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Exhibit
4.01
CARDINAL HEALTH,
INC.
and
THE BANK OF NEW YORK TRUST
COMPANY, N.A.
(successor trustee to J.P.
Morgan Trust Company, National Association, successor
trustee
to Bank One, N.A., which
was formerly known as Bank One, Columbus, N.A.)
SECOND SUPPLEMENTAL
INDENTURE
Dated as of June 8,
2007
To the Indenture dated as of
April 18, 1997
5.65% Notes due
2012
6.00% Notes due
2017
SECOND SUPPLEMENTAL
INDENTURE
THIS SECOND SUPPLEMENTAL
INDENTURE (this “Second Supplemental Indenture”) is
entered into as of June 8, 2007 between CARDINAL HEALTH, INC.,
an Ohio corporation (the “Issuer”), and THE BANK OF NEW
YORK TRUST COMPANY, N.A. (successor trustee to J.P. Morgan Trust
Company, National Association, successor trustee to Bank One, N.A.,
which was formerly known as Bank One, Columbus, N.A.), as Trustee
(herein called the “Trustee”).
WHEREAS, the Issuer and the
Trustee entered into that certain Indenture, dated as of
April 18, 1997 (the “Original Indenture” and,
together with this Second Supplemental Indenture, the
“Indenture ” ), relating to the
Issuer’s unsecured debt securities;
WHEREAS, pursuant to
Section 7.1 of the Original Indenture, the Issuer and the
Trustee may enter into supplemental indentures to establish the
terms and provisions of one or more series of Securities issued
pursuant to the Original Indenture;
WHEREAS, pursuant to
Section 2.1 of the Original Indenture, the Issuer and the
Trustee desire to establish the terms of a series of Securities
entitled the “5.65% Notes due 2012” (the “5.65%
Notes”) and a series of Securities entitled the “6.00%
Notes due 2017” (the “6.00% Notes,” the 5.65%
Notes and the 6.00% Notes referred to collectively as the
“Notes”); and
WHEREAS, the Issuer and the
Trustee have duly authorized the execution and delivery of this
Second Supplemental Indenture to establish solely the terms of the
Notes set forth herein and have done all things necessary to make
this Second Supplemental Indenture a valid and binding agreement of
the parties hereto, in accordance with its terms.
NOW, THEREFORE, in
consideration of the premises and the covenants and agreements
contained herein, and for other good and valuable consideration the
receipt of which is hereby acknowledged, and for the equal and
proportionate benefit of the Holders of the Notes, the Issuer and
the Trustee hereby agree as follows:
ARTICLE ONE
DEFINITIONS
Section 1.1 Definitions
.
(a) Capitalized terms used in
this Second Supplemental Indenture and not otherwise defined herein
shall have the meanings assigned to such terms in the Original
Indenture or in the forms of Note attached as exhibits
hereto.
(b) The following definitions
shall apply to this Second Supplemental Indenture and the
Notes:
“Adjusted Treasury
Rate” means, with respect to any redemption date, the rate
per annum equal to the semiannual equivalent yield to maturity of
the Comparable Treasury Issue, assuming
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a price for the Comparable Treasury
Issue (expressed as a percentage of its principal amount) equal to
the Comparable Treasury Price for such redemption date.
“Below Investment Grade
Rating Event” means the Notes are rated below Investment
Grade by each of the Rating Agencies on any date from the date of
the public notice of an arrangement that could result in a Change
of Control until the end of the 60-day period following public
notice of the occurrence of a Change of Control (which period shall
be extended so long as the rating of the Notes is under publicly
announced consideration for possible downgrade by any of the Rating
Agencies); provided that a Below Investment Grade Rating Event
otherwise arising by virtue of a particular reduction in rating
shall not be deemed to have occurred in respect of a particular
Change of Control (and thus shall not be deemed a Below Investment
Grade Rating Event for purposes of the definition of Change of
Control Repurchase Event) if the Rating Agencies making the
reduction in rating to which this definition would otherwise apply
do not announce or publicly confirm or inform the Trustee in
writing at request of the Issuer that the reduction was the result,
in whole or in part, of any event or circumstance comprised of or
arising as a result of, or in respect of, the applicable Change of
Control (whether or not the applicable Change of Control shall have
occurred at the time of the Below Investment Grade Rating
Event).
“Broker-Dealer”
has the meaning set forth in the Registration Rights
Agreement.
“Change of
Control” means the consummation of any transaction
(including, without limitation, any merger or consolidation) the
result of which is that any “person” (as that term is
used in Section 13(d)(3) of the Exchange Act) becomes the
beneficial owner, directly or indirectly, of more than 50% of the
Issuer’s Voting Stock, measured by voting power rather than
number of shares. Notwithstanding the foregoing, a transaction will
not be deemed to involve a Change of Control if (i) the Issuer
becomes a wholly owned subsidiary of a holding company and
(ii) the holders of the Voting Stock of such holding company
immediately following that transaction are substantially the same
as the holders of Voting Stock immediately prior to that
transaction.
“Change of Control
Offer” has the meaning set forth in Section 4.1
hereto.
“Change of Control
Payment” has the meaning set forth in Section 4.1
hereto.
“Change of Control
Payment Date” has the meaning set forth in Section 4.1
hereto.
“Change of Control
Repurchase Event” means the occurrence of both a Change of
Control and a Below Investment Grade Rating Event.
“Clearstream”
means Clearstream Banking S.A. and any successor
thereto.
“Comparable Treasury
Issue” means the United States Treasury security selected by
a Quotation Agent as having a maturity comparable to the remaining
term of the Notes to be redeemed that would be utilized, at the
time of selection and in accordance with customary financial
practice, in pricing new issues of corporate debt securities of
comparable maturity to the remaining terms of such
Notes.
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“Comparable Treasury
Price” means, with respect to any redemption date,
(1) the average of three Reference Treasury Dealer Quotations
for such redemption date, after excluding the highest and lowest
such Reference Treasury Dealer Quotations, or (2) if the
Trustee obtains fewer than three such Reference Treasury Dealer
Quotations, the average of all such quotations.
“Euroclear” means
Euroclear Bank S.A./N.V., as operator of the Euroclear System, and
any successor thereto.
“Exchange Act”
means the Securities Exchange Act of 1934, as amended, which term,
when used herein, includes the rules and regulations of the
Commission promulgated thereunder.
“Exchange Notes”
means the Notes issued in the Exchange Offer.
“Exchange Offer”
has the meaning set forth in the Registration Rights
Agreement.
“Exchange Offer
Registration Statement” has the meaning set forth in the
Registration Rights Agreement.
“Fitch” means
Fitch Ratings.
“Institutional
Accredited Investor” means an institution that is an
institutional “accredited investor” as defined in Rule
501(a)(1), (2), (3) or (7) under the Securities Act,
which is not also a Qualified Institutional Buyer.
“Investment
Grade” means a rating of BBB- or better by Fitch (or its
equivalent under any successor rating categories of Fitch), Baa3 or
better by Moody’s (or its equivalent under any successor
rating categories of Moody’s); a rating of BBB- or better by
S&P (or its equivalent under any successor rating categories of
S&P); or the equivalent investment grade credit rating from any
additional Rating Agency or Rating Agencies selected by the
Issuer.
“Moody’s”
means Moody’s Investors Service, Inc.
“Purchase
Agreement” means the Purchase Agreement, dated June 5,
2007, among the Issuer and the initial purchasers named
therein.
“Qualified
Institutional Buyer” means a “qualified institutional
buyer” as defined in Rule 144A.
“Quotation Agent”
means the Reference Treasury Dealer appointed by the
Issuer.
“Rating Agency”
means (i) each of Fitch, Moody’s and S&P; and
(ii) if any of Fitch, Moody’s or S&P ceases to rate
the notes or fails to make a rating of the notes publicly available
for reasons outside of the Issuer’s control, a
“nationally recognized statistical rating organization”
within the meaning of Rule 15c3-1(c)(2)(vi)(F) under the Exchange
Act, selected by the Issuer (as certified by a resolution of the
Board of Directors) as a replacement agency for Fitch,
Moody’s or S&P, or all of them, as the case may
be.
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“Reference Treasury
Dealer” means (1) each of Barclays Capital Inc.,
Deutsche Bank Securities Inc. and Goldman, Sachs & Co. and
their respective successors; provided, however, that if any of the
foregoing shall cease to be a primary U.S. Government securities
dealer in New York City (a “Primary Treasury Dealer”),
the Issuer shall substitute therefor another Primary Treasury
Dealer, and (2) any other Primary Treasury Dealer selected by
the Issuer.
“Reference Treasury
Dealer Quotation” means, with respect to each Reference
Treasury Dealer and any redemption date, the average, as determined
by the Issuer, of the bid and asked prices for the Comparable
Treasury Issue (expressed in each case as a percentage of its
principal amount) quoted in writing to the Trustee by such
Reference Treasury Dealer at 5:00 p.m., New York City time on the
third business day preceding such redemption date.
“Registration Rights
Agreement” means the Registration Rights Agreement, dated as
of June 8, 2007, among the Issuer and the initial purchasers
named therein.
“Regulation S”
means Regulation S promulgated under the Securities Act.
“Rule 144” means
Rule 144 promulgated under the Securities Act.
“Rule 144A” means
Rule 144A promulgated under the Securities Act.
“Securities Act”
means the Securities Act of 1933, as amended, which term, when used
herein, includes the rules and regulations of the Commission
promulgated thereunder.
“Shelf Registration
Statement” means the Shelf Registration Statement as defined
in the Registration Rights Agreement.
“S&P” means
Standard & Poor’s Ratings Services, a division of
McGraw-Hill, Inc.
“Voting Stock” of
any specified “person” (as that term is used in
Section 13(d)(3) of the Exchange Act) as of any date means the
capital stock of such person that is at the time entitled to vote
generally in the election of the board of directors of such
person.
ARTICLE TWO
THE NOTES
Section 2.1 Establishment of the
Notes; Forms Generally .
(a) Title of the Notes
. There shall be (i) a series of Securities designated the
“5.65% Notes due 2012” and (ii) a series of
Securities designated the “6.00% Notes due
2017”.
(b) Aggregate Principal
Amount; Terms of Notes . (i) The 5.65% Notes shall be
initially issued in an aggregate principal amount of $300,000,000
and (ii) the 6.00% Notes shall be initially issued in an
aggregate principal amount of $300,000,000. The other terms of the
Notes are set forth in Exhibits A , B , C and
D hereto.
(c) Form and Dating .
The 5.65% Notes shall be substantially in the form of Exhibits
A and B hereto. The 6.00% Notes shall be substantially
in the form of Exhibits C and D
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hereto. The Notes shall be in minimum
denominations of $1,000 and integral multiples of $1,000 in excess
thereof. The terms and provisions contained in the Notes shall
constitute, and are hereby expressly made, a part of this Second
Supplemental Indenture, and the Issuer and the Trustee, by their
execution and delivery of this Second Supplemental Indenture,
expressly agree to such terms and provisions and to be bound
thereby.
The Notes issued on the date
hereof will be (i) offered and sold by the Issuer pursuant to
the Purchase Agreement and (ii) resold initially only to
(A) Persons reasonably believed by an Initial Purchaser to be
Qualified Institutional Buyers in reliance on Rule 144A and
(B) Persons other than “U.S. persons” (as defined
in Rule 902(k) of the Securities Act) in reliance on Regulation S.
Such Notes may thereafter be transferred only in accordance with
this Second Supplemental Indenture or the Original
Indenture.
(d) Global Notes .
Each of the 5.65% Notes and the 6.00% Notes each shall be issued
initially in the form of two or more permanent global Notes (the
“Global Notes”). The 5.65% Notes offered and sold
(i) in reliance on Rule 144A shall be issued initially in the
form of one or more permanent Global Notes in registered form,
substantially in the form set forth in Exhibit A the
“5.65% Rule 144A Global Note”) and (ii) in
“offshore transactions” in reliance on Regulation S
shall be issued initially in the form of one or more permanent
Global Notes in registered form, substantially in the form set
forth in Exhibit B (the “5.65% Regulation S Global
Note”). The 6.00% Notes offered and sold (i) in reliance
on Rule 144A shall be issued initially in the form of one or more
permanent Global Notes in registered form, substantially in the
form set forth in Exhibit C (the “6.00% Rule 144A
Global Note”), and (ii) in “offshore
transactions” in reliance on Regulation S shall be issued
initially in the form of one or more permanent Global Notes in
registered form, substantially in the form set forth in Exhibit
D (the “6.00% Regulation S Global Note”). Each
Global Note shall represent such of the outstanding Notes as shall
be specified therein and each shall provide that it shall represent
the aggregate principal amount of outstanding Notes from time to
time endorsed thereon and that the aggregate principal amount of
outstanding Notes represented thereby may from time to time be
reduced or increased, as appropriate, to reflect exchanges and
redemptions. Any endorsement of a Global Note to reflect the amount
of any increase or decrease in the aggregate principal amount of
outstanding Notes represented thereby shall be made by the Trustee
or the Depositary, at the direction of the Trustee, in accordance
with instructions given by the Holder thereof as required by
Section 2.2 hereof.
(e) Euroclear and
Clearstream Procedures Applicable . The provisions of the
“Operating Procedures of the Euroclear System” and
“Terms and Conditions Governing Use of Euroclear” and
the “General Terms and Conditions of Clearstream” and
“Customer Handbook” of Clearstream shall be applicable
to transfers of beneficial interests in the 5.65% Regulation S
Global Notes and the 6.00% Regulation S Global Notes that are held
by participants through Euroclear or Clearstream.
(f) Security Registrar and
Paying Agent. The Issuer hereby initially appoints the Trustee
as Paying Agent and Security Registrar for the Notes. The Issuer
may change the Paying Agent and Security Registrar without prior
notice to the Holders of the Notes, and the Issuer may act as
Paying Agent or Security Registrar.
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Section 2.2 Transfer and
Exchange .
(a) The following provisions
shall apply to the Notes in lieu of Section 2.8 of the
Original Indenture.
Subject to the provisions of
Sections 2.3 and 2.4 hereof, when Notes are presented to the office
or agency maintained for registration of transfer and exchange as
provided in Section 3.2 of the Original Indenture (the
“Registrar”) with a request to register the transfer of
such Notes or to exchange such Notes for an equal principal amount
of Notes of other authorized denominations of the same series, the
Registrar shall register the transfer or make the exchange as
requested if its requirements for such transaction are met;
provided, however, that the Notes presented or surrendered for
registration of transfer or exchange shall be duly endorsed or
accompanied by a written instrument of transfer in form
satisfactory to the Issuer and the Registrar, duly executed by the
Holder thereof or his attorney duly authorized in writing. To
permit registrations of transfer and exchanges, the Issuer shall
execute and the Trustee shall authenticate Notes at the
Registrar’s request.
The Issuer shall not be
required to register the transfer of or exchange of the Notes
(i) during a period beginning at the opening of 15 Business
Days before the mailing of a notice of redemption of the applicable
Notes and ending at the close of business on the day of such
mailing and (ii) selected for redemption, in whole or in part,
except the unredeemed portion of any applicable Notes being
redeemed in part.
Any Holder of a Global Note
shall, by acceptance of such Global Note, agree that transfers of
beneficial interests in such Global Notes may be effected only
through a book entry system maintained by the Holder of such Global
Note (or its agent), and that ownership of a beneficial interest in
the Note shall be required to be reflected in a book
entry.
Section 2.3 Book-Entry
Provisions for Global Notes .
(a) The Global Notes
initially shall (i) be registered in the name of the
Depositary or the nominee of such Depositary, (ii) be
delivered to the Trustee as custodian for such Depositary and
(iii) bear legends as set forth in Section 2.5
hereof.
Members of, or participants
in, the Depositary (“Agent Members”) shall have no
rights under the Indenture with respect to any Global Note held on
their behalf by the Depositary or under a Global Note, and the
Depositary may be treated by the Issuer, the Trustee and any agent
of the Issuer or the Trustee as the absolute owner of a Global Note
for all purposes whatsoever. Notwithstanding the foregoing, nothing
herein shall prevent the Issuer, the Trustee or any agent of the
Issuer or the Trustee from giving effect to any written
certification, proxy or other authorization furnished by the
Depositary or impair, as between the Depositary and its Agent
Members, the operation of customary practices governing the
exercise of the rights of a Holder.
(b) Interests of beneficial
owners in the Global Notes may be transferred or exchanged for
certificated Notes (the “Certificated Notes”) in
accordance with the rules and procedures of the Depositary and the
provisions of Section 2.4 hereof. In addition,
Certificated
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Notes shall be transferred to all
beneficial owners in exchange for their beneficial interests in
Global Notes of the same series if (i) the Depositary
(x) notifies the Issuer that it is unwilling or unable to
continue as Depositary for any Global Note or (y) has ceased
to be a clearing company registered under the Exchange Act and, in
each case, a successor depositary is not appointed by the Issuer
within 90 days of such notice or (ii) a Default or an Event of
Default has occurred and is continuing and the Registrar has
received a written request from the Depositary to issue
Certificated Notes.
(c) In connection with the
transfer of Global Notes as an entirety to beneficial owners
pursuant to paragraph (b), the Global Notes shall be deemed to be
surrendered to the Trustee for cancellation, and the Issuer shall
execute, and the Trustee shall, upon receipt of an authentication
order, authenticate and deliver, to each beneficial owner
identified by the Depositary in writing in exchange for its
beneficial interest in the Global Notes, an equal aggregate
principal amount of Certificated Notes of authorized denominations
of the same series.
(d) Any Certificated Note
constituting a “restricted security” (as defined in
Rule 144(a)(3) of the Securities Act) delivered in exchange for an
interest in a Global Note pursuant to paragraph (b) or
(c) shall, except as otherwise provided by Section 2.4
hereof, bear the Rule 144A Legend (as defined below) or the
Regulation S Legend (as defined below), as applicable.
(e) The Holder of any Global
Note may grant proxies and otherwise authorize any Person,
including Agent Members and Persons that may hold interests through
Agent Members, to take any action which a Holder is entitled to
take under the Indenture or the Notes.
Section 2.4 Registration of
Transfers and Exchanges .
(a) Transfer and Exchange
of Certificated Notes . When Certificated Notes are presented
to the Registrar with a request:
(i) to register the transfer
of the Certificated Notes; or
(ii) to exchange such
Certificated Notes for an equal principal amount of Certificated
Notes of other authorized denominations of the same
series,
the Registrar shall register the
transfer or make the exchange as requested if the requirements
under this Second Supplemental Indenture as set forth in this
Section 2.4 for such transactions are met; provided, however,
that the Certificated Notes presented or surrendered for
registration of transfer or exchange:
(I) shall be duly endorsed or
accompanied by a written instrument of transfer in form
satisfactory to the Registrar, duly executed by the Holder thereof
or his attorney duly authorized in writing; and
(II) in the case of
Certificated Notes the offer and sale of which have not been
registered under the Securities Act and are presented for transfer
or exchange prior to (x) the date which is two years after the
later of the date of original issue and the last date on which the
Issuer or any “affiliate” (as defined in
Rule
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144(a)(l) of the Securities
Act) of the Issuer was the owner of such Note or any predecessor
thereto (or such shorter period as may be permitted by Rule 144(k)
of the Securities Act) and (y) such later date, if any, as may
be required by any subsequent change in applicable law (together,
the “Resale Restriction Termination Date”), such
Certificated Notes shall be accompanied, in the sole discretion of
the Issuer, by the following additional information and documents,
as applicable:
(A) if such Certificated Note
is being delivered to the Registrar by a Holder for registration in
the name of such Holder, without transfer, a certification to that
effect (substantially in the form of Exhibit E hereto);
or
(B) if such Certificated Note
is being transferred to a Qualified Institutional Buyer in
accordance with Rule 144A, a certification to that effect
(substantially in the form of Exhibit E hereto);
or
(C) if such Certificated Note
is being transferred in reliance on Regulation S, delivery of a
certification to that effect (substantially in the form of
Exhibit E hereto) and a transferor certificate for
Regulation S transfers substantially in the form of Exhibit
G hereto; or
(D) if such Certificated Note
is being transferred to an Institutional Accredited Investor,
delivery of certification to that effect (substantially in the form
of Exhibit E hereto) and a certificate to the transferee in
substantially the form of Exhibit F; or
(E) if such Certificated Note
is being transferred in reliance on Rule 144 under the Securities
Act, delivery of a certification to that effect substantially in
the form of Exhibit E hereto and, at the option of the
Issuer, an Opinion of Counsel reasonably satisfactory to the Issuer
to the effect that such transfer is in compliance with the
Securities Act; or
(F) if such Certificated Note
is being transferred in reliance on another exemption from the
registration requirements of the Securities Act, a certification to
that effect (substantially in the form of Exhibit E hereto)
and, at the option of the Issuer, an Opinion of Counsel reasonably
satisfactory to the Issuer to the effect that such transfer is in
compliance with the Securities Act.
(b) Restrictions on
Transfer of a Certificated Note for a Beneficial Interest in a
Global Note . A Certificated Note may not be exchanged for a
beneficial interest in a Global Note except upon satisfaction of
the requirements set forth below. Upon receipt by the Registrar of
a Certificated Note, duly endorsed or accompanied by appropriate
instruments of transfer, in form satisfactory to the registrar,
together with:
(i) in the case of
Certificated Notes the offer and sale of which have not been
registered under the Securities Act and which are presented for
transfer prior to the Resale Restriction Termination Date,
certification, substantially in the form of Exhibit E
hereto, that such Certificated Note is being transferred
(I) to a Qualified Institutional
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Buyer or (II) in an
“offshore transaction” in reliance on Regulation S
(and, in the case of this clause II, the Issuer shall have received
a transferor certificate for Regulation S transfers substantially
in the form of Exhibit G hereto); and
(ii) written instructions
from the Holder thereof directing the Registrar to make, or to
direct the Depositary to make, an endorsement on the applicable
Global Note to reflect an increase in the aggregate amount of the
Notes represented by the Global Note,
then the Registrar shall cancel such
Certificated Note and cause, or direct the Depositary to cause, in
accordance with the standing instructions and procedures existing
between the Depositary and the Registrar, the principal amount of
Notes represented by the applicable Global Note to be increased
accordingly. If no Global Note representing Notes held by Qualified
Institutional Buyers or Persons acquiring Notes in “offshore
transactions” in reliance on Regulation S, as the case may
be, is then outstanding, the Issuer shall issue and the Trustee
shall authenticate such a Global Note in the appropriate principal
amount.
(c) Transfer and Exchange
of Beneficial Interests in Global Notes .
Any Person having a
beneficial interest in a Global Note may upon request transfer or
exchange such beneficial interest for a beneficial interest in a
Global Note of the same series. Upon receipt by the Registrar of
written instructions, or such other form of instructions as is
customary for the Depositary, from the Depositary or its nominee on
behalf of any Person having a beneficial interest in a Global Note
and upon receipt by the Trustee of a written order or such other
form of instructions as is customary, for the Depositary or the
Person designated by the Depositary as having such a beneficial
interest containing registration instructions and, in the case of
any such transfer or exchange of a beneficial interest in Notes the
offer and sale of which have not been registered under the
Securities Act and which Notes are presented for transfer or
exchange prior to the Resale Restriction Termination Date, the
following additional information and documents:
(A) if such beneficial
interest is being transferred to the Person designated by the
Depositary as being the beneficial owner, a certification from such
Person to that effect (substantially in the form of Exhibit
E hereto); or
(B) if such beneficial
interest is being transferred to a Qualified Institutional Buyer in
accordance with Rule l44A, a certification to that effect
(substantially in the form of Exhibit E hereto);
or
(C) if such beneficial
interest is being transferred in reliance on Regulation S, delivery
of a certification to that effect (substantially in the form of
Exhibit E hereto) and a transferor certificate for
Regulation S transfers substantially in the form of Exhibit
G hereto; or
(D) if such beneficial
interest is being transferred to an Institutional Accredited
Investor, delivery of certification to that effect (substantially
in the form of Exhibit E hereto) and a certificate of the
transferee in substantially the form of Exhibit G hereto;
or
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(E) if such beneficial
interest is being transferred in reliance on Rule 144 under the
Securities Act, delivery of a certification to that effect
(substantially in the form of Exhibit E hereto) and, at the
option of the Issuer, an Opinion of Counsel reasonably satisfactory
to the Issuer to the effect that such transfer is in compliance
with the Securities Act; or
(F) if such beneficial
interest is being transferred in reliance on another exemption from
the registration requirements of the Securities Act, a
certification to that effect (substantially in the form of
Exhibit E hereto) and, at the option of the Issuer, an
Opinion of Counsel reasonably satisfactory to the Issuer to the
effect that such transfer is in compliance with the Securities
Act,
then the Registrar shall cause, in
accordance with the standing instructions and procedures existing
between the Depositary and the Registrar, the aggregate principal
amount of the Global Note for which the beneficial interest will be
transferred to be reduced and, following such reduction, the
aggregate principal amount of the Global Note for which the
official interest was transferred to be increased by the amount of
the beneficial interest to be transferred.
(d) Transfer of a
Beneficial Interest in a Global Note for a Certificated Note
.
(i) Any Person having a
beneficial interest in a Global Note may upon request exchange such
beneficial interest for a Certificated Note of the same series.
Upon receipt by the Registrar of written instructions, or such
other form of instructions as is customary for the Depositary, from
the Depositary or its nominee on behalf of any Person having a
beneficial interest in a Global Note and upon receipt by the
Trustee of a written order or such other form of instructions as is
customary for the Depositary or the Person designated by the
Depositary as having such a beneficial interest containing
registration instructions and, in the case of any such transfer or
exchange of a beneficial interest in Notes the offer and sale of
which have not been registered under the Securities Act and which
Notes are presented for transfer or exchange prior to the Resale
Restriction Termination Date, the following additional information
and documents:
(A) if such beneficial
interest is being transferred to the Person designated by the
Depositary as being the beneficial owner, a certification from such
Person to that effect (substantially in the form of Exhibit
E hereto); or
(B) if such beneficial
interest is being transferred to a Qualified Institutional Buyer in
accordance with Rule 144A, a certification to that effect
(substantially in the form of Exhibit E hereto);
or
(C) if such beneficial
interest is being transferred in reliance on Regulation S, delivery
of a certification to that effect (substantially in the form of
Exhibit E hereto) and a transferor certificate for
Regulation S transfers substantially in the form of Exhibit
G hereto; or
(D) if such beneficial
interest is being transferred to an Institutional Accredited
Investor, delivery of certification to that effect (substantially
in the form of Exhibit E hereto) and a certificate of the
transferee in substantially the form of Exhibit G hereto;
or
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(E) if such beneficial
interest is being transferred in reliance on Rule 144 under the
Securities Act, delivery of a certification to that effect
(substantially in the form of Exhibit E hereto) and, at the
option of the Issuer, an Opinion of Counsel reasonably satisfactory
to the Issuer to the effect that such transfer is in compliance
with the Securities Act; or
(F) if such beneficial
interest is being transferred in reliance on another exemption from
the registration requirements of the Securities Act, a
certification to that effect (substantially in the form of
Exhibit E hereto) and, at the option of the Issuer, an
Opinion of Counsel reasonably satisfactory to the Issuer to the
effect that such transfer is in compliance with the Securities
Act,
then the Registrar shall cause, in
accordance with the standing instructions and procedures existing
between the Depositary and the Registrar, the aggregate principal
amount of the applicable Global Note to be reduced and, following
such reduction, the Issuer shall execute and the Trustee shall
authenticate and deliver to the transferee a Certificated Note in
the appropriate principal amount.
(ii) Certificated Notes
issued in exchange for a beneficial interest in a Global Note
pursuant to this Section 2.4(d) shall be registered in such
names and in such authorized denominations as the Depositary,
pursuant to instructions from its direct or indirect participants
or otherwise, shall instruct the Registrar in writing. The
Registrar shall deliver such Certificated Notes to the Persons in
whose names such Certificated Notes are so registered.
(e) Restrictions on
Transfer and Exchange of Global Notes . Notwithstanding any
other provisions of the Indenture, a Global Note may not be
transferred as a whole except by the Depositary to a nominee of the
Depositary or by a nominee of the Depositary to the Depositary or
another nominee of the Depositary or by the Depositary or any such
nominee to a successor Depositary or a nominee of such successor
Depositary.
(f) Legends . Upon the
transfer, exchange or replacement of Notes not bearing the Rule
144A Legend or the Regulation S Legend as permitted hereunder, the
Registrar shall deliver Notes that do not bear such legends of the
same series. Upon the transfer, exchange or replacement of Notes
bearing either the Rule 144A Legend or the Regulation S Legend, the
Registrar shall deliver only Notes that bear the respective legend
unless, and the Trustee is hereby authorized to deliver Notes
without the respective legend, if (i) the Resale Restriction
Termination Date has occurred or Regulation S Restriction Period
has expired, as applicable, (ii) there is delivered to the
Trustee an Opinion of Counsel reasonably satisfactory to the Issuer
and the Trustee to the effect that neither such legend nor the
related restrictions on transfer are required in order to maintain
compliance with the provisions of the Securities Act,
(iii) such Note has been sold pursuant to an effective
registration statement under the Securities Act, or (iv) such
Note is being issued in connection with the Exchange
Offer.
(g) General . By its
acceptance of any Note bearing either the Rule 144A Legend or the
Regulation S Legend, each Holder of such a Note acknowledges the
restrictions on transfer of such Note set forth in this Second
Supplemental Indenture and in the respective
11
legend and agrees that it shall transfer
such Note only as provided in this Second Supplemental
Indenture.
The Trustee shall have no
obligation or duty to monitor, determine or inquire as to
compliance with any restrictions on transfer imposed under the
Indenture or under applicable law with respect to any transfer of
any interest in any Note (including any transfers between or among
Agent Members or beneficial owners of interest in any Global Note)
other than to require delivery of such certificates and other
documentation or evidence as are expressly required by, and to do
so if and when expressly required by the terms of, the Indenture,
and to examine the same to determine substantial compliance as to
form with the express requirements hereof.
The Registrar shall retain
copies of all letters, notices and other written communications
received pursuant to Section 2.3 hereof or this
Section 2.4. The Issuer shall have the right to inspect and
make copies of all such letters, notices or other written
communications at any reasonable time upon the delivery of
reasonable written notice to the Registrar.
Section 2.5 Restrictive
Legends .
Each Global Note and Certificated Note
offered and offered and sold in reliance on Rule 144A shall bear
the following legend (the “Rule 144A Legend”) on the
face thereof, unless the Trustee is authorized to deliver Notes
without such legend pursuant to Section 2.4(f) hereof or
otherwise agreed to by the Issuer and the Holder
thereof:
THE NOTES HAVE NOT BEEN
REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE
“SECURITIES ACT”), OR ANY STATE OR OTHER SECURITIES
LAWS. NEITHER THIS NOTE NOR ANY INTEREST HEREIN MAY BE OFFERED,
SOLD, ASSIGNED, TRANSFERRED, PLEDGED, ENCUMBERED OR OTHERWISE
DISPOSED OF IN THE ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH
TRANSACTION IS EXEMPT FROM, OR NOT SUBJECT TO, THE REGISTRATION
REQUIREMENTS OF THE SECURITIES ACT. BY ITS ACQUISITION HEREOF, THE
HOLDER (1) REPRESENTS THAT IT IS A “QUALIFIED
INSTITUTIONAL BUYER” (AS DEFINED IN RULE 144A UNDER THE
SECURITIES ACT (“RULE 144A”)), (2) AGREES NOT TO
OFFER, SELL OR OTHERWISE TRANSFER THIS NOTE PRIOR TO (X) THE
DATE WHICH IS TWO YEARS (OR SUCH SHORTER PERIOD OF TIME AS MAY BE
PERMITTED BY RULE 144(k) OF THE SECURITIES ACT) AFTER THE LATER OF
THE ORIGINAL ISSUE DATE OF THE NOTES AND THE LAST DATE ON WHICH
CARDINAL HEALTH, INC. OR ANY “AFFILIATE” (AS DEFINED IN
RULE 144 UNDER THE SECURITIES ACT) OF CARDINAL HEALTH, INC. WAS THE
OWNER OF THIS NOTE (OR ANY PREDECESSOR OF THIS NOTE) OR
(Y) SUCH LATER DATE, IF ANY, AS MAY BE REQUIRED BY APPLICABLE
LAW (THE “RESALE RESTRICTION TERMINATION DATE”) EXCEPT
(A) TO CARDINAL HEALTH, INC., (B) PURSUANT TO A
REGISTRATION STATEMENT WHICH HAS BEEN DECLARED EFFECTIVE UNDER THE
SECURITIES ACT, (C) FOR SO LONG AS THE NOTES ARE ELIGIBLE FOR
RESALE PURSUANT TO RULE 144A, TO A PERSON IT REASONABLY BELIEVES IS
A “QUALIFIED INSTITUTIONAL
12
BUYER” AS DEFINED IN
RULE 144A - THAT PURCHASES FOR ITS OWN ACCOUNT OR FOR THE
ACCOUNT OF A QUALIFIED INSTITUTIONAL BUYER, IN EACH CASE TO WHOM
NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN RELIANCE ON RULE
144A, (D) IN AN OFFSHORE TRANSACTION IN ACCORDANCE WITH RULE
903 OR RULE 904 OF REGULATION S UNDER THE SECURITIES ACT OR
(E) PURSUANT TO ANOTHER AVAILABLE EXEMPTION FROM THE
REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, SUBJECT IN EACH OF
THE FOREGOING CASES TO ANY REQUIREMENT OF LAW THAT THE DISPOSITION
OF ITS PROPERTY OR THE PROPERTY OF SUCH INVESTOR ACCOUNT OR
ACCOUNTS BE AT ALL TIMES WITHIN ITS OR THEIR CONTROL, AND
(3) AGREES THAT IT WILL GIVE TO EACH PERSON TO WHOM THIS NOTE
IS TRANSFERRED A NOTICE SUBSTANTIALLY TO THE EFFECT OF THIS LEGEND;
PROVIDED THAT CARDINAL HEALTH, INC. AND THE TRUSTEE SHALL HAVE THE
RIGHT PRIOR TO ANY SUCH OFFER, SALE OR TRANSFER (I) PURSUANT
TO CLAUSE (E) TO REQUIRE THE DELIVERY OF AN OPINION OF
COUNSEL, CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO
EACH OF THEM, AND (II) IN EACH OF THE FOREGOING CASES, BUT ONLY IF
THIS NOTE IS NOT A GLOBAL SECURITY (AS DEFINED IN THE INDENTURE
REFERRED TO HEREIN), TO REQUIRE THAT A CERTIFICATE OF TRANSFER IN
THE FORM REQUIRED BY THE INDENTURE IS COMPLETED AND DELIVERED BY
THE TRANSFEROR TO CARDINAL HEALTH, INC. AND THE TRUSTEE. THIS
LEGEND WILL BE REMOVED UPON THE REQUEST OF THE HOLDER AFTER THE
RESALE RESTRICTION TERMINATION DATE.
Each Global Note and Certificated Note
offered and offered and sold in reliance on Regulation S shall bear
the following legend (the “Regulation S Legend”) on the
face thereof, unless the Trustee is authorized to deliver Notes
without such legend pursuant to Section 2.4(f) hereof or
otherwise agreed to by the Issuer and the Holder
thereof:
THE NOTES HAVE NOT BEEN
REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE
“SECURITIES ACT”), OR ANY STATE OR OTHER SECURITIES
LAWS. NEITHER THIS NOTE NOR ANY INTEREST HEREIN MAY BE OFFERED,
SOLD, ASSIGNED, TRANSFERRED, PLEDGED, ENCUMBERED OR OTHERWISE
DISPOSED OF IN THE ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH
TRANSACTION IS EXEMPT FROM, OR NOT SUBJECT TO, THE REGISTRATION
REQUIREMENTS OF THE SECURITIES ACT. BY ITS ACQUISITION HEREOF, THE
HOLDER (1) REPRESENTS THAT IT IS NOT A “U.S.
PERSON” (AS DEFINED IN REGULATION S (“REGULATION
S”) UNDER THE SECURITIES ACT), (2) AGREES NOT TO OFFER,
SELL OR OTHERWISE TRANSFER THIS NOTE PRIOR TO THE DATE WHICH IS 40
DAYS AFTER THE ORIGINAL ISSUE DATE OF THE NOTES (THE
“REGULATION S RESTRICTED PERIOD”) EXCEPT (A) TO
CARDINAL HEALTH, INC., (B) PURSUANT TO A REGISTRATION
STATEMENT WHICH HAS BEEN DECLARED EFFECTIVE UNDER THE SECURITIES
ACT, (C) FOR SO LONG AS THE NOTES ARE ELIGIBLE FOR RESALE
PURSUANT TO RULE 144A (“RULE 144A”) UNDER THE
SECURITIES ACT, TO A PERSON IT REASONABLY BELIEVES IS A
13
“QUALIFIED
INSTITUTIONAL BUYER” AS DEFINED IN RULE 144A THAT PURCHASES
FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL
BUYER, IN EACH CASE TO WHOM NOTICE IS GIVEN THAT THE TRANSFER IS
BEING MADE IN RELIANCE ON RULE 144A, (D) IN AN OFFSHORE
TRANSACTION IN ACCORDANCE WITH RULE 903 OR RULE 904 OF REGULATION S
OR (E) PURSUANT TO ANOTHER AVAILABLE EXEMPTION FROM THE
REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, AND
(3) AGREES THAT IT WILL GIVE TO EACH PERSON TO WHOM THIS NOTE
IS TRANSFERRED A NOTICE SUBSTANTIALLY TO THE EFFECT OF THIS LEGEND;
PROVIDED THAT CARDINAL HEALTH, INC. AND THE TRUSTEE SHALL HAVE THE
RIGHT PRIOR TO ANY SUCH OFFER, SALE OR TRANSFER PURSUANT TO CLAUSE
(E) TO REQUIRE THE DELIVERY OF AN OPINION OF COUNSEL,
CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO EACH OF
THEM. THIS LEGEND WILL BE REMOVED UPON THE REQUEST OF THE HOLDER
AFTER THE TERMINATION OF THE REGULATION S RESTRICTED
PERIOD.
Each Global Note shall also bear the
following legend (the “Global Note Legend”):
THIS SECURITY IS A GLOBAL
SECURITY WITHIN THE MEANING OF THE INDENTURE HEREINAFTER REFERRED
TO AND IS REGISTERED IN THE NAME OF A DEPOSITARY OR A NOMINEE
THEREOF. THIS SECURITY IS EXCHANGEABLE FOR SECURITIES REGISTERED IN
THE NAME OF A PERSON OTHER THAN THE DEPOSITARY OR ITS NOMINEE ONLY
IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE AND, UNLESS
AND UNTIL IT IS EXCHANGED IN WHOLE OR IN PART FOR NOTES IN
DEFINITIVE FORM, THIS SECURITY MAY NOT BE TRANSFERRED EXCEPT AS A
WHOLE BY THE DEPOSITARY TO A NOMINEE OF THE DEPOSITARY OR BY A
NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY OR ANOTHER NOMINEE OF
THE DEPOSITARY OR BY THE DEPOSITARY OR ANY SUCH NOMINEE TO A
SUCCESSOR DEPOSITARY OR A NOMINEE OF SUCH SUCCESSOR
DEPOSITARY.
Section 2.6 Exchange Offer
.
Upon the occurrence of the Exchange
Offer in accordance with the Registration Rights Agreement, the
Issuer shall issue and, upon receipt of an authentication order
from the Issuer, the Trustee shall authenticate (i) one or
more Global Notes not bearing the Rule 144A Legend or the
Regulation S Legend in an aggregate principal amount equal to the
principal amount of the beneficial interests in the Global Notes
bearing the Rule 144A Legend or the Regulation S Legend tendered
for acceptance by Persons that certify in the applicable Letters of
Transmittal that (x) they are not “affiliates” (as
defined in Rule 144(a)(1) of the Securities Act) of the Issuer,
(y) they are not engaged in, and do not intend to engage in,
and have no arrangement or understanding with any Person to
participate in, a distribution of the Exchange Notes to be issued
in the Exchange Offer and (z) they are acquiring the Exchange
Notes in their ordinary course of business and
(ii) Certificated Notes not bearing the Rule 144A Legend or
the Regulation S Legend in an aggregate principal amount equal to
the principal amount of the Certificated Notes
14
not bearing the Rule 144A Legend or the
Regulation S Legend accepted for exchange in the Exchange Offer.
Concurrently with the issuance of such Notes, the Trustee shall
cause the aggregate principal amount of the applicable Global Notes
bearing the Rule 144A Legend or the Regulation S Legend to be
reduced accordingly, and the Issuer shall execute and the Trustee
shall authenticate and deliver to the Persons designated by the
Holders of Global Notes bearing the Rule 144A Legend or the
Regulation S Legend so accepted Global Notes not bearing the Rule
144A Legend or the Regulation S Legend in the appropriate principal
amount.
ARTICLE THREE
ADDITIONAL REDEMPTION
PROVISION
Section 3.1 Optional
Redemption .
Each of the 5.65% Notes and the 6.00%
Notes is redeemable, in whole or, from time to time, in part, at
the option of the Issuer at any time, at a redemption price equal
to the greater of:
(a) 100% of the principal
amount of the applicable Notes to be redeemed; or
(b) as determined by a
Quotation Agent, the sum of the present values of the remaining
scheduled payments of principal and interest thereon (exclusive of
interest accrued to the date of redemption) discounted to the date
of redemption on a semiannual basis (assuming a 360-day year
consisting of twelve 30-day months) at the Adjusted Treasury Rate,
plus 15 basis points in the case of the 5.65% Notes and 20 basis
points in the case of the 6.00% Notes;
plus, in each case, accrued and unpaid
interest on the principal amount of the applicable Notes being
redeemed to the date of redemption.
ARTICLE FOUR
CHANGE OF CONTROL
Section 4.1 Change of
Control .
(a) Upon the occurrence of a
Change of Control Repurchase Event, unless all Notes have been
called for redemption pursuant to Section 3.1 hereof, each
Holder of Notes shall have the right to require the Issuer to
repurchase all or any part (equal to $1,000 or an integral multiple
of $1,000 in excess thereof) of such Holder’s Notes at an
offer price in cash equal to 101% of the aggregate principal amount
of Notes repurchased plus any accrued and unpaid interest on the
notes repurchased to the date of purchase (the “Change of
Control Payment”).
(b) Within 30 days following
any Change of Control Repurchase Event or, at the Issuer’s
option, prior to any proposed Change of Control, but after the
public announcement of the proposed Change of Control, the Issuer
shall mail, or cause to be mailed, a notice (a “Change in
Control Offer”) to each Holder, with a copy to the Trustee,
describing the transaction or transactions that constitute or may
constitute the Change of Control Repurchase Event and shall
specify, without limitation, the following:
(i) that the Change of
Control Offer is being made pursuant to this Section 4.1 and
that all Notes tendered will be accepted for payment;
15
(ii) the Change of Control
Payment and the purchase date, which shall be a Business Day no
earlier than 30 days and no later than 60 days from the date such
notice is mailed (the “Change of Control Payment
Date”);
(iii) the CUSIP numbers for
the Notes;
(iv) that any Note not
tendered will continue to accrue interest;
(v) that, unless the Issuer
defaults in the payment of the Change of Control Payment, all Notes
accepted for payment pursuant to the Change of Control Offer will
cease to accrue interest after the Change of Control Payment
Date;
(vi) that Holders whose Notes
of any series are being purchased only in part will be issued new
Notes of such series equal in principal amount to the unpurchased
portion of the Notes surrendered, which unpurchased portion will be
equal to $1,000 in principal amount or an integral multiple of
$1,000 in excess thereof; and
(vii) if the notice is mailed
prior to the date of consummation of the Change of Control, that
the Change of Control Offer is conditioned on the Change of Control
Repurchase Event occurring on or prior to the Change of Control
Payment Date.
(c) The Issuer shall comply
with the requirements of Rule 14e-1 under the Exchange Act and any
other securities laws and regulations thereunder to the extent
those laws and regulations are applicable in connection with the
repurchase of the Notes as a result of a Change in Control
Repurchase Event. To the extent that the provisions of any
securities laws or regulations conflict with the provisions of this
Section 4.1, the Issuer will comply with the applicable
securities laws and regulations and will not be deemed to have
breached its obligations under this Section 4.1 by virtue of
such conflict.
(d) On the Change of Control
Payment Date, the Issuer will, to the extent lawful:
(i) accept for payment all
Notes or portions thereof properly tendered pursuant to the Change
of Control Offer;
(ii) deposit with the Paying
Agent an amount equal to the Change of Control Payment in respect
of all Notes or portions of Notes properly tendered; and
(iii) deliver or cause to be
delivered to the Trustee the Notes so accepted together with an
Officers’ Certificate stating the aggregate principal amount
of Notes or portions of Notes being purchased by the
Issuer.
(e) The Paying Agent shall
promptly mail to each Holder of Notes of each series properly
tendered the Change of Control Payment for such Notes, and the
Trustee will promptly authenticate and mail (or cause to be
transferred by book entry) to each Holder a new Note of the same
series equal in principal amount to any unpurchased portion of the
Notes surrendered, if any; provided that each new Note will be in a
principal amount of $1,000 or an integral multiple of $1,000 in
excess thereof.
16
(f) The Issuer shall not be
required to make a Change of Control Offer upon a Change of Control
Repurchase Event if a third party makes the Change of Control Offer
in the manner, at the times and otherwise in compliance with the
requirements set forth in this Section 4.1 applicable to a
Change of Control Offer made by the Issuer and purchases all Notes
properly tendered and not withdrawn under such Change of Control
Offer.
ARTICLE FIVE
MISCELLANEOUS
Section 5.1 Relation to Original
Indenture .
This Second Supplemental Indenture
supplements the Original Indenture and shall be a part of and
subject to all the terms thereof. Except as supplemented hereby,
all of the terms, provisions and conditions of the Original
Indenture, the First Supplemental Indenture, dated as of October 3,
2006, and the Securities issued thereunder shall continue in full
force and effect.
Section 5.2 Concerning the
Trustee .
The Trustee shall not be responsible for
any recital herein, as such recitals shall be taken as statements
of the Issuer, or the validity of the execution by the Issuer of
this Second Supplemental Indenture. The Trustee makes no
representations as to the validity or sufficiency of this
instrument.
Section 5.3 Effect of
Headings . The Article and Section headings herein are for
convenience of reference only and shall not affect the construction
hereof.
Section 5.4 Counterparts .
This Second Supplemental Indenture may be executed in counterparts,
each of which shall be deemed an original, but all of which shall
together constitute one and the same instrument.
Section 5.5 Governing Law .
This Second Supplemental Indenture and the Notes issued hereunder
shall be governed by and construed in accordance with the laws of
the State of Ohio, except as may otherwise be required by mandatory
provisions of law.
Section 5.6 Successors . All
agreements of the Issuer in this Second Supplemental Indenture
shall bind the Issuer’s successors. All agreements of the
Trustee in this Second Supplemental Indenture shall bind the
Trustee’s successors.
Section 5.7 Severability .
In case any provision of this Second Supplemental Indenture shall
be invalid, illegal or unenforceable, the validity, legality and
enforceability of the remaining provisions shall not in any way be
affected or impaired thereby.
Section 5.8 Entire Agreement
. This Second Supplemental Indenture, together with the Original
Indenture as amended hereby and the Notes, contains the entire
agreement of the parties with respect to the Notes, and supersedes
all other representations, warranties, agreements and
understandings between the parties hereto and thereto, oral or
otherwise, with respect to the matters contained herein and
therein.
17
Section 5.9 Benefits of Second
Supplemental Indenture . Nothing in this Second Supplemental
Indenture, the Original Indenture or the Notes, express or implied,
shall give to any Person, other than the parties hereto and thereto
and their successors hereunder and thereunder, any paying agent,
any Registrar and the Holders, any benefit of any legal or
equitable right, remedy or claim under the Original Indenture, this
Second Supplemental Indenture or the Notes.
[signature page
follows]
18
IN WITNESS WHEREOF, the
parties hereto have caused this Second Supplemental Indenture to be
duly executed as of the day and year first above
written.
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CARDINAL HEALTH, INC.
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| By: |
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/s/ Jorge M. Gomez
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| Name: |
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Jorge M.
Gomez |
| Title: |
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Senior Vice
President and Treasurer |
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THE BANK OF NEW YORK TRUST
COMPANY, N.A.
as Trustee
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| By: |
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/s/ Marcella
Burgess
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| Name: |
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Marcella Burgess
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| Title: |
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Assistant
Vice President |
Second Supplemental
Indenture
Exhibit A
Form of 5.65% Rule 144A
Global Note
(face of security)
THIS SECURITY IS A GLOBAL SECURITY
WITHIN THE MEANING OF THE INDENTURE HEREINAFTER REFERRED TO AND IS
REGISTERED IN THE NAME OF A DEPOSITARY OR A NOMINEE THEREOF. THIS
SECURITY IS EXCHANGEABLE FOR SECURITIES REGISTERED IN THE NAME OF A
PERSON OTHER THAN THE DEPOSITARY OR ITS NOMINEE ONLY IN THE LIMITED
CIRCUMSTANCES DESCRIBED IN THE INDENTURE AND, UNLESS AND UNTIL IT
IS EXCHANGED IN WHOLE OR IN PART FOR NOTES IN DEFINITIVE FORM, THIS
SECURITY MAY NOT BE TRANSFERRED EXCEPT AS A WHOLE BY THE DEPOSITARY
TO A NOMINEE OF THE DEPOSITARY OR BY A NOMINEE OF THE DEPOSITARY TO
THE DEPOSITARY OR ANOTHER NOMINEE OF THE DEPOSITARY OR BY THE
DEPOSITARY OR ANY SUCH NOMINEE TO A SUCCESSOR DEPOSITARY OR A
NOMINEE OF SUCH SUCCESSOR DEPOSITARY.
UNLESS THIS CERTIFICATE IS PRESENTED BY
AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW
YORK CORPORATION (“ DTC ”), TO THE ISSUER OR ITS
AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE, OR PAYMENT, AND ANY
CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO.
OR IN SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE &
CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE, OR OTHER USE HEREOF
FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL IN AS MUCH
AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN
INTEREST HEREIN.
THE NOTES HAVE NOT BEEN REGISTERED UNDER
THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES
ACT”), OR ANY STATE OR OTHER SECURITIES LAWS. NEITHER THIS
NOTE NOR ANY INTEREST HEREIN MAY BE OFFERED, SOLD, ASSIGNED,
TRANSFERRED, PLEDGED, ENCUMBERED OR OTHERWISE DISPOSED OF IN THE
ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH TRANSACTION IS EXEMPT
FROM, OR NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE
SECURITIES ACT. BY ITS ACQUISITION HEREOF, THE HOLDER
(1) REPRESENTS THAT IT IS A “QUALIFIED INSTITUTIONAL
BUYER” (AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT
(“RULE 144A”)), (2) AGREES NOT TO OFFER, SELL OR
OTHERWISE TRANSFER THIS NOTE PRIOR TO (X) THE DATE WHICH IS
TWO YEARS (OR SUCH SHORTER PERIOD OF TIME AS MAY BE PERMITTED BY
RULE 144(k) OF THE SECURITIES ACT) AFTER THE LATER OF THE ORIGINAL
ISSUE DATE OF THE NOTES AND THE LAST DATE ON WHICH CARDINAL HEALTH,
INC. OR ANY “AFFILIATE” (AS DEFINED IN RULE 144 UNDER
THE SECURITIES ACT) OF CARDINAL HEALTH, INC. WAS THE OWNER OF THIS
NOTE (OR ANY PREDECESSOR OF THIS NOTE) OR (Y) SUCH LATER DATE,
IF ANY, AS MAY BE REQUIRED BY APPLICABLE LAW (THE “RESALE
RESTRICTION
A-1
TERMINATION DATE”) EXCEPT
(A) TO CARDINAL HEALTH, INC., (B) PURSUANT TO A
REGISTRATION STATEMENT WHICH HAS BEEN DECLARED EFFECTIVE UNDER THE
SECURITIES ACT, (C) FOR SO LONG AS THE NOTES ARE ELIGIBLE FOR
RESALE PURSUANT TO RULE 144A, TO A PERSON IT REASONABLY BELIEVES IS
A “QUALIFIED INSTITUTIONAL BUYER” AS DEFINED IN RULE
144A THAT PURCHASES FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A
QUALIFIED INSTITUTIONAL BUYER, IN EACH CASE TO WHOM NOTICE IS GIVEN
THAT THE TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A,
(D) IN AN OFFSHORE TRANSACTION IN ACCORDANCE WITH RULE 903 OR
RULE 904 OF REGULATION S UNDER THE SECURITIES ACT OR
(E) PURSUANT TO ANOTHER AVAILABLE EXEMPTION FROM THE
REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, SUBJECT IN EACH OF
THE FOREGOING CASES TO ANY REQUIREMENT OF LAW THAT THE DISPOSITION
OF ITS PROPERTY OR THE PROPERTY OF SUCH INVESTOR ACCOUNT OR
ACCOUNTS BE AT ALL TIMES WITHIN ITS OR THEIR CONTROL, AND
(3) AGREES THAT IT WILL GIVE TO EACH PERSON TO WHOM THIS NOTE
IS TRANSFERRED A NOTICE SUBSTANTIALLY TO THE EFFECT OF THIS LEGEND;
PROVIDED THAT CARDINAL HEALTH, INC. AND THE TRUSTEE SHALL HAVE THE
RIGHT PRIOR TO ANY SUCH OFFER, SALE OR TRANSFER (I) PURSUANT
TO CLAUSE (E) TO REQUIRE THE DELIVERY OF AN OPINION OF
COUNSEL, CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO
EACH OF THEM, AND (II) IN EACH OF THE FOREGOING CASES, BUT ONLY IF
THIS NOTE IS NOT A GLOBAL SECURITY (AS DEFINED IN THE INDENTURE
REFERRED TO HEREIN), TO REQUIRE THAT A CERTIFICATE OF TRANSFER IN
THE FORM APPEARING ON THE OTHER SIDE OF THIS NOTE, IS COMPLETED AND
DELIVERED BY THE TRANSFEROR TO CARDINAL HEALTH, INC. AND THE
TRUSTEE. THIS LEGEND WILL BE REMOVED UPON THE REQUEST OF THE HOLDER
AFTER THE RESALE RESTRICTION TERMINATION DATE.
CUSIP No.: 14149Y
AM0
ISIN No.:
US14149YAM03
CARDINAL HEALTH,
INC.
5.65% Note due
2012
CARDINAL HEALTH, INC., an
Ohio corporation (the “ Issuer ”), for value
received, hereby promises to pay to Cede & Co. or
registered assigns, at the office or agency of the Issuer in
Columbus, Ohio, the principal sum of
DOLLARS ($
)
on June 15, 2012, in such coin or currency of the United
States of America as at the time of payment shall be legal tender
for the payment of public and private debts, and to pay interest,
semiannually on June 15 and December 15 of each year,
commencing December 15, 2007, on said principal sum at said
office or agency, in like coin or currency, at the rate per annum
specified in the title of this Note, from the June 15 or the
December 15, as the case may be, next preceding the date of
this Note to which interest has been paid, unless the date hereof
is a date to which interest has been paid, in which case from the
date of this Note, or unless no interest has
A-2
been paid on these Notes, in which case
from June 8, 2007, until payment of said principal sum has
been made or duly provided for, provided that, payment of interest
may be made at the option of the Issuer by check mailed to the
address of the person entitled thereto as such address shall appear
on the Security register. The interest so payable on any
June 15 or December 15 will, subject to certain
exceptions provided in the Indenture referred to on the reverse
hereof, be paid to the person in whose name this Note is registered
at the close of business on the June 1 or December 1, as
the case may be, next preceding such June 15 or
December 15.
Reference is made to the
further provisions of this Note set forth on the reverse hereof.
Such further provisions shall for all purposes have the same effect
as though fully set forth at this place.
This Note shall not be valid
or become obligatory for any purpose until the certificate of
authentication hereon shall have been signed by the Trustee under
the Indenture referred to on the reverse hereof.
A-3
IN WITNESS WHEREOF, CARDINAL
HEALTH, INC. has caused this instrument to be signed by its duly
authorized officers.
Dated: June 8, 2007
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| CARDINAL HEALTH, INC. |
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| By: |
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Jorge M.
Gomez |
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Senior
Vice President and Treasurer |
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John M.
Adams, Jr. |
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Assistant
Secretary |
TRUSTEE’S CERTIFICATE OF
AUTHENTICATION
This is one of the Securities
of the series designated herein and referred to in the
within-mentioned Indenture.
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THE BANK OF NEW
YORK
TRUST COMPANY,
N.A.
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By:
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Authorized Officer
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A-4
(back of security)
CARDINAL HEALTH,
INC.
5.65% Note due
2012
This Note is one of a duly
authorized issue of debentures, notes, bonds or other evidences of
indebtedness of the Issuer (hereinafter called the “
Securities ”) of the series hereinafter specified, all
issued or to be issued under and pursuant to an indenture dated as
of April 18, 1997 (the “ Original Indenture
”), duly executed and delivered by the Issuer to The Bank of
New York Trust Company, N.A. (successor trustee to J.P. Morgan
Trust Company, National Association, successor trustee to Bank One,
N.A., which was formerly known as Bank One, Columbus, N.A.), as
Trustee (herein called the “ Trustee ”), as
supplemented by the Second Supplemental Indenture dated
June 8, 2007 (the “ Second Supplemental Indenture
,” together with the Original Indenture, the “
Indenture ”), to which Indenture and all indentures
supplemental thereto reference is hereby made for a description of
the rights, limitations of rights, obligations, duties and
immunities thereunder of the Trustee, the Issuer and the Holders of
the Securities. The Securities may be issued in one or more series,
which different series may be issued in various aggregate principal
amounts, may mature at different times, may bear interest (if any)
at different rates, may be subject to different redemption
provisions (if any), may be subject to different sinking, purchase
or analogous funds (if any) and may otherwise vary as in the
Indenture provided. This Note is one of a series designated as the
5.65% Notes due 2012 of the Issuer, limited in initial aggregate
principal amount to $300,000,000 (collectively, the “
Notes ”). The Issuer may, at any time, without notice
to or the consent of the holders of the Securities, issue further
notes having the same ranking and the same interest rate, maturity
and other terms as the Notes (other than the date of issuance and,
under certain circumstances, the first interest payment date
following the issue date of such further notes). Any such further
notes, together with this Note, will form a single series of
Securities under the Indenture.
1. Principal and
Interest
The Notes will mature on
June 15, 2012.
In case an Event of Default
with respect to the Notes, as defined in the Indenture, shall have
occurred and be continuing, the principal hereof may be declared,
and upon such declaration shall become, due and payable, in the
manner, with t
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