Exhibit 4.2
TYCO INTERNATIONAL
GROUP S.A.,
TYCO INTERNATIONAL
FINANCE S.A.,
TYCO INTERNATIONAL
LTD.
AND
WILMINGTON TRUST
COMPANY,
as Trustee
SUPPLEMENTAL
INDENTURE 2008-1
Dated as of May 15, 2008
THIS SUPPLEMENTAL
INDENTURE 2008-1 is dated as of May 15, 2008 among Tyco
International Group S.A., a Luxembourg company (in liquidation)
(“ TIGSA ”), Tyco International Finance S.A., a
Luxembourg company (“ TIFSA ”), Tyco
International Ltd., a Bermuda company (“ Tyco
”), and Wilmington Trust Company, as successor to The Bank of
New York, as trustee (the “ Trustee
”).
RECITALS
A.
TIGSA executed and delivered to the Trustee an Indenture, dated as
of November 12, 2003 (as heretofore amended, the “
Indenture ”), to provide for the issuance of the
Securities.
B.
The Boards of Directors of TIGSA, TIFSA and Tyco have determined it
is desirable to enter into this Supplemental Indenture.
C.
The entry into this Supplemental Indenture 2008-1 by the parties
hereto is in all respects authorized by the provisions of the
Indenture.
D.
Reference is made herein to (i) two Consent Solicitation
Statements (the “ Consent Solicitation Statements
”), each dated April 11, 2008, relating to the 6.0%
Notes due 2013 (which were issued under the Indenture) and certain
other debt securities issued pursuant to an Indenture, dated as of
June 9, 1998 and amended from time to time (as so amended, the
“ 1998 Indenture ”), and (ii) an Offering
Memorandum, dated April 11, 2008, in connection with an offer
to exchange offered to certain holders of debt securities issued
under the 1998 Indenture (the “ Offering Memorandum
”).
NOW, THEREFORE,
for and in consideration of the foregoing premises, TIGSA, TIFSA,
Tyco and the Trustee mutually covenant and agree, subject to
Section 2.5 hereof, for the equal and proportionate benefit of
the respective holders from time to time of the Securities as
follows:
ARTICLE I
Section 1.1
Waiver of Default or Event of Default.
Pursuant to
Section 6.06 of the Indenture, any Default or Event of
Default, and the consequences thereof, which may have arisen prior
to April 11, 2008, including any alleged default or Event of
Default arising from the series of transactions preparatory to and
in connection with the separation of the electronics, healthcare
and fire and security and engineered products and services
businesses and related assets and liabilities of Tyco and its
subsidiaries and the distribution of such electronics and
healthcare businesses and related assets and liabilities to
Tyco’s shareholders (the “ Separation
Transactions ”) is hereby waived. Section 10.01 of
the Indenture shall be amended to insert after the first use of the
word “assets,” the following: “(in one or
more series of related transactions other than any transaction or
series of related transactions that is the subject of the Existing
Litigation or otherwise relates to the Separation
Transactions).”
2
Section 1.2
Expenses.
The Company shall
pay to the Trustee the actual legal fees and expenses incurred by
or on behalf of the Trustee and holders of beneficial interests in
the Securities arising from the Separation Transactions or the
proceeding originally entitled The Bank of New York v. Tyco
International Group S.A., No. 07 Civ. 4659 (SAS), pending in
the United States District Court for the Southern District of New
York, or any other legal proceeding arising out of the Separation
Transactions (the “ Existing Litigation ”), that
have been submitted in writing to the Company on or prior to the
date of this Supplemental Indenture 2008-1; provided that in no
event shall such amount, together with similar amounts owed in
connection with the Indenture dated as of June 9, 1998,
initially among TIGSA, Tyco and The Bank of New York, as
supplemented, exceed $3,900,000 in the aggregate. Such payment
shall be deemed to have satisfied all obligations of the Company
under the Indenture relating to the reimbursement of fees and
expenses arising from the Separation Transactions or the Existing
Litigation.
Section 1.3
Additional Obligor.
Each of the
parties to this Supplemental Indenture 2008-1 confirms that TIFSA
expressly agreed to become and did become, effective as of
May 31, 2007, a co-obligor with respect to the due and
punctual payment of the principal of, premium, if any, and interest
on all the Securities according to their tenor, and the due and
punctual performance and observance of all of the covenants and
agreements of the Indenture to be performed or observed by the
Company. In connection with TIFSA becoming such a co-obligor, the
Company remained as an obligor and Tyco remained as Guarantor under
the Indenture with respect to the Securities.
Section 1.4
Assumption and Succession.
Each of the
parties to this Supplemental Indenture 2008-1 confirms that Tyco
agreed to assume and did assume, as of June 1, 2007, all of
the obligations of the Company under the Indenture, including the
obligation to make the due and punctual payment of the principal
of, premium, if any, and interest on all the Securities according
to their tenor and the due and punctual performance and observance
of all of the covenants and agreements of the Indenture to be
performed or observed by the Company, and Tyco succeeded to, and
was substituted for, the Company with the same effect as if Tyco
had been named therein and TIGSA was discharged from all
obligations and covenants under the Indenture and the Securities
and may be liquidated and dissolved.
Section 1.5
Change of Control.
(a)
With respect to the Securities issued prior to and outstanding on
April 11, 2008 (the “ 2003 Securities ”),
if a Change of Control Triggering Event occurs, unless the Company
has exercised its option to redeem the 2003 Securities, the Company
shall be required to make an offer (a “ Change of Control
Offer ”) to each Holder of the 2003 Securities to
repurchase, at the Holder’s election, all or any part (equal
to $1,000 or an integral multiple of $1,000 in excess thereof) of
that Holder’s 2003 Securities on the terms set forth herein.
In a Change of Control Offer, the Company shall be required to
offer payment in cash equal to 101% of the aggregate principal
amount of the 2003 Securities repurchased, plus accrued and unpaid
interest, if any, on the 2003 Securities repurchased to the date of
repurchase (a “ Change of Control Payment
”).
3
Within 30 days
following any Change of Control Triggering Event or, at the
Company’s option, prior to any Change of Control, but after
public announcement of the transaction that constitutes or may
constitute the Change of Control, a notice shall be mailed to
Holders of the 2003 Securities describing in reasonable detail the
transaction that constitutes or may constitute the Change of
Control Triggering Event and offering to repurchase such 2003
Securities on the date specified in the notice, which date shall be
no earlier than 30 days and no later than 60 days from the date
such notice is mailed (a “ Change of Control Payment
Date ”). The notice shall, if mailed prior to the date of
consummation of the Change of Control, state that the offer to
purchase is conditioned on the Change of Control Triggering Event
occurring on or prior to the Change of Control Payment
Date.
(b)
In order to accept the Change of Control Offer, the Holder must
deliver (or otherwise comply with alternative instructions in
accordance with the procedures of the depositary) to the paying
agent, at least five Business Days prior to the Change of Control
Payment Date, its 2003 Security together with the form entitled
“Election Form” (which form is annexed hereto as
Exhibit A) duly completed, or a telegram, telex, facsimile
transmission or a letter from a member of a national securities
exchange, or the National Association of Securities
Dealers, Inc. or a commercial bank or trust company in the
United States setting forth:
(i)
the name of the Holder of such Security;
(ii)
the principal amount of such Security;
(iii)
the principal amount of such Security to be repurchased;
(iv)
the certificate number or a description of the tenor and terms of
such Security;
(v)
a statement that the Holder is accepting the Change of Control
Offer; and
(vi)
a guarantee that such Security, together with the form entitled
“Election Form” duly completed, will be received by the
paying agent at least five Business Days prior to the Change of
Control Payment Date.
(c)
Any exercise by a Holder of its election to accept the Change of
Control Offer shall be irrevocable. The Change of Control Offer may
be accepted for less than the entire principal amount of a 2003
Security, but in that event the principal amount of such Security
remaining outstanding after repurchase must equal an integral
multiple of $1,000.
(d)
On the Change of Control Payment Date, the Company shall, to the
extent lawful:
(i)
accept for payment all 2003 Securities or portions of such 2003
Securities properly tendered pursuant to the Change of Control
Offer;
(ii)
deposit with the paying agent an amount equal to the
|