EXHIBIT 4.1
UNITED STATES CELLULAR CORPORATION
AND
BNY MIDWEST TRUST COMPANY,
AS TRUSTEE
-------
INDENTURE
Dated as of ___________, 2002
TABLE OF CONTENTS
PAGE
CROSS-REFERENCE TABLE
Section of
Trust Indenture Act Section of
of 1939, as amended Indenture
------------------- ----------
310(a) 7.09
310(b) 7.08
310(b) 7.10
310(c) Inapplicable
311(a) 7.13
311(b) 7.13
311(c) Inapplicable
312(a) 5.01
312(a) 5.02(a)
312(b) 5.02(c)
312(b) 5.02(d)
312(c) 5.02(e)
313(a) 5.04(a)
313(b) 5.04(b)
313(c) 5.04(a)
5.04(b)
313(d) 5.04(c)
314(a) 5.03
314(b) Inapplicable
314(c) 13.06(a)
314(d) Inapplicable
314(e) 13.06(b)
314(f) Inapplicable
315(a) 7.01(a)
315(a) 7.02
315(b) 6.07
315(c) 7.01(a)
315(d) 7.01(b)
315(e) 6.08
316(a) 6.06
316(a) 8.04
316(b) 6.04
316(c) 8.01
317(a) 6.02
317(b) 4.03
318(a) 13.08
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This Table of Contents does not constitute part of the Indenture and should
not have any bearing upon the interpretation of any of its terms or provisions.
ARTICLE I. DEFINITIONS...........................................................................................1
SECTION 1.01. Certain defined terms........................................................................1
ARTICLE II. ISSUE, DESCRIPTION, TERMS, EXECUTION, REGISTRATION AND EXCHANGE OF SECURITIES.........................6
SECTION 2.01. Designation, Terms, Amount, Authentication and Delivery of Securities........................6
SECTION 2.02. Form of Security and Trustee's Certificate...................................................8
SECTION 2.03. Date and Denominations of Securities, and Provisions for Payment of Principal,
Premium and Interest.....................................................................................8
SECTION 2.04. Execution of Securities......................................................................9
SECTION 2.05. Exchange of Securities......................................................................10
(a) Registration and Transfer of Securities............................................................10
(b) Security Register; Securities to be Accompanied by Proper Instruments of Transfer..................10
(c) Charges upon Exchange, Transfer or Registration of Securities......................................10
(d) Restrictions on Transfer or Exchange at Time of Redemption.........................................11
SECTION 2.06. Temporary Securities........................................................................11
SECTION 2.07. Mutilated, Destroyed, Lost or Stolen Securities.............................................11
SECTION 2.08. Cancellation of Surrendered Securities......................................................12
SECTION 2.09. Provisions of Indenture and Securities for Sole Benefit of Parties and Securityholders......12
SECTION 2.10. Appointment of Authenticating Agent.........................................................12
SECTION 2.11. Global Security.............................................................................12
(a) Authentication and Delivery; Legend................................................................12
(b) Transfer of Global Security........................................................................12
(c) Issuance of Securities in Definitive Form..........................................................13
SECTION 2.12. Payment in Proper Currency..................................................................13
SECTION 2.13. Identification of Securities................................................................13
ARTICLE III. REDEMPTION OF SECURITIES AND SINKING FUND PROVISIONS...............................................13
SECTION 3.01. Redemption of Securities....................................................................13
SECTION 3.02. Action to Redeem Securities.................................................................13
(a) Notice of Redemption...............................................................................13
(b) Notice to Trustee of Securities to be Redeemed.....................................................14
SECTION 3.03. Payment of Securities Called for Redemption.................................................14
(a) When Securities Called for Redemption become Due and Payable.......................................14
(b) Receipt of New Security upon Partial Payment.......................................................15
SECTION 3.04. Sinking Fund for Securities.................................................................15
SECTION 3.05. Satisfaction of Sinking Fund Payments with Securities.......................................15
SECTION 3.06. Redemption of Securities for Sinking Fund...................................................15
ARTICLE IV. PARTICULAR COVENANTS OF THE COMPANY.................................................................15
SECTION 4.01. Payment of Principal (and Premium if any) and Interest on Securities........................15
SECTION 4.02. Maintenance of Office or Agency for Payment, Registration, Transfer and
Exchange of Securities..................................................................................15
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SECTION 4.03. Paying Agent................................................................................16
(a) Duties of Paying Agent.............................................................................16
(b) Company as Paying Agent............................................................................16
(c) Holding Sums in Trust..............................................................................16
SECTION 4.04. Appointment to Fill Vacancy in Office of Trustee............................................17
SECTION 4.05. Restriction on Consolidation, Merger of Trustee.............................................17
SECTION 4.06. Original Issue Discount Security............................................................17
ARTICLE V. SECURITYHOLDERS' LISTS AND REPORTS BY THE COMPANY AND THE TRUSTEE....................................17
SECTION 5.01. Company to Furnish Trustee Information as to Names and Addresses of Securityholders.........17
SECTION 5.02. Responsibilities of Trustee Relating to Securityholder Information..........................17
(a) Trustee to Preserve Information as to Names and Addresses of Securityholders.......................17
(b) Trustee may Destroy List of Securityholders on Certain Conditions..................................17
(c) Trustee to Make Information as to Names and Addresses of Securityholders Available to
Certain Applicants.................................................................................17
(d) Procedure if Trustee Elects not to Make Information Available to Applicants........................18
(e) Company and Trustee not Accountable for Disclosure of Information..................................18
SECTION 5.03. Delivery Obligations of Company.............................................................18
(a) Annual and Other Reports to be Filed by Company with Trustee.......................................18
(b) Additional Information and Reports to be Filed with Trustee and Securities and Exchange
Commission.........................................................................................18
(c) Summaries of Information and Reports to be Transmitted by Company to Securityholders...............18
(d) Annual Certificate to be Furnished to Trustee......................................................19
(e) Effect of Delivery to Trustee......................................................................19
SECTION 5.04. Delivery Obligations of Trustee.............................................................19
(a) Trustee to Transmit Annual Report to Securityholders...............................................19
(b) Trustee to Transmit Certain Further Reports to Securityholders.....................................20
(c) Copies of Reports to be Filed with Stock Exchanges and Securities and Exchange Commission..........20
ARTICLE VI. REMEDIES OF THE TRUSTEE AND SECURITYHOLDERS ON EVENT OF DEFAULT.....................................20
SECTION 6.01. Events of Default...........................................................................20
(a) Events of Default Defined..........................................................................20
(b) Acceleration of Maturity upon Event of Default.....................................................21
(c) Waiver of Default and Rescission of Declaration of Maturity........................................21
(d) Restoration of Former Position and Rights upon Curing Default......................................21
SECTION 6.02. Rights of Trustee upon Default..............................................................21
(a) Covenant of Company to Pay to Trustee Whole Amount due on Securities on Default in
Payment of Interest or Principal (and Premium, if any).............................................21
(b) Trustee may Recover Judgment for Whole Amount due on Securities on Failure of Company to Pay.......22
(c) Proof of Claim by Trustee in Bankruptcy, Reorganization or Receivership Proceeding.................22
(d) Rights of Action and of Asserting Claims may be Enforced by Trustee without
Possession of Securities..........................................................................22
SECTION 6.03. Application of Monies Collected by Trustee..................................................22
SECTION 6.04. Limitation on Suits by Holders of Securities................................................23
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SECTION 6.05. Remedies; Delay or Omission in Exercise of Rights...........................................23
(a) Remedies Cumulative................................................................................23
(b) Delay or Omission in Exercise of Rights not Waiver of Default......................................23
SECTION 6.06. Rights of Holders of Majority in Principal Amount of Securities to Direct
Trustee and to Waive Defaults...........................................................................23
SECTION 6.07. Notice of Known Defaults....................................................................24
SECTION 6.08. Undertaking to Pay Costs in Certain Suits under Indenture or Against Trustee................24
ARTICLE VII. CONCERNING THE TRUSTEE.............................................................................25
SECTION 7.01. Certain Duties and Responsibilities of Trustee..............................................25
(a) Upon Event of Default..............................................................................25
(b) Negligence or Willful Misconduct by Trustee........................................................25
SECTION 7.02. Certain Rights of Trustee...................................................................25
(a) Trustee Reliance on Documents......................................................................26
(b) Evidence Provided for Certain Instruments..........................................................26
(c) Trustee may Consult with Counsel and Act on Advice or Opinion of Counsel...........................26
(d) Trustee may Require Indemnity from Securityholders.................................................26
(e) Trustee not Liable for Actions in Good Faith Believed to be Authorized.............................26
(f) Trustee not Bound to Investigate Facts or Matters..................................................26
(g) Trustee may Perform Duties Directly or through Agents or Attorneys.................................26
(h) Permissive Rights of Trustee.......................................................................26
SECTION 7.03. Limitations in Liability of Trustee.........................................................26
(a) Trustee not Liable for Recitals in Indenture or in Securities......................................27
(b) No Representations by Trustee as to Validity or Indenture or of Securities.........................27
(c) Trustee not Accountable for Use of Securities or Proceeds..........................................27
SECTION 7.04. Trustee, Paying Agent or Security Registrar may Own Securities..............................27
SECTION 7.05. Monies Received by Trustee to be Held in Trust without Interest.............................27
SECTION 7.06. Compensation and Reimbursement of Trustee...................................................27
(a) Trustee Entitled to Compensation, Reimbursement and Indemnity......................................27
(b) Obligations to Trustee to be Secured by Lien prior to Securities...................................27
(c) Nature of Expenses.................................................................................27
(d) Survival of Obligations............................................................................27
SECTION 7.07. Trustee May Rely on Certificate of Officers of Company......................................28
SECTION 7.08. Trustee Must Eliminate Conflict or Resign...................................................28
SECTION 7.09. Requirements for Eligibility of Trustee.....................................................28
SECTION 7.10. Trustee.....................................................................................28
(a) Resignation of Trustee and Appointment of Successor................................................28
(b) Removal of Trustee by Company or by Court on Securityholders' Application..........................28
(c) Removal of Trustee by Holders of Majority in Principal Amount of Securities........................29
(d) Time when Resignation or Removal of Trustee Effective..............................................29
(e) One Trustee for each Series........................................................................29
(f) Removal of Trustee by the Company..................................................................29
SECTION 7.11. Successor Trustee...........................................................................29
(a) Acceptance by Successor Trustee....................................................................29
(b) Trustee with Respect to Less than all Series.......................................................29
(c) Company to Confirm Trustee's Rights................................................................30
(d) Successor Trustee to be Qualified..................................................................30
(e) Notice of Succession...............................................................................30
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SECTION 7.12. Successor to Trustee by Merger, Consolidation of Succession to Business.....................30
SECTION 7.13. Limitations on Rights of Trustee as a Creditor to Obtain Payment of Certain Claims..........30
ARTICLE VIII. CONCERNING THE SECURITYHOLDERS....................................................................30
SECTION 8.01. Evidence of Action by Securityholders.......................................................30
SECTION 8.02. Proof of Execution of Instruments and of Holding of Securities..............................31
SECTION 8.03. Who may be Deemed Owners of Securities......................................................31
SECTION 8.04. Securities Owned by Company or Affiliated Persons Disregarded for Certain Purposes..........31
SECTION 8.05. Instruments Executed by Securityholders Binding on Future Holders...........................32
ARTICLE IX. SUPPLEMENTAL INDENTURES.............................................................................32
SECTION 9.01. Supplemental Indenture Without Consent of Securityholders...................................32
SECTION 9.02. Supplemental Indenture with Consent of Securityholders......................................34
SECTION 9.03. Effect of Supplemental Indentures...........................................................34
SECTION 9.04. Securities may Bear Notation of Changes by Supplemental Indentures..........................35
SECTION 9.05. Opinion of Counsel..........................................................................35
ARTICLE X. CONSOLIDATION, MERGER AND SALE.......................................................................35
SECTION 10.01. Consolidations or Mergers of Company and Sales or Conveyances of Property of Company.......35
SECTION 10.02. Successor to Company.......................................................................35
(a) Rights and Duties of Successor Company.............................................................35
(b) Appropriate Changes may be made in Phraseology and Form of Securities..............................36
(c) Company may Consolidate or Merge into Itself or Acquire Properties of Other Corporations...........36
SECTION 10.03. Opinion of Counsel.........................................................................36
ARTICLE XI. DEFEASANCE AND CONDITIONS TO DEFEASANCE; UNCLAIMED MONIES...........................................36
SECTION 11.01. Defeasance and Conditions to Defeasance....................................................36
(a) Securities may be Defeased.........................................................................36
(b) Covenant and Legal Defeasance......................................................................36
(c) Conditions for Defeasance..........................................................................36
(d) Event of Default Following Covenant Defeasance.....................................................37
(e) Effect of Defeasance...............................................................................37
SECTION 11.02. Application by Trustee of Funds Deposited for Payment of Securities........................37
SECTION 11.03. Repayment of Monies held by Paying Agent...................................................37
SECTION 11.04. Repayment of Monies held by Trustee........................................................37
SECTION 11.05. Delivery of Officer's Certificate and Opinion of Counsel...................................37
ARTICLE XII. IMMUNITY OF INCORPORATORS, STOCKHOLDERS, OFFICERS AND DIRECTORS....................................38
SECTION 12.01. Incorporators, Stockholders, Officers and Directors of Company Exempt from
Individual Liability.................................................................................38
ARTICLE XIII. MISCELLANEOUS PROVISIONS..........................................................................38
SECTION 13.01. Successors and Assigns of Company Bound by Indenture.......................................38
SECTION 13.02. Acts of Board, Committee or Officer of Successor Company...................................38
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SECTION 13.03. Headings...................................................................................38
SECTION 13.04. Notices....................................................................................38
SECTION 13.05. Governing Law..............................................................................38
SECTION 13.06. Officers' Certificate and Opinion of Counsel...............................................38
(a) When Required......................................................................................38
(b) Statements to be Included in each Certificate or Opinion...........................................39
SECTION 13.07. Payments Due on Non-Business Days..........................................................39
SECTION 13.08. Provisions Required by Trust Indenture Act of 1939.........................................39
SECTION 13.09. Execution in Counterparts..................................................................39
SECTION 13.10. Separability of Indenture Provisions.......................................................39
SECTION 13.11. Successors and Assigns.....................................................................39
SECTION 13.12. Securities in Foreign Currencies...........................................................39
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INDENTURE
THIS INDENTURE, dated as of the ___ day of ___________, 2002, between
UNITED
STATES CELLULAR CORPORATION, a corporation duly organized and existing under the
laws of the State of Delaware (hereinafter sometimes referred to as the
"Company"), and BNY MIDWEST TRUST COMPANY, an
Illinois Trust Company, as trustee
(hereinafter sometimes referred to as the "Trustee"):
WHEREAS, for its lawful corporate purposes, the Company has duly authorized
the execution and delivery of this Indenture to provide for the issuance of
unsecured promissory notes or other evidences of indebtedness (hereinafter
referred to as the "Securities"), in an unlimited aggregate principal amount to
be issued from time to time in one or more series as in this Indenture provided,
as registered Securities without coupons, to be manually authenticated by the
certificate of the Trustee, and which will rank pari passu with all other
unsecured and unsubordinated debt of the Company;
WHEREAS, to provide the terms and conditions upon which the Securities are to
be authenticated, issued and delivered, the Company has duly authorized the
execution of this Indenture;
WHEREAS, the Securities and the certificate of authentication to be borne by
the Securities (the "Certificate of Authentication") are to be substantially in
such forms as may be approved by a Company Order (as defined below), or set
forth in this Indenture or in any indenture supplemental to this Indenture;
AND WHEREAS, all acts and things necessary to make the Securities issued
pursuant hereto, when executed by the Company and authenticated and delivered by
the Trustee as in this Indenture provided, the valid, binding and legal
obligations of the Company, and to constitute these presents a valid indenture
and agreement according to its terms, have been done and performed or will be
done and performed prior to the issuance of such Securities, and the execution
of this Indenture has been and the issuance hereunder of the Securities has been
or will be prior to issuance in all respects duly authorized, and the Company,
in the exercise of the legal right and power in it vested, executes this
Indenture and proposes to make, execute, issue and deliver the Securities;
NOW, THEREFORE, THIS INDENTURE WITNESSETH:
That in order to declare the terms and conditions upon which the Securities
are and are to be authenticated, issued and delivered, and in consideration of
the premises, of the purchase and acceptance of the Securities by the holders
thereof and of the sum of one dollar ($1.00) to it duly paid by the Trustee at
the execution of these presents, the receipt whereof is hereby acknowledged, the
Company covenants and agrees with the Trustee, for the equal and proportionate
benefit (subject to the provisions of this Indenture) of the respective holders
from time to time of the Securities, without any discrimination, preference or
priority of any one Security over any other by reason of priority in the time of
issue, sale or negotiation thereof, or otherwise, except as provided herein, as
follows:
ARTICLE I.
DEFINITIONS
SECTION 1.01. CERTAIN DEFINED TERMS. The terms defined in this Section
(except as in this Indenture otherwise expressly provided or unless the context
otherwise requires) for all purposes of this Indenture, any Company Order, any
Board Resolution, and any indenture supplemental hereto shall have the
respective meanings specified in this Section. All other terms used in this
Indenture which are defined in the Trust Indenture Act of 1939, as amended, or
which are by reference in such Act defined in the Securities Act of 1933, as
amended (except as herein otherwise expressly provided or unless the context
otherwise requires), shall have the meanings assigned to such terms in said
Trust Indenture Act and in said Securities Act as in force at the date of the
execution of this instrument.
Affiliate
The term "Affiliate" shall have the meaning set forth in the Securities Act
of 1933, as amended.
1
Authenticating Agent
The term "Authenticating Agent" shall mean an authenticating agent with
respect to all or any of the series of Securities, as the case may be, appointed
with respect to all or any series of the Securities, as the case may be, by the
Trustee pursuant to Section 2.10.
Authorized Officer
The term "Authorized Officer" shall mean the Chairman of the Board (whether
or not such person is an officer of the Company), the President, any Vice
President, the Treasurer or any other officer or agent of the Company duly
authorized by the Board of Directors to act in respect of matters relating to
this Indenture.
Board of Directors or Board
The term "Board of Directors" or "Board" shall mean the Board of Directors of
the Company, or any duly authorized committee of such Board.
Board Resolution
The term "Board Resolution" shall mean a copy of a resolution certified by
the Secretary or an Assistant Secretary of the Company to have been duly adopted
by the Board of Directors and to be in full force and effect on the date of such
certification.
Business Day
The term "Business Day", with respect to any Security, shall mean any day
that (a) in the Place of Payment (or in any of the Places of Payment, if more
than one) in which amounts are payable as specified in the form of such Security
and (b) in the city in which the Trustee administers its corporate trust
business, is not a day on which banking institutions are authorized or required
by law or regulation to close.
Certificate
The term "Certificate" shall mean a certificate signed by an Authorized
Officer. The Certificate need not comply with the provisions of Section 13.06.
Commission
The term "Commission" shall mean the Securities and Exchange Commission, as
from time to time constituted, created under the Securities Exchange Act of
1934, as amended (the "Exchange Act") or if at any time after the execution of
this instrument such Commission is not existing and performing the duties now
assigned to it under the Trust Indenture Act, then the body, if any, performing
such duties on such date.
Company
The term "Company" shall mean
United States Cellular Corporation, a
corporation duly organized and existing under the laws of Delaware, and, subject
to the provisions of Article Ten, shall also include its successors and assigns.
Company Order
The term "Company Order" shall mean a written order signed in the name of the
Company by an Authorized Officer and the Secretary or an Assistant Secretary of
the Company, pursuant to a Board Resolution establishing a series of Securities.
Corporate Trust Office
The term "Corporate Trust Office" shall mean the office of the Trustee at
which at any particular time its corporate trust business shall be principally
administered, which office at the date of the execution of this Indenture is
located at ▇ ▇▇▇▇▇ ▇▇▇▇▇▇▇ ▇▇▇▇▇▇, ▇▇▇▇▇ ▇▇▇▇, ▇▇▇▇▇▇▇, ▇▇ ▇▇▇▇▇.
2
Default
The term "Default" shall mean any event, act or condition which with notice
or lapse of time, or both, would constitute an Event of Default.
Depository
The term "Depository" shall mean, with respect to Securities of any series,
for which the Company shall determine that such Securities will be issued as a
Global Security, The Depository Trust Company, New York, New York, another
clearing agency, or any successor registered as a clearing agency under the
Exchange Act or other applicable statute or regulation, which, in each case,
shall be designated by the Company pursuant to either Section 2.01 or 2.11.
Dollar
The term "Dollar" or "$" means a dollar or other equivalent unit in such coin
or currency of the United States as at the time shall be legal tender for the
payment of public and private debts.
Eligible Obligations
The term "Eligible Obligations" means (a) with respect to Securities
denominated in Dollars, Governmental Obligations; or (b) with respect to
Securities denominated in a currency other than Dollars or in a composite
currency, such other obligations or instruments as shall be specified with
respect to such Securities, as contemplated by Section 2.01.
Event of Default
The term "Event of Default" with respect to Securities of a particular series
shall mean any event specified in Section 6.01, continued for the period of
time, if any, therein designated.
Global Security
The term "Global Security" shall mean, with respect to any series of
Securities, a Security executed by the Company and authenticated and delivered
by the Trustee to the Depository or pursuant to the Depository's instruction,
all in accordance with the Indenture, which shall be registered in the name of
the Depository or its nominee.
Governmental Authority
The term "Governmental Authority" means the government of the United States
or of any State or Territory thereof or of the District of Columbia or of any
county, municipality or other political subdivision of any of the foregoing, or
any department, agency, authority or other instrumentality of any of the
foregoing.
Governmental Obligations
The term "Governmental Obligations" shall mean securities that are (i) direct
obligations of the United States of America for the payment of which its full
faith and credit is pledged or (ii) obligations of a person controlled or
supervised by and acting as an agency or instrumentality of the United States,
the payment of which is unconditionally guaranteed as a full faith and credit
obligation by the United States, which, in either case, are not callable or
redeemable at the option of the issuer thereof, and shall also include a
depository receipt issued by a bank (as defined in Section 3(a)(2) of the
Securities Act of 1933, as amended) as custodian with respect to any such
Governmental Obligation or a specific payment of principal of or interest on any
such Governmental Obligation held by such custodian for the account of the
holder of such depository receipt; provided that (except as required by law)
such custodian is not authorized to make any deduction from the amount payable
to the holder of such depository receipt from any amount received by such
custodian in respect of the Governmental Obligation or the specific payment of
principal of or interest on the Governmental Obligation evidenced by such
depository receipt.
3
Indenture
The term "Indenture" shall mean this instrument as originally executed, or,
if amended or supplemented as herein provided, as so amended or supplemented,
and shall include the terms of a particular series of Securities established as
contemplated by Section 2.01.
Instructions
The term "Instructions" shall mean instructions acceptable to the Trustee
issued pursuant to a Company Order in connection with a Periodic Offering and
signed by an Authorized Officer. Instructions need not comply with the
provisions of Section 13.06.
Interest
The term "interest" when used with respect to non-interest bearing Securities
shall mean interest payable after maturity (whether at stated maturity, upon
acceleration or redemption or otherwise) or after the date, if any, on which the
Company becomes obligated to acquire a Security, whether by purchase or
otherwise.
Interest Payment Date
The term "Interest Payment Date" when used with respect to any installment of
interest on a Security of a particular series shall mean the date specified in
such Security or in a Board Resolution, Company Order or an indenture
supplemental hereto with respect to such series as the fixed date on which an
installment of interest with respect to Securities of that series is due and
payable.
Officers' Certificate
The term "Officers' Certificate" shall mean a certificate signed by an
Authorized Officer and by the Secretary or Assistant Secretary of the Company.
Each such certificate shall include the statements provided for in Section
13.06, if and to the extent required by the provisions hereof.
Opinion of Counsel
The term "Opinion of Counsel" shall mean an opinion in writing signed by
legal counsel, who may be the General Counsel of or counsel for the Company.
Each such opinion shall include the statements provided for in Section 13.06, if
and to the extent required by the provisions hereof.
Original Issue Discount Security
The term "Original Issue Discount Security" means any Security which (i) is
issued at a price lower than the amount payable upon the maturity thereof and
(ii) provides for an amount less than the principal amount thereof to be due and
payable upon a declaration of acceleration of the maturity thereof pursuant to
Section 6.01(b).
Outstanding
The term "outstanding", when used with reference to Securities of any series,
shall, subject to the provisions of Section 8.04, mean, as of any particular
time, all Securities of that series theretofore authenticated and delivered by
the Trustee under this Indenture, except (a) Securities theretofore canceled by
the Trustee or any paying agent, or delivered to the Trustee or any paying agent
for cancellation or which have previously been canceled; (b) Securities or
portions thereof for the payment or redemption of which monies or Eligible
Obligations in the necessary amount shall have been deposited in trust with the
Trustee or with any paying agent (other than the Company) or shall have been set
aside and segregated in trust by the Company (if the Company shall act as its
own paying agent); provided, however, that if such Securities or portions of
such Securities are to be redeemed prior to the maturity thereof, notice of such
redemption shall have been given as in Article Three provided, or provision
satisfactory to the Trustee shall have been made for giving such notice; and (c)
Securities in lieu of or in substitution for which other Securities shall have
been authenticated and delivered pursuant to the terms of Section 2.07. The
principal amount of an Original Issue Discount Security that shall be deemed to
be Outstanding for purposes of this Indenture shall be the amount of
4
the principal thereof that would be due and payable as of the date of such
determination upon a declaration of acceleration of the maturity thereof.
Periodic Offering
The term "Periodic Offering" means an offering of Securities of a series from
time to time, during which any or all of the specific terms of the Securities,
including without limitation the rate or rates of interest, if any, thereon, the
maturity or maturities thereof and the redemption provisions, if any, with
respect thereto, are to be determined by the Company or its agents upon the
issuance of such Securities.
Person
The term "person" means any individual, corporation, partnership, limited
liability company, joint venture, trust or unincorporated organization or any
Governmental Authority.
Place of Payment
The term "Place of Payment" shall mean the place or places where the
principal of and interest, if any, on the Securities of any series are payable
as specified in accordance with Section 2.01.
Predecessor Security
The term "Predecessor Security" of any particular Security shall mean every
previous Security evidencing all or a portion of the same debt as that evidenced
by such particular Security; and, for the purposes of this definition, any
Security authenticated and delivered under Section 2.07 in lieu of a lost,
destroyed or stolen Security shall be deemed to evidence the same debt as the
lost, destroyed or stolen Security.
Responsible Officer
The term "Responsible Officer" when used with respect to the Trustee shall
mean the chairman of the board of directors, the president, any vice president,
the secretary, the treasurer, any trust officer, any corporate trust officer or
any other officer or assistant officer of the Trustee customarily performing
functions similar to those performed by the persons who at the time shall be
such officers, respectively, or to whom any corporate trust matter is referred
because of his or her knowledge of and familiarity with the particular subject.
Security or Securities
The term "Security" or "Securities" shall mean any Security or Securities, as
the case may be, authenticated and delivered under this Indenture.
Securityholder
The term "Securityholder", "holder of Securities" or "registered holder"
shall mean the person or persons in whose name or names a particular Security
shall be registered on the books of the Company kept for that purpose in
accordance with the terms of this Indenture.
series
The term "series" means a series of Securities established pursuant to this
Indenture and includes, if the context so requires, each Tranche thereof.
Tranche
The term "Tranche" means Securities which (a) are of the same series and (b)
have identical terms except as to terms that may vary as specified in a Company
Order or supplemental indenture.
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Trustee
The term "Trustee" shall mean BNY Midwest Trust Company, and, subject to the
provisions of Article Seven, shall also include its successors and assigns, and,
if at any time there is more than one person acting in such capacity hereunder,
"Trustee" shall mean each such person. The term "Trustee" as used with respect
to a particular series of the Securities shall mean the trustee with respect to
that series.
Trust Indenture Act
The term "Trust Indenture Act", subject to the provisions of Sections 9.01,
9.02, and 10.01, shall mean the Trust Indenture Act of 1939, as amended and in
effect at the date of execution of this Indenture.
United States
The term "United States" means the United States of America, its territories,
its possessions and other areas subject to its political jurisdiction.
ARTICLE II.
ISSUE, DESCRIPTION, TERMS, EXECUTION, REGISTRATION AND
EXCHANGE OF SECURITIES
SECTION 2.01. DESIGNATION, TERMS, AMOUNT, AUTHENTICATION AND DELIVERY OF
SECURITIES. The aggregate principal amount of Securities which may be
authenticated and delivered under this Indenture is unlimited.
The Securities may be issued from time to time in one or more series and in
one or more Tranches thereof. Each series shall be authorized by a Company Order
or Orders and/or one or more indentures supplemental hereto, which shall specify
whether the Securities of such series shall be subject to a Periodic Offering.
The Company Order or Orders or supplemental indenture and, in the case of a
Periodic Offering, Instructions or other procedures acceptable to the Trustee
specified in such Company Order or Orders, shall establish the terms of the
series, which may include the following:
(a) the title and designation of the Securities and the series;
(b) imitations on the aggregate principal amount of the Securities
to be authenticated and delivered under this Indenture as part of such series
(except for Securities authenticated and delivered upon registration of transfer
of, in exchange for or in lieu of other Securities of that series);
(c) the stated maturity or maturities of such series;
(d) the date or dates from which interest shall accrue, the Interest
Payment Dates on which such interest will be payable or the manner of
determination of such Interest Payment Dates and the record date for the
determination of holders to whom interest is payable on any such Interest
Payment Date;
(e) the interest rate or rates (which may be fixed or variable), or
method of calculation of such rate or rates, for such series;
(f) the terms, if any, regarding the redemption, purchase or
repayment of such series (whether at the option of the Company or a holder of
the Securities of such series and whether pursuant to a sinking fund or
analogous provisions, including payments made in cash in anticipation of future
sinking fund obligations), including redemption, purchase or repayment date or
dates of such series, if any, and the price or prices and other terms and
conditions applicable to such redemption, purchase or repayment (including any
premium);
(g) whether or not the Securities of such series shall be issued in
whole or in part in the form of a Global Security and, if so, the Depositary for
such Global Security and the related procedures with respect to transfer and
exchange of such Global Security;
(h) the form of the Securities of such series;
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(i) the maximum annual interest rate, if any, of the Securities
permitted for such series;
(j) whether the Securities of such series shall be subject to
Periodic Offering;
(k) the currency or currencies, including composite currencies, in
which payment of the principal of (and premium, if any) and interest on the
Securities of such series shall be payable, if other than Dollars;
(l) any other information necessary to complete the Securities of
such series;
(m) the establishment of any office or agency pursuant to Section
4.02 hereof and any other place or places which the principal of and interest,
if any, on Securities of that series shall be payable;
(n) other than denominations of $1,000 or any integral multiple
thereof, the denominations in which the Securities of the series shall be
issuable;
(o) the obligations or instruments, if any, which shall be
considered to be Eligible Obligations in respect of the Securities of such
series denominated in a currency other than Dollars or in a composite currency;
(p) whether or not the Securities of such series shall be issued as
Original Issue Discount Securities and the terms thereof, including the portion
of the principal amount thereof which shall be payable upon declaration of
acceleration of the maturity thereof pursuant to Section 6.01(b);
(q) if the principal of and premium, if any, or interest, if any, on
such Securities are to be payable, at the election of the Company or the holder
thereof, in coin or currency, including composite currencies, other than that in
which the Securities are stated to be payable, the period or periods within
which, and the terms and conditions upon which, such election shall be made;
(r) if the amount of payment of principal of and premium, if any, or
interest, if any, on such Securities may be determined with reference to an
index, formula or other method, or based on a coin or currency other than that
in which the Securities are stated to be payable, the manner in which such
amount shall be determined;
(s) any addition to, or modification or deletion of, any covenants
or terms herein, including restrictive covenants or Events of Default provided
for with respect to the Securities of the series;
(t) the terms and conditions, if any, pursuant to which the
Securities of the series are secured;
(u) whether the Securities of the series will be exchangeable into
other securities and, if so, the terms and conditions upon which such Securities
will be so exchangeable, including whether exchange is mandatory, at the option
of the holder, or at the option of the Company, the exchange price, the exchange
period and any provisions pursuant to which the securities to be received by the
holders of such series of Securities would be subject to adjustment; and
(v) any other terms of such series not inconsistent with this
Indenture.
All Securities of any one series shall be substantially identical except as
to denomination and except as may otherwise be provided in or pursuant to any
such Company Order or in any indentures supplemental hereto.
If any of the terms of the series are established by action taken pursuant to
a Company Order, a copy of an appropriate record of the applicable Board
Resolution shall be certified by the Secretary or an Assistant Secretary of the
Company and delivered to the Trustee at or prior to the delivery of the Company
Order setting forth the terms of that series.
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SECTION 2.02. FORM OF SECURITY AND TRUSTEE'S CERTIFICATE. The Securities
of any series shall be substantially of the tenor and purport (i) as set forth
in one or more indentures supplemental hereto or as provided in a Company Order,
or (ii) with respect to any Tranche of Securities of a series subject to
Periodic Offering, to the extent permitted by any of the documents referred to
in clause (i) above, in Instructions, or by other procedures acceptable to the
Trustee specified in such Company Order or Orders, in each case with such
appropriate insertions, omissions, substitutions and other variations as are
required or permitted by this Indenture, and may have such letters, numbers or
other marks of identification or designation and such legends or endorsements
printed, lithographed or engraved thereon as the Company may deem appropriate
and as are not inconsistent with the provisions of this Indenture, or as may be
required to comply with any law or with any rule or regulation made pursuant
thereto or with any rule or regulation of any stock exchange on which Securities
of that series may be listed or of the Depository, or to conform to usage.
The Trustee's Certificate of Authentication shall be in substantially the
following form:
"This is one of the Securities of the series designated in accordance with,
and referred to in, the within-mentioned Indenture.
Dated:
BNY Midwest Trust Company, as Trustee
By:
----------------------------
Authorized Signatory"
SECTION 2.03. DATE AND DENOMINATIONS OF SECURITIES, AND PROVISIONS FOR
PAYMENT OF PRINCIPAL, PREMIUM AND INTEREST. Except as otherwise specified as
contemplated by Section 2.01, the Securities shall be issuable as registered
Securities and in the denominations of $1,000 or any integral multiple thereof.
The Securities of a particular series shall bear interest payable on the dates
and at the rate or rates specified with respect to that series. Except as
otherwise specified as contemplated by Section 2.01, the principal of and the
interest on the Securities of any series, as well as any premium thereon in case
of redemption thereof prior to maturity, shall be payable in Dollars at the
office or agency of the Company maintained for that purpose. Each Security shall
be dated the date of its authentication.
The interest installment on any Security which is payable, and is punctually
paid or duly provided for, on any Interest Payment Date for Securities of that
series shall be paid to the person in whose name said Security (or one or more
Predecessor Securities) is registered at the close of business on the regular
record date for such interest installment, except that interest payable on
redemption or maturity shall be payable as set forth in the Company Order or
indenture supplemental hereto establishing the terms of such series of
Securities. Except as otherwise specified as contemplated by Section 2.01,
interest on Securities will be computed on the basis of a 360-day year of twelve
30-day months.
Any interest on any Security which is payable, but is not punctually paid or
duly provided for, on any Interest Payment Date for Securities of the same
series (herein called "Defaulted Interest") shall forthwith cease to be payable
to the registered holder on the relevant regular record date by virtue of having
been such holder; and such Defaulted Interest shall be paid by the Company, at
its election, as provided in clause (1) or clause (2) below:
(1) The Company may make payment of any Defaulted Interest on Securities to
the persons in whose names such Securities (or their respective Predecessor
Securities) are registered at the close of business on a special record date for
the payment of such Defaulted Interest, which shall be fixed in the following
manner: the Company shall notify the Trustee in writing of the amount of
Defaulted Interest proposed to be paid on each such Security and the date of the
proposed payment, and at the same time the Company shall deposit with the
Trustee an amount of money equal to the aggregate amount proposed to be paid in
respect of such Defaulted Interest or shall make arrangements satisfactory to
the Trustee for such deposit prior to the date of the proposed payment, such
money when deposited to be held in trust for the benefit of the persons entitled
to such Defaulted Interest as in this clause provided. Thereupon the Trustee
shall fix a special record date for the payment of such Defaulted Interest which
shall not be more than 15 nor less than 10 days prior to the date of the
proposed payment and not less than 10 days after the receipt by the Trustee of
the notice of the proposed payment. The Trustee shall promptly notify the
Company of
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such special record date and, in the name and at the expense of the Company,
shall cause notice of the proposed payment of such Defaulted Interest and the
special record date therefor to be mailed, first class postage prepaid, to each
Securityholder at his or her address as it appears in the Security Register (as
hereinafter defined), not less than 10 days prior to such special record date.
Notice of the proposed payment of such Defaulted Interest and the special record
date therefor having been mailed as aforesaid, such Defaulted Interest shall be
paid to the persons in whose names such Securities (or their respective
Predecessor Securities) are registered on such special record date and shall be
no longer payable pursuant to the following clause (2).
(2) The Company may make payment of any Defaulted Interest on any Securities
in any other lawful manner not inconsistent with the requirements of any
securities exchange on which such Securities may be listed, and upon such notice
as may be required by such exchange, if, after notice given by the Company to
the Trustee of the proposed payment pursuant to this clause, such manner of
payment shall be deemed practicable by the Trustee.
Unless otherwise set forth in a Company Order or one or more indentures
supplemental hereto establishing the terms of any series of Securities pursuant
to Section 2.01 hereof, the term "regular record date" as used in this Section
with respect to a series of Securities with respect to any Interest Payment Date
for such series shall mean either (i) the fifteenth day of the month or the next
Business Day immediately preceding the month in which an Interest Payment Date
established for such series pursuant to Section 2.01 hereof shall occur, if such
Interest Payment Date is the first day of a month, or (ii) the last day of the
month or the next Business Day immediately preceding the month in which an
Interest Payment Date established for such series pursuant to Section 2.01
hereof shall occur, if such Interest Payment Date is the fifteenth day of a
month, whether or not such date is a Business Day.
Subject to the foregoing provisions of this Section, each Security of a
series delivered under this Indenture upon transfer of or in exchange for or in
lieu of any other Security of such series shall carry the rights to interest
accrued and unpaid, and to accrue, which were carried by such other Security.
SECTION 2.04. EXECUTION OF SECURITIES. The Securities shall, subject to
the provisions of Section 2.06, be printed on steel engraved borders or fully or
partially engraved, or legibly typed, as the proper officer of the Company may
determine, and shall be signed on behalf of the Company by an Authorized
Officer. The signature of such Authorized Officer upon the Securities may be in
the form of a facsimile signature of a present or any future Authorized Officer
and may be imprinted or otherwise reproduced on the Securities and for that
purpose the Company may use the facsimile signature of any person who shall have
been an Authorized Officer, notwithstanding the fact that at the time the
Securities shall be authenticated and delivered or disposed of such person shall
have ceased to be an Authorized Officer.
Only such Securities as shall bear thereon a Certificate of Authentication
substantially in the form established for such Securities, executed manually by
an authorized signatory of the Trustee, or by any Authenticating Agent with
respect to such Securities, shall be entitled to the benefits of this Indenture
or be valid or obligatory for any purpose. Such certificate executed by the
Trustee, or by any Authenticating Agent appointed by the Trustee with respect to
such Securities, upon any Security executed by the Company shall be conclusive
evidence that the Security so authenticated has been duly authenticated and
delivered hereunder and that the registered holder thereof is entitled to the
benefits of this Indenture.
At any time and from time to time after the execution and delivery of this
Indenture, the Company may deliver Securities of any series executed by the
Company to the Trustee for authentication, together with an indenture
supplemental hereto or a Company Order for the authentication and delivery of
such Securities and the Trustee, in accordance with such supplemental indenture
or Company Order, shall authenticate and deliver such Securities; provided,
however, that in the case of Securities offered in a Periodic Offering, the
Trustee shall authenticate and deliver such Securities from time to time in
accordance with Instructions or such other procedures acceptable to the Trustee
as may be specified by or pursuant to such supplemental indenture or Company
Order delivered to the Trustee prior to the time of the first authentication of
Securities of such series.
In authenticating such Securities and accepting the additional
responsibilities under this Indenture in relation to such Securities, the
Trustee shall receive and (subject to Section 7.01) shall be fully protected in
relying upon, (i) an Opinion of Counsel and/or (ii) an Officers' Certificate,
each stating that the form and terms thereof have been established in conformity
with the provisions of this Indenture; provided, however, that, with respect to
Securities of a series subject to a Periodic Offering, the Trustee shall be
entitled to receive such Opinion of Counsel and/or
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Officers' Certificate only once at or prior to the time of the first
authentication of Securities of such series and that, in such opinion or
certificate, the opinion or certificate described above may state that when the
terms of such Securities, or each Tranche thereof, shall have been established
pursuant to a Company Order or Orders, supplemental indenture or indentures,
Instruction or Instructions or pursuant to such procedures acceptable to the
Trustee, as may be specified by a Company Order, such terms will have been
established in conformity with the provisions of this Indenture. Each Opinion of
Counsel and Officers' Certificate delivered pursuant to this Section 2.04 shall
include all statements prescribed in Section 13.06(b). Such Opinion of Counsel
shall also be to the effect that when such Securities have been executed by the
Company and authenticated by the Trustee in accordance with the provisions of
this Indenture and delivered to and duly paid for by the purchasers thereof,
they will be valid and legally binding obligations of the Company, enforceable
in accordance with their terms (subject to customary exceptions) and will be
entitled to the benefits of this Indenture.
With respect to Securities of a series subject to a Periodic Offering, the
Trustee may conclusively rely, as to the authorization by the Company of any of
such Securities, the forms and terms thereof and the legality, validity, binding
effect and enforceability thereof, upon the Company Order, Opinion of Counsel,
Instruction, Officers' Certificate and other documents delivered pursuant to
Sections 2.01 and this Section, as applicable, at or prior to the time of the
first authentication of Securities of such series unless and until such Company
Order, Opinion of Counsel, Instruction, Officers' Certificate or other documents
have been superseded or revoked or expire by their terms.
The Trustee shall not be required to authenticate such Securities if the
issue of such Securities pursuant to this Indenture will affect the Trustee's
own rights, duties or immunities under the Securities and this Indenture or
otherwise in a manner which is not reasonably acceptable to the Trustee.
SECTION 2.05. EXCHANGE OF SECURITIES.
(a) REGISTRATION AND TRANSFER OF SECURITIES. Securities of any
series may be exchanged upon presentation thereof at the office or agency of the
Company designated for such purpose, for other Securities of such series of
authorized denominations, and for a like aggregate principal amount, upon
payment of a sum sufficient to cover any tax or other governmental charge in
relation thereto, all as provided in this Section. In respect of any Securities
so surrendered for exchange, the Company shall execute, the Trustee shall
authenticate and such office or agency shall deliver in exchange therefor the
Security or Securities of the same series which the Securityholder making the
exchange shall be entitled to receive, bearing numbers not contemporaneously
outstanding.
(b) SECURITY REGISTER; SECURITIES TO BE ACCOMPANIED BY PROPER
INSTRUMENTS OF TRANSFER. The Company shall keep, or cause to be kept, at its
office or agency designated for such purpose in the Borough of Manhattan, the
City and State of New York, or such other location designated by the Company a
register or registers (herein referred to as the "Security Register") in which,
subject to such reasonable regulations as it may prescribe, the Company shall
register the Securities and the transfers of Securities as in this Article
provided and which at all reasonable times shall be open for inspection by the
Trustee. The registrar for the purpose of registering Securities and transfer of
Securities as herein provided shall initially be the Trustee or such other
person as may be subsequently appointed as authorized by Board Resolution or
Company Order (the "Security Registrar").
Upon surrender for transfer of any Security at the office or agency of the
Company designated for such purpose in the Borough of Manhattan, the City and
State of New York, or other location as aforesaid, the Company shall execute,
the Trustee shall authenticate and such office or agency shall deliver in the
name of the transferee or transferees a new Security or Securities of the same
series as the Security presented for a like aggregate principal amount.
All Securities presented or surrendered for exchange or registration of
transfer, as provided in this Section, shall be accompanied (if so required by
the Company or the Security Registrar) by a written instrument or instruments of
transfer, in form satisfactory to the Company or the Security Registrar, duly
executed by the registered holder or by his duly authorized attorney in writing.
(c) CHARGES UPON EXCHANGE, TRANSFER OR REGISTRATION OF
SECURITIES. Except as provided in the first paragraph of Section 2.07, no
service charge shall be made for any exchange or registration of transfer of
Securities, or issue of new Securities in case of partial redemption of any
series, but the Company may require
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payment of a sum sufficient to cover any tax or other governmental charge in
relation thereto, other than exchanges pursuant to Section 2.06, Section 3.03(b)
and Section 9.04 not involving any transfer.
(d) RESTRICTIONS ON TRANSFER OR EXCHANGE AT TIME OF REDEMPTION. The
Company shall neither be required (i) to issue, exchange or register the
transfer of any Securities during a period beginning at the opening of business
15 days before the day of the mailing of a notice of redemption of less than all
the outstanding Securities of the same series and ending at the close of
business on the day of such mailing, nor (ii) to register the transfer of or
exchange any Securities of any series or portions thereof called for redemption
or as to which the holder thereof has exercised its right, if any, to require
the Company to repurchase such Security in whole or in part, except that portion
of such Security not required to be repurchased. The provisions of this Section
2.05 are, with respect to any Global Security, subject to Section 2.11 hereof.
SECTION 2.06. TEMPORARY SECURITIES. Pending the preparation of definitive
Securities of any series, the Company may execute, and the Trustee shall
authenticate and deliver, temporary Securities (printed, lithographed or
typewritten) of any authorized denomination, and substantially in the form of
the definitive Securities in lieu of which they are issued, but with such
omissions, insertions and variations as may be appropriate for temporary
Securities, all as may be determined by the Company. Every temporary Security of
any series shall be executed by the Company and be authenticated by the Trustee
upon the same conditions and in substantially the same manner, and with like
effect, as the definitive Securities of such series in accordance with Section
2.04. Without unnecessary delay the Company will execute and will furnish
definitive Securities of such series and thereupon any or all temporary
Securities of such series may be surrendered in exchange therefor (without
charge to the holders thereof), at the office or agency of the Company
designated for the purpose, and the Trustee shall authenticate and such office
or agency shall deliver in exchange for such temporary Securities an equal
aggregate principal amount of definitive Securities of such series, unless the
Company advises the Trustee to the effect that definitive Securities need not be
executed and furnished until further notice from the Company. Until so
exchanged, the temporary Securities of such series shall be entitled to the same
benefits under this Indenture as definitive Securities of such series
authenticated and delivered hereunder.
SECTION 2.07. MUTILATED, DESTROYED, LOST OR STOLEN SECURITIES. In case any
temporary or definitive Security shall become mutilated or be destroyed, lost or
stolen, the Company (subject to the next succeeding sentence) shall execute, and
upon its request the Trustee (subject as aforesaid) shall authenticate and
deliver, a new Security of the same series bearing a number not
contemporaneously outstanding, in exchange and substitution for the mutilated
Security, or in lieu of and in substitution for the Security so destroyed, lost
or stolen. In every case the applicant for a substituted Security shall furnish
to the Company and to the Trustee such security or indemnity as may be required
by them to save each of them harmless, and, in every case of destruction, loss
or theft, the applicant shall also furnish to the Company and to the Trustee
evidence to their satisfaction of the destruction, loss or theft of the
applicant's Security and of the ownership thereof. The Trustee may authenticate
any such substituted Security and deliver the same upon the written request or
authorization of any officer of the Company. Upon the issuance of any
substituted Security, the Company may require the payment of a sum sufficient to
cover any tax or other governmental charge that may be imposed in relation
thereto and any other expenses (including the fees and expenses of the Trustee)
connected therewith. In case any Security which has matured or is about to
mature shall become mutilated or be destroyed, lost or stolen, the Company may,
instead of issuing a substitute Security, pay or authorize the payment of the
same (without surrender thereof except in the case of a mutilated Security) if
the applicant for such payment shall furnish to the Company and to the Trustee
such security or indemnity as they may require to save them harmless, and, in
case of destruction, loss or theft, evidence to the satisfaction of the Company
and the Trustee of the destruction, loss or theft of such Security and of the
ownership thereof.
Every Security issued pursuant to the provisions of this Section in
substitution for any Security which is mutilated, destroyed, lost or stolen
shall constitute an additional contractual obligation of the Company, whether or
not the mutilated, destroyed, lost or stolen Security shall be found at any
time, or be enforceable by anyone, and shall be entitled to all the benefits of
this Indenture equally and proportionately with any and all other Securities of
the same series duly issued hereunder. All Securities shall be held and owned
upon the express condition that the foregoing provisions are exclusive with
respect to the replacement or payment of mutilated, destroyed, lost or stolen
Securities, and shall preclude (to the extent lawful) any and all other rights
or remedies, notwithstanding any law or statute existing or hereafter enacted to
the contrary with respect to the replacement or payment of negotiable
instruments or other securities without their surrender.
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SECTION 2.08. CANCELLATION OF SURRENDERED SECURITIES. All Securities
surrendered for the purpose of payment, redemption, exchange or registration of
transfer, or for credit against a sinking fund, shall, if surrendered to the
Company or any paying agent, be delivered to the Trustee for cancellation, or,
if surrendered to the Trustee, shall be canceled by it, and no Securities shall
be issued in lieu thereof except as expressly required or permitted by any of
the provisions of this Indenture. On request of the Company, the Trustee shall
deliver to the Company canceled Securities held by the Trustee. In the absence
of such request the Trustee may dispose of canceled Securities in accordance
with its standard procedures. If the Company shall otherwise acquire any of the
Securities, however, such acquisition shall not operate as a redemption or
satisfaction of the indebtedness represented by such Securities unless and until
the same are delivered to the Trustee for cancellation.
SECTION 2.09. PROVISIONS OF INDENTURE AND SECURITIES FOR SOLE BENEFIT OF
PARTIES AND SECURITYHOLDERS. Nothing in this Indenture or in the Securities,
express or implied, shall give or be construed to give to any person, firm or
corporation, other than the parties hereto and the holders of the Securities,
any legal or equitable right, remedy or claim under or in respect of this
Indenture, or under any covenant, condition or provision herein contained; all
such covenants, conditions and provisions being for the sole benefit of the
parties hereto and of the holders of the Securities.
SECTION 2.10. APPOINTMENT OF AUTHENTICATING AGENT. So long as any of the
Securities of any series remain outstanding there may be an Authenticating Agent
for any or all such series of Securities which the Trustee shall have the right
to appoint. Said Authenticating Agent shall be authorized to act on behalf of
the Trustee to authenticate Securities of such series issued upon exchange,
transfer or partial redemption thereof, and Securities so authenticated shall be
entitled to the benefits of this Indenture and shall be valid and obligatory for
all purposes as if authenticated by the Trustee hereunder. All references in
this Indenture to the authentication of Securities by the Trustee shall be
deemed to include authentication by an Authenticating Agent for such series
except for authentication upon original issuance or pursuant to Section 2.07
hereof. Each Authenticating Agent shall be acceptable to the Company and shall
be a corporation which has a combined capital and surplus, as most recently
reported or determined by it, sufficient under the laws of any jurisdiction
under which it is organized or in which it is doing business to conduct a trust
business, and which is otherwise authorized under such laws to conduct such
business and is subject to supervision or examination by Federal or State
authorities. If at any time any Authenticating Agent shall cease to be eligible
in accordance with these provisions it shall resign immediately.
Any Authenticating Agent may at any time resign by giving written notice of
resignation to the Trustee and to the Company. The Trustee may at any time (and
upon request by the Company shall) terminate the agency of any Authenticating
Agent by giving written notice of termination to such Authenticating Agent and
to the Company. Upon resignation, termination or cessation of eligibility of any
Authenticating Agent, the Trustee may appoint an eligible successor
Authenticating Agent acceptable to the Company. Any successor Authenticating
Agent, upon acceptance of its appointment hereunder, shall become vested with
all the rights, powers and duties of its predecessor hereunder as if originally
named as an Authenticating Agent pursuant hereto. The Company agrees to pay to
each Authenticating Agent from time to time reasonable compensation for its
services under this Section.
SECTION 2.11. GLOBAL SECURITY.
(a) AUTHENTICATION AND DELIVERY; LEGEND. If the Company shall
establish pursuant to Section 2.01 that the Securities of a particular series
are to be issued as a Global Security, then the Company shall execute and the
Trustee shall, in accordance with Section 2.04, authenticate and deliver, a
Global Security which (i) shall represent, and shall be denominated in an amount
equal to the aggregate principal amount of, all of the Outstanding Securities of
such series, (ii) shall be registered in the name of the Depository or its
nominee, (iii) shall be authenticated and delivered by the Trustee to the
Depository or pursuant to the Depository's instruction and (iv) shall bear a
legend substantially to the following effect: "Except as otherwise provided in
Section 2.11 of the Indenture, this Security may be transferred, in whole but
not in part, only to another nominee of the Depository or to a successor
Depository or to a nominee of such successor Depository."
(b) TRANSFER OF GLOBAL SECURITY. Notwithstanding the provisions of
Section 2.05, the Global Security of a series may be transferred, in whole but
not in part and in the manner provided in Section 2.05, only to another nominee
of the Depository for such series, or to a successor Depository for such series
selected or approved by the Company or to a nominee of such successor
Depository.
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(c) ISSUANCE OF SECURITIES IN DEFINITIVE FORM. If at any time the
Depository for a series of Securities notifies the Company that it is unwilling
or unable to continue as Depository for such series or if at any time the
Depository for such series shall no longer be registered or in good standing
under the Exchange Act, or other applicable statute or regulation and a
successor Depository for such series is not appointed by the Company within 90
days after the Company receives such notice or becomes aware of such condition,
as the case may be, this Section 2.11 shall no longer be applicable to the
Securities of such series and the Company will execute, and subject to Section
2.05, the Trustee will authenticate and deliver Securities of such series in
definitive registered form without coupons, in authorized denominations, and in
an aggregate principal amount equal to the principal amount of the Global
Security of such series in exchange for such Global Security. In addition, the
Company may at any time determine that the Securities of any series shall no
longer be represented by a Global Security and that the provisions of this
Section 2.11 shall no longer apply to the Securities of such series. In such
event the Company will execute, and subject to Section 2.05, the Trustee, upon
receipt of an Officers' Certificate evidencing such determination by the
Company, will authenticate and deliver Securities of such series in definitive
registered form without coupons, in authorized denominations, and in an
aggregate principal amount equal to the principal amount of the Global Security
of such series in exchange for such Global Security. Upon the exchange of the
Global Security for such Securities in definitive registered form without
coupons, in authorized denominations, the Global Security shall be canceled by
the Trustee. Such Securities in definitive registered form issued in exchange
for the Global Security pursuant to this Section 2.11(c) shall be registered in
such names and in such authorized denominations as the Depository, pursuant to
instructions from its direct or indirect participants or otherwise, shall
instruct the Security Registrar. The Trustee shall deliver such Securities to
the Depository for delivery to the persons in whose names such Securities are so
registered.
SECTION 2.12. PAYMENT IN PROPER CURRENCY. In the case of the Securities of
any series denominated in any currency other than Dollars or in a composite
currency (the "Required Currency"), except as otherwise specified with respect
to such Securities as contemplated by Section 2.01, the obligation of the
Company to make any payment of the principal thereof, or the premium or interest
thereon, shall not be discharged or satisfied by any tender by the Company, or
recovery by the Trustee, in any currency other than the Required Currency,
except to the extent that such tender or recovery shall result in the Trustee
timely holding the full amount of the Required Currency then due and payable. If
any such tender or recovery is in a currency other than the Required Currency,
the Trustee may take such actions as it considers appropriate to exchange such
currency for the Required Currency. The costs and risks of any such exchange,
including, without limitation, the risks of delay and exchange rate fluctuation,
shall be borne by the Company, the Company shall remain fully liable for any
shortfall or delinquency in the full amount of Required Currency then due and
payable, and in no circumstances shall the Trustee be liable therefor except in
the case of its negligence or willful misconduct.
SECTION 2.13. IDENTIFICATION OF SECURITIES. The Company in issuing
Securities may use "CUSIP" numbers (if then generally in use) and, if so used,
the Trustee shall use "CUSIP" numbers in notices of redemption as a convenience
to holders of Securities; provided that any such notice may state that no
representation is made as to the correctness of such numbers either as printed
on the Securities or contained in any notice of redemption and that reliance may
be placed only on the other identification numbers printed on the Securities,
and any such redemption shall not be affected by any defect in or omission of
such numbers. The Company shall promptly notify the Trustee of any change in the
CUSIP numbers.
ARTICLE III.
REDEMPTION OF SECURITIES AND SINKING FUND PROVISIONS
SECTION 3.01. REDEMPTION OF SECURITIES. The Company may redeem the
Securities of any series issued hereunder on and after the dates and in
accordance with the terms established for such series pursuant to Section 2.01
hereof.
SECTION 3.02. ACTION TO REDEEM SECURITIES.
(a) NOTICE OF REDEMPTION. In case the Company shall desire to
exercise such right to redeem all or, as the case may be, a portion of the
Securities of any series in accordance with the right reserved so to do, it
shall give notice of such redemption to holders of the Securities of such series
to be redeemed by mailing, first class
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postage prepaid, a notice of such redemption not less than 30 days and not more
than 60 days before the date fixed for redemption of that series to such holders
at their last addresses as they shall appear upon the Security Register. Any
notice which is mailed in the manner herein provided shall be conclusively
presumed to have been duly given, whether or not the registered holder receives
the notice. In any case, failure duly to give such notice to the holder of any
Security of any series designated for redemption in whole or in part, or any
defect in the notice, shall not affect the validity of the proceedings for the
redemption of any other Securities of such series or any other series. In the
case of any redemption of Securities prior to the expiration of any restriction
on such redemption or subject to compliance with certain conditions provided in
the terms of such Securities or elsewhere in this Indenture, the Company shall
furnish the Trustee with an Officers' Certificate evidencing compliance with any
such restriction or condition.
Unless otherwise so provided as to a particular series of Securities, if at
the time of mailing of any notice of redemption the Company shall not have
deposited with the paying agent an amount in cash sufficient to redeem all of
the Securities called for redemption, including accrued interest to the date
fixed for redemption, such notice shall state that it is subject to the receipt
of redemption moneys by the paying agent on or before the date fixed for
redemption (unless such redemption is mandatory) and such notice shall be of no
effect unless such moneys are so received on or before such date.
Each such notice of redemption shall identify the Securities to be redeemed
(including CUSIP numbers, if any), specify the date fixed for redemption and the
redemption price at which Securities of that series are to be redeemed, and
shall state that payment of the redemption price of such Securities to be
redeemed will be made at the office or agency of the Company, upon presentation
and surrender of such Securities, that interest accrued to the date fixed for
redemption will be paid as specified in said notice, that from and after said
date interest will cease to accrue and that the redemption is for a sinking
fund, if such is the case. If less than all the Securities of a series are to be
redeemed, the notice to the holders of Securities of that series to be redeemed
in whole or in part shall specify the particular Securities to be so redeemed.
In case any Security is to be redeemed in part only, the notice which relates to
such Security shall state the portion of the principal amount thereof to be
redeemed, and shall state that on and after the redemption date, upon surrender
of such Security, a new Security or Securities of such series in principal
amount equal to the unredeemed portion thereof will be issued.
(b) NOTICE TO TRUSTEE OF SECURITIES TO BE REDEEMED. If less than all
the Securities of a series are to be redeemed, the Company shall give the
Trustee at least 45 days' notice in advance of the date fixed for redemption
(unless the Trustee shall agree to a shorter period) as to the aggregate
principal amount of Securities of the series to be redeemed, and thereupon the
Trustee shall select, by lot or in such other manner as it shall deem
appropriate and fair in its discretion and which may provide for the selection
of a portion or portions (equal to the smallest denomination of one whole
Security of such series or any integral multiple thereof) of the principal
amount of such Securities of a denomination larger than the smallest
denomination of one whole Security of such series, the Securities to be redeemed
and shall thereafter promptly notify the Company in writing of the numbers of
the Securities to be redeemed, in whole or in part.
The Company may, if and whenever it shall so elect, by delivery of
instructions signed on its behalf by an Authorized Officer, instruct the Trustee
or any paying agent to call all or any part of the Securities of a particular
series for redemption and to give notice of redemption in the manner set forth
in this Section, such notice to be in the name of the Company or its own name as
the Trustee or such paying agent may deem advisable. In any case in which notice
of redemption is to be given by the Trustee or any such paying agent, the
Company shall deliver or cause to be delivered to, or permit to remain with, the
Trustee or such paying agent, as the case may be, such Security Register,
transfer books or other records, or suitable copies or extracts therefrom,
sufficient to enable the Trustee or such paying agent to give any notice by mail
that may be required under the provisions of this Section.
SECTION 3.03. PAYMENT OF SECURITIES CALLED FOR REDEMPTION.
(a) WHEN SECURITIES CALLED FOR REDEMPTION BECOME DUE AND PAYABLE. If
the giving of notice of redemption shall have been completed as above provided,
the Securities or portions of Securities of the series to be redeemed specified
in such notice shall become due and payable on the date and at the place stated
in such notice at the applicable redemption price, together with, subject to the
Company Order or supplemental indenture hereto establishing the terms of such
series of Securities, interest accrued to the date fixed for redemption and
interest on such Securities or portions of Securities shall cease to accrue on
and after the date fixed for redemption, unless the
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Company shall default in the payment of such redemption price and accrued
interest with respect to any such Security or portion thereof. On presentation
and surrender of such Securities on or after the date fixed for redemption at
the place of payment specified in the notice, said Securities shall be paid and
redeemed at the applicable redemption price for such series, together with,
subject to the Company Order or supplemental indenture hereto establishing the
terms of such series of Securities, interest accrued thereon to the date fixed
for redemption.
(b) RECEIPT OF NEW SECURITY UPON PARTIAL PAYMENT. Upon presentation
of any Security of such series which is to be redeemed in part only, the Company
shall execute and the Trustee shall authenticate and the office or agency where
the Security is presented shall deliver to the holder thereof, at the expense of
the Company, a new Security or Securities of the same series, of authorized
denominations in principal amount equal to the unredeemed portion of the
Security so presented.
SECTION 3.04. SINKING FUND FOR SECURITIES. The provisions of this Section
3.04 and Sections 3.05 and 3.06 shall be applicable to any sinking fund for the
retirement of Securities of a series, except as otherwise specified as
contemplated by Section 2.01 for Securities of such series.
The minimum amount of any sinking fund payment provided for by the terms of
Securities of any series is herein referred to as a "mandatory sinking fund
payment", and any payment in excess of such minimum amount provided for by the
terms of Securities of any series is herein referred to as an "optional sinking
fund payment". If provided for by the terms of Securities of any series, the
cash amount of any sinking fund payment may be subject to reduction as provided
in Section 3.05. Each sinking fund payment shall be applied to the redemption of
Securities of such series as provided for by the terms of Securities of such
series.
SECTION 3.05. SATISFACTION OF SINKING FUND PAYMENTS WITH SECURITIES. The
Company (i) may deliver Outstanding Securities of a series (other than any
previously called for redemption) and (ii) may apply as a credit Securities of a
series which have been redeemed either at the election of the Company pursuant
to the terms of such Securities or through the application of permitted optional
sinking fund payments pursuant to the terms of such Securities, in each case in
satisfaction of all or any part of any mandatory sinking fund payment; provided
that such Securities have not been previously so credited. Such Securities shall
be received and credited for such purpose by the Trustee at the redemption price
specified in such Securities for redemption through operation of the mandatory
sinking fund and the amount of such mandatory sinking fund payment shall be
reduced accordingly.
SECTION 3.06. REDEMPTION OF SECURITIES FOR SINKING FUND. Not less than 45
days prior to each sinking fund payment date for any series of Securities, the
Company will deliver to the Trustee an Officers' Certificate specifying the
amount of the next ensuing sinking fund payment for that series pursuant to the
terms of that series, the portion thereof, if any, which is to be satisfied by
delivering and crediting Securities of that series pursuant to Section 3.05 and
the basis for such credit and will, together with such Officers' Certificate,
deliver to the Trustee any Securities to be so delivered. Not less than 30 days
before each such sinking fund payment date the Trustee shall select the
Securities to be redeemed upon such sinking fund payment date in the manner
specified in Section 3.02 and cause notice of the redemption thereof to be given
in the name of and at the expense of the Company in the manner provided in
Section 3.02, except that the notice of redemption shall also state that the
Securities of such series are being redeemed by operation of the sinking fund
and the sinking fund payment date. Such notice having been duly given, the
redemption of such Securities shall be made upon the terms and in the manner
stated in Section 3.03.
ARTICLE IV.
PARTICULAR COVENANTS OF THE COMPANY
The Company covenants and agrees for each series of the Securities as
follows:
SECTION 4.01. PAYMENT OF PRINCIPAL (AND PREMIUM IF ANY) AND INTEREST ON
SECURITIES. The Company will duly and punctually pay or cause to be paid the
principal of (and premium, if any) and interest on the Securities of that series
at the time and place and in the manner provided herein and established with
respect to such Securities.
SECTION 4.02. MAINTENANCE OF OFFICE OR AGENCY FOR PAYMENT, REGISTRATION,
TRANSFER AND EXCHANGE OF SECURITIES. So long as any series of the Securities
remain outstanding, the Company agrees to maintain an office or
15
agency with respect to each such series, which shall be in the Borough of
Manhattan, the City and State of New York or at such other location or locations
as may be designated as provided in this Section 4.02, where (i) Securities of
that series may be presented for payment, (ii) Securities of that series may be
presented as hereinabove authorized for registration of transfer and exchange,
and (iii) notices and demands to or upon the Company in respect of the
Securities of that series and this Indenture may be given or served, such
designation to continue with respect to such office or agency until the Company
shall, by written notice signed by an Authorized Officer and delivered to the
Trustee, designate some other office or agency for such purposes or any of them.
If at any time the Company shall fail to maintain any such required office or
agency or shall fail to furnish the Trustee with the address thereof, such
presentations, notices and demands may be made or served at the Corporate Trust
Office of the Trustee, and the Company hereby appoints the Trustee as its agent
to receive all such presentations, notices and demands. The Trustee or its agent
will initially act as paying agent for the Securities.
The Company may also from time to time, by written notice signed by an
Authorized Officer and delivered to the Trustee, designate one or more other
offices or agencies for the foregoing purposes within or outside the Borough of
Manhattan, City of New York, and may from time to time rescind such
designations; provided, however, that no such designation or rescission shall in
any manner relieve the Company of its obligations to maintain an office or
agency in the Borough of Manhattan, City of New York for the foregoing purposes.
The Company will give prompt written notice to the Trustee of any change in the
location of any such other office or agency.
SECTION 4.03. PAYING AGENT.
(a) DUTIES OF PAYING AGENT. If the Company shall appoint one or more
paying agents for all or any series of the Securities, other than the Trustee,
the Company will cause each such paying agent to execute and deliver to the
Trustee an instrument in which such agent shall agree with the Trustee, subject
to the provisions of this Section:
(1) that it will hold all sums held by it as such agent for the
payment of the principal of (and premium, if any) or interest on the
Securities of that series (whether such sums have been paid to it by the
Company or by any other obligor of such Securities) in trust for the
benefit of the persons entitled thereto;
(2) that it will give the Trustee prompt notice of any failure by
the Company (or by any other obligor of such Securities) to make any
payment of the principal of (and premium, if any) or interest on the
Securities of that series when the same shall be due and payable;
(3) that it will, at any time during the continuance of any failure
referred to in the preceding paragraph (a)(2) above, upon the written
request of the Trustee, forthwith pay to the Trustee all sums so held in
trust by such paying agent; and
(4) that it will perform all other duties of paying agent as set
forth in this Indenture.
(b) COMPANY AS PAYING AGENT. If the Company shall act as its own
paying agent with respect to any series of the Securities, it will on or before
each due date of the principal of (and premium, if any) or interest on
Securities of that series, set aside, segregate and hold in trust for the
benefit of the persons entitled thereto a sum sufficient to pay such principal
(and premium, if any) or interest so becoming due on Securities of that series
until such sums shall be paid to such persons or otherwise disposed of as herein
provided and will promptly notify the Trustee of such action, or any failure (by
it or any other obligor on such Securities) to take such action. Whenever the
Company shall have one or more paying agents for any series of Securities, it
will, prior to each due date of the principal of (and premium, if any) or
interest on any Securities of that series, deposit with the paying agent a sum
sufficient to pay the principal (and premium, if any) or interest so becoming
due, such sum to be held in trust for the benefit of the persons entitled to
such principal, premium or interest, and (unless such paying agent is the
Trustee) the Company will promptly notify the Trustee of its action or failure
so to act.
(c) HOLDING SUMS IN TRUST. Anything in this Section to the contrary
notwithstanding, (i) the agreement to hold sums in trust as provided in this
Section is subject to the provisions of Section 11.04, and (ii) the Company may
at any time, for the purpose of obtaining the satisfaction and discharge of this
Indenture or for any other purpose, pay, or direct any paying agent to pay, to
the Trustee all sums held in trust by the Company or such
16
paying agent, such sums to be held by the Trustee upon the same terms and
conditions as those upon which such sums were held by the Company or such paying
agent; and, upon such payment by any paying agent to the Trustee, such paying
agent shall be released from all further liability with respect to such money.
SECTION 4.04. APPOINTMENT TO FILL VACANCY IN OFFICE OF TRUSTEE. The
Company, whenever necessary to avoid or fill a vacancy in the office of Trustee,
will appoint, in the manner provided in Section 7.10, a Trustee, so that there
shall at all times be a Trustee hereunder.
SECTION 4.05. RESTRICTION ON CONSOLIDATION, MERGER OF TRUSTEE. The Company
will not, while any of the Securities remain outstanding, consolidate with, or
merge into, or merge into itself, or sell or convey all or substantially all of
its property to any other Person unless the provisions of Article Ten hereof are
complied with.
SECTION 4.06. ORIGINAL ISSUE DISCOUNT SECURITY. In the event that the
Company issues an Original Issue Discount Security, the Company shall file with
the Trustee at or prior to the time of the authentication of such Original Issue
Discount Security a written notice, in such form as mutually agreed upon by the
Company and the Trustee, specifying the amount of original issue discount that
will be accrued on such Original Issue Discount Security in each calendar year
from the date of issuance to the maturity thereof.
ARTICLE V.
SECURITYHOLDERS' LISTS AND REPORTS BY THE COMPANY
AND THE TRUSTEE
SECTION 5.01. COMPANY TO FURNISH TRUSTEE INFORMATION AS TO NAMES AND
ADDRESSES OF SECURITYHOLDERS. The Company will furnish or cause to be furnished
to the Trustee (a) on each regular record date (as defined in Section 2.03) for
the Securities of each Tranche of a series a list (at intervals of at least
every six months), in such form as the Trustee may reasonably require, of the
names and addresses of the holders of such Tranche of Securities as of such
regular record date, provided, that the Company shall not be obligated to
furnish or cause to be furnished such list at any time that the list shall not
differ in any respect from the most recent list furnished to the Trustee by the
Company and (b) at such other times as the Trustee may request in writing within
30 days after the receipt by the Company of any such request, a list of similar
form and content as of a date not more than 15 days prior to the time such list
is furnished; provided, however, no such list need be furnished for any series
for which the Trustee shall be the Security Registrar.
SECTION 5.02. RESPONSIBILITIES OF TRUSTEE RELATING TO SECURITYHOLDER
INFORMATION.
(a) TRUSTEE TO PRESERVE INFORMATION AS TO NAMES AND ADDRESSES OF
SECURITYHOLDERS. The Trustee shall preserve, in as current a form as is
reasonably practicable, all information as to the names and addresses of the
holders of Securities contained in the most recent list furnished to it as
provided in Section 5.01 and as to the names and addresses of holders of
Securities received by the Trustee in its capacity as Security Registrar (if
acting in such capacity).
(b) TRUSTEE MAY DESTROY LIST OF SECURITYHOLDERS ON CERTAIN
CONDITIONS. The Trustee may destroy any list furnished to it as provided in
Section 5.01 upon receipt of a new list so furnished.
(c) TRUSTEE TO MAKE INFORMATION AS TO NAMES AND ADDRESSES OF
SECURITYHOLDERS AVAILABLE TO CERTAIN APPLICANTS. In case three or more holders
of Securities of a series (hereinafter referred to as "applicants") apply in
writing to the Trustee, and furnish to the Trustee reasonable proof that each
such applicant has owned a Security for a period of at least six months
preceding the date of such application, and such application states that the
applicants desire to communicate with other holders of Securities of such series
or holders of all Securities with respect to their rights under this Indenture
or under such Securities, and is accompanied by a copy of the form of proxy or
other communication which such applicants propose to transmit, then the Trustee
shall, within five Business Days after the receipt of such application, at its
election, either:
(1) afford to such applicants access to the information preserved at
the time by the Trustee in accordance with the provisions of subsection
(a) of this Section 5.02; or
17
(2) inform such applicants as to the approximate number of holders
of Securities of such series or of all Securities, as the case may be,
whose names and addresses appear in the information preserved at the time
by the Trustee, in accordance with the provisions of subsection (a) of
this Section 5.02, and as to the approximate cost of mailing to such
Securityholders the form of proxy or other communication, if any,
specified in such application.
(d) PROCEDURE IF TRUSTEE ELECTS NOT TO MAKE INFORMATION AVAILABLE TO
APPLICANTS. If the Trustee shall elect not to afford such applicants access to
such information, the Trustee shall, upon the written request of such
applicants, mail to each holder of such series or of all Securities, as the case
may be, whose name and address appears in the information preserved at the time
by the Trustee in accordance with the provisions of subsection (a) of this
Section 5.02, a copy of the form of proxy or other communication which is
specified in such request, with reasonable promptness after a tender to the
Trustee of the material to be mailed and of payment, or provision for the
payment, of the reasonable expenses of mailing, unless within five days after
such tender, the Trustee shall mail to such applicants and file with the
Commission, together with a copy of the material to be mailed, a written
statement to the effect that, in the opinion of the Trustee, such mailing would
be contrary to the best interests of the holders of Securities of such series or
of all Securities, as the case may be, or would be in violation of applicable
law. Such written statement shall specify the basis of such opinion. If the
Commission, after opportunity for a hearing upon the objections specified in the
written statement so filed, shall enter an order refusing to sustain any of such
objections or if, after the entry of an order sustaining one or more of such
objections, the Commission shall find, after notice and opportunity for hearing,
that all the objections so sustained have been met and shall enter an order so
declaring, the Trustee shall mail copies of such material to all such
Securityholders with reasonable promptness after the entry of such order and the
renewal of such tender; otherwise, the Trustee shall be relieved of any
obligation or duty to such applicants respecting their application.
(e) COMPANY AND TRUSTEE NOT ACCOUNTABLE FOR DISCLOSURE OF
INFORMATION. Each and every holder of the Securities, by receiving and holding
the same, agrees with the Company and the Trustee that neither the Company nor
the Trustee nor any paying agent nor any Security Registrar shall be liable
under any law to the extent provided under the Trust Indenture Act by reason of
the disclosure of any such information as to the names and addresses of the
holders of Securities in accordance with the provisions of subsection (c) of
this Section, regardless of the source from which such information was derived,
and that the Trustee shall not be held accountable by reason of mailing any
material pursuant to a request made under said subsection (c).
SECTION 1.02. DELIVERY OBLIGATIONS OF COMPANY.
(a) ANNUAL AND OTHER REPORTS TO BE FILED BY COMPANY WITH TRUSTEE.
The Company covenants and agrees to file with the Trustee, within 30 days after
the Company is required to file the same with the Commission, a copy of the
annual reports and of the information, documents and other reports (or a copy of
such portions of any of the foregoing as the Commission may from time to time by
rules and regulations prescribe) which the Company may be required to file with
the Commission pursuant to Section 13 or Section 15(d) of the Exchange Act; or,
if the Company is not required to file information, documents or reports
pursuant to either of such sections, then to file with the Trustee and, unless
the Commission shall not accept such information, documents or reports, the
Commission, in accordance with the rules and regulations prescribed from time to
time by the Commission, such of the supplementary and periodic information,
documents and reports which may be required pursuant to Section 13 of the
Exchange Act, in respect of a security listed and registered on a national
securities exchange as may be prescribed from time to time in such rules and
regulations.
(b) ADDITIONAL INFORMATION AND REPORTS TO BE FILED WITH TRUSTEE AND
SECURITIES AND EXCHANGE COMMISSION. The Company covenants and agrees to file
with the Trustee and the Commission, in accordance with the rules and
regulations prescribed from time to time by the Commission, such additional
information, documents and reports with respect to compliance by the Company
with the conditions and covenants provided for in this Indenture as may be
required from time to time by such rules and regulations.
(c) SUMMARIES OF INFORMATION AND REPORTS TO BE TRANSMITTED BY
COMPANY TO SECURITYHOLDERS. The Company covenants and agrees to transmit by
mail, first class postage prepaid, and may also transit by reputable over-night
delivery service which provides for evidence of receipt, to the Securityholders,
as their names and addresses appear upon the Security Register, within 30 days
after the filing thereof with the Trustee,
18
such summaries of any information, documents and reports required to be filed by
the Company pursuant to subsections (a) and (b) of this Section as may be
required by rules and regulations prescribed from time to time by the
Commission.
(d) ANNUAL CERTIFICATE TO BE FURNISHED TO TRUSTEE. The Company
covenants and agrees to furnish to the Trustee, on or before May 15 in each
calendar year in which any of the Securities are outstanding, or on or before
such other day in each calendar year as the Company and the Trustee may from
time to time agree upon, a certificate from the principal executive officer,
principal financial officer or principal accounting officer, as to his or her
knowledge, of the Company's compliance with all conditions and covenants under
this Indenture. For purposes of this subsection (d), such compliance shall be
determined without regard to any period of grace or requirement of notice
provided under this Indenture.
(e) EFFECT OF DELIVERY TO TRUSTEE. Delivery of such information,
documents or reports to the Trustee pursuant to Section 5.03(a) or 5.03(b) is
for informational purposes only and the Trustee's receipt thereof shall not
constitute constructive notice of any information contained therein or
determinable from information contained therein, including, in the case of
Section 5.03(b), the Company's compliance with any of the covenants hereunder.
SECTION 5.04. DELIVERY OBLIGATIONS OF TRUSTEE.
(a) TRUSTEE TO TRANSMIT ANNUAL REPORT TO SECURITYHOLDERS. On or
before May 15 in each year in which any of the Securities are outstanding, the
Trustee shall transmit by mail, first class postage prepaid, to the
Securityholders, as their names and addresses appear upon the Security Register,
a brief report dated as of the preceding May 15, with respect to any of the
following events which may have occurred within the previous twelve months (but
if no such event has occurred within such period no report need be transmitted):
(1) any change to its eligibility under Section 7.09, and its
qualifications under Section 310 of the Trust Indenture Act;
(2) the creation of or any material change to a relationship
specified in paragraphs (1) through (10) of Section 310(b) of the Trust
Indenture Act;
(3) the character and amount of any advances (and if the Trustee
elects so to state, the circumstances surrounding the making thereof) made
by the Trustee (as such) which remain unpaid on the date of such report,
and for the reimbursement of which it claims or may claim a lien or
charge, prior to that of the Securities, on any property or funds held or
collected by it as trustee if such advances so remaining unpaid aggregate
more than 1/2 of 1% of the principal amount of the Securities outstanding
on the date of such report;
(4) any change to the amount, interest rate, and maturity date of
all other indebtedness owing by the Company, or by any other obligor on
the Securities, to the Trustee in its individual capacity, on the date of
such report, with a brief description of any property held as collateral
security therefor, except any indebtedness based upon a creditor
relationship arising in any manner described in paragraphs (2), (3), (4)
or (6) of Section 311(b) of the Trust Indenture Act;
(5) any change to the property and funds, if any, physically in the
possession of the Trustee as such on the date of such report;
(6) any release, or release and substitution, of property subject to
the lien, if any, of this Indenture (and the consideration therefor, if
any) which it has not previously reported;
(7) any additional issue of Securities which the Trustee has not
previously reported; and
(8) any action taken by the Trustee in the performance of its duties
under this Indenture which it has not previously reported and which in its
opinion materially affects the Securities or the
19
Securities of any series, except any action in respect of a default,
notice of which has been or is to be withheld by it in accordance with the
provisions of Section 6.07.
(b) TRUSTEE TO TRANSMIT CERTAIN FURTHER REPORTS TO SECURITYHOLDERS.
The Trustee shall transmit by mail, first class postage prepaid, to the
Securityholders, as their names and addresses appear upon the Security Register,
a brief report with respect to the character and amount of any advances (and if
the Trustee elects so to state, the circumstances surrounding the making
thereof) made by the Trustee as such since the date of the last report
transmitted pursuant to the provisions of subsection (a) of this Section (or if
no such report has yet been so transmitted, since the date of execution of this
Indenture), for the reimbursement of which it claims or may claim a lien or
charge prior to that of the Securities of any series on property or funds held
or collected by it as Trustee, and which it has not previously reported pursuant
to this subsection if such advances remaining unpaid at any time aggregate more
than 10% of the principal amount of Securities of such series outstanding at
such time, such report to be transmitted within 90 days after such time.
(c) COPIES OF REPORTS TO BE FILED WITH STOCK EXCHANGES AND
SECURITIES AND EXCHANGE COMMISSION. A copy of each such report shall, at the
time of such transmission to Securityholders, be filed by the Trustee with the
Company, with each stock exchange upon which any Securities are listed (if so
listed) and also with the Commission. The Company agrees to notify the Trustee
when any Securities become listed on any stock exchange or delisted therefrom.
ARTICLE VI.
REMEDIES OF THE TRUSTEE AND SECURITYHOLDERS ON
EVENT OF DEFAULT
SECTION 6.01. EVENTS OF DEFAULT.
(a) EVENTS OF DEFAULT DEFINED. Whenever used herein with respect to
Securities of a particular series, "Event of Default" means any one or more of
the following events which has occurred and is continuing:
(1) default in the payment of any installment of interest upon any
of the Securities of that series, as and when the same shall become due
and payable, and continuance of such default for a period of 30 days;
(2) default in the payment of the principal of (or premium, if any,
on) any of the Securities of that series as and when the same shall become
due and payable whether at maturity, upon redemption, pursuant to any
sinking fund obligation, by declaration or otherwise, and continuance of
such default for a period of three Business Days;
(3) failure on the part of the Company duly to observe or perform
any other of the covenants or agreements on the part of the Company with
respect to that series contained in such Securities or otherwise
established with respect to that series of Securities pursuant to Section
2.01 hereof or contained in this Indenture (other than a covenant or
agreement which has been expressly included in this Indenture solely for
the benefit of one or more series of Securities other than such series)
for a period of 90 days after the date on which written notice of such
failure, requiring the same to be remedied and stating that such notice is
a "Notice of Default" hereunder, shall have been given to the Company by
the Trustee, by registered or certified mail, or to the Company and the
Trustee by the holders of at least 33% in principal amount of the
Securities of that series at the time outstanding;
(4) a decree or order by a court having jurisdiction in the premises
shall have been entered adjudging the Company as bankrupt or insolvent, or
approving as properly filed a petition seeking liquidation or
reorganization of the Company under the Federal Bankruptcy Code or any
other similar applicable Federal or State law, and such decree or order
shall have continued unvacated and unstayed for a period of 90 consecutive
days; or an involuntary case shall be commenced under such Code in respect
of the Company and shall continue undismissed for a period of 90
consecutive days or an order for relief in
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such case shall have been entered; or a decree or order of a court having
jurisdiction in the premises shall have been entered for the appointment
on the ground of insolvency or bankruptcy of a receiver or custodian or
liquidator or trustee or assignee in bankruptcy or insolvency of the
Company or of its property, or for the winding up or liquidation of its
affairs, and such decree or order shall have remained in force unvacated
and unstayed for a period of 90 consecutive days;
(5) the Company shall institute proceedings to be adjudicated a
voluntary bankrupt, or shall consent to the filing of a bankruptcy
proceeding against it, or shall file a petition or answer or consent
seeking liquidation or reorganization under the Federal Bankruptcy Code or
any other similar applicable Federal or State law, or shall consent to the
filing of any such petition, or shall consent to the appointment on the
ground of insolvency or bankruptcy of a receiver or custodian or
liquidator or trustee or assignee in bankruptcy or insolvency of it or of
its property, or shall make an assignment for the benefit of creditors; or
(6) the occurrence of any other Event of Default with respect to
Securities of such series, as contemplated by Section 2.01 hereof.
(b) ACCELERATION OF MATURITY UPON EVENT OF DEFAULT. The Company
shall file with the Trustee written notice of the occurrence of any Event of
Default within five Business Days of the Company's becoming aware of any such
Event of Default. In each and every such case, unless the principal of all the
Securities of that series shall have already become due and payable, either the
Trustee or the holders of not less than 33% in aggregate principal amount of the
Securities of that series then outstanding hereunder, by notice in writing to
the Company (and to the Trustee if given by such Securityholders), may declare
the principal (or, if any of such Securities are Original Issue Discount
Securities, such portion of the principal amount thereof as may be specified by
their terms as contemplated by Section 2.01) of all the Securities of that
series to be due and payable immediately, and upon any such declaration the same
shall become and shall be immediately due and payable, anything contained in
this Indenture or in the Securities of that series or established with respect
to that series pursuant to Section 2.01 hereof to the contrary notwithstanding.
(c) WAIVER OF DEFAULT AND RESCISSION OF DECLARATION OF MATURITY.
Section 6.01(b), however, is subject to the condition that if, at any time after
the principal of the Securities of that series shall have been so declared due
and payable, and before any judgment or decree for the payment of the monies due
shall have been obtained or entered as hereinafter provided, the Company shall
pay or shall deposit with the Trustee a sum sufficient to pay all matured
installments of interest upon all the Securities of that series and the
principal of (and premium, if any, on) any and all Securities of that series
which shall have become due otherwise than by acceleration (with interest upon
such principal and premium, if any, and, to the extent that such payment is
enforceable under applicable law, upon overdue installments of interest, at the
rate per annum expressed in the Securities of that series to the date of such
payment or deposit) and the amount payable to the Trustee under Section 7.06,
and any and all defaults under the Indenture, other than the nonpayment of
principal on Securities of that series which shall not have become due by their
terms, shall have been remedied or waived as provided in Section 6.06, then and
in every such case the holders of a majority in aggregate principal amount of
the Securities of that series then outstanding, by written notice to the Company
and to the Trustee, may rescind and annul such declaration and its consequences
with respect to that series of Securities; but no such rescission and annulment
shall extend to or shall affect any subsequent default, or shall impair any
right consequent thereon.
(d) RESTORATION OF FORMER POSITION AND RIGHTS UPON CURING DEFAULT.
In case the Trustee shall have proceeded to enforce any right with respect to
Securities of that series under this Indenture and such proceedings shall have
been discontinued or abandoned because of such rescission or annulment or for
any other reason or shall have been determined adversely to the Trustee, then
and in every such case the Company and the Trustee shall be restored
respectively to their former positions and rights hereunder, and all rights,
remedies and powers of the Company and the Trustee shall continue as though no
such proceedings had been taken.
SECTION 6.02. RIGHTS OF TRUSTEE UPON DEFAULT.
(a) COVENANT OF COMPANY TO PAY TO TRUSTEE WHOLE AMOUNT DUE ON
SECURITIES ON DEFAULT IN PAYMENT OF INTEREST OR PRINCIPAL (AND PREMIUM, IF ANY).
The Company covenants that in case an Event of Default described in subsection
6.01(a)(1) or (a)(2) shall have occurred and be continuing, upon demand of the
Trustee, the
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Company will pay to the Trustee, for the benefit of the holders of the
Securities of that series, the whole amount that then shall have become due and
payable on all such Securities for principal (and premium, if any) or interest,
or both, as the case may be, with interest upon the overdue principal (and
premium, if any) and (to the extent that payment of such interest is enforceable
under applicable law and without duplication of any other amounts paid by the
Company in respect thereof) upon overdue installments of interest at the rate
per annum expressed in the Securities of that series; and, in addition thereto,
such further amount as shall be sufficient to cover the costs and expenses of
collection, and the amount payable to the Trustee under Section 7.06.
(b) TRUSTEE MAY RECOVER JUDGMENT FOR WHOLE AMOUNT DUE ON SECURITIES
ON FAILURE OF COMPANY TO PAY. In case the Company shall fail forthwith to pay
such amounts upon such demand, the Trustee, in its own name and as trustee of an
express trust, shall be entitled and empowered to institute any action or
proceedings at law or in equity for the collection of the sums so due and
unpaid, and may prosecute any such action or proceeding to judgment or final
decree, and may enforce any such judgment or final decree against the Company or
other obligor upon the Securities of that series and collect in the manner
provided by law out of the property of the Company or other obligor upon the
Securities of that series wherever situated the monies adjudged or decreed to be
payable.
(c) PROOF OF CLAIM BY TRUSTEE IN BANKRUPTCY, REORGANIZATION OR
RECEIVERSHIP PROCEEDING. In case of any receivership, insolvency, liquidation,
bankruptcy, reorganization, readjustment, arrangement, composition or other
judicial proceedings affecting the Company, any other obligor on such
Securities, or the creditors or property of either, the Trustee shall have power
to intervene in such proceedings and take any action therein that may be
permitted by the court and shall (except as may be otherwise provided by law) be
entitled to file such proofs of claim and other papers and documents as may be
necessary or advisable in order to have the claims of the Trustee and of the
holders of Securities of such series allowed for the entire amount due and
payable by the Company or such other obligor under this Indenture at the date of
institution of such proceedings and for any additional amount which may become
due and payable by the Company or such other obligor after such date, and to
collect and receive any monies or other property payable or deliverable on any
such claim, and to distribute the same after the deduction of the amount payable
to the Trustee under Section 7.06; and any receiver, assignee or trustee in
bankruptcy or reorganization is hereby authorized by each of the holders of
Securities of such series to make such payments to the Trustee, and, in the
event that the Trustee shall consent to the making of such payments directly to
such Securityholders, to pay to the Trustee any amount due it under Section
7.06.
(d) RIGHTS OF ACTION AND OF ASSERTING CLAIMS MAY BE ENFORCED BY
TRUSTEE WITHOUT POSSESSION OF SECURITIES. All rights of action and of asserting
claims under this Indenture, or under any of the terms established with respect
to Securities of that series, may be enforced by the Trustee without the
possession of any of such Securities, or the production thereof at any trial or
other proceeding relative thereto, and any such suit or proceeding instituted by
the Trustee shall be brought in its own name as trustee of an express trust, and
any recovery of judgment shall, after provision for payment to the Trustee of
any amounts due under Section 7.06, be for the ratable benefit of the holders of
the Securities of such series.
In case of an Event of Default hereunder, the Trustee may in its discretion
proceed to protect and enforce the rights vested in it by this Indenture by such
appropriate judicial proceedings as the Trustee shall deem most effectual to
protect and enforce any of such rights, either at law or in equity or in
bankruptcy or otherwise, whether for the specific enforcement of any covenant or
agreement contained in the Indenture or in aid of the exercise of any power
granted in this Indenture, or to enforce any other legal or equitable right
vested in the Trustee by this Indenture or by law.
Nothing herein contained shall be deemed to authorize the Trustee to
authorize or consent to or accept or adopt on behalf of any Securityholder any
plan of reorganization, arrangement, adjustment or composition affecting the
Securities of that series or the rights of any holder thereof or to authorize
the Trustee to vote in respect of the claim of any Securityholder in any such
proceeding.
SECTION 6.03. APPLICATION OF MONIES COLLECTED BY TRUSTEE. Any monies
collected by the Trustee pursuant to Section 6.02 with respect to a particular
series of Securities shall be applied in the order following, at the date or
dates fixed by the Trustee and, in case of the distribution of such monies on
account of principal (or
22
premium, if any) or interest, upon presentation of the several Securities of
that series, and stamping thereon the payment, if only partially paid, and upon
surrender thereof if fully paid:
FIRST: To the payment of costs and expenses of collection and of all amounts
payable to the Trustee under Section 7.06;
SECOND: To the payment of the amounts then due and unpaid upon Securities of
such series for principal (and premium, if any) and interest, in respect of
which or for the benefit of which such money has been collected, ratably,
without preference or priority of any kind, according to the amounts due and
payable on such Securities for principal (and premium, if any) and interest,
respectively; and
THIRD: To the Company.
SECTION 6.04. LIMITATION ON SUITS BY HOLDERS OF SECURITIES. No holder of
any Security of any series shall have any right by virtue or by availing of any
provision of this Indenture to institute any suit, action or proceeding in
equity or at law upon or under or with respect to this Indenture or for the
appointment of a receiver or trustee, or for any other remedy hereunder, unless
such holder previously shall have given to the Trustee written notice of an
Event of Default and of the continuance thereof with respect to Securities of
such series specifying such Event of Default, as hereinbefore provided, and
unless also the holders of not less than 33% in aggregate principal amount of
the Securities of such series then outstanding shall have made written request
upon the Trustee to institute such action, suit or proceeding in its own name as
trustee hereunder and shall have offered to the Trustee such reasonable
indemnity as it may require against the costs, expenses and liabilities to be
incurred therein or thereby, and the Trustee for 60 days after its receipt of
such notice, request and offer of indemnity, shall have failed to institute any
such action, suit or proceeding; it being understood and intended, and being
expressly covenanted by the taker and holder of every Security of such series
with every other such taker and holder and the Trustee, that no one or more
holders of Securities of such series shall have any right in any manner
whatsoever by virtue or by availing of any provision of this Indenture to
affect, disturb or prejudice the rights of the holders of any other of such
Securities, or to obtain or seek to obtain priority over or preference to any
other such holder, or to enforce any right under this Indenture, except in the
manner herein provided and for the equal, ratable and common benefit of all
holders of Securities of such series. For the protection and enforcement of the
provisions of this Section, each and every Securityholder and the Trustee shall
be entitled to such relief as can be given either at law or in equity.
Notwithstanding any other provisions of this Indenture, however, the right of
any holder of any Security to receive payment of the principal of (and premium,
if any) and interest on such Security, as therein provided, on or after the
respective due dates expressed in such Security (or in the case of redemption,
on the redemption date), or to institute suit for the enforcement of any such
payment on or after such respective dates or redemption date, shall not be
impaired or affected without the consent of such holder.
SECTION 6.05. REMEDIES; DELAY OR OMISSION IN EXERCISE OF RIGHTS.
(a) REMEDIES CUMULATIVE. All powers and remedies given by this
Article to the Trustee or to the Securityholders shall, to the extent permitted
by law, be deemed cumulative and not exclusive of any others thereof or of any
other powers and remedies available to the Trustee or the holders of the
Securities, by judicial proceedings or otherwise, to enforce the performance or
observance of the covenants and agreements contained in this Indenture or
otherwise established with respect to such Securities.
(b) DELAY OR OMISSION IN EXERCISE OF RIGHTS NOT WAIVER OF DEFAULT.
No delay or omission of the Trustee or of any holder of any of the Securities to
exercise any right or power accruing upon any Event of Default occurring and
continuing as aforesaid shall impair any such right or power, or shall be
construed to be a waiver of any such default or an acquiescence therein; and,
subject to the provisions of Section 6.04, every power and remedy given by this
Article or by law to the Trustee or to the Securityholders may be exercised from
time to time, and as often as shall be deemed expedient, by the Trustee or by
the Securityholders.
SECTION 6.06. RIGHTS OF HOLDERS OF MAJORITY IN PRINCIPAL AMOUNT OF
SECURITIES TO DIRECT TRUSTEE AND TO WAIVE DEFAULTS. The holders of a majority in
aggregate principal amount of the Securities of any series at the time
outstanding, determined in accordance with Section 8.04, shall have the right to
direct the time, method and place of conducting any proceeding for any remedy
available to the Trustee, or exercising any trust or power conferred on
23
the Trustee with respect to such series; provided, however, that such direction
shall not be in conflict with any rule of law or with this Indenture or unduly
prejudicial to the rights of holders of Securities of any other series at the
time outstanding determined in accordance with Section 8.04 not parties thereto.
Subject to the provisions of Section 7.01, the Trustee shall have the right to
decline to follow any such direction if the Trustee in good faith shall, by a
Responsible Officer or Officers of the Trustee, determine that the proceeding so
directed might involve the Trustee in personal liability. The holders of a
majority in aggregate principal amount of the Securities of any series at the
time outstanding affected thereby, determined in accordance with Section 8.04,
may on behalf of the holders of all of the Securities of such series waive any
past default in the performance of any of the covenants contained herein or
established pursuant to Section 2.01 with respect to such series and its
consequences, except a default in the payment of the principal of, or premium,
if any, or interest on, any of the Securities of that series as and when the
same shall become due by the terms of such Securities otherwise than by
acceleration (unless such default has been cured and a sum sufficient to pay all
matured installments of interest and principal otherwise than by acceleration
and any premium has been deposited with the Trustee (in accordance with Section
6.01(c))) or a call for redemption of Securities of that series. Upon any such
waiver, the default covered thereby shall be deemed to be cured for all purposes
of this Indenture and the Company, the Trustee and the holders of the Securities
of such series shall be restored to their former positions and rights hereunder,
respectively; but no such waiver shall extend to any subsequent or other default
or impair any right consequent thereon.
SECTION 6.07. NOTICE OF KNOWN DEFAULTS. The Trustee shall, within 90 days
after the occurrence of a default with respect to a particular series, transmit
by mail, first class postage prepaid, to the holders of Securities of that
series, as their names and addresses appear upon the Security Register, notice
of all defaults with respect to that series known to the Trustee, unless such
defaults shall have been cured or waived before the giving of such notice (the
term "defaults" for the purposes of this Section being hereby defined to be the
events specified in subsections (1), (2), (3), (4), (5), (6) and (7) of Section
6.01(a), not including any periods of grace provided for therein and
irrespective of the giving of notice provided for by subsection (4) of Section
6.01(a)); provided, that, except in the case of default in the payment of the
principal of (or premium, if any) or interest on any of the Securities of that
series or in the payment of any sinking or analogous fund installment
established with respect to that series, the Trustee shall be protected in
withholding such notice if and so long as the board of directors, the executive
committee, or a trust committee of directors and/or Responsible Officers, of the
Trustee in good faith determine that the withholding of such notice is in the
interests of the holders of Securities of that series; provided further, that in
the case of any default of the character specified in Section 6.01(a)(4) with
respect to Securities of such series no such notice to the holders of the
Securities of that series shall be given until at least 30 days after the
occurrence thereof.
The Trustee shall not be deemed to have knowledge of any default, except (i)
a default under subsection (a)(1), (a)(2) or (a)(3) of Section 6.01 as long as
the Trustee is acting as paying agent for such series of Securities or (ii) any
default as to which the Trustee shall have received written notice or a
Responsible Officer charged with the administration of this Indenture shall have
obtained written notice.
SECTION 6.08. UNDERTAKING TO PAY COSTS IN CERTAIN SUITS UNDER INDENTURE OR
AGAINST TRUSTEE. All parties to this Indenture agree, and each holder of any
Securities by his or her acceptance thereof shall be deemed to have agreed, that
any court may in its discretion require, in any suit for the enforcement of any
right or remedy under this Indenture, or in any suit against the Trustee for any
action taken or omitted by it as Trustee, the filing by any party litigant in
such suit of an undertaking to pay the costs of such suit, and that such court
may in its discretion assess reasonable costs, including reasonable attorneys'
fees and expenses, against any party litigant in such suit, having due regard to
the merits and good faith of the claims or defenses made by such party litigant;
but the provisions of this Section shall not apply to any suit instituted by the
Trustee, to any suit instituted by any Securityholder, or group of
Securityholders, holding more than 10% in aggregate principal amount of the
outstanding Securities of any series, or to any suit instituted by any
Securityholder for the enforcement of the payment of the principal of (or
premium, if any) or interest on any Security of such series, on or after the
respective due dates expressed in such Security or established pursuant to this
Indenture.
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ARTICLE VII.
CONCERNING THE TRUSTEE
SECTION 7.01. CERTAIN DUTIES AND RESPONSIBILITIES OF TRUSTEE.
(a) UPON EVENT OF DEFAULT. The Trustee, prior to the occurrence of
an Event of Default with respect to Securities of a series and after the curing
of all Events of Default with respect to Securities of that series which may
have occurred, shall undertake to perform with respect to Securities of such
series such duties and only such duties as are specifically set forth in this
Indenture, and no implied covenants or obligations shall be read into this
Indenture against the Trustee. In case an Event of Default with respect to
Securities of a series has occurred (which has not been cured or waived), the
Trustee shall exercise with respect to Securities of that series such of the
rights and powers vested in it by this Indenture, and use the same degree of
care and skill in their exercise, as a prudent man would exercise or use under
the circumstances in the conduct of his own affairs.
(b) NEGLIGENCE OR WILLFUL MISCONDUCT BY TRUSTEE. No provision of
this Indenture shall be construed to relieve the Trustee from liability for its
own negligent action, its own negligent failure to act, or its own willful
misconduct, except that:
(1) prior to the occurrence of an Event of Default with respect to
Securities of a series and after the curing or waiving of all such Events
of Default with respect to that series which may have occurred:
(i) the duties and obligations of the Trustee shall with
respect to Securities of such series be determined solely by the express
provisions of this Indenture, and the Trustee shall not be liable with
respect to Securities of such series except for the performance of such
duties and obligations as are specifically set forth in this Indenture,
and no implied covenants or obligations shall be read into this Indenture
against the Trustee; and
(ii) in the absence of bad faith on the part of the
Trustee, the Trustee may with respect to Securities of such series
conclusively rely, as to the truth of the statements and the correctness
of the opinions expressed therein, upon any certificates or opinions
furnished to the Trustee and conforming to the requirements of this
Indenture; but in the case of any such certificates or opinions which by
any provision hereof are specifically required to be furnished to the
Trustee, the Trustee shall be under a duty to examine the same to
determine whether or not they conform to the requirements of this
Indenture (but need not confirm or investigate the accuracy of
mathematical calculations or other facts stated therein);
(2) the Trustee shall not be liable for any error of judgment made
in good faith by a Responsible Officer or Responsible Officers of the
Trustee, unless it shall be proved that the Trustee was negligent in
ascertaining the pertinent facts;
(3) the Trustee shall not be liable with respect to any action taken
or omitted to be taken by it in good faith in accordance with the written
direction of the holders of not less than a majority in principal amount
of the Securities of any series at the time outstanding relating to the
time, method and place of conducting any proceeding for any remedy
available to the Trustee, or exercising any trust or power conferred upon
the Trustee under this Indenture with respect to the Securities of that
series; and
(4) none of the provisions contained in this Indenture shall require
the Trustee to expend or risk its own funds or otherwise incur or risk
personal financial liability in the performance of any of its duties or in
the exercise of any of its rights or powers, if the Trustee reasonably
believes that the repayment of such funds or liability is not reasonably
assured to it under the terms of this Indenture or adequate indemnity
against such risk is not reasonably assured to it.
SECTION 7.02. CERTAIN RIGHTS OF TRUSTEE. Except as otherwise provided in
Section 7.01:
25
(a) TRUSTEE RELIANCE ON DOCUMENTS. The Trustee may conclusively rely
and shall be fully protected in acting or refraining from acting upon any
resolution, certificate, statement, instrument, opinion, report, notice,
request, direction, consent, order, demand, approval, bond, security or other
paper or document believed by it (i) to be genuine and (ii) to have been signed
or presented by the proper party or parties;
(b) EVIDENCE PROVIDED FOR CERTAIN INSTRUMENTS. Any request,
direction, order or demand of the Company mentioned herein shall be sufficiently
evidenced by a Board Resolution or an Officers' Certificate (unless other
evidence in respect thereof is specifically prescribed herein);
(c) TRUSTEE MAY CONSULT WITH COUNSEL AND ACT ON ADVICE OR OPINION OF
COUNSEL. The Trustee may consult with counsel of its selection and the advice of
such counsel or any Opinion of Counsel shall be full and complete authorization
and protection in respect of any action taken or suffered or omitted hereunder
in good faith and in reliance thereon;
(d) TRUSTEE MAY REQUIRE INDEMNITY FROM SECURITYHOLDERS. The Trustee
shall be under no obligation to exercise any of the rights or powers vested in
it by this Indenture at the request, order or direction of any of the
Securityholders, pursuant to the provisions of this Indenture, unless such
Securityholders shall have offered to the Trustee security or indemnity
satisfactory to it against the costs, expenses and liabilities which may be
incurred therein or thereby; nothing herein contained shall, however, relieve
the Trustee of the obligation, upon the occurrence of an Event of Default with
respect to a series of the Securities (which has not been cured or waived) to
exercise with respect to Securities of that series such of the rights and powers
vested in it by this Indenture, and to use the same degree of care and skill in
their exercise, as a prudent man would exercise or use under the circumstances
in the conduct of his own affairs;
(e) TRUSTEE NOT LIABLE FOR ACTIONS IN GOOD FAITH BELIEVED TO BE
AUTHORIZED. The Trustee shall not be liable for any action taken or omitted to
be taken by it in good faith and believed by it to be authorized or within the
discretion or rights or powers conferred upon it by this Indenture;
(f) TRUSTEE NOT BOUND TO INVESTIGATE FACTS OR MATTERS. The Trustee
shall not be bound to make any investigation into the facts or matters stated in
any resolution, certificate, statement, instrument, opinion, report, notice,
request, consent, direction, order, demand, approval, bond, security, or other
papers or documents, unless requested in writing so to do by the holders of not
less than a majority in principal amount of the outstanding Securities of the
particular series affected thereby (determined as provided in Section 8.04);
provided, however, that if the payment within a reasonable time to the Trustee
of the costs, expenses or liabilities likely to be incurred by it in the making
of such investigation is, in the opinion of the Trustee, not reasonably assured
to the Trustee by the security afforded to it by the terms of this Indenture,
the Trustee may require reasonable indemnity against such costs, expenses or
liabilities as a condition to so proceeding. The reasonable expense of every
such examination shall be paid by the Company or, if paid by the Trustee, shall
be repaid by the Company upon demand. Notwithstanding the foregoing, the
Trustee, in its direction, may make such further inquiry or investigation into
such facts or matters as it may see fit. In making any investigation required or
authorized by this subparagraph, the Trustee shall be entitled to examine books,
records and premises of the Company, personally or by agent or attorney at the
expense of the Company and shall incur no liability of any kind by reason of
such inquiry or investigation;
(g) TRUSTEE MAY PERFORM DUTIES DIRECTLY OR THROUGH AGENTS OR
ATTORNEYS. The Trustee may execute any of the trusts or powers hereunder or
perform any duties hereunder either directly or by or through agents or
attorneys and the Trustee shall not be responsible for any misconduct or
negligence on the part of any agent or attorney appointed with due care by it
hereunder;
(h) PERMISSIVE RIGHTS OF TRUSTEE. The permissive right of the
Trustee to do things enumerated in this Indenture shall not be construed as a
duty.
SECTION 7.03. LIMITATIONS IN LIABILITY OF TRUSTEE.
26
(a) TRUSTEE NOT LIABLE FOR RECITALS IN INDENTURE OR IN SECURITIES.
The recitals contained herein and in the Securities (other than the Certificate
of Authentication on the Securities) shall be taken as the statements of the
Company, and the Trustee assumes no responsibility for the correctness of the
same.
(b) NO REPRESENTATIONS BY TRUSTEE AS TO VALIDITY OR INDENTURE OR OF
SECURITIES. The Trustee makes no representations as to the validity or
sufficiency of this Indenture or of the Securities.
(c) TRUSTEE NOT ACCOUNTABLE FOR USE OF SECURITIES OR PROCEEDS. The
Trustee shall not be accountable for the use or application by the Company of
any of the Securities or of the proceeds of such Securities, or for the use or
application of any monies paid over by the Trustee in accordance with any
provision of this Indenture or established pursuant to Section 2.01, or for the
use or application of any monies received by any paying agent other than the
Trustee.
SECTION 7.04. TRUSTEE, PAYING AGENT OR SECURITY REGISTRAR MAY OWN
SECURITIES. The Trustee or any paying agent or Security Registrar, in its
individual or any other capacity, may become the owner or pledgee of Securities
with the same rights it would have if it were not Trustee, paying agent or
Security Registrar.
SECTION 7.05. MONIES RECEIVED BY TRUSTEE TO BE HELD IN TRUST WITHOUT
INTEREST. Subject to the provisions of Section 11.04, all monies received by the
Trustee shall, until used or applied as herein provided, be held in trust for
the purposes for which they were received, but need not be segregated from other
funds except to the extent required by law. The Trustee shall be under no
liability for interest on any monies received by it hereunder except such as it
may agree in writing with the Company to pay thereon.
SECTION 7.06. COMPENSATION AND REIMBURSEMENT OF TRUSTEE.
(a) TRUSTEE ENTITLED TO COMPENSATION, REIMBURSEMENT AND INDEMNITY.
The Company covenants and agrees to pay to the Trustee from time to time, and
the Trustee shall be entitled to, reasonable compensation (which shall not be
limited by any provision of law in regard to the compensation of a trustee of an
express trust) for all services rendered by it in the execution of the trusts
hereby created and in the exercise and performance of any of the powers and
duties hereunder of the Trustee, and the Company will pay or reimburse the
Trustee upon its request for all reasonable expenses, disbursements and advances
incurred or made by the Trustee in accordance with any of the provisions of this
Indenture (including the reasonable compensation and the reasonable expenses and
disbursements of its counsel and agents and of all persons not regularly in its
employ) except any such expense, disbursement or advance as shall be determined
to have been caused by its own negligence, willful misconduct or bad faith. The
Company also covenants to indemnify the Trustee (and its officers, agents,
directors and employees) for, and to hold it harmless against, any loss,
liability or expense incurred without negligence, willful misconduct or bad
faith on the part of the Trustee and arising out of or in connection with the
acceptance or administration of this trust, including the reasonable costs and
expenses of defending itself against any claim or liability in connection with
the exercise or performance of any of its powers or duties hereunder.
(b) OBLIGATIONS TO TRUSTEE TO BE SECURED BY LIEN PRIOR TO
SECURITIES. The obligations of the Company under this Section to compensate and
indemnify the Trustee and to pay or reimburse the Trustee for expenses,
disbursements and advances shall constitute additional indebtedness hereunder.
Such additional indebtedness shall be secured by a lien prior to that of the
Securities upon all property and funds held or collected by the Trustee as such,
except funds held in trust for the benefit of the holders of particular
Securities.
(c) NATURE OF EXPENSES. Without prejudice to any other rights
available to the Trustee under applicable law, when the Trustee incurs expenses
or renders services in connection with an Event of Default, the expenses
(including reasonable charges and expenses of its counsel) and compensation for
its services are intended to constitute expenses of administration under
applicable federal or state bankruptcy, insolvency or similar law.
(d) SURVIVAL OF OBLIGATIONS. The provisions of this Section 7.06
shall survive the satisfaction and discharge of this Indenture or the
appointment of a successor trustee.
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SECTION 7.07. TRUSTEE MAY RELY ON CERTIFICATE OF OFFICERS OF COMPANY.
Except as otherwise provided in Section 7.01, whenever in the administration of
the provisions of this Indenture the Trustee shall deem it necessary or
desirable that a matter be proved or established prior to taking or suffering or
omitting to take any action hereunder, such matter (unless other evidence in
respect thereof be herein specifically prescribed) may, in the absence of bad
faith on the part of the Trustee, be deemed to be conclusively proved and
established by an Officers' Certificate delivered to the Trustee and such
certificate, in the absence of bad faith on the part of the Trustee, shall be
full warrant to the Trustee for any action taken, suffered or omitted to be
taken by it under the provisions of this Indenture upon the faith thereof.
SECTION 7.08. TRUSTEE MUST ELIMINATE CONFLICT OR RESIGN. If the Trustee
has acquired or shall acquire a conflicting interest within the meaning of the
Trust Indenture Act, the Trustee shall either eliminate such interest or resign,
to the extent and in the manner provided by, and subject to the provisions of,
the Trust Indenture Act and this Indenture.
SECTION 7.09. REQUIREMENTS FOR ELIGIBILITY OF TRUSTEE. There shall at all
times be a Trustee with respect to the Securities issued hereunder which shall
at all times be a corporation organized and doing business under the laws of the
United States of America or any State or Territory thereof or of the District of
Columbia, or a corporation or other person permitted to act as trustee by the
Commission, authorized under such laws to exercise corporate trust powers,
having a combined capital and surplus of at least 50 million dollars, and
subject to supervision or examination by Federal, State, Territorial, or
District of Columbia authority. If such corporation publishes reports of
condition at least annually, pursuant to law or to the requirements of the
aforesaid supervising or examining authority, then for the purposes of this
Section, the combined capital and surplus of such corporation shall be deemed to
be its combined capital and surplus as set forth in its most recent report of
condition so published. The Company may not, nor may any person directly or
indirectly controlling, controlled by, or under common control with the Company,
serve as Trustee. In case at any time the Trustee shall cease to be eligible in
accordance with the provisions of this Section, the Trustee shall resign
immediately in the manner and with the effect specified in Section 7.10.
SECTION 7.10. TRUSTEE.
(a) RESIGNATION OF TRUSTEE AND APPOINTMENT OF SUCCESSOR. The Trustee
or any successor hereafter appointed, may at any time resign with respect to the
Securities of one or more series by giving written notice thereof to the Company
and by transmitting notice of resignation by mail, first class postage prepaid,
to the Securityholders of such series, as their names and addresses appear upon
the Security Register. Upon receiving such notice of resignation, the Company
shall promptly appoint a successor trustee with respect to Securities of such
series by written instrument, in duplicate, executed by order of the Board of
Directors, one copy of which instrument shall be delivered to the resigning
Trustee and one copy to the successor trustee. If no successor trustee shall
have been so appointed and have accepted appointment within 30 days after the
mailing of such notice of resignation, the resigning Trustee may petition at the
expense of the Company any court of competent jurisdiction for the appointment
of a successor trustee with respect to Securities of such series, or any
Securityholder of that series who has been a bona fide holder of a Security or
Securities for at least six months may, subject to the provisions of Section
6.08, on behalf of himself and all others similarly situated, petition any such
court for the appointment of a successor trustee. Such court may thereupon after
such notice, if any, as it may deem proper and prescribe, appoint a successor
trustee.
(b) REMOVAL OF TRUSTEE BY COMPANY OR BY COURT ON SECURITYHOLDERS'
APPLICATION. In case at any time any of the following shall occur:
(1) the Trustee shall fail to comply with the provisions of Section
7.08 after written request therefor by the Company or by any
Securityholder who has been a bona fide holder of a Security or Securities
for at least six months; or
(2) The Trustee shall cease to be eligible in accordance with the
provisions of Section 7.09 and shall fail to resign after written request
therefor by the Company or by any such Securityholder; or
(3) the Trustee shall become incapable of acting, or shall be
adjudged a bankrupt or
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insolvent, or a receiver of the Trustee or of its property shall be
appointed, or any public officer shall take charge or control of the
Trustee or of its property or affairs for the purpose of rehabilitation,
conservation or liquidation;
then, in any such case, the Company may remove the Trustee with respect to all
Securities and appoint a successor trustee by written instrument, in duplicate,
executed by order of the Board of Directors, one copy of which instrument shall
be delivered to the Trustee so removed and one copy to the successor trustee,
or, subject to the provisions of Section 6.08, unless, with respect to
subsection (b)(1) above, the Trustee's duty to resign is stayed as provided in
Section 310(b) of the Trust Indenture Act, any Securityholder who has been a
bona fide holder of a Security or Securities for at least six months may, on
behalf of himself and all others similarly situated, petition any court of
competent jurisdiction for the removal of the Trustee and the appointment of a
successor trustee. Such court may thereupon after such notice, if any, as it may
deem proper and prescribe, remove the Trustee and appoint a successor trustee.
(c) REMOVAL OF TRUSTEE BY HOLDERS OF MAJORITY IN PRINCIPAL AMOUNT OF
SECURITIES. The holders of a majority in aggregate principal amount of the
Securities of any series at the time outstanding may at any time remove the
Trustee with respect to such series and appoint a successor trustee.
(d) TIME WHEN RESIGNATION OR REMOVAL OF TRUSTEE EFFECTIVE. Any
resignation or removal of the Trustee and appointment of a successor trustee
with respect to the Securities of a series pursuant to any of the provisions of
this Section shall become effective upon acceptance of appointment by the
successor trustee as provided in Section 7.11.
(e) ONE TRUSTEE FOR EACH SERIES. Any successor trustee appointed
pursuant to this Section may be appointed with respect to the Securities of one
or more series or all of such series, and at any time there shall be only one
Trustee with respect to the Securities of any particular series.
(f) REMOVAL OF TRUSTEE BY THE COMPANY. So long as no Event of
Default has occurred and is continuing with respect to the Securities of a
series, the Company may at any time remove the Trustee with respect to such
series and appoint a successor trustee.
SECTION 7.11. SUCCESSOR TRUSTEE.
(a) ACCEPTANCE BY SUCCESSOR TRUSTEE. In case of the appointment
hereunder of a successor trustee with respect to all Securities, every such
successor trustee so appointed shall execute, acknowledge and deliver to the
Company and to the retiring Trustee an instrument accepting such appointment,
and thereupon the resignation or removal of the retiring Trustee shall become
effective and such successor trustee, without any further act, deed or
conveyance, shall become vested with all the rights, powers, trusts and duties
of the retiring Trustee; but, on the request of the Company or the successor
trustee, such retiring Trustee shall, upon payment of its charges, execute and
deliver an instrument transferring to such successor trustee all the rights,
powers, and trusts of the retiring Trustee and shall duly assign, transfer and
deliver to such successor trustee all property and money held by such retiring
Trustee hereunder, subject to any prior lien provided for in Section 7.06(b).
(b) TRUSTEE WITH RESPECT TO LESS THAN ALL SERIES. In case of the
appointment hereunder of a successor trustee with respect to the Securities of
one or more (but not all) series, the Company, the retiring Trustee and each
successor trustee with respect to the Securities of one or more series shall
execute and deliver an indenture supplemental hereto wherein each successor
trustee shall accept such appointment and which (1) shall contain such
provisions as shall be necessary or desirable to transfer and confirm to, and to
vest in, each successor trustee all the rights, powers, trusts and duties of the
retiring Trustee with respect to the Securities of that or those series to which
the appointment of such successor trustee relates, (2) shall contain such
provisions as shall be deemed necessary or desirable to confirm that all the
rights, powers, trusts and duties of the retiring Trustee with respect to the
Securities of that or those series as to which the retiring Trustee is not
retiring shall continue to be vested in the retiring Trustee, and (3) shall add
to or change any of the provisions of this Indenture as shall be necessary to
provide for or facilitate the administration of the trusts hereunder by more
than one Trustee, it being understood that nothing herein or in such
supplemental indenture shall constitute such Trustees co-trustees of the same
trust, that each such Trustee shall be trustee of a trust or trusts hereunder
separate and apart from any trust or trusts hereunder administered by
29
any other such Trustee and that no Trustee shall be responsible for any act or
failure to act on the part of any other Trustee hereunder; and upon the
execution and delivery of such supplemental indenture the resignation or removal
of the retiring Trustee shall become effective to the extent provided therein,
such retiring Trustee shall with respect to the Securities of that or those
series to which the appointment of such successor trustee relates have no
further responsibility for the exercise of rights and powers or for the
performance of the duties and obligations vested in the Trustee under this
Indenture, and each such successor trustee, without any further act, deed or
conveyance, shall become vested with all the rights, powers, trusts and duties
of the retiring Trustee with respect to the Securities of that or those series
to which the appointment of such successor trustee relates; but, on request of
the Company or any successor trustee, such retiring Trustee shall duly assign,
transfer and deliver to such successor trustee, to the extent contemplated by
such supplemental indenture, the property and money held by such retiring
Trustee hereunder with respect to the Securities of that or those series to
which the appointment of such successor trustee relates.
(c) COMPANY TO CONFIRM TRUSTEE'S RIGHTS. Upon request of any such
successor trustee, the Company shall execute any and all instruments for more
fully and certainly vesting in and confirming to such successor trustee all such
rights, powers and trusts referred to in paragraph (a) or (b) of this Section,
as the case may be.
(d) SUCCESSOR TRUSTEE TO BE QUALIFIED. No successor trustee shall
accept its appointment unless at the time of such acceptance such successor
trustee shall be qualified under the Trust Indenture Act and eligible under this
Article.
(e) NOTICE OF SUCCESSION. Upon acceptance of appointment by a
successor trustee as provided in this Section, the Company shall transmit notice
of the succession of such trustee hereunder by mail, first class postage
prepaid, to the Securityholders, as their names and addresses appear upon the
Security Register. If the Company fails to transmit such notice within ten days
after acceptance of appointment by the successor trustee, the successor trustee
shall cause such notice to be transmitted at the expense of the Company.
SECTION 7.12. SUCCESSOR TO TRUSTEE BY MERGER, CONSOLIDATION OF SUCCESSION
TO BUSINESS. Any corporation into which the Trustee may be merged or converted
or with which it may be consolidated, or any corporation resulting from any
merger, conversion or consolidation to which the Trustee shall be a party, or
any corporation succeeding to all or substantially all of the corporate trust
business of the Trustee, shall be the successor of the Trustee hereunder,
provided such corporation shall be qualified under the provisions of the Trust
Indenture Act and eligible under the provisions of Section 7.09, without the
execution or filing of any paper or any further act on the part of any of the
parties hereto, anything herein to the contrary notwithstanding. In case any
Securities shall have been authenticated, but not delivered, by the Trustee then
in office, any successor by merger, conversion or consolidation to such
authenticating Trustee may adopt such authentication and deliver the Securities
so authenticated with the same effect as if such successor Trustee had itself
authenticated such Securities.
SECTION 7.13. LIMITATIONS ON RIGHTS OF TRUSTEE AS A CREDITOR TO OBTAIN
PAYMENT OF CERTAIN CLAIMS. If and when the Trustee shall become a creditor of
the Company (or any other obligor upon the Securities), the Trustee shall be
subject to the provisions of the Trust Indenture Act regarding collection of
claims against the Company (or any other obligor upon the Securities).
ARTICLE VIII.
CONCERNING THE SECURITYHOLDERS
SECTION 8.01. EVIDENCE OF ACTION BY SECURITYHOLDERS. Whenever in this
Indenture it is provided that the holders of a majority or specified percentage
in aggregate principal amount of the Securities of a particular series may take
any action (including the making of any demand or request, the giving of any
notice, consent or waiver or the taking of any other action), the fact that at
the time of taking any such action the holders of such majority or specified
percentage of that series have joined therein may be evidenced by any instrument
or any number of instruments of similar tenor executed by such holders of
Securities of that series in person or by agent or proxy appointed in writing.
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If the Company shall solicit from the Securityholders of any series any
request, demand, authorization, direction, notice, consent, waiver or other
action, the Company may, at its option, as evidenced by an Officers'
Certificate, fix in advance a record date for such series for the determination
of Securityholders entitled to give such request, demand, authorization,
direction, notice, consent, waiver or other action, but the Company shall have
no obligation to do so. If such a record date is fixed, such request, demand,
authorization, direction, notice, consent, waiver or other action may be given
before or after the record date, but only the Securityholders of record at the
close of business on the record date shall be deemed to be Securityholders for
the purposes of determining whether Securityholders of the requisite proportion
of outstanding Securities of that series have authorized or agreed or consented
to such request, demand, authorization, direction, notice, consent, waiver or
other action, and for that purpose the outstanding Securities of that series
shall be computed as of the record date; provided that no such authorization,
agreement or consent by such Securityholders on the record date shall be deemed
effective unless it shall become effective pursuant to the provisions of this
Indenture not later than six months after the record date.
In determining whether the holders of the requisite aggregate principal
amount of Securities of a particular series have concurred in any direction,
consent or waiver under this Indenture, the principal amount of an Original
Issue Discount Security that shall be deemed to be outstanding for such purposes
shall be the amount of the principal thereof that would be due and payable as of
the date of such determination upon a declaration of acceleration of the
maturity thereof pursuant to Section 6.01.
SECTION 8.02. PROOF OF EXECUTION OF INSTRUMENTS AND OF HOLDING OF
SECURITIES. Subject to the provisions of Section 7.01, proof of the execution of
any instrument by a Securityholder (such proof will not require notarization) or
his agent or proxy and proof of the holding by any person of any of the
Securities shall be sufficient if made in the following manner:
(a) The fact and date of the execution by any such person of any
instrument may be proved in any reasonable manner acceptable to the Trustee.
(b) The ownership of Securities shall be proved by the Security
Register of such Securities or by a certificate of the Security Registrar
thereof.
(c) The Trustee may require such additional proof of any matter
referred to in this Section as it shall deem necessary.
SECTION 8.03. WHO MAY BE DEEMED OWNERS OF SECURITIES. Prior to the due
presentment for registration of transfer of any Security, the Company, the
Trustee, any paying agent and any Security Registrar may deem and treat the
person in whose name such Security shall be registered upon the books of the
Company as the absolute owner of such Security (whether or not such Security
shall be overdue and notwithstanding any notice of ownership or writing thereon
made by anyone other than the Security Registrar) for the purpose of receiving
payment of or on account of the principal of and premium, if any, and (subject
to Section 2.03) interest on such Security and for all other purposes; and
neither the Company nor the Trustee nor any paying agent nor any Security
Registrar shall be affected by any notice to the contrary.
SECTION 8.04. SECURITIES OWNED BY COMPANY OR AFFILIATED PERSONS
DISREGARDED FOR CERTAIN PURPOSES. In determining whether the holders of the
requisite aggregate principal amount of Securities of a particular series have
concurred in any direction, consent or waiver under this Indenture, Securities
of that series which are owned by the Company or any other obligor on the
Securities of that series or by any person directly or indirectly controlling or
controlled by or under common control with the Company or any other obligor on
the Securities of that series shall be disregarded and deemed not to be
outstanding for the purpose of any such determination, except that for the
purpose of determining whether the Trustee shall be protected in relying on any
such direction, consent or waiver, only Securities of such series which the
Trustee actually knows are so owned shall be so disregarded. Securities so owned
which have been pledged in good faith may be regarded as outstanding for the
purposes of this Section, if the pledgee shall establish to the satisfaction of
the Trustee the pledgee's right so to act with respect to such Securities and
that the pledgee is not a person directly or indirectly controlling or
controlled by or under direct or indirect common control with the Company or any
such other obligor. In case of a dispute as to such right, any decision by the
Trustee taken upon the advice of counsel shall be full protection to the
Trustee.
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SECTION 8.05. INSTRUMENTS EXECUTED BY SECURITYHOLDERS BINDING ON FUTURE
HOLDERS. At any time prior to (but not after) the evidencing to the Trustee, as
provided in Section 8.01, of the taking of any action by the holders of the
majority or percentage in aggregate principal amount of the Securities of a
particular series specified in this Indenture in connection with such action,
any holder of a Security of that series which is shown by the evidence to be
included in the Securities the holders of which have consented to such action
may, by filing written notice with the Trustee, and upon proof of holding as
provided in Section 8.02, revoke such action so far as concerns such Security.
Except as aforesaid any such action taken by the holder of any Security shall be
conclusive and binding upon such holder and upon all future holders and owners
of such Security, and of any Security issued in exchange therefor, on
registration of transfer thereof or in place thereof, irrespective of whether or
not any notation in regard thereto is made upon such Security. Any action taken
by the holders of the majority or percentage in aggregate principal amount of
the Securities of a particular series specified in this Indenture in connection
with such action shall be conclusively binding upon the Company, the Trustee and
the holders of all the Securities of that series.
ARTICLE IX.
SUPPLEMENTAL INDENTURES
SECTION 9.01. SUPPLEMENTAL INDENTURE WITHOUT CONSENT OF SECURITYHOLDERS.
In addition to any supplemental indenture otherwise authorized by this
Indenture, the Company, when authorized by a Board Resolution, and the Trustee
may from time to time and at any time enter into an indenture or indentures
supplemental hereto (which shall conform to the provisions of the Trust
Indenture Act as then in effect), without the consent of the Securityholders,
for one or more of the following purposes:
(a) to evidence the succession of another person to the Company or a
successor to the Company, and the assumption by any such successor of the
covenants of the Company contained herein or otherwise established with respect
to the Securities; or
(b) to add to the covenants of the Company such further covenants,
restrictions, conditions or provisions for the protection of the holders of the
Securities of all or any series, and to make the occurrence, or the occurrence
and continuance, of a default in any of such additional covenants, restrictions,
conditions or provisions a default or an Event of Default with respect to such
series permitting the enforcement of all or any of the several remedies provided
in this Indenture as herein set forth; provided, however, that in respect of any
such additional covenant, restriction, condition or provision such supplemental
indenture may provide for a particular period of grace after default (which
period may be shorter or longer than that allowed in the case of other defaults)
or may provide for an immediate enforcement upon such default or may limit the
remedies available to the Trustee upon such default or may limit the right of
the holders of a majority in aggregate principal amount of the Securities of
such series to waive such default; or
(c) to cure any ambiguity or to correct or supplement any provision
contained herein or in any supplemental indenture which may be defective or
inconsistent with any other provision contained herein or in any supplemental
indenture, or to make such other provisions in regard to matters or questions
arising under this Indenture as shall not be inconsistent with the provisions of
this Indenture and shall not adversely affect the rights of the holders of the
Securities of any series which are outstanding in any material respect; or
(d) to change or eliminate any of the provisions of this Indenture
or to add any new provision to this Indenture; provided, however, that such
change, elimination or addition shall become effective only as to Securities
issued pursuant to or subsequent to such supplemental indenture except to the
extent such change, elimination or addition does not adversely affect the rights
of any Securityholder of Outstanding Securities in any material respect; or
(e) to establish the form or terms of Securities of any series as
permitted by Section 2.01; or
(f) to add any additional Events of Default with respect to all or
any series of outstanding Securities; or
32
(g) to add guarantees with respect to debt securities or to release
a guarantor from guarantees in accordance with the terms of the applicable
series of Securities;
(h) to secure a series of Securities by conveying, assigning,
pledging or mortgaging property or assets to the Trustee as collateral security
for such series of Securities; or
(i) to provide for uncertificated Securities in addition to or in
place of certificated Securities; or
(j) to provide for the authentication and delivery of bearer
securities and coupons appertaining thereto representing interest, if any,
thereon and for the procedures for the registration, exchange and replacement
thereof and for the giving of notice to, and the solicitation of the vote or
consent of, the holders thereof, and for any other matters incidental thereto;
or
(k) evidence and provide for the acceptance of appointment hereunder
by a separate or successor Trustee with respect to the Securities of one or more
series and to add to or change any of the provisions of this Indenture as shall
be necessary to provide for or facilitate the administration of the trusts
hereunder by more than one Trustee, pursuant to the requirements of Article
Seven; or
(l) to change any place or places where (1) the principal of and
premium, if any, and interest, if any, on all or any series of Securities shall
be payable, (2) all or any series of Securities may be surrendered for
registration of transfer, (3) all or any series of Securities may be surrendered
for exchange and (4) notices and demands to or upon the Company in respect of
all or any series of Securities and this Indenture may be served; provided,
however, that any such place shall be located in New York, New York or be the
principal office of the Company; or
(m) to provide for the payment by the Company of additional amounts
in respect of certain taxes imposed on certain holders and for the treatment of
such additional amounts as interest and for all matters incidental thereto; or
(n) to provide for the issuance of Securities denominated in a
currency other than Dollars or in a composite currency and for all matters
incidental thereto; or
(o) to comply with any requirements of the Commission or the Trust
Indenture Act of 1939, as amended.
Without limiting the generality of the foregoing, if the Trust Indenture Act
as in effect at the date of the execution and delivery of this Indenture or at
any time thereafter shall be amended and
(x) if any such amendment shall require one or more changes to any provisions
hereof or the inclusion herein of any additional provisions, or shall by
operation of law be deemed to effect such changes or incorporate such provisions
by reference or otherwise, this Indenture shall be deemed to have been amended
so as to conform to such amendment to the Trust Indenture Act, and the Company
and the Trustee may, without the consent of any Securityholders, enter into a
supplemental indenture hereto to effect or evidence such changes or additional
provisions; or
(y) if any such amendment shall permit one or more changes to, or the
elimination of, any provisions hereof which, at the date of the execution and
delivery hereof or at any time thereafter, are required by the Trust Indenture
Act to be contained herein, this Indenture shall be deemed to have been amended
to effect such changes or elimination, and the Company and the Trustee may,
without the consent of any Securityholders, enter into a supplemental indenture
hereto to effect such changes or elimination; or
(z) if, by reason of any such amendment, one or more provisions which, at the
date of the execution and delivery hereof or at any time thereafter, are
required by the Trust Indenture Act to be contained herein shall be deemed to be
incorporated herein by reference or otherwise, or otherwise made applicable
hereto, and shall no
33
longer be required to be contained herein, the Company and the Trustee may,
without the consent of any Securityholders, enter into a supplemental indenture
hereto to effect the elimination of such provisions.
The Trustee is hereby authorized to join with the Company in the execution of
any such supplemental indenture, and to make any further appropriate agreements
and stipulations which may be therein contained, but the Trustee shall not be
obligated to enter into any such supplemental indenture which affects the
Trustee's own rights, duties or immunities under this Indenture or otherwise.
Any supplemental indenture authorized by the provisions of this Section may
be executed by the Company and the Trustee without the consent of the holders of
any of the Securities at the time outstanding, notwithstanding any of the
provisions of Section 9.02.
SECTION 9.02. SUPPLEMENTAL INDENTURE WITH CONSENT OF SECURITYHOLDERS. With
the consent (evidenced as provided in Section 8.01) of the holders of not less
than a majority in aggregate principal amount of the Securities of each series
affected by such supplemental indenture or indentures at the time outstanding,
the Company, when authorized by a Board Resolution, and the Trustee may from
time to time and at any time enter into an indenture or indentures supplemental
hereto (which shall conform to the provisions of the Trust Indenture Act as then
in effect) for the purpose of adding any provisions to or changing in any manner
or eliminating any of the provisions of this Indenture or of any supplemental
indenture or of modifying in any manner the rights of the holders of the
Securities of such series under this Indenture; provided, however, that no such
supplemental indenture shall (i) extend the fixed maturity of any Securities of
any series, or reduce the principal amount thereof, or reduce the rate or extend
the time of payment of interest thereon, or reduce any premium payable upon the
redemption thereof, or reduce the amount of the principal of an Original Issue
Discount Security that would be due and payable upon a declaration of
acceleration of the maturity thereof pursuant to Section 6.01, without the
consent of the holders of each Security then outstanding and affected, (ii)
reduce the aforesaid percentage of Securities, the holders of which are required
to consent to any such supplemental indenture, or reduce the percentage of
Securities, the holders of which are required to waive any default and its
consequences, without the consent of the holder of each Security then
outstanding and affected thereby, or (iii) modify any provision of Section
6.01(c) (except to increase the percentage of principal amount of securities
required to rescind and annul any declaration of amounts due and payable under
the Securities) without the consent of the holders of each Security then
outstanding and affected thereby.
Upon the request of the Company, accompanied by a Board Resolution
authorizing the execution of any such supplemental indenture, and upon the
filing with the Trustee of evidence of the consent of Securityholders required
to consent thereto as aforesaid, the Trustee shall join with the Company in the
execution of such supplemental indenture unless such supplemental indenture
affects the Trustee's own rights, duties or immunities under this Indenture or
otherwise, in which case the Trustee may in its discretion, but shall not be
obligated to, enter into such supplemental indenture.
A supplemental indenture that changes or eliminates any covenant or other
provision of this Indenture that has expressly been included solely for the
benefit of one or more particular series of Securities, or that modifies the
rights of holders of Securities of such series with respect to such covenant or
other provision, shall be deemed not to affect the rights under this Indenture
of the holders of Securities of any other series.
It shall not be necessary for the consent of the Securityholders of any
series affected thereby under this Section to approve the particular form of any
proposed supplemental indenture, but it shall be sufficient if such consent
shall approve the substance thereof.
Promptly after the execution by the Company and the Trustee of any
supplemental indenture pursuant to the provisions of this Section, the Trustee
shall transmit by mail, first class postage prepaid, a notice, setting forth in
general terms the substance of such supplemental indenture, to the
Securityholders of all series affected thereby as their names and addresses
appear upon the Security Register. Any failure of the Trustee to mail such
notice, or any defect therein, shall not, however, in any way impair or affect
the validity of any such supplemental indenture.
SECTION 9.03. EFFECT OF SUPPLEMENTAL INDENTURES. Upon the execution of any
supplemental indenture pursuant to the provisions of this Article or of Section
10.01, this Indenture shall, with respect to such series, be and be deemed to be
modified and amended in accordance therewith and the respective rights,
limitations of rights, obligations, duties and immunities under this Indenture
of the Trustee, the Company and the holders of Securities of the series affected
thereby shall thereafter be determined, exercised and enforced hereunder subject
in all respects to
34
such modifications and amendments, and all the terms and conditions of any such
supplemental indenture shall be and be deemed to be part of the terms and
conditions of this Indenture for any and all purposes.
SECTION 9.04. SECURITIES MAY BEAR NOTATION OF CHANGES BY SUPPLEMENTAL
INDENTURES. Securities of any series, affected by a supplemental indenture,
authenticated and delivered after the execution of such supplemental indenture
pursuant to the provisions of this Article, Article Two or Article Seven or of
Section 10.01, may bear a notation in form approved by the Company, provided
such form meets the requirements of any exchange upon which such series may be
listed, as to any matter provided for in such supplemental indenture. If the
Company shall so determine, new Securities of that series so modified as to
conform, in the opinion of the Board of Directors, to any modification of this
Indenture contained in any such supplemental indenture may be prepared by the
Company, authenticated by the Trustee and delivered in exchange for the
Securities of that series then outstanding.
SECTION 9.05. OPINION OF COUNSEL. The Trustee, subject to the provisions
of Section 7.01, shall be entitled to receive, and shall be fully protected in
relying upon, an Opinion of Counsel as conclusive evidence that any supplemental
indenture executed pursuant to this Article is authorized or permitted by, and
conforms to, the terms of this Article and that it is proper for the Trustee
under the provisions of this Article to join in the execution thereof.
ARTICLE X.
CONSOLIDATION, MERGER AND SALE
SECTION 10.01. CONSOLIDATIONS OR MERGERS OF COMPANY AND SALES OR
CONVEYANCES OF PROPERTY OF COMPANY. Nothing contained in this Indenture or in
any of the Securities shall prevent any consolidation or merger of the Company
with or into any other corporation or corporations (whether or not affiliated
with the Company), or successive consolidations or mergers in which the Company
or its successor or successors shall be a party or parties, or shall prevent any
sale, conveyance, transfer or other disposition of all or substantially all of
the property of the Company or its successor or successors as an entirety, or
substantially as an entirety, to any other corporation (whether or not
affiliated with the Company or its successor or successors) authorized to
acquire and operate the same; provided, however, the Company hereby covenants
and agrees that, upon any such consolidation, merger, sale, conveyance, transfer
or other disposition, the due and punctual payment of the principal of (premium,
if any) and interest on all of the Securities of all series in accordance with
the terms of each series, according to their tenor, and the due and punctual
performance and observance of all the covenants and conditions of this Indenture
with respect to each series or established with respect to such series pursuant
to Section 2.01 to be kept or performed by the Company, shall be expressly
assumed, by supplemental indenture (which shall conform to the provisions of the
Trust Indenture Act as then in effect) satisfactory in form to the Trustee
executed and delivered to the Trustee by the entity formed by such
consolidation, or into which the Company shall have been merged, or by the
entity which shall have acquired such property.
SECTION 10.02. SUCCESSOR TO COMPANY.
(a) RIGHTS AND DUTIES OF SUCCESSOR COMPANY. In case of any such
consolidation, merger, sale, conveyance, transfer or other disposition and upon
the assumption by the successor corporation, by supplemental indenture, executed
and delivered to the Trustee and satisfactory in form to the Trustee, of the due
and punctual payment of the principal of and premium, if any, and interest on
all of the Securities of all series outstanding and the due and punctual
performance of all of the covenants and conditions of this Indenture or
established with respect to each series of the Securities pursuant to Section
2.01 to be kept or performed by the Company with respect to each series, such
successor corporation shall succeed to and be substituted for the Company, with
the same effect as if it had been named herein as the party of the first part,
and thereupon (provided, that in the case of a lease, the term of the lease is
at least as long as the longest maturity of any Securities outstanding at such
time) the predecessor corporation shall be relieved of all obligations and
covenants under this Indenture and the Securities. Such successor corporation
thereupon may cause to be signed, and may issue either in its own name or in the
name of the Company or any other predecessor obligor on the Securities, any or
all of the Securities issuable hereunder which theretofore shall not have been
signed by the Company and delivered to the Trustee; and, upon the order of such
successor company, instead of the Company, and subject to all the terms,
conditions and limitations in this Indenture prescribed, the Trustee shall
authenticate and shall deliver any Securities
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which previously shall have been signed and delivered by the officers of the
predecessor Company to the Trustee for authentication, and any Securities which
such successor corporation thereafter shall cause to be signed and delivered to
the Trustee for that purpose. All the Securities so issued shall in all respects
have the same legal rank and benefit under this Indenture as the Securities
theretofore or thereafter issued in accordance with the terms of this Indenture
as though all of such Securities had been issued at the date of the execution
hereof.
(b) APPROPRIATE CHANGES MAY BE MADE IN PHRASEOLOGY AND FORM OF
SECURITIES. In case of any such consolidation, merger, sale, conveyance,
transfer or other disposition such changes in phraseology and form (but not in
substance) may be made in the Securities thereafter to be issued as may be
appropriate.
(c) COMPANY MAY CONSOLIDATE OR MERGE INTO ITSELF OR ACQUIRE
PROPERTIES OF OTHER CORPORATIONS. Nothing contained in this Indenture or in any
of the Securities shall prevent the Company from merging into itself or
acquiring by purchase or otherwise all or any part of the property of any other
corporation (whether or not affiliated with the Company).
SECTION 10.03. OPINION OF COUNSEL. The Trustee, subject to the provisions
of Section 7.01, may receive an Opinion of Counsel as conclusive evidence that
any such consolidation, merger, sale, conveyance, transfer or other disposition,
and any such assumption, comply with the provisions of this Article.
ARTICLE XI.
DEFEASANCE AND CONDITIONS TO DEFEASANCE; UNCLAIMED MONIES
SECTION 11.01. DEFEASANCE AND CONDITIONS TO DEFEASANCE.
(a) SECURITIES MAY BE DEFEASED. Securities of a series may be
defeased in accordance with their terms and, unless the Company Order or
supplemental indenture establishing the series otherwise provides, in accordance
with this Article.
(b) COVENANT AND LEGAL DEFEASANCE. The Company at any time may
terminate as to a series its obligations, if any, under any restrictive
covenants which may be applicable to a particular series, to the extent provided
for in a Company order or supplemental indenture relating to such series
("covenant defeasance"). The Company at any time may terminate as to a series
all of its obligations for such series under this Indenture ("legal
defeasance"), except that the Company's obligations in Sections 2.05, 2.07,
4.02, 7.06, 7.10 and 11.04 shall survive until the Securities of the series are
no longer outstanding and, thereafter, the Company's obligations in Sections
7.06, 7.10 and 11.04 shall survive. The Company may exercise its legal
defeasance option notwithstanding its prior exercise of its covenant defeasance
option.
(c) CONDITIONS FOR DEFEASANCE. The Company shall exercise as to a
series its legal defeasance option or its covenant defeasance option if:
(1) The Company irrevocably deposits in trust with the Trustee or
another trustee (x) money in an amount which shall be sufficient; or (y)
Eligible Obligations the principal of and the interest on which when due,
without regard to reinvestment thereof, will provide moneys, which,
together with the money, if any, deposited or held by the Trustee or such
other trustee, shall be sufficient; or (z) a combination of money and
Eligible Obligations which shall be sufficient, to pay the principal of
and premium, if any, and interest, if any, due and to become due on such
Securities on or prior to maturity;
(2) the Company delivers to the Trustee a Certificate to the effect
that the requirements set forth in clause (1) above have been satisfied;
(3) immediately after the deposit no Default exists; and
(4) the Company delivers to the Trustee an Opinion of Counsel to the
effect that holders of the series will not recognize income, gain or loss
for Federal income tax purposes as a result of the
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defeasance but will realize income, gain or loss on the Securities,
including payments of interest thereon, in the same amounts and in the
same manner and at the same time as would have been the case if such
defeasance had not occurred and which, in the case of legal defeasance,
shall be (x) accompanied by a ruling of the Internal Revenue Service
issued to the Company or (y) based on a change in law or regulation
occurring after the date hereof; and
(5) the deposit specified in paragraph (1) above shall not result in
the Company, the Trustee or the trust created in connection with such
defeasance being deemed an "investment company" under the Investment
Company Act of 1940, as amended.
(d) EVENT OF DEFAULT FOLLOWING COVENANT DEFEASANCE. In the event (i)
the Company exercises its option to effect a covenant defeasance with respect to
the Securities of any series, (ii) the Securities of that series are thereafter
declared due and payable pursuant to Section 6.01(b) hereof because of the
occurrence of any Event of Default that results from an event, act or condition
which does not arise from any covenant that has been defeased, and (iii) the
amount of money and securities on deposit with the Trustee are not sufficient to
pay amounts due on the Securities of that series at the time of the acceleration
resulting from such Event of Default, the Company shall be liable for any such
deficiency.
(e) EFFECT OF DEFEASANCE. Upon the satisfaction of each of the
foregoing conditions, the obligations of the Company under the restrictive
covenants defeased (in the case of covenant defeasance), and all obligations of
the Company except as set forth in paragraph (b) of this Section 11.01 (in the
case of legal defeasance), shall be terminated with respect to such series.
SECTION 11.02. APPLICATION BY TRUSTEE OF FUNDS DEPOSITED FOR PAYMENT OF
SECURITIES. All monies or Eligible Obligations deposited with the Trustee
pursuant to Section 11.01 shall be held in trust and shall be available for
payment as due, either directly or through any paying agent (including the
Company acting as its own paying agent), to the holders of the particular series
of Securities for the payment or redemption of which such monies or Eligible
Obligations have been deposited with the Trustee.
SECTION 11.03. REPAYMENT OF MONIES HELD BY PAYING AGENT. In connection
with the satisfaction and discharge of this Indenture all monies or Eligible
Obligations then held by any paying agent under the provisions of this Indenture
shall, upon demand of the Company, be paid to the Trustee and thereupon such
paying agent shall be released from all further liability with respect to such
monies or Eligible Obligations.
SECTION 11.04. REPAYMENT OF MONIES HELD BY TRUSTEE. Any monies or Eligible
Obligations deposited with any paying agent or the Trustee, or then held by the
Company, in trust for payment of principal of or premium or interest on the
Securities of a particular series that are not applied but remain unclaimed by
the holders of such Securities for at least two years after the date upon which
the principal of (and premium, if any) or interest on such Securities shall have
respectively become due and payable, upon the written request of the Company and
unless otherwise required by mandatory provisions of applicable escheat or
abandoned or unclaimed property law, shall be repaid to the Company on May 31 of
each year or (if then held by the Company) shall be discharged from such trust;
and thereupon the paying agent and the Trustee shall be released from all
further liability with respect to such monies or Eligible Obligations, and the
holder of any of the Securities entitled to receive such payment shall
thereafter, as an unsecured general creditor, look only to the Company for the
payment thereof.
SECTION 11.05. DELIVERY OF OFFICER'S CERTIFICATE AND OPINION OF COUNSEL.
In connection with any satisfaction and discharge of this Indenture pursuant to
this Article Eleven, the Company shall deliver to the Trustee an Officers'
Certificate and an Opinion of Counsel to the effect that all conditions
precedent in this Indenture provided for relating to such satisfaction and
discharge have been complied with.
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ARTICLE XII.
IMMUNITY OF INCORPORATORS, STOCKHOLDERS, OFFICERS
AND DIRECTORS
SECTION 12.01. INCORPORATORS, STOCKHOLDERS, OFFICERS AND DIRECTORS OF
COMPANY EXEMPT FROM INDIVIDUAL LIABILITY. No recourse under or upon any
obligation, covenant or agreement of this Indenture, or of any Security, or for
any claim based thereon or otherwise in respect thereof, shall be had against
any incorporator, stockholder, officer or director, past, present or future as
such, of the Company or of any predecessor or successor corporation, either
directly or through the Company or any such predecessor or successor
corporation, whether by virtue of any constitution, statute or rule of law, or
by the enforcement of any assessment or penalty or otherwise; it being expressly
understood that this Indenture and the obligations issued hereunder are solely
corporate obligations, and that no such personal liability whatever shall attach
to, or is or shall be incurred by, the incorporators, stockholders, officers or
directors as such, of the Company or of any predecessor or successor
corporation, or any of them, because of the creation of the indebtedness hereby
authorized, or under or by reason of the obligations, covenants or agreements
contained in this Indenture or in any of the Securities or implied therefrom;
and that any and all such personal liability of every name and nature, either at
common law or in equity or by constitution or statute, of, and any and all such
rights and claims against, every such incorporator, stockholder, officer or
director as such, because of the creation of the indebtedness hereby authorized,
or under or by reason of the obligations, covenants or agreements contained in
this Indenture or in any of the Securities or implied therefrom, are hereby
expressly waived and released as a condition of, and as a consideration for, the
execution of this Indenture and the issuance of such Securities.
ARTICLE XIII.
MISCELLANEOUS PROVISIONS
SECTION 13.01. SUCCESSORS AND ASSIGNS OF COMPANY BOUND BY INDENTURE. All
the covenants, stipulations, promises and agreements in this Indenture contained
by or on behalf of the Company shall bind its successors and assigns, whether so
expressed or not.
SECTION 13.02. ACTS OF BOARD, COMMITTEE OR OFFICER OF SUCCESSOR COMPANY.
Any act or proceeding by any provision of this Indenture authorized or required
to be done or performed by any board, committee or officer of the Company shall
and may be done and performed with like force and effect by the corresponding
board, committee or officer of any corporation that shall at the time be the
lawful sole successor of the Company.
SECTION 13.03. HEADINGS. The Article and Section Headings in this
Indenture and the Table of Contents are for convenience only and shall not
affect the construction hereof.
SECTION 13.04. NOTICES. Except as otherwise expressly provided herein any
notice or demand which by any provision of this Indenture is required or
permitted to be given or served by the Trustee or by the holders of Securities
to or on the Company may be given or served by being deposited first class
postage prepaid in a post office letter box addressed (until another address is
filed in writing by the Company with the Trustee), as follows:
United States
Cellular Corporation, ▇▇▇▇ ▇. ▇▇▇▇ ▇▇▇▇, ▇▇▇▇▇ ▇▇▇, ▇▇▇▇▇▇▇, ▇▇▇▇▇▇▇▇ ▇▇▇▇▇,
Attention: President, with a copy to Sidley ▇▇▇▇▇▇ ▇▇▇▇▇ & ▇▇▇▇, ▇▇ ▇▇▇▇▇
▇▇▇▇▇▇▇▇ ▇▇▇▇▇▇, ▇▇▇▇▇▇▇, ▇▇▇▇▇▇▇▇, ▇▇▇▇▇, Attention: ▇▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇, Esq.
Any notice, election, request or demand by the Company or any Securityholder to
or upon the Trustee shall be deemed to have been sufficiently given or made, for
all purposes, if given or made in writing at the Corporate Trust Office of the
Trustee.
SECTION 13.05. GOVERNING LAW. This Indenture and each Security shall be
deemed to be a contract made under the laws of the State of
Illinois, and for
all purposes shall be construed in accordance with the laws of said State.
SECTION 13.06. OFFICERS' CERTIFICATE AND OPINION OF COUNSEL.
(a) WHEN REQUIRED. Upon any application or demand by the Company to
the Trustee to take any action under any of the provisions of this Indenture,
the Company shall furnish to the Trustee an Officers'
38
Certificate stating that all conditions precedent provided for in this Indenture
relating to the proposed action have been complied with and, if required hereby,
an Opinion of Counsel stating that in the opinion of such counsel all such
conditions precedent have been complied with, except that in the case of any
such application or demand as to which the furnishing of such documents is
specifically required by any provision of this Indenture relating to such
particular application or demand, no additional certificate or opinion need be
furnished.
(b) STATEMENTS TO BE INCLUDED IN EACH CERTIFICATE OR OPINION. Each
certificate or opinion provided for in this Indenture and delivered to the
Trustee with respect to compliance with a condition or covenant in this
Indenture (other than the certificate provided pursuant to Section 5.03(d) of
this Indenture) shall include (1) a statement that the person making such
certificate or opinion has read such covenant or condition; (2) a brief
statement as to the nature and scope of the examination or investigation upon
which the statements or opinions contained in such certificate or opinion are
based; (3) a statement that, in the opinion of such person, he or she has made
such examination or investigation as is necessary to enable him or her to
express an informed opinion as to whether or not such covenant or condition has
been complied with; and (4) a statement as to whether or not, in the opinion of
such person, such condition or covenant has been complied with.
SECTION 13.07. PAYMENTS DUE ON NON-BUSINESS DAYS. Except as provided
pursuant to Section 2.01 pursuant to a Company Order, or established in one or
more indentures supplemental to this Indenture, in any case where the date of
maturity of principal or an Interest Payment Date of any Security or the date of
redemption, purchase or repayment of any Security shall not be a Business Day
then payment of interest or principal (and premium, if any) may be made on the
next succeeding Business Day with the same force and effect as if made on the
nominal date of maturity or redemption, and no interest shall accrue for the
period after such nominal date.
SECTION 13.08. PROVISIONS REQUIRED BY TRUST INDENTURE ACT OF 1939. If and
to the extent that any provision of this Indenture limits, qualifies or
conflicts with the duties imposed by the Trust Indenture Act, such imposed
duties shall control.
SECTION 13.09. EXECUTION IN COUNTERPARTS. This Indenture may be executed
in any number of counterparts, each of which shall be an original; but such
counterparts shall together constitute but one and the same instrument.
SECTION 13.10. SEPARABILITY OF INDENTURE PROVISIONS. In case any one or
more of the provisions contained in this Indenture or in the Securities of any
series shall for any reason be held to be invalid, illegal or unenforceable in
any respect, such invalidity, illegality or unenforceability shall not affect
any other provisions of this Indenture or of such Securities, but this Indenture
and such Securities shall be construed as if such invalid or illegal or
unenforceable provision had never been contained herein or therein.
SECTION 13.11. SUCCESSORS AND ASSIGNS. The Company will have the right at
all times to assign any of its rights or obligations under the Indenture to a
direct or indirect wholly owned subsidiary of the Company; provided that, in the
event of any such assignment, the Company will remain liable for all such
obligations. Subject to the foregoing, this Indenture is binding upon and inures
to the benefit of the parties thereto and their respective successors and
assigns. This Indenture may not otherwise be assigned by the parties thereto.
SECTION 13.12. SECURITIES IN FOREIGN CURRENCIES. Whenever this Indenture
provides for any action by, or the determination of any rights of, holders of
Securities of any series in which not all of such Securities are denominated in
the same currency, in the absence of any provision to the contrary in the form
of Security of any particular series, any amount in respect of any Security
denominated in a currency other than Dollars shall be treated for any such
action or determination of rights as that amount of Dollars that could be
obtained for such amount on such reasonable basis of exchange and as of the
record date with respect to Securities of such series (if any) for such action
or determination of rights (or, if there shall be no applicable record date,
such other date reasonably proximate to the date of such action or determination
of rights) as the Company may specify in a written notice to the Trustee or, in
the absence of such written notice, as the Trustee may determine.
BNY Midwest Trust Company, as Trustee, hereby accepts the trusts in this
Indenture declared and provided, upon the terms and conditions hereinabove set
forth.
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IN WITNESS WHEREOF, the parties hereto have caused this Indenture to be duly
executed, all as of the day and year first above written.
UNITED STATES CELLULAR CORPORATION
By:
----------------------------
Name:
Title:
By:
----------------------------
Name:
Title:
BNY MIDWEST TRUST COMPANY, as Trustee
By:
----------------------------
Name:
Title:
SIGNATURE PAGE TO INDENTURE
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