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Exhibit 4.7    
    

 
 

CONFIDENTIAL  

Mr
Keki Dadiseth

Non-executive Director,

Prudential plc 

11
April 2006 

Dear
Keki 

DIRECTORS' AND OFFICERS' PROTECTION—CHANGES TO YOUR BENEFITS  

 As a result of changes in the law relating to indemnities given to directors and officers, we have revised the form of indemnity to take advantage of the
additional protections now available. This new indemnity is set out in the Schedule to this letter, and is in addition to the indemnity that you already hold. 

In
summary, you now have the following benefits, to the extent maintained by Prudential plc (Prudential) or its subsidiaries (within the meaning of the
Companies Act 1985) (the Group) from time to time: 

	(a)
	Directors'
and officers' liability insurance cover, subject to its terms and conditions;

	(b)
	An
indemnity from Prudential, which you already hold; and

	(c)
	A
new indemnity from Prudential, as set out in the Schedule to this letter. 

Any
amount payable to you under (a), (b) or (c) above shall not be offset against any amount payable by you which is contemplated under your employment contract or letter of appointment. 

The
indemnity in the Schedule will take effect as from 6 April 2005 and will supersede the indemnity you already hold only for the period from 6 April 2005 onwards. If you are an
employee within the Group, it will be deemed to be incorporated in, and constitute an agreed amendment of, the terms and conditions of your employment. 

You
will continue to be eligible under the discretionary payments policy adopted by Prudential (subject to regular review) as set out in the separate letter to you dated 10 June 2004 (or later
if you joined the Prudential after that date). The directors of Prudential and certain employees of the Group may rely on the existence of this policy to protect them from personal liability arising
out of the bona fide performance of their duties. 

Please
countersign and date the enclosed duplicate of this letter and return it to me under cover marked private and confidential. 

Yours
sincerely 

/s/
Peter Maynard 

.........................................................

Peter Maynard

Company Secretary 

Acknowledged
and Agreed: 

/s/
Keki Dadiseth 

.........................................................

Date:
18th April 2006 

Schedule

Indemnity  

1.     Indemnity  

Subject
to the following paragraphs of this Schedule, Prudential undertakes to indemnify each Beneficiary and hold each Beneficiary harmless against any and all losses, damages, costs, liabilities,
demands, charges, penalties, fines or expenses (including without limitation any and all losses, costs, liabilities, charges or expenses properly and reasonably suffered or incurred (including
advisory fees) in investigating, responding to, preparing for or disputing any claim, action, demand, proceedings, investigation, judgment or award, in each case whether or not successful, compromised
or settled, which may be instituted, made, threatened or alleged against or otherwise involve any of the Beneficiaries in any jurisdiction (each a
"Claim")) which the Beneficiaries may suffer or incur in any jurisdiction ("Losses") and which in any
such case arise out of the carrying out or performance, whether before or after the date of the letter to which this indemnity is scheduled, by the Executive of the Executive's duties as a director,
officer, employee, trustee, representative or like position of any member of the Group or as a director, officer, employee, trustee, governor, councillor, representative or like position in any
external organisation where such position is held at the request of any member of the Group or as a result of being a director, officer, employee, trustee or representative, or holding like position
in respect, of any member of the Group. 

2.     Indemnity to take effect subject to law and regulation  

The
indemnity contained in paragraph 1 shall not apply to the extent that it would be void by virtue of, or contravenes, the Companies Act 1985 or any other applicable law or regulation
(including without limitation listing rules). 

3.     Proceedings for which indemnity cannot be claimed  

Subject
to paragraph 5, the indemnity contained in paragraph 1 shall not extend to any liability incurred by the Executive, (i) to any member of the Group, (ii) to pay a
fine imposed in criminal proceedings, (iii) to pay a sum payable to a regulatory authority by way of a penalty in respect of non-compliance with any requirement of a regulatory
nature (however arising), (iv) in defending any criminal proceedings in which the Executive is convicted, (v) as a result of, or in connection with any act or omission by the Executive
which is determined by any relevant court, tribunal or other legal or regulatory authority, or otherwise judicially determined, to constitute fraud, dishonesty, bad faith, wilful default or criminal
act on the part of the Executive, (vi) in defending civil proceedings brought by any member of the Group in which judgment is given against the Executive or (vii) in connection with any
application under section 114(3) or (4) or 727 of the Companies Act 1985 in which the Court refuses to grant relief to the Executive. 

4.     Loss of earnings and of other employment benefits  

The
indemnity contained in paragraph 1 shall not apply in respect of any loss of earnings or of any other employment benefit, including but not limited to rights to bonus or other monetary
incentives, share options or other share-based incentives or pension or other retirement benefits, which any Beneficiary may suffer as a result of any period of disqualification imposed by any
relevant court, tribunal or other legal or regulatory authority. 

 

5.     Advances in respect of proceedings  

Where
any Beneficiary properly and reasonably suffers or incurs losses, costs, liabilities, charges or expenses (including without limitation advisory fees) in investigating, responding to, preparing
for or disputing any Claim, the Executive shall be entitled to claim indemnity under paragraph 1 (for himself and/or on behalf of any Beneficiary) forthwith after the same becomes due and
payable by the Beneficiary, provided that if such Claim: 

	(a)
	relates
to a criminal offence in relation to which the Executive is convicted;

	(b)
	relates
to civil proceedings brought by any member of the Group in which judgment is given against the Executive;

	(c)
	relate
to any matters in respect of which any relevant court, tribunal or other legal or regulatory authority determines that any act or omission by the Executive constitutes fraud,
dishonesty, bad faith or wilful default on the part of the Executive; or

	(d)
	relates
to any application under sections 144(3) or (4) or 727 of the Companies Act 1985 in which the Court refuses to grant the Executive relief, 

Prudential
shall be entitled to refuse to provide indemnification (or, as the case may be, any further indemnification) pursuant to the indemnity contained in paragraph 1 and where Prudential
has already paid amounts to the Executive pursuant to the indemnity contained in paragraph 1, such amounts shall be reimbursed to Prudential by the Executive not later than (i) in the
event of the Executive being convicted, the date on which such conviction has become final, (ii) in the event of judgment being given against the Executive, the date on which such judgment has
become final or (iii) in the event of the court refusing to grant the Executive relief on the application, the date on which such refusal for relief has become final. 

6.     Termination and survival  

The
provisions of this Schedule shall survive: 

	(a)
	the
Executive moving to another role within the Group which does not have the benefit of an indemnity equivalent to the indemnity contained in paragraph 1; and

	(b)
	the
termination of an appointment of the Executive which is held at the request of any member of the Group, excluding:

	(i)
	termination
by the Executive otherwise than in accordance with its terms (unless the circumstances are such as to entitle the Executive to treat himself as constructively dismissed);
or

	(ii)
	termination
by any member of the Group in accordance with any right to dismiss the Executive summarily for cause. 

7.     Notification of Prudential  

The
Executive shall notify Prudential in writing promptly upon becoming aware of any matter for which indemnity may be sought under paragraph 1, providing to Prudential all such information as
the Executive has of the circumstances of the relevant matter, and shall thereafter notify Prudential of all developments in relation to such matter. The Executive acknowledges that Prudential may
provide such information to its insurers and advisers and to any other member of the Group and agrees to respond promptly to all reasonable requests from Prudential in relation to any matter relating
to the indemnity contained in paragraph 1. 

2

 

8.     Conduct of Claims  

	(a)
	The
Executive shall, subject to paragraph 8(b), have conduct of the defence and settlement of any Claim, but Prudential shall have the right (but not the obligation) to
associate itself with such Claim. Prudential shall not be required or, without the consent of the Executive (such consent not to be unreasonably withheld or delayed), permitted to assume the conduct
of the Claim made against the Executive.

	(b)
	The
Executive shall conduct all Claims diligently and competently using the legal and other representatives mutually acceptable to the Executive and Prudential. The Executive shall
keep Prudential informed of the progress of any Claim and recognises the right of Prudential to provide at its discretion input into the conduct of any Claim. The Executive shall not settle or
compromise any Claim without Prudential's consent (such consent not to be unreasonably withheld or delayed). 

9.     Recovery against other persons  

If
Prudential pays any amount in respect of any Loss and any Beneficiary is, or subsequently becomes, entitled to recover from any other person any amount in respect of such Loss (including without
limitation by way of tax credit, allowance, repayment or relief), then, subject to there being no reasonable prospect of any Beneficiary being prejudiced and to Prudential agreeing to indemnify the
Beneficiaries against all reasonable costs and expenses which might be incurred, Prudential may either: 

	(a)
	request
that the Executive take (or procure that any Dependant take) all reasonable steps to enforce such recovery. If Prudential so elects then the Executive must so act and must
procure that all and any amounts recovered, less all reasonable costs, charges and expenses incurred and not recovered by any Beneficiary in making such recovery, will be applied in promptly repaying
to Prudential the amount paid by Prudential in respect of the Loss; or

	(b)
	exercise
its right to be subrogated to the extent of such payment to any or all the Beneficiaries' rights of recovery against third parties in respect of the payment. If Prudential so
elects then the Executive shall (or shall procure that the Dependants shall), promptly on request from Prudential, execute all papers reasonably required and shall do everything necessary to enable
Prudential to bring, maintain and conclude an action effectively, either in the name of all or any Beneficiaries or in its own name, at Prudential's discretion. 

10.   Recovery under other indemnities and insurance  

	(a)
	Subject
to paragraph 10(c), the Executive agrees to take, and to procure that the Dependants take, all reasonable steps to claim and recover under any other indemnity or
insurance policy before he makes a claim under the indemnity contained in paragraph 1. The indemnity contained in paragraph 1 operates only in excess of any right to indemnity or
insurance which any Beneficiary may have (irrespective of any wording to the contrary in any indemnity or insurance policy concerned), and no person other than the Executive shall have the right to
pursue any claim against Prudential under the indemnity contained in paragraph 1 (or to seek contribution from Prudential) whether in its own name or that of any Beneficiary. 

3

 

	(b)
	Provided
that the Executive complies with paragraph 10(a), Prudential will advance to the Executive the funds necessary to make a payment in respect of a Loss pending receipt
by the Beneficiaries of the amounts due under any other indemnity and/or insurance policy in excess of which the indemnity contained in paragraph 1 operates. Any such advance will not operate
to extinguish, erode or otherwise limit in any way whatsoever the Beneficiaries' entitlement under the other indemnity and/or insurance policy and the Executive shall remit (or shall procure that
there shall be remitted) to Prudential all and any payments and/or benefits received pursuant thereto subsequent to the date of the advance required to repay the advance.

	(c)
	The
obligation to take all reasonable steps to claim and recover under any other indemnity or insurance policy set out in paragraph 10(a) shall not operate in respect of any
policy of executives' and officers' liability insurance for which any member of the Group is the named policyholder and which requires that any Beneficiary be indemnified by a member of the Group
prior to any claim being brought under that policy. 

11.   Deductions required to be made by Prudential or a Beneficiary  

	(a)
	All
amounts payable by Prudential to, or on behalf of, any Beneficiary under this indemnity will be paid without any deductions unless they are required by law. If any deductions are
required by law, Prudential will pay to, or on behalf of, the Beneficiary an amount which will, after any deduction has been made, result in the Beneficiary receiving the same amount as the
Beneficiary would have been entitled to receive in the absence of any requirement to make a deduction.

	(b)
	If
any amount payable by Prudential under this indemnity is subject to tax in the hands of the Beneficiary in any jurisdiction, the amount payable will be increased so that the net
amount received by the Executive after taking that tax into account is equal to the full amount which would have been received by the Beneficiary if that tax had not been payable.

	(c)
	To
the extent that any Beneficiary obtains any tax credit, allowance, repayment or relief as a result of Prudential paying any increased amount under this paragraph 12, the
Executive shall repay, or procure that the Dependant repays, to Prudential the amount necessary to reflect the principle that, after tax, the Beneficiary is to be put in the same position as if the
deduction or charge to tax had not been required or incurred in the first place. 

12.   No double recovery  

Notwithstanding
the provisions of this Schedule, the Executive shall have the benefit of any indemnity, insurance, agreement, undertaking or commitment entered into with, or on his behalf by, any
member of the Group whether before or after the date of the letter to which this indemnity is scheduled, provided that he shall not be entitled to recover more than once under this indemnity and any
other indemnity, insurance, agreement, undertaking or commitment in respect of any Loss. 

13.   Interpretation  

In
this Schedule: 

	(a)
	"Beneficiaries" mean the Executive and the Dependants;

	(b)
	"Claim" has the meaning ascribed to them in paragraph 1;

	(c)
	"Companies Act 1985" means the Companies Act 1985 as amended, modified, re-enacted or replaced from time to time; 

4

 

	(d)
	"Dependant" means:

	(i)
	the
Executive's spouse or civil partner;

	(ii)
	any
other person (whether of a different sex or the same sex) with whom the Executive lives as partner in an enduring family relationship other than the Executive's grandparent or
grandchild, sister, brother, aunt or uncle, or nephew or niece;

	(iii)
	the
Executive's children or step-children;

	(iv)
	any
children or step-children of a person within paragraph 13(d)(ii) (and who are not children or step-children of the Executive) who live with
the Executive and have not attained the age of 18; and

	(v)
	the
Executive's parents;

	(e)
	"director" shall include without limitation shadow director;

	(f)
	"Executive" means you;

	(g)
	"Group" means Prudential or any subsidiary or holding company of Prudential or any subsidiary of a holding company of Prudential;

	(h)
	"Losses" have the meaning ascribed to them in paragraph 1;

	(i)
	"Prudential" means Prudential plc;

	(j)
	"holding company" and "subsidiary" shall have the meanings ascribed to them in the
Companies Act 1985;

	(k)
	references
to a "conviction", "judgment" or  "determination" is a reference to one that has become final. For these
purposes, a conviction, judgment or determination becomes final:

	(i)
	if
not appealed against, at the end of the period for bringing an appeal; or

	(ii)
	if
appealed against, at the time when the appeal (or further appeal) is disposed of. 

An
appeal is disposed of: 

	(iii)
	if
it is determined and the period for bringing any further appeal has ended; and

	(iv)
	if
it is abandoned or otherwise ceases to have effect; and

	(l)
	any
reference to the masculine shall as appropriate be a reference to the feminine. 

14.   Claims and enforcement  

	(a)
	Only
Prudential shall be entitled to take steps in relation to the provisions of this Schedule. In taking any such step, Prudential may act for itself and/or on behalf of any of all
other members of the Group.

	(b)
	Only
the Executive and his personal representatives and estate shall be entitled to make a claim, and take any other steps, in relation to the provisions of this Schedule. In taking
any such step, the Executive may act for himself and/or on behalf of any or all of the Dependants.

	(c)
	Subject
to paragraphs 14(a) and (b), any person other than Prudential and the Executive may not enforce any of the provisions of this Schedule under the Contracts (Rights of Third
Parties) Act 1999. 

5

 

15.   Miscellaneous  

	(a)
	The
Executive may not assign or otherwise transfer any rights or obligations set out in this Schedule.

	(b)
	Any
failure by Prudential or the Executive to exercise any right, power or privilege available under this Schedule is not a waiver for the purposes of this Schedule nor will any
single or partial exercise thereof preclude any further exercise of any right, power or privilege.

	(c)
	The
provisions of this Schedule may only be amended in writing signed by or on behalf of Prudential and the Executive.

	(d)
	If
any provision of this Schedule is held to be illegal, invalid or unenforceable in whole or in part, the remaining provisions shall continue to be valid.

	(e)
	Prudential
and the Executive acknowledge that any contract, agreement, commitment or undertaking in respect of the Executive's role as a director, officer, employee, trustee or
representative of Prudential incorporates, and accordingly is made on and subject to, the provisions of the Memorandum and Articles of Association of Prudential. 

16.   Governing law  

The
provisions set out in this Schedule are governed by and must be interpreted in accordance with English law. 

17.   Arbitration  

	(a)
	Any
dispute, controversy or claim arising out of or in connection with this Schedule shall be referred to and finally resolved by arbitration under the Rules or Arbitration of the
International Chamber of Commerce ("ICC Rules") by three arbitrators appointed in accordance with the ICC Rules.

	(b)
	The
seat of the arbitration shall be London and the language of the arbitration (in which each member of the tribunal shall be fluent) shall be English. 

6

 
 

CONFIDENTIAL  

Mr
Michael Garrett

Non-executive Director,

Prudential plc 

11
April 2006 

Dear
Michael 

DIRECTORS' AND OFFICERS' PROTECTION—CHANGES TO YOUR BENEFITS  

 As a result of changes in the law relating to indemnities given to directors and officers, we have revised the form of indemnity to take advantage of the
additional protections now available. This new indemnity is set out in the Schedule to this letter, and is in addition to the indemnity that you already hold. 

In
summary, you now have the following benefits, to the extent maintained by Prudential plc (Prudential) or its subsidiaries (within the meaning of the
Companies Act 1985) (the Group) from time to time: 

	(a)
	Directors'
and officers' liability insurance cover, subject to its terms and conditions;

	(b)
	An
indemnity from Prudential, which you already hold; and

	(c)
	A
new indemnity from Prudential, as set out in the Schedule to this letter. 

Any
amount payable to you under (a), (b) or (c) above shall not be offset against any amount payable by you which is contemplated under your employment contract or letter of appointment. 

The
indemnity in the Schedule will take effect as from 6 April 2005 and will supersede the indemnity you already hold only for the period from 6 April 2005 onwards. If you are an
employee within the Group, it will be deemed to be incorporated in, and constitute an agreed amendment of, the terms and conditions of your employment. 

You
will continue to be eligible under the discretionary payments policy adopted by Prudential (subject to regular review) as set out in the separate letter to you dated 10 June 2004 (or later
if you joined the Prudential after that date). The directors of Prudential and certain employees of the Group may rely on the existence of this policy to protect them from personal liability arising
out of the bona fide performance of their duties. 

Please
countersign and date the enclosed duplicate of this letter and return it to me under cover marked private and confidential. 

Yours
sincerely 

/s/
Peter Maynard 

.........................................................

Peter Maynard

Company Secretary 

Acknowledged
and Agreed: 

/s/
M Garrett 

......................................................... 

Date:
21/04/06 

Schedule

Indemnity  

1.     Indemnity  

Subject
to the following paragraphs of this Schedule, Prudential undertakes to indemnify each Beneficiary and hold each Beneficiary harmless against any and all losses, damages, costs, liabilities,
demands, charges, penalties, fines or expenses (including without limitation any and all losses, costs, liabilities, charges or expenses properly and reasonably suffered or incurred (including
advisory fees) in investigating, responding to, preparing for or disputing any claim, action, demand, proceedings, investigation, judgment or award, in each case whether or not successful, compromised
or settled, which may be instituted, made, threatened or alleged against or otherwise involve any of the Beneficiaries in any jurisdiction (each a
"Claim")) which the Beneficiaries may suffer or incur in any jurisdiction ("Losses") and which in any
such case arise out of the carrying out or performance, whether before or after the date of the letter to which this indemnity is scheduled, by the Executive of the Executive's duties as a director,
officer, employee, trustee, representative or like position of any member of the Group or as a director, officer, employee, trustee, governor, councillor, representative or like position in any
external organisation where such position is held at the request of any member of the Group or as a result of being a director, officer, employee, trustee or representative, or holding like position
in respect, of any member of the Group. 

2.     Indemnity to take effect subject to law and regulation  

The
indemnity contained in paragraph 1 shall not apply to the extent that it would be void by virtue of, or contravenes, the Companies Act 1985 or any other applicable law or regulation
(including without limitation listing rules). 

3.     Proceedings for which indemnity cannot be claimed  

Subject
to paragraph 5, the indemnity contained in paragraph 1 shall not extend to any liability incurred by the Executive, (i) to any member of the Group, (ii) to pay a
fine imposed in criminal proceedings, (iii) to pay a sum payable to a regulatory authority by way of a penalty in respect of non-compliance with any requirement of a regulatory
nature (however arising), (iv) in defending any criminal proceedings in which the Executive is convicted, (v) as a result of, or in connection with any act or omission by the Executive
which is determined by any relevant court, tribunal or other legal or regulatory authority, or otherwise judicially determined, to constitute fraud, dishonesty, bad faith, wilful default or criminal
act on the part of the Executive, (vi) in defending civil proceedings brought by any member of the Group in which judgment is given against the Executive or (vii) in connection with any
application under section 114(3) or (4) or 727 of the Companies Act 1985 in which the Court refuses to grant relief to the Executive. 

4.     Loss of earnings and of other employment benefits  

The
indemnity contained in paragraph 1 shall not apply in respect of any loss of earnings or of any other employment benefit, including but not limited to rights to bonus or other monetary
incentives, share options or other share-based incentives or pension or other retirement benefits, which any Beneficiary may suffer as a result of any period of disqualification imposed by any
relevant court, tribunal or other legal or regulatory authority. 

 

5.     Advances in respect of proceedings  

Where
any Beneficiary properly and reasonably suffers or incurs losses, costs, liabilities, charges or expenses (including without limitation advisory fees) in investigating, responding to, preparing
for or disputing any Claim, the Executive shall be entitled to claim indemnity under paragraph 1 (for himself and/or on behalf of any Beneficiary) forthwith after the same becomes due and
payable by the Beneficiary, provided that if such Claim: 

	(a)
	relates
to a criminal offence in relation to which the Executive is convicted;

	(b)
	relates
to civil proceedings brought by any member of the Group in which judgment is given against the Executive;

	(c)
	relate
to any matters in respect of which any relevant court, tribunal or other legal or regulatory authority determines that any act or omission by the Executive constitutes fraud,
dishonesty, bad faith or wilful default on the part of the Executive; or

	(d)
	relates
to any application under sections 144(3) or (4) or 727 of the Companies Act 1985 in which the Court refuses to grant the Executive relief, 

Prudential
shall be entitled to refuse to provide indemnification (or, as the case may be, any further indemnification) pursuant to the indemnity contained in paragraph 1 and where Prudential
has already paid amounts to the Executive pursuant to the indemnity contained in paragraph 1, such amounts shall be reimbursed to Prudential by the Executive not later than (i) in the
event of the Executive being convicted, the date on which such conviction has become final, (ii) in the event of judgment being given against the Executive, the date on which such judgment has
become final or (iii) in the event of the court refusing to grant the Executive relief on the application, the date on which such refusal for relief has become final. 

6.     Termination and survival  

The
provisions of this Schedule shall survive: 

	(a)
	the
Executive moving to another role within the Group which does not have the benefit of an indemnity equivalent to the indemnity contained in paragraph 1; and

	(b)
	the
termination of an appointment of the Executive which is held at the request of any member of the Group, excluding:

	(i)
	termination
by the Executive otherwise than in accordance with its terms (unless the circumstances are such as to entitle the Executive to treat himself as constructively dismissed);
or

	(ii)
	termination
by any member of the Group in accordance with any right to dismiss the Executive summarily for cause. 

7.     Notification of Prudential  

The
Executive shall notify Prudential in writing promptly upon becoming aware of any matter for which indemnity may be sought under paragraph 1, providing to Prudential all such information as
the Executive has of the circumstances of the relevant matter, and shall thereafter notify Prudential of all developments in relation to such matter. The Executive acknowledges that Prudential may
provide such information to its insurers and advisers and to any other member of the Group and agrees to respond promptly to all reasonable requests from Prudential in relation to any matter relating
to the indemnity contained in paragraph 1. 

2

 

8.     Conduct of Claims  

	(a)
	The
Executive shall, subject to paragraph 8(b), have conduct of the defence and settlement of any Claim, but Prudential shall have the right (but not the obligation) to
associate itself with such Claim. Prudential shall not be required or, without the consent of the Executive (such consent not to be unreasonably withheld or delayed), permitted to assume the conduct
of the Claim made against the Executive.

	(b)
	The
Executive shall conduct all Claims diligently and competently using the legal and other representatives mutually acceptable to the Executive and Prudential. The Executive shall
keep Prudential informed of the progress of any Claim and recognises the right of Prudential to provide at its discretion input into the conduct of any Claim. The Executive shall not settle or
compromise any Claim without Prudential's consent (such consent not to be unreasonably withheld or delayed). 

9.     Recovery against other persons  

If
Prudential pays any amount in respect of any Loss and any Beneficiary is, or subsequently becomes, entitled to recover from any other person any amount in respect of such Loss (including without
limitation by way of tax credit, allowance, repayment or relief), then, subject to there being no reasonable prospect of any Beneficiary being prejudiced and to Prudential agreeing to indemnify the
Beneficiaries against all reasonable costs and expenses which might be incurred, Prudential may either: 

	(a)
	request
that the Executive take (or procure that any Dependant take) all reasonable steps to enforce such recovery. If Prudential so elects then the Executive must so act and must
procure that all and any amounts recovered, less all reasonable costs, charges and expenses incurred and not recovered by any Beneficiary in making such recovery, will be applied in promptly repaying
to Prudential the amount paid by Prudential in respect of the Loss; or

	(b)
	exercise
its right to be subrogated to the extent of such payment to any or all the Beneficiaries' rights of recovery against third parties in respect of the payment. If Prudential so
elects then the Executive shall (or shall procure that the Dependants shall), promptly on request from Prudential, execute all papers reasonably required and shall do everything necessary to enable
Prudential to bring, maintain and conclude an action effectively, either in the name of all or any Beneficiaries or in its own name, at Prudential's discretion. 

10.   Recovery under other indemnities and insurance  

	(a)
	Subject
to paragraph 10(c), the Executive agrees to take, and to procure that the Dependants take, all reasonable steps to claim and recover under any other indemnity or
insurance policy before he makes a claim under the indemnity contained in paragraph 1. The indemnity contained in paragraph 1 operates only in excess of any right to indemnity or
insurance which any Beneficiary may have (irrespective of any wording to the contrary in any indemnity or insurance policy concerned), and no person other than the Executive shall have the right to
pursue any claim against Prudential under the indemnity contained in paragraph 1 (or to seek contribution from Prudential) whether in its own name or that of any Beneficiary. 

3

 

	(b)
	Provided
that the Executive complies with paragraph 10(a), Prudential will advance to the Executive the funds necessary to make a payment in respect of a Loss pending receipt
by the Beneficiaries of the amounts due under any other indemnity and/or insurance policy in excess of which the indemnity contained in paragraph 1 operates. Any such advance will not operate
to extinguish, erode or otherwise limit in any way whatsoever the Beneficiaries' entitlement under the other indemnity and/or insurance policy and the Executive shall remit (or shall procure that
there shall be remitted) to Prudential all and any payments and/or benefits received pursuant thereto subsequent to the date of the advance required to repay the advance.

	(c)
	The
obligation to take all reasonable steps to claim and recover under any other indemnity or insurance policy set out in paragraph 10(a) shall not operate in respect of any
policy of executives' and officers' liability insurance for which any member of the Group is the named policyholder and which requires that any Beneficiary be indemnified by a member of the Group
prior to any claim being brought under that policy. 

11.   Deductions required to be made by Prudential or a Beneficiary  

	(a)
	All
amounts payable by Prudential to, or on behalf of, any Beneficiary under this indemnity will be paid without any deductions unless they are required by law. If any deductions are
required by law, Prudential will pay to, or on behalf of, the Beneficiary an amount which will, after any deduction has been made, result in the Beneficiary receiving the same amount as the
Beneficiary would have been entitled to receive in the absence of any requirement to make a deduction.

	(b)
	If
any amount payable by Prudential under this indemnity is subject to tax in the hands of the Beneficiary in any jurisdiction, the amount payable will be increased so that the net
amount received by the Executive after taking that tax into account is equal to the full amount which would have been received by the Beneficiary if that tax had not been payable.

	(c)
	To
the extent that any Beneficiary obtains any tax credit, allowance, repayment or relief as a result of Prudential paying any increased amount under this paragraph 12, the
Executive shall repay, or procure that the Dependant repays, to Prudential the amount necessary to reflect the principle that, after tax, the Beneficiary is to be put in the same position as if the
deduction or charge to tax had not been required or incurred in the first place. 

12.   No double recovery  

Notwithstanding
the provisions of this Schedule, the Executive shall have the benefit of any indemnity, insurance, agreement, undertaking or commitment entered into with, or on his behalf by, any
member of the Group whether before or after the date of the letter to which this indemnity is scheduled, provided that he shall not be entitled to recover more than once under this indemnity and any
other indemnity, insurance, agreement, undertaking or commitment in respect of any Loss. 

13.   Interpretation  

In
this Schedule: 

	(a)
	"Beneficiaries" mean the Executive and the Dependants;

	(b)
	"Claim" has the meaning ascribed to them in paragraph 1;

	(c)
	"Companies Act 1985" means the Companies Act 1985 as amended, modified, re-enacted or replaced from time to time; 

4

 

	(d)
	"Dependant" means:

	(i)
	the
Executive's spouse or civil partner;

	(ii)
	any
other person (whether of a different sex or the same sex) with whom the Executive lives as partner in an enduring family relationship other than the Executive's grandparent or
grandchild, sister, brother, aunt or uncle, or nephew or niece;

	(iii)
	the
Executive's children or step-children;

	(iv)
	any
children or step-children of a person within paragraph 13(d)(ii) (and who are not children or step-children of the Executive) who live with
the Executive and have not attained the age of 18; and

	(v)
	the
Executive's parents;

	(e)
	"director" shall include without limitation shadow director;

	(f)
	"Executive" means you;

	(g)
	"Group" means Prudential or any subsidiary or holding company of Prudential or any subsidiary of a holding company of Prudential;

	(h)
	"Losses" have the meaning ascribed to them in paragraph 1;

	(i)
	"Prudential" means Prudential plc;

	(j)
	"holding company" and "subsidiary" shall have the meanings ascribed to them in the
Companies Act 1985;

	(k)
	references
to a "conviction", "judgment" or  "determination" is a reference to one that has become final. For these
purposes, a conviction, judgment or determination becomes final:

	(i)
	if
not appealed against, at the end of the period for bringing an appeal; or

	(ii)
	if
appealed against, at the time when the appeal (or further appeal) is disposed of. 

An
appeal is disposed of: 

	(iii)
	if
it is determined and the period for bringing any further appeal has ended; and

	(iv)
	if
it is abandoned or otherwise ceases to have effect; and

	(l)
	any
reference to the masculine shall as appropriate be a reference to the feminine. 

14.   Claims and enforcement  

	(a)
	Only
Prudential shall be entitled to take steps in relation to the provisions of this Schedule. In taking any such step, Prudential may act for itself and/or on behalf of any of all
other members of the Group.

	(b)
	Only
the Executive and his personal representatives and estate shall be entitled to make a claim, and take any other steps, in relation to the provisions of this Schedule. In taking
any such step, the Executive may act for himself and/or on behalf of any or all of the Dependants.

	(c)
	Subject
to paragraphs 14(a) and (b), any person other than Prudential and the Executive may not enforce any of the provisions of this Schedule under the Contracts (Rights of Third
Parties) Act 1999. 

5

 

15.   Miscellaneous  

	(a)
	The
Executive may not assign or otherwise transfer any rights or obligations set out in this Schedule.

	(b)
	Any
failure by Prudential or the Executive to exercise any right, power or privilege available under this Schedule is not a waiver for the purposes of this Schedule nor will any
single or partial exercise thereof preclude any further exercise of any right, power or privilege.

	(c)
	The
provisions of this Schedule may only be amended in writing signed by or on behalf of Prudential and the Executive.

	(d)
	If
any provision of this Schedule is held to be illegal, invalid or unenforceable in whole or in part, the remaining provisions shall continue to be valid.

	(e)
	Prudential
and the Executive acknowledge that any contract, agreement, commitment or undertaking in respect of the Executive's role as a director, officer, employee, trustee or
representative of Prudential incorporates, and accordingly is made on and subject to, the provisions of the Memorandum and Articles of Association of Prudential. 

16.   Governing law  

The
provisions set out in this Schedule are governed by and must be interpreted in accordance with English law. 

17.   Arbitration  

	(a)
	Any
dispute, controversy or claim arising out of or in connection with this Schedule shall be referred to and finally resolved by arbitration under the Rules or Arbitration of the
International Chamber of Commerce ("ICC Rules") by three arbitrators appointed in accordance with the ICC Rules.

	(b)
	The
seat of the arbitration shall be London and the language of the arbitration (in which each member of the tribunal shall be fluent) shall be English.

 

6

 
 

CONFIDENTIAL  

Mrs
Bridget Macaskill

Non-executive Director,

Prudential plc 

11
April 2006 

Dear
Bridget 

DIRECTORS' AND OFFICERS' PROTECTION—CHANGES TO YOUR BENEFITS  

 As a result of changes in the law relating to indemnities given to directors and officers, we have revised the form of indemnity to take advantage of the
additional protections now available. This new indemnity is set out in the Schedule to this letter, and is in addition to the indemnity that you already hold. 

In
summary, you now have the following benefits, to the extent maintained by Prudential plc (Prudential) or its subsidiaries (within the meaning of the
Companies Act 1985) (the Group) from time to time: 

	(a)
	Directors'
and officers' liability insurance cover, subject to its terms and conditions;

	(b)
	An
indemnity from Prudential, which you already hold; and

	(c)
	A
new indemnity from Prudential, as set out in the Schedule to this letter. 

Any
amount payable to you under (a), (b) or (c) above shall not be offset against any amount payable by you which is contemplated under your employment contract or letter of appointment. 

The
indemnity in the Schedule will take effect as from 6 April 2005 and will supersede the indemnity you already hold only for the period from 6 April 2005 onwards. If you are an
employee within the Group, it will be deemed to be incorporated in, and constitute an agreed amendment of, the terms and conditions of your employment. 

You
will continue to be eligible under the discretionary payments policy adopted by Prudential (subject to regular review) as set out in the separate letter to you dated 10 June 2004 (or later
if you joined the Prudential after that date). The directors of Prudential and certain employees of the Group may rely on the existence of this policy to protect them from personal liability arising
out of the bona fide performance of their duties. 

Please
countersign and date the enclosed duplicate of this letter and return it to me under cover marked private and confidential. 

Yours
sincerely 

/s/
Peter Maynard 

.........................................................

Peter Maynard

Company Secretary 

Acknowledged
and Agreed: 

/s/
B A Macaskill 

......................................................... 

Date
10/5/06. 

Schedule

Indemnity  

1.     Indemnity  

Subject
to the following paragraphs of this Schedule, Prudential undertakes to indemnify each Beneficiary and hold each Beneficiary harmless against any and all losses, damages, costs, liabilities,
demands, charges, penalties, fines or expenses (including without limitation any and all losses, costs, liabilities, charges or expenses properly and reasonably suffered or incurred (including
advisory fees) in investigating, responding to, preparing for or disputing any claim, action, demand, proceedings, investigation, judgment or award, in each case whether or not successful, compromised
or settled, which may be instituted, made, threatened or alleged against or otherwise involve any of the Beneficiaries in any jurisdiction (each a
"Claim")) which the Beneficiaries may suffer or incur in any jurisdiction ("Losses") and which in any
such case arise out of the carrying out or performance, whether before or after the date of the letter to which this indemnity is scheduled, by the Executive of the Executive's duties as a director,
officer, employee, trustee, representative or like position of any member of the Group or as a director, officer, employee, trustee, governor, councillor, representative or like position in any
external organisation where such position is held at the request of any member of the Group or as a result of being a director, officer, employee, trustee or representative, or holding like position
in respect, of any member of the Group. 

2.     Indemnity to take effect subject to law and regulation  

The
indemnity contained in paragraph 1 shall not apply to the extent that it would be void by virtue of, or contravenes, the Companies Act 1985 or any other applicable law or regulation
(including without limitation listing rules). 

3.     Proceedings for which indemnity cannot be claimed  

Subject
to paragraph 5, the indemnity contained in paragraph 1 shall not extend to any liability incurred by the Executive, (i) to any member of the Group, (ii) to pay a
fine imposed in criminal proceedings, (iii) to pay a sum payable to a regulatory authority by way of a penalty in respect of non-compliance with any requirement of a regulatory
nature (however arising), (iv) in defending any criminal proceedings in which the Executive is convicted, (v) as a result of, or in connection with any act or omission by the Executive
which is determined by any relevant court, tribunal or other legal or regulatory authority, or otherwise judicially determined, to constitute fraud, dishonesty, bad faith, wilful default or criminal
act on the part of the Executive, (vi) in defending civil proceedings brought by any member of the Group in which judgment is given against the Executive or (vii) in connection with any
application under section 114(3) or (4) or 727 of the Companies Act 1985 in which the Court refuses to grant relief to the Executive. 

4.     Loss of earnings and of other employment benefits  

The
indemnity contained in paragraph 1 shall not apply in respect of any loss of earnings or of any other employment benefit, including but not limited to rights to bonus or other monetary
incentives, share options or other share-based incentives or pension or other retirement benefits, which any Beneficiary may suffer as a result of any period of disqualification imposed by any
relevant court, tribunal or other legal or regulatory authority. 

 

5.     Advances in respect of proceedings  

Where
any Beneficiary properly and reasonably suffers or incurs losses, costs, liabilities, charges or expenses (including without limitation advisory fees) in investigating, responding to, preparing
for or disputing any Claim, the Executive shall be entitled to claim indemnity under paragraph 1 (for himself and/or on behalf of any Beneficiary) forthwith after the same becomes due and
payable by the Beneficiary, provided that if such Claim: 

	(a)
	relates
to a criminal offence in relation to which the Executive is convicted;

	(b)
	relates
to civil proceedings brought by any member of the Group in which judgment is given against the Executive;

	(c)
	relate
to any matters in respect of which any relevant court, tribunal or other legal or regulatory authority determines that any act or omission by the Executive constitutes fraud,
dishonesty, bad faith or wilful default on the part of the Executive; or

	(d)
	relates
to any application under sections 144(3) or (4) or 727 of the Companies Act 1985 in which the Court refuses to grant the Executive relief, 

Prudential
shall be entitled to refuse to provide indemnification (or, as the case may be, any further indemnification) pursuant to the indemnity contained in paragraph 1 and where Prudential
has already paid amounts to the Executive pursuant to the indemnity contained in paragraph 1, such amounts shall be reimbursed to Prudential by the Executive not later than (i) in the
event of the Executive being convicted, the date on which such conviction has become final, (ii) in the event of judgment being given against the Executive, the date on which such judgment has
become final or (iii) in the event of the court refusing to grant the Executive relief on the application, the date on which such refusal for relief has become final. 

6.     Termination and survival  

The
provisions of this Schedule shall survive: 

	(a)
	the
Executive moving to another role within the Group which does not have the benefit of an indemnity equivalent to the indemnity contained in paragraph 1; and

	(b)
	the
termination of an appointment of the Executive which is held at the request of any member of the Group, excluding:

	(i)
	termination
by the Executive otherwise than in accordance with its terms (unless the circumstances are such as to entitle the Executive to treat himself as constructively dismissed);
or

	(ii)
	termination
by any member of the Group in accordance with any right to dismiss the Executive summarily for cause. 

7.     Notification of Prudential  

The
Executive shall notify Prudential in writing promptly upon becoming aware of any matter for which indemnity may be sought under paragraph 1, providing to Prudential all such information as
the Executive has of the circumstances of the relevant matter, and shall thereafter notify Prudential of all developments in relation to such matter. The Executive acknowledges that Prudential may
provide such information to its insurers and advisers and to any other member of the Group and agrees to respond promptly to all reasonable requests from Prudential in relation to any matter relating
to the indemnity contained in paragraph 1. 

2

 

8.     Conduct of Claims  

	(a)
	The
Executive shall, subject to paragraph 8(b), have conduct of the defence and settlement of any Claim, but Prudential shall have the right (but not the obligation) to
associate itself with such Claim. Prudential shall not be required or, without the consent of the Executive (such consent not to be unreasonably withheld or delayed), permitted to assume the conduct
of the Claim made against the Executive.

	(b)
	The
Executive shall conduct all Claims diligently and competently using the legal and other representatives mutually acceptable to the Executive and Prudential. The Executive shall
keep Prudential informed of the progress of any Claim and recognises the right of Prudential to provide at its discretion input into the conduct of any Claim. The Executive shall not settle or
compromise any Claim without Prudential's consent (such consent not to be unreasonably withheld or delayed). 

9.     Recovery against other persons  

If
Prudential pays any amount in respect of any Loss and any Beneficiary is, or subsequently becomes, entitled to recover from any other person any amount in respect of such Loss (including without
limitation by way of tax credit, allowance, repayment or relief), then, subject to there being no reasonable prospect of any Beneficiary being prejudiced and to Prudential agreeing to indemnify the
Beneficiaries against all reasonable costs and expenses which might be incurred, Prudential may either: 

	(a)
	request
that the Executive take (or procure that any Dependant take) all reasonable steps to enforce such recovery. If Prudential so elects then the Executive must so act and must
procure that all and any amounts recovered, less all reasonable costs, charges and expenses incurred and not recovered by any Beneficiary in making such recovery, will be applied in promptly repaying
to Prudential the amount paid by Prudential in respect of the Loss; or

	(b)
	exercise
its right to be subrogated to the extent of such payment to any or all the Beneficiaries' rights of recovery against third parties in respect of the payment. If Prudential so
elects then the Executive shall (or shall procure that the Dependants shall), promptly on request from Prudential, execute all papers reasonably required and shall do everything necessary to enable
Prudential to bring, maintain and conclude an action effectively, either in the name of all or any Beneficiaries or in its own name, at Prudential's discretion. 

10.   Recovery under other indemnities and insurance  

	(a)
	Subject
to paragraph 10(c), the Executive agrees to take, and to procure that the Dependants take, all reasonable steps to claim and recover under any other indemnity or
insurance policy before he makes a claim under the indemnity contained in paragraph 1. The indemnity contained in paragraph 1 operates only in excess of any right to indemnity or
insurance which any Beneficiary may have (irrespective of any wording to the contrary in any indemnity or insurance policy concerned), and no person other than the Executive shall have the right to
pursue any claim against Prudential under the indemnity contained in paragraph 1 (or to seek contribution from Prudential) whether in its own name or that of any Beneficiary. 

3

 

	(b)
	Provided
that the Executive complies with paragraph 10(a), Prudential will advance to the Executive the funds necessary to make a payment in respect of a Loss pending receipt
by the Beneficiaries of the amounts due under any other indemnity and/or insurance policy in excess of which the indemnity contained in paragraph 1 operates. Any such advance will not operate
to extinguish, erode or otherwise limit in any way whatsoever the Beneficiaries' entitlement under the other indemnity and/or insurance policy and the Executive shall remit (or shall procure that
there shall be remitted) to Prudential all and any payments and/or benefits received pursuant thereto subsequent to the date of the advance required to repay the advance.

	(c)
	The
obligation to take all reasonable steps to claim and recover under any other indemnity or insurance policy set out in paragraph 10(a) shall not operate in respect of any
policy of executives' and officers' liability insurance for which any member of the Group is the named policyholder and which requires that any Beneficiary be indemnified by a member of the Group
prior to any claim being brought under that policy. 

11.   Deductions required to be made by Prudential or a Beneficiary  

	(a)
	All
amounts payable by Prudential to, or on behalf of, any Beneficiary under this indemnity will be paid without any deductions unless they are required by law. If any deductions are
required by law, Prudential will pay to, or on behalf of, the Beneficiary an amount which will, after any deduction has been made, result in the Beneficiary receiving the same amount as the
Beneficiary would have been entitled to receive in the absence of any requirement to make a deduction.

	(b)
	If
any amount payable by Prudential under this indemnity is subject to tax in the hands of the Beneficiary in any jurisdiction, the amount payable will be increased so that the net
amount received by the Executive after taking that tax into account is equal to the full amount which would have been received by the Beneficiary if that tax had not been payable.

	(c)
	To
the extent that any Beneficiary obtains any tax credit, allowance, repayment or relief as a result of Prudential paying any increased amount under this paragraph 12, the
Executive shall repay, or procure that the Dependant repays, to Prudential the amount necessary to reflect the principle that, after tax, the Beneficiary is to be put in the same position as if the
deduction or charge to tax had not been required or incurred in the first place. 

12.   No double recovery  

Notwithstanding
the provisions of this Schedule, the Executive shall have the benefit of any indemnity, insurance, agreement, undertaking or commitment entered into with, or on his behalf by, any
member of the Group whether before or after the date of the letter to which this indemnity is scheduled, provided that he shall not be entitled to recover more than once under this indemnity and any
other indemnity, insurance, agreement, undertaking or commitment in respect of any Loss. 

13.   Interpretation  

In
this Schedule: 

	(a)
	"Beneficiaries" mean the Executive and the Dependants;

	(b)
	"Claim" has the meaning ascribed to them in paragraph 1;

	(c)
	"Companies Act 1985" means the Companies Act 1985 as amended, modified, re-enacted or replaced from time to time; 

4

 

	(d)
	"Dependant" means:

	(i)
	the
Executive's spouse or civil partner;

	(ii)
	any
other person (whether of a different sex or the same sex) with whom the Executive lives as partner in an enduring family relationship other than the Executive's grandparent or
grandchild, sister, brother, aunt or uncle, or nephew or niece;

	(iii)
	the
Executive's children or step-children;

	(iv)
	any
children or step-children of a person within paragraph 13(d)(ii) (and who are not children or step-children of the Executive) who live with
the Executive and have not attained the age of 18; and

	(v)
	the
Executive's parents;

	(e)
	"director" shall include without limitation shadow director;

	(f)
	"Executive" means you;

	(g)
	"Group" means Prudential or any subsidiary or holding company of Prudential or any subsidiary of a holding company of Prudential;

	(h)
	"Losses" have the meaning ascribed to them in paragraph 1;

	(i)
	"Prudential" means Prudential plc;

	(j)
	"holding company" and "subsidiary" shall have the meanings ascribed to them in the
Companies Act 1985;

	(k)
	references
to a "conviction", "judgment" or  "determination" is a reference to one that has become final. For these
purposes, a conviction, judgment or determination becomes final:

	(i)
	if
not appealed against, at the end of the period for bringing an appeal; or

	(ii)
	if
appealed against, at the time when the appeal (or further appeal) is disposed of. 

An
appeal is disposed of: 

	(iii)
	if
it is determined and the period for bringing any further appeal has ended; and

	(iv)
	if
it is abandoned or otherwise ceases to have effect; and

	(l)
	any
reference to the masculine shall as appropriate be a reference to the feminine. 

14.   Claims and enforcement  

	(a)
	Only
Prudential shall be entitled to take steps in relation to the provisions of this Schedule. In taking any such step, Prudential may act for itself and/or on behalf of any of all
other members of the Group.

	(b)
	Only
the Executive and his personal representatives and estate shall be entitled to make a claim, and take any other steps, in relation to the provisions of this Schedule. In taking
any such step, the Executive may act for himself and/or on behalf of any or all of the Dependants.

	(c)
	Subject
to paragraphs 14(a) and (b), any person other than Prudential and the Executive may not enforce any of the provisions of this Schedule under the Contracts (Rights of Third
Parties) Act 1999. 

5

 

15.   Miscellaneous  

	(a)
	The
Executive may not assign or otherwise transfer any rights or obligations set out in this Schedule.

	(b)
	Any
failure by Prudential or the Executive to exercise any right, power or privilege available under this Schedule is not a waiver for the purposes of this Schedule nor will any
single or partial exercise thereof preclude any further exercise of any right, power or privilege.

	(c)
	The
provisions of this Schedule may only be amended in writing signed by or on behalf of Prudential and the Executive.

	(d)
	If
any provision of this Schedule is held to be illegal, invalid or unenforceable in whole or in part, the remaining provisions shall continue to be valid.

	(e)
	Prudential
and the Executive acknowledge that any contract, agreement, commitment or undertaking in respect of the Executive's role as a director, officer, employee, trustee or
representative of Prudential incorporates, and accordingly is made on and subject to, the provisions of the Memorandum and Articles of Association of Prudential. 

16.   Governing law  

The
provisions set out in this Schedule are governed by and must be interpreted in accordance with English law. 

17.   Arbitration  

	(a)
	Any
dispute, controversy or claim arising out of or in connection with this Schedule shall be referred to and finally resolved by arbitration under the Rules or Arbitration of the
International Chamber of Commerce ("ICC Rules") by three arbitrators appointed in accordance with the ICC Rules.

	(b)
	The
seat of the arbitration shall be London and the language of the arbitration (in which each member of the tribunal shall be fluent) shall be English.

 

6

 
 

CONFIDENTIAL  

Mr
Roberto Mendoza

Non-executive Director,

Prudential plc 

11
April 2006 

Dear
Roberto 

DIRECTORS' AND OFFICERS' PROTECTION—CHANGES TO YOUR BENEFITS  

 As a result of changes in the law relating to indemnities given to directors and officers, we have revised the form of indemnity to take advantage of the
additional protections now available. This new indemnity is set out in the Schedule to this letter, and is in addition to the indemnity that you already hold. 

In
summary, you now have the following benefits, to the extent maintained by Prudential plc (Prudential) or its subsidiaries (within the meaning of the
Companies Act 1985) (the Group) from time to time: 

	(a)
	Directors'
and officers' liability insurance cover, subject to its terms and conditions;

	(b)
	An
indemnity from Prudential, which you already hold; and

	(c)
	A
new indemnity from Prudential, as set out in the Schedule to this letter. 

Any
amount payable to you under (a), (b) or (c) above shall not be offset against any amount payable by you which is contemplated under your employment contract or letter of appointment. 

The
indemnity in the Schedule will take effect as from 6 April 2005 and will supersede the indemnity you already hold only for the period from 6 April 2005 onwards. If you are an
employee within the Group, it will be deemed to be incorporated in, and constitute an agreed amendment of, the terms and conditions of your employment. 

You
will continue to be eligible under the discretionary payments policy adopted by Prudential (subject to regular review) as set out in the separate letter to you dated 10 June 2004 (or later
if you joined the Prudential after that date). The directors of Prudential and certain employees of the Group may rely on the existence of this policy to protect them from personal liability arising
out of the bona fide performance of their duties. 

Please
countersign and date the enclosed duplicate of this letter and return it to me under cover marked private and confidential. 

Yours
Sincerely 

/s/
Peter Maynard 

.........................................................

Peter Maynard

Company Secretary 

Acknowledged
and Agreed: 

/s/
Mendoza 

......................................................... 

Date:
April 26, 2006 

Schedule

Indemnity  

1.     Indemnity  

Subject
to the following paragraphs of this Schedule, Prudential undertakes to indemnify each Beneficiary and hold each Beneficiary harmless against any and all losses, damages, costs, liabilities,
demands, charges, penalties, fines or expenses (including without limitation any and all losses, costs, liabilities, charges or expenses properly and reasonably suffered or incurred (including
advisory fees) in investigating, responding to, preparing for or disputing any claim, action, demand, proceedings, investigation, judgment or award, in each case whether or not successful, compromised
or settled, which may be instituted, made, threatened or alleged against or otherwise involve any of the Beneficiaries in any jurisdiction (each a
"Claim")) which the Beneficiaries may suffer or incur in any jurisdiction ("Losses") and which in any
such case arise out of the carrying out or performance, whether before or after the date of the letter to which this indemnity is scheduled, by the Executive of the Executive's duties as a director,
officer, employee, trustee, representative or like position of any member of the Group or as a director, officer, employee, trustee, governor, councillor, representative or like position in any
external organisation where such position is held at the request of any member of the Group or as a result of being a director, officer, employee, trustee or representative, or holding like position
in respect, of any member of the Group. 

2.     Indemnity to take effect subject to law and regulation  

The
indemnity contained in paragraph 1 shall not apply to the extent that it would be void by virtue of, or contravenes, the Companies Act 1985 or any other applicable law or regulation
(including without limitation listing rules). 

3.     Proceedings for which indemnity cannot be claimed  

Subject
to paragraph 5, the indemnity contained in paragraph 1 shall not extend to any liability incurred by the Executive, (i) to any member of the Group, (ii) to pay a
fine imposed in criminal proceedings, (iii) to pay a sum payable to a regulatory authority by way of a penalty in respect of non-compliance with any requirement of a regulatory
nature (however arising), (iv) in defending any criminal proceedings in which the Executive is convicted, (v) as a result of, or in connection with any act or omission by the Executive
which is determined by any relevant court, tribunal or other legal or regulatory authority, or otherwise judicially determined, to constitute fraud, dishonesty, bad faith, wilful default or criminal
act on the part of the Executive, (vi) in defending civil proceedings brought by any member of the Group in which judgment is given against the Executive or (vii) in connection with any
application under section 114(3) or (4) or 727 of the Companies Act 1985 in which the Court refuses to grant relief to the Executive. 

4.     Loss of earnings and of other employment benefits  

The
indemnity contained in paragraph 1 shall not apply in respect of any loss of earnings or of any other employment benefit, including but not limited to rights to bonus or other monetary
incentives, share options or other share-based incentives or pension or other retirement benefits, which any Beneficiary may suffer as a result of any period of disqualification imposed by any
relevant court, tribunal or other legal or regulatory authority. 

 

5.     Advances in respect of proceedings  

Where
any Beneficiary properly and reasonably suffers or incurs losses, costs, liabilities, charges or expenses (including without limitation advisory fees) in investigating, responding to, preparing
for or disputing any Claim, the Executive shall be entitled to claim indemnity under paragraph 1 (for himself and/or on behalf of any Beneficiary) forthwith after the same becomes due and
payable by the Beneficiary, provided that if such Claim: 

	(a)
	relates
to a criminal offence in relation to which the Executive is convicted;

	(b)
	relates
to civil proceedings brought by any member of the Group in which judgment is given against the Executive;

	(c)
	relate
to any matters in respect of which any relevant court, tribunal or other legal or regulatory authority determines that any act or omission by the Executive constitutes fraud,
dishonesty, bad faith or wilful default on the part of the Executive; or

	(d)
	relates
to any application under sections 144(3) or (4) or 727 of the Companies Act 1985 in which the Court refuses to grant the Executive relief, 

Prudential
shall be entitled to refuse to provide indemnification (or, as the case may be, any further indemnification) pursuant to the indemnity contained in paragraph 1 and where Prudential
has already paid amounts to the Executive pursuant to the indemnity contained in paragraph 1, such amounts shall be reimbursed to Prudential by the Executive not later than (i) in the
event of the Executive being convicted, the date on which such conviction has become final, (ii) in the event of judgment being given against the Executive, the date on which such judgment has
become final or (iii) in the event of the court refusing to grant the Executive relief on the application, the date on which such refusal for relief has become final. 

6.     Termination and survival  

The
provisions of this Schedule shall survive: 

	(a)
	the
Executive moving to another role within the Group which does not have the benefit of an indemnity equivalent to the indemnity contained in paragraph 1; and

	(b)
	the
termination of an appointment of the Executive which is held at the request of any member of the Group, excluding:

	(i)
	termination
by the Executive otherwise than in accordance with its terms (unless the circumstances are such as to entitle the Executive to treat himself as constructively dismissed);
or

	(ii)
	termination
by any member of the Group in accordance with any right to dismiss the Executive summarily for cause. 

7.     Notification of Prudential  

The
Executive shall notify Prudential in writing promptly upon becoming aware of any matter for which indemnity may be sought under paragraph 1, providing to Prudential all such information as
the Executive has of the circumstances of the relevant matter, and shall thereafter notify Prudential of all developments in relation to such matter. The Executive acknowledges that Prudential may
provide such information to its insurers and advisers and to any other member of the Group and agrees to respond promptly to all reasonable requests from Prudential in relation to any matter relating
to the indemnity contained in paragraph 1. 

2

 

8.     Conduct of Claims  

	(a)
	The
Executive shall, subject to paragraph 8(b), have conduct of the defence and settlement of any Claim, but Prudential shall have the right (but not the obligation) to
associate itself with such Claim. Prudential shall not be required or, without the consent of the Executive (such consent not to be unreasonably withheld or delayed), permitted to assume the conduct
of the Claim made against the Executive.

	(b)
	The
Executive shall conduct all Claims diligently and competently using the legal and other representatives mutually acceptable to the Executive and Prudential. The Executive shall
keep Prudential informed of the progress of any Claim and recognises the right of Prudential to provide at its discretion input into the conduct of any Claim. The Executive shall not settle or
compromise any Claim without Prudential's consent (such consent not to be unreasonably withheld or delayed). 

9.     Recovery against other persons  

If
Prudential pays any amount in respect of any Loss and any Beneficiary is, or subsequently becomes, entitled to recover from any other person any amount in respect of such Loss (including without
limitation by way of tax credit, allowance, repayment or relief), then, subject to there being no reasonable prospect of any Beneficiary being prejudiced and to Prudential agreeing to indemnify the
Beneficiaries against all reasonable costs and expenses which might be incurred, Prudential may either: 

	(a)
	request
that the Executive take (or procure that any Dependant take) all reasonable steps to enforce such recovery. If Prudential so elects then the Executive must so act and must
procure that all and any amounts recovered, less all reasonable costs, charges and expenses incurred and not recovered by any Beneficiary in making such recovery, will be applied in promptly repaying
to Prudential the amount paid by Prudential in respect of the Loss; or

	(b)
	exercise
its right to be subrogated to the extent of such payment to any or all the Beneficiaries' rights of recovery against third parties in respect of the payment. If Prudential so
elects then the Executive shall (or shall procure that the Dependants shall), promptly on request from Prudential, execute all papers reasonably required and shall do everything necessary to enable
Prudential to bring, maintain and conclude an action effectively, either in the name of all or any Beneficiaries or in its own name, at Prudential's discretion. 

10.   Recovery under other indemnities and insurance  

	(a)
	Subject
to paragraph 10(c), the Executive agrees to take, and to procure that the Dependants take, all reasonable steps to claim and recover under any other indemnity or
insurance policy before he makes a claim under the indemnity contained in paragraph 1. The indemnity contained in paragraph 1 operates only in excess of any right to indemnity or
insurance which any Beneficiary may have (irrespective of any wording to the contrary in any indemnity or insurance policy concerned), and no person other than the Executive shall have the right to
pursue any claim against Prudential under the indemnity contained in paragraph 1 (or to seek contribution from Prudential) whether in its own name or that of any Beneficiary. 

3

 

	(b)
	Provided
that the Executive complies with paragraph 10(a), Prudential will advance to the Executive the funds necessary to make a payment in respect of a Loss pending receipt
by the Beneficiaries of the amounts due under any other indemnity and/or insurance policy in excess of which the indemnity contained in paragraph 1 operates. Any such advance will not operate
to extinguish, erode or otherwise limit in any way whatsoever the Beneficiaries' entitlement under the other indemnity and/or insurance policy and the Executive shall remit (or shall procure that
there shall be remitted) to Prudential all and any payments and/or benefits received pursuant thereto subsequent to the date of the advance required to repay the advance.

	(c)
	The
obligation to take all reasonable steps to claim and recover under any other indemnity or insurance policy set out in paragraph 10(a) shall not operate in respect of any
policy of executives' and officers' liability insurance for which any member of the Group is the named policyholder and which requires that any Beneficiary be indemnified by a member of the Group
prior to any claim being brought under that policy. 

11.   Deductions required to be made by Prudential or a Beneficiary  

	(a)
	All
amounts payable by Prudential to, or on behalf of, any Beneficiary under this indemnity will be paid without any deductions unless they are required by law. If any deductions are
required by law, Prudential will pay to, or on behalf of, the Beneficiary an amount which will, after any deduction has been made, result in the Beneficiary receiving the same amount as the
Beneficiary would have been entitled to receive in the absence of any requirement to make a deduction.

	(b)
	If
any amount payable by Prudential under this indemnity is subject to tax in the hands of the Beneficiary in any jurisdiction, the amount payable will be increased so that the net
amount received by the Executive after taking that tax into account is equal to the full amount which would have been received by the Beneficiary if that tax had not been payable.

	(c)
	To
the extent that any Beneficiary obtains any tax credit, allowance, repayment or relief as a result of Prudential paying any increased amount under this paragraph 12, the
Executive shall repay, or procure that the Dependant repays, to Prudential the amount necessary to reflect the principle that, after tax, the Beneficiary is to be put in the same position as if the
deduction or charge to tax had not been required or incurred in the first place. 

12.   No double recovery  

Notwithstanding
the provisions of this Schedule, the Executive shall have the benefit of any indemnity, insurance, agreement, undertaking or commitment entered into with, or on his behalf by, any
member of the Group whether before or after the date of the letter to which this indemnity is scheduled, provided that he shall not be entitled to recover more than once under this indemnity and any
other indemnity, insurance, agreement, undertaking or commitment in respect of any Loss. 

13.   Interpretation  

In
this Schedule: 

	(a)
	"Beneficiaries" mean the Executive and the Dependants;

	(b)
	"Claim" has the meaning ascribed to them in paragraph 1;

	(c)
	"Companies Act 1985" means the Companies Act 1985 as amended, modified, re-enacted or replaced from time to time; 

4

 

	(d)
	"Dependant" means:

	(i)
	the
Executive's spouse or civil partner;

	(ii)
	any
other person (whether of a different sex or the same sex) with whom the Executive lives as partner in an enduring family relationship other than the Executive's grandparent or
grandchild, sister, brother, aunt or uncle, or nephew or niece;

	(iii)
	the
Executive's children or step-children;

	(iv)
	any
children or step-children of a person within paragraph 13(d)(ii) (and who are not children or step-children of the Executive) who live with
the Executive and have not attained the age of 18; and

	(v)
	the
Executive's parents;

	(e)
	"director" shall include without limitation shadow director;

	(f)
	"Executive" means you;

	(g)
	"Group" means Prudential or any subsidiary or holding company of Prudential or any subsidiary of a holding company of Prudential;

	(h)
	"Losses" have the meaning ascribed to them in paragraph 1;

	(i)
	"Prudential" means Prudential plc;

	(j)
	"holding company" and "subsidiary" shall have the meanings ascribed to them in the
Companies Act 1985;

	(k)
	references
to a "conviction", "judgment" or  "determination" is a reference to one that has become final. For these
purposes, a conviction, judgment or determination becomes final:

	(i)
	if
not appealed against, at the end of the period for bringing an appeal; or

	(ii)
	if
appealed against, at the time when the appeal (or further appeal) is disposed of. 

An
appeal is disposed of: 

	(iii)
	if
it is determined and the period for bringing any further appeal has ended; and

	(iv)
	if
it is abandoned or otherwise ceases to have effect; and

	(l)
	any
reference to the masculine shall as appropriate be a reference to the feminine. 

14.   Claims and enforcement  

	(a)
	Only
Prudential shall be entitled to take steps in relation to the provisions of this Schedule. In taking any such step, Prudential may act for itself and/or on behalf of any of all
other members of the Group.

	(b)
	Only
the Executive and his personal representatives and estate shall be entitled to make a claim, and take any other steps, in relation to the provisions of this Schedule. In taking
any such step, the Executive may act for himself and/or on behalf of any or all of the Dependants.

	(c)
	Subject
to paragraphs 14(a) and (b), any person other than Prudential and the Executive may not enforce any of the provisions of this Schedule under the Contracts (Rights of Third
Parties) Act 1999. 

5

 

15.   Miscellaneous  

	(a)
	The
Executive may not assign or otherwise transfer any rights or obligations set out in this Schedule.

	(b)
	Any
failure by Prudential or the Executive to exercise any right, power or privilege available under this Schedule is not a waiver for the purposes of this Schedule nor will any
single or partial exercise thereof preclude any further exercise of any right, power or privilege.

	(c)
	The
provisions of this Schedule may only be amended in writing signed by or on behalf of Prudential and the Executive.

	(d)
	If
any provision of this Schedule is held to be illegal, invalid or unenforceable in whole or in part, the remaining provisions shall continue to be valid.

	(e)
	Prudential
and the Executive acknowledge that any contract, agreement, commitment or undertaking in respect of the Executive's role as a director, officer, employee, trustee or
representative of Prudential incorporates, and accordingly is made on and subject to, the provisions of the Memorandum and Articles of Association of Prudential. 

16.   Governing law  

The
provisions set out in this Schedule are governed by and must be interpreted in accordance with English law. 

17.   Arbitration  

	(a)
	Any
dispute, controversy or claim arising out of or in connection with this Schedule shall be referred to and finally resolved by arbitration under the Rules or Arbitration of the
International Chamber of Commerce ("ICC Rules") by three arbitrators appointed in accordance with the ICC Rules.

	(b)
	The
seat of the arbitration shall be London and the language of the arbitration (in which each member of the tribunal shall be fluent) shall be English.

 

6

 
 

CONFIDENTIAL  

Ms Kathleen
O'Donovan

Non-executive Director,

Prudential plc 

11
April 2006 

Dear
Kathleen 

DIRECTORS' AND OFFICERS' PROTECTION—CHANGES TO YOUR BENEFITS  

 As a result of changes in the law relating to indemnities given to directors and officers, we have revised the form of indemnity to take advantage of the
additional protections now available. This new indemnity is set out in the Schedule to this letter, and is in addition to the indemnity that you already hold. 

In
summary, you now have the following benefits, to the extent maintained by Prudential plc (Prudential) or its subsidiaries (within the meaning of the
Companies Act 1985) (the Group) from time to time: 

	(a)
	Directors'
and officers' liability insurance cover, subject to its terms and conditions;

	(b)
	An
indemnity from Prudential, which you already hold; and

	(c)
	A
new indemnity from Prudential, as set out in the Schedule to this letter. 

Any
amount payable to you under (a), (b) or (c) above shall not be offset against any amount payable by you which is contemplated under your employment contract or letter of appointment. 

The
indemnity in the Schedule will take effect as from 6 April 2005 and will supersede the indemnity you already hold only for the period from 6 April 2005 onwards. If you are an
employee within the Group, it will be deemed to be incorporated in, and constitute an agreed amendment of, the terms and conditions of your employment. 

You
will continue to be eligible under the discretionary payments policy adopted by Prudential (subject to regular review) as set out in the separate letter to you dated 10 June 2004 (or later
if you joined the Prudential after that date). The directors of Prudential and certain employees of the Group may rely on the existence of this policy to protect them from personal liability arising
out of the bona fide performance of their duties. 

Please
countersign and date the enclosed duplicate of this letter and return it to me under cover marked private and confidential. 

Yours
sincerely 

/s/
Peter Maynard 

.........................................................

Peter Maynard

Company Secretary 

Acknowledged
and Agreed: 

.........................................................

Date 

Schedule

Indemnity  

1.     Indemnity  

Subject
to the following paragraphs of this Schedule, Prudential undertakes to indemnify each Beneficiary and hold each Beneficiary harmless against any and all losses, damages, costs, liabilities,
demands, charges, penalties, fines or expenses (including without limitation any and all losses, costs, liabilities, charges or expenses properly and reasonably suffered or incurred (including
advisory fees) in investigating, responding to, preparing for or disputing any claim, action, demand, proceedings, investigation, judgment or award, in each case whether or not successful, compromised
or settled, which may be instituted, made, threatened or alleged against or otherwise involve any of the Beneficiaries in any jurisdiction (each a
"Claim")) which the Beneficiaries may suffer or incur in any jurisdiction ("Losses") and which in any
such case arise out of the carrying out or performance, whether before or after the date of the letter to which this indemnity is scheduled, by the Executive of the Executive's duties as a director,
officer, employee, trustee, representative or like position of any member of the Group or as a director, officer, employee, trustee, governor, councillor, representative or like position in any
external organisation where such position is held at the request of any member of the Group or as a result of being a director, officer, employee, trustee or representative, or holding like position
in respect, of any member of the Group. 

2.     Indemnity to take effect subject to law and regulation  

The
indemnity contained in paragraph 1 shall not apply to the extent that it would be void by virtue of, or contravenes, the Companies Act 1985 or any other applicable law or regulation
(including without limitation listing rules). 

3.     Proceedings for which indemnity cannot be claimed  

Subject
to paragraph 5, the indemnity contained in paragraph 1 shall not extend to any liability incurred by the Executive, (i) to any member of the Group, (ii) to pay a
fine imposed in criminal proceedings, (iii) to pay a sum payable to a regulatory authority by way of a penalty in respect of non-compliance with any requirement of a regulatory
nature (however arising), (iv) in defending any criminal proceedings in which the Executive is convicted, (v) as a result of, or in connection with any act or omission by the Executive
which is determined by any relevant court, tribunal or other legal or regulatory authority, or otherwise judicially determined, to constitute fraud, dishonesty, bad faith, wilful default or criminal
act on the part of the Executive, (vi) in defending civil proceedings brought by any member of the Group in which judgment is given against the Executive or (vii) in connection with any
application under section 114(3) or (4) or 727 of the Companies Act 1985 in which the Court refuses to grant relief to the Executive. 

4.     Loss of earnings and of other employment benefits  

The
indemnity contained in paragraph 1 shall not apply in respect of any loss of earnings or of any other employment benefit, including but not limited to rights to bonus or other monetary
incentives, share options or other share-based incentives or pension or other retirement benefits, which any Beneficiary may suffer as a result of any period of disqualification imposed by any
relevant court, tribunal or other legal or regulatory authority. 

 

5.     Advances in respect of proceedings  

Where
any Beneficiary properly and reasonably suffers or incurs losses, costs, liabilities, charges or expenses (including without limitation advisory fees) in investigating, responding to, preparing
for or disputing any Claim, the Executive shall be entitled to claim indemnity under paragraph 1 (for himself and/or on behalf of any Beneficiary) forthwith after the same becomes due and
payable by the Beneficiary, provided that if such Claim: 

	(a)
	relates
to a criminal offence in relation to which the Executive is convicted;

	(b)
	relates
to civil proceedings brought by any member of the Group in which judgment is given against the Executive;

	(c)
	relate
to any matters in respect of which any relevant court, tribunal or other legal or regulatory authority determines that any act or omission by the Executive constitutes fraud,
dishonesty, bad faith or wilful default on the part of the Executive; or

	(d)
	relates
to any application under sections 144(3) or (4) or 727 of the Companies Act 1985 in which the Court refuses to grant the Executive relief, 

Prudential
shall be entitled to refuse to provide indemnification (or, as the case may be, any further indemnification) pursuant to the indemnity contained in paragraph 1 and where Prudential
has already paid amounts to the Executive pursuant to the indemnity contained in paragraph 1, such amounts shall be reimbursed to Prudential by the Executive not later than (i) in the
event of the Executive being convicted, the date on which such conviction has become final, (ii) in the event of judgment being given against the Executive, the date on which such judgment has
become final or (iii) in the event of the court refusing to grant the Executive relief on the application, the date on which such refusal for relief has become final. 

6.     Termination and survival  

The
provisions of this Schedule shall survive: 

	(a)
	the
Executive moving to another role within the Group which does not have the benefit of an indemnity equivalent to the indemnity contained in paragraph 1; and

	(b)
	the
termination of an appointment of the Executive which is held at the request of any member of the Group, excluding:

	(i)
	termination
by the Executive otherwise than in accordance with its terms (unless the circumstances are such as to entitle the Executive to treat himself as constructively dismissed);
or

	(ii)
	termination
by any member of the Group in accordance with any right to dismiss the Executive summarily for cause. 

7.     Notification of Prudential  

The
Executive shall notify Prudential in writing promptly upon becoming aware of any matter for which indemnity may be sought under paragraph 1, providing to Prudential all such information as
the Executive has of the circumstances of the relevant matter, and shall thereafter notify Prudential of all developments in relation to such matter. The Executive acknowledges that Prudential may
provide such information to its insurers and advisers and to any other member of the Group and agrees to respond promptly to all reasonable requests from Prudential in relation to any matter relating
to the indemnity contained in paragraph 1. 

2

 

8.     Conduct of Claims  

	(a)
	The
Executive shall, subject to paragraph 8(b), have conduct of the defence and settlement of any Claim, but Prudential shall have the right (but not the obligation) to
associate itself with such Claim. Prudential shall not be required or, without the consent of the Executive (such consent not to be unreasonably withheld or delayed), permitted to assume the conduct
of the Claim made against the Executive.

	(b)
	The
Executive shall conduct all Claims diligently and competently using the legal and other representatives mutually acceptable to the Executive and Prudential. The Executive shall
keep Prudential informed of the progress of any Claim and recognises the right of Prudential to provide at its discretion input into the conduct of any Claim. The Executive shall not settle or
compromise any Claim without Prudential's consent (such consent not to be unreasonably withheld or delayed). 

9.     Recovery against other persons  

If
Prudential pays any amount in respect of any Loss and any Beneficiary is, or subsequently becomes, entitled to recover from any other person any amount in respect of such Loss (including without
limitation by way of tax credit, allowance, repayment or relief), then, subject to there being no reasonable prospect of any Beneficiary being prejudiced and to Prudential agreeing to indemnify the
Beneficiaries against all reasonable costs and expenses which might be incurred, Prudential may either: 

	(a)
	request
that the Executive take (or procure that any Dependant take) all reasonable steps to enforce such recovery. If Prudential so elects then the Executive must so act and must
procure that all and any amounts recovered, less all reasonable costs, charges and expenses incurred and not recovered by any Beneficiary in making such recovery, will be applied in promptly repaying
to Prudential the amount paid by Prudential in respect of the Loss; or

	(b)
	exercise
its right to be subrogated to the extent of such payment to any or all the Beneficiaries' rights of recovery against third parties in respect of the payment. If Prudential so
elects then the Executive shall (or shall procure that the Dependants shall), promptly on request from Prudential, execute all papers reasonably required and shall do everything necessary to enable
Prudential to bring, maintain and conclude an action effectively, either in the name of all or any Beneficiaries or in its own name, at Prudential's discretion. 

10.   Recovery under other indemnities and insurance  

	(a)
	Subject
to paragraph 10(c), the Executive agrees to take, and to procure that the Dependants take, all reasonable steps to claim and recover under any other indemnity or
insurance policy before he makes a claim under the indemnity contained in paragraph 1. The indemnity contained in paragraph 1 operates only in excess of any right to indemnity or
insurance which any Beneficiary may have (irrespective of any wording to the contrary in any indemnity or insurance policy concerned), and no person other than the Executive shall have the right to
pursue any claim against Prudential under the indemnity contained in paragraph 1 (or to seek contribution from Prudential) whether in its own name or that of any Beneficiary. 

3

 

	(b)
	Provided
that the Executive complies with paragraph 10(a), Prudential will advance to the Executive the funds necessary to make a payment in respect of a Loss pending receipt
by the Beneficiaries of the amounts due under any other indemnity and/or insurance policy in excess of which the indemnity contained in paragraph 1 operates. Any such advance will not operate
to extinguish, erode or otherwise limit in any way whatsoever the Beneficiaries' entitlement under the other indemnity and/or insurance policy and the Executive shall remit (or shall procure that
there shall be remitted) to Prudential all and any payments and/or benefits received pursuant thereto subsequent to the date of the advance required to repay the advance.

	(c)
	The
obligation to take all reasonable steps to claim and recover under any other indemnity or insurance policy set out in paragraph 10(a) shall not operate in respect of any
policy of executives' and officers' liability insurance for which any member of the Group is the named policyholder and which requires that any Beneficiary be indemnified by a member of the Group
prior to any claim being brought under that policy. 

11.   Deductions required to be made by Prudential or a Beneficiary  

	(a)
	All
amounts payable by Prudential to, or on behalf of, any Beneficiary under this indemnity will be paid without any deductions unless they are required by law. If any deductions are
required by law, Prudential will pay to, or on behalf of, the Beneficiary an amount which will, after any deduction has been made, result in the Beneficiary receiving the same amount as the
Beneficiary would have been entitled to receive in the absence of any requirement to make a deduction.

	(b)
	If
any amount payable by Prudential under this indemnity is subject to tax in the hands of the Beneficiary in any jurisdiction, the amount payable will be increased so that the net
amount received by the Executive after taking that tax into account is equal to the full amount which would have been received by the Beneficiary if that tax had not been payable.

	(c)
	To
the extent that any Beneficiary obtains any tax credit, allowance, repayment or relief as a result of Prudential paying any increased amount under this paragraph 12, the
Executive shall repay, or procure that the Dependant repays, to Prudential the amount necessary to reflect the principle that, after tax, the Beneficiary is to be put in the same position as if the
deduction or charge to tax had not been required or incurred in the first place. 

12.   No double recovery  

Notwithstanding
the provisions of this Schedule, the Executive shall have the benefit of any indemnity, insurance, agreement, undertaking or commitment entered into with, or on his behalf by, any
member of the Group whether before or after the date of the letter to which this indemnity is scheduled, provided that he shall not be entitled to recover more than once under this indemnity and any
other indemnity, insurance, agreement, undertaking or commitment in respect of any Loss. 

13.   Interpretation  

In
this Schedule: 

	(a)
	"Beneficiaries" mean the Executive and the Dependants;

	(b)
	"Claim" has the meaning ascribed to them in paragraph 1;

	(c)
	"Companies Act 1985" means the Companies Act 1985 as amended, modified, re-enacted or replaced from time to time; 

4

 

	(d)
	"Dependant" means:

	(i)
	the
Executive's spouse or civil partner;

	(ii)
	any
other person (whether of a different sex or the same sex) with whom the Executive lives as partner in an enduring family relationship other than the Executive's grandparent or
grandchild, sister, brother, aunt or uncle, or nephew or niece;

	(iii)
	the
Executive's children or step-children;

	(iv)
	any
children or step-children of a person within paragraph 13(d)(ii) (and who are not children or step-children of the Executive) who live with
the Executive and have not attained the age of 18; and

	(v)
	the
Executive's parents;

	(e)
	"director" shall include without limitation shadow director;

	(f)
	"Executive" means you;

	(g)
	"Group" means Prudential or any subsidiary or holding company of Prudential or any subsidiary of a holding company of Prudential;

	(h)
	"Losses" have the meaning ascribed to them in paragraph 1;

	(i)
	"Prudential" means Prudential plc;

	(j)
	"holding company" and "subsidiary" shall have the meanings ascribed to them in the
Companies Act 1985;

	(k)
	references
to a "conviction", "judgment" or  "determination" is a reference to one that has become final. For these
purposes, a conviction, judgment or determination becomes final:

	(i)
	if
not appealed against, at the end of the period for bringing an appeal; or

	(ii)
	if
appealed against, at the time when the appeal (or further appeal) is disposed of. 

An
appeal is disposed of: 

	(iii)
	if
it is determined and the period for bringing any further appeal has ended; and

	(iv)
	if
it is abandoned or otherwise ceases to have effect; and

	(l)
	any
reference to the masculine shall as appropriate be a reference to the feminine. 

14.   Claims and enforcement  

	(a)
	Only
Prudential shall be entitled to take steps in relation to the provisions of this Schedule. In taking any such step, Prudential may act for itself and/or on behalf of any of all
other members of the Group.

	(b)
	Only
the Executive and his personal representatives and estate shall be entitled to make a claim, and take any other steps, in relation to the provisions of this Schedule. In taking
any such step, the Executive may act for himself and/or on behalf of any or all of the Dependants.

	(c)
	Subject
to paragraphs 14(a) and (b), any person other than Prudential and the Executive may not enforce any of the provisions of this Schedule under the Contracts (Rights of Third
Parties) Act 1999. 

5

 

15.   Miscellaneous  

	(a)
	The
Executive may not assign or otherwise transfer any rights or obligations set out in this Schedule.

	(b)
	Any
failure by Prudential or the Executive to exercise any right, power or privilege available under this Schedule is not a waiver for the purposes of this Schedule nor will any
single or partial exercise thereof preclude any further exercise of any right, power or privilege.

	(c)
	The
provisions of this Schedule may only be amended in writing signed by or on behalf of Prudential and the Executive.

	(d)
	If
any provision of this Schedule is held to be illegal, invalid or unenforceable in whole or in part, the remaining provisions shall continue to be valid.

	(e)
	Prudential
and the Executive acknowledge that any contract, agreement, commitment or undertaking in respect of the Executive's role as a director, officer, employee, trustee or
representative of Prudential incorporates, and accordingly is made on and subject to, the provisions of the Memorandum and Articles of Association of Prudential. 

16.   Governing law  

The
provisions set out in this Schedule are governed by and must be interpreted in accordance with English law. 

17.   Arbitration  

	(a)
	Any
dispute, controversy or claim arising out of or in connection with this Schedule shall be referred to and finally resolved by arbitration under the Rules or Arbitration of the
International Chamber of Commerce ("ICC Rules") by three arbitrators appointed in accordance with the ICC Rules.

	(b)
	The
seat of the arbitration shall be London and the language of the arbitration (in which each member of the tribunal shall be fluent) shall be English.

 

6

 
 

CONFIDENTIAL  

Mr
James Ross

Non-executive Director,

Prudential plc 

11
April 2006 

Dear
James 

DIRECTORS' AND OFFICERS' PROTECTION—CHANGES TO YOUR BENEFITS  

 As a result of changes in the law relating to indemnities given to directors and officers, we have revised the form of indemnity to take advantage of the
additional protections now available. This new indemnity is set out in the Schedule to this letter, and is in addition to the indemnity that you already hold. 

In
summary, you now have the following benefits, to the extent maintained by Prudential plc (Prudential) or its subsidiaries (within the meaning of the
Companies Act 1985) (the Group) from time to time: 

	(a)
	Directors'
and officers' liability insurance cover, subject to its terms and conditions;

	(b)
	An
indemnity from Prudential, which you already hold; and

	(c)
	A
new indemnity from Prudential, as set out in the Schedule to this letter. 

Any
amount payable to you under (a), (b) or (c) above shall not be offset against any amount payable by you which is contemplated under your employment contract or letter of appointment. 

The
indemnity in the Schedule will take effect as from 6 April 2005 and will supersede the indemnity you already hold only for the period from 6 April 2005 onwards. If you are an
employee within the Group, it will be deemed to be incorporated in, and constitute an agreed amendment of, the terms and conditions of your employment. 

You
will continue to be eligible under the discretionary payments policy adopted by Prudential (subject to regular review) as set out in the separate letter to you dated 10 June 2004 (or later
if you joined the Prudential after that date). The directors of Prudential and certain employees of the Group may rely on the existence of this policy to protect them from personal liability arising
out of the bona fide performance of their duties. 

Please
countersign and date the enclosed duplicate of this letter and return it to me under cover marked private and confidential. 

Yours
sincerely 

/s/
Peter Maynard 

.........................................................

Peter Maynard

Company Secretary 

Acknowledged
and Agreed: 

/s/
James Ross 

......................................................... 

Date
May 17th 2006 

Schedule  

 Indemnity  

1.     Indemnity  

Subject
to the following paragraphs of this Schedule, Prudential undertakes to indemnify each Beneficiary and hold each Beneficiary harmless against any and all losses, damages, costs, liabilities,
demands, charges, penalties, fines or expenses (including without limitation any and all losses, costs, liabilities, charges or expenses properly and reasonably suffered or incurred (including
advisory fees) in investigating, responding to, preparing for or disputing any claim, action, demand, proceedings, investigation, judgment or award, in each case whether or not successful, compromised
or settled, which may be instituted, made, threatened or alleged against or otherwise involve any of the Beneficiaries in any jurisdiction (each a
"Claim")) which the Beneficiaries may suffer or incur in any jurisdiction ("Losses") and which in any
such case arise out of the carrying out or performance, whether before or after the date of the letter to which this indemnity is scheduled, by the Executive of the Executive's duties as a director,
officer, employee, trustee, representative or like position of any member of the Group or as a director, officer, employee, trustee, governor, councillor, representative or like position in any
external organisation where such position is held at the request of any member of the Group or as a result of being a director, officer, employee, trustee or representative, or holding like position
in respect, of any member of the Group. 

2.     Indemnity to take effect subject to law and regulation  

The
indemnity contained in paragraph 1 shall not apply to the extent that it would be void by virtue of, or contravenes, the Companies Act 1985 or any other applicable law or regulation
(including without limitation listing rules). 

3.     Proceedings for which indemnity cannot be claimed  

Subject
to paragraph 5, the indemnity contained in paragraph 1 shall not extend to any liability incurred by the Executive, (i) to any member of the Group, (ii) to pay a
fine imposed in criminal proceedings, (iii) to pay a sum payable to a regulatory authority by way of a penalty in respect of non-compliance with any requirement of a regulatory
nature (however arising), (iv) in defending any criminal proceedings in which the Executive is convicted, (v) as a result of, or in connection with any act or omission by the Executive
which is determined by any relevant court, tribunal or other legal or regulatory authority, or otherwise judicially determined, to constitute fraud, dishonesty, bad faith, wilful default or criminal
act on the part of the Executive, (vi) in defending civil proceedings brought by any member of the Group in which judgment is given against the Executive or (vii) in connection with any
application under section 114(3) or (4) or 727 of the Companies Act 1985 in which the Court refuses to grant relief to the Executive. 

4.     Loss of earnings and of other employment benefits  

The
indemnity contained in paragraph 1 shall not apply in respect of any loss of earnings or of any other employment benefit, including but not limited to rights to bonus or other monetary
incentives, share options or other share-based incentives or pension or other retirement benefits, which any Beneficiary may suffer as a result of any period of disqualification imposed by any
relevant court, tribunal or other legal or regulatory authority. 

 

5.     Advances in respect of proceedings  

Where
any Beneficiary properly and reasonably suffers or incurs losses, costs, liabilities, charges or expenses (including without limitation advisory fees) in investigating, responding to, preparing
for or disputing any Claim, the Executive shall be entitled to claim indemnity under paragraph 1 (for himself and/or on behalf of any Beneficiary) forthwith after the same becomes due and
payable by the Beneficiary, provided that if such Claim: 

	(a)
	relates
to a criminal offence in relation to which the Executive is convicted;

	(b)
	relates
to civil proceedings brought by any member of the Group in which judgment is given against the Executive;

	(c)
	relate
to any matters in respect of which any relevant court, tribunal or other legal or regulatory authority determines that any act or omission by the Executive constitutes fraud,
dishonesty, bad faith or wilful default on the part of the Executive; or

	(d)
	relates
to any application under sections 144(3) or (4) or 727 of the Companies Act 1985 in which the Court refuses to grant the Executive relief, 

Prudential
shall be entitled to refuse to provide indemnification (or, as the case may be, any further indemnification) pursuant to the indemnity contained in paragraph 1 and where Prudential
has already paid amounts to the Executive pursuant to the indemnity contained in paragraph 1, such amounts shall be reimbursed to Prudential by the Executive not later than (i) in the
event of the Executive being convicted, the date on which such conviction has become final, (ii) in the event of judgment being given against the Executive, the date on which such judgment has
become final or (iii) in the event of the court refusing to grant the Executive relief on the application, the date on which such refusal for relief has become final. 

6.     Termination and survival  

The
provisions of this Schedule shall survive: 

	(a)
	the
Executive moving to another role within the Group which does not have the benefit of an indemnity equivalent to the indemnity contained in paragraph 1; and

	(b)
	the
termination of an appointment of the Executive which is held at the request of any member of the Group, excluding:

	(i)
	termination
by the Executive otherwise than in accordance with its terms (unless the circumstances are such as to entitle the Executive to treat himself as constructively dismissed);
or

	(ii)
	termination
by any member of the Group in accordance with any right to dismiss the Executive summarily for cause. 

7.     Notification of Prudential  

The
Executive shall notify Prudential in writing promptly upon becoming aware of any matter for which indemnity may be sought under paragraph 1, providing to Prudential all such information as
the Executive has of the circumstances of the relevant matter, and shall thereafter notify Prudential of all developments in relation to such matter. The Executive acknowledges that Prudential may
provide such information to its insurers and advisers and to any other member of the Group and agrees to respond promptly to all reasonable requests from Prudential in relation to any matter relating
to the indemnity contained in paragraph 1. 

2

 

8.     Conduct of Claims  

	(a)
	The
Executive shall, subject to paragraph 8(b), have conduct of the defence and settlement of any Claim, but Prudential shall have the right (but not the obligation) to
associate itself with such Claim. Prudential shall not be required or, without the consent of the Executive (such consent not to be unreasonably withheld or delayed), permitted to assume the conduct
of the Claim made against the Executive.

	(b)
	The
Executive shall conduct all Claims diligently and competently using the legal and other representatives mutually acceptable to the Executive and Prudential. The Executive shall
keep Prudential informed of the progress of any Claim and recognises the right of Prudential to provide at its discretion input into the conduct of any Claim. The Executive shall not settle or
compromise any Claim without Prudential's consent (such consent not to be unreasonably withheld or delayed). 

9.     Recovery against other persons  

If
Prudential pays any amount in respect of any Loss and any Beneficiary is, or subsequently becomes, entitled to recover from any other person any amount in respect of such Loss (including without
limitation by way of tax credit, allowance, repayment or relief), then, subject to there being no reasonable prospect of any Beneficiary being prejudiced and to Prudential agreeing to indemnify the
Beneficiaries against all reasonable costs and expenses which might be incurred, Prudential may either: 

	(a)
	request
that the Executive take (or procure that any Dependant take) all reasonable steps to enforce such recovery. If Prudential so elects then the Executive must so act and must
procure that all and any amounts recovered, less all reasonable costs, charges and expenses incurred and not recovered by any Beneficiary in making such recovery, will be applied in promptly repaying
to Prudential the amount paid by Prudential in respect of the Loss; or

	(b)
	exercise
its right to be subrogated to the extent of such payment to any or all the Beneficiaries' rights of recovery against third parties in respect of the payment. If Prudential so
elects then the Executive shall (or shall procure that the Dependants shall), promptly on request from Prudential, execute all papers reasonably required and shall do everything necessary to enable
Prudential to bring, maintain and conclude an action effectively, either in the name of all or any Beneficiaries or in its own name, at Prudential's discretion. 

10.   Recovery under other indemnities and insurance  

	(a)
	Subject
to paragraph 10(c), the Executive agrees to take, and to procure that the Dependants take, all reasonable steps to claim and recover under any other indemnity or
insurance policy before he makes a claim under the indemnity contained in paragraph 1. The indemnity contained in paragraph 1 operates only in excess of any right to indemnity or
insurance which any Beneficiary may have (irrespective of any wording to the contrary in any indemnity or insurance policy concerned), and no person other than the Executive shall have the right to
pursue any claim against Prudential under the indemnity contained in paragraph 1 (or to seek contribution from Prudential) whether in its own name or that of any Beneficiary. 

3

 

	(b)
	Provided
that the Executive complies with paragraph 10(a), Prudential will advance to the Executive the funds necessary to make a payment in respect of a Loss pending receipt
by the Beneficiaries of the amounts due under any other indemnity and/or insurance policy in excess of which the indemnity contained in paragraph 1 operates. Any such advance will not operate
to extinguish, erode or otherwise limit in any way whatsoever the Beneficiaries' entitlement under the other indemnity and/or insurance policy and the Executive shall remit (or shall procure that
there shall be remitted) to Prudential all and any payments and/or benefits received pursuant thereto subsequent to the date of the advance required to repay the advance.

	(c)
	The
obligation to take all reasonable steps to claim and recover under any other indemnity or insurance policy set out in paragraph 10(a) shall not operate in respect of any
policy of executives' and officers' liability insurance for which any member of the Group is the named policyholder and which requires that any Beneficiary be indemnified by a member of the Group
prior to any claim being brought under that policy. 

11.   Deductions required to be made by Prudential or a Beneficiary  

	(a)
	All
amounts payable by Prudential to, or on behalf of, any Beneficiary under this indemnity will be paid without any deductions unless they are required by law. If any deductions are
required by law, Prudential will pay to, or on behalf of, the Beneficiary an amount which will, after any deduction has been made, result in the Beneficiary receiving the same amount as the
Beneficiary would have been entitled to receive in the absence of any requirement to make a deduction.

	(b)
	If
any amount payable by Prudential under this indemnity is subject to tax in the hands of the Beneficiary in any jurisdiction, the amount payable will be increased so that the net
amount received by the Executive after taking that tax into account is equal to the full amount which would have been received by the Beneficiary if that tax had not been payable.

	(c)
	To
the extent that any Beneficiary obtains any tax credit, allowance, repayment or relief as a result of Prudential paying any increased amount under this paragraph 12, the
Executive shall repay, or procure that the Dependant repays, to Prudential the amount necessary to reflect the principle that, after tax, the Beneficiary is to be put in the same position as if the
deduction or charge to tax had not been required or incurred in the first place. 

12.   No double recovery  

Notwithstanding
the provisions of this Schedule, the Executive shall have the benefit of any indemnity, insurance, agreement, undertaking or commitment entered into with, or on his behalf by, any
member of the Group whether before or after the date of the letter to which this indemnity is scheduled, provided that he shall not be entitled to recover more than once under this indemnity and any
other indemnity, insurance, agreement, undertaking or commitment in respect of any Loss. 

13.   Interpretation  

In
this Schedule: 

	(a)
	"Beneficiaries" mean the Executive and the Dependants;

	(b)
	"Claim" has the meaning ascribed to them in paragraph 1;

	(c)
	"Companies Act 1985" means the Companies Act 1985 as amended, modified, re-enacted or replaced from time to time; 

4

 

	(d)
	"Dependant" means:

	(i)
	the
Executive's spouse or civil partner;

	(ii)
	any
other person (whether of a different sex or the same sex) with whom the Executive lives as partner in an enduring family relationship other than the Executive's grandparent or
grandchild, sister, brother, aunt or uncle, or nephew or niece;

	(iii)
	the
Executive's children or step-children;

	(iv)
	any
children or step-children of a person within paragraph 13(d)(ii) (and who are not children or step-children of the Executive) who live with
the Executive and have not attained the age of 18; and

	(v)
	the
Executive's parents;

	(e)
	"director" shall include without limitation shadow director;

	(f)
	"Executive" means you;

	(g)
	"Group" means Prudential or any subsidiary or holding company of Prudential or any subsidiary of a holding company of Prudential;

	(h)
	"Losses" have the meaning ascribed to them in paragraph 1;

	(i)
	"Prudential" means Prudential plc;

	(j)
	"holding company" and "subsidiary" shall have the meanings ascribed to them in the
Companies Act 1985;

	(k)
	references
to a "conviction", "judgment" or  "determination" is a reference to one that has become final. For these
purposes, a conviction, judgment or determination becomes final:

	(i)
	if
not appealed against, at the end of the period for bringing an appeal; or

	(ii)
	if
appealed against, at the time when the appeal (or further appeal) is disposed of. 

An
appeal is disposed of: 

	(iii)
	if
it is determined and the period for bringing any further appeal has ended; and

	(iv)
	if
it is abandoned or otherwise ceases to have effect; and

	(l)
	any
reference to the masculine shall as appropriate be a reference to the feminine. 

14.   Claims and enforcement  

	(a)
	Only
Prudential shall be entitled to take steps in relation to the provisions of this Schedule. In taking any such step, Prudential may act for itself and/or on behalf of any of all
other members of the Group.

	(b)
	Only
the Executive and his personal representatives and estate shall be entitled to make a claim, and take any other steps, in relation to the provisions of this Schedule. In taking
any such step, the Executive may act for himself and/or on behalf of any or all of the Dependants.

	(c)
	Subject
to paragraphs 14(a) and (b), any person other than Prudential and the Executive may not enforce any of the provisions of this Schedule under the Contracts (Rights of Third
Parties) Act 1999. 

5

 

15.   Miscellaneous  

	(a)
	The
Executive may not assign or otherwise transfer any rights or obligations set out in this Schedule.

	(b)
	Any
failure by Prudential or the Executive to exercise any right, power or privilege available under this Schedule is not a waiver for the purposes of this Schedule nor will any
single or partial exercise thereof preclude any further exercise of any right, power or privilege.

	(c)
	The
provisions of this Schedule may only be amended in writing signed by or on behalf of Prudential and the Executive.

	(d)
	If
any provision of this Schedule is held to be illegal, invalid or unenforceable in whole or in part, the remaining provisions shall continue to be valid.

	(e)
	Prudential
and the Executive acknowledge that any contract, agreement, commitment or undertaking in respect of the Executive's role as a director, officer, employee, trustee or
representative of Prudential incorporates, and accordingly is made on and subject to, the provisions of the Memorandum and Articles of Association of Prudential. 

16.   Governing law  

The
provisions set out in this Schedule are governed by and must be interpreted in accordance with English law. 

17.   Arbitration  

	(a)
	Any
dispute, controversy or claim arising out of or in connection with this Schedule shall be referred to and finally resolved by arbitration under the Rules or Arbitration of the
International Chamber of Commerce ("ICC Rules") by three arbitrators appointed in accordance with the ICC Rules.

	(b)
	The
seat of the arbitration shall be London and the language of the arbitration (in which each member of the tribunal shall be fluent) shall be English.

 

6

 
 

CONFIDENTIAL  

Lord
Turnbull, KCB CVO

Non-executive Director

Prudential plc 

18
May 2006 

Dear
Lord Turnbull 

DIRECTORS' AND OFFICERS' PROTECTION—YOUR BENEFITS  

 This letter is to confirm that you will be entitled to the following benefits relating to directors' and officers' protection against personal liability, to the
extent such benefits are maintained by Prudential plc (Prudential) or its subsidiaries (within the meaning of the Companies Act 1985) (the  Group) from time
to time: 

	(a)
	Directors'
and officers' liability insurance cover, subject to its terms and conditions; and

	(b)
	An
indemnity from Prudential, as set out in the Schedule to this letter. 

Any
amount payable to you under (a) or (b) above shall not be offset against any amount payable by you which is contemplated under your employment contract or letter of appointment. 

The
indemnity in the Schedule will take effect from the later of 6 April 2005 and the start date of your employment or appointment within the Group in your current post pursuant to your
employment contract or letter of appointment. If you are an employee within the Group, it will be deemed to be incorporated in the terms and conditions of your employment. 

You
will be eligible under the discretionary payments policy adopted by Prudential (subject to regular review), as set out in a separate letter to you. The directors of Prudential and certain
employees of the Group may rely on the existence of this policy to protect them from personal liability arising out of the bona fide performance of their duties. 

Please
countersign and date the enclosed duplicate of this letter and return it to me under cover marked private and confidential. 

Yours
sincerely 

/s/
Peter Maynard 

.........................................................

Peter Maynard

Company Secretary 

Acknowledged
and Agreed: 

/s/
Andrew Turnbull 

......................................................... 

Date
18/5/06 

Schedule

Indemnity  

1.     Indemnity  

Subject
to the following paragraphs of this Schedule, Prudential undertakes to indemnify each Beneficiary and hold each Beneficiary harmless against any and all losses, damages, costs, liabilities,
demands, charges, penalties, fines or expenses (including without limitation any and all losses, costs, liabilities, charges or expenses properly and reasonably suffered or incurred (including
advisory fees) in investigating, responding to, preparing for or disputing any claim, action, demand, proceedings, investigation, judgment or award, in each case whether or not successful, compromised
or settled, which may be instituted, made, threatened or alleged against or otherwise involve any of the Beneficiaries in any jurisdiction (each a
"Claim")) which the Beneficiaries may suffer or incur in any jurisdiction ("Losses") and which in any
such case arise out of the carrying out or performance, whether before or after the date of the letter to which this indemnity is scheduled, by the Executive of the Executive's duties as a director,
officer, employee, trustee, representative or like position of any member of the Group or as a director, officer, employee, trustee, governor, councillor, representative or like position in any
external organisation where such position is held at the request of any member of the Group or as a result of being a director, officer, employee, trustee or representative, or holding like position
in respect, of any member of the Group. 

2.     Indemnity to take effect subject to law and regulation  

The
indemnity contained in paragraph 1 shall not apply to the extent that it would be void by virtue of, or contravenes, the Companies Act 1985 or any other applicable law or regulation
(including without limitation listing rules). 

3.     Proceedings for which indemnity cannot be claimed  

Subject
to paragraph 5, the indemnity contained in paragraph 1 shall not extend to any liability incurred by the Executive, (i) to any member of the Group, (ii) to pay a
fine imposed in criminal proceedings, (iii) to pay a sum payable to a regulatory authority by way of a penalty in respect of non-compliance with any requirement of a regulatory
nature (however arising), (iv) in defending any criminal proceedings in which the Executive is convicted, (v) as a result of, or in connection with any act or omission by the Executive
which is determined by any relevant court, tribunal or other legal or regulatory authority, or otherwise judicially determined, to constitute fraud, dishonesty, bad faith, wilful default or criminal
act on the part of the Executive, (vi) in defending civil proceedings brought by any member of the Group in which judgment is given against the Executive or (vii) in connection with any
application under section 114(3) or (4) or 727 of the Companies Act 1985 in which the Court refuses to grant relief to the Executive. 

4.     Loss of earnings and of other employment benefits  

The
indemnity contained in paragraph 1 shall not apply in respect of any loss of earnings or of any other employment benefit, including but not limited to rights to bonus or other monetary
incentives, share options or other share-based incentives or pension or other retirement benefits, which any Beneficiary may suffer as a result of any period of disqualification imposed by any
relevant court, tribunal or other legal or regulatory authority. 

 

5.     Advances in respect of proceedings  

Where
any Beneficiary properly and reasonably suffers or incurs losses, costs, liabilities, charges or expenses (including without limitation advisory fees) in investigating, responding to, preparing
for or disputing any Claim, the Executive shall be entitled to claim indemnity under paragraph 1 (for himself and/or on behalf of any Beneficiary) forthwith after the same becomes due and
payable by the Beneficiary, provided that if such Claim: 

	(a)
	relates
to a criminal offence in relation to which the Executive is convicted;

	(b)
	relates
to civil proceedings brought by any member of the Group in which judgment is given against the Executive;

	(c)
	relate
to any matters in respect of which any relevant court, tribunal or other legal or regulatory authority determines that any act or omission by the Executive constitutes fraud,
dishonesty, bad faith or wilful default on the part of the Executive; or

	(d)
	relates
to any application under sections 144(3) or (4) or 727 of the Companies Act 1985 in which the Court refuses to grant the Executive relief, 

Prudential
shall be entitled to refuse to provide indemnification (or, as the case may be, any further indemnification) pursuant to the indemnity contained in paragraph 1 and where Prudential
has already paid amounts to the Executive pursuant to the indemnity contained in paragraph 1, such amounts shall be reimbursed to Prudential by the Executive not later than (i) in the
event of the Executive being convicted, the date on which such conviction has become final, (ii) in the event of judgment being given against the Executive, the date on which such judgment has
become final or (iii) in the event of the court refusing to grant the Executive relief on the application, the date on which such refusal for relief has become final. 

6.     Termination and survival  

The
provisions of this Schedule shall survive: 

	(a)
	the
Executive moving to another role within the Group which does not have the benefit of an indemnity equivalent to the indemnity contained in paragraph 1; and

	(b)
	the
termination of an appointment of the Executive which is held at the request of any member of the Group, excluding:

	(i)
	termination
by the Executive otherwise than in accordance with its terms (unless the circumstances are such as to entitle the Executive to treat himself as constructively dismissed);
or

	(ii)
	termination
by any member of the Group in accordance with any right to dismiss the Executive summarily for cause. 

7.     Notification of Prudential  

The
Executive shall notify Prudential in writing promptly upon becoming aware of any matter for which indemnity may be sought under paragraph 1, providing to Prudential all such information as
the Executive has of the circumstances of the relevant matter, and shall thereafter notify Prudential of all developments in relation to such matter. The Executive acknowledges that Prudential may
provide such information to its insurers and advisers and to any other member of the Group and agrees to respond promptly to all reasonable requests from Prudential in relation to any matter relating
to the indemnity contained in paragraph 1. 

2

 

8.     Conduct of Claims  

	(a)
	The
Executive shall, subject to paragraph 8(b), have conduct of the defence and settlement of any Claim, but Prudential shall have the right (but not the obligation) to
associate itself with such Claim. Prudential shall not be required or, without the consent of the Executive (such consent not to be unreasonably withheld or delayed), permitted to assume the conduct
of the Claim made against the Executive.

	(b)
	The
Executive shall conduct all Claims diligently and competently using the legal and other representatives mutually acceptable to the Executive and Prudential. The Executive shall
keep Prudential informed of the progress of any Claim and recognises the right of Prudential to provide at its discretion input into the conduct of any Claim. The Executive shall not settle or
compromise any Claim without Prudential's consent (such consent not to be unreasonably withheld or delayed). 

9.     Recovery against other persons  

If
Prudential pays any amount in respect of any Loss and any Beneficiary is, or subsequently becomes, entitled to recover from any other person any amount in respect of such Loss (including without
limitation by way of tax credit, allowance, repayment or relief), then, subject to there being no reasonable prospect of any Beneficiary being prejudiced and to Prudential agreeing to indemnify the
Beneficiaries against all reasonable costs and expenses which might be incurred, Prudential may either: 

	(a)
	request
that the Executive take (or procure that any Dependant take) all reasonable steps to enforce such recovery. If Prudential so elects then the Executive must so act and must
procure that all and any amounts recovered, less all reasonable costs, charges and expenses incurred and not recovered by any Beneficiary in making such recovery, will be applied in promptly repaying
to Prudential the amount paid by Prudential in respect of the Loss; or

	(b)
	exercise
its right to be subrogated to the extent of such payment to any or all the Beneficiaries' rights of recovery against third parties in respect of the payment. If Prudential so
elects then the Executive shall (or shall procure that the Dependants shall), promptly on request from Prudential, execute all papers reasonably required and shall do everything necessary to enable
Prudential to bring, maintain and conclude an action effectively, either in the name of all or any Beneficiaries or in its own name, at Prudential's discretion. 

10.   Recovery under other indemnities and insurance  

	(a)
	Subject
to paragraph 10(c), the Executive agrees to take, and to procure that the Dependants take, all reasonable steps to claim and recover under any other indemnity or
insurance policy before he makes a claim under the indemnity contained in paragraph 1. The indemnity contained in paragraph 1 operates only in excess of any right to indemnity or
insurance which any Beneficiary may have (irrespective of any wording to the contrary in any indemnity or insurance policy concerned), and no person other than the Executive shall have the right to
pursue any claim against Prudential under the indemnity contained in paragraph 1 (or to seek contribution from Prudential) whether in its own name or that of any Beneficiary. 

3

 

	(b)
	Provided
that the Executive complies with paragraph 10(a), Prudential will advance to the Executive the funds necessary to make a payment in respect of a Loss pending receipt
by the Beneficiaries of the amounts due under any other indemnity and/or insurance policy in excess of which the indemnity contained in paragraph 1 operates. Any such advance will not operate
to extinguish, erode or otherwise limit in any way whatsoever the Beneficiaries' entitlement under the other indemnity and/or insurance policy and the Executive shall remit (or shall procure that
there shall be remitted) to Prudential all and any payments and/or benefits received pursuant thereto subsequent to the date of the advance required to repay the advance.

	(c)
	The
obligation to take all reasonable steps to claim and recover under any other indemnity or insurance policy set out in paragraph 10(a) shall not operate in respect of any
policy of executives' and officers' liability insurance for which any member of the Group is the named policyholder and which requires that any Beneficiary be indemnified by a member of the Group
prior to any claim being brought under that policy. 

11.   Deductions required to be made by Prudential or a Beneficiary  

	(a)
	All
amounts payable by Prudential to, or on behalf of, any Beneficiary under this indemnity will be paid without any deductions unless they are required by law. If any deductions are
required by law, Prudential will pay to, or on behalf of, the Beneficiary an amount which will, after any deduction has been made, result in the Beneficiary receiving the same amount as the
Beneficiary would have been entitled to receive in the absence of any requirement to make a deduction.

	(b)
	If
any amount payable by Prudential under this indemnity is subject to tax in the hands of the Beneficiary in any jurisdiction, the amount payable will be increased so that the net
amount received by the Executive after taking that tax into account is equal to the full amount which would have been received by the Beneficiary if that tax had not been payable.

	(c)
	To
the extent that any Beneficiary obtains any tax credit, allowance, repayment or relief as a result of Prudential paying any increased amount under this paragraph 12, the
Executive shall repay, or procure that the Dependant repays, to Prudential the amount necessary to reflect the principle that, after tax, the Beneficiary is to be put in the same position as if the
deduction or charge to tax had not been required or incurred in the first place. 

12.   No double recovery  

Notwithstanding
the provisions of this Schedule, the Executive shall have the benefit of any indemnity, insurance, agreement, undertaking or commitment entered into with, or on his behalf by, any
member of the Group whether before or after the date of the letter to which this indemnity is scheduled, provided that he shall not be entitled to recover more than once under this indemnity and any
other indemnity, insurance, agreement, undertaking or commitment in respect of any Loss. 

13.   Interpretation  

In
this Schedule: 

	(a)
	"Beneficiaries" mean the Executive and the Dependants;

	(b)
	"Claim" has the meaning ascribed to them in paragraph 1;

	(c)
	"Companies Act 1985" means the Companies Act 1985 as amended, modified, re-enacted or replaced from time to time; 

4

 

	(d)
	"Dependant" means:

	(i)
	the
Executive's spouse or civil partner;

	(ii)
	any
other person (whether of a different sex or the same sex) with whom the Executive lives as partner in an enduring family relationship other than the Executive's grandparent or
grandchild, sister, brother, aunt or uncle, or nephew or niece;

	(iii)
	the
Executive's children or step-children;

	(iv)
	any
children or step-children of a person within paragraph 13(d)(ii) (and who are not children or step-children of the Executive) who live with
the Executive and have not attained the age of 18; and

	(v)
	the
Executive's parents;

	(e)
	"director" shall include without limitation shadow director;

	(f)
	"Executive" means you;

	(g)
	"Group" means Prudential or any subsidiary or holding company of Prudential or any subsidiary of a holding company of Prudential;

	(h)
	"Losses" have the meaning ascribed to them in paragraph 1;

	(i)
	"Prudential" means Prudential plc;

	(j)
	"holding company" and "subsidiary" shall have the meanings ascribed to them in the
Companies Act 1985;

	(k)
	references
to a "conviction", "judgment" or  "determination" is a reference to one that has become final. For these
purposes, a conviction, judgment or determination becomes final:

	(i)
	if
not appealed against, at the end of the period for bringing an appeal; or

	(ii)
	if
appealed against, at the time when the appeal (or further appeal) is disposed of. 

An
appeal is disposed of: 

	(iii)
	if
it is determined and the period for bringing any further appeal has ended; and

	(iv)
	if
it is abandoned or otherwise ceases to have effect; and

	(l)
	any
reference to the masculine shall as appropriate be a reference to the feminine. 

14.   Claims and enforcement  

	(a)
	Only
Prudential shall be entitled to take steps in relation to the provisions of this Schedule. In taking any such step, Prudential may act for itself and/or on behalf of any of all
other members of the Group.

	(b)
	Only
the Executive and his personal representatives and estate shall be entitled to make a claim, and take any other steps, in relation to the provisions of this Schedule. In taking
any such step, the Executive may act for himself and/or on behalf of any or all of the Dependants.

	(c)
	Subject
to paragraphs 14(a) and (b), any person other than Prudential and the Executive may not enforce any of the provisions of this Schedule under the Contracts (Rights of Third
Parties) Act 1999. 

5

 

15.   Miscellaneous  

	(a)
	The
Executive may not assign or otherwise transfer any rights or obligations set out in this Schedule.

	(b)
	Any
failure by Prudential or the Executive to exercise any right, power or privilege available under this Schedule is not a waiver for the purposes of this Schedule nor will any
single or partial exercise thereof preclude any further exercise of any right, power or privilege.

	(c)
	The
provisions of this Schedule may only be amended in writing signed by or on behalf of Prudential and the Executive.

	(d)
	If
any provision of this Schedule is held to be illegal, invalid or unenforceable in whole or in part, the remaining provisions shall continue to be valid.

	(e)
	Prudential
and the Executive acknowledge that any contract, agreement, commitment or undertaking in respect of the Executive's role as a director, officer, employee, trustee or
representative of Prudential incorporates, and accordingly is made on and subject to, the provisions of the Memorandum and Articles of Association of Prudential. 

16.   Governing law  

The
provisions set out in this Schedule are governed by and must be interpreted in accordance with English law. 

17.   Arbitration  

	(a)
	Any
dispute, controversy or claim arising out of or in connection with this Schedule shall be referred to and finally resolved by arbitration under the Rules or Arbitration of the
International Chamber of Commerce ("ICC Rules") by three arbitrators appointed in accordance with the ICC Rules.

	(b)
	The
seat of the arbitration shall be London and the language of the arbitration (in which each member of the tribunal shall be fluent) shall be English.

 

6

QuickLinks

Exhibit 4.7

Mr Keki Dadiseth

Mr Michael Garrett

Mrs Bridget Macaskill

Mr Roberto Mendoza

Ms Kathleen O'Donovon

Mr James Ross

Lord Turnbull, KCB CVOQuickLinks
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Exhibit 4.11  

ALLEN & OVERY 

ALLEN &
OVERY LLP 

FIFTH SUPPLEMENTAL INDENTURE  

between 

AEGON
N.V.,

as issuer 

and

CITIBANK,
N.A.,

as trustee 

dated
as of June 28, 2006 

to
the Indenture between 

AEGON
N.V., 

AEGON
Funding Corp., 

AEGON
Funding Corp. II, 

and 

CITIBANK,
N.A.,

as trustee 

dated
as of October 11, 2001 

$500,000,000
principal amount of 6.875% Perpetual Capital Securities 

  

 
 

TABLE OF CONTENTS    
    

Section  

	 
	 	 
	 	 
	 	Page

	1.	 	Definitions	 	2
	 	 	1.1	 	Definitions of Terms	 	2
	2.	 	General Terms and Conditions of the Capital Securities	 	6
	 	 	2.1	 	Designation and Principal Amount	 	6
	 	 	2.2	 	Maturity	 	6
	 	 	2.3	 	Form, Issuance, Registration and Exchange	 	6
	 	 	2.4	 	Payments	 	6
	 	 	2.5	 	Mandatory Payment Events; Mandatory Partial Payment Events	 	10
	3.	 	Redemption and Purchases	 	11
	 	 	3.1	 	General	 	11
	 	 	3.2	 	Optional Redemption	 	11
	 	 	3.3	 	Redemption for Tax Reasons	 	11
	 	 	3.4	 	Redemption or Conversion for Regulatory Reasons	 	12
	 	 	3.5	 	Notice of Redemption	 	13
	 	 	3.6	 	Purchases	 	13
	 	 	3.7	 	Cancellation	 	13
	4.	 	Alternative Interest Satisfaction Mechanism	 	13
	 	 	4.1	 	General	 	13
	 	 	4.2	 	Notice of Exercise of Alternative Interest Satisfaction Mechanism	 	13
	 	 	4.3	 	Issue of Common Shares	 	13
	 	 	4.4	 	Receipt of Cash Proceeds in Respect of Issue of Common Shares to be Used to Satisfy Payment	 	14
	 	 	4.5	 	Reservation and Insufficiency of Common Shares	 	14
	 	 	4.6	 	Market Disruption	 	15
	 	 	4.7	 	Certification to Trustee	 	16
	5.	 	Remedies	 	16
	 	 	5.1	 	Defaults; Collection of Indebtedness and Suits for Enforcement by Trustee	 	16
	6.	 	Subordination	 	17
	 	 	6.1	 	Agreement to Subordinate	 	17
	 	 	6.2	 	Section 1401 of the Base Indenture	 	17
	7.	 	Covenants of the Company	 	18
	 	 	7.1	 	Mandatory Interest Payments	 	18
	 	 	7.2	 	Sufficiency of Shares	 	18
	 	 	7.3	 	Payment of Proceeds from Sale of Common Shares in Connection with the Alternative Interest Satisfaction Mechanism	 	18
	 	 	7.4	 	Listing	 	18
	 	 	7.5	 	Officer's Certificate on Deferral	 	18
	 	 	7.6	 	Officer's Certificate on Market Disruption Event	 	19
	8.	 	Form of Capital Securities	 	19
	 	 	8.1	 	Form of Capital Securities	 	19
	9.	 	Original Issue of Capital Securities	 	19
	 	 	9.1	 	Original Issue of Capital Securities	 	19
	10.	 	Winding Up	 	19
	 	 	10.1	 	Winding Up	 	19
	11.	 	Satisfaction and Discharge	 	19
	 	 	11.1	 	Satisfaction and Discharge	 	19
	 	 	 	 	 	 	 

i

 

	12.	 	Taxation; Additional Amounts	 	20
	 	 	12.1	 	General	 	20
	 	 	12.2	 	Section 1006 of the Base Indenture	 	21
	13.	 	Miscellaneous	 	21
	 	 	13.1	 	Issuance of Definitive Securities	 	21
	 	 	13.2	 	Ratification of Base Indenture; Fifth Supplemental Indenture Controls	 	22
	 	 	13.3	 	Trustee Not Responsible for Recitals	 	22
	 	 	13.4	 	Governing Law	 	22
	 	 	13.5	 	Severability	 	22
	 	 	13.6	 	Counterparts	 	22
	Schedule	 	 
	1.	 	Form of 6.875% Perpetual Capital Securities	 	1

ii

 
 

FIFTH SUPPLEMENTAL INDENTURE    
    

FIFTH SUPPLEMENTAL INDENTURE dated as of June 28, 2006 (the Fifth Supplemental Indenture) 

AMONG:  

	(1)
	AEGON N.V., a Netherlands public company with limited liability (AEGON N.V. or the  Company), having its principal executive office at AEGONplein 50, 2501 CE, The Hague, The Netherlands; and

	(2)
	CITIBANK, N.A., a national banking association duly organized and existing under the laws of the United States of America, as Trustee
(the Trustee) to the Indenture, dated as of October 11, 2001, between the Company, AEGON Funding Corp. (AEGON
Funding), AEGON Funding Corp. II (AEGON Funding II) and the Trustee, as modified by a supplemental indenture dated as of
November 14, 2003, a second supplemental indenture dated as of June 1, 2005, a third supplemental indenture dated as of November 23, 2005, and a fourth supplemental indenture
dated as of December 12, 2005 (together, the Base Indenture, and collectively with this Fifth Supplemental Indenture, the  Indenture).

        In
addition, Citibank, N.A., through its New York branch, has agreed to act as Paying Agent hereunder. 

WHEREAS:  

	(A)
	the
Company, AEGON Funding, AEGON Funding II and the Trustee executed and delivered the Base Indenture to provide for the future issuance of the Securities to be issued from time to
time in one or more series as might be determined under the Base Indenture, in an unlimited aggregate principal amount, which may be authenticated and delivered as provided in the Base Indenture;

	(B)
	Section 301
of the Base Indenture permits the terms of any series of Securities to be established pursuant to a Board Resolution or in one or more indentures supplemental to
the Base Indenture;

	(C)
	the
Company desires to issue a series of Securities, the terms of which it deems appropriate to set out in this Fifth Supplemental Indenture;

	(D)
	pursuant
to the terms of the Base Indenture, the Company may issue Securities now and additional Securities of the same or different series at later dates under the Base Indenture, as
established by the Company, and the Company desires to initially issue $500,000,000 aggregate principal amount of Securities, entitled the 6.875% Perpetual Capital Securities (the  Capital Securities)
plus up to an additional $50,000,000 if, and to the extent that, the underwriters of the Capital Securities elect to exercise their
over-allotment option in whole or in part, the form and substance of such Capital Securities and the terms, provisions and conditions thereof to be set forth as provided in the Base
Indenture as supplemented by this Fifth Supplemental Indenture;

	(E)
	pursuant
to Section 301 of the Base Indenture, the Company desires to appoint Citibank, N.A., through its New York branch, to act as Paying Agent with respect to the Capital
Securities;

	(F)
	the
Capital Securities shall be treated as a separate series of Securities in accordance with the terms of the Indenture and for all purposes under the Indenture; and

	(G)
	the
Company has duly authorized the execution and delivery of this Fifth Supplemental Indenture and requested that the Trustee execute and deliver this Fifth Supplemental Indenture,
and all requirements necessary to make this Fifth Supplemental Indenture a valid and binding instrument in accordance with its terms have been done. 

NOW THEREFORE, in consideration of the purchase and acceptance of the Capital Securities by the holders thereof, and for the purpose of setting forth,
as provided in the Indenture, the form and 

 

substance
of the Capital Securities and the terms, provisions and conditions thereof, as well as for other purposes set forth herein, the parties hereto hereby agree as follows: 

1.     DEFINITIONS  

1.1   Definitions of Terms  

For
all purposes of the Indenture, except as otherwise expressly provided or unless the context otherwise requires: 

	(a)
	a
term defined in the Base Indenture and not otherwise defined herein has the same meaning when used in this Fifth Supplemental Indenture;

	(b)
	unless
otherwise specified, a reference to a Section or Article is to a Section or Article of this Fifth Supplemental Indenture;

	(c)
	headings
are for convenience of reference only and do not affect interpretation; and

	(d)
	the
following terms have the meanings set forth below for purposes of this Fifth Supplemental Indenture and the Base Indenture as it relates to the series of Capital Securities issued
hereunder. 

Accrued Interest Payment means, at any time, the amount of interest that has continued to accrue after an Interest Payment Date in respect of
(i) an Optionally Deferred Payment, (ii) the failure to make a payment when due on an Interest Payment Date, (iii) certain payments which cannot be made due to insufficient Common
Shares to satisfy the Alternative Interest Satisfaction Mechanism or (iv) failure to make a payment more than 14 days after its due date due to a Market Disruption Event. 

Additional Amounts has the meaning specified in Section 12.1. 

Alternative Interest Satisfaction Mechanism has the meaning specified in Article 4. 

Base Indenture has the meaning specified in the Preamble. 

Base Redemption Price has the meaning specified in Section 3.2. 

Business Day means a day, other than a Saturday or Sunday, on which commercial banks and foreign exchange markets are open for general business in New
York and Amsterdam. 

Capital Adequacy Regulations means, at any time, the regulations, requirements, guidelines, policies or decrees imposing obligations on AEGON N.V., as a
holding company, with respect to the maintenance of minimum levels of solvency margins and/or capital adequacy ratios and/or comparable margins or ratios, as well as regarding the supervision thereof
by any existing or future regulator having primary supervisory authority with respect to AEGON N.V. 

Capital Securities has the meaning specified in the Recitals. 

Common Shares means the common shares, par value 0.12 euros per common share, of AEGON N.V. 

Deferral Notice has the meaning specified in Section 2.4(d). 

Deferred Interest Satisfaction Date means: 

	(a)
	the
Interest Payment Date following the 19th Business Day after the Required Deferral Condition fails to be met; 

2

 

	(b)
	if
other than an Interest Payment Date, the date on which the Company resolves to satisfy a Mandatorily Deferred Payment or Optionally Deferred Payment, as notified by the Company to
the Trustee and the holders of Capital Securities; or

	(c)
	the
date on which the Company is required to satisfy all Mandatorily Deferred Payments and Optionally Deferred Payments as a result of the occurrence of a Mandatory Payment Event or a
Mandatory Partial Payment Event. 

Deferred Payment means a Mandatorily Deferred Payment and/or an Optionally Deferred Payment that has not subsequently been satisfied or deferred as
provided in Section 2.4. 

DTC means The Depository Trust Company. 

Existing Capital Securities means two series of the Company's perpetual capital securities in aggregate principal amounts of
€950 million and $500 million, respectively, issued under a trust deed dated July 15, 2004 between AEGON N.V., as issuer, and ATC Financial Services B.V., as
trustee, together with three series of perpetual capital securities in aggregate principal amount of $1.75 billion issued under the Base Indenture. 

Indenture has the meaning specified in the Recitals. 

Interest shall, where appropriate, include Interest Amounts, Mandatorily Deferred Payments, Optionally Deferred Payments and Accrued Interest Payments. 

Interest Amount means: 

	(a)
	in
respect of an Interest Payment, the amount of interest payable on a Capital Security for the relevant Interest Period; and

	(b)
	in
the event of redemption due to a Tax Event or for regulatory reasons, any interest accrued from (and including) the preceding Interest Payment Date (or, if none, Issue Date) to
(but excluding) the due date for redemption, and, if not an Interest Payment Date, as calculated on a 30/360 day basis, but not including the date of redemption. 

Interest Payment means, in respect of an Interest Payment Date, the aggregate Interest Amount for the Interest Period ending on such Interest Payment
Date. 

Interest Payment Date has the meaning specified in Section 2.4(b). 

Interest Period has the meaning specified in Section 2.4(c). 

Interest Rate has the meaning specified in Section 2.4(a). 

Issue Date means June 28, 2006. 

Junior Guarantee means any guarantee, indemnity or other contractual support arrangement entered into by the Company in respect of securities
(regardless of name or designation) issued by one of the Company's subsidiaries or Undertakings and ranking, on a winding-up (faillissement
or vereffening na ontbinding) or in respect of distributions or payment of dividends or any other payment thereon, after the Capital Securities. 

Junior Securities means AEGON N.V.'s Common Shares or any of its other securities which rank after the Capital Securities with respect to distributions
on a return of assets on its winding-up (faillissement or vereffening na ontbinding) or in
respect of distributions or payment of dividends or any other payments thereon. 

Mandatorily Deferred Payment is a payment that the Company is required to defer because the Required Deferred Condition is met. 

3

 

Mandatory Partial Payment means a Payment in respect of each Capital Security in an amount that results in payment of a proportion of a full Interest
Payment on the Capital Security on such Interest Payment Date equal to the proportion of a full payment on the relevant Parity Securities and/or payment on the relevant Parity Guarantee paid on the
payment date in respect of the relevant Parity Securities and/or Parity Guarantee immediately preceding such Interest Payment Date. 

Mandatory Partial Payment Event has the meaning specified in Section 2.5(c). 

Mandatory Payment Event has the meaning specified in Section 2.5(b). 

Market Disruption Event means: 

	(a)
	the
occurrence or existence of any suspension of or limitation imposed on trading by reason of movements in price exceeding limits permitted by Euronext Amsterdam N.V. or the New York
Stock Exchange or on settlement procedures for transactions in the Common Shares on Euronext Amsterdam N.V. or the New York Stock Exchange if, in any such case, that suspension or limitation is
material in the context of the sale of the Common Shares;

	(b)
	in
the opinion of the Company, there has been a substantial deterioration in the price and/or value of the Common Shares or circumstances are such as to prevent or to a material
extent restrict the issue or delivery of the Common Shares;

	(c)
	where,
pursuant to the terms of the Indenture, monies are required to be converted from one currency into another currency in respect of any payment, the occurrence of any event that
makes it impracticable to effect such conversion; or

	(d)
	where,
in the opinion of the Company, there will have been such a change in national or international financial, political or economic conditions or currency exchange rates or
exchange controls as would in the Company's view be likely to prejudice materially the success of the offering and distribution of the Common Shares or dealings in the Common Shares in the secondary
market, if any. 

Optionally Deferred Payment is a payment that the Company elects to defer pursuant to Section 2.4(f). 

Outstanding Payment means: 

	(a)
	in
relation to any Interest Payment, any Deferred Payment or Interest Amount not falling within the definition of Interest Payment, that such payment (i) has either become due
and payable or would have become due and payable except for the non-satisfaction on the Relevant Date due to (A) a failure to meet the conditions of payment pursuant to
Section 2.4(g) or (B) the deferral, postponement or suspension of such payment due to a Required Deferral Condition, an Optionally Deferred Payment or insufficient Common Shares
available to satisfy the Alternative Interest Satisfaction Mechanism, or (C) failure to make a payment more than 14 days after its due date due to a Market Disruption Event; and
(ii) in any such case has not been satisfied; and

	(b)
	in
relation to any Accrued Interest Payment, any amount thereof which has not been satisfied whether or not payment has become due. 

Parity Guarantee means any guarantee, indemnity or other contractual support arrangement the Company enters into with respect to securities (regardless
of name or designation) issued by any of the Company's subsidiaries or Undertakings that rank on its winding-up (faillissement or  vereffening na ontbinding) or in respect of distributions or payments thereon equally with the Capital Securities.
 

4

 

Parity Securities means, in respect of the Company, any securities that rank equally with the Capital Securities with respect to distributions on a
return of assets on its winding-up (faillissement or vereffening na ontbinding) or in
respect of distribution or payment of any amounts thereunder by the Company. For the avoidance of doubt, the Capital Securities rank equally with the Existing Capital Securities. 

Paying Agent means Citibank, N.A. as paying agent in relation to the Capital Securities, or its successor or successors for the time being appointed in
accordance with the terms of the Indenture. 

Payment means any Interest Payment, Mandatorily Deferred Payment, Optionally Deferred Payment, Accrued Interest Payment, payment of the Base Redemption
Price or Interest Amount not falling within the definition of Interest Payment. 

Payment Default has the meaning specified in Section 5.1(a). 

Payment Event has the meaning specified in Section 5.1(c). 

Regular Record Date means the March 1, June 1, September 1 or December 1, as applicable, immediately preceding an Interest
Payment Date. 

Regulatory Event means that the Company shall have become subject to supervision by any existing or future regulator pursuant to law or regulation and
that its solvency margin, capital adequacy ratios or comparable margins or ratios under the Capital Adequacy Regulations are or as a result of a Payment would become less than the relevant minimum
requirements as to be applied and enforced by such regulator pursuant to the Capital Adequacy Regulations. 

Relevant Date means: 

	(a)
	in
respect of any payment other than a Winding-Up Claim, the date on which such payment first becomes due and payable but, if the full amount of the monies payable on such
date has not been received by the Trustee on or prior to such date, the Relevant Date means the date on which such monies will have been so received and
notice to that effect will have been given to the holders in accordance with Section 106 of the Base Indenture; and

	(b)
	in
respect of a Winding-Up Claim, the date which is one day prior to the commencement of the winding-up. 

Required Deferral Condition means the Company (a) is not Solvent or making the relevant Payment will result in the Company becoming not Solvent
or (b) is subject to a Regulatory Event or making the relevant Payment will result in the Company becoming subject to a Regulatory Event. 

Securities has the meaning set forth in the Base Indenture. 

Senior Creditors means all the present and future creditors of the Company: 

	(a)
	who
are unsubordinated creditors;

	(b)
	whose
claims are, or are expressed to be, subordinated (whether only in the event of a winding-up (faillissement or  vereffening na ontbinding) or otherwise) only
to the claims of the Company's unsubordinated creditors; and

	(c)
	who
are subordinated creditors, other than those whose claims are, or are expressed to rank, equally with, or junior to, the claims of holders of Capital Securities. 

Senior Debt means indebtedness of the Company held by one or more of its Senior Creditors as Senior Creditors. 

5

 

Solvent means the Company is (a) able to pay its debts to Senior Creditors as they become due and (b) the Company's assets exceed the sum
of its liabilities (other than its liabilities to persons who are not Senior Creditors). For these purposes, assets refers to the Company's non-consolidated gross assets and liabilities
means its non-consolidated
gross liabilities, in each case as shown by the Company's then latest published audited balance sheet but adjusted for contingencies and for subsequent events and to such extent as the board of
directors, the auditors or, as the case may be, the liquidator may determine to be appropriate. 

Tax Event has the meaning specified in Section 3.3. 

Undertaking means a corporate body, partnership, limited partnership, cooperative or an incorporated association carrying on a trade or business with or
without a view to profit in which the Company has a direct or indirect financial, commercial or contractual majority interest. 

Winding-Up Claim means amounts in respect of principal or payments in respect of which the conditions of payment pursuant to
Section 2.4(g) are not satisfied on the date upon which the same would otherwise be due and payable by the Company in its winding-up
(faillissement or vereffening na ontbinding) (upon dissolution or otherwise) and on any redemption
pursuant to Article 3. A Winding-Up Claim will not bear interest. 

2.     GENERAL TERMS AND CONDITIONS OF THE CAPITAL SECURITIES  

2.1   Designation and Principal Amount  

The
aggregate principal amount of Capital Securities of any series which may be authenticated and delivered under this Indenture is unlimited. 

2.2   Maturity  

The
Capital Securities are perpetual securities and shall have no fixed maturity or mandatory redemption date provided that the Company shall have the right to redeem the Capital Securities in
accordance with Article 3. 

2.3   Form, Issuance, Registration and Exchange  

The
Capital Securities shall: 

	(a)
	be
issued as Securities in minimum denominations of $25.00 and integral multiples thereof represented by one or more Global Securities, and shall not be exchangeable for definitive
securities except in the limited circumstances as provided in Section 13.1; and

	(b)
	be
issued as Global Securities deposited with or on behalf of DTC or its nominee and registered in the name of Cede & Co., as nominee of DTC; provided, however, (i) such
Global Securities may not be transferred except as a whole by DTC to a nominee or a successor of DTC, unless and until the Capital Securities are exchanged for definitive securities in the limited
instances as provided Section 13.1; (ii) beneficial interests in Global Securities will be shown on, and transfers thereof will be effected only through, the book-entry
records of DTC and its direct or indirect participants; and (iii) so long as DTC, or its nominee, is the holder of the Global Securities, it will be considered the sole holder of the Global
Securities for all purposes under the Indenture. 

2.4   Payments  

	(a)
	Interest
Rate. The Capital Securities shall bear Interest from the Issue Date at a fixed rate per annum on their outstanding principal amount equal to 6.875% (the  Interest Rate). 

6

 

Interest
will be computed and paid on the basis of a 360-day year consisting of 12 months of 30 days each. 

	(b)
	Interest
Payment Dates. Subject to the provisions herein, Interest shall be payable from June 28, 2006 or from the most recent Interest Payment Date to which Interest on such
Capital Security has been paid or duly provided for until the principal amount of the Capital Security is paid or duly made available for payment quarterly in arrears on March 15,
June 15, September 15 and December 15 in each year, commencing on September 15, 2006, each such date an Interest Payment
Date. If any Interest Payment Date or the redemption date of the Capital Securities falls on a day that is not a Business Day, the Company shall make the required payment on
the next succeeding Business Day, and no additional Interest shall accrue in respect of the payment made on that next succeeding Business Day.

	(c)
	Interest
Period. Subject to the conditions contained in the Indenture, the Company shall make Interest Payments in an amount equal to the Interest accrued from (and including) the
immediately preceding Interest Payment Date in respect of which Interest has been paid or from (and including) the date of issue, if no Interest has been paid, to (but excluding) the next succeeding
applicable Interest Payment Date (each, an Interest Period). The Company shall make the Interest Payments through the Paying Agent to the person in
whose name the Capital Security is registered on the Regular Record Date. Each Capital Security shall cease to bear Interest from the due date for redemption, if any, unless, upon due presentation,
payment of principal is improperly withheld or refused. In such event, it shall continue to bear Interest at the Interest Rate as provided herein.

	(d)
	Required
Deferral of Payments Before the Company is Subject to Capital Adequacy Regulations

	(i)
	Except
as required by Section 2.5, if, prior to such date as the Company becomes subject to Capital Adequacy Regulations, on the 20th Business Day prior to the date on which
any payment (not including principal) would otherwise be due and payable, the Company determines that it is not Solvent or that payment of the relevant payment or part thereof would result in it
becoming not Solvent, the Company shall defer such payment or such part thereof, as the case may be, by giving notice to the Trustee and the holders of Capital Securities. Such deferred payment
(together with any required deferral due to a Regulatory Event (as described below)), shall constitute a Mandatorily Deferred Payment and such notice as
well as any similar notice given in the event of a Mandatorily Deferred Payment due to the occurrence of a Regulatory Event or an Optionally Deferred Payment (as described below) shall constitute a  Deferral
Notice. A Deferral Notice shall be given not less than 16 Business Days prior to the payment due date. This required deferral is subject to the
Alternative Interest Satisfaction Mechanism.

	(ii)
	If,
after the Company defers a payment for the reason specified in subparagraph (i) immediately above, the relevant Required Deferral Condition is no longer met on the 20th
Business Day preceding any subsequent Interest Payment Date, then the Company shall satisfy such payment on the relevant Deferred Interest Satisfaction Date by giving notice, not less than 16 Business
Days prior to the Deferred Interest Satisfaction Date, to the Trustee and the holders of Capital Securities that it will satisfy such payment on such date.

	(iii)
	The
Company shall not satisfy such payment on the relevant Deferred Interest Satisfaction Date referred to above, if:

	(A)
	it
has previously elected to satisfy such payment earlier (provided that, at the time of satisfying such payment, the relevant Required Deferral Condition fails to be met) by
delivering a notice to the Trustee and the holders of Capital Securities not less than 16 Business Days prior to the relevant Deferred Interest Satisfaction Date that the Company will satisfy such
payment on such date; or 

7

  

	(B)
	the
Company validly elects to use its right to optionally defer any such payment that would otherwise have been required to be paid on such Deferred Interest Satisfaction Date
pursuant to Section 2.4(f).

	(iv)
	The
Company may only satisfy its obligation to pay a Mandatorily Deferred Payment in accordance with the Alternative Interest Satisfaction Mechanism. A Mandatorily Deferred Payment
shall not accrue interest, except as provided in Article 4.

	(e)
	Required
Deferral of Payments After the Company Becomes Subject to Capital Adequacy Regulations

	(i)
	Except
as required by Section 2.5, if, after such date as the Company becomes subject to Capital Adequacy Regulations, on the 20th Business Day prior to the date on which any
payment (not including principal) would otherwise be due and payable, the Company determines that it is subject to a Regulatory Event or that payment of the relevant payment or part thereof would
result in it becoming subject to a Regulatory Event, the Company shall defer such payment or such part thereof, as the case may be, by giving a Deferral Notice to the Trustee and the holders of
Capital Securities. A Deferral Notice must be given not less than 16 Business Days prior to the payment due date. 

If,
after the Company defers a payment for this reason, the relevant Required Deferral Condition is no longer met on the 20th Business Day preceding any subsequent Interest Payment Date, then it shall
satisfy such payment on the relevant Deferred Interest Satisfaction Date by giving notice, not less than 16 Business Days prior to the Deferred Interest Satisfaction Date, to the Trustee and the
holders of Capital Securities that it will satisfy such payment on such date. 

	(ii)
	The
Company shall not satisfy such payment on the relevant Deferred Interest Satisfaction Date referred to above, if:

	(A)
	the
Company has previously elected to satisfy such payment earlier (provided that, at the time of satisfying such payment, the relevant Required Deferral Condition fails to be met) by
delivering a notice to the Trustee and the holders of Capital Securities not less than 16 Business Days prior to the relevant Deferred Interest Satisfaction Date that it will satisfy such payment on
such date; or

	(B)
	the
Company validly elects to use its right to optionally defer any such payment that would otherwise have been required to be paid on such Deferred Interest Satisfaction Date
pursuant to Section 2.4(h).

	(iii)
	The
Company may only satisfy its obligations to pay a Mandatorily Deferred Payment in accordance with the Alternative Interest Satisfaction Mechanism. A Mandatorily Deferred Payment
shall not accrue interest, except as provided in Article 4.

	(f)
	Optionally
Deferred Payment

	(i)
	Subject
to the conditions contained in Section 2.5 below, the Company may at any time in its sole discretion and for any reason defer all or part of any Payment that would in
the absence of deferral be due and payable by giving a Deferral Notice to the Trustee and the holders of Capital Securities not less than 16 Business Days prior to the relevant due date. The Company
shall then, subject to the absence of a Required Deferral Condition, satisfy any such Optionally Deferred Payment at any time by means of an issuance of Common Shares in accordance with the
Alternative Interest Satisfaction Mechanism, upon delivery of a notice to the Trustee and the holders of Capital Securities, not less than 16 Business Days prior to the relevant Deferred Interest
Satisfaction Date, informing 

8

 

them
of the Company's election to so satisfy such payment and specifying the relevant Deferred Interest Satisfaction Date. 

	(ii)
	Optionally
Deferred Payments will bear interest at the Interest Rate from (and including) the date on which, but for such deferral, the Optionally Deferred Payment would otherwise
have been due to be made to (but excluding) the relevant Deferred Interest Satisfaction Date.

	(g)
	Conditions
of Payment

	(i)
	Before
the Company becomes subject to Capital Adequacy Regulations, any Payment relating to the Capital Securities (or use of the proceeds of the issue of Common Shares in accordance
with the Alternative Interest Satisfaction Mechanism described herein) shall be made only if the Company is Solvent at the time of payment (or at the time of using the proceeds of the issue of such
Common Shares). The Company shall make no Payment relating to the Capital Securities (nor use any proceeds of the issue of Common Shares in accordance with the Alternative Interest Satisfaction
Mechanism) unless the Company would still be Solvent immediately after such Payment (or use of the proceeds of such Common Shares). The Company's redemption or purchase of the Capital Securities
constitutes a payment that is subject to this condition.

	(ii)
	After
the Company becomes subject to Capital Adequacy Regulations, any Payment relating to the Capital Securities (or use of the proceeds of the issue of Common Shares in accordance
with the Alternative Interest Satisfaction Mechanism) shall be made only if the Company is not subject to a Regulatory Event at the time of payment (or at the time of using the proceeds of the issue
of such Common Shares). The Company shall make no Payment relating to the Capital Securities (nor use any proceeds of the issue of Common Shares in accordance with the Alternative Interest
Satisfaction Mechanism) unless it is not subject to a Regulatory Event and could make the Payment (or use of the proceeds of such Common Shares) and still not be subject to a Regulatory Event
thereafter. The Company's redemption or purchase of the Capital Securities constitutes a payment that is subject to this condition.

	(iii)
	Winding-Up
Claim 

A
Winding-Up Claim shall be payable by the Company in its winding-up (faillissement or vereffening na
ontbinding) as provided in Section 10.1. 

	(iv)
	Set-Off

By
purchasing Capital Securities, the holders of Capital Securities and the Trustee will be deemed to have waived any right of set off, counterclaim or combination of accounts with respect to the
Capital Securities or the Indenture (or between the Company's obligations regarding the Capital Securities and any liability owed by a holder or the Trustee to the Company) that the holders of Capital
Securities or the Trustee might otherwise have against the Company. Each holder will, by virtue of holding any Capital Security, be deemed to have waived all such rights of set-off. 

	(h)
	Deferral
Notice 

The
Company shall give a Deferral Notice in the case of a Required Deferral Condition and may give a Deferral Notice, in its sole discretion and for any reason, in the case of an Optionally Deferred
Payment, except that any such Deferral Notice as to a payment required to be paid pursuant to a Mandatory Payment Event or Mandatory Partial Payment Event pursuant to Section 2.5(a) below shall
have no force or effect. 

9

 

2.5   Mandatory Payment Events; Mandatory Partial Payment Events  

The
Company shall make payments on the Capital Securities in the following circumstances: 

	(a)
	If
a Mandatory Payment Event or Mandatory Partial Payment Event occurs then all Mandatorily Deferred Payments and Optionally Deferred Payments shall become mandatorily due and payable
in full on the date of the event, notwithstanding any further Deferral Notice or an occurrence or continuance of a Required Deferral Condition. Notwithstanding any provision to the contrary herein,
the Company shall only satisfy its obligations to pay such Mandatorily Deferred Payments and Optionally Deferred Payments in accordance with the provisions of the Alternative Interest Satisfaction
Mechanism. The Company shall promptly notify the Trustee of the occurrence of any Mandatory Payment Event or Mandatory Partial Payment Event.

	(b)
	If
a Mandatory Payment Event occurs, then the Interest Payments payable on the next four consecutive Interest Payment Dates, the next two consecutive Interest Payment Dates or the
next Interest Payment Date, as the case may be, following the Mandatory Payment Event, depending on whether the Junior Security, the Parity Security or the security benefiting from a Junior Guarantee
or a Parity Guarantee pays dividends or income distributions on an annual basis, a semi-annual basis or a quarterly basis, as the case may be, shall be mandatorily due and payable in full
on the relevant Interest Payment Dates. The Company may, but shall not be required to, satisfy its obligation to make the Interest Payment payable on such Interest Payment Date in accordance with the
Alternative Interest Satisfaction Mechanism. 

A  Mandatory Payment Event occurs if: 

	(i)
	the
Company declares, pays or distributes a dividend or makes a payment (other than a dividend in the form of Common Shares) on any of its Junior Securities or makes a payment on a
Junior Guarantee;

	(ii)
	any
of the Company's subsidiaries or Undertakings, declares, pays or distributes a dividend on any security issued by it benefiting from a Junior Guarantee or makes a payment (other
than a dividend in the form of Common Shares) on any security issued by it benefiting from a Junior Guarantee;

	(iii)
	the
Company or any of its subsidiaries or Undertakings redeems, purchases or otherwise acquires for any consideration any of the Company's Junior Securities, Parity Securities or
securities issued by any of its subsidiaries or Undertakings benefiting from a Junior Guarantee or Parity Guarantee, other than:

	(A)
	by
conversion into or in exchange for its Common Shares;

	(B)
	in
connection with transactions effected by or for the account of its customers or customers of any of its subsidiaries or in connection with the distribution, trading or market
making activities in respect of those securities;

	(C)
	in
connection with its satisfaction of the Company's, or the satisfaction by any subsidiary of the Company of its, obligations under any of the Company's or any subsidiary of the
Company's employee benefit plans or similar arrangements with or for the benefit of employees, officers, directors or consultants of the Company or any of its subsidiaries;

	(D)
	as
a result of a reclassification of the Company or any of its subsidiaries or the exchange or conversion of one class or series of capital stock for another class or series of
capital stock; or 

10

 

	(E)
	the
purchase of fractional interests in shares of the Company's capital stock or the capital stock of any of its subsidiaries pursuant to the conversion or exchange provisions of that
capital stock (or the security being converted or exchanged); or

	(iv)
	any
moneys are paid to or made available for a sinking fund or for redemption of any Junior Securities, Parity Securities or any securities issued by any of its subsidiaries or
Undertakings benefiting from a Junior Guarantee or Parity Guarantee; 

except
in the cases described in (i) through (iv) above where it concerns a payment, purchase or redemption that the Company is obliged to make pursuant to its Articles of Association as
they read prior to the relevant deferral or equity swap, forward, repo or equity derivative transactions it concludes prior to the relevant deferral. 

	(c)
	If
a Mandatory Partial Payment Event occurs, then Mandatory Partial Payments shall be mandatorily due and payable in respect of each Capital Security. Such Mandatory Partial Payments
will be payable on the next four consecutive Interest Payment Dates, the next two consecutive Interest Payment Dates or the next Interest Payment Date, as the case may be, after the occurrence of such
Mandatory Partial Payment Event, depending on whether the Parity Securities pay dividends or income distributions on an annual basis, a semi-annual basis or a quarterly basis, as the case
may be. The Company may, but will not be required to, satisfy its obligation to pay any Mandatory Partial Payments in accordance with the Alternative Interest Satisfaction Mechanism. 

A
Mandatory Partial Payment Event occurs if: 

	(i)
	the
Company declares, pays or distributes a dividend or makes a payment on any of its Parity Securities or makes any payment on any of its Parity Guarantees (except where it concerns
a payment, purchase or redemption that the Company is obliged to make pursuant to its Articles of Association as they read prior to the relevant deferral or equity swap, forward, repo or equity
derivative transactions concluded by the Company prior to the relevant deferral); or

	(ii)
	any
of its subsidiaries or Undertakings declares, pays or distributes a dividend on any security issued by it benefiting from a Parity Guarantee or makes a payment on any security
issued by it benefiting from a Parity Guarantee. 

3.     REDEMPTION AND PURCHASES  

3.1   General  

Any
redemption made in accordance with this Article 3 shall be made in accordance with Section 1102 and Sections 1104 through Section 1106 of the Base Indenture. 

3.2   Optional Redemption  

Subject
to Section 2.4(g), the Company may redeem the Capital Securities in whole (but not in part) at its option, on September 15, 2011, or on any Interest Payment Date thereafter at
their aggregate principal amount together with Outstanding Payments due through the date of redemption, together
the Base Redemption Price. The Capital Securities are not redeemable at the option of the holder of a Capital Security at any time. 

3.3   Redemption for Tax Reasons  

	(a)
	The
Company may, by giving notice of redemption, redeem in whole (but not in part) the Capital Securities at their Base Redemption Price if a Tax Event occurs. A  Tax Event will 

11

 

occur
if the Company determines that immediately prior to the giving of the notice referred to below, on the next Interest Payment Date any of the following would occur or be occurring. 

	(i)
	The
Company would, for reasons outside its control, be unable to make such payment without being required to pay Additional Amounts and the Company cannot avoid the requirement or
circumstance by taking measures as it (acting in good faith) deems appropriate.

	(ii)
	Payments
of amounts in respect of interest on the Capital Securities, including, for the avoidance of doubt, the issue of Common Shares pursuant to the Alternative Interest
Satisfaction Mechanism, may be treated as "distributions" within the meaning of Section II of the Dividend Withholding Tax Act 1965 (Wet op de
dividendbelasting 1965; or such other provision as may from time to time supersede or replace Section II of the Dividend Withholding Tax Act 1965 for the purposes of
such definition) and the Company cannot avoid the requirement or circumstance by taking such measures as it (acting in good faith) deems appropriate.

	(iii)
	As
a result of any proposed change or amendment to the laws of the Netherlands, or any proposed change in the application of official or generally published interpretation of such
laws, or any interpretation or pronouncement by any relevant tax authority that provides for a position with respect to such law or regulations that differs from the previously generally accepted
position in relation to similar transactions or which differs from any specific written confirmation given by a tax authority in respect of the Capital Securities, which change or amendment becomes,
or would become, effective, or in the case of a change or proposed change in law if such change is enacted (or, in the case of a proposed change, is expected to be enacted) by Act of Parliament or
made by Statutory Instrument on or after June 21, 2006, there is more than an insubstantial risk that the Company will not obtain substantially full relief for the purposes of Dutch corporation
tax for any payment of interest including, for the avoidance of doubt, where the payment of interest is to be satisfied by the issue of Common Shares pursuant to the Alternative Interest Satisfaction
Mechanism and it cannot avoid this risk by taking such measures as it (acting in good faith) deems appropriate.

	(b)
	Upon
the occurrence of a Tax Event, the Company is required, before it gives a notice of redemption in accordance with Section 3.5, to deliver to the Trustee a written legal
opinion of independent Netherlands counsel of recognized standing, selected by the Company, in a form satisfactory to the Trustee confirming that such Tax Event has occurred. The Trustee will accept
such opinion as sufficient evidence of the conditions set out above, in which event it will be conclusive and binding on the holders of Capital Securities. 

3.4   Redemption or Conversion for Regulatory Reasons  

If,
at any time after the Company becomes subject to Capital Adequacy Regulations, the relevant regulator has determined that securities of the nature of the Capital Securities cannot qualify as "own
funds" or "core capital" (Tier 1 capital or equivalent) for the purposes of determination of such Capital Adequacy Regulations, then: 

	(a)
	the
Company may at any time, by giving notice of redemption, redeem in whole (but not in part) the Capital Securities at their Base Redemption Price; or

	(b)
	subject
to compliance with applicable regulatory requirements, the Company may at any time convert or exchange the Capital Securities in whole (but not in part) to another series of
its capital securities having materially the same terms as the Capital Securities and which are no less favorable to the holders than the current terms of the Capital Securities. Any conversion 

12

 

of
the Capital Securities into another series of capital securities as described herein will be made on not less than 30 nor more than 60 days' notice before the applicable conversion date to
the holders of the Capital Securities and the Trustee. The Company is permitted to satisfy its obligation to pay any Mandatorily Deferred Payment or Optionally Deferred Payment due upon conversion
only in accordance with the Alternative Interest Satisfaction Mechanism pursuant to Article 4. 

3.5   Notice of Redemption  

Before
the Company may redeem the Capital Securities, it must give not less than 30 nor more than 60 days' notice before the applicable redemption date to the Trustee and holders thereof. Any
notice of redemption is irrevocable and must be given in accordance with Sections 1102 and 1104 of the Base Indenture. If the redemption price in respect of the Capital Securities is improperly
withheld or refused and is not paid by the Company, interest on the Capital Securities will continue to be payable until the redemption price is actually paid. 

3.6   Purchases  

The
Company may purchase on the open market at any time Capital Securities in any manner and at any price. Purchased Capital Securities may be held, resold or, at its option, cancelled, as provided in
Section 3.7. 

3.7   Cancellation  

Cancellation
of any Capital Securities so redeemed by the Company will be effected by reducing the principal amount of the Global Securities, and any Capital Securities so cancelled may not be
reissued or resold and the Company's obligations in respect of any such cancelled Capital Securities will be discharged. 

4.     ALTERNATIVE INTEREST SATISFACTION MECHANISM  

4.1   General  

The
Company shall satisfy any Mandatorily Deferred Payments and any Optionally Deferred Payments (with any interest accrued thereon, as applicable) using proceeds raised by the  Alternative Interest Satisfaction
Mechanism, described below. In addition, the Company may elect at any time to satisfy its obligation to make any
Payment (other than Deferred Payments and a payment of principal) to holders of Capital Securities by using the Alternative Interest Satisfaction Mechanism. 

4.2   Notice of Exercise of Alternative Interest Satisfaction Mechanism  

If
the Company uses the Alternative Interest Satisfaction Mechanism, it will notify the Trustee not less than 16 Business Days prior to the relevant Interest Payment Date. 

4.3   Issue of Common Shares  

If
the Company satisfies any Payment in accordance with the Alternative Interest Satisfaction Mechanism then, subject to the conditions in Sections 4.5 and 4.6, the following shall occur. 

	(a)
	By
close of business on or before the seventh Business Day prior to the relevant Interest Payment Date or Deferred Interest Satisfaction Date the Company shall have authorized for
issue such number of Common Shares as, in its determination, have a market value (after conversion from euro into U.S. dollars, if applicable) of not less than the relevant Payment to be satisfied. 

13

 

	(b)
	The
Company shall procure purchasers for such Common Shares as soon as possible after the above mentioned authorization for the issue of Common Shares, but not later than the fourth
Business Day prior to the Relevant Date.

	(c)
	If,
after the operation of the above procedures, there would, in the Company's opinion, be a shortfall on the date on which the relevant Payment is due, the Company shall issue
further Common Shares in accordance with the provisions of this Indenture to ensure that a sum at least equal to the relevant Payment is available to make the Payment in full on the relevant due date,
provided that if, despite these efforts, such a shortfall exists on the relevant due date the Company shall continue to issue Common Shares until the Trustee shall have received funds equal to the
full amount of such shortfall. 

4.4   Receipt of Cash Proceeds in Respect of Issue of Common Shares to be Used to Satisfy Payment  

If
the Company elects or if it is required to make a Payment hereunder by using the proceeds of an issue of Common Shares, and, in accordance with its obligations, the Company issues such Common
Shares under this Indenture, the Company shall sell such Common Shares in the market. Subject to Section 2.4(g), the cash proceeds the Company receives on the sale of the Common Shares in the
market will be used to satisfy the relevant Payment or, as the case may be, the relevant part of such Payment. The Company will transfer the cash proceeds (or such amount of cash proceeds as is
necessary (after conversion from euro to U.S. dollars) to make the relevant Payment) to the Paying Agent on the Business Day preceding the relevant payment date for payment by the Paying Agent, on the
relevant payment date, towards the relevant Payments to be satisfied. The Paying Agent shall pay to
the holders of Capital Securities the proceeds of the sale of Common Shares in respect of the relevant Payment. 

4.5   Reservation and Insufficiency of Common Shares  

	(a)
	The
Company shall keep available for issue enough Common Shares as it reasonably considers would be required to satisfy from time to time the next year's scheduled Interest Payments
and any Mandatorily Deferred Payments or Optionally Deferred Payments. No damages will be payable for breach of this covenant but, if the Company breaches this requirement, the Trustee may require
that the Company holds, as soon as practicable, an extraordinary general meeting of its shareholders at which the Company shall seek a resolution to remedy the breach. The Trustee is not obligated to
monitor the Company's compliance with this Section 4.5(a) and is entitled to assume, unless a Responsible Officer of the Trustee has actual knowledge to the contrary, that the Company is
complying with its obligations under this Section 4.5(a).

	(b)
	

	(i)
	If
the Company is to satisfy a Payment pursuant to the Alternative Interest Satisfaction Mechanism and it does not, on the date when the number of Common Shares required to be issued
is determined, have a sufficient number of Common Shares available for issue, then it shall promptly notify the Trustee and the holders of Capital Securities that all or part, as the case may be, of
the relevant Payment cannot be so satisfied due to the insufficient number of authorized Common Shares.

	(ii)
	Upon
the occurrence of the circumstances contemplated in Section 4.5(b)(i), the Payment or part thereof shall be satisfied following the date of the next annual general
meeting or extraordinary general meeting of the Company's shareholders at which a resolution is passed making a sufficient number of Common Shares available to satisfy all or such part of the relevant
Payment. 

14

 

	(iii)
	However,
if the number of Common Shares authorized to be issued at any such meeting contemplated by Section 4.5(b)(ii) is insufficient to satisfy all or such part of
the relevant Payment then the Company will apply the proceeds of those Common Shares so issued in partial satisfaction of all or such part of the relevant Payment.

	(c)
	Following
the passage of any such resolution, the Company shall notify the Trustee and the holders of the Capital Securities of the date upon which the relevant Payment or, as the
case may be, the part thereof is to be made on not less than 16 Business Days' notice and the Trustee shall provide notice to the Company of the amount of Accrued Interest Payments, if any, payable in
connection with such Payment.

	(d)
	The
relevant Payment or part thereof that is not so satisfied will, unless it is a Mandatorily Deferred Payment that had been deferred as provided in Sections 2.4(d) or 2.4(e) and has
not subsequently been satisfied or deferred in accordance with an optional deferral as provided in Section 2.4(f), continue to accrue interest from (and including) the date on which Payment
would otherwise have been due to (but excluding) the date on which such Payment or part thereof is satisfied or, in the event of a Market Disruption Event, the date on which such Payment or part
thereof would, but for the occurrence of such Market Disruption Event, have been satisfied (from which date interest (if any) will accrue on such Payment in accordance with Section 4.6) at the
Interest Rate.

	(e)
	If,
in the case of an insufficiency of Common Shares, the Company does not hold an annual general meeting within six months of giving the notice set forth in Section 4.5(b)(i),
at which a resolution to make a sufficient number of Common Shares so available is proposed, the Trustee will by notice require the Company to convene an extraordinary general meeting at which such a
resolution will be proposed, on a date falling within 10 weeks of such notice from the Trustee.

	(f)
	In
the event that any such resolution proposed at any such annual general meeting or extraordinary general meeting is rejected, such resolution will be proposed at each annual general
meeting or any extraordinary general meeting thereafter until such time as such resolution has been passed by the Company's shareholders. 

4.6   Market Disruption  

	(a)
	Notwithstanding
the provisions of Section 4.3, if, in the Company's opinion, a Market Disruption Event exists on or after the 15th Business Day preceding any date upon which a
payment or part thereof is due to be made or satisfied using the Alternative Interest Satisfaction Mechanism, then the Company may give notice to the Trustee and the holders of Capital Securities as
soon as possible after the Market Disruption Event has arisen or occurred, whereupon the relevant payment will be deferred until such time as, in the Company's opinion, the Market Disruption Event no
longer exists.

	(b)
	Any
such deferred payment or part thereof will be satisfied as soon as practicable after the Market Disruption Event no longer exists. The Company shall notify the Trustee of the date
on which such deferred Payment or part thereof will be satisfied and the Trustee shall provide notice to the Company of the amount of any Accrued Interest Payments, if any, payable in connection with
such deferred payment. The Company shall then notify the Paying Agent and the holders of the Capital Securities in accordance with Section 106 of the Base Indenture of the date on which such
deferred payment or part thereof will be satisfied and the amount of any Accrued Interest Payments, if any, payable in connection with such deferred payment.

	(c)
	Except
as provided in the next sentence, interest will not accrue on such deferred payment or part thereof, however, during a Market Disruption Event. If the Company does not make the 

15

 

relevant
payment or part thereof for a period of 14 days or more after its due date, even if the Market Disruption Event is continuing, interest will accrue on such deferred payment or part
thereof from (and including) the date on which the relevant payment or part thereof was due to be made to (but excluding) the date on which such payment or part thereof is made. Any such interest
shall accrue at the Interest Rate and shall be satisfied only in accordance with the Alternative Interest Satisfaction Mechanism pursuant to this Article 4 and as soon as reasonably practicable
after the relevant deferred payment is made. No liability will attach to the Trustee or its agents if, as a result of a Market Disruption Event or any other event outside the control of the Trustee or
any such agent, the Trustee or any such agent is unable to comply with its duties in connection with any payment made pursuant to the Alternative Interest Satisfaction Mechanism. 

4.7   Certification to Trustee  

The
Company shall certify to the Trustee that the proceeds used to make any Mandatorily Deferred Payments or Optionally Deferred Payments have been funded through the issue of Common Shares
that will provide the cash amount due in respect of the Mandatorily Deferred Payments or Optionally Deferred Payments. 

5.     REMEDIES  

5.1   Defaults; Collection of Indebtedness and Suits for Enforcement by Trustee  

	(a)
	Payment Default, whenever used herein with respect to the Capital Securities, means solely the following event (regardless of the
reason for the Payment Default and whether it is voluntary, involuntary or is effected by operation of law pursuant to any judgment, decree or order of any court or any order, rule or regulation of
any administrative or governmental body): 

the
Company fails to pay or set aside for payment the amount due to satisfy any payment on the Capital Securities when due, and such failure continues for 14 days; provided that a Payment Event
shall not constitute a Payment Default. 

	(b)
	If
a Payment Default occurs and is continuing with respect to the Capital Securities, the Trustee may pursue all legal remedies available to it including judicial proceedings in the
Netherlands (but not elsewhere) for the collection of the sums due and unpaid or its winding-up (faillissement or  vereffening na ontbinding), but the
Trustee may not declare the principal amount of any outstanding Capital Security to be due and payable.

	(c)
	A  Payment Event (and not a Payment Default) shall occur if at the end of the 14-day period set forth in
Section 5.1(a) the Company fails to make such payment as a result of the existence of a Required Deferral Condition. 

If
a Payment Event occurs and is continuing, the Trustee may institute winding-up proceedings (faillissement or  vereffening na ontbinding) exclusively in the
Netherlands, but may not pursue any other legal remedy, including a judicial proceeding for the collection
of the sums due and unpaid. 

	(d)
	In
the case of a Mandatory Payment Event or Mandatory Partial Payment Event, requiring payment of Interest on a succeeding Interest Payment Date, if the Company fails to make such
mandatory payment of Interest as a result of:

	(i)
	the
existence of a Required Deferral Condition; or

	(ii)
	a
deferral of an Interest Payment as permitted under the terms of the Indenture, 

16

  

the
relevant Interest Payment due on the Capital Securities shall constitute an Outstanding Payment and will accumulate with any other Outstanding Payments until paid and will constitute neither a
Payment Default nor a Payment Event. 

	(e)
	Subject
to the provisions of this Section 5.1, and without prejudice to Sections 504 and 505 of the Base Indenture, the Trustee may at its discretion and without further notice
institute such proceedings against the Company as it may think fit to enforce any term or condition binding on the Company under the Indenture, the Capital Securities (other than for the payment of
any principal or satisfaction of any Payments in respect of the Capital Securities); provided that the Company will not by virtue of the institution of any such proceedings be obliged to pay any sum
or sums, in cash or otherwise, sooner than it would otherwise have been obligated to pay.

	(f)
	The
Trustee shall not be bound to take any of the foregoing actions against the Company to enforce the terms of this Indenture or the Capital Securities unless (i) it will have
been so requested by an extraordinary resolution or in writing by the holders of at least 25% in principal amount of the Capital Securities then outstanding and (ii) it will have been offered
reasonable security or indemnity satisfactory to it against the costs, expenses and liabilities which might be incurred by it in compliance with such request.

	(g)
	Notwithstanding
the foregoing, holders of the Capital Securities have the absolute and unconditional right to institute suit for the enforcement of any payment when due in accordance
with Section 508 of the Base Indenture and such right may not be impaired without the consent of the holder.

	(h)
	Without
prejudice to Sections 504 and 505 of the Base Indenture, the Trustee is and shall be fully authorized by each and any holder of record of a Capital Security to commence
winding-up proceedings (faillissement or vereffening na ontbinding) in the Netherlands.

	(i)
	Notwithstanding
the foregoing, the right to institute winding-up proceedings (faillissement or  vereffening na ontbinding) is limited to circumstances where payment has
become due.

	(j)
	Sections
501, 502 and 503 of the Base Indenture shall not apply with respect to the Capital Securities. 

6.     SUBORDINATION  

6.1   Agreement to Subordinate  

The
Company covenants and agrees, and each holder of Capital Securities issued hereunder, by such holder's acceptance thereof, likewise covenants and agrees, that the Capital Securities issued
hereunder (i)(A) shall rank pari passu with respect to each other, (B) shall be similarly subordinated as, and accordingly rank  pari passu with, the
Existing Capital Securities and (C) shall rank pari passu with other Parity
Securities, Parity Guarantees and other debt obligations expressed to be similarly subordinated as and, accordingly, ranking pari passu with, the
Capital Securities, such other Parity Guarantees and Parity Securities, (ii) are and shall be subordinated (achtergesteld), and accordingly be
subject in right of payment to prior payment in full upon liquidation, moratorium of payments or bankruptcy of the Company, to the claims of Senior Creditors, present and future, and
(iii) shall rank in priority to any Junior Securities and Junior Guarantees. 

6.2   Section 1401 of the Base Indenture  

With
respect to the Capital Securities, the provisions of Section 6.1 replace in their entirety Section 1402 of the Base Indenture. In addition, with respect to the Capital Securities, 

17

 

Section 1402
through Section 1416 of Article Fourteen of the Base Indenture is hereby amended by replacing the term "Senior Debt" as used in such sections with the term "Senior Debt" as
defined in this Fifth Supplemental Indenture. 

7.     COVENANTS OF THE COMPANY  

7.1   Mandatory Interest Payments  

Subject
to the existence of a Required Deferral Condition, the Company agrees that it will not defer any payment required to be paid as a result of a Mandatory Payment Event or Mandatory Partial
Payment Event (as contemplated by Section 2.5(a) only) on the Capital Securities. 

7.2   Sufficiency of Shares  

	(a)
	The
Company agrees to keep available for issue enough Common Shares as it reasonably considers would be required to satisfy from time to time the next year's scheduled Interest
Payments and any Mandatorily Deferred Payments or Optionally Deferred Payments. No damages will be payable for breach of this covenant but, if the Company breaches this requirement, the Trustee may
require that the Company holds, as soon as practicable, an extraordinary general meeting of its shareholders at which the Company shall seek a resolution to remedy the breach.

	(b)
	The
Trustee is not obligated to monitor the Company's compliance with Section 7.2(a) and is entitled to assume, unless a Responsible Officer of the Trustee has actual knowledge
to the contrary, that the Company is complying with its obligations under Section 7.2(a). 

7.3   Payment of Proceeds from Sale of Common Shares in Connection with the Alternative Interest Satisfaction Mechanism  

The
Company agrees that immediately on receipt of the proceeds of the sale of Common Shares in connection with the Alternative Interest Satisfaction Mechanism, it shall pay proceeds from the sale of
such Common Shares to the Paying Agent, either in Euros or converted into U.S. dollars, in such amount as shall enable the Paying Agent to make the relevant Payment in full on the relevant Interest
Payment Date or Deferred Interest Satisfaction Date. 

7.4   Listing  

The
Company will use reasonable efforts to maintain the listing of the Capital Securities on the stock exchange on which they were listed on or about the Issue Date or, if it is unable to do so having
used such efforts or if the maintenance of any such listing is agreed by the Trustee to be unduly burdensome, use all reasonable efforts to obtain and maintain a quotation or listing of Capital
Securities on such other stock exchange or exchanges or securities market or markets as the Company may (with the prior written approval of the Trustee) decide so that the Capital Securities are
listed on at least one stock exchange or securities market. 

7.5   Officer's Certificate on Deferral  

If
the Company elects or is obliged to defer any Payment in accordance with Section 2.4, it shall deliver to the Trustee, no later than the sixteenth Business Day prior to the relevant Interest
Payment Date, an Officer's Certificate, certifying that the Required Deferral Condition was met on the 20th Business Day prior to the relevant Interest Payment Date and if the Company shall elect to
satisfy a deferred Interest Payment on an earlier date than the Interest Payment Date following that on which the Required Deferral Condition fails to be met, deliver to the Trustee not later than the
sixteenth Business Day prior to making such payment an Officer's Certificate certifying 

18

 

that
the Required Deferral Condition was no longer, on a date no more than 16 Business Days prior to the delivery of such certificate, met. 

7.6   Officer's Certificate on Market Disruption Event  

If,
in the opinion of the Company, there exists a Market Disruption Event as a consequence of which a Payment may be deferred under Section 4.6, it shall deliver to the Trustee within two
Business Days of such Market Disruption Event having arisen or the Company having become aware of the same, an Officer's Certificate specifying the details of such Market Disruption Event. 

8.     FORM OF CAPITAL SECURITIES  

8.1   Form of Capital Securities  

The
Capital Securities shall be substantially in the form of Schedule 1 hereto. Schedule 1 hereto is hereby incorporated into and expressly made a part of this Fifth Supplemental
Indenture. 

9.     ORIGINAL ISSUE OF CAPITAL SECURITIES  

9.1   Original Issue of Capital Securities  

Capital
Securities in the initial aggregate principal amount of up to $500,000,000 may, upon execution of this Fifth Supplemental Indenture, be executed by the Company and delivered to the Trustee for
authentication, and the Trustee shall thereupon authenticate and deliver such Capital Securities to or upon the written order of the Company, in accordance with Section 303 of the Base
Indenture. 

There
is no limit on the amount of Capital Securities which may be issued subsequent to this Fifth Supplemental Indenture. 

10.   WINDING UP  

10.1 Winding Up  

If
at any time an order is made, or an effective resolution is passed, for the Company's winding-up (faillissement or  vereffening na ontbinding) (except in
any such case a solvent winding-up solely for the purpose of a reconstruction, amalgamation or the
substitution of a successor in business, the terms of which reconstruction, amalgamation or substitution have previously been approved in writing by the Trustee or by an extraordinary resolution of
the Company's shareholders), the Company will pay the holders of the Capital Securities in respect of each Capital Security (in lieu of any other payment by the Company) a winding-up
amount. The Capital Securities will rank on the Company's winding-up (faillissement or vereffening na
ontbinding) in priority to distributions on Junior Securities, Junior Guarantees and all classes of the Company's share capital and will rank equally with each other and among
themselves and will rank equally with any Parity Securities and Parity Guarantees, including the Company's Existing Capital Securities, then outstanding, but will be subordinated in right of payment
to the prior payment in full of the claims of the Company's Senior Creditors, present and future. 

11.   SATISFACTION AND DISCHARGE  

11.1 Satisfaction and Discharge  

The
Company covenants and agrees, and each holder of Capital Securities issued hereunder, by such holder's acceptance thereof, likewise covenants and agrees, that all Capital Securities shall be
issued as Securities subject to the provisions of Article 4 of the Base Indenture. 

19

 

12.   TAXATION; ADDITIONAL AMOUNTS  

12.1 General  

Any
amounts to be paid by the Company on the Capital Securities (including principal, Interest Amounts, Mandatorily Deferred Payments or Optionally Deferred Payments, Mandatory Partial Payments,
Accrued Interest Payments and Winding-Up Claims) shall be made without withholding of or deduction for any present or future taxes, duties, assessments or other charges imposed by the
government of the Netherlands or the government of a jurisdiction in which a successor to the Company is organized, unless the withholding or deduction of such taxes, duties, assessments or charges is
required by law. In that event, the Company will pay such additional amounts (Additional Amounts), as may be necessary in order that the net amounts
received by holders of Capital Securities after such withholding or deduction equal the respective amounts of principal and interest which would have been received in respect of the Capital Securities
in the absence of such withholding or deduction, except that no such Additional Amounts shall be payable in relation to any payment with respect to any Capital Security: 

	(a)
	to,
or to a third party on behalf of, a holder who is liable to such taxes, duties, assessments or governmental charges in respect of such Capital Security by reason of such holder
having some connection with the Netherlands other than the mere holding of such Capital Security; or

	(b)
	to,
or to a third party on behalf of, a holder, if such withholding or deduction may be avoided by complying with any statutory requirement or by making a declaration of
non-residence or other similar claim for exemption to the relevant tax authority; or

	(c)
	to,
or to a third party on behalf of, a holder, that is a partnership, or a holder, that is not the sole beneficial owner of the Capital Security or which holds the Capital Security
in a fiduciary capacity, to the extent that any of the members of the partnership, the beneficial owner or the settler or beneficiary with respect to the fiduciary would not have been entitled to the
payment of an Additional Amount had each of the members of the partnership, the beneficial owner, settler or beneficiary, as the case may be, received directly his beneficial or distributive share of
the payment; or

	(d)
	presented
for payment (where presentation is required) more than 30 days after the Relevant Date except to the extent that the holder would have been entitled to such
Additional Amounts on presenting the same for payment on the last day of such period of 30 days; or

	(e)
	where
such withholding or deduction is imposed on a payment to an individual and is required to be made pursuant to the European Union Council Directive of June 3, 2003 on the
taxation of savings income, implementing the conclusions of the ECOFIN Council meeting of November 26-27, 2000 or any law implementing or complying with, or introduced in order to
conform to such Directive, or similar measures adopted by a number of third countries and territories. 

In
the event that any payment is satisfied through the Alternative Interest Satisfaction Mechanism, then any Additional Amounts that are payable must also be satisfied through the issue of Common
Shares. 

References
herein to principal, Interest Amounts, Mandatorily Deferred Payments, Optionally Deferred Payments, Mandatory Partial Payments and/or Accrued Interest Payments shall be deemed to include
any Additional Amounts that may be payable, if applicable. 

20

 

12.2 Section 1006 of the Base Indenture  

The
provisions of Section 1006 of the Base Indenture are hereby replaced by Section 12.1 hereof and shall not apply with respect to the Capital Securities. 

13.   MISCELLANEOUS  

13.1 Issuance of Definitive Securities  

	(a)
	So
long as DTC holds the Global Securities, the Global Securities will not be exchangeable for definitive Securities unless: (i) DTC notifies the Trustee that it is unwilling
or unable to continue to hold the book-entry Capital Securities or DTC ceases to be a clearing agency registered under the Exchange Act and the Trustee does not appoint a successor to DTC
which is registered under the Exchange Act within 120 days; (ii) a Payment Default has occurred and is continuing; (iii) a Payment Event has occurred; (iv) in the event of
the Company's winding up (faillissement or vereffening na ontbinding) it fails to make a payment on the
Capital Securities when due; or (v) at any time following a determination by the Company in its sole discretion that the Global Securities representing the Capital Securities should be
exchanged for definitive Capital Securities in registered form.

	(b)
	Each
person having an ownership or other interest in the Capital Securities must rely exclusively on the rules and procedures of DTC or any participant therein, as the case may be,
and any agreement with any participant of DTC or any participant therein, as the case may be, or any other securities intermediary through which that person holds its interest to receive or direct the
delivery of possession of any definitive security.

	(c)
	Any
definitive Capital Securities will be issued in registered form only in denominations of $25.00 and any integral multiples thereof and shall be substantially in the form of the
Global Security included as Exhibit 1 hereto with such insertions, omissions, substitutions and other variations as appropriate for definitive securities as evidenced by the execution of such
securities. To the extent permitted by law, the Company and the Trustee are entitled to treat the person in whose name any definitive Capital Security is registered as its absolute owner.

	(d)
	Payments
in respect of definitive Capital Securities will be made to the person in whose name the definitive Capital Securities are registered as it appears in the register. Payments
will be made in respect of the Capital Securities by check drawn on a bank in New York or, if the holder requests, by transfer to the holder's account in New York. Definitive Capital Securities must
be presented to the Paying Agent for redemption.

	(e)
	If
the Company issues definitive Capital Securities in exchange for Global Securities, DTC, as holder of the Global Securities, will surrender it against receipt of the definitive
Capital Securities, cancel the book-entry securities of that series and distribute the definitive Capital Securities of that series to the person in the amounts that DTC specifies.

	(f)
	If
definitive Capital Securities are issued in the limited circumstances as set forth above, such Capital Securities may be transferred in whole or in part in denominations of any
whole number of Capital Securities upon surrender of the definitive Capital Securities certificates together with the form of transfer endorsed on it, duly completed and executed at the specified
office of the Trustee. If only part of a Capital Securities certificate is transferred, a new Capital Securities certificate representing the balance not transferred will be issued to the transferor. 

21

 

13.2 Ratification of Base Indenture; Fifth Supplemental Indenture Controls  

The
Base Indenture, as supplemented by this Fifth Supplemental Indenture, is in all respects ratified and confirmed. This Fifth Supplemental Indenture shall be deemed part of the Base Indenture in the
manner and to the extent herein and therein provided. The provisions of this Fifth Supplemental Indenture shall supersede the provisions of the Base Indenture to the extent the Base Indenture is
inconsistent herewith with respect to the Capital Securities and any other Capital Securities issued hereunder. 

13.3 Trustee Not Responsible for Recitals  

The
recitals contained herein are made by the Company and not by the Trustee, and the Trustee assumes no responsibility for the accuracy thereof. The Trustee makes no representation as to the validity
or sufficiency of this Fifth Supplemental Indenture or the Capital Securities. The Trustee shall not be accountable for the use or application by the Company of the Capital Securities or the proceeds
thereof. 

13.4 Governing Law  

This
Fifth Supplemental Indenture and each Capital Security shall be governed by and construed in accordance with the laws of the State of New York, except for Article 6 and Article 10,
to the extent it relates to subordination, which shall be governed by and construed in accordance with the laws of the Netherlands. 

13.5 Severability  

If
any provision in the Indenture or in the Capital Securities is determined 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. 

13.6 Counterparts  

The
parties may sign any number of copies of this Fifth Supplemental Indenture. Each signed copy shall be an original, but all of them together represent the same agreement. Any signed copy shall be
sufficient proof of this Fifth Supplemental Indenture. 

22

 

IN WITNESS WHEREOF, the parties hereto have caused this Fifth Supplemental Indenture to be duly executed as of the day and year first above written. 

	 	 	AEGON N.V.

        as Issuer
	

 	
 	

By:	

	 	 	 	Name:	 
	 	 	 	Title:	 
	

 	
 	
CITIBANK N.A., as Trustee and

        Paying Agent
	

 	
 	

By:	

	 	 	 	Name:	 
	 	 	 	Title:	 

23

  

 
 

SCHEDULE 1
  
    FORM OF 6.875% PERPETUAL CAPITAL SECURITIES    
    

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 MAY NOT BE EXCHANGED IN
WHOLE OR IN PART FOR A SECURITY REGISTERED, AND NO TRANSFER OF THIS SECURITY IN WHOLE OR IN PART MAY BE REGISTERED, IN THE NAME OF ANY PERSON OTHER THAN SUCH DEPOSITARY OR A NOMINEE THEREOF, EXCEPT IN
THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE. 

The
rights of the holders of the Capital Securities are, to the extent and in the manner set forth in Section 1402 of the Base Indenture and Article 6 of the Fifth Supplemental
Indenture, subordinated to Senior Debt, and this Security is issued subject to the provisions of Article 14 of the Base Indenture and Article 6 of the Fifth Supplemental Indenture, and
the holder of this Security, by accepting the same, agrees to and shall be bound by such provisions. The terms of this paragraph are governed by, and shall be construed in accordance with, the laws of
the Netherlands. 

 
 

AEGON N.V.
  
    6.875% Perpetual Capital Securities    
    

	

No. 1	
 	

 
	CUSIP No.:	 	N00927 30 6
	ISIN No.:	 	NL0000686368
	COMMON CODE:	 	025956435

AEGON
N.V., a corporation duly organized and existing under the laws of the Netherlands (herein called the Company, which term includes any successor
Person under the Indenture hereinafter referred to), for value received, hereby promises to pay to CEDE & Co., or registered assigns, the principal sum of FIVE HUNDRED MILLION U.S. DOLLARS
($500,000,000) (but only at such times as set forth in the Indenture with respect to Optional Redemption, Redemption for Tax Reasons or Redemption or Conversion for Regulatory Reasons in
Article 3 of the Fifth Supplemental Indenture) and to pay interest thereon from June 28, 2006 or from the most recent Interest Payment Date to which interest has been paid or duly
provided for, quarterly in arrears on March 15, June 15, September 15 and December 15 in each year, commencing on September 15, 2006, and at such other times as are
set forth in the Indenture at the rate of 6.875% per annum, until the principal hereof is paid or made available for payment. The interest so payable, and punctually paid or duly provided for, on any
Interest Payment Date will, as provided in such Indenture, be paid to the Person in whose name this Security (or one or more Predecessor Securities) is registered at the close of business on the
Regular Record Date for such interest, which shall be the March 1, June 1, September 1 or December 1 (whether or not a Business Day), as the case may be, next preceding
such Interest Payment Date. If interest is required to be calculated for any period less than a year, it shall be calculated based on a 360-day year consisting of twelve 30-day
months. If any Interest Payment Date or the redemption date of the Capital Securities falls on a day that is not a Business Day, the Company shall make the required payment on the next succeeding
Business Day and no additional Interest shall accrue in respect of the payment made on that next succeeding Business Day. 

Subject
to the immediately following paragraph, if applicable, any Payment on this Security which is payable, and is paid or duly provided for, on any Interest Payment Date or on any date on which the
Company makes any Payment (including any payment of Additional Amounts in accordance with Article 12 of the Fifth Supplemental Indenture) shall be paid in U.S. dollars to the registered holder, 

1

 

including
through a Paying Agent by wire-transfer of same-day funds to the holder or, at the option of the Company, by check mailed to the address of the holder as it appears
in the Company's Security Register. For so long as this Security is held in global form, all payments shall be made in U.S. dollars by wire-transfer of same-day funds. 

The
Company shall under certain circumstances, and in accordance with the Indenture, defer payments of interest on this Security. Any interest on this Security which is not paid or duly provided for
on any applicable Interest Payment Date, together with any other payments in respect of this Security not paid on any date on which such Payment has become due and payable or would have become due and
payable except that payment is not made as permitted by the Indenture, so long as the same remains unpaid, shall constitute "Outstanding Payments." Outstanding Payments will accumulate until paid and
will constitute neither a Payment Default nor a Payment Event. Outstanding Payments on this Security, when paid, as provided subject to the conditions in the Indenture, will be paid on the Deferred
Interest Satisfaction Date to the holder in whose name this Security is registered at the close of business on a Special Record Date for the Payment due on such Deferred Interest Satisfaction Date to
be fixed by the Trustee, notice of which shall be given to holders of the Capital Securities not less than 10 days prior to such Special Record Date, or be paid in any other lawful manner not
inconsistent with the requirements of any securities exchange on which this Security may be listed, and upon such notice as may be required by such exchange, all as more fully provided in the
Indenture. 

Outstanding
Payments, other than certain Accrued Interest Payments, shall not bear interest. Certain Accrued Interest Payments will accrue interest at the Interest Rate. The amount of interest so
accrued in respect of any Accrued Interest Payments, if any, will be satisfied as and when the Outstanding Payments are satisfied in accordance herewith. The amount of additional interest payable with
respect to any Accrued Interest Payments, if any, will be calculated by the Trustee in accordance with the provisions of the Indenture. 

Except
in the case of a Mandatory Payment Event or a Mandatory Partial Payment Event, the Company may satisfy any Optionally Deferred Payment at any time on not less than 16 Business Days' notice to
the Trustee and holders in accordance with the Fifth Supplemental Indenture, and any Required Deferral Interest Payment shall be satisfied on the relevant Deferred Interest Satisfaction Date, by
giving not less than 16 Business Days' notice to the Trustee and holders, if the Required Deferral Condition is no longer met on the 20th Business Day preceding any subsequent Interest Payment Date,
provided that the Company has not previously paid such amount and does not validly elect to defer such payment as an Optionally Deferred Payment. 

Reference
is hereby made to the further provisions of this Security set forth on the reverse hereof, which further provisions shall for all purposes have the same effect as if set forth at this place. 

Unless
the certificate of authentication hereon has been executed by the Trustee referred to on the reverse hereof by manual signature, this Security shall not be entitled to any benefit under the
Indenture or be valid or obligatory for any purpose. 

2

 

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

	 	 	AEGON N.V.
	

 	
 	

By:	
 	

 Name:

Title:

Attest: 

This
is one of the Capital Securities of the series designated herein and referred to in the Fifth Supplemental Indenture. 

Dated:
June    , 2006 

	 	 	Citibank, N.A.

    As Trustee
	

 	
 	

By:	
 	

 Authorized Signatory

3

 
[Reverse of Security] 

This
Security is one of a duly authorized issue of securities of the Company (herein called the Capital Securities), issued and to be issued in one or
more series under an Indenture, dated as of October 11, 2001, between the Company, AEGON Funding Corp., AEGON Funding Corp. II and Citibank, N.A., as Trustee (herein called the  Trustee, which term
includes any successor trustee under the Indenture), as modified by a supplemental indenture dated as of November 14, 2003, a
second supplemental indenture dated as of June 1, 2005, a third supplemental indenture dated as of November 23, 2005, a fourth supplemental indenture dated as of December 12, 2005
(collectively, the Base Indenture), and as shall be further modified by a Fifth Supplemental Indenture dated June 28, 2006 (herein called the  Fifth Supplemental
Indenture and together with the Base Indenture, the Indenture), and reference is
hereby made to the Indenture for a statement of the terms of the Capital Securities and the respective rights, limitations of rights, duties and immunities thereunder of the Company, the Trustee, the
holders of Senior Debt and the holders of the Capital Securities and of the terms upon which the Capital Securities are, and are to be, authenticated and delivered. The Capital Securities are subject
to all such terms. This Security is one of the series designated on the face hereof and there is no limitation on the amount of Capital Securities of such series which may be issued. 

Except
in a bankruptcy, all payments on this Security will be conditional upon not triggering the Required Deferral Condition. The Required Deferral
Condition will be met if the Company (i) is not Solvent or making the relevant Payment will result in the Company becoming not Solvent or (ii) is subject to a
Regulatory Event or making the relevant Payment will result in the Company becoming subject to a Regulatory Event. 

The
Capital Securities will constitute direct, unsecured subordinated obligations of the Company, subject to the Solvency Conditions, and the subordination provisions described herein and in the
Indenture, and will rank pari passu with respect to each other and any other Parity Securities or Parity Guarantees and in priority to any Junior Securities or Junior Guarantees. 

If
the Company fails to pay or set aside for payment the amount due to satisfy any Payment on the Capital Securities when due and such failure continues for 14 days, it will constitute a  Payment Default (provided, however, that if the Company fails to make any payment of interest required to be paid as a result of a Mandatory Payment
Event or Mandatory Partial Payment Event as a result of the existence of a Required Deferral Condition, or due to a deferral of an Interest Payment as permitted under the terms of the Indenture, that
payment will constitute an Outstanding Payment and will accumulate with any other Outstanding Payments until paid, but will constitute neither a Payment Default nor a Payment Event (as defined
below)). If any Payment Default occurs and is continuing, the Trustee may pursue all legal remedies available to it, including commencing a judicial proceeding for the collection of the sums due and
unpaid or the winding-up (faillissement or vereffening na ontbinding) of the Company in the
Netherlands (but not elsewhere), but the Trustee may not declare the principal amount of any outstanding Capital Securities to be due and payable. If the Company fails to make payment when due, and
such failure continues for 14 days as a result of the existence of a Required Deferral Condition, such failure does not constitute a Payment Default but instead constitutes a  Payment Event. On a
Payment Event, the Trustee may institute winding-up proceedings
(faillissement or vereffening na ontbinding) exclusively in The Netherlands, but may not pursue any
other legal remedy, including a judicial proceeding for the collection of the sums due and unpaid. The Trustee shall not be bound to take any of the foregoing actions against the Company to enforce
the terms of the Indenture or the Capital Securities unless (i) it will have been so requested by an extraordinary resolution or in writing by the holders of at least 25% in principal amount of
the Capital Securities then outstanding and (ii) it will have been offered reasonable security or indemnity satisfactory to it against the costs, expenses and liabilities which might be
incurred by it in compliance with such request. Notwithstanding the foregoing, the right to institute winding-up proceedings (faillissement
or vereffening na ontbinding) is limited to circumstances where payment has become due. Notwithstanding the foregoing, holders of this Security 

4

 

have
the absolute and unconditional right to institute suit for the enforcement of any payment when due and such right may not be impaired without the consent of the holder as provided in
Section 508 of the Base Indenture. 

All
payments in respect of the Capital Securities shall be made by the Company without withholding of or deduction for any present or future taxes, duties, assessments or other charges imposed by the
government of the Netherlands or the government of a jurisdiction in which a successor to the Company is organized (or any political subdivision or taxing authority thereof or therein)
(Taxes), unless the withholding or deduction of such Taxes is required by law. To the extent any such Taxes are so levied or imposed, the Company will,
subject to the exceptions and limitations set forth in Section 12 of the Fifth Supplemental Indenture, pay such Additional Amounts to the holder of any Security as may be necessary in order
that the net amounts received by holders of the Capital Securities after such withholding or deduction equal the respective amounts of principal and interest which would have been received in respect
of the Capital Securities in the absence of such withholding or deduction, except that no such Additional Amounts shall be payable in relation to any payment with respect to any Capital Security. 

Except
as provided below, the Capital Securities are not redeemable at the option of the Company prior to September 15, 2011. 

The
Capital Securities may be redeemed in whole (but not in part), at the option of the Company and without the consent of the holders or the Trustee, at a redemption price equal to their aggregate
principal amount, together with any Outstanding Payments accrued to and including the date fixed for redemption: (i) on September 15, 2011, or any Interest Payment Date thereafter;
(ii) upon the occurrence of a Tax Event, provided that the Company has already delivered to the Trustee a written legal opinion in a form satisfactory to the Trustee of independent Dutch
counsel of recognized standing, selected by the Company, confirming that a Tax Event has occurred; or (iii) if, at any time after the Company becomes subject to Capital Adequacy Regulations,
the relevant regulator has determined that securities of the nature of the Capital Securities cannot qualify as "own funds" or "core capital" (Tier 1 capital or equivalent) for the purposes of
determination of such Capital Adequacy Regulations. 

Subject
to compliance with applicable regulatory requirements, the Company may at any time convert or exchange the Capital Securities in whole (but not in part) to another series of its capital
securities having materially the same terms as the Capital Securities and which are no less favorable to the holders than the current terms of the Capital Securities. Any conversion of the Capital
Securities into another series of capital securities as described herein will be made on not less than 30 nor more than 60 days' notice before the applicable conversion date to the holders of
the Capital Securities and the Trustee. 

        The
indebtedness evidenced by this Security is, to the extent provided in the Indenture, subordinate and subject in right of payment to the prior payment in full of all Senior Debt, and
this Security is issued subject to the provisions of the Indenture with respect thereto. Each holder of this Security, by accepting the same, (i) agrees to and shall be bound by such
provisions; (ii) authorizes and directs the Trustee on his or her behalf to take such actions as may be necessary or appropriate to effectuate the subordination so provided; and
(iii) appoints the Trustee his or her attorney-in-fact for any and all such purposes. Each holder hereof, by his or her acceptance hereof, waives all notice of the
acceptance of the subordination provisions contained herein and in the Indenture by each holder of Senior Debt, whether now outstanding or hereafter created, incurred, assumed or guaranteed, and
waives reliance by each such holder upon said provisions. 

References
herein to principal, Interest Amounts, Mandatorily Deferred Payments, Optionally Deferred Payments, Mandatory Partial Payments or Accrued Interest Payments shall be deemed to include any
Additional Amounts that may be payable, if applicable. 

5

 

The
Indenture permits, with certain exceptions as therein provided, the amendment thereof and the modification of the rights and obligations of the Company and the rights of the holders of the Capital
Securities of each series to be affected under the Indenture at any time by the Company and the Trustee with the consent of the holders of a majority in principal amount of the Capital Securities at
the time outstanding of each series to be affected. The Indenture also contains provisions permitting
the holders of a majority in principal amount of the Capital Securities of each series at the time outstanding, on behalf of the holders of all Capital Securities of such series, to waive compliance
by the Company with certain provisions of the Indenture and certain past defaults under the Indenture and their consequences. Any such consent or waiver by the holder of this Security shall be
conclusive and binding upon such holder and upon all future holders of this Security and of any Security issued upon the registration of transfer hereof or in exchange therefor or in lieu hereof,
whether or not notation of such consent or waiver is made upon this Security. 

No
reference herein to the Indenture and no provision of this Security or of the Indenture shall alter or impair the obligation of the Company, which is absolute and unconditional, to pay the
principal of and any premium and interest on this Security at the times, place and rate, and in the coin or currency, herein prescribed. 

As
provided in the Indenture and subject to certain limitations therein set forth, the transfer of this Security is registrable in the Security Register, upon surrender of this Security for
registration of transfer at the office or agency of the Company in any place where the principal of and any premium and interest on this Security are payable, duly endorsed by, or accompanied by a
written instrument of transfer in form satisfactory to the Company and the Security Registrar duly executed by, the holder hereof or his attorney duly authorized in writing, and thereupon one or more
new Capital Securities of this series and of like tenor, of authorized denominations and for the same aggregate principal amount, will be issued to the designated transferee or transferees. 

The
Capital Securities of this series are issuable only in registered form without coupons in denominations of $25.00 and any integral multiple thereof. As provided in the Indenture and subject to
certain limitations therein set forth, Capital Securities of this series shall be represented by a Global Security and are not exchangeable for definitive Capital Securities of this series except in
specific circumstances set forth in the Indenture. 

No
service charge shall be made for any such registration of transfer or exchange, but the Company may require payment of a sum sufficient to cover any tax or other governmental charge payable in
connection therewith. 

Prior
to due presentment of this Security for registration of transfer, the Company, the Trustee and any agent of the Company or the Trustee may treat the Person in whose name this Security is
registered as the owner hereof for all purposes, whether or not this Security be overdue, and neither the Company, the Trustee nor any such agent shall be affected by notice to the contrary. 

This
Security is a Global Security and is subject to the provisions of the Indenture relating to Global Securities, including the limitations in Section 305 thereof on transfers and exchanges
of Global Securities. 

This
Security and the Indenture shall be governed by and construed in accordance with the laws of the State of New York except for the subordination provisions contained herein and in the Indenture,
which shall be governed by and construed in accordance with the laws of the Netherlands. 

All
terms used in this Security which are defined in the Indenture shall have the meanings assigned to them in the Indenture. 

6

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TABLE OF CONTENTS

FIFTH SUPPLEMENTAL INDENTURE

SCHEDULE 1 FORM OF 6.875% PERPETUAL CAPITAL SECURITIES

AEGON N.V. 6.875% Perpetual Capital Securities

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00106-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00106-of-00352.parquet"}]]