Document:

Exhibit 4.1

_________________________________________________________________________________

Moog Inc.

 

6.250% SENIOR SUBORDINATED NOTES DUE 2015

_________________________

Indenture

Dated as of January 10, 2005

_________________________

JPMorgan Chase Bank, N.A. 

Trustee

_________________________

 

 

_________________________________________________________________________________

 

 

CROSS-REFERENCE TABLE*

	Trust Indenture

       Act Section	
    Indenture Section

	 	 	 
	310	(a)(1) 	
    7.07

	 	(b) 	
    7.04, 7.08

	 	 	 
	311 	 	
    7.04

	 	 	 
	312	(a) 	
    2.06

	 	(b) 	
    2.06, 13.03

	 	(c) 	
    2.06, 13.03

	 	 	 
	313	(c) 	
    13.02

	 		 
	314	(a)(4) 	
    13.05

	 	(e) 	
    13.05

	 	 	 
	315	(a) 	
    7.02

	 	(b) 	
    7.02

	 	(c) 	
    7.02

	 	(d) 	
    7.02

	 	 	 
	316	(a)(1)(B) 	
    6.04

	 	(c) 	
    13.14

	 	 	 
	318	(c) 	
    13.01

________________________

* This Cross-Reference Table is not part of
the Indenture

	
    TABLE OF CONTENTS
	 
	
     
	
    Page

	
    ARTICLE ONE

    DEFINITIONS AND INCORPORATION

    BY REFERENCE
	 
	 	 
	Section 1.01. Definitions 	1
	Section 1.02. Other Definitions 	22
	Section 1.03. Incorporation by Reference of Trust Indenture
    Act 	22
	Section 1.04. Rules of Construction 	22
	 	 
	
    ARTICLE TWO

    THE NOTES
	 
	 	 
	Section 2.01. Form and Dating 	23
	Section 2.02. Execution and Authentication 	23
	Section 2.03. Methods of Receiving Payments on the Notes
    	24
	Section 2.04. Registrar and Paying Agent 	24
	Section 2.05. Paying Agent to Hold Money in Trust 	25
	Section 2.06. Holder Lists 	25
	Section 2.07. Transfer and Exchange	26
	Section 2.08. Replacement Notes	29
	Section 2.09. Outstanding Notes 	30
	Section 2.10. Treasury Notes 	30
	Section 2.11. Temporary Notes 	30
	Section 2.12. Cancellation 	30
	Section 2.13. Defaulted Interest 	31
	Section 2.14. CUSIP Numbers 	31
	 	 
	
    ARTICLE THREE

    REDEMPTION AND OFFERS TO

    PURCHASE
	 
	 	 
	Section 3.01. Notices to Trustee 	31
	Section 3.02. Selection of Notes to Be Redeemed 	32
	Section 3.03. Notice of Redemption 	32
	Section 3.04. Effect of Notice of Redemption 	33
	Section 3.05. Deposit of Redemption Price 	33
	Section 3.06. Notes Redeemed in Part 	34
	Section 3.07. Optional Redemption 	34
	Section 3.08. Repurchase Offers 	35
	 	 
	
    ARTICLE FOUR

    COVENANTS
	 
	 	 
	Section 4.01. Payment of Notes 	37

i

	Section 4.02. Maintenance of Office or Agency 	37
	Section 4.03. Reports 	38
	Section 4.04. Compliance Certificate 	38
	Section 4.05. Taxes 	39
	Section 4.06. Stay, Extension and Usury Laws 	39
	Section 4.07. Restricted Payments 	39
	Section 4.08. Dividend and Other Payment Restrictions
    Affecting Restricted Subsidiaries 	42
	Section 4.09. Incurrence of Indebtedness and Issuance of
    Preferred Stock 	44
	Section 4.10. Asset Sales 	46
	Section 4.11. Transactions with Affiliates 	47
	Section 4.12. Liens 	49
	Section 4.13. Business Activities 	49
	Section 4.14. Offer to Repurchase upon a Change of Control 	49
	Section 4.15. Limitation on Senior Subordinated Debt 	50
	Section 4.16. Designation of Restricted and Unrestricted
    Subsidiaries 	50
	Section 4.17. Payments for Consent 	52
	Section 4.18. Guarantees 	52
	
     	 
	
    ARTICLE FIVE

    SUCCESSORS
	 
	 	 
	Section 5.01. Merger, Consolidation or Sale of Assets 	53
	Section 5.02. Successor Corporation Substituted 	54
	
     	 
	
    ARTICLE SIX

    DEFAULTS AND REMEDIES
	 
	 	 
	Section 6.01. Events of Default 	54
	Section 6.02. Acceleration 	56
	Section 6.03. Other Remedies 	56
	Section 6.04. Waiver of Past Defaults 	56
	Section 6.05. Control by Majority 	57
	Section 6.06. Limitation on Suits 	57
	Section 6.07. Rights of Holders of Notes to Receive Payment 	58
	Section 6.08. Collection Suit by Trustee 	58
	Section 6.09. Trustee May File Proofs of Claim	58
	Section 6.10. Priorities 	59
	Section 6.11. Undertaking for Costs	59
	
     	 
	
    ARTICLE SEVEN

    TRUSTEE
	 
	 	 
	Section 7.01. Duties of Trustee 	59
	Section 7.02. Certain Rights of Trustee 	60
	Section 7.03. Trustee's Disclaimer 	62
	Section 7.04. May Hold Securities	62
	Section 7.05. Money Held in Trust	62

ii

	Section 7.06. Compensation and Reimbursement 	62
	Section 7.07. Eligibility; Disqualification 	63
	Section 7.08. Replacement of Trustee 	63
	Section 7.09. Acceptance of Appointment by Successor. 	65
	Section 7.10. Merger, Conversion, Consolidation or
    Succession to Business 	65
	Section 7.11. Preferential Collection of Claims Against the
    Company 	65
	Section 7.12. Trustee's Application for Instructions from
    the Company. 	65
	Section 7.13. Notice of Defaults 	66
	
     	 
	
    ARTICLE EIGHT

    DEFEASANCE AND COVENANT DEFEASANCE
	 
	 	 
	Section 8.01. Option to Effect Legal Defeasance or Covenant
    Defeasance 	66
	Section 8.02. Legal Defeasance and Discharge 	66
	Section 8.03. Covenant Defeasance 	67
	Section 8.04. Conditions to Legal or Covenant Defeasance 	67
	Section 8.05. Deposited Money and U.S. Government
    Obligations to Be Held in Trust; 

                        Other Miscellaneous Provisions 	69
	Section 8.06. Reinstatement 	69
	
     	 
	
    ARTICLE NINE

    AMENDMENT, SUPPLEMENT AND WAIVER
	 
	 	 
	Section 9.01. Without Consent of Holders of Notes 	70
	Section 9.02. With Consent of Holders of Notes 	70
	Section 9.03. Compliance with Trust Indenture Act 	72
	Section 9.04. Revocation and Effect of Consents 	72
	Section 9.05. Notation on or Exchange of Notes 	73
	Section 9.06. Trustee to Sign Amendments, Etc 	73
	
     	 
	
    ARTICLE TEN

    GUARANTEES
	 
	 	 
	Section 10.01. Guarantors May Consolidate, Etc., on Certain
    Terms. 	73
	Section 10.02. Release of Guarantor 	74
	
     	 
	
    ARTICLE ELEVEN

    SATISFACTION AND DISCHARGE
	 
	 	 
	Section 11.01. Satisfaction and Discharge 	75
	Section 11.02. Deposited Money and U.S. Government
    Obligations to Be Held in Trust; 

                         Other Miscellaneous Provisions 	76
	Section 11.03. Repayment to the Company 	76
	
     	 
	
    ARTICLE TWELVE

    SUBORDINATION
	 
	 	 
	Section 12.01. Agreement to Subordinate 	76

iii

	Section 12.02. Liquidation; Dissolution; Bankruptcy 	77
	Section 12.03. Default on Designated Senior Debt 	77
	Section 12.04. Acceleration of Securities 	78
	Section 12.05. When Distribution Must Be Paid Over 	78
	Section 12.06. Notice by the Company 	79
	Section 12.07. Subrogation 	79
	Section 12.08. Relative Rights 	79
	Section 12.09. Subordination May Not Be Impaired by the
    Company 	79
	Section 12.10. Distribution or Notice to Representative 	80
	Section 12.11. Rights of Trustee and Paying Agent 	80
	Section 12.12. Authorization to Effect Subordination 	80
	Section 12.13. Trustee Not Fiduciary for Holders of Senior
    Indebtedness	80
	
     	 
	
    ARTICLE THIRTEEN

    MISCELLANEOUS
	 
	 	 
	Section 13.01. Trust Indenture Act Controls 	81
	Section 13.02. Notices 	81
	Section 13.03. Communication by Holders of Notes with Other
    Holders of Notes	82
	Section 13.04. Certificate and Opinion as to Conditions
    Precedent 	82
	Section 13.05. Statements Required in Certificate or Opinion 	83
	Section 13.06. Rules by Trustee and Agents 	83
	Section 13.07. No Personal Liability of Directors, Officers,
    Employees and Stockholders 	83
	Section 13.08. Governing Law 	83
	Section 13.09. Consent to Jurisdiction 	83
	Section 13.10. Form of Documents Delivered to Trustee 	84
	Section 13.11. Successors 	84
	Section 13.12. Severability. 	84
	Section 13.13. Counterpart Originals 	84
	Section 13.14. Acts of Holders 	85
	Section 13.15. Benefit of Indenture 	86
	Section 13.16. Table of Contents, Headings, Etc. 	86

        

      
    
  

EXHIBITS

Exhibit A         FORM OF NOTE

iv

 

                INDENTURE dated as of January 10, 2005 between Moog Inc.,
a New York corporation (the "Company") and JPMorgan Chase Bank, N.A., as
trustee.

                The Company has duly authorized the execution and delivery of
this Indenture to provide for the issuance from time to time of its 6.250%
Senior Subordinated Notes due 2015 to be issued as provided in this Indenture.

                The Company and the Trustee (as defined below) agree as
follows for the benefit of each other and for the equal and ratable benefit of
the Holders (as defined below) of the Company's 6.250% Senior Subordinated Notes
due 2015 issued pursuant to this Indenture:

ARTICLE ONE

DEFINITIONS AND INCORPORATION

BY REFERENCE

Section 1.01. Definitions.

                "Acquired Debt" means, with respect to any specified
Person:

	 	(1) 	
        Indebtedness of any other Person existing at the
        time such other Person is merged with or into, or becomes a Subsidiary
        of, such specified Person, whether or not such Indebtedness is incurred
        in connection with, or in contemplation of, such other Person merging
        with or into, or becoming a Subsidiary of, such specified Person; and

        
	 	 	 
	 	(2) 	
        Indebtedness secured by a Lien encumbering any
        asset acquired by such specified Person.

      

                "Additional Notes" means an unlimited maximum
aggregate principal amount of Notes (other than the Notes issued on the date
hereof) issued under this Indenture in accordance with Sections 2.02 and 4.09.

                "Affiliate" of any specified Person means (1) any
other Person directly or indirectly controlling or controlled by or under direct
or indirect common control with such specified Person or (2) any executive
officer or director of such specified Person. For purposes of this definition,
"control," as used with respect to any Person, shall mean the possession,
directly or indirectly, of the power to direct or cause the direction of the
management or policies of such Person, whether through the ownership of voting
securities, by agreement or otherwise; provided that beneficial ownership
of 10% or more of the Voting Stock of a Person shall be deemed to be control.
For purposes of this definition, the terms "controlling," "controlled by" and
"under common control with" shall have correlative meanings.

                "Agent" means any Registrar or Paying Agent.

                "Applicable Premium" means, with respect to a Note at
any date of redemption, the greater of (i) 1.0% of the principal amount of such
Note and (ii) any excess of (A) the present value (discounted semi-annually) at
such date of redemption of (1) the redemption price of such Note at January 15,
2010 plus (2) all remaining required interest payments due on such Note 

1

through January 15, 2010 (excluding accrued but unpaid
interest to the date of redemption), computed using a discount rate equal to the
Treasury Rate plus 50 basis points, over (B) the principal amount of such Note.

                "Applicable Procedures" means, with respect to any
transfer or exchange of or for beneficial interests in any Global Note, the
rules and procedures of the Depository that apply to such transfer or exchange.

                "Asset Sale" means:

	 	(1) 	
        the sale, lease, conveyance or other disposition
        of any property or assets; provided that the sale, conveyance or other
        disposition of all or substantially all of the assets of the Company and
        its Restricted Subsidiaries taken as a whole will be governed by the
        provisions of Section 4.14 and/or 5.01; and

        
	 	 	 
	 	(2) 	
        the issuance of Equity Interests by any of the
        Company's Restricted Subsidiaries or the sale by the Company or any
        Restricted Subsidiary thereof of Equity Interests in any of its
        Subsidiaries (other than directors' qualifying shares and shares issued
        to foreign nationals to the extent required by applicable law). 

      

Notwithstanding the preceding, the following items shall be
deemed not to be Asset Sales:

	 	(1) 	
        any single transaction or series of related
        transactions that involves assets having a Fair Market Value of less
        than $3.0 million;

        
	 	(2) 	
        a transfer of assets between or among the Company
        and its Restricted Subsidiaries;

        
	 	(3) 	
        an issuance of Equity Interests by a Restricted
        Subsidiary of the Company to the Company or to another Restricted
        Subsidiary of the Company;

        
	 	(4) 	
        the sale or lease of equipment, inventory,
        accounts receivable or other assets in the ordinary course of business;

        
	 	(5) 	
        the sale or other disposition of Cash
        Equivalents;

        
	 	(6) 	
        dispositions of receivables in connection with
        the compromise, settlement or collection thereof in the ordinary course
        of business or in bankruptcy or similar proceedings and exclusive of
        factoring or similar arrangements; 

        
	 	(7) 	
        a Restricted Payment that is not prohibited by
        Section 4.07; and

        
	 	(8) 	
        any sale or disposition of any property or
        equipment that has become damaged, worn out, obsolete or otherwise
        unsuitable for use in connection with the business of the Company or its
        Restricted Subsidiaries.

      

                "Bankruptcy Law" means Title 11 of the United States
Code or any similar federal or state law for the relief of debtors.

2

                "Beneficial Owner" has the meaning assigned to such
term in Rule 13d-3 and Rule 13d-5 under the Exchange Act, except that in
calculating the beneficial ownership of any particular "person" (as that term is
used in Section 13(d)(3) of the Exchange Act), such "person" shall be deemed to
have beneficial ownership of all securities that such "person" has the right to
acquire by conversion or exercise of other securities, whether such right is
concurrently exercisable or is exercisable only upon the occurrence of a
subsequent condition. The terms "Beneficially Owns" and "Beneficially Owned"
shall have a corresponding meaning.

                "Board of Directors" means:

	 	(1) 	
        with respect to a corporation, the board of
        directors of the corporation;

        
	 	 	 
	 	(2) 	
        with respect to a partnership, the Board of
        Directors of the general partner of the partnership; and

        
	 	 	 
	 	(3) 	
        with respect to any other Person, the board or
        committee of such Person serving a similar function.

      

                "Board Resolution" means a copy of a resolution
certified by the Secretary of the Company or any Guarantor to have been duly
adopted by the Board of Directors of such entity and to be in full force and
effect on the date of such certification.

                "Business Day" means any day other than a Legal
Holiday.

                "Capital Lease Obligation" means, at the time any
determination thereof is to be made, the amount of the liability in respect of a
capital lease that would at that time be required to be capitalized on a balance
sheet in accordance with GAAP.

                "Capital Stock" means:

	 	(1) 	
        in the case of a corporation, corporate stock;

        
	 	 	 
	 	(2) 	
        in the case of an association or business entity,
        any and all shares, interests, participations, rights or other
        equivalents (however designated) of corporate stock;

        
	 	 	 
	 	(3) 	
        in the case of a partnership or limited liability
        company, partnership or membership interests (whether general or
        limited); and

        
	 	 	 
	 	(4) 	
        any other interest or participation that confers
        on a Person the right to receive a share of the profits and losses of,
        or distributions of assets of, the issuing Person.

      

                "Cash Equivalents" means: 

	 	(1) 	
        United States dollars or the currency of Taiwan
        or any country recognized by the United States;

        

3

	 	(2) 	
        securities issued or directly and fully
        guaranteed or insured by the United States government or any agency or
        instrumentality thereof (provided that the full faith and credit
        of the United States is pledged in support thereof) maturing, unless
        such securities are deposited to defease any Indebtedness, not more than
        one year from the date of acquisition;

        
	 	 	 
	 	(3) 	
        certificates of deposit and eurodollar time
        deposits with maturities of one year or less from the date of
        acquisition, bankers' acceptances with maturities not exceeding one year
        and overnight bank deposits, demand deposits or savings deposits, in
        each case, with any commercial bank organized under the laws of the
        United States, any state thereof, Taiwan or any country recognized by
        the United States and having capital and surplus in excess of $100.0
        million (or the foreign currency equivalent thereof) and whose
        outstanding debt is rated "A" (or such similar rating) by at least one
        nationally recognized statistical rating organization (as defined in
        Rule 436 under the Securities Act); 

        
	 	 	 
	 	(4) 	
        repurchase obligations with a term of not more
        than 30 days for underlying securities of the types described in clauses
        (2) and (3) above entered into with any financial institution meeting
        the qualifications specified in clause (3) above;

        
	 	 	 
	 	(5) 	
        commercial paper having the highest rating
        obtainable from Moody's or S&P and issued by a corporation (other than
        an Affiliate of the Company) organized and in existence under the laws
        of the United States, any state thereof, Taiwan or any country
        recognized by the United States; 

        
	 	 	 
	 	(6) 	
        securities issued and fully guaranteed by any
        state, commonwealth or territory of the United States of America, or by
        any political subdivision or taxing authority thereof, rated at least
        "A" by Moody's or S&P and having maturities of not more than one year
        from the date of acquisition; and

        
	 	 	 
	 	(7) 	
        money market funds at least 95% of the assets of
        which constitute Cash Equivalents of the kinds described in clauses (1)
        through (6) of this definition.

      

                "Change of Control" means the occurrence of any of the
following:

	 	(1) 	
        the direct or indirect sale, transfer, conveyance
        or other disposition (other than by way of merger or consolidation), in
        one or a series of related transactions, of all or substantially all of
        the properties or assets of the Company and its Restricted Subsidiaries,
        taken as a whole, to any "person" (as that term is used in Section
        13(d)(3) of the Exchange Act);

        
	 	 	 
	 	(2) 	
        the adoption of a plan relating to the
        liquidation or dissolution of the Company;

        
	 	 	 
	 	(3) 	
        any "person" or "group" (as such terms are used
        in Sections 13(d) and 14(d) of the Exchange Act), becomes the ultimate
        Beneficial Owner, directly or indirectly, of 50% or more of the voting
        power of the Voting Stock of the Company;

        

4

	 	(4) 	
        the first day on which a majority of the members
        of the Board of Directors of the Company are not Continuing Directors;
        or

        
	 	 	 
	 	(5) 	
        the Company consolidates with, or merges with or
        into, any Person, or any Person consolidates with, or merges with or
        into the Company, in any such event pursuant to a transaction in which
        any of the outstanding Voting Stock of the Company or such other Person
        is converted into or exchanged for cash, securities or other property,
        other than any such transaction where (A) the Voting Stock of the
        Company outstanding immediately prior to such transaction is converted
        into or exchanged for Voting Stock (other than Disqualified Stock) of
        the surviving or transferee Person constituting a majority of the
        outstanding shares of such Voting Stock of such surviving or transferee
        Person (immediately after giving effect to such issuance) and (B)
        immediately after such transaction, no "person" or "group" (as such
        terms are used in Sections 13(d) and 14(d) of the Exchange Act) becomes,
        directly or indirectly, the ultimate Beneficial Owner of 30% or more of
        the voting power of the Voting Stock of the surviving or transferee
        Person.

      

                "Commission" means the United States Securities and
Exchange Commission and any successor thereto.

                "Consolidated Cash Flow" means, with respect to any
specified Person for any period, the Consolidated Net Income of such Person for
such period plus:

	 	(1) 	
        provision for taxes based on income or profits of
        such Person and its Restricted Subsidiaries for such period, to the
        extent that such provision for taxes was deducted in computing such
        Consolidated Net Income; plus

        
	 	 	 
	 	(2) 	
        Fixed Charges of such Person and its
        Restricted Subsidiaries for such period, to the extent that any such
        Fixed Charges were deducted in computing such Consolidated Net
        Income; plus
        
    

        
	 	 	 
	 	(3) 	
        depreciation, amortization (including
        amortization of goodwill and other intangibles but excluding
        amortization of prepaid cash expenses that were paid in a prior period)
        and other non-cash expenses (excluding any such non-cash expense to the
        extent that it represents an accrual of or reserve for cash expenses in
        any future period or amortization of a prepaid cash expense that was
        paid in a prior period) of such Person and its Restricted Subsidiaries
        for such period to the extent that such depreciation, amortization and
        other non-cash expenses were deducted in computing such Consolidated Net
        Income; minus

        
	 	 	 
	 	(4) 	
        non-cash items increasing such Consolidated Net
        Income for such period, other than the accrual of revenue consistent
        with past practice; 

      

in each case, on a consolidated basis and determined in
accordance with GAAP.

                Notwithstanding the preceding, the provision for taxes based
on the income or profits of, the Fixed Charges of and the depreciation and
amortization and other non-cash expenses of, a Restricted Subsidiary of the
Company shall be added to Consolidated Net Income  

5

to compute Consolidated Cash
Flow of the Company (A) in the same proportion that the Net Income of such
Restricted Subsidiary was added to compute such Consolidated Net Income of the
Company and (B) only to the extent that a corresponding amount would be
permitted at the date of determination to be dividended or distributed to the
Company by such Restricted Subsidiary without prior governmental approval (that
has not been obtained), and without direct or indirect restriction pursuant to
the terms of its charter and all agreements, instruments, judgments, decrees,
orders, statutes, rules and governmental regulations applicable to that
Subsidiary or its stockholders.

                "Consolidated Net Income" means, with respect to any
specified Person for any period, the aggregate of the Net Income of such Person
and its Subsidiaries for such period, on a consolidated basis, determined in
accordance with GAAP; provided that:

	 	(1) 	
        the Net Income (but not loss) of any Person that
        is not a Restricted Subsidiary or that is accounted for by the equity
        method of accounting shall be included only to the extent of the amount
        of dividends or distributions paid in cash to the specified Person or a
        Restricted Subsidiary thereof;

        
	 	 	 
	 	(2) 	
        the Net Income of any Restricted Subsidiary shall
        be excluded to the extent that the declaration or payment of dividends
        or similar distributions by that Restricted Subsidiary of that Net
        Income is not at the date of determination permitted without any prior
        governmental approval (that has not been obtained) or, directly or
        indirectly, by operation of the terms of its charter or any agreement,
        instrument, judgment, decree, order, statute, rule or governmental
        regulation applicable to that Restricted Subsidiary or its equity
        holders;

        
	 	 	 
	 	(3) 	
        the Net Income of any Person acquired during the
        specified period for any period prior to the date of such acquisition
        shall be excluded;

        
	 	 	 
	 	(4) 	
        the cumulative effect of a change in accounting
        principles shall be excluded; and

        
	 	 	 
	 	(5) 	
        notwithstanding clause (1) above, the Net Income
        (but not loss) of any Unrestricted Subsidiary shall be excluded, whether
        or not distributed to the specified Person or one of its Subsidiaries.

      

                "Consolidated Net Tangible Assets" of any Person
means, as of any date, the amount which, in accordance with GAAP, would be set
forth under the caption "Total Assets" (or any like caption) on a consolidated
balance sheet of such Person and its Restricted Subsidiaries, as of the end of
the most recently ended fiscal quarter for which internal financial statements
are available, less (1) all intangible assets, including, without limitation,
goodwill, organization costs, patents, trademarks, copyrights, franchises, and
research and development costs, and (2) current liabilities.

                "Continuing Directors" means, as of any date of
determination, any member of the Board of Directors of the Company who:

	 	(1) 	
        was a member of such Board of Directors on the
        date of this Indenture; or

        

6

	 	 	 
	 	(2) 	
        was nominated for election or elected to such
        Board of Directors with the approval of a majority of the Continuing
        Directors who were members of such Board of Directors at the time of
        such nomination or election.

      

                "Corporate Trust Office of the Trustee" shall be at
the address of the Trustee specified in Section 13.02 or such other address as
to which the Trustee may give notice to the Company.

                "Credit Agreement" means that certain Amended and
Restated Credit Agreement, dated as of March 3, 2003, by and among the Company,
HSBC Bank USA, as agent, and certain lenders named therein, providing for term
loan borrowings in the original principal amount of $75 million and up to $315
million of revolving credit borrowings, including any related notes, Guarantees,
collateral documents, instruments and agreements executed in connection
therewith, and in each case as amended, modified, renewed, refunded, replaced or
refinanced from time to time, regardless of whether such amendment,
modification, renewal, refunding, replacement or refinancing is with any of the
same financial institutions or otherwise and regardless of whether any one or
more of the Company and its Subsidiaries are or become borrowers thereunder.

                "Credit Facilities" means one or more debt facilities
(including, without limitation, the Credit Agreement) or commercial paper
facilities, in each case with banks or other institutional lenders, providing
for revolving credit loans, term loans, receivables financing (including through
the sale of receivables to such lenders or to special purpose entities formed to
borrow from such lenders against such receivables) or letters of credit, in each
case, as amended, restated, modified, renewed, refunded, replaced or refinanced
in whole or in part from time to time.

                "Custodian" means the Trustee, as custodian with
respect to the Notes in global form, or any successor entity thereto.

                "Default" means any event that is, or with the passage
of time or the giving of notice or both would be, an Event of Default.

                "Definitive Note" means a Note registered in the name
of the Holder thereof and issued in accordance with Section 2.07, substantially
in the form of Exhibit A, except that such Note shall not bear the Global
Note Legend.

                "Depository" means, with respect to the Notes issuable
or issued in whole or in part in global form, the Person specified in Section
2.04 as the Depository with respect to the Notes, and any and all successors
thereto appointed as depository hereunder and having become such pursuant to the
applicable provision of this Indenture.

                "Designated Non-cash Consideration" means the fair
market value of non-cash consideration received by the Company or any of its
Restricted Subsidiaries in connection with an Asset Sale that is so designated
as Designated Non-cash Consideration pursuant to an Officers' Certificate
setting forth the basis of such valuation, less the amount of cash or Cash
Equivalents received in connection with a subsequent sale or collection of such
Designated Non-cash Consideration.

7

                "Designated Senior Debt" means:

	 	(1) 	
        any Indebtedness outstanding under the Credit
        Agreement; and

        
	 	 	 
	 	(2) 	
        after payment in full of all Obligations under
        the Credit Agreement, any other Senior Debt permitted under this
        Indenture the principal amount of which is $50.0 million or more and
        that has been designated by the Company as "Designated Senior Debt."

      

                "Disqualified Stock" means any Capital Stock that, by
its terms (or by the terms of any security into which it is convertible, or for
which it is exchangeable, in each case at the option of the holder thereof), or
upon the happening of any event, matures or is mandatorily redeemable, pursuant
to a sinking fund obligation or otherwise, or redeemable at the option of the
holder thereof, in whole or in part, on or prior to the date that is one year
after the date on which the Notes mature. Notwithstanding the preceding
sentence, any Capital Stock that would constitute Disqualified Stock solely
because the holders thereof have the right to require the Company to repurchase
such Capital Stock upon the occurrence of a change of control or an asset sale
shall not constitute Disqualified Stock if the terms of such Capital Stock
provide that the Company may not repurchase or redeem any such Capital Stock
pursuant to such provisions unless such repurchase or redemption complies with
Section 4.07. The term "Disqualified Stock" shall also include any options,
warrants or other rights that are convertible into Disqualified Stock or that
are redeemable at the option of the holder, or required to be redeemed, prior to
the date that is one year after the date on which the Notes mature.

                "Domestic Subsidiary" means any Restricted Subsidiary of the Company
other than a Restricted Subsidiary that is (1) a "controlled foreign
corporation" under Section 957 of the Internal Revenue Code (a) whose primary
operating assets are located outside the United States and (b) that is
not subject to tax under Section 882(a) of the Internal Revenue Code because of
a trade or business within the United States or (2) a Subsidiary of an entity
described in the preceding clause (1).

                "Equity Interests" means Capital Stock and all
warrants, options or other rights to acquire Capital Stock (but excluding any
debt security that is convertible into, or exchangeable for, Capital Stock).

                "Equity Offering" means (i) an offer and sale of
Capital Stock (other than Disqualified Stock) of the Company pursuant to a
registration statement that has been declared effective by the Commission
pursuant to the Securities Act (other than a registration statement on Form S-8
or otherwise relating to equity securities issuable under any employee benefit
plan) or (ii) any private placement of Capital Stock (other than Disqualified
Stock) of the Company to any Person other than a Restricted Subsidiary of the
Company.

                "Exchange Act" means the Securities Exchange Act of
1934, as amended.

                "Existing Indebtedness" means the aggregate principal
amount of Indebtedness of the Company and its Restricted Subsidiaries in
existence on the date of this Indenture after giving effect to the application
of the proceeds of the Notes, until such amounts are repaid. 

8

                "Fair Market Value" means the price that would be paid
in an arm's-length transaction between an informed and willing seller under no
compulsion to sell and an informed and willing buyer under no compulsion to buy,
as determined (except as otherwise specified in this Indenture) in good faith by
(i) senior management of the Company if the aggregate amount of the transactions
with respect to which Fair Market Value of the transactions is being determined
does not exceed $20.0 million and (ii) the Board of Directors, whose
determination shall be conclusive if evidenced by a Board Resolution, if the
aggregate amount of the transaction with respect to which Fair Market Value is
being determined exceeds $20.0 million.

                "Fixed Charges" means, with respect to any specified
Person for any period, the sum, without duplication, of: 

	 	(1) 	
        the consolidated interest expense of such Person
        and its Restricted Subsidiaries for such period, whether paid or
        accrued, including, without limitation, amortization of debt issuance
        costs and original issue discount, non-cash interest payments, the
        interest component of any deferred payment obligations, the interest
        component of all payments associated with Capital Lease Obligations,
        commissions, discounts and other fees and charges incurred in respect of
        letter of credit or bankers' acceptance financings, and net of the
        effect of all payments made or received pursuant to Hedging Obligations;
        plus

        
	 	 	 
	 	(2) 	
        the consolidated interest of such Person and its
        Restricted Subsidiaries that was capitalized during such period; plus

        
	 	 	 
	 	(3) 	
        any interest expense on Indebtedness of another
        Person that is Guaranteed by such Person or one of its Restricted
        Subsidiaries or secured by a Lien on assets of such Person or one of its
        Restricted Subsidiaries, whether or not such Guarantee or Lien is called
        upon; plus

        
	 	 	 
	 	(4) 	
        the product of (a) all dividends, whether paid or
        accrued and whether or not in cash, on any series of Disqualified Stock
        or Preferred Stock of such Person or any of its Restricted Subsidiaries,
        other than dividends on Equity Interests payable solely in Equity
        Interests (other than Disqualified Stock) of the Company or to the
        Company or a Restricted Subsidiary of the Company, times (b) a fraction,
        the numerator of which is one and the denominator of which is one minus
        the then current combined federal, state and local statutory tax rate of
        such Person, expressed as a decimal, 

      

in each case, on a consolidated basis and in accordance with
GAAP. 

                "Fixed Charge Coverage Ratio" means with respect to
any specified Person for any period, the ratio of the Consolidated Cash Flow of
such Person for such period to the Fixed Charges of such Person for such period.
In the event that the specified Person or any of its Subsidiaries incurs,
assumes, Guarantees, repays, repurchases or redeems any Indebtedness or issues,
repurchases or redeems Preferred Stock subsequent to the commencement of the
period for which the Fixed Charge Coverage Ratio is being calculated and on or
prior to the date on which the event for which the calculation of the Fixed
Charge Coverage Ratio is made (the  

9

"Calculation Date"), then the Fixed
Charge Coverage Ratio shall be calculated giving pro forma effect to such
incurrence, assumption, Guarantee, repayment, repurchase or redemption of
Indebtedness, or such issuance, repurchase or redemption of Preferred Stock, and
the use of the proceeds therefrom as if the same had occurred at the beginning
of the applicable four-quarter reference period.

                In addition, for purposes of calculating the Fixed Charge
Coverage Ratio:

	 	(1) 	
        acquisitions and dispositions of business
        entities or property and assets constituting a division or line of
        business of any Person that have been made by the specified Person or
        any of its Restricted Subsidiaries, including through mergers or
        consolidations and including any related financing transactions,
        subsequent to the commencement of the period for which the Fixed Charge
        Coverage Ratio is being calculated and on or prior to the Calculation
        Date shall be given pro forma effect as if they had occurred on the
        first day of such period and Consolidated Cash Flow for such period
        shall be calculated on a pro forma basis in accordance with Regulation
        S-X under the Securities Act, but without giving effect to clause (3) of
        the proviso set forth in the definition of Consolidated Net Income;

        
	 	 	 
	 	(2) 	
        the Consolidated Cash Flow attributable to
        discontinued operations, as determined in accordance with GAAP shall be
        excluded;

        
	 	 	 
	 	(3) 	
        the Fixed Charges attributable to discontinued
        operations, as determined in accordance with GAAP, shall be excluded,
        but only to the extent that the obligations giving rise to such Fixed
        Charges will not be obligations of the specified Person or any of its
        Subsidiaries following the Calculation Date; and

        
	 	 	 
	 	(4) 	
        consolidated interest expense attributable to
        interest on any Indebtedness (whether existing or being incurred)
        computed on a pro forma basis and bearing a floating interest
        rate shall be computed as if the rate in effect on the Calculation Date
        (taking into account any interest rate option, swap, cap or similar
        agreement applicable to such Indebtedness if such agreement has a
        remaining term in excess of 12 months or, if shorter, at least equal to
        the remaining term of such Indebtedness) had been the applicable rate
        for the entire period.

      

                "Foreign Subsidiary" means any Subsidiary of the
Company that is not a Domestic Subsidiary.

               "GAAP" means generally accepted accounting principles
set forth in the opinions and pronouncements of the Accounting Principles Board
of the American Institute of Certified Public Accountants, the opinions and
pronouncements of the Public Company Accounting Oversight Board and in the
statements and pronouncements of the Financial Accounting Standards Board or in
such other statements by such other entity as have been approved by a
significant segment of the accounting profession, which are in effect on the
date of this Indenture.

10

                "Global Note Legend" means the legend set forth in
Section 2.07(g), which is required to be placed on all Global Notes issued under
this Indenture.

                "Global Notes" means, individually and collectively,
each of the Global Notes, substantially in the form of Exhibit A, issued
in accordance with Section 2.01 or Section 2.07.

                "Guarantee" means, as to any Person, a guarantee other
than by endorsement of negotiable instruments for collection in the ordinary
course of business, direct or indirect, in any manner including, without
limitation, by way of a pledge of assets or through letters of credit or
reimbursement agreements in respect thereof, of all or any part of any
Indebtedness of another Person.

                "Guarantor" means any Subsidiary that executes a Note
Guarantee in accordance with the provisions of this Indenture and its successors
and assigns until released from its obligations under its Note Guarantee and
this Indenture in accordance with the terms of this Indenture.

                "Hedging Obligations" means, with respect to any
specified Person, the obligations of such Person under:

	 	(1) 	
        interest rate swap agreements, interest rate cap
        agreements, interest rate collar agreements and other agreements or
        arrangements designed for the purpose of fixing, hedging or swapping
        interest rate risk;

        
	 	 	 
	 	(2) 	
        commodity swap agreements, commodity option
        agreements, forward contracts and other agreements or arrangements
        designed for the purpose of fixing, hedging or swapping commodity price
        risk; and

        
	 	 	 
	 	(3) 	
        foreign exchange contracts, currency swap
        agreements and other agreements or arrangements designed for the purpose
        of fixing, hedging or swapping foreign currency exchange rate risk.

      

                "Holder" means a Person in whose name a Note is
registered.

                "incur" means, with respect to any Indebtedness, to
incur, create, issue, assume, Guarantee or otherwise become directly or
indirectly liable for or with respect to, or become responsible for, the payment
of, contingently or otherwise, such Indebtedness; provided that (1) any
Indebtedness of a Person existing at the time such Person becomes a Restricted
Subsidiary of the Company will be deemed to be incurred by such Restricted
Subsidiary at the time it becomes a Restricted Subsidiary of the Company and (2)
neither the accrual of interest nor the accretion of original issue discount nor
the payment of interest in the form of additional Indebtedness with the same
terms and the payment of dividends on Disqualified Stock in the form of
additional shares of the same class of Disqualified Stock (to the extent
provided for when the Indebtedness or Disqualified Stock on which such interest
or dividend is paid was originally issued) shall be considered an incurrence of
Indebtedness; provided that in each case the amount thereof is for all
other purposes included in the Fixed Charges and Indebtedness of the Company or
its Restricted Subsidiary as accrued.

11

                "Indebtedness" means, with respect to any specified
Person, any indebtedness of such Person, whether or not contingent:

	 	(1) 	
        in respect of borrowed money;

        
	 	 	 
	 	(2) 	
        evidenced by bonds, notes, debentures or similar
        instruments;

        
	 	 	 
	 	(3) 	
        evidenced by letters of credit (or reimbursement
        agreements in respect thereof), but excluding obligations with respect
        to letters of credit (including trade letters of credit) securing
        obligations (other than obligations described in clause (1) or (2) above
        or clause (5), (6) or (8) below) entered into in the ordinary course of
        business of such Person to the extent such letters of credit are not
        drawn upon or, if drawn upon, to the extent such drawing is reimbursed
        no later than the third Business Day following receipt by such Person of
        a demand for reimbursement; 

        
	 	 	 
	 	(4)	
         in respect of bankers' acceptances; 

        
	 	 	 
	 	(5) 	
        in respect of Capital Lease Obligations;

        
	 	 	 
	 	(6) 	
        in respect of the balance deferred and unpaid of
        the purchase price of any property, except any such balance that
        constitutes an accrued expense or trade payable;

        
	 	 	 
	 	(7) 	
        representing Hedging Obligations, other than
        Hedging Obligations that are incurred for the purpose of fixing, hedging
        or swapping interest rate, commodity price or foreign currency exchange
        rate risk (or to reverse or amend any such agreements previously made
        for such purposes), and not for speculative purposes, and that do not
        increase the Indebtedness of the obligor outstanding at any time other
        than as a result of fluctuations in interest rates, commodity prices or
        foreign currency exchange rates or by reason of fees, indemnities and
        compensation payable thereunder; 

        
	 	 	 
	 	(8) 	
        representing Disqualified Stock valued at the
        greater of its voluntary or involuntary maximum fixed repurchase price
        plus accrued dividends; or

        
	 	 	 
	 	(9) 	
        with respect to the Company, all obligations
        pursuant to the Supplemental Plan.

      

In addition, the term "Indebtedness" includes (x) all
Indebtedness of others secured by a Lien on any asset of the specified Person
(whether or not such Indebtedness is assumed by the specified Person), provided
that the amount of such Indebtedness shall be the lesser of (A) the Fair Market
Value of such asset at such date of determination and (B) the amount of such
Indebtedness, and (y) to the extent not otherwise included, the Guarantee by the
specified Person of any Indebtedness of any other Person. For purposes hereof,
the "maximum fixed repurchase price" of any Disqualified Stock which does not
have a fixed repurchase price shall be calculated in accordance with the terms
of such Disqualified Stock as if such Disqualified Stock were repurchased on any
date on which Indebtedness shall be required to be determined pursuant to this
Indenture, and, if such price is based upon, or measured by, the Fair Market
Value of such 

12

Disqualified Stock, such fair market shall be determined in
good faith by the Board of Directors of the issuer of such Disqualified Stock.

                The amount of any Indebtedness outstanding as of any date
shall be the outstanding balance at such date of all unconditional obligations
as described above and, with respect to contingent obligations, the maximum
liability upon the occurrence of the contingency giving rise to the obligation,
and shall be: 

	 	(1) 	
        the accreted value thereof, in the case of any
        Indebtedness issued with original issue discount; and

        
	 	 	 
	 	(2) 	
        the principal amount thereof, together with any
        interest thereon that is more than 30 days past due, in the case of any
        other Indebtedness; 

      

provided that Indebtedness shall not include:

	 	(i)	
        any liability for federal, state, local or other
        taxes,

        
	 	 	 
	 	(ii)	
        obligations in respect of performance, surety or
        appeal bonds or performance or completion guarantees provided in the
        ordinary course of business,

        
	 	 	 
	 	(iii)	
        any liability arising from the honoring by a bank or
        other financial institution of a check, draft or similar instrument
        drawn against insufficient funds in the ordinary course of business,
        provided, however, that such liability is extinguished within five
        Business Days of its incurrence, or

        
	 	 	 
	 	(iv)	
        Guarantees or letters of credit, surety bonds or
        performance bonds securing any obligations of the Company or any of its
        Restricted Subsidiaries pursuant to agreements providing for adjustment
        of purchase price or similar obligations, in any case, incurred in
        connection with the disposition of any business, assets or Restricted
        Subsidiary (other than Guarantees of Indebtedness incurred by any Person
        acquiring all or any portion of such business, assets or Restricted
        Subsidiary for the purpose of financing such acquisition), so long as
        the principal amount does not exceed the gross proceeds actually
        received by the Company or any Restricted Subsidiary in connection with
        such disposition.

      

                "Indenture" means this Indenture, as amended or
supplemented from time to time.

                "Indirect Participant" means a Person who holds a
beneficial interest in a Global Note through a Participant.

                "Internal Revenue Code" means the Internal Revenue
Code of 1986, as amended.

                "Investments" means, with respect to any Person, all
direct or indirect investments by such Person in other Persons (including
Affiliates) in the forms of loans or other extensions of credit (including
Guarantees, but excluding advances to customers or suppliers in  

13

the ordinary
course of business that are, in conformity with GAAP, recorded as accounts
receivable, prepaid expenses or deposits on the balance sheet of the Company or
its Restricted Subsidiaries and endorsements for collection or deposit arising
in the ordinary course of business), advances (excluding commission, payroll,
travel and similar advances to officers and employees made consistent with past
practices), capital contributions (by means of any transfer of cash or other
property to others or any payment for property or services for the account or
use of others), purchases or other acquisitions for consideration of
Indebtedness, Equity Interests or other securities, together with all items that
are or would be classified as investments on a balance sheet prepared in
accordance with GAAP.

                If the Company or any Restricted Subsidiary of the Company
sells or otherwise disposes of any Equity Interests of any Restricted Subsidiary
of the Company such that, after giving effect to any such sale or disposition,
such Person is no longer a Restricted Subsidiary of the Company, the Company
shall be deemed to have made an Investment on the date of any such sale or
disposition equal to the Fair Market Value of the Investment in such Subsidiary
not sold or disposed of in an amount determined as provided in Section 4.07. The
acquisition by the Company or any Restricted Subsidiary of the Company of a
Person that holds an Investment in a third Person shall be deemed to be an
Investment by the Company or such Restricted Subsidiary in such third Person in
an amount equal to the Fair Market Value of the Investment held by the acquired
Person in such third Person in an amount determined as provided in Section 4.07.

                "Issue Date" means the date of original issuance of
the Notes under this Indenture.

                "Legal Holiday" means a Saturday, a Sunday or a day on
which banking institutions in The City of New York or at a place of payment are
authorized by law, regulation or executive order to remain closed. 

                "Lien" means, with respect to any asset, any mortgage,
lien, pledge, charge, security interest or encumbrance of any kind in respect of
such asset, whether or not filed, recorded or otherwise perfected under
applicable law, including any conditional sale or other title retention
agreement, any lease in the nature thereof, any option or other agreement to
sell or give a security interest in and any filing of or agreement to give any
financing statement under the Uniform Commercial Code (or equivalent statutes)
of any jurisdiction.

                "Moody's" means Moody's Investors Service, Inc. and
its successors.

                "Net Income" means, with respect to any specified
Person, the net income (loss) of such Person, determined in accordance with GAAP
and before any reduction in respect of Preferred Stock dividends, excluding,
however:

	 	(1) 	
        any gain (but not loss), together with any
        related provision for taxes on such gain (but not loss), realized in
        connection with: (a) any sale of assets outside the ordinary course of
        business of such Person; or (b) the disposition of any securities by
        such Person or any of its Restricted Subsidiaries or the extinguishment
        of any Indebtedness of such Person or any of its Restricted
        Subsidiaries; and

        

14

	 	(2) 	
        any extraordinary gain (but not loss), together
        with any related provision for taxes on such extraordinary gain (but not
        loss). 

      

                "Net Proceeds" means the aggregate cash proceeds,
including payments in respect of deferred payment obligations (to the extent
corresponding to the principal, but not the interest component, thereof)
received by the Company or any of its Restricted Subsidiaries in respect of any
Asset Sale (including, without limitation, any cash received upon the sale or
other disposition of any non-cash consideration received in any Asset Sale), net
of (1) the direct costs relating to such Asset Sale, including, without
limitation, legal, accounting, investment banking and brokerage fees, and sales
commissions, and any relocation expenses incurred as a result thereof, (2) taxes
paid or payable as a result thereof, in each case, after taking into account any
available tax credits or deductions and any tax sharing arrangements, (3)
amounts required to be applied to the repayment of Indebtedness or other
liabilities, secured by a Lien on the asset or assets that were the subject of
such Asset Sale, or is required to be paid as a result of such sale, (4) any
reserve for adjustment in respect of the sale price of such asset or assets
established in accordance with GAAP and (5) appropriate amounts to be provided
by the Company or its Restricted Subsidiaries as a reserve against liabilities
associated with such Asset Sale, including, without limitation, pension and
other post-employment benefit liabilities, liabilities related to environmental
matters and liabilities under any indemnification obligations associated with
such Asset Sale, all as determined in accordance with GAAP.

                "Note Guarantee" means a Guarantee of the Notes
pursuant to Section 4.18 of this Indenture.

                "Notes" means the 6.250% Senior Subordinated Notes due
2015 of the Company issued on the date hereof and any Additional Notes. The
Notes and the Additional Notes, if any, shall be treated as a single class for
all purposes under this Indenture.

                "Obligations" means any principal, interest,
penalties, fees, indemnifications, reimbursements, damages and other liabilities
payable under the documentation governing any Indebtedness.

                "Officer" means, with respect to any Person, the
Chairman of the Board, the Chief Executive Officer, the President, the Chief
Operating Officer, the Chief Financial Officer, the Treasurer, any Assistant
Treasurer, the Controller, the Secretary or any Vice-President of such Person.

                "Officers' Certificate" means a certificate signed on
behalf of the Company by at least two Officers of the Company, one of whom must
be the principal executive officer, the principal financial officer, the
treasurer or the principal accounting officer of the Company, that meets the
requirements of this Indenture.

                "Opinion of Counsel" means an opinion from legal
counsel who is reasonably acceptable to the Trustee (who may be counsel to or an
employee of the Company) that meets the requirements of this Indenture.

                "Participant" means, with respect to the Depository, a
Person who has an account with the Depository.

15

                "Permitted Business"
means any business conducted or proposed to be conducted (as described in the
Prospectus) by the Company and its Restricted Subsidiaries on the date of this
Indenture and other businesses reasonably related or ancillary thereto.

                "Permitted Investments" means: 

	 	(1) 	
        any Investment in the Company or in a Restricted
        Subsidiary of the Company;

        
	 	 	 
	 	(2) 	
        any Investment in Cash Equivalents;

        
	 	 	 
	 	(3) 	
        any Investment by the Company or any Restricted
        Subsidiary of the Company in a Person, if as a result of such
        Investment:

        
	 	 	 
	 	 	(a) 	
            such Person becomes a Restricted Subsidiary
            of the Company; or

            
	 	 	 	 
	 	 	(b) 	
            such Person is merged, consolidated or
            amalgamated with or into, or transfers or conveys substantially all
            of its assets to, or is liquidated into, the Company or a Restricted
            Subsidiary of the Company;

          
	 	 	 
	 	(4) 	
        any Investment made as a result of the receipt of
        non-cash consideration from an Asset Sale that was made pursuant to and
        in compliance with Section 4.10;

        
	 	 	 
	 	(5) 	
        Investments to the extent acquired in exchange
        for the issuance of Equity Interests (other than Disqualified Stock) of
        the Company;

        
	 	 	 
	 	(6) 	
        Hedging Obligations that are incurred for the
        purpose of fixing, hedging or swapping interest rate, commodity price or
        foreign currency exchange rate risk (or to reverse or amend any such
        agreements previously made for such purposes), and not for speculative
        purposes, and that do not increase the Indebtedness of the obligor
        outstanding at any time other than as a result of fluctuations in
        interest rates, commodity prices or foreign currency exchange rates or
        by reason of fees, indemnities and compensation payable thereunder;

        
	 	 	 
	 	(7) 	
        loans or advances to the Company's officers or
        employees or those of any Restricted Subsidiary of the Company that do
        not in the aggregate exceed $7 million at any time outstanding; 

        
	 	 	 
	 	(8) 	
        stock, obligations or securities received in
        satisfaction of judgments or as a result of the compromise or resolution
        of a dispute or in a workout of a claim; 

        
	 	 	 
	 	(9) 	
        Investments in the Supplemental Plan; and

        
	 	 	 
	 	(10) 	
        other Investments in any Person (other than a
        Person that controls the Company) having an aggregate fair market value
        (measured on the date each such Investment was made and without giving
        effect to subsequent changes in value), when taken together with all
        other Investments made pursuant to this clause (10) since the Issue
        Date, not to exceed the greater of $50 million and 50% of the
        Consolidated Cash Flow of the Company for the Company's most recently
        ended four full fiscal quarters for which internal financial statements
        are available immediately preceding the date such Investment is made.

      

16

                "Permitted Junior Securities" means:

	 	(1) 	
        Equity Interests in the Company or any other
        business entity provided for by a plan of reorganization; and

        
	 	 	 
	 	(2) 	
        debt securities of the Company or any other
        business entity provided for by a plan of reorganization that are
        subordinated to all Senior Debt and any debt securities issued in
        exchange for Senior Debt to the same extent as, or to a greater extent
        than, the Notes are subordinated to Senior Debt under this Indenture.

      

                "Permitted Liens" means:

	 	(1) 	
        Liens on the assets of the Company or any
        Guarantor securing Senior Debt that was permitted by the terms of this
        Indenture to be incurred and Liens on the assets of any other Restricted
        Subsidiary securing Indebtedness incurred by such Restricted Subsidiary;

        
	 	 	 
	 	(2) 	
        Liens in favor of the Company or any Restricted
        Subsidiary;

        
	 	 	 
	 	(3) 	
        Liens on property of a Person existing at the
        time such Person is merged with or into or consolidated with the Company
        or any Restricted Subsidiary of the Company; provided that such
        Liens were in existence prior to the contemplation of such merger or
        consolidation and do not extend to any assets other than those of the
        Person merged into or consolidated with the Company or the Restricted
        Subsidiary;

        
	 	 	 
	 	(4) 	
        Liens on property existing at the time of
        acquisition thereof by the Company or any Restricted Subsidiary of the
        Company, provided that such Liens were in existence prior to the
        contemplation of such acquisition and do not extend to any property
        other than the property so acquired by the Company or the Restricted
        Subsidiary;

        
	 	 	 
	 	(5) 	
        Liens to secure Indebtedness (including Capital
        Lease Obligations) permitted by Section 4.09(b)(iv) provided that
        any such Lien (i) covers only the assets acquired, constructed or
        improved with such Indebtedness and (ii) is created within 180 days of
        such acquisition, construction or improvement;

        
	 	 	 
	 	(6) 	
        Liens existing on the date of this Indenture;

        
	 	 	 
	 	(7) 	
        Liens incurred in the ordinary course of business
        of the Company or any Restricted Subsidiary of the Company with respect
        to obligations that do not exceed $10.0 million at any one time
        outstanding; and

        
	 	 	 
	 	(8) 	
        Liens securing Permitted Refinancing
        Indebtedness, provided that any such Lien covers only the assets that
        secure the Indebtedness being refinanced.

      

17

                "Permitted Refinancing Indebtedness" means any
Indebtedness of the Company or any of its Restricted Subsidiaries issued in
exchange for, or the net proceeds of which are used to extend, refinance, renew,
replace, defease or refund other Indebtedness of the Company or any of its
Restricted Subsidiaries; provided that:

	 	(1) 	
        the principal amount (or accreted value, if
        applicable) of such Permitted Refinancing Indebtedness does not exceed
        the principal amount (or accreted value, if applicable) of the
        Indebtedness so extended, refinanced, renewed, replaced, defeased or
        refunded (plus all accrued and unpaid interest thereon and the amount of
        any reasonably determined premium necessary to accomplish such
        refinancing and such reasonable expenses incurred in connection
        therewith);

        
	 	 	 
	 	(2) 	
        such Permitted Refinancing Indebtedness has a
        final maturity date later than the final maturity date of, and has a
        Weighted Average Life to Maturity equal to or greater than the Weighted
        Average Life to Maturity of, the Indebtedness being extended,
        refinanced, renewed, replaced, defeased or refunded;

        
	 	 	 
	 	(3) 	
        if the Indebtedness being extended, refinanced,
        renewed, replaced, defeased or refunded is subordinated in right of
        payment to the Notes or any Note Guarantees, such Permitted Refinancing
        Indebtedness has a final maturity date later than the final maturity
        date of, and is subordinated in right of payment to, the Notes or such
        Note Guarantees on terms at least as favorable to the Holders of Notes
        as those contained in the documentation governing the Indebtedness being
        extended, refinanced, renewed, replaced, defeased or refunded;

        
	 	 	 
	 	(4) 	
        if the Indebtedness being extended, refinanced,
        renewed, replaced, defeased or refunded is pari passu in right of
        payment with the Notes or any Note Guarantees, such Permitted
        Refinancing Indebtedness is pari passu with, or subordinated in
        right of payment to, the Notes or such Note Guarantees; and

        
	 	 	 
	 	(5) 	
        such Permitted Refinancing Indebtedness is
        incurred either by the Company or by the Restricted Subsidiary that is
        an obligor on the Indebtedness being extended, refinanced, renewed,
        replaced, defeased or refunded. 

      

                "Person" means any individual, corporation,
partnership, joint venture, association, joint-stock company, trust,
unincorporated organization, limited liability company or government or other
entity.

                "Preferred Stock" means, with respect to any Person,
any Capital Stock of such Person that has preferential rights to any other
Capital Stock of such Person with respect to dividends or redemptions upon
liquidation.

                "Prospectus" means, collectively, the final prospectus
supplement, dated January 5, 2005, and accompanying base prospectus, dated
August 13, 2004.

                "Replacement Assets"
means (1) non-current tangible assets that shall be used or useful in a
Permitted Business or (2) substantially all the assets of a Permitted Business
or a 

18

majority of the Voting Stock of any Person engaged in a
Permitted Business that shall become on the date of acquisition thereof a
Restricted Subsidiary.

                "Representative" means the trustee, agent or
representative for any Senior Debt.

                "Responsible Officer," when used with respect to the
Trustee, means any officer within the Corporate Trust Office of the Trustee (or
any successor group of the Trustee) having direct responsibility for the
administration of the Indenture and also means, with respect to a particular
corporate trust matter, any other officer to whom such matter is referred
because of his knowledge of and familiarity with the particular subject.

                "Restricted Investment" means an Investment other than
a Permitted Investment.

                "Restricted Subsidiary" of a Person means any
Subsidiary of such Person that is not an Unrestricted Subsidiary.

                "S&P" means Standard & Poor's Rating Services, a
Division of The McGraw-Hill Companies, Inc., and its successors.

                "Securities Act" means the Securities Act of 1933, as
amended.

                "Senior Debt" means:

	 	(1) 	
        all Indebtedness of the Company or any Guarantor
        outstanding under the Credit Agreement and all Hedging Obligations with
        respect thereto, whether outstanding on the date of this Indenture or
        incurred thereafter;

        
	 	 	 
	 	(2) 	
        any other Indebtedness of the Company or any
        Guarantor permitted to be incurred under the terms of this Indenture,
        unless the instrument under which such Indebtedness is incurred
        expressly provides that it is on a parity with or subordinated in right
        of payment to the Notes or the relevant Note Guarantee, respectively;
        

        
	 	 	 
	 	(3) 	
        all Obligations with respect to the items listed
        in the preceding clauses (1) and (2) (including any interest accruing
        subsequent to the filing of a petition of bankruptcy at the rate
        provided for in the documentation with respect thereto, whether or not
        such interest is an allowed claim under applicable law); and 

        
	 	 	 
	 	(4) 	
        Indebtedness of the Company pursuant to the
        Supplemental Plan.

      

                Notwithstanding anything to the contrary in the preceding
paragraph, Senior Debt shall not include:

	 	(1) 	
        any liability for federal, state, local or other
        taxes owed or owing by the Company or any Guarantor;

        

19

	 	 	 
	 	(2) 	
        any Indebtedness of the Company or any Guarantor
        to any of its Subsidiaries or other Affiliates;

        
	 	 	 
	 	(3) 	
        any trade payables;

        
	 	 	 
	 	(4) 	
        the portion of any Indebtedness that is incurred
        in violation of this Indenture;

        
	 	 	 
	 	(5) 	
        any Indebtedness of the Company or any Guarantor
        that, when incurred, was without recourse to the Company or such
        Guarantor;

        
	 	 	 
	 	(6) 	
        any repurchase, redemption or other obligation in
        respect of Disqualified Stock; or

        
	 	 	 
	 	(7) 	
        any Indebtedness owed to any employee of the
        Company or any of its Subsidiaries (other than pursuant to the
        Supplemental Plan, except to the extent exceeding $20.0 million).

      

                "Significant Subsidiary" means any Subsidiary that
would constitute a "significant subsidiary" within the meaning of Article 1 of
Regulation S-X of the Securities Act.

                "Stated Maturity" means, with respect to any
installment of interest or principal on any series of Indebtedness, the date on
which such payment of interest or principal was scheduled to be paid in the
original documentation governing such Indebtedness, and shall not include any
contingent obligations to repay, redeem or repurchase any such interest or
principal prior to the date originally scheduled for the payment thereof.

                "Subsidiary" means, with respect to any specified
Person:

	 	(1) 	
        any corporation, association or other business
        entity of which more than 50% of the total voting power of shares of
        Capital Stock entitled (without regard to the occurrence of any
        contingency) to vote in the election of directors, managers or trustees
        thereof is at the time owned or controlled, directly or indirectly, by
        such Person or one or more of the other Subsidiaries of that Person (or
        a combination thereof); and

        
	 	 	 
	 	(2) 	
        any partnership (a) the sole general partner or
        the managing general partner of which is such Person or a Subsidiary of
        such Person or (b) the only general partners of which are such Person or
        one or more Subsidiaries of such Person (or any combination thereof).

      

                "Supplemental Plan" means, collectively, the Moog Inc.
Supplemental Retirement Plan and the Moog Inc. Supplemental Retirement Plan
Trust, in each case, as in effect on the Issue Date or as may be amended from
time to time with the approval of a majority of the disinterested members of the
Board of Directors.

                "TIA" means the Trust Indenture Act of 1939, as in
effect on the date of this Indenture, provided, however, that in the event the
Trust Indenture Act of 1939 is amended after  

20

such date, "TIA" means, to the
extent required by any such amendment, the Trust Indenture Act of 1939, as so
amended.

                "Treasury Rate" means the yield to maturity at the
time of computation of United States Treasury securities with a constant
maturity (as compiled and published in the most recent Federal Reserve
Statistical Release H.15 (519) which has become publicly available at least two
Business Days prior to the date fixed for prepayment (or, if such Statistical
Release is no longer published, any publicly available source for similar market
data)) most nearly equal to the then remaining term of the Notes to January 15,
2010; provided, however, that if the then remaining term of the Notes to
January 15, 2010 is not equal to the constant maturity of a United States
Treasury security for which a weekly average yield is given, the Treasury Rate
shall be obtained by linear interpolation (calculated to the nearest one-twelfth
of a year) from the weekly average yields of United States Treasury securities
for which such yields are given, except that if the then remaining term of the
Notes to January 15, 2010 is less than one year, the weekly average yield on
actually traded United States Treasury securities adjusted to a constant
maturity of one year shall be used.

                "Trustee" means JPMorgan Chase Bank, N.A. until a
successor replaces it in accordance with the applicable provisions of this
Indenture and thereafter means the successor serving hereunder.

                "Unrestricted Subsidiary" means any Subsidiary of the
Company that is designated by its Board of Directors as an Unrestricted
Subsidiary pursuant to a Board Resolution in compliance with Section 4.16 and
any Subsidiary of such Subsidiary.

                "U.S. Government Obligations" means securities that
are direct obligations of or non-callable obligations guaranteed by the United
States of America for the payment of which obligations or guarantee the full
faith and credit of the United States of America is pledged. 

                "Voting Stock" of any Person as of any date means the
Capital Stock of such Person that is at the time entitled to vote in the
election of the Board of Directors of such Person.

                "Weighted Average Life to Maturity" means, when
applied to any Indebtedness at any date, the number of years obtained by
dividing:

	 	(1) 	
        the sum of the products obtained by multiplying
        (a) the amount of each then remaining installment, sinking fund, serial
        maturity or other required payments of principal, including payment at
        final maturity, in respect thereof, by (b) the number of years
        (calculated to the nearest one-twelfth) that will elapse between such
        date and the making of such payment; by

        
	 	 	 
	 	(2) 	
        the then outstanding principal amount of such
        Indebtedness.

      

21

Section 1.02.
Other Definitions.

	Term	
    Defined in Section

	"Act" 	
    13.14

	"Affiliate Transaction" 	
    4.11

	"Asset Sale Offer" 	
    4.10

	"Authentication Order" 	
    2.02

	"Change of Control Offer" 	
    4.14

	"Change of Control Payment" 	
    4.14

	"Change of Control Payment Date" 	
    4.14

	"Covenant Defeasance" 	
    8.03

	"DTC" 	
    2.04

	"Event of Default" 	
    6.01

	"Excess Proceeds" 	
    4.10

	"Legal Defeasance" 	
    8.02

	"non-payment default" 	
    12.03

	"Offer Amount" 	
    3.08

	"Offer Period" 	
    3.08

	"Paying Agent" 	
    2.04

	"Payment Blockage Notice" 	
    12.03

	"Payment Default" 	
    6.01

	"Permitted Debt" 	
    4.09

	"Purchase Date" 	
    3.08

	"Registrar" 	
    2.04

	"Related Proceedings" 	
    13.09

	"Repurchase Offer" 	
    3.08

	"Restricted Payments" 	
    4.07

	"Specified Courts" 	
    13.09

Section 1.03.
Incorporation by
Reference of Trust Indenture Act.

                Whenever this Indenture refers to a provision of the TIA, the
provision is incorporated by reference in and made a part of this Indenture.

                The following TIA terms used in this Indenture have the
following meanings:

                    "obligor" on the Notes means the Company and any
    successor obligor upon the Notes.

Section 1.04. Rules of
Construction. Unless the context otherwise requires: 

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

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

            
	 	 	 
	 	(c) 	
            "or" is not exclusive;

            

22

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

            
	 	 	 
	 	(e) 	
            "herein", "hereof" and other word of similar
            import refer to this Indenture as a whole and not to any particular
            Section, Article or other subdivision;

            
	 	 	 
	 	(f) 	
            all references to Sections or Articles or
            Exhibits refer to Sections or Articles or Exhibits of or to this
            Indenture unless otherwise indicated; and

            
	 	 	 
	 	(g) 	
            references to sections of or rules under the
            Securities Act shall be deemed to include substitute, replacement of
            successor sections or rules adopted by the Commission from time to
            time. 

          

ARTICLE TWO

THE NOTES

Section 2.01.
Form and Dating.

                (a) General. The Notes and the Trustee's certificate
of authentication shall be substantially in the form of Exhibit A. The
Notes may have notations, legends or endorsements required by law, stock
exchange rule or usage. Each Note shall be dated the date of its authentication.
The Notes shall be issued in registered form without interest coupons, in
denominations of $1,000 in principal amount and integral multiples thereof.

                The terms and provisions contained in the Notes shall
constitute, and are hereby expressly made, a part of this Indenture, and the
Company, any Guarantors and the Trustee, by their execution and delivery of this
Indenture, expressly agree to such terms and provisions and to be bound thereby.
However, to the extent any provision of any Note conflicts with the express
provisions of this Indenture, the provisions of this Indenture shall govern and
be controlling.

                (b) Global Notes. Notes issued in global form shall be
substantially in the form of Exhibit A (and shall include the Global Note
Legend thereon). Notes issued in definitive form shall be substantially in the
form of Exhibit A (but without the Global Note Legend thereon). Each
Global Note shall represent such of the outstanding Notes as shall be specified
therein and each shall provide that it represents the aggregate principal amount
of outstanding Notes from time to time endorsed thereon and that the aggregate
principal amount of outstanding Notes represented thereby may from time to time
be reduced or increased, as appropriate, to reflect exchanges and redemptions.
Any endorsement of a Global Note to reflect the amount of any increase or
decrease in the aggregate principal amount of outstanding Notes represented
thereby shall be made by the Trustee or, if the Custodian and the Trustee are
not the same Person, by the Custodian at the direction of the Trustee, in
accordance with instructions given by the Holder thereof as required by Section
2.07 hereof.

Section 2.02.
Execution and
Authentication.

               
The Notes shall be executed on behalf of the Company by any one of the
following: its Chairman, Chief Executive Officer, President or Chief Financial
Officer and attested by any of the aforementioned Officers other than the
Officer who executed the Notes or 

23

any other Person authorized for such purpose. The signature
of any of these officers on the Notes may be manual or facsimile.

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

                A Note shall not be valid until authenticated by the manual
signature of a duly authorized signatory of the Trustee. Such signature shall be
conclusive evidence that the Note has been authenticated under this Indenture.

                The aggregate principal amount of Notes that may be
authenticated and delivered under this Indenture is unlimited. 

                The Company may, subject to Article Four of this Indenture
and applicable law, issue Additional Notes under this Indenture. The Notes
issued on the Issue Date and any Additional Notes subsequently issued shall be
treated as a single class for all purposes under this Indenture.

                At any time and from time to time after the execution of this
Indenture, the Trustee shall, upon receipt of a written order of the Company
signed by two Officers of the Company (an "Authentication Order"),
authenticate Notes for original issue in an aggregate principal amount specified
in such Authentication Order. The Authentication Order shall specify the amount
of Notes to be authenticated and the date on which the Notes are to be
authenticated.

                If such form or terms have been so established, the Trustee
shall not be required to authenticate such Notes if the issue of such Notes
pursuant to this Indenture will affect the Trustee's own rights, duties or
immunities under the Notes and this Indenture or otherwise in a manner which is
not reasonably acceptable to the Trustee.

                The Trustee may appoint an authenticating agent acceptable to
the Company to authenticate Notes. An authenticating agent may authenticate
Notes whenever the Trustee may do so. Each reference in this Indenture to
authentication by the Trustee includes authentication by such agent. An
authenticating agent has the same rights as an Agent to deal with Holders or an
Affiliate of the Company.

Section 2.03.
Methods of Receiving
Payments on the Notes.

                If a Holder has given wire transfer instructions to the
Company, the Paying Agent, on behalf of the Company, shall pay all principal,
interest and premium, if any, on that Holder's Notes in accordance with those
instructions. All other payments on Notes shall be made at the office or agency
of the Paying Agent and Registrar within the City and State of New York unless
the Company elects to make interest payments by check mailed to the Holders at
their addresses set forth in the register of Holders.

Section 2.04.
Registrar and Paying
Agent.

                (a) The Company shall maintain a registrar with an office or
agency where Notes may be presented for registration of transfer or for exchange
("Registrar") and a paying agent  

24

with an office or agency where Notes may
be presented for payment ("Paying Agent"). The Registrar shall keep a
register of the Notes and of their transfer and exchange. The Company may
appoint one or more co-registrars and one or more additional paying agents. The
term "Registrar" includes any successor thereto and co-registrar and the term
"Paying Agent" includes any successor thereto and additional paying agent. The
Company may change any Paying Agent or Registrar without prior notice to any
Holder. The Company shall notify the Trustee in writing of the name and address
of any Agent not a party to this Indenture. If the Company fails to appoint or
maintain another entity as Registrar or Paying Agent, the Trustee shall act as
such. The Company or any of its Subsidiaries may act as Paying Agent or
Registrar.

                (b) The Company initially appoints The Depository Trust
Company ("DTC") in New York, New York to act as Depository with respect
to the Global Notes.

                (c) The Company initially appoints the Trustee to act as the
Registrar and Paying Agent and to act as Custodian with respect to the Global
Notes.

Section 2.05.
Paying Agent to Hold
Money in Trust.

                The Company shall require each Paying Agent other than the
Trustee to agree in writing that the Paying Agent shall hold in trust for the
benefit of Holders or the Trustee all money held by the Paying Agent for the
payment of principal, premium, if any, or interest on the Notes, and shall
promptly notify the Trustee of any default by the Company in making any such
payment. While any such default continues, the Trustee may require a Paying
Agent to pay all money held by it to the Trustee. The Company at any time may
require a Paying Agent to pay all money held by it to the Trustee. Upon payment
over to the Trustee, the Paying Agent (if other than the Company or one of its
Subsidiaries) shall have no further liability for the money. If the Company or
one of its Subsidiaries acts as Paying Agent, it shall segregate and hold in a
separate trust fund for the benefit of the Holders all money held by it as
Paying Agent. Upon any bankruptcy or reorganization proceedings relating to the
Company, the Trustee may serve as Paying Agent for the Notes.

Section 2.06.
Holder Lists.

                (a) The Trustee shall preserve in as current a form as is
reasonably practicable the most recent list available to it of the names and
addresses of all Holders and shall otherwise comply with TIA Section 312(a). If
the Trustee is not the Registrar, the Company shall furnish to the Trustee at
least seven Business Days before each interest payment date and at such other
times as the Trustee may request in writing, a list in such form and as of such
date as the Trustee may reasonably require of the names and addresses of the
Holders of Notes and the Company shall otherwise comply with TIA Section 312(a).

                (b) Every Holder, by receiving and holding the same, agrees
with the Company, any Guarantors and the Trustee that none of the Company, any
Guarantors or the Trustee or any agent of theirs shall be held accountable by
reason of the disclosure of any information as to the names and addresses of the
Holders in accordance with TIA Section 312, regardless of the source from which
such information was derived, and that the Trustee shall not be held accountable
by reason of mailing any material pursuant to a request made under TIA Section
312.

25

Section 2.07.
Transfer and
Exchange.

                (a) Transfer and Exchange of Global Notes. A Global
Note may not be transferred as a whole except by the Depository to a nominee of
the Depository, by a nominee of the Depository to the Depository or to another
nominee of the Depository, or by the Depository or any such nominee to a
successor Depository or a nominee of such successor Depository. All Global Notes
shall be exchanged by the Company for Definitive Notes if (i) DTC (A) notifies
the Company that it is unwilling or unable to continue as Depository for the
Global Notes and the Company fails to appoint a successor Depository within 90
days after receiving such notice or (B) has ceased to be a clearing agency
registered under the Exchange Act and the Company fails to appoint a successor
Depository within 90 days after becoming aware of such condition; (ii) the
Company, at its option, notifies the Trustee in writing that it elects to cause
the issuance of Definitive Notes; or (iii) there shall have occurred and be
continuing a Default or Event of Default with respect to the Notes. Upon the
occurrence of any of the preceding events in (i), (ii) or (iii) above,
Definitive Notes shall be issued in such names as the Depository shall instruct
the Trustee in writing. Global Notes also may be exchanged or replaced, in whole
but not in part, as provided in Sections 2.08 and 2.11 hereof. Every Note
authenticated and delivered in exchange for, or in lieu of, a Global Note or any
portion thereof, pursuant to this Section 2.07 or Section 2.08 or 2.11 hereof,
shall be authenticated and delivered in the form of, and shall be, a Global
Note. A Global Note may not be exchanged for another Note other than as provided
in this Section 2.07(a); however, beneficial interests in a Global Note may be
transferred and exchanged as provided in Section 2.07(b) or (c) hereof.

                (b) Transfer and Exchange of Beneficial Interests in the
Global Notes. The transfer and exchange of beneficial interests in the
Global Notes shall be effected through the Depository, in accordance with the
provisions of this Indenture and the Applicable Procedures. Transfers of
beneficial interests in the Global Notes also shall require compliance with
either subparagraph (i) or (ii) below, as applicable, as well as one or more of
the other following subparagraphs, as applicable:

            (i)     Transfer of Beneficial Interests in the Same
    Global Note. Beneficial interests in any Global Note may be transferred
    to Persons who take delivery thereof in the form of a beneficial interest in
    a Global Note. No written orders or instructions shall be required to be
    delivered to the Registrar to effect the transfers described in this Section
    2.07(b)(i).

            (ii)     All Other Transfers and Exchanges of Beneficial
    Interests in Global Notes. In connection with all transfers and
    exchanges of beneficial interests that are not subject to Section 2.07(b)(i)
    above, the transferor of such beneficial interest must deliver to the
    Registrar either (A) (1) a written order from a Participant or an Indirect
    Participant given to the Depository in accordance with the Applicable
    Procedures directing the Depository to credit or cause to be credited a
    beneficial interest in another Global Note in an amount equal to the
    beneficial interest to be transferred or exchanged and (2) instructions
    given in accordance with the Applicable Procedures containing information
    regarding the Participant account to be credited with such increase or (B)
    (1) a written order from a Participant or an Indirect Participant given to
    the Depository in accordance with the Applicable Procedures directing the
    Depository to cause to be issued a 

    26

  
    
Definitive Note in an amount equal to the beneficial
    interest to be transferred or exchanged and (2) instructions given by the
    Depository to the Registrar containing information regarding the Person in
    whose name such Definitive Note shall be registered to effect the transfer
    or exchange referred to in (1) above. Upon satisfaction of all of the
    requirements for transfer or exchange of beneficial interests in Global
    Notes contained in this Indenture and the Notes or otherwise applicable
    under the Securities Act, the Trustee shall adjust the principal amount at
    maturity of the relevant Global Notes pursuant to Section 2.07(i).

  

                If any such transfer is effected at a time when a Global Note
has not yet been issued, the Company shall issue and, upon receipt of an
Authentication Order in accordance with Section 2.02 hereof, the Trustee shall
authenticate one or more Global Notes in an aggregate principal amount equal to
the aggregate principal amount of beneficial interests transferred.

                (c) Transfer or Exchange of Beneficial Interests for
Definitive Notes. If any holder of a beneficial interest in a Global Note
proposes to exchange such beneficial interest for a Definitive Note or to
transfer such beneficial interest to a Person who takes delivery thereof in the
form of a Definitive Note, then, upon satisfaction of the conditions set forth
in Section 2.07(b)(ii), the Trustee shall cause the aggregate principal amount
of the applicable Global Note to be reduced accordingly pursuant to Section
2.07(i), and the Company shall execute and the Trustee shall authenticate and
deliver to the Person designated in the instructions a Definitive Note in the
appropriate principal amount. Any Definitive Note issued in exchange for a
beneficial interest pursuant to this Section 2.07(c) shall be registered in such
name or names and in such authorized denomination or denominations as the holder
of such beneficial interest shall instruct the Registrar through instructions
from the Depository and the Participant or Indirect Participant. The Trustee
shall make available for delivery such Definitive Notes to the Persons in whose
names such Notes are so registered. 

                (d) Transfer and Exchange of Definitive Notes for
Beneficial Interests. A Holder of a Definitive Note may exchange such Note
for a beneficial interest in a Global Note or transfer such Definitive Note to a
Person who takes delivery thereof in the form of a beneficial interest in a
Global Note at any time. Upon receipt of a request for such an exchange or
transfer, the Trustee shall cancel the applicable Definitive Note and increase
or cause to be increased the aggregate principal amount of one of the Global
Notes.

                (e) Transfer and Exchange of Definitive Notes for
Definitive Notes. Upon request by a Holder of Definitive Notes and such
Holder's compliance with the provisions of this Section 2.07(e), the Registrar
shall register the transfer or exchange of Definitive Notes. Prior to such
registration of transfer or exchange, the requesting Holder shall present or
surrender to the Registrar the Definitive Notes duly endorsed or accompanied by
a written instruction of transfer in form satisfactory to the Registrar duly
executed by such Holder or by its attorney, duly authorized in writing. In
addition, the requesting Holder shall provide any additional certifications,
documents and information, as applicable, required pursuant to the following
provisions of this Section 2.07(e). A Holder of Definitive Notes may transfer
such Notes to a Person who takes delivery thereof in the form of a Definitive
Note. Upon receipt of a request to register such a transfer, the Registrar shall
register the Definitive Notes pursuant to the instructions from the Holder
thereof.

27

                (f) [Intentionally omitted]. 

                (g) Global Note Legend. The following legend shall
appear on the face of all Global Notes issued under this Indenture:

  
        THIS GLOBAL NOTE IS HELD BY THE DEPOSITORY (AS
        DEFINED IN THE INDENTURE GOVERNING THIS NOTE) OR ITS NOMINEE IN CUSTODY
        FOR THE BENEFIT OF THE BENEFICIAL OWNERS HEREOF, AND IS NOT TRANSFERABLE
        TO ANY PERSON UNDER ANY CIRCUMSTANCES EXCEPT THAT (I) THE TRUSTEE MAY
        MAKE SUCH NOTATIONS HEREON AS MAY BE REQUIRED PURSUANT TO SECTION 2.07
        OF THE INDENTURE, (II) THIS GLOBAL NOTE MAY BE EXCHANGED IN WHOLE BUT
        NOT IN PART PURSUANT TO SECTION 2.07(a) OF THE INDENTURE, (III) THIS
        GLOBAL NOTE MAY BE DELIVERED TO THE TRUSTEE FOR CANCELLATION PURSUANT TO
        SECTION 2.12 OF THE INDENTURE AND (IV) THIS GLOBAL NOTE MAY BE
        TRANSFERRED TO A SUCCESSOR DEPOSITORY WITH THE PRIOR WRITTEN CONSENT OF
        THE COMPANY.

      

                (h) Cancellation and/or Adjustment of Global Notes. At
such time as all beneficial interests in a particular Global Note have been
exchanged for Definitive Notes or a particular Global Note has been redeemed,
repurchased or canceled in whole and not in part, each such Global Note shall be
returned to or retained and canceled by the Trustee in accordance with Section
2.12 hereof. At any time prior to such cancellation, if any beneficial interest
in a Global Note is exchanged for or transferred to a Person who shall take
delivery thereof in the form of a beneficial interest in another Global Note or
for Definitive Notes, the principal amount of Notes represented by such Global
Note shall be reduced accordingly and an endorsement shall be made on such
Global Note by the Trustee or by the Depository at the direction of the Trustee
to reflect such reduction; and if the beneficial interest is being exchanged for
or transferred to a Person who shall take delivery thereof in the form of a
beneficial interest in another Global Note, such other Global Note shall be
increased accordingly and an endorsement shall be made on such Global Note by
the Trustee or by the Depository at the direction of the Trustee to reflect such
increase.

                (i) General Provisions Relating to Transfers and Exchanges.

            (i)     To permit registrations of transfers and exchanges,
    the Company shall execute and the Trustee shall authenticate Global Notes
    and Definitive Notes upon the Company's order or at the Registrar's request.

            (ii)     No service charge shall be made to a Holder of a
    beneficial interest in a Global Note or to a Holder of a Definitive Note for
    any registration of transfer or exchange, but the Company or the Trustee may
    require payment of a sum sufficient to cover any transfer tax or similar
    governmental charge payable in connection therewith (other than any such
    transfer taxes or similar governmental charge payable upon exchange or
    transfer pursuant to Sections 2.11, 3.06, 3.08, 4.10, 4.14 and 9.05).

    28

    
    
        (iii)     The Registrar shall not be required to register the
    transfer of or exchange any Note selected for redemption in whole or in
    part, except the unredeemed portion of any Note being redeemed in part.

            (iv)     All Global Notes and Definitive Notes issued upon
    any registration of transfer or exchange of Global Notes or Definitive Notes
    shall be the valid and legally binding obligations of the Company,
    evidencing the same debt, and entitled to the same benefits under this
    Indenture, as the Global Notes or Definitive Notes surrendered upon such
    registration of transfer or exchange.

            (v)     The Company shall not be required (A) to issue, to
    register the transfer of or to exchange any Notes during a period beginning
    at the opening of business 15 days before the day of any selection of Notes
    for redemption under Section 3.02 and ending at the close of business on the
    day of selection, (B) to register the transfer of or to exchange any Note so
    selected for redemption in whole or in part, except the unredeemed portion
    of any Note being redeemed in part, (C) to register the transfer of or to
    exchange a Note between a record date and the next succeeding interest
    payment date or (D) to register the transfer of or to exchange a Note
    tendered and not withdrawn in connection with a Change of Control Offer or
    an Asset Sale Offer.

            (vi)     Prior to due presentment for the registration of a
    transfer of any Note, the Trustee, any Agent and the Company may deem and
    treat the Person in whose name any Note is registered as the absolute owner
    of such Note for the purpose of receiving all payments of principal of and
    interest on such Notes and for all other purposes, and none of the Trustee,
    any Agent or the Company shall be affected by notice to the contrary.

            (vii)     The Trustee shall authenticate Global Notes and
    Definitive Notes in accordance with the provisions of Section 2.02.

            (viii)     All certifications, certificates and Opinions of
    Counsel required to be submitted to the Registrar pursuant to this Section
    2.07 to effect a registration of transfer or exchange may be submitted by
    facsimile.

  

Section 2.08.
Replacement Notes.

                (a) If any mutilated Note is surrendered to the Trustee or
the Company and the Trustee receives evidence to its satisfaction of the
destruction, loss or theft of any Note, the Company shall issue and the Trustee,
upon receipt of an Authentication Order, shall authenticate a replacement Note
if the Trustee's requirements are met. If required by the Trustee or the
Company, an indemnity bond must be supplied by the Holder that is sufficient in
the judgment of the Trustee and the Company to protect the Company, the Trustee,
any Agent and any authenticating agent from any loss that any of them may suffer
if a Note is replaced. The Company may charge such Holder for its expenses in
replacing a Note.

                (b) Every replacement Note is an additional obligation of the
Company and shall be entitled to all of the benefits of this Indenture equally
and proportionately with all other Notes duly issued hereunder.

29

Section 2.09.
Outstanding Notes.

                (a) The Notes outstanding at any time are all the Notes
authenticated by the Trustee except for those canceled by it, those delivered to
it for cancellation, those reductions in the interest in a Global Note effected
by the Trustee in accordance with the provisions hereof, and those described in
this Section as not outstanding. Except as set forth in Section 2.10, a Note
does not cease to be outstanding because the Company or an Affiliate of the
Company holds the Note; provided, however, Notes held by the Company or a
Subsidiary of the Company shall not be deemed to be outstanding for purposes of
Section 3.07(b).

                (b) If a Note is replaced pursuant to Section 2.08, it ceases
to be outstanding unless the Trustee receives proof satisfactory to it that the
replaced Note is held by a protected purchaser.

                (c) If the principal amount of any Note is considered paid
under Section 4.01, it ceases to be outstanding and interest on it ceases to
accrue.

                (d) If the Paying Agent (other than the Company, a Subsidiary
of the Company or an Affiliate of any of the foregoing) holds, on a redemption
date or maturity date, money sufficient to pay Notes payable on that date, then
on and after that date such Notes shall be deemed to be no longer outstanding
and shall cease to accrue interest.

Section 2.10.
Treasury Notes.

                In determining whether the Holders of the required principal
amount of Notes have concurred in any direction, waiver or consent, Notes owned
by the Company, or by any Person directly or indirectly controlling or
controlled by or under direct or indirect common control with the Company, shall
be considered as though not outstanding, except that for the purposes of
determining whether the Trustee shall be protected in relying on any such
direction, waiver or consent, only Notes that a Responsible Officer of the
Trustee actually knows are so owned shall be so disregarded.

Section 2.11.
Temporary Notes.

                (a) Until certificates representing Notes are ready for
delivery, the Company may prepare and the Trustee, upon receipt of an
Authentication Order, shall authenticate temporary Notes. Temporary Notes shall
be substantially in the form of Definitive Notes but may have variations that
the Company considers appropriate for temporary Notes and as shall be reasonably
acceptable to the Trustee. Without unreasonable delay, the Company shall prepare
and the Trustee shall authenticate definitive Notes in exchange for temporary
Notes.

                (b) Holders of temporary Notes shall be entitled to all of
the benefits of this Indenture.

Section 2.12.
Cancellation.

               
The Company at any time may deliver Notes to the Trustee for cancellation. The
Registrar and Paying Agent shall forward to the Trustee any Notes surrendered to
them for 

30

registration of transfer, exchange or payment. The Trustee
and no one else shall cancel all Notes surrendered for registration of transfer,
exchange, payment, replacement or cancellation and shall dispose of canceled
Notes in accordance with its procedures for the disposition of canceled
securities in effect as of the date of such disposition (subject to the record
retention requirement of the Exchange Act). Certification of the disposition of
all canceled Notes shall be delivered to the Company upon its written request.
The Company may not issue new Notes to replace Notes that it has paid or that
have been delivered to the Trustee for cancellation.

Section 2.13.
Defaulted Interest.

                If the Company defaults in a payment of interest on the
Notes, such interest and interest on such defaulted interest shall forthwith
cease to be payable to the Holder on the record date set forth in the Notes by
virtue of having been such Holder and the Company shall pay the defaulted
interest in any lawful manner plus, to the extent lawful, interest payable on
the defaulted interest, to the Persons who are Holders on a subsequent special
record date, in each case at the rate provided in the Notes and in Section 4.01.
The Company shall notify the Trustee in writing of the amount of defaulted
interest proposed to be paid on each Note and the date of the proposed payment.
The Company shall fix or cause to be fixed each such special record date and
payment date, provided that no such special record date shall be less
than 10 days prior to the related payment date for such defaulted interest. At
least 10 days before the special record date, the Company (or, upon the written
request of the Company, the Trustee in the name and at the expense of the
Company) shall mail or cause to be mailed to Holders a notice that states the
special record date, the related payment date and the amount of such interest to
be paid.

Section 2.14.
CUSIP Numbers.

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

ARTICLE THREE

REDEMPTION AND OFFERS TO

PURCHASE

Section 3.01.
Notices to Trustee.

                If the Company elects to redeem Notes pursuant to the
optional redemption provisions of Section 3.07, it shall furnish to the Trustee,
at least 45 days (or such shorter notice as agreed to by the Trustee) but not
more than 60 days before a redemption date, an Officers' Certificate setting
forth (i) the clause of this Indenture pursuant to which the redemption shall
occur, (ii) the redemption date, (iii) the principal amount of Notes to be
redeemed and (iv) the redemption price.

31

Section 3.02.
Selection of Notes
to Be Redeemed.

                (a) If less than all of the Notes are to be redeemed at any
time, the Trustee shall select the Notes for redemption as follows:

            (i)     if the Notes are listed on any national securities
    exchange, in compliance with the requirements of such principal national
    securities exchange; or

            (ii)     if the Notes are not so listed, on a pro rata
    basis, by lot or by such method as the Trustee shall deem appropriate.

  

In the event of partial redemption by lot, the particular
Notes to be redeemed shall be selected, unless otherwise provided herein, not
less than 30 nor more than 60 days prior to the redemption date by the Trustee
from the outstanding Notes not previously called for redemption.

                (b) The Trustee shall promptly notify the Company in writing
of the Notes selected for redemption and, in the case of any Note selected for
partial redemption, the principal amount at maturity thereof to be redeemed. No
Notes in amounts of $1,000 or less shall be redeemed in part. Notes and portions
of Notes selected shall be in amounts of $1,000 or whole multiples of $1,000;
except that if all of the Notes of a Holder are to be redeemed, the entire
outstanding amount of Notes held by such Holder, even if not a multiple of
$1,000, shall be redeemed. Except as provided in the preceding sentence,
provisions of this Indenture that apply to Notes called for redemption also
apply to portions of Notes called for redemption.

Section 3.03.
Notice of Redemption.

                (a) At least 30 days but not more than 60 days before a
redemption date, the Company shall mail or cause to be mailed, by first class
mail, a notice of redemption to each Holder whose Notes are to be redeemed at
its registered address.

                The notice shall identify the Notes to be redeemed and shall
state:

        (i)     the redemption date;

            (ii)     the redemption price;

            (iii)    if any Note is being redeemed in part, the portion
    of the principal amount thereof to be redeemed and that, after the
    redemption date upon surrender of such Note, a new Note or Notes in
    principal amount equal to the unredeemed portion of the original Note shall
    be issued in the name of the Holder thereof upon cancellation of the
    original Note;

            (iv)     the name and address of the Paying Agent;

            (v)      that Notes called for redemption must be surrendered
    to the Paying Agent to collect the redemption price and become due on the
    date fixed for redemption;

    32

    
    
        (vi)    that, unless the Company defaults in making such
    redemption payment, interest, if any, on Notes called for redemption ceases
    to accrue on and after the redemption date;

            (vii)    the paragraph of the Notes and/or Section of this
    Indenture pursuant to which the Notes called for redemption are being
    redeemed; and

            (viii)   that no representation is made as to the
    correctness or accuracy of the CUSIP number, if any, listed in such notice
    or printed on the Notes.

  

                (b) At the Company's request, the Trustee shall give the
notice of redemption in the Company's name and at its expense; provided,
however, that the Company shall have delivered to the Trustee, at least
35 days prior to the redemption date, an Officers' Certificate requesting that
the Trustee give such notice and setting forth the information to be stated in
such notice as provided in the preceding paragraph. The notice, if mailed in the
manner provided herein shall be presumed to have been given, whether or not the
Holder receives such notice.

Section 3.04.
Effect of Notice of
Redemption.

                Once notice of redemption is mailed in accordance with
Section 3.03 hereof, Notes called for redemption become irrevocably due and
payable on the redemption date at the redemption price. Interest, if any, on
Notes called for redemption ceases to accrue on and after the redemption date,
unless the Company defaults in making the applicable redemption payment. A
notice of redemption may not be conditional.

Section 3.05.
Deposit of
Redemption Price.

                (a) Not later than 12:00 p.m. (noon) New York City Time on
the redemption date, the Company shall deposit with the Trustee or with the
Paying Agent money sufficient to pay the redemption price of and accrued and
unpaid interest on all Notes to be redeemed on that date. The Trustee or the
Paying Agent shall promptly return to the Company any money deposited with the
Trustee or the Paying Agent by the Company in excess of the amounts necessary to
pay the redemption price of, and accrued and unpaid interest on, all Notes to be
redeemed.

                (b) If the Company complies with the provisions of the
preceding paragraph, on and after the redemption date, interest shall cease to
accrue on the Notes or the portions of Notes called for redemption. If a Note is
redeemed on or after an interest record date but on or prior to the related
interest payment date, then any accrued and unpaid interest shall be paid to the
Person in whose name such Note was registered at the close of business on such
record date. If any Note called for redemption shall not be so paid upon
surrender for redemption because of the failure of the Company to comply with
the preceding paragraph, interest shall be paid on the unpaid principal from the
redemption date until such principal is paid and to the extent lawful on any
interest not paid on such unpaid principal, in each case at the rate provided in
the Notes and in Section 4.01.

33

Section 3.06.
Notes Redeemed in
Part.

                Upon surrender and cancellation of a Note that is redeemed in
part, the Company shall issue and the Trustee shall authenticate for the Holder
at the expense of the Company a new Note equal in principal amount to the
unredeemed portion of the Note surrendered. No Notes in denominations of $1,000
or less shall be redeemed in part.

Section 3.07.
Optional Redemption.

                (a) Except as set forth in clauses (b) and (c) of this
Section 3.07, the Company shall not have the option to redeem the Notes pursuant
to this Section 3.07 prior to January 15, 2010. On or after January 15, 2010,
the Company may redeem all or a part of the Notes at the redemption prices
(expressed as percentages of principal amount) set forth below plus accrued and
unpaid interest thereon, to the applicable redemption date, if redeemed during
the twelve-month period beginning on January 15 of the years indicated below:

	Year	
    Percentage

	 	 
	2010 	
    103.125%

	2011 	
    102.083%

	2012 	
    101.042%

	2013 and thereafter 	
    100.000%

	 	 

                (b) At any time prior to January 15, 2008, the Company may
redeem up to 35% of the aggregate principal amount of the Notes issued hereunder
(including any Additional Notes) at a redemption price of 106.250% of the
principal amount thereof, plus accrued and unpaid interest thereon to the
redemption date, with the net cash proceeds of one or more Equity Offerings; 
provided that:

            (i)     at least 65% of the aggregate principal amount of the
    Notes issued hereunder (including any Additional Notes) remains outstanding
    immediately after the occurrence of such redemption (excluding, for purposes
    of such calculation, Notes held by the Company or its Subsidiaries); and

            (ii)     the redemption must occur within 120 days of the
    date of the closing of such Equity Offering.

  

                (c) At any time prior to January 15, 2010, the Company may
redeem all or part of the Notes at a redemption price equal to the sum of (A)
100% of the principal amount thereof, plus (B) the Applicable Premium as
of the date of redemption, plus (C) accrued and unpaid interest, if any,
to the date of redemption.

                (d) Any redemption pursuant to this Section 3.07 shall be
made in accordance with the provisions of Sections 3.01 through 3.06.

34

Section 3.08.
Repurchase Offers.

                In the event that, pursuant to Section 4.10 or Section 4.14,
the Company shall be required to commence an offer to all Holders to purchase
all or a portion of their respective Notes (a "Repurchase Offer"), it
shall follow the procedures specified in such Sections and, to the extent not
inconsistent therewith, the procedures specified below.

                The Repurchase Offer shall remain open for a period of no
less than 30 days and no more than 60 days following its commencement, except to
the extent that a longer period is required by applicable law (the "Offer
Period"). No later than three Business Days after the termination of the
Offer Period (the "Purchase Date"), the Company shall purchase the
principal amount of Notes required to be purchased pursuant to Section 4.10 or
4.14 hereof (the "Offer Amount") or, if less than the Offer Amount has
been tendered, all Notes tendered in response to the Repurchase Offer. Payment
for any Notes so purchased shall be made in the same manner as interest payments
are made.

                If the Purchase Date is on or after an interest record date
and on or before the related interest payment date, any accrued and unpaid
interest shall be paid to the Person in whose name a Note is registered at the
close of business on such record date, and no additional interest shall be
payable to Holders who tender Notes pursuant to the Repurchase Offer.

                Upon the commencement of a Repurchase Offer, the Company
shall send, by first class mail, a notice to each of the Holders, with a copy to
the Trustee. The notice shall contain all instructions and materials necessary
to enable such Holders to tender Notes pursuant to the Repurchase Offer. The
Repurchase Offer shall be made to all Holders. The notice, which shall govern
the terms of the Repurchase Offer, shall state:

        (i)     that the
    Repurchase Offer is being made pursuant to this Section 3.08 and Section
    4.10 or Section 4.14 hereof, and the length of time the Repurchase Offer
    shall remain open;

        (ii)     the Offer
    Amount, the purchase price and the Purchase Date;

        (iii)     that any
    Note not tendered or accepted for payment shall continue to accrue interest;

        (iv)     that, unless
    the Company defaults in making such payment, any Note (or portion thereof)
    accepted for payment pursuant to the Repurchase Offer shall cease to accrue
    interest after the Purchase Date;

        (v)     that Holders
    electing to have a Note purchased pursuant to a Repurchase Offer may elect
    to have Notes purchased in integral multiples of $1,000;

        (vi)     that Holders
    electing to have a Note purchased pursuant to any Repurchase Offer shall be
    required to surrender the Note, with the form entitled "Option of Holder to
    Elect Purchase" on the reverse of the Note completed, or transfer by
    book-entry transfer, to the Company, a depository, if appointed by the
    Company, or a 

    35

    
    
Paying Agent at the address specified in the notice at least
    three Business Days before the Purchase Date;

        (vii)     that
    Holders shall be entitled to withdraw their election if the Company, a
    depository, if appointed by the Company, or the Paying Agent, as the case
    may be, receives, not later than the expiration of the Offer Period, a
    facsimile transmission or letter setting forth the name of the Holder, the
    principal amount of the Note the Holder delivered for purchase and a
    statement that such Holder is withdrawing his election to have such Note
    purchased;

        (viii)     that, if
    the aggregate amount of Notes surrendered by Holders exceeds the Offer
    Amount, the Trustee shall, subject in the case of a Repurchase Offer made
    pursuant to Section 4.10, select the Notes to be purchased on a pro rata
    basis; and

        (ix)     that Holders
    whose Notes were purchased only in part shall be issued new Notes equal in
    principal amount to the unpurchased portion of the Notes surrendered (or
    transferred by book-entry transfer).

  

                On the Purchase Date, the Company shall, to the extent
lawful, subject in the case of a Repurchase Offer made pursuant to Section 4.10
to the provisions of Section 4.10, accept for payment on a pro rata basis
to the extent necessary, the Offer Amount of Notes (or portions thereof)
tendered pursuant to the Repurchase Offer, or if less than the Offer Amount has
been tendered, all Notes tendered, and shall deliver to the Trustee an Officers'
Certificate stating that such Notes (or portions thereof) were accepted for
payment by the Company in accordance with the terms of this Section 3.08. The
Company, a Depository, if appointed by the Company, or the Paying Agent, as the
case may be, shall promptly (but in any case not later than three days after the
Purchase Date) mail or deliver to each tendering Holder an amount equal to the
purchase price of Notes tendered by such Holder, as the case may be, and
accepted by the Company for purchase, and the Company shall promptly issue a new
Note. The Trustee, upon written request from the Company shall authenticate and
mail or deliver such new Note to such Holder, in a principal amount at maturity
equal to any unpurchased portion of the Note surrendered. Any Note not so
accepted shall be promptly mailed or delivered by the Company to the respective
Holder thereof. The Company shall publicly announce the results of the
Repurchase Offer on the Purchase Date.

                The Company shall comply with the requirements of Rule 14e-1
under the Exchange Act and any other securities laws and regulations thereunder
to the extent such laws or regulations are applicable in connection with the
repurchase of the Notes pursuant to a Repurchase Offer. To the extent that the
provisions of any securities laws or regulations conflict with Section 3.08,
4.10 or 4.14, the Company shall comply with the applicable securities laws and
regulations and shall not be deemed to have breached its obligations under
Section 3.08, 4.10 or 4.14 by virtue of such compliance.

36

ARTICLE FOUR

COVENANTS

Section 4.01.
Payment of Notes.

                (a) The Company shall pay or cause to be paid the principal
of, and premium, if any, and interest on, the Notes on the dates and in the
manner provided in the Notes. Principal and premium, if any, shall be considered
paid on the date due if the Paying Agent, if other than the Company or one of
its Subsidiaries, holds as of 12:00 p.m. (noon) New York City Time on the due
date money deposited by the Company in immediately available funds and
designated for and sufficient to pay all principal and premium, if any, then
due. Interest shall be considered paid on the date due if the Paying Agent, if
other than the Company or one of its Subsidiaries, holds as of 12:00 p.m. (noon)
New York City Time on the Business Day prior to the due date money deposited by
the Company in immediately available funds and designated for and sufficient to
pay all interest then due.

                (b) The Company shall pay interest (including post-petition
interest in any proceeding under any Bankruptcy Law) on overdue principal at the
rate equal to 1% per annum in excess of the then applicable interest rate on the
Notes to the extent lawful. The Company shall pay interest (including
post-petition interest in any proceeding under any Bankruptcy Law) on overdue
installments of interest (without regard to any applicable grace period) at the
same rate to the extent lawful.

Section 4.02.
Maintenance of
Office or Agency.

                (a) The Company shall maintain in the Borough of Manhattan,
The City of New York, an office or agency (which may be an office of the Trustee
or Registrar or agent of the Trustee or Registrar) where Notes may be
surrendered for registration of transfer or for exchange and where notices and
demands to or upon the Company in respect of the Notes and this Indenture may be
served. The Company shall give prompt written notice to the Trustee of the
location, and any change in the location, of such office or agency. If at any
time the Company shall fail to maintain any such required office or agency or
shall fail to furnish the Trustee with the address thereof, such presentations,
surrenders, notices and demands may be made or served at the Corporate Trust
Office of the Trustee.

                (b) The Company may also from time to time designate one or
more other offices or agencies where the Notes may be presented or surrendered
for any or all such purposes and may from time to time rescind such
designations; provided, however, that no such designation or
rescission shall in any manner relieve the Company of its obligation to maintain
an office or agency in the Borough of Manhattan, The City of New York for such
purposes. The Company shall give prompt written notice to the Trustee of any
such designation or rescission and of any change in the location of any such
other office or agency.

                (c) The Company hereby designates the Corporate Trust Office
of the Trustee as one such office or agency of the Company in accordance with
Section 2.04 of this Indenture.

37

Section 4.03.
Reports.

                (a) Whether or not required by the Commission, the Company
will file a copy of all of the information and reports referred to in clauses (i)
and (ii) below with the Commission for public availability within the time
periods specified in the Commission's rules and regulations (unless the
Commission will not accept such filing) and furnish such information to the
Trustee and, upon request, the Holders of the Notes and prospective investors:

            (i)     all quarterly and annual financial information that
    would be required to be contained in a filing with the Commission on Forms
    10-Q and 10-K if the Company were required to file such Forms, including a
    "Management's Discussion and Analysis of Financial Condition and Results of
    Operations" and, with respect to the annual information only, a report on
    the annual financial statements by the Company's certified independent
    accountants; and

            (ii)     all current reports that would be required to be
    filed with the Commission on Form 8-K.

  

                (b) If the Company has designated any of its Subsidiaries as
Unrestricted Subsidiaries under this Indenture, then the quarterly and annual
financial information required by this Section 4.03 shall include a reasonably
detailed presentation, either on the face of the financial statements or in the
footnotes thereto, and in "Management's Discussion and Analysis of Financial
Condition and Results of Operations," of the financial condition and results of
operations of the Company and its Restricted Subsidiaries separate from the
financial condition and results of operations of the Unrestricted Subsidiaries
of the Company.

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

Section 4.04.
Compliance
Certificate.

               
(a) The Company shall deliver to the Trustee, within 90 days after the end of
each fiscal year, an Officers' Certificate stating that a review of the
activities of the Company and its Subsidiaries during the preceding fiscal year
has been made under the supervision of the signing Officers with a view to
determining whether the Company has kept, observed, performed and fulfilled its
obligations under this Indenture, and further stating, as to each such Officer
signing such certificate, that to his or her knowledge, the Company has kept,
observed, performed and fulfilled its obligations under this Indenture and is
not in default in the performance or observance of any of the terms, provisions
and conditions of this Indenture (or, if a Default or Event of Default shall
have occurred, describing all such Defaults or Events of Default of which he or
she may have knowledge and what action the Company are taking or propose to take
with respect thereto) and that to his or her knowledge no event has occurred and
remains in existence by reason of which payments on account of the principal of
or interest, if any, on the Notes is 

38

prohibited or if such event has occurred, a description of
the event and what action the Company is taking or proposes to take with respect
thereto.

                (b) The Company shall, so long as any of the Notes are
outstanding, deliver to the Trustee, promptly after any Officer becomes aware of
any Default or Event of Default, an Officers' Certificate specifying such
Default or Event of Default and what action the Company is taking or proposes to
take with respect thereto.

Section 4.05.
Taxes.

                The Company shall pay, and shall cause each of its
Subsidiaries to pay, prior to delinquency, any taxes, assessments, and
governmental levies except such as are contested in good faith or where the
failure to effect such payment is not adverse in any material respect to the
Holders of the Notes.

Section 4.06.
Stay, Extension and
Usury Laws.

                The Company and any Guarantor covenants (to the extent that
it may lawfully do so) that it shall not at any time insist upon, plead, or in
any manner whatsoever claim or take the benefit or advantage of, any stay,
extension or usury law wherever enacted, now or at any time hereafter in force,
that may affect the covenants or the performance of this Indenture; and the
Company and any Guarantor (to the extent that it may lawfully do so) hereby
expressly waive all benefit or advantage of any such law, and covenants that it
shall not, by resort to any such law, hinder, delay or impede the execution of
any power herein granted to the Trustee, but shall suffer and permit the
execution of every such power as though no such law has been enacted.

Section 4.07.
Restricted Payments.

                (a) The Company shall not, and shall not permit any of its
Restricted Subsidiaries to, directly or indirectly:

            (i)     declare or pay any dividend or make any other payment
    or distribution on account of the Company's or any of its Restricted
    Subsidiaries' Equity Interests (including, without limitation, any payment
    in connection with any merger or consolidation involving the Company or any
    of its Restricted Subsidiaries) or to the direct or indirect holders of the
    Company's or any of its Restricted Subsidiaries' Equity Interests in their
    capacity as such (other than dividends, payments or distributions payable in
    Equity Interests (other than Disqualified Stock) of the Company or
    dividends, payments or distributions payable to the Company or a Restricted
    Subsidiary of the Company); 

            (ii)     purchase, redeem or otherwise acquire or retire for
    value (including, without limitation, in connection with any merger or
    consolidation involving the Company) any Equity Interests of the Company or
    any Guarantor held by Persons other than the Company or any of its
    Restricted Subsidiaries; 

    39

    
    
        (iii)     make any voluntary payment on or with respect to,
    or purchase, redeem, defease or otherwise acquire or retire for value any
    Indebtedness that is subordinated to the Notes or any Note Guarantee; or 

            (iv)     make any Restricted Investment;

  

(all such payments and other actions set forth in Section 4.07(a)(i) through
(iv) being collectively referred to as "Restricted Payments"), unless, at
the time of and after giving effect to such Restricted Payment:

  
      (A)    no Default or Event of Default shall have occurred and
      be continuing or would occur as a consequence thereof;

      

              (B)    the Company would, at the time of such Restricted
      Payment and after giving pro forma effect thereto as if such Restricted
      Payment had been made at the beginning of the applicable four-quarter
      period, have been permitted to incur at least $1.00 of additional
      Indebtedness pursuant to the Fixed Charge Coverage Ratio test set forth in
      Section 4.09(a) and 

              (C)    such Restricted Payment, together with the aggregate
      amount of all other Restricted Payments made by the Company and its
      Restricted Subsidiaries after the date of this Indenture (excluding
      Restricted Payments permitted by clauses (ii), (iii), (v), (vi) and (vii)
      of Section 4.07(b)), is less than the sum, without duplication, of:

      
            (1)    50% of the Company's Consolidated Net Income for the
        period (taken as one accounting period) from September 26, 2004 to the
        end of the Company's most recently ended fiscal quarter for which
        internal financial statements are available at the time of such
        Restricted Payment (or, if such Consolidated Net Income for such period
        is a deficit, less 100% of such deficit); plus

        
            (2)    100% of the aggregate net cash proceeds received by
        the Company since the date of this Indenture as a contribution to its
        common equity capital or from the issue or sale of Equity Interests
        (other than Disqualified Stock) of the Company or from the issue or sale
        of Disqualified Stock or debt securities of the Company that have been
        converted into or exchanged for such Equity Interests (other than Equity
        Interests (or Disqualified Stock or debt securities) sold to a
        Subsidiary of the Company); plus

        
            (3)    with respect to Restricted Investments made by the
        Company and its Restricted Subsidiaries after the date of this
        Indenture, an amount equal to the net reduction in such Investments in
        any Person resulting from dividends or other distributions, repayments
        of loans or advances, or other transfers of assets, in each case to the
        Company or any Restricted Subsidiary of the Company or from the net cash
        proceeds from the sale of any such Investment (except, in each case, to
        the extent that any such payment or proceeds are included in the
        calculation of Consolidated Net Income), from the release of any
        Guarantee (except to the extent any amounts are paid under such
        Guarantee) or from redesignations of 

        40

        
        
Unrestricted Subsidiaries as Restricted Subsidiaries,
        not to exceed, in each case, the amount of such Investment previously
        made by the Company or any Restricted Subsidiary of the Company in such
        Person or Unrestricted Subsidiary.

      

                (b) So long as no Default has occurred and is continuing or
would be caused thereby, Section 4.07(a) shall not prohibit:

            (i)     the payment of any dividend within 60 days after the
    date of declaration thereof, if at said date of declaration such payment
    would have complied with the provisions of this Indenture;

            (ii)     the redemption, repurchase, retirement, defeasance
    or other acquisition of any Indebtedness of the Company or any Guarantor
    that is subordinated to the Notes or Note Guarantees or of any Equity
    Interests of the Company or any Guarantor in exchange for, or out of the net
    cash proceeds of a contribution to the common equity of the Company or a
    substantially concurrent sale (other than to a Subsidiary of the Company)
    of, Equity Interests (other than Disqualified Stock) of the Company; 
    provided that the amount of any such net cash proceeds that are utilized
    for any such redemption, repurchase, retirement, defeasance or other
    acquisition shall be excluded from Section 4.07(a)(C)(2);

            (iii)     the defeasance, redemption, repurchase or other
    acquisition of Indebtedness of the Company or any Guarantor that is
    subordinated to the Notes or Note Guarantees with the net cash proceeds from
    an incurrence of Permitted Refinancing Indebtedness;

            (iv)     the payment of any dividend by a Restricted
    Subsidiary of the Company to the holders of its common Equity Interests on a
    pro rata basis;

            (v)     the redemption, repurchase or other acquisition or
    retirement for value of any Equity Interests of the Company or any
    Restricted Subsidiary held by any member of the Company's or any Restricted
    Subsidiary's management or by employees, former employees, directors or
    former directors of the Company or any of its Restricted Subsidiaries
    pursuant to any equity subscription agreement, stock option agreement,
    shareholders' agreement or similar agreement; provided that the
    aggregate price paid for such redeemed, repurchased, acquired or retired
    Equity Interests shall not exceed $750,000 in any twelve-month period or $5
    million in the aggregate;

            (vi)     the repurchase of Capital Stock deemed to occur upon
    the exercise of options or warrants if such Capital Stock represents all or
    a portion of the exercise price thereof; or

            (vii)     Restricted Payments which when taken together with
    all other Restricted Payments made pursuant to this clause (vii) do not
    exceed $25.0 million at any time.

  

                (c) The amount of all Restricted Payments (other than cash)
shall be the Fair Market Value on the date of the Restricted Payment of the
asset(s) or securities proposed to be transferred or issued to or by the Company
or such Subsidiary, as the case may be, pursuant to 

41

the Restricted Payment. The Fair Market Value of any assets
or securities that are required to be valued by this Section 4.07 shall be
determined by the Board of Directors whose resolution with respect thereto shall
be delivered to the Trustee. The Board of Directors' determination must be based
upon an opinion or appraisal issued by an accounting, appraisal or
investment-banking firm of national standing if the Fair Market Value exceeds
$5.0 million. Not later than the date of making any Restricted Payment, the
Company shall deliver to the Trustee an Officers' Certificate stating that such
Restricted Payment is permitted and setting forth the basis upon which the
calculations required by this Section 4.07 were computed, together with a copy
of any fairness opinion or appraisal required herein.

                (d) If the Company or a Restricted Subsidiary of the Company
makes a Restricted Payment that, at the time of the making of such Restricted
Payment, would, in the Company's good faith determination, be permitted under
the requirements of this Section 4.07, such Restricted Payment shall be deemed
to have been made in compliance with this Section 4.07 notwithstanding any
subsequent adjustments made in good faith to the Company's financial statements
for any period affecting the calculations set forth above with respect to such
Restricted Payment.

Section 4.08.
Dividend and Other
Payment Restrictions Affecting Restricted Subsidiaries.

                (a) The Company shall not, and shall not permit any of its
Restricted Subsidiaries to, directly or indirectly, create or permit to exist or
become effective any consensual encumbrance or restriction on the ability of any
Restricted Subsidiary of the Company to:

            (i)     pay dividends or make any other distributions on its
    Capital Stock (or with respect to any other interest or participation in, or
    measured by, its profits) to the Company or any of its Restricted
    Subsidiaries or pay any liabilities owed to the Company or any of its
    Restricted Subsidiaries;

            (ii)     make loans or advances to the Company or any of its
    Restricted Subsidiaries; or

            (iii)    transfer any of its properties or assets to the
    Company or any of its Restricted Subsidiaries.

  

                (b) The restrictions in paragraph (a) above shall not apply
to encumbrances or restrictions:

            (i)     existing under, by reason of or with respect to the
    Credit Agreement, Existing Indebtedness or any other agreements in effect on
    the date of this Indenture and any amendments, modifications, restatements,
    renewals, extensions, supplements, refundings, replacements or refinancings
    thereof, provided that the encumbrances and restrictions in any such
    amendments, modifications, restatements, renewals, extensions, supplements,
    refundings, replacements or refinancings are no more restrictive, taken as a
    whole, than those contained in the Credit Agreement, Existing Indebtedness
    or such other agreements, as the case may be, as in effect on the date of
    this Indenture;

            (ii)     set forth in this Indenture or the Notes;

    42

    
    
        (iii)     existing under, by reason of or with respect to
    applicable law, rule, regulation or order;

            (iv)     with respect to any Person or the property or assets
    of a Person acquired by the Company or any of its Restricted Subsidiaries
    existing at the time of such acquisition and not incurred in connection with
    or in contemplation of such acquisition, which encumbrance or restriction is
    not applicable to any Person or the properties or assets of any Person,
    other than the Person, or the property or assets of the Person, so acquired
    and any amendments, modifications, restatements, renewals, extensions,
    supplements, refundings, replacements or refinancings thereof, provided
    that the encumbrances and restrictions in any such amendments,
    modifications, restatements, renewals, extensions, supplements, refundings,
    replacements, or refinancings are no more restrictive, taken as a whole,
    than those in effect on the date of the acquisition;

            (v)     in the case of Section 4.08(a)(iii):

    
            (A)     that restrict in a customary manner the
        subletting, assignment or transfer of any property or asset that is a
        lease, license, conveyance or contract or similar property or asset; 

            (B)     existing by virtue of any transfer of, agreement
        to transfer, option or right with respect to, or Lien on, any property
        or asset of the Company or any Restricted Subsidiary thereof not
        otherwise prohibited by this Indenture; or

            (C)     arising or agreed to in the ordinary course of
        business, not relating to any Indebtedness, and that do not,
        individually or in the aggregate, detract from the value of property or
        assets of the Company or any Restricted Subsidiary thereof in any manner
        material to the Company or any Restricted Subsidiary thereof;

      

            (vi)     existing under, by reason of or with respect to any
    agreement for the sale or other disposition of all or substantially all of
    the capital stock of, or property and assets of, a Restricted Subsidiary
    that restrict distributions by that Restricted Subsidiary pending such sale
    or other disposition; 

            (vii)     existing on cash or other deposits or net worth
    imposed by customers or required by insurance, surety or bonding companies,
    in each case, under contracts entered into in the ordinary course of
    business; 

            (viii)     existing under, by reason of or with respect to
    customary supermajority voting provisions and customary provisions with
    respect to the disposition or distribution of assets or property, in each
    case contained in joint venture agreements; and

            (ix)     existing under, by reason of or with respect to
    Indebtedness incurred by Foreign Subsidiaries, provided that the aggregate
    amount outstanding at any time thereunder shall not exceed $20.0 million.

    43

  

Section 4.09.
Incurrence of
Indebtedness and Issuance of Preferred Stock.

                (a) The Company shall not, and shall not permit any of its
Restricted Subsidiaries to, directly or indirectly, incur any Indebtedness
(including Acquired Debt), and the Company shall not permit any of its
Restricted Subsidiaries to issue any Preferred Stock; provided, however,
that the Company or any of its Restricted Subsidiaries may incur Indebtedness,
if the Fixed Charge Coverage Ratio for the Company's most recently ended four
full fiscal quarters for which internal financial statements are available
immediately preceding the date on which such additional Indebtedness is incurred
would have been at least 2.0 to 1, determined on a pro forma basis (including a
pro forma application of the net proceeds therefrom) as if the additional
Indebtedness had been incurred at the beginning of such four-quarter period. 

                (b) So long as no Default shall have occurred and be
continuing or would be caused thereby, Section 4.09(a) shall not prohibit the
incurrence of any of the following items of Indebtedness (collectively, "Permitted
Debt"):

  
            (i)     the incurrence by the Company of Indebtedness under
    Credit Facilities in an aggregate principal amount at any one time
    outstanding (with letters of credit being deemed to have a principal amount
    equal to the maximum potential liability of the Company and its Restricted
    Subsidiaries thereunder) not to exceed $390.0 million, less the
    aggregate amount of all Net Proceeds of Asset Sales applied by the Company
    or any Restricted Subsidiary of the Company to permanently repay any such
    Indebtedness (and, in the case of any revolving credit Indebtedness, to
    effect a corresponding commitment reduction thereunder) pursuant to Section
    4.10;

            (ii)     the incurrence of Existing Indebtedness; 

            (iii)     the incurrence by the Company of Indebtedness
    represented by the Notes to be issued on the date of this Indenture; 

            (iv)     the incurrence by the Company or any of its
    Restricted Subsidiaries of Indebtedness represented by Capital Lease
    Obligations, mortgage financings or purchase money obligations, in each
    case, incurred for the purpose of financing all or any part of the purchase
    price or cost of construction or improvement of property, plant or equipment
    used in the business of the Company or such Restricted Subsidiary, in an
    aggregate principal amount, including all Permitted Refinancing Indebtedness
    incurred to refund, refinance or replace any Indebtedness incurred pursuant
    to this clause (iv), not to exceed the greater of (a) $40.0 million at any
    time outstanding and (b) 5% of the Consolidated Net Tangible Assets of the
    Company;

            (v)     the incurrence by the Company or any Restricted
    Subsidiary of the Company of Permitted Refinancing Indebtedness in exchange
    for, or the net proceeds of which are used to refund, refinance or replace
    Indebtedness (other than intercompany Indebtedness) that was permitted by
    this Indenture to be incurred under this Section 4.09(a) or clauses (ii),
    (iii), (iv), (v), (ix) or (x) of this Section 4.09(b);

    44

    
    
        (vi)     the incurrence by the Company or any of its
    Restricted Subsidiaries of intercompany Indebtedness owing to and held by
    the Company or any of its Restricted Subsidiaries; provided, however,
    that:

    

	 	(a)	
            if the Company or any Guarantor is the obligor on
            such Indebtedness, such Indebtedness must be unsecured and expressly
            subordinated to the prior payment in full in cash of all Obligations
            with respect to the Notes, in the case of the Company, or the Note
            Guarantee, in the case of a Guarantor;

            
	 	 	 
	 	(b)	
            Indebtedness owed to the Company or any Guarantor
            may not be subordinated in right of payment to any other
            indebtedness of the obligor of such Indebtedness, unless the obligor
            of such Indebtedness is the Company or a Guarantor; and

            
	 	 	 
	 	(c)	
            (i) any subsequent issuance or transfer of Equity
            Interests that results in any such Indebtedness being held by a
            Person other than the Company or a Restricted Subsidiary thereof and
            (ii) any sale or other transfer of any such Indebtedness to a Person
            that is not either the Company or a Restricted Subsidiary thereof,
            shall be deemed, in each case, to constitute an incurrence of such
            Indebtedness by the Company or such Restricted Subsidiary, as the
            case may be, that was not permitted by this clause (vi);

          

  
            (vii)     the Guarantee by the Company or any of its
    Restricted Subsidiaries of Indebtedness of the Company or a Restricted
    Subsidiary of the Company that was permitted to be incurred by another
    provision of this Section 4.09;

            (viii)     the incurrence of Indebtedness pursuant to the
    Supplemental Plan in an aggregate amount not to exceed $20 million
    outstanding at any time; 

            (ix)     the incurrence of Indebtedness by any Foreign
    Subsidiary, in an aggregate principal amount not to exceed $50 million
    outstanding at any time; or

            (x)     the incurrence by the Company or any of its
    Restricted Subsidiaries of additional Indebtedness in an aggregate principal
    amount at any time outstanding, including all Permitted Refinancing
    Indebtedness incurred to refund, refinance or replace any Indebtedness
    incurred pursuant to this clause (x), not to exceed $100 million.

  

                For purposes of determining compliance with this Section
4.09, in the event that any proposed Indebtedness meets the criteria of more
than one of the categories of Permitted Debt described in clauses (i) through
(x) above, or is entitled to be incurred pursuant to Section 4.09(a), the
Company shall be permitted to classify at the time of its incurrence such item
of Indebtedness in any manner that complies with this Section 4.09. In addition,
any Indebtedness originally classified as incurred pursuant to Section 4.09(a)
or pursuant to clauses 4.09(b)(i) through (x) above may later be reclassified by
the Company such that it shall be deemed as having been incurred pursuant to
Section 4.09(a) or pursuant to another of such clauses to the extent that such
reclassified Indebtedness could be incurred pursuant to Section 4.09(a) or such
new clause at the time of such reclassification.

45

                (c) Notwithstanding any other provision of this Section 4.09,
the maximum amount of Indebtedness that may be incurred pursuant to this Section
4.09 shall not be deemed to be exceeded with respect to any outstanding
Indebtedness due solely to the result of fluctuations in the exchange rates of
currencies.

Section 4.10.
Asset Sales.

                (a) The Company shall not, and shall not permit any of its
Restricted Subsidiaries to, consummate an Asset Sale unless:

  
        (i)     the Company (or the Restricted Subsidiary, as the
    case may be) receives consideration at the time of such Asset Sale at least
    equal to the Fair Market Value (as determined by the Board of Directors) of
    the assets or Equity Interests issued or sold or otherwise disposed of;

        (ii)     such Fair Market Value is determined in good faith
    by the Company's Board of Directors and evidenced by a Board Resolution set
    forth in an Officers' Certificate delivered to the Trustee; and

        (iii)     at least 75% of the consideration therefor received
    by the Company or such Restricted Subsidiary is in the form of cash or
    Replacement Assets or a combination thereof. For purposes of this provision,
    each of the following shall be deemed to be cash:

    
            (A)     any liabilities (as shown on the Company's or
        such Restricted Subsidiary's most recent balance sheet) of the Company
        or such Restricted Subsidiary (other than contingent liabilities,
        Indebtedness that is by its terms pari passu with or subordinated
        to the Notes or any Note Guarantee and liabilities to the extent owed to
        the Company or any Affiliate of the Company) that are assumed by the
        transferee of any such assets pursuant to a customary written novation
        agreement that releases the Company or such Restricted Subsidiary from
        further liability therefor;

            (B)     any securities, notes or other obligations
        received by the Company or any such Restricted Subsidiary from such
        transferee that are (subject to ordinary settlement periods) converted
        by the Company or such Restricted Subsidiary into cash (to the extent of
        the cash received in that conversion) within 60 days of such Asset Sale;
        and

            (C)     any Designated Non-cash Consideration received by
        the Company or any of its Restricted Subsidiaries in such Asset Sale
        having an aggregate fair market value, taken together with all other
        Designated Non-cash Consideration received since the date of this
        Indenture pursuant to this clause (C) that is at that time outstanding,
        not to exceed $25.0 million (with the Fair Market Value of each item of
        Designated Non-cash Consideration being measured at the time received
        and without giving effect to subsequent changes in value).

        46

      
    

  

                (b) Within 365 days after the receipt of any Net Proceeds
from an Asset Sale, the Company may apply such Net Proceeds at its option:

  
        (i)     to repay Senior Debt of the Company or any Guarantor
    or Indebtedness of any other Restricted Subsidiary and, if such Indebtedness
    repaid is revolving credit Indebtedness, to correspondingly reduce
    commitments with respect thereto; 

        (ii)     to purchase Replacement Assets or make a capital
    expenditure in or that is used or useful in a Permitted Business; or

        (iii)     any combination of the foregoing.

  

                Pending the final application of any such Net Proceeds, the
Company may temporarily reduce revolving credit borrowings or otherwise invest
such Net Proceeds in any manner that is not prohibited by this Indenture.

                (c) Any Net Proceeds from Asset Sales that are not applied or
invested as provided in Section 4.10(b) above shall constitute "Excess
Proceeds." Within 10 days after the aggregate amount of Excess Proceeds
exceeds $25.0 million, the Company shall make an Asset Sale offer (an "Asset
Sale Offer") to all Holders of Notes and all holders of other Indebtedness
that is pari passu with the Notes or any Note Guarantee containing
provisions similar to those set forth by this Indenture with respect to offers
to purchase with the proceeds of sales of assets, to purchase the maximum
principal amount of Notes and such other pari passu Indebtedness that may
be purchased out of the Excess Proceeds. The offer price in any Asset Sale Offer
shall be equal to 100% of the principal amount of the Notes and such other 
pari passu Indebtedness plus accrued and unpaid interest to the date of
purchase, and shall be payable in cash. If any Excess Proceeds remain after
consummation of an Asset Sale Offer, the Company may use such Excess Proceeds
for any purpose not otherwise prohibited by this Indenture. If the aggregate
principal amount of Notes and such other pari passu Indebtedness tendered
in such Asset Sale Offer exceeds the amount of Excess Proceeds, the Notes and
such other pari passu Indebtedness shall be purchased on a pro rata basis
based on the principal amount of Notes and such other pari passu
Indebtedness tendered. Upon completion of each Asset Sale Offer, the amount of
Excess Proceeds shall be reset at zero.

                (d) The Company shall comply with the requirements of Rule
14e-1 under the Exchange Act and any other securities laws and regulations
thereunder to the extent such laws and regulations are applicable in connection
with each repurchase of Notes pursuant to an Asset Sale Offer. To the extent
that the provisions of any securities laws or regulations conflict with the
Asset Sale Offer provisions of this Indenture, the Company shall comply with the
applicable securities laws and regulations and shall not be deemed to have
breached its obligations under the Asset Sale Offer provisions of this Indenture
by virtue of such compliance.

Section 4.11.
Transactions with
Affiliates.

                (a) The Company shall not, and shall not permit any of its
Restricted Subsidiaries to, make any payment to, or sell, lease, transfer or
otherwise dispose of any of its properties or assets to, or purchase any
property or assets from, or enter into, make, amend, renew or extend  

47

any
transaction, contract, agreement, understanding, loan, advance or Guarantee
with, or for the benefit of, any Affiliate (each, an "Affiliate Transaction"),
unless:

            (i)     such Affiliate Transaction is on terms that are no
    less favorable to the Company or the relevant Restricted Subsidiary than
    those that would have been obtained in a comparable arm's-length transaction
    by the Company or such Restricted Subsidiary with a Person that is not an
    Affiliate of the Company; and 

            (ii)     the Company delivers to the Trustee: 

    
                (A)     with respect to any Affiliate Transaction or
        series of related Affiliate Transactions involving aggregate
        consideration in excess of $5.0 million, a resolution of the Board of
        Directors set forth in an Officers' Certificate certifying that such
        Affiliate Transaction or series of related Affiliate Transactions
        complies with this Section 4.11 and that such Affiliate Transaction or
        series of related Affiliate Transactions has been approved by a majority
        of the disinterested members of the Board of Directors; and

                (B)     with respect to any Affiliate Transaction or
        series of related Affiliate Transactions involving aggregate
        consideration in excess of $15.0 million, an opinion as to the fairness
        to the Company or such Restricted Subsidiary of such Affiliate
        Transaction or series of related Affiliate Transactions from a financial
        point of view issued by an independent accounting, appraisal or
        investment banking firm of national standing.

      

                (b) The following items shall not be deemed to be Affiliate
Transactions and, therefore, shall not be subject to the provisions of Section
4.11(a):

                      (i)    transactions between or among the
    Company and/or its Restricted Subsidiaries;

    
            (ii)    payment of reasonable and customary fees to, and
    reasonable and customary indemnification and similar payments on behalf of
    directors and executive officers of the Company;

            (iii)     Restricted Payments that are not prohibited by the
    provisions of Section 4.07;

            (iv)     any sale of Equity Interests (other than
    Disqualified Stock) of the Company; and

            (v)     Affiliate Transactions with any Person solely in its
    capacity as a holder of debt or capital stock of the Company or of any
    Restricted Subsidiary of the Company where such Person is treated no more
    favorably than any other holder of debt or capital stock of the Company or
    such Restricted Subsidiary, provided that such Person holds no more
    than 10% of the outstanding debt or capital stock of the Company or such
    Restricted Subsidiary.

    48

      
  

Section 4.12.
Liens.

                The Company shall not, and shall not permit any of its
Restricted Subsidiaries to, create, incur, assume or otherwise cause or suffer
to exist or become effective any Lien of any kind securing Indebtedness (other
than Permitted Liens) upon any of their properties or assets, now owned or
hereafter acquired, unless all payments due under this Indenture and the Notes
are secured on an equal and ratable basis with the obligations so secured (or,
in the case of Indebtedness subordinated to the Notes or the Note Guarantees, on
a basis prior or senior to such obligations so secured, with the same relative
priority as the Notes shall have with respect to such subordinated Indebtedness)
until such time as such obligations are no longer secured by a Lien.

Section 4.13.
Business Activities.

                The Company shall not, and shall not permit any Restricted
Subsidiary thereof to, engage in any business other than Permitted Businesses,
except to such extent as would not be material to the Company and its Restricted
Subsidiaries taken as a whole.

Section 4.14.
Offer to Repurchase
upon a Change of Control.

                (a) If a Change of Control occurs, each Holder of Notes shall
have the right to require the Company to repurchase all or any part (equal to
$1,000 or an integral multiple thereof) of that Holder's Notes pursuant to an
offer by the Company (a "Change of Control Offer") at an offer price (a "Change
of Control Payment") in cash equal to 101% of the aggregate principal amount
thereof plus accrued and unpaid interest thereon, to the date of the Change of
Control Payment Date. Within 30 days following any Change of Control, the
Company shall mail a notice to each Holder describing the transaction or
transactions that constitute the Change of Control and offering to repurchase
Notes on a date (the "Change of Control Payment Date") specified in such
notice, which date shall be no earlier than 30 days and no later than 60 days
from the date such notice is mailed, pursuant to the procedures described in
Section 3.08 (including the notice required thereby). The Company shall comply
with the requirements of Rule 14e-1 under the Exchange Act and any other
securities laws and regulations thereunder to the extent such laws and
regulations are applicable in connection with the repurchase of the Notes as a
result of a Change of Control. To the extent that the provisions of any
securities laws or regulations conflict with the Change of Control provisions of
this Indenture, the Company shall comply with the applicable securities laws and
regulations and shall not be deemed to have breached its obligations under the
Change of Control provisions of this Indenture by virtue of such compliance.

                (b) On the Change of Control Payment Date, the Company shall,
to the extent lawful:

            (i)     accept for payment all Notes or portions thereof
    properly tendered pursuant to the Change of Control Offer;

            (ii)     deposit with the Paying Agent an amount equal to the
    Change of Control Payment in respect of all Notes or portions thereof so
    tendered; and

    49

    
    
        (iii)     deliver or cause to be delivered to the Trustee the
    Notes so accepted together with an Officers' Certificate stating the
    aggregate principal amount of Notes or portions thereof being purchased by
    the Company.

  

                (c) The Paying Agent shall promptly mail or wire transfer to
each Holder of Notes so tendered the Change of Control Payment for such Notes,
and the Trustee shall promptly authenticate and mail (or cause to be transferred
by book entry) to each Holder a new Note equal in principal amount to any
unpurchased portion of the Notes surrendered, if any; provided that each
such new Note shall be in a principal amount of $1,000 or an integral multiple
thereof. Any Note so accepted for payment shall cease to accrue interest on and
after the Change of Control Payment Date.

                (d) Prior to complying with any of the provisions of this
Section 4.14, but in any event within 90 days following a Change of Control, the
Company shall either repay all outstanding Senior Debt or obtain the requisite
consents, if any, under all agreements governing outstanding Senior Debt to
permit the repurchase of Notes required by this Section 4.14. The Company shall
publicly announce the results of the Change of Control Offer on or as soon as
practicable after the Change of Control Payment Date.

                (e) Notwithstanding anything to the contrary in this Section
4.14, the Company shall not be required to make a Change of Control Offer upon a
Change of Control if a third party makes the Change of Control Offer in the
manner, at the times and otherwise in compliance with the requirements set forth
in this Section 4.14 and all other provisions of this Indenture applicable to a
Change of Control Offer made by the Company and purchases all Notes validly
tendered and not withdrawn under such Change of Control Offer.

Section 4.15.

Limitation on Senior Subordinated Debt.

                (a) The Company shall not incur any Indebtedness that is
subordinate or junior in right of payment to any Senior Debt of the Company
unless it is pari passu or subordinate in right of payment to the Notes.

                (b) No Guarantor shall incur any Indebtedness that is
subordinate or junior in right of payment to the Senior Debt of such Guarantor
unless it is pari passu or subordinate in right of payment to such
Guarantor's Note Guarantee. 

                (c) For purposes of the foregoing, no Indebtedness shall be
deemed to be subordinated in right of payment to any other Indebtedness of the
Company or any Guarantor, as applicable, solely by virtue of being unsecured or
by virtue of the fact that the holders of any secured Indebtedness have entered
into intercreditor agreements giving one or more of such holders priority over
the other holders in the collateral held by them.

Section 4.16. Designation of Restricted and Unrestricted
Subsidiaries.

                (a) Any Restricted Subsidiary of the Company may be
designated by the Board of Directors of the Company as an Unrestricted
Subsidiary; provided that:

50

            (i)     any Guarantee by the Company or any Restricted
    Subsidiary thereof of any Indebtedness of the Subsidiary being so designated
    shall be deemed to be an incurrence of Indebtedness by the Company or such
    Restricted Subsidiary (or both, if applicable) at the time of such
    designation, and such incurrence of Indebtedness would be permitted under
    Section 4.09;

            (ii)     the aggregate Fair Market Value of all outstanding
    Investments owned by the Company and its Restricted Subsidiaries in the
    Subsidiary being so designated (including any Guarantee by the Company or
    any Restricted Subsidiary of any Indebtedness of such Subsidiary) shall be
    deemed to be a Restricted Investment made as of the time of such designation
    and that such Investment would be permitted under Section 4.07;

            (iii)     such Subsidiary does not hold any Equity Interests
    of, or hold any Liens on any property of the Company or any Restricted
    Subsidiary thereof; 

            (iv)     the Subsidiary being so designated: 

    
                (A)     is not party to any agreement, contract,
        arrangement or understanding with the Company or any Restricted
        Subsidiary of the Company unless the terms of any such agreement,
        contract, arrangement or understanding are no less favorable to the
        Company or such Restricted Subsidiary than those that might be obtained
        at the time from Persons who are not Affiliates of the Company;

                (B)     is a Person with respect to which neither the
        Company nor any of its Restricted Subsidiaries has any direct or
        indirect obligation (1) to subscribe for additional Equity Interests or
        (2) to maintain or preserve such Person's financial condition or to
        cause such Person to achieve any specified levels of operating results;
        

                (C)     has not Guaranteed or otherwise directly or
        indirectly provided credit support for any Indebtedness of the Company
        or any of its Restricted Subsidiaries, except to the extent such
        Guarantee or credit support would be released upon such designation;

                (D)     has at least one director on its Board of
        Directors that is not a director or officer of the Company or any of its
        Restricted Subsidiaries and has at least one executive officer that is
        not a director or officer of the Company or any of its Restricted
        Subsidiaries; and 

      

            (v)     no Default or Event of Default would be in existence
    following such designation.

  

               
(b) Any designation of a Restricted Subsidiary of the Company as an Unrestricted
Subsidiary shall be evidenced to the Trustee by filing with the Trustee a Board
Resolution giving effect to such designation and an Officers' Certificate
certifying that such designation complied with the preceding conditions and was
permitted by this Indenture. If, at any time, any 

51

Unrestricted Subsidiary would fail to meet any of the
preceding requirements described in Section 4.16(a)(iv), it shall thereafter
cease to be an Unrestricted Subsidiary for purposes of this Indenture and any
Indebtedness, Investments, or Liens on the property, of such Subsidiary shall be
deemed to be incurred or made by a Restricted Subsidiary of the Company as of
such date and, if such Indebtedness, Investments or Liens are not permitted to
be incurred or made as of such date under this Indenture, the Company shall be
in violation of the applicable provisions of this Indenture.

                (c) The Company may at any time designate any Unrestricted
Subsidiary to be a Restricted Subsidiary of the Company; provided that:

            (i)     such designation shall be deemed to be an incurrence
    of Indebtedness by a Restricted Subsidiary of the Company of any outstanding
    Indebtedness of such Unrestricted Subsidiary and such designation shall only
    be permitted if such Indebtedness is permitted under Section 4.09,
    calculated on a pro forma basis as if such designation had occurred at the
    beginning of the applicable four-quarter reference period;

            (ii)     all outstanding Investments owned by such
    Unrestricted Subsidiary shall be deemed to be made as of the time of such
    designation and such Investments shall only be permitted if such Investments
    would be permitted under Section 4.07;

            (iii)     all Liens upon property or assets of such
    Unrestricted Subsidiary existing at the time of such designation would be
    permitted under Section 4.12; and

            (iv)     no Default or Event of Default would be in existence
    following such designation.

  

Section 4.17.
Payments for Consent.

                The Company shall not, and shall not permit any of its
Restricted Subsidiaries to, directly or indirectly, pay or cause to be paid any
consideration to or for the benefit of any Holder of Notes for or as an
inducement to any consent, waiver or amendment of any of the terms or provisions
of this Indenture or the Notes unless such consideration is offered to be paid
and is paid to all Holders of the Notes that consent, waive or agree to amend in
the time frame set forth in the solicitation documents relating to such consent,
waiver or agreement.

Section 4.18.
Guarantees.

                (a) The Company shall not permit any of its Restricted
Subsidiaries, directly or indirectly, to Guarantee or pledge any assets to
secure the payment of any other Indebtedness of the Company or any Guarantor
(other than Senior Debt permitted to be incurred under this Indenture) unless
such Restricted Subsidiary simultaneously executes and delivers a supplemental
indenture providing for the Note Guarantee of the payment of the Notes by such
Restricted Subsidiary, provided that such Note Guarantee shall be senior
to or pari passu with such Subsidiary's Guarantee of such other
Indebtedness with the same relative priority as the Notes or Note Guarantee
shall have with respect to such other Indebtedness. 

52

                (b) Notwithstanding Section 4.18(a), any Note Guarantee may
provide by its terms that it shall be automatically and unconditionally released
and discharged under the circumstances described under Section 10.02 hereof. 

ARTICLE FIVE

SUCCESSORS

Section 5.01.
Merger,
Consolidation or Sale of Assets.

                (a) The Company shall not, directly or indirectly: (1)
consolidate or merge with or into another Person (whether or not the Company is
the surviving corporation) or (2) sell, assign, transfer, convey or otherwise
dispose of all or substantially all of the properties and assets of the Company
and its Restricted Subsidiaries taken as a whole, in one or more related
transactions, to another Person or Persons, unless:

            (i)     either: (a) the Company is the surviving corporation;
    or (b) the Person formed by or surviving any such consolidation or merger
    (if other than the Company) or to which such sale, assignment, transfer,
    conveyance or other disposition shall have been made (1) is a corporation
    organized or existing under the laws of the United States, any state thereof
    or the District of Columbia and (2) assumes all the obligations of the
    Company under the Notes and this Indenture pursuant to a supplemental
    indenture reasonably satisfactory to the Trustee;

            (ii)     immediately after giving effect to such transaction,
    no Default or Event of Default exists; and

            (iii)     immediately after giving effect to such transaction
    on a pro forma basis, the Company or the Person formed by or surviving any
    such consolidation or merger (if other than the Company), or to which such
    sale, assignment, transfer, conveyance or other disposition shall have been
    made, shall, on the date of such transaction after giving pro forma effect
    thereto and any related financing transactions as if the same had occurred
    at the beginning of the applicable four-quarter period, be permitted to
    incur at least $1.00 of additional Indebtedness pursuant to the Fixed Charge
    Coverage Ratio test set forth in Section 4.09(a). 

  

                (b) In addition, neither the Company nor any Restricted
Subsidiary thereof may, directly or indirectly, lease all or substantially all
of its properties or assets, in one or more related transactions, to any other
Person. 

                (c) Section 5.01(a)(iii) shall not apply to (i) any merger,
consolidation or sale, assignment, transfer, conveyance or other disposition of
assets between or among the Company and any of its Restricted Subsidiaries or
(ii) any merger with any Affiliate of the Company if (in the case of this clause
(ii)) in the good faith determination of the Board of Directors, whose
determination shall be evidenced by a Board Resolution, the principal purpose of
such transaction is to change the state of incorporation of the Company and such
transaction shall not have as one of its purposes the evasion of the foregoing
restrictions.

53

Section 5.02.
Successor
Corporation Substituted. 

                Upon any consolidation or merger, or any sale, assignment,
transfer, lease, conveyance or other disposition of all or substantially all of
the assets of the Company in accordance with Section 5.01 hereof, the successor
corporation formed by such consolidation or into or with which the Company is
merged or to which such sale, assignment, transfer, conveyance or other
disposition is made shall succeed to, and be substituted for (so that from and
after the date of such consolidation, merger, sale, conveyance or other
disposition, the provisions of this Indenture referring to the "Company" shall
refer instead to the successor corporation and not to the Company), and may
exercise every right and power of, the Company under this Indenture with the
same effect as if such successor Person had been named as the Company herein; 
provided, however, that the predecessor Company shall not be relieved
from the obligation to pay the principal of and interest on the Notes except in
the case of a sale, assignment, transfer, conveyance or other disposition of all
of the Company's assets that meets the requirements of Section 5.01 hereof.

ARTICLE SIX

DEFAULTS AND REMEDIES

Section 6.01.
Events of Default.

                (a) Each of the following is an "Event of Default":

            (i)     default for 30 days in the payment when due of
    interest on the Notes whether or not prohibited by the subordination
    provisions of this Indenture;

            (ii)     default in payment when due (whether at maturity,
    upon acceleration, redemption or otherwise) of the principal of, or premium,
    if any, on the Notes, whether or not prohibited by the subordination
    provisions of this Indenture;

            (iii)     failure by the Company or any of its Restricted
    Subsidiaries to comply with the provisions of Sections 3.08, 4.10, 4.14 or
    5.01;

            (iv)     failure by the Company or any of its Restricted
    Subsidiaries for 30 days after written notice by the Trustee or Holders
    representing 25% or more of the aggregate principal amount of the Notes
    outstanding to comply with any of the other agreements in this Indenture;

            (v)     default under any mortgage, indenture or instrument
    under which there may be issued or by which there may be secured or
    evidenced any Indebtedness for money borrowed by the Company or any of its
    Restricted Subsidiaries (or the payment of which is Guaranteed by the
    Company or any of its Restricted Subsidiaries) whether such Indebtedness or
    Guarantee now exists, or is created after the date of this Indenture, if
    that default:

    
                (A)     is caused by a failure to make any payment when
        due at the final maturity of such Indebtedness (a "Payment Default");
        or

        54

        
        
        (B)     results in the acceleration of such Indebtedness
        prior to its express maturity,

      

    and, in each case, the principal amount of any such
    Indebtedness, together with the principal amount of any other such
    Indebtedness under which there has been a Payment Default or the maturity of
    which has been so accelerated, aggregates $15.0 million or more;

            (vi)     failure by the Company or any of its Restricted
    Subsidiaries to pay final judgments aggregating in excess of $15.0 million,
    which judgments are not paid, discharged or stayed for a period of 60 days
    after such judgment becomes final and non-appealable;

            (vii)     the Company, any Guarantor or any Significant
    Subsidiary of the Company (or any Restricted Subsidiaries that together
    would constitute a Significant Subsidiary) pursuant to or within the meaning
    of Bankruptcy Law:

    
                (A)     commences a voluntary case;

                (B)     consents to the entry of an order for relief
        against it in an involuntary case;

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

                (D)     generally is not paying its debts as they become
        due; and

      

            (viii)     a court of competent jurisdiction enters an order
    or decree under any Bankruptcy Law that:

    
                (A)     is for relief against the Company, any Guarantor
        or any Significant Subsidiary of the Company (or Restricted Subsidiaries
        that together would constitute a Significant Subsidiary), in an
        involuntary case; or

                (B)     appoints a custodian of the Company, any
        Guarantor or any Significant Subsidiary of the Company (or Restricted
        Subsidiaries that together would constitute a Significant Subsidiary) or
        for all or substantially all of the property of the Company, any
        Guarantor or any of its Restricted Subsidiaries that is a Significant
        Subsidiary (or Restricted Subsidiaries that together would constitute a
        Significant Subsidiary); or

                (C)     orders the liquidation of the Company, any
        Guarantor or any Significant Subsidiary of the Company (or Restricted
        Subsidiaries that together would constitute a Significant Subsidiary);

      

and the order or decree remains unstayed and in effect for 60
consecutive days.

55

Section 6.02.
Acceleration.

                (a) In the case of an Event of Default specified in clause
(vii) or (viii) of Section 6.01 with respect to the Company or any Significant
Subsidiary of the Company (or any Restricted Subsidiaries that together would
constitute a Significant Subsidiary), all outstanding Notes shall become due and
payable immediately without further action or notice. If any other Event of
Default occurs and is continuing, the Trustee or the Holders of at least 25% in
principal amount of the then outstanding Notes may declare all the Notes to be
due and payable immediately by notice in writing to the Company, or if given by
the Holders of at least 25% in principal amount of the then outstanding Notes,
to the Company and the Trustee, specifying the Event of Default; provided,
however, that so long as any Indebtedness permitted to be incurred pursuant
to the Credit Agreement shall be outstanding, that acceleration shall not be
effective until the earlier of (i) an acceleration of Indebtedness under the
Credit Agreement; or (ii) five Business Days after receipt by the Company and
the agent under the Credit Agreement of written notice of the acceleration of
the Notes.

                (b) In the case of any Event of Default occurring by reason
of any willful action or inaction taken or not taken by or on behalf of the
Company with the intention of avoiding payment of the premium that the Company
would have had to pay if the Company then had elected to redeem the Notes
pursuant Section 3.07, an equivalent premium shall also become and be
immediately due and payable to the extent permitted by law upon the acceleration
of such Notes. 

Section 6.03.
Other Remedies.

                (a) If an Event of Default occurs and is continuing, the
Trustee may pursue any available remedy to collect the payment of principal,
premium, if any, and interest on the Notes or to enforce the performance of any
provision of the Notes or this Indenture.

                (b) The Trustee may maintain a proceeding even if it does not
possess any of the Notes or does not produce any of them in the proceeding. A
delay or omission by the Trustee or any Holder of a Note in exercising any right
or remedy accruing upon an Event of Default shall not impair the right or remedy
or constitute a waiver of or acquiescence in the Event of Default. All remedies
are cumulative to the extent permitted by law.

Section 6.04.
Waiver of Past
Defaults.

                (a) Holders of a majority in aggregate principal amount of
the Notes then outstanding by notice to the Trustee may on behalf of the Holders
of all of the Notes waive any existing Default or Event of Default and its
consequences hereunder except a continuing Default or Event of Default in the
payment of interest on, or the principal of, the Notes; provided, 
however, that the Holders of a majority in principal amount of the then
outstanding Notes may rescind an acceleration and its consequences, including
any related payment default that resulted from such acceleration. 

                (b) The Company shall deliver to the Trustee an Officers'
Certificate stating that the requisite percentage of Holders have consented to
such waiver and attaching copies of such consents. In case of any such waiver,
the Company, the Trustee and the Holders shall be  

56

restored to their former
positions and rights hereunder and under the Notes, respectively. This Section
6.04 shall be in lieu of Section 316(a)(1)(B) of the TIA and such Section
316(a)(1)(B) of the TIA is hereby expressly excluded from this Indenture and the
Notes, as permitted by the TIA. Upon any such waiver, such Default shall cease
to exist, and any Event of Default arising therefrom shall be deemed to have
been cured for every purpose of this Indenture; but no such waiver shall extend
to any subsequent or other Default or impair any right consequent thereon.

                (c) In the event of a declaration of acceleration of the
Notes because of an Event of Default specified in Section 6.01(a)(v) has
occurred and is continuing, the declaration of acceleration of the Notes shall
be automatically annulled if the event of default or payment default triggering
such Event of Default pursuant to Section 6.01(a)(v) shall be remedied or cured
by the Company or a Restricted Subsidiary of the Company or waived by the
holders of the relevant Indebtedness within 20 days after the declaration of
acceleration with respect thereto and if (i) the annulment of the acceleration
of such Notes would not conflict with any judgment or decree of a court of
competent jurisdiction, (ii) all existing Events of Default, except non-payment
of principal, premium or interest on the Notes that became due solely because of
the acceleration of the Notes, have been cured or waived, and (iii) the Company
has paid the Trustee its reasonable compensation and reimbursed the Trustee for
its reasonable expenses, disbursements and advancements.

Section 6.05.
Control by Majority.

                The Holders of a majority in principal amount of the then
outstanding Notes shall have the right to direct the time, method and place of
conducting any proceeding for exercising any remedy available to the Trustee.
However, the Trustee may refuse to follow any direction that conflicts with law
or this Indenture, that may involve the Trustee in personal liability, or that
the Trustee determines in good faith may be unduly prejudicial to the rights of
Holders of Notes not joining in the giving of such direction and may take any
other action it deems proper that is not inconsistent with any such direction
received from Holders of Notes. Notwithstanding any provision to the contrary in
this Indenture (but without prejudice to the rights of the Holders to accelerate
payment of the Notes pursuant to Section 6.02(a), the Trustee shall not be
obligated to take any action with respect to the provisions of the last
paragraph of Section 6.02 unless directed to do so pursuant to this Section
6.05. 

Section 6.06.
Limitation on Suits.

                (a) A Holder may not pursue any remedy with respect to this
Indenture or the Notes unless:

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

            (ii)     the Holders of at least 25% in aggregate principal
    amount of the outstanding Notes make a written request to the Trustee to
    pursue the remedy;

            (iii)     such Holder or Holders offer the Trustee indemnity
    satisfactory to the Trustee against any costs, liability or expense;

    57

    
    
        (iv)     the Trustee does not comply with the request within
    60 days after receipt of the request and the offer of indemnity; and

            (v)     during such 60-day period, the Holders of a majority
    in aggregate principal amount of the outstanding Notes do not give the
    Trustee a direction that is inconsistent with the request.

  

                (b) A Holder of a Note may not use this Indenture to
prejudice the rights of another Holder of a Note or to obtain a preference or
priority over another Holder of a Note.

Section 6.07.
Rights of Holders of
Notes to Receive Payment.

                Notwithstanding any other provision of this Indenture, the
right of any Holder of a Note to receive payment of the principal of, premium,
if any, or interest on such Note or to bring suit for the enforcement of any
such payment, on or after the due date expressed in the Notes, which right shall
not be impaired or affected without the consent of the Holder.

Section 6.08.
Collection Suit by
Trustee.

                If an Event of Default specified in Section 6.01(a)(i) or (a)(ii)
occurs and is continuing, the Trustee is authorized to recover judgment in its
own name and as trustee of an express trust against the Company for the whole
amount of principal of, premium, if any, and interest, if any, remaining unpaid
on the Notes and interest on overdue principal and premium, if any, and, to the
extent lawful, and such further amount as shall be sufficient to cover the costs
and expenses of collection, including the reasonable compensation, expenses,
disbursements and advances of the Trustee, its agents and counsel.

Section 6.09.
Trustee May File
Proofs of Claim.

               
The Trustee is authorized to file such proofs of claim and other papers or
documents as may be necessary or advisable in order to have the claims of the
Trustee (including any claim for the reasonable compensation, expenses,
disbursements and advances of the Trustee, its agents and counsel) and the
Holders of the Notes allowed in any judicial proceedings relative to the Company
or any Guarantor (or any other obligor upon the Notes), its creditors or its
property and shall be entitled and empowered to collect, receive and distribute
any money or other securities or property payable or deliverable on any such
claims and any custodian in any such judicial proceeding is hereby authorized by
each Holder to make such payments to the Trustee, and in the event that the
Trustee shall consent to the making of such payments directly to the Holders, to
pay to the Trustee any amount due to it for the reasonable compensation,
expenses, disbursements and advances of the Trustee, its agents and counsel, and
any other amounts due the Trustee under Section 7.06. To the extent that the
payment of any such compensation, expenses, disbursements and advances of the
Trustee, its agents and counsel and any other amounts due the Trustee under
Section 7.06 out of the estate in any such proceeding shall be denied for any
reason, payment of the same shall be secured by a Lien on, and shall be paid out
of, any and all distributions, dividends, money, securities and other properties
that the Holders may be entitled to receive in such proceeding whether in
liquidation or under any plan of reorganization or arrangement or otherwise.
Nothing herein contained shall be deemed to authorize the Trustee to authorize
or consent to or accept or adopt on behalf of any Holder any 

58

plan of reorganization, arrangement, adjustment or
composition affecting the Notes or the rights of any Holder, or to authorize the
Trustee to vote in respect of the claim of any Holder in any such proceeding.

Section 6.10.
Priorities.

                (a) If the Trustee collects any money pursuant to this
Article Six, it shall pay out the money in the following order:

           
    
    First: to the Trustee, its agents and attorneys for
    amounts due under Section 7.06, including payment of all reasonable
    compensation, expense and liabilities incurred, and all advances made, by
    the Trustee and the reasonable costs and expenses of collection;

           
    
    Second: to Holders of Notes for amounts due and
    unpaid on the Notes for principal, premium, if any, and interest, ratably,
    without preference or priority of any kind, according to the amounts due and
    payable on the Notes for principal, premium, if any, and interest,
    respectively; and

           
    
    Third: to the Company or to such party as a court of
    competent jurisdiction shall direct in writing.

  

                (b) The Trustee may fix a record date and payment date for
any payment to Holders of Notes pursuant to this Section 6.10.

Section 6.11.
Undertaking for
Costs.

                In any suit for the enforcement of any right or remedy under
this Indenture or in any suit against the Trustee for any action taken or
omitted by it as a Trustee, a court in its discretion may require the filing by
any party litigant in the suit of an undertaking to pay the costs of the suit,
and the court in its discretion may assess reasonable costs, including
reasonable attorneys' fees, against any party litigant in the suit, having due
regard to the merits and good faith of the claims or defenses made by the party
litigant. This Section 6.11 does not apply to a suit by the Trustee, a suit by a
Holder of a Note pursuant to Section 6.07 hereof, or a suit by Holders of more
than ten percent in principal amount of the then outstanding Notes.

ARTICLE SEVEN

TRUSTEE

Section 7.01.
Duties of Trustee. 

                Except to the extent, if any, provided otherwise in the TIA:

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

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

59

            (i)     The Trustee undertakes to perform such duties and
    only such duties as are specifically set forth in this Indenture and no
    others, and no implied covenants or obligations shall be read into this
    Indenture against the Trustee; and

            (ii)     in the absence of bad faith on its part, the Trustee
    may conclusively rely, as to the truth of the statements and the correctness
    of the opinions expressed therein, upon certificates or opinions furnished
    to the Trustee and conforming to the requirements of this Indenture; but in
    the case of any such certificates or opinions which by any provision hereof
    are specifically required to be forwarded to the Trustee, the Trustee shall
    be under a duty to examine the same to determine whether or not they conform
    to the requirements of this Indenture (but need not confirm or investigate
    the accuracy of mathematical calculations or other facts stated therein).

  

                (c) No provision of this Indenture shall be construed to
relieve the Trustee from liability for its own negligent action, its own
negligent failure to act, or its own willful misconduct, except that:

            (i)     this paragraph shall not be construed to limit the
    effect of paragraph (b) of this Section 7.01;

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

            (iii)     the Trustee shall not be liable with respect to any
    action taken or omitted to be taken in good faith in accordance with the
    direction of the Holders of a majority in principal amount of the
    outstanding Notes relating to the time, method and place of conducting any
    proceeding for any remedy available to the Trustee, or exercising any trust
    or power conferred upon the Trustee, under this Indenture with respect to
    the Notes; and

            (iv)     no provision of this Indenture shall require the
    Trustee to expend or risk its own funds or incur any financial liability in
    the performance of any of its duties hereunder, including without
    limitation, the provisions of Section 6.05 hereof, or in the exercise of any
    of its rights or powers, if it shall have reasonable grounds for believing
    that repayment of such funds or indemnity against such risk or liability is
    not reasonably assured to it.

  

                (d) Whether or not therein expressly so provided, every
provision of this Indenture relating to the conduct or affecting the liability
of or affording protection to the Trustee shall be subject to the provisions of
this Section.

Section 7.02.
Certain Rights of
Trustee.

                Subject to the provisions of the TIA Sections 315(a) through
315(d):

               
(a) the Trustee may conclusively rely and shall be fully protected in acting or
refraining from acting upon any resolution, certificate, statement, instrument,
opinion, report, 

60

notice, request, direction, consent, order, bond, debenture,
note, other evidence of indebtedness or other paper or document (whether in its
original or facsimile form) believed by it to be genuine and to have been signed
or presented by the proper party or parties;

                (b) any request or direction of the Company mentioned herein
shall be sufficiently evidenced by a written request or order signed (i) by its
Chairman, Chief Executive Officer, Chief Financial Officer, a Vice Chairman, its
President or a Vice President and (ii) by its Treasurer, an Assistant Treasurer,
its Secretary or an Assistant Secretary and delivered to the Trustee; 
provided, however, that such written request or order may be signed by any
two of the officers or directors listed in clause (i) above in lieu of being
signed by one of such officers or directors listed in such clause (i) and one of
the officers listed in clause (ii) above and any resolution of the Board of
Directors may be sufficiently evidenced by a Board Resolution;

                (c) whenever in the administration of this Indenture the
Trustee shall deem it desirable that a matter be proved or established prior to
taking, suffering or omitting any action hereunder, the Trustee (unless other
evidence be herein specifically prescribed) may, in the absence of bad faith on
its part, rely upon an Officers' Certificate;

                (d) the Trustee may consult with counsel of its selection and
the advice of such counsel or any Opinion of Counsel shall be full and complete
authorization and protection in respect of any action taken, suffered or omitted
by it hereunder in good faith and in reliance thereon;

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

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

                (g) the Trustee may execute any of the trusts or powers
hereunder or perform any duties hereunder either directly or by or through
agents or attorneys and the Trustee shall not be responsible for any misconduct
or negligence on the part of any agent or attorney appointed with due care by it
hereunder; 

                (h) the Trustee shall not be liable for any action taken,
suffered, or omitted to be taken by it in good faith and reasonably believed by
it to be authorized or within the discretion or rights or powers conferred upon
it by this Indenture;

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

                (j) the Trustee shall not be deemed to have notice of any
Default or Event of Default unless a Responsible Officer of the Trustee has
actual knowledge thereof or unless written notice of any event which is in fact
such a default is received by the Trustee at the Corporate Trust Office of the
Trustee, and such notice references the Notes and this Indenture; 

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

                (l) the permissive rights of the Trustee enumerated herein
shall not be construed as duties.

Section 7.03.
Trustee's Disclaimer.

                The recitals contained herein and in the Notes, except the
Trustee's certificates of authentication, shall be taken as the statements of
the Company, and the Trustee assumes no responsibility for their correctness.
The Trustee makes no representations as to the validity or sufficiency of this
Indenture or of the Notes. The Trustee shall not be accountable for the use or
application by the Company of Notes or the proceeds thereof, except that the
Trustee represents that it is duly authorized to execute and deliver this
Indenture, authenticate the Notes and perform its obligations hereunder.

Section 7.04. May Hold Securities.

                The Trustee, any Paying Agent, Registrar or any other agent
of the Company, in its individual or any other capacity, may become the owner or
pledgee of Notes subject to TIA Sections 310(b) and 311, may otherwise deal with
the Company with the same rights it would have if it were not Trustee, Paying
Agent, Registrar or such other agent.

Section 7.05. Money Held in Trust.

                Money held by the Trustee in trust hereunder need not be
segregated from other funds except to the extent required by law. The Trustee
shall be under no liability for interest on any money received by it hereunder
except as otherwise agreed in writing with the Company.

Section 7.06.
Compensation and 
Reimbursement.

                The Company agrees:

               
(a) to pay to the Trustee from time to time such compensation as shall be agreed
to in writing between the Company and the Trustee for all services rendered by
it hereunder 

62

(which compensation shall not be limited by any provision of
law in regard to the compensation of a trustee of an express trust);

                (b) except as otherwise expressly provided herein, to
reimburse the Trustee upon its request for all reasonable expenses,
disbursements and advances incurred or made by the Trustee in accordance with
any provision of this Indenture (including the reasonable compensation and the
expenses and disbursements of its agents and counsel), except any such expense,
disbursement or advance as shall have been caused by its gross negligence or
willful misconduct; and

                (c) to indemnify each of the Trustee or any predecessor
Trustee for, and to hold it harmless against, any and all loss, damage, claim,
liability or expense including taxes (other than taxes based on the income of
the Trustee) incurred without gross negligence or willful misconduct on its
part, arising out of or in connection with the acceptance or administration of
this trust, including the costs and expenses of defending itself against any
claim or liability in connection with the exercise or performance of any of its
powers or duties hereunder.

                As security for the performance of the obligations of the
Company under this Section 7.06, the Trustee shall have a Lien prior to the
Notes upon all property and funds held or collected by the Trustee as such,
except funds held in trust for the benefit of Holders of particular Notes.

                When the Trustee incurs expenses or renders services in
connection with an Event of Default specified in Section 6.01(vii) or
6.01(viii), the expenses (including the reasonable charges and expenses of its
counsel) and the compensation for the services shall be intended to constitute
expenses of administration under any Bankruptcy Law.

                The provisions of this Section 7.06 shall survive the
resignation or removal of the Trustee and termination of this Indenture.

Section 7.07.

Eligibility; Disqualification.

                There shall at all times be a Trustee hereunder qualified or
to be qualified under TIA 310(a)(1) and which shall have a combined capital and
surplus of at least $50,000,000 to the extent there is such an institution
eligible and willing to serve. If the Trustee publishes reports of condition at
least annually, pursuant to law or to the requirements of Federal, State,
Territorial or District of Columbia supervising or examining authority, then for
the purposes of this Section 7.07, the combined capital and surplus of the
Trustee shall be deemed to be its combined capital and surplus as set forth in
its most recent report of condition so published. If at any time the Trustee
shall cease to be eligible in accordance with the provisions of this Section
7.07, it shall resign immediately in the manner and with the effect hereinafter
specified in this Article.

Section 7.08. Replacement of Trustee.

                (a) No resignation or removal of the Trustee and no
appointment of a successor Trustee pursuant to this Article shall become
effective until the acceptance of appointment by the successor Trustee under
Section 7.09.

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                (b) The Trustee may resign at any time by giving written
notice thereof to the Company. If an instrument of acceptance by a successor
Trustee shall not have been delivered to the Trustee within 30 days after the
giving of such notice of resignation, the resigning Trustee may petition at the
expense of the Company any court of competent jurisdiction for the appointment
of a successor Trustee.

                (c) The Trustee may be removed at any time by an Act of
Holders of a majority in principal amount of the Notes, delivered to the Trustee
and the Company. If an instrument of acceptance by a successor Trustee shall not
have been delivered to the Trustee within 30 days after the giving of such
notice of removal, the removed Trustee may petition at the expense of the
Company any court of competent jurisdiction for the appointment of a successor
Trustee.

                (d) If at any time:

            (i)     the Trustee shall fail to comply with the provisions
    of TIA Section 310(b) after written request therefor by the Company or by
    any Holder who has been a bona fide Holder of a Note for at least six
    months; or

            (ii)     the Trustee shall cease to be eligible under Section
    7.07 and shall fail to resign after written request therefor by the Company
    or by any Holder who has been a bona fide Holder of a Note for at least six
    months; or

            (iii)     the Trustee shall become incapable of acting or
    shall be adjudged a bankrupt or insolvent, or a receiver of the Trustee or
    of its property shall be appointed or any public officer shall take charge
    or control of the Trustee or of its property or affairs for the purpose of
    rehabilitation, conservation or liquidation,

  

then, in any case, (A) the Company by a Board Resolution may
remove the Trustee, or (B) subject to Section 6.11, the Holder of any Note who
has been a bona fide Holder of a Note for at least six months may, on behalf of
himself and all others similarly situated, petition any court of competent
jurisdiction for the removal of the Trustee and the appointment of a successor
Trustee.

                (e) If the Trustee shall resign, be removed or become
incapable of acting, or if a vacancy shall occur in the office of Trustee for
any cause, the Company, by a Board Resolution, shall promptly appoint a
successor Trustee. If, within one year after such resignation, removal or
incapability, or the occurrence of such vacancy, a successor Trustee shall be
appointed by the Act of Holders of a majority in principal amount of the Notes
delivered to the Company and the retiring Trustee, the successor Trustee so
appointed shall, forthwith upon its acceptance of such appointment in accordance
with Section 7.09, become the successor Trustee and supersede the successor
Trustee appointed by the Company. If no successor Trustee shall have been so
appointed by the Company or the Holders of the Notes and so accepted
appointment, the Holder of any Note who has been a bona fide Holder for at least
six months may, on behalf of himself and all others similarly situated, petition
any court of competent jurisdiction for the appointment of a successor Trustee.

               
(f) The Company shall give notice of each resignation and each removal of the
Trustee and each appointment of a successor Trustee by mailing written notice of
such event by first-class mail, postage prepaid, to the Holders of Notes as
their names and addresses appear in 

64

the register of Notes. Each notice shall include the name of
the successor Trustee and the address of its Corporate Trust Office.

                No successor Trustee shall accept its appointment unless at
the time of such acceptance such successor Trustee shall be qualified and
eligible under this Article.

Section 7.09. 
Acceptance of Appointment by Successor. 

                Every successor Trustee appointed hereunder shall execute,
acknowledge and deliver to the Company and to the retiring Trustee an instrument
accepting such appointment, and thereupon the resignation or removal of the
retiring Trustee shall become effective and such successor Trustee, without any
further act, deed or conveyance, shall become vested with all the rights,
powers, trusts and duties of the retiring Trustee, provided, however,
that the retiring Trustee shall continue to be entitled to the benefit of
Section 7.06(c); but, on request of the Company or the successor Trustee, such
retiring Trustee shall, upon payment of amounts due to it pursuant to Section
7.06, execute and deliver an instrument transferring to such successor Trustee
all the rights, powers and trusts of the retiring Trustee, and shall duly
assign, transfer and deliver to such successor Trustee all property and money
held by such retiring Trustee hereunder as well as any list of names and
addresses of Holders held by such retiring Trustee pursuant to Section 2.06(a).
Upon request of any such successor Trustee, the Company shall execute any and
all instruments for more fully and certainly vesting in and confirming to such
successor Trustee all such rights, powers and trusts.

Section 7.10.
Merger, Conversion,
Consolidation or Succession to Business.

                Any corporation into which the Trustee may be merged or
converted or with which it may be consolidated, or any corporation resulting
from any merger, conversion or consolidation to which the Trustee shall be a
party, or any corporation succeeding to all or substantially all of the
corporate trust business of the Trustee, shall be the successor of the Trustee
hereunder, provided such corporation shall be otherwise qualified and eligible
under this Article, without the execution or filing of any paper or any further
act on the part of any of the parties hereto. In case any Notes shall have been
authenticated, but not delivered, by the Trustee then in office, any successor
by merger, conversion or consolidation to such authenticating Trustee may adopt
such authentication and deliver the Notes so authenticated with the same effect
as if such successor Trustee had itself authenticated such Notes.

Section 7.11.
Preferential
Collection of Claims Against the Company.

                If and when the Trustee shall be or become a creditor of the
Company (or any other obligor under the Notes), the Trustee shall be subject to
the provisions of the TIA regarding the collection of claims against the Company
(or any such other obligor).

Section 7.12. 
Trustee's Application for Instructions from the Company.

               
Any application by the Trustee for written instructions from the Company may, at
the option of the Trustee, set forth in writing any action proposed to be taken
or omitted by the Trustee under this Indenture and the date on and/or after
which such action shall be taken or such omission shall be effective. The
Trustee shall not be liable for any action taken by, or omission 

65

of, the Trustee in accordance with a proposal included in
such application on or after the date specified in such application (which date
shall not be less than three Business Days after the date any Officer of the
Company actually received such application) unless, with respect to any such
action (or the effective date in the case of an omission), the Trustee shall
have received written instructions in response to such application specifying
the action to be taken or omitted).

Section 7.13.
Notice of Defaults.

                Within 90 days after the occurrence of any Default, the
Trustee shall transmit by mail to all Holders, as their names and addresses
appear in the register of Notes, notice of such Default hereunder actually known
to a Responsible Officer of the Trustee, unless such default shall have been
cured or waived; provided, however, that, except in the case of a default
in the payment of the principal of or interest on any Note, the Trustee shall be
protected in withholding such notice if and so long as a trust committee of
directors and/or Responsible Officers of the Trustee in good faith determines
that the withholding of such notice is in the interest of the Holders.

ARTICLE EIGHT

DEFEASANCE AND COVENANT DEFEASANCE

Section 8.01.
Option to Effect
Legal Defeasance or Covenant Defeasance.

                The Company may, at its option and at any time, elect to have
either Section 8.02 or 8.03 be applied to all outstanding Notes and any Note
Guarantees upon compliance with the conditions set forth below in this Article
Eight.

Section 8.02.
Legal Defeasance and
Discharge.

                Upon the Company's exercise under Section 8.01 hereof of the
option applicable to this Section 8.02, the Company shall, subject to the
satisfaction of the conditions set forth in Section 8.04 hereof, be deemed to
have been discharged from all its obligations with respect to all outstanding
Notes and all obligations of any Guarantors shall be deemed to have been
discharged with respect to their obligations under the Note Guarantees on the
date the conditions set forth below are satisfied (hereinafter, "Legal
Defeasance"). For this purpose, Legal Defeasance means that the Company and
any Guarantors shall be deemed to have paid and discharged the entire
Indebtedness represented by the outstanding Notes and any Note Guarantees,
respectively, which shall thereafter be deemed to be "outstanding" only for the
purposes of Section 8.05 and the other Sections of this Indenture referred to in
(a) and (b) below, and to have satisfied all their other obligations under such
Notes and this Indenture (and the Trustee, on demand of and at the expense of
the Company, shall execute proper instruments acknowledging the same), except
for the following provisions, which shall survive until otherwise terminated or
discharged hereunder: 

                (a) the rights of Holders of outstanding Notes to receive
solely from the trust fund described in Section 8.04, and as more fully set
forth in such Section, payments in respect of the principal of, premium, if any,
and interest on such Notes when such payments are due; 

66

                (b) the Company's obligations with respect to such Notes
under Article Two concerning issuing temporary Notes, registration of Notes and
mutilated, destroyed, lost or stolen Notes and the Company's obligations under
Section 4.02;

                (c) the rights, powers, trusts, duties and immunities of the
Trustee hereunder and the Company's and any Guarantors' obligations in
connection therewith, and 

                (d) this Section 8.02. 

Subject to compliance with this Article Eight, the Company
may exercise its option under this Section 8.02 notwithstanding the prior
exercise of its option under Section 8.03 hereof.

Section 8.03.
Covenant Defeasance.

                Upon the Company's exercise under Section 8.01 hereof of the
option applicable to this Section 8.03, the Company and any Guarantors shall,
subject to the satisfaction of the conditions set forth in Section 8.04 hereof,
be released from their obligations under the covenants contained in Sections
4.07, 4.08, 4.09, 4.10, 4.11, 4.12, 4.13, 4.14, 4.15, 4.16, 4.17, 4.18, 5.01 and
10.01 with respect to the outstanding Notes on and after the date the conditions
set forth in Section 8.04 are satisfied (hereinafter, "Covenant Defeasance"),
and neither the Notes nor any Note Guarantees shall thereafter be deemed
"outstanding" for the purposes of any direction, waiver, consent or declaration
or act of Holders (and the consequences of any thereof) in connection with such
covenants, but shall continue to be deemed "outstanding" for all other purposes
hereunder (it being understood that such Notes shall not be deemed outstanding
for accounting purposes). For this purpose, Covenant Defeasance means that, with
respect to the outstanding Notes, the Company and any Guarantors may omit to
comply with and shall have no liability in respect of any term, condition or
limitation set forth in any such covenant, whether directly or indirectly, by
reason of any reference elsewhere herein to any such covenant or by reason of
any reference in any such covenant to any other provision herein or in any other
document and such omission to comply shall not constitute a Default or an Event
of Default under Section 6.01, but, except as specified above, the remainder of
this Indenture and such Notes shall be unaffected thereby. In addition, upon the
Company's exercise under Section 8.01 of the option applicable to this Section
8.03, subject to the satisfaction of the conditions set forth in Section 8.04,
Sections 6.01(a)(iii), 6.01(a)(iv) (with respect to the covenants contained in
Sections 4.07, 4.08, 4.09, 4.11, 4.12, 4.13, 4.15, 4.16, 4.17, 4.18 and 10.01),
6.01(a)(v) and 6.01(vi) shall not constitute Events of Default.

Section 8.04.
Conditions to Legal
or Covenant Defeasance.

                (a) The following shall be the conditions to the application
of either Section 8.02 or 8.03 to the outstanding Notes:

            (i)     the Company must irrevocably deposit with the
    Trustee, in trust, for the benefit of the Holders of the Notes, cash in U.S.
    dollars, non-callable U.S. Government Obligations, or a combination thereof,
    in such amounts as shall be sufficient, in the opinion of a nationally
    recognized firm of independent public accountants, to pay the principal of,
    or interest and premium, if any, on the Notes on the Stated Maturity or on

    

    67

    
    
the applicable redemption date, as the case may be, and the Company must
    specify whether the Notes are being defeased to maturity or to a particular
    redemption date;

            (ii)    
    in the case of Legal Defeasance, the Company shall have delivered to the
    Trustee an Opinion of Counsel confirming that (a) the Company has received
    from, or there has been published by, the Internal Revenue Service a ruling
    or (b) since the date of this Indenture, there has been a change in the
    applicable federal income tax law, in either case to the effect that, and
    based thereon such Opinion of Counsel shall confirm that, the Holders of the
    outstanding Notes shall not recognize income, gain or loss for federal
    income tax purposes as a result of such Legal Defeasance and shall be
    subject to federal income tax on the same amounts, in the same manner and at
    the same times as would have been the case if such Legal Defeasance had not
    occurred;

            (iii)     in the case of Covenant Defeasance, the Company
    shall have delivered to the Trustee an Opinion of Counsel confirming that
    the Holders of the outstanding Notes shall not recognize income, gain or
    loss for federal income tax purposes as a result of such Covenant Defeasance
    and shall be subject to federal income tax on the same amounts, in the same
    manner and at the same times as would have been the case if such Covenant
    Defeasance had not occurred;

            (iv)     no Default or Event of Default shall have occurred
    and be continuing either: (a) on the date of such deposit; or (b) insofar as
    Events of Default from bankruptcy or insolvency events are concerned, at any
    time in the period ending on the 123rd day after the date of deposit;

            (v)     such Legal Defeasance or Covenant Defeasance shall
    not result in a breach or violation of, or constitute a default under any
    material agreement or instrument to which the Company or any of its
    Subsidiaries is a party or by which the Company or any of its Subsidiaries
    is bound;

            (vi)     the Company must have delivered to the Trustee an
    Opinion of Counsel to the effect that, (1) assuming no intervening
    bankruptcy of the Company or any Guarantor between the date of deposit and
    the 123rd day following the deposit and assuming that no Holder is an
    "insider" of the Company under applicable bankruptcy law, after the 123rd
    day following the deposit, the trust funds shall not be subject to the
    effect of any applicable bankruptcy, insolvency, reorganization or similar
    laws affecting creditors' rights generally, including Section 547 of the
    United States Bankruptcy Code and (2) the creation of the defeasance trust
    does not violate the Investment Company Act of 1940;

            (vii)     the Company must deliver to the Trustee an
    Officers' Certificate stating that the deposit was not made by the Company
    with the intent of preferring the Holders of the Notes over the other
    creditors of the Company with the intent of defeating, hindering, delaying
    or defrauding creditors of the Company or others;

            (viii)     if the Notes are to be redeemed prior to their
    Stated Maturity, the Company must deliver to the Trustee irrevocable
    instructions to redeem all of the Notes on the specified redemption date;
    and

    68

    
    
        (ix)     the Company must deliver to the Trustee an Officers'
    Certificate stating that all conditions precedent relating to the Legal
    Defeasance or the Covenant Defeasance have been complied with.

  

Section 8.05. Deposited Money and
U.S. Government Obligations to Be Held in Trust; Other Miscellaneous Provisions.

                (a) Subject to Section 8.06, all money and non-callable U.S.
Government Obligations (including the proceeds thereof) deposited with the
Trustee pursuant to Section 8.04 in respect of the outstanding Notes shall be
held in trust and applied by the Trustee, in accordance with the provisions of
such Notes and this Indenture, to the payment, either directly or through any
Paying Agent (including the Company acting as Paying Agent) as the Trustee may
determine, to the Holders of such Notes of all sums due and to become due
thereon in respect of principal and premium, if any, and interest, but such
money need not be segregated from other funds except to the extent required by
law.

                (b) The Company shall pay and indemnify the Trustee against
any tax, fee or other charge imposed on or assessed against the cash or
non-callable U.S. Government Obligations deposited pursuant to Section 8.04 or
the principal and interest received in respect thereof other than any such tax,
fee or other charge which by law is for the account of the Holders of the
outstanding Notes.

                (c) Anything in this Article Eight to the contrary
notwithstanding, the Trustee shall deliver or pay to the Company from time to
time upon the request of the Company any money or non-callable U.S. Government
Obligations held by it as provided in Section 8.04 which, in the opinion of a
nationally recognized firm of independent public accountants expressed in a
written certification thereof delivered to the Trustee (which may be the opinion
delivered under Section 8.04(a)), are in excess of the amount thereof that would
then be required to be deposited to effect an equivalent Legal Defeasance or
Covenant Defeasance.

Section 8.06.
Reinstatement.

                If the Trustee or Paying Agent is unable to apply any U.S.
dollars or non-callable U.S. Government Obligations in accordance with Section
8.02 or 8.03, as the case may be, by reason of any order or judgment of any
court or governmental authority enjoining, restraining or otherwise prohibiting
such application, then the Company's obligations under this Indenture and the
Notes shall be revived and reinstated as though no deposit had occurred pursuant
to Section 8.02 or 8.03 and, in the case of a Legal Defeasance, any Guarantors'
obligations under their respective Note Guarantees shall be revived and
reinstated as though no deposit had occurred pursuant to Section 8.02, in each
case until such time as the Trustee or Paying Agent is permitted to apply all
such money in accordance with Section 8.02 or 8.03, as the case may be; 
provided, however, that, if the Company makes any payment of
principal of, premium, if any, or interest on any Note following the
reinstatement of its obligations, the Company shall be subrogated to the rights
of the Holders of such Notes to receive such payment from the money held by the
Trustee or Paying Agent.

69

ARTICLE NINE

AMENDMENT, SUPPLEMENT AND WAIVER

Section 9.01.
Without Consent of
Holders of Notes.

                Notwithstanding Section 9.02 below, the Company, any
Guarantors and the Trustee may amend or supplement this Indenture, the Notes or
any Note Guarantees without the consent of any Holder of a Note:

            (i)     to cure any ambiguity, defect or inconsistency;

            (ii)     to provide for uncertificated Notes in addition to
    or in place of certificated Notes;

            (iii)     to provide for the assumption of the Company's or
    any Guarantor's obligations to Holders of Notes in the case of a merger or
    consolidation or sale of all or substantially all of the Company's or such
    Guarantor's assets;

            (iv)     to make any change that would provide any additional
    rights or benefits to the Holders of Notes (including additional Note
    Guarantees or Liens securing the Notes) or that does not materially
    adversely affect the rights under this Indenture of any such Holder;

            (v)     to comply with the provisions of Section 4.18;

            (vi)     to evidence and provide for the acceptance of
    appointment by a successor Trustee; 

            (vii)     to provide for the issuance of Additional Notes in
    accordance with this Indenture; or

            (viii)    to comply with any requirements of the Commission
    under the TIA.

  

                Upon the request of the Company authorizing the execution of
any such amended or supplemental Indenture, the Trustee shall join with the
Company in the execution of any amended or supplemental Indenture authorized or
permitted by the terms of this Indenture and to make any further appropriate
agreements and stipulations that may be therein contained, but the Trustee shall
not be obligated to enter into such amended or supplemental Indenture that
affects its own rights, duties or immunities under this Indenture or otherwise.

Section 9.02.
With Consent of
Holders of Notes.

               
(a) Except as otherwise provided in this Section 9.02, the Company, any
Guarantors and the Trustee may amend or supplement this Indenture, the Notes or
the Notes Guarantees with the consent of the Holders of at least a majority in
principal amount of the Notes then outstanding (including, without limitation,
consents obtained in connection with a purchase of, or tender offer or exchange
offer for, the Notes), and, subject to Sections 6.04 and 6.07, any existing
Default or Event of Default or compliance with any provision of this Indenture
or the 

70

Notes or the Notes Guarantees may be waived with the consent
of the Holders of a majority in principal amount of the then outstanding Notes
(including Additional Notes, if any) (including, without limitation, consents
obtained in connection with a purchase of, or tender offer or exchange offer
for, Notes).

                (b) The Company may, but shall not be obligated to, fix a
record date for the purpose of determining the Persons entitled to consent to
any indenture supplemental hereto. If a record date is fixed, the Holders on
such record date, or its duly designated proxies, and only such Persons, shall
be entitled to consent to such supplemental indenture, whether or not such
Holders remain Holders after such record date; provided that unless such
consent shall have become effective by virtue of the requisite percentage having
been obtained prior to the date which is 90 days after such record date, any
such consent previously given shall automatically and without further action by
any Holder be cancelled and of no further effect.

                (c) Upon the request of the Company authorizing the execution
of any such amendment or supplement to this Indenture, and upon the filing with
the Trustee of evidence satisfactory to the Trustee of the consent of the
Holders of Notes as aforesaid, and upon receipt by the Trustee of the documents
described in Section 7.02(b), the Trustee shall join with the Company in the
execution of such amendment or supplement unless such amendment or supplement
directly affects the Trustee's own rights, duties or immunities under this
Indenture or otherwise, in which case the Trustee may in its discretion, but
shall not be obligated to, enter into such amendment or supplement.

                (d) It shall not be necessary for the consent of the Holders
of Notes under this Section 9.02 to approve the particular form of any proposed
amendment, supplement or waiver, but it shall be sufficient if such consent
approves the substance thereof.

                (e) After an amendment, supplement or waiver under this
Section becomes effective, the Company shall mail to the Holders of Notes
affected thereby a notice briefly describing the amendment, supplement or
waiver. Any failure of the Company to mail such notice, or any defect therein,
shall not, however, in any way impair or affect the validity of any such
amendment, supplement or waiver. Subject to Sections 6.04 and 6.07, the Holders
of a majority in aggregate principal amount of the then outstanding Notes
(including Additional Notes, if any) may waive compliance in a particular
instance by the Company with any provision of this Indenture, or the Notes.
However, without the consent of each Holder affected, an amendment or waiver
under this Section 9.02 may not (with respect to any Notes held by a
non-consenting Holder):

            (i)     reduce the principal amount of Notes whose Holders
    must consent to an amendment, supplement or waiver;

            (ii)     reduce the principal of or change the fixed maturity
    of the Notes or alter the provisions, or waive any payment, with respect to
    the redemption of the Notes to the extent such alteration or waiver reduces
    the principal amount or premium payable upon redemption of the Notes or
    changes the date on which the Notes may be redeemed;

            (iii)     reduce the rate of or change the time for payment
    of interest on the Notes;

    71

    
    
        (iv)     waive a Default or Event of Default in the payment
    of principal of, or interest, or premium, if any, on, the Notes (except a
    rescission of acceleration of the Notes by the Holders of at least a
    majority in aggregate principal amount of the Notes and a waiver of the
    payment default that resulted from such acceleration);

            (v)     make the Notes payable in money other than U.S.
    dollars;

            (vi)     make any change in the provisions of this Indenture
    relating to waivers of past Defaults or the rights of Holders of the Notes
    to receive payments of principal of, or interest or premium, if any, on the
    Notes;

            (vii)     release any Guarantor from any of its obligations
    under its Note Guarantee or this Indenture, except in accordance with the
    terms of this Indenture;

            (viii)     impair the right to institute suit for the
    enforcement of any payment on or with respect to the Notes or any Note
    Guarantees;

            (ix)     amend, change or modify the obligation of the
    Company to make and consummate an Asset Sale Offer with respect to any Asset
    Sale in accordance with Section 4.10(c) after the obligation to make such
    Asset Sale Offer has arisen, or the obligation of the Company to make and
    consummate a Change of Control Offer in the event of a Change of Control in
    accordance with Section 4.14 after such Change of Control has occurred,
    including, in each case, amending, changing or modifying any definition
    relating thereto;

            (x)     except as otherwise permitted under Sections 4.18 and
    5.01, consent to the assignment or transfer by the Company or any Guarantor
    of any of their rights or obligations under this Indenture;

            (xi)     amend or modify any of the provisions of this
    Indenture or the related definitions affecting the subordination or ranking
    of the Notes or any Note Guarantee in any manner adverse to the holders of
    the Notes or any Note Guarantee; or

            (xii)     make any change in the preceding amendment and
    waiver provisions.

  

Section 9.03.
Compliance with
Trust Indenture Act.

                Every amendment or supplement to this Indenture or the Notes
shall be set forth in a document that complies with the TIA as then in effect.

Section 9.04.
Revocation and
Effect of Consents.

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

72

An amendment, supplement or waiver becomes effective in
accordance with its terms and thereafter binds every Holder.

Section 9.05.
Notation on or
Exchange of Notes.

                (a) The Trustee may place an appropriate notation about an
amendment, supplement or waiver on any Note thereafter authenticated. The
Company in exchange for all Notes may issue and the Trustee shall, upon receipt
of an Authentication Order, authenticate new Notes that reflect the amendment,
supplement or waiver.

                (b) Failure to make the appropriate notation or issue a new
Note shall not affect the validity and effect of such amendment, supplement or
waiver.

Section 9.06.
Trustee to Sign
Amendments, Etc.

                The Trustee shall sign any amendment or supplement to this
Indenture or any Note authorized pursuant to this Article Nine if the amendment
or supplement does not adversely affect the rights, duties, liabilities or
immunities of the Trustee. The Company may not sign an amendment or supplemental
Indenture or Note unless the officer or officers signing on behalf of the
Company are duly authorized to do so. In executing any amendment or supplement
or Note, the Trustee shall be provided with in addition to the documents
required by Section 13.04 and (subject to Section 7.01) shall be fully protected
in relying upon an Officers' Certificate and an Opinion of Counsel stating that
the execution of such amendment or supplement is authorized or permitted by this
Indenture.

ARTICLE TEN

GUARANTEES

Section 10.01.
Guarantors May Consolidate, Etc., on Certain Terms.

                (a) A Guarantor may not sell or otherwise dispose of all or
substantially all of its assets to, or consolidate with or merge with or into
(whether or not such Guarantor is the surviving Person), another Person, other
than the Company or another Guarantor, unless:

            (i)     immediately after giving effect to that transaction,
    no Default or Event of Default exists; and

            (ii)     either:

    
                (A) the Person acquiring the property in any such
        sale or disposition or the Person formed by or surviving any such
        consolidation or merger (if other than the Guarantor) is a corporation
        organized or existing under the laws of the United States, any state
        thereof or the District of Columbia and assumes all the obligations of
        that Guarantor under this Indenture or its Note Guarantee pursuant to a
        supplemental indenture satisfactory to the Trustee; or

                (B) such sale or other disposition or consolidation
        or merger complies with Section 4.10.

        73

      
  

                (b) In case of any such consolidation, merger, sale or
conveyance and upon the assumption by the successor Person, by supplemental
indenture, executed and delivered to the Trustee and satisfactory in form to the
Trustee, of the Note Guarantee endorsed upon the Notes and the due and punctual
performance of all of the covenants and conditions of this Indenture to be
performed by a Guarantor, such successor Person shall succeed to and be
substituted for a Guarantor with the same effect as if it had been named herein
as a Guarantor. Such successor Person thereupon may cause to be signed any or
all of the Note Guarantees to be endorsed upon all of the Notes issuable
hereunder which theretofore shall not have been signed by the Company and
delivered to the Trustee. All the Note Guarantees so issued shall in all
respects have the same legal rank and benefit under this Indenture as the Note
Guarantees theretofore and thereafter issued in accordance with the terms of
this Indenture as though all of such Note Guarantees had been issued at the date
of the execution hereof.

                (c) Except as set forth in Article Five, and notwithstanding
clauses (i) and (ii) of Section 10.01(a), nothing contained in this Indenture or
in any of the Notes shall prevent any consolidation or merger of a Guarantor
with or into the Company or another Guarantor, or shall prevent any sale or
conveyance of the property of a Guarantor as an entirety or substantially as an
entirety to the Company or another Guarantor.

Section 10.02.

Release of Guarantor. 

                Any Guarantor shall be released and relieved of any
obligations under its Note Guarantee; 

                (a) in connection with any sale or other disposition of all
of the Capital Stock of that Guarantor to a Person that is not (either before or
after giving effect to such transaction) an Affiliate of the Company, if the
sale of all such Capital Stock of that Guarantor complies with Section 4.10;

                (b) if the Company properly designates such Guarantor as an
Unrestricted Subsidiary under this Indenture; or

                (c) upon the release or discharge of the Guarantee which
resulted in the creation of such Note Guarantee pursuant to Section 4.18, except
a discharge or release by or as a result of payment under such Guarantee. 

                Upon delivery by the Company to the Trustee of an Officers'
Certificate and an Opinion of Counsel to the effect that one of the foregoing
requirements has been satisfied and the conditions to the release of a Guarantor
under this Section 10.02 have been met, the Trustee shall execute any documents
reasonably required in order to evidence the release of such Guarantor from its
obligations under its Note Guarantee.

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ARTICLE ELEVEN

SATISFACTION
AND DISCHARGE

Section 11.01.
Satisfaction and
Discharge.

                (a) This Indenture shall be discharged and shall cease to be
of further effect as to all Notes issued hereunder, when:

            (i)     either:

    
                (A)     all Notes that have been authenticated under this
        Indenture (except lost, stolen or destroyed Notes that have been
        replaced or paid and Notes for whose payment money has theretofore been
        deposited in trust and thereafter repaid to the Company) have been
        delivered to the Trustee for cancellation; or

                (B)     all Notes that have not been delivered to the
        Trustee for cancellation have become due and payable by reason of the
        making of a notice of redemption or otherwise or shall become due and
        payable within one year and the Company or any Guarantor have
        irrevocably deposited or caused to be deposited with the Trustee as
        trust funds in trust solely for the benefit of the Holders of the Notes,
        cash in U.S. dollars, non-callable U.S. Government Obligations, or a
        combination thereof, in such amounts as shall be sufficient without
        consideration of any reinvestment of interest, to pay and discharge the
        entire indebtedness on the Notes not delivered to the Trustee for
        cancellation for principal, premium, if any, and accrued interest to the
        date of maturity or redemption;

      

            (ii)     no Default or Event of Default shall have occurred
    and be continuing on the date of such deposit or shall occur as a result of
    such deposit and such deposit shall not result in a breach or violation of,
    or constitute a default under, any other instrument to which the Company or
    any Guarantor are a party or by which the Company or any Guarantor is bound;

            (iii)     the Company or any Guarantor has paid or caused to
    be paid all sums payable by them under this Indenture; and

            (iv)     the Company has delivered irrevocable instructions
    to the Trustee under this Indenture to apply the deposited money toward the
    payment of the Notes at maturity or the redemption date, as the case may be.

  

                (b) The Company must deliver an Officers' Certificate and an
Opinion of Counsel to the Trustee stating that all conditions precedent to
satisfaction and discharge have been satisfied.

               
(c) Notwithstanding the above, the Trustee shall pay to the Company or any
Guarantor from time to time upon their request any cash or U.S. Government
Obligations held by it as provided in this section which, in the opinion of a
nationally recognized firm of independent public accountants expressed in a
written certification delivered to the Trustee, are 

75

in excess of the amount thereof that would then be required
to be deposited to effect a satisfaction and discharge under this Article
Eleven.

                (d) After the conditions to discharge contained in this
Article Eleven have been satisfied, the Trustee upon written request shall
acknowledge in writing the discharge of the obligations of the Company and any
Guarantors under this Indenture (except for those surviving obligations
specified Section 11.01).

Section 11.02.
Deposited Money and
U.S. Government Obligations to Be Held in Trust; Other Miscellaneous Provisions.

                Subject to Section 11.03 hereof, all money and non-callable
U.S. Government Obligations (including the proceeds thereof) deposited with the
Trustee pursuant to Section 11.01 hereof in respect of the outstanding Notes
shall be held in trust and applied by the Trustee, in accordance with the
provisions of such Notes and this Indenture, to the payment, either directly or
through any Paying Agent (including the Company acting as Paying Agent) as the
Trustee may determine, to the Holders of such Notes of all sums due and to
become due thereon in respect of principal, premium and interest, but such money
need not be segregated from other funds except to the extent required by law.

Section 11.03.
Repayment to the 
Company.

                Any money deposited with the Trustee or any Paying Agent, or
then held by the Company, in trust for the payment of the principal of, premium,
if any, or interest on any Note and remaining unclaimed for two years after such
principal, and premium, if any, or interest has become due and payable shall be
paid to the Company on its request or (if then held by the Company) shall be
discharged from such trust; and the Holder of such Note shall thereafter look
only to the Company for payment thereof, and all liability of the Trustee or
such Paying Agent with respect to such trust money, and all liability of the
Company as trustee thereof, shall thereupon cease; provided, however,
that the Trustee or such Paying Agent, before being required to make any such
repayment, may at the expense of the Company cause to be published once, in the
New York Times or The Wall Street Journal (national edition), notice that such
money remains unclaimed and that, after a date specified therein, which shall
not be less than 30 days from the date of such notification or publication, any
unclaimed balance of such money then remaining shall be repaid to the Company.

ARTICLE TWELVE

SUBORDINATION

Section 12.01. Agreement to Subordinate.

                The Company agrees, and each Holder by accepting a Note
agrees, that the Indebtedness evidenced by the Notes is subordinated in right of
payment, to the extent and in the manner provided in this Article Twelve, to the
prior payment in full in Cash Equivalents of all Senior Debt of the Company,
including Senior Debt of the Company incurred after the date hereof.

76

Section 12.02. Liquidation; Dissolution; Bankruptcy.

                The holders of Senior Debt of the Company shall be entitled
to receive payment in full of all Obligations due in respect of Senior Debt of
the Company (including interest after the commencement of any bankruptcy
proceeding at the rate specified for the applicable Senior Debt of the Company)
before the Holders of the Notes shall be entitled to receive any payment with
respect to the Notes (except that Holders of the Notes may receive and retain
Permitted Junior Securities and payments made from the trust pursuant to Article
Eight), in the event of any distribution to creditors of the Company in
connection with: 

                (a) any liquidation, dissolution or winding up of the
Company;

                (b) any bankruptcy, reorganization, insolvency, receivership
or similar proceeding relating to the Company or its properties;

                (c) any assignment by the Company for the benefit of
creditors; or

                (d) any marshaling of the Company's assets and liabilities.

Section 12.03. Default on Designated Senior Debt.

                (a) The Company may not make any payment in respect of the
Notes (except in Permitted Junior Securities or from the trust pursuant to
Article Eight) if:

            (i)     a payment default on Designated Senior Debt of the
    Company occurs and is continuing beyond any applicable grace period; or

            (ii)     any other default (a "non-payment default")
    occurs and is continuing on any series of Designated Senior Debt of the
    Company that permits holders of that series of Designated Senior Debt to
    accelerate its maturity and the Trustee receives a notice of such default (a
    "Payment Blockage Notice") from a representative of the holders of
    such Designated Senior Debt.

  

                (b) Payments on the Notes may and shall be resumed:

            (i)     in the case of a payment default on Designated Senior
    Debt of the Company, upon the date on which such default is cured or waived;
    and

            (ii)     in the case of a non-payment default on Designated
    Senior Debt of the Company, the earlier of (A) the date on which such
    default is cured or waived, (B) 179 days after the date on which the
    applicable Payment Blockage Notice is received and (C) the date the Trustee
    receives notice from the representative for such Designated Senior Debt
    rescinding the Payment Blockage Notice, unless the maturity of such
    Designated Senior Debt of the Company has been accelerated.

    77

    

                    (c) No new Payment Blockage Notice may be delivered
    unless and until:

    
            (i)     360 days have elapsed since the delivery of the
    immediately prior Payment Blockage Notice; and

            (ii)     all scheduled payments of principal, interest and
    premium, if any, on the Notes that have come due have been paid in full in
    cash.

  

                (d) No non-payment default that existed or was continuing on
the date of delivery of any Payment Blockage Notice to the Trustee shall be, or
be made, the basis for a subsequent Payment Blockage Notice unless such default
has been cured or waived for a period of not less than 90 days.

                (e) If the Trustee or any Holder of the Notes receives a
payment in respect of the Notes (except in Permitted Junior Securities or from
the trust pursuant to Article Eight) when:

            (i)     the payment is prohibited by this Article Twelve; and

            (ii)     the Trustee or the Holder has actual knowledge that
    the payment is prohibited (provided that such actual knowledge shall
    not be required in the case of any payment default on Designated Senior Debt
    of the Company),

  

the Trustee or the Holder, as the case may be, shall hold the
payment in trust for the benefit of the holders of Senior Debt of the Company.
Upon the proper written request of the holders of Senior Debt of the Company,
the Trustee or the Holder, as the case may be, shall deliver the amounts in
trust to the holders of Senior Debt or their proper representative.

Section 12.04. Acceleration of Securities.

                If payment of the Notes is accelerated because of an Event of
Default, the Company shall promptly notify holders of Senior Debt of the
acceleration.

Section 12.05. When Distribution Must Be Paid Over.

                In the event that the Trustee or any Holder receives any
payment of any Obligations with respect to the Notes (except in Permitted Junior
Securities or from the trust pursuant to Article Eight hereof) at a time when
the Trustee or such Holder, as applicable, has actual knowledge that such
payment is prohibited by Article Twelve, such payment shall be held by the
Trustee or such Holder, as applicable, in trust for the benefit of, and shall be
paid forthwith over and delivered, upon written request, to the holders of
Senior Debt or their Representative, as their respective interests may appear,
for application to the payment of all Obligations with respect to Senior Debt
remaining unpaid to the extent necessary to pay such Obligations in full in
accordance with their terms, after giving effect to any concurrent payment or
distribution to or for the holders of Senior Debt.

               
With respect to the holders of Senior Debt, the Trustee undertakes to perform
only such obligations on the part of the Trustee as are specifically set forth
in this Article Twelve, and no implied covenants or obligations with respect to
the holders of Senior Debt shall be read into 

78

this Indenture against the Trustee. The Trustee shall not be
deemed to owe any fiduciary duty to the holders of Senior Debt, and shall not be
liable to any such holders if the Trustee shall pay over or distribute to or on
behalf of Holders or the Company or any other Person money or assets to which
any holders of Senior Debt shall be entitled by virtue of this Article Twelve,
except if such payment is made as a result of the willful misconduct or gross
negligence of the Trustee.

Section 12.06. Notice by the Company.

                The Company shall promptly notify the Trustee and the Paying
Agent in writing of any facts known to the Company that would cause a payment of
any Obligations with respect to the Notes to violate this Article Twelve, but
failure to give such notice shall not affect the subordination of the Notes to
the Senior Debt as provided in this Article Twelve.

Section 12.07. Subrogation.

                After all Senior Debt is paid in full and until the Notes are
paid in full, Holders of Notes shall be subrogated (equally and ratably with all
other Indebtedness pari passu with the Notes) to the rights of
holders of Senior Debt to receive distributions applicable to Senior Debt to the
extent that distributions otherwise payable to the Holders of Notes have been
applied to the payment of Senior Debt. A distribution made under this Article
Twelve to holders of Senior Debt that otherwise would have been made to Holders
of Notes is not, as between the Company and Holders, a payment by the Company on
the Notes.

Section 12.08. Relative Rights.

                This Article Twelve defines the relative rights of Holders of
Notes and holders of Senior Debt. Nothing in this Indenture shall:

                    (a) impair, as between the Company and Holders of Notes,
    the obligation of the Company, which is absolute and unconditional, to pay
    principal of and interest on the Notes in accordance with their terms;

                    (b) affect the relative rights of Holders of Notes and
    creditors of the Company other than their rights in relation to holders of
    Senior Debt; or

                    (c) prevent the Trustee or any Holder of Notes from
    exercising its available remedies upon a Default or Event of Default,
    subject to the prior notice requirement set forth in Section 6.02(a) and the
    rights of holders and owners of Senior Debt to receive distributions and
    payments otherwise payable to Holders of Notes.

                If the Company fails because of this Article Twelve to pay
principal of or interest on a Note on the due date, the failure is still a
Default or Event of Default.

Section 12.09. Subordination May Not Be Impaired by the
Company.

               
No right of any holder of Senior Debt to enforce the subordination of the
Indebtedness evidenced by the Notes shall be impaired by any act or failure to
act by the 

79

Company or any Holder or by the failure of the Company or any
Holder to comply with this Indenture.

Section 12.10. Distribution or Notice to Representative.

                Whenever a distribution is to be made or a notice given to
holders of Senior Debt, the distribution may be made and the notice given to
their Representative.

                Upon any payment or distribution of assets of the Company
referred to in this Article Twelve, the Trustee and the Holders of Notes shall
be entitled to rely upon any order or decree made by any court of competent
jurisdiction or upon any certificate of such Representative or of the
liquidating trustee or agent or other Person making any distribution to the
Trustee or to the Holders of Notes for the purpose of ascertaining the Persons
entitled to participate in such distribution, the holders of the Senior Debt and
other Indebtedness of the Company, the amount thereof or payable thereon, the
amount or amounts paid or distributed thereon and all other facts pertinent
thereto or to this Article Twelve.

Section 12.11. Rights of Trustee and Paying Agent.

                Notwithstanding this Article Twelve or any other provision of
this Indenture, the Trustee shall not be charged with knowledge of the existence
of any facts that would prohibit the making of any payment or distribution by
the Trustee, and the Trustee and the Paying Agent may continue to make payments
on the Notes, unless the Trustee shall have received at its Corporate Trust
Office at least five Business Days prior to the date of such payment written
notice of facts that would cause the payment of any Obligations with respect to
the Notes to violate this Article Twelve. Only the Company or a Representative
may give the notice. Nothing in this Article Twelve shall impair the claims of,
or payments to, the Trustee under or pursuant to Section 7.06 hereof.

The Trustee in its individual or any other capacity may hold
Senior Debt with the same rights it would have if it were not Trustee. Any Agent
may do the same with like rights.

Section 12.12. Authorization to Effect Subordination.

                Each Holder of Notes, by the Holder's acceptance thereof,
authorizes and directs the Trustee on such Holder's behalf to take such action
as may be necessary or appropriate to effectuate the subordination as provided
in this Article Twelve, and appoints the Trustee to act as such Holder's
attorney-in-fact for any and all such purposes. If the Trustee does not file a
proper proof of claim or proof of debt in the form required in any proceeding
referred to in Section 6.09 hereof at least 30 days before the expiration of the
time to file such claim, the lenders under the Credit Agreement are hereby
authorized to file an appropriate claim for and on behalf of the Holders of the
Notes.

Section 12.13. Trustee Not Fiduciary for Holders of Senior
Indebtedness.

               
The Trustee shall not be deemed to owe any fiduciary duty to the holders of
Senior Debt and shall not be liable to any such holders if the Trustee shall in
good faith mistakenly pay over or distribute to Holders of Notes or to the
Company or to any other person 

80

cash, property or securities to which any holders of Senior
Debt shall be entitled by virtue of this Article or otherwise. With respect to
the holders of Senior Debt, the Trustee undertakes to perform or to observe only
such of its covenants or obligations as are specifically set forth in this
Article and no implied covenants or obligations with respect to holders of
Senior Debt shall be read into this Indenture against the Trustee.

ARTICLE THIRTEEN

MISCELLANEOUS

Section 13.01.
Trust Indenture Act
Controls.

                If any provision of this Indenture limits, qualifies or
conflicts with the duties imposed by TIA Section 318(c), the imposed duties
shall control.

Section 13.02.
Notices.

                (a) Any notice or communication by the Company or any
Guarantor, on the one hand, or the Trustee on the other hand, to the other is
duly given if in writing and delivered in Person or mailed by first class mail,
telecopier or overnight air courier guaranteeing next day delivery, to the
others' address:

                        If to the Company and/or any Guarantor:

                    Moog Inc.

                6860 Seneca Street

                P.O. Box 18

                East Aurora, New York 14052-0018

                Facsimile: 716-687-4457

                Attention: Chief Financial Officer

 

                        If to the Trustee:

                        JPMorgan Chase Bank, N.A.

                4 New York Plaza, 15th Floor

                New York, New York 10004

                Facsimile: (212) 623-6167

                       
        Attention: Institutional Trust Services

                (b) The Company, any Guarantors or the Trustee, by notice to
the others may designate additional or different addresses for subsequent
notices or communications.

                (c) All notices and communications (other than those sent to
Holders) shall be deemed to have been duly given: at the time delivered by hand,
if personally delivered; three Business Days after being deposited in the mail,
postage prepaid, if mailed; when receipt acknowledged, if telecopied; and the
next Business Day after timely delivery to the courier, if sent by overnight air
courier guaranteeing next day delivery.

81

                (d) Any notice or communication to a Holder shall be mailed
by first class mail, certified or registered, return receipt requested, or by
overnight air courier guaranteeing next day delivery to its address shown on the
register kept by the Registrar. Any notice or communication shall also be so
mailed to any Person described in TIA Section 313(c), to the extent required by
the TIA. Failure to mail a notice or communication to a Holder or any defect in
it shall not affect its sufficiency with respect to other Holders. Any notice
when mailed to a Holder in the aforesaid manner shall be conclusively deemed to
have been received by such Holder whether or not actually received by such
Holder.

                (e) Where this Indenture provides for notice in any manner,
such notice may be waived in writing by the Person entitled to receive such
notice, either before or after the event, and such waiver shall be the
equivalent of such notice. Waivers of notice by Holders shall be filed with the
Trustee, but such filing shall not be a condition precedent to the validity of
any action taken in reliance on such waiver.

                (f) In case by reason of the suspension of regular mail
service or by reason of any other cause it shall be impracticable to give such
notice by mail, then such notification as shall be made with the approval of the
Trustee shall constitute a sufficient notification for every purpose hereunder.

                (g) If a notice or communication is mailed in the manner
provided above within the time prescribed, it is duly given, whether or not the
addressee receives it.

                (h) If the Company mails a notice or communication to
Holders, it shall mail a copy to the Trustee and each Agent at the same time.

Section 13.03.
Communication by
Holders of Notes with Other Holders of Notes.

                Holders may communicate pursuant to TIA Section 312(b) with
other Holders with respect to their rights under this Indenture or the Notes.
The Company, the Trustee, the Registrar and any other Person shall have the
protection of TIA Section 312(c).

Section 13.04.
Certificate and
Opinion as to Conditions Precedent.

                Upon any request or application by the Company to the Trustee
to take any action under this Indenture, the Company shall furnish to the
Trustee if requested:

            (i)     an Officers' Certificate (which shall include the
    statements set forth in Section 13.05 hereof) stating that, in the opinion
    of the signers, all conditions precedent and covenants, if any, provided for
    in this Indenture relating to the proposed action have been satisfied; and

            (ii)     an Opinion of Counsel (which shall include the
    statements set forth in Section 13.05 hereof) stating that, in the opinion
    of such counsel (who may rely upon an Officers' Certificate as to matters of
    fact), all such conditions precedent and covenants have been satisfied;

    82

  

except that, in the case of such request or application as to
which the furnishing of such documents is specifically required by any provision
of this Indenture relating to such particular request or application, no
additional certificate or opinion need be furnished.

Section 13.05.
Statements Required
in Certificate or Opinion.

                (a) Each certificate or opinion with respect to compliance
with a condition or covenant provided for in this Indenture (other than a
certificate provided pursuant to TIA Section 314(a)(4)) shall comply with the
provisions of TIA Section 314(e) and shall include:

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

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

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

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

  

Section 13.06.
Rules by Trustee and
Agents.

                The Trustee may make reasonable rules for action by or at a
meeting of Holders. The Registrar or Paying Agent may make reasonable rules and
set reasonable requirements for its functions.

Section 13.07.
No Personal
Liability of Directors, Officers, Employees and Stockholders.

                No director, officer, employee, incorporator, member,
manager, partner or stockholder of the Company or of any Guarantor, as such,
shall have any liability for any obligations of the Company or any Guarantors
under the Notes, this Indenture, the Note Guarantees or for any claim based on,
in respect of, or by reason of, such obligations or their creation. Each Holder
of Notes by accepting a Note waives and releases all such liability. The waiver
and release are part of the consideration for issuance of the Notes.

Section 13.08.
Governing Law.

                THIS INDENTURE AND THE NOTES SHALL BE GOVERNED BY, AND
CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK.

Section 13.09.
Consent to
Jurisdiction.

                Any legal suit, action or proceeding arising out of or based
upon this Indenture or the transactions contemplated hereby ("Related
Proceedings") may be instituted in the federal  

83

courts of the United States
of America located in the City of New York or the courts of the State of New
York in each case located in the City of New York (collectively, the "Specified
Courts"), and each party and each Holder by accepting the Notes irrevocably
submits to the non-exclusive jurisdiction of such courts in any such suit,
action or proceeding. Service of any process, summons, notice or document by
mail (to the extent allowed under any applicable statute or rule of court) to
such party's address set forth above shall be effective service of process for
any suit, action or other proceeding brought in any such court. The parties and
each Holder by accepting the Notes irrevocably and unconditionally waive any
objection to the laying of venue of any suit, action or other proceeding in the
Specified Courts and irrevocably and unconditionally waive and agree not to
plead or claim in any such court has been brought in an inconvenient forum.

Section 13.10. Form of Documents Delivered to Trustee.

                In any case where several matters are required to be
certified by, or covered by an opinion of, any specified Person, it is not
necessary that all such matters be certified by, or covered by the opinion of,
only one such Person, or that they be so certified or covered by only one
document, but one such Person may certify or give an opinion with respect to
some matters and one or more other such Persons as to other matters, and any
such Person may certify or give an opinion as to such matters in one or several
documents.

                Any certificate or opinion of an officer of the Company or
Guarantors may be based, insofar as it relates to legal matters, upon a
certificate or opinion of, or representations by, counsel, unless such officer
knows, or in the exercise of reasonable care should know, that the certificate
or opinion or representations with respect to the matters upon which his
certificate or opinion is based are erroneous. Any such certificate or opinion,
including any Officers' Certificate or Opinion of Counsel, may be based, insofar
as it relates to factual matters, upon a certificate or opinion of, or
representation by, an officer or officers of the Company or Guarantor stating
that the information with respect to such factual matters is in the possession
of the Company or Guarantor, as applicable, unless such counsel knows, or in the
exercise of reasonable care should show, that the certificate or opinion or
representations with respect to such matters are erroneous.

Section 13.11.
Successors.

                All agreements of the Company in this Indenture and the Notes
shall bind any of its successors. All agreements of the Trustee in this
Indenture shall bind its successors. 

Section 13.12.
Severability.

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

Section 13.13.
Counterpart
Originals.

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

84

Section 13.14.
Acts of Holders.

                (a) Any request, demand, authorization, direction, notice,
consent, waiver or other action provided by this Indenture to be given or taken
by the Holders may be embodied in and evidenced by one or more instruments of
substantially similar tenor signed by such Holders in person or by agents duly
appointed in writing; and, except as herein otherwise expressly provided, such
action shall become effective when such instrument or instruments are delivered
to the Trustee and, where it is hereby expressly required, to the Company. Such
instrument or instruments (and the action embodied therein and evidenced
thereby) are herein sometimes referred to as the "Act" of the Holders
signing such instrument or instruments. Proof of execution of any such
instrument or of a writing appointing any such agent shall be sufficient for any
purpose of this Indenture and conclusive in favor of the Trustee and the Company
if made in the manner provided in this Section 13.14.

                (b) The fact and date of the execution by any Person of any
such instrument or writing may be proved by the affidavit of a witness of such
execution or by a certificate of a notary public or other officer authorized by
law to take acknowledgments of deeds, certifying that the individual signing
such instrument or writing acknowledged to such witness, notary or officer the
execution thereof. Where such execution is by a signer acting in a capacity
other than his individual capacity, such certificate or affidavit shall also
constitute sufficient proof of authority. The fact and date of the execution of
any such instrument or writing, or the authority of the Person executing the
same, may also be proved in any other manner that the Trustee deems sufficient.

                (c) Notwithstanding anything to the contrary contained in
this Section 13.14, the principal amount and serial numbers of Notes held by any
Holder, and the date of holding the same, shall be proved by the register of the
Notes maintained by the Registrar as provided in Section 2.04.

                (d) If the Company shall solicit from the Holders of the
Notes any request, demand, authorization, direction, notice, consent, waiver or
other Act, the Company may, at its option, by or pursuant to a resolution of the
Board of Directors of the Company, fix in advance a record date for the
determination of Holders entitled to give such request, demand, authorization,
direction, notice, consent, waiver or other Act, but the Company shall have no
obligation to do so. Notwithstanding TIA Section 316(c), such record date shall
be the record date specified in or pursuant to such resolution, which shall be a
date not earlier than the date 30 days prior to the first solicitation of
Holders generally in connection therewith or the date of the most recent list of
Holders forwarded to the Trustee prior to such solicitation pursuant to Section
2.06 and not later than the date such solicitation is completed. If such a
record date is fixed, such request, demand, authorization, direction, notice,
consent, waiver or other Act may be given before or after such record date, but
only the Holders of record at the close of business on such record date shall be
deemed to be Holders for the purposes of determining whether Holders of the
requisite proportion of the then outstanding Notes have authorized or agreed or
consented to such request, demand, authorization, direction, notice, consent,
waiver or other Act, and for that purpose the then outstanding Notes shall be
computed as of such record date; provided that no such authorization,
agreement or consent by the Holders on such record date shall be deemed
effective 

85

unless it shall become effective pursuant to the provisions
of this Indenture not later than eleven months after the record date.

                (e) Any request, demand, authorization, direction, notice,
consent, waiver or other Act of the Holder of any Note shall bind every future
Holder of the same Note and the Holder of every Note issued upon the
registration or transfer thereof or in exchange therefor or in lieu thereof in
respect of anything done, omitted or suffered to be done by the Trustee, the
Paying Agent or the Company in reliance thereon, whether or not notation of such
action is made upon such Note.

                (f) Without limiting the foregoing, a Holder entitled
hereunder to take any action hereunder with regard to any particular Note may do
so itself with regard to all or any part of the principal amount of such Note.

Section 13.15.
Benefit of Indenture.

                Nothing in this Indenture, the Notes or the Note Guarantees,
express or implied, shall give to any Person, other than the parties hereto and
their successors hereunder, any Paying Agent, any Registrar and the Holders, any
benefit or any legal or equitable right, remedy or claim under this Indenture.

Section 13.16.
Table of Contents,
Headings, Etc.

                The Table of Contents, Cross-Reference Table and Headings of
the Articles and Sections of this Indenture have been inserted for convenience
of reference only, are not to be considered a part of this Indenture and shall
in no way modify or restrict any of the terms or provisions hereof.

[SIGNATURE PAGES FOLLOW]

86

                IN WITNESS WHEREOF, the parties have executed this Indenture
as of January 10, 2005.

                        MOOG Inc.

                       
By: /s/ Robert T. Brady                                       

                              Name: 
Robert T. Brady

                              Title: 
President and Chief Executive Officer

 

S-1

                        
                                                                                                        JPMorgan Chase Bank, N.A., as Trustee

                         

                                                                                                                               
                        By: /s/ Carol Ng                                       
                        

                                                                                                       
     Name: Carol Ng

                                                                                                       
     Title:  Vice President

                         

                        S-2

                        

                      
                    
                  
                
              
            
          
        
      
    
  

EXHIBIT A

[Face of Note]

THIS GLOBAL NOTE IS HELD BY THE DEPOSITORY (AS DEFINED IN THE
INDENTURE GOVERNING THIS NOTE) OR ITS NOMINEE IN CUSTODY FOR THE BENEFIT OF THE
BENEFICIAL OWNERS HEREOF, AND IS NOT TRANSFERABLE TO ANY PERSON UNDER ANY
CIRCUMSTANCES EXCEPT THAT (I) THE TRUSTEE MAY MAKE SUCH NOTATIONS HEREON AS MAY
BE REQUIRED PURSUANT TO SECTION 2.07 OF THE INDENTURE, (II) THIS GLOBAL NOTE MAY
BE EXCHANGED IN WHOLE BUT NOT IN PART PURSUANT TO SECTION 2.07(a) OF THE
INDENTURE, (III) THIS GLOBAL NOTE MAY BE DELIVERED TO THE TRUSTEE FOR
CANCELLATION PURSUANT TO SECTION 2.12 OF THE INDENTURE AND (IV) THIS GLOBAL NOTE
MAY BE TRANSFERRED TO A SUCCESSOR DEPOSITORY WITH THE PRIOR WRITTEN CONSENT OF
THE Company.

A-1

 

CUSIP: 615394 AF 0 

No.1                                                                                                                                             **$150,000,000**

MOOG INC.

6.250% SENIOR SUBORDINATED NOTES DUE 2015

Issue Date: January 10, 2005 

                Moog Inc., a New York Corporation (the "Company,"
which term includes any successor under the Indenture hereinafter referred to),
for value received, promises to pay to CEDE & CO., or its registered assigns,
the principal sum of ONE HUNDRED FIFTY MILLION Dollars ($150,000,000) on January
15, 2015.

Interest Payment Dates: January 15 and July 15, commencing July 15, 2005.

Record Dates: January 1 and July 1.

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

[SIGNATURE PAGE FOLLOWS]

 

A-2

                IN WITNESS WHEREOF, the Company has caused this Note to be
signed manually or by facsimile by its duly authorized officer.

                                                                                                                        MOOG INC., a New York corporation

                         

                                                                                                                        By:_______________________________

                                                                                                      Name:
                        

                                                                                                      Title: 

Attest:

 

By: ______________________________

        Name: 

        Title: 

A-3

(Trustee's Certificate of Authentication)

This is one of the 6.250% Senior Subordinated Notes due 2015 described in the
within-mentioned Indenture.

Dated: 

JPMorgan Chase Bank, N.A.,

as Trustee

 

By: __________________________________

       Authorized Signatory

 

A-4

[Reverse Side of Note]

MOOG INC.

6.250% Senior Subordinated Notes due 2015

                Capitalized terms used herein shall have the meanings
assigned to them in the Indenture referred to below unless otherwise indicated.

                
1.

       Interest. The Company promises to pay interest on the
principal amount of this Note at 6.250% per annum from the date hereof until
maturity. The Company shall pay interest semi-annually in arrears on January 15
and July 15 of each year, or if any such day is not a Business Day, on the next
succeeding Business Day (each an "Interest Payment Date"). Interest on
the Notes shall accrue from the most recent date to which interest has been paid
or, if no interest has been paid, from the date of original issuance; 
provided that if there is no existing Default in the payment of interest,
and if this Note is authenticated between a record date referred to on the face
hereof and the next succeeding Interest Payment Date, interest shall accrue from
such next succeeding Interest Payment Date; provided further that
the first Interest Payment Date shall be July 15, 2005. The Company shall pay
interest (including post-petition interest in any proceeding under any
Bankruptcy Law) on overdue principal from time to time on demand at a rate equal
to 1% per annum in excess of the then applicable interest rate on this Note to
the extent lawful; it shall pay interest (including post-petition interest in
any proceeding under any Bankruptcy Law) on overdue installments of interest
(without regard to any applicable grace periods) from time to time on demand at
the same rate to the extent lawful. Interest shall be computed on the basis of a
360-day year of twelve 30-day months.

                
2.       

Method of Payment. The Company shall pay interest on the
Notes (except defaulted interest) to the Persons who are registered Holders of
Notes at the close of business on the record date immediately preceding the
Interest Payment Date, even if such Notes are canceled after such record date
and on or before such Interest Payment Date, except as provided in Section 2.13
of the Indenture with respect to defaulted interest. If a Holder has given wire
transfer instructions to the Company, the Company shall pay all principal,
interest and premium, if any, on that Holder's Notes in accordance with those
instructions. All other payments on Notes shall be made at the office or agency
of the Paying Agent and Registrar within the City and State of New York unless
the Company elects to make interest payments by check mailed to the Holders at
their addresses set forth in the register of Holders. Such payment shall be in
such coin or currency of the United States of America as at the time of payment
is legal tender for payment of public and private debts.

                
3.       

Paying Agent and Registrar. Initially, the Trustee under
the Indenture shall act as Paying Agent and Registrar. The Company may change
any Paying Agent or Registrar without prior notice to any Holder. The Company or
any of its Subsidiaries may act in any such capacity.

                
4.       

Indenture. The Company issued the Notes under an
Indenture dated as of January 10, 2005 ("Indenture") between the Company
and the Trustee. The terms of the Notes include those stated in the Indenture
and those specifically made part of the Indenture by  

A-5

reference to the Trust
Indenture Act of 1939, as amended. The Notes are subject to all such terms, and
Holders are referred to the Indenture and such Act for a statement of such
terms. To the extent any provision of this Note conflicts with the express
provisions of the Indenture, the provisions of the Indenture shall govern and be
controlling. The Indenture pursuant to which this Note is issued provides that
an unlimited aggregate principal amount of Additional Notes may be issued thereunder.

                
5.       

Optional Redemption. (a) Except as set forth in
paragraphs 5(b) and (c) below, the Company shall not have the option to redeem
the Notes prior to January 15, 2010. On or after January 15, 2010, the Company
may redeem all or part of the Notes, at the redemption prices (expressed as
percentages of principal amount) set forth below, plus accrued and unpaid
interest, if any, thereon to the applicable redemption date, if redeemed during
the twelve-month period beginning on January 15 of the years indicated below:

	Year	Percentage
	2010 	
    103.125%

	2011 	
    102.083%

	2012 	
    101.042%

	2013 and thereafter 	
    100.000%

                (b) At any time prior to January 15, 2008, the Company may,
on any one or more occasions, redeem up to 35% of the aggregate principal amount
of Notes issued under the Indenture (including any Additional Notes) at a
redemption price of 106.250% of the principal amount thereof, plus accrued and
unpaid interest, if any, thereon to the applicable redemption date, with the net
cash proceeds of one or more Equity Offerings; provided that (1) at least
65% of the aggregate principal amount of Notes issued under the Indenture
(including any Additional Notes) remains outstanding immediately after the
occurrence of such redemption, excluding Notes held by the Company and its
Subsidiaries; and (2) the redemption must occur within 120 days of the date of
the closing of such Equity Offering. 

                (c) At any time prior to January 15, 2010, the Company may
redeem all or part of the Notes upon not less than 30 nor more than 60 days'
prior notice at a redemption price equal to the sum of (i) 100% of the principal
amount thereof, plus (ii) the Applicable Premium as of the date of
redemption, plus (iii) accrued and unpaid interest, if any, to the date
of redemption. 

                
6.   

Repurchase at Option of Holder. Upon the occurrence of
(a) a Change of Control, the Holders of the Notes shall have the right to
require the Company to purchase such Holder's outstanding Notes on the terms set
forth in the Indenture and (b) an Asset Sale, the Company may be obligated to
make offers to purchase Notes with a portion of the Net Proceeds of such Asset
Sale on the terms set forth in the Indenture.

                
7.   

Denominations, Transfer, Exchange. The Notes are in registered form without
coupons in minimum denominations of $1,000 and integral multiples thereof. The
transfer of Notes may be registered and Notes may be exchanged as provided in
the Indenture. The Registrar and the Trustee may require a Holder, among other
things, to furnish appropriate endorsements and transfer documents and the
Company may require a Holder to pay any taxes 

A-6

and fees required by law or permitted by the Indenture. The
Company is not required to transfer or exchange any Note selected for
redemption. 

                
8.   

Persons Deemed Owners. The registered Holder of a Note
shall be treated as its owner for all purposes.

                
9.   

Amendment, Supplement and Waiver. The Indenture and the
Notes may be amended or supplemented and any existing default or compliance with
any provision of the Indenture or the Notes may be waived only in accordance
with the Indenture.

                
10.   

Defaults and Remedies. In the case of an Event of Default
arising from events of bankruptcy or insolvency specified in the Indenture, all
outstanding Notes may become due and payable in the manner and with the effect
provided in the Indenture.

                
11.   

Trustee Dealings with the Company. The Trustee in its
individual or any other capacity may become the owner or pledgee of Notes and
may become a creditor of, or otherwise deal with the Company or any of its
Affiliates, with the same rights it would have if it were not Trustee.

                
12.   

No Recourse Against Others. No director, officer,
employee, incorporator, member, manager, partner or stockholder of the Company
or any Guarantor, as such, shall have any liability for any obligations of the
Company or any Guarantors under the Notes, the Indenture, the Note Guarantees or
for any claim based on, in respect of, or by reason of, such obligations or
their creation. Each Holder of Notes by accepting a Note waives and releases all
such liability. This waiver and release are part of the consideration for
issuance of the Notes.

                
13.   

Authentication. This Note shall not be valid until
authenticated by the manual signature of the Trustee or an authenticating agent.

                
14.   

CUSIP Numbers. Pursuant to a recommendation promulgated
by the Committee on Uniform Security Identification Procedures, the Company has
caused CUSIP numbers to be printed on the Notes and the Trustee may use CUSIP
numbers in notices of redemption as a convenience to Holders. No representation
is made as to the accuracy of such numbers either as printed on the Notes or as
contained in any notice of redemption and reliance may be placed only on the
other identification numbers placed thereon.

                
15.   

Copies of Documents. The Company shall furnish to any
Holder upon written request and without charge a copy of the Indenture. Requests
may be made to:

                        Moog Inc.

                6860 Seneca Street

                P.O. Box 18

                East Aurora, New York 14052-0018

                Attention: Chief Financial Officer

        A-7

      

      
    
  

ASSIGNMENT FORM

                To assign this Note, fill in the form below:

(I) or (we) assign and transfer this Note to:________________________________________________

                                                                                                                                    (INSERT
ASSIGNEE'S LEGAL NAME)

________________________________________________________________________________________________________________________________________________

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

__________________________________________________________________________________________

__________________________________________________________________________________________

__________________________________________________________________________________________

__________________________________________________________________________________________

                                                                                        (Print or type assignee's name, address and zip code)

and irrevocably appoint
__________________________________________________________________

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

Date: ________

                                                                                            Your Signature:
                        _______________________________________

                                                                                                  
                                (Sign exactly as your name appears on the
                                face of this Note)

Signature Guarantee*: _____________________

* Participant in a recognized Signature Guarantee Medallion Program (or other
signature guarantor acceptable to the Trustee).

A-8

OPTION OF HOLDER TO ELECT PURCHASE

                If you want to elect to have this Note purchased by the
Company pursuant to Section 4.10(c) or 4.14 of the Indenture, respectively,
check the appropriate box below:

                            �Section 4.10(c)                         �Section 4.14

                If you want to elect to have only part of the Note purchased
by the Company pursuant to Section 4.10(c) or Section 4.14 of the Indenture,
respectively, state the amount you elect to have purchased:

$_________________

Date: _______________

                                                                                               Your Signature:
                        _________________________________

                        
                                                                                                                                                                                                 (Sign exactly as your name appears on the
                                face of this Note)

                        
                                                                                               Tax Identification No.:
                        ____________________________

Signature Guarantee*: _________________________

*         Participant in a recognized Signature Guarantee Medallion Program (or other
signature guarantor acceptable to the Trustee).

A-9Exhibit 10.1

 

 

 

 

MOOG INC.

 

U.S. $150,000,000

6.250% Senior Subordinated Notes due 2015

 

UNDERWRITING AGREEMENT

Dated January 5, 2005

 

 

Banc of America Securities LLC

i

Table of Contents

	
    Section 1.
    Representations and Warranties.
	2
	
    (a) Compliance with Registration
    Requirements
	2
	
    (b) Exchange Act Compliance 
	3
	
    (c) Offering Materials Furnished to the
    Underwriter 
	3
	
    (d) Distribution of Offering Material By
    the Company 
	3
	
    (e) Authorization of the Underwriting
    Agreement 
	3
	
    (f) Authorization of the Indenture 
    
	3
	
    (g) Authorization of the DTC Letter of
    Representations 
	3
	
    (h) Authorization of the Securities 
    
	4
	
    (i) No Applicable Registration or Other
    Similar Rights 
	4
	
    (j) No Material Adverse Change 
    
	4
	
    (k) Independent Accountants 
	4
	
    (l) Preparation of the Financial
    Statements 
	4
	
    (m) Incorporation and Good Standing of the
    Company and its Subsidiaries 
	5
	
    (n) Capitalization and Other Capital Stock
    Matters 
	5
	
    (o) Description of the Securities 
    
	5
	
    (p) Non-Contravention of Existing
    Instruments; No Further Authorizations or Approvals Required 
	5
	
    (q) Required Consents 
	6
	
    (r) No Material Actions or Proceedings
    
	6
	
    (s) No Labor Disputes 
	6
	
    (t) Intellectual Property Rights 
    
	6
	
    (u) All Necessary Permits, etc 
    
	7
	
    (v) Title to Properties 
	7
	
    (w) Tax Law Compliance 
	7
	
    (x) Company Not an "Investment Company"
    
	7
	
    (y) Insurance 
	7
	
    (z) No Mandatory Redemption 
	8
	
    (aa) Solvency 
	8
	
    (bb) No Price Stabilization or
    Manipulation 
	8
	
    (cc) Related Party Transactions 
    
	8
	
    (dd) No Unlawful Contributions or Other
    Payments 
	8
	
    (ee) Company's Accounting System 
    
	8
	
    (ff) Compliance with Environmental Laws
    
	8
	
    (gg) Periodic Review of Costs of
    Environmental Compliance 
	9
	
    (hh) ERISA Compliance 
	9
	
    (ii) Brokers 
	10
	
    (jj) No Outstanding Loans or Other
    Indebtedness 
	10
	
    (kk) Compliance with Laws 
	10
	
    (ll) No Event of Default 
	10
	
    (mm) Disclosure Controls and Procedures
    
	10
	
    (nn) Compliance with Sarbanes-Oxley Act of
    2002. 
	10
	Section 2. Purchase, Sale and Delivery of
    the Securities.	11
	
    (a) The Closing Date 
	11
	
    (b) Public Offering of the Securities
    
	11
	
    (c) Payment for the Securities 
    
	11
	
    (d) Delivery of the Securities 
    
	11
	
    (e) Delivery of Prospectus to the
    Underwriter 
	11
	Section 3. Additional Covenants of the
    Company. 	12
	
    (a) Underwriter's Review of Proposed
    Amendments and Supplements 
	12

 

ii

	
    (b) Securities Act Compliance 
	12
	
    (c) Notification of Breach of this
    Agreement 
	12
	
    (d) Amendments and Supplements to the
    Prospectus and Other Securities Act Matters 
	12
	
    (e) Copies of any Amendments and
    Supplements to the Prospectus 
	12
	
    (f) Blue Sky Compliance 
	13
	
    (g) DTC Eligibility 
	13
	
    (h) Use of Proceeds 
	13
	
    (i) Earnings Statement 
	13
	
    (j) Periodic Reporting Obligations 
    
	13
	
    (k) Company to Provide Interim Financial
    Statements 
	13
	
    (l) Future Reports to the Underwriter
    
	13
	
    (m) Investment Limitation 
	13
	
    (n) No Manipulation of Price 
	14
	
    (o) No Existing Lock-Up Agreement 
    
	14
	Section 4. Payment of Expenses. 
    	14
	Section 5. Conditions to Obligations of
    the Underwriter 	14
	
    (a) No Untrue Statements; Inadvisable to
    Proceed 
	15
	
    (b) Corporate Proceedings 
	15
	
    (c) Resolutions 
	15
	
    (d) Accountant's Comfort Letter 
    
	15
	
    (e) Bring-Down Comfort Letters 
    
	15
	
    (f) Compliance with Registration
    Requirements; No Stop Order; No Objection from NASD 
	15
	
    (g) No Material Adverse Change 
    
	16
	
    (h) Opinion of Counsel for the Company
    
	16
	
    (i) Opinion of Counsel for the Underwriter
    
	16
	
    (j) Officers' Certificate 
	16
	
    (k) Other Certificates 
	16
	
    (l) Additional Documents 
	16
	
    (m) DTC Acceptance 
	17
	
    (n) QIU Debt Pricing Letter 
	17
	Section 6. Reimbursement of Underwriter's
    Expenses 	17
	Section 7. Indemnification. 
    	17
	
    (a) Indemnification of the Underwriter by
    the Company. 
	17
	
    (b) Indemnification of the Company, its
    Directors and Officers 
	18
	
    (c) Notifications and Other
    Indemnification Procedures 
	19
	
    (d) Settlements 
	19
	Section 8. Contribution. 	20
	Section 9. Termination of this Agreement.
    	21
	Section 10. Representations and
    Indemnities to Survive Delivery. 	21
	Section 11. Notices. 	21
	Section 12. Successors. 	22
	Section 13. Partial Unenforceability. 
    	22
	Section 14. Governing Law Provisions. 
    	22
	Section 15. General Provisions. 
    	22

Underwriting Agreement

January 5, 2005

 

BANC OF AMERICA
SECURITIES LLC

9 West 57th Street

New York, New York
10019

Ladies and Gentlemen:

               
Introductory. Moog Inc., a New York corporation (the "Company"), proposes to
issue and sell to Banc of America Securities LLC (the "Underwriter")
U.S.$150,000,000 aggregate principal amount of the Company's 6.250% Senior
Subordinated Notes due 2015 (the "Securities"). 

               
The Securities are to be issued pursuant to an Indenture, to be dated January
10, 2005 between the Company and JPMorgan Chase Bank, N.A., as indenture trustee
(the "Trustee") (collectively, the "Indenture"). Securities issued in book-entry
form will be issued in the name of Cede & Co., as nominee of The Depository
Trust Company ("DTC") pursuant to a letter of representations, to be dated as of
the Delivery Date (as defined in Section 3) (the "DTC Letter of
Representations"), among the Company, the Trustee and DTC.

               
The Company has prepared and filed with the Securities and Exchange Commission
(the "Commission") a registration statement on Form S-3 (File No. 333-113698)
for the registration of debt securities (including the Securities) of the
Company under the Securities Act of 1933, as amended, and the rules and
regulations promulgated thereunder (collectively, the "Securities Act"), and the
offering thereof from time to time in accordance with Rule 415 under the
Securities Act. Such registration statement has been declared effective by the
Commission. Such registration statement, as so amended, if applicable, including
the exhibits and schedules thereto, and including all documents incorporated or
deemed to be incorporated by reference therein pursuant to Item 12 of Form S-3,
prior to the execution of this Agreement, is called the "Registration
Statement". Any registration statement filed by the Company pursuant to Rule
462(b) under the Securities Act is called the "Rule 462(b) Registration
Statement", and from and after the date and time of filing of the Rule 462(b)
Registration Statement the term "Registration Statement" shall include the Rule
462(b) Registration Statement. The final prospectus and the final prospectus
supplement relating to the offering of the Securities, in the form first
furnished to the Underwriter by the Company for use in connection with the
offering of the Securities, including all documents incorporated or deemed to be
incorporated by reference therein pursuant to Item 12 of Form S-3, prior to the
execution of this Agreement, is called the "Prospectus". A "preliminary
prospectus" shall be deemed to refer to any prospectus that omitted information
to be included upon pricing in a form of prospectus filed with the Commission
pursuant to Rule 424(b) under the Securities Act and was used prior to the
execution and delivery of this Agreement. All references in this Agreement to
the Registration Statement, the Rule 462(b) Registration Statement, a
preliminary prospectus, the Prospectus or any amendments or supplements to any
of the foregoing, shall include any copy thereof filed with the Commission
pursuant to its Electronic Data Gathering, Analysis and Retrieval System
("EDGAR").

               
The Company hereby confirms its engagement of Lazard Frères & Co. LLC to render
services as "qualified independent underwriter" within the meaning of Rule 2720
of the Conduct Rules of the NASD with respect to the offering and sale of the
Securities. Lazard Frères & Co. LLC,

2

solely in its capacity as qualified
independent underwriter and not otherwise, is referred to herein as the "QIU".

                The yield at which the Securities will be sold to the
  public shall not be lower than the yield recommended by the QIU.

                 All references in this Agreement to financial statements
  and schedules and other information which is "contained", "included" or
  "stated" (and all other references of like import) in the Registration
  Statement, a preliminary prospectus or the Prospectus shall be deemed to mean
  and include all such financial statements and schedules and other information
  which is or is deemed to be incorporated by reference in the Registration
  Statement, a preliminary prospectus or the Prospectus, as the case may be,
  prior to the execution of this Agreement; and all references in this Agreement
  to amendments or supplements to the Registration Statement, a preliminary
  prospectus or the Prospectus shall be deemed to mean and include the filing of
  any document under the Securities Exchange Act of 1934, as amended, and the
  rules and regulations promulgated thereunder (collectively, the "Exchange
  Act") which is or is deemed to be incorporated by reference in the
  Registration Statement, a preliminary prospectus or the Prospectus, as the
  case may be, after the execution of this Agreement.

                  In connection with the offering of the Securities, the
  Company expects to use the net proceeds from the sale of the Securities for
  repayment of debt obligations as described in the preliminary prospectus under
  "Use of Proceeds."

                  The Company hereby confirms its agreements with the
  Underwriter and the QIU as follows:

  
      Section 1. Representations and Warranties.

  
                  The Company hereby represents, warrants and covenants to
  the Underwriter and the QIU, as follows:

      (a)
  Compliance with
  Registration Requirements. The Registration Statement and any Rule 462(b)
  Registration Statement have been declared effective by the Commission under
  the Securities Act. The Company meets the requirements for use of Form S-3
  under the Securities Act. The Registration Statement has been declared
  effective by the Commission under the Securities Act. No stop order suspending
  the effectiveness of the Registration Statement or any Rule 462(b)
  Registration Statement is in effect and no proceedings for such purpose have
  been instituted or are pending or, to the knowledge of the Company, have been
  threatened by the Commission.

                 
  Each preliminary prospectus and the prospectus filed as part of the
  Registration Statement as originally filed or as part of any amendment
  thereto, or filed pursuant to Rule 424 under the Securities Act, complied when
  so filed in all material respects with the Securities Act and each preliminary
  prospectus and the Prospectus delivered to the Underwriter for use in
  connection with the offer and sale of the Securities will, at the time of such
  delivery, be identical to any copies filed by electronic transmission pursuant
  to EDGAR (except as may be permitted by Regulation S-T under the Securities
  Act). Each of the Registration Statement, any Rule 462(b) Registration
  Statement and any post-effective amendment thereto, at the time it became
  effective and at all subsequent times through the end of the Prospectus
  Delivery Period (as hereinafter defined), complied and will comply in all
  material respects with the Securities Act and did not and will not contain any
  untrue statement of a 

  
  3

  material fact or omit to state a material fact required to
  be stated therein or necessary to make the statements therein not misleading.
  The Prospectus, as amended or supplemented, as of its date and at all
  subsequent times through the end of the Prospectus Delivery Period, did not
  and will not contain any untrue statement of a material fact or omit to state
  a material fact necessary in order to make the statements therein, in the
  light of the circumstances under which they were made, not misleading. The
  representations and warranties set forth in the two immediately preceding
  sentences do not apply to statements in or omissions from the Registration
  Statement, any Rule 462(b) Registration Statement, or any post-effective
  amendment thereto, or the Prospectus, or any amendments or supplements
  thereto, made in reliance upon and in conformity with information relating to
  the Underwriter furnished to the Company in writing by or on behalf of the
  Underwriter expressly for use therein. There are no contracts or other
  documents required to be described in the Prospectus or to be filed as
  exhibits to the Registration Statement that have not been described or filed
  as required.

      (b)
  Exchange Act Compliance. The documents incorporated or deemed to be incorporated
  by reference in the Registration Statement and Prospectus, at the time they
  were or hereafter are filed with the Commission, complied and will comply in
  all material respects with the requirements of the Exchange Act, and, when
  read together with the other information in the Prospectus, at the time the
  Registration Statement became effective and at the Closing Date will not
  contain an untrue statement of a material fact or omit to state a material
  fact required to be stated therein or necessary to make the statements
  therein, in the light of the circumstances under which they were made, not
  misleading.

  
      (c) Offering Materials
  Furnished to the Underwriter. The Company has delivered to the Underwriter one complete
  manually signed copy of the Registration Statement and of each consent and
  certificate of experts filed as a part thereof.

  
      (d) Distribution of
  Offering Material By the Company. The Company has not distributed and will not distribute,
  prior to the later of the Closing Date (as defined below) and the completion
  of the Underwriter's distribution of the Securities, any offering material in
  connection with the offering and sale of the Securities other than a
  preliminary prospectus, the Prospectus or the Registration Statement or
  materials used at any "roadshow" presentations.

  
      (e) Authorization of the
  Underwriting Agreement. This Agreement has been duly authorized, executed and
  delivered by, and is a valid and binding agreement of the Company enforceable
  in accordance with its terms, except as rights to indemnification hereunder
  may be limited by applicable law and except as the enforcement hereof may be
  limited by bankruptcy, insolvency, reorganization, moratorium or other similar
  laws relating to or affecting the rights and remedies of creditors or by
  general equitable principles.

  
      (f) Authorization of the
  Indenture. The Indenture has been duly authorized by the Company and
  will be qualified under the Trust Indenture Act of 1939, as amended ("the
  Trust Indenture Act"); on the Closing Date, the Indenture will have been duly
  executed and delivered by the Company and, assuming due authorization,
  execution and delivery of the Indenture by the Trustee, will constitute a
  legally valid and binding agreement of the Company enforceable against the
  Company in accordance with its terms, except to the extent that the
  enforceability thereof may be limited by (i) bankruptcy, insolvency,
  reorganization, moratorium, fraudulent transfer or other similar laws relating
  to creditors' rights generally and (ii) general principles of equity
  (regardless of whether such enforcement is considered in a proceeding in
  equity or at law).

  
      (g) Authorization of the
  DTC Letter of Representations. The DTC Letter of Representations has been duly
  authorized by the Company and, on the Closing Date, will have been duly
  executed and delivered by the Company and will constitute a valid and legally
  binding agreement of the Company,
  
  

  
  
4

  enforceable against the Company in
  accordance with its terms, except to the extent that the enforceability
  thereof may be limited by (i) bankruptcy, insolvency, reorganization,
  moratorium, fraudulent transfer or other similar laws relating to creditors'
  rights generally and (ii) general principles of equity (regardless of whether
  such enforcement is considered in a proceeding in equity or at law).

  
      (h) Authorization of the
  Securities. The Securities are in the form contemplated by the
  Indenture, have been duly authorized for issuance and sale as contemplated by
  this Agreement, the Indenture and the Prospectus and, on the Closing Date,
  will have been duly executed by the Company and, when issued and authenticated
  in accordance with the terms of the Indenture, and delivered in the manner
  provided for in this Agreement against payment of the consideration therefor
  specified in the Prospectus, will constitute valid and legally binding
  obligations of the Company, enforceable against the Company in accordance with
  their terms, and will be entitled to the benefits of the Indenture, except to
  the extent that the enforceability thereof may be limited by (i) bankruptcy,
  insolvency, reorganization, moratorium, fraudulent transfer or other similar
  laws relating to creditors' rights generally and (ii) general principles of
  equity (regardless of whether such enforcement is considered in a proceeding
  in equity or at law).

  
      (i) No Applicable
  Registration or Other Similar Rights. There are no persons with registration or other similar
  rights to have any equity or debt securities registered for sale under the
  Registration Statement or included in the offering contemplated by this
  Agreement.

  
      (j) No Material Adverse
  Change. Since the respective dates as of which information is
  given in the Prospectus, and except as otherwise stated therein, (i) there has
  been no material adverse change in the assets, liabilities, results of
  operations, condition (financial or otherwise), earnings, business affairs or
  prospects, whether or not arising from transactions in the ordinary course of
  business, of the Company and its subsidiaries, taken as a whole (any such
  change is called a "Material Adverse Change"), (ii) there has been no
  transaction entered into or material liability or obligation, direct, indirect
  or contingent, incurred by the Company or any subsidiary that is material and
  adverse to the Company and its subsidiaries, taken as a whole, and (iii) there
  has been no dividend declared, paid or made by the Company or, except for
  dividends paid to the Company or other subsidiaries, any of its subsidiaries
  on any class of its capital stock or repurchase or redemption by the Company
  or any of its subsidiaries of any class of capital stock.

  
      (k) Independent Accountants. Ernst & Young LLP, KPMG LLP, and PricewaterhouseCoopers
  LLP, the accountants who have audited and reported upon the financial
  statements of the Company and its subsidiaries and the related notes thereto,
  together with the supporting schedules filed with the Commission as part of
  the Registration Statement and included in the Prospectus, are independent
  registered public accountants with respect to the Company and its subsidiaries
  within the meaning of the Exchange Act.

  
      (l) Preparation of the
  Financial Statements. The financial statements of the Company and its
  consolidated subsidiaries and the related notes thereto filed with the
  Commission as a part of the Registration Statement and included or
  incorporated by reference in the Prospectus present fairly the consolidated
  financial position of the Company and its consolidated subsidiaries as of the
  dates indicated and the results of their operations for the periods specified;
  such financial statements have been prepared in conformity with generally
  accepted accounting principles applied on a consistent basis throughout the
  periods involved. No other financial statements or supporting schedules are
  required to be included in the Registration Statement. The historical
  financial data set forth in the Prospectus under the captions "Prospectus
  Supplement Summary - Summary Historical and Other
  
  

  
  
5

  Financial Data," and "Capitalization" fairly present the
  information set forth therein on a basis consistent with that of the audited
  financial statements contained in the Registration Statement.

  
      (m) Incorporation and Good
  Standing of the Company and its Subsidiaries. Each of the Company and its subsidiaries has been duly
  incorporated and is validly existing as a corporation in good standing under
  the laws of the jurisdiction of its incorporation, with full corporate power
  and authority to own, lease and operate its properties and conduct its
  business as presently conducted and as described in the Prospectus and, in the
  case of the Company, to enter into and perform its obligations under each of
  this Agreement, the DTC Letter of Representations, the Securities and the
  Indenture. Each of the Company and each subsidiary is duly qualified as a
  foreign corporation to transact business and is in good standing in each
  jurisdiction in which such qualification is required, whether by reason of the
  ownership or leasing of property or the conduct of business, except where the
  failure to so qualify would not, individually or in the aggregate, have a
  Material Adverse Effect on the Company and its subsidiaries, taken as a whole.
  As used herein, "Material Adverse Effect," with respect to any person, means a
  material adverse effect on the assets, liabilities, results of operations,
  condition (financial or otherwise), earnings, business affairs or prospects,
  whether or not arising from transactions in the ordinary course of business,
  of such person and its subsidiaries, taken as a whole. The Company does not
  own or control, directly or indirectly, any corporation, association or other
  entity other than the subsidiaries listed in Exhibit 21 to the Company's
  Annual Report on Form 10-K for the fiscal year ended September 25, 2004.

  
      (n) Capitalization and
  Other Capital Stock Matters. The authorized, issued and outstanding capitalization is
  as set forth in the Prospectus under the caption "Capitalization". All the
  issued and outstanding shares of the capital stock of the Company have been
  duly authorized and validly issued and are fully paid and non-assessable and
  have been issued in compliance with Federal and State securities laws. All of
  the issued and outstanding capital stock of each subsidiary has been duly
  authorized and validly issued, is fully paid and nonassessable and is owned by
  the Company, directly or through subsidiaries, free and clear of any security
  interest, mortgage, pledge, lien, encumbrance or claim (each, a "Lien"),
  except for the Liens under the Amended and Restated Loan Agreement among
  certain lenders, HSBC Bank USA, as agent, and Moog Inc. dated as of March 3,
  2003, as modified by Modification No. 1 to Amended and Restated Loan Agreement
  among certain lenders, HSBC Bank USA, as agent, and Moog Inc. dated as of
  August 6, 2003, Modification No. 2 to Amended and Restated Loan Agreement
  among certain lenders, HSBC Bank USA, as agent, and Moog Inc. dated as of
  March 5, 2004, Modification No. 3 to Amended and Restated Loan Agreement among
  certain lenders, HSBC Bank USA, as agent, and Moog Inc. dated as of December
  17, 2004 (the "Loan Agreement"). None of the outstanding shares of common
  stock were issued in violation of any preemptive rights, rights of first
  refusal or other similar rights to subscribe for or purchase securities of the
  Company. There are no authorized or outstanding options, warrants, preemptive
  rights, rights of first refusal or other rights to purchase, or equity or debt
  securities convertible into or exchangeable or exercisable for, any capital
  stock of the Company or any of its subsidiaries other than those accurately
  described in the Prospectus. The description of the Company's stock option,
  stock bonus and other stock plans or arrangements, and the options or other
  rights granted thereunder, set forth or incorporated by reference in the
  Prospectus accurately and fairly presents the information required to be shown
  with respect to such plans, arrangements, options and rights under the
  Securities Act and Exchange Act.

  
      (o) Description of the
  Securities. The Securities and the Indenture will conform in all
  material respects to the respective statements thereto contained in the
  Prospectus.

  
      (p) Non-Contravention of
  Existing Instruments; No Further Authorizations or Approvals Required. Neither the Company nor any of its subsidiaries is in
  violation of its charter or by-laws or
  
  

  
  
6

  is in default (or, with the giving of
  notice or lapse of time, would be in default) ("Default") in the performance
  or observance of any obligation, agreement, covenant or condition contained in
  any Contract (as defined below) or any applicable law, administrative
  regulation or administrative or court order or decree, except for such
  defaults as would not, individually or in the aggregate, have a Material
  Adverse Effect on the Company. The execution, delivery and performance by the
  Company of this Agreement, the DTC Letter of Representations and the Indenture
  and the issuance and delivery of the Securities and consummation of the
  transactions contemplated herein and therein and in the Prospectus have been
  duly authorized by all necessary corporate action and will not conflict with
  or constitute a breach of, or a Default or a Debt Repayment Triggering Event
  (as defined below) under, or the loss of any material benefit under, or the
  termination of, or result in the creation or imposition of any Lien upon any
  property or assets of the Company or any of its subsidiaries pursuant to any
  contract, indenture, mortgage, loan agreement, note, lease, license or other
  instrument to which the Company or any of its subsidiaries is a party or by
  which any of them may be bound (including, without limitation, the Company's
  Loan Agreement) or to which any of the property or assets of any of them is
  subject (each, a "Contract"), except for such conflicts, breaches, Defaults,
  losses or Liens as would not, individually or in the aggregate, have a
  Material Adverse Effect on the Company, nor will such action result in any
  violation of the provisions of the charter or bylaws of the Company or any of
  its subsidiaries or any applicable law, administrative regulation or
  administrative or court order or decree applicable to the Company or any of
  its subsidiaries. Except such as have been obtained by the Company or any of
  its subsidiaries and are in full force and effect under the Securities Act,
  applicable state securities or blue sky laws and from the New York Stock
  Exchange or the National Association of Securities Dealers, Inc. (the "NASD"),
  no consent, approval, authorization or order of, or notice to or filing with,
  any United States federal or state governmental or regulatory agency or body
  or any court of the United States or of any state thereof is required for the
  Company's execution, delivery and performance of this Agreement, the DTC
  Letter of Representations or the Indenture or the issuance and delivery of the
  Securities, or consummation of the transactions contemplated herein and
  therein and in the Prospectus. As used herein, a "Debt Repayment Triggering
  Event" means any event or condition which gives, or with the giving of notice
  or lapse of time would give, the holder of any note, debenture or other
  evidence of indebtedness (or any person acting on such holder's behalf) the
  right to require the repurchase, redemption or repayment of all or a portion
  of such indebtedness by the Company or any of its subsidiaries.

  
      (q) Required Consents. The Company has obtained, on or prior to the Closing
  Date, any necessary consents under the Loan Agreement to permit the
  consummation of the transactions contemplated herein and such consents will
  continue to be in effect on the Closing Date.

  
      (r) No Material Actions or
  Proceedings. Except as otherwise disclosed in the Prospectus, there is
  no action, suit or proceeding before or by any court or governmental agency or
  body now pending or, to the knowledge of the Company, threatened against or
  affecting the Company or any of its subsidiaries which, if adversely
  determined, would result in a Material Adverse Effect on the Company, or would
  prevent or hinder the consummation of all the transactions contemplated by
  this Agreement and in the Prospectus.

  
      (s) No Labor Disputes. No strike, work stoppage or other similar labor dispute
  with the employees of the Company or any of its subsidiaries, or, to the
  knowledge of the Company, with the employees of any principal supplier of the
  Company or any of its subsidiaries, exists or, to the knowledge of the Company
  or any of its subsidiaries, is threatened, which would have a Material Adverse
  Effect on the Company.

  
      (t) Intellectual Property
  Rights. The Company and its subsidiaries own or possess sufficient
  trademarks, trade names, patent rights, copyrights, licenses, approvals, trade
  secrets and other similar
  
  

  
  
7

  rights (collectively, "Intellectual Property Rights")
  reasonably necessary to conduct their businesses as now conducted; and the
  expected expiration of any of such Intellectual Property Rights would not
  result in a Material Adverse Effect on the Company. Neither the Company nor
  any of its subsidiaries has received any notice of infringement or conflict
  with asserted Intellectual Property Rights of others, which infringement or
  conflict, if the subject of an unfavorable decision, would result in a
  Material Adverse Effect on the Company.

  
      (u) All Necessary Permits,
  etc. The Company and each subsidiary possess such valid and
  current certificates, authorizations or permits issued by the appropriate
  regulatory or other governmental agencies or bodies as are necessary to
  conduct the business as now conducted by the Company and its subsidiaries and
  as described in the Prospectus, each such certificate, authorization and
  permit being in full force and effect and the Company and each subsidiary is
  in compliance with the terms of each such certificate, authorization and
  permit, except where the failure to possess or comply with any such
  certificate, authorization or permit would not, individually or in the
  aggregate, have a Material Adverse Effect on the Company; and neither the
  Company nor any of its subsidiaries has received any notice of proceedings
  relating to the revocation or modification of, or non-compliance with, any
  such certificate, authorization or permit which, individually or in the
  aggregate, if the subject of an unfavorable decision, ruling or finding, would
  have a Material Adverse Effect on the Company.

  
      (v) Title to Properties. The Company and each of its subsidiaries has good and
  marketable title to all the properties and assets reflected as owned in the
  financial statements of the Company and its consolidated subsidiaries free and
  clear of any Liens except for the Liens under the Loan Agreement and except
  such as do not materially and adversely affect the value of such property and
  do not materially interfere with the use made or proposed to be made of such
  property by the Company or such subsidiary. The real property, improvements,
  equipment and personal property held under lease by the Company or any such
  subsidiary are held under valid and enforceable leases, with such exceptions
  as are not material and do not materially interfere with the use made or
  proposed to be made of such real property, improvements, equipment or personal
  property by the Company or any of its subsidiaries.

  
      (w) Tax Law Compliance. All necessary federal, state and foreign income and
  franchise tax returns required to be filed by the Company and its consolidated
  subsidiaries have been filed, other than those filings being contested in good
  faith, and all material taxes, including withholding taxes, penalties and
  interest, assessments, fees and other charges due or claimed to be due from
  such entities have been paid, other than those being contested in good faith
  and for which adequate reserves have been provided or those currently payable
  without penalty or interest. The Company has made adequate charges, accruals
  and reserves in the applicable financial statements referred to in Section
  1(l) above in respect of all federal, state and foreign income and franchise
  taxes for all periods as to which the tax liability of the Company or any of
  its consolidated subsidiaries has not been finally determined.

  
      (x) Company Not an
  "Investment Company". The Company is not and will not after receipt of payment
  for the Securities be (i) an "investment company" or a company "controlled" by
  an investment company within the meaning of the United States Investment
  Company Act of 1940, as amended, (ii) a "holding company" or a "subsidiary
  company" of a holding company or an "affiliate" thereof within the meaning of
  the United States Public Utility Holding Company Act of 1935, as amended, or
  (iii) subject to regulation under the United States Federal Power Act or any
  federal or state statute or regulation limiting its ability to incur
  indebtedness for borrowed money.

  
      (y) Insurance. Each of the Company and its subsidiaries are insured by
  recognized, financially sound institutions with policies in such amounts and
  with such deductibles and covering such risks as
  
  

  
  
8

  are generally deemed adequate
  and customary for their businesses including, but not limited to, policies
  covering real and personal property owned or leased by the Company and its
  subsidiaries against theft, damage, destruction, acts of vandalism and
  earthquakes. Except as disclosed in the Prospectus, the Company does not have
  any reason to believe that it or any subsidiary will not be able (i) to renew
  its existing insurance coverage as and when such policies expire or (ii) to
  obtain comparable coverage from similar institutions as may be necessary or
  appropriate to conduct its business as now conducted and at a cost that would
  not result in a Material Adverse Effect on the Company, as the case may be.
  Neither the Company nor any subsidiary has been denied any insurance coverage
  that it has sought or for which it has applied.

  
      (z) No Mandatory Redemption. The Company is not actively considering any plan or
  transaction that, if consummated, would result in any mandatory requirement to
  redeem, or make an offer to purchase, any securities of the Company pursuant
  to the terms thereof.

  
      (aa) Solvency. The Company is, and immediately after the Closing Date
  (after giving effect to the sale of the Securities and the application of the
  proceeds therefrom), will be, Solvent. As used herein, the term "Solvent"
  means, with respect to the Company on a particular date, that on such date (i)
  the fair market value of the assets of the Company is greater than the total
  amount of liabilities (including contingent liabilities) of the Company, (ii)
  the present fair salable value of the assets of the Company is greater than
  the amount that will be required to pay the probable liabilities of the
  Company on its debts as they become absolute and matured, (iii) the Company is
  able to realize upon its assets and pay its debts and other liabilities,
  including contingent obligations, as they mature and (iv) the Company does not
  have unreasonably small capital.

  
      (bb) No Price Stabilization
  or Manipulation. The Company has not taken and will not take, directly or
  indirectly, any action designed to or that might be reasonably expected to
  cause or result in stabilization or manipulation of the price of Securities to
  facilitate the sale or resale of the Securities.

  
      (cc) Related Party
  Transactions. There are no business relationships or related-party
  transactions involving the Company or any subsidiary or any other person
  required to be described in the Prospectus that have not been described as
  required.

  
      (dd) No Unlawful
  Contributions or Other Payments. Neither the Company nor any of its subsidiaries nor, to
  the best of the Company's knowledge, any employee or agent of the Company or
  any subsidiary, has made any contribution or other payment to any official of,
  or candidate for, any federal, state or foreign office in violation of any law
  where such violation would result in a Material Adverse Change or be of the
  character required to be disclosed in the Prospectus.

  
      (ee) Company's Accounting
  System. Except as otherwise disclosed in the Prospectus, the
  Company maintains a system of accounting controls sufficient to provide
  reasonable assurances that (i) transactions are executed in accordance with
  management's general or specific authorization; (ii) transactions are recorded
  as necessary to permit preparation of financial statements in conformity with
  generally accepted accounting principles and to maintain accountability for
  assets; (iii) access to assets is permitted only in accordance with
  management's general or specific authorization; and (iv) the recorded
  accountability for assets is compared with existing assets at reasonable
  intervals and appropriate action is taken with respect to any differences.

  
      (ff) Compliance with
  Environmental Laws. Except as otherwise disclosed in the Prospectus or as
  would not, individually or in the aggregate, result in a Material Adverse
  Effect on the Company, as the case may be, (i) neither the Company nor any of
  its subsidiaries is in violation of any federal, state, local or foreign law
  or regulation relating to pollution or protection of human health or the
  
  

  
  
9

  environment (including, without limitation, ambient air,
  surface water, groundwater, land surface or subsurface strata) or wildlife,
  including, without limitation, laws and regulations relating to emissions,
  discharges, releases or threatened releases of chemicals, pollutants,
  contaminants, wastes, toxic substances, hazardous substances, petroleum and
  petroleum products (collectively, "Materials of Environmental Concern"), or
  otherwise relating to the manufacture, processing, distribution, use,
  treatment, storage, disposal, transport or handling of Materials of
  Environmental Concern (collectively, "Environmental Laws"), which violation
  includes, but is not limited to, noncompliance with any permits or other
  governmental authorizations required for the operation of the business of the
  Company or its subsidiaries under applicable Environmental Laws, or
  noncompliance with the terms and conditions thereof, nor has the Company or
  any of its subsidiaries received any written communication, whether from a
  governmental authority, citizens group, employee or otherwise, that alleges
  that the Company or any of its subsidiaries is in violation of any
  Environmental Law; (ii) there is no claim, action or cause of action filed
  with a court or governmental authority, nor investigation with respect to
  which the Company or any of its subsidiaries has received written notice, and
  no written notice by any person or entity alleging potential liability for
  investigation costs, cleanup costs, governmental responses costs, natural
  resources damages, property damages, personal injuries, attorneys' fees or
  penalties arising out of, based on or resulting from the presence, or release
  into the environment, of any Material of Environmental Concern at any location
  owned, leased or operated by the Company or any of its subsidiaries, now or in
  the past (collectively, "Environmental Claims"), pending, or, to the best of
  the Company's or any of its subsidiaries' knowledge, threatened or
  contemplated against the Company or any of its subsidiaries or any person or
  entity whose liability for any Environmental Claim the Company or any of its
  subsidiaries has retained or assumed either contractually or by operation of
  law; and (iii) to the best of the Company's knowledge, there are no past or
  present actions, activities, circumstances, conditions, events or incidents,
  including, without limitation, the release, emission, discharge, presence or
  disposal of any Material of Environmental Concern, that reasonably could
  result in a violation of any Environmental Law or form the basis of a
  potential Environmental Claim against the Company or any of its subsidiaries
  or against any person or entity whose liability for any Environmental Claim
  the Company or any of its subsidiaries has retained or assumed either
  contractually or by operation of law.

  
      (gg) Periodic Review of
  Costs of Environmental Compliance. In the ordinary course of business, the Company and each
  of its subsidiaries conducts a periodic review of the effect of Environmental
  Laws on its respective business, operations and properties, in the course of
  which they identify and evaluate associated costs and liabilities (including,
  without limitation, any capital or operating expenditures required for
  clean-up, closure of properties or compliance with Environmental Laws or any
  permit, license or approval, any related constraints on operating activities
  and any potential liabilities to third parties). On the basis of such review
  and the amount of its established reserves, the Company has reasonably
  concluded that such associated costs and liabilities would not, individually
  or in the aggregate, result in a Material Adverse Effect on the Company,
  except as otherwise disclosed in the Prospectus.

  
      (hh) ERISA Compliance. The Company and any of its subsidiaries and any "employee
  benefit plan" (as defined under the Employee Retirement Income Security Act of
  1974, as amended, and the regulations and published interpretations thereunder
  (collectively, "ERISA")) established or maintained by the Company or a
  subsidiary or any of their respective "ERISA Affiliates" (as defined below)
  are and will be in compliance in all material respects with ERISA. "ERISA
  Affiliate" means, with respect to the Company or such subsidiary, any member
  of any group of organizations described in Section 414(b), (c), (m) or (o) of
  the Internal Revenue Code of 1986, as amended, and the regulations and
  published interpretations thereunder (the "Code") of which the Company or such
  subsidiary is a member. No "reportable event" (as defined under Section 4043
  of ERISA and for which notice has not been waived by applicable regulations)
  has occurred or is reasonably expected to
  
  

  
  
10

  occur with respect to any "employee
  benefit plan" established or maintained by the Company, its subsidiaries or
  any of their respective ERISA Affiliates. No "employee benefit plan"
  established or maintained by the Company or any of its subsidiaries or any of
  their respective ERISA Affiliates, if such "employee benefit plan" were
  terminated, would have any "amount of unfunded benefit liabilities" (as
  defined in Title IV of ERISA). None of the Company, its subsidiaries, or any
  of their respective ERISA Affiliates has incurred or reasonably expects to
  incur any liability under (i) Title I or IV of ERISA or (ii) Sections 412,
  4971, 4975 or 4980B of the Code. Each "employee benefit plan" established or
  maintained by the Company or any of its subsidiaries or any of their
  respective ERISA Affiliates that is intended to be qualified under Section 401
  of the Code is and will be so qualified and nothing has occurred, whether by
  action or failure to act, which would cause the loss of such qualification.

  
      (ii) Brokers. There is no broker, finder or other party that is
  entitled to receive from the Company any brokerage or finder's fee or other
  fee or commission as a result of any transactions contemplated by this
  Agreement, except as provided in this Agreement.

  
      (jj) No Outstanding Loans
  or Other Indebtedness. Except as otherwise disclosed in the Prospectus, there
  are no outstanding loans, advances (except normal advances for business
  expenses in the ordinary course of business) or guarantees of indebtedness by
  the Company to or for the benefit of any of the officers or directors of the
  Company.

  
      (kk) Compliance with Laws. The Company has not been advised, and has no reason to
  believe, that it and each of its subsidiaries are not conducting business in
  compliance with all applicable laws, rules and regulations of the
  jurisdictions in which it is conducting business, except as otherwise
  disclosed in the Prospectus or except where failure to be so in compliance
  would not result in a Material Adverse Change.

  
      (ll) No Event of Default. No event of default exists under any contract, indenture,
  mortgage, loan agreement, note, lease or other agreement or instrument
  constituting Senior Indebtedness (as defined in the Indenture).

  
      (mm) Disclosure Controls
  and Procedures. The Company has established and maintains disclosure
  controls and procedures (as such term is defined in Rule 13a-14 under the
  Exchange Act), which (i) are designed to ensure that material information
  relating to the Company, including its consolidated subsidiaries, is made
  known to the Company's principal executive officer and its principal financial
  officer by others within those entities, particularly during the periods in
  which the periodic reports required under the Exchange Act are being prepared,
  (ii) have been evaluated for effectiveness as of a date within 90 days prior
  to the filing of the Company's most recent annual or quarterly report filed
  with the Commission and (iii) are effective in all material respects to
  perform the functions for which they were established. Based on the evaluation
  of the Company's disclosure controls and procedures described above, the
  Company is not aware of (a) any significant deficiency in the design or
  operation of internal controls which could adversely affect the Company's
  ability to record, process, summarize and report financial data or any
  material weaknesses in internal controls or (b) any fraud, whether or not
  material, that involves management or other employees who have a significant
  role in the Company's internal controls. Since the most recent evaluation of
  the Company's disclosure controls and procedures described above, there have
  been no significant changes in internal controls or in other factors that
  could significantly affect internal controls.

  
      (nn) 
  Compliance with Sarbanes-Oxley Act of 2002.
  
  The Company and, to the best of its knowledge, its officers
  and directors are in compliance in all material respects with applicable
  

  
  
11

  provisions of the Sarbanes-Oxley Act of 2002 and the rules and regulations
  promulgated in connection therewith (the "Sarbanes-Oxley Act") that are
  effective as of the date hereof.

                  Any certificate signed by an officer of the Company and
  delivered to the Underwriter or to counsel for the Underwriter shall be deemed
  to be a representation and warranty by the Company to the Underwriter as to
  the matters set forth therein.

                  The Company acknowledges that the Underwriter and, for
  purposes of the opinions to be delivered pursuant to Section 5 hereof, counsel
  to the Company and counsel to the Underwriter, will rely upon the accuracy and
  truthfulness of the foregoing representations and hereby consents to such
  reliance.

  
      Section 2. Purchase, Sale and Delivery of the
  Securities.

  
  The Securities. Upon the terms herein set forth, the
  Company agrees to issue and sell to the Underwriter an aggregate of
  $150,000,000 of Securities. On the basis of the representations, warranties
  and agreements herein contained, and upon the terms but subject to the
  conditions herein set forth, the Underwriter agrees to purchase from the
  Company the Securities. The purchase price of the Securities to be paid by the
  Underwriter to the Company shall be 98.5% of the aggregate principal amount of
  the Securities.

  
      (a) The Closing Date. Delivery of certificates for the Securities to be
  purchased by the Underwriter and payment therefor shall be made at the offices
  of Shearman & Sterling LLP, 599 Lexington Avenue, New York, New York 10022 (or
  such other place as may be agreed to by the Company and the Underwriter) at
  9:00 a.m. New York time, on January 10, 2005 or such other time and date as
  the Underwriter and the Company shall agree (the time and date of such closing
  are called the "Closing Date").

  
      (b) Public Offering of the
  Securities. The Underwriter hereby advises the Company that the
  Underwriter intends to offer the Securities for sale to the public, as
  described in the Prospectus, as soon after this Agreement has been executed as
  the Underwriter, in its sole judgment, have determined is advisable and
  practicable.

  
      (c) Payment for the
  Securities. Payment for the Securities to be sold by the Company
  shall be made at the Closing Date by wire transfer of immediately available
  funds to the order of the Company.

  
      (d) Delivery of the
  Securities. The Company shall deliver, or cause to be delivered, to
  the Underwriter for the account of the Underwriter certificates for the
  Securities to be sold by it at the Closing Date, against the irrevocable
  release of a wire transfer of immediately available funds for the amount of
  the purchase price therefor. The certificates for the Securities shall be in
  such denominations and registered in the name of Cede & Co., as the
  Depository, pursuant to the DTC Letter of Representations, and shall be made
  available for inspection on the business day preceding the Closing Date at a
  location in New York City as the Underwriter may designate. Time shall be of
  the essence, and delivery at the time and place specified in this Agreement is
  a further condition to the obligations of the Underwriter.

  
      (e) Delivery of Prospectus
  to the Underwriter. Not later than 12:00 p.m. on the second business day
  following the date the Securities are first released by the Underwriter for
  sale to the public, the Company shall deliver or cause to be delivered, copies
  of the Prospectus in such quantities and at such places as the Underwriter
  shall request.

  
  
12

  
      Section 3. Additional Covenants of the Company.

  
  The Company further covenants and agrees with the
  Underwriter and the QIU as follows:

  
      (a) Underwriter's Review of
  Proposed Amendments and Supplements. During such period beginning on the date hereof and ending on the later
  of the Closing Date or such date, as in the opinion of counsel for the
  Underwriter, the Prospectus is no longer required by law to be delivered in
  connection with sales by the Underwriter or dealer (the "Prospectus Delivery
  Period"), prior to amending or supplementing the Registration Statement
  (including any registration statement filed under Rule 462(b) under the
  Securities Act) or the Prospectus, the Company shall furnish to the
  Underwriter for review a copy of each such proposed amendment or supplement,
  and the Company shall not file any such proposed amendment or supplement to
  which the Underwriter or its counsel reasonably object.

  
      (b) Securities Act
  Compliance. After the date of this Agreement, the Company shall promptly advise the
  Underwriter in writing (i) of the receipt of any comments of, or requests for
  additional or supplemental information from, the Commission, (ii) of the time
  and date of any filing of any post-effective amendment to the Registration
  Statement or any amendment or supplement to any preliminary prospectus or the
  Prospectus, (iii) of the time and date that any post-effective amendment to
  the Registration Statement becomes effective and (iv) of the issuance by the
  Commission of any stop order suspending the effectiveness of the Registration
  Statement or any post-effective amendment thereto or of any order preventing
  or suspending the use of any preliminary prospectus or the Prospectus, or of
  any proceedings to remove, suspend or terminate from listing or quotation the
  common stock from any securities exchange upon which it is listed for trading
  or included or designated for quotation, or of the threatening or initiation
  of any proceedings for any of such purposes. If the Commission shall enter any
  such stop order at any time, the Company will use its best efforts to obtain
  the lifting of such order at the earliest possible moment. Additionally, the
  Company agrees that it shall comply with the provisions of Rules 424(b), 430A
  and 434, as applicable, under the Securities Act and will use its reasonable
  efforts to confirm that any filings made by the Company under such Rule 424(b)
  were received in a timely manner by the Commission.

  
      (c) Notification of Breach
  of this Agreement. The Company shall comply with the terms of the Indenture and the
  Prospectus and shall promptly notify the Underwriter if it discovers that any
  of its representations contained in this Agreement is not, at any time prior
  to the completion of the distribution of the Securities, true and correct, or
  if it has at any such time breached any of its obligations hereunder.

  
      (d) Amendments and
  Supplements to the Prospectus and Other Securities Act Matters. If, during the Prospectus Delivery Period, any event shall occur or
  condition exist as a result of which it is necessary to amend or supplement
  the Prospectus in order to make the statements therein, in the light of the
  circumstances when the Prospectus is delivered to a purchaser, not misleading,
  or if in the opinion of the Underwriter or counsel for the Underwriter it is
  otherwise necessary to amend or supplement the Prospectus to comply with law,
  the Company agrees to promptly prepare (subject to Section 3 hereof), file
  with the Commission and furnish at its own expense to the Underwriter and to
  dealers, amendments or supplements to the Prospectus so that the statements in
  the Prospectus as so amended or supplemented will not, in the light of the
  circumstances when the Prospectus is delivered to a purchaser, be misleading
  or so that the Prospectus, as amended or supplemented, will comply with law.

  
      (e) Copies of any
  Amendments and Supplements to the Prospectus. The Company agrees to
  furnish the Underwriter, at its own expense, during the Prospectus Delivery
  Period, as many copies of
  
  

  
  
13

  the Prospectus and any amendments and supplements thereto
  (including any documents incorporated or deemed incorporated by reference
  therein) as the Underwriter may reasonably request.

  
      (f) Blue Sky Compliance. The Company shall cooperate with the Underwriter and counsel for the
  Underwriter to qualify or register the Securities for sale under (or obtain
  exemptions from the application of) the state securities or Blue Sky laws of
  those jurisdictions designated by the Underwriter, shall comply with such laws
  and shall continue such qualifications, registrations and exemptions in effect
  so long as required for the distribution of the Securities. The Company shall
  not be required to qualify as a foreign corporation or to take any action that
  would subject it to general service of process in any such jurisdiction where
  it is not presently qualified or where it would be subject to taxation as a
  foreign corporation. The Company will advise the Underwriter promptly of the
  suspension of the qualification or registration of (or any such exemption
  relating to) the Securities for offering, sale or trading in any jurisdiction
  or any initiation or threat of any proceeding for any such purpose, and in the
  event of the issuance of any order suspending such qualification, registration
  or exemption, the Company shall use its best efforts to obtain the withdrawal
  thereof at the earliest possible moment.

  
      (g) DTC Eligibility. The Company shall use its best efforts to assist the Underwriter in
  arranging to cause the Securities to be eligible for settlement through the
  facilities of DTC.

  
      (h) Use of Proceeds. The Company shall apply the net proceeds from the sale of the Securities
  sold by it, if completed, in the manner described under the caption "Use of
  Proceeds" in the Prospectus.

  
      (i) Earnings Statement. As soon as practicable, the Company will make generally available to its
  security holders and to the Underwriter an earnings statement (which need not
  be audited) covering the twelve-month period ending December 31, 2005 that
  satisfies the provisions of Section 11(a) of the Securities Act.

  
      (j) Periodic Reporting
  Obligations. During the Prospectus Delivery Period the Company shall file, on a timely
  basis, with the Commission and the New York Stock Exchange all reports and
  documents required to be filed under the Exchange Act.

  
      (k) Company to Provide
  Interim Financial Statements. Prior to the Closing Date, the Company will furnish the Underwriter, as
  soon as they have been prepared by or are available to the Company, a copy of
  any unaudited interim financial statements of the Company for any full fiscal
  quarter ending subsequent to the period covered by the most recent financial
  statements appearing in the Registration Statement and the Prospectus.

  
      (l) Future Reports to the
  Underwriter. During the period of three years hereafter the Company will furnish to
  the Underwriter (or file on EDGAR): (i) as soon as practicable after the end
  of each fiscal year, copies of the Annual Report of the Company containing the
  balance sheet of the Company as of the close of such fiscal year and
  statements of income, stockholders' equity and cash flows for the year then
  ended and the opinion thereon of the Company's independent registered
  public accountants; (ii) as soon as practicable after the filing thereof,
  copies of each proxy statement, Annual Report on Form 10-K, Quarterly Report
  on Form 10-Q, Current Report on Form 8-K or other report filed by the Company
  with the Commission, the NASD or any securities exchange; and (iii) as soon as
  available, copies of any report or communication of the Company mailed
  generally to holders of its capital stock or debt securities (including the
  holders of the Securities).

  
  
14

      (m) Investment Limitation. The Company shall not invest, or otherwise use the proceeds received by
  the Company from its sale of the Securities in such a manner as would require
  the Company or any of its subsidiaries to register as an investment company
  under the Investment Company Act.

  
      (n) No Manipulation of
  Price. Neither the Company nor any of its affiliates will take, directly or
  indirectly, any action designed to or which constitutes or which might
  reasonably be expected to cause or result in stabilization or manipulation of
  the price of the Securities of the Company at any time prior to the
  Underwriter notifying the Company of the completion of the distribution of the
  Securities.

  
      (o) No Existing Lock-Up
  Agreement. The Company has no existing agreements between the Company and any of its
  security holders that prohibit the sale, transfer, assignment, pledge or
  hypothecation of any of the Company's securities in connection with a public
  offering by the Company. 

  
      Section 4. Payment of Expenses.

  
                  The Company agrees to pay all costs, fees and expenses
  incurred in connection with the performance of its obligations hereunder and
  in connection with the transactions contemplated hereby, including without
  limitation (i) all expenses incident to the issuance and delivery of the
  Securities (including all printing and engraving costs), (ii) all necessary
  issue, transfer and other stamp taxes in connection with the issuance and sale
  of the Securities to the Underwriter, (iii) all fees and expenses of the
  Company's counsel, independent registered accountants and
  other advisors, (iv) all costs and expenses incurred in connection with the
  preparation, printing, filing, shipping and distribution of the Registration
  Statement (including financial statements and exhibits), each preliminary
  prospectus and the Prospectus, and all amendments and supplements thereto,
  this Agreement, the Indenture, the DTC Letter of Representations, and the
  Securities, (v) all filing fees, attorneys' fees and expenses incurred by the
  Company or the Underwriter in connection with qualifying or registering (or
  obtaining exemptions from the qualification or registration of) all or any
  part of the Securities for offer and sale under the state securities or Blue
  Sky laws, and, if requested by the Underwriter, preparing and printing a "Blue
  Sky Survey" or memorandum, and any supplements thereto, advising the
  Underwriter of such qualifications, registrations and exemptions, (vi) the
  fees and expenses of the Trustee, including the fees and disbursements of
  counsel for Trustee in connection with the Indenture and the Securities, (vii)
  any fees payable in connection with the rating of the Securities with the
  rating agencies, (viii) any filing fees incident to, and any reasonable fees
  and disbursements of counsel for the Underwriter in connection with, the
  NASD's review and approval of the Underwriter's participation in the offering
  and distribution of the Securities, (ix) all fees and expenses (including
  reasonable fees and expenses of counsel) of the Company in connection with
  approval of the Securities by the DTC for "book-entry" transfer, and the
  performance by the Company of its respective other obligations under this
  Agreement, and (x) all other fees, costs and expenses referred to in Item 14
  of Part II of the Registration Statement. Except as provided in clauses (v)
  and (viii) of this Section 4, Section 6, Section 7 and Section 8 hereof, the
  Underwriter shall pay its own expenses, including (a) the fees and
  disbursements of its counsel and (b) all expenses (including travel (including
  chartered air transportation) and lodging) with respect to any "road show"
  presentations made in connection with the offer and sale of the securities,
  and (c) the fees and expenses, if any, of the QIU (including the fees and
  disbursements of counsel to the QIU).

  
      Section 5. Conditions to Obligations of the
  Underwriter

  
  
  
15

                  The obligations of the Underwriter to purchase and pay for
  the Securities as provided herein on the Closing Date shall be subject to the
  accuracy of the representations and warranties on the part of the Company set
  forth in Section 1 hereof as of the date hereof and as of the Closing Date as
  though then made and to the timely performance by the Company of its covenants
  and other obligations hereunder, and to each of the following additional
  conditions:

  
      (a) No Untrue Statements;
  Inadvisable to Proceed. The Underwriter shall not have disclosed to the Company on or prior to
  the Closing Date that the Prospectus contains an untrue statement of a fact
  which, in the reasonable opinion of the Underwriter, is material or omits to
  state a fact which, in the reasonable opinion of the Underwriter, is material
  and is necessary in order to make the statements therein, in the light of the
  circumstances under which they were made, not misleading; the Company shall
  not have prepared and distributed any amendment or supplement to the
  Prospectus either without prior review by, or over the reasonable objection
  of, the Underwriter; and no change shall have occurred under the Securities
  Act which in the reasonable judgment of the Underwriter makes it impracticable
  or inadvisable to proceed with the purchase, sale and delivery of the
  Securities on the terms and in the manner contemplated in the Prospectus.

  
      (b) Corporate Proceedings. All corporate proceedings and other legal matters incident to the
  authorization, form and validity of this Agreement, the DTC Letter of
  Representations, the Indenture, the Securities, the Prospectus and all other
  legal matters relating to this Agreement and the transactions contemplated
  hereby and thereby shall be reasonably satisfactory in all respects to the
  Underwriter and its counsel, and the Company shall have furnished to the
  Underwriter all documents and information that it may reasonably request to
  enable it to pass upon such matters.

  
      (c) Resolutions. The Company shall have delivered to the Underwriter a certified copy of
  the resolutions of the Board of Directors (or any authorized committee
  thereof, together with the resolutions of the Board of Directors establishing
  such committee) of the Company approving the issuance of the Securities on the
  terms and conditions of the Indenture and this Agreement and approving the
  terms hereof and authorizing the execution and delivery of this Agreement, the
  DTC Letter of Representations, the Indenture, the Securities, and all other
  documents relevant to the issue of the Securities by the Company.

  
      (d) Accountant's Comfort
  Letter. The Company shall have furnished to the Underwriter on the date hereof a
  letter of Ernst & Young LLP, independent registered public accountants for the
  Company, addressed to the Underwriter and dated the date hereof, in form and
  substance reasonably satisfactory to the Underwriter, containing statements
  and information of the type ordinarily included in accountant's "comfort
  letters" to initial purchasers, delivered according to Statement of Auditing
  Standards Nos. 72 and 76 (or any successor bulletins), with respect to the
  Company's audited financial statements and certain financial information
  contained in the Registration Statement and the Prospectus.

  
      (e) Bring-Down Comfort
  Letters. The Company shall have furnished to the Underwriter on the Closing Date,
  a letter of Ernst & Young LLP, independent registered public accountants for
  the Company, addressed to the Underwriter and dated as of the Closing Date, in
  form and substance reasonably satisfactory to the Underwriter, to the effect
  that they reaffirm the statements made in the letter furnished by it pursuant
  to Section 5(d), except that the specified date referred to therein for the
  carrying out of procedures shall be no more than three business days prior to
  the Closing Date.

  
      (f) Compliance with
  Registration Requirements; No Stop Order; No Objection from NASD. For the period from and after effectiveness of this Agreement and prior
  to the Closing Date:

  
  
16

  
            (i) the Company shall have filed the Prospectus with the Commission
    (including the information required by Rule 430A under the Securities Act)
    in the manner and within the time period required by Rule 424(b) under the
    Securities Act; or the Company shall have filed a post-effective amendment
    to the Registration Statement containing the information required by such
    Rule 430A, and such post-effective amendment shall have become effective;
    or, if the Company elected to rely upon Rule 434 under the Securities Act
    and obtained the Underwriter's consent thereto, the Company shall have filed
    a Term Sheet with the Commission in the manner and within the time period
    required by such Rule 424(b);

            (ii) no stop order suspending the effectiveness of the Registration
    Statement, any Rule 462(b) Registration Statement, or any post-effective
    amendment to the Registration Statement, shall be in effect and no
    proceedings for such purpose shall have been instituted or threatened by the
    Commission; and

            (iii) the NASD shall have raised no objection to the fairness and
    reasonableness of the underwriting terms and arrangements.

  

  
      (g) No Material Adverse
  Change. For the period from and after the date of this Agreement and prior to the
  Closing Date, in the reasonable judgment of the Underwriter, there shall not
  have occurred any Material Adverse Change.

  
      (h) Opinion of Counsel for
  the Company. On the Closing Date, the Underwriter shall have received the favorable
  opinion of Hodgson Russ LLP, counsel for the Company, addressed to the
  Underwriter and dated as of the Closing Date, the form of which is attached as
  Exhibit A.

  
      (i) Opinion of Counsel for
  the Underwriter. On the Closing Date, the Underwriter shall have received the favorable
  opinion of Shearman & Sterling LLP, counsel for the Underwriter, dated as of
  the Closing Date with respect to such matters as the Underwriter may
  reasonably request.

  
      (j) Officers' Certificate. On the Closing Date the Underwriter shall have received a written
  certificate from the Company executed by the President or a Vice President and
  the principal financial or accounting officer of the Company, dated as of the
  Closing Date, to the effect set forth in subsection (f)(ii) of this Section 5,
  and further to the effect that:

   
       

   (i) for the period from and after the date of this Agreement and prior to
    the Closing Date, there has not occurred any Material Adverse Change;        (ii) the representations, warranties and covenants of the Company set
    forth in Section 1 of this Agreement are true and correct with the same
    force and effect as though expressly made on and as of the Closing Date;

            (iii) the Company has complied with all the agreements and satisfied all
    the conditions on its part to be performed or satisfied at or prior to the
    Closing Date; and

            (iv) there shall not have occurred any downgrading, nor shall any notice
    have been given of any intended or potential downgrading or of any review
    for a possible change that does not indicate the direction of the possible
    change, in the rating accorded any debt securities of the Company or any of
    its subsidiaries by any "nationally recognized statistical rating
    organization" as such term is defined for purposes of Rule 436 under the
    Securities Act.

    

    

  
17

    

  
  (k) Other Certificates. The Company shall have furnished to the Underwriter such further
  certificates and documents as the Underwriter shall have reasonably requested.

    (l) Additional Documents. On or before the Closing Date, the Underwriter and counsel for the
  Underwriter shall have received such information, documents and opinions as
  they may reasonably require for the purposes of enabling it to pass upon the
  issuance and sale of the Securities as contemplated herein, or in order to
  evidence the accuracy of any of the representations and warranties, or the
  satisfaction of any of the conditions or agreements, herein contained.

  
      (m) DTC Acceptance. The Securities shall have been accepted for settlement through the
  facilities of DTC.

  
      (n) QIU Debt Pricing Letter. The QIU shall have delivered a letter substantially in
  the form of Exhibit B hereto.

                  All opinions (other than the opinion set forth in Section
  5(i) above), letters, evidences and certificates mentioned above or elsewhere
  in this Agreement shall be deemed to be in compliance with the provisions
  hereof only if they are in form and substance reasonably satisfactory to
  Shearman & Sterling LLP, counsel to the Underwriter.

                  If any condition specified in this Section 5 is not
  satisfied when and as required to be satisfied, this Agreement may be
  terminated by the Underwriter by notice to the Company at any time on or prior
  to the Closing Date, which termination shall be without liability on the part
  of any party to any other party, except that Section 4, Section 6, Section 7
  and Section 8 shall at all times be effective and shall survive such
  termination.

  
      Section 6. Reimbursement of Underwriter's Expenses

                 
  
  If this Agreement is terminated by the Underwriter pursuant
  to Section 5 or Section 9, or if the sale to the Underwriter of the Securities
  on the Closing Date is not consummated because of any refusal, inability or
  failure on the part of the Company to perform any agreement herein or to
  comply with any provision hereof, the Company agrees to reimburse the
  Underwriter, upon demand for all out-of-pocket expenses that shall have been
  reasonably incurred by the Underwriter in connection with the proposed
  purchase and the offering and sale of the Securities, including but not
  limited to fees and disbursements of counsel, printing expenses, travel
  expenses, postage, facsimile and telephone charges.

  
      Section 7. Indemnification.

  
      (a) Indemnification of the
  Underwriter by the Company.The Company agrees to indemnify and hold harmless the
  Underwriter, its directors, officers and employees, and each person, if any,
  who controls the Underwriter within the meaning of the Securities Act and the
  Exchange Act against any loss, claim, damage, liability or expense, as
  incurred, to which the Underwriter or such controlling person may become
  subject, under the Securities Act, the Exchange Act or other federal or state
  statutory law or regulation, or at common law or otherwise (including in
  settlement of any litigation, if such settlement is effected with the written
  consent of the Company), insofar as such loss, claim, damage, liability or
  expense (or actions in respect thereof as contemplated below) arises out of or
  is based (i) upon any untrue statement or alleged untrue statement of a
  material fact contained in the Registration Statement, or any amendment
  thereto, including any information deemed to be a part thereof pursuant to
  Rule 430A or Rule 434 under the Securities Act, or the omission or alleged
  omission therefrom of a material fact required to be stated therein or
  necessary to make the statements therein not misleading; or (ii) upon any
  untrue statement or alleged untrue statement of a material fact contained in
  any preliminary prospectus or the Prospectus (or any amendment or supplement
  thereto) or the omission or alleged omission therefrom of a material fact
  necessary in order to make the statements
  
  

  
  
18

  therein, in the light of the
  circumstances under which they were made, not misleading; and to reimburse the
  Underwriter and each such controlling person for any and all expenses
  (including the fees and disbursements of counsel chosen by the Underwriter) as
  such expenses are reasonably incurred by the Underwriter or such controlling
  person in connection with investigating, defending, settling, compromising or
  paying any such loss, claim, damage, liability, expense or action; provided,
  however, that the foregoing indemnity agreement shall not apply to any
  loss, claim, damage, liability or expense to the extent, but only to the
  extent, arising out of or based upon any untrue statement or alleged untrue
  statement or omission or alleged omission made in reliance upon and in
  conformity with written information furnished to the Company by the
  Underwriter expressly for use in the Registration Statement, any preliminary
  prospectus or the Prospectus (or any amendment or supplement thereto); and 
  provided, further, that the foregoing indemnity agreement with respect to
  any preliminary prospectus shall not inure to the benefit of the Underwriter,
  or any person controlling the Underwriter, with respect to any person
  asserting any losses, claims, damages, liabilities or judgments if a copy of
  the Prospectus (as then amended or supplemented if the Company shall have
  furnished any amendments or supplements thereto) was not sent or given by or
  on behalf of the Underwriter to such person, if required by law so to have
  been delivered, at or prior to the written confirmation of the sale of the
  Securities to such person, and if the Prospectus (as so amended or
  supplemented) would have cured the defect giving rise to such losses, claims,
  damages, liabilities or judgments. The Company also agrees to indemnify and
  hold harmless the QIU and each person, if any, who controls the QIU within the
  meaning of Section 15 of the Securities Act or Section 20 of the Exchange Act,
  from and against any and all losses, claims, damages, liabilities and
  judgments incurred as a result of the QIU's participation as a "qualified
  independent underwriter" within the meaning of Rule 2720 of the NASD's Conduct
  Rules in connection with the offering of the Securities, except for any
  losses, claims, damages, liabilities and judgments resulting from the QIU's,
  or such controlling person's, willful misconduct. The indemnity agreement set
  forth in this Section 7(a) shall be in addition to any liabilities that the
  Company may otherwise have.

  
      (b) Indemnification of the
  Company, its Directors and Officers. The Underwriter agrees to
  indemnify and hold harmless the Company, each of its directors and officers
  and each person, if any, who controls the Company within the meaning of the
  Securities Act or the Exchange Act, against any loss, claim, damage, liability
  or expense, as incurred, to which the Company, or any such director, officer
  or controlling person may become subject, under the Securities Act, the
  Exchange Act, or other federal or state statutory law or regulation, or at
  common law or otherwise (including in settlement of any litigation, if such
  settlement is effected with the written consent of the Underwriter), insofar
  as such loss, claim, damage, liability or expense (or actions in respect
  thereof as contemplated below) arises out of or is based upon any untrue or
  alleged untrue statement of a material fact contained in the Registration
  Statement, any preliminary prospectus or the Prospectus (or any amendment or
  supplement thereto), or arises out of or is based upon the omission or alleged
  omission to state therein a material fact required to be stated therein or
  necessary to make the statements therein not misleading, in each case, to the
  extent, but only to the extent, that such untrue statement or alleged untrue
  statement or omission or alleged omission was made in the Registration
  Statement, any preliminary prospectus or the Prospectus (or any amendment or
  supplement thereto), in reliance upon and in conformity with written
  information furnished to the Company by the Underwriter expressly for use
  therein; and to reimburse the Company, or any such director, officer or
  controlling person for any legal and other expense reasonably incurred by the
  Company, or any such director, officer or controlling person in connection
  with investigating, defending, settling, compromising or paying any such loss,
  claim, damage, liability, expense or action. The Company hereby acknowledges
  that the only information that the Underwriter has furnished to the Company
  expressly for use in the
  
  

  
  
19

  Registration Statement, any preliminary prospectus or the
  Prospectus (or any amendment or supplement thereto) are the statements set
  forth in the third and seventh paragraphs under the caption "Underwriting" in
  the final prospectus supplement; and the Underwriter confirms that such
  statements are correct. The indemnity agreement set forth in this Section 7
  shall be in addition to any liabilities that the Underwriter may otherwise
  have.

  
      (c) Notifications and Other
  Indemnification Procedures. Promptly after receipt by an indemnified party under this Section 7 of
  notice of the commencement of any action, such indemnified party will, if a
  claim in respect thereof is to be made against an indemnifying party under
  this Section 7, notify the indemnifying party in writing of the commencement
  thereof, but the omission so to notify the indemnifying party will not relieve
  it from any liability which it may have to the indemnified party for
  contribution or otherwise than under the indemnity agreement contained in this
  Section 7 or to the extent that the indemnifying party is not prejudiced as a
  proximate result of such failure. In case any such action is brought against
  any indemnified party and such indemnified party seeks or intends to seek
  indemnity from the indemnifying party, the indemnifying party will be entitled
  to participate in, and, to the extent that it shall elect, jointly with all
  other indemnifying parties similarly notified, by written notice delivered to
  the indemnified party promptly after receiving the aforesaid notice from such
  indemnified party, to assume the defense thereof with counsel reasonably
  satisfactory to such indemnified party; provided, however, if the defendants
  in any such action include both the indemnified party and the indemnifying
  party and the indemnified party shall have reasonably concluded that a
  conflict may arise between the positions of the indemnifying party and the
  indemnified party in conducting the defense of any such action or that there
  may be legal defenses available to it and/or other indemnified parties which
  are different from or additional to those available to the indemnifying party,
  the indemnified party or parties shall have the right to select separate
  counsel to assume such legal defenses and to otherwise participate in the
  defense of such action on behalf of such indemnified party or parties. Upon
  receipt of notice from the indemnifying party to such indemnified party of
  such indemnifying party's election so to assume the defense of such action and
  approval by the indemnified party of counsel, the indemnifying party will not
  be liable to such indemnified party under this Section 7 for any legal or
  other expenses subsequently incurred by such indemnified party in connection
  with the defense thereof unless (i) the indemnified party shall have employed
  separate counsel in accordance with the proviso to the next preceding sentence
  (it being understood, however, that the indemnifying party shall not be liable
  for the expenses of more than one separate counsel (together with local
  counsel), approved by the indemnifying party (the Underwriter in the case of
  Section 7 and Section 8), representing the indemnified parties who are parties
  to such action) or (ii) the indemnifying party shall not have employed counsel
  satisfactory to the indemnified party to represent the indemnified party
  within a reasonable time after notice of commencement of the action, in each
  of which cases, the fees and expenses of counsel shall be at the expense of
  the indemnifying party. 

  
      (d) Settlements. The indemnifying party under this Section 7 shall not be liable for any
  settlement of any proceeding effected without its written consent, but if
  settled with such consent or if there be a final judgment for the plaintiff,
  the indemnifying party agrees to indemnify the indemnified party against any
  loss, claim, damage, liability or expense by reason of such settlement or
  judgment. Notwithstanding the foregoing sentence, if at any time an
  indemnified party shall have requested an indemnifying party to reimburse the
  indemnified party for fees and expenses of counsel as contemplated by Section
  7 hereof (which request shall be deemed to be notice of the indemnified
  party's intention to enter into a settlement of the relevant proceeding if
  such fees and expenses are not reimbursed by the indemnifying party), the
  indemnifying party agrees that it shall be liable for any settlement of such
  proceeding effected without its written consent if (i) such settlement is
  entered into more than 45 days after receipt by such indemnifying party of the
  aforesaid request and (ii) such indemnifying party shall not have reimbursed
  the indemnified party in accordance with such request

  
  
20

  prior to the date of
  such settlement. No indemnifying party shall, without the prior written
  consent of the indemnified party, effect any settlement, compromise or consent
  to the entry of judgment in any pending or threatened action, suit or
  proceeding in respect of which any indemnified party is or could have been a
  party and indemnity was or could have been sought hereunder by such
  indemnified party, unless such settlement, compromise or consent includes an
  unconditional release of such indemnified party from all liability on claims
  that are the subject matter of such action, suit or proceeding.

  
      Section 8. Contribution.

  
                  If the indemnification provided for in Section 7 is for any
  reason held to be unavailable to or otherwise insufficient to hold harmless an
  indemnified party in respect of any losses, claims, damages, liabilities or
  expenses referred to therein, then each indemnifying party shall contribute to
  the aggregate amount paid or payable by such indemnified party, as incurred,
  as a result of any losses, claims, damages, liabilities or expenses referred
  to therein (i) in such proportion as is appropriate to reflect the relative
  benefits received by the Company, on the one hand, and the Underwriter, on the
  other hand, from the offering of the Securities pursuant to this Agreement or
  (ii) if the allocation provided by clause (i) above is not permitted by
  applicable law, in such proportion as is appropriate to reflect not only the
  relative benefits referred to in clause (i) above but also the relative fault
  of the Company, on the one hand, and the Underwriter, on the other hand, in
  connection with the statements or omissions or inaccuracies in the
  representations and warranties herein which resulted in such losses, claims,
  damages, liabilities or expenses, as well as any other relevant equitable
  considerations. The relative benefits received by the Company, on the one
  hand, and the Underwriter, on the other hand, in connection with the offering
  of the Securities pursuant to this Agreement shall be deemed to be in the same
  respective proportions as the total net proceeds from the offering of the
  Securities pursuant to this Agreement (before deducting expenses) received by
  the Company, and the total underwriting discount received by the Underwriter,
  in each case as set forth on the front cover page of the Prospectus bear to
  the aggregate initial public offering price of the Securities as set forth on
  such cover. The relative fault of the Company, on the one hand, and the
  Underwriter, on the other hand, shall be determined by reference to, among
  other things, whether any such untrue or alleged untrue statement of a
  material fact or omission or alleged omission to state a material fact or any
  such inaccurate or alleged inaccurate representation or warranty relates to
  information supplied by the Company, on the one hand, or the Underwriter, on
  the other hand, and the parties' relative intent, knowledge, access to
  information and opportunity to correct or prevent such statement or omission.

                  The amount paid or payable by a party as a result of the
  losses, claims, damages, liabilities and expenses referred to above shall be
  deemed to include, subject to the limitations set forth in Section 7, any
  legal or other fees or expenses reasonably incurred by such party in
  connection with investigating or defending any action or claim. The provisions
  set forth in Section 7 with respect to notice of commencement of any action
  shall apply if a claim for contribution is to be made under this Section 8; 
  provided, however, that no additional notice shall be required with
  respect to any action for which notice has been given under Section 7 for
  purposes of indemnification.

                  The Company and the Underwriter agree that it would not be
  just and equitable if contribution pursuant to this Section 8 were determined
  by pro rata allocation or by any other method of allocation which does not
  take account of the equitable considerations referred to in this Section 8.

                 
  Notwithstanding the provisions of this Section 8, the Underwriter shall not be
  required to contribute any amount in excess of the underwriting commissions
  received by the Underwriter in connection with the Securities underwritten by
  it and distributed to the public. No person guilty of fraudulent
  misrepresentation (within the meaning of Section 11(f) of the Securities 

  
  
21

  Act) shall be entitled to contribution from any person who
  was not guilty of such fraudulent misrepresentation. For purposes of this
  Section 8, each officer and employee of the Underwriter and each person, if
  any, who controls the Underwriter within the meaning of the Securities Act and
  the Exchange Act shall have the same rights to contribution as the
  Underwriter, and each director and each officer of the Company, and each
  person, if any, who controls the Company with the meaning of the Securities
  Act and the Exchange Act shall have the same rights to contribution as the
  Company.

  
      Section 9. Termination of this Agreement.

  
                  Prior to the Closing Date, this Agreement may be terminated
  by the Underwriter by notice given to the Company if at any time (i) trading
  or quotation in any of the Company's securities shall have been suspended or
  limited by the Commission or by the New York Stock Exchange, or trading in
  securities generally on either the NASDAQ Stock Market or the New York Stock
  Exchange shall have been suspended or limited, or minimum or maximum prices
  shall have been generally established on any of such stock exchanges by the
  Commission or the NASD; (ii) a general banking moratorium shall have been
  declared by any federal or New York authorities; (iii) there shall have
  occurred any outbreak or escalation of national or international hostilities
  or any crisis or calamity, or any change in the United States or international
  financial markets, or any substantial change or development involving a
  prospective substantial change in United States or international political,
  financial or economic conditions, as in the judgment of the Underwriter is
  material and adverse and makes it impracticable to market the Securities in
  the manner and on the terms described in the Prospectus or to enforce
  contracts for the sale of securities; (iv) in the judgment of the Underwriter
  there shall have occurred any Material Adverse Change; (v) the Company or any
  of its subsidiaries shall have sustained a loss by strike, fire, flood,
  earthquake, accident or other calamity of such character as in the judgment of
  the Underwriter may interfere materially with the conduct of the business and
  operations of the Company and its subsidiaries regardless of whether or not
  such loss shall have been insured; or (vi) there shall have occurred a
  material disruption in commercial banking or securities settlement or
  clearance services in the United States. Any termination pursuant to this
  Section 9 shall be without liability on the part of (a) the Company to the
  Underwriter, except that the Company shall be obligated to reimburse the
  expenses of the Underwriter pursuant to Sections 4 and 6 hereof, (b) the
  Underwriter to the Company, or (c) of any party hereto to any other party
  except that the provisions of Section 7 and Section 8 shall at all times be
  effective and shall survive such termination.

  
      Section 10. Representations and Indemnities to
  Survive Delivery.

  
                  The respective indemnities, agreements, representations,
  warranties and other statements of the Company, of its officers, and of the
  Underwriter and the QIU set forth in or made pursuant to this Agreement will
  remain in full force and effect, regardless of any investigation made by or on
  behalf of the Underwriter, the QIU or the Company or any of its or their
  partners, officers or directors or any controlling person, as the case may be,
  and will survive delivery of and payment for the Securities sold hereunder.

  
      Section 11. Notices.

  
                  All communications hereunder shall be in writing and shall
  be mailed, hand delivered or telecopied and confirmed to the parties hereto as
  follows:

  If to the Underwriter:

    Banc of America Securities LLC

    40 West 57th Street

  
  
22

      New York, New York 10019

    Facsimile: (646) 313-4802

    Attention: Stuart Dean

  with a copy to:

    Shearman & Sterling LLP

    599 Lexington Avenue

    New York, New York 10022

    Facsimile: (212) 848-7179

    Attention: Andrew R. Schleider

  If to the Company:

    Moog Inc.

    6860 Seneca Street

    P.O. Box 18

    East Aurora, New York 14052-0018

    Facsimile: (716) 687-4457

    Attention: Robert R. Banta

  with a copy to:

    Hodgson Russ LLP

    One M&T Plaza, Suite 2000

    Buffalo, New York 14203

    Facsimile: (716) 849-0349

    Attention: John B. Drenning, Esq., John J. Zak, Esq.

  Any party hereto may change the address for receipt of
  communications by giving written notice to the others.

  
      Section 12. Successors.

  
                  This Agreement will inure to the benefit of and be binding
  upon the parties hereto and to the benefit of the employees, officers and
  directors and controlling persons referred to in Section 7 and Section 8, and
  in each case their respective successors, and personal representatives, and no
  other person will have any right or obligation hereunder. The term
  "successors" shall not include any purchaser of the Securities as such from
  the Underwriter merely by reason of such purchase.

  
      Section 13. Partial Unenforceability.

  
                  The invalidity or unenforceability of any Section,
  paragraph or provision of this Agreement shall not affect the validity or
  enforceability of any other Section, paragraph or provision hereof. If any
  Section, paragraph or provision of this Agreement is for any reason determined
  to be invalid or unenforceable, there shall be deemed to be made such minor
  changes (and only such minor changes) as are necessary to make it valid and
  enforceable.

  
      Section 14. Governing Law Provisions.

  
                  THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN
  ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK.

  
  
23

  
      Section 15. General Provisions.

  
                  No indemnified party shall be entitled to any
  consequential, special or punitive damages by virtue of Section 7 or 8 of this
  Agreement except to the extent that such indemnified party is obligated to pay
  such types of damages to a third party in respect of a claim for which such
  indemnified party is entitled to indemnification or contribution. This
  Agreement constitutes the entire agreement of the parties to this Agreement
  and supersedes all prior written or oral and all contemporaneous oral
  agreements, understandings and negotiations with respect to the subject matter
  hereof. This Agreement may be executed in two or more counterparts, each one
  of which shall be an original, with the same effect as if the signatures
  thereto and hereto were upon the same instrument. This Agreement may not be
  amended or modified unless in writing by all of the parties hereto, and no
  condition herein (express or implied) may be waived unless waived in writing
  by each party whom the condition is meant to benefit. The Table of Contents
  and the section headings herein are for the convenience of the parties only
  and shall not affect the construction or interpretation of this Agreement.

                  Each of the parties hereto acknowledges that it is a
  sophisticated business person who was adequately represented by counsel during
  negotiations regarding the provisions hereof, including, without limitation,
  the indemnification provisions of Section 7 and the contribution provisions of
  Section 8, and is fully informed regarding said provisions. Each of the
  parties hereto further acknowledges that the provisions of Sections 7 and 8
  hereto fairly allocate the risks in light of the ability of the parties to
  investigate the Company, its affairs and its business in order to assure that
  adequate disclosure has been made in the Registration Statement, any
  preliminary prospectus and the Prospectus (and any amendments and supplements
  thereto), as required by the Securities Act and the Exchange Act.

  
 

                  If the foregoing is in accordance with your understanding
  of our agreement, kindly sign and return to the Company the enclosed copies
  hereof, whereupon this instrument, along with all counterparts hereof, shall
  become a binding agreement in accordance with its terms.

                                                                                                               Very truly yours,

                        

                        
                                                                                                               THE COMPANY:

                        

                        
                                                                                                               MOOG INC.

                                                                                                               New York corporation

                        
                                                                                                               By:
                        /s/ Robert R. Banta                       
                        

                                                                                                               Name: 
                        Robert R. Banta

                                                                                                               Title: 
                        Executive Vice President and

                                                                                                
                        Chief Financial Officer

                                     
  The foregoing Underwriting Agreement is hereby confirmed
  and accepted by the Underwriter in New York, New York as of the date first
  above written.

BANC OF AMERICA SECURITIES LLC

 

By: /s/ Stephan T. Jaeger                       

Name:  Stephan T. Jaeger

Title  Principal

EXHIBIT A

  
                  Opinion of Hodgson Russ LLP, counsel for the Company to be
  delivered pursuant to Section 5(h) of the Underwriting Agreement.

                  References to the Prospectus in this Exhibit A include any
  supplements thereto at the Closing Date.

  
            (i)     The Company has been duly incorporated and is validly existing as a
    corporation in good standing under the laws of the State of New York.

            (ii)     The Securities and the Indenture conform in all material respects to
    the respective statements relating thereto contained in the Prospectus and
    the forms of the certificates used to evidence the Securities comply with
    the requirements of the Securities Act, the Exchange Act and the Trust
    Indenture Act.

            (iii)     No consent, approval, authorization or other order of, or
    registration or filing with, any court or other governmental authority or
    agency, is required for the Company's execution, delivery and performance of
    the Underwriting Agreement, the DTC Letter of Representations or the
    Indenture,  the issuance and delivery of the Securities or the
    consummation of the transactions contemplated thereby and by the Prospectus,
    except as required under the Securities Act, applicable state securities or
    Blue Sky laws, or the rules of the NASD.

            (iv)     Each of the Underwriting Agreement and the Indenture has been duly
    authorized, executed and delivered by the Company.

            (v)     The DTC Letter of Representations has been duly authorized, executed
    and delivered by the Company.

            (vi)     The Securities are in the form contemplated by the Indenture and
    have been duly authorized by all necessary corporate action on the part of
    the Company and have been duly executed by the proper officers of the
    Company.

            (vii)     The Securities to be purchased by the Underwriter from the Company
    have been duly authorized for issuance and sale pursuant to the Underwriting
    Agreement and, when issued and delivered by the Company pursuant to the
    Underwriting Agreement against payment of the consideration set forth
    therein, will be validly issued, fully paid and nonassessable.

            (viii)     Each of the Registration Statement and the Rule 462(b)
    Registration Statement, if any, has been declared effective by the
    Commission under the Securities Act. To the knowledge of such counsel, no
    stop order suspending the effectiveness of either of the Registration
    Statement or the Rule 462(b) Registration Statement, if any, has been issued
    under the Securities Act and no proceedings for such purpose have been
    instituted or are pending by the Commission. Any required filing of the
    Prospectus and any supplement thereto pursuant to Rule 424(b) under the
    Securities Act have been made in the manner and within the time period
    required by such Rule 424(b).

            (ix)    
    The Registration Statement, including any Rule 462(b) Registration
    Statement, the Prospectus including any document incorporated by reference
    therein, and 

    A-1

    
    
each amendment or supplement to the Prospectus including any document
    incorporated by reference therein (other than the financial statements and
    supporting schedules included or incorporated by reference therein or in
    exhibits to or excluded from the Registration Statement, as to which no
    opinion need be rendered), as of the issue date thereof in the case of the
    Prospectus or any supplement thereto or the filing date thereof in the case
    of the Registration Statement or any document incorporated by reference
    therein or in the Prospectus or any supplement thereto, comply as to form in
    all material respects with the applicable requirements of the Securities Act
    and the Exchange Act.

            (x)      The execution and delivery of the Underwriting Agreement by the
    Company and the performance by the Company of its obligations thereunder
    (other than performance by the Company of its obligations under the
    indemnification section of the Underwriting Agreement, as to which no
    opinion need be rendered) (a) have been duly authorized by all necessary
    corporate action on the part of the Company; (b) will not result in any
    violation of the provisions of the charter or by-laws of the Company or any
    subsidiary; (c) will not constitute a breach of, or Default or a Debt
    Repayment Triggering Event under, or result in the creation or imposition of
    any lien, charge or encumbrance upon any property or assets of the Company
    or any of its subsidiaries pursuant to the Loan Agreement or to the best knowledge of such counsel, any
    document filed as an exhibit to the Registration Statement or a filing
    specifically listed as being incorporated into the Prospectus or (d) to the
    best knowledge of such counsel, will not result in any violation of any law,
    administrative regulation or administrative or court decree applicable to
    the Company or any subsidiary.

            (xi)     The Company is not and will not as a result of the offer and sale
    of the Securities be (i) an "investment company" or a company "controlled"
    by an investment company within the meaning of the United States Investment
    Company Act of 1940, as amended, (ii) a "holding company" or a "subsidiary
    company" of a holding company or an "affiliate" thereof within the meaning
    of the United States Public Utility Holding Company Act of 1935, as amended,
    or (iii) subject to regulation under the United States Federal Power Act or
    any federal or state statute or regulation limiting its ability to incur
    indebtedness for borrowed money.

            (xii)     The Indenture constitutes the legal, valid and binding agreement
    of the Company, enforceable against the Company in accordance with its
    terms, except to the extent that the enforceability thereof may be limited
    by (A) bankruptcy, insolvency, fraudulent conveyance, reorganization,
    moratorium, fraudulent transfer or other laws relating to creditors' rights
    generally and (B) general principles of equity (regardless of whether such
    enforcement is considered in a proceeding in equity or at law).

            (xiii)     The DTC
    Letter of Representations constitutes the legal, valid and binding agreement
    of the Company, enforceable against the Company in accordance with its
    terms, except to the extent that the enforceability thereof may be limited
    by (A) bankruptcy, insolvency, fraudulent conveyance, reorganization,
    moratorium, fraudulent transfer or other 

    A-2

    
    
laws relating to creditors' rights generally and (B) general principles
    of equity (regardless of whether such enforcement is considered in a
    proceeding in equity or at law).

            (xiv)     The Securities are in the form contemplated by the Indenture and,
    assuming the Securities have been duly authenticated by the Trustee and
    delivered as contemplated by this Agreement and by the Indenture, and
    delivered in the manner provided for in this Agreement against payment of
    the consideration therefor specified in the Prospectus, constitute valid and
    binding obligations of the Company, enforceable against the Company in
    accordance with their terms, and entitled to the benefits of the Indenture,
    except to the extent that the enforceability thereof may be limited by (A)
    bankruptcy, insolvency, fraudulent conveyance, reorganization, moratorium,
    fraudulent transfer or other laws relating to creditors' rights generally
    and (B) general principles of equity (regardless of whether such enforcement
    is considered in a proceeding in equity or at law).

            (xv)     The Company has been duly incorporated and is validly existing as a
    corporation in good standing under the laws of the State of New York; has
    the corporate power and authority to own, lease and operate its properties
    and to conduct its business as presently conducted and as described in the
    Prospectus and to enter into and perform its obligations under this
    Agreement, the DTC Letter of Representations, the Securities and the
    Indenture; and is duly qualified as a foreign corporation to transact
    business and is in good standing in each jurisdiction in which such
    qualification is required, whether by reason of the ownership or leasing of
    property or the conduct of business, except where the failure to so qualify
    would not have a Material Adverse Effect on the Company.

            (xvi)     The descriptions in the Prospectus of statutes, legal and
    governmental proceedings, contracts and other documents are accurate and
    fairly present the information which, to such counsel's knowledge, is
    required to be shown; and such counsel does not know of any statutes or
    legal or governmental proceedings required to be described in the Prospectus
    that are not described as required, or of any contracts or documents of a
    character required to be described in the Prospectus that are not described
    as required.

            (xvii)     The statements (a) in the prospectus supplement under the
    captions "Description of Certain Indebtedness," "Certain U.S. Federal Income
    Tax Considerations," and "Underwriting," (b) in the base prospectus under
    the caption "Plan of Distribution," and (c) in Item 15 of the Registration
    Statement, insofar as such statements constitute summaries of legal matters,
    the documents or legal proceedings, fairly present and summarize, in all
    material respects, the matters referred to therein.

            (xviii)     The Company is not in violation of its charter or bylaws, and to
    the best of such counsel's knowledge, except as otherwise disclosed in the
    Prospectus, the Company is not in Default in the performance or observance
    of any obligation, agreement, covenant or condition contained in any
    Contract or any applicable law, administrative regulation or administrative
    or court order or decree, which violation or default would, individually or
    in the aggregate, have a Material Adverse Effect on the Company.

            (xix)     The issuance and delivery of the Securities, the execution and
    delivery of this Agreement, the DTC Letter of Representations and the
    Indenture and the consummation of the transactions contemplated herein will
    not conflict with or constitute a breach of, or Default or a Debt Repayment
    Triggering Event under, or result in the creation or imposition of any Lien
    upon any material property or assets of the Company pursuant to

    A-3

    
    
 any Contract, which conflict, breach, Default, Debt Repayment
    Triggering Event or Lien would, individually or in the aggregate, have a
    Material Adverse Effect on the Company.

            (xx)     The issuance and delivery of the Securities, the execution and
    delivery of this Agreement, the DTC Letter of Representations and the
    Indenture and the consummation of the transactions contemplated herein will
    not result in a violation of the provisions of the charter or bylaws of the
    Company or, to the best of such counsel's knowledge, any material applicable
    law, administrative regulation, administrative or court order or decree.

            (xxi)     All of the issued and outstanding capital stock of each subsidiary
    of the Company is owned, directly or indirectly, by the Company, and, to the
    knowledge of such counsel, free and clear of any security interest,
    mortgage, pledge, lien, encumbrance or any pending or threatened claim.

            (xxii)     To the knowledge of such counsel, there are no legal or
    governmental actions, suits or proceedings pending or threatened that are
    required to be disclosed in the Registration Statement, other than those
    disclosed therein.

            (xxiii)     To the knowledge of such counsel, there are no Contracts required
    to be described or referred to in the Registration Statement or to be filed
    as exhibits thereto other than those described or referred to therein or
    filed or incorporated by reference as exhibits thereto; and the descriptions
    thereof and references thereto are correct in all material respects.

            (xxiv)     To the knowledge of such counsel, there are no persons with
    registration or other similar rights to have any equity or debt securities
    registered for sale under the Registration Statement or included in the
    offering contemplated by this Agreement.

    

                          In addition, such counsel shall state that they have
  participated in conferences with officers and other representatives of the
  Company, representatives of the independent registered public
  accountants for the Company and with representatives of the Underwriter at
  which the contents of the Registration Statement and the Prospectus, and any
  supplements or amendments thereto, and related matters were discussed and,
  although such counsel is not passing upon the accuracy, completeness or
  fairness of the statements contained in the Registration Statement or the
  Prospectus (other than as specified in paragraph (ii) above), and any
  supplements or amendments thereto, on the basis of the foregoing, nothing has
  come to their attention which gives them reason to believe that either the
  Registration Statement or any amendments thereto, at the time the Registration
  Statement or such amendments became effective or as of the date of the
  Underwriting Agreement, contained an untrue statement of a material fact or
  omitted to state a material fact required to be stated therein or necessary to
  make the statements therein not misleading or that the Prospectus or any
  amendment or supplement thereto, as of its date, at the date of any such
  amendment or supplement or at the Closing Date, contained an untrue statement
  of a material fact or omitted to state a material fact necessary in order to
  make the statements therein, in the light of the circumstances under which
  they were made, not misleading (it being understood that such counsel need
  express no belief as to the financial statements and financial data included
  or incorporated by reference in the Registration Statement or the Prospectus
  or any amendments or supplements thereto).

                          The aforementioned opinion shall be limited to the federal
  laws of the United States of America and the general corporate law of the
  State of New York. Such counsel may state that insofar as the aforementioned
  opinion is indicated to be based on the best of such counsel's knowledge, such
  opinion is based upon such counsel's  

  A-4

  
actual knowledge, which the attorneys in
  such counsel's firm have obtained in connection with the representation of the
  Company. Such counsel may rely, to the extent they deem proper and specified
  in such opinion, on opinions (which shall be dated the Closing Date and shall
  be satisfactory in form and substance to the Underwriter, shall expressly
  state that the Underwriter may rely on such opinion as if it were addressed to
  it and shall be furnished to the Underwriter) of local counsel reasonably
  satisfactory to the Underwriter with respect to matters of law of
  jurisdictions other than the federal laws of the United States of America and
  the general corporate law of the State of New York; provided, 
  however, that such counsel shall further state that they believe that they
  and the Underwriter are justified in relying upon such opinion of other
  counsel, and as to matters of fact, to the extent they deem proper, on
  certificates of responsible officers of the Company and public officials.

  
  
EXHIBIT B

Letterhead of Lazard Frères & Co. LLC

30 Rockefeller Plaza

New York, NY 10020

Phone 212-632-6000

www.lazard.com

January 5, 2005

Moog Inc.

6860 Seneca Street

P.O. Box 18

East Aurora, New York 14052-0018

Facsimile: (716) 687-4457

Attention: Robert R. Banta

and

Banc of America Securities LLC

40 West 57th Street

New York, New York 10019

Facsimile: (646) 313-4802

Attention: Stuart Dean

        Re:     $150,000,000 principal amount of 6.250% Senior
Subordinated Notes due 2015 

                                                                (the "Securities")

                            ________________________________________________

Ladies and Gentlemen:

        Moog Inc. ("the Company"), a New York corporation, has filed
with the Securities and Exchange Commission ("the Commission") a registration
statement on Form S-3 (File No. 333-113698) ("the S-3"), relating to the public
offering of the Securities by the Company (the "Offering"). In connection with
the Offering, Banc of America Securities LLC is acting as the underwriter (the
"Underwriter"). Subject to the terms and conditions of the underwriting
agreement to be entered in to between the Company and Underwriter, the
Underwriter will agree to purchase from the Company, and the Company will agree
to sell to the Underwriter, all of the Securities.

        Because affiliates of Banc of America Securities LLC are
lenders under the Company's loan agreement, and will receive more than 10% of
the net proceeds of this offering when the Company repays that facility, they
may be deemed to have a "conflict of interest" under Rule 2710(h) of the
National Association of Securities Dealers, Inc. (the "NASD"). When an NASD
member with a conflict of interest participates as an underwriter in a public
offering, that rule requires that the yield at which the Securities are offered
to the public may be no lower than the yield recommended by a "qualified
independent underwriter," as defined by the NASD. In accordance with this
rule, you have asked us to assume the responsibility of acting as a qualified
independent underwriter. In our role as a qualified independent underwriter, we
have performed a due diligence investigation and participated in the preparation
of the prospectus supplement with respect to the Offering. Banc of America
Securities LLC has agreed to pay us $150,000 as compensation for our role. The
Company has agreed to indemnify us against liabilities 

B-1

incurred in connection with acting as a qualified independent
underwriter, including liabilities under the Securities Act.

        In the course of our evaluation for the purpose of arriving
at our recommendation, we have (i) made a review of the S-3 and amendments
thereto after the time it was declared effective by the Commission, relating to
the Securities, the Company's earnings, assets and other pertinent financial and
statistical data, (ii) made inquiries of and participated in conferences with
the management of the Company, its counsel and independent registered public accountants
regarding the business, operations and financial condition of the Company, (iii)
considered the prospects for the industry in which the Company competes,
estimates for the business potential of the Company, assessments of its
management, the general condition of the securities markets at the time of the
Offering and the demand for similar securities of companies believed by us to be
comparable to the Company, (iv) inquired as to the demand indicated for the
Securities offered in the Offering and (v) conducted such other studies,
analysis and investigations as we have deemed appropriate.

        Based upon the foregoing and assuming the public offering of
the Securities is made on or before January 5, 2005, we recommend that the
Securities be offered to the public at a yield no lower than 6.25%. Such
recommendation should in no way be considered or relied upon as an indication of
the value of the Securities.

        In the course of our examinations for purposes of
recommending a minimum yield for the Securities, we have relied upon and
assumed, without independent verification, the accuracy and completeness of the
foregoing information (including information contained in the S-3), and the
assurance of management of the Company that they are unaware of any facts which
would make the information provided to us incomplete or misleading. In arriving
at our recommendation, we have not performed an independent appraisal or
valuation of any properties or any other assets of the Company. Our
recommendation is based on economic, market, financial and other conditions as
they exist and can be evaluated on the date hereof and on the conditions and
circumstances of the Company as described in the S-3. Changes in the conditions
and circumstances of the Company from that described in such Registration
Statement and events occurring after the date hereof, including changes in the
markets in which the Company operates, could materially affect the conclusions
stated in this letter. We shall not be obligated or required hereafter to
reaffirm or revise these recommendations or otherwise to comment on any events
occurring after the date hereof or on any changes to the conditions or
circumstances of the Company from those so described.

        We confirm that we are a Qualified Independent Underwriter
within the meaning of NASD Rule 2720 and have complied with the applicable
requirements of such Rule.

        This opinion is rendered only to the Company and the
Underwriter and is solely for their benefit in connection with the Offering
contemplated hereby. This opinion may not be relied upon for any other purpose,
or furnished to, quoted to, or relied upon by any other person, firm or
corporation for any purpose, without our prior written consent.

                                                                                                    Very truly yours,

                                                                                                    Lazard Frères & Co. LLC

                                                                                                    By:
___________________________________

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Name:

Title:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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