Document:

Indenture between HealthSouth Corp and PNC Bank

 EXHIBIT 4.1.1 
  

  
 HEALTHSOUTH CORPORATION 
  
 and 
  
 PNC BANK, NATIONAL ASSOCIATION, as Trustee 
  

  
 INDENTURE 
  
 Dated as of June 22, 1998 
  

  

 CROSS REFERENCE SHEET* 
  
 Between 
  
 Provisions of Trust Indenture Act (as defined herein) and Indenture dated as of June 22, 1998 between HEALTHSOUTH Corporation and PNC Bank, National
Association, Trustee: 
  

  

			
	 SECTION OF THE ACT

	  	SECTION OF INDENTURE

	 310(a)(1) and (2)
	  	6.9
	 310(a)(3) and (4)
	  	Inapplicable
	 310(b)
	  	6.8 and 6.10(a), (b) and (d)
	 310(c)
	  	Inapplicable
	 311(a)
	  	6.14
	 311(b)
	  	6.14
	 311(c)
	  	Inapplicable
	 312(a)
	  	4.1 and 4.2
	 312(b)
	  	4.2
	 312(c)
	  	4.2
	 313(a)
	  	4.3
	 313(b)(1)
	  	Inapplicable
	 313(b)(2)
	  	4.3
	 313(c)
	  	4.3, 5.11,
6.10, 6.11,
8.2 and 12.2
	 313(d)
	  	4.3
	 314(a)
	  	3.5 and 4.2
	 314(b)
	  	Inapplicable
	 314(c)(1) and (2)
	  	11.5
	 314(c)(3)
	  	Inapplicable
	 314(d)
	  	Inapplicable
	 314(e)
	  	11.5
	 314(f)
	  	Inapplicable
	 315(a), (c) and (d)
	  	6.1
	 315(b)
	  	5.11
	 315(e)
	  	5.12
	 316(a)(1)
	  	5.9 and 5.10
	 316(a)(2)
	  	Not
required
	 316(a) (last sentence)
	  	7.4
	 316(b)
	  	5.7
	 317(a)
	  	5.2
	 317(b)
	  	3.4(a) and
(b)
	 318(a)
	  	11.7

	*	This Cross Reference Sheet is not part of the Indenture. 

 TABLE OF CONTENTS 
  

			
	 	  	Page

	 ARTICLE 1 DEFINITIONS
	  	1
	 SECTION 1.1 Certain Terms Defined
	  	1
	 “Affiliate”
	  	2
	 “Authenticating Agent”
	  	2
	 “Authorized Newspaper”
	  	2
	 “Board of Directors”
	  	2
	 “Board Resolution”
	  	2
	 “Business Day”
	  	2
	 “Capital Stock”
	  	3
	 “Commission”
	  	3
	 “Common Equity”
	  	3
	 “Company”
	  	3
	 “Company Order”
	  	3
	 “Consolidated Tangible Assets”
	  	3
	 “Corporate Trust Office”
	  	3
	 “Coupon”
	  	4
	 “Covenant Defeasance”
	  	4
	 “Depositary”
	  	4
	 “Dollar” or “$”
	  	4
	 “ECU”
	  	4
	 “Event of Default”
	  	4
	 “Exchange Act”
	  	4
	 “Fair Value”
	  	4
	 “Foreign Currency”
	  	4
	 “Holder,” “Holder of Securities,” “Securityholder”
	  	4
	 “Indenture”
	  	4
	 “Indenture”
	  	5
	 “IRS”
	  	5
	 “Judgment Currency”
	  	5
	 “Maturity”
	  	5
	 “Non-U.S. Person”
	  	5
	 “Officer’s Certificate”
	  	5
	 “144A Global Security”
	  	5
	 “Opinion of Counsel”
	  	5
	 “Original Issue Date”
	  	5
	 “Original Issue Discount Security”
	  	5
	 “Outstanding”
	  	6
	 “Paying Agent”
	  	6
	 “Periodic Offering”
	  	6
	 “Person”
	  	7
	 “PORTAL Market”
	  	7
	 “Predecessor Security”
	  	7
	 “principal”
	  	7
	 “QIB” or “Qualified Institutional Buyer”
	  	7
	 “Regular Record Date”
	  	7
	 “Registered Global Security”
	  	7
	 “Registered Security”
	  	7
	 “Regulation S”
	  	7
	 “Regulation S Global Security”
	  	7
	 “Required Currency”
	  	7
	 “Responsible Officer”
	  	8
	 “Restricted Security”
	  	8

  

 i 

			
	 “Rule 144”
	  	8
	 “Rule 144A”
	  	8
	 “Rule 144K”
	  	8
	 “Securities Act”
	  	8
	 “Significant Subsidiary”
	  	8
	 “Special Record Date”
	  	8
	 “Stated Maturity”
	  	9
	 “Subsidiary”
	  	9
	 “Transfer Restriction Termination Date”
	  	9
	 “Trustee”
	  	9
	 “Unregistered Security”
	  	9
	 “U.S. Government Obligations”
	  	9
	 “Voting Stock”
	  	9
	 “Yield to Maturity”
	  	9
		
	 ARTICLE 2 SECURITIES
	  	10
	 SECTION 2.1 Forms Generally
	  	10
	 SECTION 2.2 Form of Trustee’s Certificate of Authentication
	  	10
	 SECTION 2.3 Amount Unlimited; Issuable in Series
	  	11
	 SECTION 2.4 Authentication and Delivery of Securities
	  	14
	 SECTION 2.5 Execution of Securities
	  	17
	 SECTION 2.6 Certificate of Authentication
	  	17
	 SECTION 2.7 Denomination and Date of Securities; Payments of Interest
	  	18
	 SECTION 2.8 Registration, Transfer and Exchange
	  	19
	 SECTION 2.9 Mutilated, Defaced, Destroyed, Lost and Stolen Securities
	  	26
	 SECTION 2.10 Cancellation of Securities; Destruction Thereof
	  	27
	 SECTION 2.11 Temporary Securities
	  	28
		
	 ARTICLE 3 COVENANTS OF THE COMPANY
	  	29
	 SECTION 3.1 Payment of Principal and Interest
	  	29
	 SECTION 3.2 Offices for Payments, Etc
	  	29
	 SECTION 3.3 Appointment to Fill a Vacancy in Office of Trustee
	  	30
	 SECTION 3.4 Paying Agents
	  	31
	 SECTION 3.5 Compliance Certificates
	  	32
	 SECTION 3.6 Corporate Existence
	  	32
	 SECTION 3.7 Maintenance of Properties
	  	32
	 SECTION 3.8 Payment of Taxes and Other Claims
	  	33
	 SECTION 3.9 Luxembourg Publications
	  	33
	 SECTION 3.10 Usury Laws
	  	33
		
	 ARTICLE 4 SECURITYHOLDER LISTS AND REPORTS BY THE COMPANY AND THE TRUSTEE
	  	34
	 SECTION 4.1 Company to Furnish Trustee Information as to Names and Addresses of Securityholders
	  	34
	 SECTION 4.2 Preservation of Information; Communications to Holders
	  	34
	 SECTION 4.3 Reports by Trustee
	  	35
	 SECTION 4.4 Reports by Company
	  	35

  

 ii 

			
	 ARTICLE 5 REMEDIES OF THE TRUSTEE AN SECURITYHOLDERS ON EVENT OF DEFAULT
	  	35
	 SECTION 5.1 Event of Default Defined, Acceleration of Maturity; Waiver of Default
	  	35
	 SECTION 5.2 Acceleration of Maturity; Rescission and Annulment
	  	37
	 SECTION 5.3 Collection of Indebtedness by Trustee; Trustee May Prove Debt
	  	39
	 SECTION 5.5 Trustee May Enforce Claims Without Possession of Securities
	  	41
	 SECTION 5.6 Application of Proceeds
	  	42
	 SECTION 5.7 Suits for Enforcement
	  	43
	 SECTION 5.8 Limitations on Suits by Security Holders
	  	43
	 SECTION 5.9 Unconditional Right of Securityholders to Institute Certain Suits
	  	44
	 SECTION 5.10 Restoration of Rights on Abandonment of Proceedings
	  	44
	 SECTION 5.11 Powers and Remedies Cumulative; Delay or Omission Not Waiver of Default
	  	44
	 SECTION 5.12 Delay or Omission Not Waiver
	  	45
	 SECTION 5.13 Control by Holders of Securities
	  	45
	 SECTION 5.14 Waiver of Past Defaults
	  	46
	 SECTION 5.15 Trustee to Give Notice of Default, But May Withhold in Certain Circumstances
	  	46
	 SECTION 5.16 Right of Court to Require Filing of Undertaking to Pay Costs
	  	46
	 SECTION 5.17 Waiver of Stay or Extension Laws
	  	47
		
	 ARTICLE 6 CONCERNING THE TRUSTEE
	  	47
	 SECTION 6.1 Duties and Responsibilities of the Trustee; During Default; Prior to Default
	  	47
	 SECTION 6.2 Certain Rights of the Trustee
	  	49
	 SECTION 6.3 Trustee Not Responsible for Recitals, Disposition of Securities or Application of Proceeds Thereof
	  	50
	 SECTION 6.4 Trustee and Agents May Hold Securities or Coupons; Collections, Etc.
	  	51
	 SECTION 6.5 Moneys Held by Trustee
	  	51
	 SECTION 6.6 Compensation and Indemnification of Trustee and Its Prior Claim
	  	51
	 SECTION 6.7 Right of Trustee to Rely on Officer’s Certificate, Etc
	  	52
	 SECTION 6.8 Indentures Not Creating Potential Conflicting Interests for the Trustee
	  	52
	 SECTION 6.9 Qualification of Trustee: Conflicting Interests
	  	52
	 SECTION 6.10 Persons Eligible for Appointment as Trustee
	  	52
	 SECTION 6.11 Resignation and Removal; Appointment of Successor Trustee
	  	53
	 SECTION 6.12 Acceptance of Appointment by Successor Trustee
	  	55
	 SECTION 6.13 Merger, Conversion, Consolidation or Succession to Business of Trustee
	  	56

  

 iii 

			
	 SECTION 6.14 Preferential Collection of Claims Against the Company
	  	57
	 SECTION 6.15 Appointment of Authenticating Agent
	  	57
		
	 ARTICLE 7 CONCERNING THE SECURITYHOLDERS
	  	58
	 SECTION 7.1 Evidence of Action Taken by Securityholders
	  	58
	 SECTION 7.2 Proof of Execution of Instruments and of Holding of Securities
	  	59
	 SECTION 7.3 Holders to be Treated as Owners
	  	59
	 SECTION 7.4 Securities Owned by Company Deemed Not Outstanding
	  	60
	 SECTION 7.5 Right of Revocation of Action Taken
	  	60
		
	 ARTICLE 8. SUPPLEMENTAL INDENTURES
	  	 
	 SECTION 8.1 Supplemental Indentures Without Consent of Securityholders
	  	61
	 SECTION 8.2 Supplemental Indentures With Consent of Securityholders
	  	63
	 SECTION 8.4 Documents to be Given to Trustee
	  	65
	 SECTION 8.5 Notation on Securities in Respect of Supplemental Indentures
	  	65
		
	 ARTICLE 9 CONSOLIDATION, MERGER, SALE OR CONVEYANCE
	  	 
	 SECTION 9.1 Company May Consolidate, Etc
	  	65
	 SECTION 9.2 Successor Entity Substituted
	  	66
	 SECTION 9.3 Opinion of Counsel To Be Given Trustee
	  	66
		
	 ARTICLE 10 SATISFACTION AND DISCHARGE
	  	66
	 SECTION 10.1 Satisfaction and Discharge of Indenture
	  	66
	 SECTION 10.2 Application by Trustee of Funds Deposited for Payment of Securities
	  	71
	 SECTION 10.3 Repayment of Moneys Held by Paying Agent
	  	71
	 SECTION 10.4 Return of Unclaimed Moneys Held by Trustee and Paying Agent
	  	71
	 SECTION 10.5 Indemnity for U.S. Government Obligations
	  	72
		
	 ARTICLE 11 MISCELLANEOUS PROVISIONS
	  	72
	 SECTION 11.1 Incorporators, Stockholders, Officers and Directors of Company Exempt from Individual Liability
	  	72
	 SECTION 11.2 Provisions of Indenture for the Sole Benefit of Parties and Holders of Securities and Coupons
	  	72
	 SECTION 11.3 Successors and Assigns of Company Bound by Indenture
	  	72
	 SECTION 11.4 Notices and Demands on Company, Trustee and Holders of Securities and Coupons
	  	73
	 SECTION 11.5 Officer’s Certificates and Opinions of Counsel; Statements to be Contained Therein
	  	74
	 SECTION 11.6 Payments Due on Saturdays, Sundays and Holidays
	  	75

  

 iv 

			
	 SECTION 11.7 Conflict of Any Provision of Indenture with Trust Indenture Act
	  	75
	 SECTION 11.8 New York Law to Govern
	  	75
	 SECTION 11.9 Counterparts
	  	75
	 SECTION 11.10 Effect of Headings
	  	75
	 SECTION 11.11 Securities in a Foreign Currency or in ECU
	  	76
	 SECTION 11.12 Judgment Currency
	  	76
		
	 ARTICLE 12 REDEMPTION OF SECURITIES SINKING FUNDS
	  	77
	 SECTION 12.1 Applicability of Article
	  	77
	 SECTION 12.2 Notice of Redemption; Partial Redemptions
	  	77
	 SECTION 12.3 Payment of Securities Called for Redemption
	  	79
	 SECTION 12.4 Exclusion of Certain Securities from Eligibility for Selection for Redemption
	  	80
	 SECTION 12.5 Mandatory and Optional Sinking Funds
	  	80

  

 v 

 THIS INDENTURE, dated as of June     , 1998, by and between HEALTHSOUTH
CORPORATION, a Delaware corporation (the “Company”), and PNC BANK, NATIONAL ASSOCIATION, a national banking association, as trustee (the “Trustee”), 
  
 WITNESSETH: 
  
 WHEREAS, the Company has duly authorized the issuance, sale, execution and delivery, from time to time, of its unsecured evidences of unsubordinated
indebtedness (hereinafter referred to as the “Securities”), without limit as to principal amount, issuable in one or more series, the amount and terms of each such series to be determined as hereinafter provided; and, to provide the terms
and conditions upon which the Securities are to be issued, authenticated and delivered, the Company has duly authorized the execution of this Indenture; and 
  
 WHEREAS, all acts and things necessary to make the Securities, when executed by the Company and authenticated and delivered by the Trustee as in this
Indenture provided, the valid, binding and legal obligations of the Company, and to constitute this Indenture a valid indenture and agreement according to its terms, have been done and performed, and the execution of this Indenture and the issuance
hereunder of the Securities have in all respects been duly authorized; and 
  
 WHEREAS, all things necessary to make this Indenture a valid indenture and agreement according to its terms have been done; 
  
 NOW, THEREFORE: 
  
 In consideration of the premises and the purchases of the Securities by the holders thereof, the Company and the Trustee mutually covenant and agree for
the equal and proportionate benefit of the respective holders from time to time of the Securities and of the coupons, if any, appertaining thereto as follows: 
  

ARTICLE 1 
  
 DEFINITIONS 
  
 SECTION 1.1 Certain Terms Defined 
  
 The following terms (except as otherwise expressly provided or unless the context otherwise clearly requires) for all purposes of this Indenture and of any indenture supplemental hereto shall have the respective meanings specified in this
Section. All other terms used in this Indenture that are defined in the Trust Indenture Act of 1939, as amended (the “Trust Indenture Act”), or the definitions of which in the Securities Act of 1933, as amended (the “Securities
Act”), are referred to in the Trust Indenture Act, including terms defined therein by reference to the Securities Act (except as herein 
  

 1 

 otherwise expressly provided or unless the context otherwise requires), shall have the meaning assigned to such terms in
the Trust Indenture Act and in the Securities Act as in effect from time to time. All accounting terms used herein and not expressly defined shall have the meanings assigned to such terms in accordance with generally accepted accounting principles,
and the term “generally accepted accounting principles” means such accounting principles as are generally accepted at the time of any computation unless a different time shall be specified with respect to such series of Securities as
provided for in Section 2.3. The words “herein,” “hereof” and “hereunder” and other words of similar import refer to this Indenture as a whole and not to any particular Article, Section or other subdivision. The terms
defined in this Article have the meanings assigned to them in this Article and include the plural as well as the singular. 
  
 “Affiliate” has the same meaning as given to that term in Rule 405 under the Securities Act or any successor provision. 
  
 “Authenticating Agent” shall have the meaning set forth in Section
6.15. 
  
 “Authorized Newspaper” means a newspaper
(which, in the case of The City of New York, will, if practicable, be The Wall Street Journal (Eastern Edition), in the case of the United Kingdom of Great Britain and Northern Ireland (the “United Kingdom”), will, if practicable, be The
Financial Times (London Edition) and, in the case of the Grand Duchy of Luxembourg (“Luxembourg”), will, if practicable, be the Luxemburger Wort) published in an official or common language of the county of publication customarily
published at least once a day for at least five days in each calendar week and of general circulation in The City of New York, the United Kingdom or Luxembourg, as applicable. If it shall be impractical in the opinion of the Trustee to make any
publication of any notice required hereby in an Authorized Newspaper, any publication or other notice in lieu thereof which is made or given with the approval of the Trustee shall constitute a sufficient publication of such notice. 
  
 “Board of Directors” means either the Board of Directors of the
Company or any committee of such Board duly authorized to act on its behalf. 
  
 “Board Resolution” means a copy of one or more resolutions, certified by the secretary or an assistant secretary of the Company to have been duly adopted or consented to by the Board of Directors and to be
in full force and effect, and delivered to the Trustee. 
  
 “Business Day” means, with respect to any Security, a day other than any day on which banking institutions in the city (or in any of the cities, if more than one) in which amounts are payable, as specified in the form of such
Security, are authorized or required by any applicable law or regulation to be closed. 
  

 2 

 “Capital Stock” of any Person means any and all shares, rights to purchase, warrants or options
(whether or not currently exercisable); participation or other equivalents of or interests in (however designated) the equity (including, without limitation, common stock, preferred stock and partnership and joint venture interests) of such Person
(excluding any debt securities that are convertible into, or exchangeable for, such equity). 
  
 “Commission” means the Securities and Exchange Commission, as from time to time constituted, created under the Exchange Act, or if at any time after the execution and delivery of this Indenture such
Commission is not existing and performing the duties now assigned to it under the Trust Indenture Act, then the body performing such duties on such date. 
  
 “Common Equity” of any Person means all Capital Stock of such Person that is generally entitled to (a) vote in the election of directors of such
Person or (b) if such Person is not a corporation, vote or otherwise participate in the selection of the governing body, partners, managers or others that will control the management and policies of such Person. 
  
 “Company” means the Person named as the “Company” in the
first paragraph of this instrument until a successor Person shall have become such pursuant to the applicable provisions of this Indenture, and thereafter “Company” shall mean such successor Person. 
  
 “Company Order” means a written statement, request or order of the
Company signed in its name by the chairman of the Board of Directors, the president, any vice president or the treasurer of the Company. 
  
 “Consolidated Tangible Assets” of any Person as of any date means the total assets of such Person and its Subsidiaries (excluding any assets
that would be classified as “intangible assets” under generally accepted accounting principles (“GAAP”)) on a consolidated basis at such date, as determined in accordance with GAAP, less all write-ups subsequent to the date of
initial issuance of the Securities in the book value of any asset owned by such Person or any of its Subsidiaries. 
  
 “Corporate Trust Office” means the office of the Trustee at which the corporate trust business of the Trustee shall, at any particular time, be
principally administered, which office is, as of the date of this Indenture, located at 500 West Jefferson Street, Louisville, KY 40202, Attention: Corporate Trust Administration. 
  

 3 

 “Coupon” means any interest coupon appertaining to an Unregistered Security. 
  
 “Covenant Defeasance” shall have the meaning set forth in Section
10.1(C). 
  
 “Defaulted Interest” has the meaning
specified in Section 2.7. 
  
 “Depositary” means, with
respect to the Securities of any series issuable or issued in the form of one or more Registered Global Securities, the Person designated as Depositary by the Company pursuant to Section 2.3 until a successor Depositary shall have become such
pursuant to the applicable provisions of this Indenture, and thereafter “Depositary” shall mean or include each Person who is then a Depositary hereunder, and if at any time there is more than one such Person, “Depositary” as
used with respect to the Securities of any such series shall mean the Depositary with respect to the Registered Global Securities of that series. 
  
 “Dollar” or “$” means the coin or currency of the United States of America as at the time of payment is legal tender for the payment
of public and private debts. 
  
 “ECU” means the
European Currency Unit as defined and revised from time to time by the European Monetary System of the European Community. 
  
 “Event of Default” means any event or condition specified as such in Section 5.1. 
  
 “Exchange Act” means the Securities Exchange Act of 1934, as amended. 
  
 “Fair Value” when used with respect to any Voting Stock means the
fair value as determined in good faith by the Board of Directors of the Company. 
  
 “Foreign Currency” means a currency issued by the government of a country other than the United States of America. 
  
 “Holder,” “Holder of Securities,” “Securityholder” or other similar terms mean (a) in the case of any Registered Security,
the person in whose name such Security is registered in the Security Register kept by the Company for that purpose in accordance with the terms hereof, and (b) in the case of any Unregistered Security, the bearer of such Security, or any Coupon
appertaining thereto, as the case may be. 
  
 “Indenture” means this instrument as originally executed and delivered or, if amended or supplemented as herein provided, as so amended or supplemented or both, and shall include the forms and terms of particular series of
Securities established as contemplated hereunder. 
  

 4 

 “Indenture” means this instrument as originally executed and delivered or, if amended or
supplemented as herein provided, as so amended or supplemented or both, and shall include the forms and terms of particular series of Securities established as contemplated hereunder. 
  
 “Interest Payment Date,” means the Stated Maturity of an installment of interest on such Security. 
  
 “IRS” means the Internal Revenue Service of the United States
Department of the Treasury, or any successor entity. 
  
 “Judgment Currency” has the meaning set forth in Section 11.12. 
  
 “Maturity”, when used with respect to any Security, means the date on which the principal of such Security becomes due and payable as therein or herein provided, whether at the Stated Maturity or by
declaration of acceleration, call for redemption or otherwise. 
  
 “Non-U.S. Person” means any person that is not a “U.S. person” as such term is defined in Rule 902 under the Securities Act. 
  
 “Officer’s Certificate” means a certificate signed by the chairman of the Board of Directors, the president or any vice president or the
treasurer of the Company and delivered to the Trustee. Each such certificate shall comply with Section 314 of the Trust Indenture Act and include the statements provided for in Section 11.5. 
  
 “144A Global Security” has the meaning set forth in Section
2.8(b)(i). 
  
 “Opinion of Counsel” means an opinion in
writing signed by legal counsel who may be an employee of the Company or other counsel satisfactory to the Trustee. Each such opinion shall comply with Section 314 of the Trust Indenture Act and include the statements provided for in Section 11.5.

  
 “Original Issue Date” of any Security (or portion
thereof) means the earlier of (a) the date of such Security or (b) the date of any Security (or portion thereof) for which such Security was issued (directly or indirectly) on registration of transfer, exchange or substitution. 
  
 “Original Issue Discount Security” means any Security that provides
for an amount less than the principal amount thereof to be due and payable upon a declaration of acceleration of the Maturity thereof pursuant to Section 5.2. 
  

 5 

 “Outstanding” (except as otherwise provided in Section 7.4), when used with reference to
Securities, means, subject to the provisions of Section 7.4, as of any particular time, all Securities authenticated and delivered by the Trustee under this Indenture, except 
  
 (a) Securities theretofore canceled by the Trustee or delivered to the Trustee for cancellation; 

 
 (b) Securities, or portions thereof, for the payment or
redemption of which moneys or U.S. Government Obligations (as provided for in Section 10.1) in the necessary amount shall have been deposited in trust with the Trustee or with any Paying Agent (other than the Company) or shall have been set aside,
segregated and held in trust by the Company for the Holders of such Securities (if the Company shall act as its own Paying Agent), provided, that if such Securities, or portions thereof, are to be redeemed prior to the Maturity thereof, notice of
such redemption shall have been given as herein provided, or provisions satisfactory to the Trustee shall have been made for giving such notice; and 
  
 (c) Securities which shall have been paid or in substitution for which other Securities shall have been authenticated and delivered
pursuant to the terms of Section 2.9 (except with respect to any such Security as to which proof satisfactory to the Trustee is presented that such Security is held by a Person in whose hands such Security is a legal, valid and binding obligation of
the Company). 
  
 In determining whether the Holders of the
requisite principal amount of Outstanding Securities of any or all series have given any request, demand, authorization, direction, notice, consent or waiver hereunder, the principal amount of an Original Issue Discount Security that shall be deemed
to be Outstanding for such purposes shall be the amount of the principal thereof that would be due and payable as of the date of such determination upon a declaration of acceleration of the Maturity thereof pursuant to Section 5.2. 
  
 “Paying Agent” means any Person authorized by the Company to pay
the principal of (and premium, if any) or interest on any Securities on behalf of the Company. 
  
 “Periodic Offering” means an offering of Securities of a series from time to time, the specific terms of which Securities, including, without limitation, the rate or rates of interest, if any, thereon, the
Stated Maturity or Maturities thereof and the redemption provisions, if any, with respect thereto, are to be determined by the Company or its agents upon the issuance of such Securities. 
  

 6 

 “Person” means any individual, corporation, partnership, limited liability company, joint
venture, association, joint stock company, trust, unincorporated organization or government or any agency or political subdivision thereof. 
  
 “PORTAL Market” means Private Offerings, Resales and Trading through Automatic Linkages Market. 
  
 “Predecessor Security” of any particular Security means every
previous Security evidencing all or a portion of the same debt as that evidenced by such particular Security; and, for the purposes of this definition, any Security authenticated and delivered under Section 2.4 in exchange for or in lieu of a
mutilated, destroyed, lost or stolen Security shall be deemed to evidence the same debt as the mutilated, destroyed, lost or stolen Security. 
  
 “principal” whenever used with reference to the Securities or any Security or any portion thereof, shall be deemed to include “and premium,
if any,” provided, however, that such inclusion of premium, if any, shall under no circumstances result in the double counting of such premium for the purpose of any calculation required hereunder. 
  
 “QIB” or “Qualified Institutional Buyer” means
“Qualified Institutional Buyer” as such term is defined in Rule 144A under the Securities Act. 
  
 “Regular Record Date” for the interest payable on any Interest Payment Date on the Securities of any series means the date specified for that
purpose as contemplated in Section 2.3. 
  
 “Registered
Global Security” means a Security evidencing all or a part of a series of Registered Securities, issued to the Depositary for such series in accordance with Section 2.4, and bearing the legend prescribed in Section 2.4 and any other legend
required by the Depositary for such series. 
  
 “Registered
Security” means any Security registered on the Security Register of the Company. 
  
 “Regulation S” means Regulation S under the Securities Act, or any successor provision. 
  
 “Regulation S Global Security” has the meaning set forth in Section 2.8(b). 
  
 “Required Currency” shall have the meaning set forth in Section 11.12 . 
  

 7 

 “Responsible Officer” when used with respect to the Trustee means the chairman of the board of
directors, any vice chairman of the board of directors, the chairman of the trust committee, the chairman of the executive committee, any vice chairman of the executive committee, the president, any vice president (whether or not designated by
numbers or words added before or after the title “Vice President”), the cashier, the secretary, the treasurer, any trust officer, an assistant trust officer, any assistant vice president, any assistant cashier, any assistant secretary, any
assistant treasurer, or any other officer or assistant officer of the Trustee customarily performing functions similar to those performed by the persons who at the time shall be such officers, respectively, or to whom any corporate trust matter is
referred because of his or her knowledge of and familiarity with the particular subject. 
  
 “Restricted Security” has the meaning set forth in Section 2.8(b). 
  
 “Rule 144” means Rule 144 under the Securities Act. 
  
 “Rule 144A” means Rule 144A under the Securities Act. 
  

“Rule 144K” means Rule 144(k) under the Securities Act. 
  
 “Securities Act” means the Securities Act of 1933, as amended. 
  
 “Security” or “Securities” (except as otherwise provided
in Section 7.4) has the meaning stated in the first recital of this Indenture, or, as the case may be, Securities that have been authenticated and delivered under this Indenture. 
  
 “Security Register” and “Security Registrar” have the respective meanings specified in Section 2.9.

  
 “Significant Subsidiary” means a Subsidiary of the
Company which at the time of determination either (i) had tangible assets which, as of the Company’s most recent quarterly consolidated balance sheet, constituted at least 5% of Consolidated Tangible Assets as of such date, or (ii) had revenues
for the 12-month period ending on the date of the Company’s most recent quarterly consolidated statement of income which constituted at least 5% of the Company’s total consolidated revenues for such period. 
  
 “Special Record Date” for the payment of any Defaulted Interest
means a date fixed by the Trustee pursuant to Section 2.7. 
  

 8 

 “Stated Maturity”, when used with respect to any Security or any installment of interest
thereon, means the date specified in such Security as the fixed date on which the principal of such Security or such installment of interest is due and payable. 
  

“Subsidiary” of any Person means (a) any corporation of which Common Equity having ordinary voting power to elect a majority of the directors
of such corporation is owned by such Person directly or through one or more other Subsidiaries of such Person and (b) any entity other than a corporation in which such Person, directly or indirectly, owns at least 50% of the Common Equity of such
entity and has the authority to manage such entity on a day-to-day basis. 
  
 “Transfer Restriction Termination Date” means the earlier of the first date on which (i) the Securities of a series (other than such Securities acquired by the Company or any Affiliate thereof since the
issue date of such Securities) may be sold pursuant to Rule 144K (or any successor provision) and (ii) all such Securities have been exchanged or sold pursuant to an effective registration statement. 
  
 “Trustee” means the Person identified as “Trustee” in the
first paragraph hereof and, subject to the provisions of Article 6, shall also include any successor trustee. “Trustee” shall also mean or include each Person who is then a trustee hereunder and if at any time there is more than one such
Person, “Trustee” as used with respect to the Securities of any series shall mean the trustee with respect to the Securities of such series. 
  
 “Unregistered Security” means any Security other than a Registered Security. 
  
 “U.S. Government Obligations” shall have the meaning set forth in Section 10.1(A). 
  
 “Voting Stock” means stock of any class or classes having general
voting power under ordinary circumstances to elect a majority of the board of directors, managers or trustees of the corporation in question, provided, that, for the purposes hereof, stock which carries only the right to vote conditionally on the
happening of an event shall not be considered voting stock whether or not such event shall have happened. 
  
 “Yield to Maturity” means the yield to maturity on a series of securities, calculated at the time of issuance of such series, or, if applicable,
at the most recent redetermination of interest on such series, and calculated in accordance with accepted financial practice. 
  

 9 

 ARTICLE 2 
  
 SECURITIES 
  
 SECTION 2.1 Forms Generally 
  
 The Securities of each series and the Coupons, if any, to be attached thereto shall be substantially in such form (not inconsistent with this Indenture)
as shall be established by or pursuant to one or more Board Resolutions (as set forth in a Board Resolution or, to the extent established pursuant to but not set forth in a Board Resolution, an Officer’s Certificate detailing such
establishment) or in one or more indentures supplemental hereto, in each case with such appropriate insertions, omissions, substitutions and other variations as are required or permitted by this Indenture and may have imprinted or otherwise
reproduced thereon such legend or legends or endorsements, not inconsistent with the provisions of this Indenture, as may be required to comply with any law or with any rules or regulations pursuant thereto, or with any rules of any securities
exchange or to conform to general usage, all as may be determined by the officers executing such Securities and Coupons, if any, as evidenced by their execution of such Securities and Coupons. 
  
 The definitive Securities and Coupons, if any, shall be printed, lithographed
or engraved on steel engraved borders or may be produced in any other manner, all as determined by the officers executing such Securities and Coupons, if any, as evidenced by their execution of such Securities and Coupons, if any. 
  
 SECTION 2.2 Form of Trustee’s Certificate of Authentication 
  
 The Trustee’s certificate of authentication on all Securities shall be
in substantially the following form: 
  
 “This is one of the
Securities referred to in the within-mentioned Indenture. 
  

			
	 PNC BANK, NATIONAL ASSOCIATION
  

	as Trustee
		
	By	 	  

	 	 	Authorized Signatory”

  

 10 

 If at any time there shall be an Authenticating Agent appointed with respect to any series of Securities,
then the Trustee’s Certificate of Authentication to be borne by the Securities of each such series shall be substantially as follows: 
  
 “This is one of the Securities referred to in the within-mentioned Indenture. 
  

			
	 [                                      
                              ]

	             as Authenticating Agent

		
	 By
	 	  

	 	 	 Authorized Signatory”

  
 SECTION 2.3 Amount Unlimited; Issuable in Series. 
  
 The aggregate principal amount of Securities which may be authenticated and delivered under this Indenture is unlimited. 
  
 The Securities may be issued in one or more series. With respect to each such series there shall be established in or pursuant to one or more Board
Resolutions (and to the extent established pursuant to but not set forth in a Board Resolution, in an Officer’s Certificate detailing such establishment) or established in one or more indentures supplemental hereto, prior to the initial
issuance of Securities of any series, 
  
 (1) the
designation of the Securities of the series, which shall distinguish the Securities of the series from the Securities of all other series, and which may be part of a series of Securities previously issued; 
  
 (2) any limit upon the aggregate principal amount of the
Securities of the series that may be authenticated and delivered under this Indenture (except for Securities authenticated and delivered upon registration of transfer of, or in exchange for, or in lieu of, other Securities of the series pursuant to
Section 2.8, 2.9, 2.11, 8.5 or 12.3); 
  
 (3) if
other than Dollars, the coin or currency in which the Securities of the series are denominated (including, but not limited to, any Foreign Currency or ECU); 
  
 (4) the date or dates on which the principal of the Securities of the series is payable; 
  
 (5) the rate or rates at which the Securities of the series
shall bear interest, if any, the date or dates from which such interest shall accrue, on which such interest shall be payable and (in the case of 

  

 11 

 
Registered Securities) on which a record shall be taken for the determination of Holders to whom interest is payable and/or the method by which such rate or
rates or date or dates shall be determined; 
  
 (6) the place or places where the principal of and any interest on Securities of the series shall be payable, if other than as provided in Section 3.2; 
  
 (7) the right, if any, of the Company to redeem Securities, in whole or in part, at its option and the
period or periods within which, the price or prices at which and any terms and conditions upon which Securities of the series may be so redeemed, pursuant to any sinking fund or otherwise; 
  
 (8) the obligation, if any, of the Company to redeem,
purchase or repay Securities of the series pursuant to any mandatory redemption, sinking fund or analogous provisions or at the option of a Holder thereof and the price or prices at which and the period or periods within which and any terms and
conditions upon which Securities of the series shall be redeemed, purchased or repaid, in whole or in part, pursuant to such obligation; 
  
 (9) if other than denominations of $1,000 and any integral multiple thereof in the case of Registered Securities, or $1,000 and $5,000 in
the case of Unregistered Securities, the denominations in which Securities of the series shall be issuable; 
  
 (10) if other than the entire principal amount thereof, the portion of the principal amount of Securities of the series which shall be
payable upon declaration of acceleration of the Maturity thereof; 
  
 (11) if other than the coin or currency in which the Securities of the series are denominated, the coin or currency in which payment of the principal of or interest on the Securities of such series shall be payable;

  
 (12) if the principal of or interest on the
Securities of the series are to be payable, at the election of the Company or a Holder thereof, in a coin or currency other than that in which the Securities are denominated, the period or periods within which, and the terms and conditions upon
which, such election may be made; 
  
 (13) if the
amount of payments of principal of and interest on the Securities of the series may be determined with reference to an index based on a coin or currency other than that in which the Securities of the series are denominated, the manner in which such
amounts shall be determined; 
  

 12 

 (14) whether the Securities of the series will be issuable as Registered Securities (and
if so, whether all or a portion of such Securities will be issuable as Registered Global Securities) or Unregistered Securities (with or without Coupons), or any combination of the foregoing, any restrictions applicable to the offer, sale or
delivery of Unregistered Securities or the payment of interest thereon and, if other than as provided in Section 2.8, the terms upon which Unregistered Securities of any series may be exchanged for Registered Securities of such series and vice
versa; 
  
 (15) whether and under what
circumstances the Company will pay additional amounts on the Securities of the series held by a Person who is not a U.S. person in respect of any tax, assessment or governmental charge withheld or deducted and, if so, whether the Company will have
the option to redeem the Securities of the series rather than pay such additional amounts; 
  
 (16) if the Securities of the series are to be issuable in definitive form (whether upon original issue or upon exchange of a temporary
Security of such series) only upon receipt of certain certificates or other documents or satisfaction of other conditions, the form and terms of such certificates, documents or conditions; 
  
 (17) any trustees, depositaries, authenticating or paying
agents, transfer agents or registrars of any other agents with respect to the Securities of such series; 
  
 (18) any other events of default or covenants with respect to the Securities of such series; 
  
 (19) if the Securities of the series are to be convertible
into or exchangeable for any other security, the terms upon which any such conversion or exchange may be effected; and 
  
 (20) any other terms of the series (which terms shall not be inconsistent with the provisions of this Indenture). 
  
 All Securities of any one series and Coupons, if any, appertaining thereto
shall be substantially identical, except in the case of Registered Securities as to denomination and except as may otherwise be provided by or pursuant to the Board Resolution or Officer’s Certificate referred to above or as set forth in any
indenture supplemental hereto. All Securities of any one series need not be issued at the same time and may be 
  

 13 

 issued from time to time, consistent with the terms of this Indenture, if so provided by or pursuant to such Board
Resolution, such Officer’s Certificate or in any indenture supplemental hereto. 
  
 SECTION 2.4 Authentication and Delivery of Securities. 
  
 The Company may deliver Securities of any series having attached thereto appropriate Coupons, if any, executed by the
Company to the Trustee for authentication together with the applicable documents referred to below in this Section 2.4, and the Trustee shall thereupon authenticate and deliver such Securities and Coupons, if any, to or upon the order of the Company
(contained in the Company Order referred to below in this Section) or pursuant to such procedures acceptable to the Trustee and to such recipients as may be specified from time to time by a Company Order. The maturity date, original issue date,
interest rate and any other terms of the Securities of such series and Coupons, if any, appertaining thereto shall be determined by or pursuant to such Company Order and procedures. If provided for in such procedures, such Company Order may
authorize authentication and delivery pursuant to oral or electronic instructions from the Company or its duly authorized agent or agents, which instructions, if oral, shall be promptly confirmed in writing. In authenticating such Securities and
accepting the additional responsibilities under this Indenture in relation to such Securities, the Trustee shall be entitled to receive (in the case of subparagraphs (2), (3) and (4) below only at or before the time of the first request of the
Company to the Trustee to authenticate Securities of such series) and (subject to Section 6.1) shall be fully protected in relying upon, the following enumerated documents unless and until such documents have been superseded or revoked: 

 
 (1) a Company Order requesting such authentication and
setting forth delivery instructions if the Securities and Coupons, if any, are not to be delivered to the Company, provided that, with respect to Securities of a series subject to a Periodic Offering, (a) such Company Order may be delivered by the
Company to the Trustee prior to the delivery to the Trustee of such Securities for authentication and delivery, (b) the Trustee shall authenticate and deliver Securities of such series for original issue from time to time, in an aggregate principal
amount not exceeding the aggregate principal amount established for such series, pursuant to a Company Order or pursuant to procedures acceptable to the Trustee as may be specified from time to time by a Company Order, (c) the maturity date or
dates, original issue date or dates, interest rate or rates and any other terms of Securities of such series shall be determined by a Company Order or pursuant to such procedures and (d) if provided for in such procedures, such Company Order may
authorize authentication and 
  

 14 

 delivery pursuant to oral or electronic instructions from the Company or its duly authorized agent or
agents, which instructions, if oral, shall be promptly confirmed in writing; 
  
 (2) any Board Resolution, Officer’s Certificate and/or executed supplemental indenture referred to in Section 2.1 and 2.3 by or pursuant to which the forms and terms of the Securities and Coupons, if any, were
established; 
  
 (3) an Officer’s
Certificate setting forth the form or forms and terms of the Securities and Coupons, if any, stating that the form or forms and terms of the Securities and Coupons, if any, have been established pursuant to Sections 2.1 and 2.3 and comply with this
Indenture, and covering such other matters as the Trustee may reasonably request; and 
  
 (4) At the option of the Company, either one or more Opinions of Counsel, or a letter addressed to the Trustee permitting it to rely on
one or more Opinions of Counsel, substantially to the effect that: 
  
 (a) the form or forms of the Securities and Coupons, if any, have been duly authorized and established in conformity with the provisions of this Indenture; 
  
 (b) in the case of an underwritten offering, the terms of
the Securities have been duly authorized and established in conformity with the provisions of this Indenture, and, in the case of an offering that is not underwritten, certain terms of the Securities have been established pursuant to a Board
Resolution, an Officer’s Certificate or a supplemental indenture in accordance with this Indenture, and when such other terms as are to be established pursuant t procedures set forth in a Company Order shall have been established, all such
terms will have been duly authorized by the Company and will have been established in conformity with the provisions of this Indenture; and 
  
 (c) such Securities and Coupons, if any, when executed by the Company and authenticated by the Trustee in accordance with the provisions
of this Indenture and delivered to and duly paid for by the purchasers thereof, and subject to any conditions specified in such Opinion of Counsel, will have been duly issued under this Indenture, will be entitled to the benefits of this Indenture,
and will be valid and binding obligations of the Company, enforceable in accordance with their respective terms except as 
  

 15 

 the enforceability thereof may be limited by (i) bankruptcy, insolvency or similar laws affecting
creditors’ rights generally, (ii) rights of acceleration, if any, and (iii) the availability of equitable remedies may be limited by equitable principles of general applicability and such counsel need express no opinion with regard to the
enforceability of Section 6.6 or of a judgment denominated in a currency other than Dollars. 
  
 In rendering such opinions, any counsel may qualify any opinions as to enforceability by stating that such enforceability may be limited by bankruptcy, insolvency, reorganization, liquidation, moratorium, fraudulent
transfer and other similar laws affecting the rights and remedies of creditors and is subject to general principles of equity (regardless of whether such enforceability is considered in a proceeding in equity or at law). Such counsel may rely upon
opinions of other counsel (copies of which shall be delivered to the Trustee) reasonably satisfactory to the Trustee, in which case the opinion shall state that such counsel believes he and the Trustee are entitled so to rely. Such counsel may also
state that, insofar as such opinion involves factual matters, he has relied, to the extent he deems proper, upon certificates of officers of the Company and its subsidiaries and certificates of public officials. 
  
 The Trustee shall have the right to decline to authenticate and deliver any
Securities under this section if the Trustee, being advised by counsel, determines that such action may not lawfully be taken by the Company or if the Trustee in good faith by its board of directors or board of trustees, executive committee or a
trust committee of directors or trustees shall determine that such action would expose the Trustee to personal liability to existing Holders or would affect the Trustee’ own rights, duties or immunities under the Securities, this Indenture or
otherwise. 
  
 If the Company shall establish pursuant to Section
2.3 that all or a portion of the Securities of a series are to be issued in the form of one or more Registered Global Securities, then the Company shall execute and the Trustee shall, in accordance with this Section and the Company Order with
respect to such series, authenticate and deliver one or more Registered Global Securities that (i) shall represent and shall be denominated in an amount equal to the aggregate principal amount of al of the Securities of such series issued in such
form and not yet canceled, (ii) shall be registered in the name of the Depositary for such Registered Global Security or Securities or the nominee of such Depositary, (iii) shall be delivered by the Trustee to such Depositary or delivered or held
pursuant to such Depositary’s instructions and (iv) shall bear a legend substantially to the following effect: “Unless and until it is exchanged in whole or in part for Securities in definitive registered form, this Security may not be
transferred except as 
  

 16 

 a whole by the Depositary to the nominee of the Depositary or by a nominee of the Depositary to the Depositary or another
nominee of the Depositary or by the Depositary or any such nominee to a successor Depositary or a nominee of such successor Depositary.” 
  
 Each Depositary designated pursuant to Section 2.3 must, at the time of its designation and at all times while it serves as Depositary, be a clearing
agency registered under the Exchange Act and any other applicable statute or regulation. 
  
 SECTION 2.5 Execution of Securities. 
  
 The Securities and each Coupon appertaining thereto, if any, shall be signed on behalf of the Company by the chairman or vice chairman of its Board of
Directors or its president, or any executive (senior or other), a vice president or its treasurer, under its corporate seal (except in the case of Coupons) which may, but need not, be attested. Such signatures may be the manual or facsimile
signatures of the present or any future such officers. The seal of the Company may be in the form of a facsimile thereof and may be impressed, affixed, imprinted or otherwise reproduced on the Securities. Typographical and other minor errors or
defects in any such reproduction of the seal or any such signature shall not affect the validity or enforceability of any Security that has been duly authenticated and delivered by the Trustee. 
  
 In case any officer of the Company who shall have signed any of the
Securities or Coupons, if any, shall cease to be such officer before the Security or Coupon so signed (or the Security to which the Coupon so signed appertains) shall be authenticated and delivered by the Trustee or disposed of by the Company, such
Security or Coupon nevertheless may be authenticated and delivered or disposed of as though the person who signed such Security or Coupon had not ceased to be such officer of the Company; and any Security or Coupon may be signed on behalf of the
Company by such persons as, at the actual date of the execution of such Security or Coupon, shall be the proper officers of the Company, although at the date of the execution and delivery of this Indenture any such person was not such an officer.

  
 SECTION 2.6 Certificate of Authentication.

  
 Only such Securities as shall bear thereon a certificate of
authentication substantially in the form hereinbefore recited, executed by the Trustee by the manual signature of one of its authorized officers, shall be entitled to the benefits of this Indenture or be valid or obligatory for any purpose. No
Coupon shall be entitled to the benefits of this Indenture or shall be valid and obligatory for any purpose until the certificate of authentication on the Security to which such Coupon appertains shall have been duly executed by the Trustee. The
execution of such certificate by the Trustee upon 
  

 17 

 any Security executed by the Company shall be conclusive evidence that the Security so authenticated has been duly
authenticated and delivered hereunder and that the Holder is entitled to the benefits of this Indenture. 
  
 SECTION 2.7 Denomination and Date of Securities; Payments of Interest. 
  
 The Securities of each series shall be issuable as Registered Securities or Unregistered Securities in denominations
established as contemplated by Section 2.3 or, with respect to the Registered Securities of any series, if not so established, in denominations of $1,000 and any integral multiple thereof. If denominations of Unregistered Securities of any series
are not so established, such Securities shall be issuable in denominations of $1,000 and $5,000. The Securities of each series shall be numbered, lettered or otherwise distinguished in such manner or in accordance with such plan as the officers of
the Company executing the same may determine with the approval of the Trustee, as evidenced by the execution and authentication thereof. 
  
 Each Registered Security shall be dated the date of its authentication. Each Unregistered Security shall be dated as provided in the Board Resolution
referred to in Section 2.3. The Securities of each series shall bear interest, if any, from the date, and such interest shall be payable on the dates, established as contemplated by Section 2.3. 
  
 Interest on any Security which is payable, and is punctually paid or duly
provided for, on any Interest Payment Date shall be paid to the Person in whose name that Security (or one or more Predecessor Securities) is registered at the close of business on the Regular Record Date for such interest. At the option of the
Company, interest on any Security may be paid by mailing a check to the address of the Holder thereof as such address appears in the Securities Register. 
  
 Any interest on any Security which is payable, but is not punctually paid or duly provided for, on any Interest Payment Date (herein called
“Defaulted Interest”) shall forthwith cease to be payable to the Holder on the relevant Regular Record Date by virtue of having been such Holder, and such Defaulted Interest may be paid by the Company, at its election in each case, as
provided in clause (1) or (2) below: 
  
 (1) The
Company may elect to make payment of any Defaulted Interest to the Persons in whose names the Securities (or their respective Predecessor Securities) are registered at the close of business on a Special Record Date for the payment of such Defaulted
Interest, which shall be fixed in the following manner. The Company shall notify the Trustee in writing of the amount of Defaulted Interest proposed to be paid on each Security and the date of 
  

 18 

 the proposed payment, and a the same time the Company shall deposit with the Trustee an amount of money
equal to the aggregate amount proposed to be paid in respect of such Defaulted Interest or shall make arrangements satisfactory to the Trustee for such deposit prior to the date of the proposed payment, such money when deposited to be held in trust
for the benefit of the Persons entitled to such Defaulted Interest as in this clause provided. Thereupon the Trustee shall fix a Special Record Date for the payment of such Defaulted Interest which shall be not more than 15 days and not less than 10
days prior to the date of the proposed payment and not less than 10 days after the receipt by the Trustee of the notice of the proposed payment. The Trustee shall promptly notify the Company of such Special Record Date and, in the name and at the
expense of the Company, shall cause notice of the proposed payment of such Defaulted Interest and the Special Record Date therefor to be mailed, first-class postage prepaid, to each Holder at his address as it appears in the Security Register, not
less than 10 days prior to such Special Record Date. Notice of the proposed payment of such Defaulted Interest and the Special Record Date therefor having been so mailed, such Defaulted Interest shall be paid to the Persons in whose names the
Securities (or their respective Predecessor Securities) are registered at the close of business on such Special Record Date and shall no longer be payable pursuant to the following claus (2). 
  
 (2) The Company may make payment of any Defaulted Interest
in any other lawful manner not inconsistent with the requirements of any securities exchange on which the Securities may be listed, and upon such notice as may be required by such exchange, if, after notice given by the Company to the Trustee of the
proposed payment pursuant to this clause, such manner of payment shall be deemed practicable by the Trustee. 
  
 Subject to the foregoing provisions of this Section, each Security delivered under this Indenture upon registration of transfer of or in exchange for or
in lieu of any other Security shall carry the rights to interest accrued and unpaid, and to accrue, which were carried by such other Security. 
  
 SECTION 2.8 Registration, Transfer and Exchange. 
  
 (a) The Company will keep at each office or agency to be maintained for the purpose as provided in Section 3.2 for each
series of Securities a register or registers (the register maintained in such office and in any other office or agency of the Company designated pursuant to Section 3.2 being herein sometimes collectively referred to as the “Security
Register”) in which, subject to such reasonable regulations as the Company 
  

 19 

 may prescribe, it will provide for the registration of Registered Securities of such series and the registration of
transfer of Registered Securities of such series. Such Security Register shall be in written form in the English language or in any other form capable of being converted into such form within a reasonable time. At all reasonable times such Security
Register or registers shall be open for inspection by the Trustee. 
  
 Upon due presentation for registration of transfer of any Registered Security of any series at any such office or agency to be maintained for the purpose as provided in Section 3.2, the Company shall execute and the Trustee shall
authenticate and deliver in the name of the transferee or transferees a new Registered Security or Registered Securities of the same series, maturity date, interest rate and original issue date in authorized denominations for a like aggregate
principal amount. 
  
 Unregistered Securities (except for any
temporary global Unregistered Securities) and Coupons (except for Coupons attached to any temporary global Unregistered Securities) shall be transferable by delivery. 
  
 At the option of the Holder thereof, Registered Securities of any series (other than a Registered Global Security, except as
set forth below) may be exchanged for a Registered Security or Registered Securities of such series having authorized denominations and an equal aggregate principal amount, upon surrender of such Registered Securities to be exchanged at the agency
of the Company that shall be maintained for such purpose in accordance with Section 3.2 and upon payment, if the Company shall so require, of the charges hereinafter provided. If the Securities of any series are issued in both registered and
unregistered form, at the option of the Holder thereof, except as otherwise specified pursuant to Section 2.3, Unregistered Securities of any series may be exchanged for Registered Securities of such series having authorized denominations and an
equal aggregate principal amount, upon surrender of such Unregistered Securities to be exchanged at the agency of the Company that shall be maintained for such purpose in accordance with Section 3.2, with, in the case of Unregistered Securities that
have Coupons attached, all unmatured Coupons and all matured Coupons in default thereto appertaining, and upon payment, if the Company shall so require, of the charges hereinafter provided. At the option of the Holder thereof, if Unregistered
Securities of any series, maturity date, interest rate and original issue date are issued in more than one authorized denomination, except as otherwise specified pursuant to Section 2.3, such Unregistered Securities may be exchanged for Unregistered
Securities of such series having authorized denominations and an equal aggregate principal amount, upon surrender of such Unregistered Securities to be exchanged at the agency of the Company that shall be maintained for such purpose in accordance
with Section 3.2 or as specified pursuant to Section 2.3, with, in the case of Unregistered 
  

 20 

 Securities that have Coupons attached, all unmatured Coupons and all matured Coupons in default thereto appertaining, and
upon payment, if the Company shall so require, of the charges hereinafter provided. Registered Securities of any series may not be exchanged for Unregistered Securities of such series unless (1) otherwise specified pursuant to Section 2.3 and (2)
the Company has delivered to the Trustee an Opinion of Counsel that (x) the Company has received from the IRS a ruling or (y) since the date hereof, there has been a change in the applicable Federal income tax law, in either case to the effect that
the inclusion of terms permitting Registered Securities to be exchanged for Unregistered Securities would result in no Federal income tax effect adverse to the Company or to any Holder. Whenever any Securities are so surrendered for exchange, the
Company shall execute, and the Trustee shall authenticate and deliver, the Securities which the Holder making the exchange is entitled to receive. All Securities and Coupons, if any, surrendered upon any exchange or transfer provided for in this
Indenture shall be promptly canceled and disposed of by the Trustee, and the Trustee shall deliver a certificate of disposition thereof to the Company. 
  
 All Registered Securities presented for registration of transfer, exchange, redemption or payment shall (if so required by the Company or the Trustee) be
duly endorsed, or be accompanied by a written instrument or instruments of transfer in form satisfactory to the Company and the Trustee duly executed, by the Holder or his attorney duly authorized in writing. 
  
 The Company may require payment of a sum sufficient to cover any tax or other
governmental charge that may be imposed in connection with any exchange or registration of transfer of Securities. No service charge shall be made for any such transaction. 
  
 The Company shall not be required to exchange or register a transfer of (a) any Securities of any series for a period of 15
days preceding the first mailing of notice of redemption of Securities of such series to be redeemed or (b) any Securities selected, called or being called for redemption, in whole or in part, except, in the case of any Security to be redeemed in
part, the portion thereof not so to be redeemed. 
  
 Notwithstanding any other provision of this Section 2.8, unless and until it is exchanged in whole or in part for Securities in definitive registered form, a Registered Global Security representing all or a portion of the Securities of a
series may not be transferred except as a whole by the Depositary for such series to a nominee of such Depositary or by a nominee of such Depositary to such Depositary or another nominee of such Depositary or by such Depositary or any such nominee
to a successor Depositary for such series or a nominee of such successor Depositary. 
  

 21 

 If at any time the Depositary for any Registered Securities of a series represented by one or more
Registered Global Securities notifies the Company that it is unwilling or unable to continue as Depositary for such Registered Securities or if at any time the Depositary for such Registered Securities shall no longer be eligible under Section 2.4,
the Company shall appoint a successor Depositary eligible under Section 2.4 with respect to such Registered Securities. If a successor Depositary eligible under Section 2.4 for such Registered Securities is not appointed by the Company within 90
days after the Company receives such notice or becomes aware of such ineligibility, the Company’s election pursuant to Section 2.3 that such Registered Securities be represented by one or more Registered Global Securities shall no longer be
effective and the Company will execute, and the Trustee, upon receipt of an Officer’s Certificate for the authentication and delivery of definitive Securities of such series, will authenticate and deliver, Securities of such series in
definitive registered form without coupons, in any authorized denominations, in an aggregate principal amount equal to the principal amount of the Registered Global Security or Securities representing such Registered Securities in exchange for such
Registered Global Security or Securities. 
  
 The Company may at
any time and in its sole discretion determine that the Registered Securities of any series issued in the form of one or more Registered Global Securities shall no longer be represented by a Registered Global Security or Securities. In such event the
Company will execute, and the Trustee, upon receipt of any Officer’s Certificate for the authentication and delivery of definitive Securities of such series, will authenticate and deliver, Securities of such series in definitive registered form
without coupons, in any authorized denominations, in an aggregate principal amount equal to the principal amount of the Registered Global Security or Securities representing such Registered Securities, in exchange for such Registered Global Security
or Securities. 
  
 If specified by the Company pursuant to Section
2.3 with respect to Securities represented by a Registered Global Security, the Depositary for such Registered Global Security may surrender such Registered Global Security in exchange in whole or in part for Securities of the same series in
definitive registered form on such terms as are acceptable to the Company and such Depositary. Thereupon, the Company shall execute, and the Trustee shall authenticate and deliver, without service charge, 
  
 (i) to the Person specified by such Depositary a new
Registered Security or Securities of the same series, of any authorized denominations as requested by such Person, in an aggregate principal amount equal to and in exchange for such Person’s beneficial interest in the Registered Global
Security; and 
  
 (ii) to such Depositary a new
Registered Global 
  

 22 

 Security in a denomination equal to the difference, if any, between the principal amount of the
surrendered Registered Global Security and the aggregate principal amount of Registered Securities authenticated and delivered pursuant to clause (i) above. 
  
 Upon the exchange of a Registered Global Security for Securities in definitive registered form without coupons, in authorized denominations, such
Registered Global Security shall be canceled by the Trustee or an agent of the Company or the Trustee. Securities in definitive registered form without coupons issued in exchange for a Registered Global Security pursuant to this Section 2.8 shall be
registered in such names and in such authorized denominations as the Depositary for such Registered Global Security, pursuant to instructions from its direct or indirect participants or otherwise, shall instruct the Trustee or an agent of the
Company or the Trustee. The Trustee or such agent shall deliver such Securities to or as directed by the Persons in whose names such Securities are so registered. 
  
 All Securities issued upon any transfer or exchange of Securities shall be valid obligations of the Company, evidencing the
same debt, and entitled to the same benefits under this Indenture, as the Securities surrendered upon such transfer or exchange. 
  
 Notwithstanding anything herein or in the terms of any series of Securities to the contrary, none of the Company, the Trustee or any agent of the Company
or the Trustee (any of which, other than the Company, shall rely on an Officer’s Certificate and an Opinion of Counsel) shall be required to exchange any Unregistered Security for a Registered Security if such exchange would result in Federal
income tax consequences adverse to the Company (such as, for example, the inability of the Company to deduct from its income, as computed for Federal income tax purposes, the interest payable on the Unregistered Securities) under then applicable
United States Federal income tax laws. 
  
 (b)(i) Securities that
are distributed to QIBs will be represented by a global Security (the “144A Global Security”). Securities that are distributed to Non-U.S. Persons will be represented by a global Security (the “Regulation S Global Security”).
Each of the 144A Global Security and the Regulation S Global Security shall be referred to herein as a “Global Security.” If Global Securities are issued, transfers of interests in the Securities between the 144A Global Security and the
Regulation S Global Security will be made in accordance with the standing instructions and procedures of the Depositary and its participants and the Trustee shall make appropriate endorsements to reflect increases or decreases in the principal
amounts of such Global Securities to reflect any such transfers. 
  
 Except as provided below, beneficial owners of a Security in global form shall not be entitled to have certificates registered in their names, will not receive or be entitled to receive physical delivery of certificates in definitive form
and will not be considered Holders of such Securities in global form. 
  

 23 

 (ii) So long as the Securities are eligible for book-entry settlement, and to the extent that Securities
are held by QIBs or Non-U.S. Persons, as the case may be, in a Global Security, or unless otherwise required by law, upon any transfer of a definitive Security to a QIB in accordance with Rule 144A or to a Non-U.S. Person in accordance with
Regulation S, unless otherwise requested by the transferor, and upon receipt of the definitive Security or Securities being so transferred, together with a certification from the transferor that the transfer is being made in compliance with Rule
144A or Regulation S, as the case may be (or other evidence satisfactory to the Trustee), the Trustee shall make an endorsement on any 144A Global Security or any Regulation S Global Security, as the case may be, to reflect an increase in the
aggregate principal amount of the Securities represented by such Global Security, and the Trustee shall cancel such definitive Security or Securities in accordance with the standing instructions and procedures of the Depositary, the aggregate
principal amount of Securities represented by such Global Security to be increased accordingly; provided that no definitive Security, or portion thereof, in respect of which the Company or an Affiliate of the Company held any beneficial interest
shall be included in such Global Security until such definitive Security is freely tradable in accordance with Rule 144(k); provided further that the Trustee shall, at the written request of the Company, issue Securities in definitive form upon any
transfer of a beneficial interest in the Global Security to the Company or any Affiliate of the Company. 
  
 Any Global Security may be endorsed with or have incorporated in the text thereof such legends or recitals or changes not inconsistent with the provisions
of this Indenture as may be required by the Depositary, by the New York Stock Exchange or by the National Association of Securities Dealers, Inc. in order for the Securities to be tradable on the PORTAL Market or as may be required for the
Securities to be tradable on any other market developed for trading of securities pursuant to Rule 144A or required to comply with any applicable law or any regulation thereunder or with the rules and regulations of any securities exchange upon
which the Securities may be listed or traded or to conform with any usage with respect thereto, or to indicate any special limitations or restrictions to which any particular Securities are subject. 
  
 (iii) Each Security that bears or is required to bear the legend set forth in
this Section 2.8(b) (a “Restricted Security”) shall be subject to the restrictions on transfer provided in the legend set forth in this Section 2.8(b), unless such restrictions on transfer shall be waived by the written consent of the
Company, and the Holder of each Restricted Security, by such Holder’s acceptance thereof, agrees to be bound by such restrictions on transfer. As used in this Section 2.8(b), the term “transfer” encompasses any sale, pledge, transfer
or other disposition of any Restricted Security. 
  

 24 

 Prior to the Transfer Restriction Termination Date, any certificate evidencing a Security shall bear a
legend in substantially the following form, unless otherwise agreed by the Company (with written notice thereof to the Trustee): 
  
 THE SECURITY EVIDENCED HEREBY HAS NOT BEEN REGISTERED UNDER THE U.S. 
  
 SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND, ACCORDINGLY, MAY NOT BE OFFERED OR SOLD WITHIN THE
UNITED STATES OR TO, OR 
  
 FOR THE ACCOUNT OR BENEFIT OF, U.S.
PERSONS EXCEPT AS SET FORTH IN THE FOLLOWING SENTENCE. BY ITS ACQUISITION HEREOF, THE HOLDER (1) REPRESENTS THAT (A) IT IS A “QUALIFIED INSTITUTIONAL BUYER” (AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT) OR (B) IT IS AN INSTITUTIONAL
“ACCREDITE INVESTOR” (AS DEFINED IN RULE 501(A)(1), (2), (3) OR (7) UNDER THE SECURITIES ACT) (“INSTITUTIONAL ACCREDITED INVESTOR”) OR (C) IT IS NOT A U.S. PERSON AND IS ACQUIRING THE SECURITY EVIDENCED HEREBY IN AN OFFSHORE
TRANSACTION, (2) AGREES THAT IT WILL NOT PRIOR TO THE EXPIRATION OF THE HOLDING PERIOD APPLICABLE TO SALES OF THE SECURITY EVIDENCED HEREBY UNDER RULE 144(K) UNDER THE SECURITIES ACT (OR ANY SUCCESSOR PROVISION), RESELL OR OTHERWISE TRANSFER THE
SECURITY EVIDENCED HEREBY EXCEPT (A) TO HEALTHSOUTH CORPORATION (THE “COMPANY”) OR ANY SUBSIDIARY THEREOF, (B) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT, (C) TO A QUALIFIED INSTITUTIONAL BUYER IN COMPLIANCE
WITH RULE 144A UNDER THE SECURITIES ACT, (D) TO AN INSTITUTIONAL ACCREDITED INVESTOR THAT, PRIOR TO SUCH TRANSFER, FURNISHES TO THE TRUSTEE FOR THE SECURITIES A SIGNED LETTER CONTAINING CERTAIN REPRESENTATIONS AND AGREEMENTS RELATING TO THE
RESTRICTIONS ON TRANSFER OF THE SECURITY EVIDENCED HEREBY (THE FORM OF WHICH LETTER CAN BE OBTAINED FROM SUCH TRUSTEE), (E) OUTSIDE THE UNITED STATES IN COMPLIANCE WITH RULE 904 UNDER THE SECURITIES ACT OR (F) PURSUANT TO THE EXEMPTION FROM
REGISTRATION PROVIDED BY RULE 144 UNDER THE SECURITIES ACT (IF AVAILABLE) AND (3) AGREES THAT IT WILL DELIVER TO EACH PERSON TO WHOM THE SECURITY EVIDENCED HEREBY IS TRANSFERRED A NOTICE SUBSTANTIALLY TO THE EFFECT OF THIS LEGEND. IN CONNECTION WITH
ANY TRANSFER OF THE SECURITY EVIDENCED HEREBY PRIOR TO THE EXPIRATION OF THE HOLDING PERIOD APPLICABLE TO SALES OF THE SECURITY EVIDENCED HEREBY UNDER RULE 144(K) UNDER THE SECURITIES ACT (OR ANY SUCCESSOR PROVISION), THE HOLDER MUST CHECK THE
APPROPRIATE BOX SET FORTH ON THE REVERSE HEREOF RELATING TO THE MANNER OF SUCH TRANSFER AND SUBMIT THIS CERTIFICATE TO THE TRUSTEE FOR THE SECURITIES. IF THE PROPOSED TRANSFEREE IS AN INSTITUTIONAL ACCREDITED INVESTOR OR A PURCHASER WHO IS NOT A
U.S. PERSON, THE HOLDER MUST, PRIOR TO SUCH 
  

 25 

 TRANSFER, FURNISH TO THE TRUSTEE FOR THE SECURITIES SUCH CERTIFICATIONS, LEGAL OPINIONS OR OTHER INFORMATION AS THE
COMPANY OR THE TRUSTEE MAY REASONABLY REQUIRE, TO CONFIRM THAT SUCH TRANSFER IS BEING MADE PURSUANT TO AN EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT. THIS LEGEND WILL BE REMOVED AFTER THE
EXPIRATION OF THE HOLDING PERIOD APPLICABLE TO SALES OF THE SECURITY EVIDENCED HEREBY UNDER RULE 144(K) UNDER THE SECURITIES ACT. AS USED HEREIN, THE TERMS “OFFSHORE TRANSACTION,” “UNITED STATES” AND “U.S. PERSON” HAVE
THE MEANINGS GIVEN TO THEM BY REGULATION S UNDER THE SECURITIES ACT. 
  
 Following the Transfer Restriction Termination Date, any Security or security issued in exchange or substitution therefor (other than Securities acquired by the Company or any Affiliate thereof since the issue date of the Securities) may
upon surrender of such Security for exchange to the Security Registrar in accordance with the provisions of this Section 2.8, be exchanged for a new Security or Securities, of like tenor and aggregate principal amount, which shall not bear the
restrictive legend required by this Section 2.8(b). 
  
 SECTION 2.9 Mutilated, Defaced, Destroyed, Lost and Stolen Securities. 
  
 In case any temporary or definitive Security or any Coupon appertaining to any Security shall be mutilated, defaced, destroyed, lost or stolen, the Company in its discretion may execute and, upon the written request
of any officer of the Company, the Trustee shall authenticate and deliver, a new Security of the same series, maturity date, interest rate and original issue date, bearing a number or other distinguishing symbol not contemporaneously outstanding, in
exchange and substitution for the mutilated or defaced Security, or in lieu of and in substitution for the Security so destroyed, lost or stolen with Coupons corresponding to the Coupons appertaining to the Securities so mutilated, defaced,
destroyed, lost or stolen, or in exchange or substitution for the Security to which such mutilated, defaced, destroyed, lost or stolen Coupon appertained, with Coupons appertaining thereto corresponding to the Coupons so mutilated, defaced,
destroyed, lost or stolen. In every case the applicant for a substitute Security or Coupon shall furnish to the Company and to the Trustee and any agent of the Company or the Trustee such security or indemnity as may be required by them to indemnify
and defend and to save each of them harmless and, in every case of destruction, loss or theft, evidence to their satisfaction of the destruction, loss or theft of such Security or Coupon and of the ownership thereof, and in the case of mutilation or
defacement shall surrender the Security and related Coupons to th Trustee or such agent. 
  
 Upon the issuance of any substitute Security or Coupon, the Company may require the payment of a sum sufficient 
  

 26 

 to cover any tax or other governmental charge that may be imposed in relation thereto and any other expenses (including
the fees and expenses of the Trustee) or its agent connected therewith. In case any Security or Coupon which has matured or is about to mature or has been called for redemption in full shall become mutilated or defaced or be destroyed, lost or
stolen, the Company may instead of issuing a substitute Security, pay or authorize the payment of the same or the relevant Coupon (without surrender thereof except in the case of a mutilated or defaced Security or Coupon), if the applicant for such
payment shall furnish to the Company and to the Trustee and any agent of the Company or the Trustee such security or indemnity as any of them may require to save each of them harmless, and, in every case of destruction, loss or theft, the applicant
shall also furnish to the Company and the Trustee and any agent of the Company or the Trustee evidence to their satisfaction of the destruction, loss or theft of such Security or Coupons and of the ownership thereof. 
  
 Every substitute Security or Coupon of any series issued pursuant to the
provisions of this Section by virtue of the fact that any such Security or Coupon is destroyed, lost or stolen shall constitute an additional contractual obligation of the Company, whether or not the destroyed, lost or stolen Security or Coupon
shall be at any time enforceable by anyone and shall be entitled to all the benefits of (but shall be subject to all the limitations of rights set forth in) this Indenture equally and proportionately with any and all other Securities or Coupons of
such series duly authenticated and delivered hereunder. All Securities and Coupons shall be held and owned upon the express condition that, to the extent permitted by law, the foregoing provisions are exclusive with respect to the replacement or
payment of mutilated, defaced or destroyed, lost or stolen Securities and Coupons and shall preclude any and all other rights or remedies notwithstanding any law or statute existing or hereafter enacted to the contrary with respect to the
replacement or payment of negotiable instruments or other securities without their surrender. 
  
 SECTION 2.10 Cancellation of Securities; Destruction Thereof. 
  
 All Securities and Coupons surrendered for payment, redemption, registration of transfer or exchange, or for credit against
any payment in respect of a sinking or analogous fund, if any, if surrendered to the Company or any agent of the Company or the Trustee or any agent of the Trustee, shall be delivered to the Trustee or its agent for cancellation or, if surrendered
to the Trustee, shall be canceled by it; and no Securities or Coupons shall be issued in lieu thereof except as expressly permitted by any of the provisions of this Indenture. The Trustee or its agent shall dispose of canceled Securities and Coupons
held by it and deliver a certificate of disposition to the Company. If the Company or its agent shall acquire any of the Securities or Coupons, such acquisition shall not operate 
  

 27 

 as a redemption or satisfaction of the indebtedness represented by such Securities or Coupons unless and until the same
are delivered to the Trustee or its agent for cancellation. 
  
 SECTION 2.11 Temporary Securities. 
  
 Pending the preparation of definitive Securities for any series, the Company may execute and the Trustee shall authenticate and deliver temporary Securities for such series (printed, lithographed, typewritten or otherwise reproduced, in
each case in form satisfactory to the Trustee). Temporary Securities of any series shall be issuable as Registered Securities without coupons, or as Unregistered Securities with or without coupons attached thereto, of any authorized denomination,
and substantially in the form of the definitive Securities of such series but with such omissions, insertions and variations as may be appropriate for temporary Securities, all as may be determined by the Company with the concurrence of the Trustee
as evidenced by the execution and authentication thereof. Temporary Securities may contain such references to any provisions of this Indenture as may be appropriate. Every temporary Security shall be executed by the Company and be authenticated by
the Trustee upon the same conditions and in substantially the same manner, and with like effect, as the definitive Securities. Without unreasonable delay the Company shall execute and shall furnish definitive Securities of such series and thereupon
temporary Registered Securities of such series may be surrendered in exchange therefor without charge at each office or agency to be maintained by the Company for that purpose pursuant to Section 3.2 and, in the case of Unregistered Securities, at
any agency maintained by the Company for such purpose as specified pursuant to Section 2.4, and the Trustee shall authenticate and deliver in exchange for such temporary Securities of such series an equal aggregate principal amount of definitive
Securities of the same series having authorized denominations and, in the case of Unregistered Securities, having attached thereto any appropriate Coupons. Until so exchanged, the temporary Securities of any series shall be entitled to the same
benefits under this Indenture as definitive Securities of such series, unless otherwise established pursuant to Section 2.3. The provisions of this Section are subject to any restrictions or limitations on the issue and delivery of temporary
Unregistered Securities of any series that may be established pursuant to Section 2.4 (including any provision that Unregistered Securities of such series initially be issued in the form of a single global Unregistered Security to be delivered to a
depositary or agency located outside the United States and the procedures pursuant to which definitive or global Unregistered Securities of such series would be issued in exchange for such temporary global Unregistered Security). 
  

 28 

 ARTICLE 3 
  
 COVENANTS OF THE COMPANY 
  
 SECTION 3.1 Payment of Principal and Interest. 
  

The Company covenants and agrees for the benefit of each series of Securities that it will duly and punctually pay or cause to be paid the principal
of, and interest on, if any, each of the Securities of such series (together with any additional amounts payable pursuant to the terms of such Securities) at the place or places, at the respective time or times and in the manner provided in such
Securities and in the Coupons, if any, appertaining thereto and in this Indenture. The interest on Securities with Coupons attached (together with any additional amounts payable pursuant to the terms of such Securities) shall be payable only upon
presentation and surrender of the several Coupons for such interest installments as are evidenced thereby as they severally mature. If any temporary Unregistered Security provides that interest thereon may be paid while such Security is in temporary
form, the interest on any such temporary Unregistered Security (together with any additional amounts payable pursuant to the terms of such Security) shall be paid, as to the installments of interest evidenced by Coupons attached thereto, if any,
only upon presentation and surrender thereof, and, as to the other installments of interest, if any, only upon presentation of such Securities for notation thereon of the payment of such interest, in each case subject to any restrictions that may be
established pursuant to Section 2.4. The interest, if any, on Registered Securities (together with any additional amounts payable pursuant to the terms of such Securities) shall be payable only to or upon the written order of the Holders thereof
and, at the option of the Company, may be paid by wire transfer or by mailing checks for such interest payable to or upon the written order of such Holders at their last addresses as they appear on the Security Register of the Company. 

 
 SECTION 3.2 Offices for Payments, Etc. 
  
 So long as any Registered Securities are authorized for issuance pursuant to
this Indenture or are outstanding hereunder, the Company will maintain in the Borough of Manhattan, The City of New York, an office or agency where the Registered Securities of each series may be presented for payment, where the Securities of each
series may be presented for exchange as is provided in this Indenture and, if applicable, pursuant to Section 2.4 and where the Registered Securities of each series ma be presented for registration of transfer as in this Indenture provided.

  
 The Company will maintain one or more offices or agencies in a
city or cities located outside the United States (including any city in which such an agency is required to be 
  

 29 

 maintained under the rules of any stock exchange on which the Securities of such series are listed) where the
Unregistered Securities, if any, of each series and Coupons, if any, appertaining thereto may be presented for payment. No payment on any Unregistered Security or Coupon will be made upon presentation of suc Unregistered Security or Coupon at an
agency of the Company within the United States nor will any payment be made by transfer to an account in, or by mail to an address in, the United States unless pursuant to applicable United States laws and regulations then in effect such payment can
be made without tax consequences adverse to the Company. Notwithstanding the foregoing, payments in Dollars of Unregistered Securities of any series and Coupons appertaining thereto which are payable in Dollars may be made at an agency of the
Company maintained in the Borough of Manhattan, The City of New York if such payment in Dollars at each agency maintained by the Company outside the United States for payment on such Unregistered Securities is illegal or effectively precluded by
exchange controls or other similar restrictions. 
  
 The Company
will maintain in the Borough of Manhattan, The City of New York, an office or agency where notices and demands to or upon the Company in respect of the Securities of any series, the Coupons appertaining thereto or this Indenture may be served.

  
 The Company will give to the Trustee written notice of the
location of each such office or agency and of any change of location thereof. In case the Company shall fail to maintain any agency required by this Section to be located in the Borough of Manhattan, The City of New York, or shall fail to give such
notice of the location or for any change in the location of any of the above agencies, presentations and demands may be made and notices may be served at the Corporate Trust Office of the Trustee. 
  
 The Company may from time to time designate one or more additional offices or
agencies where the Securities of a series and any Coupons appertaining thereto may be presented for payment, where the Securities of that series may be presented for exchange as provided in this Indenture and pursuant to Section 2.4 and where the
Registered Securities of that series may be presented for registration of transfer as in this Indenture provided, and the Company may from time to time rescind any such designation, as the Company may deem desirable or expedient; provided, that no
such designation or rescission shall in any manner relieve the Company of its obligations to maintain the agencies provided for in this Section. The Company shall give to the Trustee prompt written notice of any such designation or rescission
thereof. 
  
 SECTION 3.3 Appointment to Fill a
Vacancy in Office of Trustee. 
  
 The Company, whenever necessary
to avoid or fill a 
  

 30 

 vacancy in the office of Trustee, will appoint, in the manner provided in Section 6.10, a Trustee, so that there shall at
all times be a Trustee with respect to each series of Securities hereunder. 
  
 SECTION 3.4 Paying Agents. 
  
 Whenever the Company shall appoint a Paying Agent other than the Trustee with respect to the Securities of any series, it will cause such Paying Agent to execute and deliver to the Trustee an instrument in which such agent shall agree with
the Trustee, subject to the provisions of this Section, 
  
 (a) that it will hold all sums received by it as such agent for the payment of the principal of or interest on the Securities of such series (whether such sums have been paid to it by the Company or by any other
obligor on the Securities of such series) in trust for the benefit of the Holders of the Securities of such series, or Coupons appertaining thereto, if any, or of the Trustee; 
  
 (b) that it will give the Trustee notice of any failure by the Company (or by any other obligor on the
Securities of such series) to make any payment of the principal of or interest on the Securities of such series when the same shall be due and payable; and 
  
 (c) that it will pay any such sums so held in trust by it to the Trustee upon the Trustee’s written request at any time during the
continuance of the failure referred to in the foregoing clause (b). 
  
 The Company will, on or prior to each due date of the principal of or interest on the Securities of such series, deposit with the Paying Agent a sum sufficient to pay such principal or interest so becoming due, and (unless such Paying Agent
is the Trustee) the Company will promptly notify the Trustee of any failure to take such action. 
  
 If the Company shall act as its own Paying Agent with respect to the Securities of any series, it will, on or before each due date of the principal of or
interest on the Securities of such series, set aside, segregate and hold in trust for the benefit of the Holders of the Securities of such series or the Coupons appertaining thereto a sum sufficient to pay such principal or interest so becoming due.
The Company will promptly notify the Trustee of any failure to take such action. 
  
 Anything in this Section to the contrary notwithstanding, but subject to Section 10.1, the Company may at any time, for the purpose of obtaining a satisfaction and discharge with respect to one or more or all series
of Securities hereunder, or for any other reason, pay or cause to be paid to the Trustee all sums held in trust for any such series by the Company or any Paying Agent hereunder, as required by this Section, such sums to be held by the Trustee upon
the trusts herein contained. 
  

 31 

 Anything in this Section to the contrary notwithstanding, the agreement to hold sums in trust as provided
in this Section is subject to the provisions of Sections 10.3 and 10.4. 
  
 SECTION 3.5 Compliance Certificates. 
  
 The Company will furnish to the Trustee on or before January 31 in each year (beginning with January 31, 1999) a brief certificate (which need not comply with Section 11.5) from the principal executive, financial or accounting officer of
the Company stating that in the course of the performance by the signer of his or her duties as an officer of the Company he or she would normally have knowledge of any default or non-compliance by the Company in the performance of any covenants or
conditions contained in this Indenture, stating whether or not he or she has knowledge of any such default or non-compliance and, if so, describing each such default or non- compliance of which the signer has knowledge and the nature thereof.

  
 SECTION 3.6 Corporate Existence. 

 
 Subject to Article 9, the Company will do or cause to be done all things
necessary to preserve and keep in full force and effect its corporate existence and the rights (charter and statutory), licenses and franchises of the Company and its Subsidiaries; provided, that the Company shall not be required to preserve any
such right, license or franchise, if, in the judgment of the Company, the preservation thereof is no longer desirable in the conduct of the business of the Company and its Subsidiaries taken as a whole and the loss thereof is not disadvantageous in
any material respect to the Securityholders. 
  
 SECTION 3.7 Maintenance of Properties. 
  
 The Company
will cause all properties used in or useful in the conduct of its business or the business of any Subsidiary to be maintained and kept in good condition, repair, and working order and supplied with all necessary equipment and will cause to be made
all necessary repairs, renewals, replacements, betterments and improvements thereof, all as in the judgment of the Company may be necessary, so that the business carried on in connection therewith may be properly and advantageously conducted at all
time except to the extent that the Company may be prevented from so doing by circumstances beyond its control; provided, that nothing in this Section shall prevent the Company from discontinuing the operation or maintenance of any of such
properties, or disposing of any of them, if such discontinuance or disposal is, in the judgment of the Company desirable in the conduct of the business of the Company or any Subsidiary and not disadvantageous in any material respect to the
Securityholders. 
  

 32 

 SECTION 3.8 Payment of Taxes and Other Claims. 
  
 The Company will pay or discharge or cause to be paid or discharged, before
the same shall become delinquent: (a) all taxes, assessments and governmental charges levied or imposed upon the Company or any Subsidiary or upon the income, profits or property of the Company or any Subsidiary; and (b) all lawful claims for labor,
materials, and supplies, which, if unpaid, might by law become a lien upon the property of the Company or any Subsidiary; provided, that the Company shall not be required to pay or discharge or cause to be paid or discharged any such tax,
assessment, charge or claim whose amount, applicability or validity is being contested in good faith by appropriate proceedings; and provided further that the Company shall not be required to cause to be paid or discharged any such tax, assessment,
charge or claim if the Company shall determine that such payment is not advantageous to the conduct of the business of the Company and its Subsidiaries taken as a whole and that the failure so to pay or discharge is not disadvantageous in any
material respect to the Securityholders. 
  
 SECTION 3.9 Luxembourg Publications. 
  
 In the event of
the publication of any notice pursuant to Section 5.15, 6.11(a), 6.12, 8.2, 10.4 or 13.2, the party making such publication in the Borough of Manhattan, The City of New York and London shall also, to the extent that notice is required to be given to
Holders of Securities of any series by applicable Luxembourg law or stock exchange regulation, as evidenced by an Officer’s Certificate delivered to such party, make a similar publication in Luxembourg. 
  
 SECTION 3.10 Usury Laws. 
  
 The Company covenants and agrees: (a) not to insist upon, or plead, or in
any manner whatsoever claim the benefit or the advantage of the usury law of any jurisdiction against the Trustee or the Holders in connection with any claim, action or proceeding which may be brought by the Trustee or the Holders in order to
enforce any right or remedy under this Indenture; and (b) to resist any and all efforts to compel the Company to claim the benefit or the advantage of the usury law of any jurisdiction against the Trustee or the Holders in connection with any claim,
action or proceeding which may be brought by the Trustee or the Holders in order to enforce any right or remedy under this Indenture. 
  

 33 

 ARTICLE 4 
  
 SECURITYHOLDER LISTS AND REPORTS BY THE 
 COMPANY AND THE TRUSTEE 
  
 SECTION 4.1
Company to Furnish Trustee Information as to Names and Addresses of Securityholders. 
  
 If and so long as the Trustee shall not be the Security Registrar for the Securities of any series, the Company and any other obligor on the Securities will furnish or cause to be furnished to the Trustee a list in
such form as the Trustee may reasonably require of the names and addresses of the Holders of the Registered Securities of such series pursuant to Section 312 of the Trust Indenture Act: 
  
 (a) semi-annually not more than 15 days after each Regular Record Date for the payment of interest on such
Registered Securities, as hereinabove specified, as of such record date and on dates to be determined pursuant to Section 2.4 for non-interest bearing Registered Securities in each year; and 
  
 (b) at such other times as the Trustee may reasonably
request in writing, within thirty days after receipt by the Company of any such request as of a date not more than 15 days prior to the time such information is furnished. 
  
 SECTION 4.2 Preservation of Information; Communications to Holders. 
  
 (a) The Trustee shall preserve, in as current a form as is
reasonably practicable, the names and addresses of Holders contained in the most recent list furnished to the Trustee as provided in Section 4.1 and the names and addresses of Holders received by the Trustee in its capacity as Security Registrar.
The Trustee may destroy any list furnished to it as provided in Section 4.1 upon receipt of a new list so furnished. 
  
 (b) The rights of Holders to communicate with other Holders with respect to their rights under this Indenture or under the Securities, and
the corresponding rights and duties of the Trustee, shall be as provided by the Trust Indenture Act. 
  
 (c) Every Holder of Securities, by receiving and holding the same, agrees with the Company and the Trustee that neither the Company nor
the Trustee nor any agent of either of them shall be held accountable by reason of any disclosure of information as to names and addresses of Holders made pursuant to the Trust Indenture Act. 
  

 34 

 SECTION 4.3 Reports by Trustee. 
  
 (a) The Trustee shall transmit to Holders such reports
concerning the Trustee and its actions under this Indenture as may be required pursuant to the Trust Indenture Act at the times and in the manner provided pursuant thereto. 
  
 (b) A copy of each such report shall, at the time of such transmission to Holders, be filed by the Trustee
with each stock exchange upon which the Securities are listed, with the Commission and with the Company. The Company will notify the Trustee when the Securities are listed on any stock exchange. 
  
 SECTION 4.4 Reports by Company. 
  
 The Company shall file with the Trustee and the Commission, and transmit to
Holders, such information, documents and other reports, and such summaries thereof, as may be required pursuant to the Trust Indenture Act at the times and in the manner provided pursuant to such Act; provided that any such information, documents or
reports required to be filed with the Commission pursuant to Section 13 or 15(d) of the Exchange Act, shall be filed with the Trustee within 15 days after the same is so required to be filed with the Commission. 
  
 ARTICLE 5 
  
 REMEDIES OF THE TRUSTEE AND SECURITYHOLDERS 
 ON EVENT OF DEFAULT 
  
 SECTION 5.1 Event of Default Defined, Acceleration of Maturity; Waiver of Default. 
  
 “Event of Default” with respect to Securities of any series, wherever used herein, means each one of the following events which shall have occurred and be continuing (whatever the reason for such Event of
Default and whether it shall be voluntary or involuntary or be effected by operation of law or pursuant to any judgment, decree or order of any court or any order, rule or regulation of any administrative or governmental body): 
  
 (a) default in the payment of any installment of interest
upon any of the Securities of such series as and when the same shall become due and payable, and continuance of such default for a period of 30 days; or 
  

 35 

 (b) default in the payment of all or any part of the principal, or any premium, on any of
the Securities of such series as and when the same shall become due and payable either at Maturity, upon any redemption, by declaration or otherwise; or 
  
 (c) default in the payment of any sinking fund installment as and when the same shall become due and payable by the terms of the
Securities of such series; or 
  
 (d) failure on
the part of the Company duly to observe or perform any other of the covenants or agreements on the part of the Company in the Securities of such series or contained in this Indenture (other than a covenant or agreement included in this Indenture
solely for the benefit of a series of Securities other than such series) for a period of 60 days after the date on which written notice specifying such failure, stating that such notice is a “Notice of Default” hereunder and demanding that
the Company remedy the same, shall have been given by registered or certified mail, return receipt requested, to the Company by the Trustee, or to the Company and the Trustee by the holders of at least 25% in aggregate principal amount of the
Outstanding Securities of the series to which such covenant or agreement relates; or 
  
 (e) default under any bond, debenture, note or other evidence of indebtedness for money borrowed by the Company or any Subsidiary or 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 Subsidiary, whether such indebtedness now exists or shall hereafter be
created, if (i) such default results in such indebtedness becoming or being declared due and payable prior to the date on which it would otherwise become due and payable, (ii) the principal amount of such indebtedness, together with the principal
amount of any other such indebtedness which has been so accelerated, aggregates $25,000,000 or more at any one time outstanding and (iii) such indebtedness is not discharged, or such acceleration is not rescinded or annulled, within a period of 10
days after there shall have been given to the Company by the Trustee or to the Company and the Trustee by the Holders of at 25% in aggregate principal amount of the Securities of each such affected series then Outstanding hereunder a written notice
specifying such default and requiring the Company to cause such indebtedness to be discharged or cause such acceleration to be rescinded or annulled; or 
  
 (f) a court having jurisdiction in the premises 
  

 36 

 shall enter a decree or order for relief in respect of the Company or any Significant Subsidiary in an
involuntary case under any applicable bankruptcy, insolvency or other similar law now or hereafter in effect, or appointing a receiver, liquidator, assignee, custodian, trustee, sequestrator (or similar official) of the Company or any Significant
Subsidiary for any substantial part of its or their property or ordering the winding up or liquidation of its or their affairs, and such decree or order shall remain unstayed and in effect for a period of 60 consecutive days; or 
  
 (g) the Company or any Significant Subsidiary shall commence
a voluntary case under any applicable bankruptcy, insolvency or other similar law now or hereafter in effect, or consent to the entry of an order for relief in an involuntary case under any such law, or consent to the appointment or taking
possession by a receiver, liquidator, assignee, custodian, trustee, sequestrator (or similar official) of the Company or any Significant Subsidiary or for any substantial part of it or their property, or make any general assignment for the benefit
of creditors; or 
  
 (h) any other Event of
Default provided in the supplemental indenture, Board Resolution or Officer’s Certificate under which such series of Securities is issued or in the form of Security for such series. 
  
 SECTION 5.2 Acceleration of Maturity; Rescission and Annulment. 
  
 If an Event of Default described in clause (a), (b), (c), (d), (e) or (h) of
Section 5.1 (if the Event of Default under clause (d) or (h), as the case may be, is with respect to less than all series of Securities then Outstanding) occurs and is continuing, then, and in each and every such case, except for any series of
Securities the principal of which shall have already become due and payable, either the Trustee or the Holders of not less than 25% in aggregate principal amount of the Securities of each such affected series then Outstanding hereunder (each such
series voting as a separate class) by notice in writing to the Company (and to the Trustee if given by Securityholders), may declare the entire principal (or, if the Securities of any such affected series are Original Issue Discount Securities, such
portion of the principal amount as may be specified in the terms of such series) of all Securities of all such affected series, and the interest accrued thereon, if any, to be due and payable immediately, and upon any such declaration, the same
shall become immediately due and payable. 
  
 If an Event of
Default described in clause (d) or (h) of Section 5.1 with respect to all series of Securities then 
  

 37 

 Outstanding, or an Event of Default described in clause (f) or (g) above occurs and is continuing, then, and in each and
every such case, unless the principal of all of the Securities shall have already become due and payable, either the Trustee or the Holders of not less than 25% in aggregate principal amount of all of the Securities then Outstanding hereunder
(treated as one class) by notice in writing to the Company (and to the Trustee if given by Securityholders), may declare the entire principal (or, if the Securities of any series are Original Issue Discount Securities, such portion of the principal
amount as may be specified in the terms of such series) of all of the Securities then Outstanding, and the interest accrued thereon, if any, to be due and payable immediately, and upon such declaration, the same shall become immediately due and
payable. 
  
 The foregoing provisions are subject to the condition
that if, at any time after the principal (or, if the Securities are Original Issue Discount Securities, such portion of the principal as may be specified in the terms thereof) of the Securities of any series (or of all the Securities, as the case
may be) shall have been so declared due and payable, and before any judgment or decree for the payment of the moneys due shall have been obtained or entered as hereinafter provided, 
  
 (A) the Company shall pay or shall deposit with the Trustee a sum sufficient to pay 
  
 (i) all matured installments of interest upon all the
Securities of each such series (or all the Securities, as the case may be); and 
  
 (ii) the principal of any and all Securities of each such series (or of all the Securities, as the case may be) which shall have become
due otherwise than by acceleration; and 
  
 (iii)
interest upon such principal and, to the extent that payment of such interest is enforceable under applicable law, on overdue installments of interest, at the same rate as the rate of interest or Yield to Maturity (in the case of Original Issue
Discount Securities) specified in the Securities of each such series (or at the respective rates of interest or Yields to Maturity of all the Securities, as the case may be) to the date of such payment or deposit; and 
  
 (iv) all amounts payable to the Trustee pursuant to Section
6.6; and 
  
 (B) all Events of Default under the
Indenture, other than the non-payment of the principal of Securities which shall have become due by acceleration, shall have been cured, waived or otherwise remedied as provided herein, 
  

 38 

 then and in every such case the Holders of a majority in aggregate principal amount of all the Securities of each such
series, each such series voting as a separate class (or of all the Securities, as the case may be, voting as a single class), then Outstanding, by written notice to the Company and to the Trustee, may waive all defaults with respect to each such
series (or with respect to all the Securities, as the case may be) and rescind and annul such declaration and its consequences, but no such waive or rescission and annulment shall extend to or shall affect any subsequent default or shall impair any
right consequent thereon. 
  
 For all purposes under this
Indenture, if a portion of the principal of any Original Issue Discount Securities shall have been accelerated and declared due and payable pursuant to the provisions hereof, then, from and after such declaration, unless such declaration has been
rescinded and annulled, the principal amount of such Original Issue Discount Securities shall be deemed, for all purposes hereunder, to be such portion of the principal thereof as shall be due and payable as a result of such acceleration, and
payment of such portion of the principal thereof as shall be due and payable as a result of such acceleration, together with interest, if any, thereon and all other amounts owing thereunder, shall constitute payment in full of such Original Issue
Discount Securities. 
  
 SECTION 5.3 Collection
of Indebtedness by Trustee; Trustee May Prove Debt . 
  
 The
Company covenants that (a) in case default shall be made in the payment of any installment of interest on any of the Securities of any series when such interest shall have become due and payable, and such default shall have continued for a period of
30 days, or (b) in case default shall be made in the payment of all or any part of the principal of any of the Securities of any series when the same shall have become due and payable, whether upon Maturity of the Securities of such series or upon
any redemption or by declaration or otherwise, then upon demand of the Trustee, the Company will pay to the Trustee for the benefit of the Holders of the Securities of such series the whole amount that then shall have become due and payable on all
Securities of such series, and such Coupons, for principal and interest, as the case may be (with interest to the date of such payment upon the overdue principal and, to the extent that payment of such interest is enforceable under applicable law,
on overdue installments of interest at the same rate as the rate of interest or Yield to Maturity (in the case of Original Issue Discount Securities) specified in the Securities of such series); and in addition thereto, such further amount as shall
be sufficient to cover the costs and expenses of collection, and such other amount due the Trustee under Section 6.6 in respect of Securities of such series. 
  
 Until such demand is made by the Trustee, the Company may pay the principal of and interest on the Securities of any series to the registered Holders,
whether or not the Securities of such series be overdue. 
  

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 SECTION 5.4 Trustee May File Proofs of Claims. 
  
 In case the Company shall fail forthwith to pay such amounts upon such
demand, the Trustee, in its own name as trustee of an express trust, shall be entitled and empowered to institute any action or proceedings at law or in equity for the collection of the sums so due and unpaid, and may prosecute any such action or
proceedings to judgment or final decree, and may enforce any such judgment or final decree against the Company or other obligor upon the Securities and collect in the manner provided by law out of the property of the Company or other obligor upon
the Securities, wherever situated, all the moneys adjudged or decreed to be payable. 
  
 In case there shall be pending proceedings relative to the Company or any other obligor upon the Securities under Title 11 of the United States Code or any other applicable Federal or state bankruptcy, insolvency or
other similar law, or in case a receiver, assignee or trustee in bankruptcy or reorganization, liquidator, sequestrator or similar official shall have been appointed for or taken possession of the Company or its property or such other obligor, or in
case of any other comparable judicial proceedings relative to the Company or other obligor upon the Securities, or to the creditors or property of the Company or such other obligor, the Trustee, irrespective of whether the principal of the
Securities shall then be due and payable as therein expressed or by declaration or otherwise and irrespective of whether the Trustee shall have made any demand pursuant to the provisions of this Section, shall be entitled and empowered, by
intervention in such proceedings or otherwise: 
  
 (a) to file and prove a claim or claims for the whole amount of principal and interest (or, if the Securities of any series are Original Issue Discount Securities, such portion of the principal amount as may be specified in the terms of
such series) owing and unpaid in respect of the Securities of any series, and to file such other papers or documents as may be necessary or advisable in order to have the claims of the Trustee (including any claim for amounts payable to the Trustee
under Section 6.6) and of the Securityholders allowed in any judicial proceedings relative to the Company or other obligor upon the Securities, or to the creditors or property of the Company or such other obligor; and 
  
 (b) unless prohibited by applicable law and regulations, to
vote on behalf of the holders of the Securities of any series in any election of a receiver, assignee, trustee or a standby trustee in arrangement, reorganization, liquidation or other bankruptcy or insolvency proceedings, custodian or other person
performing similar functions in respect of any such proceedings; and 
  

 40 

 (c) to collect and receive any moneys or other property payable or deliverable on any
such claims, and to distribute all amounts received with respect to the claims of the Securityholders and of the Trustee on their behalf; and any trustee, receiver, or liquidator, custodian or other similar official performing similar functions in
respect of any such proceedings is hereby authorized by each of the Securityholders to make payments to the Trustee, and, in the event that the Trustee shall consent to the making of payments directly to the Securityholders, to pay to the Trustee
its costs and expenses of collection and all other amounts due to it pursuant to Section 6.6. 
  
 Nothing herein contained shall be deemed to authorize the Trustee to authorize or consent to or vote for or accept or adopt on behalf of any Securityholder any plan of reorganization, arrangement, adjustment or
composition affecting the Securities of any series or the rights of any Holder thereof, or to authorize the Trustee to vote in respect of the claim of any Securityholder in any such proceeding, except as aforesaid in clause (b). 
  
 SECTION 5.5 Trustee May Enforce Claims Without Possession of Securities. 
  
 All rights of action and of asserting claims under this Indenture, or under
any of the Securities of any series or Coupons appertaining to such Securities, may be enforced by the Trustee without the possession of any of the Securities of such series or Coupons appertaining to such Securities or the production thereof in any
trial or other proceedings relative thereto, and any such action or proceedings instituted by the Trustee shall be brought in its own name as trustee of an express trust, and any recovery of judgment shall be awarded to the Trustee for ratable
distribution to the Holders of the Securities or Coupons appertaining to such Securities in respect of which such action was taken, after payment of all sums due to the Trustee under Section 6.6 in respect of such Securities. 
  
 In any proceedings brought by the Trustee (and also any proceedings involving
the interpretation of any provision of this Indenture to which the Trustee shall be a party) the Trustee shall be held to represent all the Holders of the Securities or Coupons appertaining to such Securities in respect to which such action was
taken, and it shall not be necessary to make any Holders of such Securities or Coupons appertaining to such Securities parties to any such proceedings. 
  

 41 

 SECTION 5.6 Application of Proceeds. 
  
 Any moneys collected by the Trustee pursuant to this Article in respect of any series shall be applied in the following
order at the date or dates fixed by the Trustee and, in case of the distribution of such moneys on account of principal or interest, upon presentation of the several Securities and Coupons appertaining to such Securities in respect of which monies
have been collected and stamping (or otherwise noting) thereon the payment, or issuing Securities of such series in reduced principal amounts in exchange for the presented Securities of like series if only partially paid, or upon surrender thereof
if fully paid: 
  
 FIRST: To the payment of costs
and expenses applicable to such series of Securities in respect of which monies have been collected, including all amounts due to the Trustee and each predecessor Trustee pursuant to Section 6.6 in respect to such series of Securities; 

 
 SECOND: In case the principal of the Securities of such
series in respect of which moneys have been collected shall not have become and be then due and payable, to the payment of interest on the Securities of such series in default in the order of the Maturity of the installments on such interest, with
interest (to the extent that such interest has been collected by the Trustee and is permitted by applicable law) upon the overdue installments of interest at the same rate as the rate of interest or Yield to Maturity (in the case of Original Issue
Discount Securities) specified in such Securities, such payments to be made ratably to the persons entitled thereto, without discrimination or preference; 
  
 THIRD: In case the principal of the Securities of such series in respect of which moneys have been collected shall have become and shall
be then due and payable, to the payment of the whole amount then owing and unpaid upon all the Securities of such series for principal and interest, with interest upon the overdue principal, and (to the extent that such interest has been collected
by the Trustee and is permitted by applicable law) upon the overdue installments of interest at the same rate as the rate of interest or Yield to Maturity (in the case of Original Issue Discount Securities) specified in the Securities of such
series; and in case such moneys shall be insufficient to pay in full the whole amount so due and unpaid upon the Securities of such series, then to the payment of such principal and interest or Yield to Maturity, without preference or priority of
principal over interest or Yield to Maturity, or of interest or Yield to Maturity over principal, or of any 
  

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 installment of interest over any other installment of interest or of any Security of such series over any
other Security of such series, ratably to the aggregate of such principal and accrued and unpaid interest or Yield to Maturity; and 
  
 FOURTH: To the payment of the remainder, if any, to the Company or any other person lawfully entitled thereto. 
  
 SECTION 5.7 Suits for Enforcement. 
  
 In case an Event of Default has occurred, has not been waived and is
continuing, the Trustee may in its discretion proceed to protect and enforce the rights vested in it by this Indenture by such appropriate judicial proceedings as the Trustee shall deem most effectual to protect and enforce any of such rights,
either at law or in equity or in bankruptcy or otherwise, whether for the specific enforcement of any covenant or agreement contained in this Indenture or in aid of the exercise o any power granted in this Indenture or to enforce any other legal or
equitable right vested in the Trustee by this Indenture or by law. 
  
 SECTION 5.8
Limitations on Suits by Security Holders. 
  
 No Holder of any
Security of any series or of any Coupon appertaining thereto shall have any right by virtue or by availing of any provision of this Indenture to institute any action or proceeding at law or in equity or in bankruptcy or otherwise upon or under or
with respect to this Indenture or such Security, or for the appointment of a trustee, receiver, liquidator, custodian or other similar official or for any other remedy hereunder or thereunder, unless (a) such Holder previously shall have given to
the Trustee written notice of an Event of Default with respect to Securities of such series and of the continuance thereof, as hereinbefore provided, and (b) the Holders of not less than 25% in aggregate principal amount of the Securities of such
affected series then Outstanding (treated as a single class) shall have made written request upon the Trustee to institute such action or proceedings in its own name as Trustee hereunder and shall have offered to the Trustee such reasonable
indemnity as it may require against the costs, expenses and liabilities to be incurred therein or thereby, and (c) the Trustee for 60 days after its receipt of such notice, request and offer of indemnity shall have failed to institute any such
action or proceeding, and (d) no direction inconsistent with such written request shall have been given to the Trustee pursuant to Section 5.13; it being understood and intended, and being expressly covenanted by the taker and Holder of every
Security or Coupon with every other taker and Holder and the Trustee, that no one or more Holders of Securities of any series or Coupons appertaining to such Securities shall have any right in any manner whatever by virtue or by availing of any

  

 43 

 provision of this Indenture or any Security to affect, disturb or prejudice the rights of any other such taker or Holder
of Securities or Coupons appertaining to such Securities, or to obtain or seek to obtain priority over or preference to any other such taker or Holder or to enforce any right under this Indenture or any Security, except in the manner herein provided
and for the equal, ratable and common benefit of all Holders of Securities of the applicable series and Coupons appertaining to such Securities. For the protection and enforcement of the provisions of this Section, each and every Securityholder and
the Trustee shall be entitled to such relief as can be given either at law or in equity. 
  
 SECTION 5.9 Unconditional Right of Securityholders to Institute Certain Suits. 
  
 Notwithstanding any other provision in this Indenture and any provision of any Security, the right of any Holder of any Security or Coupon to receive
payment of the principal of and interest on such Security or Coupon on or after the respective due dates expressed in such Security or Coupon or the applicable redemption dates provided for in such Security, to convert such Securities of any series
in accordance with terms that may be established pursuant to Section 2.3, or to institute sui for the enforcement of any such payment on or after such respective dates, shall not be impaired or affected without the consent of such Holder.

  
 SECTION 5.10 Restoration of Rights on Abandonment of Proceedings. 

 
 In case the Trustee shall have proceeded to enforce any right under this
Indenture and such proceedings shall have been discontinued or abandoned for any reason, or shall have been determined adversely to the Trustee, then and in every such case the Company and the Trustee shall be restored respectively to their former
positions and rights hereunder, and all rights, remedies and powers of the Company, the Trustee and the Securityholders shall continue as though no such proceedings had been taken. 
  
 SECTION 5.11 Powers and Remedies Cumulative; Delay or Omission Not Waiver of Default. 
  
 Except as provided in Section 5.8, no right or remedy herein conferred upon
or reserved to the Trustee or to the Holders of Securities or Coupons is intended to be exclusive of any other right or remedy and every right and remedy shall, to the extent permitted by law, be cumulative and in addition to every other right and
remedy given hereunder or now or hereafter existing at law or in equity or otherwise. The assertion or employment of any right or remedy hereunder, or otherwise, shall not prevent the concurrent assertion or employment of any other appropriate right
or remedy. 
  

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 SECTION 5.12 Delay or Omission Not Waiver. 
  
 No delay or omission of the Trustee or of any Holder of Securities or Coupons to exercise any right or power accruing upon
any Event of Default occurring and continuing as aforesaid shall impair any such right or power or shall be construed to be a waiver of any such Event of Default or an acquiescence therein. Every power and remedy given by this Indenture, any
Security or law to the Trustee or to the Holders of Securities or Coupons may be exercised from time to time, and as often as shall be deemed expedient, by the Trustee or, subject to Section 5.8, by the Holders of Securities or Coupons. 

 
 SECTION 5.13 Control by Holders of Securities. 
  
 The Holders of a majority in aggregate principal amount of the Securities of
each series affected (with each such series voting as a separate class) at the time Outstanding shall have the right to direct the time, method, and place of conducting any proceeding for any remedy available to the Trustee, or exercising any trust
or power conferred on the Trustee with respect to the Securities of such series by this Indenture; provided, that such direction shall not be otherwise than in accordance with law and the provisions of this Indenture and provided, further, that
(subject to the provisions of Section 6.1) the Trustee shall have the right to decline to follow any such direction if (a) the Trustee, being advised by counsel, shall determine that the action or proceeding so directed may not lawfully be taken; or
(b) if the Trustee by its board of directors, the executive committee, or a trust committee of directors or Responsible Officers of the Trustee shall determine in good faith that the action or proceedings so directed would involve the Trustee in
personal liability; or (c) if the Trustee in good faith shall so determine that the actions or forbearances specified in or pursuant to such direction would be unduly prejudicial to the interests of Holders of the Securities of all affected series
not joining in the giving of said direction, it being understood that (subject to Section 6.1) the Trustee shall have no duty to ascertain whether or not such actions or forbearances are unduly prejudicial to such Holders. 
  
 Nothing in this Indenture shall impair the right of the Trustee in its
discretion to take any action deemed proper by the Trustee and which is not inconsistent with such direction or directions by Securityholders. 
  

 45 

 SECTION 5.14 Waiver of Past Defaults. 
  
 Prior to the declaration of acceleration of the Maturity of any Securities as provided in Section 5.2, the Holders of a
majority in aggregate principal amount of the Securities of such series (each series voting as a separate class) at the time Outstanding with respect to which an Event of Default shall have occurred and be continuing (voting as a single class) may
on behalf of the Holders of all such Securities waive any past default or Event of Default described in Section 5.1 and its consequences, except a default in respect of a covenant or provision hereof which cannot be modified or amended without the
consent of the Holder of each Security affected. In the case of any such waiver, the Company, the Trustee and the Holders of all such Securities shall be restored to their former positions and rights hereunder, respectively, and such default shall
cease to exist and be deemed to have been cured and not to have occurred for purposes of this Indenture; but no such waiver shall extend to any subsequent or other default or impair any right consequent thereon. 
  
 SECTION 5.15 Trustee to Give Notice of Default, But May Withhold in Certain Circumstances.

  
 The Trustee shall, within 90 days after the occurrence of a
default with respect to the Securities of any series, give notice of all defaults with respect to that series known to the Trustee (i) if any Unregistered Securities of that series are then Outstanding, to the Holders thereof, by publication at
least once in an Authorized Newspaper in the Borough of Manhattan, The City of New York and at least once in an Authorized Newspaper in London (and, if required by Section 3.9, at least once in an Authorized Newspaper in Luxembourg) and (ii) to all
Holders of Securities of such series in the manner and to the extent provided in Section 313(c) of the Trust Indenture Act, unless in each case such defaults shall have been cured before the mailing or publication of such notice (the term
“default” for the purpose of this Section being hereby defined to mean any event or condition which is, or with notice or lapse of time or both would become, an Event of Default); provided, that, except in the case of default in the
payment of the principal of or interest on any of the Securities of such series, or in the payment of any sinking fund installment on such series, the Trustee shall be protected in withholding such notice if and so long as the board of directors,
the executive committee, or a trust committee of directors or trustees and/or Responsible Officers of the Trustee in good faith determines that the withholding of such notice is in the interests of the Securityholders of such series. 
  
 SECTION 5.16 Right of Court to Require Filing of Undertaking to Pay Costs. 
  
 All parties to this Indenture agree, and each Holder of any Security or
Coupon by his acceptance thereof shall be deemed to have agreed, that any court may in its discretion 
  

 46 

 require, 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, suffered or omitted by it as Trustee, the filing by any party litigant in such suit of an undertaking to pay the costs of such suit, and that such court may in its discretion assess reasonable costs, including reasonable
attorneys’ fees, against any party litigant in such suit, having due regard to the merits and good faith of the claims or defenses made by such party litigant; but the provisions of this Section shall not apply to any suit instituted by the
Trustee, to any suit instituted by any Securityholder or group of Securityholders of any series holding in the aggregate more than 10% in aggregate principal amount of the Securities of such series, or, in the case of any suit relating to or arising
under clause (d) or (h) of Section 5.1 (if the suit relates to Securities of more than one but less than all series), 10% in aggregate principal amount of Securities then Outstanding and affected thereby, or in the case of any suit relating to or
arising under clause (d) or (h) (if the suit under clause (d) or (h) relates to all the Securities then Outstanding), (f) or (g) of Section 5.1, 10% in aggregate principal amount of all Securities then Outstanding, or to any suit instituted by any
Securityholder for the enforcement of the payment of the principal of or interest on any Security on or after the due date expressed in such Security or any date fixed for redemption. 
  
 SECTION 5.17 Waiver of Stay or Extension Laws. 
  
 The Company covenants (to the extent that it may lawfully do so) that it will not at any time insist upon, or plead, or in any manner whatsoever claim or
take the benefit or advantage of, any stay or extension law wherever enacted, now or at any time hereafter in force, which may affect the covenants or the performance of this Indenture; and the Company (to the extent that it may lawfully do so)
hereby expressly waives all benefit or advantage of any such law and covenants that it will not hinder delay or impede the execution of any power herein granted to the Trustee, but will suffer and permit the execution of every such power as though
no such law had been enacted. 
  
 ARTICLE 6 
  
 CONCERNING THE TRUSTEE 
  
 SECTION 6.1 Duties and Responsibilities of the Trustee; During Default; Prior to Default.

  
 Prior to the occurrence of an Event of Default with respect
to the Securities of a particular series and after the curing or waiving of all Events of Default which may have occurred with respect to such series, the Trustee undertakes to perform such duties and only such duties as are specifically set

  

 47 

 forth in this Indenture with respect to such series of Securities. In case an Event of Default with respect to the
Securities of a series has occurred and has not been cured or waived, the Trustee shall exercise with respect to such series of Securities such of the rights and powers vested in it by this Indenture with respect to such series of Securities, and
use the same degree of care and skill in their exercise, as a prudent man would exercise or use under the circumstances in the conduct of his own affairs. 
  
 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 
  
 (a)
prior to the occurrence of an Event of Default with respect to the Securities of any series and after the curing or waiving of all such Events of Default with respect to such series which may have occurred: 
  
 (i) the duties and obligations of the Trustee with respect
to the Securities of any series shall be determined solely by the express provisions of this Indenture, and the Trustee shall not be liable except for the performance of such duties and obligations as are specifically set forth in this Indenture,
and no implied covenants or obligations shall be read into this Indenture against the Trustee; and 
  
 (ii) in the absence of bad faith on the part of the Trustee, the Trustee may conclusively rely, as to the truth of the statements and the
correctness of the opinions expressed therein, upon any statements, certificates or opinions furnished to the Trustee and conforming to the requirements of this Indenture; but in the case of any such statements, certificates or opinions which by any
provision hereof are specifically required to be furnished 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; 
  
 (b) the Trustee shall not be liable for any error of
judgment made in good faith by a Responsible Officer or Responsible Officers of the Trustee, unless it shall be proved that the Trustee was negligent in ascertaining the pertinent facts; and 
  
 (c) the Trustee shall not be liable with respect to any
action taken or omitted to be taken by it in good faith in accordance with the direction of the Holders pursuant to Section 5.13 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. 
  

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 None of the provisions contained in this Indenture shall require the Trustee to expend or risk its own
funds or otherwise incur personal financial liability in the performance of any of its duties or in the exercise of any of its rights or powers, if there shall be reasonable ground for believing that the repayment of such funds or adequate indemnity
against such liability is not reasonably assured to it. 
  
 The
provisions of this Section 6.1 are in furtherance of and subject to Section 315 of the Trust Indenture Act. 
  
 SECTION 6.2 Certain Rights of the Trustee. 
  
 In furtherance of and subject to the Trust Indenture Act, and subject to Section 6.1: 
  
 (a) the Trustee may rely and shall be protected in acting or refraining from acting upon any resolution, Officer’s Certificate or any
other certificate, statement, instrument, opinion, report, notice, request, consent, order, bond, debenture, note, coupon, security or other paper or document believed by it to be genuine and to have been signed or presented by the proper party or
parties; 
  
 (b) any request, direction, order or
demand of the Company mentioned herein shall be sufficiently evidenced by an Officer’s Certificate (unless other evidence in respect thereof is specifically prescribed herein or in the terms established in respect of any series); and any
resolution of the Board of Directors may be evidenced to the Trustee by a copy thereof certified by the secretary or an assistant secretary of the Company; 
  
 (c) the Trustee may consult with counsel and any written advice or any Opinion of Counsel shall be full and complete authorization and
protection in respect of any action taken, suffered or omitted to be taken by it hereunder in good faith and in reliance thereon in accordance with such advice or Opinion of Counsel; 
  
 (d) the Trustee shall be under no obligation to exercise any of the trusts or powers vested in it by this
Indenture at the request, order or direction of any of the Securityholders pursuant to the provisions of this Indenture, unless such Securityholders shall have offered to the Trustee reasonable security or indemnity against the costs, expenses and
liabilities which might be incurred therein or thereby; 
  

 49 

 (e) the Trustee shall not be liable for any action taken or omitted by it in good faith
and believed by it to be authorized or within the discretion, rights or powers conferred upon it by this Indenture; 
  
 (f) prior to the occurrence of an Event of Default hereunder and after the curing or waiving of all Events of Default, 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, consent, order, approval, appraisal, bond, debenture, note, coupon, security, or other
paper or document unless requested in writing so to do by the Holders of not less than a majority in aggregate principal amount of the Securities of all series affected then Outstanding; provided, that, if the payment within a reasonable time to the
Trustee of the costs, expenses or liabilities likely to be incurred by it in the making of such investigation is, in the opinion of the Trustee, not reasonably assured to the Trustee by the security afforded to it by the terms of this Indenture, the
Trustee may require reasonable indemnity against such expenses or liabilities as a condition to proceeding; the reasonable expenses of every such investigation shall be paid by the Company or, if paid by the Trustee or any predecessor trustee, shall
be repaid by the Company upon demand; and 
  
 (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 not regularly in its employ and the Trustee shall not be responsible for any misconduct or negligence
on the part of any such agent or attorney appointed with due care by it hereunder. 
  
 SECTION 6.3 Trustee Not Responsible for Recitals, Disposition of Securities or Application of Proceeds Thereof. 
  
 The recitals contained herein and in the Securities, except the Trustee’s certificates of authentication, shall be taken as the statements of the
Company, and the Trustee assumes no responsibility for the correctness of the same. The Trustee makes no representation as to the validity or sufficiency of this Indenture or of the Securities or Coupons. The Trustee shall not be accountable for the
use or application by the Company of any of the Securities or of the proceeds thereof. 
  

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 SECTION 6.4 Trustee and Agents May Hold Securities or Coupons; Collections, Etc. 
  
 The Trustee or any agent of the Company or of the Trustee, in its individual
or any other capacity, may become the owner or pledgee of Securities or Coupons with the same rights it would have if it were not the Trustee or such agent and may otherwise deal with the Company and receive, collect, hold and retain collections
from the Company with the same rights it would have if it were not the Trustee or such agent. 
  
 SECTION 6.5 Moneys Held by Trustee. 
  
 Subject to the provisions of Section 10.4 hereof, all moneys received by the Trustee shall, until used or applied as herein provided, be held in trust for the purposes for which they were received, but need not be segregated from other
funds except to the extent required by mandatory provisions of law. Neither the Trustee nor any agent of the Company or the Trustee shall be under any liability for interest on any moneys received by it hereunder. 
  
 SECTION 6.6 Compensation and Indemnification of Trustee and Its Prior Claim. 
  
 The Company covenants and agrees to pay to the Trustee from time to time,
and the Trustee shall be entitled to reasonable compensation (which shall not be limited by any provision of law in regard to the compensation of a trustee of an express trust) and the Company covenants and agrees to pay or reimburse the Trustee and
each predecessor trustee upon its request for all reasonable expense, disbursements and advances incurred or made by or on behalf of it in accordance with any of the provisions of this Indenture (including the reasonable compensation and the
expenses and disbursements of its counsel and of all agents and other persons not regularly in its employ) except any such expense, disbursement or advance as may arise from its negligence or bad faith. The Company also covenants to indemnify the
Trustee and each predecessor trustee for, and to hold it harmless against, any loss, liability or expense incurred without negligence or bad faith on its part, arising out of or in connection with the acceptance or administration of this Indenture
or the trusts hereunder and its duties hereunder, including the costs and expenses of defending itself against or investigating any claim of liability in the premises. The obligations of the Company under this Section to compensate and indemnify the
Trustee and each predecessor trustee and to pay or reimburse the Trustee and each predecessor trustee for expenses, disbursements and advances shall constitute additional indebtedness hereunder and shall survive the satisfaction and discharge of
this Indenture. Such additional indebtedness shall be a senior claim to that of the Securities upon all property 
  

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 and funds held or collected by the Trustee as such, except funds held in trust for the benefit of the Holders of
particular Securities or Coupons, and the Securities are hereby subordinated to such senior claim. 
  
 SECTION 6.7 Right of Trustee to Rely on Officer’s Certificate, Etc. 
  
 Subject to Sections 6.1 and 6.2, whenever in the administration of the trusts of this Indenture the Trustee shall deem it necessary or desirable that a
matter be proved or established prior to taking or suffering or omitting any action hereunder, such matter (unless other evidence in respect thereof be herein specifically prescribed) may, in the absence of negligence or bad faith on the part of the
Trustee, be deemed to be conclusively proved and established by an Officer’s Certificate delivered to the Trustee, and such certificate, in the absence of negligence or bad faith on the part of the Trustee, shall be full warrant to the Trustee
for any action taken, suffered or omitted by it under the provisions of this Indenture upon the faith thereof. 
  
 SECTION 6.8 Indentures Not Creating Potential Conflicting Interests for the Trustee. 
  
 The following indentures are hereby specifically described for the purposes of Section 310(b)(1) of the Trust Indenture Act: this Indenture with respect
to the Securities of any other series. 
  
 SECTION 6.9 Qualification of Trustee:
Conflicting Interests. 
  
 The Trustee shall comply with Section
310(b) of the Trust Indenture Act. 
  
 SECTION 6.10 Persons Eligible for
Appointment as Trustee. 
  
 The Trustee for each series of
Securities hereunder shall at all times be a corporation or banking association organized and doing business under the laws of the United States of America, any State thereof or the District of Columbia, that has (or, in the case of a corporation or
banking association included in a bank holding company system, whose related bank holding company has) a combined capital and surplus of at least $50,000,000, and which is authorized under such laws to exercise corporate trust powers and is subject
to supervision or examination by Federal, state or District of Columbia authority. If such corporation publishes reports of condition at least annually, pursuant to law or to the requirements of the aforesaid supervising or examining authority, then
for the 
  

 52 

 purposes of this Section, the combined capital and surplus of such corporation shall be deemed to be its combined capital
and surplus as set forth in its most recent report of condition so published. In case at an time the Trustee shall cease to be eligible in accordance with the provisions of this Section, the Trustee shall resign immediately in the manner and with
the effect specified in Section 6.11. 
  
 The provisions of this
Section 6.10 are in furtherance of and subject to Section 310(a) of the Trust Indenture Act. 
  
 SECTION 6.11 Resignation and Removal; Appointment of Successor Trustee. 
  
 (a) The Trustee, or any trustee or trustees hereafter appointed, may at any time resign with respect to one or more or all series of Securities by giving
written notice of resignation to the Company and (i) if any Unregistered Securities of a series affected are then Outstanding, by giving notice of such resignation to the Holders thereof, by publication at least once in an Authorized Newspaper in
the Borough of Manhattan, The City of New York, and at least once in an Authorized Newspaper in London (and, if required by Section 3.9, at least once in an Authorized Newspaper in Luxembourg), (ii) if any Unregistered Securities of a series
affected are then Outstanding, by mailing notice of such resignation to the Holders thereof who have filed their names and addresses with the Trustee pursuant to Section 313(c)(2) of the Trust Indenture Act at such addresses as were so furnished to
the Trustee and (iii) by mailing notice of such resignation to the Holders of then Outstanding Registered Securities of each series affected at their addresses as they shall appear on the registry books. Upon receiving such notice of resignation,
the Company shall promptly appoint a successor trustee or trustees with respect to the applicable series by written instrument in duplicate, executed by authority of the Board of Directors, one copy of which instrument shall be delivered to the
resigning Trustee and one copy to the successor trustee or trustees. If no successor trustee shall have been so appointed with respect to any series and have accepted appointment within 30 days after the mailing of such notice of resignation, the
resigning trustee may petition any court of competent jurisdiction for the appointment of a successor trustee, or any Securityholder who has been a bona fide Holder of a Security or Securities of the applicable series for at least six months may,
subject to the provisions of Section 5.12, on behalf of himself and all others similarly situated, petition any such court for the appointment of a successor trustee. Such court may thereupon, after such notice, if any, as it may deem proper and
prescribe, appoint a successor trustee. 
  
 (b) In case at any
time any of the following shall occur: 
  
 (i)
the Trustee shall fail to comply with the provisions of Section 310(b) of the Trust 
  

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 Indenture Act with respect to any series of Securities after written request therefor by the Company or
by any Securityholder who has been a bona fide Holder of a Security or Securities of such series for at least six months; or 
  
 (ii) the Trustee shall cease to be eligible in accordance with the provisions of Section 6.10 and Section 310(a) of the Trust Indenture
Act and shall fail to resign after written request therefor by the Company or by any Securityholder; or 
  
 (iii) the Trustee shall become incapable of acting with respect to any series of Securities, or shall be adjudged a bankrupt or insolvent,
or a receiver or liquidator 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 such case, the Company may remove the Trustee with respect to the
applicable series of Securities and appoint a successor trustee for such series by written instrument, in duplicate, executed by order of the Board of Directors of the Company, one copy of which instrument shall be delivered to the Trustee so
removed and one copy to the successor trustee, or, subject to the provisions of Section 315(e) of the Trust Indenture Act, any Securityholder who has been a bona fide Holder of a Security or Securities of such series 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 with respect to such series. Such court may thereupon, after such notice, if
any, as it may deem proper and prescribe, remove the Trustee and appoint a successor trustee. 
  
 (c) The Holders of a majority in aggregate principal amount of the Securities of each series at the time outstanding may at any time
remove the Trustee with respect to Securities of such series and appoint a successor trustee with respect to the Securities of such series by delivering to the Trustee so removed, to the successor trustee so appointed and to the Company the evidence
provided for in Section 7.1 of the action in that regard taken by the Securityholders. 
  
 (d) Any resignation or removal of the Trustee with respect to any series and any appointment of a successor trustee with respect to such
series pursuant to any of the provisions of this Section 6.11 shall become effective upon acceptance of appointment by the successor trustee as provided in Section 6.12. 
  

 54 

 SECTION 6.12 Acceptance of Appointment by Successor Trustee. 
  
 Any successor trustee appointed as provided in Section 6.11 shall execute
and deliver to the Company and to its predecessor trustee an instrument accepting such appointment hereunder, and thereupon the resignation or removal of the predecessor trustee with respect to all or any applicable series shall become effective and
such successor trustee, without any further act, deed or conveyance, shall become vested with all rights, powers, duties and obligations with respect to such series of its predecessor hereunder, with like effect as if originally named as trustee for
such series hereunder; but, nevertheless, on the written request of the Company or of the successor trustee, upon payment of its charges then unpaid, the trustee ceasing to act shall, subject to Section 10.4, pay over to the successor trustee all
moneys at the time held by it hereunder and shall execute and deliver an instrument transferring to such successor trustee all such rights, powers, duties and obligations. Upon request of any such successor trustee, the Company shall execute any and
all instruments in writing for more fully and certainly vesting in and confirming to such successor trustee all such rights and powers. Any trustee ceasing to act shall, nevertheless, retain a prior claim upon all property or funds held or collected
by such trustee to secure any amounts then due it pursuant to the provisions of Section 6.6. 
  
 If a successor trustee is appointed with respect to the Securities of one or more (but not all) series, the Company, the predecessor trustee and each successor trustee with respect to the Securities of any applicable
series shall execute and deliver an indenture supplemental hereto which shall contain such provisions as shall be deemed necessary or desirable to confirm that all the rights, powers, trusts and duties of the predecessor trustee with respect to the
Securities of any series as to which the predecessor trustee is not retiring shall continue to be vested in the predecessor trustee, and shall add to or change any of the provisions of this Indenture as shall be necessary to provide for or
facilitate the administration of the trusts hereunder by more than one trustee, it being understood that nothing herein or in such supplemental indenture shall constitute such trustees co-trustees of the same trust and that each such trustee shall
be trustee of a trust or trusts under separate indentures. 
  
 No
successor trustee with respect to any series of Securities shall accept appointment as provided in this Section 6.12 unless at the time of such acceptance such successor trustee shall be qualified under Section 310(b) of the Trust Indenture Act and
eligible under the provisions of Section 6.10. 
  
 Upon acceptance
of appointment by any successor trustee as provided in this Section 6.12, the Company shall give 
  
  

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 notice thereof (a) if any Unregistered Securities of a series affected are then Outstanding, to the Holders thereof, by
publication of such notice at least once in an Authorized Newspaper in the Borough of Manhattan, The City of New York and at least once in an Authorized Newspaper in London (and, if required by Section 3.9, at least once in an Authorized Newspaper
in Luxembourg), (b) if any Unregistered Securities of a series affected are then Outstanding, to the Holders thereof who have filed their names and addresses with the Trustee pursuant to Section 313(c)(2) of the Trust Indenture Act, by mailing such
notice to such Holders at such addresses as were so furnished to the Trustee (and the Trustee shall make such information available to the Company for such purpose) and (c) to the Holders of Registered Securities of each series affected, by mailing
such notice to such Holders at their addresses as they shall appear on the registry books. If the acceptance of appointment is substantially contemporaneous with the resignation, then the notice called for by the preceding sentence may be combined
with the notice called for by Section 6.11. If the Company fails to give such notice within ten days after acceptance of appointment by the successor trustee, the successor trustee shall cause such notice to be given at the expense of the Company.

  
 SECTION 6.13 Merger, Conversion, Consolidation or Succession to Business of
Trustee. 
  
 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 the corporate trust business of the Trustee, shall
be the successor of the Trustee hereunder, provided, that such corporation shall be qualified under Section 310(b) of the Trust Indenture Act and eligible under the provisions of Section 6.10 without the execution or filing of any paper or any
further act on the part of any of the parties hereto, anything herein to the contrary notwithstanding. 
  
 In case at the time such successor to the Trustee shall succeed to the trusts created by this Indenture any of the Securities of any series shall have
been authenticated but not delivered, any such successor to the Trustee may adopt the certificate of authentication of any predecessor trustee and deliver such Securities so authenticated; and, in case at that time any of the Securities of any
series shall not have been authenticated, any successor to the Trustee may authenticate such Securities either in the name of any predecessor hereunder or in the name of the successor Trustee; and in all such cases such certificate shall have the
full force which it is anywhere in the Securities of such series or in this Indenture provided that the certificate of the Trustee shall have; provided, that the right to adopt the certificate of authentication of any predecessor trustee or to
authenticate Securities of any series in the name of any predecessor trustee shall apply only to its successor o successors by merger, conversion or consolidation. 
  

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 SECTION 6.14 Preferential Collection of Claims Against the Company. 
  
 If this Indenture is qualified under the Trust Indenture Act, the Trustee
shall comply with Section 311(a) of the Trust Indenture Act, excluding any creditor relationship listed in Section 311(b) of the Trust Indenture Act. A Trustee who has resigned or been removed shall be subject to Section 311(a) of the Trust
Indenture Act to the extent indicated. 
  
 SECTION 6.15 Appointment of
Authenticating Agent. 
  
 As long as any Securities of a series
remain Outstanding, the Trustee may, by an instrument in writing, appoint with the approval of the Company an authenticating agent (the “Authenticating Agent”) which shall be authorized to act on behalf of the Trustee to authenticate
Securities, including Securities issued upon exchange, registration of transfer, partial redemption or pursuant to Section 2.9. Securities of each such series authenticated by such Authenticating Agent shall be entitled to the benefits of this
Indenture and shall be valid and obligatory for all purposes as if authenticated by the Trustee. Whenever reference is made in this Indenture to the authentication and delivery of Securities of any series by the Trustee or to the Trustee’s
Certificate of Authentication, such reference shall be deemed to include authentication and delivery on behalf of the Trustee by an Authenticating Agent for such series and a Certificate of Authentication executed on behalf of the Trustee by suc
Authenticating Agent. Such Authenticating Agent shall at all times be a corporation organized and doing business under the laws of the United States of America or of any State, authorized under such laws to exercise corporate trust powers, having a
combined capital and surplus of at least $45,000,000 (determined as provided in Section 6.10 with respect to the Trustee) and subject to supervision or examination by Federal or State authority. 
  
 Any corporation into which any Authenticating Agent may be merged or
converted, or with which it may be consolidated, or any corporation resulting from any merger, conversion or consolidation to which any Authenticating Agent shall be a party, or any corporation succeeding to the corporate agency business of any
Authenticating Agent, shall continue to be the authenticating Agent with respect to all series of Securities for which it served as Authenticating Agent without the execution or filing of any paper or any further act on the part of the Trustee or
such Authenticating Agent. Any Authenticating Agent may at any time, and if it shall cease to be eligible shall, resign by giving written notice of resignation to the Trustee and to the Company. 
  

 57 

 Upon receiving such a notice of resignation or upon such a termination, or in case at any time any
Authenticating Agent shall cease to be eligible in accordance with the provisions of this Section 6.15 with respect to one or more series of Securities, the Trustee shall upon receipt of a Company Order appoint a successor Authenticating Agent and
the Company shall provide notice of such appointment to all Holders of Securities of such series in the manner and to the extent provided in Section 11.4. Any successor Authenticating Agent upon acceptance of its appointment hereunder shall become
vested with all rights, powers, duties and responsibilities of its predecessor hereunder, with like effect as if originally named as Authenticating Agent. The Company agrees to pay to the Authenticating Agent for such series from time to time
reasonable compensation. The Authenticating Agent for the Securities of any series shall have no responsibility or liability for any action taken by it as such at the direction of the Trustee. 
  
 If an appointment is made with respect to one or more series pursuant to this
Section, the Securities of such series may have endorsed thereon, in addition to the Trustee’s certificate of authentication, an alternative certificate of authentication in the following form: 
  
 This is one of the Securities described in the within-mentioned Indenture.

  

			
	PNC BANK, NATIONAL ASSOCIATION,
	As Trustee
		
	By	 	  

	 	 	As Authenticating Agent
		
	By	 	  

	 	 	Authorized Officer

  
 Sections 6.2,
6.3, 6.4, 6.6 and 7.3 shall be applicable to any Authenticating Agent. 
  
 ARTICLE 7 
  
 CONCERNING THE SECURITYHOLDERS 

 
 SECTION 7.1 Evidence of Action Taken by Securityholders.

  
 Any request, demand, authorization, direction, notice,

  

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 consent, waiver or other action provided by this Indenture to be given or taken by a specified percentage in principal
amount of the Securityholders of any or all series may be embodied in and evidenced by one or more instruments of substantially similar tenor signed by such specified percentage of Securityholders in person or by agent 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. Proof of execution of any instrument or of a writing appointing any such agent shall be
sufficient for any purpose of this Indenture and (subject to Sections 6.1 and 6.2) conclusive in favor of the Trustee and the Company, if made in the manner provided in this Article. 
  
 SECTION 7.2 Proof of Execution of Instruments and of Holding of Securities. 
  
 Subject to Sections 6.1 and 6.2, the execution of any instrument by a
Securityholder or his agent or proxy may be proved in accordance with such reasonable rules and regulations as may be prescribed by the Trustee or in such manner as shall be satisfactory to the Trustee. The holding of Securities shall be proved by
the Security Register or by a certificate of the registrar thereof. 
  
 SECTION 7.3 Holders to be Treated as Owners. 
  
 The Company, the Trustee and any agent of the Company or the Trustee may deem and treat the person in whose name any Security shall be registered upon the Security Register for such series as the absolute owner of
such Security (whether or not such Security shall be overdue and notwithstanding any notation of ownership or other writing thereon) for the purpose of receiving payment of or on account of the principal of and, subject to the provisions of this
Indenture, interest on such Security and for all other purposes; and neither the Company nor the Trustee nor any agent of the Company or the Trustee shall be affected by any notice to the contrary. The Company, the Trustee and any agent of the
Company or the Trustee may treat the Holder of any Unregistered Security and the Holder of any Coupon as the absolute owner of such Unregistered Security or Coupon (whether or not such Unregistered Security or Coupon shall be overdue) for the
purpose of receiving payment thereof or on account thereof and for all other purposes and neither the Company, the Trustee, nor any agent of the Company or the Trustee shall be affected by any notice to the contrary. All such payments so made to any
such person, or upon his order, shall be valid, and, to the extent of the sum or sums so paid, effectual to satisfy and discharge the liability for moneys payable upon any such Unregistered Security or Coupon. 
  
 If the Securities of any series are issued in the form of one or more Global
Securities, the Depository therefor may grant proxies to Persons having a beneficial ownership in such Global 
  

 59 

 Security or Securities for purposes of voting or otherwise responding to any request for consent, waiver or other action
which the Holder of such Security is entitled to grant or take under this Indenture and the Trustee shall accept such proxies for the purposes granted; provided that neither the Trustee nor the Company shall have any obligation with respect to the
grant of or solicitation by the Depository of such proxies. 
  
 SECTION 7.4 Securities Owned by Company Deemed Not Outstanding. 
  
 In determining whether the Holders of the requisite aggregate principal amount of Outstanding Securities of any or all series have concurred in any
request, demand, authorization, direction, notice, consent, waiver or other action by Securityholders under this Indenture, Securities which are owned by the Company or any other obligor on the Securities with respect to which such determination is
being made or by any person directly or indirectly controlling or controlled by or under direct or indirect common control with the Company or any other obligor on the Securities with respect to which such determination is being made shall be
disregarded and deemed not to be Outstanding for the purpose of any such determination, except that for the purpose of determining whether the Trustee shall be protected in relying on any such action only Securities which the Trustee knows are so
owned shall be so disregarded. Securities so owned which have been pledged in good faith may be regarded as Outstanding if the pledgee establishes to the satisfaction of the Trustee the pledgee’s right so to act with respect to such Securities
and that the pledgee is not the Company or any other obligor upon the Securities or any person directly or indirectly controlling or controlled by or under direct or indirect common control with the Company or any other obligor on the Securities. In
case of a dispute as to such right, the advice of counsel shall be full protection in respect of any decision made by the Trustee in accordance with such advice. Upon request of the Trustee, the Company shall furnish to the Trustee promptly an
Officer’s Certificate listing and identifying all Securities, if any, known by the Company to be owned or held by or for the account of any of the above-described persons; and, subject to Sections 6.1 and 6.2, the Trustee shall be entitled to
accept such Officer’s Certificate as conclusive evidence of the facts therein set forth and of the fact that all Securities not listed therein are Outstanding for the purpose of any such determination. 
  
 SECTION 7.5 Right of Revocation of Action Taken. 
  
 At any time prior to (but not after) the evidencing to the Trustee, as
provided in Section 7.1, of the taking of any action by the Holders of the percentage in aggregate principal amount of the Securities of any or all series, as the case may be, specified in this Indenture in connection with such action, 

 
  

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 any Holder of a Security the serial number of which is shown by the evidence to be included among the serial numbers of
the Securities the Holders of which have consented to such action may, by filing written notice at the Corporate Trust Office and upon proof of holding as provided in this Article, revoke such action so far as concerns such Security. Except as
aforesaid any such action taken by the Holder of any Security shall be conclusive and binding upon such Holder and upon all future Holders and owners of such Security and of any Securities issued in exchange or substitution therefor or on
registration of transfer thereof, irrespective of whether or not any notation in regard thereto is made upon any such Security. Any action taken by the Holders of the percentage in aggregate principal amount of the Securities of any or all series,
as the case may be, specified in this Indenture in connection with such action shall be conclusively binding upon the Company, the Trustee and the Holders of all the Securities affected by such action. 
  
 SECTION 8.1 Supplemental Indentures Without Consent of Securityholders. 
  
 The Company, when authorized by a resolution of its Board of Directors
(which resolution may provide general terms or parameters for such action and may provide that the specific terms of such action may be determined in accordance with or pursuant to an Company Order), and the Trustee may from time to time and at any
time enter into an indenture or indentures supplemental hereto for one or more of the following purposes: 
  
 (a) to convey, transfer, assign, mortgage or pledge to the Trustee as security for the Securities of one or more series any property or
assets; 
  
 (b) to evidence the succession of
another Person to the Company, or successive successions, and the assumption by any such successor of the covenants, agreements and obligations of the Company pursuant to Article 9; 
  
 (c) to add to the covenants of the Company such further covenants, restrictions, conditions or provisions as
the Company and the Trustee shall consider to be for the protection of the Holders of Securities or Coupons, and to make the occurrence, or the occurrence and continuance, of a default in any such additional covenants, restrictions, conditions or
provisions an Event of Default permitting the enforcement of all or any of the several remedies provided in this Indenture as herein set forth; provided, that in respect of any such additional 
  

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 covenant, restriction, condition or provision such supplemental indenture may provide for a particular
period of grace after default (which period may be shorter or longer than that allowed in the case of other defaults) or may provide for an immediate enforcement upon such an Event of Default or may limit the remedies available to the Trustee upon
such an Event of Default or may limit the right of the Holders of a majority in aggregate principal amount of the Securities of such series to waive such an Event of Default; 
  
 (d) to cure any ambiguity or to correct or supplement any provision contained herein or in any supplemental
indenture which may be defective or inconsistent with any other provision contained herein or in any supplemental indenture, or to make any other provisions as the Company may deem necessary or desirable, provided, that no such action shall
adversely affect the interests of the Holders of the Securities or Coupons; 
  
 (e) to establish the forms or terms of Securities of any series or of the Coupons appertaining to such Securities as permitted by Sections 2.1 and 2.3; 
  
 (f) to evidence and provide for the acceptance of appointment hereunder by a successor trustee with respect
to the Securities of one or more series and to add to or change any of the provisions of this Indenture as shall be necessary to provide for or facilitate the administration of the trusts hereunder by more than one trustee, pursuant to the
requirements of Section 6.12; or 
  
 (g) to
provide for the qualification of the Indenture under the Trust Indenture Act. 
  
 The Trustee is hereby authorized to join with the Company in the execution of any such supplemental indenture, to make any further appropriate agreements and stipulations which may be therein contained and to accept
the conveyance, transfer, assignment, mortgage or pledge of any property thereunder, but the Trustee shall not be obligated to enter into any such supplemental indenture which affects the Trustee’s own rights, duties or immunities under this
Indenture or otherwise. 
  
 Any supplemental indenture authorized
by the provisions of this Section may be executed without the consent of the Holders of any of the Securities at the time outstanding, notwithstanding any of the provisions of Section 8.2. 
  

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 SECTION 8.2 Supplemental Indentures With Consent of Securityholders. 
  
 With the consent (evidenced as provided in Article 7) of the Holders of not
less than a majority in aggregate principal amount of the Securities at the time Outstanding of all series affected by such supplemental indenture (voting as one class), the Company, when authorized by a resolution of its Board of Directors (which
resolution may provide general terms or parameters for such action and may provide that the specific terms of such action may be determined in accordance with or pursuant to an Company Order), and the Trustee may, from time to time and at any time,
enter into an indenture or indentures supplemental hereto (which shall conform to the provisions of the Trust Indenture Act as in force and effect at the date of execution thereof) for the purpose of adding any provisions to or changing in any
manner or eliminating any of the provisions of this Indenture or of any supplemental indenture or of modifying in any manner the rights of the Holders of the Securities of each such series or of the Coupons appertaining to such Securities; provided,
that no such supplemental indenture shall (a) extend the final maturity of any Security, or reduce the principal amount thereof, or reduce the rate or extend the time of payment of interest thereon or premium thereon, if any, or reduce any amount
payable on redemption thereof, or make the principal thereof (including any amount in respect of original issue discount), or interest thereon payable in any coin or currency other than that provided in the Securities and Coupons or in accordance
with the terms thereof, or reduce the amount of the principal of an Original Issue Discount Security that would be due and payable upon an acceleration of the maturity thereof pursuant to Section 5.1 or the amount thereof provable in bankruptcy
pursuant to Section 5.2, or alter the provisions of Section 11.11 or 11.12 or impair or affect the right of any Securityholder to institute suit for the payment thereof when due or, if the Securities provide therefor, any right of repayment at the
option of the Securityholder, in each case without the consent of the Holder of each Security so affected, or (b) reduce the aforesaid percentage of Securities of any series, the consent of the Holders of which is required for any such supplemental
indenture, without the consent of the Holders of each Security so affected. 
  
 A supplemental indenture which changes or eliminates any covenant or other provision of this Indenture which has expressly been included solely for the benefit of one or more particular series of Securities, or which
modifies the rights of Holders of Securities of such series, or of Coupons appertaining to such Securities, with respect to such covenant or provision, shall be deemed not to affect the rights under this Indenture of the Holders of Securities of any
other series or of the Coupons appertaining to such Securities. 
  
 Upon the request of the Company, accompanied by a copy of a resolution of the Board of Directors (which resolution may 
  

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 provide general terms or parameters for such action and may provide that the specific terms of such action may be
determined in accordance with or pursuant to a Company Order) certified by the secretary or an assistant secretary of the Company authorizing the execution of any such supplemental indenture, and upon the filing with the Trustee of evidence of the
consent of the Holders of the Securities as aforesaid and other documents, if any, required by Section 7.1, the Trustee shall join with the Company in the execution of such supplemental indenture unless such supplemental indenture 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 supplemental indenture. 
  
 It shall not be necessary for the consent of the Securityholders under this
Section to approve the particular form of any proposed supplemental indenture, but it shall be sufficient if such consent shall approve the substance thereof. 
  

Promptly after the execution by the Company and the Trustee of any supplemental indenture pursuant to the provisions of this Section, the Trustee shall
give notice thereof (i) to the Holders of then Outstanding Registered Securities of each series affected thereby, by mailing a notice thereof by first-class mail to such Holders at their addresses as they shall appear on the Security Register, (ii)
if any Unregistered Securities of a series affected thereby are then Outstanding, to the Holders thereof who have filed their names and addresses with the Trustee pursuant to Section 313(c)(2) of the Trust Indenture Act, by mailing a notice thereof
by first-class mail to such Holders at such addresses as were so furnished to the Trustee and (iii) if any Unregistered Securities of a series affected thereby are then Outstanding, to all Holders thereof, by publication of a notice thereof at least
once in an Authorized Newspaper in the Borough of Manhattan, The City of New York and at least once in an Authorized Newspaper in London (and, if required by Section 3.9, at least once in an Authorized Newspaper in Luxembourg), and in each case such
notice shall set forth in general terms the substance of such supplemental indenture. Any failure of the Company to give such notice, or any defect therein, shall not, however, in any way impair or affect the validity of any such supplemental
indenture. 
  
 SECTION 8.3 Effect of Supplemental
Indenture. 
  
 Upon the execution of any supplemental indenture
pursuant to the provisions hereof, this Indenture shall be and be deemed to be modified and amended in accordance therewith and the respective rights, limitations of rights, obligations, duties and immunities under this Indenture of the Trustee, the
Company and the Holders of Securities of each series affected thereby shall thereafter be determined, exercised and enforced hereunder subject in all respects to such modifications and amendments, and all the terms and conditions of any such
supplemental indenture shall be and be deemed to be part of the terms and conditions of this Indenture for any and all purposes. 
  

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 SECTION 8.4 Documents to be Given to Trustee. 
  
 The Trustee, subject to the provisions of Sections 6.1 and 6.2, may receive
an Officer’s Certificate and an Opinion of Counsel as conclusive evidence that any supplemental indenture executed pursuant to this Article 8 complies with the applicable provisions of this Indenture. 
  
 SECTION 8.5 Notation on Securities in Respect of
Supplemental Indentures. 
  
 Securities of any series
authenticated and delivered after the execution of any supplemental indenture pursuant to the provisions of this Article may bear a notation in form approved by the Trustee for such series as to any matter provided for by such supplemental indenture
or as to any action taken by Securityholders. If the Company or the Trustee shall so determine, new Securities of any series so modified as to conform, in the opinion of the Trustee and the Board of Directors, to any modification of this Indenture
contained in any such supplemental indenture may be prepared by the Company, authenticated by the Trustee and delivered in exchange for the Securities of such series then Outstanding. 
  
 ARTICLE 9 
  
 CONSOLIDATION, MERGER, SALE OR CONVEYANCE 
  
 SECTION 9.1 Company May Consolidate, Etc, Only on Certain Terms. 
  
 The Company shall not consolidate with or merge into any other Person, or convey, transfer or lease its properties and
assets substantially as an entirety to any other Person, and the Company shall not permit any other Person to consolidate with or merge into the Company or convey, transfer or lease its properties and assets substantially as an entirety to the
Company, unless: 
  
 (a) either the Company shall
be the continuing corporation, or the successor entity (if other than the Company) formed by such consolidation or into which the Company is merged or to which the properties and assets of the Company substantially as an entity are transferred or
leased shall be a corporation, partnership, limited liability company, or trust organized and existing under the laws of the United States of America, any State thereof or the District of Columbia and shall expressly assume, by an indenture
supplemental hereto, executed and delivered to the Trustee, in form satisfactory to the Trustee, all the obligations of the Company under the Securities and this Indenture; and 
  

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 (b) immediately after giving effect to such transaction and treating any indebtedness
which becomes an obligation of the Company or a Subsidiary as a result of such transaction as having been incurred by the Company or such Subsidiary at the time of such transaction, no Event of Default, and no event which, after notice or lapse of
time or both, would become an Event of Default, shall have happened and be continuing. 
  
 SECTION 9.2 Successor Entity Substituted. 
  
 The successor entity formed by such consolidation or into which the Company is merged or to which such conveyance, transfer or lease is made shall succeed
to and be substituted for, and may exercise every right and power of, the Company under this Indenture with the same effect as if such successor entity had been named as the Company herein, and thereafter (except in the case of a lease to another
Person) the predecessor entity shall be relieved of all obligations and covenants under the Indenture and the Securities and, in the event of such conveyance or transfer, any such predecessor entity may be dissolved and liquidated. 
  
 SECTION 9.3 Opinion of Counsel To Be Given Trustee.

  
 The Trustee subject to the provisions of Sections 6.1 and 6.2
may receive an Opinion of Counsel as conclusive evidence that any such consolidation, merger, sale or conveyance, and any such assumption complies with the provisions of this Article 9. 
  
 ARTICLE 10 
  
 SATISFACTION AND DISCHARGE 
  
 SECTION 10.1 Satisfaction and Discharge of Indenture. 
  
 (A) If at any time (i) the Company shall have paid or caused to be paid the principal of and interest on all the Securities
of any series Outstanding hereunder and all unmatured Coupons appertaining thereto (other than Securities of such series and Coupons appertaining thereto which have been destroyed, lost or stolen and which have been replaced or paid as provided in
Section 2.9) as and when the same shall have become due and payable, or (ii) the Company shall have delivered to the Trustee for cancellation all Securities of any series theretofore authenticated and all unmatured Coupons appertaining thereto
(other than any Securities of such series and Coupons appertaining thereto which shall have been destroyed, lost or 
  

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 stolen and which shall have been replaced or paid as provided in Section 2.9) or (iii) in the case of any series of
Securities where the exact amount (including the currency of payment) of principal of and interest due on which can be determined at the time of making the deposit referred to in clause (b) below, (a) all the Securities of such series and all
unmatured Coupons appertaining thereto not theretofore delivered to the Trustee for cancellation shall have become due and payable, or are by their terms to become due and payable within one year or are to be called for redemption within one year
under arrangements satisfactory to the Trustee for the giving of notice of redemption, and (b) the Company shall have irrevocably deposited or caused to be deposited with the Trustee as trust funds in trust the entire amount in (i) cash (other than
moneys repaid by the Trustee or any Paying Agent to the Company in accordance with Section 10.4), (ii) in the case of any series of Securities the payments on which may only be made in Dollars, direct obligations of the United States of America,
backed by its full faith and credit (“U.S. Government Obligations”), maturing as to principal and interest at such times and in such amounts as will insure the availability of cash sufficient to pay at such Maturity or upon such
redemption, as the case may be, or (iii) a combination thereof, sufficient, in the opinion of a nationally recognized firm of independent public accountants expressed in a written certification thereof delivered to the Trustee, to pay (a) the
principal and interest on all Securities of such series and Coupons appertaining thereto on each date that such principal or interest is due and payable and (b) any mandatory sinking fund payments on the dates on which such payments are due and
payable in accordance with the terms of the Indenture and the Securities of such series; and if, in any such case, the Company shall also pay or cause to be paid all other sums payable hereunder by the Company, then this Indenture shall cease to be
of further effect (except as to (i) rights of registration of transfer and exchange of Securities of such Series and of Coupons appertaining thereto and the Company’s right of optional redemption, if any, (ii) substitution of mutilated defaced,
destroyed, lost or stolen Securities or Coupons, (iii) rights of holders of Securities and Coupons appertaining thereto to receive payments of principal thereof and interest thereon, upon the original stated due dates therefor (but not upon
acceleration), and remaining rights of the Holders to receive mandatory sinking fund payments, if any, (iv) any optional redemption rights of such series of Securities to the extent to be exercised to make such call for redemption within one year,
(v) the rights, obligations, duties and immunities of the Trustee hereunder, including those under Section 6.6, (vi) the rights of the Holders of securities of such series and Coupons appertaining thereto as beneficiaries hereof with respect to the
property so deposited with the Trustee payable to all or any of them, and (vii) the obligations of the Company under Section 3.2) and the Trustee, on demand of the Company accompanied by an Officer’s Certificate and an Opinion of Counsel and at
the cost and expense of the Company, shall execute proper instruments acknowledging such satisfaction of and discharging this Indenture; provided, that the rights of 
  

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 Holders of the Securities and Coupons to receive amounts in respect of principal of and interest on the Securities and
Coupons held by them shall not be delayed longer than required by then applicable mandatory rules or policies of any securities exchange upon which the Securities are listed. The Company agrees to reimburse the Trustee for any costs or expenses
thereafter reasonably and properly incurred and to compensate the Trustee for any services thereafter reasonably and properly rendered by the Trustee in connection with this Indenture or the Securities of such series. 
  
 (B) The following provisions shall apply to the Securities of each series
unless specifically otherwise provided in a Board Resolution, Officer’s Certificate or indenture supplemental hereto provided pursuant to Section 2.3. In addition to discharge of the Indenture pursuant to the next preceding paragraph, in the
case of any series of Securities the exact amounts (including the currency of payment) of principal of and interest due on which can be determined at the time of making the deposit referred to in clause (a) below, the Company shall be deemed to have
paid and discharged the entire indebtedness on all the Securities of such a series and the Coupons appertaining thereto on the date of the deposit referred to in subparagraph (a) below, and the provisions of this Indenture with respect to the
Securities of such series and Coupons appertaining thereto shall no longer be in effect (except as to (i) rights of registration of transfer and exchange of Securities of such series and of Coupons appertaining thereto and the Company’s right
of optional redemption, if any, (ii) substitution of mutilated, defaced, destroyed, lost or stolen Securities or Coupons, (iii) rights of Holders of Securities and Coupons appertaining thereto to receive payments of principal thereof and interest
thereon, upon the original stated due dates therefor (but not upon acceleration), and remaining rights of the Holders to receive mandatory sinking fund payments, if any, (iv) any optional redemption rights of such series of Securities to the extent
to be exercised to make such call for redemption within one year, (v) the rights, obligations, duties and immunities of the Trustee hereunder, (vi) the rights of the Holders of Securities of such series and Coupons appertaining thereto as
beneficiaries hereof with respect to the property so deposited with the Trustee payable to all or any of them and (vii) the obligations of the Company under Section 3.2) and the Trustee, at the expense of the Company, shall at the Company’s
request, execute proper instruments acknowledging the same, if 
  
 (a) with reference to this provision the Company has irrevocably deposited or caused to be irrevocably deposited with the Trustee as trust funds in trust, specifically pledged as security for, and dedicated solely to,
the benefit of the Holders of the Securities of such series and Coupons appertaining thereto (i) cash in an amount, or (ii) in the case of any series of Securities the payments on which may only be made in Dollars, U.S. Government Obligations,

  

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 maturing as to principal and interest at such times and in such amounts as will insure the availability
of cash or (iii) a combination thereof, sufficient, in the opinion of a nationally recognized firm of independent public accountants expressed in a written certification thereof delivered to the Trustee, to pay (a) the principal and interest on all
Securities of such series and Coupons appertaining thereto on each date that such principal or interest is due and payable and (b) any mandatory sinking fund payments on the dates on which such payments are due and payable in accordance with the
terms of the Indenture and the Securities of such series; 
  
 (b) such deposit will not result in a breach or violation of, or constitute a default under, any agreement or instrument to which the Company is a party or by which it is bound; 
  
 (c) the Company has delivered to the Trustee an Opinion of
Counsel based on the fact that (x) the Company has received from, or there has been published by, the IRS a ruling or (y) since the date hereof, there has been a change in the applicable Federal income tax law, in either case to the effect that, and
such opinion shall confirm that, the Holders of the Securities of such series and Coupons appertaining thereto will not recognize income, gain or loss for United States Federal income tax purposes as a result of such deposit, defeasance and
discharge and will be subject to United States Federal income tax on the same amount and in the same manner and at the same times, as would have been the case if such deposit, defeasance and discharge had not occurred; and 
  
 (d) the Company has delivered to the Trustee an
Officer’s Certificate and an Opinion of Counsel, each stating that all conditions precedent provided for relating to the defeasance contemplated by this provision have been complied with. 
  
 (C) The Company shall be released from its obligations under Sections 3.6 and
9.1 and unless otherwise provided for in the Board Resolution, Officer’s Certificate or Indenture supplemental hereto establishing such series of Securities, from all covenants and other obligations referred to in Section 2.3(18) or 2.3(19)
with respect to such series of Securities, and any Coupons appertaining thereto, outstanding on and after the date the conditions set forth below are satisfied (hereinafter, “covenant defeasance”). For this purpose, such covenant
defeasance means that, with respect to the Outstanding Securities of any series, the Company may omit to comply with and shall have no liability in respect of any term, condition or limitation set forth in such Section, whether directly or
indirectly by reason of any reference elsewhere herein to such Section or by reason of any reference in such Section to any 
  

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 other provision herein or in any other document and such omission to comply shall not constitute an Event of Default
under Section 5.1, but the remainder of this Indenture and such Securities and Coupons shall be unaffected thereby. The following shall be the conditions to application of this subsection C of this Section 10.1: 
  
 (a) The Company has irrevocably deposited or caused to be
deposited with the Trustee as trust funds in trust for the purpose of making the following payments, specifically pledged as security for, and dedicated solely to, the benefit of the holders of the Securities of such series and coupons appertaining
thereto, (i) cash in an amount, or (ii) in the case of any series of Securities the payments on which may only be made in Dollars, U.S. Government Obligations maturing as to principal and interest at such times and in such amounts as will insure the
availability of cash or (iii) a combination thereof, sufficient, in the opinion of a nationally recognized firm of independent public accountants expressed in a written certification thereof delivered to the Trustee, to pay (A) the principal and
interest on all Securities of such series and Coupons appertaining thereof and (B) any mandatory sinking fund payments on the day on which such payments are due and payable in accordance with the terms of the Indenture and the Securities of such
series; 
  
 (b) No Event of Default or event
which with notice or lapse of time or both would become an Event of Default with respect to the Securities shall have occurred and be continuing on the date of such deposit; 
  
 (c) Such covenant defeasance shall not cause the Trustee to have a conflicting interest as defined in
Section 6.9 and for purposes of the Trust Indenture Act with respect to any securities of the Company; 
  
 (d) Such covenant defeasance shall not result in a breach or violation of, or constitute a default under, this Indenture or any other
agreement or instrument to which the Company is a party or by which it is bound; 
  
 (e) Such covenant defeasance shall not cause any Securities then listed on any registered national securities exchange under the Exchange
Act to be delisted; 
  
 (f) The Company shall
have delivered to the Trustee an Officer’s Certificate and Opinion of Counsel to the effect that the Holders of the Securities of such series and Coupons appertaining thereto will not recognize income, gain or loss for 
  

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 United States Federal income tax purposes as a result of such covenant defeasance and will be subject to
United States 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; and 
  
 (g) The Company shall have delivered to the Trustee an Officer’s Certificate and an Opinion of Counsel,
each stating that all conditions precedent provided for relating to the covenant defeasance contemplated by this provision have been complied with. 
  
 SECTION 10.2 Application by Trustee of Funds Deposited for Payment of Securities. 
  
 Subject to Section 10.4, all moneys deposited with the Trustee (or other
trustee) pursuant to Section 10.1 shall be held in trust and applied by it to the payment, either directly or through any Paying Agent (including the Company acting as its own Paying Agent), to the Holders of the particular Securities of such series
and of Coupons appertaining thereto for the payment or redemption of which such moneys have been deposited with the Trustee, of all sums due and to become due thereon for principal and interest; but such money need not be segregated from other funds
except to the extent required by law. 
  
 SECTION
10.3 Repayment of Moneys Held by Paying Agent. 
  
 In connection
with the satisfaction and discharge of this Indenture with respect to Securities of any series, all moneys then held by any Paying Agent under the provisions of this Indenture with respect to such series of Securities shall, upon demand of the
Company, be repaid to it or paid to the Trustee and thereupon such Paying Agent shall be released from all further liability with respect to such moneys. 
  
 SECTION 10.4 Return of Unclaimed Moneys Held by Trustee and Paying Agent. 
  
 Any moneys deposited with or paid to the Trustee or any Paying Agent for the payment of the principal of and any premium and
interest on any Security and any series of Coupons attached thereto and not so applied but remaining unclaimed under applicable law shall be transferred by the Trustee to the appropriate Persons in accordance with applicable laws, and the Holder of
such Security of such series and of any Coupons appertaining thereto shall thereafter look only to such Persons for an payment which such Holder may be entitled to collect and all liability of the Trustee and such Paying Agent with respect to such
moneys shall thereupon cease. 
  

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 SECTION 10.5 Indemnity for U.S. Government Obligations. 
  
 The Company shall pay and indemnify the Trustee against any tax, fee or
other charge imposed on or assessed against the U.S. Government Obligations deposited pursuant to Section 10.1 or the principal or interest received in respect of such obligations. 
  
 ARTICLE 11 
  
 MISCELLANEOUS PROVISIONS 
  
 SECTION 11.1 Incorporators, Stockholders, Officers and Directors of Company Exempt from Individual Liability. 
  
 No recourse under or upon any obligation, covenant or agreement contained in
this Indenture, or in any Security, or because of any indebtedness evidenced thereby, shall be had against any incorporator, as such, or against any past, present or future stockholder, officer or director, as such, of the Company or of any
successor, either directly or through the Company or any successor, under any rule of law, statute or constitutional provision or by the enforcement of any assessment or by any legal or equitable proceeding or otherwise, all such liability being
expressly waived and released by the acceptance of the Securities and the Coupons, if any, appertaining thereto by the Holders thereof and as part of the consideration for the issue of the Securities and the Coupons appertaining thereto. 

 
 SECTION 11.2 Provisions of Indenture for the Sole Benefit
of Parties and Holders of Securities and Coupons. 
  
 Nothing in
this Indenture, in the Securities or in the Coupons appertaining thereto, expressed or implied, shall give or be construed to give to any Person other than the parties thereto and their successors and the Holders of the Securities or Coupons, if
any, any legal or equitable right, remedy or claim under this Indenture or under any covenant or provision herein contained, all such covenants and provisions being for the sole benefit of the parties hereto and their successors and of the Holders
of the Securities or Coupons, if any. 
  
 SECTION
11.3 Successors and Assigns of Company Bound by Indenture. 
  
 All the covenants, stipulations, promises and agreements in this Indenture contained by or in behalf of the Company shall bind its successors and assigns, whether so expressed or not. 
  

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 SECTION 11.4 Notices and Demands on Company, Trustee and Holders of Securities and
Coupons. 
  
 Any notice or demand which by any provision of this
Indenture is required or permitted to be given or served by the Trustee or by the Holders of Securities or Coupons, if any, to or on the Company may be given or served by being deposited postage prepaid, first-class mail (except as otherwise
specifically provided herein) addressed (until another address of the Company is filed by the Company with the Trustee) to HEALTHSOUTH Corporation, One HealthSouth Parkway, Birmingham, Alabama 35243 Attention: Secretary. Any notice, direction,
request or demand by the Company or any Holder of Securities or Coupons, if any, to or upon the Trustee shall be deemed to have been sufficiently given or served by being deposited postage prepaid, first-class mail (except as otherwise specifically
provided herein) addressed (until another address of the Trustee is filed by the Trustee with the Company) to 500 West Jefferson Street, Louisville, Kentucky 40202, Attention: Corporate Trust Department. 
  
 Where this Indenture provides for notice to Holders of Registered Securities,
such notice shall be sufficiently given (unless otherwise herein expressly provided) if in writing and mailed, first-class mail, postage prepaid, to each Holder entitled thereto, at his last address as it appears in the Security Register. In any
case where notice to such Holders is given by mail, neither the failure to mail such notice, nor any defect in any notice so mailed, to any particular Holder shall affect the sufficiency of such notice with respect to other Holders. 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 upon such waiver. 
  
 In case, by reason of the suspension of or irregularities in regular mail service, it shall be impracticable to mail notice to the Company when such
notice is required to the given pursuant to any provision of this Indenture, then any manner of giving such notice as shall be reasonably satisfactory to the Trustee shall be deemed to be a sufficient giving of such notice. 
  

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 SECTION 11.5 Officer’s Certificates and Opinions of Counsel; Statements to be
Contained Therein. 
  
 Upon any application or demand by the
Company to the Trustee to take any action under any of the provisions of this Indenture, the Company shall furnish to the Trustee an Officer’s Certificate stating that all conditions precedent provided for in this Indenture relating to the
proposed action have been complied with and an Opinion of Counsel stating that in the opinion of such counsel all such conditions precedent have been complied with, except that in the case of any such application or demand as to which the furnishing
of such documents is specifically required by any provision of this Indenture relating to such particular application or demand, no additional certificate or opinion need be furnished. 
  
 Each certificate or opinion provided for in this Indenture and delivered to the Trustee with respect to compliance with a
condition or covenant provided for in this Indenture shall include (a) a statement that the person making such certificate or opinion has read such covenant or condition, (b) 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, (c) a statement that, in the opinion of such person, he 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 (d) a statement as to whether or not, in the opinion of such person, such condition or covenant has been complied with. 
  
 Any certificate, statement or opinion of an officer of the Company may be
based, insofar as it relates to legal matters, upon a certificate or opinion of or representations by counsel, unless such officer knows that the certificate or opinion or representations with respect to the matters upon which his certificate,
statement or opinion may be based as aforesaid are erroneous, or in the exercise of reasonable care should know that the same are erroneous. Any certificate, statement or opinion of counsel may be based, insofar as it relates to factual matters or
information with respect to which is in the possession of the Company, upon the certificate, statement or opinion of or representations by an officer of officers of the Company, unless such counsel knows that the certificate, statement or opinion or
representations with respect to the matters upon which his certificate, statement or opinion may be based as aforesaid are erroneous, or in the exercise of reasonable care should know that the same are erroneous. 
  
 Any certificate, statement or opinion of an officer of the Company or of
counsel may be based, insofar as it relates to accounting matters, upon a certificate or opinion of or representations by an accountant or firm of accountants in the 
  

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 employ of the Company, unless such officer or counsel, as the case may be, knows that the certificate or opinion of or
representations with respect to the accounting matters upon which his certificate, statement or opinion may be based as aforesaid are erroneous, or in the exercise of reasonable care should know that the same are erroneous. 
  
 Any certificate or opinion of any independent firm of public accountants
filed with and directed to the Trustee shall contain a statement that such firm is independent. 
  
 SECTION 11.6 Payments Due on Saturdays, Sundays and Holidays. 
  
 If the date of Maturity of interest on or principal of the Securities of any series or any Coupons appertaining thereto or
the date fixed for redemption or repayment of any such Security or Coupon shall not be a Business Day, then payment of interest or principal need not be made on such date, but may be made on the next succeeding Business Day with the same force and
effect as if made on the date of Maturity or the date fixed for redemption, and no interest shall accrue for the period after such date. 
  
 SECTION 11.7 Conflict of Any Provision of Indenture with Trust Indenture Act. 
  
 If and to the extent that any provision of this Indenture limits, qualifies
or conflicts with duties imposed by, or with another provision (an “incorporated provision”) included in this Indenture by operation of Sections 310 to 318, inclusive, of the Trust Indenture Act, such imposed duties or incorporated
provision shall control. 
  
 SECTION 11.8 New
York Law to Govern. 
  
 THIS INDENTURE AND EACH SECURITY AND
COUPON SHALL BE DEEMED TO BE A CONTRACT UNDER THE LAWS OF THE STATE OF NEW YORK, AND FOR ALL PURPOSES SHALL BE CONSTRUED IN ACCORDANCE WITH THE LAWS OF SUCH STATE, WITHOUT REGARD TO THE CONFLICTS OF LAW PRINCIPLES THEREOF. 
  
 SECTION 11.9 Counterparts. 
  
 This Indenture may be executed in any number of counterparts, each of which
shall be an original; but such counterparts shall together constitute but one and the same instrument. 
  
 SECTION 11.10 Effect of Headings. 
  
 The Article and Section headings herein and the Table of Contents are for convenience only and shall not affect the construction hereof. 
  

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 SECTION 11.11 Securities in a Foreign Currency or in ECU. 
  
 Unless otherwise specified in an Officer’s Certificate delivered
pursuant to Section 2.3 of this Indenture with respect to a particular series of Securities, whenever for purposes of this Indenture any action may be taken by the Holders of a specified percentage in aggregate principal amount of Securities of all
series or all series affected by a particular action at the time Outstanding and, at such time, there are Outstanding Securities of any series which are denominated in a coin or currency other than Dollars (including ECUs), then the principal amount
of Securities of such series which shall be deemed to be Outstanding for the purpose of taking such action shall be that amount of Dollars that could be obtained for such amount at the Market Exchange Rate. For purposes of this Section 11.11, Market
Exchange Rate shall mean the noon Dollar buying rate in The New York City for cable transfers of that currency as published by the Federal Reserve Bank of New York; provided, in the case of ECUs, Market Exchange Rate shall mean the rate of exchange
determined by the Commission of the European Communities (or any successor thereto) as published in the Official Journal of the European Communities (such publication or any successor publication, the “Journal”). If such Market Exchange
Rate is not available for any reason with respect to such currency, the Trustee shall use, in its sole discretion and without liability on its part, such quotation of the Federal Reserve Bank of New York or, in the case of ECUs, the rate of exchange
as published in the Journal, as of the most recent available date, or quotations or, in the case of ECUs, rates of exchange from one or more major banks in The City of New York or in the country of issue of the currency in question, which for
purposes of the ECU shall be Brussels, Belgium, or such other quotations or, in the case of ECU, rates of exchange as the Trustee shall deem appropriate. The provisions of this paragraph shall apply in determining the equivalent principal amount in
respect of Securities of a series denominated in a currency other than Dollars in connection with any action taken by Holders of Securities pursuant to the terms of this Indenture. 
  
 All decisions and determinations of the Trustee regarding the Market Exchange Rate or any alternative determination provided
for in the preceding paragraph shall be in its sole discretion and shall, in the absence of manifest error, be conclusive to the extent permitted by law for all purposes and irrevocably binding upon the Company and all Holders. 
  
 SECTION 11.12 Judgment Currency. 
  
 The Company agrees, to the fullest extent that it may effectively do so
under applicable law, that (a) if for the purpose of obtaining judgment in any court it is necessary to convert the sum due in respect of the principal of or interest 
  

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 on the Securities of any series (the “Required Currency”) into a currency in which a judgment will be rendered
(the “Judgment Currency”), the rate of exchange used shall be the rate at which in accordance with normal banking procedures the Trustee could purchase in The City of New York the Required Currency with the Judgment Currency on the day on
which final unappealable judgment is entered, unless such day is not a New York Banking Day, then, to the extent permitted by applicable law, the rate of exchange used shall be the rate at which in accordance with normal banking procedures the
Trustee could purchase in The City of New York the Required Currency with the Judgment Currency on the New York Banking Day preceding the day on which final unappealable judgment is entered and (b) its obligations under this Indenture to make
payments in the Required Currency (i) shall not be discharged or satisfied by any tender, or any recovery pursuant to any judgment (whether or not entered in accordance with subsection (a)), in any currency other than the Required Currency, except
to the extent that such tender or recovery shall result in the actual receipt, by the payee, of the full amount of the Required Currency expressed to be payable in respect of such payments, (ii) shall be enforceable as an alternative or additional
cause of action for the purpose of recovering in the Required Currency the amount, if any, by which such actual receipt shall fall short of the full amount of the Required Currency so expressed to be payable and (iii) shall not be affected by
judgment being obtained for any other sum due under this Indenture. For purposes of the foregoing, “New York Banking Day” means any day except a Saturday, Sunday or a legal holiday in The City of New York or day on which banking
institutions in The City of New York are authorized or required by law or executive order to close. 
  
 ARTICLE 12 
  
 REDEMPTION OF SECURITIES AND SINKING FUNDS 
  
 SECTION 12.1 Applicability of Article. 
  
 The
provisions of this Article shall be applicable to the Securities of any series which are redeemable before their Maturity or to any sinking fund for the retirement of Securities of a series except as otherwise specified as contemplated by Section
2.3 for Securities of such series. 
  
 SECTION
12.2 Notice of Redemption; Partial Redemptions. 
  
 Notice of
redemption to the Holders of Registered Securities of any series to be redeemed as a whole or in part at the option of the Company shall be given by mailing notice of such redemption by first class mail, postage prepaid, at least 30 days and not
more than 60 days prior to the date fixed for redemption to such Holders of Securities of such series at their last addresses as they shall appear upon the registry books. 
  

 77 

 Notice of redemption to the Holders of Unregistered Securities to be redeemed as a whole or in part, who have filed their
names and addresses with the Trustee pursuant to Section 313(c)(2) of the Trust Indenture Act shall be given by mailing notice of such redemption, by first class mail, postage prepaid, at least 30 days and not more than 60 prior to the date fixed
for redemption, to such Holders at such addresses as were so furnished to the Trustee (and, in the case of any such notice given by the Company, the Trustee shall make such information available to the Company for such purpose). Notice of redemption
to all other Holders of Unregistered Securities shall be published in an Authorized Newspaper in the Borough of Manhattan, The City of New York and in an Authorized Newspaper in London (and, if required by Section 3.9, in an Authorized Newspaper in
Luxembourg), in each case, once in each of three successive calendar weeks, the first publication to be not less than 30 nor more than 60 days prior to the date fixed for redemption. Any notice which is mailed in the manner herein provided shall be
conclusively presumed to have been duly given, whether or not the Holder receives the notice. Failure to give notice by mail, or any defect in the notice to the Holder of any Security of a series designated for redemption as a whole or in part shall
not affect the validity of the proceedings for the redemption of such Security of such series. 
  
 The notice of redemption to each such Holder shall specify the principal amount of each Security of such series held by such Holder to be redeemed, the date fixed for redemption, the redemption price, the place or
places of payment, that payment will be made upon presentation and surrender of such Securities and, in the case of Securities with Coupons attached thereto, of all Coupons appertaining thereto maturing after the date fixed for redemption, that such
redemption is pursuant to the mandatory or optional sinking fund, or both, if such be the case, that interest accrued to the date fixed for redemption will be paid as specified in such notice and that on and after said date interest thereon or on
the portions thereof to be redeemed will cease to accrue. In case any Security of a series is to be redeemed in part only the notice of redemption shall state the portion of the principal amount thereof to be redeemed and shall state that on and
after the date fixed for redemption, upon surrender of such Security, a new Security or Securities of such series in principal amount equal to the unredeemed portion thereof will be issued. 
  
 The notice of redemption of Securities of any series to be redeemed at the
option of the Company shall be given by the Company or, at the Company’s request, by the Trustee in the name and at the expense of the Company. 
  
 On or before the redemption date specified in the notice of redemption given as provided in this Section, the Company will deposit with the Trustee or
with one or more Paying Agents (or, if the Company is acting as its own Paying Agent, set aside, segregate and holder in trust as provided in Section 3.4) an amount of money sufficient to redeem on the redemption 
  

 78 

 date all the Securities of such series so called for redemption at the appropriate redemption price, together with
accrued interest to the date fixed for redemption. The Company will deliver to the Trustee at least 70 days prior to the date fixed for redemption, or such shorter period as shall be acceptable to the Trustee, an Officer’s Certificate stating
the aggregate principal amount of Securities to be redeemed. In case of a redemption at the election of the Company prior to the expiration of any restriction on such redemption, the Company shall deliver to the Trustee, prior to the giving of any
notice of redemption to Holders pursuant to this Section, an Officer’s Certificate stating that such restriction has been complied with. 
  
 If less than all the Securities of a series are to be redeemed, the Trustee shall select, in such manner as it shall deemed appropriate and fair, in its
sole discretion, Securities of such series to be redeemed in whole or in part. Securities may be redeemed in part in multiples equal to the minimum authorized denomination for Securities of such series or any multiple thereof. The Trustee shall
promptly notify the Company in writing of the Securities of such series selected for redemption and, in the case of any Securities of such series selected for partial redemption, the principal amount thereof to be redeemed. For all purposes of this
Indenture, unless the context otherwise requires, all provisions relating to the redemption of Securities of any series shall relate, in the case of any Security redeemed or to be redeemed only in part, to the portion of the principal amount of such
Security which has been or is to be redeemed. 
  
 SECTION 12.3 Payment of Securities Called for Redemption. 
  
 If notice of redemption has been given as above provided, the Securities or portions of Securities specified in such notice shall become due and payable on the date and at the place stated in such notice at the applicable redemption price,
together with interest accrued to the date fixed for redemption, and on and after said date (unless the Company shall default in the payment of such Securities at the redemption price, together with interest accrued to said date) interest on the
Securities or portions of Securities so called for redemption shall cease to accrue, and the unmatured Coupons, if any, appertaining thereto shall be void, and, except as provided in Sections 6.5 and 10.4, such Securities shall cease from and after
the date fixed for redemption to be entitled to any benefit or security under this Indenture, and the Holders thereof shall have no right in respect of such Securities except the right to receive the redemption price thereof and unpaid interest to
the date fixed for redemption. On presentation and surrender of such Securities at a place of payment specified in said notice, together with all Coupons, if any, appertaining thereto maturing after the date fixed for redemption, said Securities or
the specified portions thereof shall be paid and redeemed by the Company at the applicable redemption price, together with 
  

 79 

 interest accrued thereon to the date fixed for redemption; provided, that payment of interest becoming due on or prior to
the date fixed for redemption shall be payable in the case of Securities with Coupons attached thereto, to the Holders of the Coupons for such interest upon surrender thereof, and in the case of Registered Securities, to the Holder of such
Registered Securities registered as such on the relevant record date, subject to the terms and provisions of Section 2.3 and 2.7 hereof. 
  
 If any Security called for redemption shall not be so paid upon surrender thereof for redemption, the principal shall, until paid or duly provided for,
bear interest from the date fixed for redemption at the rate of interest or Yield to Maturity (in the case of an Original Issue Discount Security) borne by such Security. 
  
 If any Security with Coupons attached thereto is surrendered for redemption and is not accompanied by all appurtenant
Coupons maturing after the date fixed for redemption, the surrender of such missing Coupon or Coupons may be waived by the Company and the Trustee, if there be furnished to each of them such security or indemnity as they may require to save each of
them harmless. 
  
 Upon presentation of any Security redeemed in
part only, the Company shall execute and the Trustee shall authenticate and deliver to or on the order of the Holder thereof, at the expense of the Company, a new Security or Securities of such series, of authorized denominations, in principal
amount equal to the unredeemed portion of the Security so presented. 
  
 SECTION
12.4 Exclusion of Certain Securities from Eligibility for Selection for Redemption. 
  
 Securities shall be excluded from eligibility for selection for redemption if they are identified by registration and certificate number in an Officer’s Certificate delivered to the Trustee at least 40 days prior
to the last date on which notice of redemption may be given as being owned of record and beneficially by, and not pledged or hypothecated by, either (a) the Company or (b) an entity specifically identified in such written statement as directly or
indirectly controlling or controlled by or under direct or indirect common control with the Company. 
  
 SECTION 12.5 Mandatory and Optional Sinking Funds. 
  
 The minimum amount of any sinking fund payment provided for by the terms of the Securities of any series is herein referred to as a “mandatory sinking fund payment,” and any payment in excess of such minimum
amount provided for by the 
  

 80 

 terms of the Securities of any series is herein referred to as an “optional sinking fund payment.” The date on
which a sinking fund payment is to be made is herein referred to as the “sinking fund payment date.” 
  
 In lieu of making all or any part of any mandatory sinking fund payment with respect to any series of Securities in cash, the Company may at its option
(a) deliver to the Trustee Securities of such series theretofore purchased or otherwise acquired (except upon redemption pursuant to the mandatory sinking fund) by the Company or receive credit for Securities of such series (not previously so
credited) theretofore purchased or otherwise acquired (except as aforesaid) by the Company and delivered to the Trustee for cancellation pursuant to Section 2.10, (b) receive credit for optional sinking fund payments (not previously so credited)
made pursuant to this Section, or (c) receive credit for Securities of such series (not previously so credited) redeemed by the Company through any optional redemption provision contained in the terms of such series. Securities so delivered or
credited shall be received or credited by the Trustee at the sinking fund redemption price specified in such Securities. 
  
 On or before the 60th day next preceding each sinking fund payment date for any series, the Company will deliver to the Trustee an Officer’s
Certificate (which need not contain the statements required by Section 11.5) (a) specifying the portion of the mandatory sinking fund payment to be satisfied by payment of cash and the portion to be satisfied by credit of Securities of such series
and the basis for such credit, (b) stating that none of the Securities of such series has theretofore been so credited, (c) stating that no defaults in the payment of interest or Events of Default with respect to such series have occurred (which
have not been waived or cured) and are continuing and (d) stating whether or not the Company intends to exercise its right to make an optional sinking fund payment with respect to such series and, if so, specifying the amount of such optional
sinking fund payment which the Company intends to pay on or before the next succeeding sinking fund payment date. Any Securities of such series to be credited and required to be delivered to the Trustee in order for the Company to be entitled to
credit therefor as aforesaid which have not theretofore been delivered to the Trustee shall be delivered for cancellation pursuant to Section 2.10 to the Trustee with such Officer’s Certificate (or reasonably promptly thereafter if acceptable
to the Trustee). Such Officer’s Certificate shall be irrevocable and upon its receipt by the Trustee the Company shall become unconditionally obligated to make all the cash payments or payments therein referred to, if any, on or before the next
succeeding sinking fund payment date. Failure of the Company, on or before any such 60th day, to deliver such Officer’s Certificate and Securities specified in this paragraph, if any, shall not constitute a default but shall constitute, on and
as of such date, the irrevocable election of the Company (i) that the mandatory sinking fund payment for such series due on the next succeeding sinking fund payment date shall be paid entirely 
  

 81 

 in cash without the option to deliver or credit Securities of such series in respect thereof and (ii) that the Company
will make no optional sinking fund payment with respect to such series as provided in this Section. 
  
 If the sinking fund payment or payments (mandatory or optional or both) to be made in cash on the next succeeding sinking fund payment date plus any
unused balance of any preceding sinking fund payments made in cash shall exceed $50,000 (or the equivalent thereof in any Foreign Currency or ECU) or a lesser sum in Dollars (or the equivalent thereof in any Foreign Currency or ECU) if the Company
shall so request with respect to the Securities of any particular series, such cash shall be applied on the next succeeding sinking fund payment date to the redemption of Securities of such series at the sinking fund redemption price together with
accrued interest to the date fixed for redemption. If such amount shall be $50,000 (or the equivalent thereof in any Foreign Currency or ECU) or less and the Company makes no such request then it shall be carried over until a sum in excess of
$50,000 (or the equivalent thereof in any Foreign Currency or ECU) is available. The Trustee shall select, in the manner provided in Section 12.2, for redemption on such sinking fund payment date a sufficient principal amount of Securities of such
series to absorb said cash, as nearly as may be, and shall (if requested in writing by the Company) inform the Company of the serial numbers of the Securities of such series (or portions thereof) so selected. Securities shall be excluded from
eligibility for redemption under this Section if they are identified by registration and certificate number in an Officer’s Certificate delivered to the Trustee at least 60 days prior to the sinking fund payment date as being owned of record
and beneficially by, and not pledged or hypothecated by, either (a) the Company or (b) an entity specifically identified in such Officer’s Certificate as directly or indirectly controlling or controlled by or under direct or indirect common
control with the Company. The Trustee, in the name and at the expense of the Company (or the Company, if it shall so request the Trustee in writing) shall cause notice of redemption of the Securities of such series to be given in substantially the
manner provided in Section 12.2 (and with the effect provided in Section 12.3) for the redemption of Securities of such series in part at the option of the Company. The amount of any sinking fund payments not so applied or allocated to the
redemption of Securities of such series shall be added to the next cash sinking fund payment for such series and, together with such payment, shall be applied in accordance with the provisions of this Section. Any and all sinking fund moneys held on
the Stated Maturity date of the Securities of any particular series (or earlier, if such maturity is accelerated), which are not held for the payment or redemption of particular Securities of such series shall be applied, together with other moneys,
if necessary, sufficient for the purpose, to the payment of the principal of, and interest on, the Securities of such series at Maturity. 
  
  

 82 

 On or before each sinking fund payment date, the Company shall pay to the Trustee in cash or shall
otherwise provide for the payment of all interest accrued to the date fixed for redemption on Securities to be redeemed on the next following sinking fund payment date. 
  
 The Trustee shall not redeem or cause to be redeemed any Securities of a series with sinking fund moneys or give any notice
of redemption of Securities for such series by operation of the sinking fund during the continuance of a default in payment of interest on such Securities or of any Event of Default except that, where the giving of notice of redemption of any
Securities shall theretofore have been made, the Trustee shall redeem or cause to be redeemed such Securities, provided that it shall have received from the Company a sum sufficient for such redemption. Except as aforesaid, any moneys in the sinking
fund for such series at the time when any such default or Event of Default shall occur, and any moneys thereafter paid into the sinking fund, shall, during the continuance of such default or Event of Default be deemed to have been collected under
Article 5 and held for the payment of all such Securities. In case such Event of Default shall have been waived as provided in Section 5.14 or the default cured on or before the sixtieth day preceding the sinking fund payment date in any year, such
moneys shall thereafter be applied on the next succeeding sinking fund payment date in accordance with this Section to the redemption of such Securities. 
  
 [Signature page follows] 
  

 83 

 IN WITNESS WHEREOF, the parties hereto have caused this Indenture to be duly executed and attested as of
the date first written above. 
  

			
	 HEALTHSOUTH CORPORATION

		
	 By:
	 	 /s/ MICHAEL D. MARTIN

	 	 	 Michael D. Martin

	 	 	 Executive Vice President,

	 	 	 Chief Financial Officer and

	 	 	 Treasurer

  

			
	 Attest:

		
	 By:
	 	 /s/ WILLIAM W. HORTON

	 	 	 Assistant Secretary

  

			
	 PNC BANK, NATIONAL ASSOCIATION, as Trustee

		
	 By:
	 	 /s/ DAVID G. METCALF

	 Name:
	 	 David G. Metcalf

	 Title:
	 	 Vice President

  

			
	 Attest:

		
	 By:
	 	 /s/ W. MICHAEL HANKS

	 	 	 W. Michael Hanks

	 	 	 Vice President

  

 84 

			
	 STATE OF ALABAMA
	 	        )
	                                        
     : ss.:

	 COUNTY OF JEFFERSON
	 	            )

  
 On the 22nd day of
June, 1998, before me personally came Michael D. Martin, to me known, who, being by me duly sworn, did depose and say that he is EVP, CFO and Treasurer of HEALTHSOUTH Corporation, one of the corporations described in and which executed the foregoing
instrument; that he knows the seal of said corporation; that the seal affixed to said instrument is such corporate seal; that it was so affixed by authority of the Board of Directors of said corporation; and that he signed his name thereto by like
authority. 
  

			
	 [NOTARIAL SEAL]
	 	 /s/ KATHY P. JONES

	 	 	 Notary Public

  

 85 

			
	 STATE OF KENTUCKY
	 	        )
	                                        
     : ss.:

	 COUNTY OF JEFFERSON
	 	            )

  
 On the 22nd day of
June, 1998, before me personally came David G. Metcalf, to me known, who, being by me duly sworn, did depose and say that he is Vice President of PNC Bank, National Association, one of the corporations described in and which executed the foregoing
instrument; that he knows the seal of said corporation; that the seal affixed to said instrument is such corporate seal; that it was so affixed by authority of the Board of Directors of said corporation; and that he signed his name thereto by like
authority. 
  

			
	 [NOTARIAL SEAL]
	 	 /s/ W. MICHAEL HANES

	 	 	 Notary Public

  

 86Form of Officer's Certificate

 EXHIBIT 4.1.2 
  
 HEALTHSOUTH CORPORATION 
 OFFICERS’ CERTIFICATE PURSUANT TO 
 SECTIONS 2.3 AND 11.5 OF THE INDENTURE 
  
 Michael D. Martin and William W. Horton do hereby certify that they are the
Executive Vice President, Chief Financial Officer and Treasurer and Senior Vice President, Corporate Counsel and Assistant Secretary, respectively, of HEALTHSOUTH Corporation, a Delaware corporation (the “Company”) and do further certify,
pursuant to resolutions of the Board of Directors of the Company adopted on May 21, 1998 and resolutions of the Pricing Committee of said Board of Directors adopted on June 17, 1998 (collectively, the “Resolutions”), and in accordance with
Sections 2.3 and 11.5 of the Indenture (the Indenture as amended and supplemented by the Resolutions is herein referred to as the “Indenture”) dated as of June 22, 1998 between the Company and PNC Bank, National Association, as trustee
(the “Trustee”), as follows: 
  
 1. Two series of
securities to be issued under the Indenture and designated as the Company’s 6.875% Senior Notes due 2005 (the “2005 Notes”), and 7.0% Senior Notes due 2008 (the “2008 Notes”) have been authorized. Each of the 2005 Notes and
the 2008 Notes are a separate series of securities under the Indenture and are referred to herein collectively as the “Securities.” Attached hereto as Annex A is a true and correct copy of a specimen 2005 Note (the “Form of 2005
Note”) and attached hereto as Annex B is a true and correct copy of a specimen 2008 Note (the “Form of 2008 Note”). The Form of 2005 Note and the Form of 2008 Note are herein collectively referred to as the “Forms of
Securities.” 
  
 2. The 2005 Notes shall be limited to
$250,000,000 in aggregate principal amount and shall mature on June 15, 2005. The 2005 Notes shall bear interest at the rate of 6.875% per annum from June 22, 1998, payable semiannually on each June 15 and December 15 commencing December 15, 1998.
The 2005 Notes were issued at the initial offering price of 99.729% of principal amount. The 2005 Notes shall be redeemable as provided in the Form of 2005 Note attached hereto as Annex A. 
  
 3. The 2008 Notes shall be limited to $250,000,000 in aggregate principal
amount and shall mature on June 15, 2008. The 2008 Notes shall bear interest at the rate of 7.0% per annum from June 22, 1998, payable semiannually on each June 15 and December 15 commencing December 15, 1998. The 2008 Notes were issued at the
initial offering price of 99.050% of principal amount. The 2008 Notes shall be redeemable as provided in the Form of 2008 Note attached hereto as Annex B. 
  

 1 

 4. The following terms shall apply to each of the Securities: 
  
 (a) The Securities shall be issued initially in minimum
denominations of $1,000 and integral multiples of $1,000; 
  
 (b) The Securities shall be issued initially in part as global securities in registered form in the name of the Depositary (hereinafter defined) or its nominee in such denominations as shall be specified in a Company
Order delivered in accordance with the Indenture and otherwise as provided in the Forms of Securities with such changes thereto as may be required in the process of printing or otherwise producing the Securities and which will not affect the
substance thereof; 
  
 (c) The Depositary for the
global Securities shall be The Depository Trust Company; 
  
 (d) The global Securities shall be exchangeable for definitive Securities in registered form substantially the same as the global Securities in denominations of $1,000 or any integral multiple thereof upon the terms
and in accordance with the provisions of the Indenture; 
  
 (e) The Securities shall be payable (as to both principal and interest) when and as the same shall become due at the office of the Trustee, PNC Bank, National Association, provided that, as long as any part of the
Securities are in the form of one or more global Securities, payments of interest with respect thereto may be made by wire transfer, and provided further that, with respect to Securities issued in definitive form, the Company may elect to exercise
its option to have interest paid by check mailed to the registered owners’ address as they appear on the Register, as kept by the Trustee on each Record Date; and 
  
 (f) The defeasance and covenant defeasance provisions of Article 10 of the Indenture shall be applicable to
the Securities. 
  
 5. The Forms of Securities set forth certain
of the terms required to be set forth in this certificate pursuant to Section 2.3 of the Indenture, and said terms are incorporated herein by reference. 
  
 6. In addition to the covenants set forth in Article 3 of the Indenture, the Securities shall include the following additional covenants: 
  
 “Section 3.10 Limitation on Liens. 
  

 2 

 The Company shall not, nor will it permit any Subsidiary to, create or assume any Indebtedness for money
borrowed which is secured by a mortgage, security interest, pledge, charge, lien or other similar encumbrance of any kind (collectively, a “lien”) upon any assets, whether now owned or hereafter acquired, of the Company or any such
Subsidiary without equally and ratably securing the Securities by a lien ranking ratably with and equally to such secured Indebtedness, except that the foregoing restriction shall not apply to (i) liens on assets of any corporation existing at the
time such corporation becomes a Subsidiary; (ii) liens on assets existing at the time of acquisition thereof, or to secure the payment of the purchase price of such assets, or to secure indebtedness incurred or guaranteed by the Company or a
Subsidiary for the purpose of financing the purchase price of such assets or improvements or construction thereon, which indebtedness is incurred or guaranteed prior to, at the time of or within 360 days after such acquisition (or in the case of
real property, completion of such improvement or construction or commencement of full operation of such property, whichever is later); (iii) liens securing indebtedness owed by any Subsidiary to the Company or another wholly-owned Subsidiary; (iv)
liens on any assets of a corporation existing at the time such corporation is merged into or consolidated with the Company or a Subsidiary or at the time of a purchase, lease or other acquisition of the assets of a corporation or firm as an entirety
or substantially as an entirety by the Company or a Subsidiary; (v) liens on any assets of the Company or a Subsidiary in favor of the United States of America or any state thereof, or in favor of any other country, or in favor of any political
subdivision of any of the foregoing, to secure certain payments pursuant to any contract or statute or to secure any indebtedness incurred or guaranteed for the purpose of financing all or any part of the purchase price (or, in the case of real
property, the cost of construction) of the assets subject to such liens (including but not limited to, liens incurred in connection with industrial revenue or similar financing involving a political subdivision, agency or authority thereof); (vi)
any extension, renewal or replacement (or successive extensions, renewals or replacements) in whole or in part, of any lien referred to in the foregoing clauses (i) to (v), inclusive; (vii) certain statutory liens or other similar liens arising in
the ordinary course of business of the Company or a Subsidiary, or certain liens arising out of government contracts; (viii) certain pledges, deposits or liens made or arising under workers compensation or similar legislation or in certain other
circumstances; (ix) certain liens in connection with legal proceedings, including certain liens arising out of judgments or awards; (x) liens for certain taxes or assessments, landlord’s liens and liens and charges incidental to the conduct of
the business or the ownership of the assets of the Company or of a Subsidiary, which were not incurred in connection with the borrowing of money and which do not, in the opinion of the Company, materially impair the use of such assets in the
operation of the business of the Company or such Subsidiary or 
  

 3 

 the value of such assets for the purposes thereof or (xi) liens relating to accounts receivable of the Company or any of
its Subsidiaries which have been sold, assigned or otherwise transferred to another Person in a transaction classified as a sale of accounts receivable in accordance with generally accepted accounting principles (to the extent the sale by the
Company or the applicable Subsidiary is deemed to give rise to a lien in favor of the purchaser thereof in such accounts receivable or the proceeds thereof). Notwithstanding the above, the Company or any Subsidiary may, without securing the
Securities, create or assume any Indebtedness which is foregoing restrictions, provided that after giving effect thereto the Exempted Debt then outstanding does not exceed 10% of the total Consolidated Tangible Assets of the Company and its
Subsidiaries at such time. 
  
 Section 3.11 Limitations on Sale
and Lease-Back Transactions. 
  
 The Company shall not, nor shall
it permit any of its Subsidiaries to, enter into any sale and lease-back transaction (except such transactions involving leases for less than three years) for the sale and leasing back of any property or asset unless (i) the Company or such
Subsidiary would be entitled pursuant to clauses (i) through (xi) of Section 3.10 to create, incur or permit to exist a lien on the assets to be leased in an amount at least equal to the Attributable Debt in respect of such transaction without
equally and ratably securing the Securities, or (ii) the proceeds of the sale of the assets to be leased are at least equal to their fair market value and the proceeds are applied to the purchase or acquisition (or, in the case of real property, the
construction) of assets or to the retirement of indebtedness.” 
  
 7. In addition to the definitions set forth in Article 1 of the Indenture, the following additional definitions shall apply with respect to the 2005 Notes and the 2008 Notes and, in the event of a conflict with the definition of terms in
the Indenture, such additional definitions shall control: 
  
 “Attributable Debt” means, in connection with a sale and lease-back transaction, the lesser of (i) the fair value of the assets subject to such transaction or (ii) the present value of the obligations of the lessee for net rental
payments during the term of any lease discounted at the rate of interest set forth or implicit in the terms of such lease or, if not practicable to determine such rate, the weighted average interest rate per annum borne by the Securities of each
series outstanding pursuant to this Indenture and subject to the limitation on sale and lease-back transactions provisions contained in Section 3.11, compounded semiannually in either case as determined by the principal accounting or financial
officer of the Company. 
  
 “Consolidated Tangible
Assets” of any Person as of any date means the total assets of such Person and its Subsidiaries 
  

 4 

 (excluding any assets that would be classified as “intangible assets” under GAAP) on a consolidated basis at
such date, as determined in accordance with GAAP, less all write-ups subsequent to the date of initial issuance of the Securities in the book value of any asset owned by such Person or any of its Subsidiaries. 
  
 “Exempted Debt” means the sum of the following as of the date of
determination: (i) Indebtedness of the Company and its Subsidiaries incurred after the date of issuance of the Securities and secured by liens not otherwise permitted by the limitation on liens provisions of the Indenture, and (ii) Attributable Debt
of the Company and its Subsidiaries in respect of every sale and lease-back transaction entered into after the date of the issuance of the Securities, other than leases permitted by Section 3.11. 
  
 “GAAP” shall mean generally accepted accounting principles set
forth in the opinions and pronouncements of the Accounting Principles Board of the American Institute of Certified Public Accountants and statements and pronouncements of the Financial Accounting Standards Board or in such other statements by such
other entity as may be approved by a significant segment of the accounting profession of the United States, as from time to time in effect. 
  
 “Indebtedness” shall mean all items classified as indebtedness on the most recently available consolidated balance sheet of the Company and its
Subsidiaries, in accordance with GAAP. 
  
 8. Each of the
undersigned is authorized to approve the form, terms and conditions of the Securities pursuant to the Resolutions. 
  
 9. Attached hereto as Annex D is a true and correct copy of the Resolutions. 
  
 10. Attached hereto as Annex E are true and correct copies of the letter addressed to the Trustee entitling the Trustee to
rely on the Opinion of Counsel attached thereto, which Opinion relates to the Securities and complies with Section 11.5 of the Indenture. 
  
 11. Each of the undersigned has reviewed the provisions of the Indenture, including the covenants and conditions precedent pertaining to the issuance of
the Securities. 
  
 12. In connection with this certificate each
of the undersigned has examined documents, corporate records and certificates and has spoken with other officers of the Company. 
  
 13. Each of the undersigned has made such examination and investigation as is necessary to enable him to express an informed opinion as to whether or not
the covenants and conditions precedent of the Indenture pertaining to the issuance of the Securities have been satisfied. 
  

 5 

 14. In our opinion all of the covenants and conditions precedent provided for in the Indenture for the
issuance of the Securities have been satisfied. 
  
 15. If and to
the extent that any provision of this certificate qualifies or conflicts with any provision of the Indenture, the provisions of this certificate shall control. 
  

Capitalized terms used herein that are not otherwise defined shall have the meanings ascribed thereto in the Indenture or the Securities, as the case
may be. 
  
 IN WITNESS WHEREOF, each of the undersigned officers
has executed this certificate this 22nd day of June 1998. 
  

	
	 /s/ MICHAEL D. MARTIN

	 Michael D. Martin

	 Executive Vice President,

	 Chief Financial Officer and

	 Treasurer

	
	 /s/ WILLIAM W. HORTON

	 William W. Horton

	 Senior Vice President,

	 Corporate Counsel and

	 Assistant Secretary

  

 6 

 Annex A 
  
 THIS NOTE IS A GLOBAL SECURITY WITHIN THE MEANING OF THE INDENTURE HEREINAFTER REFERRED TO AND IS REGISTERED IN THE NAME OF A DEPOSITARY OR A NOMINEE OF A
DEPOSITARY. THIS NOTE IS EXCHANGEABLE FOR NOTES REGISTERED IN THE NAME OF A PERSON OTHER THAN THE DEPOSITARY OR ITS NOMINEE ONLY IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE, AND NO TRANSFER OF THIS NOTE (OTHER THAN A TRANSFER OF THIS
NOTE AS A WHOLE BY THE DEPOSITARY TO A NOMINEE OF THE DEPOSITARY OR BY A NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY OR ANOTHER NOMINEE OF THE DEPOSITARY) MAY BE REGISTERED EXCEPT IN SUCH LIMITED CIRCUMSTANCES. 
  
 UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITORY TRUST COMPANY (55 WATER STREET, NEW YORK, NEW YORK) TO THE COMPANY OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY NOTE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR SUCH OTHER NAME AS REQUESTED BY AN
AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY AND ANY PAYMENT THEREON IS MADE TO CEDE & CO., ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY A PERSON IS WRONGFUL SINCE THE REGISTERED OWNER HEREOF, CEDE & CO.,
HAS AN INTEREST HEREIN. 
  

			
	 	 	                                        
                             HEALTHSOUTH CORPORATION

		
	 	 	                                        
                             6.875% SENIOR NOTE DUE 2005

	 No.        
	 	 
	 	 	CUSIP NO. 421924-AG-6
		
	 	 	$                                     
           

  
 THE SECURITY EVIDENCED HEREBY HAS NOT
BEEN REGISTERED UNDER THE U.S. SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND, ACCORDINGLY, MAY NOT BE OFFERED OR SOLD WITHIN THE UNITED STATES OR TO, OR FOR THE ACCOUNT OR BENEFIT OF, U.S. PERSONS EXCEPT AS SET FORTH IN
THE FOLLOWING SENTENCE. BY ITS ACQUISITION HEREOF, THE HOLDER (1) REPRESENTS THAT (A) IT IS A “QUALIFIED INSTITUTIONAL BUYER” (AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT) OR (B) IT IS AN INSTITUTIONAL AACCREDITED INVESTOR” (AS
DEFINED IN RULE 501(A)(1)(2)(3) OR (7) UNDER THE SECURITIES ACT) (“INSTITUTIONAL ACCREDITED INVESTOR”) OR (C) IT IS NOT A U.S. PERSON AND IS ACQUIRING THE SECURITY EVIDENCED HEREBY IN AN OFFSHORE TRANSACTION, (2) AGREES THAT IT WILL NOT
PRIOR TO THE EXPIRATION OF THE HOLDING PERIOD APPLICABLE TO SALES OF THE SECURITY EVIDENCED HEREBY UNDER RULE 144(K) UNDER THE SECURITIES ACT (OR ANY SUCCESSOR PROVISION), RESELL OR OTHERWISE TRANSFER THE SECURITY EVIDENCED HEREBY EXCEPT (A) TO
HEALTHSOUTH CORPORATION (THE “COMPANY”) OR ANY SUBSIDIARY THEREOF, (B) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT, (C) TO A QUALIFIED INSTITUTIONAL BUYER IN COMPLIANCE WITH RULE 144A UNDER THE SECURITIES ACT,
(D) TO AN INSTITUTIONAL ACCREDITED INVESTOR THAT, PRIOR TO SUCH TRANSFER, FURNISHES TO THE TRUSTEE FOR THE NOTES A SIGNED LETTER CONTAINING CERTAIN REPRESENTATIONS AND AGREEMENTS RELATING TO THE RESTRICTIONS ON TRANSFER OF THE SECURITY EVIDENCED
HEREBY (THE FORM OF WHICH LETTER CAN BE OBTAINED FROM SUCH TRUSTEE), (E) OUTSIDE THE UNITED STATES IN COMPLIANCE WITH RULE 904 UNDER THE SECURITIES ACT OR (F) PURSUANT TO THE EXEMPTION FROM REGISTRATION PROVIDED BY RULE 144 UNDER THE SECURITIES ACT
(IF AVAILABLE) AND (3) AGREES THAT IT WILL DELIVER TO EACH PERSON TO WHOM THE SECURITY EVIDENCED HEREBY IS TRANSFERRED A NOTICE SUBSTANTIALLY TO THE EFFECT OF THIS LEGEND. IN CONNECTION WITH ANY TRANSFER OF THE SECURITY EVIDENCED HEREBY PRIOR TO THE
EXPIRATION OF THE HOLDING PERIOD APPLICABLE TO SALES OF THE SECURITY EVIDENCED HEREBY UNDER RULE 144(K) UNDER THE SECURITIES ACT (OR ANY SUCCESSOR PROVISION), THE HOLDER MUST CHECK THE APPROPRIATE BOX SET FORTH ON THE REVERSE HEREOF RELATING TO THE
MANNER OF SUCH TRANSFER AND SUBMIT THIS CERTIFICATE TO THE TRUSTEE FOR THE NOTES. IF THE PROPOSED TRANSFEREE IS AN INSTITUTIONAL ACCREDITED INVESTOR OR A PURCHASER WHO IS NOT A U.S. PERSON, THE HOLDER MUST, PRIOR TO SUCH TRANSFER, FURNISH TO THE
TRUSTEE FOR THE NOTES SUCH CERTIFICATIONS, LEGAL OPINIONS OR OTHER INFORMATION AS THE COMPANY OR THE TRUSTEE MAY REASONABLY REQUIRE, TO CONFIRM THAT SUCH TRANSFER IS BEING MADE PURSUANT TO AN EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE
REGISTRATION REQUIREMENTS OF THE SECURITIES ACT. THIS LEGEND WILL BE REMOVED AFTER THE EXPIRATION OF THE HOLDING PERIOD APPLICABLE TO SALES OF THE SECURITY EVIDENCED HEREBY UNDER RULE 144(K) UNDER THE SECURITIES ACT. AS USED HEREIN, THE TERMS
“OFFSHORE TRANSACTION,” “UNITED STATES” AND “U.S. PERSON” HAVE THE MEANINGS GIVEN TO THEM BY REGULATION S UNDER THE SECURITIES ACT. 
  

 1 

 THE HOLDER HEREOF, BY ITS ACCEPTANCE HEREOF, IS DEEMED TO HAVE AGREED TO BE BOUND BY THE PROVISIONS OF THE REGISTRATION
RIGHTS AGREEMENT, DATED AS OF JUNE 22, 1998, BY AND AMONG THE COMPANY, SALOMON BROTHERS INC, GOLDMAN, SACHS & CO., J.P. MORGAN SECURITIES INC., MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED, MORGAN STANLEY & CO. INCORPORATED,
NATIONSBANC MONTGOMERY SECURITIES LLC, BEAR, STEARNS & CO. INC., CREDIT SUISSE FIRST BOSTON CORPORATION, DEUTSCHE BANK SECURITIES INC., PAINEWEBBER INCORPORATED AND SCOTIA CAPITAL MARKETS (USA) INC. 
  
 HEALTHSOUTH CORPORATION, a Delaware corporation (the “Company,”
which term includes any successor corporation under the Indenture hereinafter referred to), for value received, hereby promises to pay to Cede & Co., the principal sum of
             on June 15, 2005, and to pay interest on said principal sum from June 22, 1998, or from the most recent interest payment date to which interest has been paid or duly
provided for, semiannually in arrears on June 15 and December 15 (each such date, an “Interest Payment Date”) of each year commencing on December 15, 1998, at the rate of 6.875% per annum until the principal hereof shall have become due
and payable. 
  
 The amount of interest payable on any Interest
Payment Date shall be computed on the basis of a 360 day year comprised of twelve 30 day months. The interest installment so payable, and punctually paid or duly provided for, on any Interest Payment Date will, as provided in the Indenture (as
defined below) be paid to the person in whose name this Note (or one or more predecessor Notes) is registered at the close of business on the record date for such interest installment, which shall be the close of business on the immediately
preceding June 1 and December 1 prior to such Interest Payment Date, as applicable. The principal of, premium, if any, and the interest on this Note will be payable at the office or agency of the Company maintained for that purpose in the Borough of
Manhattan, The City of New York in any coin or currency of the United States of America that at the time of payment is legal tender for payment of public and private debts; provided, however, that payment of interest may be made at the option of the
Company by check mailed to the person entitled thereto at such address as shall appear in the registry books of the Company; provided, further that for so long as this Note is represented by a Registered Global Security, payment of principal,
premium, if any, or interest on this Note may be made by wire transfer to the account of the Depositary or its nominee. In the event that any date on which the principal, premium, if any, or interest on this Note is payable is not a Business Day,
then payment of principal, premium, if any, or interest payable on such date will be made on the next succeeding day that is a Business Day (and without any interest or other payment in respect of such delay). 
  
 Unless the certificate of authentication hereon has been executed by or on
behalf of the Trustee (as defined below) under the Indenture (as defined below), by the manual signature of one of its authorized officers, this Note shall not be entitled to any benefit under the Indenture or be valid or obligatory for any purpose.

  
 Capitalized terms used in this Note which are defined in the
Indenture shall have the respective meanings assigned to them in the Indenture. 
  
 Reference is hereby made to the further provisions of this Note hereinafter set forth, which further provisions shall for all purposes have the same effect as if set forth at this place. 
  

 2 

 IN WITNESS WHEREOF, the Company has caused this instrument to be duly executed, manually or in facsimile,
and an imprint or facsimile of its corporate seal to be imprinted hereon. 
  

			
	HEALTHSOUTH Corporation
		
	By	 	  

	 	 	Michael D. Martin
	 	 	Executive Vice President,
	 	 	Chief Financial Officer and Treasurer
	 	 	 

  

			
	ATTEST:
		
	 	 	  

	 	 	William W. Horton
	 	 	Senior Vice President,
	 	 	Corporate Counsel and Assistant Secretary

  
 CERTIFICATE OF AUTHENTICATION This is
one of the Securities referred to in the within-mentioned Indenture. 

			
	
	PNC BANK, NATIONAL ASSOCIATION,
	as Trustee
		
	By	 	  

	 	 	Authorized Officer
	
	Dated:                     

  

 3 

 REVERSE SIDE OF NOTE 
  
 This Note is one of a duly authorized series of securities (the ASecurities”) of the Company designated as its 6.875%
Senior Notes due 2005 limited in aggregate principal amount to $250,000,000 (the “Notes”). The Securities are all issued or to be issued under and pursuant to an Indenture, dated as of June 22, 1998, as supplemented by that certain
Officers’ Certificate dated June 22, 1998 (the Indenture as supplemented by the Officers’ Certificate being herein collectively referred to as the “Indenture”), duly executed and delivered between the Company and PNC Bank,
National Association (the “Trustee,” which term includes any successor Trustee with respect to the Notes under the Indenture), to which Indenture and all indentures supplemental thereto reference is hereby made for a statement of the
respective rights thereunder of the Company, the Trustee and the holders of the Securities and the terms upon which the Notes are to be authenticated and delivered. The terms of individual series of Securities may vary with respect to interest rate
or interest rate formulas, issue dates, maturity, redemption, repayment, currency of payment and otherwise. 
  
 Reference is hereby made to the Indenture for a description of the terms of the Notes, to all of the provisions of which Indenture the holder of this
Note, by acceptance hereof, assents and agrees. 
  
 Except as set
forth below, this Note is not redeemable and is not entitled to the benefit of a sinking fund or any analogous provision. 
  
 This Note is redeemable as a whole or in part, at the option of the Company, at any time at a redemption price equal to the greater of (i) 100% of its
principal amount and (ii) the sum of the present values of the remaining scheduled payments of principal and interest thereon discounted to the date of redemption on a semi-annual basis (assuming a 360-day year consisting of twelve 30-day months) at
the Treasury Yield plus 15 basis points, plus, in each case, accrued interest to the date of redemption. On and after the redemption date, interest will cease to accrue on the Notes or any portion thereof called for redemption. On or before the
redemption date, the Company shall deposit with a paying agent (or the Trustee) money sufficient to pay the redemption price of and accrued interest on the Notes to be redeemed on such date. If less than all of the Notes are to be redeemed, the
Notes to be redeemed shall be selected by the Trustee by such method as the Trustee shall deem fair and appropriate. The Holder of this Note will receive notice thereof by first-class mail at least 30 and not more than 60 days prior to the date
fixed for redemption. 
  

 4 

 “Treasury Yield” means, with respect to any redemption date, the rate per annum equal to the
semi-annual equivalent yield to maturity of the Comparable Treasury Issue, assuming a price for the Comparable Treasury Issue (expressed as a percentage of its principal amount) equal to the Comparable Treasury Price for such redemption date.
“Comparable Treasury Issue” means the United States Treasury security selected by an Independent Investment Banker as having a maturity comparable to the remaining term of the Note that would be utilized, at the time of selection and in
accordance with customary financial practice, in pricing new issues of corporate debt securities of comparable maturity to the remaining term of the Note. “Independent Investment Banker” means Salomon Brothers Inc and its successor or, if
such firm is unwilling or unable to select the Comparable Treasury Issue, an independent investment banking institution of national standing appointed by the Trustee. “Comparable Treasury Price” means, with respect to any redemption date,
(i) the average of the bid and asked prices for the Comparable Treasury Issue (expressed in each case as a percentage of its principal amount) on the third business day preceding such redemption date, as set forth in the daily statistical release
(or any successor release) published by the Federal Reserve Bank of New York and designated “Composite 3:30 p.m. Quotations for U.S. Government Securities” or (ii) if such release (or any successor release) is not published or does not
contain such prices on such business day, (A) the average of the Reference Treasury Dealer Quotations for such redemption date, after excluding the highest and lowest such Reference Treasury Dealer Quotations, or (B) if the Trustee obtains fewer
than four such Reference Treasury Dealer Quotations, the average of all such quotations. “Reference Treasury Dealer Quotations” means, with respect to each Reference Treasury Dealer and any redemption date, the average, as determined by
the Trustee, of the bid and asked prices of the Comparable Treasury Issue (expressed in each case as a percentage of its principal amount) quoted in writing to the Trustee by such Reference Treasury Dealer at 5:00 p.m. on the third business day
preceding such redemption date. “Reference Treasury Dealer” means a primary U.S. Government Securities dealer in New York City selected by the Trustee after consultation with the Company. 
  
 If an Event of Default with respect to the Notes shall occur and be
continuing, the principal of all the Notes may be declared due and payable in the manner and with the effect provided in the Indenture. 
  

 5 

 The Indenture contains provisions permitting the Company and the Trustee, with the consent of the holders
of not less than a majority in aggregate principal amount of the Securities of all series issued under such Indenture then outstanding and affected (voting as one class) to add any provisions to, or change in any manner or eliminate any of the
provisions of, such Indenture or modify in any manner the rights of the holders of the Securities of each series or Coupons so affected; provided that the Company and the Trustee may not, without the consent of the holder of each Outstanding Note
affected thereby, (i) extend the final maturity of the principal of any Note, or reduce the principal amount thereof, or premium thereon, if any, or reduce the rate or extend the time of payment of interest thereon, or reduce any amount payable on
redemption thereof or make the principal thereof (including any amount in respect of original issue discount), or interest thereon payable in any coin or currency other than that provided in the Securities or Coupons or in accordance with the terms
thereof, or reduce the amount of principal of an Original Issue Discount Security that would be due and payable upon an acceleration of the maturity thereof or the amount thereof provable in bankruptcy or alter certain provisions of the Indenture
relating to Securities not denominated in Dollars or the Judgment Currency of such Securities or impair or affect the right of any Securityholder to institute suit for the enforcement of any payment thereof when due or, if the Securities provide
therefor, any right of repayment at the option of the Securityholder or (ii) reduce the aforesaid percentage in principal amount of Securities of any series issued under such Indenture, the consent of the holders of which is required for any such
modification. It is also provided in the Indenture that, with respect to certain defaults or Events of Default regarding the Securities of any series, the holders of a majority in aggregate principal amount Outstanding of the Securities of each such
series, each such series voting as a separate class (or, of all Securities, as the case may be, voting as a single class) may under certain circumstances waive all defaults with respect to each such series (or with respect to all the Securities, as
the case may be) and rescind and annul a declaration of default and its consequences, but no such waiver or rescission and annulment shall extend to or affect any subsequent default or shall impair any right consequent/hereto. The preceding sentence
shall not, however, apply to a default in the payment of the principal of or interest on any of the Securities. 
  
 No reference herein to the Indenture and no provision of this Note or of the Indenture shall alter or impair the obligation of the Company, which is
absolute and unconditional, to pay the principal of and interest on this Note at the time, place and rate, and in the coin or currency, herein prescribed. 
  
 As provided in the Indenture and subject to certain limitations therein set forth, the transfer of this Note may be registered on the registry books of
the Company, upon surrender of this Note for registration of transfer at the office or agency of the Company maintained by the Company for such purpose in the Borough of Manhattan, The City of New York, duly endorsed by, or accompanied by a written
instrument of transfer in form satisfactory to the Company and the Trustee duly executed by, the holder hereof or by its attorney duly authorized in writing, and thereupon one or more new Notes of authorized denominations and for the same aggregate
principal amount will be issued to the designated transferee or transferees. 
  
 The Notes are issuable only in registered form in minimum denominations of $1,000 and integral multiples of $1,000 in excess thereof. As provided in the Indenture and subject to certain limitations therein set forth,
the Notes are exchangeable for a like aggregate principal amount of Notes as requested by the holder surrendering the same. 
  
 No service charge shall be made for any such registration of transfer or exchange, but the Company may require payment of a sum sufficient to cover any
tax or other governmental charge that may be imposed in connection therewith. 
  
 Prior to due presentment of this Note for registration of transfer, the Company, the Trustee and any agent of the Company or the Trustee may treat the person in whose name this Note is registered as the owner hereof
for all purposes, whether or not this Note be overdue, and neither the Company, the Trustee nor any such agent shall be affected by notice to the contrary. 
  
 The Indenture contains provisions for defeasance of (i) the entire indebtedness of the Notes or (ii) certain covenants and Events of Default with respect
to the Notes, in each case upon compliance with certain conditions set forth therein. 
  

 6 

 The Indenture contains covenants which impose certain limitations on the Company’s and its
Subsidiaries’ ability to create or incur certain liens on any of their respective properties or assets and to enter into certain sale and lease-back transactions and on the Company’s ability to engage in mergers or consolidations or the
conveyance, transfer or lease of all or substantially all of its properties and assets. These limitations are subject to a number of important qualifications and exceptions and reference is made to the Indenture for a description thereof.

  
 If (i) a registration statement with respect to an exchange
offer (an “Exchange Offer”) for the Notes (an “Exchange Offer Registration Statement”) is not filed with the Commission by August 21, 1998; or (ii) neither an Exchange Offer Registration Statement is declared effective by the
Commission, nor a shelf registration statement under the Securities Act with respect to resales of the Notes (a “Shelf Registration Statement”) is filed with the Commission, on or before November 19, 1998; or (iii) an Exchange Offer
registered under the Securities Act is not consummated and the applicable Shelf Registration Statement with respect to resales of the Notes is not declared effective on or before December 19, 1998, then in accordance with the terms of the
Registration Rights Agreement, the Company has agreed to pay Holders of the Notes liquidated damages over and above the interest rate set forth on the face of this Note accruing from and including the next day following each of the periods in each
of clauses (i) through (iii) above, in each case at a rate equal to 0.25% per annum. The aggregate amount of liquidated damages payable pursuant to the above provisions will in no event exceed 0.25% per annum. Once the Exchange Offer is consummated
or a Shelf Registration Statement is declared effective, the liquidated damages will cease to accrue. In the event that a Shelf Registration Statement is declared effective, if, due to certain circumstances, the Company fails to keep such Shelf
Registration Statement continuously (x) effective or (y) useable for resales for the period required by the Registration Rights Agreement and such failure continues for more than 60 days (whether or not consecutive) in any 12-month period (the 61st
day being referred to as the “Default Day”), then from the Default Day until the earlier of (i) the date that the Shelf Registration Statement is again deemed effective or is useable, (ii) June 22, 2000 (or, if Rule 144(k) is amended to
provide a shorter restrictive period, the last day of such shorter period) or (iii) the date as of which all of the applicable Notes are sold pursuant to such Shelf Registration Statement, the Company, in accordance with the terms of the
Registration Rights Agreement, has agreed to pay holders of the Notes liquidated damages accruing at a rate equal to 0.25% per annum. The Holder of this Note is entitled to the benefits of the Registration Rights Agreement. 
  
 No recourse shall be had for the payment of the principal of or the interest
on this Note or for any claim based hereon, or otherwise in respect hereof, or based on or in respect of the Indenture or any indenture supplemental thereto against any incorporator, stockholder, officer or director, as such, past or present or
future of the Company or of any successor thereof, whether by virtue of any constitution, statute or rule of law, or by the enforcement of any assessment or penalty or otherwise, all such liability being, by the acceptance hereof and as part of the
consideration for the issue hereof, expressly waived and released. 
  

 7 

 THE INDENTURE AND THIS NOTE SHALL BE DEEMED TO BE A CONTRACT UNDER THE LAWS OF THE STATE OF NEW YORK, AND
FOR ALL PURPOSES SMALL BE CONSTRUED IN ACCORDANCE WITH THE LAWS OF SUCH STATE, WITHOUT REGARD TO THE CONFLICTS OF LAW PRINCIPLES THEREOF. 
  
 ABBREVIATIONS 
  
 The following abbreviations, when used in the inscription on the face of this Note, shall be construed as though they were written out in full according
to applicable laws or regulations: 
  
 Additional abbreviations
may also be used though not in the above list. 
  

 8 

 ASSIGNMENT 
  
 FOR VALUE RECEIVED, the undersigned hereby sell(s), assign(s) and transfer(s) unto 
  
 PLEASE INSERT SOCIAL SECURITY OR OTHER 
 IDENTIFYING NUMBER OF ASSIGNEE 
  

			
	  

	 	 
	(Please print or typewrite name and address including	 	 
	postal zip code of assignee)	 	 
		
	  

	 	 
	 this Note and all rights thereunder hereby irrevocably constituting and
	 	 
	 appointing
	 	 

  
                                       
                                      , Attorney, to
transfer this security on the books of the Trustee, with full power of substitution in the premises. 
  
 In connection with any transfer of this Note occurring prior to the date which is the earlier of (i) the date the Shelf Registration Statement is declared
effective or (ii) the end of the period referred to in Rule 144(k) under the Securities Act, the undersigned confirms that without utilizing any general solicitation or general advertising that: 
  
 [Check One] 
  

	 ̈ (a)	this Note is being transferred in compliance with the exemption from registration under the Securities Act provided by Rule 144A thereunder. 

  
 or 
  

	 ̈ (b)	this Note is being transferred other than in accordance with (a) above and documents are being furnished which comply with the conditions of transfer set forth in this Note and the
Indenture. 

  

 9 

 If neither of the foregoing boxes is checked, the Trustee or other Registrar shall not be obligated to register this Note
in the name of any Person other than the Holder hereof unless and until the conditions to any such transfer of registration set forth herein and in Section 2.08 of the Indenture shall have been satisfied. 
  
 Dated:                      

	
	  

	
	  

	Notice: The signature(s) on this
	Assignment must correspond with the
	name(s) as written upon the face of this
	Note in every particular, without
	alteration or enlargement or any change
	whatsoever.

  
 TO BE COMPLETED BY PURCHASER IF
(a) ABOVE IS CHECKED. 
  
 The undersigned represents and warrants
that it is purchasing this Note for its own account or an account with respect to which it exercises sole investment discretion and that it and any such account is a Aqualified institutional buyer” within the meaning of Rule 144A under the
Securities Act and is aware that the sale to it is being made in reliance on Rule 144A and acknowledges that it has received such information regarding the Company as the undersigned has requested pursuant to Rule 144A or has determined not to
request such information and that it is aware that the transferor is relying upon the undersigned’s foregoing representations in order to claim the exemption from registration provided by Rule 144A. 
  
 Dated:                      

	
	  

	Notice: To be executed by an executive officer

  

 10 

 SCHEDULE FOR ENDORSEMENTS ON GLOBAL SECURITIES 
 TO REFLECT CHANGES IN PRINCIPAL AMOUNT 
  
 Schedule A 
 Changes to Principal Amount of Global Securities 
  
  
 ______________________________________________________________________________________________________________________________________________________________ 
                      Date Principal Amount Remaining Notation Made By of Notes Principal by which this Global
Amount of this Security is to be Global Security Reduced or Increased, and Reason for Reduction or Increase ______________________________________ 
  
 ______________________________________________________________________________________________________________________________________________________________ 

 
 ______________________________________________________________________________________________________________________________________________________________ 
  
 ______________________________________________________________________________________________________________________________________________________________ 
  
 ______________________________________________________________________________________________________________________________________________________________ 
  
 ______________________________________________________________________________________________________________________________________________________________ 
  
  

 11 

 Annex B 
  
 THIS NOTE IS A GLOBAL SECURITY WITHIN THE MEANING OF THE INDENTURE HEREINAFTER REFERRED TO AND IS REGISTERED IN THE NAME OF A DEPOSITARY OR A NOMINEE OF A
DEPOSITARY. THIS NOTE IS EXCHANGEABLE FOR NOTES REGISTERED IN THE NAME OF A PERSON OTHER THAN THE DEPOSITARY OR ITS NOMINEE ONLY IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE, AND NO TRANSFER OF THIS NOTE (OTHER THAN A TRANSFER OF THIS
NOTE AS A WHOLE BY THE DEPOSITARY TO A NOMINEE OF THE DEPOSITARY OR BY A NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY OR ANOTHER NOMINEE OF THE DEPOSITARY) MAY BE REGISTERED EXCEPT IN SUCH LIMITED CIRCUMSTANCES. 
  
 UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITORY TRUST COMPANY (55 WATER STREET, NEW YORK, NEW YORK) TO THE COMPANY OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY NOTE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR SUCH OTHER NAME AS REQUESTED BY AN
AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY AND ANY PAYMENT THEREON IS MADE TO CEDE & CO., ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY A PERSON IS WRONGFUL SINCE THE REGISTERED OWNER HEREOF, CEDE & CO.,
HAS AN INTEREST HEREIN. 
  

			
	 	 	                                        
                             HEALTHSOUTH CORPORATION

		
	 	 	                                        
                             7.0% SENIOR NOTE DUE 2008

	 No.        
	 	 
	 	 	CUSIP NO. 421924-AK-7
		
	 	 	$                                     
           

  

 12 

 THE SECURITY EVIDENCED HEREBY HAS NOT BEEN REGISTERED UNDER THE U.S. SECURITIES ACT OF 1933, AS AMENDED (THE
“SECURITIES ACT”), AND, ACCORDINGLY, MAY NOT BE OFFERED OR SOLD WITHIN THE UNITED STATES OR TO, OR FOR THE ACCOUNT OR BENEFIT OF, U.S. PERSONS EXCEPT AS SET FORTH IN THE FOLLOWING SENTENCE. BY ITS ACQUISITION HEREOF, THE HOLDER (1)
REPRESENTS THAT (A) IT IS A “QUALIFIED INSTITUTIONAL BUYER” (AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT) OR (B) IT IS AN INSTITUTIONAL AACCREDITED INVESTOR” (AS DEFINED IN RULE 501(A)(1)(2)(3) OR (7) UNDER THE SECURITIES ACT)
(“INSTITUTIONAL ACCREDITED INVESTOR”) OR (C) IT IS NOT A U.S. PERSON AND IS ACQUIRING THE SECURITY EVIDENCED HEREBY IN AN OFFSHORE TRANSACTION, (2) AGREES THAT IT WILL NOT PRIOR TO THE EXPIRATION OF THE HOLDING PERIOD APPLICABLE TO SALES
OF THE SECURITY EVIDENCED HEREBY UNDER RULE 144(K) UNDER THE SECURITIES ACT (OR ANY SUCCESSOR PROVISION), RESELL OR OTHERWISE TRANSFER THE SECURITY EVIDENCED HEREBY EXCEPT (A) TO HEALTHSOUTH CORPORATION (THE “COMPANY”) OR ANY SUBSIDIARY
THEREOF, (B) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT, (C) TO A QUALIFIED INSTITUTIONAL BUYER IN COMPLIANCE WITH RULE 144A UNDER THE SECURITIES ACT, (D) TO AN INSTITUTIONAL ACCREDITED INVESTOR THAT, PRIOR TO SUCH
TRANSFER, FURNISHES TO THE TRUSTEE FOR THE NOTES A SIGNED LETTER CONTAINING CERTAIN REPRESENTATIONS AND AGREEMENTS RELATING TO THE RESTRICTIONS ON TRANSFER OF THE SECURITY EVIDENCED HEREBY (THE FORM OF WHICH LETTER CAN BE OBTAINED FROM SUCH
TRUSTEE), (E) OUTSIDE THE UNITED STATES IN COMPLIANCE WITH RULE 904 UNDER THE SECURITIES ACT OR (F) PURSUANT TO THE EXEMPTION FROM REGISTRATION PROVIDED BY RULE 144 UNDER THE SECURITIES ACT (IF AVAILABLE) AND (3) AGREES THAT IT WILL DELIVER TO EACH
PERSON TO WHOM THE SECURITY EVIDENCED HEREBY IS TRANSFERRED A NOTICE SUBSTANTIALLY TO THE EFFECT OF THIS LEGEND. IN CONNECTION WITH ANY TRANSFER OF THE SECURITY EVIDENCED HEREBY PRIOR TO THE EXPIRATION OF THE HOLDING PERIOD APPLICABLE TO SALES OF
THE SECURITY EVIDENCED HEREBY UNDER RULE 144(K) UNDER THE SECURITIES ACT (OR ANY SUCCESSOR PROVISION), THE HOLDER MUST CHECK THE APPROPRIATE BOX SET FORTH ON THE REVERSE HEREOF RELATING TO THE MANNER OF SUCH TRANSFER AND SUBMIT THIS CERTIFICATE TO
THE TRUSTEE FOR THE NOTES. IF THE PROPOSED TRANSFEREE IS AN INSTITUTIONAL ACCREDITED INVESTOR OR A PURCHASER WHO IS NOT A U.S. PERSON, THE HOLDER MUST, PRIOR TO SUCH TRANSFER, FURNISH TO THE TRUSTEE FOR THE NOTES SUCH CERTIFICATIONS, LEGAL OPINIONS
OR OTHER INFORMATION AS THE COMPANY OR THE TRUSTEE MAY REASONABLY REQUIRE, TO CONFIRM THAT SUCH TRANSFER IS BEING MADE PURSUANT TO AN EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT. THIS
LEGEND WILL BE REMOVED AFTER THE EXPIRATION OF THE HOLDING PERIOD APPLICABLE TO SALES OF THE SECURITY EVIDENCED HEREBY UNDER RULE 144(K) UNDER THE SECURITIES ACT. AS USED HEREIN, THE TERMS “OFFSHORE TRANSACTION,” “UNITED STATES”
AND “U.S. PERSON” HAVE THE MEANINGS GIVEN TO THEM BY REGULATION S UNDER THE SECURITIES ACT. 
  

 13 

 THE HOLDER HEREOF, BY ITS ACCEPTANCE HEREOF, IS DEEMED TO HAVE AGREED TO BE BOUND BY THE PROVISIONS OF
THE REGISTRATION RIGHTS AGREEMENT, DATED AS OF JUNE 22, 1998, BY AND AMONG THE COMPANY, SALOMON BROTHERS INC, GOLDMAN, SACHS & CO., J.P. MORGAN SECURITIES INC., MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED, MORGAN STANLEY & CO.
INCORPORATED, NATIONSBANC MONTGOMERY SECURITIES LLC, BEAR, STEARNS & CO. INC., CREDIT SUISSE FIRST BOSTON CORPORATION, DEUTSCHE BANK SECURITIES INC., PAINEWEBBER INCORPORATED AND SCOTIA CAPITAL MARKETS (USA) INC. 
  
 HEALTHSOUTH CORPORATION, a Delaware corporation (the “Company,”
which term includes any successor corporation under the Indenture hereinafter referred to), for value received, hereby promises to pay to Cede & Co., the principal sum of
             on June 15, 2005, and to pay interest on said principal sum from June 22, 1998, or from the most recent interest payment date to which interest has been paid or duly
provided for, semiannually in arrears on June 15 and December 15 (each such date, an “Interest Payment Date”) of each year commencing on December 15, 1998, at the rate of 7.0% per annum until the principal hereof shall have become due and
payable. 
  
 The amount of interest payable on any Interest
Payment Date shall be computed on the basis of a 360 day year comprised of twelve 30 day months. The interest installment so payable, and punctually paid or duly provided for, on any Interest Payment Date will, as provided in the Indenture (as
defined below) be paid to the person in whose name this Note (or one or more predecessor Notes) is registered at the close of business on the record date for such interest installment, which shall be the close of business on the immediately
preceding June 1 and December 1 prior to such Interest Payment Date, as applicable. The principal of, premium, if any, and the interest on this Note will be payable at the office or agency of the Company maintained for that purpose in the Borough of
Manhattan, The City of New York in any coin or currency of the United States of America that at the time of payment is legal tender for payment of public and private debts; provided, however, that payment of interest may be made at the option of the
Company by check mailed to the person entitled thereto at such address as shall appear in the registry books of the Company; provided, further that for so long as this Note is represented by a Registered Global Security, payment of principal,
premium, if any, or interest on this Note may be made by wire transfer to the account of the Depositary or its nominee. In the event that any date on which the principal, premium, if any, or interest on this Note is payable is not a Business Day,
then payment of principal, premium, if any, or interest payable on such date will be made on the next succeeding day that is a Business Day (and without any interest or other payment in respect of such delay). 
  
 Unless the certificate of authentication hereon has been executed by or on
behalf of the Trustee (as defined below) under the Indenture (as defined below), by the manual signature of one of its authorized officers, this Note shall not be entitled to any benefit under the Indenture or be valid or obligatory for any purpose.

  
 Capitalized terms used in this Note which are defined in the
Indenture shall have the respective meanings assigned to them in the Indenture. 
  
 Reference is hereby made to the further provisions of this Note hereinafter set forth, which further provisions shall for all purposes have the same effect as if set forth at this place. 
  

 14 

 IN WITNESS WHEREOF, the Company has caused this instrument to be duly executed, manually or in facsimile,
and an imprint or facsimile of its corporate seal to be imprinted hereon. 
  

			
	HEALTHSOUTH Corporation
		
	By	 	  

	 	 	Michael D. Martin
	 	 	Executive Vice President,
	 	 	Chief Financial Officer and Treasurer

  

			
	ATTEST:
		
	 	 	

	 	 	William W. Horton
	 	 	Senior Vice President,
	 	 	Corporate Counsel and Assistant Secretary

  
 CERTIFICATE OF AUTHENTICATION This is
one of the Securities referred to in the within-mentioned Indenture. 
  

			
	PNC BANK, NATIONAL ASSOCIATION,
	as Trustee
		
	By	 	  

	 	 	Authorized Officer
	
	Dated:                     

  

 15 

 REVERSE SIDE OF NOTE 
  
 This Note is one of a duly authorized series of securities (the ASecurities”) of the Company designated as its 7.0%
Senior Notes due 2008 limited in aggregate principal amount to $250,000,000 (the “Notes”). The Securities are all issued or to be issued under and pursuant to an Indenture, dated as of June 22, 1998, as supplemented by that certain
Officers’ Certificate dated June 22, 1998 (the Indenture as supplemented by the Officers’ Certificate being herein collectively referred to as the “Indenture”), duly executed and delivered between the Company and PNC Bank,
National Association (the “Trustee,” which term includes any successor Trustee with respect to the Notes under the Indenture), to which Indenture and all indentures supplemental thereto reference is hereby made for a statement of the
respective rights thereunder of the Company, the Trustee and the holders of the Securities and the terms upon which the Notes are to be authenticated and delivered. The terms of individual series of Securities may vary with respect to interest rate
or interest rate formulas, issue dates, maturity, redemption, repayment, currency of payment and otherwise. 
  
 Reference is hereby made to the Indenture for a description of the terms of the Notes, to all of the provisions of which Indenture the holder of this
Note, by acceptance hereof, assents and agrees. 
  
 Except as set
forth below, this Note is not redeemable and is not entitled to the benefit of a sinking fund or any analogous provision. 
  
 This Note is redeemable as a whole or in part, at the option of the Company, at any time at a redemption price equal to the greater of (i) 100% of its
principal amount and (ii) the sum of the present values of the remaining scheduled payments of principal and interest thereon discounted to the date of redemption on a semi-annual basis (assuming a 360-day year consisting of twelve 30-day months) at
the Treasury Yield plus 20 basis points, plus, in each case, accrued interest to the date of redemption. On and after the redemption date, interest will cease to accrue on the Notes or any portion thereof called for redemption. On or before the
redemption date, the Company shall deposit with a paying agent (or the Trustee) money sufficient to pay the redemption price of and accrued interest on the Notes to be redeemed on such date. If less than all of the Notes are to be redeemed, the
Notes to be redeemed shall be selected by the Trustee by such method as the Trustee shall deem fair and appropriate. The Holder of this Note will receive notice thereof by first-class mail at least 30 and not more than 60 days prior to the date
fixed for redemption. 
  

 16 

 “Treasury Yield” means, with respect to any redemption date, the rate per annum equal to the
semi-annual equivalent yield to maturity of the Comparable Treasury Issue, assuming a price for the Comparable Treasury Issue (expressed as a percentage of its principal amount) equal to the Comparable Treasury Price for such redemption date.
“Comparable Treasury Issue” means the United States Treasury security selected by an Independent Investment Banker as having a maturity comparable to the remaining term of the Note that would be utilized, at the time of selection and in
accordance with customary financial practice, in pricing new issues of corporate debt securities of comparable maturity to the remaining term of the Note. “Independent Investment Banker” means Salomon Brothers Inc and its successor or, if
such firm is unwilling or unable to select the Comparable Treasury Issue, an independent investment banking institution of national standing appointed by the Trustee. “Comparable Treasury Price” means, with respect to any redemption date,
(i) the average of the bid and asked prices for the Comparable Treasury Issue (expressed in each case as a percentage of its principal amount) on the third business day preceding such redemption date, as set forth in the daily statistical release
(or any successor release) published by the Federal Reserve Bank of New York and designated “Composite 3:30 p.m. Quotations for U.S. Government Securities” or (ii) if such release (or any successor release) is not published or does not
contain such prices on such business day, (A) the average of the Reference Treasury Dealer Quotations for such redemption date, after excluding the highest and lowest such Reference Treasury Dealer Quotations, or (B) if the Trustee obtains fewer
than four such Reference Treasury Dealer Quotations, the average of all such quotations. “Reference Treasury Dealer Quotations” means, with respect to each Reference Treasury Dealer and any redemption date, the average, as determined by
the Trustee, of the bid and asked prices of the Comparable Treasury Issue (expressed in each case as a percentage of its principal amount) quoted in writing to the Trustee by such Reference Treasury Dealer at 5:00 p.m. on the third business day
preceding such redemption date. “Reference Treasury Dealer” means a primary U.S. Government Securities dealer in New York City selected by the Trustee after consultation with the Company. 
  
 If an Event of Default with respect to the Notes shall occur and be
continuing, the principal of all the Notes may be declared due and payable in the manner and with the effect provided in the Indenture. 
  

 17 

 The Indenture contains provisions permitting the Company and the Trustee, with the consent of the holders
of not less than a majority in aggregate principal amount of the Securities of all series issued under such Indenture then outstanding and affected (voting as one class) to add any provisions to, or change in any manner or eliminate any of the
provisions of, such Indenture or modify in any manner the rights of the holders of the Securities of each series or Coupons so affected; provided that the Company and the Trustee may not, without the consent of the holder of each Outstanding Note
affected thereby, (i) extend the final maturity of the principal of any Note, or reduce the principal amount thereof, or premium thereon, if any, or reduce the rate or extend the time of payment of interest thereon, or reduce any amount payable on
redemption thereof or make the principal thereof (including any amount in respect of original issue discount), or interest thereon payable in any coin or currency other than that provided in the Securities or Coupons or in accordance with the terms
thereof, or reduce the amount of principal of an Original Issue Discount Security that would be due and payable upon an acceleration of the maturity thereof or the amount thereof provable in bankruptcy or alter certain provisions of the Indenture
relating to Securities not denominated in Dollars or the Judgment Currency of such Securities or impair or affect the right of any Securityholder to institute suit for the enforcement of any payment thereof when due or, if the Securities provide
therefor, any right of repayment at the option of the Securityholder or (ii) reduce the aforesaid percentage in principal amount of Securities of any series issued under such Indenture, the consent of the holders of which is required for any such
modification. It is also provided in the Indenture that, with respect to certain defaults or Events of Default regarding the Securities of any series, the holders of a majority in aggregate principal amount Outstanding of the Securities of each such
series, each such series voting as a separate class (or, of all Securities, as the case may be, voting as a single class) may under certain circumstances waive all defaults with respect to each such series (or with respect to all the Securities, as
the case may be) and rescind and annul a declaration of default and its consequences, but no such waiver or rescission and annulment shall extend to or affect any subsequent default or shall impair any right consequent/hereto. The preceding sentence
shall not, however, apply to a default in the payment of the principal of or interest on any of the Securities. 
  
 No reference herein to the Indenture and no provision of this Note or of the Indenture shall alter or impair the obligation of the Company, which is
absolute and unconditional, to pay the principal of and interest on this Note at the time, place and rate, and in the coin or currency, herein prescribed. 
  
 As provided in the Indenture and subject to certain limitations therein set forth, the transfer of this Note may be registered on the registry books of
the Company, upon surrender of this Note for registration of transfer at the office or agency of the Company maintained by the Company for such purpose in the Borough of Manhattan, The City of New York, duly endorsed by, or accompanied by a written
instrument of transfer in form satisfactory to the Company and the Trustee duly executed by, the holder hereof or by its attorney duly authorized in writing, and thereupon one or more new Notes of authorized denominations and for the same aggregate
principal amount will be issued to the designated transferee or transferees. 
  
 The Notes are issuable only in registered form in minimum denominations of $1,000 and integral multiples of $1,000 in excess thereof. As provided in the Indenture and subject to certain limitations therein set forth,
the Notes are exchangeable for a like aggregate principal amount of Notes as requested by the holder surrendering the same. 
  
 No service charge shall be made for any such registration of transfer or exchange, but the Company may require payment of a sum sufficient to cover any
tax or other governmental charge that may be imposed in connection therewith. 
  
 Prior to due presentment of this Note for registration of transfer, the Company, the Trustee and any agent of the Company or the Trustee may treat the person in whose name this Note is registered as the owner hereof
for all purposes, whether or not this Note be overdue, and neither the Company, the Trustee nor any such agent shall be affected by notice to the contrary. 
  
 The Indenture contains provisions for defeasance of (i) the entire indebtedness of the Notes or (ii) certain covenants and Events of Default with respect
to the Notes, in each case upon compliance with certain conditions set forth therein. 
  

 18 

 The Indenture contains covenants which impose certain limitations on the Company’s and its
Subsidiaries’ ability to create or incur certain liens on any of their respective properties or assets and to enter into certain sale and lease-back transactions and on the Company’s ability to engage in mergers or consolidations or the
conveyance, transfer or lease of all or substantially all of its properties and assets. These limitations are subject to a number of important qualifications and exceptions and reference is made to the Indenture for a description thereof.

  
 If (i) a registration statement with respect to an exchange
offer (an “Exchange Offer”) for the Notes (an “Exchange Offer Registration Statement”) is not filed with the Commission by August 21, 1998; or (ii) neither an Exchange Offer Registration Statement is declared effective by the
Commission, nor a shelf registration statement under the Securities Act with respect to resales of the Notes (a “Shelf Registration Statement”) is filed with the Commission, on or before November 19, 1998; or (iii) an Exchange Offer
registered under the Securities Act is not consummated and the applicable Shelf Registration Statement with respect to resales of the Notes is not declared effective on or before December 19, 1998, then in accordance with the terms of the
Registration Rights Agreement, the Company has agreed to pay Holders of the Notes liquidated damages over and above the interest rate set forth on the face of this Note accruing from and including the next day following each of the periods in each
of clauses (i) through (iii) above, in each case at a rate equal to 0.25% per annum. The aggregate amount of liquidated damages payable pursuant to the above provisions will in no event exceed 0.25% per annum. Once the Exchange Offer is consummated
or a Shelf Registration Statement is declared effective, the liquidated damages will cease to accrue. In the event that a Shelf Registration Statement is declared effective, if, due to certain circumstances, the Company fails to keep such Shelf
Registration Statement continuously (x) effective or (y) useable for resales for the period required by the Registration Rights Agreement and such failure continues for more than 60 days (whether or not consecutive) in any 12-month period (the 61st
day being referred to as the “Default Day”), then from the Default Day until the earlier of (i) the date that the Shelf Registration Statement is again deemed effective or is useable, (ii) June 22, 2000 (or, if Rule 144(k) is amended to
provide a shorter restrictive period, the last day of such shorter period) or (iii) the date as of which all of the applicable Notes are sold pursuant to such Shelf Registration Statement, the Company, in accordance with the terms of the
Registration Rights Agreement, has agreed to pay holders of the Notes liquidated damages accruing at a rate equal to 0.25% per annum. The Holder of this Note is entitled to the benefits of the Registration Rights Agreement. 
  
 No recourse shall be had for the payment of the principal of or the interest
on this Note or for any claim based hereon, or otherwise in respect hereof, or based on or in respect of the Indenture or any indenture supplemental thereto against any incorporator, stockholder, officer or director, as such, past or present or
future of the Company or of any successor thereof, whether by virtue of any constitution, statute or rule of law, or by the enforcement of any assessment or penalty or otherwise, all such liability being, by the acceptance hereof and as part of the
consideration for the issue hereof, expressly waived and released. 
  

 19 

 THE INDENTURE AND THIS NOTE SHALL BE DEEMED TO BE A CONTRACT UNDER THE LAWS OF THE STATE OF NEW YORK, AND
FOR ALL PURPOSES SMALL BE CONSTRUED IN ACCORDANCE WITH THE LAWS OF SUCH STATE, WITHOUT REGARD TO THE CONFLICTS OF LAW PRINCIPLES THEREOF. 
  
 ABBREVIATIONS 
  
 The following abbreviations, when used in the inscription on the face of this Note, shall be construed as though they were written out in full according
to applicable laws or regulations: 
  
 Additional abbreviations
may also be used though not in the above list. 
  

 20 

 ASSIGNMENT 
  
 FOR VALUE RECEIVED, the undersigned hereby sell(s), assign(s) and transfer(s) unto 
  
 PLEASE INSERT SOCIAL SECURITY OR OTHER 
 IDENTIFYING NUMBER OF ASSIGNEE 
  

			
	  

	 	 
	(Please print or typewrite name and address including	 	 
	postal zip code of assignee)	 	 
		
	  

	 	 
	 this Note and all rights thereunder hereby irrevocably constituting and
	 	 
	 appointing
	 	 

  
                                       
              , Attorney, to transfer this security on the books of the Trustee, with full power of substitution in the premises. 
  
 In connection with any transfer of this Note occurring prior to the date
which is the earlier of (i) the date the Shelf Registration Statement is declared effective or (ii) the end of the period referred to in Rule 144(k) under the Securities Act, the undersigned confirms that without utilizing any general solicitation
or general advertising that: 
  
 [Check One] 
  

	 ̈	(a) this Note is being transferred in compliance with the exemption from registration under the Securities Act provided by Rule 144A thereunder. 

  
 or 
  

	 ̈	(b) this Note is being transferred other than in accordance with (a) above and documents are being furnished which comply with the conditions of transfer set forth in this Note and
the Indenture. 

  

 21 

 If neither of the foregoing boxes is checked, the Trustee or other Registrar shall not be obligated to register this Note
in the name of any Person other than the Holder hereof unless and until the conditions to any such transfer of registration set forth herein and in Section 2.08 of the Indenture shall have been satisfied. 
  
 Dated:
                     

	
	

	
	  

	 Notice: The signature(s) on this

	 Assignment must correspond with the

	 name(s) as written upon the face of this

	 Note in every particular, without

	 alteration or enlargement or any change

	 whatsoever.

  
 TO BE COMPLETED BY PURCHASER IF
(a) ABOVE IS CHECKED. 
  
 The undersigned represents and warrants
that it is purchasing this Note for its own account or an account with respect to which it exercises sole investment discretion and that it and any such account is a Aqualified institutional buyer” within the meaning of Rule 144A under the
Securities Act and is aware that the sale to it is being made in reliance on Rule 144A and acknowledges that it has received such information regarding the Company as the undersigned has requested pursuant to Rule 144A or has determined not to
request such information and that it is aware that the transferor is relying upon the undersigned’s foregoing representations in order to claim the exemption from registration provided by Rule 144A. 
  
 Dated:
                     

	
	

	 Notice: To be executed by an executive

	 officer

  

 22 

 SCHEDULE FOR ENDORSEMENTS ON GLOBAL SECURITIES 
  
 TO REFLECT CHANGES IN PRINCIPAL AMOUNT 
  
 Schedule A 
  
 Changes to Principal Amount of Global Securities 
  
  
 ______________________________________________________________________________________________________________________________________________________________ 
                      Date Principal Amount Remaining Notation Made By of Notes Principal by which this Global
Amount of this Security is to be Global Security Reduced or Increased, and Reason for Reduction or Increase ______________________________________ 
  
 ______________________________________________________________________________________________________________________________________________________________ 

 
 ______________________________________________________________________________________________________________________________________________________________ 
  
 ______________________________________________________________________________________________________________________________________________________________ 
  
 ______________________________________________________________________________________________________________________________________________________________ 
  
 ______________________________________________________________________________________________________________________________________________________________

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