Document:

Supplemental Indenture,dated as of March 1,2007 among Level 3 Financing Inc.

 Exhibit 4.2 
  

 LEVEL 3 FINANCING, INC., 
 as Issuer, 
 LEVEL 3 COMMUNICATIONS, INC., 
 LEVEL 3 COMMUNICATIONS, LLC 
 and

 BROADWING FINANCIAL SERVICES, INC. 
 as Guarantors, 
 and 
 THE BANK OF NEW YORK, 
 as Trustee 
  

 Supplemental Indenture

 Dated as of March 1, 2007 
  

 Floating Rate Senior Notes Due 2011 
  

 SUPPLEMENTAL INDENTURE 
 SUPPLEMENTAL INDENTURE (this “Supplemental Indenture”), dated as of March 1, 2007, among LEVEL 3 FINANCING, INC., a Delaware
corporation (the “Issuer”), LEVEL 3 COMMUNICATIONS, INC., a Delaware corporation (“Parent”), LEVEL 3 COMMUNICATIONS, LLC, a Delaware limited liability company (“Level 3 LLC”), BROADWING FINANCIAL SERVICES, INC., a
Delaware corporation (“Broadwing Financial” and, together with Parent and Level 3 LLC, the “Guarantors”), and THE BANK OF NEW YORK, a New York banking corporation (the “Trustee”), as Trustee under the Indenture (as
hereinafter defined). 
 WHEREAS, the Issuer, Parent and the Trustee have as of March 14, 2006 entered into an Indenture, as
supplemented by (i) a supplemental indenture, dated as of October 12, 2006, by and among the Issuer, Level 3 LLC and the Trustee, (ii) a supplemental indenture, dated as of October 12, 2006, by and among the Issuer, Parent, Level
3 LLC and the Trustee and (iii) a supplemental indenture, dated as of January 4, 2007, by and among the Issuer, Parent, Level 3 LLC, Broadwing Financial Services, Inc. and the Trustee (as supplemented, the “Indenture”), providing
for the issuance by the Issuer from time to time of its Floating Rate Senior Notes due 2011; 
 WHEREAS, Section 902 of the Indenture
provides, among other things, that the Issuer, the Guarantors and the Trustee, with the consent of the Holders of not less than a majority in principal amount of the Outstanding Securities, may enter into one or more supplemental indentures for the
purpose of adding provisions to or changing or eliminating certain of the provisions of the Indenture; 
 WHEREAS, the Issuer has received
the written consents of the Holders of a majority of the aggregate principal amount of the Outstanding Securities to amend the Indenture as provided herein and enter into this Supplemental Indenture; 
 WHEREAS, the Issuer desires to enter into this Supplemental Indenture, and has duly authorized the execution and delivery of this Supplemental Indenture
to modify the Indenture; 
 WHEREAS, concurrent with the execution hereof, the Issuer has delivered to the Trustee an Officers’
Certificate and has caused its counsel to deliver to the Trustee an Opinion of Counsel; and 
 WHEREAS, all conditions and requirements of
the Indenture necessary to make this Supplemental Indenture a valid, binding and legal instrument in accordance with its terms have been performed and fulfilled by the parties hereto and the execution and delivery thereof have been in all respects
duly authorized by the parties hereto. 
 NOW, THEREFORE: 
 For and in consideration of the mutual premises and agreements herein contained, the Issuer, the Guarantors and the Trustee covenant and agree, for the equal and proportionate benefit of all Holders of the Securities,
as follows: 

 ARTICLE I. 
 EFFECTIVENESS AND EFFECT 
 Section 1.1 Effectiveness and Effect. 
 This Supplemental Indenture shall take effect on the date hereof, provided, however, that the amendments provided for in Article Two hereof shall only
become operative if an aggregate principal amount of Securities exceeding $75,000,000 is accepted by the Issuer for payment on the Initial Payment Date (as defined in that certain Offer to Purchase and Consent Solicitation Statement of the Issuer,
dated February 14, 2007), and such amendments provided for in Article Two hereof shall have no force or effect prior to the operative time specified in this Section. Subject to the foregoing, the provisions set forth in this Supplemental
Indenture shall be deemed to be, and shall be construed as part of, the Indenture. All references to the Indenture in the Indenture or in any other agreement, document or instrument delivered in connection therewith or pursuant thereto shall be
deemed to refer to the Indenture as amended by this Supplemental Indenture. Except as amended hereby, the Indenture shall remain in full force and effect. 
 ARTICLE II. 
 AMENDMENT OF THE INDENTURE 
 Section 2.1 Deletion of Definitions and Related References 
 Section 101 of the Indenture is hereby amended to delete in their entirety all terms and their respective definitions for which all references are eliminated in the Indenture as a result of the amendments set
forth in Section 2.2 of this Supplemental Indenture. 
 Section 2.2 Amendments to Indenture. 
 (a) The Indenture is hereby amended by deleting the following sections of the Indenture and all references thereto in the Indenture in their entirety and
replacing each such section with the term “INTENTIONALLY OMITTED”: 
 Section 1004 (Corporate Existence); 
 Section 1005 (Maintenance of Properties); 
 Section 1006 (Insurance); 
 Section 1007 (Reports); 
 Section 1008 (Statement by Officers as to Default); 
 Section 1010 (Limitation on Consolidated Debt); 
 Section 1011 (Limitation on Debt of the Issuer
and Issuer Restricted Subsidiaries); 
 Section 1012 (Limitation on Restricted Payments); 
 Section 1013 (Limitation on Dividend and Other Payment Restrictions Affecting Restricted Subsidiaries); 
 Section 1014 (Limitation on Liens); 
 Section 1015 (Limitation on Sale and Leaseback Transactions); 
 Section 1016 (Limitation on Asset Dispositions);

 Section 1017 (Limitation on Issuance and Sales of Capital Stock of Restricted Subsidiaries); 
 Section 1018 (Transactions with Affiliates); 
 Section 1019 (Limitation on Designations of Unrestricted Subsidiaries); 
 Section 1021 (Covenant Suspension); 

Section 501(4), (6) and (7) (Events of Default); 
 Section 801(3) and (4) (Parent May Consolidate, etc., Only on Certain Terms); and 
 Section 803(3) and (4) (Issuer May Consolidate, etc., Only on Certain Terms). 
  

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 (b) Paragraph (1) of Section 401 (Satisfaction and Discharge of Indenture) of the Indenture is
hereby amended and restated in its entirety as follows: 
 (1) either 
 (a) all Outstanding Securities have been delivered to the Trustee for cancellation; or 
 (b) all such Securities not theretofore delivered to the Trustee for cancellation 
 (i) have become due and payable, or 
 (ii) will become due and payable within one year, or 
 (iii) are to be called for redemption
within one year under irrevocable arrangements satisfactory to the Trustee in its sole discretion for the giving of notice of redemption by the Trustee in the name and at the expense of the Issuer, 
 and the Issuer, in the case of (i), (ii) or (iii) above, has irrevocably deposited or caused to be deposited with the Trustee funds in an amount
sufficient to pay and discharge the entire indebtedness on the Securities not theretofore delivered to the Trustee for cancellation, for principal of (and premium, if any, on), and interest on, the Securities to Maturity or the Redemption Date, as
the case may be, assuming that the interest rate on the Securities shall be the interest rate on the date such funds are so deposited, provided, that nothing contained in this paragraph (1) shall eliminate or otherwise affect the
Company’s obligation to pay the full amount due on the outstanding Securities at Maturity or the Redemption Date, including without limitation, all accrued and unpaid interest thereon; 
 (c) Paragraph (1) of Section 1204 (Conditions to Defeasance or Covenant Defeasance) of the Indenture is hereby amended and restated in its
entirety as follows: 
  

	 	(1)	The Issuer shall irrevocably have deposited or caused to be deposited with the Trustee (or another trustee satisfying the requirements of Section 608 who shall agree to comply
with the provisions of this Article Twelve applicable to it) as trust funds in trust for the purpose of making the following payments, specifically pledged as security for, and dedicated solely to, the benefit of the Holders of such Securities, at
any time prior to the Maturity of the Securities: (A) money in an amount, or (B) Government Securities which through the payment of interest and principal will provide, not later than one day before the due date of payment in respect of
the Securities, money in an amount, or (C) a combination thereof, sufficient, in the opinion of a nationally recognized firm of independent public accountants expressed in a written certification thereof delivered to the Trustee, to pay and
discharge the principal of (and premium, if any, on) and interest on, the Outstanding Securities on the Stated Maturity (or Redemption Date, if applicable) of such principal (and premium, if any) or installment of interest, assuming that the
interest rate on the Outstanding Securities shall be the interest rate on the date such money, Government Securities or combination thereof is so deposited; provided that the Trustee (or such other trustee) shall have been irrevocably
instructed in writing to apply such money or the proceeds of such Government Securities to said payments with respect to the Securities. Before such a deposit, the Issuer may give to the Trustee, in accordance with Section 1103, a notice of
their election to redeem all of the Outstanding Securities at a future date in accordance with Article Eleven, which notice shall be irrevocable. Such irrevocable redemption notice, if given, shall be given effect in applying the foregoing.

  

 3 

 ARTICLE III. 
 MISCELLANEOUS 
 Section 3.1 Counterparts. 
 This Supplemental Indenture may be executed in counterparts, each of which when so executed shall be deemed to be an original, but all such counterparts
shall together constitute one and the same instrument. 
 Section 3.2 Severability. 
 In the event that any provision in this Supplemental Indenture 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. 
 Section 3.3 Headings. 
 The article and section headings herein are for convenience only and shall not affect the construction hereof. 
 Section 3.4 Successors and Assigns. 
 Any
covenants and agreements in this Supplemental Indenture by the Issuer, the Guarantors and the Trustee shall bind their successors and assigns, whether so expressed or not. 
 Section 3.5 Governing Law. 
 THIS SUPPLEMENTAL INDENTURE SHALL BE GOVERNED BY, AND CONSTRUED
IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK BUT WITHOUT GIVING EFFECT TO APPLICABLE PRINCIPLES OF CONFLICTS OF LAW TO THE EXTENT THAT THE APPLICATION OF THE LAWS OF ANOTHER JURISDICTION WOULD BE REQUIRED THEREBY. 
 Section 3.6 Effect of Supplemental Indenture. 
 Except as amended by this Supplemental Indenture, the terms and provisions of the Indenture shall remain in full force and effect. 
 Section 3.7 Trustee. 
 Each of the Issuer and each Guarantor hereby acknowledges and agrees to comply with its reporting
obligations under the Trust Indenture Act of 1939. The Trustee assumes no responsibility for the correctness of the recitals herein contained, which shall be taken as the statements of the Issuer, and the Trustee shall not be responsible or
accountable in any way whatsoever for or with respect to the validity or execution or sufficiency of this Supplemental Indenture, and the Trustee makes no representation with respect thereto. 
  

 4 

 Section 3.8 Endorsement and Change of Form of Securities. 
 Any Securities authenticated and delivered after the close of business on the date that this Supplemental Indenture becomes effective may be
affixed to, stamped, imprinted or otherwise legended by the Trustee, with a notation as follows: 
 “Effective as of March 1,
2007, certain restrictive covenants of the Indenture and certain of the Events of Default have been eliminated, as provided in the Supplemental Indenture, dated as of March 1, 2007. Reference is hereby made to said Supplemental Indenture,
copies of which are on file with the Trustee, for a description of the amendments made therein.” 
 Section 3.9 Definitions. 
 Capitalized terms used but not defined herein shall have the respective meanings ascribed to them in the Indenture. 
  

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 IN WITNESS WHEREOF, the parties hereto have caused this Supplemental Indenture to be duly executed by
their respective officers hereunto duly authorized, all as of the day and year first above written. 
  

			
	LEVEL 3 FINANCING, INC.
		
	By:	 	 /s/ Sunit S. Patel

	Name:	 	Sunit S. Patel
	Title:	 	Group Vice President
	
	LEVEL 3 COMMUNICATIONS, INC.
		
	By:	 	 /s/ Robin E. Grey

	Name:	 	Robin E. Grey
	Title:	 	Senior Vice President
	
	LEVEL 3 COMMUNICATIONS, LLC
		
	By:	 	 /s/ Neil J. Eckstein

	Name:	 	Neil J. Eckstein
	Title:	 	Senior Vice President
	
	BROADWING FINANCIAL SERVICES, INC.
		
	By:	 	 /s/ Neil J. Eckstein

	Name:	 	Neil J. Eckstein
	Title:	 	Senior Vice President
	
	THE BANK OF NEW YORK, as Trustee
		
	By:	 	 /s/ Stacey B. Poindexter

	Name:	 	Stacey B. Poindexter
	Title:	 	Assistant Vice PresidentLetter Agreement

 Exhibit 10.1 
 February 26, 2007 
 Mr. Clifford K. Bown 
 Executive Vice President, Chief Financial Officer 
 VASCO Data Security International, Inc. 
 1901 South Myers Road, Suite 210 
 Oakbrook Terrace, IL 60181 
 Dear Mr. Bown: 
 This letter is a supplement to your employment
agreement with VASCO Data Security International, Inc. (VASCO) dated January 1, 2003 (“Employment Agreement”) and confirms our mutual understanding of the terms and conditions applicable to your assignment to work in Switzerland. It
is understood that your Employment Agreement will continue in full force and effect, but you agree that such assignment will not be deemed a violation of paragraph 3(d) of the Employment Agreement for the duration of this assignment. The assignment
is subject, of course, to obtaining the required entry and work permits, and your acceptance of the terms and conditions outlined in this letter. 
 The
effective date of your international assignment is April 1, 2007. It is agreed that your assignment will last for a period of two years, notwithstanding termination of the Employment Agreement in accordance with its terms and conditions.
Your home base city will be designated as Oak Brook Terrace, Illinois. You will be considered an employee of VASCO Data Security in the US, and your employment services are being loaned to (“the Swiss entity”) for the duration of
your assignment. The terms and conditions outlined in this letter will be in effect for the duration of this assignment only. Should the assignment continue beyond two years, then new terms will be agreed upon with you. 
 At the end of the assignment, it is expected that you will return to your home base city at your then base salary. In no event will your then base salary be less than
your current base plus any increases determined by the Compensation Committee of the Board of Directors of VASCO in accordance with the Employment Agreement. At the time of your return, you will stop receiving the premiums, allowances, and
differentials provided under the terms of this letter. 
 Base Salary and Bonus Scheme 
 Your base salary will continue to be determined by the Compensation Committee of the Board of Directors of VASCO in accordance with your Employment Agreement and paid by bi-monthly installments directly into your
nominated bank account. Such base salary shall in no event be less than your current annual base salary of $250,000. 
 Your annual performance bonus amounts
and related performance targets will also be determined annually by the Compensation Committee of the Board of Directors of VASCO in accordance with your Employment Agreement. The annual targeted bonus amount shall in no event be less than your
current annual target bonus of $150,000. 
 Employee Benefit Plans 
 Where possible, VASCO will maintain your current participation in home country benefit plans. Such benefits may be changed from time to time by VASCO at its sole discretion. None of the additional compensation
components (cost-of-living allowance, housing, etc.) will be included in plan earnings. Contributions to the home country social security programs will be continued by both you and VASCO where legally permitted under a social security agreement.
Additional health care in Switzerland will be provided as needed for you and your partner. 

 Relocation Allowance 
 You will receive a payment of USD 10,000 immediately prior to the start of your assignment. This payment is intended to cover the incidental costs associated with your relocation that are not reimbursed under other provisions outlined in
this letter. 
 Split Delivery of Pay 
 You will remain on
your home country payroll for administrative purposes. However, part of your compensation will be paid in Swiss Francs (CHF) to meet your needs while on assignment, and the remainder will be deposited into your bank account in your home
country. The appropriate split will be agreed with you. 
 Goods and Services Allowance 
 A goods and services allowance will be paid to compensate you for the higher cost of goods and services in Switzerland. Your goods and services allowance will, therefore, be USD 2,630 per month, and will commence
once you have moved into your permanent housing. 
 The monthly goods and services allowance will be reviewed annually so that changes in the cost of living
when compared to your home country, as well as in the exchange rate, can be reflected. Payment will begin on the day you take up permanent accommodations in Switzerland and cease on the day you return at the end of your assignment. 
 Housing and Utility Allowance 
 Your budget for housing and related
utilities in Switzerland will be up to USD 4,500 per month. If you elect housing in Switzerland that results in a cost in excess of this allowance, you agree reimburse VASCO for the difference. 
 Furniture and Appliances 
 You will receive a payment of USD 30,000
immediately prior to the start of your assignment to cover furniture whether leased or purchased and to include any shipping cost for purchased items. 
 Relocation 
 VASCO will reimburse your travel expenses to your new location. Your reimbursements will be in accordance with VASCO’s
business travel policy. Excess baggage costs for an additional 50 kg will also be covered under this agreement. 
 If your housing arrangements are not
completed by the time you reach your location of assignment, VASCO will pay reasonable living costs up to 30 days. These reimbursements will cease when you move into permanent quarters and begin to receive the housing and utility allowance.

 Shipment and Storage of Household Goods 
 VASCO will
pay the cost of a reasonable air shipment of personal effects needed in the host country. 
 Destination Services 
 VASCO will pay the cost of destination services, up to USD 5,000, to assist with home finding and local orientation. 

 Cultural Training 
 Cultural training will assist you and your partner in understanding the culture of the host country, as well as prepare for the highs and lows that typically accompany the international assignment. VASCO will pay for two days of cultural
training for you and your partner. 
 Language Training 
 You will need language training to build credibility in the workplace and to better navigate your host country. You and your partner will receive 100 hours of language training. As this assignment constitutes a business need you may require
more than 100 hours of such training, which will be treated as a business expense. 
 Tax Equalization Policy 
 While on assignment the intention is that you will pay the same amount in taxes on your employment income as if you had remained at home. To achieve this, VASCO will
withhold from your pay an amount that approximates your home country taxes. This is referred to as hypothetical tax. At the end of the year, the hypothetical tax will be compared with your estimated home country taxes and a settlement made. In
return, VASCO will pay all actual home and Switzerland income taxes on your behalf. 
 A tax preparation service will be available to you and your partner
through BDO Seidman LLP. The tax advisor will advise you and VASCO of any adjustment to your hypothetical tax liability and prepare all U.S. and Switzerland tax returns and reconciliation as required by law. 
 Transportation 
 You will receive a payment of USD 30,000 immediately
prior to the start of your assignment as a car allowance. The decision to lease or buy an automobile (and the residual gain or loss) will be your responsibility. 
 Loss on Sale of Home Country Autos 
 VASCO will reimburse for one car for the loss on the sale of the personal automobiles. This loss will be
limited to the difference between the wholesale and retail value of the car as determined by a reputable car valuation handbook. 
 Spousal/Partner
Assistance 
 A maximum allowance of USD 5,000 per year of the assignment may be used to obtain work permits, for professional development and
networking, or to maintain licenses or certifications during the assignment period for your partner. 
 Home Leave 
 VASCO will pay the cost to return to the U.S. for you and your partner twice during each 12-month period. Reimbursements will be made according to VASCO’s business
travel policy. If possible, home leave should be scheduled to coincide with a business trip to the home country to minimize overall travel costs. Alternative travel or cash substitution is not permitted. 
 Work Schedules/Holidays/Vacation 
 You will observe the work schedule
in effect at your place of assignment. Holidays will be observed in accordance with the customary business practices in Switzerland. You will accrue vacation based on the vacation schedule for the country where you are considered an employee.

 Legal Assistance and Fees 
 VASCO will pay the cost of all legal counsel related to obtaining work permits for you, as well as visas and residency permits for your partner. 
 Repatriation 
 At the end of your assignment, VASCO will provide you with a letter describing the terms of your repatriation, including
relocation expenses. In addition, VASCO will provide you and your partner with repatriation orientation upon completion of your assignment. 
 Employment
Restrictions—Conflict of Interest 
 It is understood you will continue to abide by the VASCO code of conduct. In addition, you agree to comply with
all applicable laws in Switzerland. 
 Termination 
 If
the VASCO terminates your assignment while abroad, you and your partner will be relocated to your home. If you are living in leased housing provided by the VASCO, you agree to vacate the housing within 60 days of the termination of the assignment.

 In the event of such termination, VASCO will hold you harmless and indemnify you fully for any claims made by third parties for any and all commitments
made by you for payments to be made within the timeframes and within the guidelines specified this letter. 
 Termination will require the settlement as soon
as practicable of all outstanding tax, travel, and other advances. 
 This agreement is made in Illinois in the U.S. and shall be subject to the state and
federal laws thereof. In the event any provision of this letter shall be held invalid or unenforceable by reason of law, such invalidity shall not affect or render invalid or unenforceable any other provision of the letter. 
  

	
	Sincerely,
	
	On behalf of VASCO Data Security International, Inc.
	
	 /s/ John N. Fox, Jr.

	John N. Fox, Jr.
	Chairman of the Compensation Committee of VASCO’s Board of Directors

 VASCO Data Security International, Inc. I hereby agree and accept this assignment as outlined above. I understand
all policies which apply to U.S. domestic employees, including employment at will policy, will also apply to me. I also understand that this is not a Contract of Employment, but an agreement which supplements any existing arrangements.

  

					
	Signature:	  	 /s/ Clifford K. Bown
	  	Date: 02/27/07
		  	(Clifford K. Bown)	  	
			
	Signature:	  	 /s/ T. Kendall Hunt
	  	Date: 02/27/07
		  	VASCO Data Security International, Inc.

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