSIP numbers) to be redeemed and shall state: 

     (a)
the Redemption Date; 

     (b)
the Redemption Price; 

     (c)
the then-current Conversion Rate; 

     (d)
the name and address of each Paying Agent and
Conversion Agent; 

     (e)
that Securities called for redemption must be
presented and surrendered to a Paying Agent to collect the Redemption Price;

     (f)
that Holders who wish to convert Securities must
surrender such Securities for conversion no later than the close of business on
the Business Day immediately preceding the Redemption Date and must satisfy the
other requirements set forth in Paragraph 8 of the Securities; 

25

     (g)
that, unless the Company defaults in making the
payment of the Redemption Price, interest on Securities called for redemption
shall cease accruing on and after the Redemption Date and subject to the
provisions of Section 3.01 and Section 3.04, the only remaining right of the
Holder shall be to receive payment of the Redemption Price upon presentation and
surrender to a Paying Agent of the Securities; and 

     (h)
if any Security is being redeemed in part, the
portion of the Principal Amount at Maturity of such Security to be redeemed and
that, after the Redemption Date, upon presentation and surrender of such
Security, a new Security or Securities in aggregate Principal Amount at Maturity
equal to the unredeemed portion thereof will be issued. 

     If any of the Securities to be
redeemed is in the form of a Global Security, then the Company shall modify such
notice to the extent necessary to accord with the procedures of the Depositary
applicable to redemptions. At the Company’s written request, which request shall
(i) be irrevocable once given and (ii) set forth all relevant information
required by clauses (a) through (h) of the preceding paragraph, the Trustee
shall give the notice of redemption in the Company’s name and at the Company’s
expense. 

     Section 3.04 Effect of Notice of
Redemption. Once notice of redemption is
mailed, Securities called for redemption become due and payable on the
Redemption Date and at the Redemption Price stated in the notice. Upon
presentation and surrender to a Paying Agent, Securities called for redemption
shall be paid in Cash at the Redemption Price. However, if the Redemption Date
falls after a Regular Record Date and on or prior to the corresponding Interest
Payment Date, the Company will pay the full amount of accrued and unpaid
interest, if any (including Additional Interest, if any), due on such Interest
Payment Date to the Holder of record at the close of business on the
corresponding Regular Record Date. The Company shall make at least 16
semi-annual interest payments (including the interest payment on December 1,
2020) on the Securities before it can redeem the Securities pursuant to this
Article 3. 

     Section 3.05 Deposit of Redemption
Price. Prior to 12:00 p.m. (noon), New York
City time, on the Redemption Date, the Company shall deposit with a Paying Agent
(or, if the Company acts as Paying Agent, shall segregate and hold in trust) an
amount of money (in immediately available funds if deposited on such Redemption
Date) sufficient to pay the Redemption Price of all Securities to be redeemed on
that date, other than Securities or portions thereof called for redemption on
that date which have been delivered by the Company to the Trustee for
cancellation or have been converted. The Paying Agent shall as promptly as
practicable return to the Company any money not required for that purpose or, if
such money is then held by the Company in trust and is not required for such
purpose, it shall be discharged from the trust. 

     If a Paying Agent holds on a
Redemption Date Cash sufficient to pay the Redemption Price payable on that
date, then on and after such Redemption Date, such Securities (or portions
thereof, as the case may be) shall cease to be outstanding and interest (if any)
on them shall cease to accrue; provided, that if such Securities are
to be redeemed, notice of such redemption has been duly given pursuant to this
Indenture or provision therefor satisfactory to the Trustee has been made.

26

     Section 3.06 Securities Redeemed in
Part. Upon presentation and surrender of a
Security that is redeemed in part, the Company shall execute and the Trustee
shall authenticate and deliver to the Holder, without charge, a new Security or
Securities of authorized denominations as requested by such Holder in aggregate
Principal Amount at Maturity equal to the unredeemed portion of the Security
surrendered. 

     Section 3.07 No Redemption of Securities Upon
Occurrence of Acceleration. Notwithstanding anything herein to
the contrary, the Company will not redeem any Securities on any date if the
principal amount of the Securities has been accelerated, and such acceleration
has not been rescinded on or prior to the Redemption Date (except in the case of
an acceleration resulting from a default by the Company in the payment of the
Redemption Price with respect to such Securities). 

     Section 3.08 Purchase of Securities at the Option
of Holders. (a) Optional Put. (i) Securities shall be
purchased by the Company, at the option of the Holder thereof, on December 1,
2020 (the “Purchase Date”), at a purchase price in Cash equal to 100% of the Principal
Amount at Maturity of the Securities to be purchased plus accrued and unpaid interest, if
any (including Additional Interest, if any), to, but excluding, the Purchase
Date (the “Purchase Price”), subject to satisfaction by or on behalf of the Holder of
the requirements set forth in Section 3.08(a)(iii), provided, however, that any such
accrued and unpaid interest, if any (including Additional Interest, if any),
will be paid not to the Holder submitting the Security for purchase on the
Purchase Date but instead to the Holder of record at the close of business on
the corresponding Regular Record Date. 

     (ii)
No later than 20 Business Days prior to the
Purchase Date, the Company shall mail a written notice of the purchase right
under Section 3.08(a)(i) (a “Purchase
Offer”) by first class mail to the Trustee
and to each Holder (and to beneficial owners as required by applicable law). The
notice shall include a form of notice to be completed by the Holder and returned
to the Company in the event that the Holder elects such right to such purchase
(the “Purchase Notice”) and shall briefly state, as applicable: 

     (A)
the date by which the Purchase Notice must be
delivered to the Paying Agent in order for a Holder to exercise the purchase
right; 

     (B)
the Purchase Date; 

     (C)
the Purchase Price 

     (D)
the name and address of the Paying Agent and the
Conversion Agent; 

     (E)
the Conversion Rate; 

     (F)
that the Securities as to which a Purchase Notice
has been given may be converted if they are otherwise convertible pursuant to
Article 4 only if the Purchase Notice has been withdrawn in accordance with the
terms of this Indenture; 

27

     (G)
that the Securities must be surrendered to the
Paying Agent to collect payment; 

     (H)
that the Purchase Price for any Security as to
which a Purchase Notice has been duly given and not withdrawn will be paid
promptly following the later of the Purchase Date and the time of surrender of
such Security; 

     (I)
the procedures the Holder must follow to exercise
its put right under this Section 3.08(a); 

     (J)
the conversion rights, if any, of the Securities;

     (K)
the procedures for withdrawing a Purchase Notice;

     (L)
that, unless the Company defaults in making
payment of such Purchase Price, interest, if any (including Additional Interest,
if any), on Securities surrendered for purchase by the Company will cease to
accrue on and after the Purchase Date; and 

     (M)
the CUSIP number(s) of the Securities.

     At the Company’s request, the
Trustee shall give the Purchase Offer in the Company’s name and at the Company’s expense; provided, however, that the Company
makes such request at least three Business Days (unless a shorter period shall
be satisfactory to the Trustee) prior to the date by which such Purchase Offer
must be given to the Holder in accordance with this Section 3.08(a)(ii);
provided, further, that the text of the Purchase Offer shall be prepared by the Company.

     (iii)
A Holder may exercise its right specified in
Section 3.08(a)(i) upon delivery of a properly completed Purchase Notice to the
Paying Agent at any time during the period beginning at 9:00 a.m., New York City
time, on the date that is 20 Business Days immediately preceding the Purchase
Date until 5:00 p.m., New York City time, on the Business Day immediately
preceding the Purchase Date, stating: 

     (A)
the certificate number (if in certificated form)
of the Security which the Holder will deliver to be purchased or the appropriate
Depositary procedures if Certificated Securities have not been issued;

     (B)
the portion of the Principal Amount at Maturity
of the Security which the Holder will deliver to be purchased, which portion
must be in Principal Amounts at Maturity of $1,000 or an integral multiple of
$1,000 Principal Amount at Maturity; and 

     (C)
that such Security shall be purchased by the
Company as of the Purchase Date pursuant to the terms and conditions specified
in the Securities and in this Indenture.

28

     The book-entry transfer or delivery
of such Security to the Paying Agent with, or at any time after delivery of, the
Purchase Notice (together with all necessary endorsements) at the offices of the
Paying Agent shall be a condition to the receipt by the Holder of the Purchase
Price therefor; provided,
however, that such Purchase Price shall be so
paid pursuant to this Section 3.08(a) only if the Security so delivered to the
Paying Agent shall conform in all respects to the description thereof in the
related Purchase Notice. 

     The Company shall purchase from the
Holder thereof, pursuant to this Section 3.08(a), a portion of a Security, so
long as the Principal Amount at Maturity of such portion is $1,000 Principal
Amount at Maturity or an integral multiple of $1,000 Principal Amount at
Maturity. Provisions of this Indenture that apply to the purchase of all of a
Security also apply to the purchase of such portion of such Security.

     Notwithstanding anything contained
herein to the contrary, any Holder delivering to the Paying Agent the Purchase
Notice contemplated by this Section 3.08(a)(iii) shall have the right to
withdraw such Purchase Notice at any applicable time prior to 5:00 p.m., New
York City time, on the Business Day immediately preceding the Purchase Date by
delivery of a written notice of withdrawal to the Paying Agent in accordance
with Section 3.08(b). 

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

     (b)
Effect of Purchase Notice. Upon receipt by the Paying Agent of the Purchase Notice
specified in Section 3.08(a)(iii), the Holder of the Security in respect of
which such Purchase Notice was given shall (unless such Purchase Notice is
withdrawn as specified in the following paragraph) thereafter be entitled to
receive solely the Purchase Price with respect to such Security. Such Purchase
Price shall be paid to such Holder, subject to receipt of Cash by the Paying
Agent, on the later of (1) the Purchase Date with respect to such Security
(provided
the conditions in Section 3.08(a)(iii) have been satisfied) and (2) the time of
book-entry transfer or delivery of such Security to the Paying Agent by the
Holder thereof in the manner required by Section 3.08(a)(iii). Securities in
respect of which a Purchase Notice has been given by the Holder thereof may not
be converted pursuant to Article 4 on or after the date of the delivery of such
Purchase Notice unless such Purchase Notice has first been validly withdrawn as
specified in the following paragraph. 

     A Purchase Notice may be withdrawn
by means of a written notice of withdrawal delivered to the office of the Paying
Agent in accordance with the Purchase Notice at any time prior to 5:00 p.m., New
York City time, on the Business Day immediately preceding the Purchase Date,
specifying: 

     (i)
the Holder’s name and an election to withdraw
such Purchase Notice; 

     (ii)
the certificate number (if in certificated form)
or the appropriate Depositary procedures, if applicable, of the Security in
respect of which such notice of withdrawal is being submitted; 

29

     (iii)
the Principal Amount at Maturity of the Security
(which must be in an integral multiple of $1,000 Principal Amount at Maturity)
with respect to which such notice of withdrawal is being submitted; and

     (iv)
the Principal Amount at Maturity (which must be
in an integral multiple of $1,000 Principal Amount at Maturity), if any, of such
Security which remains subject to the original Purchase Notice and which has
been or will be delivered for purchase by the Company. 

     (c)
Deposit of Purchase Price. Prior to 12:00 p.m. (noon), New York City time, on the
Purchase Date, the Company shall deposit with the Paying Agent (or if the
Company or a Subsidiary or an Affiliate of any of them is acting as the Paying
Agent, shall segregate and hold in trust as provided in Section 2.04) an amount
of Cash (in immediately available funds if deposited on such Business Day)
sufficient to pay the aggregate Purchase Price of all the Securities or portions
thereof which are to be purchased on the Purchase Date.

     If the Paying Agent (other than the
Company or an Affiliate of the Company) holds, in accordance with the terms
hereof, at 1:00 p.m., New York City time, on the Purchase Date, Cash sufficient
to pay the Purchase Price of any Securities for which a Purchase Notice has been
tendered and not withdrawn pursuant to Section 3.08(b), then, on and after the
Purchase Date, such Securities will cease to be outstanding and interest, if any
(including Additional Interest, if any), on such Securities will cease to
accrue, whether or not such Securities are delivered to the Paying Agent, and
the rights of the Holders in respect thereof shall terminate (other than the
right to receive the Purchase Price upon delivery of such Securities, together
with any necessary endorsement) and the purchased Securities shall be cancelled.

     (d)
Securities Purchased in Part. Any Certificated Security which is to be purchased only in
part shall be surrendered at the office of the Paying Agent (with, if the
Company or the Trustee so requires, due endorsement by, or a written instrument
of transfer in form satisfactory to the Company and the Trustee duly executed
by, the Holder thereof or such Holder’s attorney duly authorized in writing) and
the Company shall execute and the Trustee shall authenticate and deliver to the
Holder of such Security, without charge, a new Security or Securities, of any
authorized denomination as requested by such Holder in aggregate Principal
Amount at Maturity equal to, and in exchange for, the portion of the Principal
Amount at Maturity of the Security so surrendered which is not purchased.

     (e)
Covenant to Comply with Securities Laws upon
Purchase of Securities. When complying with
the provisions of Section 3.08(a) hereof (provided that such offer or purchase
constitutes an “issuer tender offer” for purposes of Rule 13e-4 (which term, as
used herein, includes any successor provision thereto) under the Exchange Act at
the time of such offer or purchase), and subject to any exemptions available
under applicable law, the Company shall: 

     (i)
comply with Rule 13e-4 and Rule 14e-1 (or any
successor provision) under the Exchange Act, as applicable; 

     (ii)
file the related Schedule TO (or any successor
schedule, form or report) under the Exchange Act, as applicable; and

30

     (iii) otherwise comply with all federal and state securities laws so as to
permit the rights and obligations under Section 3.08 to be exercised in the time
and in the manner specified therein. 

    
To the extent that the provisions of any securities laws or regulations
conflict with the provisions of this Section 3.08, the Company’s compliance with
such laws and regulations shall not in and of itself cause a breach of its
obligations under this Section 3.08. 

    
(f) Repayment to the Company. The Paying
Agent shall return to the Company any Cash that remains unclaimed for two years,
together with interest, if any, thereon, held by it for the payment of the
Purchase Price; provided,
however, to the extent that the aggregate
amount of Cash deposited by the Company pursuant to Section 3.08(c) exceeds the
aggregate Purchase Price of the Securities or portions thereof which the Company
is obligated to purchase on the Purchase Date, then, promptly after the Purchase
Date, the Paying Agent shall return any such excess to the Company. 

    
(g) No
Purchase Upon Acceleration. Notwithstanding
anything herein to the contrary, there shall be no purchase of any Securities
pursuant to this Section 3.08 if the principal amount of the Securities has been
accelerated, and such acceleration has not been rescinded, on or prior to the
Purchase Date (except in the case of an acceleration resulting from a default by
the Company in the payment of the Purchase Price with respect to such
Securities).

    
Section 3.09 Purchase of Securities at Option of the Holder Upon Fundamental
Change. (a) Fundamental Change Put. (i)
General. In the event any Fundamental Change shall occur, each Holder of
Securities shall have the right (the “Fundamental Change Purchase Right”),
at such Holder’s option, to require the Company to purchase all of such Holder’s
Securities (or portions thereof that are integral multiples of $1,000 in
Principal Amount at Maturity), on a date selected by the Company (the
“Fundamental Change Purchase
Date”), which Fundamental Change Purchase
Date shall be no later than forty (40) Scheduled Trading Days, and no earlier
than twenty-five (25) Scheduled Trading Days, after the date the Fundamental
Change Company Notice is mailed in accordance with Section 3.09(a)(ii), at a
price, payable in Cash equal to 100% of the Principal Amount at Maturity of the
Securities (or portions thereof) to be so purchased, plus accrued and unpaid interest, if
any (including Additional Interest, if any), to, but excluding, the Fundamental
Change Purchase Date (the “Fundamental Change
Purchase Price”); provided, however, that if a Fundamental Change
Purchase Date falls after a Regular Record Date and on or prior to the
corresponding Interest Payment Date, the Company shall pay the full amount of
accrued and unpaid interest, if any (including Additional Interest, if any), on
such Interest Payment Date to the Holder of record at the close of business on
the corresponding Regular Record Date, which may or may not be the same Person
to whom the Company will pay the Fundamental Change Purchase Price, and the
Fundamental Change Purchase Price will be 100% of the Principal Amount at
Maturity of the Securities purchased. 

31 

     (ii)
Notice of Fundamental
Change. No later than five Business Days
after the occurrence of a Fundamental Change the Company shall mail a written
notice of such occurrence (the “Fundamental
Change Company Notice”) by first class mail
to the Trustee and to each Holder (and to beneficial owners as required by
applicable law), shall publish such
Fundamental Change Company Notice on the Company’s website and shall publicly
announce the occurrence of such Fundamental Change through a reputable newswire
service. The notice shall include a form of notice to be completed by the Holder
in the event the Holder elects such right to purchase pursuant to this Section
3.09 (the “Fundamental Change Purchase
Notice”) and shall briefly state, as
applicable: 

     (A)
the events causing a Fundamental Change and the
date of such Fundamental Change; 

     (B)
that the Holder has a right to require the
Company to purchase the Holder’s Securities; 

     (C)
the date by which the Fundamental Change Purchase
Notice must be delivered to the Paying Agent in order for a Holder to exercise
the Fundamental Change Purchase Right; 

     (D)
the Fundamental Change Purchase Date; 

     (E)
the Fundamental Change Purchase Price;

     (F)
the name and address of the Paying Agent and the
Conversion Agent; 

     (G)
the Conversion Rate applicable on the date of the
Fundamental Change Company Notice and any adjustments to the Conversion Rate
that will result from the Fundamental Change; 

     (H)
that the Securities as to which a Fundamental
Change Purchase Notice has been given may be converted if they are otherwise
convertible pursuant to Article 4 only if the Fundamental Change Purchase Notice
has been withdrawn in accordance with the terms of this Indenture; 

     (I)
that the Securities must be surrendered to the
Paying Agent to collect payment; 

     (J)
that the Fundamental Change Purchase Price for
any Security as to which a Fundamental Change Purchase Notice has been duly
given and not withdrawn will be paid on the later of the Fundamental Change
Purchase Date and the time of surrender of such Security with the necessary
endorsements; 

     (K)
the procedures the Holder must follow to exercise
its put right under this Section 3.09(a); 

     (L)
the conversion rights, if any, of the Securities;

     (M)
the procedures for withdrawing a Fundamental
Change Purchase Notice; 

32 

     (N)
that, unless the Company defaults in making
payment of such Fundamental Change Purchase Price, interest, if any (including
Additional Interest, if any), on Securities surrendered for purchase by the
Company will cease to accrue on and after the Fundamental Change Purchase Date;
and 

     (O)
the CUSIP number(s) of the Securities.

    
At the Company’s request, the Trustee shall give the Fundamental Change
Company Notice in the Company’s name and at the Company’s expense;
provided,
however,
the Company makes such request at least three Business Days (unless a shorter
period shall be satisfactory to the Trustee) prior to the date by which such
Fundamental Change Company Notice must be given to the Holders in accordance
with this Section 3.09(a)(ii); provided, further, that the text of the
Fundamental Change Company Notice shall be prepared by the Company. 

     (iii)
Fundamental Change Purchase
Notice. A Holder may exercise its right
specified in Section 3.09(a)(i) upon delivery of a properly completed
Fundamental Change Purchase Notice to the Paying Agent at any time from the
opening of business on the date of the Fundamental Change Company Notice until
5:00 p.m., New York City time, on the Business Day immediately preceding the
Fundamental Change Purchase Date, stating: 

     (A)
the certificate number of the Security which the
Holder will deliver to be purchased or the appropriate Depositary procedures if
Certificated Securities have not been issued; 

     (B)
the portion of the Principal Amount at Maturity
of the Security which the Holder will deliver to be purchased, which portion
must be $1,000 or an integral multiple of $1,000 Principal Amount at Maturity;
and 

     (C)
that such Security shall be purchased on the
Fundamental Change Purchase Date pursuant to the terms and conditions specified
in the Securities and in this Indenture. 

    
The book-entry transfer or delivery of such Security to the Paying Agent
with, or at any time after delivery of, the Fundamental Change Purchase Notice
(together with all necessary endorsements) at the offices of the Paying Agent
shall be a condition to the receipt by the Holder of the Fundamental Change
Purchase Price therefor; provided, however, that such Fundamental Change
Purchase Price shall be so paid pursuant to this Section 3.09(a) only if the
Security so delivered to the Paying Agent shall conform in all respects to the
description thereof set forth in the related Fundamental Change Purchase Notice.

    
The Company shall purchase from the Holder thereof, pursuant to this
Section 3.09(a), a portion of a Security, so long as the Principal Amount at
Maturity of such portion is $1,000 or an integral multiple of $1,000 Principal
Amount at Maturity. Provisions of this Indenture that apply to the purchase of
all of a Security also apply to the purchase of such portion of such Security.

    
Notwithstanding anything contained herein to the contrary, any Holder
delivering to the Paying Agent the Fundamental Change Purchase Notice
contemplated by this Section 3.09(a)(iii) shall have the
right to withdraw such Fundamental Change Purchase Notice at any time prior to
5:00 p.m., New York City time, on the Business Day immediately preceding the
Fundamental Change Purchase Date by delivery of a written notice of withdrawal
to the Paying Agent in accordance with Section 3.09(b).

33 

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

    
(b) Effect of Fundamental Change Purchase Notice. Upon receipt by the Paying Agent of the Fundamental Change Purchase
Notice specified in Section 3.09(a)(iii), the Holder of the Security in respect
of which such Fundamental Change Purchase Notice was given shall (unless such
Fundamental Change Purchase Notice is withdrawn as specified in the following
paragraph) thereafter be entitled to receive solely the Fundamental Change
Purchase Price with respect to such Security. Such Fundamental Change Purchase
Price shall be paid to such Holder, subject to receipt of Cash by the Paying
Agent from the Company, on the later of (1) the Fundamental Change Purchase Date
with respect to such Security (provided the conditions in Section 3.09(a)(iii)
have been satisfied) and (2) the time of book-entry transfer or delivery of such
Security to the Paying Agent by the Holder thereof in the manner required by
Section 3.09(a)(iii). Securities in respect of which a Fundamental Change
Purchase Notice has been given by the Holder thereof may not be converted
pursuant to Article 4 on or after the date of the delivery of such Fundamental
Change Purchase Notice unless such Fundamental Change Purchase Notice has first
been validly withdrawn as specified in the following paragraph. 

    
A Fundamental Change Purchase Notice may be withdrawn by means of a
written notice of withdrawal delivered to the office of the Paying Agent in
accordance with the Fundamental Change Purchase Notice at any time prior to 5:00
p.m., New York City time, on the Business Day immediately preceding the
Fundamental Change Purchase Date, specifying: 

     (i)
the Holder’s name and election to withdraw such
Fundamental Change Purchase Notice; 

     (ii)
the Principal Amount at Maturity of the Security
(which must be in an integral multiple of $1,000 Principal Amount at Maturity)
with respect to which such notice of withdrawal is being submitted; 

     (iii)
the certificate number (if in certificated form)
or the appropriate Depository procedures, if applicable, of the Security in
respect of which such notice of withdrawal is being submitted; and 

     (iv)
the Principal Amount at Maturity (which must be
in an integral multiple of $1,000 Principal Amount at Maturity), if any, of such
Security which remains subject to the original Fundamental Change Purchase
Notice and which has been or will be delivered for purchase by the Company.

    
(c) Deposit of Fundamental Change Purchase Price. Prior to 12:00 p.m. (noon), New York City time, on the applicable
Fundamental Change Purchase Date, the Company shall deposit with the Paying
Agent (or if the Company or a Subsidiary or an Affiliate of any of them is
acting as the Paying Agent, shall segregate and hold in trust as provided in
Section 2.04) an amount of Cash (in immediately available
funds if deposited on such Business Day) sufficient to pay the aggregate
Fundamental Change Purchase Price of all the Securities or portions thereof
which are to be purchased on such Fundamental Change Purchase Date.

34 

    
If the Paying Agent holds, in accordance with the terms hereof, at 12:00
p.m. (noon), New York City time, on the applicable Fundamental Change Purchase
Date, Cash sufficient to pay the Fundamental Change Purchase Price of any
Securities for which a Fundamental Change Purchase Notice has been tendered and
not withdrawn pursuant to Section 3.09(b), then, on and after such Fundamental
Change Purchase Date, such Securities shall cease to be outstanding and
interest, if any (including Additional Interest, if any), on such Securities
shall cease to accrue, whether or not such Securities are delivered to the
Paying Agent, and the rights of the Holders in respect thereof shall terminate
(other than the right to receive the Fundamental Change Purchase Price upon
delivery of such Securities, together with necessary endorsements) and the
purchased Securities will be cancelled. 

    
(d) Securities Purchased in Part. Any
Certificated Security which is to be purchased only in part shall be surrendered
at the office of the Paying Agent (with, if the Company or the Trustee so
requires, due endorsement by, or a written instrument of transfer in form
satisfactory to the Company and the Trustee duly executed by, the Holder thereof
or such Holder’s attorney duly authorized in writing) and the Company shall
execute and the Trustee shall authenticate and deliver to the Holder of such
Security, without charge, a new Security or Securities, of any authorized
denomination as requested by such Holder in aggregate Principal Amount at
Maturity equal to, and in exchange for, the portion of the Principal Amount at
Maturity of the Security so surrendered which is not purchased. 

    
(e) Covenant to Comply With Securities Laws upon Purchase of
Securities. When complying with the
provisions of Section 3.09(a) hereof (provided that such offer or purchase
constitutes an “issuer tender offer” for purposes of Rule 13e-4 (which term, as
used herein, includes any successor provision thereto) under the Exchange Act at
the time of such offer or purchase), and subject to any exemptions available
under applicable law, the Company shall: 

     (i)
comply with Rule 13e-4 and Rule 14e-1 (or any
successor provision) under the Exchange Act, as applicable; 

     (ii)
file the related Schedule TO (or any successor
schedule, form or report) under the Exchange Act, as applicable; and 

     (iii)
otherwise comply with all federal and state
securities laws so as to permit the rights and obligations under this Section
3.09 to be exercised in the time and in the manner specified therein.

    
To the extent that the provisions of any securities laws or regulations
conflict with the provisions of this Section 3.09, the Company’s compliance with
such laws and regulations shall not in and of itself cause a breach of its
obligations under this Section 3.09. 

    
(f) Repayment to the Company. The Paying
Agent shall return to the Company any Cash that remains unclaimed for two years,
together with interest, if any, thereon, held by it for the payment of the
Fundamental Change Purchase Price; provided, however, to the extent that
the aggregate amount of Cash deposited by the Company
pursuant to Section 3.09(c) exceeds the aggregate Fundamental Change Purchase
Price of the Securities or portions thereof which the Company is obligated to
purchase as of the Fundamental Change Purchase Date then, promptly after the
Fundamental Change Purchase Date, the Paying Agent shall return any such excess
to the Company. 

35 

    
(g) No Purchase of the Securities Upon Occurrence of
Acceleration. Notwithstanding anything herein to the contrary, no Securities may be
purchased by the Company at the option of the Holders upon a Fundamental Change
if the principal amount of the Securities has been accelerated, and such
acceleration has not been rescinded, on or prior to the Fundamental Change
Purchase Date (except in the case of an acceleration resulting from a default by
the Company in the payment of the Fundamental Change Purchase Price with respect
to such Securities). 

ARTICLE 4
Conversion

    
Section 4.01 Conversion Privilege. (a)
Subject to and upon compliance with the provisions of this Article 4, a Holder
of a Security shall have the right, at such Holder’s option, to convert all or
any portion (if the portion to be converted is $1,000 Principal Amount at
Maturity or an integral multiple of $1,000 Principal Amount at Maturity) of such
Security into the consideration described in Section 4.02(b) (the
“Conversion Obligation”), only as follows: 

     (i)
prior to June 1, 2025, or earlier redemption or
purchase, during any calendar quarter (and only during that calendar quarter)
after the calendar quarter ending December 31, 2012, if the Closing Sale Price
of the Common Stock for each of 20 or more Trading Days (whether or not
consecutive) in the period of 30 consecutive Trading Days ending on the last
Trading Day of the immediately preceding calendar quarter exceeds 120% of the
Applicable Conversion Price in effect on the last Trading Day of such
immediately preceding calendar quarter. The Chief Financial Officer of the
Company will make appropriate adjustments, in its good faith determination, to
account for any adjustment to the Conversion Rate that becomes effective, or any
event requiring an adjustment to the Conversion Rate where the Ex-Dividend Date
of the event occurs, during that 30 consecutive Trading Day period; 

     (ii)
prior to June 1, 2025, or earlier redemption or
purchase, during the five Business Day period after any five consecutive Trading
Day period (the “Note Measurement
Period”) in which the Trading Price per
$1,000 Principal Amount at Maturity of Securities for each Trading Day in such
Note Measurement Period, as determined following a request by a Holder of
Securities, was equal to or less than 97% of the Conversion Value on each such
Trading Day during such Note Measurement Period (the “Trading Price Condition”); 

     (iii)
prior to June 1, 2025, if the Securities have
been called for redemption, at any time on or after the date on which a notice
of redemption referred to in Section 3.03 of this Indenture has been given until
the close of business on the Business Day immediately preceding the Redemption
Date; and

36 

     (iv)
at any time on or after June 1, 2025 and prior to
the close of business on the Business Day immediately preceding the Final
Maturity Date. 

    
(b) In
addition, if, prior to June 1, 2025, the Company distributes to all holders of
the Common Stock: 

     (i)
rights, warrants or options entitling such
holders, for a period expiring within 60 days of the Record Date for such
distribution, to purchase or subscribe for shares of the Common Stock at a price
less than the Current Market Price of the Common Stock on the declaration date
for such distribution; or 

     (ii)
assets, debt securities or rights to purchase
securities of the Company, which distribution has a value per share of Common
Stock exceeding 10% of the Closing Sale Price of the Common Stock on the day
preceding the declaration date for such distribution; 

then the Company must notify the
Securityholders at least 25 Scheduled Trading Days prior to the Ex-Dividend Date
for such distribution. Once the Company has given such notice, Securityholders
may surrender their Securities for conversion at any time until the earlier of
the close of business on the Business Day prior to the Ex-Dividend Date (or, in
the case of a Spin-Off, the twenty-sixth Trading Day immediately following, and
including, the Ex-Dividend Date for such Spin-Off) or any announcement by the
Company that such distribution will not take place. No Holder may exercise its
right to convert pursuant to this Section 4.01(b) if the Holder otherwise will
participate in the distribution without conversion as if such Holder held a
number of shares of Common Stock equal to the Conversion Rate for each $1,000
Principal Amount at Maturity of Securities it holds. 

    
(c) In
addition, if, prior to June 1, 2025: 

     (i)
the Company is party to a Specified Transaction,
a Securityholder may surrender its Securities for conversion at any time from
and after the date that is 25 Scheduled Trading Days prior to the anticipated
effective date of such Specified Transaction until 30 Trading Days after the
actual effective date of such Specified Transaction (unless the Specified
Transaction also constitutes a Make-Whole Fundamental Change, in which case the
Securities will be convertible as described in clause (ii) below); or

     (ii)
a Fundamental Change or Make-Whole Fundamental
Change occurs, Securityholders may surrender their Securities for conversion at
any time during the period from the effective date of any such Fundamental
Change or Make-Whole Fundamental Change, as the case may be, to the close of
business on the Business Day immediately preceding the Fundamental Change
Purchase Date corresponding to such Fundamental Change or Make-Whole Fundamental
Change (or, in the case of a Make-Whole Fundamental Change that does not
constitute a Fundamental Change solely by virtue of sub-clause (i) of clause (c)
of the definition of Change in Control relating to beneficial ownership of the
surviving or continuing corporation’s Voting Stock, 30 Trading Days after the date on which such Make-Whole Fundamental Change
is effective).

37

    
The Company must give notice to all Securityholders and to the Trustee at
least 30 Scheduled Trading Days prior to the anticipated effective date of any
Specified Transaction and at least 25 Scheduled Trading Days prior to the
anticipated effective date of any event described in clause (ii) above.

    
(d) The Company shall determine at the end of each applicable period whether
the Securities shall be convertible as a result of the occurrence of an event
specified in this Section 4.01 and, if the Securities shall be so convertible,
the Company shall promptly deliver to the Conversion Agent and the Trustee
written notice thereof. Whenever the Securities shall become convertible
pursuant to Section 4.01, the Company or, at the Company’s request, the Trustee
in the name and at the expense of the Company, shall notify the Holders in
writing of the event triggering such convertibility in the manner provided in
Section 4.02, and the Company shall also publicly announce such information and
publish it on the Company’s website. Any notice so given shall be conclusively
presumed to have been duly given, whether or not the Holder receives such
notice. 

    
Section 4.02 Conversion Procedure; Conversion Rate; Fractional Shares;
Settlement in Cash in Lieu of Common Stock.
(a) Before any Holder of a Security shall be entitled to convert the same into
the consideration described in Section 4.02(b), such Holder shall, in the case
of Global Securities, comply with the procedures of the Depositary in effect at
that time, and in the case of Certificated Securities, surrender such
Securities, duly endorsed to the Company or in blank, at the office of the
Conversion Agent, and shall give written notice to the Company at said office or
place in the form of the Conversion Notice attached to the Security (the
“Conversion Notice”) that such Holder elects to convert the same and shall state in writing
therein the Principal Amount at Maturity of Securities to be converted and the
name or names (with addresses) in which such Holder wishes the certificate or
certificates for Common Stock, if any, to be issued. Before any such conversion,
a Holder also shall pay all funds required, if any, relating to interest on the
Securities, as provided in Section 4.09, and all taxes or duties, if any, as
provided in Section 4.08. A Security shall be deemed to have been converted
immediately before the close of business on the date on which all of the
foregoing requirements have been satisfied (such date, the “Conversion Date”), and,
except as set forth in Section 4.02(c), all rights of the Holder of such
Security shall terminate, other than the right to receive the consideration
deliverable upon conversion of such Security as provided herein. 

    
(b) (i) Subject to satisfaction of the conditions set forth in Section 4.01
and the provisions of Section 4.04, Holders surrendering Securities for
conversion shall be entitled to receive, per Security, Cash and, if applicable,
shares of Common Stock, the aggregate value of which (the “Conversion Value”) shall be
equal to the product of (x) the Conversion Rate in effect on the Conversion
Date, and
(y) the Relevant Average Price Per Share. 

38 

     (ii)
The Company shall deliver the Conversion Value of
the Securities surrendered for conversion to converting Holders as follows:

     (A)
an amount in Cash (the “Principal Return”) equal to
the lesser of (I) the aggregate Conversion Value of the Securities to be
converted and (II) the aggregate Principal Amount at Maturity of the Securities
to be converted;

     (B)
if the aggregate Conversion Value of the
Securities to be converted is greater than the aggregate Principal Amount at
Maturity of such Securities, at the Company’s election and subject to Section
4.02(b)(v), (a) Cash equal to the difference between the aggregate Conversion
Value of the Securities to be converted and the aggregate Principal Amount at
Maturity of such Securities (such difference, the “Net Share Amount”), (b) a number of
whole shares of Common Stock (the “Net
Shares”), equal to the relevant Net Share
Amount, divided by the Relevant Average Price Per Share, or (c) a combination thereof;
and 

     (C)
an amount in Cash in lieu of any fractional
shares of Common Stock calculated based on the Relevant Average Price Per Share.

     (iii)
If the Company elects to satisfy any portion of
the Net Share Amount for any conversion in Cash, the Company shall notify
Holders through the Trustee of the dollar amount to be satisfied in Cash (which
must be expressed either as 100% of the Net Share Amount for such conversion or
as a fixed dollar amount (any such fixed dollar amount, the “Specified Cash Amount”)) at
any time on or before the date that is two Trading Days following receipt of the
relevant Conversion Notice. If the Company does not timely make such an election
for any conversion, the Company shall satisfy the Net Share Amount for such
conversion in whole shares of Common Stock and an amount in Cash in lieu of any
fractional shares of Common Stock, subject to Section 4.02(b)(v). 

     (iv)
If the aggregate Conversion Value of the
Securities to be converted is greater than the aggregate Principal Amount at
Maturity of such Securities and:

     (A)
the Company elects to deliver solely shares of
Common Stock to satisfy the Net Share Amount for any conversion, subject to
Section 4.02(b)(v), the number of Net Shares to be delivered by the Company to
the converting Holder will be determined by dividing the Net Share Amount for
such conversion by the Relevant Average Price Per Share; 

     (B)
the Company elects to pay solely Cash to satisfy
the Net Share Amount for any conversion, in addition to the Principal Return,
the Company shall pay Cash to the converting Holder in an amount equal to the
Net Share Amount for such conversion; and 

     (C)
the Company elects to satisfy some but not all of
the Net Share Amount for any conversion in Cash, subject to Section 4.02(b)(v),
(I) the Company shall pay to the converting Holder Cash in an amount equal to
the lesser of (1) the Net Share Amount for such conversion and (2) the Specified
Cash Amount, and (II) the Company shall deliver to the converting Holder a
number of shares of Common Stock equal to the greater of (1) zero and (2) (a)
(i) the Net Share Amount for such conversion,
minus (ii)
the Specified Cash Amount divided by (b) the Relevant Average
Price Per Share. 

39 

     (v)
In no event will the number of shares of Common
Stock delivered upon conversion exceed the Conversion Share Cap. The Company
shall not be obligated to make any payment of Cash for any Net Share Amount in
excess of the value of the number of shares of Common Stock equal to the
Conversion Share Cap, other than Cash payments in lieu of fractional shares of
Common Stock. 

     (vi)
The Conversion Value, Principal Return, Net Share
Amount, the number of shares of Common Stock to be delivered to a Holder upon
conversion, if any, and the aggregate amount of Cash payable in connection with
any conversion will be determined by the Company at the end of the Twenty Day
Averaging Period (the “Determination
Date”). The Company shall pay any Cash due
upon conversion (including the Principal Return, any Cash in respect of the Net
Share Amount for any conversion and Cash in lieu of fractional shares) and shall
deliver the Common Stock, if any, due upon conversion as promptly as practicable
after the Determination Date, but in no event later than three Business Days
thereafter. 

    
(c) From and after the date on which the Company delivers shares of Common
Stock, if any, to a converting holder pursuant to subsection (b)(v) of this
Section 4.02, the person in whose name any certificate representing Common Stock
issued pursuant to this Section 4.02, if any, is to be registered shall be
treated as a stockholder of record of the Company. A Holder of Securities is not
entitled, as such, to any rights of a holder of Common Stock until such Holder
has converted its Securities into shares of Common Stock (to the extent such
Securities are convertible into shares of Common Stock) and is deemed to be a
stockholder of record of the Company, as provided in this Section 4.02(c);
provided
that the amount of consideration due upon conversion shall be appropriately
adjusted to take into account the occurrence during the relevant Twenty Day
Averaging Period of stock splits and similar events. 

    
(d) If
a Holder converts more than one Security at a time, the number of full shares of
Common Stock issuable upon such conversion, if any, shall be based on the
aggregate Principal Amount at Maturity of the Securities converted. 

    
(e) In
case any Certificated Security shall be surrendered for partial conversion, the
Company shall execute and the Trustee shall, upon the written order of the
Company, authenticate and deliver to the Holder of the Security so surrendered,
without charge to such Holder (subject to the provisions of Section 4.08
hereof), a new Security or Securities in authorized denominations in an
aggregate Principal Amount at Maturity equal to the unconverted portion of the
surrendered Certificated Securities. 

    
(f) If
the last day on which a Security may be converted is a Legal Holiday in a place
where a Conversion Agent is located, the Security may be surrendered to that
Conversion Agent on the next succeeding day that is not a Legal Holiday.

40 

    
(g) [Reserved.] 

    
(h) Delivery of shares of Common Stock, if any, in respect of conversion to a
Holder of a Security upon conversion of such Security shall be accomplished by
delivery to the Conversion Agent of certificates for the relevant number of
shares, if any, other than in the case of Holders of Securities in book-entry
form with the Depositary, which shares shall be delivered in accordance with the
Depositary’s customary practices and delivery of Cash in respect of conversion
shall be accomplished by delivery of such Cash to the Conversion Agent or the
Depositary, as applicable, for delivery to the Holder. 

    
(i) If
a Holder exercises its right to require the Company to purchase the Securities
as described in Article 3, such Holder may convert its Securities as provided
above only if it withdraws its Purchase Notice or Fundamental Change Purchase
Notice, as the case may be, and converts its Securities prior to the close of
business on the Business Day immediately preceding the Purchase Date or
Fundamental Change Purchase Date, as the case may be. 

    
(j) Whenever any event described in Section 4.01 shall occur which shall
cause the Securities to become convertible as provided in this Article 4, the
Company shall promptly deliver, in accordance with Section 12.02, written notice
of the convertibility of the Securities to the Trustee and each Holder and to
the Conversion Agent for the benefit of the Holders, and shall, as soon as
practicable, publicly announce that the Securities have become convertible. Such
written notice and public announcement shall include: 

     (i)
a description of such event; 

     (ii)
a description of the periods during which the
Securities shall be convertible as provided in this Article 4 as a result of
such event; 

     (iii)
a statement of whether an adjustment to the
Conversion Rate shall take effect in respect of such event pursuant to Section
4.13(b); and 

     (iv)
the procedures Holders must follow to convert
their Securities in accordance with this Article 4, including the name and
address of the Conversion Agent. 

    
Section 4.03 Adjustment of Conversion Rate for Common Stock. The Conversion Rate shall be adjusted by the Company from
time to time as follows: 

    
(a) In
case the Company shall, at any time or from time to time while any of the
Securities are outstanding, pay a dividend or make a distribution in shares of
Common Stock to all holders of its outstanding shares of Common Stock, then the
Conversion Rate in effect at the opening of business on the Ex-Dividend Date for
such dividend or distribution shall be increased by multiplying such Conversion
Rate by a fraction: 

     (i)
the numerator of which shall be the sum of the
number of shares of Common Stock outstanding at the close of business on the
Business Day immediately preceding the Ex-Dividend Date for such dividend or
distribution, plus the total number of shares constituting such dividend or other
distribution; and 

41 

     (ii)
the denominator of which shall be the number of
shares of Common Stock outstanding at the close of business on the Business Day
immediately preceding such Ex-Dividend Date. 

    
Such increase shall become effective immediately after the opening of
business on the Ex-Dividend Date fixed for such dividend or distribution.

    
If any dividend or distribution of the type described in this Section
4.03(a) is declared but not so paid or made, the Conversion Rate shall again be
adjusted to the Conversion Rate which would then be in effect if such dividend
or distribution had not been declared. In no event shall the Conversion Rate be
decreased pursuant to this Section 4.03(a). 

    
(b) In
case the Company shall, at any time or from time to time while any of the
Securities are outstanding, subdivide its outstanding shares of Common Stock
into a greater number of shares of Common Stock, then the Conversion Rate in
effect at the opening of business on the day upon which such subdivision becomes
effective shall be proportionately increased, and conversely, in case the
Company shall, at any time or from time to time while any of the Securities are
outstanding, combine its outstanding shares of Common Stock into a smaller
number of shares of Common Stock, then the Conversion Rate in effect at the
opening of business on the day upon which such combination becomes effective
shall be proportionately decreased. In each such case, the Conversion Rate shall
be adjusted by multiplying such Conversion Rate by a fraction, the numerator of
which shall be the number of shares of Common Stock outstanding immediately
after giving effect to such subdivision or combination and the denominator of
which shall be the number of shares of Common Stock outstanding immediately
prior to such subdivision or combination. Such increase or reduction, as the
case may be, shall become effective immediately after the opening of business on
the day upon which such subdivision or combination becomes effective.

    
(c) In
case the Company shall, at any time or from time to time while any of the
Securities are outstanding, distribute rights, warrants or options for a period
expiring within 60 days after the Record Date of such issuance (other than any
rights, warrants or options issued pursuant to any future rights agreement
adopted by the Company), to all holders of its shares of Common Stock entitling
them to subscribe for or purchase shares of Common Stock, at a price per share
less than the Current Market Price of the Common Stock on the declaration date
for such distribution, then the Conversion Rate shall be adjusted so that the
same shall equal the rate determined by multiplying the Conversion Rate in
effect at the opening of business on the Ex-Dividend Date for such distribution
by a fraction: 

     (i)
the numerator of which shall be the number of
shares of Common Stock outstanding at the close of business on the Business Day
immediately preceding the Ex-Dividend Date for such distribution,
plus the
total number of additional shares of Common Stock so offered for subscription or
purchase; and 

     (ii)
the denominator of which shall be the number of
shares of Common Stock outstanding on the close of business on the Business Day
immediately preceding the Ex-Dividend Date for such distribution,
plus the
number of shares of Common Stock which the aggregate offering price of the total
number of shares of Common Stock so offered for subscription
or purchase would purchase at the Current Market Price of the Common Stock on
the declaration date for such distribution (determined by multiplying such total
number of shares of Common Stock so offered by the exercise price of such
rights, warrants or options and dividing the product so obtained by such Current
Market Price).

42 

    
Such adjustment shall become effective immediately after the opening of
business on the Ex-Dividend Date for such distribution. 

    
To the extent that shares of Common Stock are not delivered pursuant to
such rights, warrants or options, upon the expiration or termination of such
rights, warrants or options, the Conversion Rate shall be readjusted to the
Conversion Rate which would then be in effect had the adjustments made upon the
issuance of such rights, warrants or options been made on the basis of the
delivery of only the number of shares of Common Stock actually delivered. In the
event that such rights, warrants or options are not so distributed, the
Conversion Rate shall again be adjusted to be the Conversion Rate which would
then be in effect if the Ex-Dividend Date for such distribution had not
occurred. In determining whether any rights, warrants or options entitle the
holders to subscribe for or purchase shares of Common Stock at less than such
Current Market Price, and in determining the aggregate offering price of such
shares of Common Stock, there shall be taken into account any consideration
received for such rights, warrants or options and the value of such
consideration if other than Cash, to be determined in good faith by the Board of
Directors or the Chief Financial Officer of the Company. In no event shall the
Conversion Rate be decreased pursuant to this
Section 4.03(c). 

    
(d) In
case the Company shall, at any time or from time to time while any of the
Securities are outstanding, by dividend or otherwise, distribute to all holders
of its shares of Common Stock (including any such distribution made in
connection with a consolidation or merger in which the Company is the continuing
corporation and the Common Stock is not changed or exchanged), shares of its
Capital Stock (other than any dividends or distributions to which Section
4.03(a) applies), evidences of its indebtedness or other assets, including
securities, but excluding (x) any rights or warrants referred to in Section
4.03(c), (y) rights or warrants distributed pursuant to any future rights
agreement adopted by the Company, and (z) dividends and distributions paid
exclusively in Cash (such Capital Stock, evidence of its indebtedness, other
non-Cash assets or securities being distributed hereinafter in this Section
4.03(d) called the “distributed
assets”), then, in each such case, subject to
the other provisions of this Section 4.03(d), the Conversion Rate shall be
increased so that the same shall be equal to the rate determined by multiplying
the Conversion Rate in effect immediately prior to the opening of business on
the Ex-Dividend Date for such distribution by a fraction: 

     (i)
the numerator of which shall be the Current
Market Price of the Common Stock; and 

     (ii)
the denominator of which shall be such Current
Market Price of the Common Stock, less the Fair Market Value on such date of the
portion of the distributed assets so distributed applicable to one share of
Common Stock (determined on the basis of the number of shares of Common Stock
outstanding on such Ex-Dividend Date) (determined as provided in Section
4.03(g)). 

43 

    
Such increase shall become effective immediately after the opening of
business on the Ex-Dividend Date for such dividend or distribution. In the event
that such dividend or distribution is not so paid or made, the Conversion Rate
shall again be adjusted to be the Conversion Rate which would then be in effect
if such dividend or distribution had not been declared. 

    
If the Board of Directors or the Chief Financial Officer of the Company
determines the Fair Market Value of any distribution for purposes of this
Section 4.03(d) by reference to the actual or when issued trading market for any
distributed assets comprising all or part of such distribution, it must in doing
so consider the prices in such market over the same period (the “Reference Period”) used in
computing the Current Market Price pursuant to Section 4.03(g) to the extent
possible, unless the Board of Directors or the Chief Financial Officer of the
Company determines in good faith that determining the Fair Market Value during
the Reference Period would not be in the best interest of the Holders.

    
Notwithstanding the foregoing, if the distributed assets distributed by
the Company to all holders of the Common Stock consist of capital stock of, or
similar equity interests in, a Subsidiary or other business unit of the Company
(a “Spin-Off”), the Conversion Rate shall be increased so that the same shall be
equal to the rate determined by multiplying the Conversion Rate in effect
immediately prior to the opening of business on the twenty-fifth Trading Day
following the Ex-Dividend Date for such distribution by a fraction, 

     (i)
the numerator of which shall be the sum of (A)
the average of the Closing Sale Prices of the Common Stock for the twenty
consecutive Trading Days commencing on and including the fifth Trading Day after
the Ex-Dividend Date for such distribution on The New York Stock Exchange or
such other national or regional exchange or market on which such securities are
then listed or quoted, plus (B) the average Closing Sale Prices of the securities
distributed in respect of each share of Common Stock for the twenty consecutive
Trading Days commencing on and including the fifth Trading Day after such
Ex-Dividend Date; and

     (ii)
the denominator of which shall be the average of
the Closing Sale Prices of the Common Stock for the twenty consecutive Trading
Days commencing on and including the fifth Trading Day after such Ex-Dividend
Date. 

Such adjustment shall become effective immediately after the opening of
business on the twenty-fifth Trading Day following the Ex-Dividend Date for such
distribution. 

44 

    
Rights or warrants distributed by the Company to all holders of Common
Stock entitling the holders thereof to subscribe for or purchase shares of the
Company’s capital stock (either initially or under certain circumstances), which
rights, options or warrants, until the occurrence of a specified event or events
(“Trigger Event”):
(i) are deemed to be transferred with such shares of Common Stock; (ii) are not
exercisable; and (iii) are also issued in respect of future issuances of Common
Stock, shall be deemed not to have been distributed for purposes of this Section
4.03 (and no adjustment to the Conversion Rate under this Section 4.03 will be
required) until the occurrence of the earliest Trigger Event, whereupon such
rights, options and warrants shall be deemed to have been distributed and an
appropriate adjustment (if any is required) to the Conversion Rate shall be made under this Section 4.03(d),
except as set forth in Section 4.14. If any such right, option or warrant,
including any such existing rights, options or warrants distributed prior to the
date of this Indenture, are subject to events, upon the occurrence of which such
rights, options or warrants become exercisable to purchase different securities,
evidences of indebtedness or other assets, then the date of the occurrence of
any and each such event shall be deemed to be the date of distribution and
record date with respect to new rights, options or warrants with such rights
(and a termination or expiration of the existing rights, options or warrants
without exercise by any of the holders thereof), except as set forth in Section
4.14. In addition, except as set forth in Section 4.14, in the event of any
distribution (or deemed distribution) of rights, options or warrants, or any
Trigger Event or other event (of the type described in the preceding sentence)
with respect thereto that was counted for purposes of calculating a distribution
amount for which an adjustment to the Conversion Rate under this Section 4.03
was made (including any adjustment contemplated in Section 4.14), (1) in the
case of any such rights, options or warrants that shall all have been redeemed
or repurchased without exercise by any holders thereof, the Conversion Rate
shall be readjusted upon such final redemption or repurchase to give effect to
such distribution or Trigger Event, as the case may be, as though it were a Cash
distribution, equal to the per share redemption or repurchase price received by
a holder or holders of Common Stock with respect to such rights, options or
warrants (assuming such holder had retained such rights, options or warrants),
made to all holders of Common Stock as of the date of such redemption or
repurchase, and (2) in the case of such rights, options or warrants that shall
have expired or been terminated without exercise by any holders thereof, the
Conversion Rate shall be readjusted as if such rights, options and warrants had
not been issued. 

    
For purposes of Section 4.03(d), Section 4.03(a) and Section 4.03(c), any
dividend or distribution to which this Section 4.03(d) is applicable that also
includes shares of Common Stock, or rights, options or warrants to subscribe for
or purchase shares of Common Stock (or both), shall be deemed instead to be (1)
a dividend or distribution of the evidences of indebtedness, assets or shares of
capital stock other than such shares of Common Stock or rights, options or
warrants (and any Conversion Rate adjustment required by this Section 4.03(d)
with respect to such dividend or distribution shall then be made) immediately
followed by (2) a dividend or distribution of such shares of Common Stock or
such rights, options or warrants (and any further Conversion Rate adjustment
required by Section 4.03(a) and Section 4.03(c) with respect to such dividend or
distribution shall then be made), except any shares of Common Stock included in
such dividend or distribution shall not be deemed “outstanding at the close of
business on the Business Day immediately preceding such Ex-Dividend Date” within
the meaning of Section 4.03(a). 

    
The reclassification of the Common Stock into securities including
securities other than Common Stock (other than any reclassification upon an
event to which Section 4.04 applies) shall be deemed to involve (a) a
distribution of such securities other than the Common Stock to all holders of
Common Stock (and the effective date of such reclassification shall be deemed to
be the “Ex-Dividend Date” within the meaning of this Section 4.03(d)), and (b) a
subdivision or combination, as the case may be, of the number of shares of
Common Stock outstanding immediately prior to such reclassification into the
number of shares of Common Stock outstanding immediately thereafter (and the
effective date of such reclassification shall be deemed to be “the day upon
which such subdivision becomes effective” or “the day upon which such combination becomes effective”, as the case may be, and
“the day upon which such subdivision or combination becomes effective” within
the meaning of Section 4.03(b)). 

45 

    
In no event shall the Conversion Rate be decreased pursuant to this
Section 4.03(d). 

    
(e) In
case the Company shall, at any time or from time to time while any of the
Securities are outstanding, by dividend or otherwise, distribute to all holders
of its shares of Common Stock, Cash (excluding (x) any Cash that is distributed
upon a reclassification, change, merger, consolidation, statutory share
exchange, combination, sale or conveyance to which Section 4.04 or Section 4.13
applies, (y) any Cash distributed as part of a distribution referred to in
Section 4.03(d) and (z) any Cash that is distributed pursuant to a tender offer,
to which Section 4.03(f) applies), then, and in each case, immediately after the
close of business on such date, the Conversion Rate shall be increased so that
the same shall equal the rate determined by multiplying the Conversion Rate in
effect immediately prior to the opening of business of the Ex-Dividend Date for
such distribution by a fraction: 

     (i)
the numerator of which shall be equal to the
Current Market Price per share of Common Stock (as determined pursuant to
Section 4.03(g) on such Ex-Dividend Date); and 

     (ii)
the denominator of which shall be equal to the
Current Market Price per share of Common Stock on such date, less the amount of
the distribution per share of Common Stock. 

    
Such increase shall become effective immediately after the opening of
business on the Ex-Dividend Date for such dividend or distribution. In the event
that such dividend or distribution is not so paid or made, the Conversion Rate
shall again be adjusted to be the Conversion Rate which would then be in effect
if such dividend or distribution had not been declared. In no event shall the
Conversion Rate be decreased pursuant to this Section 4.03(e). 

    
(f) In
case the Company or any of its Subsidiaries shall, at any time or from time to
time, while any of the Securities are outstanding, distribute Cash or other
consideration in respect of a tender offer or exchange offer made by the Company
or any Subsidiary for all or any portion of the Common Stock (excluding any Cash
that is distributed upon a reclassification, change, merger, consolidation,
statutory share exchange, combination, sale or conveyance to which Section 4.04
applies or as part of a distribution referred to in Section 4.03(d) or Section
4.03(e)), where the sum of the aggregate amount of such Cash distributed and the
aggregate Fair Market Value (as determined in good faith by the Chief Financial
Officer of the Company or the Board of Directors, whose determination shall be
conclusive and set forth in a Board Resolution), as of the Expiration Date (as
defined below), of such other consideration distributed (such sum, the
“Aggregate Amount”) expressed as an amount per share of Common Stock validly tendered or
exchanged, and not withdrawn, pursuant to such tender offer or exchange offer as
of the Expiration Time (as defined below) (such tendered or exchanged shares of
Common Stock, the “Purchased
Shares”) exceeds the Closing Sale Price per
share of the Common Stock on the first Trading Day immediately following the
last date (such last date, the “Expiration
Date”) on which tenders or exchanges could
have been made pursuant to such tender offer or exchange offer (as the same may
be amended through the Expiration Date), then,
and in each case, immediately after the close of business on the first Trading
Day immediately following the Expiration Date, the Conversion Rate shall be
increased so that the same shall equal the rate determined by multiplying the
Conversion Rate in effect immediately prior to the close of business on the
first Trading Day immediately following the Expiration Date by a fraction:

     (i)
the numerator of which is equal to the sum of (A)
the Aggregate Amount and (B) the product of (I) the Closing Sale Price per share
of the Common Stock on the first Trading Day immediately following the
Expiration Date and (II) an amount equal to (1) the number of shares of Common
Stock outstanding as of last time (the “Expiration Time”) at which tenders or
exchanges could have been made pursuant to such tender offer or exchange offer
less (2) the Purchased Shares; and 

46 

     (ii)
the denominator of which shall be equal to the
product of (A) the number of shares of Common Stock outstanding as of the
Expiration Time (including all Purchased Shares) and (B) the Closing Sale Price
per share of the Common Stock on the first Trading Day immediately following the
Expiration Date. 

    
An adjustment, if any, to the Conversion Rate pursuant to this Section
4.03(f) shall become effective immediately prior to the opening of business on
the second Trading Day immediately following the Expiration Date. In the event
that the Company or a Subsidiary is obligated to purchase shares of Common Stock
pursuant to any such tender offer or exchange offer, but the Company or such
Subsidiary is permanently prevented by applicable law from effecting any such
purchases, or all such purchases are rescinded, then the Conversion Rate shall
again be adjusted to be the Conversion Rate which would then be in effect if
such tender offer or exchange offer had not been made. If the application of
this Section 4.03(f) to any tender offer or exchange offer would result in a
decrease in the Conversion Rate, no adjustment shall be made for such tender
offer or exchange offer under this Section 4.03(f). 

    
(g) For purposes of this Article 4, the following terms shall have the
meanings indicated: 

    
“Current Market Price” per share of the Company’s Common Stock on the date of
determination means the average of the Closing Sale Prices per share of the
Common Stock for the twenty consecutive Trading Days ending on the earlier of
the day of determination and the day immediately preceding the Ex-Dividend Date
with respect to the distribution requiring such computation. If another
issuance, distribution, subdivision or combination to which Section 4.03 applies
occurs during the period applicable for calculating “Current Market Price” pursuant to the
definition in the preceding paragraph, “Current Market Price” shall be
calculated for such period in a manner determined by the Chief Financial Officer
of the Company to reflect the impact of such issuance, distribution, subdivision
or combination on the Closing Sale Price of the Common Stock during such period.

    
For purposes of this Indenture, the term “Ex-Dividend Date”, when used:

     (i)
with respect to any issuance or distribution,
means the first date on which the shares of Common Stock trade regular way on
the relevant exchange or in the relevant market
from which the Closing Sale Price was obtained without the right to receive such
issuance or distribution; 

47 

     (ii)
with respect to any subdivision or combination of
shares of Common Stock, means the first date on which the shares of Common Stock
trade regular way on such exchange or in such market after the time at which
such subdivision or combination becomes effective; and 

     (iii)
with respect to any tender or exchange offer,
means the first date on which the shares of Common Stock trade regular way on
such exchange or in such market after the expiration of such offer. 

    
Notwithstanding the foregoing, whenever successive adjustments to the
Conversion Rate are called for pursuant to this Section 4.03, such adjustments
shall be made to the Current Market Price as may be necessary or appropriate to
effectuate the intent of this Section 4.03 and to avoid unjust or inequitable
results as determined in good faith by the Chief Financial Officer of the
Company. 

    
“Fair Market Value” shall mean the amount which a willing buyer would pay a
willing seller in an arm’s length transaction (as determined in good faith by
the Board of Directors or the Chief Financial Officer of the Company, whose good
faith determination shall be conclusive). 

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

    
(h) The Company shall be entitled at its election to make such additional
increases in the Conversion Rate, in addition to those required by 4.03(a), (b),
(c), (d), (e) or (f), as shall be necessary in order that any dividend or
distribution of Common Stock, any subdivision, reclassification or combination
of shares of Common Stock or any issuance of rights or warrants referred to
above shall not be taxable to the holders of Common Stock for United States
federal income tax purposes. 

    
(i) To
the extent permitted by applicable law and the continued listing requirements of
The New York Stock Exchange and subject to Section 4.02(b)(v), the Company may,
from time to time, increase the Conversion Rate by any amount for any period of
time, if such period is at least 20 Business Days, the Chief Financial Officer
of the Company determines that the increase in the Conversion Rate is in the
best interest of the Company, and the increase is irrevocable during the period.
Whenever the Conversion Rate is increased pursuant to the preceding sentence,
the Company shall mail to the Trustee and each Holder at the address of such
Holder as it appears in the register of the Securities maintained by the
Registrar, at least 15 Business Days prior to the date the increased Conversion
Rate takes effect, a notice of the increase stating the increased Conversion Rate and the period during which it will be in effect.

48 

     (j)
[Reserved.] 

     (k)
All calculations under this Section 4.03 shall be
made to the nearest cent or one-thousandth of a share, with one-half cent and
0.0005 of a share, respectively, being rounded upward.

     (l)
In the event that at any time, as a result of an
adjustment made pursuant to this Section 4.03, the Holder of any Securities
thereafter surrendered for conversion shall become entitled to receive any
shares of stock of the Company other than shares of Common Stock into which the
Securities originally were convertible, the Conversion Rate of such other shares
so receivable upon conversion of any such Security shall be subject to
adjustment from time to time in a manner and on terms as nearly equivalent as
practicable to the provisions with respect to Common Stock contained in
subparagraphs (a) through (i) of this Section 4.03, and the provisions of
Section 4.01, Section 4.02, Section 4.04 through Section 4.09, Section 4.13 and
Section 4.14 with respect to the Common Stock shall apply on like or similar
terms to any such other shares and the good faith determination of the Board of
Directors or the Chief Financial Officer of the Company as to any such
adjustment shall be conclusive. 

     (m)
No adjustment shall be made pursuant to this
Section 4.03 if the Holders of the Securities may participate, without
conversion, in the transaction or event that would otherwise give rise to an
adjustment pursuant to this Section 4.03 at the same time as holders of the
Common Stock participate with respect to such transaction or event and on the
same terms as holders of the Common Stock participate with respect to such
transaction or event as if Holders of Securities held, at such time, a number of
shares of Common Stock per Security equal to the Conversion Rate at such time.

     Section 4.04 Consolidation or Merger of the
Company. Except as provided in Section 4.13,
if any of the following events (any such event, a “Specified Transaction”) occurs:

     (a)
any reclassification or change of the outstanding
Common Stock (other than a change in par value, or from par value to no par
value, or from no par value to par value, or as a result of a subdivision or
combination of the Common Stock); 

     (b)
any merger, consolidation, binding share exchange
or other business combination of the Company with another Person as a result of
which all of the holders of Common Stock shall be entitled to receive stock,
securities or other property or assets (including Cash or any combination
thereof) with respect to or in exchange for all of their Common Stock; or

49

     (c)
any sale, conveyance, transfer, lease or other
disposition of all or substantially all the properties and assets of the Company
to any other Person as a result of which all of the holders of Common Stock
shall be entitled to receive stock, securities or other property or assets
(including Cash or any combination thereof) with respect to or in exchange for
all of their Common Stock, the Company or the successor or purchasing person, as
the case may be, shall execute with the Trustee a supplemental indenture (which
shall comply with the TIA as in force at the date of execution of such
supplemental indenture, if such supplemental indenture is then required to so
comply) providing that notwithstanding the provisions of Section 4.02(b), and
subject to the provisions of Section 4.01, the Conversion Value with respect to
each $1,000 Principal Amount at Maturity of Securities converted following the
effective date of any Specified Transaction, shall be calculated based on the
kind and amount of stock, securities, other property, assets or Cash received
(collectively, “Reference
Property”) upon such Specified Transaction by
a holder of Common Stock holding, immediately prior to the transaction, a number
of shares of Common Stock equal to the Conversion Rate immediately prior to such
Specified Transaction. 

     In the event that the holders of the
Common Stock have the opportunity to elect the form of the consideration to be
received in such Specified Transaction, the Company shall make adequate
provision whereby Holders shall have a reasonable opportunity to determine the
form of consideration into which all of the Securities, treated as a single
class, shall be convertible from and after the effective date of such Specified
Transaction. Such determination shall be based on the weighted average of
elections made by Holders of the Securities who participate in such
determination, shall be subject to any limitations to which all of the holders
of Common Stock are subject, such as pro-rata reductions applicable to any
portion of the consideration payable in such Specified Transaction and shall be
conducted in such a manner as to be completed by the date which is the earliest
of (x) the deadline for elections to be made by holders of Common Stock, and (y)
two Trading Days prior to the anticipated effective date of the Specified
Transaction. In the event the effective date of the Specified Transaction is
delayed beyond the initially anticipated effective date, Holders of the
Securities shall be given the opportunity to make subsequent similar
determinations in regard to such delayed effective date. The Company shall
provide notice of the opportunity to determine the form of such consideration,
as well as notice of the determination made by Holders by issuing a press
release and providing a copy of such notice to the Trustee. The Company shall
not become a party to any Specified Transaction the terms of which are
inconsistent with the foregoing. 

     If the Securities shall relate to
Reference Property as set forth above, the related Conversion Obligation, with
respect to each $1,000 Principal Amount at Maturity of Securities tendered for
conversion after the effective date of any such Specified Transaction, shall be
settled in Cash and units of Reference Property (if applicable) in accordance
with Section 4.02(b) and the Company shall deliver, as promptly as practicable,
but in no event later than on the third Trading Day immediately following the
Determination Date: 

     (1) an amount in Cash equal to the
lesser of (I) the aggregate Conversion Value of the Securities to be converted
and (II) the aggregate Principal Amount at Maturity of the Securities to be
converted; 

     (2) if the aggregate Conversion
Value of the Securities to be converted is greater than the Principal Amount at
Maturity of such Securities, (a) Cash equal to the difference between the
aggregate Conversion Value of the Securities to be converted and the aggregate
Principal Amount at Maturity of such Securities, (b) an amount in Reference
Property, determined as set forth clause (iv) of Section 4.02(b), equal to such
aggregate Conversion Value of the Securities to be converted less the Principal
Amount at Maturity of such Securities or (c) a combination thereof, at the
Company’s election, determined as set forth in Section 4.02(b)(iv);
and

50

     (3) an amount in Cash in lieu of any
fractional shares of Common Stock calculated based on the Relevant Average Price
Per Share, 

provided that, in each case, (w) the
Conversion Value and the Net Share Amount, shall be determined as if the words
“per share of Common Stock” in the definition of Relevant Average Price Per
Share were replaced by the words “per unit of Reference Property composed of the
kind and amount of shares of stock, securities or other property or assets
(including Cash or any combination thereof) that a holder of one share of Common
Stock immediately prior to such transaction would have owned or been entitled to
receive” (subject to the Holder’s right to determine the form of consideration
into which all of the Securities, treated as a single class, shall be
convertible from and after the effective date of such Specified Transaction as
described above in this Section 4.04), (x) the VWAP shall be determined with
respect to such a unit of Reference Property, (y) references to “Net Shares” and
“shares of Common Stock” were instead references to “a unit of Reference
Property composed of the kind and amount of shares of stock, securities or other
property or assets (including Cash or any combination thereof) that a holder of
one share of Common Stock immediately prior to such transaction would have owned
or been entitled to receive” (subject to the Holder’s right to determine the
form of consideration into which all of the Securities, treated as a single
class, shall be convertible from and after the effective date of such Specified
Transaction as described above in this Section 4.04) and (z) the Conversion
Share Cap shall not apply. 

     Notwithstanding clause (c) above, if
the Securities are surrendered for conversion in connection with any such
Specified Transaction, and the Company shall be obligated to increase the
Conversion Rate pursuant to Section 4.13(b) and deliver additional shares Common
Stock following the effective date of such Specified Transaction, in lieu of
shares of Common Stock, the Company shall instead deliver units of the kind and
amount of Reference Property as a holder of the relevant number of shares of
Common Stock would have received in such Specified Transaction (subject to the
Holder’s right to determine the form of consideration into which all of the
Securities, treated as a single class, shall be convertible from and after the
effective date of such Specified Transaction as described above in this Section
4.04). 

     Such supplemental indenture executed
in accordance with this Section 4.04(c) shall provide for adjustments which
shall be as nearly equivalent as may be practicable to the adjustments provided
for in this Article 4. If, in the case of any such Specified Transaction, the
stock or other securities and assets receivable thereupon by a holder of Common
Stock includes shares of stock or other securities and assets of a corporation
other than the successor or purchasing corporation, as the case may be, in such
Specified Transaction, then such supplemental indenture shall also be executed
by such other corporation and shall contain such additional provisions to
protect the interests of the Holders of the Securities as the Board of Directors
or the Chief Financial Officer of the Company shall reasonably consider
necessary by reason of the foregoing. 

51

     The Company shall cause notice of
the execution of such supplemental indenture to be mailed to each Holder, at the
address of such Holder as it appears on the register of the Securities
maintained by the Registrar, within 20 days after execution thereof. Failure to
deliver such notice shall not affect the legality or validity of such
supplemental indenture. 

     The above provisions of this Section
4.04 shall similarly apply to successive Specified Transactions. 

     If this Section 4.04 applies to any
event or occurrence, Section 4.03 shall not apply. 

     Section 4.05 Notice of Adjustment. Whenever an adjustment in the Conversion Rate with respect
to the Securities is required: 

     (a)
the Company shall forthwith place on file with
the Trustee and any Conversion Agent for such Securities a certificate of the
Treasurer of the Company (upon which the Trustee may conclusively rely), stating
the adjusted Conversion Rate determined as provided herein and setting forth in
reasonable detail such facts as shall be necessary to show the reason for and
the manner of computing such adjustment; and 

     (b)
a notice stating that the Conversion Rate has
been adjusted and setting forth the adjusted Conversion Rate shall forthwith be
given by the Company or, at the Company’s request, by the Trustee in the name
and at the expense of the Company, to each Holder in the manner provided in
Section 4.02 hereof. Any notice so given shall be conclusively presumed to have
been duly given, whether or not the Holder receives such notice. 

     Section 4.06 Notice in Certain
Events. (a) If: 

     (i) the Company shall engage in a tender offer or declare a
dividend (or any other distribution) on its Common Stock that would require an
adjustment in the Conversion Rate pursuant to Section 4.03; or 

     (ii)
the Company shall authorize the granting to all
of the holders of its Common Stock of rights, warrants or options to subscribe
for or purchase shares of Common Stock; or 

     (iii)
there occurs any reclassification or change of
the Common Stock of the Company (other than a subdivision or combination of its
outstanding Common Stock, or a change in par value, or from par value to no par
value, or from no par value to par value), or of any consolidation, merger,
binding share exchange or combination to which the Company is a party, or of the
sale, lease, transfer conveyance or other disposition of all or substantially
all of the assets of the Company; or 

     (iv)
there occurs any voluntary or involuntary
dissolution, liquidation or winding-up of the Company; 

52 

the Company shall cause to be filed with
the Trustee and to be mailed to each Securityholder at his address appearing on
the register for the Securities, provided for in Section 2.03 of this Indenture,
as promptly as possible but in any event at least twenty days prior to the
applicable date hereinafter specified, a notice stating (x) the date on which a
record is to be taken for the purpose of such dividend, distribution or rights,
warrants or options, or, if a record is not to be taken, the date as of which
the holders of Common Stock of record to be entitled to such dividend,
distribution or rights, warrants or options are to be determined, or (y) the
date on which such reclassification, change, consolidation, merger, binding
share exchange, combination, sale, transfer, lease, conveyance, other
disposition, dissolution, liquidation or winding-up is expected to become
effective or occur, and the date as of which it is expected that holders of
Common Stock of record shall be entitled to exchange their Common Stock for
securities or other property deliverable upon such reclassification, change,
consolidation, merger, binding share exchange, combination, sale, transfer,
lease, conveyance, other disposition, dissolution, liquidation or winding-up.
Failure to give such notice, or any defect therein, shall not affect the
legality or validity of such dividend, distribution, reclassification, change,
consolidation, merger, binding share exchange, combination, sale, transfer,
lease, conveyance, other disposition, dissolution, liquidation or winding-up.

     (b)
If the Securities become convertible, the
Company, as soon as practicable, shall provide written notice to each Holder and
to the Conversion Agent for the benefit of the Holders, and the Company shall
publicly announce, that the Securities have become convertible, stating:

     (i)
the event causing the Securities to become
convertible; 

     (ii)
the time period during which the Securities will
be convertible as a result of that event; 

     (iii)
whether an adjustment to the Conversion Rate will
take effect in connection with that event or whether the Company has elected to
change the Conversion Right; and 

     (iv)
the procedures Holders must follow to convert
their securities, including the name and address of the Conversion Agent.

     Section 4.07 Company to Reserve Stock;
Registration; Listing. (a) The Company shall
from time to time reserve and keep available, free from preemptive rights, out
of its authorized but unissued shares of Common Stock for the purpose of
effecting the conversion of the Securities, such number of its duly authorized
shares of Common Stock as shall from time to time be sufficient to effect the
conversion of all Securities then outstanding at any time (assuming that the
Company elects to deliver solely shares of Common Stock to satisfy the Net Share
Amount for all conversions). The Company covenants that all shares of Common
Stock which may be issued upon conversion of Securities will upon issue be fully
paid and nonassessable and free from all liens and charges and, except as
provided in Section 4.08, taxes with respect to the issue thereof. 

     (b)
If any shares of Common Stock which would be
issuable upon conversion of Securities hereunder require registration with or
approval of any governmental authority before such shares or securities may be
issued upon such conversion, the Company will use its best efforts to cause such
shares or securities to be duly registered or approved, as the case may be. The
Company further covenants that so long as the Common Stock shall be quoted on
The New York Stock Exchange, the Company will use its best efforts, if permitted
by the rules of The New York Stock Exchange, to have and keep approved for
quoting on The New York Stock Exchange (subject to notice of official issuance)
all Common Stock issuable upon conversion of the Securities, and the Company
will use its best efforts to list the shares of Common Stock required to be
delivered upon conversion of the Securities prior to such delivery upon any
other national securities exchange upon which the outstanding Common Stock is
listed at the time of such delivery.

53 

     Section 4.08 Taxes on Conversion. The issue of stock certificates on conversion of Securities
shall be made without charge to the converting Holder for any documentary, stamp
or similar issue or transfer taxes in respect of the issue thereof, and the
Company shall pay any and all documentary, stamp or similar issue or transfer
taxes that may be payable in respect of the issue or delivery of shares of
Common Stock on conversion of Securities pursuant hereto. The Company shall not,
however, be required to pay any such tax which may be payable in respect of any
transfer involved in the issue or delivery of shares of Common Stock or the
portion, if any, of the Securities which are not so converted in a name other
than that in which the Securities so converted were registered, and no such
issue or delivery shall be made unless and until the Person requesting such
issue has paid to the Company the amount of such tax or has established to the
satisfaction of the Company that such tax has been paid. 

     Nothing contained herein shall
preclude any income tax withholding required by law or regulation upon
conversion of the Securities, and at the Company’s request, Holders shall be
responsible for satisfying any such withholding. 

     Section 4.09 Conversion After Record
Date. Except as provided in this Section
4.09, a converting Holder of Securities shall not be entitled to receive any
accrued and unpaid interest, if any (including Additional Interest, if any), on
any such Securities being converted. By delivery to the Holder of Cash or
combination of Common Stock and Cash, or other consideration issuable or payable
upon conversion in accordance with this Article 4, any accrued and unpaid
interest, if any (including Additional Interest, if any), on such Securities
will be deemed to have been paid in full. If any Securities are surrendered for
conversion subsequent to the close of business on the Regular Record Date
preceding an Interest Payment Date but prior to the open of business on such
Interest Payment Date, the Holder of such Securities at the close of business on
such Regular Record Date shall receive the interest payable on such Security on
such Interest Payment Date notwithstanding the conversion thereof. Securities
surrendered for conversion during the period from the close of business on any
Regular Record Date preceding any Interest Payment Date to the opening of
business on such Interest Payment Date shall be accompanied by payment from
converting Holders, for the account of the Company, in Cash of an amount equal
to the interest payable on such Interest Payment Date on the Securities being
surrendered for conversion; provided, however, that no such interest payment
need be made to the Company (i) if the Company has specified a Redemption Date
that is after a Regular Record Date but on or prior to the next Interest Payment
Date, (ii) if the Company has specified a Fundamental Change Purchase Date
following a Fundamental Change that is after a Regular Record Date but on or
prior to the next Interest Payment Date, or (iii) to the extent of any Defaulted
Interest, if any Defaulted Interest exists at the time of conversion with
respect to such Security. 

54 

     Except as provided in this Section
4.09, no adjustments in respect of payments of interest (including Additional
Interest, if any) on Securities surrendered for conversion or any dividends or
distributions or interest on the Common Stock issued upon conversion shall be
made upon the conversion of any Securities. 

     Section 4.10 Company Determination
Final. Any determination that the Company or
the Board of Directors must make pursuant to this Article 4 shall be conclusive
if made in good faith and in accordance with the provisions of this Article,
absent manifest error, and set forth in a Board Resolution or an Officers’
Certificate of the Company’s Chief Financial Officer, as the case may be.

     Section 4.11 Responsibility of Trustee for
Conversion Provisions. The Trustee has no
duty to determine when an adjustment under this Article 4 should be made, how it
should be made or what it should be. Unless and until a Trust Officer of the
Trustee receives a certificate delivered pursuant to Section 4.05 setting forth
an adjustment of the Conversion Rate, the Trustee may assume without inquiry
that no such adjustment has been made and that the last Conversion Rate of which
the Trustee has knowledge remains in effect. The Trustee makes no representation
as to the validity or value of any securities or assets issued upon conversion
of Securities. The Trustee shall not be responsible for any failure of the
Company to comply with this Article 4. Each Conversion Agent other than the
Company shall have the same protection under this Section 4.11 as the Trustee.

     The rights, privileges, protections,
immunities and benefits given to the Trustee under this Indenture including,
without limitation, its rights to be indemnified, are extended to, and shall be
enforceable by, the Trustee in each of its capacities hereunder, and each Paying
Agent, Registrar or Conversion Agent acting hereunder. 

     Section 4.12 Unconditional Right of Holders to
Convert. Notwithstanding any other provision
in this Indenture, the Holder of any Security shall have the right, which is
absolute and unconditional, to convert its Security in accordance with this
Article 4 and to bring an action for the enforcement of any such right to
convert, and such rights shall not be impaired or affected without the consent
of such Holder. 

     Section 4.13 Adjustment to the Conversion Rate Upon
Certain Fundamental Changes. (a) If a
Make-Whole Fundamental Change occurs prior to December 1, 2020, then the
Conversion Rate then in effect shall increase, as described in paragraph (b) of
this Section 4.13, with respect to any Securities surrendered for conversion
during the period specified in Section 4.01(c)(ii). The Company shall mail
notice to Holders, at their addresses appearing in the Security register, and
the Company shall publicly announce, through a reputable national newswire
service, and publish on the Company’s website, that the Make-Whole Fundamental
Change has occurred within five Business Days after such Make-Whole Fundamental
Change has occurred.

55 

     (b)
The increase in the Conversion Rate referred to
in paragraph (a) of this Section 4.13 will be determined by reference to the
table below, based on the date on which the Make-Whole Fundamental Change
becomes effective (the “Effective
Date”) and the applicable price (the
“Stock Price”) with respect to such Make-Whole Fundamental Change. In the case of a
Make-Whole Fundamental Change described in clause (c) of the definition of
Change in Control, if the consideration (excluding Cash payments for fractional
shares or pursuant to statutory appraisal rights) for the Common Stock in the
Make-Whole Fundamental Change consists solely of Cash, then the “Stock Price”
will be the Cash amount paid per share of Common Stock in the Make-Whole
Fundamental Change. Otherwise, the “Stock Price” will be the average, as
determined by the Company, of the Closing Sale Prices per share of Common Stock
for the five consecutive Trading Days immediately preceding the Effective Date
of the relevant Make-Whole Fundamental Change. The Chief Financial Officer of
the Company will make appropriate adjustments, in his or her good faith
determination, to account for any adjustment to the Conversion Rate that becomes
effective, or any event requiring an adjustment to the Conversion Rate where the
Ex-Dividend Date of the event occurs, at any time during those five consecutive
Trading Days. The Stock Prices set forth in the column headings of the table
below shall be adjusted as of any date on which the Conversion Rate is adjusted
pursuant to Section 4.03. The adjusted Stock Prices shall equal the Stock Prices
applicable immediately prior to such adjustment, multiplied by a fraction, the
numerator of which is the Conversion Rate immediately prior to the adjustment
giving rise to the Stock Price adjustment and the denominator of which is the
Conversion Rate as so adjusted. The number of additional shares of Common Stock
will be adjusted in the same manner and for the same events as the Conversion
Rate pursuant to Section 4.03. The following table sets forth for a given Stock
Price and Effective Date, the number of additional shares of Common Stock
issuable per $1,000 Principal Amount at Maturity of Securities that will be
added to the Conversion Rate applicable to the Securities surrendered for
conversion during the period described in paragraph (a) of this Section 4.13:

			Stock Price
	Effective Date	    	$4.00	    	$9.00	    	$14.00	    	$19.00	    	$24.00	    	$29.00	    	$34.00	    	$39.00	    	$44.00	    	$49.00	    	$54.00	    	$59.00	    	$64.00
	December 4, 2012		141.660		49.181		29.007		20.497		15.756		12.709		10.578		8.999		7.782		6.815		6.027		5.374		4.825
	December 1, 2013		138.892		45.880		26.597		18.719		14.384		11.610		9.672		8.238		7.132		6.254		5.538		4.944		4.443
	December 1, 2014		136.622		42.313		23.924		16.739		12.854		10.382		8.657		7.381		6.398		5.616		4.979		4.451		4.005
	December 1, 2015		135.398		38.593		21.010		14.574		11.179		9.034		7.541		6.436		5.585		4.908		4.356		3.898		3.512
	December 1, 2016		135.897		34.836		17.863		12.228		9.367		7.576		6.330		5.409		4.699		4.134		3.674		3.292		2.969
	December 1, 2017		138.918		31.203		14.425		9.660		7.388		5.983		5.006		4.282		3.724		3.280		2.919		2.618		2.365
	December 1, 2018		145.021		27.934		10.562		6.800		5.199		4.219		3.535		3.028		2.637		2.325		2.071		1.860		1.683
	December 1, 2019		154.196		25.655		5.967		3.568		2.747		2.237		1.877		1.610		1.403		1.239		1.105		0.994		0.900
	December 1, 2020		166.667		27.778		0.000		0.000		0.000		0.000		0.000		0.000		0.000		0.000		0.000		0.000		0.000

     In the event that the applicable
Stock Price or Effective Date is not set forth in the table above, then, if:

     (i)
the applicable Stock Price is between two Stock
Prices on the table or the applicable Effective Date is between two Effective
Dates on the table, the adjustment to the Conversion Rate will be determined by
straight-line interpolation between the adjustments set forth for the higher and
lower Stock Price or the earlier and later Effective Dates, as applicable, based
on a 365-day year; 

     (ii)
the applicable Stock Price is in excess of $64.00
per share (subject to adjustment in the same manner as the Stock Prices in the
table above), no adjustment to the Conversion Rate will be made; or

56 

     (iii)
the applicable Stock Price is less than $4.00 per
share (subject to adjustment in the same manner as the Stock Prices in the table
above), no adjustment to the Conversion Rate will be made. 

     Notwithstanding the foregoing, in no
event will the total number of shares of Common Stock issuable upon conversion
of a Security exceed 250.000 per $1,000 Principal Amount at Maturity of
Securities, subject to adjustments in the same manner as the Conversion Rate, as
set forth in Section 4.03. 

     Section 4.14 Stockholder Rights
Plan. To the extent that the Company has a
rights plan in effect upon conversion of the Securities, each share of Common
Stock, if any, issued upon such conversion shall be entitled to receive the
appropriate number of rights, if any, and the certificates representing the
Common Stock issued upon such conversion shall bear such legends, if any, in
each case as may be provided by the terms of any such stockholder rights plan,
as the same may be amended from time to time. However, if, prior to any
conversion, the rights have separated from the shares of Common Stock in
accordance with the provisions of the applicable stockholder rights plan so that
the Holders would not be entitled to receive any rights in respect of Common
Stock, if any, issuable upon conversion of the Securities, the Conversion Rate
shall be adjusted at the time of separation as if the Company had distributed to
all holders of the Common Stock distributed assets as provided in Section
4.03(d), subject to readjustment in the event of the expiration, termination or
redemption of such rights. 

ARTICLE 5
Covenants

     Section 5.01 Payment of Securities. The Company shall promptly make all payments in respect of
the Securities on the dates and in the manner provided in the Securities and
this Indenture. The Principal Amount at Maturity or Accreted Principal Amount,
as applicable, or an installment of interest (including Additional Interest, if
any) shall be considered paid on the date it is due if the Paying Agent (other
than the Company) holds by 12:00 p.m. (noon), New York City time, on that date
Cash, deposited by the Company or an Affiliate thereof, sufficient to pay the
Principal Amount at Maturity or Accreted Principal Amount, as applicable, or
such installment. The Company shall (in immediately available funds) to the
fullest extent permitted by law, pay interest on overdue principal and overdue
installments of interest at the rate borne by the Securities per annum.

     Payment of the Principal Amount at
Maturity or Accreted Principal Amount, as applicable, of and any interest
(including Additional Interest, if any) on the Securities shall be made at the
office or agency of the Company maintained for that purpose in The Borough of
Manhattan, The City of New York or at the Corporate Trust Office of the Trustee
in such coin or currency of the United States of America as at the time of
payment is legal tender for payment of public and private debts. The Company
will make payments in respect of the Global Securities by wire transfer of
immediately available funds to the accounts specified by the Holders of the
Global Securities. For a Global Security that has been subsequently issued in
certificated form, the Company will mail a check to the Holder’s registered
address. 

57 

     Section 5.02 SEC and Other Reports. The Company shall file with the Trustee within 15 days after
the same are required to be filed with the SEC, copies of any documents or
reports that the Company is required to file with the SEC pursuant to Section 13
or 15(d) of the Exchange Act (giving effect to any grace period provided by Rule
12b-25 under the Exchange Act), including, without limitation, all reports on
Form 10-K, 10-Q and 8-K and all certifications and other filings required by
Section 302 and Section 906 of the Sarbanes-Oxley Act of 2002, as amended, and
the rules and regulations related thereto. Any such document or report that the
Company files with the SEC via the SEC’s EDGAR system shall be deemed to be
filed with the Trustee for purposes of this Section 5.02 at the time such
documents are filed via the EDGAR system. 

     If the Company is no longer subject
to Section 13 or Section 15(d) of the Exchange Act, the Company shall furnish to
the Trustee within one hundred five (105) days after the close of each of the
Company’s fiscal years, annual audited consolidated financial statements for the
Company and its Subsidiaries, including a consolidated balance sheet as of the
end of such period, related statement of consolidated income, statement of
consolidated shareowners’ equity, and statement of cash flows, and statement of
cash flows, accompanied by an unqualified audit report of independent auditors
(or such other statements that would have been included in annual reports filed
with the SEC if the Company were subject to the reporting requirements of
Section 13 or Section 15(d) of the Exchange Act). 

     If the Company is no longer subject
to Section 13 or Section 15(d) of the Exchange Act, the Company shall furnish to
the Trustee within fifty-five (55) days after the close of the first three
quarterly periods of each of the Company’s fiscal years, unaudited consolidated
financial statements for the Company and its Subsidiaries, including a
consolidated balance sheet as of the end of such period, related statement of
consolidated income and statement of cash flows, for the period from the
beginning of such fiscal year to the end of such quarter (or such other
statements that would have been included in quarterly reports filed with the SEC
if the Company were subject to the reporting requirements of Section 13 or
Section 15(d) of the Exchange Act). 

     Delivery of such reports,
information and documents to the Trustee is for informational purposes only and
the Trustee’s receipt of such shall not constitute constructive notice of any
information contained therein or determinable from information contained
therein, including the Company’s compliance with any of its covenants hereunder
(as to which the Trustee is entitled to rely exclusively on Officers’
Certificates). 

     Section 5.03 Compliance
Certificates. The Company shall deliver to
the Trustee, within 120 days after the end of each fiscal year of the Company
(beginning with the fiscal year ending September 30, 2013), an Officers’
Certificate as to the signer’s knowledge of the Company’s compliance with all
conditions and covenants on its part contained in this Indenture and stating
whether or not the signer knows of any default or Event of Default. If such
signer knows of such a default or Event of Default, the Officers’ Certificate
shall describe the default or Event of Default and the efforts to remedy the
same. For the purposes of this Section 5.03, compliance shall be determined
without regard to any grace period or requirement of notice provided pursuant to
the terms of this Indenture. 

58 

     Section 5.04 Further Instruments and
Acts. Upon request of the Trustee or as
necessary, the Company will execute and deliver such further instruments and do
such further acts as may be reasonably necessary or proper to carry out more
effectively the purposes of this Indenture. 

     Section 5.05 Maintenance of Corporate
Existence. Subject to Article 6, the Company
will do or cause to be done all things necessary to preserve and keep in full
force and effect its corporate existence. 

     Section 5.06 Rule 144A Information
Requirement.

     (a)
Within the period prior to the expiration of the
holding period applicable to sales thereof under Rule 144 under the Securities
Act (or any successor provision), the Company covenants and agrees that it
shall, during any period in which it is not subject to Section 13 or Section
15(d) under the Exchange Act, upon the request of any Holder or beneficial
holder of the Securities make available to such Holder or beneficial holder of
Securities or any Common Stock issued upon conversion thereof which continue to
be Transfer Restricted Securities in connection with any sale thereof and any
prospective purchaser of Securities or such Common Stock designated by such
Holder or beneficial holder, the information required pursuant to Rule
144A(d)(4) under the Securities Act and it will take such further action as any
Holder or beneficial holder of such Securities or such Common Stock may
reasonably request, all to the extent required from time to time to enable such
Holder or beneficial holder to sell its Securities or Common Stock without
registration under the Securities Act within the limitation of the exemption
provided by Rule 144A, as such Rule may be amended from time to time. Upon the
request of any Holder or any beneficial holder of the Securities or such Common
Stock, the Company will deliver to such Holder a written statement as to whether
it has complied with such requirements. 

     (b)
If, at any time during the six-month period
beginning on, and including, the date that is six months after the last date of
original issuance of the Securities, the Company fails to timely file any
document or report that it is required to file with the SEC pursuant to Section
13 or 15(d) of the Exchange Act, as applicable (after giving effect to all
applicable grace periods thereunder and other than current reports on Form 8-K),
or the Securities are not otherwise freely tradable by Holders other than the
Company’s Affiliates (as a result of restrictions pursuant to U.S. federal
securities laws or the terms of this Indenture or the Securities), the Company
shall pay Additional Interest on the Securities. Such Additional Interest shall
accrue on the Securities at the rate of 0.50% per annum of the Principal Amount
at Maturity of the Securities outstanding for each day during such period for
which the Company’s failure to file has occurred and is continuing. As used in
this Section 5.06(b), documents or reports that the Company is required to
“file” with the SEC pursuant to Section 13 or 15(d) of the Exchange Act does not
include documents or reports that the Company furnishes to the SEC pursuant to
Section 13 or 15(d) of the Exchange Act. 

     (c)
If, and for so long as, the restrictive legend on
the Securities specified in Section 2.12(a) has not been removed, the Securities
are assigned a restricted CUSIP or the Securities are not otherwise freely
tradable by Holders other than the Company’s Affiliates (without restrictions
pursuant to U.S. federal securities laws or the terms of this Indenture or the
Securities) as of the 365th day after the last date of original issuance of the
Securities, the Company shall pay Additional Interest on the Securities at a
rate equal to 0.50% per annum of the Principal Amount at Maturity of Securities
outstanding until the restrictive legend on the Securities has been removed in
accordance with Section 2.12(d), the Securities have been assigned an
unrestricted CUSIP and the Securities are freely tradable by Holders other than
the Company’s Affiliates (without restrictions pursuant to U.S. federal
securities laws or the terms of this Indenture or the Securities).

59

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

     (e)
The Additional Interest that is payable in
accordance with Section 5.06(b) or Section 5.06(c) shall be in addition to, and
not in lieu of, any Additional Interest that may be payable pursuant to Section
7.02(b). 

     (f)
If Additional Interest is payable by the Company
pursuant to Section 5.06(b) or Section 5.06(c), the Company shall deliver to the
Trustee an Officers' Certificate to that effect stating (i) the amount of such
Additional Interest that is payable and (ii) the date on which such Additional
Interest is payable. Unless and until the Trustee receives at the Corporate
Trust Office such a certificate, the Trustee may assume without inquiry that no
such Additional Interest is payable. If the Company has paid Additional Interest
directly to the Persons entitled to it, the Company shall deliver to the Trustee
an Officers' Certificate setting forth the particulars of such payment.

     Section 5.07 Stay, Extension and Usury
Laws. The Company covenants (to the extent
that it may lawfully do so) that it shall not at any time insist upon, plead, or
in any manner whatsoever claim or take the benefit or advantage of, any stay,
extension or usury law or other law which would prohibit or forgive the Company
from paying all or any portion of the principal amount of, or interest
(including Additional Interest, if any) on, the Securities as contemplated
herein, wherever enacted, now or at any time hereafter in force, or which may
affect the covenants or the performance of this Indenture, and the Company (to
the extent it may lawfully do so) hereby expressly waives all benefit or
advantage of any such law and covenants that it will not, by resort to any such
law, hinder, delay or impede the execution of any power herein granted to the
Trustee, but will suffer and permit the execution of every such power as though
no such law had been enacted. 

     Section 5.08 Limitation On Liens. For so long as substantially comparable covenants are
provided for the benefit of any of the Company’s outstanding debt with which the
Securities rank equally, the Company shall not at any time create, incur, assume
or suffer to exist, and shall not cause, suffer or permit a Restricted
Subsidiary to create, incur, assume or suffer to exist, any Secured Debt without
making effective provision (and the Company covenants that in such case it will
make or cause to be made effective provision) whereby the Securities then
outstanding shall be secured equally and ratably with such Secured Debt, so long
as such Secured Debt shall exist; provided, however, that this Section 5.08 shall
not prevent any of the following: 

     (a)
Secured Debt existing at the date of this
Indenture; 

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     (b)
(i) any mortgage, security interest, pledge, lien
or encumbrance on any property hereafter acquired (including acquisition through
merger or consolidation) or constructed by the Company or a Restricted
Subsidiary and created contemporaneously with, or within twelve months after,
such acquisition or the completion of construction to secure or provide for the
payment of all or any part of the purchase price of such property or the cost of
construction thereof, as the case may be; or (ii) any mortgage on property
(including any unimproved portion of partially improved property) of the Company
or a Restricted Subsidiary created within twelve months of completion of
construction of a new plant or plants on such property to secure all or part of
the cost of such construction; or (iii) the acquisition of property subject to
any mortgage, security interest, pledge, lien or encumbrance upon such property
existing at the time of acquisition thereof, whether or not assumed by the
Company or such Restricted Subsidiary; 

     (c)
liens on capital stock hereafter acquired by the
Company or any Restricted Subsidiary, provided, that, the aggregate cost to
the Company and its Restricted Subsidiaries of all capital stock subject to such
liens does not exceed 15% of Consolidated Net Tangible Assets; 

     (d)
any mortgage, security interest, pledge, lien or
encumbrance: (i) securing indebtedness of a corporation which is a successor to
the Company to the extent permitted by Article 6; or (ii) securing indebtedness
of a Restricted Subsidiary outstanding at the time it became a Restricted
Subsidiary; or (iii) securing indebtedness of any Person outstanding at the time
it is merged with, or all or substantially all of its properties are acquired
by, the Company or any Restricted Subsidiary, provided, that, such mortgage,
security interest, pledge, lien or encumbrance does not extend to any other
properties of the Company or any Restricted Subsidiary; or (iv) existing on the
property or on the outstanding shares or indebtedness of a corporation at the
time it becomes a Restricted Subsidiary; or (v) created, incurred or assumed in
connection with any industrial revenue bond, pollution control bond or similar
financing arrangement between the Company or any Restricted Subsidiary and any
federal, state or municipal government or other governmental body or agency;

     (e)
any mortgage, security interest, pledge, lien or
encumbrance created in connection with any extension, renewal or refunding (or
successive extensions, renewals or refundings), in whole or in part, of any
indebtedness secured by a mortgage, security interest, pledge, lien or
encumbrance permitted by the foregoing provisions of this Section 5.08 upon the
same property theretofore subject thereto (plus improvements on such property),
provided,
that, the amount of such indebtedness outstanding at that time shall not be
increased; 

     (f)
liens, pledges or deposits made in connection
with contracts (which term includes subcontracts under such contracts) with or
made at the request of the United States or any department or agency thereof,
insofar as such liens, pledges or deposits relate to property manufactured,
installed or constructed by or to be supplied by, or property furnished to, the
Company or a Restricted Subsidiary pursuant to, or to enable the performance of,
such contracts, or property the manufacture, installation, construction or
acquisition of which is financed pursuant to, or to enable the performance of,
such contracts; or deposits or liens, made pursuant to such contracts, of or
upon moneys advanced or paid pursuant to, or in accordance with the provisions
of, such contracts, or of or upon any materials or supplies acquired for the
purpose of the performance of such contracts; or the assignment or pledge, to
the extent permitted by law, of the right, title and interest of the Company or
a Restricted Subsidiary in and to any such contract, or in and to any payments
due or to become due thereunder, to secure indebtedness incurred for funds or
other property supplied, constructed or installed for or in connection with the
performance by the Company or such Restricted Subsidiary of its obligations
under such contracts;

61

     (g)
mechanics’, materialmen’s, carriers’ or other
like liens, and pledges or deposits made in the ordinary course of business to
obtain the release of any such liens or the release of property in the
possession of a common carrier; good faith deposits in connection with tenders,
leases of real estate or bids or contracts (other than contracts involving the
borrowing of money); pledges or deposits to secure public or statutory
obligations; deposits to secure (or in lieu of) surety, stay, appeal or customs
bonds; and deposits to secure the payment of taxes, assessments, customs duties
or other similar charges; 

     (h)
any mortgage, security interest, pledge, lien or
encumbrance arising by reason of deposits with, or the giving of any form of
security to, any governmental agency or any body created or approved by law or
governmental regulation, which is required by law or governmental regulation as
a condition to the transaction of any business, or the exercise of any privilege
or license, or to enable the Company or a Restricted Subsidiary to maintain
self-insurance or to participate in any arrangements established by law to cover
any insurance risks or in connection with workmen’s compensation, unemployment
insurance, old age pensions, social security or similar matters; 

     (i)
the liens of taxes, assessments or other
governmental charges or levies not at the time due, or the validity of which is
being contested in good faith; 

     (j)
judgment liens, so long as the finality of such
judgment is being contested in good faith and execution thereon is stayed;

     (k)
easements or similar encumbrances, the existence
of which does not impair the use of the property subject thereto for the
purposes for which it is held or was acquired; 

     (l)
the landlord’s interest under any lease of
property; 

     (m)
leases granted to others in the ordinary course
of business; 

     (n)
Sale and Lease-Back Transactions (as defined in
Section 5.09) to the extent permitted by Section 5.09; and 

     (o)
contracts for the manufacture, construction,
installation or supply of property, products or services providing for a
mortgage, security interest, pledge, lien or encumbrance upon advance, progress
or partial payments made pursuant to such contracts and upon any material or
supplies acquired, manufactured, constructed, installed or supplied in
connection with the performance of such contracts to secure such advance,
progress or partial payments. 

     Notwithstanding the foregoing
provisions of this Section 5.08, the Company and any one or more Restricted
Subsidiaries may create, incur, assume or suffer to exist Secured Debt which
would otherwise be subject to the foregoing restrictions in an aggregate amount
which, together with all other Secured Debt of the Company and its Restricted
Subsidiaries which would otherwise be subject to the foregoing restrictions (not
including Secured Debt permitted under subparagraphs Section 5.08(a) through
Section 5.08(o) above) and the aggregate value of the Sale and Lease-Back
Transactions in existence at such time (not including Sale and Lease-Back
Transactions the proceeds of which have been or will be applied in accordance
with Section 5.09(b)), does not at the time exceed 15% of Consolidated Net
Tangible Assets.

62

     Section 5.09 Limitations On Sale And
Lease-back. For so long as substantially
comparable covenants are provided for the benefit of any of the Company’s
outstanding debt with which the Securities rank equally, the Company will not,
and will not permit any Restricted Subsidiary to, sell or transfer (except to
the Company or one or more Restricted Subsidiaries, or both) any Principal
Property owned by it and which has been in full operation for more than 180 days
prior to such sale or transfer with the intention (i) of taking back a lease on
such property, except a lease for a temporary period (not exceeding 36 months),
and (ii) that the use by the Company or such Restricted Subsidiary of such
property will be discontinued on or before the expiration of the term of such
lease (any such transaction being herein referred to as a “Sale and Lease-Back Transaction”), unless: 

     (a)
the Company or such Restricted Subsidiary would
be entitled, pursuant to the provisions of Section 5.08 hereof, to incur Secured
Debt equal in amount to the amount realized or to be realized upon such sale or
transfer secured by a mortgage on the property to be leased without equally and
ratably securing the Securities; or 

     (b)
the Company or a Restricted Subsidiary shall,
within 180 days of the effective date of any such transaction, apply an amount
equal to the value of the property so leased (i) to the retirement (other than
any mandatory retirement) of Consolidated Funded Debt or indebtedness then
outstanding of the Company or any Restricted Subsidiary that was Funded Debt at
the time it was created (other than Consolidated Funded Debt or such other
indebtedness owned by the Company or any Restricted Subsidiary), or (ii) to the
purchase of Principal Property having a value at least equal to the value of
such property; provided, however, that the amount to be so applied pursuant to the preceding
clause Section 5.09(b)(i) or Section 5.09(b)(ii) shall be reduced by (A) the
principal amount of any Securities delivered within 180 days of the effective
date of any such transaction to the Trustee for retirement and cancellation, and
(B) the principal amount of Consolidated Funded Debt or indebtedness that was
Funded Debt at the time it was created (other than Securities) retired by the
Company or a Restricted Subsidiary within 180 days of the effective date of any
such transaction; or

     (c)
the Sale and Lease-Back Transaction involved was
an industrial revenue bond, pollution control bond or similar financing
arrangement between the Company or any Restricted Subsidiary and any federal,
state or municipal government or other governmental body or agency. 

     The term “value” shall mean, with respect to a
Sale and Lease-Back Transaction, as of any particular time, the amount equal to
the greater of (i) the net proceeds of the sale of the property leased pursuant
to such Sale and Lease-Back Transaction or (ii) the fair value of such property
at the time of entering into such Sale and Lease-Back Transaction, as determined
by the Board of Directors or the Chief Financial Officer of the Company, in
either case, divided first by the number of full years of the term of the lease
and then multiplied by the number of full years of such term remaining at the time of
determination, without regard to any renewal or extension options contained in
the lease.

63

     Section 5.10 Limitations On Change In Subsidiary
Status. The Company may designate any
Subsidiary as an Unrestricted Subsidiary or as a Restricted Subsidiary, subject
to the provisions set forth below: 

     (a)
the Company will not permit any Subsidiary to be
designated as an Unrestricted Subsidiary unless at the time of such designation
the Subsidiary so designated does not own, directly or indirectly, any capital
stock of any Restricted Subsidiary or any Funded Debt or Secured Debt of the
Company or any Restricted Subsidiary; 

     (b)
the Company will not permit any Restricted
Subsidiary to be designated as, or otherwise to become, an Unrestricted
Subsidiary unless immediately after such Restricted Subsidiary becomes an
Unrestricted Subsidiary, no Event of Default, and no event which, after notice
or lapse of time or both, would become an Event of Default, shall exist;

     (c)
the Company will not permit any Unrestricted
Subsidiary to be designated as a Restricted Subsidiary unless immediately after
such Unrestricted Subsidiary becomes a Restricted Subsidiary, no Event of
Default, and no event which, after notice or lapse of time or both, would become
an Event of Default, shall exist; and 

     (d)
promptly after the designation of any Subsidiary
as an Unrestricted Subsidiary or as a Restricted Subsidiary, there shall be
filed with the Trustee, an Officers’ Certificate stating that the provisions of
this Section have been complied with in connection with such designation.

ARTICLE 6
Consolidation, Merger,
Conveyance, Transfer or Lease 

     Section 6.01 Company May Consolidate, Etc, Only on
Certain Terms. The Company shall not
consolidate with or merge with or into any other Person or convey, sell,
transfer, lease or otherwise dispose all or substantially all of its properties
and assets to any Person whether in a single transaction or series of related
transactions, unless: 

     (a)
either 

     (i)
in the case of a consolidation or merger, the
Company is the surviving entity; or 

     (ii)
the successor or transferee is a corporation,
limited liability company, partnership or trust organized and existing under the
laws of the United States, any State thereof, or the District of Columbia and
shall expressly assume, by an indenture supplemental hereto, executed and
delivered to the Trustee, all of the obligations of the Company under the
Securities and the Indenture; and 

     (b)
immediately after giving effect to such
transaction, no Default or Event of Default shall exist; and 

64

     (c)
the Company shall have delivered to the Trustee
an Officers’ Certificate and, if requested by the Trustee, an Opinion of
Counsel, each stating that such consolidation, merger, conveyance, transfer,
sale, lease or other disposition and, if a supplemental indenture is required in
connection with such transaction, such supplemental indenture, comply with this
Article 6 and that all conditions precedent herein provided for relating to such
transaction have been satisfied. 

     Section 6.02 Successor Substituted. Upon any consolidation of the Company with, or merger of the
Company into, any other Person or any conveyance, sale, transfer, lease or other
disposition of all or substantially all of the properties and assets of the
Company in accordance with Section 6.01, the successor Person formed by such
consolidation or into which the Company is merged or to which such conveyance,
sale, transfer or lease is made shall succeed to, and be substituted for, and
may exercise every right and power of, the Company under this Indenture with the
same effect as if such successor Person had been named as the Company herein,
and thereafter, except in the case of a lease, the predecessor Person shall be
relieved of all obligations and covenants under this Indenture and the
Securities. 

ARTICLE 7
Default and
Remedies 

     Section 7.01 Events of Default. An “Event of
Default” shall occur if: 

     (a)
the Company fails to pay the applicable principal
amount of any Security when due, whether on the Final Maturity Date, Redemption
Date, Purchase Date, Fundamental Change Purchase Date or otherwise; 

     (b)
the Company fails to pay an installment of
interest on any Security when due if the failure continues for a period of 30
days after the date when due; 

     (c)
the Company fails to satisfy its Conversion
Obligation following the exercise by the Holder of the right to convert such
Security; 

     (d)
the Company fails to timely provide a Purchase
Notice or Fundamental Change Purchase Notice pursuant to and in accordance with
Section 3.08 or Section 3.09, as applicable, or the notice required under
Section 4.13(a) regarding the adjustment of the Conversion Rate upon the
occurrence of a Make-Whole Fundamental Change; 

     (e)
the Company fails to comply with any other term,
covenant or agreement contained in the Securities or this Indenture (other than
those referred to in clauses (a) through (d) above) if such failure continues
for 90 days after receipt by the Company of a Notice of Default (defined below);

     (f)
except as provided for by the terms of the
Guarantee, the Guarantee shall be held in a judicial proceeding to be
unenforceable or invalid or shall cease for any reason to be in full force and
effect or any Guarantor, or any Person acting on behalf of any Guarantor, shall
deny or disaffirm its obligations under the Guarantee; 

65

     (g)
the Company or any of its Subsidiaries defaults
in the payment when due, after the expiration of any applicable grace period, of
principal of, or interest on, indebtedness for money borrowed in the aggregate
principal amount then outstanding of $35,000,000 or more, or acceleration of the
Company’s or any of its Subsidiaries’ indebtedness for money borrowed in such
aggregate principal amount or more so that it becomes due and payable before the
date on which it would otherwise have become due and payable, if such default is
not cured or waived, or such acceleration is not rescinded, within 30 days after
receipt by the Company of a Notice of Default; 

     (h)
the Company or any of its Subsidiaries fails
within 30 days to pay, bond or otherwise discharge any judgment or order for the
payment of money in excess of $10,000,000 or any judgments or orders for the
payment of money, the total amount of which for the Company or any of its
subsidiaries exceeds $35,000,000, which are not stayed on appeal; 

     (i)
the Company or any of its Significant
Subsidiaries (or any group of Subsidiaries that, together, constitute a
Significant Subsidiary), pursuant to or under or within the meaning of the
Bankruptcy Code: 

     (i)
commences a voluntary case or proceeding;

     (ii)
consents to the entry of any order for relief
against it in an involuntary case or proceeding or the commencement of any case
against it; 

     (iii)
consents to the appointment of a Custodian of it
or for any substantial part of its property; 

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

     (v)
files a petition in bankruptcy or answer or
consent seeking reorganization or relief; or 

     (vi)
consents to the filing of such petition or the
appointment of or taking possession by a Custodian;

     (j)
a court of competent jurisdiction enters an order
or decree under the Bankruptcy Code that: 

     (i)
is for relief against the Company or any
Significant Subsidiary (or any group of Subsidiaries that, together, constitute
a Significant Subsidiary), in an involuntary case or proceeding; 

     (ii)
appoints a Custodian of the Company or any
Significant Subsidiary (or any group of Subsidiaries that, together, constitute
a Significant Subsidiary), or for any substantial part of its property; or

     (iii)
orders the winding up or liquidation of the
Company or any Significant Subsidiary (or any group of Subsidiaries that,
together, constitute a Significant Subsidiary), 

     (iv) and in each case the order or decree remains unstayed and in effect for
90 consecutive days. 

66

     For purposes of
this Section 7.01, a “Notice of
Default” means a written notice provided to
the Company by the Trustee, or to the Trustee and the Company by Holders of at
least 25% in aggregate Principal Amount at Maturity of the Securities then
outstanding, of the applicable default. Such notice must specify the default,
demand that it be remedied and state that the notice is a Notice of Default.
When any default under this Section 7.01 is cured, it ceases. 

    
The Trustee shall not be charged with knowledge of any Event of Default
unless written notice thereof shall have been given to a Trust Officer at the
Corporate Trust Office of the Trustee by the Company, a Paying Agent, any Holder
or any agent of any Holder. 

    
Notwithstanding anything else contained herein, if an Event of Default
has occurred and is continuing, then the Company shall not (A) (except in the
case of an Event of Default resulting from a default by the Company in the
payment of the Redemption Price with respect to such Securities) redeem any of
the Securities pursuant to Article 3 hereof, (B) (except in the case of an Event
of Default resulting from a default by the Company in the payment of the
Purchase Price with respect to such Securities) purchase any of the Securities
pursuant to Section 3.08 hereof or (C) (except in the case of an Event of
Default resulting from a default by the Company in the payment of the
Fundamental Change Purchase Price with respect to such Securities) purchase any
of the Securities pursuant to Section 3.09 hereof. 

    
Section 7.02 Acceleration. (a) Subject to Section
7.02(b), if an Event of Default occurs, the Company shall promptly notify the
Trustee thereof. If an Event of Default (excluding an Event of Default specified
in clause (i) or (j) of Section 7.01 in respect of the Company, but including
such Events of Default in respect of a Significant Subsidiary or group of
Subsidiaries that would, together, constitute a Significant Subsidiary) occurs
and is continuing, the Trustee may, by notice to the Company, or the Holders of
at least 25% in aggregate Principal Amount at Maturity of the Securities then
outstanding may, by notice to the Company and the Trustee, declare all unpaid
Accreted Principal Amount to the date of acceleration on the Securities then
outstanding (if not then due and payable) to be due and payable upon any such
declaration, and the same plus any interest, if any (including Additional Interest, if any),
on the Securities accrued but unpaid through the date of such declaration shall
become and be immediately due and payable. If an Event of Default specified in
clause (i) or (j) of Section 7.01 occurs in respect of the Company and not
solely in respect of a Significant Subsidiary or group of Subsidiaries that
would, together, constitute a Significant Subsidiary, the entire unpaid Accreted
Principal Amount of the Securities then outstanding and such interest (including
Additional Interest, if any), shall ipso
facto become and be immediately due and
payable without any declaration or other act on the part of the Trustee or any
Holder. The Holders of a majority in aggregate Principal Amount at Maturity of
the Securities then outstanding by notice to the Trustee may rescind an
acceleration and its consequences if (i) the rescission would not conflict with
any order or decree of a court of competent jurisdiction; (ii) all existing
Events of Default, other than the non-payment of the accelerated Accreted
Principal Amount or interest, have been cured or waived; and (iii) certain
amounts due to the Trustee and any predecessor Trustee under Section 8.07 are
paid. No such rescission shall affect any subsequent default or impair any right
consequent thereto. 

67 

     (b) Notwithstanding anything to
the contrary herein or in the Securities to the contrary, the sole remedy for an
Event of Default relating to the failure to comply with Section 5.02 of this
Indenture or Section 314(a)(1) of the TIA, shall for the 270 calendar days after
the occurrence of such an Event of Default consist exclusively of the right to
receive additional interest on the Securities at an annual rate equal to 0.50%
of the Principal Amount at Maturity of the Securities. Any such additional
interest will be payable in the same manner and on the same Interest Payment
Dates as the stated interest payable on the Securities and will be in addition
to any Additional Interest payable pursuant to Section 5.06(b) and Section
5.06(c). The additional interest will accrue on all outstanding Securities from
and including the date on which an Event of Default relating to a failure to
comply with Section 5.02 of this Indenture or Section 314(a)(1) of the TIA first
occurs to, but not including, the 270th day thereafter (or such earlier date on
which such Event of Default shall have been cured or waived). On such 270th day
(or earlier, if such Event of Default is cured or waived prior to such 270th
day), such additional interest shall cease to accrue, and the Securities shall
be subject to acceleration under Section 7.02(a) of this Indenture if the Event
of Default is continuing. The provisions described in this Section 7.02(b) shall
not affect the rights of Holders of Securities in the event of the occurrence of
any other Event of Default. 

    
Section 7.03 Other Remedies. If an Event of Default
occurs and is continuing, the Trustee may, but shall not be obligated to, pursue
any available remedy by proceeding at law or in equity to collect the payment of
the Accreted Principal Amount of or interest on the Securities or to enforce the
performance of any provision of the Securities or this Indenture. 

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

    
Section 7.04 Waiver of Defaults and Events of Default. Subject to Section 7.07 and 10.02, the Holders of a majority in
aggregate Principal Amount at Maturity of the Securities then outstanding by
notice to the Trustee may waive any past default or Event of Default and its
consequence, except a default or Event of Default in the payment of the Accreted
Principal Amount of, or interest on, any Security, or the payment of the
Redemption Price, the Purchase Price or the Fundamental Change Purchase Price, a
Default or Event of Default arising from the Company’s failure to convert any
Security in accordance with the terms of Article 4 or any default or Event of
Default in respect of any provision of this Indenture or the Securities which,
under Section 10.02, cannot be modified or amended without the consent of the
Holder of each Security affected. When a default or Event of Default is waived,
it is cured and ceases. 

    
Section 7.05 Control by Majority. The Holders of a
majority in aggregate Principal Amount at Maturity of the Securities then
outstanding may direct the time, method and place of conducting any proceeding
for any remedy available to the Trustee or exercising any trust or power
conferred on it. However, the Trustee may refuse to follow any direction that
conflicts with law or this Indenture, that the Trustee determines may be
prejudicial to the rights of another Holder or the Trustee, or that may involve
the Trustee in personal liability unless the Trustee is offered indemnity satisfactory to it. In addition, the Trustee may take
any other action deemed proper by the Trustee which is not inconsistent with
such direction. 

68 

     Section
7.06 Limitations on Suits. A Holder may not
pursue any remedy with respect to this Indenture or the Securities (except
actions for payment of overdue Accreted Principal Amount of, or interest on, or
for the conversion of the Securities pursuant to Article 4) unless: 

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

    
(b) the
Holders of at least 25% in aggregate Principal Amount at Maturity of the then
outstanding Securities make a written request to the Trustee to pursue the
remedy; 

    
(c) the
Holder or Holders offer, and if requested, provide to the Trustee indemnity
reasonably satisfactory to the Trustee against any loss, liability or expense;
and 

    
(d) the
Trustee does not comply with the request within 60 days after receipt of the
notice, request and the offer of indemnity, and does not receive, during those
60 days, from Holders of a majority in aggregate Principal Amount at Maturity of
the Securities then outstanding, a direction that is inconsistent with the
request. 

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

    
Section 7.07 Rights of Holders to Receive Payment and to Convert. Notwithstanding any other provision of this Indenture, the
right of any Holder of a Security to receive payment of the Principal Amount at
Maturity or Accreted Principal Amount, as applicable, of and interest on the
Security, on or after the respective dates expressed in the Security and this
Indenture on which such payments are due and payable, to convert such Security
in accordance with Article 4 and to bring suit for the enforcement of any such
payment on or after such respective dates or the right to convert, is absolute
and unconditional and shall not be impaired or affected without the consent of
the Holder. 

    
Section 7.08 Collection Suit by Trustee. If an
Event of Default in the payment of the Accreted Principal Amount or interest
specified in clause (a) or (b) of Section 7.01 occurs and is continuing, the
Trustee may recover judgment in its own name and as trustee of an express trust
against the Company or another obligor on the Securities for the whole amount of
the Accreted Principal Amount and accrued interest remaining unpaid, if any,
together with, to the extent that payment of such interest is lawful, interest
on overdue Accreted Principal Amount and on overdue installments of interest, in
each case at the rate per annum borne by the Securities and such further amount
as shall be sufficient to cover the costs and expenses of collection, including
the reasonable compensation, expenses, disbursements and advances of the
Trustee, its agents and counsel. 

69 

    
Section 7.09 Trustee May File Proofs of Claim. The
Trustee may file such proofs of claim and other papers or documents as may be
necessary or advisable in order to have the claims of the Trustee (including any
claim for the reasonable compensation, expenses, disbursements and advances of
the Trustee, its agents and counsel) and the Holders allowed in any judicial
proceedings relative to the Company (or any other obligor on the Securities),
its creditors or its property and shall be entitled and empowered to collect and
receive any money or other property payable or deliverable on any such claims
and to distribute the same, and any Custodian in any such judicial proceeding is
hereby authorized by each Holder to make such payments to the Trustee and, in
the event that the Trustee shall consent to the making of such payments directly
to the Holders, to pay to the Trustee any amount due to it for the reasonable
compensation, expenses, disbursements and advances of the Trustee, its agents
and counsel, and any other amounts due the Trustee under Section 8.07, and to
the extent that such payment of the reasonable compensation, expenses,
disbursements and advances in any such proceedings shall be denied for any
reason, payment of the same shall be secured by a lien on, and shall be paid out
of, any and all distributions, dividends, money, securities and other property
which the Holders may be entitled to receive in such proceedings, whether in
liquidation or under any plan of reorganization or arrangement or otherwise.
Nothing herein contained shall be deemed to authorize the Trustee to authorize
or consent to, or, on behalf of any Holder, to authorize, accept or adopt any
plan of reorganization, arrangement, adjustment or composition affecting the
Securities or the rights of any Holder thereof, or to authorize the Trustee to
vote in respect of the claim of any Holder in any such proceeding. 

     Section
7.10 Priorities. If the Trustee collects
any money pursuant to this Article 7, it shall pay out the money in the
following order: 

    
First, to the Trustee for amounts
due under Section 8.07; 

    
Second, to Holders for amounts
due and unpaid on the Securities for the Accreted Principal Amount and interest
(including Additional Interest, if any), ratably, without preference or priority
of any kind, according to the amounts due and payable on the Securities for the
Accreted Principal Amount and interest (including Additional Interest, if any),
respectively; and 

    
Third, the balance, if any, to
the Company. 

    
The Trustee may fix a record date and payment date for any payment to
Holders pursuant to this Section 7.10. 

    
Section 7.11 Undertaking for Costs. In any suit for
the enforcement of any right or remedy under this Indenture or in any suit
against the Trustee for any action taken or omitted by it as Trustee, a court in
its discretion may require the filing by any party litigant in the suit of an
undertaking to pay the costs of the suit, and the court in its discretion may
assess reasonable costs, including reasonable attorneys’ fees and expenses,
against any party litigant in the suit, having due regard to the merits and good
faith of the claims or defenses made by the party litigant. This Section 7.11
does not apply to a suit made by the Trustee, a suit by a Holder pursuant to
Section 7.07, or a suit by Holders of more than 10% in aggregate Principal
Amount at Maturity of the Securities then outstanding. 

70 

ARTICLE 8
TRUSTEE

    
Section 8.01 Duties of Trustee. (a) If an Event of
Default has occurred and is continuing, the Trustee shall exercise such of the
rights and powers vested in it by this Indenture and use
the same degree of care and skill in its exercise as a prudent person would
exercise or use under the circumstances in the conduct of his or her own
affairs. 

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

    
(i) the
Trustee need perform only those duties as are specifically set forth in this
Indenture and no others; and 

    
(ii) in
the absence of bad faith on its part, the Trustee may conclusively rely, as to
the truth of the statements and the correctness of the opinions expressed
therein, upon certificates or opinions furnished to the Trustee and conforming
to the requirements of this Indenture. The Trustee, however, shall examine any
certificates and opinions which by any provision hereof are specifically
required to be delivered to the Trustee to determine whether or not they conform
to the requirements of this Indenture. 

    
(c) The
Trustee may not be relieved from liability for its own negligent action, its own
negligent failure to act, or its own willful misconduct, except that:

    
(i) this
paragraph does not limit the effect of subsection (b) of this Section 8.01;

    
(ii) the
Trustee shall not be liable for any error of judgment made in good faith by a
Trust Officer, unless it is proved that the Trustee was negligent in
ascertaining the pertinent facts; and 

    
(iii) the Trustee shall not be liable with respect to any action it takes or
omits to take in good faith in accordance with a direction received by it
pursuant to Section 7.05. 

    
(d) No
provision of this Indenture shall require the Trustee to expend or risk its own
funds or otherwise incur any financial liability in the performance of any of
its duties hereunder or in the exercise of any of its rights or powers unless
the Trustee shall have received adequate indemnity in its opinion against
potential costs and liabilities incurred by it relating thereto. 

    
(e) Every
provision of this Indenture that in any way relates to the Trustee is subject to
subsections (a), (b), (c) and (d) of this Section 8.01. 

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

    
Section 8.02 Rights of Trustee. Subject to Section
8.01: 

    
(a) The
Trustee may rely conclusively on any document believed by it to be genuine and
to have been signed or presented by the proper person. The Trustee need not
investigate any fact or matter stated in the document. 

71 

     (b) Before the Trustee acts or
refrains from acting, it may require an Officers’ Certificate or an Opinion of
Counsel, which shall conform to Section 12.04(b). The Trustee shall not be
liable for any action it takes or omits to take in good faith in reliance on
such Officers’ Certificate or Opinion. 

    
(c) The
Trustee may act through its agents and shall not be responsible for the
misconduct or negligence of any agent appointed with due care. 

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

    
(e) The
Trustee may consult with counsel of its selection, and the advice or opinion of
such counsel as to matters of law shall be full and complete authorization and
protection in respect of any such action taken, omitted or suffered by it
hereunder in good faith and in accordance with the advice or opinion of such
counsel. 

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

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

    
(h) Except
with respect to Section 5.01, the Trustee shall have no duty to inquire as to
the performance of the Company with respect to the covenants contained in
Article 5. In addition, the Trustee shall not be deemed to have knowledge of an
Event of Default except (i) any Default or Event of Default occurring pursuant
to Section 5.01, Section 7.01(a) or Section 7.01(b) or (ii) any Default or Event
of Default of which a Trust Officer of the Trustee shall have received written
notification or obtained actual knowledge. 

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

    
(j) Delivery of reports, information and documents to the Trustee under
Section 5.02 is for informational purposes only and the Trustee’s receipt of the
foregoing shall not constitute constructive notice of any information contained
therein or determinable from information contained therein, including the
Company’s compliance with any of its covenants hereunder (as to which the
Trustee is entitled to rely exclusively on Officer’s Certificates). 

72 

     (k) In no event shall the Trustee
be responsible or liable for special, indirect or consequential loss or damage
of any kind whatsoever (including, but not limited to, loss of profit)
irrespective of whether the Trustee has been advised of the likelihood of such
loss or damage and regardless of the form of action. 

    
Section 8.03 Individual Rights of Trustee. The
Trustee in its individual or any other capacity may become the owner or pledgee
of Securities and may otherwise deal with the Company or an Affiliate of the
Company with the same rights it would have if it were not Trustee. Any Agent may
do the same with like rights. However, the Trustee is subject to Section 8.10
and Section 8.11. 

    
Section 8.04 Trustee’s Disclaimer. The Trustee
makes no representation as to the validity or adequacy of this Indenture or the
Securities, it shall not be accountable for the Company’s use of the proceeds
from the Securities, and it shall not be responsible for any statement of the
Company in the Securities other than its certificate of authentication.

    
Section 8.05 Notice of Default or Events of Default. If a default or an Event of Default occurs and is continuing and a
Trust Officer of the Trustee has received notice thereof, the Trustee shall mail
to each Securityholder notice of the default or Event of Default within 30 days
after it occurs or, if later, within 15 Business Days after the Trustee has
received notice thereof. However, the Trustee may withhold the notice if and so
long as such default or Event of Default has been cured or waived, or a
committee of its Trust Officers in good faith determines that withholding notice
is in the interests of Securityholders, except in the case of a default or an
Event of Default in payment of the principal amount of or interest on any
Security. 

    
Section 8.06 Reports by Trustee to Holders. If such
report is required by TIA Section 313, within 60 days after each May 15,
beginning with May 15, 2013, the Trustee shall mail to each Securityholder a
brief report dated as of such May 15 that complies with TIA Section 313(a). The
Trustee also shall comply with TIA Section 313(b)(2) and (c). 

    
A copy of each report at the time of its mailing to Securityholders shall
be mailed to the Company and filed with the SEC and each stock exchange, if any,
on which the Securities are listed. The Company shall notify the Trustee
whenever the Securities become listed on any stock exchange or listed or
admitted to trading on any quotation system and any changes in the stock
exchanges or quotation systems on which the Securities are listed or admitted to
trading and of any delisting thereof. 

    
Section 8.07 Compensation and Indemnity. The
Company shall pay to the Trustee from time to time such compensation (as agreed
to from time to time by the Company and the Trustee in writing) for its services
(which compensation shall not be limited by any provision of law in regard to
the compensation of a trustee of an express trust). The Company shall reimburse
the Trustee upon request for all reasonable disbursements, expenses and advances
incurred or made by it. Such expenses may include the reasonable compensation,
disbursements and expenses of the Trustee’s agents and counsel. 

73 

    
The Company shall indemnify the Trustee or any predecessor Trustee (which
for purposes of this Section 8.07 shall include its officers, directors,
employees and agents) for, and hold it harmless against, any and all
loss, liability, claim, damage or expense including taxes (other than taxes
based upon, measured by or determined by the income of the Trustee), including
reasonable legal fees and expenses, incurred by it in connection with the
acceptance or administration of its duties under this Indenture or any action or
failure to act as authorized or within the discretion or rights or powers
conferred upon the Trustee hereunder including the reasonable costs and expenses
of the Trustee and its counsel in defending itself against any claim or
liability in connection with the exercise or performance of any of its powers or
duties hereunder. The Trustee shall notify the Company promptly of any claim
asserted against the Trustee for which it may seek indemnity. The Company need
not pay for any settlement without their written consent, which consent shall
not be unreasonably withheld. 

    
The Company need not reimburse the Trustee for any expense or indemnify
it against any loss or liability incurred by it resulting from its own
negligence or bad faith. 

    
To secure the Company’s payment obligations in this Section 8.07, the
Trustee shall have a senior claim to which the Securities are hereby made
subordinate on all money or property held or collected by the Trustee, except
such money or property held in trust to pay the principal amount of and interest
on the Securities. The obligations of the Company under this Section 8.07 shall
survive the satisfaction and discharge of this Indenture or the resignation or
removal of the Trustee. 

    
When the Trustee incurs expenses or renders services after an Event of
Default specified in clause (i) or (j) of Section 7.01 occurs, the expenses and
the compensation for the services are intended to constitute expenses of
administration under the Bankruptcy Code. The provisions of this Section shall
survive the termination of this Indenture. 

    
Section 8.08 Replacement of Trustee. The Trustee
may resign by so notifying the Company. The Holders of a majority in aggregate
Principal Amount at Maturity of the Securities then outstanding may remove the
Trustee by so notifying the Trustee and may, with the Company’s written consent,
appoint a successor Trustee. The Company may remove the Trustee if: 

    
(a) the
Trustee fails to comply with Section 8.10; 

    
(b) the
Trustee is adjudged a bankrupt or an insolvent; 

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

    
(d) the
Trustee becomes incapable of acting. 

    
If the Trustee resigns or is removed or if a vacancy exists in the office
of Trustee for any reason, the Company shall promptly appoint a successor
Trustee. The resignation or removal of a Trustee shall not be effective until a
successor Trustee shall have delivered the written acceptance of its appointment
as described below. 

    
If a successor Trustee does not take office within 45 days after the
retiring Trustee resigns or is removed, the retiring Trustee, the Company or the
Holders of 10% in Principal Amount at Maturity of the
Securities then outstanding may petition any court of competent jurisdiction for
the appointment of a successor Trustee at the expense of the Company.

74 

     If the Trustee
fails to comply with Section 8.10, any Holder may petition any court of
competent jurisdiction for the removal of the Trustee and the appointment of a
successor Trustee. 

    
A successor Trustee shall deliver a written acceptance of its appointment
to the retiring Trustee and to the Company. Immediately after that, the retiring
Trustee shall (upon payment of its charges hereunder) transfer all property held
by it as Trustee to the successor Trustee and be released from its obligations
(exclusive of any liabilities that the retiring Trustee may have incurred while
acting as Trustee) hereunder, the resignation or removal of the retiring Trustee
shall become effective, and the successor Trustee shall have all the rights,
powers and duties of the Trustee under this Indenture. A successor Trustee shall
mail notice of its succession to each Holder. 

    
A retiring Trustee shall not be liable for the acts or omissions of any
successor Trustee after its succession. 

    
Notwithstanding replacement of the Trustee pursuant to this Section 8.08,
the Company’s obligations under Section 8.07 shall continue for the benefit of
the retiring Trustee. 

    
Section 8.09 Successor Trustee by Merger, Etc. If
the Trustee consolidates with, merges or converts into, or transfers all or
substantially all of its corporate trust assets (including the administration of
this Indenture) to, another corporation, the resulting, surviving or transferee
corporation, without any further act, shall be the successor Trustee, provided
such transferee corporation shall qualify and be eligible under Section 8.10.
Such successor Trustee shall promptly mail notice of its succession to the
Company and each Holder. 

    
Section 8.10 Eligibility; Disqualification. The
Trustee shall always satisfy the requirements of paragraphs (1), (2) and (5) of
TIA Section 310(a). The Trustee (or its parent holding company) shall have a
combined capital and surplus of at least $50,000,000. If at any time the Trustee
shall cease to satisfy any such requirements, it shall resign immediately in the
manner and with the effect specified in this Article 8. The Trustee shall be
subject to the provisions of TIA Section 310(b). Nothing herein shall prevent
the Trustee from filing with the SEC the application referred to in the
penultimate paragraph of TIA Section 310(b). 

    
Section 8.11 Preferential Collection of Claims Against Company. The Trustee shall comply with TIA Section 311(a), excluding
any creditor relationship listed in TIA Section 311(b). A Trustee who has resigned or been removed shall be
subject to TIA Section 311(a) to the extent indicated therein. 

75 

ARTICLE 9
SATISFACTION AND DISCHARGE OF INDENTURE

    
Section 9.01 Satisfaction and Discharge of Indenture. This Indenture shall cease to be of further effect if: 

    
(a) either:

     (i) all
outstanding Securities (other than Securities replaced pursuant to Section 2.07)
have been delivered to the Trustee for cancellation or 

    
(ii) all
outstanding Securities have been called for Redemption or have become due and
payable on the Final Maturity Date or upon purchase pursuant to Section 3.08 or
Section 3.09, 

and in any such case the Company
irrevocably deposits, prior to the applicable date on which such payment is due
and payable, with the Trustee or the Paying Agent (if the Paying Agent is not
the Company or any of its Affiliates) Cash, and, if applicable as herein
provided and in accordance herewith, such other consideration, sufficient to pay
all amounts due and owing on all outstanding Securities (other than Securities
replaced pursuant to Section 2.07) on the Final Maturity Date or a Purchase
Date, Redemption Date or Fundamental Change Purchase Date, as the case may be;

    
(b) the
Company pays to the Trustee all other sums payable hereunder by the Company;

    
(c) no
Default or Event of Default with respect to the Securities shall exist on the
date of such deposit; 

    
(d) such
deposit shall not result in a breach or violation of, or constitute a Default or
Event of Default under, this Indenture or any other agreement or instrument to
which the Company is a party or by which it is bound; and 

    
(e) the
Company has delivered to the Trustee an Officer’s Certificate and an Opinion of
Counsel (which may rely upon such Officer’s Certificate as to the absence of
Defaults and Events of Default and as to any factual matters), each stating that
all conditions precedent provided for herein relating to the satisfaction and
discharge of this Indenture have been complied with. 

    
Notwithstanding the satisfaction and discharge of this Indenture, the
obligations of the Company to the Trustee under Section 8.07 shall survive such
satisfaction and discharge and, if money shall have been deposited with the
Trustee pursuant to clause (a) of this Section, the provisions of Section 2.03,
Section 2.04, Section 2.05, Section 2.06, Section 2.07, Section 2.12, Section
3.08 and Section 3.09, Article 4, the last paragraph of Section 5.01 and this
Article 9, shall survive and the Company shall be required to make all payments
and deliveries required by such Sections or Articles, as the case may be,
irrespective of any prior satisfaction and discharge until the Securities have
been paid in full. 

    
Section 9.02 Application of Trust Money. Subject to
the provisions of Section 9.03, the Trustee or a Paying Agent shall hold in
trust, for the benefit of the Holders, all money deposited with it pursuant to
Section 9.01 and shall apply the deposited money in accordance with this
Indenture and the Securities to the payment of the applicable principal amount
of and interest on the Securities. 

76 

     Section
9.03 Repayment
to Company. The Trustee and each Paying Agent
shall promptly pay to the Company upon request any excess money (a) deposited
with them pursuant to Section 9.01 and (b) held by them at any time. 

    
The Trustee and each Paying Agent shall pay to the Company upon request
any money held by them for the payment of the applicable principal amount or
interest that remains unclaimed for two years after a right to such money has
matured (which maturity shall occur, for the avoidance of doubt, on the Final
Maturity Date, the Redemption Date (with respect to any Securities redeemed
pursuant to Section 3.01), the Purchase Date (with respect to any Securities
purchased pursuant to Section 3.08) or the Fundamental Change Purchase Date
(with respect to any Securities purchased pursuant to Section 3.09);
provided,
however,
that the Trustee or such Paying Agent, before being required to make any such
payment, may at the expense of the Company cause to be mailed to each Holder
entitled to such money or publish in a newspaper of general circulation in the
City of New York notice that such money remains unclaimed and that after a date
specified therein, which shall be at least 30 days from the date of such mailing
or publication, any unclaimed balance of such money then remaining will be
repaid to the Company. After payment to the Company, Holders entitled to money
must look to the Company for payment as general creditors unless an applicable
abandoned property law designates another person. 

    
Section 9.04 Reinstatement. If the Trustee or any
Paying Agent is unable to apply any money in accordance with Section 9.02 by
reason of any legal proceeding or by reason of any order or judgment of any
court or governmental authority enjoining, restraining or otherwise prohibiting
such application, then the Company’s obligations under this Indenture and the
Securities shall be revived and reinstated as though no deposit had occurred
pursuant to Section 9.01 until such time as the Trustee or such Paying Agent is
permitted to apply all such money in accordance with Section 9.02;
provided,
however,
that if the Company has made any payment of the applicable principal amount of
or interest on any Securities because of the reinstatement of its obligations,
the Company shall be subrogated to the rights of the Holders of such Securities
to receive any such payment from the money held by the Trustee or such Paying
Agent. 

ARTICLE 10
AMENDMENTS, SUPPLEMENTS AND WAIVERS

    
Section 10.01 Without Consent of Holders. The
Company and the Trustee may amend or supplement this Indenture or the Securities
without notice to or consent of any Securityholder: 

    
(a) to
evidence the assumption of the Company’s obligations under this Indenture and
the Securities by a successor upon consolidation or merger or the sale,
transfer, lease, conveyance or other disposition of all or substantially all of
the Company’s property or assets in accordance with this Indenture; 

    
(b) to make
adjustments in accordance with this Indenture to the right to convert the
Securities upon reclassifications or changes in the Common Stock pursuant to
Section 4.03 and consolidations, mergers and binding share exchanges and upon
the sale, transfer, lease, conveyance or other disposition of all or
substantially all of the Company’s property or assets pursuant to Section 4.04;

77 

     (c) make any changes or
modifications to this Indenture necessary in connection with the qualification
of this Indenture under the TIA; 

    
(d) to
secure the obligations of the Company in respect of the Securities; 

    
(e) to add
to the covenants of the Company described in this Indenture for the benefit of
Securityholders or to surrender any right or power conferred upon the Company;
and 

    
(f) to make
provision with respect to adjustments to the Conversion Rate as required by this
Indenture or to increase the Conversion Rate in accordance with this Indenture.

In addition, the Company and the Trustee
may enter into a supplement to this Indenture to cure any ambiguity, defect,
omission or inconsistency in this Indenture in a manner that does not adversely
affect the rights of any Holder. 

    
Section 10.02 With Consent of Holders. The Company
and the Trustee may amend or supplement this Indenture or the Securities with
the written consent of the Holders of at least a majority in aggregate Principal
Amount at Maturity of the Securities then outstanding. The Holders of at least a
majority in aggregate Principal Amount at Maturity of the Securities then
outstanding may waive compliance in a particular instance by the Company with
any provision of this Indenture or the Securities without notice to any
Securityholder. However, notwithstanding the foregoing but subject to Section
10.04, without the written consent of each Securityholder affected, an
amendment, supplement or waiver, including a waiver pursuant to Section 7.04,
may not: 

    
(a) change
the Final Maturity Date of the Principal Amount at Maturity of, or any
installment of interest (including Additional Interest, if any) on, any
Security; 

    
(b) reduce
the Principal Amount at Maturity or Accreted Principal Amount, as applicable,
of, or any interest (including Additional Interest, if any) on, any Security;

    
(c) change
the place or currency of payment of the Principal Amount at Maturity or Accreted
Principal Amount, as applicable, of, or interest on (including Additional
Interest, if any), any Security; 

    
(d) impair
the right of any Holder to institute suit for the enforcement of any payment on,
or with respect to, any Security; 

    
(e) modify,
in a manner adverse to the Holders of Securities, the right of the Holders to
require the Company to purchase the Securities as provided in Section 3.08 and
Section 3.09; 

    
(f) adversely affect the right of Holders to convert their Securities in
accordance of this Indenture; 

    
(g) reduce
the percentage in the aggregate Principal Amount at Maturity of the outstanding
Securities whose Holders must consent to a modification or amendment of this
Indenture or the Securities; 

78 

     (h) reduce the percentage in the
aggregate Principal Amount at Maturity of the outstanding Securities whose
Holders must consent to a waiver of compliance with any provisions of this
Indenture or the Securities or a waiver of any Default or Event of Default under
this Indenture;

    
(i) modify
the ranking of the Securities or the Guarantee in a manner adverse to the
Holders of the Securities; and 

    
(j) modify
the provisions of this Indenture with respect to modification and waiver
(including waiver of a default or Event of Default), except to increase the
percentage required for modification or waiver or to provide for the consent of
each affected Holder. 

    
It shall not be necessary for the consent of the Holders under this
Section 10.02 to approve the particular form of any proposed amendment,
supplement or waiver, but it shall be sufficient if such consent approves the
substance thereof. 

    
After an amendment, supplement or waiver under this Section 10.02 becomes
effective, the Company shall mail to the Holders affected thereby a notice
briefly describing the amendment, supplement or waiver. Any failure of the
Company to mail such notice, or any defect therein, shall not, however, in any
way impair or affect the validity of any such amendment, supplement or waiver.

    
To the extent that the Company or any of the Subsidiaries hold any
Securities, such Securities shall be disregarded for purposes of voting in
connection with any notice, waiver, consent or direction requiring the vote or
concurrence of Securityholders. 

    
Section 10.03 Compliance with Trust Indenture Act.
Every amendment to or supplement of this Indenture or the Securities shall
comply with the TIA as in effect at the date of such amendment or supplement.

    
Section 10.04 Revocation and Effect of Consents.
Until an amendment, supplement or waiver becomes effective, a consent to it by a
Holder is a continuing consent by the Holder and every subsequent Holder of a
Security or portion of a Security that evidences the same debt as the consenting
Holder’s Security, even if notation of the consent is not made on any Security.
However, any such Holder or subsequent Holder may revoke the consent as to its
Security or portion of a Security if the Trustee receives the notice of
revocation before the date the amendment, supplement or waiver becomes
effective. 

    
After an amendment, supplement or waiver becomes effective, it shall bind
every Securityholder, unless it makes a change described in any of clauses (a)
through (j) of Section 10.02. In that case the amendment, supplement or waiver
shall bind each Holder of a Security who has consented to it and every
subsequent Holder of a Security or portion of a Security that evidences the same
debt as the consenting Holder’s Security. 

    
Section 10.05 Notation on or Exchange of Securities.
If an amendment, supplement or waiver changes the terms of a Security, the
Trustee may require the Holder of the Security to deliver it to the Trustee. The
Trustee may place an appropriate notation on the Security about the changed
terms and return it to the Holder. Alternatively, if the Company or the Trustee
so determines, the Company in exchange for the Security
shall issue and the Trustee shall authenticate a new Security that reflects the
changed terms. 

79 

     Section
10.06 Trustee
to Sign Amendments, Etc. The Trustee shall
sign any amendment or supplemental indenture authorized pursuant to this Article
10 if the amendment or supplemental indenture does not adversely affect the
rights, duties, liabilities or immunities of the Trustee. If it does, the
Trustee may, in its sole discretion, but need not, sign it. In signing or
refusing to sign such amendment or supplemental indenture, the Trustee shall be
provided with and, subject to Section 8.01, shall be fully protected in relying
upon, an Opinion of Counsel stating that such amendment or supplemental
indenture is authorized or permitted by this Indenture. The Company may not sign
an amendment or supplemental indenture until the Board of Directors approves it.

    
Section 10.07 Effect of Supplemental Indentures.
Upon the execution of any supplemental indenture under this Article, this
Indenture shall be modified in accordance therewith, and such supplemental
indenture shall form a part of this Indenture for all purposes; and every Holder
of Securities theretofore or thereafter authenticated and delivered hereunder
shall be bound thereby. 

ARTICLE 11
[RESERVED]

ARTICLE 12
MISCELLANEOUS 

     Section
12.01 Trust
Indenture Act Controls. If any provision of
this Indenture limits, qualifies or conflicts with the duties imposed by any of
Sections 310 to 317, inclusive, of the TIA through operation of Section 318(c)
thereof, such imposed duties shall control. 

    
Section 12.02 Notices. Any demand, authorization
notice, request, consent or communication shall be given in writing and
delivered in person or mailed by first-class mail, postage prepaid, addressed as
follows or transmitted by facsimile transmission (confirmed by delivery in
person or mail by first-class mail, postage prepaid, or by guaranteed overnight
courier) to the following facsimile numbers: 

    
If to the Company, to: 

          Meritor,
Inc. 
         
2135 West Maple Road
          Troy,
Michigan 48048
          Attention
of: General Counsel
          Fax: (248)
435-1393 

    
if to the Trustee, to: 

          The Bank of
New York Mellon Trust Company, N.A.
          2 North
LaSalle Street, Suite 1020
          Chicago, IL
60602
          Attention
of: Corporate Trust Administration
          Fax:
(312) 827-8542 

80 

     Such notices or communications shall
be effective when received. 

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

     Any notice or communication mailed
to a Securityholder shall be mailed by first-class mail or delivered by an
overnight delivery service to it at its address shown on the register kept by
the Primary Registrar. 

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

     The Trustee agrees to accept and act
upon instructions or directions pursuant to this Indenture sent by unsecured
e-mail, facsimile transmission or other similar unsecured electronic methods.
The Trustee shall not be liable for any losses, costs or expenses arising
directly or indirectly from the Trustee’s reliance upon and compliance with such
instructions notwithstanding such instructions conflict or are inconsistent with
a subsequent written instruction. The party providing electronic instructions
agrees to assume all risks arising out of the use of such electronic methods to
submit instructions and directions to the Trustee, including without limitation
the risk of the Trustee acting on unauthorized instructions, and the risk of
interception and misuse by third parties. 

     Section 12.03 Communications by Holders with Other
Holders. Securityholders may communicate
pursuant to TIA Section 312(b) with other Securityholders with respect to their
rights under this Indenture or the Securities. The Company, the Trustee, the
Registrar and any other person shall have the protection of TIA Section 312(c).

     Section 12.04 Certificate and Opinion as to
Conditions Precedent. (a) Upon any request or
application by the Company to the Trustee to take any action under this
Indenture, the Company shall furnish to the Trustee at the request of the
Trustee: 

     (i)
an Officers’ Certificate stating that, in the
opinion of the signers, all conditions precedent (including any covenants,
compliance with which constitutes a condition precedent), if any, provided for
in this Indenture relating to the proposed action have been complied with; and

     (ii)
an Opinion of Counsel stating that, in the
opinion of such counsel, all such conditions precedent (including any covenants,
compliance with which constitutes a condition precedent) have been complied
with. 

81 

     (b)
Each Officers’ Certificate and Opinion of Counsel
with respect to compliance with a condition or covenant provided for in this
Indenture shall include: 

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

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

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

     (iv)
a statement as to whether or not, in the opinion
of such person, such condition or covenant has been complied with; 

provided, however, that with respect to matters of fact an Opinion of Counsel may rely on
an Officers’ Certificate or certificates of public officials. 

    
Section 12.05 Record Date for Vote or Consent of Securityholders. The Company (or, in the event deposits have been made
pursuant to Section 9.01, the Trustee) may set a record date for purposes of
determining the identity of Holders entitled to vote or consent to any action by
vote or consent authorized or permitted under this Indenture, which record date
shall not be more than thirty (30) days prior to the date of the commencement of
solicitation of such action. Notwithstanding the provisions of Section 10.04, if
a record date is fixed, those persons who were Holders of Securities at the
close of business on such record date (or their duly designated proxies), and
only those persons, shall be entitled to take such action by vote or consent or
to revoke any vote or consent previously given, whether or not such persons
continue to be Holders after such record date. 

    
Section 12.06 Rules by Trustee, Paying Agent, Registrar and Conversion
Agent. The Trustee may make reasonable rules
(not inconsistent with the terms of this Indenture) for action by or at a
meeting of Holders. Any Registrar, Paying Agent or Conversion Agent may make
reasonable rules for its functions. 

    
Section 12.07 Legal Holidays. If a payment date is a
Legal Holiday, payment shall be made on the next succeeding day that is not a
Legal Holiday, and no interest shall accrue for the intervening period. If a
Regular Record Date is a Legal Holiday, the Regular Record Date shall not be
affected. 

    
Section 12.08 Governing Law. This Indenture and the
Securities shall be governed by, and construed in accordance with, the laws of
the State of New York, without regard to principles of conflicts of laws.

    
Section 12.09 No Adverse Interpretation of Other Agreements. This Indenture may not be used to interpret another indenture, loan or
debt agreement of the Company or a Subsidiary of the Company. Any such
indenture, loan or debt agreement may not be used to interpret this Indenture.

82 

     Section
12.10 Successors. All agreements of the
Company in this Indenture and the Securities shall bind its successor. All
agreements of the Trustee in this Indenture shall bind its successor.

    
Section 12.11 Multiple Counterparts. The parties may
sign multiple counterparts of this Indenture. Each signed counterpart shall be
deemed an original, but all of them together represent the same agreement.

    
Section 12.12 Separability. In case any provisions
in this Indenture or in the Securities shall be invalid, illegal or
unenforceable, the validity, legality and enforceability of the remaining
provisions shall not in any way be affected or impaired thereby. 

    
Section 12.13 Table of Contents, Headings, Etc. The
table of contents, cross-reference sheet and headings of the Articles and
Sections of this Indenture have been inserted for convenience of reference only,
are not to be considered a part hereof, and shall in no way modify or restrict
any of the terms or provisions hereof. 

    
Section 12.14 No Recourse Against Others. No
recourse under or upon any obligation, covenant or agreement contained in this
Indenture, or in any Security, or because of any indebtedness evidenced thereby,
shall be had against any incorporator, as such, or against any past, present or
future stockholder, employee, officer or director, as such, of the Company or of
any successor, either directly or through the Company or any successor, under
any rule of law, statute or constitutional provision or by the enforcement of
any assessment or by any legal or equitable proceeding or otherwise, all such
liability being expressly waived and released by the acceptance of the
Securities by the Holders and as part of the consideration for the issue of the
Securities. 

    
Section 12.15 Calculations in Respect of Securities.
The Company or its agents will be responsible for making all calculations called
for under the Securities including, but not limited to, determination of the
Trading Price, Current Market Price and Closing Sale Price of the Common Stock,
the number of shares of Common Stock issuable upon conversion, the Conversion
Share Cap, the amount of principal accretion on the Securities and the amounts
of interest on the Securities. Any calculations made in good faith and without
manifest error will be final and binding on Holders of the Securities. The
Company or its agents will be required to deliver to the Trustee a schedule of
its calculations and the Trustee will be entitled to conclusively rely upon the
accuracy of such calculations without independent verification. The Trustee has
no duty to determine when such calculations should be made, how they should be
made or what the calculations should be and shall not suffer any liability as a
result thereof. 

    
Section 12.16 Waiver of Jury Trial. EACH OF THE
COMPANY AND THE TRUSTEE HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT
PERMITTED BY APPLICABLE LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL
PROCEEDING ARISING OUT OF OR RELATING TO THIS INDENTURE, THE SECURITIES OR THE TRANSACTIONS CONTEMPLATED HEREBY.

83 

    
Section 12.17 Force Majeure. In no event shall the
Trustee be responsible or liable for any failure or delay in the performance of
its obligations hereunder arising out of or caused by, directly or indirectly,
forces beyond its control, including, without limitation, strikes, work
stoppages, accidents, acts of war or terrorism, civil or military disturbances,
nuclear or natural catastrophes or acts of God, and interruptions, loss or
malfunctions of utilities, communications or computer (software and hardware)
services; it being understood that the Trustee shall use reasonable efforts
which are consistent with accepted practices in the banking industry to resume
performance as soon as practicable under the circumstances. 

[SIGNATURE PAGE FOLLOWS] 

 

 

 

84 

     IN WITNESS
WHEREOF, the parties hereto have hereunto set their hands as of the date and
year first above written. 

	 	THE COMPANY
			 
		MERITOR,
      INC.
			 
			 
		By:  	/s/ Carl D.
      Anderson, II
			Name: Carl D. Anderson, II
			Title: Vice President and Treasurer
			 
			 
		THE TRUSTEE
			 
		THE BANK OF NEW
      YORK MELLON
			TRUST COMPANY, N.A., as Trustee
			 
			 
		By:   	/s/ Richard
      Tarnas
			Name: Richard Tarnas
			Title: Vice President

EXHIBIT A 

[FORM OF FACE OF SECURITY]

     [UNLESS THIS
CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST
COMPANY TO THE COMPANY OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR
PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO.
OR IN SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITORY TRUST COMPANY (AND ANY PAYMENT HEREON IS MADE TO CEDE & CO. OR TO
SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITORY TRUST COMPANY), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR
OTHERWISE BY OR TO ANY PERSON IS WRONGFUL SINCE THE REGISTERED OWNER HEREOF,
CEDE & CO., HAS AN INTEREST HEREIN. THIS SECURITY IS A GLOBAL SECURITY
WITHIN THE MEANING OF THE INDENTURE HEREINAFTER REFERRED TO AND IS REGISTERED IN
THE NAME OF A DEPOSITARY OR A NOMINEE THEREOF. THIS SECURITY IS EXCHANGEABLE FOR
SECURITIES REGISTERED IN THE NAME OF A PERSON OTHER THAN THE DEPOSITARY OR ITS
NOMINEE ONLY IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE AND, UNLESS
AND UNTIL IT IS EXCHANGED IN WHOLE OR IN PART FOR SECURITIES IN DEFINITIVE FORM,
THIS SECURITY MAY NOT BE TRANSFERRED EXCEPT AS A WHOLE BY THE DEPOSITARY TO A
NOMINEE OF THE DEPOSITARY OR BY A NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY OR
ANOTHER NOMINEE OF THE DEPOSITARY OR BY THE DEPOSITARY OR ANY SUCH NOMINEE TO A
SUCCESSOR DEPOSITARY OR A NOMINEE OF SUCH SUCCESSOR DEPOSITARY.]1

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

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

____________________
     1 These paragraphs should
be included only if the Security is a Global Security. 

	     	(2)     	AGREES FOR THE BENEFIT OF THE
      COMPANY THAT IT WILL NOT OFFER, SELL, PLEDGE OR OTHERWISE TRANSFER THIS
      SECURITY AND ANY COMMON STOCK ISSUABLE UPON CONVERSION OF THIS SECURITY OR
      ANY BENEFICIAL INTEREST HEREIN OR THEREIN PRIOR TO THE DATE THAT IS THE
      LATER OF (X) ONE YEAR AFTER THE ISSUE DATE HEREOF OR SUCH SHORTER PERIOD
      OF TIME AS PERMITTED BY RULE 144 UNDER THE SECURITIES ACT OR ANY SUCCESSOR
      PROVISION THEREUNDER, AND (Y) SUCH LATER DATE, IF ANY, AS MAY BE REQUIRED
      BY APPLICABLE LAW, EXCEPT ONLY:

	                    	(A)     	TO THE COMPANY OR ANY SUBSIDIARY
      THEREOF, OR
		 
		(B)	PURSUANT TO A REGISTRATION
      STATEMENT WHICH HAS BECOME EFFECTIVE UNDER THE SECURITIES ACT,
  OR
		 
		(C)	TO A QUALIFIED INSTITUTIONAL
      BUYER IN COMPLIANCE WITH RULE 144A UNDER THE SECURITIES ACT,
  OR
		 
		(D)	PURSUANT TO AN EXEMPTION FROM
      REGISTRATION PROVIDED BY RULE 144 UNDER THE SECURITIES ACT OR ANY OTHER
      AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES
      ACT.

PRIOR TO THE REGISTRATION OF ANY TRANSFER
IN ACCORDANCE WITH (2)(B) OR (2)(C) ABOVE, A DULY COMPLETED AND SIGNED
CERTIFICATE (THE FORM OF WHICH MAY BE OBTAINED FROM THE TRUSTEE) MUST BE
DELIVERED TO THE TRUSTEE. PRIOR TO THE REGISTRATION OF ANY TRANSFER IN
ACCORDANCE WITH (2)(D) ABOVE, THE COMPANY AND THE TRUSTEE RESERVE THE RIGHT TO
REQUIRE THE DELIVERY OF SUCH LEGAL OPINIONS, CERTIFICATIONS OR OTHER EVIDENCE AS
MAY REASONABLY BE REQUIRED IN ORDER TO DETERMINE THAT THE PROPOSED TRANSFER IS
BEING MADE IN COMPLIANCE WITH THE SECURITIES ACT AND APPLICABLE STATE SECURITIES
LAWS. NO REPRESENTATION IS MADE AS TO THE AVAILABILITY OF ANY EXEMPTION FROM THE
REGISTRATION REQUIREMENTS OF THE SECURITIES ACT.

THE HOLDER OF THIS SECURITY IS ENTITLED TO
THE BENEFITS OF A REGISTRATION RIGHTS AGREEMENT (AS SUCH TERM IS DEFINED IN THE
INDENTURE REFERRED TO ON THE REVERSE HEREOF) AND, BY ITS ACCEPTANCE HEREOF,
AGREES TO BE BOUND BY AND TO COMPLY WITH THE PROVISIONS OF SUCH REGISTRATION
RIGHTS AGREEMENT.] 2

____________________

     2 These paragraphs to be
included only if the Security is a Transfer Restricted Security. 

A-2

MERITOR, INC. 

	CUSIP No.: 59001KAA8	$250,000,000 Principal Amount at
  Maturity

ISIN: US59001KAA88 

     7.875%
CONVERTIBLE SENIOR NOTES DUE 2026

     Meritor, Inc., an Indiana
corporation (the “Company,” which term shall include any successor entity under the
Indenture referred to on the reverse hereof), promises to pay to Cede & Co.,
or registered assigns, the Principal Amount at Maturity of $250,000,000 on March
1, 2026, or such lesser amount as is indicated on the Schedule of Exchanges of
Securities on the other side of this Security to reflect exchanges, redemptions,
purchases and conversions. Capitalized terms used but not defined herein shall
have the meaning ascribed to them in the Indenture (as such term is defined on
the reverse hereof). 

	Interest Payment Dates:		June 1 and December 1, commencing June 1, 2013 and
      the Final Maturity Date
		     	
	Regular Record Dates:		May 15 and November
15

     This Security is convertible as
specified on the other side of this Security. Additional provisions of this
Security are set forth on the other side of this Security. 

SIGNATURE PAGE FOLLOWS 

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

	MERITOR, INC.
	 
	By:	 	 
	 	Name:
		Title:
		 
		 
	Attest
	 
	 
	 
	Name:
	 
	Dated:
	 
	 
	TRUSTEE’S CERTIFICATE OF AUTHENTICATION
	 
	 
	This is one of the Securities referred to in the within-mentioned
      Indenture.
	 
	 
	THE BANK OF NEW YORK MELLON
	     TRUST COMPANY, N.A. as
    Trustee
	 
	 
	Authorized Signatory

[FORM OF REVERSE SIDE OF SECURITY]

MERITOR, INC. 

7.875% CONVERTIBLE SENIOR NOTES DUE
2026 

1. INTEREST AND ACCRETION 

     The Company
promises to pay interest on the Principal Amount at Maturity of this Security at
the rate of 7.875% per annum. The Company shall pay interest semiannually in
arrears on June 1 and December 1 of each year and on the Final Maturity Date
(each, an “Interest Payment
Date”), commencing on June 1, 2013. Interest
on the Securities shall accrue from the most recent date to which interest has
been paid or provided for or, if no interest has been paid, from December 4,
2012, to, but excluding, the next Interest Payment Date. Interest will be
computed on the basis of a 360-day year of twelve 30-day months. 

     Securities surrendered for
conversion during the period from the close of business on any Regular Record
Date preceding any Interest Payment Date (a “Regular Record Date”) to the opening
of business on such Interest Payment Date shall be accompanied by payment from
converting Holders, for the account of the Company, in Cash of an amount equal
to the interest payable (including Additional Interest, if any) on such Interest
Payment Date on the Securities being surrendered for conversion; provided, however, that no such
interest (including Additional Interest, if any) payment need be made to the
Company (i) if the Company has specified a Redemption Date that is after a
Regular Record Date but on or prior to the next Interest Payment Date, (ii) if
the Company has specified a Fundamental Change Purchase Date following a
Fundamental Change that is after a Regular Record Date but on or prior to the
next Interest Payment Date, or (iii) to the extent of any Defaulted Interest, if
any Defaulted Interest exists at the time of conversion with respect to such
Security. 

     Following December 4, 2012, the
principal amount of the Securities shall increase daily at a rate that provides
Holders with an aggregate annual yield to December 1, 2020 of 1.3227% (computed
on a semi-annual bond equivalent yield basis), until the principal amount of
each Security equals $1,000 on December 1, 2020. The principal amount of the
Securities shall not increase after December 1, 2020. The “Accreted Principal Amount”
of any Security shall be the Initial Principal Amount on December 4, 2012, the
principal amount as adjusted upwards for accretion at any time after December 4,
2012 and prior to December 1, 2020 and $1,000 on and after December 1, 2020.

     The following table sets forth the
Accreted Principal Amounts of the Securities during the period from December 4,
2012 through December 1, 2020:

	Accretion
    Date	     	Accreted Principal
      Amount
	December 4,
      2012		$900.00
	June 1, 2013		$905.85
	December 1,
      2013		$911.84
	June 1, 2014		$917.87
	December 1,
      2014		$923.95
	June 1, 2015		$930.06

	December 1,
      2015	     	$936.21
	June 1, 2016	 	$942.40
	December 1,
      2016		$948.63
	June 1, 2017	 	$954.91
	December 1,
      2017		$961.22
	June 1, 2018		$967.58
	December 1,
      2018		$973.98
	June 1, 2019		$980.42
	December 1,
      2019		$986.90
	June 1, 2020		$993.43
	December 1,
      2020		$1,000.00

     The Accreted
Principal Amount of a Security between the dates listed above shall include an
amount reflecting the additional principal accretion that has accrued as of such
date since the immediately preceding date in the table. 

2. METHOD OF PAYMENT 

     Except as
provided herein, the Company shall pay interest (including Additional Interest,
if any) on this Security (except Defaulted Interest) to the person who is the
Holder of this Security at the close of business on the Regular Record Date,
next preceding the related Interest Payment Date. The Holder must surrender this
Security to a Paying Agent to collect payment of the principal amount and the
interest payable on the Final Maturity Date. The Company will pay the applicable
principal amount and interest (including Additional Interest, if any) in money
of the United States that at the time of payment is legal tender for payment of
public and private debts. Payment of the applicable principal amount of and any
interest (including Additional Interest, if any) on the Securities shall be made
at the office or agency of the Company maintained for that purpose in The
Borough of Manhattan, The City of New York or at the Corporate Trust Office of
the Trustee in such coin or currency of the United States of America as at the
time of payment is legal tender for payment of public and private debts. The
Company will make payments in respect of the Global Securities by wire transfer
of immediately available funds to the accounts specified by the Holders of the
Global Securities. For a Global Security that has been subsequently issued in
certificated form, the Company will mail a check to the Holder’s registered
address. 

3. PAYING AGENT, REGISTRAR, BID
SOLICITATION AGENT AND CONVERSION AGENT

     Initially, The Bank of New York
Mellon Trust Company, N.A. (the “Trustee,” which term shall include any
successor trustee under the Indenture hereinafter referred to) will act as
Paying Agent, Registrar and Conversion Agent. Initially, the Company will act as
Bid Solicitation Agent. The Company may change any Paying Agent, Registrar, Bid
Solicitation Agent or Conversion Agent without notice to the Holder. The Company
or any of its Subsidiaries may, subject to certain limitations set forth in the
Indenture, act as Paying Agent or Registrar. 

A-6 

4. INDENTURE, LIMITATIONS 

     This
Security is one of a duly authorized issue of Securities of the Company
designated as its 7.875% Convertible Senior Notes due 2026 (the “Securities”), issued under
an Indenture dated as of December 4, 2012 (together with any supplemental
indentures thereto, the “Indenture”), between the Company and
the Trustee. The terms of this Security include those stated in the Indenture
and those required by or made part of the Indenture by reference to the Trust
Indenture Act of 1939, as amended, as in effect on the date of the Indenture.
This Security is subject to all such terms, and the Holder of this Security is
referred to the Indenture and said Act for a statement of them. The Securities
are unsecured senior obligations of the Company initially limited to
$250,000,000 aggregate Principal Amount at Maturity. The Indenture does not
limit other debt of the Company, secured or unsecured. 

5. OPTIONAL REDEMPTION 

     The Securities are subject to
redemption, at any time on or after December 1, 2020, as a whole or from time to
time in part, at the election of the Company. The “Redemption Price” is 100% of the
Principal Amount at Maturity of the Securities to be redeemed, together with
accrued and unpaid interest, if any (including Additional Interest, if any),
thereon up to but excluding the Redemption Date. However, if the Redemption Date
falls after a Regular Record Date and on or prior to the corresponding Interest
Payment Date, the Company will pay the full amount of accrued and unpaid
interest, if any, due on such Interest Payment Date to the Holder of record at
the close of business on the corresponding Regular Record Date. The Company will
make at least 16 semi-annual interest payments (including the interest payment
on December 1, 2020) on the Securities before the Company can redeem the
Securities at its option. 

     No sinking fund is provided for the
Securities. 

6. NOTICE OF REDEMPTION 

     Notice of redemption will be mailed
by first-class mail at least 30 days but not more than 60 days before the
Redemption Date to each Holder of Securities to be redeemed at its registered
address. Securities in denominations larger than $1,000 Principal Amount at
Maturity may be redeemed in part, but only in whole integral multiples of $1,000
Principal Amount at Maturity. On and after the Redemption Date, subject to the
deposit with the Paying Agent of funds sufficient to pay the Redemption Price,
interest, if any (including Additional Interest, if any), shall cease to accrue
on the Securities or portions of them called for redemption. 

7. PURCHASE OF SECURITIES AT OPTION OF
HOLDER OR UPON A FUNDAMENTAL CHANGE 

     Subject to the terms and conditions
of the Indenture, the Company shall become obligated to purchase, at the option
of the Holder, all or any portion of the Securities held by such Holder on
December 1, 2020 (the “Purchase
Date”) at a price equal to 100% of the
Principal Amount at Maturity of those Securities to be purchased,
plus any
accrued and unpaid interest, if any (including Additional Interest, if any), to,
but excluding, such Purchase Date (the “Purchase Price”); provided, however, that any
such accrued and unpaid interest (including Additional Interest, if any) will be
paid not to the Holder submitting the Security for purchase on the Purchase Date
but instead to the Holder of record at the close of business on the
corresponding Regular Record Date. On the Purchase Date, the Company will
purchase all Securities for which the Holder has delivered and not withdrawn a
written purchase notice. To exercise such right, a Holder shall deliver to the
Paying Agent a Purchase Notice containing the information set forth in the
Indenture, at any time from 9:00 a.m., New York City time, on the date that is
20 Business Days immediately preceding the Purchase Date until 5:00 p.m., New
York City time, on the Business Day immediately preceding the Purchase Date, and
shall deliver the Securities to the Paying Agent as set forth in the Indenture.
The Purchase Price for Securities to be so purchased must be paid in
Cash.

A-7 

     In the event
any Fundamental Change shall occur, each Holder of Securities shall have the
right, at such Holder’s option, to require the Company to purchase all of such
Holder’s Securities (or portions thereof that are integral multiples of $1,000
in Principal Amount at Maturity), on a date selected by the Company (the
“Fundamental Change Purchase
Date”), which Fundamental Change Purchase
Date shall be no later than thirty forty (40) Scheduled Trading Days, and no
earlier than twenty-five (25) Scheduled Trading Days, after the date the
Fundamental Change Company Notice is mailed in accordance with the Indenture, at
a price, payable in Cash equal to 100% of the Principal Amount at Maturity of
the Securities (or portions thereof) to be so purchased (the “Fundamental Change Purchase Price”), plus accrued and unpaid interest, if any, to, but excluding, the Fundamental
Change Purchase Date; provided, however, that if a Fundamental Change Purchase Date falls after a
Regular Record Date and on or prior to the corresponding Interest Payment Date,
the Company shall pay the full amount of accrued and unpaid interest, if any
(including Additional Interest, if any), on such Interest Payment Date to the
Holder of record at the close of business on the corresponding Regular Record
Date, which may or may not be the same Person to whom the Company will pay the
Fundamental Change Purchase Price, and the Fundamental Change Purchase Price
will be 100% of the Principal Amount at Maturity of the Securities purchased. To
exercise such right, a Holder shall deliver to the Paying Agent a Fundamental
Change Purchase Notice containing the information set forth in the Indenture, at
any time prior to 5:00 p.m., New York City time, on the Business Day immediately
preceding the Fundamental Change Purchase Date, and shall deliver the Securities
to the Paying Agent as set forth in the Indenture. The Fundamental Change
Purchase Price must be paid in Cash. 

     Holders have the right to withdraw
any Purchase Note or Fundamental Change Purchase Notice by delivering to the
Paying Agent a written notice of withdrawal in accordance with the provisions of
the Indenture. 

     If Cash sufficient to pay the
Purchase Price or Fundamental Change Purchase Price, as the case may be, of all
Securities or portions thereof to be purchased with respect to a Purchase Date
or Fundamental Change Purchase Date, as the case may be, has been deposited with
the Paying Agent, at 1:00 p.m., New York City time, on the Purchase Date or
Fundamental Change Purchase Date, as the case may be, then, on and after the
Purchase Date or Fundamental Change Purchase Date, as applicable, such
Securities will cease to be outstanding and interest, if any (including
Additional Interest, if any), on such Securities will cease to accrue and the
Holder thereof shall have no other rights as such other than the right to
receive the Purchase Price or Fundamental Change Purchase Price upon surrender
of such Security. 

A-8 

8. CONVERSION 

     Subject to
and in compliance with the provisions of the Indenture (including, without
limitation, the conditions to conversion of this Security set forth in Section
4.01 and Section 4.02 thereof), a Holder is entitled, at such Holder’s option,
to convert the Holder’s Security (or any portion of the Principal Amount at
Maturity thereof that is $1,000 or an integral multiple of $1,000 Principal
Amount at Maturity), into Cash with respect to the portion of the Conversion
Obligation up to the Principal Amount at Maturity of such Security, and Cash,
shares of Common Stock, or a combination thereof at the Company’s election with
respect to the remainder (if any) of the Conversion Obligation, at the
Conversion Rate in effect on the date of conversion in accordance with Article 4
of the Indenture. 

     The Company will notify Holders of
any event triggering the right to convert the Securities as specified above in
accordance with the Indenture. 

     A Security in respect of which a
Holder has delivered a Purchase Notice or Fundamental Change Purchase Notice, as
the case may be, exercising the right of such Holder to require the Company to
purchase such Security may be converted only if such Purchase Notice or
Fundamental Change Purchase Notice is withdrawn in accordance with the terms of
the Indenture. 

     The initial Conversion Rate is
83.3333 shares per $1,000 Principal Amount at Maturity of Securities, subject to
adjustment in certain events as described in the Indenture. 

     In no event will the number of
shares of Common Stock deliverable upon conversion exceed the Conversion Share
Cap. The Company shall not be obligated to make any payment of Cash for any Net
Share Amount in excess of the value of the shares of Common Stock equal to the
Conversion Share Cap, other than Cash payments in lieu of fractional shares of
Common Stock. 

     To surrender a Security for
conversion, a Holder must, in the case of Global Securities, comply with the
Applicable Procedures of the Depositary in effect at that time, and in the case
of Certificated Securities, (1) surrender the Security to the Conversion Agent,
(2) complete and manually sign the conversion notice below (or complete and
manually sign a facsimile of such notice) and deliver such notice to the
Conversion Agent, and (3) furnish appropriate endorsements and transfer
documents.

     No fractional share of Common Stock
shall be issued upon conversion of any Security. Instead, the Company shall pay
a Cash adjustment as provided in the Indenture. 

     No payment or adjustment will be
made for accrued and unpaid interest, if any (including Additional Interest, if
any), or dividends on the shares of Common Stock, except as provided in the
Indenture. 

     The Conversion Rate is subject to
adjustment as provided in Section 4.03 and 4.13 of the Indenture. As further
provided in Section 4.04 of the Indenture and subject to Section 4.13 of the
Indenture, if the Company (i) reclassifies or changes the shares of Common Stock
into another class of Capital Stock (other than a subdivision or combination of
its outstanding Common Stock, or a change in par value, or from par value to no
par value, or from no par value to par value), (ii) is a party to a
consolidation, merger or binding share exchange or combination of the Company
with another Person and as a result of which all the holders of the outstanding
Common Stock shall be entitled to receive stock, securities or other property or
assets (including Cash or a combination thereof) with respect to or in exchange
for all of their Common Stock or (iii) sells, conveys, transfers, leases or
otherwise disposes all or substantially all of its properties and assets to any
Person as a result of which all of the holders of Common Stock shall be entitled
to receive stock, securities or other property or assets (including Cash or any
combination thereof) with respect to or in exchange for all of their Common
Stock, the right to convert a Security into Cash or Cash and shares of Common
Stock, as the case may be, shall be changed as provided in said Section
4.04.

A-9 

9. DENOMINATIONS, TRANSFER, EXCHANGE

     The
Securities are in registered form, without coupons, in denominations of $1,000
Principal Amount at Maturity and integral multiples of $1,000 Principal Amount
at Maturity. A Holder may register the transfer of or exchange Securities in
accordance with the Indenture. The Registrar may require a Holder, among other
things, to furnish appropriate endorsements and transfer documents and to pay
any taxes or other governmental charges that may be imposed in relation thereto
by law or permitted by the Indenture. 

10. PERSONS DEEMED OWNERS 

     The Holder of a Security may be
treated as the owner of it for all purposes. 

11. UNCLAIMED MONEY 

     The Trustee and each Paying Agent
shall pay to the Company upon request any money held by them for the payment of
the applicable principal amount or interest that remains unclaimed for two years
after a right to such money has matured (which maturity shall occur, for the
avoidance of doubt, on the Final Maturity Date, the Redemption Date (with
respect to any Securities redeemed pursuant to Section 3.01 of the Indenture),
the Purchase Date (with respect to any Securities purchased pursuant to Section
3.08 of the Indenture) or the Fundamental Change Purchase Date (with respect to
any Securities purchased pursuant to Section 3.09 of the Indenture);
provided,
however,
that the Trustee or such Paying Agent, before being required to make any such
payment, may at the expense of the Company cause to be mailed to each Holder
entitled to such money or publish in a newspaper of general circulation in the
City of New York notice that such money remains unclaimed and that after a date
specified therein, which shall be at least 30 days from the date of such mailing
or publication, any unclaimed balance of such money then remaining will be
repaid to the Company. After payment to the Company, Holders entitled to money
must look to the Company for payment as general creditors unless an applicable
abandoned property law designates another person. 

12. AMENDMENT, SUPPLEMENT AND WAIVER

     Subject to certain exceptions, the
Indenture or the Securities may be amended or supplemented with the consent of
the Holders of at least a majority in aggregate Principal Amount at Maturity of
the Securities then outstanding, and an existing default or Event of Default and
its consequence or compliance with any provision of the Indenture or the
Securities may be waived in a particular instance with the consent of the
Holders of a majority in aggregate Principal Amount at Maturity of the
Securities then outstanding. Without the consent of or notice to any Holder, the
Company and the Trustee may amend or supplement the Indenture or the Securities
to, among other things, cure any ambiguity, defect or inconsistency in a manner
that does not adversely affect the rights of any Holder.

A-10 

13. SUCCESSOR ENTITY 

     When a
successor entity assumes all the obligations of its predecessor under the
Securities and the Indenture in accordance with the terms and conditions of the
Indenture, the predecessor entity (except in certain circumstances specified in
the Indenture) shall be released from those obligations. 

14. DEFAULTS AND REMEDIES 

     Under the Indenture, an Event of
Default includes: (i) failure by the Company to pay the applicable principal
amount of any Security when due, whether on the Final Maturity Date, Redemption
Date, Purchase Date, Fundamental Change Purchase Date or otherwise; (ii) failure
by the Company to pay an installment of interest (including Additional Interest,
if any) on any Security when due if the failure continues for a period of 30
days after the date when due; (iii) failure by the Company to satisfy the
Conversion Obligation following the exercise by the Holder of the right to
convert such Security; (iv) failure by the Company to timely provide a Purchase
Notice or a Fundamental Change Purchase Notice pursuant to and in accordance
with Section 3.08 or Section 3.09 of the Indenture, as applicable, or the notice
required under Section 4.13(a) of the Indenture regarding the adjustment of the
Conversion Rate upon the occurrence of a Make-Whole Fundamental Change; (v)
failure by the Company to comply with any other term, covenant or agreement
contained in the Securities (other than those referred to in (i) through (iv)
above) or the Indenture, if the failure is not cured within 90 days after
receipt by the Company of a Notice of Default; (vi) except as provided for by
the terms of the Guarantee, the Guarantee shall be held in a judicial proceeding
to be unenforceable or invalid or shall cease for any reason to be in full force
and effect or any Guarantor, or any Person acting on behalf of any Guarantor,
shall deny or disaffirm its obligations under the Guarantee; (vii) default by
the Company or any of its Subsidiaries in the payment when due, after the
expiration of any applicable grace period, of principal of, or interest on,
indebtedness for money borrowed in the aggregate principal amount then
outstanding of $35,000,000 or more, or acceleration of the Company’s or any of
its Subsidiaries’ indebtedness for money borrowed in such aggregate principal
amount or more so that it becomes due and payable before the date on which it
would otherwise have become due and payable, if such default is not cured or
waived, or such acceleration is not rescinded, within 30 days after receipt by
the Company of a Notice of Default; (viii) failure by the Company or any of its
Subsidiaries within 30 days to pay, bond or otherwise discharge any judgment or
order for the payment of money in excess of $10,000,000 or any judgments or
orders for the payment of money, the total amount of which for the Company or
any of its subsidiaries exceeds $35,000,000, which are not stayed on appeal; and
(ix) certain events of bankruptcy, insolvency or reorganization of the Company
or any Significant Subsidiary. Subject to Section 7.02(b) of the Indenture, if
an Event of Default (other than as a result of certain events of bankruptcy,
insolvency or reorganization of the Company) occurs and is continuing, the
Trustee or the Holders of at least 25% in aggregate Principal Amount at Maturity
of the Securities then outstanding may declare all unpaid Accreted Principal
Amount to the date of acceleration on the Securities then outstanding to be due
and payable immediately, all as and to the extent provided in the Indenture. If
an Event of Default occurs as a result of certain events of bankruptcy,
insolvency or reorganization of the Company, unpaid Accreted Principal Amount of
the Securities then outstanding shall become due and payable immediately without
any declaration or other act on the part of the Trustee or any Holder, all as
and to the extent provided in the Indenture. Holders may not enforce the
Indenture or the Securities except as provided in the Indenture. The Trustee may
require indemnity satisfactory to it before it enforces the Indenture or the
Securities. Subject to certain limitations, Holders of a majority in aggregate
Principal Amount at Maturity of the Securities then outstanding may direct the
Trustee in its exercise of any trust or power. The Trustee may withhold from
Holders notice of any continuing default (except a default in payment of the
applicable principal amount or interest) if it determines that withholding
notice is in their interests. The Company is required to file periodic reports
with the Trustee as to the absence of default.

A-11 

15. TRUSTEE DEALINGS WITH THE COMPANY

     The Bank of
New York Mellon Trust Company, N.A., the Trustee under the Indenture, in its
individual or any other capacity, may make loans to, accept deposits from and
perform services for the Company or an Affiliate of the Company, and may
otherwise deal with the Company or an Affiliate of the Company, as if it were
not the Trustee. 

16. NO RECOURSE AGAINST OTHERS 

     A director, officer, employee or
shareholder, as such, of the Company shall not have any liability for any
obligations of the Company under the Securities or the Indenture nor for any
claim based on, in respect of or by reason of such obligations or their
creation. The Holder of this Security by accepting this Security waives and
releases all such liability. The waiver and release are part of the
consideration for the issuance of this Security. 

17. AUTHENTICATION 

     This Security shall not be valid
until the Trustee or an authenticating agent manually signs the certificate of
authentication on the other side of this Security. 

18. ABBREVIATIONS AND DEFINITIONS

     Customary abbreviations may be used
in the name of the Holder or an assignee, such as: TEN COM (= tenants in
common), TEN ENT (= tenants by the entireties), JT TEN (= joint tenants with
right of survivorship and not as tenants in common), CUST (= Custodian) and UGMA
(= Uniform Gifts to Minors Act). 

     All terms defined in the Indenture
and used in this Security but not specifically defined herein are defined in the
Indenture and are used herein as so defined. 

A-12 

19. INDENTURE TO CONTROL; GOVERNING LAW

     In the case
of any conflict between the provisions of this Security and the Indenture, the
provisions of the Indenture shall control. This Security shall be governed by,
and construed in accordance with, the laws of the State of New York, without
regard to principles of conflicts of law. 

     The Company will furnish to any
Holder, upon written request and without charge, a copy of the Indenture.
Requests may be made to: Meritor, Inc., 2135 West Maple Road, Troy, Michigan
48048, Attention: General Counsel. 

A-13 

ASSIGNMENT FORM 

     To assign
this Security, fill in the form below:

     I or we assign and transfer this

Security to

	 
	 
	(Insert assignee’s soc. sec. or tax I.D.
      no.)
	 
	
	  
	 
	 
	 
	(Print or type assignee’s name, address and zip
      code)
	 
	and irrevocably appoint
	 
	 

agent to transfer this Security on the
books of the Company. The agent may substitute another to act for him or her.

		Your Signature:
	Date:	 
		 
		(Sign exactly as your name appears on the
		other side of this Security)
		 
	*Signature guaranteed by:	
	 	
	By:	

____________________

     *The signature must be guaranteed by
an institution which is a member of one of the following recognized signature
guaranty programs: (i) the Securities Transfer Agent Medallion Program (STAMP);
(ii) the New York Stock Exchange Medallion Program (MSP); (iii) the Stock
Exchange Medallion Program (SEMP); or (iv) such other guaranty program
acceptable to the Trustee. 

CONVERSION NOTICE 

     To convert
this Security, check the box: c

     To convert only part of this
Security, state the Principal Amount at Maturity to be converted (must be $1,000
Principal Amount at Maturity or an integral multiple of $1,000 Principal Amount
at Maturity): $[   ].

     If you want the Cash paid to another
person or the stock certificate, if any, made out in another person’s name,
fill in the form below:

	 
	(Insert assignee’s soc. sec. or tax I.D.
      no.)
	 
	 

	 
	(Print or type assignee’s name, address and zip
      code)
	 
	and irrevocably appoint
	 

agent to transfer this Security on the
books of the Company. The agent may substitute another to act for him or
her.

		Your
      Signature:
	 	
	Date:	
	 	
		(Sign exactly as your name appears on the
		other side of this Security)
	*Signature
      guaranteed
    by:	
	 	
	By:	

____________________

     *The
signature must be guaranteed by an institution which is a member of one of the
following recognized signature guaranty programs: (i) the Securities Transfer
Agent Medallion Program (STAMP); (ii) the New York Stock Exchange Medallion
Program (MSP); (iii) the Stock Exchange Medallion Program (SEMP); or (iv) such
other guaranty program acceptable to the Trustee.

SCHEDULE OF EXCHANGES OF
SECURITIES3 

     The
following exchanges of a part of this Global Security for an interest in another
Global Security or for Securities in certificated form, have been made:

				Principal Amount	
				at Maturity of
    this	
		Amount of
    decrease	Amount of
    Increase	Global	Signature or
		in Principal
    Amount	in Principal
    Amount	Security
    following	authorized
		at Maturity of
    this	at Maturity of
    this	such decrease	signatory of
	Date of Exchange	Global Security	Global Security	or increase	Trustee
	 				
	 				
	 				
	 				
	 	 			
	 		 		
	 				
	 				
	 			 	
	 				
	 				
	 				
	 				
	 				
	 				
	 				
	 				
	 				
	 				
	 				
	 				

____________________

     3 The schedule should be
included only if the Security is a Global Security. 

FORM OF FUNDAMENTAL CHANGE PURCHASE
NOTICE 

	To:  	Meritor, Inc.
		2135 West Maple Road
		Troy, Michigan 48048
		Attention: General Counsel

     The
undersigned registered owner of this Security hereby acknowledges receipt of a
notice from Meritor, Inc. (the “Company”) as to the occurrence of a
Fundamental Change with respect to the Company and specifying the Fundamental
Change Purchase Date and requests and instructs the Company to pay to the
registered holder hereof in accordance with Section 3.09 of the Indenture
referred to in this Security (1) the entire Principal Amount at Maturity of this
Security, or the portion thereof (that is $1,000 Principal Amount at Maturity or
an integral multiple thereof) below designated, and (2) if such Fundamental
Change Purchase Date does not fall during the period after a Regular Record Date
and on or prior to the corresponding Interest Payment Date, accrued and unpaid
interest, if any, thereon to, but excluding, such Fundamental Change Purchase
Date. 

     In the case of Certificated
Securities, the certificate numbers of the Securities to be purchased are as set
forth below: 

	Dated: 	  	     	 
	  
			 	 
			Signature(s)
			 
		 	 	 	 
			Social Security or Other Taxpayer
		Identification Number
	  
			Principal Amount at Maturity to be repaid (if less than all):
      $_____,000
		 	 
			NOTICE: The above signature(s) of the Holder(s) hereof must
      correspond with the name as written upon the face of the Security in every
      particular without alteration or enlargement or any change
    whatever.

FORM OF PURCHASE NOTICE

	To:  	Meritor, Inc.
		2135 West Maple Road
		Troy, Michigan 48048
		Attention: General Counsel

     The
undersigned registered owner of this Security hereby acknowledges receipt of a
notice from Meritor, Inc. (the “Company”) regarding the right of
Holders to elect to require the Company to purchase the entire Principal Amount
at Maturity of this Security, or the portion thereof (that is $1,000 Principal
Amount at Maturity or an integral multiple thereof) below designated, in
accordance with the applicable provisions of the Indenture referred to in this
Security, at the Purchase Price to the registered Holder hereof. 

     In the case of certificated
Securities, the certificate numbers of the Securities to be purchased are as set
forth below: 

	Dated: 	  	     	 
	  
			 	 
			Signature(s)
			 
		 	 	 	 
			Social Security or Other Taxpayer
		Identification Number
	  
			Principal Amount at Maturity to be repaid (if less than all):
      $_____,000
		 	 
			NOTICE: The above signature(s) of the Holder(s) hereof must
      correspond with the name as written upon the face of the Security in every
      particular without alteration or enlargement or any change
    whatever.

EXHIBIT B 

CERTIFICATE TO BE DELIVERED UPON
EXCHANGE OR REGISTRATION OF 
TRANSFER OF TRANSFER RESTRICTED
SECURITIES4 

Re:      
7.875% Convertible Senior Notes due 2026 (the “Securities”) of Meritor, Inc.

     This certificate
relates to $[ ] Principal Amount at Maturity of Securities owned in (check
applicable box) 

     £
book-entry or £ definitive form by (the “Transferor”). 

    
The Transferor has requested a Registrar or the Trustee to exchange or
register the transfer of such Securities. 

    
In connection with such request and in respect of each such Security, the
Transferor does hereby certify that the Transferor is familiar with transfer
restrictions relating to the Securities as provided in Section 2.12 of the
Indenture dated as of December 4, 2012 between Meritor, Inc. and The Bank of New
York Mellon Trust Company, N.A., as trustee (the “Indenture”), and the transfer of such
Security is being made pursuant to an effective registration statement under the
Securities Act of 1933, as amended (the “Securities Act”), (check applicable
box) or the transfer or exchange, as the case may be, of such Security does not
require registration under the Securities Act because (check applicable box):

    
Such Security is being transferred pursuant to an effective registration
statement under the Securities Act. 

     £ Such Security is being acquired for the
Transferor’s own account, without transfer. 

     £ Such Security is being transferred to the
Company or a Subsidiary (as defined in the Indenture) of the Company.

     £ Such Security is being transferred to a
person the Transferor reasonably believes is a “qualified institutional buyer”
(as defined in Rule 144A or any successor provision thereto (“Rule 144A”) under the
Securities Act) that is purchasing for its own account or for the account of a
“qualified institutional buyer,” in each case to whom notice has been given that
the transfer is being made in reliance on such Rule 144A, and in each case in
reliance on Rule 144A. 

     £ Such Security is being transferred
pursuant to and in compliance with an exemption from the registration
requirements under the Securities Act in accordance with Rule 144 (or any
successor thereto) (“Rule 144”) under the Securities Act.

____________________
 
     4 This certificate should only
be included if this Security is a Transfer Restricted Security. 

B-1 

     £ Such Security is being transferred pursuant to and in
compliance with an exemption from the registration requirements of the
Securities Act (other than an exemption referred to above) and as a result of
which such Security will, upon such transfer, cease to be a “restricted
security” within the meaning of Rule 144 under the Securities Act. 

    
The Transferor acknowledges and agrees that, if the transferee will hold
any such Securities in the form of beneficial interests in a global Security
which is a “restricted security” within the meaning of Rule 144 under the
Securities Act, then such transfer can only be made pursuant to Rule 144A under
the Securities Act and such transferee must be a “qualified institutional buyer”
(as defined in Rule 144A). 

	Date:	 
		(Insert Name of
      Transferor)

B-2 

EXHIBIT C 

[FORM OF SUBSIDIARY GUARANTY]

     THIS SUBSIDIARY
GUARANTY (as the same may be amended, restated, supplemented or otherwise
modified from time to time, this “Guaranty”) is made as of December 4, 2012, by each of the undersigned (the
“Initial Guarantors”, and together with any additional subsidiaries which become parties to
this Guaranty by executing a Supplement hereto in the form attached hereto as
Annex I,
the “Subsidiary Guarantors”), in favor of The Bank of New York Mellon Trust Company,
N.A., as Trustee (the “Trustee”), under the Indenture (as defined below), for the benefit of
the Holders (as defined in the Indenture) of Securities (as defined below). Each
capitalized term used herein and not defined herein shall have the meaning
ascribed thereto in the Indenture. 

WITNESSETH: 

    
WHEREAS, Meritor, Inc., an Indiana corporation (the “Company”), has entered into
that certain Amended and Restated Credit Agreement, dated as of April 23, 2012
(as the same may be amended, restated, supplemented or otherwise modified from
time to time, the “Credit
Agreement”), by and among the Company,
ArvinMeritor Finance Ireland, a private unlimited liability company organized
under the laws of Ireland (the “Subsidiary
Borrower” and, together with the Company, the
“Borrowers”), the institutions from time to time parties thereto as lenders (the
“Credit Agreement Lenders”), JPMorgan Chase Bank, N.A., as Administrative Agent,
Citicorp North America, Inc., as Syndication Agent, and The Royal Bank of
Scotland plc and UBS Securities LLC, as Documentation Agents, which Credit
Agreement provides, subject to the terms and conditions of the Credit Agreement,
for extensions of credit and other financial accommodations by the Credit
Agreement Lenders to the Borrowers; and 

    
WHEREAS, at the request of the Company, each of the Initial Guarantors
executed and delivered a Guaranty (the “Credit
Agreement Guaranty”), whereby each of the
Initial Guarantors, without limitation and with full recourse, guaranteed the
payment when due of the “Secured Obligations” (as such term is defined in the
Credit Agreement);

    
WHEREAS, on the date hereof, the Company is issuing $250,000,000
aggregate Principal Amount at Maturity of its 7.875% Convertible Senior Notes
due 2026 (the “Securities”) under the Indenture dated as of December 4, 2012, between
the Company and The Bank of New York Mellon Trust Company, N.A., as Trustee (the
“Indenture”); and 

    
WHEREAS, the Company desires that the Initial Guarantors provide a
guaranty on the same terms as the Credit Agreement Guaranty for the benefit of
the Holders of Securities;

C-1 

    
NOW, THEREFORE, in consideration of the foregoing premises and other
good and valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, the parties hereto agree as follows: 

    
Section 1. Representations and Warranties. Each
of the Subsidiary Guarantors represents and warrants to each
Holder of
Securities: 

    
(a) It is a
corporation, partnership, limited liability company or other organization duly
incorporated or organized, validly existing and in good standing (in
jurisdictions where applicable) under the laws of its jurisdiction of
incorporation or organization and has all requisite authority to conduct its
business in each jurisdiction in which its business is conducted and where the
failure to be in good standing or authorized to conduct business would have a
material adverse effect on (i) the business, financial condition, operations,
performance or properties of the Company and its subsidiaries taken as a whole,
(ii) the ability of the Company to pay its obligations under the Indenture and
the Securities, or (iii) the validity or enforceability of the Indenture or the
Securities or the rights or remedies of the Trustee or the
Holders of
Securities thereunder (hereinafter, a “Material Adverse Effect”). 

    
(b) It has
the corporate or other power and authority and legal right to execute and
deliver this Guaranty and to perform its obligations hereunder. The execution
and delivery by it of this Guaranty and the performance of its obligations
hereunder have been duly authorized by proper corporate, partnership or limited
liability company proceedings, and this Guaranty constitutes a legal, valid and
binding obligation of such Subsidiary Guarantor enforceable against such
Subsidiary Guarantor in accordance with its terms, except as enforceability may
be limited by bankruptcy, insolvency or similar laws affecting the enforcement
of creditors’ rights generally. 

    
(c) Neither
the execution and delivery by it of this Guaranty, nor the consummation of the
transactions herein contemplated, nor compliance with the provisions hereof will
violate any law, rule, regulation, order, writ, judgment, injunction, decree or
award binding on such Subsidiary Guarantor or such Subsidiary Guarantor’s
articles of incorporation or by-laws or comparable constitutive documents or the
provisions of any indenture, instrument or agreement to which such Subsidiary
Guarantor is a party or is subject, or by which it, or its property, is bound,
or conflict with or constitute a default thereunder, or result in the creation
or imposition of any lien (other than any lien permitted by the Indenture) in,
of or on the property of such Subsidiary Guarantor pursuant to the terms of any
such indenture, instrument or agreement, except for any such violation, conflict
or default as would not reasonably be expected to have a Material Adverse
Effect. No order, consent, approval, license, authorization, or validation of,
or filing, recording or registration with, or exemption by, any governmental
authority, or any other third party, is required to authorize, or is required in
connection with the execution, delivery and performance of, or the legality,
validity, binding effect or enforceability of, this Guaranty, except for those
which have been obtained. 

    
Section 2. The
Guaranty. Each of the Subsidiary Guarantors
hereby unconditionally guarantees, jointly and severally with the other
Subsidiary Guarantors, (i) the full and punctual payment when due (whether at
stated maturity, upon acceleration or otherwise) of the Principal Amount at
Maturity or Accreted Principal Amount, as applicable, of and interest, if any
(including Additional Interest, if any), on the Securities in accordance with
the terms of the Securities and of the Indenture, as applicable, and (ii) the
punctual and faithful performance, keeping, observance, and fulfillment by the
Company of all of the agreements, conditions, covenants, and obligations of the
Company contained in the Indenture (all of the foregoing being referred to
collectively as the “Guaranteed
Obligations”). Upon failure by the Company to
pay punctually any such amount or perform such obligation, each of the
Subsidiary Guarantors agrees that it shall forthwith on demand pay such amount
or perform such obligation at the place and in the manner specified in the
Indenture or the Securities, as the case may be. Each of the Subsidiary
Guarantors hereby agrees that this Guaranty is an absolute, irrevocable and
unconditional guaranty of payment and is not a guaranty of
collection.

C-2 

    
Section 3. Guaranty
Unconditional. The obligations of each
Subsidiary Guarantor hereunder shall be unconditional and absolute and, without
limiting the generality of the foregoing, shall not be released, discharged or
otherwise affected by: 

    
(a) any
extension, renewal, settlement, indulgence, compromise, waiver or release of or
with respect to the Guaranteed Obligations or any part thereof or any agreement
relating thereto, or with respect to any obligation of any other guarantor of
any of the Guaranteed Obligations, whether (in any such case) by operation of
law or otherwise, or any failure or omission to enforce any right, power or
remedy with respect to the Guaranteed Obligations or any part thereof or any
agreement relating thereto, or with respect to any obligation of any other
guarantor of any of the Guaranteed Obligations; 

    
(b) any
modification or amendment of or supplement to the Indenture or the Securities,
including, without limitation, any such amendment which may increase the amount
of, or the interest rates applicable to, any of the Guaranteed Obligations
guaranteed hereby; 

    
(c) any
change in the corporate, partnership, limited liability company or other
existence, structure or ownership of the Company, such Subsidiary Guarantor or
any other guarantor of any of the Guaranteed Obligations, or any insolvency,
bankruptcy, reorganization or other similar proceeding affecting the Company,
such Subsidiary Guarantor or any other guarantor of the Guaranteed Obligations,
or any of their respective assets or any resulting release or discharge of any
obligation of the Company, such Subsidiary Guarantor or any other guarantor of
any of the Guaranteed Obligations; 

    
(d) the
existence of any claim, setoff or other rights which the Subsidiary Guarantors
may have at any time against the Company, any other guarantor of any of the
Guaranteed Obligations, the Trustee, any Holder of Securities or any other
Person, whether in connection herewith or in connection with any unrelated
transactions; provided, that nothing herein shall prevent the assertion of any such
claim by separate suit or compulsory counterclaim; 

    
(e) the
enforceability or validity of the Guaranteed Obligations or any part thereof or
the genuineness, enforceability or validity of any agreement relating thereto or
with respect to the collateral, if any, securing the Guaranteed Obligations or
any part thereof, or any other invalidity or unenforceability relating to or
against the Company, such Subsidiary Guarantor or any other guarantor of any of
the Guaranteed Obligations, for any reason related to the Indenture, the
Securities or any provision of applicable law or regulation purporting to
prohibit the payment of any of the Guaranteed Obligations by the Company, such
Subsidiary Guarantor or any other guarantor of the Guaranteed Obligations;

C-3 

    
(f) the
failure of the Trustee to take any steps to perfect and maintain any security
interest in, or to preserve any rights to, any security or collateral for the
Guaranteed Obligations, if any; 

    
(g) the
election by, or on behalf of, any one or more of the Holders of Securities, in
any proceeding instituted under Title 11 of the United States Code (11 U.S.C.
101 et seq.) (the “Bankruptcy
Code”), of the application of Section
1111(b)(2) of the Bankruptcy Code; 

    
(h) any
borrowing or grant of a security interest by the Company, such Subsidiary
Guarantor or any other guarantor of the Guaranteed Obligations as
debtor-in-possession, under Section 364 of the Bankruptcy Code; 

    
(i) the
disallowance, under Section 502 of the Bankruptcy Code, of all or any portion of
the claims of the Holders of Securities or the Trustee for repayment of all or
any part of the Guaranteed Obligations; 

    
(j) the
failure of any other Subsidiary Guarantor to sign or become party to this
Guaranty or any amendment, change, or reaffirmation hereof; 

    
(k) any
other act or omission to act or delay of any kind by the Company, such
Subsidiary Guarantor, any other guarantor of the Guaranteed Obligations, the
Trustee, any Holder of Securities or any other Person or any other circumstance
whatsoever which might, but for the provisions of this Section 3, constitute a
legal or equitable discharge of any Subsidiary Guarantor’s obligations
hereunder; or 

    
(l) any
release, surrender, compromise, settlement, waiver, subordination or
modification, with or without consideration, of any collateral securing the
Guaranteed Obligations or any part thereof, any other guaranties with respect to
the Guaranteed Obligations or any part thereof, or any other obligation of any
person or entity with respect to the Guaranteed Obligations or any part thereof,
or any nonperfection or invalidity of any direct or indirect security for the
Guaranteed Obligations. 

    
Section 4. Discharge;
Reinstatement In Certain Circumstances. Each
Subsidiary Guarantor’s obligations hereunder shall remain in full force and
effect until the earlier to occur of (i) the date when all of the Guaranteed
Obligations shall have been indefeasibly paid in full in cash or satisfied in
full, as the case may be, or (ii) the date on which such Subsidiary Guarantor is
released from liability under the Credit Agreement Guaranty (herein, the
“Termination Conditions”). Until one of the Termination Conditions is satisfied, all
of the rights and remedies under this Guaranty shall survive. If at any time
while this Guaranty is in effect any payment of the Principal Amount at Maturity
or Accreted Principal Amount, as applicable, of and interest, if any (including
Additional Interest, if any), on any Securities or any other amount payable or
deliverable by the Company or any other party under the Indenture or any
Securities are rescinded or must be otherwise restored or returned upon the
insolvency, bankruptcy or reorganization of the Company or otherwise, each
Subsidiary Guarantor’s obligations hereunder with respect to such payment shall
be reinstated as though such payment had been due but not made at such
time.

C-4 

    
Section 5. General
Waivers; Additional Waivers.

    
(a) General Waivers. Each Subsidiary
Guarantor irrevocably waives acceptance hereof, presentment, demand or action on
delinquency, protest, the benefit of any statutes of limitations and, to the
fullest extent permitted by law, any notice not provided for herein, as well as
any requirement that at any time any action be taken by any Person against the
Company, such Subsidiary Guarantor, any other guarantor of the Guaranteed
Obligations or any other Person. 

    
(b) Additional Waivers. Notwithstanding
anything herein to the contrary, each of the Subsidiary Guarantors hereby
absolutely, unconditionally, knowingly, and expressly waives: 

    
(i) any
right it may have to revoke this Guaranty as to future indebtedness or notice of
acceptance hereof; 

    
(ii) (A)
notice of acceptance hereof; (B) notice of the amount of the Guaranteed Obligations, subject, however, to each Subsidiary
Guarantor’s right to make inquiry of the Trustee to ascertain the amount of the
Guaranteed Obligations at any reasonable time; (C) notice of any adverse change
in the financial condition of the Company or of any other fact that might
increase such Subsidiary Guarantor’s risk hereunder; (D) notice of presentment
for payment, demand, protest, and notice thereof as to any Securities; (E)
notice of any Event of Default; and (F) all other notices (except if such notice
is specifically required to be given to such Subsidiary Guarantor hereunder) and
demands to which each Subsidiary Guarantor might otherwise be entitled;

    
(iii) its
right, if any, to require the Trustee and the Holders of Securities to institute
suit against, or to exhaust any rights and remedies which the Trustee and the
Holders of Securities now have or may hereafter have against, any other
guarantor of the Guaranteed Obligations or any third party, or against any
collateral provided by such other guarantors or any third party; and each
Subsidiary Guarantor further waives any defense arising by reason of any
disability or other defense (other than the defense that the Guaranteed
Obligations shall have been fully and finally performed and indefeasibly paid)
of any other guarantor of the Guaranteed Obligations or by reason of the
cessation from any cause whatsoever of the liability of any other guarantor of
the Guaranteed Obligations in respect thereof;

    
(iv) (A)
any rights to assert against the Trustee and the Holders of Securities any
defense (legal or equitable), set-off, counterclaim, or claim which such
Subsidiary Guarantor may now or at any time hereafter have against any other
guarantor of the Guaranteed Obligations or any third party liable to the Trustee
and the Holders of Securities; (B) any defense, set-off, counterclaim or claim,
of any kind or nature, arising directly or indirectly from the present or future
lack of perfection, sufficiency, validity or enforceability of the Guaranteed
Obligations or any security therefor; (C) any defense such Subsidiary Guarantor
has to performance hereunder, and any right such Subsidiary Guarantor has to be
exonerated, arising by reason of: (1) the impairment or suspension of the
Trustee’s and the Holders’ of Securities rights or remedies against any other
guarantor of the Guaranteed Obligations; (2) the alteration by the Trustee and
the Holders of Securities of the Guaranteed Obligations; (3) any discharge of
the obligations of any other guarantor of the Guaranteed Obligations to the
Trustee and the Holders of Securities by operation of law as a result of the
Trustee’s and the Holders’ of Securities intervention or omission; or (4) the
acceptance by the Trustee and the Holders of Securities of anything in partial
satisfaction of the Guaranteed Obligations; and (D) the benefit of any statute
of limitations affecting such Subsidiary Guarantor’s liability hereunder or the
enforcement thereof, and any act which shall defer or delay the operation of any
statute of limitations applicable to the Guaranteed Obligations shall similarly
operate to defer or delay the operation of such statute of limitations
applicable to such Subsidiary Guarantor’s liability hereunder; and

    
(v) any
defense arising by reason of or deriving from (a) any claim or defense based
upon an election of remedies by the Trustee and the Holders of Securities; or
(b) any election by the Trustee and the Holders of Securities under Section
1111(b) of the Bankruptcy Code to limit the amount of, or any collateral
securing, its claim against the Subsidiary Guarantors. 

C-5 

    
Section 6. Subrogation;
Subordination of Intercompany Indebtedness.

    
(a) Subrogation. Until one of the
Termination Conditions is satisfied, each Subsidiary Guarantor, (i) shall have
no right of subrogation with respect to the Guaranteed Obligations and (ii)
waives any right to enforce any remedy which the Holders of Securities or the
Trustee now have or may hereafter have against the Company, any endorser or any
other guarantor of all or any part of the Guaranteed Obligations or any other
Person, and each Subsidiary Guarantor waives any benefit of, and any right to
participate in, any security or collateral that may from time to time be given
to the Holders of Securities and the Trustee to secure the payment or
performance of all or any part of the Guaranteed Obligations or any other
liability of the Company to the Holders of Securities. Should any Subsidiary
Guarantor have the right, notwithstanding the foregoing, to exercise its
subrogation rights prior to complete satisfaction of one of the Termination
Conditions, each Subsidiary Guarantor hereby expressly and irrevocably (A)
subordinates any and all rights at law or in equity to subrogation,
reimbursement, exoneration, contribution, indemnification or set-off that such
Subsidiary Guarantor may have prior to satisfaction of one of the Termination
Conditions, and (B) waives any and all defenses available to a surety,
Subsidiary Guarantor or accommodation co-obligor until one of the Termination
Conditions is satisfied. Each Subsidiary Guarantor acknowledges and agrees that
this subordination is intended to benefit the Trustee and the Holders of
Securities and shall not limit or otherwise affect such Subsidiary Guarantor’s
liability hereunder or the enforceability of this Guaranty, and that the
Trustee, the Holders of Securities and their respective successors and assigns
are intended third party beneficiaries of the waivers and agreements set forth
in this Section 6(a). 

    
(b) Subordination of Intercompany Indebtedness. Each Subsidiary Guarantor agrees that until one of the Termination
Conditions is satisfied, all claims of such Subsidiary Guarantor against the
Company, any other Subsidiary Guarantor or any other guarantor of all or any
part of the Guaranteed Obligations (each as used in this Section 6(b), an
“Obligor”), or against any of its properties, including, without limitation,
claims arising from liens or security interests upon property with respect to
any such claim owing to such Subsidiary Guarantor (“Intercompany Indebtedness”) held by such Subsidiary Guarantor, shall be subordinate and
subject in right of payment to the prior payment, in full and in cash, of all
Guaranteed Obligations; provided, that, and not in contravention of the foregoing, so long as
no Event of Default has occurred and is continuing such Subsidiary Guarantor may
make loans to and receive payments in the ordinary course with respect to such
Intercompany Indebtedness from the related Obligor. Should any payment,
distribution, security or instrument or proceeds thereof be received by such
Subsidiary Guarantor upon or with respect to the Intercompany Indebtedness in
contravention of this Section 6(b), prior to satisfaction of one of the
Termination Conditions, such Subsidiary Guarantor shall receive and hold the
same in trust, as trustee, for the benefit of the Holders of Securities and
shall forthwith deliver the same to the Trustee, for the benefit of the Holders
of Securities, in precisely the form received (except for the endorsement or
assignment of such Subsidiary Guarantor where necessary), for application to any
of the Guaranteed Obligations, due or not due, and, until so delivered, the same
shall be held in trust by such Subsidiary Guarantor as the property of the
Holders of Securities. If any Subsidiary Guarantor fails to make any such
endorsement or assignment to the Trustee, the Trustee or any of its officers or
employees are irrevocably authorized to make the same. Each Subsidiary Guarantor
agrees that until one of the Termination Conditions is satisfied, no Subsidiary
Guarantor will assign or transfer to any Person any Intercompany
Indebtedness.

C-6 

    
Section 7. Contribution
with Respect to Guaranteed Obligations.

    
(a) To the
extent that any Subsidiary Guarantor shall make a payment under this Guaranty (a
“Subsidiary Guarantor Payment”) which, taking into account all other Subsidiary Guarantor
Payments then previously or concurrently made by any other Subsidiary Guarantor,
exceeds the amount which otherwise would have been paid by or attributable to
such Subsidiary Guarantor if each Subsidiary Guarantor had paid the aggregate
Guaranteed Obligations satisfied by such Subsidiary Guarantor Payment in the
same proportion as such Subsidiary Guarantor’s “Allocable Amount” (as defined
below) (as determined immediately prior to such Subsidiary Guarantor Payment)
bore to the aggregate Allocable Amounts of each of the Subsidiary Guarantors as
determined immediately prior to the making of such Subsidiary Guarantor Payment,
then,
following the satisfaction of one of the Termination Conditions, such Subsidiary
Guarantor shall be entitled to receive contribution and indemnification payments
from, and be reimbursed by, each other Subsidiary Guarantor for the amount of
such excess, pro rata based upon their respective Allocable Amounts in effect immediately
prior to such Subsidiary Guarantor Payment. 

    
(b) As of
any date of determination, the “Allocable Amount” of any Subsidiary Guarantor
shall be equal to the maximum amount of the claim which could then be recovered
from such Subsidiary Guarantor under this Guaranty without rendering such claim
voidable or avoidable under Section 548 of the Bankruptcy Code or under any
applicable state Uniform Fraudulent Transfer Act, Uniform Fraudulent Conveyance
Act or similar statute or common law. 

    
(c) This
Section 7
is intended only to define the relative rights of the Subsidiary Guarantors, and
nothing set forth in this Section
7 is intended to or shall impair the
obligations of the Subsidiary Guarantors, jointly and severally, to pay any
amounts as and when the same shall become due and payable in accordance with the
terms of this Guaranty. 

C-7 

    
(d) The
parties hereto acknowledge that the rights of contribution and indemnification
hereunder shall constitute assets of the Subsidiary Guarantor or Subsidiary
Guarantors to which such contribution and indemnification is owing. 

    
(e) The
rights of the indemnifying Subsidiary Guarantors against other Subsidiary
Guarantors under this Section
7 shall be exercisable upon the satisfaction
of one of the Termination Conditions. 

    
Section 8. Stay of
Acceleration. If acceleration of the time for
payment of any amount payable by the Company under any of the Indenture or the
Securities is stayed upon the insolvency, bankruptcy or reorganization of the
Company at any time while this Guaranty is in effect, all such amounts otherwise
subject to acceleration under the terms of the Indenture or the Securities shall
nonetheless be payable by each of the Subsidiary Guarantors hereunder forthwith
on demand by the Trustee. 

    
Section 9. Notices. All notices, requests and
other communications to any party hereunder shall be given in the manner
prescribed in the Indenture, with respect to the Trustee at its notice address
specified in Section 12.02 of the Indenture, and with respect to any Subsidiary
Guarantor at the address set forth below or such other address or telecopy
number as such party may hereafter specify for such purpose by notice to the
Trustee in accordance with the provisions of such Section of the Indenture.

	Notice Address
      for Subsidiary Guarantors:
	 
	 
	c/o Meritor,
      Inc.
	 
	2135 West Maple
      Road
	Troy, Michigan
      48084-7186
	Attention:
      Treasurer
	Telephone No.:
      248-435-1588
	Facsimile No.:
      248-435-1393

     Section
10. No Waivers. No failure or
delay by the Trustee or any Holder of Securities in exercising any right, power
or privilege hereunder shall operate as a waiver thereof nor shall any single or
partial exercise thereof preclude any other or further exercise thereof or the
exercise of any other right, power or privilege. The rights and remedies
provided in this Guaranty, the Indenture and the Securities shall be cumulative
and not exclusive of any rights or remedies provided by law.

    
Section 11. Successors
and Assigns. This Guaranty is for the benefit
of the Trustee and the Holders of Securities and their respective successors and
permitted assigns. In the event of an assignment of any amounts payable under
the Indenture or the Securities in accordance with the respective terms thereof,
the rights hereunder, to the extent applicable to the indebtedness so assigned,
may be transferred with such indebtedness. This Guaranty shall be binding upon
each of the Subsidiary Guarantors and their respective successors and assigns;
provided,
that no Subsidiary Guarantor shall have any right to assign its rights or
obligations hereunder without the consent of all of the Holders of Securities,
and any such assignment in violation of this Section
11 shall be null and void.

C-8 

    
Section 12. Changes in
Writing. Other than in connection with the
addition of an additional Subsidiary Guarantor, which shall become a party
hereto by executing a Supplement hereto in the form attached as Annex I, or in connection
with the addition under this Guaranty, at the Company’s election, of new
securities issued by the Company under the Indenture, any of its other existing
indentures or such other indentures as the Company may enter into from time to
time, which addition shall not require the consent of the Holders of Securities,
this Guaranty and any provision hereof may be changed, waived, discharged or
terminated only in a writing signed by each of the Subsidiary Guarantors and the
Trustee with the consent of the Holders of Securities of not less than a
majority of the aggregate Principal Amount at Maturity of the Securities then
outstanding as determined under Section 2.08 of the Indenture (or each Holder of
Securities affected thereby if required pursuant to the terms of Section 10.02
of the Indenture). 

    
Section 13. GOVERNING
LAW. ANY
DISPUTE BETWEEN ANY SUBSIDIARY GUARANTOR AND THE TRUSTEE OR ANY HOLDER OF
SECURITIES ARISING OUT OF, CONNECTED WITH, RELATED TO, OR INCIDENTAL TO THE
RELATIONSHIP ESTABLISHED AMONG SUCH SUBSIDIARY GUARANTOR, THE TRUSTEE AND THE HOLDERS OF SECURITIES IN
CONNECTION WITH THIS GUARANTY, AND WHETHER ARISING IN CONTRACT, TORT, EQUITY, OR OTHERWISE, SHALL BE RESOLVED IN
ACCORDANCE WITH THE GOVERNING LAWS SPECIFIED IN SECTION 12.08 OF THE
INDENTURE. 

    
Section 14. No Strict
Construction. The parties hereto have
participated jointly in the negotiation and drafting of this Guaranty. In the
event an ambiguity or question of intent or interpretation arises, this Guaranty
shall be construed as if drafted jointly by the parties hereto and no
presumption or burden of proof shall arise favoring or disfavoring any party by
virtue of the authorship of any provisions of this Guaranty. 

    
Section 15. Expenses of
Enforcement, Etc. The Subsidiary Guarantors
agree to reimburse the Trustee and the Holders of Securities for any reasonable
costs and out-of-pocket expenses (including reasonable attorneys’ and
paralegals’ fees and time charges of outside counsel and paralegals for the
Trustee and the Holders of Securities), paid or incurred by the Trustee or any
Holder of Securities in connection with the collection and enforcement of this
Guaranty. 

    
Section 16. Setoff. At any time after the
occurrence and during the continuance of an Event of Default, each Holder of
Securities and the Trustee may, without notice to any Subsidiary Guarantor and
regardless of the acceptance of any security or collateral for the payment
hereof, appropriate and apply toward the payment of all or any part of the
Guaranteed Obligations then due and payable (by acceleration or otherwise) (i)
any indebtedness due or to become due from such Holder of Securities or the
Trustee to any Subsidiary Guarantor, and (ii) any moneys, credits or other
property belonging to any Subsidiary Guarantor, at any time held by or coming
into the possession of such Holder of Securities or the Trustee. 

C-9 

    
Section 17. Financial
Information. Each Subsidiary Guarantor hereby
assumes responsibility for keeping itself informed of the financial condition of
the Company, the other Subsidiary Guarantors and any and all endorsers and/or
other guarantors of all or any part of the Guaranteed Obligations, and of all
other circumstances bearing upon the risk of nonpayment of the Guaranteed
Obligations, or any part thereof, that diligent inquiry would reveal, and each
Subsidiary Guarantor hereby agrees that none of the Holders of Securities or the
Trustee shall have any duty to advise such Subsidiary Guarantor of information
known to any of them regarding such condition or any such circumstances. In the
event any Holder of Securities or the Trustee, in its sole discretion,
undertakes at any time or from time to time to provide any such information to a
Subsidiary Guarantor, such Holder of Securities or the Trustee shall be under no
obligation (i) to undertake any investigation not a part of its regular business
routine, (ii) to disclose any information which such Holder of Securities or the
Trustee, pursuant to accepted or reasonable commercial finance or banking
practices, wishes to maintain confidential, (iii) to make any other or future
disclosures of such information or any other information to such Subsidiary
Guarantor or (iv) to provide any such information to any other Subsidiary
Guarantor. 

    
Section 18. Severability. Wherever possible, each
provision of this Guaranty shall be interpreted in such manner as to be
effective and valid under applicable law, but if any provision of this Guaranty
shall be prohibited by or invalid under such law, such provision shall be
ineffective to the extent of such prohibition or invalidity without invalidating
the remainder of such provision or the remaining provisions of this Guaranty.

    
Section 19. Merger. This Guaranty represents the
final agreement of each of the Subsidiary Guarantors with respect to the matters
contained herein and may not be contradicted by evidence of prior or
contemporaneous agreements, or subsequent oral agreements, between the
Subsidiary Guarantor and any Holder of Securities or the Trustee. 

    
Section 20. Headings. Section headings in this
Guaranty are for convenience of reference only and shall not govern the
interpretation of any provision of this Guaranty. 

    
Section 21. Counterparts. This Guaranty may be
executed in any number of counterparts, all of which taken together shall
constitute one agreement, and any of the parties hereto may execute this
Guaranty by signing any such counterpart. 

    
Section 22. Swedish
Guarantors.

    
(a) Swedish Companies Act. In respect of
any Subsidiary Guarantors organized under the laws of Sweden (the
“Swedish Guarantors”), the obligations of such Subsidiary Guarantors under this Guaranty
shall be limited if (and only if) required by an application of the provisions
of the Swedish Companies Act (Sw: aktiebolagslagen) (2005:551) in force from
time to time regulating the purpose of a company’s business, prohibited loans
and guarantees and distribution of assets (including profits/dividends)
(assuming that all steps open to such Subsidiary Guarantors and all its
shareholders to authorise its obligations under this Guaranty have been taken)
and it is understood that the liability of such Subsidiary Guarantors under this
Guaranty only applies to the extent permitted by the above mentioned provisions
of the Swedish Companies Act. 

C-10 

    
(b) Limitations. In respect of any Swedish
Guarantor, this Guaranty shall not apply to Guaranteed Obligations of
ArvinMeritor Holdings Mexico, LLC. 

    
Section 23. Luxembourg
Guarantors. 

    
(a) Notwithstanding any other provisions of this Guaranty, any other guaranty
entered into in connection with the Credit Agreement or as a result of the
Credit Agreement, the Indenture or the Securities, in relation to each
Subsidiary Guarantor organized under the laws of Luxembourg (the
“Luxembourg Guarantor”) the maximum amount payable by that Luxembourg Guarantor
under this Guaranty, any other guaranty entered into in connection with the
Credit Agreement or as a result of the Credit Agreement, the Indenture or the
Securities shall at no time exceed the Maximum Amount (as defined below) of that
Luxembourg Guarantor. 

    
(b) The
“Maximum Amount” of any Luxembourg Guarantor means the aggregate of: 

    
(i) the
outstanding intercompany loans (including without limitation by way of
promissory notes) made directly or indirectly to that Luxembourg Guarantor which
have been funded with moneys received by the Borrowers through the issuance of
the Securities; and 

    
(ii) an
amount equal to 85% of the greater of (A) that Luxembourg Guarantor’s Fair Value (as defined below) on the date on which
a demand is first made on that Luxembourg Guarantor under this Guaranty after
the deduction of any amount payable or paid in accordance with paragraph (i)
above and (B) that Luxembourg Guarantor’s Fair Value (as defined below) at the
date of this Guaranty after the deduction of the amount payable or paid in
accordance with paragraph (i) above.

A Luxembourg Guarantor’s “Fair Value” means the
market value of the assets of that Luxembourg Guarantor as reasonably determined
by the Trustee as at a specific date less all existing liabilities (including
tax liabilities) incurred from time to time by that Luxembourg Guarantor and as
reflected from time to time in the books of that Luxembourg
Guarantor.

    
(c) The
obligations and liabilities of any Luxembourg Guarantor under this Guaranty
shall not include any obligation which, if incurred, would constitute either (a)
a misuse of corporate assets as defined under Article 171-1 of the Luxembourg
Company Act of August 10, 1915, as amended from time to time, (the
“Luxembourg Company Act”) or (b) financial assistance. 

    
(d) No
Luxembourg Guarantor shall at any time have any liability under this Guaranty to
the extent that, if it were so liable, it would contravene any mandatory
provision of Luxembourg law. 

C-11 

    
IN WITNESS WHEREOF, the Initial Guarantors have caused this Guaranty to
be duly executed by its authorized officer as of the day and year first above
written. 

		ARVIN
      INTERNATIONAL HOLDINGS, LLC
		ARVIN
      REPLACEMENT PRODUCTS FINANCE, LLC
		ARVIN
      TECHNOLOGIES, INC.
		ARVINMERITOR ASSEMBLY, LLC
		ARVINMERITOR BRAKE HOLDINGS, LLC
		ARVINMERITOR FILTERS HOLDING CO., LLC
		ARVINMERITOR FILTERS OPERATING CO., LLC
		ARVINMERITOR HOLDINGS, LLC
		ARVINMERITOR HOLDINGS MEXICO, LLC
		ARVINMERITOR, INC.
		ARVINMERITOR INVESTMENTS, LLC
		ARVINMERITOR OE, LLC
		ARVINMERITOR TECHNOLOGY, LLC
		AVM,
      INC.
		EUCLID
      INDUSTRIES, LLC
		GABRIEL EUROPE, INC.
		MAREMONT CORPORATION
		MAREMONT EXHAUST PRODUCTS, INC.
		MERITOR AFTERMARKET USA, LLC
		MERITOR HEAVY VEHICLE BRAKING SYSTEMS (U.S.A.), LLC
		MERITOR HEAVY VEHICLE SYSTEMS, LLC
		MERITOR HEAVY VEHICLE SYSTEMS (SINGAPORE) PTE., LTD.
		MERITOR HEAVY VEHICLE SYSTEMS (VENEZUELA), INC.
		MERITOR, INC., a Nevada corporation
		MERITOR MANAGEMENT CORP.
		MERITOR TECHNOLOGY, LLC
		MERITOR TRANSMISSION CORPORATION
		  
		  
		By:	 	 
		Name:
		Title:

Signature Page to Subsidiary Guaranty

		ARVIN
      EUROPEAN HOLDINGS (UK) LIMITED
		 
	 	 
	 	By:	 	 
		Name:
		Title:
		 
		 
		ARVIN
      HOLDINGS NETHERLANDS B.V.
		 
		By:	  	 
		Name:
		Title:
		 
		 
		MERITOR NETHERLANDS B.V.
		 
		 
		By:	  	 
		Name:
		Title:
		 
		 
		ARVINMERITOR LIMITED
		 
		 
		By:	  	 
		Name:
		Title:
		 
		 
		ARVINMERITOR SWEDEN AB
		 
		 
		By:	  	 
		Name:
		Title:
		 
		 
		MERITOR HOLDINGS NETHERLANDS B.V.
		 
		 
		By:	  	 
		Name:
		Title:

Signature Page to Subsidiary Guaranty

		MERITOR LUXEMBOURG S.A.R.L.
		 
	 	By:	  	 
		Name:
		Title:

Signature Page to Subsidiary Guaranty

     IN
WITNESS whereof the Initial Guarantor has
executed this Guaranty as a deed the day and year first above written.

	EXECUTED AS A
      DEED by	)     	 
	ARVIN CAYMAN
      ISLANDS, LTD.	)	Duly
      Authorised Signatory
		)	 
		)	Name:	    
     	  
	 	)	 
	 	)	Title:	 	  
		)	 

	in
      the presence of:
	  
	  
	   
	Signature of Witness
	 
	Name:	 	 
	 
	Address:	 	 
	 
	Occupation:	      	 
	 
	(Note: These
      details are to be completed in the witness’s own hand
  writing.)

Signature Page to Subsidiary Guaranty

     IN WITNESS whereof the Initial Guarantor has executed this Guaranty as a deed the
day and year first above written. 

	EXECUTED
      AS A DEED by	)     	 
	MERITOR
      CAYMAN ISLANDS, LTD.	)	Duly
      Authorised Signatory
		)	 
		)	Name:	    
     	  
	 	)	 
	 	)	Title:	 	  
		)	 

	in
      the presence of:
	  
	  
	   
	Signature of Witness
	 
	Name:	 	 
	 
	Address:	 	 
	 
	Occupation:	      	 
	 
	(Note: These
      details are to be completed in the witness’s own hand
  writing.)

Signature Page to Subsidiary Guaranty

ANNEX I TO SUBSIDIARY GUARANTY

     Reference is
hereby made to the Subsidiary Guaranty (as the same may be amended, restated,
supplemented or otherwise modified from time to time, the “Guaranty”), dated as of
December 4, 2012, made by certain subsidiaries of Meritor, Inc., an Indiana
corporation (each an “Initial
Guarantor”, and together with any additional
subsidiaries that become parties to this Guaranty by executing a Supplement
thereto in the form attached thereto as Annex
I, the “Subsidiary Guarantors”), in favor of
The Bank of New York Mellon Trust Company, N.A., as Trustee, under the Indenture
(as defined in the Guaranty) for the benefit of the Holders of Securities. Each
capitalized term used herein and not defined herein shall have the meaning given
to it in the Guaranty.

    
By its execution below, the undersigned, [NAME OF NEW SUBSIDIARY
GUARANTOR], a [corporation] [partnership]
[limited liability company], agrees to become, and does hereby become, a
Subsidiary Guarantor under the Guaranty and agrees to be bound by such Guaranty
as if originally a party thereto.

    
IN WITNESS WHEREOF, [NAME OF NEW SUBSIDIARY GUARANTOR], a [corporation]
[partnership] [limited liability company] has executed and delivered this Annex
I counterpart to the Guaranty as of this __________ day of _________, 20__.

		[NAME
      OF NEW SUBSIDIARY GUARANTOR]
		  
		 
	 	By:	   	 
		Name:
		Title:f8k111312ex10i_appsgenius.htm

Exhibit 10.1

 

Apps Genius Corp

825 S.E. 8th Avenue, Suite 207

Deerfield Beach, FL 33441

November 13, 2012

Renaissance Partner Group, Inc.

2000 Cornwall Road Ste-222,

Monmouth Junction, New Jersey 08852

	
  

	
Re:

	
Binding Letter of Intent between Apps Genius Corp and Renaissance Partner Group, Inc.

Dear Giri Devanur:

This letter sets forth our binding letter of intent (“Letter of Intent”) between Apps Genius Corp, a Nevada corporation, (“Apps”) and Renaissance Partner Group, Inc., a California corporation, doing business as Winhire (“RPG”), and in connection therewith, the acquisition of 100% of the issued and outstanding equity securities of RPG by Apps, and the issuance of shares of Apps to the shareholders of RPG, or their designees, in amount equal to 65% of the issued and outstanding shares of Apps (the “Transaction”), subject to the terms of a definitive share exchange agreement to be negotiated and executed by Apps and RPG (each a “Party”, and together, the “Parties”).

The proposed terms of the Transaction are as follows:

1.          Definitive Agreement.  Consummation of the Transaction as contemplated hereby will be subject to the negotiation and execution of a mutually satisfactory definitive share exchange agreement (the “Agreement”), setting forth the specific terms and conditions of the transaction proposed hereby.  The execution of the Definitive Agreement by both Parties (the “Closing”) is subject to approval by the board of directors and shareholders of RPG and the board of directors and shareholders of Apps, and the completion by each of the Parties of a satisfactory review of the legal, financial and business condition and prospects of the other Party, as well as certain other terms contained herein.  The Parties will use their reasonable best efforts to negotiate in good faith the Definitive Agreement, which will contain, among other standard terms and conditions, the following provisions:

	
  

	
(a)

	
In consideration for 100% of the issued and outstanding equity securities of RPG, Apps will issue shares of its common stock to the shareholders of RPG, or their designees, in an amount equal to 65% of the issued and outstanding shares of Apps.  The issuance of the shares of both Parties shall be made simultaneous with or as soon as practicable after Closing.

	
  

	
(b)

	
The resignation of all of the officers and members of the board of directors of Apps and the appointment of five directors to be comprised of (i) three members chosen by RPG, (ii) one member chosen by Apps, and (iii) one member to be mutually agreed upon by RPG and Apps before Closing.  After Closing, the new members of the board of directors of Apps shall appoint new officers of Apps of their choosing.

	
  

	
(c)

	
Before Closing, Apps shall complete a 3 for-1 reverse stock split, or such other split ratio as is mutually agreed upon by both parties (the “Reverse Stock Split”), and shall take such steps necessary to get the Reverse Stock Split approved by FINRA and other necessary regulatory agencies, and shall obtain a new CUSIP number and confirmation from Apps’s transfer agent of the Reverse Stock Split.

 

  

  

  

 

November 13, 2012

Page 2

 

	
 

 

  

	
(d)

	
Before Closing, the shareholders and board of directors of Apps shall approve an amendment to its Articles of Incorporation to increase the number of authorized shares of common stock to Three Hundred Fifty Million (350,000,000) shares and shall file such amendment with the Secretary of State for the State of Nevada.

	
  

	
(e)

	
Before Closing, RPG and its subsidiaries, if any, including all entities that are fully or partially owned by RPG, shall obtain fully audited financials statements of its accounts in a manner that would be sufficient for RPG to enter into a reverse merger with a publicly traded entity and as required by applicable securities laws (the “RPG Audited Financial Statements”).

	
  

	
(f)

	
At and following Closing, Apps shall retain all cash, non-cash assets and liabilities, including all intellectual property, owned as of the date of this Letter of Intent.

	
  

	
(g)

	
As a post-Closing covenant, Apps shall agree to change its name to WinHire, Inc., or such other name that is acceptable to RPG, within 30 days following the Closing.

	
  

	
(h)

	
Any necessary third-party consents shall be obtained prior to Closing, including but not limited to any consents required to be obtained by either Party from their respective lenders, creditors, vendors and lessors.

	
  

	
(i)

	
Each Party shall have completed their due diligence review of the respective Parties and shall be reasonably satisfied with the result of such review.

	
  

	
(j)

	
Within four (4) business days after Closing, Apps shall file a “Super 8-K” reporting the transaction, and shall take such additional steps to be in compliance with federal and state securities laws.

2.          Conduct of Business.  Prior to the execution of the Agreement, the Parties shall conduct their respective operations in the ordinary course consistent with past practice and will not issue any capital stock or grant any options with respect to their respective capital stock, unless such Party has previously entered into an agreement to issue such capital stock or options, nor will either Party make any distributions, dividends or other payments to any affiliate or shareholders, unless approved in writing by both parties.  Apps will continue to make timely disclosures and reports as required by federal and state securities laws.  Each Party shall make a good faith effort to complete all terms of this Letter of Intent as soon as practicable.

3.          Public Announcements.  Neither Party will make any public disclosure concerning the matters set forth in this Letter of Intent or the negotiation of the proposed Transaction without the prior written consent of the other Party, which consent shall not be unreasonably withheld, provided, however, that each Party hereby agrees that, upon signing this Letter of Intent, Apps shall be entitled to disclose this Letter of Intent in a Form 8-K filing and contemporaneous press release.  If and when either Party desires to make such public disclosure, after receiving such prior written consent, the disclosing Party will give the other Party an opportunity to review and comment on any such disclosure in advance of public release.  Notwithstanding the above, to the extent that either Party is advised by counsel that disclosure of the matters set forth in this Letter of Intent is required by applicable securities laws or to the extent that such disclosure is ordered by a court of competent jurisdiction or is otherwise required by law, then such disclosing Party will provide the other Party, if reasonably possible under the circumstances, prior notice of such disclosure as well as an opportunity to review and comment on such disclosure in advance of the public release.

  

  

  

 

November 13, 2012

Page 3

 

4.          Due Diligence; Confidentiality Agreement.  Each Party and its representatives, officers, employees and advisors, including accountants and legal advisors, will provide the other Party and its representatives, officers, employees and advisors, including accountants and legal advisors, with all information, books, records and property (collectively, “Transaction Information”) that such other Party reasonably considers necessary or appropriate in connection with its due diligence inquiry.  Each Party agrees to make available to the other Party such officers, employees, consultants, advisors and others as reasonably requested by the other Party for meetings, visits, questions and discussions concerning each other and the Transaction.  Each of the Parties will use its reasonable best efforts to maintain the confidentiality of the Transaction Information, unless all or part of the Transaction Information is required to be disclosed by applicable securities laws or to the extent that such disclosure is ordered by a court of competent jurisdiction.  Each Party will have until 12:00 p.m. Eastern Time on the date that is ten (10) calendar days following receipt of the RPG Audited Financial Statements (the “Due Diligence Review Period”) to complete their initial due diligence review of the respective documents, unless such period is mutually extended by the Parties.

5.          Exclusivity.  In consideration for the mutual covenants and agreements contained herein, until the earlier of the Closing or termination of this Letter of Intent in accordance with its terms, the Parties or their respective officers, directors, employees, shareholders and other representatives will not, and will not permit any of their respective affiliates to, directly or indirectly, solicit, discuss, accept, approve, respond to or encourage (including by way of furnishing information) any inquiries or proposals relating to, or engage in any negotiations with any third party with respect to any transaction similar to the Transaction or any transaction involving the transfer of a significant or controlling interest in their respective assets or capital stock, including, but not limited to, a merger, acquisition, strategic investment or similar transaction (“Acquisition Proposal”).  The Parties and their respective officers or their respective affiliates will immediately notify each other in writing of the receipt of any third party inquiry or proposal relating to an Acquisition Proposal and will provide the other Party with copies of any such notice inquiry or proposal.  Notwithstanding the foregoing, nothing in this Section 5 will be construed as prohibiting the board of directors of either Party from (a) making any disclosure required by applicable law to its shareholders; or (b) responding to any unsolicited proposal or inquiry (other than an Acquisition Proposal by a third party) by advising the person making such proposal or inquiry of the terms of this Section 5.

6.          Termination.  This Letter of Intent may be terminated (a) by mutual written consent of the Parties hereto, (b) by either Party (i) after 5:00 p.m. Eastern Time on March 31, 2013 if an Agreement is not executed and delivered by the Parties prior to such time, (ii) if the Transaction is enjoined by a court or any governmental body, (iii) if the other Party materially breaches any term of this Letter of Intent, (iv) if there is a material adverse effect involving the business or operations of the other Party, or (v) if before the end of the Due Diligence Review Period, if any Party is not satisfied with the results of its due diligence investigation of the other Party, in its sole and absolute discretion.

7.          No Brokers.   Except with respect to a consulting agreement entered into by Apps in August 2012, each Party represents and warrants to the other that there are no brokers or finders entitled to any compensation with respect to the execution of this Letter of Intent, and each agrees to indemnify and hold the other harmless from and against any expenses or damages incurred as a result of a breach of this representation and warranty. With respect to the consulting shares owed under such consulting agreement, the shares will be issued immediately prior to the Closing and will be included in Apps total issued and outstanding shares immediately prior to the Closing.

 

  

  

  

 

November 13, 2012

Page 4

8.          Expenses.  Each of the Parties will be responsible for its own expenses in connection with the Transaction, including fees and expenses of legal, accounting and financial advisors.  Specifically, the cost of the RPG Audited Financial Statements shall be the responsibility of RPG.

9.          Choice of Law.  This Letter of Intent shall be governed by and construed in accordance with the internal substantive laws of the State of New York.

10.        Compliance with the Securities Laws.  RPG acknowledges that it and its officers, directors, shareholders, employees and other representatives (collectively, the “Information Recipients”) may, in connection with their consideration of the proposed Transaction, come into possession of material non-public information about Apps.  Accordingly, RPG will use its commercially reasonable efforts to ensure that none of the Information Recipient will trade (or cause or encourage any third party to trade) in any of the securities that they will receive as a result of the Transaction while in possession of any such material, non-public information.

11.        Counterparts.  This Letter of Intent maybe executed in counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument.  Fax or .pdf format copies of signatures shall be treated as originals for all purposes.

 

12.        Effect.  This Letter of Intent is a binding contract between the Parties, and contains the entire agreement by and among the Parties to date with respect to the subject matter hereof and supersedes any and all prior agreements and understandings, oral or written, with respect to such matters.

 

[Signature Page Follows]

 

  

  

  

 

November 13, 2012

Page 5

 

This Letter of Intent will terminate at 5:00 p.m. Eastern Time on November 13, 2012 unless it has been duly executed by or on behalf of the Parties prior to such time.  The date of this Agreement shall as of the last date upon which each Party has affixed its signature hereto.

 

	 	
Very truly yours,

	 
	 	 	 
	 	
APPS GENIUS CORP

	 
	 	 	 	 
	
 

	
By: 

	/s/ Adam Kotkin	 
	 	Name:Adam Kotkin	 
	 	Title:CEO	 

 

Agreed and Accepted:

RENAISSANCE PARTNER GROUP, INC.

 

	
By: 

	/s/ Giri Devanur	 	Date   November 13, 2012
	Name:	Giri Devanur	 	 
	Title:	CEO	 	 

[Signature Page to Binding Letter of Intent]

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