Document:

Filed by Bowne Pure Compliance

Exhibit 10.1

*** Portions omitted pursuant to a request for confidential treatment and filed separately with the
Securities and 
Exchange Commission.***

ETHANOL MARKETING AGREEMENT

THIS AGREEMENT is entered into by and among Eco-Energy, Inc. (hereinafter “Eco”) a Tennessee
Corporation with its main office located at 725 Cool Springs Blvd, Suite 500, Franklin, Tennessee
37067, and Granite Falls Energy, LLC (hereinafter “GFE”) a Minnesota Limited Liability Corporation
with its main office located at 15045 Highway 23 SE, Granite Falls, Minnesota 56241.

RECITALS:

	A.	 	GFE, who is currently operating an ethanol facility producing up to 50.89 million gallons per
year of ethanol located in Granite Falls, Minnesota, desires to establish an output-marketing
Agreement (hereinafter “Agreement”).

	B.	 	Eco is a reseller of ethanol and is experienced in the marketing and transportation of such
ethanol, and is willing to agree to purchase the entire ethanol output of the plant and any
future increases in production.

NOW, THEREFORE, IT IS AGREED AS FOLLOWS BETWEEN THE PARTIES:

	1.	 	Eco Services. Eco shall, during the term hereof, purchase the entire output of
ethanol and to provide certain transportation services to GFE (the “Eco Program”). The Eco
services to be provided are set forth in Sections 2 and 3 and the exhibits attached hereto
which are referred to therein.

	2.	 	Eco Take or Pay Ethanol Purchases. GFE agrees to sell to Eco, and Eco agrees to
purchase from GFE, 100% of the production of ethanol during the term of the Agreement,
including any production in excess of current production of 50.89 million gallons per year.
This shall include any production resulting from an expansion or any modification to existing
technology. Each potential Eco purchase will be presented to the GFE representative by Eco
for verbal approval. Upon such verbal approval and purchase, a confirmation of the purchase
contract will be submitted to GFE by Eco, encompassing the details of each purchase. If GFE
shuts down its facility, GFE’s liability to Eco shall be limited to any gallons of production
forward sold by Eco prior to notice of shutdown. Eco shall provide notice to and obtain
approval of GFE before pre-selling any GFE production.

	3.	 	Eco Transportation Services. Eco agrees to provide the transportation services set
forth in Exhibit B.

	4.	 	Fees. [*]

	5.	 	GFE Representative. GFE shall designate one or more persons who shall be authorized
and directed to receive services hereunder and to make all merchandising, purchasing and sales
decisions for GFE (hereinafter “Designated Representative”). All directions, transactions and
authorizations given by such representative to Eco shall be binding upon GFE. Eco shall be
entitled to rely on the authorization of such persons until it receives written notification
from GFE that such authorization has been revoked. The terms of such purchase orders shall be
consistent with the provisions of Exhibit A and may include, but shall not necessarily be
limited to, price, volume, delivery schedule, and shipping instructions.

	 	 	 
	*	 	Portion omitted pursuant to a request for confidential treatment and filed separately with the
Securities and Exchange Commission.

	 	 	 	 	 	 	 
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	6.	 	Eco Limitations.

	 	(a)	 	Eco assumes no responsibility for the completion or performance
of any contracts between GFE and GFE’s customers and suppliers, and GFE agrees
they shall not bring any action or make any claim against Eco based on any act,
omission or claim of any of GFE’s customers or suppliers.

	 	(b)	 	GFE is responsible to cover all non-deliveries of any product
that is contracted between Eco and GFE in a timely manner in order to stay
within the time parameters of the contract. Eco will assist in procuring
product from other suppliers to cover these non-deliveries.

	 	(c)	 	Throughout the term of this Agreement, if GFE shall fail to
deliver ethanol, or delay shipments that it has agreed to deliver to Eco and
which Eco has agreed to sell to a third-party, Eco shall be responsible for
obtaining replacement ethanol from other ethanol suppliers at market prices.
GFE shall pay Eco all costs and expenses incurred by Eco in fulfilling its
obligations pursuant to the immediately preceding sentence.

	 	(d)	 	If any party terminates this Agreement for any reason, both
parties will be responsible to complete any existing contracts.

	7.	 	Separability and Non-liability. The services, contracts and relationships between
GFE and Eco are independent and separable.

	8.	 	Confidentiality Agreement. The parties agree, to the extent permitted by law, to
preserve and protect the confidentiality of this Agreement. Both parties recognize that
federal or state law may require the filing of the Agreement with, or the furnishing of
information to, governmental authorities or regulatory agencies. Both parties further
recognize the need, from time to time, for the submission of the Agreement to affiliates,
consultants, or contractors performing work on, or related to, the subject matter of the
Agreement. Buyer and Seller agree to allow the submission of the Agreement to affiliates,
consultants, or contractors if such affiliates, consultants, or contractors agree to protect
the confidentiality of the Agreement and shall make all available efforts to protect the
material information if required to submit any portion of this Agreement to an outside party
(including, but not limited to, a Request For Confidential Treatment under the Freedom of
Information Act or any similar legislation). In the event either party is of the opinion that
applicable law requires it to file the Agreement with, or to disclose information related to
the Agreement (other than information required by laws and regulations in effect as of the
date hereof to be furnished in periodic reports to governmental authorities) to, any judicial
body, governmental authority or regulatory agency, that party shall so notify the other party
in writing prior to the disclosure or filing of the Agreement to give the other party the
opportunity to protect the material terms of the Agreement from disclosure.

	9.	 	Public Disclosure. Any public announcements concerning the transaction contemplated
by this letter shall be approved in advance by Eco and GFE, except for disclosures required
by law, in which case the disclosing party shall provide a copy of the disclosure to the other
party prior to its public release, keeping with the terms of Section 8 of this Agreement.

	10.	 	Solicitation. GFE agrees not to contact or interfere with, solicit, disrupt or
attempt to disrupt relationships, contractual or otherwise, between Eco and any of its
customers, employees or vendors.

	 	 	 	 	 	 	 
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	11.	 	Terms and Termination.

	 	(a)	 	[*]

	 
	 	(b)	 	[*]

	 
	 	(c)	 	This Agreement may be terminated by GFE as to Eco in the event
of material breach of any of the material terms hereof by such other party, by
written notice specifying the breach, which notice shall be effective fifteen
(15) days after it is given unless the receiving party cures the breach within
such time. This Agreement may be terminated by Eco as to GFE in the event of
material breach of any of the material terms hereof by GFE, by written notice
specifying the breach, which notice shall be effective fifteen (15) days after
it is given unless the receiving party cures the breach within such time. Any
material breach by GFE as to Eco or by Eco as to GFE that cannot be resolved
within fifteen (15) days, both parties may mutually agree in writing to the
length of time needed to resolve the material breach.

	 
	 	(d)	 	This Agreement may also be terminated by the mutual consent of
both parties on such terms as the parties may agree.

	 
	 	(e)	 	In addition to any other method of terminating this Agreement,
Eco may unilaterally terminate this Agreement at any time if such termination
shall be required by any regulatory authority, and such termination shall be
effective on the 30th day following the giving of notice of intent
to terminate.

	12.	 	Licenses, Bonds, and Insurance. Each party represents that it now has and will
maintain in full force and effect during the term of this Agreement, at its sole cost, all
necessary state and federal licenses, bonds and insurance in accordance with applicable state
or federal laws and regulations.

	13.	 	Limitation of Liability. EACH PARTY UNDERSTANDS THAT NO OTHER PARTY MAKES ANY
GUARANTEE, EXPRESS OR IMPLIED, TO ANY OTHER OF PROFIT, OR OF ANY PARTICULAR ECONOMIC RESULTS
FROM TRANSACTIONS HEREUNDER. IN NO EVENT SHALL ANY PARTY BE LIABLE FOR SPECIAL, COLLATERAL,
INCIDENTAL, OR CONSEQUENTIAL DAMAGES FOR ANY ACT OR OMISSION COMING WITHIN THE SCOPE OF THIS
AGREEMENT, OR FOR BREACH OF ANY OF THE PROVISIONS OF THIS AGREEMENT, EVEN IF IT HAS BEEN
ADVISED OF THE POSSIBILITY OF SUCH DAMAGES. SUCH EXCLUDED DAMAGES INCLUDE, BUT ARE NOT LIMITED
TO, LOSS OF GOOD WILL, LOSS OF PROFITS, LOSS OF USE AND INTERRUPTION OF BUSINESS.

	14.	 	Disclaimer. GFE understands and agrees that Eco makes no warranty respecting legal or
regulatory requirements and risks. GFE shall obtain such legal and regulatory advice from
third parties as it may deem necessary respecting the applicability of legal and regulatory
requirements applicable to GFE’s business.

	 	 	 
	*	 	Portion omitted pursuant to a request for confidential treatment and filed separately with the
Securities and Exchange Commission.

	 	 	 	 	 	 	 
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	 	JD	 	 
	 	 	 

 

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	15.	 	Indemnity. The parties agree that they shall absolve, release and refrain from
seeking remedies against each other and their officers, agents, employees, subcontractors and
insurers for any and all losses, claims, damages, costs, suits and liabilities for damage,
deterioration of quality, shrinkage in quantity, loss of grade or loss of Ethanol resulting
from the inherent nature of transfer operations and the inherent nature of Ethanol provided
that this in no way shall relieve the parties for their own negligence, willful misconduct or
theft. Each party to this Agreement shall indemnify, defend and hold the other harmless from
claims, demands and causes of action asserted against the other by any person (including
without limitation employees of either party) for personal injury or death, or for loss of or
damage to property resulting from the willful or negligent acts or omissions of the
indemnifying party. Where personal injury, death or loss of or damage to property is the
result of the joint negligence or misconduct or the parties hereto, the parties expressly
agree to indemnify each other in proportion to their respective share of such joint negligence
or misconduct.

	16.	 	Nature of Relationship. Eco is an independent contractor providing services to GFE.
No employment relationship, partnership or joint venture is intended, nor shall any such
relationship be deemed created hereby. Each party shall be solely and exclusively responsible
for its own expenses and costs of performance.

	17.	 	Notices. Any notices permitted or required hereunder shall be in writing, signed by
an officer duly authorized of the party giving such notice, and shall either be hand delivered
or mailed. If mailed, notice shall be sent by certified, first class, return receipt
requested, mail to the address shown above, or any other address subsequently specified by
notice from one party to the other.

	18.	 	Compliance with Governmental Controls. To the extent applicable, the parties agree
to comply with all laws, ordinances, rules, codes, regulations and lawful orders of any
federal, state or local government authority applicable to the performance of the Agreement,
including, without limitation, those pertaining to the environment, safety, health, social
security, old age pension, wage hour laws, unemployment compensation, non-discrimination on
the basis of race, religion, color, sex or national origin and affirmative action.

	19.	 	New Or Changed Regulations. The parties enter the Agreement in reliance upon the
laws, rules, regulations, interpretations, decrees, Agreements, and concessions of, and
arrangements (hereafter called “Regulations”) with governments or governmental
instrumentalities in effect on the date of the Agreement with respect to or directly or
indirectly affecting the ethanol to be delivered, including without limitation, production,
gathering, manufacturing, transportation, sale and delivery thereof insofar as said
Regulations affect both parties and their customers. In the event that at any time
subsequent to the date of the Agreement, any of said Regulations are changed or new
Regulations are promulgated whether by law, decree, interpretation or regulation, or by
response to the insistence or request of any governmental authority or person purporting to
act therefore, and the effect of such changed or new Regulation (a) is or will not be covered
by any other provisions of the Agreement, or (b) has or will have an adverse economic effect
upon the parties to this Agreement or the suppliers or customers of said parties, the parties
shall have the option to request renegotiation of the prices and other pertinent terms
provided for in the Agreement and their respective effective dates. Said option may be
exercised by both parties at any time after such changed or new Regulation is promulgated by
giving notice of the exercise of its option to renegotiate prior to the time of delivery of
ethanol or any part thereof. Such notice shall contain the new prices and terms desired by
Agreement of Eco and GFE. If the parties do not agree upon new prices and terms satisfactory
to both parties within ten (10) days after such notice is given, both parties shall have the
right to terminate the Agreement at the end of said ten (10) day period.

	 	 	 	 	 	 	 
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	20.	 	General.

	 	(a)	 	This Agreement is the entire understanding of the parties
concerning the subject matter hereof, and it may be modified only in writing
signed by the parties.

	 
	 	(b)	 	If any provision or provisions of this Agreement shall be held
to be invalid, illegal or unenforceable, the validity, legality and
enforceability of the remaining provisions shall not in any way be affected or
impaired thereby.

	 
	 	(c)	 	No party shall be liable for any failure to perform any or all
of the provisions of this Agreement if and to the extent that performance has
been delayed or prevented by reason of any cause beyond the reasonable control
of such party. The expression “cause beyond the reasonable control” shall be
deemed to include, but not be limited to: acts, regulations, laws, or
restraints imposed by any governmental body; wars, hostilities, sabotage,
riots, or commotions; acts of God; or fires, frost, storms, or lightning.

	 
	 	(d)	 	This Agreement is not intended to, and does not, create or give
rise to any fiduciary duty on the part of any party to any other.

	 
	 	(e)	 	This Agreement is governed by and shall be construed under the
laws of the State of Minnesota. Venue for any action arising from or in
relation to this Agreement shall be in Minneapolis, MN.

	 
	 	(f)	 	Either Party shall have the option to terminate this
Agreement for convenience upon sixty (60) days written notice to the other
party from and after the occurrence of any transfer, assignment, sale or other
disposition of (i) all or substantially all of the assets comprising the
Facility, or (ii) more than 50% of the stock of GFE or Eco or their respective
parent companies to any Person which is not an Affiliate. Any termination
pursuant to this Section shall be effective sixty (60) days after written
notice is provided by the terminating party to the other party; provided,
however that any such termination shall not relieve either party of its
obligations incurred under this Agreement prior to the termination date.

	 
	 	(g)	 	This Agreement shall be binding upon GFE and this above
referenced plant in the event that the name is later changed to any name in the
alternative. A change in name does not void, nor make this Agreement voidable.

DATED AND EXECUTED AS OF THIS  24th  DAY OF  December, 2008

	 	 	 	 	 	 	 
	Granite Falls Energy, LLC	 	 	 	 
	 
	 	 	 	 	 	 
	BY:

	 	/s/ Tracey L. Olson	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 	 	 
	Eco-Energy, Inc.	 	 	 	 
	 
	 	 	 	 	 	 
	BY:

	 	/s/ Jaime Dachelet	 	 	 	 
	 	 	 	 	 

	 	 	 	 	 	 	 
	Initials

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EXHIBIT A

Ethanol Services

Eco shall purchase 100% of the production of ethanol of GFE’s plant in accordance with Section 2 of
this Agreement and on the following terms:

	1.	 	[*]

	 
	2.	 	GFE is responsible for any and all of their local, state and federal tax liabilities.

	 
	3.	 	Eco shall provide scheduling and marketing for ethanol produced.

	 
	4.	 	Eco shall be responsible for receivables risk on ethanol.

	 
	5.	 	Eco reserves the right to refuse business to anyone due to credit and market risk.

	 
	6.	 	GFE shall meet or exceed all specifications for E-grade denatured fuel ethanol in accordance
with ASTM specifications, as well as, any changes in fuel ethanol industry standards that
might occur after the execution of this Agreement. This includes, but is not limited to, the
Magellan specifications for E Grade Denatured Fuel Ethanol. (as listed in EXHIBIT C)
Denaturant level in the product shall be between 1.96% and 2%, however, both parties recognize
that the IRS has not defined what 2% actually encompasses, therefore until further guidance
from the IRS, Eco will accept product that is within the range of 1.96% to 2.49% according to
the technical interpretation which permits rounding.

	 
	7.	 	GFE shall keep Eco informed on production forecasts, as well as daily plant inventory
balances.

	 
	8.	 	On all truck and rail shipments, title and risk of loss of the ethanol will pass at the
loading flange between the plant and the truck or railcar. Unless otherwise specified, Eco is
purchasing all ethanol on a FOB plant basis.

	 
	9.	 	GFE shall provide a minimum of ten (10) days storage on the GFE site.

	 
	10.	 	GFE must have meters that measure both gross and net 60 degrees Fahrenheit temperature
corrected gallons.

	 
	11.	 	Eco shall deduct all unavoidable costs such as government tariffs or assessment fees, sales
taxes, import/export handling fees, assessments, inspection fees, or any other that has been
approved by GFE.

	 
	12.	 	All Renewable Identification Numbers (RINs) shall be generated, in accordance with Eco’s RIN
Generation Program.  GFE shall transfer to ECO, 1.0 RINs for Corn Ethanol; 1.5 RINs for
Biodiesel and 2.5 RINs for Cellulosic Ethanol for each respective gallon purchased by Eco. On
a quarterly basis, Eco shall provide a transaction summary to GFE for reconciliation purposes,
however, GFE, as the designated Producer, shall retain responsibility for accurate reporting
to the EPA.

 	 	 	 
	*	 	Portion omitted pursuant to a request for confidential treatment and filed separately with the
Securities and Exchange Commission.

	 	 	 	 	 	 	 
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	 	JD	 	 
	 	 	 

 

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EXHIBIT B

Eco Transportation Services

	1.	 	Eco will purchase all truck and railcar gallons on an FOB plant basis.

	 
	2.	 	Eco will supply trucks to transport Ethanol.

	 
	3.	 	Eco and GFE, if needed, will mutually agree as to the number of railcars needed to use
as a fleet. GFE will be responsible for securing all rail cars and equipment pertaining to
rail.

	 
	4.	 	Eco will negotiate rail rates on behalf of GFE.

	 
	5.	 	If needed, all rail contracts will be in the name of GFE, or any name later chosen in
the alternative.

	 
	6.	 	GFE will invoice Eco for rail freight along with a copy of the actual railroad invoice.
The rail freight will be paid by Eco per the railroad invoice schedule.

	 	 	 	 	 	 	 
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EXHIBIT C

Product Specification

Ethanol Specification Standards

	 	 	 	 	 
	 	 	 	 	Specification Limit
	Apparent Proof, 60F
	 	Hydrometer	 	min. 200
	 
	 	 	 	max. 203
	Fuel Ethanol Content, volume %
	 	ASTM D5501	 	min. 95
	 
	 	 	 	max. 98 excluding water
	Ethanol, volume %
	 	ASTM D5501	 	min. 93.5%
	Methanol, volume %
	 	ASTM D5501	 	max. 0.5
	Denaturant Content, volume %
	 	 	 	min. 1.96 %
	 
	 	 	 	max. 2.49 %
	Water, mass%
	 	ASTM E-203 or E-1064	 	max. 0.82*
	Solvent Washed Gum, mg/100mI
	 	ASTM D381	 	max 5
	Inorganic Chloride, mg/L
	 	ASTM D512-81 Proc. C	 	max. 32
	Copper Content, mg/kg
	 	ASTM D1688 Method A	 	max. 0.08
	Acidity, mass% mg/L
	 	ASTM D1613	 	max. 0.007
	pHe
	 	ASTM D6423	 	min. 6.5
	 
	 	 	 	max. 9.0
	Appearance
	 	 	 	Visibly free of suspended and/or
	 
	 	 	 	settled contaminants. (Clear & Bright)
	Sulfur, ppm max
	 	ASTM D5453-93	 	10
	Sulfate, ppm max
	 	ASTM D7319	 	4.00
	 
	 	ASTM D7318	 	 
	 
	 	ASTM D7328	 	 
	Benzene, vol% max
	 	ASTM D5580-00 - Test results of a sample	 	0.06
	 
	 	of the denaturant multiplied by 0.0249	 	 
	Olefins, vol% max
	 	ASTM D6550-00 - Test results of a sample	 	0.5
	 
	 	of the denaturant multiplied by 0.0249	 	 
	Aromatics, vol% max
	 	ASTM D5580-00 - Test results of a sample	 	1.7
	 
	 	of the denaturant multiplied by 0.0249	 	 
	 
	 	 	 	 

California
Denaturant Standards

	 	 	 	 	 
	 	 	 	 	Specification Limit
	Property	 	Test Method	 	Magellan
	Benzene, vol% max
	 	ASTM D5580-00	 	1.1
	Olefins, vol% max
	 	ASTM D6550-00 (modified)	 	10
	Aromatics, vol% max
	 	ASTM D5580-00	 	35

	 	 	 	 	 	 	 
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8exhibit4_1.htm

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    EXHIBIT
4.1

    

       

      FORM OF NOTE OF
7.35% SENIOR NOTES DUE 2019

       

      THIS NOTE IS A
GLOBAL NOTE REGISTERED IN THE NAME OF THE DEPOSITARY (REFERRED TO HEREIN) OR A
NOMINEE THEREOF AND, UNLESS AND UNTIL IT IS EXCHANGED IN WHOLE OR IN PART FOR
THE INDIVIDUAL NOTES REPRESENTED HEREBY, THIS GLOBAL NOTE 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.  UNLESS THIS GLOBAL NOTE IS PRESENTED BY
AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY (55 WATER STREET,
NEW YORK, NEW YORK), TO THE TRUSTEE FOR REGISTRATION OF TRANSFER, EXCHANGE OR
PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO.
OR SUCH OTHER NAME AS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITORY TRUST COMPANY AND ANY PAYMENT IS MADE TO CEDE & CO., 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.

       

      JERSEY
CENTRAL POWER & LIGHT COMPANY

       

      7.35%
SENIOR NOTE DUE 2019

       

      
        
          	
                  Original Issue
      Date:  January 27,
2009

                

        

      

       

      
        
          	
                  Stated
      Maturity:  February 1,
2019

                

        

      

       

      
        
          	
                  Interest
      Rate:  7.35%

                

        

      

       

      
        
          	
                  Interest
      Payment Dates: February 1 and August 1, commencing August 1,
      2009.

                

        

      

       

      
        	
                Regular Record
      Dates:

              	
                The Business
      Day immediately preceding each Interest Payment Date so long as this Note
      is issued in book-entry only form, otherwise the fifteenth calendar day
      next preceding each Interest Payment
Date.

              

      

       

      
        
          	
                  Principal
      Amount:
      $300,000,000.00                                                                                                                                                                                                                                                         No.
      R-1

                

        

      

      
        	
                 
      

              	
                CUSIP: 476556DA0

              

      

       

       

      
        JERSEY CENTRAL POWER
& LIGHT COMPANY, a corporation duly organized and existing under the laws of
the State of New Jersey (the “Company”), for value received, hereby promises to
pay to Cede & Co., or registered assigns, the principal sum of THREE HUNDRED
MILLION DOLLARS on the Stated Maturity specified above, and to pay interest
thereon from the Original Issue Date specified above or from the most recent
Interest Payment Date to which Interest has been paid or duly provided for,
semi-annually in arrears on the Interest Payment Dates specified above in each
year, commencing with the Interest Payment Date specified above, and at
Maturity, at the Interest Rate per annum specified above, until the principal
hereof is paid or made available for payment.  No interest shall
accrue on the Maturity Date, so long as the principal amount of this Global Note
is paid on the Maturity Date.  The interest so payable
and

         

        
          
            
              

               

            

             

          

          
             

            
              

            

          

          
             

          

        

        punctually paid or
duly provided for on any such Interest Payment Date (except for interest payable
on the Stated Maturity specified above, or, if applicable, upon redemption or
acceleration) will, as provided in the Indenture (as defined below), be paid to
the Person in whose name this Global Note is registered at the close of business
on the Regular Record Date specified above (whether or not a Business Day) next
preceding such Interest Payment Date; provided, that the first Interest Payment
Date for any part of this Global Note, the Original Issue Date of which is after
a Regular Record Date but prior to the applicable Interest Payment Date, shall
be the Interest Payment Date following the next succeeding Regular Record Date;
and provided, that interest payable on the Stated Maturity specified above or,
if applicable, upon redemption or acceleration, shall be payable to the Person
to whom principal shall be payable on such Maturity Date.  Except as
otherwise provided in the Indenture, any such interest not so punctually paid or
duly provided for will forthwith cease to be payable to the Holder on such
Regular Record Date and shall be paid to the Person in whose name this Global
Note is registered at the close of business on a Special Record Date for the
payment of such defaulted interest to be fixed by the Trustee, notice whereof
shall be given to Noteholders not more than fifteen days or fewer than ten days
prior to such Special Record Date.  Payment of principal of, interest
and premium, if any, on this Global Note shall be payable pursuant to Section
2.12(a) of the Indenture.

         

        This Global Note is
a global security in respect of a duly authorized issue of 7.35% Senior Notes
due 2019 (the “Notes of this Series”, which term includes any Global Note
representing such Notes) of the Company issued and to be issued under an
Indenture dated July 1, 1999 between the Company and The Bank of New York Mellon
Trust Company, N.A., as successor trustee (herein called the “Trustee”, which
term includes any successor Trustee under the Indenture) and indentures
supplemental thereto (collectively, the “Indenture”).  Under the
Indenture, one or more series of notes may be issued and, as used herein, the
term “Notes” refers to the Notes of this Series and any other outstanding series
of Notes.  Reference is hereby made to the Indenture for a more
complete statement of the respective rights, limitations of rights, duties and
immunities thereunder of the Company, the Trustee and the Noteholders and of the
terms upon which the Notes are and are to be authenticated and
delivered.  This Global Note has been issued in respect of the Notes
of this Series, which are limited in  aggregate principal amount to
$300,000,000.

         

        Each Note of this
Series shall be dated and issued as of the date of its authentication by the
Trustee and shall bear an Original Issue Date.  Each Note of this
Series or Global Note issued upon transfer, exchange or substitution of such
Note or Global Note shall bear the Original Issue Date of such transferred,
exchanged or substituted Note or Global Note, as the case may be.

         

        
          
            
              

               

            

             

          

          
            2

            
              

            

          

          
             

          

        

        

         

        Notes of this Series
are redeemable at any time in whole or from time to time in part, at the
Company’s option, on at least 30 days’, but not more than 60 days’, prior notice
mailed to the registered address of each Holder of Notes of this Series to be
redeemed at a redemption price equal to the greater of: (1) 100% of the
principal amount of such Notes to be redeemed, and (2) as determined by the
Independent Investment Banker (as defined below), the sum of the present values
of the Remaining Scheduled Payments (as defined below), discounted to the
redemption date on a semi-annual basis (assuming a 360-day year consisting of
twelve 30-day months) at the Adjusted Treasury Rate (as defined below), plus 50
basis points. In each case, accrued and unpaid interest on such Notes to be
redeemed will be payable to the redemption date.

         

        “Adjusted Treasury
Rate” means, with respect to any redemption date:

         

        
          	
                  ·  

                	
                  the yield,
      under the heading which represents the average for the immediately
      preceding week, appearing in the most recently published statistical
      release designated “H.15(519)” or any successor publication which is
      published weekly by the Board of Governors of the Federal Reserve System
      and which establishes yields on actively traded United States Treasury
      securities adjusted to constant maturity under the caption “Treasury
      Constant Maturities,” for the maturity corresponding to the Comparable
      Treasury Issue (if no maturity is within three months before or after the
      Remaining Life, yields for the two published maturities most closely
      corresponding to the Comparable Treasury Issue shall be determined and the
      Adjusted Treasury Rate shall be interpolated or extrapolated from these
      yields on a straight line basis, rounding to the nearest month);
      or

                

        

         

        
          	
                  ·  

                	
                  if the release
      (or any successor release) is not published during the week preceding the
      calculation date or does not contain these yields, the rate per annum
      equal to the semi-annual equivalent yield to maturity of the Comparable
      Treasury Issue, calculated using a price for the Comparable Treasury Issue
      (expressed as a percentage of its principal amount) equal to the
      Comparable Treasury Price for the redemption date. The Adjusted Treasury
      Rate will be calculated on the third Business Day preceding the redemption
      date.

                

        

         

        “Comparable Treasury
Issue” means the United States Treasury security selected by an Independent
Investment Banker as having a maturity comparable to the remaining term of Notes
of this Series to be redeemed that would be utilized, at the time of selection
and in accordance with customary financial practice, in pricing new issues of
corporate debt securities of comparable maturity to the remaining term of such
Notes (“Remaining Life”).

         

        “Comparable Treasury
Price” means (1) the average of three Reference Treasury Dealer Quotations for
the redemption date, after excluding the highest and lowest Reference Treasury
Dealer Quotations, or (2) if the Independent Investment Banker obtains fewer
than three Reference Treasury Dealer Quotations, the average of all such
quotations.

         

        “Independent
Investment Banker” means one of the Reference Treasury Dealers appointed by the
Company.

         

        
          
            
              

               

            

             

          

          
            3

            
              

            

          

          
             

          

        

        “Reference Treasury
Dealer” means: (1) each of Greenwich Capital Markets, Inc., Morgan Stanley &
Co. Incorporated, Wachovia Capital Markets, LLC and UBS Securities LLC and their
respective successors; provided, however, that if any of the foregoing cease to
be a primary U.S. Government securities dealer in the United States (a “Primary
Treasury Dealer”), the Company shall substitute therefor another Primary
Treasury Dealer, and (2) any other Primary Treasury Dealer selected by the
Independent Investment Banker after consultation with the Company.

         

        “Reference Treasury
Dealer Quotations” means, with respect to each Reference Treasury Dealer and any
redemption date, the average, as determined by the Independent Investment
Banker, of the bid and asked prices for the Comparable Treasury Issue (expressed
in each case as a percentage of its principal amount) quoted in writing to the
Independent Investment Banker at 5:00 p.m., New York City time, on the third
Business Day preceding the redemption date.

         

        “Remaining Scheduled
Payments” means, with respect to Notes of this Series to be redeemed, the
remaining scheduled payments of principal of and interest on such Notes that
would be due after the related redemption date but for such redemption. If such
redemption date is not an Interest Payment Date with respect to such Notes, the
amount of the next succeeding scheduled interest payment on such Notes will be
reduced by the amount of interest accrued on such Notes to such redemption
date.

         

        
          Holders of Notes of
this Series to be redeemed will receive notice thereof by first-class mail at
least 30 and not more than 60 days prior to the date fixed for redemption.
If fewer than all of the Notes of this Series are to be redeemed, the Trustee
will select, not more than 60 days prior to the redemption date, the
particular portions thereof for redemption from the outstanding Notes of this
Series by such method as the Trustee deems fair and appropriate. Any notice of
redemption of Notes of this Series may be conditional on the Company depositing
funds with the Trustee, or irrevocably directing the Trustee to apply moneys
held by it, sufficient to pay the redemption price thereof, and if such funds
are not so deposited or such direction is not given, such notice shall be of no
effect.

        

        
          

        

        Unless the Company
is in default in payment of the redemption price, on and after the redemption
date, interest will cease to accrue on Notes of this Series, or portions
thereof, called for redemption.

         

        In
the event of redemption of this Global Note in part only, a new Global Note, of
like tenor, representing the unredeemed portion hereof shall be issued in the
name of the Holder hereof upon the cancellation thereof.

         

        Interest payments
for this Global Note shall be computed and paid on the basis of a 360-day year
of twelve 30-day months (and for any partial period shall be calculated on the
basis of the number of days elapsed in a 360-day year of twelve 30-day
months).  If where any Interest Payment Date or date on which the
principal of this Global Note is required to be paid is not a Business Day, then
payment of principal, premium, if any, or interest need not be made on such date
but may be made on the next succeeding Business Day with the same force and
effect as if made on such Interest Payment Date or date on which the principal
of this Global Note is required to be paid and, in the case of timely payment
thereof, no interest shall accrue for the

         

        
          
            
              

               

            

             

          

          
            4

            
              

            

          

          
             

          

        

        period from and
after such Interest Payment Date or the date on which the principal of this
Global Note is required to be paid.

         

        The Company, at its
option, and subject to the terms and conditions provided in the Indenture, will
be discharged from any and all obligations in respect of the Notes (except for
certain obligations including obligations to register the transfer or exchange
of Notes, replace stolen, lost or mutilated Notes, maintain paying agencies and
hold monies for payment in trust, all as set forth in the Indenture) if the
Company deposits with the Trustee cash, U.S. Government Obligations which
through the payment of interest thereon and principal thereof in accordance with
their terms will provide cash, or a combination of cash and U.S. Government
Obligations, in any event in an amount sufficient, without reinvestment, to pay
all the principal of and premium, if any, and interest on the Notes on the dates
such payments are due in accordance with the terms of the Notes.

         

        If an Event of
Default shall occur and be continuing, the principal of the Notes may be
declared due and payable in the manner and with the effect provided in the
Indenture.

         

        The Indenture
permits, with certain exceptions as therein provided, the amendment thereof and
the modifications of the rights and obligations of the Company and the rights of
the Noteholders under the Indenture at any time by the Company and the Trustee
with the consent of the Holders of not less than a majority in principal amount
of the outstanding Notes.  Any such consent or waiver by the Holder of
this Global Note shall be conclusive and binding upon such Holder and upon all
future Holders of this Global Note and of any Note issued upon the registration
of transfer hereof or in exchange therefor or in lieu thereof whether or not
notation of such consent or waiver is made upon this Global Note.

         

        As set forth in and
subject to the provisions of the Indenture, no Holder of any Notes will have any
right to institute any proceeding with respect to the Indenture or for any
remedy thereunder unless such Holder shall have previously given to the Trustee
written notice of a continuing Event of Default with respect to such Notes, the
Holders of not less than a majority in principal amount of the outstanding Notes
affected by such Event of Default shall have made written request and offered
reasonable indemnity to the Trustee to institute such proceeding as Trustee and
the Trustee shall have failed to institute such proceeding within 60 days;
provided, however, that such limitations do not apply to a suit instituted by
the Holder hereof for the enforcement of payment of the principal of and
premium, if any, or interest on this Note on or after the respective due dates
expressed here.

         

        No reference herein
to the Indenture and to provisions of this Global Note or of the Indenture shall
alter or impair the obligation of the Company, which is absolute and
unconditional, to pay the principal and premium, if any, and interest on this
Global Note at the times, places and rates and the coin or currency prescribed
in the Indenture.

         

        As provided in the
Indenture and subject to certain limitations therein set forth, this Global Note
may be transferred only as permitted by the legend hereto.

         

        Unless the
certificate of authentication hereon has been executed by the Trustee, directly
or through an Authenticating Agent by manual or facsimile signature of an
authorized officer,

         

        
          
            
              

               

            

             

          

          
            5

            
              

            

          

          
             

          

        

        this Global Note
shall not be entitled to any benefit under the Indenture or be valid or
obligatory for any purpose.

         

        All terms used in
this Global Note which are defined in the Indenture shall have the meanings
assigned to them in the Indenture unless otherwise indicated
herein.

         

         

        [Signature Page
Follows]

         

         

         

        

         

        

         

        

         

        

         

        

         

        

         

        

         

        

         

        

         

        

         

        

         

        

         

        

         

        

         

        

         

        

         

        

         

        

         

        

         

        

         

        
          
            
              

               

            

             

          

          
            6

            
              

            

          

          
             

          

        

        IN WITNESS WHEREOF,
Jersey Central Power & Light Company has caused this Note to be executed on
behalf of the Company by its Treasurer and attested by its Corporate
Secretary.

         

        

        January 27,
2009

         

        
          
            
              	 
    	
                      Jersey Central
      Power & Light Company

                    
	 
    	
                      By:           _________________________________

                    
	 
    	
                      Name:    Randy
      Scilla

                    
	 
    	
                      Title:        Treasurer

                    
	 
    	 
    	 
    
	 ATTEST:	 	 
	
                       

                    	 
    	 
    
	
                      By:       _____________________________

                    	 
    	 
    
	
                      Name:  Edward J. Udovich

                    	 
    	 
    
	
                      Title:     Corporate
      Secretary

                    	 
    	 
    
	 
    	 
    	 
    

            

          

        

         

        

         

        

        

        CERTIFICATE OF
AUTHENTICATION

        

        

        This Note is one of the Notes of the series
designated and described in the within-

        mentioned
Indenture.

        

        
          	
                  The Bank of
      New York Mellon Trust 

                       
      Company, N.A.,

                       
      as Trustee

                
	
                   

                                      
      By:           _____________________________

                
	
                  Authorized
      Officer

                
	 
    

        

        

        

         

        
          
            
              

               

            

             

          

          
            7 

            
              

            

          

          
             

          

        

        ABBREVIATIONS

         

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

         

        
          	
                  TEN COM – as
      tenants in common

                	
                  UNIF
      GIFT

                  MIN ACT
      -_____Custodian________

                                     (Cust)          (Minor)

                
	
                   

                  TEN ENT – as
      tenants by the entireties

                	
                   

                  Under Uniform
      Gifts to Minors

                
	
                  JT TEN – as
      joint tenants with right of 

                  survivorship
      and not as tenants in common

                	
                   

                  ____________________________

                                         State

                

        

        

         

        Additional
abbreviations may also be 

        used though not in
the above list.

                                                                                                       

                                                                                                                                                    
________________________

         

        FOR VALUE RECEIVED
the undersigned hereby 

        sell(s), assign(s)
and transfer(s) unto

         

        PLEASE INSERT SOCIAL
SECURITY OR OTHER 

        IDENTIFYING NUMBER
OF ASSIGNEE

         

        ___________________________________________________________________________________________________________________________________________

         

         

        ___________________________________________________________________________________________________________________________________________

         

         

        ___________________________________________________________________________________________________________________________________________

         

         

        Please print or
typewrite name and address 

        including postal zip
code of assignee

         

        ________________________________________
The within note and
all rights thereunder, hereby 

        irrevocably
constituting and appointing

         ___________________
attorney to transfer said note on the books of the Company, with full

        power of
substitution in the premises

        

        Dated: __________________________                     

         

         

         

        
          NOTICE:       The
signature to this assignment must correspond with the name as written upon the
face of the within instrument in every particular, without alteration or
enlargement or any changes whatever.

        

         

         

        
          
            
              

               

            

             

          

          
            8

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