Document:

Exhibit 4.1

                               SERIES SUPPLEMENT

                      CORPORATE BACKED TRUST CERTIFICATES

             FORD MOTOR CO. DEBENTURE-BACKED SERIES 2001-36 TRUST

                                    between

                            LEHMAN ABS CORPORATION,

                                 as Depositor

                                      and

                     U.S. BANK TRUST NATIONAL ASSOCIATION,

                                  as Trustee

                      CORPORATE BACKED TRUST CERTIFICATES

                         Dated as of November 15, 2001

<PAGE>

                               Table of Contents
                                                                           Page

Section 1.  Incorporation of Standard Terms...................................1

Section 2.  Definitions.......................................................1

Section 3.  Designation of Trust and Certificates.............................7

Section 4.  Trust Certificates................................................8

Section 5.  Distributions.....................................................8

Section 6.  Trustee's Fees...................................................11

Section 7.  Optional Exchange; Optional Call.................................11

Section 8.  Notices of Events of Default.....................................13

Section 9.  Miscellaneous....................................................13

Section 10. Governing Law....................................................16

Section 11. Counterparts.....................................................16

Section 12. Termination of the Trust.........................................16

Section 13. Sale of Underlying Securities;
            Optional Exchange................................................16

Section 14. Amendments.......................................................16

Section 15. Voting of Underlying Securities,
            Modification of Indenture........................................17

Section 16. Additional Depositor Representation..............................18

SCHEDULE I    SERIES 2001-36 UNDERLYING SECURITIES SCHEDULE
SCHEDULE II   CLASS A-2 CERTIFICATE CALL SCHEDULE
EXHIBIT A-1   FORM OF TRUST CERTIFICATE CLASS A-1
EXHIBIT A-2   FORM OF TRUST CERTIFICATE CLASS A-2
EXHIBIT B     FORM OF WARRANT AGENT AGREEMENT
EXHIBIT C     FORM OF INVESTMENT LETTER

                                      i

<PAGE>
                               SERIES SUPPLEMENT

                      CORPORATE BACKED TRUST CERTIFICATES

             FORD MOTOR CO. DEBENTURE-BACKED SERIES 2001-36 TRUST

                  SERIES SUPPLEMENT, Ford Motor Co. Debenture-Backed Series
2001-36, dated as of November 15, 2001 (the "Series Supplement"), by and
between LEHMAN ABS CORPORATION, as Depositor (the "Depositor"), and U.S. BANK
TRUST NATIONAL ASSOCIATION, as Trustee (the "Trustee").

                             W I T N E S S E T H:

                  WHEREAS, the Depositor desires to create the Trust
designated herein (the "Trust") by executing and delivering this Series
Supplement, which shall incorporate the terms of the Standard Terms for Trust
Agreements, dated as of January 16, 2001 (the "Standard Terms"; together with
this Series Supplement, the "Trust Agreement"), by and between the Depositor
and the Trustee, as modified by this Series Supplement;

                  WHEREAS, the Depositor desires to deposit into the Trust the
Underlying Securities set forth on Schedule I attached hereto (the "Underlying
Securities Schedule") the general terms of which are described in the
Prospectus Supplement under the heading "Description of the Deposited Assets -
Underlying Securities;"

                  WHEREAS, in connection with the creation of the Trust and
the deposit therein of the Underlying Securities, it is desired to provide for
the issuance of trust certificates (the "Certificates") evidencing undivided
interests in the Trust; and

                  WHEREAS, the Trustee has joined in the execution of the
Standard Terms and this Series Supplement to evidence the acceptance by the
Trustee of the Trust;

                  NOW, THEREFORE, in consideration of the foregoing premises
and the mutual covenants expressed herein, it is hereby agreed by and between
the Depositor and the Trustee as follows:

Section 1. Incorporation of Standard Terms. Except as otherwise provided
herein, all of the provisions of the Standard Terms are hereby incorporated
herein by reference in their entirety, and this Series Supplement and the
Standard Terms shall form a single agreement between the parties. In the event
of any inconsistency between the provisions of this Series Supplement and the
provisions of the Standard Terms, the provisions of this Series Supplement
will control with respect to the Ford Motor Co. Debenture-Backed Series
2001-36 Certificates and the transactions described herein.

Section 2.        Definitions.

(a) Except as otherwise specified herein or as the context may otherwise
require, the following terms shall have the respective meanings set forth
below for all purposes under this Series Supplement. (Section 2(b) below sets
forth terms listed in the Standard Terms which are

                                      1
<PAGE>

not applicable to this Series.) Capitalized terms used but not defined
herein shall have the meanings assigned to them in the Standard Terms.

                  "Available Funds" shall have the meaning specified in the
Standard Terms, except that proceeds of any redemption of the Underlying
Securities shall be included in Available Funds.

                  "Business Day" shall mean any day other than (i) Saturday
and Sunday or (ii) a day on which banking institutions in New York City, New
York are authorized or obligated by law or executive order to be closed for
business or (iii) a day that is not a business day for the purposes of the
Indenture.

                  "Call Date" shall mean any Business Day on or after November
15, 2006 or after the announcement of any unscheduled payment on the
Underlying Securities on which the Call Warrants are exercised and the
proceeds of an Optional Call are distributed to holders of the Certificates
pursuant to Section 7 hereof.

                  "Call Notice" shall have the meaning specified in Section
1.1 of the Warrant Agent Agreement.

                  "Call Price" shall mean, for each related Call Date, (i) in
the case of the Class A-1 Certificates, the par value of the Class A-1
Certificates being purchased pursuant to the exercise of the Call Warrants,
plus any accrued and unpaid interest on such amount to but excluding the Call
Date and (ii) in the case of the Class A-2 Certificates, any accrued and
unpaid interest on the notional amount of the Class A-2 Certificates being
purchased pursuant to the exercise of the Call Warrants to but excluding the
Call Date, plus the additional amount (or portion thereof, in the case of a
partial call) set forth under the heading "Value" in Schedule II hereof for
such Call Date or, if such Call Date is not a Distribution Date, the
immediately following Distribution Date.

                  "Call Warrants" shall have the meaning specified in Section
3 hereof.

                  "Certificate Account" shall have the meaning specified in
the Standard Terms.

                  "Certificates" shall have the meaning specified in Section 3
hereof.

                  "Class A-1 Allocation" means the sum of the present values
(discounted at the rate of 7.55% per annum) of (i) any unpaid interest due or
to become due on the Class A-1 Certificates and (ii) the outstanding principal
amount of the Certificates (in each case assuming that the Class A-1
Certificates were paid when due and were not redeemed prior to their stated
maturity).

                  "Class A-1 Certificates" shall mean the Certificates, in the
form attached hereto as Exhibit A-1, to be issued by the Trust representing a
proportionate undivided beneficial ownership interest in certain distributions
to be made by the Trust and having the characteristics described herein and in
the Certificates.

                                      2
<PAGE>

                  "Class A-2 Allocation" means the present value (discounted
at the rate of 7.55% per annum) of any unpaid amounts due or to become due on
the Class A-2 Certificates (assuming that the Class A-2 Certificates were paid
when due and were not redeemed prior to their stated maturity).

                  "Class A-2 Certificates" shall mean the Certificates, in the
form attached hereto as Exhibit A-2, to be issued by the Trust representing a
proportionate undivided beneficial ownership interest in certain distributions
to be made by the Trust and having the characteristics described herein and in
the Certificates.

                  "Closing Date" shall mean November 15, 2001.

                  "Collection Period" shall mean, (i) with respect to each
November Distribution Date, the period beginning on the day after the May
Distribution Date of such year and ending on such November Distribution Date,
inclusive and, (ii) with respect to each May Distribution Date, the period
beginning on the day after the November Distribution Date of the prior year
and ending on such May Distribution Date, inclusive; provided, however, that
clauses (i) and (ii) shall be subject to Section 9(f) hereof.

                  "Corporate Trust Office" shall mean the office of U.S. Bank
Trust National Association located at 100 Wall Street, New York, New York
10005.

                  "Currency" shall mean United States Dollars.

                  "Depository" shall mean The Depository Trust Company.

                  "Distribution Date" shall mean May 15th and November 15th of
each year (or if such date is not a Business Day, the next succeeding Business
Day), commencing on May 15, 2002, and ending on the earlier of the Final
Scheduled Distribution Date and any date on which Underlying Securities are
redeemed pursuant to the Indenture.

                  "Eligible Account" shall have the meaning specified in the
Standard Terms.

                  "Event of Default" shall mean (i) a default in the payment
of any interest on any Underlying Security after the same becomes due and
payable (subject to any applicable grace period), (ii) a default in the
payment of the principal of or any installment of principal of any Underlying
Security when the same becomes due and payable, and (iii) any other event
specified as an "Event of Default" in the Indenture.

                  "Exchange Act" shall mean the Securities and Exchange Act of
1934, as amended, and the rules and regulations promulgated thereunder.

                  "Extraordinary Trust Expenses" shall have the meaning
specified in the Standard Terms.

                  "Final Scheduled Distribution Date" shall mean May 15, 2097.

                                      3
<PAGE>

                  "Indenture" shall mean the indenture, dated as of February
15, 1992, between the Underlying Securities Issuer and the Underlying
Securities Trustee, pursuant to which the Underlying Securities were issued.

                  "Interest Accrual Period" shall mean for any Distribution
Date, the period from and including the preceding Distribution Date (or in the
case of the first Interest Accrual Period, from and including November 15,
2001) to but excluding the current Distribution Date.

                  "Liquidation Price" shall mean the price at which the
Trustee sells the Underlying Securities.

                  "Liquidation Proceeds" shall have the meaning specified in
the Standard Terms.

                  "Maturity Date" shall have the meaning specified in Schedule
I hereto.

                  "Moody's" shall mean Moody's Investors Service, Inc.

                  "Optional Call" shall mean the call of the Certificates by
the Warrant Holder, in whole or in part, resulting from the exercise of Call
Warrants by the Warrant Holder, pursuant to Section 7(d) hereof.

                  "Optional Exchange" shall mean the exchange of the
Certificates by the Trust for the Underlying Securities pursuant to Section
7(a) hereof.

                  "Optional Exchange Date" shall mean any Distribution Date on
which Underlying Securities subject to Optional Exchange are distributed to a
Certificateholder.

                  "Ordinary Expenses" shall mean the Trustee's ordinary
expenses and overhead in connection with its services as Trustee, including
the items referred to in the definition of Ordinary Expenses in the Standard
Terms.

                  "Prepaid Ordinary Expenses" shall be zero for this Series.

                  "Prospectus Supplement" shall mean the Prospectus
Supplement, dated November 6, 2001, relating to the Certificates.

                  "Rating Agency" shall mean Moody's and S&P.

                  "Rating Agency Condition" shall have the meaning specified
in the Standard Terms.

                  "Record Date" shall mean, with respect to each Distribution
Date, the day immediately preceding the related Distribution Date.

                  "Required Interest" shall have the meaning specified in the
Standard Terms.

                  "Required Percentage-Amendment" shall be 66-2/3% of the
aggregate Voting Rights, unless the subject amendment requires the vote of
holders of only one class of

                                      4
<PAGE>

Certificates pursuant to the Standard Terms, in which case 66-2/3% of
the Certificate Principal Amount of such Class.

                  "Required Percentage-Direction of Trustee" shall be 66-2/3%
of the aggregate Voting Rights.

                  "Required Percentage-Remedies" shall be 66-2/3% of the
aggregate Voting Rights.

                  "Required Percentage-Removal" shall be 66-2/3% of the
aggregate Voting Rights.

                  "Required Rating" shall mean, in the case of Moody's, the
rating assigned to the Underlying Securities by Moody's as of the Closing
Date, and, in the case of S&P, the rating assigned to the Underlying
Securities by S&P as of the Closing Date.

                  "S&P" shall mean Standard & Poor's Ratings Services, a
division of The McGraw-Hill Companies, Inc.

                  "Series" shall mean Ford Motor Co. Debenture-Backed Series
2001-36.

                  "Trustee Fee" shall mean the amount paid to the Trustee by
the Depositor on the Closing Date.

                  "Trust Property" shall mean the Underlying Securities
described on Schedule I hereto and the Certificate Account.

                  "Underlying Securities" shall mean $33,000,000 aggregate
principal amount of 7.70% Debentures due May 15, 2097, issued by the
Underlying Securities Issuer, as set forth in Schedule I attached hereto
(subject to Section 3(d) hereof).

                  "Underlying Securities Issuer" shall mean Ford Motor Company.

                  "Underlying Securities Trustee" shall mean The Bank of
New York.

                  "Underwriters" shall mean Lehman Brothers Inc., an affiliate
of the Depositor, Prudential Securities Incorporated and J.J.B. Hilliard,
W.L. Lyons, Inc.

                  "Voting Rights" shall, in the entirety, be allocated among
all Class A-1 Certificateholders in proportion to the then unpaid principal
amounts of their respective Certificates. The Class A-2 Certificateholders
will have no Voting Rights.

                  "Warrant Agent" shall mean initially, U.S. Bank Trust
National Association.

                  "Warrant Agent Agreement" shall mean that certain Warrant
Agent Agreement, dated as of the date hereof, between the Depositor and U.S.
Bank Trust National Association, as Warrant Agent and as Trustee, as the same
may be amended from time to time.

                  "Warrant Holder" shall mean the holder of a Call Warrant.

                                      5
<PAGE>

(b)      The terms listed below are not applicable to this Series.

                           "Accounting Date"

                           "Administrative Fees"

                           "Advance"

                           "Allowable Expense Amounts"

                           "Basic Documents"

                           "Calculation Agent"

                           "Call Premium Percentage"

                           "Credit Support"

                           "Credit Support Instrument"

                           "Credit Support Provider"

                           "Cut-off Date"

                           "Eligible Expense"

                           "Eligible Investment"

                           "Exchange Rate Agent"

                           "Fixed Pass-Through Rate"

                           "Floating Pass-Through Rate"

                           "Guaranteed Investment Contract"

                           "Letter of Credit"

                           "Limited Guarantor"

                           "Limited Guaranty"

                           "Minimum Wire Denomination"

                           "Notional Amount"

                           "Pass-Through Rate"

                           "Place of Distribution"

                                      7
<PAGE>

                           "Purchase Price"

                           "Required Premium"

                           "Required Principal"

                           "Requisite Reserve Amount"

                           "Retained Interest"

                           "Sale Procedures"

                           "Sub-Administration Account"

                           "Sub-Administration Agreement"

                           "Sub-Administration Agent"

                           "Surety Bond"

                           "Swap Agreement"

                           "Swap Counterparty"

                           "Swap Distribution Amount"

                           "Swap Guarantee"

                           "Swap Guarantor"

                           "Swap Receipt Amount"

                           "Swap Termination Payment"

Section 3. Designation of Trust and Certificates. The Trust created hereby
shall be known as the "Corporate Backed Trust Certificates, Ford Motor Co.
Debenture-Backed Series 2001-36 Trust." The Certificates evidencing certain
undivided ownership interests therein shall be known as "Corporate Backed
Trust Certificates, Ford Motor Co. Debenture-Backed Series 2001-36." The
Certificates shall consist of the Class A-1 Certificates and the Class A-2
Certificates (together, the "Certificates"). The Trust is also issuing call
warrants with respect to the Certificates ("Call Warrants").

     (a) The Certificates shall be held through the Depository in book-entry
form and shall be substantially in the forms attached hereto as Exhibits A-1
and A-2. The Class A-1 Certificates shall be issued in denominations of $25.
The Class A-2 Certificates shall be issued in minimum notional denominations
of $1,000 and integral multiples of $1 in excess thereof. Except as provided
in the Standard Terms and in paragraph (d) in this Section, the Trust shall
not issue additional Certificates or incur any indebtedness.

                                      7
<PAGE>

     (b) The Class A-1 Certificates have an initial aggregate certificate
principal amount (the "Certificate Principal Amount") of $33,000,000. The
Class A-2 Certificates are interest-only Certificates, and have a notional
amount equal to the Certificate Principal Amount of the Class A-1
Certificates.

     (c) The holders of the Class A-1 Certificates will be entitled to receive
on each Distribution Date the interest, if any, received on the Underlying
Securities, to the extent necessary to pay interest at a rate of 7.55% per
annum on the outstanding Certificate Principal Amount of the Class A-1
Certificates. The holders of the Class A-2 Certificates will be entitled to
receive on each Distribution Date the interest, if any, received on the
Underlying Securities, to the extent necessary to pay interest at a rate of
0.15% per annum on the outstanding notional amount of the Class A-2
Certificates.

     (d) The Depositor may sell to the Trustee additional Underlying
Securities on any date hereafter upon at least 3 Business Days notice to the
Trustee and upon (i) satisfaction of the Rating Agency Condition and (ii)
delivery of an Opinion of Counsel to the effect that the sale of such
additional Underlying Securities will not materially increase the likelihood
that the Trust would fail to qualify as a grantor trust under the Code. Upon
such sale to the Trustee, the Trustee shall deposit such additional Underlying
Securities in the Certificate Account, and shall authenticate and deliver to
the Depositor, on its order, Class A-1 Certificates in a Certificate Principal
Amount, and Class A-2 Certificates in a notional amount, equal to the
principal amount of such additional Underlying Securities, and the Call
Warrants related thereto. Any such additional Class A-1 Certificates and Class
A-2 Certificates authenticated and delivered shall have the same terms and
rank pari passu with the corresponding classes of Certificates previously
issued in accordance with this Series Supplement.

     (e) As a condition precedent for transferring the Call Warrants, the
prospective transferee shall be required to deliver to the Trustee and the
Depositor an executed copy of the Investment Letter (set forth in Exhibit C
hereto).

     Section 4. Trust Certificates. The Trustee hereby acknowledges receipt,
on or prior to the Closing Date, of:

     (a) the Underlying Securities set forth on the Underlying Securities
Schedule; and

     (b) all documents required to be delivered to the Trustee pursuant to
Section 2.01 of the Standard Terms.

     Section 5. Distributions.

     (a) Except as otherwise provided in Section 3(c), on each applicable
Distribution Date, the Trustee shall apply Available Funds in the Certificate
Account as follows:

         (i)      The Trustee will pay the interest portion of Available
                  Funds (subject to Section 5(c) and Section 5(d) below):

                                      8
<PAGE>

                  (1)   first, to the Trustee, as reimbursement for any
                        Extraordinary Trust Expenses incurred by the Trustee in
                        accordance with Section 6(b) below and approved by
                        100% of the Certificateholders; and

                  (2)   second, to the holders of the Class A-1 Certificates
                        and to the holders of the Class A-2 Certificates,
                        interest accrued and unpaid on each such Class pro rata
                        in proportion to their entitlements thereto.

         (ii)     the Trustee will pay the principal portion of Available Funds:

                  (1)   first, to the Trustee, as reimbursement for any
                        remaining Extraordinary Trust Expenses incurred by the
                        Trustee in accordance with Section 6(b) below and
                        approved by 100% of the Certificateholders; and

                  (2)   second, to the holders of the Class A-1 Certificates,
                        the Certificate Principal Amount.

Any portion of the Available Funds (i) that does not constitute principal of,
or interest on, the Underlying Securities, (ii) that is is not received in
connection with a redemption, prepayment or liquidation of the Underlying
Securities or (iii) for which allocation by the Trustee is not otherwise
contemplated by this Series Supplement, shall be remitted by the Trustee to
the Depositor.

     (b) [Reserved].

     (c) Notwithstanding the foregoing, if the Underlying Securities are
redeemed, prepaid or liquidated in whole or in part for any reason other than
due to the occurrence of an Underlying Securities Event of Default, the
cessation of the Underlying Securities Issuer to file periodic reports as
required by the Exchange Act, or at their maturity, the Trustee shall apply
Available Funds in the manner described in Section 5(h) in the following order
of priority:

         (i)      first, to the Trustee, as reimbursement for any Extraordinary
                  Trust Expenses incurred by the  Trustee in accordance with
                  Section 6(b) below and approved by 100% of the
                  Certificateholders;

         (ii)     second, to the holders of the Class A-1 Certificates, an
                  amount equal to the outstanding principal amount thereof
                  plus accrued and unpaid interest thereon;

         (iii)    third, to the holders of the Class A-2 Certificates, the
                  present value of all amounts that would otherwise have been
                  payable on the Class A-2 Certificates for the period from
                  the date of such redemption or prepayment to the Final
                  Scheduled Distribution Date using a discount rate of 7.55%
                  per annum, assuming no delinquencies, deferrals,
                  redemptions or prepayments on the Underlying
                  Securities; and

                                      9
<PAGE>

         (iv)     fourth, any remainder to the holders of the Class
                  A-1 Certificates and the Class A-2 Certificates pro
                  rata in proportion to the ratio of the Class A-1
                  Allocation to the Class A-2 Allocation.

     (d) Notwithstanding the foregoing, if the Underlying Securities are
redeemed, prepaid or liquidated in whole or in part due to the occurrence of
an Underlying Securities Event of Default, the Trustee shall apply Available
Funds to the holders of the Class A-1 Certificates and the holders of the
Class A-2 Certificates in accordance with the ratio of the Class A-1
Allocation to the Class A-2 Allocation.

     (e) Unless otherwise instructed by holders of Certificates representing a
majority of the Voting Rights, thirty (30) days after giving notice pursuant
to Section 8 hereof, the Trustee shall sell the Underlying Securities pursuant
to Section 13 hereof and deposit the Liquidation Proceeds, if any, into the
Certificate Account for distribution not later than two (2) Business Days
after the receipt of immediately available funds in accordance with Section
5(d) hereof.

     (f) If the Trustee receives non-cash property in respect of the
Underlying Securities as a result of a payment default on the Underlying
Securities (including from the sale thereof), the Trustee will promptly give
notice to the Depository, or for any Certificates which are not then held by
DTC or any other depository, directly to the registered holders of the
Certificates then outstanding and unpaid. Such notice shall state that the
Trustee shall and the Trustee shall, not later than 30 days after the receipt
of such property, allocate and distribute such property to the holders of
Class A-1 Certificates and Class A-2 Certificates then outstanding and unpaid
(after deducting the costs incurred in connection therewith) in accordance
with Section 5(d) hereof. Property other than cash will be liquidated by the
Trustee, and the proceeds thereof distributed in cash, only to the extent
necessary to avoid distribution of fractional securities to
Certificateholders. In-kind distribution of such property to
Certificateholders will be deemed to reduce the principal amount of
Certificates on a dollar-for-dollar basis.

     (g) Subject to Section 9(f) hereof, to the extent Available Funds are
insufficient to make any required distributions due to any class of
Certificates on any Distribution Date, any shortfall will be carried over and
will be distributed on the next Distribution Date (or date referred to in
Section 5(h) hereof) on which sufficient funds are available to pay such
shortfall.

     (h) If a payment with respect to the Underlying Securities is made to the
Trustee (i) after the payment date of the Underlying Securities on which such
payment was due or (ii) after the Underlying Securities are redeemed, prepaid
or liquidated in whole or in part for any reason (including a Special Event)
other than due to the occurrence of an Event of Default or at their maturity,
then the Trustee will distribute any such amounts received on the next
occurring Business Day (a "Special Distribution Date") as if the funds had
constituted Available Funds on the Distribution Date immediately preceding
such Special Distribution Date; provided, however, that the Record Date for
such Special Distribution Date shall be five Business Days prior to the day on
which the related payment was received from the Underlying Securities.

     (i) Notwithstanding Section 3.12 of the Standard Terms, if the Underlying
Securities Issuer ceases to file periodic reports as required under the
Exchange Act, the Depositor shall within a reasonable time instruct the
Trustee to sell the Underlying Securities and distribute the

                                      10
<PAGE>

proceeds of such sale to the certificateholders in accordance with the
following order of priority: first, to the Trustee, as reimbursement for any
Extraordinary Trust Expenses incurred by the Trustee in accordance with
Section 6(b) below and approved by 100% of the Certificateholders; and second,
any remainder to the holders of the Class A-1 Certificates and the Class A-2
Certificates pro rata in proportion to the ratio of the Class A-1 Allocation
to the Class A-2 Allocation; provided, however, the Depositor shall not
instruct the Trustee to distribute or sell the Underlying Securities pursuant
to this clause unless the Underlying Securities Issuer has either (x) stated
in writing that it intends permanently to cease filing reports required under
the Exchange Act or (y) failed to file any required reports for one full
calendar year.

         Section 6.  Trustee's Fees.

     (a) As compensation for its services hereunder, the Trustee shall be
entitled to the Trustee Fee. The Trustee Fee shall be paid by the Depositor
and not from Trust Property. The Trustee shall bear all Ordinary Expenses.
Failure by the Depositor to pay such amount shall not entitle the Trustee to
any payment or reimbursement from the Trust, nor shall such failure release
the Trustee from the duties it is required to perform under the Trust
Agreement.

     (b) Extraordinary Expenses shall not be paid out of the Trust Property
unless all the holders of the Class A-1 Certificates and Class A-2
Certificates then outstanding have directed the Trustee to incur such
Extraordinary Expenses. The Trustee may incur other Extraordinary Expenses if
any lesser percentage of the Certificateholders requesting such action
pursuant hereto reimburse the Trustee for the cost thereof from their own
funds in advance. If Extraordinary Expenses are not approved unanimously as
set forth in the first sentence of this Section 6(b), such Extraordinary
Expenses shall not be an obligation of the Trust, and the Trustee shall not
file any claim against the Trust therefor notwithstanding failure of
Certificateholders to reimburse the Trustee.

         Section 7.  Optional Exchange; Optional Call.

     (a) On any Distribution Date, any holder of Class A-1 Certificates and
Class A-2 Certificates and the related Call Warrants, if Call Warrants related
to such Certificates are outstanding, may exchange such Certificates and, if
applicable, Call Warrants, for a distribution of Underlying Securities
representing the same percentage of the Underlying Securities as such
Certificates represent of all outstanding Certificates.

     (b) The following conditions shall apply to any Optional Exchange.

         (i)      A notice specifying the number of Certificates being
                  surrendered and the Optional Exchange Date shall be
                  delivered to the Trustee no less than 5 days (or such
                  shorter period acceptable to the Trustee) but not more than
                  30 days before the Optional Exchange Date.

         (ii)     Certificates and, if applicable, the Call Warrants, shall be
                  surrendered to the Trustee no later than 10:00 a.m.
                  (New York City time) on the Optional Exchange Date.

                                      11
<PAGE>

         (iii)    Class A-1 Certificates and Class A-2 Certificates
                  representing a like percentage of all Class A-1 Certificates
                  and Class A-2 Certificates shall be surrendered.

         (iv)     The Trustee shall have received an opinion of counsel stating
                  that the Optional Exchange would not affect the
                  characterization of the Trust as a "grantor trust" for
                  federal income tax purposes.

         (v)      If the Certificateholder is the Depositor or any Affiliate
                  of the Depositor, (1) the Trustee shall have received a
                  certification from the Certificateholder that any Certificates
                  being surrendered have been held for at least six months,
                  and (2) the Certificates being surrendered may represent no
                  more than 5% (or 25% in the case of Certificates acquired by
                  the Underwriters but never distributed to investors) of the
                  then outstanding Certificates.

         (vi)     The Trustee shall not be obligated to determine whether an
                  Optional Exchange complies with the applicable provisions
                  for exemption under Rule 3a-7 of the Investment Company Act
                  of 1940, as amended, or the rules or regulations promulgated
                  thereunder.

          (vii)    The provisions of Section 4.07 of the Standard Terms shall
                   not apply to an Optional Exchange pursuant to this Section
                   7(b). This Section 7(b) shall not provide any person with a
                   lien against, an interest in or a right to specific
                   performance with respect to the Underlying Securities.

     (c) Concurrently with the execution of this Series Supplement, the
Trustee, on behalf of the Trust, shall execute the Warrant Agent Agreement and
the Call Warrants, dated as of the date hereof and substantially in the form
of Exhibit B hereto, initially evidencing all of the Call Warrants. The
Trustee shall perform the Trust's obligations under the Warrant Agent
Agreement and the Call Warrants in accordance with their respective terms.

     (d) Call Warrants may be exercised by the Warrant Holder in whole or in
part on any Call Date. In addition to the conditions set forth in Section 1.1
of the Warrant Agent Agreement, the following conditions shall apply to any
Optional Call.

         (i)      An opinion of counsel to the Warrant Holder shall have been
                  delivered to the Rating Agencies, in form satisfactory to
                  the Rating Agencies, indicating that payment of the Call
                  Price shall not be recoverable as a preferential transfer or
                  fraudulent conveyance under the United States Bankruptcy
                  Code. Such opinion may contain customary assumptions and
                  qualifications.

         (ii)     The Warrant Holder shall have provided a certificate of
                  solvency to the Trustee.

         (iii)    Upon receipt of a Call Notice, the Trustee shall provide a
                  conditional call notice to the Depository not less than 3
                  Business Days prior to the Call Date.

         (iv)     Delivery of a Call Notice does not give rise to an
                  obligation on part of the Warrant Holder to pay the Call
                  Price. If, by 10:00 a.m. (New York City time) on the Call

                                      12
<PAGE>

                  Date, the Warrant Holder has not paid the Call Price, then
                  the Call Notice shall automatically expire and none of the
                  Warrant Holder, the Warrant Agent or the Trustee shall have
                  any obligation with respect to the Call Notice. The
                  expiration of a Call Notice shall in no way affect the
                  Warrant Holder's right to deliver a Call Notice at a later
                  date.

         (v)      Subject to receipt of the Call Price, the Trustee shall pay
                  the Call Price to the Certificateholders on the Call Date.
                  The Call Price for Class of Certificates in respect of
                  partial calls shall be allocated pro rata to the
                  Certificateholders of such Class.

         (vi)     The Trustee shall not consent to any amendment or
                  modification of this Agreement (including the Standard
                  Terms) which would alter the timing or amount of any payment
                  of the Call Price without the prior written consent of 100%
                  of the Warrant Holders.

         (vii)    The Trustee shall not be obligated to determine whether an
                  Optional Call complies with the applicable provisions for
                  exemption under Rule 3a-7 of the Investment Company Act of
                  1940, as amended, or the rules or regulations promulgated
                  thereunder.

     (e) This Section 7 shall not provide the Warrant Holder with a lien
against, an interest in or a right to specific performance with respect to the
Underlying Securities.

     (f) The Warrant Holder shall initially be the Depositor.

     Section 8. Notices of Events of Default.

     As promptly as practicable after, and in any event within 30 days after,
the occurrence of any Event of Default actually known to the Trustee, the
Trustee shall give notice of such Event of Default to the Depository, or, if
any Certificates are not then held by DTC or any other depository, directly to
the registered holders of such Certificates. However, except in the case of an
Event of Default relating to the payment of principal of or interest on any of
the Underlying Securities, the Trustee will be protected in withholding such
notice if in good faith it determines that the withholding of such notice is
in the interest of the Certificateholders.

     Section 9. Miscellaneous.

     (a) The provisions of Section 4.04, Advances, of the Standard Terms shall
not apply to the Ford Motor Co. Debenture-Backed Series 2001-36 Certificates.

     (b) The provisions of Section 4.07, Optional Exchange, of the Standard
Terms shall not apply to the Ford Motor Co. Debenture-Backed Series 2001-36
Certificates.

     (c) The Trustee shall simultaneously forward reports to
Certificateholders pursuant to Section 4.03 of the Standard Terms and to the
New York Stock Exchange.

     (d) Except as expressly provided herein, the Certificateholders shall not
be entitled to terminate the Trust or cause the sale or other disposition of
the Underlying Securities.

                                      13
<PAGE>

     (e) The provisions of Section 3.07(d) of the Standard Terms shall not
apply to the Ford Motor Co. Debenture-Backed Series 2001-36 Certificates.

     (f) If the Trustee has not received payment with respect to a Collection
Period on the Underlying Securities on or prior to the related Distribution
Date, such distribution will be made promptly upon receipt of such payment. No
additional amounts shall accrue on the Certificates or be owed to
Certificateholders as a result of such delay; provided, however, that any
additional interest owed and paid by the Underlying Securities Issuer as a
result of such delay shall be paid to the Class A-1 Certificateholders pro
rata in proportion to their respective entitlements to interest.

     (g) The outstanding principal balance of the Certificates shall not be
reduced by the amount of any Realized Losses (as defined in the Standard
Terms).

     (h) The Trust may not engage in any business or activities other than in
connection with, or relating to, the holding, protecting and preserving of the
Trust Property and the issuance of the Certificates, and other than those
required or authorized by the Trust Agreement or incidental and necessary to
accomplish such activities. The Trust may not issue or sell any certificates
or other obligations other than the Certificates or otherwise incur, assume or
guarantee any indebtedness for money borrowed. Notwithstanding Section 3.05 of
the Standard Terms, funds on deposit in the Certificate Account shall not be
invested.

     (i) Notwithstanding anything in the Trust Agreement to the contrary, the
Trustee may be removed upon 60 days prior written notice delivered by the
holders of Class A-1 Certificates and Class A-2 Certificates representing the
Required Percentage-Removal.

     (j) In the event that the Internal Revenue Service challenges the
characterization of the Trust as a grantor trust, the Trustee shall then file
such forms as the Depositor may specify to establish the Trust's election
pursuant to Section 761 of the Code to exclude the Trust from the application
of Subchapter K of the Code and is hereby empowered to execute such forms on
behalf of the Certificateholders.

     (k) Notwithstanding anything in the Standard Terms to the contrary, the
Trustee, upon written direction by the Depositor, will execute the
Certificates.

     (l) In relation to Section 7.01(f) of the Standard Terms, any periodic
reports filed by the Trustee pursuant to the Exchange Act in accordance with
the customary practices of the Depositor, need not contain any independent
reports.

     (m) Notwithstanding anything in the Trust Agreement to the contrary, the
Trustee will have no recourse to the Underlying Securities.

     (n) [Reserved].

     (o) The Trust will not merge or consolidate with any other entity without
confirmation from each Rating Agency that such merger or consolidation will
not result in the qualification, reduction or withdrawal of its then-current
rating on the Certificates.

                                      14
<PAGE>

     (p) Notices. All directions, demands and notices hereunder or under the
Standard Terms shall be in writing and shall be delivered as set forth below
(unless written notice is otherwise provided to the Trustee).

                  If to the Depositor, to:

                           Lehman ABS Corporation
                           101 Hudson Street
                           Jersey City, New Jersey 07302
                           Attention:  Structured Credit Trading
                           Telephone:  (201) 524-2000
                           Facsimile:   (201) 508-4621

                  If to the Trustee, to:

                           U.S. Bank Trust National Association
                           100 Wall Street
                           New York, New York  10005
                           Attention:  Corporate Trust
                           Telephone:  (212) 361-2500
                           Facsimile:  (212) 809-5459

                  If to the Rating Agencies, to:

                           Moody's Investors Service, Inc.
                           99 Church Street 21W
                           New York, New York  10007
                           Attention:  CBO/CLO Monitoring Department
                           Telephone:  (212) 553-1494
                           Facsimile:  (212) 553-0355

         and to:

                           Standard & Poor's Ratings Services
                           55 Water Street
                           New York, New York  10041
                           Attention:  Structured Finance Surveillance Group
                           Telephone:  (212) 438-2482
                           Facsimile:  (212) 438-2664

                  If to the New York Stock Exchange, to:

                           New York Stock Exchange, Inc.
                           20 Broad Street
                           New York, New York  10005
                           Attention:  Vincent Patten
                           Telephone:  (212) 656-5276
                           Facsimile:  (212) 656-5780

                                      15
<PAGE>

     Section 10. Governing Law. THIS SERIES SUPPLEMENT AND THE TRANSACTIONS
DESCRIBED HEREIN SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE
LAWS OF THE STATE OF NEW YORK APPLICABLE TO CONTRACTS MADE AND PERFORMED
WITHIN THE STATE OF NEW YORK, WITHOUT GIVING EFFECT TO THE CHOICE OF LAWS
PROVISIONS THEREOF.

     Section 11. Counterparts. This Series Supplement may be executed in any
number of counterparts, each of which shall be deemed to be an original, and
all such counterparts shall constitute but one and the same instrument.

     Section 12. Termination of the Trust. The Trust shall terminate upon the
earliest to occur of (i) the payment in full at maturity or sale by the Trust
after a payment default or an acceleration or other early payment of the
Underlying Securities and the distribution in full of all amounts due to the
Class A-1 Certificateholders and Class A-2 Certificateholders; (ii) the
exercise of all outstanding Call Warrants by the Warrant Holder; (iii) the
Final Scheduled Distribution Date and (iv) the expiration of 21 years from the
death of the last survivor of the descendants of Joseph P. Kennedy, the late
Ambassador of the United States to the Court of St. James, living on the date
hereof.

     Section 13. Sale of Underlying Securities; Optional Exchange. In the
event of a sale of the Underlying Securities pursuant to Section 5(e) hereof
or pursuant to the instructions of the Warrant Agent under Section 1.2 of the
Warrant Agent Agreement, the Trustee shall solicit bids for the sale of the
Underlying Securities with settlement thereof on or before the third (3rd)
Business Day after such sale from three leading dealers in the relevant
market. Any of the following dealers (or their successors) shall be deemed to
qualify as leading dealers: (1) Credit Suisse First Boston Corporation, (2)
Goldman, Sachs & Co., (3) Merrill Lynch, Pierce, Fenner & Smith Incorporated,
(4) UBS Warburg LLC, (5) Salomon Smith Barney Inc., and (6) except in the case
of a sale related to the exercise of Call Warrants by the Depositor or any
Affiliate thereof, Lehman Brothers Inc. The Trustee shall not be responsible
for the failure to obtain a bid so long as it has made reasonable efforts to
obtain bids. If a bid for the sale of the Underlying Securities has been
accepted by the Trustee but the sale has failed to settle on the proposed
settlement date, the Trustee shall request new bids from such leading dealers
to the Class A-1 and Class A-2 Certificateholders. In the event of an Optional
Exchange, the Trustee shall only deliver the Underlying Securities to the
purchaser of such Underlying Securities or sell the Underlying Securities
pursuant to this Section 13, as the case may be, against payment in same day
funds deposited into the Certificate Account.

     Section 14. Amendments. Notwithstanding anything in the Trust Agreement
to the contrary, in addition to the other restrictions on modification and
amendment contained therein, the Trustee shall not enter into any amendment or
modification of the Trust Agreement which would adversely affect in any
material respect the interests of the holders of any class of Certificates
without the consent of the holders of 100% of such class of Certificates;
provided, however, that no such amendment or modification will be permitted
which would alter the status of the Trust as a grantor trust for federal
income tax purposes. Further, no amendment shall be permitted which would
adversely affect in any material respect the interests of any class of
Certificateholders without confirmation by each Rating Agency that such
amendment will not result in a downgrading or withdrawal of its rating of such
Class of Certificates.

                                      16
<PAGE>

     Section 15. Voting of Underlying Securities, Modification of Indenture.

     (a) The Trustee, as holder of the Underlying Securities, has the right to
vote and give consents and waivers in respect of the Underlying Securities as
permitted by the Depository and except as otherwise limited by the Trust
Agreement. In the event that the Trustee receives a request from the
Depository, the Underlying Securities Trustee or the Underlying Securities
Issuer for its consent to any amendment, modification or waiver of the
Underlying Securities, the Indenture or any other document thereunder or
relating thereto, or receives any other solicitation for any action with
respect to the Underlying Securities, the Trustee shall mail a notice of such
proposed amendment, modification, waiver or solicitation to each
Certificateholder of record as of such date. The Trustee shall request
instructions from the Certificateholders as to whether or not to consent to or
vote to accept such amendment, modification, waiver or solicitation. The
Trustee shall consent or vote, or refrain from consenting or voting, in the
same proportion (based on the relative outstanding principal balances of the
Class A-1 Certificates) as the Certificates of the Trust were actually voted
or not voted by the Certificateholders thereof as of a date determined by the
Trustee prior to the date on which such consent or vote is required; provided,
however, that, notwithstanding anything in the Trust Agreement to the
contrary, the Trustee shall at no time vote on or consent to any matter (i)
unless such vote or consent would not (based on an opinion of counsel) alter
the status of the Trust as a grantor trust for federal income tax purposes or
result in the imposition of tax upon the Certificateholders, (ii) which would
alter the timing or amount of any payment on the Underlying Securities,
including, without limitation, any demand to accelerate the Underlying
Securities, except in the event of a default under the Underlying Securities
or an event which with the passage of time would become an event of default
under the Underlying Securities and with the unanimous consent of all
outstanding Class A-1 Certificateholders and the Class A-2 Certificateholders,
or (iii) which would result in the exchange or substitution of any of the
outstanding Underlying Securities pursuant to a plan for the refunding or
refinancing of such Underlying Securities except in the event of a default
under the Indenture and only with the consent of Certificateholders
representing 100% of the Class A-1 Certificates and 100% of the Class A-2
Certificates. The Trustee shall have no liability for any failure to act
resulting from Certificateholders' late return of, or failure to return,
directions requested by the Trustee from the Certificateholders.

     (b) In the event that an offer is made by the Underlying Securities
Issuer to issue new obligations in exchange and substitution for any of the
Underlying Securities, pursuant to a plan for the refunding or refinancing of
the outstanding Underlying Securities or any other offer is made for the
Underlying Securities, the Trustee shall notify the Class A-1
Certificateholders and Class A-2 Certificateholders of such offer promptly.
The Trustee must reject any such offer unless the Trustee is directed by the
affirmative vote of the holders of 100% of the Class A-1 Certificates and
Class A-2 Certificates to accept such offer and the Trustee has received the
tax opinion described above. If pursuant to the preceding sentence, the
Trustee accepts any such offer the Trustee shall promptly notify the Rating
Agencies.

     (c) If an event of default under the Indenture occurs and is continuing,
and if directed by a majority of the outstanding Class A-1 Certificateholders
and Class A-2 Certificateholders, the Trustee shall vote the Underlying
Securities in favor of directing, or take such other action as may be
appropriate to direct, the Underlying Securities Trustee to declare the unpaid
principal

                                      17
<PAGE>

amount of the Underlying Securities and any accrued and unpaid
interest thereon to be due and payable.

     Section 16. Additional Depositor Representation. It is the express intent
of the parties hereto that the conveyance of the Underlying Securities by the
Depositor to the Trustee be, and be construed as, a sale of the Underlying
Securities by the Depositor and not a pledge of any Underlying Securities by
the Depositor to secure a debt or other obligation of the Depositor. In the
event that, notwithstanding the aforementioned intent of the parties, any
Underlying Securities are held to be property of the Depositor, then, it is
the express intent of the parties that such conveyance be deemed a pledge of
such Underlying Securities by the Depositor to the Trustee to secure a debt or
other obligation of the Depositor, pursuant to Section 10.07 of the Standard
Terms. In connection with any such grant of a security interest in the
Underlying Securities, Depositor hereby represents and warrants to Trustee as
follows:

         (i)       In the event the Underlying Securities are held to be
                   property of the Depositor, then the Trust Agreement creates
                   a valid and continuing security interest (as defined in the
                   applicable Uniform Commercial Code) in the Underlying
                   Securities in favor of the Trustee which security interest
                   is prior to all other liens, and is enforceable as such as
                   against creditors of, and purchasers from, the Depositor.

         (ii)      The Underlying Securities have been credited to a trust
                   account (the "Securities Account") of the Trustee, or its
                   authorized agent, in accordance with Section 2.01 of the
                   Standard Terms. The Trustee, as securities intermediary for
                   the Securities Account, has agreed to treat the Underlying
                   Securities as "financial assets" within the meaning of the
                   Uniform Commercial Code.

         (iii)     Immediately prior to the transfer of the Underlying
                   Securities to the Trust, Depositor owned and had good and
                   marketable title to the Underlying Securities free and
                   clear of any lien, claim or encumbrance of any Person.

         (iv)      Depositor has received all consents and approvals required
                   by the terms of the Underlying Securities to the transfer
                   to the Trustee of its interest and rights in the Underlying
                   Securities as contemplated by the Trust Agreement.

         (v)       Depositor has taken all steps necessary to cause the
                   Trustee, as securities intermediary for the Securities
                   Account, to identify on its records that the Trustee, as
                   the trustee of the Trust, is the Person having a security
                   entitlement against the securities intermediary in the
                   Securities Account.

         (vi)      Depositor has not assigned, pledged, sold, granted a
                   security interest in or otherwise conveyed any interest in
                   the Underlying Securities (or, if any such interest has
                   been assigned, pledged or otherwise encumbered, it has been
                   released). Depositor has not authorized the filing of and
                   is not aware of any financing statements against Depositor
                   that includes a description of the Underlying Securities.
                   Depositor is not aware of any judgment or tax lien filings
                   against Depositor

                                      18
<PAGE>

         (vii)     The Securities Account is not in the name of any Person
                   other than the Trust. Depositor has not consented to the
                   compliance by the Trustee, as securities intermediary, with
                   entitlement orders of any Person other than the Trustee, as
                   trustee of the Trust.

                                      19

<PAGE>

                  IN WITNESS WHEREOF, the parties hereto have caused this
Series Supplement to be duly executed by their respective authorized officers
as of the date first written above.

                                   LEHMAN ABS CORPORATION,
                                       as Depositor

                                   By:  /s/ Rene Canezin
                                        --------------------------------------
                                        Name:   Rene Canezin
                                        Title:  Senior Vice President

                                   U.S. BANK TRUST NATIONAL ASSOCIATION,
                                      not in its individual capacity
                                      but solely as Trustee on behalf
                                      of the Corporate Backed Trust Certificates
                                      Ford Motor Co. Debenture-Backed
                                      Series 2001-36 Trust

                                   By:  /s/ David J. Kolibachuk
                                        ---------------------------------------
                                        Name:   David J. Kolibachuk
                                        Title:  Vice President and
                                                Assistant Secretary

                                      20

<PAGE>

                                                                    SCHEDULE I

                FORD MOTOR CO. DEBENTURE-BACKED SERIES 2001-36

                        UNDERLYING SECURITIES SCHEDULE

Underlying Securities:             7.70% Debentures due May 15, 2097.

Issuer:                            Ford Motor Company.

CUSIP Number:                      345370BS8.

Principal Amount Deposited:        $33,000,000.

Original Issue Date:               May 8, 1997.

Principal Amount of
Underlying Securities
Originally Issued:                 $500,000,000.

Maturity Date:                     May 15, 2097.
                                   The Debentures are subject to
                                   Ford's right to shorten the
                                   maturity of the Debentures,
                                   and/or to redeem the Debentures,
                                   if a Tax Event occurs.

Interest Rate:                     7.70% per annum.

Interest Payment Dates:            May 15th and November 15th

Record Dates:                      April 30th and August 31st

                                     I-1

<PAGE>
                                                                    SCHEDULE II

                      CLASS A-2 CERTIFICATE CALL SCHEDULE

           Distribution Date                                          Value

                5/15/2002                                           $494,953
               10/15/2002                                           $494,951
                5/15/2003                                           $494,949
               10/15/2003                                           $494,946
                5/15/2004                                           $494,943
               10/15/2004                                           $494,940
                5/15/2005                                           $494,938
               10/15/2005                                           $494,934
                5/15/2006                                           $494,931
               10/15/2006                                           $494,928
                5/15/2007                                           $494,924
               10/15/2007                                           $494,920
                5/15/2008                                           $494,916
               10/15/2008                                           $494,912
                5/15/2009                                           $494,908
               10/15/2009                                           $494,903
                5/15/2010                                           $494,898
               10/15/2010                                           $494,893
                5/15/2011                                           $494,888
               10/15/2011                                           $494,882
                5/15/2012                                           $494,876
               10/15/2012                                           $494,870
                5/15/2013                                           $494,864
               10/15/2013                                           $494,857
                5/15/2014                                           $494,850
               10/15/2014                                           $494,842
                5/15/2015                                           $494,834
               10/15/2015                                           $494,826
                5/15/2016                                           $494,817
               10/15/2016                                           $494,808
                5/15/2017                                           $494,798
               10/15/2017                                           $494,788
                5/15/2018                                           $494,778
               10/15/2018                                           $494,767
                5/15/2019                                           $494,755
               10/15/2019                                           $494,743
                5/15/2020                                           $494,730
               10/15/2020                                           $494,716
                5/15/2021                                           $494,702
               10/15/2021                                           $494,687
                5/15/2022                                           $494,672
               10/15/2022                                           $494,655
                5/15/2023                                           $494,638
               10/15/2023                                           $494,620
                5/15/2024                                           $494,601
               10/15/2024                                           $494,581

                                      II-1
<PAGE>

            Distribution Date                                       Value

                5/15/2025                                           $494,560
               10/15/2025                                           $494,538
                5/15/2026                                           $494,515
               10/15/2026                                           $494,491
                5/15/2027                                           $494,465
               10/15/2027                                           $494,439
                5/15/2028                                           $494,411
               10/15/2028                                           $494,381
                5/15/2029                                           $494,350
               10/15/2029                                           $494,318
                5/15/2030                                           $494,283
               10/15/2030                                           $494,248
                5/15/2031                                           $494,210
               10/15/2031                                           $494,171
                5/15/2032                                           $494,129
               10/15/2032                                           $494,085
                5/15/2033                                           $494,040
               10/15/2033                                           $493,992
                5/15/2034                                           $493,941
               10/15/2034                                           $493,888
                5/15/2035                                           $493,833
               10/15/2035                                           $493,774
                5/15/2036                                           $493,713
               10/15/2036                                           $493,649
                5/15/2037                                           $493,581
               10/15/2037                                           $493,510
                5/15/2038                                           $493,436
               10/15/2038                                           $493,358
                5/15/2039                                           $493,276
               10/15/2039                                           $493,189
                5/15/2040                                           $493,099
               10/15/2040                                           $493,004
                5/15/2041                                           $492,904
               10/15/2041                                           $492,799
                5/15/2042                                           $492,689
               10/15/2042                                           $492,574
                5/15/2043                                           $492,452
               10/15/2043                                           $492,325
                5/15/2044                                           $492,191
               10/15/2044                                           $492,051
                5/15/2045                                           $491,903
               10/15/2045                                           $491,748
                5/15/2046                                           $491,586
               10/15/2046                                           $491,415
                5/15/2047                                           $491,236
               10/15/2047                                           $491,048
                5/15/2048                                           $490,850
               10/15/2048                                           $490,642
                5/15/2049                                           $490,425
               10/15/2050                                           $490,196

                                      II-2
<PAGE>

            Distribution Date                                       Value

                5/15/2050                                           $489,956
               10/15/2050                                           $489,703
                5/15/2051                                           $489,439
               10/15/2051                                           $489,160
                5/15/2052                                           $488,868
               10/15/2052                                           $488,562
                5/15/2053                                           $488,240
               10/15/2053                                           $487,902
                5/15/2054                                           $487,547
               10/15/2054                                           $487,174
                5/15/2055                                           $486,783
               10/15/2055                                           $486,372
                5/15/2056                                           $485,941
               10/15/2056                                           $485,488
                5/15/2057                                           $485,012
               10/15/2057                                           $484,513
                5/15/2058                                           $483,989
               10/15/2058                                           $483,438
                5/15/2059                                           $482,860
               10/15/2059                                           $482,253
                5/15/2060                                           $481,616
               10/15/2060                                           $480,946
                5/15/2061                                           $480,244
               10/15/2061                                           $479,506
                5/15/2062                                           $478,731
               10/15/2062                                           $477,918
                5/15/2063                                           $477,064
               10/15/2063                                           $476,167
                5/15/2064                                           $475,225
               10/15/2064                                           $474,236
                5/15/2065                                           $473,198
               10/15/2065                                           $472,108
                5/15/2066                                           $470,964
               10/15/2066                                           $469,762
                5/15/2067                                           $468,500
               10/15/2067                                           $467,175
                5/15/2068                                           $465,784
               10/15/2068                                           $464,323
                5/15/2069                                           $462,789
               10/15/2069                                           $461,178
                5/15/2070                                           $459,487
               10/15/2070                                           $457,712
                5/15/2071                                           $455,847
               10/15/2071                                           $453,890
                5/15/2072                                           $451,834
               10/15/2072                                           $449,676
                5/15/2073                                           $447,410
               10/15/2073                                           $445,030
                5/15/2074                                           $442,532
               10/15/2074                                           $439,908

                                      II-3
<PAGE>

            Distribution Date                                       Value

                5/15/2075                                           $437,154
               10/15/2075                                           $434,261
                5/15/2076                                           $431,224
               10/15/2076                                           $428,036
                5/15/2077                                           $424,687
               10/15/2077                                           $421,172
                5/15/2078                                           $417,480
               10/15/2078                                           $413,604
                5/15/2079                                           $409,535
               10/15/2079                                           $405,261
                5/15/2080                                           $400,774
               10/15/2080                                           $396,063
                5/15/2081                                           $391,116
               10/15/2081                                           $385,922
                5/15/2082                                           $380,468
               10/15/2082                                           $374,742
                5/15/2083                                           $368,729
               10/15/2083                                           $362,415
                5/15/2084                                           $355,786
               10/15/2084                                           $348,825
                5/15/2085                                           $341,516
               10/15/2085                                           $333,842
                5/15/2086                                           $325,784
               10/15/2086                                           $317,324
                5/15/2087                                           $308,440
               10/15/2087                                           $299,112
                5/15/2088                                           $289,317
               10/15/2088                                           $279,033
                5/15/2089                                           $268,235
               10/15/2089                                           $256,897
                5/15/2090                                           $244,991
               10/15/2090                                           $232,491
                5/15/2091                                           $219,365
               10/15/2091                                           $205,584
                5/15/2092                                           $191,113
               10/15/2092                                           $175,919
                5/15/2093                                           $159,965
               10/15/2093                                           $143,213
                5/15/2094                                           $125,623
               10/15/2094                                           $107,155
                5/15/2095                                            $87,762
               10/15/2095                                            $67,400
                5/15/2096                                            $46,020
               10/15/2096                                            $23,571
                5/15/2097                                              $0

                                     II-4
<PAGE>

                                  EXHIBIT A-1
                      FORM OF TRUST CERTIFICATE CLASS A-1

                                    A-1-1
<PAGE>

                                  EXHIBIT A-2
                      FORM OF TRUST CERTIFICATE CLASS A-2

                                    A-2-1

<PAGE>

                                   EXHIBIT B
                        FORM OF WARRANT AGENT AGREEMENT

                                     B-1

<PAGE>

                                   EXHIBIT C

                           FORM OF INVESTMENT LETTER

                         QUALIFIED INSTITUTIONAL BUYER

                                                    Dated:     [_______________]

U.S. Bank Trust National Association,
100 Wall Street
New York, New York 10005

Lehman Brothers Inc.
  as initial Warrant Holder
101 Hudson Street
Jersey City, New Jersey 07302

Lehman ABS Corporation
101 Hudson Street
Jersey City, New Jersey 07302

         Ladies and Gentlemen:

         In connection with our proposed purchase of ___________ Call Warrants
(the "Call Warrants") representing an interest in the Corporate Backed Trust
Certificates, Ford Motor Co. Debenture-Backed Series 2001-36 Trust (the
"Trust"), the investor on whose behalf the undersigned is executing this
letter (the "Purchaser") confirms that:

         (1) Reference is made to the Prospectus Supplement, dated November 6,
2001 (the "Prospectus Supplement"), with respect to the Certificates to which
the Call Warrants relate. Capitalized terms used herein that are not otherwise
defined shall have the meanings ascribed thereto in the Prospectus Supplement.
The Purchaser has received a copy of the Prospectus Supplement and such other
information as the Purchaser deems necessary in order to make its investment
decision and the Purchaser has been provided the opportunity to ask questions
of, and receive answers from, the Depositor and the Underwriters, concerning
the terms and conditions of the Call Warrants. The Purchaser has received and
understands the above, and understands that substantial risks are involved in
an investment in the Call Warrants. The Purchaser represents that in making
its investment decision to acquire the Call Warrants, the Purchaser has not
relied on representations, warranties, opinions, projections, financial or
other information or analysis, if any, supplied to it by any person, including
you, the Depositor or the Trustee or any of your or their affiliates, except
as expressly contained in the Prospectus Supplement and in the other written
information, if any, discussed above. The Purchaser has such knowledge and
experience in financial and business matters as to be capable of evaluating
the merits and risks of an investment in the Call Warrants, and the Purchaser
is able to bear the substantial economic risks of such an investment. The
Purchaser has relied upon its own tax, legal and financial advisors in
connection with its decision to purchase the Call Warrants.

                                     C-1

<PAGE>

         (2) The Purchaser is (A) a "Qualified Institutional Buyer" (as
defined in Rule 144A under the Securities Act of 1933, as amended (the "1933
Act")) and (B) acquiring the Call Warrants for its own account or for the
account of an investor of the type described in clause (A) above as to each of
which the Purchaser exercises sole investment discretion. The Purchaser is
purchasing the Call Warrants for investment purposes and not with a view to,
or for, the offer or sale in connection with, a public distribution or in any
other manner that would violate the 1933 Act or the securities or blue sky
laws of any state.

         (3) The Purchaser understands that the Call Warrants have not been
and will not be registered under the 1933 Act or under the securities or blue
sky laws of any state, and that (i) if it decides to resell, pledge or
otherwise transfer any Call Warrant, such Call Warrant may be resold, pledged
or transferred without registration only to an entity that has delivered to
the Depositor and the Trustee a certification that it is a Qualified
Institutional Buyer that purchases (1) for its own account or (2) for the
account of such a Qualified Institutional Buyer, that is, in either case,
aware that the resale, pledge or transfer is being made in reliance on said
Rule 144A and (ii) it will, and each subsequent holder will be required to,
notify any purchaser of any Call Warrant from it of the resale restrictions
referred to in clause (i) above.

         (4) The Purchaser understands that each of the Call Warrants will
bear a legend to the following effect, unless otherwise agreed by the
Depositor and the Trustee:

         "THIS CALL WARRANT HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT
OF 1933, AS AMENDED, AND MAY NOT BE TRANSFERRED, SOLD OR OTHERWISE DISPOSED OF
EXCEPT WHILE A REGISTRATION UNDER SUCH ACT IS IN EFFECT OR PURSUANT TO AN
EXEMPTION THEREFROM UNDER SUCH ACT. THIS CALL WARRANT REPRESENTED HEREBY MAY
BE TRANSFERRED ONLY IN COMPLIANCE WITH THE CONDITIONS SPECIFIED IN THIS CALL
WARRANT."

         (5) The Purchaser understands that no subsequent transfer of the Call
Warrants is permitted unless it causes its proposed transferee to provide to
the Depositor and the initial Warrant Holder a letter substantially in the
form of Exhibit C to the Series Supplement, as applicable, or such other
written statement as the Depositor shall prescribe.

         (6) The Purchaser agrees that if at some time in the future it wishes
to transfer or exchange any of the Call Warrants, it will not transfer or
exchange any of the Call Warrants unless such transfer or exchange is in
accordance with Section 3.2 of the Warrant Agent Agreement. The Purchaser
understands that any purported transfer of the Call Warrants (or any interest
therein) in contravention of any of the restrictions and conditions in the
Trust Agreement, as applicable, shall be void, and the purported transferee in
such transfer shall not be recognized by the Trust or any other Person as a
Warrant Holder.

                                     C-2
<PAGE>

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

                                   Very truly yours,

                                   By:
                                      -----------------------------------------
                                   Name:
                                   Title:

                                   [Medallion Stamp to be affixed here]

                                     C-3
<PAGE>

                       Exhibit A-1 CLASS A-1 CERTIFICATE

NUMBER 1                                          1,320,000 $25 PAR CERTIFICATES
                                                           CUSIP NO. 21988G 55 1

                      SEE REVERSE FOR CERTAIN DEFINITIONS

                  UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED
REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION
("DTC"), TO THE ISSUER OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR
PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR
IN SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND
ANY PAYMENT IS MADE TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY
AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF
FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE
REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

                  THIS CERTIFICATE REPRESENTS A PROPORTIONATE UNDIVIDED
BENEFICIAL OWNERSHIP INTEREST IN THE TRUST AND DOES NOT EVIDENCE AN OBLIGATION
OF, OR AN INTEREST IN, AND IS NOT GUARANTEED BY THE DEPOSITOR OR THE TRUSTEE
OR ANY OF THEIR RESPECTIVE AFFILIATES. NEITHER THIS CERTIFICATE OR THE TRUST
ASSETS ARE INSURED OR GUARANTEED BY ANY GOVERNMENTAL AGENCY OR ANY OTHER
PERSON.

<PAGE>

                            LEHMAN ABS CORPORATION

                               1,320,000 $25 PAR

                     CORPORATE BACKED TRUST CERTIFICATES,

                FORD MOTOR CO. DEBENTURE-BACKED SERIES 2001-36

7.55% INTEREST RATE

     evidencing a proportionate undivided beneficial ownership interest in the
Trust, as defined below, the property of which consists principally of
$33,000,000 aggregate principal amount of 7.70% Debentures due May 15, 2097,
issued by Ford Motor Company (the "Underlying Securities Issuer") and all
payments received thereon (the "Trust Property"), deposited in trust by Lehman
ABS Corporation (the "Depositor").

     THIS CERTIFIES THAT CEDE & CO. is the registered owner of $33,000,000
DOLLARS nonassessable, fully-paid, proportionate undivided beneficial
ownership interest in the Corporate Backed Trust Certificates, Ford Motor Co.
Debenture-Backed Series 2001-36 Trust, formed by the Depositor.

<PAGE>

     The Trust was created pursuant to a Standard Terms for Trust Agreements,
dated as of January 16, 2001 (the "Standard Terms"), between the Depositor and
U.S. Bank Trust National Association, a national banking association, not in
its individual capacity but solely as Trustee (the "Trustee"), as supplemented
by the Series Supplement, Ford Motor Co. Debenture-Backed Series 2001-36,
dated as of November 15, 2001 (the "Series Supplement" and, together with the
Standard Terms, the "Trust Agreement"), between the Depositor and the Trustee.
This Certificate does not purport to summarize the Trust Agreement and
reference is hereby made to the Trust Agreement for information with respect
to the interests, rights, benefits, obligations, proceeds and duties evidenced
hereby and the rights, duties and obligations of the Trustee with respect
hereto. A copy of the Trust Agreement may be obtained from the Trustee by
written request sent to the Corporate Trust Office. Capitalized terms used but
not defined herein have the meanings assigned to them in the Trust Agreement.

     This Certificate is one of the duly authorized Certificates designated as
the "Corporate Backed Trust Certificates, Ford Motor Co. Debenture-Backed
Series 2001-36, Class A-1" (herein called the "Certificates"). This
Certificate is issued under and is subject to the terms, provisions and
conditions of the Trust Agreement, to which Trust Agreement the Holder of this
Certificate by virtue of the acceptance hereof assents and by which such
Holder is bound. The Trust Property consists of: (i) Underlying Securities
described in the Trust Agreement, and (ii) all payments on or collections in
respect of the Underlying Securities accrued on or after November 15, 2001
together with any proceeds thereof; and (iv) all funds from time to time
deposited with the Trustee relating to the Certificates, together with any and
all income, proceeds and payments with respect thereto; provided, however,
that any income from the investment of Trust funds in certain permitted
investments ("Eligible Investments") does not constitute Trust Property.

<PAGE>

     Subject to the terms and conditions of the Trust Agreement (including the
availability of funds for distributions) and until the obligation created by
the Trust Agreement shall have terminated in accordance therewith,
distributions will be made on each Distribution Date, to the Person in whose
name this Certificate is registered on the applicable Record Date, in an
amount equal to such Certificateholder's proportionate undivided beneficial
ownership interest in the amount required to be distributed to the Holders of
the Certificates on such Distribution Date. The Record Date applicable to any
Distribution Date is the close of business on the day immediately preceding
such Distribution Date (whether or not a Business Day). If a payment with
respect to the Underlying Securities is made to the Trustee after the date on
which such payment was due, then the Trustee will distribute any such amounts
received on the next occurring Business Day (a "Special Distribution Date").

     Each Certificateholder, by its acceptance of a Certificate, covenants and
agrees that such Certificateholder will not at any time institute against the
Trust, or join in any institution against the Trust of, any bankruptcy
proceedings under any United States Federal or state bankruptcy or similar law
in connection with any obligations relating to the Certificates or the Trust
Agreement.

     Distributions made on this Certificate will be made as provided in the
Trust Agreement by the Trustee by wire transfer in immediately available
funds, or check mailed to the Certificateholder of record in the Certificate
Register without the presentation or surrender of

<PAGE>

this Certificate or the making of any notation hereon, except that with
respect to Certificates registered on the Record Date in the name of the
nominee of the Clearing Agency (initially, such nominee shall be Cede & Co.),
payments will be made by wire transfer in immediately available funds to the
account designated by such nominee. Except as otherwise provided in the Trust
Agreement and notwithstanding the above, the final distribution on this
Certificate will be made after due notice by the Trustee of the pendency of
such distribution and only upon presentation and surrender of this Certificate
at the Corporate Trust Office or such other location as may be specified in
such notice.

     Reference is hereby made to the further provisions of this Certificate
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 or
on behalf of the Trustee, by manual signature, this Certificate shall not
entitle the Holder hereof to any benefit under the Trust Agreement or be valid
for any purpose.

     THIS CERTIFICATE SHALL BE CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE
STATE OF NEW YORK, WITHOUT REFERENCE TO ITS CONFLICT OF LAW PROVISIONS, AND
THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE HOLDER HEREOF SHALL BE DETERMINED
IN ACCORDANCE WITH SUCH LAWS.

<PAGE>

     IN WITNESS WHEREOF, the Trustee has caused this Certificate to be duly
executed as of the date set forth below.

                                  CORPORATE BACKED TRUST
                                  CERTIFICATES,
                                  FORD MOTOR CO. DEBENTURE-BACKED
                                  SERIES 2001-36 TRUST

                                  By: U.S. BANK TRUST NATIONAL
                                  ASSOCIATION
                                  not in its individual capacity but solely as
                                  Trustee,

                                  By:
                                     ------------------------------------------
                                     Authorized Signatory

Dated: November 15, 2001

                    TRUSTEE'S CERTIFICATE OF AUTHENTICATION

     This is one of the Corporate Backed Trust Certificates, Ford Motor Co.
Debenture-Backed Series 2001-36, described in the Trust Agreement referred to
herein.

U.S. BANK TRUST NATIONAL ASSOCIATION
not in its individual capacity but solely as
Trustee,

By:
   ---------------------------------
          Authorized Signatory

<PAGE>

                           (REVERSE OF CERTIFICATE)

     The Certificates are limited in right of distribution to certain payments
and collections respecting the Underlying Securities, all as more specifically
set forth herein and in the Trust Agreement. The registered Holder hereof, by
its acceptance hereof, agrees that it will look solely to the Trust Property
(to the extent of its rights therein) for distributions hereunder.

     The Trust Agreement permits, with certain exceptions therein provided,
the amendment thereof and the modification of the rights and obligations of
the Depositor and the Trustee and the rights of the Certificateholders under
the Trust Agreement at any time by the Depositor and the Trustee with the
consent of the Holders of Class A-1 Certificates in the manner set forth in
the Series Supplement and the Standard Terms. Any such consent by the Holder
of this Certificate (or any predecessor Certificate) shall be conclusive and
binding on such Holder and upon all future Holders of this Certificate and of
any Certificate issued upon the transfer hereof or in exchange hereof or in
lieu hereof whether or not notation of such consent in made upon this
Certificate. The Trust Agreement also permits the amendment thereof, in
certain limited circumstances, without the consent of the Holders of any of
the Certificates.

     The Certificates are issuable in fully registered form only in
denominations of $25.

     As provided in the Trust Agreement and subject to certain limitations
therein set forth, the transfer of this Certificate is registerable in the
Certificate Register upon surrender of this Certificate for registration of
transfer at the offices or agencies of the Certificate Registrar maintained by
the Trustee in the Borough of Manhattan, the City of New York, duly endorsed
by or accompanied by an assignment in the form below and by such other
documents as required by the Trust Agreement, and thereupon one or more new
Certificates of the same class in authorized denominations evidencing the same
principal amount will be issued to the designated transferee or transferees.
The initial Certificate Registrar appointed under the Trust Agreement is U.S.
Bank Trust National Association.

     No service charge will be made for any registration of transfer or
exchange, but the Trustee may require exchange of a sum sufficient to cover
any tax or other governmental charge that may be imposed in connection with
any transfer or exchange of Certificates.

     The Depositor and the Trustee and any agent of the Depositor or the
Trustee may treat the Person in whose name this Certificate is registered as
the owner hereof for all purposes, and neither the Depositor, the Trustee, nor
any such agent shall be affected by any notice to the contrary.

     It is the intention of the parties to the Trust Agreement that the Trust
created thereunder shall constitute a fixed investment trust for federal
income tax purposes under Treasury Regulation Section 301.7701-4, and the
Certificateholder agrees to treat the Trust, any distributions therefrom and
its beneficial interest in the Certificates consistently with such
characterization.

     The Trust and the obligations of the Depositor and the Trustee created by
the Trust Agreement with respect to the Certificates shall terminate upon the
earliest to occur of (i) the payment in full at maturity or sale by the Trust
after a payment default or an acceleration or other

<PAGE>

early payment of the Underlying Securities and the distribution in full
of all amounts due to the Class A-1 Certificateholders and Class A-2
Certificateholders; (ii) the exercise of all outstanding Call Warrants by the
Warrant Holder; (iii) the Final Scheduled Distribution Date and (iv) the
expiration of 21 years from the death of the last survivor of the descendants
of Joseph P. Kennedy, the late Ambassador of the United States to the Court of
St. James, living on the date hereof.

     An employee benefit plan subject to the Employee Retirement Income
Security Act of 1974, as amended ("ERISA"), a plan described in Section
4975(e) of the Code, an entity whose underlying assets include plan assets by
reason of any such plan's investment in the entity, including an individual
retirement account or Keogh plan (any such, a "Plan") may purchase and hold
Certificates if the Plan can represent and warrant that its purchase and
holding of the Certificates would not be prohibited under ERISA or the Code.

<PAGE>

                                  ASSIGNMENT

FOR VALUE RECEIVED the undersigned hereby sells, assigns and transfers unto

PLEASE INSERT SOCIAL SECURITY
OR OTHER IDENTIFYING NUMBER
OF ASSIGNEE

(Please print or type name and address, including postal zip code, of
assignee) the within Certificate, and all rights thereunder, hereby
irrevocably constituting and appointing ______________________ Attorney to
transfer said Certificate on the books of the Certificate Register, with full
power of substitution in the premises.

Dated:

                                                                *

                                                   Signature Guaranteed:

                                                                *

*NOTICE: The signature to this assignment must correspond with the name as it
appears upon the face of the within Certificate in every particular, without
alteration, enlargement or any change whatever. Signatures must be guaranteed
by an "eligible guarantor institution" meeting the requirements of the
Certificate Registrar, which requirements include membership or participation
in the Security Transfer Agent Medallion Program ("STAMP") or such other
"signature guarantee program" as may be determined by the Certificate
Registrar in addition to, or in substitution for, STAMP, all in accordance
with the Securities Exchange Act of 1934, as amended.

<PAGE>

                       Exhibit A-2 CLASS A-2 CERTIFICATE

NUMBER 1                                                   CUSIP NO. 21988G BJ 4

                      SEE REVERSE FOR CERTAIN DEFINITIONS

                  THIS CLASS A-2 CERTIFICATE HAS NOT BEEN REGISTERED UNDER THE
SECURITIES ACT OF 1933, AS AMENDED, AND MAY NOT BE TRANSFERRED, SOLD OR
OTHERWISE DISPOSED OF EXCEPT WHILE A REGISTRATION UNDER SUCH ACT IS IN EFFECT
OR PURSUANT TO AN EXEMPTION THEREFROM UNDER SUCH ACT. THE CLASS A-2
CERTIFICATE REPRESENTED HEREBY MAY BE TRANSFERRED ONLY IN ACCORDANCE WITH THE
TERMS OF THE SERIES SUPPLEMENT.

                  THE NOTIONAL PRINCIPAL AMOUNT OF THIS CLASS A-2 CERTIFICATE
IS AS SET FORTH HEREIN. ACCORDINGLY, THE OUTSTANDING NOTIONAL PRINCIPAL AMOUNT
OF THIS CLASS A-2 CERTIFICATE AT ANY TIME MAY BE LESS THAN THE AMOUNT SHOWN ON
THE FACE HEREOF.

                  UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED
REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION
("DTC"), TO THE ISSUER OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR
PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR
IN SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND
ANY PAYMENT IS MADE TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY
AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF
FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE
REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

                  THIS CERTIFICATE REPRESENTS A PROPORTIONATE UNDIVIDED
BENEFICIAL OWNERSHIP INTEREST IN THE TRUST AND DOES NOT EVIDENCE AN OBLIGATION
OF, OR AN INTEREST IN, AND IS NOT GUARANTEED BY THE DEPOSITOR OR THE TRUSTEE
OR ANY OF THEIR RESPECTIVE AFFILIATES. NEITHER THIS CERTIFICATE OR THE TRUST
ASSETS ARE INSURED OR GUARANTEED BY ANY GOVERNMENTAL AGENCY OR ANY OTHER
PERSON.

<PAGE>

                            LEHMAN ABS CORPORATION

                     CORPORATE BACKED TRUST CERTIFICATES,

                FORD MOTOR CO. DEBENTURE-BACKED SERIES 2001-36

                     $33,000,000 NOTIONAL PRINCIPAL AMOUNT

0.15% INTEREST RATE

         evidencing a proportionate undivided beneficial ownership interest in
the Trust, as defined below, the property of which consists principally of
$33,000,000 aggregate notional principal amount of 7.70% Debentures due May
15, 2097, issued by Ford Motor Company and all payments received thereon (the
"Trust Property"), deposited in trust by Lehman ABS Corporation (the
"Depositor").

     THIS CERTIFIES THAT CEDE & CO. is the registered owner of an aggregate
principal amount of $33,000,000 notional principal amount nonassessable,
fully-paid, proportionate undivided beneficial ownership interest in the
Corporate Backed Trust Certificates, Ford Motor Co. Debenture-Backed Series
2001-36 Trust, formed by the Depositor.

     The Trust was created pursuant to a Standard Terms for Trust Agreements,
dated as of January 16, 2001 (the "Standard Terms"), between the Depositor and
U.S. Bank Trust National Association , a national banking association, not in
its individual capacity but solely as Trustee (the "Trustee"), as supplemented
by the Series Supplement, Ford Motor Co. Debenture-Backed Series 2001-36,
dated as of November 15, 2001 (the "Series Supplement" and, together with the
Standard Terms, the "Trust Agreement"), between the Depositor and the Trustee.
This Certificate does not purport to summarize the Trust Agreement and
reference is hereby made to the Trust Agreement for information with respect
to the interests, rights, benefits, obligations, proceeds and duties evidenced
hereby and the rights, duties and obligations of the Trustee with respect
hereto. A copy of the Trust Agreement may be obtained from the Trustee by
written request sent to the Corporate Trust Office. Capitalized terms used but
not defined herein have the meanings assigned to them in the Trust Agreement.

     This Certificate is one of the duly authorized Certificates designated as
the "Corporate Backed Trust Certificates, Ford Motor Co. Debenture-Backed
Series 2001-36, Class A-2" (herein called the "Certificates"). This
Certificate is issued under and is subject to the terms, provisions and
conditions of the Trust Agreement, to which Trust Agreement the Holder of this
Certificate by virtue of the acceptance hereof assents and by which such
Holder is bound. The Trust Property consists of: (i) Underlying Securities
described in the Trust Agreement, and (ii) all payments on or collections in
respect of the Underlying Securities accrued on or after November 15, 2001
together with any proceeds thereof; and (iv) all funds from time to time
deposited with the Trustee relating to the Certificates, together with any and
all income, proceeds and payments with respect thereto; provided, however,
that any income from the investment of Trust funds in certain permitted
investments ("Eligible Investments") does not constitute Trust Property.

<PAGE>

     Subject to the terms and conditions of the Trust Agreement (including the
availability of funds for distributions) and until the obligation created by
the Trust Agreement shall have terminated in accordance therewith,
distributions of interest will be made on this Certificate on each
Distribution Date.

     Subject to the terms and conditions of the Trust Agreement (including the
availability of funds for distributions) and until the obligation created by
the Trust Agreement shall have terminated in accordance therewith,
distributions will be made on each Distribution Date, to the Person in whose
name this Certificate is registered on the applicable Record Date, in an
amount equal to such Certificateholder's proportionate undivided beneficial
ownership interest in the amount required to be distributed to the Holders of
the Certificates on such Distribution Date. The Record Date applicable to any
Distribution Date is the close of business on the day immediately preceding
such Distribution Date (whether or not a Business Day). If a payment with
respect to the Underlying Securities is made to the Trustee after the date on
which such payment was due, then the Trustee will distribute any such amounts
received on the next occurring Business Day (a "Special Distribution Date").

     Each Certificateholder, by its acceptance of a Certificate, covenants and
agrees that such Certificateholder will not at any time institute against the
Trust, or join in any institution against the Trust of, any bankruptcy
proceedings under any United States Federal or state bankruptcy or similar law
in connection with any obligations relating to the Certificates or the Trust
Agreement.

     Distributions made on this Certificate will be made as provided in the
Trust Agreement by the Trustee by wire transfer in immediately available
funds, or check mailed to the Certificateholder of record in the Certificate
Register without the presentation or surrender of this Certificate or the
making of any notation hereon, except that with respect to Certificates
registered on the Record Date in the name of the nominee of the Clearing
Agency (initially, such nominee shall be Cede & Co.), payments will be made by
wire transfer in immediately available funds to the account designated by such
nominee. Except as otherwise provided in the Trust Agreement and
notwithstanding the above, the final distribution on this Certificate will be
made after due notice by the Trustee of the pendency of such distribution and
only upon presentation and surrender of this Certificate at the Corporate
Trust Office or such other location as may be specified in such notice.

     Reference is hereby made to the further provisions of this Certificate
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 or
on behalf of the Trustee, by manual signature, this Certificate shall not
entitle the Holder hereof to any benefit under the Trust Agreement or be valid
for any purpose.

     THIS CERTIFICATE SHALL BE CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE
STATE OF NEW YORK, WITHOUT REFERENCE TO ITS CONFLICT OF LAW PROVISIONS, AND
THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE HOLDER HEREOF SHALL BE DETERMINED
IN ACCORDANCE WITH SUCH LAWS.

<PAGE>

     IN WITNESS WHEREOF, the Trustee has caused this Certificate to be duly
executed as of the date set forth below.

                                  CORPORATE BACKED TRUST
                                  CERTIFICATES,
                                  FORD MOTOR CO. DEBENTURE-BACKED
                                  SERIES 2001-36 TRUST

                                  By: U.S. BANK TRUST NATIONAL
                                  ASSOCIATION
                                  not in its individual capacity but solely as
                                  Trustee,

                                  By:
                                     ------------------------------------------
                                       Authorized Signatory

Dated: November 15, 2001

                    TRUSTEE'S CERTIFICATE OF AUTHENTICATION

                  This is one of the Corporate Backed Trust Certificates, Ford
Motor Co. Debenture-Backed Series 2001-36, described in the Trust Agreement
referred to herein.

U.S. BANK TRUST NATIONAL ASSOCIATION
not in its individual capacity but solely as
Trustee,

By:
   ---------------------------------
    Authorized Signatory

<PAGE>

                           (REVERSE OF CERTIFICATE)

     The Certificates are limited in right of distribution to certain payments
and collections respecting the Underlying Securities, all as more specifically
set forth herein and in the Trust Agreement. The registered Holder hereof, by
its acceptance hereof, agrees that it will look solely to the Trust Property
(to the extent of its rights therein) for distributions hereunder.

     The Trust Agreement permits, with certain exceptions therein provided,
the amendment thereof and the modification of the rights and obligations of
the Depositor and the Trustee and the rights of the Certificateholders under
the Trust Agreement at any time by the Depositor and the Trustee with the
consent of the holders of Class A-2 Certificates in the manner set forth in
the Series Supplement and the Standard Terms. Any such consent by the Holder
of this Certificate (or any predecessor Certificate) shall be conclusive and
binding on such Holder and upon all future Holders of this Certificate and of
any Certificate issued upon the transfer hereof or in exchange hereof or in
lieu hereof whether or not notation of such consent is made upon this
Certificate. The Trust Agreement also permits the amendment thereof, in
certain limited circumstances, without the consent of the Holders of any of
the Certificates.

     The Certificates are issuable in fully registered form only in
denominations of $1,000 and in integral multiples of $1 in excess thereof.

     As provided in the Trust Agreement and subject to certain limitations
therein set forth, the transfer of this Certificate is registerable in the
Certificate Register upon surrender of this Certificate for registration of
transfer at the offices or agencies of the Certificate Registrar maintained by
the Trustee in the Borough of Manhattan, the City of New York, duly endorsed
by or accompanied by an assignment in the form below and by such other
documents as required by the Trust Agreement, and thereupon one or more new
Certificates of the same class in authorized denominations evidencing the same
notional principal amount will be issued to the designated transferee or
transferees. The initial Certificate Registrar appointed under the Trust
Agreement is U.S. Bank Trust National Association.

     No service charge will be made for any registration of transfer or
exchange, but the Trustee may require exchange of a sum sufficient to cover
any tax or other governmental charge that may be imposed in connection with
any transfer or exchange of Certificates.

     The Depositor and the Trustee and any agent of the Depositor or the
Trustee may treat the Person in whose name this Certificate is registered as
the owner hereof for all purposes, and neither the Depositor, the Trustee, nor
any such agent shall be affected by any notice to the contrary.

     It is the intention of the parties to the Trust Agreement that the Trust
created thereunder shall constitute a fixed investment trust for federal
income tax purposes under Treasury Regulation Section 301.7701-4, and the
Certificateholder agrees to treat the Trust, any distributions therefrom and
its beneficial interest in the Certificates consistently with such
characterization.

     The Trust and the obligations of the Depositor and the Trustee created by
the Trust Agreement with respect to the Certificates shall terminate upon the
earliest to occur of (i) the

<PAGE>

payment in full at maturity or sale by the Trust after a payment default on or
an acceleration or other early payment of the Underlying Securities and the
distribution in full of all amounts due to the Class A-1 and Class A-2
Certificateholders; (ii) the exercise of all outstanding Call Warrants by the
Warrant Holder; (iii) the Final Scheduled Distribution Date and (iv) the
expiration of 21 years from the death of the last survivor of the descendants
of Joseph P. Kennedy, the late Ambassador of the United States to the Court of
St. James, living on the date hereof.

     An employee benefit plan subject to the Employee Retirement Income
Security Act of 1974, as amended ("ERISA"), a plan described in Section
4975(e) of the Code, an entity whose underlying assets include plan assets by
reason of any such plan's investment in the entity, including an individual
retirement account or Keogh plan (any such, a "Plan") may purchase and hold
Certificates if the Plan can represent and warrant that its purchase and
holding of the Certificates would not be prohibited under ERISA or the Code.

<PAGE>

                                  ASSIGNMENT

     FOR VALUE RECEIVED the undersigned hereby sells, assigns and transfers
unto

PLEASE INSERT SOCIAL SECURITY
OR OTHER IDENTIFYING NUMBER
OF ASSIGNEE

     (Please print or type name and address, including postal zip code, of
assignee) the within Certificate, and all rights thereunder, hereby
irrevocably constituting and appointing _______________, ____________ Attorney
to transfer said Certificate on the books of the Certificate Register, with
full power of substitution in the premises.

Dated:

                                                        *
                                                    Signature Guaranteed:

                                                        *

*NOTICE: The signature to this assignment must correspond with the name as it
appears upon the face of the within Certificate in every particular, without
alteration, enlargement or any change whatever. Signatures must be guaranteed
by an "eligible guarantor institution" meeting the requirements of the
Certificate Registrar, which requirements include membership or participation
in the Security Transfer Agent Medallion Program ("STAMP") or such other
"signature guarantee program" as may be determined by the Certificate
Registrar in addition to, or in substitution for, STAMP, all in accordance
with the Securities Exchange Act of 1934, as amended.

<PAGE>

                                  Exhibit B

                            WARRANT AGENT AGREEMENT

                      CORPORATE BACKED TRUST CERTIFICATES

             FORD MOTOR CO. DEBENTURE-BACKED SERIES 2001-36 TRUST

                  WARRANT AGENT AGREEMENT, dated as of November 15, 2001 (the
"Warrant Agent Agreement"), by and between LEHMAN ABS CORPORATION, as
Depositor (the "Depositor"), U.S. BANK TRUST NATIONAL ASSOCIATION, as Trustee
(the "Trustee") and U.S. BANK TRUST NATIONAL ASSOCIATION, as Warrant Agent
(the "Warrant Agent").

                             W I T N E S S E T H:

                  WHEREAS, the Depositor created Corporate Backed Trust
Certificates, Ford Motor Co. Debenture-Backed Series 2001-36 Trust (the
"Trust"), a trust created under the laws of the State of New York pursuant to
   a Standard Terms for Trust Agreements, dated as of January 16, 2001 (the
"Agreement"), between Lehman ABS Corporation (the "Depositor") and U.S. Bank
Trust National Association, a national banking association, not in its
individual capacity but solely as Trustee (the "Trustee"), as supplemented by
the Series Supplement 2001-36, dated as of November 15, 2001 (the "Series
Supplement" and, together with the Agreement, the "Trust Agreement"), between
the Depositor and the Trustee; and

           WHEREAS, in connection with the creation of the Trust and
the deposit therein of the Underlying Securities, it is desired to provide for
the issuance of trust certificates (the "Certificates") evidencing undivided
interests in the Trust and call warrants with respect to the Certificates
("Call Warrants").

     NOW, THEREFORE, in consideration of the foregoing premises and the mutual
covenants expressed herein, it is hereby agreed by and between the Depositor
and the Trustee that except as otherwise specified herein or as the context
may otherwise require, capitalized terms used herein but not defined herein
shall have the respective meanings set forth below for all purposes under the
Series Supplement, and as follows:

                                  ARTICLE I

                          Exercise of Call Warrants

     Section 1.1 Manner of Exercise. (a) Call Warrants may be exercised by any
holder thereof (each, a "Warrant Holder") in whole or in part on any Call
Date. The following conditions shall apply to any exercise of Call Warrants:

               (i) A notice (each, a "Call Notice") specifying the number of
          Call Warrants being exercised and the Call Date shall be delivered
          to the Warrant Agent and the Trustee at least 5 Business Days before
          such Call Date.

               (ii) The Warrant Holder shall surrender the Call Warrants to
          the Warrant Agent at its office specified in Section 6.3 hereof no
          later than 10:00 a.m. (New York City time) on such Call Date.

<PAGE>

               (iii) The Warrant Holder shall have made payment to the Warrant
          Agent, by wire transfer or other immediately available funds
          acceptable to the Warrant Agent, in the amount of the Call Price, no
          later than 10:00 a.m. (New York City time) on the Call Date.

               (iv) The Warrant Holder shall exercise Call Warrants relating
          to Class A-1 Certificates and Call Warrants relating to Class A-2
          Certificates which represent a like percentage of all Class A-1
          Certificates and Class A-2 Certificates.

               (v) The Warrant Holder may not exercise the Call Warrants at
          any time when such Warrant Holder is insolvent, and such Warrant
          Holder shall be required to certify that it is solvent at the time
          of exercise, by completing the Form of Subscription attached to the
          Call Warrants and delivering such completed Form of Subscription to
          the Trustee on or prior to the Call Date and by delivering to the
          Trustee a form reasonably satisfactory to the Trustee of the opinion
          and the solvency certificate required pursuant to Section 7(b)(ii)
          of the Series Supplement.

               (vi) The Warrant Holder shall have satisfied any other
          conditions to the exercise of Call Warrants set forth in Section
          7(b) of the Series Supplement.

     (b) Upon exercise of Call Warrants, any Warrant Holder other than the
Depositor or any Affiliate of the Depositor shall be entitled to delivery of
the Called Certificates. The "Called Certificates" shall be, in the case of
the Class A-1 Certificates, Class A-1 Certificates having a Certificate
Principal Amount equal to $25 per Call Warrant, and in the case of the Class
A-2 Certificates, Class A-2 Certificates having a notional balance equal to
$1,000 per Call Warrant. Unless otherwise specified therein, such Call Notice
shall be deemed to be notice of an Optional Exchange pursuant to Section 7(a)
of the Series Supplement. Any Warrant Holder which is the Depositor or any
Affiliate of the Depositor shall receive the proceeds of the sale of the
Called Underlying Securities and shall not be entitled to receive the related
Called Certificates. "Called Underlying Securities" are Underlying Securities
which represent the same percentage of the Underlying Securities as the Called
Certificates represent of the Class A-1 Certificates and Class A-2
Certificates.

     (c) The Warrant Agent shall notify the Trustee immediately upon its
receipt of a Call Notice and upon receipt of payment of the Call Price. The
Warrant Agent shall transfer the amount of any paid Call Price to the Trustee
in immediately available funds, for application pursuant to the Trust
Agreement on the applicable Call Date (and, pending such transfer, shall hold
such amount for the benefit of the Warrant Holder in a segregated trust
account).

     (d) Delivery of a Call Notice does not give rise to an obligation on part
of the Warrant Holder to pay the Call Price. If, by 10:00 a.m. (New York City
time) on the Call Date, the Warrant Holder has not paid the Call Price, then
the Call Notice shall automatically expire and none of the Warrant Holder, the
Warrant Agent or the Trustee shall have any obligation with respect to the
Call Notice. The expiration of a Call Notice shall in no way affect the
Warrant Holder's right to deliver a Call Notice at a later date.

<PAGE>

     Section 1.2 Transfer of Certificates. As soon as practicable after each
surrender of Call Warrants in whole or in part on the Call Date and upon
satisfaction of all other requirements described in the Call Warrants and in
Section 1.1 hereof, the Warrant Agent shall instruct the Trustee as follows:

     (a) if Call Warrants are being exercised by any Warrant Holder other than
the Depositor or any Affiliate of the Depositor, to cause the Called
Certificates to reflect the holder's beneficial ownership of such
Certificates, or

     (b) if the Call Warrants are being exercised by the Depositor or any
Affiliate of the Depositor, to cause the Called Underlying Securities to be
sold pursuant to Section 13 of the Series Supplement and to distribute the
proceeds of such sale to the Warrant Holder.

     If such exercise is in part only, the Warrant Agent shall instruct the
Trustee to authenticate new Call Warrants of like tenor, representing the
outstanding Call Warrants of the Warrant Holder and the Warrant Agent shall
deliver such Call Warrants to the Warrant Holder.

     Section 1.3 Cancellation and Destruction of Call Warrants. All Call
Warrants surrendered to the Warrant Agent for the purpose of exercise (in
whole or in part) pursuant to Section 1.1 and actually exercised, or for the
purpose of transfer or exchange pursuant to Article III, shall be cancelled by
the Warrant Agent, and no Call Warrant shall be issued in lieu thereof. The
Warrant Agent shall destroy all cancelled Call Warrants.

     Section 1.4 No Rights as Holder of Certificates Conferred by Call
Warrants. Prior to the exercise thereof, Call Warrants shall not entitle the
Warrant Holder to any of the rights of a holder of the Certificates,
including, without limitation, the right to receive the payment of any amount
on or in respect of the Certificates or to enforce any of the covenants of the
Trust Agreement.

                                  ARTICLE II

                           Restrictions on Transfer

     Section 2.1 Restrictive Legends. Except as otherwise permitted by this
Article II, each Call Warrant (including each Call Warrant issued upon the
transfer of any Call Warrant) shall be issued with a legend in substantially
the following form:

     "This Call Warrant has not been registered under the Securities Act of
1933, as amended, and may not be transferred, sold or otherwise disposed of
except while a registration under such Act is in effect or pursuant to an
exemption therefrom under such Act. The Call Warrant represented hereby may be
transferred only in compliance with the conditions specified in the Call
Warrants."

     Section 2.2 Notice of Proposed Transfer; Opinions of Counsel. Prior to
any transfer of any Call Warrant or portion thereof, the Warrant Holder will
give 5 Business Days (or such lesser period acceptable to the Warrant Agent)
prior written notice to the Warrant Agent of such Warrant Holder's intention
to effect such transfer.

<PAGE>

                                 ARTICLE III

               Registration and Transfer of Call Warrants, etc.

     Section 3.1 Warrant Register; Ownership of Call Warrants. The Warrant
Agent will keep a register in which the Warrant Agent will provide for the
registration of Call Warrants and the registration of transfers of Call
Warrants representing whole numbers of Call Warrants. The Trustee and the
Warrant Agent may treat the Person in whose name any Call Warrant is
registered on such register as the owner thereof for all purposes, and the
Trustee and the Warrant Agent shall not be affected by any notice to the
contrary.

     Section 3.2 Transfer and Exchange of Call Warrants. Upon surrender of any
Call Warrant for registration of transfer or for exchange to the Warrant
Agent, the Warrant Agent shall (subject to compliance with Article II) execute
and deliver, and cause the Trustee, on behalf of the Trust, to execute and
deliver, in exchange therefor, a new Call Warrant of like tenor and evidencing
a like whole number of Call Warrants, in the name of such Warrant Holder or as
such Warrant Holder (upon payment by such Warrant Holder of any applicable
transfer taxes or government charges) may direct; provided that as a condition
precedent for transferring the Call Warrants, the prospective transferee shall
be required to deliver to the Trustee and the Depositor an executed copy of
the Investment Letter (set forth as Exhibit C to the Series Supplement).

     Section 3.3 Replacement of Call Warrants. Upon receipt of evidence
reasonably satisfactory to the Warrant Agent of the loss, theft, destruction
or mutilation of any Call Warrant and, in the case of any such loss, theft or
destruction of any Call Warrant, upon delivery of an indemnity bond in such
reasonable amount as the Warrant Agent may determine, or, in the case of any
such mutilation, upon the surrender of such Call Warrant for cancellation to
the Warrant Agent, the Warrant Agent shall execute and deliver, and cause the
Trustee, on behalf of the Trust, to execute and deliver, in lieu thereof, a
new Call Warrant of like tenor bearing a number not contemporaneously
outstanding.

     Section 3.4 Execution and Delivery of Call Warrants by Trustee. The
Trustee, on behalf of the Trust, hereby agrees (subject to compliance with
Article II) to execute and deliver such new Call Warrants issued in accordance
with Section 1.2 or this Article III as the Warrant Agent shall request in
accordance herewith.

                                  ARTICLE IV

                                 Definitions

     As used herein, unless the context otherwise requires, the following
terms have the following respective meanings:

     "Business Day": As defined in the Trust Agreement.

     "Call Date": Any Business Day on or after November 15, 2006 or after the
announcement of any redemption or other unscheduled payment or sale of the
Underlying Securities on which the Call Warrants are exercised and the
proceeds of an Optional Call (as

<PAGE>

defined in the Series Supplement) are distributed to the holders of the
Certificates pursuant to Section 7 of the Series Supplement.

     "Call Price": (i) in the case of the Class A-1 Certificates, the par
value of the Class A-1 Certificates being purchased pursuant to the exercise
of the Call Warrants, plus any accrued and unpaid interest on such amount to
but excluding the Call Date and (ii) in the case of the Class A-2
Certificates, the amount (or portion thereof, in the case of a partial call)
set forth in Schedule II to the Series Supplement for such Call Date.

     "Call Warrant": As defined in the recitals.

     "Closing Date": November 15, 2001.

     "Depositor": As defined in the recitals.

     "Depositor Order": As defined in the Trust Agreement.

     "Person": Any individual, corporation, partnership, joint venture,
association, joint stock company, trust (including any beneficiary thereof),
unincorporated organization or government or any agency or political
subdivision thereof.

     "Rating Agencies": Standard & Poor's Ratings Services and Moody's
Investors Service, Inc. and any successor thereto.

     "Responsible Officer": As defined in the Trust Agreement.

     "Securities Act": The Securities Act of 1933, or any similar federal
statute, and the rules and regulations of the Commission thereunder, all as
the same shall be in effect at the time.

     "Trust": As defined in the recitals.

     "Trust Agreement": As defined in the recitals.

     "Trustee": As defined in the introduction to this Warrant, or any
successor thereto under the Trust Agreement.

     "Warrant Agent": U.S. Bank Trust National Association, a national banking
association, in its capacity as warrant agent hereunder, or any successor
thereto.

                                  ARTICLE V

                                Warrant Agent

     Section 5.1 Limitation on Liability. The Warrant Agent shall be protected
and shall incur no liability for or in respect of any action taken, suffered
or omitted by it in connection

<PAGE>

with its administration of the Call Warrants in reliance upon any instrument
of assignment or transfer, power of attorney, endorsement, affidavit, letter,
notice, direction, consent, certificate, statement or other paper or document
in good faith believed by it to be genuine and to be signed, executed and,
where necessary, verified and acknowledged, by the proper Person or Persons.

     Section 5.2 Duties of Warrant Agent. The Warrant Agent undertakes only
the specific duties and obligations imposed hereunder upon the following terms
and conditions, by all of which the Depositor, the Trust, the Trustee and each
Warrant Holder shall be bound:

     (a) The Warrant Agent may consult with legal counsel (who may be legal
counsel for the Depositor), and the opinion of such counsel shall be full and
complete authorization and protection to the Warrant Agent as to any action
taken or omitted by it in good faith and in accordance with such opinion,
provided the Warrant Agent shall have exercised reasonable care in the
selection by it of such counsel.

     (b) Whenever in the performance of its duties hereunder, the Warrant
Agent shall deem it necessary or desirable that any fact or matter be proved
or established by the Depositor or the Trustee prior to taking or suffering
any action hereunder, such fact or matter may be deemed to be conclusively
proved and established by a Depositor Order or a certificate signed by a
Responsible Officer of the Trustee and delivered to the Warrant Agent; and
such certificate shall be full authorization to the Warrant Agent for any
action taken or suffered in good faith by it hereunder in reliance upon such
certificate.

     (c) The Warrant Agent shall be liable hereunder only for its own
negligence, willful misconduct or bad faith.

     (d) The Warrant Agent shall not be liable for or by reason of any of the
statements of fact or recitals contained herein or be required to verify the
same, but all such statements and recitals are and shall be deemed to have
been made by the Trust and the Depositor only.

     (e) The Warrant Agent shall not have any responsibility in respect of and
makes no representation as to the validity of the Call Warrants or the
execution and delivery thereof (except the due execution hereof by the Warrant
Agent); nor shall it be responsible for any breach by the Trust of any
covenant or condition contained in the Call Warrants; nor shall it by any act
thereunder be deemed to make any representation or warranty as to the
Certificates to be purchased thereunder.

     (f) The Warrant Agent is hereby authorized and directed to accept
instructions with respect to the performance of its duties hereunder from the
Chairman of the Board, the Chief Executive Officer, Chief Financial Officer,
Chief Operating Officer, President, a Vice President, a Senior Vice President,
a Managing Director, its Treasurer, an Assistant Treasurer, its Secretary or
an Assistant Secretary of the Depositor, and any Responsible Officer of the
Trustee, and to apply to such officers for advice or instructions in
connection with its duties, and it shall not be liable for any action taken or
suffered to be taken by it in good faith in accordance with instructions of
any such officer.

<PAGE>

     (g) The Warrant Agent and any shareholder, director, officer or employee
of the Warrant Agent may buy, sell or deal in any of the Call Warrants or
other securities of the Trust or otherwise act as fully and freely as though
it were not Warrant Agent hereunder, so long as such persons do so in full
compliance with all applicable laws. Nothing herein shall preclude the Warrant
Agent from acting in any other capacity for the Trust, the Depositor or for
any other legal entity.

     (h) The Warrant Agent may execute and exercise any of the rights or
powers hereby vested in it or perform any duty hereunder either itself or by
or through its attorneys or agents.

     (i) The Warrant Agent shall act solely as the agent of the Trust
hereunder. The Warrant Agent shall not be liable except for the failure to
perform such duties as are specifically set forth herein, and no implied
covenants or obligations shall be read into the Call Warrants against the
Warrant Agent, whose duties shall be determined solely by the express
provisions thereof. The Warrant Agent shall not be deemed to be a fiduciary.

     (j) The Warrant Agent shall not be responsible for any failure on the
part of the Trustee to comply with any of its covenants and obligations
contained herein.

     (k) The Warrant Agent shall not be under any obligation or duty to
institute, appear in or defend any action, suit or legal proceeding in respect
hereof, unless first indemnified to its satisfaction, but this provision shall
not affect the power of the Warrant Agent to take such action as the Warrant
Agent may consider proper, whether with or without such indemnity. The Warrant
Agent shall promptly notify the Depositor and the Trustee in writing of any
claim made or action, suit or proceeding instituted against it arising out of
or in connection with the Call Warrants.

     (l) The Trustee will perform, execute, acknowledge and deliver or cause
to be performed, executed, acknowledged and delivered all such further acts,
instruments and assurances as may be required by the Warrant Agent in order to
enable it to carry out or perform its duties hereunder.

     Section 5.3 Change of Warrant Agent. The Warrant Agent may resign and be
discharged from its duties hereunder upon thirty (30) days notice in writing
mailed to the Depositor and the Trustee by registered or certified mail, and
to the Warrant Holders by first-class mail at the expense of the Depositor;
provided that no such resignation or discharge shall become effective until a
successor Warrant Agent shall have been appointed hereunder. The Depositor may
remove the Warrant Agent or any successor Warrant Agent upon thirty (30) days
notice in writing, mailed to the Warrant Agent or successor Warrant Agent, as
the case may be, and to the Warrant Holders by first-class mail; provided
further that no such removal shall become effective until a successor Warrant
Agent shall have been appointed hereunder. If the Warrant Agent shall resign
or be removed or shall otherwise become incapable of acting, the Depositor
shall promptly appoint a successor to the Warrant Agent, which may be
designated as an interim Warrant Agent. If an interim Warrant Agent is
designated, the Depositor shall then appoint a permanent successor to the
Warrant Agent, which may be the interim Warrant Agent. If the Depositor shall
fail to make such appointment of a permanent successor within a period of

<PAGE>

thirty (30) days after such removal or within sixty (60) days after
notification in writing of such resignation or incapacity by the resigning or
incapacitated Warrant Agent or by the Warrant Holder, then the Warrant Agent
or registered Warrant Holder may apply to any court of competent jurisdiction
for the appointment of such a successor. Any successor to the Warrant Agent
appointed hereunder must be rated in one of the four highest rating categories
by the Rating Agencies. Any entity which may be merged or consolidated with or
which shall otherwise succeed to substantially all of the trust or agency
business of the Warrant Agent shall be deemed to be the successor Warrant
Agent without any further action.

                                  ARTICLE VI

                                Miscellaneous

     Section 6.1 Remedies. The remedies at law of the Warrant Holder in the
event of any default or threatened default by the Warrant Agent in the
performance of or compliance with any of the terms of the Call Warrants are
not and will not be adequate and, to the full extent permitted by law, such
terms may be specifically enforced by a decree for the specific performance of
any agreement contained herein or by an injunction against a violation of any
of the terms thereof or otherwise.

     Section 6.2 Limitation on Liabilities of Warrant Holder. Nothing
contained in this Warrant Agent Agreement shall be construed as imposing any
obligation on the Warrant Holder to purchase any of the Certificates except in
accordance with the terms thereof.

     Section 6.3 Notices. All notices and other communications under this
Warrant Agent Agreement shall be in writing and shall be delivered, or mailed
by registered or certified mail, return receipt requested, by a nationally
recognized overnight courier, postage prepaid, addressed (a) if to any Warrant
Holder, at the registered address of such Warrant Holder as set forth in the
register kept by the Warrant Agent or (b) if to the Warrant Agent, to 100 Wall
Street, Suite 1600, New York, New York 10005, Attention: Corporate Trust or to
such other address notice of which the Warrant Agent shall have given to the
Warrant Holder and the Trustee or (c) if to the Trust or the Trustee, to the
Corporate Trust Office (as set forth in the Trust Agreement); provided that
the exercise of any Call Warrants shall be effective in the manner provided in
Article I.

     Section 6.4 Amendment. (a) This Warrant Agent Agreement may be amended
from time to time by the Depositor, the Trustee and the Warrant Agent without
the consent of any Warrant Holder, upon receipt of an opinion of counsel
satisfactory to the Warrant Agent that the provisions hereof have been
satisfied and that such amendment would not alter the status of the Trust as a
grantor trust under the Code, for any of the following purposes: (i) to cure
any ambiguity or to correct or supplement any provision herein which may be
defective or inconsistent with any other provision herein or to provide for
any other terms or modify any other provisions with respect to matters or
questions arising under the Call Warrant which shall not adversely affect in
any material respect the interests of the Warrant Holder or any holder of a
Certificate or (ii) to evidence and provide for the acceptance of appointment
hereunder of a Warrant Agent other than U.S. Bank Trust National Association.

<PAGE>

     (a) Without limiting the generality of the foregoing, the Call Warrants
may also be modified or amended from time to time by the Depositor, the
Trustee and the Warrant Agent with the consent of Warrant Holders of 66-2/3%
of each of the Call Warrants related to the Class A-1 Certificates and the
Call Warrants related to the Class A-2 Certificates, upon receipt of an
opinion of counsel satisfactory to the Warrant Agent that the provisions
hereof (including, without limitation, the following proviso) have seen
satisfied, for the purpose of adding any provisions to or changing in any
manner or eliminating any of the provisions of the Call Warrants or of
modifying in any manner the rights of the Warrant Holders; provided, however,
that no such amendment shall (i) adversely affect in any material respect the
interests of holders of Certificates without the consent of the holders of
Certificates evidencing not less than the Required Percentage-Amendment of the
aggregate Voting Rights of such affected Certificates (as such terms are
defined in the Trust Agreement) and without written confirmation from the
Rating Agencies that such amendment will not result in a downgrading or
withdrawal of its rating of the Certificates; (ii) alter the terms on which
Call Warrants are exercisable or the amounts payable upon exercise of a
Warrant without the consent of the holders of Certificates evidencing not less
than 100% of the aggregate Voting Rights of such affected Certificates and
100% of the affected Warrant Holders or (iii) reduce the percentage of
aggregate Voting Rights required by (i) or (ii) without the consent of the
holders of all such affected Certificates. Notwithstanding any other provision
of this Warrant, this Section 6.4(b) shall not be amended without the consent
of 100% of the affected Warrant Holders.

     (b) Promptly after the execution of any such amendment or modification,
the Warrant Agent shall furnish a copy of such amendment or modification to
each Warrant Holder, to the Trustee and to the Rating Agencies. It shall not
be necessary for the consent of Warrant Holders or holders of Certificates
under this Section to approve the particular form of any proposed amendment,
but it shall be sufficient if such consent shall approve the substance
thereof. The manner of obtaining such consents and of evidencing the
authorization of the execution thereof shall be subject to such reasonable
regulations as the Warrant Agent may prescribe.

     Section 6.5 Expiration. The right to exercise the Call Warrants shall
expire on the earliest to occur of (a) the cancellation thereof, (b) the
termination of the Trust Agreement, (c) the liquidation, disposition, or
maturity of all of the Certificates, or (d) the occurrence of an Event of
Default under the Trust Agreement.

     Section 6.6 Descriptive Headings. The headings in this Warrant Agent
Agreement are for purposes of reference only and shall not limit or otherwise
affect the meaning hereof.

     Section 6.7 GOVERNING LAW. THIS AGREEMENT SHALL BE CONSTRUED AND ENFORCED
IN ACCORDANCE WITH, AND THE RIGHTS OF THE PARTIES SHALL BE GOVERNED BY, THE
LAW OF THE STATE OF NEW YORK, WITHOUT REGARD TO PRINCIPLES OF CONFLICT OF
LAWS.

     Section 6.8 Judicial Proceedings; Waiver of Jury. Any judicial proceeding
brought against the Trust, the Trustee or the Warrant Agent with respect to
this Warrant Agent Agreement may be brought in any court of competent
jurisdiction in the County of New York, State of New York or of the United
States of America for the Southern District of New York

<PAGE>

and, by execution and delivery of the Call Warrants, the Trustee on
behalf of the Trust and the Warrant Agent (a) accept, generally and
unconditionally, the nonexclusive jurisdiction of such courts and any related
appellate court, and irrevocably agree that the Trust, the Trustee and the
Warrant Agent shall be bound by any judgment rendered thereby in connection
with this Warrant Agent Agreement or the Call Warrants, subject to any rights
of appeal, and (b) irrevocably waive any objection that the Trust, the Trustee
or the Warrant Agent may now or hereafter have as to the venue of any such
suit, action or proceeding brought in such a court or that such court is an
inconvenient forum.

     Section 6.9 Nonpetition Covenant; No Recourse. Each of (i) the Warrant
Holder by its acceptance thereof, and (ii) the Warrant Agent agrees, that it
shall not (and, in the case of the Warrant Holder, that it shall not direct
the Warrant Agent to), until the date which is one year and one day after the
payment in full of the Certificates and all other securities issued by the
Trust, the Depositor or entities formed, established or settled by the
Depositor, acquiesce, petition or otherwise invoke or cause the Trust, the
Depositor, or any such other entity to invoke the process of the United States
of America, any State or other political subdivision thereof or any entity
exercising executive, legislative, judicial, regulatory or administrative
functions of or pertaining to government for the purpose of commencing or
sustaining a case by or against the Trust, the Depositor or any such other
entity under a federal or state bankruptcy, insolvency or similar law or
appointing a receiver, liquidator, assignee, trustee, custodian, sequestrator
or other similar official of the Trust, the Depositor or any such other entity
or all or any part of the property or assets of Trust, the Depositor or any
such other entity or ordering the winding up or liquidation of the affairs of
the Trust, the Depositor or any such other entity.

<PAGE>

                  IN WITNESS WHEREOF, the parties hereto have caused their
names to be signed hereto by their respective duly authorized officers as of
the date first above written.

                                  LEHMAN ABS CORPORATION,
                                   as Depositor

                                  By:
                                       --------------------------------------
                                       Name:
                                       Title:

                                  U.S. BANK TRUST NATIONAL ASSOCIATION,
                                  not in its individual
                                  capacity but solely as
                                  Trustee and Authenticating Agent

                                  By:
                                      ----------------------------------------
                                      Name:
                                      Title:

                                  U.S. BANK TRUST NATIONAL ASSOCIATION,
                                    as Warrant Agent

                                  By:
                                      ----------------------------------------
                                      Name:
                                      Title:Prepared by MERRILL CORPORATION

QuickLinks
 -- Click here to rapidly navigate through this document

EXHIBIT 4.1  

THIRD SUPPLEMENTAL INDENTURE  

 between  

 PDVSA FINANCE LTD.  

 and  

 JPMORGAN CHASE BANK, as Trustee  

 Providing for the creation of an issue of

8.50% Notes due November 16, 2012  

 Dated as of November 16, 2001  

 
 

TABLE OF CONTENTS    
  

	 
	 	 
	 	PAGE

	ARTICLE 1

DEFINITIONS AND RULES OF CONSTRUCTION
	

SECTION 1.01.	
 	

Definitions	
 	

1
	SECTION 1.02.	 	Construction of References	 	3
	
ARTICLE 2

THE NOTES
	

SECTION 2.01.	
 	

Issuance of the Notes	
 	

3
	SECTION 2.02.	 	Form and Dating	 	4
	SECTION 2.03.	 	Maturity; Installments of Principal	 	4
	SECTION 2.04.	 	Interest on the Notes	 	4
	SECTION 2.05.	 	Redemption	 	5
	SECTION 2.06.	 	Record Date	 	5
	SECTION 2.07.	 	Method of Payment	 	6
	SECTION 2.08.	 	Denomination and Registration; Book Entry System; Certificated Notes	 	6
	SECTION 2.09.	 	CUSIP, CINS and/or ISIN Numbers	 	6
	SECTION 2.10.	 	Transfer and Exchange	 	7
	
ARTICLE 3

PAYMENTS; REGISTRAR; PAYING AGENTS
	

SECTION 3.01.	
 	

Payments	
 	

8
	SECTION 3.02.	 	Obligations Absolute	 	8
	SECTION 3.03.	 	Registration and Paying Agent	 	8
	
ARTICLE 4

COVENANTS
	

SECTION 4.01.	
 	

Covenants Incorporated by Reference	
 	

9
	SECTION 4.02.	 	Reporting Requirements	 	9
	
ARTICLE 5

THE TRUSTEE
	
ARTICLE 6

PRECEDENCE OF PROVISIONS
	
ARTICLE 7

EVENTS OF DEFAULT; RIGHTS AND REMEDIES OF NOTEHOLDERS
	

SECTION 7.01.	
 	

Events of Default	
 	

10
	SECTION 7.02.	 	Rights Cumulative; No Marshaling; Waivers	 	10
	SECTION 7.03.	 	Default Interest	 	11
	
ARTICLE 8

NOTICES
	
ARTICLE 9

SUPPLEMENTAL INDENTURES; WAIVERS
	

SECTION 9.01.	
 	

Supplemental Indentures Without Consent of Noteholders	
 	

11

 

	
ARTICLE 10

MISCELLANEOUS
	

SECTION 10.01.	
 	

Limitation of Rights	
 	

12
	SECTION 10.02.	 	No Recourse Against Issuer Representatives	 	12
	SECTION 10.03.	 	Currency	 	12
	SECTION 10.04.	 	New York Law to Govern	 	12
	SECTION 10.05.	 	Waiver of Immunity; Submission to Jurisdiction and Appointment of Agent for Service of Process	 	12
	SECTION 10.06.	 	Counterparts	 	13
	SECTION 10.07.	 	Effect of Headings	 	13

	

EXHIBIT A	

—	
 	

Form of Note

ii

 
 

THIRD SUPPLEMENTAL INDENTURE    
  

    SUPPLEMENTAL INDENTURE dated as of November 16, 2001 between PDVSA FINANCE LTD., a company formed under the laws of the Cayman Islands (together with
its successors, the "Issuer"), and JPMORGAN CHASE BANK (formerly known as "The Chase Manhattan Bank"), as trustee (together with its successors as
trustee under the Indenture referred to below, the "Trustee") under the Senior Indenture dated as of May 14, 1998, between the Issuer and the
Trustee (the "Senior Indenture"), for the benefit and security of the holders of the Notes (as such term is hereinafter defined). 

    Each
party hereto agrees as follows for the benefit of the other party and for the equal and ratable benefit of the holders of the Issuer's 8.50% Notes due November 16, 2012
issued on or after the date hereof (the "Notes"). Reference herein to a "series" or a
"series of Notes" means the Notes, which constitutes a separate series of Securities for purposes of the Senior Indenture. 

    Reference
to any Note includes any Note which is issued upon the registration of transfer or partial redemption of any predecessor Note. 

W I T N E S S E T H :  

    WHEREAS, the Issuer has duly authorized the issuance of $500,000,000 in initial aggregate principal amount of the Notes; 

    WHEREAS,
the Issuer has heretofore entered into the Senior Indenture with the Trustee for the purpose of providing for the issuance of its Securities (as defined in the Senior
Indenture) and, by the execution of this Supplemental Indenture, the Issuer desires to provide for the creation and issuance of the Notes; 

    NOW,
THEREFORE, in consideration of the premises and the purchases of the Notes by the 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 Notes as follows: 

 
 

ARTICLE 1    
    
    DEFINITIONS AND RULES OF CONSTRUCTION    
  

    SECTION 1.01.  Definitions.  For all purposes of this Supplemental Indenture, capitalized terms
used herein (i) shall have the respective meanings specified in this section, and (ii) which are defined in the Senior Indenture or the Fiscal Agency Agreement, as applicable, and not
otherwise defined herein, shall have the respective meanings assigned to such terms in the Senior Indenture or Fiscal Agency Agreement, as applicable. 

    "Agent Members" has the meaning set forth in Section 2.10. 

    "Authorized Agent" has the meaning set forth in Section 10.05. 

    "Certificated Note" means any certificated Note in fully registered definitive form. 

    "Dollars" or "$" or "U.S. Dollars"
means the lawful currency of the United States of America and, in relation to any amount to be advanced or paid under this Supplemental Indenture or the Notes, funds having immediate value. 

    "DTC" means The Depository Trust Company. 

    "FSIA" has the meaning set forth in Section 10.05. 

    "Global Note" has the meaning set forth in Section 2.02. 

    "hereof", "herein", "hereunder" and
words of similar import refer to this Supplemental Indenture as a whole and not to any particular section or provisions of this Supplemental Indenture. 

    "Indenture" means the Senior Indenture, as supplemented by this Supplemental Indenture, and as the same may be in effect and as may be
further amended, modified or supplemented from time to 

 

time with reference to the Notes by one or more supplemental indentures or other written instruments entered into by the Issuer and the Trustee pursuant to the terms thereof. 

    "Issuer" has the meaning set forth in the introduction hereto. 

    "Make-Whole Premium" means a premium determined as of the Business Day prior to the Redemption Date for a redemption being made
pursuant to Section 2.05 of this Supplemental Indenture, in respect of any Note (or the portion thereof) to be redeemed, equal to the amount (but not less than zero) obtained by subtracting
(a) the sum of the unpaid principal amount of such Note (or the portion thereof) being redeemed and the amount of interest thereon accrued to such Redemption Date, from (b) the sum of
the Current Values of all amounts of principal and interest on such Note (or the portion thereof) being redeemed that would otherwise have become due on and after the date of such determination if
such Note or the relevant portion thereof were not being redeemed (each such amount of principal or interest being referred to herein as an "Amount
Payable"). The "Current Value" of any Amount Payable means such Amount Payable discounted (on a monthly basis) to its present
value on the date of determination, in accordance with the following formula: 

	 	 	Amount Payable
	Current Value =	 	
 (1 + d/12)n

where
"d" is the sum of (i) 50 basis points, plus (ii) the Treasury Yield per annum expressed as a decimal, and "n" is an exponent (which need not be an integer) equal to the number of
monthly periods and portions thereof (any such portion of a period to be determined by dividing the number of days in such portion of such period by the total number of days in such period, both
computed on the basis of twelve 30-day months in a 360-day year) between the date of such determination and the due date of the Amount Payable. The "Treasury
Yield" shall be determined by reference to the yields for U.S. Treasury Notes as indicated (currently on page "500" thereof) on the Telerate Screen for actively traded U.S.
Treasury Notes at approximately 10:00 a.m. (New York City time) on the Business Day next preceding such Redemption Date or, if such yields shall not be reported as of such time or the yields
reported as of such time shall not be ascertainable, by reference to the most recent Federal Reserve Statistical Release H.15 (519) which has become publicly available at least two Business Days prior
to such Redemption Date, and shall be the most recent weekly average yield on actively traded U.S. Treasury Notes adjusted to a constant maturity equal to the then remaining weighted average life of
the
outstanding principal amount of the Notes (the "Remaining Life"), computed by dividing (A) the sum of all remaining principal payments on the
Notes into (B) the total of the products obtained by multiplying (1) the amount of each remaining principal payment on the Notes by (2) the number of years (calculated to the nearest
one-twelfth) which will elapse between the date as of which such computation is made and the due date of each remaining principal payment on the Notes. If the Remaining Life is not equal to the
constant maturity of a U.S. Treasury Note for which a weekly average yield is given, the Treasury Yield shall be obtained by linear interpolation (calculated to the nearest one-twelfth of a year) from
the weekly average yields of (x) the actively traded U.S. Treasury Note with the average life closest to and greater than the Remaining Life and (y) the actively traded U.S. Treasury Note with the
average life closest to and less than the Remaining Life, except that if the Remaining Life is less than one year, the weekly average yield on actively traded U.S. Treasury Notes adjusted to a
constant maturity of one year shall be used. The Treasury Yield shall be computed to the fifth decimal place (one-thousandth of a percentage point) and then rounded to the fourth decimal place
(one-hundredth of a percentage point). 

    "Next Payment of Scheduled Debt Service" means on any date of determination for any Debt Agreement, the amount of the first payment of
Scheduled Debt Service in respect of Indebtedness outstanding under such Debt Agreement that is scheduled to be paid in cash after such date of 

2

 

determination. For this purpose, amounts scheduled to be paid on the same date shall be treated as a single payment whether such amounts shall be principal, interest or otherwise. 

    "Noteholder", "Holder" or "holder of any
Note" means any Person in whose name a Note is registered in the note register relating to the Notes maintained pursuant to the Indenture. 

    "Notes" has the meaning set forth in the introduction hereto. 

    "Participants" means institutions that have accounts with the Depositary or its nominee. 

    "Paying Agent" has the meaning set forth in Section 3.03 

    "Payment Date" means each February 16, May 16, August 16 and November 16 of each year, or if any such day
is not a Business Day, the next succeeding Business Day. 

    "Record Date" has the meaning assigned to such term in Section 2.06. 

    "Redemption Date", when used with respect to any Note to be redeemed, means the date fixed for such redemption pursuant to
Section 2.05 of this Supplemental Indenture and Paragraph 5 or 6, as applicable, and Paragraph 7, in the form of Note attached hereto as Exhibit A. 

    "Redemption Price" has the meaning set forth in Section 2.05(a). 

    "Registrar" has the meaning set forth in Section 3.03 

    "Securities Act" means the Securities Act of 1933, as from time to time amended. 

    "Senior Indenture" has the meaning set forth in the introduction hereto. 

    "series" or a "series of Notes" has the meaning set forth in the introduction hereto. 

    "Supplemental Indenture" means this Third Supplemental Indenture, dated as of November 16, 2001, providing for the issuance of
the Notes, as the same shall be from time to time amended and in effect. 

    "Trustee" has the meaning set forth in the introduction hereto. 

    SECTION 1.02.  Construction of References.  All references in this Supplemental Indenture to
designated Sections and other subdivisions are to such designated Sections and subdivisions of this Supplemental Indenture. Except as otherwise indicated, all the agreements or instruments herein
defined or referred to shall mean such agreements or instruments as the same may be supplemented or amended from time to time or the terms thereof waived or modified to the extent permitted by, and in
accordance with, the terms thereof. In the computation of interest and fees payable from a specified date to a later specified date, unless otherwise indicated, the word
"from" means "from and including" and the words "to" and
"until" both mean "to but excluding". For all purposes of this Supplemental Indenture, except as
otherwise expressly provided or unless the context otherwise requires, terms defined herein include the plural as well as the singular. 

 
 

ARTICLE 2    
    
    THE NOTES    
  

    SECTION 2.01.  Issuance of the Notes.  (a) The Notes will be direct, unconditional, senior,
unsecured, general obligations of the Issuer. The Notes will rank pari passu in right of payment with all existing and future unsecured and
unsubordinated Indebtedness of the Issuer and will rank senior in right of payment to all existing and future subordinated Indebtedness of the Issuer. The Notes shall be issued substantially in the
form of Exhibit A to this Supplemental Indenture, and otherwise issued in accordance with the provisions of the Indenture. 

3

 

    (b) The Trustee upon presentation of an Issuer Order shall authenticate for original issuance the aggregate principal amount of the 8.50% Notes due November 16,
2012 requested to be authenticated in such Issuer Order. 

    (c) The
Issuer Order shall specify the amount of Notes to be authenticated, the date on which the issue of the Notes are to be delivered and to whom such Notes are to
be delivered. 

    (d) The
Notes need not all be issued at the same time and, subject to compliance with the covenants set forth in Article 4, additional Notes of the same series
may be issued from time to time without the consent of the Holders. 

    SECTION 2.02.  Form and Dating.  The Notes and the Trustee's certificate of authentication in
respect thereof shall be substantially in the form of Exhibit A hereto, which Exhibit is part of this Supplemental Indenture. The Notes may have notations, legends or endorsements
required by law, stock exchange rule or usage or the terms hereof. The Issuer shall approve the form of the Notes and any notation, legend or endorsement thereon. Any such notations, legends or
endorsements not contained in the form of Note attached as Exhibit A hereto shall be delivered in writing to the Trustee. Each Note shall be dated the date of its authentication. 

    The
terms and provisions contained in the form of Notes shall constitute, and are hereby expressly made, a part of the Senior Indenture and, to the extent applicable, the Issuer and
the Trustee, by their execution and delivery of this Supplemental Indenture, expressly agree to such terms and provisions and to be bound thereby. 

    The
Notes shall be issued in the form of one or more global notes in definitive, fully registered form without interest coupons, with such applicable legends as are provided for in
Exhibit A hereto (each such global note, a "Global Note"), except as otherwise permitted herein. Each Global Note shall be registered in the name
of the Depositary or its nominee and deposited with the Trustee, at its Corporate Trust Office, as custodian for the Depositary, duly executed by the Issuer and authenticated by the Trustee as
hereinafter provided. 

    SECTION 2.03.  Maturity; Installments of Principal.  (a) The Notes will mature and the
outstanding principal amount thereof shall be due and payable in full on November 16, 2012. 

    (b) Principal
on the Notes shall be payable in accordance with the terms of the Notes, as set forth therein. 

    (c) Each
payment of principal of the Notes shall be allocated to all Notes at the time Outstanding in proportion to the respective outstanding principal amounts
thereof; provided that, in any event and in all circumstances, the final installment of principal shall be in an amount sufficient to pay all unpaid
principal of, and all accrued and unpaid interest on, all such Notes then Outstanding. 

    (d) In
the event of any redemption of any of the Notes pursuant to Section 2.05 hereof, the remaining unpaid installments of principal on the Notes will be
ratably reduced by an aggregate amount equal to the principal amount so redeemed. A schedule reflecting such reduction shall be prepared by the Issuer and certified by an independent accounting firm
and delivered to the Trustee and the Holder of each Note promptly following any redemption resulting in any such reduction. The Trustee may rely conclusively on any such schedule provided to it 

    (e) Each
Noteholder shall surrender its Note to the Trustee, at the time such Note is repaid in full. 

    SECTION 2.04.  Interest on the Notes.  The Notes will bear interest which shall be payable in
accordance with the terms of the Notes, as set forth therein. 

4

 

    SECTION 2.05.  Redemption.  The Issuer will not be required to repurchase or make mandatory
redemption or sinking fund payments with respect to any of the Notes. 

    (a) The
Notes shall be redeemable, in whole, at any time, or in part, from time to time, at the option of the Issuer at the Redemption Price as provided in this
Section 2.05. The "Redemption Price" shall be an amount equal to 100% of the outstanding principal amount of the Notes to be redeemed together
with accrued and unpaid interest thereon to the Redemption Date, together with an amount equal to the Make-Whole Premium, if any, calculated as of the Business Day prior to the Redemption Date. Each
such prepayment must be in a minimum amount of $1,000,000 (or such lesser amount of the Notes as is then outstanding). The principal amount of Notes to be redeemed in part shall be allocated pro rata,
by lot or in such other manner as the Trustee deems appropriate and fair. 

    (b) The
Notes shall be redeemable at the option of the Issuer, as a whole, but not in part, upon giving not less than 30 days' nor more than 60 days'
notice to the Holders (which notice shall be irrevocable), at 100% of the outstanding principal amount thereof, plus accrued and unpaid interest payable with respect thereto, if (i) the Issuer
has or will become obligated to pay Additional Amounts with respect to such Notes as a result of any change in, or amendment to, the laws or regulations of the Cayman Islands, Venezuela or any
political subdivision or governmental authority thereof or therein having power to tax, or any change in the application or official interpretation of such laws or regulations, which change or
amendment occurs after the latest date of the issuance of Notes and (ii) such obligation cannot be avoided by the Issuer taking reasonable measures available to it. No such notice of redemption
will be given earlier than 60 days prior to the earliest date on which the Issuer would be obligated to pay such Additional Amounts if a payment in respect of such Notes were then due. 

    (c) Prior
to the publication or mailing of any notice of redemption pursuant to the preceding paragraph, the Issuer will deliver to the Trustee an Officer's Certificate
to the effect that the Issuer's obligation to pay Additional Amounts cannot be avoided by the Issuer taking reasonable measures available to it. The Issuer will also deliver to the Trustee an opinion
of an independent legal counsel stating that the Issuer is or would be obligated to pay Additional Amounts due to the changes in tax laws or regulations. The Trustee will accept such certificate and
opinion as sufficient evidence of the satisfaction of the conditions precedent set forth in clauses (i) and (ii) of the foregoing paragraph, in which event it will be conclusive and binding on
the Holders. 

    (d) Notice
of any redemption will be sent by first-class mail, postage prepaid, at least 30 days and not more than 60 days prior to the Redemption Date,
to the Holder of each Note to be redeemed to such Holder's last address as then shown upon the registry books of the Registrar. Any notice which relates to a Note to be redeemed in part only must
state the portion of the principal amount equal to the unredeemed portion thereof and must state that on and after the Redemption Date, upon surrender of such Note, a new Note or Notes in a principal
amount equal to the unredeemed portion thereof will be issued. From and after the relevant Redemption Date, if the Redemption Price for the Notes (or portion thereof) called for redemption shall have
been deposited with the Paying Agent on or prior to such Redemption Date and payment of the Redemption Price for the Notes (or portion thereof) called for redemption is not otherwise prohibited, the
Notes (or portion thereof) called for redemption will cease to bear interest and the only right of the Holders of such Notes (or portion thereof) in respect of the payment of principal of or interest
on the Notes (or portion thereof) subject to redemption will be
to receive payment of the Redemption Price. All other rights and remedies of the Holders of such Notes under the Indenture and the Notes shall remain in full force and effect. 

    SECTION 2.06.  Record Date.  The Record Date to determine the Noteholders entitled to receive a
payment of principal, where applicable, and interest with respect to any Payment Date shall be the first day of the same calendar month in which such Payment Date occurs (whether or not a Business
Day) (the "Record Date"). 

5

 

    SECTION 2.07.  Method of Payment.  Payment in respect of principal, interest and Additional
Amounts relating thereto, if applicable, on each Payment Date with respect to any Note will be made in Dollars to the person in whose name such Note is registered in the note register on the Record
Date immediately preceding such Payment Date by mailing a check for such principal, interest and Additional Amounts relating thereto, if applicable, payable to or upon the written order of the Person
entitled thereto pursuant to Section 2.06 hereof, to the address of such Person as it appears on the note register maintained pursuant to the Indenture. 

    SECTION 2.08.  Denomination and Registration; Book Entry System; Certificated Notes.  The Notes
(including any Global Note) shall be issuable only in registered form without coupons and only in denominations of $1,000 or any integral multiple of $1,000 above such amount. The Notes shall not be
issuable in bearer form. 

    Subject
to this Section 2.08, the Notes shall be represented only by Global Notes. The Global Notes shall be deposited with the Trustee, at its Corporate Trust Office, as
custodian for the Depositary, and shall be registered in the name of the Depositary or its nominee. The Depositary shall be DTC unless the Issuer appoints a successor depositary by delivery of an
Issuer Order to the Trustee specifying such successor depositary. 

    All
payments on a Global Note will be made to the Depositary or its nominee, as the case may be, as the registered owner and Holder of such Global Note and the Issuer will be fully
discharged by payment to the Depositary from any responsibility or liability in respect of each amount so paid. Upon receipt of any such payment in respect of a Global Note, the Depositary will credit
Participants' accounts with payments in amounts proportionate to their respective beneficial interests in the principal amount of such Global Note as shown on the records of the Depositary. 

    Unless
and until it is exchanged in whole or in part for Certificated Notes, a Global Note may not be transferred except as a whole by the Depositary or nominee thereof to another
nominee of the Depositary or to a successor of the Depositary or a nominee of such successor. 

    Owners
of beneficial interests in Global Notes shall be entitled or required, as the case may be, but only under the circumstances described in this Section 2.08, to receive
physical delivery of Certificated Notes. 

    Interests
in a Global Note shall be exchangeable or transferable, as the case may be, for Certificated Notes if (i) the Depositary notifies the Issuer that it is unwilling or
unable to continue as depositary for such Global Note, or the Depositary ceases to be a "Clearing Agency" registered under the United States Securities
Exchange Act of 1934, and a successor depositary is not appointed by the Issuer within ninety (90) days or (ii) an Event of Default has occurred and is continuing with respect thereto and the
owner of a beneficial interest therein requests such exchange or transfer. Upon the occurrence of either of the events described in the preceding sentence, the Issuer shall cause the appropriate
Certificated Notes to be delivered to the owners of beneficial interests in the Global Notes. Certificated Notes shall be exchangeable or transferable for interests in other Certificated Notes in the
manner described in Section 2.10. 

    SECTION 2.09.  CUSIP, CINS and/or ISIN Numbers.  The Issuer in issuing the Notes may use "CUSIP",
"CINS" and/or "ISIN" numbers (if then generally in use), and, if so, the Trustee shall use "CUSIP", "CINS" and/or "ISIN" numbers in notices of redemption as a convenience to Noteholders;  provided that
any such notice may state that no representation is made as to the correctness of such numbers either as printed on the Notes or as
contained in any notice of a redemption and that reliance may be placed only on the other identification numbers printed on the Notes, and any such redemption shall not be affected by any defect in or
omission of such numbers. The Issuer will promptly notify the Trustee of any change in the "CUSIP", "CINS" or "ISIN" numbers. 

6

 

    SECTION 2.10.  Transfer and Exchange.  

    (a)  Obligations with Respect to Transfers and Exchanges of Notes.  Upon surrender for registration of
transfer of any Note to the Registrar, and subject to the other provisions of this Section 2.10, the Issuer shall execute, and the Trustee shall authenticate and deliver, in the name of the
designated transferee or transferees, one or more new Notes of any authorized denominations and of a like aggregate principal amount; provided that the
Issuer shall not execute and the Trustee shall not authenticate any such new Notes during the period commencing after any Record Date and ending on or prior to the related Payment Date. 

    At
the option of the Holder, and subject to the other provisions of this Section 2.10, Notes may be exchanged for other Notes of any authorized denominations and of a like
aggregate principal amount, upon surrender of the Notes to be exchanged at such office or agency. Whenever any Notes are so
surrendered for exchange, and subject to the other provisions of this Section 2.10, the Issuer shall execute, and the Trustee shall authenticate and deliver, the Notes which the Holder making
the exchange is entitled to receive. 

    All
Notes issued upon any registration of transfer or exchange of Notes shall be the valid obligations of the Issuer, evidencing the same debt, and subject to the other provisions of
this Section 2.10, entitled to the same benefits under this Supplemental Indenture, as the Notes surrendered upon such registration of transfer or exchange. 

    Every
Note presented or surrendered for registration of transfer or for exchange shall (if so required by the Issuer or the Trustee) be duly endorsed, or be accompanied by a written
instrument of transfer in form satisfactory to the Issuer or the Registrar and be duly executed by the Holder thereof or his attorney duly authorized in writing. 

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

    No
transfer of a Note to any Person shall be effective under this Supplemental Indenture unless and until such Note has been registered in the name of such Person. 

    (b)  Transfer and Exchange of Global Notes.  The provisions of clauses (i), (ii), (iii), (iv) and
(v) below shall apply only to Global Notes. 

    (i)  General.  Each Global Note authenticated under the Indenture shall be registered in the name of the
Depositary or a nominee thereof and delivered to such Depositary or a nominee thereof or custodian therefor. 

    (ii)  Transfer of Global Notes.  The transfer and exchange of beneficial interests in a Global Note shall
be effected through the Depositary, in accordance with the Indenture (including applicable restrictions on transfer set forth herein, if any) and the procedures of the Depositary therefor. 

    (iii)  Transfer to Persons other than Depositary.  Notwithstanding any other provision in the Indenture
or the Notes, no Global Note may be exchanged in whole or in part for Notes registered, and no transfer of a Global Note in whole or in part may be registered, in the name of any person other than the
Depositary or a nominee thereof unless (A) the Depositary notifies the Issuer that it is unwilling or unable to continue as depositary for such Global Note, or the Depositary ceases to be a
"Clearing Agency" registered under the United States Securities Exchange Act of 1934, and a successor
depositary is not appointed by the Issuer within ninety (90) days or (B) an Event of Default has occurred and is continuing with respect thereto and the owner of a beneficial interest therein
requests such exchange or transfer. Any Global Note exchanged pursuant to clause (A) above shall be so exchanged in whole and not in part and any Global Note 

7

 

exchanged pursuant to clause (B) above may be exchanged in whole or from time to time in part as directed by the Depositary. Any Security issued in exchange for a Global Note or any portion
thereof shall be a Global Note, provided that any such Security so issued that is registered in the name of a Person other than the Depositary or a
nominee thereof shall not be a Global Note. 

    (iv)  Global Note to Definitive Note.  Notes issued in exchange for a Global Note or any portion thereof
pursuant to clause (iii) above shall be issued in definitive, fully registered form without interest coupons, shall have an aggregate principal amount equal to that of such Global Note or
portion thereof to be so exchanged, shall be registered in such names and be in such authorized denominations as the Depositary shall designate and shall bear any legends required hereunder. Any
Global Note to be exchanged in whole shall be surrendered by the Depositary to the Trustee, as Registrar. With regard to any Global Note to be exchanged in part, either such Global Note shall be so
surrendered for exchange or, if the Trustee is acting as custodian for the Depositary or its nominee with respect to such Global Note, the principal amount thereof shall be reduced, by an amount equal
to the portion thereof to be so exchanged, by means of an appropriate adjustment made on the records of the Trustee, as Authenticating Agent. Upon any such surrender or adjustment, the Trustee shall
authenticate and deliver the Note issuable on such exchange to or upon the order of the Depositary or an authorized representative thereof. 

    (v) In
the event of the occurrence of any of the events specified in clause (iii) above, the Issuer will promptly make available to the Trustee a reasonable
supply of certificated Notes in definitive, fully registered form, without interest coupons. 

    (vi)  No Rights of Agent Members in Global Note.  Neither any members of, or Participants in, the
Depositary ("Agent Members") nor any other Persons on whose behalf Agent Members may act shall have any rights under the Indenture with respect to any
Global Note, or under any Global Note, and the Depositary or its nominee, as the case may be, may be treated by the Issuer, the Trustee and any agent of the Issuer or the Trustee as the absolute owner
and Holder of such Global Note for all purposes whatsoever. Notwithstanding the foregoing, nothing herein shall prevent the Issuer, the Trustee or any agent of the Issuer or the Trustee from giving
effect to any written certification, proxy or other authorization furnished by the Depositary or such nominee, as the case may be, or impair, as between the Depositary, its Agent Members and any other
person on whose behalf an Agent Member may act, the operation of customary practices of such Persons governing the exercise of the rights of a Holder of any Note. 

 
 

ARTICLE 3    
    
    PAYMENTS; REGISTRAR; PAYING AGENTS    
  

    SECTION 3.01.  Payments.  All payments to be made to the Noteholders hereunder will be made in
accordance with this Supplemental Indenture, the Fiscal Agency Agreement and the Senior Indenture. 

    SECTION 3.02.  Obligations Absolute.  Notwithstanding anything to the contrary in this
Article 3, nothing contained herein shall be construed to relieve or diminish the absolute obligation of the Issuer to pay all amounts and perform all obligations to be paid or performed by it
pursuant to the Transaction Documents. 

    SECTION 3.03.  Registration and Paying Agent.  (a) The Issuer shall maintain (i) an
office or agency in the Borough of Manhattan, The City of New York, where Notes may be presented for registration of transfer or exchange ("Registrar")
and (ii) an office or agency of the Issuer where Notes may be presented for payment ("Paying Agent"). The Registrar shall keep a register of the
Notes and of their transfer and exchange. The Issuer may have one or more co-Registrars and one or more additional Paying Agents and may designate a Paying Agent as principal Paying Agent (the
"Principal Paying Agent") under the Indenture and the Notes. The term "Registrar" includes any co-Registrar and 

8

 

the term "Paying Agent" includes any additional Paying Agent, provided that the Fiscal Agent shall at all times act as the Principal Paying Agent. The
Issuer may at any time change any Paying Agent or Registrar without notice to any Holder, provided that the Fiscal Agent shall at all times act as the
Principal Paying Agent. The Issuer may act as Registrar. If the Issuer fails to maintain a Registrar or Paying Agent, the Trustee shall act as such. 

    (b) The
Issuer initially appoints (i) the Trustee as Registrar, (ii) the Fiscal Agent as Principal Paying Agent, (iii) Chase Manhattan Bank
Luxembourg S.A., as Paying Agent and (iv) DTC as Depositary for the Notes. 

    (c) The
Issuer shall enter into an appropriate written agency agreement with any Registrar or Paying Agent not a party to the Indenture or the Fiscal Agency Agreement,
which agreement shall implement the provisions of the Indenture that relate to such Registrar or Paying Agent, and shall furnish a copy
of each such agreement to the Trustee. The Issuer shall promptly notify the Trustee in writing of the name and address of any such Registrar or Paying Agent. 

    (d) The
Trustee is authorized to enter into a letter of representation with the Depositary in the form provided to the Trustee by the Issuer and to act in accordance
with such letter. 

 
 

ARTICLE 4    
    
    COVENANTS    
  

    SECTION 4.01.  Covenants Incorporated by Reference.  The Issuer covenants and agrees that, so long
as any amount payable under any Note remains unpaid, it shall observe and perform each of the covenants set forth in the Fiscal Agency Agreement and the Senior Indenture, which covenants are
incorporated by reference in this Supplemental Indenture as if fully set forth herein, in accordance with their terms. 

    SECTION 4.02.  Reporting Requirements.  The Issuer covenants and agrees that, so long as any
amount payable under any Note remains unpaid, it shall file with the Trustee (i) within 10 Business Days after the last day of each month (A) a schedule of all amounts transferred by it
or on its behalf to PDVSA Petróleo S.A. (successor in interest of PDVSA-P&G) as the Purchase Price for additional Purchased Receivables in accordance with the Receivables
Purchase Agreement, together with evidence thereof and (B) a schedule of Collections received from Designated Customers with respect to Purchased Receivables during such month, together with
evidence thereof, (ii) within 30 days after the last day of each fiscal quarter of the Issuer (x) a schedule of Designated Customers as of the last day of such fiscal quarter, (y) a
schedule of Purchased Receivables owing from such Designated Customers on the last day of such fiscal quarter and (z) a certificate of an Authorized Officer of the Issuer stating that the Issuer is in
compliance with its financial covenants and that as of the end of such fiscal quarter no Event of Default (or event or condition that with the giving of notice or passage of time (or both) would
constitute an Event of Default) under Section 7.01(g) of the Fiscal Agency Agreement had occurred and was continuing, together with calculations sufficiently detailed to support such statement,
(iii) unaudited quarterly financial statements within 60 days after the last day of the first three fiscal quarters of each fiscal year, (iv) any other information required to be
supplied to any Person (and delivered to the Issuer) pursuant to Sections 5.02 and 6.05 of the Receivables Purchase Agreement, within any relevant time limit specified therein (provided that
the Trustee is not under any independent obligation to determine whether the requirements of such Sections are being complied with or to independently identify information delivered pursuant to such
Sections) and (v) annual audited financial statements within 120 days after the last day of each fiscal year, together with a certificate of an Authorized Officer of the Issuer stating
that to the best of his knowledge no Event of Default has occurred and is then continuing or, if an Event of Default has occurred and is continuing, stating such fact and including a description of
the nature of such Event of Default and the actions that the Issuer or any other Person proposes to take with respect thereto. 

9

 
 
 

ARTICLE 5    
    
    THE TRUSTEE    
  

    The Trustee shall have all rights and obligations as set forth with respect to the Trustee under the Senior Indenture. 

 
 

ARTICLE 6    
    
    PRECEDENCE OF PROVISIONS    
  

    In the case of a conflict between a provision of this Supplemental Indenture (a "Supplemental Provision") and
any other provision of the Senior Indenture, the Supplemental Provision shall control. 

 
 

ARTICLE 7    
    
    EVENTS OF DEFAULT; RIGHTS AND REMEDIES OF NOTEHOLDERS    
  

    SECTION 7.01.  Events of Default.  "Event of
Default" with respect to the Notes issued hereunder wherever used herein, means each one of the following events which shall have occurred and be continuing (whatever the
reason for such Event of Default and whether it shall be voluntary or involuntary or be effected by operation of law or pursuant to any judgment, decree or order of any court or any order, rule or
regulation of any administrative or governmental body): 

    (a) failure
by the Issuer to remedy a breach of any covenant under this Supplemental Indenture in any material respect (other than those covenants incorporated by
reference in Article 4 hereof) within 60 days after the Issuer became aware or should have become aware of such breach; or 

    (b) the
occurrence of any "Event of Default" under the Senior Indenture with respect to the Notes; or 

    (c) it
becomes unlawful for the Issuer to perform any of its obligations under the Fiscal Agency Agreement, the Senior Indenture, this Supplemental Indenture, or the
Notes; or 

    (d) the
Incurrence by the Issuer of Indebtedness if, after giving effect to such Incurrence and the receipt and application of the proceeds thereof, the aggregate
outstanding principal amount of the Issuer's Indebtedness exceeds $6 billion, unless the rating of the Notes immediately prior to such Incurrence is confirmed by each Rating Agency; or 

    (e) at
any time, and for 7 consecutive Business Days, the aggregate amount of cash and Permitted Investments held in, or credited to, the Liquidity Facility (including
Acceptable Letters of Credit held in lieu of cash or Permitted Investments pursuant to Section 5.03 of the Fiscal Agency Agreement) is less than an amount, determined at such time, equal to the
sum of the Next Payments of Scheduled Debt Service for all Debt Agreements pursuant to which Indebtedness is outstanding on such date; or 

    (f)  the
Issuer (or any entity that has assumed its obligations thereunder) revokes or terminates the Fiscal Agency Agreement, the Senior Indenture, this Supplemental
Indenture or any of the Notes or the Fiscal Agency Agreement, the Senior Indenture, this Supplemental Indenture or any of the Notes ceases to be in full force and effect other than pursuant to its
terms or is repudiated by the Issuer. 

    SECTION 7.02.  Rights Cumulative; No Marshaling; Waivers.  (a) The Issuer hereby agrees
that the rights and remedies set forth in the provisions hereof and of the Fiscal Agency Agreement and the Indenture are cumulative and may be exercised singly or concurrently and are in addition to
all other rights and remedies however existing or arising. To the extent that it lawfully may, the Issuer hereby agrees that it will not at any time plead, claim or take the benefit of any
appraisement, valuation, stay, extension, moratorium or redemption law now or hereafter in force and any requirement of marshaling in the event of foreclosure of the Note interests hereby created, and
the Issuer, for itself and all who 

10

 

may claim under the Issuer, as far as the Issuer lawfully may do so, hereby waives and releases the benefit of all such laws. 

    (b) A
waiver by the Trustee of any right or remedy hereunder on any one occasion shall not be construed as a bar to any right or remedy which the Trustee would
otherwise have had on any future occasion. No waiver by the Trustee of any right, power, remedy or privilege hereunder on any one
occasion shall be construed as a bar to any right, power, remedy or privilege which the Trustee would otherwise have on any future occasion. No failure to exercise, nor any delay in exercising, on the
part of the Trustee or any of the Noteholders, any right, power, remedy or privilege hereunder shall operate as a waiver thereof, nor shall any single or partial exercise of any right, power, remedy
or privilege hereunder preclude any other or further exercise thereof or the exercise of any other right, power, remedy or privilege. 

    (c) Upon
becoming a Holder of Notes, each such Holder shall be deemed to agree that such Holder shall only be entitled to receive payment of Accelerated Debt Service in
respect of such Notes, and such Holder shall not ask, demand, sue for, take or receive from the Issuer, by set-off or in any other manner, or retain, payment (in whole or in part) of Accelerated Debt
Service other than such Holder's ratable share of amounts, if any, on deposit in the Retention Account established and maintained with the Fiscal Agent;  provided that such agreement shall automatically
cease to have any force and effect upon the occurrence and during the continuance of any Event of
Default of the type referred to in Sections 7.01(a), 7.01(c), 7.01(d), 7.01(g), 7.01(h), 7.01(i), 7.01(k)(ii), 7.01(l) or 7.01(m) of the Fiscal Agency Agreement. The foregoing shall not limit
the right of any person to enforce the Receivables Documents against any party thereto or to exercise any right thereunder. 

    SECTION 7.03.  Default Interest.  Notwithstanding any other provision of the Indenture to the
contrary, if the Issuer shall fail to pay, when due, any principal installment of any Note or any other amount (whether of interest, fees or otherwise) owing to any Noteholder or the Trustee
hereunder, then the Issuer will pay to such Noteholder or the Trustee, as the case may be, on demand additional interest on the amount in default (after giving effect to any applicable grace period)
from the date such payment became due until payment in full of such amount in default at the rate of 1% per annum over the otherwise applicable per annum interest rate. 

 
 

ARTICLE 8    
    
    NOTICES    
  

    Any notice or other communication required to be delivered in connection with this Supplemental Indenture shall be delivered in accordance with the provisions
of the Senior Indenture. 

 
 

ARTICLE 9    
    
    SUPPLEMENTAL INDENTURES; WAIVERS    
  

    SECTION 9.01.  Supplemental Indentures Without Consent of Noteholders.  In addition to the matters
specified in Article 8 of the Senior Indenture, the Issuer and the Trustee may from time to time and at any time enter into an indenture or indentures supplemental hereto or to the Senior
Indenture relating to the Notes, without the vote or approval of any Noteholders, to convey, transfer, assign, mortgage or pledge to the Trustee, or grant to the Trustee an interest in, any property
or assets for the ratable benefit of the Noteholders; provided, however, that no such supplemental
indenture shall modify any provision of the Indenture which is intended to provide for the ratable benefit of all Noteholders. 

11

 
 
 

ARTICLE 10    
    
    MISCELLANEOUS    
  

    SECTION 10.01.  Limitation of Rights.  Nothing expressed or implied herein, in the Fiscal Agency
Agreement, the Indenture or the Notes shall give any person other than the Trustee, the Issuer and the Noteholders any right, remedy or claim under or with respect to the Fiscal Agency Agreement or
the Indenture. 

    SECTION 10.02.  No Recourse Against Issuer Representatives.  The Fiscal Agency Agreement, the
Indenture, and any other document executed and delivered by the Issuer in connection therewith is intended to be a corporate obligation of the Issuer only, and all of the statements, representations,
covenants and agreements made by the Issuer contained herein or therein are made and intended only for the purpose of binding the Issuer and establishing the existence of rights and remedies provided
for therein which can be exercised and enforced against the Issuer. Therefore, anything contained in the Fiscal Agency Agreement, the Senior Indenture, and any other document to the contrary
notwithstanding, no recourse may be made by any Noteholder against any incorporator, stockholder, officer or director as such of the Issuer with respect to claims against the Issuer arising under or
relating to the Fiscal Agency Agreement or the Indenture; provided, however, that nothing in this
Section 10.02 shall relieve the Issuer from its corporate obligations under the Indenture and the other Transaction Documents to which it is a party. 

    SECTION 10.03.  Currency.  (a) If any expense required to be reimbursed to the Trustee
pursuant to the Indenture is originally incurred in a currency other than Dollars, the Issuer shall nonetheless make reimbursement of that expense in Dollars in an amount equal to the amount in
Dollars what would have been required for the Person that incurred that expense to have purchased, in accordance with normal banking procedures, the sum paid in such other currency (after any premium
and costs of
exchange) on the date that expense was originally incurred. Any interest accruing thereon pursuant to Section 7.03 hereof shall be computed on the basis of that amount in Dollars. 

    (b) Each
reference in the Indenture to Dollars is of the essence. To the fullest extent permitted by applicable law, the obligation of the Issuer in respect of any
amount due under the Indenture or with respect to the Notes shall, notwithstanding any payment in any other currency (whether pursuant to a judgment or otherwise), be discharged only to the extent of
the amount in Dollars that the Person entitled to receive that payment may, in accordance with normal banking procedures, purchase with the sum paid in such other currency (after any premium and costs
of exchange) on the Business Day immediately following the day on which that Person receives that payment. If the amount in Dollars that may be so purchased for any reasons falls short of the amount
originally due, the Issuer shall pay such additional amounts, in Dollars, as may be necessary to compensate for the shortfall and if the Dollars so purchased exceed the amount originally due, such
excess shall be remitted to the Issuer. Any obligation of the Issuer not discharged by that payment shall, to the extent permitted by applicable law, be due as a separate and independent obligation
and, until discharged as provided herein, shall continue in full force and effect. 

    SECTION 10.04.  New York Law to Govern.  This Supplemental Indenture and each Note shall be deemed
to be a contract under the laws of the State of New York, and for all purposes shall be construed in accordance with the laws of such State, except as may otherwise be required by mandatory provisions
of law. 

    SECTION 10.05.  Waiver of Immunity; Submission to Jurisdiction and Appointment of Agent for Service of
Process.  The Issuer represents and warrants to the Trustee and the Holders that the execution by it of this Supplemental Indenture and the Notes and the
performance by it of its obligations hereunder and thereunder, constitute commercial activities of the Issuer within the meaning of the Foreign Sovereign Immunities Act of 1976, as amended, 28 U.S.C.
§§ 1602-1611 (the "FSIA"). 

12

 

    To the extent that the Issuer (including any of its revenues, assets or properties) has or hereafter may acquire any immunity from jurisdiction of any court, from service or notice,
attachment prior to judgment, attachment in aid of execution of judgement, or any other legal process for enforcement of judgment in any action or proceeding in any manner arising out of this
Indenture, the Notes, or the transactions contemplated hereby or thereby, the Issuer hereby irrevocably agrees not to plead or claim, and irrevocably waives any such immunity, and any defense based on
such immunity, in respect of its obligations arising out of this Indenture, the Notes and the transactions contemplated hereby and thereby. Without limiting the foregoing, the Issuer hereby expressly
and irrevocably waives (and agrees not to plead or claim or raise as a defense) any sovereign immunity under the FSIA from (i) any action or proceeding in any Federal or state court in the
United States arising out of this Indenture, the Notes and the transactions contemplated hereby and thereby and (ii) attachment prior to judgment, attachment in aid of execution, or execution
of a judgment arising out of this Indenture, the Notes and
the transactions contemplated hereby and thereby against the revenues, assets or properties of the Issuer located in the United States. 

    The
Issuer agrees that any legal suit, action or proceeding brought by the Trustee or any Noteholder arising out of or based upon this Supplemental Indenture or the Notes may be
brought in the federal courts of the United States for the Southern District of New York (and the courts of appeal thereto), and if they cannot or will not hear such an action, then in the state
courts of the County and State of New York (and courts of appeal thereto), waives any claim that such proceeding has been brought in an inconvenient forum, irrevocably submits to and accepts the
nonexclusive jurisdiction of such courts in any such proceeding and irrevocably hereby appoints CT Corporation System, with offices on the date hereof at 111 Eighth Avenue, New York, New York 10011,
and its successors, as its authorized agent (the "Authorized Agent") upon which process may be served in any such action which may be instituted in any
such court. The Issuer agrees to take any and all action, including the filing of any and all documents and instruments that may be necessary to continue such appointment in full force and effect as
aforesaid. Service of process upon the Authorized Agent and written notice of such service to the Issuer (mailed or delivered to the Issuer at its address set forth above) shall be deemed effective
service of process upon the Issuer, as the case may be. Notwithstanding the foregoing, any action based on this Supplemental Indenture, the Notes or the transactions contemplated hereby or thereby may
be instituted by the Trustee or any Noteholder in any competent court, including courts in the Cayman Islands and the Republic of Venezuela. 

    SECTION 10.06.  Counterparts.  This Supplemental Indenture may be executed in any number of
counterparts, each of which shall be an original; but such counterparts shall together constitute but one and the same instrument. 

    SECTION 10.07.  Effect of Headings.  The Article and Section headings herein and the Table of
Contents are for convenience only and shall not affect the construction hereof. 

13

 

    IN WITNESS WHEREOF, the Issuer and the Trustee have each caused this Supplemental Indenture to be executed by its duly authorized officer as of the date first set forth above. 

	 	 	PDVSA FINANCE LTD.
	

 	
 	

By:	

/s/ LUIS DAVILA   
 Name: Luis Davila

Title: Director
	

 	
 	

By:	

/s/ JULIAN FLESZCZYNSKI   
 Name: Julian Fleszczynski

Title: Director
	

 	
 	

JPMORGAN CHASE BANK, as Trustee
	

 	
 	

By:	

/s/ LUCIA JAKLITSCH   
 Name: Lucia Jaklitsch

Title: Assistant Vice-President

14

  

[FACE OF NOTE] 

    UNLESS
AND UNTIL IT IS EXCHANGED IN WHOLE OR IN PART FOR NOTES IN DEFINITIVE FORM, THIS NOTE MAY NOT BE TRANSFERRED EXCEPT IN WHOLE BY THE DEPOSITARY TO A NOMINEE OF THE DEPOSITARY OR
BY A NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY OR ANOTHER NOMINEE OF THE DEPOSITARY OR BY THE DEPOSITARY OR ANY SUCH NOMINEE TO A SUCCESSOR DEPOSITARY OR A NOMINEE OF SUCH SUCCESSOR DEPOSITARY.
UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY (55 WATER STREET, NEW YORK, NEW YORK), A NEW YORK CORPORATION
("DTC"), TO THE ISSUER OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF
CEDE & CO. OR SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST
HEREIN. 

A–1

 
 
 

PDVSA FINANCE LTD.
  8.50% NOTE DUE NOVEMBER 16, 2012    
  

	CUSIP No.:	 	 	 	 
	ISIN No.:	 	 	 	, 200 
	$	 	 	 	No. 

    PDVSA
FINANCE LTD., a limited liability company organized under the laws of the Cayman Islands (the "Issuer," which term includes any
successors under the Indenture hereinafter referred to), for value received, hereby promises to pay to Cede & Co., or registered assigns, the principal sum of            United
States Dollars (U.S.$    ), payable as set forth on the reverse side of this Note. 

    This
Note will mature on November 16, 2012. 

    Interest
and principal on this Note shall be payable as set forth on the reverse side of this Note. 

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

[SIGNATURES
FOLLOW] 

A–2

 

    IN WITNESS WHEREOF, the Issuer has caused this Note to be duly executed. 

	 	 	PDVSA FINANCE LTD.
	

 	
 	

By:	

/s/ LUIS DAVILA   
 Name: Luis Davila

Title: Director
	

 	
 	

By:	

/s/ JULIAN FLESZCZYNSKI   
 Name: Julian Fleszczynski

Title: Director

A–3

 
 
 

FORM OF TRUSTEE'S CERTIFICATE OF AUTHENTICATION    
  

    This is one of the 8.50% Notes due November 16, 2012 described in the within-mentioned Indenture. 

	 	 	JPMORGAN CHASE BANK, as Trustee
	

 	
 	

By:	

/s/ LUCIA JAKLITSCH   
 Authorized Signatory
	

Dated: November 11, 2001	
 	

 	

 

A–4

 
 
 

[REVERSE SIDE OF NOTE]    

PDVSA FINANCE LTD.  

 8.50% Note due November 16, 2012  

    1.  Interest and Principal  

    Principal
of this Note is payable on February 16, May 16, August 16 and November 16 (or, if any such day is not a Business Day, the next succeeding
Business Day, each, a "Payment Date") of each year to the
registered Holder of this Note as of February 1, May 1, August 1 and November 1 (each, a "Record Date") immediately
preceding such Payment Date, commencing on November 16, 2010, in equal installments of principal equal to 111/9% of the original principal amount of this Note. The portion of the
principal amount of this Note remaining unpaid on November 16, 2012 (the "Maturity Date"), together with all interest accrued and unpaid thereon,
shall be due and payable in full on the Maturity Date. 

    Interest
on this Note (including any Additional Amounts, if any) shall be payable on the unpaid principal amount of this Note on each Payment Date to the registered Holder of this
Note as of the relevant Record Date, commencing on February 16, 2002, at the rate of 8.50% per annum. Interest on this Note shall accrue from the most recent date to which interest has been
paid or, if no interest has been paid on this Note, from the date of issuance. Accrued interest on this Note shall be calculated on the basis of a 360-day year of twelve 30-day months and shall be
payable in arrears on each Payment Date to the Holder of this Note as of the Record Date immediately preceding the Payment Date. Any such interest not so punctually paid or duly provided for
("Defaulted Interest") will forthwith cease to be payable to the Holder on such Record Date and shall instead be payable to the Holder of record on a
date (a "Special Record Date") for the payment of such Defaulted Interest to be fixed by the Issuer, notice whereof shall be given by the Trustee to
Holders of Notes not less than 10 days prior to such Special Record Date, or be paid at any time in any other lawful manner not inconsistent with the requirements of any securities exchange on
which the Notes may be listed, and upon such notice as may be required by such exchange, all as more fully provided in the Indenture. 

    If
the Issuer shall fail to pay, when due, any principal installment of this Note or any other amount (whether of interest, fees or otherwise) owing to the Holder hereunder, then, the
Issuer will pay to the Holder on demand additional interest on the amount in default (after giving effect to any applicable grace period) from the date such payment became due until payment in full of
such amount in default at the rate of 1% per annum over the otherwise applicable per annum interest rate. 

    2.  Method of Payment  

    The
Issuer shall pay principal, where applicable, and interest (including any Additional Amounts) on this Note (except Defaulted Interest) to the Persons who are the registered
Holders at the close of business on the applicable Record Date. Except as provided below, the Issuer shall pay principal and interest in cash in U.S. dollars. This Note will be payable as to
principal, premium, if any, and interest (including any Additional Amounts) and this Note may be presented for registration of transfer or exchange, at the office or agency of the Issuer maintained
for such purpose within or without the Borough of Manhattan, the City and State of New York or, at the option of the Issuer, payment of interest and principal (including any Additional Amounts), may
be made by check mailed to the Holders at their addresses set forth in the register of Holders, and provided that payment by wire transfer of
immediately available funds will be required with respect to principal of, premium, if any, and interest and any Additional Amounts on all Global Notes and all other Notes the Holders of which shall
have provided wire transfer instructions to an account within the United States to the Issuer or the Paying Agent no later than the Record Date. Such wire instructions shall remain in effect until
revoked. Such payment shall be in such cash or currency of the United States of America as at the time of payment is legal tender for payment of public and private debts. Until otherwise designated by 

A–5

 

the Issuer, the Issuer's office or agency will be the Corporate Trust Office of the Trustee located at the date of the Supplemental Indenture referred to below at 450 West 33rd Street, 15th Floor, New
York, New York 10001. 

    3.  Paying Agent and Registrar  

    Initially,
JPMorgan Chase Bank (formerly known as "The Chase Manhattan Bank") will act as Trustee (the "Trustee," which term includes
any successor Trustee under the Indenture) and fiscal and paying agent (the "Fiscal Agent", which term includes any successor Fiscal Agent under the
Fiscal Agency Agreement). The Trustee will act as Registrar and the Fiscal Agent and the Trustee and Chase Manhattan Bank Luxembourg S.A. will act as Paying Agents. The Issuer may change any
Paying Agent, Registrar or co-Registrar without notice to the Holders; provided that the Fiscal Agent shall at all times be the principal Paying Agent.
The Issuer may, subject to certain exceptions, act as Paying Agent, Registrar or co-Registrar. 

    4.  Indenture  

    This
Note is one of the 8.50% Notes due November 16, 2012 issued under a Senior Indenture dated as of May 14, 1998 (the "Senior
Indenture") and supplemented by the Third Supplemental Indenture dated as of November 16, 2001 (the "Supplemental
Indenture") between the Issuer and the Trustee (the Senior Indenture and the Supplemental Indenture, collectively, the
"Indenture"). Capitalized terms herein are used as defined in the Senior Indenture, the Supplemental Indenture or the Fiscal Agency Agreement, as
applicable, unless otherwise defined herein. The terms of the Notes include those stated in the Indenture and those made part of the Indenture by reference to the Trust Indenture Act of 1939, as in
effect on the date of the Indenture (the "TIA"). The Notes are subject to all such terms, and Holders of Notes are referred to the Indenture and the TIA
for a statement of them. The Notes are direct, unconditional, senior, unsecured, general obligations of the Issuer. 

    5.  Redemption  

    The
Notes shall be redeemable, in whole, at any time, or in part, from time to time, at the option of the Issuer at the Redemption Price as provided in Section 2.05 of the
Supplemental Indenture. The "Redemption Price" shall be an amount equal to 100% of the outstanding principal amount of the Notes to be redeemed together
with accrued and unpaid interest thereon to the Redemption Date, together with an amount equal to the applicable Make-Whole Premium, if any, calculated as of the Business Day prior to the Redemption
Date. Each such prepayment must be in a minimum amount of $1,000,000 (or such lesser amount of such Notes as is then Outstanding). The principal amount of
Notes to be redeemed in part shall be allocated pro rata, by lot or in such other manner as the Trustee deems appropriate and fair. 

    6.  Redemption for Tax Reasons  

    The
Notes shall be redeemable at the option of the Issuer, as a whole, but not in part, upon giving not less than 30 days' nor more than 60 days' notice to the Holders
(which notice shall be irrevocable), at 100% of the outstanding principal amount thereof, plus accrued and unpaid interest payable with respect thereto, if (i) the Issuer has or will become
obligated to pay Additional Amounts with respect to such Notes as a result of any change in, or amendment to, the laws or regulations of the Cayman Islands, Venezuela or any political subdivision or
governmental authority thereof or therein having power to tax, or any change in the application or official interpretation of such laws or regulations, which change or amendment occurs after the
latest date of the issuance of Notes and (ii) such obligation cannot be avoided by the Issuer taking reasonable measures available to it. No such notice of redemption will be given earlier than
60 days prior to the earliest date on which the Issuer would be obligated to pay such Additional Amounts if a payment in respect to such Notes were then due. 

A–6

 

    Prior to the publication or mailing of any notice of redemption pursuant to the preceding paragraph, the Issuer must deliver to the Trustee an Officer's Certificate to the effect that
the Issuer's obligation to pay Additional Amounts cannot be avoided by the Issuer taking reasonable measures available to it. The Issuer will also deliver to the Trustee an opinion of an independent
legal counsel stating that the Issuer is or would be obligated to pay Additional Amounts due to the changes in tax laws or regulations. The Trustee will accept such certificate and opinion as
sufficient evidence of the satisfaction of the conditions precedent set forth in clauses (i) and (ii) of the foregoing paragraph, in which event it will be conclusive and binding on the
Holders. 

    7.  Notice of Redemption  

    Notice
of any redemption will be sent by first-class mail, postage prepaid, at least 30 days and not more than 60 days prior to the Redemption Date, to the Holder of
each Note to be redeemed to such Holder's last address as then shown upon the registry books of the Registrar. Any notice which relates to a Note to be redeemed in part only must state the portion of
the principal amount equal to the unredeemed portion thereof and must state that on and after the Redemption Date, upon surrender of such Note, a new Note or Notes in a principal amount equal to the
unredeemed portion thereof will be issued. On and after the Redemption Date, interest will cease to accrue on the Notes or portions thereof called for return, unless the Issuer defaults in the payment
thereof. 

    Except
as set forth in the Indenture, from and after the relevant Redemption Date, if the Redemption Price for the Notes (or portion thereof) called for redemption shall have been
deposited with the Paying Agent on or prior to such Redemption Date and payment of the Redemption Price for the Notes (or portion thereof) called for redemption is not otherwise prohibited, the Notes
(or portion thereof) called for redemption will cease to bear interest and the only right of the Holders of such Notes (or portion thereof) in respect of the payment of principal of or interest on the
Notes (or portion thereof) subject to redemption will be to receive payment of the Redemption Price. All other rights and remedies of the Holders of such Notes under the Indenture and the Notes shall
remain in full force and effect. 

    8.  Denominations; Transfer; Exchange  

    The
Notes are in fully registered form, without coupons, in denominations of $1,000 and integral multiples of $1,000. A Holder may register the transfer of Notes in accordance with
the Indenture. No service charge will be made for any registration of transfer or exchange of the Notes, but the Issuer may require a Holder, among other things, to furnish appropriate endorsements
and transfer documents and to pay any taxes or other governmental charge payable in connection therewith. Under certain circumstances set forth in the Indenture, the Registrar need not register the
transfer of or exchange any Notes. 

    9.  Additional Amounts  

    All
payments by the Issuer in respect of the Notes shall be made by the Issuer without withholding or deduction for or on account of any present or future taxes, duties, levies, or
other governmental charges of whatever nature in effect on the date of the Indenture or imposed or established in the future by or on behalf of the Cayman Islands or Venezuela or any authority in the
Cayman Islands or Venezuela. In the event any such taxes or liabilities are so imposed or established, the Issuer shall pay to each Holder such Additional Amounts as may become payable under
Section 3.08 of the Senior Indenture, subject to certain exceptions. 

    10.  Persons Deemed Owners  

    The
registered Holder of a Note may be treated as the owner of such Note for all purposes. 

A–7

 

    11.  Unclaimed Money  

    If
money for the payment of principal of or interest on the Notes remains unclaimed for two years after the date upon which such principal or interest shall have become due and
payable, the Trustee or the Paying Agent, as applicable, will pay the money back to the Issuer in accordance with Section 10.04 of the Senior Indenture. After that, all liability of the Trustee
and any such Paying Agent with respect to such money shall cease. 

    12.  Discharge Prior to Redemption or Maturity  

    If,
in accordance with Article 10 of the Senior Indenture, the Issuer irrevocably deposits with the Trustee, in trust, for the benefit of the Holders, cash, U.S. Government
Obligations or a combination thereof, in such amounts as will be sufficient in the opinion of a nationally recognized firm of independent public accountants, to pay the principal of, premium, if any,
and interest on the Notes through redemption or maturity and complies with all other applicable provisions of the Indenture, the Issuer will be discharged from certain provisions of the Indenture and
the Notes (including the covenants described in Paragraph 14 below, but excluding its obligation to pay the principal of and interest on the Notes). 

    13.  Amendment; Supplement; Waiver  

    Subject
to certain exceptions, the Indenture and the Notes may be amended or supplemented with the written consent of the Holders of at least a majority in aggregate principal amount
of the Notes then Outstanding (if applicable, voting as one class with other Holders of Notes of all affected series issued under the Indenture), and any past default and certain existing Events of
Default and their consequences may be waived with the consent of the Holders of the requisite percentage in aggregate principal amount of the Notes then Outstanding (if applicable, voting as one class
and with other Holders of Notes of the affected series issued under the Indenture). If, at any time after the principal of the Notes shall have been declared due and payable due to an Event of Default
in accordance with the provisions of the Indenture, and any and all Events of Default (other than the non-payment of the principal of the Notes which shall have become due by acceleration) shall have
been cured, waived or otherwise remedied as provided in the Indenture, the Holders of a majority in aggregate principal amount of Notes then Outstanding, voting as a single class, by written notice to
the Issuer and the Trustee, may waive all defaults with respect to the Notes and rescind and annul such declaration and its consequences, it being understood that no such waiver or rescission and
annulment shall extend to or shall affect any subsequent default or shall impair any right consequent thereon. Without notice to or consent of any Holder, the parties thereto may under certain
circumstances amend or supplement the Indenture or the Notes to, among other things, cure any ambiguity, defect or inconsistency, or make any other change that does not adversely affect the interests
of any Holder of a Note. 

    14.  Covenants  

    The
Indenture and the Fiscal Agency Agreement impose certain limitations on the ability of the Issuer to, among other things, incur additional indebtedness, pay dividends or make
certain other restricted payments, enter into certain transactions with Affiliates, incur liens, sell assets, merge or consolidate with any other Person or transfer (by lease, conveyance or otherwise)
all or substantially all of the properties and assets of the Issuer, other than in accordance with the terms of the Indenture and Fiscal Agency Agreement. The limitations are subject to a number of
important qualifications and exceptions. 

    15.  Successors  

    When
a successor to the Issuer assumes all the obligations of its predecessor under the Notes and the Indenture pursuant to the terms of the Indenture, the predecessor will be
released from those obligations. 

A–8

 

    16.  Defaults and Remedies  

    If
an Event of Default occurs and is continuing (other than an Event of Default relating to certain events of bankruptcy, insolvency or reorganization), then in every such case,
unless the principal of all of the Notes shall have already become due and payable, the Holders of 50% (with respect to an Event of Default relating to certain nonpayments of principal and interest on
the Notes) or 662/3% (with respect to all other Events of Default except an Event of Default relating to certain events of bankruptcy, insolvency or reorganization) in aggregate
principal amount of Notes then Outstanding may declare all the Notes to be due and payable in the manner and with the effect provided in the Indenture. Holders of Notes may not enforce the Indenture
or the Notes, except as provided in the Indenture. The Trustee may require indemnity satisfactory to it before it enforces the Indenture or the Notes. Subject to certain limitations, Holders of a
majority in aggregate principal amount of the Notes then Outstanding may direct the Trustee in its exercise of any trust or power. The Trustee may withhold from Holders of Notes notice of any Event of
Default (except an Event of Default in payment of principal or interest), if it determines that withholding such notice is in their interest. 

    Upon
becoming a Holder of Notes, each such Holder shall be deemed to agree that such Holder shall only be entitled to receive payment of such accelerated amounts in respect of such
Notes, and such Holder shall not ask, demand, sue for, take or receive from the Issuer, by set-off or in any other manner, or retain, payment (in whole or in part) of such amounts other than such
Holder's ratable share of amounts, if any, on deposit in the Retention Account established and maintained with the Fiscal Agent; provided that such
agreement shall automatically cease to have any force and effect upon
the occurrence and during the continuance of any Event of Default of the type referred to in Sections 7.01(a), (c), (d), (g), (h), (i), (k)(ii), (l) or (m) of the Fiscal Agency Agreement. The
foregoing shall not limit the right of any person to enforce the Receivables Documents against any party thereto or to exercise any right thereunder. 

    17.  Trustee Dealings with Issuer  

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

    18.  No Recourse Against Others  

    No
recourse under or upon any obligation, covenant or agreement contained in the Indenture, or in this Note, or because of any indebtedness evidenced hereby, shall be had against any
incorporator, as such or against any past, present or future stockholder, officer or director, as such, of the Issuer or of any successor, either directly or through the Issuer or any successor, under
any rule of law, statute or constitutional provision or by the enforcement of any assessment or by any legal or equitable proceeding or otherwise, all such liability being expressly waived and
released by the acceptance of this Note by the Holder hereof and as part of the consideration for the issue of this Note. 

    19.  Currency of Account; Conversion of Currency  

    U.S.
dollars are the sole currency of account and payment for all sums payable by the Issuer under or in connection with the Notes or the Indenture, including damages. The Issuer has
agreed that the provisions of Section 10.03 of the Supplemental Indenture shall apply to conversion of currency in the case of the Notes and the Indenture. 

    20.  Governing Law  

    The
Indenture and this Note shall be governed by, and construed in accordance with, the law of the State of New York. 

A–9

 

    21.  Agent for Service; Submission to Jurisdiction; Waiver of Immunities  

    The
Issuer has appointed CT Corporation System, currently located at 111 Eighth Avenue, New York, New York, 10011, as its authorized agent upon which process may be served in any
suit, or proceeding with respect to, arising out of, or relating to, this Note or the Indenture that may be brought in the federal courts of the United States for the Southern District of New York
(and the courts of appeal thereto), and if they cannot or will not hear such an action, then in the state courts of the County and State of New York (and courts of appeal thereto), or brought under
Federal or state securities laws and have agreed that there shall, at all times, be at least one agent for service of process for the Issuer appointed and acting in accordance with the provisions of
Section 11.09 of the Senior Indenture relating to agent for service of process. To the extent that the Issuer has or hereafter may acquire any immunity from jurisdiction of any court of from
any legal process (whether through service of notice, attachment prior to judgment, attachment in aid of execution, execution or otherwise) with respect to itself or its property, the Issuer has
irrevocably waived such immunity in respect of its obligations under the Indenture and this Note to the extent permitted by law. 

    22.  Authentication  

    This
Note shall not be valid until the Trustee or authenticating agent signs the certificate of authentication on the other side of this Note. 

    23.  Abbreviations and Defined Terms  

    Customary
abbreviations may be used in the name of a Holder of a Note or an assignee, such as: TEN COM (=tenants in common), TEN ENT (= tenants by the entireties), JT TEN (= joint
tenants with right of survivorship and not as tenants in common), CUST (= Custodian), and U/G/M/A (= Uniform Gifts to Minors Act). 

    24.  CUSIP, CINS and/or ISIN Numbers  

    The
Issuer will cause CUSIP, CINS and/or ISIN numbers to be printed on the Notes as a convenience to the Holders of the Notes. No representation is made as to the accuracy of such
numbers as printed on the Notes and reliance may be placed only on the other identification numbers printed hereon. 

    25.  Additional Rights of Holders  

    The
Issuer will furnish to any Holder upon written request and without charge a copy of the Senior Indenture and Supplemental Indenture. Requests may be made to: 

PDVSA
Finance Ltd.

Caledonian Bank & Trust Ltd.

Caledonian House

P.O. Box 1043

George Town, Grand Cayman

Cayman Islands 

A–10

QuickLinks

TABLE OF CONTENTS

THIRD SUPPLEMENTAL INDENTURE

ARTICLE 1 DEFINITIONS AND RULES OF CONSTRUCTION

ARTICLE 2 THE NOTES

ARTICLE 3 PAYMENTS; REGISTRAR; PAYING AGENTS

ARTICLE 4 COVENANTS

ARTICLE 5 THE TRUSTEE

ARTICLE 6 PRECEDENCE OF PROVISIONS

ARTICLE 7 EVENTS OF DEFAULT; RIGHTS AND REMEDIES OF NOTEHOLDERS

ARTICLE 8 NOTICES

ARTICLE 9 SUPPLEMENTAL INDENTURES; WAIVERS

ARTICLE 10 MISCELLANEOUS

PDVSA FINANCE LTD. 8.50% NOTE DUE NOVEMBER 16, 2012

FORM OF TRUSTEE'S CERTIFICATE OF AUTHENTICATION

[REVERSE SIDE OF NOTE]

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00032-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00032-of-00352.parquet"}]]