Exhibit 4.2
ENBRIDGE ENERGY PARTNERS, L.P.
as Issuer
and
U.S. BANK NATIONAL ASSOCIATION
as Trustee
$400,000,000
SERIES A AND SERIES B
6.50% NOTES DUE 2018
SEVENTH
SUPPLEMENTAL
INDENTURE
Dated as of April 3, 2008
TABLE OF
CONTENTS
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Page
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ARTICLE I
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ESTABLISHMENT OF NEW
SERIES
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1
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Section 1.01.
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Establishment of
New Series
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1
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ARTICLE II
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DEFINITIONS AND
INCORPORATION BY REFERENCE
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2
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Section 2.01.
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Definitions
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Section 2.02.
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Other
Definitions
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3
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ARTICLE III
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THE NOTES
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3
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Section 3.01.
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Form
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Section 3.02.
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Issuance of
Additional Notes
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Section 3.03.
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Transfer of
Transfer Restricted Securities
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Section 3.04.
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Restrictive
Legends
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ARTICLE IV
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REDEMPTION
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Section 4.01.
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Optional
Redemption
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Section 4.02.
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Mandatory
Redemption
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ARTICLE V
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COVENANT
SUPPLEMENTS
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Section 5.01.
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Covenants of the
Partnership
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ARTICLE VI
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ADDITIONAL EVENT OF
DEFAULT
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Section 6.01.
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Events of
Default
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ARTICLE VII
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MISCELLANEOUS
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Section 7.01.
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Integral
Part
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Section 7.02.
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Additional
Interest
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Section 7.03.
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Adoption,
Ratification and Confirmation
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Section 7.04.
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Counterparts
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Section 7.05.
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Governing
Law
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Section 7.06.
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Trustee Makes No
Representation
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EXHIBITS
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Exhibit A:
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Form of
Note
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Exhibit B:
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Form of
Supplemental Indenture
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Exhibit C:
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Certificate to be
Delivered Upon Exchange or Registration of Transfer of Securities
Pursuant to Rule 144A
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Exhibit D:
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Certificate to be
Delivered in Connection with Transfers Pursuant to Regulation
S
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i
SEVENTH SUPPLEMENTAL
INDENTURE dated as of April 3, 2008
(this “ Supplemental
Indenture ”), between Enbridge Energy Partners, L.P.,
a Delaware limited partnership (the “ Partnership ” or the “
Issuer ”), and U.S.
Bank National Association, a national banking association, as
successor trustee to SunTrust Bank (the “ Trustee ”),
W I T N E S S E T
H:
WHEREAS, the Issuer
has heretofore entered into an Indenture, dated as of
May 27, 2003 (the “ Original Indenture ”), with
SunTrust Bank, as trustee;
WHEREAS, the
Original Indenture, as supplemented by this Supplemental Indenture,
is herein called the “ Indenture ”;
WHEREAS, under the
Original Indenture, the form and terms of a new series of Debt
Securities may at any time be established by a supplemental
Indenture executed by the Issuer and the Trustee;
WHEREAS, the Issuer
proposes to create under the Indenture a new series of Debt
Securities;
WHEREAS, additional
Debt Securities of other series hereafter established, except as
may be limited in the Original Indenture as at the time
supplemented and modified, may be issued from time to time pursuant
to the Original Indenture as at the time supplemented and modified;
and
WHEREAS, all
conditions necessary to authorize the execution and delivery of
this Supplemental Indenture and to make it a valid and binding
obligation of the Issuer have been done or performed.
NOW, THEREFORE, in
consideration of the agreements and obligations set forth herein
and for other good and valuable consideration, the sufficiency of
which is hereby acknowledged, the parties hereto hereby agree as
follows:
ARTICLE I
ESTABLISHMENT OF NEW SERIES
Section 1.01.
Establishment of New Series . (a) There is hereby
established a new series of Debt Securities to be issued under the
Indenture, to be designated as the Issuer’s 6.50% Notes due
2018 (the “ Notes
”). As provided in Article II hereof, the Notes shall be
issued as either Series A Notes or Series B Notes, and
any Notes may have such additional designation.
(b)
There are to be authenticated and delivered $400,000,000 principal
amount of Series A Notes on the Issue Date, and from time to
time thereafter there may be authenticated and delivered an
unlimited principal amount of Additional Notes. Further, from time
to time after the Issue Date, Series B Notes may be
authenticated and delivered in a principal amount equal to the
principal amount of the Series A Notes exchanged therefor
pursuant to an Exchange Offer.
(c)
The Notes shall be issued initially in the form of one or more
Global Securities in substantially the form set out in
Exhibit A hereto. The Depositary with respect to
the Notes shall be The Depository Trust Company.
(d)
Initially, there shall be no Subsidiary Guarantors. Each Note
shall be dated the date of authentication thereof and shall bear
interest as provided in paragraph 1 of the form of Note in
Exhibit A hereto.
(e)
If and to the extent that the provisions of the Original Indenture
are duplicative of, or in contradiction with, the provisions of
this Supplemental Indenture, the provisions of this Supplemental
Indenture shall govern.
ARTICLE II
DEFINITIONS AND INCORPORATION BY REFERENCE
Section 2.01.
Definitions . All capitalized terms used herein and
not otherwise defined below shall have the meanings ascribed
thereto in the Original Indenture. The following are
additional definitions used in this Supplemental
Indenture:
“ Additional Interest ” means all
additional interest owing on the Notes pursuant to a registration
default under a Registration Rights Agreement.
“ Exchange Offer ” means the offer
by the Issuer to the Holders of all outstanding Transfer Restricted
Securities to exchange all such outstanding Transfer Restricted
Securities held by such Holders for Series B Notes, in an
aggregate principal amount equal to the aggregate principal amount
of the Transfer Restricted Securities tendered in such exchange
offer by such Holders.
“ Freely
Tradable ” means, at any time of determination, with
respect to any Transfer Restricted Securities, that such Transfer
Restricted Securities may be sold to the public pursuant to
Rule 144 by a person that is not an “affiliate”
(as defined in Rule 144) of the Issuer without regard to any
of the conditions specified therein (other than the holding period
requirement in paragraph (d) of Rule 144 so long as such
holding period requirement is satisfied at such time of
determination).
“ Initial
Purchasers ” means, collectively, Banc of America
Securities LLC, Deutsche Bank Securities Inc., HSBC Securities
(USA) Inc., CIBC World Markets Corp., RBC Capital Markets
Corporation, Scotia Capital (USA) Inc., TD Securities (USA) LLC,
BMO Capital Markets Corp., Mitsubishi UFJ Securities International
plc and National Bank of Canada Financial Inc.
“ Notes ” has the meaning assigned
to it in Section 1.01(a) hereof, and includes
both the Series A Notes and the Series B
Notes.
“ Registration Rights Agreement ”
means (a) the Registration Rights Agreement among the
Partnership and the Initial Purchasers dated the Issue Date
relating to the Series A Notes issued on such date and
(b) any similar agreement that the Issuer may enter into in
relation to any
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other Series A Notes, in each case as such
agreement may be amended or modified from time to time.
“ Rule 144 ” means
Rule 144 promulgated under the Securities Act, as amended from
time to time.
“ Series A Notes ” means the
Issuer’s 6.50% Series A Notes due 2018 to be issued
pursuant to this Supplemental Indenture.
“ Series B Notes ” means the
Issuer’s 6.50% Series B Notes due 2018 to be issued
pursuant to an Exchange Offer.
“ Transfer Restricted Securities ”
means any Notes and Additional Notes outstanding prior to the
Resale Restriction Termination Date with respect to such Notes and
that must bear the legend required under Section 3.04
hereof.
Section 2.02.
Other Definitions
Term
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Defined
in
Section
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“ Additional Notes ”
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3.02
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“ QIBs ”
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3.01
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“ Regulation S ”
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3.01
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“ Resale Restriction Termination Date
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3.04
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“ Rule 144A ”
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3.01
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“ U.S. Persons ”
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3.01
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ARTICLE III
THE NOTES
Section 3.01.
Form . The Notes shall be issued initially in the form
of one or more Global Securities as Series A Notes, and the
Series A Notes and Trustee’s certificate of
authentication shall be substantially in the form of
Exhibit A hereto, the terms of which are incorporated
in and made a part of this Supplemental Indenture, and the Issuer
and the Trustee, by their execution and delivery of this
Supplemental Indenture, expressly agree to such terms and
provisions and to be bound thereby. The Series A Notes
constituting Transfer Restricted Securities will be resold
initially only to (a) Qualified Institutional Buyers (as such
term is defined in Section 144A of the Securities Act)
(“ QIBs ”) in
reliance on Rule 144A of the Securities Act (“
Rule 144A ”) and
(b) Persons other than U.S. Persons (as defined under
Regulation S under the Securities Act (“ Regulation S ”)) (“
U.S. Persons ”) in
reliance on Regulation S. Thereafter, the Series A Notes
may be transferred to, among others, QIBs and Persons other than
U.S. Persons in reliance upon Regulation S. Pursuant to the
terms of the Registration Rights Agreement, upon consummation of
the Exchange Offer contemplated thereby, the Series A Notes
constituting Transfer Restricted Securities will be exchanged by
the Holders for Series B Notes to be issued by the Issuer in
accordance with Section 3.03 hereof.
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The
Series B Notes shall be issued initially in the form of one or
more Global Securities, and the Series B Notes and the
Trustee’s certificate of authentication shall be
substantially in the form of Exhibit A hereto.
Section 3.02.
Issuance of Additional Notes . The Issuer may, from
time to time, issue an unlimited amount of additional Series A
Notes (“ Additional
Notes ”) under the Indenture, which shall be issued
in the same form as the Series A Notes issued on the Issue
Date and which shall have identical terms as the Series A
Notes issued on the Issue Date other than with respect to the issue
date, issue price and date of first payment of interest. The
Series A Notes issued on the Issue Date shall be limited in
aggregate principal amount to $400,000,000. The Series A
Notes issued on the Issue Date and any Additional Notes
subsequently issued, together with any Series B Notes issued
in exchange therefor pursuant to an Exchange Offer, shall be
treated as a single series for purposes of giving of notices,
consents, waivers, amendments and taking any other action permitted
under the Indenture and for purposes of interest accrual and
redemptions.
Section 3.03.
Transfer of Transfer Restricted Securities .
(a)
When Notes are presented to the Registrar with the request to
register the transfer of such Notes or exchange such Notes for an
equal principal amount of Notes of other authorized denominations,
the Registrar shall register the transfer or make the exchange in
accordance with Article II of the Original Indenture. In
addition, in the case of Series A Notes that are Transfer
Restricted Securities, such request to register the transfer or
make the exchange shall be accompanied by the following additional
information and documents, as applicable, upon which the Registrar
may conclusively rely:
(1)
if such Transfer Restricted Securities are being delivered to the
Registrar by a Holder for registration in the name of such Holder,
without transfer, a certification from such Holder to that effect
in substantially the form of Exhibit C hereto;
or
(2)
if such Transfer Restricted Securities are being transferred
(i) to a QIB in accordance with Rule 144A under the
Securities Act or (ii) pursuant to an exemption from
registration in accordance with Rule 144 (and based upon an
opinion of counsel if the Issuer or the Trustee so requests) or
(iii) pursuant to an effective registration statement under
the Securities Act, a certification to that effect from such Holder
in substantially the form of Exhibit C hereto;
or
(3)
if such Transfer Restricted Securities are being transferred to
Persons other than U.S. Persons in reliance on Regulation S, a
certification to that effect from such Holder in substantially the
form of Exhibit D hereto; or
(4)
if such Transfer Restricted Securities are being transferred in
reliance on another exemption from the registration requirements of
the Securities Act (and based upon an opinion of counsel if the
Issuer or the Trustee so requests), a certification to that effect
from such Holder in substantially the form of Exhibit C
hereto.
(b)
Upon any sale or transfer of a Transfer Restricted Security
(including any Transfer Restricted Security represented by a Global
Security) pursuant to Rule 144 or an effective registration
statement under the Securities Act:
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(1)
in the case of any Transfer Restricted Security that is in the form
of a definitive Note, the Registrar shall permit the Holder thereof
to exchange such Transfer Restricted Security for a definitive Note
that does not bear the legend set forth in
Section 3.04(a) below and rescind any restriction
on the transfer of such Transfer Restricted Security;
and
(2)
in the case of any Transfer Restricted Security represented by a
Global Security, such Transfer Restricted Security shall not be
required to bear the legend set forth in
Section 3.04(a) below if all other interests in
such Global Security have been or are concurrently being sold or
transferred pursuant to Rule 144 or pursuant to an effective
registration statement under the Securities Act.
Notwithstanding the foregoing, upon
consummation of an Exchange Offer, the Issuer shall issue and, upon
receipt of an authentication order in accordance with
Section 2.05 of the Original Indenture, the Trustee shall
authenticate Series B Notes in exchange for Series A
Notes accepted for exchange in the Exchange Offer, which
Series B Notes shall not bear the legend set forth in
Section 3.04(a) below, and the Registrar shall
rescind any restriction on the transfer of such Notes, in each case
unless the Holder of such Series A Notes is either (A) a
Person participating in the distribution of the Series A Notes
or (B) a Person who is an affiliate (as defined in
Rule 144) of the Issuer. The Issuer shall identify to
the Trustee such Holders of the Notes in a written certification
signed by an officer of the Issuer and, absent certification from
the Issuer to such effect, the Trustee shall assume that there are
no such Holders. In addition, at such time as beneficial
interests in Transfer Restricted Securities are Freely Tradable
(based upon an opinion of counsel if the Issuer or the Trustee so
requests), the Issuer shall issue and, upon receipt of an
authentication order in accordance with Section 2.02 of the
Original Indenture, the Trustee shall authenticate and deliver one
or more Global Securities that do not bear the legend set forth in
Section 3.04(a) below in exchange for each
outstanding Global Security that is a Transfer Restricted Security
in the appropriate principal amount. Simultaneously with the
authentication of such Global Security, the Trustee shall cancel
the corresponding Global Securities that bore the legend set forth
in Section 3.04(a) below.
(c)
Upon any sale or transfer of a Transfer Restricted Security in
definitive form initially resold to Persons other than U.S. Persons
in reliance upon Regulation S pursuant to (i) Regulation S
following 40 consecutive days beginning on and including the later
of the day on which such Transfer Restricted Security was offered
to Persons other than “distributors” (as such term is
defined in Regulation S) and the date of the closing of the
original offering, or (ii) an effective registration statement
under the Securities Act, the Registrar shall permit the Holder
thereof to exchange such Transfer Restricted Security for a
definitive Note that does not bear the legend referred to in
Section 3.04(b) below and rescind any restriction
on the transfer of such Transfer Restricted Security.
Section 3.04.
Restrictive Legends .
(a)
Except as provided in Section 3.03 hereof, prior to the
Resale Restriction Termination Date, each security certificate
evidencing the Notes shall bear a legend in substantially the
following form:
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THIS NOTE HAS NOT BEEN
REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE
‘‘SECURITIES ACT’’), OR ANY STATE
SECURITIES LAWS. NEITHER THIS NOTE NOR ANY INTEREST OR
PARTICIPATION HEREIN MAY BE OFFERED, SOLD, ASSIGNED,
TRANSFERRED, PLEDGED, ENCUMBERED OR OTHERWISE DISPOSED OF IN THE
ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH TRANSACTION IS EXEMPT
FROM, OR NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE
SECURITIES ACT. THE HOLDER OF THIS NOTE BY ITS ACCEPTANCE HEREOF
AGREES NOT TO OFFER, SELL OR OTHERWISE TRANSFER SUCH SECURITY,
PRIOR TO THE DATE THAT IS ONE YEAR (OR SUCH SHORTER PERIOD OF TIME
AS PERMITTED BY RULE 144 UNDER THE SECURITIES ACT OR ANY SUCCESSOR
PROVISION THEREUNDER) AFTER THE LATER OF THE ORIGINAL ISSUE DATE
HEREOF (OR OF ANY PREDECESSOR OF THIS NOTE) AND THE LAST DATE ON
WHICH THE ISSUER OR ANY AFFILIATE OF THE ISSUER WAS THE OWNER OF
THIS NOTE (OR ANY PREDECESSOR OF THIS NOTE) (THE
‘‘RESALE RESTRICTION TERMINATION DATE’’)
EXCEPT (A) TO THE ISSUER OR ANY SUBSIDIARY THEREOF,
(B) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE
SECURITIES ACT (AND THAT CONTINUES TO BE EFFECTIVE AT THE TIME OF
SUCH TRANSFER), (C) FOR SO LONG AS THE NOTES ARE ELIGIBLE FOR
RESALE PURSUANT TO RULE 144A UNDER THE SECURITIES ACT
(‘‘RULE 144A’’), TO A PERSON IT REASONABLY
BELIEVES IS A ‘‘QUALIFIED INSTITUTIONAL
BUYER’’ AS DEFINED IN RULE 144A THAT PURCHASES FOR ITS
OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL BUYER
TO WHOM NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN RELIANCE
ON RULE 144A, (D) PURSUANT TO OFFERS AND SALES TO NON-U.S.
PERSONS THAT OCCUR OUTSIDE THE UNITED STATES WITHIN THE MEANING OF
REGULATION S UNDER THE SECURITIES ACT OR (E) PURSUANT TO
ANOTHER AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF
THE SECURITIES ACT, SUBJECT TO THE ISSUER’S AND THE
TRUSTEE’S RIGHT PRIOR TO ANY SUCH OFFER, SALE OR TRANSFER
(i) PURSUANT TO CLAUSE (D) PRIOR TO THE END OF THE 40-DAY
DISTRIBUTION COMPLIANCE PERIOD WITHIN THE MEANING OF REGULATION S
UNDER THE SECURITIES ACT OR PURSUANT TO CLAUSE (E) PRIOR TO
THE RESALE RESTRICTION TERMINATION DATE TO REQUIRE THE DELIVERY OF
AN OPINION OF COUNSEL, CERTIFICATION AND/OR OTHER INFORMATION
SATISFACTORY TO EACH OF THEM, AND (ii) IN EACH OF THE
FOREGOING CASES, TO REQUIRE THAT A CERTIFICATE OF TRANSFER IN THE
FORM APPEARING ON THIS NOTE IS COMPLETED AND DELIVERED BY THE
TRANSFEROR TO THE TRUSTEE. THIS LEGEND WILL BE REMOVED UPON THE
REQUEST OF A HOLDER AFTER THE RESALE RESTRICTION TERMINATION
DATE.
(b)
Each security certificate evidencing the Global Securities shall
bear a legend substantially in the form set forth in
Section 2.15(a) of the Original Indenture.
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ARTICLE IV
REDEMPTION
Section 4.01.
Optional Redemption .
(a)
At its option, the Issuer may choose to redeem all or any portion
of the Notes, at once or from time to time.
(b)
To redeem the Notes, the Issuer must pay a redemption price in an
amount determined in accordance with the provisions of paragraph
number 5 of the form of Note in Exhibit A hereto, plus
accrued and unpaid interest, if any, including Additional Interest,
if any, to the Redemption Date (subject to the right of Holders on
the relevant record date to receive interest due on the relevant
interest payment date).
(c)
Any redemption pursuant to this Section 4.01 shall
otherwise be made pursuant to the provisions of Sections 3.01
through 3.03 of the Original Indenture. The actual redemption
price, calculated as provided in paragraph number 5 of the form of
Note in Exhibit A hereto, shall be certified in writing
to the Issuer and the Trustee by the Independent Investment Banker
(as defined in such paragraph 5) no later than two Business Days
prior to each Redemption Date.
Section 4.02.
Mandatory Redemption . The Issuer shall not be
required to make mandatory redemption or sinking fund payments with
respect to the Notes and shall have no obligation to repurchase any
Notes at the option of the Holders.
ARTICLE V
COVENANT SUPPLEMENTS
Section 5.01.
Covenants of the Partnership . Article IV of the
Original Indenture is hereby supplemented, but only in relation to
the Notes, by the addition of the following new Section at the
end of Article IV:
“Section 4.14. Subsidiary
Guarantees. If any Subsidiary of the Partnership that is not
then a Subsidiary Guarantor becomes a guarantor or co-obligor of
any Funded Debt of the Partnership, in either case after the Issue
Date, then the Partnership shall cause such Subsidiary to promptly
execute and deliver a supplemental Indenture, substantially in the
form of Exhibit B hereto, providing for the Guarantee
of the payment of the Notes pursuant to Article XIV
hereof.”
ARTICLE VI
ADDITIONAL EVENT OF DEFAULT
Section 6.01.
Events of Default . The following shall be deemed an
Event of Default only with respect to the Notes as provided in
Section 6.01(h) of the Original Indenture:
“(h) default by the
Partnership or any of its Subsidiaries in the payment at the Stated
Maturity, after the expiration of any applicable grace period, of
principal of, premium, if any, or interest on any Debt then
outstanding having a principal amount in excess of the greater of
$25 million and 2% of total partners’
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capital in the Partnership, or acceleration of
any Debt having a principal amount in excess of the greater of such
amounts so that it becomes due and payable prior to its Stated
Maturity and such acceleration is not rescinded within 30 days
after the date on which written notice specifying such default
shall have been given to the Partnership by the Trustee or to the
Partnership and the Trustee by the Holders of at least 25% in
aggregate principal amount of the Notes at the time
Outstanding. The occurrence and continuance of a default
under the foregoing shall be deemed an Event of Default under
Section 6.01(h) of the Original Indenture with respect to
the Notes.”
ARTICLE VII
MISCELLANEOUS
Section 7.01.
Integral Part . This Supplemental Indenture
constitutes an integral part of the Indenture.
Section 7.02.
Additional Interest . In relation to the Notes, all
references to “interest” in the Original Indenture and
in the Notes shall be deemed to include Additional Interest, if
any, unless the context otherwise requires.
Section 7.03.
Adoption, Ratification and Confirmation . The Original
Indenture, as supplemented and amended by this Supplemental
Indenture, is in all respects hereby adopted, ratified and
confirmed.
Section 7.04.
Counterparts . This Supplemental Indenture may be
executed in any number of counterparts, each of which when so
executed shall be deemed an original; and all such counterparts
shall together constitute but one and the same
instrument.
Section 7.05.
Governing Law .
THIS SUPPLEMENTAL INDENTURE AND THE NOTES SHALL BE GOVERNED BY
AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW
YORK.
Section 7.06.
Trustee Makes No Representation . The Trustee makes no
representation as to the validity or sufficiency of this
Supplemental Indenture.
[Signatures on
following page]
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SIGNATURES
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ISSUER:
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ENBRIDGE ENERGY PARTNERS,
L.P.
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By:
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Enbridge Energy
Management, L.L.C.,
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as delegate of Enbridge
Energy Company, Inc.,
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its
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