Document:

Amended and Restated Declaration of Trust dated October 12, 2004

 Exhibit 4.3 
  

EXECUTION COPY 
  
 AMENDED AND RESTATED DECLARATION 
  
 OF TRUST 
  
 BOSTON PRIVATE CAPITAL TRUST I 
  
 DATED AS OF OCTOBER 12, 2004 

  
 TABLE OF CONTENTS

  

					
	 	  	 	  	Page

	 	  	ARTICLE I	  	 
	 	  	INTERPRETATION AND DEFINITIONS	  	 
			
	 SECTION 1.1
	  	 Definitions
	  	1
			
	 	  	ARTICLE II	  	 
	 	  	TRUST INDENTURE ACT	  	 
			
	 SECTION 2.1
	  	 Trust Indenture Act; Application
	  	8
	 SECTION 2.2
	  	 Lists of Holders of Securities
	  	9
	 SECTION 2.3
	  	 Reports by the Property Trustee
	  	9
	 SECTION 2.4
	  	 Periodic Reports to Property Trustee
	  	9
	 SECTION 2.5
	  	 Evidence of Compliance with Conditions Precedent
	  	9
	 SECTION 2.6
	  	 Events of Default; Waiver
	  	10
	 SECTION 2.7
	  	 Event of Default; Notice
	  	11
			
	 	  	ARTICLE III	  	 
	 	  	ORGANIZATION	  	 
			
	 SECTION 3.1
	  	 Name
	  	12
	 SECTION 3.2
	  	 Office
	  	12
	 SECTION 3.3
	  	 Purpose
	  	12
	 SECTION 3.4
	  	 Authority
	  	12
	 SECTION 3.5
	  	 Title to Property of the Trust
	  	13
	 SECTION 3.6
	  	 Powers and Duties of the Administrative Trustees
	  	13
	 SECTION 3.7
	  	 Prohibition of Actions by the Trust and the Trustees
	  	16
	 SECTION 3.8
	  	 Powers and Duties of the Property Trustee
	  	17
	 SECTION 3.9
	  	 Certain Duties and Responsibilities of the Property Trustee
	  	19
	 SECTION 3.10
	  	 Certain Rights of Property Trustee
	  	21
	 SECTION 3.11
	  	 Delaware Trustee
	  	23
	 SECTION 3.12
	  	 Execution of Documents
	  	24
	 SECTION 3.13
	  	 Not Responsible for Recitals or Issuance of Securities
	  	24
	 SECTION 3.14
	  	 Duration of Trust
	  	24
	 SECTION 3.15
	  	 Mergers
	  	24
			
	 	  	ARTICLE IV	  	 
	 	  	INITIAL PURCHASER OF COMMON SECURITIES	  	 
			
	 SECTION 4.1
	  	 Purchase of Common Securities by Initial Purchaser
	  	26
	 SECTION 4.2
	  	 Responsibilities of the Initial Purchaser of Common Securities
	  	26
	 SECTION 4.3
	  	 Right to Proceed
	  	27
	 SECTION 4.4
	  	 Right to Terminate Trust
	  	27

  

 i 

					
	 	  	ARTICLE V	  	 
	 	  	TRUSTEES	  	 
			
	 SECTION 5.1
	  	 Number of Trustees: Appointment of Co-Trustee
	  	27
	 SECTION 5.2
	  	 Delaware Trustee
	  	28
	 SECTION 5.3
	  	 Property Trustee; Eligibility
	  	28
	 SECTION 5.4
	  	 Certain Qualifications of Administrative Trustees and Delaware Trustee Generally
	  	29
	 SECTION 5.5
	  	 Administrative Trustees
	  	29
	 SECTION 5.6
	  	 Delaware Trustee
	  	30
	 SECTION 5.7
	  	 Appointment, Removal and Resignation of Trustees
	  	30
	 SECTION 5.8
	  	 Vacancies Among Trustees
	  	32
	 SECTION 5.9
	  	 Effect of Vacancies
	  	32
	 SECTION 5.10
	  	 Meetings
	  	32
	 SECTION 5.11
	  	 Delegation of Power
	  	33
	 SECTION 5.12
	  	 Merger, Conversion, Consolidation or Succession to Business
	  	33
			
	 	  	ARTICLE VI	  	 
	 	  	DISTRIBUTIONS	  	 
			
	 SECTION 6.1
	  	 Distributions
	  	33
			
	 	  	ARTICLE VII	  	 
	 	  	ISSUANCE OF SECURITIES	  	 
			
	 SECTION 7.1
	  	 General Provisions Regarding Securities
	  	34
	 SECTION 7.2
	  	 Execution and Authentication
	  	34
	 SECTION 7.3
	  	 Form and Dating
	  	35
	 SECTION 7.4
	  	 Registrar, Paying Agent and Conversion Agent
	  	36
	 SECTION 7.5
	  	 Paying Agent to Hold Money in Trust
	  	37
	 SECTION 7.6
	  	 Replacement Securities
	  	37
	 SECTION 7.7
	  	 Outstanding Preferred Securities
	  	38
	 SECTION 7.8
	  	 Preferred Securities in Treasury
	  	38
	 SECTION 7.9
	  	 Temporary Securities
	  	38
	 SECTION 7.10
	  	 Cancellation
	  	38
	 SECTION 7.11
	  	 CUSIP Numbers
	  	39
	 SECTION 7.12
	  	 Payment
	  	39
			
	 	  	ARTICLE VIII	  	 
	 	  	TERMINATION OF TRUST	  	 
			
	 SECTION 8.1
	  	 Termination of Trust
	  	39
			
	 	  	ARTICLE IX	  	 
	 	  	TRANSFER OF INTERESTS	  	 
			
	 SECTION 9.1
	  	 Transfer of Securities
	  	40
	 SECTION 9.2
	  	 Transfer Procedures and Restrictions
	  	41

  

 ii 

					
	 SECTION 9.3
	  	 Deemed Security Holders
	  	48
	 SECTION 9.4
	  	 Book-Entry Interests
	  	48
	 SECTION 9.5
	  	 Notices to Clearing Agency
	  	49
	 SECTION 9.6
	  	 Appointment of Successor Clearing Agency
	  	49
			
	 	  	ARTICLE X	  	 
	 	  	 LIMITATION OF LIABILITY OF HOLDERS OF SECURITIES,
 TRUSTEES OR OTHERS
	  	 
			
	 SECTION 10.1
	  	 Liability
	  	49
	 SECTION 10.2
	  	 Exculpation
	  	50
	 SECTION 10.3
	  	 Fiduciary Duty
	  	50
	 SECTION 10.4
	  	 Indemnification
	  	51
	 SECTION 10.5
	  	 Outside Businesses
	  	54
	 SECTION 10.6
	  	 Compensation; Fees
	  	54
			
	 	  	ARTICLE XI	  	 
	 	  	ACCOUNTING	  	 
			
	 SECTION 11.1
	  	 Fiscal Year
	  	55
	 SECTION 11.2
	  	 Certain Accounting Matters
	  	55
	 SECTION 11.3
	  	 Banking
	  	55
	 SECTION 11.4
	  	 Withholding
	  	55
			
	 	  	ARTICLE XII	  	 
	 	  	AMENDMENTS AND MEETINGS	  	 
			
	 SECTION 12.1
	  	 Amendments
	  	56
	 SECTION 12.2
	  	 Meetings of the Holders; Action by Written Consent
	  	57
			
	 	  	ARTICLE XIII	  	 
	 	  	REPRESENTATIONS OF PROPERTY TRUSTEE AND DELAWARE TRUSTEE	  	 
			
	 SECTION 13.1
	  	 Representations and Warranties of Property Trustee
	  	58
	 SECTION 13.2
	  	 Representations and Warranties of Delaware Trustee
	  	59
			
	 	  	ARTICLE XIV	  	 
	 	  	REGISTRATION RIGHTS	  	 
			
	 SECTION 14.1
	  	 Registration Rights
	  	60
			
	 	  	ARTICLE XV	  	 
	 	  	MISCELLANEOUS	  	 
			
	 SECTION 15.1
	  	 Notices
	  	60
	 SECTION 15.2
	  	 Governing Law
	  	61
	 SECTION 15.3
	  	 Intention of the Parties
	  	62
	 SECTION 15.4
	  	 Headings
	  	62

  

 iii 

					
	 SECTION 15.5
	  	 Successors and Assigns
	  	62
	 SECTION 15.6
	  	 Partial Enforceability
	  	62
	 SECTION 15.7
	  	 Counterparts
	  	62
			
	 ANNEX I
	  	 TERMS OF SECURITIES
	  	I-1
	 EXHIBIT A-1
	  	 FORM OF PREFERRED SECURITY CERTIFICATE
	  	A1-1
	 EXHIBIT A-2
	  	 FORM OF COMMON SECURITY CERTIFICATE
	  	A2-1

  

 iv 

  
 AMENDED AND RESTATED

 DECLARATION OF TRUST 
 OF 
 BOSTON PRIVATE CAPITAL TRUST I 
  
 October 12, 2004 
  
 AMENDED AND RESTATED DECLARATION OF TRUST (“Declaration”) dated and effective as of October 12, 2004, by the Trustees (as defined herein), the
Initial Purchaser of Common Securities (as defined herein), the Debenture Issuer and by the holders, from time to time, of undivided beneficial interests in the Trust to be issued pursuant to this Declaration; 
  
 WHEREAS, the Trustees, on behalf of the Initial Purchaser of Common
Securities established Boston Private Capital Trust I (the “Trust”), a statutory trust formed under the Delaware Statutory Trust Act pursuant to a Declaration of Trust dated as of October 5, 2004 (the “Original Declaration”), and
a Certificate of Trust filed with the Secretary of State of the State of Delaware on October 5, 2004 (the “Certificate of Trust”), for the sole purpose of issuing and selling certain securities representing undivided beneficial interests
in the assets of the Trust and investing the proceeds thereof in certain Debentures of the Debenture Issuer (each as hereinafter defined), and engaging in only those other activities necessary, advisable or incidental thereto; 
  
 WHEREAS, as of the date hereof, no interests in the Trust have been issued;

  
 WHEREAS, all of the Trustees, on behalf of the Initial
Purchaser of Common Securities, by this Declaration, amend and restate each and every term and provision of the original Declaration; and 
  
 WHEREAS, the Initial Purchaser of Common Securities and the Debenture Issuer shall have rights and obligations under the amended and restated Declaration
as set forth herein. 
  
 NOW, THEREFORE, it being the intention of
the parties hereto to continue the Trust as a statutory trust under the Delaware Statutory Trust Act and that this Declaration constitute the governing instrument of such statutory trust, the Trustees declare that all assets contributed to the Trust
will be held in trust for the benefit of the holders, from time to time, of the securities representing undivided beneficial interests in the assets of the Trust issued hereunder, subject to the provisions of this Declaration. 
  
 ARTICLE I 
 INTERPRETATION AND DEFINITIONS 
  
 SECTION 1.1 Definitions. 
  
 Unless the context otherwise requires: 
  
 (a) Capitalized terms used in this Declaration but not defined in the preamble above have the respective meanings assigned to them in this Section 1.1; 
  

 (b) a term defined anywhere in this Declaration has the same meaning throughout;

  
 (c) all references to “the
Declaration” or “this Declaration” are to this Declaration as modified, supplemented or amended from time to time; 
  
 (d) all references in this Declaration to Articles and Sections and Annexes and Exhibits are to Articles and Sections of and Annexes and
Exhibits to this Declaration unless otherwise specified; 
  
 (e) a term defined in the Trust Indenture Act has the same meaning when used in this Declaration unless otherwise defined in this Declaration or unless the context otherwise requires; and 
  
 (f) a reference to the singular includes the plural and vice
versa. 
  
 “Additional Sums” has the meaning set forth
in the Indenture. 
  
 “Administrative Trustee” has the
meaning set forth in Section 5.1. 
  
 “Affiliate” has
the same meaning as given to that term in Rule 405 under the Securities Act or any successor rule thereunder. 
  
 “Agent” means any Paying Agent or Registrar. 
  
 “Authorized Officer” of a Person means any other Person that is authorized to legally bind such former Person. 
  
 “Book-Entry Interest” means a beneficial interest in a global
certificate registered in the name of a Clearing Agency or its nominee, ownership and transfers of which shall be maintained and made through book entries by a Clearing Agency as described in Section 9.4. 
  
 “Business Day” means any day other than a Saturday or a Sunday or a
day on which banking institutions in New York, New York or the Corporate Trust Office of the Property Trustee are authorized or required by law, regulation or executive order to remain closed. 
  
 “Certificated Preferred Securities” shall have the meaning set
forth in Section 7.3(c). 
  
 “Clearing Agency” means an
organization registered as a “clearing agency” pursuant to Section 17A of the Exchange Act that is acting as depositary for the Preferred Securities and in whose name or in the name of a nominee of that organization shall be registered a
Global Certificate and which shall undertake to effect book entry transfers and pledges of the Preferred Securities. 
  
 “Clearing Agency Participant” means a broker, dealer, bank, other financial institution or other Person for whom from time to time the Clearing
Agency effects book entry transfers and pledges of securities deposited with the Clearing Agency. 
  

 2 

 “Closing Price” has the meaning set forth in the Indenture. 
  
 “Closing Time” means the “Closing Time” under the
Purchase Agreement. 
  
 “Code” means the Internal
Revenue Code of 1986, as amended from time to time, or any successor legislation. 
  
 “Commission” means the United States Securities and Exchange Commission as from time to time constituted, or if at any time after the execution of this Declaration such Commission is not existing and
performing the duties now assigned to it under applicable federal securities laws, then the body performing such duties at such time. 
  
 “Common Securities” has the meaning specified in Section 7.1(a). 
  
 “Common Stock” has the meaning set forth in Annex I. 
  
 “Company Indemnified Person” means (a) any Administrative Trustee; (b) any Affiliate of any Administrative
Trustee; (c) any officers, directors, stockholders, members, partners, employees, representatives or agents of any Administrative Trustee; or (d) any officer, employee or agent of the Trust or its Affiliates. 
  
 “Compounded Interest” has the meaning set forth in the Indenture.

  
 “Conversion Agent” has the meaning specified in
Section 7.4. 
  
 “Conversion Date” has the meaning set
forth in Annex I. 
  
 “Conversion Price” has the meaning
set forth in the Indenture. 
  
 “Conversion Request” has
the meaning set forth in Annex I. 
  
 “Corporate Trust
Office” means the office of the Property Trustee at which the corporate trust business of the Property Trustee shall, at any particular time, be principally administered, which office at the date of execution of this Agreement is located at 25
Park Place, 24th Floor, Atlanta, Georgia 30303. 
  
 “Coupon
Rate” has the meaning set forth in Annex I. 
  
 “Covered
Person” means: (a) any officer, director, stockholder, partner, member, representative, employee or agent of (i) the Trust or (ii) the Trust’s Affiliates; and (b) any Holder of Securities. 
  
 “Debenture Issuer” means Boston Private Financial Holdings, Inc., a
Massachusetts corporation, or any successor entity resulting from any consolidation, amalgamation, merger or other business combination, in its capacity as issuer of the Debentures under the Indenture. 
  

 3 

 “Debenture Trustee” means SunTrust Bank, a Georgia banking corporation, as trustee under the
Indenture until a successor is appointed thereunder, and thereafter means such successor trustee. 
  
 “Debentures” means, the 4.875% Junior Subordinated Convertible Debentures due October 1, 2034 of the Debenture Issuer issued pursuant to the
Indenture. 
  
 “Default” means an event, act or
condition that with notice or lapse of time, or both, would constitute an Event of Default. 
  
 “Delaware Trustee” has the meaning set forth in Section 5.1. 
  
 “Direct Action” has the meaning set forth in Annex I. 
  

“Distribution” means a distribution payable to Holders in accordance with Section 6.1. 
  
 “Distribution Date” has the meaning set forth in Annex I.

  
 “DTC” means The Depository Trust Company, the
initial Clearing Agency. 
  
 “Event of Default” in
respect of the Securities means an Event of Default (as defined in the Indenture) that has occurred and is continuing in respect of the Debentures. 
  
 “Exchange Act” means the Securities Exchange Act of 1934, as amended from time to time, or any successor legislation. 
  
 “Extension Period” has the meaning set forth in Annex I.

  
 “Federal Reserve Board” means the Board of Governors
of the Federal Reserve System. 
  
 “Fiduciary Indemnified
Person” has the meaning set forth in Section 10.4(b). 
  
 “Fiscal Year” has the meaning set forth in Section 11.1. 
  
 “Global Preferred Security” has the meaning set forth in Section 7.3(a). 
  
 “Holder” means a Person in whose name a security or Successor Security is registered, such Person being a beneficial owner within the meaning of
the Statutory Trust Act. 
  
 “Indemnified Person” means
a Company Indemnified Person or a Fiduciary Indemnified Person. 
  
 “Indenture” means the Indenture dated as of October 12, 2004, among the Debenture Issuer and the Debenture Trustee, as amended from time to time. 
  
 “Initial Purchasers” has the meaning set forth in the Purchase Agreement. 
  

 4 

 “Initial Purchaser of Common Securities” means Boston Private Financial Holdings, Inc., a
Massachusetts corporation, or any successor entity resulting from any merger, consolidation, amalgamation or other business combination. 
  
 “Investment Company” means an investment company as defined in the Investment Company Act. 
  
 “Investment Company Act” means the Investment Company Act of 1940,
as amended from time to time, or any successor legislation. 
  
 “Investment Company Event” has the meaning set forth in Annex I. 
  
 “Legal Action” has the meaning set forth in Section 3.6(g). 
  
 “Like Amount” has the meaning set forth in Annex I. 
  
 “Liquidated Damages” has the meaning set forth in the Indenture. 
  
 “Liquidation Amount” has the meaning set forth in Annex I. 
  
 “Liquidation Distribution” has the meaning set forth in Annex I.

  
 “List of Holders” has the meaning set forth in
Section 2.2(a). 
  
 “Majority in liquidation amount”
means, with respect to the Trust Securities, except as provided in the terms of the Preferred Securities or by the Trust Indenture Act, Holder(s) of outstanding Trust Securities voting together as a single class or, as the context may require,
Holders of outstanding Preferred Securities or Holders of outstanding Common Securities voting separately as a class, who are the record owners of more than 50% of the aggregate liquidation amount of all outstanding Trust Securities of the relevant
class. 
  
 “Offering Memorandum” means, the confidential
offering memorandum, dated as of October 5, 2004, relating to the issuance by the Trust of the Preferred Securities. 
  
 “Officers’ Certificate” means, with respect to any Person, a certificate signed by any two of the following: the chairman, the chief
executive officer, the president, a vice president, the chief financial officer, the secretary or an assistant secretary. Any Officers’ Certificate delivered by the Trust shall be signed by at least one Administrative Trustee. Any
Officers’ Certificate delivered with respect to compliance with a condition or covenant provided for in this Declaration shall include: 
  
 (a) a statement that each officer signing the Certificate has read the covenant or condition and the definitions relating thereto;

  
 (b) a brief statement of the nature and scope
of the examination or investigation undertaken by each officer in rendering the Certificate; 
  

 5 

 (c) a statement that each such officer has made such examination or investigation as, in
such officer’s opinion, is necessary to enable such officer to express an informed opinion as to whether or not such covenant or condition has been complied with; and 
  
 (d) a statement as to whether, in the opinion of each such officer, such condition or covenant has been
complied with. 
  
 “Opinion of Counsel” means a written
opinion of counsel, who may be an employee of the Initial Purchaser of Common Securities, and who shall be acceptable to the Property Trustee. 
  
 “Participants” has the meaning specified in Section 7.3(b). 
  
 “Paying Agent” has the meaning specified in Section 7.4. 
  
 “Payment Amount” has the meaning specified in Section 6.1.

  
 “Person” means a legal person, including any
individual, corporation, estate, partnership, joint venture, association, joint stock company, limited liability company, trust, unincorporated association, or government or any agency or political subdivision thereof, or any other entity of
whatever nature. 
  
 “PORTAL” has the meaning set forth
in Section 3.6(b)(iii). 
  
 “Preferred Securities” has
the meaning specified in Section 7.1(a). 
  
 “Property
Trustee” has the meaning set forth in Section 5.3(a). 
  
 “Property Trustee Account” has the meaning set forth in Section 3.8(c)(i). 
  
 “Pro Rata” has the meaning set forth in Annex I. 
  
 “Purchase Agreement” has the meaning set forth in Section 7.3. 
  
 “QIBs” has the meaning set forth in Section 3.6(b)(i). 
  

“Quorum” means a majority of the Administrative Trustees or, if there are only two Administrative Trustees, both of them. 
  
 “Redemption/Distribution Notice” has the meaning set forth in Annex
I. 
  
 “Redemption Price” has the meaning set forth in
Annex I. 
  
 “Registrar” has the meaning set forth in
Section 7.4. 
  
 “Registration Rights Agreement” has the
meaning set forth in the Purchase Agreement. 
  

 6 

 “Registration Statement” has the meaning set forth in Section 3.6(b)(i). 
  
 “Regulatory Capital Event” has the meaning set forth in Annex I.

  
 “Related Party” means, with respect to the Initial
Purchaser of Common Securities, any direct or indirect wholly owned subsidiary of the Initial Purchaser of Common Securities or any other Person that owns, directly or indirectly, 100% of the outstanding voting securities of the Initial Purchaser of
Common Securities. 
  
 “Responsible Officer” means any
officer within the Corporate Trust Office of the Property Trustee with direct responsibility for the administration of this Declaration and also means, with respect to a particular corporate trust matter, any other officer to whom such matter is
referred because of that officer’s knowledge of and familiarity with the particular subject. 
  
 “Restricted Preferred Security” has the meaning specified in Section 9.2(a). 
  
 “Restricted Securities Legend” means the legend specified in Section 9.2(c)(i). 
  
 “Rule 3a-5” means Rule 3a-5 under the Investment Company Act, or
any successor rule or regulation. 
  
 “Securities” or
“Trust Securities” means the Common Securities and the Preferred Securities. 
  
 “Securities Act” means the Securities Act of 1933, as amended from time to time, or any successor legislation. 
  
 “Securities Guarantee” means the Guarantee Agreement dated as of October     , 2004 of the Initial Purchaser of
Common Securities in respect of the Preferred Securities and the Common Securities, if any. 
  
 “Special Event” has the meaning set forth in Section 4(d) of Annex I. 
  
 “Statutory Trust Act” means Chapter 38 of Title 12 of the Delaware Code, 12 Del. C.ss.3801 et seq., as it may be amended from time to
time, or any successor legislation. 
  
 “Successor Delaware
Trustee” has the meaning set forth in Section 5.7(b)(ii). 
  
 “Successor Entity” has the meaning set forth in Section 3.15(b)(i). 
  
 “Successor Property Trustee” has the meaning set forth in Section 3.8(f)(ii). 
  
 “Successor Securities” has the meaning set forth in Section 3.15(b)(i)(B). 
  
 “Super Majority” has the meaning set forth in Section 2.6(b)(ii). 
  
 “10% in liquidation amount” means, with respect to the Trust
Securities, except as provided in the terms of the Preferred Securities or by the Trust Indenture Act, Holder(s) of outstanding Trust Securities voting together as a single class or, as the context may require, 

  

 7 

 
Holders of outstanding Preferred Securities or Holders of outstanding Common Securities voting separately as a class, who are the record owners of 10% or
more of the aggregate liquidation amount of all outstanding Securities of the relevant class. 
  
 “Tax Event” has the meaning set forth in Annex I. 
  
 “Trading Day” has the meaning set forth in the Indenture. 
  
 “Treasury Regulations” means the income tax regulations, including temporary and proposed regulations, promulgated under the Code by the United
States Treasury, as such regulations may be amended from time to time (including corresponding provisions of succeeding regulations). 
  
 “Trust Indenture Act” means the Trust Indenture Act of 1939, as amended from time to time, or any successor legislation. 
  
 “Trust Securities” means the Common Securities together with the
Preferred Securities. 
  
 “Trustee” or
“Trustees” means each Person who has signed this Declaration as a trustee, so long as such Person shall continue as a trustee in accordance with the terms hereof, and all other Persons who may from time to time be duly appointed, qualified
and serving as trustees in accordance with the provisions hereof, and references herein to a Trustee or the Trustees shall refer to such Person or Persons solely in their capacity as trustees hereunder. 
  
 “Unrestricted Global Preferred Security” has the meaning set forth
in Section 9.2(b). 
  
 ARTICLE II 
 TRUST INDENTURE ACT 
  
 SECTION 2.1 Trust Indenture Act; Application. 
  
 This Declaration is subject to the provisions of the Trust Indenture Act that are required to be part of this Declaration in order for this Declaration to
be qualified under the Trust Indenture Act and shall, to the extent applicable, be governed by such provisions. 
  
 (a) The Property Trustee shall be the only Trustee which is a Trustee for the purposes of the Trust Indenture Act. 
  
 (b) If and to the extent that any provision of this
Declaration limits, qualifies or conflicts with the duties imposed by Sections 310 to 317, inclusive, of the Trust Indenture Act, such imposed duties shall control. 
  
 (c) The application of the Trust Indenture Act to this Declaration shall not affect the nature of the
Securities as equity securities representing undivided beneficial interests in the assets of the Trust. 
  

 8 

 SECTION 2.2 Lists of Holders of Securities. 
  
 (a) The Administrative Trustees on behalf of the Trust shall provide the Property Trustee, unless the
Property Trustee is Registrar for the Securities, (i) within 14 days after each record date for payment of Distributions, a list, in such form as the Property Trustee may reasonably require, of the names and addresses of the Holders (“List of
Holders”) as of such record date, provided that the Administrative Trustees on behalf of the Trust shall not be obligated to provide such List of Holders at any time that the List of Holders does not differ from the most recent List of Holders
given to the Property Trustee by the Administrative Trustees on behalf of the Trust, and (ii) at any other time, within 30 days of receipt by the Trust of a written request for a List of Holders as of a date no more than 14 days before such List of
Holders is given to the Property Trustee. The Property Trustee shall preserve, in as current a form as is reasonably practicable, all information contained in the List of Holders given to it or which it receives in the capacity as Paying Agent (if
acting in such capacity), provided that the Property Trustee may destroy any List of Holders previously given to it on receipt of a new List of Holders. 
  
 (b) The Property Trustee shall comply with its obligations under ss.ss.311(a), 311(b) and 312(b) of the Trust Indenture Act. 

 
 SECTION 2.3 Reports by the Property Trustee. 
  
 Within 60 days after January 1 of each year, commencing January 1, 2005 the
Property Trustee shall provide to the Holders of the Preferred Securities such reports as are required by Section 313 of the Trust Indenture Act, if any, in the form and in the manner provided by Section 313 of the Trust Indenture Act. The Property
Trustee shall also comply with the requirements of Section 313(d) of the Trust Indenture Act. 
  
 SECTION 2.4 Periodic Reports to Property Trustee. 
  
 Each of the Initial Purchaser of Common Securities and the Administrative Trustees on behalf of the Trust shall provide to the Property Trustee such documents, reports and information as are required by Section 314 of
the Trust Indenture Act (if any) and the compliance certificate required by Section 314 of the Trust Indenture Act in the form, in the manner and at the times required by Section 314 of the Trust Indenture Act, such compliance certificate to be
delivered annually on or before 120 days after the end of each fiscal year of the Initial Purchaser of Common Securities. Delivery of such documents, reports and information to the Property Trustee is for informational purposes only and the Property
Trustee’s receipt of such shall not constitute constructive notice of any information contained therein or determinable from information contained therein, including the Initial Purchaser’s of Common Securities compliance with any of its
covenants hereunder (as to which the Property Trustee is entitled to rely exclusively on Officer’s Certificates). 
  
 SECTION 2.5 Evidence of Compliance with Conditions Precedent. 
  
 Each of the Initial Purchaser of Common Securities and the Administrative Trustees on behalf of the Trust shall provide to the Property Trustee such
evidence of compliance with any conditions precedent provided for in this Declaration that relate to any of 

  

 9 

 
the matters set forth in Section 314(c) of the Trust Indenture Act. Any certificate or opinion required to be given by an officer pursuant to Section
314(c)(1) of the Trust Indenture Act may be given in the form of an Officers’ Certificate. 
  

	SECTION	2.6 Events of Default; Waiver. 

  
 (a) An Event of Default in respect of the Securities means an Event of Default (as defined in the Indenture) that has occurred and is
continuing in respect of the Debentures. 
  
 (b)
(The Holders of a Majority in liquidation amount of Preferred Securities may, by vote, on behalf of the Holders of all of the Preferred Securities, waive any past Event of Default in respect of the Preferred Securities and its consequences, provided
that, if the underlying event of default under the Indenture: 
  
 (i) is not waivable under the Indenture, the Event of Default under the Declaration shall also not be waivable; or 
  
 (ii) requires the consent or vote of greater than a majority in aggregate principal amount of the holders of the Debentures (a “Super
Majority”) to be waived under the Indenture, the Event of Default under the Declaration may only be waived by the vote of the Holders of at least the proportion in aggregate liquidation amount of the Preferred Securities that the relevant Super
Majority represents of the aggregate principal amount of the Debentures outstanding. 
  
 The foregoing provisions of this Section 2.6(b) shall be in lieu of Section 316(a)(1)(B) of the Trust Indenture Act and such Section 316(a)(1)(B) of the Trust Indenture Act is hereby expressly excluded from this
Declaration and the Securities, as permitted by the Trust Indenture Act. Upon such waiver, any such default shall cease to exist, and any Event of Default with respect to the Preferred Securities arising therefrom shall be deemed to have been cured,
for every purpose of this Declaration, but no such waiver shall extend to any subsequent or other default or an Event of Default with respect to the Preferred Securities or impair any right consequent thereon. Any waiver by the Holders of the
Preferred Securities of an Event of Default with respect to the Preferred Securities shall also be deemed to constitute a waiver by the Holders of the Common Securities of any such Event of Default with respect to the Common Securities for all
purposes of this Declaration without any further act, vote, or consent of the Holders of the Common Securities. 
  
 (c) The Holders of a Majority in liquidation amount of the Common Securities may, by vote, on behalf of the Holders of all of the Common
Securities, waive any past Event of Default with respect to the Common Securities and its consequences, provided that, if the underlying Event of Default under the Indenture: 
  
 (i) is not waivable under the Indenture, except where the Holders of the Common Securities are deemed to
have waived such Event of Default under the Declaration as provided below in this Section 2.6(c), the Event of Default under the Declaration shall also not be waivable; or 
  

 10 

 (ii) requires the consent or vote of a Super Majority to be waived, except where the
Holders of the Common Securities are deemed to have waived such Event of Default under the Declaration as provided below in this Section 2.6(c), the Event of Default under the Declaration may only be waived by the vote of the Holders of at least the
proportion in aggregate liquidation amount of the Common Securities that the relevant Super Majority represents of the aggregate principal amount of the Debentures outstanding; 
  
 provided further, the Holders of Common Securities will be deemed to have waived any such Event of Default and all Events of Default with
respect to the Common Securities and their consequences if all Events of Default with respect to the Preferred Securities have been cured, waived or otherwise eliminated, and until such Events of Default have been so cured, waived or otherwise
eliminated, the Property Trustee will be deemed to be acting solely on behalf of the Holders of the Preferred Securities and only the Holders of the Preferred Securities will have the right to direct the Property Trustee in accordance with the terms
of the Securities. The foregoing provisions of this Section 2.6(c) shall be in lieu of Sections 316(a)(1)(A) and 316(a)(1)(B) of the Trust Indenture Act and such Sections 316(a)(1)(A) and 316(a)(1)(B) of the Trust Indenture Act are hereby expressly
excluded from this Declaration and the Securities, as permitted by the Trust Indenture Act. Subject to the foregoing provisions of this Section 2.6(c), upon such waiver, any such default shall cease to exist and any Event of Default with respect to
the Common Securities arising therefrom shall be deemed to have been cured for every purpose of this Declaration, but no such waiver shall extend to any subsequent or other default or Event of Default with respect to the Common Securities or impair
any right consequent thereon. 
  
 (d) A waiver of
an Event of Default under the Indenture by the Property Trustee, at the direction of the Holders of the Preferred Securities, constitutes a waiver of the corresponding Event of Default under this Declaration. The foregoing provisions of this Section
2.6(d) shall be in lieu of Section 316(a)(1)(B) of the Trust Indenture Act and such Section 316(a)(1)(B) of the Trust Indenture Act is hereby expressly excluded from this Declaration and the Securities, as permitted by the Trust Indenture Act.

  

	SECTION	2.7 Event of Default; Notice. 

  
 (a) The Property Trustee shall, within ten Business Days after the Property Trustee has actual knowledge that an Event of Default has
occurred, (i) transmit by mail, first-class postage prepaid, to the Holders of the Securities and (ii) transmit by any means provided in this Declaration to the Administrative Trustees and the Initial Purchaser of Common Securities, notices of all
defaults with respect to the Securities actually known to a Responsible Officer of the Property Trustee, unless such defaults have been cured or waived before the giving of such notice (the term “defaults” for the purposes of this Section
2.7(a) being hereby defined to be an Event of Default as defined in the Indenture, not including any periods of grace provided for therein and irrespective of the giving of any notice provided therein); provided that, except for a default in the
payment of principal of or Interest (as defined in the Indenture), the Property Trustee shall be protected in withholding such notice if and so long as a Responsible Officer of the Property Trustee in good faith determines that the withholding of
such notice is in the interests of the Holders. 
  

 11 

 (b) The Property Trustee shall not be deemed to have knowledge of any default except:

  
 (i) a default under Sections 5.01(a) (other
than the payment of Compounded Interest, Liquidated Damages and Additional Sums) and 5.01(b) of the Indenture; or 
  
 (ii) any default as to which the Property Trustee shall have received written notice or of which a Responsible Officer charged with the
administration of the Declaration shall have actual knowledge. 
  
 (c) The Debenture Issuer and the Administrative Trustees shall file annually with the Property Trustee a certification as to whether or not they are in compliance with all the conditions and covenants applicable to
them under this Declaration. 
  
 ARTICLE III 
 ORGANIZATION 
  
 SECTION 3.1 Name. 
  
 The Trust is named “Boston Private Capital Trust I” as such name may be modified from time to time by the Administrative Trustees following
written notice to the Delaware Trustee, the Property Trustee and the Holders. The Trust’s activities may be conducted under the name of the Trust or any other name deemed advisable by the Administrative Trustees. 
  
 SECTION 3.2 Office. 
  
 The address of the principal office of the Trust is c/o Borel Private Bank & Trust Company, 160 Bovet Road, San Mateo,
CA 94402, Attn: Emanuela M. Allgood. On ten Business Days’ written notice to the Delaware Trustee, the Property Trustee and the Holders of Securities, the Administrative Trustees may designate another principal office; provided, however, that
the principal office of the Trust shall not be located within the Commonwealth of Massachusetts. 
  
 SECTION 3.3 Purpose. 
  
 The exclusive purposes and functions of the Trust are (a) to issue and sell the Securities, (b) use the proceeds from the sale of the Securities to acquire the Debentures, and (c) except as otherwise limited herein, to engage in only those
other activities necessary, advisable or incidental thereto. The Trust shall not borrow money, issue debt or reinvest proceeds derived from investments, mortgage or pledge any of its assets, or otherwise undertake (or permit to be undertaken) any
activity that would cause the Trust not to be classified for United States federal income tax purposes as a grantor trust. 
  
 SECTION 3.4 Authority. 
  
 Subject to the limitations provided in this Declaration and to the specific duties of the Property Trustee, the Administrative Trustees shall have
exclusive and complete authority to 

  

 12 

 
carry out the purposes of the Trust. An action taken by the Administrative Trustees in accordance with their powers shall constitute the act of and serve to
bind the Trust and an action taken by the Property Trustee on behalf of the Trust in accordance with its powers shall constitute the act of and serve to bind the Trust. In dealing with the Trustees acting on behalf of the Trust, no Person shall be
required to inquire into the authority of the Trustees to bind the Trust. Persons dealing with the Trust are entitled to rely conclusively on the power and authority of the Trustees as set forth in this Declaration. 
  
 SECTION 3.5 Title to Property of the Trust. 
  
 Except as provided in Section 3.8 with respect to the Debentures and the
Property Trustee Account or as otherwise provided in this Declaration, legal title to all assets of the Trust shall be vested in the Trust. The Holders shall not have legal title to any part of the assets of the Trust, but shall have an undivided
beneficial interest in the assets of the Trust. 
  
 SECTION 3.6 Powers and
Duties of the Administrative Trustees. 
  
 The Administrative
Trustees shall have the exclusive power, duty and authority, and are hereby authorized and directed, to cause the Trust to engage in the following activities: 
  

(a) to issue and sell the Securities in accordance with this Declaration; provided, however, (i) the Trust may issue no more than one
series of Preferred Securities and no more than one series of Common Securities, (ii) there shall be no interests in the Trust other than the Securities, and (iii) the issuance of Securities shall be limited to a simultaneous issuance of both
Preferred Securities and Common Securities at the Closing Time; 
  
 (b) in connection with the issue and sale of the Preferred Securities at the direction of the Initial Purchaser of Common Securities, to: 
  
 (i) assist in the preparation of the Offering Memorandum and preliminary offering memorandum, in each case
prepared by the Initial Purchaser of Common Securities, in relation to the offering and sale of the Preferred Securities to “qualified institutional buyers” (as defined in Section 144A of the Securities Act) (“QIBs”) in reliance
on Rule 144A under the Securities Act to execute and file with the Commission, at such time as determined by the Initial Purchaser of Common Securities, a registration statement (the “Registration Statement”) prepared by the Initial
Purchaser of Common Securities, including any amendments thereto, covering (a) resales by the holders of all Preferred Securities (including the Guarantee Agreement), (b) resales by the holders of all Debentures, (c) the issuance of Common Stock
upon the conversion of the Preferred Securities resold pursuant to such registration statement and (d) the resale of the Common Stock issuable upon conversion of Preferred Securities by the holder thereof, and take all other actions as directed by
the Initial Purchaser of Common Securities in connection with the Registration Rights Agreement; 
  
 (ii) execute and file any documents prepared by the Initial Purchaser of Common Securities, or take any acts as determined by the Initial
Purchaser of 

  

 13 

 
Common Securities to be necessary in order to qualify or register all or part of the Preferred Securities in any state or foreign jurisdiction in which the
Initial Purchaser of Common Securities has determined to qualify or register such Preferred Securities for sale; 
  
 (iii) execute and file an application, prepared by the Initial Purchaser of Common Securities, to the Private Offerings, Resale and
Trading through Automated Linkages (“PORTAL”) Market and, at such time, if any, as determined by the Initial Purchaser of Common Securities to the New York Stock Exchange, Inc. or any other national stock exchange or the NASDAQ National
Market for listing or quotation upon notice of issuance of any Preferred Securities, but if and only if the Initial Purchaser of Common Securities has authorized the Administrative Trustees to make such filing; 
  
 (iv) execute and deliver letters, documents, or instruments
with DTC and other Clearing Agencies relating to the Preferred Securities; 
  
 (v) execute and file with the Commission a registration statement on Form 8-A, including any amendments thereto, prepared by the Initial Purchaser of Common Securities relating to the registration of the Preferred
Securities under Section 12 of the Exchange Act, but if and only if the Initial Purchaser of Common Securities has authorized the Administrative Trustees to make such filing; 
  
 (vi) execute and enter into the Purchase Agreement providing for the sale of the Preferred Securities;

  
 (vii) execute and enter into the Registration
Rights Agreement; and 
  
 (viii) execute and file
any agreement, certificate or other document which such Administrative Trustee deems necessary or appropriate in connection with the issuance and sale of the Preferred Securities; 
  
 (c) to acquire the Debentures with the proceeds of the sale of the Preferred Securities and the Common
Securities; provided, however, that the Administrative Trustees shall cause legal title to the Debentures to be held of record in the name of the Property Trustee for the benefit of the Holders of Preferred Securities and Holders of Common
Securities; 
  
 (d) to give the Initial Purchaser
of Common Securities and the Property Trustee prompt written notice of the occurrence of a Special Event; 
  
 (e) to establish a record date with respect to all actions to be taken hereunder that require a record date be established, including and
with respect to, for the purposes of Section 316(c) of the Trust Indenture Act, Distributions (subject to Section 2(d) of Annex I), voting rights, redemptions and exchanges, and to issue relevant notices to the Holders of Preferred Securities and
Holders of Common Securities as to such actions and 

  

 14 

 
applicable record dates, except as such duty has expressly been accorded to the Property Trustee under the terms hereof (including Annex I); 
  
 (f) to take all actions and perform such duties as may be
required of the Administrative Trustees pursuant to the terms of the Securities; 
  
 (g) to bring or defend, pay, collect, compromise, arbitrate, resort to legal action, or otherwise adjust claims or demands of or against
the Trust (“Legal Action”), unless pursuant to Section 3.8(e), the Property Trustee has the exclusive power to bring such Legal Action; 
  
 (h) to employ or otherwise engage employees and agents (who may be designated as officers with titles) and managers, contractors,
advisors, and consultants and pay reasonable compensation for such services; 
  
 (i) to cause the Trust to comply with the Trust’s obligations under the Trust Indenture Act; 
  
 (j) to give the certificate required by Section 314(a)(4) of the Trust Indenture Act to the Property Trustee, which certificate may be
executed by any Administrative Trustee; 
  
 (k)
to incur expenses that are necessary or incidental to carry out any of the purposes of the Trust; 
  
 (l) to act as, or appoint another Person to act as, Registrar, Conversion Agent for the Securities or to appoint a Paying Agent for the
Securities as provided in Section 7.4, except for such time as such power to appoint a Paying Agent is vested in the Property Trustee; 
  
 (m) to take all action that may be necessary or appropriate for the preservation and the continuation of the Trust’s valid existence,
rights, franchises and privileges as a statutory trust under the laws of the State of Delaware and of each other jurisdiction in which such existence is necessary to protect the limited liability of the Holders or to enable the Trust to effect the
purposes for which the Trust was created; 
  
 (n)
to take any action, not inconsistent with this Declaration, the Certificate of Trust or with applicable law, that the Administrative Trustees determine in their discretion to be necessary or desirable in carrying out the activities of the Trust as
set out in this Section 3.6, including, but not limited to: 
  
 (i) causing the Trust not to be deemed to be an Investment Company under the Investment Company Act; 
  
 (ii) causing the Trust to be classified for United States federal income tax purposes as a grantor trust and not as an association taxable
as a corporation or partnership; and 
  

 15 

 (iii) cooperating with the Debenture Issuer to ensure that the Debentures will be treated
as indebtedness of the Debenture Issuer for United States federal income tax purposes; 
  
 provided that any such action does not materially adversely affect the interests of the Holders of the Preferred Securities; 
  
 (o) to take all action necessary to cause all applicable tax returns and tax information reports that are required to be filed with
respect to the Trust to be duly prepared and filed by the Administrative Trustees, on behalf of the Trust; and 
  
 (p) to execute all documents or instruments, perform all duties and powers, and do all things for and on behalf of the Trust in all
matters necessary or incidental to the foregoing. 
  
 The
Administrative Trustees must exercise the powers set forth in this Section 3.6 in a manner that is consistent with the purposes and functions of the Trust set out in Section 3.3, and the Administrative Trustees shall not take any action that is
inconsistent with the purposes and functions of the Trust set forth in Section 3.3. 
  
 Subject to this Section 3.6, the Administrative Trustees shall have none of the powers or the authority of the Property Trustee set forth in Section 3.8. 
  
 Any expenses incurred by the Administrative Trustees pursuant to this Section 3.6 shall be reimbursed by the Debenture
Issuer. 
  
 SECTION 3.7 Prohibition of Actions
by the Trust and the Trustees. 
  
 (a) The
Trust shall not, and the Trustees (including the Property Trustee and the Delaware Trustee) shall not, engage in any activity other than as required or authorized by this Declaration. In particular, the Trust shall not and the Trustees (including
the Property Trustee and the Delaware Trustee) shall cause the Trust not to: 
  
 (i) invest any proceeds received by the Trust from holding the Debentures, but shall distribute all such proceeds to Holders pursuant to the terms of this Declaration and of the Securities; 
  
 (ii) acquire any assets other than as expressly provided
herein; 
  
 (iii) possess Trust property for
other than a Trust purpose; 
  
 (iv) make any
loans or incur any indebtedness other than loans represented by the Debentures; 
  
 (v) possess any power or otherwise act in such a way as to vary the Trust assets or the terms of the Securities in any way whatsoever;

  

 16 

 (vi) issue any securities or other evidences of beneficial ownership of, or beneficial
interest in, the Trust other than the Securities; 
  
 (vii) execute mortgages, pledge or otherwise encumber any of the Trust’s assets; and 
  
 (viii) revoke any action previously authorized or approved by a vote of the Holders of the Preferred Securities, except by subsequent vote
of such Holders. 
  
 (b) So long as the Property
Trustee holds any Debentures, the Trustees may not, without obtaining the prior consent of the Holders of a Majority in liquidation amount of all outstanding Preferred Securities: (i) direct the time, method and place of conducting any proceeding
for any remedy available to the Debenture Trustee, or execute any trust or power conferred on the Debenture Trustee with respect to the Debentures; (ii) revoke any action previously authorized or approved by a vote of the Holders of the Preferred
Securities except by subsequent vote of such Holders; (iii) waive any past default that is waivable under Section 5.07 of the Indenture; (iv) exercise any right to rescind or annul a declaration accelerating the maturity of the principal of the
Debentures; or (v) consent to any amendment, modification or termination of the Indenture or the Debentures, where such consent shall be required; provided further, where a consent under the Indenture would require the consent of Holders of more
than a Majority of the aggregate principal amount of Debentures affected thereby, only the Holders of the percentage of that aggregate stated liquidation amount of the Preferred Securities which is at least equal to the percentage required under the
Indenture may direct the Property Trustee to give such consent. In addition to obtaining the approval of the Holders of the Preferred Securities, the Property Trustee shall be under no obligation to take any of the actions described in clause (iii),
(iv) or (v) unless the Property Trustee has obtained an Opinion of Counsel experienced in such matters to the effect that the Trust will not fail to be classified as a grantor trust for federal income tax purposes after taking the action into
account and each Holder will be treated as owning an undivided beneficial interest in the Debentures. The foregoing provisions of this Section 3.7(b) are subject to Section 7.8 hereof. 
  
 SECTION 3.8 Powers and Duties of the Property Trustee. 
  
 (a) The legal title to the Debentures shall be owned by and
held of record in the name of the Property Trustee in trust for the benefit of the Holders. The right, title and interest of the Property Trustee to the Debentures shall vest automatically in each Person who may hereafter be appointed as Property
Trustee in accordance with Section 5.7. Such vesting and cessation of title shall be effective whether or not conveyancing documents with regard to the Debentures have been executed and delivered. 
  
 (b) The Property Trustee shall not transfer its right, title
and interest in the Debentures to the Administrative Trustees or to the Delaware Trustee (if the Property Trustee does not also act as Delaware Trustee). 
  
 (c) The Property Trustee shall: 
  
 (i) establish and maintain a segregated non-interest bearing trust account (the “Property Trustee Account”) in the name of and
under the exclusive control of the 

  

 17 

 
Property Trustee on behalf of the Holders and, upon the receipt of payments of funds made in respect of the Debentures held by the Property Trustee, deposit
such funds into the Property Trustee Account and make payments or cause the Paying Agent to make payments to the Holders from the Property Trustee Account in accordance with Section 6.1. Funds in the Property Trustee Account shall be held uninvested
until disbursed in accordance with this Declaration. The Property Trustee Account shall be an account that is maintained with a banking institution the rating on whose long-term unsecured indebtedness by a “nationally recognized statistical
rating organization,” as that term is defined for purposes of Rule 436(g)(2) under the Securities Act, is at least investment grade; 
  
 (ii) engage in such ministerial activities as shall be necessary or appropriate to effect the redemption of the Trust Securities to the
extent the Debentures are redeemed or mature; and 
  
 (iii) upon written notice of distribution issued by the Administrative Trustees in accordance with the terms of the Securities, engage in such ministerial activities as shall be necessary or appropriate to effect the distribution of the
Debentures to Holders upon the occurrence of certain events. 
  
 (d) The Property Trustee shall take all actions and perform such duties as may be specifically required of the Property Trustee pursuant to the terms of this Declaration and the Securities. 
  
 (e) Subject to Section 3.9(a), the Property Trustee shall
take any Legal Action which arises out of or in connection with an Event of Default (of which a Responsible Officer has actual knowledge), including in respect of enforcing rights under the Indenture and the Debentures in respect of an event of
default thereunder, or the Property Trustee’s duties and obligations under this Declaration or the Trust Indenture Act. 
  
 (f) The Property Trustee shall not resign as a Trustee unless either: 
  
 (i) the Trust has been completely liquidated and the proceeds of the liquidation distributed to the Holders
pursuant to the terms of the Securities; or 
  
 (ii) a successor Property Trustee has been appointed and has accepted that appointment in accordance with Section 5.7 (a “Successor Property Trustee”). 
  
 (g) The Property Trustee shall have the legal power to exercise all of the rights, powers and privileges of
a holder of Debentures under the Indenture and, if an Event of Default actually known to a Responsible Officer occurs and is continuing, the Property Trustee shall, for the benefit of Holders, enforce its rights as holder of the Debentures subject
to the rights of the Holders pursuant to the terms of this Declaration and the Securities. 
  
 (h) The Property Trustee shall be authorized to undertake any actions set forth in Section 317(a) of the Trust Indenture Act. 

 

 18 

 (i) For such time as the Property Trustee is the Paying Agent, the Property Trustee may
authorize one or more Persons, acceptable to the Administrative Trustees and the Holder of Common Securities, to act as additional Paying Agents and to pay Distributions, redemption payments or liquidation payments on behalf of the Trust with
respect to all Securities and any such Paying Agent shall comply with Section 317(b) of the Trust Indenture Act. Any such additional Paying Agent may be removed by the Property Trustee at any time the Property Trustee remains as Paying Agent and a
successor Paying Agent or additional Paying Agents may be (but are not required to be) appointed at any time by the Property Trustee while the Property Trustee is so acting as Paying Agent. 
  
 (j) The Property Trustee shall give prompt written notice to
Holders of any notice received from the Debenture Issuer of its election to defer payments of interest on the Debentures by extending the interest payment period under the Indenture. 
  
 (k) Subject to this Section 3.8, the Property Trustee shall have none of the duties, liabilities, powers or
the authority of the Administrative Trustees set forth in Section 3.6. 
  
 Notwithstanding anything expressed or implied to the contrary in this Declaration or any Annex or Exhibit hereto, (i) the Property Trustee must exercise the powers set forth in this Section 3.8 in a manner that is consistent with the
purposes and functions of the Trust set out in Section 3.3, and (ii) the Property Trustee shall not take any action that is inconsistent with the purposes and functions of the Trust set out in Section 3.3. 
  
 SECTION 3.9 Certain Duties and Responsibilities of the
Property Trustee. 
  
 (a) The Property
Trustee, before the occurrence of any Event of Default and after the curing or waiving of all Events of Default that may have occurred, shall undertake to perform only such duties as are specifically set forth in this Declaration and in the
Securities and no implied covenants or obligations shall be read into this Declaration against the Property Trustee. In case an Event of Default has occurred (that has not been cured or waived pursuant to Section 2.6) of which a Responsible Officer
has actual knowledge, the Property Trustee shall exercise such of the rights and powers vested in it by this Declaration, and use the same degree of care and skill in their exercise, as a prudent person would exercise or use under the circumstances
in the conduct of his or her own affairs. If no Event of Default exists and the Property Trustee is required to decide between alternative courses of action or to construe ambiguous provisions in this Declaration or is unsure of the application of
any provision of this Declaration, and the matter is not one on which Holders of the Preferred Securities or the Common Securities are entitled under this Declaration to vote, then the Property Trustee shall take such action as directed by the
Holder of Common Securities and, if not directed, shall take such action as it deems advisable and in the best interests of the Holders of Preferred Securities and will have no liability, except for its own bad faith, negligence or willful
misconduct. 
  

 19 

 (b) No provision of this Declaration shall be construed to relieve the Property Trustee
from liability for its own negligent action, its own negligent failure to act, or its own willful misconduct, except that: 
  
 (i) prior to the occurrence of an Event of Default and after the curing or waiving of all such Events of Default that may have occurred:

  
 (A) the duties and obligations of the
Property Trustee shall be determined solely by the express provisions of this Declaration and in the Securities and the Property Trustee shall not be liable except for the performance of such duties and obligations as are specifically set forth in
this Declaration and in the Securities, and no implied covenants or obligations shall be read into this Declaration against the Property Trustee; and 
  
 (B) in the absence of bad faith on the part of the Property Trustee, the Property Trustee may conclusively rely, as to the truth of the
statements and the correctness of the opinions expressed therein, upon any certificates or opinions furnished to the Property Trustee and conforming to the requirements of this Declaration; provided, however, that in the case of any such
certificates or opinions that by any provision hereof are specifically required to be furnished to the Property Trustee, the Property Trustee shall be under a duty to examine the same to determine whether or not on their face they conform to the
requirements of this Declaration (but need not confirm or investigate the accuracy of mathematical calculations or other facts stated therein); 
  
 (ii) the Property Trustee shall not be liable for any error of judgment made in good faith by a Responsible Officer, unless it shall be
proved that the Property Trustee was negligent in ascertaining the pertinent facts; 
  
 (iii) the Property Trustee shall not be liable with respect to any action taken or omitted to be taken by it in good faith in accordance
with the direction of the Holders of not less than a majority in liquidation amount of the Securities relating to the time, method and place of conducting any proceeding for any remedy available to the Property Trustee, or exercising any trust or
power conferred upon the Property Trustee under this Declaration; 
  
 (iv) no provision of this Declaration shall require the Property Trustee to expend or risk its own funds or otherwise incur personal financial liability in the performance of any of its duties or in the exercise of
any of its rights or powers, if it shall have reasonable grounds for believing that the repayment of such funds or liability is not reasonably assured to it under the terms of this Declaration or indemnity reasonably satisfactory to the Property
Trustee against such risk or liability is not reasonably assured to it; 
  
 (v) the Property Trustee’s sole duty with respect to the custody, safe keeping and physical preservation of the Debentures and the Property Trustee Account shall be to deal with such property in a similar manner
as the Property Trustee deals with similar property for its own account, subject to the protections and limitations on liability afforded to the Property Trustee under this Declaration and the Trust Indenture Act; 
  

 20 

 (vi) the Property Trustee shall have no duty or liability for or with respect to the
value, genuineness, existence or sufficiency of the Debentures or the payment of any taxes or assessments levied thereon or in connection therewith; 
  
 (vii) the Property Trustee shall not be liable for any interest on any money received by it. Money held by the Property Trustee need not
be segregated from other funds held by it except in relation to the Property Trustee Account maintained by the Property Trustee pursuant to Section 3.8(c)(i) and except to the extent otherwise required by law; 
  
 (viii) the Property Trustee shall not be responsible for
monitoring the compliance by the Administrative Trustees or the Initial Purchaser of Common Securities with their respective duties under this Declaration, nor shall the Property Trustee be liable for any default or misconduct of the Administrative
Trustees or the Initial Purchaser of Common Securities; and 
  
 (ix) the Property Trustee shall not be deemed to have notice of any Event of Default unless a Responsible Officer of the Property Trustee has actual knowledge thereof or unless written notice of any event which is in
fact such a default is received by the Property Trustee at the Corporate Trust Office of the Property Trustee, and such notice references the Securities and this Indenture, except as set forth in Section 2.7(b). 
  
 SECTION 3.10 Certain Rights of Property Trustee.

  
 (a) Subject to the provisions of Section 3.9:

  
 (i) the Property Trustee may conclusively
rely and shall be fully protected in acting or refraining from acting upon any resolution, certificate, statement, instrument, opinion, report, notice, request, direction, consent, order, bond, debenture, note, other evidence of indebtedness or
other paper or document believed by it to be genuine and to have been signed, sent or presented by the proper party or parties; 
  
 (ii) any direction or act of the Initial Purchaser of Common Securities or the Administrative Trustees contemplated by this Declaration
may be sufficiently evidenced by an Officers’ Certificate; 
  
 (iii) whenever in the administration of this Declaration, the Property Trustee shall deem it desirable that a matter be proved or established before taking, suffering or omitting any action hereunder, the Property
Trustee (unless other evidence is herein specifically prescribed) may, in the absence of bad faith on its part, request and conclusively rely upon an Officers’ Certificate which, upon receipt of such request, shall be promptly delivered by the
Initial Purchaser of Common Securities or the Administrative Trustees; 
  
 (iv) the Property Trustee shall have no duty to see to any recording, filing or registration of any instrument (including any financing or continuation statement or any filing under tax or securities laws) or any
rerecording, refiling or re-registration thereof; 
  

 21 

 (v) the Property Trustee may consult with counsel or other experts of its selection and
the advice or opinion of such counsel and experts with respect to legal matters or advice within the scope of such experts’ area of expertise shall be full and complete authorization and protection in respect of any action taken, suffered or
omitted by it hereunder in good faith and in accordance with such advice or opinion, such counsel may be counsel to the Initial Purchaser of Common Securities or any of its Affiliates, and may include any of its employees. The Property Trustee shall
have the right at any time to seek instructions concerning the administration of this Declaration from any court of competent jurisdiction; 
  
 (vi) the Property Trustee shall be under no obligation to exercise any of the rights or powers vested in it by this Declaration at the
request or direction of any Holder, unless such Holder shall have provided to the Property Trustee security and indemnity, reasonably satisfactory to the Property Trustee, against the costs, expenses (including reasonable attorneys’ fees and
expenses and the expenses of the Property Trustee’s agents, nominees or custodians) and liabilities that might be incurred by it in complying with such request or direction, including such reasonable advances as may be requested by the Property
Trustee provided, that, nothing contained in this Section 3.10(a)(vi) shall be taken to relieve the Property Trustee, upon the occurrence of an Event of Default, of its obligation to exercise the rights and powers vested in it by this Declaration;

  
 (vii) the Property Trustee shall not be bound
to make any investigation into the facts or matters stated in any resolution, certificate, statement, instrument, opinion, report, notice, request, direction, consent, order, bond, debenture, note, other evidence of indebtedness or other paper or
document, but the Property Trustee, in its discretion, may make such further inquiry or investigation into such facts or matters as it may see fit; 
  
 (viii) the Property Trustee may execute any of the trusts or powers hereunder or perform any duties hereunder either directly or by or
through agents, custodians, nominees or attorneys and the Property Trustee shall not be responsible for any misconduct or negligence on the part of any agent or attorney appointed with due care by it hereunder; 
  
 (ix) any action taken by the Property Trustee or its agents
hereunder shall bind the Trust and the Holders, and the signature of the Property Trustee or its agents alone shall be sufficient and effective to perform any such action and no third party shall be required to inquire as to the authority of the
Property Trustee to so act or as to its compliance with any of the terms and provisions of this Declaration, both of which shall be conclusively evidenced by the Property Trustee’s or its agent’s taking such action; 
  
 (x) whenever in the administration of this Declaration the
Property Trustee shall deem it desirable to receive instructions with respect to enforcing any remedy or right or taking any other action hereunder, the Property Trustee (i) may request instructions from the Holders which instructions may only be
given by the Holders of the same proportion in liquidation amount of the Securities as would be entitled to direct the Property Trustee under the terms of the Securities in respect of such remedy, right or action, (ii) may refrain from enforcing
such remedy or right or taking such other action 

  

 22 

 
until such instructions are received, and (iii) shall be protected in conclusively relying on or acting in accordance with such instructions; 
  
 (xi) except as otherwise expressly provided by this
Declaration, the Property Trustee shall not be under any obligation to take any action that is discretionary under the provisions of this Declaration; 
  
 (xii) the Property Trustee shall not be liable for any action taken, suffered, or omitted to be taken by it in good faith, without
negligence, and reasonably believed by it to be authorized or within the discretion or rights or powers conferred upon it by this Declaration; 
  
 (xiii) the rights, privileges, protections, immunities and benefits given to the Property Trustee, including, without limitation, its
right to be indemnified, are extended to, and shall be enforceable by, the Property Trustee in each of its capacities hereunder, and to each agent, custodian and other Person employed to act hereunder; and 
  
 (xiv) the Property Trustee may request that the Initial
Purchaser of Common Securities deliver an Officers’ Certificate setting forth the names of individuals and/or titles of officers authorized at such time to take specified actions pursuant to this Declaration, which Officers’ Certificate
may be signed by any person authorized to sign an Officers’ Certificate, including any person specified as so authorized in any such certificate previously delivered and not superceded. 
  
 (xv) The permissive rights of the Property Trustee to do
things enumerated in this Declaration shall not be construed as duties. 
  
 (b) No provision of this Declaration shall be deemed to impose any duty or obligation on the Property Trustee to perform any act or acts or exercise any right, power, duty or obligation conferred or imposed on it, in
any jurisdiction in which it shall be illegal, or in which the Property Trustee shall be unqualified or incompetent in accordance with applicable law, to perform any such act or acts, or to exercise any such right, power, duty or obligation. No
permissive power or authority available to the Property Trustee shall be construed to be a duty. 
  
 SECTION 3.11 Delaware Trustee. 
  
 Notwithstanding any other provision of this Declaration other than Section 5.2, the Delaware Trustee shall not be entitled to exercise any powers, nor
shall the Delaware Trustee have any of the duties and responsibilities of the Administrative Trustees or the Property Trustee described in this Declaration. Except as set forth in Section 5.2, the Delaware Trustee shall be a Trustee for the sole and
limited purpose of fulfilling the requirements of Section 3807 of the Statutory Trust Act. In the event the Delaware Trustee shall at any time be required to take any action or perform any duty hereunder, the Delaware Trustee shall be entitled to
the benefits of Section 3.9(b)(ii)-(viii) and Section 3.10. No implied covenants or obligations shall be read into this Declaration against the Delaware Trustee. 
  

 23 

 SECTION 3.12 Execution of Documents. 
  
 Unless otherwise determined by the Administrative Trustees, and except as
otherwise required by the Statutory Trust Act, a majority of the Administrative Trustees or, if there are only two, any Administrative Trustee or, if there is only one, such Administrative Trustee is authorized to execute and deliver on behalf of
the Trust any documents that the Administrative Trustees have the power and authority to execute pursuant to Section 3.6; provided that the Registration Statement referred to in Section 3.6(b)(i), including any amendments thereto, shall be signed by
all of the Administrative Trustees. 
  
 SECTION
3.13 Not Responsible for Recitals or Issuance of Securities. 
  
 The recitals contained in this Declaration and the Securities shall be taken as the statements of the Initial Purchaser of Common Securities, and the Trustees do not assume any responsibility for their correctness. The Trustees make no
representations as to the value or condition of the property of the Trust or any part thereof. The Trustees make no representations as to the validity or sufficiency of this Declaration or the Securities. 
  
 SECTION 3.14 Duration of Trust. 
  
 The Trust, unless terminated pursuant to the provisions of Article VIII
hereof, shall have existence up to December 31, 2039. 
  
 SECTION 3.15 Mergers. 
  
 (a) The
Trust may not merge with or into, consolidate, amalgamate, or be replaced by, or convey, transfer or lease all or substantially all of its properties and assets to any Person, except as described in Section 3.15(b) and (c). 
  
 (b) The Trust may, at the request of the Holder of Common
Securities, with the consent of the Administrative Trustees or, if there are more than two, a majority of the Administrative Trustees and without the consent of the Holders, the Delaware Trustee or the Property Trustee, merge with or into,
consolidate, amalgamate, or be replaced by, or convey, transfer or lease all or substantially all of its properties and assets to, a trust organized as such under the laws of any State; provided that: 
  
 (i) such successor entity (if not the original Trust) (the
“Successor Entity”) either: 
  
 (A)
expressly assumes all of the obligations of the Trust under the Securities; or 
  
 (B) substitutes for the Securities other securities having substantially the same terms as the Securities (the “Successor
Securities”) so long as the Successor Securities rank the same as the Securities rank with respect to Distributions and payments upon liquidation, redemption and otherwise; 
  

 24 

 (ii) the Holder of Common Securities expressly appoints a trustee of any Successor Entity
that possesses the same powers and duties as the Property Trustee as the holder of the Debentures; 
  
 (iii) any such preferred Successor Securities are listed, or any such preferred Successor Securities will be listed upon notification of
issuance, on any national securities exchange or with another organization on which the Preferred Securities are then listed or quoted, if any; 
  
 (iv) if the Preferred Securities (including any Successor Securities) or the Debentures are rated by any nationally recognized statistical
rating organization prior to such transaction, such merger, consolidation, amalgamation, replacement, conveyance, transfer or lease does not cause either the Preferred Securities (including any Successor Securities), or the Debentures to have a
lower rating by any nationally recognized statistical rating organization; 
  
 (v) such merger, consolidation, amalgamation, replacement, conveyance, transfer or lease does not adversely affect the rights, preferences and privileges of the Holders (including the holders of any Successor
Securities) in any material respect; 
  
 (vi) any
Successor Entity has a purpose substantially identical to that of the Trust; 
  
 (vii) prior to such merger, consolidation, amalgamation, replacement, conveyance, transfer or lease, the Holder of Common Securities and the Property Trustee has received an opinion of counsel to the Trust experienced
in such matters to the effect that: 
  
 (A) such
merger, consolidation, amalgamation, replacement, conveyance, transfer or lease does not adversely affect the rights, preferences and privileges of the Holders (including the holders of any Successor Securities) in any material respect; 

 
 (B) following such merger, consolidation, amalgamation,
replacement, conveyance, transfer or lease, neither the Trust nor the Successor Entity will be an Investment Company; and 
  
 (C) following such merger, consolidation, amalgamation, replacement, conveyance, transfer or lease, the Trust continues to be, and the
Successor Entity will be, classified as a grantor trust for United States federal income tax purposes; 
  
 (viii) the Holder of Common Securities or any permitted successor or assignee owns all of the common securities of any Successor Entity
and guarantees the obligations of such Successor Entity under any Successor Securities at least to the extent provided by the Guarantee Agreement; and 
  

 25 

 (ix) there shall have been furnished to the Property Trustee an Officer’s
Certificate and an Opinion of Counsel, each to the effect that all conditions precedent in this Declaration to such transaction have been satisfied. 
  
 (c) Notwithstanding Section 3.15(b), the Trust shall not, except with the consent of Holders of 100% in liquidation amount of the
Securities, consolidate, amalgamate, merge with or into, or be replaced by, or convey, transfer or lease all or substantially all of its properties and assets to any other Person or permit any other Person to consolidate, amalgamate, merge with or
into, or replace it if such consolidation, amalgamation, merger, replacement, conveyance, transfer or lease would cause the Trust or the Successor Entity not to be classified as a grantor trust for United States federal income tax purposes or would
cause any holder of the Preferred Securities or the Successor Securities not to be treated as owning an undivided beneficial interest in the Debentures. 
  
 ARTICLE IV 
 INITIAL PURCHASER OF
COMMON SECURITIES 
  
 SECTION 4.1 Purchase
of Common Securities by Initial Purchaser. 
  
 At the Closing
Time, the Initial Purchaser of Common Securities will purchase all of the Common Securities then issued by the Trust, the aggregate liquidation amount of such Common Securities purchased by the Initial Purchaser of Common Securities shall at such
date equal at least 3% of the total capital of the Trust. 
  
 SECTION 4.2 Responsibilities of the Initial Purchaser of Common Securities. 
  
 In connection with the issue and sale of the Preferred Securities, the Initial Purchaser of Common Securities shall have the exclusive right and
responsibility to engage in the following activities: 
  
 (a) to prepare the Offering Memorandum and to prepare for filing by the Trust with the Commission the Registration Statement, including any amendments thereto; 
  
 (b) to determine the states and foreign jurisdictions in which to take appropriate action to qualify or
register for sale all or part of the Preferred Securities and to do any and all such acts other than actions which must be taken by the Trust, and advise the Trust of actions it must take, and prepare for execution and filing any documents to be
executed and filed by the Trust, as the Initial Purchaser of Common Securities deems necessary or advisable in order to comply with the applicable laws of any such states and foreign jurisdictions; 
  
 (c) if so determined by the Initial Purchaser of Common
Securities, to prepare for filing by the Trust an application to PORTAL, to the New York Stock Exchange or any other national stock exchange or the NASDAQ National Market for listing or quotation upon notice of issuance of any Preferred Securities;

  
 (d) to prepare for filing by the Trust with
the Commission a registration statement on Form 8-A relating to the registration of the Preferred Securities under 

  

 26 

 
Section 12 of the Exchange Act, including any amendments thereto, if the Initial Purchaser of Common Securities in its sole discretion determines such a
filing is necessary or appropriate; and 
  
 (e)
to negotiate the terms of the Purchase Agreement, the Registration Rights Agreement, and other related agreements providing for the sale of the Preferred Securities. 
  
 SECTION 4.3 Right to Proceed. 
  
 The Initial Purchaser of Common Securities acknowledges the rights of the Holders of Preferred Securities, in the event that
a failure of the Trust to pay Distributions on the Preferred Securities is attributable to the failure of the Debenture Issuer to pay interest or principal on the Debentures, to institute a proceeding directly against the Debenture Issuer for
enforcement of its payment obligations on the Debentures. 
  
 SECTION 4.4 Right to Terminate Trust. 
  
 The Holder of Common Securities will have the right at any time to terminate the Trust and, after satisfaction of liabilities to creditors of the Trust as required by applicable law, to cause the Debentures to be
distributed to the Holders of the Trust Securities in liquidation of the Trust. Such right is subject to the receipt of any required regulatory approvals. 
  
 ARTICLE V 
 TRUSTEES 

 
 SECTION 5.1 Number of Trustees: Appointment of
Co-Trustee. 
  
 The number of Trustees initially shall be
five, consisting of three Administrative Trustees, the Delaware Trustee and the Property Trustee, and: 
  
 (a) at any time before the issuance of any Securities, the Initial Purchaser of Common Securities may, by written instrument, increase or
decrease the number of Trustees; and 
  
 (b)
after the issuance of any Securities, the number of Trustees may be increased or decreased by vote of the Holders of a Majority in liquidation amount of the Common Securities voting as a class at a meeting of the Holders of the Common Securities;

  
 provided, however, that, the number of Trustees shall in no event be less than
three (3); provided further that (1) one Trustee, in the case of a natural person, shall be a person who is a resident of the State of Delaware or that, if not a natural person, is an entity which has its principal place of business in the State of
Delaware (the “Delaware Trustee”); (2) there shall be at least one Trustee who is an employee or officer of, or is affiliated with, the Initial Purchaser of Common Securities (an “Administrative Trustee”); (3) one Trustee shall
be the Property Trustee for so long as this Declaration is required to qualify as an indenture under the Trust Indenture Act, and such Trustee may also serve as Delaware Trustee if it meets the applicable requirements, (4) no Trustee shall 

  

 27 

 
be a resident of, if a natural person, or have their principal place of business in, if not a natural person, the Commonwealth of Massachusetts, and (5) no
Trustee shall take any action otherwise permitted under this Declaration or otherwise act on behalf of the Trust within the Commonwealth of Massachusetts. Notwithstanding the above, unless an Event of Default shall have occurred and be continuing,
at any time or times, for the purpose of meeting the legal requirements of the Trust Indenture Act or of any jurisdiction in which any part of the Trust’s property may at the time be located, the Holders of a Majority in liquidation amount of
the Common Securities acting as a class at a meeting of the Holders of the Common Securities, and the Administrative Trustees shall have power to appoint one or more Persons either to act as a co-trustee, jointly with the Property Trustee, of all or
any part of the Trust’s property, or to act as separate trustee of any such property, in either case with such powers as may be provided in the instrument of appointment, and to vest in such Person or Persons in such capacity any property,
title, right or power deemed necessary or desirable, subject to the provisions of this Declaration. In case an Event of Default has occurred and is continuing, the Property Trustee alone shall have power to make any such appointment of a co-trustee.

  
 SECTION 5.2 Delaware Trustee.

  
 If required by the Statutory Trust Act, the Delaware Trustee
shall be: 
  
 (a) a natural person who is a
resident of the State of Delaware; or 
  
 (b) if
not a natural person, an entity which has its principal place of business in the State of Delaware, and otherwise meets the requirements of applicable law, 
  
 provided that, if the Property Trustee has its principal place of business in the State of Delaware and otherwise meets the requirements of applicable law, then the
Property Trustee shall also be the Delaware Trustee and Section 3.11 shall have no application. 
  
 SECTION 5.3 Property Trustee; Eligibility. 
  
 (a) There shall at all times be one Trustee (the “Property Trustee”) which shall act as Property
Trustee which shall: 
  
 (i) not be an Affiliate
of the Initial Purchaser of Common Securities; and 
  
 (ii) be a corporation organized and doing business under the laws of the United States of America or any State or Territory thereof or of the District of Columbia, or a corporation or Person permitted by the Commission to act as an
institutional trustee under the Trust Indenture Act, authorized under such laws to exercise corporate trust powers, having a combined capital and surplus of at least 50 million U.S. dollars ($50,000,000), and subject to supervision or examination by
federal, state, territorial or District of Columbia authority. If such corporation publishes reports of condition at least annually, pursuant to law or to the requirements of the supervising or examining authority referred to above, then for the
purposes of this Section 5.3(a)(ii), the combined capital and surplus of such corporation shall be deemed to be its combined capital and surplus as set forth in its most recent report of condition so published. 
  

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 (b) If at any time the Property Trustee shall cease to be eligible to so act under
Section 5.3(a), the Property Trustee shall immediately resign in the manner and with the effect set forth in Section 5.7(c). 
  
 (c) If the Property Trustee has or shall acquire any “conflicting interest” within the meaning of Section 310(b) of the Trust
Indenture Act, the Property Trustee and the Holder of the Common Securities (as if it were the obligor referred to in Section 310(b) of the Trust Indenture Act) shall in all respects comply with the provisions of Section 310(b) of the Trust
Indenture Act. 
  
 (d) The Guarantee Agreement
shall be deemed to be specifically described in this Declaration for purposes of clause (i) of the first provision contained in Section 310(b) of the Trust Indenture Act. 
  
 (e) The initial Property Trustee shall be: 
  
       SunTrust Bank 
       25 Park Place, 24th Floor 
       Atlanta, Georgia 30303 
       Fax: (404) 588-7335

       Telephone: (404) 588-7591 
       Attention: George Hogan 
  
 SECTION 5.4 Certain Qualifications of Administrative Trustees and Delaware Trustee Generally.

  
 Each Administrative Trustee and the Delaware Trustee (unless
the Property Trustee also acts as Delaware Trustee) shall be either a natural person who is at least 21 years of age or a legal entity that shall act through one or more Authorized Officers. 
  
 SECTION 5.5 Administrative Trustees. 
  
 The initial Administrative Trustees shall be: 
  
       Jonathan H. Parker,

       Emanuela M. Allgood, and 
       Carissa J.S. Barker 
       c/o Borel Private Bank & Trust Company 
       160 Bovet Road 
       San Mateo, CA 94402 
       Fax: (650) 378-3774 
       Tel: (650) 378-3638 
       Attention: Emanuela M. Allgood 
  
 (a) Except as expressly set forth in this Declaration and except if a meeting of the Administrative Trustees
is called with respect to any matter over which the Administrative Trustees have power to act, any power of the Administrative Trustees may be exercised by, or with the consent of, any one such Administrative Trustee. 
  

 29 

 (b) Unless otherwise determined by the Administrative Trustees, and except as otherwise
required by the Statutory Trust Act or applicable law, any Administrative Trustee is authorized to execute on behalf of the Trust any documents which the Administrative Trustees have the power and authority to cause the Trust to execute pursuant to
Section 3.6, provided, that, the Registration Statement referred to in Section 3.6, including any amendments thereto, shall be signed by all of the Administrative Trustees; and 
  
 (c) An Administrative Trustee may, by power of attorney consistent with applicable law, delegate to any
other natural person over the age of 21 his or her power for the purposes of signing any documents which the Administrative Trustees have power and authority to cause the Trust to execute pursuant to Section 3.6; provided, however, that such person
shall not execute any such document within the Commonwealth of Massachusetts. 
  
 SECTION 5.6 Delaware Trustee. 
  
 The initial Delaware Trustee shall be: 
  
 SunTrust Delaware Trust Company 
 1011 Centre Road, Suite 108 
 Wilmington, DE 19805 
 Attention: Corporate Trust Department 
  
 with a copy to 
  
 SunTrust Bank

 25 Park Place, 24th Floor 
 Atlanta, Georgia 30303 
 Fax: (404) 588-7335 
 Telephone: (404) 588-7591 
 Attention: George Hogan 
  
 SECTION 5.7 Appointment, Removal and Resignation of Trustees. 
  
 (a) Except as provided otherwise in this Section 5.7 and in
Annex I hereto Trustees may be appointed or removed without cause at any time: 
  
 (i) until the issuance of any Securities, by written instrument executed by the Initial Purchaser of Common Securities; 
  
 (ii) after the issuance of any Securities: 
  
 (A) unless an Event of Default shall have occurred and be
continuing, by vote of the Holders of a Majority in liquidation amount of the Common Securities voting as a class at a meeting of the Holders of the Common Securities; and 
  

 30 

 (B) if an Event of Default shall have occurred and be continuing, in which event the
Property Trustee or the Delaware Trustee may be removed only by the vote of Holders of a Majority in liquidation amount of the Preferred Securities voting as a class at a meeting of Holders of the Preferred Securities. 
  
 (b) (i) The Trustee that acts as Property Trustee shall not
be removed in accordance with Section 5.7(a) until a Successor Property Trustee has been appointed and has accepted such appointment by written instrument executed by such Successor Property Trustee and delivered to the Administrative Trustees and
the Initial Purchaser of Common Securities; and 
  
 (ii) The Trustee that acts as Delaware Trustee shall not be removed in accordance with Section 5.7(a) until a successor Trustee possessing the qualifications to act as Delaware Trustee under Sections 5.2 and 5.4 (a “Successor Delaware
Trustee”) has been appointed and has accepted such appointment by written instrument executed by such Successor Delaware Trustee and delivered to the Administrative Trustees and the Initial Purchaser of Common Securities. 
  
 (c) A Trustee appointed to office shall hold office until
his successor shall have been appointed or until his death, removal or resignation. Any Trustee may resign from office (without need for prior or subsequent accounting) by an instrument in writing signed by the Trustee and delivered to the Initial
Purchaser of Common Securities and the Trust, which resignation shall take effect upon such delivery or upon such later date as is specified therein; provided, however, that: 
  
 (i) No such resignation of the Trustee that acts as the Property Trustee shall be effective: 
  
 (A) until a Successor Property Trustee has been appointed
and has accepted such appointment by instrument executed by such Successor Property Trustee and delivered to the Trust, the Initial Purchaser of Common Securities and the resigning Property Trustee; or 
  
 (B) until the assets of the Trust have been completely
liquidated and the proceeds thereof distributed to the Holders; and 
  
 (ii) No such resignation of the Trustee that acts as the Delaware Trustee shall be effective until a Successor Delaware Trustee has been appointed and has accepted such appointment by instrument executed by such
Successor Delaware Trustee and delivered to the Trust, the Initial Purchaser of Common Securities and the resigning Delaware Trustee. 
  
 (d) The Holders of the Common Securities or, if an Event of Default shall have occurred and be continuing after the issuance of the
Securities, the Holders of the Preferred Securities shall use their best efforts to promptly appoint a Successor Delaware Trustee or Successor Property Trustee, as the case may be, if the Property Trustee or the Delaware Trustee delivers an
instrument of resignation in accordance with this Section 5.7. 
  

 31 

 (e) If no Successor Property Trustee or Successor Delaware Trustee shall have been
appointed and accepted appointment as provided in this Section 5.7 within 60 days after delivery of an instrument of resignation or removal, the Property Trustee or Delaware Trustee resigning or being removed, as applicable, at the expense of the
Initial Purchaser of Common Securities, may petition any court of competent jurisdiction for appointment of a Successor Property Trustee or Successor Delaware Trustee. Such court may thereupon, after prescribing such notice, if any, as it may deem
proper and prescribe, appoint a Successor Property Trustee or Successor Delaware Trustee, as the case may be. 
  
 (f) No Property Trustee or Delaware Trustee shall be liable for the acts or omissions to act of any Successor Property Trustee or
Successor Delaware Trustee, as the case may be. 
  
 (g) At the time of resignation or removal of the Property Trustee or the Delaware Trustee, the Debenture Issuer shall pay to such Trustee any amounts that may be owed to such Trustee pursuant to Section 10.4. 
  
 SECTION 5.8 Vacancies Among Trustees. 
  
 If a Trustee ceases to hold office for any reason and the number of Trustees
is not reduced pursuant to Section 5.1, or if the number of Trustees is increased pursuant to Section 5.1, a vacancy shall occur. A resolution certifying the existence of such vacancy by the Administrative Trustees or, if there are more than two, a
majority of the Administrative Trustees shall be conclusive evidence of the existence of such vacancy. The vacancy shall be filled with a Trustee appointed in accordance with Section 5.7. 
  
 SECTION 5.9 Effect of Vacancies. 
  
 The death, resignation, retirement, removal, bankruptcy, dissolution, liquidation, incompetence or incapacity to perform the
duties of a Trustee shall not operate to dissolve, terminate or annul the Trust. Whenever a vacancy in the number of Administrative Trustees shall occur, until such vacancy is filled by the appointment of an Administrative Trustee in accordance with
Section 5.7, the Administrative Trustees in office, regardless of their number, shall have all the powers granted to the Administrative Trustees and shall discharge all the duties imposed upon the Administrative Trustees by this Declaration.

  
 SECTION 5.10 Meetings. 
  
 If there is more than one Administrative Trustee, meetings of the
Administrative Trustees shall be held from time to time upon the call of any Administrative Trustee. Regular meetings of the Administrative Trustees may be held at a time and place fixed by resolution of the Administrative Trustees. Notice of any
in-person meetings of the Administrative Trustees shall be hand delivered or otherwise delivered in writing (including by facsimile, with a hard copy by overnight courier) not less than 24 hours before such meeting. No meeting of the Administrative
Trustees shall be held within the Commonwealth of Massachusetts. Notice of any telephonic meetings of the Administrative Trustees or any committee thereof shall be hand delivered or otherwise delivered in writing (including by facsimile, with a hard
copy by overnight courier) not less than 24 hours before a meeting. Notices shall contain a brief 

  

 32 

 
statement of the time, place and anticipated purposes of the meeting. The presence (whether in person or by telephone) of an Administrative Trustee at a
meeting shall constitute a waiver of notice of such meeting except where an Administrative Trustee attends a meeting for the express purpose of objecting to the transaction of any activity on the ground that the meeting has not been lawfully called
or convened. Unless provided otherwise in this Declaration, any action of the Administrative Trustees may be taken at a meeting by vote of a majority of the Administrative Trustees present (whether in person or by telephone) and eligible to vote
with respect to such matter, provided that a Quorum is present, or without a meeting by the unanimous written consent of the Administrative Trustees. In the event there is only one Administrative Trustee, any and all action of such Administrative
Trustee shall be evidenced by a written consent of such Administrative Trustee. 
  
 SECTION 5.11 Delegation of Power. 
  
 (a) Any Administrative Trustee may, by power of attorney consistent with applicable law, delegate to any other natural person over the age
of 21 his or her power for the purpose of executing any documents contemplated in Section 3.6, including any registration statement or amendment thereto filed with the Commission, or making any other governmental filing; provided, however, that such
person shall not execute any such document within the Commonwealth of Massachusetts; and 
  
 (b) The Administrative Trustees shall have power to delegate from time to time to such of their number or to officers of the Trust the
doing of such things and the execution of such instruments either in the name of the Trust or the names of the Administrative Trustees or otherwise as the Administrative Trustees may deem expedient, to the extent such delegation is not prohibited by
applicable law or contrary to the provisions of the Trust, as set forth herein. 
  
 SECTION 5.12 Merger, Conversion, Consolidation or Succession to Business. 
  
 If the Property Trustee, the Delaware Trustee or any Administrative Trustee
that is not a natural person, as the case may be, is merged, converted or consolidated into another Person, or any such Trustee is a party to a merger, conversion or consolidation that results in a new entity, or any Person succeeds to all or
substantially all the corporate trust business of the Property Trustee, the Delaware Trustee or any Administrative Trustee that is not a natural person, as the case may be, the new entity shall be the successor of the Property Trustee, the Delaware
Trustee or the Administrative Trustee, as the case may be, hereunder, without the execution or filing of any paper or any further act on the part of any of the parties hereto, provided such Person shall be otherwise qualified and eligible.

  
 ARTICLE VI 
 DISTRIBUTIONS 
  
 SECTION 6.1 Distributions. 
  
 Holders shall receive Distributions in accordance with the applicable terms of the relevant Holder’s Securities. If and to the extent that the
Debenture Issuer makes a payment of interest (including Compounded Interest, Liquidated Damages and Additional Sums), or principal on the Debentures held by the Property Trustee, or other amounts payable thereunder 

  

 33 

 
with respect to overdue installments of principal or interest, or any other payments with respect to the Debentures held by the Property Trustee (the amount
of any such payment being a “Payment Amount”), the Property Trustee shall and is directed, to the extent funds are available for that purpose, to make a distribution (a “Distribution”) of the Payment Amount to Holders.

  
 ARTICLE VII 
 ISSUANCE OF SECURITIES 
  
 SECTION 7.1 General Provisions Regarding Securities. 
  
 (a) The Administrative Trustees shall on behalf of the Trust issue one class of convertible trust preferred
securities representing undivided beneficial interests in the assets of the Trust having such terms as are set forth in Annex I (the “Preferred Securities”) and one class of common securities representing undivided beneficial interests in
the assets of the Trust having such terms as are set forth in Annex I (the “Common Securities”). The Trust shall issue no securities or other interests in the assets of the Trust other than the Preferred Securities and the Common
Securities. 
  
 (b) The consideration received by
the Trust for the issuance of the Securities shall constitute a contribution to the capital of the Trust and shall not constitute a loan to the Trust. 
  
 (c) Upon issuance of the Securities as provided in this Declaration, the Securities so issued shall be deemed to be validly issued, fully
paid and non-assessable. 
  
 (d) Every Person, by
virtue of having become a Holder or a beneficial owner in any Global Preferred Security in accordance with the terms of this Declaration, shall be deemed to have expressly assented and agreed to the terms of, and shall be bound by, this Declaration.

  
 SECTION 7.2 Execution and
Authentication. 
  
 (a) The Securities shall
be signed on behalf of the Trust by an Administrative Trustee. In case any Administrative Trustee of the Trust who shall have signed any of the Securities shall cease to be such Administrative Trustee before the Securities so signed shall be
delivered by the Trust, such Securities nevertheless may be delivered as though the person who signed such Securities had not ceased to be such Administrative Trustee; and any Securities may be signed on behalf of the Trust by such persons who, at
the actual date of execution of such Security, shall be the Administrative Trustees of the Trust, although at the date of the execution and delivery of the Declaration any such person was not an Administrative Trustee. 
  
 (b) One Administrative Trustee shall sign the Securities for
the Trust by manual or facsimile signature. Unless otherwise determined by the Trust, such signature shall, in the case of Common Securities, be a manual signature. 
  
 A Security shall not be valid until authenticated by the manual signature of an authorized signatory of the Property
Trustee. The signature shall be conclusive evidence that the Security has been authenticated under this Declaration. 
  

 34 

 Upon a written order of the Trust signed by one Administrative Trustee, the Property Trustee shall
authenticate the Preferred Securities for original issue. The aggregate number of Preferred Securities outstanding at any time shall not exceed the number set forth in the Terms in Annex I hereto except as provided in Section 7.6. 
  
 The Property Trustee may appoint an authenticating agent acceptable to the
Trust to authenticate Securities. An authenticating agent may authenticate Securities whenever the Property Trustee may do so. Each reference in this Declaration to authentication by the Property Trustee includes authentication by such agent. An
authenticating agent has the same rights as the Property Trustee to deal with the Initial Purchaser of Common Securities or an Affiliate. 
  
 SECTION 7.3 Form and Dating. 
  
 The Preferred Securities shall be evidenced by one or more certificates substantially in the form of Exhibit A-1 and the Common Securities shall be
evidenced by one or more certificates substantially in the form of Exhibit A-2, each of which is hereby incorporated in and expressly made a part of this Declaration. The Property Trustee’s certificate of authentication shall be substantially
in the form set forth in Exhibits A-1 and A-2. Certificates representing the Securities may be printed, lithographed or engraved or may be produced in any other manner as is reasonably acceptable to the Administrative Trustees, as evidenced by their
execution thereof. The Securities may have letters, CUSIP or other numbers, notations or other marks of identification or designation and such legends or endorsements required by law, stock exchange rule, agreements to which the Trust is subject, if
any, or usage (provided that any such notation, legend or endorsement is in a form acceptable to the Trust). The Trust at the direction of the Initial Purchaser of Common Securities shall furnish any such legend not contained in Exhibit A-1 to the
Property Trustee in writing. Each Security shall be dated the date of its authentication. The terms and provisions of the Securities set forth in Annex I and the forms of Securities set forth in Exhibits A-1 and A-2 are part of the terms of this
Declaration and to the extent applicable, the Property Trustee and the Initial Purchaser of Common Securities, by their execution and delivery of this Declaration, expressly agree to such terms and provisions and to be bound thereby. 
  
 The Preferred Securities are being offered and sold by the Trust pursuant to
a Purchase Agreement relating to the Preferred Securities, dated October     , 2004, among the Trust, the Initial Purchaser of Common Securities and the Initial Purchasers named therein (the “Purchase
Agreement”). 
  
 (a) Global
Securities. Preferred Securities offered and sold to QIBs as provided in the Purchase Agreement shall initially be issued in the form of one or more permanent Global Certificates in definitive, fully registered form without distribution coupons
as set forth in Exhibit A-1 hereto (a “Global Preferred Security”), which shall be deposited on behalf of the purchasers of the Global Preferred Securities represented thereby with the Property Trustee, at its Corporate Trust Office, as
custodian for the Clearing Agency, and registered in the name of the Clearing Agency or a nominee of the Clearing Agency, duly executed by the Trust and authenticated by the Property Trustee as hereinafter provided. The number of Preferred
Securities represented by a Global Preferred Security may from time to time be increased or decreased by adjustments made 

  

 35 

	 	 
on the records of the Property Trustee and the Clearing Agency or its nominee as hereinafter provided. Except as provided in Section 9.2(g), owners of
beneficial interests in a Global Preferred Security will not be entitled to receive Certificated Preferred Securities. 

  
 (b) Book-Entry Provisions. This Section 7.3(b) shall apply only to the Global Preferred Securities and such other Preferred
Securities in global form as may be authorized by the Trust to be deposited with or on behalf of the Clearing Agency. 
  
 An Administrative Trustee shall execute and the Property Trustee shall, in accordance with this Section 7.3, authenticate and make
available for delivery initially one or more Global Preferred Securities that (i) shall be registered in the name of Cede & Co. or other nominee of a Clearing Agency and (ii) shall be delivered by the Property Trustee to such Clearing Agency or
pursuant to such Clearing Agency’s written instructions or held by the Property Trustee as custodian for the Clearing Agency. 
  
 Members of, or participants in, the Clearing Agency (“Participants”) shall have no rights under this Declaration with respect to
any Global Preferred Security held on their behalf by the Clearing Agency or by the Property Trustee as the custodian of the Clearing Agency or under such Global Preferred Security, and the Clearing Agency may be treated by the Trust, the Property
Trustee and any agent of the Trust or the Property Trustee as the absolute owner of such Global Preferred Security for all purposes whatsoever. Notwithstanding the foregoing, nothing herein shall prevent the Trust, the Property Trustee or any agent
of the Trust or the Property Trustee from giving effect to any written certification, proxy or other authorization furnished by the Clearing Agency or impair, as between the Clearing Agency and its Participants, the operation of customary practices
of such Clearing Agency governing the exercise of the rights of a holder of a beneficial interest in any Global Preferred Security. 
  
 (c) Certificated Preferred Securities. Except as provided in Section 9.2(e), owners of definitive, fully registered certificated
Preferred Securities (“Certificated Preferred Securities”) will not be entitled to receive beneficial interests in a Global Preferred Security. 
  
 (d) Authorized Denominations. The Preferred Securities are issuable only in denominations of $50.00 and any integral multiple
thereof. 
  
 SECTION 7.4 Registrar, Paying
Agent and Conversion Agent. 
  
 The Trust shall maintain in
New York (i) an office or agency where Preferred Securities may be presented for registration of transfer (“Registrar”), (ii) an office or agency where Preferred Securities may be presented for payment (“Paying Agent”) and (iii)
an office or agency where Preferred Securities may be presented for conversion (“Conversion Agent”). The Registrar shall keep a register of the Preferred Securities and of their transfer. The Administrative Trustees may appoint the
Registrar, the Paying Agent and the Conversion Agent and may appoint one or more co-registrars, one or more additional paying agents and one or more additional conversion agents in such other locations as it shall determine. The term 

  

 36 

 
“Registrar” includes any additional registrar, “Paying Agent” includes any additional paying agent, “Conversion Agent” includes
any additional conversion agent. The Administrative Trustees may change any Registrar, Paying Agent or Conversion Agent without prior notice to any Holder. Any Paying Agent or Conversion Agent may be removed by the Administrative Trustees at any
time and a successor Paying Agent or Conversion Agent or additional Paying Agent or Conversion Agent may be appointed at any time by the Administrative Trustees. The Paying Agent and the Conversion Agent may resign upon 30 days written notice to the
Administrative Trustees. The Administrative Trustees shall notify the Property Trustee of the name and address of any Agent not a party to this Declaration. If the Administrative Trustees fail to appoint or maintain another entity as Registrar,
Paying Agent or Conversion Agent, the Property Trustee shall act as such. The Trust shall act as Paying Agent and Registrar for the Common Securities. 
  
 The Trust initially appoints the Property Trustee as Registrar, Paying Agent and Conversion Agent for the Preferred Securities. 
  
 SECTION 7.5 Paying Agent to Hold Money in Trust.

  
 The Trust shall require each Paying Agent other than the
Property Trustee to agree in writing that the Paying Agent will hold in trust for the benefit of Holders or the Property Trustee all money held by the Paying Agent for the payment of liquidation amounts or Distributions, and will notify the Property
Trustee if there are insufficient funds for such purpose. While any such insufficiency continues, the Property Trustee may require a Paying Agent to pay all money held by it to the Property Trustee. The Trust at any time may require a Paying Agent
to pay all money held by it to the Property Trustee and to account for any money disbursed by it. Upon payment over to the Property Trustee, the Paying Agent (if other than the Trust or an Affiliate of the Trust) shall have no further liability for
the money. If the Trust or the Initial Purchaser of Common Securities or an Affiliate of the Trust or the Initial Purchaser of Common Securities acts as Paying Agent, it shall segregate and hold in a separate trust fund for the benefit of the
Holders all money held by it as Paying Agent. 
  
 SECTION 7.6 Replacement Securities. 
  
 If a
Holder claims that a Security owned by it has been lost, destroyed or wrongfully taken or if such Security is mutilated and is surrendered to the Trust or in the case of the Preferred Securities to the Property Trustee, the Trust shall issue and the
Property Trustee shall, upon written order of the Trust, authenticate a replacement Security if the Property Trustee’s and the Trust’s requirements, as the case may be, are met. An indemnity bond must be provided by the Holder which, in
the judgment of the Property Trustee and the Initial Purchaser of Common Securities, is sufficient to protect the Trustees, the Initial Purchaser of Common Securities, the Trust or any authenticating agent from any loss which any of them may suffer
if a Security is replaced. The Trust may charge such Holder for its expenses in replacing a Security. 
  

 37 

 SECTION 7.7 Outstanding Preferred Securities. 
  
 The Preferred Securities outstanding at any time are all the Preferred
Securities authenticated by the Property Trustee except for those cancelled by it, those delivered to it for cancellation, and those described in this Section as not outstanding. 
  
 If a Preferred Security is replaced pursuant to Section 7.6 hereof, it ceases to be outstanding unless the Property Trustee
receives proof satisfactory to it that the replaced Preferred Security is held by a bona fide purchaser. 
  
 If Preferred Securities are considered paid in accordance with the terms of this Declaration, they cease to be outstanding and Distributions on them shall
cease to accumulate or converted into Common Stock. 
  
 A
Preferred Security does not cease to be outstanding because one of the Trust, the Initial Purchaser of Common Securities or an Affiliate of the Initial Purchaser of Common Securities holds the Security. 
  
 SECTION 7.8 Preferred Securities in Treasury.

  
 In determining whether the Holders of the required amount of
Securities have concurred in any direction, waiver or consent, Preferred Securities owned by the Trust, a Trustee, the Initial Purchaser of Common Securities or an Affiliate of the Initial Purchaser of Common Securities, as the case may be, shall be
disregarded and deemed not to be outstanding, except that for the purposes of determining whether the Property Trustee shall be fully protected in relying on any such direction, waiver or consent, only Securities which a Responsible Officer of the
Property Trustee actually knows are so owned shall be so disregarded. 
  
 SECTION 7.9 Temporary Securities. 
  
 Until definitive Securities are ready for delivery, the Trust may prepare and, in the case of the Preferred Securities, the Property Trustee shall authenticate temporary Securities. Temporary Securities shall be
substantially in the form of definitive Securities but may have variations that the Trust considers appropriate for temporary Securities. Without unreasonable delay, the Trust shall prepare and, in the case of the Preferred Securities, the Property
Trustee shall authenticate definitive Securities in exchange for temporary Securities. Until so exchanged, the temporary Securities shall in all respects be entitled to the same benefits under this Declaration as definitive Securities. 

 
 SECTION 7.10 Cancellation. 
  
 The Trust at any time may deliver Preferred Securities to the Property
Trustee for cancellation. The Registrar, Paying Agent and Conversion Agent shall forward to the Property Trustee any Preferred Securities surrendered to them for registration of transfer, redemption, conversion, exchange or payment. The Property
Trustee shall promptly cancel all Preferred Securities, surrendered for registration of transfer, redemption, conversion, exchange, payment, replacement or cancellation and shall dispose of cancelled Preferred Securities in accordance with its
customary procedures unless the Trust otherwise directs. The Trust may not issue new 

  

 38 

 
Preferred Securities to replace Preferred Securities that it has paid or that have been delivered to the Property Trustee for cancellation or that any Holder
has converted. 
  
 SECTION 7.11 CUSIP
Numbers. 
  
 The Trust in issuing the Preferred Securities
may use “CUSIP” numbers (if then generally in use), and, if so, the Property Trustee shall use “CUSIP” numbers in notices of redemption as a convenience to Holders of Preferred Securities; provided that any such notice may state
that no representation is made as to the correctness of such numbers either as printed on the Preferred Securities or as contained in any notice of a redemption and that reliance may be placed only on the other identification numbers printed on the
Preferred Securities, and any such redemption shall not be affected by any defect in or omission of such numbers. The Administrative Trustees will promptly notify the Property Trustee of any change in the CUSIP numbers. 
  
 SECTION 7.12 Payment. 
  
 Payments in respect of the Global Preferred Securities shall be made to the
Clearing Agency or its nominee, and the Clearing Agency shall credit the relevant accounts at the Clearing Agency. Payments on the Securities issued in certificated form may be made at the option of the Trust (i) by check mailed to the Holder at
such address set forth on the books and records of the Trust or the Registrar or (ii) by transfer to an account maintained by the Holder entitled thereto, provided that proper transfer instructions have been received in writing by the relevant
record date. 
  
 ARTICLE VIII 
 TERMINATION OF TRUST 
  
 SECTION 8.1 Termination of Trust. 
  
 (a) The Trust shall automatically terminate: 
  
 (i) upon the bankruptcy of the Debenture Issuer; 
  

(ii) upon the filing of a certificate of dissolution or liquidation or its equivalent with respect to the Debenture Issuer; or the
revocation of the Debenture Issuer’s charter and the expiration of 90 days after the date of revocation without a reinstatement thereof; 
  
 (iii) following the distribution of a Like Amount of the Debentures to the Holders, provided that, the Property Trustee has received
written notice from the Holder of Common Securities directing the Property Trustee to terminate the Trust (which direction is optional, and except as otherwise expressly provided below, within the discretion of the Holder of Common Securities) and
provided, further, that such direction and such distribution is conditioned on the receipt by the Holder of Common Securities of any required regulatory approval; 
  
 (iv) upon the entry of a decree of judicial dissolution of the Trust by a court of competent jurisdiction;

  

 39 

 (v) when all of the Securities shall have been called for redemption and the amounts
necessary for redemption thereof shall have been paid to the Holders in accordance with the terms of the Securities; 
  
 (vi) upon the redemption or repayment of the Debentures at Maturity; 
  
 (vii) the expiration of the term of the Trust provided in Section 3.14; or 
  
 (viii) when all of the Preferred Securities shall have been
converted into shares of Common Stock of the Initial Purchaser of Common Securities. 
  
 (b) As soon as is practicable upon completion of winding up of the Trust following the occurrence of an event referred to in Section
8.1(a), the Administrative Trustees shall file a certificate of cancellation with the Secretary of State of the State of Delaware in accordance with the Statutory Trust Act. 
  
 (c) The provisions of Section 3.9 and Article X shall survive the termination of the Trust. 
  
 ARTICLE IX 
 TRANSFER OF INTERESTS 
  
 SECTION 9.1 Transfer of Securities. 
  
 (a) Securities may only be transferred, in whole or in part, in accordance with the terms and conditions set forth in this Declaration and
in the terms of the Securities. Any transfer or purported transfer of any Security not made in accordance with this Declaration shall be null and void. 
  
 (b) For so long as the Trust Securities remain outstanding, the Initial Purchaser of Common Securities will covenant (i) to maintain,
directly or indirectly, 100% ownership of the Common Securities, provided that any successor of the Initial Purchaser of Common Securities permitted hereunder or under the Indenture may succeed to the Initial Purchaser’s of Common Securities
ownership of such Common Securities, (ii) not to cause, as Initial Purchaser of Common Securities of the Trust, or to permit, as Holder of the Common Securities, the dissolution, winding-up, liquidation or termination of the Trust, except in
connection with a distribution of the Debentures as provided in the Declaration, the redemption of all of the Trust Securities and in connection with certain mergers, consolidations or amalgamations in each case, as permitted by this Declaration,
(iii) to use commercially reasonable efforts to cause the Trust to remain a statutory trust, (iv) to use its reasonable efforts, consistent with the terms and provisions of this Declaration, to cause the Trust to remain classified as a grantor trust
and not as an association taxable as a corporation for United States federal income tax purposes, and (v) to use its reasonable efforts to ensure that the Trust will not be an “investment company” for purposes of the Investment Company Act
of 1940. 
  
 (c) The Administrative Trustees
shall provide for the registration of Securities and of the transfer of Securities, which will be effected without charge but only upon payment (with such indemnity as the Administrative Trustees may require) in respect of any tax or other 

  

 40 

 
governmental charges that may be imposed in connection with any transfer or exchange. Upon surrender for registration of transfer of any Securities, the
Administrative Trustees shall cause one or more new Securities to be issued in the name of the designated transferee or transferees. Every Security surrendered for registration of transfer shall be accompanied by a written instrument of transfer in
form satisfactory to the Administrative Trustees duly executed by the Holder or such Holder’s attorney duly authorized in writing. Each Security surrendered for registration of transfer shall be canceled by the Property Trustee (in the case of
Preferred Securities) or the Trust (in the case of Common Securities). A transferee of a Security shall be entitled to the rights and subject to the obligations of a Holder hereunder upon the receipt by such transferee of a Security. By acceptance
of a Security, each transferee shall be deemed to have agreed to be bound by this Declaration. 
  
 SECTION 9.2 Transfer Procedures and Restrictions. 
  
 (a) General. Each Preferred Security that bears or is required to bear the Restricted Securities
Legend set forth in Section 9.2(c) is referred to herein as a “Restricted Preferred Security” and shall be subject to the restrictions on transfer set forth in Section 9.2(c). Subject to Sections 9.2(b) and 9.2(c)(ii), if Preferred
Securities are issued upon the transfer, exchange or replacement of Preferred Securities bearing the Restricted Securities Legend, or if a request is made to remove such Restricted Securities Legend on Preferred Securities, the Preferred Securities
so issued shall bear the Restricted Securities Legend, or the Restricted Securities Legend shall not be removed, as the case may be, unless there is delivered to the Trust and the Property Trustee such satisfactory evidence, which may include an
Opinion of Counsel, as may be reasonably required by the Initial Purchaser of Common Securities, that (i) neither the legend nor the restrictions on transfer set forth therein are required to ensure that transfers thereof comply with the provisions
of Rule 144A under the Securities Act or any available exemption from the registration requirements of the Securities Act or (ii) that such Securities are not “restricted” within the meaning of Rule 144 under the Securities Act. Upon
provision of such satisfactory evidence, the Property Trustee, at the written direction of an Administrative Trustee on behalf of the Trust, shall authenticate and deliver Preferred Securities that do not bear the Restricted Securities Legend.

  
 (b) Transfers After Effectiveness of
Registration Statement. After a transfer of Preferred Securities pursuant to an effective Registration Statement, all requirements pertaining to Restricted Securities Legends on any Preferred Security included within such Registration Statement
will cease to apply, and beneficial interests in a Preferred Security in global form without Restricted Securities Legends will be available to transferees of such Preferred Securities. After the effectiveness of the Registration Statement, the
Administrative Trustees shall execute and deliver and the Property Trustee shall authenticate a Preferred Security in global form without the Restricted Securities Legend (the “Unrestricted Global Preferred Security”) to deposit with the
Clearing Agency to evidence transfers of beneficial interests from the Global Preferred Security. 
  
 (c) Restricted Securities Legend. Except as permitted by the following paragraph (ii), each Preferred Security certificate
evidencing the Global Preferred Securities and any Certificated Preferred Securities (and all Preferred Securities issued in exchange therefor or 

  

 41 

 
substitution thereof) shall bear a legend in substantially the following form (the “Restricted Securities Legend”): 
  
 THIS SECURITY AND THE UNDERLYING SHARES OF BOSTON PRIVATE FINANCIAL HOLDINGS,
INC. COMMON STOCK HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR ANY STATE SECURITIES LAWS. NEITHER THIS SECURITY, THE SHARES OF UNDERLYING BOSTON PRIVATE FINANCIAL HOLDINGS, INC. COMMON
STOCK ISSUABLE UPON CONVERSION OF THIS SECURITY NOR ANY INTEREST OR PARTICIPATION HEREIN OR THEREIN MAY BE REOFFERED, SOLD, ASSIGNED, TRANSFERRED, PLEDGED, ENCUMBERED OR OTHERWISE DISPOSED OF IN THE ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH
TRANSACTION IS EXEMPT FROM, OR NOT SUBJECT TO, REGISTRATION. 
  
 THE HOLDER OF THIS SECURITY, BY ITS ACCEPTANCE HEREOF, AGREES TO OFFER, SELL OR OTHERWISE TRANSFER SUCH SECURITY, PRIOR TO THE DATE (THE “RESALE RESTRICTION TERMINATION DATE”), WHICH IS TWO YEARS AFTER THE LATER OF THE ORIGINAL
ISSUE DATE HEREOF AND THE LAST DATE ON WHICH BOSTON PRIVATE FINANCIAL HOLDINGS, INC. OR ANY AFFILIATE OF BOSTON PRIVATE FINANCIAL HOLDINGS, INC. WAS THE OWNER OF THIS SECURITY (OR ANY PREDECESSOR OF SUCH SECURITY) ONLY (A) TO BOSTON PRIVATE
FINANCIAL HOLDINGS, INC. OR ANY SUBSIDIARY THEREOF, (B) FOR SO LONG AS THE SECURITIES ARE ELIGIBLE FOR RESALE PURSUANT TO RULE 144A, TO A PERSON IT REASONABLY BELIEVES IS A “QUALIFIED INSTITUTIONAL BUYER” AS DEFINED IN RULE 144A UNDER THE
SECURITIES ACT THAT PURCHASES FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL BUYER TO WHICH NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A, (C) PURSUANT TO A REGISTRATION STATEMENT WHICH HAS BEEN
DECLARED EFFECTIVE UNDER THE SECURITIES ACT, OR (D) PURSUANT TO ANOTHER AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, SUBJECT TO BOSTON PRIVATE FINANCIAL HOLDINGS INC.’S, AND THE TRUSTEE’S RIGHT PRIOR TO ANY
SUCH OFFER, SALE OR TRANSFER PURSUANT TO CLAUSE (D) TO REQUIRE THE DELIVERY OF AN OPINION OF COUNSEL, CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO EACH OF THEM, AND IN EACH OF THE FOREGOING CASES, A CERTIFICATE OF TRANSFER IN THE FORM
APPEARING ON THE OTHER SIDE OF THIS SECURITY IS COMPLETED AND DELIVERED BY THE TRANSFEROR TO THE TRUSTEE. THIS LEGEND WILL BE REMOVED UPON THE REQUEST OF THE HOLDER UPON THE EARLIER OF THE TRANSFER OF THE SECURITIES EVIDENCED HEREBY PURSUANT TO
CLAUSE (C) ABOVE AND THE RESALE RESTRICTION TERMINATION DATE. THE HOLDER OF THIS SECURITY, BY ITS ACCEPTANCE HEREOF, AGREES THAT IT WILL DELIVER TO EACH PERSON TO WHOM THE SECURITY EVIDENCED HEREBY IS TRANSFERRED (OTHER THAN A TRANSFER PURSUANT TO
CLAUSE (C) ABOVE) A NOTICE SUBSTANTIALLY TO THE EFFECT OF THIS LEGEND. 
  

 42 

 BY ITS ACQUISITION OF THIS CERTIFICATE THE HOLDER REPRESENTS THAT EITHER (I) IT IS NOT AN EMPLOYEE
BENEFIT PLAN OR OTHER SIMILAR RETIREMENT PLAN OR ARRANGEMENT, WHETHER OR NOT SUBJECT TO THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED (“ERISA”), OR SECTION 4975 OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE
“CODE”) (OR ANY SIMILAR LAWS OR REGULATIONS), OR AN ENTITY WHOSE UNDERLYING ASSETS ARE CONSIDERED TO INCLUDE THE ASSETS OF ANY SUCH PLANS AND ARRANGEMENTS (EACH, A “PLAN”) AND NO PART OF THE ASSETS TO BE USED BY THE HOLDER TO
ACQUIRE AND/OR HOLD THIS CERTIFICATE OR ANY INTEREST THEREIN CONSTITUTES PLAN ASSETS OF ANY PLAN OR (II) THE ACQUISITION AND HOLDING OF THIS CERTIFICATE WILL NOT CONSTITUTE A NON-EXEMPT PROHIBITED TRANSACTION UNDER TITLE I OF ERISA OR SECTION 4975
OF THE CODE OR A VIOLATION UNDER ANY OTHER APPLICABLE LAWS AND REGULATIONS THAT ARE SIMILAR TO THE PROVISIONS OF TITLE I OF ERISA OR SECTION 4975 OF THE CODE. 
  

(i) Upon any sale or transfer of a Restricted Preferred Security (including any Restricted Preferred Security represented by a Global Preferred
Security) pursuant to an available exemption from the registration requirements of the Securities Act and compliance with the last two sentences of Section 9.2(a) or an effective registration statement under the Securities Act the Registrar shall
permit the Holder thereof to exchange such Restricted Preferred Security for an interest in the Unrestricted Global Preferred Security. 
  
 (ii) Each certificate representing Common Stock issued upon the conversion of any Restricted Preferred Security shall bear a legend in substantially the
following form: 
  
 THIS SECURITY HAS NOT BEEN REGISTERED UNDER
THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR ANY STATE SECURITIES LAWS. NEITHER THIS SECURITY NOR ANY INTEREST OR PARTICIPATION HEREIN OR THEREIN MAY BE REOFFERED, SOLD, ASSIGNED, TRANSFERRED, PLEDGED, ENCUMBERED OR
OTHERWISE DISPOSED OF IN THE ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH TRANSACTION IS EXEMPT FROM, OR NOT SUBJECT TO, REGISTRATION. 
  
 THE HOLDER OF THIS SECURITY, BY ITS ACCEPTANCE HEREOF, AGREES TO OFFER, SELL OR OTHERWISE TRANSFER SUCH SECURITY, PRIOR TO THE DATE (THE “RESALE
RESTRICTION TERMINATION DATE”), WHICH IS TWO YEARS AFTER THE LATER OF THE ORIGINAL ISSUE DATE OF THE SECURITY UPON THE CONVERSION OF WHICH THE COMMON STOCK EVIDENCED HEREBY WAS ISSUED AND THE LAST DATE ON WHICH BOSTON PRIVATE FINANCIAL
HOLDINGS, INC. OR ANY AFFILIATE OF BOSTON PRIVATE FINANCIAL HOLDINGS, INC. WAS THE OWNER OF THIS SECURITY (OR ANY PREDECESSOR OF SUCH SECURITY) ONLY (A) TO BOSTON PRIVATE FINANCIAL HOLDINGS, INC. OR ANY SUBSIDIARY THEREOF, (B) FOR SO LONG AS THE
SECURITIES ARE ELIGIBLE FOR RESALE PURSUANT TO RULE 144A, TO A PERSON IT REASONABLY BELIEVES IS A “QUALIFIED INSTITUTIONAL BUYER” AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT THAT PURCHASES FOR ITS OWN ACCOUNT OR FOR THE 

  

 43 

 
ACCOUNT OF A QUALIFIED INSTITUTIONAL BUYER TO WHICH NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A, (C) PURSUANT TO A REGISTRATION
STATEMENT WHICH HAS BEEN DECLARED EFFECTIVE UNDER THE SECURITIES ACT, OR (D) PURSUANT TO ANOTHER AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, SUBJECT TO BOSTON PRIVATE FINANCIAL HOLDINGS INC.’S, AND THE TRANSFER
AGENT’S RIGHT PRIOR TO ANY SUCH OFFER, SALE OR TRANSFER PURSUANT TO CLAUSE (D) TO REQUIRE THE DELIVERY OF AN OPINION OF COUNSEL, CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO EACH OF THEM, AND IN EACH OF THE FOREGOING CASES, A
CERTIFICATE OF TRANSFER IN THE FORM APPEARING ON THE OTHER SIDE OF THIS SECURITY IS COMPLETED AND DELIVERED BY THE TRANSFEROR TO THE TRUSTEE. THIS LEGEND WILL BE REMOVED UPON THE REQUEST OF THE HOLDER UPON THE EARLIER OF THE TRANSFER OF THE
SECURITIES EVIDENCED HEREBY PURSUANT TO CLAUSE (C) ABOVE AND THE RESALE RESTRICTION TERMINATION DATE. THE HOLDER OF THIS SECURITY, BY ITS ACCEPTANCE HEREOF, AGREES THAT IT WILL DELIVER TO EACH PERSON TO WHOM THE SECURITY EVIDENCED HEREBY IS
TRANSFERRED (OTHER THAN A TRANSFER PURSUANT TO CLAUSE (C) ABOVE) A NOTICE SUBSTANTIALLY TO THE EFFECT OF THIS LEGEND. 
  
 (d) Transfer and Exchange of Certificated Preferred Securities. When Certificated Preferred Securities are presented to the
Registrar or co-Registrar 
  
 (x) to register the
transfer of such Certificated Preferred Securities; or 
  
 (y) to exchange such Certificated Preferred Securities which became mutilated, destroyed, defaced, stolen or lost, for an equal number of Certificated Preferred Securities, 
  
 the Registrar or co-registrar shall register the transfer or make the exchange as requested if its reasonable requirements for such
transaction are met; provided, however, that the Certificated Preferred Securities surrendered for transfer or exchange 
  
 (i) shall be duly endorsed or accompanied by a written instrument of transfer in form reasonably satisfactory to the Trust and the
Registrar or co-registrar, duly executed by the Holder thereof or his attorney duly authorized in writing; and 
  
 (ii) in the case of Certificated Preferred Securities that are Restricted Preferred Securities, and are being transferred or exchanged,
such transfer or exchange shall be (x) pursuant to an effective registration statement under the Securities Act or (y) pursuant to, and in compliance with, clause (A), (B) or (C) below: 
  
 (A) if such Restricted Preferred Securities are being delivered to the Registrar by a Holder for
registration in the name of such Holder, without transfer, such Holder shall deliver a certification to that effect (in the form set forth on the reverse of the Preferred Security); 
  

 44 

 (B) such Restricted Preferred Securities are being transferred to the Initial Purchaser
of Common Securities or a subsidiary thereof; or 
  
 (C) if such Restricted Preferred Securities are being transferred pursuant to an exemption from registration in accordance with Rule 144A under the Securities Act or an available exemption from the registration requirements of the
Securities Act, such Holder shall deliver: (i) a certification to that effect (in the form set forth on the reverse of the Preferred Security) and (ii) if the Trust or Registrar so requests, evidence reasonably satisfactory to them as to the
compliance with the restrictions set forth in the Restricted Securities Legend. 
  
 For Certificated Preferred Securities that are transferred to QIBs in accordance with Rule 144A under the Securities Act, QIBs must take delivery of their interests in the Restricted Preferred Securities in the form of a beneficial interest
in the Global Preferred Security in accordance with Section 9.2(e). 
  
 (e) Restrictions on Transfer of a Certificated Preferred Security for a Beneficial Interest in a Global Preferred Security. A Certificated Preferred Security may not be exchanged for a beneficial interest in a
Global Preferred Security except upon satisfaction of the requirements set forth below. 
  
 (i) Upon receipt by the Property Trustee of a Certificated Preferred Security, duly endorsed or accompanied by appropriate instruments of
transfer, in form satisfactory to the Property Trustee and the Administrative Trustees, together with written instructions directing the Property Trustee to make, or to direct the Clearing Agency to make, an adjustment on its books and records with
respect to the appropriate Global Preferred Security to reflect an increase in the number of the Preferred Securities represented by such Global Preferred Security, then the Property Trustee shall cancel such Certificated Preferred Security and
cause, or direct the Clearing Agency to cause, the aggregate number of Preferred Securities represented by the appropriate Global Preferred Security to be increased accordingly. If no Global Preferred Securities are then outstanding, the Trust shall
issue and the Property Trustee shall authenticate, upon written order of any Administrative Trustee, an appropriate number of Preferred Securities in global form. 
  
 (ii) Certificated Preferred Securities that are Restricted Preferred Securities may not be exchanged for a
beneficial interest in a Global Preferred Security, unless such exchange occurs in connection with a transfer of a Certificated Preferred Security to a QIB and the provisions of Section 9.2(d) are complied with. 
  
 (f) Transfer and Exchange of Global Preferred
Securities. (i) The transfer and exchange of Global Preferred Securities or beneficial interests therein shall be effected through the Clearing Agency, in accordance with this Declaration (including applicable restrictions on transfer set forth
herein, if any) and the procedures of the Clearing Agency therefor. 
  

 45 

 (ii) Notwithstanding any other provisions of this Declaration (other than subsection (g)
of this Section 9.2), a Global Preferred Security may not be transferred as a whole except by the Clearing Agency to a nominee of the Clearing Agency or another nominee of the Clearing Agency or by the Clearing Agency or any such nominee to a
successor Clearing Agency or a nominee of such successor Clearing Agency. 
  
 (g) Restrictions on Transfer of a Beneficial Interest in a Global Preferred Security for a Certificated Preferred Security. Except as provided below, holders of beneficial interests in a Global Preferred
Security shall not be entitled to have certificates registered in their names and will not receive physical delivery of certificates in definitive form. 
  
 (i) A Global Preferred Security deposited with the Clearing Agency or with the Property Trustee as custodian for the Clearing Agency
pursuant to Section 7.3 shall be transferred to the beneficial owners thereof in the form of Certificated Preferred Securities only if (a) the Clearing Agency notifies the Initial Purchaser of Common Securities that it is unwilling or unable to
continue as Clearing Agency for such Global Preferred Security or if at any time such Clearing Agency ceases to be a “clearing agency” registered under the Exchange Act and a clearing agency is not appointed by the Initial Purchaser of
Common Securities within 90 days of such notice, (b) a Default or an Event of Default has occurred and is continuing or (c) the Trust at its sole discretion elects to cause the issuance of Certificated Preferred Securities. 
  
 (ii) Any Global Preferred Security that is transferable to
the beneficial owners thereof in the form of Certificated Preferred Securities pursuant to this Section 9.2 shall be surrendered by the Clearing Agency to the Property Trustee, to be so transferred, in whole or from time to time in part, without
charge, and the Property Trustee shall authenticate and make available for delivery, upon such transfer of each portion of such Global Preferred Security, an equal aggregate liquidation amount of Preferred Securities of authorized denominations in
the form of Certificated Preferred Securities. Any portion of a Global Preferred Security transferred pursuant to this Section shall be registered in such names and in such authorized denominations as the Clearing Agency, pursuant to instructions
from its Clearing Agency Participants or otherwise, shall instruct the Property Trustee in writing. The Property Trustee shall deliver such Preferred Securities to the Persons in whose names such Preferred Securities are so registered in accordance
with such instructions of the Clearing Agency. Any Preferred Security in the form of Certificated Preferred Securities delivered in exchange for an interest in the Restricted Global Preferred Security shall, except as otherwise provided in this
Section 9.2, bear the Restricted Securities Legend. 
  
 (iii) In the event of the occurrence of any event specified in Section 9.2(g)(i), the Trust will promptly make available to the Property Trustee a reasonable supply of Certificated Preferred Securities in fully registered form without
distribution coupons. 
  
 (h) Cancellation or
Adjustment of Global Preferred Security. At such time as all beneficial interests in a Global Preferred Security have either been exchanged for Certificated Preferred Securities to the extent permitted by this Declaration or redeemed,
repurchased or canceled in accordance with the terms of this Declaration, such Global Preferred Security shall 

  

 46 

 
be returned to the Clearing Agency for cancellation or retained and canceled by the Property Trustee. At any time prior to such cancellation, if any
beneficial interest in a Global Preferred Security is exchanged for Certificated Preferred Securities, Preferred Securities represented by such Global Preferred Security shall be reduced and an adjustment shall be made on the books and records of
the Clearing Agency and the Registrar, to reflect such reduction. 
  
 (i) Legend on Global Securities. Any Preferred Security in global form may be endorsed with or have incorporated in the text thereof such legends or recitals or changes not inconsistent with the provisions of
this Declaration as may be required by the Clearing Agency or by the National Association of Securities Dealers, Inc. in order for the Preferred Securities to be tradable on The PORTAL Market or as may be required for the Preferred Securities to be
tradable on any other market developed for trading of securities pursuant to Rule 144A or required to comply with any applicable law or any regulation thereunder or with the rules and regulations of any securities exchange or automated quotation
system upon which the Preferred Securities may be listed or traded or to conform with any usage with respect thereto, or to indicate any special limitations or restrictions to which any particular Securities are subject. 
  
 (j) Obligations with Respect to Transfers of Preferred
Securities. (i) To permit registrations of transfers the Trust shall execute and the Property Trustee shall authenticate Global Preferred Securities at the Registrar’s or co-registrar’s request in accordance with the terms of this
Declaration. 
  
 (ii) Registrations of transfers
will be effected without charge, but only upon payment (with such indemnity as the Trust or the Initial Purchaser of Common Securities may require) in respect of any tax or other governmental charge that may be imposed in relation to it. 

 
 (iii) The Registrar or co-registrar shall not be required
to: (a) issue, register the transfer of or exchange Preferred Securities during a period beginning at the opening of business 15 days before the day of mailing of a notice of redemption or any notice of selection of Preferred Securities for
redemption and ending at the close of business on the day of such mailing; or (b) register the transfer or exchange of any Preferred Security selected for redemption, in whole or in part except, in the case of any Preferred Security being redeemed
in part, any portion thereof not to be redeemed. 
  
 (iv) Prior to the due presentation for registration of transfer of any Preferred Security, the Trust, the Property Trustee, the Paying Agent, the Registrar or any co-registrar may deem and treat the Person in whose name a Preferred Security
is registered as the absolute owner of such Preferred Security for the purpose of receiving Distributions on such Preferred Security and for all other purposes whatsoever, and none of the Trust, the Property Trustee, the Paying Agent, the Registrar
or any co-registrar shall be affected by notice to the contrary. 
  
 (v) All Preferred Securities issued upon any transfer or exchange pursuant to the terms of this Declaration shall evidence the same security and shall be entitled to the same benefits under this Declaration as the
Preferred Securities surrendered upon such transfer or exchange. 
  

 47 

 (k) No Obligation of the Property Trustee. (i) The Property Trustee shall have no
responsibility or obligation to any beneficial owner of a Global Preferred Security, a Clearing Agency Participant in the Clearing Agency or other Person with respect to the accuracy of the records of the Clearing Agency or its nominee or of any
Clearing Agency Participant thereof, with respect to any ownership interest in the Preferred Securities or with respect to the delivery to any Clearing Agency Participant, beneficial owner or other Person (other than the Clearing Agency) of any
notice (including any notice of redemption) or the payment of any amount, under or with respect to such Preferred Securities. All notices and communications to be given to the Holders and all payments to be made to Holders under the Preferred
Securities shall be given or made only to or upon the order of the registered Holders (which shall be the Clearing Agency or its nominee in the case of a Global Preferred Security). The rights of beneficial owners in any Global Preferred Security
shall be exercised only through the Clearing Agency subject to the applicable rules and procedures of the Clearing Agency. The Property Trustee may conclusively rely and shall be fully protected in relying upon information furnished by the Clearing
Agency or any agent thereof with respect to its Clearing Agency Participants and any beneficial owners. 
  
 (ii) The Property Trustee and the Registrar shall have no obligation or duty to monitor, determine or inquire as to compliance with any
restrictions on transfer imposed under this Declaration or under applicable law with respect to any transfer of any interest in any Preferred Security (including any transfers between or among Clearing Agency Participants or beneficial owners in any
Global Preferred Security) other than to require delivery of such certificates and other documentation or evidence as are expressly required by, and to do so if and when expressly required by, the terms of this Declaration, and to examine the same
to determine substantial compliance as to form with the express requirements hereof. 
  
 SECTION 9.3 Deemed Security Holders. 
  
 The Trustees may treat the Person in whose name any Security shall be registered on the books and records of the Trust as the sole owner of such Security
for purposes of receiving Distributions and for all other purposes whatsoever and, accordingly, shall not be bound to recognize any equitable or other claim to or interest in such Security on the part of any Person, whether or not the Trust shall
have actual or other notice thereof. 
  
 SECTION
9.4 Book-Entry Interests. 
  
 Global Preferred Securities
shall initially be registered on the books and records of the Trust in the name of Cede & Co., the nominee of the Clearing Agency and shall be in the form of a global certificate (the “Global Certificate”), and no beneficial owner in
any Global Preferred Security will receive a Certificated Preferred Security representing such beneficial owner’s interests in such Global Preferred Securities, except as provided in Section 9.2. Unless and until definitive, fully registered
Certificated Preferred Securities have been issued to the beneficial owners in any Global Preferred Security pursuant to Section 9.2: 
  
 (a) the provisions of this Section 9.4 shall be in full force and effect; 
  

 48 

 (b) the Trust and the Trustees shall be entitled to deal with the Clearing Agency for all
purposes of this Declaration in respect of Global Preferred Securities (including the payment of Distributions on the Global Preferred Securities and receiving approvals, votes or consents hereunder) as the Holder of the Preferred Securities and the
sole holder of the Global Certificate and shall have no obligation to the beneficial owners in any Global Preferred Security; 
  
 (c) to the extent that the provisions of this Section 9.4 conflict with any other provisions of this Declaration, the provisions of this
Section 9.4 shall control; and 
  
 (d) the rights
of the beneficial owners in any Global Preferred Security shall be exercised only through the Clearing Agency and shall be limited to those established by law and agreements between such beneficial owners in any Global Preferred Security and the
Clearing Agency and/or the Clearing Agency Participants and receive and transmit payments of Distributions on the Global Certificate to such Clearing Agency Participants. DTC will make book-entry transfers among the Clearing Agency Participants.

  
 SECTION 9.5 Notices to Clearing
Agency. 
  
 Whenever a notice or other communication to the
Preferred Security Holders is required under this Declaration, the Trustees shall give all such notices and communications specified herein to be given to the Holders of Global Preferred Securities to the Clearing Agency, and shall have no notice
obligations to the beneficial owners in any Global Preferred Security. 
  
 SECTION 9.6 Appointment of Successor Clearing Agency. 
  
 If any Clearing Agency elects to discontinue its services as securities depositary with respect to the Preferred Securities, the Administrative Trustees may, in their sole discretion, appoint a successor Clearing
Agency with respect to such Preferred Securities. 
  
 ARTICLE X

 LIMITATION OF LIABILITY OF HOLDERS OF SECURITIES, TRUSTEES OR OTHERS 
  
 SECTION 10.1 Liability. 
  
 (a) Except as expressly set forth in this Declaration, the
Securities Guarantee and the terms of the Securities, the Initial Purchaser of Common Securities shall not be: 
  
 (i) personally liable for the return of any portion of the capital contributions (or any return thereon) of the Holders which shall be
made solely from assets of the Trust; and 
  
 (ii) required to pay to the Trust or to any Holder any deficit upon dissolution of the Trust or otherwise. 
  

 49 

 (b) The Debenture Issuer, in its capacity as such, shall be liable for all of the debts
and obligations of the Trust (other than in respect of the Securities) as provided in the Indenture. 
  
 (c) Pursuant to Section 3803(a) of the Statutory Trust Act, the Holders shall be entitled to the same limitation of personal liability
extended to stockholders of private corporations for profit organized under the General Corporation Law of the State of Delaware. 
  
 SECTION 10.2 Exculpation. 
  
 (a) No Indemnified Person shall be liable, responsible or accountable in damages or otherwise to the Trust or any Covered Person for any
loss, damage or claim incurred by reason of any act or omission performed or omitted by such Indemnified Person in good faith on behalf of the Trust and in a manner such Indemnified Person reasonably believed to be within the scope of the authority
conferred on such Indemnified Person by this Declaration or by law, except that an Indemnified Person shall be liable for any such loss, damage or claim incurred by reason of such Indemnified Person’s gross negligence or willful misconduct with
respect to such acts or omissions. 
  
 (b) An
Indemnified Person shall be fully protected in relying in good faith upon the records of the Trust and upon such information, opinions, reports or statements presented to the Trust by any Person as to matters the Indemnified Person reasonably
believes are within such other Person’s professional or expert competence and who has been selected with reasonable care by or on behalf of the Trust, including information, opinions, reports or statements as to the value and amount of the
assets, liabilities, profits, losses, or any other facts pertinent to the existence and amount of assets from which Distributions to Holders might properly be paid. 
  
 SECTION 10.3 Fiduciary Duty. 
  
 (a) To the extent that, at law or in equity, an Indemnified Person has duties (including fiduciary duties)
and liabilities relating thereto to the Trust or to any other Covered Person, an Indemnified Person acting under this Declaration shall not be liable to the Trust or to any other Covered Person for its good faith reliance on the provisions of this
Declaration. The provisions of this Declaration, to the extent that they restrict the duties and liabilities of an Indemnified Person otherwise existing at law or in equity (other than the duties imposed on the Property Trustee under the Trust
Indenture Act), are agreed by the parties hereto to replace such other duties and liabilities of such Indemnified Person. 
  
 (b) Unless otherwise expressly provided herein: 
  

(i) whenever a conflict of interest exists or arises between any Covered Persons; or 
  
 (ii) whenever this Declaration or any other agreement
contemplated herein or therein provides that an Indemnified Person shall act in a manner that is, or provides terms that are, fair and reasonable to the Trust or any Holder of Securities, 
  

 50 

 
the Indemnified Person shall resolve such conflict of interest, take such action or provide such terms, considering in each case the relative interest of
each party (including its own interest) to such conflict, agreement, transaction or situation and the benefits and burdens relating to such interests, any customary or accepted industry practices, and any applicable generally accepted accounting
practices or principles. In the absence of bad faith by the Indemnified Person, the resolution, action or term so made, taken or provided by the Indemnified Person shall not constitute a breach of this Declaration or any other agreement contemplated
herein or of any duty or obligation of the Indemnified Person at law or in equity or otherwise. 
  
 (c) Whenever in this Declaration an Indemnified Person is permitted or required to make a decision: 
  
 (i) in its “discretion” or under a grant of
similar authority, the Indemnified Person shall be entitled to consider such interests and factors as it desires, including its own interests, and shall have no duty or obligation to give any consideration to any interest of or factors affecting the
Trust or any other Person; or 
  
 (ii) in its
“good faith” or under another express standard, the Indemnified Person shall act under such express standard and shall not be subject to any other or different standard imposed by this Declaration. 
  
 SECTION 10.4 Indemnification. 
  
 (a) (i) The Debenture Issuer shall indemnify, to the full
extent permitted by law, any Company Indemnified Person who was or is a party or is threatened to be made a party to any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative or investigative (other
than an action by or in the right of the Trust) by reason of the fact that he is or was a Company Indemnified Person, against expenses (including attorneys’ fees and expenses), judgments, fines and amounts paid in settlement actually and
reasonably incurred by him in connection with such action, suit or proceeding if he acted in good faith and in a manner he reasonably believed to be in or not opposed to the best interests of the Trust, and, with respect to any criminal action or
proceeding, had no reasonable cause to believe his conduct was unlawful. The termination of any action, suit or proceeding by judgment, order, settlement, conviction, or upon a plea of nolo contendere or its equivalent, shall not, of itself, create
a presumption that the Company Indemnified Person did not act in good faith and in a manner which he reasonably believed to be in or not opposed to the best interests of the Trust, and, with respect to any criminal action or proceeding, had
reasonable cause to believe that his conduct was unlawful. 
  
 (ii) The Debenture Issuer shall indemnify, to the full extent permitted by law, any Company Indemnified Person who was or is a party or is threatened to be made a party to any threatened, pending or completed action
or suit by or in the right of the Trust to procure a judgment in its favor by reason of the fact that he is or was a Company Indemnified Person against expenses (including attorneys’ fees and expenses) actually and reasonably incurred by him in
connection with the defense or settlement of such action or suit if he acted in good faith and in a manner he reasonably believed to be in or not opposed to the best interests of the Trust and except that no such indemnification shall be made in
respect of any claim, issue or matter as 

  

 51 

 
to which such Company Indemnified Person shall have been adjudged to be liable to the Trust unless and only to the extent that the Court of Chancery of
Delaware or the court in which such action or suit was brought shall determine upon application that, despite the adjudication of liability but in view of all the circumstances of the case, such Person is fairly and reasonably entitled to indemnity
for such expenses which such Court of Chancery or such other court shall deem proper. 
  
 (iii) To the extent that a Company Indemnified Person shall be successful on the merits or otherwise (including dismissal of an action
without prejudice or the settlement of an action without admission of liability) in defense of any action, suit or proceeding referred to in paragraphs (i) and (ii) of this Section 10.4(a), or in defense of any claim, issue or matter therein, he
shall be indemnified, to the full extent permitted by law, against expenses (including attorneys’ fees) actually and reasonably incurred by him in connection therewith. 
  
 (iv) Any indemnification under paragraphs (i) and (ii) of this Section 10.4(a) (unless ordered by a court)
shall be made by the Debenture Issuer only as authorized in the specific case upon a determination that indemnification of the Company Indemnified Person is proper in the circumstances because he has met the applicable standard of conduct set forth
in paragraphs (i) and (ii). Such determination shall be made (1) by the Administrative Trustees by a majority vote of a Quorum consisting of such Administrative Trustees who were not parties to such action, suit or proceeding, (2) if such a Quorum
is not obtainable, or, even if obtainable, if a Quorum of disinterested Administrative Trustees so directs, by independent legal counsel in a written opinion, or (3) by the Common Security Holder of the Trust. 
  
 (v) Expenses (including attorneys’ fees and expenses)
incurred by a Company Indemnified Person in defending a civil, criminal, administrative or investigative action, suit or proceeding referred to in paragraphs (i) and (ii) of this Section 10.4(a) shall be paid by the Debenture Issuer in advance of
the final disposition of such action, suit or proceeding upon receipt of an undertaking by or on behalf of such Company Indemnified Person to repay such amount if it shall ultimately be determined that he is not entitled to be indemnified by the
Debenture Issuer as authorized in this Section 10.4(a). Notwithstanding the foregoing, no advance shall be made by the Debenture Issuer if a determination is reasonably and promptly made (i) by the Administrative Trustees by a majority vote of a
Quorum of disinterested Administrative Trustees, (ii) if such a Quorum is not obtainable, or, even if obtainable, if a Quorum of disinterested Administrative Trustees so directs, by independent legal counsel in a written opinion or (iii) the Common
Security Holder of the Trust, that, based upon the facts known to the Administrative Trustees, counsel or the Common Security Holder at the time such determination is made, such Company Indemnified Person acted in bad faith or in a manner that such
person did not believe to be in or not opposed to the best interests of the Trust, or, with respect to any criminal proceeding, that such Company Indemnified Person believed or had reasonable cause to believe his conduct was unlawful. In no event
shall any advance be made in instances where the Administrative Trustees, independent legal counsel or Common Security Holder reasonably determine that such person deliberately breached his duty to the Trust or its Common or Preferred Security
Holders. 
  
 (vi) The indemnification and
advancement of expenses provided by, or granted pursuant to, the other paragraphs of this Section 10.4(a) shall not be deemed exclusive of any 

  

 52 

 
other rights to which those seeking indemnification and advancement of expenses may be entitled under any agreement, vote of stockholders or disinterested
directors of the Debenture Issuer or Preferred Security Holders of the Trust or otherwise, both as to action in his official capacity and as to action in another capacity while holding such office. All rights to indemnification under this Section
10.4(a) shall be deemed to be provided by a contract between the Debenture Issuer and each Company Indemnified Person who serves in such capacity at any time while this Section 10.4(a) is in effect. Any repeal or modification of this Section 10.4(a)
shall not affect any rights or obligations then existing. 
  
 (vii) The Debenture Issuer or the Trust may purchase and maintain insurance on behalf of any person who is or was a Company Indemnified Person against any liability asserted against him and incurred by him in any such
capacity, or arising out of his status as such, whether or not the Debenture Issuer would have the power to indemnify him against such liability under the provisions of this Section 10.4(a). 
  
 (viii) For purposes of this Section 10.4(a), references to
“the Trust” shall include, in addition to the resulting or surviving entity, any constituent entity (including any constituent of a constituent) absorbed in a consolidation or merger, so that any person who is or was a director, trustee,
officer or employee of such constituent entity, or is or was serving at the request of such constituent entity as a director, trustee, officer, employee or agent of another entity, shall stand in the same position under the provisions of this
Section 10.4(a) with respect to the resulting or surviving entity as he would have with respect to such constituent entity if its separate existence had continued. 
  
 (ix) The indemnification and advancement of expenses provided by, or granted pursuant to, this Section
10.4(a) shall, unless otherwise provided when authorized or ratified, continue as to a person who has ceased to be a Company Indemnified Person and shall inure to the benefit of the heirs, executors and administrators of such a person. 

 
 (b) The Debenture Issuer agrees to indemnify the (i)
Property Trustee, (ii) the Delaware Trustee, (iii) any Affiliate of the Property Trustee or the Delaware Trustee, and (iv) any officers, directors, stockholders, members, partners, employees, representatives, custodians, nominees or agents of the
Property Trustee or the Delaware Trustee (each of the Persons in (i) through (iv) being referred to as a “Fiduciary Indemnified Person”) for, and to hold each Fiduciary Indemnified Person harmless against, any and all loss, liability,
damage, claim or expense including taxes (other than taxes based on the income of such Fiduciary Indemnified Person) incurred without negligence or bad faith on the part of such Fiduciary Indemnified Person, arising out of or in connection with the
acceptance or administration of the trust or trusts hereunder, including the costs and expenses (including reasonable legal fees and expenses) of defending against or investigating any claim or liability in connection with the exercise or
performance of any of the powers or duties of such Fiduciary Indemnified Person hereunder. The obligation to indemnify as set forth in this Section 10.4(b) shall survive the resignation or removal of the Property Trustee or the Delaware Trustee and
the satisfaction and discharge of this Declaration. 
  

 53 

 SECTION 10.5 Outside Businesses. 
  
 Any Covered Person, the Initial Purchaser of Common Securities, the Delaware
Trustee and the Property Trustee may engage in or possess an interest in other business ventures of any nature or description, independently or with others, similar or dissimilar to the business of the Trust, and the Trust and the Holders shall have
no rights by virtue of this Declaration in and to such independent ventures or the income or profits derived therefrom, and the pursuit of any such venture, even if competitive with the business of the Trust, shall not be deemed wrongful or
improper. No Covered Person, the Initial Purchaser of Common Securities, the Delaware Trustee, or the Property Trustee shall be obligated to present any particular investment or other opportunity to the Trust even if such opportunity is of a
character that, if presented to the Trust, could be taken by the Trust, and any Covered Person, the Initial Purchaser of Common Securities, the Delaware Trustee and the Property Trustee shall have the right to take for its own account (individually
or as a partner or fiduciary) or to recommend to others any such particular investment or other opportunity. Any Covered Person, the Delaware Trustee and the Property Trustee may engage or be interested in any financial or other transaction with the
Initial Purchaser of Common Securities or any Affiliate of the Initial Purchaser of Common Securities, or may act as depositary for, trustee or agent for, or act on any committee or body of holders of, securities or other obligations of the Initial
Purchaser of Common Securities or its Affiliates. 
  
 SECTION 10.6 Compensation; Fees. 
  
 The
Debenture Issuer agrees: 
  
 (a) to pay to the
Trustees from time to time such compensation for all services rendered by them hereunder as the parties shall agree in writing from time to time (which compensation shall not be limited by any provision of law in regard to the compensation of a
trustee of an express trust); and 
  
 (b) except
as otherwise expressly provided herein, to reimburse the Trustees upon request for all reasonable expenses, disbursements and advances incurred or made by the Trustees in accordance with any provision of this Declaration (including the reasonable
compensation and the expenses and disbursements of their respective agents and counsel), except any such expense, disbursement or advance as may be attributable to its negligence or bad faith. 
  
 The provisions of this Section 10.6 shall survive the dissolution of the Trust and the
termination of this Declaration and the removal or resignation of any Trustee. 
  
 No Trustee may claim any lien or charge on any property of the Trust as a result of any amount due pursuant to this Section 10.6. 
  

 54 

  
 ARTICLE XI 

ACCOUNTING 
  
 SECTION 11.1 Fiscal Year. 
  
 The fiscal year (“Fiscal Year”) of the Trust shall be the calendar year, or such other year as is required by the Code. 
  
 SECTION 11.2 Certain Accounting Matters. 

 
 (a) At all times during the existence of the Trust, the
Administrative Trustees shall keep, or cause to be kept, full books of account, records and supporting documents, which shall reflect in reasonable detail each transaction of the Trust. The books of account shall be maintained on the accrual method
of accounting, in accordance with generally accepted accounting principles, consistently applied. The Trust shall use the accrual method of accounting for United States federal income tax purposes. The books of account and the records of the Trust
shall be examined by and reported upon as of the end of each Fiscal Year of the Trust by a firm of independent certified public accountants selected by the Administrative Trustees. 
  
 (b) The Administrative Trustees shall cause to be duly prepared and delivered to each of the Holders, any
annual United States federal income tax information statement, required by the Code, containing such information with regard to the Securities held by each Holder as is required by the Code and the Treasury Regulations. Notwithstanding any right
under the Code to deliver any such statement at a later date, the Administrative Trustees shall endeavor to deliver all such information statements within 30 days after the end of each Fiscal Year of the Trust. 
  
 (c) The Administrative Trustees shall cause to be duly
prepared and filed with the appropriate taxing authority, an annual United States federal income tax return, on a Form 1041 or such other form required by United States federal income tax law, and any other annual income tax returns required to be
filed by the Administrative Trustees on behalf of the Trust with any state or local taxing authority. 
  
 SECTION 11.3 Banking. 
  
 The Trust may maintain one or more bank accounts in the name and for the sole benefit of the Trust; provided, however, that all payments of funds in
respect of the Debentures held by the Property Trustee shall be made directly to the Property Trustee Account and no other funds of the Trust shall be deposited in the Property Trustee Account. The sole signatories for such accounts shall be
designated by the Administrative Trustees; provided, however, that the Property Trustee shall designate the signatories for the Property Trustee Account. 
  
 SECTION 11.4 Withholding. 
  
 The Trust and the Administrative Trustees shall comply with all withholding requirements under United States federal, state and local law. The Trust shall
request, and the Holders shall provide to the Trust, such forms or certificates as are necessary to establish an 

  

 55 

 
exemption from withholding with respect to each Holder, and any representations and forms as shall reasonably be requested by the Trust to assist it in
determining the extent of, and in fulfilling, its withholding obligations. The Administrative Trustees shall file required forms with applicable jurisdictions and, unless an exemption from withholding is properly established by a Holder, shall remit
amounts withheld with respect to the Holder to applicable jurisdictions. To the extent that the Trust is required to withhold and pay over any amounts to any authority with respect to Distributions or allocations to any Holder, the amount withheld
shall be deemed to be a Distribution in the amount of the withholding to the Holder. In the event of any claim of excess withholding, Holders shall be limited to an action against the applicable jurisdiction. If the amount required to be withheld
was not withheld from actual Distributions made, the Trust may reduce subsequent Distributions by the amount of such withholding. 
  
 ARTICLE XII 
 AMENDMENTS AND MEETINGS

  
 SECTION 12.1 Amendments.

  
 (a) Except as otherwise provided in this
Declaration or by any applicable terms of the Securities, this Declaration may be amended from time to time by the Initial Purchaser of Common Securities, the Property Trustee and the Administrative Trustees, without the consent of the Holders of
the Securities (i) to provide for the acceptance of appointment by a successor trustee as permitted hereby, (ii) to cure any ambiguity, correct or supplement any provision in the Declaration that may be defective or inconsistent with any other
provision, or to make any other provisions with respect to matters or questions arising under the Declaration, which shall not be inconsistent with the other provisions of the Declaration, (iii) to modify, eliminate or add to any provisions of the
Declaration to such extent as shall be necessary to ensure that the Trust will not be taxable as a corporation or will be classified for United States federal income tax purposes as a grantor trust at all times that any Securities are outstanding or
to ensure that the Trust will not be an “investment company” under the Investment Company Act, or (iv) add to the covenants, restrictions or obligations of the Initial Purchaser of Common Securities; provided, however, that such action
shall not adversely affect in any material respect the interests of any Holders of the Securities and any such amendments of the Declaration shall become effective when notice thereof is given to the Holders of the Securities. 
  
 (b) Except as provided in (c) below, and the terms of the
Securities, this Declaration may be amended by the Trustees and the Initial Purchaser of Common Securities with (i) the consent of Holders representing not less than a Majority in liquidation amount of the outstanding Securities; provided that, if
any amendment would adversely affect only the holders of the Preferred Securities or the Common Securities, then only the affected class shall be entitled to vote on such amendment and such amendment shall not be effective except with the approval
of a Majority in liquidation amount of such class of securities affected thereby, and (ii) receipt by the Trustees of an opinion of Counsel experienced in such matters to the effect that such amendment or the exercise of any power granted to the
Trustees in accordance with such amendment will not affect the Trust’s status as a grantor trust for United States federal income tax purposes or the Trust’s exemption from status as an “investment company” under the Investment
Company Act. 
  

 56 

 (c) Without the consent of each Holder of Securities, the Declaration may not be amended
to (i) change the amount or timing of any Distribution on the Securities or otherwise adversely affect the amount of any Distribution required to be made in respect of the securities as of a specified date, (ii) change the conversion ratio of the
Preferred Securities except as provided in the Indenture, (iii) change any of the redemption provisions or (iv) restrict the right of a Holder of Securities to institute suit for the enforcement of any payment on or after the specified date.

  
 SECTION 12.2 Meetings of the Holders;
Action by Written Consent. 
  
 (a) Meetings
of the Holders of any class of Securities may be called at any time by the Administrative Trustees (or as provided in the terms of the Securities) to consider and act on any matter on which Holders of such class of Securities are entitled to act
under the terms of this Declaration, the terms of the Securities or the rules of any stock exchange on which the Preferred Securities are listed or admitted for trading.; provided, however, that no such meeting shall be held within the Commonwealth
of Massachusetts. The Administrative Trustees shall call a meeting of the Holders of such class if directed to do so by the Holders of at least 10% in liquidation amount of such class of Securities. Such direction shall be given by delivering to the
Administrative Trustees one or more notices in writing stating that the signing Holders wish to call a meeting and indicating the general or specific purpose for which the meeting is to be called. Any Holders calling a meeting shall specify in
writing the Security Certificates held by the Holders exercising the right to call a meeting and only those Securities specified shall be counted for purposes of determining whether the required percentage set forth in the second sentence of this
paragraph has been met. 
  
 (b) Except to the
extent otherwise provided in the terms of the Securities, the following provisions shall apply to meetings of Holders: 
  
 (i) the Property Trustee will cause a notice to be given of any such meeting shall be given to all the Holders having a right to vote
thereat at least seven days and not more than 60 days before the date of such meeting. Whenever a vote, consent or approval of the Holders is permitted or required under this Declaration or the rules of any stock exchange on which the Preferred
Securities are listed or admitted for trading, such vote, consent or approval may be given at a meeting of the Holders. Any action that may be taken at a meeting of the Holders may be taken without a meeting if a consent in writing setting forth the
action so taken is signed by the Holders owning not less than the minimum amount of Securities in liquidation an amount that would be necessary to authorize or take such action at a meeting at which all Holders having a right to vote thereon were
present and voting. Prompt notice of the taking of action without a meeting shall be given to the Holders entitled to vote who have not consented in writing. The Trustees may specify that any written ballot submitted to the Security Holder for the
purpose of taking any action without a meeting shall be returned to the Trust within the time specified by the Trustees; 
  
 (ii) each Holder may authorize any Person to act for it by proxy on all matters in which a Holder is entitled to participate, including
waiving notice of any meeting, or voting or participating at a meeting. No proxy shall be valid after the expiration of 11 

  

 57 

 
months from the date thereof unless otherwise provided in the proxy. Every proxy shall be revocable at the pleasure of the Holder executing it. Except as
otherwise provided herein, all matters relating to the giving, voting or validity of proxies shall be governed by the General Corporation Law of the State of Delaware relating to proxies, and judicial interpretations thereunder, as if the Trust were
a Delaware corporation and the Holders were stockholders of a Delaware corporation. The Holder of a Global Preferred Security may grant proxies and otherwise authorize any Person, including Participants and Persons that may hold interests through
Participants, to take any action which such Holder is entitled to take under this Declaration or the Securities; 
  
 (iii) each meeting of the Holders shall be conducted by the Administrative Trustees or by such other Person that the Administrative
Trustees may designate; and 
  
 (iv) unless the
Statutory Trust Act, this Declaration, the terms of the Securities, the Trust Indenture Act or the listing rules of any stock exchange on which the Preferred Securities are then listed or traded, otherwise provides, the Administrative Trustees, in
their sole discretion, shall establish all other provisions relating to meetings of Holders, including notice of the time, place or purpose of any meeting at which any matter is to be voted on by any Holders, waiver of any such notice, action by
consent without a meeting, the establishment of a record date, quorum requirements, voting in person or by proxy or any other matter with respect to the exercise of any such right to vote. 
  
 ARTICLE XIII 
 REPRESENTATIONS OF PROPERTY TRUSTEE AND DELAWARE TRUSTEE 
  
 SECTION 13.1 Representations and Warranties of Property Trustee. 
  
 The Trustee that acts as initial Property Trustee represents and warrants to the Trust and to the Initial Purchaser of
Common Securities at the date of this Declaration at the Closing Time and each Successor Property Trustee represents and warrants to the Trust and the Initial Purchaser of Common Securities at the time of the Successor Property Trustee’s
acceptance of its appointment as Property Trustee that: 
  
 (a) The Property Trustee is a Georgia banking corporation, with corporate power and authority to execute and deliver, and to carry out and perform its obligations under the terms of, this Declaration; 
  
 (b) The execution, delivery and performance by the Property
Trustee of this Declaration has been duly authorized by all necessary corporate action on the part of the Property Trustee. This Declaration has been duly executed and delivered by the Property Trustee and constitutes a legal, valid and binding
obligation of the Property Trustee, enforceable against it in accordance with its terms, subject to applicable bankruptcy, reorganization, moratorium, insolvency, and other similar laws affecting creditors’ rights generally and to general
principles of equity and the discretion of the court (regardless of whether the enforcement of such remedies is considered in a proceeding in equity or at law); 
  

 58 

 (c) The execution, delivery and performance of this Declaration by the Property Trustee
does not conflict with or constitute a breach of the charter or by-laws of the Property Trustee; 
  
 (d) No consent, approval or authorization of, or registration with or notice to, any state or federal banking authority is required for
the execution, delivery or performance by the Property Trustee of this Declaration; and 
  
 (e) The Property Trustee satisfied the qualification set forth in Section 5.3. 
  
 SECTION 13.2 Representations and Warranties of Delaware
Trustee. 
  
 The Trustee that acts as initial Delaware
Trustee represents and warrants to the Trust and to the Initial Purchaser of Common Securities at the date of this Declaration and at the Closing Time and each Successor Delaware Trustee represents and warrants to the Trust and the Initial Purchaser
of Common Securities at the time of the Successor Delaware Trustee’s acceptance of its appointment as Delaware Trustee that: 
  
 (a) The Delaware Trustee is a Delaware corporation duly organized, validly existing and in good standing under the laws of the State of
Delaware, with corporate power and authority to execute and deliver, and to carry out and perform its obligations under the terms of, this Declaration; 
  
 (b) The execution, delivery and performance by the Delaware Trustee of this Declaration has been duly authorized by all necessary
corporate action on the part of the Delaware Trustee. This Declaration has been duly executed and delivered by the Delaware Trustee and constitutes a legal, valid and binding obligation of the Delaware Trustee, enforceable against it in accordance
with its terms, subject to applicable bankruptcy, reorganization, moratorium, insolvency, and other similar laws affecting creditors’ rights generally and to general principles of equity and the discretion of the court (regardless of whether
the enforcement of such remedies is considered in a proceeding in equity or at law); 
  
 (c) The execution, delivery and performance of this Declaration by the Delaware Trustee does not conflict with or constitute a breach of
the certificate of incorporation or by-laws of the Delaware Trustee; 
  
 (d) No consent, approval or authorization of, or registration with or notice to, any federal banking authority is required for the execution, delivery or performance by the Delaware Trustee of this Declaration; and

  
 (e) The Delaware Trustee is a natural person
who is a resident of the State of Delaware or, if not a natural person, an entity which has its principal place of business in the State of Delaware. 
  

 59 

  
 ARTICLE XIV

 REGISTRATION RIGHTS 
  
 SECTION 14.1 Registration Rights. 
  
 The Holders of the Preferred Securities, the Debentures, the Guarantee Agreement and the shares of common stock of the Initial Purchaser of Common
Securities issuable upon conversion of the Preferred Securities are entitled to the benefits of a Registration Rights Agreement as set forth in the Purchase Agreement, the Registration Rights Agreement and the Indenture. 
  
 ARTICLE XV 
 MISCELLANEOUS 
  

	SECTION	15.1 Notices. 

  
 All notices provided for in this Declaration shall be in writing, duly signed by the party giving such notice, and shall be delivered, telecopied or
mailed by first-class mail, overnight courier service or confirmed telecopy, as follows: 
  
 (a) if given to the Trust, in care of the Administrative Trustees at the Trust’s mailing address set forth below (or such other
address as the Trust may give notice of to the Property Trustee, the Delaware Trustee and the Holders): 
  
 c/o Borel Private Bank & Trust Company 
 160 Bovet Road 
 San Mateo, CA 94402 
 Fax: (650) 378-3774 
 Tel: (650) 378-3638 
 Attention: Emanuela M. Allgood 
  
 (b) if given to the Delaware Trustee, at the mailing address set forth below (or such other address as Delaware Trustee may give notice of
to the Holders): 
  
 SunTrust Delaware Trust
Company 
 c/o SunTrust Bank 
 25 Park Place, 24th Floor 
 Atlanta, Georgia 30303 
 Fax: (404) 588-7335 
 Telephone: (404) 588-7591 
 Attention: George Hogan 
  

 60 

 (c) if given to the Property Trustee, at the Property Trustee’s mailing address set
forth below (or such other address as the Property Trustee may give notice of to the Holders): 
  
 SunTrust Bank 
 25 Park Place, 24th Floor 
 Atlanta,
Georgia 30303 
 Fax: (404) 588-7335 
 Telephone: (404) 588-7591 
 Attention: George Hogan 
  
 (d) if given to the Holder of the Common Securities, at the mailing address of the Initial Purchaser of
Common Securities set forth below (or such other address as the Holder of the Common Securities may give notice to the Property Trustee and the Trust): 
  
 Boston Private Financial Holdings, Inc. 
 Ten
Post Office Square 
 Boston, Massachusetts 02109 
 Telecopy: (617) 912-4491 
 Telephone: (617) 646-4822 
 Attention: Margaret W. Chambers, Esq. 
  
 (e) if given to Initial Purchaser of Common Securities, at the mailing address of the Initial Purchaser of Common Securities set forth
below (or such other address as the Initial Purchaser of Common Securities may give notice to the Property Trustee and the Trust): 
  
 Boston Private Financial Holdings, Inc. 
 Ten
Post Office Square 
 Boston, Massachusetts 02109 
 Telecopy: (617) 912-4491 
 Telephone: (617) 646-4822 
 Attention: Megan W. Chambers, Esq. 
  
 (f) if given to any other Holder, at the address set forth on the books and records of the Trust or the Registrar, as applicable.

  
 All such notices shall be deemed to have been given when received in person,
faxed with receipt confirmed, or mailed by first-class mail, postage prepaid except that if a notice or other document is refused delivery or cannot be delivered because of a changed address of which no notice was given, such notice or other
document shall be deemed to have been delivered on the date of such refusal or inability to deliver. 
  
 SECTION 15.2 Governing Law. 
  
 This Declaration and the rights of the parties hereunder shall be governed by and interpreted in accordance with the laws of the State of Delaware and all
rights and remedies shall be governed by such laws without regard to principles of conflict of laws. 
  

 61 

 SECTION 15.3 Intention of the Parties. 
  
 It is the intention of the parties hereto that the Trust be classified for
United States federal income tax purposes as a grantor trust. The provisions of this Declaration shall be interpreted to further this intention of the parties. 
  

SECTION 15.4 Headings. 
  
 Headings contained in this Declaration are inserted for convenience of reference only and do not affect the interpretation of this Declaration or any
provision hereof. 
  
 SECTION 15.5 Successors
and Assigns. 
  
 Whenever in this Declaration any of the
parties hereto is named or referred to, the successors and assigns of such party shall be deemed to be included, and all covenants and agreements in this Declaration by the Initial Purchaser of Common Securities and the Trustees shall bind and inure
to the benefit of their respective successors and assigns, whether so expressed. 
  
 SECTION 15.6 Partial Enforceability. 
  
 If any provision of this Declaration, or the application of such provision to any Person or circumstance, shall be held invalid, the remainder of this
Declaration, or the application of such provision to persons or circumstances other than those to which it is held invalid, shall not be affected thereby. 
  
 SECTION 15.7 Counterparts. 
  
 This Declaration may contain more than one counterpart of the signature page and this Declaration may be executed by the affixing of the signature of each
of the Trustees to one of such counterpart signature pages. All of such counterpart signature pages shall be read as though one, and they shall have the same force and effect as though all of the signers had signed a single signature page.

  
 [Remainder of Page Intentionally Left Blank] 
  

 62 

 IN WITNESS WHEREOF, the undersigned has caused these presents to be executed as of the day and year first
above written. 
  

			
		
	 By:
	 	 /s/ Jonathan H. Parker

	 	 	 Name: Jonathan H. Parker

	 	 	 Title: Administrative Trustee

		
	 By:
	 	 /s/ Carissa J. S. Barber

	 	 	 Name: Carissa J. S. Barber

	 	 	 Title: Administrative Trustee

		
	 By:
	 	 /s/ Emanuela M. Allgood

	 	 	 Name: Emanuela M. Allgood

	 	 	 Title: Administrative Trustee

	
	 SunTrust Delaware Trust Company,
 as Delaware Trustee

		
	By:	 	 /s/ M. Lisa Wilkins

	 	 	 Name: M. Lisa Wilkins

	 	 	 Title: Vice President

	
	 SunTrust Bank,
 as Property Trustee

		
	By:	 	 /s/ George Hogan

	 	 	 Name: George Hogan

	 	 	 Title: Vice President

	
	BOSTON PRIVATE FINANCIAL HOLDINGS, INC.,
	as Initial Purchaser of Common Securities and Debenture Issuer
		
	By:	 	 /s/ Walter M. Pressey

	 	 	 Name: Walter M. Pressey

	 	 	 Title: President and Chief Financial Officer

  

  
 ANNEX I 
  
 TERMS OF 
 4.875% CONVERTIBLE TRUST PREFERRED SECURITIES 
 (LIQUIDATION AMOUNT $50.00 PER
SECURITY) 
 AND 
 4.875% COMMON SECURITIES 
 (LIQUIDATION AMOUNT $50.00 PER SECURITY) 
  
 Pursuant to Section 7.1 of the Amended and Restated Declaration of Trust,
dated as of October 12, 2004 (as amended from time to time, the “Declaration”), the designation, rights, privileges, restrictions, preferences and other terms and provisions of the Securities are set out below (each capitalized term used
but not defined herein has the meaning set forth in the Declaration or, if not defined in such Declaration, as defined in the Offering Memorandum): 
  

	 	1.	Designation and Number. 

  
 (a) Preferred Securities. Up to 2,100,000 4.875% Preferred Securities of the Trust with an aggregate liquidation amount with
respect to the assets of the Trust of One Hundred and Five Million Dollars ($105,000,000), and with a liquidation amount with respect to the assets of the Trust of $50.00 per security, are hereby designated for the purposes of identification only as
Preferred Securities. The certificates evidencing the Preferred Securities shall be substantially in the form of Exhibit A-1 to the Declaration, with such changes and additions thereto or deletions therefrom as may be required by ordinary usage,
custom or practice or to conform to the rules of any exchange or quotation system on or in which the Preferred Securities are listed, traded or quoted, if any. 
  

(b) Common Securities. Up to 64,952 4.875% Common Securities of the Trust with an aggregate liquidation amount with respect to
the assets of the Trust of THREE MILLION TWO HUNDRED FORTY SEVEN THOUSAND SIX HUNDRED Dollars ($3,247,600) and a liquidation amount with respect to the assets of the Trust of $50.00 per security, are hereby designated for the purposes of
identification only as Common Securities. The certificates evidencing the Common Securities shall be substantially in the form of Exhibit A-2 to the Declaration, with such changes and additions thereto or deletions therefrom as may be required by
ordinary usage, custom or practice. 
  

	 	2.	Distributions. 

  
 (a) Distributions payable on each Security will be fixed at a rate per annum of 4.875% (the “Coupon Rate”) of the liquidation
amount of $50.00 per Security (the “Liquidation Amount”), such rate being the rate of interest payable on the Debentures to be held by the Property Trustee. Distributions in arrears will bear additional distributions thereon compounded
quarterly at the Coupon Rate (to the extent permitted by applicable law). A Distribution is payable only to the extent that payments are made in respect of the Debentures held by the Property Trustee and to the extent the Property Trustee has funds
on hand legally available therefor. 
  

 I-1 

 (b) Distributions on the Securities will be cumulative, will accumulate from the date of
their original issuance, and will be payable quarterly in arrears on January 1, April 1, July 1 and October 1 of each year, commencing on January 1, 2005 (each, a “Distribution Date”), except as otherwise described below. Distributions
will be computed on the basis of a 360-day year consisting of twelve 30-day months, and, for any period shorter than a full quarterly period will be computed on the basis of a 30-day month, and for periods of less than a month, the actual number of
days elapsed per 30-day month. As long as no event of default has occurred and is continuing under the Indenture, the Debenture Issuer has the right under the Indenture to defer payments of interest by extending the interest payment period at any
time and from time to time on the Debentures for a period not exceeding 20 consecutive quarterly periods, including the first such quarterly period during such period (each an “Extension Period”), during which Extension Period no interest
shall be due and payable on the Debentures, provided that no Extension Period shall end on a date other than an Interest Payment Date for the Debentures or extend beyond the stated maturity date of the Debentures or any redemption dated therefor. As
a consequence of such deferral, Distributions will also be deferred. Despite such deferral, Distributions will continue to accumulate with additional Distributions thereon (to the extent permitted by applicable law but not at a rate greater than the
rate at which interest is then accruing on the Debentures) at the Coupon Rate compounded quarterly during any such Extension Period. Prior to the termination of any such Extension Period, the Debenture Issuer may further defer payments of interest
by further extending such Extension Period; provided that such Extension Period, together with all such previous and further extensions within such Extension Period, may not exceed 20 consecutive quarterly periods, including the first quarterly
period during such Extension Period, or extend beyond the stated maturity date of the Debentures or any redemption dated therefor. Upon the termination of any Extension Period and the payment of all amounts then due, the Debenture Issuer may
commence a new Extension Period, subject to the above requirements. If the Property Trustee shall be the only holder of the Debentures, the Debenture Issuer shall give the Administrative Trustees, the Property Trustee and the Debenture Trustee (as
defined in the Indenture) notice of its election to defer interest payments or to extend an Extension Period at least five Business Days prior to the earlier of: 
  

	 	•	the next date on which Distributions on the Preferred securities are payable, or 

  

	 	•	the date the Property Trustee is required to give notice of the record date or the payment date of such related Distributions for the first quarter of such Extension Period to any
national stock exchange or other organization on which the Preferred Securities are listed or quoted, if any, or to Holders of the Preferred Securities as of the record date or the distribution date. 

  
 The Property Trustee will notify holders of the Preferred Securities of the Debenture
Issuer’s election to begin a new or extend an Extension Period. 
  
 (c) Distributions on the Securities (other than Distributions on a redemption date) will be payable to the Holders thereof as they appear on the books and records of the Trust as of 5:00 p.m., New York City time, on
the fifteenth day of the month, whether or not a Business Day, in the month prior to which the relevant Distribution Date occurs (or would have occurred but for the fact that the date such Distribution was payable was not a Business Day), which
Distribution Dates correspond to the interest payment dates on the Debentures. The 

  

 I-2 

 
relevant record dates for the Common Securities shall be the same as the record dates for the Preferred Securities. Distributions payable on any Securities
that are not punctually paid on any Distribution Date, as a result of the Debenture Issuer having failed to make a payment under the Debentures, will cease to be payable to the Holder on the relevant record date, and such defaulted Distribution will
instead be payable to the Person in whose name such Securities are registered on the special record date or other specified date determined in accordance with the Indenture. If any date on which Distributions are payable on the Securities is not a
Business Day, then payment of the Distribution payable on such date will be made on the next succeeding day that is a Business Day (and without any interest or other payment in respect of any such delay), except that if such next succeeding Business
Day is in the next succeeding calendar year, such payment shall be made on the immediately preceding Business Day with the same force and effect as if made on such date. 
  
 (d) In the event that there is any money or other property held by or for the Trust that is not accounted
for hereunder, such property shall be distributed Pro Rata (as defined herein) among the Holders. 
  

	 	3.	Liquidation Distribution Upon Termination. 

  
 In the event of any termination of the Trust other than upon the occurrence of events specified in Sections 8.1(a)(v), (vi) or (viii) of
the Declaration, or if the Initial Purchaser of Common Securities otherwise gives notice of its election to liquidate the Trust pursuant to Section 8.1(a)(iii) of the Declaration, the Trust shall be liquidated by the Administrative Trustees as
expeditiously as the Administrative Trustees determine to be possible by distributing to the Holders, after satisfaction of liabilities to creditors of the Trust as provided by applicable law, a Like Amount (as defined below) of the Debentures,
unless such distribution is determined by the Property Trustee not to be practicable, in which event such Holders will be entitled to receive Pro Rata out of the assets of the Trust legally available for distribution to Holders an amount in cash or
immediately available funds equal to the aggregate of the liquidation amount of $50.00 per Security plus accumulated and unpaid Distributions thereon to the date of payment, after satisfaction of liabilities to creditors of the Trust as provided by
applicable law (such amount being the “Liquidation Distribution”). If the Debentures are distributed to the holders of the Preferred Securities, the Debenture Issuer will use its reasonable best efforts to cause the Debentures to be listed
on the market or exchange on which the Preferred Securities are then listed, if any. 
  
 “Like Amount” means (i) with respect to a redemption of the Securities, Securities having a Liquidation Amount equal to the
principal amount of Debentures to be paid in accordance with their terms and (ii) with respect to a distribution of Debentures upon the liquidation of the Trust, Debentures having a principal amount equal to the Liquidation Amount of the Securities
of the Holder to whom such Debentures are distributed. 
  
 If, upon any such liquidation, the Liquidation Distribution can be paid only in part because the Trust has insufficient assets on hand legally available to pay in full the aggregate Liquidation Distribution, then the amounts payable
directly by the Trust on the Securities shall be paid on a Pro Rata basis. 
  

 I-3 

 On and from the date fixed by the Administrative Trustees for any distribution of
Debentures and liquidation of the Trust: (i) the Securities will no longer be deemed to be outstanding, (ii) the Clearing Agency or its nominee (or any successor Clearing Agency or its nominee), as the Holder of the Preferred Securities, will
receive a registered global certificate or certificates representing the Debentures to be delivered upon such distribution, and (iii) any certificates representing Securities not held by the Clearing Agency or its nominee (or any successor Clearing
Agency or its nominee) will be deemed to represent beneficial interests in a Like Amount of Debentures bearing an interest rate identical to the distribution rate of those Preferred Securities, and bearing accrued and unpaid interest in an amount
equal to the accumulated and unpaid Distributions on those Preferred Securities until such certificates are presented to the Debenture Issuer or its agent for transfer or reissue. 
  

	 	4.	Redemption and Distribution. 

  
 (a) Upon the redemption of the Debentures in whole or in part, at maturity or otherwise (either at the option of the Debenture Issuer or
pursuant to a Special Event, as described below), the proceeds from such redemption shall be simultaneously applied by the Property Trustee (subject to the Property Trustee having received written notice no later than 45 days prior to such
redemption) to redeem a Like Amount of the Securities, at the Redemption Price (as defined below). 
  
 (b) (i) The “Redemption Price,” with respect to a redemption of Securities, shall mean an amount equal to 100% of the
Liquidation Amount of Securities to be redeemed, plus accrued and unpaid Distributions on the Securities, if any, to the date of such redemption. 
  
 (ii) If fewer than all the outstanding Securities are to be so redeemed, the Securities to be redeemed will be determined as described in
Section 5(a)(ii) below. 
  
 (c) The Debenture
Issuer may redeem the Debentures, subject to conditions set forth in the Indenture, prior to maturity, in whole or in part, on one or more occasions at any time on or after October 1, 2009 if the Closing Price (as defined in the Indenture) of Common
Stock (as defined in Section 6 of this Annex I) for 20 Trading Days (as defined in the Indenture) in a period of 30 consecutive Trading Days ending on the Trading Day prior to the mailing of the notice of redemption exceeds 130% of the then
prevailing Conversion Price (as defined in the Indenture). 
  
 (d) If at any time an Investment Company Act, a Tax Event or a Regulatory Capital Event (each as defined below, and each a “Special Event”) occurs, the Debenture Issuer shall have the right (subject to the
conditions set forth in the Indenture) at any time to redeem the Debentures in whole, but not in part, following the occurrence of such Special Event. 
  
 “Investment Company Event” means the Initial Purchaser of Common Securities and the Trust shall have received an opinion of
independent securities counsel experienced in such matters to the effect that, as a result of (i) any amendment to, or change (including any announced prospective change) in, any laws or regulations of the United States or any rules, guidelines or
policies of any applicable regulatory agency or authority; or (ii) any official administrative pronouncement or judicial decision interpreting or applying such laws or 

  

 I-4 

 
regulations, which amendment or change is effective or which pronouncement or decision is announced on or after the date the Trust Preferred Securities are
first issued, the Trust is, or within 90 days of the date of the opinion will be, considered an investment company that is required to be registered under the Investment Company Act. 
  
 A “Tax Event” shall occur upon receipt by the Debenture Issuer and the Trust of an opinion of
independent tax counsel experienced in such matters to the effect that, as a result of any amendment to, change in or announced prospective change in, the laws (or regulations thereunder) of the United States or any political subdivision or taxing
authority thereof or therein, or any official administrative pronouncement or judicial decision interpreting or applying such laws or regulations, which amendment or change is effective or which pronouncement or decision is announced on or after the
date the Preferred Securities are initially issued and sold, there is more than an insubstantial risk that (i) the Trust is, or will be within 90 days of the date of such opinion, subject to United States federal income tax with respect to interest
received or accrued on the Debentures, (ii) interest payable by the Debenture Issuer on the Debentures is not, or within 90 days of the date of such opinion, will not be, deductible by the Debenture Issuer, in whole or in part, for United States
federal income tax purposes, or (iii) the Trust is, or will be within 90 days of the date of such opinion, subject to more than a de minimis amount of other taxes, duties or other governmental charges. 
  
 “Regulatory Capital Event” shall mean that the
Debenture Issuer shall have received an opinion of independent bank regulatory counsel experienced in such matters to the effect that, as a result of (i) any amendment to, or change (including any announced prospective change) in, the laws or any
regulations of the United States or any rules, guidelines or policies of any applicable regulatory agency or authority; or (ii) any official administrative pronouncement or judicial decision interpreting or applying such laws or regulations, which
amendment or change is effective or such pronouncement or decision is announced on or after the date the Preferred securities are initially issued, the Preferred Securities do not constitute, or within 90 days of the date thereof, will not
constitute, Tier 1 Capital (or its then equivalent if the Debenture Issuer is then subject to such capital requirements); provided, however, that the distribution of the Debentures in connection with the liquidation of the Trust by the Debenture
Issuer shall not in and of itself constitute a Regulatory Capital Event unless such liquidation shall have occurred in connection with a Tax Event. 
  
 (e) Upon any redemption of Debentures upon the occurrence of the events described in Sections 4(c) and 4(d) above and in compliance with
the Indenture, the Trust will, simultaneous with such redemption of Debentures, cause a Like Amount of the Securities to be redeemed by the Trust at the Redemption Price on a Pro Rata basis. 
  
 (f) The Trust may not redeem fewer than all the outstanding
Securities unless all accumulated and unpaid Distributions have been paid on all Securities for all quarterly Distribution periods terminating on or before the date of redemption. 
  
 (g) In connection with any redemption of Securities, the Trust may arrange for the purchase and conversion
of any Securities by an agreement with one or more investment bankers or other purchasers to purchase such Securities by paying to the Property Trustee in trust for the Holders, on or before the redemption date, an amount not less than the
applicable 

  

 I-5 

 
Redemption Price of such Securities. Notwithstanding anything to the contrary contained in this Section 4, the obligation of the Trust to pay the redemption
price of such Securities shall be deemed to be satisfied and discharged to the extent such amount is so paid by such purchasers. If such an agreement is entered into, a copy of which shall be filed with the Property Trustee prior to the redemption
date, any Securities not duly surrendered for conversion by the Holders thereof, may, at the option of the Trust, be deemed, to the fullest extent permitted by law, acquired by such purchasers from such Holders and (notwithstanding anything to the
contrary contained in Section 6 of this Annex I) surrendered by such purchasers for conversion, all as of immediately prior to the close of business on the redemption date (and the right to convert any such Securities shall be deemed to have been
extended through such time), subject to payment of the above amount as aforesaid. At the written direction of the Trust, the Property Trustee shall hold and dispose of any such amount paid to it in the same manner as it would monies deposited with
it by the Trust for the redemption of Securities. Without the Property Trustee’s prior written consent, no arrangement between the Trust and such purchasers for the purchase and conversion of any Securities shall increase or otherwise affect
any of the powers, duties, responsibilities or obligations of the Property Trustee as set forth in the Declaration, and the Trust agrees to indemnify the Property Trustee from, and hold it harmless against, any and all loss, liability or expense
arising out of or in connection with any such arrangement for the purchase and conversion of any Securities between the Trust and such purchasers, including the costs and expenses incurred by the Property Trustee in the defense of any claim or
liability arising out of or in connection with the exercise or performance of any of its powers, duties, responsibilities or obligations under the Declaration. Nothing in the preceding sentence shall be deemed to limit the rights, privileges,
immunities and protections afforded to the Property Trustee in the Declaration. Nothing in this Section 4(g) shall affect the right of the Holders to receive the full Redemption Price on the redemption date. 
  

	 	5.	Procedures Related to Redemptions or Distributions of Securities. 

  
 (a) The procedure with respect to redemptions or distributions of Securities shall be as follows: 
  
 (i) Notice of any redemption of, or notice of distribution
of Debentures in exchange for, the Securities (a “Redemption/Distribution Notice”) will be given by the Trust by mail to each Holder to be redeemed or exchanged not fewer than 20 nor more than 60 days before the date fixed for redemption
or exchange thereof which, in the case of a redemption, will be the date fixed for redemption of the Debentures. For purposes of the calculation of the date of redemption or exchange and the dates on which notices are given pursuant to this Section
5(a)(i), a Redemption/Distribution Notice shall be deemed to be given on the day such notice is first mailed by first-class mail, postage prepaid, to Holders. Each Redemption/Distribution Notice shall be addressed to the Holders at the address of
each such Holder appearing in the books and records of the Trust. The notice if mailed in the manner herein provided shall be conclusively presumed to have been duly given, whether or not the Holder receives such notice. In any case, failure to give
such notice or any defect in the Redemption/Distribution Notice to the Holder of any Security designated for redemption or exchange as a whole or in part shall not affect the validity of the redemption or exchange proceedings with respect to any
other Security. 
  

 I-6 

 (ii) In the event that fewer than all the outstanding Securities are to be redeemed, the
particular Securities to be redeemed shall be selected on a Pro Rata basis (based upon Liquidation Amounts) not more than 60 days prior to the date fixed for redemption from the outstanding Securities not previously called for redemption,
provided, however, that with respect to Holders that would be required to hold less than 100 but more than zero Securities as a result of such Pro Rata redemption, the Trust shall redeem Securities of each such Holder so that after such
redemption such Holder either shall hold 100 Securities or such Holder no longer hold any Securities, and shall use such method (including, without limitation, by lot) as the Trust shall deem fair and appropriate, provided further, that any
such proration may be made on the basis of the aggregate Liquidation Amount of Securities held by each Holder thereof and may be made by making such adjustments as the Trust deems fair and appropriate in order that only Securities in denominations
of $50.00 or integral multiples thereof shall be redeemed. In respect of Preferred Securities registered in the name of and held of record by the Clearing Agency or its nominee (or any successor Clearing Agency or its nominee) or any nominee, the
distribution of the proceeds of such redemption will be made to the Clearing Agency and disbursed by such Clearing Agency in accordance with the procedures applied by such agency or nominee. 
  
 (iii) If Securities are to be redeemed and the Trust gives a
Redemption/ Distribution Notice (which notice will be irrevocable), then (A) with respect to Preferred Securities issued in book-entry form, by 12:00 noon, New York City time, on the redemption date or at such earlier time as the Trust determines,
provided that the Debenture Issuer has paid the Debenture Trustee a sufficient amount of cash in connection with the related redemption or maturity of the Debentures by 10:00 a.m., New York City time, on the maturity date or the date of redemption,
as the case requires, the Property Trustee will deposit irrevocably with the Clearing Agency or its nominee (or successor Clearing Agency or its nominee) funds sufficient to pay the Redemption Price with respect to such Preferred Securities and will
give the Clearing Agency irrevocable instructions and authority to pay the Redemption Price to the relevant Clearing Agency Participants, and (B) with respect to Preferred Securities issued in certificated form and Common Securities, the Property
Trustee will irrevocably deposit with the Paying Agent funds sufficient to pay the Redemption Price and will give the Paying Agent irrevocable instructions and authority to pay the Redemption Price to Holders upon surrender of their certificates
evidencing the Preferred Securities or Common Securities, as the case may be. If a Redemption/Distribution Notice shall have been given and funds deposited as required, if applicable, then immediately prior to the close of business on the redemption
date, Distributions will cease to accumulate on the Securities so called for redemption and all rights of Holders so called for redemption will cease, except the right of the Holders of such Securities to receive the Redemption Price, but without
interest on such Redemption Price, and such Securities shall cease to be outstanding. 
  
 (iv) Notwithstanding the foregoing, payment of accumulated and unpaid Distributions on the Redemption Date of the Securities will be
subject to the rights of Holders on the close of business on the relevant record date in respect of a Distribution Date occurring on or prior to such Redemption Date. 
  

 I-7 

 The Trust shall not be required to: (i) issue or cause to be issued, register or cause to
be registered the transfer of or exchange or cause to be exchanged any Securities during a period beginning at the opening of business 15 days before the day of mailing of a notice of redemption or any notice of selection of Securities for
redemption and ending at the close of business on the day of such mailing or (ii) register the transfer of or exchange any Securities selected for redemption in whole or in part except, in the case of any Securities being redeemed in part, any
portion thereof not to be redeemed. If any date fixed for redemption of Securities is not a Business Day, then payment of the Redemption Price payable on such date will be made on the next succeeding day that is a Business Day (and without any
interest or other payment in respect of any such delay) except that, if such next succeeding Business Day falls in the next calendar year, such payment shall be made on the immediately preceding Business Day, in each case with the same force and
effect as if made on such date fixed for redemption. If payment of the Redemption Price in respect of any Securities is improperly withheld or refused and not paid either by the Trust or by the Debenture Issuer as guarantor pursuant to the Guarantee
Agreement, Distributions on such Securities will continue to accumulate from the original redemption date to the actual date of payment, in which case the actual payment date will be considered the date fixed for redemption for purposes of
calculating the Redemption Price. 
  
 (v)
Redemption/Distribution Notices shall be sent by the Property Trustee on behalf of the Trust at the expense of the Initial Purchaser of Common Securities to (A) in respect of the Preferred Securities, the Clearing Agency or its nominee (or any
successor Clearing Agency or its nominee) if the Global Certificates have been issued or, if Certificated Preferred Security Certificates have been issued, to the Holder thereof, and (B) in respect of the Common Securities to the Holder thereof.

  
 (vi) Subject to the foregoing and applicable
law (including, without limitation, United States federal securities laws and banking laws), provided the acquiror is not the Holder of the Common Securities or the obligor under the Indenture, the Initial Purchaser of Common Securities or any of
its subsidiaries may at any time and from time to time purchase outstanding Preferred Securities by tender, in the open market or by private agreement. 
  

	 	6.	Conversion Rights. 

  
 The Holders of Preferred Securities shall have the right at any time on or after the occurrence of the events described in Section 17.01
of the Indenture and prior to 5:00 p.m., New York City time, on the Business Day immediately preceding the date of repayment of such Preferred Securities, whether at stated maturity or upon redemption, at their option to cause the Conversion Agent
to convert Preferred Securities, on behalf of the converting Holders, into shares of common stock of the Initial Purchaser of Common Securities (the “Common Stock”) in the manner described herein on and subject to the following terms and
conditions: 
  
 (a) The Preferred Securities will
be convertible at the office of the Conversion Agent into fully paid and nonassessable shares of Common Stock pursuant to the Holder’s direction to the Conversion Agent to exchange such Preferred Securities for a portion of the 

  

 I-8 

 
Debentures theretofore held by the Trust on the basis of one Preferred Security per $50.00 principal amount of Debentures, and immediately convert such
amount of Debentures into fully paid and nonassessable shares of Common Stock at an initial conversion ratio of 1.5151 shares of Common Stock for each $50.00 principal amount of Debentures, subject to adjustment as described in the Indenture.

  
 (b) In order to convert Preferred Securities
into Common Stock the Holder shall submit to the Conversion Agent at the office referred to above an irrevocable request to convert Preferred Securities on behalf of such Holder (the “Conversion Request”), together, if the Preferred
Securities are in certificated form, with such certificates. The Holder must furnish appropriate endorsements or transfer documents, if required by the Conversion Agent, and pay any transfer or similar tax, if required. The Trust shall not cause the
conversion of any Debentures except pursuant to such a Conversion Request. The Conversion Request shall (i) set forth the number of Preferred Securities to be converted and the name or names, if other than the Holder, in which the shares of Common
Stock should be issued and (ii) direct the Conversion Agent (a) to exchange such Preferred Securities for a portion of the Debentures held by the Trust having a principal amount equal to the Liquidation Amount of the Preferred Securities to be
converted and (b) to immediately convert such Debentures on behalf of such Holder, into Common Stock (at the conversion rate specified in the preceding paragraph). The Conversion Agent shall notify the Property Trustee of the Holder’s election
to exchange Preferred Securities for a portion of the Debentures held by the Trust and the Property Trustee shall, upon receipt of such notice, deliver to the Conversion Agent the appropriate principal amount of Debentures for exchange in accordance
with this Section 6. The Conversion Agent shall thereupon notify the Initial Purchaser of Common Securities of the Holder’s election to convert such Debentures into shares of Common Stock. 
  
 (c) Except as described herein, no distribution will be
payable on Preferred Securities converted into Common Stock with respect to any Distribution Date subsequent to the date of conversion and neither the Trust nor the Debenture Issuer will make, or be required to make, any payment, allowance or
adjustment for accumulated and unpaid distributions, whether or not in arrears, on Preferred Securities surrendered for conversion. If any Preferred Securities are surrendered for conversion between the period from 5:00 p.m., New York City time, on
any record date through and including the related Distribution Date, the Preferred Securities surrendered for conversion must be accompanied by payment in next day funds of an amount equal to the distribution which the registered holder on such
record date is to receive. The previous sentence shall not apply in the case of Preferred Securities called for redemption on a redemption date between a record date and a related Distribution Date and in the case of any Preferred Securities
surrendered for conversion after such Preferred Securities have been called for redemption during an Extension Period. The previous sentence shall not apply in the case of Securities called for redemption on a redemption date between a record date
and a related distribution date and in the case of any Securities surrendered for conversion after such Securities have been called for redemption during an Extension Period as described in the next sentence. If notice of redemption of Securities is
mailed or otherwise given to Holders, then, if any Holder converts any Securities into Common Stock on any date on or after the date on which such notice of redemption is mailed or otherwise given, and if such date of conversion falls on any day
from and including the first day of an Extension Period and on or prior to the distribution date upon which such Extension Period ends, such converting Holder shall be 

  

 I-9 

 
entitled to receive either (i) if the date of such conversion falls after a record date and on or prior to the next succeeding distribution date, all accrued
and unpaid Distributions on such Securities to such distribution date, or (ii) if the date of such conversion does not fall on a date described in clause (i) above, all accrued and unpaid Distributions on such Securities to the most recent
distribution date prior to the date of such conversion (even though no Distributions were paid on such date), which Distributions shall, in either such case, be paid to such converting Holder unless another Holder was the record owner of such
Securities as of 5:00 p.m., New York City time on the record date for which such Distribution payment is made, in which case such Distribution payment shall be paid to such other Holder. Except as otherwise set forth above in this paragraph, in the
case of any Security which is converted, Distributions which are payable after the date of conversion of such Security shall not be payable, and the Trust shall not make nor be required to make any other payment, adjustment or allowance with respect
to accrued but unpaid Distributions on the Securities being converted, which shall be deemed to be paid in full. If any Security called for redemption is converted, any money deposited with the Property Trustee or with any paying agent or so
segregated and held in trust for the redemption of such Security shall (subject to any right of the Holder) be paid to the Trust upon a written request or, if then held by the Trust, shall be discharged from such Trust. Each conversion will be
deemed to have been effected immediately prior to 5:00 p.m., New York City time, on the Business Day on which the related Conversion Request and any other required deliveries were received by the Conversion Agent (the “Conversion Date”).
The Person or Persons entitled to receive the Common Stock issuable upon conversion of the Debentures shall be treated for all purposes as the record holder or holders of such Common Stock at such time. As promptly as practicable on or after the
Conversion Date, the Debenture Issuer shall issue and deliver at the office of the Conversion Agent, unless otherwise directed by the Holder in the Conversion Request, a certificate or certificates for the number of full shares of Common Stock
issuable upon such conversion, together with the cash payment, if any, in lieu of any fraction of any share to the Person or Persons entitled to receive the same Request and the Conversion Agent shall distribute such certificate or certificates to
such Person or Persons. 
  
 (d) Subject to any
right of the Holder, the Initial Purchaser of Common Securities delivery upon conversion of the fixed number of shares of Common Stock into which the Preferred Securities are convertible (together with the cash payment, if any, in lieu of fractional
shares) shall be deemed to satisfy the Initial Purchaser of Common Securities obligation to pay the liquidation amount of the portion of Preferred Securities so converted and any unpaid interest accrued on such Preferred Securities at the time of
such conversion. 
  
 (e) No fractional shares of
Common Stock shall be issued as a result of conversion, but in lieu thereof, the Initial Purchaser of Common Securities shall pay to the Conversion Agent a cash adjustment in an amount equal to the same fraction of the Closing Price of such
fractional interest on the date on which the Preferred Securities were duly surrendered to the Conversion Agent for conversion, or, if such day is not a Trading Day, on the next Trading Day, and the Conversion Agent in turn shall make such payment,
if any, to the Holder of the Preferred Securities so converted. 
  
 (f) In the event of the conversion of any Preferred Security in part only, a new Preferred Security or Preferred Securities for the unconverted portion thereof shall be issued in 

  

 I-10 

 
the name of the Holder thereof upon the cancellation thereof in accordance with Section 7.10 of the Declaration. 
  
 (g) In effecting the conversion transactions described in
this Section 6, the Conversion Agent shall be acting as agent of the Holders of Preferred Securities (in the exchange of Preferred Securities for Debentures) and as agent of the Debenture holders (in the conversion of Debentures into Common Stock),
as the case may be, directing it to effect such conversion transactions. The Conversion Agent is hereby authorized (i) to exchange Preferred Securities from time to time for Debentures held by the Trust in connection with the conversion of such
Preferred Securities in accordance with this Section 6 and the applicable provisions of the Indenture and (ii) to convert all or a portion of the Debentures into Common Stock and thereupon to deliver such shares of Common Stock in accordance with
the provisions of this Section 6 and the applicable provisions of the Indenture and to deliver to the Trust a new Debenture or Debentures for any resulting unconverted principal amount. 
  
 (h) Any certificates representing shares of Common Stock issuable upon conversion of the Preferred
Securities shall bear any legend required by Section 9.2 of the Declaration. 
  
 (i) The Debenture Issuer shall at all times reserve and keep available out of its authorized and unissued Common Stock, solely for issuance upon the conversion of the Debentures, free from any preemptive or other
similar rights, such number of shares of Common Stock as shall from time to time be issuable upon the conversion of all the Debentures then outstanding. Notwithstanding the foregoing, the Debenture Issuer shall be entitled to deliver upon conversion
of Debentures, shares of Common Stock reacquired and held in the treasury of the Initial Purchaser of Common Securities (in lieu of the issuance of authorized and unissued shares of Common Stock), so long as any such treasury shares are free and
clear of all liens, charges, security interests or encumbrances. Any shares of Common Stock issued upon conversion of the Debentures shall be duly authorized, validly issued and fully paid and nonassessable. The Property Trustee shall deliver the
shares of Common Stock received upon conversion of the Debentures to the converting Holder free and clear of all liens, charges, security interests and encumbrances, except for United States withholding taxes. 
  

	 	7.	Voting Rights-Preferred Securities. 

  
 (a) Except as provided under Sections 7(b), 8(b) and 9 and as otherwise required by law and the Declaration, the Holders of the Preferred
Securities will have no voting rights. 
  
 (b) So
long as the Property Trustee holds any Debentures, the Trustees may not, without obtaining the prior consent of the holders of a majority in liquidation amount of all outstanding Preferred Securities: (i) direct the time, method and place of
conducting any proceeding for any remedy available to the Debenture Trustee, or execute any trust or power conferred on the Debenture Trustee with respect to the Debentures; (ii) revoke any action previously authorized or approved by a vote of the
Holders of the Preferred Securities, except by subsequent vote of such Holders; (iii) waive any past default that is waivable under Section 5.07 of the Indenture; (iv) exercise any right to rescind or annul a declaration accelerating the 

  

 I-11 

 
maturity of the principal of the Debentures; or (v) consent to any amendment, modification or termination of the Indenture or the Debentures, where such
consent shall be required; provided, where a consent under the Indenture would require the consent of Holders of more than a majority of the aggregate principal amount of Debentures affected thereby, only the Holders of the percentage of that
aggregate stated liquidation amount of the Preferred Securities which is at least equal to the percentage required under the Indenture may direct the Property Trustee to give such consent; provided further, that if an event of default under
the Indenture has occurred and is continuing, then holders of 25% of the aggregate liquidation amount of the Preferred Securities may direct the Property Trustee to declare the principal of and interest or other required payments on the Debentures
due and payable. 
  
 The Property Trustee shall
notify each Holder of Preferred Securities of any notice of default with respect to the Debentures. In addition to obtaining the approvals of the Holders of the Preferred Securities, the Property Trustee shall be under no obligation to take any of
the foregoing actions (except with respect to directing the time, method and place of conducting a proceeding for a remedy) unless the Property Trustee has obtained an Opinion of Counsel experienced in such matters to the effect that the Trust will
not fail to be classified as a grantor trust for federal income tax purposes after taking the action into account and each Holder will be treated as owning an undivided beneficial interest in the Debentures. 
  
 Any approval or direction of Holders of Preferred Securities
may be given at a separate meeting of Holders of Preferred Securities convened for such purpose, at a meeting of all of the Holders of Securities in the Trust or pursuant to written consent. The Property Trustee will cause a notice of any meeting at
which Holders of Preferred Securities are entitled to vote, or of any matter upon which action by written consent of such Holders is to be taken, to be mailed to each Holder of record of Preferred Securities. Each such notice will include a
statement setting forth (i) the date of such meeting or the date by which such action is to be taken, (ii) a description of any resolution proposed for adoption at such meeting on which such Holders are entitled to vote or of such matter upon which
written consent is sought and (iii) instructions for the delivery of proxies or consents. 
  
 No vote or consent of the Holders of the Preferred Securities will be required for the Trust to redeem and cancel Preferred Securities or
to distribute the Debentures in accordance with the Declaration and the terms of the Securities. 
  
 Notwithstanding that Holders of Preferred Securities are entitled to vote or consent under any of the circumstances described above, any
of the Preferred Securities that are owned by the Debenture Issuer or any Affiliate of the Debenture Issuer shall not be entitled to vote or consent and shall, for purposes of such vote or consent, be treated as if they were not outstanding.

  

	 	8.	Voting Rights-Common Securities. 

  
 (a) Except as provided otherwise under Sections 8(b), 8(c) and 9 or as otherwise required by law and the Declaration, the Holders of the
Common Securities will have no voting rights. 
  

 I-12 

 (b) Subject to the conditions set forth in Section 5.7 of the Declaration, unless an
Event of Default shall have occurred and be continuing, any Trustee may be appointed or removed without cause at any time by vote of the Holders of a Majority in liquidation amount of the Common Securities voting as a class at a meeting of Holders
of the Common Securities. If an Event of Default has occurred and is continuing, the Property Trustee and the Delaware Trustee may be removed only by the Holders of a Majority in liquidation amount of the Preferred Securities voting as a class. In
no event will the holders of the Preferred Securities have the right to vote to appoint, remove or replace the Administrative Trustees, which voting rights are vested exclusively in the Initial Purchaser of Common Securities as the holder of the
Common Securities. No resignation or removal of a Trustee and no appointment of a successor trustee shall be effective until the acceptance of appointment by the successor trustee in accordance with the provisions of the Declaration. 
  
 (c) Unless an Event of Default shall have occurred and be
continuing and so long as any Debentures are held by the Property Trustee, the Trustees shall not (i) direct the time, method and place of conducting any proceeding for any remedy available to the Debenture Trustee or executing any trust or power
conferred on such Debenture Trustee with respect to the Debentures, (ii) waive any past default that is waivable under Section 5.07 of the Indenture, (iii) exercise any right to rescind or annul a declaration of acceleration of the maturity of the
principal of the Debentures or (iv) consent to any amendment, modification or termination of the Indenture or the Debentures, where such consent shall be required, without, in each case, obtaining the prior approval of the Holders of a Majority in
liquidation amount of all outstanding Common Securities; provided, however, that where a consent under the Indenture would require the consent of holders of more than a majority of the aggregate principal amount of Debentures affected thereby, only
the holders of the percentage of that aggregate stated liquidation amount of the Common Securities which is at least equal to the percentage required under the Indenture may direct the Property Trustee to give such consent. The Trustees shall not
revoke any action previously authorized or approved by a vote of the Holders of the Common Securities except by subsequent vote of such Holders. The Property Trustee shall notify each Holder of Common Securities of any notice of default with respect
to the Debentures. In addition to obtaining the foregoing approvals of such Holders of the Common Securities prior to taking any of the foregoing actions (except with respect to directing the time, method and place of conducting a proceeding for a
remedy), the Property Trustee shall obtain an opinion of counsel experienced in such matters to the effect that the Trust will continue to be classified as a grantor trust for United States federal income tax purposes on account of such action and
each holder will be treated as owning an undivided beneficial interest in the Debentures. 
  
 If an Event of Default under the Declaration has occurred and is continuing and such event is attributable to the failure of the Debenture
Issuer to pay principal of or interest on the Debentures on the due date (or in the case of redemption, on the redemption date), then a Holder of Common Securities may institute a Direct Action for enforcement of payment to such Holder of the
principal of or interest on a Like Amount of Debentures on or after the respective due date specified in the Debentures. In connection with such Direct Action, the rights of the Common Securities Holder will be subordinated to the rights of such
Holder of Preferred Securities to the extent of any payment made by the Debenture Issuer to such Holder of Common Securities in such Direct Action. Except as provided in the second preceding sentence, the 

  

 I-13 

 
Holders of Common Securities will not be able to exercise directly any other remedy available to the Holders of the Debentures. 
  
 Any approval or direction of Holders of Common Securities
may be given at a separate meeting of Holders of Common Securities convened for such purpose, at a meeting of all of the Holders of Securities in the Trust or pursuant to written consent. The Property Trustee will cause a notice of any meeting at
which Holders of Common Securities are entitled to vote, or of any matter upon which action by written consent of such Holders is to be taken, to be mailed to each Holder of record of Common Securities. Each such notice will include a statement
setting forth (i) the date of such meeting or the date by which such action is to be taken, (ii) a description of any resolution proposed for adoption at such meeting on which such Holders are entitled to vote or of such matter upon which written
consent is sought and (iii) instructions for the delivery of proxies or consents. 
  
 No vote or consent of the Holders of the Common Securities will be required for the Trust to redeem and cancel Common Securities or to
distribute the Debentures in accordance with the Declaration and the terms of the Securities. 
  

	 	9.	Amendments to Declaration. 

  
 (a) Except as otherwise provided in the Declaration or by this Annex I, the Declaration may be amended from time to time by the Holder of
Common Securities, the Property Trustee and the Administrative Trustees, without the consent of the Holders of the Securities (i) to provide for the acceptance of appointment by a successor trustee as permitted thereby, (ii) to cure any ambiguity,
correct or supplement any provision in the Declaration that may be defective or inconsistent with any other provision, or to make any other provisions with respect to matters or questions arising under the Declaration, which shall not be
inconsistent with the other provisions of the Declaration, (iii) to modify, eliminate or add to any provisions of the Declaration to such extent as shall be necessary to ensure that the Trust will not be taxable as a corporation or will be
classified for United States federal income tax purposes as a grantor trust at all times that any Securities are outstanding or to ensure that the Trust will not be an “investment company” under the Investment Company Act, or (iv) to add
to the covenants, restrictions or obligations of the Holder of Common Securities; provided, however, that such action shall not adversely affect in any material respect the interests of any Holders of the Securities and any such amendments of the
Declaration shall become effective when notice thereof is given to the Holders of the Securities. 
  
 (b) Except as provided in (c) below and in this Annex I, the Declaration may be amended by the Trustees and the Holder of Common
Securities with (i) the consent of Holders representing not less than a Majority in liquidation amount of the outstanding Securities; provided that, if any amendment would adversely affect only the holders of the Preferred Securities or the Common
Securities, then only the affected class shall be entitled to vote on such amendment and such amendment shall not be effective except with the approval of a Majority in liquidation amount of such class of securities affected thereby, and (ii)
receipt by the Trustees of an Opinion of Counsel experienced in such matters to the effect that such amendment or the exercise of any power granted to the Trustees in accordance with such amendment will not affect 

  

 I-14 

 
the Trust’s status as a grantor trust for United States federal income tax purposes or the Trust’s exemption from status as an “investment
company” under the Investment Company Act. 
  
 (c) Without the consent of each Holder of Securities, the Declaration may not be amended to (i) change the amount or timing of any Distribution on the Securities or otherwise adversely affect the amount of any Distribution required to be
made in respect of the Securities as of a specified date, (ii) change the conversion ratio of the Preferred Securities except as provided in the Indenture, (iii) change any of the redemption provisions or (iv) restrict the right of a Holder of
Securities to institute suit for the enforcement of any payment on or after the specified date. 
  

	 	10.	Pro Rata. 

  
 A reference in these terms of the Securities to any payment, distribution or treatment as being “Pro Rata” shall mean pro rata
to each Holder according to the aggregate liquidation amount of the Securities held by the relevant Holder in relation to the aggregate liquidation amount of all Securities outstanding unless, in relation to a payment, an Event of Default under the
Indenture has occurred and is continuing, in which case any funds available to make such payment shall be paid first to each Holder of the Preferred Securities Pro Rata according to the aggregate liquidation amount of Preferred Securities held by
the relevant Holder relative to the aggregate liquidation amount of all Preferred Securities outstanding, and, only after satisfaction of all amounts owed to the Holders of the Preferred Securities, to each Holder of Common Securities Pro Rata
according to the aggregate liquidation amount of Common Securities held by the relevant Holder relative to the aggregate liquidation amount of all Common Securities outstanding. 
  

	 	11.	Ranking. 

  
 The Trust will pay all Distributions, any Redemption Price, and any liquidation distribution to Holders of the Preferred Securities and
Common Securities Pro Rata based on the liquidation amount of the Preferred Securities and Common Securities held. However, if on any Distribution Date or redemption date, or at the time of a liquidation distribution, the Debenture Issuer is in
default under the Indenture, then the Trust will not pay any Distribution, Redemption Price, or liquidation distribution on the Common Securities. In that event, the Trust will make payments on the Common Securities only after making payment in full
and in cash of all accumulated and unpaid distributions to Holders of the outstanding Preferred Securities for all distribution periods terminating on or prior thereto, and in the case of payment of the Redemption Price or a liquidation
distribution, the full amount of the Redemption Price or liquidation distribution to holders of the outstanding Preferred Securities then called for redemption or liquidation. 
  
 In the case of any Event of Default, the holder of all of the Common Securities, will be deemed to have
waived any right to act with respect to the Event of Default until the effect of the Event of Default has been cured or waived. Until any Event of Default has been cured or waived, the Property Trustee will act solely on behalf of the Holders of the
Preferred Securities and not on behalf of the Holder of the Common Securities, and only the holders of the Preferred Securities will have the right to direct the Property Trustee to act on their behalf. 
  

 I-15 

	 	12.	Acceptance of Securities Guarantee and Indenture. 

  
 Each Holder of Preferred Securities and Common Securities, by the acceptance thereof, agrees to the provisions of the Securities
Guarantee, including the subordination provisions therein and to the provisions of the Indenture. 
  

	 	13.	Other Rights of Holders of Preferred Securities. 

  
 If an Event of Default under the Indenture has occurred and is continuing, then Holders of 25% of the aggregate liquidation amount of the
Preferred Securities may direct the Property Trustee to declare the principal of and interest or other required payments on the Debentures due and payable. 
  
 If the Property Trustee shall have failed to take a Legal Action under Section 3.8(e) of the Declaration, after any Holder of Preferred
Securities shall have made a written request to the Property Trustee to enforce such rights, such Holder of the Preferred Securities may, to the fullest extent permitted by law, take such Legal Action to enforce the rights of the Property Trustee
under the Debentures; provided, however, that if an Event of Default has occurred and is continuing and such event is attributable to the failure of the Debenture Issuer to pay the principal of or Interest (as defined in the Indenture), on the
Debentures on the date such principal or Interest (as defined in the Indenture) is otherwise payable (or in the case of redemption, on the redemption date), then a Holder of Preferred Securities may directly institute a proceeding for enforcement of
payment to such Holder of the principal of or Interest (as defined in the Indenture) on the Debentures having a principal amount equal to the aggregate liquidation amount of the Preferred Securities of such Holder (a “Direct Action”) on or
after the respective due date specified in the Debentures. Upon the occurrence of an Event of Default, the rights of the Holders of the Common Securities will be subordinated to the rights of such Holder of Preferred Securities to the extent of any
payment made by the Debenture Issuer to such Holder of Preferred Securities. Except as provided in the preceding sentences, the Holders of Preferred Securities will not be able to exercise directly any other remedy available to the Holders of the
Debentures. 
  

	 	14.	No Preemptive Rights. 

  
 The issuance of Preferred Securities and the issuance of Common Securities are not subject to preemptive or other similar rights. The
Holders shall have no preemptive rights to subscribe for any additional securities. 
  

	 	15.	Miscellaneous. 

  
 These terms constitute a part of the Declaration. 
  
 The Initial Purchaser of Common Securities will provide a copy of the Declaration, the Securities Guarantee
and/or the Indenture (including any supplemental indenture) to a Holder without charge upon written request to the Initial Purchaser of Common Securities at its principal place of business. 
  

 I-16 

  
 EXHIBIT A-1

  
 FORM OF 4.875% PREFERRED SECURITY CERTIFICATE

  
 [FORM OF FACE OF SECURITY] 
  
 [Include the following Restricted Securities Legend on all Restricted Preferred Securities,
including Global Preferred Securities.] 
  
 THIS SECURITY AND THE
UNDERLYING SHARES OF BOSTON PRIVATE FINANCIAL HOLDINGS, INC. COMMON STOCK HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR ANY STATE SECURITIES LAWS. NEITHER THIS SECURITY, THE SHARES OF
UNDERLYING BOSTON PRIVATE FINANCIAL HOLDINGS, INC. COMMON STOCK ISSUABLE UPON CONVERSION OF THIS SECURITY NOR ANY INTEREST OR PARTICIPATION HEREIN OR THEREIN MAY BE REOFFERED, SOLD, ASSIGNED, TRANSFERRED, PLEDGED, ENCUMBERED OR OTHERWISE DISPOSED OF
IN THE ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH TRANSACTION IS EXEMPT FROM, OR NOT SUBJECT TO, REGISTRATION. 
  
 THE HOLDER OF THIS SECURITY, BY ITS ACCEPTANCE HEREOF, AGREES TO OFFER, SELL OR OTHERWISE TRANSFER SUCH SECURITY, PRIOR TO THE DATE (THE “RESALE
RESTRICTION TERMINATION DATE”), WHICH IS TWO YEARS AFTER THE LATER OF THE ORIGINAL ISSUE DATE HEREOF AND THE LAST DATE ON WHICH BOSTON PRIVATE FINANCIAL HOLDINGS, INC. OR ANY AFFILIATE OF BOSTON PRIVATE FINANCIAL HOLDINGS, INC. WAS THE OWNER OF
THIS SECURITY (OR ANY PREDECESSOR OF SUCH SECURITY) ONLY (A) TO BOSTON PRIVATE FINANCIAL HOLDINGS, INC. OR ANY SUBSIDIARY THEREOF, (B) FOR SO LONG AS THE SECURITIES ARE ELIGIBLE FOR RESALE PURSUANT TO RULE 144A, TO A PERSON IT REASONABLY BELIEVES IS
A “QUALIFIED INSTITUTIONAL BUYER” AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT THAT PURCHASES FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL BUYER TO WHICH NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN
RELIANCE ON RULE 144A, (C) PURSUANT TO A REGISTRATION STATEMENT WHICH HAS BEEN DECLARED EFFECTIVE UNDER THE SECURITIES ACT, OR (D) PURSUANT TO ANOTHER AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, SUBJECT TO BOSTON
PRIVATE FINANCIAL HOLDINGS INC.’S, AND THE TRUSTEE’S RIGHT PRIOR TO ANY SUCH OFFER, SALE OR TRANSFER PURSUANT TO CLAUSE (D) TO REQUIRE THE DELIVERY OF AN OPINION OF COUNSEL, CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO EACH OF
THEM, AND IN EACH OF THE FOREGOING CASES, A CERTIFICATE OF TRANSFER IN THE FORM APPEARING ON THE OTHER SIDE OF THIS SECURITY IS COMPLETED AND DELIVERED BY THE TRANSFEROR TO THE TRUSTEE. THIS LEGEND WILL BE REMOVED UPON THE REQUEST OF THE HOLDER UPON
THE EARLIER OF THE TRANSFER OF THE SECURITIES EVIDENCED HEREBY PURSUANT TO CLAUSE (C) ABOVE AND THE RESALE RESTRICTION TERMINATION DATE. THE HOLDER OF THIS SECURITY, BY 

  

 A1-1 

 
ITS ACCEPTANCE HEREOF, AGREES THAT IT WILL DELIVER TO EACH PERSON TO WHOM THE SECURITY EVIDENCED HEREBY IS TRANSFERRED (OTHER THAN A TRANSFER PURSUANT TO
CLAUSE (C) ABOVE) A NOTICE SUBSTANTIALLY TO THE EFFECT OF THIS LEGEND. 
  
 BY ITS ACQUISITION OF THIS CERTIFICATE THE HOLDER REPRESENTS THAT EITHER (I) IT IS NOT AN EMPLOYEE BENEFIT PLAN OR OTHER SIMILAR RETIREMENT PLAN OR ARRANGEMENT, WHETHER OR NOT SUBJECT TO THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974,
AS AMENDED (“ERISA”), OR SECTION 4975 OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE “CODE”) (OR ANY SIMILAR LAWS OR REGULATIONS), OR AN ENTITY WHOSE UNDERLYING ASSETS ARE CONSIDERED TO INCLUDE THE ASSETS OF ANY SUCH PLANS
AND ARRANGEMENTS (EACH, A “PLAN”) AND NO PART OF THE ASSETS TO BE USED BY THE HOLDER TO ACQUIRE AND/OR HOLD THIS CERTIFICATE OR ANY INTEREST THEREIN CONSTITUTES PLAN ASSETS OF ANY PLAN OR (II) THE ACQUISITION AND HOLDING OF THIS
CERTIFICATE WILL NOT CONSTITUTE A NON-EXEMPT PROHIBITED TRANSACTION UNDER TITLE I OF ERISA OR SECTION 4975 OF THE CODE OR A VIOLATION UNDER ANY OTHER APPLICABLE LAWS AND REGULATIONS THAT ARE SIMILAR TO THE PROVISIONS OF TITLE I OF ERISA OR SECTION
4975 OF THE CODE. 
  
 [Include the following legend if the Preferred Security is
in global form and The Depository Trust Company is the Depositary] 
  
 [UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION (“DTC”), TO ISSUER 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 IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO 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.] 
  

 A1-2 

			
	 Certificate Number PS-001
	  	Aggregate Liquidation
	 	  	Amount:                      

			
	 CUSIP NO.                    10112P 20
7
	 	 

  
 Certificate
Evidencing 4.875% Preferred Securities 
  
 of

  
 Boston Private Capital Trust I 
  
 4.875% Preferred Securities 
 (liquidation amount $50.00 per Preferred Security) 
  
 Boston Private Capital Trust I, a statutory trust created under the laws of the State of Delaware (the “Trust”), hereby certifies
that                      (the “Holder”) is the registered owner of
[$                     in aggregate liquidation amount of Preferred Securities of the Trust]1 [the aggregate liquidation amount of Preferred Securities of the Trust specified in Schedule A hereto]2 (2) representing undivided beneficial interests in the assets of the Trust designated the
[                    ]% Preferred Securities (liquidation amount $50.00 per Preferred Security) (the “Preferred Securities”).
Subject to the Declaration (as defined below), the Preferred Securities are transferable on the books and records of the Trust, in person or by a duly authorized attorney, upon surrender of this certificate duly endorsed and in proper form for
transfer. The designation, rights, privileges, restrictions, preferences and other terms and provisions of the Preferred Securities represented hereby are issued and shall in all respects be subject to the provisions of the Amended and Restated
Declaration of Trust of the Trust dated as of October 12, 2004, as the same may be amended from time to time (the “Declaration”), including the designation of the terms of the Preferred Securities as set forth in Annex I to the
Declaration. Capitalized terms used but not defined herein shall have the meaning given them in the Declaration. The Initial Purchaser of Common Securities will provide a copy of the Declaration, the Guarantee Agreement and the Indenture (including
any supplemental indenture) to a Holder without charge upon written request to the Trust at its principal place of business. 
  
 Upon receipt of this certificate, the Holder is bound by the Declaration and is entitled to the benefits thereunder and to the benefits of the Guarantee
Agreement to the extent provided therein. 
  
 [Include the
following bracketed language if the Preferred Security is in global form.] 
  
 [The aggregate principal amount of the Preferred Security in global form represented hereby may from time to time be reduced to reflect conversions or redemptions of a part of this Preferred Security in global form or
cancellations of a part of this Preferred Security 

  

	1	Insert in Certificated Preferred Securities only. 

  

	2	Insert in Global Preferred Securities only. 

  

 A1-3 

 
in global form, in each case, and in any such case, by means of notations on the Global Certificate Transfer Schedule on the last page hereof.
Notwithstanding any provision of this Preferred Security to the contrary, conversions or redemptions of a part of this Preferred Security in global form and cancellations of a part of this Preferred Security in global form, may be effected without
the surrendering of this Preferred Security in global form, provided that appropriate notations on the Schedule of Exchanges, Conversions, Redemptions, Cancellations and Transfers are made by the Property Trustee or the Clearing Agency at the
direction of the Property Trustee, to reflect the appropriate reduction or increase, as the case may be, in the aggregate liquidation amount of this Preferred Security in a global form resulting therefrom or as a consequence thereof.] 
  
 By acceptance, the Holder agrees to treat, for United States federal income
tax purposes, the Debentures as indebtedness and the Preferred Securities as evidence of indirect beneficial ownership in the Debentures. 
  
 IN WITNESS WHEREOF, the Trust has executed this certificate this 12th day of October, 2004. 
  

			
	 Boston Private Capital Trust I

		
	By:	 	 
	 Name:
	 	 
	 Administrative Trustee

  
 PROPERTY
TRUSTEE’S CERTIFICATE OF AUTHENTICATION 
  
 This is one
of the Preferred Securities referred to in the within-mentioned Declaration. 
  
 Dated: October 12, 2004 
  

			
	 SunTrust Bank
 not in its individual capacity
but solely as Property Trustee

		
	By:	 	 
	 	 	Authorized Signatory

  

 A1-4 

  
 [FORM OF REVERSE OF
SECURITY] 
  
 Distributions payable on each Preferred Security
will be fixed at a rate per annum of 4.875% (the “Coupon Rate”) of the liquidation amount of $50.00 per Preferred Security, such rate being the rate of interest payable on the Debentures to be held by the Property Trustee. Distributions in
arrears for more than one quarterly period will bear interest thereon compounded quarterly at the Coupon Rate (to the extent permitted by applicable law). A Distribution is payable only to the extent that payments are made in respect of the
Debentures held by the Property Trustee and to the extent the Property Trustee has funds on hand legally available therefor. 
  
 Distributions on the Preferred Securities will be cumulative, will accumulate from the date of their original issuance and will be payable quarterly in
arrears, on January 1, April 1, July 1 and October 1 of each year, commencing on January 1, 2005, except as otherwise described below. Distributions will be computed on the basis of a 360-day year consisting of twelve 30-day months and, for periods
of less than a month, the actual number of days elapsed in a 30-day month. As long as no event of default has occurred and is continuing under the Indenture, the Debenture Issuer has the right under the Indenture to defer payments of interest by
extending the interest payment period at any time and from time to time on the Debentures for a period not exceeding 20 consecutive calendar quarterly periods, including the first such quarterly period during such extension period (each an
“Extension Period”), provided that no Extension Period shall end on a date other than an interest payment date for the Debentures or extend beyond the stated maturity date of the Debentures or any redemption date therefor. As a consequence
of such deferral, Distributions will also be deferred. Despite such deferral, quarterly Distributions will continue to accumulate with interest thereon (to the extent permitted by applicable law, but not at a rate exceeding the rate of interest then
accruing on the Debentures) at the Coupon Rate compounded quarterly during any such Extension Period. Prior to the termination of any such Extension Period, the Debenture Issuer may further defer payments of interest by further extending such
Extension Period; provided that such Extension Period, together with all such previous and further extensions within such Extension Period, may not exceed 20 consecutive quarterly periods, including the first quarterly period during such Extension
Period, end on a date other than an interest payment date for the Debentures or extend beyond the stated maturity date of the Debentures or any redemption date therefor. Payments of accumulated Distributions will be payable to Holders as they appear
on the books and records of the Trust on the first record date after the end of the Extension Period. Upon the termination of any Extension Period and the payment of all amounts then due, the Debenture Issuer may commence a new Extension Period,
subject to the above requirements. 
  
 Subject to receipt by the
Initial Purchaser of Common Securities of any required regulatory approvals and to certain other conditions set forth in the Declaration and the Indenture, the Property Trustee may, at the direction of the Initial Purchaser of Common Securities, at
any time liquidate the Trust and cause the Debentures to be distributed to the holders of the Securities in liquidation of the Trust or, simultaneously with any redemption of the Debentures, cause a Like Amount of the Securities to be redeemed by
the Trust. 
  
 The Preferred Securities shall be redeemable as
provided in the Declaration. 
  

 A1-5 

 The Preferred Securities shall be convertible into shares of Boston Private Financial Holdings, Inc.
Common Stock in the manner and according to the terms set forth in the Declaration and the Indenture. 
  

 A1-6 

  
 CONVERSION REQUEST

  

	To:	SunTrust Bank, 

 as Property Trustee of 
 Boston Private Capital Trust I 
  
 The undersigned owner of these Preferred Securities hereby irrevocably exercises the option to convert these Preferred Securities, or the portion below
designated, into Common Stock (as such term is defined in the Indenture, dated as of October 12, 2004, between Boston Private Financial Holdings, Inc. and SunTrust Bank, as Debenture Trustee (the “Indenture”) in accordance with the terms
of the Indenture and the Amended and Restated Declaration of Trust (as amended from time to time, the “Declaration”), dated as of October 12, 2004, by Jonathan H. Parker, Emanuela M. Allgood, and Carissa J.S. Barker, as Administrative
Trustees, SunTrust Delaware Trust Company, as Delaware Trustee, Sun Trust Bank, as Property Trustee, Boston Private Financial Holdings, Inc., as Initial Purchaser of Common Securities, and by the Holders, from time to time, of undivided beneficial
interests in the assets of the Trust to be issued pursuant to the Declaration. Pursuant to the aforementioned exercise of the option to convert these Preferred Securities, the undersigned hereby directs the Conversion Agent (as that term is defined
in the Declaration) to (i) exchange such Preferred Securities for a portion of the Debentures (as that term is defined in the Declaration) held by the Trust (at the rate of exchange specified in the terms of the Securities set forth as Annex I to
the Declaration and the Indenture) and (ii) immediately convert such Debentures on behalf of the undersigned, into Common Stock (at the conversion rate specified in the terms of the Securities set forth as Annex I to the Declaration and the
Indenture). 
  
 The undersigned does also hereby direct the
Conversion Agent that the shares issuable and deliverable upon conversion, together with any check in payment for fractional shares, be issued in the name of and delivered to the undersigned, unless a different name has been indicated in the
assignment below. If shares are to be issued in the name of a person other than the undersigned, the undersigned will pay all transfer taxes payable with respect thereto. 
  
 Any holder, upon the exercise of its conversion rights in accordance with the terms of the Declaration, the Indenture and
the Preferred Securities, agrees to be bound by the terms of the Registration Rights Agreement relating to the Common Stock issuable upon conversion of the Preferred Securities and agrees to appoint the Conversion Agent for the purpose of effecting
the conversion of the Preferred Securities into shares of Common Stock. 
  
 Date:
                             
  
 Number of Preferred Securities to be converted:
                             
  
 If a name or names other than the undersigned, please indicate in the spaces below the name or names in which the shares of Common Stock are
to be issued, along with the address or addresses of such person or persons. 
  

 A1-7 

	
	
	  
	
	  
	
	  

  
 (Sign exactly as your name appears on
the other side of this Preferred Security certificate) (for conversion of definitive Preferred Securities only) 
  
 Please print or Typewrite Name and Address, Including Zip Code, and Social Security or Other Identifying Number. 
  

	
	
	  
	
	  
	
	  

  

			
		
	Signature Guarantee:*	 	 

	*	Signature must be guaranteed by an “eligible guarantor institution” that is, a bank, stockbroker, savings and loan association or credit union meeting the requirements of
the Registrar, which requirements include membership or participation in the Securities Transfer Agents Medallion Program (“STAMP”) or such other “signature guarantee program” as may be determined by the Registrar in addition to,
or in substitution for, STAMP, all in accordance with the Securities Exchange Act of 1934, as amended. 

  

 A1-8 

  
 ASSIGNMENT 

 
 FOR VALUE RECEIVED, the undersigned assigns and transfers this Preferred
Security Certificate to: 
  

	
	 
	
	 
	
	 
	(Insert assignee’s social security or tax identification number)

  

	
	 
	
	 
	
	 
	
	 
	(Insert address and zip code of assignee)

  
 and irrevocably appoints 

 

			
	 
	
	 

			
		
	 	 	agent to

 transfer this Preferred Security Certificate on the books of the Trust. The agent may substitute another to act for
him or her. 
  
 Date:
                             
  

			
	Signature: 	 	 

 (Sign exactly as your name appears on the other side of this Preferred Security Certificate) 
  

	
	Signature Guarantee*:                                  
                                        
                                        
                                        
                                        
                    

	*	Signature must be guaranteed by an “eligible guarantor institution” that is a bank, stockbroker, savings and loan association or credit union meeting the requirements of
the Registrar, which requirements include membership or participation in the Securities Transfer Agents Medallion Program (“STAMP”) or such other “signature guarantee program” as may be determined by the Registrar in addition to,
or in substitution for, STAMP, all in accordance with the Securities and Exchange Act of 1934, as amended. 

  

 A1-9 

  
 CERTIFICATE TO BE
DELIVERED UPON EXCHANGE OR 
 REGISTRATION OF RESTRICTED PREFERRED SECURITIES 
  
 This certificate relates to
                     Preferred Securities held in (check applicable space)
             book-entry or              definitive form by the undersigned. 
  

	 	(A)	The undersigned (check one box below) 

  

	 	(1)	 ̈ has requested the Property Trustee by written order to deliver in exchange
for its beneficial interest in the Global Preferred Security held by the Clearing Agency a Preferred Security or Preferred Securities in definitive, registered form in such number equal to its beneficial interest in such Global Preferred Security
(or the number thereof indicated above); or 

  

	 	(2)	 ̈ has requested the Property Trustee by written order to exchange or
register the transfer of a Preferred Security or Preferred Securities. 

  

	 	(B)	The undersigned confirms that such Preferred Securities are being (check one box below): 

  

	 	(1)	 ̈ transferred to Boston Private Financial Holdings, Inc. or a subsidiary
thereof; or 

  

	 	(2)	 ̈ transferred pursuant to and in compliance with Rule 144A under the
Securities Act of 1933; or 

  

	 	(3)	 ̈ transferred pursuant to an available exemption from the registration
requirements of the Securities Act of 1933; or 

  

	 	(4)	 ̈ transferred pursuant to an effective registration statement under the
Securities Act. 

  
 Unless the box below is checked, the undersigned
confirms that such Securities are not being transferred to an “affiliate” of the Boston Private Financial Holdings, Inc. as defined in Rule 144 under the Securities Act of 1933, as amended (an “Affiliate”): 
  

	 	(5)	 ̈ The transferee is an Affiliate of Boston Private Financial Holdings, Inc.

  
 Unless one of the boxes in (B) above is checked, the Property
Trustee will refuse to register any of the Preferred Securities evidenced by this certificate in the name of any person other than the registered Holder thereof; provided, however, that if box (2) or (3) is checked, the Property Trustee may require,
prior to registering any such transfer of the Preferred Securities such legal opinions, certifications and other information as the Trust has reasonably requested to confirm that such transfer is being made pursuant to an exemption from, or in a
transaction not subject to, the registration requirements of the Securities Act of 1933, such as the exemption provided by Rule 144 under such Act. 
  

 A1-10 

	
	
	  
	 Signature

  

	
	Signature Guarantee:*
	
	  
	 Signature must be guaranteed Signature

  

	
	
	  
	 Signature

	*	Signature must be guaranteed by an “eligible guarantor institution” that is, a bank, stockbroker, savings and loan association or credit union meeting the requirements of
the Registrar, which requirements include membership or participation in the Securities Transfer Agents Medallion Program (“STAMP”) or such other “signature guarantee program” as may be determined by the Registrar in addition to,
or in substitution for, STAMP, all in accordance with the Securities Exchange Act of 1934, as amended. 

  
 TO BE COMPLETED BY PURCHASER IF (2) ABOVE IS CHECKED. 
  
 The undersigned represents and warrants that it is purchasing these Preferred Securities for its own account or an account with respect to which it
exercises sole investment discretion and that it and any such account is a “qualified institutional buyer” within the meaning of Rule 144A under the Securities Act of 1933, and is aware that the sale to it is being made in reliance on Rule
144A and acknowledges that it has received such information regarding the Trust as the undersigned has requested pursuant to Rule 144A or has determined not to request such information and that it is aware that the transferor is relying upon the
undersigned’s foregoing representations in order to claim the exemption from registration provided by Rule 144A. 
  

									
					
	Dated: 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 Name:

	 	 	 	 	 	 	 	 	 Title:

  

 A1-11 

  
 Schedule A 

 
 Global Certificate Transfer Schedule 
  
 Changes to Principal Amount of Global Security 
  

					
	 Date

	 	 Principal Amount of Securities by
 which
this Global Security Is to Be
 Reduced or Increased

	 	 Remaining Principal Amount
 of the Global
Security
 (following decrease or increase)

	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 

  
 Schedule to be maintained by Property
Trustee or Clearing Agency in cooperation with Property Trustee, as applicable. 
  

 A1-12 

  
 EXHIBIT A-2

  
 FORM OF COMMON SECURITY CERTIFICATE 
  
 THIS SECURITY HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS
AMENDED (THE “SECURITIES ACT”), OR ANY STATE SECURITIES LAWS. NEITHER THIS SECURITY NOR ANY INTEREST OR PARTICIPATION HEREIN OR THEREIN MAY BE REOFFERED, SOLD, ASSIGNED, TRANSFERRED, PLEDGED, ENCUMBERED OR OTHERWISE DISPOSED OF IN THE
ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH TRANSACTION IS EXEMPT FROM, OR NOT SUBJECT TO, REGISTRATION. 
  
 THE HOLDER OF THIS SECURITY, BY ITS ACCEPTANCE HEREOF, AGREES TO OFFER, SELL OR OTHERWISE TRANSFER SUCH SECURITY, PRIOR TO THE DATE (THE “RESALE
RESTRICTION TERMINATION DATE”), WHICH IS TWO YEARS AFTER THE LATER OF THE ORIGINAL ISSUE DATE OF THE SECURITY UPON THE CONVERSION OF WHICH THE COMMON STOCK EVIDENCED HEREBY WAS ISSUED AND THE LAST DATE ON WHICH BOSTON PRIVATE FINANCIAL
HOLDINGS, INC. OR ANY AFFILIATE OF BOSTON PRIVATE FINANCIAL HOLDINGS, INC. WAS THE OWNER OF THIS SECURITY (OR ANY PREDECESSOR OF SUCH SECURITY) ONLY (A) TO BOSTON PRIVATE FINANCIAL HOLDINGS, INC. OR ANY SUBSIDIARY THEREOF, (B) FOR SO LONG AS THE
SECURITIES ARE ELIGIBLE FOR RESALE PURSUANT TO RULE 144A, TO A PERSON IT REASONABLY BELIEVES IS A “QUALIFIED INSTITUTIONAL BUYER” AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT THAT PURCHASES FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A
QUALIFIED INSTITUTIONAL BUYER TO WHICH NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A, (C) PURSUANT TO A REGISTRATION STATEMENT WHICH HAS BEEN DECLARED EFFECTIVE UNDER THE SECURITIES ACT, OR (D) PURSUANT TO ANOTHER
AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, SUBJECT TO BOSTON PRIVATE FINANCIAL HOLDINGS INC.’S, AND THE TRANSFER AGENT’S RIGHT PRIOR TO ANY SUCH OFFER, SALE OR TRANSFER PURSUANT TO CLAUSE (D) TO REQUIRE
THE DELIVERY OF AN OPINION OF COUNSEL, CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO EACH OF THEM, AND IN EACH OF THE FOREGOING CASES, A CERTIFICATE OF TRANSFER IN THE FORM APPEARING ON THE OTHER SIDE OF THIS SECURITY IS COMPLETED AND
DELIVERED BY THE TRANSFEROR TO THE TRUSTEE. THIS LEGEND WILL BE REMOVED UPON THE REQUEST OF THE HOLDER UPON THE EARLIER OF THE TRANSFER OF THE SECURITIES EVIDENCED HEREBY PURSUANT TO CLAUSE (C) ABOVE AND THE RESALE RESTRICTION TERMINATION DATE. THE
HOLDER OF THIS SECURITY, BY ITS ACCEPTANCE HEREOF, AGREES THAT IT WILL DELIVER TO EACH PERSON TO WHOM THE SECURITY EVIDENCED HEREBY IS TRANSFERRED (OTHER THAN A TRANSFER PURSUANT TO CLAUSE (C) ABOVE) A NOTICE SUBSTANTIALLY TO THE EFFECT OF THIS
LEGEND. 
  
 THIS COMMON SECURITY IS NOT TRANSFERABLE EXCEPT AS SET
FORTH IN SECTION 9.1(b) OF THE AMENDED AND RESTATED DECLARATION OF TRUST OF BOSTON PRIVATE CAPITAL TRUST I, DATED AS OF OCTOBER 12, 2004, AS THE SAME MAY BE AMENDED FROM TIME TO TIME. 
  

 A2-1 

  
 Certificate Evidencing
Common Securities 
  
 of 
  
 Boston Private Capital Trust I 
  
 4.875% Common Securities 
 (liquidation amount $50.00 per Common Security) 
  
 Boston Private Capital Trust I, a statutory trust formed under the laws of the State of Delaware (the “Trust”), hereby certifies that
                     (the “Holder”) is the registered owner of
                                 common securities of the Trust representing
undivided beneficial interests in the assets of the Trust designated the [    ]% Common Securities (liquidation amount $50.00 per Common Security) (the “Common Securities”). Subject to the limitations in Section 9.1(b)
of the Declaration (as defined below), the Common Securities are transferable on the books and records of the Trust, in person or by a duly authorized attorney, upon surrender of this certificate duly endorsed and in proper form for transfer. The
designation, rights, privileges, restrictions, preferences and other terms and provisions of the Common Securities represented hereby are issued and shall in all respects be subject to the provisions of the Amended and Restated Declaration of Trust
of the Trust dated as of October 12, 2004, as the same may be amended from time to time (the “Declaration”), including the designation of the terms of the Common Securities as set forth in Annex I to the Declaration. Capitalized terms used
but not defined herein shall have the meaning given them in the Declaration. The Initial Purchaser of Common Securities will provide a copy of the Declaration, the Guarantee Agreement and the Indenture (including any supplemental indenture) to a
Holder without charge upon written request to the Initial Purchaser of Common Securities at its principal place of business. 
  
 Upon receipt of this certificate, the Holder is bound by the Declaration and is entitled to the benefits thereunder to the extent provided therein.

  
 By acceptance, the Holder agrees to treat, for United States
federal income tax purposes, the Debentures as indebtedness and the Common Securities as evidence of indirect beneficial ownership in the Debentures. 
  

 A2-2 

 IN WITNESS WHEREOF, the Trust has executed this certificate this 12th day of October, 2004. 
  

			
	 Boston Private Capital Trust I

		
	 By:
	 	 
	 	 	 Name:

	 	 	 Administrative Trustee

  
 PROPERTY
TRUSTEE’S CERTIFICATE OF AUTHENTICATION 
  
 This is one of
the Common Securities referred to in the within-mentioned Declaration. 
  
 Dated:
October 12, 2004 
  

			
	 SunTrust Bank,
 not in its individual capacity but solely as Property
 Trustee

		
	 By:
	 	 
	 	 	 Authorized Signatory

  

 A2-3 

  
 [FORM OF REVERSE OF
SECURITY] 
  
 Distributions payable on each Common Security
will be fixed at a rate per annum of 4.875% (the “Coupon Rate”) of the liquidation amount of $50.00 per Common Security, such rate being the rate of interest payable on the Debentures to be held by the Property Trustee. Distributions in
arrears for more than one quarterly period will bear interest thereon compounded quarterly at the Coupon Rate (to the extent permitted by applicable law). A Distribution is payable only to the extent that payments are made in respect of the
Debentures held by the Property Trustee and to the extent the Property Trustee has funds available therefor. 
  
 Distributions on the Common Securities will be cumulative, will accrue from the date of original issuance of the Common Securities and will be payable
quarterly in arrears, on January 1, April 1, July 1 and October 1 of each year, commencing on January 1, 2005, except as otherwise described below. Distributions will be computed on the basis of a 360-day year consisting of twelve 30-day months and,
for periods of less than a month, the actual number of days elapsed in a 30-day month. As long as no event of default has occurred and is continuing under the Indenture, the Debenture Issuer has the right under the Indenture to defer payments of
interest by extending the interest payment period at any time and from time to time on the Debentures for a period not exceeding 20 consecutive calendar quarterly periods, including the first such quarterly period during such extension period (each
an “Extension Period”), provided that no Extension Period shall end on a date other than an interest payment date for the Debentures or extend beyond the stated maturity date of the Debentures or any redemption date therefor. As a
consequence of such deferral, Distributions will also be deferred. Despite such deferral, Distributions will continue to accumulate with interest thereon (to the extent permitted by applicable law, but not at a rate exceeding the rate of interest
then accruing on the Debentures) at the Coupon Rate compounded quarterly during any such Extension Period. Prior to the termination of any such Extension Period, the Debenture Issuer may further defer payments of interest by further extending such
Extension Period; provided that such Extension Period, together with all such previous and further extensions within such Extension Period, may not exceed 20 consecutive quarterly periods, including the first quarterly period during such Extension
Period, or end on a date other than an interest payment date for the Debentures or extend beyond the stated maturity date of the Debentures or any redemption date therefor. Payments of accrued Distributions will be payable to Holders as they appear
on the books and records of the Trust on the first record date after the end of the Extension Period. Upon the termination of any Extension Period and the payment of all amounts then due, the Debenture Issuer may commence a new Extension Period,
subject to the above requirements. 
  
 Subject to the receipt by
the Initial Purchaser of Common Securities of any required regulatory approval and to certain other conditions set forth in the Declaration and the Indenture, the Property Trustee may, at the direction of the Initial Purchaser of Common Securities,
at any time liquidate the Trust and cause the Debentures to be distributed to the holders of the Securities in liquidation of the Trust or, simultaneous with any redemption of the Debentures, cause a Like Amount of the Securities to be redeemed by
the Trust. 
  

 A2-4 

 Under certain circumstances, the right of the holders of the Common Securities shall be subordinate to
the rights of the holders of the Preferred Securities (as defined in the Declaration), as provided in the Declaration. 
  
 The Common Securities shall be redeemable as provided in the Declaration. 
  

 A2-5 

  
 ASSIGNMENT 

 
 FOR VALUE RECEIVED, the undersigned assigns and transfers this Common Security Certificate
to: 
  

	
	 
	
	 
	
	 
	(Insert assignee’s social security or tax identification number)

  

	
	 
	
	 
	
	 
	(Insert address and zip code of assignee)

  
 and irrevocably appoints 

 

			
	 
	
	 

			
		
	 	 	agent to

 transfer this Common Security Certificate on the books of the Trust. The agent may substitute another to act for
him or her. 
  
 Date:
                             
  

			
	Signature: 	 	 

 (Sign exactly as your name appears on the other side of this Preferred Security Certificate) 
  

	
	Signature Guarantee*:                                  
                                        
                                        
                                        
                                        
                    

	*	Signature must be guaranteed by an “eligible guarantor institution” that is a bank, stockbroker, savings and loan association or credit union meeting the requirements of
the Registrar, which requirements include membership or participation in the Securities Transfer Agents Medallion Program (“STAMP”) or such other “signature guarantee program” as may be determined by the Registrar in addition to,
or in substitution for, STAMP, all in accordance with the Securities Exchange Act of 1934, as amended. 

  

 A2-6Indenture dated as of October 12, 2004

  
 Exhibit 4.4 

 

  
 EXECUTION COPY 
  

  
 Boston Private Financial Holdings, Inc. 
  
 (a Massachusetts corporation) 
  

  
 INDENTURE 
  
 Dated as of October 12, 2004 
  

  
  
 SunTrust Bank 
  
 as Debenture Trustee 
  

  
 JUNIOR SUBORDINATED CONVERTIBLE DEBENTURES 
  

  
 TABLE OF CONTENTS

  

					
	 	  	 	  	Page

	 ARTICLE I DEFINITIONS
	  	1
			
	 SECTION 1.01
	  	 Definitions
	  	1
		
	 ARTICLE II SECURITIES
	  	10
			
	 SECTION 2.01
	  	 Forms Generally
	  	10
	 SECTION 2.02
	  	 Execution and Authentication
	  	11
	 SECTION 2.03
	  	 Form and Payment
	  	11
	 SECTION 2.04
	  	 Global Security
	  	11
	 SECTION 2.05
	  	 Interest
	  	13
	 SECTION 2.06
	  	 Transfer and Exchange
	  	13
	 SECTION 2.07
	  	 Replacement Securities
	  	17
	 SECTION 2.08
	  	 Temporary Securities
	  	17
	 SECTION 2.09
	  	 Cancellation
	  	18
	 SECTION 2.10
	  	 Defaulted Interest
	  	18
	 SECTION 2.11
	  	 CUSIP Numbers
	  	19
		
	 ARTICLE III PARTICULAR COVENANTS OF THE CORPORATION
	  	19
			
	 SECTION 3.01
	  	 Payment of Principal and Interest
	  	19
	 SECTION 3.02
	  	 Offices for Notices and Payments, Etc.
	  	20
	 SECTION 3.03
	  	 Appointments to Fill Vacancies in Debenture Trustee’s Office
	  	20
	 SECTION 3.04
	  	 Provision as to Paying Agent
	  	20
	 SECTION 3.05
	  	 Certificate to Debenture Trustee
	  	21
	 SECTION 3.06
	  	 Compliance with Consolidation Provisions
	  	21
	 SECTION 3.07
	  	 Limitation on Dividends
	  	21
	 SECTION 3.08
	  	 Covenants as to Boston Private Capital Trust I
	  	22

  

 i 

					
	 SECTION 3.09
	  	 Payment of Expenses
	  	23
	 SECTION 3.10
	  	 Payment Upon Resignation or Removal
	  	23
		
	 ARTICLE IV SECURITYHOLDERS’ LISTS AND REPORTS BY THE CORPORATION AND THE DEBENTURE TRUSTEE
	  	24
			
	 SECTION 4.01
	  	 Securityholders’ Lists
	  	24
	 SECTION 4.02
	  	 Preservation and Disclosure of Lists
	  	24
	 SECTION 4.03
	  	 Reports by the Corporation
	  	25
	 SECTION 4.04
	  	 Reports by the Debenture Trustee
	  	26
		
	 ARTICLE V REMEDIES OF THE DEBENTURE TRUSTEE AND SECURITYHOLDERS ON EVENT OF DEFAULT
	  	26
			
	 SECTION 5.01
	  	 Events of Default
	  	26
	 SECTION 5.02
	  	 Payment of Securities on Default; Suit Therefor
	  	28
	 SECTION 5.03
	  	 Application of Moneys Collected by Debenture Trustee
	  	30
	 SECTION 5.04
	  	 Proceedings by Securityholders
	  	30
	 SECTION 5.05
	  	 Proceedings by Debenture Trustee
	  	31
	 SECTION 5.06
	  	 Remedies Cumulative and Continuing
	  	31
	 SECTION 5.07
	  	 Direction of Proceedings and Waiver of Defaults by Majority of Securityholders
	  	32
	 SECTION 5.08
	  	 Notice of Defaults
	  	32
	 SECTION 5.09
	  	 Undertaking to Pay Costs
	  	33
	 SECTION 5.10
	  	 Acknowledgment of Rights
	  	33
		
	 ARTICLE VI CONCERNING THE DEBENTURE TRUSTEE
	  	34
			
	 SECTION 6.01
	  	 Duties and Responsibilities of Debenture Trustee
	  	34
	 SECTION 6.02
	  	 Reliance on Documents, Opinions, Etc.
	  	35
	 SECTION 6.03
	  	 No Responsibility for Recitals, Etc.
	  	37
	 SECTION 6.04
	  	 Debenture Trustee, Authenticating Agent, Paying Agents, Transfer Agents or Registrar May Own Securities
	  	37

  

 ii 

					
	 SECTION 6.05
	  	 Moneys to Be Held in Trust
	  	37
	 SECTION 6.06
	  	 Compensation and Expenses of Debenture Trustee
	  	37
	 SECTION 6.07
	  	 Officers’ Certificate as Evidence
	  	38
	 SECTION 6.08
	  	 Conflicting Interest of Debenture Trustee
	  	38
	 SECTION 6.09
	  	 Eligibility of Debenture Trustee
	  	39
	 SECTION 6.10
	  	 Resignation or Removal of Debenture Trustee
	  	39
	 SECTION 6.11
	  	 Acceptance by Successor Debenture Trustee
	  	40
	 SECTION 6.12
	  	 Succession by Merger, Etc.
	  	41
	 SECTION 6.13
	  	 Limitation on Rights of Debenture Trustee as a Creditor
	  	41
	 SECTION 6.14
	  	 Co-trustees and Separate Trustees
	  	41
	 SECTION 6.15
	  	 Authenticating Agents
	  	43
		
	 ARTICLE VII CONCERNING THE SECURITYHOLDERS
	  	44
			
	 SECTION 7.01
	  	 Action by Securityholders
	  	44
	 SECTION 7.02
	  	 Proof of Execution by Securityholders
	  	44
	 SECTION 7.03
	  	 Who Are Deemed Absolute Owners
	  	45
	 SECTION 7.04
	  	 Securities Owned by Corporation Deemed Not Outstanding
	  	45
	 SECTION 7.05
	  	 Revocation of Consents; Future Holders Bound
	  	45
		
	 ARTICLE VIII SECURITYHOLDERS’ MEETINGS
	  	46
			
	 SECTION 8.01
	  	 Purposes of Meetings
	  	46
	 SECTION 8.02
	  	 Call of Meetings by Debenture Trustee
	  	46
	 SECTION 8.03
	  	 Call of Meetings by Corporation or Securityholders
	  	46
	 SECTION 8.04
	  	 Qualifications for Voting
	  	47
	 SECTION 8.05
	  	 Regulations
	  	47
	 SECTION 8.06
	  	 Voting
	  	47

  

 iii 

					
		
	 ARTICLE IX AMENDMENTS
	  	48
			
	 SECTION 9.01
	  	 Without Consent of Securityholders
	  	48
	 SECTION 9.02
	  	 With Consent of Securityholders
	  	49
	 SECTION 9.03
	  	 Compliance with Trust Indenture Act; Effect of Supplemental Indentures
	  	50
	 SECTION 9.04
	  	 Notation on Securities
	  	51
	 SECTION 9.05
	  	 Evidence of Compliance of Supplemental Indenture to Be Furnished to Debenture Trustee
	  	51
		
	 ARTICLE X CONSOLIDATION, MERGER, SALE, CONVEYANCE AND LEASE
	  	51
			
	 SECTION 10.01
	  	 Corporation May Consolidate, Etc., on Certain Terms
	  	51
	 SECTION 10.02
	  	 Successor Corporation to Be Substituted for Corporation
	  	52
	 SECTION 10.03
	  	 Opinion of Counsel to Be Given to Debenture Trustee
	  	52
		
	 ARTICLE XI SATISFACTION AND DISCHARGE OF INDENTURE
	  	52
			
	 SECTION 11.01
	  	 Discharge of Indenture
	  	52
	 SECTION 11.02
	  	 Deposited Moneys and U.S. Government Obligations to Be Held in Trust by Debenture Trustee
	  	53
	 SECTION 11.03
	  	 Paying Agent to Repay Moneys Held
	  	53
	 SECTION 11.04
	  	 Return of Unclaimed Moneys
	  	54
	 SECTION 11.05
	  	 Defeasance Upon Deposit of Moneys or U.S. Government Obligations
	  	54
		
	 ARTICLE XII IMMUNITY OF INCORPORATORS, STOCKHOLDERS, OFFICERS AND DIRECTORS
	  	55
			
	 SECTION 12.01
	  	 Indenture and Securities Solely Corporate Obligations
	  	55
		
	 ARTICLE XIII MISCELLANEOUS PROVISIONS
	  	56
			
	 SECTION 13.01
	  	 Successors
	  	56
	 SECTION 13.02
	  	 Official Acts by Successor Corporation
	  	56
	 SECTION 13.03
	  	 Surrender of Corporation Powers
	  	56
	 SECTION 13.04
	  	 Addresses for Notices, Etc.
	  	56

  

 iv 

					
	 SECTION 13.05
	  	 Governing Law
	  	57
	 SECTION 13.06
	  	 Evidence of Compliance with Conditions Precedent
	  	57
	 SECTION 13.07
	  	 Business Days
	  	57
	 SECTION 13.08
	  	 Trust Indenture Act to Control
	  	57
	 SECTION 13.09
	  	 Table of Contents, Headings, Etc.
	  	58
	 SECTION 13.10
	  	 Execution in Counterparts
	  	58
	 SECTION 13.11
	  	 Separability
	  	58
	 SECTION 13.12
	  	 Assignment
	  	58
		
	 ARTICLE XIV REDEMPTION OF SECURITIES
	  	58
			
	 SECTION 14.01
	  	 Special Event Redemption
	  	58
	 SECTION 14.02
	  	 Optional Redemption by Corporation
	  	58
	 SECTION 14.03
	  	 No Sinking Fund
	  	59
	 SECTION 14.04
	  	 Notice of Redemption; Selection of Securities
	  	59
	 SECTION 14.05
	  	 Payment of Securities Called for Redemption
	  	60
	 SECTION 14.06
	  	 Conversion Arrangement on Call for Redemption
	  	61
		
	 ARTICLE XV SUBORDINATION OF SECURITIES
	  	61
			
	 SECTION 15.01
	  	 Agreement to Subordinate
	  	61
	 SECTION 15.02
	  	 Default on Senior Indebtedness
	  	62
	 SECTION 15.03
	  	 Liquidation; Dissolution; Bankruptcy
	  	62
	 SECTION 15.04
	  	 Subrogation
	  	64
	 SECTION 15.05
	  	 Debenture Trustee to Effectuate Subordination
	  	64
	 SECTION 15.06
	  	 Notice by the Corporation
	  	65
	 SECTION 15.07
	  	 Rights of the Debenture Trustee; Holders of Senior Indebtedness
	  	66
	 SECTION 15.08
	  	 Subordination May Not Be Impaired
	  	66

  

 v 

					
		
	 ARTICLE XVI EXTENSION OF INTEREST PAYMENT PERIOD
	  	67
			
	 SECTION 16.01
	  	 Extension of Interest Payment Period
	  	67
	 SECTION 16.02
	  	 Notice of Extension
	  	67
		
	 ARTICLE XVII CONVERSION OF SECURITIES
	  	68
			
	 SECTION 17.01
	  	 Conversion Rights
	  	68
	 SECTION 17.02
	  	 Conversion Procedures
	  	68
	 SECTION 17.03
	  	 Conversion Ratio Adjustments
	  	71
	 SECTION 17.04
	  	 Conversion Ratio Adjustments Upon Change in Control
	  	76
	 SECTION 17.05
	  	 Share Exchange, Consolidation, Merger or Sale of Assets
	  	78
	 SECTION 17.06
	  	 Notice of Adjustments of Conversion Ratio
	  	79
	 SECTION 17.07
	  	 Prior Notice of Certain Events
	  	79
	 SECTION 17.08
	  	 Debenture Trustee Not Responsible for Determining Conversion Ratio or Adjustments
	  	80

  

 vi 

  
 THIS INDENTURE, dated as of
October 12, 2004, between Boston Private Financial Holdings, Inc., a Massachusetts corporation (hereinafter sometimes called the “Corporation”), and SunTrust Bank, a Georgia banking corporation, as debenture trustee (hereinafter sometimes
called the “Debenture Trustee”), 
  
 W I T N E S S E T
H 
  
 In consideration of the premises, and the purchase of
the Securities (as defined herein) by the holders thereof, the Corporation covenants and agrees with the Debenture Trustee for the equal and proportionate benefit of the respective holders from time to time of the Securities, as follows: 

 
 ARTICLE I 
 DEFINITIONS 
  
 SECTION 1.01 Definitions. 
  
 The terms defined in this Section 1.01 (except as herein otherwise expressly provided or unless the context otherwise requires) for all purposes of this Indenture shall have the respective meanings specified in this Section 1.01. All other
terms used in this Indenture which are defined in the Trust Indenture Act (as defined herein), or which are by reference therein defined in the Securities Act (as defined herein), shall (except as herein otherwise expressly provided or unless the
context otherwise requires) have the meanings assigned to such terms in said Trust Indenture Act and in said Securities Act as in force at the date of this Indenture as originally executed. The following terms have the meanings given to them in the
Declaration: (i) Clearing Agency; (ii) Delaware Trustee; (iii) Property Trustee; (iv) Administrative Trustees; (v) Preferred Securities; (vi) Direct Action; and (vii) Distributions. All accounting terms used herein and not expressly defined shall
have the meanings assigned to such terms in accordance with generally accepted accounting principles, and the term “generally accepted accounting principles” means such accounting principles as are generally accepted at the time of any
computation. The words “herein,” “hereof” and “hereunder” and other words of similar import refer to this Indenture as a whole and not to any particular Article, Section or other subdivision. The singular includes the
plural and vice versa. 
  
 “Additional Sums” shall have
the meaning set forth in Section 2.05(c). 
  
 “Affiliate” shall have the meaning given to that term in Rule 405 under the Securities Act or any successor rule thereunder. 
  
 “Authenticating Agent” shall mean any agent or agents of the Debenture Trustee which at the time shall be appointed and acting pursuant to
Section 6.15. 
  
 “Bankruptcy Law” shall mean Title 11,
U.S. Code, or any similar federal or state law for the relief of debtors. 
  
 “Board of Directors” shall mean either the board of directors of the Corporation or any duly authorized committee of that board. 
  

 1 

 “Board Resolution” shall mean a copy of a resolution certified by the clerk or an assistant
clerk of the Corporation to have been duly adopted by the Board of Directors and to be in full force and effect on the date of such certification, and delivered to the Debenture Trustee. 
  
 “Boston Private Capital Trust I” or the “Trust” shall mean Boston Private Capital Trust I, a Delaware
business trust created for the purpose of issuing its undivided beneficial interests in connection with the issuance of Securities under this Indenture. 
  
 “Business Day” shall mean any day other than a Saturday or a Sunday or a day on which banking institutions in New York, New York or the
Principal Office of the Debenture Trustee are authorized or required by law, regulation or executive order to close. 
  
 “Capital Stock” of any corporation means any and all shares, interests, rights to purchase, warrants, options, participations or other
equivalents of or interests in (however designated) stock or other equity issued by that corporation. 
  
 “Change in Control” shall have the meaning set forth in Section 17.04. 
  
 “Closing Price” with respect to any securities on any date means the closing per share closing price (or, if no
closing price is reported, the average of the bid and ask prices or, if more than one in either case, the average of the average bid and average ask prices) on such date as reported in the composite transactions for the principal United States
securities exchange on which such security is traded or, if the security is not listed on a United States national or regional securities exchange, as reported by the National Association of Securities Dealers Automated Quotation System or by the
National Quotation Bureau Incorporated, or if not so available, in such manner as furnished by any New York Stock Exchange member firm selected from time to time by the Board of Directors for that purpose, or a price determined in good faith by the
Board of Directors or, to the extent permitted by applicable law, a duly authorized committee thereof, whose determination shall be conclusive. 
  
 “Commission” shall mean the Securities and Exchange Commission, as from time to time constituted, created under the Exchange Act, or if at any
time after the execution of this Indenture such Commission is not existing and performing the duties now assigned to it under the Trust Indenture Act, then the body performing such duties at such time. 
  
 “Common Securities” shall mean undivided beneficial interests in
the assets of the Trust which are designated as “Common Securities” and rank pari passu with Preferred Securities issued by the Trust, subject to the terms of the Declaration. 
  
 “Common Stock” shall mean the Common Stock, par value $1.00 per
share, of the Corporation or any other class of stock resulting from changes or reclassifications of such Common Stock consisting solely of changes in par value, or from par value to no par value, or from no par value to par value. 
  
 “Compounded Interest” shall have the meaning set forth in Section
16.01. 
  
 “Conversion Date” shall have the meaning set
forth in Section 17.02(a). 
  

 2 

 “Conversion Price” shall mean the quotient obtained by dividing $50.00 by the Conversion Ratio
and rounding the result to four decimal places. 
  
 “Conversion Ratio” shall have the meaning set forth in Section 17.01. 
  
 “Conversion Request” means (a) the irrevocable request to be given by a Securityholder to the Conversion Agent directing the Conversion Agent to convert the Securities into shares of Common Stock and (b) the
irrevocable request to be given by a holder of Preferred Securities to the Conversion Agent directing the Conversion Agent to exchange such stock on behalf of such holder. 
  
 “Corporation” shall mean Boston Private Financial Holdings, Inc., a Massachusetts corporation, and, subject to the
provisions of Article X, shall include its successors and assigns. 
  
 “Corporation Request” or “Corporation Order” shall mean a written request or order signed in the name of the Corporation by the chairman, the chief executive officer, a president, a vice president, the comptroller or the
clerk of the Corporation, and delivered to the Debenture Trustee. 
  
 “Coupon Rate” shall have the meaning set forth in Section 2.05. 
  
 “Current Market Price” shall mean the average of the daily Closing Prices per share of Common Stock for the ten consecutive Trading Days ending not later than the earlier of the date immediately prior to the
date in question and the day before the “ex” date with respect to the issuance, distribution, subdivision or combination requiring such computation. If another issuance, distribution, subdivision or combination to which Section 17.03
applies occurs during the period applicable for calculating “Current Market Price” pursuant to the preceding definition, then “Current Market Price” shall be appropriately adjusted to reflect the impact of such issuance,
distribution, subdivision or combination on the Closing Price of the Common Stock during such period. For purposes of this paragraph, the term “ex” date, when used: 
  
 (A) with respect to any issuance or distribution, means the first date on which the Common Stock trades
regular way on the relevant exchange or in the relevant market from which the Closing Price was obtained without the right to receive such issuance or distribution; 
  
 (B) with respect to any subdivision or combination of shares of Common Stock, means the first date on which
the Common Stock trades regular way on such exchange or in such market after the time at which such subdivision or combination becomes effective, and 
  
 (C) with respect to any tender or exchange offer, means the first date on which the Common Stock trades regular way on such exchange or in
such market after the Expiration Time of such offer. 
  
 Notwithstanding the foregoing, whenever successive adjustments to the Conversion Ratio are called for pursuant to Section 17.03 such adjustments shall be made to the Current Market 

  

 3 

 
Price as may be necessary or appropriate to effectuate the intent of Section 17.03 and to avoid unjust or inequitable results as determined in good faith by
the Board of Directors. 
  
 “Custodian” shall mean any
receiver, trustee, assignee, liquidator, or similar official under any Bankruptcy Law. 
  
 “Debenture Trustee” shall mean the Person identified as “Debenture Trustee” in the first paragraph hereof, and, subject to the provisions of Article VI, shall also include its successors and
assigns as Debenture Trustee hereunder. 
  
 “Declaration” means the Amended and Restated Declaration of Trust of the Trust, dated as of October 12, 2004, as amended from time to time. 
  

“Default” means any event, act or condition that with notice or lapse of time, or both, would constitute an Event of Default. 
  
 “Defaulted Interest” shall have the meaning set forth in Section
2.10. 
  
 “Defeasance Agent” shall have the meaning set
forth in Section 11.05. 
  
 “Deferred Interest” shall
have the meaning set forth in Section 16.01. 
  
 “Definitive
Securities” shall mean those Securities issued in fully registered certificated form not otherwise in global form. 
  
 “Depositary” shall mean, with respect to the Securities, for which the Corporation shall determine that such Securities will be issued as a
Global Security, The Depository Trust Company, New York, New York, another clearing agency, or any successor registered as a clearing agency under the Exchange Act or other applicable statute or regulation, which, in each case, shall be designated
by the Corporation pursuant to Section 2.04(d). 
  
 “Discharged” shall have the meaning set forth in Section 11.05. 
  
 “Dissolution Event” means the liquidation of the Trust pursuant to the Declaration, and the distribution of the Securities held by the Property Trustee to the holders of the Trust Securities issued by the
Trust pro rata in accordance with the Declaration. 
  
 “Effective Date” shall have the meaning set forth in Section 17.04. 
  
 “Event of Default” shall mean any event specified in Section 5.01, continued for the period of time, if any, and after the giving of the notice, if any, therein designated. 
  
 “Exchange Act” shall mean the Securities Exchange Act of 1934, as
amended. 
  
 “Expiration Time” shall have the meaning
set forth in Section 17.03(e). 
  
 “Extended Interest Payment
Period” shall have the meaning set forth in Section 16.01. 
  
 “Federal Reserve” shall mean the Board of Governors of the Federal Reserve System. 
  

 4 

 “Global Security” means, with respect to the Securities, a Security executed by the Corporation
and delivered by the Debenture Trustee to the Depositary or pursuant to the Depositary’s instruction, all in accordance with the Indenture, which shall be registered in the name of the Depositary or its nominee. 
  
 “Indebtedness” shall mean, whether recourse is to all or a portion
of the assets of the Corporation and whether or not contingent, (i) every obligation of the Corporation for money borrowed; (ii) every obligation of the Corporation evidenced by bonds, debentures, notes or other similar instruments, including
obligations incurred in connection with the acquisition of property, assets or businesses; (iii) every reimbursement obligation of the Corporation with respect to letters of credit, banker’s acceptances or similar facilities issued for the
account of the Corporation; (iv) every obligation of the Corporation issued or assumed as the deferred purchase price of property or services (but excluding trade accounts payable or accrued liabilities arising in the ordinary course of business);
(v) every capital lease obligation of the Corporation; (vi) all indebtedness of the Corporation whether incurred on or prior to the date of the Indenture or thereafter incurred, for claims in respect of derivative products, including interest rate,
foreign exchange rate and commodity forward contracts, options and swaps and similar arrangements; and (vii) every obligation of the type referred to in clauses (i) through (vi) of another Person and all dividends of another Person the payment of
which, in either case, the Corporation has guaranteed or is responsible or liable for, directly or indirectly, as obligor or otherwise. 
  
 “Indebtedness Ranking on a Parity with the Securities” shall mean (i) Indebtedness, whether outstanding on the date of execution of this
Indenture or hereafter created, assumed or incurred, to the extent such Indebtedness by its terms ranks equally with and not prior or senior to the Securities in the right of payment upon the happening of the dissolution or winding-up or liquidation
or reorganization of the Corporation, and (ii) all other debt securities, and guarantees in respect of those debt securities, issued to any trust other than the Trust, or a trustee of such trust, partnership or other entity affiliated with the
Corporation, that is a financing vehicle of the Corporation (a “financing entity”) in connection with the issuance by such financing entity of equity securities or other securities guaranteed by the Corporation pursuant to an instrument
that ranks pari passu in right of payment to the Trust Securities Guarantee. The securing of any Indebtedness, otherwise constituting Indebtedness Ranking on a Parity with the Securities, shall not be deemed to prevent such Indebtedness from
constituting Indebtedness Ranking on a Parity with the Securities. 
  
 “Indebtedness Ranking Junior to the Securities” shall mean any Indebtedness, whether outstanding on the date of execution of this Indenture or hereafter created, assumed or incurred, to the extent such Indebtedness by its terms
ranks junior to and not equally with or prior to the Securities (and any other Indebtedness Ranking on a Parity with the Securities) in right of payment upon the happening of the dissolution or winding-up or liquidation or reorganization of the
Corporation. The securing of any Indebtedness, otherwise constituting Indebtedness Ranking Junior to the Securities, shall not be deemed to prevent such Indebtedness from constituting Indebtedness Ranking Junior to the Securities. 
  
 “Indenture” shall mean this instrument as originally executed or,
if amended as herein provided, as so amended. 
  

 5 

 “Interest” shall mean, without duplication, all interest payable hereunder on the principal at
the Coupon Rate plus Compounded Interest, Liquidated Damages and Additional Sums, if any, that may be payable on the Securities pursuant to the terms of the Indenture, and other amounts payable hereunder with respect to any overdue installment of
principal or Interest. 
  
 “Interest Payment Date” shall
have the meaning set forth in Section 2.05(a). 
  
 “Investment Company Act” means the Investment Company Act of 1940 and any statute successor thereto, in such case as amended from time to time. 
  
 “Investment Company Event” means the receipt by the Corporation and the Trust of an opinion of independent
securities counsel, experienced in such matters to the effect that, as a result of (a) any amendment to, or change (including any announced prospective change) in, any laws (or any regulations thereunder) of the United States or any rules,
guidelines or policies of any applicable regulatory agency or authority or (b) any official administrative pronouncement or judicial decision interpreting or applying such laws or regulations, which amendment or change is effective or which
pronouncement or decision is announced on or after the date of original issuance of the Preferred Securities, that the Trust is, or within 90 days of the opinion will be considered an “investment company” that is required to be registered
under the Investment Company Act. 
  
 “Like Amount”
means (i) with respect to a redemption of the Trust Securities, Trust Securities having a liquidation amount equal to the principal amount of Securities to be paid in accordance with their terms and (ii) with respect to a distribution of Securities
upon the liquidation of the Trust, Securities having a principal amount equal to the liquidation amount of the Trust Securities of the holder to whom Securities are distributed. 
  
 “Liquidated Damages” shall mean Liquidated Damages as defined in the Registration Rights Agreement, dated as of
October 12, 2004, among the Corporation, the Trust, Merrill Lynch & Co. and Merrill Lynch, Pierce, Fenner & Smith Incorporated and Sandler O’Neill & Partners, L.P. on behalf of themselves as initial purchasers; provided,
however, that Liquidated Damages shall be due and payable only at the times, in the amounts and to the Persons as provided in the Registration Rights Agreement. 
  
 “Maturity Date” shall mean October 1, 2034. 
  
 “Mortgage” shall mean and include any mortgage, pledge, lien, security interest, conditional sale or other title
retention agreement or other similar encumbrance. 
  
 “Non-Book-Entry Preferred Securities” shall have the meaning set forth in Section 2.04(a)(ii). 
  
 “Non-Electing Share” shall have the meaning set forth in Section 17.05. 
  
 “Officers” shall mean any of the chairman, the chief executive officer, a president, a vice president, the chief
financial officer or a clerk of the Corporation. 
  

 6 

 “Officers’ Certificate” shall mean a certificate signed by two Officers and delivered to
the Debenture Trustee. 
  
 “Opinion of Counsel” shall
mean a written opinion of counsel, who may be an employee of the Corporation, and who shall be reasonably acceptable to the Debenture Trustee. 
  
 “Other Debentures” means all junior subordinated debentures issued by the Corporation from time to time and sold to trusts established or to be
established by the Corporation (if any), in each case similar to the Trust. 
  
 “Other Guarantees” means all guarantees to be issued by the Corporation with respect to preferred securities (if any) and issued to other trusts established or to be established by the Corporation (if any),
in each case similar to the Trust. 
  
 The term
“outstanding” when used with reference to the Securities, shall mean, subject to the provisions of Section 7.04, as of any particular time, all Securities authenticated and delivered by the Debenture Trustee or the Authenticating Agent
under this Indenture, except 
  
 (a) Securities
theretofore cancelled by the Debenture Trustee or the Authenticating Agent or delivered to the Debenture Trustee for cancellation; 
  
 (b) Securities, or portions thereof, for the payment or redemption of which moneys in the necessary amount shall have been deposited in
trust with the Debenture Trustee or with any paying agent (other than the Corporation) or shall have been set aside and segregated in trust by the Corporation (if the Corporation shall act as its own paying agent); provided that, if such Securities,
or portions thereof, are to be redeemed prior to maturity thereof, notice of such redemption shall have been given as set forth in Article XIV or provision satisfactory to the Debenture Trustee shall have been made for giving such notice; and

  
 (c) Securities in lieu of or in substitution
for which other Securities shall have been authenticated and delivered pursuant to the terms of Section 2.07 unless proof satisfactory to the Corporation and the Debenture Trustee is presented that any such Securities are held by bona fide holders
in due course. 
  
 “Person” or “persons” shall
mean any individual, corporation, estate, partnership, joint venture, association, joint-stock company, limited liability company, trust, unincorporated organization or government or any agency or political subdivision thereof. 
  
 “Predecessor Security” of any particular Security means every
previous Security evidencing all or a portion of the same debt and as that evidenced by such particular Security; and, for the purposes of this definition, any Security authenticated and delivered under Section 2.07 in lieu of a lost, destroyed or
stolen security shall be deemed to evidence the same debt as the lost, destroyed or stolen Security. 
  
 “Preferred Securities” shall mean undivided beneficial interests in the assets of the Trust which are designated as “Preferred
Securities” and rank pari passu with the Common Securities issued by the Trust, subject to the terms of the Declaration. 
  

 7 

 “Principal Office of the Debenture Trustee,” or other similar term, shall mean the office of
the Debenture Trustee, at which at any particular time its corporate trust business shall be administered. 
  
 “Property Trustee” shall have the same meaning as set forth in the Declaration. 
  
 “Purchase Agreement” shall mean the Purchase Agreement, dated as of October 5, 2004, among the Corporation, the
Trust and the initial purchasers named therein. 
  
 “Purchased Shares” shall have the meaning set forth in Section 17.03(e). 
  
 “Redemption Date” or “redemption date” or “date fixed for redemption,” when used with respect to any Security to be redeemed, means the date fixed for such redemption pursuant to this
Indenture. 
  
 “Redemption Price” shall mean an amount
equal to 100% of the principal amount of Securities to be redeemed plus accrued and unpaid Interest thereon to the date of such redemption. 
  
 “Regulatory Capital Event” means that the Corporation shall have received an opinion of independent bank regulatory counsel experienced in such
matters to the effect that, as a result of (a) any amendment to, or change (including any announced prospective change) in, any laws (or any regulations thereunder) of the United States or any rules, guidelines or policies of any applicable
regulatory agency or authority or (b) any official administrative pronouncement or judicial decision interpreting or applying such laws or regulations, which amendment or change is effective or such pronouncement or decision is announced on or after
the date of original issuance of the Preferred Securities, the Preferred Securities do not constitute, or within 90 days of the date of the opinion, will not constitute, Tier 1 Capital (or its then equivalent if the Corporation were subject to such
Capital Requirement); provided, however, that the distribution of the Securities in connection with the liquidation of the Trust by the Corporation, Initial Purchaser of Common Securities (as defined in the Declaration), shall not in
and of itself constitute a Regulatory Capital Event unless such liquidation shall have occurred in connection with a Tax Event. 
  
 “Responsible Officer” shall mean any officer of the Debenture Trustee’s corporate trust department with direct responsibility for the
administration of the Indenture and also means, with respect to a particular corporate trust matter, any other officer to whom such matter is referred because of his knowledge of and familiarity with the particular subject. 
  
 “Restricted Securities” shall have the meaning set forth in Section
2.06(b). 
  
 “Securities” or “Security” mean
any debt securities or debt security, as the case may be, authenticated and delivered under this Indenture. 
  
 “Securities Act” shall mean the Securities Act of 1933, as amended. 
  

 8 

 “Securityholder”, “holder of Securities”, “Holder” or other similar terms
shall mean any Person in whose name at the time a particular Security is registered on the register kept by the Corporation or the Debenture Trustee for that purpose in accordance with the terms hereof. 
  
 “Security Register” shall mean (i) prior to a Dissolution Event,
the list of holders provided to the Debenture Trustee pursuant to Section 4.01, and (ii) following a Dissolution Event, any security register maintained by a security registrar for the Securities appointed by the Corporation following the execution
of a supplemental indenture providing for transfer procedures as provided for in Section 2.06(a). 
  
 “Senior Indebtedness” shall mean the principal of (and premium, if any) and interest, if any, on all Indebtedness, whether outstanding on the
date of execution of this Indenture or hereafter created, assumed or incurred, except Indebtedness Ranking on a Parity with the Securities or Indebtedness Ranking Junior to the Securities, and any deferrals, renewals or extensions of such Senior
Indebtedness. 
  
 “Special Event” means either an
Investment Company Event, a Regulatory Capital Event or a Tax Event. 
  
 “Subsidiary” shall mean with respect to any Person, (i) any corporation at least a majority of the outstanding voting stock of which is owned, directly or indirectly, by such Person or by one or more of its Subsidiaries, or by
such Person and one or more of its Subsidiaries, (ii) any general partnership, joint venture or similar entity, at least a majority of whose outstanding partnership or similar interests shall at the time be owned by such Person, or by one or more of
its Subsidiaries, or by such Person and one or more of its Subsidiaries and (iii) any limited partnership of which such Person or any of its Subsidiaries is a general partner. For the purposes of this definition, “voting stock” means
shares, interests, participations or other equivalents in the equity interest (however designated) in such Person having ordinary voting power for the election of a majority of the directors (or the equivalent) of such Person, other than shares,
interests, participations or other equivalents having such power only by reason of the occurrence of a contingency. 
  
 “Tax Event” shall mean the receipt by the Corporation and the Trust of an opinion of, independent tax counsel experienced in such matters to the
effect that, as a result of (a) any amendment to, change in or announced prospective change in, the laws or any regulations thereunder of the United States or any political subdivision or taxing authority thereof or therein, or (b) any official
administrative pronouncement or judicial decision interpreting or applying such laws or regulations, which amendment or change is effective or which pronouncement or decision is announced on or after the date of original issuance of the Preferred
Securities, there is more than an insubstantial risk that (i) the Trust is, or will be within 90 days of the date of such opinion, subject to United States federal income tax with respect to interest received or accrued on the Securities, (ii)
interest payable by the Corporation on the Securities is not, or within 90 days of the date of such opinion will not be, deductible by the Corporation, in whole or in part, for United States federal income tax purposes or (iii) the Trust is, or will
be within 90 days of the date of such opinion, subject to more than a de minimis amount of other taxes, duties or other governmental charges. 
  

 9 

 “Tender Expiration Time” shall have the meaning set forth in Section 17.03(e). 
  
 “Trading Days” with respect to the Corporation’s Common Stock
means (a) if the Corporation’s Common Stock is listed or admitted for trading on any national securities exchange, days on which such national securities exchange is open for business or (b) if the corporation’s Common Stock is quoted on
The Nasdaq Stock Market or any similar system of automated dissemination of quotations of securities prices, days on which trades may be made on such system. 
  
 “Trust Indenture Act” shall mean the Trust Indenture Act of 1939 as in force at the date of execution of this Indenture, except as provided in
Section 9.03; provided, however, that, in the event the Trust Indenture Act is amended after such date, “Trust Indenture Act” shall mean, to the extent required by any such amendment, the Trust Indenture Act as so amended.

  
 “Trust Securities” shall mean the Preferred
Securities and the Common Securities, collectively. 
  
 “Trust Securities Guarantee” shall mean any guarantee that the Corporation may enter into with SunTrust Bank or other Persons that operates directly or indirectly for the benefit of holders of Preferred Securities and the Common
Securities, if any. 
  
 “U.S. Government Obligations”
shall mean securities that are (i) direct obligations of the United States of America for the payment of which its full faith and credit is pledged or (ii) obligations of a Person controlled or supervised by and acting as an agency or
instrumentality of the United States of America the payment of which is unconditionally guaranteed as a full faith and credit obligation by the United States of America, which, in either case under clauses (i) or (ii) are not callable or redeemable
at the option of the issuer thereof, and shall also include a depository receipt issued by a bank or trust company as custodian with respect to any such U.S. Government Obligation or a specific payment of interest on or principal of any such U.S.
Government Obligation held by such custodian for the account of the holder of a depository receipt, provided that (except as required by law) such custodian is not authorized to make any deduction from the amount payable to the holder of such
depository receipt from any amount received by the custodian in respect of the U.S. Government Obligation or the specific payment of interest on or principal of the U.S. Government Obligation evidenced by such depository receipt. 
  
 ARTICLE II 
 SECURITIES 
  
 SECTION 2.01 Forms Generally. 
  
 The Securities and the Debenture Trustee’s certificate of authentication shall be substantially in the form of Exhibit A, the terms of which are incorporated in and made a part of this Indenture. The Securities may have notations,
legends or endorsements required by law, stock exchange rule, agreements to which the Corporation is subject or usage. Each Security shall be dated the date of its authentication. The Securities shall be issued in denominations of $50 and integral
multiples thereof. 
  

 10 

 SECTION 2.02 Execution and Authentication. 
  
 One Officer shall sign the Securities for the Corporation by manual or
facsimile signature. If an Officer whose signature is on a Security no longer holds that office at the time the Security is authenticated, the Security shall nevertheless be valid. 
  
 A Security shall not be valid until authenticated by the manual signature of the Debenture Trustee. The signature of the
Debenture Trustee shall be conclusive evidence that the Security has been authenticated under this Indenture. The form of Debenture Trustee’s certificate of authentication to be borne by the Securities shall be substantially as set forth in
Exhibit A hereto. 
  
 The Debenture Trustee shall, upon a
Corporation Order, authenticate for original issue up to, and the aggregate principal amount of Securities outstanding at any time may not exceed, $108,248,000 aggregate principal amount of the Securities. 
  
 SECTION 2.03 Form and Payment. 
  
 Except as provided in Section 2.04, the Securities shall be issued in fully
registered certificated form without interest coupons. Principal of and Interest on the Securities issued in certificated form will be payable, the transfer of such Securities will be registrable and such Securities will be exchangeable for
Securities bearing identical terms and provisions at the office or agency of the Corporation maintained for such purpose under Section 3.02; provided, however, that payment of Interest with respect to Securities (other than a Global
Security) may be made at the option of the Corporation (i) by check mailed to the holder at such address as shall appear in the Security Register or (ii) by transfer to an account maintained by the Person entitled thereto, provided that proper
transfer instructions have been received in writing by the relevant record date. Notwithstanding the foregoing, so long as the holder of any Securities is the Property Trustee, the payment of the principal of and Interest on such Securities held by
the Property Trustee will be made at such place and to such account as may be designated by the Property Trustee. 
  
 SECTION 2.04 Global Security. 
  
 (a) In connection with a Dissolution Event, 
  
 (i) if any Preferred Securities are held in book-entry form, a Like Amount of Definitive Securities shall be presented to the Debenture
Trustee (if an arrangement with the Depositary has been maintained) by the Property Trustee in exchange for one or more Global Securities (as may be required pursuant to Section 2.06), to be registered in the name of the Depositary, or its nominee,
and delivered by the Debenture Trustee to the Depositary for crediting to the accounts of its participants pursuant to the instructions of the Administrative Trustees; the Corporation upon any such presentation shall execute one or more Global
Securities in such aggregate principal amount and deliver the same to the Debenture Trustee for authentication and delivery in accordance with this Indenture; and payments on the Securities issued as a Global Security will be made to the Depositary;
and 
  

 11 

 (ii) if any Preferred Securities are held in certificated form, the related Definitive
Securities may be presented to the Debenture Trustee by the Property Trustee and any Preferred Security certificate which represents Preferred Securities other than Preferred Securities in book-entry form (“Non-Book-Entry Preferred
Securities”) will be deemed to represent beneficial interests in Securities presented to the Debenture Trustee by the Property Trustee having an aggregate principal amount equal to the aggregate liquidation amount of the Non-Book-Entry
Preferred Securities until such Preferred Security certificates are presented to the security registrar for the Securities for transfer or reissuance, at which time such Preferred Security certificates will be cancelled and a Security, registered in
the name of the holder of the Preferred Security certificate or the transferee of the holder of such Preferred Security certificate, as the case may be, with an aggregate principal amount equal to the aggregate liquidation amount of the Preferred
Security certificate cancelled, will be executed by the Corporation and delivered to the Debenture Trustee for authentication and delivery in accordance with this Indenture. Upon the issuance of such Securities, Securities with an equivalent
aggregate principal amount that were presented by the Property Trustee to the Debenture Trustee will be cancelled. 
  
 (b) The Global Securities shall represent the aggregate amount of outstanding Securities from time to time endorsed thereon; provided, that the aggregate
amount of outstanding Securities represented thereby may from time to time be reduced or increased, as appropriate, to reflect exchanges, conversions and redemptions. Any endorsement of a Global Security to reflect the amount of any increase or
decrease in the amount of outstanding Securities represented thereby shall be made by the Debenture Trustee, in accordance with instructions given by the Corporation as required by this Section 2.04. 
  
 (c) The Global Securities may be transferred, in whole but not in part, only
to the Depositary, another nominee of the Depositary, or to a successor Depositary selected or approved by the Corporation or to a nominee of such successor Depositary. 
  
 (d) If at any time the Depositary notifies the Corporation that it is unwilling or unable to continue as Depositary or the
Depositary has ceased to be a clearing agency registered under the Exchange Act, and a successor Depositary is not appointed by the Corporation within 90 days after the Corporation receives such notice or becomes aware of such condition, as the case
may be, the Corporation will execute, and the Debenture Trustee, upon receipt of a Corporation Order, will authenticate and make available for delivery the Definitive Securities, in authorized denominations, and in an aggregate principal amount
equal to the principal amount of the Global Security, in exchange for such Global Security. If there is an Event of Default, the Depositary shall have the right to exchange the Global Securities for Definitive Securities. In addition, the
Corporation may at any time determine that the Securities shall no longer be represented by a Global Security. In the event of such an Event of Default or such a determination, the Corporation shall execute, and subject to Section 2.07, the
Debenture Trustee, upon receipt of an Officers’ Certificate evidencing such determination by the Corporation and a Corporation Order, will authenticate and make available for delivery the Definitive Securities, in authorized denominations, and
in an aggregate principal amount equal to the principal amount of the Global Security in exchange for such Global Security. Upon the exchange of the Global Security for such Definitive Securities, in authorized denominations, the Global Security
shall be cancelled 

  

 12 

 
by the Debenture Trustee. Such Definitive Securities issued in exchange for the Global Security shall be registered in such names and in such authorized
denominations as the Depositary, pursuant to instructions from its direct or indirect participants or otherwise, shall instruct the Debenture Trustee. The Debenture Trustee shall deliver such Definitive Securities to the Depositary for delivery to
the Persons in whose names such Definitive Securities are so registered. 
  
 SECTION 2.05 Interest. 
  
 (a) Each Security will bear interest at the rate of 4.875% per annum (the “Coupon Rate”) from the most recent date to which interest has been paid or duly provided for or, if no interest has been paid or duly provided for, from
October 12, 2004, until the principal thereof becomes due and payable, and at the Coupon Rate on any overdue principal and (to the extent that payment of such interest is enforceable under applicable law) on any overdue installment of Interest,
compounded quarterly, payable (subject to the provisions of Article XVI) quarterly in arrears on January 1, April 1, July 1 and October 1 of each year (each, an “Interest Payment Date”) commencing on January 1, 2005, to the Person in whose
name such Security or any Predecessor Security is registered, as of 5:00 p.m., New York City time on the regular record date for such interest installment, which shall be the fifteenth day of the month, whether or not a Business Day, prior to the
month in which the relevant Interest Payment Date occurs (or would have occurred but for fact that the Interest Payment Date was not a Business Day). 
  
 (b) Interest will be computed on the basis of a 360-day year consisting of twelve 30-day months and, for any period shorter that a full quarterly period
will be computed on the basis of a 30-day month, and for any period less than a full calendar month, the number of days elapsed per 30-day month. In the event that any Interest Payment Date falls on a day that is not a Business Day, then payment of
Interest payable on such date will be made on the next succeeding day which is a Business Day (and without any Interest or other payment in respect of any such delay), except that if such next succeeding Business Day falls in the next succeeding
calendar year, then such payment shall be made on the immediately preceding Business Day, in each case with the same force and effect as if made on such date. 
  

(c) If at any time the Trust is required to pay any taxes, duties, assessments or governmental charges of whatever nature, other than withholding
taxes, imposed by the United States, or any other taxing authority, then the Corporation will be required to pay additional amounts on the Securities. The additional amounts will be sufficient so that the net amounts received and retained by the
Trust after paying any such taxes, duties, assessments or other governmental charges will be not less than the amounts the Trust would have received had no such taxes, duties, assessments or other governmental charges been imposed. The intention of
this clause is that the Trust will be in the same position it would have been if it did not have to pay such taxes, duties, assessments or other charges. The amounts payable pursuant to this paragraph are referred to as “Additional Sums.”

  
 SECTION 2.06 Transfer and Exchange.

  
 (a) To permit registrations of transfers, the Corporation
shall execute and the Debenture Trustee shall authenticate Definitive Securities and Global Securities at the request of 

  

 13 

 
the security registrar for the Securities. All Definitive Securities and Global Securities issued upon any registration of transfer or exchange of Definitive
Securities or Global Securities shall be the valid obligations of the Corporation, evidencing the same debt, and entitled to the same benefits under this Indenture, as the Definitive Securities or Global Securities surrendered upon such registration
of transfer or exchange. 
  
 No service charge shall be made to a
holder for any registration of transfer or exchange, but the Corporation may require payment of a sum sufficient to cover any transfer tax or similar governmental charge payable in connection therewith. 
  
 The Corporation shall not be required to (i) issue, register the transfer of
or exchange Securities during a period beginning at the opening of business 15 days before the day of mailing of a notice of redemption or any notice of selection of Securities for redemption under Article XIV hereof and ending at the close of
business on the day of such mailing; or (ii) register the transfer of or exchange any Securities selected for redemption in whole or in part except, in the case of any Securities being redeemed in part, any portion thereof not to be redeemed.

  
 Prior to due presentment for the registration of a transfer of
any Security, the Debenture Trustee, the Corporation and any agent of the Debenture Trustee or the Corporation may deem and treat the Person in whose name any Security is registered as the absolute owner of such Security for the purpose of receiving
payment of principal of and premium, if any, and Interest on such Securities, and none of the Debenture Trustee, the Corporation and any agents of the Debenture Trustee or the Corporation shall be affected by notice to the contrary. 
  
 (b) Every Security that bears or is required under this Section 2.06(b) to
bear the legend set forth in this Section 2.06(b) (together with any Common Stock issued upon conversion of the Securities and required to bear the legend set forth in Section 2.06(c), collectively, the “Restricted Securities”) or Section
2.06(c), as the case may be, shall be subject to the restrictions on transfer set forth in this Section 2.06(b) or Section 2.06(c), as the case may be, (including those set forth in the legends set forth below) unless such restrictions on transfer
shall be waived by written consent of the Corporation, and the Holder of each such Restricted Security, by such Holder’s acceptance thereof, agrees to be bound by all such restrictions on transfer. As used in Sections 2.06(b) and 2.06(c), the
term “transfer” encompasses any sale, pledge, transfer or other disposition whatsoever of any Restricted Security. 
  

 14 

 Until the expiration of the holding period applicable to sales thereof under Rule 144(k) under the
Securities Act (or any successor provision) and provided that the holder has not been an Affiliate of the Corporation at any time during the three-month period preceding such date, any certificate evidencing such Security and all Securities issued
in exchange therefor or substitution thereof (other than Common Stock, if any, issued upon conversion thereof, which shall bear the legend set forth in Section 2.06(c), if applicable) shall bear a legend in substantially the following form, unless
such Security has been sold pursuant to a registration statement that has been declared effective under the Securities Act (and which continues to be effective at the time of such transfer), or unless otherwise agreed by the Corporation in writing,
with written notice thereof to the Trustee: 
  
 THIS SECURITY AND
THE UNDERLYING SHARES OF BOSTON PRIVATE FINANCIAL HOLDINGS, INC. COMMON STOCK HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR ANY STATE SECURITIES LAWS. NEITHER THIS SECURITY, THE SHARES OF
UNDERLYING BOSTON PRIVATE FINANCIAL HOLDINGS, INC. COMMON STOCK ISSUABLE UPON CONVERSION OF THIS SECURITY NOR ANY INTEREST OR PARTICIPATION HEREIN OR THEREIN MAY BE REOFFERED, SOLD, ASSIGNED, TRANSFERRED, PLEDGED, ENCUMBERED OR OTHERWISE DISPOSED OF
IN THE ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH TRANSACTION IS EXEMPT FROM, OR NOT SUBJECT TO, REGISTRATION. 
  
 THE HOLDER OF THIS SECURITY, BY ITS ACCEPTANCE HEREOF, AGREES TO OFFER, SELL OR OTHERWISE TRANSFER SUCH SECURITY, PRIOR TO THE DATE (THE “RESALE
RESTRICTION TERMINATION DATE”), WHICH IS TWO YEARS AFTER THE LATER OF THE ORIGINAL ISSUE DATE HEREOF AND THE LAST DATE ON WHICH BOSTON PRIVATE FINANCIAL HOLDINGS, INC. OR ANY AFFILIATE OF BOSTON PRIVATE FINANCIAL HOLDINGS, INC. WAS THE OWNER OF
THIS SECURITY (OR ANY PREDECESSOR OF SUCH SECURITY) ONLY (A) TO BOSTON PRIVATE FINANCIAL HOLDINGS, INC. OR ANY SUBSIDIARY THEREOF, (B) FOR SO LONG AS THE SECURITIES ARE ELIGIBLE FOR RESALE PURSUANT TO RULE 144A, TO A PERSON IT REASONABLY BELIEVES IS
A “QUALIFIED INSTITUTIONAL BUYER” AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT THAT PURCHASES FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL BUYER TO WHICH NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN
RELIANCE ON RULE 144A, (C) PURSUANT TO A REGISTRATION STATEMENT WHICH HAS BEEN DECLARED EFFECTIVE UNDER THE SECURITIES ACT, OR (D) PURSUANT TO ANOTHER AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, SUBJECT TO BOSTON
PRIVATE FINANCIAL HOLDINGS INC.’S, AND THE TRUSTEE’S RIGHT PRIOR TO ANY SUCH OFFER, SALE OR TRANSFER PURSUANT TO CLAUSE (D) TO REQUIRE THE DELIVERY OF AN OPINION OF COUNSEL, CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO EACH OF
THEM, AND IN EACH OF THE FOREGOING CASES, A CERTIFICATE OF TRANSFER IN THE FORM APPEARING ON THE OTHER SIDE OF THIS SECURITY IS COMPLETED AND DELIVERED BY THE TRANSFEROR TO THE TRUSTEE. THIS LEGEND WILL BE REMOVED UPON THE REQUEST OF THE HOLDER UPON
THE EARLIER OF THE TRANSFER OF THE SECURITIES EVIDENCED HEREBY PURSUANT TO CLAUSE (C) ABOVE AND THE RESALE RESTRICTION TERMINATION DATE. THE HOLDER OF THIS SECURITY, BY ITS ACCEPTANCE HEREOF, AGREES THAT IT WILL DELIVER TO EACH PERSON TO WHOM THE
SECURITY EVIDENCED HEREBY IS TRANSFERRED (OTHER THAN A TRANSFER PURSUANT TO CLAUSE (C) ABOVE) A NOTICE SUBSTANTIALLY TO THE EFFECT OF THIS LEGEND. 
  
 BY ITS ACQUISITION OF THIS CERTIFICATE THE HOLDER REPRESENTS THAT EITHER (I) IT IS NOT AN EMPLOYEE BENEFIT PLAN OR OTHER SIMILAR RETIREMENT PLAN OR
ARRANGEMENT, WHETHER OR NOT SUBJECT TO THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED 

  

 15 

 
(“ERISA”), OR SECTION 4975 OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE “CODE”) (OR ANY SIMILAR LAWS OR REGULATIONS), OR AN
ENTITY WHOSE UNDERLYING ASSETS ARE CONSIDERED TO INCLUDE THE ASSETS OF ANY SUCH PLANS AND ARRANGEMENTS (EACH, A “PLAN”) AND NO PART OF THE ASSETS TO BE USED BY THE HOLDER TO ACQUIRE AND/OR HOLD THIS CERTIFICATE OR ANY INTEREST THEREIN
CONSTITUTES PLAN ASSETS OF ANY PLAN OR (II) THE ACQUISITION AND HOLDING OF THIS CERTIFICATE WILL NOT CONSTITUTE A NON-EXEMPT PROHIBITED TRANSACTION UNDER TITLE I OF ERISA OR SECTION 4975 OF THE CODE OR A VIOLATION UNDER ANY OTHER APPLICABLE LAWS AND
REGULATIONS THAT ARE SIMILAR TO THE PROVISIONS OF TITLE I OF ERISA OR SECTION 4975 OF THE CODE. 
  
 (c) Until the expiration of the holding period applicable to sales thereof under Rule 144(k) under the Securities Act (or any successor provision), any
stock certificate representing Common Stock issued upon conversion of such Security shall bear a legend in substantially the following form, unless such Common Stock has been sold pursuant to a registration statement that has been declared effective
under the Securities Act (and which continues to be effective at the time of such transfer) or such Common Stock has been issued upon conversion of Securities that have been transferred pursuant to a registration statement that has been declared
effective under the Securities Act, or unless otherwise agreed by the Corporation in writing with written notice thereof to the transfer agent: 
  
 THIS SECURITY HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR ANY STATE SECURITIES LAWS. NEITHER
THIS SECURITY NOR ANY INTEREST OR PARTICIPATION HEREIN OR THEREIN MAY BE REOFFERED, SOLD, ASSIGNED, TRANSFERRED, PLEDGED, ENCUMBERED OR OTHERWISE DISPOSED OF IN THE ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH TRANSACTION IS EXEMPT FROM, OR NOT
SUBJECT TO, REGISTRATION. 
  
 THE HOLDER OF THIS SECURITY, BY ITS
ACCEPTANCE HEREOF, AGREES TO OFFER, SELL OR OTHERWISE TRANSFER SUCH SECURITY, PRIOR TO THE DATE (THE “RESALE RESTRICTION TERMINATION DATE”), WHICH IS TWO YEARS AFTER THE LATER OF THE ORIGINAL ISSUE DATE OF THE SECURITY UPON THE CONVERSION
OF WHICH THE COMMON STOCK EVIDENCED HEREBY WAS ISSUED AND THE LAST DATE ON WHICH BOSTON PRIVATE FINANCIAL HOLDINGS, INC. OR ANY AFFILIATE OF BOSTON PRIVATE FINANCIAL HOLDINGS, INC. WAS THE OWNER OF THIS SECURITY (OR ANY PREDECESSOR OF SUCH SECURITY)
ONLY (A) TO BOSTON PRIVATE FINANCIAL HOLDINGS, INC. OR ANY SUBSIDIARY THEREOF, (B) FOR SO LONG AS THE SECURITIES ARE ELIGIBLE FOR RESALE PURSUANT TO RULE 144A, TO A PERSON IT REASONABLY BELIEVES IS A “QUALIFIED INSTITUTIONAL BUYER” AS
DEFINED IN RULE 144A UNDER THE SECURITIES ACT THAT PURCHASES FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL BUYER TO WHICH NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A, (C) PURSUANT TO A REGISTRATION
STATEMENT WHICH HAS BEEN DECLARED EFFECTIVE UNDER THE SECURITIES ACT, OR (D) PURSUANT TO ANOTHER AVAILABLE EXEMPTION 

  

 16 

 
FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, SUBJECT TO BOSTON PRIVATE FINANCIAL HOLDINGS INC.’S, AND THE TRANSFER AGENT’S RIGHT PRIOR
TO ANY SUCH OFFER, SALE OR TRANSFER PURSUANT TO CLAUSE (D) TO REQUIRE THE DELIVERY OF AN OPINION OF COUNSEL, CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO EACH OF THEM, AND IN EACH OF THE FOREGOING CASES, A CERTIFICATE OF TRANSFER IN THE
FORM APPEARING ON THE OTHER SIDE OF THIS SECURITY IS COMPLETED AND DELIVERED BY THE TRANSFEROR TO THE TRUSTEE. THIS LEGEND WILL BE REMOVED UPON THE REQUEST OF THE HOLDER UPON THE EARLIER OF THE TRANSFER OF THE SECURITIES EVIDENCED HEREBY PURSUANT TO
CLAUSE (C) ABOVE AND THE RESALE RESTRICTION TERMINATION DATE. THE HOLDER OF THIS SECURITY, BY ITS ACCEPTANCE HEREOF, AGREES THAT IT WILL DELIVER TO EACH PERSON TO WHOM THE SECURITY EVIDENCED HEREBY IS TRANSFERRED (OTHER THAN A TRANSFER PURSUANT TO
CLAUSE (C) ABOVE) A NOTICE SUBSTANTIALLY TO THE EFFECT OF THIS LEGEND. 
  
 (d) The Debenture Trustee shall have no obligation or duty to monitor, determine or inquire as to compliance with any restrictions on transfer imposed under this Indenture or under applicable law with respect to any transfer of any interest
in any Security (including any transfers between or among Depositary participants or beneficial owners of interests in any Global Security) other than to require delivery of such certificates and other documentation or evidence as are expressly
required by, and to do so if and when expressly required by the term of, this Indenture, and to examine the same to determine substantial compliance as to form with the express requirements hereof. The Debenture Trustee shall have no responsibility
for the actions or omissions of the Depositary, or the accuracy of the books and records of the Depositary. 
  
 SECTION 2.07 Replacement Securities. 
  
 If any mutilated Security is surrendered to the Debenture Trustee, or the Corporation and the Debenture Trustee receive evidence to their satisfaction of
the destruction, loss or theft of any Security, the Corporation shall issue and the Debenture Trustee shall authenticate a replacement Security if the Debenture Trustee’s and the Corporation’s requirements, as the case may be, for
replacements of Securities are met. An indemnity bond must be supplied by the holder that is sufficient in the judgment of the Debenture Trustee and the Corporation to protect the Corporation, the Debenture Trustee, any agent thereof or any
authenticating agent from any loss that any of them may suffer if a Security is replaced. The Corporation or the Debenture Trustee may charge for its expenses in replacing a Security. 
  
 Every replacement Security is an obligation of the Corporation and shall be entitled to all of the benefits of this
Indenture equally and proportionately with all other Securities duly issued hereunder. 
  
 SECTION 2.08 Temporary Securities. 
  
 Pending the preparation of Definitive Securities, the Corporation may execute, and upon Corporation Order the Debenture Trustee shall authenticate and
make available for delivery, temporary Securities that are printed, lithographed, typewritten, mimeographed or otherwise 

  

 17 

 
reproduced, in any authorized denomination, substantially of the tenor of the Definitive Securities in lieu of which they are issued and with such
appropriate insertions, omissions, substitutions and other variations as the officers executing such Securities may determine, as conclusively evidenced by their execution of such Securities. 
  
 If temporary Securities are issued, the Corporation shall cause Definitive
Securities to be prepared without unreasonable delay. The Definitive Securities shall be printed, lithographed or engraved, or provided by any combination thereof, or in any other manner permitted by the rules and regulations of any applicable
securities exchange, all as determined by the officers executing such Definitive Securities. After the preparation of Definitive Securities, the temporary Securities shall be exchangeable for Definitive Securities upon surrender of the temporary
Securities at the office or agency maintained by the Corporation for such purpose pursuant to Section 3.02 hereof, without charge to the Holder. Upon surrender for cancellation of any one or more temporary Securities, the Corporation shall execute,
and the Debenture Trustee shall authenticate and make available for delivery, in exchange therefor the same aggregate principal amount of Definitive Securities of authorized denominations. Until so exchanged, the temporary Securities shall in all
respects be entitled to the same benefits under this Indenture as Definitive Securities. 
  
 SECTION 2.09 Cancellation. 
  
 The Corporation at any time may deliver Securities to the Debenture Trustee for cancellation. The Debenture Trustee and no one else shall cancel all
Securities surrendered for registration of transfer, exchange, payment, replacement, conversion or cancellation and shall retain or destroy cancelled Securities in accordance with its normal practices (subject to the record retention requirement of
the Exchange Act) unless the Corporation directs them to be returned to it. The Corporation may not issue new Securities to replace Securities that have been redeemed, converted or paid (except to evidence any portion that has not been redeemed,
converted or paid) or that have been delivered to the Debenture Trustee for cancellation. 
  
 SECTION 2.10 Defaulted Interest. 
  
 Any Interest on any Security that is payable, but is not punctually paid or duly provided for, on any Interest Payment Date (herein called “Defaulted
Interest”) shall forthwith cease to be payable to the holder on the relevant regular record date by virtue of having been such holder; and such Defaulted Interest shall be paid by the Corporation, at its election, as provided in clause (a) or
clause (b) below: 
  
 (a) The Corporation may
make payment of any Defaulted Interest on Securities to the Persons in whose names such Securities (or their respective Predecessor Securities) are registered at the close of business on a special record date for the payment of such Defaulted
Interest, which shall be fixed in the following manner: the Corporation shall notify the Debenture Trustee in writing of the amount of Defaulted Interest proposed to be paid on each such Security and the date of the proposed payment (which date
shall be sufficiently in advance of such notice to permit the Debenture Trustee time to take the actions contemplated by this Section 2.10), and at the same time the Corporation shall deposit with the Debenture Trustee an amount of money equal to
the 

  

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aggregate amount proposed to be paid in respect of such Defaulted Interest or shall make arrangements satisfactory to the Debenture Trustee for such deposit
prior to the date of the proposed payment, such money when deposited to be held in trust for the benefit of the Persons entitled to such Defaulted Interest as in this clause provided. Thereupon the Debenture Trustee shall fix a special record date
for the payment of such Defaulted Interest which shall not be more than 15 nor less than 10 days prior to the date of the proposed payment and not less than 10 days after the receipt by the Debenture Trustee of the notice of the proposed payment.
The Debenture Trustee shall promptly notify the Corporation of such special record date and, in the name and at the expense of the Corporation, shall cause notice of the proposed payment of such Defaulted Interest and the special record date
therefor to be mailed, first class postage prepaid, to each Securityholder at his or her address as it appears in the Security Register, not less than 10 days prior to such special record date. Notice of the proposed payment of such Defaulted
Interest and the special record date therefor having been mailed as aforesaid, such Defaulted Interest shall be paid to the Persons in whose names such Securities (or their respective Predecessor Securities) are registered on such special record
date and shall be no longer payable pursuant to the following clause (b). 
  
 (b) The Corporation may make payment of any Defaulted Interest on any Securities in any other lawful manner not inconsistent with the requirements of any securities exchange on which such Securities may be listed, and
upon such notice as may be required by such exchange, if, after notice given by the Corporation to the Debenture Trustee of the proposed payment pursuant to this clause, such manner of payment shall be deemed practicable by the Debenture Trustee.

  
 SECTION 2.11 CUSIP Numbers.

  
 The Corporation in issuing the Securities may use
“CUSIP” numbers (if then generally in use), and, if so, the Debenture Trustee shall use “CUSIP” numbers in notices of redemption or conversion as a convenience to Securityholders; provided that any such notice may state that no
representation is made as to the correctness of such numbers either as printed on the Securities or as contained in any notice of a redemption or conversion and that reliance may be placed only on the other identification numbers printed on the
Securities, and any such redemption or conversion shall not be affected by any defect in or omission of such numbers. The Corporation will promptly notify the Debenture Trustee of any change in the CUSIP numbers. 
  
 ARTICLE III 
 PARTICULAR COVENANTS OF THE CORPORATION 
  
 SECTION 3.01 Payment of Principal and Interest. 
  
 The Corporation covenants and agrees for the benefit of the holders of the Securities that it will duly and punctually pay
or cause to be paid the principal of and Interest on the Securities at the place, at the respective times and in the manner provided herein. Except as provided in Section 2.03, each installment of Interest on the Securities may be paid by mailing
checks for such Interest payable to the order of the holders of Securities entitled thereto as they appear in the Security Register. The Corporation further covenants to pay any and all amounts, including, 

  

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without limitation, Additional Sums, as may be required pursuant to Section 2.05(c), Liquidated Damages, as may be required pursuant to the Registration
Rights Agreement, and Compounded Interest, as may be required pursuant to Section 16.01. 
  
 SECTION 3.02 Offices for Notices and Payments, Etc. So long as any of the Securities remain outstanding, the Corporation will
maintain in New York, New York, an office or agency where the Securities may be presented for payment, an office or agency where the Securities may be presented for registration of transfer and for exchange as in this Indenture provided and an
office or agency where notices and demands to or upon the Corporation in respect of the Securities or of this Indenture may be served. The Corporation will give to the Debenture Trustee written notice of the location of any such office or agency and
of any change of location thereof. Until otherwise designated from time to time by the Corporation in a notice to the Debenture Trustee, any such office or agency for all of the above purposes shall be Computer Share c/o SunTrust Bank 88 Pine Street
New York, NY 10005. In case the Corporation shall fail to maintain any such office or agency in New York, New York, or shall fail to give such notice of the location or of any change in the location thereof, presentations and demands may be made and
notices may be served at the Principal Office of the Debenture Trustee. 
  
 In addition to any such office or agency, the Corporation may from time to time designate one or more offices or agencies outside New York, New York, where the Securities may be presented for payment, registration of transfer and for
exchange in the manner provided in this Indenture, and the Corporation may from time to time rescind such designation, as the Corporation may deem desirable or expedient; provided, however, that no such designation or rescission shall
in any manner relieve the Corporation of its obligation to maintain any such office or agency in New York, New York, for the purposes above mentioned. The Corporation will give to the Debenture Trustee prompt written notice of any such designation
or rescission thereof. 
  
 SECTION 3.03
Appointments to Fill Vacancies in Debenture Trustee’s Office. 
  
 The Corporation, whenever necessary to avoid or fill a vacancy in the office of Debenture Trustee, will appoint, in the manner provided in Section 6.10, a Debenture Trustee, so that there shall at all times be a
Debenture Trustee hereunder. 
  
 SECTION 3.04
Provision as to Paying Agent. 
  
 (a) If the Corporation
shall appoint a paying agent other than the Debenture Trustee with respect to the Securities, it will cause such paying agent to execute and deliver to the Debenture Trustee an instrument in which such agent shall agree with the Debenture Trustee,
subject to the provision of this Section 3.04, 
  
 (i) that it will hold all sums held by it as such agent for the payment of the principal of or Interest on the Securities (whether such sums have been paid to it by the Corporation or by any other obligor on the Securities) in trust for the
benefit of the holders of the Securities; and 
  

 20 

 (ii) that it will give the Debenture Trustee notice of any failure by the Corporation (or
by any other obligor on the Securities) to make any payment of the principal of or Interest on the Securities when the same shall be due and payable. 
  
 (b) If the Corporation shall act as its own paying agent, it will, on or before each due date of the principal of or Interest on the Securities, set
aside, segregate and hold in trust for the benefit of the holders of the Securities a sum sufficient to pay such principal or Interest so becoming due and will notify the Debenture Trustee of any failure to take such action and of any failure by the
Corporation (or by any other obligor under the Securities) to make any payment of the principal of or Interest on the Securities when the same shall become due and payable. 
  
 (c) Anything in this Section 3.04 to the contrary notwithstanding, the Corporation may, at any time, for the purpose of
obtaining a satisfaction and discharge with respect to the Securities hereunder, or for any other reason, pay or cause to be paid to the Debenture Trustee all sums held in trust for such Securities by the Debenture Trustee or any paying agent
hereunder, as required by this Section 3.04, such sums to be held by the Debenture Trustee upon the trusts herein contained. 
  
 (d) Anything in this Section 3.04 to the contrary notwithstanding, the agreement to hold sums in trust as provided in this Section 3.04 is subject to
Sections 11.03 and 11.04. 
  
 SECTION 3.05
Certificate to Debenture Trustee. 
  
 The Corporation will
deliver to the Debenture Trustee on or before 120 days after the end of each fiscal year in each year, commencing with the first fiscal year ending after the date hereof, so long as securities are outstanding hereunder, an Officers’
Certificate, one of the signers of which shall be the principal executive, principal financial or principal accounting officer of the Corporation, stating that in the course of the performance by the signers of their duties as officers of the
Corporation they would normally have knowledge of any Default by the Corporation in the performance of any covenants contained herein, stating whether or not they have knowledge of any such Default and, if so, specifying each such Default of which
the signers have knowledge and the nature thereof. For purposes of this Section 3.05, Default shall be determined without regard to any period of grace or requirement of notice provided for herein. 
  
 SECTION 3.06 Compliance with Consolidation
Provisions. 
  
 The Corporation will not, while any of the
Securities remain outstanding, consolidate with or merge into any other Person or convey, transfer or lease all or substantially all of its properties to any Person, and no Person may consolidate with or merge into the Corporation or convey,
transfer or lease all or substantially all of its properties to the Corporation, unless the provisions of Article X are complied with. 
  
 SECTION 3.07 Limitation on Dividends. 
  
 The Corporation will not, and will not permit any of its Subsidiaries to, (i) declare or pay any dividends or distributions on, or redeem, purchase,
acquire, or make a liquidation payment with respect to, any of the Corporation’s capital stock, (ii) make any payment of principal, interest or premium, if any, on or repay, repurchase or redeem any debt securities of the 

  

 21 

 
Corporation (including Other Debentures) that rank pari passu with or junior in right of payment to the Securities or (iii) make any guarantee
payments with respect to any guarantee by the Corporation of the debt securities of any Subsidiary of the Corporation (including Other Guarantees) if such guarantee ranks pari passu with or junior in right of payment to the Securities (other
than (a) dividends or distributions in shares of, or options, warrants or rights to subscribe for or purchase shares of Common Stock, (b) any declaration of a dividend in connection with the implementation of, a shareholder’s rights plan, or
the issuance of stock under any such plan in the future, or the redemption or repurchase of any such rights pursuant thereto, (c) payments under the Trust Securities Guarantee, (d) a reclassification of the Corporation’s capital stock or the
exchange or conversion of one class or series of the Corporation’s capital stock for another class or series of the Corporation’s capital stock, (e) the purchase of fractional shares resulting from a reclassification of the
Corporation’s capital stock, (f) the purchase of fractional interests in shares of the Corporation’s capital stock pursuant to the conversion or exchange provisions of such capital stock or the security being converted or exchanged and (g)
purchases of Common Stock related to the issuance of Common Stock or rights under any of the Corporation’s benefit plans for its directors, officers or employees or any of the Corporation’s dividend reinvestment plans), if at such time (1)
an event has occurred that with the giving of notice or the lapse of time, or both, would constitute an Event of Default and the Corporation has not taken reasonable steps to cure the event, (2) the Corporation shall be in default with respect to
its payment obligations under the Trust Securities Guarantee or (3) the Corporation shall have given notice of its election of the exercise of its right to extend the Interest payment period pursuant to Section 16.01 and has not rescinded the
notice, or any such extension shall be continuing. 
  
 SECTION 3.08 Covenants as to Boston Private Capital Trust I. 
  
 In the event Securities are issued to the Trust or a trustee of such trust in connection with the issuance of Trust Securities by the Trust, for so long as such Trust Securities remain outstanding, the Corporation:
(a) will maintain 100% direct or indirect ownership of the Common Securities of the Trust; provided, however, that any successor of the Corporation, permitted pursuant to Article X, may succeed to the Corporation’s ownership of
such Common Securities, (b) will use commercially reasonable efforts to cause the Trust to remain a statutory trust, except in connection with a distribution of Securities to the holders of Trust Securities in liquidation of the Trust; (c) will not
voluntarily terminate, wind-up or liquidate the Trust, except in connection with (i) a distribution of the Securities to the holders of the Preferred Securities in liquidation of the Trust, (ii) the redemption of all of the Preferred Securities and
Common Securities issued by the Trust, (iii) in connection with mergers, consolidations or amalgamations, in each case as permitted by the Declaration; (d) will use its reasonable efforts, consistent with the terms and provisions of the Declaration,
to cause the Trust to remain classified as a grantor trust and not as an association taxable as a corporation for United States federal income tax purposes; and (e) will use its reasonable efforts to ensure that the Trust will not be an
“investment company” for purposes of the Investment Company Act. 
  

 22 

 SECTION 3.09 Payment of Expenses. 
  
 The Corporation, in its capacity as borrower with respect to the Securities,
shall: 
  
 (a) pay all costs and expenses
relating to the offering, sale and issuance of the Securities and the Trust Securities, including commissions to the initial purchasers payable pursuant to the Purchase Agreement and compensation of the Debenture Trustee in accordance with the
provisions of Section 6.06; 
  
 (b) pay all costs
and expenses of the Trust (including, but not limited to, costs and expenses relating to the organization of the Trust, the offering, sale and issuance of the Trust Securities (including commissions to the initial purchasers in connection
therewith), the fees and expenses of the Property Trustee, the Delaware Trustee and the Administrative Trustees, the costs and expenses relating to the operation of the Trust, including, without limitation, costs and expenses of accountants,
attorneys, statistical or bookkeeping services, expenses for printing and engraving and computing or accounting equipment, paying agent(s), registrar(s), transfer agent(s), duplicating, travel and telephone and other telecommunications expenses and
costs and expenses incurred in connection with the acquisition, financing, and disposition of assets of the Trust; 
  
 (c) be primarily and fully liable for any indemnification obligations arising with respect to the Declaration; 
  
 (d) pay any and all taxes duties, assessments and other
governmental charges imposed on the Trust by the United States or any other taxing authority and all liabilities, costs and expenses with respect to such taxes of the Trust; and 
  
 (e) pay all other fees, expenses, debts and obligations (other than in respect of the Trust Securities)
related to the Trust. 
  
 (f) The Corporation
acknowledges that any holder of Preferred Securities may enforce the obligations of the Corporation created under this Section 3.09 pursuant to a Direct Action by such holder against the Corporation and the Corporation hereby waives any right or
remedy that it has or may have to require that a holder of the Preferred Securities take action against the Trust or any other person before proceeding against the Corporation and the Corporation hereby agrees to execute such additional agreements
as may be necessary to give full effect to the agreement described in this sentence. 
  
 SECTION 3.10 Payment Upon Resignation or Removal. 
  
 Upon termination of this Indenture or the removal or resignation of the Debenture Trustee, unless otherwise stated, the
Corporation shall pay to the Debenture Trustee all amounts accrued and owing to the date of such termination, removal or resignation. Upon termination of the Declaration or the removal or resignation of the Delaware Trustee or the Property Trustee,
as the case may be, pursuant to Section 5.07 of the Declaration, the Corporation shall pay to the Delaware Trustee or the Property Trustee, as the case may be, all amounts accrued and owing to the date of such termination, removal or resignation.

  

 23 

  
 ARTICLE IV 

SECURITYHOLDERS’ LISTS AND REPORTS BY THE 
 CORPORATION AND THE DEBENTURE TRUSTEE 
  
 SECTION 4.01 Securityholders’ Lists. 
  
 The Corporation covenants and agrees that it will furnish or cause to be furnished to the Debenture Trustee: 
  
 (a) on each regular record date for the Securities, a list, in such form as the Debenture Trustee may reasonably require, of the names and
addresses of the Securityholders as of such record date; and 
  
 (b) at such other times as the Debenture Trustee may request in writing, within 30 days after the receipt by the Corporation, of any such request, a list of similar form and content as of a date not more than 15 days
prior to the time such list is furnished, except that, no such lists need be furnished so long as the Debenture Trustee is in possession thereof by reason of its acting as security registrar for the Securities. 
  
 SECTION 4.02 Preservation and Disclosure of Lists.

  
 (a) The Debenture Trustee shall preserve, in as current a
form as is reasonably practicable, all information as to the names and addresses of the holders of the Securities (1) contained in the most recent list furnished to it as provided in Section 4.01 or (2) received by it in the capacity of Securities
registrar (if so acting) hereunder. The Debenture Trustee may destroy any list furnished to it as provided in Section 4.01 upon receipt of a new list so furnished. 
  
 (b) In case three or more holders of Securities (hereinafter referred to as “applicants”) apply in writing to the
Debenture Trustee and furnish to the Debenture Trustee reasonable proof that each such applicant has owned a Security for a period of at least six months preceding the date of such application, and such application states that the applicants desire
to communicate with other holders of Securities or with holders of all Securities with respect to their rights under this Indenture and is accompanied by a copy of the form of proxy or other communication which such applicants propose to transmit,
then the Debenture Trustee shall within 5 Business Days after the receipt of such application, at its election, either: 
  
 (i) afford such applicants access to the information preserved at the time by the Debenture Trustee in accordance with the provisions of
Section 4.02(a), or 
  
 (ii) inform such
applicants as to the approximate number of holders of all Securities, whose names and addresses appear in the information preserved at the time by the Debenture Trustee in accordance with the provisions of Section 4.02(a), and as to the approximate
cost of mailing to such Securityholders the form of proxy or other communication, if any, specified in such application. 
  
 If the Debenture Trustee shall elect not to afford such applicants access to such information, the Debenture Trustee shall, upon the written request of
such applicants, mail to each Securityholder whose name and address appear in the information preserved at the time by 

  

 24 

 
the Debenture Trustee in accordance with the provisions of Section 4.02(a) a copy of the form of proxy or other communication which is specified in such
request with reasonable promptness after a tender to the Debenture Trustee of the material to be mailed and of payment, or provision for the payment, of the reasonable expenses of mailing, unless within five Business Days after such tender, the
Debenture Trustee shall mail to such applicants and file with the Commission, together with a copy of the material to be mailed, a written statement to the effect that, in the opinion of the Debenture Trustee, such mailing would be contrary to the
best interests of the holders of Securities of such series or all Securities, as the case may be, or would be in violation of applicable law. Such written statement shall specify the basis of such opinion. If the Commission, after opportunity for a
hearing upon the objections specified in the written statement so filed, shall enter an order refusing to sustain any of such objections or if, after the entry of an order sustaining one or more of such objections, the Commission shall find, after
notice and opportunity for hearing, that all the objections so sustained have been met and shall enter an order so declaring, the Debenture Trustee shall mail copies of such material to all such Securityholders with reasonable promptness after the
entry of such order and the renewal of such tender; otherwise the Debenture Trustee shall be relieved of any obligation or duty to such applicants respecting their application. 
  
 (c) Each and every holder of Securities, by receiving and holding the same, agrees with the Corporation and the Debenture
Trustee that neither the Corporation nor the Debenture Trustee nor any paying agent shall be held accountable by reason of the disclosure of any such information as to the names and addresses of the holders of Securities in accordance with the
provisions of Section 4.02(b), regardless of the source from which such information was derived, and that the Debenture Trustee shall not be held accountable by reason of mailing any material pursuant to a request made under Section 4.02(b).

  
 SECTION 4.03 Reports by the
Corporation. 
  
 (a) The Corporation covenants and agrees to
file with the Debenture Trustee, within 15 days after the date on which the Corporation is required to file the same with the Commission, copies of the annual reports and of the information, documents and other reports (or copies of such portions of
any of the foregoing as said Commission may from time to time by rules and regulations prescribe) which the Corporation may be required to file with the Commission pursuant to Section 13 or Section 15(d) of the Exchange Act; or, if the Corporation
is not required to file information, documents or reports pursuant to either of such sections, then to provide to the Debenture Trustee, such of the supplementary and periodic information, documents and reports which would have been required
pursuant to Section 13 of the Exchange Act in respect of a security listed and registered on a national securities exchange as may be prescribed from time to time in such rules and regulations. 
  
 (b) The Corporation covenants and agrees to file with the Debenture Trustee
and the Commission, in accordance with the rules and regulations prescribed from time to time by said Commission, such additional information, documents and reports with respect to compliance by the Corporation with the conditions and covenants
provided for in this Indenture as may be required from time to time by such rules and regulations. 
  

 25 

 (c) The Corporation covenants and agrees to transmit by mail to all holders of Securities, as the names
and addresses of such holders appear upon the Security Register, within 30 days after the filing thereof with the Debenture Trustee, such summaries of any information, documents and reports required to be filed by the Corporation pursuant to
Sections 4.03(a) and 4.03(b) as may be required by rules and regulations prescribed from time to time by the Commission. 
  
 (d) Delivery of such reports, information and documents to the Debenture Trustee is for informational purposes only and the Debenture Trustee’s
receipt of such shall not constitute constructive notice of any information contained therein or determinable from information contained therein, including the Corporation’s compliance with any of its covenants hereunder (as to which the
Debenture Trustee is entitled to rely exclusively on Officers’ Certificates). 
  
 SECTION 4.04 Reports by the Debenture Trustee. 
  
 (a) The Debenture Trustee shall transmit to Securityholders such reports concerning the Debenture Trustee and its actions
under this Indenture as may be required pursuant to the Trust Indenture Act at the times and in the manner provided pursuant thereto. If required by Section 313(a) of the Trust Indenture Act, the Debenture Trustee shall, within sixty days after
January 1 of each year following the date of this Indenture, commencing January 1, 2005, deliver to Securityholders a brief report, which complies with the provisions of such Section 313(a). 
  
 (b) A copy of each such report shall, at the time of such transmission to
Securityholders, be filed by the Debenture Trustee with each stock exchange, if any, upon which the Securities are listed, with the Commission and with the Corporation. The Corporation will promptly notify the Debenture Trustee when the Securities
are listed on any stock exchange. 
  
 ARTICLE V 

REMEDIES OF THE DEBENTURE TRUSTEE AND SECURITYHOLDERS 
 ON EVENT OF DEFAULT 
  
 SECTION 5.01 Events of Default. 
  
 One or more of the following events of default shall constitute an Event of Default hereunder (whatever the reason for such Event of Default and whether it shall be voluntary or involuntary or be effected by operation of law or pursuant to
any judgment, decree or order of any court or any order, rule or regulation of any administrative or governmental body): 
  
 (a) default in the payment of any Interest on the Securities, whether or not such payment is prohibited by the subordination provisions of
Article XV, or any Other Debentures when due, and continuance of such default for a period of 30 days; provided, however, that a valid extension of an Interest payment period by the Corporation in accordance with the terms hereof shall
not constitute a default in the payment of Interest for this purpose; or 
  
 (b) default in the payment of any principal of the Securities (whether or not such payment is prohibited by the subordination provisions of Article XV) or any Other 

  

 26 

 
Debentures when due whether at maturity, upon redemption, by declaration of acceleration of maturity or otherwise; or 
  
 (c) default in the performance, or breach, of any covenant
of the Corporation in this Indenture (other than a covenant a default in whose performance or whose breach is elsewhere in this Section specifically dealt with), and continuance of such default or breach for a period of 90 days after there has been
given, by registered or certified mail, to the Corporation by the Debenture Trustee or to the Corporation and the Debenture Trustee by the holders of at least 25% in aggregate principal amount of the outstanding Securities a written notice
specifying such default or breach and requiring it to be remedied and stating that such notice is a “Notice of Default” hereunder; or 
  
 (d) a court having jurisdiction in the premises shall enter a decree or order for relief in respect of the corporation in an involuntary
case under any applicable bankruptcy, insolvency or other similar law now or hereafter in effect, or appointing a receiver, liquidator, assignee, custodian, trustee, sequestrator (or similar official) of the Corporation or for any substantial part
of its property, or ordering the winding-up or liquidation of its affairs and such decree or order shall remain unstayed and in effect for a period of 90 consecutive days; or 
  
 (e) the Corporation shall commence a voluntary case under any applicable bankruptcy, insolvency or other
similar law now or hereafter in effect, shall consent to the entry of an order for relief in an involuntary case under any such law, or shall consent to the appointment of or taking possession by a receiver, liquidator, assignee, trustee, custodian,
sequestrator (or other similar official) of the Corporation or of any substantial part of its property, or shall make any general assignment for the benefit of creditors, or shall fail generally to pay its debts as they become due; or 
  
 (f) the voluntary or involuntary dissolution, winding-up or
termination of the Trust, except in connection with (i) the distribution of the Securities to the holders of the Trust Securities in liquidation of the Trust upon the Corporation’s receipt of all required regulatory approvals, (ii) the
redemption or conversion of all outstanding Trust Securities of the Trust and (iii) mergers, consolidations or amalgamations in accordance with the terms and conditions set forth in Section 3.15 of the Declaration. 
  
 If an Event of Default with respect to Securities at the time outstanding
occurs and is continuing, then in every such case the Debenture Trustee or the holders of not less than 25% in aggregate principal amount of the Securities then outstanding may declare the principal amount of all Securities to be due and payable
immediately, by a notice in writing to the Corporation (and to the Debenture Trustee if given by the holders of the outstanding Securities), and upon any such declaration the same shall become immediately due and payable. If the Debenture Trustee or
the holders of Securities do not make such a declaration, the holders of at least 25% in aggregate liquidation amount of the Preferred Securities will have such right. 
  
 The foregoing provisions, however, are subject to the condition that if, at any time after the principal of the Securities
shall have been so declared due and payable, and before any judgment or decree for the payment of the moneys due shall have been obtained or entered as 

  

 27 

 
hereinafter provided, (i) the Corporation shall pay or shall deposit with the Debenture Trustee a sum sufficient to pay (A) all matured installments of
Interest upon all the Securities and the principal of any and all Securities that shall have become due other than by acceleration (with interest upon such principal and, to the extent that payment of such interest is enforceable under applicable
law, on overdue installments of Interest, at the Coupon Rate to the date of such payment or deposit) and (B) such amount as shall be sufficient to cover compensation due to the Debenture Trustee and each predecessor Debenture Trustee, their
respective agents, attorneys and counsel, pursuant to Section 6.06, and (ii) any and all Events of Default under the Indenture, other than the non-payment of the principal of the Securities which shall have become due solely by such declaration of
acceleration, shall have been cured, waived or otherwise remedied as provided herein, then, in every such case, the holders of a majority in aggregate principal amount of the Securities then outstanding, by written notice to the Corporation and to
the Debenture Trustee, may rescind and annul such declaration and its consequences, but no such waiver or rescission and annulment shall extend to or shall affect any subsequent Default or shall impair any right consequent thereon. If the Holders of
the Securities fail to annul such declaration and waive such Default, the holders of a majority in aggregate liquidation amount of the Preferred Securities shall have such right. 
  
 In case the Debenture Trustee shall have proceeded to enforce any right under this Indenture and such proceedings shall have
been discontinued or abandoned because of such rescission or annulment or for any other reason or shall have been determined adversely to the Debenture Trustee, then and in every such case the Corporation, the Debenture Trustee and the holders of
the Securities shall be restored respectively to their several positions and rights hereunder, and all rights, remedies and powers of the Corporation, the Debenture Trustee and the holders of the Securities shall continue as though no such
proceeding had been taken. 
  
 SECTION 5.02
Payment of Securities on Default; Suit Therefor. 
  
 The
Corporation covenants that (a) in case Default shall be made in the payment of any installment of Interest upon any of the Securities as and when the same shall become due and payable, and such Default shall have continued for a period of 30 days,
or (b) in case Default shall be made in the payment of the principal on any of the Securities as and when the same shall have become due and payable, whether at maturity of the Securities or upon redemption or by declaration or otherwise, then, upon
demand of the Debenture Trustee, the Corporation will pay to the Debenture Trustee, for the benefit of the holders of the Securities, the whole amount that then shall have become due and payable on all such Securities for principal or Interest or
both, as the case may be, with interest upon the overdue principal (to the extent that payment of such interest is enforceable under applicable law and, if the Securities are held by the Trust or a trustee of such trust, without duplication of any
other amounts paid by the Trust or a trustee in respect thereof) and upon the overdue installments of Interest at the rate borne by the Securities; and, in addition thereto, such further amount as shall be sufficient to cover the costs and expenses
of collection, including a reasonable compensation to the Debenture Trustee, its agents, attorneys and counsel, and any other amount due to the Debenture Trustee pursuant to Section 6.06. 
  
 In case the Corporation shall fail forthwith to pay such amounts upon such demand, the Debenture Trustee, in its own name
and as trustee of an express trust, shall be entitled and 

  

 28 

 
empowered to institute any actions or proceedings at law or in equity for the collection of the sums so due and unpaid, and may prosecute any such action or
proceeding to judgment or final decree, and may enforce any such judgment or final decree against the Corporation or any other obligor on the Securities and collect in the manner provided by law out of the property of the Corporation or any other
obligor on the Securities, wherever situated, the moneys adjudged or decreed to be payable. 
  
 In case there shall be pending proceedings for the bankruptcy or for the reorganization of the Corporation or any other obligor on the Securities under Title 11, United States Code, or any other applicable law, or in
case a receiver or trustee shall have been appointed for the property of the Corporation or such other obligor, or in the case of any other similar judicial proceedings relative to the Corporation or other obligor upon the Securities, or to the
creditors or property of the Corporation or such other obligor, the Debenture Trustee, irrespective of whether the principal of the Securities shall then be due and payable as therein expressed or by declaration or otherwise and irrespective of
whether the Debenture Trustee shall have made any demand pursuant to the provisions of this Section 5.02, shall be entitled and empowered, by intervention in such proceedings or otherwise, to file and prove a claim or claims for the whole amount of
principal and Interest owing and unpaid in respect of the Securities and, in case of any judicial proceedings, to file such proofs of claim and other papers or documents as may be necessary or advisable in order to have the claims of the Debenture
Trustee (including any claim for amounts due to the Debenture Trustee pursuant to Section 6.06) and of the Securityholders allowed in such judicial proceedings relative to the Corporation or any other obligor on the Securities, or to the creditors
or property of the Corporation or such other obligor, unless prohibited by applicable law and regulations, to vote on behalf of the holders of the Securities in any election of a trustee or a standby trustee in arrangement, reorganization,
liquidation or other bankruptcy or insolvency proceedings or person performing similar functions in comparable proceedings, and to collect and receive any moneys or other property payable or deliverable on any such claims, and to distribute the same
after the deduction of its charges and expenses; and any receiver, assignee or trustee in bankruptcy or reorganization is hereby authorized by each of the Securityholders to make such payments to the Debenture Trustee, and, in the event that the
Debenture Trustee shall consent to the making of such payments directly to the Securityholders, to pay to the Debenture Trustee such amounts as shall be sufficient to cover reasonable compensation to the Debenture Trustee, each predecessor Debenture
Trustee and their respective agents, attorneys and counsel, and all other amounts due to the Debenture Trustee pursuant to Section 6.06. 
  
 Nothing herein contained shall be construed to authorize the Debenture Trustee to authorize or consent to or accept or adopt on behalf of any
Securityholder any plan of reorganization, arrangement, adjustment or composition affecting the Securities or the rights of any holder thereof or to authorize the Debenture Trustee to vote in respect of the claim of any Securityholder in any such
proceeding. The Debenture Trustee shall be entitled to participate as a member of any official committee of creditors in the matters as it deems necessary or advisable. 
  
 All rights of action and of asserting claims under this Indenture, or under any of the Securities, may be enforced by the
Debenture Trustee without the possession of any of the Securities, or the production thereof on any trial or other proceeding relative thereto, and any such suit or proceeding instituted by the Debenture Trustee shall be brought in its own name as

  

 29 

 
trustee of an express trust, and any recovery of judgment shall be for the ratable benefit of the holders of the Securities. 
  
 In any proceedings brought by the Debenture Trustee (and also any proceedings
involving the interpretation of any provision of this Indenture to which the Debenture Trustee shall be a party) the Debenture Trustee shall be held to represent all the holders of the Securities, and it shall not be necessary to make any holders of
the Securities parties to any such proceedings. 
  
 SECTION 5.03 Application of Moneys Collected by Debenture Trustee. 
  
 Any moneys collected by the Debenture Trustee shall be applied in the following order, at the date or dates fixed by the Debenture Trustee for the distribution of such moneys, upon presentation of the Securities in
respect of which moneys have been collected, and stamping thereon the payment, if only partially paid, and upon surrender thereof if fully paid: 
  
 First: To the payment of costs and expenses of collection applicable to the Securities and all other amounts due to the Debenture Trustee under Section
6.06; 
  
 Second: To the payment of all Senior Indebtedness of the
Corporation if and to the extent required by Article XV; 
  
 Third: In case the principal of the outstanding Securities in respect of which moneys have been collected shall not have become due and be unpaid, to the payment of the amounts then due and unpaid upon Securities for principal of and
Interest on the Securities, in respect of which or for the benefit of which money has been collected, ratably, without preference of priority of any kind, according to the amounts due on such Securities for principal and Interest, respectively; and

  
 Fourth: To the Corporation. 
  
 SECTION 5.04 Proceedings by Securityholders.

  
 No holder of any Security shall have any right by virtue of
or by availing of any provision of this Indenture to institute any suit, action or proceeding in equity or at law upon or under or with respect to this Indenture or for the appointment of a receiver or trustee, or for any other remedy hereunder,
unless such holder previously shall have given to the Debenture Trustee written notice of an Event of Default and of the continuance thereof with respect to the Securities specifying such Event of Default, as hereinbefore provided, and unless also
the holders of not less than 25% in aggregate principal amount of the Securities then outstanding shall have made written request upon the Debenture Trustee to institute such action, suit or proceeding in its own name as Debenture Trustee hereunder
and shall have offered to the Debenture Trustee such indemnity reasonably satisfactory to it as it may require against the costs, expenses and liabilities to be incurred therein or thereby, and the Debenture Trustee for 60 days after its receipt of
such notice, request and offer of indemnity shall have failed to institute any such action, suit or proceeding, it being understood and intended, and being expressly covenanted by the taker and holder of every Security with every other taker and
holder and the Debenture Trustee, that no one or more holders of Securities shall have any right in any manner whatever by virtue of or by 

  

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availing of any provision of this Indenture to affect, disturb or prejudice the rights of any other holder of Securities, or to obtain or seek to obtain
priority over or preference to any other such holder, or to enforce any right under this Indenture, except in the manner herein provided and for the equal, ratable and common benefit of all holders of Securities. 
  
 Notwithstanding any other provisions in this Indenture, however, the right of
any holder of any Security to receive payment of the principal of and Interest on such Security, on or after the same shall have become due and payable, or to institute suit for the enforcement of any such payment, shall not be impaired or affected
without the consent of such holder and by accepting a Security hereunder it is expressly understood, intended and covenanted by the taker and holder of every Security with every other such taker and holder and the Debenture Trustee, that no one or
more holders of Securities shall have any right in any manner whatsoever by virtue or by availing of any provision of this Indenture to affect, disturb or prejudice the rights of the holders of any other Securities, or to obtain or seek to obtain
priority over or preference to any other such holder, or to enforce any right under this Indenture, except in the manner herein provided and for the equal, ratable and common benefit of all holders of Securities. For the protection and enforcement
of the provisions of this Section, each and every Securityholder and the Debenture Trustee shall be entitled to such relief as can be given either at law or in equity. 
  
 The Corporation and the Debenture Trustee acknowledge that, pursuant to the Declaration, the holders of Preferred Securities
are entitled, under the circumstances and subject to the limitations set forth therein, to commence a Direct Action with respect to any Event of Default under this Indenture and the Securities. 
  
 SECTION 5.05 Proceedings by Debenture Trustee.

  
 In case an Event of Default occurs with respect to Securities
and is continuing, the Debenture Trustee may in its discretion proceed to protect and enforce the rights vested in it by this Indenture by such appropriate judicial proceedings as the Debenture Trustee shall deem most effectual to protect and
enforce any of such rights, either by suit in equity or by action at law or by proceeding in bankruptcy or otherwise, whether for the specific enforcement of any covenant or agreement contained in this Indenture or in aid of the exercise of any
power granted in this Indenture, or to enforce any other legal or equitable right vested in the Debenture Trustee by this Indenture or by law. 
  
 SECTION 5.06 Remedies Cumulative and Continuing. 
  
 All powers and remedies given by this Article V to the Debenture Trustee or to the Securityholders shall, to the extent
permitted by law, be deemed cumulative and not exclusive of any other powers and remedies available to the Debenture Trustee or the holders of the Securities, by judicial proceedings or otherwise, to enforce the performance or observance of the
covenants and agreements contained in this Indenture or otherwise established with respect to the Securities, and no delay or omission of the Debenture Trustee or of any holder of any of the Securities to exercise any right or power accruing upon
any Event of Default occurring and continuing as aforesaid shall impair any such right or power, or shall be construed to be a waiver of any such Default or an acquiescence therein; and, subject to the provisions of Section 5.04, every power and
remedy given by this Article V or by law to the Debenture Trustee or to the 

  

 31 

 
Securityholders may be exercised from time to time, and as often as shall be deemed expedient, by the Debenture Trustee or by the Securityholders.

  
 SECTION 5.07 Direction of Proceedings and
Waiver of Defaults by Majority of Securityholders. 
  
 The
holders of a majority in aggregate principal amount of the Securities at the time outstanding shall have the right to direct the time, method, and place of conducting any proceeding for any remedy available to the Debenture Trustee, or exercising
any trust or power conferred on the Debenture Trustee; provided, however, that (subject to the provisions of Section 6.01) the Debenture Trustee shall have the right to decline to follow any such direction if the Debenture Trustee
shall determine that the action so directed would be unjustly prejudicial to the holders not taking part in such direction or if the Debenture Trustee being advised by counsel determines that the action or proceeding so directed may not lawfully be
taken or if the Debenture Trustee in good faith by its board of directors or trustees, executive committee, or a trust committee of directors or trustees and/or Responsible Officers shall determine that the action or proceedings so directed would
involve the Debenture Trustee in personal liability. Prior to any declaration accelerating the maturity of the Securities, the holders of a majority in aggregate principal amount of the Securities at the time outstanding may on behalf of the holders
of all of the Securities waive any past Default or Event of Default and its consequences except a Default or Event of Default (a) in the payment of principal of or Interest on any of the Securities (unless such Default has been cured and a sum
sufficient to pay all matured installments of Interest and principal due otherwise than by acceleration has been deposited with the Debenture Trustee) or (b) in respect of covenants or provisions hereof which cannot be modified or amended without
the consent of the holder of each Security affected; provided, however, that if the Securities are held by the Property Trustee, such waiver or modification to such waiver shall not be effective until the holders of a majority in
aggregate liquidation amount of Trust Securities shall have consented to such waiver or modification to such waiver; provided further, that where a consent under this Indenture would require the consent of holders of more than a majority of
the aggregate of the Securities, such waiver shall not be effective until the holders of at least the same proportion in the aggregate stated liquidation amount of Trust Securities shall have consented to such waiver. Upon any such waiver, the
Default covered thereby shall be deemed to be cured for all purposes of this Indenture and the Corporation, the Debenture Trustee and the holders of the Securities shall be restored to their former positions and rights hereunder, respectively; but
no such waiver shall extend to any subsequent or other Default or impair any right consequent thereon. Whenever any Default or Event of Default hereunder shall have been waived as permitted by this Section 5.07, said Default or Event of Default
shall for all purposes of the Securities and this Indenture be deemed to have been cured and to be not continuing. 
  
 SECTION 5.08 Notice of Defaults. 
  
 The Debenture Trustee shall, within 90 days after the occurrence of a Default with respect to the Securities actually known to a Responsible Officer of
the Debenture Trustee, mail to all Securityholders, as the names and addresses of such holders appear upon the Security Register, notice of all Defaults known to the Debenture Trustee, unless such Default shall have been cured before the giving of
such notice (the term “Default” for the purpose of this Section 5.08 being hereby defined to be any of the events specified in clauses (a), (b), (c), (d), (e) 

  

 32 

 
and (f) of Section 5.01, not including periods of grace, if any, provided for therein, and irrespective of the giving of written notice specified in clause
(c) of Section 5.01); and provided that, except in the case of Default in the payment of the principal of or Interest on any of the Securities, the Debenture Trustee shall be protected in withholding such notice if and so long as the board of
directors, the executive committee, or a trust committee of directors and/or Responsible Officers of the Debenture Trustee in good faith determines that the withholding of such notice is in the interests of the Securityholders; and provided
further that in the case of any Default of the character specified in Section 5.01(c), no such notice to Securityholders shall be given until at least 60 days after the occurrence thereof, but shall be given within 90 days after such occurrence.

  
 SECTION 5.09 Undertaking to Pay Costs.

  
 All parties to this Indenture agree, and each holder of any
Security by his acceptance thereof shall be deemed to have agreed, that any court may in its discretion require, in any suit for the enforcement of any right or remedy under this Indenture, or in any suit against the Debenture Trustee for any action
taken or omitted by it as Debenture Trustee, the filing by any party litigant in such suit of an undertaking to pay the costs of such suit, and that such court may in its discretion assess reasonable costs, including reasonable attorneys’ fees
and expenses, against any party litigant in such suit, having due regard to the merits and good faith of the claims or defenses made by such party litigant; but the provisions of this Section 5.09 shall not apply to any suit instituted by the
Debenture Trustee, to any suit instituted by any Securityholder, or group of Securityholders, holding in the aggregate more than 10% in aggregate principal amount of the Securities outstanding, or to any suit instituted by any Securityholder for the
enforcement of the payment of the principal of or Interest on any Security against the Corporation on or after the same shall have become due and payable. 
  
 SECTION 5.10 Acknowledgment of Rights. 
  

The Corporation acknowledges that, with respect to Securities held by the Trust, if the Property Trustee of the Trust fails to enforce its rights under
this Indenture as the holder of the Securities in respect of an Event of Default after a holder of Preferred Securities has made a written request, such holder of Preferred Securities may, to the extent permitted by applicable law, institute a legal
proceeding against the Corporation to enforce the Property Trustee’s rights under the Securities. In addition, if an Event of Default has occurred and is continuing and such event is attributable to the failure of the Corporation to pay
principal of or Interest on the Securities when due (or in connection with a redemption, failure to pay the Redemption Price on the Redemption Date), the Corporation acknowledges that a holder of Preferred Securities may commence a Direct Action
against the Corporation to compel it to make such payment to such holder of the principal of or Interest on the Securities having a principal amount equal to the aggregate liquidation amount of the Preferred Securities of such holder on or after the
respective due date specified in the securities. The Corporation may not amend this Indenture to remove this right to bring a Direct Action without the prior written consent of the holders of all of the Preferred Securities. Notwithstanding any
payments that the Corporation makes to a holder of Preferred Securities in connection with a Direct Action, the Corporation shall remain obligated to pay the principal of and Interest on the Securities, and the Corporation shall be subrogated to the
rights of the holder of the Preferred Securities, and have a right of set-off, with respect to 

  

 33 

 
payments on the Preferred Securities to the extent that the Corporation makes any payments to a holder of Preferred Securities in any Direct Action.

  
 ARTICLE VI 
 CONCERNING THE DEBENTURE TRUSTEE 
  
 SECTION 6.01 Duties and Responsibilities of Debenture Trustee. 
  
 With respect to the holders of the Securities issued hereunder, the Debenture Trustee, prior to the occurrence of an Event
of Default and after the curing or waiving of all Events of Default which may have occurred, undertakes to perform such duties and only such duties as are specifically set forth in this Indenture. In case an Event of Default has occurred (which has
not been cured or waived), the Debenture Trustee shall exercise such of the rights and powers vested in it by this Indenture, and use the same degree of care and skill in their exercise, as a prudent person would exercise or use under the
circumstances in the conduct of his or her own affairs. 
  
 No
provision of this Indenture shall be construed to relieve the Debenture Trustee from liability for its own negligent action, its own negligent failure to act or its own willful misconduct, except that 
  
 (a) prior to the occurrence of an Event of Default and after
the curing or waiving of all Events of Default which may have occurred, 
  
 (i) the duties and obligations of the Debenture Trustee shall be determined solely by the express provisions of this Indenture, and the Debenture Trustee shall not be liable except for the performance of such duties
and obligations as are specifically set forth in this Indenture, and no implied covenants or obligations shall be read into this Indenture against the Debenture Trustee; and 
  
 (ii) in the absence of bad faith on the part of the Debenture Trustee, the Debenture Trustee may
conclusively rely, as to the truth of the statements and the correctness of the opinions expressed therein, upon any certificates or opinions furnished to the Debenture Trustee and conforming to the requirements of this Indenture; but, in the case
of any such certificates or opinions which by any provision hereof are specifically required to be furnished to the Debenture Trustee, the Debenture Trustee shall be under a duty to examine the same to determine whether or not they conform to the
requirements of this Indenture (but need not confirm or investigate the accuracy of mathematical calculations or other facts stated therein); 
  
 (b) the Debenture Trustee shall not be liable for any error of judgment made in good faith by a Responsible officer or Responsible
Officers, unless it shall be proved that the Debenture Trustee was negligent in ascertaining the pertinent facts; and 
  
 (c) the Debenture Trustee shall not be liable with respect to any action taken or omitted to be taken by it in good faith in accordance
with the direction of the Securityholders pursuant to Section 5.07, relating to the time, method and place of 

  

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conducting any proceeding for any remedy available to the Debenture Trustee, or exercising any trust or power conferred upon the Debenture Trustee, under
this Indenture. 
  
 None of the provisions contained in this
Indenture shall require the Debenture Trustee to expend or risk its own funds or otherwise incur personal financial liability in the performance of any of its duties or in the exercise of any of its rights or powers, if there is reasonable ground
for believing that the repayment of such funds or liability is not reasonably assured to it under the terms of this Indenture or adequate indemnity against such risk is not reasonably assured to it. 
  
 Whether or not therein expressly so provided, every provision of this
Indenture relating to the conduct or affecting the liability of or affording protection to the Debenture Trustee shall be subject to the provisions of this Section. 
  
 SECTION 6.02 Reliance on Documents, Opinions, Etc. 
  
 Except as otherwise provided in Section 6.01: 
  
 (a) the Debenture Trustee may conclusively rely and shall be
protected in acting or refraining from acting upon any resolution, certificate, statement, instrument, opinion, report, notice, request, consent, order, bond, note, debenture or other paper or document believed by it to be genuine and to have been
signed or presented by the proper party or parties; 
  
 (b) any request, direction, order or demand of the Corporation mentioned herein may be sufficiently evidenced by an Officers’ Certificate (unless other evidence in respect thereof be herein specifically prescribed); and any Board
Resolution may be evidenced to the Debenture Trustee by a copy thereof certified by the Secretary or an Assistant Secretary of the Corporation; 
  
 (c) the Debenture Trustee may consult with counsel of its selection and any advice or Opinion of Counsel shall be full and complete
authorization and protection in respect of any action taken or suffered or omitted by it hereunder in good faith and in accordance with such advice or Opinion of Counsel; 
  
 (d) the Debenture Trustee shall be under no obligation to exercise any of the rights or powers vested in it
by this Indenture at the request, order or direction of any of the Securityholders, pursuant to the provisions of this Indenture, unless such Securityholders shall have offered to the Debenture Trustee security or indemnity reasonably satisfactory
to the Debenture Trustee against the costs, expenses and liabilities which may be incurred therein or thereby; 
  
 (e) the Debenture Trustee shall not be liable for any action taken or omitted by it in good faith and believed by it to be authorized or
within the discretion or rights or powers conferred upon it by this Indenture; nothing contained herein shall, however, relieve the Debenture Trustee of the obligation, upon the occurrence of an Event of Default (that has not been cured or waived),
to exercise such of the rights and powers vested in it by this Indenture, and to use the same degree of care and skill in their 

  

 35 

	 	 
exercise, as a prudent man would exercise or use under the circumstances in the conduct of his own affairs; 

  
 (f) the Debenture Trustee shall not be bound to make any
investigation into the facts or matters stated in any resolution, certificate, statement, instrument, opinion, report, notice, request, consent, order, approval, bond, debenture, coupon or other paper or document, unless requested in writing to do
so by the holders of a majority in aggregate principal amount of the outstanding Securities; provided, however, that if the payment within a reasonable time to the Debenture Trustee of the costs, expenses or liabilities likely to be
incurred by it in the making of such investigation is, in the opinion of the Debenture Trustee, not reasonably assured to the Debenture Trustee by the security afforded to it by the terms of this Indenture, the Debenture Trustee may require
indemnity reasonably satisfactory to the Debenture Trustee against such expense or liability as a condition to so proceeding; 
  
 (g) the Debenture Trustee may execute any of the trusts or powers hereunder or perform any duties hereunder either directly or by or
through agents (including any Authenticating Agent) or attorneys, and the Debenture Trustee shall not be responsible for any misconduct or negligence on the part of any such agent or attorney appointed by it with due care; 
  
 (h) the Debenture Trustee shall not be charged with
knowledge of any Default or Event of Default with respect to the Securities unless (1) such Default is a Default under Sections 5.01(a) (other than a Default with respect to the payment of Compounded Interest, Liquidated Damages or Additional Sums)
and 5.01(b) of the Indenture, (2) a Responsible Officer shall have actual knowledge of such Default or Event of Default or (3) written notice of such Default or Event of Default shall have been given to the Debenture Trustee by the Corporation or
any other obligor on the Securities or by any holder of the Securities; 
  
 (i) the Debenture Trustee shall not be liable for any action taken, suffered or omitted by it in good faith, without negligence or willful misconduct and believed by it to be authorized or within the discretion or
rights or powers conferred upon it by this Indenture; 
  
 (j) the rights, privileges, protections, immunities and benefits given to the Debenture Trustee, including without limitation, its right to be indemnified, are extended to, and shall be enforceable by, the Debenture Trustee in each of its
capacities hereunder, and to each agent, custodian and other Person employed to act hereunder; 
  
 (k) the Debenture Trustee may request that the Corporation deliver an Officers’ Certificate setting forth the names of individuals
and/or titles of Officers authorized at such time to take specified actions pursuant to this Indenture, which Officers’ Certificate may be signed by any person authorized to sign an Officers’ Certificate, including any person specified as
so authorized in any such certificate previously delivered and not superseded; 
  

 36 

 (l) the permissive rights of the Debenture Trustee to do things enumerated in this
Indenture shall not be construed as duties; and 
  
 (m) in no event shall the Trustee be liable for the selection of investments or for investment losses incurred thereon. The Trustee shall have no liability in respect of losses incurred as a result of the liquidation of any such investment
prior to its stated maturity or the failure of the party directing such investment to provide timely written investment direction. The Trustee shall have no obligation to invest or reinvest any amounts held hereunder in the absence of such written
investment direction. 
  
 SECTION 6.03 No
Responsibility for Recitals, Etc. 
  
 The recitals contained
herein and in the Securities (except in the certificate of authentication of the Debenture Trustee or the Authenticating Agent) shall be taken as the statements of the Corporation, and the Debenture Trustee and the Authenticating Agent assume no
responsibility for the correctness of the same. The Debenture Trustee and the Authenticating Agent make no representations as to the validity or sufficiency of this Indenture or of the Securities. The Debenture Trustee and the Authenticating Agent
shall not be accountable for the use or application by the Corporation of any Securities or the proceeds of any Securities authenticated and delivered by the Debenture Trustee or the Authenticating Agent in conformity with the provisions of this
Indenture. 
  
 SECTION 6.04 Debenture Trustee,
Authenticating Agent, Paying Agents, Transfer Agents or Registrar May Own Securities. 
  
 The Debenture Trustee or any Authenticating Agent or any paying agent or any transfer agent or any security registrar for the Securities, in its individual or any other capacity, may become the owner or pledgee of
Securities with the same rights it would have if it were not Debenture Trustee, Authenticating Agent, paying agent, transfer agent or security registrar for the Securities. 
  
 SECTION 6.05 Moneys to Be Held in Trust. 
  
 Subject to the provisions of Section 11.04, all moneys received by the
Debenture Trustee or any paying agent shall, until used or applied as herein provided, be held in trust for the purpose for which they were received, but need not be segregated from other funds except to the extent required by law. The Debenture
Trustee and any paying agent shall be under no liability for interest on any money received by it hereunder except as otherwise agreed in writing with the Corporation. So long as no Event of Default shall have occurred and be continuing, all
interest allowed on any such moneys shall be paid from time to time upon the written order of the Corporation, signed by the Chairman of the Board of Directors, the President or a Vice President or the Treasurer or an Assistant Treasurer of the
Corporation. 
  
 SECTION 6.06 Compensation and
Expenses of Debenture Trustee. 
  
 The Corporation, as issuer
of Securities under this Indenture, covenants and agrees to pay to the Debenture Trustee from time to time, and the Debenture Trustee shall be entitled to, such compensation as shall be agreed to in writing between the Corporation and the Debenture

  

 37 

 
Trustee (which shall not be limited by any provision of law in regard to the compensation of a trustee of an express trust), and the Corporation will pay or
reimburse the Debenture Trustee upon its request for all reasonable expenses, disbursements and advances incurred or made by the Debenture Trustee in accordance with any of the provisions of this Indenture (including the reasonable compensation and
the expenses and disbursements of its counsel and of all persons not regularly in its employ) except any such expense, disbursement or advance as may arise from its negligence or bad faith. The Corporation also covenants to indemnify each of the
Debenture Trustee or any predecessor Debenture Trustee (and its officers, agents, directors and employees) for, and to hold it harmless against, any and all loss, damage, claim, liability or expense including taxes (other than taxes based on the
income of the Debenture Trustee) incurred without negligence or bad faith on the part of the Debenture Trustee and arising out of or in connection with the acceptance or administration of this trust, including the costs and expenses of defending
itself against any claim of liability in the premises. The obligations of the Corporation under this Section 6.06 to compensate and indemnify the Debenture Trustee and to pay or reimburse the Debenture Trustee for expenses, disbursements and
advances shall constitute additional indebtedness hereunder. Such additional indebtedness shall be secured by a lien prior to that of the Securities upon all property and funds held or collected by the Debenture Trustee as such, except funds held in
trust for the benefit of the holders of particular Securities. 
  
 When the Debenture Trustee incurs expenses or renders services in connection with an Event of Default specified in Section 5.01(d) or Section 5.01(e), the expenses (including the reasonable charges and expenses of its counsel) and the
compensation for the services are intended to constitute expenses of administration under any applicable federal or state bankruptcy, insolvency or other similar law. 
  
 The provisions of this Section shall survive the resignation or removal of the Debenture Trustee and the defeasance or other
termination of this Indenture. 
  
 SECTION 6.07
Officers’ Certificate as Evidence. 
  
 Except as
otherwise provided in Sections 6.01 and 6.02, whenever in the administration of the provisions of this Indenture the Debenture Trustee shall deem it necessary or desirable that a matter be proved or established prior to taking or omitting any action
hereunder, such matter (unless other evidence in respect thereof is herein specifically prescribed) may, in the absence of negligence or bad faith on the part of the Debenture Trustee, be deemed to be conclusively proved and established by an
Officers’ Certificate delivered to the Debenture Trustee, and such certificate, in the absence of negligence or bad faith on the part of the Debenture Trustee, shall be full warrant to the Debenture Trustee for any action taken or omitted by it
under the provisions of this Indenture upon the faith thereof. 
  
 SECTION 6.08 Conflicting Interest of Debenture Trustee. 
  
 If the Debenture Trustee has or shall acquire any “conflicting interest” within the meaning of Section 310(b) of the Trust Indenture Act, the
Debenture Trustee and the Corporation shall in all respects comply with the provisions of Section 310(b) of the Trust Indenture Act. 
  

 38 

 SECTION 6.09 Eligibility of Debenture Trustee. 
  
 The Debenture Trustee hereunder shall at all times be a corporation
organized and doing business under the laws of the United States of America or any state or territory thereof or the District of Columbia, or a corporation or other Person permitted to act as trustee by the Commission authorized under such laws to
exercise corporate trust powers, having a combined capital and surplus of at least 50 million U.S. dollars ($50,000,000) and subject to supervision or examination by federal, state, territorial, or District of Columbia authority. If such corporation
publishes reports of condition at least annually, pursuant to law or to the requirements of the aforesaid supervising or examining authority, then for the purposes of this Section 6.09 the combined capital and surplus of such corporation shall be
deemed to be its combined capital and surplus as set forth in its most recent report of condition so published. 
  
 The Corporation may not, nor may any Person directly or indirectly controlling, controlled by, or under common control with the Corporation, serve as
Debenture Trustee. 
  
 In case at any time the Debenture Trustee
shall cease to be eligible in accordance with the provisions of this Section 6.09, the Debenture Trustee shall resign immediately in the manner and with the effect specified in Section 6.10. 
  
 SECTION 6.10 Resignation or Removal of Debenture
Trustee. 
  
 (a) The Debenture Trustee, or any trustee or
trustees hereafter appointed, may at any time resign by giving written notice of such resignation to the Corporation and by mailing notice thereof to the holders of the Securities at their addresses as they shall appear on the Security register.
Upon receiving such notice of resignation, the Corporation shall promptly appoint a successor trustee or trustees by written instrument, in duplicate, one copy of which instrument shall be delivered to the resigning Debenture Trustee and one copy to
the successor trustee. If no successor trustee shall have been so appointed and have accepted appointment within 60 days after the mailing of such notice of resignation to the affected Securityholders, the resigning Debenture Trustee, at the expense
of the Corporation, may petition any court of competent jurisdiction for the appointment of a successor trustee, or any Securityholder who has been a bona fide holder of a Security for at least six months may, subject to the provisions of Section
5.09, on behalf of himself and all others similarly situated, petition any such court for the appointment of a successor trustee. Such court may thereupon, after such notice, if any, as it may deem proper and prescribe, appoint a successor trustee.

  
 (b) In case at any time any of the following shall occur:

  
 (i) the Debenture Trustee shall fail to
comply with the provisions of Section 6.08 after written request therefor by the Corporation or by any Securityholder who has been a bonafide holder of a Security or Securities for at least six months, or 
  
 (ii) the Debenture Trustee shall cease to be eligible in
accordance with the provisions of Section 6.09 and shall fail to resign after written request therefor by the Corporation or by any such Securityholder, or 
  

 39 

 (iii) the Debenture Trustee shall become incapable of acting, or shall be adjudged a
bankrupt or insolvent, or a receiver of the Debenture Trustee or of its property shall be appointed, or any public officer shall take charge or control of the Debenture Trustee or of its property or affairs for the purpose of rehabilitation,
conservation or liquidation, 
  
 then, in any such case, the Corporation may
remove the Debenture Trustee and appoint a successor trustee by written instrument, in duplicate, one copy of which instrument shall be delivered to the Debenture Trustee so removed and one copy to the successor trustee, or, subject to the
provisions of Section 5.09, any Securityholder who has been a bona fide holder of a Security for at least six months may, on behalf of himself and all others similarly situated, petition any court of competent jurisdiction for the removal of the
Debenture Trustee and the appointment of a successor trustee. Such court may thereupon, after such notice, if any, as it may deem proper and prescribe, remove the Debenture Trustee and appoint a successor trustee. 
  
 (c) The holders of a majority in aggregate principal amount of the Securities
at the time outstanding may at any time remove the Debenture Trustee and nominate a successor trustee, which shall be deemed appointed as successor trustee unless within 10 days after such nomination the Corporation objects thereto, or if no
successor trustee shall have been so appointed and shall have accepted appointment within 30 days after such removal, in which case the Debenture Trustee so removed or any Securityholder, upon the terms and conditions and otherwise as in Section
6.10(a) provided, may petition any court of competent jurisdiction for an appointment of a successor trustee. 
  
 (d) Any resignation or removal of the Debenture Trustee and appointment of a successor trustee pursuant to any of the provisions of this Section 6.10
shall become effective upon acceptance of appointment by the successor trustee as provided in Section 6.11. 
  
 (e) Notwithstanding replacement of the Debenture Trustee pursuant to this Section 6.10, the Corporation’s obligations under Section 6.06 shall
continue for the benefit of the retiring Debenture Trustee. 
  
 SECTION 6.11 Acceptance by Successor Debenture Trustee. 
  
 Any successor trustee appointed as provided in Section 6.10 shall execute, acknowledge and deliver to the Corporation and to its predecessor trustee an
instrument accepting such appointment hereunder, and thereupon the resignation or removal of the retiring trustee shall become effective and such successor trustee, without any further act, deed or conveyance, shall become vested with all the
rights, powers, duties and obligations of its predecessor hereunder, with like effect as if originally named as trustee herein; but, nevertheless, on the written request of the Corporation or of the successor trustee, the trustee ceasing to act
shall, upon payment of any amounts then due it pursuant to the provisions of Section 6.06, execute and deliver an instrument transferring to such successor trustee all the rights and powers of the trustee so ceasing to act and shall duly assign,
transfer and deliver to such successor trustee all property and money held by such retiring trustee thereunder. Upon request of any such successor trustee, the Corporation shall execute any and all instruments in writing for more fully and certainly
vesting in and confirming to such successor trustee all such rights and powers. Any trustee 

  

 40 

 
ceasing to act shall, nevertheless, retain a lien upon all property or funds held or collected by such trustee to secure any amounts then due it pursuant to
the provisions of Section 6.06. 
  
 No successor trustee shall
accept appointment as provided in this Section 6.11 unless at the time of such acceptance such successor trustee shall be qualified under the provisions of Section 6.08 and eligible under the provisions of Section 6.09. 
  
 Upon acceptance of appointment by a successor trustee as provided in this
Section 6.11, the Corporation shall mail notice of the succession of such trustee hereunder to the holders of securities at their addresses as they shall appear on the Security register. If the Corporation fails to mail such notice within 10 days
after the acceptance of appointment by the successor trustee, the successor trustee shall cause such notice to be mailed at the expense of the Corporation. 
  
 SECTION 6.12 Succession by Merger, Etc. 
  

Any corporation into which the Debenture Trustee may be merged or converted or with which it may be consolidated, or any corporation resulting from any
merger, conversion or consolidation to which the Debenture Trustee shall be a party, or any corporation succeeding to all or substantially all of the corporate trust business of the Debenture Trustee, shall be the successor of the Debenture Trustee
hereunder without the execution or filing of any paper or any further act on the part of any of the parties hereto. 
  
 In case at the time such successor to the Debenture Trustee shall succeed to the trusts created by this Indenture any Securities shall have been
authenticated but not delivered, any such successor to the Debenture Trustee may adopt the certificate of authentication of any predecessor trustee, and deliver such Securities so authenticated; and in case at that time any of the Securities shall
not have been authenticated, any successor to the Debenture Trustee may authenticate such Securities either in the name of any predecessor hereunder or in the name of the successor trustee; and in all such cases such certificates shall have the full
force which the Securities or this Indenture elsewhere provides that the certificate of the Debenture Trustee shall have; provided, however, that the right to adopt the certificate of authentication of any predecessor Debenture Trustee
or authenticate Securities in the name of any predecessor Debenture Trustee shall apply only to its successor or successors by merger, conversion or consolidation. 
  
 SECTION 6.13 Limitation on Rights of Debenture Trustee as a Creditor. 
  
 The Debenture Trustee shall comply with Section 311(a) of the Trust
Indenture Act, excluding any creditor relationship described in Section 311(b) of the Trust Indenture Act. A Debenture Trustee who has resigned or been removed shall be subject to Section 311(a) of the Trust Indenture Act to the extent included
therein. 
  
 SECTION 6.14 Co-trustees and
Separate Trustees. 
  
 At any time or times, for the purpose
of meeting the legal requirements of any applicable jurisdiction, the Corporation and the Debenture Trustee shall have power to appoint, and, upon the written request of the Debenture Trustee or of the holders of at least 25% in principal amount of
the Securities then outstanding, the Corporation shall for such purpose join with the Debenture Trustee in the execution and delivery of all instruments and agreements necessary or proper to 

  

 41 

 
appoint, one or more Persons approved by the Debenture Trustee, or to act as separate trustee, jointly with the Debenture Trustee, or to act as separate
trustee, in either case with such powers as may be provided in the instrument of appointment, and to vest in such Person or Persons, in the capacity aforesaid, any property, title, right or power deemed necessary or desirable, subject to the other
provisions of this Section. If the Corporation does not join in such appointment within 15 days after the receipt by it of a request so to do, or if an Event of Default shall have occurred and be continuing, the Debenture Trustee alone shall have
power to make such appointment. 
  
 Should any written instrument
or instruments from the Corporation be required by any co-trustee or separate trustee so appointed to more fully confirm to such co-trustee or separate trustee such property, title, right or power, any and all such instruments shall, on request, be
executed, acknowledged and delivered by the Corporation. 
  
 Every
co-trustee or separate trustee shall, to the extent permitted by law, but to such extent only, be appointed subject to the following conditions: 
  
 (a) the Securities shall be authenticated and delivered, and all rights, powers, duties and obligations hereunder in respect of the
custody of securities, cash and other personal property held by, or required to be deposited or pledged with, the Debenture Trustee hereunder, shall be exercised solely, by the Debenture Trustee; 
  
 (b) the rights, powers, duties and obligations hereby
conferred or imposed upon the Debenture Trustee in respect of any property covered by such appointment shall be conferred or imposed upon and exercised or performed either by the Debenture Trustee or by the Debenture Trustee and such co-trustee or
separate trustee jointly, as shall be provided in the instrument appointing such co-trustee or separate trustee, except to the extent that under any law of any jurisdiction in which any particular act is to be performed, the Debenture Trustee shall
be incompetent or unqualified to perform such act, in which event such rights, powers, duties and obligations shall be exercised and performed by such co-trustee or separate trustee; 
  
 (c) the Debenture Trustee at any time, by an instrument in writing executed by it, with the concurrence of
the Corporation, may accept the resignation of or remove any co-trustee or separate trustee appointed under this Section, and, if an Event of Default shall have occurred and be continuing, the Debenture Trustee shall have power to accept the
resignation of, or remove, any such co-trustee or separate trustee without the concurrence of the Corporation. Upon the written request of the Debenture Trustee, the Corporation shall join with the Debenture Trustee in the execution and delivery of
all instruments and agreements, necessary or proper to effectuate such resignation or removal. A successor to any co-trustee or separate trustee so resigned or removed may be appointed in the manner provided in this Section; 
  
 (d) no co-trustee or separate trustee hereunder shall be
personally liable by reason of any act or omission of the Debenture Trustee, or any other such trustee hereunder; and 
  

 42 

 (e) any notice from the holders of Securities delivered to the Debenture Trustee shall be
deemed to have been delivered to each such co-trustee and separate trustee. 
  
 SECTION 6.15 Authenticating Agents. 
  
 There may be one or more Authenticating Agents appointed by the Debenture Trustee upon the request of the Corporation with power to act on its behalf and subject to its direction in the authentication and delivery of
Securities issued upon exchange or transfer thereof as fully to all intents and purposes as though any such Authenticating Agent had been expressly authorized to authenticate and deliver Securities; provided that the Debenture Trustee shall
have no liability to the Corporation for any acts or omissions of the Authenticating Agent with respect to the authentication and delivery of Securities. Any such Authenticating Agent shall at all times be a corporation organized and doing business
under the laws of the United States or of any state or territory thereof or of the District of Columbia authorized under such laws to act as Authenticating Agent, having a combined capital and surplus of at least $5,000,000 and being subject to
supervision or examination by federal, state, territorial or District of Columbia authority. If such corporation publishes reports of condition at least annually pursuant to law or the requirements of such authority, then for the purposes of this
Section 6.15 the combined capital and surplus of such corporation shall be deemed to be its combined capital and surplus as set forth in its most recent report of condition so published. If at any time an Authenticating Agent shall cease to be
eligible in accordance with the provisions of this Section, it shall resign immediately in the manner and with the effect herein specified in this Section. 
  
 Any corporation into which any Authenticating Agent may be merged or converted or with which it may be consolidated, or any corporation resulting from any
merger, consolidation or conversion to which any Authenticating Agent shall be a party, or any corporation succeeding to the corporate trust business of any Authenticating Agent, shall be the successor of such Authenticating Agent hereunder, if such
successor corporation is otherwise eligible under this Section 6.15 without the execution or filing of any paper or any further act on the part of the parties hereto or such Authenticating Agent. 
  
 Any Authenticating Agent may at any time resign by giving written notice of
resignation to the Debenture Trustee and to the Corporation. The Debenture Trustee may at any time terminate the agency of any Authenticating Agent by giving written notice of termination to such Authenticating Agent and to the Corporation. Upon
receiving such a notice of resignation or upon such a termination, or in case at any time any Authenticating Agent shall cease to be eligible under this Section 6.15, the Debenture Trustee may, and upon the request of the Corporation shall, promptly
appoint a successor Authenticating Agent eligible under this Section 6.15, shall give written notice of such appointment to the Corporation and the Corporation shall mail notice of such appointment to all Securityholders as the names and addresses
of such holders appear on the Security Register. Any successor Authenticating Agent upon acceptance of its appointment hereunder shall become vested with all rights, powers, duties and responsibilities of its predecessor hereunder, with like effect
as if originally named as Authenticating Agent herein. 
  

 43 

 The Corporation, as borrower, agrees to pay to any Authenticating Agent from time to time reasonable
compensation for its services. Any Authenticating Agent shall have no responsibility or liability for any action taken by it as such in accordance with the directions of the Debenture Trustee. 
  
 ARTICLE VII 
 CONCERNING THE SECURITYHOLDERS 
  
 SECTION 7.01 Action by Securityholders. 
  

Whenever in this Indenture it is provided that the holders of a specified percentage in aggregate principal amount of the Securities may take any
action (including the making of any demand or request, the giving of any notice, consent or waiver or the taking of any other action), the fact that at the time of taking any such action the holders of such specified percentage have joined therein
may be evidenced (a) by any instrument or any number of instruments of similar tenor executed by such Securityholders in person or by agent or proxy appointed in writing, or (b) by the record of such holders of Securities voting in favor thereof at
any meeting of such Securityholders duly called and held in accordance with the provisions of Article VIII, or (c) by a combination of such instrument or instruments and any such record of such a meeting of such Securityholders. 
  
 If the Corporation shall solicit from the Securityholders any request,
demand, authorization, direction, notice, consent, waiver or other action, the Corporation may, at its option, as evidenced by an Officers’ Certificate, fix in advance a record date for the determination of Securityholders entitled to give such
request, demand, authorization, direction, notice, consent, waiver or other action, but the Corporation shall have no obligation to do so. If such a record date is fixed, such request, demand, authorization, direction, notice, consent, waiver or
other action may be given before or after the record date, but only the Securityholders of record at the close of business on the record date shall be deemed to be Securityholders for the purposes of determining whether Securityholders of the
requisite proportion of outstanding Securities have authorized or agreed or consented to such request, demand, authorization, direction, notice, consent, waiver or other action, and for that purpose the outstanding Securities shall be computed as of
the record date; provided, however, that no such authorization, agreement or consent by such Securityholders on the record date shall be deemed effective unless it shall become effective pursuant to the provisions of this Indenture not
later than six months after the record date. 
  
 SECTION 7.02 Proof of Execution by Securityholders. 
  
 Subject to the provisions of Section 6.01, 6.02 and 8.05, proof of the execution of any instrument by a Securityholder or his agent or proxy shall be sufficient if made in accordance with such reasonable rules and regulations as may be
prescribed by the Debenture Trustee or in such manner as shall be satisfactory to the Debenture Trustee. The ownership of Securities shall be proved by the Security Register or by a certificate of the security registrar for the Securities. The
Debenture Trustee may require such additional proof of any matter referred to in this Section 7.02 as it shall deem necessary. 
  

 44 

 The record of any Securityholders’ meeting shall be proved in the manner provided in Section 8.06.

  
 SECTION 7.03 Who Are Deemed Absolute
Owners. 
  
 Prior to due presentment for registration of
transfer of any Security, the Corporation, the Debenture Trustee, any Authenticating Agent, any paying agent, any transfer agent and any security registrar for the Securities may deem the person in whose name such Security shall be registered upon
the Security Register to be, and may treat him as, the absolute owner of such Security (whether or not such Security shall be overdue) for the purpose of receiving payment of or on account of the principal of and (subject to Section 2.05) Interest
on such Security and for all other purposes; and neither the Corporation nor the Debenture Trustee nor any Authenticating Agent nor any paying agent nor any transfer agent nor any security registrar for the Securities shall be affected by any notice
to the contrary. All such payments so made to any holder for the time being or upon his order shall be valid, and, to the extent of the sum or sums so paid, effectual to satisfy and discharge the liability for moneys payable upon any such Security.

  
 SECTION 7.04 Securities Owned by
Corporation Deemed Not Outstanding. 
  
 In determining
whether the holders of the requisite aggregate principal amount of Securities have concurred in any direction, consent or waiver under this Indenture, Securities which are owned by the Corporation or any other obligor on the Securities or by any
Person directly or indirectly controlling or controlled by or under direct or indirect common control with the Corporation or any other obligor on the Securities shall be disregarded and deemed not to be outstanding for the purpose of any such
determination; provided that for the purposes of determining whether the Debenture Trustee shall be protected in relying on any such direction, consent or waiver, only Securities which a Responsible Officer of the Debenture Trustee actually knows
are so owned shall be so disregarded. Securities so owned which have been pledged in good faith may be regarded as outstanding for the purposes of this Section 7.04 if the pledgee shall establish to the satisfaction of the Debenture Trustee the
pledgee’s right to vote such Securities and that the pledgee is not the Corporation or any such other obligor or Person directly or indirectly controlling or controlled by or under direct or indirect common control with the corporation or any
such other obligor. In the case of a dispute as to such right, any decision by the Debenture Trustee taken upon the advice of counsel shall be full protection to the Debenture Trustee. 
  
 SECTION 7.05 Revocation of Consents; Future Holders Bound. 
  
 At any time prior to (but not after) the evidencing to the Debenture
Trustee, as provided in Section 7.01, of the taking of any action by the holders of the percentage in aggregate principal amount of the Securities specified in this Indenture in connection with such action, any holder of a Security (or any Security
issued in whole or in part in exchange or substitution therefor), subject to Section 7.01, the serial number of which is shown by the evidence to be included in the group of Securities the holders of which have consented to such action may, by
filing written notice with the Debenture Trustee at its principal office and upon proof of holding as provided in Section 7.02, revoke such action so far as concerns such Security (or so far as concerns the principal amount represented by any
exchanged or substituted Security). Except as 

  

 45 

 
aforesaid any such action taken by the holder of any Security shall be conclusive and binding upon such holder and upon all future holders and owners of such
Security, and of any Security issued in exchange or substitution therefor, irrespective of whether or not any notation in regard thereto is made upon such Security or any Security issued in exchange or substitution therefor. 
  
 ARTICLE VIII 
 SECURITYHOLDERS’ MEETINGS 
  
 SECTION 8.01 Purposes of Meetings. 
  
 A meeting of Securityholders may be called at any time and from time to time pursuant to the provisions of this Article VIII for any of the following
purposes: 
  
 (a) to give any notice to the
Corporation or to the Debenture Trustee, or to give any directions to the Debenture Trustee, or to consent to the waiving of any Default hereunder and its consequences, or to take any other action authorized to be taken by Securityholders pursuant
to any of the provisions of Article V; 
  
 (b) to
remove the Debenture Trustee and nominate a successor trustee pursuant to the provisions of Article VI; 
  
 (c) to consent to the execution of an indenture or indentures supplemental hereto pursuant to the provisions of Section 9.02; or

  
 (d) to take any other action authorized to be
taken by or on behalf of the holders of any specified aggregate principal amount of such Securities under any other provision of this Indenture or under applicable law. 
  
 SECTION 8.02 Call of Meetings by Debenture Trustee. 
  
 The Debenture Trustee may at any time call a meeting of Securityholders to
take any action specified in Section 8.01, to be held at such time and at such place in New York, New York, as the Debenture Trustee shall determine. Notice of every meeting of the Securityholders, setting forth the time and the place of such
meeting and in general terms the action proposed to be taken at such meeting, shall be mailed to holders of Securities at their addresses as they shall appear on the Securities Register. Such notice shall be mailed not less than 20 nor more than 180
days prior to the date fixed for the meeting. 
  
 SECTION 8.03 Call of Meetings by Corporation or Securityholders. 
  
 In case at any time the Corporation, pursuant to a resolution of the Board of Directors, or the holders of at least 10% in aggregate principal amount of the Securities then outstanding, shall have requested the
Debenture Trustee to call a meeting of Securityholders, by written request setting forth in reasonable detail the action proposed to be taken at the meeting, and the Debenture Trustee shall not have mailed the notice of such meeting within 20 days
after receipt of such request, then the Corporation or such Securityholders may determine the time and the place in New York, New York for such meeting and may call such meeting to take any action authorized in Section 8.01, by mailing notice
thereof as provided in Section 8.02. 
  

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 SECTION 8.04 Qualifications for Voting. 
  
 To be entitled to vote at any meeting of Securityholders a Person shall (a)
be a holder of one or more Securities or (b) a Person appointed by an instrument in writing as proxy by a holder of one or more Securities. The only Persons who shall be entitled to be present or to speak at any meeting of Securityholders shall be
the Persons entitled to vote at such meeting and their counsel and any representatives of the Debenture Trustee and its counsel and any representatives of the Corporation and its counsel. 
  
 SECTION 8.05 Regulations. 
  
 Notwithstanding any other provisions of this Indenture, the Debenture Trustee may make such reasonable regulations as it may
deem advisable for any meeting of Securityholders, in regard to proof of the holding of Securities and of the appointment of proxies, and in regard to the appointment and duties of inspectors of votes, the submission and examination of proxies,
certificates and other evidence of the right to vote, and such other matters concerning the conduct of the meeting as it shall think fit. 
  
 The Debenture Trustee shall, by an instrument in writing, appoint a temporary chairman of the meeting, unless the meeting shall have been called by the
Corporation or by Securityholders as provided in Section 8.03, in which case the Corporation or the Securityholders calling the meeting, as the case may be, shall in like manner appoint a temporary chairman. A permanent chairman and a permanent
secretary of the meeting shall be elected by majority vote of the meeting. 
  
 Subject to the provisions of Section 8.04, at any meeting each holder of Securities or proxy therefor shall be entitled to one vote for each $50.00 principal amount of Securities held or represented by him;
provided, however, that no vote shall be cast or counted at any meeting in respect of any Security challenged as not outstanding and ruled by the chairman of the meeting to be not outstanding. The chairman of the meeting shall have no
right to vote other than by virtue of Securities held by him or instruments in writing as aforesaid duly designating him as the person to vote on behalf of other Securityholders. Any meeting of Securityholders duly called pursuant to the provisions
of Section 8.02 or 8.03 may be adjourned from time to time by a majority of those present, and the meeting may be held as so adjourned without further notice. 
  

SECTION 8.06 Voting. 
  
 The vote upon any resolution submitted to any meeting of holders of Securities shall be by written ballots on which shall be subscribed the signatures of
such holders or of their representatives by proxy and the serial number or numbers of the Securities held or represented by them. The permanent chairman of the meeting shall appoint two inspectors of votes who shall count all votes cast at the
meeting for or against any resolution and who shall make and file with the secretary of the meeting their verified written reports in triplicate of all votes cast at the meeting. A record in duplicate of the proceedings of each meeting of
Securityholders shall be prepared by the secretary of the meeting and there shall be attached to said record the original reports of the inspectors of votes on any vote by ballot taken thereat and affidavits by one or more persons having knowledge
of the facts setting forth a copy of the notice of the meeting and 

  

 47 

 
showing that said notice was mailed as provided in Section 8.02. The record shall show the serial numbers of the Securities voting in favor of or against any
resolution. The record shall be signed and verified by the affidavits of the permanent chairman and secretary of the meeting and one of the duplicates shall be delivered to the Corporation and the other to the Debenture Trustee to be preserved by
the Debenture Trustee, the latter to have attached thereto the ballots voted at the meeting. 
  
 Any record so signed and verified shall be conclusive evidence of the matters therein stated. 
  
 ARTICLE IX 
 AMENDMENTS

  
 SECTION 9.01 Without Consent of
Securityholders. 
  
 The Corporation, when authorized by a
Board Resolution, and the Debenture Trustee may from time to time and at any time amend the Indenture, without the consent of the Securityholders, for one or more of the following purposes: 
  
 (a) to evidence the succession of another Person to the
Corporation, or successive successions, and the assumption by the successor Person of the covenants, agreements and obligations of the Corporation pursuant to Article X; 
  
 (b) to add to the covenants of the Corporation such further covenants, restrictions or conditions for the
protection of the Securityholders as the Board of Directors and the Debenture Trustee shall consider to be for the protection of the Securityholders, and to make the occurrence, or the occurrence and continuance, of a default in any of such
additional covenants, restrictions or conditions a Default or an Event of Default permitting the enforcement of all or any of the remedies provided in this Indenture as herein set forth; provided, however, that in respect of any such
additional covenant, restriction or condition such amendment may provide for a particular period of grace after default (which period may be shorter or longer than that allowed in the case of other defaults) or may provide for an immediate
enforcement upon such default or may limit the remedies available to the Debenture Trustee upon such default; 
  
 (c) to provide for the issuance under this Indenture of Securities in coupon form (including Securities registrable as to principal only)
and to provide for exchangeability of such Securities with the Securities issued hereunder in fully registered form and to make all appropriate changes for such purpose; 
  
 (d) to cure any ambiguity or to correct or supplement any provision contained herein or in any supplemental
indenture which may be defective or inconsistent with any other provision contained herein or in any supplemental indenture, or to make such other provisions in regard to matters or questions arising under this Indenture; 
  
 (e) to evidence and provide for the acceptance of
appointment hereunder by a successor trustee with respect to the Securities; 
  

 48 

 (f) to make provision for transfer procedures, certification, book-entry provisions and
all other matters required pursuant to Section 2.07 or otherwise necessary, desirable or appropriate in connection with the issuance of Securities to holders of Preferred Securities in the event of a distribution of Securities by the Trust following
a Dissolution Event; 
  
 (g) to qualify or
maintain qualification of this Indenture under the Trust Indenture Act; or 
  
 (h) to ensure that the Trust is not required to register as an investment company under the Investment Company Act; or 
  
 (i) to make any change that does not adversely affect the rights of any Securityholder in any material respect; 
  
 provided that any such amendment does not materially adversely affect the interests of
Securityholders, it being understood that no amendment described in clause (a) above made solely to conform this Indenture to the final offering memorandum provided to investors in connection with the initial offering of the Preferred Securities
will be deemed to materially and adversely affect the interests of Securityholders. 
  
 The Debenture Trustee is hereby authorized to join with the Corporation in the execution of any supplemental indenture to effect such amendment, to make any further appropriate agreements and stipulations which may be
therein contained and to accept the conveyance, transfer and assignment of any property thereunder, but the Debenture Trustee shall not be obligated to, but may in its discretion, enter into any such supplemental indenture which affects the
Debenture Trustee’s own rights, duties, privileges or immunities under this Indenture or otherwise. 
  
 Any amendment to the Indenture authorized by the provisions of this Section 9.01 may be executed by the Corporation and the Debenture Trustee without the
consent of the holders of any of the Securities at the time outstanding, notwithstanding any of the provisions of Section 9.02. 
  
 SECTION 9.02 With Consent of Securityholders. 
  
 With the consent (evidenced as provided in Section 7.01) of the holders of a majority in aggregate principal amount of the
Securities at the time outstanding, the Corporation, when authorized by a Board Resolution, and the Debenture Trustee may from time to time and at any time amend the Indenture for the purpose of adding any provisions to or changing in any manner or
eliminating any of the provisions of this Indenture or of modifying in any manner the rights of the holders of the Securities; provided, however, that no such amendment shall, without the consent of the holders of each Security then
outstanding and affected thereby (i) change the Maturity Date of any Security, or reduce the principal amount of, or any installment of principal of or Interest on the Securities; (ii) reduce the rate or extend the time of payment of Interest; (iii)
change any of the provisions of Article XIV relating to redemption; (iv) change the Conversion Ratio except as provided in Section 17.03 and Section 17.04 with respect to adjustment of the Conversion Ratio; (v) make the principal of, or Interest
payment on, the 

  

 49 

 
Securities payable in any coin or currency other than that provided herein; (vi) change any obligation of the Corporation to maintain an office or agency in
the places and for the purposes required by the Indenture or change the place of payment where the Securities or any premium or Interest payment thereon is payable; (vii) impair or affect the right of any holder of Securities to institute suit for
the payment of the Securities as provided herein; (viii) reduce the percentage of the principal amount of the Securities required to consent to modify or amend the Indenture or for any waiver of compliance with provisions of the Indenture as stated
herein or for waiver of Defaults as stated herein; (ix) make any change adverse to a Holder with respect to the subordination provisions of Article XV; or (x) modify any of the foregoing provisions; provided, however, that if the Securities
are held by the Trust, no such modification or amendment referred to in clauses (i) through (x) shall be effective until the holders of not less than a majority of the aggregate liquidation amount of the Trust Securities shall have consented to such
modification or amendment; and provided further, however, that where a consent under the Indenture would require the consent of each of the Securityholders, such modification or amendment shall not be effective until the holders of at least
the same proportion in aggregate stated liquidation amount of the Trust Securities shall have consented to such modification or amendment. 
  
 Upon the request of the Corporation accompanied by a copy of a resolution of the Board of Directors certified by its clerk or assistant clerk authorizing
the execution of any supplemental indenture effecting such amendment, and upon the filing with the Debenture Trustee of evidence of the consent of Securityholders as aforesaid, the Debenture Trustee shall join with the Corporation in the execution
of such supplemental indenture unless such supplemental indenture affects the Debenture Trustee’s own rights, duties, privileges or immunities under this Indenture or otherwise, in which case the Debenture Trustee may in its discretion, but
shall not be obligated to, enter into such supplemental indenture. 
  
 Promptly after the execution by the Corporation and the Debenture Trustee of any supplemental indenture pursuant to the provisions of this Section, the Debenture Trustee, at the expense of the Corporation, shall transmit by mail,
first-class postage prepaid, a notice, prepared by the Corporation, setting forth in general terms the substance of such supplemental indenture, to the Securityholders as their names and addresses appear upon the Security Register. Any failure of
the Debenture Trustee to mail such notice, or any defect therein, shall not, however, in any way impair or affect the validity of any such supplemental indenture. 
  
 It shall not be necessary for the consent of the Securityholders under this Section 9.02 to approve the particular form of
any proposed supplemental indenture, but it shall be sufficient if such consent shall approve the substance thereof. 
  
 SECTION 9.03 Compliance with Trust Indenture Act; Effect of Supplemental Indentures. 
  
 Any supplemental indenture executed pursuant to the provisions of this
Article IX shall comply with the Trust Indenture Act. Upon the execution of any supplemental indenture pursuant to the provisions of this Article IX, this Indenture shall be and be deemed to be modified and amended in accordance therewith and the
respective rights, limitations of rights, obligations, duties, privileges and immunities under this Indenture of the Debenture Trustee, the Corporation and the holders of Securities shall thereafter be determined, exercised and enforced hereunder
subject in all respects to such modifications and amendments, and all the terms and 

  

 50 

 
conditions of any such supplemental indenture shall be and be deemed to be part of the terms and conditions of this Indenture for any and all purposes.

  
 SECTION 9.04 Notation on Securities.

  
 Securities authenticated and delivered after the execution of
any supplemental indenture affecting such Securities pursuant to the provisions of this Article IX may bear a notation in form approved by the Debenture Trustee as to any matter provided for in such supplemental indenture. If the Corporation or the
Debenture Trustee shall so determine, new Securities so modified as to conform, in the opinion of the Debenture Trustee and the Board of Directors, to any modification of this Indenture contained in any such supplemental indenture may be prepared
and executed by the Corporation, authenticated by the Debenture Trustee or the Authenticating Agent and delivered in exchange for the Securities then outstanding. 
  
 SECTION 9.05 Evidence of Compliance of Supplemental Indenture to Be Furnished to Debenture Trustee.

  
 The Debenture Trustee, subject to the provisions of Sections
6.01 and 6.02, may receive an Officers’ Certificate and an Opinion of Counsel as conclusive evidence that any supplemental indenture executed pursuant hereto complies with the requirements of this Article IX. 
  
 ARTICLE X 
 CONSOLIDATION, MERGER, SALE, CONVEYANCE AND LEASE 
  
 SECTION 10.01 Corporation May Consolidate, Etc., on Certain Terms. 
  
 Except as set forth in Section 17.05, nothing contained in this Indenture or in any of the Securities shall prevent any consolidation or merger of the
Corporation with or into any other Person (whether or not affiliated with the Corporation, as the case may be), or successive consolidations or mergers in which the Corporation or its successor or successors, as the case may be, shall be a party or
parties, or shall prevent any sale, conveyance, transfer or lease of all or substantially all the property and assets of the Corporation, or its successor or successors as the case may be, to any other Person (whether or not affiliated with the
Corporation, or its successor or successors, as the case may be) authorized to acquire and operate the same; provided that (a) the Corporation is the surviving Person, or the Person formed by or surviving any such consolidation or merger (if
other than the Corporation) or to which such sale, conveyance, transfer or lease of property is made is a Person organized and existing under the laws of the United States or any State thereof or the District of Columbia, (b) upon any such
consolidation, merger, sale, conveyance, transfer or lease, the due and punctual payment of the principal of and Interest on the Securities according to their tenor and the due and punctual performance and observance of all the covenants and
conditions of this Indenture (including the Trust Securities Guarantee to the extent Preferred Securities are outstanding) to be kept or performed by the Corporation shall be expressly assumed, by supplemental indenture (which shall conform to the
provisions of the Trust Indenture Act as then in effect) satisfactory in form to the Debenture Trustee executed and delivered to the Debenture Trustee by the Person formed by such consolidation, or into which the Corporation shall have been merged,
or by the Person which shall have acquired such property or assets, as the case may be, and (c) immediately after 

  

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giving effect to such consolidation, merger, sale, conveyance, transfer or lease, no Default or Event of Default shall exist. 
  
 SECTION 10.02 Successor Corporation to Be Substituted for
Corporation. 
  
 In case of any such consolidation, merger,
conveyance or transfer and upon the assumption by the successor corporation, by supplemental indenture, executed and delivered to the Debenture Trustee and satisfactory in form to the Debenture Trustee, of the obligation of due and punctual payment
of the principal of (and premium, if any, on) and Interest on all of the Securities and the due and punctual performance and observance of all of the covenants and conditions of this Indenture to be performed or observed by the Corporation, such
successor Person shall succeed to and be substituted for the Corporation, with the same effect as if it had been named herein as the party of the first part, and the Corporation thereupon shall be relieved of any further liability or obligation
hereunder or upon the Securities. Such successor Person thereupon may cause to be signed, and may issue either in its own name or in the name of Boston Private Financial Holdings, Inc., any or all of the Securities issuable hereunder which
theretofore shall not have been signed by the Corporation and delivered to the Debenture Trustee or the Authenticating Agent; and, upon the order of such successor Person instead of the Corporation and subject to all the terms, conditions and
limitations in this Indenture prescribed, the Debenture Trustee or the Authenticating Agent shall authenticate and deliver any Securities which previously shall have been signed and delivered by the officers of the Corporation to the Debenture
Trustee or the Authenticating Agent for authentication, and any Securities which such successor Person thereafter shall cause to be signed and delivered to the Debenture Trustee or the Authenticating Agent for that purpose. All the Securities so
issued shall in all respects have the same legal rank and benefit under this Indenture as the Securities theretofore or thereafter issued in accordance with the terms of this Indenture as though all of such Indentures had been issued at the date of
the execution hereof. 
  
 SECTION 10.03
Opinion of Counsel to Be Given to Debenture Trustee. 
  
 The Debenture Trustee, subject to the provisions of Sections 6.01 and 6.02, may receive an opinion of Counsel as conclusive evidence that any consolidation, merger, sale, conveyance, transfer or lease, and any assumption, permitted or
required by the terms of this Article X complies with the provisions of this Article X. 
  
 ARTICLE XI 
 SATISFACTION AND DISCHARGE OF INDENTURE 
  
 SECTION 11.01 Discharge of Indenture. 
  
 When (a) the Corporation shall deliver to the Debenture Trustee for
cancellation all Securities theretofore authenticated (other than any Securities which shall have been destroyed, lost or stolen and which shall have been replaced as provided in Section 2.07) and not theretofore cancelled, or (b) all the Securities
not theretofore cancelled or delivered to the Debenture Trustee for cancellation shall have become due and payable, or are by their terms to become due and payable within one year or are to be called for redemption within one year under arrangements
satisfactory to the Debenture Trustee for the giving of notice of redemption, and the Corporation 

  

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shall deposit with the Debenture Trustee, in trust, funds sufficient to pay on the Maturity Date or upon redemption all of the Securities (other than any
Securities which shall have been destroyed, lost or stolen and which shall have been replaced as provided in Section 2.07) not theretofore cancelled or delivered to the Debenture Trustee for cancellation, including principal and Interest due or to
become due to the Maturity Date or redemption date, as the case may be, but excluding, however, the amount of any moneys for the payment of principal of or Interest on the Securities (1) theretofore repaid to the Corporation in accordance with the
provisions of Section 11.04, or (2) paid to any State or to the District of Columbia pursuant to its unclaimed property or similar laws, and if in either case the Corporation shall also pay or cause to be paid all other sums payable hereunder by the
Corporation, then this Indenture shall cease to be of further effect except for the provisions of Sections 2.02, 2.03, 2.04, 2.06, 2.07, 2.10, 2.11, 3.01, 3.02, 3.04, 4.01, 4.02, 5.02, 5.04, 6.05, 6.06, 6.10 and 11.04 and Article XVII, which shall
survive until such Securities shall mature and be paid. Thereafter, Sections 6.06, 6.10 and 11.04 shall survive, and the Debenture Trustee, on demand of the Corporation accompanied by any Officers’ Certificate and an Opinion of Counsel and at
the cost and expense of the Corporation, shall execute proper instruments acknowledging satisfaction of and discharging this Indenture; the Corporation, however, hereby agrees to reimburse the Debenture Trustee for any costs or expenses thereafter
reasonably and properly incurred by the Debenture Trustee in connection with this Indenture or the Securities. 
  
 SECTION 11.02 Deposited Moneys and U.S. Government Obligations to Be Held in Trust by Debenture Trustee. 
  
 Subject to the provisions of Section 11.04, all moneys and U.S. Government
Obligations deposited with the Debenture Trustee pursuant to Sections 11.01 or 11.05 shall be held in trust and applied by it to the payment, either directly or through any paying agent (including the Corporation if acting as its own paying agent),
to the holders of the particular Securities for the payment of which such moneys or U.S. Government Obligations have been deposited with the Debenture Trustee, of all sums due and to become due thereon for principal, premium, if any, and Interest.

  
 The Corporation shall pay and indemnify the Debenture Trustee
against any tax, fee or other charge imposed on or assessed against the U.S. Government Obligations deposited pursuant to Section 11.05 or the principal and interest received in respect thereof other than any such tax, fee or other charge which by
law is for the account of the holders of outstanding Securities. 
  
 SECTION 11.03 Paying Agent to Repay Moneys Held. 
  
 Upon the satisfaction and discharge of this Indenture all moneys then held by any paying agent of the Securities (other than the Debenture Trustee) shall, upon written demand of the Corporation, be repaid to it or
paid to the Debenture Trustee, and thereupon such paying agent shall be released from all further liability with respect to such moneys. 
  

 53 

 SECTION 11.04 Return of Unclaimed Moneys. 
  
 Any moneys deposited with or paid to the Debenture Trustee or any paying
agent for payment of the principal of or Interest on Securities and not applied but remaining unclaimed by the holders of Securities for two years after the date upon which the principal of or Interest on such Securities, as the case may be, shall
have become due and payable, shall be repaid to the Corporation by the Debenture Trustee or such paying agent on written demand; and the holder of any of the Securities shall thereafter look only to the Corporation for any payment which such holder
may be entitled to collect and all liability of the Debenture Trustee or such paying agent with respect to such moneys shall thereupon cease. 
  
 SECTION 11.05 Defeasance Upon Deposit of Moneys or U.S. Government Obligations. 
  
 The Corporation shall be deemed to have been Discharged (as defined below)
from its obligations with respect to the Securities on the 91st day after the applicable conditions set forth below have been satisfied: 
  
 (a) the Corporation shall have deposited or caused to be deposited irrevocably with the Debenture Trustee or the Defeasance Agent (as
defined below) as trust funds in trust, specifically pledged as security for, and dedicated solely to, the benefit of the holders of the Securities (i) money in an amount, or (ii) U.S. Government obligations which through the payment of interest and
principal in respect thereof in accordance with their terms will provide, not later than one day before the due date of any payment, money in an amount, or (iii) a combination of (i) and (ii), sufficient, in the opinion (with respect to (ii) and
(iii)) of a nationally recognized firm of independent public accountants expressed in a written certification thereof delivered to the Debenture Trustee and the Defeasance Agent, if any, to pay and discharge each installment of principal of and
Interest and premium, if any, on the outstanding Securities on the dates such installments of principal, Interest or premium are due; 
  
 (b) no Default or Event of Default (including as a result of such deposit) with respect to the Securities shall have occurred and be
continuing on the date of such deposit; 
  
 (c)
such deposit and the related intended consequence will not result in any default or event of default under any material indenture, agreement or other instrument binding upon the Corporation or its Subsidiaries or any of their properties; 

 
 (d) the Corporation shall have delivered to the Debenture
Trustee and the Defeasance Agent, if any, an opinion of independent tax counsel or a private letter ruling issued by the Internal Revenue Service to the effect that holders of the Securities will not recognize income, gain or loss for United States
federal income tax purposes as a result of the exercise of the option under this Section 11.05 and will be subject to United States federal income tax on the same amount and in the same manner and at the same times as would have been the case if
such option had not been exercised; and 
  
 (e)
the Corporation shall have delivered to the Trustee and the Defeasance Agent, if any, an Officer’s Certificate and an Opinion of Counsel each stating that all 

  

 54 

 
conditions precedent herein provided for relating to the satisfaction and discharge of this Indenture have been complied with. 
  
 “Discharged” means that the Corporation shall be deemed to have
paid and discharged the entire indebtedness represented by, and obligations under, the Securities and to have satisfied all the obligations under this Indenture relating to the Securities (and the Debenture Trustee, at the expense of the
Corporation, shall execute proper instruments acknowledging the same), except (A) the rights of holders of Securities to receive, from the trust fund described in clause (1) above, payment of the principal of and the Interest and premium, if any, on
the Securities when such payments are due; (B) the Corporation’s obligations with respect to the Securities under Sections 2.06, 2.07, 5.02, 5.04, 6.05 and 11.04 and Article XVII; and (C) the rights, powers, trusts, duties, privileges and
immunities of the Debenture Trustee hereunder. 
  
 “Defeasance Agent” means another financial institution which is eligible to act as Debenture Trustee hereunder and which assumes all of the obligations of the Debenture Trustee necessary to enable the Debenture Trustee to act
hereunder. In the event such a Defeasance Agent is appointed pursuant to this Section, the following conditions shall apply: 
  
 (a) The Debenture Trustee shall have approval rights over the document appointing such Defeasance Agent and the document setting forth
such Defeasance Agent’s rights and responsibilities; and 
  
 (b) The Defeasance Agent shall provide verification to the Debenture Trustee acknowledging receipt of sufficient money and/or U.S. Government Obligations to meet the applicable conditions set forth in this Section
11.05. 
  
 ARTICLE XII 
 IMMUNITY OF INCORPORATORS, STOCKHOLDERS, 
 OFFICERS AND DIRECTORS 
  
 SECTION 12.01 Indenture and
Securities Solely Corporate Obligations. 
  
 No recourse for
the payment of the principal of or Interest on any Security, or for any claim based thereon or otherwise in respect thereof, and no recourse under or upon any obligation, covenant or agreement of the Corporation in this Indenture, or in any
Security, or because of the creation of any indebtedness represented thereby, shall be had against any incorporator, stockholder, officer or director, as such, past, present or future, of the Corporation or of any successor Person to the
Corporation, either directly or through the Corporation or any successor Person to the Corporation, whether by virtue of any constitution, statute or rule of law, or by the enforcement of any assessment or penalty or otherwise; it being expressly
understood that all such liability is hereby expressly waived and released as a condition of, and as a consideration for, the execution of this Indenture and the issue of the Securities. 
  

 55 

  
 ARTICLE XIII

 MISCELLANEOUS PROVISIONS 
  
 SECTION 13.01 Successors. 
  
 All the covenants, stipulations, promises and agreements in this Indenture contained by the Corporation shall bind its successors and assigns whether so
expressed or not. 
  
 SECTION 13.02 Official
Acts by Successor Corporation. 
  
 Any act or proceeding by
any provision of this Indenture authorized or required to be done or performed by any board, committee or officer of the Corporation shall and may be done and performed with like force and effect by the like board, committee or officer of any
corporation that shall at the time be the lawful sole successor of the Corporation. 
  
 SECTION 13.03 Surrender of Corporation Powers. 
  
 The Corporation by instrument in writing executed by authority of 2/3 (two-thirds) of its Board of Directors and delivered
to the Debenture Trustee may surrender any of the powers reserved to the Corporation, and thereupon such power so surrendered shall terminate both as to the Corporation, as the case may be, and as to any successor Person. 
  
 SECTION 13.04 Addresses for Notices, Etc. Any notice, direction, request or demand
which by any provision of this Indenture is required or permitted to be given or served on any party by the other party or by the holders of Securities may be given or served by being deposited postage prepaid by first class mail, registered or
certified mail, overnight courier service or telecopy (confirmed by one of the foregoing) addressed (unless another address is provided by a party by written notice to the other party), as follows: 
  
 If to the Corporation: 
  
 Boston Private Financial Holdings, Inc. 
 Ten Post Office Square 
 Boston, Massachusetts
02109 
 Telecopy: (617) 912-4491 
 Telephone: (617) 646-4822 
 Attention: Margaret W. Chambers, Esq. 
  
 If to the Debenture Trustee: 
  
 SuqnTrust Bank 
 25 Park Place, 24th floor

 Atlanta, Georgia 30303 
 Telecopy: (404) 588-7335 
 Telephone: (404) 588-7591 
 Attention: George Hogan 
  

 56 

 Any notice or communication to a Securityholder shall be mailed by first-class mail to his or her address shown on the
register kept by the security registrar for the Securities. 
  
 SECTION 13.05 Governing Law. 
  
 This Indenture and each Security shall be deemed to be a contract made under the laws of the State of New York, and for all purposes shall be governed by and construed in accordance with the laws of said State. 
  
 SECTION 13.06 Evidence of Compliance with Conditions
Precedent. 
  
 Upon any application or demand by the
Corporation to the Debenture Trustee to take any action under any of the provisions of this Indenture, the Corporation shall furnish to the Debenture Trustee an Officers’ Certificate stating that in the opinion of the signers all conditions
precedent, if any, provided for in this Indenture relating to the proposed action have been complied with and an Opinion of Counsel stating that, in the opinion of such counsel, all such conditions precedent have been complied with. 
  
 Each certificate or opinion provided for in this Indenture and delivered to
the Debenture Trustee with respect to compliance with a condition or covenant provided for in this Indenture (except certificates delivered pursuant to Section 3.05) shall include: (1) a statement that the Person making such certificate or opinion
has read such covenant or condition; (2) a brief statement as to the nature and scope of the examination or investigation upon which the statements or opinions contained in such certificate or opinion are based; (3) a statement that, in the opinion
of such Person, he has made such examination or investigation as is necessary to enable him to express an informed opinion as to whether or not such covenant or condition has been complied with; and (4) a statement as to whether or not, in the
opinion of such person, such condition or covenant has been complied with. 
  
 SECTION 13.07 Business Days. 
  
 In any case where the date of payment of principal of or Interest on the Securities will not be a Business Day, the payment of such principal of or Interest on the Securities need not be made on such date but may be made on the next
succeeding Business Day, with the same force and effect as if made on the date of payment and no Interest shall accrue for the period from and after such date, except that if such next succeeding Business Day falls in the next succeeding calendar
year, then such payment shall be made on the immediately preceding Business Day, in each case with the same force and effect as if made on such date. 
  
 SECTION 13.08 Trust Indenture Act to Control. 
  
 If and to the extent that any provision of this Indenture limits, qualifies or conflicts with the duties imposed by Sections
310 to 318, inclusive, of the Trust Indenture Act, such imposed duties shall control. 
  

 57 

 SECTION 13.09 Table of Contents, Headings, Etc. 
  
 The table of contents and the titles and headings of the articles and
sections of this Indenture have been inserted for convenience of reference only, are not to be considered a part hereof, and shall in no way modify or restrict any of the terms or provisions hereof. 
  
 SECTION 13.10 Execution in Counterparts. 

 
 This Indenture may be executed in any number of counterparts, each of
which shall be an original, but such counterparts shall together constitute but one and the same instrument. 
  
 SECTION 13.11 Separability. 
  
 In case any one or more of the provisions contained in this Indenture or in the Securities shall for any reason be held to be invalid, illegal or
unenforceable in any respect, such invalidity, illegality or unenforceability shall not affect any other provisions of this Indenture or of the Securities, but this Indenture and the Securities shall be construed as if such invalid or illegal or
unenforceable provision had never been contained herein or therein. 
  
 SECTION 13.12 Assignment. 
  
 The Corporation will have the right at all times to assign any of its respective rights or obligations under this Indenture to a direct or indirect wholly owned Subsidiary of the Corporation, provided that, in the event of any such
assignment, the Corporation will remain liable for all such obligations. Subject to the foregoing, the Indenture is binding upon and inures to the benefit of the parties thereto and their respective successors and assigns. This Indenture may not
otherwise be assigned by the parties thereto. 
  
 ARTICLE XIV

 REDEMPTION OF SECURITIES 
  
 SECTION 14.01 Special Event Redemption. 
  
 If, a Special Event has occurred and is continuing, then notwithstanding Section 14.02(a) but subject to Section 14.02(b), the Corporation shall have the
right, at any time following the occurrence of such Special Event but subject to the receipt of any required approval by the Federal Reserve, upon (i) not less than 45 days written notice to the Debenture Trustee and (ii) not less than 20 days nor
more than 60 days written notice to the Securityholders, to redeem the Securities, in whole (but not in part), at the Redemption Price. The Redemption Price shall be paid prior to 12:00 noon, New York, New York time, on the date of such redemption
or such earlier time as the Corporation determines, provided that the Corporation shall deposit with the Debenture Trustee an amount sufficient to pay the Redemption Price by 10:00 a.m., New York time, on the date such Redemption Price is to be
paid. 
  
 SECTION 14.02 Optional Redemption by
Corporation. 
  
 (a) The Corporation shall have the
right to redeem the Securities, in whole or in part, on one or more occasions at any time on or after October 1, 2009 if the Closing Price of the 

  

 58 

 
Common Stock for 20 Trading Days in a period of 30 consecutive Trading Days ending on the Trading Day prior to the mailing of the notice of redemption
exceeds 130% of the then prevailing Conversion Price. 
  
 If the
Securities are only partially redeemed pursuant to this Section 14.02, the Securities to be redeemed shall be selected on a pro rata basis not more than 60 days prior to the date fixed for redemption from the outstanding Securities not previously
called for redemption, provided, however, that with respect to Securityholders that would be required to hold Securities with an aggregate principal amount of less than $5,000 but more than an aggregate principal amount of zero as a
result of such pro rata redemption, the Corporation shall redeem Securities of each such Securityholder so that after such redemption such Securityholder shall hold Securities either with an aggregate principal amount of at least $5,000 or such
Securityholder no longer holds any Securities, and shall use such method (including, without limitation, by lot) as the Corporation shall deem fair and appropriate, provided further that any such proration may be made on the basis of the
aggregate principal amount of Securities held by each Securityholder and may be made by making such adjustments as the Corporation deems fair and appropriate in order that only Securities in denominations of $50.00 or integral multiples thereof
shall be redeemed. The Redemption Price shall be paid prior to 12:00 noon, New York, New York time, on the date of such redemption or at such earlier time as the Corporation determines, provided that the Corporation shall deposit with the Debenture
Trustee an amount sufficient to pay the Redemption Price by 10:00 a.m., New York, New York time, on the date such Redemption Price is to be paid. 
  
 (b) Any redemption of Securities pursuant to Section 14.01 or Section 14.02 shall be subject to the Corporation obtaining the prior approval of its
primary federal banking regulator, if required by applicable law or regulation, and any other required regulatory approvals. 
  
 SECTION 14.03 No Sinking Fund. 
  
 The Securities are not entitled to the benefit of any sinking fund. 
  
 SECTION 14.04 Notice of Redemption; Selection of Securities. 
  
 In case the Corporation shall desire to exercise the right to redeem all,
or, as the case may be, any part of the Securities in accordance with their terms, it shall fix a date for redemption and shall mail a notice of such redemption at least 20 and not more than 60 days prior to the date fixed for redemption to the
holders of Securities to be so redeemed as a whole or in part at their last addresses as the same appear on the Security Register. For purposes of the calculation of the date of redemption and the dates on which notices are given pursuant to this
Section 14.04, a redemption notice shall be deemed to be given on the day such notice is first mailed by first-class mail, postage prepaid, to holders. The notice if mailed in the manner herein provided shall be conclusively presumed to have been
duly given, whether or not the holder receives such notice. In any case, failure to give such notice by mail or any defect in the notice to the holder of any Security designated for redemption as a whole or in part shall not affect the validity of
the proceedings for the redemption of any other Security. 
  

 59 

 Each such notice of redemption shall specify the CUSIP number of the Securities to be redeemed, the date
fixed for redemption, the Redemption Price at which the Securities are to be redeemed (or the method by which such Redemption Price is to be calculated), the place or places of payment that payment will be made upon presentation and surrender of the
Securities, that Interest accrued to the date fixed for redemption will be paid as specified in said notice, that on and after said date Interest thereon or on the portions thereof to be redeemed will cease to accrue, the then-current Conversion
Price, the name and address of the Paying Agent and the Conversion Agent, that the Securities called for redemption may be converted at any time before 5:00 p.m. New York City time on the Business Day immediately preceding the redemption date and
that Securityholders who wish to convert Securities must satisfy the requirements in the Indenture and the Securities. If less than all the Securities are to be redeemed, the notice of redemption shall specify the numbers of the Securities to be
redeemed. In case any Security is to be redeemed in part only, the notice of redemption shall state the portion of the principal amount thereof to be redeemed and shall state that on and after the date fixed for redemption, upon surrender of such
Security, a new Security or Securities in principal amount equal to the portion thereof that has not been redeemed will be issued. 
  
 By 10:00 a.m. New York time on the redemption date specified in the notice of redemption given as provided in this Section, the Corporation will deposit
with the Debenture Trustee or with one or more paying agents an amount of money sufficient to redeem on the redemption date all the Securities so called for redemption at the appropriate Redemption Price. 
  
 The Corporation will give the Debenture Trustee notice not less than 45 days
prior to the redemption date as to the aggregate principal amount of Securities to be redeemed and the Debenture Trustee shall select, in such manner as in its sole discretion it shall deem appropriate and fair, the Securities or portions thereof
(in integral multiples of $50.00, except as otherwise set forth in the applicable form of Security) to be redeemed. 
  
 SECTION 14.05 Payment of Securities Called for Redemption. 
  
 If notice of redemption has been given to Securityholders as provided in Section 14.04, the Securities or portions of
Securities with respect to which such notice has been given shall become due and payable on the date and at the place or places stated in such notice at the Redemption Price (subject to the rights of holders of Securities at the close of business on
a regular record date to receive Interest in respect of an Interest Payment Date occurring on or prior to the Redemption Date), and on and after said date (unless the Corporation shall default in the payment of such Securities at the Redemption
Price) Interest on the Securities or portions of Securities so called for redemption shall cease to accrue. On presentation and surrender of such Securities at a place of payment specified in said notice, the said Securities or the specified
portions thereof shall be paid and redeemed by the Corporation at the Redemption Price (subject to the rights of holders of Securities on the close of business on a regular record date to receive Interest in respect of an Interest Payment Date
occurring on or prior to the Redemption Date). 
  
 Upon
presentation of any Security redeemed in part only, the Corporation shall execute and the Debenture Trustee shall authenticate and make available for delivery to the holder thereof, at the expense of the Corporation, a new Security or Securities of
authorized 

  

 60 

 
denominations, in principal amount equal to the portion of the Security so presented that has not been redeemed. 
  
 SECTION 14.06 Conversion Arrangement on Call for
Redemption. 
  
 In connection with any redemption of
Securities, the Corporation may arrange for the purchase and conversion of any Securities by an agreement with one or more investment bankers or other purchasers to purchase such Securities by paying to the Trustee in trust for the Holders, on or
before the Redemption Date, an amount not less than the applicable Redemption Price of such Securities. Notwithstanding anything to the contrary contained in this Article XIV, the obligation of the Corporation to pay the Redemption Price of such
Securities shall be deemed to be satisfied and discharged to the extent such amount is so paid by such purchasers. If such an agreement is entered into, a copy of which shall be filed with the Trustee prior to the Redemption Date, any Securities not
duly surrendered for conversion by the Holders thereof, may, at the option of the Corporation, be deemed, to the fullest extent permitted by law, acquired by such purchasers from such Holders and (notwithstanding anything to the contrary contained
in Article XVII) surrendered by such purchasers for conversion, all as of immediately prior to the close of business on the Redemption Date (and the right to convert any such Securities shall be deemed to have been extended through such time),
subject to payment of the above amount as aforesaid. At the written direction of the Corporation, the Debenture Trustee shall hold and dispose of any such amount paid to it in the same manner as it would monies deposited with it by the Corporation
for the redemption of Securities. Without the Debenture Trustee’s prior written consent, no arrangement between the Corporation and such purchasers for the purchase and conversion of any Securities shall increase or otherwise affect any of the
powers, duties, responsibilities or obligations of the Debenture Trustee as set forth in this Indenture, and the Corporation agrees to indemnify the Debenture Trustee from, and hold it harmless against, any and all loss, liability or expense arising
out of or in connection with any such arrangement for the purchase and conversion of any Securities between the Corporation and such purchasers, including the costs and expenses incurred by the Debenture Trustee in the defense of any claim or
liability arising out of or in connection with the exercise or performance of any of its powers, duties, responsibilities or obligations under this Indenture. Nothing in the preceding sentence shall be deemed to limit the rights, privileges,
immunities and protections afforded to the Debenture Trustee in Article VI. Nothing in this Section 14.06 shall affect the right of the Holders to receive the full Redemption Price on the Redemption Date. 
  
 ARTICLE XV 
 SUBORDINATION OF SECURITIES 
  
 SECTION 15.01 Agreement to Subordinate. 
  

The Corporation covenants and agrees, and each holder of Securities issued hereunder likewise covenants and agrees, that the Securities shall be issued
subject to the provisions of this Article XV; and each holder of a Security, whether upon original issue or upon transfer or assignment thereof, accepts and agrees to be bound by such provisions. 
  
 The payment by the Corporation of the principal of and Interest on all
Securities issued hereunder shall, to the extent and in the manner hereinafter set forth, be subordinated and junior 

  

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in right of payment to all Senior Indebtedness, whether outstanding at the date of this Indenture or thereafter incurred. 
  
 No provision of this Article XV shall prevent the occurrence of any Default
or Event of Default hereunder. 
  
 SECTION 15.02
Default on Senior Indebtedness. 
  
 In the event and
during the continuation of any Default by the Corporation in the payment of principal, interest or any other payment due on any Senior Indebtedness, or in the event that the maturity of any Senior Indebtedness has been accelerated because of an
Event of Default, or if any judicial proceeding shall be pending with respect to any such Default, then, in any such case, no payment shall be made by the Corporation with respect to the principal (including redemption payments) of or Interest on
the Securities or any other amounts which may be due on the Securities pursuant to the terms hereof or otherwise. 
  
 In the event of the acceleration of the maturity of the Securities, then no payment shall be made by the Corporation with respect to the principal
(including redemption payments) or Interest on the Securities or any other amounts which may be due on the Securities pursuant to the terms hereof or otherwise until the holders of all Senior Indebtedness outstanding at the time of such acceleration
shall receive payment in full of such Senior Indebtedness (including any amounts due upon acceleration). 
  
 In the event that, notwithstanding the foregoing, any payment shall be received by the Debenture Trustee when such payment is prohibited by the preceding
paragraphs of this Section 15.02, such payment shall be held in trust for the benefit of, and shall be paid over or delivered to, the holders of Senior Indebtedness or their respective representatives, or to the trustee or trustees under any
indenture pursuant to which any of such Senior Indebtedness may have been issued, as their respective interests may appear, but only to the extent that the holders of the Senior Indebtedness (or their representative or representatives or a trustee)
notify the Debenture Trustee in writing within 90 days of such payment of the amounts then due and owing on such Senior Indebtedness, and only the amounts specified in such notice to the Debenture Trustee shall be paid to the holders of such Senior
Indebtedness. 
  
 SECTION 15.03 Liquidation;
Dissolution; Bankruptcy. 
  
 Upon any payment by the
Corporation or distribution of assets of the Corporation of any kind or character, whether in cash, property or securities, to creditors upon the Corporation’s liquidation, dissolution, winding up, reorganization, assignment for the benefit of
its creditors, marshaling of its assets or any bankruptcy, insolvency, debt restructuring or similar proceedings in connection with any insolvency or bankruptcy proceeding involving the Corporation, all Senior Indebtedness of the Corporation shall
first be paid in full, or payment thereof provided for in money in accordance with its terms, before any payment is made by the Corporation on account of the principal of or Interest on the Securities or any other amounts which may be due on the
Securities pursuant to the terms hereof or otherwise; and upon any such event, any payment by the Corporation, or distribution of assets of the Corporation of any kind or character, whether in cash, property or securities, which the Securityholders
or the Debenture Trustee 

  

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would be entitled to receive from the Corporation, except for the provisions of this Article XV, shall be paid by the Corporation or by any receiver, trustee
in bankruptcy, liquidating trustee, agent or other Person making such payment or distribution, or by the Securityholders or by the Debenture Trustee under the Indenture if received by them or it, directly to the holders of Senior Indebtedness of the
Corporation (pro rata to such holders on the basis of the respective amounts of Senior Indebtedness held by such holders, as calculated by the Corporation) or their representative or representatives, or to the trustee or trustees under any indenture
pursuant to which any instruments evidencing such Senior Indebtedness may have been issued, as their respective interests may appear, to the extent necessary to pay all such Senior Indebtedness in full, in money or money’s worth, after giving
effect to any concurrent payment or distribution to or for the holders of such Senior Indebtedness, before any payment or distribution is made to the Securityholders or to the Debenture Trustee. 
  
 In the event that, notwithstanding the foregoing, any payment or distribution
of assets of the Corporation of any kind or character prohibited by the foregoing, whether in cash, property or securities, shall be received by the Debenture Trustee before all Senior Indebtedness is paid in full, or provision is made for such
payment in money in accordance with its terms, such payment or distribution shall be held in trust for the benefit of and shall be paid over or delivered to the holders of such Senior Indebtedness or their representative or representatives, or to
the trustee or trustees under any indenture pursuant to which any instruments evidencing such Senior Indebtedness may have been issued, as their respective interests may appear, as calculated by the Corporation, for application to the payment of all
Senior Indebtedness remaining unpaid to the extent necessary to pay all such Senior Indebtedness in full in money in accordance with its terms, after giving effect to any concurrent payment or distribution to or for the benefit of the holders of
such Senior Indebtedness. 
  
 For purposes of this Article XV, the
words “cash, property or securities” shall not be deemed to include shares of stock of the Corporation as reorganized or readjusted, or securities of the Corporation or any other corporation provided for by a plan of reorganization or
readjustment, the payment of which is subordinated at least to the extent provided in this Article XV with respect to the Securities to the payment of Senior Indebtedness that may at the time be outstanding, provided that (i) such senior
Indebtedness is assumed by the new corporation, if any, resulting from any such reorganization or readjustment, and (ii) the rights of the holders of such Senior Indebtedness are not, without the consent of such holders, altered by such
reorganization or readjustment. The consolidation of the Corporation with, or the merger of the Corporation into, another Person or the liquidation or dissolution of the Corporation following the sale, conveyance, transfer or lease of its property
as an entirety, or substantially as an entirety, to another Person upon the terms and conditions provided for in Article X of this Indenture shall not be deemed a dissolution, winding-up, liquidation or reorganization for the purposes of this
Section 15.03 if such other Person shall, as a part of such consolidation, merger, sale, conveyance, transfer or lease, comply with the conditions stated in Article X of this Indenture. Nothing in Section 15.02 or in this Section 15.03 shall apply
to claims of, or payments to, the Debenture Trustee under or pursuant to Section 6.06 of this Indenture. 
  

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 SECTION 15.04 Subrogation. 
  
 Subject to the payment in full of all Senior Indebtedness, the rights of the
Securityholders shall be subrogated to the rights of the holders of such Senior Indebtedness to receive payments or distributions of cash, property or securities of the Corporation, as the case may be, applicable to such Senior Indebtedness until
the principal of and Interest on the Securities shall be paid in full; and, for the purposes of such subrogation, no payments or distributions to the holders of such Senior Indebtedness of any cash, property or securities to which the
Securityholders or the Debenture Trustee would be entitled except for the provisions of this Article XV, and no payment over pursuant to the provisions of this Article XV to or for the benefit of the holders of such Senior Indebtedness by
Securityholders or the Debenture Trustee, shall, as between the Corporation, its creditors other than holders of Senior Indebtedness of the Corporation, and the holders of the Securities, be deemed to be a payment by the Corporation to or on account
of such Senior Indebtedness. It is understood that the provisions of this Article XV are and are intended solely for the purposes of defining the relative rights of the holders of the Securities, on the one hand, and the holders of such Senior
Indebtedness on the other hand. 
  
 Nothing contained in this
Article XV or elsewhere in this Indenture or in the Securities is intended to or shall impair, as between the Corporation, its creditors other than the holders of Senior Indebtedness of the Corporation, and the holders of the Securities, the
obligation of the Corporation, which is absolute and unconditional, to pay to the holders of the Securities the principal of and Interest on the Securities as and when the same shall become due and payable in accordance with their terms, or is
intended to or shall affect the relative rights of the holders of the Securities and creditors of the Corporation, as the case may be, other than the holders of Senior Indebtedness of the Corporation, as the case may be, nor shall anything herein or
therein prevent the Debenture Trustee or the holder of any Security from exercising all remedies otherwise permitted by applicable law upon Default under the Indenture, subject to the rights, if any, under this Article XV of the holders of such
Senior Indebtedness in respect of cash, property or securities of the Corporation, as the case may be, received upon the exercise of any such remedy. 
  
 Upon any payment or distribution of assets of the Corporation referred to in this Article XV, the Debenture Trustee, subject to the provisions of Article
VI of this Indenture, and the Securityholders shall be entitled to conclusively rely upon any order or decree made by any court of competent jurisdiction in which such dissolution, winding-up, liquidation or reorganization proceedings are pending,
or a certificate of the receiver, trustee in bankruptcy, liquidation trustee, agent or other Person making such payment or distribution, delivered to the Debenture Trustee or to the Securityholders, for the purposes of ascertaining the Persons
entitled to participate in such distribution, the holders of Senior Indebtedness and other indebtedness of the Corporation, as the case may be, the amount thereof or payable thereon, the amount or amounts paid or distributed thereon and all other
facts pertinent thereto or to this Article XV. 
  
 SECTION 15.05 Debenture Trustee to Effectuate Subordination. 
  
 Each Securityholder by such Securityholder’s acceptance thereof authorizes and directs the Debenture Trustee on such Securityholder’s behalf to take such action as may be necessary 

  

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or appropriate to effectuate the subordination provided in this Article XV and appoints the Debenture Trustee such Securityholder’s attorney-in-fact for
any and all such purposes. 
  
 SECTION 15.06
Notice by the Corporation. 
  
 The Corporation shall give
prompt written notice to a Responsible Officer of the Debenture Trustee of any fact known to the Corporation that would prohibit the making of any payment of monies to or by the Debenture Trustee in respect of the Securities pursuant to the
provisions of this Article XV. Notwithstanding the provisions of this Article XV or any other provision of this Indenture, the Debenture Trustee shall not be charged with knowledge of the existence of any facts that would prohibit the making of any
payment of monies to or by the Debenture Trustee in respect of the Securities pursuant to the provisions of this Article XV, unless and until a Responsible Officer of the Debenture Trustee shall have received written notice thereof from the
Corporation or a holder or holders of Senior Indebtedness or from any trustee therefor; and before the receipt of any such written notice, the Debenture Trustee, subject to the provisions of Article VI of this Indenture, shall be entitled in all
respects to assume that no such facts exist; provided, however, that if the Debenture Trustee shall not have received the notice provided for in this Section 15.06 at least three Business Days prior to the date upon which by the terms
hereof any money may become payable for any purpose (including, without limitation, the payment of the principal of or Interest on any Security), then, anything herein contained to the contrary notwithstanding, the Debenture Trustee shall have full
power and authority to receive such money and to apply the same to the purposes for which they were received, and shall not be affected by any notice to the contrary that may be received by it within three Business Days prior to such date.

  
 The Debenture Trustee, subject to the provisions of Article
VI, shall be entitled to conclusively rely on a written notice delivered to it by a Person representing himself to be a holder of Senior Indebtedness of the Corporation (or a trustee on behalf of such holder), as the case may be, to establish that
such notice has been given by a holder of such Senior Indebtedness or a trustee on behalf of any such holder or holders. In the event that the Debenture Trustee determines in good faith that further evidence is required with respect to the right of
any Person as a holder of such Senior Indebtedness to participate in any payment or distribution pursuant to this Article XV, the Debenture Trustee may request such Person to furnish evidence to the reasonable satisfaction of the Debenture Trustee
as to the amount of such Senior Indebtedness held by such Person, the extent to which such Person is entitled to participate in such payment or distribution and any other facts pertinent to the rights of such Person under this Article XV, and, if
such evidence is not furnished, the Debenture Trustee may defer any payment to such Person pending judicial determination as to the right of such Person to receive such payment. 
  
 Upon any payment or distribution of assets of the Corporation referred to in this Article XV, the Debenture Trustee and the
Securityholders shall be entitled to conclusively rely upon any order or decree entered by any court of competent jurisdiction in which such insolvency, bankruptcy, receivership, liquidation, reorganization, dissolution, winding-up or similar case
or proceeding is pending, or a certificate of the trustee in bankruptcy, liquidating trustee, custodian, receiver, assignee for the benefit of creditors, agent or other person making such payment or distribution, delivered to the Debenture Trustee
or to the Securityholders, for the purpose of ascertaining the persons entitled to participate in such payment or distribution, the 

  

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holders of Senior Indebtedness and other indebtedness of the Corporation, the amount thereof or payable thereon, the amount or amounts paid or distributed
thereon and all other facts pertinent thereto or to this Article XV. 
  
 SECTION 15.07 Rights of the Debenture Trustee; Holders of Senior Indebtedness. 
  
 The Debenture Trustee in its individual capacity shall be entitled to all the rights set forth in this Article XV in respect of any Senior Indebtedness at
any time held by it, to the same extent as any other holder of Senior Indebtedness, and nothing in this Indenture shall deprive the Debenture Trustee of any of its rights as such holder. 
  
 With respect to the holders of Senior Indebtedness of the Corporation, the Debenture Trustee undertakes to perform or to
observe only such of its covenants and obligations as are specifically set forth in this Article XV, and no implied covenants or obligations with respect to the holders of such Senior Indebtedness shall be read into this Indenture against the
Debenture Trustee. The Debenture Trustee shall not be deemed to owe any fiduciary duty to the holders of such Senior Indebtedness and, subject to the provisions of Article VI of this Indenture, the Debenture Trustee shall not be liable to any holder
of such Senior Indebtedness if it shall pay over or deliver to Securityholders, the Corporation or any other Person money or assets to which any holder of such Senior Indebtedness shall be entitled by virtue of this Article XV or otherwise.

  
 Nothing in this Article XV shall apply to claims of, or
payments to, the Debenture Trustee under or pursuant to Section 6.06. 
  
 SECTION 15.08 Subordination May Not Be Impaired. 
  
 No right of any present or future holder of any Senior Indebtedness of the Corporation to enforce subordination as herein provided shall at any time in any way be prejudiced or impaired by any act or failure to act on
the part of the Corporation, as the case may be, or by any act or failure to act, in good faith, by any such holder, or by any noncompliance by the Corporation, as the case may be, with the terms, provisions and covenants of this Indenture,
regardless of any knowledge thereof that any such holder may have or otherwise be charged with. 
  
 Without in any way limiting the generality of the foregoing paragraph, the holders of Senior Indebtedness of the Corporation may, at any time and from
time to time, without the consent of or notice to the Debenture Trustee or the Securityholders, without incurring responsibility to the Securityholders and without impairing or releasing the subordination provided in this Article XV or the
obligations hereunder of the holders of the Securities to the holders of such Senior Indebtedness, do any one or more of the following: (i) change the manner, place or terms of payment or extend the time of payment of, or renew or alter, such Senior
Indebtedness, or otherwise amend or supplement in any manner such Senior Indebtedness or any instrument evidencing the same or any agreement under which such Senior Indebtedness is outstanding; (ii) sell, exchange, release or otherwise deal with any
property pledged, mortgaged or otherwise securing such Senior Indebtedness; (iii) release any Person liable in any manner for the collection of such Senior Indebtedness; and (iv) exercise or refrain from exercising any rights against the
Corporation, as the case may be, and any other Person. 
  

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 ARTICLE XVI

 EXTENSION OF INTEREST PAYMENT PERIOD 
  
 SECTION 16.01 Extension of Interest Payment Period. 
  
 So long as the Corporation is not in Default in the payment of Interest on the Securities, the Corporation shall have the
right, at any time and from time to time during the term of the Securities, to defer payments of Interest by extending the interest payment period of such Securities for a period not exceeding 20 consecutive quarterly periods, including the first
such quarterly period during such extension period (an “Extended Interest Payment Period”), during which Extended Interest Payment Period no Interest shall be due and payable; provided that no Extended Interest Payment Period shall end on
a date other than an Interest Payment Date or extend beyond the Maturity Date or, with respect to any Securities called for redemption, the Redemption Date with respect to such Securities. To the extent permitted by applicable law, Interest, the
payment of which has been deferred because of the extension of the interest payment period pursuant to this Section 16.01, will bear interest thereon at the Coupon Rate compounded quarterly for each quarterly period of the Extended Interest Payment
Period (“Compounded Interest”). At the end of the Extended Interest Payment Period, the Corporation shall pay all Interest accrued and unpaid on the Securities, including any Additional Sums, Liquidated Damages and Compounded Interest
(together, “Deferred Interest”) that shall be payable to the holders of the Securities in whose names the Securities are registered in the Security Register on the first record date preceding the end of the Extended Interest Payment
Period. Before the termination of any Extended Interest Payment Period, the Corporation may further defer payments of Interest by further extending such period, provided that such period, together with all such previous and further extensions within
such Extended Interest Payment Period, shall not exceed 20 consecutive quarterly periods, including the first such quarterly period during such Extended Interest Payment Period, end on a date other than an Interest Payment Date or extend beyond the
Maturity Date of the Securities or, with respect to any Securities called for redemption, the Redemption Date with respect to such Securities. Upon the termination of any Extended Interest Payment Period and the payment of all Deferred Interest then
due, the Corporation may commence a new Extended Interest Payment Period, subject to the foregoing requirements. No Interest shall be due and payable during an Extended Interest Payment Period, except at the end thereof, but the Corporation may
prepay at any time all or any portion of the Interest accrued during an Extended Interest Payment Period. 
  
 SECTION 16.02 Notice of Extension. 
  
 (a) If the Property Trustee is the only registered holder of the Securities at the time the Corporation selects an Extended Interest Payment Period or
extends an Extended Interest Payment Period, the Corporation shall give written notice to the Administrative Trustees, the Property Trustee and the Debenture Trustee of its selection of such Extended Interest Payment Period or its extension of an
Extended Interest Payment Period at least five Business Days before the earlier of (i) the next date on which Distributions on the Preferred Securities are payable, or (ii) the date the Property Trustee is required to give notice of the record date
or the payment date of such related Distributions for the first quarter of such Extended Interest Payment Period to any national stock exchange or other organization on which the Preferred Securities are listed or quoted, if any, or to holders of
the Preferred Securities as of the record date or the payment date. 
  

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 (b) If the Property Trustee is not the only holder of the Securities at the time the Corporation selects
an Extended Interest Payment Period or extends an Extended Interest Payment Period, the Corporation shall give the holders of the Securities and the Debenture Trustee written notice of its selection of such Extended Interest Payment Period or its
extension of an Extended Interest Payment Period at least 10 Business Days before the earlier of (i) the Interest Payment Date for the first quarter of such Extended Interest Payment Period, or (ii) the date the Corporation is required to give
notice of the record date or payment date of such related Interest payment for the first quarter of such Extended Interest Payment Period to any national stock exchange or other organization on which the Securities are listed or quoted, if any, or
to Holders of the Securities as of the record date or the payment date. 
  
 (c) The quarterly period in which any notice is given pursuant to paragraphs (a) or (b) of this Section 16.02 shall be counted as one of the 20 quarterly periods permitted in the maximum Extended Interest Payment Period permitted under
Section 16.01. 
  
 ARTICLE XVII 
 CONVERSION OF SECURITIES 
  
 SECTION 17.01 Conversion Rights. 
  
 Subject to and upon compliance with the provisions of this Article XVII, the Securities are convertible, at the option of the Securityholder, at any time
before 5:00 pm, New York, New York time, on the Business Day immediately preceding the date of repayment of such Securities, whether at stated maturity or upon redemption, into fully paid and nonassessable shares of Common Stock at an initial
conversion ratio of 1.5151 shares of Common Stock for each $50.00 in aggregate principal amount of Securities (equal to an initial conversion price of $33.00 per share of Common Stock), subject to adjustment as described in this Article XVII (the
“Conversion Ratio”). A Securityholder may convert any portion of the principal amount of the Securities into that number of fully paid and nonassessable shares of Common Stock (calculated as to each conversion to the nearest 1/100th of a
share) obtained by multiplying (x) the quotient obtained by dividing the principal amount of the Securities to be converted by $50.00 by (y) the Conversion Ratio. In case a Security or portion thereof is called for redemption, such conversion right
in respect of the Security or portion so called shall expire at 5:00 p.m., New York, New York time on the Business Day immediately preceding the corresponding redemption date, unless the Corporation defaults in making the payment due upon
redemption. 
  
 SECTION 17.02 Conversion
Procedures. 
  
 (a) To convert all or a portion of the
Securities, the Securityholder thereof shall deliver to the Conversion Agent an irrevocable Conversion Request setting forth the principal amount of Securities to be converted, together with the name or names, if other than the Securityholder, in
which the shares of Common Stock should be issued upon conversion and, if such Securities are in certificate form, surrender to the Conversion Agent the Securities to be converted, duly endorsed or assigned to the Corporation or in blank. In
addition, a holder of Preferred securities may exercise its right under the Trust Agreement to exchange such Preferred Securities for Securities which shall be converted into Common Stock by delivering to the Conversion Agent an irrevocable
Conversion Request setting forth the information called for by 

  

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the preceding sentence and directing the Conversion Agent (i) to exchange such Preferred Security for a portion of the Securities held by the Trust (at an
exchange rate of $50.00 principal amount of Securities for each Preferred Security), and (ii) to immediately convert such Securities, on behalf of such Securityholder, into Common Stock pursuant to this Article XVII and, if such Preferred Securities
are in certificate form, surrendering such Preferred Securities, duly endorsed or assigned to the Corporation or in blank. So long as any Preferred Securities are outstanding, the Trust shall not convert any Securities into shares of Common Stock
except pursuant to a Conversion Request delivered to the Conversion Agent by a holder of Preferred Securities. 
  
 Except as described in this paragraph, no distribution will be payable on Securities surrendered for conversion with respect to any Interest Payment Date
subsequent to the date of conversion and neither the Trust nor the Corporation shall make, or be required to make, any payment, allowance or adjustment for accumulated and unpaid Interest, whether or not in arrears, on Securities surrendered for
conversion. If any Securities are surrendered for conversion between the period from 5:00 p.m., New York, New York time, on any record date through and including the related Interest Payment Date, the Securities surrendered for conversion must be
accompanied by payment from the Securityholder in next day funds of an amount equal to the Interest payment which the registered holder on such record date is to receive, and such Securityholder shall be entitled to receive the Interest payable on
the subsequent Interest Payment Date on the portion of Securities to be converted, notwithstanding the conversion thereof prior to such Interest Payment Date. The previous sentence shall not apply in the case of Securities called for redemption on a
Redemption Date between a record date and a related Interest Payment Date and in the case of any Securities surrendered for conversion after such Securities have been called for redemption during an Extended Interest Payment Period as described in
the next sentence. If notice of redemption of Securities is mailed or otherwise given to Securityholders, then, if any Securityholder converts any Securities into Common Stock on any date on or after the date on which such notice of redemption is
mailed or otherwise given, and if such date of conversion falls on any day from and including the first day of an Extended Interest Payment Period and on or prior to the Interest Payment Date upon which such Extended Interest Payment Period ends,
such converting Securityholder shall be entitled to receive either (i) if the date of such conversion falls after a record date and on or prior to the next succeeding Interest Payment Date, all accrued and unpaid Interest on such Securities to such
Interest Payment Date, or (ii) if the date of such conversion does not fall on a date described in clause (i) above, all accrued and unpaid Interest on such Securities to the most recent Interest Payment Date prior to the date of such conversion
(even though no Interest was paid on such date), which Interest shall, in either such case, be paid to such converting Securityholder unless another Securityholder was the record owner of such Securities as of 5:00 p.m., New York, New York time on
the record date for which such Interest payment is made, in which case such Interest payment shall be paid to such other Securityholder. Except as otherwise set forth above in this paragraph, in the case of any Security which is converted, Interest
which is payable after the date of conversion of such Security shall not be payable, and the corporation shall not make nor be required to make any other payment, adjustment or allowance with respect to accrued but unpaid Interest on the Securities
being converted, which shall be deemed to be paid in full. If any Security called for redemption is converted, any money deposited with the Trustee or with any paying agent or so segregated and held in trust for the redemption of such Security shall

  

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(subject to any right of the Securityholder) be paid to the Corporation upon Corporation Request or, if then held by the Corporation, shall be discharged
from such trust. 
  
 Each conversion shall be deemed to have been
effected immediately prior to 5:00 p.m., New York, New York time, on the Business Day on which the Conversion Request and any other required deliveries were received (the “Conversion Date”) by the Conversion Agent from the Securityholder
or from a holder of the Preferred Securities effecting a conversion thereof pursuant to its conversion rights under the Trust Agreement, as the case may be. The person or persons entitled to receive the Common Stock issuable upon such conversion
shall be treated for all purposes as a record holder or holders of such Common Stock as of the Conversion Date. As promptly as practicable on or after the Conversion Date, the Corporation shall issue and deliver at the office of the Conversion
Agent, unless otherwise directed by the Securityholder in the Conversion Request, a certificate or certificates for the number of full shares of Common Stock issuable upon such conversion, together with the cash payment, if any, in lieu of any
fraction of any share to the Person or Persons entitled to receive the same. The Conversion Agent shall deliver such certificate or certificates to each person or persons. 
  
 (b) Subject to any right of the Securityholder, the Corporation’s delivery upon conversion of the fixed number of
shares of Common Stock into which the Securities are convertible (together with the cash payment, if any, in lieu of fractional shares) shall be deemed to satisfy the Corporation’s obligation to pay the principal amount at maturity of the
portion of Securities so converted and any unpaid Interest accrued on such Securities at the time of such conversion. 
  
 (c) No fractional shares of Common Stock shall be issued as a result of conversion, but in lieu thereof, the Corporation shall pay to the Conversion Agent
a cash adjustment in an amount equal to the same fraction of the Closing Price of such fractional interest on the date on which the Securities or Preferred Securities, as the case may be, were duly surrendered to the Conversion Agent for conversion,
or, if such day is not a Trading Day, on the next Trading Day, and the Conversion Agent in turn shall make such payment, if any, to the Securityholder or the holder of the Preferred Securities so converted. 
  
 (d) In the event of the conversion of any Security in part only, a new
Security or Securities for the unconverted portion thereof shall be issued in the name of the Securityholder thereof upon the cancellation thereof in accordance with Section 2.9. 
  
 (e) In effecting the conversion transactions described in this Section 17.02, the Conversion Agent is acting as agent of the
holders of Preferred Securities (in the exchange of Preferred Securities for Securities) and as agent of the Securityholders (in the conversion of Securities into Common Stock), as the case may be, directing it to effect such conversion
transactions. The Conversion Agent is hereby authorized (i) to exchange Preferred Securities for Securities held by the Trust from time to time in connection with the conversion of such Preferred Securities in accordance with this Article XVII, and
(ii) to convert all or a portion of the Securities into Common Stock and thereupon to deliver such shares of Common Stock in accordance with the provisions of this Article XVII and to deliver to the Trust a new Security or Securities for any
resulting unconverted principal amount. 
  

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 (f) Any certificates representing shares of Common Stock issuable upon conversion of the Securities shall
bear any legend required by Section 2.06. 
  
 (g) The Corporation
shall at all times reserve and keep available out of its authorized and unissued Common Stock, solely for issuance upon the conversion of the Securities, free from any preemptive or other similar rights, such number of shares of Common Stock as
shall from time to time be issuable upon the conversion of all the Securities then outstanding. Notwithstanding the foregoing, the Corporation shall be entitled to deliver upon conversion of Securities, shares of Common Stock reacquired and held in
the treasury of the Corporation (in lieu of the issuance of authorized and unissued shares of Common Stock), so long as any such treasury shares are free and clear of all liens, charges, security interests or encumbrances. Any shares of Common Stock
issued upon conversion of the Securities shall be duly authorized, validly issued and fully paid and nonassessable. The Debenture Trustee shall deliver the shares of Common Stock received upon conversion of the Securities to the converting
Securityholder free and clear of all liens, charges, security interests and encumbrances, except for United States withholding taxes. 
  
 SECTION 17.03 Conversion Ratio Adjustments. 
  
 The Conversion Ratio and the Conversion Ratio adjustment amount set forth in Section 17.04 shall be subject to adjustment
(without duplication) from time to time as follows: 
  
 (a) In case the Corporation shall, while any of the Securities are outstanding, (i) pay a dividend or make a distribution with respect to its Common Stock in shares of Common Stock, (ii) subdivide its outstanding shares of Common Stock,
(iii) combine its outstanding shares of Common Stock into a smaller number of shares, or (iv) issue by recapitalization or reclassification of its shares of Common Stock any shares of capital stock of the Corporation, then the Conversion Ratio in
effect immediately prior to such action shall be adjusted so that the holders of any Securities thereafter surrendered for conversion shall be entitled to receive the number of shares of capital stock of the Corporation which such Securityholder
would have owned immediately following such action had such Securities been converted immediately prior thereto. An adjustment made pursuant to this Section 17.03(a) shall become effective immediately after the record date in the case of a dividend
or other distribution and shall become effective immediately after the effective date in case of a subdivision, combination, recapitalization or reclassification (or immediately after the record date if a record date shall have been established for
such event); provided, however, that in the event that such dividend or distribution is not so paid or made, or such subdivision, combination, recapitalization or reclassification is not effected, the Conversion Ratio shall again be
adjusted to be the Conversion Ratio which would then be in effect but for such proposed transaction. If, as a result of an adjustment made pursuant to this Section 17.03(a), the holder of any Security thereafter surrendered for conversion shall
become entitled to receive shares of two or more classes or series of capital stock of the Corporation, the Board of Directors (whose determination shall be conclusive and shall be described in a Board Resolution filed with the Trustee) shall
determine the allocation of the adjusted Conversion Ratio between or among shares of such classes or series of capital stock. 
  

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 (b) In case the Corporation shall, while any of the Securities are outstanding, issue
rights or warrants to all holders of its Common Stock entitling them to subscribe for or purchase shares of Common Stock (or securities convertible into Common Stock) at a price per share less than (or having a conversion price per share less than)
the Current Market Price (as defined below) per share of Common Stock on such record date, then the Conversion Ratio for the Securities shall be adjusted so that the same shall equal the ratio determined by multiplying the Conversion Ratio in effect
immediately prior to the date of issuance of such rights or warrants by a fraction of which the numerator shall be the number of shares of Common Stock outstanding on the date of issuance of such rights or warrants plus the number of additional
shares of Common Stock offered for subscription or purchase (or into which the convertible securities so offered by such rights or warrants are convertible), and of which the denominator shall be the number of shares of Common Stock outstanding on
the date of issuance of such rights or warrants plus the number of shares which the aggregate offering price of the total number of shares so offered for subscription or purchase (or the aggregate conversion price of the convertible securities
offered by such rights or warrants) would purchase at such Current Market Price. Such adjustment shall become effective immediately after the record date for the determination of shareholders entitled to receive such rights or warrants. For the
purposes of this Section 17.03(b), the number of shares of Common Stock at any time outstanding shall not include shares held in the treasury of the Corporation. The Corporation shall not issue any rights or warrants in respect of the shares of
Common Stock held in the treasury of the Corporation. In case any rights or warrants referred to in this Section 17.03(b) in respect of which an adjustment shall have been made shall expire unexercised after the same shall have been distributed or
issued by the Corporation, the Conversion Ratio shall be readjusted at the time of such expiration to the Conversion Ratio that would have been in effect if no adjustment had been made in respect of such unexercised rights or warrants. If the
Corporation shall at any time issue two or more securities as a unit and one or more of such securities shall be rights or warrants for Common Stock subject to this Section 17.03(b), the consideration allocated to each such security shall be
determined in good faith by the Board of Directors whose determination shall be conclusive and described in an Officers’ Certificate filed with the Trustee. 
  
 (c) Subject to the last sentence of this Section 17.03(c), in case the Corporation shall, by dividend or
otherwise, distribute to all holders of its Common Stock evidences of its indebtedness, shares of any class or series of its capital stock, cash or assets (including securities and shares of the Corporation’s Subsidiaries, but excluding any
dividend or distribution referred to in Section 17.03(a), any rights or warrants referred to in Section 17.03(b), and any dividend or distribution paid exclusively in cash described in Section 17.03(d)) then the Conversion Ratio shall be increased
so that the same shall equal the ratio determined by multiplying the Conversion Ratio in effect immediately prior to the effectiveness of the Conversion Ratio increase contemplated by this Section 17.03(c) by a fraction of which the numerator shall
be the Current Market Price per share of Common Stock on the date fixed for the payment of such distribution (the “Reference Date”), and of which the denominator shall be, the Current Market Price per share of the Common Stock on the
Reference Date less the fair market value (as determined in good faith by the Board of Directors, whose determination shall be conclusive and described in a Board Resolution), on the Reference Date, of the portion of 

  

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the evidences of indebtedness, shares of capital stock, cash and assets so distributed applicable to one share of Common Stock, such increase to become
effective immediately prior to the opening of business on the day following the Reference Date. In the event that such dividend or distribution is not so paid or made, the Conversion Ratio shall again be adjusted to be the Conversion Ratio which
would then be in effect if such dividend or distribution had not occurred. If the Board of Directors determines the fair market value of any distribution for purposes of this Section 17.03(c) by reference to the actual or when issued trading market
for any securities comprising such distribution, it must in doing so consider the prices in such market over the same period used in computing the Current Market Price per share of Common Stock. In the event that the Corporation pays a dividend or
makes a distribution on shares of its Common Stock consisting of capital stock of, or similar equity interests in, a Subsidiary or other business unit, the fair market value of the securities to be distributed and the Closing Prices of Common Stock
shall in each case be based upon the average of the Closing Prices of those securities and the Common Stock, as the case may be, for the ten consecutive Trading Days commencing on and including the fifth Trading Day after the date on which
“ex-dividend trading” commences for such dividend or distribution on the principal United States securities exchange or market on which the securities are then listed or quoted. For purposes of this Section 17.03(c), any dividend or
distribution that includes shares of Common Stock or rights or warrants to subscribe for or purchase shares of Common Stock shall be deemed instead to be (1) a dividend or distribution of the evidences of indebtedness, shares of capital stock, cash
or assets other than such shares of Common Stock or such rights or warrants (making any Conversion Ratio increase required by this Section 17.03(c)) immediately followed by (2) a dividend or distribution of such shares of Common Stock or such rights
or warrants (making any further Conversion Ratio increase required by Section 17.03(a) or 17.03 (b)), except (A) the Reference Date of such dividend or distribution as defined in this Section 17.03(c) shall be substituted as (a) ”the record
date in the case of a dividend or other distribution,” and (b) ”the record date for the determination of shareholders entitled to receive such rights or warrants,” and (c) ”the date fixed for such determination” within the
meaning of Sections 17.03(a) and 17.03(b), and (B) any shares of Common Stock included in such dividend or distribution shall not be deemed outstanding for purposes of computing any adjustment of the Conversion Ratio in Section 17.03(a). 

 
 (d) In case the Corporation shall, by dividend or
otherwise, distribute to all holders of its Common Stock, cash (excluding any cash (1) that is distributed as part of a distribution referred to in Section 17.03(c), and (2) any quarterly cash dividend on Common Stock in any quarter to the extent
that such quarterly cash dividend per share of Common Stock does not exceed the greater of (A) $0.06 (the “current dividend amount”) and (B) 1.00% multiplied by the average Closing Prices per share of Common Stock for the ten consecutive
Trading Days ending on the Trading Day immediately prior to the declaration date of the dividend), then and in each such case, immediately after the close of business on such date of payment, the Conversion Ratio shall be increased so that the same
shall equal the price determined by multiplying the Conversion Ratio in effect immediately prior to the close of business on such record date by a fraction: 
  
 (i) the numerator of which shall be equal to the Current Market Price on such record date, and 
  

 73 

 (ii) the denominator of which shall be equal to the Current Market Price on the record
date less an amount equal to the quotient of the aggregate amount of the cash distributed (and not excluded as provided above) applicable to one share of Common Stock. 
  
 The current dividend amount is subject to adjustment on the same basis as the Conversion Ratio, provided
that no adjustment will be made to the current dividend amount for any adjustment made to the Conversion Ratio pursuant to this Section 17.03(d). 
  
 If an adjustment is required to be made under this Section 17.03(d) as a result of a distribution that is a quarterly dividend, the
adjustment shall be based upon the amount by which the distribution exceeds the amount of the quarterly cash dividend permitted to be excluded pursuant to this Section 17.03(d). If an adjustment is required to be made under this Section 17.03(d) as
a result of a distribution that is not a quarterly dividend, the adjustment shall be based upon the full amount of the distribution. 
  
 In the event that such dividend or distribution is not so paid or made, the Conversion Ratio shall again be adjusted to be the Conversion
Ratio which would then be in effect if such dividend or distribution had not been declared. 
  
 (e) In case the Corporation or any of its Subsidiaries pays holder of the Common Stock in respect of a tender offer or exchange offer by
the Corporation or any of its Subsidiaries for shares of Common Stock to the extent that the cash and fair market value of any other consideration included in the payment per share of Common Stock exceeds the closing price per share of Common Stock
on the Trading Day next succeeding the last date on which tenders or exchanges may be made pursuant to such tender offer or exchange offer (the “Expiration Time”), then, and in each such case, the Conversion Rate shall be adjusted so that
the same shall equal the price determined by multiplying the Conversion Rate in effect immediately prior to close of business on the date of the Expiration Time by a fraction: 
  
 (i) the numerator of which shall be the sum of (x) the fair market value (determined as aforesaid) of the
aggregate consideration payable to stockholders based on the acceptance (up to any maximum specified in the terms of the tender offer or exchange offer) of all shares validly tendered or exchanged and not withdrawn as of the Expiration Time (the
shares deemed so accepted, up to any such maximum, being referred to as the “Purchased Shares”) and (y) the product of the number of shares of Common Stock outstanding (less any Purchased Shares) at the Expiration Time and the closing
price of the Common Stock on the Trading Day next succeeding the Expiration Time, and 
  

 74 

 (ii) the denominator of which shall be the number of shares of Common Stock outstanding
(including any tendered or exchanged shares) at the Expiration Time multiplied by the closing price of the Common Stock on the Trading Day next succeeding the Expiration Time. 
  
 Such increase (if any) shall become effective immediately prior to the opening of business on the day following the
Expiration Time. In the event that the Corporation is obligated to purchase shares pursuant to any such tender offer or exchange offer, but the Corporation is permanently prevented by applicable law from effecting any such purchases or all such
purchases are rescinded, the Conversion Ratio shall again be adjusted to be the Conversion Ratio which would then be in effect if such tender offer or exchange offer had not been made. 
  
 (f) The Corporation may make such increases in the Conversion Ratio, in addition to those required by
Subsections (a) through (e), as it considers to be advisable to avoid or diminish any income tax to holders of Common Stock or rights to purchase Common Stock resulting from any dividend or distribution of stock (or rights to acquire stock) or from
any event treated as such for income tax purposes. The Corporation from time to time may increase the Conversion Ratio by any amount for any period of time if the period is at least 20 days upon notice by the Corporation of at least 15 days, the
increase is irrevocable during the period, and the Board of Directors shall have made a determination that such increase would be in the best interest of the Corporation, which determination shall be conclusive. Whenever the Conversion Ratio is
increased pursuant to the preceding sentence, the Corporation shall mail to Securityholders of record a notice of the increase at least fifteen days prior to the date the increased Conversion Ratio takes effect, and such notice shall state the
increased Conversion Ratio and the period it shall be in effect. 
  
 (g) Anything in this Section 17.03 to the contrary notwithstanding, no adjustment of the Conversion Ratio will be made upon: (a) the issuance of any shares of Common Stock pursuant to any present or future plan
providing for the reinvestment of dividends or interest payable on securities of the Corporation and the investment of additional optional amounts in shares of Common Stock under any such plan, or (b) the issuance of any shares of Common Stock or
options or rights pursuant to any present or future employee benefit plan or program, or (c) the issuance of any shares of Common Stock pursuant to any option, warrant, right or any exercisable, exchangeable or convertible security outstanding as of
the date on which the Securities are first issued, or (d) the issuance of rights under any shareholder rights plan, or (e) a change in the par value or a change to no par value of the Common Stock. To the extent the Securities become convertible
into cash, no adjustments need be made thereafter as to the cash and interest will not accrue on the cash. 
  
 (h) No adjustment in the Conversion Ratio shall be required unless such adjustment would require an increase or decrease of at least 1% in
the Conversion Ratio; provided, however, that any adjustments which by reason of this Section 17.03(h) are not required to be made shall be carried forward and taken into account in determining 

  

 75 

	 	 
whether any subsequent adjustment shall be required. The adjusted Conversion Ratio will be rounded to four decimal places. 

  
 (i) If any action would require adjustment of the Conversion
Ratio pursuant to more than one of the provisions described above, only one adjustment shall be made and such adjustment shall be the amount of adjustment that has the highest absolute value to the Securityholders. 
  
 (j) Notwithstanding the foregoing, in no event will the
Conversion Ratio exceed 2.0695 (as adjusted pursuant to Sections 17.03(a), (b) and (c) above). 
  
 SECTION 17.04 Conversion Ratio Adjustments Upon Change in Control. 
  
 If a Change in Control (as defined below) occurs prior to October 1, 2009 and 25% or more of the fair market value of the
consideration to be paid by the acquirer in the Change in Control transaction consists of cash, then the Conversion Ratio will be adjusted as set forth in the table below for conversion occurring from the period beginning on the date that the Change
in Control occurs and ending 30 Business Days after the Corporation gives notice to all record holders of Preferred Securities and Securities stating that a Change in Control has occurred. The Conversion Ratio adjustment will be determined by
reference to the table below and is based on the date on which the Change in Control becomes effective (the “Effective Date”). The following table shows what the Conversion Ratio adjustment and adjusted Conversion Ratio would be for each
hypothetical Effective Date set forth below, assuming that the initial Conversion Ratio has not been adjusted prior to the Effective Date. The Conversion Ratio adjustment amounts in the following table are also subject to same adjustments as the
Conversion Ratio set forth in Section 17.03. 
  
 Conversion
Ratio Adjustment upon a Change in Control 
  

							
	 Effective Date

	  	 (1)

 Conversion Ratio

	  	 (2)

 Adjustment

	  	(3)
Adjusted Conversion
Ratio (1) + (2)

	 October 12:
	  	 	  	 	  	 
	 2004
	  	1.5151	  	0.5544	  	2.0695
	 2005
	  	1.5151	  	0.4435	  	1.9586
	 2006
	  	1.5151	  	0.3326	  	1.8477
	 2007
	  	1.5151	  	0.2217	  	1.7368
	 2008
	  	1.5151	  	0.1108	  	1.6259
	 2009
	  	1.5151	  	0.0000	  	1.5151

  
 The actual Effective
Date may not be set forth in the table above, in which case, the Conversion Ratio adjustment will be determined by a straight-line interpolation between the Conversion Ratio adjustment set forth for the two Effective Dates on the table, based on a
365-day year. 
  

 76 

 As soon as practicable after the occurrence of a Change in Control, but in no event later than 30
Business Days after the occurrence of a Change in Control, the Corporation shall give notice to all record holders of Preferred Securities and Securities stating that the Conversion Ratio has been adjusted as set forth in Section 17.06. 

 
 (i) A “Change in Control” of the Corporation
shall be deemed to have occurred at such time after the original issuance of Securities as any of the following events shall occur: 
  
 (1) the acquisition by any person, including any syndicate or group deemed to be a “person” under Section 13(d)(3) of the
Exchange Act, of beneficial ownership, directly or indirectly, through a purchase, merger (except a merger by the Corporation described in clause (2) below) or other acquisition transaction or series of transactions, of shares of the Capital Stock
of the Corporation entitling that person to exercise 50% or more of the total voting power of all shares of such Capital Stock entitled to vote generally in elections of directors, other than any acquisition by the Corporation, any of its
Subsidiaries or any employee benefit plans of the Corporation; or 
  
 (2) any consolidation or merger of the Corporation with or into any other person, any merger of another person into the Corporation, or any conveyance, transfer, sale, lease or other disposition of all or
substantially all of the Corporation’s properties and assets to another person, other than: 
  
 (A) any transaction (1) that does not result in any reclassification, conversion, exchange or cancellation of outstanding shares of the
Capital Stock of the Corporation and (2) pursuant to which holders of the Capital Stock of the Corporation immediately prior to the transaction are entitled to exercise, directly or indirectly, 50% or more of the total voting power of all shares of
the Capital Stock of the Corporation entitled to vote generally in the election of directors of the continuing or surviving person immediately after the transaction; or 
  
 (B) any merger, share exchange, transfer of assets or similar transaction solely for the purpose of
changing the Corporation’s jurisdiction of incorporation and resulting in a reclassification, conversion or exchange of outstanding shares of Common Stock solely into shares of common stock of the surviving entity. 
  
 Beneficial ownership shall be determined in accordance with Rule 13d-3
promulgated by the SEC under the Exchange Act. 
  

 77 

 SECTION 17.05 Share Exchange, Consolidation, Merger or Sale of Assets.

  
 If any of following events occur, namely: 
  
 (1) any reclassification or change of the outstanding Common
Stock (other than a change in par value, or from par value to no par value, or from no par value to par value, or as a result of a subdivision or combination), 
  

(2) any merger, consolidation, statutory share exchange or combination of the Corporation with another corporation, or 
  
 (3) any sale or conveyance of all, or substantially all, the
properties and assets of the Corporation to any other Person, 
  
 in each case, as
a result of which holders of Common Stock shall be entitled to receive stock, securities or other property or assets (including cash or any combination thereof) with respect to or in exchange for such Common Stock, the Corporation or the successor
or purchasing corporation, as the case may be, shall execute with the Trustee a supplemental indenture (which shall comply with the Trust Indenture Act as in force at the date of execution of such supplemental indenture if such supplemental
indenture is then required to so comply) providing that such Security shall be convertible into the kind and amount of shares of stock and other securities or property or assets (including cash or any combination thereof) which such Holder would
have been entitled to receive upon such reclassification, change, merger, consolidation, statutory share exchange, combination, sale or conveyance had such Securities been converted into Common Stock immediately prior to such reclassification,
change, merger, consolidation, statutory share exchange, combination, sale or conveyance assuming such holder of Common Stock did not exercise its rights of election, if any, as to the kind or amount of securities, cash or other property receivable
upon such reclassification, change, merger, consolidation, statutory share exchange, combination, sale or conveyance (provided that, if the kind or amount of securities, cash or other property receivable upon such reclassification, change, merger,
consolidation, statutory share exchange, combination, sale or conveyance is not the same for each share of Common Stock in respect of which such rights of election shall not have been exercised (“Non-Electing Share”), then for the purposes
of this Section 17.05 the kind and amount of securities, cash or other property receivable upon such reclassification, change, merger, consolidation, statutory share exchange, combination, sale or conveyance for each Non-Electing Share shall be
deemed to be the kind and amount so receivable per share by a plurality of the Non-Electing Shares). Such supplemental indenture shall provide for adjustments which shall be as nearly equivalent as may be practicable to the adjustments provided for
in this Article XVII. If, in the case of any such reclassification, change, merger, consolidation, statutory share exchange, combination, sale or conveyance, the stock or other securities and assets receivable thereupon by a holder of shares of
Common Stock includes shares of stock or other securities and assets of a corporation other than the successor or purchasing corporation, as the case may be, in such reclassification, change, merger, consolidation, statutory share exchange,
combination, sale or conveyance, then such supplemental indenture shall also be executed by such other corporation and shall contain such additional provisions to protect the interests of the Holders of the Securities as the Board of Directors shall
reasonable consider necessary by reason of the foregoing. 
  
 The
Corporation shall cause notice of the execution of such supplemental indenture to be mailed to each holder, at the address of such holder as it appears on the security Register, within 

  

 78 

 
20 days after execution thereof. Failure to deliver such notice shall not affect the legality or validity of such supplemental indenture. 
  
 The above provisions of this Section 17.05 shall similarly apply to
successive reclassifications, mergers, consolidations, statutory share exchanges, combinations, sales and conveyances. 
  
 If this Section 17.05 applies to any event or occurrence, Section 17.03 shall not apply to such event or occurrence. 
  
 SECTION 17.06 Notice of Adjustments of Conversion
Ratio. 
  
 Whenever the Conversion Ratio is adjusted as
herein provided: 
  
 (a) The Corporation shall
compute the adjusted Conversion Ratio and shall prepare an Officers’ Certificate setting forth the adjusted Conversion Ratio and showing in reasonable detail the facts upon which such adjustment is based, and such certificate shall forthwith be
filed with the Trustee, the Conversion Agent and the transfer agent for the Preferred Securities and the Securities; and 
  
 (b) A notice stating that the Conversion Ratio has been adjusted and setting forth the adjusted Conversion Ratio shall as soon as
practicable be mailed by the Corporation to all record holders of Preferred Securities and the Securities at their last addresses as they appear upon the stock transfer books of the Corporation and the Trust and the Corporation shall issue a press
release and publish such determination on the Corporation’s website. 
  
 SECTION 17.07 Prior Notice of Certain Events. 
  
 In case: 
  
 (a)
the Corporation shall (i) declare any dividend (or any other distribution) on its Common Stock, other than (A) a dividend payable in shares of Common Stock, or (B) a dividend payable in cash that would not require an adjustment pursuant to Section
17.3(c) or (d), or (ii) authorize a tender offer that would require an adjustment pursuant to Section 17.3(e); 
  
 (b) the Corporation shall authorize the granting to all holders of Common Stock of rights or warrants to subscribe for or purchase any
shares of stock of any class or series or of any other rights or warrants; 
  
 (c) of any reclassification of Common Stock (other than a subdivision or combination of the outstanding Common Stock, or a change in par value, or from par value to no par value, or from no par value to par value), or
of any consolidation or merger to which the Corporation is a party and for which approval of any shareholders of the Corporation shall be required, or the sale or transfer of all or substantially all of the assets of the Corporation or of any
compulsory share exchange whereby the Common Stock is converted into other securities, cash or other property; or 
  

 79 

 (d) of the voluntary or involuntary dissolution, liquidation or winding up of the
Corporation; 
  
 then the Corporation shall (1) if any Preferred Securities are
outstanding, cause to be filed with the Property Trustee and the transfer agent for the Preferred Securities, and shall cause to be mailed to the holders of record of the Preferred Securities, at their last addresses as they shall appear upon the
securities register of the Trust, or (2) shall cause to be mailed to all Securityholders at their last addresses as they shall appear in the Security Register, at least fifteen days prior to the applicable record or effective date hereinafter
specified, a notice stating (x) the date on which a record (if any) is to be taken for the purpose of such dividend, distribution, rights or warrants or, if a record is not to be taken, the date as of which the holders of Common Stock of record to
be entitled to such dividend, distribution, rights or warrants are to be determined, or (y) the date on which such reclassification, consolidation, merger, sale, transfer, share exchange, dissolution, liquidation or winding up is expected to become
effective, and the date as of which it is expected that holders of Common Stock of record shall be entitled to exchange their shares of Common Stock for securities, cash or other property deliverable upon such reclassification, consolidation,
merger, sale, transfer, share exchange, dissolution, liquidation or winding up (but no failure to mail such notice or any defect therein or in the mailing thereof shall affect the validity of the corporate action required to be specified in such
notice). 
  
 SECTION 17.08 Debenture Trustee
Not Responsible for Determining Conversion Ratio or Adjustments. 
  
 Neither the Debenture Trustee nor any Conversion Agent shall at any time be under any duty or responsibility to any Securityholder to determine whether any facts exist which may require any adjustment of the Conversion Ratio, or with
respect to the nature or extent of any such adjustment when made, or with respect to the method employed, or herein or in any supplemental indenture provided to be employed, in making the same. Neither the Debenture Trustee nor any Conversion Agent
shall be accountable with respect to the validity or value (or the kind of account) of any shares of Common Stock or of any securities or property, which may at any time be issued or delivered upon the conversion of any Security; and neither the
Debenture Trustee nor any Conversion Agent makes any representation with respect thereto. Neither the Debenture Trustee nor any Conversion Agent shall be responsible for any failure of the Corporation to make any cash payment or to issue, transfer
or deliver any shares of Common Stock or stock certificates or other securities or property upon the surrender of any Security for the purpose of conversion, or, except as expressly herein provided, to comply with any of the covenants of the
Corporation contained in Article III or this Article XVII. 
  
 [balance of page intentionally blank] 
  

 80 

 SunTrust Bank hereby accepts the trusts in this indenture declared and provided, upon the terms and
conditions hereinabove set forth. 
  
 IN WITNESS WHEREOF, the
parties hereto have caused this Indenture to be duly executed by their respective officers thereunto duly authorized, as of the day and year first above written. 
  

			
	Boston Private Financial Holdings, Inc.
		
	 By
	 	 /s/ Walter M. Pressey

	 	 	 Name: Walter M. Pressey

	 	 	 Title: President and Chief Financial Officer

	
	SunTrust Bank,
as Debenture Trustee
		
	 By
	 	 /s/ George Hogan

	 	 	 Name: George Hogan

	 	 	 Title: Vice President

  

 81 

  
 EXHIBIT A 

 
 (FORM OF FACE OF SECURITY) 
  
 [Include the following legend on all Securities, including Global Securities, unless
otherwise determined by the Corporation in accordance with applicable law.] 
  
 THIS SECURITY AND THE UNDERLYING SHARES OF BOSTON PRIVATE FINANCIAL HOLDINGS, INC. COMMON STOCK HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR ANY STATE
SECURITIES LAWS. NEITHER THIS SECURITY, THE SHARES OF UNDERLYING BOSTON PRIVATE FINANCIAL HOLDINGS, INC. COMMON STOCK ISSUABLE UPON CONVERSION OF THIS SECURITY NOR ANY INTEREST OR PARTICIPATION HEREIN OR THEREIN MAY BE REOFFERED, SOLD, ASSIGNED,
TRANSFERRED, PLEDGED, ENCUMBERED OR OTHERWISE DISPOSED OF IN THE ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH TRANSACTION IS EXEMPT FROM, OR NOT SUBJECT TO, REGISTRATION. 
  
 THE HOLDER OF THIS SECURITY, BY ITS ACCEPTANCE HEREOF, AGREES TO OFFER, SELL OR OTHERWISE TRANSFER SUCH SECURITY, PRIOR TO
THE DATE (THE “RESALE RESTRICTION TERMINATION DATE”), WHICH IS TWO YEARS AFTER THE LATER OF THE ORIGINAL ISSUE DATE HEREOF AND THE LAST DATE ON WHICH BOSTON PRIVATE FINANCIAL HOLDINGS, INC. OR ANY AFFILIATE OF BOSTON PRIVATE FINANCIAL
HOLDINGS, INC. WAS THE OWNER OF THIS SECURITY (OR ANY PREDECESSOR OF SUCH SECURITY) ONLY (A) TO BOSTON PRIVATE FINANCIAL HOLDINGS, INC. OR ANY SUBSIDIARY THEREOF, (B) FOR SO LONG AS THE SECURITIES ARE ELIGIBLE FOR RESALE PURSUANT TO RULE 144A, TO A
PERSON IT REASONABLY BELIEVES IS A “QUALIFIED INSTITUTIONAL BUYER” AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT THAT PURCHASES FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL BUYER TO WHICH NOTICE IS GIVEN THAT THE
TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A, (C) PURSUANT TO A REGISTRATION STATEMENT WHICH HAS BEEN DECLARED EFFECTIVE UNDER THE SECURITIES ACT, OR (D) PURSUANT TO ANOTHER AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES
ACT, SUBJECT TO BOSTON PRIVATE FINANCIAL HOLDINGS INC.’S, AND THE TRUSTEE’S RIGHT PRIOR TO ANY SUCH OFFER, SALE OR TRANSFER PURSUANT TO CLAUSE (D) TO REQUIRE THE DELIVERY OF AN OPINION OF COUNSEL, CERTIFICATION AND/OR OTHER INFORMATION
SATISFACTORY TO EACH OF THEM, AND IN EACH OF THE FOREGOING CASES, A CERTIFICATE OF TRANSFER IN THE FORM APPEARING ON THE OTHER SIDE OF THIS SECURITY IS COMPLETED AND DELIVERED BY THE TRANSFEROR TO THE TRUSTEE. THIS LEGEND WILL BE REMOVED UPON THE
REQUEST OF THE HOLDER UPON THE EARLIER OF THE TRANSFER OF THE SECURITIES EVIDENCED HEREBY PURSUANT TO CLAUSE (C) ABOVE AND THE RESALE RESTRICTION TERMINATION DATE. THE HOLDER OF THIS SECURITY, BY ITS ACCEPTANCE HEREOF, AGREES THAT IT WILL DELIVER TO
EACH PERSON TO WHOM THE SECURITY EVIDENCED HEREBY IS TRANSFERRED (OTHER THAN A 

  

 A-1 

 
TRANSFER PURSUANT TO CLAUSE (C) ABOVE) A NOTICE SUBSTANTIALLY TO THE EFFECT OF THIS LEGEND. 
  
 BY ITS ACQUISITION OF THIS CERTIFICATE THE HOLDER REPRESENTS THAT EITHER (I) IT IS NOT AN EMPLOYEE BENEFIT PLAN OR OTHER
SIMILAR RETIREMENT PLAN OR ARRANGEMENT, WHETHER OR NOT SUBJECT TO THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED (“ERISA”), OR SECTION 4975 OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE “CODE”) (OR ANY
SIMILAR LAWS OR REGULATIONS), OR AN ENTITY WHOSE UNDERLYING ASSETS ARE CONSIDERED TO INCLUDE THE ASSETS OF ANY SUCH PLANS AND ARRANGEMENTS (EACH, A “PLAN”) AND NO PART OF THE ASSETS TO BE USED BY THE HOLDER TO ACQUIRE AND/OR HOLD THIS
CERTIFICATE OR ANY INTEREST THEREIN CONSTITUTES PLAN ASSETS OF ANY PLAN OR (II) THE ACQUISITION AND HOLDING OF THIS CERTIFICATE WILL NOT CONSTITUTE A NON-EXEMPT PROHIBITED TRANSACTION UNDER TITLE I OF ERISA OR SECTION 4975 OF THE CODE OR A VIOLATION
UNDER ANY OTHER APPLICABLE LAWS AND REGULATIONS THAT ARE SIMILAR TO THE PROVISIONS OF TITLE I OF ERISA OR SECTION 4975 OF THE CODE. 
  
 Principal Amount:
$                         
  
 No. 1     CUSIP No.:  101119 AA 3 
  
 Boston Private Financial Holdings, Inc. 
  
 4.875% JUNIOR SUBORDINATED CONVERTIBLE DEBENTURE 
 DUE OCTOBER 1, 2034 
  
 Boston Private Financial
Holdings, Inc., a Massachusetts corporation (the “Corporation”, which term includes any successor Person under the Indenture hereinafter referred to), for value received, hereby promises to pay to SunTrust Bank as Property Trustee for
Boston Private Capital Trust I or registered assigns, the principal sum of
                                     Dollars
($            ) on October 1, 2034 (the “Maturity Date”), unless previously redeemed, and to pay interest on the outstanding principal amount hereof from October 12, 2004, or
from the most recent interest payment date (each such date, an “Interest Payment Date”) to which interest has been paid or duly provided for, quarterly (subject to deferral as set forth herein) in arrears on January 1, April 1, July 1, and
October 1 of each year, commencing January 1, 2005, at the rate of 4.875% per annum until the principal hereof shall have become due and payable, and on any overdue principal and (without duplication and to the extent that payment of such interest
is enforceable under applicable law) on any overdue installment of Interest at the same rate per annum compounded quarterly, including any Liquidated Damages (as defined in the Registration Rights Agreement) and any Additional Sums. The amount of
Interest payable on any Interest Payment Date shall be computed on the basis of a 360-day year of twelve 30-day months and, for any period shorter that a full quarterly period will be computed on the basis of a 30-day month, and for any period less
than a full calendar month, the number of days elapsed in such month. In the 

  

 A-2 

 
event that any date on which the principal of or Interest on this Security is payable is not a Business Day, then the payment payable on such date will be
made on the next succeeding day that is a Business Day (and without any Interest or other payment in respect of any such delay), except that if such next succeeding Business Day falls in the next calendar year, then such payment shall be made on the
immediately preceding Business Day, in each case with the same force and effect as if made on such date. Pursuant to the Indenture, in certain circumstances the Corporation will be required to pay Additional Sums, Liquidated Damages and Compounded
Interest (each as defined in the Indenture) with respect to this Security. 
  
 The Interest installment so payable, and punctually paid or duly provided for, on any Interest Payment Date will, as provided in the Indenture, be paid to the Person in whose name this Security (or one or more
Predecessor Securities, as defined in said Indenture) is registered at the close of business on the regular record date for such interest installment, which shall be as of 5:00 p.m., New York City time, on the fifteenth day of the month, whether or
not a Business Day, in the month prior to which the relevant Interest Payment Date occurs (or would have occurred but for fact that the Interest Payment Date was not a Business Day). Any such Interest installment not punctually paid or duly provided
for shall forthwith cease to be payable to the Holders on such regular record date and shall 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 to
be fixed by the Debenture Trustee for the payment of such defaulted Interest, notice whereof shall be given to the holders of Securities not less than 10 days prior to such special record date, or may be paid at any time in any other lawful manner
not inconsistent with the requirements of any securities exchange on which the Securities may be listed, and upon such notice as may be required by such exchange, all as more fully provided in the Indenture. 
  
 The principal of and Interest on this Security shall be payable at the office
or agency of the Debenture Trustee maintained for that purpose in any coin or currency of the United States of America that at the time of payment is legal tender for payment of public and private debts; provided, however, that,
payment of Interest may be made at the option of the Corporation by (i) check mailed to the holder at such address as shall appear in the Security Register or (ii) by transfer to an account maintained by the Person entitled thereto, provided that
proper written transfer instructions have been received by the relevant record date. Notwithstanding the foregoing, so long as the Holder of this Security is the Property Trustee, the payment of the principal of and Interest on this Security will be
made at such place and to such account as may be designated by the Property Trustee. 
  
 The indebtedness evidenced by this Security is, to the extent provided in the Indenture, subordinate and junior in right of payment to the prior payment in full of all Senior Indebtedness, and this Security is issued
subject to the provisions of the Indenture with respect thereto. Each holder of this Security, by accepting the same, (a) agrees to and shall be bound by such provisions, (b) authorizes and directs the Debenture Trustee on his or her behalf to take
such action as may be necessary or appropriate to acknowledge or effectuate the subordination so provided and (c) appoints the Debenture Trustee his or her attorney-in-fact for any and all such purposes. Each holder hereof, by his or her acceptance
hereof, hereby waives all notice of the acceptance of the subordination provisions contained herein and in the Indenture by each holder of Senior Indebtedness, whether now outstanding or hereafter incurred, and waives reliance by each such holder
upon said provisions. 
  

 A-3 

 This Security shall not be entitled to any benefit under the Indenture hereinafter referred to, be valid
or become obligatory for any purpose until the certificate of authentication hereon shall have been signed by or on behalf of the Debenture Trustee. 
  
 This Security is one of the Securities of the Corporation (herein sometimes referred to as the “Securities”), specified in the Indenture, all
issued or to be issued under and pursuant to an indenture, dated as of October 12, 2004 (the “Indenture”), duly executed and delivered between the Corporation and SunTrust Bank as Debenture Trustee (the “Debenture Trustee”), to
which Indenture reference is hereby made for a description of the rights, limitations of rights, obligations, duties and immunities thereunder of the Debenture Trustee, the Corporation and the holders of the Securities. Capitalized terms used but
not defined herein shall have the meanings given to them in the Indenture. 
  
 The provisions of this Security are continued on the reverse side hereof and such provisions shall for all purposes have the same effect as though fully set forth at this place. 
  
 IN WITNESS WHEREOF, the Corporation has caused this instrument to be duly
executed and sealed this     th day
of                 , 2004. 
  

			
	BOSTON PRIVATE FINANCIAL HOLDINGS, INC.
		
	 By:
	 	 
	 	 	 Name:

	 	 	 Title:

  
 CERTIFICATE OF AUTHENTICATION

  

			
	This is one of the Securities referred to in the
within-mentioned Indenture.
	
	SunTrust Bank,
not in its individual capacity but solely as
Debenture Trustee
		
	 By
	 	 
	 Authorized Signatory

  

 A-4 

  
 (FORM OF REVERSE OF SECURITY)

  
 This Security is one of the Securities of the Corporation
(herein sometimes referred to as the “Securities”), specified in the Indenture, all issued or to be issued under and pursuant to an Indenture, dated as of October 12, 2004 (the “Indenture”), duly executed and delivered between
the Corporation and SunTrust Bank as Debenture Trustee (the “Debenture Trustee”), to which Indenture reference is hereby made for a description of the rights, limitations of rights, obligations, duties and immunities thereunder of the
Debenture Trustee, the Corporation and the holders of the Securities. Capitalized terms used but not defined herein shall have the meanings given to them in the Indenture. 
  
 1. Redemption. Upon the occurrence and continuation of a Special Event, the Corporation shall have the right, at any
time following the occurrence of such Special Event, to redeem this Security in whole (but not in part) at the Redemption Price. 
  
 In addition, the Corporation shall have the right to redeem this Security, in whole at any time or, in part from time to time on or after October 1, 2009
if the Closing Price of the Corporation’s Common Stock for 20 Trading Days in a period of 30 consecutive Trading Days ending on the Trading Day prior to the mailing of the notice of redemption exceeds 130% of the then prevailing Conversion
Price. 
  
 The Redemption Price shall be paid prior to 12:00 noon,
New York, New York time, on the date of such redemption or at such earlier time as the Corporation determines, provided, that the Corporation shall deposit with the Debenture Trustee an amount sufficient to pay the Redemption Price by 10:00 a.m. New
York, New York time on the date such Redemption Price is to be paid. Any redemption pursuant to this paragraph will be made upon not less than 20 days nor more than 60 days notice. If the Securities are only partially redeemed by the Corporation
pursuant to an optional redemption described in the preceding paragraph, the particular Securities to be redeemed shall be selected on a pro rata basis not more than 60 days prior to the date fixed for redemption from the outstanding Securities not
previously called for redemption, provided, however, that with respect to Securityholders that would be required to hold Securities with an aggregate principal amount of less than $5,000 but more than an aggregate principal amount of
zero as a result of such pro rata redemption, the Corporation shall redeem Securities of each such Securityholder so that after such redemption such Securityholder shall hold Securities either with an aggregate principal amount of at least $5,000 or
such Securityholder no longer holds any Securities and shall use such method (including, without limitation, by lot) as the Corporation shall deem fair and appropriate, provided, further, that any such proration may be made on the basis of the
aggregate principal amount of Securities held by each Securityholder thereof and may be made by making such adjustments as the Corporation deems fair and appropriate in order that only Securities in denominations of $50.00 or integral multiples
thereof shall be redeemed. 
  
 In the event of redemption of this
Security in part only, a new Security or Securities for the portion hereof that has not been redeemed will be issued in the name of the holder hereof upon the cancellation hereof. 
  

 A-5 

 Notwithstanding the foregoing, any redemption of Securities by the Corporation shall be subject to the
Corporation obtaining the prior approval of the Corporation’s primary federal regulator, if required by applicable law or regulation, and the receipt of any other required regulatory approvals. 
  
 2. Conversion. (a) Subject to and upon compliance with the provisions
of Article XVII of the Indenture, the Securities are convertible, at the option of the Securityholder, at any time before 5:00 p.m., New York, New York time, on the Business Day immediately preceding the date of repayment of such Securities, whether
at stated maturity or upon redemption, into fully paid and nonassessable shares of Common Stock at an initial conversion ratio of 1.5151 shares of Common Stock for each $50.00 in aggregate principal amount of Securities (equal to an initial
conversion price of $33.00 per share of Common Stock), subject to adjustment as described in the Indenture. A Securityholder may convert any portion of the principal amount of the Securities into that number of fully paid and nonassessable shares of
Common Stock (calculated as to each conversion to the nearest 1/100th of a share) obtained by multiplying (x) the quotient obtained by dividing the principal amount of the Securities to be converted by $50.00 by (y) the Conversion Ratio. In case a
Security or portion thereof is called for redemption, such conversion right in respect of the Security or portion so called shall expire at 5:00 p.m., New York, New York time on the Business Day immediately preceding the corresponding redemption
date, unless the Corporation defaults in making the payment due upon redemption. 
  
 (b) To convert all or a portion of the Securities, the Securityholder thereof shall deliver to the Conversion Agent an irrevocable Conversion Request setting forth the principal amount of Securities to be converted,
together with the name or names, if other than the Securityholder, in which the shares of Common Stock should be issued upon conversion and, if such Securities are in certificate form, surrender to the Conversion Agent the Securities to be
converted, duly endorsed or assigned to the Corporation or in blank. In addition, a holder of Preferred Securities may exercise its right under the Trust Agreement to exchange such Preferred Securities for Securities which shall be converted into
Common Stock by delivering to the Conversion Agent an irrevocable Conversion Request setting forth the information called for by the preceding sentence and directing the Conversion Agent (i) to exchange such Preferred Security for a portion of the
Securities held by the Trust (at an exchange rate of $50.00 principal amount of Securities for each Preferred Security), and (ii) to immediately convert such Securities, on behalf of such Securityholder, into Common Stock pursuant to Article XVII of
the Indenture and, if such Preferred Securities are in certificate form, surrendering such Preferred Securities, duly endorsed or assigned to the Corporation or in blank. 
  
 (c) Except as described in this paragraph, no distribution will be payable on Securities surrendered for conversion with
respect to any Interest Payment Date subsequent to the date of conversion and neither the Trust nor the Corporation shall make, or be required to make, any payment, allowance or adjustment for accumulated and unpaid Interest, whether or not in
arrears, on Securities surrendered for conversion. If any Securities are surrendered for conversion between the period from 5:00 p.m., New York, New York time, on any record date through and including the related Interest Payment Date, the
Securities surrendered for conversion must be accompanied by payment in next day funds of an amount equal to the Interest payment which the registered holder on such record date is to receive, and such 

  

 A-6 

 
Securityholder shall be entitled to receive the Interest payable on the subsequent Interest Payment Date on the portion of Securities to be converted,
notwithstanding the conversion thereof prior to such Interest Payment Date. The previous sentence shall not apply in the case of Securities called for redemption on a redemption date between a record date and a related Interest Payment Date and in
the case of any Securities surrendered for conversion after such Securities have been called for redemption during an Extended Interest Payment Period, in which event Interest with respect to such Securities shall be payable to the extent provided
in the Indenture. Except as otherwise set forth above in this paragraph, in the case of any Security which is converted, Interest which is payable after the date of conversion of such Security shall not be payable, and the Corporation shall not make
nor be required to make any other payment, adjustment or allowance with respect to accrued but unpaid Interest on the Securities being converted, which shall be deemed to be paid in full. 
  
 (d) No fractional shares of Common Stock shall be issued as a result of conversion, but in lieu thereof, the Corporation
shall pay to the Conversion Agent a cash adjustment in an amount equal to the same fraction of the Closing Price of such fractional interest on the date on which the Securities or Preferred Securities, as the case may be, were duly surrendered to
the Conversion Agent for conversion, or, if such day is not a Trading Day, on the next Trading Day, and the Conversion Agent in turn shall make such payment, if any, to the Securityholder or the holder of the Preferred Securities so converted.

  
 3. Acceleration. In case an Event of Default, as
defined in the Indenture, shall have occurred and be continuing, the principal of all of the Securities may be declared, and upon such declaration shall become, due and payable, in the manner, with the effect and subject to the conditions provided
in the Indenture. 
  
 4. Modification and Waiver. The
Indenture contains provisions permitting the Corporation and the Debenture Trustee, with the consent of the holders of a majority in aggregate principal amount of the Securities at the time outstanding, as defined in the Indenture, to execute
supplemental indentures for the purpose of adding any provisions to or changing in any manner or eliminating any of the provisions of the Indenture or of modifying in any manner the rights of the holders of the Securities; provided,
however, that no such supplemental indenture shall, without the consent of each holder of Securities then outstanding and affected thereby, thereby (i) change the Maturity Date of any Security, or reduce the principal amount of, or any
installment of principal of or Interest on the Securities; (ii) reduce the rate or extend the time of payment of Interest; (iii) change any of the provisions of Article XIV of the Indenture relating to redemption; (iv) make the principal of, or
Interest payment on, the Securities payable in any coin or currency other than that provided in the Indenture; (v) change any obligation of the Corporation to maintain an office or agency in the places and for the purposes required by the Indenture
or change the place of payment where the Securities or any premium or Interest payment thereon is payable; (vi) impair or affect the right of any holder of Securities to institute suit for the payment of the Securities as provided in the Indenture;
(vii) reduce the percentage of the principal amount of the Securities required to consent to modify or amend the Indenture or for any waiver of compliance with provisions of the Indenture as stated in the Indenture or for waiver of Defaults as
stated in the Indenture; (viii) make any change adverse to a Holder with respect to the subordination provisions of Article XV of the Indenture; or (ix) modify any of the foregoing provisions; provided, however, that if the Securities are
held by the Trust, no such 

  

 A-7 

 
modification or amendment referred to in clauses (i) through (ix) shall be effective until the holders of not less than a majority of the aggregate
liquidation amount of the Trust Securities shall have consented to such modification or amendment; and provided further, that where a consent under the Indenture would require the consent of the Securityholders of more than a majority of the
principal amount of the Securities, such modification or amendment shall not be effective until the holders of at least the same proportion in aggregate stated liquidation amount of the Trust Securities shall have consented to such modification or
amendment. The Indenture also contains provisions permitting the holders of a majority in aggregate principal amount of the Securities at the time outstanding, on behalf of all of the holders of the Securities, prior to any declaration accelerating
the maturity of the Securities, to waive any past Default or Event of Default and its consequences, except a Default in the payment of the principal of or premium, if any, or Interest on any of the Securities or a Default in respect of any covenant
or provision under which the Indenture cannot be modified or amended without the consent of each holder of Securities then outstanding. Any such consent or waiver by the holder of this Security (unless revoked as provided in the Indenture) shall be
conclusive and binding upon such Holder and upon all future holders and owners of this Security and of any Security issued in exchange herefor or in place hereof (whether by registration of transfer or otherwise), irrespective of whether or not any
notation of such consent or waiver is made upon this Security. 
  
 5. No Impairment. No reference herein to the Indenture and no provision of this Security or of the Indenture shall alter or impair the obligation of the Corporation, which is absolute and unconditional, to pay the principal of and
Interest on this Security at the time and place and at the rate and in the money herein prescribed. 
  
 6. Extension of Interest Payment Period. So long as the Corporation is not in Default in the payment of Interest on the Securities, the Corporation
shall have the right, at any time and from time to time during the term of the Securities, to defer payments of Interest by extending the interest payment period of such Securities for a period not exceeding 20 consecutive quarterly periods,
including the first such quarterly period during such extension period (an “Extended Interest Payment Period”), during which Extended Interest Payment Period no Interest shall be due and payable; provided that no Extended Interest Payment
Period shall end on a date other than an Interest Payment Date or extend beyond the Maturity Date or, with respect to any Securities called for redemption, the Redemption Date with respect to such Securities. At the end of any Extended Interest
Payment Period, the Corporation shall pay all Interest then accrued and unpaid (together with interest thereon at the rate specified for the Securities to the extent that payment of such interest is enforceable under applicable law). Before the
termination of any such Extended Interest Payment Period, the Corporation may further defer payments of Interest by further extending such Extended Interest Payment Period, provided that such Extended Interest Payment Period, together with all such
previous and further extensions within such Extended Interest Payment Period, (i) shall not exceed 20 consecutive quarterly periods, including the first quarterly period during such Extended Interest Payment Period, (ii) shall not end on any date
other than an Interest Payment Date, and (iii) shall not extend beyond the Maturity Date of the Securities or, with respect to any Securities called for redemption, the Redemption Date with respect to such Securities. Upon the termination of any
such Extended Interest Payment Period and the payment of all accrued and unpaid Interest and any additional amounts then due, the Corporation may commence a new Extended Interest Payment Period, subject to the foregoing requirements. 
  

 A-8 

 7. Limitation on Dividends. The Corporation will not (i) declare or pay any dividends or
distributions on, or redeem, purchase, acquire, or make a liquidation payment with respect to, any of the Corporation’s capital stock, (ii) make any payment of principal, interest or premium, if any, on or repay, repurchase or redeem any debt
securities of the Corporation (including Other Debentures) that rank pari passu with or junior in right of payment to the Securities or (iii) make any guarantee payments with respect to any guarantee by the Corporation of the debt securities
of any Subsidiary of the Corporation (including other Guarantees) if such guarantee ranks pari passu with or junior in right of payment to the Securities (other than (a) dividends or distributions in shares of, or options, warrants or rights
to subscribe for or purchase shares of, Common Stock, (b) any declaration of a dividend in connection with the implementation of a shareholder’s rights plan, or the issuance of stock under any such plan in the future, or the redemption or
repurchase of any such rights pursuant thereto, (c) payments under the Trust Securities Guarantee, (d) a reclassification of the Corporation’s capital stock or the exchange or conversion of one class or series of the Corporation’s capital
stock for another class or series of the Corporation’s capital stock, (e) the purchase of fractional shares resulting from a reclassification of the Corporation’s capital stock, (f) the purchase of fractional interests in shares of the
Corporation’s capital stock pursuant to the conversion or exchange provisions of such capital stock or the security being converted or exchanged and (g) purchases of Common Stock related to the issuance of Common Stock or rights under any of
the Corporation’s benefit plans for its directors, officers or employees or any of the Corporation’s dividend reinvestment plans), if at such time (1) an event has occurred with the giving of notice or the lapse of time, or both, would
constitute an Event of Default and the Corporation has not taken reasonable steps to cure the event, (2) the Corporation shall be in default with respect to its payment obligations under the Trust Securities Guarantee or (3) the Corporation shall
have given notice of its election of the exercise of its right to extend the interest payment period pursuant to Section 16.01 of the Indenture and any such extension shall be continuing. 
  
 8. Liquidation of Trust. Subject to the receipt of any required regulatory approval, the Corporation will have the
right at any time to liquidate the Trust and cause the Securities to be distributed to the holders of the Trust Securities in liquidation of the Trust. 
  
 9. Denominations, Transfer and Exchange. The Securities are issuable only in registered form without coupons in minimum denominations of $50.00 and
any integral multiple thereof. As provided in the Indenture and subject to the transfer restrictions limitations as may be contained herein and therein from time to time, this Security is transferable by the holder hereof on the Security Register of
the Corporation, upon surrender of this Security for registration of transfer at the office or agency of the Corporation accompanied by a written instrument or instruments of transfer in form satisfactory to the Corporation or the Debenture Trustee
duly executed by the holder hereof or his attorney duly authorized in writing, and thereupon one or more new Securities of authorized denominations and for the same aggregate principal amount and series will be issued to the designated transferee or
transferees. No service charge will be made for any such registration of transfer, but the Corporation may require payment of a sum sufficient to cover any tax or other governmental charge payable in relation thereto. 
  

 A-9 

 [Global Note Insert: 
  
 The aggregate principal amount of the Securities in global form (the term global form shall also refer to the aggregate
principal amount of the securities held by the Property Trustee on behalf of the Trust) represented hereby may from time to time be reduced to reflect conversions or redemptions of a part of this Security in global form or cancellations of a part of
this Security in global form, in each case, and in any such case, by means of notations on the Global Security Transfer Schedule on the last page hereof. Notwithstanding any provision of this Security to the contrary, conversions or redemptions of a
part of this Security in global form and cancellations of a part of this Security in global form, may be effected without the surrendering of this Security in global form, provided that appropriate notations on the Schedule of Exchanges,
Conversions, Redemptions, Cancellations and Transfers are made by the Trustee, or the Depositary (or the Property Trustee) at the direction of the Trustee, to reflect the appropriate reduction or increase, as the case may be, in the aggregate
principal amount of this Security in a global form resulting therefrom or as a consequence thereof.] 
  
 10. Persons Deemed Owners. Prior to due presentment for registration of transfer of this Security, the Corporation, the Debenture Trustee, any
authenticating agent, any paying agent, any transfer agent and the registrar may deem and treat the holder hereof as the absolute owner hereof (whether or not this Security shall be overdue and notwithstanding any notice of ownership or writing
hereon made by anyone other than the security registrar for the Securities) for the purpose of receiving payment of or on account of the principal hereof and premium, if any, and (subject to the Indenture) Interest due hereon and for all other
purposes, and neither the Corporation nor the Debenture Trustee nor any authenticating agent nor any paying agent nor any transfer agent nor any registrar shall be affected by any notice to the contrary. 
  
 11. No Recourse Against Others. No recourse shall be had for the
payment of the principal of or premium, if any, or Interest on this Security, or for any claim based hereon, or otherwise in respect hereof, or based on or in respect of the Indenture, against any incorporator, stockholder, officer or director,
past, present or future, as such, of the Corporation or of any predecessor or successor Person, 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. 
  
 12. Indenture; Trust Indenture Act of 1940. The terms of this Security include those stated in the Indenture and those made part of the Indenture
by reference to the Trust Indenture Act of 1939, as amended by the Trust Indenture Reform Act of 1990, as in effect on the date hereof or, from and after the date that the Indenture shall be qualified thereunder, as in effect on such date. This
Security is subject to all such terms, and the holder of this Security is referred to the Indenture and said Act for a statement of them. In the case of any conflict between the provisions of this Security and the Indenture, the provisions of the
Indenture shall control. The Corporation will furnish to any Holder, upon written request and without charge, a copy of the Indenture. Requests may be made to: Boston Private Financial Holdings, Inc., Ten Post Office Square, Boston, Massachusetts
02109, Attention: Margaret W. Chambers, Esq. 
  
 13.
Abbreviations and Definitions. Customary abbreviations may be used in the name of a Holder or an assignee, such as: TEN COM (= tenants in common), TEN ENT (= tenants by the entireties), JT TEN (= joint tenants with right of survivorship and
not as tenants in common), 

  

 A-10 

 
CUST (= Custodian) and U/G/M/A (= Uniform Gifts to Minors Act). All terms used in this Security that are defined in the Indenture shall have the meanings
assigned to them in the Indenture. 
  
 14. Governing Law.
THE INDENTURE AND THE SECURITIES SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK. 
  

 A-11 

  
 CONVERSION REQUEST

  
 To: Boston Private Financial Holdings, Inc. 
  
 The undersigned owner of these Securities hereby irrevocably exercises the
option to convert these Securities, or the portion below designated, into Common Stock (as such term is defined in the Indenture, dated October 12, 2004, between Boston Private Financial Holdings, Inc. and SunTrust Bank, as Debenture Trustee (the
“Indenture”) in accordance with the terms of the Indenture). 
  
 The undersigned does also hereby direct that the shares issuable and deliverable upon conversion, together with any check in payment for fractional shares, be issued in the name of and delivered to the undersigned, unless a different name
has been indicated in the assignment below. If shares are to be issued in the name of a person other than the undersigned, the undersigned will pay all transfer taxes payable with respect thereto. 
  
 Any holder, upon the exercise of its conversion rights in accordance with the
terms of the Indenture and the Securities, agrees to be bound by the terms of the Registration Rights Agreement relating to the Common Stock issuable upon conversion of the Securities and agrees to appoint the Conversion Agent for the purpose of
effecting the conversion of the Securities into shares of Common Stock. 
  
 Date:
            
                            Principal Amount of Securities to be converted:
                                        

  
 If a name or names other than the undersigned, please indicate
in the spaces below the name or names in which the shares of Common Stock are to be issued, along with the address or addresses of such person or persons. 
  
 _________________________________________________________ 
  
 _________________________________________________________ 
  
 _________________________________________________________ 
  
 (Sign exactly as your name appears on the other side of this certificate) (for conversion of definitive Securities only) 
  
 _________________________________________________________ 
  
 _________________________________________________________ 
  
 _________________________________________________________ 
  

 A-12 

 Please print or Typewrite Name and Address, Including Zip Code, and Social Security or Other Identifying
Number. 
  
 ______________________________________ 
  
 ______________________________________ 
  
 ______________________________________ 
  
 Signature Guarantee:*
                                        
                                        
                                        
                 
  

	*	(Signature must be guaranteed by an “eligible guarantor institution” that is, a bank, stockbroker, savings and loan association or credit union meeting the requirements of
the Registrar, which requirements include membership or participation in the Securities Transfer Agents Medallion Program (“STAMP”) or such other “signature guarantee program” as may be determined by the Registrar in addition to,
or in substitution for, STAMP, all in accordance with the Securities Exchange Act of 1934, as amended). 

  

 A-13 

 ASSIGNMENT 
  
 FOR VALUE RECEIVED, the undersigned assigns and transfers
$                     principal amount of this Security to: 
  
 _______________________________________________________________________________________________________________________ 
  
 _______________________________________________________________________________________________________________________ 
  
 _______________________________________________________________________________________________________________________ 
 (Insert assignee’s social security or tax identification number) 
  
 _______________________________________________________________________________________________________________________ 
  
 _______________________________________________________________________________________________________________________ 
  
 _______________________________________________________________________________________________________________________ 
 (Insert address and zip code of assignee) 
  
 and irrevocably appoints ___________________________________________________________________________________________________ 
  
 _______________________________________________________________________________________________________________________ 
  
 ______________________________________________________________ agent to transfer this Security on the books of the Trust. The agent may substitute another to act for him
or her. 
  
 Date:
                                        
                     
  
 Signature:
                                        
             
 (Sign exactly as your name appears on the other side of this Certificate)

  
 Signature Guarantee*:
                                        
                         
  

	*	(Signature must be guaranteed by an “eligible guarantor institution” that is, a bank, stockbroker, savings and loan association or credit union meeting the requirements of
the Registrar, which requirements include membership or participation in the Securities Transfer Agents Medallion Program (“STAMP”) or such other “signature guarantee program” as may be determined by the Registrar in addition to,
or in substitution for, STAMP, all in accordance with the Securities Exchange Act of 1934, as amended). 

  

 A-14 

  
 CERTIFICATE TO BE DELIVERED
UPON EXCHANGE OR 
 REGISTRATION OF RESTRICTED SECURITIES 
  
 This certificate relates to $
                     principal amount of Securities held in (check applicable space)
                     book-entry or
                     definitive form by the undersigned. 
  

	 	(A)	The undersigned has requested the Trustee by written order to exchange or register the transfer of Securities. 

  

	 	(B)	The undersigned confirms that such Securities are being (check one box below): 

  

	 	(1)	 ̈ transferred to Boston Private Financial Holdings, Inc. or a Subsidiary
thereof; or 

  

	 	(2)	 ̈ transferred pursuant to and in compliance with Rule 144A under the
Securities Act of 1933, as amended; or 

  

	 	(3)	 ̈ transferred pursuant to an available exemption from the registration
requirements of the Securities Act of 1933, as amended; or 

  

	 	(4)	 ̈ transferred pursuant to an effective registration statement under the
Securities Act of 1933, as amended. 

  
 Unless the
box below is checked, the undersigned confirms that such Securities are not being transferred to an “affiliate” of Boston Private Financial Holdings, Inc. as defined in Rule 144 under the Securities Act of 1933, as amended (an
“Affiliate”): 
  

	 	(5)	 ̈ The transferee is an Affiliate of Boston Private Financial Holdings, Inc.

  
 Unless one of the boxes in (B) above is checked,
the Trustee will refuse to register any of the Securities evidenced by this certificate in the name of any person other than the registered Holder thereof; provided, however, that if box (2) or (3) is checked, the Trustee may require,
prior to registering any such transfer of the Securities such legal opinions, certifications and other information as the Trustee has reasonably requested to confirm that such transfer is being made pursuant to an exemption from, or in a transaction
not subject to, the registration requirements of the Securities Act of 1933, as amended such as the exemption provided by Rule 144 under such Act. 
  

 A-15 

	
	
	  
	 Signature

  
 Signature Guarantee:* 
  

	*	(Signature must be guaranteed by an “eligible guarantor institution” that is, a bank, stockbroker, savings and loan association or credit union meeting the requirements of
the Registrar, which requirements include membership or participation in the Securities Transfer Agents Medallion Program (“STAMP”) or such other “signature guarantee program” as may be determined by the Registrar in addition to,
or in substitution for, STAMP, all in accordance with the Securities Exchange Act of 1934, as amended.) 

  

 A-16 

  
 TO BE COMPLETED BY PURCHASER
IF (2) ABOVE IS CHECKED. 
  
 The undersigned represents and
warrants that it is purchasing these Securities for its own account or an account with respect to which it exercises sole investment discretion and that it and any such account is a “qualified institutional buyer” within the meaning of
Rule 144A under the Securities Act of 1933, as amended and is aware that the sale to it is being made in reliance on Rule 144A and acknowledges that it has received such information regarding the Trust as the undersigned has requested pursuant to
Rule 144A or has determined not to request such information and that it is aware that the transferor is relying upon the undersigned’s foregoing representations in order to claim the exemption from registration provided by Rule 144A.

  

									
					
	 Dated:
	 	 	 	 	 	Signature:	 	 
	 	 	 	 	 	 	 Print name:
	 	 
	 	 	 	 	 	 	 Print title:
	 	 

  

 A-17 

  
 Schedule A to Exhibit A

  
 Global Note Transfer Schedule 
  
 Changes to Principal Amount of Global Security 
  

					
	 Date

	  	 Principal Amount of Securities by
Which This Global Security is to
Be Reduced or
Increased

	  	 Remaining Principal Amount of
Global Security
(following decrease or increase)

			
	 	  	 	  	 
			
	 	  	 	  	 
			
	 	  	 	  	 
			
	 	  	 	  	 
			
	 	  	 	  	 
			
	 	  	 	  	 
			
	 	  	 	  	 

  
 Schedule to be
maintained by Trustee, or Depositary or Property Trustee in cooperation with Trustee, as applicable. 
  

 A-18

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