AMENDED AND RESTATED STOCKHOLDERS' AGREEMENT

Exhibit 10.4

AMENDED AND RESTATED STOCKHOLDERS’ AGREEMENT

This AMENDED AND RESTATED STOCKHOLDERS’ AGREEMENT (including Appendix A hereto, as such Appendix A may be amended from time to time pursuant to the provisions hereof, this " Agreement "), is made and entered into as of November 6, 2006, by and among LAZ-MD Holdings LLC, a Delaware limited liability corporation (" LAZ-MD "), the individuals listed on the signature page hereto, and, solely for the purposes of Articles I, II, IV and V hereto, Lazard Ltd, an exempted Bermuda limited company (" Lazard Ltd ").

W I T N E S S E T H:

WHEREAS, the Covered Persons (as defined below) are beneficial owners of Class II Interests (as defined below) of LAZ-MD; and

WHEREAS, LAZ-MD holds the outstanding share of Class B Common Stock, par value $0.01 per share, of Lazard Ltd (" Class B Common Stock "); and

WHEREAS, LAZ-MD and Lazard Ltd are parties to that certain Master Separation Agreement (the " Master Separation Agreement "), dated as of May 10, 2005, with Lazard Group (as defined below) and LFCM Holdings LLC, a Delaware limited liability company, as amended, pursuant to which, inter alia , the parties thereto have agreed to the exchange of Class II Interests effectively for Class A Common Stock, par value $0.01 per share, of Lazard Ltd (the " Common Stock "); and

WHEREAS, the parties hereto have entered into that certain Stockholders’ Agreement, dated as of May 10, 2005 (the " Original Agreement "), in order to provide for certain voting arrangements with respect to the Class B Common Stock and to grant certain registration rights to the Covered Persons; and

WHEREAS, the parties to the Original Agreement desire to amend and restate the Original Agreement to read in its entirety as set forth herein.

NOW, THEREFORE, in consideration of the premises and of the mutual agreements, covenants and provisions herein contained, the parties hereto agree as follows:

ARTICLE I

DEFINITIONS AND OTHER MATTERS

Section 1.1 Definitions . Capitalized terms used in this Agreement without other definition shall, unless expressly stated otherwise, have the meanings specified in this Section 1.1:

• (a) " Agreement " has the meaning ascribed to such term in the Recitals.

  (b) A " beneficial owner " of a security includes any person who, directly or indirectly, through any contract, arrangement, understanding, relationship or otherwise has or shares: (i) voting power, which includes the power to vote, or to direct the voting of, such security and/or (ii) investment power, which includes the power to dispose, or to direct the disposition of, such security, but for purposes of this Agreement a person shall not be deemed a beneficial owner of (A) Covered Interests solely by virtue of the application of Exchange Act Rule 13d-3(d) or Exchange Act Rule 13d-5 as in effect on the date hereof, (B) Covered Interests solely by virtue of the possession of the legal right to vote securities under applicable state or other law (such as by proxy or power of attorney), or (C) Covered Interests held of record by a "private foundation" subject to the requirements of Section 509 of the Code. " Beneficially own " and " beneficial ownership " shall have correlative meanings.

  (c) " Board " means the Board of Directors of LAZ-MD.

  (d) " Board Review " has the meaning set forth in Section 5.4(b).

  (e) " Class B Common Stock " has the meaning ascribed to such term in the Recitals.

  (f) " Class II Interest " means, with respect to any Covered Person, such Covered Person’s "Class II Interest" as defined in the Operating Agreement.

  (g) " Common Stock " has the meaning ascribed to such term in the Recitals.

  (h) " Continuing Provisions " has the meaning ascribed to such term in Section 5.1(b).

  (i) " Covered Interest " means, with respect to a Covered Person, such Covered Person’s Class II Interest or Lazard Group Common Interest, as the case may be.

  (j) " Covered Persons " means those persons from time to time who are listed on Appendix A hereto and who have become parties to this Agreement, in each case in accordance with the terms hereof.

  (k) " Damages " has the meaning set forth in Section 4.6.

  (l) " Delaware Arbitration Act " has the meaning set forth in Section 5.4(d).

  (m) " Demand Notice " has the meaning set forth in Section 4.2(a).

  (n) " Demand Registration " has the meaning set forth in Section 4.2(a).

  (o) " Demand Requesting Covered Persons " has the meaning set forth in Section 4.2(a).

  (p) " Disputes " has the meaning set forth in Section 5.4(b).

  (q) " Exchange Act " means the Securities Exchange Act of 1934, as amended, and the rules and regulations promulgated thereunder, and as each of the foregoing may be further amended from time to time.

  (r) " Filing " has the meaning set forth in Section 3.5.

  (s) " Governmental Authority " means any national, local or foreign (including U.S. federal, state or local) or supranational (including European Union) governmental, judicial, administrative or regulatory (including self-regulatory) agency, commission, department, board, bureau, entity or authority of competent jurisdiction.

  (t) " ICC " has the meaning set forth in Section 5.4(b).

  (u) " ICC Rules " has the meaning set forth in Section 5.4(b).

  (v) " Indemnified Party " has the meaning set forth in Section 4.8.

  (w) " Indemnifying Party " has the meaning set forth in Section 4.8.

  (x) " IPO Date " means the closing date of the initial public offering of the Common Stock, which occurred on the date hereof.

  (y) " LAZ-MD " has the meaning ascribed to such term in the Recitals.

  (z) " Lazard Ltd " has the meaning ascribed to such term in the Recitals.

  (aa) " Lazard Group " means Lazard Group LLC, a Delaware limited liability company.

  (bb) " Lazard Group Common Interest " means, with respect to any Covered Person, such Covered Person’s "Common Interest" as defined in the Lazard Group Operating Agreement.

  (cc) " Lazard Group Operating Agreement " means the Operating Agreement of Lazard Group LLC, as amended and restated as of May 10, 2005, and as amended and further amended from time to time hereafter.

  (dd) " LFCM " means LFCM Holdings LLC, a Delaware limited liability company.

  (ee) " LFCM Operating Agreement " means the Operating Agreement of LFCM Holdings LLC, as amended and restated as of May 10, 2005, and as amended and further amended from time to time hereafter.

2

• (ff) " Master Separation Agreement " has the meaning ascribed to such term in the Recitals.

  (gg) " Minimum Demand Number " means, as of any particular date, that number of shares of Common Stock equal to the lesser of (a) the quotient obtained by dividing (i) $50,000,000 by (ii) the Stock Price as of such date; provided , however , that on and after the six months following the nine-year anniversary of the IPO Date, "$50,000,000" in this definition shall be replaced with "$20,000,000," and (b) 2,000,000.

  (hh) " Minimum Share Number " means that number of shares of Common Stock equal to the lesser of (a) the quotient obtained by dividing (i) $50,000,000 by (ii) the Stock Price as of the applicable anniversary of the IPO Date and (b) 2,000,000.

  (ii) " Operating Agreement " means the Operating Agreement of LAZ-MD Holdings LLC, as amended and restated as of May 10, 2005, and as amended and further amended from time to time hereafter.

  (jj) " Periodic Filing Date " means the date of the first to occur following the applicable anniversary of the IPO Date of the filing of the Form 10-K or Form 10-Q of Lazard Ltd with the SEC under the Exchange Act.

  (kk) " Permitted Transfer " has the meaning set forth in Section 5.1(c).

  (ll) " Piggyback Registration " has the meaning set forth in Section 4.3(a).

  (mm) " Preliminary Vote " has the meaning set forth in Section 3.1.

  (nn) " Public Offering " means an underwritten public offering pursuant to an effective registration statement under the Securities Act, other than pursuant to a registration statement on Forms S-4 or S-8 or any similar or successor form.

  (oo) " Registration Expenses " means any and all expenses incident to the performance of or compliance with any registration or marketing of securities, including all (i) registration and filing fees, and all other fees and expenses payable in connection with the listing of securities on any securities exchange or automated interdealer quotation system, (ii) fees and expenses of compliance with any securities or "blue sky" laws (including reasonable fees and disbursements of counsel in connection with "blue sky" qualifications of the securities registered), (iii) expenses in connection with the preparation, printing, mailing and delivery of any registration statements, prospectuses and other documents in connection therewith and any amendments or supplements thereto, (iv) security engraving and printing expenses, (v) internal expenses of Lazard Ltd (including, without limitation, all salaries and expenses of its officers and employees performing legal or accounting duties), (vi) reasonable fees and disbursements of counsel for Lazard Ltd and customary fees and expenses for independent certified public accountants retained by Lazard Ltd (including the expenses relating to any comfort letters or costs associated with the delivery by independent certified public accountants of any comfort letters requested pursuant to Section 4.5(h)), (vii) reasonable fees and expenses of any special experts retained by Lazard Ltd in connection with such registration, (viii) reasonable fees, out-of-pocket costs and expenses of the Covered Persons, including one counsel for all of the Covered Persons participating in the offering selected by the Covered Persons holding the majority of the Registrable Securities to be sold for the account of all Covered Persons in the offering, (ix) fees and expenses in connection with any review by the NASD of the underwriting arrangements or other terms of the offering, and all fees and expenses of any "qualified independent underwriter," including the fees and expenses of any counsel thereto, (x) fees and disbursements of underwriters customarily paid by issuers or sellers of securities, but excluding any underwriting fees, discounts and commissions attributable to the sale of Registrable Securities, (xi) costs of printing and producing any agreements among underwriters, underwriting agreements, any "blue sky" or legal investment memoranda and any selling agreements and other documents in connection with the offering, sale or delivery of the Registrable Securities, (xii) transfer agents’ and registrars’ fees and expenses and the fees and expenses of any other agent or trustee appointed in connection with such offering, (xiii) expenses relating to any analyst or investor presentations or any "road shows" undertaken in connection with the registration, marketing or selling of the Registrable Securities, (xiv) fees and expenses payable in connection with any ratings of the

3

• Registrable Securities, including expenses relating to any presentations to rating agencies and (xv) all out-of-pocket costs and expenses incurred by Lazard Ltd or its appropriate officers in connection with their compliance with Section 4.5(l).

  (pp) " Registrable Securities " means all shares of Common Stock (and any securities issued or issuable in respect of such Common Stock by way of conversion, exchange, stock dividend, split or combination, recapitalization, merger, amalgamation, consolidation, other reorganization or otherwise) that are received by Covered Persons (or then eligible for receipt by Covered Persons pursuant to an MD Exchange under the Master Separation Agreement (to the extent that such Covered Persons’ LAZ-MD Holdings Class II Interests or Lazard Group Common Interests (or applicable portions thereof) is exchangeable pursuant to an MD Exchange), assuming compliance with applicable procedural requirements) in exchange for (1) Class II Interests of Covered Persons or (2) Lazard Group Common Interests of Covered Persons (collectively, " MD Exchangeable Interests ") that are received in exchange for such Covered Persons’ Class II Interests, in each case, pursuant to Section 7.04 of the Operating Agreement (" Covered Shares ") and that may be deemed "restricted securities" as defined in Rule 144(a)(3) under the Securities Act; provided , that Covered Shares that are eligible for sale under Rule 144(k) of the Securities Act shall cease to be Registrable Securities; provided , however , that in the event that a Covered Person beneficially owns Covered Shares that, in the aggregate, total a number of shares of Common Stock equal to or greater than the quotient obtained by dividing (x) $25,000,000 by (y) the Stock Price as of five Business Days prior to the expected effectiveness of the applicable registration statement, any such Covered Shares that would have ceased to be Registrable Securities pursuant to the immediately foregoing proviso shall continue to be Registrable Securities so long as such Covered Person beneficially owns Covered Shares totaling at least such value as of each such applicable measurement date. A share of Common Stock (and any securities issued or issuable in respect of such Common Stock by way of conversion, exchange, stock dividend, split or combination, recapitalization, merger, amalgamation, consolidation, other reorganization or otherwise) shall cease to be a Registrable Security upon any sale of such share of Common Stock (or, as applicable, such securities issued or issuable in respect of Common Stock by way of conversion, exchange, stock dividend, split or combination, recapitalization, merger, amalgamation, consolidation, other reorganization or otherwise) to the public pursuant to, and in accordance with, a registration statement, including any registration statements contemplated hereby, or pursuant to Rule 144 under the Securities Act, Regulation S under the Securities Act or Section 4(1) of the Securities Act.

  (qq) " Restricted Person " means any person that is not (i) a Covered Person or (ii) a director, officer or employee of LAZ-MD acting in such person’s capacity as a director, officer or employee.

  (rr) " SEC " means the Securities and Exchange Commission.

  (ss) " Securities Act " means the Securities Act of 1933, as amended, and the rules and regulations promulgated thereunder, and as each of the foregoing may be further amended from time to time.

  (tt) " Stock Price " means, as of any particular date, the closing price as of such date of a share of Common Stock on the primary national securities exchange on which the Common Stock is traded, as reported by Bloomberg L.P. or, if Bloomberg L.P. is not available, as determined by another reputable third-party information source selected by Lazard Ltd.

  (uu) " Subsidiary " means, with respect to any person, any corporation, limited liability company, company, partnership, trust, association or other legal entity or organization of which such person (either directly or through one or more subsidiaries of such person) (a) owns, directly or indirectly, a majority of the capital stock or other equity interests the holders of which are generally entitled to vote for the election of the board of directors or other governing body of such corporation, limited liability company, partnership, trust, association or other legal entity or organization, or (b) is otherwise entitled to exercise (1) a majority of the voting power generally in the election of the board of directors or other governing body of such corporation, limited liability company, partnership, trust, association or other legal entity or organization or (2) control of such corporation, limited liability company, partnership, trust, association or other legal entity or organization.

4

• (vv) " Transfer " means, with respect to any Covered Interests, (i) when used as a verb, to sell, assign, dispose of, exchange, pledge, encumber, hypothecate or otherwise transfer such Covered Interests or any participation or interest therein, whether directly or indirectly, or agree or commit to do any of the foregoing, and (ii) when used as a noun, a direct or indirect sale, assignment, disposition, exchange, pledge, encumbrance, hypothecation, or other transfer of such Covered Interests or any participation or interest therein or any agreement or commitment to do any of the foregoing.

Section 1.2 Definitions Generally . Wherever required by the context of this Agreement, the singular shall include the plural and vice versa, and the masculine gender shall include the feminine and neuter genders and vice versa, and references to any agreement, document or instrument shall be deemed to refer to such agreement, document or instrument as amended, supplemented or modified from time to time. When used herein:

• (a) the word "or" is not exclusive;

  (b) the words "including," "includes," "included" and "include" are deemed to be followed by the words "without limitation";

  (c) the terms "herein," "hereof" and "hereunder" and other words of similar import refer to this Agreement as a whole and not to any particular section, paragraph or subdivision;

  (d) the word "person" means any individual, corporation, limited liability company, trust, joint venture, association, company, partnership or other legal entity or a government or any department or agency thereof or self-regulatory organization; and

  (e) all section, paragraph or clause references not attributed to a particular document shall be references to such parts of this Agreement, and all exhibit, annex and schedule references not attributed to a particular document shall be references to such exhibits, annexes and schedules to this Agreement.

ARTICLE II

REPRESENTATIONS AND WARRANTIES

Section 2.1 Representations and Warranties of Covered Persons .

• (a) Each Covered Person severally represents and warrants to each of LAZ-MD and Lazard Ltd, as of the date hereof and as of the date of the registration of any of such Covered Person’s Registrable Securities and as of the date of any Demand Notice delivered by or on behalf of such Covered Person, that: such Covered Person has good, valid and marketable title to the Covered Interests and Registrable Securities, as applicable, in each case free and clear of any pledge, lien, security interest, charge, claim, equity or encumbrance of any kind, other than (A) pursuant to this Agreement or another agreement with the issuer of the Covered Interest or Registrable Securities, as the case may be, by which such Covered Person is bound and to which the Covered Interest or Registrable Securities, as applicable, are subject, and (B) in the case of Covered Interests, the Operating Agreement or Lazard Group Operating Agreement, as applicable; and

  (b) Each Covered Person severally represents and warrants to each of LAZ-MD and Lazard Ltd, as of the date hereof and as of the date of the registration of any of such Covered Person’s Registrable Securities and as of the date of any Demand Notice delivered by or on behalf of such Covered Person, if the Covered Person is other than a natural person, with respect to subsections (i) through (x), and if the Covered Person is a natural person, with respect to subsections (iv) through (x) only: (i) such Covered Person is duly organized and validly existing in good standing under the laws of the jurisdiction of such Covered Person’s formation; (ii) such Covered Person has full right, power and authority to enter into and perform this Agreement; (iii) the execution and delivery of this Agreement and the performance of the transactions contemplated herein have been duly authorized, and no further proceedings on the part of such Covered Person are necessary to authorize the execution, delivery and performance of this Agreement; and this Agreement has been duly executed by such Covered Person; (iv) the person signing this Agreement on behalf of such Covered Person has been duly authorized by such Covered Person to do so; (v) this

5

• Agreement constitutes the legal, valid and binding obligation of such Covered Person, enforceable against such Covered Person in accordance with its terms (subject to bankruptcy, insolvency, fraudulent transfer, reorganization, moratorium and similar laws of general applicability relating to or affecting creditors’ rights and to general equity principles); (vi) neither the execution and delivery of this Agreement by such Covered Person nor the consummation of the transactions contemplated herein conflicts with or results in a breach of any of the terms, conditions or provisions of any agreement or instrument to which such Covered Person is a party or by which the material assets of such Covered Person are bound (including the organizational documents of such Covered Person, if such Covered Person is other than a natural person), or constitutes a default under any of the foregoing, or violates any law or regulation; (vii) such Covered Person has obtained all authorizations, consents, approvals and clearances of all courts, governmental agencies and authorities, and any other person, if any (including the spouse of such Covered Person with respect to the interest of such spouse in the Covered Interests or Registrable Securities of such Covered Person if the consent of such spouse is required), required to permit such Covered Person to enter into this Agreement and to consummate the transactions contemplated herein; (viii) there are no actions, suits or proceedings pending, or, to the knowledge of such Covered Person, threatened against or affecting such Covered Person or such Covered Person’s assets in any court or before or by any federal, state, municipal or other governmental department, commission, board, bureau, agency or instrumentality which, if adversely determined, would impair the ability of such Covered Person to perform this Agreement; (ix) the performance of this Agreement will not violate any order, writ, injunction, decree or demand of any court or federal, state, municipal or other governmental department, commission, board, bureau, agency or instrumentality to which such Covered Person is subject; and (x) no statement, representation or warranty made by such Covered Person in this Agreement, nor any information provided by such Covered Person for inclusion in a report filed pursuant to Section 4.5 hereof or in a registration statement filed by Lazard Ltd, contains or will contain any untrue statement of a material fact or omits or will omit to state a material fact necessary in order to make the statements, representations or warranties contained herein or information provided therein not misleading.

Each Covered Person shall promptly notify LAZ-MD and Lazard Ltd of any breaches of such representations or covenants.

ARTICLE III

VOTING AGREEMENT

Section 3.1 Preliminary Vote of Covered Persons . Prior to any vote of the stockholders of Lazard Ltd, there shall be a separate, preliminary vote, on each matter upon which a stockholder vote of Lazard Ltd is then proposed to be taken (each, a " Preliminary Vote "), of the Covered Interests beneficially owned by the Covered Persons. The Preliminary Vote shall be conducted pursuant to procedures established by LAZ-MD, including meetings or by proxy or written instruction by or of the Covered Persons.

Section 3.2 Voting of the Covered Interests . Each Covered Person shall be entitled to instruct LAZ-MD to vote the Class B Common Stock in proportion to the number of votes represented by the shares of Common Stock into which such Covered Interests are then exchangeable under the terms of the Operating Agreement, the Lazard Group Operating Agreement and the Master Separation Agreement on the matter in question by the Covered Interests in the Preliminary Vote, provided , however , that notwithstanding anything herein to the contrary the Board shall have the ability to vote the Class B Common Stock in its discretion (including in a manner different than as instructed by the Covered Persons) if it determines in good faith that such action is in the best interests of LAZ-MD. In the event that a Covered Person fails to participate in the Preliminary Vote, the votes of that Covered Person will be abstained and excluded from the vote for such matters. LAZ-MD shall be obligated (a) to attend as proxy, or cause a person designated by it and acting as lawful proxy to attend as proxy, each meeting of the stockholders of Lazard Ltd and to vote or to cause such designee to vote the Class B Common Stock over which it has the power to vote in accordance with the results of the Preliminary Vote as set forth in this Section 3.2, and (b) to develop procedures governing Preliminary Votes.

6

Section 3.3 Acknowledgements; Determinations .

• (a) Each Covered Person acknowledges and agrees as follows: (i) in the event that any matters shall come before a meeting of stockholders of Lazard Ltd, or of any class of stockholders of Lazard Ltd, or any adjournment or postponement thereof (including matters related to adjournment or postponement thereof), that were not voted upon in a Preliminary Vote, LAZ-MD may vote on such matters as LAZ-MD sees fit in its sole discretion, (ii) LAZ-MD shall be the sole record holder and legal and beneficial owner of the Class B Common Stock and, notwithstanding anything herein to the contrary, this Agreement shall not confer any right, title or interest in, to or under the Class B Common Stock to any Covered Person, and (iii) except as expressly provided in this Article III with respect to the voting of the Class B Common Stock, LAZ-MD shall have the right to take all action, and exercise all rights, with respect to the Class B Common Stock in its sole discretion if it determines in good faith that such action is in the best interest of LAZ-MD, and, notwithstanding anything herein to the contrary, no Covered Person shall, by virtue of being a party to this Agreement, have any right to direct LAZ-MD to exercise, or otherwise directly or indirectly exercise, any rights relating to the Class B Common Stock, whether arising under the Companies Act 1981 of Bermuda and Bye-Laws of Lazard Ltd or otherwise, including the right to nominate directors of Lazard Ltd, propose business for meetings of stockholders of Lazard Ltd or otherwise submit stockholder proposals, call any special meetings of stockholders (or any class thereof) of Lazard Ltd, tender or otherwise transfer the Class B Common Stock or to take any other action in respect of the Class B Common Stock.

  (b) Each Covered Person acknowledges and agrees that all determinations necessary or advisable under this Article III shall be made by the Board, whose determinations shall be final and binding. The Board’s determinations and actions (including waivers) under this Article III need not be uniform and may be made selectively among Covered Persons that are not similarly situated.

  (c) The provisions of Section 9.1 of the Operating Agreement of LAZ-MD are hereby incorporated by reference into this Agreement. Without limiting the foregoing, each Covered Person acknowledges and agrees that the members of the Board in acting under this Agreement shall at all times be acting in their individual capacities and not as directors or officers of LAZ-MD, Lazard Group or Lazard Ltd and, to the fullest extent permitted by law, in so acting or failing to act under this Agreement shall not have any fiduciary duties to the Covered Persons as a member of the Board by virtue of the fact that one or more of such members may also be serving as a director or officer of LAZ-MD, Lazard Group, Lazard Ltd or otherwise.

Section 3.4 Voting Related Expenses . LAZ-MD shall be responsible for all expenses of LAZ-MD and the Board incurred in the operation and administration of Article III, including expenses of proxy solicitation for and tabulation of the Preliminary Vote, expenses incurred in preparing appropriate filings of LAZ-MD and correspondence with the SEC, lawyers’, accountants’, agents’, consultants’, experts’, investment banking and other professionals’ fees, expenses incurred in enforcing the provisions of this Agreement and expenses incurred in maintaining any necessary or appropriate books and records relating to this Agreement.

Section 3.5 Governmental Authorities . LAZ-MD acknowledges that it is solely responsible for any Filings arising solely as a result of its holdings of capital stock of Lazard Ltd. Each Covered Person hereby acknowledges and agrees that, unless otherwise directed by LAZ-MD or Lazard Ltd in writing, such Covered Person shall be solely responsible for making, and shall in a timely manner make, any and all reports, filings or other notifications with any Governmental Authorities, including any reports of beneficial ownership on Schedule 13D or 13G under the Exchange Act, with respect to any rights or interests of such Covered Person under this Article III (each a " Filing ") and shall be solely responsible for the cost and expense thereof. Such Covered Person understands and agrees that neither LAZ-MD nor Lazard Ltd has any related obligations relating to or responsibility for any such Filings. Such Covered Person shall cooperate fully with the other Covered Persons to achieve the timely filing of any such Filings and any amendments thereto as may be required, and such Covered Person agrees that any information concerning such Covered Person which such Covered Person furnishes in connection with the preparation and filing of any such Filing will be complete and accurate. No fewer than five business days prior to the submission of a Filing, each Covered Person submitting such Filing

7

shall furnish to LAZ-MD and Lazard Ltd copies of such Filing as proposed to be filed. LAZ-MD and Lazard Ltd

shall each have the right to request that the filing Covered Person modify any information contained in such Filing or amendment or supplement thereto, and such Covered Person shall use his reasonable best efforts to comply with such request; provided that compliance with such request shall not cause any Covered Person to violate applicable law or regulation.

Section 3.6 Adjustment upon Changes in Capitalization; Adjustments upon Changes of Control . In the event of any business combination, restructuring, recapitalization or other extraordinary transaction involving LAZ-MD or Lazard Group as a result of which securities of a person other than LAZ-MD or Lazard Group that are exchangeable for Common Stock shall be issued or distributed in exchange for or in replacement of Covered Interests, LAZ-MD and the Covered Persons agree that this Agreement shall also continue in full force and effect with respect to such securities of such other person, and the terms "Covered Interests," "Class II Interests," "Lazard Group Common Interests," "LAZ-MD" and "Lazard Group" shall refer to, as applicable, such securities and such person, respectively. If the Board deems it desirable, any such adjustments may take effect from the record date or another appropriate date. In the event of any business combination, restructuring, recapitalization or other extraordinary transaction involving Lazard Ltd that affects the capital stock of Lazard Ltd, the Board may, in its sole discretion, (a) terminate the provisions of this Article III or (b) adjust the voting structure set forth in this Article III as necessary to preserve the initial intent of such provisions.

Section 3.7 Further Assurances . Each Covered Person agrees to execute such additional documents and take such further action as may be reasonably necessary to effect the provisions of this Article III.

ARTICLE IV

REGISTRATION RIGHTS

Section 4.1 Annual Registration .

• (a) With respect to each of the third through the ninth anniversaries of the IPO Date, Lazard Ltd shall use its reasonable best efforts to effect the registration under the Securities Act of sales by Covered Persons of the following Registrable Securities: (i) all Registrable Securities issuable to Covered Persons in respect of the exchange of Covered Interests in connection with such anniversary date pursuant to the Master Separation Agreement for such period (provided that such Covered Persons shall have complied with the notice provisions with respect thereto set forth in the Master Separation Agreement) and (ii) all other Registrable Securities of any Covered Persons which Registrable Securities are reasonably expected to continue to be Registrable Securities at the expected filing date for the registration statement with respect to such registration and which Covered Persons shall have provided Lazard Ltd with a written request for registration at least 20 business days prior to the applicable anniversary date requesting registration of such Registrable Securities (each such registration, an " Annual Registration "); provided , however , that Lazard Ltd shall not be obligated to file any such registration statement or effect such registration if the amount of all such Registrable Securities does not equal or exceed the Minimum Share Number (including, for purposes of calculating such Minimum Share Number, any Registrable Securities that are issuable pursuant to an MD Exchange in accordance with the terms and subject to the conditions set forth in the Master Separation Agreement such that such Registrable Securities would be capable of being sold in such Annual Registration) as of the date of such filing or registration. Lazard Ltd shall use its reasonable best efforts, subject to the restrictions in Section 4.1(d), to file a registration statement under the Securities Act with respect to each Annual Registration as promptly as reasonably practicable following the applicable Periodic Filing Date.

  (b) An Annual Registration may, at the option of Lazard Ltd, be conducted either as a Public Offering or as a shelf registration; provided, however, that, if Lazard Ltd elects to conduct such offering as a shelf registration, the Board of Directors of LAZ-MD may request within five (5) days after notice thereof that such Annual Registration be conducted as a Public Offering, in which case Lazard Ltd shall conduct such

8

• Annual Registration as a Public Offering. If an Annual Registration prior to the seventh anniversary of the

  IPO Date involves a Public Offering and the managing underwriter advises Lazard Ltd that, in its view, the number of shares of Common Stock required to be included in such Public Offering would adversely impact offering or the market for the Common Stock, Lazard Ltd may in its discretion reduce the number of shares of Common Stock included in such Public Offering, provided that Lazard Ltd shall consult with the Board of Directors of LAZ-MD with respect to such reduction (and shall use reasonable efforts to so consult prior to such reduction). If an Annual Registration on or after the seventh anniversary of the IPO Date involves a Public Offering and the managing underwriter advises Lazard Ltd that, in its view, the number of shares of Common Stock requested to be included in such Public Offering exceeds the largest number of shares that can be sold within the price range (or 10% below the end of such range) that was included in the "red herring" registration statement for such Public Offering (provided that the Board of Directors of LAZ-MD shall not have objected to such price range prior to the filing of such red herring registration statement after notice thereof), the number of shares of Common Stock included in such Public Offering shall be reduced to such largest number of shares. In the event that the number of shares of Common Stock requested to be included in such Public Offering is reduced in accordance with this Section 4.1(b), Lazard Ltd shall include in such Public Offering, in the priority listed below, up to the applicable maximum number of shares to be included in such Public Offering as determined in the immediately preceding two sentences:

  • • (i) first, all Registrable Securities that are requested to be registered in the Annual Registration by any Covered Persons and were issued or are issuable in respect of MD Exchangeable Interests that, pursuant to the Master Separation Agreement, first became capable of being exchanged pursuant to an MD Exchange on or prior to the third anniversary of the IPO Date (allocated, if necessary for the offering not to exceed the Maximum Offering Size, pro rata among such Covered Persons on the basis of the relative number of shares of such Registrable Securities so requested to be included in such registration by each such Covered Person);

      (ii) second, all Registrable Securities that are requested to be registered in the Annual Registration by any Covered Persons and were issued or are issuable in respect of MD Exchangeable Interests that, pursuant to the Master Separation Agreement, first became capable of being exchanged pursuant to an MD Exchange on or prior to the fourth anniversary (but after the third anniversary) of the IPO Date (allocated, if necessary for the offering not to exceed the Maximum Offering Size, pro rata among such Covered Persons on the basis of the relative number of shares of such Registrable Securities so requested to be included in such registration by each such Covered Person);

      (iii) third, all Registrable Securities that are requested to be registered in the Annual Registration by any Covered Persons and were issued or are issuable in respect of MD Exchangeable Interests that, pursuant to the Master Separation Agreement, first became capable of being exchanged pursuant to an MD Exchange on or prior to the fifth anniversary (but after the fourth anniversary) of the IPO Date (allocated, if necessary for the offering not to exceed the Maximum Offering Size, pro rata among such Covered Persons on the basis of the relative number of shares of such Registrable Securities so requested to be included in such registration by each such Covered Person);

      (iv) fourth, all Registrable Securities that are requested to be registered in the Annual Registration by any Covered Persons and were issued or are issuable in respect of MD Exchangeable Interests that, pursuant to the Master Separation Agreement, first became capable of being exchanged pursuant to an MD Exchange on or prior to the sixth anniversary (but after the fifth anniversary) of the IPO Date (allocated, if necessary for the offering not to exceed the Maximum Offering Size, pro rata among such Covered Persons on the basis of the relative number of shares of such Registrable Securities so requested to be included in such registration by each such Covered Person); and

      (v) fifth, all Registrable Securities that are requested to be registered in the Annual Registration by any Covered Persons and were issued or are issuable in respect of MD Exchangeable Interests that, pursuant to the Master Separation Agreement, first became capable of being exchanged pursuant to an MD Exchange after the sixth anniversary of the IPO Date (allocated, if necessary for the offering not to

9

• • • exceed the Maximum Offering Size, pro rata among such Covered Persons on the basis of the relative

      number of shares of such Registrable Securities so requested to be included in such registration by each such Covered Person) (the priority among Covered Persons set forth in clauses (i)-(v) shall be referred to herein as the " Covered Persons Priority ").

In determining, for a Covered Person, the number of such Covered Person’s MD Exchangeable Interests that first became capable of being exchanged pursuant to an MD Exchange in relation to a certain date (and the corresponding number of Registrable Securities issued or issuable in respect of such MD Exchangeable Interests), any exchanges of such Covered Person’s MD Exchangeable Interests for shares of Common Stock prior to the relevant date of determination shall be deemed to reduce, first, the number of such Covered Person’s MD Exchangeable Interests that first became capable of being exchanged and, thereafter, the number of such Covered Person’s MD Exchangeable Interests that next became capable of being exchanged (until each such group shall be exhausted).

• (c) Lazard Group shall be liable for and pay all Registration Expenses in connection with any Annual Registration, regardless of whether such Registration is effected. Lazard Ltd shall have the right (but not the obligation) to register additional shares of Common Stock and other securities together with such Annual Registration, provided that such shares shall be included in such registration in a priority after the shares included in the Covered Persons Priority.

  (d) Upon notice to each Covered Person participating in the applicable Annual Registration, Lazard Ltd may postpone effecting a registration pursuant to this Section 4.1 on one occasion during any period of six consecutive months for a reasonable time specified in the notice but not exceeding 120 days (which period may not be extended or renewed), if (i) Lazard Ltd shall determine in good faith that effecting the registration would materially and adversely affect an offering of securities of such company the preparation of which had then been commenced or (ii) Lazard Ltd is in possession of material non-public information the disclosure of which during the period specified in such notice Lazard Ltd believes in good faith would not be in the best interests of Lazard Ltd.

Section 4.2 Demand Registration .

• (a) If at any time following the third anniversary of the IPO Date, Lazard Ltd shall receive a written request (a " Demand Notice ") from a Covered Person or group of Covered Persons (a " Demand Requesting Covered Person ") that Lazard Ltd effect the registration under the Securities Act of all or any portion of such Covered Person’s Registrable Securities (including any Registrable Securities that are issuable pursuant to an MD Exchange in accordance with the terms and subject to the conditions set forth in the Master Separation Agreement such that such Registr