Exhibit 4.1
R.H.
DONNELLEY INC.,
THE
GUARANTORS NAMED HEREIN
and
THE
BANK OF NEW YORK, as Trustee
INDENTURE
Dated
June 25, 2008
$412,871,000 Aggregate Principal Amount of 11.75% Senior Notes Due
2015
Table of Contents
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ARTICLE ONE
DEFINITIONS AND INCORPORATION BY REFERENCE
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1 |
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SECTION 1.01
Definitions
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1 |
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SECTION 1.02 Rules
of Construction
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34 |
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ARTICLE TWO THE
SECURITIES
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SECTION 2.01
Amount of Notes
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SECTION 2.02 Form
and Dating
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35 |
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SECTION 2.03
Execution and Authentication
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35 |
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SECTION 2.04
Registrar and Paying Agent
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36 |
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SECTION 2.05
Paying Agent To Hold Money in Trust
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36 |
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SECTION 2.06
Holder Lists
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36 |
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SECTION 2.07
Transfer and Exchange
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37 |
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SECTION 2.08
Replacement Notes
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37 |
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SECTION 2.09
Outstanding Notes
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38 |
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SECTION 2.10
Treasury Notes
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38 |
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SECTION 2.11
Temporary Notes
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38 |
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SECTION 2.12
Cancellation
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39 |
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SECTION 2.13
Defaulted Interest
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39 |
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SECTION 2.14 CUSIP
Number
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39 |
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SECTION 2.15
Deposit of Moneys
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39 |
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SECTION 2.16
Book-Entry Provisions for Global Notes
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40 |
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SECTION 2.17
Special Transfer Provisions
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41 |
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SECTION 2.18
Computation of Interest
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43 |
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ARTICLE THREE
REDEMPTION
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44 |
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SECTION 3.01
Election To Redeem; Notices to Trustee
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44 |
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SECTION 3.02
Selection by Trustee of Notes To Be Redeemed
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44 |
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SECTION 3.03
Notice of Redemption
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44 |
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SECTION 3.04
Effect of Notice of Redemption
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45 |
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SECTION 3.05
Deposit of Redemption Price
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SECTION 3.06 Notes
Redeemed in Part
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SECTION 3.07
Sinking Fund
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ARTICLE FOUR
COVENANTS
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46 |
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SECTION 4.01
Payment of Notes
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SECTION 4.02
Maintenance of Office or Agency
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SECTION 4.03 Legal
Existence
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SECTION 4.04
Maintenance of Properties; Insurance; Compliance with Law
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47 |
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SECTION 4.05
Waiver of Stay, Extension or Usury Laws
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48 |
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SECTION 4.06
Compliance Certificate
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48 |
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SECTION 4.07
Payment of Taxes and Other Claims
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48 |
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SECTION 4.08
Repurchase at the Option of Holders upon Change of Control
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49 |
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SECTION 4.09
Limitation on Debt
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SECTION 4.10
Limitation on Restricted Payments
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54 |
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SECTION 4.11
Limitation on Liens
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59 |
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SECTION 4.12
Limitation on Asset Sales
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SECTION 4.13
Limitation on Restrictions on Distributions from Restricted
Subsidiaries
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62 |
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SECTION 4.14
Limitation on Transactions with Affiliates
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SECTION 4.15
Designation of Restricted and Unrestricted Subsidiaries
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SECTION 4.16
Limitation on the Company’s Business
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SECTION 4.17
Reports to Holders
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68 |
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SECTION 4.18
Creation of Subsidiaries; Additional Subsidiary Guarantees
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69 |
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SECTION 4.19
Suspension of Covenants
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69 |
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ARTICLE FIVE
SUCCESSOR CORPORATION
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71 |
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SECTION 5.01
Merger, Consolidation and Sale of Property
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71 |
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SECTION 5.02
Successor Person Substituted
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73 |
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ARTICLE SIX
DEFAULTS AND REMEDIES
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73 |
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SECTION 6.01
Events of Default
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SECTION 6.02
Acceleration of Maturity; Rescission
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75 |
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SECTION 6.03 Other
Remedies
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77 |
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SECTION 6.04
Waiver of Past Defaults and Events of Default
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77 |
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SECTION 6.05
Control by Majority
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78 |
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SECTION 6.06
Limitation on Suits
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78 |
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SECTION 6.07 No
Personal Liability of Directors, Officers, Employees and
Stockholders
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78 |
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SECTION 6.08
Rights of Holders To Receive Payment
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79 |
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SECTION 6.09
Collection Suit by Trustee
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79 |
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SECTION 6.10
Trustee May File Proofs of Claim
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79 |
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SECTION 6.11
Priorities
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SECTION 6.12
Undertaking for Costs
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ARTICLE SEVEN
TRUSTEE
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SECTION 7.01
Duties of Trustee
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SECTION 7.02
Rights of Trustee
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81 |
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SECTION 7.03
Individual Rights of Trustee
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83 |
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SECTION 7.04
Trustee’s Disclaimer
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83 |
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SECTION 7.05
Notice of Defaults
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83 |
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SECTION 7.06
Compensation and Indemnity
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SECTION 7.07
Replacement of Trustee
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SECTION 7.08
Successor Trustee by Consolidation, Merger, etc.
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85 |
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SECTION 7.09
Eligibility; Disqualification
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SECTION 7.10
Paying Agents
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ARTICLE EIGHT
MODIFICATION AND WAIVER
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SECTION 8.01
Without Consent of Holders
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SECTION 8.02 With
Consent of Holders
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87 |
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SECTION 8.03
Revocation and Effect of Consents
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88 |
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SECTION 8.04
Notation on or Exchange of Notes
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88 |
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SECTION 8.05
Trustee To Sign Amendments, etc.
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ARTICLE NINE
DISCHARGE OF INDENTURE; DEFEASANCE
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SECTION 9.01
Discharge of Liability on Notes; Defeasance
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SECTION 9.02
Conditions to Defeasance
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SECTION 9.03
Deposited Money and Government Obligations To Be Held in Trust;
Other Miscellaneous Provisions
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SECTION 9.04
Reinstatement
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92 |
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SECTION 9.05
Moneys Held by Paying Agent
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SECTION 9.06
Moneys Held by Trustee
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ARTICLE TEN
GUARANTEE OF NOTES
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SECTION 10.01 Note
Guarantee
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SECTION 10.02
Execution and Delivery of Note Guarantee
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SECTION 10.03
Limitation on Guarantor Liability
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SECTION 10.04
Release of Guarantors
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SECTION 10.05
Waiver of Subrogation
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SECTION 10.06
Notice to Trustee
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ARTICLE ELEVEN
MISCELLANEOUS
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SECTION 11.01
Notices
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SECTION 11.02
Certificate and Opinion as to Conditions Precedent
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SECTION 11.03
Statements Required in Certificate and Opinion
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SECTION 11.04
Rules by Trustee and Agents
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SECTION 11.05
Legal Holidays
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100 |
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SECTION 11.06
Governing Law
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100 |
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SECTION 11.07 No
Adverse Interpretation of Other Agreements
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SECTION 11.08
Successors
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100 |
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SECTION 11.09
Multiple Counterparts
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100 |
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SECTION 11.10
Table of Contents, Headings, etc.
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100 |
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SECTION 11.11
Separability
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100 |
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Exhibit A Form
of Note
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A-1 |
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Exhibit B Form
of Legend for Rule 144A Notes and Other Notes That Are
Restricted Securities
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B-1 |
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Exhibit C Form
of Legend for Regulation S Note
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C-1 |
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Exhibit D Form
of Legend for Global Note
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D-1 |
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Exhibit E Form
of Certificate To Be Delivered in Connection with Transfers
Pursuant to Regulation S
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E-1 |
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Exhibit F Form
of Note Guarantee
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F-1 |
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Exhibit G Form
of Certificate From Acquiring Institutional Accredited
Investors
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G-1 |
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iii
INDENTURE,
dated June 25, 2008, among R.H. DONNELLEY INC., a Delaware
corporation, the Guarantors (as defined herein) listed on the
signature pages hereto and THE BANK OF NEW YORK, a New York banking
corporation, as trustee (the “Trustee”).
References
herein to the “Company” refer only to R.H. Donnelley
Inc. and not any of its Subsidiaries.
Each
party agrees as follows for the benefit of the other parties and
for the equal and ratable benefit of the Holders of the
Notes.
ARTICLE ONE
DEFINITIONS AND INCORPORATION BY REFERENCE
SECTION
1.01 Definitions.
“Acquired
Debt” means Debt of a Person existing at the time such Person
becomes a Restricted Subsidiary, other than Debt Incurred in
connection with, or in contemplation of, such Person becoming a
Restricted Subsidiary. Acquired Debt shall be deemed to be Incurred
on the date the acquired Person becomes a Restricted
Subsidiary.
“Acquisition”
means (1) the consummation of the acquisition by Parent of
Centel Directory Company, a Delaware corporation,
DirectoriesAmerica, Inc., a Kansas corporation, and Sprint
Publishing & Advertising, Inc., a Kansas corporation pursuant
to the stock purchase agreement dated as of September 21,
2002, as amended, by and between Sprint Corporation, a Kansas
corporation, Centel Directories LLC, a Delaware limited liability
company, and Parent, (2) the acquisition by Parent of SBC
Communications Inc.’s directory publishing business in
Illinois and northwest Indiana pursuant to the Purchase Agreement
by and among Ameritech Corporation, Ameritech Publishing, Inc. and
Parent as of July 28, 2004, as amended, (3) the
acquisition by Parent of Business.com, Inc., pursuant to the
Agreement and Plan of Merger, dated as of July 25, 2007, by
and among, Business.com, Inc., Parent and Patriot Acquisition
Merger Sub. Corp., a Delaware corporation, as amended, and
(4) the purchase by the Company or any of its Restricted
Subsidiaries of any Capital Stock, bonds, notes, debentures or
other debt securities of any Person in a directory publishing
business so that such Person becomes a Restricted Subsidiary of the
Company and any of its Restricted Subsidiaries or the merger into
or consolidation with any such Person so that such Person becomes a
Restricted Subsidiary of the Company, or the purchase of any assets
constituting a business unit of any Person in the directory
publishing business.
“Additional
Assets” means:
(a) any Property (other than cash,
cash equivalents and securities) to be owned by the Company or any
Restricted Subsidiary and used in a Related Business; or
(b) Capital Stock of a Person that is
or becomes a Restricted Subsidiary upon or as a result of the
acquisition of such Capital Stock by the Company or another
Restricted Subsidiary from any Person other than the Company or an
Affiliate of the Company;
provided,
however, that, in the case of this clause (b), such Restricted
Subsidiary is primarily engaged in a Related Business.
“Additional
Notes” has the meaning set forth in Section 2.01.
“Affiliate”
of any specified Person means:
(a) any other Person directly or
indirectly controlling or controlled by or under direct or indirect
common control with such specified Person, or
(b) any other Person who is a
director or officer of:
(1) such specified Person,
(2) any Subsidiary of such specified
Person, or
(3) any Person described in clause
(a) above.
For the
purposes of this definition, “control” when used with
respect to any Person means the power to direct the management and
policies of such Person, directly or indirectly, whether through
the ownership of voting securities, by contract or otherwise; and
the terms “controlling” and “controlled”
have meanings correlative to the foregoing. For purposes of
Sections 4.12 and 4.14 and the definition of “Additional
Assets” only, “Affiliate” shall also mean any
beneficial owner of shares representing 10% or more of the total
voting power of the Voting Stock (on a fully diluted basis) of the
Company or of rights or warrants to purchase such Voting Stock
(whether or not currently exercisable) and any Person who would be
an Affiliate of any such beneficial owner pursuant to the first
sentence hereof.
“Affiliate
Transaction” has the meaning set forth in
Section 4.14.
“Agent”
means any Registrar, Paying Agent, or agent for service or notices
and demands.
“Agent
Members” has the meaning set forth in
Section 2.16.
“Allocable
Excess Proceeds” has the meaning set forth in
Section 4.12(d).
“Alternate
Offer” has the meaning set forth in
Section 4.08(e).
“amend”
means amend, modify, supplement, restate or amend and restate,
including successively; and “amending” and
“amended” have correlative meanings.
“Applicable
Premium” means, with respect to any Note on any Redemption
Date, the greater of:
(1) 1.0%
of the then outstanding principal amount of the Note; and
(2) the
excess of:
2
(a) the
present value at such Redemption Date of (i) the redemption
price of the Note at May 15, 2012 (such redemption price being
set forth in the table appearing in Section 5(a) of the form of the
Note attached as Exhibit A hereto) plus (ii) all required
interest payments due on the Note through May 15, 2012
(excluding accrued and unpaid interest to the Redemption Date),
computed using a discount rate equal to the Treasury Rate of such
Redemption Date plus 50 basis points; over
(b) the
then outstanding principal amount of the Note.
“Applicable
Procedures” means, with respect to any transfer or exchange
of or for beneficial interests in any Global Note, the rules and
procedures of the Depository, Euroclear and/or Clearstream that
apply to such transfer or exchange.
“Asset
Sale” means any sale, lease, transfer, issuance or other
disposition (or series of related sales, leases, transfers,
issuances or dispositions) by the Company or any Restricted
Subsidiary, including any disposition by means of a merger,
consolidation or similar transaction (each referred to for the
purposes of this definition as a “disposition”),
of
(a) any shares of Capital Stock of a
Restricted Subsidiary (other than directors’ qualifying
shares or shares required by applicable law to be held by a Person
other than the Company or a Restricted Subsidiary),
(b) all or substantially all of the
properties and assets of any division or line of business of the
Company or any Restricted Subsidiary, or
(c) any other assets of the Company
or any Restricted Subsidiary outside of the ordinary course of
business of the Company or such Restricted Subsidiary;
other
than, in the case of clause (a), (b) or (c) above,
(1) any disposition by the Company or
a Restricted Subsidiary to the Company, a Restricted Subsidiary or
any Person (if after giving effect to such transfer such other
Person becomes a Restricted Subsidiary),
(2) any disposition that constitutes
a Permitted Investment or Restricted Payment permitted by
Section 4.10,
(3) any disposition effected in
compliance with Section 5.01,
(4) any disposition of Temporary Cash
Investments in the ordinary course of business,
(5) any disposition of obsolete, worn
out or permanently retired equipment or facilities or other
property that are no longer useful in the conduct of the business
of the Company or any Restricted Subsidiary,
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(6) any disposition of Receivables
and Related Assets in a Qualified Securitization Transaction for
the Fair Market Value thereof including cash or Temporary Cash
Investments in an amount at least equal to 75% of the Fair Market
Value thereof,
(7) for purposes of
Section 4.12, any disposition the net proceeds of which to the
Company and its Restricted Subsidiaries do not exceed
$2.5 million in any transaction or series of related
transactions,
(8) the licensing or sublicensing of
intellectual property or other general intangibles and licenses,
leases or subleases of other property in the ordinary course of
business which do not materially interfere with the business of the
Company and its Restricted Subsidiaries,
(9) the sale or other disposition of
cash or Cash Equivalents, and
(10) any release of intangible claims
or rights in connection with the loss or settlement of a bona fide
lawsuit, dispute or other controversy.
“Average
Life” means, as of any date of determination, with respect to
any Debt or Preferred Stock, the quotient obtained by
dividing:
(a) the sum of the products of
(1) the number of years (rounded to the nearest one-twelfth of
one year) from the date of determination to the dates of each
successive scheduled principal payment of such Debt or redemption
or similar payment with respect to such Preferred Stock multiplied
by (2) the amount of such payment by
(b) the sum of all such
payments.
“Bankruptcy
Law” means Title 11, United States Code, or any similar U.S.
Federal or state law.
“Board
of Directors” means, with respect to any Person, the board of
directors, or any equivalent management entity, of such Person or
any committee thereof duly authorized to act on behalf of such
board.
“Board
Resolution” means, with respect to any Person, a copy of a
resolution of such Person’s Board of Directors, certified by
the Secretary or an Assistant Secretary, or an equivalent officer,
of such Person to have been duly adopted by the Board of Directors
of such Person and to be in full force and effect on the date of
such certification.
“Business
Day” means a day other than a Saturday, Sunday or other day
on which commercial banking institutions in New York City are
authorized or required by law to close.
“Capital
Lease Obligations” means any obligation under a lease that is
required to be capitalized for financial reporting purposes in
accordance with GAAP; and the amount of Debt represented by such
obligation shall be the capitalized amount of such obligations
determined in accordance with GAAP; and the Stated Maturity thereof
shall be the date of the last payment of rent or any other amount
due under such lease prior to the first date upon which
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such
lease may be terminated by the lessee without payment of a penalty.
For purposes of Section 4.11, a Capital Lease Obligation shall
be deemed secured by a Lien on the Property being leased.
“Capital
Stock” means, with respect to any Person, any shares or other
equivalents (however designated) of any class of corporate stock or
partnership interests or any other participations, rights,
warrants, options or other interests in the nature of an equity
interest in such Person, including Preferred Stock, but excluding
any debt security convertible or exchangeable into such equity
interest.
“Capital
Stock Sale Proceeds” means the aggregate cash proceeds
received by the Company from the issuance or sale (other than to a
Restricted Subsidiary of the Company or an employee stock ownership
plan or trust established by the Company or a Restricted Subsidiary
for the benefit of their employees and except to the extent that
any purchase made pursuant to such issuance or sale is financed by
the Company or any Restricted Subsidiary) by the Company of its
Capital Stock (including upon the exercise of options, warrants or
rights) (other than Disqualified Stock) or warrants, options or
rights to purchase its Capital Stock (other than Disqualified
Stock) after the Issue Date, net of attorneys’ fees,
accountants’ fees, underwriters’ or placement
agents’ fees, discounts or commissions and brokerage,
consultant and other fees actually Incurred in connection with such
issuance or sale and net of taxes paid or payable as a result
thereof.
“Cash
Equivalents” means (a) United States dollars,
(b) securities issued or directly and fully Guaranteed or
insured by the United States government or any agency or
instrumentality thereof having maturities of not more than one year
from the date of acquisition, (c) demand deposits, time
deposits and certificates of deposit with maturities of one year or
less from the date of acquisition, bankers’ acceptances with
maturities not exceeding one year from the date of acquisition and
overnight bank deposits, in each case with any bank or trust
company organized or licensed under the laws of the United States
or any State thereof having capital, surplus and undivided profits
in excess of $250.0 million, (d) repurchase obligations
with a term of not more than seven days for underlying securities
of the type described in clauses (b) and (c) above
entered into with any financial institution meeting the
qualifications specified in clause (c) above, (e) commercial
paper rated at least P-1 or Al-1 by Moody’s or S&P,
respectively, (f) investments in any U.S. dollar-denominated money
market fund as defined by Rule 2a-7 of the General Rules and
Regulations promulgated under the Investment Company Act of 1940
and (g) in the case of a Foreign Subsidiary, substantially
similar investments denominated in foreign currencies (including
similarly capitalized foreign banks).
“Change
of Control” means the occurrence of any of the following
events:
(1) any “person” (as such
term is used in Sections 13(d) and 14(d) of the Exchange Act) is or
becomes the beneficial owner (as defined in Rules 13d-3 and
13d-5 under the Exchange Act), directly or indirectly, of 50% or
more of the total voting power of the Voting Stock of Parent or the
Company (for the purpose of this clause (1) a Person shall be
deemed to beneficially own the Voting Stock of a corporation that
is beneficially owned (as defined above) by another corporation (a
“parent corporation”) if such Person
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beneficially
owns (as defined above) at least 50% of the aggregate voting power
of all classes of Voting Stock of such parent corporation);
(2) during any period of two
consecutive years, individuals who at the beginning of such period
constituted the Board of Directors of Parent or the Board of
Directors of the Company (together with any new directors whose
election by such Board of Directors or whose nomination for
election by the applicable shareholders was approved or ratified by
a vote of 66 2/3% of the Board of Directors of Parent or the
Company, as applicable, then still in office who were either
directors at the beginning of such period or whose election or
nomination for election was previously so approved or ratified)
cease for any reason to constitute a majority of such Board of
Directors then in office;
(3) the adoption of a plan relating
to the liquidation or dissolution of Parent or the Company;
or
(4) the merger or consolidation of
Parent or the Company with or into another Person or the merger of
another Person with or into Parent or the Company, or the sale of
all or substantially all the assets of Parent or the Company to
another Person, and, in the case of any such merger or
consolidation, the securities of Parent or the Company, as the case
may be, that are outstanding immediately prior to such transaction
and that represent 100% of the aggregate voting power of the Voting
Stock of Parent or the Company, as the case may be, are changed
into or exchanged for cash, securities or Property, unless
(x) pursuant to such transaction such securities are changed
into or exchanged for, in addition to any other consideration,
securities of the surviving corporation that represent immediately
after such transaction, at least a majority of the aggregate voting
power of the Voting Stock of the surviving corporation or
(y) exclusively with respect to a merger or consolidation of
the Company, so long as the Parent, directly or indirectly, has
beneficial ownership of more than 50% of the total voting power of
the Voting Stock of the Company or the surviving corporation and
such transaction complies with all applicable limitations of this
Indenture; or
(5) a “Change of Control”
of Parent (as such term is defined under any of the indentures
relating to the Parent Existing Notes).
Notwithstanding
the foregoing, a Change of Control shall not be deemed to have
occurred solely as a consequence of a merger or consolidation
between Parent and the Company, in which case all references in the
immediately preceding clauses (2) and (4) to
“Parent or the Company” shall henceforth be deemed to
refer only to the surviving entity of such merger or consolidation
or (b) if, following such event, the surviving entity has an
Investment Grade Rating by both Rating Agencies and, in the event
that a Person acquires Voting Stock of Parent such Person has an
Investment Grade Rating prior to such acquisition.
“Change
of Control Offer” has the meaning set forth in
Section 4.08.
“Change
of Control Payment Date” has the meaning set forth in
Section 4.08.
“Change
of Control Purchase Price” has the meaning set forth in
Section 4.08.
6
“Clearstream”
has the meaning set forth in Section 2.16.
“Commission”
means the U.S. Securities and Exchange Commission.
“Commodity
Price Protection Agreement” means, in respect of a Person,
any forward contract, commodity swap agreement, commodity option
agreement or other similar agreement or arrangement designed to
protect such Person against fluctuations in commodity prices.
“Company”
means the party defined in the second paragraph hereof, until a
successor replaces such party pursuant to Article Five and
thereafter means the successor.
“Consolidated
Current Liabilities” as of any date of determination means
the aggregate amount of liabilities of the Company and its
Restricted Subsidiaries which may properly be classified as current
liabilities (including taxes accrued as estimated), as of such date
on a consolidated basis, after eliminating:
(1) all
intercompany items between the Company and any Restricted
Subsidiary and
(2) all
current maturities of long-term Debt, all as determined in
accordance with GAAP consistently applied.
“Consolidated
Interest Expense” means, for any period, without duplication
and in each case determined on a consolidated basis in accordance
with GAAP, the total interest expense of the Company and its
consolidated Restricted Subsidiaries, plus, to the extent not
included in such total interest expense, and to the extent Incurred
by either the Company or its Restricted Subsidiaries:
(a) the interest component of Capital
Lease Obligations paid, accrued and/or scheduled to be paid or
accrued during such period,
(b) amortization of debt discount and
debt issuance cost, including commitment fees,
(c) capitalized interest,
(d) non-cash interest expense,
(e) commissions, discounts and other
fees and charges owed with respect to letters of credit and
bankers’ acceptance financing,
(f) net costs associated with Hedging
Obligations (including amortization of discounts or fees);
provided, however, such costs shall not include any unrealized gain
or loss implicit in Hedging Obligations,
(g) the sum of (a) all
Disqualified Stock Dividends and (b) Preferred Stock Dividends
with respect to Capital Stock of Subsidiaries,
7
(h) interest accruing or paid on any
Debt of any other Person to the extent such Debt is Guaranteed by
the Company or any Restricted Subsidiary, or is secured by a Lien
on the Company’s or any Restricted Subsidiary’s assets,
whether or not such interest is paid by the Company or such
Restricted Subsidiary,
(i) the cash contributions to any
employee stock ownership plan or similar trust to the extent such
contributions are used by such plan or trust to pay interest or
fees to any Person (other than the Company) in connection with Debt
Incurred by such plan or trust,
(j) interest accruing in connection
with a Qualified Securitization Transaction, and
(k) the interest portion of any
deferred payment obligation.
“Consolidated
Net Income” means, for any period, the consolidated net
income (loss) of the Company for such period on a consolidated
basis prior to any adjustment to net income for any preferred stock
(other than Disqualified Stock) as determined in accordance with
GAAP; provided, however, that there shall not be included in such
Consolidated Net Income:
(a) any net income (loss) of any
Person (other than the Company) if such Person is not a Restricted
Subsidiary, except that:
(1) the Company’s equity in the
net income of any such Person for such period shall be included in
such Consolidated Net Income up to the aggregate amount of cash
distributed by such Person during such period to the Company or a
Restricted Subsidiary as a dividend or other distribution (subject,
in the case of a dividend or other distribution to a Restricted
Subsidiary, to the limitations contained in clause (c) below),
and
(2) the Company’s equity in a
net loss of any such Person for such period shall be included in
determining such Consolidated Net Income,
(b) any net income (loss) of any
Restricted Subsidiary if such Restricted Subsidiary is subject to
contractual restrictions, directly or indirectly, on the payment of
dividends or the making of distributions, directly or indirectly,
to the Company, except that:
(1) the Company’s equity in the
net income of any such Restricted Subsidiary for such period shall
be included in such Consolidated Net Income up to the aggregate
amount of cash distributed by such Restricted Subsidiary during
such period to the Company or another Restricted Subsidiary as a
dividend or other distribution (subject, in the case of a dividend
or other distribution to another Restricted Subsidiary, to the
limitation contained in this clause), and
(2) the Company’s equity in a
net loss of any such Restricted Subsidiary for such period shall be
included in determining such Consolidated Net Income,
8
(c) any net gain or loss realized
upon the sale or other disposition of any Property of the Company
or any of its consolidated Subsidiaries (including pursuant to any
sale and leaseback transaction) that is not sold or otherwise
disposed of in the ordinary course of business,
(d) any net after-tax extraordinary
gain or loss,
(e) the cumulative effect of a change
in accounting principles,
(f) any non-cash compensation expense
realized for grants of stock appreciation or similar rights, stock
options or other rights to officers, directors and employees of the
Company or any Restricted Subsidiary, provided that such rights (if
redeemable), options or other rights can be redeemed at the option
of the holder only for Capital Stock of the Company (other than
Disqualified Stock) or Capital Stock of a direct or indirect parent
of the Company,
(g) any non-cash impact attributable
to the reduction in deferred revenue or reduction in deferred costs
to balance sheet accounts as a result of the fair value exercise
undertaken as required by purchase method of accounting for the
transactions contemplated by any Acquisition, in accordance with
GAAP, during the eighteen consecutive months following the
consummation of any Acquisition, and
(h) to the extent non-cash, any
unusual, non-operating or non-recurring gain or loss (including to
the extent related to any Acquisitions).
Notwithstanding
the foregoing, for purposes of Section 4.10 only, there shall
be excluded from Consolidated Net Income any dividends, repayments
of loans or advances or other transfers of assets from Unrestricted
Subsidiaries to the Company or a Restricted Subsidiary to the
extent such dividends, repayments or transfers increase the amount
of Restricted Payments permitted under such Section 4.10
pursuant to clause (a)(3)(iv) thereof.
“Consolidated
Net Tangible Assets” as of any date of determination, means
the total amount of assets (less accumulated depreciation and
amortization, allowances for doubtful receivables, other applicable
reserves and other properly deductible items) which would appear on
a consolidated balance sheet of the Company and its Restricted
Subsidiaries, as of such date determined on a consolidated basis in
accordance with GAAP, and after giving effect to purchase
accounting and after deducting therefrom Consolidated Current
Liabilities and, to the extent otherwise included, the amounts
of:
(1) minority
interests in consolidated Subsidiaries held by Persons other than
the Company or a Restricted Subsidiary;
(2) excess
of cost over fair value of assets of businesses acquired, as
determined in good faith by the Board of Directors of the Company
and the Board of Directors of Parent;
9
(3) any
revaluation or other write-up in book value of assets subsequent to
the Issue Date as a result of a change in the method of valuation
in accordance with GAAP consistently applied;
(4) unamortized
debt discount and expenses and other unamortized deferred charges,
goodwill, patents, trademarks, service marks, trade names,
copyrights, licenses, organization or developmental expenses and
other intangible items;
(5) treasury
stock;
(6) cash
set apart and held in a sinking or other analogous fund established
for the purpose of redemption or other retirement of Capital Stock
to the extent such obligation is not reflected in Consolidated
Current Liabilities; and
(7) investments
in and assets of Unrestricted Subsidiaries.
“Corporate
Trust Office” means the principal office of the Trustee at
which at any time its corporate trust business shall be
administered, which office at the date hereof is located at 101
Barclay Street, Floor 8 West, New York, New York 10286, Attention:
Corporate Trust Department, or such other address as the Trustee
may designate from time to time by notice to the Holders and the
Company, or the principal corporate trust office of any successor
Trustee (or such other address as such successor Trustee may
designate from time to time by notice to the Holders and the
Company).
“Covenant
Defeasance” has the meaning set forth in
Section 9.01.
“Covenant
Suspension Event” has the meaning set forth in
Section 4.19(a).
“Credit
Facility” means that certain Second Amended and Restated
Credit Agreement, dated as of December 13, 2005, by and among
the Company, as borrower, Parent, the several banks and other
financial institutions or entities from time to time parties
thereto as lenders, J.P. Morgan Securities Inc. and Deutsche Bank
Trust Company Americas, as co-lead arrangers and joint bookrunners,
J.P. Morgan Chase Bank, N.A., as syndication agent, Bear Stearns
Corporate Lending Inc., Credit Suisse, Cayman Islands Branch,
Goldman Sachs Credit Partners L.P., UBS Securities LLC and Wachovia
Bank, National Association, as co-documentation agents and Deutsche
Bank Trust Company Americas, as administrative agent, as amended by
the First Amendment, dated as of April 24, 2006, among Parent,
the Company, the several banks and other financial institutions or
entities from time to time parties thereto as lenders, and Deutsche
Bank Trust Company Americas, as administrative agent, and the
Second Amendment, dated on or prior to the Issue Date, among
Parent, the Company, the several banks and other financial
institutions or entities from time to time parties thereto as
lenders, and Deutsche Bank Trust Company Americas, as
administrative agent, as such may be further amended, restated,
modified, supplemented, refinanced or replaced from time to time,
or one or more debt or commercial paper facilities or other
instruments with banks or other institutional lenders providing for
revolving credit loans, term loans, receivables or inventory
financing (including through the sale of receivables or inventory
to such lenders or to special purpose, bankruptcy remote entities
formed to borrow from such lenders against such receivables or
inventory) or trade letters of credit, or other forms of Guarantees
or assurances that one or more
10
times
refinances, replaces, supplements, modifies or amends such credit
facilities or debentures or other debt securities.
“Currency
Exchange Protection Agreement” means, in respect of a Person,
any foreign exchange contract, currency swap agreement, futures
contract, currency option, synthetic cap or other similar agreement
or arrangement designed to protect such Person against fluctuations
in currency exchange rates.
“Custodian”
means any receiver, trustee, assignee, liquidator, custodian or
similar official under any Bankruptcy Law.
“Debt”
means, with respect to any Person on any date of determination
(without duplication):
(a) the principal of and premium (if
any, but only in the event such premium has become due) in respect
of:
(1) debt of such Person for money
borrowed, and
(2) debt evidenced by notes,
debentures, bonds or other similar instruments for the payment of
which such Person is responsible or liable;
(b) all Capital Lease Obligations of
such Person;
(c) all obligations of such Person
issued or assumed as the deferred purchase price of Property, all
conditional sale obligations of such Person and all obligations of
such Person under any title retention agreement (but excluding
trade accounts payable for goods and services arising in the
ordinary course of business);
(d) all obligations of such Person
for the reimbursement of any obligor on any letter of credit,
banker’s acceptance or similar credit transaction (other than
obligations with respect to letters of credit, performance bonds or
surety bonds securing obligations (other than obligations described
in (a) through (c) above) provided in the ordinary course
of business of such Person to the extent such letters of credit and
bonds are not drawn upon or, if and to the extent drawn upon, such
drawing is reimbursed no later than the fifth Business Day
following receipt by such Person of a demand for reimbursement
following payment on the letter of credit or bond);
(e) the amount of all obligations of
such Person with respect to the Repayment of any Disqualified Stock
or, with respect to any Subsidiary of such Person, any Preferred
Stock (measured, in each case, at the greatest of its voluntary or
involuntary maximum fixed repurchase price or liquidation value but
excluding, in each case, any accrued dividends for any current
period not yet payable);
(f) all obligations of the type
referred to in clauses (a) through (e) above of other
Persons and all dividends of other Persons for the payment of
which, in either case, such Person is responsible or liable,
directly or indirectly, as obligor, guarantor or otherwise,
including by means of any Guarantee;
11
(g) all obligations of the type
referred to in clauses (a) through (f) above of other
Persons, the payment of which is secured by any Lien on any
Property of such Person (whether or not such obligation is assumed
by such Person), the amount of such obligation being deemed to be
the lesser of the Fair Market Value of such Property or the amount
of the obligation so secured; and
(h) to the extent not otherwise
included in this definition, Hedging Obligations of such Person
(the amount of any such obligations to be equal at any time to the
termination value of such agreement or arrangement giving rise to
such obligation that would be payable by such Person at such
time).
The
amount of Debt of any Person at any date shall be the amount
necessary to extinguish in full as of such date the outstanding
balance at such date of all unconditional obligations as described
above and the maximum liability, upon the occurrence of the
contingency giving rise to the obligation, of any contingent
obligations at such date including, without limitation, all
interest that has been capitalized, and without giving effect to
any call premiums in respect thereof. The amount of Debt
represented by a Hedging Obligation shall be equal to:
(1) zero if such Hedging Obligation
has been Incurred pursuant to clause (6), (7) or (8) of
Section 4.09(b); or
(2) the marked-to-market value of
such Hedging Obligation to the counterparty thereof if not Incurred
pursuant to such clauses.
For
purposes of this definition, the maximum fixed repurchase price of
any Disqualified Stock that does not have a fixed redemption,
repayment or repurchase price will be calculated in accordance with
the terms of such Disqualified Stock as if such Disqualified Stock
were purchased on any date on which Debt will be required to be
determined pursuant to this Indenture at its Fair Market Value if
such price is based upon, or measured by, the fair market value of
such Disqualified Stock; provided, however, that if such
Disqualified Stock is not then permitted in accordance with the
terms of such Disqualified Stock to be redeemed, repaid or
repurchased, the redemption, repayment or repurchase price shall be
the book value of such Disqualified Stock as reflected in the most
recent financial statements of such Person.
“Default”
means any event which is, or after notice or passage of time or
both would be, an Event of Default.
“Depository”
means, with respect to the Notes issued in the form of one or more
Global Notes, The Depository Trust Company or another Person
designated as Depository by the Company, which Person must be a
clearing agency registered under the Exchange Act.
“Disqualified
Stock” means, with respect to any Person, any Capital Stock
that by its terms (or by the terms of any security into which it is
convertible or for which it is exchangeable, in either case at the
option of the holder thereof) or upon the happening of an
event:
12
(a) matures or is mandatorily
redeemable pursuant to a sinking fund obligation or
otherwise,
(b) is or may become redeemable or
repurchaseable at the option of the holder thereof, in whole or in
part, or
(c) convertible or exchangeable at
the option of the holder thereof for Debt or Disqualified
Stock,
on or
prior to, in the case of clause (a), (b) or (c), the first
anniversary of the Stated Maturity of the Notes; provided that any
Capital Stock that would not constitute Disqualified Stock but for
provisions thereof giving holders the right to require the Company
to repurchase or redeem such Capital Stock upon the occurrence of a
Change of Control occurring prior to the first anniversary of the
Stated Maturity of the Notes shall not constitute Disqualified
Stock if the change of control provisions applicable to such
Disqualified Stock are no more favorable to the holders of such
Capital Stock than the provisions of this Indenture with respect to
a Change of Control and such Capital Stock specifically provides
that the Company will not repurchase or redeem any such Capital
Stock pursuant to such provisions prior to the Company’s
completing a Change of Control Offer.
“Disqualified
Stock Dividends” means all dividends with respect to
Disqualified Stock of the Company held by Persons other than a
Wholly Owned Restricted Subsidiary.
“EBITDA”
means, with respect to any Person, for any period:
(a)
the sum of an amount equal to Consolidated Net Income of such
Person for such period, plus (without duplication) the following to
the extent Consolidated Net Income has been reduced thereby for
such period:
(1) the
provisions for taxes based on income or profits or utilized in
computing net loss,
(2) Consolidated
Interest Expense,
(3) depreciation,
(4) amortization,
(5) non-recurring
losses or expenses, and
(6) any
other non-cash items (provided that any such non-cash item that
represents an accrual of or reserve for cash expenditures in any
future period shall be deducted in such future period); minus
(b)
(x) all non-cash items increasing Consolidated Net Income for
such period (other than any such non-cash item to the extent that
it will result in the receipt of cash payments in any future
period) and (y) all non-recurring gains for such period.
13
Notwithstanding
the foregoing clause, the provision for taxes and the depreciation,
amortization and non-cash items of a Restricted Subsidiary shall be
added to Consolidated Net Income to compute EBITDA only to the
extent (and in the same proportion) that the net income of such
Restricted Subsidiary was included in calculating Consolidated Net
Income. The calculation of EBITDA shall not include any non-cash
impact attributable to the reduction in deferred revenue or
reduction in deferred costs to balance sheet accounts as a result
of the fair value exercise undertaken as required by purchase
accounting in accordance with GAAP, during the eighteen consecutive
months following the consummation of the relevant Acquisition (it
being understood that clause (g) of Consolidated Net Income
shall not apply) (without duplication).
“Euroclear”
has the meaning set forth in Section 2.16.
“Event
of Default” has the meaning set forth in
Section 6.01.
“Excess
Proceeds” has the meaning set forth in
Section 4.12.
“Exchange
Act” means the U.S. Securities Exchange Act of 1934, as
amended.
“Exchange
Offers” means the exchange by the holders thereof of a
portion of the Parent Existing Notes for the Notes issued on the
Issue Date.
“Fair
Market Value” means, with respect to any Property, the price
that could be negotiated in an arm’s-length free market
transaction, for cash, between a willing seller and a willing
buyer, neither of whom is under undue pressure or compulsion to
complete the transaction. Fair Market Value shall be determined,
except as otherwise provided,
(a) if such Property has a Fair
Market Value equal to or less than $15.0 million, by any
Officer of the Company, or
(b) if such Property has a Fair
Market Value in excess of $15.0 million, by a majority of the
Board of Directors of the Company and the Board of Directors of
Parent and evidenced by a Board Resolution dated within
30 days of the relevant transaction.
“Foreign
Subsidiary” means any Restricted Subsidiary that is not
organized under the laws of the United States, any State thereof or
the District of Columbia.
“GAAP”
means United States generally accepted accounting principles as in
effect on the Issue Date, including those set forth:
(a) in the opinions and
pronouncements of the Accounting Principles Board of the American
Institute of Certified Public Accountants,
(b) in the statements and
pronouncements of the Financial Accounting Standards Board,
(c) in such other statements by such
other entity as approved by a significant segment of the accounting
profession, and
14
(d) the rules and regulations of the
Commission governing the inclusion of financial statements
(including pro forma financial statements) in periodic reports
required to be filed pursuant to Section 13 of the Exchange
Act, including opinions and pronouncements in staff accounting
bulletins and similar written statements from the accounting staff
of the Commission; provided that in the event the Parent or
the Company is acquired in a transaction that is accounted for
using purchase accounting, the effects of the application of
purchase accounting should be disregarded in the calculation of
ratios and other computations under this Indenture.
“Global
Notes” has the meaning set forth in Section 2.16.
“Government
Obligations” means any security issued or Guaranteed as to
principal or interest by the United States, or by a person
controlled or supervised by and acting as an instrumentality of the
government of the United States pursuant to authority granted by
the Congress of the United States; or any certificate of deposit
for any of the foregoing.
“Guarantee”
means any obligation, contingent or otherwise, of any Person
directly or indirectly Guaranteeing any Debt of any other Person
and any obligation, direct or indirect, contingent or otherwise, of
such Person:
(a) to purchase or pay (or advance or
supply funds for the purchase or payment of) such Debt of such
other Person (whether arising by virtue of partnership
arrangements, or by agreements to keep-well, to purchase assets,
goods, securities or services, to take-or-pay or to maintain
financial statement conditions or otherwise), or
(b) entered into for the purpose of
assuring in any other manner the obligee against loss in respect
thereof (in whole or in part);
provided, however, that the term “Guarantee” shall not
include:
(1) endorsements for collection or
deposit in the ordinary course of business, or
(2) a contractual commitment by one
Person to invest in another Person for so long as such Investment
is reasonably expected to constitute a Permitted Investment under
clause (a) of the definition of “ Permitted
Investment. ”
The
term “Guarantee” used as a verb has a corresponding
meaning. The term “guarantor” shall mean any Person
Guaranteeing any obligation.
“Guarantors”
means individually, Parent or a Subsidiary Guarantor and
collectively, Parent and the Subsidiary Guarantors.
“Hedging
Obligations” of any Person means any obligation of such
Person pursuant to any Interest Rate Agreement, Currency Exchange
Protection Agreement, Commodity Price Protection Agreement or any
other similar agreement or arrangement.
15
“Holder”
means the Person in whose name a Note is registered on the Note
register.
“Incur”
means, with respect to any Debt or other obligation of any Person,
to create, issue, incur (by merger, conversion, exchange or
otherwise), extend, assume, Guarantee or become liable in respect
of such Debt or other obligation or the recording, as required
pursuant to GAAP or otherwise, of any such Debt or obligation on
the balance sheet of such Person (and “Incurrence” and
“Incurred” shall have meanings correlative to the
foregoing); provided, however, that a change in GAAP that results
in an obligation of such Person that exists at such time, and is
not theretofore classified as Debt, becoming Debt shall not be
deemed an Incurrence of such Debt; provided further, however, that
any Debt or other obligations of a Person existing at the time such
Person becomes a Restricted Subsidiary (whether by merger,
consolidation, acquisition or otherwise) shall be deemed to be
Incurred by such Restricted Subsidiary at the time it becomes a
Restricted Subsidiary; and provided further, however, that
amortization of debt discount, accrual or capitalization of
dividends and interest, including the accrual of deferred accrued
interest, the accretion of principal, and the payment of interest
or dividends in the form of additional securities shall not, in any
such case, be deemed to be the Incurrence of Debt, provided that in
the case of Debt or Preferred Stock sold at a discount or for which
interest or dividends is capitalized or accrued or accreted, the
amount of such Debt or outstanding Preferred Stock Incurred shall
at all times be the then current accreted value or shall include
all capitalized interest.
“Indenture”
means this Indenture as amended, restated or supplemented from time
to time.
“Independent
Financial Advisor” means an accounting, appraisal or
investment banking firm of national standing or any third party
appraiser or recognized expert with experience in appraising the
terms and conditions of the type of transaction or series of
related transactions for which an opinion is required, provided
that such firm or appraiser is not an Affiliate of the
Company.
“Institutional
Accredited Investor” has the meaning set forth in
Rule 501(a)(1), (2), (3) or (7) of Regulation D
under the Securities Act.
“Interest
Payment Date” means May 15 and November 15 of each
year.
“Interest
Rate Agreement” means, for any Person, any interest rate swap
agreement, interest rate cap agreement, interest rate collar
agreement, interest rate option agreement, interest rate future
agreement or other similar agreement designed to protect against
fluctuations in interest rates.
“Investment”
by any Person means any loan (other than advances and extensions of
credit and receivables in the ordinary course of business that are
recorded as accounts receivable on the balance sheet of such Person
or acquired as part of the assets acquired in connection with an
acquisition of assets otherwise permitted by this Indenture),
advance or other extension of credit or capital contribution (by
means of transfers of cash or other Property to others or payments
for Property or services for the account or use of others, or
otherwise)
16
(excluding commission, travel and similar advances to officers and
employees in the ordinary course of business) to, or Incurrence of
a Guarantee of any obligation of, or purchase or acquisition of
Capital Stock, bonds, notes, debentures or other securities or
evidence of Debt issued by, any other Person. For purposes of
Sections 4.10 and 4.15 and the definition of “Restricted
Payment,” “Investment” shall include the Fair
Market Value of the Investment of the Company and any Restricted
Subsidiary in any Subsidiary of the Company at the time that such
Subsidiary is designated an Unrestricted Subsidiary; provided,
however, that upon a redesignation of an Unrestricted Subsidiary as
a Restricted Subsidiary, the Company shall be deemed to continue to
have a permanent “Investment” in an Unrestricted
Subsidiary (proportionate to the Company’s equity interest in
such Subsidiary) of an amount (if positive) equal to:
(a) the Company’s
“Investment” in such Subsidiary at the time of such
redesignation, less
(b) the portion (proportionate to the
Company’s equity interest in such Subsidiary) of the Fair
Market Value of the Investment of the Company and any Restricted
Subsidiary in such Subsidiary at the time of such
redesignation.
In
determining the amount of any Investment made by transfer of any
Property other than cash, such Property shall be valued at its Fair
Market Value at the time of such Investment.
“Investment
Grade Rating” means a rating equal to or higher than Baa3
(with a stable or better outlook) (or the equivalent) by
Moody’s or BBB- (with a stable or better outlook) (or the
equivalent) by S&P.
“Issue
Date” means the date on which the Notes are initially issued
(exclusive of any Additional Notes).
“Legal
Defeasance” has the meaning set forth in
Section 9.01.
“Legal
Holiday” has the meaning set forth in
Section 11.05.
“Leverage
Ratio” means the ratio of:
(a) the outstanding Debt of the
Company and its Restricted Subsidiaries as of the date of
calculation consolidated in accordance with GAAP, to
(b) the LTM Pro Forma EBITDA.
“Lien”
means, with respect to any Property of any Person, any mortgage or
deed of trust, pledge, hypothecation, assignment, deposit
arrangement, security interest, lien, charge, easement (other than
any easement not materially impairing usefulness or marketability),
encumbrance, preference, priority or other security agreement or
preferential arrangement of any kind or nature whatsoever on or
with respect to such Property (including any Capital Lease
Obligation, conditional sale or other title retention agreement
having substantially the same economic effect as any of the
foregoing or any sale and leaseback transaction).
17
“LTM
Pro Forma EBITDA” means Pro Forma EBITDA for the four most
recent consecutive fiscal quarters prior to the date of
determination for which financial statements are available pursuant
to Section 4.17.
“Maturity
Date” when used with respect to any Note, means the date on
which the principal amount of such Note becomes due and payable as
therein or herein provided.
“Moody’s”
means Moody’s Investors Service, Inc. and any successor to
its rating agency business.
“Net
Available Cash” from any Asset Sale means cash payments
received therefrom (including any cash payments received by way of
deferred payment of principal pursuant to a note or installment
receivable or otherwise, but only, in each case, as and when
received, but excluding any other consideration received in the
form of assumption by the acquiring Person of Debt or other
obligations relating to the Property that is the subject of such
Asset Sale or received in any other non-cash form), in each case
net of:
(a) all legal, title and recording
tax expenses, commissions and other fees and expenses Incurred, and
all U.S. Federal, state, provincial, foreign and local taxes
required to be accrued as a liability under GAAP, as a consequence
of such Asset Sale,
(b) all payments made on any Debt
that is secured by any Property subject to such Asset Sale, in
accordance with the terms of any Lien upon or other security
agreement of any kind with respect to such Property, or which must
by its terms, or in order to obtain a necessary consent to such
Asset Sale, or by applicable law, be repaid out of the proceeds
from such Asset Sale,
(c) all distributions and other
payments required to be made to minority interest holders in
Subsidiaries or joint ventures as a result of such Asset
Sale,
(d) brokerage commissions and other
reasonable fees and expenses (including fees and expenses of
counsel, accountants and investment bankers) related to such Asset
Sale; and
(e) the deduction of appropriate
amounts provided by the seller as a reserve, in accordance with
GAAP, against any liabilities associated with the Property disposed
in such Asset Sale and retained by the Company or any Restricted
Subsidiary after such Asset Sale including, without limitation,
pension and other post-employment benefit liabilities, liabilities
relating to environmental matters and liabilities under any
indemnification obligations associated with such Asset Sale and any
deductions relating to escrowed amounts.
“Non-Guarantor
Restricted Subsidiary” means any Restricted Subsidiary that
is not a Subsidiary Guarantor.
“Non-Recourse
Debt” means debt as to which neither the Company nor any
Restricted Subsidiary
18
(a) provides any Guarantee or credit
support of any kind (including any undertaking, Guarantee,
indemnity, agreement or instrument that would constitute Debt) or
is directly or indirectly liable (as a guarantor or otherwise) or
as to which there is any recourse to the assets of the Company or
its Restricted Subsidiaries; and
(b) no default with respect to which
(including any rights that the holders thereof may have to take
enforcement action against an Unrestricted Subsidiary) would permit
(upon notice, lapse of time or both) any holder of any other Debt
of the Company or any Restricted Subsidiary to declare a default
under such other Debt or cause the payment thereof to be
accelerated or payable prior to its stated maturity.
“Non-U.S.
Person” means a Person who is not a U.S. person, as defined
in Regulation S.
“Note
Guarantee” means, individually, a Subsidiary Guarantee or a
Parent Guarantee and, collectively, the Subsidiary Guarantees and
the Parent Guarantee.
“Notes”
means the 11.75% Notes Due 2015 issued pursuant to this
Indenture.
“Obligations”
means any principal, interest, penalties, fees, indemnifications,
reimbursements, damages and other liabilities payable under the
documentation governing any Debt, including any Guarantees thereof,
and in all cases whether direct or indirect, absolute or
contingent, now outstanding or hereafter created, assumed or
incurred and including, without limitation, interest accruing
subsequent to the filing of a petition in bankruptcy or the
commencement of any insolvency, reorganization or similar
proceedings at the rate provided in the relevant documentation,
whether or not an allowed claim, and any obligation to redeem or
defease any of the foregoing.
“Offer
Amount” has the meaning set forth in
Section 4.12(f).
“Offer
Period” has the meaning set forth in
Section 4.12(f).
“Offering
Memorandum” means the offering memorandum dated May 8,
2008 relating to the exchange of Parent Existing Notes for the
Notes issued on the Issue Date.
“Officer”
means the Chief Executive Officer, the President, the Chief
Financial Officer or any Vice President, the Treasurer or the
Secretary of the Company.
“Officers’
Certificate” means a certificate signed by an Officer of the
Company, and delivered to the Trustee.
“Opinion
of Counsel” means a written opinion from legal counsel who is
acceptable to the Trustee. The counsel may be an employee of or
counsel to the Company, Parent, a Subsidiary Guarantor or the
Trustee.
“Parent”
means R.H. Donnelley Corporation, a Delaware corporation.
19
“Parent
Existing Indentures” means, collectively, the Indenture,
dated as of January 14, 2005, between Parent and The Bank of
New York, as trustee, with respect to Parent’s 6.78% Senior
Notes due 2013, Indenture, dated January 27, 2006, between
Parent and The Bank of New York, as trustee, with respect to
Parent’s 6.875% Series A-1 Senior Discount Notes due
2013, Indenture, dated January 27, 2006, between Parent and The
Bank of New York, as trustee, with respect to Parent’s 6.875%
Series A-2 Senior Discount Notes due 2013; Indenture, dated
January 27, 2006, between Parent and The Bank of New York, as
trustee, with respect to Parent’s 8.875% Series A-3
Senior Notes due 2016; Indenture, dated October 2, 2007,
between Parent and The Bank of New York, as trustee, with respect
to Parent’s 8.875% Series A-4 Senior Notes due 2017;
each as amended, restated, modified or supplemented from time to
time.
“Parent
Existing Notes” means the 6.875% Senior Notes due 2013,
6.875% Series A-1 Senior Discount Notes due 2013, 6.875%
Series A-2 Senior Discount Notes due 2013, 8.875%
Series A-3 Senior Notes due 2016 and 8.875% Series A-4
Senior Notes due 2017 of Parent.
“Parent
Guarantee” means the Guarantee provided by Parent pursuant to
Section 10.01.
“Parent
Refinancing Debt” means any Debt of the Parent that
Refinances any Debt under a Parent Existing Indenture, including
any successive Refinancings, so long as:
(a) such Debt is in an aggregate
principal amount (or if Incurred with original issue discount, an
aggregate issue price) not in excess of the sum of:
(1) the aggregate principal amount
(or if Incurred with original issue discount, the aggregate
accreted value) and any accrued but unpaid interest then
outstanding of the Debt being Refinanced, and
(2) an amount necessary to pay any
fees and expenses, including premiums, tender and defeasance costs,
related to such Refinancing,
(b) the Average Life of such Debt is
equal to or greater than the Average Life of the Debt being
Refinanced,
(c) the Stated Maturity of the Debt
being Incurred is no earlier than the Stated Maturity of the Debt
being Refinanced, and
(d) if the Debt being Refinanced
constitutes subordinated obligations of the Parent, the new Debt
shall be subordinated to the Notes or the relevant Guarantee, as
applicable, at least to the same extent as the subordinated
obligations.
“Participant”
means, with respect to the Depository, Euroclear or Clearstream, a
Person who has an account with the Depository, Euroclear or
Clearstream, respectively (and, with respect to DTC, shall include
Euroclear and Clearstream).
20
“Paying
Agent” has the meaning set forth in Section 2.04.
“Payment
Default” means, with respect to any Debt, a failure to pay
principal of such Debt at its Stated Maturity after giving effect
to any applicable grace period provided in the instrument(s)
governing such Debt.
“Permitted
Asset Swap” means any transfer of properties or assets by the
Company or any of its Restricted Subsidiaries in which at least 90%
of the consideration received by the transferor consists of
properties or assets (other than cash) that will be used in a
Related Business; provided that the aggregate fair market value (as
determined in good faith by the Board of Directors of the Company
and the Board of Directors of Parent) of the property or assets
being transferred by the Company or such Restricted Subsidiary is
not greater than the aggregate fair market value (as determined in
good faith by the Board of Directors of the Company and the Board
of Directors of Parent) of the property or assets received by the
Company or such Restricted Subsidiary in such exchange,
provided that, with respect to any transaction or series of
related transactions that constitute a Permitted Asset Swap with an
aggregate Fair Market Value in excess of $25.0 million, the
Company, prior to consummation thereof, shall be required to obtain
a written opinion from an Independent Financial Advisor to the
effect that such transaction or series of related transactions are
fair from a financial point of view to the Company and its
Restricted Subsidiaries, taken as a whole.
“Permitted
Investment” means any Investment by the Company or a
Restricted Subsidiary in:
(a) the Company, any Restricted
Subsidiary or any Person that will, upon the making of such
Investment, become a Restricted Subsidiary, provided that the
primary business of such Restricted Subsidiary is a Related
Business, including, without limitation, any Acquisition,
(b) Temporary Cash Investments,
(c) receivables owing to the Company
or a Restricted Subsidiary, if created or acquired in the ordinary
course of business and payable or dischargeable in accordance with
customary trade terms; provided, however, that such trade terms may
include such concessionary trade terms as the Company or such
Restricted Subsidiary deems reasonable under the
circumstances,
(d) payroll, travel, commission and
similar advances to cover matters that are expected at the time of
such advances ultimately to be treated as expenses for accounting
purposes and that are made in the ordinary course of
business,
(e) loans and advances to employees,
directors and consultants made in the ordinary course of business
consistent with past practices of the Company or such Restricted
Subsidiary, as the case may be, provided that such loans and
advances do not exceed $20.0 million at any one time
outstanding,
(f) stock, obligations or other
securities received in settlement or good faith compromise of debts
created in the ordinary course of business and owing to the
21
Company or a
Restricted Subsidiary or in satisfaction of judgments or pursuant
to any plan of reorganization or similar arrangement upon the
bankruptcy or insolvency of a debtor,
(g) any Person to the extent such
Investment represents the non-cash portion of the consideration
received in connection with an Asset Sale consummated in compliance
with Section 4.12,
(h) the Notes (including any
Additional Notes issued after the Issue Date) and the Parent
Existing Notes acquired in the Exchange Offers,
(i) Interest Rate Agreements,
Currency Exchange Protection Agreements, Hedging Obligations and
Commodity Price Protection Agreement, in each case, permitted under
Section 4.09,
(j) Investments in existence on the
Issue Date and any permitted Refinancing thereof,
(k) a Securitization Entity in
connection with a Qualified Securitization Transaction, which
Investment consists of the transfer of Receivables and Related
Assets,
(l) in any Person to the extent that
the consideration for such Investment consists of Capital Stock of
Parent,
(m) Investments in prepaid expenses,
negotiable instruments held for collection and lease utility and
worker’s compensation, performance and other similar deposits
provided to third parties in the ordinary course of business,
(n) Guarantees by the Company and any
Subsidiary Guarantor of Debt Incurred solely by the Company and any
Subsidiary Guarantor in compliance with this Indenture,
(o) other Investments that do not
exceed $100.0 million outstanding at any one time in the
aggregate,
(p) any Person where such Investment
was acquired by the Company or any of its Restricted Subsidiaries
(1) in exchange for any other Investment or accounts
receivable held by the Company or any such Restricted Subsidiary in
connection with or as a result of a bankruptcy, workout,
reorganization or recapitalization of the issuer of such other
Investment or accounts receivable or (2) as a result of a
foreclosure by the Company or any of its Restricted Subsidiaries
with respect to any secured Investment or such other transfer of
title with respect to any secured Investment in default,
(q) a Securitization Entity or any
Investment by Securitization Entity in any other Person, in each
case in connection with a Qualified Securitization Transaction,
provided, however, that any Investment in a Securitization Entity
is in the form of (1) a purchase money note; (2) any
equity interests; (3) obligations of the Securitization Entity
to pay the purchase price for assets transferred to it; or
(4) interests in accounts receivable generated by the Company
or Restricted Subsidiary and transferred to any Person in
22
connection with
a Qualified Securitization Transaction or any such Person owning
such amounts receivable, and
(r) negotiable instruments held for
deposit or collection in the ordinary course of business.
“ Permitted
Liens ”
means:
(a) Liens securing the Notes and the
Subsidiary Guarantees;
(b) Liens to secure Debt Incurred
under Section 4.09(b)(1), (2) or (18);
(c) Liens to secure Debt permitted to
be Incurred under Section 4.09(b)(4), provided that any such
Lien may not extend to any Property of the Company or any
Restricted Subsidiary, other than the Property acquired,
constructed or leased with the proceeds of such Debt and any
improvements or accessions to such Property;
(d) Liens on the Capital Stock or
Property of a Non-Guarantor Restricted Subsidiary securing Debt of
a Non-Guarantor Restricted Subsidiary permitted to be Incurred
under this Indenture;
(e) Liens for taxes, assessments or
governmental charges or levies on the Property of the Company or
any Restricted Subsidiary if the same shall not at the time be
delinquent or thereafter can be paid without penalty, or are being
contested in good faith and by appropriate proceedings promptly
instituted and diligently concluded, provided that any reserve or
other appropriate provision that shall be required in conformity
with GAAP shall have been made therefor;
(f) Liens imposed by law, such as
statutory Liens of landlords’ carriers’,
warehousemen’s and mechanics’ Liens and other similar
Liens, on the Property of the Company or any Restricted Subsidiary
arising in the ordinary course of business and securing payment of
obligations that are not more than 60 days past due or are
being contested in good faith and by appropriate proceedings or
Liens arising solely by virtue of any statutory or common law
provisions relating to bankers’ liens, rights of set-off or
similar rights and remedies as to deposit accounts or other funds
maintained with a creditor depositary institution;
(g) Liens on the Property of the
Company or any Restricted Subsidiary Incurred in the ordinary
course of business to secure performance of obligations with
respect to statutory or regulatory requirements, performance bids,
trade contracts, letters of credit performance or return-of-money
bonds, surety bonds or other obligations of a like nature and
Incurred in a manner consistent with industry practice, in each
case which are not Incurred in connection with the borrowing of
money, the obtaining of advances or credit or the payment of the
deferred purchase price of Property and which do not in the
aggregate impair in any material respect the use of Property in the
operation of the business of the Company and the Restricted
Subsidiaries taken as a whole;
23
(h) Liens on Property at the time the
Company or any Restricted Subsidiary acquired such Property,
including any acquisition by means of a merger or consolidation
with or into the Company or any Restricted Subsidiary; provided,
however, that any such Lien may not extend to any other Property of
the Company or any Restricted Subsidiary; provided further,
however, that such Liens shall not have been Incurred in
anticipation of or in connection with the transaction or series of
transactions pursuant to which such Property was acquired by the
Company or any Restricted Subsidiary;
(i) Liens on the Property of a Person
at the time such Person becomes a Restricted Subsidiary; provided,
however, that any such Lien may not extend to any other Property of
the Company or any other Restricted Subsidiary that is not a direct
or, prior to such time, indirect Subsidiary of such Person;
provided further, however, that any such Lien was not Incurred in
anticipation of or in connection with the transaction or series of
transactions pursuant to which such Person became a Restricted
Subsidiary;
(j) pledges or deposits by the
Company or any Restricted Subsidiary under workmen’s
compensation laws, unemployment insurance laws or similar
legislation, or good faith deposits in connection with bids,
tenders, contracts (other than for the payment of Debt) or leases
to which the Company or any Restricted Subsidiary is party, or
deposits to secure public or statutory obligations of the Company
or any Restricted Subsidiary, or deposits for the payment of rent,
in each case Incurred in the ordinary course of business;
(k) utility easements, building
restrictions and such other encumbrances or charges against real
Property as are of a nature generally existing with respect to
properties of a similar character;
(l) any provision for the retention
of title to any Property by the vendor or transferor of such
Property which Property is acquired by the Company or a Restricted
Subsidiary in a transaction entered into in the ordinary course of
business of the Company or a Restricted Subsidiary and for which
kind of transaction it is normal market practice for such retention
of title provision to be included;
(m) Liens arising by means of any
judgment, decree or order of any court, to the extent not otherwise
resulting in a Default, and any Liens that are required to protect
or enforce rights in any administrative, arbitration or other court
proceedings in the ordinary course of business;
(n) any Lien securing Debt permitted
to be Incurred under any Hedging Obligations pursuant to
Section 4.09 or any collateral for such Debt to which the
Hedging Obligations relate;
(o) liens on and pledges of the
Capital Stock of any Unrestricted Subsidiary to secure Debt of that
Unrestricted Subsidiary;
(p) (1) mortgages, liens,
security interests, restrictions, encumbrances or any other matters
of record that have been placed by any developer, landlord or other
third party on property over which the Company or any Restricted
Subsidiary has easement rights or on
24
any real
property leased by the Company or any Restricted Subsidiary or
similar agreements relating thereto and (2) any condemnation
or eminent domain proceedings or compulsory purchase order
affecting real property;
(q) Liens existing on the Issue Date
not otherwise described in clauses (a) through (p)
above;
(r) Liens in favor of the Company or
any Restricted Subsidiary;
(s) Liens on assets of a
Securitization Entity Incurred in connection with a Qualified
Securitization Transaction;
(t) Liens on the Property of the
Company or any Restricted Subsidiary to secure any Refinancing of
Debt, in whole or in part, secured by any Lien described in the
foregoing clauses (h), (i) or (q), provided that any such Lien
is limited to all or part of the same property or assets (plus
improvements, accessions, proceeds or dividends or distributions in
respect thereof) that secured the Debt being Refinanced; and
(u) other Liens to secure Debt, so
long as the aggregate principal amount of Debt secured thereby does
not exceed 5% of Consolidated Net Tangible Assets, as determined by
reference to the most recent balance sheet included in the
financial statements of the Company provided on the Parent’s
website pursuant to Section 4.17.
“Permitted
Refinancing Debt” means any Debt that Refinances any other
Debt, including any successive Refinancings, so long as:
(a) such Debt is in an aggregate
principal amount (or if Incurred with original issue discount, an
aggregate issue price) not in excess of the sum of:
(1) the aggregate principal amount
(or if Incurred with original issue discount, the aggregate
accreted value) and any accrued but unpaid interest then
outstanding of the Debt being Refinanced, and
(2) an amount necessary to pay any
fees and expenses, including premiums, tender and defeasance costs,
related to such Refinancing,
(b) in the case of the Refinancing of
term Debt, the Average Life of such Debt is equal to or greater
than the Average Life of the Debt being Refinanced,
(c) in the case of the Refinancing of
term Debt, the Stated Maturity of the Debt being Incurred is no
earlier than the Stated Maturity of the Debt being Refinanced,
and
(d) in the case of the Refinancing of
Debt of the Company or a Subsidiary Guarantor:
(1) the new Debt shall not be senior
in right of payment of the Debt being Refinanced; and
25
(2) if the Debt being Refinanced
constitutes Subordinated Obligations of the Company or a Subsidiary
Guarantor, the new Debt shall be subordinated to the Notes or the
relevant Note Guarantee of such Subsidiary Guarantor, as
applicable, at least to the same extent as the Subordinated
Obligations;
provided, however, that Permitted Refinancing Debt shall not
include:
(x) Debt of a Non-Guarantor
Restricted Subsidiary that Refinances Debt of the Company or a
Subsidiary Guarantor, or
(y) Debt of the Company or a
Restricted Subsidiary that Refinances Debt of an Unrestricted
Subsidiary.
“Person”
means any individual, corporation, company (including any limited
liability company), association, partnership, joint venture, trust,
unincorporated organization, government or any agency or political
subdivision thereof or any other entity.
“Physical
Notes” means certificated Notes in registered form in
substantially the form set forth in Exhibit A.
“Preferred
Stock” means any Capital Stock of a Person, however
designated, which entitles the holder thereof to a preference with
respect to the payment of dividends, or as to the distribution of
assets upon any voluntary or involuntary liquidation or dissolution
of such Person, over shares of any other class of Capital Stock
issued by such Person.
“Preferred
Stock Dividends” means all dividends with respect to
Preferred Stock of Restricted Subsidiaries held by Persons other
than the Company or a Wholly Owned Restricted Subsidiary.
“Prepayment
Offer” has the meaning set forth in
Section 4.12(d).
“Private
Placement Legend” means the legend initially set forth on the
Rule 144A Notes and other Notes that are Restricted Notes in
the form set forth in Exhibit B.
“pro
forma” means, with respect to any calculation made or
required to be made pursuant to the terms hereof a calculation
performed in accordance with the terms of this Indenture and (to
the extent not conflicting with such terms) Article 11 of
Regulation S-X promulgated under the Securities Act (as in
effect on the Issue Date).
“Pro
Forma EBITDA” means, for any period, the EBITDA of the
Company and its consolidated Restricted Subsidiaries after making
the following adjustments (without duplication):
(a) pro forma effect shall be given
to any Asset Sales or Investment (by merger or otherwise) in any
Restricted Subsidiary (or any Person which becomes a Restricted
Subsidiary) or any other acquisition of Property at any time on or
subsequent to the first day of the period and on or prior to the
date of determination as if such Asset Sale,
26
Investment or
other acquisition had occurred on the first day of the period. Any
such pro forma calculations may include operating expense
reductions (net of associated expenses) for such period resulting
from the acquisition or other Investment which is being given pro
forma effect that would be permitted pursuant to Rule 11-02 of
Regulation S-X under the Securities Act (as in effect on the
Issue Date). In addition, since the beginning of the period, if any
Person that subsequently became a Restricted Subsidiary or was
merged with or into the Company or any Restricted Subsidiary since
the beginning of the period shall have made any Investment in any
Person or made any acquisition, disposition, merger or
consolidation that would have required adjustment pursuant to this
definition, then Pro Forma EBITDA shall be calculated giving pro
forma effect thereto for such period as if such Investment,
acquisition, disposition, merger or consolidation had occurred at
the beginning of the applicable period; and
(b) in the event that pro forma
effect is being given to any Repayment of Debt, Pro Forma EBITDA
for such period shall be calculated as if such Person or such
Restricted Subsidiary had not earned any interest income actually
earned during such period in respect of the funds used to Repay
such Debt.
“Property”
means, with respect to any Person, any interest of such Person in
any kind of property or asset, whether real, personal or mixed, or
tangible or intangible, including Capital Stock in, and other
securities of, any other Person. For purposes of any calculation
required pursuant to this Indenture, the value of any Property
shall be its Fair Market Value.
“Purchase
Date” has the meaning set forth in
Section 4.12(e).
“Purchase
Money Debt” means Debt secured by a Lien:
(a) consisting of the deferred
purchase price of property, conditional sale obligations,
obligations under any title retention agreement, other purchase
money obligations and obligations in respect of industrial revenue
bonds, in each case where the maturity of such Debt does not exceed
the anticipated useful life of the Property being financed,
and
(b) Incurred to finance the
acquisition, construction or lease by the Company or a Restricted
Subsidiary of such Property, including additions and improvements
thereto;
provided, however, that such Debt is Incurred within 180 days
after the acquisition, completion of the construction or lease of
such Property by the Company or such Restricted Subsidiary.
“Qualified
Equity Offering” means any public or private offering for
cash of Capital Stock (other than Disqualified Stock) of Parent or
the Company other than (i) public offerings of Capital Stock
registered on Form S-8, (ii) other issuances upon the exercise
of options of employees of Parent, the Company or any of their
respective Subsidiaries or (iii) private offerings of Capital
Stock to Affiliates of the Company or Parent, provided that
in the case of an offering of Capital Stock by Parent, the net
proceeds of such offering are contributed to the Company.
27
“Qualified
Institutional Buyer” or “QIB” shall have the
meaning specified in Rule 144A promulgated under the
Securities Act.
“Qualified
Securitization Transaction” means any transaction or series
of transactions that may be entered into by the Company or any
Restricted Subsidiary pursuant to which the Company or any
Restricted Subsidiary may sell, convey or otherwise transfer to
(a) a Securitization Entity (in the case of a transfer by the
Company or of any Restricted Subsidiary) and (b) any other
Person (in the case of a transfer by a Securitization Entity), or
may grant a security interest in, Receivables and Related
Assets.
“Rating
Agencies” mean Moody’s or S&P or, if neither
Moody’s nor S&P shall make a rating on the Notes publicly
available, a nationally recognized statistical rating agency or
agencies, as the case may be, selected by the Company which shall
be substituted for Moody’s or S&P or both, as the case
may be.
“Receivables
and Related Assets” means any account receivable (whether now
existing or arising thereafter) of the Company or any Restricted
Subsidiary, and any assets related thereto including all collateral
securing such accounts receivable, all contracts and contract
rights and all Guarantees or other obligations in respect of such
accounts receivable, proceeds of such accounts receivable and other
assets which are customarily transferred or in respect of which
security interest are customarily granted in connection with asset
securitization transaction involving accounts receivable.
“Redemption
Date” when used with respect to any Note to be redeemed
pursuant to Section 5 of the Notes means the date fixed for
such redemption pursuant to the terms of the Notes.
“Refinance”
means, in respect of any Debt, to refinance, extend, renew, refund,
repay, prepay, repurchase, redeem, defease or retire, or to issue
other Debt, in exchange or replacement for, such Debt.
“Refinanced” and “Refinancing” shall have
correlative meanings.
“Registrar”
has the meaning set forth in Section 2.04.
“Regulation S”
means Regulation S promulgated under the Securities Act.
“Regulation S
Global Note” has the meaning set forth in
Section 2.16.
“Regulation S
Notes” has the meaning set forth in Section 2.02.
“Related
Business” means any business that is related, ancillary or
complementary to the business of the Company or any of its
Subsidiaries on the Issue Date or any reasonable extension,
development or expansion of the business of the Company or its
Subsidiaries, including the businesses acquired pursuant to any
Acquisition.
“Repay”
means, in respect of any Debt, to repay, prepay, repurchase,
redeem, legally defease or otherwise retire such Debt.
“Repayment” and “Repaid” shall have
correlative meanings. For purposes of Section 4.12 and the
definition of “Leverage Ratio,” Debt shall be
28
considered to have been Repaid only to the extent the related loan
commitment, if any, shall have been permanently reduced in
connection therewith.
“Required
Filing Dates” has the meaning set forth in
Section 4.17.
“Responsible
Officer” shall mean, when used with respect to the Trustee,
any officer in the Corporate Trust Office of the Trustee including
any vice president, assistant vice president or any other officer
of the Trustee who customarily performs functions similar to those
performed by the Persons who at the time shall be such officers,
respectively, and to whom any corporate trust matter is referred
because of such officer’s knowledge of and familiarity with
the particular subject and who shall have direct responsibility for
the administration of this Indenture.
“Restricted
Note” has the same meaning as “Restricted
Security” set forth in Rule 144(a)(3) promulgated under
the Securities Act; provided that the Trustee shall be entitled to
request and conclusively rely upon an Opinion of Counsel with
respect to whether any Note is a Restricted Note.
“Restricted
Payment” means:
(a) any dividend or distribution
(whether made in cash, securities or other Property) declared or
paid by the Company or any Restricted Subsidiary on or with respect
to any shares of Capital Stock of Parent, the Company or any
Restricted Subsidiary, except for any dividend or distribution that
is made solely to the Company or a Restricted Subsidiary (and, if
such Restricted Subsidiary is not a Wholly Owned Restricted
Subsidiary, to the other shareholders of such Restricted Subsidiary
on a pro rata basis or on a basis that results in the receipt by
the Company or a Restricted Subsidiary of dividends or
distributions of greater value than it would receive on a pro rata
basis) or any dividend or distribution payable solely in shares of
Capital Stock (other than Disqualified Stock) of the Company or in
options, warrants or other rights to acquire shares of Capital
Stock (other than Disqualified Stock) of the Company;
(b) the purchase, repurchase,
redemption, acquisition or retirement for value of any Capital
Stock of Parent, the Company or any Restricted Subsidiary (other
than from the Company or a Restricted Subsidiary or any entity that
becomes a Restricted Subsidiary as a result of such transactions)
or securities exchangeable for or convertible into any such Capital
Stock, including the exercise of any option to exchange any Capital
Stock (other than for or into Capital Stock of the Company that is
not Disqualified Stock);
(c) the purchase, repurchase,
redemption, acquisition or retirement for value, prior to the date
for any scheduled maturity, sinking fund or amortization or other
installment payment, of any Subordinated Obligation (other than the
purchase, repurchase or other acquisition of any Subordinated
Obligation purchased in anticipation of satisfying a scheduled
maturity, sinking fund or amortization or other installment
obligation, in each case due within one year of the date of
acquisition);
(d) any Investment (other than
Permitted Investments) in any Person; or
29
(e) the issuance, sale or other
disposition of Capital Stock of any Restricted Subsidiary to a
Person (other than the Company or another Restricted Subsidiary) if
the result thereof is that such Restricted Subsidiary shall cease
to be a Subsidiary of the Company, in which event the amount of
such “Restricted Payment” shall be the Fair Market
Value of the remaining interest, if any, in such former Restricted
Subsidiary held by the Company and the other Restricted
Subsidiaries.
“Restricted
Period” has the meaning set forth in Section 2.17.
“Restricted
Subsidiary” means any Subsidiary of the Company other than an
Unrestricted Subsidiary.
“Reversion
Date” has the meaning set forth in
Section 4.19(b).
“Rule 144”
means Rule 144 promulgated under the Securities Act.
“Rule 144A”
means Rule 144A promulgated under the Securities Act.
“Rule 144A
Global Note” has the meaning set forth in
Section 2.16.
“Rule 144A
Notes” has the meaning set forth in Section 2.02.
“Securities
Act” means the U.S. Securities Act of 1933, as amended.
“Securitization
Entity” means a Wholly Owned Restricted Subsidiary (or a
Wholly Owned Subsidiary of another Person in which the Company or
any Subsidiary of the Company makes an Investment and to which the
Company or any Subsidiary of the Company transfers Receivables and
Related Assets) that engages in no activities other than in
connection with the financing of accounts receivable and that is
designated by the Board of Directors of the Company (as provided
below) as a Securitization Entity and:
(a) no portion of the Debt or any
other obligations (contingent or otherwise) of which:
(1) is Guaranteed by the Company or
any Restricted Subsidiary (excluding Guarantees (other than the
principal of, and interest on, Debt) pursuant to Standard
Securitization Undertakings);
(2) is recourse to or obligates the
Company or any Restricted Subsidiary (other than such
Securitization Entity) in any way other than pursuant to Standard
Securitization Undertakings; or
(3) subjects any property or asset of
the Company or any Restricted Subsidiary (other than such
Securitization Entity), directly or indirectly, contingently or
otherwise, to the satisfaction thereof, other than pursuant to
Standard Securitization Undertakings;
30
(b) with which neither the Company
nor any Restricted Subsidiary (other than such Securitization
Entity) has any material contract, agreement, arrangement or
understanding other than on terms no less favorable to the Company
or such Restricted Subsidiary than those that might be obtained at
the time from Persons that are not Affiliates of the Company, other
than fees payable in the ordinary course of business in connection
with servicing accounts receivable of such entity; and
(c) to which neither the Company nor
any Restricted Subsidiary (other than such Securitization Entity)
has any obligation to maintain or preserve such entity’s
financial condition or cause such entity to achieve certain levels
of operating results.
Any
designation of a Subsidiary as a Securitization Entity shall be
evidenced to the Trustee by filing with the Trustee a certified
copy of the resolution of the Board of Directors of the Company
giving effect to the designation and an Officers’ Certificate
certifying that the designation complied with the preceding
conditions and was permitted by this Indenture.
“Shared
Services” means the centralized, shared or pooled services or
arrangements which are provided by Parent or any of its Restricted
Subsidiaries to the telephone and internet directory service
businesses and businesses reasonably related, incidental or
ancillary thereto, conducted by Parent and its Subsidiaries.
“Significant
Subsidiary” means any Subsidiary that would be a
“significant subsidiary” of the Company within the
meaning of Rule 1-02 under Regulation S-X promulgated by
the Commission.
“S&P”
means Standard and Poor’s Ratings Group and any successor to
its rating agency business.
“Standard
Securitization Undertakings” means representations,
warranties, covenants and indemnities entered into by the Company
or any Restricted Subsidiary that are reasonably customary in an
accounts receivable securitization transaction, including, without
limitation, servicing of the obligations thereunder.
“Stated
Maturity” means (a) with respect to any debt security,
the date specified in such security as the fixed date on which the
payment of principal of such security is due and payable, including
pursuant to any mandatory redemption provision (but excluding any
provision providing for the repurchase of such security at the
option of the holder thereof upon the happening of any contingency
beyond the control of the Company unless such contingency has
occurred) and (b) with respect to any scheduled installment of
principal of or interest on any debt security, the date specified
in such debt security as the fixed date on which such installment
is due and payable.
“Subordinated
Obligation” means any Debt of the Company or any Subsidiary
Guarantor (whether outstanding on the Issue Date or thereafter
Incurred) that is subordinate or junior in right of payment to the
Notes or such Subsidiary Guarantee, in each case pursuant to a
written agreement to that effect.
31
“Subsidiary”
means, in respect of any Person, any corporation, company
(including any limited liability company), association,
partnership, joint venture or other business entity of which a
majority of the total voting power of the Voting Stock is at the
time owned or controlled, directly or indirectly, by:
(a) such Person,
(b) such Person and one or more
Subsidiaries of such Person, or
(c) one or more Subsidiaries of such
Person.
“Subsidiary
Guarantee” means a Note Guarantee on the terms set forth in
Article Ten by a Subsidiary Guarantor of the Company’s
obligations with respect to the Notes.
“Subsidiary
Guarantor” means all of the Subsidiaries of the Company
existing on the Issue Date and each Restricted Subsidiary that
executes a Subsidiary Guarantee in accordance with
Section 4.18 of this Indenture in each case until such time as
such Subsidiary Guarantor shall be released in accordance with the
terms of this Indenture.
“Surviving
Person” has the meaning set forth in Section 5.01.
“Suspended
Covenants” has the meaning set forth in
Section 4.19(a).
“Suspension
Date” has the meaning set forth in
Section 4.19(b).
“Suspension
Period” has the meaning set forth in
Section 4.19(b).
“Temporary
Cash Investments” means:
(a) any Government Obligation,
maturing not more than one year after the date of acquisition,
issued by the United States or an instrumentality or agency
thereof, and constituting a general obligation of the United
States;
(b) any certificate of deposit,
maturing not more than one year after the date of acquisition,
issued by, or time deposit of, a commercial banking institution
that is a member of the U.S. Federal Reserve System and that has
combined capital and surplus and undivided profits of not less than
$500.0 million, whose debt has a rating, at the time as of
which any investment therein is made, of “P-1” (or
higher) according to Moody’s or any successor rating agency
or “A-1” (or higher) according to S&P or any
successor rating agency (or, in the case of foreign Subsidiaries of
the Company, any local office of any commercial bank organized
under the laws of the relevant jurisdiction or any political
subdivision thereof which has a combined capital surplus and
undivided profits in excess of $500.0 million (or the foreign
currency equivalent thereof);
(c) commercial paper, maturing not
more than one year after the date of acquisition, issued by a
corporation (other than an Affiliate or Subsidiary of the Company)
organized and existing under the laws of the United States, any
state thereof or
32
the District of
Columbia with a rating, at the time as of which any investment
therein is made, of “P-1” (or higher) according to
Moody’s or “A-1” (or higher) according to
S&P;
(d) any money market deposit accounts
issued or offered by a commercial bank organized in the United
States having capital and surplus and undivided profits in excess
of $500.0 million; provided that the short-term debt of such
commercial bank has a rating, at the time of Investment, of
“P-1” (or higher) according to Moody’s or
“A-1” (or higher) according to S&P;
(e) repurchase obligations and
reverse repurchase obligations with a term of not more than
30 days for underlying securities of the types described in
clause (a) or (b) entered into with a bank meeting the
qualifications described in clause (b) above;
(f) investments in securities with
maturities of one year or less from the date of acquisition issued
or fully Guaranteed by any state, commonwealth or territory of the
United States, or by any political subdivision or taxing authority
thereof, and rated at least “A-1” by S&P or
“P-1” by Moody’s;
(g) interests in funds investing
substantially all their assets in securities of the types described
in clauses (a) through (f); and
(h) interests in mutual funds with a
rating of AAA- or higher that invest all of their assets in
short-term securities, instruments and obligations which carry a
minimum rating of “A-2” or “P-2” and which
are managed by a bank meeting the qualifications in clause (b)
above.
“Treasury
Rate” means, as of any Redemption Date, the yield to maturity
as of such Redemption Date of United States Treasury securities
with a constant maturity (as compiled and published in the most
recent Federal Reserve Statistical Release H.15 (519) that has
become publicly available at least two Business Days prior to the
Redemption Date (or, if such Statistical Release is no longer
published, any publicly available source of similar market data))
most nearly equal to the period from the Redemption Date to
May 15, 2012; provided, however, that if the period
from the Redemption Date to May 15, 2012 is less than one
year, the weekly average yield on actually traded United States
Treasury securities adjusted to a constant maturity of one year
will be used.
“Trustee”
means the party named as such in this Indenture until a successor
replaces it pursuant to this Indenture and thereafter means the
successor.
“Unrestricted
Subsidiary” means:
(a) any Subsidiary of the Company
that at the time of determination will be designated as an
Unrestricted Subsidiary as permitted or required pursuant to
Section 4.15 and is not thereafter redesignated as a
Restricted Subsidiary as permitted pursuant thereto; and
(b) any Subsidiary of an Unrestricted
Subsidiary.
33
“Voting
Stock” of any Person means all classes of Capital Stock or
other interests (including partnership interests) of such Person
then outstanding and normally entitled (without regard to the
occurrence of any contingency) to vote in the election of
directors, managers or trustees thereof.
“Wholly
Owned Restricted Subsidiary” means, at any time, a Restricted
Subsidiary all the Voting Stock of which (except directors’
qualifying shares and shares required by applicable law to be held
by a person other than the Company or a Restricted Subsidiary) is
at such time owned, directly or indirectly, by the Company and its
other Wholly Owned Subsidiaries.
SECTION
1.02 Rules of Construction.
Unless
the context otherwise requires:
(A) a term has the meaning assigned
to it herein, whether defined expressly or by reference;
(B) “or” is not
exclusive;
(C) words in the singular include the
plural, and in the plural include the singular;
(D) words used herein implying any
gender shall apply to both genders;
(E) “herein,”
“hereof” and other words of similar import refer to
this Indenture as a whole and not to any particular Article,
Section or other subsection;
(F) unless otherwise specified
herein, all accounting terms used herein shall be interpreted, all
accounting determinations hereunder shall be made, and all
financial statements required to be delivered hereunder shall be
prepared in accordance with GAAP as in effect on the Issue Date;
and
(G) “$,” “U.S.
Dollars” and “United States Dollars” each refer
to United States dollars, or such other money of the United States
that at the time of payment is legal tender for payment of public
and private debts.
ARTICLE TWO
THE SECURITIES
SECTION
2.01 Amount of Notes.
The
Trustee shall initially authenticate $412,871,000 aggregate
principal amount of Notes for original issue on the Issue Date upon
a written order of the Company in the form of an Officers’
Certificate of the Company (other than as provided in
Section 2.08). The Trustee shall authenticate additional Notes
(“Additional Notes”) thereafter in unlimited aggregate
principal amount (so long as permitted by the terms of this
Indenture, including, without limitation, Section 4.09) for
original issue upon a written order of the Company in the form of
an
34
Officers’ Certificate in aggregate principal amount as
specified in such order (other than as provided in
Section 2.08). The Notes may be issued in one or more series.
Each such written order shall specify the amount of Notes to be
authenticated and the date on which the Notes are to be
authenticated.
SECTION
2.02 Form and Dating.
The
Notes and the Trustee’s certificate of authentication with
respect thereto shall be substantially in the form set forth in
Exhibit A, which is incorporated in and forms a part of this
Indenture. The Notes may have notations, legends or endorsements
required by law, rule or usage to which the Company is subject.
Without limiting the generality of the foregoing, Notes offered and
sold to Qualified Institutional Buyers in reliance on
Rule 144A (“Rule 144A Notes”) shall bear the
legend and include the form of assignment set forth in
Exhibit B and Notes offered and sold in offshore transactions
in reliance on Regulation S (“Regulation S
Notes”) shall bear the legend and include the form of
assignment set forth in Exhibit C. Each Note shall be dated
the date of its authentication.
The
terms and provisions contained in the Notes shall constitute, and
are expressly made, a part of this Indenture and, to the extent
applicable, the Company and the Trustee, by their execution and
delivery of this Indenture, expressly agree to such terms and
provisions and agree to be bound thereby.
The
Notes may be presented for registration of transfer and exchange at
the offices of the Registrar.
SECTION
2.03 Execution and Authentication.
The
Notes shall be executed on behalf of the Company by its Chairman of
the Board, Chief Executive Officer, Chief Financial Officer,
President or any Vice President. The signature of any of these
officers on the Notes may be manual or facsimile.
If an
Officer whose signature is on a Note was an Officer at the time of
such execution but no longer holds that office at the time the
Trustee authenticates the Note, the Note shall be valid
nevertheless.
No Note
shall be entitled to any benefit under this Indenture or be valid
or obligatory for any purpose unless there appears on such Note a
certificate of authentication substantially in the form provided
for herein executed by the Trustee by manual signature, and such
certificate upon any Note shall be conclusive evidence, and the
only evidence, that such Note has been duly authenticated and
delivered hereunder. Notwithstanding the foregoing, if any Note
shall have been authenticated and delivered hereunder but never
issued and sold by the Company, and the Company shall deliver such
Note to the Trustee for cancellation as provided in
Section 2.12, for all purposes of this Indenture such Note
shall be deemed never to have been authenticated and delivered
hereunder and shall never be entitled to the benefits of this
Indenture.
The
Notes shall be issuable only in fully registered form without
coupons in denominations of $2,000 and integral multiples of $1,000
in excess thereof.
35
SECTION
2.04 Registrar and Paying Agent.
The
Company shall maintain an office or agency where Notes may be
presented for registration of transfer or for exchange (the
“Registrar”), and an office or agency where Notes may
be presented for payment (the “Paying Agent”) and an
office or agency where notices and demands to or upon the Company,
if any, in respect of the Notes and this Indenture may be served.
The Registrar shall keep a register of the Notes and of their
transfer and exchange. The Company may have one or more additional
Paying Agents. The term “Paying Agent” includes any
additional Paying Agent.
The
Company shall enter into an appropriate agency agreement with any
Agent that is not a party to this Indenture. The agreement shall
implement the provisions of this Indenture that relate to such
Agent. The Company shall notify the Trustee of the name and address
of any such Agent. If the Company fails to maintain a Registrar or
Paying Agent, or fails to give the foregoing notice, the Trustee
shall act as such and shall be entitled to appropriate compensation
in accordance with Section 7.06.
The
Company initially appoints the Trustee as Registrar, Paying Agent
and agent for service of notices and demands in connection with the
Notes and this Indenture and the Company may change the Paying
Agent without prior notice to the Holders. The Company or any of
its Subsidiaries may act as Paying Agent.
SECTION
2.05 Paying Agent To Hold Money in Trust.
Each
Paying Agent shall hold in trust for the benefit of the Holders or
the Trustee all money held by the Paying Agent for the payment of
principal of or premium or interest on the Notes (whether such
money has been paid to it by the Company or the Guarantors or any
other obligor on the Notes), and the Company and the Paying Agent
shall notify the Trustee of any default by the Company (or any
other obligor on the Notes) in making any such payment. Money held
in trust by the Paying Agent need not be segregated except as
required by law and in no event shall the Paying Agent be liable
for any interest on any money received by it hereunder; provided
that if the Company or an Affiliate thereof acts as Paying Agent,
it shall segregate the money held by it as Paying Agent and hold it
as a separate trust fund. The Company at any time may require the
Paying Agent to pay all money held by it to the Trustee and account
for any funds disbursed and the Trustee may at any time during the
continuance of any Event of Default specified in
Section 6.01(1) or (2), upon written request to the Paying
Agent, require such Paying Agent to pay forthwith all money so held
by it to the Trustee and to account for any funds disbursed. Upon
making such payment, the Paying Agent shall have no further
liability for the money delivered to the Trustee.
SECTION
2.06 Holder Lists.
The
Trustee shall preserve in as current a form as is reasonably
practicable the most recent list available to it of the names and
addresses of the Holders. If the Trustee is not the Registrar, the
Company shall furnish to the Trustee at least five Business Days
before each Interest Payment Date, and at such other times as the
Trustee may request in writing, a list in such form and as of such
date as the Trustee may reasonably require of the names and
addresses
36
of the
Holders, provided that, as long as the Trustee is the Registrar, no
such list need be furnished.
SECTION
2.07 Transfer and Exchange.
Subject
to Sections 2.16 and 2.17, when Notes are presented to the
Registrar with a request from the Holder of such Notes to register
a transfer or to exchange them for an equal principal amount of
Notes of other authorized denominations, the Registrar shall
register the transfer as requested. Every Note presented or
surrendered for registration of transfer or exchange shall be duly
endorsed or be accompanied by a written instrument of transfer in
form satisfactory to the Company and the Registrar, duly executed
by the Holder thereof or his attorneys duly authorized in writing.
To permit registrations of transfers and exchanges, the Company
shall issue and execute and the Trustee shall authenticate new
Notes (and the Guarantors shall execute the Note Guarantees
thereon) evidencing such transfer or exchange at the
Registrar’s request. No service charge shall be made to the
Holder for any registration of transfer or exchange. The Company
may require from the Holder payment of a sum sufficient to cover
any transfer taxes or other governmental charge that may be imposed
in relation to a transfer or exchange, but this provision shall not
apply to any exchange pursuant to Section 2.11, 3.06, 4.08,
4.12 or 8.04 (in which events the Company shall be responsible for
the payment of such taxes). The Registrar shall not be required to
exchange or register a transfer of any Note for a period of
15 days immediately preceding the redemption of Notes, except
the unredeemed portion of any Note being redeemed in part.
Any
Holder of the Global Note shall, by acceptance of such Global Note,
agree that transfers of the beneficial interests in such Global
Note 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 Global Note shall be required to be
reflected in a book entry.
Except
as expressly provided herein, neither the Trustee nor the Registrar
shall have any duty to monitor the Company’s compliance with
or have any responsibility with respect to the Company’s
compliance with any Federal or state securities laws.
SECTION
2.08 Replacement Notes.
If a
mutilated Note is surrendered to the Registrar or the Trustee, or
if the Holder of a Note claims that the Note has been lost,
destroyed or wrongfully taken, the Company shall issue and the
Trustee shall authenticate a replacement Note (and the Guarantors
shall execute the Note Guarantees thereon) if the Holder of such
Note furnishes to the Company and the Trustee evidence reasonably
acceptable to them of the ownership and the destruction, loss or
theft of such Note and if the requirements of Section 8-405 of
the New York Uniform Commercial Code as in effect on the date of
this Indenture are met. If required by the Trustee or the Company,
an indemnity bond shall be posted, sufficient in the judgment of
all to protect the Company, the Guarantors, the Trustee or any
Paying Agent from any loss that any of them may suffer if such Note
is replaced. The Company may charge such Holder for the
Company’s reasonable out-of-pocket expenses in replacing such
Note and the Trustee may charge the Company for the Trustee’s
expenses (including, without limitation, attorneys’ fees and
disbursements) in replacing such Note. Every replacement Note shall
constitute a contractual obligation of the Company.
37
SECTION
2.09 Outstanding Notes.
The
Notes outstanding at any time are all Notes that have been
authenticated by the Trustee except for (a) those canceled by
it, (b) those delivered to it for cancellation, (c) to
the extent set forth in Sections 9.01 and 9.02, on or after
the date on which the conditions set forth in Section 9.01 or
9.02 have been satisfied, those Notes theretofore authenticated and
delivered by the Trustee hereunder and (d) those described in
this Section 2.09 as not outstanding. Subject to
Section 2.10, a Note does not cease to be outstanding because
the Company or one of its Affiliates holds the Note.
If a
Note is replaced pursuant to Section 2.08, it ceases to be
outstanding unless the Trustee receives proof satisfactory to it
that the replaced Note is held by a bona fide purchaser in whose
hands such Note is a legal, valid and binding obligation of the
Company.
If the
Paying Agent holds, in its capacity as such, on any Maturity Date,
money sufficient to pay all accrued interest and principal with
respect to the Notes payable on that date and is not prohibited
from paying such money to the Holders thereof pursuant to the terms
of this Indenture, then on and after that date such Notes cease to
be outstanding and interest on them ceases to accrue.
SECTION
2.10 Treasury Notes.
In
determining whether the Holders of the required principal amount of
Notes have concurred in any declaration of acceleration or notice
of default or direction, waiver or consent or any amendment,
modification or other change to this Indenture, Notes owned by the
Company or any other Affiliate of the Company shall be disregarded
as though they were not outstanding, except that for the purposes
of determining whether the Trustee shall be protected in relying on
any such direction, waiver or consent or any amendment,
modification or other change to this Indenture, only Notes as to
which a Responsible Officer of the Trustee has actually received an
Officers’ Certificate stating that such Notes are so owned
shall be so disregarded. Notes so owned which have been pledged in
good faith shall not be disregarded if the pledgee established to
the satisfaction of the Trustee the pledgee’s right so to act
with respect to the Notes and that the pledgee is not the Company,
a Guarantor or any other obligor on the Notes or any of their
respective Affiliates.
SECTION
2.11 Temporary Notes.
Until
definitive Notes are prepared and ready for delivery, the Company
may prepare and the Trustee shall authenticate temporary Notes.
Temporary Notes shall be substantially in the form of definitive
Notes but may have variations that the Company considers
appropriate for temporary Notes. Without unreasonable delay, the
Company shall prepare and the Trustee shall authenticate definitive
Notes in exchange for temporary Notes. Until such exchange,
temporary Notes shall be entitled to the same rights, benefits and
privileges as definitive Notes.
38
SECTION
2.12 Cancellation.
The
Company at any time may deliver Notes to the Trustee for
cancellation. The Registrar and the Paying Agent shall forward to
the Trustee any Notes surrendered to them for registration of
transfer, exchange or payment. The Trustee shall cancel all Notes
surrendered for registration of transfer, exchange, payment,
replacement or cancellation and shall deliver such canceled Notes
to the Company. The Company may not reissue or resell, or issue new
Notes to replace, Notes that the Company has redeemed or paid, or
that have been delivered to the Trustee for cancellation.
SECTION
2.13 Defaulted Interest.
If the
Company defaults on a payment of interest on the Notes, it shall
pay the defaulted interest, plus (to the extent permitted by law)
any interest payable on the defaulted interest, in accordance with
the terms hereof, to the Persons who are Holders on a subsequent
special record date, which date shall be at least five Business
Days prior to the payment date. The Company shall fix such special
record date and payment date in a manner satisfactory to the
Trustee. At least 10 days before such special record date, the
Company shall mail to each Holder a notice that states the special
record date, the payment date and the amount of defaulted interest,
and interest payable on defaulted interest, if any, to be paid. The
Company may make payment of any defaulted interest in any other
lawful manner not inconsistent with the requirements (if
applicable) of any securities exchange on which the Notes may be
listed and, upon such notice as may be required by such exchange,
if, after written notice given by the Company to the Trustee of the
proposed payment pursuant to this sentence, such manner of payment
shall be deemed practicable by the Trustee.
SECTION
2.14 CUSIP Number.
The
Company in issuing the Notes may use a “CUSIP” number,
and if so, such CUSIP number shall be included in notices of
redemption or exchange as a convenience to Holders; provided that
any such notice may state that no representation is made as to the
correctness or accuracy of the CUSIP number printed in the notice
or on the Notes, and that reliance may be placed only on the other
identification numbers printed on the Notes. The Company shall
promptly notify the Trustee of any such CUSIP number used by the
Company in connection with the issuance of the Notes and of any
change in the CUSIP number.
SECTION
2.15 Deposit of Moneys.
Prior
to 10:00 a.m., New York City time, on each Interest Payment
Date and Maturity Date, the Company shall have deposited with the
Paying Agent in immediately available funds money sufficient to
make cash payments, if any, due on such Interest Payment Date or
Maturity Date, as the case may be, in a timely manner which permits
the Trustee to remit payment to the Holders on such Interest
Payment Date or Maturity Date, as the case may be. The principal
and interest on Global Notes shall be payable to the Depository or
its nominee, as the case may be, as the sole registered owner and
the sole Holder of the Global Notes represented thereby. The
principal and interest on Physical Notes shall be payable, either
in person or by mail, at the office of the Paying Agent.
39
SECTION
2.16 Book-Entry Provisions for Global Notes.
(a) Rule 144A
Notes shall be represented by one or more Notes in registered,
global form without interest coupons (collectively, the
“Rule 144A Global Notes”). Regulation S Notes
initially shall be represented by one or more Notes in registered,
global form without interest coupons (collectively, the
“Regulation S Global Notes” and, together with the
Rule 144A Global Notes and any other global notes representing
Notes, the “Global Notes”). The Global Notes shall bear
legends as set forth in Exhibit D. The Global Notes initially
shall (i) be registered in the name of the Depository or the
nominee of such Depository, in each case for credit to an account
of an Agent Member (or, in the case of the Regulation S Global
Notes, of Euroclear System (“Euroclear”) and
Clearstream Banking Luxembourg (“Clearstream”)),
(ii) be delivered to the Trustee as custodian for such
Depository, (iii) bear legends as set forth in Exhibit B
with respect to Rule 144A Global Notes and other Notes that are
Restricted Notes and (iv) bear legends as set forth in
Exhibit C with respect to Regulation S Global
Notes.
Members
of, or direct or indirect participants in, the Depository
(“Agent Members”) shall have no rights under this
Indenture with respect to any Global Note held on their behalf by
the Depository, or the Trustee as its custodian, or under the
Global Notes, and the Depository may be treated by the Company, the
Trustee and any agent of the Company or the Trustee as the absolute
owner of the Global Note for all purposes whatsoever.
Notwithstanding the foregoing, nothing herein shall prevent the
Company, the Trustee or any agent of the Company or the Trustee
from giving effect to any written certification, proxy or other
authorization (which may be in electronic form) furnished by the
Depository or impair, as between the Depository and its Agent
Members, the operation of customary practices governing the
exercise of the rights of a Holder of any Note.
(b) Transfers
of Global Notes shall be limited to transfer in whole, but not in
part, to the Depository, its successors or their respective
nominees. Interests of beneficial owners in the Global Notes may be
transferred or exchanged for Physical Notes in accordance with the
rules and procedures of the Depository and the provisions of
Section 2.17. In addition, a Global Note shall be exchangeable
for Physical Notes if (i) the Depository (x) notifies the
Company that it is unwilling or unable to continue as depository
for such Global Note or (y) has ceased to be a clearing agency
registered under the Exchange Act, and, with respect to (x) or
(y), the Company thereupon fails to appoint a successor depository
within 90 days of such notice or cessation, (ii) the Company,
at its option, notifies the Trustee in writing that it elects to
cause the issuance of such Physical Notes in exchange for any or
all of the Notes represented by the Global Notes or
(iii) there shall have occurred and be continuing an Event of
Default with respect to the Notes. In all cases, Physical Notes
delivered in exchange for any Global Note or beneficial interests
therein shall be registered in the names, and issued in any
approved denominations, requested by or on behalf of the Depository
(in accordance with its customary procedures.
(c) In
connection with any transfer or exchange of a portion of the
beneficial interest in any Global Note to beneficial owners
pursuant to paragraph (b) above, the Registrar shall (if one
or more Physical Notes are to be issued) reflect on its books and
records the date and a decrease in the principal amount of the
Global Note in an amount equal to the principal amount of the
beneficial interest in the Global Note to be transferred, and the
Company shall
40
execute,
and the Trustee shall upon receipt of a written order from the
Company authenticate and make available for delivery, one or more
Physical Notes of like tenor and amount.
(d) 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 Company shall execute, and the Trustee shall authenticate and
deliver, to each beneficial owner identified by the Depository in
writing in exchange for its beneficial interest in the Global
Notes, an equal aggregate principal amount of Physical Notes of
authorized denominations.
(e) Any
Physical Note constituting a Restricted Note delivered in exchange
for an interest in a Global Note pursuant to paragraph (b),
(c) or (d) shall, except as otherwise provided by
paragraph (c) of Section 2.17, bear the Private Placement
Legend or, in the case of the Regulation S Global Note, the legend
set forth in Exhibit C, in each case, unless the Company
determines otherwise in compliance with applicable law.
(f) Any
beneficial interest in one of the Global Notes that is transferred
to a Person who takes delivery in the form of an interest in
another Global Note shall, upon transfer, cease to be an interest
in such Global Note and become an interest in such other Global
Note and, accordingly, shall thereafter be subject to all transfer
restrictions and other procedures applicable to beneficial
interests in such other Global Note for as long as it remains such
an interest.
(g) 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 this Indenture or the Notes.
SECTION
2.17 Special Transfer Provisions.
(a) Transfers
to QIBs. The following provisions shall apply with respect to the
registration or any proposed registration of transfer of a Note
constituting a Restricted Note to a QIB (excluding transfers to
Non-U.S. Persons):
(i) the Registrar shall register the
transfer if such transfer is being made by a proposed transferor
who has checked the box provided for on such Holder’s Note
stating, or to a transferee who has advised the Company and the
Registrar in writing, that it is purchasing the Note for its own
account or an account with respect to which it exercises sole
investment discretion and that it and any such account is a QIB
within the meaning of Rule 144A, and is aware that the sale to
it is being made in reliance on Rule 144A and acknowledges
that it has received such information regarding the Company as it
has requested pursuant to Rule 144A or has determined not to
request such information and that it is aware that the transferor
is relying upon its foregoing representations in order to claim the
exemption from registration provided by Rule 144A; and
(ii) if the proposed transferee is an
Agent Member, and the Notes to be transferred consist of Physical
Notes which after transfer are to be evidenced by an interest in
the Global Note, upon receipt by the Registrar of instructions
given
41
in accordance
with the Depository’s and the Registrar’s procedures,
the Registrar shall reflect on its books and records the date and
an increase in the principal amount of the Global Note in an amount
equal to the principal amount of the Physical Notes to be
transferred, and the Trustee shall cancel the Physical Notes so
transferred.
(b) Transfers
to Non-QIB Institutional Accredited Investors and Non-U.S. Persons.
The following provisions shall apply with respect to the
registration of any proposed transfer of a Note constituting a
Restricted Note to any Institutional Accredited Investor which is
not a QIB or to any Non-U.S. Person:
(i) the Registrar shall register the
transfer of any Note constituting a Restricted Note whether or not
such Note bears the Private Placement Legend, if (x) the requested
transfer is after the first anniversary of the Issue Date
(provided, however, that neither the Company nor any Affiliate of
the Company has held any beneficial interest in such Note, or
portion thereof, at any time on or prior to the first anniversary
of the Issue Date) or (y)(1) in the case of a transfer to an
Institutional Accredited Investor which is not a QIB (excluding
Non-U.S. Persons), the proposed transferee has delivered to the
Registrar a certificate substantially in the form of Exhibit G
hereto and any legal opinions and certifications required thereby
or (2) in the case of a transfer to a Non-U.S. Person, the
proposed transferor has delivered to the Registrar a certificate
substantially in the form of Exhibit E hereto; and
(ii) if the proposed transferor is a
Participant holding a beneficial interest in the Global Note, upon
receipt by the Registrar of (x) the certificate, if any,
required by Section 2.17(b)(i) and (y) written
instructions given in accordance with the Depository’s and
the Registrar’s procedures; whereupon (a) the Registrar
shall reflect on its books and records the date and (if the
transfer does not involve a transfer of outstanding Physical Notes)
a decrease in the principal amount of such Global Note in an amount
equal to the principal amount of the beneficial interest in the
Global Note to be transferred and (b) the Company shall
execute and the Trustee shall authenticate and deliver, one or more
Physical Notes of like tenor and amount; and
(iii) in the case of a transfer to a
Non-U.S. Person, if the proposed transferee is a Participant, and
the Notes to be transferred consist of Physical Notes which after
transfer are to be evidenced by an interest in a Regulation S
Global Note, upon receipt by the Registrar of written instructions
given in accordance with the Depository’s and the
Registrar’s procedures, the Registrar shall reflect on its
books and records the date and an increase in the principal amount
of such Regulation S Global Note in an amount equal to the
principal amount of Physical Notes to be transferred, and the
Trustee shall cancel the Physical Notes so transferred.
(c) Private
Placement Legend. Upon the registration of transfer, exchange or
replacement of Notes not bearing the Private Placement Legend, the
Registrar shall deliver Notes
42
that do
not bear the Private Placement Legend. Upon the registration of
transfer, exchange or replacement of Notes bearing the Private
Placement Legend, the Registrar shall deliver only Notes that bear
the Private Placement Legend unless (i) there is delivered to
the Registrar an Opinion of Counsel reasonably satisfactory to the
Company 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 or
(ii) such Note has been sold pursuant to an effective
registration statement under the Securities Act and the Registrar
has received an Officers’ Certificate from the Company to
such effect or (iii) the requested transfer is after the first
anniversary of the Issue Date (provided, however, that neither the
Company nor an Affiliate of the Company has held any beneficial
interest in such Note or portion thereof at any time since the
Issue Date).
(d) On
or prior to the 40th day after the later of the commencement of the
offering of the Notes represented by the Regulation S Global
Note and the issue date of such Note (such period through and
including such 40th day, the “Restricted Period”), a
beneficial interest in a Regulation S Global Note may be
transferred to a Person who takes delivery in the form of an
interest in the corresponding Rule 144A Global Note only upon
receipt by the Trustee of a written certification from the
transferor to the effect that such transfer is being made (i)(a) to
a Person that the transferor reasonably believes is a QIB that is
purchasing for its own account or the account of a QIB in a
transaction meeting the requirements of Rule 144A or
(b) pursuant to another exemption from the registration
requirements under the Securities Act which is accompanied by an
opinion of counsel regarding the availability of such exemption and
(ii) in accordance with all applicable securities laws of any
state of the United States or any other jurisdiction.
(e) Beneficial
interests in the Rule 144A Global Note may be transferred to a
Person who takes delivery in the form of an interest in the
Regulation S Global Note, whether before or after the
expiration of the Restricted Period, only if the transferor first
delivers to the Trustee a written certificate to the effect that
such transfer is being made in accordance with Regulation S or
Rule 144 (if available).
(f) General.
By its acceptance of any Note bearing the Private Placement Legend,
each Holder of such Note acknowledges the restrictions on transfer
of such Note set forth in this Indenture and in the Private
Placement Legend and agrees that it will transfer such Note only as
provided in this Indenture.
The
Registrar shall retain for a period of two years copies of all
letters, notices and other written communications received pursuant
to Section 2.16 or this Section 2.17. The Company shall
have the right to inspect and make copies of all such letters,
notices or other written communications at any reasonable time upon
the giving of reasonable notice to the Registrar.
SECTION
2.18 Computation of Interest.
Interest
on the Notes shall be computed on the basis of a 360-day year of
twelve 30-day months and actual days elapsed.
43
ARTICLE THREE
REDEMPTION
SECTION
3.01 Election To Redeem; Notices to Trustee.
If the
Company elects to redeem Notes pursuant to Section 5 of the
Notes, at least 30 days prior to the Redemption Date (unless a
shorter notice shall be agreed to in writing by the Trustee) but
not more than 60 days before the Redemption Date, the Company
shall notify the Trustee in writing of the Redemption Date, the
principal amount of Notes to be redeemed and the redemption price,
and deliver to the Trustee, no later than two Business Days prior
to the Redemption Date, an Officers’ Certificate stating such
information and that such redemption will comply with the
conditions contained in Section 5 of the Notes. Notice given
to the Trustee pursuant to this Section 3.01 may not be
revoked after the time that notice is given to Holders pursuant to
Section 3.03.
SECTION
3.02 Selection by Trustee of Notes To Be Redeemed.
The
Trustee shall select the Notes to be redeemed, if the Notes are
then listed on a national securities exchange, in accordance with
the rules of such exchange or, if the Notes are not so listed,
either on a pro rata basis or by lot, or such other method as the
Trustee in its sole discretion shall deem fair and appropriate;
provided that, in the case of a redemption pursuant to
Section 5 of the Notes, the Trustee shall select the Notes
only on a pro rata basis or on as nearly a pro rata basis as is
practicable (subject to procedures of the Depository). The Trustee
shall promptly notify the Company of the Notes selected for
redemption and, in the case of any Notes selected for partial
redemption, the principal amount thereof to be redeemed. The
Trustee may select for redemption portions of the principal amount
of the Notes that have denominations larger than $2,000. Notes and
portions thereof the Trustee selects shall be redeemed in principal
amounts of $2,000 and integral multiples of $1,000 in excess
thereof. For all purposes of this Indenture unless the context
otherwise requires, provisions of this Indenture that apply to
Notes called for redemption also apply to portions of Notes called
for redemption. In the event the Company is requested to make a
Change of Control Offer or Prepayment Offer and the amounts
available for any such offer is not evenly divisible by $1,000, the
Trustee shall promptly refund to the Company any remaining funds,
which in no event shall exceed $1,000.
SECTION
3.03 Notice of Redemption.
At
least 30 days, and no more than 60 days, before a
Redemption Date, the Company shall mail, or cause to be mailed, a
notice of redemption by first-class mail to each Holder of Notes to
be redeemed at his or her last address as the same appears on the
registry books maintained by the Registrar pursuant to
Section 2.04.
The
notice shall identify the Notes to be redeemed (including the CUSIP
numbers thereof) and shall state:
(A) the Redemption Date;
(B) the appropriate calculation of
the redemption price;
44
(C) if fewer than all outstanding
Notes are to be redeemed, the portion of the principal amount of
such Note to be redeemed and that, after the Redemption Date and
upon surrender of such Note, a new Note or Notes in principal
amount equal to the unredeemed portion will be issued;
(D) the name and address of the
Paying Agent;
(E) that Notes called for redemption
must be surrendered to the Paying Agent to collect the redemption
price;
(F) that unless the Company defaults
in making the redemption payment, interest on Notes called for
redemption ceases to accrue on and after the Redemption Date;
(G) which subsection of
Section 5 of the Notes is the provision of the Notes pursuant
to which the redemption is occurring; and
(H) the aggregate principal amount of
Notes that are being redeemed.
At the
Company’s written request made at least five Business Days
prior to the date on which notice is to be given, the Trustee shall
give the notice of redemption in the Company’s name and at
the Company’s sole expense.
SECTION
3.04 Effect of Notice of Redemption.
Once
the notice of redemption described in Section 3.03 is mailed,
Notes called for redemption become due and payable on the
Redemption Date and at the redemption price, including any premium,
plus interest accrued to the Redemption Date. Upon surrender to the
Paying Agent, such Notes shall be paid at the redemption price,
including any premium, plus interest accrued to the Redemption
Date; provided that if the Redemption Date is after a regular
record date and on or prior to the Interest Payment Date, the
accrued interest shall be payable to the Holder of the redeemed
Notes registered on the relevant record date; and provided,
further, that if a Redemption Date is a Legal Holiday, payment
shall be made on the next succeeding Business Day and no interest
shall accrue for the period from such Redemption Date to such
succeeding Business Day. Such notice, if mailed in the manner
provided in Section 3.03, shall be conclusively presumed to
have been given whether or not the Holder receives such
notice.
SECTION
3.05 Deposit of Redemption Price.
On or
prior to 10:00 A.M., New York City time, on each Redemption
Date, the Company shall deposit with the Paying Agent in
immediately available funds money sufficient to pay the redemption
price of, including premium, if any, and accrued interest on all
Notes to be redeemed on that date other than Notes or portions
thereof called for redemption on that date which have been
delivered by the Company to the Trustee for cancellation.
On and
after any Redemption Date, if money sufficient to pay the
redemption price of, including premium, if any, and accrued
interest on Notes called for redemption shall have been made
available in accordance with the immediately preceding paragraph,
the Notes
45
called
for redemption will cease to accrue interest and the only right of
the Holders of such Notes will be to receive payment of the
redemption price of and, subject to the first proviso in
Section 3.04, accrued and unpaid interest on such Notes to the
Redemption Date. If any Note surrendered for redemption shall not
be so paid, interest will be paid, from the Redemption Date until
such redemption payment is made, on the unpaid principal of the
Note and any interest not paid on such unpaid principal, in each
case at the rate and in the manner provided in the Notes.
SECTION
3.06 Notes Redeemed in Part.
Upon
surrender of a Note that is redeemed in part, the Company shall
execute and the Trustee shall authenticate for the Holder thereof a
new Note equal in principal amount to the unredeemed portion of the
original Note in the name of the Holder upon cancellation of the
original Note surrendered, except that if a Global Note is so
surrendered, the Company shall execute and the Trustee shall
authenticate and deliver to the Depository, a new Global Note in
denomination equal to and in exchange for the unredeemed portion of
the principal of the Global Note so surrendered.
SECTION
3.07 Sinking Fund.
The
Company is not required to make any sinking fund payments with
respect to the Notes.
ARTICLE FOUR
COVENANTS
SECTION
4.01 Payment of Notes.
The
Company shall pay the principal of and interest on the Notes on the
dates and in the manner provided in the Notes and this Indenture.
An installment of principal or interest shall be considered paid on
the date it is due if the Trustee or Paying Agent holds on that
date money designated for and sufficient to pay such
installment.
The
Company shall pay interest on ov
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