Document:

Exhibit
4.1

EXECUTION COPY

 

 

ASBURY AUTOMOTIVE GROUP, INC.

and each of the Guarantors named herein 

3.00% SENIOR SUBORDINATED CONVERTIBLE NOTES DUE 2012

INDENTURE

Dated
as of March 16, 2007

THE BANK OF NEW YORK

as Trustee

 

 

CROSS-REFERENCE
TABLE*

	
  Trust

  Indenture

  Act Section

  	
   

  	
  Indenture 

  Section

  
	
   

  	
   

  	
   

  
	
  310(a)(1)

  	
   

  	
  7.10

  
	
   (a)(2)

  	
   

  	
  7.10

  
	
   (a)(3)

  	
   

  	
  N.A.

  
	
   (a)(4)

  	
   

  	
  N.A.

  
	
   (a)(5)

  	
   

  	
  N.A.

  
	
   (b)

  	
   

  	
  7.10

  
	
   (c)

  	
   

  	
  N.A.

  
	
  311(a)

  	
   

  	
  7.11

  
	
   (b)

  	
   

  	
  7.11

  
	
   (c)

  	
   

  	
  N.A.

  
	
  312(a)

  	
   

  	
  2.05

  
	
   (b)

  	
   

  	
  15.03

  
	
   (c)

  	
   

  	
  15.03

  
	
  313(a)

  	
   

  	
  7.06

  
	
   (b)(1)

  	
   

  	
  N.A.

  
	
   (b)(2)

  	
   

  	
  7.06, 7.07

  
	
   (c)

  	
   

  	
  7.06, 15.02

  
	
   (d)

  	
   

  	
  7.06

  
	
  314(a)

  	
   

  	
  4.03; 15.02

  
	
   (b)

  	
   

  	
  N.A.

  
	
   (c)(1)

  	
   

  	
  15.04

  
	
   (c)(2)

  	
   

  	
  15.04

  
	
   (c)(3)

  	
   

  	
  N.A.

  
	
   (d)

  	
   

  	
  N.A.

  
	
   (e)

  	
   

  	
  15.05

  
	
   (f)

  	
   

  	
  N.A.

  
	
  315(a)

  	
   

  	
  7.01

  
	
   (b)

  	
   

  	
  7.05, 15.02

  
	
   (c)

  	
   

  	
  7.01

  
	
   (d)

  	
   

  	
  7.01

  
	
   (e)

  	
   

  	
  6.11

  
	
  316(a) (last
  sentence)

  	
   

  	
  2.09

  
	
   (a)(1)(A)

  	
   

  	
  6.05

  
	
   (a)(1)(B)

  	
   

  	
  6.04

  
	
   (a)(2)

  	
   

  	
  N.A.

  
	
   (b)

  	
   

  	
  6.07

  
	
   (c)

  	
   

  	
  2.12

  

 

* This Cross Reference Table is not a part of
the Indenture.

  N.A. means not applicable.

 i
 

 

	
  Trust

  Indenture

  Act Section

  	
   

  	
  Indenture 

  Section

  
	
   

  	
   

  	
   

  
	
  317(a)(1)

  	
   

  	
  6.08

  
	
   (a)(2)

  	
   

  	
  6.09

  
	
   (b)

  	
   

  	
  2.04

  
	
  318(a)

  	
   

  	
  15.01

  
	
   (b)

  	
   

  	
  N.A.

  
	
   (c)

  	
   

  	
  15.01

  

 

 ii
 

TABLE OF
CONTENTS

	
  

  	
   

  	
   

  	
   

  	
  Page

  
	
   

  
	
  ARTICLE 1

  
	
  DEFINITIONS AND
  INCORPORATION BY REFERENCE

  
	
   

  
	
  Section 1.01.

  	
   

  	
  Definitions

  	
   

  	
  1

  
	
  Section 1.02.

  	
   

  	
  Other Definitions

  	
   

  	
  14

  
	
  Section 1.03.

  	
   

  	
  Incorporation by Reference of Trust Indenture Act

  	
   

  	
  15

  
	
  Section 1.04.

  	
   

  	
  Rules of Construction

  	
   

  	
  15

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE 2

  
	
  THE NOTES

  
	
   

  
	
  Section 2.01.

  	
   

  	
  Form and Dating

  	
   

  	
  16

  
	
  Section 2.02.

  	
   

  	
  Execution and Authentication

  	
   

  	
  16

  
	
  Section 2.03.

  	
   

  	
  Registrar, Paying Agent and Conversion Agent

  	
   

  	
  17

  
	
  Section 2.04.

  	
   

  	
  Paying Agent to Hold Money in Trust

  	
   

  	
  17

  
	
  Section 2.05.

  	
   

  	
  Holder Lists

  	
   

  	
  18

  
	
  Section 2.06.

  	
   

  	
  Transfer and Exchange

  	
   

  	
  18

  
	
  Section 2.07.

  	
   

  	
  Replacement Notes

  	
   

  	
  28

  
	
  Section 2.08.

  	
   

  	
  Outstanding Notes

  	
   

  	
  28

  
	
  Section 2.09.

  	
   

  	
  Treasury Notes

  	
   

  	
  29

  
	
  Section 2.10.

  	
   

  	
  Temporary Notes

  	
   

  	
  29

  
	
  Section 2.11.

  	
   

  	
  Cancellation

  	
   

  	
  29

  
	
  Section 2.12.

  	
   

  	
  Defaulted Interest

  	
   

  	
  30

  
	
  Section 2.13.

  	
   

  	
  CUSIP Numbers

  	
   

  	
  30

  
	
  Section 2.14.

  	
   

  	
  Issuance of Additional Notes

  	
   

  	
  30

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE 3

  
	
  REDEMPTION

  
	
   

  
	
  Section 3.01.

  	
   

  	
  No Redemption or Sinking Fund

  	
   

  	
  31

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE 4

  
	
  COVENANTS

  
	
   

  
	
  Section 4.01.

  	
   

  	
  Payment of Notes

  	
   

  	
  31

  
	
  Section 4.02.

  	
   

  	
  Maintenance of Office or Agency

  	
   

  	
  31

  
	
  Section 4.03.

  	
   

  	
  Reports

  	
   

  	
  32

  
	
  Section 4.04.

  	
   

  	
  Compliance Certificate

  	
   

  	
  32

  
	
  Section 4.05.

  	
   

  	
  Payment of Taxes and Other Claims

  	
   

  	
  33

  
	
  Section 4.06.

  	
   

  	
  Stay, Extension and Usury Laws

  	
   

  	
  33

  
	
  Section 4.07.

  	
   

  	
  Corporate Existence

  	
   

  	
  33

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE 5

  
	
  SUCCESSORS

  
	
   

  
	
  Section 5.01.

  	
   

  	
  Merger, Consolidation, or Sale of Assets

  	
   

  	
  34

  

 

 iii
 

 

	
  Section 5.02.

  	
   

  	
  Successor Company Substituted

  	
   

  	
  34

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE 6

  
	
  DEFAULTS AND
  REMEDIES

  
	
   

  
	
  Section 6.01.

  	
   

  	
  Events of Default

  	
   

  	
  34

  
	
  Section 6.02.

  	
   

  	
  Acceleration

  	
   

  	
  36

  
	
  Section 6.03.

  	
   

  	
  Other Remedies

  	
   

  	
  37

  
	
  Section 6.04.

  	
   

  	
  Waiver of Past Defaults

  	
   

  	
  37

  
	
  Section 6.05.

  	
   

  	
  Control by Majority

  	
   

  	
  37

  
	
  Section 6.06.

  	
   

  	
  Limitation on Suits

  	
   

  	
  38

  
	
  Section 6.07.

  	
   

  	
  Rights of Holders of Notes to Receive Payment

  	
   

  	
  38

  
	
  Section 6.08.

  	
   

  	
  Collection Suit by Trustee

  	
   

  	
  38

  
	
  Section 6.09.

  	
   

  	
  Trustee May File Proofs of Claim

  	
   

  	
  38

  
	
  Section 6.10.

  	
   

  	
  Priorities

  	
   

  	
  39

  
	
  Section 6.11.

  	
   

  	
  Undertaking for Costs

  	
   

  	
  39

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE 7

  
	
  TRUSTEE

  
	
   

  
	
  Section 7.01.

  	
   

  	
  Duties of Trustee

  	
   

  	
  40

  
	
  Section 7.02.

  	
   

  	
  Rights of Trustee

  	
   

  	
  41

  
	
  Section 7.03.

  	
   

  	
  Individual Rights of Trustee

  	
   

  	
  42

  
	
  Section 7.04.

  	
   

  	
  Trustee’s Disclaimer

  	
   

  	
  42

  
	
  Section 7.05.

  	
   

  	
  Notice of Defaults

  	
   

  	
  42

  
	
  Section 7.06.

  	
   

  	
  Reports by Trustee to Holders of the Notes

  	
   

  	
  43

  
	
  Section 7.07.

  	
   

  	
  Compensation and Indemnity

  	
   

  	
  43

  
	
  Section 7.08.

  	
   

  	
  Replacement of Trustee

  	
   

  	
  44

  
	
  Section 7.09.

  	
   

  	
  Successor Trustee by Merger, etc.

  	
   

  	
  45

  
	
  Section 7.10.

  	
   

  	
  Eligibility; Disqualification

  	
   

  	
  45

  
	
  Section 7.11.

  	
   

  	
  Preferential Collection of Claims Against Company

  	
   

  	
  45

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE 8

  
	
  [Reserved]

  
	
   

  
	
  ARTICLE 9

  
	
  AMENDMENT,
  SUPPLEMENT AND WAIVER

  
	
   

  
	
  Section 9.01.

  	
   

  	
  Without Consent of Holders of Notes

  	
   

  	
  45

  
	
  Section 9.02.

  	
   

  	
  With Consent of Holders of Notes

  	
   

  	
  46

  
	
  Section 9.03.

  	
   

  	
  Compliance with Trust Indenture Act

  	
   

  	
  48

  
	
  Section 9.04.

  	
   

  	
  Revocation and Effect of Consents

  	
   

  	
  48

  
	
  Section 9.05.

  	
   

  	
  Notation on or Exchange of Notes

  	
   

  	
  48

  
	
  Section 9.06.

  	
   

  	
  Trustee to Sign Amendments, etc.

  	
   

  	
  48

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE 10

  
	
  SUBORDINATION

  
	
   

  
	
  Section 10.01.

  	
   

  	
  Agreement to Subordinate

  	
   

  	
  49

  
	
  Section 10.02.

  	
   

  	
  Liquidation; Dissolution; Bankruptcy

  	
   

  	
  49

  

 

 iv
 

 

	
  Section 10.03.

  	
   

  	
  Default on Designated Senior Debt

  	
   

  	
  49

  
	
  Section 10.04.

  	
   

  	
  Acceleration of Notes

  	
   

  	
  50

  
	
  Section 10.05.

  	
   

  	
  When Distribution Must Be Paid Over

  	
   

  	
  50

  
	
  Section 10.06.

  	
   

  	
  Notice by Company

  	
   

  	
  51

  
	
  Section 10.07.

  	
   

  	
  Subrogation

  	
   

  	
  51

  
	
  Section 10.08.

  	
   

  	
  Relative Rights

  	
   

  	
  51

  
	
  Section 10.09.

  	
   

  	
  Subordination May Not Be Impaired by Company

  	
   

  	
  51

  
	
  Section 10.10.

  	
   

  	
  Distribution or Notice to Representative

  	
   

  	
  52

  
	
  Section 10.11.

  	
   

  	
  Rights of Trustee and Paying Agent

  	
   

  	
  52

  
	
  Section 10.12.

  	
   

  	
  Authorization to Effect Subordination

  	
   

  	
  52

  
	
  Section 10.13.

  	
   

  	
  Amendments

  	
   

  	
  52

  
	
  Section 10.14.

  	
   

  	
  Reliance on Judicial Order or Certificate of
  Liquidating Agent

  	
   

  	
  52

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE 11

  
	
  SUBSIDIARY
  GUARANTEES

  
	
   

  
	
  Section 11.01.

  	
   

  	
  Guarantees

  	
   

  	
  53

  
	
  Section 11.02.

  	
   

  	
  Subordination of Subsidiary Guarantees

  	
   

  	
  54

  
	
  Section 11.03.

  	
   

  	
  Limitation on Guarantor Liability

  	
   

  	
  54

  
	
  Section 11.04.

  	
   

  	
  Execution and Delivery of Subsidiary Guarantees

  	
   

  	
  55

  
	
  Section 11.05.

  	
   

  	
  Releases Following Sale of Assets

  	
   

  	
  55

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE 12

  
	
  DISCHARGE

  
	
   

  
	
  Section 12.01.

  	
   

  	
  Discharge of Liability on Notes

  	
   

  	
  56

  
	
  Section 12.02.

  	
   

  	
  Reinstatement

  	
   

  	
  56

  
	
  Section 12.03.

  	
   

  	
  Officers’ Certificate; Opinion of Counsel

  	
   

  	
  57

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE 13

  
	
  CONVERSION OF
  NOTES

  
	
   

  
	
  Section 13.01.

  	
   

  	
  Conversion Privilege and Conversion Rate

  	
   

  	
  57

  
	
  Section 13.02.

  	
   

  	
  Exercise of Conversion Privilege

  	
   

  	
  60

  
	
  Section 13.03.

  	
   

  	
  Fractions of Shares

  	
   

  	
  63

  
	
  Section 13.04.

  	
   

  	
  Adjustment of Conversion Rate

  	
   

  	
  63

  
	
  Section 13.05.

  	
   

  	
  Notice of Adjustments of Conversion Rate

  	
   

  	
  72

  
	
  Section 13.06.

  	
   

  	
  Company to Reserve Common Stock

  	
   

  	
  73

  
	
  Section 13.07.

  	
   

  	
  Taxes on Conversions

  	
   

  	
  73

  
	
  Section 13.08.

  	
   

  	
  Certain Covenants

  	
   

  	
  73

  
	
  Section 13.09.

  	
   

  	
  Cancellation of Converted Notes

  	
   

  	
  73

  
	
  Section 13.10.

  	
   

  	
  Provision in Case of Effect of Reclassification,
  Consolidation, Merger or Sale

  	
   

  	
  74

  
	
  Section 13.11.

  	
   

  	
  Responsibility of Trustee for Conversion Provisions

  	
   

  	
  75

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE 14

  
	
  REPURCHASE OF
  NOTES

  
	
   

  
	
  Section 14.01.

  	
   

  	
  Right to Require Repurchase Upon a Designated Event

  	
   

  	
  76

  

 

 v
 

 

	
  ARTICLE 15

  
	
  MISCELLANEOUS

  
	
   

  
	
  Section 15.01.

  	
   

  	
  Trust Indenture Act Controls

  	
   

  	
  79

  
	
  Section 15.02.

  	
   

  	
  Notices

  	
   

  	
  79

  
	
  Section 15.03.

  	
   

  	
  Communication by Holders of Notes with Other Holders
  of Notes

  	
   

  	
  80

  
	
  Section 15.04.

  	
   

  	
  Certificate and Opinion as to Conditions Precedent

  	
   

  	
  80

  
	
  Section 15.05.

  	
   

  	
  Statements Required in Certificate or Opinion

  	
   

  	
  81

  
	
  Section 15.06.

  	
   

  	
  Rules by Trustee and Agents

  	
   

  	
  81

  
	
  Section 15.07.

  	
   

  	
  No Personal Liability of Directors, Officers,
  Employees and Stockholders

  	
   

  	
  81

  
	
  Section 15.08.

  	
   

  	
  Governing Law

  	
   

  	
  81

  
	
  Section 15.09.

  	
   

  	
  No Adverse Interpretation of Other Agreements

  	
   

  	
  82

  
	
  Section 15.10.

  	
   

  	
  Successors

  	
   

  	
  82

  
	
  Section 15.11.

  	
   

  	
  Severability

  	
   

  	
  82

  
	
  Section 15.12.

  	
   

  	
  Counterpart Originals

  	
   

  	
  82

  
	
  Section 15.13.

  	
   

  	
  Table of Contents, Headings, etc.

  	
   

  	
  82

  
	
  Section 15.14.

  	
   

  	
  Benefits of Indenture

  	
   

  	
  82

  
	
  Section 15.15

  	
   

  	
  Waiver of Jury Trial

  	
   

  	
  82

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  EXHIBITS

  
	
   

  
	
  Exhibit A

  	
   

  	
  Form of Note

  	
   

  	
   

  
	
  Exhibit B

  	
   

  	
  Form of Certificate of Transfer

  	
   

  	
   

  
	
  Exhibit C

  	
   

  	
  Form of Certificate of Exchange

  	
   

  	
   

  
	
  Exhibit D

  	
   

  	
  Form of Certificate From Acquiring Institutional
  Accredited Investor

  	
   

  	
   

  
	
  Exhibit E

  	
   

  	
  Form of Subsidiary Guarantee

  	
   

  	
   

  
	
  Exhibit F

  	
   

  	
  Form of Supplemental Indenture To Be Delivered By
  Subsequent Guarantors

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  SCHEDULES

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Schedule I

  	
   

  	
  Schedule of Guarantors

  	
   

  	
   

  
	
  Schedule II

  	
   

  	
  Additional Shares Table

  	
   

  	
   

  

 

 vi

INDENTURE dated as of March 16, 2007 among Asbury
Automotive Group, Inc., a Delaware corporation (the “Company”), the
subsidiary guarantors listed on Schedule I hereto (collectively, the “Guarantors”)
and The Bank of New York, a New York banking corporation, as trustee (the “Trustee”).

The Company, the Guarantors and the Trustee agree as
follows for the benefit of each other and for the equal and ratable benefit of
the Holders of the 3.00% Senior Subordinated Convertible Notes due 2012 (the “Notes”):

ARTICLE 1

DEFINITIONS AND INCORPORATION

BY REFERENCE

Section 1.01.                                   Definitions.

“Additional Notes” means additional notes
(other than the Initial Notes) issued under this Indenture in accordance with
Sections 2.02 and 2.14 hereof, as part of the same series as the Initial Notes.

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

“Agent” means any Registrar, Paying Agent or
co-registrar.

“Applicable Procedures” means, with respect to
any transfer or exchange of or for beneficial interests in any Global Note, the
rules and procedures of the Depositary, Euroclear and Clearstream that apply to
such transfer or exchange.

“Attributable Debt” in respect of a sale and
leaseback transaction means, at the time of determination, the present value of
the obligation of the lessee for net rental payments during the remaining term
of the lease included in such sale and leaseback transaction including any
period for which such lease has been extended or may, at the option of the
lessor, be extended. Such present value shall be calculated using a discount
rate equal to the rate of interest implicit in such transaction, determined in
accordance with GAAP.

“Bankruptcy Law” means Title 11, U.S. Code or
any similar federal or state law for the relief of debtors.

“Beneficial Owner” has the meaning assigned to
such term in Rule 13d-3 and Rule 13d-5 under the Exchange Act, except that in
calculating the beneficial ownership of any particular “person” (as that
term is used in Section 13(d)(3) of the Exchange Act), such “person”
will be deemed to have beneficial ownership of all securities that such “person”
has the right to acquire by conversion or exercise of other securities, whether
such right is currently exercisable 

 1
 

or is exercisable only upon the occurrence of a
subsequent condition. The terms “Beneficially Owns” and “Beneficially
Owned” have a corresponding meaning.

“Board of Directors” means (i) with respect to
a corporation, the board of directors of the corporation; (ii) with respect to
a partnership, the board of directors of the general partner of the
partnership; and (iii) with respect to any other Person, the board or committee
of such Person serving a similar function.

“Board Resolution” means a copy of a resolution
certified by the Secretary or an Assistant Secretary of the Company to have
been duly adopted by the Board of Directors and to be in full force and effect
on the date of such certification.

“Broker-Dealer” has the meaning set forth in
the Registration Rights Agreement.

“Business Day” means any day other than a Legal
Holiday.

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

“Capital Stock” means: (i) in the case of a
corporation, corporate stock; (ii) in the case of an association or business
entity, any and all shares, interests, participations, rights or other
equivalents (however designated) of corporate stock; (iii) in the case of a
partnership or limited liability company, partnership or membership interests
(whether general or limited); and (iv) any other interest or participation that
confers on a Person the right to receive a share of the profits and losses of,
or distributions of assets of, the issuing Person.

“Cash Equivalents” means (i) United States
dollars; (ii) securities issued or directly and fully guaranteed or insured by
the United States government or any agency or instrumentality of the United
States government (provided that
the full faith and credit of the United States is pledged in support of those
securities) having maturities of not more than six months from the date of
acquisition; (iii) time deposit accounts, certificates of deposit and money
market deposits maturing within 180 days of the date of acquisition thereof
issued by a bank or trust company which is organized under the laws of the
United States, any state thereof or any foreign country recognized by the
United States, and which bank or trust company has capital, surplus aggregating
in excess of $500.0 million and has outstanding debt which is rated “A”
(or such similar equivalent rating) or higher by at least one nationally
recognized statistical rating organization (as defined in Rule 436 under the
Securities Act) or any money-market fund sponsored by a registered broker
dealer or mutual fund distributor; (iv) repurchase obligations with a term of
not more than 30 days for underlying securities of the types described in
clauses (ii) and (iii) above entered into with any financial institution
meeting the qualifications specified in clause (iii) above; (v) commercial
paper having the highest rating obtainable from Moody’s Investors Service, Inc.
or Standard & Poor’s Ratings Services (or carrying an equivalent rating by
another nationally recognized statistical rating organization (as defined under
Rule 436 under the Securities Act) if both of such two rating agencies cease
publishing ratings of investments) and maturing not more than 180 days from the
date of acquisition; (vi) money market funds at least 95% of the assets of
which constitute Cash Equivalents of the kinds described in clauses (i) through
(v) above; and (vii) in the case of any Subsidiary organized or having its
principal place of business outside the United States, investments denominated
in the currency of the jurisdiction 

 2
 

in which that Subsidiary is organized or has its
principal place of business which are similar to the items specified in clauses
(i) through (vi) above, including, without limitation, any deposit with a bank
that is a lender to any Restricted Subsidiary of the Company.

“Clearstream” means ClearStream Bank S.A.

“Common Stock” means the common stock, par
value $0.01 per share, of the Company authorized at the date of this instrument
as originally executed or as such stock may be constituted from time to
time.  Subject to the provisions of
Section 13.10, shares issuable upon conversion of Notes shall include only
shares of Common Stock or shares of any class or classes of common stock
resulting from any reclassification or reclassifications thereof; provided, however, that
if at any time there shall be more than one such resulting class, the shares so
issuable on conversion of Notes shall include shares of all such classes, and
the shares of each such class then so issuable shall be substantially in the
proportion which the total number of shares of such class resulting from all
such reclassifications bears to the total number of shares of all such classes
resulting from all such reclassifications.

“Company” means Asbury Automotive Group, Inc.,
and any and all successors thereto.

“Company Order” means a written order signed in
the name of the Company by an Officer of the Company.

“Continuing Directors” means, as of any date of
determination, any member of the Board of Directors of the Company who (i) was
a member of such Board of Directors on the date of this Indenture; or (ii) was
nominated for election or elected to such Board of Directors with the approval
of a majority of the Continuing Directors who were members of such Board at the
time of such nomination or election.

“Conversion Obligation” means the obligation of
the Company to deliver pursuant hereto, the consideration due under Article 13
upon a conversion of the Notes in accordance herewith.

“Conversion Price” means at any time the amount
equal to $1,000 divided by the then current Conversion Rate.

“Corporate Trust Office of the Trustee” shall
be at the address of the Trustee specified in Section 15.02 hereof or such
other address as to which the Trustee may give notice to the Company.

“Credit Agreement” means that Revolving Credit
Agreement, dated as of March 23, 2005, among the Company, the Subsidiary
Borrowers listed therein, as Borrowers, the Lenders listed therein, JPMorgan
Chase Bank, N.A., as Administrative Agent and as Floor Plan Agent, and Bank of
America, N.A., as Syndication Agent, as amended by the First Amendment to
Credit Agreement and Waiver, effective as of March 1, 2006, and the Second
Amendment to Credit Agreement, effective as of August 1, 2006, and the
Third Amendment to Credit Agreement, effective as of March 8, 2007.

 3
 

“Credit Facility” or “Credit Facilities”
means, one or more debt facilities (including, without limitation, the Credit
Agreement) or commercial paper facilities, in each case with banks or other
institutional lenders providing for revolving credit loans, term loans, or
letters of credit, in each case, as amended, extended, renewed, restated,
supplemented, replaced or otherwise modified (in whole or in part, and without
limitation as to amount, terms, conditions, covenants and other provisions, or
lenders or holders) from time to time.

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

“Daily Cash Amount” has the meaning specified
in the definition of Daily Settlement Amount.

“Daily Conversion Value” means for each of the
30 consecutive VWAP Trading Days during the Observation Period, one-thirtieth
(1/30) of the product of (a) the applicable Conversion Rate and (b) the Daily
VWAP of the Common Stock (or the Reference Property pursuant to Section 13.10)
on such VWAP Trading Day, as determined by the Company.  Any such determination by the Company shall
be conclusive absent manifest error.

“Daily Settlement Amount” means, for each of
the 30 VWAP Trading Days during the Observation Period,

(i)            cash equal to the
lesser of (x) $33.33 in the case of the first 20 VWAP Trading Days or $33.34 in
the case of the last 10 VWAP Trading Days and (y) the Daily Conversion Value
relating to such VWAP Trading Day (the “Daily Cash Amount”); and

(ii)           if such Daily
Conversion Value exceeds either $33.33 in the case of the first 20 VWAP Trading
Days or $33.34 in the case of the last 10 VWAP Trading Days, a number of shares
of Common Stock equal to (A) the difference between such Daily Conversion Value
and $33.33 or $33.34, as applicable, divided by (B) the Daily VWAP of the
Common Stock for such VWAP Trading Day, subject to adjustment pursuant to
Section 13.04(m).

“Daily VWAP” means for each of the 30
consecutive VWAP Trading Days during the Observation Period, the per share
volume-weighted average price as displayed under the heading “Bloomberg VWAP”
on Bloomberg page ABG.N <equity> AQR (or any equivalent successor page)
in respect of the period from the scheduled open of trading on the principal
trading market for the Common Stock to the scheduled close of trading on such
market on such VWAP Trading Day (or if such volume-weighted average price is
unavailable, the market value of one share of the Common Stock on such VWAP
Trading Day using a volume-weighted method as determined by a nationally
recognized independent investment banking firm retained for this purpose by the
Company).

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

“Definitive Note” means a certificated Note
registered in the name of the Holder thereof and issued in accordance with
Section 2.06 hereof, substantially in the form of Exhibit A 

 4
 

hereto except that such Note shall not bear the Global
Note Legend and shall not have the “Schedule of Exchanges of Interests in
the Global Note” attached thereto.

“Depositary” means, with respect to the Notes
issuable or issued in whole or in part in global form, the Person specified in
Section 2.03 hereof as the Depositary with respect to the Notes, and any and
all successors thereto appointed as depositary hereunder and having become such
pursuant to the applicable provision of this Indenture.

“Designated Event” means the occurrence of
either a Fundamental Change or a Termination of Trading.

“Designated Notes” means (a) the Company’s 8%
Senior Subordinated Notes due 2014, (b) the Company’s 7.625% Senior
Subordinated Notes due 2017 and (c) any other Indebtedness of the Company that
is (i) in the form of, or represented by, bonds, notes, debentures or other
securities (other than promissory notes or similar evidences of indebtedness
under bank loans, reimbursement agreements, receivables facilities or floor
plan facilities) or any guarantee thereof and (ii) is or may be, quoted, listed
or purchased on any stock exchange, automated securities trading system or
over-the-counter or other securities market, including, without limitation the
PORTALSM Market.

“Designated Senior Debt” means (i) any
Obligation outstanding under the Credit Agreement and Floor Plan Facilities;
and (ii) after payment in full of all Obligations under the Credit Agreement
and Floor Plan Facilities, any other Senior Debt permitted under this Indenture
the principal amount of which is $25.0 million or more and that has been
designated by the Company as “Designated Senior Debt.”

“Domestic Subsidiary” means any Restricted
Subsidiary of the Company that was formed under the laws of the United States
or any state of the United States or the District of Columbia.

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

“Ex-Date” means, with respect to any issuance or
distribution on the Common Stock or any other equity security, the first date
on which the shares of the Common Stock or such other equity security trade on
the relevant exchange or in the relevant market, regular way, without the right
to receive such issuance or distribution.

“Existing Senior Subordinated Indentures” mean
(i) that certain Indenture, dated as of June 5, 2002, governing the
Company’s 9% Senior Subordinated Notes due 2012, as amended by that certain
First Supplemental Indenture, dated as of March 19, 2003, that certain Second
Supplemental Indenture, dated as of December 23, 2003, that certain Third
Supplemental Indenture, dated as of December 7, 2004, that certain Fourth
Supplemental Indenture, dated as of September 30, 2005, and that certain Fifth
Supplemental Indenture, dated as of March 8, 2007 and (ii) that certain
Indenture, dated as of December 23, 2003, governing the Company’s 8%
Senior Subordinated Notes due 2014, as amended by that certain First
Supplemental Indenture, dated as of January 21, 2004, that certain Second
Supplemental Indenture, dated as of December 23, 

 5
 

2003, that certain Third Supplemental Indenture, dated
as of September 30, 2005 and that certain Fourth Supplemental Indenture, dated
as of March 15, 2007.

“Existing Senior Subordinated Notes” means, as
of any time of determination, notes outstanding at such time of determination
issued by the Company under the Existing Senior Subordinated Indentures.

“Existing Senior Subordinated Notes Guarantees”
means, as of any time of determination, guarantees outstanding at such time of
determination entered into by Subsidiaries of the Company to guarantee the
Company’s obligations under the Existing Senior Subordinated Indentures.

“Euroclear” means Euroclear Bank.

“Exchange Act” means the Securities Exchange
Act of 1934, as amended.

“Floor Plan Facility” means an agreement with
Ford Motor Credit Company, General Motors Acceptance Corporation,
DaimlerChrysler Services North America LLC or any other lending institution
affiliated with a Manufacturer or any bank or asset-based lender under which
the Company or its Restricted Subsidiaries incur Indebtedness, all of the net
proceeds of which are used to purchase, finance or refinance vehicles and/or
vehicle parts and supplies to be sold in the ordinary course of the business of
the Company and its Restricted Subsidiaries and which may not be secured except
by a Lien that does not extend to or cover any property other than property of
the dealership(s) which use the proceeds of the Floor Plan Facility or other
dealerships who have incurred Indebtedness from the same lender.

“Fundamental Change” means the occurrence of
any of the following events:

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

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

(c)           the
consummation of any transaction (including, without limitation, any merger or
consolidation) the result of which is that any “person” (as defined in clause
(a) above) becomes the Beneficial Owner, directly or indirectly, of more than
50% of the Voting Stock of the Company, measured by voting power rather than
number of shares;

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

(e)           the
Company consolidates with, or merges with or into, any Person, or any Person
consolidates with, or merges with or into, the Company, in any such event
pursuant to a transaction in which any of the outstanding Voting Stock of the
Company or such other Person is converted into or exchanged for cash,
securities or other property, other than any such transaction where the Voting
Stock of the Company outstanding immediately prior to such 

 6
 

transaction is converted into or exchanged
for Voting Stock of the surviving or transferee Person constituting a majority
of the outstanding shares of such Voting Stock of such surviving or transferee
Person (immediately after giving effect to such issuance).

“GAAP” means generally accepted accounting
principles set forth in the opinions and pronouncements of the Accounting
Principles Board of the American Institute of Certified Public Accountants and
statements and pronouncements of the Financial Accounting Standards Board or in
such other statements by such other entity as have been approved by a
significant segment of the accounting profession, which are in effect from time
to time.

“Global Notes” means, individually and
collectively, each of the Restricted Global Notes and the Unrestricted Global
Notes, substantially in the form of Exhibit A hereto issued in accordance
with Section 2.01 or 2.06 hereof.

“Global Note Legend” means the legend set forth
in Section 2.06(f)(ii), which is required to be placed on all Global Notes
issued under this Indenture.

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

“Guarantor” means any Subsidiary of the Company
that guarantees the Notes in accordance with the provisions of this Indenture.

“Hedging Obligations” means, with respect to
any specified Person, the obligations of such Person under (i) interest rate
swap agreements, interest rate cap agreements and interest rate collar
agreements; and (ii) other agreements or arrangements of a similar character
designed to protect such Person against fluctuations in interest rates.

“Holder” means a Person in whose name a Note is
registered on the Registrar’s books.

The term “incur” means to create, incur, issue,
assume, guarantee or otherwise become directly or indirectly liable,
contingently or otherwise, with respect to any Indebtedness.

“Indebtedness” means, with respect to any
specified Person, any indebtedness of such Person, whether or not contingent:
(i) in respect of borrowed money; (ii) evidenced by bonds, notes, debentures or
similar instruments or letters of credit (or reimbursement agreements in
respect thereof); (iii) in respect of banker’s acceptances; (iv) representing
Capital Lease Obligations or Attributable Debt in respect of sale and leaseback
transactions; (v) representing the balance deferred and unpaid of the purchase
price of any property, except any such balance that constitutes an accrued
expense or trade payable; or (vi) representing any Hedging Obligations, if and
to the extent any of the preceding items (other than letters of credit,
Attributable Debt and Hedging Obligations) would appear as a liability upon a
balance sheet of the specified Person prepared in accordance with GAAP. In
addition, the term “Indebtedness” includes all Indebtedness of others
secured by a Lien on any asset of the specified Person (whether or not such
Indebtedness is assumed by the specified Person) and, to the extent not
otherwise included, the Guarantee by the specified Person of any Indebtedness
of any other Person. The amount of 

 7
 

any Indebtedness outstanding as of any date will be:
(1) the accreted value of the Indebtedness, in the case of any Indebtedness
issued with original issue discount; or (2) the principal amount of the
Indebtedness. Indebtedness shall not include the obligations of any Person (A)
resulting from the endorsement of negotiable instruments for collection in the
ordinary course of business and (B) under stand-by letters of credit to
the extent collateralized by cash or Cash Equivalents.

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

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

“Initial Notes” means the first $115,000,000
aggregate principal amount of Notes issued under this Indenture on the date
hereof.

“Initial Purchasers” means Goldman, Sachs &
Co. and Deutsche Bank Securities Inc.

“Institutional Accredited Investor” means an
institution that is an “accredited investor” as defined in Rule
501(a)(1), (2), (3) or (7) under the Securities Act, who are not also QIBs.

“Interest Payment Date” means March 15 and
September 15 of each year beginning September 15, 2007.

“Issue Date” means March 16, 2007.

“Last Reported Sale Price” means, with respect
to the Common Stock or any other security for which a Last Reported Sale Price
must be determined, on any date, the closing sale price per share of the Common
Stock or unit of such other security (or, if no closing sale price is reported,
the average of the last bid and last ask prices or, if more than one in either
case, the average of the average last bid and the average last ask prices) on
such date as reported in composite transactions for the principal United States
national or regional securities exchange on which it is then traded, if any. If
the Common Stock or such other security is not listed for trading on a United
States national or regional securities exchange on the relevant date, the Last
Reported Sale Price shall be the average of the last quoted bid and ask prices
per share of Common Stock or such other security in the over-the-counter market
on the relevant date, as reported by the Pink Sheets or similar organization.
In absence of such quotation, the Last Reported Sale Price shall be the average
of the mid-point of the last bid and ask prices for the Common Stock or such
other security on the relevant date from each of at least three nationally
recognized independent investment banking firms, which may include any or all
of the Initial Purchasers, selected from time to time by the Company for that
purpose. The Last Reported Sale Price shall be determined without reference to
extended or after hours trading. Any such determination shall be made by the
Company and shall be conclusive absent manifest error.

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

 8
 

payment may be made at that place on the next
succeeding day that is not a Legal Holiday, and no interest shall accrue on
such payment for the intervening period.

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

“Manufacturer” means a vehicle manufacturer
which is a party to a dealership or national framework franchise agreement with
the Company or a Restricted Subsidiary of the Company.

“Market Disruption Event” means the occurrence
or existence on any Scheduled Trading Day for the Common Stock of any suspension
or limitation imposed on trading (by reason of movements in price exceeding
limits permitted by the stock exchange or otherwise) in the Common Stock or in
any options contracts or futures contracts relating to the Common Stock, and
such suspension or limitation occurs or exists at any time within the 30
minutes prior to the closing time of the relevant exchange on such day.

“Maturity,” when used with respect to any
Notes, means the date on which the principal of such Notes becomes due and
payable as therein or herein provided, whether on the Maturity Date or by
declaration of acceleration, exercise of the repurchase right set forth in
Article 14 or otherwise.

“Maturity Date” means, with respect to the
Notes, September 15, 2012.

“Notes” has the meaning assigned to it in the
preamble to this Indenture. The Initial Notes and the Additional Notes shall be
treated as a single class for all purposes under this Indenture, and unless the
context otherwise requires, all references to the Notes shall include the
Initial Notes and any Additional Notes.

“Observation Period” means, with respect to any
Notes:

(a)           with respect to any Conversion Date
occurring during the period beginning on the 35th Scheduled Trading Day prior
to the Maturity Date, the 30 consecutive VWAP Trading Day period beginning on,
and including, the 32nd Scheduled Trading Day prior to the Maturity Date
(whether or not the Maturity Date is a Scheduled Trading Day) (or if such day
is not a VWAP Trading Day, the next succeeding VWAP Trading Day); and

(b)           in all other instances, the 30
consecutive VWAP Trading Day period beginning on, and including, the third VWAP
Trading Day after the related Conversion Date in respect of such Notes.

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

 9
 

“Offering” means the offering of the Notes by
the Company.

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

“Officers’ Certificate” means a certificate
signed on behalf of the Company by two Officers of the Company, one of whom
must be the principal executive officer, the principal financial officer, the
treasurer or the principal accounting officer of the Company, that meets the
requirements of Section 15.05 hereof.

“Opinion of Counsel” means an opinion from
legal counsel that meets the requirements of Section 15.05 hereof. The counsel
may be an employee of or counsel to the Company or any Subsidiary of the
Company.

“Participant” means, with respect to the Depositary,
Euroclear or Clearstream, a Person who has an account with the Depositary,
Euroclear or Clearstream, respectively (and, with respect to DTC, shall include
Euroclear and Clearstream).

“Permitted Junior Securities” means (i) Equity
Interests in the Company or any Guarantor; or (ii) debt securities that are
subordinated to all Senior Debt (and any debt securities issued in exchange for
Senior Debt) to substantially the same extent as, or to a greater extent than,
the Notes and the Subsidiary Guarantees are subordinated to Senior Debt under
this Indenture.

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

“Private Placement Legend” means the legend set
forth in Section 2.06(f)(i) to be placed on all Notes issued under this
Indenture except where otherwise permitted by the provisions of this Indenture.

“Principal Portion” in respect of a Note to be
converted, means cash in an amount equal to the sum of Daily Cash Amounts for
each of the 30 VWAP Trading Days during an Observation Period.

“QIB” means a “qualified institutional buyer”
as defined in Rule 144A.

“Registration Rights Agreement” means the
Registration Rights Agreement, dated as of March 16, 2007, by and among the
Company and the other parties named on the signature pages thereof, as such
agreement may be amended, modified or supplemented from time to time and, with
respect to any Additional Notes, one or more registration rights agreements
between the Company and the other parties thereto, as such agreement(s) may be
amended, modified or supplemented from time to time, relating to rights given
by the Company to the purchasers of Additional Notes to register such
Additional Notes under the Securities Act.

 10

“Regular Record Date” for interest payable in
respect of any Note on any Interest Payment Date means the March 1 or September
1 (whether or not a Business Day), as the case may be, next preceding such
Interest Payment Date.

“Regulation S-X” means Regulation S-X
promulgated under the Securities Act.

“Representative” means the indenture trustee or
other trustee, agent or representative for any Senior Debt.

“Responsible Officer,” when used with respect
to the Trustee, means any officer within the Corporate Trust Administration
group of the Trustee (or any successor group of the Trustee) including any vice
president, assistant vice president, assistant secretary, assistant treasurer,
trust officer or any other officer of the Trustee customarily performing functions
similar to those performed by any of the above designated officers 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 and who shall have direct responsibility for the
administration of this Indenture.

“Restricted Definitive Note” means a Definitive
Note bearing the Private Placement Legend.

“Restricted Global Note” means a global note
substantially in the form of Exhibit A hereto bearing the Global Note
Legend and the Private Placement Legend and deposited with or on behalf of, and
registered in the name of, the Depositary or its nominee that will be issued in
a denomination equal to the outstanding principal amount of the Notes sold in
reliance on Rule 144A.

“Restricted Subsidiary” any Subsidiary of the
Company that is a “Restricted Subsidiary” under any Designated Notes.

“Rule 144” means Rule 144 promulgated under the
Securities Act.

“Rule 144A” means Rule 144A promulgated under
the Securities Act.

“Scheduled Trading Day” means a day that is
scheduled to be a Trading Day on the principal United States national or
regional securities exchange or market on which the Common Stock is listed or
admitted for trading or, if the Common Stock is not listed or admitted for
trading on any exchange or market, a Business Day.

“SEC” means the Securities and Exchange
Commission.

“Securities Act” means the Securities Act of
1933, as amended.

“Senior Debt” means: (i) all Indebtedness of
the Company or any Guarantor outstanding under Credit Facilities, and all
Hedging Obligations with respect thereto, and under Floor Plan Facilities; (ii)
any other Indebtedness of the Company or any Guarantor permitted to be incurred
under the terms of this Indenture; and (iii) all Obligations with respect to
the items listed in the preceding clauses (i) and (ii); unless in the case of
clauses (i) and (ii), the instrument 

 11
 

under which such Indebtedness is incurred expressly
provides that it is on a parity with or subordinated in right of payment to the
Notes or any Subsidiary Guarantee, as the case may be.

Notwithstanding anything to the contrary in the
preceding paragraph, Senior Debt will not include:  (a) any liability for federal, state, local
or other taxes owed or owing by the Company; (b) any intercompany Indebtedness
of the Company or any of its Restricted Subsidiaries owing to the Company or
any of its Affiliates; or (c) any trade payables.

“Senior Subordinated Indebtedness” means, with
respect to any Person, the Notes and the Existing Senior Subordinated Notes (in
the case of the Company), the Subsidiary Guarantees and the Existing Senior
Subordinated Notes Guarantees (in the case of a Guarantor), and any other
Indebtedness of such Person that specifically provides that such Indebtedness
is to rank pari passu with the
Notes, the Existing Senior Subordinated Notes or such Subsidiary Guarantee or
Existing Senior Subordinated Notes Guarantee, as the case may be, in right of
payment and is not subordinated by its terms in right of payment to any
Indebtedness or other obligation of such Person which is not Senior Debt of
such Person.

“Shelf Registration Statement” means the Shelf
Registration Statement as defined in the Registration Rights Agreement.

“Significant Subsidiary” means any Restricted
Subsidiary that would be a “significant subsidiary” as defined in
Article 1, Rule 1-02 of Regulation S-X promulgated pursuant to the Securities
Act, as such regulation is in effect on the date of this Indenture.

“Special Interest” has the meaning provided in
the Registration Rights Agreement.

“Stated Maturity” means, with respect to any
installment of interest or principal on any series of Indebtedness, the date on
which the payment of interest or principal was scheduled to be paid in the
original documentation governing such Indebtedness, but excluding any provision
providing for any contingent obligations to repay, redeem or repurchase any
such interest or principal prior to the date originally scheduled for the payment
thereof.

“Stock Price” means the price paid per share of
Common Stock in connection with a Fundamental Change pursuant to which
Additional Shares shall be added to the Conversion Rate as set forth in Section
13.01(e), which shall be equal to (i) if holders of Common Stock receive only
cash in such Fundamental Change, the cash amount paid per share of Common Stock
and (ii) in all other cases, the average of the Last Reported Sale Prices of
the Common Stock over the ten consecutive Trading Day period ending on the
Trading Day preceding the Effective Date of the Fundamental Change.

“Subsidiary” means, with respect to any
specified Person (i) any corporation, limited liability company, association or
other business entity whether now existing or hereafter formed or acquired of
which more than 50% of the total voting power of shares of Capital Stock
entitled (without regard to the occurrence of any contingency) to vote in the
election of directors, managers or trustees of the corporation, association or other
business entity is at the time owned or controlled, directly or indirectly, by
that Person or one or more of the other Subsidiaries of that Person (or a
combination thereof); and (ii) any partnership whether now existing or
hereafter formed or acquired (A) the sole general partner or the managing
general partner of which is such 

 12
 

Person or a Subsidiary of such Person or (B) the only
general partners of which are that Person or one or more Subsidiaries of that
Person (or any combination thereof).

“Subsidiary Guarantee” means a Guarantee by a
Guarantor of the Company’s obligations with respect to the Notes.

“Termination of Trading” means the occurrence
whereby the Common Stock, or any other Capital Stock or American Depositary
Receipts in respect of shares of Capital Stock into which the Notes are
convertible pursuant to the terms of this Indenture, are not listed for trading
on a the New York Stock Exchange, the American Stock Exchange, the NASDAQ
Global Select Market or the NASDAQ Global Market (or their respective
successors).

“TIA” means the Trust Indenture Act of 1939 (15
U.S.C. §§ 77aaa-77bbbb) as in effect on the date on which this Indenture is
qualified under the TIA.

“Trading Day” means a day during which (i)
trading in the Common Stock generally occurs and (ii) there is no Market
Disruption Event.

“Trading Price” with respect to any Notes, on
any date of determination, means the average of the secondary market bid
quotations obtained by the Trustee for $2.0 million principal amount of such
Notes at approximately 3:30 p.m., New York City time, on such determination
date from three independent nationally recognized securities dealers, which may
include any or all of the Initial Purchasers, selected by the Company; provided that if three such bids cannot reasonably be
provided to the Trustee, but two such bids are provided, then the average of
the two bids shall be used, and if only one such bid can reasonably be provided
to the Trustee, that one bid shall be used. 
If at least one bid for $2.0 million principal amount of the Notes
cannot reasonably be provided to the Trustee by a nationally recognized
securities dealer, then the trading price per $1,000 principal amount of Notes
shall be deemed to be less than 98% of the product of the Last Reported Sale
Price of the Common Stock and the Conversion Rate in effect on such date of
determination.  Any such determination by
the Trustee shall be conclusive absent manifest error.

“Trustee” means the party named as such above
until a successor replaces it in accordance with the applicable provisions of
this Indenture and thereafter means the successor serving hereunder.

“Unrestricted Global Note” means a permanent
Global Note substantially in the form of Exhibit A attached hereto that
bears the Global Note Legend and that has the “Schedule of Exchanges of
Interests in the Global Note” attached thereto, and that is deposited with
or on behalf of and registered in the name of the Depositary, representing
Notes that do not bear the Private Placement Legend.

“Unrestricted Definitive Note” means one or
more Definitive Notes that do not bear and are not required to bear the Private
Placement Legend.

“Unrestricted Subsidiary” means any Subsidiary
of the Company that is not a Restricted Subsidiary.

 13
 

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

“VWAP Market Disruption Event” means (i) a
failure by the principal United States national or regional securities exchange
or market on which the Common Stock is listed or admitted to trading to open
for trading during its regular trading session or (ii) the occurrence or
existence prior to 1:00 p.m. New York City time on any Scheduled Trading Day
for the Common Stock for an aggregate one half-hour period of any suspension or
limitation imposed on trading (by reason of movements in price exceeding limits
permitted by the stock exchange or otherwise) in the Common Stock or in any
options contracts or futures contracts relating to the Common Stock.

“VWAP Trading Day” means a day during which (i)
trading in the Common Stock generally occurs on the principal United States
national or regional securities exchange or market on which the Common Stock is
listed or admitted for trading and (ii) there is no VWAP Market Disruption
Event.  If the Common Stock is not so
listed or traded, then “VWAP Trading Day” shall mean “Business Day.”

Section 1.02.          Other
Definitions.

	
  Term

  	
   

  	
  Defined

  in Section

  
	
   

  	
   

  	
   

  
	
  “Additional
  Shares”

  	
   

  	
  13.01

  
	
  “Adjusted
  Determination Date”

  	
   

  	
  13.04

  
	
  “Adjustment
  Event”

  	
   

  	
  13.04

  
	
  “Authentication
  Order”

  	
   

  	
  2.02

  
	
  “Conversion
  Agent”

  	
   

  	
  2.03

  
	
  “Conversion
  Date”

  	
   

  	
  13.02

  
	
  “Conversion
  Rate”

  	
   

  	
  13.01

  
	
  “Designated
  Event Expiration Time”

  	
   

  	
  14.01

  
	
  “Designated
  Event Repurchase Date”

  	
   

  	
  14.01

  
	
  “Designated
  Event Repurchase Notice”

  	
   

  	
  14.01

  
	
  “Designated
  Event Repurchase Price”

  	
   

  	
  14.01

  
	
  “Designated
  Event Repurchase Right Notice”

  	
   

  	
  14.01

  
	
  “Distributed
  Property”

  	
   

  	
  13.04

  
	
  “Dividend
  Threshold Amount”

  	
   

  	
  13.04

  
	
  “DTC”

  	
   

  	
  2.03

  
	
  “Effective Date”

  	
   

  	
  13.01

  
	
  “Event of
  Default”

  	
   

  	
  6.01

  
	
  “Measurement
  Period”

  	
   

  	
  13.01

  
	
  “Merger Event”

  	
   

  	
  13.10

  
	
  “Notice of
  Conversion”

  	
   

  	
  13.02

  
	
  “Payment
  Blockage Notice”

  	
   

  	
  10.03

  
	
  “Payment
  Default”

  	
   

  	
  6.01

  
	
  “Paying Agent”

  	
   

  	
  2.03

  
	
  “Reference
  Property”

  	
   

  	
  13.10

  
	
  “Registrar”

  	
   

  	
  2.03

  
	
  “Relevant Date”

  	
   

  	
  13.04

  

 

 14
 

 

	
  Term

  	
   

  	
  Defined

  in Section

  
	
   

  	
   

  	
   

  
	
  “Spin-Off”

  	
   

  	
  13.04

  
	
  “Successor
  Company”

  	
   

  	
  5.01

  
	
  “Trading Price
  Condition”

  	
   

  	
  13.01

  
	
  “Trigger Event”

  	
   

  	
  13.04

  

 

Section 1.03.            Incorporation
by Reference of Trust Indenture Act.

This Indenture is subject to the mandatory provisions
of the TIA, which are incorporated by reference in and made a part of this
Indenture.

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

“indenture securities” means the Notes;

“indenture security Holder” means a Holder of a Note;

“indenture to be qualified” means this Indenture;

“indenture trustee” or “institutional trustee” means
the Trustee; and

“obligor” on the Notes and the Subsidiary Guarantees
means the Company and the Guarantors, respectively, and any successor obligor
upon the Notes and the Subsidiary Guarantees, respectively.

All other terms used in this Indenture that are
defined by the TIA, defined by TIA reference to another statute or defined by
SEC rule under the TIA have the meanings so assigned to them.

Section 1.04.            Rules
of Construction.

Unless the context otherwise requires:

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

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

(c)           “or” is not exclusive;

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

(e)           provisions apply to successive events and
transactions; and

 15
 

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

ARTICLE 2

THE NOTES

Section 2.01.            Form
and Dating.

(a)           General.  The Notes and the Trustee’s certificate of
authentication shall be substantially in the form of Exhibit A hereto. The
Notes may have notations, legends or endorsements required by law, stock
exchange rule or usage. Each Note shall be dated the date of its
authentication. The Notes shall be in denominations of $1,000 and integral multiples
of $1,000 in excess thereof.

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

(b)           Global Notes.  Notes issued in global form shall be
substantially in the form of Exhibit A attached hereto (including the
Global Note Legend thereon and the “Schedule of Exchanges of Interests in
the Global Note” attached thereto). Notes issued in definitive form shall
be substantially in the form of Exhibit A attached hereto (but without the
Global Note Legend thereon and without the “Schedule of Exchanges of
Interests in the Global Note” attached thereto). Each Global Note shall
represent such of the outstanding Notes as shall be specified therein and each
shall provide that it shall represent the aggregate principal amount of
outstanding Notes from time to time endorsed thereon and that the aggregate
principal amount of outstanding Notes represented thereby may from time to time
be reduced or increased, as appropriate, to reflect exchanges and redemptions.
Any endorsement of a Global Note to reflect the amount of any increase or
decrease in the aggregate principal amount of outstanding Notes represented
thereby shall be made by the Trustee or the Custodian, at the direction of the
Trustee, in accordance with instructions given by the Holder thereof as
required by Section 2.06 hereof.

(c)           Definitive Notes.  Notes issued in non-global form shall be
substantially in the form of Exhibit A attached hereto except that such Note
shall not bear the Global Note Legend and shall not have the “Schedule of
Exchanges of Interests in the Global Note” attached thereto.

Section 2.02.            Execution
and Authentication.

An Officer shall sign the Notes for the Company by
manual or facsimile signature.

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

 16
 

A Note shall not be valid until authenticated by the
manual signature of the Trustee. The signature shall be conclusive evidence
that the Note has been authenticated under this Indenture.

On the Issue Date, the Trustee shall, upon a written
order of the Company signed by an Officer (an “Authentication Order”),
authenticate Notes for original issue up to $115,000,000 in aggregate principal
amount and, upon delivery of any Authentication Order at any time and from time
to time thereafter, the Trustee shall authenticate Notes for original issue in
an aggregate principal amount specified in such Authentication Order.

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

Section 2.03.            Registrar,
Paying Agent and Conversion Agent.

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

The Company initially appoints The Depository Trust
Company (“DTC”) to act as Depositary with respect to the Global Notes.

The Company initially appoints the Trustee to act as
the Registrar, Paying Agent and Conversion Agent and to act as Custodian with
respect to the Global Notes.

Section 2.04.            Paying
Agent to Hold Money in Trust.

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

 17
 

of the Holders all money held by it as Paying Agent.
Upon any bankruptcy or reorganization proceedings relating to the Company, the
Trustee shall serve as Paying Agent for the Notes.

Section 2.05.            Holder
Lists.

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

Section 2.06.            Transfer
and Exchange.

(a)           Transfer and Exchange of Global Notes.
A Global Note may not be transferred as a whole except by the Depositary to a
nominee of the Depositary, by a nominee of the Depositary to the Depositary or
to another nominee of the Depositary, or by the Depositary or any such nominee
to a successor Depositary or a nominee of such successor Depositary. All Global
Notes will be exchanged by the Company for Definitive Notes if (i) the Company
delivers to the Trustee notice from the Depositary that it is unwilling or
unable to continue to act as Depositary or that it is no longer a clearing
agency registered under the Exchange Act and, in either case, a successor
Depositary is not appointed by the Company within 120 days after the date of
such notice from the Depositary or (ii) the Company in its sole discretion
determines that the Global Notes (in whole but not in part) should be exchanged
for Definitive Notes and delivers a written notice to such effect to the
Trustee. Upon the occurrence of either of the preceding events in (i) or (ii)
above, Definitive Notes shall be issued in such names as the Depositary shall
instruct the Trustee. Global Notes also may be exchanged or replaced, in whole
or in part, as provided in Sections 2.07 and 2.10 hereof. Every Note
authenticated and delivered in exchange for, or in lieu of, a Global Note or
any portion thereof, pursuant to this Section 2.06 or Section 2.07 or 2.10 hereof,
shall be authenticated and delivered in the form of, and shall be, a Global
Note. A Global Note may not be exchanged for another Note other than as
provided in this Section 2.06(a), however, beneficial interests in a Global
Note may be transferred and exchanged as provided in Section 2.06(b) or (c)
hereof.

(b)           Transfer and Exchange of Beneficial
Interests in the Global Notes.  The
transfer and exchange of beneficial interests in the Global Notes shall be
effected through the Depositary, in accordance with the provisions of this
Indenture and the Applicable Procedures. Beneficial interests in the Restricted
Global Notes shall be subject to the restrictions set forth herein to the
extent required by the Securities Act. Transfers of beneficial interests in the
Global Notes also shall require compliance with either subparagraph (i) or
(ii) below, as applicable, as well as one or more of the other following
subparagraphs, as applicable:

(i)            Transfer
of Beneficial Interests in the Same Global Note. Beneficial interests in
any Restricted Global Note may be transferred to Persons who take delivery
thereof in the form of a beneficial interest in the same Restricted Global Note
in accordance with the transfer restrictions set forth in the Private Placement
Legend. Beneficial interests in any Unrestricted Global Note may be transferred
to Persons who take delivery thereof in the form of a beneficial interest in an
Unrestricted Global Note. 

 18
 

No written
orders or instructions shall be required to be delivered to the Registrar to
effect the transfers described in this Section 2.06(b)(i).

(ii)           All
Other Transfers and Exchanges of Beneficial Interests in Global Notes. In
connection with all transfers and exchanges of beneficial interests that are
not subject to Section 2.06(b)(i) above, the transferor of such beneficial
interest must deliver to the Registrar either (A) (1) a written order from a
Participant or an Indirect Participant given to the Depositary in accordance
with the Applicable Procedures directing the Depositary to credit or cause to
be credited a beneficial interest in another Global Note in an amount equal to
the beneficial interest to be transferred or exchanged and (2) instructions
given in accordance with the Applicable Procedures containing information
regarding the Participant account to be credited with such increase or (B) (1)
a written order from a Participant or an Indirect Participant given to the
Depositary in accordance with the Applicable Procedures directing the
Depositary to cause to be issued a Definitive Note in an amount equal to the
beneficial interest to be transferred or exchanged and (2) instructions given
by the Depositary to the Registrar containing information regarding the Person
in whose name such Definitive Note shall be registered to effect the transfer
or exchange referred to in (1) above. Upon satisfaction of all of the
requirements for transfer or exchange of beneficial interests in Global Notes
contained in this Indenture and the Notes or otherwise applicable under the
Securities Act, the Trustee shall adjust the principal amount of the relevant
Global Note(s) pursuant to Section 2.06(g) hereof.

(iii)          Transfer
of Beneficial Interests to Another Restricted Global Note. A beneficial
interest in any Restricted Global Note may be transferred to a Person who takes
delivery thereof in the form of a beneficial interest in another Restricted
Global Note if the transfer complies with the requirements of Section
2.06(b)(ii) above and the Registrar receives the following:

(A)          if
the transferee will take delivery in the form of a beneficial interest in the
Restricted Global Note, then the transferor must deliver a certificate in the
form of Exhibit B hereto, including the certifications in item (1) thereof; and

(B)           if
the transferee is an Institutional Accredited Investor who will take delivery
in the form of a beneficial interest in the Restricted Global Note, then the
transferor must deliver a certificate in the form of Exhibit B hereto,
including the certifications and certificates and Opinion of Counsel required
by item (3) thereof, if applicable.

(iv)          Transfer
and Exchange of Beneficial Interests in a Restricted Global Note for Beneficial
Interests in the Unrestricted Global Note. A beneficial interest in any
Restricted Global Note may be exchanged by any holder thereof for a beneficial
interest in an Unrestricted Global Note or transferred to a Person who takes
delivery thereof in the form of a beneficial interest in an Unrestricted Global
Note if the exchange or transfer complies with the requirements of Section
2.06(b)(ii) above and:

(A)          such
transfer is effected pursuant to the Shelf Registration Statement in accordance
with the Registration Rights Agreement; or

 19
 

(B)           the
Registrar receives the following:

(1)           if
the holder of such beneficial interest in a Restricted Global Note proposes to
exchange such beneficial interest for a beneficial interest in an Unrestricted
Global Note, a certificate from such holder in the form of Exhibit C hereto,
including the certifications in item (1)(a) thereof; or

(2)           if
the holder of such beneficial interest in a Restricted Global Note proposes to
transfer such beneficial interest to a Person who shall take delivery thereof
in the form of a beneficial interest in an Unrestricted Global Note, a
certificate from such holder in the form of Exhibit B hereto, including the
certifications in item (4) thereof;

and, in each such
case set forth in this subparagraph (B), if the Applicable Procedures so
require, an Opinion of Counsel to the effect that such exchange or transfer is
in compliance with the Securities Act and that the restrictions on transfer
contained herein and in the Private Placement Legend are no longer required in
order to maintain compliance with the Securities Act.

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

Beneficial interests in an Unrestricted Global Note
cannot be exchanged for, or transferred to Persons who take delivery thereof in
the form of, a beneficial interest in a Restricted Global Note.

(c)           Transfer or Exchange of Beneficial
Interests for Definitive Notes.

(i)            Beneficial
Interests in Restricted Global Notes to Restricted Definitive Notes. If any
holder of a beneficial interest in a Restricted Global Note proposes to
exchange such beneficial interest for a Restricted Definitive Note or to
transfer such beneficial interest to a Person who takes delivery thereof in the
form of a Restricted Definitive Note, then, upon receipt by the Registrar of
the following documentation:

(A)          if
the holder of such beneficial interest in a Restricted Global Note proposes to
exchange such beneficial interest for a Restricted Definitive Note, a
certificate from such holder in the form of Exhibit C hereto, including the
certifications in item (2)(a) thereof;

(B)           if
such beneficial interest is being transferred to a QIB in accordance with Rule
144A under the Securities Act, a certificate to the effect set forth in Exhibit
B hereto, including the certifications in item (1) thereof;

 20

(C)           if
such beneficial interest is being transferred pursuant to an exemption from the
registration requirements of the Securities Act in accordance with Rule 144
under the Securities Act, a certificate to the effect set forth in Exhibit B
hereto, including the certifications in item (3)(a) thereof;

(D)          if
such beneficial interest is being transferred to an Institutional Accredited
Investor in reliance on an exemption from the registration requirements of the
Securities Act other than those listed in subparagraphs (B) and (C) above, a
certificate to the effect set forth in Exhibit B hereto, including the
certifications, certificates and Opinion of Counsel required by item (3)
thereof, if applicable;

(E)           if
such beneficial interest is being transferred to the Company or any of its
Subsidiaries, a certificate to the effect set forth in Exhibit B hereto,
including the certifications in item (3)(b) thereof; or

(F)           if
such beneficial interest is being transferred pursuant to an effective
registration statement under the Securities Act, a certificate to the effect
set forth in Exhibit B hereto, including the certifications in item (3)(c)
thereof,

the Trustee shall cause the aggregate principal amount
of the applicable Global Note to be reduced accordingly pursuant to Section
2.06(g) hereof, and the Company shall execute and the Trustee shall
authenticate and deliver to the Person designated in the instructions a
Definitive Note in the appropriate principal amount. Any Definitive Note issued
in exchange for a beneficial interest in a Restricted Global Note pursuant to
this Section 2.06(c) shall be registered in such name or names and in such
authorized denomination or denominations as the holder of such beneficial
interest shall instruct the Registrar through instructions from the Depositary
and the Participant or Indirect Participant. The Trustee shall deliver such
Definitive Notes to the Persons in whose names such Notes are so registered.
Any Definitive Note issued in exchange for a beneficial interest in a Restricted
Global Note pursuant to this Section 2.06(c)(i) shall bear the Private
Placement Legend and shall be subject to all restrictions on transfer contained
therein.

(ii)           Beneficial
Interests in Restricted Global Notes to Unrestricted Definitive Notes. A
holder of a beneficial interest in a Restricted Global Note may exchange such
beneficial interest for an Unrestricted Definitive Note or may transfer such
beneficial interest to a Person who takes delivery thereof in the form of an
Unrestricted Definitive Note only if:

(A)          such
transfer is effected pursuant to the Shelf Registration Statement in accordance
with the Registration Rights Agreement;

(B)           the
Registrar receives the following:

(1)           if
the holder of such beneficial interest in a Restricted Global Note proposes to
exchange such beneficial interest for a Definitive Note that does not bear the
Private Placement Legend, a 

 21
 

certificate
from such holder in the form of Exhibit C hereto, including the certifications
in item (1)(b) thereof; or

(2)           if
the holder of such beneficial interest in a Restricted Global Note proposes to
transfer such beneficial interest to a Person who shall take delivery thereof
in the form of a Definitive Note that does not bear the Private Placement
Legend, a certificate from such holder in the form of Exhibit B hereto,
including the certifications in item (4) thereof;

and, in each such case set forth in this subparagraph
(B), if the Applicable Procedures so require, an Opinion of Counsel to the
effect that such exchange or transfer is in compliance with the Securities Act
and that the restrictions on transfer contained herein and in the Private
Placement Legend are no longer required in order to maintain compliance with
the Securities Act.

(iii)          Beneficial
Interests in Unrestricted Global Notes to Unrestricted Definitive Notes. If
any holder of a beneficial interest in an Unrestricted Global Note proposes to
exchange such beneficial interest for a Definitive Note or to transfer such
beneficial interest to a Person who takes delivery thereof in the form of a
Definitive Note, then, upon satisfaction of the conditions set forth in Section
2.06(b)(ii) hereof, the Trustee shall cause the aggregate principal amount of
the applicable Global Note to be reduced accordingly pursuant to Section 2.06(g)
hereof, and the Company shall execute and the Trustee shall authenticate and
deliver to the Person designated in the instructions a Definitive Note in the
appropriate principal amount. Any Definitive Note issued in exchange for a
beneficial interest pursuant to this Section 2.06(c)(iii) shall be registered
in such name or names and in such authorized denomination or denominations as
the holder of such beneficial interest shall instruct the Registrar through
instructions from the Depositary and the Participant or Indirect Participant.
The Trustee shall deliver such Definitive Notes to the Persons in whose names
such Notes are so registered. Any Definitive Note issued in exchange for a
beneficial interest pursuant to this Section 2.06(c)(iii) shall not bear the
Private Placement Legend.

(d)           Transfer and Exchange of Definitive Notes
for Beneficial Interests.

(i)            Restricted
Definitive Notes to Beneficial Interests in Restricted Global Notes. If any
Holder of a Restricted Definitive Note proposes to exchange such Note for a
beneficial interest in a Restricted Global Note or to transfer such Restricted
Definitive Notes to a Person who takes delivery thereof in the form of a
beneficial interest in a Restricted Global Note, then, upon receipt by the
Registrar of the following documentation:

(A)          if
the Holder of such Restricted Definitive Note proposes to exchange such Note
for a beneficial interest in a Restricted Global Note, a certificate from such
Holder in the form of Exhibit C hereto, including the certifications in item
(2)(b) thereof;

(B)           if
such Restricted Definitive Note is being transferred to a QIB in accordance
with Rule 144A under the Securities Act, a certificate to the 

 22
 

effect set
forth in Exhibit B hereto, including the certifications in item (1) thereof;

(C)           if
such Restricted Definitive Note is being transferred pursuant to an exemption
from the registration requirements of the Securities Act in accordance with
Rule 144 under the Securities Act, a certificate to the effect set forth in
Exhibit B hereto, including the certifications in item (3)(a) thereof;

(D)          if
such Restricted Definitive Note is being transferred to an Institutional
Accredited Investor in reliance on an exemption from the registration
requirements of the Securities Act other than those listed in subparagraphs (B)
and (C) above, a certificate to the effect set forth in Exhibit B hereto,
including the certifications, certificates and Opinion of Counsel required by
item (3) thereof, if applicable;

(E)           if
such Restricted Definitive Note is being transferred to the Company or any of
its Subsidiaries, a certificate to the effect set forth in Exhibit B hereto,
including the certifications in item (3)(b) thereof; or

(F)           if
such Restricted Definitive Note is being transferred pursuant to an effective
registration statement under the Securities Act, a certificate to the effect
set forth in Exhibit B hereto, including the certifications in item (3)(c)
thereof,

the Trustee shall cancel the Restricted Definitive
Note, increase or cause to be increased the aggregate principal amount of the
appropriate Restricted Global Note.

(ii)           Restricted
Definitive Notes to Beneficial Interests in Unrestricted Global Notes. A
Holder of a Restricted Definitive Note may exchange such Note for a beneficial
interest in an Unrestricted Global Note or transfer such Restricted Definitive
Note to a Person who takes delivery thereof in the form of a beneficial
interest in an Unrestricted Global Note only if:

(A)          such
transfer is effected pursuant to the Shelf Registration Statement in accordance
with the Registration Rights Agreement;

(B)           the
Registrar receives the following:

(1)           if
the Holder of such Definitive Notes proposes to exchange such Notes for a
beneficial interest in the Unrestricted Global Note, a certificate from such
Holder in the form of Exhibit C hereto, including the certifications in item
(1)(c) thereof; or

(2)           if
the Holder of such Definitive Notes proposes to transfer such Notes to a Person
who shall take delivery thereof in the form of a beneficial interest in the
Unrestricted Global Note, a certificate from such Holder in the form of Exhibit
B hereto, including the certifications in item (4) thereof;

 23
 

and, in each such case
set forth in this subparagraph (B), if the Applicable Procedures so require, an
Opinion of Counsel to the effect that such exchange or transfer is in
compliance with the Securities Act and that the restrictions on transfer
contained herein and in the Private Placement Legend are no longer required in
order to maintain compliance with the Securities Act.

Upon satisfaction
of the conditions of any of the subparagraphs in this Section 2.06(d)(ii), the
Trustee shall cancel the Definitive Notes and increase or cause to be increased
the aggregate principal amount of the Unrestricted Global Note.

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

If any such exchange or
transfer from a Definitive Note to a beneficial interest is effected pursuant
to subparagraphs (ii) or (iii) above at a time when an Unrestricted Global Note
has not yet been issued, the Company shall issue and, upon receipt of an
Authentication Order in accordance with Section 2.02 hereof, the Trustee shall
authenticate one or more Unrestricted Global Notes in an aggregate principal amount
equal to the principal amount of Definitive Notes so transferred.

(e)           Transfer and Exchange of Definitive Notes
for Definitive Notes. Upon request by a Holder of Definitive Notes and such
Holder’s compliance with the provisions of this Section 2.06(e), the Registrar
shall register the transfer or exchange of Definitive Notes. Prior to such
registration of transfer or exchange, the requesting Holder shall present or
surrender to the Registrar the Definitive Notes duly endorsed or accompanied by
a written instruction of transfer in form satisfactory to the Registrar duly
executed by such Holder or by its attorney, duly authorized in writing. In
addition, the requesting Holder shall provide any additional certifications,
documents and information, as applicable, required pursuant to the following
provisions of this Section 2.06(e).

(i)            Restricted
Definitive Notes to Restricted Definitive Notes. Any Restricted Definitive
Note may be transferred to and registered in the name of Persons who take
delivery thereof in the form of a Restricted Definitive Note if the Registrar
receives the following:

(A)          if
the transfer will be made pursuant to Rule 144A under the Securities Act, then
the transferor must deliver a certificate in the form of Exhibit B hereto,
including the certifications in item (1) thereof; or

(B)           if
the transfer will be made pursuant to any other exemption from the registration
requirements of the Securities Act, then the transferor must deliver a
certificate in the form of Exhibit B hereto, including the 

 24
 

certifications,
certificates and Opinion of Counsel required by item (3) thereof, if
applicable.

(ii)           Restricted
Definitive Notes to Unrestricted Definitive Notes. Any Restricted
Definitive Note may be exchanged by the Holder thereof for an Unrestricted
Definitive Note or transferred to a Person or Persons who take delivery thereof
in the form of an Unrestricted Definitive Note if:

(A)          any
such transfer is effected pursuant to the Shelf Registration Statement in
accordance with the Registration Rights Agreement;

(B)           the
Registrar receives the following:

(1)           if
the Holder of such Restricted Definitive Notes proposes to exchange such Notes
for an Unrestricted Definitive Note, a certificate from such Holder in the form
of Exhibit C hereto, including the certifications in item (1)(d) thereof; or

(2)           if
the Holder of such Restricted Definitive Notes proposes to transfer such Notes
to a Person who shall take delivery thereof in the form of an Unrestricted
Definitive Note, a certificate from such Holder in the form of Exhibit B
hereto, including the certifications in item (4) thereof;

and, in each such
case set forth in this subparagraph (B), an Opinion of Counsel in form
reasonably acceptable to the Company to the effect that such exchange or
transfer is in compliance with the Securities Act and that the restrictions on
transfer contained herein and in the Private Placement Legend are no longer
required in order to maintain compliance with the Securities Act.

(iii)          Unrestricted
Definitive Notes to Unrestricted Definitive Notes. A Holder of Unrestricted
Definitive Notes may transfer such Notes to a Person who takes delivery thereof
in the form of an Unrestricted Definitive Note. Upon receipt of a request to
register such a transfer, the Registrar shall register the Unrestricted
Definitive Notes pursuant to the instructions from the Holder thereof.

(f)            Legends. The following legends shall
appear on the face of all Global Notes and Definitive Notes issued under this
Indenture unless specifically stated otherwise in the applicable provisions of
this Indenture.

(i)            Private
Placement Legend.

(A)          Except
as permitted by subparagraph (B) below, each Global Note and each Definitive
Note (and all Notes issued in exchange therefor or substitution thereof) shall
bear the legend in substantially the following form:

“THIS NOTE AND ANY COMMON STOCK ISSUABLE UPON THE
CONVERSION OF THIS NOTE HAVE NOT BEEN REGISTERED UNDER THE U.S. SECURITIES ACT
OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND MAY NOT BE SOLD OR 

 25
 

OTHERWISE TRANSFERRED IN THE ABSENCE OF SUCH
REGISTRATION OR AN APPLICABLE EXEMPTION THEREFROM. EACH PURCHASER OF THIS NOTE
IS HEREBY NOTIFIED THAT THE SELLER OF THIS NOTE MAY BE RELYING ON THE EXEMPTION
FROM THE PROVISIONS OF SECTION 5 OF THE SECURITIES ACT PROVIDED BY RULE 144A
THEREUNDER.

THIS NOTE AND ANY COMMON STOCK ISSUABLE UPON THE
CONVERSION OF THIS NOTE MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE
TRANSFERRED EXCEPT (A) (1) TO A PERSON WHO THE TRANSFEROR REASONABLY BELIEVES
IS A QUALIFIED INSTITUTIONAL BUYER WITHIN THE MEANING OF RULE 144A UNDER THE
SECURITIES ACT ACQUIRING FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED
INSTITUTIONAL BUYER IN A TRANSACTION MEETING THE REQUIREMENTS OF RULE 144A, (2)
PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT PROVIDED BY
RULE 144 THEREUNDER (IF AVAILABLE), (3) TO AN INSTITUTIONAL INVESTOR THAT IS AN
ACCREDITED INVESTOR WITHIN THE MEANING OF RULE 501(a)(1), (2), (3) OR (7) OF
REGULATION D UNDER THE SECURITIES ACT PURSUANT TO AN EXEMPTION FROM REGISTRATION
UNDER THE SECURITIES ACT (IF AVAILABLE) OR (4) PURSUANT TO AN EFFECTIVE
REGISTRATION STATEMENT UNDER THE SECURITIES ACT, AND (B) IN ACCORDANCE WITH ALL
APPLICABLE SECURITIES LAWS OF THE STATES OF THE UNITED STATES AND OTHER
JURISDICTIONS.

THIS NOTE, ANY SHARES OF COMMON STOCK ISSUABLE UPON
ITS CONVERSION AND ANY RELATED DOCUMENTATION MAY BE AMENDED OR SUPPLEMENTED
FROM TIME TO TIME TO MODIFY THE RESTRICTIONS ON RESALES AND OTHER TRANSFERS OF
THIS NOTE AND ANY SUCH SHARES TO REFLECT ANY CHANGE IN APPLICABLE LAW OR
REGULATION (OR THE INTERPRETATION THEREOF) OR IN PRACTICES RELATING TO THE
RESALE OR TRANSFER OF RESTRICTED SECURITIES GENERALLY.  THE HOLDER OF THIS NOTE AND SUCH SHARES SHALL
BE DEEMED BY THE ACCEPTANCE OF THIS NOTE AND ANY SUCH SHARES TO HAVE AGREED TO
ANY SUCH AMENDMENT OR SUPPLEMENT.”

(B)           Notwithstanding
the foregoing, any Global Note or Definitive Note issued pursuant to
subparagraphs (b)(iv), (c)(ii), (c)(iii), (d)(ii), (d)(iii), (e)(ii) or
(e)(iii) of this Section 2.06 (and all Notes issued in exchange therefor or
substitution thereof) shall not bear the Private Placement Legend.

(ii)           Global
Note Legend. Each Global Note shall bear a legend in substantially the
following form:

“THIS GLOBAL NOTE IS HELD BY THE DEPOSITARY (AS
DEFINED IN THE INDENTURE GOVERNING THIS NOTE) OR ITS NOMINEE IN CUSTODY FOR THE
BENEFIT OF THE BENEFICIAL OWNERS HEREOF, AND IS NOT TRANSFERABLE TO ANY PERSON
UNDER ANY CIRCUMSTANCES EXCEPT THAT (I) THE TRUSTEE MAY MAKE SUCH NOTATIONS
HEREON AS MAY BE REQUIRED PURSUANT TO SECTION 2.07 OF THE INDENTURE, (II) THIS
GLOBAL NOTE MAY BE EXCHANGED IN WHOLE BUT NOT IN PART PURSUANT TO SECTION
2.06(a) OF THE INDENTURE, (III) THIS GLOBAL NOTE MAY BE DELIVERED TO THE
TRUSTEE FOR CANCELLATION PURSUANT TO SECTION 2.11 OF THE INDENTURE AND (IV)
THIS GLOBAL NOTE 

 26
 

MAY BE TRANSFERRED TO A SUCCESSOR DEPOSITARY WITH THE
PRIOR WRITTEN CONSENT OF THE COMPANY.”

(g)           Cancellation and/or Adjustment of Global
Notes. At such time as all beneficial interests in a particular Global Note
have been exchanged for Definitive Notes or a particular Global Note has been
redeemed, repurchased or canceled in whole and not in part, each such Global
Note shall be returned to or retained and canceled by the Trustee in accordance
with Section 2.11 hereof. At any time prior to such cancellation, if any
beneficial interest in a Global Note is exchanged for or transferred to a
Person who will take delivery thereof in the form of a beneficial interest in
another Global Note or for Definitive Notes, the principal amount of Notes
represented by such Global Note shall be reduced accordingly and an endorsement
shall be made on such Global Note by the Trustee or by the Depositary at the
direction of the Trustee to reflect such reduction; and if the beneficial
interest is being exchanged for or transferred to a Person who will take
delivery thereof in the form of a beneficial interest in another Global Note,
such other Global Note shall be increased accordingly and an endorsement shall
be made on such Global Note by the Trustee or by the Depositary at the
direction of the Trustee to reflect such increase.

(h)           General Provisions Relating to Transfers
and Exchanges.

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

(ii)           No
service charge shall be made to a holder of a beneficial interest in a Global
Note or to a Holder of a Definitive Note for any registration of transfer or exchange,
but the Company may require payment of a sum sufficient to cover any transfer
tax or similar governmental charge payable in connection therewith (other than
any such transfer taxes or similar governmental charge payable upon exchange or
transfer pursuant to Sections 2.10 and 9.05 hereof).

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

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

(v)           The
Company shall not be required (A) to issue, to register the transfer of or to
exchange any Notes surrendered for conversion during a period beginning at the
opening of business 15 days before the day of any surrender of Notes for
conversion pursuant to Article 13 and ending at the close of business on the
day of surrender, (B) to register the transfer of or to exchange or convert any
Note so surrendered for conversion in whole or in part, except the
unsurrendered portion of any Note being converted in part or (C) to register
the transfer of or to exchange or convert a Note between a record date and the
next succeeding Interest Payment Date.

 27
 

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

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

(viii)        All
certifications, certificates and Opinions of Counsel required to be submitted
to the Registrar pursuant to this Section 2.06 to effect a registration of
transfer or exchange may be submitted by facsimile.

(ix)           The
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 Note
(including any transfers between or among Depositary Participants or Beneficial
Owners of interests in any Global Note) 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 Indenture,
and to examine the same to determine substantial compliance as to form with the
express requirements hereof.

Section 2.07.            Replacement
Notes.

If a mutilated Note is surrendered to the Registrar or
if the Holder of a Note claims that the Note has been lost, destroyed or
wrongfully taken, the Company shall issue and the Trustee shall authenticate,
upon receipt of an Authentication Order, a replacement Security. If required by
the Trustee or the Company, such Holder shall furnish an indemnity bond
sufficient in the judgment of the Company and the Trustee to protect the
Company, the Trustee, the Paying Agent, the Registrar and any co-registrar from
any loss which any of them may suffer if a Note is replaced. The Company and the
Trustee may charge the Holder for their expenses in replacing a Note.

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

Section 2.08.            Outstanding
Notes.

The Notes outstanding at any time are all the Notes
authenticated by the Trustee except for those canceled by it, those delivered
to it for cancellation, those reductions in the interest in a Global Note effected
by the Trustee in accordance with the provisions hereof, and those described in
this Section as not outstanding. Except as set forth in Section 2.09 hereof, a
Note does not cease to be outstanding because the Company or an Affiliate of
the Company holds the Note.

 28
 

If a Note is replaced pursuant to Section 2.07 hereof,
it ceases to be outstanding unless the Trustee and the Company receive proof
satisfactory to them that the replaced Note is held by a bona fide purchaser.

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

If the Paying Agent (other than the Company, a
Subsidiary or an Affiliate of any thereof) segregates and holds in trust, in
accordance with this Indenture, on a repurchase date or maturity date money
sufficient to pay all principal and interest payable on that date with respect
to the Notes (or portions thereof) to be repurchased or maturing, as the case
may be, and the Paying Agent is not prohibited from paying such money to the
Holders on that date pursuant to the terms of this Indenture, then on and after
that date such Notes (or portions thereof) cease to be outstanding and interest
on them ceases to accrue.

Section 2.09.            Treasury
Notes.

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

Section 2.10.            Temporary
Notes.

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

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

Section 2.11.            Cancellation.

The Company at any time may deliver Notes to the
Trustee for cancellation. The Registrar and Paying Agent shall forward to the
Trustee any Notes surrendered to them for registration of transfer, exchange or
payment. The Trustee and no one else shall cancel and dispose of such Notes in
its customary manner (subject to the record retention requirements of the
Exchange Act) all Notes surrendered for registration of transfer, exchange,
payment or cancellation and deliver a certificate of such disposal to the
Company unless the Company directs the Trustee to deliver canceled Notes to the
Company. Certification of the disposition of all canceled Notes shall be
delivered to the Company. The Company may not issue new Notes to replace Notes
that it has redeemed or paid or that have been delivered to the Trustee for
cancellation.

 29
 

Section 2.12.            Defaulted
Interest.

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

Section 2.13.            CUSIP
Numbers.

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

Section 2.14.            Issuance
of Additional Notes.

The Company shall be entitled to issue Additional
Notes under this Indenture which shall have identical terms as the Initial
Notes, other than with respect to the date of issuance and issue price in an
unlimited aggregate principal amount. 
The Initial Notes and any Additional Notes shall be treated as a single
class for all purposes under this Indenture.

With respect to any Additional Notes, the Company
shall set forth in a resolution of the Board of Directors and an Officers’
Certificate, a copy of each which shall be delivered to the Trustee, the
following information:

(a)           the aggregate principal amount of such
Additional Notes to be authenticated and delivered pursuant to this Indenture;

(b)           the issue price, the issue date and the
CUSIP number of such Additional Notes; provided that
no Additional Notes may be issued unless fungible with the Initial Notes for
U.S. federal income tax purposes; and

(c)           whether such Additional Notes shall be
transfer restricted notes and issued in the form of Initial Notes as set forth
in Section 2.02 this Indenture.

 30

ARTICLE 3

REDEMPTION

Section 3.01.            No
Redemption or Sinking Fund.

The Notes may not be redeemed at the option of the
Company prior to Maturity.  The Company
shall not be required to make mandatory redemption or sinking fund payments
with respect to the Notes.

ARTICLE 4

COVENANTS

Section 4.01.            Payment
of Notes.

The Company shall pay or cause to be paid the
principal of, and interest on, the Notes on the dates and in the manner
provided in the Notes. Principal and interest shall be considered paid on the
date due if the Paying Agent, other than the Company or a Subsidiary thereof or
an Affiliate of any thereof, holds as of 10:00 a.m. Eastern Time on the due
date money deposited by the Company in immediately available funds and
designated for and sufficient to pay all principal and interest then due. The
Company shall pay all Special Interest, if any, in the same manner on the dates
and in the amounts set forth in the Registration Rights Agreement.

Interest on the Notes shall be computed on the basis
of a 360 day year of twelve 30-day months.

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

Section 4.02.            Maintenance
of Office or Agency.

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

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

 31
 

written notice to the Trustee of any such designation
or rescission and of any change in the location of any such other office or
agency.

The Company hereby designates the Corporate Trust
Office of the Trustee as one such office or agency of the Company in accordance
with Section 2.03.

Section 4.03.            Reports.

(a)           Whether or not required by the rules and
regulations of the SEC, so long as any Notes are outstanding, the Company shall
furnish to the Holders (i) all quarterly and annual financial information that
would be required to be contained in a filing with the SEC on Forms 10-Q and
10-K if the Company were required to file such forms, including a “Management’s
Discussion and Analysis of Financial Condition and Results of Operations” and,
with respect to the annual information only, a report on the annual financial
statements by the Company’s certified independent accountants and (ii) all
current reports that would be required to be filed with the SEC on Form 8-K if
the Company were required to file such reports, in each case, within the time
periods specified in the SEC’s rules and regulations. In addition, after the
Shelf Registration Statement becomes effective, whether or not required by the
SEC, the Company shall file a copy of all the information and reports referred
to in clauses (i) and (ii) hereof with the SEC for public availability within
the time periods specified in the SEC’s rules and regulations (unless the SEC
will not accept such a filing) and make such information available to
securities analysts and prospective investors upon request.  The Company shall at all times comply with
TIA § 314(a).

(b)           For so long as any Notes remain outstanding,
the Company and the Guarantors shall furnish to the Holders and to securities
analysts and prospective investors, upon their request, the information
required to be delivered pursuant to Rule 144A(d)(4) under the Securities Act.

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

Section 4.04.            Compliance
Certificate.

(a)           The Company and each Guarantor (to the
extent that such Guarantor is so required under the TIA) shall deliver to the
Trustee, within 90 days after the end of each fiscal year, an Officers’
Certificate stating that a review of the activities of the Company and its
Subsidiaries during the preceding fiscal year has been made under the
supervision of the signing Officers with a view to determining whether the Company
has kept, observed, performed and fulfilled its obligations under this
Indenture, and further stating, as to each such Officer signing such
certificate, that to the best of his or her knowledge the Company has kept,
observed, performed and fulfilled each and every covenant contained in this
Indenture and is not in default in the performance or observance of any of the
terms, provisions and conditions of this Indenture (or, if a Default or Event
of Default shall have occurred, describing all such Defaults or Events of
Default of which he or she may have knowledge and what action the Company is
taking or proposes to take with respect thereto) and that to the best of his or
her knowledge no event has 

 32
 

occurred and remains in existence by reason
of which payments on account of the principal of or interest, if any, on the
Notes is prohibited or if such event has occurred, a description of the event
and what action the Company is taking or proposes to take with respect thereto.

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

Section 4.05.            Payment
of Taxes and Other Claims.

The Company shall pay, and shall cause each of its
Restricted Subsidiaries to pay, prior to delinquency, all material taxes,
assessments, and governmental levies except such as are contested in good faith
and by appropriate proceedings or where the failure to effect such payment
would not reasonably be expected to be materially adverse to the interests of
the Holders of the Notes.

Section 4.06.            Stay,
Extension and Usury Laws.

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

Section 4.07.            Corporate
Existence.

Subject to Article 5 hereof, the Company shall do or
cause to be done all things necessary to preserve and keep in full force and
effect (i) its corporate existence, and the corporate, partnership or other
existence of each of its Restricted Subsidiaries, in accordance with the
respective organizational documents (as the same may be amended from time to
time) of the Company or any such Restricted Subsidiary and (ii) the rights
(charter and statutory), licenses and franchises of the Company and its
Restricted Subsidiaries; provided that
the Company shall not be required to preserve any such right, license or
franchise, or the corporate, partnership or other existence of any of its
Restricted Subsidiaries, if the Board of Directors shall determine that the
preservation thereof is no longer desirable in the conduct of the business of
the Company and its Subsidiaries, taken as a whole, and that the loss thereof
is not adverse in any material respect to the Holders of the Notes.

 33
 

ARTICLE 5

SUCCESSORS

Section 5.01.            Merger,
Consolidation, or Sale of Assets.

The Company shall not, directly or indirectly
(1) consolidate or merge with or into another Person (whether or not the
Company is the surviving corporation), or (2) sell, assign, transfer,
convey or otherwise dispose of all or substantially all of the properties or
assets of the Company and its Restricted Subsidiaries taken as a whole, in one
or more related transactions to, another Person, unless (i) either (A) the
Company is the surviving corporation or (B) the Person formed by or
surviving any such consolidation or merger (if other than the Company) or to
which such sale, assignment, transfer, conveyance or other disposition shall
have been made is a corporation organized or existing under the laws of the
United States, any state thereof or the District of Columbia (any such Person,
the “Successor Company”), (ii) the Successor Company assumes all the
obligations of the Company under the Notes, this Indenture and the Registration
Rights Agreement pursuant to agreements reasonably satisfactory to the Trustee,
and (iii) immediately after such transaction no Default exists. In addition,
the Company shall not, directly or indirectly, lease all or substantially all
of its properties or assets, in one or more related transactions, to any other
Person. The provisions of this Section 5.01 shall not be applicable to a sale,
assignment, transfer, conveyance or other disposition of assets between or
among the Company and any of the Guarantors.

Section 5.02.            Successor
Company Substituted.

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

ARTICLE 6

DEFAULTS AND REMEDIES

Section 6.01.            Events
of Default.

An “Event of Default” occurs if:

(a)           the Company defaults in the payment when due
of interest on, or Special Interest, if any, with respect to, the Notes and
such default continues for a period of 30 days, whether or not such payment
shall be prohibited by Article 10 hereof;

(b)           the Company defaults in the payment when due
of principal of the Notes when the same becomes due and payable at maturity, upon
redemption (including in connection 

 34
 

with an offer to purchase) or otherwise,
whether or not such payment shall be prohibited by Article 10 hereof;

(c)           the Company fails to comply with the
Conversion Obligation;

(d)           the Company fails to comply with any of the
provisions of Section 5.01 hereof;

(e)           failure by the Company to comply in any
material respect with its notice requirements under or Section 13.01(b) through
(d) or Section 14.01(b) when due;

(f)            the Company fails to observe or perform any
covenant or agreement in this Indenture for 60 days after notice to the Company
by the Trustee or the Holders of at least 25% in aggregate principal amount of
the Notes (including Additional Notes, if any) then outstanding voting as a
single class;

(g)           a default occurs under any mortgage,
indenture or instrument under which there may be issued or by which there may
be secured or evidenced any Indebtedness for money borrowed by the Company or
any of its Restricted Subsidiaries (or the payment of which is guaranteed by
the Company or any of its Restricted Subsidiaries), whether such Indebtedness
or guarantee now exists, or is created after the date of this Indenture, which
default is caused by a failure to pay principal at its stated final maturity
(after giving effect to any applicable grace period provided in such
Indebtedness) (a “Payment Default”) or results in the acceleration of
such Indebtedness prior to its express maturity and, in each case, the
principal amount of any such Indebtedness, together with the principal amount
of any other such Indebtedness under which there has been a Payment Default or
the maturity of which has been so accelerated, aggregates $15.0 million or
more;

(h)           a final judgment or final judgments for the
payment of money are entered by a court or courts of competent jurisdiction
against the Company or any of its Restricted Subsidiaries, and such judgment or
judgments remain not paid, discharged or stayed for a period of 60 days, provided that the aggregate of all such not paid, discharged
or stayed judgments exceeds $15.0 million;

(i)            except as permitted by this Indenture, any
Subsidiary Guarantee is held in any judicial proceeding to be unenforceable or
invalid or shall cease for any reason to be in full force and effect or any
Guarantor, or any Person acting on behalf of any Guarantor, shall deny or
disaffirm its obligations under such Guarantor’s Subsidiary Guarantee;

(j)            the Company or any Restricted Subsidiary of
the Company that is a Significant Subsidiary or any Restricted Subsidiaries of
the Company that taken together would constitute a Significant Subsidiary of
the Company:

(i)            commences
a voluntary case,

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

 35
 

(iii)          consents
to the appointment of a custodian of it or for all or substantially all of its
property,

(iv)          makes
a general assignment for the benefit of its creditors, or

(v)           generally
is not paying its debts as they become due; or

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

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

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

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

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

Section 6.02.            Acceleration.

If any Event of Default (other than an Event of
Default specified in clause (j) or (k) of Section 6.01 hereof with respect to
the Company, any Restricted Subsidiary of the Company or any group of
Restricted Subsidiaries that, taken together, would constitute a Significant
Subsidiary) occurs and is continuing, the Trustee or the Holders of at least
25% in principal amount of the then outstanding Notes may declare all the Notes
to be due and payable immediately. Upon any such declaration, the Notes shall
become due and payable immediately. Upon any such declaration the Notes shall
become due and payable immediately. Notwithstanding the foregoing, if an Event
of Default specified in clause (j) or (k) of Section 6.01 hereof occurs with
respect to the Company, any Restricted Subsidiary of the Company or any group
of Restricted Subsidiaries that, taken together, would constitute a Significant
Subsidiary, all outstanding Notes shall be due and payable immediately without
further action or notice. The Holders of a majority in aggregate principal
amount of the then outstanding Notes by written notice to the Trustee may on
behalf of all of the Holders rescind an acceleration and its consequences if
the rescission would not conflict with any judgment or decree and if all
existing Events of Default (except nonpayment of principal or interest that has
become due solely because of the acceleration) have been cured or waived.

 36
 

Section 6.03.            Other
Remedies.

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

The Trustee may maintain a proceeding even if it does
not possess any of the Notes or does not produce any of them in the proceeding.
A delay or omission by the Trustee or any Holder of a Note in exercising any
right or remedy accruing upon an Event of Default shall not impair the right or
remedy or constitute a waiver of or acquiescence in the Event of Default. Every
right and remedy given by this Article or by law to the Trustee or to the
Holders may be exercised from time to time, and as often as may be deemed
expedient, by the Trustee or by the Holders, as the case may be.

No right or remedy herein conferred upon or reserved
to the Trustee or to the Holders is intended to be exclusive of any other right
or remedy, and every right and remedy shall, to the extent permitted by law, be
cumulative and in addition to every other right and remedy given hereunder or
now or hereafter existing at law or in equity or otherwise. The assertion or
employment of any right or remedy hereunder, or otherwise, shall not prevent
the concurrent assertion or employment of any other appropriate right or
remedy.

Section 6.04.            Waiver
of Past Defaults.

Holders of not less than a majority in aggregate
principal amount of the then outstanding Notes by notice to the Trustee may on
behalf of the Holders of all of the Notes waive an existing Default or Event of
Default and its consequences hereunder, except a continuing Default or Event of
Default in the payment of the principal of, and Special Interest, if any, or
interest on, the Notes including in connection with an offer to purchase (other
than the non-payment of principal of or interest or Special Interest, if any,
on the Notes that became due solely because of the acceleration of the Notes) (provided that the Holders of a majority in aggregate
principal amount of the then outstanding Notes may rescind an acceleration and
its consequences, including any related payment default that resulted from such
acceleration). Upon any such waiver, such Default shall cease to exist, and any
Event of Default arising therefrom shall be deemed to have been cured for every
purpose of this Indenture; but no such waiver shall extend to any subsequent or
other Default or impair any right consequent thereon.

Section 6.05.            Control
by Majority.

The holders of a majority in principal amount of the
Notes then outstanding shall have the right to direct the time, method and
place of conducting any proceeding for any remedy available to the Trustee or
exercising any trust or power conferred on the Trustee, with respect to the
Notes, provided that

(i)            such direction shall
not be in conflict with any rule of law or with this Indenture, and

(ii)           the Trustee may take
any other action deemed proper by the Trustee which is not inconsistent with
such direction.

 37
 

Section 6.06.            Limitation
on Suits.

A Holder of a Note may pursue a remedy with respect to
this Indenture or the Notes only if:

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

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

(c)           such Holder of a Note or Holders of Notes
offer and, if requested, provide to the Trustee indemnity satisfactory to the
Trustee against any loss, liability or expense;

(d)           the Trustee does not comply with the request
within 60 days after receipt of the request and the offer and, if requested,
the provision of indemnity; and

(e)           during such 60-day period the Holders of a
majority in principal amount of the then outstanding Notes do not give the
Trustee a direction inconsistent with the request.

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

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

Notwithstanding any other provision of this Indenture,
the right of any Holder of a Note to receive payment of principal of, and
Special Interest, if any, and interest on, the Note, on or after the respective
due dates expressed in the Note (including in connection with an offer to
purchase), or to bring suit for the enforcement of any such payment on or after
such respective dates, shall not be impaired or affected without the consent of
such Holder.

Section 6.08.            Collection
Suit by Trustee.

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

Section 6.09.            Trustee
May File Proofs of Claim.

The Trustee is authorized to file such proofs of claim
and other papers or documents as may be necessary or advisable in order to have
the claims of the Trustee (including any claim for the reasonable compensation,
expenses, disbursements and advances of the Trustee, its agents and counsel)
and the Holders of the Notes allowed in any judicial proceedings relative to
the Company (or any other obligor upon the Notes), its creditors or its
property and shall be entitled and empowered to collect, receive and distribute
any money or other property payable or 

 38
 

deliverable on any such claims and any custodian in
any such judicial proceeding is hereby authorized by each Holder to make such
payments to the Trustee, and in the event that the Trustee shall consent to the
making of such payments directly to the Holders, to pay to the Trustee any
amount due to it for the reasonable compensation, expenses, disbursements and
advances of the Trustee, its agents and counsel, and any other amounts due the
Trustee under Section 7.07 hereof. To the extent that the payment of any such
compensation, expenses, disbursements and advances of the Trustee, its agents
and counsel, and any other amounts due the Trustee under Section 7.07 hereof
out of the estate in any such proceeding, shall be denied for any reason,
payment of the same shall be secured by a Lien on, and shall be paid out of,
any and all distributions, dividends, money, securities and other properties
that the Holders may be entitled to receive in such proceeding whether in
liquidation or under any plan of reorganization or arrangement or otherwise.
Nothing herein contained shall be deemed to authorize the Trustee to authorize
or consent to or accept or adopt on behalf of any Holder any plan of
reorganization, arrangement, adjustment or composition affecting the Notes or
the rights of any Holder, or to authorize the Trustee to vote in respect of the
claim of any Holder in any such proceeding.

Section 6.10.            Priorities.

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

First:  to the Trustee, its agents and attorneys for
amounts due under Section 7.07 hereof, including payment of all compensation,
expense and liabilities incurred, and all advances made, by the Trustee and the
costs and expenses of collection;

Second:  subject
to the provisions of Article 10 hereof, to Holders of Notes for amounts due and
unpaid on the Notes for principal, Special Interest, if any, and interest,
ratably, without preference or priority of any kind, according to the amounts
due and payable on the Notes for principal, Special Interest, if any and
interest, respectively; and

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

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

Section 6.11.            Undertaking
for Costs.

In any suit for the enforcement of any right or remedy
under this Indenture or in any suit against the Trustee for any action taken or
omitted by it as a Trustee, a court in its discretion may require the filing by
any party litigant in the suit of an undertaking to pay the costs of the suit,
and the court in its discretion may assess reasonable costs, including
reasonable attorneys’ fees and expenses, against any party litigant in the
suit, having due regard to the merits and good faith of the claims or defenses
made by the party litigant. This Section does not apply to a suit by the
Trustee, a suit by a Holder of a Note pursuant to Section 6.07 hereof, or a
suit by Holders of more than 10% in principal amount of the then outstanding
Notes.

 39
 

ARTICLE 7

TRUSTEE

Section 7.01.            Duties
of Trustee.

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

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

(i)            the
duties of the Trustee shall be determined solely by the express provisions of
this Indenture and the Trustee need perform only those duties that are
specifically set forth in this Indenture and no others, and no implied
covenants or obligations shall be read into this Indenture against the Trustee;
and

(ii)           in
the absence of bad faith on its part, the Trustee may conclusively rely, as to
the truth of the statements and the correctness of the opinions expressed
therein, upon certificates or opinions furnished to the Trustee and conforming
to the requirements of this Indenture. However, with respect to certificates or
opinions specifically required by any provision hereof to be furnished to it
hereunder, the Trustee shall examine the certificates and opinions to determine
whether or not they conform to the requirements of this Indenture (but need not
confirm or investigate the accuracy of any mathematical calculations or other
facts stated therein).

(c)           The Trustee may not be relieved from
liabilities for its own negligent action, its own negligent failure to act, or
its own willful misconduct, except that:

(i)            this
paragraph does not limit the effect of paragraph (b) of this Section;

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

(iii)          the
Trustee shall not be liable with respect to any action it takes or omits to
take in good faith in accordance with a direction received by it pursuant to
Section 6.05 hereof.

(d)           Whether or not therein expressly so
provided, every provision of this Indenture that in any way relates to the
Trustee is subject to paragraphs (a), (b), and (c) of this Section.

(e)           No provision of this Indenture shall require
the Trustee to expend or risk its own funds or incur any liability. The Trustee
shall be under no obligation to exercise any of its rights and powers under
this Indenture at the request of any Holders, unless such Holders shall have
offered to the Trustee security and indemnity satisfactory to it against any
loss, liability or expense.

 40

(f)            The Trustee shall not be liable for
interest on any money received by it except as the Trustee may agree in writing
with the Company. Money held in trust by the Trustee need not be segregated
from other funds except to the extent required by law.

Section 7.02.            Rights
of Trustee.

(a)           The Trustee may conclusively rely upon any
document (whether in its original or facsimile form) believed by it to be
genuine and to have been signed or presented by the proper Person. The Trustee
need not investigate any fact or matter stated in the document.

(b)           Before the Trustee acts or refrains from
acting, it may require an Officers’ Certificate or an Opinion of Counsel or
both. The Trustee shall not be liable for any action it takes or omits to take
in good faith in reliance on such Officers’ Certificate or Opinion of Counsel.
The Trustee may consult with counsel and the advice of such counsel or any
Opinion of Counsel shall be full and complete authorization and protection from
liability in respect of any action taken, suffered or omitted by it hereunder
in good faith and in reliance thereon.

(c)           The Trustee may act through its attorneys
and agents and shall not be responsible for the misconduct or gross negligence
of any agent or attorney appointed with due care.

(d)           The Trustee shall not be liable for any
action it takes or omits to take in good faith that it believes to be
authorized or within the rights or powers conferred upon it by this Indenture.

(e)           Unless otherwise specifically provided in
this Indenture, any demand, request, direction or notice from the Company shall
be sufficient if signed by an Officer of the Company.

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

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

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

 41
 

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

(j)            The Trustee may request that the Company
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.

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

Section 7.03.            Individual
Rights of Trustee.

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

In the event that the Trustee acquires any conflicting
interest it must eliminate such conflict within 90 days, apply to the SEC for
permission to continue as trustee or resign. Any Agent may do the same with
like rights and duties.  If the Trustee
fails to eliminate such conflicting interest, obtain said permission or resign
within the ten days after the conclusion of such 90-day period, the Trustee
shall provide notice to the Holders of this effect, and any Holder that has
been a bona fide Holder for at
least six months prior to the delivery of such notice shall have the right to
petition a court of competent jurisdiction to remove the Trustee and appoint a
successor Trustee.  The Trustee is also
subject to Sections 7.10 and 7.11 hereof.

Section 7.04.            Trustee’s
Disclaimer.

The Trustee shall not be responsible for and makes no
representation as to the validity or adequacy of this Indenture or the Notes,
it shall not be accountable for the Company’s use of the proceeds from the
Notes or any money paid to the Company or upon the Company’s direction under
any provision of this Indenture, it shall not be responsible for the use or
application of any money received by any Paying Agent other than the Trustee,
and it shall not be responsible for any statement or recital herein or any
statement in the Notes or any other document in connection with the sale of the
Notes or pursuant to this Indenture other than its certificate of
authentication.

Section 7.05.            Notice
of Defaults.

If a Default or Event of Default occurs and is
continuing and if it is actually known to a Responsible Officer of the Trustee,
the Trustee shall mail to Holders of Notes a notice of the Default or Event of
Default within 90 days after it occurs. Except in the case of a Default or
Event of Default in payment of principal of, or interest on, any Note, the
Trustee may withhold 

 42
 

the notice if and so long as a committee of its
Responsible Officers in good faith determines that withholding the notice is in
the interests of the Holders of the Notes.

Section 7.06.            Reports
by Trustee to Holders of the Notes.

Within 60 days after each May 15 beginning with the
May 15 following the date of this Indenture, and for so long as Notes remain
outstanding, the Trustee shall mail to the Holders of the Notes a brief report
dated as of such reporting date that complies with TIA § 313(a) (but if no
event described in TIA § 313(a) has occurred within the twelve months
preceding the reporting date, no report need be transmitted). The Trustee also
shall comply with TIA § 313(b)(2). The Trustee shall also transmit by mail
all reports as required by TIA § 313(c).

A copy of each report at the time of its mailing to
the Holders of Notes shall be mailed to the Company and filed with the SEC and
each stock exchange on which the Notes are listed in accordance with TIA
§ 313(d). The Company shall promptly notify the Trustee when the Notes are
listed on any securities exchange or delisted therefrom.

Section 7.07.            Compensation
and Indemnity.

The Company shall pay to the Trustee such compensation
as agreed upon from time to time in writing for its acceptance of this
Indenture and services hereunder. The Trustee’s compensation shall not be
limited by any law on compensation of a trustee of an express trust. The
Company shall reimburse the Trustee promptly upon request for all reasonable
disbursements, advances and expenses incurred or made by it in addition to the
compensation for its services. Such expenses shall include the reasonable
compensation, disbursements and expenses of the Trustee’s agents and counsel.

The Company and the Guarantors, jointly and severally,
shall fully indemnify the Trustee against any and all losses, liabilities,
claims, damages or expenses incurred by it, without negligence, willful
misconduct or bad faith, arising out of or in connection with the acceptance or
administration of its duties under this Indenture, including the costs and expenses
of enforcing this Indenture against the Company (including this Section 7.07)
and defending itself against any claim (whether asserted by the Company or any
Holder or any other person) or liability in connection with the exercise or
performance of any of its powers or duties hereunder, except to the extent any
such loss, liability or expense has been determined to have been caused by its
own negligence, willful misconduct or bad faith. The Trustee shall notify the
Company promptly of any claim of which it has received notice for which it may
seek indemnity. Failure by the Trustee to so notify the Company shall not
relieve the Company of its obligations hereunder. The Company shall defend the
claim and the Trustee shall reasonably cooperate in the defense. The Trustee
may have separate counsel and the Company shall pay the reasonable fees and
expenses of such counsel. The Company need not pay for any settlement made
without its consent, which consent shall not be unreasonably withheld. The
Company need not reimburse any expense or indemnify against any loss, liability
or expense incurred by the Trustee through its own negligence, willful
misconduct or bad faith.

The obligations of the Company under this Section 7.07
shall survive the satisfaction and discharge of this Indenture.

 43
 

To secure the Company’s payment obligations in this
Section, the Trustee shall have a Lien prior to the Notes on all money or
property held or collected by the Trustee, except that held in trust to pay
principal and interest on particular Notes. Such Lien shall survive the
satisfaction and discharge of this Indenture.

When the Trustee incurs expenses or renders services
after an Event of Default specified in Section 6.01(h) or (i) hereof occurs,
the expenses and the compensation for the services (including the fees and
expenses of its agents and counsel) are intended to constitute expenses of
administration under any Bankruptcy Law.

The Trustee shall comply with the provisions of TIA §
313(b)(2) to the extent applicable.

Section 7.08.            Replacement
of Trustee.

A resignation or removal of the Trustee and
appointment of a successor Trustee shall become effective only upon the
successor Trustee’s acceptance of appointment as provided in this Section.

The Trustee may resign in writing at any time and be
discharged from the trust hereby created by so notifying the Company. The
Holders of a majority in principal amount of the then outstanding Notes may
remove the Trustee by so notifying the Trustee and the Company in writing. The
Company may remove the Trustee if:

(a)           the Trustee fails to comply with Section
7.10 hereof;

(b)           the Trustee is adjudged a bankrupt or an
insolvent or an order for relief is entered with respect to the Trustee under
any Bankruptcy Law;

(c)           a custodian or public officer takes charge
of the Trustee or its property; or

(d)           the Trustee becomes incapable of acting.

If the Trustee resigns or is removed or if a vacancy
exists in the office of Trustee for any reason, the Company shall promptly
appoint a successor Trustee. Within one year after the successor Trustee takes
office, the Holders of a majority in principal amount of the then outstanding
Notes may appoint a successor Trustee to replace the successor Trustee
appointed by the Company.

 If a successor
Trustee does not take office within 60 days after the retiring Trustee resigns
or is removed, the retiring Trustee (at the expense of the Company), the
Company, or the Holders of at least 10% in principal amount of the then
outstanding Notes may petition any court of competent jurisdiction for the
appointment of a successor Trustee.

If the Trustee, after written request by any Holder
who has been a Holder for at least six months, fails to comply with Section
7.10, such Holder may petition any court of competent jurisdiction for the
removal of the Trustee and the appointment of a successor Trustee.

 44
 

A successor Trustee shall deliver a written acceptance
of its appointment to the retiring Trustee and to the Company. Thereupon, the
resignation or removal of the retiring Trustee shall become effective, and the
successor Trustee shall have all the rights, powers and duties of the Trustee
under this Indenture. The successor Trustee shall mail a notice of its
succession to Holders. The retiring Trustee shall promptly transfer all property
held by it as Trustee to the successor Trustee, provided
that all sums owing to the Trustee hereunder have been paid and subject to the
Lien provided for in Section 7.07 hereof. 
Notwithstanding replacement of the Trustee pursuant to this Section 7.08,
the Company’s obligations under Section 7.07 hereof shall continue for the
benefit of the retiring Trustee.

Section 7.09.            Successor
Trustee by Merger, etc.

If the Trustee consolidates, merges or converts into,
or transfers all or substantially all of its corporate trust business to,
another corporation, the successor corporation without any further act shall be
the successor Trustee.

Section 7.10.            Eligibility;
Disqualification.

There shall at all times be a Trustee hereunder that
is a corporation organized and doing business under the laws of the United
States of America or of any state thereof that is authorized under such laws to
exercise corporate trustee power, that is subject to supervision or examination
by federal or state authorities and that has a combined capital and surplus of
at least $50 million as set forth in its most recent published annual report of
condition.

This Indenture shall always have a Trustee who
satisfies the requirements of TIA § 310(a)(1) and (2). The Trustee is
subject to TIA § 310(b).

Section 7.11.            Preferential
Collection of Claims Against Company.

The Trustee is subject to TIA § 311(a), excluding any
creditor relationship listed in TIA § 311(b). A Trustee who has resigned
or been removed shall be subject to TIA § 311(a) to the extent indicated
therein.

ARTICLE 8

[RESERVED]

ARTICLE 9

AMENDMENT, SUPPLEMENT AND WAIVER

Section 9.01.            Without
Consent of Holders of Notes.

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

(a)           to cure any ambiguity, defect or
inconsistency or to make a modification of a formal, minor or technical nature
or to correct a manifest error;

 45
 

(b)           to provide for uncertificated Notes in
addition to or in place of certificated Notes or to alter the provisions of
Article 2 hereof (including the related definitions) in a manner that does not
materially adversely affect any Holder;

(c)           to provide for the assumption of the Company’s
obligations to the Holders of the Notes by a successor to the Company pursuant
to Article 5 or hereof;

(d)           to add Guarantees with respect to the Notes
or to secure the Notes;

(e)           to add to the covenants of the Company or
any Guarantor for the benefit of the Holders of the Notes or surrender any
right or power conferred upon the Company or any Guarantor;

(f)            to make any change that would provide any
additional rights or benefits to the Holders of the Notes or that does not
adversely affect the legal rights hereunder of any Holder of a Note;

(g)           to comply with requirements of the SEC in
order to effect or maintain the qualification of this Indenture under the TIA;

(h)           to evidence and provide for the acceptance
and appointment under this Indenture of a successor Trustee pursuant to the
requirements hereof; or

(i)            to provide for the conversion of the Notes
pursuant to Section 13.10(a).

However, no amendment may be made to Article 10 of
this Indenture that adversely affects the rights of any holder of Senior Debt
of the Company or a Guarantor then outstanding unless the holders of such
Senior Debt (or their representative) consent to such change.

Upon the request of the Company accompanied by a
resolution of its Board of Directors authorizing the execution of any such
amended or supplemental indenture, and upon receipt by the Trustee of the
documents described in Section 7.02 hereof, the Trustee shall join with the
Company and the Guarantors in the execution of any amended or supplemental
indenture authorized or permitted by the terms of this Indenture and to make
any further appropriate agreements and stipulations that may be therein
contained, but the Trustee shall not be obligated to enter into such amended or
supplemental indenture that affects its own rights, duties or immunities under
this Indenture or otherwise.

Section 9.02.            With
Consent of Holders of Notes.

Except as provided below in this Section 9.02, the
Company and the Trustee may amend or supplement this Indenture, the Subsidiary
Guarantees and the Notes with the consent of the Holders of at least a majority
in principal amount of the Notes (including Additional Notes, if any) then
outstanding voting as a single class (including consents obtained in connection
with a tender offer or exchange offer for, or purchase of, the Notes), and,
subject to Sections 6.04 and 6.07 hereof, any existing Default or Event of
Default (other than a Default or Event of Default in the payment of the
principal of, premium, if any, or interest on the Notes, except a payment
default resulting from an acceleration that has been rescinded) or compliance
with any provision 

 46
 

of this Indenture, the Subsidiary Guarantees or the
Notes may be waived with the consent of the Holders of a majority in principal amount
of the then outstanding Notes (including Additional Notes, if any) voting as a
single class (including consents obtained in connection with a tender offer or
exchange offer for, or purchase of, the Notes). Without the consent of at least
75% in principal amount of the Notes then outstanding (including consents
obtained in connection with a tender offer or exchange offer for, or purchase
of, such Notes), no waiver or amendment to this Indenture may make any change
in the provisions of Article 10 hereof that adversely affects the rights of any
Holder of Notes. Section 2.08 hereof shall determine which Notes are considered
to be “outstanding” for purposes of this Section 9.02.

Upon the request of the Company accompanied by a
resolution of its Board of Directors authorizing the execution of any such
amended or supplemental indenture, and upon the filing with the Trustee of
evidence satisfactory to the Trustee of the consent of the Holders of Notes as
aforesaid, and upon receipt by the Trustee of the documents described in
Section 7.02 hereof, the Trustee shall join with the Company in the execution
of such amended or supplemental indenture unless such amended or supplemental
indenture directly affects the Trustee’s own rights, duties or immunities under
this Indenture or otherwise, in which case the Trustee may in its discretion,
but shall not be obligated to, enter into such amended or supplemental
indenture.

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

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

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

(b)           reduce the rate, or extend the Stated
Maturity, of interest on any Note;

(c)           reduce the principal, or extend the Stated
Maturity, of any Note;

(d)           reduce the consideration payable upon
conversion other than in accordance with this Indenture, or otherwise impair
the right of a Holder to convert the Notes;

(e)           reduce the Designated Event Repurchase Price
of any Note or amend or modify in any manner adverse to the Holders of Notes
the Company’s obligation to make such payments, whether through an amendment or
waiver of provisions in the covenants, definitions or otherwise;

 47
 

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

(g)           make any Note payable in money other than
that stated in the Notes;

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

(i)            waive a redemption payment with respect to
any Note (other than pursuant to the provisions of Article 14);

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

(k)           make any change in the foregoing amendment
and waiver provisions.

Section 9.03.            Compliance
with Trust Indenture Act.

Every amendment or supplement to this Indenture or the
Notes shall be set forth in an amended or supplemental indenture that complies
with the TIA as then in effect.

Section 9.04.            Revocation
and Effect of Consents.

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

Section 9.05.            Notation
on or Exchange of Notes.

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

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

Section 9.06.            Trustee
to Sign Amendments, etc.

The Trustee shall sign any amended or supplemental
indenture authorized pursuant to this Article 9 if the amendment or supplement
does not affect the rights, duties, 

 48
 

liabilities or immunities of the Trustee. The Company
may not sign an amendment or supplemental indenture until the Board of
Directors approves it. In executing any amended or supplemental indenture, the
Trustee shall be provided with and (subject to Section 7.01 hereof) shall be
fully protected in relying upon, in addition to the documents required by
Section 15.04 hereof, an Officers’ Certificate and an Opinion of Counsel
stating that the execution of such amended or supplemental indenture is
authorized or permitted by this Indenture.

ARTICLE 10

SUBORDINATION

Section 10.01.          Agreement
to Subordinate.

The Company agrees, and each Holder by accepting a
Note agrees, that the Indebtedness evidenced by the Notes is subordinated in
right of payment, to the extent and in the manner provided in this Article 10,
to the prior payment in full in cash or Cash Equivalents of all Senior Debt
(whether outstanding on the date hereof or hereafter created, incurred, assumed
or guaranteed), and that the subordination is for the benefit of the holders of
Senior Debt.

Section 10.02.          Liquidation;
Dissolution; Bankruptcy.

Upon any distribution to creditors of the Company in a
liquidation or dissolution of the Company or in a bankruptcy, reorganization,
insolvency, receivership or similar proceeding relating to the Company or its
property, in an assignment for the benefit of creditors or any marshaling of
the Company’s assets and liabilities:

(i)            holders
of Senior Debt shall be entitled to receive payment in full of all Obligations
due in respect of such Senior Debt (including interest after the commencement
of any such proceeding at the rate specified in the applicable Senior Debt)
before Holders of the Notes shall be entitled to receive any payment with
respect to the Notes (except that Holders may receive Permitted Junior
Securities); and

(ii)           until
all Obligations with respect to Senior Debt (as provided in clause (i) above)
are paid in full, any distribution to which Holders would be entitled but for
this Article 10 shall be made to holders of Senior Debt (except that Holders of
Notes may receive Permitted Junior Securities), as their interests may appear.

Section 10.03.          Default
on Designated Senior Debt.

(a)           The Company may not make any payment or
distribution to the Trustee or any Holder in respect of Obligations with
respect to the Notes and may not acquire from the Trustee or any Holder any
Notes for cash or property (other than Permitted Junior Securities) until all
principal and other Obligations with respect to the Senior Debt have been paid
in full if:

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

(ii)           a
default, other than a payment default, on any series of Designated Senior Debt
occurs and is continuing that then permits holders of the Designated Senior
Debt to accelerate its maturity and the Trustee receives a notice of the 

 49
 

default (a “Payment
Blockage Notice”) from the Company or the holders of any such Designated
Senior Debt or their representative. If the Trustee receives any such Payment
Blockage Notice, no subsequent Payment Blockage Notice shall be effective for
purposes of this Section unless and until (A) at least 360 days shall have
elapsed since the delivery of the immediately prior Payment Blockage Notice and
(B) all scheduled payments of principal of, interest and Special Interest, if
any, on, the Notes that have come due have been paid in full in cash. No
nonpayment default that existed or was continuing on the date of delivery of
any Payment Blockage Notice to the Trustee shall be, or be made, the basis for
a subsequent Payment Blockage Notice unless such default shall have been cured
or waived for a period of not less than 180 days.

(b)           The Company shall resume payments on and
distributions in respect of the Notes and may acquire them upon the earlier of:

(i)            in
the case of a default referred to in clause (i) of Section 10.03(a) hereof, the
date upon which the default is cured or waived, or

(ii)           in
the case of a default referred to in clause (ii) of Section 10.03(a) hereof,
upon the earlier of the date on which such non-payment default is cured or
waived or 179 days pass after the date on which the applicable Payment Blockage
Notice is received, unless the maturity of such Designated Senior Debt has been
accelerated,

if this Article 10 otherwise permits the payment,
distribution or acquisition at the time of such payment or acquisition.

Section 10.04.          Acceleration
of Notes.

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

Section 10.05.          When
Distribution Must Be Paid Over.

In the event that the Trustee or any Holder receives
any payment of any Obligations with respect to the Notes at a time when the
Trustee or such Holder, as applicable, has actual knowledge that such payment
is prohibited by Section 10.03 hereof, such payment shall be held by the
Trustee or such Holder, in trust for the benefit of, and shall be paid
forthwith over and delivered, upon written request, to, the holders of Senior
Debt as their interests may appear or their Representative under the indenture
or other agreement (if any) pursuant to which Senior Debt may have been issued,
as their respective interests may appear, for application to the payment of all
Obligations with respect to Senior Debt remaining unpaid to the extent
necessary to pay such Obligations in full in accordance with their terms, after
giving effect to any concurrent payment or distribution to or for the holders
of Senior Debt.

With respect to the holders of Senior Debt, the
Trustee undertakes to perform only such obligations on the part of the Trustee
as are specifically set forth in this Article 10, and no implied covenants or
obligations with respect to the holders of Senior Debt shall be read into this
Indenture against the Trustee. The Trustee shall not be deemed to owe any
fiduciary duty to the holders of Senior Debt, and shall not be liable to any
such holders if the Trustee shall pay over 

 50
 

or distribute to or on behalf of Holders or the
Company or any other Person money or assets to which any holders of Senior Debt
shall be entitled by virtue of this Article 10.

Section 10.06.          Notice
by Company.

The Company shall promptly notify the Trustee and the
Paying Agent of any facts known to the Company that would cause a payment of
any Obligations with respect to the Notes to violate this Article 10, but
failure to give such notice shall not affect the subordination of the Notes to
the Senior Debt as provided in this Article 10.

Section 10.07.          Subrogation.

After all Senior Debt is paid in full and until the
Notes are paid in full, Holders of Notes shall be subrogated (equally and
ratably with all other Indebtedness pari
passu with the Notes) to the rights of holders of Senior Debt to
receive distributions applicable to Senior Debt to the extent that
distributions otherwise payable to the Holders of Notes have been applied to
the payment of Senior Debt. A distribution made under this Article 10 to
holders of Senior Debt that otherwise would have been made to Holders of Notes
is not, as between the Company and Holders, a payment by the Company on the
Notes.

Section 10.08.          Relative
Rights.

This Article 10 defines the relative rights of Holders
of Notes and holders of Senior Debt. Nothing in this Indenture shall:

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

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

(iii)          prevent
the Trustee or any Holder of Notes from exercising its available remedies upon
a Default or Event of Default, subject to the rights of holders and owners of
Senior Debt to receive distributions and payments otherwise payable to Holders
of Notes.

If the Company fails because of this Article 10 to pay
principal of or interest on a Note on the due date, the failure is still a
Default or Event of Default.

Section 10.09.          Subordination
May Not Be Impaired by Company.

No right of any holder of Senior Debt to enforce the
subordination of the Indebtedness evidenced by the Notes shall be impaired by
any act or failure to act by the Company or any Holder or by the failure of the
Company or any Holder to comply with this Indenture.

 51

Section 10.10.          Distribution
or Notice to Representative.

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

Upon any payment or distribution of assets of the
Company referred to in this Article 10, the Trustee and the Holders of Notes
shall be entitled to rely upon any order or decree made by any court of
competent jurisdiction or upon any certificate of such Representative or of the
liquidating trustee or agent or other Person making any distribution to the
Trustee or to the Holders of Notes for the purpose of ascertaining the Persons
entitled to participate in such distribution, the holders of the Senior Debt
and other Indebtedness of the Company, the amount thereof or payable thereon,
the amount or amounts paid or distributed thereon and all other facts pertinent
thereto or to this Article 10.

Section 10.11.          Rights
of Trustee and Paying Agent.

Notwithstanding the provisions of this Article 10 or
any other provision of this Indenture, the Trustee shall not be charged with
knowledge of the existence of any facts that would prohibit the making of any
payment or distribution by the Trustee, and the Trustee and the Paying Agent
may continue to make payments on the Notes, unless the Trustee shall have
received at its Corporate Trust Office of the Trustee at least five Business
Days prior to the date of such payment written notice of facts that would cause
the payment of any Obligations with respect to the Notes to violate this
Article 10. Nothing in this Article 10 shall impair the claims of, or payments
to, the Trustee under or pursuant to Section 7.07 hereof.

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

Section 10.12.          Authorization
to Effect Subordination.

Each Holder of Notes, by the Holder’s acceptance
thereof, authorizes and directs the Trustee on such Holder’s behalf to take such
action as may be necessary or appropriate to effectuate the subordination as
provided in this Article 10, and appoints the Trustee to act as such Holder’s
attorney-in-fact for any and all such purposes. If the Trustee does not file a
proper proof of claim or proof of debt in the form required in any proceeding
referred to in Section 6.09 hereof at least 30 days before the expiration of
the time to file such claim, the Representatives are hereby authorized to file
an appropriate claim for and on behalf of the Holders of the Notes.

Section 10.13.          Amendments.

The provisions of this Article 10 shall not be amended
or modified in a manner that adversely affects the rights of any holder of
Senior Debt without the written consent of the holder of such Senior Debt (or
their representative).

Section 10.14.          Reliance
on Judicial Order or Certificate of Liquidating Agent.

Upon any payment or distribution of assets of the
Company referred to in this Article, the Trustee, subject to the provisions of
Section 7.01, and the Holders of the Securities shall be entitled to
conclusively rely upon any order or decree entered by any court of competent 

 52
 

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 Trustee or to the Holders of Securities, for the purpose of ascertaining
the persons entitled to participate in such payment or distribution, the
holders of Senior Indebtedness and other indebtedness of the Company, the
amount thereof or payable thereon, the amount or amounts paid or distributed
thereon and all other facts pertinent thereto or to this Article.

ARTICLE 11

SUBSIDIARY GUARANTEES

Section 11.01.          Guarantees.

Subject to this Article 11, each of the Guarantors
hereby, jointly and severally, unconditionally guarantees to each Holder of a
Note authenticated and delivered by the Trustee and to the Trustee and its
successors and assigns, irrespective of the validity and enforceability of this
Indenture, the Notes or the obligations of the Company hereunder or thereunder,
that: (a) the principal of, and interest and Special Interest, if any, on, the
Notes will be promptly paid in full when due, whether at maturity, by
acceleration, redemption or otherwise, and interest on the overdue principal
of, and interest and Special Interest, if any, on, the Notes, if any, if
lawful, and all other obligations of the Company to the Holders or the Trustee
hereunder or thereunder will be promptly paid in full or performed, all in
accordance with the terms hereof and thereof; and (b) in case of any extension
of time of payment or renewal of any Notes or any of such other obligations,
that same will be promptly paid in full when due or performed in accordance
with the terms of the extension or renewal, whether at stated maturity, by
acceleration or otherwise.  In addition
to the foregoing, each Guarantor also agrees, unconditionally and jointly and
severally with each other Guarantor, to pay any and all expenses (including,
without limitation, counsel fees and expenses) incurred by the Trustee under
this Indenture in enforcing any rights under a Subsidiary Guarantee with
respect to a Guarantor.  Failing payment
when due of any amount so guaranteed or any performance so guaranteed for
whatever reason, the Guarantors shall be jointly and severally obligated to pay
the same immediately. Each Guarantor agrees that this is a guarantee of payment
and not a guarantee of collection.

The Guarantors hereby agree that their obligations
hereunder shall be unconditional, irrespective of the validity, regularity or
enforceability of the Notes or this Indenture, the absence of any action to
enforce the same, any waiver or consent by any Holder of the Notes with respect
to any provisions hereof or thereof, the recovery of any judgment against the
Company, any action to enforce the same or any other circumstance which might
otherwise constitute a legal or equitable discharge or defense of a
guarantor.  Each Guarantor hereby waives
diligence, presentment, demand of payment, filing of claims with a court in the
event of insolvency or bankruptcy of the Company, any right to require a
proceeding first against the Company, protest, notice and all demands
whatsoever and covenant that this Subsidiary Guarantee shall not be discharged
except by complete performance of the obligations contained in the Notes and
this Indenture.

If any Holder or the Trustee is required by any court
or otherwise to return to the Company, the Guarantors or any custodian,
trustee, liquidator or other similar official acting in relation to either the
Company or the Guarantors, any amount paid by either to the Trustee or 

 53
 

such Holder, this Subsidiary Guarantee, to the extent
theretofore discharged, shall be reinstated in full force and effect.

Each Guarantor agrees that it shall not be entitled to
any right of subrogation in relation to the Holders in respect of any
obligations guaranteed hereby until payment in full of all obligations
guaranteed hereby. Each Guarantor further agrees that, as between the
Guarantors, on the one hand, and the Holders and the Trustee, on the other
hand, (x) the maturity of the obligations guaranteed hereby may be accelerated
as provided in Article 6 hereof for the purposes of this Subsidiary Guarantee,
notwithstanding any stay, injunction or other prohibition preventing such
acceleration in respect of the obligations guaranteed hereby, and (y) in the
event of any declaration of acceleration of such obligations as provided in
Article 6 hereof, such obligations (whether or not due and payable) shall
forthwith become due and payable by the Guarantors for the purpose of this
Subsidiary Guarantee. The Guarantors shall have the right to seek contribution
from any non-paying Guarantor so long as the exercise of such right does not
impair the rights of the Holders under the Guarantee.

The Subsidiary Guarantees represent full and
unconditional guarantees by the Guarantors on an unsecured and senior
subordinated basis of the payment of principal of and interest and Special
Interest, if any, on the Notes.  Upon
conversion of the Notes pursuant to Article 13, the Subsidiary Guarantees will
be deemed to be released and extinguished.

Section 11.02.          Subordination
of Subsidiary Guarantees.

The Obligations of each Guarantor under its Subsidiary
Guarantee pursuant to this Article 11 shall be junior and subordinated to the
Senior Debt of such Guarantor on the same basis as the Notes are junior and
subordinated to Senior Debt of the Company as set forth in Article 10 hereof.
Each Subsidiary Guarantee is made subject to the provisions of Article 10
hereof. For the purposes of the foregoing sentence, the Trustee and the Holders
shall have the right to receive and/or retain payments by any of the Guarantors
only at such times as they may receive and/or retain payments in respect of the
Notes pursuant to this Indenture, including Article 10 hereof.

Section 11.03.          Limitation
on Guarantor Liability.

Each Guarantor, and by its acceptance of Notes, each
Holder, hereby confirms that it is the intention of all such parties that the
Subsidiary Guarantee of such Guarantor not constitute a fraudulent transfer or
conveyance for purposes of Bankruptcy Law, the Uniform Fraudulent Conveyance
Act, the Uniform Fraudulent Transfer Act or any similar federal or state law to
the extent applicable to any Subsidiary Guarantee. To effectuate the foregoing
intention, the Trustee, the Holders and the Guarantors hereby irrevocably agree
that the obligations of such Guarantor will, after giving effect to such
maximum amount and all other contingent and fixed liabilities of such Guarantor
that are relevant under such laws, and after giving effect to any collections
from, rights to receive contribution from or payments made by or on behalf of
any other Guarantor in respect of the obligations of such other Guarantor under
this Article 11, result in the obligations of such Guarantor under its
Subsidiary Guarantee not constituting a fraudulent transfer or conveyance.

 54
 

Section 11.04.          Execution
and Delivery of Subsidiary Guarantees.

To evidence its Subsidiary Guarantee set forth in Section
11.01, each Guarantor hereby agrees that a notation of such Subsidiary
Guarantee substantially in the form included in Exhibit E shall be endorsed by
an Officer of such Guarantor or by its duly appointed attorney-in-fact on each
Note authenticated and delivered by the Trustee and that this Indenture shall
be executed on behalf of such Guarantor by its President or one of its Vice
Presidents or by its duly appointed attorney-in-fact.

Each Guarantor hereby agrees that its Subsidiary
Guarantee set forth in Section 11.01 shall remain in full force and effect
notwithstanding any failure to endorse on each Subsidiary a notation of such
Subsidiary Guarantee.  The execution of a
Subsidiary Guarantee on behalf of a Guarantor by its attorney-in-fact shall
constitute a representation and warranty on the part of such Guarantor
hereunder of the due appointment of such attorney-in-fact.

If an Officer or duly appointed attorney-in-fact whose
signature is on this Indenture or on a Subsidiary Guarantee no longer holds that
office or maintains such appointment, as the case may be, at the time the
Trustee authenticates the Note on which a Subsidiary Guarantee is endorsed, the
Subsidiary Guarantee shall be valid nevertheless.

The delivery of any Note by the Trustee, after the
authentication thereof hereunder, shall constitute due delivery of the
Subsidiary Guarantee set forth in this Indenture on behalf of the Guarantors
and each of them.

Section 11.05.          Releases
Following Sale of Assets.

In the event of (i) a sale or other disposition
of all or substantially all of the assets of any Guarantor, by way of merger,
consolidation or otherwise, or a sale or other disposition of all of the
capital stock of any Guarantor, in each case to a Person that is not (either
before or after giving effect to such transactions) the Company or any other
Guarantor, (ii) a termination of one or more Guarantees by any Guarantor
of any other Senior Subordinated Indebtedness of the Company or any other
Guarantor which results in such Guarantor no longer being subject to any
Guarantee of any other Senior Subordinated Indebtedness of the Company or any
other Guarantor or (iii) any Guarantor ceasing to be a Restricted
Subsidiary, then such Guarantor (in the event described in clauses (i) and
(iii) of this paragraph) or the corporation acquiring the property (in the
event described in clause (ii) of this paragraph) will be released and relieved
of any obligations under its Subsidiary Guarantee. Upon delivery by the Company
to the Trustee of an Officers’ Certificate and an Opinion of Counsel to the
effect that such sale or other disposition was made by the Company in
accordance with the provisions of this Indenture, the Trustee shall execute any
documents reasonably required in order to evidence the release of any Guarantor
from its obligations under its Subsidiary Guarantee.

Any Guarantor not released from its obligations under
its Subsidiary Guarantee shall remain liable for the full amount of principal
of and interest on the Notes and for the other obligations of any Guarantor
under this Indenture as provided in this Article 11.

 55
 

ARTICLE 12

DISCHARGE

Section 12.01.          Discharge
of Liability on Notes.

When (1) the Company shall deliver to the Registrar
for cancellation all Notes then outstanding not theretofore delivered to the
Registrar for cancellation or (2) all the Notes then outstanding not
theretofore delivered to the Registrar for cancellation shall have (a) been
deposited for conversion (after all related Observation Periods have elapsed)
and the Company shall deliver to the Holders cash and, if applicable, shares of
Common Stock sufficient to pay all amounts owing in respect of all such Notes
or (b) become due and payable on the Maturity Date, Designated Event Repurchase
Date or otherwise, and the Company shall deposit with the Trustee cash
sufficient to pay all amounts owing in respect of all such Notes, including the
principal amount and interest accrued and unpaid to the Maturity Date,
Designated Event Repurchase Date or other such date, and if in either case (1)
or (2) the Company shall also pay or cause to be paid all other sums payable
hereunder by the Company, then this Indenture with respect to the Notes shall
cease to be of further effect (except as to (i) remaining rights of
registration of transfer, substitution and exchange and conversion of Notes,
(ii) rights hereunder of Holders to receive from the Trustee payments of the
amounts then due, including interest and Special Interest, if any, with respect
to the Notes and the other rights, duties and obligations of Holders, as
beneficiaries hereof solely with respect to the amounts, if any, so deposited
with the Trustee and (iii) the rights, obligations and immunities of the
Trustee, authenticating agent, Paying Agent, Conversion Agent and Registrar
under this Indenture with respect to the Notes), and the Trustee, on demand of
the Company accompanied by an Officers’ Certificate and an Opinion of Counsel
as required by Section 12.03 and at the cost and expense of the Company, shall
execute proper instruments acknowledging satisfaction of and discharging this
Indenture with respect to the Notes; provided, however, the Company hereby agrees to reimburse the Trustee,
authenticating agent, Paying Agent, Conversion Agent and Registrar for any
costs or expenses thereafter reasonably and properly incurred by the Trustee,
authenticating agent, Paying Agent, Conversion Agent and Registrar and to
compensate the Trustee, authenticating agent, Paying Agent, Conversion Agent
and Registrar for any services thereafter reasonably and properly rendered by
the Trustee, authenticating agent, Paying Agent, Conversion Agent and Registrar
in connection with this Indenture with respect to the Notes.

Section 12.02.          Reinstatement.

If the Trustee or the Paying Agent is unable to apply
any money to the Holders entitled thereto by reason of any order or judgment of
any court of governmental authority enjoining, restraining or otherwise
prohibiting such application, the Company’s obligations under this Indenture
with respect to the Notes shall be revived and reinstated as though no deposit
had occurred pursuant to Section 12.01 until such time as the Trustee or the
Paying Agent is permitted to apply all such money in accordance with this
Indenture and the Notes to the Holders entitled thereto; provided,
however, that if the Company makes any
payment of principal amount of or interest on any Note following the
reinstatement of its obligations, the Company shall be subrogated to the rights
of the Holders of such Notes to receive such payment from the money held by the
Trustee or Paying Agent.

 56
 

Section 12.03.          Officers’
Certificate; Opinion of Counsel.

Upon any application or demand by the Company to the
Trustee to take any action under Section 12.01, the Company shall furnish to
the Trustee an Officers’ Certificate and Opinion of Counsel stating that all
conditions precedent, if any, provided for in this Indenture relating to the
proposed action have been complied with.

ARTICLE 13

CONVERSION OF NOTES

Section 13.01.          Conversion
Privilege and Conversion Rate.

(a)           Subject to the conditions described in
clause (i), (ii), and (iii) below, and upon compliance with the provisions of
this Article 13, a Holder shall have the right, at such Holder’s option, to
convert all or any portion (if the portion to be converted is $1,000 principal
amount or an integral multiple thereof) of any Notes at any time prior to the
close of business on the Scheduled Trading Day immediately preceding June 15,
2012, at a rate (the “Conversion Rate”) of 29.4172 shares of Common
Stock (subject to adjustment by the Company as provided in Section 13.04) per
$1,000 principal amount of the Notes under the circumstances and during the
periods set forth below. On and after June 15, 2012 regardless of the
conditions described in clause (i), (ii) and (ii) below, and upon compliance
with the provisions of this Article 13, a Holder shall have the right, at such
Holder’s option, to convert all or any portion (if the portion to be converted
is $1,000 principal amount or an integral multiple thereof) of any Notes at the
applicable Conversion Rate at any time prior to the close of business on the
third Scheduled Trading Day immediately preceding the Maturity Date.

(i)            The
Notes shall be convertible prior to the close of business on the Scheduled
Trading Day immediately preceding June 15, 2012, during the five Business Day
period immediately after any five consecutive Trading Day period (the “Measurement
Period”) in which the Trading Price per $1,000 principal amount of the
Notes for each Trading Day of such Measurement Period was less than 98% of the
product of the Last Reported Sale Price of the Common Stock on such Trading Day
and the Conversion Rate in effect on such Trading Day (the “Trading Price
Condition”) determined as set forth below. If a Holder provides the Company
with reasonable evidence that the Trading Price per $1,000 principal amount of
the Notes would be less than 98% of the product of (a) the then-applicable
Conversion Rate of the Notes and (b) the Last Reported Sale Price at such time,
then the Company shall instruct the Trustee to determine the Trading Price of
the Notes beginning on the next Trading Day and on each successive Trading Day
until the date on which the Trading Price per Note is greater than or equal to
98% of the product of (a) the then-applicable Conversion Rate of the Notes and
(b) the Last Reported Sale Price (as provided to the Trustee by the Company on
each such date). If the Trading Price Condition has been met in accordance with
the foregoing, the Company shall so notify the Holders of the Notes.  If, at any time after the Trading Price
Condition has been met in accordance with the foregoing, the Trading Price per
$1,000 principal amount of the Notes is greater than 98% of the product of (a)
the then-applicable Conversion Rate of the Notes and (b) the Last Reported Sale
Price on such date, the Company shall so notify the Holders of the Notes, and
the Trustee shall have no further obligation to determine the Trading Price of
the Notes unless requested by the Company to do so again in writing pursuant to
this Section 13.01(a)(i).  Furthermore,
if 

 57
 

the Company
does not, when obligated to do so pursuant to this clause (i), instruct the
Trustee to determine the Trading Price of the Notes, or if the Company so instructs
the Trustee, but the Trustee does not make such determination, then the Trading
Price per $1,000 principal amount of the Notes shall be deemed to be less than
98% of the product of (a) the then-applicable Conversion Rate of the Notes and
(b) the Last Reported Sale Price on such date.

(ii)           The
Notes shall be convertible prior to the close of business on the Scheduled
Trading Day immediately preceding June 15, 2012, during any calendar quarter
after the calendar quarter ending June 30, 2007 (and only during such calendar
quarter), if the Last Reported Sale Price of the Common Stock for twenty (20)
or more Trading Days in a period of thirty (30) consecutive Trading Days ending
on the last Trading Day of the immediately preceding calendar quarter exceeds
120% of the applicable Conversion Price in effect on the last Trading Day of
the immediately preceding calendar quarter.

(iii)          The
Notes shall be convertible prior to June 15, 2012, as provided in subsections
(b), (c) and (d) of this Section 13.01.

(b)           In the event that the Company elects to:

(i)            distribute
to all or substantially all holders of Common Stock any rights or warrants
entitling them, for a period of not more than 60 calendar days after the record
date for such distribution, to subscribe for or purchase Common Stock at a
price per share less than the Last Reported Sale Price of the Common Stock for
the Trading Day immediately preceding the declaration date of such
distribution; or

(ii)           distribute
to all or substantially all holders of Common Stock, assets (including cash) or
debt securities of the Company or rights to purchase the Company’s securities,
which distribution has a per share value (as determined by the Board of
Directors) exceeding 10% of the Last Reported Sale Price of the Common Stock on
the Trading Day immediately preceding the date of declaration of such
distribution,

then, in either case, Holders may surrender the Notes
for conversion at any time on and after the date that the Company provides the
notice to such Holders referred to in the next sentence until the earlier of
5:00 p.m., New York City time, on the Business Day immediately preceding the
Ex-Date for such distribution or the date the Company announces that such
distribution will not take place. The Company shall notify Holders at least 35
Scheduled Trading Days prior to the Ex-Date for such distribution. A Holder may
not exercise this right if such Holder is permitted to participate (as a result
of holding the Notes, and at the same time as holders of the Common Stock participate)
in any distribution referred to in clause (i) or clause (ii) above as if such
Holder held a number of shares of Common Stock equal to the then-applicable
Conversion Rate, multiplied by the principal amount (expressed in thousands) of
Notes held by such Holder, without having to convert its Notes.

(c)           If the Company is a party to a combination,
merger, recapitalization, reclassification, binding-share exchange or other
similar transaction or sale or conveyance of all or substantially all of its
properties, in each case pursuant to which the Common Stock would be converted
into cash, securities and/or other property and that does not also constitute a

 58
 

Designated Event, then the Holders shall have
the right to convert Notes at any time beginning 35 Scheduled Trading Days
prior to the date announced by the Company as the anticipated effective date of
the transaction and ending on the 35th Scheduled Trading Day after the date
that is the effective date of such transaction. The Company shall notify Holders
no later than 35 Scheduled Trading Days prior to the anticipated effective date
of such transaction. The Board of Directors shall determine the anticipated
effective date of the transaction, and such determination shall be conclusive
and binding on the Holders.

(d)           If the Company is a party to any transaction
or event described in clause (a) or (e) of the definition of Fundamental
Change, a Holder may surrender Notes for conversion at any time, after the
Company gives the notice referred to in the last sentence of this Section
13.01(d), from and after the 35th Scheduled Trading Day prior to the
anticipated effective date of such transaction or event until (i) the related
Designated Event Repurchase Date or (ii) if there is no such Designated Event
Repurchase Date, 35 Trading Days following the effective date of such
transaction or event.  If an event
described in clause (b), (c) or (d) of the definition of Fundamental Change or
a Termination of Trading occurs, a Holder may surrender Notes for conversion at
any time, after the Company gives the notice referred to in the last sentence
in this Section 13.01(d) and issue a press release on the effective date of
such event, from and after the effective date of such event or the date on
which the Termination of Trading occurs, as the case may be, until (i) the
Designated Event Repurchase Date corresponding to such event or (ii) if there
is no such Designated Event Repurchase Date, 35 Trading Days following the
effective date of such event.  The
Company shall notify, in the manner provided for in Section 1.07, each of the
Holders of the Designated Event and issue a press release, (i) no later than 35
Scheduled Trading Days prior to the anticipated Effective Date with respect to
a transaction or event described in the first sentence above or (ii) with
respect to an event described in the second sentence of this Section 13.01(d),
on the Effective Date or the date on which the Termination of Trading occurs,
as the case may be.

(e)           If a Holder elects to convert Notes at any
time on or after the 35th Scheduled Trading Day prior to the date announced by
the Company as the anticipated effective date of a Fundamental Change described
in clauses (a) or (e) of the definition thereof or on or after the effective
date of a Fundamental Change described in clause (c) of the definition thereof,
in each case until the related Designated Event Repurchase Date for such
Fundamental Change or, if there is no such Designated Event Repurchase Date,
until the 35th Trading Day following such effective date, as applicable, the
Conversion Rate applicable to each $1,000 principal amount of Notes so
converted shall be increased by an additional number of shares of Common Stock
(the “Additional Shares”) as described below; provided,
however, that no increase shall be made
in the case of an event described in clause (a), (c) or (e) of the definition
of Fundamental Change if 100% of the consideration paid for the Company’s
Common Stock (excluding cash payments for fractional shares and cash payments made
pursuant to dissenters’ appraisal rights) in such Fundamental Change consists
of shares of Capital Stock or American Depositary Receipts in respect of shares
of Capital Stock traded (or that will be so traded or quoted immediately
following the transaction) on any of the New York Stock Exchange, the American
Stock Exchange, the NASDAQ Global Select Market or the NASDAQ Global Market (or
their respective successors) and as a result of such transaction or
transactions the Notes become convertible into such shares of such Capital
Stock or such American Depositary Receipts, subject to the payment of the
Principal Portion thereof in cash. Settlement of Notes tendered for conversion
to which Additional Shares shall be added to the Conversion Rate as provided in
this subsection shall be settled pursuant to Section 13.02(d).  The Company shall notify, in the manner 

 59
 

provided for in Section 1.07, each of the
Holders of the occurrence of an event described in this paragraph and issue a
press release (i) no later than 35 Scheduled Trading Days prior to the
anticipated Effective Date with respect to a transaction with respect to any
transaction described in clause (a) or (e) of the definition of the term “Fundamental
Change” and (ii) promptly upon receiving knowledge of the effective
date of such transaction with respect to any transaction described in clause
(c) of the definition of the term “Fundamental Change.”

(i)            The
number of Additional Shares shall be determined by the Company by reference to
the table attached as Schedule II hereto, based on the date on which the
Fundamental Change occurs or becomes effective (the “Effective Date”),
and the Stock Price; provided that
if the actual Stock Price is between two Stock Price amounts in the table or
the Effective Date is between two Effective Dates in the table, the number of
Additional Shares shall be determined by a straight-line interpolation between
the number of Additional Shares set forth for the next higher and next lower
Stock Price amounts and the two nearest Effective Dates, as applicable, based
on a 365-day year; provided, further, that if (1) the Stock Price is greater than $60.00
per share of Common Stock (subject to adjustment in accordance with clause (ii)
below), no Additional Shares shall be added to the Conversion Rate, and (2) the
Stock Price is less than $27.75 per share (subject to adjustment in accordance
with clause (ii) below), no Additional Shares shall be added to the Conversion
Rate. Notwithstanding the foregoing, in no event shall the Conversion Rate
exceed 36.0360 per $1,000 principal amount of Notes (subject to adjustment in
the same manner as set forth in Section 13.04).

(ii)           The
Stock Prices set forth in the first row of the tables in Schedule II hereto
shall be adjusted by the Company as of any date on which the Conversion Rate of
the Notes is adjusted (except pursuant to this Section 13.01(e)). The adjusted
Stock Prices shall equal the Stock Prices applicable immediately prior to such
adjustment, multiplied by a fraction, the numerator of which is the Conversion
Rate in effect immediately prior to the adjustment giving rise to the Stock
Price adjustment and the denominator of which is the Conversion Rate as so
adjusted. The number of Additional Shares within the table shall be adjusted in
the same manner as the Conversion Rate as set forth in Section 13.04 (other
than by operation of an adjustment to the Conversion Rate by adding Additional
Shares).

Section 13.02.          Exercise
of Conversion Privilege.

(a)           Subject to subsection (b) of this Section
13.02, the Company shall satisfy the Conversion Obligation with respect to each
$1,000 principal amount of Notes tendered for conversion in cash and shares of
fully paid Common Stock, if applicable, by delivering, on or before the third
VWAP Trading Day immediately following the last VWAP Trading Day of the related
Observation Period, cash and shares of Common Stock, if any, equal to the sum
of the Daily Settlement Amounts for each of the 30 VWAP Trading Days during the
related Observation Period; provided that
the Company shall deliver cash in lieu of fractional shares of Common Stock as
provided in Section 13.03. The Daily Settlement Amounts shall be determined by
the Company promptly following the last VWAP Trading Day of the Observation
Period.

(b)           Notwithstanding subsection (a) of this
Section 13.02, the Company shall satisfy the Conversion Obligation with respect
to each $1,000 principal amount of Notes tendered 

 60
 

for conversion to which Additional Shares
shall be added to the Conversion Rate as set forth in Section 13.01(e) pursuant
to this clause (b).

(i)            If
the last VWAP Trading Day of the applicable Observation Period related to Notes
surrendered for conversion is prior to the third Scheduled Trading Day
preceding the Effective Date of the Fundamental Change, the Company shall
satisfy the related Conversion Obligation with respect to each $1,000 principal
amount of Notes tendered for conversion as described in this subsection (b) by
delivering the cash and, if applicable, shares of Common Stock (based on the
Conversion Rate, but without regard to the number of Additional Shares to be
added to the Conversion Rate pursuant to Section 13.01(e)) on the third VWAP
Trading Day immediately following the last VWAP Trading Day of the applicable
Observation Period. As soon as practicable following the Effective Date of the
Fundamental Change, the Company shall deliver the increase in such amount of
Common Stock or Reference Property in lieu of shares of Common Stock, if any,
as if the Conversion Rate had been increased by such number of Additional
Shares during the related Observation Period (and based upon the related Daily
VWAP prices during such Observation Period). If such increased amount of cash
and shares, if any, results in an increase to the amount of cash to be paid to
Holders, the Company shall pay such increase in cash, and if such increased
amount results in an increase to the number of shares of Common Stock, the
Company shall deliver such increase by delivering Reference Property based on
such increased number of shares.

(ii)           If
the last VWAP Trading Day of the applicable Observation Period related to Notes
surrendered for conversion is on or following the third Scheduled Trading Day
preceding the Effective Date of such Fundamental Change, the Company shall
satisfy the Conversion Obligation with respect to each $1,000 principal amount
of Notes tendered for conversion as described in this subsection (b) (based on
the Conversion Rate as increased by the Additional Shares pursuant to Section
13.01(e)) on the later to occur of (1) the Effective Date of the Fundamental
Change and (2) the third VWAP Trading Day immediately following the last VWAP
Trading Day of the applicable Observation Period.

(c)           Before any Holder of a Note shall be
entitled to convert the same as set forth above, such holder shall (1) in the
case of a Global Note, comply with the procedures of the Depositary in effect
at that time and, if required, pay funds equal to interest payable on the next
Interest Payment Date to which such Holder is not entitled as set forth in
subsection (i) of this Section 13.02 and, if required, pay all taxes or duties,
if any, and (2) in the case of a Note issued in certificated form, (A) complete
and manually sign and deliver an irrevocable written notice to the Conversion
Agent in the form set forth in Exhibit A hereto (or a facsimile thereof) (a “Notice
of Conversion”) at the office of the Conversion Agent and shall state in
writing therein the principal amount of Notes to be converted and the name or
names (with addresses) in which such Holder wishes the certificate or
certificates for any shares of Common Stock, if any, to be delivered upon
settlement of the Conversion Obligation to be registered, (B) surrender such
Notes, duly endorsed to the Company or in blank (and accompanied by appropriate
endorsement and transfer documents), at the office of the Conversion Agent, (C)
if required, pay funds equal to interest payable on the next Interest Payment
Date to which such Holder is not entitled as set forth in subsection (i) of
this Section 13.02, and (D) if required, pay all taxes or duties, if any.  As used herein, “Conversion Date”
shall mean the date that the Holder has complied with the requirements set
forth in this subsection (c).

 61
 

No Notice of Conversion with respect to any Notes may
be tendered by a Holder thereof if such Holder has also tendered a Designated
Event Repurchase Notice and not validly withdrawn such Designated Event
Repurchase Notice in accordance with the applicable provisions of Section 14.01.

If more than one Note shall be surrendered for
conversion at one time by the same Holder, the Conversion Obligation with
respect to such Notes, if any, that shall be payable upon conversion shall be
computed on the basis of the aggregate principal amount of the Notes (or
specified portions thereof to the extent permitted thereby) so surrendered.

(d)           Delivery of the amounts owing in
satisfaction of the Conversion Obligation shall be made by the Company in no
event later than the date specified in subsection (a) of this Section 13.02,
except to the extent specified in subsection (b) of this Section 13.02. The
Company shall make such delivery by paying the cash amount owed to the Holder
of the Note surrendered for conversion, or such Holder’s nominee or nominees,
and, if applicable, by issuing, or causing to be issued, and delivering to such
Holder, or such Holder’s nominee or nominees, certificates or a book-entry
transfer through the Depositary for the number of full shares of Common Stock,
if any, to which such holder shall be entitled as part of such Conversion
Obligation (together with any cash in lieu of fractional shares).

(e)           In case any Note shall be surrendered for
partial conversion, the Company shall execute and the Trustee shall, as
provided in a Company Order, authenticate and deliver to or upon the written
order of the Holder of the Note so surrendered, without charge to such Holder,
a new Note or Notes in authorized denominations in an aggregate principal
amount equal to the unconverted portion of the surrendered Notes.

(f)            If a Holder submits a Note for conversion,
the Company shall pay all documentary, stamp or similar issue or transfer tax
due, if any, which may be imposed by the United States or any political
subdivision thereof or taxing authority thereof or therein with respect to the
issuance of shares of Common Stock, if any, upon the conversion. However, the
Holder shall pay any such tax which is due because the Holder requests any
shares of Common Stock to be issued in a name other than the Holder’s name. The
Company may refuse to deliver the certificates representing the shares of
Common Stock being issued in a name other than the Holder’s name until the
Company receives a sum sufficient to pay any tax which will be due because the
shares are to be issued in a name other than the Holder’s name. Nothing herein
shall preclude any tax withholding required by law or regulations.

(g)           Except as provided in Section 13.04, no
adjustment shall be made for dividends on any shares issued upon the conversion
of any Note as provided in this Article 13.

(h)           Upon the conversion of an interest in a
Global Note, the Trustee, or the Custodian at the direction of the Trustee,
shall make a notation on such Global Note as to the reduction in the principal
amount represented thereby. The Company shall notify the Trustee in writing of
any conversion of Notes effected through any Conversion Agent other than the
Trustee.

(i)            Upon conversion, a Holder shall not receive
any separate cash payment for accrued and unpaid interest except as set forth
below. The Company’s settlement of the Conversion Obligation as described above
shall be deemed to satisfy its obligation to pay the 

 62
 

principal amount of the Note and accrued and
unpaid interest to, but not including, the Conversion Date. As a result,
accrued and unpaid interest (including Special Interest, if any) to, but not
including, the Conversion Date shall be deemed to be paid in full rather than
cancelled, extinguished or forfeited. Notwithstanding the preceding sentence,
if Notes are converted after 5:00 p.m., New York City time, on a Regular Record
Date, Holders of such Notes as of 5:00 p.m., New York City time, on such
Regular Record Date shall receive the interest payable on such Notes on the
corresponding Interest Payment Date notwithstanding the conversion. Notes
surrendered for conversion during the period from 5:00 p.m., New York City
time, on any Regular Record Date to 9:00 a.m., New York City time, on the
immediately following Interest Payment Date must be accompanied by payment of
an amount in cash equal to the interest payable, on such Interest Payment Date,
on the Notes so converted; provided, however, that no such payment need be made (i) if the
Company has specified a Designated Event Repurchase Date that is after a
Regular Record Date and on or prior to the corresponding Interest Payment Date;
(ii) to the extent of any overdue interest existing at the time of conversion
with respect to such Note; or (iii) with respect to any Conversion Date that
occurs during the period from the close of business on the Regular Record Date
immediately preceding the Maturity Date to the Maturity Date. Except as
described above, no payment or adjustment shall be made for accrued interest on
converted Notes.

(j)            As provided in Section 11.01, the
Subsidiary Guarantees represent full and unconditional guarantees by the
Guarantors on an unsecured and senior subordinated basis of the payment of
principal of and interest and Special Interest, if any, on the Notes.  Upon conversion of the Notes pursuant to this
Article 13, the Subsidiary Guarantees will be deemed to be released and
extinguished.

Section 13.03.          Fractions
of Shares.

No fractional shares of Common Stock shall be issued
upon conversion of any Note or Notes. If more than one Note shall be
surrendered for conversion at one time by the same Holder, the number of full
shares which shall be issuable upon conversion thereof shall be computed on the
basis of the aggregate principal amount of the Notes (or specified portions thereof)
so surrendered. Instead of any fractional share of Common Stock that would
otherwise be issuable upon conversion of any Note or Notes (or specified
portions thereof), the Company shall calculate and pay a cash adjustment in
respect of such fraction (calculated to the nearest 1/100th of a share) in an
amount equal to the same fraction of the Daily VWAP of the Common Stock on the
last VWAP Trading Day of the relevant Observation Period.

Section 13.04.          Adjustment
of Conversion Rate.

The Conversion Rate shall be adjusted from time to
time by the Company as follows; provided that
the Company shall not make any adjustments to the Conversion Rate if Holders of
the Notes participate (as a result of holding the Notes, and at the same time
as holders of the Common Stock participate) in any the transactions described
below as if such Holders held a number of shares of Common Stock equal to the
then-applicable Conversion Rate, multiplied by the principal amount (expressed
in thousands) of Notes held by such Holders, without having to convert their
Notes:

 63
 

(a)           In case the Company shall issue shares of
Common Stock as a dividend or distribution on shares of Common Stock, or shall
effect a share split or share combination, the Conversion Rate shall be
adjusted based on the following formula:

	
  

  	
  CR’ = CR0 ×

  	
    OS’

  	
   

  
	
   

  	
   

  	
    OS0

  	
   

  

 

where,

CR0 = the Conversion Rate in effect immediately
prior to the Ex-Date for such dividend or distribution or immediately prior to
the effective date of such share split or combination, as the case may be;

CR’ = the Conversion Rate
in effect immediately after the Ex-Date for such dividend or distribution or
immediately after the effective date of such share split or combination, as the
case may be;

OS0 = the number of shares of Common Stock
outstanding immediately prior to the Ex-Date for such dividend or distribution
or immediately prior to the effective date of such share split or combination,
as the case may be; and

OS’ = the number of
shares of Common Stock outstanding as of the Ex-Date and after giving effect to
such dividend or distribution or will be outstanding after the effective date
of such share split or combination, as the case may be.

Such adjustment shall become effective immediately
prior to the opening of business on the Ex-Date fixed for such dividend or
distribution, or the effective date for such share split or share combination.
If any dividend or distribution of the type described in this Section 13.04(a)
is declared but not so paid or made, or the outstanding shares of Common Stock
are not split or combined, as the case may be, the Conversion Rate shall be
immediately readjusted, effective as of the date the Board of Directors
determines not to pay such dividend or distribution, or split or combine the outstanding
shares of Common Stock, as the case may be, to the Conversion Rate that would
then be in effect if such dividend, distribution, share split or share
combination had not been declared.

(b)           In case the Company shall distribute to all
or substantially all holders of its outstanding shares of Common Stock rights
or warrants entitling them (for a period expiring not more than 60 calendar
days after the record date for such distribution) to subscribe for or purchase
shares of Common Stock at a price per share less than the Last Reported Sale
Price of the Common Stock on the Trading Day immediately preceding the
declaration date of such distribution, the Conversion Rate shall be adjusted
based on the following formula:

	
  

  	
  CR’ = CR0 ×

  	
    OS0 + X

  	
   

  
	
   

  	
   

  	
    OS0 + Y

  	
   

  

 

where,

CR0 = the Conversion Rate in effect immediately
prior to the Ex-Date for such distribution;

 64
 

CR’ = the Conversion Rate
in effect immediately after the Ex-Date for such distribution;

OS0 = the number of shares of Common Stock
outstanding immediately prior to the Ex-Date for such distribution;

X = the total number of
shares of Common Stock issuable pursuant to such rights or warrants; and

Y = the number of shares
of Common Stock equal to the aggregate price payable to exercise such rights or
warrants divided by the average of the Last Reported Sale Prices of Common
Stock over the 10 consecutive Trading Day period ending on the Trading Day
immediately preceding the Ex-Date for such distribution.

Such adjustment shall be successively made whenever
any such rights or warrants are distributed and shall become effective
immediately prior to the opening of business on the Ex-Date for such
distribution.  The Company shall not
issue any such rights or warrants in respect of shares of the Common Stock held
in treasury by the Company.  To the
extent that shares of the Common Stock are not delivered after the expiration
of such rights or warrants, the Conversion Rate shall be readjusted to the
Conversion Rate that would then be in effect had the adjustments made upon the
issuance of such rights or warrants been made on the basis of delivery of only
the number of shares of Common Stock actually delivered.  If such rights or warrants are not so issued,
the Conversion Rate shall again be adjusted to be the Conversion Rate that
would then be in effect if such Ex-Date for such distribution had not been
fixed.

In determining whether any rights or warrants entitle
the holders to subscribe for or purchase shares of Common Stock at less than
such Last Reported Sale Price, and in determining the aggregate offering price
of such shares of Common Stock, there shall be taken into account any
consideration received by the Company for such rights or warrants and any
amount payable on exercise or conversion thereof, the value of such
consideration, if other than cash, to be determined by the Board of Directors.

(c)           In case the Company shall, by dividend or
otherwise, distribute to all or substantially all holders of its Common Stock
shares of any class of Capital Stock of the Company, evidences of its
Indebtedness or other assets or property of the Company (including securities,
but excluding dividends and distributions covered by subsection (a), (b) or (d)
of this Section 13.04 and distributions described below in this subsection (c)
with respect to Spin-Offs) (any of such shares of Capital Stock, Indebtedness,
or other asset or property hereinafter in this subsection (c) called the “Distributed
Property”), then, in each such case the Conversion Rate shall be adjusted
based on the following formula:

	
  

  	
  CR’ = CR0 ×

  	
       SP0

  	
   

  
	
   

  	
   

  	
  SP0 – FMV

  	
   

  

 

where,

CR0 = the Conversion Rate in effect immediately
prior to the Ex-Date for such distribution;

 65

CR’ = the Conversion Rate
in effect immediately after the Ex-Date for such distribution;

SP0 = the average of the Last Reported Sale Prices
of Common Stock over the ten (10) consecutive Trading Day period ending on the
Trading Day immediately preceding the Ex-Date for such distribution; and

FMV = the fair market
value as determined by the Board of Directors of the Distributed Property with
respect to each outstanding share of Common Stock on the Ex-Date for such
distribution.

Such adjustment shall become effective immediately
prior to the opening of business on the Ex-Date for such distribution; provided that if “FMV” as set forth above is equal to
or greater than “SP0” as set forth above, in lieu of the foregoing
adjustment, adequate provision shall be made so that each Holder of Notes has
the right to receive, for each $1,000 principal amount of Notes, the amount of
Distributed Property such Holder would have received had such holder owned a
number of shares of Common Stock equal to the Conversion Rate on the Ex-Date
for such distribution, without being required to convert the Notes.  If such distribution is not so paid or made,
the Conversion Rate shall again be adjusted to be the Conversion Rate that
would then be in effect if such dividend or distribution had not been
declared.  If the Board of Directors
determines “FMV” for purposes of this Section 13.04(c) by reference to
the actual or when issued trading market for any securities, it must in doing
so consider the prices in such market over the same period used in computing
the Last Reported Sale Prices of the Common Stock over the ten consecutive
Trading Day period ending on the Trading Day immediately preceding the Ex-Date
for such distribution.

With respect to an adjustment pursuant to this
subsection (c) where there has been a payment of a dividend or other
distribution on the Common Stock or shares of Capital Stock of any class or
series, or similar equity interest, of or relating to a Subsidiary or other
business unit (a “Spin-Off”), the Conversion Rate in effect immediately
before 5:00 p.m., New York City time, on the 10th Trading Day immediately
following, and including, the effective date of the Spin-Off shall be increased
based on the following formula:

	
  CR’
  = CR0 ×

  	
   

  	
    FMV0 + MP0

  
	
   

  	
   

  	
    MP0

  

 

where,

CR0 = the Conversion Rate in effect immediately
prior to the 10th Trading Day immediately following the effective date of the
Spin-Off;

CR’ = the Conversion Rate
in effect immediately after the 10th Trading Day immediately following the
effective date of the Spin-Off;

FMV0 = the average of the Last Reported Sale Prices
of the capital stock or similar equity interest distributed to holders of
Common Stock applicable to one share of Common Stock over the first 10
consecutive Trading Day period immediately following, and including, the
effective date of the Spin-Off; and

 66
 

MP0 = the average of the Last Reported Sale Prices
of our common stock over the first 10 consecutive Trading Day period
immediately following, and including, the effective date of the Spin-Off.

Such adjustment shall occur on the 10th Trading Day
immediately following, and including, the effective date of the Spin-Off; provided that in respect of any conversion within the 10
Trading Days immediately following, and including, the effective date of any
Spin-Off, references with respect to the Spin-Off to 10 Trading Days shall be
deemed replaced with such lesser number of Trading Days as have elapsed between
the effective date of such Spin-Off and the Conversion Date in determining the
applicable Conversion Rate; provided, further, that in respect of any conversion within the first
four Trading Days following the effective date of such Spin-Off (if such
Trading Days are also VWAP Trading Days), references to 10 Trading Days shall
be deemed replaced with four Trading Days).

Rights or warrants distributed by the Company to all
holders of Common Stock, entitling the holders thereof to subscribe for or
purchase shares of the Company’s Capital Stock, including Common Stock (either
initially or under certain circumstances), which rights or warrants, until the
occurrence of a specified event or events (“Trigger Event”): (i) are
deemed to be transferred with such shares of Common Stock; (ii) are not
exercisable; and (iii) are also issued in respect of future issuances of Common
Stock, shall be deemed not to have been distributed for purposes of this
Section 13.04 (and no adjustment to the Conversion Rate under this Section
13.04 shall be required) until the occurrence of the earliest Trigger Event,
whereupon such rights and warrants shall be deemed to have been distributed and
an appropriate adjustment (if any is required) to the Conversion Rate shall be
made under this subsection (c). If any such rights or warrants are subject to
events, upon the occurrence of which such rights or warrants become exercisable
to purchase different securities, evidences of Indebtedness or other assets,
then the date of the occurrence of any and each such event shall be deemed to be
the date of distribution and record date with respect to new rights or warrants
with such rights (and a termination or expiration of the existing rights or
warrants without exercise by any of the holders thereof). In addition, in the
event of any distribution (or deemed distribution) of rights or warrants, or
any Trigger Event or other event (of the type described in the preceding
sentence) with respect thereto that was counted for purposes of calculating a
distribution amount for which an adjustment to the Conversion Rate under this
Section 13.04 was made, (1) in the case of any such rights or warrants that
shall all have been redeemed or repurchased without exercise by any holders
thereof, the Conversion Rate shall be readjusted upon such final redemption or
repurchase to give effect to such distribution or Trigger Event, as the case
may be, as though it were a cash distribution, equal to the per share
redemption or repurchase price received by a holder or holders of Common Stock
with respect to such rights or warrants (assuming such holder had retained such
rights or warrants), made to all holders of Common Stock as of the date of such
redemption or repurchase, and (2) in the case of such rights or warrants that
shall have expired or been terminated without exercise by any holders thereof,
the Conversion Rate shall be readjusted as if such rights and warrants had not
been issued.

For purposes of this subsection (c) and subsections
(a) and (b) of this Section 13.04, any dividend or distribution to which this
subsection (c) is applicable that also includes shares of Common Stock to which
subsection (a) of this Section 13.04 applies or rights or warrants to subscribe
for or purchase shares of Common Stock to which subsection (a) or (b) of this
Section 13.04 applies (or both), shall be deemed instead to be (1) a dividend
or distribution of the evidences of Indebtedness, assets or shares of capital
stock other than such shares of Common 

 67
 

Stock or rights or warrants, to which this subsection
(c) applies (and any Conversion Rate adjustment required by this subsection (c)
with respect to such dividend or distribution shall then be made) immediately
followed by (2) a dividend or distribution of such shares of Common Stock or
such rights or warrants (and any further Conversion Rate adjustment required by
subsections (a) and (b) of this Section 13.04 with respect to such dividend or
distribution shall then be made), except (A) the Ex-Date of such dividend or
distribution shall under this subsection (c) be substituted as “the Ex-Date”
within the meaning of subsection (a) and subsection (b) and (B) any shares of
Common Stock included in such dividend or distribution shall not be deemed “outstanding
immediately prior to the Ex-Date for such dividend or distribution or immediately
prior to the effective date of such share split or combination, as the case may
be” within the meaning of subsection (a) or “outstanding immediately prior to
the Ex-Date for such distribution” within the meaning of subsection (b).

(d)           In case the Company shall pay dividends or
make distributions consisting exclusively of cash to all or substantially all
holders of its Common Stock (excluding the first dividend or distribution with
the Ex-Date for such dividend or distribution in any calendar quarter if such
dividend or distribution does not exceed $0.20 per share (the “Dividend
Threshold Amount”); provided that
the Dividend Threshold Amount is subject to adjustment in a manner inversely
proportional to adjustments to the Conversion Rate, except that no adjustment
will be made to the Dividend Threshold Amount on account of any adjustment made
to the Conversion Rate pursuant to this paragraph; provided,
further, that if such dividend or
distribution is not the first dividend or distribution with an Ex-Date during
any calendar quarter, the Dividend Threshold Amount will be deemed to be zero),
the Conversion Rate shall be adjusted based on the following formula:

	
  CR’ = CR0 ×

  	
   

  	
  SP0 - QD

  
	
   

  	
   

  	
  SP0 - C

  

 

where,

CR0 = the Conversion Rate in effect immediately
prior to the Ex-Date for such distribution;

CR’ = the Conversion Rate
in effect immediately after the Ex-Date for such distribution;

SP0 = the average of the Last Reported Sale Prices
of Common Stock for the 5 consecutive Trading Days immediately preceding the
Ex-Date for such distribution;

QD = the Dividend
Threshold Amount; and

C = the amount in cash
per share we distribute to holders of Common Stock in such distribution.

Such adjustment shall become effective immediately
prior to the opening of business on the Ex-Date for such dividend or
distribution; provided that if the portion of
the cash so distributed applicable to one share of the Common Stock is equal to
or greater than SP0 as set forth above, in lieu of the foregoing adjustment,
adequate provision shall be made so that each 

 68
 

Holder of Notes shall receive on the date on which
such cash dividend is distributed to holders of Common Stock, for each $1,000
principal amount of Notes, the amount of cash such holder would have received
had such holder owned a number of shares equal to the Conversion Rate on the
Ex-Date for such distribution, without being required to convert the Notes. If
such dividend or distribution is not so paid or made, the Conversion Rate shall
again be adjusted to be the Conversion Rate that would then be in effect if
such dividend or distribution had not been declared.

For the avoidance of doubt, for purposes of this
subsection (d), in the event of any reclassification of the Common Stock, as a
result of which the Notes become convertible into more than one class of Common
Stock, if an adjustment to the Conversion Rate is required pursuant to this
subsection (d), references in this Section 13.04 to one share of Common Stock
or Last Reported Sale Price of one share of Common Stock shall be deemed to
refer to a unit or to the price of a unit consisting of the number of shares of
each class of Common Stock into which the Notes are then convertible equal to
the numbers of shares of such class issued in respect of one share of Common
Stock in such reclassification. The above provisions of this paragraph shall
similarly apply to successive reclassifications.

(e)           In case the Company or any of its
Subsidiaries make a payment in respect of a tender offer or exchange offer for
all or any portion of the Common Stock, to the extent that the cash and value
of any other consideration included in the payment per share of Common Stock
exceeds the Last Reported Sale Price of the Common Stock on the Trading Day
next succeeding the last date on which tenders or exchanges may be made
pursuant to such tender or exchange offer (as it may be amended), the
Conversion Rate shall be increased based on the following formula:

	
  CR’
  = CR0 ×

  	
   

  	
    AC + (SP’ × OS’)

  
	
   

  	
   

  	
    OS0 × SP’

  

 

where,

CR0 = the Conversion Rate in effect on the date
such tender or exchange offer expires;

CR’ = the Conversion Rate
in effect after the date such tender or exchange offer expires;

AC = the aggregate value
of all cash and any other consideration as determined by the Board of Directors
paid or payable for shares purchased in such tender or exchange offer;

OS0 = the number of shares of Common Stock
outstanding immediately prior to the date such tender or exchange offer
expires;

OS’ = the number of
shares of Common Stock outstanding immediately after the date such tender or
exchange offer expires (after giving effect to such tender offer or exchange
offer); and

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SP’ = the average of the
Last Reported Sale Prices of Common Stock for the 10 consecutive Trading Days
immediately succeeding the date such tender or exchange offer expires.

Such adjustment shall become effective immediately
after close of business on the 10th Trading Day next succeeding the date such
tender or exchange offer expires; provided that
in respect of any conversion within the 10 Trading Days immediately succeeding
the date such tender or exchange offer expires, references with respect to the
tender or exchange offer to the 10 Trading Days shall be deemed replaced with
such lesser number of Trading Days as have elapsed between the expiration date
of such tender or exchange offer and the conversion date in determining the
applicable Conversion Rate; provided, further, that in respect of any conversion within the first
four Trading Days following the expiration date of such tender or exchange
offer (if such Trading Days are also VWAP Trading Days), references to 10
Trading Days shall be deemed replaced with four Trading Days. If the Company or
its Subsidiary is obligated to purchase shares of Common Stock pursuant to any
such tender or exchange offer, but the Company or its Subsidiary is permanently
prevented by applicable law from effecting all or any such purchases or all or
any portion of such purchases are rescinded, the Conversion Rate shall again be
adjusted to be the Conversion Rate that would then be in effect if such tender
or exchange offer had not been made or had only been made in respect of the
purchases that had been effected.

No adjustment to the Conversion Rate shall be made if
the application of any of the foregoing formulas (other than in connection with
a share combination) would result in a decrease in the Conversion Rate.

For purposes of this Section 13.04 the term “record
date” shall mean, with respect to any dividend, distribution or other
transaction or event in which the holders of Common Stock have the right to
receive any cash, securities or other property or in which the Common Stock (or
other applicable security) is exchanged for or converted into any combination
of cash, securities or other property, the date fixed for determination of
shareholders entitled to receive such cash, securities or other property
(whether such date is fixed by the Board of Directors or by statute, contract
or otherwise).

(f)            In addition to those required by
subsections (a), (b), (c), (d) and (e) of this Section 13.04, and to the extent
permitted by applicable law, the Company from time to time may increase the
Conversion Rate by any amount for a period of at least 20 calendar days if the
Board of Directors determines that such increase would be in the Company’s best
interest. Whenever the Conversion Rate is increased pursuant to the preceding
sentence, the Company shall mail to the Holder of each Note a notice prior to
the date the increased Conversion Rate takes effect, and such notice shall
state the increased Conversion Rate and the period during which it will be in
effect. In addition, the Company may also (but is not required to) increase the
Conversion Rate to avoid or diminish any income tax to holders of Common Stock
or rights to purchase Common Stock in connection with any dividend or
distribution of shares (or rights to acquire shares) or similar event.

(g)           Without limiting the foregoing, no
adjustment to the Conversion Rate need be made

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(i)            upon
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 Company and the investment of additional optional amounts in
shares of Common Stock under any plan;

(ii)           upon
the issuance of any shares of Common Stock or options or rights to purchase
shares of Common Stock pursuant to any present or future employee, director or
consultant benefit plan or program or employee stock purchase plan of or
assumed by the Company or any of its Subsidiaries;

(iii)          upon
the issuance of any shares of Common Stock pursuant to any option, warrant,
right, or exercisable, exchangeable or convertible security not described in
clause (ii) above and outstanding as of the date of this Indenture;

(iv)          for
a change in the par value of the Common Stock; or

(v)           for
accrued and unpaid interest (including any Special Interest).

(h)           All calculations and other determinations
under this Article 13 shall be made by the Company and shall be made to the
nearest cent or to the nearest one-ten thousandth (1/10,000) of a share, as the
case may be. No adjustment shall be made for the Company’s issuance of Common
Stock or convertible or exchangeable securities or rights to purchase Common
Stock or convertible or exchangeable securities, other than as provided in this
Section 13.04. No adjustment shall be made to the Conversion Rate unless such
adjustment would require a change of at least 1% in the Conversion Rate then in
effect at such time. The Company shall carry forward any adjustments that are
less than 1% of the Conversion Rate and make such carried forward adjustments,
regardless of whether the aggregate adjustment is less than 1% (1) annually, on
the anniversary of the date of this Indenture, (2) upon a Designated Event or
(3) on the Maturity Date (and on each VWAP Trading Day of the 30 VWAP Trading
Day Observation Period beginning on the 32nd Scheduled Trading Day prior to the
Maturity Date).

(i)            In any case in which this Section 13.04
provides that an adjustment shall become effective immediately after (1) the
Ex-Date for an event or (2) the last date on which tenders or exchanges may be
made pursuant to any tender or exchange offer pursuant to subsection (e) of
this Section 13.04 (each an “Adjustment Determination Date”), the
Company may elect to defer until the occurrence of the applicable Adjustment
Event (as hereinafter defined) (x) issuing to the Holder of any Note converted
after such Adjustment Determination Date and before the occurrence of such
Adjustment Event, the additional cash and, if applicable, shares of Common
Stock or other securities issuable upon such conversion by reason of the
adjustment required by such Adjustment Event over and above the amounts
deliverable upon such conversion before giving effect to such adjustment and
(y) paying to such Holder any amount in cash in lieu of any fractional share
pursuant to Section 13.03. For purposes of this subsection (i), the term “Adjustment
Event” shall mean:

(i)            in
any case referred to in clause (1) hereof, the date any dividend or
distribution of Common Stock, shares of capital stock, evidences of
Indebtedness, other assets or property or cash is paid or made, the effective
date of any share split or combination or the date of expiration of any rights
or warrants, and

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(ii)           in
any case referred to in clause (2) hereof, the date a sale or exchange of
Common Stock pursuant to such tender or exchange offer is consummated and
becomes irrevocable.

(j)            For purposes of this Section 13.04, the
number of shares of Common Stock at any time outstanding shall not include
shares held in the treasury of the Company but shall include shares issuable in
respect of scrip certificates issued in lieu of fractions of shares of Common
Stock.

(k)           For the avoidance of doubt, if a holder
converts Notes prior to the effective date of a Designated Event, and the
Designated Event does not occur, the Holder shall not be entitled to Additional
Shares in connection with such conversion.

(l)            With respect to a conversion of Notes
pursuant to this Article 13, at and after the close of business on the last
VWAP Trading Day (the “Relevant Date”) of the related Observation
Period, the Person in whose name any certificate representing any shares of
Common Stock issuable upon such conversion is registered shall be treated as a
stockholder of record of the Company on such Relevant Date; provided, however, that
if any such shares of Common Stock constitute Additional Shares, then the
Relevant Date with respect to such shares that constitute Additional Shares
shall instead be deemed to be the later of (i) the last VWAP Trading Day of the
related Observation Period and (ii) the Effective Date of the Fundamental Change
resulting in the Additional Shares. On and after the Conversion Date with
respect to a conversion of Notes pursuant hereto, all rights of the Holders of
such Notes shall terminate, other than the right to receive the consideration
deliverable upon conversion of such Notes as provided herein. A Holder of a
Note is not entitled, as such, to any rights of a holder of Common Stock until,
if such Holder converts such Note and is entitled pursuant hereto to receive
shares of Common Stock in respect of such conversion, the close of business on
the Relevant Date or respective Relevant Dates, as the case may be, with
respect to such conversion.

(m)          Whenever any provision of this Article 13
requires a calculation of Last Reported Sale Prices or Daily VWAP over a span
of multiple days, the Company shall make appropriate adjustments to the Daily
Settlement Amounts (determined in good faith by the Board of Directors) to
account for any adjustment to the Conversion Rate that becomes effective, or
any event requiring an adjustment to the Conversion Rate where the Ex-Date of
the event occurs, at any time during the period from which such calculation is
to be calculated; provided that such adjustments
shall only be made to the Daily Settlement Amounts relating to days prior to
the date that the adjustment to the Conversion Rate becomes effective.

Section 13.05.        Notice of Adjustments
of Conversion Rate.

Whenever the Conversion Rate is adjusted as herein
provided:

(a)           the Company shall compute the adjusted
Conversion Rate in accordance with Section 13.04 and shall prepare a
certificate signed by the Chief Financial Officer of the Company setting forth
the adjusted Conversion Rate and showing in reasonable detail the facts upon
which such adjustment is based, and such certificate shall promptly be filed
with the Trustee and with each Conversion Agent (if other than the Trustee);
and

 72
 

(b)           upon each such adjustment, a notice stating
that the Conversion Rate has been adjusted and setting forth the adjusted
Conversion Rate shall be required, such notice shall be provided by the Company
to all Holders in accordance with Section 1.07.

Neither the Trustee nor any Conversion Agent shall be
under any duty or responsibility with respect to any such certificate or the
information and calculations contained therein, except to exhibit the same to
any Holder of Notes desiring inspection thereof at its office during normal
business hours.

Section 13.06.        Company to Reserve
Common Stock.

The Company shall at all times reserve and keep
available, free from preemptive rights, out of its authorized but unissued
Common Stock, for the purpose of effecting the conversion of Notes, the full
number of shares of Common Stock then issuable upon the conversion of all
outstanding Notes.

Section 13.07.          Taxes
on Conversions.

Except as provided in the next sentence, the Company
shall pay all documentary, stamp or similar issue or transfer tax due that may
be payable in respect of the issue or delivery of shares of Common Stock on
conversion of Notes pursuant hereto. The Company shall not, however, be
required, and the Holder shall instead be required, to pay any tax or duty that
may be payable in respect of (i) income of the Holder, or (ii) any transfer
involved in the issue and delivery of shares of Common Stock in a name other
than that of the Holder of the Note or Notes to be converted, and no such issue
or delivery shall be made unless and until the Person requesting such issue has
paid to the Company the amount of any such tax or duty, or has established to the
satisfaction of the Company that such tax or duty has been paid.

Section 13.08.        Certain Covenants.

Before taking any action which would cause an
adjustment reducing the Conversion Rate below the then par value, if any, of
the shares of Common Stock issuable upon conversion of the Notes, the Company
shall take all corporate action, if any, which it reasonably determines may be
necessary in order that the Company may validly and legally issue shares of
such Common Stock at such adjusted Conversion Rate.

The Company covenants that all shares of Common Stock
issued upon conversion of Notes shall be fully paid and non-assessable by the
Company and free from all liens created by the Company.

The Company further covenants that if at any time the
Common Stock shall be listed for trading on any other national securities
exchange the Company shall, if permitted and required by the rules of such
exchange, list and keep listed, so long as the Common Stock shall be so listed
on such exchange, all Common Stock issuable upon conversion of the Notes.

Section 13.09.        Cancellation of
Converted Notes.

All Notes delivered for conversion shall be delivered
to the Trustee or its agent and canceled by the Trustee as provided in Article
3.

 73
 

Section 13.10.        Provision in Case of
Effect of Reclassification, Consolidation, Merger or Sale.

If any of the following events occur, namely (i) any
reclassification or change of the outstanding shares of 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 split, subdivision or combination),
(ii) any consolidation, merger, combination or binding share exchange of the
Company with another Person, or (iii) any sale or conveyance of all or
substantially all of the property and assets of the Company to any other
Person, in any case as a result of which holders of Common Stock shall be
entitled to receive cash, securities or other property or assets with respect
to or in exchange for such Common Stock (any such event described in clauses
(i) through (iii) a “Merger Event”), then:

(a)           the Company or the successor or purchasing
Person, 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) permitted under Section 9.01(i) providing for
the conversion and settlement of the Notes as set forth in this Indenture. 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 13 and the Trustee may conclusively rely on the determination by the
Company of the equivalency of such adjustments. If, in the case of any Merger
Event, the Reference Property includes shares of stock or other securities and
assets of a company other than the successor or purchasing company, as the case
may be, in such reclassification, change of control, consolidation, merger,
combination, binding share exchange, sale or conveyance, then such supplemental
indenture shall also be executed by such other company and shall contain such
additional provisions to protect the interests of the Holders of the Notes as
the Board of Directors shall reasonably consider necessary by reason of the
foregoing, including to the extent required by the Board of Directors and
practicable the provisions providing for the repurchase rights set forth in
Article 11.

In the event a supplemental indenture is executed
pursuant to this Section 13.10, the Company shall promptly file with the
Trustee an Officers’ Certificate briefly stating the reasons therefore, the
kind or amount of cash, securities or property or assets that will constitute the
Reference Property after any such Merger Event, any adjustment to be made with
respect thereto and that all conditions precedent have been complied with, and
shall promptly mail notice thereof to all Holders.

If any securities to be provided for the purpose of
conversion of Notes hereunder require registration with or approval of any
governmental authority under any federal or state law before such securities
may be validly issued upon conversion, each supplemental indenture executed
pursuant to this Section 13.10 shall provide that the Company or the successor
or the purchasing Person, as the case may be, or if the Reference Property
includes shares of stock or other securities and assets of a company other than
the successor or purchasing company, as the case may be, then such company,
shall use all commercially reasonable efforts, to the extent then permitted by
the rules and interpretations of the SEC (or any successor thereto), to secure
such registration or approval in connection with the conversion of Notes.

(b)           Notwithstanding the provisions of Section
13.02(a) and Section 13.02(b), and subject to the provisions of Section 13.01,
at the effective time of such Merger Event, the right to convert each $1,000
principal amount of Notes shall be changed to a right to convert such 

 74
 

Notes by reference to the kind and amount of
cash, securities or other property or assets that a holder of a number of
shares of Common Stock equal to the Conversion Rate immediately prior to such
transaction would have owned or been entitled to receive (the “Reference
Property”) such that from and after the effective time of such transaction,
a Holder shall be entitled thereafter to convert its Notes into cash and, in
lieu of Common Stock, if any, the same type (and in the same proportion) of
Reference Property, based on the Daily Settlement Amounts of Reference Property
in an amount equal to the applicable Conversion Rate, as described under
Section 13.02(a). For purposes of determining the constitution of Reference
Property, the type and amount of consideration that a holder of Common Stock
would have been entitled to in the case of reclassifications, consolidations,
mergers, binding share exchanges, sales or conveyance of assets or other
transactions that cause the Common Stock to be converted into the right to
receive more than a single type of consideration (determined based in part upon
any form of stockholder election) shall be deemed to be the (i) weighted
average of the types and amounts of consideration received by the holders of
Common Stock that affirmatively make such an election or (ii) if no holders of
Common Stock affirmatively make such election, the weighted average of the
types and amounts of consideration actually received by such holders. The
Company shall not become a party to any such transaction unless its terms are
consistent with the preceding. None of the foregoing provisions shall affect
the right of a holder of Notes to convert its Notes in accordance with the
provisions of this Article 13 prior to the effective date.

(c)           The Company shall cause notice of the
execution of such supplemental indenture to be mailed to each Holder, at his
address appearing on the register provided for in this Indenture, within 20
calendar days after execution thereof. 
Failure to deliver such notice shall not affect the legality or validity
of such supplemental indenture.

(d)           The above provisions of this Section 13.10
shall similarly apply to successive Merger Events.

Section 13.11.        Responsibility of
Trustee for Conversion Provisions.

The Trustee and any Conversion Agent shall not at any
time be under any duty or responsibility to any Holder of Notes to determine
whether any facts exist which may require any adjustment of the Conversion
Rate, or with respect to the nature or extent of any such adjustment when made,
or with respect to the method employed, herein or in any supplemental indenture
provided to be employed, in making the same, or whether a supplemental
indenture need be entered into.  Neither
the Trustee nor any Conversion Agent shall be accountable with respect to the
validity or value (or the kind or amount) of any Common Stock, or of any other
securities or property or cash, which may at any time be issued or delivered
upon the conversion of any Notes; and it or they do not make any representation
with respect thereto.  Neither the
Trustee nor any Conversion Agent shall be responsible for any failure of the
Company to make or calculate any cash payment or to issue, transfer or deliver
any shares of Common Stock or share certificates or other securities or
property or cash upon the surrender of any Note for the purpose of conversion;
and the Trustee and any Conversion Agent shall not be responsible for any
failure of the Company to comply with any of the covenants of the Company
contained in this Article 13.

 75

ARTICLE 14

REPURCHASE OF NOTES

Section 14.01.        Right
to Require Repurchase Upon a Designated Event.

(a)           If a Designated Event occurs at any time,
then each Holder shall have the right, at such Holder’s option, to require the
Company to repurchase all of such Holder’s Notes or any portion thereof that is
an integral multiple of $1,000 principal amount, for cash on the date (the “Designated
Event Repurchase Date”) specified by the Company that is not less than 20
calendar days and not more than 35 calendar days after the date of the
Designated Event Repurchase Right Notice at a repurchase price equal to 100% of
the principal amount thereof, together with accrued and unpaid interest thereon
to, but excluding, the Designated Event Repurchase Date, unless such Designated
Event Repurchase Date falls after a Regular Record Date and on or prior to the
corresponding Interest Payment Date, in which case the Company shall pay the
full amount of accrued and unpaid interest payable on such Interest Payment
Date to the holder of record at the close of business on the corresponding
Regular Record Date (the “Designated Event Repurchase Price”).

However, notwithstanding the foregoing, Holders shall
not have the right to require the Company to repurchase any Notes under this
Section 14.01 based on a Fundamental Change described in clause (a), (c) or (e)
(or clause (d), if the same transaction) of the definition thereof (and the
Company shall not be required to deliver the Designated Event Repurchase Right
Notice incidental thereto) if 100% of the consideration paid for the Company’s
Common Stock (excluding cash payments for fractional shares and cash payments
made pursuant to dissenters’ appraisal rights and cash dividends) in such
transaction consists of shares of Capital Stock or American Depositary Receipts
in respect of shares of Capital Stock traded (or will be so traded immediately
following the merger or consolidation) on any of the New York Stock Exchange,
the American Stock Exchange, the NASDAQ Global Select Market or the NASDAQ
Global Market (or their respective successors) and, as a result of the
completion of such transaction, the Notes become convertible in whole into such
shares of such Capital Stock or such American Depositary Receipts, subject to
the payment of the Principal Portion thereof in cash.

Repurchases of Notes under this Section 14.01 shall be
made, at the option of the Holder thereof, upon:

(i)            delivery
to the Trustee (or other Paying Agent appointed by the Company) by a Holder of
a duly completed notice (the “Designated Event Repurchase Notice”) in
the form set forth on the reverse of the Note prior to the close of business on
the Business Day immediately preceding the Designated Event Repurchase Date;
and

(ii)           delivery
or book-entry transfer of the Notes to the Trustee (or other Paying Agent
appointed by the Company) at any time after delivery of the Designated Event
Repurchase Notice (together with all necessary endorsements) at the Corporate
Trust Office of the Trustee (or other Paying Agent appointed by the Company),
such delivery being a condition to receipt by the Holder of the Designated
Event Repurchase Price therefor; provided that
such Designated Event Repurchase Price shall be so paid pursuant to this
Section 14.01 only if the Note so delivered to the Trustee (or other Paying
Agent appointed by the Company) shall conform in all respects to the
description thereof in the related Designated Event Repurchase Notice.

 76
 

The Designated Event Repurchase Notice shall state:

(A)          if
certificated, the certificate numbers of Notes to be delivered for repurchase;

(B)           the
portion of the principal amount of Notes to be repurchased, which must be
$1,000 or an integral multiple thereof; and

(C)           that
the Notes are to be repurchased by the Company pursuant to the applicable
provisions of the Notes and this Indenture.

Any purchase by the Company contemplated pursuant to
the provisions of this Section 14.01 shall be consummated by the delivery of
the consideration to be received by the Holder promptly following the later of
the Designated Event Repurchase Date and the time of the book-entry transfer or
delivery of the Note.

The Trustee (or other Paying Agent appointed by the
Company) shall promptly notify the Company of the receipt by it of any
Designated Event Repurchase Notice or written notice of withdrawal thereof in
accordance with the provisions of subsection (c) of this Section 14.01.

Any Note that is to be repurchased only in part shall
be surrendered to the Trustee (with, if the Company or the Trustee so requires,
due endorsement by, or a written instrument of transfer in form satisfactory to
the Company and the Trustee duly executed by the Holder thereof or his attorney
duly authorized in writing), and the Company shall execute, and the Trustee
shall authenticate and make available for delivery to the Holder of such Note
without service charge, a new Note or Notes, containing identical terms and
conditions, each in an authorized denomination in aggregate principal amount
equal to and in exchange for the unrepurchased portion of the principal of the
Note so surrendered.

(b)           After the occurrence of a Designated Event,
but on or before the 10th calendar day after the Effective Date of such
Designated Event, the Company shall provide to all Holders of record of the
Notes and the Trustee and Paying Agent a notice of the occurrence of such
Designated Event and of the repurchase right, if any (the “Designated Event
Repurchase Right Notice”), at the option of the Holders arising as a result
thereof.

Each Designated Event Repurchase Right Notice shall
specify (if applicable):

(i)            the
events causing the Designated Event;

(ii)           the
date of the Designated Event;

(iii)          the
Designated Event Repurchase Date and the last date on which a Holder may
exercise the repurchase right;

(iv)          the
Designated Event Repurchase Price;

(v)           the
name and address of the Paying Agent and the Conversion Agent;

 77
 

(vi)          the
applicable Conversion Rate and any adjustments to the applicable Conversion
Rate;

(vii)         that
the Notes with respect to which a Designated Event Repurchase Notice has been
delivered by a Holder may be converted only if the Holder withdraws the
Designated Event Repurchase Notice in accordance with the terms of this
Indenture;

(viii)        that
the Holder must exercise the repurchase right on or prior to the close of
business on the Business Day immediately preceding the Designated Event
Repurchase Date (the “Designated Event Expiration Time”);

(ix)           that
the Holder shall have the right to withdraw any Notes surrendered for
repurchase prior to the Designated Event Expiration Time; and

(x)            the
procedures that Holders must follow to require the Company to repurchase their
Notes.

Simultaneously with providing the Designated Event
Repurchase Right Notice, the Company shall publish a notice containing the information
described in this Section 14.01(b) in a newspaper of general circulation in The
City of New York or publish such information on the Company’s website or
through such other public medium as the Company may use at that time.  No failure of the Company to give the
foregoing notices and no defect therein shall limit the Holders’ repurchase
rights or affect the validity of the proceedings for the repurchase of the
Notes pursuant to this Section 14.01.

(c)           A Designated Event Repurchase Right Notice
may be withdrawn by means of a written notice of withdrawal delivered to the
Paying Agent in accordance with the Designated Event Repurchase Right Notice at
any time prior to the close of business on the Business Day prior to the
Designated Event Repurchase Date, specifying:

(i)            if
certificated Notes have been issued, the certificate numbers of the withdrawn
Notes,

(ii)           the
principal amount of the Note with respect to which such notice of withdrawal is
being submitted, and

(iii)          the
principal amount, if any, of such Note that remains subject to the original
Designated Event Repurchase Notice, which portion must be in principal amounts
of $1,000 or an integral multiple of $1,000;

provided, however, that if the Notes are not in certificated form, the
notice must comply with appropriate procedures of the Depositary.

(d)           On or prior to 11:00 a.m., New York City
time, on the Designated Event Repurchase Date, the Company shall deposit with
the Trustee (or other Paying Agent appointed by the Company or if the Company
is acting as its own Paying Agent, set aside, segregate and hold in trust as
provided in Section 10.03) an amount of money sufficient to repurchase on the
Designated Event Repurchase Date all of the Notes to be repurchased on such
date at the 

 78
 

Designated Event Repurchase Price. Subject to
receipt of funds and/or Notes by the Trustee (or other Paying Agent appointed
by the Company), payment for Notes surrendered for repurchase (and not
withdrawn) prior to the Designated Event Expiration Time shall be made promptly
after the later of (x) the Designated Event Repurchase Date with respect to
such Note (provided that the Holder has satisfied
the conditions to the payment of the Designated Event Repurchase Price in this
Section 14.01), and (y) the time of book-entry transfer or the delivery of such
Note to the Trustee (or other Paying Agent appointed by the Company) by the
Holder thereof in the manner required by this Section 14.01. The Trustee shall,
promptly after such payment and upon written demand by the Company, return to
the Company any funds in excess of the Designated Event Repurchase Price.

(e)           If the Trustee (or other Paying Agent
appointed by the Company) holds money sufficient to repurchase on the
Designated Event Repurchase Date all the Notes or portions thereof that are to
be purchased as of the Business Day following the Designated Event Repurchase
Date, then on and after the Designated Event Repurchase Date (i) such Notes
shall cease to be outstanding, (ii) interest shall cease to accrue on such Notes,
and (iii) all other rights of the Holders of such Notes shall terminate,
whether or not book-entry transfer of the Notes has been made or the Notes have
been delivered to the Trustee or Paying Agent, other than the right to receive
the Designated Event Repurchase Price upon delivery of the Notes.

ARTICLE 15

MISCELLANEOUS

Section 15.01.        Trust
Indenture Act Controls.

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

Section 15.02.        Notices.

Any notice or communication by the Company, any
Guarantor or the Trustee to the others is duly given if in writing and
delivered in Person or mailed by first class mail (registered or certified,
return receipt requested), telex, telecopier or overnight air courier
guaranteeing next day delivery, to the others’ address:

If to
the Company and/or any Guarantor:

Asbury Automotive Group, Inc.

622 Third Avenue, 37th Floor

New York, New York 10017

Telecopier No.: (212) 297-2645

Attention:  Chief
Financial Officer

 79
 

With a
copy to:

Cravath,
Swaine & Moore LLP

825 Eighth Avenue

Worldwide Plaza

New York, NY  10019-7475

Telecopier No.:  (212) 474-3700

Attention:  Andrew J. Pitts

If to
the Trustee:

The Bank of New York

101 Barclay Street, Floor 8W

New York, New York  10286

Telecopier No.:  (212) 815-5707

Attention:  Corporate Trust
Administration

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

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

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

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

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

Section 15.03.        Communication
by Holders of Notes with Other Holders of Notes.

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

Section 15.04.        Certificate
and Opinion as to Conditions Precedent.

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

 80
 

(a)           an Officers’ Certificate in form and
substance reasonably satisfactory to the Trustee (which shall include the
statements set forth in Section 15.05 hereof) stating that, in the opinion of
the signers, all conditions precedent and covenants, if any, provided for in
this Indenture relating to the proposed action have been satisfied; and

(b)           an Opinion of Counsel in form and substance
reasonably satisfactory to the Trustee (which shall include the statements set
forth in Section 15.05 hereof) stating that, in the opinion of such counsel,
all such conditions precedent and covenants have been satisfied.

Section 15.05.        Statements
Required in Certificate or Opinion.

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

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

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

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

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

Section 15.06.        Rules
by Trustee and Agents.

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

Section 15.07.        No
Personal Liability of Directors, Officers, Employees and Stockholders.

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

Section 15.08.        Governing
Law.

THE INTERNAL LAW OF THE STATE OF NEW YORK SHALL GOVERN
AND BE USED TO CONSTRUE THIS INDENTURE, THE NOTES AND THE SUBSIDIARY
GUARANTEES.

 81
 

Section 15.09.        No
Adverse Interpretation of Other Agreements.

This Indenture may not be used to interpret any other
indenture, loan or debt agreement of the Company or its Subsidiaries or of any
other Person. Any such indenture, loan or debt agreement may not be used to
interpret this Indenture.

Section 15.10.        Successors.

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

Section 15.11.        Severability.

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

Section 15.12.        Counterpart
Originals.

This Indenture may be executed in two or more separate
counterparts. Each executed counterpart shall be an original, but all of them
together represent the same agreement.

Section 15.13.        Table
of Contents, Headings, etc.

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

Section 15.14.        Benefits
of Indenture.

Nothing
in this Indenture, the Notes or the Subsidiary Guarantees, express or implied,
shall give to any Person, other than the parties hereto and their successors hereunder,
the holders of Senior Debt and the Hold­ers, any benefit or any legal or
equitable right, remedy or claim under this Indenture

Section 15.15.        Waiver
of Jury Trial.

EACH OF THE COMPANY AND
THE TRUSTEE HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY
APPLICABLE LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING
ARISING OUT OF OR RELATING TO THIS INDENTURE, THE NOTES OR THE TRANSACTION
CONTEMPLATED HEREBY.

[SIGNATURE
PAGE FOLLOWS]

 82
 

SIGNATURES

Dated as of March 16, 2007

	
  

  	
  Asbury
  Automotive Group, Inc.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ J. Gordon
  Smith

  	
   

  
	
   

  	
   

  	
  Name: J. Gordon
  Smith

  
	
   

  	
   

  	
  Title:Chief
  Financial Officer

  
	
   

  	
   

  	
   

  
	
   

  	
  Asbury
  Automotive Management L.L.C.

  
	
   

  	
  Asbury
  Automotive South, L.L.C.

  
	
   

  	
  Asbury
  Automotive West, L.L.C.

  
	
   

  	
  Asbury Automotive
  Southern California L.L.C.

  
	
   

  	
  Asbury Arkansas
  Hund L.L.C. 

  
	
   

  	
  Asbury AR Niss
  L.L.C .

  
	
   

  	
  Asbury
  Automotive Arkansas Dealership 

  
	
   

  	
  Holdings L.L.C.

  
	
   

  	
  Asbury
  Automotive Arkansas L.L.C.

  
	
   

  	
  Asbury MS
  Gray-Daniels L.L.C.

  
	
   

  	
  Asbury MS Metro
  L.L.C.

  
	
   

  	
  Escude-M L.L.C.

  
	
   

  	
  Escude-MO L.L.C.

  
	
   

  	
  Escude-NN L.L.C.

  
	
   

  	
  Escude-NS L.L.C.

  
	
   

  	
  Escude-T L.L.C.

  
	
   

  	
  NP FLM L.L.C.

  
	
   

  	
  NP MZD L.L.C.

  
	
   

  	
  NP VKW L.L.C.

  
	
   

  	
  Premier NSN
  L.L.C.

  
	
   

  	
  Premier Pon
  L.L.C.

  
	
   

  	
  Prestige Bay
  L.L.C.

  
	
   

  	
  Prestige Toy
  L.L.C.

  
	
   

  	
  Asbury Atlanta
  AC L.L.C.

  
	
   

  	
  Asbury Atlanta
  AU L.L.C.

  
	
   

  	
  Asbury Atlanta
  BM L.L.C.

  
	
   

  	
  Asbury Atlanta
  Chevrolet L.L.C.

  
	
   

  	
  Asbury Atlanta
  Hon L.L.C.

  
	
   

  	
  Asbury Atlanta
  Infiniti L.L.C.

  
	
   

  	
  Asbury Atlanta
  Jaguar L.L.C.

  
	
   

  	
  Asbury Atlanta
  Lex L.L.C.

  
	
   

  	
  Asbury Atlanta
  VL L.L.C.

  
	
   

  	
  Asbury
  Automotive Atlanta L.L.C.

  
	
   

  	
  Atlanta Real
  Estate Holdings L.L.C.

  
	
   

  	
  Spectrum
  Insurance Services L.L.C.

  
	
   

  	
  Asbury
  Automotive Fresno L.L.C.

  
	
   

  	
  Asbury Fresno
  Imports L.L.C.

  
	
   

  	
  AF Motors,
  L.L.C.

  
	
   

  	
  ALM Motors,
  L.L.C.

  

 

 83
 

 

	
  

  	
  ANL, L.P. (by
  its general partner Asbury Jax

  
	
   

  	
  Management
  L.L.C.)

  
	
   

  	
  Asbury
  Automotive Central Florida, L.L.C.

  
	
   

  	
  Asbury
  Automotive Deland, L.L.C.

  
	
   

  	
  Asbury
  Automotive Florida, L.L.C.

  
	
   

  	
  Asbury
  Automotive Jacksonville GP L.L.C.

  
	
   

  	
  Asbury
  Automotive Jacksonville, L.P. (by its 

  
	
   

  	
  general partner
  Asbury Automotive 

  
	
   

  	
  Jacksonville GP
  L.L.C.)

  
	
   

  	
  Asbury Deland
  Imports 2, L.L.C.

  
	
   

  	
  Asbury Jax AC
  L.L.C.

  
	
   

  	
  Asbury Jax
  Holdings, L.P. (by its general 

  
	
   

  	
  partner Asbury
  Jax Management L.L.C.)

  
	
   

  	
  Asbury Jax K
  L.L.C.

  
	
   

  	
  Asbury Jax
  Management L.L.C.

  
	
   

  	
  Asbury Jax PB
  Chev L.L.C.

  
	
   

  	
  Asbury-Deland
  Imports, L.L.C.

  
	
   

  	
  Avenues Motors,
  Ltd. (by its general partner 

  
	
   

  	
  Asbury Jax
  Management L.L.C.)

  
	
   

  	
  Bayway Financial
  Services, L.P. (by its general 

  
	
   

  	
  partner Asbury
  Jax Management L.L.C.)

  
	
   

  	
  BFP Motors
  L.L.C.

  
	
   

  	
  C&O
  Properties, Ltd.  (by its general
  partner 

  
	
   

  	
  Asbury Jax
  Management L.L.C.)

  
	
   

  	
  CFP Motors, Ltd.
  (by its general partner 

  
	
   

  	
  Asbury Jax
  Management L.L.C.)

  
	
   

  	
  CH Motors, Ltd.
  (by its general partner Asbury 

  
	
   

  	
  Jax Management
  L.L.C.)

  
	
   

  	
  CHO Partnership,
  Ltd. (by its general partner 

  
	
   

  	
  Asbury Jax
  Management L.L.C.)

  
	
   

  	
  CK Chevrolet
  L.L.C. 

  
	
   

  	
  CK Motors LLC 

  
	
   

  	
  CN Motors, Ltd.
  (by its general partner Asbury 

  
	
   

  	
  Jax Management
  L.L.C.)

  
	
   

  	
  Coggin
  Automotive Corp.

  
	
   

  	
  Coggin Cars
  L.L.C.

  
	
   

  	
  Coggin Chevrolet
  L.L.C.

  
	
   

  	
  Coggin
  Management, L.P. (by its general 

  
	
   

  	
  partner Asbury Jax
  Management L.L.C.)

  
	
   

  	
  CP-GMC Motors,
  Ltd. (by its general partner 

  
	
   

  	
  Asbury Jax
  Management L.L.C.)

  
	
   

  	
  CSA Imports
  L.L.C.

  
	
   

  	
  HFP Motors
  L.L.C.

  
	
   

  	
  KP Motors L.L.C.

  
	
   

  	
  Asbury MS Chev,
  L.L.C.

  
	
   

  	
  Asbury
  Automotive Mississippi, L.L.C.

  
	
   

  	
  Asbury MS Wimber
  L.L.C.

  
	
   

  	
  Asbury MS Yazoo
  L.L.C.

  
	
   

  	
  Asbury No Cal
  Niss L.L.C.

  

 

 84
 

 

	
  

  	
  Asbury
  Sacramento Imports L.L.C.

  
	
   

  	
  Asbury So Cal DC
  L.L.C.

  
	
   

  	
  Asbury So Cal
  Hon L.L.C.

  
	
   

  	
  Asbury So Cal
  Niss L.L.C.

  
	
   

  	
  Asbury
  Automotive North Carolina Dealership 

  
	
   

  	
  Holdings L.L.C.

  
	
   

  	
  Asbury
  Automotive North Carolina L.L.C.

  
	
   

  	
  Asbury
  Automotive North Carolina 

  
	
   

  	
  Management
  L.L.C.

  
	
   

  	
  Asbury
  Automotive North Carolina Real Estate 

  
	
   

  	
  Holdings L.L.C.

  
	
   

  	
  Camco Finance II
  L.L.C.

  
	
   

  	
  Camco Finance
  L.L.C.

  
	
   

  	
  Crown
  Acura/Nissan, LLC

  
	
   

  	
  Crown
  Battleground, LLC

  
	
   

  	
  Crown CHH L.L.C.

  
	
   

  	
  Crown CHO L.L.C.

  
	
   

  	
  Crown CHV L.L.C.

  
	
   

  	
  Crown Dodge, LLC

  
	
   

  	
  Crown FDO L.L.C.

  
	
   

  	
  Crown FFO
  Holdings L.L.C.

  
	
   

  	
  Crown FFO L.L.C.

  
	
   

  	
  Crown Fordham
  L.L.C.

  
	
   

  	
  Crown GAC L.L.C.

  
	
   

  	
  Crown GAU L.L.C.

  
	
   

  	
  Crown GBM L.L.C.

  
	
   

  	
  Crown GCA L.L.C.

  
	
   

  	
  Crown GCH L.L.C.

  
	
   

  	
  Crown GDO L.L.C.

  
	
   

  	
  Crown GHO L.L.C.

  
	
   

  	
  Crown GKI L.L.C.

  
	
   

  	
  Crown GMI L.L.C.

  
	
   

  	
  Crown GNI L.L.C.

  
	
   

  	
  Crown GPG L.L.C.
  

  
	
   

  	
  Crown GVO L.L.C.

  
	
   

  	
  Crown Honda, LLC

  
	
   

  	
  Crown
  Honda-Volvo, LLC

  
	
   

  	
  Crown
  Mitsubishi, LLC

  
	
   

  	
  Crown Motorcar
  Company L.L.C.

  
	
   

  	
  Crown Raleigh
  L.L.C.

  
	
   

  	
  Crown RIA L.L.C.
  

  
	
   

  	
  Crown RIB L.L.C.
  

  
	
   

  	
  Crown Royal
  Pontiac, LLC

  
	
   

  	
  Crown SJC L.L.C.

  
	
   

  	
  Crown SNI L.L.C.

  
	
   

  	
  RER Properties,
  LLC

  
	
   

  	
  RWIJ Properties,
  LLC

  
	
   

  	
  Asbury
  Automotive Oregon L.L.C.

  
	
   

  	
  Asbury
  Automotive Oregon Management 

  L.L.C.

  

 

 85
 

 

	
  

  	
  Thomason Frd
  L.L.C.

  
	
   

  	
  Thomason Auto
  Credit Northwest, Inc.

  
	
   

  	
  Thomason Dam
  L.L.C.

  
	
   

  	
  Thomason Hon
  L.L.C.

  
	
   

  	
  Thomason Hund
  L.L.C.

  
	
   

  	
  Thomason Maz
  L.L.C.

  
	
   

  	
  Thomason Niss
  L.L.C.

  
	
   

  	
  Thomason
  Outfitters L.L.C.

  
	
   

  	
  Thomason Pontiac-GMC
  L.L.C.

  
	
   

  	
  Thomason Suzu
  L.L.C.

  
	
   

  	
  Thomason TY
  L.L.C.

  
	
   

  	
  Thomason Zuk
  L.L.C.

  
	
   

  	
  Asbury
  Automotive St. Louis, L.L.C. 

  
	
   

  	
  Asbury St. Louis
  Cadillac L.L.C.

  
	
   

  	
  Asbury St. Louis
  Lex L.L.C.

  
	
   

  	
  Asbury St. Louis
  Gen L.L.C.

  
	
   

  	
  Asbury
  Automotive Brandon, L.P. (by its 

  
	
   

  	
  general partner
  Asbury Tampa Management 

  
	
   

  	
  L.L.C.)

  
	
   

  	
  Asbury
  Automotive Tampa GP L.L.C.

  
	
   

  	
  Asbury
  Automotive Tampa, L.P. (by its general 

  
	
   

  	
  partner Asbury
  Automotive Tampa GP L.L.C.)

  
	
   

  	
  Asbury Tampa
  Management L.L.C.

  
	
   

  	
  JC Dealer
  Systems L.L.C.

  
	
   

  	
  Precision Computer
  Services, Inc.

  
	
   

  	
  Precision
  Enterprises Tampa, Inc.

  
	
   

  	
  Precision
  Infiniti, Inc.

  
	
   

  	
  Precision
  Motorcars, Inc.

  
	
   

  	
  Precision
  Nissan, Inc.

  
	
   

  	
  Tampa Hund, L.P.
  (by its general partner 

  
	
   

  	
  Asbury Tampa
  Management L.L.C.)

  
	
   

  	
  Tampa Kia, L.P.
  (by its general partner Asbury 

  
	
   

  	
  Tampa Management
  L.L.C.)

  
	
   

  	
  Tampa LM, L.P.
  (by its general partner Asbury 

  
	
   

  	
  Tampa Management
  L.L.C.)

  
	
   

  	
  Tampa Mit, L.P.
  (by its general partner Asbury 

  
	
   

  	
  Tampa Management
  L.L.C.)

  
	
   

  	
  Tampa Suzu, L.P.
  (by its general partner 

  
	
   

  	
  Asbury Tampa
  Management L.L.C.)

  
	
   

  	
  WMZ Brandon
  Motors, L.P. (by its general 

  
	
   

  	
  partner Asbury
  Tampa Management L.L.C.)

  
	
   

  	
  WMZ Motors, L.P.
  (by its general partner 

  
	
   

  	
  Asbury Tampa
  Management L.L.C.)

  
	
   

  	
  WTY Motors L.P.
  (by its general partner 

  
	
   

  	
  Asbury Tampa
  Management L.L.C.)

  
	
   

  	
  Asbury
  Automotive Texas Holdings L.L.C.

  
	
   

  	
  Asbury
  Automotive Texas L.L.C.

  
	
   

  	
  Asbury
  Automotive Texas Real Estate 

  

 

 86
 

 

	
  

  	
  Holdings L.P.
  (by its general partner Asbury 

  
	
   

  	
  Texas Management
  L.L.C.)

  
	
   

  	
  Asbury Texas
  Management L.L.C.

  
	
   

  	
  McDavid Auction,
  L.P. (by its general partner 

  
	
   

  	
  Asbury Texas
  Management L.L.C.)

  
	
   

  	
  McDavid
  Austin-Acra, L.P. (by its general 

  
	
   

  	
  partner Asbury
  Texas Management L.L.C.)

  
	
   

  	
  McDavid
  Frisco-Hon, L.P. (by its general 

  
	
   

  	
  partner Asbury
  Texas Management L.L.C.)

  
	
   

  	
  McDavid Grande,
  L.P. (by its general partner 

  
	
   

  	
  Asbury Texas
  Management L.L.C.)

  
	
   

  	
  McDavid
  Houston-Hon, L.P. (by its general 

  
	
   

  	
  partner Asbury
  Texas Management L.L.C.)

  
	
   

  	
  McDavid
  Houston-Kia, L.P. (by its general 

  
	
   

  	
  partner Asbury
  Texas Management L.L.C.)

  
	
   

  	
  McDavid
  Houston-Niss, L.P. (by its general 

  
	
   

  	
  partner Asbury
  Texas Management L.L.C.)

  
	
   

  	
  McDavid
  Irving-Hon, L.P. (by its general 

  
	
   

  	
  partner Asbury
  Texas Management L.L.C.)

  
	
   

  	
  McDavid
  Irving-PB&G, L.P. (by its general 

  
	
   

  	
  partner Asbury
  Texas Management L.L.C.)

  
	
   

  	
  McDavid
  Irving-Zuk, L.P. (by its general 

  
	
   

  	
  partner Asbury
  Texas Management L.L.C.)

  
	
   

  	
  McDavid
  Outfitters, L.P. (by its general partner 

  
	
   

  	
  Asbury Texas
  Management L.L.C.)

  
	
   

  	
  McDavid
  Plano-Acra, L.P. (by its general 

  
	
   

  	
  partner Asbury
  Texas Management L.L.C.)

  
	
   

  	
  Plano
  Lincoln-Mercury, Inc.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ J. Gordon Smith

  	
   

  
	
   

  	
   

  	
   

  	
  Name:

  	
  J. Gordon Smith

  	
   

  
	
   

  	
   

  	
   

  	
  Title:

  	
  Vice President

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Asbury
  Automotive Group Holdings, Inc.

  	
   

  
	
   

  	
   

  	
   

  	
  Asbury
  Automotive Group L.L.C.

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ J. Gordon Smith

  	
   

  
	
   

  	
   

  	
   

  	
  Name:

  	
  J. Gordon Smith

  	
   

  
	
   

  	
   

  	
   

  	
  Title:

  	
  Senior Vice President

  	
   

  
								

 

 87
 

 

	
  

  	
   

  	
   

  	
  Asbury
  Automotive Financial Services, Inc.

  	
   

  
	
  

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Lynne A. Burgess

  	
   

  
	
   

  	
   

  	
   

  	
  Name:

  	
  Lynne A. Burgess

  	
   

  
	
   

  	
   

  	
   

  	
  Title:

  	
  Vice President and Assistant Secretary

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  THE BANK OF NEW
  YORK

  
	
   

  	
  as Trustee

  
	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Carlos R. Luciano

  	
   

  
	
   

  	
   

  	
   

  	
  Name:  

  	
  Carlos R. Luciano

  	
   

  
	
   

  	
   

  	
   

  	
  Title:

  	
  Vice President

  	
   

  
											

 

 88

EXHIBIT A

[Face of Note]

	
   

  	
  CUSIP: 043436AF1

  
	
   

  	
  ISIN: US043436AF15

  
	
   

  	
  CUSIP for unrestricted
  notes:

  	
   

  
	
   

  	
   

  	
  ISIN for unrestricted notes:

  	
   

  
				

 

3.00% Senior Subordinated Convertible Notes due 2012 

	
  No. [1]

  	
   

  	
   

  	
  $

  

 

ASBURY AUTOMOTIVE GROUP,
INC.

promises to pay to                            ,
or registered assigns, the principal sum of
                
Dollars on September 15, 2012. 

Interest Payment Dates:  March 15 and September 15 of each year until
maturity and the Maturity Date

Record Dates:  March
1 with respect to March 15 Interest Payment Dates, September 1 with respect to
September 15 Interest Payment Dates and September 15, 2012 with respect to
interest payable at maturity.

	
  Dated:

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  ASBURY AUTOMOTIVE GROUP, INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By: 

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  
	
  This is one of the Notes referred to in the within
  mentioned Indenture:

  
	
   

  
	
  Dated:

  	
   

  
	
   

  	
   

  
	
  THE BANK OF NEW YORK,

  	
   

  
	
  As Trustee

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  By: 

  	
   

  	
   

  	
   

  
	
   

  	
  Authorized
  Signatory

  	
   

  	
   

  

 

 A-1
 

[Back of Note]

3.00% Senior Subordinated Convertible Notes due 2012

[Insert the Global Note Legend, if applicable pursuant
to the provisions of the Indenture]

[Insert the Private Placement Legend, if applicable
pursuant to the provisions of the Indenture]

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

1.             INTEREST.  Asbury Automotive Group, Inc., a Delaware
corporation (the “Company”), promises to pay interest on the principal
amount of this Note at 3.00% per annum from March 16, 2007 until maturity and
shall pay the Special Interest payable pursuant to Section 2 of the
Registration Rights Agreement referred to below. The Company will pay interest
and Special Interest semi-annually in arrears on March 15 and September 15 of
each year and on maturity, or if any such day is not a Business Day, on the
next succeeding Business Day (each an “Interest Payment Date”). Interest
on the Notes will accrue from the most recent date to which interest has been
paid or, if no interest has been paid, from the date of issuance; provided that if there is no existing Default in the payment
of interest, and if this Note is authenticated between a record date referred
to on the face hereof and the next succeeding Interest Payment Date, interest
shall accrue from such next succeeding Interest Payment Date; provided, further, that
the first Interest Payment Date shall be September 15, 2007. The Company shall
pay interest (including post-petition interest in any proceeding under any
Bankruptcy Law) on overdue principal from time to time on demand at a rate that
is 1% per annum in excess of the rate then in effect; it shall pay interest
(including post-petition interest in any proceeding under any Bankruptcy Law)
on overdue installments of interest and Special Interest (without regard to any
applicable grace periods) from time to time on demand at the same rate to the
extent lawful. Interest will be computed on the basis of a 360-day year of
twelve 30-day months.

2.             METHOD
OF PAYMENT. The Company will pay interest on the Notes (except defaulted
interest) and Special Interest to the Persons who are registered Holders of
Notes at the close of business on (i) the 1st of
March next preceding each March 15 Interest Payment Date; (ii) the 1st of September next preceding each September 15
Interest Payment Date; and (iii) September 15, 2012 with respect to
interest payable at maturity even if such Notes are canceled after such record
date and on or before such Interest Payment Date, except as provided in Section
2.12 of the Indenture with respect to defaulted interest. The Notes will be
payable as to principal, Special Interest, if any, and interest at the office
or agency of the Company maintained for such purpose within the City and State
of New York, or, at the option of the Company, payment of interest and Special
Interest, if any, may be made by check mailed to the Holders at their addresses
set forth in the register of Holders, and provided that
payment by wire transfer of immediately available funds will be required with
respect to principal of, and interest and Special Interest, if any, on, all
Global Notes and all other Notes the Holders of which shall have provided wire
transfer instructions to the Company or the Paying Agent. Such payment shall be
in such coin or currency of the United States of America as at the time of
payment is legal tender for payment of public and private debts.

 A-2
 

3.             PAYING
AGENT AND REGISTRAR. Initially, The Bank of New York, the Trustee under the
Indenture, will act as Paying Agent and Registrar. The Company may change any
Paying Agent or Registrar without notice to any Holder. The Company or any of
its Subsidiaries may act in any such capacity.

4.             INDENTURE.
The Company issued the Notes under an Indenture dated as of March 16, 2007 (“Indenture”)
between the Company, the Guarantors specified therein and the Trustee. The
terms of the Notes include those stated in the Indenture and those made part of
the Indenture by reference to the Trust Indenture Act of 1939, as amended (15
U.S. Code §§ 77aaa-77bbbb). The Notes are subject to all such terms, and
Holders are referred to the Indenture and such Act for a statement of such
terms. To the extent any provision of this Note conflicts with the express
provisions of the Indenture, the provisions of the Indenture shall govern and
be controlling. The Company shall be entitled to issue additional Notes
pursuant to Section 2.14 of the Indenture.

5.             REPURCHASE
AND CONVERSION. In any case where any Designated Event Repurchase Date or the
last date on which a Holder has the right to convert his Notes shall not be a
Business Day, then (notwithstanding any other provision of the Indenture or of
the Notes) conversion of the Notes 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 Designated Event Repurchase Date or on such last day for
conversion, provided that no interest shall accrue
for the period from and after such Designated Event Repurchase Date.
Notwithstanding the foregoing, the right to convert a Note shall cease at the
close of business on the third Scheduled Trading Day immediately preceding the
Maturity Date.  Subject to the provisions
of the Indenture, upon the occurrence of a Designated Event, the Holder has the
right, at such Holder’s option, to require the Company to repurchase all of
such Holder’s Notes or any portion thereof (in principal amounts of $1,000 or
integral multiples thereof) on the Designated Event Repurchase Date at a price
equal to 100% of the principal amount of the Notes such Holder elects to
require the Company to repurchase, together with accrued and unpaid interest to
but excluding the Designated Event Repurchase Date, unless such Designated
Event Repurchase Date falls after a Regular Record Date and on or prior to the
corresponding Interest Payment Date, in which case the Company shall pay the
full amount of accrued and unpaid interest payable on such Interest Payment
Date to the Holder of record at the close of business on the corresponding
Regular Record Date. The Company or, at the written request of the Company, the
Trustee shall mail to all Holders of record of the Notes a notice of the
occurrence of a Designated Event and of the repurchase right arising as a
result thereof after the occurrence of any Designated Event, but on or before
the 10th calendar day following such occurrence.  

Subject to the provisions of the Indenture, the Holder
hereof has the right, at its option, on and after June 15, 2012, or earlier
upon the occurrence of certain conditions specified in the Indenture and prior
to the close of business on the third Scheduled Trading Day immediately
preceding the Maturity Date, to convert any Notes or portion thereof which is
$1,000 or an integral multiple thereof, into cash and, if applicable, shares of
Common Stock or Reference Property, in each case at the Conversion Rate
specified in the Indenture, as adjusted from time to time as provided in the
Indenture, upon satisfaction of certain requirements set forth in the
Indenture, including the surrender of this Note, together with a Notice of
Conversion, a form of which is contained under Exhibit A of the Indenture,
as provided in the Indenture and this Note, to the Company at the office or
agency of the Company maintained for that purpose, or at the option of such
Holder, the Corporate Trust Office of the Trustee, and, unless the shares of 

 A-3
 

Common Stock or Reference Property, as the case may
be, issuable on conversion are to be issued in the same name as this Note, duly
endorsed by, or accompanied by instruments of transfer in form satisfactory to
the Company duly executed by, the Holder or by his duly authorized attorney.
The initial Conversion Rate shall be 29.4172 shares of Common Stock for each
$1,000 principal amount of Notes. No fractional shares of Common Stock or
Reference Property, as the case may be, shall be issued upon any conversion,
but an adjustment in cash shall be paid to the Holder, as provided in the
Indenture, in respect of any fraction of such share which would otherwise be
issuable upon the surrender of any Note or Notes for conversion. No adjustment
shall be made for dividends or any such shares issued upon conversion of such
Notes except as provided in the Indenture.

6.             MANDATORY
REDEMPTION.

The Company shall not be required to make mandatory
redemption payments with respect to the Notes.

7.             ADDITIONAL
RIGHTS OF HOLDERS OF RESTRICTED GLOBAL NOTES AND RESTRICTED DEFINITIVE NOTES.
In addition to the rights provided to Holders of Notes under the Indenture,
Holders of Restricted Global Notes and Restricted Definitive Notes shall have
all the rights set forth in the Registration Rights Agreement dated as of March
16, 2007, between the Company and the parties named on the signature pages
thereof (the “Registration Rights Agreement”).

8.             [Reserved].

9.             DENOMINATIONS,
TRANSFER, EXCHANGE. The Notes are in registered form without coupons in
denominations of $1,000 and integral multiples of $1,000 in excess thereof. The
transfer of Notes may be registered and Notes may be exchanged as provided in
the Indenture. The Registrar and the Trustee may require a Holder, among other
things, to furnish appropriate endorsements and transfer documents and the
Company may require a Holder to pay any taxes and fees required by law or
permitted by the Indenture. The Company need not exchange or register the
transfer of any Note or portion of a Note selected for redemption, except for
the unredeemed portion of any Note being redeemed in part. Also, the Company
need not exchange or register the transfer of any Notes surrendered for
conversion or during the period between a record date and the corresponding
Interest Payment Date.

10.           PERSONS
DEEMED OWNERS. The registered Holder of a Note may be treated as its owner for
all purposes.

11.           AMENDMENT,
SUPPLEMENT AND WAIVER. Subject to certain exceptions, the Indenture, the
Subsidiary Guarantees or the Notes may be amended or supplemented with the
consent of the Holders of at least a majority in principal amount of the then
outstanding Notes, voting as a single class, and any existing default or
compliance with any provision of the Indenture, the Subsidiary Guarantees or
the Notes may be waived with the consent of the Holders of a majority in principal
amount of the then outstanding Notes, voting as a single class. Without the
consent of any Holder of a Note, the Indenture, the Subsidiary Guarantees or
the Notes may be amended or supplemented to cure any ambiguity, defect or
inconsistency or to make a modification of a formal, minor or technical nature
or to correct a manifest error, to provide for uncertificated Notes in addition
to or in place of certificated Notes, 

 A-4
 

to provide for the assumption of the Company’s or
Guarantor’s obligations to Holders of the Notes in case of a merger or
consolidation or sale of all or substantially all of the Company’s assets, to
add Guarantees with respect to the Notes or to secure the Notes, to add to the
covenants of the Company or any Guarantor for the benefit of the Holders of the
Notes or surrender any right or power conferred upon the Company or any
Guarantor, to make any change that would provide any additional rights or
benefits to the Holders of the Notes or that does not adversely affect the
legal rights under the Indenture of any such Holder, to comply with the
requirements of the SEC in order to effect or maintain the qualification of the
Indenture under the Trust Indenture Act, to evidence and provide for the
acceptance and appointment under the Indenture of a successor trustee pursuant
to the requirements thereof, or to provide for the issuance of Additional Notes
in accordance with the limitations set forth in the Indenture.

12.           DEFAULTS
AND REMEDIES. Events of Default include: (i) default for 30 days in the payment
when due of interest on, or Special Interest, if any, with respect to, the
Notes, whether or not prohibited by Article 10 of the Indenture; (ii) default
in payment when due of principal of the Notes when the same becomes due and
payable at maturity, upon redemption (including in connection with an offer to
purchase) or otherwise, whether or not prohibited by Article 10 of the
Indenture; (iii) failure by the Company to comply with the Conversion
Obligation as that term is defined in the Indenture; (iv) failure by the
Company to comply with Section 5.01 of the Indenture; (v) failure by the
Company to comply in any material respect with its notice requirements under or
Section 13.01(b) through (d) or Section 14.01(b) of the Indenture when due; (vi)
failure by the Company or any of its Restricted Subsidiaries for 60 days after
notice to the Company by the Trustee or the Holders of at least 25% in
principal amount of the Notes (including Additional Notes, if any) then
outstanding voting as a single class to observe or perform any covenant or
agreement in the Indenture; (vii) default under certain other agreements
relating to Indebtedness of the Company or any of its Restricted Subsidiaries,
which default is caused by a failure to pay principal at its stated final
maturity (after giving effect to any applicable grace period provided in such
Indebtedness) (a “Payment Default”) or results in the acceleration of
such Indebtedness prior to its express maturity and, in each case, the
principal amount of any such Indebtedness, together with the principal amount
of any other such Indebtedness under which there has been a Payment Default or
the maturity of which has been so accelerated, aggregates $15.0 million or
more; (viii) certain final judgments for the payment of money that remain not
paid, discharged or stayed for a period of 60 days, provided
that the aggregate of all such not paid, discharged or stayed judgments exceeds
$15.0 million; (ix) certain events of bankruptcy or insolvency with
respect to the Company or any of its Restricted Subsidiaries that are, alone or
in combination, Significant Subsidiaries as specified in clauses (j) and (k) of
Section 6.01 of the Indenture; and (x) except as permitted by the Indenture,
any Subsidiary Guarantee shall be held in any judicial proceeding to be
unenforceable or invalid or shall cease for any reason to be in full force and
effect or any Guarantor or any Person acting on its behalf shall deny or
disaffirm its obligations under such Guarantor’s Subsidiary Guarantee. If any
Event of Default (other than an Event of Default specified in clause (j) or (k)
of Section 6.01 of the Indenture with respect to the Company or any of its
Restricted Subsidiaries that are, alone or in combination, Significant
Subsidiaries) occurs and is continuing, the Trustee or the Holders of at least
25% in principal amount of the then outstanding Notes may declare all the Notes
to be due and payable immediately. Upon any such declaration the Notes shall
become due and payable immediately. Notwithstanding the foregoing, in the case
of an Event of Default arising from certain events of bankruptcy or insolvency
as specified in clauses (j) and (k) of Section 6.01 of the Indenture with
respect to the Company or any of its Restricted Subsidiaries that are, alone or
in combination, Significant Subsidiaries, all outstanding Notes will become due
and payable 

 A-5
 

immediately without further action or notice. Holders
of a majority in principal amount of the then outstanding Notes may direct the
time, method and place of conducting any proceeding for exercising any remedy
available to the Trustee or exercising any trust or power conferred on it. The
Trustee may withhold from Holders of the Notes notice of any continuing Default
or Event of Default (except a Default or Event of Default relating to the
payment of principal of, or interest on, any Note) if and so long as a
committee of its Responsible Officers in good faith determines that withholding
notice is in the interests of the Holders of the Notes. The Holders of a
majority in aggregate principal amount of the then outstanding Notes by notice
to the Trustee may on behalf of the Holders of all of the Notes waive any
existing Default and its consequences under the Indenture except a continuing
Default in the payment of principal of, Special Interest, if any, or interest
on, the Notes (other than non-payment of principal of or interest on or Special
Interest, if any, on the Notes that become due solely because of the
acceleration of the Notes) (provided that the
Holders of a majority in aggregate principal amount of the then outstanding
Notes may rescind an acceleration and its consequences, including any related
payment default that resulted from such acceleration). The Company is required
to deliver to the Trustee annually a statement regarding compliance with the
Indenture, and the Company is required upon becoming aware of any Default or
Event of Default, to deliver to the Trustee a statement specifying such Default
or Event of Default.

13.           TRUSTEE
DEALINGS WITH COMPANY. The Trustee, in its individual or any other capacity,
may make loans to, accept deposits from, and perform services for the Company
or its Affiliates, and may otherwise deal with the Company or its Affiliates,
as if it were not the Trustee.

14.           NO
RECOURSE AGAINST OTHERS. A director, officer, employee, incorporator or
stockholder, of the Company, as such, shall not have any liability for any
obligations of the Company under the Notes or the Indenture or for any claim
based on, in respect of, or by reason of, such obligations or their creation.
Each Holder by accepting a Note waives and releases all such liability. The
waiver and release are part of the consideration for the issuance of the Notes.

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

16.           ABBREVIATIONS.
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), CUST (= Custodian), and U/G/M/A (= Uniform Gifts to Minors Act).

17.           [Reserved].

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

 A-6
 

The Company will furnish to any Holder upon written
request and without charge a copy of the Indenture and/or the Registration
Rights Agreement. Requests may be made to:

 

Asbury Automotive Group,
Inc.

622 Third Avenue, 37th Floor

New York, New York 10017

Attention: Chief Financial Officer

 A-7
 

ASSIGNMENT FORM

To assign this Note, fill in the form below:

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

  	
   

  
	
   

  	
  (Insert
  assignee’s legal name)

  
	
   

  
	
   

  
	
  (Insert
  assignee’s Social Security or Tax Identification Number)

  
	
   

  
	
   

  
	
   

  
	
   

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

  
	
   

  
	
   

  
	
  and irrevocably appoint

  	
   

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

  
	
   

  
	
  Date:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  
	
  Your Signature:

  	
   

  	
   

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

  	
   

  
	
   

  	
   

  
	
  Signature Guarantee*:

  	
   

  	
   

  	
   

  
									

 

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

 A-8
 

SCHEDULE OF EXCHANGES OF INTERESTS IN THE GLOBAL NOTE

The following exchanges of a part of this Global Note
for an interest in another Global Note or for a Definitive Note, or exchanges
of a part of another Global Note or Definitive Note for an interest in this
Global Note, have been made:

	
  Date of Exchange

  	
   

  	
  Amount of decrease in

  Principal Amount of

  this Global Note

  	
   

  	
  Amount of increase in

  Principal Amount of

  this Global Note

  	
   

  	
  Principal Amount

  of this Global Note

  following such

  decrease

  (or increase)

  	
   

  	
  Signature of

  authorized officer of

  Trustee or Note

  Custodian

  	
   

  
	
      

  	
   

  	
      

  	
   

  	
      

  	
   

  	
      

  	
   

  	
      

  	
   

  
	
      

  	
   

  	
      

  	
   

  	
      

  	
   

  	
      

  	
   

  	
      

  	
   

  
	
      

  	
   

  	
      

  	
   

  	
      

  	
   

  	
      

  	
   

  	
      

  	
   

  

 

 A-9
 

NOTICE OF CONVERSION

The undersigned Holder of this Note hereby irrevocably
exercises the option to convert this Note, or any portion of the principal
amount hereof (which is $1,000 or an integral multiple of $1,000 in excess
thereof, provided that the unconverted portion of
such principal amount is $1,000 or any integral multiple of $1,000 in excess
thereof) below designated, into cash and, if applicable, shares of Common Stock
or Reference Property in accordance with the terms of the Indenture referred to
in this Note, and directs that such shares, together with a check in payment
for any fractional share and any Notes representing any unconverted principal
amount hereof, be delivered to and be registered in the name of the undersigned
unless a different name has been indicated below. If shares of Common Stock,
Reference Property or Notes are to be registered in the name of a Person other
than the undersigned, (a) the undersigned shall pay all transfer taxes payable
with respect thereto and (b) signature(s) must be guaranteed by an Eligible
Guarantor Institution with membership in an approved signature guarantee
program pursuant to Rule 17Ad-15 under the Securities Exchange Act of 1934. Any
amount required to be paid by the undersigned on account of interest
accompanies this Note.

	
  Date: 

  	
   

  	
   

  	 

	
   

  	 

	
   

  	 

	
  Your Signature: 

  	
   

  	
   

  	 

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

  	
   

  	 

	
   

  	 

	
  If shares or Notes are to be registered in the
  name of a Person other than the Holder, please print such Person’s name and
  address:

  
	
   

  
	
   

  
	
   

  	
   

  
	
  (Name)

  
	
   

  
	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  (Address)

  
	
   

  
	
   

  
	
   

  	
   

  
	
  Social Security
  or other Identification Number, if 

  
	
  any

  
	
   

  
	
   

  
	
   

  	
   

  
	
  [Signature
  Guaranteed]

  
							

 

If only a portion of the Notes is to be converted,
please indicate:

1.             Principal
amount to be converted: $                        

2.             Principal
amount and denomination of Notes

representing unconverted principal amount to be
issued:                         

 A-10
 

Amount: $                       Denominations:
$

($1,000 or any integral multiple of $1,000 in excess
thereof, provided that the unconverted portion of
such principal amount is $1,000 or any integral multiple of $1,000 in excess
thereof)

 A-11

EXHIBIT B

FORM OF CERTIFICATE OF TRANSFER

Asbury Automotive Group,
Inc.

622 Third Avenue, 37th Floor

New York, New York 10017

[Registrar address block]

Re:                               3.00%
Senior Subordinated Convertible Notes due 2012

Reference is hereby made to the Indenture, dated as of
March 16, 2007 (the “Indenture”), among Asbury Automotive Group, Inc.,
as issuer (the “Company”), the subsidiary guarantors listed on Schedule
I to the Indenture, and The Bank of New York, as Trustee. Capitalized terms
used but not defined herein shall have the meanings given to them in the
Indenture.

                                         ,
(the “Transferor”) owns and proposes to transfer the Note[s] or interest
in such Note[s]
specified in Annex A hereto, in the principal amount of $                    
in such Note[s]
or interests (the “Transfer”), to                                                     
(the “Transferee”), as further specified in Annex A hereto. In
connection with the Transfer, the Transferor hereby certifies that:

[CHECK
ALL THAT APPLY]

1.                                       o  CHECK
IF TRANSFEREE WILL TAKE DELIVERY OF A BENEFICIAL INTEREST IN THE RESTRICTED
GLOBAL NOTE OR A DEFINITIVE NOTE PURSUANT TO RULE l44A. The Transfer is being
effected pursuant to and in accordance with Rule 144A under the United States Securities
Act of 1933, as amended (the “Securities Act”), and, accordingly, the
Transferor hereby further certifies that the beneficial interest or Definitive
Note is being transferred to a Person that the Transferor reasonably believed
and believes is purchasing the beneficial interest or Definitive Note for its
own account, or for one or more accounts with respect to which such Person
exercises sole investment discretion, and such Person and each such account is
a “qualified institutional buyer” within the meaning of Rule l44A in a
transaction meeting the requirements of Rule l44A and such Transfer is in
compliance with any applicable blue sky securities laws of any state of the
United States. Upon consummation of the proposed Transfer in accordance with the
terms of the Indenture, the transferred beneficial interest or Definitive Note
will be subject to the restrictions on transfer enumerated in the Private
Placement Legend printed on the 144A Global Note and/or the Definitive Note and
in the Indenture and the Securities Act.

2.                                       [RESERVED].

3.                                       o  CHECK
AND COMPLETE IF TRANSFEREE WILL TAKE DELIVERY OF A BENEFICIAL INTEREST IN THE
RESTRICTED GLOBAL NOTE OR A DEFINITIVE NOTE PURSUANT TO ANY PROVISION OF THE
SECURITIES ACT OTHER THAN RULE 144A. The Transfer is being effected in
compliance with the transfer restrictions applicable to beneficial interests in
Restricted Global Notes and Restricted Definitive Notes and 

 B-1
 

pursuant to and in accordance with the Securities Act
and any applicable blue sky securities laws of any state of the United States,
and accordingly the Transferor hereby further certifies that (check one):

(a)                                  o  such
Transfer is being effected pursuant to and in accordance with Rule 144 under
the Securities Act;

or

(b)                                 o  such
Transfer is being effected to the Company or a subsidiary thereof;

or

(c)                                  o  such
Transfer is being effected pursuant to an effective registration statement
under the Securities Act and in compliance with the prospectus delivery
requirements of the Securities Act;

or

(d)                                 o  such
Transfer is being effected to an Institutional Accredited Investor and pursuant
to an exemption from the registration requirements of the Securities Act other
than Rule 144A or Rule 144, and the Transferor hereby further certifies that it
has not engaged in any general solicitation within the meaning of Regulation D
under the Securities Act and the Transfer complies with the transfer
restrictions applicable to beneficial interests in a Restricted Global Note or
Restricted Definitive Notes and the requirements of the exemption claimed,
which certification is supported by (1) a certificate executed by the
Transferee in the form of Exhibit D to the Indenture and (2) an Opinion of
Counsel provided by the Transferor or the Transferee (a copy of which the Transferor
has attached to this certification), to the effect that such Transfer is in
compliance with the Securities Act. Upon consummation of the proposed transfer
in accordance with the terms of the Indenture, the transferred beneficial
interest or Definitive Note will be subject to the restrictions on transfer
enumerated in the Private Placement Legend printed on the Restricted Global
Note and/or the Definitive Notes and in the Indenture and the Securities Act.

4.                                       o  Check
if Transferee will take delivery of a beneficial interest in an Unrestricted
Global Note or of an Unrestricted Definitive Note.

(a)                                  o  Check
if Transfer is pursuant to Rule 144. (i) The Transfer is being effected
pursuant to and in accordance with Rule 144 under the Securities Act and in compliance
with the transfer restrictions contained in the Indenture and any applicable
blue sky securities laws of any state of the United States and (ii) the
restrictions on transfer contained in the Indenture and the Private Placement
Legend are not required in order to maintain compliance with the Securities
Act. Upon consummation of the proposed Transfer in accordance with the terms of
the Indenture, the transferred beneficial interest or Definitive Note will no
longer be subject to the restrictions on transfer enumerated in the Private 

 B-2
 

Placement Legend printed
on the Restricted Global Notes, on Restricted Definitive Notes and in the
Indenture.

(b)                                 [Reserved].

(c)                                  o  Check
if Transfer is Pursuant to Other Exemption. (i) The Transfer is being effected
pursuant to and in compliance with an exemption from the registration
requirements of the Securities Act other than Rule 144 and in compliance with
the transfer restrictions contained in the Indenture and any applicable blue
sky securities laws of any State of the United States and (ii) the restrictions
on transfer contained in the Indenture and the Private Placement Legend are not
required in order to maintain compliance with the Securities Act. Upon
consummation of the proposed Transfer in accordance with the terms of the
Indenture, the transferred beneficial interest or Definitive Note will not be
subject to the restrictions on transfer enumerated in the Private Placement
Legend printed on the Restricted Global Notes or Restricted Definitive Notes
and in the Indenture.

 B-3
 

This certificate and the
statements contained herein are made for your benefit and the benefit of the
Company.

	
  

  	
   

  
	
   

  	
  [Insert Name of Transferor]

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Date:

  	
   

  	
   

  	
   

  	
   

  
					

 

 B-4
 

ANNEX A TO CERTIFICATE OF TRANSFER

	
  1.

  	
  The Transferor owns and proposes to transfer the
  following:

  
	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
    [CHECK ONE OF (a)
  OR (b)]

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  (a)

  	
  o

  	
  a beneficial interest in the:

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  (i)

  	
  o

  	
  Restricted Global Note (CUSIP                 ),
  or

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  (ii)

  	
  [Reserved], or

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  (b)

  	
  o

  	
  a Restricted Definitive Note.

  
	
   

  	
   

  
	
  2.

  	
  After the Transfer the Transferee will hold:

  
	
   

  	
   

  
	
   

  	
   

  	
  [CHECK ONE]

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  (a)

  	
  o

  	
  a beneficial interest in the:

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  (i)

  	
  o  

  	
  Restricted Global Note (CUSIP               ),
  or

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  (ii)

  	
  [Reserved], or

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  (iii)

  	
  o
  

  	
  Unrestricted Global Note (CUSIP              );
  or

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  (b)

  	
  o

  	
  a Restricted Definitive Note; or

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  (c)

  	
  o

  	
  an Unrestricted Definitive Note,

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  in accordance with the terms of the Indenture.

  	
   

  
									

 

 B-5

EXHIBIT C

FORM OF CERTIFICATE OF EXCHANGE

Asbury Automotive Group, Inc.

622 Third Avenue, 37th Floor

New York, New York 10017

[Registrar address block]

Re:          3.00% Senior Subordinated Convertible
Notes due 2012

(CUSIP                           )

Reference is hereby made to the Indenture, dated as of
March 16, 2007 (the “Indenture”), among Asbury Automotive Group, Inc.,
as issuer (the “Company”), the subsidiary guarantors listed on Schedule
I to the Indenture, and The Bank of New York, as Trustee. Capitalized terms
used but not defined herein shall have the meanings given to them in the
Indenture.

                                                         ,
(the “Owner”) owns and proposes to exchange the Note[s] or interest in such Note[s] specified herein, in the principal amount of $                             
in such Note[s]
or interests (the “Exchange”). In connection with the Exchange, the
Owner hereby certifies that:

1.  EXCHANGE OF
RESTRICTED DEFINITIVE NOTES OR BENEFICIAL INTERESTS IN A RESTRICTED GLOBAL NOTE
FOR UNRESTRICTED DEFINITIVE NOTES OR BENEFICIAL INTERESTS IN AN UNRESTRICTED
GLOBAL NOTE

(a)           o  CHECK
IF EXCHANGE IS FROM BENEFICIAL INTEREST IN A RESTRICTED GLOBAL NOTE TO
BENEFICIAL INTEREST IN AN UNRESTRICTED GLOBAL NOTE. In connection with the Exchange
of the Owner’s beneficial interest in a Restricted Global Note for a beneficial
interest in an Unrestricted Global Note in an equal principal amount, the Owner
hereby certifies (i) the beneficial interest is being acquired for the Owner’s
own account without transfer, (ii) such Exchange has been effected in
compliance with the transfer restrictions applicable to the Global Notes and
pursuant to and in accordance with the United States Securities Act of 1933, as
amended (the “Securities Act”), (iii) the restrictions on transfer
contained in the Indenture and the Private Placement Legend are not required in
order to maintain compliance with the Securities Act and (iv) the beneficial
interest in an Unrestricted Global Note is being acquired in compliance with
any applicable blue sky securities laws of any state of the United States.

(b)           o  CHECK
IF EXCHANGE IS FROM BENEFICIAL INTEREST IN A RESTRICTED GLOBAL NOTE TO
UNRESTRICTED DEFINITIVE NOTE. In connection with the Exchange of the Owner’s
beneficial interest in a Restricted Global Note for an Unrestricted Definitive
Note, the Owner hereby certifies (i) the Definitive Note is being acquired for
the Owner’s own account without transfer, (ii) such Exchange has been effected
in compliance with the transfer restrictions applicable to the Restricted
Global Notes and pursuant to and in accordance with the Securities Act, (iii)
the restrictions on transfer contained in the Indenture and the Private
Placement Legend are not required in order to maintain compliance 

 C-1
 

with the Securities Act and (iv) the Definitive Note
is being acquired in compliance with any applicable blue sky securities laws of
any state of the United States.

(c)           o  CHECK
IF EXCHANGE IS FROM RESTRICTED DEFINITIVE NOTE TO BENEFICIAL INTEREST IN AN
UNRESTRICTED GLOBAL NOTE. In connection with the Owner’s Exchange of a
Restricted Definitive Note for a beneficial interest in an Unrestricted Global
Note, the Owner hereby certifies (i) the beneficial interest is being acquired
for the Owner’s own account without transfer, (ii) such Exchange has been
effected in compliance with the transfer restrictions applicable to Restricted
Definitive Notes and pursuant to and in accordance with the Securities Act,
(iii) the restrictions on transfer contained in the Indenture and the Private
Placement Legend are not required in order to maintain compliance with the
Securities Act and (iv) the beneficial interest is being acquired in compliance
with any applicable blue sky securities laws of any state of the United States.

(d)           o  CHECK
IF EXCHANGE IS FROM RESTRICTED DEFINITIVE NOTE TO UNRESTRICTED DEFINITIVE NOTE.
In connection with the Owner’s Exchange of a Restricted Definitive Note for an
Unrestricted Definitive Note, the Owner hereby certifies (i) the Unrestricted
Definitive Note is being acquired for the Owner’s own account without transfer,
(ii) such Exchange has been effected in compliance with the transfer
restrictions applicable to Restricted Definitive Notes and pursuant to and in
accordance with the Securities Act, (iii) the restrictions on transfer
contained in the Indenture and the Private Placement Legend are not required in
order to maintain compliance with the Securities Act and (iv) the Unrestricted
Definitive Note is being acquired in compliance with any applicable blue sky
securities laws of any state of the United States.

2.             EXCHANGE
OF RESTRICTED DEFINITIVE NOTES OR BENEFICIAL INTERESTS IN RESTRICTED GLOBAL
NOTES FOR RESTRICTED DEFINITIVE NOTES OR BENEFICIAL INTERESTS IN RESTRICTED
GLOBAL NOTES

(a)           o  CHECK
IF EXCHANGE IS FROM BENEFICIAL INTEREST IN A RESTRICTED GLOBAL NOTE TO
RESTRICTED DEFINITIVE NOTE. In connection with the Exchange of the Owner’s
beneficial interest in a Restricted Global Note for a Restricted Definitive
Note with an equal principal amount, the Owner hereby certifies that the
Restricted Definitive Note is being acquired for the Owner’s own account
without transfer. Upon consummation of the proposed Exchange in accordance with
the terms of the Indenture, the Restricted Definitive Note issued will continue
to be subject to the restrictions on transfer enumerated in the Private
Placement Legend printed on the Restricted Definitive Note and in the Indenture
and the Securities Act.

(b)           o  CHECK
IF EXCHANGE IS FROM RESTRICTED DEFINITIVE NOTE TO BENEFICIAL INTEREST IN A
RESTRICTED GLOBAL NOTE. In connection with the Exchange of the Owner’s
Restricted Definitive Note for a beneficial interest in the Restricted Global
Note with an equal principal amount, the Owner hereby certifies (i) the beneficial
interest is being acquired for the Owner’s own account without transfer and
(ii) such Exchange has been effected in compliance with the transfer
restrictions applicable to the Restricted Global Notes and pursuant to and in
accordance with the Securities Act, and in compliance with any applicable blue
sky securities laws of any state of the United States. Upon consummation of the
proposed Exchange in accordance with the terms of the Indenture, the beneficial
interest issued will be subject to the restrictions on transfer enumerated in
the Private Placement Legend printed on the relevant Restricted Global Note and
in the Indenture and the Securities Act.

 C-2
 

This certificate and the statements contained herein
are made for your benefit and the benefit of the Company.

 

	
  

  	
   

  
	
   

  	
  [Insert Name of Transferor]

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Date:

  	
   

  	
   

  	
   

  	
   

  	
   

  
						

 

 C-3

EXHIBIT D

FORM OF CERTIFICATE FROM

ACQUIRING INSTITUTIONAL ACCREDITED INVESTOR

Asbury Automotive Group,
Inc.

622 Third Avenue, 37th Floor

New York, New York 10017

[Registrar
address block]

Re:                               3.00%
Senior Subordinated Convertible Notes due 2012

Reference is hereby made to the Indenture, dated as of
March 16, 2007 (the “Indenture”), among Asbury Automotive Group, Inc.,
as issuer (the “Company”), the subsidiary guarantors listed on Schedule
I to the Indenture, and The Bank of New York, as Trustee. Capitalized terms
used but not defined herein shall have the meanings given to them in the
Indenture.

In connection with our proposed purchase of $                       
aggregate principal amount of:

(a)                                  o  a
beneficial interest in a Global Note, or

(b)                                 o  a
Definitive Note,

we confirm that:

1.                                       We
understand that any subsequent transfer of the Notes or any interest therein is
subject to certain restrictions and conditions set forth in the Indenture and
the undersigned agrees to be bound by, and not to resell, pledge or otherwise
transfer the Notes or any interest therein except in compliance with, such
restrictions and conditions and the United States Securities Act of 1933, as
amended (the “Securities Act”).

2.                                       We
understand that the offer and sale of the Notes have not been registered under
the Securities Act, and that the Notes and any interest therein may not be
offered or sold except as permitted in the following sentence. We agree, on our
own behalf and on behalf of any accounts for which we are acting as hereinafter
stated, that if we should sell the Notes or any interest therein, we will do so
only (A) to the Company or any subsidiary thereof, (B) in accordance with Rule
144A under the Securities Act to a “qualified institutional buyer” (as
defined therein), (C) to an institutional “accredited investor” (as
defined below) that, prior to such transfer, furnishes (or has furnished on its
behalf by a U.S. broker-dealer) to you and to the Company a signed letter
substantially in the form of this letter and an Opinion of Counsel in form
reasonably acceptable to the Company to the effect that such transfer is in
compliance with the Securities Act, (D) pursuant to the provisions of Rule
144(k) under the Securities Act or (E) pursuant to an effective registration
statement under the Securities Act, and we further agree to provide to any
person purchasing the Definitive Note or beneficial interest in a Global Note
from us in a transaction meeting the requirements of clauses (A) through (D) of
this paragraph a notice advising such purchaser that resales thereof are
restricted as stated herein.

 D-1
 

3.                                       We
understand that, on any proposed resale of the Notes or beneficial interest
therein, we will be required to furnish to you and the Company such
certifications, legal opinions and other information as you and the Company may
reasonably require to confirm that the proposed sale complies with the
foregoing restrictions. We further understand that the Notes purchased by us
will bear a legend to the foregoing effect.

4.                                       We
are an institutional “accredited investor” (as defined in Rule
501(a)(1), (2), (3) or (7) of Regulation D under the Securities Act) and have
such knowledge and experience in financial and business matters as to be
capable of evaluating the merits and risks of our investment in the Notes, and
we and any accounts for which we are acting are each able to bear the economic
risk of our or its investment.

5.                                       We
are acquiring the Notes or beneficial interest therein purchased by us for our
own account or for one or more accounts (each of which is an institutional “accredited
investor”) as to each of which we exercise sole investment discretion.

You and the Company are entitled to rely upon this
letter and are irrevocably authorized to produce this letter or a copy hereof
to any interested party in any administrative or legal proceedings or official
inquiry with respect to the matters covered hereby.

 

	
  

  	
   

  	
   

  
	
   

  	
  [Insert Name of Transferor]

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Date:

  	
   

  	
   

  	
   

  	
   

  
						

 

 D-2

EXHIBIT E

[FORM OF SUBSIDIARY GUARANTEE]

For value received, the Guarantors (which term
includes any successor Persons under the Indenture) have, jointly and
severally, guaranteed, to the extent set forth in the Indenture and subject to
the provisions in the Indenture, dated as of March 16, 2007 (the “Indenture”),
among Asbury Automotive Group, Inc., the Guarantors listed on Schedule I
thereto and The Bank of New York, as trustee (the “Trustee”), (a) that
the principal of, and interest and Special Interest, if any, on, the Notes (as
defined in the Indenture) will be promptly paid in full when due, whether at
maturity, by acceleration, redemption or otherwise, and interest on the overdue
principal of, and interest and Special Interest, if any, on, the Notes, if any,
if lawful, and all other obligations of the Company to the Holders or the
Trustee under the Indenture or the Notes will be promptly paid in full or
performed, all in accordance with the terms of the Indenture and the Notes and
(b) in case of any extension of time of payment or renewal of any Notes or any
of such other obligations, that the same will be promptly paid in full when due
or performed in accordance with the terms of the extension or renewal, whether
at stated maturity, by acceleration or otherwise. The obligations of the
Guarantors to the Holders of Notes and to the Trustee pursuant to the
Subsidiary Guarantee and the Indenture are expressly set forth in Article 11 of
the Indenture and reference is hereby made to the Indenture for the precise
terms of the Subsidiary Guarantee. Each Holder of a Note, by accepting the
same, (a) agrees to and shall be bound by such provisions, (b) authorizes and
directs the Trustee, on behalf of such Holder, to take such action as may be
necessary or appropriate to effectuate the subordination as provided in the
Indenture and (c) appoints the Trustee attorney-in-fact of such Holder for such
purpose.

	
  

  	
  [NAME OF GUARANTOR(S)]

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title

  

 

 E-1

EXHIBIT F

[FORM OF SUPPLEMENTAL INDENTURE

TO BE DELIVERED BY SUBSEQUENT GUARANTORS]

SUPPLEMENTAL INDENTURE (this “Supplemental
Indenture”), dated as of                              ,
among                                   
(the “Guaranteeing Subsidiary”), a subsidiary of Asbury Automotive
Group, Inc. (or its permitted successor), a Delaware corporation (the “Company”),
the Company, the other Guarantors (as defined in the Indenture referred to
herein) and The Bank of New York, as trustee under the indenture referred to
below (the “Trustee”).

W I T N E S S E T H

WHEREAS, the Company has heretofore executed and
delivered to the Trustee an indenture (the “Indenture”), dated as of
March 16, 2007 providing for the issuance of 3.00% Senior Subordinated
Convertible Notes due 2012 (the “Notes”);

WHEREAS, the Indenture provides that under certain
circumstances the Guaranteeing Subsidiary shall execute and deliver to the
Trustee a supplemental indenture pursuant to which the Guaranteeing Subsidiary
shall unconditionally guarantee all of the Company’s Obligations under the
Notes and the Indenture on the terms and conditions set forth herein (the “Subsidiary
Guarantee”); and

WHEREAS, pursuant to Section 9.01 of the Indenture,
the Trustee is authorized to execute and deliver this Supplemental Indenture.

NOW THEREFORE, in consideration of the foregoing and
for other good and valuable consideration, the receipt of which is hereby
acknowledged, the Guaranteeing Subsidiary and the Trustee mutually covenant and
agree for the equal and ratable benefit of the Holders of the Notes as follows:

1.                                       CAPITALIZED
TERMS. Capitalized terms used herein without definition shall have the meanings
assigned to them in the Indenture.

2.                                       AGREEMENT
TO GUARANTEE. The Guaranteeing Subsidiary hereby agrees as follows:

(a)                                  Along
with all Guarantors named in the Indenture, to jointly and severally Guarantee
to each Holder of a Note authenticated and delivered by the Trustee and to the
Trustee and its successors and assigns, the Notes or the obligations of the
Company hereunder or thereunder, that:

(i)                                     the
principal of and interest on the Notes will be promptly paid in full when due,
whether at maturity, by acceleration, redemption or otherwise, and interest on
the overdue principal of and interest on the Notes, if any, if lawful, and all
other obligations of the Company to the Holders or the Trustee hereunder or
thereunder will be promptly paid in full or performed, all in accordance with
the terms hereof and thereof; and

 F-1
 

(ii)                                  in
case of any extension of time of payment or renewal of any Notes or any of such
other obligations, that same will be promptly paid in full when due or
performed in accordance with the terms of the extension or renewal, whether at
stated maturity, by acceleration or otherwise. Failing payment when due of any
amount so guaranteed or any performance so guaranteed for whatever reason, the
Guarantors shall be jointly and severally obligated to pay the same
immediately.

(b)                                 The
obligations hereunder shall be unconditional, irrespective of the validity,
regularity or enforceability of the Notes or the Indenture, the absence of any
action to enforce the same, any waiver or consent by any Holder of the Notes
with respect to any provisions hereof or thereof, the recovery of any judgment
against the Company, any action to enforce the same or any other circumstance
which might otherwise constitute a legal or equitable discharge or defense of a
guarantor.

(c)                                  The
following is hereby waived: diligence, presentment, demand of payment, filing
of claims with a court in the event of insolvency or bankruptcy of the Company,
any right to require a proceeding first against the Company, protest, notice
and all demands whatsoever.

(d)                                 This
Subsidiary Guarantee shall not be discharged except by complete performance of
the obligations contained in the Notes and the Indenture, and the Guaranteeing
Subsidiary accepts all obligations of a Guarantor under the Indenture.

(e)                                  If
any Holder or the Trustee is required by any court or otherwise to return to
the Company, the Guarantors, or any Custodian, Trustee, liquidator or other
similar official acting in relation to either the Company or the Guarantors,
any amount paid by either to the Trustee or such Holder, this Subsidiary
Guarantee, to the extent theretofore discharged, shall be reinstated in full
force and effect.

(f)                                    The
Guaranteeing Subsidiary shall not be entitled to any right of subrogation in
relation to the Holders in respect of any obligations guaranteed hereby until
payment in full of all obligations guaranteed hereby.

(g)                                 As
between the Guarantors, on the one hand, and the Holders and the Trustee, on
the other hand, (x) the maturity of the obligations guaranteed hereby may be
accelerated as provided in Article 6 of the Indenture for the purposes of this
Subsidiary Guarantee, notwithstanding any stay, injunction or other prohibition
preventing such acceleration in respect of the obligations guaranteed hereby,
and (y) in the event of any declaration of acceleration of such obligations as
provided in Article 6 of the Indenture, such obligations (whether or not due
and payable) shall forthwith become due and payable by the Guarantors for the
purpose of this Subsidiary Guarantee.

 F-2
 

(h)                                 The
Guarantors shall have the right to seek contribution from any non-paying Guarantor
so long as the exercise of such right does not impair the rights of the Holders
under the Guarantee.

(i)                                     Pursuant
to Section 10.02 of the Indenture, after giving effect to any maximum amount
and any other contingent and fixed liabilities that are relevant under any
applicable Bankruptcy or fraudulent conveyance laws, and after giving effect to
any collections from, rights to receive contribution from or payments made by
or on behalf of any other Guarantor in respect of the obligations of such other
Guarantor under Article 10 of the Indenture, this new Subsidiary Guarantee
shall be limited to the maximum amount permissible such that the obligations of
such Guarantor under this Subsidiary Guarantee will not constitute a fraudulent
transfer or conveyance.

3.                                       EXECUTION
AND DELIVERY.  Each Guaranteeing
Subsidiary agrees that the Subsidiary Guarantees shall remain in full force and
effect notwithstanding any failure to endorse on each Note a notation of such
Subsidiary Guarantee.

4.                                       GUARANTEEING
SUBSIDIARY MAY CONSOLIDATE, ETC. ON CERTAIN TERMS.  Except as set forth in Articles 4 and 5 of
the Indenture, and notwithstanding clauses (a) and (b) above, nothing contained
in the Indenture or in any of the Notes shall prevent any consolidation or
merger of a Guarantor with or into the Company or another Guarantor, or shall
prevent any sale or conveyance of the property of a Guarantor as an entirety or
substantially as an entirety to the Company or another Guarantor.

5.                                       RELEASES.

(a)                                  In
the event of (i) a sale or other disposition of all or substantially all
of the assets of any Guarantor, by way of merger, consolidation or otherwise,
or a sale or other disposition of all to the capital stock of any Guarantor, in
each case to a Person that is not (either before or after giving effect to such
transaction) the Company or any other Guarantor, (ii) a termination of one
or more Guarantees by any Guarantor of any other Senior Subordinated
Indebtedness of the Company or any other Guarantor which results in such Guarantor
no longer being subject to any Guarantee of any other Senior Subordinated
Indebtedness of the Company or any other Guarantor or (iii) any Guarantor
ceasing to be a Restricted Subsidiary, then such Guarantor (in the event
described in clauses (i) and (iii) of this paragraph) or the corporation
acquiring the property (in the event described in clause (ii) of this
paragraph) will be released and relieved of any obligations under its
Subsidiary Guarantee. Upon delivery by the Company to the Trustee of an Officers’
Certificate and an Opinion of Counsel to the effect that such sale or other
disposition was made by the Company in accordance with the provisions of the
Indenture, the Trustee shall execute any documents reasonably required in order
to evidence the release of any Guarantor from its obligations under its
Subsidiary Guarantee.

(b)                                 Any
Guarantor not released from its obligations under its Subsidiary Guarantee
shall remain liable for the full amount of principal of and 

 F-3
 

interest on the Notes and
for the other obligations of any Guarantor under the Indenture as provided in
Article 11 of the Indenture.

6.                                       NO
RECOURSE AGAINST OTHERS. No past, present or future director, officer,
employee, incorporator, stockholder or agent of the Guaranteeing Subsidiary, as
such, shall have any liability for any obligations of the Company or any
Guaranteeing Subsidiary under the Notes, any Subsidiary Guarantees, the
Indenture or this Supplemental Indenture or for any claim based on, in respect
of, or by reason of, such obligations or their creation. Each Holder of the
Notes by accepting a Note waives and releases all such liability. The waiver
and release are part of the consideration for issuance of the Notes. Such
waiver may not be effective to waive liabilities under the federal securities
laws and it is the view of the SEC that such a waiver is against public policy.

7.                                       NEW
YORK LAW TO GOVERN. THE INTERNAL LAW OF THE STATE OF NEW YORK SHALL GOVERN AND
BE USED TO CONSTRUE THIS SUPPLEMENTAL INDENTURE.

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

9.                                       EFFECT
OF HEADINGS. The Section headings herein are for convenience only and shall not
affect the construction hereof.

10.                                 THE
TRUSTEE. The Trustee shall not be responsible in any manner whatsoever for or
in respect of the validity or sufficiency of this Supplemental Indenture or for
or in respect of the recitals contained herein, all of which recitals are made
solely by the Guaranteeing Subsidiary and the Company.

 F-4
 

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

SIGNATURES

	
  Dated as of

  	
   

  	
  , 20

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  ASBURY AUTOMOTIVE GROUP, INC.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name: 

  	
   

  
	
   

  	
   

  	
  Title

  	
   

  
	
   

  	
   

  
	
   

  	
  EACH GUARANTOR
  LISTED ON SCHEDULE I

  HERETO

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name: 

  	
   

  
	
   

  	
   

  	
  Title

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  THE BANK OF NEW YORK

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name: 

  	
   

  
	
   

  	
   

  	
  Title

  	
   

  
									

 

 F-5

SCHEDULE I

SCHEDULE OF GUARANTORS

The following schedule lists each Guarantor under the
Indenture as of the Issue Date:

Legal
Name

Asbury Automotive
Financial Services, Inc.

Asbury Automotive
Group Holdings, Inc.

Asbury Automotive
Group L.L.C.

Asbury Automotive
Management L.L.C.

Asbury Automotive
South, L.L.C.

Asbury Automotive
West, L.L.C.

Asbury Automotive
Southern California L.L.C.

Asbury Arkansas
Hund L.L.C.

Asbury AR Niss
L.L.C .

Asbury Automotive
Arkansas Dealership Holdings L.L.C.

Asbury Automotive
Arkansas L.L.C.

Asbury MS
Gray-Daniels L.L.C.

Asbury MS Metro
L.L.C.

Escude-M L.L.C.

Escude-MO L.L.C.

Escude-NN L.L.C.

Escude-NS L.L.C.

Escude-T L.L.C.

NP FLM L.L.C.

NP MZD L.L.C.

NP VKW L.L.C.

Premier NSN L.L.C.

Premier Pon L.L.C.

Prestige Bay
L.L.C.

Prestige Toy
L.L.C.

Asbury Atlanta AC
L.L.C.

Asbury Atlanta AU
L.L.C.

Asbury Atlanta BM
L.L.C.

Asbury Atlanta
Chevrolet L.L.C.

Asbury Atlanta Hon
L.L.C.

Asbury Atlanta
Infiniti L.L.C.

Asbury Atlanta
Jaguar L.L.C.

Asbury Atlanta Lex
L.L.C.

Asbury Atlanta VL
L.L.C.

Asbury Automotive
Atlanta L.L.C.

Atlanta Real
Estate Holdings L.L.C.

Spectrum Insurance
Services L.L.C.

Asbury Automotive
Fresno L.L.C.

Asbury Fresno
Imports L.L.C.

AF Motors, L.L.C.

 I-1
 

ALM Motors, L.L.C.

ANL, L.P.

Asbury Automotive
Central Florida, L.L.C.

Asbury Automotive
Deland, L.L.C.

Asbury Automotive
Florida, L.L.C.

Asbury Automotive
Jacksonville GP L.L.C.

Asbury Automotive
Jacksonville, L.P.

Asbury Deland
Imports 2, L.L.C.

Asbury Jax AC,
L.L.C.

Asbury Jax
Holdings, L.P.

Asbury Jax K,
L.L.C.

Asbury Jax
Management L.L.C.

Asbury Jax PB
Chev, L.L.C.

Asbury-Deland
Imports, L.L.C.

Avenues Motors,
Ltd.

Bayway Financial
Services, L.P.

BFP Motors L.L.C.

C&O
Properties, Ltd.

CFP Motors, Ltd.

CH Motors, Ltd.

CHO Partnership,
Ltd.

CK Chevrolet
L.L.C.

CK Motors LLC

CN Motors, Ltd.

Coggin Automotive
Corp.

Coggin Cars L.L.C.

Coggin Chevrolet
L.L.C.

Coggin Management,
L.P.

CP-GMC Motors,
Ltd.

CSA Imports L.L.C.

HFP Motors L.L.C.

KP Motors L.L.C.

Asbury Automotive
Mississippi, L.L.C.

Asbury MS Chev,
L.L.C.

Asbury MS Wimber
L.L.C.

Asbury MS Yazoo
L.L.C.

Asbury No Cal Niss
L.L.C.

Asbury Sacramento
Imports L.L.C.

Asbury So Cal DC
L.L.C.

Asbury So Cal Hou
L.L.C.

Asbury So Cal Niss
L.L.C.

Asbury Automotive
North Carolina Dealership Holdings L.L.C.

Asbury Automotive
North Carolina L.L.C.

Asbury Automotive
North Carolina Management L.L.C.

Asbury Automotive
North Carolina Real Estate Holdings L.L.C.

Camco Finance II
L.L.C.

Camco Finance
L.L.C.

Crown
Acura/Nissan, LLC

Crown
Battleground, LLC

 I-2
 

Crown CHH L.L.C.

Crown CHO L.L.C.

Crown CHV L.L.C.

Crown Dodge, LLC

Crown FDO L.L.C.

Crown FFO Holdings
L.L.C.

Crown FFO L.L.C.

Crown Fordham
L.L.C.

Crown GAC L.L.C.

Crown GAU L.L.C.

Crown GBM L.L.C.

Crown GCA L.L.C.

Crown GCH L.L.C.

Crown GDO L.L.C.

Crown GHO L.L.C.

Crown GKI L.L.C.

Crown GMI L.L.C.

Crown GNI L.L.C.

Crown GPG L.L.C.

Crown GVO L.L.C.

Crown Honda, LLC

Crown Honda-Volvo,
LLC

Crown Mitsubishi,
LLC

Crown Motorcar
Company L.L.C.

Crown Raleigh
L.L.C.

Crown RIA L.L.C. 

Crown RIB L.L.C.

Crown Royal
Pontiac, LLC

Crown SJC L.L.C.

Crown SNI L.L.C.

RER Properties,
LLC

RWIJ Properties,
LLC

Asbury Automotive
Oregon L.L.C.

Asbury Automotive
Oregon Management L.L.C.

Thomason Frd
L.L.C.

Thomason Auto
Credit Northwest, Inc.

Thomason Dam
L.L.C.

Thomason Hon
L.L.C.

Thomason Hund
L.L.C.

Thomason Maz
L.L.C.

Thomason Niss
L.L.C.

Thomason
Outfitters L.L.C.

Thomason
Pontiac-GMC L.L.C.

Thomason Suzu
L.L.C.

Thomason TY L.L.C.

Thomason Zuk
L.L.C.

Asbury Automotive
St. Louis, L.L.C.

Asbury St. Louis
Lex L.L.C.

Asbury St. Louis
Cadillac L.L.C.

 I-3
 

Asbury St. Louis
Gen L.L.C.

Asbury Automotive
Brandon, L.P.

Asbury Automotive
Tampa GP L.L.C.

Asbury Automotive
Tampa, L.P.

Asbury Tampa
Management L.L.C.

JC Dealer Systems
LLC (formerly known as Dealer Profit Systems L.L.C.)

Precision Computer
Services, Inc.

Precision
Enterprises Tampa, Inc.

Precision
Infiniti, Inc.

Precision
Motorcars, Inc.

Precision Nissan,
Inc.

Tampa Hund, L.P.

Tampa Kia, L.P.

Tampa LM, L.P.

Tampa Mit, L.P.

Tampa Suzu, L.P.

WMZ Brandon
Motors, L.P.

WMZ Motors, L.P.

WTY Motors, L.P.

Asbury Automotive
Texas Holdings L.L.C.

Asbury Automotive
Texas L.L.C.

Asbury Automotive
Texas Real Estate Holdings L.P.

Asbury Texas
Management L.L.C.

McDavid Auction,
L.P.

McDavid
Austin-Acra, L.P.

McDavid
Frisco-Hon, L.P.

McDavid Grande,
L.P.

McDavid
Houston-Hon, L.P.

McDavid
Houston-Kia, L.P.

McDavid
Houston-Niss, L.P.

McDavid
Irving-Hon, L.P.

McDavid
Irving-PB&G, L.P.

McDavid
Irving-Zuk, L.P.

McDavid
Outfitters, L.P.

McDavid
Plano-Acra, L.P.

Plano
Lincoln-Mercury, Inc.

 I-4

SCHEDULE II

The following
table sets forth the “Stock Price,” “Effective Date” and number of Additional
Shares by which the Conversion Rate for the Notes shall be increased in the
event of a Fundamental Change, in accordance with the Indenture:

	
   

  	
   

  	
  Stock Price

  	
   

  
	
  Effective Date

  	
   

  	
  $27.75

  	
   

  	
  $28.00

  	
   

  	
  $29.00

  	
   

  	
  $30.00

  	
   

  	
  $32.50

  	
   

  	
  $35.00

  	
   

  	
  $37.50

  	
   

  	
  $40.00

  	
   

  	
  $45.00

  	
   

  	
  $50.00

  	
   

  	
  $60.00

  	
   

  
	
  March 16, 2007

  	
   

  	
  6.6188

  	
   

  	
  6.4531

  	
   

  	
  5.8213

  	
   

  	
  5.2511

  	
   

  	
  4.0526

  	
   

  	
  3.1150

  	
   

  	
  2.3775

  	
   

  	
  1.7959

  	
   

  	
  0.9753

  	
   

  	
  0.4734

  	
   

  	
  0.0572

  	
   

  
	
  September 15, 2007

  	
   

  	
  6.6188

  	
   

  	
  6.5766

  	
   

  	
  5.9271

  	
   

  	
  5.3414

  	
   

  	
  4.1125

  	
   

  	
  3.1536

  	
   

  	
  2.4015

  	
   

  	
  1.8099

  	
   

  	
  0.9782

  	
   

  	
  0.4708

  	
   

  	
  0.0497

  	
   

  
	
  September 15, 2008

  	
   

  	
  6.6188

  	
   

  	
  6.6188

  	
   

  	
  6.0241

  	
   

  	
  5.4106

  	
   

  	
  4.1300

  	
   

  	
  3.1390

  	
   

  	
  2.3687

  	
   

  	
  1.7682

  	
   

  	
  0.9359

  	
   

  	
  0.4395

  	
   

  	
  0.0417

  	
   

  
	
  September 15, 2009

  	
   

  	
  6.6188

  	
   

  	
  6.6188

  	
   

  	
  6.0099

  	
   

  	
  5.3649

  	
   

  	
  4.0297

  	
   

  	
  3.0108

  	
   

  	
  2.2312

  	
   

  	
  1.6341

  	
   

  	
  0.8281

  	
   

  	
  0.3653

  	
   

  	
  0.0248

  	
   

  
	
  September 15, 2010

  	
   

  	
  6.6188

  	
   

  	
  6.6188

  	
   

  	
  5.8648

  	
   

  	
  5.1750

  	
   

  	
  3.7659

  	
   

  	
  2.7159

  	
   

  	
  1.9351

  	
   

  	
  1.3561

  	
   

  	
  0.6146

  	
   

  	
  0.2271

  	
   

  	
  0.0053

  	
   

  
	
  September 15, 2011

  	
   

  	
  6.6188

  	
   

  	
  6.3920

  	
   

  	
  5.5162

  	
   

  	
  4.7450

  	
   

  	
  3.2087

  	
   

  	
  2.1213

  	
   

  	
  1.3661

  	
   

  	
  0.8509

  	
   

  	
  0.2801

  	
   

  	
  0.0591

  	
   

  	
  0.0000

  	
   

  
	
  September 15, 2012

  	
   

  	
  6.6188

  	
   

  	
  6.2971

  	
   

  	
  5.0656

  	
   

  	
  3.9162

  	
   

  	
  1.3521

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  

 

 II-1Exhibit 4.2

[Face of  Note]

CUSIP: 043436AF1

ISIN: US043436AF15

CUSIP for unrestricted notes:
                  

ISIN for unrestricted notes:                            

3.00% Senior Subordinated Convertible Notes due 2012 

	
  No. [1]

  	
   

  	
  $

  
	
   

  	
  ASBURY
  AUTOMOTIVE GROUP, INC.

  	
   

  

 

promises to pay to                            ,
or registered assigns, the principal sum of                   Dollars on September 15, 2012. 

Interest Payment Dates:  March 15 and September 15 of each year until
maturity and the Maturity Date

 

Record Dates: 
March 1 with respect to March 15 Interest Payment Dates, September 1
with respect to September 15 Interest Payment Dates and September 15, 2012 with
respect to interest payable at maturity.

 

Dated:

 

 

	
  

  	
  ASBURY AUTOMOTIVE GROUP, INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

 

 

This is one of the Notes referred to in the within
mentioned Indenture:

 

Dated:

 

THE BANK OF NEW YORK,

As Trustee

 

	
  By:

  	
   

  	
   

  
	
   

  	
  Authorized
  Signatory

  	
   

  

 

 2
 

[Back of Note]

3.00% Senior Subordinated Convertible Notes due 2012

[Insert the Global Note Legend, if applicable pursuant
to the provisions of the Indenture]

[Insert the Private Placement Legend, if applicable
pursuant to the provisions of the Indenture]

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

1.             INTEREST.  Asbury Automotive Group, Inc., a Delaware
corporation (the “Company”), promises to pay interest on the principal
amount of this Note at 3.00% per annum from March 16, 2007 until maturity and
shall pay the Special Interest payable pursuant to Section 2 of the
Registration Rights Agreement referred to below. The Company will pay interest
and Special Interest semi-annually in arrears on March 15 and September 15 of
each year and on maturity, or if any such day is not a Business Day, on the
next succeeding Business Day (each an “Interest Payment Date”). Interest
on the Notes will accrue from the most recent date to which interest has been
paid or, if no interest has been paid, from the date of issuance; provided that if there is no existing Default in the payment
of interest, and if this Note is authenticated between a record date referred
to on the face hereof and the next succeeding Interest Payment Date, interest
shall accrue from such next succeeding Interest Payment Date; provided, further, that
the first Interest Payment Date shall be September 15, 2007. The Company shall
pay interest (including post-petition interest in any proceeding under any
Bankruptcy Law) on overdue principal from time to time on demand at a rate that
is 1% per annum in excess of the rate then in effect; it shall pay interest
(including post-petition interest in any proceeding under any Bankruptcy Law)
on overdue installments of interest and Special Interest (without regard to any
applicable grace periods) from time to time on demand at the same rate to the
extent lawful. Interest will be computed on the basis of a 360-day year of
twelve 30-day months.

2.             METHOD
OF PAYMENT. The Company will pay interest on the Notes (except defaulted
interest) and Special Interest to the Persons who are registered Holders of
Notes at the close of business on (i) the 1st of
March next preceding each March 15 Interest Payment Date; (ii) the 1st of September next preceding each September 15
Interest Payment Date; and (iii) September 15, 2012 with respect to
interest payable at maturity even if such Notes are canceled after such record
date and on or before such Interest Payment Date, except as provided in Section
2.12 of the Indenture with respect to defaulted interest. The Notes will be
payable as to principal, Special Interest, if any, and interest at the office
or agency of the Company maintained for such purpose within the City and State
of New York, or, at the option of the Company, payment of interest and Special
Interest, if any, may be made by check mailed to the Holders at their addresses
set forth in the register of Holders, and provided that
payment by wire transfer of immediately available funds will be required with
respect to principal of, and interest and Special Interest, if any, on, all
Global Notes and all other Notes the Holders of which shall have provided wire
transfer instructions to the Company or the Paying Agent. Such payment shall be
in such coin or currency of the United States of America as at the time of
payment is legal tender for payment of public and private debts.

 3
 

3.             PAYING
AGENT AND REGISTRAR. Initially, The Bank of New York, the Trustee under the
Indenture, will act as Paying Agent and Registrar. The Company may change any
Paying Agent or Registrar without notice to any Holder. The Company or any of
its Subsidiaries may act in any such capacity.

4.             INDENTURE.
The Company issued the Notes under an Indenture dated as of March 16, 2007 (“Indenture”)
between the Company, the Guarantors specified therein and the Trustee. The
terms of the Notes include those stated in the Indenture and those made part of
the Indenture by reference to the Trust Indenture Act of 1939, as amended (15
U.S. Code §§ 77aaa-77bbbb). The Notes are subject to all such terms, and
Holders are referred to the Indenture and such Act for a statement of such
terms. To the extent any provision of this Note conflicts with the express
provisions of the Indenture, the provisions of the Indenture shall govern and
be controlling. The Company shall be entitled to issue additional Notes
pursuant to Section 2.14 of the Indenture.

5.             REPURCHASE
AND CONVERSION. In any case where any Designated Event Repurchase Date or the
last date on which a Holder has the right to convert his Notes shall not be a
Business Day, then (notwithstanding any other provision of the Indenture or of
the Notes) conversion of the Notes 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 Designated Event Repurchase Date or on such last day for
conversion, provided that no interest shall accrue
for the period from and after such Designated Event Repurchase Date.
Notwithstanding the foregoing, the right to convert a Note shall cease at the
close of business on the third Scheduled Trading Day immediately preceding the
Maturity Date.  Subject to the provisions
of the Indenture, upon the occurrence of a Designated Event, the Holder has the
right, at such Holder’s option, to require the Company to repurchase all of
such Holder’s Notes or any portion thereof (in principal amounts of $1,000 or
integral multiples thereof) on the Designated Event Repurchase Date at a price
equal to 100% of the principal amount of the Notes such Holder elects to
require the Company to repurchase, together with accrued and unpaid interest to
but excluding the Designated Event Repurchase Date, unless such Designated Event
Repurchase Date falls after a Regular Record Date and on or prior to the
corresponding Interest Payment Date, in which case the Company shall pay the
full amount of accrued and unpaid interest payable on such Interest Payment
Date to the Holder of record at the close of business on the corresponding
Regular Record Date. The Company or, at the written request of the Company, the
Trustee shall mail to all Holders of record of the Notes a notice of the
occurrence of a Designated Event and of the repurchase right arising as a
result thereof after the occurrence of any Designated Event, but on or before
the 10th calendar day following such occurrence.

Subject to the provisions of the Indenture, the Holder
hereof has the right, at its option, on and after June 15, 2012, or earlier
upon the occurrence of certain conditions specified in the Indenture and prior
to the close of business on the third Scheduled Trading Day immediately
preceding the Maturity Date, to convert any Notes or portion thereof which is
$1,000 or an integral multiple thereof, into cash and, if applicable, shares of
Common Stock or Reference Property, in each case at the Conversion Rate
specified in the Indenture, as adjusted from time to time as provided in the
Indenture, upon satisfaction of certain requirements set forth in the
Indenture, including the surrender of this Note, together with a Notice of
Conversion, a form of which is contained under Exhibit A of the Indenture,
as provided in the Indenture and this Note, to the Company at the office or
agency of the Company maintained for that purpose, or at the option of such
Holder, the Corporate Trust Office of the Trustee, and, unless the shares of

 4
 

Common Stock or Reference Property, as the case may
be, issuable on conversion are to be issued in the same name as this Note, duly
endorsed by, or accompanied by instruments of transfer in form satisfactory to
the Company duly executed by, the Holder or by his duly authorized attorney.
The initial Conversion Rate shall be 29.4172 shares of Common Stock for each
$1,000 principal amount of Notes. No fractional shares of Common Stock or
Reference Property, as the case may be, shall be issued upon any conversion,
but an adjustment in cash shall be paid to the Holder, as provided in the
Indenture, in respect of any fraction of such share which would otherwise be
issuable upon the surrender of any Note or Notes for conversion. No adjustment
shall be made for dividends or any such shares issued upon conversion of such
Notes except as provided in the Indenture.

6.             MANDATORY
REDEMPTION.

The Company shall not be required to make mandatory
redemption payments with respect to the Notes.

7.             ADDITIONAL
RIGHTS OF HOLDERS OF RESTRICTED GLOBAL NOTES AND RESTRICTED DEFINITIVE NOTES.
In addition to the rights provided to Holders of Notes under the Indenture,
Holders of Restricted Global Notes and Restricted Definitive Notes shall have
all the rights set forth in the Registration Rights Agreement dated as of March
16, 2007, between the Company and the parties named on the signature pages
thereof (the “Registration Rights Agreement”).

8.             [Reserved].

9.             DENOMINATIONS,
TRANSFER, EXCHANGE. The Notes are in registered form without coupons in
denominations of $1,000 and integral multiples of $1,000 in excess thereof. The
transfer of Notes may be registered and Notes may be exchanged as provided in
the Indenture. The Registrar and the Trustee may require a Holder, among other
things, to furnish appropriate endorsements and transfer documents and the
Company may require a Holder to pay any taxes and fees required by law or
permitted by the Indenture. The Company need not exchange or register the
transfer of any Note or portion of a Note selected for redemption, except for
the unredeemed portion of any Note being redeemed in part. Also, the Company
need not exchange or register the transfer of any Notes surrendered for
conversion or during the period between a record date and the corresponding
Interest Payment Date.

10.           PERSONS
DEEMED OWNERS. The registered Holder of a Note may be treated as its owner for
all purposes.

11.           AMENDMENT,
SUPPLEMENT AND WAIVER. Subject to certain exceptions, the Indenture, the
Subsidiary Guarantees or the Notes may be amended or supplemented with the
consent of the Holders of at least a majority in principal amount of the then
outstanding Notes, voting as a single class, and any existing default or
compliance with any provision of the Indenture, the Subsidiary Guarantees or
the Notes may be waived with the consent of the Holders of a majority in
principal amount of the then outstanding Notes, voting as a single class.
Without the consent of any Holder of a Note, the Indenture, the Subsidiary
Guarantees or the Notes may be amended or supplemented to cure any ambiguity,
defect or inconsistency or to make a modification of a formal, minor or
technical nature or to correct a manifest error, to provide for uncertificated
Notes in addition to or in place of certificated Notes,

 5
 

to provide for the assumption of the Company’s or
Guarantor’s obligations to Holders of the Notes in case of a merger or
consolidation or sale of all or substantially all of the Company’s assets, to
add Guarantees with respect to the Notes or to secure the Notes, to add to the
covenants of the Company or any Guarantor for the benefit of the Holders of the
Notes or surrender any right or power conferred upon the Company or any
Guarantor, to make any change that would provide any additional rights or
benefits to the Holders of the Notes or that does not adversely affect the
legal rights under the Indenture of any such Holder, to comply with the
requirements of the SEC in order to effect or maintain the qualification of the
Indenture under the Trust Indenture Act, to evidence and provide for the
acceptance and appointment under the Indenture of a successor trustee pursuant
to the requirements thereof, or to provide for the issuance of Additional Notes
in accordance with the limitations set forth in the Indenture.

12.           DEFAULTS
AND REMEDIES. Events of Default include: (i) default for 30 days in the payment
when due of interest on, or Special Interest, if any, with respect to, the
Notes, whether or not prohibited by Article 10 of the Indenture; (ii) default
in payment when due of principal of the Notes when the same becomes due and
payable at maturity, upon redemption (including in connection with an offer to
purchase) or otherwise, whether or not prohibited by Article 10 of the
Indenture; (iii) failure by the Company to comply with the Conversion
Obligation as that term is defined in the Indenture; (iv) failure by the
Company to comply with Section 5.01 of the Indenture; (v) failure by the
Company to comply in any material respect with its notice requirements under or
Section 13.01(b) through (d) or Section 14.01(b) of the Indenture when due;
(vi) failure by the Company or any of its Restricted Subsidiaries for 60 days
after notice to the Company by the Trustee or the Holders of at least 25% in
principal amount of the Notes (including Additional Notes, if any) then
outstanding voting as a single class to observe or perform any covenant or
agreement in the Indenture; (vii) default under certain other agreements
relating to Indebtedness of the Company or any of its Restricted Subsidiaries,
which default is caused by a failure to pay principal at its stated final
maturity (after giving effect to any applicable grace period provided in such
Indebtedness) (a “Payment Default”) or results in the acceleration of
such Indebtedness prior to its express maturity and, in each case, the
principal amount of any such Indebtedness, together with the principal amount
of any other such Indebtedness under which there has been a Payment Default or
the maturity of which has been so accelerated, aggregates $15.0 million or
more; (viii) certain final judgments for the payment of money that remain not
paid, discharged or stayed for a period of 60 days, provided
that the aggregate of all such not paid, discharged or stayed judgments exceeds
$15.0 million; (ix) certain events of bankruptcy or insolvency with
respect to the Company or any of its Restricted Subsidiaries that are, alone or
in combination, Significant Subsidiaries as specified in clauses (j) and (k) of
Section 6.01 of the Indenture; and (x) except as permitted by the Indenture,
any Subsidiary Guarantee shall be held in any judicial proceeding to be
unenforceable or invalid or shall cease for any reason to be in full force and
effect or any Guarantor or any Person acting on its behalf shall deny or
disaffirm its obligations under such Guarantor’s Subsidiary Guarantee. If any Event
of Default (other than an Event of Default specified in clause (j) or (k) of 6.01
of the Indenture with respect to the Company or any of its Restricted
Subsidiaries that are, alone or in combination, Significant Subsidiaries)
occurs and is continuing, the Trustee or the Holders of at least 25% in
principal amount of the then outstanding Notes may declare all the Notes to be
due and payable immediately. Upon any such declaration the Notes shall become
due and payable immediately. Notwithstanding the foregoing, in the case of an
Event of Default arising from certain events of bankruptcy or insolvency as
specified in clauses (j) and (k) of Section 6.01of the Indenture with respect
to the Company or any of its Restricted Subsidiaries that are, alone or in combination,
Significant Subsidiaries, all outstanding Notes will become due and payable 

 6
 

immediately without further action or notice. Holders
of a majority in principal amount of the then outstanding Notes may direct the
time, method and place of conducting any proceeding for exercising any remedy
available to the Trustee or exercising any trust or power conferred on it. The
Trustee may withhold from Holders of the Notes notice of any continuing Default
or Event of Default (except a Default or Event of Default relating to the
payment of principal of, or interest on, any Note) if and so long as a
committee of its Responsible Officers in good faith determines that withholding
notice is in the interests of the Holders of the Notes. The Holders of a
majority in aggregate principal amount of the then outstanding Notes by notice
to the Trustee may on behalf of the Holders of all of the Notes waive any
existing Default and its consequences under the Indenture except a continuing
Default in the payment of principal of, Special Interest, if any, or interest
on, the Notes (other than non-payment of principal of or interest on or Special
Interest, if any, on the Notes that become due solely because of the
acceleration of the Notes) (provided that
the Holders of a majority in aggregate principal amount of the then outstanding
Notes may rescind an acceleration and its consequences, including any related
payment default that resulted from such acceleration). The Company is required
to deliver to the Trustee annually a statement regarding compliance with the
Indenture, and the Company is required upon becoming aware of any Default or
Event of Default, to deliver to the Trustee a statement specifying such Default
or Event of Default.

13.           TRUSTEE
DEALINGS WITH COMPANY. The Trustee, in its individual or any other capacity,
may make loans to, accept deposits from, and perform services for the Company
or its Affiliates, and may otherwise deal with the Company or its Affiliates,
as if it were not the Trustee.

14.           NO
RECOURSE AGAINST OTHERS. A director, officer, employee, incorporator or
stockholder, of the Company, as such, shall not have any liability for any
obligations of the Company under the Notes or the Indenture or for any claim
based on, in respect of, or by reason of, such obligations or their creation.
Each Holder by accepting a Note waives and releases all such liability. The
waiver and release are part of the consideration for the issuance of the Notes.

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

16.           ABBREVIATIONS.
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), CUST (= Custodian), and U/G/M/A (= Uniform Gifts to Minors Act).

17.           [Reserved].

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

 7
 

The Company will furnish to any Holder upon written
request and without charge a copy of the Indenture and/or the Registration
Rights Agreement. Requests may be made to:

Asbury Automotive
Group, Inc.

622 Third Avenue,
37th Floor

New York, New York
10017

Attention: Chief
Financial Officer

 8
 

ASSIGNMENT FORM

To assign this Note, fill in the form below:

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

  	
   

  
	
   

  	
  (Insert
  assignee’s legal name)

  
	
   

  
	
   

  
	
  (Insert
  assignee’s Social Security or Tax Identification Number)

  
	
   

  
	
   

  
	
   

  
	
   

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

  
	
   

  
	
  and irrevocably appoint

  	
   

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

  
	
   

  
	
  Date:

  	
   

  	
   

  
	
   

  
	
   

  
	
   

  	
  Your Signature:

  	
   

  	
   

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

  
	
   

  
	
  Signature Guarantee*:

  	
   

  	
   

  
										

 

 

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

 

 9
 

SCHEDULE OF EXCHANGES OF INTERESTS IN THE GLOBAL
NOTE

The following exchanges of a part of this Global Note
for an interest in another Global Note or for a Definitive Note, or exchanges
of a part of another Global Note or Definitive Note for an interest in this
Global Note, have been made:

	
  Date of Exchange

  	
   

  	
  Amount of decrease in

  Principal Amount of

  this Global Note

  	
   

  	
  Amount of increase in

  Principal Amount of

  this Global Note

  	
   

  	
  Principal Amount

  of this Global Note

  following such

  decrease

  (or increase)

  	
   

  	
  Signature of

  authorized officer of

  Trustee or Note

  Custodian

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

 10
 

NOTICE OF CONVERSION

The undersigned Holder of this Note hereby irrevocably
exercises the option to convert this Note, or any portion of the principal
amount hereof (which is $1,000 or an integral multiple of $1,000 in excess
thereof, provided that the unconverted portion of
such principal amount is $1,000 or any integral multiple of $1,000 in excess
thereof) below designated, into cash and, if applicable, shares of Common Stock
or Reference Property in accordance with the terms of the Indenture referred to
in this Note, and directs that such shares, together with a check in payment
for any fractional share and any Notes representing any unconverted principal
amount hereof, be delivered to and be registered in the name of the undersigned
unless a different name has been indicated below. If shares of Common Stock,
Reference Property or Notes are to be registered in the name of a Person other
than the undersigned, (a) the undersigned shall pay all transfer taxes payable
with respect thereto and (b) signature(s) must be guaranteed by an Eligible
Guarantor Institution with membership in an approved signature guarantee
program pursuant to Rule 17Ad-15 under the Securities Exchange Act of 1934. Any
amount required to be paid by the undersigned on account of interest accompanies
this Note.

 

	
  Date:

  	
   

  	
   

  
	
   

  
	
   

  
	
   

  	
  Your Signature:

  	
   

  	
   

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

  
						

 

If shares or Notes are to be registered in the name of a Person other
than the Holder, please print such Person’s name and address:

 

	
  

  	
   

  
	
  (Name)

  
	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  (Address)

  
	
   

  
	
   

  	
   

  
	
  Social Security or other Identification Number, if
  any

  
	
   

  
	
   

  	
   

  
	
  [Signature Guaranteed]

  

 

If only a portion of the Notes is to be converted,
please indicate:

1.             Principal
amount to be converted: $                       

2.             Principal
amount and denomination of Notes

representing unconverted principal amount to be
issued:                          

 11
 

Amount: $                             Denominations: $                        

($1,000 or any integral multiple of $1,000 in excess
thereof, provided that the unconverted portion of
such principal amount is $1,000 or any integral multiple of $1,000 in excess
thereof)

 12

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