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EXHIBIT 4.1
EXECUTION COPY
NTL COMMUNICATIONS CORP.
EURO250,000,000
9 1/4% SENIOR NOTES DUE 2006
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INDENTURE
Dated as of November 24, 1999
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The Chase Manhattan Bank
Trustee
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TABLE OF CONTENTS
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ARTICLE I. DEFINITIONS AND INCORPORATION BY REFERENCE.............................................1
SECTION 1.01 Definitions......................................................................1
SECTION 1.02 Other Definitions...............................................................13
SECTION 1.03 Incorporation by Reference of Trust Indenture Act...............................14
SECTION 1.04 Rules of Construction...........................................................14
ARTICLE II. THE NOTES............................................................................15
SECTION 2.01 Form and Dating.................................................................15
SECTION 2.02 Execution and Authentication....................................................17
SECTION 2.03 Registrar and Paying Agent......................................................17
SECTION 2.04 Paying Agent to Hold Money in Trust.............................................18
SECTION 2.05 Holder Lists....................................................................18
SECTION 2.06 Transfer and Exchange...........................................................18
SECTION 2.07 Replacement Notes...............................................................23
SECTION 2.08 Outstanding Notes...............................................................23
SECTION 2.09 Treasury Notes..................................................................23
SECTION 2.10 Temporary Notes; Global Notes...................................................23
SECTION 2.11 Cancellation....................................................................24
SECTION 2.12 Defaulted Interest..............................................................24
ARTICLE III. REDEMPTION..........................................................................24
SECTION 3.01 Notices to Trustee..............................................................24
SECTION 3.02 Intentionally Omitted...........................................................25
SECTION 3.03 Notice of Redemption............................................................25
SECTION 3.04 Effect of Notice of Redemption..................................................25
SECTION 3.05 Deposit of Redemption Price.....................................................25
SECTION 3.06 Intentionally Omitted...........................................................25
SECTION 3.07 Optional Tax Redemption.........................................................25
SECTION 3.08 Mandatory Redemption............................................................26
SECTION 3.09 Asset Sale Offer and Purchase Offer.............................................26
ARTICLE IV. COVENANTS............................................................................28
SECTION 4.01 Payment of Notes................................................................28
SECTION 4.02 Reports.........................................................................28
SECTION 4.03 Compliance Certificate..........................................................29
SECTION 4.04 Stay, Extension and Usury Laws..................................................29
SECTION 4.05 Corporate Existence.............................................................29
SECTION 4.06 Taxes...........................................................................30
SECTION 4.07 Limitations on Liens............................................................30
SECTION 4.08 Incurrence Of Indebtedness And Issuance Of Preferred Stock......................30
SECTION 4.09 Restricted Payments.............................................................32
SECTION 4.10 Asset Sales.....................................................................35
SECTION 4.11 Transactions with Affiliates....................................................37
SECTION 4.12 Dividends and Other Payment Restrictions Affecting Restricted Subsidiaries......38
SECTION 4.13 Change of Control...............................................................39
SECTION 4.14 Payment of Additional Amounts...................................................39
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ARTICLE V. SUCCESSORS............................................................................40
SECTION 5.01 Merger, Consolidation or Sale of Assets.........................................40
SECTION 5.02 Successor Corporation Substituted...............................................41
ARTICLE VI. DEFAULTS AND REMEDIES................................................................41
SECTION 6.01 Events of Default...............................................................41
SECTION 6.02 Acceleration....................................................................42
SECTION 6.03 Other Remedies..................................................................43
SECTION 6.04 Waiver of Past Defaults.........................................................43
SECTION 6.05 Control by majority.............................................................43
SECTION 6.06 Limitation on Suits.............................................................43
SECTION 6.07 Rights of Holders to Receive Payment............................................44
SECTION 6.08 Collection Suit by Trustee......................................................44
SECTION 6.09 Trustee May File Proofs of Claim................................................44
SECTION 6.10 Priorities......................................................................44
SECTION 6.11 Undertaking for Costs...........................................................44
ARTICLE VII. TRUSTEE.............................................................................45
SECTION 7.01 Duties of Trustee...............................................................45
SECTION 7.02 Rights of Trustee...............................................................45
SECTION 7.03 Individual Rights of Trustee....................................................46
SECTION 7.04 Trustee's Disclaimer............................................................46
SECTION 7.05 Notice of Defaults..............................................................46
SECTION 7.06 Reports by Trustee to Holders...................................................46
SECTION 7.07 Compensation and Indemnity......................................................46
SECTION 7.08 Replacement of Trustee..........................................................47
SECTION 7.09 Successor Trustee by Xxxxxx, Xxx................................................48
SECTION 7.10 Eligibility; Disqualification...................................................48
SECTION 7.11 Preferential Collection of Claims Against Company...............................48
ARTICLE VIII. DISCHARGE OF INDENTURE.............................................................49
SECTION 8.01 Termination of Company's Obligations............................................49
SECTION 8.02 Option to Effect Defeasance.....................................................49
SECTION 8.03 Application of Trust Money......................................................50
SECTION 8.04 Repayment to Company............................................................50
SECTION 8.05 Reinstatement...................................................................51
ARTICLE IX. AMENDMENTS, SUPPLEMENTS AND WAIVERS..................................................51
SECTION 9.01 Without Consent of Holders......................................................51
SECTION 9.02 With Consent of Holders.........................................................51
SECTION 9.03 Compliance with Trust Indenture Act.............................................52
SECTION 9.04 Revocation and Effect of Consents...............................................52
SECTION 9.05 Notation on or Exchange of Notes................................................53
SECTION 9.06 Trustee Protected...............................................................53
ARTICLE X. MISCELLANEOUS.........................................................................53
SECTION 10.01 Trust Indenture Act Controls....................................................53
SECTION 10.02 Notices.........................................................................53
SECTION 10.03 Communication by Holders with Other Holders.....................................54
SECTION 10.04 Certificate and Opinion as to Conditions Precedent..............................54
SECTION 10.05 Statements Required in Certificate or Opinion...................................54
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SECTION 10.06 Rules by Trustee and Agents.....................................................54
SECTION 10.07 Legal Holidays..................................................................54
SECTION 10.08 No Recourse Against Others......................................................54
SECTION 10.09 Counterparts and Facsimile Signatures...........................................55
SECTION 10.10 Variable Provisions.............................................................55
SECTION 10.11 Governing Law...................................................................55
SECTION 10.12 Rights of the Registrar and Paying Agent........................................55
SECTION 10.13 No Adverse Interpretation of Other Agreements...................................56
SECTION 10.14 Successors......................................................................56
SECTION 10.15 Severability....................................................................56
SECTION 10.16 Table of Contents, Headings, Etc................................................56
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CROSS-REFERENCE TABLE*
Trust Indenture Act Section Indenture Section
--------------------------- -----------------
310 (a)(1)..................................................7.10
(a)(2) .....................................................7.10
(a)(3)......................................................N.A.
(a)(4)......................................................N.A.
(a)(5)......................................................7.10
(b) .......................................................7.08
7.10
(c) .......................................................N.A.
311(a)......................................................7.11
(b) .......................................................7.11
(c) .......................................................N.A.
312 (a).....................................................2.05
(b) .......................................................10.03
(c) .......................................................10.03
313(a)......................................................7.06
(b)(1)......................................................N.A.
(b)(2)......................................................7.06
(c) .......................................................7.06
(d) .......................................................7.06
314(a)......................................................4.02
4.03
(b) .......................................................N.A.
(c)(1)......................................................10.04
(c)(2)......................................................10.04
(c)(3)......................................................N.A.
(d) .......................................................N.A.
(e) .......................................................N.A.
(f) .......................................................N.A.
315 (a).....................................................7.01(b)
(b) .......................................................7.05
(c) .......................................................7.01(a)
(d) .......................................................7.01(c)
(e) .......................................................6.11
316 (a)(last sentence)......................................2.09
(a)(1)(A)...................................................6.05
(a)(1)(B)...................................................6.04
(a)(2)......................................................N.A.
(b) .......................................................6.07
(c) .......................................................9.04
317 (a)(1)..................................................6.08
(a)(2)......................................................6.09
(b) .......................................................2.04
318 (a).....................................................N.A.
N.A. means not applicable.
*This Cross-Reference Table is not part of the Indenture.
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INDENTURE, dated as of November 24, 1999, between NTL Communications Corp.,
a Delaware corporation (the "COMPANY"), and The Chase Manhattan Bank, a New York
corporation, as trustee (the "TRUSTEE").
Each party agrees as follows for the benefit of the other party and for the
equal and ratable benefit of the Holders (as defined in Section 1.01) of the
Company's 9 1/4% Senior Notes due 2006 (the "INITIAL NOTES") and, if and when
issued in exchange for Initial Notes, the Company's 9 1/4% Series B Senior Notes
due 2006 (the "EXCHANGE NOTES" and, together with the Initial Notes, the
"NOTES"):
ARTICLE I.
DEFINITIONS AND INCORPORATION BY REFERENCE
SECTION 1.01 DEFINITIONS.
"1999 9 3/4% NOTES" means the Company's 9 3/4% Senior Deferred Coupon Notes
due 2009 and the Company's 9 3/4% Series B Senior Deferred Coupon Notes due
2009.
"2009 DISCOUNT NOTES" means the Company's 11 1/2% Senior Deferred Coupon
Notes due 2009 and the Company's 11 1/2% Series B Senior Deferred Coupon Notes
due 2009.
"2009 NOTES" means the Company's 90% Senior Notes due 2009 and the
Company's 90% Series B Senior Notes due 2009.
"9 1/2% NOTES" means the Company's 9 1/2% Senior Notes due 2008 and the
Company's 9 1/2% Series B Senior Notes due 2008.
"9 3/4% NOTES" means the Company's 9 3/4% Senior Deferred Coupon Notes due
2008 and the Company's 9 3/4% Series B Senior Deferred Coupon Notes due 2008.
"10% NOTES" means the Company's 10% Series B Senior Notes due 2007.
"10 3/4% NOTES" means the Company's 10 3/4% Senior Deferred Coupon Notes
due 2008 and the Company's 10 3/4% Series B Senior Deferred Coupon Notes due
2008.
"11 1/2% DEFERRED COUPON NOTES" means the Company's 11 1/2% Series B Senior
Deferred Coupon Notes due 2006.
"11 1/2% NOTES" means the Company's 11 1/2% Senior Notes due 2008 and the
Company's 11 1/2% Series B Senior Notes due 2008.
"12 3/4% NOTES" means the Company's 12 3/4% Series A Senior Deferred Coupon
Notes due 2005.
"12M % NOTES" means the Company's 123/8% Series B Senior Deferred Coupon
Notes due 2008.
"ACQUIRED DEBT" means, with respect to any specified Person, Indebtedness
of any other Person (the "Acquired Person") existing at the time such Acquired
Person merged with or into or became a Subsidiary of such specified Person,
including Indebtedness incurred in connection with, or in contemplation of, such
Acquired Person merging with or into or becoming a Subsidiary of such specified
Person.
"ACQUIRED PERSON" has the meaning specified in the definition of Acquired
Debt.
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"ADDITIONAL NOTES" means up to euro150,000,000 in aggregate principal
amount of Notes (other than the Initial Notes) issued under this Indenture in
accordance with Sections 2.02 and 4.09 hereof, as part of the same series as the
Initial Notes.
"ADJUSTED TOTAL ASSETS" means the total amount of assets of the Company and
its Restricted Subsidiaries (including the amount of any Investment in any
Non-Restricted Subsidiary), except to the extent resulting from write-ups of
assets (other than write-ups in connection with accounting for acquisitions in
conformity with GAAP), after deducting therefrom (i) all current liabilities of
the Company and its Restricted Subsidiaries, and (ii) all goodwill, trade names,
trademarks, patents, unamortized debt discount and expense and other like
intangibles, all as calculated in conformity with GAAP. For purposes of this
Adjusted Total Assets definition, (a) assets shall be calculated less applicable
accumulated depreciation, accumulated amortization and other valuation reserves,
and (b) all calculations shall exclude all intercompany items.
"ADJUSTED TOTAL CONTROLLED ASSETS" means the total amount of assets of the
Company and its Cable Controlled Subsidiaries, except to the extent resulting
from write-ups of assets (other than write-ups in connection with accounting for
acquisitions in conformity with GAAP), after deducting therefrom (i) all current
liabilities of the Company and such Cable Controlled Subsidiaries; and (ii) all
goodwill, trade names, trademarks, patents, unamortized debt discount and
expense and other like intangibles of the Company and such Restricted
Subsidiaries, all as calculated in conformity with GAAP; provided that Adjusted
Total Controlled Assets shall be reduced (to the extent not otherwise reduced in
accordance with GAAP) by an amount equal to the aggregate amount of all
Investments of the Company or any such Cable Controlled Subsidiaries in any
Person other than a Cable Controlled Subsidiary, except Cash Equivalents. For
purposes of this Adjusted Total Controlled Assets definition, (a) assets shall
be calculated less applicable accumulated depreciation, accumulated amortization
and other valuation reserves, and (b) all calculations shall exclude all
intercompany items.
"AFFILIATE" of any specified Person means any other Person directly
indirectly controlling or controlled by or under direct or indirect common
control with such specified Person. For purposes of this definition, "control"
(including, with correlative meanings, the terms "controlling," "controlled by"
and "under common control with"), as used with respect to any Person, shall mean
the possession, directly or indirectly, of the power to direct or cause the
direction of the management or policies of such Person, whether through the
ownership of voting securities, by agreement or otherwise; provided, however,
that beneficial ownership of 10% or more of the voting securities of a Person
shall be deemed to be control.
"AGENT" means any Registrar or Paying Agent.
"ANNUALIZED PRO FORMA EBITDA" means, with respect to any Person, such
Person's Pro Forma EBITDA for the latest fiscal quarter multiplied by four.
"ASSET SALE" means (i) any sale, lease, transfer, conveyance or other
disposition of any assets (including by way of a sale-and-leaseback) other than
the sale or transfer of inventory or goods held for sale in the ordinary course
of business (provided that the sale, lease, transfer, conveyance or other
disposition of all or substantially all of the assets of the Company shall be
governed by Section 4.13 or 5.01 hereof) or (ii) any issuance, sale, lease,
transfer, conveyance or other disposition of any Equity Interests of any of the
Company's Restricted Subsidiaries to any Person; in either case other than (A)
to (w) the Company, (x) any Wholly Owned Subsidiary, or (y) any Subsidiary which
is a Subsidiary of the Company on the Issuance Date provided that at the time of
and after giving effect to such issuance, sale, lease, transfer, conveyance or
other disposition to such Subsidiary, the Company's ownership percentage in such
Subsidiary is equal to or greater than such percentage on the Issuance Date or
(B) the issuance,
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sale, transfer, conveyance or other disposition of Equity Interests of a
Subsidiary in exchange for capital contributions made on a pro rata basis by the
holders of the Equity Interests of such Subsidiary.
"BOARD OF DIRECTORS" means the Board of Directors of the Company or any
authorized committee of the Board.
"BUSINESS DAY" means any day that is not a Legal Holiday.
"CABLE ASSETS" means tangible or intangible assets, licenses (including,
without limitation, Licenses) and computer software used in connection with a
Cable Business.
"CABLE BUSINESS" means (i) any Person directly or indirectly operating, or
owning a license to operate, a cable and/or television and/or telephone and/or
telecommunications system or service principally within the United Kingdom
and/or the Republic of Ireland and (ii) any Cable Related Business.
"CABLE CONTROLLED PROPERTY" means a Cable Controlled Subsidiary or a Cable
Asset held by a Cable Controlled Subsidiary.
"CABLE CONTROLLED SUBSIDIARY" means any Restricted Subsidiary that is
primarily engaged, directly or indirectly, in one or more Cable Businesses.
"CABLE RELATED BUSINESS" means a Person which directly or indirectly owns
or provides a service or product used in a Cable Business, including, without
limitation, any television programming, production and/or licensing business or
any programming guide or telephone directory business or content or software
related thereto.
"CAPITAL STOCK" means any and all shares, interests, participations, rights
or other equivalents (however designated) of corporate stock, including, without
limitation, partnership interests.
"CAPITAL STOCK SALE PROCEEDS" means the aggregate net sale proceeds
(including from the sale of any property received for the Capital Stock or the
fair market value of such property, as determined by an independent appraisal
firm) received by the Company or any Subsidiary of the Company from the issue or
sale (other than to a Subsidiary) by the Company of any class of its Capital
Stock after October 14, 1993 (including Capital Stock of the Company issued
after October 14, 1993 upon conversion of or in exchange for other securities of
the Company).
"CASH EQUIVALENTS" means (i) Permitted Currency, (ii) securities issued or
directly and fully guaranteed or insured by the United States government, a
European Union member government or any agency or instrumentality thereof having
maturities of not more than six months and two days from the date of
acquisition, (iii) certificates of deposit and eurodollar time deposits with
maturities of six months or less from the date of acquisition, bankers'
acceptances with maturities not exceeding six months and overnight bank
deposits, in each case with any commercial bank(s) domiciled in the United
States, the United Kingdom, the Republic of Ireland or any other European Union
member having capital and surplus in excess of $500.0 million, (iv) repurchase
obligations with a term of not more than seven days for underlying securities of
the types described in clauses (ii) and (iii) entered into with any financial
institution meeting the qualifications specified in clause (iii) above, (v)
commercial paper rated P-1 or the equivalent thereof by Xxxxx'x or A-1 or the
equivalent thereof by S & P and in each case maturing within six months and two
days after the date of acquisition and (vi) money market funds at least 95% of
the assets of which constitute Cash Equivalents of the kinds described in
clauses (i)-(v) of this definition.
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"CEDEL" means Cedelbank, S.A.
"CHANGE OF CONTROL" means (i) the sale, lease or transfer of all or
substantially all of the assets of the Company to any "Person" or "group"
(within the meaning of Sections 13(d)(3) and 14(d)(2) of the Exchange Act or any
successor provision to either of the foregoing, including any group acting for
the purpose of acquiring, holding or disposing of securities within the meaning
of Rule 13d-5(b)(1) under the Exchange Act) (other than any Permitted Holder),
(ii) the approval by the requisite stockholders of the Company of a plan of
liquidation or dissolution of the Company, (iii) any "Person" or "group" (within
the meaning of Sections 13(d) and 14(d)(2) of the Exchange Act or any successor
provision to either of the foregoing, including any group acting for the purpose
of acquiring, holding or disposing of securities within the meaning of Rule
13d-5(b)(1) under the Exchange Act), other than any Permitted Holder, becomes
the "beneficial owner" (as defined in Rule 13d-3 under the Exchange Act) of more
than 50% of the total voting power of all classes of the voting stock of the
Company and/or warrants or options to acquire such voting stock, calculated on a
fully diluted basis, unless, as a result of such transaction, the ultimate
direct or indirect ownership of the Company is substantially the same
immediately after such transaction as it was immediately prior to such
transaction, or (iv) during any period of two consecutive years, individuals who
at the beginning of such period constituted the Company's Board of Directors
(together with any new directors whose election or appointment by such board or
whose nomination for election by the shareholders of the Company was approved by
a vote of a majority of the directors 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) cease for any reason to constitute a
majority of the Company's Board of Directors then in office.
"CHANGE OF CONTROL TRIGGERING EVENT" means the occurrence of both a Change
of Control and a Ratings Decline.
"COMPANY" means the party named as such above until a successor replaces it
in accordance with Article V and thereafter means the successor.
"CONSOLIDATED INTEREST EXPENSE" means, for any Person, for any period, the
amount of interest in respect of Indebtedness (including amortization of
original issue discount, amortization of debt issuance costs, and non-cash
interest payments on any Indebtedness and the interest portion of any deferred
payment obligation and after taking into account the effect of elections made
under any Interest Rate Agreement, however denominated, with respect to such
Indebtedness), the amount of Redeemable Dividends, Restricted Subsidiary
Preferred Stock Dividends and the interest component of rentals in respect of
any capital lease obligation paid, in each case whether accrued or scheduled to
be paid or accrued by such Person and its Subsidiaries (other than
Non-Restricted Subsidiaries) during such period to the extent such amounts were
deducted in computing Consolidated Net Income, determined on a consolidated
basis in accordance with GAAP. For purposes of this definition, interest on a
capital lease obligation shall be deemed to accrue at an interest rate
reasonably determined by such Person to be the rate of interest implicit in such
capital lease obligation in accordance with GAAP consistently applied.
"CONSOLIDATED NET INCOME" means, with respect to any Person, for any
period, the aggregate of the Net Income of such Person and its Subsidiaries
(other than Non-Restricted Subsidiaries) for such period, on a consolidated
basis, determined in accordance with GAAP; provided that (i) the Net Income of
any Person that is not a Subsidiary or that is accounted for by the equity
method of accounting shall be included only to the extent of the amount of
dividends or distributions paid to the referent Person or a Wholly Owned
Subsidiary, (ii) the Net Income of any Person that is a Subsidiary (other than a
Subsidiary of which at least 80% of the Capital Stock having ordinary voting
power for the election of directors or other governing body of such Subsidiary
is owned by the referent Person directly or indirectly through one or more
Subsidiaries) shall be included only to the extent of the amount of dividends or
distributions
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paid to the referent Person or a Wholly Owned Subsidiary, (iii) the Net Income
of any Person acquired in a pooling of interests transaction for any period
prior to the date of such acquisition shall be excluded and (iv) the cumulative
effect of a change in accounting principles shall be excluded.
"CONVERTIBLE SUBORDINATED NOTES" means the Company's 7% Convertible
Subordinated Notes due 2008 issued pursuant to an indenture dated as of
December 16, 1998 between the Company and The Chase Manhattan Bank, as trustee.
"CREDIT FACILITY" means the Facilities Agreement, dated October 17, 1997,
between NTL (UK) Group Inc., as principal guarantor, Chase Manhattan plc, as
arranger, Chase Manhattan International Limited, as agent and security trustee
and The Chase Manhattan Bank as issuer, as such Facilities Agreement may be
supplemented, amended, restated, modified, renewed, refunded, replaced or
refinanced, in whole or in part, from time to time in an aggregate outstanding
principal amount not to exceed the greater of (i) (pound)555.0 million and (ii)
the amount of the aggregate commitments thereunder as the same may be increased
after March 13, 1998 as contemplated by the Facilities Agreement as amended or
supplemented to March 13, 1998, but in no event greater than (pound)875.0
million, less in each case, the aggregate amount of all Net Proceeds of Asset
Sales that have been applied to permanently reduce Indebtedness under the Credit
Facility pursuant Section 4.10 hereof. Indebtedness that may otherwise be
incurred under this Indenture may, but need not, be incurred under the Credit
Facility without regard to the limit set forth in the preceding sentence.
Indebtedness outstanding under the Credit Facility on the date hereof shall be
deemed to have been incurred on such date in reliance on the exception provided
by Section 4.08(b)(i).
"CUMULATIVE EBITDA" means the cumulative EBITDA of the Company from and
after the Issuance Date to the end of the fiscal quarter immediately preceding
the date of a proposed Restricted Payment, or, if such cumulative EBITDA for
such period is negative, minus the amount by which such cumulative EBITDA is
less than zero; provided, however, that EBITDA of Non-Restricted Subsidiaries
shall not be included.
"CUMULATIVE INTEREST EXPENSE" means the aggregate amount of Consolidated
Interest Expense paid, accrued or scheduled to be paid or accrued by the Company
from the Issuance Date to the end of the fiscal quarter immediately preceding a
proposed Restricted Payment, determined on a consolidated basis in accordance
with GAAP.
"DEFAULT" means any event that is, or with the passage of time or the
giving of notice or both would be, an Event of Default.
"DEPOSITARY" shall mean DTC (in the case of the DTC Rule 144A Global Notes)
Euroclear (in the case of Regulation S Global Notes or Euroclear Rule 144A
Global Notes) or Cedel (in the case of Regulation S Global Notes), as
applicable.
"DIAMOND NOTES" shall mean the 10% Diamond Senior Notes due 2008, the 91/8%
Diamond Senior Notes due 2008, the 10 3/4% Diamond Senior Discount Notes due
2007, the 11 3/4% Diamond Senior Discount Notes due 2005 and the 13 1/4% Diamond
Senior Discount Notes due 2004.
"DISQUALIFIED STOCK" means any Capital Stock which, by its terms (or by the
terms of any security into which it is convertible or for which it is
exchangeable), or upon the happening of any event, matures or is mandatorily
redeemable, pursuant to a sinking fund obligation or otherwise, or redeemable at
the option of the holder thereof, in whole or in part, on or prior to the date
on which the Notes mature.
"DTC" means The Depository Trust Company.
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"EBITDA" means, for any Person, for any period, an amount equal to (A) the
sum of (i) Consolidated Net Income for such period (exclusive of any gain or
loss realized in such period upon an Asset Sale), plus (ii) the provision for
taxes for such period based on income or profits to the extent such income or
profits were included in computing Consolidated Net Income and any provision for
taxes utilized in computing net loss under clause (i) hereof, plus (iii)
Consolidated Interest Expense for such period, plus (iv) depreciation for such
period on a consolidated basis, plus (v) amortization of intangibles for such
period on a consolidated basis, plus (vi) any other non-cash item reducing
Consolidated Net Income for such period (excluding any such non-cash item to the
extent that it represents an accrual of or reserve for cash expenses in any
future period or amortization of a prepaid cash expense that was paid in a prior
period), minus (B) all non-cash items increasing Consolidated Net Income for
such period, all for such Person and its Subsidiaries determined in accordance
with GAAP consistently applied.
"EEA GOVERNMENT OBLIGATION" means direct non-callable obligations of, or
non-callable obligations guaranteed by, any European Union member for the
payment of which obligation or guarantee the full faith and credit of the
respective nation is pledged; provided that such nation has a credit rating at
least equal to that of the highest rated member nation of the European Economic
Area.
"EQUITY INTERESTS" means Capital Stock and all warrants, options or other
rights to acquire Capital Stock (but excluding any Indebtedness that is
convertible into, or exchangeable for Capital Stock).
"EUROCLEAR" means Xxxxxx Guaranty Trust Company of New York, Brussels
office as operator of the Euroclear system.
"EUROPEAN ECONOMIC AREA" means the member nations of the European Economic
Area pursuant to the Oporto Agreement on the European Economic Area, dated
May 2, 1992, as amended.
"EUROPEAN UNION MEMBER" means any country that is or becomes a member of
the European Union or any successor organization thereto.
"EXCHANGE ACT" means the Securities Exchange Act of 1934, as amended.
"EXCHANGE RATE CONTRACT" means, with respect to any Person, any currency
swap agreements, forward exchange rate agreements, foreign currency futures or
options, exchange rate collar agreements, exchange rate insurance and other
agreements or arrangements, or combination thereof, the principal purpose of
which is to provide protection against fluctuations in currency exchange rates.
An Exchange Rate Contract may also include an Interest Rate Agreement.
"EXISTING INDEBTEDNESS" means Indebtedness of the Company and its
Subsidiaries in existence on the Issuance Date, until such amounts are repaid,
including, without limitation, the Existing Notes.
"EXISTING NOTES" means the Old Notes and the Convertible Subordinated
Notes.
"GAAP" means generally accepted accounting principles set forth in the
opinions and pronouncements of the Accounting Principles Board of the American
Institute of Certified Public Accountants and statements and pronouncements of
the Financial Accounting Standards Board or in such other statements by such
other entity as approved by a significant segment of the accounting profession,
which are in effect on the Issuance Date and are applied on a consistent basis.
"GUARANTEE" means a guarantee (other than by endorsement of negotiable
instruments for collection in the ordinary course of business), direct or
indirect, in any manner (including, without
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limitation, letters of credit and reimbursement agreements in respect thereof),
of all or any part of any Indebtedness.
"HOLDER" means a Person in whose name a Note is registered in the register
referred to in Section 2.03.
"INDEBTEDNESS" means, with respect to any Person, any indebtedness of such
Person, whether or not contingent, in respect of borrowed money or evidenced by
bonds, notes, debentures or similar instruments or letters of credit (or
reimbursement agreements in respect thereof) or representing the balance
deferred and unpaid of the purchase price of any property (including pursuant to
capital leases and sale-and-leaseback transactions) or representing any hedging
obligations under an Exchange Rate Contract or an Interest Rate Agreement,
except any such balance that constitutes an accrued expense or trade payable, if
and to the extent any of the foregoing indebtedness (other than obligations
under an Exchange Rate Contract or an Interest Rate Agreement) would appear as a
liability upon a balance sheet of such Person prepared in accordance with GAAP,
and also includes, to the extent not otherwise included, the Guarantee of items
which would be included within this definition. The amount of any Indebtedness
outstanding as of any date shall be the accreted value thereof, in the case of
any Indebtedness issued with original issue discount.
"INDENTURE" means this Indenture, as amended from time to time.
"INITIAL PURCHASERS" means Xxxxxx Xxxxxxx & Co. International Limited,
Xxxxxxx Xxxxx International, Chase Securities Inc., Xxxxxxxxx, Xxxxxx & Xxxxxxxx
International, and Salomon Brothers International Limited.
"INTEREST RATE AGREEMENT" means, for any Person, any interest rate swap
agreement, interest rate cap agreement, interest rate collar agreement, or other
similar agreement, the principal purpose of which is to protect the party
indicated therein against fluctuations in interest rates.
"INVESTMENT GRADE" means BBB- or higher by S&P or Baa3 or higher by Xxxxx'x
or the equivalent of such ratings by S&P or Moody's. In the event that the
Company shall be permitted to select any other Rating Agency, the equivalent of
such ratings by such Rating Agency shall be used.
"INVESTMENTS" means, with respect to any Person, all investments by such
Person in other Persons (including Affiliates) in the forms of loans (including
Guarantees), advances or capital contributions (excluding commission, travel and
similar advances and loans, joint property ownership and other arrangements, in
each case, made to officers and employees made in the ordinary course of
business), purchases or other acquisitions for consideration of Indebtedness,
Equity Interests or other securities and all other items that are or would be
classified as investments on a balance sheet prepared in accordance with GAAP.
"ISSUANCE DATE" means the date on which the Notes are first authenticated
and issued.
"LICENSE" means any license issued or awarded pursuant to the Broadcasting
Act 1990, the Cable and Broadcasting Act 1984, the Telecommunications Act 1984
or the Wireless Telegraphy Act 1948 (in each case, as such Acts may, from time
to time, be amended, modified or re-enacted) (or equivalent statutes of any
jurisdiction) to operate or own a Cable Business.
"LIEN" means, with respect to any asset, any mortgage, lien, pledge,
charge, security interest or encumbrance of any kind in respect of such asset,
whether or not filed, recorded or otherwise perfected under applicable law
(including any conditional sale or other title retention agreement, any lease in
the
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nature thereof, any option or other agreement to sell or give a security
interest in and any filing of or agreement to give any financing statement under
the Uniform Commercial Code (or equivalent or successor statutes) of any
jurisdiction).
"MATERIAL LICENSE" means a License held by the Company or any of its
Subsidiaries which License at the time of determination covers a number of Net
Households which equals or exceeds 5% of the aggregate number of Net Households
covered by all of the Licenses held by the Company and its Subsidiaries at such
time.
"MATERIAL SUBSIDIARY" means (i) NTL UK Group, Inc. (formerly known as OCOM
Sub II, Inc.), NTL Investment Holdings Limited, NTL Group Limited, CableTel
Surrey Limited, CableTel Cardiff Limited, CableTel Glasgow, CableTel Newport and
CableTel Kirklees and (ii) any other Subsidiary of the Company which is a
"significant subsidiary" as defined in Rule 1-02(w) of Regulation S-X under the
Securities Act and the Exchange Act (as such Regulation is in effect on the date
hereof).
"MONETIZE" means a strategy with respect to Equity Interests that generates
an amount of cash equal to the fair value of such Equity Interests.
"MOODY'S" means Xxxxx'x Investors Service, Inc. and its successors.
"NET HOUSEHOLDS" means the product of (i) the number of households covered
by a License in the United Kingdom and (ii) the percentage of the entity holding
such License which is owned directly or indirectly by the Company.
"NET INCOME" means, with respect to any Person for a specific period, the
net income (loss) of such Person during such period, determined in accordance
with GAAP, excluding, however, any gain (but not loss) during such period,
together with any related provision for taxes on such gain (but not loss),
realized during such period in connection with any Asset Sale (including,
without limitation, dispositions pursuant to sale-and-leaseback transactions),
and excluding any extraordinary gain (but not loss) during such period, together
with any related provision for taxes on such extraordinary gain (but not loss).
"NET PROCEEDS" means the aggregate cash proceeds received by the Company or
any of its Subsidiaries in respect of any Asset Sale, net of the direct costs
relating to such Asset Sale (including, without limitation, legal, accounting
and investment banking fees, and sales commissions) and any relocation expenses
incurred as a result thereof, taxes paid or payable as a result thereof (after
taking into account any available tax credits or deductions and any tax sharing
arrangements), amounts required to be applied to the repayment of Indebtedness
secured by a Lien on the asset or assets the subject of such Asset Sale and any
reserve for adjustment in respect of the sale price of such asset or assets.
"NON-CONTROLLED SUBSIDIARY" means an entity which is not a Cable Controlled
Subsidiary.
"NON-RECOURSE DEBT" means Indebtedness or that portion of Indebtedness as
to which none of the Company, nor any Restricted Subsidiary: (i) provides credit
support (including any undertaking, agreement or instrument which would
constitute Indebtedness); (ii) is directly or indirectly liable; or (iii)
constitutes the lender.
"NON-RESTRICTED SUBSIDIARY" means (A) a Subsidiary that (a) at the time of
its designation by the Board of Directors as a Non-Restricted Subsidiary has not
acquired any assets (other than as specifically permitted by clause (e) of
"Permitted Investments" or Section 4.09 hereof), at any previous time, directly
or indirectly from the Company or any of its Restricted Subsidiaries, (b) has no
Indebtedness other than Non-Recourse Debt and (c) that at the time of such
designation, after giving pro forma effect to such
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designation, the ratio of Indebtedness to Annualized Pro Forma EBITDA of the
Company is equal to or less than the ratio of Indebtedness to Annualized Pro
Forma EBITDA of the Company immediately preceding such designation, provided,
however, that if the ratio of Indebtedness to Annualized Pro Forma EBITDA of the
Company immediately preceding such designation is 6:1 or less, then the ratio of
Indebtedness to Annualized Pro Forma EBITDA of the Company may be 0.5 greater
than such ratio immediately preceding such designation; (B) any Subsidiary which
(a) has been acquired or capitalized out of or by Equity Interests (other than
Disqualified Stock) of the Company or Capital Stock Sale Proceeds therefrom, (b)
has no Indebtedness other than Non-Recourse Debt and (c) is designated as a
Non-Restricted Subsidiary by the Board of Directors or is merged, amalgamated or
consolidated with or into, or its assets or capital stock is to be transferred
to, a Non-Restricted Subsidiary; or (C) any Subsidiary of a Non-Restricted
Subsidiary.
"NOTES" has the meaning set forth in the preamble hereto. The Original
Notes and the Additional Notes shall be treated as a single class for all
purposes under this Indenture.
"OBLIGATIONS" means any principal, interest, penalties, fees,
indemnifications, reimbursements, damages and other liabilities payable under
the documentation governing any Indebtedness.
"OFFICER'S CERTIFICATE" means a certificate signed by an Officer of the
Company. See Sections 10.04 and 10.05 hereof.
"OLD NOTES" means the 12 3/8% Notes, the 11 1/2% Notes, the 12 3/4% Notes,
the 11 1/2% Deferred Coupon Notes, the 10 3/4% Notes, the 10% Notes, the 9 3/4%
Notes, the 1999 9 3/4% Notes and the 9 1/2% Notes.
"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 or the Trustee. See Sections 10.04 and 10.05 hereof.
"ORIGINAL NOTES" means the first euro250,000,000 in aggregate principal
amount of Notes issued under this Indenture on the date hereof.
"OTHER QUALIFIED NOTES" means any outstanding senior indebtedness of the
Company issued pursuant to an indenture having a provision substantially similar
to Section 4.10 hereof (including, without limitation, the 2009 Discount Notes,
the 2009 Notes, the 123/8% Notes, the 11 1/2% Notes, the 12 3/4% Notes, the
11 1/2% Deferred Coupon Notes, the 10 3/4% Notes, the 10% Notes, the 9 3/4%
Notes, the 1999 9 3/4% Notes, the 9 1/2% Notes and the Diamond Notes).
"PARTICIPANT" means with respect to the Depositary, a person who has an
account with the Depositary.
"PERMITTED ACQUIRED DEBT" means, with respect to any Acquired Person
(including, for this purpose, any Non-Restricted Subsidiary at the time such
Non-Restricted Subsidiary becomes a Restricted Subsidiary), Acquired Debt of
such Acquired Person and its Subsidiaries in an amount (determined on a
consolidated basis) not exceeding the sum of (x) amount of the gross book value
of property, plant and equipment of the Acquired Person and its Subsidiaries as
set forth on the most recent consolidated balance sheet of the Acquired Person
(which may be unaudited) prior to the date it becomes an Acquired Person and (y)
the aggregate amount of any Cash Equivalents held by such Acquired Person at the
time it becomes an Acquired Person.
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"PERMITTED CURRENCY" means the lawful currency of the United States or a
European Union member.
"PERMITTED DESIGNEE" means (i) a spouse or a child of a Permitted Holder,
(ii) trusts for the benefit of a Permitted Holder or a spouse or child of a
Permitted Holder, (iii) in the event of the death or incompetence of a Permitted
Holder, his estate, heirs, executor, administrator, committee or other personal
representative or (iv) any Person so long as a Permitted Holder owns at least
50% of the voting power of all classes of the voting stock of such Person.
"PERMITTED HOLDERS" means Xxxxxx X. Xxxxxxxxxx, X. Xxxxxxx Xxxxx and their
Permitted Designees.
"PERMITTED INVESTMENTS" means (a) any Investments in the Company or in a
Cable Controlled Property or in a Qualified Subsidiary (including, without
limitation, (i) Guarantees of Indebtedness of the Company, a Cable Controlled
Subsidiary or a Qualified Subsidiary, (ii) Liens securing such Indebtedness or
Guarantees or (iii) the payment of any balance deferred and unpaid of the
purchase price of any Qualified Subsidiary); (b) any Investments in Cash
Equivalents; (c) Investments by the Company in Indebtedness of a counter-party
to an Exchange Rate Contract for hedging a Permitted Currency exchange risk that
are made, for purposes other than speculation, in connection with such contract
to hedge not more than the aggregate principal amount of the Indebtedness being
hedged (or, in the case of Indebtedness issued with original issue discount,
based on the amounts payable after the amortization of such discount); (d)
Investments by the Company or any Subsidiary of the Company in a Person, if as a
result of such Investment (i) such Person becomes a Cable Controlled Subsidiary
or (ii) such Person is merged, consolidated or amalgamated with or into, or
transfers or conveys substantially all of its assets to, or is liquidated into,
the Company or a Wholly Owned Subsidiary of the Company; and (e) any issuance,
transfer or other conveyance of Equity Interests (other than Disqualified Stock)
in the Company (or any Capital Stock Sale Proceeds therefrom) to a Subsidiary of
the Company.
"PERMITTED LIENS" means (a) Liens in favor of the Company; (b) Liens on
property of a Person existing at the time such Person is merged into or
consolidated with the Company or any Subsidiary of the Company; provided, that
such Liens were in existence prior to the contemplation of such merger or
consolidation and do not secure any property or assets of the Company or any of
its Subsidiaries other than the property or assets subject to the Liens prior to
such merger or consolidation; (c) liens imposed by law, such as carriers',
warehousemen's and mechanics' liens and other similar liens arising in the
ordinary course of business which secure payment of obligations not more than 60
days past due or are being contested in good faith and by appropriate
proceedings; (d) Liens existing on the Issuance Date; (e) Liens for taxes,
assessments or governmental charges or claims that are not yet delinquent or
that are being contested in good faith by appropriate proceedings promptly
instituted and diligently concluded; provided, that any reserve or other
appropriate provision as shall be required in conformity with GAAP shall have
been made therefor and (f) easements, rights of way, restrictions and other
similar easements, licenses, restrictions on the use of properties or minor
imperfections of title that, in the aggregate, are not material in amount, and
do not in any case materially detract from the properties subject thereto or
interfere with the ordinary conduct of the business of the Company or its
Restricted Subsidiaries.
"PERMITTED NON-CONTROLLED ASSETS" means Equity Interests in any Person
primarily engaged, directly or indirectly, in one or more Cable Businesses if
such Equity Interests (x) were acquired by the Company or any of its Restricted
Subsidiaries in connection with any Asset Sale or any Investment otherwise
permitted under the terms of the Indenture and (y) to the extent that, after
giving pro forma effect to the acquisition thereof by the Company or any of its
Restricted Subsidiaries, Adjusted Total Controlled Assets is greater than 80% of
Adjusted Total Assets based on the most recent consolidated balance sheet of the
Company.
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"PERSON" means any individual, corporation, partnership, joint venture,
association, joint stock company, trust, unincorporated organization or
government or any agency or political subdivision thereof.
"PREFERRED STOCK" means the 13% Senior Redeemable Exchangeable Preferred
Stock of the Company with an original aggregate liquidation preference of
$100,000,000.
"PRO FORMA EBITDA" means for any Person, for any period, the EBITDA of such
Person as determined on a consolidated basis for such Person and its
Subsidiaries in accordance with GAAP after giving effect to the following: (i)
if, during or after such period, such Person or any of its Subsidiaries shall
have made any Asset Sale, Pro Forma EBITDA of such Person and its Subsidiaries
for such period shall be reduced by an amount equal to the Pro Forma EBITDA (if
positive) directly attributable to the assets which are the subject of such
Asset Sale for the period or increased by an amount equal to the Pro Forma
EBITDA (if negative) directly attributable thereto for such period and (ii) if,
during or after such period, such Person or any of its Subsidiaries completes an
acquisition of any Person or business which immediately after such acquisition
is a Subsidiary of such Person or whose assets are held directly by such Person
or a Subsidiary of such Person, Pro Forma EBITDA shall be computed so as to give
pro forma effect to the acquisition of such Person or business (without giving
effect to clause (iii) of the definition of Consolidated Net Income); and
provided further that, with respect to the Company, all of the foregoing
references to "Subsidiary" or "Subsidiaries" shall be deemed to refer only to a
"Restricted Subsidiary" or "Restricted Subsidiaries" of the Company.
"PURCHASE AGREEMENT" means the Purchase Agreement, dated as of November 19,
1999, between the Company and the Initial Purchasers.
"QUALIFIED SUBSIDIARY" means a Wholly Owned Subsidiary, or an entity that
will become a Wholly Owned Subsidiary after giving effect to the transaction
being considered, that at the time of and after giving effect to the
consummation of the transaction under consideration, (i) is a Cable Business or
holds only Cable Assets, (ii) has no Indebtedness (other than Indebtedness being
incurred to consummate such transaction) and (iii) has no encumbrances or
restrictions (other than such encumbrances or restrictions imposed or permitted
by this Indenture, the indentures governing the Old Notes or any other
instrument governing unsecured indebtedness of the Company which is pari passu
with the Notes) on its ability to pay dividends or make any other distributions
to the Company or any of its Subsidiaries.
"RATING AGENCIES" means (i) S&P, (ii) Xxxxx'x and (iii) if S&P or Xxxxx'x
or both shall not make a rating of the Notes publicly available, a nationally
recognized securities rating agency or agencies, as the case may be, selected by
the Company, which shall be substituted for S&P or Xxxxx'x or both, as the case
may be.
"RATING CATEGORY" means (i) with respect to S&P, any of the following
categories: BB, B, CCC, CC, C and D (or equivalent successor categories), (ii)
with respect to Xxxxx'x, any of the following categories: Ba, B, Caa, Ca, C and
D (or equivalent successor categories) and (iii) the equivalent of any such
category of S&P or Xxxxx'x used by another Rating Agency. In determining whether
the rating of the Notes has decreased by one or more gradations, gradations
within Rating Categories (+ and - for S&P; 1, 2 and 3 for Xxxxx'x; or the
equivalent gradations for another Rating Agency) shall be taken into account
(e.g., with respect to S&P, a decline in a rating from BB to BB-, as well as
from BB-to B+, will constitute a decrease of one gradation).
"RATING DATE" means that date which is 90 days prior to the earlier of (x)
a Change of Control and (y) public notice of the occurrence of a Change of
Control or of the intention by the Company or any Permitted Holder to effect a
Change of Control.
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"RATINGS DECLINE" means the occurrence of any of the following events on,
or within six months after, the date of public notice of the occurrence of a
Change of Control or of the intention of the Company or any Person to effect a
Change of Control (which period shall be extended so long as the rating of any
of the Company's debt securities is under publicly announced consideration for
possible downgrade by any of the Rating Agencies): (a) in the event that any of
the Company's debt securities are rated by both of the Rating Agencies on the
Rating Date as Investment Grade, the rating of such securities by either of the
Rating Agencies shall be below Investment Grade, (b) in the event that any of
the Company's debt securities are rated by either, but not both, of the Rating
Agencies on the Rating Date as Investment Grade, the rating of such securities
by both of the Rating Agencies shall be below Investment Grade, or (c) in the
event any of the Company's debt securities are rated below Investment Grade by
both of the Rating Agencies on the Rating Date, the rating of such securities by
either Rating Agency shall be decreased by one or more gradations (including
gradations within Rating Categories as well as between Rating Categories).
"REDEEMABLE DIVIDEND" means, for any dividend with regard to Disqualified
Stock, the quotient of the dividend divided by the difference between one and
the maximum statutory federal income tax rate (expressed as a decimal number
between 1 and 0) then applicable to the issuer of such Disqualified Stock.
"REGISTERED EXCHANGE OFFER" has the meaning set forth in the Registration
Rights Agreement.
"REGISTRATION RIGHTS AGREEMENT" means the Registration Rights Agreement
relating to the Notes, dated November 24, 1999, between the Company and the
Initial Purchasers and, with respect to any Additional Notes, one or more
registration rights agreements between the Company and the other parties
thereto, as such agreement(s) may be amended, modified or supplemented from time
to time, relating to rights given by the Company to the purchasers of Additional
Notes to register such Additional Notes under the Securities Act.
"REPLACEMENT ASSETS" means (w) Cable Assets, (x) Equity Interests of any
Person engaged, directly or indirectly, primarily in a Cable Business, which
Person is or will become on the date of acquisition thereof a Restricted
Subsidiary as a result of the Company's acquiring such Equity Interests, (y)
Permitted Non-Controlled Assets or (z) any combination of the foregoing.
"RESTRICTED INVESTMENT" means an Investment other than a Permitted
Investment.
"RESTRICTED PERIOD" means the 40-day restricted period as defined in
Regulation S.
"RESTRICTED SUBSIDIARY" means any Subsidiary of the Company which is not a
Non-Restricted Subsidiary.
"RESTRICTED SUBSIDIARY PREFERRED STOCK DIVIDEND" means, for any dividend
with regard to preferred stock of a Restricted Subsidiary, the quotient of the
dividend divided by the difference between one and the maximum statutory federal
income tax rate (expressed as a decimal number between 1 and 0) then applicable
to the issuer of such preferred stock.
"S&P" means Standard & Poor's Ratings Group and its successors.
"SEC" means the Securities and Exchange Commission.
"SECURITIES ACT" means the Securities Act of 1933, as amended.
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"SUBORDINATED DEBENTURES" means the debentures exchangeable by the Company
for the Preferred Stock in accordance with the Certificate of Designations
therefor.
"SUBSIDIARY" means any corporation, association or other business entity of
which more than 50% of the total voting power of shares of Capital Stock
entitled (without regard to the occurrence of any contingency) to vote in the
election of directors, managers or trustees thereof is at the time owned or
controlled, directly or indirectly, by any Person or one or more of the other
Subsidiaries of that Person or a combination thereof.
"TIA" means the Trust Indenture Act of 1939 (15 U.S. Code Sections
77aaa-77bbbb) as in effect on the date of execution of this Indenture.
"TRUSTEE" means the party named as such above until a successor replaces it
in accordance with the applicable provisions of this Indenture and thereafter
means the successor.
"TRUST OFFICER" means the Chairman of the Board, the President or any other
officer or assistant officer of the Trustee assigned by the Trustee to
administer its corporate trust matters.
"WEIGHTED AVERAGE LIFE TO MATURITY" means, when applied to any Indebtedness
at any date, the number of years obtained by dividing (a) the sum of the
products obtained by multiplying (x) the amount of each then remaining
installment, sinking fund, serial maturity or other required payments of
principal, including payment at final maturity, in respect thereof, by (y) the
number of years (calculated to the nearest one-twelfth) that will elapse between
such date and the making of such payment, by (b) the then outstanding principal
amount of such Indebtedness.
"WHOLLY OWNED SUBSIDIARY" means, at any time, a Restricted Subsidiary all
of the Capital Stock of which (except directors' qualifying shares) is at the
time owned directly or indirectly by the Company.
SECTION 1.02 OTHER DEFINITIONS.
DEFINED
TERM IN SECTION
---- ----------
"ADDITIONAL AMOUNTS"..................................... 4.14
"AFFILIATE TRANSACTION".................................. 4.11
"AGENT MEMBER"........................................... 2.01
"ASSET SALE OFFER"....................................... 4.10
"BANKRUPTCY LAW"......................................... 6.01
"CHANGE OF CONTROL PAYMENT".............................. 4.13
"COMMENCEMENT DATE"...................................... 3.09
"COMMON DEPOSITARY"...................................... 2.03
"CUSTODIAN".............................................. 6.01
"DEFEASANCE"............................................. 8.02
"EVENT OF DEFAULT"....................................... 6.01
"EXCESS PROCEEDS"........................................ 4.10
"GLOBAL NOTE"............................................ 2.01
"INCUR".................................................. 4.08
"INITIAL NOTES".......................................... Preamble
"LEGAL HOLIDAY".......................................... 10.08
"OFFER AMOUNT"........................................... 3.09
"OFFICER"................................................ 10.10
"PAYING AGENT"........................................... 2.03
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DEFINED
TERM IN SECTION
---- ----------
"PAYMENT DEFAULT"........................................ 6.01
"PURCHASE DATE".......................................... 3.09
"PURCHASE OFFER"......................................... 4.13
"QIBS"................................................... 2.01
"REFINANCING INDEBTEDNESS"............................... 4.08
"REGULATION S"........................................... 2.01
"REGULATION S GLOBAL NOTES" ............................. 2.01
"REGISTRAR".............................................. 2.03
"RESTRICTED NOTES"....................................... 2.10
"RESTRICTED PAYMENTS".................................... 4.09
"RULE 144A".............................................. 2.01
"RULE 144A GLOBAL NOTES" ................................ 2.01
"TENDER PERIOD".......................................... 3.09
SECTION 1.03 INCORPORATION BY REFERENCE OF TRUST INDENTURE ACT.
Whenever this Indenture refers to a provision of the TIA, the provision is
incorporated by reference in and made a part of this Indenture.
The following TIA terms used in this Indenture have the following meanings:
"INDENTURE SECURITIES" means the Notes;
"INDENTURE SECURITY HOLDER" means a Holder of a Note;
"INDENTURE TO BE QUALIFIED" means this Indenture;
"INDENTURE TRUSTEE" or "institutional trustee" means the Trustee; and
"OBLIGOR" on the Notes means the Company or any other obligor on the Notes.
All other terms used in this Indenture that are defined by the TIA, defined
by TIA reference to another statute or defined by SEC rule under the TIA have
the meanings so assigned to them.
SECTION 1.04 RULES OF CONSTRUCTION.
Unless the context otherwise requires:
(a) a term has the meaning assigned to it;
(b) an accounting term not otherwise defined has the meaning assigned
to it in accordance with GAAP consistently applied;
(c) references to "GAAP" shall mean GAAP in effect as of the time when
and for the period as to which such accounting principles are to be
applied;
(d) "OR" is not exclusive;
(e) words in the singular include the plural, and in the plural
include the singular;
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(f) provisions apply to successive events and transactions;
(g) references to sections of or rules under the Securities Act shall
be deemed to include substitute, replacement or successor sections or rules
adopted by the SEC from time to time; and
(h) a reference to "$" or U.S. Dollars is to United States dollars, a
reference to "(pound)" or pounds sterling is to British pounds sterling and
a reference to "euro" or euros is to European Monetary Union euros.
ARTICLE II.
THE NOTES
SECTION 2.01 FORM AND DATING.
(a) General.
The Initial Notes and the Trustee's certificate of authentication shall be
substantially in the form of Exhibit A hereto, which is hereby incorporated by
reference and expressly made a part of this Indenture. The Exchange Notes and
the Trustee's certificate of authentication shall be substantially in the form
of Exhibit B hereto, which is hereby incorporated by reference and expressly
made a part of this Indenture. The Notes may have notations, legends or
endorsements required by law, stock exchange rule, agreements to which the
Company is subject, if any, or usage (provided that any such notation, legend or
endorsement is in a form acceptable to the Company). The Company shall furnish
any such legend not contained in Exhibit A or Exhibit B to the Trustee in
writing. Each Note shall be dated the date of its authentication. The Notes
shall be in denominations of euro1,000 and integral multiples thereof. The terms
and provisions of the Notes set forth in Exhibit A and Exhibit B are 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 to be bound thereby. However, to the extent any provision of
any Note conflicts with the express provisions of this Indenture, the provisions
of this Indenture shall govern and be controlling.
(b) Global Notes.
The Initial Notes are being offered and sold by the Company pursuant to the
Purchase Agreement.
Initial Notes offered and sold in reliance on Regulation S under the
Securities Act ("REGULATION S"), as provided in the Purchase Agreement, shall be
issued initially in the form of one or more permanent Global Notes in
definitive, fully registered form without interest coupons with the Global Note
Legend and Regulation S Restricted Notes Legend set forth in Exhibit A hereto
(the "REGULATION S GLOBAL NOTES"). Initial Notes offered and sold to Qualified
Institutional Buyers ("QIBS") in reliance on Rule 144A under the Securities Act
("RULE 144A"), as provided in the Purchase Agreement, shall be issued initially
in the form of one or more permanent Global Notes in definitive, fully
registered form without interest coupons with the Global Notes Legend and Rule
144A Restricted Notes Legend set forth in Exhibit A hereto (in the case of Rule
144A Global Notes to be held on behalf of Euroclear, the "EUROCLEAR RULE 144A
GLOBAL NOTES," in the case of Rule 144A Global Notes to be held on behalf of
DTC, the "DTC RULE 144A GLOBAL Notes," and collectively, the "RULE 144A GLOBAL
NOTES"). The Regulation S Restricted Notes Legend and the Rule 144A Restricted
Notes Legend as set forth in Exhibit
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A hereto are herein collectively called the "RESTRICTED NOTES LEGEND". Each
Global Note shall be deposited on behalf of the Initial Purchasers of the Notes
represented thereby with (i) in the case of Euroclear Rule 144A Global Notes and
Regulation S Global Notes to be held on behalf of Euroclear and Cedel the Common
Depositary, at its London office, as custodian for the Depositary, and
registered in the name of the Common Depositary or the nominee of the Common
Depositary for the accounts of designated agents holding on behalf of the
Depositary, and (ii) in the case of DTC Rule 144A Global Notes, with the
Trustee, at its New York office, as custodian for the Depositary, and registered
in the name of the Depositary or the nominee of the Depositary, in either case
duly executed by the Company and authenticated by the Trustee as hereinafter
provided. The aggregate principal amount of each Global Note may from time to
time be increased or decreased by adjustments made on the records of the
Trustee, the Common Depositary, or its nominee, and the Depositary or its
nominee as hereinafter provided.
Upon consummation of the Registered Exchange Offer, the Exchange Notes may
be issued in the form of one or more permanent Global Notes in definitive, fully
registered form without interest coupons with the Global Notes Legend but not
the Restricted Notes Legend set forth in Exhibit A hereto (i) in the case of
Euroclear Rule 144A Global Notes and Regulation S Global Notes to be held on
behalf of Euroclear and Cedel registered in the name of the Common Depositary or
a nominee of the Common Depositary, and (ii) in the case of DTC Rule 144A Global
Notes, registered in the name of the Depositary or the nominee of the
Depositary, and in either case, duly executed by the Company and authenticated
by the Trustee as hereinafter provided. The aggregate principal amount of such
Global Notes may from time to time be increased or decreased by adjustments made
on the records of the Trustee the Common Depositary or its nominee, and the
Depositary or its nominee as hereinafter provided.
After a transfer of any Initial Notes during the period of the
effectiveness of a Shelf Registration Statement with respect to the Initial
Notes and pursuant thereto, all requirements for Restricted Notes Legends on
such Initial Note will cease to apply.
(c) Euroclear and Cedel Procedures Applicable.
The provisions of the "Operating Procedures of the Euroclear System" and
"Terms and Conditions Governing Use of Euroclear" and the "General Terms and
Conditions of Cedelbank" and "Customer Handbook" of Cedelbank shall be
applicable to transfers of beneficial interests in the Global Notes that are
held by the Holders through Euroclear or Cedel.
(d) Book-Entry Provisions.
This Section 2.01(d) shall apply only to the Regulation S Global Notes, the
Rule 144A Global Notes and the Exchange Notes issued in the form of one or more
permanent Global Notes (collectively, the "GLOBAL NOTES") deposited with the
Common Depositary, on behalf of the Depositary or the Trustee, as custodian for
the Depositary, as applicable.
The Company shall execute and the Trustee shall, in accordance with this
Section 2.01(d), authenticate and deliver initially one or more Global Notes
that (i) in the case of Euroclear Rule 144A Global Notes and Regulation S Global
Notes to be held on behalf of Euroclear and Cedel, (A) shall be registered in
the name of the Common Depositary for such Global Note or the nominee of the
Common Depositary and (B) shall be delivered by the Trustee to the Depositary or
pursuant to the Depositary's instructions to the Common Depositary as custodian
for the Depositary and (ii) in the case of DTC Rule 144A Global Notes (A) shall
be registered in the name of the Depositary or the nominee of the Depositary and
(B) shall be delivered by the Trustee to such Depositary or pursuant to such
Depositary's instructions or held by the Trustee as custodian for the
Depositary.
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Members of, or participants in, the Depositary ("AGENT MEMBERS") shall have
no rights under this Indenture with respect to any Global Note held on their
behalf by the Depositary or by the Common Depositary or the Trustee as the
custodian of the Depositary or under such Global Note, and the Depositary may be
treated by the Company, the Trustee and any agent of the Company or the Trustee
as the absolute owner of such 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 furnished by the Depositary
or impair, as between the Depositary and its Agent Members, the operation of
customary practices of such Depositary governing the exercise of the rights of
an owner of a beneficial interest in any Global Note.
SECTION 2.02 EXECUTION AND AUTHENTICATION.
An Officer shall sign the Notes for the Company by manual or facsimile
signature.
If an Officer whose signature is on a Note no longer holds that office at
the time the Note is authenticated, the Note shall nevertheless be valid.
A Note shall not be valid until authenticated by the manual signature of an
authorized officer of the Trustee. The signature shall be conclusive evidence
that the Note has been authenticated under this Indenture.
The Trustee shall, upon a written order of the Company signed by an
Officer, authenticate (1) Initial Notes for original issue up to an aggregate
principal amount stated in paragraph 6 of the Initial Notes and (2) Exchange
Notes for issue only in a Registered Exchange Offer, pursuant to the
Registration Rights Agreement, in exchange for Initial Notes for a like
principal amount. The Trustee shall, upon a written order of the Company signed
by an Officer, authenticate Additional Notes for original issue up to
euro150,000,000 aggregate principal amount. Upon original issue, Additional
Notes shall be treated as Initial Notes for all purposes of this Indenture, and
upon exchange for Notes registered under the Securities Act pursuant to a
Registered Exchange Offer, Additional Notes delivered in such exchange shall be
treated as Exchange Notes for all purposes of this Indenture. The aggregate
principal amount of Notes outstanding at any time shall not exceed the amount
set forth herein, except as provided in Section 2.07.
The Trustee may appoint an authenticating agent acceptable to the Company
to authenticate Notes. An authenticating agent may authenticate Notes whenever
the Trustee may do so. Each reference in this Indenture to authentication by the
Trustee includes authentication by such agent. An authenticating agent has the
same rights as an Agent to deal with Holders, the Company or an Affiliate.
SECTION 2.03 REGISTRAR AND PAYING AGENT.
The Company shall maintain in the Borough of Manhattan, City of New York,
State of New York and London, England and, if and as long as the Notes are
listed on the Luxembourg Stock Exchange, in Luxembourg, (i) offices or agencies
where the Notes may be presented for registration of transfer or for exchange
("REGISTRAR") and (ii) offices or agencies where the Notes may be presented for
payment ("PAYING AGENT"). The Company initially designates The Chase Manhattan
Bank (London) at its offices in London to act as principal Registrar and Paying
Agent and the Trustee at its corporate trust offices in New York, New York and
Chase Manhattan Bank Luxembourg S.A. to act as a Registrar and Paying Agent. The
principal Registrar shall keep a register of the Notes and of their transfer and
exchange. The Company may appoint one or more co-registrars and one or more
additional paying agents in such other locations as it shall determine. The term
"Registrar" includes any co-registrar and the term "Paying Agent" includes any
additional paying agent. The Company may change any Paying Agent or Registrar
without prior notice to any Holder. The Company shall notify the Trustee of the
name and address of any
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Agent not a party to this Indenture. If the Company fails to appoint or maintain
another entity as Registrar or Paying Agent, the Trustee shall act as such. The
Company or any of its Affiliates may act as Paying Agent or Registrar.
Initially, The Chase Manhattan Bank (London) will act as common depositary
(the "COMMON DEPOSITARY") with respect to the Euroclear Rule 144A Global Notes
and Regulation S Global Notes.
SECTION 2.04 PAYING AGENT TO HOLD MONEY IN TRUST.
The Company shall require each Paying Agent other than the Trustee to agree
in writing that the Paying Agent will hold in trust for the benefit of Holders
or the Trustee all money held by the Paying Agent for the payment of principal
or interest on the Notes, and will notify the Trustee of any default by the
Company in making any such payment. While any such default continues, the
Trustee may require a Paying Agent to pay all money held by it to the Trustee
and to account for any money disbursed by it. The Company at any time may
require a Paying Agent to pay all money held by it to the Trustee. Upon payment
over to the Trustee, the Paying Agent (if other than the Company or an Affiliate
of the Company) shall have no further liability for the money. If the Company or
an Affiliate of the Company acts as Paying Agent, it shall segregate and hold in
a separate trust fund for the benefit of the Holders all money held by it as
Paying Agent.
SECTION 2.05 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
Holders. If the Trustee is not the Registrar, the Company shall furnish to the
Trustee on or 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 of Holders.
SECTION 2.06 TRANSFER AND EXCHANGE.
Where Notes are presented to the Registrar or a co-registrar with a request
to register a transfer or to exchange them for an equal principal amount of
Notes of other denominations, the Registrar shall register the transfer or make
the exchange if its requirements for such transactions are met. To permit
registrations of transfers and exchanges, the Company shall issue and the
Trustee shall authenticate Notes at the Registrar's request. No service charge
shall be made for any registration of transfer or exchange (except as otherwise
expressly permitted herein), but the Company may require payment of a sum
sufficient to cover any transfer tax or similar governmental charge payable in
connection therewith (other than any such transfer tax or similar governmental
charge payable upon exchanges pursuant to Sections 2.10, 3.06 or 9.05 hereof).
The Company shall not be required (i) to issue, register the transfer of or
exchange any Note for a period beginning at the opening of business 15 days
before the day of any selection of Notes to be redeemed under Section 3.02
hereof and ending at the close of business on the day of selection, or (ii) to
register the transfer, or exchange, of any Note so selected for redemption.
(a) Notwithstanding any provision to the contrary herein, so long as a
Global Note remains outstanding and is held by or on behalf of the
Depositary, transfers of a Global Note, in whole or in part, or of any
beneficial interest therein, shall only be made in accordance with Section
2.01(b) and this Section 2.06(a); provided, however, that beneficial
interests in a Global Note may be transferred to Persons who take delivery
thereof in the form of a beneficial interest in the same Global Note in
accordance with the transfer restrictions set forth in the Restricted
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Notes Legend and under the heading "Transfer Restrictions" in the Company's
Offering Memorandum dated November 19, 1999.
(i) Except for transfers or exchanges made in accordance with clauses (ii)
through (iv) of this Section 2.06(a), transfers of a Global Note shall be
limited to transfers of such Global Note in whole, but not in part, to nominees
of the Depositary or to the custodians of the Depositary or nominees thereof or
to a successor of the Depositary or such successor's nominee or to custodians of
such successor Depositary or nominees thereof.
(ii) Rule 144A Global Note to Regulation S Global Note. If an owner of a
beneficial interest in the Rule 144A Global Note deposited with the Depositary
or the Trustee as custodian for the Depositary wishes at any time to transfer
its interest in such Rule 144A Global Note to a Person who is required to take
delivery thereof in the form of an interest in the Regulation S Global Note,
such owner may, subject to the rules and procedures of the Depositary, exchange
or cause the exchange of such interest for an equivalent beneficial interest in
the Regulation S Global Notes. Upon receipt by the principal Registrar of (1)
instructions given in accordance with the Depositary's procedures from an Agent
Member directing the principal Registrar to credit or cause to be credited a
beneficial interest in the Regulation S Global Note in an amount equal to the
beneficial interest in the Rule 144A Global Note to be exchanged, (2) a written
order given in accordance with the Depositary's procedures containing
information regarding the participant account of the Depositary and the
Euroclear or Cedel account to be credited with such increase and (3) a
certificate in the form of Exhibit C attached hereto given by the Holder of such
beneficial interest, then the principal Registrar shall instruct the Depositary
to reduce or cause to be reduced the principal amount of the Rule 144A Global
Note and to increase or cause to be increased the principal amount of the
Regulation S Global Note by the aggregate principal amount of the beneficial
interest in the Rule 144A Global Note equal to the beneficial interest in the
Regulation S Global Note to be exchanged or transferred, to credit or cause to
be credited to the account of the Person specified in such instructions a
beneficial interest in the Regulation S Global Note equal to the reduction in
the principal amount of the Rule 144A Global Note and to debit or cause to be
debited from the account of the Person making such exchange or transfer the
beneficial interest in the Rule 144A Global Note that is being exchanged or
transferred.
(iii) Regulation S Global Note to Rule 144A Global Note. If an owner of a
beneficial interest in the Regulation S Global Note deposited with the
Depositary or with the Trustee as custodian for the Depositary wishes at any
time to transfer its interest in such Regulation S Global Note to a Person who
is required to take delivery thereof in the form of an interest in the Rule 144A
Global Note, such Holder may, subject to the rules and procedures of the
Depositary, exchange or cause the exchange of such interest for an equivalent
beneficial interest in the Rule 144A Global Note. Upon receipt by the principal
Registrar of (1) instructions from the Depositary, directing the principal
Registrar to credit or cause to be credited a beneficial interest in the Rule
144A Global Note equal to the beneficial interest in the Regulation S Global
Note to be exchanged or transferred, such instructions to contain information
regarding the participant account with the Depositary to be credited with such
increase, (2) a written order given in accordance with the Depositary's
procedures containing information regarding the participant account of the
Depositary and (3) a certificate in the form of Exhibit D attached hereto given
by the owner of such beneficial interest, then the principal Registrar
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will instruct the Depositary to reduce or cause to be reduced the Regulation S
Global Note and to increase or cause to be increased the principal amount of the
Rule 144A Global Note by the aggregate principal amount of the beneficial
interest in the Regulation S Global Note to be exchanged or transferred, and the
principal Registrar shall instruct the Depositary, concurrently with such
reduction, to credit or cause to be credited to the account of the Person
specified in such instructions a beneficial interest in the Rule 144A Global
Note equal to the reduction in the principal amount of the Regulation S Global
Note and to debit or cause to be debited from the account of the Person making
such exchange or transfer the beneficial interest in the Regulation S Global
Note that is being exchanged or transferred.
(iv) DTC Rule 144A Global Note to Euroclear Rule 144A Global Note. If an
owner of a beneficial interest in the DTC Rule 144A Global Note deposited with
the Depositary or the Trustee as custodian for the Depositary wishes at any time
to transfer its interest in such DTC Rule 144A Global Note to a Person who is
required to take delivery thereof in the form of an interest in the Euroclear
Rule 144A Global Note, such owner may, subject to the rules and procedures of
the Depositary, exchange or cause the exchange of such interest for an
equivalent beneficial interest in the Euroclear Rule 144A Global Notes. Upon
receipt by the principal Registrar of (1) instructions given in accordance with
the Depositary's procedures from an Agent Member directing the principal
Registrar to credit or cause to be credited a beneficial interest in the
Euroclear Rule 144A Global Note in an amount equal to the beneficial interest in
the DTC Rule 144A Global Note to be exchanged, (2) a written order given in
accordance with the Depositary's procedures containing information regarding the
participant account of the Depositary and the Euroclear account to be credited
with such increase and (3) a certificate in the form of Exhibit D attached
hereto given by the Holder of such beneficial interest, then the principal
Registrar shall instruct the Depositary to reduce or cause to be reduced the
principal amount of the DTC Rule 144A Global Note and to increase or cause to be
increased the principal amount of the Euroclear Rule 144A Global Note by the
aggregate principal amount of the beneficial interest in the DTC Rule 144A
Global Note equal to the beneficial interest in the Euroclear Rule 144A Global
Note to be exchanged or transferred, to credit or cause to be credited to the
account of the Person specified in such instructions a beneficial interest in
the Euroclear Rule 144A Global Note equal to the reduction in the principal
amount of the DTC Rule 144A Global Note and to debit or cause to be debited from
the account of the Person making such exchange or transfer the beneficial
interest in the DTC Rule 144A Global Note that is being exchanged or
transferred.
(v) Euroclear Rule 144A Global Note to DTC Rule 144A Global Note. If an
owner of a beneficial interest in the Euroclear Rule 144A Global Note deposited
with the Depositary or with the Trustee as custodian for the Depositary wishes
at any time to transfer its interest in such Euroclear Rule 144A Global Note to
a Person who is required to take delivery thereof in the form of an interest in
the DTC Rule 144A Global Note, such Holder may, subject to the rules and
procedures of the Depositary, exchange or cause the exchange of such interest
for an equivalent beneficial interest in the DTC Rule 144A Global Note. Upon
receipt by the principal Registrar of (1) instructions from the Depositary,
directing the principal Registrar to credit or cause to be credited a beneficial
interest in the DTC Rule 144A Global Note equal to the beneficial interest in
the Euroclear Rule 144A Global Note to be exchanged or transferred, such
instructions to contain information regarding the participant account with the
Depositary to be credited with such increase, (2) a written order given in
accordance with the Depositary's
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procedures containing information regarding the participant account of the
Depositary and (3) a certificate in the form of Exhibit D attached hereto given
by the owner of such beneficial interest, then the principal Registrar will
instruct the Depositary to reduce or cause to be reduced the Euroclear Rule 144A
Global Note and to increase or cause to be increased the principal amount of the
DTC Rule 144A Global Note by the aggregate principal amount of the beneficial
interest in the Euroclear Rule 144A Global Note to be exchanged or transferred,
and the principal Registrar shall instruct the Depositary, concurrently with
such reduction, to credit or cause to be credited to the account of the Person
specified in such instructions a beneficial interest in the DTC Rule 144A Global
Note equal to the reduction in the principal amount of the Euroclear Rule 144A
Global Note and to debit or cause to be debited from the account of the Person
making such exchange or transfer the beneficial interest in the Euroclear Rule
144A Global Note that is being exchanged or transferred.
(vi) Global Note to Restricted Note. If an owner of a beneficial interest
in a Global Note deposited with the Depositary or with the Trustee as custodian
for the Depositary wishes at any time to transfer its interest in such Global
Note to a Person who is required to take delivery thereof in the form of a
Restricted Note, such owner may, subject to the rules and procedures of the
Depositary, cause the exchange of such interest for one or more Restricted Notes
of any authorized denomination or denominations and of the same aggregate
principal amount. Upon receipt by the principal Registrar of (1) instructions
from the Depositary directing the principal Registrar to authenticate and
deliver one or more Restricted Notes of the same aggregate principal amount as
the beneficial interest in the Global Note to be exchanged, such instructions to
contain the name or names of the designated transferee or transferees, the
authorized denomination or denominations of the Restricted Notes to be so issued
and appropriate delivery instructions, (2) a certificate in the form of Exhibit
E attached hereto given by the owner of such beneficial interest to the effect
set forth therein, (3) a certificate in the form of Exhibit F attached hereto
given by the Person acquiring the Restricted Notes for which such interest is
being exchanged, to the effect set forth therein, and (4) such other
certifications, legal opinions or other information as the Company may
reasonably require to confirm that such transfer is being made pursuant to an
exemption from, or in a transaction not subject to, the registration
requirements of the Securities Act, then the principal Registrar, will instruct
the Depositary to reduce or cause to be reduced such Global Note by the
aggregate principal amount of the beneficial interest therein to be exchanged
and to debit or cause to be debited from the account of the Person making such
transfer the beneficial interest in the Global Note that is being transferred,
and concurrently with such reduction and debit the Company shall execute, and
the Trustee shall authenticate and deliver, one or more Restricted Notes of the
same aggregate principal amount in accordance with the instructions referred to
above.
(vii) Restricted Note to Restricted Note. If a Holder of a Restricted Note
wishes at any time to transfer such Restricted Note to a Person who is required
to take delivery thereof in the form of a Restricted Note, such Holder may,
subject to the restrictions on transfer set forth herein and in such Restricted
Note, cause the exchange of such Restricted Note for one or more Restricted
Notes of any authorized denomination or denominations and of the same aggregate
principal amount. Upon receipt by the principal Registrar of (1) such Restricted
Note, duly endorsed as provided herein, (2) instructions from such Holder
directing the principal Registrar to authenticate and deliver one or more
Restricted Notes of the same aggregate principal amount as the Restricted Note
to be exchanged, such instructions to contain the name or authorized
denomination
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or denominations of the Restricted Notes to be so issued and appropriate
delivery instructions, (3) a certificate from the Holder of the Restricted Note
to be exchanged in the form of Exhibit E attached hereto, (4) a certificate in
the form of Exhibit F attached hereto given by the Person acquiring the
Restricted Notes for which such interest is being exchanged, to the effect set
forth therein, and (5) such other certifications, legal opinions or other
information as the Company may reasonably require to confirm that such transfer
is being made pursuant to an exemption from, or in a transaction not subject to,
the registration requirements of the Securities Act, then the Registrar shall
cancel or cause to be canceled such Restricted Note and concurrently therewith,
the Company shall execute, and the Trustee shall authenticate and deliver, one
or more Restricted Notes of the same aggregate principal amount, in accordance
with the instructions referred to above.
(viii) Other Exchanges. In the event that a beneficial interest in a Global
Note is exchanged for Notes in definitive registered form pursuant to Section
2.10, prior to the effectiveness of a Shelf Registration Statement with respect
to such Notes, such Notes may be exchanged only in accordance with such
procedures as are substantially consistent with the provisions of clauses (ii)
and (iii) above (including the certification requirements intended to ensure
that such transfers comply with Rule 144A, Rule 144, Regulation S or any other
available exemption from registration, as the case may be) and such other
procedures as may from time to time be adopted by the Company.
(ix) Restricted Period. Prior to the termination of the Restricted Period
with respect to the issuance of the Notes, transfers of interests in the
Regulation S Global Note to "U.S. PERSONS" (as defined in Regulation S) shall be
limited to transfers to QIBs. The Company shall advise the Trustee as to the
termination of the Restricted Period and the Trustee may rely conclusively
thereon.
(b) Except in connection with a Registered Exchange Offer or a Shelf
Registration Statement contemplated by and in accordance with the terms of the
Registration Rights Agreement, if Initial Notes are issued upon the transfer,
exchange or replacement of Initial Notes bearing the Restricted Securities
Legend set forth in Exhibit A hereto, or if a request is made to remove such
Restricted Notes Legend on Initial Notes, the Initial Notes so issued shall bear
the applicable Restricted Notes Legend, or the Restricted Notes Legend shall not
be removed, as the case may be, unless there is delivered to the Company such
satisfactory evidence, which may include an opinion of counsel licensed to
practice law in the State of New York, as may be reasonably required by the
Company, that neither the legend nor the restrictions on transfer set forth
therein are required to ensure that transfers thereof comply with the provisions
of Rule 144A, Rule 144, Regulation S or any other available exemption from
registration under the Securities Act or, with respect to Restricted Notes, that
such Notes are not "restricted" within the meaning of Rule 144 under the
Securities Act. Upon provision of such satisfactory evidence, the Trustee, at
the direction of the Company, shall authenticate and deliver Initial Notes that
do not bear the legend.
(c) Neither the Company nor the Trustee shall have any responsibility for
any actions taken or not taken by the Depositary and the Company shall have no
responsibility for any actions taken or not taken by the Trustee as agent or
custodian of the Depositary.
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SECTION 2.07 REPLACEMENT NOTES.
If the Holder of a Note claims that the Note has been lost, destroyed or
wrongfully taken or if such Note is mutilated and is surrendered to the Trustee,
the Company shall issue and the Trustee shall authenticate a replacement Note if
the Trustee's and the Company's requirements are met. If required by the Trustee
or the Company, an indemnity bond must be sufficient in the judgment of both to
protect the Company, the Trustee, any Agent or any authenticating agent from any
loss which any of them may suffer if a Note is replaced. The Company may charge
for its expenses in replacing a Note.
In case any such mutilated, destroyed, lost or stolen Note has become or is
about to become due and payable, or is about to be purchased by the Company
pursuant to Article III hereof, the Company in its discretion may, instead of
issuing a new Note, pay or purchase such Note, as the case may be.
Every replacement Note is an additional obligation of the Company and shall
be entitled to all of the benefits of this Indenture equally and proportionately
with all other Notes duly issued hereunder.
SECTION 2.08 OUTSTANDING NOTES.
The Notes outstanding at any time are all the Notes authenticated by the
Trustee except for those canceled by it, those delivered to it for cancellation,
and those described in this Section as not outstanding.
If a Note is replaced, paid or purchased pursuant to Section 2.07 hereof,
it ceases to be outstanding unless the Trustee receives proof satisfactory to it
that the replaced, paid or purchased Note is held by a bona fide purchaser.
If the principal amount of any Note is considered paid under Section 4.01
hereof, such Note ceases to be outstanding and interest on it ceases to accrue.
Except as set forth in Section 2.09 hereof, a Note does not cease to be
outstanding because the Company or an Affiliate of the Company holds the Note.
SECTION 2.09 TREASURY NOTES.
In determining whether the Holders of the required principal amount of
Notes have concurred in any direction, waiver or consent, Notes owned by the
Company or an Affiliate of the Company shall be considered as though they are
not outstanding, except that for the purposes of determining whether the Trustee
shall be protected in relying on any such direction, waiver or consent, only
Notes that the Trustee knows are so owned shall be so disregarded.
SECTION 2.10 TEMPORARY NOTES; GLOBAL NOTES.
(a) Until definitive Notes are 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. Holders of
temporary Notes shall be entitled to all of the benefits of this Indenture.
(b) A Global Note deposited with the Depositary or with the Trustee as
custodian for the Depositary pursuant to Section 2.01 shall be transferred
to the beneficial owners thereof in the form of certificated Notes only if
such transfer complies with Section 2.06 and (i) the Depositary notifies
the Company that it is unwilling or unable to continue as Depositary for
such Global
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Note or if at any time such Depositary ceases to be a "clearing agency"
registered under the Exchange Act and a successor depositary is not
appointed by the Company within 90 days of such notice, or (ii) an Event of
Default has occurred and is continuing.
(c) Any Global Note that is transferable to the beneficial owners
thereof in the form of certificated Notes pursuant to this Section 2.10
shall be surrendered by or on behalf of the Depositary to the Trustee to be
so transferred, in whole or from time to time in part, without charge, and
the Trustee shall authenticate and deliver, upon such transfer of each
portion of such Global Note, an equal aggregate principal amount of Initial
Notes of authorized denominations in the form of certificated Notes. Any
portion of a Global Note transferred pursuant to this Section shall be
executed, authenticated and delivered only in denominations ofeuro1,000
and any integral multiple thereof and registered in such names as the
Depositary shall direct. Any Initial Note in the form of certificated Notes
delivered in exchange for an interest in the Global Notes shall, except as
otherwise provided by Section 2.06(b) bear the Restricted Notes Legend set
forth in Exhibit A hereto (the "RESTRICTED NOTES").
(d) The registered Holder of a 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.
(e) In the event of the occurrence of either of the events specified
in Section 2.10(b), the Company will promptly make available to the Trustee
a reasonable supply of certificated Notes in definitive, fully registered
form without interest coupons.
SECTION 2.11 CANCELLATION.
The Company at any time may deliver Notes to the Trustee for cancellation.
The Registrar and Paying Agent shall forward to the Trustee any Notes
surrendered to them for registration of transfer, exchange or payment. The
Trustee shall promptly cancel all Notes surrendered for registration of
transfer, exchange, payment, replacement or cancellation and shall dispose of
canceled Notes as the Company directs. The Company may not issue new Notes to
replace Notes that it has paid or that have been delivered to the Trustee for
cancellation.
SECTION 2.12 DEFAULTED INTEREST.
If the Company fails to make a payment of interest on the Notes, it shall
pay such defaulted interest plus any interest payable on the defaulted interest,
in any lawful manner. It may pay such defaulted interest, plus any such interest
payable on it, to the Persons who are Holders on a subsequent special record
date. The Company shall fix any such record date and payment date, provided that
no such record date shall be less than 10 days prior to the related payment date
for such defaulted interest. At least 15 days before any such record date, the
Company shall mail to Holders a notice that states the special record date, the
related payment date and amount of such interest to be paid.
ARTICLE III.
REDEMPTION
SECTION 3.01 NOTICES TO TRUSTEE.
If the Company elects to redeem Notes pursuant to the Optional Tax
Redemption provision of the Notes (Section 8 of the Initial Notes and Section 7
of the Exchange Notes), it shall notify the Trustee of the redemption date and
the principal amount of Notes to be redeemed, and such notice shall be
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accompanied by an Officer's Certificate to the effect that the conditions to
such redemption contained herein have been complied with. The Company shall give
the notice provided for in this Section 3.01 at least 50 days before the
redemption date (unless a shorter notice period shall be satisfactory to the
Trustee).
SECTION 3.02 INTENTIONALLY OMITTED
SECTION 3.03 NOTICE OF REDEMPTION.
At least 30 days but not more than 60 days before a redemption date, the
Company shall mail, by first class mail, a notice of redemption to each Holder
whose Notes are to be redeemed at its registered address. The notice shall
identify the Notes to be redeemed and shall state:
(a) the redemption date;
(b) the redemption price;
(c) Intentionally Omitted;
(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 plus accrued interest, if any;
(f) that interest on Notes called for redemption ceases to accrue on
and after the redemption date; and
(g) the paragraph of the Notes pursuant to which the Notes called for
redemption are being redeemed.
At the Company's request, the Trustee shall give notice of redemption in
the Company's name and at its expense; provided that the Company shall have
delivered to the Trustee, at least 45 days prior to the redemption date, an
Officer's Certificate requesting that the Trustee give such notice and setting
forth the information to be stated in such notice, as provided in the preceding
paragraph.
SECTION 3.04 EFFECT OF NOTICE OF REDEMPTION.
Once notice of redemption is mailed in accordance with Section 3.03 hereof,
Notes called for redemption become due and payable on the redemption date at the
price set forth in the Note. A notice of redemption may not be conditional.
SECTION 3.05 DEPOSIT OF REDEMPTION PRICE.
On or before the redemption date, the Company shall deposit with the
Trustee or with the Paying Agent money sufficient to pay the redemption price of
and accrued interest, if any, on all Notes to be redeemed on that date. The
Trustee or the Paying Agent shall return to the Company any money not required
for that purpose.
SECTION 3.06 INTENTIONALLY OMITTED.
SECTION 3.07 OPTIONAL TAX REDEMPTION.
The Company may redeem all of the Notes in accordance with the Optional Tax
Redemption provision of the Notes (Section 8 of the Initial Notes and Section 7
of the Exchange Notes). Redemption
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pursuant to this Section 3.07 shall be made pursuant to the provisions of
Section 3.01 through 3.06 hereof.
SECTION 3.08 MANDATORY REDEMPTION
The Company shall not be required to make mandatory redemption payments
with respect to the Notes.
SECTION 3.09 ASSET SALE OFFER AND PURCHASE OFFER.
(a) In the event that the Company shall commence an offer to all
Holders of the Notes to purchase Notes pursuant to Section 4.10 hereof (the
"ASSET SALE OFFER") or pursuant to Section 4.13 hereof (the "PURCHASE
OFFER"), the Company shall follow the procedures in this Section 3.09.
(b) The Asset Sale Offer or the Purchase Offer, as the case may be,
shall remain open for a period specified by the Company which shall be no
less than 30 calendar days and no more than 40 calendar days following its
commencement (the "COMMENCEMENT DATE") (as determined in accordance with
Section 4.10 or 4.13 hereof, as the case may be), except to the extent that
a longer period is required by applicable law (the "TENDER PERIOD"). Upon
the expiration of the Tender Period (the "PURCHASE DATE"), the Company
shall purchase the principal amount of Notes required to be purchased
pursuant to Section 4.10 or 4.13 hereof (the "OFFER AMOUNT") or, if less
than the Offer Amount has been tendered, all Notes tendered in response to
the Asset Sale Offer or the Purchase Offer, as the case may be.
(c) If the Purchase Date is (i) on or after an interest payment record
date and (ii) on or before the related interest payment date, any accrued
interest shall be paid to the Person in whose name a Note is registered at
the close of business on such record date, and no additional interest will
be payable to Holders who tender Notes pursuant to the Asset Sale Offer or
the Purchase Offer, as the case may be.
(d) The Company shall provide the Trustee with notice of the Asset
Sale Offer or the Purchase Offer, as the case may be, at least 10 days
before the Commencement Date.
(e) On or before the Commencement Date, the Company or the Trustee (at
the expense of the Company) shall send, by first class mail, a notice to
each of the Holders, which shall govern the terms of the Asset Sale Offer
or the Purchase Offer and shall state:
(i) that the Asset Sale Offer or the Purchase Offer is being made
pursuant to this Section 3.09 and, as applicable, Section 4.10 or 4.13
hereof and the length of time the Asset Sale Offer or the Purchase Offer
will remain open;
(ii) the Offer Amount, the purchase price (as determined in accordance
with Section 4.10 or 4.13 hereof) and the Purchase Date, and in the case of
a Purchase Offer made pursuant to Section 4.13 hereof, that all Notes
tendered will be accepted for payment;
(iii) that any Note or portion thereof not tendered or accepted for
payment will continue to accrue interest;
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(iv) that, unless the Company defaults in the payment of the purchase
price, any Note or portion thereof accepted for payment pursuant to the
Asset Sale Offer or the Purchase Offer will cease to accrue interest after
the Purchase Date;
(v) that Holders electing to have a Note or portion thereof purchased
pursuant to any Asset Sale Offer or Purchase Offer will be required to
surrender the Note, with the form entitled "Option of Holder to Elect
Purchase" on the reverse of the Note completed, to the Company, a
depositary, if appointed by the Company, or a Paying Agent at the address
specified in the notice prior to the close of business on the third
Business Day preceding the Purchase Date;
(vi) that Holders will be entitled to withdraw their election if the
Company, depositary or Paying Agent, as the case may be, receives, not
later than the close of business on the second Business Day preceding the
Purchase Date, or such longer period as may be required by law, a letter or
a telegram, telex or facsimile transmission (receipt of which is confirmed
and promptly followed by a letter) setting forth the name of the Holder,
the principal amount of the Note or portion thereof the Holder delivered
for purchase and a statement that such Xxxxxx is withdrawing his election
to have the Note or portion thereof purchased;
(vii) that, in the event of an Asset Sale Offer, if the aggregate
principal amount of Notes surrendered by Holders exceeds the Offer Amount,
the Trustee will select the Notes to be purchased pro rata or by a method
that complies with the requirements of any exchange on which the Notes are
listed and that the Trustee considers fair and appropriate with such
adjustments as may be deemed appropriate by the Company so that only Notes
in denominations of euro1,000, or integral multiples thereof, shall be
purchased; and
(viii) that Holders whose Notes were purchased only in part will be
issued new Notes equal in principal amount to the unpurchased portion of
the Notes surrendered.
In addition, the notice shall, to the extent permitted by applicable law,
be accompanied by a copy of the information regarding the Company and its
Subsidiaries which is required to be contained in the most recent Quarterly
Report on Form 10-Q or Annual Report on Form 10-K (including any financial
statements or other information required to be included or incorporated by
reference therein) and any Reports on Form 8-K filed since the date of such
Quarterly Report or Annual Report (or would have been required to file if the
Company remained a company incorporated in the United States), as the case may
be, which the Company has filed (or would have been required to file if it
remained a company incorporated in the United States) with the SEC on or prior
to the date of the notice. The notice shall contain all instructions and
materials necessary to enable such Holders to tender Notes pursuant to the Asset
Sale Offer or the Purchase Offer, as the case may be.
(f) At least one Business Day prior to the Purchase Date, the Company
shall irrevocably deposit with the Trustee or a Paying Agent in immediately
available funds an amount equal to the Offer Amount to be held for payment
in accordance with the terms of this Section. On the Purchase Date, the
Company shall, to the extent lawful, (i) accept for payment the Notes or
portions thereof tendered pursuant to the Asset Sale Offer or the Purchase
Offer, (ii) deliver or cause the depositary or Paying Agent to deliver to
the Trustee Notes so accepted and (iii) deliver to the Trustee an Officer's
Certificate stating such Notes or portions thereof have been accepted for
payment by the Company in accordance with the terms of this Section 3.09.
The depositary, the Paying Agent or the Company, as the case may be, shall
promptly (but in any case not later
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than ten (10) calendar days after the Purchase Date) mail or deliver to
each tendering Holder an amount equal to the purchase price of the Notes
tendered by such Holder and accepted by the Company for purchase, and the
Trustee shall promptly authenticate and mail or deliver to such Holders a
new Note equal in principal amount to any unpurchased portion of the Note
surrendered. Any Notes not so accepted shall be promptly mailed or
delivered by or on behalf of the Company to the Holder thereof. The Company
will publicly announce in a newspaper of general circulation the results of
the Asset Sale Offer or the Purchase Offer on the Purchase Date.
(g) For the purposes of calculating the allocation of available Excess
Proceeds to the Notes and each issue of Other Qualified Notes on a pro rata
basis according to accreted value or principal amount, as the case may be,
the relevant principal amount or the accreted value, as the case may be, of
the Notes and any Other Qualified Notes denominated in a currency other
than United States dollars will be notionally converted into United States
dollars from the currency the Notes and such Other Qualified Notes are
denominated in (the "BASE CURRENCY");
(i) in the case of determining the maximum principal amount or
accreted value of Notes and Other Qualified Notes that may be purchased out
of the Excess Proceeds, at the noon buying rate in the City of New York as
certified for customs purposes by the Federal Reserve Bank of New York for
cable transfers in the Base Currency (the "NOON BUYING RATE") on the
Business Day which is 10 Business Days prior to the Commencement Date; and
(ii) in the case of determining the allocation of the remaining Excess
Proceeds if the aggregate principal amount or accreted value, as the case
may be, of Notes and Other Qualified Notes surrendered by holders in the
Asset Sale Offer exceeds the remaining amount of Excess Proceeds, at the
Noon Buying Rate on the second Business Day preceding the Purchase Date.
(h) The Asset Sale Offer or the Purchase Offer shall be made by the
Company in compliance with all applicable provisions of the Exchange Act,
and all applicable tender offer rules promulgated thereunder, and shall
include all instructions and materials necessary to enable such Holders to
tender their Notes.
ARTICLE IV.
COVENANTS
SECTION 4.01 PAYMENT OF NOTES.
The Company shall pay the principal of, premium, if any, and interest on,
the Notes on the dates and in the manner provided in the Notes. Principal,
premium, if any, and interest shall be considered paid on the date due if the
Paying Agent (other than the Company or an Affiliate of the Company) holds on
that date money designated for and sufficient to pay all principal and interest
then due. To the extent lawful, the Company shall pay interest (including
post-petition interest in any proceeding under any Bankruptcy Law) on (i) the
overdue principal and premium, if any, at the rate borne by the Notes,
compounded semiannually; and (ii) overdue installments of interest (without
regard to any applicable grace period) at the same rate, compounded
semiannually.
SECTION 4.02 REPORTS.
Whether or not required by the rules and regulations of the SEC, so long as
any Notes are outstanding, the Company shall file with the SEC and furnish to
the Trustee and to the Holders of Notes, all quarterly and annual financial
information required to be contained in a filing with the SEC on Forms
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10-Q and 10-K (or the equivalent thereof under the Exchange Act for foreign
private issuers in the event the Company becomes a corporation organized under
the laws of the United Kingdom, the Netherlands, the Netherlands Antilles,
Bermuda or the Cayman Islands), including a "Management's Discussion and
Analysis of Results of Operations and Financial Condition" and, with respect to
the annual information only, a report thereon by the Company's certified
independent accountants, in each case, in the form required by the rules and
regulations of the SEC as in effect on the Issuance Date. This Section 4.02 will
apply notwithstanding that the Company becomes a corporation organized under the
laws of the United Kingdom, the Netherlands, the Netherlands Antilles, Bermuda
or the Cayman Islands.
SECTION 4.03 COMPLIANCE CERTIFICATE.
The Company shall deliver to the Trustee, within 90 days after the end of
each fiscal year of the Company, an Officer's Certificate stating that a review
of the activities of the Company and its subsidiaries during the preceding
fiscal year has been made under the supervision of the signing Officer with a
view to determining whether the Company has kept, observed, performed and
fulfilled its obligations under, and complied with the covenants and conditions
contained in, this Indenture, and further stating, as to the Officer signing
such certificate, that to the best of his knowledge the Company has kept,
observed, performed and fulfilled each and every covenant, and complied with the
covenants and conditions contained in this Indenture and is not in default in
the performance or observance of any of the terms, provisions and conditions
hereof (or, if a Default or Event of Default shall have occurred, describing all
such Defaults or Events of Default of which he may have knowledge) and that to
the best of his knowledge no event has occurred and remains in existence by
reason of which payments on account of the principal or of interest, if any, on
the Notes are prohibited.
One of the Officers signing such Officer's Certificate shall be either the
Company's principal executive officer, principal financial officer or principal
accounting officer.
The Company will so long as any of the Notes are outstanding, deliver to
the Trustee, forthwith upon becoming aware of any Default or Event of Default an
Officer's Certificate specifying such Default or Event of Default.
Immediately upon the occurrence of any event giving rise to the accrual of
Special Interest (as such term is defined in Exhibit A hereto) or the cessation
of such accrual, the Company shall give the Trustee notice thereof and of the
event giving rise to such accrual or cessation (such notice to be contained in
an Officer's Certificate) and prior to receipt of such Officer's Certificate the
Trustee shall be entitled to assume that no such accrual has commenced or
ceased, as the case may be.
SECTION 4.04 STAY, EXTENSION AND USURY LAWS.
The Company covenants (to the extent that it may lawfully do so) that it
will not at any time insist upon, plead, or in any manner whatsoever claim or
take the benefit or advantage of, any stay, extension or usury law wherever
enacted, now or at any time hereafter in force, which may affect the covenants
or the performance of this Indenture; and the Company (to the extent it may
lawfully do so) hereby expressly waives all benefit or advantage of any such
law, and covenants that it will not, by resort to any such law, hinder, delay or
impede the execution of any power herein granted to the Trustee, but will suffer
and permit the execution of every such power as though no such law had been
enacted.
SECTION 4.05 CORPORATE EXISTENCE.
Subject to Article V hereof, the Company will do or cause to be done all
things necessary to preserve and keep in full force and effect its corporate
existence and the corporate, partnership or other existence of each subsidiary
of the Company in accordance with the respective organizational documents
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of each subsidiary and the rights (charter and statutory), licenses and
franchises of the Company and its subsidiaries; provided, however, that the
Company shall not be required to preserve any such right, license or franchise,
or the corporate, partnership or other existence of any subsidiary, if the Board
of Directors shall determine that the preservation thereof is no longer
desirable in the conduct of the business of the Company and its subsidiaries
taken as a whole and that the loss thereof is not adverse in any material
respect to the Holders. The Company shall notify the Trustee in writing of any
subsidiary which qualifies as a Material Subsidiary and is not specified in
clause (i) of the definition thereof.
SECTION 4.06 TAXES.
The Company shall, and shall cause each of its subsidiaries to, pay prior
to delinquency all taxes, assessments and governmental levies, except as
contested in good faith and by appropriate proceedings.
SECTION 4.07 LIMITATIONS ON LIENS.
Neither the Company nor any of its Restricted Subsidiaries may, directly or
indirectly create, incur, assume or suffer to exist any Lien on any asset now
owned or hereafter acquired, or any income or profits therefrom or assign or
convey any right to receive income therefrom, except:
(a) Permitted Liens;
(b) Liens securing Indebtedness and related obligations to the extent
such Indebtedness and related obligations are permitted under Sections
4.08(b)(i), (iii), (iv), (v), (viii), (ix) and (xi) hereof;
(c) Liens on the assets acquired or leased with the proceeds of
Indebtedness permitted to be incurred under Section 4.08 hereof; and
(d) Liens securing Refinancing Indebtedness permitted to be incurred
under Section 4.08 hereof; provided that the Refinancing Indebtedness so
issued and secured by such Lien shall not be secured by any property or
assets of the Company or any of its Restricted Subsidiaries other than the
property or assets subject to the Liens securing such Indebtedness being
refinanced.
SECTION 4.08 INCURRENCE OF INDEBTEDNESS AND ISSUANCE OF PREFERRED STOCK.
(a) The Company shall not, and shall not permit any of its Restricted
Subsidiaries to, directly or indirectly, create, incur, issue, assume,
guaranty or otherwise become directly or indirectly liable with respect to
(collectively, "INCUR") any Indebtedness (including Acquired Debt) and the
Company shall not issue any Disqualified Stock and shall not permit any of
its Restricted Subsidiaries to issue any shares of preferred stock that is
Disqualified Stock; provided, however, that the Company may incur
Indebtedness or issue shares of Disqualified Stock and any of its
Restricted Subsidiaries may issue shares of preferred stock that is
Disqualified Stock if after giving effect to such issuance or incurrence on
a pro forma basis, the sum of (x) Indebtedness of the Company and its
Restricted Subsidiaries, on a consolidated basis, (y) the liquidation value
of outstanding preferred stock of Restricted Subsidiaries and (z) the
aggregate amount payable by the Company and its Restricted Subsidiaries, on
a consolidated basis, upon redemption of Disqualified Stock to the extent
such amount is not included in the preceding clause (y) shall be less than
the product of Annualized Pro Forma EBITDA for the latest fiscal quarter
for which internal financial statements are available immediately preceding
the date on which such additional Indebtedness is incurred or such
Disqualified Stock or preferred stock is issued multiplied by 7.0,
determined on a pro forma basis (including a pro forma application of the
net
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proceeds therefrom), as if the additional Indebtedness had been incurred,
or the Disqualified Stock or preferred stock had been issued, as the case
may be, at the beginning of such quarter.
(b) The foregoing limitations in Section 4.08(a) shall not apply to:
(i) the incurrence by the Company or any Restricted Subsidiary of
Indebtedness pursuant to the Credit Facility;
(ii) the issuance by any Restricted Subsidiary of preferred stock
(other than Disqualified Stock) to the Company, any Restricted Subsidiary
of the Company or the holders of Equity Interests in any Restricted
Subsidiary on a pro rata basis to such holders;
(iii) the incurrence of Indebtedness or the issuance of preferred
stock by the Company or any of its Restricted Subsidiaries the proceeds of
which are (or the credit support provided by any such Indebtedness is), in
each case, used to finance the construction, capital expenditure and
working capital needs of a Cable Business (including, without limitation,
payments made pursuant to any License), the acquisition of Cable Assets or
the Capital Stock of a Qualified Subsidiary;
(iv) the incurrence by the Company or any of its Restricted
Subsidiaries of additional Indebtedness in an aggregate principal amount
not to exceed $100.0 million at any time;
(v) the incurrence by the Company or any Restricted Subsidiary of any
Permitted Acquired Debt;
(vi) the incurrence by the Company or any Subsidiary of Indebtedness
issued in exchange for, or the proceeds of which are used to extend,
refinance, renew, replace, or refund the Notes, the 2009 Discount Notes,
the 2009 Notes, Existing Indebtedness or Indebtedness referred to in
clauses (i), (ii), (iii), (iv) or (v) above or Indebtedness incurred
pursuant to Section 4.08(a) hereof (the "REFINANCING INDEBTEDNESS");
provided, however, that (1) the principal amount of, and any premium
payable in respect of, such Refinancing Indebtedness shall not exceed the
principal amount of Indebtedness so extended, refinanced, renewed, replaced
or refunded (plus the amount of reasonable expenses incurred in connection
therewith); (2) the Refinancing Indebtedness shall have (A) a Weighted
Average Life to Maturity equal to or greater than the Weighted Average Life
to Maturity of the Indebtedness being extended, refinanced, renewed,
replaced or refunded, and (B) a stated maturity no earlier than the stated
maturity of, the Indebtedness being extended, refinanced, renewed, replaced
or refunded; and (3) the Refinancing Indebtedness shall be subordinated in
right of payment to the Notes as and to the extent of the Indebtedness
being extended, refinanced, renewed, replaced or refunded;
(vii) the issuance of the Preferred Stock in lieu of payment of cash
interest on the Subordinated Debentures or the incurrence by the Company of
Indebtedness represented by the Subordinated Debentures upon the exchange
of the Preferred Stock in accordance with the Certificate of Designations
therefor;
(viii) Indebtedness under Exchange Rate Contracts, provided that such
Exchange Rate Contracts are related to payment obligations under Existing
Indebtedness or Indebtedness incurred under Section 4.08(a) or (b) hereof
that are being hedged
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thereby, and not for speculation and that the aggregate notional amount
under each such Exchange Rate Contract does not exceed the aggregate
payment obligations under such Indebtedness;
(ix) Indebtedness under Interest Rate Agreements, provided that the
obligations under such agreements are related to payment obligations on
Existing Indebtedness or Indebtedness otherwise incurred pursuant to
Section 4.08(a) or (b) hereof, and not for speculation;
(x) the incurrence of Indebtedness between the Company and any
Restricted Subsidiary, between or among Restricted Subsidiaries and between
any Restricted Subsidiary and other holders of Equity Interests of such
Restricted Subsidiary (or other Persons providing funding on their behalf)
on a pro rata basis and on substantially identical principal financial
terms; provided, however, that if any such Restricted Subsidiary that is
the payee of any such Indebtedness ceases to be a Restricted Subsidiary or
transfers such Indebtedness (other than to the Company or a Restricted
Subsidiary of the Company), such events shall be deemed, in each case, to
constitute the incurrence of such Indebtedness by the Company or by a
Restricted Subsidiary, as the case may be, at the time of such event; and
(xi) Indebtedness of the Company and/or any Restricted Subsidiary in
respect of performance bonds of the Company or any Subsidiary or surety
bonds provided by the Company or any Restricted Subsidiary received in the
ordinary course of business in connection with the construction or
operation of a Cable Business.
(c) Any redesignation of a Non-Restricted Subsidiary as a Restricted
Subsidiary shall be deemed for purposes of this Section 4.08 to be an
incurrence of Indebtedness by the Company and its Restricted Subsidiaries
of the Indebtedness of such Non-Restricted Subsidiary as of the time of
such redesignation to the extent such Indebtedness does not already
constitute Indebtedness of the Company or one of its Restricted
Subsidiaries.
SECTION 4.09 RESTRICTED PAYMENTS.
(a) The Company shall not, and shall not permit any of its Restricted
Subsidiaries to, directly or indirectly:
(i) declare or pay any dividend or make any distribution on account of
the Company's or any of its Restricted Subsidiaries' Equity Interests
(other than (x) dividends or distributions payable in Equity Interests
(other than Disqualified Stock) of the Company or such Restricted
Subsidiary, (y) dividends or distributions payable to the Company or any
Wholly Owned Subsidiary of the Company, or (z) pro rata dividends or pro
rata distributions payable by a Restricted Subsidiary);
(ii) purchase, redeem or otherwise acquire or retire for value any
Equity Interests of the Company (other than any such Equity Interests owned
by the Company or any Wholly Owned Subsidiary of the Company);
(iii) voluntarily purchase, redeem or otherwise acquire or retire for
value any Indebtedness that is subordinated to the Notes; or
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(iv) make any Restricted Investment (all such payments and other
actions set forth in clauses (i) through (iv) above being collectively
referred to as "RESTRICTED PAYMENTS"), unless, at the time of such
Restricted Payment:
(1) no Default or Event of Default shall have occurred and be
continuing or would occur as a consequence thereof; and
(2) such Restricted Payment, together with the aggregate of all other
Restricted Payments made by the Company and its Restricted Subsidiaries
after the Issuance Date (including Restricted Payments permitted by clauses
(ii) through (x) of Section 4.09(b)), is less than the sum of (x) the
difference between Cumulative EBITDA and 1.5 times Cumulative Interest
Expense plus (y) Capital Stock Sale Proceeds plus (z) cash received by the
Company or a Restricted Subsidiary from a Non-Restricted Subsidiary (other
than cash which is or is required to be repaid or returned to such
Non-Restricted Subsidiary); provided, however, that to the extent that any
Restricted Investment that was made after the date of this Indenture is
sold for cash or otherwise liquidated or repaid for cash, the amount
credited pursuant to this clause (z) shall be the lesser of (A) the cash
received with respect to such sale, liquidation or repayment of such
Restricted Investment (less the cost of such sale, liquidation or
repayment, if any) and (B) the initial amount of such Restricted
Investment, in each case as determined in good faith by the Company's Board
of Directors.
(b) The foregoing provisions in Section 4.09(a) shall not prohibit:
(i) the payment of any dividend within 60 days after the date of
declaration thereof, if at said date of declaration such payment would have
complied with the provisions of this Indenture;
(ii) (x) the redemption, repurchase, retirement or other acquisition
of any Equity Interests of the Company or any Restricted Subsidiary or (y)
an Investment in any Person, in each case, in exchange for, or out of the
proceeds of, the substantially concurrent sale (other than to a Restricted
Subsidiary of the Company) of other Equity Interests (other than any
Disqualified Stock) of the Company, provided that the Company delivers to
the Trustee:
(1) with respect to any transaction involving in excess of $1.0
million, a resolution of the Board of Directors set forth in an Officer's
Certificate certifying that such transaction is approved by a majority of
the directors on the Board of Directors; and
(2) with respect to any transaction involving in excess of $25.0
million, an opinion as to the fairness to the Company or such Restricted
Subsidiary from a financial point of view issued by an investment banking
firm of national standing with high yield experience, together with an
Officer's Certificate to the effect that such opinion complies with this
clause (2);
(iii) Investments by the Company or any Restricted Subsidiary in a
Non-Controlled Subsidiary which (A) has no Indebtedness on a consolidated
basis other than Indebtedness incurred to finance the purchase of equipment
used in a Cable Business, (B) has no restrictions (other than restrictions
imposed or permitted by this Indenture or the indentures governing the
Other Qualified Notes or any other instrument governing unsecured
indebtedness of the Company which is pari passu with the Notes) on its
ability
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to pay dividends or make any other distributions to the Company or any of
its Restricted Subsidiaries, (C) is or will be a Cable Business and (D)
uses the proceeds of such Investment for constructing a Cable Business or
the working capital needs of a Cable Business;
(iv) the redemption, purchase, defeasance, acquisition or retirement
of Indebtedness that is subordinated to the Notes (including premium, if
any, and accrued and unpaid interest) made by exchange for, or out of the
proceeds of the substantially concurrent sale (other than to a Restricted
Subsidiary of the Company) of (A) Equity Interests of the Company or (B)
Refinancing Indebtedness permitted to be incurred under Section 4.08
hereof;
(v) Investments by the Company or any Restricted Subsidiary in a
Non-Controlled Subsidiary which is or will be a Cable Business in an amount
not to exceed $100.0 million in the aggregate plus the sum of (x) cash
received by the Company or a Restricted Subsidiary from a Non-Restricted
Subsidiary (other than cash which s or is required to be repaid or returned
to such Non-Restricted Subsidiary) and (y) Capital Stock Sale Proceeds
(excluding the aggregate net sale proceeds to be received upon conversion
of the Convertible Subordinated Notes);
(vi) Investments by the Company or any Restricted Subsidiary in
Permitted Non-Controlled Assets;
(vii) Investments by the Company or any Restricted Subsidiary in SDN
Limited, a joint venture organized to operate a digital terrestrial
television multiplex, in an amount not exceeding (pound)11.4 million.
(viii) the extension by the Company or any Restricted Subsidiary of
trade credit to a Non-Restricted Subsidiary extended on usual and customary
terms in the ordinary course of business, provided that the aggregate
amount of such trade credit shall not exceed $25.0 million at any one time;
(ix) the payment of cash dividends on the Preferred Stock accruing on
or after February 15, 2004 or any mandatory redemption or repurchase of the
Preferred Stock, in each case, in accordance with the Certificate of
Designations therefor; and
(x) the exchange of all of the outstanding shares of Preferred Stock
for Subordinated Debentures in accordance with the Certificate of
Designations for the Preferred Stock.
(c) Any Investment in a Subsidiary (other than the issuance, transfer
or other conveyance of Equity Interests of the Company (or any Capital
Stock Sale Proceeds therefrom)) that is designated by the Board of
Directors as a Non-Restricted Subsidiary shall become a Restricted Payment
made on the date of such designation in the amount of the greater of (x)
the book value of such Subsidiary on the date such Subsidiary becomes a
Non-Restricted Subsidiary and (y) the fair market value of such Subsidiary
on such date as determined (A) in good faith by the Board of Directors of
such Subsidiary if such fair market value is determined to be less than
$25.0 million and (B) by an investment banking firm of national standing
with high yield underwriting expertise if such fair market value is
determined to be in excess of $25.0 million.
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(d) Not later than the fifth Business Day after making any Restricted
Payment (other than those referred to in sub-clause (viii) of Section
4.09(b)), the Company shall deliver to the Trustee an Officer's Certificate
stating that such Restricted Payment is permitted and setting forth the
basis upon which the calculations required by this Section 4.09 were
computed, which calculations may be based upon the Company's latest
available financial statements.
SECTION 4.10 ASSET SALES.
(a) The Company will not, and will not permit any of its Restricted
Subsidiaries to cause, make or suffer to exist any Asset Sale, unless:
(i) no Default exists or is continuing immediately prior to and after
giving effect to such Asset Sale;
(ii) the Company (or the Restricted Subsidiary, as the case may be)
receives consideration at the time of such Asset Sale at least equal to the
fair market value (evidenced for purposes of this Section 4.10 by a
resolution of the Board of Directors set forth in an Officer's Certificate
delivered to the Trustee) of the assets sold or otherwise disposed of; and
(iii) at least 80% of the consideration therefor received by the
Company or such Restricted Subsidiary is in the form of (w) Cash
Equivalents, (x) Replacement Assets, (y) publicly traded Equity Interests
of a Person who is, directly or indirectly, engaged primarily in one or
more Cable Businesses; provided, however, that the Company or such
Restricted Subsidiary shall Monetize such Equity Interests by sale to one
or more Persons (other than to the Company or a Subsidiary thereof) at a
price not less than the fair market value thereof within 180 days of the
consummation of such Asset Sale, or (z) any combination of the foregoing
clauses (w) through (y); provided, however, that the amount of (x) any
liabilities (as shown on the Company's or such Restricted Subsidiary's most
recent balance sheet or in the notes thereto) of the Company or any
Restricted Subsidiary (other than liabilities that are by their terms
subordinated to the Notes) that are assumed by the transferee of any such
assets and (y) any notes or other obligations received by the Company or
any such Restricted Subsidiary from such transferee that are within five
Business Days converted by the Company or such Restricted Subsidiary into
cash, shall be deemed to be Cash Equivalents (to the extent of the Cash
Equivalents received in such conversion) for purposes of this clause (iii).
(b) Within 360 days after any Asset Sale, the Company (or the
Restricted Subsidiary, as the case may be) shall cause the Net Proceeds
from such Asset Sale:
(i) to be used to permanently reduce Indebtedness of a Restricted
Subsidiary; or
(ii) to be invested or reinvested in Replacement Assets.
Pending final application of any such Net Proceeds, the Company may
temporarily reduce revolving credit borrowings or otherwise invest such Net
Proceeds in any manner that is not prohibited by this Indenture or the
indentures for the Other Qualified Notes.
Any Net Proceeds from any Asset Sale that are not used or reinvested as
provided in the preceding sentence constitute "EXCESS PROCEEDS." When the
aggregate amount of Excess Proceeds
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exceeds $15 million, the Company shall make an offer (an "ASSET SALE OFFER") to
all holders of Notes and Other Qualified Notes to purchase the maximum principal
amount of Notes and Other Qualified Notes (determined on a pro rata basis
according to the accreted value or principal amount, as the case may be, of the
Notes and the Other Qualified Notes and in accordance with Section 3.09(g)(i))
that may be purchased out of the Excess Proceeds (x) with respect to the Other
Qualified Notes, based on the terms set forth in the indenture related to each
issue of the Other Qualified Notes and (y) with respect to the Notes, at an
offer price in cash in an amount equal to 100% of the outstanding principal
amount thereof plus accrued and unpaid interest, if any, to the date fixed for
the closing of such offer, in accordance with the procedures set forth in
Section 3.09 hereof. To the extent that the aggregate principal amount or
accreted value, as the case may be, of Notes and Other Qualified Notes tendered
pursuant to an Asset Sale Offer is less than the Excess Proceeds, the Company
may use such deficiency for general corporate purposes. If the aggregate
principal amount or accreted value, as the case may be, of Notes and Other
Qualified Notes surrendered by holders thereof exceeds the amount of Excess
Proceeds, then such remaining Excess Proceeds shall be allocated pro rata
according to accreted value or principal amount, as the case may be, to the
Notes and each issue of the Other Qualified Notes and in accordance with Section
3.09(g)(ii), and the Trustee shall select the Notes to be purchased from the
amount allocated to the Notes on the basis set forth in Section 3.09(e) hereof.
Upon completion of such offers to purchase each of the Notes and the Other
Qualified Notes, the amount of Excess Proceeds will be reset at zero.
(c) Notwithstanding the provisions of Sections 4.10(a) and (b): the
Company and its Subsidiaries may:
(i) sell, lease, transfer, convey or otherwise dispose of assets or
property acquired after October 14, 1993, by the Company or any Subsidiary
in a sale-and-leaseback transaction so long as the proceeds of such sale
are applied within five Business Days to permanently reduce Indebtedness of
a Restricted Subsidiary or if there is no such Indebtedness or such
proceeds exceed the amount of such Indebtedness then such proceeds or
excess proceeds are reinvested in a Replacement Assets within 360 days
after such sale, lease, transfer, conveyance or disposition;
(ii) (x) swap or exchange assets or property with a Cable Controlled
Subsidiary or (y) issue, sell, lease, transfer, convey or otherwise dispose
of equity securities of any of the Company's Subsidiaries to a Cable
Controlled Subsidiary, in each of cases (x) and (y) so long as (A) the
ratio of Indebtedness to Annualized Pro Forma EBITDA of the Company after
such transaction is equal to or less than the ratio of Indebtedness to
Annualized Pro Forma EBITDA of the Company immediately preceding such
transaction; provided, however, that if the ratio of Indebtedness to
Annualized Pro Forma EBITDA of the Company immediately preceding such
transaction is 6:1 or less, then the ratio of Indebtedness to Annualized
Pro Forma EBITDA of the Company may be 0.5 greater than such ratio
immediately preceding such transaction and (B) either (I) the assets so
contributed consist solely of a license to operate a Cable Business and the
Net Households covered by all of the licenses to operate cable and
telephone systems held by the Company and its Restricted Subsidiaries
immediately after and giving effect to such transaction equals or exceeds
the number of Net Households covered by all of the licenses to operate
cable and telephone systems held by the Company and its Restricted
Subsidiaries immediately prior to such transaction or (II) the assets so
contributed consist solely of Cable Assets and the value of the Capital
Stock received, immediately after and giving effect to such transaction, as
determined by an investment banking firm of recognized standing with
knowledge of the Cable Business, equals or exceeds the value of Cable
Assets exchanged for such Capital Stock; or
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(iii) issue, sell, lease, transfer, convey or otherwise dispose of
Equity Interests (other than Disqualified Stock) of the Company (or any
Capital Stock Sale Proceeds therefrom) to any Person (including
Non-Restricted Subsidiaries).
SECTION 4.11 TRANSACTIONS WITH AFFILIATES.
The Company shall not, and shall not permit any of its Restricted
Subsidiaries to, sell, lease, transfer or otherwise dispose of any of its
properties or assets to, or purchase any property or assets from, or enter into
or amend any contract, agreement, understanding, loan, advance or guarantee
with, or for the benefit of, any Affiliate (each of the foregoing, an "AFFILIATE
TRANSACTION"), unless:
(a) such Affiliate Transaction is on terms that are no less favorable
to the Company or the relevant Subsidiary than those that could have been
obtained in a comparable transaction by the Company or such Subsidiary with
an unrelated Person and
(b) the Company delivers to the Trustee:
(i) with respect to any Affiliate Transaction involving aggregate
payments in excess of $1.0 million or any series of Affiliate Transactions
with an Affiliate involving aggregate payments in excess of $1.0 million, a
resolution of the Board of Directors set forth in an Officer's Certificate
certifying that such Affiliate Transaction complies with Section 4.11 (a)
and such Affiliate Transaction is approved by a majority of the
disinterested directors on the Board of Directors; and
(ii) with respect to any Affiliate Transaction or any series of
Affiliate Transactions involving aggregate payments in excess of $25.0
million, an opinion as to the fairness to the Company or such Subsidiary
from a financial point of view issued by an investment banking firm of
national standing with high yield experience together with an Officer's
Certificate to the effect that such opinion complies with this clause (ii);
provided, however, that notwithstanding the foregoing provisions, the
following shall not be deemed to be Affiliate Transactions:
(1) any employment agreement entered into by the Company or any of its
Subsidiaries in the ordinary course of business and consistent with the
past practice of the Company or its predecessor or such Subsidiary;
(2) transactions between or among the Company and/or its Restricted
Subsidiaries;
(3) transactions permitted by the provisions of Section 4.09 hereof;
(4) Liens permitted under Section 4.07 hereof which are granted by the
Company or any of its Subsidiaries to an unrelated Person for the benefit
of the Company or any other Subsidiary of the Company;
(5) any transaction pursuant to an agreement in effect on the Issuance
Date;
(6) the incurrence of Indebtedness by a Restricted Subsidiary where
such Indebtedness is owed to the holders of the Equity Interests of such
Restricted Subsidiary on a pro rata basis and on substantially identical
principal financial terms;
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(7) management, operating, service or interconnect agreements entered
into in the ordinary course of business with any Cable Business in which
the Company or any Restricted Subsidiary has an Investment and which is not
a Cable Controlled Subsidiary (and of which no Affiliate of the Company is
an Affiliate other than as a result of such Investment); and
(8) any tax sharing agreement.
SECTION 4.12 DIVIDENDS AND OTHER PAYMENT RESTRICTIONS AFFECTING RESTRICTED
SUBSIDIARIES.
The Company shall not, and shall not permit any of its Restricted
Subsidiaries to, directly or indirectly, create or otherwise cause or suffer to
exist or become effective any encumbrance or restriction on the ability of any
Restricted Subsidiary to:
(a) (i) pay dividends or make any other distributions to the Company
or any of its Subsidiaries (A) on its Capital Stock or (B) with respect to
any other interest or participation in, or measured by, its profits, or
(ii) pay any indebtedness owed to the Company or any of its Subsidiaries,
or
(b) make loans or advances to the Company or any of its Subsidiaries,
or
(c) transfer any of its properties or assets to the Company or any of
its Subsidiaries, except for such encumbrances or restrictions existing
under or by reason of:
(i) Existing Indebtedness as in effect on the Issuance Date;
(ii) this Indenture, the Notes, the indentures relating to the 2009
Discount Notes and the 2009 Notes, the 2009 Discount Notes and the 2009
Notes;
(iii) any agreement covering or relating to Indebtedness permitted to
be incurred under Section 4.08(b)(i), (ii), (iii), (iv), (v), (viii) or
(ix) hereof (but only, in the case of Section 4.08(b)(viii) or (ix), to the
extent contemplated by the then-existing Credit Facility), provided that
the provisions of such agreement permit any action referred to in clause
(a) above in aggregate amounts sufficient to enable the payment of interest
and principal and mandatory repurchases pursuant to the terms of this
Indenture and the Notes, but provided further that: (x) any such agreement
may nevertheless encumber, prohibit or restrict any action referred to in
clause (a) above if an event of default under such agreement has occurred
and is continuing or would occur as a result of any such action; and (y)
any such agreement may nevertheless contain (I) restrictions limiting the
payment of dividends or the making of any other distributions to all or a
portion of excess cash-flow (or any similar formulation thereof) and (II)
subordination provisions governing Indebtedness owed to the Company or any
Restricted Subsidiary;
(iv) applicable law;
(v) any instrument governing Indebtedness or Capital Stock of a Person
acquired by the Company or any of its Subsidiaries as in effect at the time
of such acquisition (except to the extent such Indebtedness was incurred in
connection with such acquisition), which encumbrance or restriction is not
applicable to any Person, or the properties or assets of any Person, other
than the Person, or the property or assets of the
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Person, so acquired; provided that the EBITDA of such Person is not taken
into account in determining whether such acquisition was permitted by the
terms of this Indenture;
(vi) customary nonassignment provisions in leases entered into in the
ordinary course of business and consistent with past practices;
(vii) provisions of joint venture or stockholder agreements, so long
as such provisions are determined by a resolution of the Board of Directors
to be, at the time of such determination, customary for such agreements;
(viii) with respect to clause (c) above, purchase money obligations
for property acquired in the ordinary course of business or the provisions
of any agreement with respect to any Asset Sale (or transaction which, but
for its size, would be an Asset Sale), solely with respect to the assets
being sold; or
(ix) permitted Refinancing Indebtedness, provided that the
restrictions contained in the agreements governing such Refinancing
Indebtedness are determined by a resolution of the Board of Directors to be
no more restrictive than those contained in the agreements governing the
Indebtedness being refinanced.
SECTION 4.13 CHANGE OF CONTROL.
(a) Upon the occurrence of a Change of Control Triggering Event, each
Holder of Notes shall have the right to require the Company to repurchase
all or any part (equal to euro1,000 or an integral multiple thereof) of
such Xxxxxx's Notes pursuant to the offer described in Section 3.09 hereof
(the "PURCHASE OFFER") at a purchase price equal to 101% of the principal
amount thereof plus accrued and unpaid interest thereon, if any, to the
date of purchase (the "CHANGE OF CONTROL PAYMENT").
(b) Within 40 days following any Change of Control Triggering Event,
the Company shall mail to each Holder the notice provided by Section
3.09(e) and if and so long as the Notes are listed on the Luxembourg Stock
Exchange publish a notice in one leading newspaper with circulation in
Luxembourg.
SECTION 4.14 PAYMENT OF ADDITIONAL AMOUNTS.
At least 10 days prior to the first date on which payment of principal and
any premium or interest on the Notes is to be made, and at least 10 days prior
to any subsequent such date if there has been any change with respect to the
matters set forth in the Officer's Certificate described in this Section 4.14,
the Company shall furnish the Trustee and the Paying Agent, if other than the
Trustee, with an Officer's Certificate instructing the Trustee and the Paying
Agent whether the Company is obligated to pay Additional Amounts (as defined in
Section 3 of the Initial Notes or Section 2 of the Exchange Notes) with respect
to such payment of principal, or of any premium or interest on the Notes. If the
Company will be obligated to pay Additional Amounts with respect to such
payment, then such Officer's Certificate shall specify by country the amount, if
any, required to be withheld on such payments to such Holders and the Company
will pay to the Trustee or the Paying Agent such Additional Amounts. The Company
shall indemnify the Trustee and the Paying Agent for, and hold them harmless
against, any loss, liability or expense reasonably incurred without negligence
or bad faith on their part arising out of or in connection with actions taken or
omitted by any of them in reliance on any Officer's Certificate furnished to
them pursuant to this Section 4.14.
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Whenever in this Indenture there is mentioned, in any context, the payment
of principal (and premium, if any), Offer Amount, interest or any other amount
payable under or with respect to any Note such mention shall be deemed to
include mention of the payment of Additional Amounts provided for in this
Section 4.14 and Section 3 of the Initial Notes (or Section 2 of the Exchange
Notes) to the extent that, in such context, Additional Amounts are, were or
would be payable in respect thereof pursuant to the provisions of this Section
4.14 and Section 3 of the Initial Notes (or Section 2 of the Exchange Notes) and
express mention of the payment of Additional Amounts (if applicable) in any
provisions hereof shall not be construed as excluding Additional Amounts in
those provisions hereof where such express mention is not made (if applicable).
ARTICLE V.
SUCCESSORS
SECTION 5.01 MERGER, CONSOLIDATION OR SALE OF ASSETS.
The Company may not consolidate or merge with or into (whether or not the
Company is the surviving corporation), or sell, assign, transfer, lease, convey
or otherwise dispose of all or substantially all of its properties or assets in
one or more related transactions to, another corporation, Person or entity
unless:
(a) the Company is the surviving corporation or the entity or the
Person formed by or surviving any such consolidation or merger (if other
than the Company) or to which such sale, assignment, transfer, lease,
conveyance or other disposition shall have been made is a corporation
organized or existing under the laws of the United Kingdom, the
Netherlands, the Netherlands Antilles, Bermuda or the Cayman Islands or of
the United States, any state thereof or the District of Columbia;
(b) the entity or Person formed by or surviving any such consolidation
or merger (if other than the Company) or the entity or Person to which such
sale, assignment, transfer, lease, conveyance or other disposition will
have been made assumes all the Obligations (including the due and punctual
payment of Additional Amounts if the surviving corporation is a corporation
organized or existing under the laws of the United Kingdom, the
Netherlands, the Netherlands Antilles, Bermuda or the Cayman Islands) of
the Company, pursuant to a supplemental indenture in a form reasonably
satisfactory to the Trustee, under the Notes and this Indenture;
(c) immediately after such transaction no Default or Event of Default
exists;
(d) the Company or any entity or Person formed by or surviving any
such consolidation or merger, or to which such sale, assignment, transfer,
lease, conveyance or other disposition will have been made will have a
ratio of Indebtedness to Annualized Pro Forma EBITDA equal to or less than
the ratio of Indebtedness to Annualized Pro Forma EBITDA of the Company
immediately preceding the transaction; provided, however, that if the ratio
of Indebtedness to Annualized Pro Forma EBITDA of the Company immediately
preceding such transaction is 6:1 or less, then the ratio of Indebtedness
to Annualized Pro Forma EBITDA of the Company may be 0.5 greater than such
ratio immediately preceding such transaction; and
(e) such transaction would not result in the loss of any material
authorization or Material License of the Company or its Subsidiaries.
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SECTION 5.02 SUCCESSOR CORPORATION SUBSTITUTED.
Upon any consolidation or merger, or any sale, assignment, transfer, lease,
conveyance or other disposition of all or substantially all of the assets of the
Company in accordance with Section 5.01 hereof, the successor corporation formed
by such consolidation or into or with which the Company is merged or to which
such sale, assignment, transfer, lease, conveyance or other disposition is made
shall succeed to, and be substituted for and may exercise every right and power
of, the Company under this Indenture with the same effect as if such successor
Person has been named as the Company herein; provided, however, that the
predecessor Company in the case of a sale, assignment, transfer, lease,
conveyance or other disposition shall not be released from the obligation to pay
the principal of and interest on the Notes.
ARTICLE VI.
DEFAULTS AND REMEDIES
SECTION 6.01 EVENTS OF DEFAULT.
An "EVENT OF DEFAULT" occurs if:
(a) the Company defaults in the payment of interest (and Additional
Amounts, if applicable) on any Note when the same becomes due and payable
and the Default continues for a period of 30 days after the date due and
payable;
(b) the Company defaults in the payment of the principal of any Note
when the same becomes due and payable, upon redemption or otherwise;
(c) the Company fails to observe or perform any covenant or agreement
contained in Section 4.08, 4.09, or 4.13 hereof;
(d) the Company fails to observe or perform any other covenant or
agreement contained in this Indenture or the Notes, required by any of them
to be performed and the Default continues for a period of 60 days after
notice from the Trustee to the Company or from the Holders of 25% in
aggregate principal amount of the then outstanding Notes to the Company and
the Trustee stating that such notice is a "Notice of Default";
(e) default under any mortgage, indenture or instrument under which
there may be issued or by which there may be secured or evidenced any
Indebtedness for money borrowed by the Company or any Restricted Subsidiary
(or the payment of which is guaranteed by the Company or any Restricted
Subsidiary), whether such Indebtedness or guarantee now exists or is
created after the Issuance Date, which default:
(i) is caused by a failure to pay when due principal of or interest on
such Indebtedness within the grace period provided for in such Indebtedness
(which failure continues beyond any applicable grace period) (a "PAYMENT
DEFAULT"); or
(ii) results in the acceleration of such Indebtedness prior to its
express maturity
and, in each case, the principal amount of any such Indebtedness,
together with the principal amount of any other such Indebtedness under
which there is a Payment Default or the maturity of which has been so
accelerated, aggregates $10.0 million or more;
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(f) a final judgment or final judgments (other than any judgment as to
which a reputable insurance company has accepted full liability) for the
payment of money are entered by a court or courts of competent jurisdiction
against the Company or any Restricted Subsidiary of the Company which
remains undischarged for a period (during which execution shall not be
effectively stayed) of 60 days, provided that the aggregate of all such
judgments exceeds $5.0 million;
(g) the Company or any Material Subsidiary pursuant to or within the
meaning of any Bankruptcy Law:
(i) commences a voluntary case;
(ii) consents to the entry of an order for relief against it in an
involuntary case in which it is the debtor;
(iii) consents to the appointment of a Custodian of it or for all or
substantially all of its property;
(iv) makes a general assignment for the benefit of its creditors; or
(v) generally is unable to pay its debts as the same become due;
(h) a court of competent jurisdiction enters an order or decree under
any Bankruptcy Law that:
(i) is for relief against the Company or any Material Subsidiary in an
involuntary case;
(ii) appoints a Custodian of the Company or any Material Subsidiary or
for all or substantially all of its property; or
(iii) orders the liquidation of the Company or any Material
Subsidiary, and the order or decree remains unstayed and in effect for 60
days; and
(i) the revocation of a Material License.
The term "BANKRUPTCY LAW" means Title 11, U.S. Code or any similar
Federal, state or foreign law for the relief of debtors or the protection
of creditors. The term "CUSTODIAN" means any receiver, trustee, assignee,
liquidator or similar official under any Bankruptcy Law.
SECTION 6.02 ACCELERATION.
If an Event of Default (other than an Event of Default specified in clauses
(g) and (h) of Section 6.01 hereof) occurs and is continuing, the Trustee by
notice to the Company, or the Holders of at least 25% in principal amount of the
then outstanding Notes by notice to the Company and the Trustee, may declare all
the Notes to be due and payable. Upon such declaration, the principal of,
premium, if any, and interest on, the Notes shall be due and payable
immediately. If an Event of Default specified in clause (g) or (h) of Section
6.01 hereof occurs, such an amount shall ipso facto become and be immediately
due and payable without any declaration or other act on the part of the Trustee
or any Holder. The Holders of a majority in principal amount of the then
outstanding Notes by notice to the Trustee may rescind an acceleration and its
consequences if the rescission would not conflict with any judgment or decree
and if
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all existing Events of Default have been cured or waived except nonpayment of
principal or interest that has become due solely because of the acceleration.
SECTION 6.03 OTHER REMEDIES.
If an Event of Default occurs and is continuing, the Trustee may pursue any
available remedy to collect the payment of principal or interest on the Notes or
to enforce the performance of any provision of the Notes or this Indenture.
The Trustee may maintain a proceeding even if it does not possess any of
the Notes or does not produce any of them in the proceeding. A delay or omission
by the Trustee or any Holder in exercising any right or remedy accruing upon an
Event of Default shall not impair the right or remedy or constitute a waiver of
or acquiescence in the Event of Default. All remedies are cumulative to the
extent permitted by law.
SECTION 6.04 WAIVER OF PAST DEFAULTS.
The Holders of a majority in principal amount of the then outstanding Notes
by notice to the Trustee may waive an existing Default or Event of Default and
its consequences except a continuing Default or Event of Default in the payment
of the principal of, or interest on any Note. When a Default or Event of Default
is waived, it is cured and ceases; but no such waiver shall extend to any
subsequent or other Default or impair any right consequent thereon.
SECTION 6.05 CONTROL BY MAJORITY.
The Holders of a majority in principal amount of the then outstanding Notes
may direct the time, method and place of conducting any proceeding for any
remedy available to the Trustee or exercising any trust or power conferred on
it. However, the Trustee may refuse to follow any direction that conflicts with
law or this Indenture, is unduly prejudicial to the rights of other Holders, or
would involve the Trustee in personal liability.
SECTION 6.06 LIMITATION ON SUITS.
A Holder may pursue a remedy with respect to this Indenture or the Notes
only if:
(a) the Holder gives to the Trustee notice of a continuing Event of
Default;
(b) the Holders of at least 25% in principal amount of the then
outstanding Notes make a request to the Trustee to pursue the remedy;
(c) such Holder or Holders offer to the Trustee indemnity satisfactory
to the Trustee against any loss, liability or expense;
(d) the Trustee does not comply with the request within 60 days after
receipt of the request and the offer of indemnity; and
(e) during such 60-day period the Holders of a majority in principal
amount of the then outstanding Notes do not give the Trustee a direction
inconsistent with the request.
A Holder may not use this Indenture to prejudice the rights of another
Holder or to obtain a preference or priority over another Holder.
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SECTION 6.07 RIGHTS OF HOLDERS TO RECEIVE PAYMENT.
Notwithstanding any other provision of this Indenture, the right of any
Holder of a Note to receive payment of principal and interest on the Note, on or
after the respective due dates expressed in the Note, or to bring suit for the
enforcement of any such payment on or after such respective dates, shall not be
impaired or affected without the consent of the Holder made pursuant to this
Section.
SECTION 6.08 COLLECTION SUIT BY TRUSTEE.
If an Event of Default specified in Section 6.01(a) or (b) occurs and is
continuing, the Trustee may recover judgment in its own name and as trustee of
an express trust against the Company for the whole amount of principal and
interest remaining unpaid on the Notes and interest on overdue principal and
interest and such further amount as shall be sufficient to cover the costs and,
to the extent lawful, expenses of collection, including the reasonable
compensation, expenses, disbursements and advances of the Trustee, its agents
and counsel.
SECTION 6.09 TRUSTEE MAY FILE PROOFS OF CLAIM.
The Trustee may file such proofs of claim and other papers or documents as
may be necessary or advisable in order to have the claims of the Trustee and the
Holders allowed in any judicial proceedings relative to the Company, its
creditors or its property. Nothing contained herein shall be deemed to authorize
the Trustee to authorize or consent to or accept or adopt on behalf of any
Holder any plan of reorganization, arrangement, adjustment or composition
affecting the Notes or the rights of any Holder thereof, or to authorize the
Trustee to vote in respect of the claim of any Holder in any such proceeding.
SECTION 6.10 PRIORITIES.
If the Trustee collects any money pursuant to this Article, it shall pay
out the money in the following order:
First: to the Trustee for amounts due under Section 7.07 hereof;
Second: to Holders for amounts due and unpaid on the Notes for principal
and interest (and Additional Amounts, if applicable), ratably, without
preference or priority of any kind, according to the amounts due and payable on
the Notes for principal and interest, respectively; and
Third: to the Company.
The Trustee may fix a record date and payment date for any payment to
Holders made pursuant to this Section.
SECTION 6.11 UNDERTAKING FOR COSTS.
In any suit for the enforcement of any right or remedy under this Indenture
or in any suit against the Trustee for any action taken or omitted by it as a
Trustee, a court in its discretion may require the filing by any party litigant
in the suit of an undertaking to pay the costs of the suit, and the court in its
discretion may assess reasonable costs, including reasonable attorneys' fees,
against any party litigant in the suit, having due regard to the merits and good
faith of the claims or defenses made by the party litigant. This Section does
not apply to a suit by the Trustee, a suit by a Holder pursuant to Section 6.07
hereof, or a suit by Holders of more than 10% in principal amount of the then
outstanding Notes.
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ARTICLE VII.
TRUSTEE
SECTION 7.01 DUTIES OF TRUSTEE.
(a) If an Event of Default has occurred and is continuing, the Trustee
shall exercise such of the rights and powers vested in it by this
Indenture, and use the same degree of care and skill in their exercise, as
a prudent man would exercise or use under the circumstances in the conduct
of his own affairs.
(b) Except during the continuance of an Event of Default: (i) the
Trustee need perform only those duties that are specifically set forth in
this Indenture and no others and (ii) in the absence of bad faith on its
part, the Trustee may conclusively rely, as to the truth of the statements
and the correctness of the opinions expressed therein, upon certificates or
opinions furnished to the Trustee and conforming to the requirements of
this Indenture. However, the Trustee shall examine the certificates and
opinions to determine whether or not they conform to the requirements of
this Indenture and to confirm the correctness of all mathematical
computations.
(c) The Trustee may not be relieved from liability for its own
negligent action, its own negligent failure to act, or its own willful
misconduct, except that: (i) this paragraph does not limit the effect of
paragraph (b) of this Section 7.01; (ii) the Trustee shall not be liable
for any error of judgment made in good faith by a Trust Officer, unless it
is proved that the Trustee was negligent in ascertaining the pertinent
facts and (iii) the Trustee shall not be liable with respect to any action
it takes or omits to take in good faith in accordance with a direction
received by it pursuant to Section 6.05 hereof.
(d) Every provision of this Indenture that in any way relates to the
Trustee is subject to paragraphs (a), (b) and (c) of this Section 7.01.
(e) The Trustee may refuse to perform any duty or exercise any right
or power unless it receives indemnity satisfactory to it against any loss,
liability or expense.
(f) The Trustee shall not be liable for interest on any money received
by it except as the Trustee may agree in writing with the Company. Money
held in trust by the Trustee need not be segregated from other funds except
to the extent required by law.
SECTION 7.02 RIGHTS OF TRUSTEE.
(a) The Trustee may rely on any document believed by it to be genuine
and to have been signed or presented by the proper Person. The Trustee need
not investigate any fact or matter stated in the document.
(b) Before the Trustee acts or refrains from acting, it may require an
Officer's Certificate or an Opinion of Counsel, or both. The Trustee shall
not be liable for any action it takes or omits to take in good faith in
reliance on such Officer's Certificate or Opinion of Counsel.
(c) The Trustee may act through agents and shall not be responsible
for the misconduct or negligence of any agent appointed with due care.
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(d) The Trustee shall not be liable for any action it takes or omits
to take in good faith which it believes to be authorized or within its
rights or powers.
(e) The Trustee shall not be charged with knowledge of any Event of
Default under subsection (c), (d), (e), (f) or (i) (and subsection (a) or
(b) if the Trustee does not act as Paying Agent) of Section 6.01 or of the
identity of any Material Subsidiary referred to in clause (ii) of the
definition thereof unless either (1) a Trust Officer of the Trustee
assigned to its Corporate Trustee Administration Department shall have
actual knowledge thereof, or (2) the Trustee shall have received notice
thereof in accordance with Section 10.02 hereof from the Company or any
Holder.
SECTION 7.03 INDIVIDUAL RIGHTS OF TRUSTEE.
The Trustee in its individual or any other capacity may become the owner or
pledgee of Notes and may otherwise deal with the Company or an Affiliate with
the same rights it would have if it were not Trustee. Any Agent may do the same
with like rights. However, the Trustee is subject to Sections 7.10 and 7.11
hereof.
SECTION 7.04 TRUSTEE'S DISCLAIMER.
The Trustee makes no representation as to the validity or adequacy of this
Indenture or the Notes, it shall not be accountable for the Company's use of the
proceeds from the Notes, and it shall not be responsible for any statement of
the Company in the Indenture or any statement in the Notes other than its
authentication or for compliance by the Company with the Registration Rights
Agreement.
SECTION 7.05 NOTICE OF DEFAULTS.
If a Default or Event of Default occurs and is continuing and if it is
known to the Trustee, the Trustee shall mail to Holders a notice of the Default
or Event of Default within 90 days after it occurs. Except in the case of a
Default or Event of Default in payment on any Note, the Trustee may withhold the
notice if and so long as a committee of its Trust Officers in good faith
determines that withholding the notice is in the interests of Holders.
SECTION 7.06 REPORTS BY TRUSTEE TO HOLDERS.
Within 60 days after the reporting date stated in Section 10.10, the
Trustee shall mail to Holders a brief report dated as of such reporting date
that complies with TIA Section 313(a) if and to the extent required by such
Section 313(a). The Trustee also shall comply with TIA Section 313(b)(2).
The Trustee shall also transmit by mail all reports as required by TIA
Section 313(c).
A copy of each report at the time of its mailing to Holders shall be filed
with the SEC and each stock exchange on which the Notes are listed. The Company
shall notify the Trustee when the Notes are listed on any stock exchange.
SECTION 7.07 COMPENSATION AND INDEMNITY.
The Company shall pay to the Trustee from time to time reasonable
compensation for its services hereunder. The Trustee's compensation shall not be
limited by any law on compensation of a trustee of an express trust. The Company
shall reimburse the Trustee upon request for all reasonable disbursements,
expenses and advances incurred or made by it. Such disbursements and expenses
may include the reasonable disbursements, compensation and expenses of the
Trustee's agents and counsel.
The Company shall indemnify the Trustee against any loss or liability
incurred by it except as set forth in the next paragraph. The Trustee shall
notify the Company promptly of any claim for which it
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may seek indemnity. The Company shall defend the claim and the Trustee shall
cooperate in the defense. The Trustee may have separate counsel and the Company
shall pay the reasonable fees, disbursements and expenses of such counsel. The
Company need not pay for any settlement made without its consent, which consent
shall not be unreasonably withheld.
The Company need not reimburse any expense or indemnify against any loss or
liability incurred by the Trustee through negligence or bad faith.
To secure the Company's payment obligations in this Section, the Trustee
shall have a lien prior to the Notes on all money or property held or collected
by the Trustee, except money or property held in trust to pay principal and
interest on particular Notes.
Without prejudice to any other rights available to the Trustee under
applicable law, when the Trustee incurs expenses or renders services after an
Event of Default specified in Section 6.01(g) or (h) occurs, the expenses and
the compensation for the services are intended to constitute expenses of
administration under any Bankruptcy Law.
All amounts owing to the Trustee under this Section shall be payable by the
Company in United States dollars.
SECTION 7.08 REPLACEMENT OF TRUSTEE.
A resignation or removal of the Trustee and appointment of a successor
Trustee shall become effective only upon the successor Trustee's acceptance of
appointment as provided in this Section.
The Trustee may resign by so notifying the Company. The Holders of a
majority in principal amount of the then outstanding Notes may remove the
Trustee by so notifying the Trustee and the Company. The Company may remove the
Trustee if:
(a) the Trustee fails to comply with Section 7.10 hereof, unless the
Trustee's duty to resign is stayed as provided in TIA Section 310(b);
(b) the Trustee is adjudged a bankrupt or an insolvent or an order for
relief is entered with respect to the Trustee under any Bankruptcy Law;
(c) a Custodian or public officer takes charge of the Trustee or its
property; or
(d) the Trustee becomes incapable of acting.
If the Trustee resigns or is removed or if a vacancy exists in the office
of Trustee for any reason, the Company shall promptly appoint a successor
Trustee. Within one year after the successor Trustee takes office, the Holders
of a majority in principal amount of the then outstanding Notes may appoint a
successor Trustee to replace the successor Trustee appointed by the Company.
If a successor Trustee does not take office within 60 days after the
retiring Trustee resigns or is removed, the retiring Trustee, the Company or the
Holders of at least 10% in principal amount of the then outstanding Notes may
petition any court of competent jurisdiction for the appointment of a successor
Trustee.
If the Trustee fails to comply with Section 7.10 hereof, unless the
Trustee's duty to resign is stayed as provided in TIA Section 310(b), any Holder
who has been a bona fide Holder of a Note for at least
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six months may petition any court of competent jurisdiction for the removal of
the Trustee and the appointment of a successor Xxxxxxx.
A successor Trustee shall deliver a written acceptance of its appointment
to the retiring Trustee and to the Company. Thereupon the resignation or removal
of the retiring Trustee shall become effective, and the successor Trustee shall
have all the rights, powers and duties of the Trustee under this Indenture. The
successor Trustee shall mail a notice of its succession to Holders. The retiring
Trustee shall promptly transfer all property held by it as Trustee to the
successor Trustee, subject to the lien provided for in Section 7.07 hereof.
Notwithstanding replacement of the Trustee pursuant to this Section 7.08 hereof,
the Company's obligations under Section 7.07 hereof shall continue for the
benefit of the retiring trustee with respect to expenses and liabilities
incurred by it prior to such replacement.
SECTION 7.09 SUCCESSOR TRUSTEE BY MERGER, ETC.
If the Trustee consolidates, merges or converts into, or transfers all or
substantially all of its corporate trust business to, another corporation, the
successor corporation without any further act shall be the successor Trustee.
SECTION 7.10 ELIGIBILITY; DISQUALIFICATION.
This Indenture shall always have a Trustee who satisfies the requirements
of TIA Section 310(a)(1) and (5). The Trustee shall always have a combined
capital and surplus as stated in Section 10.11 hereof. The Trustee is subject to
TIA Section 310(b). The following indentures shall be deemed to be specifically
described herein for the purposes of clause (i) of the first proviso contained
in TIA Section 310(b): (a) indenture, dated as of April 20, 1995, between the
Company and The Chase Manhattan Bank, as trustee, relating to the 12 3/4% Notes,
as amended, (b) indenture, dated as of January 30, 1996, between the Company and
The Chase Manhattan Bank, as trustee, relating to the 11 1/2% Deferred Coupon
Notes, as amended, (c) indenture, dated as February 12, 1997, between the
Company and The Chase Manhattan Bank, as trustee, relating to the 10% Notes, as
amended, (d) indenture dated as of March 13, 1998, between the Company and The
Chase Manhattan Bank, as trustee, relating to the Company's 9 1/2% Notes, (e)
indenture, dated as of March 13, 1998, between the Company and The Chase
Manhattan Bank, as trustee, relating to the Company's 10 3/4% Notes, (f)
indenture, dated as of March 13, 1998, between the Company and The Chase
Manhattan Bank, as trustee, relating to Company's the 9 3/4% Notes, (g)
indenture, dated as of November 2, 1998, between the Company and The Chase
Manhattan Bank, as trustee, relating to the Company's 11 1/2% Notes, (h)
indenture dated as of November 6, 1998 between the Company and The Chase
Manhattan Bank, as Trustee, relating to the 12 3/8% Deferred Coupon Notes, (i)
indenture dated as of April 14, 1999 between the Company and The Chase Manhattan
Bank, as Trustee, relating to the Company's 1999 9 3/4 Notes, (j) indenture
dated as of November 24, 1999 between the Company and The Chase Manhattan Bank,
as Trustee, relating to the Company's 2009 Discount Notes, and (k) indenture
dated as of November 24, 1999 between the Company and The Chase Manhattan Bank,
as Trustee, relating to the Company's 2009 Notes.
SECTION 7.11 PREFERENTIAL COLLECTION OF CLAIMS AGAINST COMPANY.
The Trustee is subject to TIA Section 311(a), excluding any creditor
relationship listed in TIA Section 311(b). A Trustee who has resigned or been
removed shall be subject to TIA Section 311(a) to the extent indicated therein.
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ARTICLE VIII.
DISCHARGE OF INDENTURE
SECTION 8.01 TERMINATION OF COMPANY'S OBLIGATIONS.
This Indenture shall cease to be of further effect (except that the
Company's obligations under Sections 7.07 and 8.03 hereof shall survive) when
all outstanding Notes theretofore authenticated and issued have been delivered
to the Trustee for cancellation and the Company has paid all sums payable
hereunder.
SECTION 8.02 OPTION TO EFFECT DEFEASANCE.
The Company may, at the option of its Board of Directors evidenced by a
resolution set forth in an Officer's Certificate, at any time, elect to have
this Section 8.02 be applied to all outstanding Notes upon compliance with the
conditions set forth below in this Section. Upon the Company's election to have
this Section 8.02 apply to all the outstanding Notes, the Company shall, subject
to the satisfaction of the conditions set forth in the next paragraph, be deemed
to have been discharged from its obligations with respect to all outstanding
Notes on the date such conditions are satisfied (hereinafter, "DEFEASANCE"). For
this purpose, Defeasance means that the Company shall be deemed to have paid and
discharged the entire Obligations represented by the outstanding Notes, which
shall thereafter be deemed to be "outstanding" only for the purposes of Section
8.03 hereof and the other Sections of this Indenture referred to in clauses (a)
and (b) below, and to have satisfied all its other obligations under such Notes
and this Indenture (and the Trustee, on demand of and at the expense of the
Company, shall execute proper instruments acknowledging the same), except for
the following provisions which shall survive until otherwise terminated or
discharged hereunder: (i) the rights of Holders of outstanding Notes to receive
solely from the trust fund described in the following paragraph, payments in
respect of the principal of and interest on such Notes when such payments are
due; (ii) the Company's obligations with respect to such Notes under Article II
hereof; (iii) the rights, powers, trusts, duties and immunities of the Trustee
hereunder and the Company's obligations in connection therewith; and (iv) this
Article VIII.
In order to exercise Defeasance:
(a) the Company must irrevocably deposit or cause to be deposited with
the Trustee or the Paying Agent, at any time prior to the maturity date of
the Notes, in trust, for the benefit of the Holders, pursuant to an
irrevocable trust and security agreement in form satisfactory to the
Trustee, as trust funds in trust, legal tender in the countries
constituting the European Monetary Union sufficient, EEA Government
Obligations, the principal of and interest on which will be sufficient, or
a combination thereof sufficient, in the opinion of a nationally recognized
firm of independent public accountants, expressed in a written
certification thereof (in form satisfactory to the Trustee) to pay the
principal of, premium, if any, and interest, if any, on the outstanding
Notes on the stated date for payment thereof or on the applicable
redemption date, as the case may be, of such principal or installment of
principal of, premium, if any, and interest, if any, on the outstanding
Notes;
(b) the Company shall have delivered to the Trustee, an Opinion of
Counsel (which counsel may be an employee of the Company) reasonably
acceptable to the Trustee confirming that: (A) the Company has received
from, or there has been published by, the Internal Revenue Service a ruling
or (B) since the Issuance Date, there has been a change in the applicable
federal income tax law, in either case to the effect that, and based
thereon such Opinion of Counsel shall confirm that, the Holders of the
outstanding Notes will not recognize income, gain or loss for federal
income tax purposes as a result of such Defeasance and will be subject to
federal income
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tax on the same amounts, in the same manner and at the same times as would
have been the case if such Defeasance had not occurred;
(c) no Event of Default shall have occurred and be continuing on the
date of such Defeasance (other than an Event of Default resulting from or
related to the incurrence of Indebtedness, the proceeds of which are to be
applied to such deposit) or, insofar as Sections 6.01(g) and (h) hereof are
concerned, at any time in the period ending on the 91st day after the date
of deposit (or greater period of time in which any such deposit of trust
funds may remain subject to the effect of any Bankruptcy Law insofar as
those apply to the deposit by the Company);
(d) such Defeasance shall not result in a breach or violation of, or
constitute a default under, any material agreement or instrument (other
than this Indenture) to which the Company or any of its Subsidiaries is a
party or by which the Company or any of its Subsidiaries is bound;
(e) the Company shall have delivered to the Trustee an Opinion of
Counsel to the effect that after the 91st day following the deposit (or
such greater period referred to in (c) above), the trust funds will not be
subject to the effect of any applicable Bankruptcy Law;
(f) the Company shall have delivered to the Trustee an Officer's
Certificate stating that the deposit was not made by the Company with the
intent of preferring the Holders of Notes over any other creditors of the
Company with the intent of defeating, hindering, delaying or defrauding
creditors of the Company or others;
(g) the deposit shall not result in the Company, the Trustee or the
trust fund established pursuant to (a) above being subject to regulation
under the Investment Company Act of 1940, as amended;
(h) Holders of the Notes will have a valid, perfected and unavoidable
(under applicable Bankruptcy Law), subject to the passage of time referred
to clause (e) above, first priority security interest in the trust funds;
and
(i) the Company shall have delivered to the Trustee an Officer's
Certificate and an Opinion of Counsel (subject to customary exceptions),
each stating that all conditions precedent provided for or relating to the
Defeasance have been complied with.
SECTION 8.03 APPLICATION OF TRUST MONEY.
The Trustee shall hold in trust, money (in the form of legal tender in the
countries constituting the European Monetary Union) or EEA Government
Obligations deposited with it pursuant to Section 8.02 hereof. It shall apply
the deposited money (in the form of legal tender in the countries constituting
the European Monetary Union) and the money from EEA Government Obligations
through the Paying Agent and in accordance with this Indenture to the payment of
principal and interest, if any, on the Notes.
SECTION 8.04 REPAYMENT TO COMPANY.
The Trustee and the Paying Agent shall promptly pay to the Company upon
request any excess money or securities held by them at any time.
The Trustee and the Paying Agent shall pay to the Company upon request any
money held by them for the payment of principal or interest that remains
unclaimed for two years after the date upon which such payment shall have become
due; provided, however, that the Company shall have first caused
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notice of such payment to the Company to be mailed to each Holder entitled
thereto no less than 30 days prior to such payment. After payment to the
Company, the Trustee and the Paying Agent shall have no further liability with
respect to such money and Holders entitled to the money must look to the Company
for payment as general creditors unless any applicable abandoned property law
designates another Person.
SECTION 8.05 REINSTATEMENT.
If (i) the Trustee or Paying Agent is unable to apply any money in
accordance with Section 8.03 hereof by reason of any order or judgment of any
court or governmental authority enjoining, restraining or otherwise prohibiting
such application and (ii) the Holders of at least a majority in principal amount
of the then outstanding Notes so request by written notice to the Trustee, the
Company's obligations under this Indenture and the Notes shall be revived and
reinstated as though no deposit had occurred pursuant to Section 8.02 hereof
until such time as the Trustee or Paying Agent is permitted to apply all such
money in accordance with Section 8.03 hereof or such request is revoked by such
Holders; provided, however, that if the Company makes any payment of interest on
or principal of any Note following the reinstatement of its obligations, the
Company shall be subrogated to the rights of the Holders of such Notes to
receive such payment from the money held by the Trustee or Paying Agent.
ARTICLE IX.
AMENDMENTS, SUPPLEMENTS AND WAIVERS
SECTION 9.01 WITHOUT CONSENT OF HOLDERS.
The Company and the Trustee may amend or supplement this Indenture or the
Notes without the consent of any Holder:
(a) to cure any ambiguity, defect or inconsistency;
(b) to comply with Section 5.01 hereof;
(c) to provide for uncertificated Notes in addition to or in place of
certificated Notes;
(d) to make any change that does not adversely affect the interests
hereunder of any Holder;
(e) to qualify the Indenture under the TIA or to comply with the
requirements of the SEC in order to maintain the qualification of the
Indenture under the TIA; or
(f) to provide for the issuance of Additional Notes in accordance with
the limitations set forth in this Indenture.
SECTION 9.02 WITH CONSENT OF HOLDERS.
Subject to Section 6.07 hereof, the Company and the Trustee may amend or
supplement this Indenture or the Notes with the written consent of the Holders
of at least a majority in principal amount of the then outstanding Notes.
Subject to Sections 6.04 and 6.07 hereof, the Holders of a majority in principal
amount of the Notes then outstanding (including Additional Notes, if any) may
also waive compliance in a particular instance by the Company with any provision
of this Indenture or the Notes. However, without the consent of each Holder
affected, an amendment, supplement or waiver under this Section may not:
(a) reduce the amount of Notes whose Holders must consent to an
amendment, supplement or waiver;
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(b) reduce the principal of or change the fixed maturity of any Note
or alter the provisions of Sections 7 and 8 of the Initial Note and
Sections 6 and 7 of the Exchange Note (other than provisions relating to
the covenants described under Sections 4.10 and 4.13);
(c) reduce the rate of or change the time for payment of interest on
any Note;
(d) waive a default in the payment of the principal of, or interest,
if any, on, any Note (except a rescission of acceleration of the Notes by
the Holders of at least a majority in aggregate principal amount of the
Notes and a waiver of the payment default that resulted from such
acceleration);
(e) except as contemplated by Section 10.07(e), make any Note payable
in money other than that stated in the Note;
(f) make any change in Section 6.04 or 6.07 hereof;
(g) waive a redemption payment with respect to any Note; or
(h) make any change in the foregoing amendment and waiver provisions
of this Article 9.
To secure a consent of the Holders under this Section 9.02, it shall not be
necessary for the Holders to approve the particular form of any proposed
amendment, supplement or waiver, but it shall be sufficient if such consent
approves the substance thereof.
After an amendment, supplement or waiver under this Section becomes
effective, the Company shall mail to Holders a notice briefly describing the
amendment or waiver.
SECTION 9.03 COMPLIANCE WITH TRUST INDENTURE ACT.
Every amendment to this Indenture or the Notes shall be set forth in a
supplemental indenture that complies with the TIA as then in effect.
SECTION 9.04 REVOCATION AND EFFECT OF CONSENTS.
Until an amendment, supplement or waiver becomes effective, a consent to it
by a Holder of a Note is a continuing consent by the Holder and every subsequent
Holder of a Note or portion of a Note that evidences the same debt as the
consenting Holder's Note, even if notation of the consent is not made on any
Note. However, any such Holder or subsequent Holder may revoke the consent as to
his Note or portion of a Note if the Trustee receives the notice of revocation
before the date on which the Trustee receives an Officer's Certificate
certifying that the Holders of the requisite principal amount of Notes have
consented to the amendment, supplement or waiver.
The Company may, but shall not be obligated to, fix a record date for the
purpose of determining the Holders entitled to consent to any amendment,
supplement or waiver. If a record date is fixed, then notwithstanding the
provisions of the immediately preceding paragraph, those Persons who were
Holders at such record date (or their duly designated proxies), and only those
Persons, shall be entitled to consent to such amendment, supplement or waiver or
to revoke any consent previously given, whether or not such Persons continue to
be Holders after such record date. No consent shall be valid or effective for
more than 90 days after such record date unless consents from Holders of the
principal amount of Notes required hereunder for such amendment or waiver to be
effective shall have also been given and not revoked within such 90-day period.
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After an amendment, supplement or waiver becomes effective it shall bind
every Holder, unless it is of the type described in any of clauses (a) through
(h) of Section 9.02 hereof. In such case, the amendment or waiver shall bind
each Holder who has consented to it and every subsequent Holder that evidences
the same debt as the consenting Xxxxxx's Note.
SECTION 9.05 NOTATION ON OR EXCHANGE OF NOTES.
The Trustee may place an appropriate notation about an amendment or waiver
on any Note thereafter authenticated. The Company in exchange for all Notes may
issue and the Trustee shall authenticate new Notes that reflect the amendment or
waiver.
Failure to make such notation on a Note or to issue a new Note as aforesaid
shall not affect the validity and effect of such amendment or waiver.
SECTION 9.06 TRUSTEE PROTECTED.
The Trustee shall sign all supplemental indentures, except that the Trustee
may, but need not, sign any supplemental indenture that adversely affects its
rights.
ARTICLE X.
MISCELLANEOUS
SECTION 10.01 TRUST INDENTURE ACT CONTROLS.
This Indenture is subject to the provisions of the TIA that are required to
be incorporated into this Indenture (or, prior to the registration of the Notes
pursuant to the Registration Rights Agreement, would be required to be
incorporated into this Indenture if it were qualified under the TIA), and shall,
to the extent applicable, be governed by such provisions. If any provision of
this Indenture limits, qualifies, or conflicts with another provision which is
required (or would be so required) to be incorporated in this Indenture by the
TIA, the incorporated provision shall control.
SECTION 10.02 NOTICES.
Any notice or communication by the Company or the Trustee to the other is
duly given if in writing and delivered in Person or mailed by first class mail
to the other's address stated in Section 10.10 hereof. The Company or the
Trustee by notice to the other may designate additional or different addresses
for subsequent notices or communications.
Any notice or communication to a Holder shall be mailed by first class mail
to his address shown on the register kept by the Registrar. Failure to mail a
notice or communication to a Holder or any defect in it shall not affect its
sufficiency with respect to other Holders.
If a notice or communication is mailed in the manner provided above within
the time prescribed, it is duly given, whether or not the addressee receives it.
If the Company mails a notice or communication to Holders, it shall mail a
copy to the Trustee and each Agent at the same time.
All other notices or communications shall be in writing.
In case by reason of the suspension of regular mail service, or by reason
of any other cause, it shall be impossible to mail any notice as required by the
Indenture, then such method of notification as shall be made with the approval
of the Trustee shall constitute a sufficient mailing of such notice.
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SECTION 10.03 COMMUNICATION BY HOLDERS WITH OTHER HOLDERS.
Holders may communicate pursuant to TIA Section 312(b) with other Holders
with respect to their rights under this Indenture or the Notes. The Company, the
Trustee, the Registrar and anyone else shall have the protection of TIA Section
312(c).
SECTION 10.04 CERTIFICATE AND OPINION AS TO CONDITIONS PRECEDENT.
Upon any request or application by the Company to the Trustee to take any
action under this Indenture, the Company shall furnish to the Trustee:
(a) an Officer's Certificate stating that, in the opinion of the
signers, all conditions precedent, if any, provided for in this Indenture
relating to the proposed action have been complied with; and
(b) an Opinion of Counsel stating that, in the opinion of such
counsel, all such conditions precedent have been complied with.
SECTION 10.05 STATEMENTS REQUIRED IN CERTIFICATE OR OPINION.
Each certificate or opinion with respect to compliance with a condition or
covenant provided for in this Indenture (other than pursuant to Section 4.03)
shall include:
(a) a statement that the Person signing such certificate or rendering
such opinion has read such covenant or condition;
(b) a brief statement as to the nature and scope of the examination or
investigation upon which the statements or opinions contained in such
certificate or opinion are based;
(c) a statement that, in the opinion of such Person, such Person has
made such examination or investigation as is necessary to enable such
Person to express an informed opinion as to whether or not such covenant or
condition has been complied with; and
(d) a statement as to whether or not, in the opinion of such Person,
such condition or covenant has been complied with.
SECTION 10.06 RULES BY TRUSTEE AND AGENTS.
The Trustee may make reasonable rules for action by, or a meeting of,
Holders. The Registrar or Paying Agent may make reasonable rules and set
reasonable requirements for its functions.
SECTION 10.07 LEGAL HOLIDAYS.
A "LEGAL HOLIDAY" is a Saturday, a Sunday or a day on which banking
institutions in the State of New York, USA or London, United Kingdom are not
required to be open. If a payment date is a Legal Holiday at a place of payment,
payment may be made at that place on the next succeeding day that is not a Legal
Holiday, and no interest shall accrue for the intervening period. If any other
operative date for purposes of this Indenture shall occur on a Legal Holiday
then for all purposes the next succeeding day that is not a Legal Holiday shall
be such operative date.
SECTION 10.08 NO RECOURSE AGAINST OTHERS.
A director, officer, employee or stockholder, as such, of the Company shall
not have any liability for any obligations of the Company under the Notes or the
Indenture or for any claim based on, in respect
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of or by reason of such obligations or their creation. Each Holder by accepting
a Note waives and releases all such liability. The waiver and release are part
of the consideration for the issue of the Notes.
SECTION 10.09 COUNTERPARTS AND FACSIMILE SIGNATURES.
This Indenture may be executed by manual or facsimile signature in any
number of counterparts and by the parties hereto in separate counterparts, each
of which when so executed shall be deemed to be an original and all of which
taken together shall constitute one and the same agreement.
SECTION 10.10 VARIABLE PROVISIONS.
"OFFICER" means the Chairman of the Board, the President, any Vice
President, the Treasurer, the Secretary, any Assistant Treasurer or any
Assistant Secretary of the Company.
The first certificate pursuant to Section 4.03 hereof shall be for the
fiscal year ended on December 31, 1999.
The reporting date for Section 7.06 hereof is March 15, of each year. The
first reporting date is March 15, 2000.
The Trustee shall always have a combined capital and surplus of at least
$100,000,000 as set forth in its most recent published annual report of
condition.
The Company's address is:
NTL Communications Corp.
000 Xxxx 00xx Xxxxxx, 00xx Xxxxx
Xxx Xxxx, Xxx Xxxx 00000
Attention: Xxxxxxx X. Xxxxxxx, Esq.
Executive Vice President, General Counsel and Secretary
The Trustee's address is:
The Chase Manhattan Bank
000 Xxxx 00xx Xxxxxx
Xxx Xxxx, Xxx Xxxx 00000
Attention: Capital Markets Fiduciary Services
SECTION 10.11 GOVERNING LAW.
THE INTERNAL LAWS OF THE STATE OF NEW YORK SHALL GOVERN THIS INDENTURE AND
THE NOTES, WITHOUT REGARD TO THE CONFLICT OF LAWS PROVISIONS THEREOF.
SECTION 10.12 RIGHTS OF THE REGISTRAR AND PAYING AGENT.
In acting as Registrar or Paying Agent hereunder, The Chase Manhattan Bank
(London) and Chase Manhattan Bank Luxembourg S.A. shall have the benefits and
protections afforded to the Trustee hereunder, including those afforded under
Article VII and Sections 10.04 and 10.05 (except to the extent that such
benefits and protections are made expressly inapplicable to the Registrar or the
Paying Agent).
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SECTION 10.13 NO ADVERSE INTERPRETATION OF OTHER AGREEMENTS.
This Indenture may not be used to interpret another indenture, loan or debt
agreement of the Company or an Affiliate. Any such indenture, loan or debt
agreement may not be used to interpret this Indenture.
SECTION 10.14 SUCCESSORS.
All agreements of the Company in this Indenture and the Notes shall bind
its successor. All agreements of the Trustee in this Indenture shall bind its
successor.
SECTION 10.15 SEVERABILITY.
In case any provision in this Indenture or in the Notes shall be invalid,
illegal or unenforceable, the validity, legality and enforceability of the
remaining provisions shall not in any way be affected or impaired thereby.
SECTION 10.16 TABLE OF CONTENTS, HEADINGS, ETC.
The Table of Contents, Cross-Reference Table, and headings of the Articles
and Sections of this Indenture have been inserted for convenience of reference
only, are not to be considered a part hereof, and shall in no way modify or
restrict any of the terms or provisions hereof.
56
62
SIGNATURES
IN WITNESS WHEREOF, the parties hereto have caused this Indenture to be
duly executed, all as of the date first written above.
NTL COMMUNICATIONS CORP.
By: /s/ Xxxxxxx X. Xxxxxxx
______________________
Name: Xxxxxxx X. Xxxxxxx
Title: Executive Vice President,
General Counsel and Secretary
Indenture signature page
63
THE CHASE MANHATTAN BANK, as Trustee
By: /s/ Xxxxxx X. Xxxxxxxx
________________________________
Name: Xxxxxx X. Xxxxxxxx
Title: Assistant Vice President
Indenture signature page
64
EXHIBIT A
[FORM OF FACE OF INITIAL NOTE]
[Global Notes Legend]
UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION ("DTC") [,/OR] EUROCLEAR SYSTEM
("EUROCLEAR"), OR CEDELBANK, S.A. ("CEDELBANK")1 TO THE COMPANY OR ITS AGENT FOR
REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS
REGISTERED IN THE NAME OF CHASE NOMINEES LIMITED OR SUCH OTHER NAME AS IS
REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC [,/OR] EUROCLEAR [OR CEDELBANK]
(AND ANY PAYMENT IS MADE TO CHASE NOMINEES LIMITED, OR TO SUCH OTHER ENTITY AS
IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC [,/OR] EUROCLEAR [OR
CEDELBANK]) ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY
OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CHASE
NOMINEES LIMITED, HAS AN INTEREST HEREIN.
TRANSFERS OF THIS GLOBAL NOTE SHALL BE LIMITED TO TRANSFERS IN WHOLE, BUT
NOT IN PART, TO NOMINEES OF DTC [,/OR] EUROCLEAR [OR CEDELBANK] OR TO CUSTODIANS
THEREOF OR THEIR NOMINEES OR TO A SUCCESSOR OF DTC [,/OR] EUROCLEAR [OR
CEDELBANK] OR SUCH SUCCESSOR'S NOMINEE OR TO CUSTODIANS OF SUCH SUCCESSOR OR
NOMINEES THEREOF AND TRANSFERS OF PORTIONS OF THIS GLOBAL NOTE SHALL BE LIMITED
TO TRANSFERS MADE IN ACCORDANCE WITH THE RESTRICTIONS SET FORTH IN THE INDENTURE
REFERRED TO ON THE REVERSE HEREOF.
[Rule 144A Restricted Notes Legend]
THIS NOTE HAS NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF
1933 (THE "SECURITIES ACT") AND MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE
TRANSFERRED EXCEPT (1) TO A PERSON WHO THE SELLER REASONABLY BELIEVES IS A
QUALIFIED INSTITUTIONAL BUYER WITHIN THE MEANING OF RULE 144A UNDER THE
SECURITIES ACT PURCHASING FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED
INSTITUTIONAL BUYER IN A TRANSACTION MEETING THE REQUIREMENTS OF RULE 144A, (2)
IN AN OFFSHORE TRANSACTION COMPLYING WITH RULE 903 OR RULE 904 OF REGULATION S
UNDER THE SECURITIES ACT, (3) PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER
THE SECURITIES ACT PROVIDED BY RULE 144 THEREUNDER (IF AVAILABLE) OR (4) TO AN
INSTITUTIONAL ACCREDITED INVESTOR IN A TRANSACTION EXEMPT FROM THE REGISTRATION
REQUIREMENTS OF THE SECURITIES ACT, IN EACH CASE, IN ACCORDANCE WITH ALL
APPLICABLE SECURITIES LAWS OF THE STATES OF THE UNITED STATES.
[Regulation S Restricted Notes Legend]
THIS NOTE HAS NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES
ACT OF 1933 (THE "SECURITIES ACT") AND MAY NOT BE OFFERED, SOLD, PLEDGED OR
OTHERWISE TRANSFERRED EXCEPT (1) TO A PERSON WHO THE SELLER REASONABLY
BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER
_______________
1 Reference to Cedelbank should only be included in the Regulation S Global
Note.
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WITHIN THE MEANING OF RULE 144A UNDER THE SECURITIES ACT PURCHASING FOR ITS
OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL BUYER IN A
TRANSACTION MEETING THE REQUIREMENTS OF RULE 144A, (2) IN AN OFFSHORE
TRANSACTION COMPLYING WITH RULE 903 OR RULE 904 OF REGULATION S UNDER THE
SECURITIES ACT, (3) PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER THE
SECURITIES ACT PROVIDED BY RULE 144 THEREUNDER (IF AVAILABLE) OR (4) TO AN
INSTITUTIONAL ACCREDITED INVESTOR IN A TRANSACTION EXEMPT FROM THE
REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, IN EACH CASE, IN
ACCORDANCE WITH ALL APPLICABLE SECURITIES LAWS OF THE STATES OF THE UNITED
STATES.
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No. ________
euro________
CINS No.[ ] /ISIN No. [ ] /CUSIP No. [__]
9 1/4% SENIOR NOTE DUE 2006
NTL Communications Corp., a Delaware corporation (the "COMPANY"), promises
to pay to __________________________ or registered assigns, the principal sum of
____________________ euro[____________] [,or such other amount as is indicated
on Schedule A hereof*,] on November 15, 2006, subject to the further provisions
of this Note set forth on the reverse hereof which further provisions shall for
all purposes have the same effect as if set forth at this place.
Interest Payment Dates: May 15 and November 15, commencing May 15, 2000
Record Dates: May 1 and November 1
IN WITNESS WHEREOF, NTL Communications Corp. has caused this Note to be
signed manually or by facsimile by its duly authorized officers.
Dated:__________________________
NTL COMMUNICATIONS CORP.
by:_____________________________
TRUSTEE'S CERTIFICATE OF AUTHENTICATION
This is one of the 9 1/4% Senior Notes due 2006 described in the
within-mentioned Indenture.
THE CHASE MANHATTAN BANK, as Trustee
By:______________________________________
Authorized Officer
_________________________________________
* Applicable to Global Notes Only
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[FORM OF REVERSE OF INITIAL NOTE]
NTL COMMUNICATIONS CORP.
9 1/4% Senior Note due 2006
1. Interest. NTL Communications Corp., a Delaware corporation (the
"COMPANY"), is the issuer of 9 1/4% Senior Notes due November 15, 2006 (the
"NOTES"). The Company promises to pay interest on the Notes in cash semiannually
on each May 15 and November 15, commencing on May 15, 2000, to Holders of record
on the immediately preceding May 1 and November 1, respectively, at the rate of
9 1/4% per annum. Interest on the Notes will accrue from the most recent date to
which interest has been paid on the Notes, or if no interest has been paid, from
November 24, 1999. Interest will be computed on the basis of a 360-day year of
twelve 30-day months. The Company will pay interest on overdue principal and
premium, if any, at the interest rate borne by the Notes, compounded
semiannually, and it shall pay interest on overdue installments of interest
(without regard to any applicable grace period) at the same interest rate
compounded semiannually. Any interest paid on this Note shall be increased to
the extent necessary to pay Additional Amounts as set forth in this Note.
2. Special Interest. The Holder of this Note is entitled to the benefits of
the Registration Rights Agreement relating to the Notes (the "REGISTRATION
RIGHTS AGREEMENT").
In the event that either (a) we fail to file the Exchange Registration
Statement or the Shelf Registration Statement (as such terms are defined in the
Registration Rights Agreement) on or before the date specified for such filing
in the Registration Rights Agreement, (b) the Exchange Registration Statement is
not declared effective within 270 days after the closing of the sale of the
Notes or the Shelf Registration Statement is not declared effective within 270
days from the date such Shelf Registration Statement is filed, (c) we fail to
complete the Exchange Offer within the specified time frame, or (d) the Exchange
Registration Statement or the Shelf Registration Statement is filed and declared
effective but is thereafter either withdrawn or becomes subject to an effective
stop order suspending the effectiveness (except as specifically permitted in the
Registration Rights Agreement) without being succeeded immediately by an
additional registration statement which becomes effective, then we will pay
special interest pursuant to provisions of the Registration Rights Agreement and
the Notes to each holder of the Notes. Special interest will accrue from (i) the
date specified for such filing, in the case of clause (a) above, (ii) the date
specified for effectiveness in the case of clause (b) above, (iii) the date
specified for completion of the Exchange Offer, in the case of clause (c) above,
or (iv) the date such Exchange Offer Registration Statement or Shelf
Registration Statement ceases to be effective, in the case of clause (d) above
(each such period referred to in clauses (i) through (iv) above an "Accrual
Period"), at a rate per annum equal to 0.25% for the first 90 days of the
Accrual Period; 0.50% for the second 90 days of the Accrual Period; 0.75% for
the third 90 days of the Accrual Period and 1.0% for the remaining portion of
the Accrual Period of the principal amount of the Notes, determined daily. In
each case such additional interest will be payable in cash semiannually in
arrears on each November 15 and May 15, commencing May 15, 2000, to Holders of
record on the immediately preceding May 1 and November 1, respectively.
3. Additional Amounts. This Section 3 shall apply only in the event that
the Company becomes, or a successor to the Company is, a corporation organized
or existing under the laws of the United Kingdom, the Netherlands, the
Netherlands Antilles, Bermuda or the Cayman Islands. All payments made by the
Company on this Note shall be made without deduction for or on account of, any
and all present or future taxes, duties, assessments, or governmental charges of
whatever nature unless the deduction or withholding of such taxes, duties,
assessments or governmental charges is then required by law. If any deduction or
withholding for or on account of any present or future taxes, assessments or
other governmental charges of the United Kingdom, the Netherlands, the
Netherlands Antilles, Bermuda or the Cayman Islands (or any political
subdivision or taxing authority thereof or therein) shall at any
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time be required in respect of any amounts to be paid by the Company under this
Note, the Company shall pay or cause to be paid such additional amounts
("ADDITIONAL AMOUNTS") as may be necessary in order that the net amounts
received by a Holder of this Note after such deduction or withholding shall be
not less than the amounts specified in this Note to which the Holder of this
Note is entitled; provided, however, that the Company shall not be required to
make any payment of Additional Amounts for or on account of:
(a) any tax, assessment or other governmental charge to the extent
such tax, assessment or other governmental charge would not have been
imposed but for (i) the existence of any present or former connection
between such Holder (or between a fiduciary, settlor, beneficiary, member
or shareholder of, or possessor of a power over, such Holder, if such
Holder is an estate, nominee, trust, partnership or corporation), other
than the holding of this Note or the receipt of amounts payable in respect
of this Note, and the United Kingdom, the Netherlands, the Netherlands
Antilles, Bermuda or the Cayman Islands (or any political subdivision or
taxing authority thereof or therein) including, without limitation, such
Holder (or such fiduciary, settlor, beneficiary, member, shareholder or
possessor) being or having been a citizen or resident thereof or being or
having been present or engaged in trade or business therein or having or
having had a permanent establishment therein or (ii) the presentation of
this Note (where presentation is required) for payment on a date more than
30 days after the date on which such payment became due and payable or the
date on which payment thereof is duly provided for, whichever occurs later,
except to the extent that the Holder would have been entitled to Additional
Amounts had this Note been presented on the last day of such period of 30
days;
(b) any tax, assessment or other governmental charge that is imposed
or withheld by reason of the failure to comply by the Holder of this Note
or, if different, the beneficial owner of the interest payable on this
Note, with a timely request of the Company addressed to such Holder or
beneficial owner to provide information, documents or other evidence
concerning the nationality, residence, identity or connection with the
taxing jurisdiction of such Holder or beneficial owner which is required or
imposed by a statute, regulation or administrative practice of the taxing
jurisdiction as a precondition to exemption from all or part of such tax,
assessment or governmental charge;
(c) any estate, inheritance, gift, sales, transfer, personal property
or similar tax, assessment or other governmental charge;
(d) any tax, assessment or other governmental charge which is
collectible otherwise than by withholding from payments of principal
amount, redemption amount, Change of Control Payment or interest with
respect to a Note or withholding from the proceeds of a sale or exchange of
a Note;
(e) any tax, assessment or other governmental charge required to be
withheld by any Paying Agent from any payment of principal amount,
redemption amount, Change of Control Payment or interest with respect to a
Note, if such payment can be made, and is in fact made, without such
withholding by any other Paying Agent located inside the United States;
(f) any tax, assessment or other governmental charge imposed on a
Holder that is not the beneficial owner of a Note to the extent that the
beneficial owner would not have been entitled to the payment of any such
Additional Amounts had the beneficial owner directly held the Note;
(g) any combination of items (a), (b), (c), (d), (e) and (f) above;
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nor shall Additional Amounts be paid with respect to any payment of the
principal of, or any interest on, this Note to any Holder who is a fiduciary or
partnership or other than the sole beneficial owner of such payment to the
extent that a beneficiary or settlor would not have been entitled to any
Additional Amounts had such beneficiary or settlor been the Holder of this Note.
All references to principal amount or interest on the Notes in the Indenture or
the Notes shall include any Additional Amounts payable to the Company pursuant
to this Section 3.
4. Method of Payment. The Company will pay interest on the Notes (except
defaulted interest) to the Persons who are registered Holders of Notes at the
close of business on the record date for the next interest payment date even
though Notes are canceled after the record date and on or before the interest
payment date. Holders must surrender Notes to a Paying Agent to collect
principal and premium payments. The Company will pay principal, premium, if any,
and interest in money of the European Monetary Union that at the time of payment
is legal tender for payment of public and private debts. However, the Company
may pay principal, premium, if any, and interest by check payable in such money.
It may mail an interest check to a holder's registered address. If a Holder so
requests, principal, premium, if any, and interest may be paid by wire transfer
of immediately available funds to an account previously specified in writing by
such Holder to the Company and the Trustee.
5. Paying Agent and Registrar. The Chase Manhattan Bank (London) will act
as Paying Agent and Registrar in London. The Trustee will act as Paying Agent
and Registrar in the City of New York, New York. Chase Manhattan Bank Luxembourg
S.A. will act as Paying Agent and Registrar in Luxembourg if and as long as the
Notes are listed on the Luxembourg Stock Exchange. The Company may change any
Paying Agent or Registrar without prior notice. The Company or any of its
Affiliates may act in any such capacity.
6. Indenture. The Company issued the Notes under an Indenture, dated as of
November 24, 1999 (the "INDENTURE"), between the Company and The Chase Manhattan
Bank, as Trustee. The terms of the Notes include those stated in the Indenture
and those made part of the Indenture by the Trust Indenture Act of 1939 (15 U.S.
Code Sections 77aaa-77bbbb) as in effect on the date of the Indenture. The Notes
are subject to, and qualified by, all such terms, certain of which are
summarized hereon, and Holders are referred to the Indenture and such Act for a
statement of such terms. The Notes initially issued by the Company on the date
of the Indenture are unsecured general obligations of the Company limited to
euro250,000,000 in aggregate principal amount. Additional Notes may be issued in
accordance with the terms of the Indenture.
7. Optional Redemption. Except as provided in Section 8 hereof, the Notes
are not redeemable at the Company's option.
8. Optional Tax Redemption. (a) The Notes may be redeemed at the option of
the Company, in whole but not in part, upon not less than 30 nor more than 60
days notice, at any time at a redemption price equal to the principal amount
thereof plus accrued and unpaid interest to the date fixed for redemption if
after the date on which Section 3 of this Note becomes applicable (the "RELEVANT
DATE") there has occurred any change in or amendment to the laws (or any
regulations or official rulings promulgated thereunder) of the United Kingdom,
the Netherlands, the Netherlands Antilles, Bermuda or the Cayman Islands (or any
political subdivision or taxing authority thereof or therein), or any change in
or amendment to the official application or interpretation of such laws,
regulation or rulings (a "CHANGE IN TAX LAW") which becomes effective after the
Relevant Date, as a result of which the Company is or would be so required on
the next succeeding Interest Payment Date to pay Additional Amounts with respect
to the Notes as described under Section 3 hereof with respect to withholding
taxes imposed by the United Kingdom, the Netherlands, the Netherlands Antilles,
Bermuda or the Cayman Islands (or any political subdivision or taxing authority
thereof or therein) (a "WITHHOLDING TAX") and such Withholding
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Tax is imposed at a rate that exceeds the rate (if any) at which Withholding Tax
was imposed on the Relevant Date, provided, however, that (i) this paragraph
shall not apply to the extent that, at the Relevant Date it was known or would
have been known had professional advice of a nationally recognized accounting
firm in the United Kingdom, the Netherlands, the Netherlands Antilles, Bermuda
or the Cayman Islands, as the case may be, been sought, that a Change in Tax Law
in the United Kingdom, the Netherlands, the Netherlands Antilles, Bermuda or the
Cayman Islands was to occur after the Relevant Date, (ii) no such notice of
redemption may be given earlier than 90 days prior to the earliest date on which
the Company would be obliged to pay such Additional Amounts were a payment in
respect of the Notes then due, (iii) at the time such notice of redemption is
given, such obligation to pay such Additional Amount remains in effect and (iv)
the payment of such Additional Amounts cannot be avoided by the use of any
reasonable measures available to the Company.
The Notes may also be redeemed, in whole but not in part, at any time at a
redemption price equal to the principal amount thereof plus accrued and unpaid
interest to the date fixed for redemption if the Person formed after the
Relevant Date by a consolidation, amalgamation, reorganization or reconstruction
(or other similar arrangement) of the Company or the Person into which the
Company is merged after the Relevant Date or to which the Company conveys,
transfers or leases its properties and assets after the Relevant Date
substantially as an entirety (collectively, a "SUBSEQUENT CONSOLIDATION") is
required, as a consequence of such Subsequent Consolidation and as a consequence
of a Change in Tax Law in the United Kingdom, the Netherlands, the Netherlands
Antilles, Bermuda or the Cayman Islands occurring after the date of such
Subsequent Consolidation to pay Additional Amounts with respect to Notes with
respect to Withholding Tax as described under Section 3 hereof and such
Withholding Tax is imposed at a rate that exceeds the rate (if any) at which
Withholding Tax was or would have been imposed on the date of such Subsequent
Consolidation, provided, however, that this paragraph shall not apply to the
extent that, at the date of such Subsequent Consolidation it was known or would
have been known had professional advice of a nationally recognized accounting
firm in the United Kingdom, the Netherlands, the Netherlands Antilles, Bermuda
or the Cayman Islands, as the case may be, been sought, that a Change in Tax Law
in the United Kingdom, the Netherlands, the Netherlands Antilles, Bermuda or the
Cayman Islands was to occur after such date.
The Company will also pay, or make available for payment, to Holders on the
Redemption Date any Additional Amounts (as described, but subject to the
exceptions referred to, in Section 3 hereof) resulting from the payment of such
Redemption Price.
9. Notice of Redemption. Notice of redemption will be mailed at least 30
days but not more than 60 days before the redemption date to each Holder of the
Notes to be redeemed at his address of record. On and after the redemption date,
interest ceases to accrue on the Notes or portions of them called for
redemption.
If this Note is redeemed subsequent to a record date with respect to any
interest payment date specified above and on or prior to such interest payment
date, then any accrued interest will be paid to the Person in whose name this
Note is registered at the close of business on such record date.
10. Mandatory Redemption. The Company will not be required to make
mandatory redemption or repurchase payments with respect to the Notes. There are
no sinking fund payments with respect to the Notes.
11. Repurchase at Option of Holder. (a) If there is a Change of Control
Triggering Event, the Company shall be required to offer to purchase on the
Purchase Date all outstanding Notes at a purchase price equal to 101% of the
aggregate principal amount thereof, plus accrued and unpaid interest to the
Purchase Date, Holders of Notes that are subject to an offer to purchase will
receive a Change of Control
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offer from the Company prior to any related Purchase Date and may elect to have
such Notes or portions thereof in authorized denominations purchased by
completing the form entitled "Option of Holder to Elect Purchase" appearing
below.
(b) If the Company or a Restricted Subsidiary consummates any Asset
Sales, and when the aggregate amount of Excess Proceeds from such Asset
Sales exceeds $15.0 million, the Company shall be required to make an offer
(an "ASSET SALE OFFER") to all holders of the Notes and Other Qualified
Notes to purchase the maximum principal amount of Notes and Other Qualified
Notes (determined on a pro rata basis according to the principal amount or
accreted value, as the case may be, of the Notes and the Other Qualified
Notes) that may be purchased out of the Excess Proceeds, with respect to
the Notes, at an offer price in cash in an amount equal to 100% of the
outstanding principal amount thereof plus accrued and unpaid interest, if
any, to the date fixed for the closing of such offer. To the extent that
the aggregate principal amount or accreted value, as the case may be, of
Notes and Other Qualified Notes tendered pursuant to an Asset Sale Offer is
less than the Excess Proceeds, the Company may use such deficiency for
general corporate purposes. If the aggregate principal amount or accreted
value, as the case may be, of Notes and Other Qualified Notes surrendered
by holders thereof exceeds the amount of Excess Proceeds, then such
remaining Excess Proceeds will be allocated pro rata according to principal
amount or accreted value, as the case may be, to the Notes and each issue
of the Other Qualified Notes and, the Trustee will select the Notes to be
purchased in accordance with Section 3.09(e) of the Indenture. Upon
completion of such offer to purchase, the amount of Excess Proceeds will be
reset at zero.
12. Denominations, Transfer, Exchange. The Notes are in registered form,
without coupons, in denominations of euro1,000 and integral multiples of
euro1,000. The transfer of Notes may be registered, and Notes may be exchanged,
as provided in the Indenture. The Registrar may require a Holder, among other
things, to furnish appropriate endorsements and transfer documents and to pay
any taxes and fees required by law or permitted by the Indenture. The Registrar
need not exchange or register the transfer of any Note selected for redemption.
Also, it need not exchange or register the transfer of any Note for a period of
15 days before a selection of Notes to be redeemed.
13. Persons Deemed Owners. Except as provided in paragraph 4 of this Note,
the registered Holder of a Note may be treated as its owner for all purposes.
14. Unclaimed Money. If money for the payment of principal or interest
remains unclaimed for two years, the Trustee and the Paying Agent shall pay the
money back to the Company at its written request. After that, Holders of Notes
entitled to the money must look to the Company for payment unless an abandoned
property law designates another Person and all liability of the Trustee and such
Paying Agent with respect to such money shall cease.
15. Defaults and Remedies. The Notes shall have the Events of Default set
forth in Section 6.01 of the Indenture. Subject to certain limitations in the
Indenture, if an Event of Default occurs and is continuing, the Trustee by
notice to the Company or the Holders of at least 25% in aggregate principal
amount of the then outstanding Notes by notice to the Company and the Trustee
may declare all the Notes to be due and payable immediately, except that in the
case of an Event of Default arising from certain events of bankruptcy or
insolvency, all unpaid principal and interest accrued on the Notes shall become
due and payable immediately without further action or notice. The Holders of a
majority in principal amount of the Notes then outstanding by written notice to
the Trustee may rescind an acceleration and its consequences if the rescission
would not conflict with any judgment or decree and if all existing Events of
Default have been cured or waived except nonpayment of principal or interest
that has become due solely because of the acceleration. Holders may not enforce
the Indenture or the Notes except as provided
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in the Indenture. Subject to certain limitations, Holders of a majority in
principal amount of the then outstanding Notes issued under the Indenture may
direct the Trustee in its exercise of any trust or power. The Company must
furnish annually compliance certificates to the Trustee. The above description
of Events of Default and remedies is qualified by reference, and subject in its
entirety, to the more complete description thereof contained in the Indenture.
16. Amendments, Supplements and Waivers. Subject to certain exceptions, the
Indenture or the Notes may be amended or supplemented with the consent of the
Holders of at least a majority in principal amount of the then outstanding Notes
(including consents obtained in connection with a tender offer or exchange offer
for Notes), and any existing default may be waived with the consent of the
Holders of a majority in principal amount of the then outstanding Notes. Without
the consent of any Holder, the Indenture or the Notes may be amended among other
things, to cure any ambiguity, defect or inconsistency, to provide for
assumption of the Company's obligations to Holders, to make any change that does
not adversely affect the rights of any Holder or to qualify the Indenture under
the TIA or to comply with the requirements of the SEC in order to maintain the
qualification of the Indenture under the TIA.
17. Restrictive Covenants. The Indenture imposes certain limitations on the
ability of the Company and its Subsidiaries to, among other things, engage in
certain transactions with Affiliates, incur additional indebtedness and make
payments in respect of Capital Stock. The limitations are subject to a number of
important qualifications and exceptions.
18. Trustee Dealings with the Company. The Trustee, in its individual or
any other capacity may become the owner or pledgee of the Notes and may
otherwise deal with the Company or an Affiliate with the same rights it would
have, as if it were not Trustee, subject to certain limitations provided for in
the Indenture and in the TIA. Any Agent may do the same with like rights.
19. No Recourse Against Others. A director, officer, employee, incorporator
or stockholder, as such, of the Company shall not have any liability for any
obligations of the Company under the Notes or the Indenture or for any claim
based on, in respect of or by reason of such obligations or their creation. Each
Holder of the Notes by accepting a Note waives and releases all such liability.
The waiver and release are part of the consideration for the issue of the Notes.
20. Governing Law. THE INTERNAL LAWS OF THE STATE OF NEW YORK SHALL GOVERN
THE INDENTURE AND THE NOTES WITHOUT REGARD TO CONFLICT OF LAW PROVISIONS
THEREOF.
21. Authentication. The Notes shall not be valid until authenticated by the
manual signature of an authorized officer of the Trustee or an authenticating
agent.
22. Abbreviations. Customary abbreviations may be used in the name of a
Holder or an assignee, such as: TEN COM (= tenants in common), TEN ENT (=
tenants by the entireties), JT TEN (= joint tenants with right of survivorship
and not as tenants in common), CUST (= Custodian), and UGMA (= Uniform Gifts to
Minors Act).
The Company will furnish to any Holder of the Notes upon written request
and without charge a copy of the Indenture. Request may be made to:
NTL Communications Corp.
000 Xxxx 00xx Xxxxxx, 00xx Xxxxx
Xxx Xxxx, Xxx Xxxx 00000
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Attention of: Xxxxxxx X. Xxxxxxx, Esq.
Executive Vice President, General Counsel and Secretary
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ASSIGNMENT FORM
To assign this Note, fill in the form below:
(I) or (we) assign and transfer this Note to
____________________________________________
(Insert assignee's social security or tax I.D. no.)
___________________________________________________
___________________________________________________
(Print or type assignee's name, address and zip code)
and irrevocably appoint _________________________________ agent to
transfer this Note on the books of the Company. The agent may substitute
another to act for him.
Your Signature:__________________________________________________________
(Sign exactly as your name appears on the other side of this Note)
Date: __________________
Signature Guarantee: * ____________________________________________
In connection with any transfer of any of the Notes evidenced by this
certificate occurring prior to the date that is two years after the later
of the date of original issuance of such Notes and the last date, if any,
on which such Notes were owned by the Company or any Affiliate of the
Company, the undersigned confirms that such Notes are being transferred:
CHECK ONE BOX BELOW
(1) [ ] to the Company or a subsidiary thereof,
(2) [ ] to a qualified institutional buyer in compliance with Rule 144A,
(3) [ ] outside the United States in compliance with Rule 903 or Rule 904
under the Securities Act,
(4) [ ] pursuant to the exemption from registration provided by Rule 144
under the Securities Act (if available) or
(5) [ ]inside the United States to an Institutional Accredited Investor
that, prior to such transfer, furnishes to the Trustee a signed letter
containing certain representations and agreements relating to the
restrictions on transfer of the Notes (the form of which letter can be
obtained from the Trustee) and, if such transfer is in respect of an
aggregate principal amount of Notes of less than euro100,000, an opinion of
counsel acceptable to the Company that such transfer is in compliance with
the Securities Act,
(6) [ ] pursuant to an effective registration statement under the
Securities Act.
___________________
* Signature must be guaranteed by a commercial bank, trust company or member
firm of the New York Stock Exchange.
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__________________________
Signature
Signature Guarantee*
___________________________
Signature must be guaranteed
_________________________________________________________________
TO BE COMPLETED BY PURCHASER IF (2) ABOVE IS CHECKED.
The undersigned represents and warrants that it is purchasing this 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 "qualified institutional buyer"
within the meaning of Rule 144A under the Securities Act of 1933, 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 the undersigned 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 the
undersigned's foregoing representations in order to claim the exemption from
registration provided by Rule 144A.
Date: _____________________
___________________________
* Signature must be guaranteed by a commercial bank, trust company or member
firm of the New York Stock Exchange.
NOTICE: To be executed by an executive officer
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OPTION OF HOLDER TO ELECT PURCHASE
If you want to elect to have this Note or a portion thereof repurchased by
the Company pursuant to Section 3.09, 4.10 or 4.13 of the Indenture, check the
box: [ ]
If the purchase is in part, indicate the portion (in denominations of
euro1,000 or any integral multiple thereof) to be purchased:
______________________
Your Signature:____________________________________________________
(Sign exactly as your name appears on the other side of this Note)
Date: ________________________
Signature Guarantee:**/
_____________________
**/ Signature must be guaranteed by a commercial bank, trust company or member
firm of the New York Stock Exchange.
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[TO BE ATTACHED TO GLOBAL NOTES]
SCHEDULE A
SCHEDULE OF PRINCIPAL AMOUNT
The initial principal amount of this Global Note shall be euro_______. The
following increases or decreases in the principal amount of this Global Note
have been made:
Amount of Amount of Principal amount Signature of Date of exchange
decrease in increase in of this Global Note authorized officer following such
principal amount principal amount of Trustee or decrease or
of this Global Note of this Global Note Common increase
Depositary
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EXHIBIT B
[FORM OF FACE OF EXCHANGE NOTE]
[Global Notes Legend, if applicable]
UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION ("DTC") [,/OR] EUROCLEAR SYSTEM
("EUROCLEAR"), OR CEDELBANK S.A. ("CEDELBANK")2, TO THE COMPANY OR ITS AGENT FOR
REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS
REGISTERED IN THE NAME OF CHASE NOMINEES LIMITED. OR SUCH OTHER NAME AS IS
REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC [OR] EUROCLEAR [OR
CEDELBANK](AND ANY PAYMENT IS MADE TO CHASE NOMINEES LIMITED, OR TO SUCH OTHER
ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC [OR] EUROCLEAR [OR
CEDELBANK]) ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY
OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CHASE
NOMINEES LIMITED, HAS AN INTEREST HEREIN.
TRANSFERS OF THIS GLOBAL NOTE SHALL BE LIMITED TO TRANSFERS IN WHOLE, BUT
NOT IN PART, TO NOMINEES OF DTC [OR] EUROCLEAR [OR CEDELBANK] OR TO CUSTODIANS
THEREOF OR THEIR NOMINEES OR TO A SUCCESSOR OF DTC [OR] EUROCLEAR [OR CEDELBANK]
OR SUCH SUCCESSOR'S NOMINEE OR TO CUSTODIANS OF SUCH SUCCESSOR OR NOMINEE
THEREOF AND TRANSFERS OF PORTIONS OF THIS GLOBAL NOTE SHALL BE LIMITED TO
TRANSFERS MADE IN ACCORDANCE WITH THE RESTRICTIONS SET FORTH IN THE INDENTURE
REFERRED TO ON THE REVERSE HEREOF.
_______________
2 Reference to Cedelbank should only be included in the Regulation S Global
Note.
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No. ___________ euro__________
CINS No. [ ]/ISIN No. [ ]/ CUSIP No. [ ]
9 1/4% SERIES B SENIOR NOTE DUE 2006
NTL Communications Corp., a Delaware corporation (the "COMPANY") promises
to pay to _________________________ or registered assigns, the principal sum of
euro[ ] [or such other amount as is indicated on Schedule A hereof]**** on
November 15, 2006, subject to the further provisions of this Note set forth on
the reverse hereof which further provisions shall for all purposes have the same
effect as if set forth at this place.
Interest Payment Dates: May 15 and November 15, commencing May 15, 2000
Record Dates: May 1 and November 1
IN WITNESS WHEREOF, NTL Communications Corp. has caused this Note to be
signed manually or by facsimile by its duly authorized officers.
Dated: ________________
NTL COMMUNICATIONS CORP.
by:________________________________
by:________________________________
_______________
**** Applicable to Global Notes only.
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TRUSTEE'S CERTIFICATE OF AUTHENTICATION
This is one of the 9 1/4% Series B Senior Notes due 2006 described in the
within-mentioned Indenture.
THE CHASE MANHATTAN BANK, as Trustee
By: _____________________________________
Authorized Officer
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(FORM OF REVERSE OF EXCHANGE NOTE)
NTL COMMUNICATIONS CORP.
9 1/4% Series B Senior Note due 2006
1. Interest. NTL Communications Corp., a Delaware corporation (the
"COMPANY"), is the issuer of 9 1/4% Series B Senior Notes due 2006 (the
"NOTES"). The Company promises to pay interest on the Notes in cash semiannually
on each May 15 and November 15, commencing on May 15, 2000, to Holders of record
on the immediately preceding May 1 and November 1, respectively, at the rate of
9 1/4% per annum. Interest on the Notes will accrue from the most recent date to
which interest has been paid on the Notes, or if no interest has been paid, from
November 24, 1999. Interest will be computed on the basis of a 360-day year of
twelve 30-day months. The Company will pay interest on overdue principal and
premium, if any, at the interest rate borne by the Notes, compounded
semiannually, and it shall pay interest on overdue installments of interest
(without regard to any applicable grace period) at the same interest rate
compounded semiannually. Any interest paid on this Note shall be increased to
the extent necessary to pay Additional Amounts as set forth in this Note.
2. Additional Amounts. This Section 2 shall apply only in the event that
the Company becomes, or a successor to the Company is, a corporation organized
or existing under the laws of the United Kingdom, the Netherlands, the
Netherlands Antilles, Bermuda or the Cayman Islands. All payments made by the
Company on this Note shall be made without deduction for or on account of, any
and all present or future taxes, duties, assessments, or governmental charges of
whatever nature unless the deduction of such taxes, duties, assessments or
governmental charges is then required by law. If any deduction or withholding
for or on account of any present or future taxes, assessments or other
governmental charges of the United Kingdom, the Netherlands, the Netherlands
Antilles, Bermuda or the Cayman Islands (or any political subdivision or taxing
authority thereof or taxing authority thereof or therein) shall at any time be
required in respect of any amounts to be paid by the Company under this Note,
the Company shall pay or cause to be paid such additional amounts ("ADDITIONAL
AMOUNTS") as may be necessary in order that the net amounts received by a Holder
of this Note after such deduction or withholding shall be not less than the
amounts specified in this Note to which the Holder of this Note is entitled;
provided, however, that the Company shall not be required to make any payment of
Additional Amounts for or on account of:
(a) any tax, assessment or other governmental charge to the extent
such tax, assessment or other governmental charge would not have been
imposed but for (i) the existence of any present or former connection
between such Holder (or between a fiduciary, settlor, beneficiary, member
or shareholder of, or possessor of a power over, such Holder, if such
Holder is an estate, nominee, trust, partnership or corporation), other
than the holding of this Note or the receipt of amounts payable in respect
of this Note, the United Kingdom, the Netherlands, the Netherlands
Antilles, Bermuda or the Cayman Islands or any political subdivision or
taxing authority thereof or therein, including, without limitation, such
Holder (or such fiduciary, settlor, beneficiary, member, shareholder or
possessor) being or having been a citizen or resident thereof or being or
having been present or engaged in trade or business therein or having or
having had a permanent establishment therein or (ii) the presentation of
this Note (where presentation is required) for payment on a date more than
30 days after the date on which such payment became due and payable or the
date on which payment thereof is duly provided for, whichever occurs later,
except to the extent that the Holder would have been entitled to Additional
Amounts had this Note been presented on the last day of such period of 30
days;
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(b) any tax, assessment or other governmental charge that is imposed
or withheld by reason of the failure to comply by the Holder of this Note
or, if different, the beneficial owner of the interest payable on this
Note, with a timely request of the Company addressed to such Holder or
beneficial owner to provide information, documents or other evidence
concerning the nationality, residence, identity or connection with the
taxing jurisdiction of such Holder or beneficial owner which is required or
imposed by a statute, regulation or administrative practice of the taxing
jurisdiction as a precondition to exemption from all or part of such tax,
assessment or governmental charge;
(c) any estate, inheritance, gift, sales, transfer, personal property
or similar tax, assessment or other governmental charge;
(d) any tax, assessment or other governmental charge which is
collectible otherwise than by withholding from payments of principal
amount, redemption amount, Change of Control Payment or interest with
respect to a Note or withholding from the proceeds of a sale or exchange of
a Note;
(e) any tax, assessment or other governmental charge required to be
withheld by any Paying Agent from any payment of principal amount,
redemption amount, Change of Control Payment or interest with respect to a
Note, if such payment can be made, and is in fact made, without such
withholding by any other Paying Agent located inside the United States;
(f) any tax, assessment or other governmental charge imposed on a
Holder that is not the beneficial owner of a Note to the extent that the
beneficial owner would not have been entitled to the payment of any such
Additional Amounts had the beneficial owner directly held the Note;
(g) any combination of items (a), (b), (c), (d), (e) and (f) above;
nor shall Additional Amounts be paid with respect to any payment of the
principal of, or any interest on, this Note to any Holder who is a fiduciary or
partnership or other than the sole beneficial owner of such payment to the
extent that a beneficiary or settlor would not have been entitled to any
Additional Amounts had such beneficiary or settlor been the Holder of this Note.
All references to principal amount or interest on the Notes in the Indenture or
the Notes shall include any Additional Amounts payable to the Company pursuant
to this Section 2.
3. Method of Payment. The Company will pay interest on the Notes (except
defaulted interest) to the Persons who are registered Holders of Notes at the
close of business on the record date for the next interest payment date even
though Notes are canceled after the record date and on or before the interest
payment date. Holders must surrender Notes to a Paying Agent to collect
principal and premium payments. The Company will pay principal, premium, if any,
and interest in money of the European Monetary Union that at the time of payment
is legal tender for payment of public and private debts. However, the Company
may pay principal, premium, if any, and interest by check payable in such money.
It may mail an interest check to a holder's registered address. If a Holder so
requests, principal, premium, if any, and interest may be paid by wire transfer
of immediately available funds to an account previously specified in writing by
such Holder to the Company and the Trustee.
4. Paying Agent and Registrar. The Chase Manhattan Bank (London) will act
as Paying Agent and Registrar in London. The Trustee will act as Paying Agent
and Registrar in the City of New York. Chase Manhattan Bank Luxembourg S.A. will
act as Paying Agent and Registrar in Luxembourg if and as long as the Notes are
listed on the Luxembourg Stock Exchange. The Company may change any Paying
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Agent or Registrar without prior notice. The Company or any of its Affiliates
may act in any such capacity.
5. Indenture. The Company issued the Notes under an indenture, dated as of
November 24, 1999 (the "INDENTURE"), between the Company and The Chase Manhattan
Bank, as Trustee. The terms of the Notes include those stated in the Indenture
and those made part of the Indenture by the Trust Indenture Act of 1939 (15 U.S.
Code Sections 77aaa-77bbbb) as in effect on the date of the Indenture. The
Notes are subject to, and qualified by, all such terms, certain of which are
summarized hereon, and Holders are referred to the Indenture and such Act for a
statement of such terms. The Notes initially issued by the Company on the date
of the Indenture are unsecured general obligations of the Company limited to
euro250,000,000 in aggregate principal amount. Additional Notes may be issued in
accordance with the terms of the Indenture.
6. Optional Redemption. Except as provided in Section 7 herein, the Notes
are not redeemable at the Company's option.
7. Optional Tax Redemption. (a) The Notes may be redeemed at the option of
the Company, in whole but not in part, upon not less than 30 nor more than 60
days notice, at any time at a redemption price equal to the principal amount
thereof plus accrued and unpaid interest to the date fixed for redemption if
after the date on which Section 2 of this Note becomes applicable (the "RELEVANT
DATE") there has occurred any change in or amendment to the laws (or any
regulations or official rulings promulgated thereunder) of the United Kingdom,
the Netherlands, the Netherlands Antilles, Bermuda or the Cayman Islands (or any
political subdivision or taxing authority thereof or therein), or any change in
or amendment to the official application or interpretation of such laws,
regulations or rulings (a "CHANGE IN TAX LAW") which becomes effective after the
Relevant Date, as a result of which the Company is or would be so required on
the next succeeding Interest Payment Date to pay Additional Amounts with respect
to the Notes as described under Section 2 hereof with respect to withholding
taxes imposed by the United Kingdom, the Netherlands, the Netherlands Antilles,
Bermuda or the Cayman Islands (or any political subdivision or taxing authority
thereof or therein) (a "WITHHOLDING TAX") and such Withholding Tax is imposed at
a rate that exceeds the rate (if any) at which Withholding Tax was imposed on
the Relevant Date, provided, however, that (i) this paragraph shall not apply to
the extent that, at the Relevant Date it was known or would have been known had
professional advice of a nationally recognized accounting firm in the United
Kingdom, the Netherlands, the Netherlands Antilles, Bermuda or the Cayman
Islands, as the case may be, been sought, that a change in Tax Law in the United
Kingdom, the Netherlands, the Netherlands Antilles, Bermuda or the Cayman
Islands was to occur after the Relevant Date, (ii) no such notice of redemption
may be given earlier than 90 days prior to the earliest date on which the
Company would be obliged to pay such Additional Amounts were a payment in
respect of the Notes then due, (iii) at the time such notice of redemption is
given, such obligation to pay such Additional Amount remains in effect and (iv)
the payment of such Additional Amounts cannot be avoided by the use of any
reasonable measures available to the Company.
(b) The Notes may also be redeemed, in whole but not in part, at any
time at a redemption price equal to the principal amount thereof plus
accrued and unpaid interest to the date fixed for redemption if the Person
formed after the Relevant Date by a consolidation, amalgamation,
reorganization or reconstruction (or other similar arrangement) of the
Company or the Person into which the Company is merged after the Relevant
Date or to which the Company conveys, transfers or leases its properties
and assets after the Relevant Date substantially as an entirety
(collectively, a "SUBSEQUENT CONSOLIDATION") is required, as a consequence
of such Subsequent Consolidation and as a consequence of a Change in Tax
Law in the United Kingdom, the Netherlands, the Netherlands Antilles,
Bermuda or the Cayman Islands occurring after the date of such Subsequent
Consolidation to pay Additional Amounts with respect to Notes with
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respect to Withholding Tax as described under Section 2 hereof and such
Withholding Tax is imposed at a rate that exceeds the rate (if any) at
which Withholding Tax was or would have been imposed on the date of such
Subsequent Consolidation, provided, however, that this paragraph shall not
apply to the extent that, at the date of such Subsequent Consolidation it
was known or would have been known had professional advice of a nationally
recognized accounting firm in the United Kingdom, the Netherlands, the
Netherlands Antilles, Bermuda or the Cayman Islands, as the case may be,
been sought, that a Change in Tax Law in the United Kingdom, the
Netherlands, the Netherlands Antilles, Bermuda or the Cayman Islands was to
occur after such date.
The Company will also pay, or make available for payment, to Holders on the
Redemption Date any Additional Amounts (as described, but subject to the
exceptions referred to, in Section 2 hereof) resulting from the payment of such
Redemption Price.
8. Notice of Redemption. Notice of redemption will be mailed at least 30
days but not more than 60 days before the redemption date to each Holder of the
Notes to be redeemed at his address of record. On and after the redemption date,
interest ceases to accrue on the Notes or portions of them called for
redemption. If this Note is redeemed subsequent to a record date with respect to
any interest payment date specified above and on or prior to such interest
payment date, then any accrued interest will be paid to the Person in whose name
this Note is registered at the close of business on such record date.
9. Mandatory Redemption. The Company will not be required to make mandatory
redemption or repurchase payments with respect to the Notes. There are no
sinking fund payments with respect to the Notes.
10. Repurchase at Option of Holder. (a) If there is a Change of Control
Triggering Event, the Company shall be required to offer to purchase on the
Purchase Date all outstanding Notes at a purchase price equal to 101% of the
aggregate principal amount thereof, plus accrued and unpaid interest to the
Purchase Date. Holders of Notes that are subject to an offer to purchase will
receive a Change of Control offer from the Company prior to any related Purchase
Date and may elect to have such Notes or portions thereof in authorized
denominations purchased by completing the form entitled "Option of Holder to
Elect Purchase" appearing below.
(b) If the Company or a Restricted Subsidiary consummates any Asset
Sales, and when the aggregate amount of Excess Proceeds from such Asset
Sales exceeds $15.0 million, the Company shall be required to make an offer
(an "ASSET SALE OFFER") to all holders of the Notes and Other Qualified
Notes to purchase the maximum principal amount of Notes and other Qualified
Notes (determined on a pro rata basis according to the principal amount or
accreted value, as the case may be, of the Notes and the Other Qualified
Notes) that may be purchased out of the Excess Proceeds with respect to the
Notes, at an offer price in cash in an amount equal to 100% of the
outstanding principal amount thereof plus accrued and unpaid interest, if
any, to the date fixed for the closing of such offer. To the extent that
the aggregate principal amount or accreted value, as the case may be, of
Notes and Other Qualified Notes tendered pursuant to an Asset Sale Offer is
less than the Excess Proceeds, the Company may use such deficiency for
general corporate purposes. If the aggregate principal amount or accreted
value, as the case may be, of Notes and Other Qualified Notes surrendered
by holders thereof exceeds the amount of Excess Proceeds then any remaining
Excess Proceeds will be allocated pro rata according to principal amount or
accreted value, as the case may be, to the Notes and each issue of the
Other Qualified Notes and, the Trustee will select the Notes to be
purchased in accordance with Section 3.09(e) of the Indenture. Upon
completion of such offer to purchase, the amount of Excess Proceeds will be
reset at zero.
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11. Denominations, Transfer, Exchange. The Notes are in registered form,
without coupons, in denominations of euro1,000 and integral multiples of
euro1,000. The transfer of Notes may be registered, and Notes may be exchanged,
as provided in the Indenture. The Registrar may require a Holder, among other
things, to furnish appropriate endorsements and transfer documents and to pay
any taxes and fees required by law or permitted by the Indenture. The Registrar
need not exchange or register the transfer of any Note selected for redemption.
Also, it need not exchange or register the transfer of any Note for a period of
15 days before a selection of Notes to be redeemed.
12. Persons Deemed Owners. Except as provided in paragraph 3 of this Note,
the registered Holder of a Note may be treated as its owner for all purposes.
13. Unclaimed Money. If money for the payment of principal or interest
remains unclaimed for two years, the Trustee and the Paying Agent shall pay the
money back to the Company at its written request. After that, Holders of Notes
entitled to the money must look to the Company for payment unless an abandoned
property law designates another Person and all liability of the Trustee and such
Paying Agent with respect to such money shall cease.
14. Defaults and Remedies. The Notes shall have the Events of Default as
set forth in Section 6.01 of the Indenture. Subject to certain limitations in
the Indenture, if an Event of Default occurs and is continuing, the Trustee by
notice to the Company or the Holders of at least 25% in aggregate principal
amount of the then outstanding Notes by notice to the Company and the Trustee
may declare all the Notes to be due and payable immediately, except that in the
case of an Event of Default arising from certain events of bankruptcy or
insolvency, all unpaid principal and interest accrued on the Notes shall become
due and payable immediately without further action or notice. The Holders of a
majority in principal amount of the Notes then outstanding by written notice to
the Trustee may rescind an acceleration and its consequences if the rescission
would not conflict with any judgment or decree and if all existing Events of
Default have been cured or waived except nonpayment of principal or interest
that has become due solely because of the acceleration. Holders may not enforce
the Indenture or the Notes as provided in the Indenture. Subject to certain
limitations, Holders of a majority in principal amount of the then outstanding
Notes issued under the Indenture may direct the Trustee in its exercise of any
trust or power. The Company must furnish annually compliance certificates to the
Trustee. The above description of Events of Default and remedies is qualified by
reference, and subject in its entirety, to the more complete description thereof
contained in the Indenture.
15. Amendments, Supplements and Waivers. Subject to certain exceptions, the
Indenture or the Notes may be amended or supplemented with the consent of the
Holders of at least a majority in principal amount of the then outstanding Notes
(including consents obtained in connection with a tender offer or exchange offer
for Notes), and any existing default may be waived with the consent of the
Holders of a majority in principal amount of the then outstanding Notes. Without
the consent of any Holder, the Indenture or the Notes may be amended among other
things, to cure any ambiguity, defect or inconsistency, to provide for
assumption of the Company's obligations to Holders, to make any change that does
not adversely affect the rights of any Holder or to qualify the Indenture under
the TIA or to comply with the requirements of the SEC in order to maintain the
qualification of the Indenture under the TIA.
16. Restrictive Covenants. The Indenture imposes certain limitations on the
ability of the Company and its Subsidiaries to, among other things, engage in
certain transactions with Affiliates, incur additional Indebtedness and make
payments in respect of Capital Stock. The limitations are subject to a number of
important qualifications and exceptions.
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17. Trustee Dealings with the Company. The Trustee, in its individual or
any other capacity may become the owner or pledgee of the Notes and may
otherwise deal with the Company or an Affiliate with the same rights it would
have, as if it were not Trustee, subject to certain limitations provided for in
the Indenture and in the TIA. Any Agent may do the same with like rights.
18. No Recourse Against Others. A director, officer, employee, incorporator
or stockholder, as such, of the Company shall not have any liability for any
obligations of the Company under the Notes or the Indenture or for any claim
based on, in respect of or by reason of such obligations or their creation. Each
Holder of the Notes by accepting a Note waives and releases all such liability.
The waiver and release are part of the consideration for the issue of the Notes.
19. Governing Law. THE INTERNAL LAWS OF THE STATE OF NEW YORK SHALL GOVERN
THE INDENTURE AND THE NOTES WITHOUT REGARD TO CONFLICT OF LAW PROVISIONS
THEREOF.
20. Authentication. The Notes shall not be valid until authenticated by the
manual signature of an authorized officer of the Trustee or an authenticating
agent.
21. Abbreviations. Customary abbreviations may be used in the name of a
Holder or an assignee, such as: TEN COM (= tenants in common), TEN ENT (=
tenants by the entireties), JT TEN (= joint tenants with right of survivorship
and not as tenants in common), CUST (= Custodian), and UGMA (= Uniform Gifts to
Minors Act).
The Company will furnish to any Holder of the Notes upon written request
and without charge a copy of the Indenture. Request may be made to:
NTL Communications Corp.
000 Xxxx 00xx Xxxxxx, 00xx Xxxxx
Xxx Xxxx, Xxx Xxxx 00000
Attention of: Xxxxxxx X. Xxxxxxx, Esq.
Executive Vice President, General Counsel and Secretary
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ASSIGNMENT FORM
To assign this Note, fill in the form below:
(I) or (we) assign and transfer this Note to
____________________________________________
____________________________________________
(Insert assignee's social security or tax I.D. no.)
___________________________________________________
___________________________________________________
(Print or type assignee's name, address and zip code)
and irrevocably appoint _________________________________ agent to
transfer this Note on the books of the Company. The agent may substitute
another to act for him.
Your Signature:______________________________________________________
(Sign exactly as your name appears on the other side of this Note)
Date: __________________
Signature Guarantee: **/ ______________________________
________________
**/ Signature must be guaranteed by a commercial bank, trust company or member
of the New York Stock Exchange.
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OPTION OF HOLDER TO ELECT PURCHASE
If you want to elect to have this Note or a portion thereof repurchased by
the Company pursuant to Section 3.09, 4.10 or 4.13 of the Indenture, check the
box:[ ]
If the purchase is in part, indicate the portion (in denominations of
euro1,000 or any integral multiple thereof) to be purchased:___________________
Your Signature:_______________________________________________________
(Sign exactly as your name appears on the other side of this Note)
Date: ________________________
Signature Guarantee:***
_________________
*** Signature must be guaranteed by a commercial bank, trust company or member
firm of the New York Stock Exchange.
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SCHEDULE A
SCHEDULE OF PRINCIPAL AMOUNT
The initial principal amount of this Global Note shall be
euro__________________. The following increases or decreases in the principal
amount of this Global Note have been made:
Amount of Amount of Principal amount Signature of Date of exchange
decrease in increase in of this Global Note authorized officer following such
principal amount principal amount of Trustee or decrease or
of this Global Note of this Global Note Common increase
Depositary
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EXHIBIT C
FORM OF TRANSFER CERTIFICATE FOR TRANSFER
FROM RULE 144A GLOBAL NOTE
TO REGULATION S GLOBAL NOTE
(Transfers pursuant to Section 2.06(a)(ii)
of the Indenture)
The Chase Manhattan Bank, as Trustee
000 Xxxx 00xx Xxxxxx
Xxx Xxxx, Xxx Xxxx 00000
Attn: Capital Markets Fiduciary Services
Re: NTL Incorporated 9 1/4% Senior Notes Due 2006 (the "Notes")
Reference is hereby made to the Indenture, dated as of November 24, 1999
(the "Indenture"), between NTL Communications Corp., as Issuer, and The Chase
Manhattan Bank, as Trustee.
This letter relates to euro[ ] aggregate principal amount of Notes which
are held in the form of the [Rule 144A Global Note (CUSIP No. )] with the
Depositary in the name of [name of transferor] (the "Transferor") to effect the
transfer of the Notes in exchange for an equivalent beneficial interest in the
Regulation S Global Note.
In connection with such request, the Transferor does hereby certify that
such transfer has been effected in accordance with the transfer restrictions set
forth in the Notes and (i) with respect to transfers made in reliance on
Regulation S, does hereby certify that:
(1) the offer of the Notes was not made to a Person in the United
States;
(2) the transaction was executed in, on or through the facilities of a
designated offshore securities market and neither the Transferor nor any
Person acting on its behalf knows that the transaction was pre-arranged
with a buyer in the United States;
(3) no directed selling efforts have been made in contravention of the
requirements of Rule 903(b) or 904(b) of Regulation S, as applicable; and
(4) the transaction is not part of a plan or scheme to evade the
registration requirements of the United States Securities Act of 1933, as
amended (the "Securities Act");
and (ii) with respect to transfers made in reliance on Rule 144 does hereby
certify that the Notes are being transferred in a transaction permitted by Rule
144 under the Securities Act; and (iii) with respect to transfers made in
reliance on Rule 144A, does hereby certify that such Notes are being transferred
in accordance with Rule 144A under the Securities Act to a transferee that the
Transferor reasonably believes is purchasing the Notes for its own account or an
account with respect to which the transferee exercises sole investment
discretion and the transferee and any such account is a "qualified institutional
buyer" within the meaning of Rule 144A, in a transaction meeting the
requirements of Rule 144A and in accordance with applicable securities laws of
any state of the United States or any other jurisdiction.
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91
In addition, if the sale is made during a restricted period and the
provisions of Rule 903(c)(2) or (3) or Rule 904(c)(1) of Regulation S are
applicable thereto, we confirm that such sale has been made in accordance with
the applicable provisions of Rule 903(c)(2) or (3) or Rule 904(c)(1), as the
case may be.
You and the Company are entitled to rely upon this letter and are
irrevocably authorized to produce this letter or a copy hereof to any interested
party in any administrative or legal proceedings or official inquiry with
respect to the matters covered hereby. Capitalized terms used in this
certificate and not otherwise defined in the Indenture have the meanings set
forth in Regulation S.
[Name of Transferor]
By:___________________________
Name:
Title:
Dated:
cc: NTL Communications Corp.
000 Xxxx 00xx Xxxxxx
Xxx Xxxx, Xxx Xxxx 00000
Attn: Xxxxxxx X. Xxxxxxx, Esq.
Executive Vice President,
General Counsel and Secretary
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92
EXHIBIT D
FORM OF TRANSFER CERTIFICATE FOR TRANSFER
FROM REGULATION S GLOBAL NOTE
TO RULE 144A GLOBAL NOTE
(Transfers pursuant to Section 2.06(a)(iii), (iv) or (v)
of the Indenture)
The Chase Manhattan Bank, as Trustee
000 Xxxx 00xx Xxxxxx
Xxx Xxxx, Xxx Xxxx 00000
Attn: Capital Market Fiduciary Services
Re: NTL Communications Corp. 9 1/4% Senior Notes Due 2006 (the "Notes")
Reference is hereby made to the Indenture, dated as of November 24, 1999
(the "Indenture"), between NTL Communications Corp., as Issuer, and The Chase
Manhattan Bank, as Trustee. Capitalized terms used but not defined herein shall
have the respective meanings given them in the Indenture.
This letter relates to euro[ ] aggregate principal amount of Notes which
are held in the form of the [Regulation S Global Note] [DTC Rule 144A Global
Note] [Euroclear Rule 144A Global Note] (CINS No. [ ]) (CUSIP No. [ ])with the
Depositary in the name of [name of transferor] (the "Transferor") to effect the
transfer of the Senior Notes in exchange for an equivalent beneficial interest
in the [DTC] [Euroclear] Rule 144A Global Note.
In connection with such request, and in respect of such Notes the
Transferor does hereby certify that such Notes are being transferred in
accordance with (i) the transfer restrictions set forth in the Notes and (ii)
Rule 144A under the United States Securities Act of 1933, as amended, to a
transferee that the Transferor reasonably believes is purchasing the Notes for
its own account or an account with respect to which the transferee exercises
sole investment discretion and the transferee and any such account is a
"qualified institutional buyer" within the meaning of Rule 144A, in a
transaction meeting the requirements of Rule 144A and in accordance with
applicable securities laws of any state of the United States or any other
jurisdiction.
[Name of Transferor],
By:__________________________
Name:
Title:
Dated:
cc: NTL Communications Corp.
000 Xxxx 00xx Xxxxxx
Xxx Xxxx, Xxx Xxxx 00000
Attn: Xxxxxxx X. Xxxxxxx, Esq.
Executive Vice-President,
General Counsel and Secretary
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93
EXHIBIT E
FORM OF TRANSFER CERTIFICATE FOR TRANSFER
FROM GLOBAL NOTE OR RESTRICTED
NOTE TO RESTRICTED NOTE
(Transfers pursuant to Section 2.06(a)(vi)
or Section 2.06(a)(vii) of the Indenture)
The Chase Manhattan Bank, as Trustee
000 Xxxx 00xx Xxxxxx
Xxx Xxxx, Xxx Xxxx 00000
Attn: Capital Markets Fiduciary Services
Re: NTL Communications Corp. 9 1/4% Senior Notes due 2006 (the "Notes")
Reference is hereby made to the Indenture, dated as of November 24, 1999
(the "Indenture"), between NTL Communications Corp., as Issuer, and The Chase
Manhattan Bank, as Trustee. Capitalized terms used but not defined herein shall
have the respective meanings given them in the Indenture.
This letter relates to euro[ ] aggregate principal amount of Notes which
are held [in the form of the [Rule 144A/Regulation S] [Global] [Restricted] Note
(CINS No. [ ]/ISIN No. [ ]/CUSIP No. [ ]) with the Depositary in the name of
[name of transferor] (the "Transferor") to effect the transfer of the Notes.
In connection with such request, and in respect of such Notes, the
Transferor does hereby certify that such Notes are being transferred (i) in
accordance with the transfer restrictions set forth in the Notes and (ii) in
accordance with applicable securities laws of any state of the United States or
any other jurisdiction.
*Insert, if appropriate.
[Name of Transferor],
By:_________________________
Name:
Title:
Dated:
cc: NTL Communications Corp.
000 Xxxx 00xx Xxxxxx
Xxx Xxxx, Xxx Xxxx 00000
Attn: Xxxxxxx X. Xxxxxxx, Esq.
Executive Vice President, General Counsel and Secretary
E-1
94
EXHIBIT F
FORM OF ACCREDITED INVESTOR TRANSFEREE CERTIFICATE
The Chase Manhattan Bank, as Trustee
000 Xxxx 00xx Xxxxxx
Xxx Xxxx, Xxx Xxxx 00000
Attn: Capital Markets Fiduciary Services
Re: NTL Communications Corp. 9 1/4% Senior Notes due 2006 (the "Notes")
Reference is hereby made to the Indenture, dated as of November 24, 1999
(the "Indenture"), between NTL Communications Corp., as Issuer, and The Chase
Manhattan Bank, as Trustee. Capitalized terms used but not defined herein shall
have the respective meanings given them in the Indenture.
This letter relates to euro[ ] aggregate principal amount of Notes which
are held [in the form of the [Rule 144A/Regulation S] [Restricted] [Global] Note
(CINS No. [ ] / ISIN No. [ ]/CUSIP No.[ ]) with the Depositary * * in the name
of [name of transferor] (the "Transferor") to effect the transfer of the Notes
to the undersigned.
In connection with such request, and in respect of such Notes we confirm
that:
1. We understand that the Notes were originally offered in a transaction
not involving any public offering in the United States within the meaning of the
United States Securities Act of 1933, as amended (the "SECURITIES ACT"), that
the Notes have not been registered under the Securities Act and that (A) the
Notes may be offered, resold, pledged or otherwise transferred only (i) to a
Person who the seller reasonably believes is a "qualified institutional buyer"
(as defined in Rule 144A under the Securities Act) in a transaction meeting the
requirements of Rule 144A, in a transaction meeting the requirements of Rule 144
under the Securities Act, to a Person who the seller reasonably believes is an
institutional "accredited investor" (as defined in Rule 501(a)(1), (2), (3) or
(7) of Regulation D under the Securities Act), outside the United States in a
transaction meeting the requirements of Rule 903 or 904 of Regulation S under
the Securities Act or in accordance with another exemption from the registration
requirements of the Securities Act (and based upon an opinion of counsel if the
Company so requests), (ii) to the Company, (iii) pursuant to any other available
exemption from registration or (iv) pursuant to an effective registration
statement, and, in each case, in accordance with any applicable securities laws
of any state of the United States or any other applicable jurisdiction and (B)
the purchaser will, and each subsequent Holder is required to, notify any
subsequent purchaser from it of the resale restrictions set forth in (A) above.
2. We are a corporation, partnership or other entity having such knowledge
and experience in financial and business matters as to be capable of evaluating
the merits and risks of an investment in the Notes, and we are (or any account
for which we are purchasing under paragraph 4 below is) an institutional
"accredited investor" as defined in Rule 501(a)(1), (2), (3) or (7) under the
Securities Act, able to bear the economic risk of our proposed investment in the
Notes.
__________________
* Insert and modify if appropriate
F-1
95
3. We are acquiring the Notes for our own account (or for accounts as to
which we exercise sole investment discretion and have authority to make, and do
make, the statements contained in this letter) and not with a view to any
distribution of the Notes, subject, nevertheless, to the understanding that the
disposition of our property shall at all times be and remain within our control.
4. We are, and each account (if any) for which we are purchasing Notes is,
purchasing Notes having an aggregate principal amount of not less than
euro100,000 and, if such transfer is in respect of an aggregate principal amount
of Notes of less than euro100,000, we are providing an opinion of counsel
acceptable to the Company that such transfer is in compliance with the
Securities Act.
5. We understand that (a) the Notes will be delivered to us in registered
form only and that the certificate delivered to us in respect of the Notes will
bear a legend substantially to the following effect:
THIS NOTE HAS NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF
1933 (THE "SECURITIES ACT") AND MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE
TRANSFERRED EXCEPT (1) TO A PERSON WHO THE SELLER REASONABLY BELIEVES IS A
QUALIFIED INSTITUTIONAL BUYER WITHIN THE MEANING OF RULE 144A UNDER THE
SECURITIES ACT PURCHASING FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED
INSTITUTIONAL BUYER IN A TRANSACTION MEETING THE REQUIREMENTS OF RULE 144A, (2)
IN AN OFFSHORE TRANSACTION COMPLYING WITH RULE 903 OR RULE 904 OF REGULATION S
UNDER THE SECURITIES ACT, (3) PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER
THE SECURITIES ACT PROVIDED BY RULE 144 THEREUNDER (IF AVAILABLE) OR (4) TO AN
INSTITUTIONAL ACCREDITED INVESTOR IN A TRANSACTION EXEMPT FROM THE REGISTRATION
REQUIREMENTS OF THE SECURITIES ACT, IN EACH CASE, IN ACCORDANCE WITH ALL
APPLICABLE SECURITIES LAWS OF THE STATES OF THE UNITED STATES.
and (b) such certificates will be reissued without the foregoing legend
only in accordance with the terms of the Indenture.
6. We agree that in the event that at some future time we wish to dispose
of any of the Notes, we will not do so unless:
(a) the Notes are sold to the Company or any subsidiary thereof;
(b) the Notes are sold to a qualified institutional buyer in
compliance with Rule 144A under the Securities Act;
(c) the Notes are sold outside the United States in compliance with
Rule 903 or Rule 904 under the Securities Act;
(d) the Notes are sold to an Institutional Accredited Investor in a
transaction exempt from the registration requirements of the Securities
Act,
(d) the Notes are sold pursuant to an effective registration statement
under the Securities Act; or
(e) the Notes are sold pursuant to any other available exemption from
registration, subject to the requirements of the legend set forth above.
Very truly yours,
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96
[PURCHASER]
By:____________________________
Name:
Title:
Dated:
cc: NTL Communications Corp.
000 Xxxx 00xx Xxxxxx
Xxx Xxxx, Xxx Xxxx 00000
Attn: Xxxxxxx X. Xxxxxxx, Esq.
Executive Vice President,
General Counsel and Secretary
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