Document:

WELLS FARGO & COMPANY 8-K

 

 Exhibit
4.1

 

 

[Face
of Note]

 

Unless
this certificate is presented by an authorized representative of The Depository Trust Company, a New York corporation (“DTC”),
to the Company or its agent for registration of transfer, exchange or payment, and any certificate issued is registered in the
name of Cede & Co. or in such other name as requested by an authorized representative of DTC (and any payment is made to Cede & Co. or such other entity as is requested by an authorized representative of DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF
FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL inasmuch as the registered owner hereof, Cede & Co., has an interest
herein.

	CUSIP
NO. 95001HF63	FACE AMOUNT: $________
	REGISTERED
NO. ___	 

 

WELLS
FARGO FINANCE LLC

 

MEDIUM-TERM
NOTE, SERIES A

Fully
and Unconditionally Guaranteed by Wells Fargo & Company

 

Principal
at Risk Securities Linked to the Lowest Performing of the

Common Stock of Bank of America Corporation, the Common Stock of Citigroup Inc. and

the Common Stock of JPMorgan Chase & Co.
due February 20, 2025

 

 

WELLS
FARGO FINANCE LLC, a limited liability company duly organized and existing under the laws of the State of Delaware (hereinafter
called the “Company,” which term includes any successor corporation under and as defined in the Indenture hereinafter
referred to), for value received, hereby promises to pay to CEDE & Co., or registered assigns, an amount equal to the
Maturity Payment Amount (as defined below) on the Stated Maturity Date (as defined below), unless this Security is redeemed as
provided below under “Optional Redemption” or automatically called prior to the Stated Maturity Date as provided below
under “Automatic Call”, and to pay Contingent Coupon Payments (as defined below) on the Face Amount of this Security
to the extent provided herein on the Contingent Coupon Payment Dates specified herein at the Contingent Coupon Rate (as defined
below) until the earlier of the Stated Maturity Date, the Optional Redemption Date (as defined below) or the Call Settlement Date
(as defined below), if any. The “Initial Stated Maturity Date” shall be February 20, 2025. If the Final Calculation
Day (as defined below) is not postponed, the Initial Stated Maturity Date will be the “Stated Maturity Date.”
If the Final Calculation Day is postponed, the “Stated Maturity Date” shall be the later of (i) the Initial
Stated Maturity Date and (ii) three Business Days (as defined below) after the last Final Calculation Day as postponed.

“Face
Amount” shall mean, when used with respect to this Security, the amount set forth on the face of this Security as its
“Face Amount.”

    	 	 	 

    	 

    

Optional
Redemption

The
Company may, at its option, redeem this Security, in whole but not in part, on the Optional Redemption Dates (as defined below)
by giving notice to the Holder hereof on or before the Calculation Day (as defined below) immediately preceding that Optional
Redemption Date. If this Security is redeemed, the Holder hereof will receive the Optional Redemption Price (as defined below)
plus a final Contingent Coupon Payment (as defined below), if any, on the applicable Optional Redemption Date. Unless the Company
defaults in the payment of the Optional Redemption Price plus the final Contingent Coupon Payment, if any, this Security will
cease to be outstanding on such Optional Redemption Date, no additional Contingent Coupon Payments will be payable on this Security
and the Holder hereof will have no further rights under this Security after such Optional Redemption Date. The “Optional
Redemption Price” is equal to the Face Amount of this Security. The “Optional Redemption Dates” shall
be the Contingent Coupon Payment Dates (as defined below) following each Calculation Day scheduled to occur in August 2020 and
November 2020.

Automatic
Call

If
the Stock Closing Price (as defined below) of the Lowest Performing Underlying Stock (as defined below) on any Automatic Call
Date (as defined below) is greater than or equal to its Starting Price (as defined below), this Security will be automatically
called by the Company, and on the related Call Settlement Date the Holder hereof will receive the Automatic Call Price (as defined
below) plus a final Contingent Coupon Payment. Unless the Company defaults in the payment of the Automatic Call Price plus the
final Contingent Coupon Payment, this Security will cease to be outstanding on such Call Settlement Date, no additional Contingent
Coupon Payments will be payable on this Security and the Holder hereof will have no further rights under this Security after such
Call Settlement Date. The Holder hereof will not receive any notice from the Company in the event this Security is automatically
called pursuant to the terms hereof. The “Automatic Call Price” is equal to the Face Amount of this Security.
The “Automatic Call Dates” means any Calculation Day from February 2021 to November 2024, inclusive. The “Call
Settlement Date” for a Calculation Day shall be three Business Days after the applicable Calculation Day (as such Calculation
Day may be postponed as provided herein). If a Calculation Day is postponed with respect to one or more Underlying Stocks, the
related Call Settlement Date, if any, will be three Business Days after the last Calculation Day as postponed.

Payment
of Contingent Coupon Payments, the Maturity Payment Amount, the Optional Redemption Price or the Automatic Call Price

On
each quarterly Contingent Coupon Payment Date, the Company shall pay a Contingent Coupon Payment if, and only if, the Stock Closing
Price of the Lowest Performing Underlying Stock on the related Calculation Day is greater than or equal to its Threshold Price
(as defined below). A “Contingent Coupon Payment,” if payable as provided herein, shall be equal to (i) the
product of the Face Amount of this Security and the Contingent Coupon Rate, (ii) divided by 4. The “Contingent Coupon
Payment Dates” shall be the third Business Day following each Calculation Day, as each such Calculation Day may be postponed
as herein provided, provided that the Contingent Coupon Payment Date with respect to the Final Calculation Day will be the Stated
Maturity Date. If a Calculation Day is postponed with respect to one or more Underlying Stocks, the related Contingent

    	 	2	 

    	 

    

Coupon
Payment Date will be three Business Days after the last Calculation Day as postponed. The “Contingent Coupon Rate”
is 10.00% per annum. Any Contingent Coupon Payments will be rounded to the nearest cent, with one-half cent rounded upward. If
a Contingent Coupon Payment Date is postponed, the Contingent Coupon Payment, if any, due on that Contingent Coupon Payment Date
will be made on that Contingent Coupon Payment Date as so postponed with the same force and effect as if it had been made on the
originally scheduled Contingent Coupon Payment Date, with no additional amount accruing or payable as a result of the postponement.

Any
Contingent Coupon Payment so payable, and punctually paid or duly provided for, on any Contingent Coupon Payment Date will, as
provided in the Indenture, be paid to the Person in whose name this Security (or one or more Predecessor Securities) is registered
at the close of business on the Regular Record Date for such Contingent Coupon Payment next preceding such Contingent Coupon Payment
Date. The Regular Record Date for a Contingent Coupon Payment Date shall be the date one Business Day prior to such Contingent
Coupon Payment Date. 

Any
Contingent Coupon Payment not punctually paid or duly provided for will forthwith cease to be payable to the Holder on such Regular
Record Date and may either be paid to the Person in whose name this Security (or one or more Predecessor Securities) is registered
at the close of business on a Special Record Date for the payment of such Defaulted Interest to be fixed by the Trustee, notice
whereof shall be given to Holders of Securities of this series not less than 10 days prior to such Special Record Date, or
be paid at any time in any other lawful manner not inconsistent with the requirements of any securities exchange on which the
Securities of this series may be listed, and upon such notice as may be required by such exchange, all as more fully provided
in the Indenture.

Payment
of any Contingent Coupon Payment on this Security will be made in immediately available funds at the office or agency of the Company
maintained for that purpose in the City of Minneapolis, Minnesota; provided, however, that, at the option of the Company, payment
of any Contingent Coupon Payment may be paid by check mailed to the Person entitled thereto at such Person’s last address
as it appears in the Security Register or by wire transfer to such account as may have been designated by such Person. Payments
of any Contingent Coupon Payment and the Maturity Payment Amount, the Optional Redemption Price or the Automatic Call Price, as
applicable, on this Security at Maturity will be made against presentation of this Security at the office or agency of the Company
maintained for that purpose in the City of Minneapolis, Minnesota and at any other office or agency maintained by the Company
for such purpose. Notwithstanding the foregoing, for so long as this Security is a Global Security registered in the name of the
Depositary, any payments on this Security will be made to the Depositary by wire transfer of immediately available funds. 

Payment
of the Maturity Payment Amount, the Optional Redemption Price or the Automatic Call Price, as applicable, and any Contingent Coupon
Payments on this Security will be made in such coin or currency of the United States of America as at the time of payment is legal
tender for payment of public and private debts.

    	 	3	 

    	 

    

Definitions
Relating to Maturity Payment Amount, the Optional Redemption Price, the Automatic Call Price and Contingent Coupon Payments

If
this Security is not called prior to the Stated Maturity Date as provided above under “Optional Redemption” or “Automatic
Call,” the “Maturity Payment Amount” of this Security will equal:

		•	if
                                         the Ending Price of the Lowest Performing Underlying Stock on the Final Calculation Day
                                         is greater than or equal to its Threshold Price: the Face Amount; or

 

		•	if
                                         the Ending Price of the Lowest Performing Underlying Stock on the Final Calculation Day
                                         is less than its Threshold Price:

 

 

 

All
calculations with respect to the Maturity Payment Amount will be rounded to the nearest one hundred-thousandth, with five one-millionths
rounded upward (e.g., 0.000005 would be rounded to 0.00001); and the Maturity Payment Amount will be rounded to the nearest cent,
with one-half cent rounded upward.

“Underlying
Stock” shall mean each of the common stock of Bank of America Corporation, the common stock of Citigroup Inc. and the
common stock of JPMorgan Chase & Co.

The
“Pricing Date” shall mean February 11, 2020.

The
“Lowest Performing Underlying Stock” for any Calculation Day will be the Underlying Stock with the lowest Performance
Factor on that Calculation Day (as such Calculation Day may be postponed for one or more Underlying Stocks as provided herein).

The
“Performance Factor” with respect to an Underlying Stock on any Calculation Day is its Stock Closing Price
on such Calculation Day divided by its Starting Price (expressed as a percentage).

The
“Starting Price” with respect to the common stock of Bank of America Corporation is $34.77, its Stock Closing
Price on the Pricing Date; with respect to the common stock of Citigroup Inc. is $79.09, its Stock Closing Price on the Pricing
Date; and with respect to the common stock of JPMorgan Chase & Co. is $138.00, its Stock Closing Price on the Pricing Date.

The
“Ending Price” of an Underlying Stock will be its Stock Closing Price on the Final Calculation Day.

The
“Threshold Price” with respect to the common stock of Bank of America Corporation is $20.862, which is equal
to 60% of its Starting Price; with respect to the common stock of

    	 	4	 

    	 

    

Citigroup
Inc. is $47.454, which is equal to 60% of its Starting Price; and with respect to the common stock of JPMorgan Chase & Co.
is $82.80, which is equal to 60% of its Starting Price.

The
“Stock Closing Price” with respect to each Underlying Stock on a Calculation Day, means the product of the
Closing Price of such Underlying Stock and the Adjustment Factor for such Underlying Stock, each on such Calculation Day.

The
“Adjustment Factor” for each Underlying Stock is initially 1.0. The Adjustment Factor for each Underlying Stock
will remain constant for the term of this Security, subject to adjustment for certain corporate events relating to the applicable
Underlying Stock Issuer as set forth below under “—Adjustment Events.”

“Underlying
Stock Issuer” shall mean the issuer of each Underlying Stock.

“Business
Day” shall mean a day, other than a Saturday or Sunday, that is neither a legal holiday nor a day on which banking institutions
are authorized or required by law or regulation to close in New York, New York.

The
“Calculation Days” shall be the 14th day of each February, May, August and November, commencing
May 2020 and ending November 2024, and the Final Calculation Day. If any such day is not a Trading Day with respect to any Underlying
Stock, such Calculation Day for each Underlying Stock will be postponed to the next succeeding day that is a Trading Day with
respect to each Underlying Stock. A Calculation Day for an Underlying Stock is also subject to postponement due to the occurrence
of a Market Disruption Event (as defined below) with respect to such Underlying Stock on such Calculation Day. The “Final
Calculation Day” is February 14, 2025. If a Market Disruption Event occurs or is continuing with respect to an Underlying
Stock on any Calculation Day, then such Calculation Day for such Underlying Stock will be postponed to the first succeeding Trading
Day for such Underlying Stock on which a Market Disruption Event for such Underlying Stock has not occurred and is not continuing;
however, if such first succeeding Trading Day has not occurred as of the eighth Trading Day for such Underlying Stock after the
originally scheduled Calculation Day, that eighth Trading Day shall be deemed to be the Calculation Day for such Underlying Stock.
If a Calculation Day has been postponed eight Trading Days for an Underlying Stock after the originally scheduled Calculation
Day and a Market Disruption Event occurs or is continuing with respect to such Underlying Stock on such eighth Trading Day, the
Calculation Agent will determine the Closing Price (as defined below) of such Underlying Stock on such eighth Trading Day by using
its good faith estimate of the Closing Price that would have prevailed for such Underlying Stock on such day. Notwithstanding
the postponement of a Calculation Day for an Underlying Stock due to a Market Disruption Event with respect to such Underlying
Stock on such Calculation Day, the originally scheduled Calculation Day will remain the Calculation Day for any Underlying Stock
not affected by a Market Disruption Event on such day.

“Calculation
Agent Agreement” shall mean the Calculation Agent Agreement dated as of May 18, 2018 between the Company and the Calculation
Agent, as amended from time to time.

“Calculation
Agent” shall mean the Person that has entered into the Calculation Agent Agreement with the Company providing for, among
other things, the determination of whether

    	 	5	 

    	 

    

this
Security will be automatically called prior to the Stated Maturity Date, the Automatic Call Price, if any, the Optional Redemption
Price, if any, whether a Contingent Coupon Payment will be made, and the Maturity Payment Amount, if any, which term shall, unless
the context otherwise requires, include its successors under such Calculation Agent Agreement. The initial Calculation Agent shall
be Wells Fargo Securities, LLC. Pursuant to the Calculation Agent Agreement, the Company may appoint a different Calculation Agent
from time to time after the initial issuance of this Security without the consent of the Holder of this Security and without notifying
the Holder of this Security.

Certain
Definitions 

A
“Trading Day” with respect to an Underlying Stock means a day, as determined by the Calculation Agent, on which
trading is generally conducted on the principal trading market for such Underlying Stock (as determined by the Calculation Agent,
in its sole discretion), the Chicago Mercantile Exchange and the Chicago Board Options Exchange and in the over-the-counter market
for equity securities in the United States.

The
“Closing Price” for one share of an Underlying Stock (or one unit of any other security for which a Closing
Price must be determined) on any Trading Day means:

		•	if
                                         such Underlying Stock (or any such other security) is listed or admitted to trading on
                                         a national securities exchange, the official closing price on such day published by the
                                         principal United States securities exchange registered under the Securities Exchange
                                         Act of 1934, as amended (the “Exchange Act”), on which such Underlying
                                         Stock (or any such other security) is listed or admitted to trading; or

		•	if
                                         such Underlying Stock (or any such other security) is not listed or admitted to trading
                                         on any national securities exchange but is included in the OTC Bulletin Board Service
                                         operated by the Financial Industry Regulatory Authority, Inc. (“FINRA”),
                                         the last reported sale price of the principal trading session on the OTC Bulletin Board
                                         Service on such day.

If
such Underlying Stock (or any such other security) is listed or admitted to trading on any national securities exchange but the
official closing price is not available pursuant to the preceding sentence, then the Closing Price for one share of such Underlying
Stock (or one unit of any such other security) on any Trading Day will mean the last reported sale price of the principal trading
session on the over-the-counter market as reported on the OTC Bulletin Board Service on such day.

If
the official closing price or the last reported sale price, as applicable, for such Underlying Stock (or any such other security)
is not available pursuant to either of the two preceding sentences, then the Closing Price per share for any Trading Day will
be the mean, as determined by the Calculation Agent, of the bid price for such Underlying Stock (or any such other security) obtained
from as many recognized dealers in such security, but not exceeding three, as will make such bid prices available to the Calculation
Agent. Bids of Wells Fargo Securities, LLC or any of its affiliates may be included in the calculation of such mean, but only
to the extent that any such bid is the highest of the bids obtained. The term “OTC Bulletin Board Service”
will include any

    	 	6	 

    	 

    

successor
service thereto or, if the OTC Bulletin Board Service is discontinued and there is no successor service thereto, the OTC Reporting
Facility operated by FINRA.

Market
Disruption Events 

A
“Market Disruption Event,” with respect to an Underlying Stock, means the occurrence or existence of any of
the following events:

 

		•	a
                                         suspension, absence or material limitation of trading in such Underlying Stock on its
                                         primary market for more than two hours of trading or during the one-half hour before
                                         the close of trading in that market, as determined by the Calculation Agent in its sole
                                         discretion;

 

		•	a
                                         suspension, absence or material limitation of trading in option or futures contracts
                                         relating to such Underlying Stock, if available, in the primary market for those contracts
                                         for more than two hours of trading or during the one-half hour before the close of trading
                                         in that market, as determined by the Calculation Agent in its sole discretion;

 

		•	such
                                         Underlying Stock does not trade on the New York Stock Exchange, the Nasdaq Global Select
                                         Market, the Nasdaq Global Market or what was the primary market for such Underlying Stock,
                                         as determined by the Calculation Agent in its sole discretion; or

 

		•	any
                                         other event, if the Calculation Agent determines in its sole discretion that the event
                                         materially interferes with the Company’s ability or the ability of any of its affiliates
                                         to unwind all or a material portion of a hedge with respect to this Security that the
                                         Company or its affiliates have effected or may effect.

 

The
following events will not be a Market Disruption Event with respect to an Underlying Stock:

 

		•	a
                                         limitation on the hours or number of days of trading in such Underlying Stock in its
                                         primary market, but only if the limitation results from an announced change in the regular
                                         business hours of the relevant market; and

 

		•	a
                                         decision to permanently discontinue trading in the option or futures contracts relating
                                         to such Underlying Stock.

 

For
this purpose, a “suspension, absence or material limitation of trading” in the applicable market will not include
any time when that market is itself closed for trading under ordinary circumstances. In contrast, a “suspension, absence
or material limitation of trading” in the applicable market for such Underlying Stock or option or futures contracts relating
to such Underlying Stock, as applicable, by reason of any of:

 

		•	a
                                         price change exceeding limits set by that market;

 

		•	an
                                         imbalance of orders relating to such Underlying Stock or those contracts; or

 

		•	a
                                         disparity in bid and asked quotes relating to such Underlying Stock or those contracts

 

    	 	7	 

    	 

    

 

will
constitute a “suspension, absence or material limitation of trading” in such Underlying Stock or those contracts,
as the case may be, in the applicable market.

Adjustment
Events

The
Adjustment Factor for each Underlying Stock is initially 1.0. However, the Adjustment Factor for each Underlying Stock is subject
to adjustment by the Calculation Agent as a result of the dilution and reorganization events described in this section.

How
adjustments will be made

If
one of the events described below occurs with respect to an Underlying Stock and the Calculation Agent determines that the event
has a dilutive or concentrative effect on the market price of such Underlying Stock, the Calculation Agent will calculate a corresponding
adjustment to the Adjustment Factor for such Underlying Stock as the Calculation Agent deems appropriate to account for that dilutive
or concentrative effect. For example, if an adjustment is required because of a two-for-one stock split, then the Adjustment Factor
for such Underlying Stock will be adjusted by the Calculation Agent by multiplying the existing Adjustment Factor by a fraction
whose numerator is the number of shares of such Underlying Stock outstanding immediately after the stock split and whose denominator
is the number of shares of such Underlying Stock outstanding immediately prior to the stock split. Consequently, the Adjustment
Factor for such Underlying Stock will be adjusted to double the prior Adjustment Factor, due to the corresponding decrease in
the market price of such Underlying Stock. Adjustments to the Adjustment Factor for an Underlying Stock will be made for events
with an effective date or Ex-Dividend Date (as defined below), as applicable, from but excluding the Pricing Date to and including
the applicable Calculation Day for such Underlying Stock (the “Adjustment Period”).

The
Calculation Agent will also determine the effective date of that adjustment, and the replacement of an Underlying Stock, if applicable,
in the event of a consolidation or merger or certain other events in respect of the applicable Underlying Stock Issuer. Upon making
any such adjustment, the Calculation Agent will give notice as soon as practicable to the Trustee and the Paying Agent, stating
the adjustment to the Adjustment Factor of such Underlying Stock. The Calculation Agent will not be required to make any adjustments
to the Adjustment Factor for purposes of calculating the Stock Closing Price for a Calculation Day after the close of business
on the such Calculation Day; provided that any such adjustments to the Adjustment Factor will be taken into account for
purposes of determining the Stock Closing Price for any subsequent Calculation Day. In no event, however, will an antidilution
adjustment to the Adjustment Factor of an Underlying Stock during the term of this Security be deemed to change the Face Amount
of this Security.

If
more than one event requiring adjustment occurs with respect to an Underlying Stock, the Calculation Agent will make an adjustment
for each event in the order in which the events occur, and on a cumulative basis. Thus, having made an adjustment for the first
event, the Calculation Agent will adjust the Adjustment Factor for such Underlying Stock for the second event, applying the required
adjustment to the Adjustment Factor for such Underlying Stock as already adjusted for the first event, and so on for any subsequent
events.

    	 	8	 

    	 

    

For
any dilution event described below, other than a consolidation or merger, the Calculation Agent will not have to adjust the Adjustment
Factor for an Underlying Stock unless the adjustment would result in a change to the Adjustment Factor of such Underlying Stock
then in effect of at least 0.10%. The Adjustment Factor of such Underlying Stock resulting from any adjustment will be rounded
up or down, as appropriate, to the nearest one-hundred thousandth.

If
an event requiring an antidilution adjustment occurs with respect to an Underlying Stock, the Calculation Agent will make the
adjustment with a view to offsetting, to the extent practical, any change in the economic position of the Holder of this Security
relative to this Security that results solely from that event. The Calculation Agent may, in its sole discretion, modify the antidilution
adjustments as necessary to ensure an equitable result.

The
Calculation Agent will make all determinations with respect to antidilution adjustments, including any determination as to whether
an event requiring adjustment has occurred with respect to an Underlying Stock, as to the nature of the adjustment required for
such Underlying Stock and how it will be made or as to the value of any property distributed in a Reorganization Event (as defined
below), and will do so in its sole discretion. In the absence of manifest error, those determinations will be conclusive for all
purposes and will be binding on the Holder of this Security and the Company, without any liability on the part of the Calculation
Agent. The Holder of this Security will not be entitled to any compensation from the Company for any loss suffered as a result
of any of these determinations by the Calculation Agent. The Calculation Agent will provide information about the adjustments
that it makes upon the written request of the Holder of this Security.

If
any of the adjustments specified below is required to be made with respect to an amount or value of any cash or other property
that is distributed by an Underlying Stock Issuer organized outside the United States, such amount or value will be converted
to U.S. dollars, as applicable, and will be reduced by any applicable foreign withholding taxes that would apply to such distribution
if such distribution were paid to a U.S. person that is eligible for the benefits of an applicable income tax treaty, if any,
between the United States and the jurisdiction of organization of such Underlying Stock Issuer, as determined by the Calculation
Agent, in its sole discretion.

No
adjustments will be made for certain other events, such as offerings of common stock by an Underlying Stock Issuer for cash or
in connection with the occurrence of a partial tender or exchange offer for an Underlying Stock by the Underlying Stock Issuer
of such Underlying Stock or any other person.

Stock
Splits and Reverse Stock Splits

A
stock split is an increase in the number of a corporation’s outstanding shares of stock without any change in its stockholders’
equity. Each outstanding share will be worth less as a result of a stock split.

A
reverse stock split is a decrease in the number of a corporation’s outstanding shares of stock without any change in its
stockholders’ equity. Each outstanding share will be worth more as a result of a reverse stock split.

    	 	9	 

    	 

    

If
an Underlying Stock is subject to a stock split or a reverse stock split, then once the split has become effective the Calculation
Agent will adjust the Adjustment Factor for such Underlying Stock to equal the product of the prior Adjustment Factor of such
Underlying Stock and the number of shares issued in such stock split or reverse stock split with respect to one share of such
Underlying Stock.

Stock
Dividends

In
a stock dividend, a corporation issues additional shares of its stock to all holders of its outstanding stock in proportion to
the shares they own. Each outstanding share will be worth less as a result of a stock dividend.

If
an Underlying Stock is subject to a stock dividend payable in shares of such Underlying Stock that is given ratably to all holders
of shares of such Underlying Stock, then once the dividend has become effective the Calculation Agent will adjust the Adjustment
Factor for such Underlying Stock on the Ex-Dividend Date to equal the sum of the prior Adjustment Factor for such Underlying Stock
and the product of:

		•	the
                                         number of shares issued with respect to one share of such Underlying Stock, and

		•	the
                                         prior Adjustment Factor for such Underlying Stock.

The
“Ex-Dividend Date” for any dividend or other distribution is the first day on and after which such Underlying
Stock trades without the right to receive that dividend or distribution.

No
Adjustments for Other Dividends and Distributions

The
Adjustment Factor for an Underlying Stock will not be adjusted to reflect dividends, including cash dividends, or other distributions
paid with respect to such Underlying Stock, other than:

		•	stock
                                         dividends described above,

		•	issuances
                                         of transferable rights and warrants as described in “ —Transferable Rights
                                         and Warrants” below,

		•	distributions
                                         that are spin-off events described in “ —Reorganization Events” below,
                                         and

		•	Extraordinary
                                         Dividends described below.

An
“Extraordinary Dividend” means each of (a) the full amount per share of an Underlying Stock of any cash dividend
or special dividend or distribution that is identified by the applicable Underlying Stock Issuer as an extraordinary or special
dividend or distribution, (b) the excess of any cash dividend or other cash distribution (that is not otherwise identified by
the applicable Underlying Stock Issuer as an extraordinary or special dividend or distribution) distributed per share of such
Underlying Stock over the immediately preceding cash dividend or other cash distribution, if any, per share of such Underlying
Stock that did not include an extraordinary or special dividend (as adjusted for any subsequent corporate event requiring an adjustment
as

    	 	10	 

    	 

    

described
herein, such as a stock split or reverse stock split) if such excess portion of the dividend or distribution is more than 5.00%
of the Closing Price of such Underlying Stock on the Trading Day preceding the Ex-Dividend Date for the payment of such cash dividend
or other cash distribution (such Closing Price, the “Extraordinary Dividend Base Closing Price”) and (c) the
full cash value of any non-cash dividend or distribution per share of such Underlying Stock (excluding Marketable Securities,
as defined below).

If
an Underlying Stock is subject to an Extraordinary Dividend, then once the Extraordinary Dividend has become effective the Calculation
Agent will adjust the Adjustment Factor for such Underlying Stock on the Ex-Dividend Date to equal the product of:

		•	the
                                         prior Adjustment Factor for such Underlying Stock, and

 

		•	a
                                         fraction, the numerator of which is the Extraordinary Dividend Base Closing Price of
                                         such Underlying Stock on the Trading Day preceding the Ex-Dividend Date and the denominator
                                         of which is the amount by which the Extraordinary Dividend Base Closing Price of such
                                         Underlying Stock on the Trading Day preceding the Ex-Dividend Date exceeds the Extraordinary
                                         Dividend.

Notwithstanding
anything herein, the initiation by an Underlying Stock Issuer of an ordinary dividend on such Underlying Stock or any announced
increase in the ordinary dividend on such Underlying Stock will not constitute an Extraordinary Dividend requiring an adjustment.

To
the extent an Extraordinary Dividend is not paid in cash or is paid in a currency other than U.S. dollars, the value of the non-cash
component or non-U.S. currency will be determined by the Calculation Agent, in its sole discretion. A distribution on an Underlying
Stock that is a dividend payable in shares of such Underlying Stock, an issuance of rights or warrants or a spin-off event and
also an Extraordinary Dividend will result in an adjustment to the number of shares of such Underlying Stock only as described
in “—Stock Dividends” above, “—Transferable Rights and Warrants” below or “—Reorganization
Events” below, as the case may be, and not as described here.

Transferable
Rights and Warrants

If
an Underlying Stock Issuer issues transferable rights or warrants to all holders of such Underlying Stock to subscribe for or
purchase such Underlying Stock at an exercise price per share that is less than the Closing Price of such Underlying Stock on
the Trading Day before the Ex-Dividend Date for the issuance, then the Adjustment Factor for such Underlying Stock will be adjusted
to equal the product of:

		•	the
                                         prior Adjustment Factor for such Underlying Stock, and

 

•

a fraction,
(1) the numerator of which will be the number of shares of such Underlying Stock outstanding at the close of trading on the Trading
Day before the Ex-Dividend Date (as adjusted for any subsequent event requiring an adjustment hereunder) plus the number of additional
shares of such Underlying Stock offered for subscription or purchase pursuant to the rights or warrants and (2) the denominator
of which will be the number of shares of such Underlying Stock outstanding at the close of trading on the Trading Day before the

    	 	11	 

    	 

    

Ex-Dividend
Date (as adjusted for any subsequent event requiring an adjustment hereunder) plus the number of additional shares of such Underlying
Stock (referred to herein as the “Additional Shares”) that the aggregate offering price of the total number
of shares of such Underlying Stock so offered for subscription or purchase pursuant to the rights or warrants would purchase at
the Closing Price on the Trading Day before the Ex-Dividend Date for the issuance.

The
number of Additional Shares will be equal to:

 

		•	the
                                         product of (1) the total number of additional shares of such Underlying Stock offered
                                         for subscription or purchase pursuant to the rights or warrants and (2) the exercise
                                         price of the rights or warrants, divided by

 

		•	the
                                         Closing Price of such Underlying Stock on the Trading Day before the Ex-Dividend Date
                                         for the issuance.

If
the number of shares of such Underlying Stock actually delivered in respect of the rights or warrants differs from the number
of shares of such Underlying Stock offered in respect of the rights or warrants, then the Adjustment Factor for such Underlying
Stock will promptly be readjusted to the Adjustment Factor for such Underlying Stock that would have been in effect had the adjustment
been made on the basis of the number of shares of such Underlying Stock actually delivered in respect of the rights or warrants.

Reorganization
Events

Each
of the following is a “Reorganization Event” with respect to an Underlying Stock:

		•	such
                                         Underlying Stock is reclassified or changed (other than in a stock split or reverse stock
                                         split),

 

		•	the
                                         applicable Underlying Stock Issuer has been subject to a merger, consolidation or other
                                         combination and either is not the surviving entity or is the surviving entity but all
                                         outstanding shares of such Underlying Stock are exchanged for or converted into other
                                         property,

 

		•	a
                                         statutory share exchange involving outstanding shares of such Underlying Stock and the
                                         securities of another entity occurs, other than as part of an event described above,

 

		•	the
                                         applicable Underlying Stock Issuer sells or otherwise transfers its property and assets
                                         as an entirety or substantially as an entirety to another entity,

 

		•	the
                                         applicable Underlying Stock Issuer effects a spin-off, other than as part of an event
                                         described above (in a spin-off, a corporation issues to all holders of its common stock
                                         equity securities of another issuer), or

 

•

the
applicable Underlying Stock Issuer is liquidated, dissolved or wound up or is subject to a proceeding under any applicable bankruptcy,
insolvency or other similar law, or 

 

    	 	12	 

    	 

    

another
entity completes a tender or exchange offer for all the outstanding shares of such Underlying Stock.

Adjustments
for Reorganization Events

If
a Reorganization Event occurs with respect to an Underlying Stock, then the Calculation Agent will adjust the Adjustment Factor
for such Underlying Stock to reflect the amount and type of property or properties—whether cash, securities, other property
or a combination thereof—that a holder of one share of such Underlying Stock would have been entitled to receive in relation
to the Reorganization Event. This new property is referred to as the “Reorganization Property.”

Reorganization
Property can be classified into two categories:

		•	an
                                         equity security listed on a national securities exchange, which is referred to generally
                                         as a “Marketable Security” and, in connection with a particular Reorganization
                                         Event, “New Stock,” which may include any tracking stock, any stock
                                         received in a spin-off (“Spin-Off Stock”) or any Marketable Security
                                         received in exchange for the applicable Underlying Stock; and

		•	cash
                                         and any other property, assets or securities other than Marketable Securities (including
                                         equity securities that are not listed, that are traded over the counter or that are listed
                                         on a non-U.S. securities exchange), which is referred to as “Non-Stock Reorganization
                                         Property.”

For
the purpose of making an adjustment required by a Reorganization Event, the Calculation Agent, in its sole discretion, will determine
the value of each type of the Reorganization Property. For purposes of valuing any New Stock, the Calculation Agent will use the
Closing Price of the security on the relevant Trading Day. The Calculation Agent will value Non-Stock Reorganization Property
in any manner it determines, in its sole discretion, to be appropriate. In connection with a Reorganization Event in which Reorganization
Property includes New Stock, for the purpose of determining the Adjustment Factor for any New Stock as described below, the term
“New Stock Reorganization Ratio” means the product of (i) the number of shares of the New Stock received
with respect to one share of such Underlying Stock and (ii) the Adjustment Factor for the applicable Underlying Stock on the Trading
Day immediately prior to the effective date of the Reorganization Event.

If
a holder of shares of the applicable Underlying Stock may elect to receive different types or combinations of types of Reorganization
Property in the Reorganization Event, the Reorganization Property will consist of the types and amounts of each type distributed
to a holder of shares of such Underlying Stock that makes no election, as determined by the Calculation Agent in its sole discretion.

If
any Reorganization Event occurs with respect to an Underlying Stock, then on and after the effective date for such Reorganization
Event (or, if applicable, in the case of Spin-Off Stock, the Ex-Dividend Date for the distribution of such Spin-Off Stock) the
term “Underlying Stock” herein will be deemed to mean the following with respect to such Underlying Stock,
and for each share of such Underlying Stock, New Stock and/or Replacement Stock so deemed to constitute

    	 	13	 

    	 

    

such
Underlying Stock, the Adjustment Factor for such Underlying Stock will be equal to the applicable number indicated:

		(a)	if
                                         such Underlying Stock continues to be outstanding:

		(1)	that
                                         Underlying Stock (if applicable, as reclassified upon the issuance of any tracking stock)
                                         at the Adjustment Factor for such Underlying Stock in effect on the Trading Day immediately
                                         prior to the effective date of the Reorganization Event; and

		(2)	if
                                         the Reorganization Property includes New Stock, a number of shares of New Stock equal
                                         to the New Stock Reorganization Ratio;

provided
that, if any Non-Stock Reorganization Property is received in the Reorganization Event, the results of (a)(1) and (a)(2) above
will each be multiplied by the “Gross-Up Multiplier,” which will be equal to a fraction, the numerator of which
is the Closing Price of the original Underlying Stock on the Trading Day immediately prior to the effective date of the Reorganization
Event and the denominator of which is the amount by which such Closing Price of the original Underlying Stock exceeds the value
of the Non-Stock Reorganization Property received per share of such Underlying Stock as determined by the Calculation Agent as
of the close of trading on such Trading Day; or

		(b)	if
                                         such Underlying Stock is surrendered for Reorganization Property:

		(1)	that
                                         includes New Stock, a number of shares of New Stock equal to the New Stock Reorganization
                                         Ratio; provided that, if any Non-Stock Reorganization Property is received in the Reorganization
                                         Event, such number will be multiplied by the Gross-Up Multiplier; or

		(2)	that
                                         consists exclusively of Non-Stock Reorganization Property:

		(i)	if
                                         the surviving entity has Marketable Securities outstanding following the Reorganization
                                         Event and either (A) such Marketable Securities were in existence prior to such Reorganization
                                         Event or (B) such Marketable Securities were exchanged for previously outstanding Marketable
                                         Securities of the surviving entity or its predecessor (“Predecessor Stock”)
                                         in connection with such Reorganization Event (in either case of (A) or (B), the “Successor
                                         Stock”), a number of shares of the Successor Stock determined by the Calculation
                                         Agent on the Trading Day immediately prior to the effective date of such Reorganization
                                         Event equal to the Adjustment Factor for such Underlying Stock in effect on the Trading
                                         Day immediately prior to the effective date of such Reorganization Event multiplied by
                                         a fraction, the numerator of which is the value of the Non-Stock Reorganization Property
                                         per share of such Underlying Stock on such Trading Day and the denominator of which is
                                         the Closing Price of the Successor Stock on such Trading Day (or, in the case of Predecessor
                                         Stock, the Closing Price of the Predecessor Stock multiplied by the number of

    	 	14	 

    	 

    

shares
of the Successor Stock received with respect to one share of the Predecessor Stock); or

		(ii)	if
                                         the surviving entity does not have Marketable Securities outstanding, or if there is
                                         no surviving entity (in each case, a “Replacement Stock Event”), a
                                         number of shares of Replacement Stock (selected as defined below) with an aggregate value
                                         on the effective date of such Reorganization Event equal to the value of the Non-Stock
                                         Reorganization Property multiplied by the Adjustment Factor for such Underlying Stock
                                         in effect on the Trading Day immediately prior to the effective date of such Reorganization
                                         Event.

If
a Reorganization Event occurs with respect to the shares of an Underlying Stock and the Calculation Agent adjusts the Adjustment
Factor of such Underlying Stock to reflect the Reorganization Property in the event as described above, the Calculation Agent
will make further antidilution adjustments for any later events that affect the Reorganization Property, or any component of the
Reorganization Property, comprising the new Adjustment Factor of such Underlying Stock. The Calculation Agent will do so to the
same extent that it would make adjustments if the shares of such Underlying Stock were outstanding and were affected by the same
kinds of events. If a subsequent Reorganization Event affects only a particular component of the number of shares of such Underlying
Stock, the required adjustment will be made with respect to that component as if it alone were the number of shares of such Underlying
Stock.

For
purposes of adjustments for Reorganization Events, in the case of a consummated tender or exchange offer or going-private transaction
involving Reorganization Property of a particular type, Reorganization Property will be deemed to include the amount of cash or
other property paid by the offeror in the tender or exchange offer with respect to such Reorganization Property (in an amount
determined on the basis of the rate of exchange in such tender or exchange offer or going-private transaction). In the event of
a tender or exchange offer or a going-private transaction with respect to Reorganization Property in which an offeree may elect
to receive cash or other property, Reorganization Property will be deemed to include the kind and amount of cash and other property
received by offerees who elect to receive cash.

Replacement
Stock Events

Following
the occurrence of a Replacement Stock Event described in paragraph (b)(2)(ii) above or in “—Delisting of American
Depositary Shares or Termination of American Depositary Receipt Facility” below with respect to an Underlying Stock, the
Stock Closing Price of the applicable Underlying Stock on any Calculation Day on or after the effective date of the Replacement
Stock Event will be determined by reference to a Replacement Stock and an Adjustment Factor (subject to any further antidilution
adjustments) for such Replacement Stock as determined in accordance with the following paragraphs.

The
“Replacement Stock” will be the stock having the closest “Option Period Volatility” to the
applicable original Underlying Stock among the stocks that then comprise the Replacement Stock Selection Index (or, if publication
of such index is discontinued, any successor or substitute index selected by the Calculation Agent in its sole discretion) with
the same GICS Code (as defined below) as the applicable original Underlying Stock Issuer; provided, however, that a Replacement

    	 	15	 

    	 

    

Stock
will not include (i) any stock that is subject to a trading restriction under the trading restriction policies of the Company,
the hedging counterparties of the Company or any of their affiliates that would materially limit the ability of the Company, the
hedging counterparties of the Company or any of their affiliates to hedge this Security with respect to such stock or (ii) any
stock for which the aggregate number of shares to be referenced by this Security (equal to the product of (a) (i) $100 divided
by (ii) the Starting Price of the applicable Underlying Stock, (b) the Adjustment Factor that would be in effect immediately
after selection of such stock as the Replacement Stock and (c) (i) the aggregate face amount outstanding divided by (ii)
$1,000) exceeds 25% of the ADTV (as defined in Rule 100(b) of Regulation M under the Exchange Act) for such stock as of the effective
date of the Replacement Stock Event (an “Excess ADTV Stock”).

If
a Replacement Stock is selected in connection with a Reorganization Event for an original Underlying Stock, the Adjustment Factor
with respect to such Replacement Stock will be equal to the number of shares of such Replacement Stock with an aggregate value,
based on the Closing Price on the effective date of such Reorganization Event, equal to the product of (a) the value of the
Non-Stock Reorganization Property received per share of such original Underlying Stock and (b) the Adjustment Factor of such Underlying
Stock in effect on the Trading Day immediately prior to the effective date of such Reorganization Event. If a Replacement Stock
is selected in connection with an ADS Termination Event (as defined below), the Adjustment Factor with respect to such Replacement
Stock will be equal to the number of shares of such Replacement Stock with an aggregate value, based on the Closing Price on the
Change Date (as defined below), equal to the product of (x) the Closing Price of the original Underlying Stock on the Change Date
and (y) the Adjustment Factor in effect on the Trading Day immediately prior to the Change Date.

The
“Option Period Volatility” means, in respect of any Trading Day, the volatility (calculated by referring to
the Closing Price of the applicable Underlying Stock on its primary exchange) for a period equal to the 125 Trading Days immediately
preceding the announcement date of the Reorganization Event, as determined by the Calculation Agent.

“GICS
Code” means the Global Industry Classification Standard (“GICS”) sub-industry code assigned to the
applicable Underlying Stock Issuer; provided, however, if (i) there is no other stock in the Replacement Stock Selection Index
in the same GICS sub-industry or (ii) a Replacement Stock (a) for which there is no trading restriction and (b) that is not
an Excess ADTV Stock cannot be identified from the Replacement Stock Selection Index in the same GICS sub-industry, the GICS Code
will mean the GICS industry code assigned to such original Underlying Stock Issuer. If no GICS Code has been assigned to such
original Underlying Stock Issuer, the applicable GICS Code will be determined by the Calculation Agent to be the GICS sub-industry
code assigned to companies in the same sub-industry (or, subject to the proviso in the preceding sentence, industry, as applicable)
as such original Underlying Stock Issuer at the time of the relevant Replacement Stock Event.

The
“Replacement Stock Selection Index” means the S&P 500® Index.

    	 	16	 

    	 

    

Delisting
of American Depositary Shares or Termination of American Depositary Receipt Facility.

If
an Underlying Stock is an American Depositary Share and such Underlying Stock is no longer listed or admitted to trading on a
U.S. securities exchange registered under the Exchange Act or included in the OTC Bulletin Board Service operated by FINRA, or
if the American depositary receipt facility between the applicable Underlying Stock Issuer and the depositary is terminated for
any reason (each, an “ADS Termination Event”), then, on the last Trading Day on which the applicable Underlying
Stock is listed or admitted to trading or the last Trading Day immediately prior to the date of such termination, as applicable
(the “Change Date”), a Replacement Stock Event shall be deemed to occur.

Calculation
Agent

The
Calculation Agent will determine whether this Security will be automatically called prior to the Stated Maturity Date, whether
a Contingent Coupon Payment will be made, the Automatic Call Price, if applicable, the Optional Redemption Price, if applicable,
and the Maturity Payment Amount, if any. In addition, the Calculation Agent will (i) determine the Closing Prices of the
Underlying Stocks under the circumstances described in this Security, (ii) determine if adjustments are required to the Closing
Price or Adjustment Factor of an Underlying Stock under the circumstances described in this Security, (iii) select a Replacement
Stock under the circumstances described in this Security and (iv) determine whether a Market Disruption Event has occurred.

The
Company covenants that, so long as this Security is Outstanding, there shall at all times be a Calculation Agent (which shall
be a broker-dealer, bank or other financial institution) with respect to this Security.

All
determinations made by the Calculation Agent with respect to this Security will be at the sole discretion of the Calculation Agent
and, in the absence of manifest error, will be conclusive for all purposes and binding on the Company and the Holder of this Security.

Redemption
and Repayment

This
Security is not subject to repayment at the option of the Holder hereof prior to February 20, 2025. This Security is subject to
redemption prior to February 20, 2025 as set forth under “Optional Redemption” above and is subject to an automatic
call prior to February 20, 2025 as set forth under “Automatic Call” above. This Security is not entitled to any sinking
fund.

Acceleration

If
an Event of Default, as defined in the Indenture, with respect to this Security shall occur and be continuing, the Maturity Payment
Amount (calculated as set forth in the next two sentences) of this Security may be declared due and payable in the manner and
with the effect provided in the Indenture. The amount payable to the Holder hereof upon any acceleration permitted under the Indenture
will be equal to the Maturity Payment Amount hereof calculated as provided herein, plus a portion of a final Contingent Coupon
Payment, if any. The Maturity Payment Amount and any final Contingent Coupon Payment will be calculated as though the date of
acceleration were the Final Calculation Day. The final Contingent Coupon Payment, if any, will be prorated from

    	 	17	 

    	 

    

and
including the immediately preceding Contingent Coupon Payment Date to but excluding the date of acceleration.

__________________

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

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

[The
remainder of this page has been left intentionally blank]

    	 	18	 

    	 

    

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

 

DATED: 

 

	 

	WELLS
                                         FARGO FINANCE LLC

	 

	 

	 

	 

	 

	By:

	 

	 

	 

	 

	 

	 

	 

	 

	Its:

	 

	 

	 

	 

	 

	 

	 

	 

	 

	 

	Attest:

	 

	 

	 

	 

	 

	 

	 

	 

	Its:

	 

 

TRUSTEE’S
CERTIFICATE OF
AUTHENTICATION
This is one of the Securities of the 
series designated therein described
in the within-mentioned
Indenture.

 

	CITIBANK,
                                         N.A.,

	 

	 

	as
                                         Trustee

	 

	 

	 

	 

	By:

	 

	 

	 

	Authorized
                                         Signature

	 

	 

	 

	 

	 

	OR

	 

	 

	 

	 

	 

	WELLS
                                         FARGO BANK, N.A.,

	 

	 

	as
                                         Authenticating Agent for the Trustee

	 

	 

	 

	 

	By:

	 

	 

	 

	Authorized
                                         Signature

	 

	 

	 

	 

	 

 

 

    	 	19	 

    	 

    

[Reverse
of Note]

 

 

WELLS
FARGO FINANCE LLC

 

MEDIUM-TERM
NOTE, SERIES A

Fully
and Unconditionally Guaranteed by Wells Fargo & Company

 

Principal
at Risk Securities Linked to the Lowest Performing of the Common Stock of Bank of America Corporation, the Common Stock of Citigroup
Inc. and the Common Stock of JPMorgan Chase & Co. due February 20, 2025

 

This
Security is one of a duly authorized issue of securities of the Company (herein called the “Securities”), issued
and to be issued in one or more series under an indenture dated as of April 25, 2018, as amended or supplemented from time to
time (herein called the “Indenture”), among the Company, as issuer, Wells Fargo & Company, as guarantor
(the “Guarantor”) and Citibank, N.A., as trustee (herein called the “Trustee,” which term
includes any successor trustee under the Indenture), to which Indenture and all indentures supplemental thereto reference is hereby
made for a statement of the respective rights, limitations of rights, duties and immunities thereunder of the Company, the Guarantor,
the Trustee and the Holders of the Securities, and of the terms upon which the Securities are, and are to be, authenticated and
delivered. This Security is one of the series of the Securities designated as Medium-Term Notes, Series A, of the Company.
The amount payable on the Securities of this series may be determined by reference to the performance of one or more equity-,
commodity- or currency-based indices, exchange traded funds, securities, commodities, currencies, statistical measures of economic
or financial performance, or a basket comprised of two or more of the foregoing, or any other market measure or may bear interest
at a fixed rate or a floating rate. The Securities of this series may mature at different times, be redeemable at different times
or not at all, be repayable at the option of the Holder at different times or not at all and be denominated in different currencies.

The
Securities are issuable only in registered form without coupons and will be either (a) book-entry securities represented
by one or more Global Securities recorded in the book-entry system maintained by the Depositary or (b) certificated securities
issued to and registered in the names of, the beneficial owners or their nominees.

The
Company agrees, to the extent permitted by law, not to voluntarily claim the benefits of any laws concerning usurious rates of
interest against a Holder of this Security.

Guarantee

The
Securities of this series are fully and unconditionally guaranteed by the Guarantor as and to the extent set forth in the Indenture.

Modification
and Waivers 

The
Indenture permits, with certain exceptions as therein provided, the amendment thereof and the modification of the rights and obligations
of the Company and the Guarantor and the rights

    	 	20	 

    	 

    

of
the Holders of the Securities of each series to be affected under the Indenture at any time by the Company, the Guarantor and
the Trustee with the consent of the Holders of a majority in principal amount of the Securities at the time Outstanding of all
series to be affected, acting together as a class. The Indenture also contains provisions permitting the Holders of a majority
in principal amount of the Securities of all series at the time Outstanding affected by certain provisions of the Indenture, acting
together as a class, on behalf of the Holders of all Securities of such series, to waive compliance by the Company or the Guarantor
with those provisions of the Indenture. Certain past defaults under the Indenture and their consequences may be waived under the
Indenture by the Holders of a majority in principal amount of the Securities of each series at the time Outstanding, on behalf
of the Holders of all Securities of such series. Solely for the purpose of determining whether any consent, waiver, notice or
other action or Act to be taken or given by the Holders of Securities pursuant to the Indenture has been given or taken by the
Holders of Outstanding Securities in the requisite aggregate principal amount, the principal amount of this Security will be deemed
to be equal to the amount set forth on the face hereof as the “Face Amount” hereof. Any such consent or waiver by
the Holder of this Security shall be conclusive and binding upon such Holder and upon all future Holders of this Security and
of any Security issued upon the registration of transfer hereof or in exchange herefor or in lieu hereof, whether or not notation
of such consent or waiver is made upon this Security.

Defeasance

Section 403
and Article Fifteen of the Indenture and the provisions of clause (ii) of Section 401(1)(B) of the Indenture, relating
to defeasance at any time of (a) the entire indebtedness on this Security and (b) certain restrictive covenants, upon
compliance by the Company or the Guarantor with certain conditions set forth therein, shall not apply to this Security. The remaining
provisions of Section 401 of the Indenture shall apply to this Security.

Authorized
Denominations

This
Security is issuable only in registered form without coupons in denominations of $1,000 or any amount in excess thereof which
is an integral multiple of $1,000.

Registration
of Transfer

Upon
due presentment for registration of transfer of this Security at the office or agency of the Company in the City of Minneapolis,
Minnesota, a new Security or Securities of this series, with the same terms as this Security, in authorized denominations for
an equal aggregate Face Amount will be issued to the transferee in exchange herefor, as provided in the Indenture and subject
to the limitations provided therein and to the limitations described below, without charge except for any tax or other governmental
charge imposed in connection therewith.

This
Security is exchangeable for definitive Securities in registered form only if (x) the Depositary notifies the Company that
it is unwilling or unable to continue as Depositary for this Security or if at any time the Depositary ceases to be a clearing
agency registered under the Securities Exchange Act of 1934, as amended, and a successor depositary is not appointed within 90 days
after the Company receives such notice or becomes aware of such ineligibility, (y) the Company in its sole discretion determines
that this Security shall be exchangeable for definitive Securities in registered

    	 	21	 

    	 

    

form
and notifies the Trustee thereof or (z) an Event of Default with respect to the Securities represented hereby has occurred and
is continuing. If this Security is exchangeable pursuant to the preceding sentence, it shall be exchangeable for definitive Securities
in registered form, bearing interest at the same rate, having the same date of issuance, Stated Maturity Date and other terms
and of authorized denominations aggregating a like amount.

This
Security may not be transferred except as a whole by the Depositary to a nominee of the Depositary or by a nominee of the Depositary
to the Depositary or another nominee of the Depositary or by the Depositary or any such nominee to a successor of the Depositary
or a nominee of such successor. Except as provided above, owners of beneficial interests in this Global Security will not be entitled
to receive physical delivery of Securities in definitive form and will not be considered the Holders hereof for any purpose under
the Indenture.

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

Obligation
of the Company Absolute

No
reference herein to the Indenture and no provision of this Security or the Indenture shall alter or impair the obligation of the
Company, which is absolute and unconditional, to pay the Contingent Coupon Payments, if any, and the Maturity Payment Amount,
the Optional Redemption Price or the Automatic Call Price, as applicable, on this Security at the times, place and rate, and in
the coin or currency, herein prescribed, except as otherwise provided in this Security.

No
Personal Recourse

No
recourse shall be had for the payment of any Contingent Coupon Payments or the Maturity Payment Amount, the Optional Redemption
Price or the Automatic Call Price, as applicable, on this Security 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, present or future, of the Company or any successor corporation or of the Guarantor or any successor
corporation, 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 issuance hereof, expressly
waived and released.

Defined
Terms

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

Governing
Law

This
Security shall be governed by and construed in accordance with the law of the State of New York, without regard to principles
of conflicts of laws.

    	 	22	 

    	 

    

ABBREVIATIONS

 

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

	 

	 

	 

	 

	TEN
                                         COM

	--

	as
                                         tenants in common

	 

	 

	 

	 

	 

	TEN
                                         ENT

	--

	as
                                         tenants by the entireties

	 

	 

	 

	 

	 

	JT
                                         TEN

	--

	as
                                         joint tenants with right

	 

	 

	 

	of
                                         survivorship and not

	 

	 

	 

	as
                                         tenants in common

	 

 

	UNIF
                                         GIFT MIN ACT

	--

	 

	Custodian

	 

	 

	 

	(Cust)

	 

	(Minor)

 

	Under
                                         Uniform Gifts to Minors Act

	 

	 

	 

	 

	 

	(State)

	 

 

Additional
abbreviations may also be used though not in the above list.

 

FOR
VALUE RECEIVED, the undersigned hereby sell(s) and transfer(s) unto

 

	Please
                                         Insert Social Security or

	 

	Other
                                         Identifying Number of Assignee

	 

	 

	 

	 

	 

 

	
	 
	 
	 
	(Please
                                         print or type name and address including postal zip code of Assignee)

 

    	 	23	 

    	 

    

the
within Security of WELLS FARGO FINANCE LLC and does hereby irrevocably constitute and appoint __________________ attorney to transfer
the said Security on the books of the Company, with full power of substitution in the premises.

 

 

	Dated:
                                         _________________________

	 

	 

	 

	 

	 

	 

	 

	 

	 

	 

	 

 

 

 

 

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

 

    	 	24Exhibit

EXHIBIT 4.2

DESCRIPTION OF THE REGISTRANT’S SECURITIES
REGISTERED PURSUANT TO SECTION 12 OF THE
SECURITIES EXCHANGE ACT OF 1934
As of December 31, 2019, Honeywell International Inc. had four classes of securities registered under Section 12 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”): (1) our Common Stock; (2) our 0.650% Notes due 2020; (3) our 1.300% Notes due 2023; and (4) our 2.250% Notes due 2028. 
Description of Common Stock
General 
As of the date of this filing, we are authorized to issue up to 2,000,000,000 shares of common stock. As of December 31, 2019, we had approximately 958 million shares of common stock issued (including approximately 247 million shares held in treasury). EQ Shareowner Services, a division of Equiniti Trust Company, is the transfer agent and registrar for our common stock. Shares of common stock are listed on the New York Stock Exchange and the London Stock Exchange under the symbol “HON.” 
The following summary is not complete. You should refer to the applicable provision of Honeywell’s charter and by-laws, each of which are incorporated by reference as an exhibit to the Annual Report on Form 10-K of which this Exhibit 4.2 is a part, and to Delaware corporate law for a complete statement of the terms and rights of our common stock. 
Dividends 
Holders of common stock are entitled to receive dividends when, as and if declared by the board of directors, out of funds legally available for their payment, subject to the rights of holders of any preferred stock outstanding. 
Voting Rights 
Each holder of common stock is entitled to one vote per share. Subject to any rights of the holders of any series of preferred stock pursuant to applicable law or the provision of the certificate of designations creating that series, all voting rights are vested in the holders of shares of common stock. Holders of shares of common stock have noncumulative voting rights, which means that the holders of more than 50% of the shares voting for the election of directors can elect 100% of the directors, and the holders of the remaining shares voting for the election of directors will not be able to elect any directors. 
Rights Upon Liquidation 
In the event of Honeywell’s voluntary or involuntary liquidation, dissolution or winding up, the holders of common stock will be entitled to share equally in any of Honeywell’s assets available for distribution after the payment in full of all debts and distributions and after the holders of any series of outstanding preferred stock have received their liquidation preferences in full. 
Other Rights 
Holders of shares of common stock are not entitled to preemptive rights. Shares of common stock are not convertible into shares of any other class of capital stock. If we merge or consolidate with or into another company and as a result our common stock is converted into or exchangeable for shares of stock, other securities or property (including cash), all holders of common stock will be entitled to receive the same kind and amount of consideration per share of common stock. 

Possible Anti-Takeover Provisions 
Honeywell’s charter and by-laws provide: 
		
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	that the board of directors may establish the number of seats on the board, subject to the right of preferred stockholders to elect directors in certain circumstances and shareowners’ rights to set the number of seats upon the vote of holders of a majority of the outstanding shares of common stock; 

		
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	that vacancies on the board of directors other than at the annual meeting are filled by a vote of the remaining directors;

		
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	that special meetings of shareowners generally may be called only by the chief executive officer, by a majority of the authorized number of directors, or by the holders of not less than fifteen percent of the outstanding shares of Honeywell’s common stock (excluding derivatives); 

		
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	that action may be taken by shareowners only at annual or special meetings and not by written consent; 

		
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	that advance notice must be given to Honeywell for a shareowner to nominate directors for election at a shareowner meeting; and

		
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	that the board of directors may in limited circumstances, without stockholder approval, adopt a plan to provide for the distribution to stockholders of preferred stock or certain other securities upon the occurrence of certain triggering events (but any such plan adopted without stockholder approval must expire within one year of adoption unless ratified by the stockholders).

 Any of these provisions could delay, deter or prevent a tender offer for or attempted takeover of Honeywell. 
Our charter permits us to issue up to 40,000,000 shares of preferred stock with terms that may be set by our board of directors or a committee of the board. That preferred stock could have terms that could delay, deter or prevent a tender offer or takeover attempt of Honeywell. 
Under Delaware law, an acquirer of 15% or more of our shares of stock must wait three years before a business combination with us unless one of the following exceptions is available: 
		
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	approval by our board of directors prior to the time the acquirer became a 15% shareowner of Honeywell; 

		
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	acquisition of at least 85% of our voting stock in the transaction in which the acquirer became a 15% shareowner of Honeywell; or 

		
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	approval of the business combination by our board of directors and two-thirds of our disinterested shareowners.

Honeywell’s by-laws provide that, unless Honeywell consents in writing to the selection of an alternative forum, a state or federal court located within the State of Delaware will be the sole and exclusive forum for (i) any derivative action or proceeding brought on behalf of Honeywell, (ii) any action asserting a claim of breach of a fiduciary duty owed by any director, officer or other employee of Honeywell to Honeywell or Honeywell’s stockholders, (iii) any action asserting a claim arising pursuant to any provision of the Delaware General Corporation Law or (iv) any action asserting a claim governed by the internal affairs doctrine. Honeywell’s by-laws also provide that any person or entity purchasing or otherwise acquiring any interest in shares of capital stock of Honeywell will be deemed to have notice of and consented to the exclusive forum provisions described above. 
Description of Debt Securities
The following description of certain material terms of our 0.650% Senior Notes due 2020, 1.300% Senior Notes due 2023, and 2.250% Senior Notes due 2028 (collectively referred to in this exhibit as the “debt securities”) does not purport to be complete. The following description is subject to, and is qualified in its entirety by reference to the debt securities and the indenture between us and Deutsche Bank Trust Company Americas, as trustee, dated March 1, 2007 (as may be amended, supplemented or amended and restated from time to time) (the “indenture”). Terms used that are otherwise not defined have the meanings given to them in the indenture. 
General
We have outstanding €1.0 billion aggregate principal amount of our 0.650% Senior Notes due 2020, €1.25 billion aggregate principal amount of our 1.300% Senior Notes due 2023 and €750 million aggregate principal amount of our 2.250% Senior Notes due 2028, which securities are listed on the New York Stock Exchange. 
Each series of the debt securities was issued as separate series under an indenture dated March 1, 2007 (the “indenture”) between us and Deutsche Bank Trust Company Americas, as trustee. The 2020 notes will mature on February 21, 2020, the 2023 notes will mature on February 22, 2023, and the 2028 notes will mature on February 22, 2028.

The debt securities are issued only in registered, book-entry form without interest coupons in minimum denominations of €100,000 and integral multiples of €1,000 in excess thereof.
The debt securities are not subject to a sinking fund.
The term “business day” means any day, other than a Saturday or Sunday, (1) which is not a day on which banking institutions in The City of New York or The City of London are authorized or required by law or executive order to close and (2) on which the Trans-European Automated Real-time Gross Settlement Express Transfer system (the TARGET2 system), or any successor thereto, operates.
Covenants
Except as described below with respect to any series of debt securities, we are not restricted by the indenture from incurring, assuming or becoming liable for any type of debt or other obligations, from paying dividends or making distributions on our capital stock or purchasing or redeeming our capital stock. The indenture does not require the maintenance of any financial ratios or specified levels of net worth or liquidity. In addition, with certain exceptions, the indenture does not contain any covenants or other provisions that would limit our right to incur additional indebtedness. The indenture does not contain any provisions that would require us to repurchase or redeem or otherwise modify the terms of any of the debt securities upon a change in control or other events that may adversely affect the creditworthiness of the debt securities, such as for example, a highly leveraged transaction.
Covenants contained in the indenture, which are summarized below, are applicable to each series of debt securities so long as any of the debt securities of that series are outstanding.
 Limitation on Mortgages. In the indenture, we covenant not to issue, assume or guarantee any indebtedness for borrowed money secured by liens on:
		
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	any property located in the United States which is in the opinion of our board of directors, a principal manufacturing property; or

		
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	any shares of capital stock or indebtedness of any subsidiary owning such property, without equally and ratably securing the debt securities, subject to exceptions specified in the indenture. These exceptions include:

		
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	existing liens on our property or liens on property of corporations at the time those corporations become our subsidiaries or are merged with us;

		
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	liens existing on property when acquired, or incurred to finance the purchase price of that property;

		
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	certain liens on property to secure the cost of development of, or improvements on, that property;

		
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	certain liens in favor of or required by contracts with governmental entities; and

		
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	indebtedness secured by liens otherwise prohibited by the covenant not exceeding 10% of the consolidated net tangible assets of Honeywell and our consolidated subsidiaries.

Limitation on Sale and Lease-Back. We also covenant not to enter into any sale and lease-back transaction covering any property located in the United States which is in the opinion of our board of directors, a principal manufacturing property, or unless:
		
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	we would be entitled under the provisions described under “-Limitation on Mortgages” to incur debt equal to the value of such sale and lease-back transaction, secured by liens on the property to be leased, without equally securing the outstanding debt securities; or

		
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	we, during the four months following the effective date of such sale and lease-back transaction, apply an amount equal to the value of such sale and lease-back transaction to the voluntary retirement of long-term indebtedness of Honeywell or our subsidiaries.

Consolidation, Merger and Sale of Assets. The indenture provides that we may not consolidate with or merge into any other person or sell our assets substantially as an entirety, unless:
		
	•
	the person formed by such consolidation or into which we are merged or the person which acquires our assets is a person organized in the United States of America and expressly assumes the due and punctual payment of the principal of and interest on all the debt securities and the performance of every covenant of the indenture on our part;

		
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	immediately after giving effect to 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; and

		
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	we have delivered to the trustee an officers’ certificate and an opinion of counsel each stating that such consolidation or transfer and a supplemental indenture, if applicable, comply with the indenture and that all conditions precedent herein provided for relating to such transaction have been complied with.

Upon such consolidation, merger or sale, the successor corporation formed by such consolidation or into which we are merged or to which such sale is made will succeed to, and be substituted for, us under the indenture, and the predecessor corporation shall be released from all obligations and covenants under the indenture and the debt securities.
The indenture does not restrict, or require us to redeem or permit holders to cause redemption of debt securities in the event of:
		
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	a consolidation, merger, sale of assets or other similar transaction that may adversely affect our creditworthiness or the successor or combined entity;

		
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	a change in control of us; or

		
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	a highly leveraged transaction involving us whether or not involving a change in control.

Accordingly, the holders of debt securities would not have protection in the event of a highly leveraged transaction, reorganization, restructuring, merger or similar transaction involving us that may adversely affect the holders. The existing protective covenants applicable to the debt securities would continue to apply to us in the event of a leveraged buyout initiated or supported by us, our management, or any of our affiliates or their management, but may not prevent such a transaction from taking place.
Events of Default, Notice and Waiver
The indenture provides that if an event of default shall have occurred and be continuing with respect to any series of debt securities, then either the trustee or the holders of not less than 25% in outstanding principal amount of the debt securities of that series may declare to be due and payable immediately the outstanding principal amount of the debt securities of the affected series, together with interest, if any, accrued thereon; provided, however, that if the event of default is any of certain events of bankruptcy, insolvency or reorganization, all the debt securities, together with interest, if any, accrued thereon, will become immediately due and payable without further action or notice on the part of the trustee or the holders.
Under the indenture, an event of default with respect to the debt securities of any series is any one of the following events:
	
				
	 
	(1)
	 
	default for 30 days in payment when due of any interest due with respect to the debt securities of such series;

	 
	(2)
	 
	default in payment when due of principal of or of premium, if any, on the debt securities of such series;

	 
	(3)
	 
	default in the observance or performance of any other covenant or agreement contained in the indenture which default continues for a period of 90 days after we receive written notice specifying the default (and demanding that such default be remedied) from the trustee or the holders of at least 25% of the principal amount of securities of that series then outstanding (with a copy to the trustee if given by holders) (except in the case of a default with respect to certain consolidations, mergers, or sales of assets as set forth in Section 10.01 of the indenture, which will constitute an event of default with such notice requirement but without such passage of time requirement), provided, however, that the sole remedy of holders of the securities for an event of default relating to the failure to file any documents or reports that Honeywell is required to file with the SEC pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934, as amended, and for any failure to comply with the requirements of Section 314(a)(1) of the Trust Indenture Act of 1939, as amended, which we refer to as the Trust Indenture Act, to provide such documents or reports, within 30 days after filing with the SEC, to the trustee pursuant to Section 14.04 of the indenture, will for the first 60 days after the occurrence of such an event of default, or such shorter period until such event of default has been cured or waived, consist exclusively of the right to receive additional interest on the securities at an annual rate equal to 0.25% of the outstanding principal amount of the securities, and that, on the 61st day after such event of default (if such event of default is not cured or waived prior to such 61st day), the securities will be subject to acceleration as provided in the indenture;

	 
	(4)
	 
	certain events of bankruptcy, insolvency and reorganization; and

	 
	(5)
	 
	any other event of default provided with respect to debt securities of that series.

The indenture provides that the trustee will, within 90 days after the occurrence of a default with respect to the debt securities of any series, give to the holders of debt securities of such series notice of such default known to it, unless cured or waived; provided that except in the case of default in the payment of principal, or interest or premium, if any, on any debt security of such series or in the payment of any sinking fund installment with respect to debt securities of such series, the trustee will be protected in withholding such notice if and so long as the board of directors, the executive committee or a trust committee of directors and/or specified officers of the trustee in good faith determine that the withholding of such notice is in the interests of the holders of debt securities of such series. The term “default” for the purpose of this provision means any event that is, or after notice or lapse of time, or both, would become, an event of default.
The indenture contains a provision entitling the trustee, subject to the duty of the trustee during the continuance of an event of default to act with the required standard of care, to be indemnified by the holders before proceeding to exercise any right or power under the indenture at the request of such holders. The indenture provides that the holders of a majority in outstanding principal amount of the debt securities of any series may, subject to certain exceptions, on behalf of the holders of debt securities of such series direct the time, method and place of conducting proceedings for remedies available to the trustee, or exercising any trust or power conferred on the trustee.
The indenture includes a covenant that we will file annually with the trustee a certificate of no default, or specifying any default that exists.
In certain cases, the holders of a majority in outstanding principal amount of the debt securities of any series may on behalf of the holders of debt securities of such series rescind a declaration of acceleration or waive any past default or event of default with respect to the debt securities of that series except a default not theretofore cured in payment of the principal of, or interest or premium, if any, on any debt security of such series or in respect of a provision which under the indenture cannot be modified or amended without the consent of the holder of each such debt security.
No holder of a debt security of any series has any right to institute any proceeding with respect to the indenture or the debt securities of any series or for any remedy thereunder unless:
		
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	such holder shall have previously given to the trustee written notice of a continuing event of default;

		
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	the holders of at least 25% in aggregate principal amount of the outstanding debt securities of such series have also made such a written request;

		
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	such holder or holders have provided indemnity satisfactory to the trustee to institute such proceeding as trustee;

		
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	the trustee has not received from the holders of a majority in outstanding principal amount of the debt securities of such series a direction inconsistent with such request; and

		
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	the trustee has failed to institute such proceeding within 90 calendar days of such notice.

However, such limitations do not apply to a suit instituted by a holder of debt securities for enforcement of payment of the principal of, or premium or interest, if any, on such debt securities on or after the respective due dates expressed in such debt securities after any applicable grace periods have expired.

Modification and Waiver
The trustee and we may amend or supplement the indenture or the debt securities of any series without the consent of any holder, in order to:
		
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	cure any ambiguity, defect or inconsistency;

		
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	provide for uncertificated debt securities in addition to or in place of certificated debt securities;

		
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	evidence and provide for the acceptance of appointment by a successor trustee and to add to or change any of the provisions of the indenture as are necessary to provide for or facilitate the administration of the trusts by more than one trustee;

		
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	make any change that would provide any additional rights or benefits to the holders of all or any series of debt securities and that does not adversely affect any such holder; or

		
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	comply with SEC requirements in order to effect or maintain the qualification of the indenture under the Trust Indenture Act.

In addition, except as described below, modifications and amendments of the indenture or the debt securities of any series may be made by the trustee and us with the consent of the holders of a majority in outstanding principal amount of the debt securities affected by such modification or amendment. However, no such modification or amendment may, without the consent of each holder affected thereby:
		
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	change the stated maturity of, or time for payment of interest on, any debt security;

		
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	reduce the principal amount of, or the rate of interest or the premium, payable upon the redemption of, if any, on any debt security;

		
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	change the place or currency of payment of principal of, or interest or premium, if any, on any debt security;

		
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	impair the right to institute suit for the enforcement of any payment on or with respect to such debt securities on or after the stated maturity or prepayment date thereof; or

		
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	reduce the percentage in principal amount of debt securities of any series where holders must consent to an amendment, supplement or waiver.

Defeasance
The indenture provides that we will be discharged from any and all obligations in respect of the debt securities of any series (except for certain obligations to register the transfer or exchange of the debt securities, to replace stolen, lost or mutilated debt securities, to maintain paying agencies and hold monies for payment in trust and to pay the principal of and interest, if any, on such debt securities), upon the irrevocable deposit with the trustee, in trust, of money and/or U.S. government securities, which through the payment of interest and principal thereof in accordance with their terms provides money in an amount sufficient to pay the principal of (and premium, if any) and interest, if any, in respect of the debt securities of such series on the stated maturity date of such principal and any installment of principal, or interest or premium, if any. Also, the establishment of such a trust will be conditioned on the delivery by us to the trustee of an opinion of counsel reasonably satisfactory to the trustee to the effect that, based upon applicable U.S. federal income tax law or a ruling published by the United States Internal Revenue Service, such a defeasance and discharge will not be deemed, or result in, a taxable event with respect to the holders. For the avoidance of doubt, such an opinion would require a change in current U.S. tax law.
We may also omit to comply with the restrictive covenants, if any, of any particular series of debt securities, other than our covenant to pay the amounts due and owing with respect to such series of debt securities. Thereafter, any such omission shall not be an event of default with respect to the debt securities of such series, upon the deposit with the trustee, in trust, of money and/or U.S. government securities which through the payment of interest and principal in respect thereof in accordance with their terms provides money in an amount sufficient to pay any installment of principal of (and premium, if any) and interest, if any, in respect of debt securities of such series on the stated maturity date of such principal or installment of principal, or interest or premium, if any. Our obligations under the indenture and the debt securities of such series other than with respect to such covenants shall remain in full force and effect. Also, the establishment of such a trust will be conditioned on the delivery by us to the trustee of an opinion of counsel to the effect that such a defeasance and discharge will not be deemed, or result in a taxable event with respect to the holders.
In the event we exercise our option to omit compliance with certain covenants as described in the preceding paragraph and the debt securities of such series are declared due and payable because of the occurrence of any event of default, then the amount of monies and U.S. government securities on deposit with the trustee will be sufficient to pay amounts due on the debt securities of such series at the time of the acceleration resulting from such event of default. We remain liable in any event for such payments as provided in the debt securities of such series.

Satisfaction and Discharge
At our option, we may satisfy and discharge the indenture with respect to the debt securities of any series (except for specified obligations of the trustee and ours, including, among others, the obligations to apply money held in trust) when:
		
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	either (a) all debt securities of such series previously authenticated and delivered under the indenture have been delivered to the trustee for cancellation or (b) all debt securities of such series not theretofore delivered to the trustee for cancellation have become due and payable, will become due and payable at their stated maturity 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 by the trustee, and we have deposited or caused to be deposited with the trustee as trust funds in trust for such purpose an amount sufficient to pay and discharge the entire indebtedness on debt securities of such series;

		
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	we have paid or caused to be paid all other sums payable under the indenture with respect to the debt securities of such series by us; and

		
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	we have delivered to the trustee an officers’ certificate and an opinion of counsel, each to the effect that all conditions precedent relating to the satisfaction and discharge of the indenture as to such series have been satisfied.

Payment on the Debt Securities
All payments on the debt securities are payable in euros; provided that if the euro is unavailable to us due to the imposition of exchange controls or other circumstances beyond our control or if the euro is no longer being used by the then member states of the European Monetary Union that have adopted the euro as their currency or for the settlement of transactions by public institutions of or within the international banking community, then all payments in respect of the debt securities will be made in U.S. dollars until the euro is again available to us or so used. The amount payable on any date in euro will be converted into U.S. dollars at the rate mandated by the U.S. Federal Reserve Board as of the close of business on the second business day prior to the relevant payment date or, in the event the U.S. Federal Reserve Board has not mandated a rate of conversion, on the basis of the most recent U.S. dollar/euro exchange rate published in The Wall Street Journal on or prior to the second business day prior to the relevant payment date. Any payment in respect of the debt securities so made in U.S. dollars does not constitute an event of default under the debt securities or the indenture. Neither the trustee nor the paying agent will have any responsibility for any calculation or conversion in connection with the foregoing.
Ranking
The debt securities are our senior unsecured debt obligations and rank equally among themselves and with all of our other present and future senior unsecured indebtedness.
Interest
The debt securities began bearing interest as of February 22, 2016.
Fixed Rate Notes
The 2020 notes bear interest at a fixed rate of 0.650% per annum, the 2023 notes bear interest at a fixed rate of 1.300% per annum and the 2028 notes bear interest at a fixed rate of 2.250% per annum. Interest on the debt securities accrues from February 22, 2016, or from the most recent date to which interest has been paid or provided for, payable annually in arrears on February 21 of each year with respect to the 2020 notes and on February 22 of each year with respect to the 2023 notes and the 2028 notes (each a “debt securities interest payment date”), commencing February 21, 2017 with respect to the 2020 notes and February 22, 2017 with respect to the 2023 notes and the 2028 notes to holders of record at the close of business on the 15th calendar day (whether or not a business day) immediately preceding the interest payment date or, if the debt securities are represented by one or more global notes, the close of business on the business day (for this purpose a day on which Clearstream and Euroclear are open for business) immediately preceding the debt securities interest payment date; provided, however, that interest payable on the maturity date of the debt securities or any redemption date of the debt securities shall be payable to the person to whom the principal of such debt securities shall be payable.
Interest payable on the debt securities on any debt securities interest payment date, redemption date or maturity date is the amount of interest accrued from, and including, the next preceding debt securities interest payment date in respect of which interest has been paid or duly provided for to, but excluding, such debt securities interest payment date, redemption date or maturity date, as the case may be. This payment convention is referred to as ACTUAL/ACTUAL (ICMA) as defined in the rulebook of the International Capital Markets Association. If any debt securities 

interest payment date falls on a day that is not a business day, the interest payment will be made on the next succeeding day that is a business day, but no additional interest will accrue as a result of the delay in payment. If the maturity date of the debt securities falls on a day that is not a business day, the related payment of principal, premium, if any, and interest will be made on the next succeeding business day as if it were made on the date such payment was due, and no interest will accrue on the amounts so payable for the period from and after such date to the next succeeding business day. The rights of holders of beneficial interests of debt securities to receive the payments of interest on such notes are subject to the applicable procedures of Euroclear and Clearstream.
Optional Redemption of the Debt Securities
The fixed rate notes of any series are redeemable, in whole or in part, at any time and from time to time at our option, at a redemption price equal to the greater of (i) 100% of the principal amount of the fixed rate notes to be redeemed and (ii) the sum of the present values of the remaining scheduled payments of principal and interest on the fixed rate notes to be redeemed (exclusive of interest accrued to the date of redemption), discounted to the redemption date on an annual basis (ACTUAL/ACTUAL (ICMA)), at the applicable Comparable Government Bond Rate described below plus 20 basis points for the 2020 notes, plus 25 basis points for the 2023 notes and plus 30 basis points for the 2028 notes, plus, in each case, accrued and unpaid interest on the principal amount of the fixed rate notes to be redeemed to the date of redemption. We will calculate the redemption price.
“Comparable Government Bond Rate” means, with respect to any redemption date, the rate per annum equal to the yield to maturity, expressed as a percentage (rounded to three decimal places, with 0.0005 being rounded upwards), on the third business day prior to the date fixed for redemption, calculated in accordance with customary financial practice in pricing new issues of comparable corporate debt securities paying interest on an annual basis (ACTUAL/ACTUAL (ICMA)) of the Comparable Government Bond (as defined below), assuming a price for the Comparable Government Bond (expressed as a percentage of its principal amount) equal to the Comparable Government Bond Price for such redemption date.
“Comparable Government Bond” means, in relation to any Comparable Government Bond Rate calculation, the German government bond (Bundesanleihe) selected by an Independent Investment Banker as having an actual or interpolated maturity comparable to the remaining term of the fixed rate notes to be redeemed that would be utilized, at the time of selection and in accordance with customary financial practice, in pricing new issues of euro-denominated corporate debt securities of a comparable maturity to the remaining term of such fixed rate notes.
“Independent Investment Banker” means one of the Reference Government Bond Dealers selected by us.
“Comparable Government Bond Price” means, with respect to any redemption date, (1) the arithmetic average of the Reference Government Bond Dealer Quotations for such redemption date, after excluding the highest and lowest such Reference Government Bond Dealer Quotations, or (2) if we obtain fewer than four such Reference Government Bond Dealer Quotations, the arithmetic average of all such quotations. 
“Reference Government Bond Dealer” means each of (i) Barclays Bank PLC, Citigroup Global Markets Limited, Goldman, Sachs & Co. and Merrill Lynch International or any of their affiliates that are primary European government securities dealers, and their respective successors; provided that if any of the foregoing or any of their affiliates shall cease to be a primary European government securities dealer (“Primary Dealer”), we shall substitute therefor another Primary Dealer and (ii) three other Primary Dealers selected by us.
“Reference Government Bond Dealer Quotations” means, with respect to each Reference Government Bond Dealer and any redemption date, the arithmetic average, as determined by us, of the bid and asked prices for the Comparable Government Bond (expressed in each case as a percentage of its principal amount) quoted in writing to us by such Reference Government Bond Dealer at 11:00 a.m., Brussels time, on the third business day preceding such redemption date.
Notice of any redemption will be mailed at least 30 days but not more than 60 days before the redemption date to each holder of fixed rate notes of such series to be redeemed. If we elect to redeem fewer than all the fixed rate notes of such series, the trustee will select the particular fixed rate notes of such series to be redeemed by such method that the trustee deems fair and appropriate; provided that if the fixed rate notes of such series are represented by one or more global securities, beneficial interests therein will be selected for redemption by Clearstream and Euroclear in accordance with their respective applicable procedures therefor; and provided, further, that no fixed rate notes of a principal amount of €100,000 or less will be redeemed in part.
Unless we default in payment of the redemption price, on and after the redemption date interest will cease to accrue on the fixed rate notes or portions thereof called for redemption.

The debt securities are also subject to redemption prior to maturity if certain changes in U.S. tax law occur. If such changes occur, the debt securities may be redeemed at a redemption price of 100% of their principal amount plus accrued and unpaid interest to the date of redemption. See “Redemption for Tax Reasons.”
Payment of Additional Amounts
We will, subject to the exceptions and limitations set forth below, pay as additional interest on the debt securities such additional amounts as are necessary in order that the net payment by us or a paying agent of the principal, premium and interest with respect to the debt securities to a holder that is not a United States person (as defined below), after withholding or deduction for any present or future tax, assessment or other governmental charge imposed by the United States or a taxing authority in the United States, will not be less than the amount provided in the debt securities to be then due and payable; provided, however, that the foregoing obligation to pay additional amounts will not apply:
	
				
	 
	1.
	 
	to any tax, assessment or other governmental charge that would not have been imposed but for the holder, a fiduciary, settlor, beneficiary, member or shareholder of the holder, or a person holding a power over an estate or trust administered by a fiduciary holder, being treated as:

	
				
	 
	a.
	 
	being or having been present in, or engaged in a trade or business in, the United States, being treated as having been present in, or engaged in a trade or business in, the United States, or having or having had a permanent establishment in the United States;

	 
	b.
	 
	having a current or former connection with the United States (other than a connection arising solely as a result of the ownership of the debt securities, the receipt of any payment in respect of the debt securities or the enforcement of any rights under the indenture), including being or having been a citizen or resident of the United States or treated as being or having been a resident thereof;

	 
	c.
	 
	being or having been a personal holding company, a passive foreign investment company or a controlled foreign corporation for U.S. federal income tax purposes, a foreign tax exempt organization, or a corporation that has accumulated earnings to avoid United States federal income tax;

	 
	d.
	 
	being or having been a “10-percent shareholder,” as defined in section 871(h)(3) of the United States Internal Revenue Code of 1986, as amended (the “Code”), or any successor provision, of us; or

	 
	e.
	 
	being a bank receiving payments on an extension of credit made pursuant to a loan agreement entered into in the ordinary course of its trade or business, within the meaning of section 881(c)(3) of the Code or any successor provision;

	
				
	 
	2.
	 
	to any holder that is not the sole beneficial owner of the debt securities, or a portion of the debt securities, or that is a fiduciary, partnership or limited liability company, but only to the extent that a beneficiary or settlor with respect to the fiduciary, a beneficial owner or member of the partnership or limited liability company would not have been entitled to the payment of an additional amount had the beneficiary, settlor, beneficial owner or member received directly its beneficial or distributive share of the payment;

	 
	3.
	 
	to any tax, assessment or other governmental charge that would not have been imposed but for the failure of the holder or any other person to comply with certification, identification or information reporting requirements concerning the nationality, residence, identity or connection with the United States of the holder or beneficial owner of the debt securities, if compliance is required by statute, by regulation of the United States or any taxing authority therein or by an applicable income tax treaty to which the United States is a party as a precondition to exemption from such tax, assessment or other governmental charge;

	 
	4.
	 
	to any tax, assessment or other governmental charge that is imposed otherwise than by withholding by us or a paying agent from the payment;

	 
	5.
	 
	to any estate, inheritance, gift, sales, excise, transfer, wealth, capital gains or personal property tax or similar tax, assessment or other governmental charge;

	 
	6.
	 
	to any tax, assessment or other governmental charge that would not have been imposed but for the presentation by the holder of any debt securities, where presentation is required, for payment on a date more than 30 days after the date on which payment became due and payable or the date on which payment thereof is duly provided for, whichever occurs later;

	
				
	 
	7.
	 
	to any tax, assessment or other governmental charge required to be withheld or deducted that is imposed on a payment pursuant to Sections 1471 through 1474 of the Code (or any amended or successor version of such Sections that is substantively comparable and not materially more onerous to comply with), any Treasury regulations promulgated thereunder, or any other official interpretations thereof (collectively, “FATCA”), any agreement (including any intergovernmental agreement) entered into in connection therewith, or any law, regulation or other official guidance enacted in any jurisdiction implementing FATCA or an intergovernmental agreement in respect of FATCA;

	 
	8.
	 
	any tax, assessment or other governmental charge that is imposed or withheld solely by reason of a change in law, regulation, or administrative or judicial interpretation that becomes effective more than 15 days after the payment becomes due or is duly provided for, whichever occurs later;

	 
	9.
	 
	any tax, assessment or other governmental charge imposed by reason of the failure of the beneficial owner to fulfill the statement requirements of Section 871(h) or Section 881(c) of the Code;

	 
	10.
	 
	any tax imposed pursuant to Section 871(h)(6) or 881(c)(6) of the Code (or any amended or successor provisions); or

	 
	11.
	 
	in the case of any combination of items (1) through (10).

Except as specifically provided under this heading “Payment of Additional Amounts,” we are not required to pay additional amounts in respect of any tax, assessment or other governmental charge. References to any payment on the debt securities include the related payment of additional amounts, as applicable.
As used under this heading “Payment of Additional Amounts” and under the heading “Redemption for Tax Reasons,” the term “United States” means the United States of America, any state thereof, and the District of Columbia, and the term “United States person” means (i) any individual who is a citizen or resident of the United States for U.S. federal income tax purposes, (ii) a corporation, partnership or other entity created or organized in or under the laws of the United States, any state thereof or the District of Columbia (other than a partnership that is not treated as a United States person for U.S. federal income tax purposes), (iii) any estate the income of which is subject to U.S. federal income taxation regardless of its source, or (iv) any trust if a U.S. court can exercise primary supervision over the administration of the trust and one or more United States persons can control all substantial trust decisions, or if a valid election is in place to treat the trust as a United States person.
Redemption for Tax Reasons
If, as a result of any change in, or amendment to, the laws of the United States or the official interpretation thereof that is announced or becomes effective on or after February 17, 2016, we become or, based upon a written opinion of independent counsel selected by us, will become obligated to pay additional amounts as described herein under the heading “Payment of Additional Amounts” with respect to the debt securities of any series, then we may at any time at our option redeem, in whole, but not in part, the debt securities of such series on not less than 30 nor more than 60 days’ prior notice, at a redemption price equal to 100% of their principal amount, plus accrued and unpaid interest on the debt securities of such series to be redeemed to the date of redemption.
Further Issues
We may from time to time, without notice to or the consent of the registered holders of a series of debt securities, create and issue further debt securities of any such series ranking equally with the debt securities of the corresponding series and having the same terms in all respects (other than the payment of interest accruing prior to the issue date of such further debt securities or except for the first payment of interest following the issue date of such further debt securities); provided that such additional debt securities of any series shall not be issued with the same ISIN or Common Code number for the debt securities of its corresponding series unless such additional debt securities are issued for U.S. federal income tax purposes in a “qualified reopening” or are otherwise treated as part of the same issue for U.S. federal income tax purposes. Such further debt securities will be consolidated and form a single series with the debt securities of the corresponding series.
Notices
Notices to holders of the debt securities will be sent by mail or email to the registered holders, or otherwise in accordance with the procedures of the applicable depositary.
Regarding the Trustee, Paying Agent, Calculation Agent, Transfer Agent and Security Registrar
Deutsche Bank Trust Company Americas is the paying agent, trustee, transfer agent and security registrar with respect to the debt securities and maintains various commercial and service relationships with us and with affiliates of ours in the ordinary course of business. 

The indenture contains certain limitations on the right of the trustee, should it become a creditor of ours within three months of, or subsequent to, a default by us to make payment in full of principal of or interest on any series of debt securities issued pursuant to the indenture when and as the same becomes due and payable, to obtain payment of claims, or to realize for its own account on property received in respect of any such claim as security or otherwise, unless and until such default is cured. However, the trustee’s rights as a creditor of ours will not be limited if the creditor relationship arises from, among other things:
		
	•
	the ownership or acquisition of securities issued under any indenture or having a maturity of one year or more at the time of acquisition by the trustee;

		
	•
	certain advances authorized by a receivership or bankruptcy court of competent jurisdiction or by the indenture;

		
	•
	disbursements made in the ordinary course of business in its capacity as indenture trustee, transfer agent, registrar, custodian or paying agent or in any other similar capacity;

		
	•
	indebtedness created as a result of goods or securities sold in a cash transaction or services rendered or premises rented; or

		
	•
	the acquisition, ownership, acceptance or negotiation of certain drafts, bills of exchange, acceptances or other obligations.

The indenture does not prohibit the trustee from serving as trustee under any other indenture to which we may be a party from time to time or from engaging in other transactions with us. If the trustee acquires any conflicting interest within the meaning of the Trust Indenture Act and any debt securities issued pursuant to the indenture are in default, it must eliminate such conflict or resign.
An affiliate of the trustee is a participant in our $4.0 billion Amended and Restated Five Year Credit Agreement, maturing in April 2024, and our $1.5 billion 364-Day Credit Agreement, maturing in April 2020. Commitments under the Amended and Restated Five Year Credit Agreement can be increased pursuant to its terms to an aggregate amount not to exceed $4.5 billion.
Listing
We have listed each series of the debt securities on the NYSE. We have no obligation to maintain such listing and we may delist any series of the debt securities at any time.
Governing Law
The indenture and the debt securities for all purposes shall be governed by and construed in accordance with the laws of the State of New York.

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