Document:

Exhibit 4.1

 Exhibit 4.1 
 TWENTY-EIGHTH SUPPLEMENTAL INDENTURE 
 dated as of March 12, 2012

 This Twenty-Eighth Supplemental Indenture, dated as of the 12th day of March, 2012 between CMS Energy Corporation, a
corporation duly organized and existing under the laws of the State of Michigan (hereinafter called the “Issuer”) and having its principal office at One Energy Plaza, Jackson, Michigan 49201, and The Bank of New York Mellon, a New
York banking corporation (hereinafter called the “Trustee”) and having its Corporate Trust Office at 101 Barclay Street, New York, New York 10286. 
 WITNESSETH: 
 WHEREAS, the Issuer and the Trustee (ultimate successor to
NBD Bank, National Association) entered into an Indenture, dated as of September 15, 1992 (the “Original Indenture”), pursuant to which one or more series of debt securities of the Issuer (the “Securities”) may
be issued from time to time; and 
 WHEREAS, Section 2.3 of the Original Indenture permits the terms of any series of
Securities to be established in an indenture supplemental to the Original Indenture; and 
 WHEREAS, Section 8.1(e) of the
Original Indenture provides that a supplemental indenture may be entered into by the Issuer and the Trustee without the consent of any Holders (as defined in the Original Indenture) of the Securities to establish the form and terms of the Securities
of any series; and 
 WHEREAS, the Issuer has requested the Trustee to join with it in the execution and delivery of this
Twenty-Eighth Supplemental Indenture in order to supplement and amend the Original Indenture by, among other things, establishing the form and terms of a series of Securities to be known as the Issuer’s “5.05% Senior Notes due 2022”
(the “2022 Notes”), providing for the issuance of the 2022 Notes and amending and adding certain provisions thereof for the benefit of the Holders of the 2022 Notes; and 

WHEREAS, the Issuer and the Trustee desire to enter into this Twenty-Eighth Supplemental Indenture for the purposes set forth in
Section 2.3 and Section 8.1(e) of the Original Indenture as referred to above; and 
 WHEREAS, the Issuer has
furnished the Trustee with a copy of the resolutions of its Board of Directors certified by its Secretary or Assistant Secretary authorizing the execution of this Twenty-Eighth Supplemental Indenture; and 

WHEREAS, all things necessary to make this Twenty-Eighth Supplemental Indenture a valid agreement of the Issuer and the Trustee and a
valid supplement to the Original Indenture have been done; 

  
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 NOW, THEREFORE, for and in consideration of the premises and the purchase of the 2022 Notes
to be issued hereunder by Holders thereof, the Issuer and the Trustee mutually covenant and agree, for the equal and proportionate benefit of the respective Holders from time to time of the 2022 Notes, as follows: 

ARTICLE I 

STANDARD PROVISIONS; DEFINITIONS 
 SECTION 1.01. Standard Provisions. The Original Indenture together with this Twenty-Eighth Supplemental Indenture and all previous indentures supplemental thereto entered into pursuant to the
applicable terms thereof are hereinafter sometimes collectively referred to as the “Indenture.” All capitalized terms which are used herein and not otherwise defined herein are defined in the Original Indenture and are used herein
with the same meanings as in the Original Indenture. 
 SECTION 1.02. Definitions. 

(a) The following terms have the meanings set forth in the Sections hereof set forth below: 

 

			
	 Term
	  	 Section

	Applicable Premium	  	2.04
	Change of Control Date	  	3.01
	Change of Control Purchase Notice	  	3.01(b)
	Change of Control Purchase Price	  	3.01
	Depositary	  	Article IX
	DTC	  	2.03
	Events of Default	  	6.01
	Global Note	  	Article IX
	Indenture	  	1.01; 2.04
	Interest Payment Date	  	2.03
	Issuer	  	Preamble; 2.03
	Lien	  	4.02
	Original Indenture	  	Recitals
	Original Issue Date	  	2.03
	Place of Payment	  	2.03
	Purchase Date	  	3.01(a)(iii)
	Record Date	  	2.03
	Required Repurchase	  	3.01
	Securities	  	Recitals
	Stated Maturity	  	2.01(a); 2.03
	Treasury Rate	  	2.04
	Trustee	  	Preamble; 2.04
	2022 Notes	  	Recitals; 2.04

 (b) Section 1.1 of the Original Indenture is amended to insert the new definitions solely applicable
to the 2022 Notes and to replace, solely with respect to the 2022 Notes (but not with respect to any other series of Securities), any existing definitions (as applicable) in the Original Indenture, in the appropriate alphabetical sequence, as
follows: 
 “Business Day” means any day on which banking institutions in New York, New York are not authorized
or required by law or regulation to close. 

  
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 “Capital Lease Obligation” of a Person means any obligation that is
required to be classified and accounted for as a capital lease on the face of a balance sheet of such Person prepared in accordance with generally accepted accounting principles; the amount of such obligation shall be the capitalized amount thereof,
determined in accordance with generally accepted accounting principles; the stated maturity thereof shall be the date of the last payment of rent or any other amount due under such lease prior to the first date upon which such lease may be
terminated by the lessee without payment of a penalty; and such obligation shall be deemed secured by a Lien on any property or assets to which such lease relates. 
 “Capital Stock” means any and all shares, interests, rights to purchase, warrants, options, participations or other equivalents of or interests in (however designated) corporate stock,
including any Preferred Stock or Letter Stock. 
 “Change of Control” means the occurrence of any of the
following events: (1) any “person” or “group” (as such terms are used in Sections 13(d) and 14(d) of the Exchange Act or any successor provisions to either of the foregoing) becomes the “beneficial owners” (as used
in Rules 13d-3 and 13d-5 under the Exchange Act, except that a person or group will be deemed to have “beneficial ownership” of all shares that any such person or group has the right to acquire, whether such right is exercisable
immediately or only after the passage of time), directly or indirectly, of a majority of the total voting power of the Voting Stock of the Issuer, whether as a result of the issuance of securities of the Issuer, any merger, consolidation,
liquidation or dissolution of the Issuer or otherwise; (2) the sale, transfer, assignment, lease, conveyance or other disposition, directly or indirectly, of all or substantially all the assets of the Issuer and its subsidiaries, considered as
a whole (other than a disposition of such assets as an entirety or virtually as an entirety to a wholly-owned subsidiary) shall have occurred, or the Issuer merges, consolidates or amalgamates with or into any other Person or any other Person
merges, consolidates or amalgamates with or into the Issuer, in any such event pursuant to a transaction in which the outstanding Voting Stock of the Issuer is reclassified into or exchanged for cash, securities or other property, other than any
such transaction where (a) the outstanding Voting Stock of the Issuer is reclassified into or exchanged for other Voting Stock of the Issuer or for Voting Stock of the surviving corporation and (b) the holders of the Voting Stock of the
Issuer immediately prior to such transaction own, directly or indirectly, a majority of the Voting Stock of the Issuer or the surviving corporation immediately after such transaction and in substantially the same proportion as before the
transaction; (3) during any period, individuals who at the beginning of such period constituted the board of directors of the Issuer (together with any new directors whose election or appointment by such board of directors or whose nomination
for election by the stockholders of the Issuer was approved by a vote of a majority of the directors then still in office who were either directors at the beginning of such period or whose election or nomination for election was previously so
approved) cease for any reason to constitute a majority of the board of directors of the Issuer then in office; or (4) the stockholders of the Issuer shall have approved any plan of liquidation or dissolution of the Issuer. 

“Change of Control Repurchase Event” means the occurrence of both a Change of Control and a Rating Decline. 

  
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 “Consolidated Assets” means, at any date of determination, the aggregate
assets of the Issuer and its Consolidated Subsidiaries determined on a consolidated basis in accordance with generally accepted accounting principles. 
 “Consolidated Current Liabilities” means, for any period, the aggregate amount of liabilities of the Issuer and its Consolidated Subsidiaries which may properly be classified as current
liabilities (including taxes accrued as estimated), after (i) eliminating all inter-company items between the Issuer and any Consolidated Subsidiary and (ii) deducting all current maturities of long-term Indebtedness, all as determined in
accordance with generally accepted accounting principles. 
 “Consolidated Net Tangible Assets” means, for any
period, the total amount of assets (less accumulated depreciation or amortization, allowances for doubtful receivables, other applicable reserves and other properly deductible items) as set forth on the most recently available quarterly or annual
consolidated balance sheet of the Issuer and its Consolidated Subsidiaries, determined on a consolidated basis in accordance with generally accepted accounting principles, and after giving effect to purchase accounting and after deducting therefrom,
to the extent otherwise included, the amounts of: (i) Consolidated Current Liabilities; (ii) minority interests in Consolidated Subsidiaries held by Persons other than the Issuer or a Restricted Subsidiary; (iii) excess of cost over
fair value of assets of businesses acquired, as determined in good faith by the Board of Directors as evidenced by resolutions of the Board of Directors; (iv) any revaluation or other write-up in value of assets subsequent to December 31,
1996, as a result of a change in the method of valuation in accordance with generally accepted accounting principles; (v) unamortized debt discount and expenses and other unamortized deferred charges, goodwill, patents, trademarks, service
marks, trade names, copyrights, licenses, organization or developmental expenses and other intangible items; (vi) treasury stock; and (vii) any cash set apart and held in a sinking or other analogous fund established for the purpose of
redemption or other retirement of Capital Stock to the extent such obligation is not reflected in Consolidated Current Liabilities. 
 “Consolidated Subsidiary” means any Subsidiary whose accounts are or are required to be consolidated with the accounts of the Issuer in accordance with generally accepted accounting
principles. 
 “Consumers” means Consumers Energy Company, a Michigan corporation and wholly-owned Subsidiary
of the Issuer. 
 “Enterprises” means CMS Enterprises Company, a Michigan corporation and wholly-owned
Subsidiary of the Issuer. 
 “Exchange Act” means the Securities Exchange Act of 1934, as amended from time to
time, and any successor legislation. 
 “Indebtedness” of any Person means, without duplication: 

(i) the principal of and premium (if any) in respect of (A) indebtedness of such Person for money borrowed and (B) indebtedness
evidenced by notes, debentures, bonds or other similar instruments for the payment of which such Person is responsible or liable; 

  
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 (ii) all Capital Lease Obligations of such Person; 

(iii) all obligations of such Person issued or assumed as the deferred purchase price of property, all conditional sale obligations and
all obligations under any title retention agreement (but excluding trade accounts payable arising in the ordinary course of business); 
 (iv) all obligations of such Person for the reimbursement of any obligor on any letter of credit, bankers’ acceptance or similar credit transaction (other than obligations with respect to letters of
credit securing obligations (other than obligations described in clauses (i) through (iii) above) entered into in the ordinary course of business of such Person to the extent such letters of credit are not drawn upon or, if and to the
extent drawn upon, such drawing is reimbursed no later than the third Business Day following receipt by such Person of a demand for reimbursement following payment on the letter of credit); 

(v) all obligations of the type referred to in clauses (i) through (iv) above of other Persons and all dividends of other
Persons for the payment of which, in either case, such Person is responsible or liable as obligor, guarantor or otherwise; and 

(vi) all obligations of the type referred to in clauses (i) through (v) above of other Persons secured by any Lien on any
property or asset of such Person (whether or not such obligation is assumed by such Person), the amount of such obligation being deemed to be the lesser of the value of such property or assets or the amount of the obligation so secured. 

“Investment Grade” means BBB- or higher by S&P and Baa3 or higher by Moody’s, or the equivalent of such ratings
by S&P or Moody’s or, if either S&P or Moody’s shall not make a rating on the 2022 Notes publicly available, another Rating Agency. 
 “Letter Stock”, as applied to the Capital Stock of any corporation, means Capital Stock of any class or classes (however designated) which is intended to reflect the separate performance
of certain of the businesses or operations conducted by such corporation or any of its subsidiaries. 

“Moody’s” means Moody’s Investors Service, Inc. 

“Paying Agent” means any Person authorized by the Issuer to pay the principal of (and premium, if any) or interest on
any of the 2022 Notes on behalf of the Issuer. Initially, the Paying Agent shall be the Trustee. 
 “Person”
means any individual, corporation, partnership, limited liability company, joint venture, association, joint-stock company, trust, unincorporated organization, government or any agency or political subdivision thereof, or any other entity.

 “Predecessor 2022 Note” of any particular 2022 Note means every previous 2022 Note evidencing all or a
portion of the same debt as that evidenced by such particular 2022 Note; and, for the purposes of the definition, any 2022 Note authenticated and delivered under Section 2.9 of the Original Indenture in exchange for or in lieu of a mutilated,
destroyed, lost or stolen 2022 Note shall be deemed to evidence the same debt as the mutilated, destroyed, lost or stolen 2022 Note. 

  
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 “Preferred Stock”, as applied to the Capital Stock of any corporation,
means Capital Stock of any class or classes (however designated) that is preferred as to the payment of dividends, or as to the distribution of assets upon any voluntary or involuntary liquidation or dissolution of such corporation, over shares of
Capital Stock of any other class of such corporation. 
 “Rating Agency” means each of S&P and Moody’s
or, if S&P or Moody’s or both shall not make a rating on the 2022 Notes publicly available, a nationally recognized statistical rating organization or organizations, as the case may be, selected by the Issuer (as certified by a resolution
of the Issuer’s board of directors), which shall be substituted for S&P or Moody’s, or both, as the case may be. 

“Rating Decline” means the rating of the 2022 Notes shall be decreased by one or more gradations (including gradations
within categories as well as between rating categories) by each of the Rating Agencies on any date from the date of the public notice of an arrangement that could result in a Change of Control until the end of the 30-day period following public
notice of the occurrence of the Change of Control (which 30-day period shall be extended so long as the rating of the 2022 Notes is under publicly announced consideration for possible downgrade by either of the Rating Agencies; provided, that the
other Rating Agency has either downgraded, or publicly announced that it is considering downgrading, the 2022 Notes); provided, however, that if the rating of the 2022 Notes by each of the Rating Agencies is Investment Grade, then “Rating
Decline” means the rating of the 2022 Notes shall be decreased by one or more gradations (including gradations within categories as well as between rating categories) by each of the Rating Agencies such that the rating of the 2022 Notes by
each of the Rating Agencies falls below Investment Grade on any date from the date of the public notice of an arrangement that could result in a Change of Control until the end of the 30-day period following public notice of the occurrence of the
Change of Control (which 30-day period shall be extended so long as the rating of the 2022 Notes is under publicly announced consideration for possible downgrade by either of the Rating Agencies; provided, that the other Rating Agency has either
downgraded, or publicly announced that it is considering downgrading, the 2022 Notes). 
 “Restricted
Subsidiary” means any Subsidiary (other than Consumers and its Subsidiaries) of the Issuer which, as of the date of the Issuer’s most recent quarterly consolidated balance sheet, constituted at least 10% of the total Consolidated
Assets of the Issuer and its Consolidated Subsidiaries and any other Subsidiary which from time to time is designated a Restricted Subsidiary by the Board of Directors; provided that no Subsidiary may be designated a Restricted Subsidiary if,
immediately after giving effect thereto, an Event of Default or event that, with the lapse of time or giving of notice or both, would constitute an Event of Default would exist, and (i) any such Subsidiary so designated as a Restricted
Subsidiary must be organized under the laws of the United States or any State thereof, (ii) more than 80% of the Voting Stock of such Subsidiary must be owned of record and beneficially by the Issuer or a Restricted Subsidiary and
(iii) such Restricted Subsidiary must be a Consolidated Subsidiary. 
 “S&P” means Standard &
Poor’s Ratings Services. 
 “Securities Act” means the Securities Act of 1933, as amended from time to
time, and any successor legislation. 

  
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 “Support Obligations” means, for any Person, without duplication, any
financial obligation, contingent or otherwise, of such Person guaranteeing or otherwise supporting any debt or other obligation of any other Person in any manner, whether directly or indirectly, and including, without limitation, any obligation of
such Person, direct or indirect, (i) to purchase or pay (or advance or supply funds for the purchase or payment of) such debt or to purchase (or to advance or supply funds for the purchase of) any security for the payment of such debt,
(ii) to purchase property, securities or services for the purpose of assuring the owner of such debt of the payment of such debt, (iii) to maintain working capital, equity capital, available cash or other financial statement condition of
the primary obligor so as to enable the primary obligor to pay such debt, (iv) to provide equity capital under or in respect of equity subscription arrangements (to the extent that such obligation to provide equity capital does not otherwise
constitute debt), or (v) to perform, or arrange for the performance of, any non-monetary obligations or non-funded debt payment obligations of the primary obligor. 
 “Voting Stock” means securities of any class or classes the holders of which are ordinarily, in the absence of contingencies, entitled to vote for corporate directors (or persons
performing similar functions). 
 ARTICLE II 
 DESIGNATION AND TERMS OF THE 2022 NOTES; FORMS 
 SECTION 2.01.
Establishment of Series. 
 (a) There is hereby created a series of Securities to be known and designated as the
“5.05% Senior Notes due 2022” to be issued in aggregate principal amount of $300,000,000. Additional Securities, without limitation as to amount, having substantially the same terms as the 2022 Notes (except a different issue date, a
different issue price and bearing interest from the last Interest Payment Date to which interest has been paid or duly provided for on the 2022 Notes, and, if no interest has been paid, from March 12, 2012), may also be issued by the Issuer
pursuant to the Indenture without the consent of the existing Holders of the 2022 Notes; provided, that such additional Securities must be part of the same issue as the 2022 Notes for United States federal income tax purposes. Such additional
Securities shall be part of the same series as the 2022 Notes. The “Stated Maturity” of the 2022 Notes is March 15, 2022; the principal amount of the 2022 Notes shall be payable on such date unless the 2022 Notes are earlier
redeemed or purchased in accordance with the terms of the Indenture. 
 (b) The 2022 Notes will bear interest from the Original
Issue Date, or from the most recent date to which interest has been paid or duly provided for, at the rate of 5.05% per annum stated therein until the principal thereof is paid or made available for payment. Interest will be payable
semi-annually on each Interest Payment Date and at Maturity, as provided in the form of the 2022 Note in Section 2.03 and Section 2.04 hereof. 
 (c) The Record Date referred to in Section 2.3(f)(4) of the Original Indenture for the payment of the interest on any 2022 Note payable on any Interest Payment Date (other than on the Stated
Maturity) shall be the March 1 and September 1 next preceding the relevant Interest Payment Date (whether or not a Business Day) except that interest payable on the Stated Maturity shall be paid to the Person to whom the principal amount
is paid. 

  
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 (d) The payment of the principal of, and premium (if any) and interest on, the 2022 Notes
shall not be secured by a security interest in any property. 
 (e) The 2022 Notes shall be redeemable at the option of the
Issuer, in whole or in part, at any time and from time to time, upon not less than 30, nor more than 60 days’ notice at a redemption price equal to 100% of the principal amount of such 2022 Notes being redeemed plus, in the case of any
redemption prior to December 15, 2021 (three months prior to Stated Maturity), the Applicable Premium, if any, thereon at the time of redemption, together with (at any time) accrued and unpaid interest, if any, thereon to, but not including,
the redemption date. In no event will the redemption price ever be less than 100% of the principal amount of the 2022 Notes plus accrued interest, if any, thereon to the redemption date. Notwithstanding Section 11.2 of the Indenture, notice of
the foregoing redemption occurring prior to December 15, 2021 (three months prior to Stated Maturity) need not set forth the redemption price therefor but only the manner of calculation thereof. The Issuer shall give the Trustee notice of such
redemption price promptly after the calculation thereof and the Trustee shall have no responsibility for such calculation. The 2022 Notes shall be purchased by the Issuer at the option of the Holders thereof as provided in Article III hereof.

 (f) The 2022 Notes shall not be convertible. 
 (g) The 2022 Notes will not be subordinated to the payment of Senior Debt. 
 (h)
The Issuer will not pay any additional amounts on the 2022 Notes held by a Person who is not a U.S. person (as defined in Regulation S under the Securities Act) in respect of any tax, assessment or government charge withheld or deducted. 

(i) The events specified in Events of Default with respect to the 2022 Notes shall include the events specified in Article VI hereof. In
addition to the covenants set forth in Article Three of the Original Indenture, the Holders of the 2022 Notes shall have the benefit of the covenants of the Issuer set forth in Article IV hereof. The provisions of Section 9.1 and
Section 9.2 of the Original Indenture shall be amended and restated solely with respect to the 2022 Notes as specified in Article V hereof. 
 (j) The 2022 Notes are issuable only in registered form without coupons in minimum denominations of $2,000 and any integral multiple of $1,000 in excess thereof. 

(k) The provisions of Article VII, Article VIII and Article IX hereof shall apply to the 2022 Notes as specified therein. 

SECTION 2.02. Forms Generally. The 2022 Notes and Trustee’s certificate of authentication shall be in substantially the form
set forth in this Article II, with such appropriate insertions, omissions, substitutions and other variations as are required or permitted by the Indenture, and may have such letters, numbers or other marks of identification and such legends or
endorsements placed thereon as may be required to comply with the rules of any securities exchange or as may, consistently herewith, be determined by the officers executing such 2022 Notes, as evidenced by their execution thereof. 

  
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 The definitive 2022 Notes shall be printed, lithographed or engraved on steel engraved
borders or may be produced in any other manner, all as determined by the officers executing such 2022 Notes, as evidenced by their execution thereof. 
 SECTION 2.03. Form of Face of 2022 Note. 
 THIS SECURITY IS A REGISTERED
GLOBAL SECURITY WITHIN THE MEANING OF THE INDENTURE HEREINAFTER REFERRED TO AND IS REGISTERED IN THE NAME OF A DEPOSITARY OR A NOMINEE OF A DEPOSITARY. THIS SECURITY IS EXCHANGEABLE FOR SECURITIES REGISTERED IN THE NAME OF A PERSON OTHER THAN THE
DEPOSITARY OR ITS NOMINEE ONLY IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE AND MAY NOT BE TRANSFERRED EXCEPT AS A WHOLE BY THE DEPOSITARY TO A NOMINEE OF THE DEPOSITARY OR BY A NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY OR ANOTHER
NOMINEE OF THE DEPOSITARY. 
 Unless this Global Note is presented by an authorized representative of The Depository Trust
Company, a New York corporation (“DTC”), to CMS Energy Corporation or its agent for registration of transfer, exchange or payment, and any certificate issued is registered in the name of a nominee of DTC or in such other name as is
requested by an authorized representative of DTC (and any payment is made to such nominee of DTC or to such other entity as is requested by an authorized representative of DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR
TO ANY PERSON IS WRONGFUL inasmuch as the registered owner hereof has an interest herein. 
 CMS ENERGY CORPORATION 

5.05% SENIOR NOTE DUE 2022 
  

					
	No. 1	  	$	300,000,000	  

 CUSIP No.: 125896BK5 
 ISIN No.: US125896BK56 
 CMS Energy Corporation, a corporation duly organized and
existing under the laws of the State of Michigan (herein called the “Issuer”, which term includes any successor Person under the Indenture hereinafter referred to), for value received, hereby promises to pay to CEDE & CO.,
or registered assigns, the principal sum of Three Hundred Million Dollars on March 15, 2022 (“Stated Maturity”) and to pay interest thereon from March 12, 2012 (the “Original Issue Date”) or from the most
recent Interest Payment Date to which interest has been paid or duly provided for, semi-annually in arrears on March 15 and September 15 in each year, commencing on September 15, 2012 (each an “Interest Payment
Date”), to the Persons in whose names the 2022 Notes are registered at 5:00 p.m., New York City time, on the March 1 and September 1 (whether or not a Business Day) next preceding the relevant Interest Payment Date (each a
“Record Date”), and on the Stated Maturity, to the Person to whom the principal amount is paid, at the rate of 5.05% per annum, until the principal hereof is paid or made available for payment. The amount of interest payable on
any Interest Payment Date shall be computed on the basis of a 

  
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360-day year of twelve 30-day months. Any such interest not so punctually paid or duly provided for will forthwith cease to be payable to the Holder on such Record Date and may either be paid to
the Person in whose name this 2022 Note (or one or more Predecessor 2022 Notes) is registered at 5:00 p.m., New York City time, on a subsequent record date (which shall be not less than five Business Days prior to the date of payment of such
defaulted interest) for the payment of such defaulted interest to be fixed by the Trustee, notice whereof shall be given to Holders of 2022 Notes not less than 15 calendar days preceding such subsequent Record Date. 

Payment of the principal of (and premium, if any) and interest on this 2022 Note will be made at the office or agency of the Issuer
maintained for that purpose in New York, New York (the “Place of Payment”), 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; provided,
however, that at the option of the Issuer payment of interest (other than interest payable at Maturity) may be made by check mailed to the address of the Person entitled thereto as such address shall appear in the Security Register or by wire
transfer to an account designated by such Person not later than ten days prior to the date of such payment. 
 Reference is
hereby made to the further provisions of this 2022 Note set forth on the reverse hereof, which further provisions shall for all purposes have the same effect as if set forth at this place. 

Unless the certificate of authentication hereon has been executed by the Trustee referred to on the reverse hereof by manual signature,
this 2022 Note shall not be entitled to any benefit under the Indenture or be valid or obligatory for any purpose. 
 IN WITNESS
WHEREOF, the Issuer has caused this instrument to be duly executed under its corporate seal. 
 Dated: 

 

			
	CMS ENERGY CORPORATION
		
	By	 	 
	Its:	 	
		
	By	 	 
	Its:	 	

 SECTION 2.04. Form of Reverse of 2022 Note. 

This 5.05% Senior Note due 2022 is one of a duly authorized issue of securities of the Issuer (herein called the “2022
Notes”), issued and to be issued under an Indenture, dated as of September 15, 1992 (as supplemented by the Twenty-Eighth Supplemental Indenture, dated as of March 12, 2012 and as further amended or supplemented from time to time,
the “Indenture”), between the Issuer and The Bank of New York Mellon, a New York banking corporation (ultimate successor to NBD Bank, National Association), as Trustee (herein called the “Trustee”,

  
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which term includes any successor trustee under the Indenture), to which Indenture and all indentures supplemental thereto reference is hereby made for a statement of the respective rights,
limitations of rights, duties and immunities thereunder of the Issuer, the Trustee, and the Holders of the 2022 Notes and of the terms upon which the 2022 Notes are, and are to be, authenticated and delivered. This 2022 Note is one of the series
designated on the face hereof, issued in an initial aggregate principal amount of $300,000,000. Additional Securities, without limitation as to amount, having substantially the same terms as the 2022 Notes (except a different issue date, a different
issue price and bearing interest from the last Interest Payment Date to which interest has been paid or duly provided for on the 2022 Notes, and, if no interest has been paid, from March 12, 2012), may also be issued by the Issuer pursuant to
the Indenture without the consent of the existing Holders of the 2022 Notes; provided, that such additional Securities must be part of the same issue as the 2022 Notes for United States federal income tax purposes. Such additional Securities
shall be part of the same series as the 2022 Notes. 
 No sinking fund is provided for the 2022 Notes. 

The 2022 Notes are subject to redemption at the option of the Issuer, in whole or in part, upon not less than 30 nor more than 60
days’ notice as provided in the Indenture at any time and from time to time, at a redemption price equal to 100% of the principal amount of such 2022 Notes being redeemed plus, in the case of any redemption prior to December 15, 2021
(three months prior to Stated Maturity), the Applicable Premium, if any, thereon at the time of redemption, together with (at any time) accrued and unpaid interest, if any, thereon to, but not including, the redemption date, but interest
installments whose Stated Maturity is on or prior to such redemption date will be payable to the Holder of record at the close of business on the relevant Record Date referred to on the face hereof, all as provided in the Indenture. In no event will
the redemption price ever be less than 100% of the principal amount of the 2022 Notes plus accrued interest to the redemption date. 
 The following definitions are used to determine the Applicable Premium: 

“Applicable Premium” means, with respect to a 2022 Note (or portion thereof) being redeemed at any time prior to
December 15, 2021, the excess of (A) the present value at such time of the principal amount of such 2022 Note (or portion thereof) being redeemed plus all interest payments due on such 2022 Note (or portion thereof) after the redemption
date (but, for the avoidance of doubt, excluding any portion of such payments of interest accrued to the redemption date), which present value shall be computed using a discount rate equal to the Treasury Rate plus 50 basis points, over (B) the
principal amount of such 2022 Note (or portion thereof) being redeemed at such time. For purposes of this definition, the present values of the interest and principal payments will be determined in accordance with generally accepted principles of
financial analysis. 
 “Treasury Rate” means the yield to maturity at the time of computation of United States
Treasury securities with a constant maturity (as compiled and published in the most recent Federal Reserve Statistical Release H.15(519) that has become publicly available at least two Business Days prior to the redemption date or, in the case of
defeasance, prior to the date of deposit (or, if such Statistical Release is no longer published, any publicly available source of similar market data)) most nearly equal to the then remaining average life to stated maturity of

  
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the 2022 Notes; provided, however, that if the average life to stated maturity of the 2022 Notes is not equal to the constant maturity of a United States Treasury security for which a weekly
average yield is given, the Treasury Rate shall be obtained by linear interpolation (calculated to the nearest one-twelfth of a year) from the weekly average yields of United States Treasury securities for which such yields are given. 

If a Change of Control Repurchase Event occurs, the Issuer shall notify the Holder of this 2022 Note of such occurrence and such Holder
shall have the right to require the Issuer to make a Required Repurchase of all or any part of this 2022 Note at a Change of Control Purchase Price equal to 101% of the principal amount of this 2022 Note to be so purchased as more fully provided in
the Indenture and subject to the terms and conditions set forth therein. In the event of a Required Repurchase of only a portion of this 2022 Note, a new 2022 Note or 2022 Notes for the unrepurchased portion hereof will be issued in the name of the
Holder hereof upon the cancellation hereof. 
 If an Event of Default with respect to this 2022 Note shall occur and be
continuing, the principal of this 2022 Note may be declared due and payable in the manner and with the effect provided in the Indenture. 
 In any case where any Interest Payment Date, redemption date, repurchase date, Stated Maturity or Maturity of any 2022 Note shall not be a Business Day, then (notwithstanding any other provision of the
Indenture or this 2022 Note) payment of interest or principal (and premium, if any) 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 Interest Payment Date, redemption
date, repurchase date or Stated Maturity or at Maturity; provided that no interest shall accrue on the amount so payable for the period from and after such Interest Payment Date, redemption date, repurchase date, Stated Maturity or Maturity,
as the case may be, to such Business Day. 
 The Trustee and the Paying Agent shall return to the Issuer upon written request
any money or property held by them for the payment of any amount with respect to the 2022 Notes that remains unclaimed for two years, provided, however, that the Trustee or such Paying Agent, before being required to make any such return,
shall at the expense of the Issuer cause to be published once in a newspaper of general circulation in The City of New York or mail to each such Holder notice that such money or property remains unclaimed and that, after a date specified therein,
which shall not be less than 30 days from the date of such publication or mailing, any unclaimed money or property then remaining shall be returned to the Issuer. After return to the Issuer, Holders entitled to the money or property must look to the
Issuer for payment as general creditors unless an applicable abandoned property law designates another Person. 
 The Indenture
contains provisions for defeasance at any time of (i) the entire indebtedness of this 2022 Note or (ii) certain restrictive covenants and Events of Default with respect to this 2022 Note, in each case upon compliance with certain
conditions set forth therein. 

  
 12 

 The Indenture permits, with certain exceptions as therein provided, the amendment thereof
and the modification of the rights and obligations of the Issuer and the rights of the Holders of all outstanding 2022 Notes under the Indenture at any time by the Issuer and the Trustee with the consent of the Holders of not less than a majority in
principal amount of Securities of all series (including the 2022 Notes) then outstanding and affected (voting as one class). 

The Indenture permits the Holders of a majority in principal amount of Securities of all series at the time outstanding with respect to
which a default shall have occurred and be continuing (voting as one class) to waive on behalf of the Holders of all outstanding Securities of such series any past default by the Issuer, provided that no such waiver may be made with respect
to a default in the payment of the principal of or the interest on any Security of such series, the default in the payment of the redemption price or Change of Control Purchase Price with respect to the 2022 Notes, or the default by the Issuer in
respect of certain covenants or provisions of the Indenture, the modification or amendment of which must be consented to by the Holder of each outstanding Security of each series affected. 

As set forth in, and subject to, the provisions of the Indenture, no Holder of any 2022 Note will have any right to institute any
proceeding with respect to the Indenture or for any remedy thereunder, unless such Holder shall have previously given to the Trustee written notice of a continuing Event of Default, the Holders of not less than 25% in principal amount of the
outstanding Securities of each affected series (voting as one class) shall have made written request, and offered reasonable indemnity against costs, expenses and liabilities, to the Trustee to institute such proceeding as trustee, and the Trustee
shall not have received from the Holders of a majority in principal amount of the outstanding Securities of each affected series (voting as one class) a direction inconsistent with such request and shall have failed to institute such proceeding
within 60 days; provided, however, that such limitations do not apply to a suit instituted by the Holder hereof for the enforcement of payment of the principal of (and premium, if any) or any interest on this 2022 Note on or after the
respective due dates expressed herein. 
 No reference herein to the Indenture and no provision of this 2022 Note or of the
Indenture shall alter or impair the obligation of the Issuer, which is absolute and unconditional, to pay the principal of and any premium and interest on this 2022 Note at the times, place and rate, and in the coin or currency, herein prescribed.

 As provided in the Indenture and subject to certain limitations therein set forth, the transfer of this 2022 Note is
registrable in the Security Register, upon surrender of this 2022 Note for registration of transfer at the office or agency of the Issuer in any place where the principal of and any premium and interest on this 2022 Note are payable, duly endorsed
by, or accompanied by a written instrument of transfer in form satisfactory to the Issuer and the Security Registrar duly executed by, the Holder hereof or such Holder’s attorney duly authorized in writing, and thereupon one or more new 2022
Notes of this series and of like tenor, of authorized denominations and for the same aggregate principal amount, will be issued to the designated transferee or transferees. 
 The 2022 Notes are issuable only in registered form without coupons in minimum denominations of $2,000 and any integral multiple of $1,000 in excess thereof. As provided in the Indenture and subject to
certain limitations therein set forth, 2022 Notes are exchangeable for a like aggregate principal amount of 2022 Notes and of like tenor of a different authorized denomination, as requested by the Holder surrendering the same. 

  
 13 

 No service charge shall be made for any such registration of transfer or exchange, but the
Issuer may require payment of a sum sufficient to cover any tax or other governmental charge payable in connection therewith. 

The Issuer shall not be required to (i) issue, exchange or register the transfer of this 2022 Note for a period of 15 days next
preceding the mailing of the notice of redemption of 2022 Notes or (ii) exchange or register the transfer of any 2022 Note or any portion thereof selected, called or being called for redemption, except in the case of any 2022 Note to be
redeemed in part, the portion thereof not so to be redeemed. 
 Prior to due presentment of this 2022 Note for registration of
transfer, the Issuer, the Trustee and any agent of the Issuer or the Trustee may treat the Person in whose name this 2022 Note is registered as the owner hereof for all purposes, whether or not this 2022 Note be overdue, and neither the Issuer, the
Trustee nor any such agent shall be affected by notice to the contrary. 
 All terms used in this 2022 Note without definition
which are defined in the Indenture shall have the meanings assigned to them in the Indenture. In case of any conflict between this 2022 Note and the Indenture, the provisions of the Indenture shall control. 

SECTION 2.05. Form of Trustee’s Certificate of Authentication. The Trustee’s certificate of authentication shall be in
substantially the following form: 
 This is one of the Securities of the series designated herein referred to in the
within-mentioned Indenture. 
  

			
	 THE BANK OF NEW YORK MELLON,
as Trustee

		
	By	 	 
		 	Authorized Officer

 SECTION 2.06. Rights of Trustee. The Trustee shall not be deemed to have notice, or be
charged with knowledge, of any event requiring notice under the Indenture unless the Trustee shall have received from the Issuer or other requisite party such notice in writing. 

ARTICLE III 

CHANGE OF CONTROL 
 SECTION 3.01. Change of Control. Upon the occurrence of a Change of Control Repurchase Event (the effective date of such Change of Control Repurchase Event being the “Change of Control
Date”), each Holder of a 2022 Note shall have the right to require that the Issuer repurchase (a “Required Repurchase”) all or any part of such Holder’s 2022 Note at a repurchase price payable in cash equal to 101% of
the principal amount of such 2022 Note plus accrued interest, if any, to the Purchase Date (the “Change of Control Purchase Price”). 

  
 14 

 (a) Within 30 days following the Change of Control Date, the Issuer shall mail a notice to
each Holder with a copy to the Trustee stating: 
 (i) that a Change of Control Repurchase Event has occurred and
that such Holder has the right to require the Issuer to repurchase all or any part of such Holder’s 2022 Notes at the Change of Control Purchase Price; 
 (ii) the Change of Control Purchase Price; 
 (iii) the date on
which any Required Repurchase shall be made (which shall be no earlier than 60 days nor later than 90 days from the date such notice is mailed) (the “Purchase Date”); 

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

(v) the procedures that Holders must follow to cause the 2022 Notes to be repurchased, which shall be consistent with this
Section 3.01 and the Indenture. 
 (b) Holders electing to have a 2022 Note repurchased must deliver a written notice (the
“Change of Control Purchase Notice”) to the Paying Agent (initially the Trustee) at its corporate trust office in New York, New York, or any other office of the Paying Agent maintained for such purposes, not later than 30 days prior
to the Purchase Date. The Change of Control Purchase Notice shall state: (i) the portion of the principal amount of any 2022 Notes to be repurchased, which portion must be a minimum of $1,000 and in $1,000 integral multiples, provided, that any
unrepurchased portion of a 2022 Note must be in a minimum denomination of $2,000; (ii) that such 2022 Notes are to be repurchased by the Issuer pursuant to the change of control provisions of the Indenture; and (iii) unless the 2022 Notes
are represented by one or more Global Notes, the certificate numbers of the 2022 Notes to be delivered by the Holder thereof for repurchase by the Issuer. Any Change of Control Purchase Notice may be withdrawn by the Holder by a written notice of
withdrawal delivered to the Paying Agent not later than three Business Days prior to the Purchase Date. The notice of withdrawal shall state the principal amount and, if applicable, the certificate numbers of the 2022 Notes as to which the
withdrawal notice relates and the principal amount of such 2022 Notes, if any, which remains subject to a Change of Control Purchase Notice. 
 If a 2022 Note is represented by a Global Note (as described in Article IX hereof), the Depositary or its nominee will be the Holder of such 2022 Note and therefore will be the only entity that can elect
a Required Repurchase of such 2022 Note. To obtain repayment pursuant to this Section 3.01 with respect to such 2022 Note, the beneficial owner of such 2022 Note must provide to the broker or other entity through which it holds the beneficial
interest in such 2022 Note (i) the Change of Control Purchase Notice signed by such beneficial owner, and such signature must be guaranteed by a member firm of a registered national securities exchange or of the Financial Industry Regulatory
Authority, Inc. or a commercial bank or trust company having an office or correspondent in the United States, and (ii) instructions to such broker or other entity to notify the Depositary of such beneficial owner’s desire to obtain
repayment pursuant to this Section 3.01. Such broker or other entity will be responsible for disbursing any payments it receives pursuant to this Section 3.01 to such beneficial owner. 

  
 15 

 (c) Payment of the Change of Control Purchase Price for a 2022 Note for which a Change of
Control Purchase Notice has been delivered and not withdrawn is conditioned (except in the case of a 2022 Note represented by one or more Global Notes) upon delivery of such 2022 Note (together with necessary endorsements) to the Paying Agent at its
office in New York, New York, or any other office of the Paying Agent maintained for such purpose, at any time (whether prior to, on or after the Purchase Date) after the delivery of such Change of Control Purchase Notice. Payment of the Change of
Control Purchase Price for such 2022 Note will be made promptly following the later of the Purchase Date or the time of delivery of such 2022 Note. If the Paying Agent holds, in accordance with the terms of the Indenture, money sufficient to pay the
Change of Control Purchase Price of such 2022 Note on the Purchase Date, then, on and after such date, interest will cease accruing, and all other rights of the Holder shall terminate (other than the right to receive the Change of Control Purchase
Price upon delivery of the 2022 Note). 
 (d) The Issuer shall comply with the provisions of Regulation 14E and any other tender
offer rules under the Exchange Act, which may then be applicable in connection with any offer by the Issuer to repurchase 2022 Notes at the option of Holders upon a Change of Control Repurchase Event. 

(e) No 2022 Note may be repurchased by the Issuer as a result of a Change of Control Repurchase Event if there has occurred and is
continuing an Event of Default (other than a default in the payment of the Change of Control Purchase Price with respect to the 2022 Notes). 
 ARTICLE IV 
 ADDITIONAL COVENANTS OF THE ISSUER 

WITH RESPECT TO THE 2022 NOTES 
 SECTION 4.01. Existence. So long as any of the 2022 Notes are outstanding, subject to Article Nine of the Original Indenture, the Issuer will do or cause to be done all things necessary to preserve
and keep in full force and effect its corporate existence. 
 SECTION 4.02. Limitation on Certain Liens. So long as any
of the 2022 Notes are outstanding, the Issuer shall not create, incur, assume or suffer to exist any lien, mortgage, pledge, security interest, conditional sale, title retention agreement or other charge or encumbrance of any kind, or any other type
of arrangement intended or having the effect of conferring upon a creditor of the Issuer or any Subsidiary a preferential interest (a “Lien”) upon or with respect to any of its property of any character, including without limitation
any shares of Capital Stock of Consumers or Enterprises, without making effective provision whereby the 2022 Notes shall (so long as any such other creditor shall be so secured) be equally and ratably secured (along with any other creditor similarly
entitled to be secured) by a direct Lien on all property subject to such Lien, provided, however, that the foregoing restrictions shall not apply to: 
 (i) Liens for taxes, assessments or governmental charges or levies to the extent not past due; 

  
 16 

 (ii) pledges or deposits to secure (A) obligations under workmen’s
compensation laws or similar legislation, (B) statutory obligations of the Issuer or (C) Support Obligations; 
 (iii) Liens imposed by law, such as materialmen’s, mechanics’, carriers’, workmen’s and repairmen’s Liens and other similar Liens arising in the ordinary course of business
securing obligations which are not overdue or which have been fully bonded and are being contested in good faith; 
 (iv) purchase money Liens upon or in property acquired and held by the Issuer in the ordinary course of business to secure the purchase price of such property or to secure Indebtedness incurred solely for
the purpose of financing the acquisition of any such property to be subject to such Liens, or Liens existing on any such property at the time of acquisition, or extensions, renewals or replacements of any of the foregoing for the same or a lesser
amount, provided that no such Lien shall extend to or cover any property other than the property being acquired and no such extension, renewal or replacement shall extend to or cover property not theretofore subject to the Lien being
extended, renewed or replaced, and provided, further, that the aggregate principal amount of the Indebtedness at any one time outstanding secured by Liens permitted by this Section 4.02(iv) shall not exceed $10,000,000; and

 (v) Liens not otherwise permitted by Section 4.02(i) through Section 4.02(iv) hereof securing
Indebtedness of the Issuer; provided that on the date such Liens are created, and after giving effect to such Indebtedness, the aggregate principal amount at maturity of all of the secured Indebtedness of the Issuer at such date shall not
exceed 10% of Consolidated Net Tangible Assets at such date. 
 SECTION 4.03. Reporting. For purposes of
Section 4.3(a) of the Original Indenture solely with respect to the 2022 Notes (but not with respect to any other series of Securities), the Trustee agrees that documents filed by the Issuer with the Commission via the Commission’s EDGAR
system (or any successor thereto) will constitute filing of the same with the Trustee as of the time such documents are so filed. 
 ARTICLE V 
 CONSOLIDATION, MERGER AND TRANSFER OF PROPERTY 

SECTION 5.01. Limitation on Consolidation, Merger and Transfer. Section 9.1 of the Original Indenture is hereby amended and
restated solely with respect to the 2022 Notes (but not with respect to any other series of Securities) as follows, and all references in the Original Indenture to Section 9.1 thereof and to the provisions specified therein shall, with respect
to the 2022 Notes, be deemed to be references to this Section 5.01 and to the provisions specified herein, respectively. 

  
 17 

 “Nothing contained in the Indenture or in any of the 2022 Notes shall prevent any
consolidation or merger of the Issuer with or into any other Person or Persons (whether or not affiliated with the Issuer), or successive consolidations or mergers in which the Issuer or its successor or successors shall be a party or parties, or
shall prevent any conveyance, transfer or lease of the property of the Issuer as an entirety or substantially as an entirety, to any other Person (whether or not affiliated with the Issuer); provided, however, that: 

(a) in case the Issuer shall consolidate with or merge into another Person or convey, transfer or lease its properties and assets as an
entirety or substantially as an entirety to any Person, the entity formed by such consolidation or into which the Issuer is merged or the Person that acquires by conveyance or transfer, or that leases, the properties and assets of the Issuer as an
entirety or substantially as an entirety shall be a corporation or a limited liability company organized and existing under the laws of the United States of America, any state thereof or the District of Columbia and shall expressly assume, by an
indenture (or indentures, if at such time there is more than one Trustee) supplemental to the Indenture, executed by the successor Person and delivered to the Trustee, in form satisfactory to the Trustee, the due and punctual payment of the
principal of and any premium and interest on the 2022 Notes and the performance of every obligation in the Indenture and the outstanding 2022 Notes on the part of the Issuer to be performed or observed; 

(b) immediately after giving effect to such transaction, no Event of Default or event that, after notice or lapse of time, or both, would
become an Event of Default, shall have occurred and be continuing; and 
 (c) either the Issuer or the successor Person shall
have delivered to the Trustee an Officers’ Certificate and an Opinion of Counsel, each stating that such consolidation, merger, conveyance, transfer or lease and, if a supplemental indenture is required in connection with such transaction, such
supplemental indenture complies with the provisions of the Indenture and all conditions precedent therein relating to such transaction.” 
 SECTION 5.02. Successor Person Substituted for the Issuer. Section 9.2 of the Original Indenture is hereby amended and restated solely with respect to the 2022 Notes (but not with respect to
any other series of Securities) as follows, and all references in the Original Indenture to Section 9.2 thereof and to the provisions specified therein shall, with respect to the 2022 Notes, be deemed to be references to this Section 5.02
and to the provisions specified herein, respectively. 
 “Upon any consolidation by the Issuer with or merger of the Issuer
into any other Person or any conveyance, transfer or lease of the properties and assets of the Issuer substantially as an entirety to any Person in accordance with Section 5.01 hereof, the successor Person formed by such consolidation or into
which the Issuer is merged or to which such conveyance, transfer or lease is made shall succeed to, and be substituted for, and may exercise every right and power of, the Issuer under the Indenture with the same effect as if such successor Person
had been named as the Issuer herein; and thereafter, except in the case of a lease, the predecessor Person shall be released from all obligations and covenants under the Indenture and the 2022 Notes. 

In case of any such consolidation, merger, conveyance, transfer or lease, such changes in phraseology and form (but not in substance) may
be made in the 2022 Notes thereafter to be issued as may be appropriate.” 

  
 18 

 ARTICLE VI 
 ADDITIONAL EVENTS OF DEFAULT 
 WITH RESPECT TO THE 2022 NOTES

 SECTION 6.01. Definition. All of the events specified in Section 5.1(a) through Section 5.1(h) of the
Original Indenture shall be “Events of Default” with respect to the 2022 Notes. 
 SECTION 6.02. Amendments
to Section 5.1 of the Original Indenture. Solely for the purpose of determining Events of Default with respect to the 2022 Notes (but not with respect to any other series of Securities), Section 5.1(e), Section 5.1(f) and
Section 5.1(h) of the Original Indenture shall be amended such that each and every reference in Section 5.1(e) and Section 5.1(f) and the first two references in Section 5.1(h) of the Original Indenture to the Issuer shall be
deemed to mean either the Issuer or Consumers. 
 SECTION 6.03. Additional Events of Default. Solely for the purpose of
determining Events of Default with respect to the 2022 Notes (but not with respect to any other series of Securities), an Event of Default shall also include default in the Issuer’s obligation to redeem the 2022 Notes after exercising its
redemption option pursuant to this Twenty-Eighth Supplemental Indenture. 
 SECTION 6.04. Additional Waivers of Past
Defaults. In addition to those matters set forth in Section 5.10 of the Original Indenture, solely with respect to the 2022 Notes (but not with respect to any other series of Securities), approval of the Holders of each outstanding 2022
Note shall be required to waive any default in any payment of the redemption price or Change of Control Purchase Price with respect to any 2022 Note. 
 ARTICLE VII 
 DISCHARGE OF INDENTURE AND DEFEASANCE 

All of the provisions of Article Ten of the Original Indenture shall be applicable to the 2022 Notes. Upon satisfaction by the Issuer of
the requirements of Section 10.1(C) of the Original Indenture, in connection with any covenant defeasance (as provided in Section 10.1(C) of the Original Indenture), the Issuer shall be released from its obligations under Article Three and
Article Nine of the Original Indenture and under Article IV and Article V hereof with respect to the 2022 Notes and the omission to comply with such obligations under such Articles upon such covenant defeasance shall not constitute an Event of
Default under the Indenture with respect to the 2022 Notes. 
 ARTICLE VIII 

MODIFICATION AND WAIVER 
 SECTION 8.01. Without Consent of Holders. In addition to any permitted amendment or supplement to the Indenture pursuant to Section 8.1(a), Section 8.1(b), Section 8.1(c),
Section 8.1(e) and Section 8.1(f) of the Original Indenture, the Issuer and the Trustee may amend or supplement the Indenture (to the extent applicable to the 2022 Notes) or the 2022 Notes without notice to or the consent of any Holder,
to: 
 (a) surrender any right or power conferred upon the Issuer; 

  
 19 

 (b) comply with the requirements of the Commission in order to effect or maintain the
qualification of the Indenture under the Trust Indenture Act of 1939, as amended; and 
 (c) add guarantees of obligations under
the 2022 Notes. 
 In addition, Section 8.1(d) of the Original Indenture is hereby amended and restated solely with respect
to the 2022 Notes (but not with respect to any other series of Securities) as follows, and all references in the Original Indenture to Section 8.1(d) thereof shall, with respect to the 2022 Notes, be deemed to be references to the following
provisions of this Section 8.01: 
 “(d)(1) cure any ambiguity or correct or supplement any inconsistent or otherwise
defective provision contained in the Indenture; provided that such modification or amendment does not adversely affect the interests of the Holders of the 2022 Notes in any material respect; provided, further, that any amendment made
solely to conform the provisions of the Indenture and the form or terms of the 2022 Notes to the section entitled “Description of the Notes” as set forth in the final prospectus supplement related to the offering and sale of the 2022 Notes
dated March 7, 2012 will not be deemed to adversely affect the interests of the Holders of the 2022 Notes; 
 (d)(2) make
any provision with respect to matters or questions arising under the Indenture that the Issuer may deem necessary or desirable and that shall not be inconsistent with provisions of the Indenture; provided, that such change or modification
does not, in the good faith opinion of the Board of Directors, adversely affect the interests of the Holders of the 2022 Notes in any material respect;” 
 SECTION 8.02. With Consent of Holders. In addition to those matters set forth in Section 8.2 of the Original Indenture, solely with respect to the 2022 Notes (but not with respect to any other
series of Securities), no amendment or supplemental indenture to the Indenture shall, without the consent of the Holder of each 2022 Note affected thereby: 
 (a) reduce the redemption price or Change of Control Purchase Price of the 2022 Notes; 
 (b) change the terms applicable to redemption or purchase of the 2022 Notes in a manner adverse to the Holder; or 
 (c) change the Issuer’s obligation to maintain an office or agency in New York, New York. 
 ARTICLE IX 
 GLOBAL NOTES 

The 2022 Notes will be issued initially in the form of one or more Global Notes. “Global Note” means a registered 2022
Note evidencing one or more 2022 Notes issued to a depositary (the “Depositary”) or its nominee, in accordance with this Article IX and bearing the legend prescribed in this Article IX. The Issuer hereby designates The Depository
Trust Company as the Depositary. The Issuer shall execute and the Trustee shall, in accordance with this Article IX and the Issuer Order with respect to the 2022 Notes, authenticate and deliver one or more Global

  
 20 

 
Notes in temporary or permanent form that (i) shall represent and shall be denominated in an aggregate amount equal to the aggregate principal amount of the 2022 Notes to be represented by
such Global Note or Global Notes, (ii) shall be registered in the name of the Depositary for such Global Note or Global Notes or the nominee of such Depositary, (iii) shall be delivered by the Trustee to such Depositary or pursuant to such
Depositary’s instructions and (iv) shall bear a legend substantially to the following effect: “Unless this Global Note is presented by an authorized representative of the Depositary to the Issuer or its agent for registration of
transfer, exchange or payment, and any certificate issued is registered in the name of a nominee of the Depositary or in such other name as is requested by an authorized representative of the Depositary (and any payment is made to such nominee of
the Depositary or to such other entity as is requested by an authorized representative of the Depositary), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL inasmuch as the registered owner hereof has an
interest herein.” 
 Notwithstanding Section 2.8 of the Original Indenture, unless and until it is exchanged in whole
or in part for 2022 Notes in definitive form, a Global Note representing one or more 2022 Notes may not be transferred except as a whole by the Depositary to a nominee of such Depositary or by a nominee of such Depositary to such Depositary or
another nominee of such Depositary or by such Depositary or any such nominee to a successor Depositary for 2022 Notes or a nominee of such successor Depositary. 
 If at any time the Depositary for the 2022 Notes is unwilling or unable to continue as Depositary for the 2022 Notes, defaults in the performance of its duties as Depositary or ceases to be a clearing
agency registered under the Exchange Act or other applicable statute or regulation, the Issuer shall appoint a successor Depositary with respect to the 2022 Notes. If a successor Depositary for the 2022 Notes is not appointed by the Issuer by the
earlier of (x) 90 days from the date the Issuer receives notice to the effect that the Depositary is unwilling or unable to act, or the Issuer determines that the Depositary is unable to act, or (y) the effectiveness of the
Depositary’s resignation or failure to fulfill its duties as Depositary, the Issuer will execute, and the Trustee, upon receipt of an Issuer Order for the authentication and delivery of definitive 2022 Notes, will authenticate and deliver 2022
Notes in definitive form in an aggregate principal amount equal to the principal amount of the Global Note or Global Notes representing such 2022 Notes in exchange for such Global Note or Global Notes. 

If the Issuer so specifies with respect to any 2022 Notes, an owner of a beneficial interest in a Global Note representing the 2022 Notes
may, on terms acceptable to the Issuer and the Depositary for the Global Note, receive individual 2022 Notes in exchange for the beneficial interest. In any such instance, an owner of a beneficial interest in a Global Note will be entitled to
physical delivery in definitive form of 2022 Notes represented by the Global Note equal in principal amount to the beneficial interest, and to have the 2022 Notes registered in its name. 2022 Notes so issued in definitive form will be issued as
registered 2022 Notes in minimum denominations of $2,000 and in $1,000 integral multiples, unless otherwise specified by the Issuer. 
 Upon the exchange of a Global Note for 2022 Notes in definitive form, such Global Note shall be cancelled by the Trustee. 2022 Notes in definitive form issued in exchange for a Global Note pursuant to
this Article IX shall be registered in such names and in such authorized 

  
 21 

 
denominations as the Depositary for such Global Note, pursuant to instructions from its direct or indirect participants or otherwise, shall instruct the Trustee or Security Registrar. The Trustee
shall deliver such 2022 Notes to the Persons in whose names such 2022 Notes are so registered. 
 ARTICLE X 

SUPPLEMENTAL INDENTURES 
 This Twenty-Eighth Supplemental Indenture is a supplement to the Original Indenture. As supplemented by this Twenty-Eighth Supplemental Indenture, the Original Indenture is in all respects ratified,
approved and confirmed, and the Original Indenture and this Twenty-Eighth Supplemental Indenture shall together constitute one and the same instrument. 
 ARTICLE XI 
 INAPPLICABLE PROVISIONS OF THE ORIGINAL INDENTURE

 The 2022 Notes shall not constitute Subordinated Securities and the provisions of Article Twelve of the Original
Indenture shall not apply to the Notes. 
 TESTIMONIUM 

This Twenty-Eighth Supplemental Indenture may be executed in any number of counterparts, each of which so executed shall be deemed to be
an original, but all such counterparts shall together constitute but one and the same instrument. 
 [The remainder of this page
has been intentionally left blank.] 

  
 22 

 IN WITNESS WHEREOF, the parties hereto have caused this Twenty-Eighth Supplemental Indenture
to be duly executed and their respective corporate seals to be hereunto affixed and attested, all as of the day and year first written above. 
  

			
	CMS ENERGY CORPORATION
		
	By:  	 	/s/ Laura L Mountcastle
		 	Laura L. Mountcastle
		 	Vice President and Treasurer

			
		
	Attest: 	 	/s/ Shelley J. Ruckman

  

	
	 THE BANK OF NEW YORK MELLON,
as Trustee

	
	/s/ Laurence J. O’Brien
	Laurence J. O’Brien

			
		
	Attest: 	 	/s/ Timothy Casey

  
 23EX-10.(a)

 Exhibit 10(a) 
 EMPLOYMENT AGREEMENT 
 THIS EMPLOYMENT AGREEMENT (this
“Agreement”) is dated as of March 21, 2011 (the “Effective Date”), by and between Churchill Downs Incorporated, a Kentucky corporation (the “Company”), and William C. Carstanjen
(“Executive”). 
 WHEREAS, the Company desires to continue Executive’s employment and to embody herein the
terms of such continued employment, and considers it to be in its best interests and in the best interests of its stockholders to employ Executive during the Employment Term (as defined in Section 1 below); and 

WHEREAS, Executive is willing to accept such continued employment with the Company upon the terms and conditions of this Agreement.

 NOW, THEREFORE, in consideration of the premises and mutual covenants herein and for other good and valuable consideration,
the parties hereby agree as follows: 
 1. Term of Employment. Unless terminated earlier in accordance
with the provisions of Section 7, Executive’s employment under this Agreement shall be effective for a term commencing on the Effective Date and ending on the third anniversary of the Effective Date (the “Employment
Term”). Thereafter, the Employment Term shall be automatically extended for subsequent one (1)-year periods unless written notice to the contrary is given by either the Company or Executive at least ninety (90) days prior to the
expiration of the Employment Term or the expiration of any subsequent one (1)-year extension thereof. 
 2.
Position and Duties. As of the Effective Date, Executive shall serve as the Chief Operating Officer and President of the Company. In such position, Executive shall report directly to the Company’s Chief Executive Officer (the
“CEO”) and have such authority, responsibilities, and duties customarily exercised by a person holding such position and as assigned to him or delegated to him by the CEO. During the Employment Term, Executive will devote substantially all
of his business time and best efforts to the performance of his duties. 
 3. Base Salary. Beginning on
the Effective Date and continuing during the Employment Term, the Company shall pay Executive a base salary (the “Base Salary”) at the annual rate of $465,000.00, payable in regular installments in accordance with the Company’s
usual payroll practices. The Base Salary shall be prorated in 2011 based upon the proportion of the year remaining as of the Effective Date. The Compensation Committee of the Board shall review and may consider for increase (but not decrease) at any
time Executive’s Base Salary in its sole discretion based on Executive’s performance. 
 4.
Incentive Compensation. Executive shall be eligible to participate in any annual or long-term, cash or equity based, incentive plan or other arrangements of the Company, as they exist from time-to-time. Executive shall be eligible to
participate in an annual performance bonus plan, with a target bonus for each performance period of 75% of Base Salary. 
 5. Equity Grants. Executive shall retain all outstanding equity grants awarded prior to the Effective Date, whether or not vested as of the Effective Date, in accordance with the terms of the
applicable plan documents and award agreements, and shall continue to be eligible for Performance Share Awards under the Terms and Conditions of Performance Share Awards 

 
Issued Pursuant to the Churchill Downs Incorporated 2007 Omnibus Stock Incentive Plan, as amended and restated as of December 19, 2008. As of the date the Compensation Committee shall have
approved this Agreement, the Company shall grant Executive 15,000 Restricted Shares of Common Stock which shall vest on the third anniversary of the Effective Date; provided, however, that the third anniversary is prior to a Termination of
Employment (as defined in Section 10(s)). Notwithstanding the foregoing, in the event the Executive’s Termination of Employment is described in Section 7 (b), (c), (d) or (e), then the Restricted Shares shall vest and the
restrictions thereon shall lapse on the later of [1] the date of such termination or [2] six months after the date of this Agreement. 
 6. Other Benefits. 
 (a) Retirement Benefits. During
the Employment Term, Executive shall be provided with the opportunity to participate in the Company’s qualified 401(k) retirement plan and non-qualified deferred compensation plan, as may exist from time-to-time, in each case, in accordance
with the terms of such plans. 
 (b) Welfare Benefits. During the Employment Term, Executive shall be
provided with the opportunity to participate in the Company’s medical plan and other employee welfare benefit plans on a comparable basis as such benefits are generally provided by the Company from time-to-time to the Company’s other
senior executives, in each case, in accordance with the terms of such plans. 
 (c) Miscellaneous
Allowance. The Company will provide Executive with an annual allowance of $10,000 to be paid ratably throughout the year pursuant to the Company’s normal payroll practice, so long as similar benefits are provided to other members of the
Executive Leadership Team. The Company may terminate such benefits at its discretion. 
 (d) Reimbursement of
Business Expenses. During the Employment Term, all reasonable business expenses incurred by Executive in the performance of his duties hereunder shall be reimbursed by the Company upon receipt of documentation of such expenses in a form
reasonably acceptable to the Company, and otherwise in accordance with the Company’s expense reimbursement policies. 
 (e) Indemnification Agreement. The Company agrees to enter into an agreement with Executive whereby the Company shall: (a) indemnify Executive to the maximum extent allowed under Kentucky law
and (b) maintain directors’ and officers’ liability insurance for the benefit of Executive in a form at least as comprehensive as, and in an amount that is at least equal to, that maintained by the Company at such time for any officer
of the Company. 
 7. Termination. Notwithstanding any other provision of this Agreement: 

(a) For Cause by the Company or Voluntary Resignation by Executive Without Good Reason. If Executive is terminated
by the Company for Cause (as defined in Section 10(d)), or if Executive voluntarily resigns without Good Reason (as defined in Section 10(m)), Executive shall be entitled to receive as soon as reasonably practicable after his date of
termination or such earlier time as may be required by applicable statute or regulation: (i) his 

  
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earned but unpaid Base Salary through the date of termination; (ii) payment in respect of any paid time off days accrued but unused through the date of termination, to the extent provided by
Company policy; (iii) reimbursement for all business expenses properly incurred in accordance with Company policy prior to the date of termination and not yet reimbursed by the Company; and (iv) subject to Section 7(g), any earned but
unpaid annual bonus in respect of any of the Company’s fiscal years preceding the fiscal year in which the termination occurs (provided, however, that if Executive’s termination is by the Company for Cause and such event(s) and/or
action(s) that constitute Cause are materially and demonstrably injurious to the business or reputation of the Company, then no payment will be made pursuant to this clause (iv)) (the aggregate benefits payable pursuant to clauses (i), (ii),
(iii) and (iv) hereafter referred to as the “Accrued Obligations”); and except as provided herein he shall have no further rights to any compensation (including any Base Salary or annual bonus, if any) or any other
benefits under this Agreement. All equity-based awards shall be treated as set forth under the terms of this Agreement and the applicable plan, award or agreement. All other accrued and vested benefits, if any, due Executive following
Executive’s Termination of Employment pursuant to this Section 7(a) shall be determined and provided or paid in accordance with the plans, policies, and practices of the Company; provided such benefits shall be provided or paid no later
than the later of (A) sixty (60) days following Executive’s date of termination or (B) the date provided under the applicable plan, policy or practice of the Company covering such benefits. 

(b) Without Cause by the Company or Voluntary Resignation by Executive for Good Reason. If Executive is terminated
by the Company other than for Cause, Disability (as defined in Section 10(i)) or death, or if Executive voluntarily resigns for Good Reason, Executive shall receive: (i) the Accrued Obligations; and (ii) subject to
Section 7(g), (A) cash payments equal to the product of 1.5 times the sum of (x) Executive’s Base Salary plus (y) Executive’s target bonus for the year of the Termination of Employment, payable in equal
installments over the 18 months following Termination of Employment, (B) treatment of all equity-based awards per the terms of this Agreement and the applicable plan, award or agreement, and (C) the continuation of medical benefits through
the end of the calendar quarter in which Termination of Employment occurs; provided, however, that such benefit shall be reduced or eliminated to the extent Executive receives similar benefits from a subsequent employer. Except as provided herein,
Executive shall have no further rights to any compensation (including any Base Salary) or any other benefits under this Agreement. All other accrued and vested benefits, if any, due Executive following Termination of Employment pursuant to this
Section 7(b) shall be determined and provided or paid in accordance with the plans, policies and practices of the Company; provided such benefits shall be provided or paid no later than the later of (A) sixty (60) days following
Executive’s date of termination or (B) the date provided under the applicable plan, policy or practice of the Company covering such benefits. 
 (c) Termination following a Change in Control. If, during the 2-year period following a Change in Control (as defined in Section 10(e)), Executive is terminated by the Company other than for
Cause, Disability or death, or if Executive voluntarily resigns for Good Reason, Executive shall receive: (i) the Accrued Obligations; and (ii) subject to Section 7(g), the benefits set forth in Section 7(b)(ii) (with any
payments due pursuant to clause (A) of Section 7(b)(ii) payable in a lump sum on the sixtieth (60th) day following such Termination of Employment), (B) the vesting of any then-unvested Restricted Stock granted pursuant to
Subsections 5 above, and any then-unvested but outstanding equity granted prior to the Effective Date shall vest according to the terms of this Agreement and the applicable plan, award or 

  
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agreement, and (C) a Tax Gross-Up Payment for purposes solely of reimbursing Executive for the effect of any excise tax under Code Section 4999 with respect to an excess parachute
payment under Code Section 280G. 
 (d) Death. Following a Termination of Employment for death,
Executive’s estate shall be entitled to receive: (i) the Accrued Obligations; and (ii) subject to Section 7(g), (A) a pro-rata bonus, if any, for the year of death, based on the target bonus for which Executive was eligible
for such year, and paid when bonuses under such applicable bonus plans are normally paid, (B) treatment of all equity-based awards per the other terms of this Agreement and the applicable plan, award or agreement, (C) all other benefits
and payments per the applicable plan or program, and (D) life insurance benefits paid per such applicable plans. Except as provided herein, Executive’s estate shall have no further rights to any compensation (including any Base Salary) or
any other benefits under this Agreement. All other accrued and vested benefits, if any, due Executive following a Termination of Employment for death shall be determined in accordance with the plans, policies, and practices of the Company.

 (e) Disability. Following a Termination of Employment for Disability, Executive shall be entitled to
receive: (i) the Accrued Obligations; and (ii) subject to Section 7(g), (A) a pro-rata bonus, if any, for the year of Termination of Employment, based on the target bonus for which Executive was eligible for such year, and paid
when bonuses under the applicable bonus plans are normally paid, (B) treatment of all other equity-based awards per the other terms of this Agreement and the applicable plan, award or agreement, (C) all other benefits and payments per the
applicable plan or program, and (D) short-term and long-term disability benefits per the applicable plans. Except as provided herein, Executive shall have no further rights to any compensation (including any Base Salary) or any other benefits
under this Agreement. All other accrued and vested benefits, if any, due Executive following a Termination of Employment for Disability shall be determined in accordance with the plans, policies, and practices of the Company. 

(f) No Mitigation or Offset. In no event shall the benefits set forth in this Section 7 be subject to
mitigation or offset. 
 (g) Release. Notwithstanding any other provision of this Agreement to the
contrary, Executive acknowledges and agrees that any and all payments to which Executive is entitled under this Section 7, which are described as being subject to this Section 7(g) are conditioned upon and shall not be payable unless
(A) Executive, or, if applicable, his or his estate’s personal representative, executes a general release and waiver, in such reasonable and customary form as shall be prepared by the Company, of all claims Executive may have against the
Company and its directors, officers, subsidiaries and affiliates, except as to (i) matters covered by provisions of this Agreement that expressly survive the termination of this Agreement and (ii) rights to which Executive is entitled by
virtue of his participation in the employee benefit plans, policies and arrangements of the Company, within the minimum time period required under applicable state and federal laws, or if no such period, ten business days following the date of
Executive’s termination, and (B) Executive, or, if applicable, his or his estate’s personal representative, has not revoked such release agreement within the time permitted under applicable law. Payments subject to this
Section 7(g) shall commence or be made, as applicable, on the sixtieth (60th) day after the Termination of Employment, with any payments scheduled to occur between the Termination of Employment and such sixtieth (60th) day provided on
such day. 

  
 4 

 8. Covenants. 

(a) Confidentiality. Executive agrees that Executive will not at any time during Executive’s employment with
the Company or thereafter, except in performance of Executive’s obligations to the Company hereunder, disclose, either directly or indirectly, any Confidential Information (as hereinafter defined) that Executive may learn by reason of his
association with the Company. The term “Confidential Information” shall mean any past, present, or future confidential or secret plans, programs, documents, agreements, internal management reports, financial information, or other
material relating to the business, strategies, services, or activities of the Company, including, without limitation, information with respect to the Company’s operations, processes, products, inventions, business practices, finances,
principals, vendors, suppliers, customers, potential customers, marketing methods, costs, prices, contractual relationships, including leases, regulatory status, compensation paid to employees, or other terms of employment, and trade secrets, market
reports, customer investigations, customer lists, and other similar information that is proprietary information of the Company; provided, however, the term “Confidential Information” shall not include any of the above forms of information
which has become public knowledge, unless such Confidential Information became public knowledge due to any act or acts by Executive or his representative(s) in violation of this Agreement. Notwithstanding the foregoing, Executive may disclose such
Confidential Information when required to do so by a court of competent jurisdiction, by any governmental agency having supervisory authority over the business of the Company and/or its affiliates, as the case may be, or by any administrative body
or legislative body (including a committee thereof) with jurisdiction to order Executive to divulge, disclose or make accessible such information; provided, further, that in the event that Executive is ordered by any such court or other government
agency, administrative body, or legislative body to disclose any Confidential Information, Executive shall (i) promptly notify the Company of such order, (ii) at the reasonable written request of the Company, diligently contest such order
at the sole expense of the Company as expenses occur, and (iii) at the reasonable written request of the Company, seek to obtain, at the sole expense of the Company, such confidential treatment as may be available under applicable laws for any
information disclosed under such order. 
 (b) Non-Compete. During the Employment Term and for one
(1) year immediately following a Termination of Employment for any reason, Executive shall not, without the prior written consent of the Company, participate or engage in, directly or indirectly (as an owner, partner, employee, officer,
director, independent contractor, consultant, advisor or in any other capacity calling for the rendition of services, advice, or acts of management, operation or control) any business for a Competitor (as defined below). The term
“Competitor” shall mean any entity whose principal business involves the operation of a pari-mutuel or casino gaming or advance deposit wagering business. 

(c) Non-Solicit. During the Employment Term and for one (1) year immediately following a Termination of
Employment for any reason, Executive shall not, without the prior written consent of the Company, solicit or induce any then-existing employee of the Company or any of its subsidiaries to leave employment with the Company or any of its subsidiaries
or contact any then-existing customer or vendor under contract with the Company or any of its subsidiaries for the purpose of obtaining business similar to that engaged in, or received (as appropriate), by the Company. 

  
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 (d) Cooperation. Executive agrees that during the Employment Term or
following a Termination of Employment for any reason, Executive shall, upon reasonable advance notice, assist and cooperate with the Company with regard to any investigation or litigation related to a matter or project in which Executive was
involved during Executive’s employment. The Company shall reimburse Executive for all reasonable and necessary expenses related to Executive’s services under this Section 8(d) (i.e., travel, lodging, meals, telephone and overnight
courier) within ten (10) business days of Executive submitting to the Company appropriate receipts and expense statements. 
 (e) Survivability. The duties and obligations of Executive pursuant to this Section 8 shall survive the termination of this Agreement and Executive’s Termination of Employment for any
reason. 
 (f) Remedies. Executive acknowledges that the protections of the Company set forth in this
Section 8 are fair and reasonable. Executive agrees that remedies at law for a breach or threatened breach of the provisions of this Section 8 would be inadequate and, therefore, the Company shall be entitled, in addition to any other
available remedies, without posting a bond, to equitable relief in the form of specific performance, temporary restraining order, temporary or permanent injunction, or any other equitable remedy that may be then available. 

(g) Limitation. If the duration, scope, or nature of any restriction on business activity covered by any provision
of Section 8(b) or (c) above is in excess of what is valid and enforceable under applicable law, such restriction shall be construed to limit duration, scope or activity to an extent that is valid and enforceable, with such extent to be
the maximum extent possible under applicable law. For each of Section 8(b) and (c) above, Executive hereby acknowledges that such Section shall be given the construction which renders its provisions valid and enforceable to the maximum
extent, not exceeding its express terms, possible under applicable law. 
 9. Miscellaneous. 

(a) Resolution of Disputes and Reimbursement of Legal Costs. Except as otherwise provided in Section 8, the
Company and Executive agree that any controversy or claim arising out of or relating to this Agreement or the breach thereof shall be settled by arbitration administered by the American Arbitration Association in accordance with its Commercial
Arbitration Rules then in effect. Venue for any arbitration pursuant to this Agreement will lie in Louisville, Kentucky. Any award entered by the arbitrator(s) shall be final, binding and nonappealable and judgment may be entered thereon by either
party in accordance with applicable law in any court of competent jurisdiction. This arbitration provision shall be specifically enforceable. Each party shall be responsible for its own expenses relating to the conduct of the arbitration (including
reasonable attorneys’ fees and expenses) and shall share the fees of the American Arbitration Association and the arbitrator(s), if applicable, equally. 

  
 6 

 (b) Governing Law. This Agreement will be governed by, and
interpreted in accordance with, the laws of the Commonwealth of Kentucky applicable to agreements made and to be wholly performed within the Commonwealth of Kentucky, without regard to the conflict of laws provisions of any jurisdiction which would
cause the application of any law other than that of the Commonwealth of Kentucky. 
 (c) Entire
Agreement/Amendments. This Agreement contains the entire understanding of the parties with respect to the employment of Executive by the Company. There are no restrictions, agreements, promises, warranties, covenants or undertakings between the
parties with respect to the subject matter herein other than those expressly set forth herein. This Agreement may not be altered, modified, or amended except by written instrument signed by the parties hereto. Sections 7 and 8 of this Agreement
shall survive the termination of Executive’s employment with the Company, except as otherwise specifically stated therein. 
 (d) Neutral Interpretation. This Agreement constitutes the product of the negotiation of the parties hereto and the enforcement of this Agreement shall be interpreted in a neutral manner, and not
more strongly for or against any party based upon the source of the draftsmanship of the Agreement. Each party has been provided ample time and opportunity to review and negotiate the terms of this Agreement and consult with legal counsel regarding
the Agreement. 
 (e) No Waiver. The failure of a party to insist upon strict adherence to any term of
this Agreement on any occasion shall not be considered a waiver of such party’s rights or deprive such party of the right thereafter to insist upon strict adherence to that term or any other term of this Agreement. 

(f) Severability. In the event that any one or more of the provisions of this Agreement shall be or become
invalid, illegal or unenforceable in any respect, the validity, legality and enforceability of the remaining provisions of this Agreement shall not be affected thereby. 

(g) Successors. 
 (i) This Agreement is personal to Executive and shall not be assignable by Executive otherwise than by will or the laws of descent and distribution. This Agreement shall inure to the benefit of and be
enforceable by Executive’s legal representatives. 
 (ii) This Agreement shall inure to the benefit of and
be binding upon the Company and its successors and assigns. The Company shall require any successor (whether direct or indirect, by purchase, merger, reorganization, consolidation, acquisition of property or stock, liquidation, or otherwise) to all
or a substantial portion of its business and/or assets, by agreement in form and substance reasonably satisfactory to Executive, expressly to assume and agree to perform this Agreement in the same manner and to the same extent that the Company would
be required to perform this Agreement if no such succession had taken place. Regardless of whether such an agreement is executed, this Agreement shall be binding upon any successor of the Company and such successor shall be deemed the
“Company” for purposes of this Agreement. 

  
 7 

 (h) Notice. For the purpose of this Agreement, notices and all other
communications provided for in this Agreement shall be in writing and shall be deemed to have been duly given if delivered personally, if delivered by overnight courier service, if sent by facsimile transmission or if mailed by United States
registered mail, return receipt requested, postage prepaid, addressed to the respective addresses or sent via facsimile to the respective facsimile numbers, as the case may be, as set forth below, or to such other address as either party may have
furnished to the other in writing in accordance herewith, except that notice of change of address shall be effective only upon receipt; provided, however, that (i) notices sent by personal delivery or overnight courier shall be deemed given
when delivered; (ii) notices sent by facsimile transmission shall be deemed given upon the sender’s receipt of confirmation of complete transmission, and (iii) notices sent by United States registered mail shall be deemed given two
days after the date of deposit in the United States mail. 
 If to the Company, to: 

Churchill Downs Incorporated 
 Attn: General Counsel 
 700 Central Avenue 

Louisville, KY 40208 
 If to Executive, to 
 Such address as shall most currently appear
on the records 
 of the Company 

(i) Withholding. The Company may withhold from any amounts payable under this Agreement such Taxes (as defined in
Section 10(q)) as may be required to be withheld pursuant to any applicable law or regulation. 
 (j)
Counterparts and Signatures. This Agreement may be signed in counterparts, each of which shall be an original, with the same effect as if the signatures thereto and hereto were upon the same instrument. Signatures delivered by facsimile or
PDF file shall constitute original signatures. 
 (k) Code Section 409A. It is intended that any
amounts payable under this Agreement and the Company’s and Executive’s exercise of authority or discretion hereunder shall comply with Code Section 409A (including the Treasury regulations and other published guidance relating
thereto) so as not to subject Executive to the payment of any interest or additional tax imposed under Code Section 409A. To the extent any amount payable under this Agreement would trigger the additional tax imposed by Code Section 409A,
the Agreement shall be modified to avoid such additional tax. 
 10. Definitions. 

(a) “Agreement” – see the recitals to this Agreement. 

(b) “Base Salary” – see Section 3. 

(c) “Board” means the Board of Directors of the Company. 

  
 8 

 (d) “Cause” for termination by the Company of
Executive’s employment with the Company means any of the following: 
 (i) the willful and continued
failure of Executive to perform substantially his duties to the Company (other than any such failure resulting from incapacity due to disability), after a written demand to cure such failure (the “Demand to Cure”) is delivered to Executive
by the Chairman of the Board which specifically identifies the manner in which the Board believes that Executive has not substantially performed his duties; 
 (ii) Executive’s conviction of, or plea of guilty or no contest to (A) a felony or (B) a misdemeanor involving dishonesty or moral turpitude; or 

(iii) the willful engaging by Executive in illegal conduct or gross misconduct which is materially and demonstrably
injurious to the business or reputation of the Company. 
 For purposes of this definition, no act or failure to act, on the
part of Executive, shall be considered “willful” unless it is done, or omitted to be done, by Executive in bad faith or without reasonable belief that Executive’s action or omission was in the best interests of the Company. Any act,
or failure to act, based upon specific authority given pursuant to a resolution duly adopted by the Board or upon instructions of the Chairman of the Board or based upon the advice of counsel of the Company which Executive honestly believes is
within such counsel’s competence shall be conclusively presumed to be done, or omitted to be done, by Executive in good faith and in the best interests of the Company. The Company shall give written notice to Executive of the termination for
Cause. Such notice shall state in detail the particular act or acts or the failure or failures to act that constitute the grounds on which the Cause termination is based and such notice shall be given within six (6) months of the occurrence of,
or, if later, the Company’s actual knowledge of, the act or acts or the failure or failures to act which constitute the grounds for Cause. Executive shall have sixty (60) days upon receipt of the Demand to Cure in which to cure such
conduct, to the extent such cure is possible. 
 (e) “Change in Control” means the first to
occur of the following events: 
 (i) the acquisition, directly or indirectly, by any individual, entity or
group (within the meaning of Section 13(d)(3) or 14(d)(2) of the Securities Exchange Act of 1934 (the “Exchange Act”) (a “Person”) of beneficial ownership (within the meaning of Rule 13d-3 promulgated under the
Exchange Act) of more than 50% of either the then outstanding voting securities of the Company (the “Outstanding Company Common Stock”) or the combined voting power of the then outstanding voting securities of the Company entitled
to vote generally in the election of directors (the “Outstanding Company Voting Securities”); provided, however that for purposes of this subsection (i), the following acquisitions shall not constitute a Change in Control:
(w) any acquisition directly from the Company, (x) any acquisition by the Company or any of its subsidiaries, (y) any acquisition by any employee benefit plan (or related trust) sponsored or maintained by the Company or any
corporation controlled by the Company, or (z) any acquisition by any corporation pursuant to a transaction which complies with clauses (A), (B) and (C) of subsection (iii) of this definition; 

  
 9 

 (ii) individuals who, as of the Effective Date, constitute the Board (the
“Incumbent Board”) cease for any reason to constitute at least a majority of the Board; provided, however, that any individual becoming a director subsequent to the Effective Date whose election, or nomination for election by the
Company’s shareholders, was approved by a vote of at least a majority of the directors then comprising the Incumbent Board shall be considered as though such individual were a member of the Incumbent Board, but excluding, for this purpose, any
such individual whose initial assumption of office occurs as a result of an actual or threatened election contest with respect to the election or removal of directors or other actual or threatened solicitation of proxies or consents by or on behalf
of a Person other than the Board; 
 (iii) consummation of a reorganization, merger or consolidation or sale or
other disposition of all or substantially all of the assets of the Company or the acquisition of assets of another entity (a “Corporate Transaction”), in each case, unless, immediately following such Corporate Transaction,
(A) all or substantially all of the individuals and entities who were the beneficial owners, respectively, of the Outstanding Company Common Stock and Outstanding Company Voting Securities immediately prior to such Corporate Transaction
beneficially own, directly or indirectly, more than 50% of, respectively, the then-outstanding shares of common stock and the combined voting power of the then-outstanding voting securities entitled to vote generally in the election of directors, as
the case may be, of the corporation resulting from such Corporate Transaction (including, without limitation, an entity which as a result of such transaction owns the Company or all or substantially all of the Company’s assets either directly
or through one or more subsidiaries) in substantially the same proportions as their ownership, immediately prior to such Corporate Transaction, of the Outstanding Company Common Stock and Outstanding Company Voting Securities, as the case may be,
(B) no Person (excluding any corporation resulting from such Corporate Transaction or employee benefit plan (or related trust) of the Company or such corporation resulting from such Corporate Transaction) beneficially owns, directly or
indirectly, 50% or more of, respectively, the then-Outstanding Company Common Stock resulting from such Corporate Transaction or the Outstanding Company Voting Securities resulting from such Corporate Transaction, except to the extent that such
ownership existed prior to the Corporate Transaction, and (C) at least a majority of the members of the Board resulting from the Corporate Transaction were members of the Incumbent Board at the time of the execution of the initial plan or
action of the Board providing for such Corporate Transaction; or 
 (iv) approval by the shareholders of the
Company of a complete liquidation or dissolution of the Company. 
 (f) “Code” means the
Internal Revenue Code of 1986, as amended from time-to-time. 
 (g) “Common Stock” means the
common stock, no par value, of the Company. 
 (h) “Company” – see the recitals to this
Agreement. 
 (i) “Disability” means that Executive becomes “disabled” within the
meaning of Section 409A(a)(2)(C) of the Code or any successor provision and the applicable regulations thereunder. 

  
 10 

 (j) “Employment Term” – see Section 1.

 (k) “Exchange Act” means the Securities Exchange Act of 1934. 

(l) “Executive” – see recitals to this Agreement. 

(m) “Good Reason” for termination by Executive of Executive’s employment means the occurrence
(without Executive’s express written consent) of any one of the following acts by the Company or failures by the Company to act: 
 (i) the assignment to Executive of any duties inconsistent in any material respect with the position of President and Chief Operating Officer (including status, office, title and reporting requirements),
or the authority, duties or responsibilities of the President and Chief Operating Officer, or any other diminution in any material respect in such position, authority, duties or responsibilities unless agreed to by Executive; 

(ii) the Company’s requiring Executive to be based at, or perform his principal functions at, any office or
location other than a location within 35 miles of the Main Office unless such other location is closer to Executive’s then-primary residence than the Main Office; 

(iii) a reduction in Base Salary; 

(iv) a reduction in Executive’s welfare benefits plans, qualified retirement plan, or paid time off benefit unless
other senior executives suffer a comparable reduction; 
 (v) any purported termination of Executive’s
employment under this Agreement by the Company other than for Cause, death or Disability; and 
 (vi) the
Company’s notice to Executive of non-renewal of the Agreement, or failure of the parties to reach mutually agreeable revised extension terms within 60 days following a party’s notice of non-renewal of the Agreement. 

Prior to Executive’s right to terminate this Agreement, he shall give written notice to the Company of his intention to terminate
his employment on account of a Good Reason. Such notice shall state in detail the particular act or acts or the failure or failures to act that constitute the grounds on which Executive’s Good Reason termination is based and such notice shall
be given within six (6) months of the occurrence of the act or acts or the failure or failures to act which constitute the grounds for Good Reason. The Company shall have sixty (60) days upon receipt of the notice in which to cure such
conduct, to the extent such cure is possible. 
 (n) “Main Office” means 700 Central Avenue,
Louisville, Kentucky. 
 (o) “Option” means an option to purchase shares of Common Stock.

 (p) “Restricted Shares” see Section 5(a). 

  
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 (q) “Taxes” means the incremental United States federal,
state and local income, excise and other taxes payable by Executive with respect to any applicable item of income. 
 (r) “Tax Gross-Up Payment” means an amount payable to Executive such that, after payment of Taxes on such amount, there remains a balance sufficient to pay the Taxes being reimbursed,
which amount shall be payable in a lump sum to Executive not later than the end of the taxable year of Executive next following the taxable year of Executive in which the related Taxes were remitted. The amount of Taxes eligible for reimbursement in
one taxable year of Executive shall not affect the amount of Taxes eligible for reimbursement in another taxable year of Executive. 
 (s) “Termination of Employment” means a termination by the Company or by Executive of Executive’s employment with the Company. 

11. Section 409A. Notwithstanding the foregoing, to the extent required in order to avoid accelerated
taxation and/or tax penalties under Code Section 409A and the rules and regulations thereunder (“Section 409A”), if Executive is a “specified employee” (as defined under Section 409A) as of the date of his
“separation from service” (as defined under Section 409) from the Company, then any payment of benefits scheduled to be paid by the Company to Executive during the first six (6) month period following the date of a termination of
employment hereunder shall not be paid until the earlier of (a) the expiration of the six (6) month period measured from the date of Executive’s “separation from service” and (b) the date of Executive’s death. All
payments and benefits that are delayed pursuant to the immediately preceding sentence shall be paid to Executive in a lump sum as soon as practicable following the expiration of such period (or if earlier, upon Executive’s death) but in no
event later than thirty (30) days following such period. To the extent required in order to avoid accelerated taxation and/or tax penalties under Section 409A, no amount or benefit that is payable upon a termination of employment or
services from the Company shall be payable unless such termination also meets the requirements of a “separation from service” under Section 409A. In addition, the parties shall cooperate fully with one another to ensure compliance
with Section 409A, including, without limitation, adopting amendments to arrangements subject to Section 409A and operating such arrangements in compliance with Section 409A. 

[Signature page follows.] 

  
 12 

 IN WITNESS WHEREOF, the parties hereto have duly executed this Agreement on dates set forth
next to their respective signatures. 
  

							
		 		 	 WILLIAM C. CARSTANJEN

				
	Date: March 21, 2011	 		 		 	/s/ William C. Carstanjen
		 		 		 	
		 		 		 	
			
		 		 	 CHURCHILL DOWNS INCORPORATED

				
	Date: March 21, 2011	 		 	By:	 	/s/ Robert L. Evans
		 		 		 	 Robert L. Evans,
 Chief
Executive Officer

  
 13

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