RESTATED

 

                          CERTIFICATE OF INCORPORATION

 

                                       OF

 

                               FORD MOTOR COMPANY

 

(originally incorporated on July 9, 1919 under the name Eastern Holding Company)

 

                                 _______________

 

 

 

FIRST. The name of the corporation is Ford Motor Company.

 

SECOND. Its registered office in the State of Delaware is located at 1209 Orange

Street in the City of Wilmington,  County of New Castle. The name and address of

its  registered  agent is THE  CORPORATION  TRUST  COMPANY,  1209 Orange Street,

Wilmington, Delaware 19801.

 

THIRD.  The  nature of the  business  of the  corporation,  and the  objects  or

purposes proposed to be transacted, promoted or carried on by it, are:

 

          1. To manufacture,  buy, sell, deal in and with  automobiles,  trucks,

     cars,  tractors,  farm machinery and  implements,  aircraft,  landcraft and

     watercraft,  and vehicles and articles of every type and  description,  and

     parts,  accessories  and  equipment  therefor  and  for  use in  connection

     therewith,  and  generally to conduct a  manufacturing  business in all its

     branches;

 

          2. To  manufacture,  buy, sell, deal in, and to engage in, conduct and

     carry on the  business  of  manufacturing,  buying,  selling and dealing in

     goods,  commodities,  wares,  merchandise,  services  and real and personal

     property of every type and description;

 

          3. To engage in and carry on the  business  of mining,  drilling  for,

     preparing for market, buying, selling, exchanging,  producing and otherwise

     dealing in coal, oil, gas,  minerals,  ores and metals, and in the products

     and  by-products  thereof,  of every type and  description;  to buy,  sell,

     exchange,  lease,  acquire and deal in lands,  mines,  coal,  oil,  gas and

     mineral  rights  and  claims,  and to  conduct  all  business  appertaining

     thereto;

 

          4. To buy,  sell,  exchange,  lease,  acquire,  deal in and with,  and

     operate boats, vessels, railroads and means of transportation of every type

     and description and to conduct all business appertaining thereto;

 

          5. To render management,  supervisory,  accounting, styling, technical

     and  other  services  and  advice  for any  person,  firm,  association  or

     corporation,  domestic or foreign, by contract or otherwise, and to receive

     therefor fixed or contingent  compensation,  or compensation in the form of

     commissions,  management fees,  shares in gross or net receipts or profits,

     or in any other manner,  or upon any other terms  whatsoever,  or so to act

     without direct compensation;

 

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          6. To sow, cultivate and harvest agricultural products and products of

     the soil; to breed, feed, raise,  slaughter,  store, pack, sell and deal in

     and with livestock and products therefrom; to operate greenhouses,  hotbeds

     and cold frames for the raising of plants,  shrubs and flowers;  in general

     to conduct in all their several  departments and branches the businesses of

     agriculturists,   farmers,   fruit   growers,   dairymen,   stock  raisers,

     slaughterers, packers, gardeners, nurserymen and florists;

 

          7.  To  improve,  manage,  develop,  sell,  assign,  transfer,  lease,

     mortgage,  pledge,  or otherwise dispose of or turn to account or deal with

     all or any part of the property of the corporation and from time to time to

     vary any investment or employment of capital of the corporation;

 

          8. To borrow money,  and to make and issue notes,  bonds,  debentures,

     obligations and evidences of  indebtedness  of every type and  description,

     whether  secured by  mortgage,  pledge or  otherwise,  without  limit as to

     amount,  and to  secure  the same by  mortgage,  pledge or  otherwise;  and

     generally to make and perform  agreements  and  contracts of every type and

     description;

 

          9. To the same  extent  as  natural  persons  might or  could  do,  to

     purchase or otherwise acquire,  and to hold, own, maintain,  work, develop,

     sell, lease, exchange,  hire, convey,  mortgage or otherwise dispose of and

     deal in, lands and leaseholds,  and interests,  estates and rights of every

     type and description in real,  personal or mixed property,  and franchises,

     rights, licenses or privileges necessary, convenient or appropriate for any

     of the purposes herein expressed;

 

          10. To apply  for,  obtain,  register,  purchase,  lease or  otherwise

     acquire and to hold, own, use, develop, operate and introduce, and to sell,

     assign, grant licenses or territorial rights in respect to, or otherwise to

     turn to account or dispose of, copyrights, trademarks, trade names, brands,

     labels,  and  registrations  of the foregoing  whether issued by the United

     States or any other country or government, patent rights, letters patent of

     the United States or of any other country or  government,  and  inventions,

     improvements  and  processes,  whether used in  connection  with or secured

     under letters patent or otherwise;

 

          11.  To make  donations  for the  public  welfare  or for  charitable,

     scientific  or   educational   purposes;   and  to  cooperate   with  other

     corporations or with natural persons,  or to act alone, in the creation and

     maintenance of community funds or of charitable, scientific, or educational

     instrumentalities;

 

          12. To acquire by purchase, subscription or otherwise, and to hold for

     investment or otherwise and to use,  sell,  assign,  underwrite,  transfer,

     mortgage,  pledge or otherwise deal with or dispose of stocks, bonds or any

     other  obligations  or  securities  of any  person,  firm,  association  or

     corporation,  public,  private or  municipal,  or of the  Government of the

     United States or of any state, territory,  colony or dependency thereof, or

     of any  foreign  state  or  country;  to  merge  or  consolidate  with  any

     corporation  in such manner as may be permitted by law; to acquire,  and to

     pay for in cash,  stocks or bonds of this  corporation,  or otherwise,  the

     good will,  rights,  assets and  property,  and to  undertake or assume the

     whole or any part of the obligations or liabilities,  of any person,  firm,

     association  or  corporation;  to aid in any manner any  corporation  whose

     stocks,  bonds or other obligations are held or in any manner guaranteed by

     this  corporation,  or in which this  corporation is in any way interested;

     and  to do any  other  act  or  thing  for  the  preservation,  protection,

     improvement or enhancement of the value of any such stocks,  bonds or other

     obligations; and while the owner of such stocks, bonds or other obligations

     to exercise all the rights, powers and privileges of ownership thereof, and

     to exercise any and all voting powers thereon;  to guarantee the payment of

     dividends upon any stock, or of the principal or interest,  or both, of any

     bond or other obligation, and the performance of any contract; and

 

          13.  To  do   everything   necessary,   suitable  or  proper  for  the

     accomplishment  of any  purpose  or the  attainment  of any  object  or the

     furtherance  of any  power  hereinbefore  set  forth,  either  alone  or in

     association with other corporations,  firms or individuals, and to do every

     other  act or thing  incidental  or  appurtenant  to or  growing  out of or

     connected with the aforesaid  business or purposes,  objects or powers,  or

     any part or parts thereof,  provided the same be not inconsistent  with the

     laws under which the corporation is organized.

 

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     The business of the  corporation is from time to time to do any one or more

of the acts and things hereinabove set forth, and it shall have power to conduct

and carry on its business, or any part thereof, and to have one or more offices,

and to exercise  any or all of its  corporate  powers and rights in the State of

Delaware,   and  in  the  various  other  states,   territories,   colonies  and

dependencies  of the United States,  in the District of Columbia,  and in any or

all foreign countries.

 

     The  objects  and  purposes  of the  corporation  amended  herein  shall be

construed as powers as well as objects and purposes and their enumeration herein

shall not be deemed to exclude, by inference or otherwise,  any power, object or

purpose which the  corporation  is empowered to exercise,  whether  expressly or

impliedly, under the law of the State of Delaware now or hereafter in effect.

 

FOURTH. The total number of shares of all classes of stock which the corporation

shall have authority to issue is 6,560,117,376 shares,  consisting of 30,000,000

shares  of  Preferred  Stock  of the  par  value  of One  Dollar  ($1.00)  each,

530,117,376  shares of Class B Stock of the par value of One Cent ($0.01)  each,

and  6,000,000,000  shares of Common  Stock of the par value of One Cent ($0.01)

each.

 

     The  following  is a statement of all of the  designations  and the powers,

preferences  and rights,  and the  qualifications,  limitations or  restrictions

thereof, of the three classes of the stock of the corporation:

 

 

                                   SECTION 1.

 

                            VOTING POWERS AND RIGHTS.

 

     1.1. Generally. All rights to vote and all voting power (including, without

limitation  thereto,  the right to elect directors) shall be vested exclusively,

in accordance with the provisions of subsections 1.1 through 1.7, inclusive,  in

the holders of Class B Stock and the holders of Common  Stock,  voting  together

without  regard  to  class,  all  except  as  otherwise  expressly  provided  by

subsection  1.7 or by the Board of Directors  pursuant to  subsection  9.1 or as

otherwise expressly required by the law of the State of Delaware.

 

     1.2.  Common  Stock.  At every meeting of the  stockholders  each holder of

Common  Stock shall be entitled to one vote for each share of such stock held by

him.

 

     1.3.  Class B Stock.  At every meeting of the  stockholders  each holder of

Class B Stock  shall be  entitled,  for each share of such stock held by him, to

such number of votes  (which may be or include a fraction of a vote) as shall be

determined  in accordance  with the  provisions of this  subsection  1.3,  which

number of votes, so determined from time to time, is hereinafter  referred to as

the "Class B voting power per share."

 

          1.3a. 40% of Total Voting Power. Until the total number of outstanding

     shares of Class B Stock  shall  first  fall below  60,749,880,  the Class B

     voting power per share shall be the quotient  derived by dividing the total

     number  of  outstanding  shares  of Class B Stock  into a  number  equal to

     two-thirds  of the  aggregate  number of votes  which  could be cast by the

     holders of all of the outstanding  shares of (i) Common Stock and (ii) Full

     Voting Preferred Stock (as defined in subsection 9.2), if any, if they were

     present at the meeting.

 

          1.3b.  30% of Total  Voting  Power.  From and  after the time when the

     total number of outstanding  shares of Class B Stock shall first fall below

     60,749,880  and until such number  shall first fall below  33,749,932,  the

     Class B voting  power per share shall be the  quotient  derived by dividing

     the total number of outstanding shares of Class B Stock into a number equal

     to  three-sevenths  of the aggregate number of votes which could be cast by

     the holders of all of the  outstanding  shares of (i) Common Stock and (ii)

     Full Voting Preferred Stock, if any, if they were present at the meeting.

 

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          1.3c.  One Vote per Share Voting  Power.  From and after the time when

     the total  number of  outstanding  shares of Class B Stock shall first fall

     below 33,749,932,  the Class B voting power per share shall be one vote per

     share.

 

          1.3d.  Computations.  The quotients referred to in this subsection 1.3

     shall be computed to the nearest  one-thousandth of a vote (or, if there be

     no nearest  one-thousandth,  shall be  computed  to a  ten-thousandth  of a

     vote).

 

     1.4. No Cumulative Voting. No stockholder shall be entitled to exercise any

right of cumulative  voting.  If, however,  any  stockholder  should at any time

become  entitled to exercise a right of  cumulative  voting,  whether by express

requirement  of the law of the  State  of  Delaware  or  otherwise,  then at all

elections  of  directors  each holder of Class B Stock shall be entitled to cast

for each share of Class B Stock held by him a number of votes equal to the Class

B voting power per share then  exercisable  (computed as provided in  subsection

1.3),  each  holder of Common  Stock shall be entitled to cast one vote for each

share of Common  Stock held by him,  and each  holder of Full  Voting  Preferred

Stock,  if any,  of any  series  shall be  entitled  to cast the number of votes

(which  may be one vote or more or less than one  vote)  for each  share of Full

Voting  Preferred  Stock  held by him which the Board of  Directors  shall  have

determined pursuant to subsection 9.1 in establishing voting rights with respect

to such  series,  in each  case  multiplied  by the  number of  directors  to be

elected,  and each such holder  shall be entitled to cast all of his votes for a

single  director or to distribute them among the number of directors to be voted

for, or to cast his votes for any two or more of them as he may see fit.

 

     1.5. Quorum.  At any meeting of stockholders,  the presence in person or by

proxy of the  holders of shares  entitled to cast a majority of all of the votes

(computed, in the case of each share of Class B Stock, as provided in subsection

1.3)  which  could  be  cast  at  such  meeting  by  the  holders  of all of the

outstanding shares of stock of the corporation  entitled to vote on every matter

that is to be voted on without regard to class at such meeting shall  constitute

a quorum.

 

     1.6.  Manner of Voting.  At every meeting of  stockholders,  the holders of

Class B Stock,  the  holders  of Common  Stock and the  holders  of Full  Voting

Preferred Stock, if any, shall vote together, without regard to class, and their

votes  (computed,  in the case of each share of Class B Stock,  as  provided  in

subsection 1.3) shall be counted and totalled together;  and at any meeting duly

called and held at which a quorum  (determined in accordance with the provisions

of subsection 1.5) is present, a majority of the votes (computed, in the case of

each share of Class B Stock,  as provided in subsection 1.3) which could be cast

at such meeting upon a given  question by such holders who are present in person

or by proxy shall be necessary, in addition to any vote or other action that may

be expressly  required by the provisions of this Certificate of Incorporation or

by the law of the State of Delaware,  to decide such question,  and shall decide

such question if no such additional vote or other action is so required.

 

     1.7.  Class  Vote  by  Class  B  Stock.  Notwithstanding  any of the  other

provisions of this Section 1, the corporation  shall not, until the total number

of outstanding  shares of Class B Stock shall first fall below 33,749,932,  take

any of the following  actions except with the affirmative vote of the holders of

a majority of the  outstanding  shares of Class B Stock,  given  separately as a

class,  which vote shall be in addition to any vote or other action  required by

the law of the State of Delaware:

 

          (i) issue any additional shares of Class B Stock except pursuant to an

     offer for subscription or purchase required by the provisions of subsection

     4.3 or for the purpose of payment of a stock dividend; or

 

          (ii)  effect  any  reduction,  by  amendment  of  the  Certificate  of

     Incorporation,  retirement  or  exchange  or  otherwise,  in the  number of

     outstanding  shares of Class B Stock in any manner other than by conversion

     into Common Stock as expressly  provided in Section 2 or through  voluntary

     disposition  thereof  to the  corporation  by a holder of shares of Class B

     Stock; or

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          (iii) effect any change or alteration in any provision of this Article

     FOURTH, except as required by the provisions of subsection 3.3; or

 

          (iv)  merge or  consolidate  with or into any  other  corporation,  or

     permit any other corporation to merge or consolidate with or into it; or

 

          (v) sell, lease or exchange all or  substantially  all of its property

     and assets; or

 

          (vi)  transfer  any assets to another  corporation  and in  connection

     therewith distribute stock or other securities of such other corporation to

     the holders of stock or other securities of this corporation; or

 

       (vii) voluntarily dissolve or liquidate.

 

     1.8.  Preferred Stock.  Each holder of Preferred Stock shall be entitled to

vote to the  extent,  if any,  provided  by the Board of  Directors  pursuant to

subsection 9.1.

 

 

                                   SECTION 2.

 

                   OWNERSHIP AND CONVERSION OF CLASS B STOCK.

 

     2.1.  Ownership  of Class B Stock.  Until the time when the total number of

outstanding  shares of Class B Stock shall first fall below 33,749,932,  holders

of shares of such stock may (i) sell or otherwise  dispose of or transfer any or

all of the shares of such stock held by them, respectively,  only to persons who

at the time of transfer meet the  qualifications  set forth in clause (i), (ii),

(iii),  (iv), (v), (vi) or (vii) of subsection 2.2, and to no other persons,  or

(ii)  convert  any or all of such  shares  into  shares of Common  Stock for the

purpose of effecting the sale or  disposition  of such shares of Common Stock to

any person as provided in  subsection  2.3.  Until such time,  no one other than

those  persons in whose names shares of Class B Stock become  registered  on the

original stock ledger of the corporation by reason of their record  ownership of

shares of Class A Common Stock or Class B Common Stock of the corporation  which

are  reclassified  into shares of Class B Stock,  or  transferees  or successive

transferees  who at the time of transfer meet such  qualifications  set forth in

subsection  2.2, shall by virtue of the  acquisition of a certificate for shares

of Class B Stock  have the  status  of an owner or  holder  of shares of Class B

Stock or be recognized as such by the  corporation  or be otherwise  entitled to

enjoy for his own benefit the special rights and powers of a holder of shares of

Class B Stock.

 

     From and  after the time when the  total  number of  outstanding  shares of

Class B Stock shall first fall below 33,749,932, holders of shares of such stock

may (i) sell or  otherwise  dispose of or transfer  such shares to any person or

(ii) convert such shares into shares of Common Stock for any purpose as provided

in  subsection  2.4, and any person may have the status of an owner or holder of

shares of Class B Stock.

 

     Holders of shares of Class B Stock may at any and all times transfer to any

person the shares of Common Stock  issuable  upon  conversion  of such shares of

Class B Stock.

 

     2.2. Transfers of Class B Stock on Corporate Books. Shares of Class B Stock

shall be  transferred  on the  books of the  corporation  and a new  certificate

therefor  issued,  upon  presentation  at the  office  of the  Secretary  of the

corporation (or at such  additional  place or places as may from time to time be

designated by the Secretary or any Assistant  Secretary of the  corporation)  of

the certificate for such shares,  in proper form for transfer and accompanied by

all  requisite  stock  transfer  tax stamps,  only if such  certificate  when so

presented shall also be accompanied by an affidavit of the record holder of such

shares stating that such  certificate is being presented to effect a transfer of

such shares to any one or more of the following:

 

          (i) a natural person who meets the qualification that he is either (A)

     a natural person in whose name shares of Class B Stock became registered on

     the  original  stock  ledger of the  corporation  by  reason of his  record

     ownership  of shares of Class A Common Stock or Class B Common Stock of the

     corporation  which were

 

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     reclassified  into shares of Class B Stock, or (B) a descendant  (including

     any descendant by adoption and any descendant of an adopted  descendant) of

     a natural  person in whose name shares of Class B Stock were so  registered

     by reason of such record ownership,  or (C) a spouse or surviving spouse of

     a natural person who is or was while living  included within the provisions

     of either of the foregoing subclauses (A) or (B); or

 

          (ii)  any  two  or  more  natural  persons  each  of  whom  meets  the

     qualification set forth in clause (i) next above; or

 

          (iii) a  transferee  as trustee  of a trust,  created by deed or will,

     which trust meets the following  requirements:  (1) the income thereof from

     the date of  transfer  to such  trustee  shall be required to be paid to or

     applied for the use and benefit of or  accumulated  for one or more natural

     persons,  concurrently or  successively,  all of whom meet or will meet the

     qualification  set forth in clause (i) above, and no other persons,  except

     for such  portion of the  income as is payable to or to be applied  for the

     use and benefit of or accumulated for one or more (A) other

 

natural persons during terms not to exceed their respective  lives,  who, though

they do not meet the  qualification set forth in clause (i) above, are relatives

of or are or were  employees  or  dependents  of natural  persons  meeting  such

qualification,  or (B) exempt  organizations  (as defined in subsection 2.7) for

terms not exceeding 33 years from the date of the commencement of the trust, and

except for such accumulated  income as may be required to be paid over to others

upon the death of the person for whom it was accumulated,  and (2) the principal

thereof shall be required to be transferred, assigned and paid over upon failure

or termination  of the interests in the income thereof  referred to in subclause

(1) above;  provided,  however, that if the provisions of such trust relating to

the  disposition  of income or principal are subject to amendment in such manner

that the trust could be changed to a trust not meeting the  requirements of this

clause (iii),  the trustee  thereof,  as such, shall have entered into a written

agreement with the corporation  providing that if such trust shall be amended at

any time prior to the time when the total number of outstanding  shares of Class

B Stock shall first fall below  33,749,932 such trustee will promptly deliver to

the  corporation  a copy,  duly  certified by such  trustee,  of the  instrument

effecting  such  amendment and will,  unless such trust as so amended then meets

the requirements of this clause (iii),  promptly  surrender the certificates for

the  shares of Class B Stock  then held in such  trust  for  conversion  of such

shares into an equal number of shares of Common Stock in the manner set forth in

subsection 3.1; or

 

          (iv) a stock corporation  (hereinafter  called a "corporate  holder"),

     not less than 75% of the number of outstanding  shares of each class of the

     capital stock (other than shares of non-voting  preferred  stock as defined

     in subsection 2.7) of which shall, at the time at which the certificate for

     shares of Class B Stock is presented  for transfer,  be owned  beneficially

     and of record by natural  persons who meet the  qualification  set forth in

     clause (i) above  (provided  that the same natural  person need not be both

     the beneficial and the record owner), or be owned of record by trustees (or

     successor  trustees)  of trusts  which meet the  requirements  set forth in

     clause (iii) above,  or be so owned in part by such natural  persons and so

     owned in part by such trustees (or  successor  trustees);  which  corporate

     holder shall have entered into a written  agreement  with this  corporation

     providing  that if, at any time prior to the time when the total  number of

     outstanding shares of Class B Stock shall first fall below 33,749,932, less

     than 75% of the number of  outstanding  shares of each class of the capital

     stock  (other  than  shares of  non-voting  preferred  stock as  defined in

     subsection  2.7) of such  corporate  holder  shall be so  owned,  then such

     corporate  holder will either  promptly  (A) transfer the shares of Class B

     Stock then held by it to one or more  persons  who at the time of  transfer

     meet the  qualifications  set forth in clause (i), (ii), (iii),  (iv), (v),

     (vi) or (vii) of subsection 2.2 and cause the  certificates  therefor to be

     duly presented for transfer into the name of such person or persons, or (B)

     surrender the  certificates for such shares of Class B Stock for conversion

     of such  shares  into an equal  number of shares  of Common  Stock,  in the

     manner set forth in subsection  3.1, or (C) transfer some of such shares as

     provided in the foregoing  subclause (A) and surrender the certificates for

     the  remainder of such shares for  conversion  as provided in the foregoing

     subclause (B); or

 

          (v) a legatee  under the will of any  stockholder  of the  corporation

     deceased prior to the effective date of the reclassification of the Class A

     Common Stock and the Class B Common Stock of the  corporation  into Class A

     Stock,  Class B Stock and Common Stock,  such  transfer  being made for the

     purpose of  satisfying,  in any manner  permitted by such will,  all or any

     part of the claim of the said  legatee  in  respect to a legacy of any kind

     under said will; provided,  however, that the aggregate number of shares of

     Class B Stock  transferred  pursuant  to this  clause  (v) shall not exceed

     8,437,480; or

 

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          (vi) a transferee as successor  trustee or as co-trustee of a trust of

     which his immediate  transferor was or is a trustee  registered as a record

     holder of such shares of Class B Stock as  permitted by the  provisions  of

     subsection  2.1;  provided,  however,  that if the proviso in clause  (iii)

     above is applicable such successor trustee or co-trustee shall have entered

     into a written  agreement  with the  corporation  whereby  he  assumes  the

     obligations of the agreement required by said clause (iii); or

 

          (vii) the  corporation  for the purpose of retirement  pursuant to the

     provisions of subsection 3.3;

 

and if the  certificate  for such  shares of Class B Stock  when  presented  for

transfer shall also be accompanied

 

          (a) in the case of a transfer  to a  transferee  as trustee of a trust

     which meets the  requirements  set forth in clause (iii) above,  by copies,

     duly certified by such trustee,  of the instrument  creating such trust and

     of all amendments thereto, and by an original counterpart or certified copy

     of any agreement required by said clause (iii), or

 

          (b) in the case of a  transfer  to a  corporate  holder as  defined in

     clause  (iv)  above,  by a copy,  duly  certified  by the  Secretary  or an

     Assistant   Secretary  of  such  corporate  holder,  of  the  list  of  its

     stockholders and their  respective  holdings as shown on its stock books at

     the time at which the  certificate for shares of Class B Stock is presented

     for  transfer,  and by an original  counterpart  or  certified  copy of the

     agreement referred to in said clause (iv), or

 

          (c) in the case of a  transfer  to a legatee  described  in clause (v)

     above, by a copy of the will of the deceased stockholder, duly certified by

     the clerk of the court in which the same shall have been probated, or

 

          (d) in the case of a transfer to a transferee as successor  trustee or

     co-trustee as permitted by clause (vi) above, by an original counterpart or

     certified copy of any agreement of such transferee  required by said clause

     (vi).

 

     From and  after the time when the  total  number of  outstanding  shares of

Class B Stock shall first fall below  33,749,932,  shares of Class B Stock shall

be transferable to any person without regard to the foregoing provisions of this

subsection 2.2.

 

     2.3.  Conversion  of  Class  B  Stock  for the  Purpose  of  Sale or  Other

Disposition. A record holder of shares of Class B Stock shall be entitled at any

time and from time to time to convert any or all of such shares held by him into

the same number of shares of Common Stock in the manner set forth in  subsection

3.1, for the purpose of effecting the sale or other  disposition  of such shares

of Common Stock, by surrendering certificates representing the shares of Class B

Stock to be converted, in proper form for transfer of the shares of Common Stock

issuable upon such  conversion and  accompanied by all stock transfer tax stamps

requisite for such  transfer,  and also  accompanied by a written notice by such

record  holder to the  corporation  stating that such record  holder  desires to

convert  such  shares of Class B Stock into the same  number of shares of Common

Stock for the purpose of the sale or other  disposition of such shares of Common

Stock and  requesting  that the  corporation  issue all of such shares of Common

Stock to persons (other than such record  holder) named  therein,  setting forth

the  number of shares of Common  Stock to be issued to each such  person and the

denominations  in which the  certificates  therefor are to be issued.  Each such

notice shall be signed by the record  holder (or in an  appropriate  case by his

guardian, committee, executor, administrator or other legal representative).

 

     If a record  holder of shares of Class B Stock shall  deliver a certificate

for such shares, endorsed by him for transfer or accompanied by an instrument of

transfer  signed by him,  to a person who does not meet the  qualifications  set

forth in clause (i), (ii),  (iii),  (iv),  (v), (vi) or (vii) of subsection 2.2,

then such person or any successive transferee of such certificate may treat such

endorsement or instrument as authorizing  him on behalf of such record holder to

convert such shares in the manner above provided for the purpose of the transfer

to himself of the shares of Common Stock issuable upon such  conversion,  and to

give on behalf of such record  holder the  written  notice of  conversion  above

required, and may convert such shares of Class B Stock accordingly.

 

                                      7

 

<PAGE>

 

     If such shares of Class B Stock shall  improperly  have been  registered in

the name of such a person (or in the name of any  successive  transferee of such

certificate) and a new certificate  therefor  issued,  such person or transferee

may surrender such new certificate for cancellation,  accompanied by the written

notice of conversion above required, in which case (A) such person or transferee

shall be deemed to have elected to treat the  endorsement  on (or  instrument of

transfer accompanying) the certificate so delivered by such former record holder

as authorizing  such person or transferee on behalf of such former record holder

so to convert such shares and so to give such notice,  (B) the shares of Class B

Stock  registered  in the name of such former  record  holder shall be deemed to

have been  surrendered  for  conversion  for the purpose of the transfer to such

person or transferee of the shares of Common Stock issuable upon conversion, and

(C) the  appropriate  entries shall be made on the books of the  corporation  to

reflect such action.

 

     2.4.  Ultimate  Convertibility  of Class B Stock for Any Purpose.  From and

after  the time when the total  number  of  outstanding  shares of Class B Stock

shall  first fall below  33,749,932,  (i) each  record  holder of shares of such

stock may convert  such shares into an equal  number of shares of Common  Stock,

irrespective of the purpose of such conversion, by surrendering the certificates

for  such  shares  in the  manner  set  forth  in  subsection  3.1;  and (ii) no

additional  shares of Class B Stock shall be issued by the corporation,  and the

corporation  shall promptly after such time take such appropriate  action as may

be necessary to reduce the  authorized  amount of Class B Stock to the number of

shares then outstanding.

 

     2.5. Legend on Certificates for Class B Stock. Every certificate for shares

of Class B Stock shall bear a legend on the face thereof reading as follows:

 

          "The shares of Class B Stock  represented by this  certificate may not

     be transferred to any person who does not meet the qualifications set forth

     in clause (i), (ii),  (iii),  (iv), (v), (vi) or (vii) of subsection 2.2 of

     Article FOURTH of the Certificate of  Incorporation  of this corporation as

     amended (Sections 1 to 10 of said Article FOURTH being set forth in full on

     the  reverse  hereof)  and no person  who does not meet the  qualifications

     prescribed by subsection  2.1 of said Article  FOURTH is entitled to own or

     to be  registered  as the  record  holder of such  shares of Class B Stock,

     until the time referred to in said subsection 2.1, but the record holder of

     this  certificate may at any time convert such shares of Class B Stock into

     the same number of shares of Common Stock for the purpose of effecting  the

     sale or other  disposition  of such  shares of Common  Stock to any person.

     Each holder of this certificate,  by accepting the same, accepts and agrees

     to all of the foregoing." Any certificate for shares of Class B Stock which

     shall be issued after the time when the total number of outstanding  shares

     of Class B Stock  shall  first  fall below  33,749,932  shall not bear such

     legend.

 

     2.6.  Violations of Subsections 2.1 and 2.2. In the event that the Board of

Directors of the corporation (or any committee of the Board of Directors, or any

officer  of  the  corporation,  designated  for  the  purpose  by the  Board  of

Directors)  shall  determine,  upon  the  basis of facts  not  disclosed  in any

affidavit or other document  accompanying  the certificate for shares of Class B

Stock when  presented for transfer,  that such shares of Class B Stock have been

registered in violation of the  provisions  of  subsection  2.1 or 2.2, or shall

determine  that a person is enjoying for his own benefit the special  rights and

powers of  shares of Class B Stock in  violation  of such  provisions,  then the

corporation  shall take such action at law or in equity as is appropriate  under

the circumstances.  An unforeclosed pledge made to secure a bona fide obligation

shall not be deemed to violate such provisions.

 

     2.7.  Definitions;  Verification  of  Affidavits.  For the purposes of this

Section 2, each  reference  to a "person"  shall be deemed to include not only a

natural person, but also a corporation, partnership, association, unincorporated

organization or legal entity of any kind;  each reference to a "natural  person"

(or to a "record  holder" of  shares,  if a natural  person)  shall be deemed to

include  in  his  representative  capacity  a  guardian,  committee,   executor,

administrator  or other legal  representative  of such natural  person or record

holder; the term "non-voting preferred stock" as applied to stock in a corporate

holder,  shall mean stock which does not entitle the holder  thereto to vote for

the  election  of  directors  under any  circumstances  and  carries no right to

dividends  or interest in earnings  other than the right to dividends in a fixed

amount  per  annum,  which  right  may  be  cumulative;

 

                                      8

 

<PAGE>

 

and the term "exempt organization" shall mean any corporation,  community chest,

fund or foundation organized and operated exclusively for religious, charitable,

scientific, literary, or educational purposes which, at the date of verification

of the affidavit in which reference thereto is made, shall have been exempted or

be exempt, wholly or partially,  from taxation on income under the provisions of

Section  501(c)(3) of the Internal  Revenue Code of 1986, as then in effect,  or

other  provision  of Federal law then in effect  governing  the  exemption  from

Federal  taxation on income of institutions  organized and operated  exclusively

for any one or more of the foregoing purposes. Each affidavit of a record holder

furnished  pursuant to subsection 2.2 shall be verified as of a date not earlier

than five days prior to the date of  delivery  thereof,  and,  where such record

holder is a corporation or  partnership,  shall be verified by an officer of the

corporation or by a general partner of the partnership, as the case may be.

 

 

                                   SECTION 3.

 

                 GENERAL PROVISIONS WITH RESPECT TO CONVERSIONS.

 

     3.1. Manner of Effecting Conversions.  Each conversion of shares of Class B

Stock into shares of Common Stock made  pursuant to the  provisions of Section 2

shall be effected by the surrender of the certificate representing the shares to

be  converted  at the office of the  Secretary  of the  corporation  (or at such

additional  place  or  places  as may  from  time to time be  designated  by the

Secretary  or any  Assistant  Secretary  of the  corporation)  in such  form and

accompanied by such notice,  affidavits,  other documents and stock transfer tax

stamps,  if any, as may be  prescribed  by and shall comply with the  applicable

provisions  of Section  2, and upon such  surrender  the  record  holder of such

shares (or, in the case of a conversion  made for the purpose of  effecting  the

sale, gift or other

 

disposition  of the shares of Common Stock  issuable upon such  conversion,  the

person named in the prescribed notice) shall be entitled to become, and shall be

registered in the original stock ledger of the corporation as, the record holder

of the number of shares of Common Stock issuable upon such conversion,  and each

such share of Class B Stock shall be converted  into one share of Common  Stock,

as the Common  Stock shall then be  constituted,  and  thereupon  there shall be

issued and delivered to such record  holder or other named  person,  as the case

may be,  promptly at such office or other  designated  place,  a certificate  or

certificates for such number of shares of Common Stock.

 

     3.2. Dividends.  Upon any conversion of shares of Class B Stock into shares

of Common Stock pursuant to the provisions of Section 2, any dividend, for which

the record  date shall be  subsequent  to such  conversion,  which may have been

declared  on the  shares of Class B Stock so  converted  shall be deemed to have

been declared,  and shall be payable, with respect to the shares of Common Stock

into or for which such shares of Class B Stock shall have been so converted, and

any such  dividend  which shall have been  declared  on such  shares  payable in

shares of Class B Stock  shall be deemed  to have  been  declared,  and shall be

payable, in shares of Common Stock.

 

     3.3.  Prohibition  against  Reissue.  The corporation  shall not reissue or

resell any shares of Class B Stock which shall have been  converted  into shares

of Common Stock  pursuant to or as permitted by the  provisions of Section 2, or

any shares of Class B Stock which shall have been acquired by the corporation in

any  other  manner.  The  corporation  shall,  from  time  to  time,  take  such

appropriate  action as may be  necessary to retire such shares and to reduce the

authorized amount of Class B Stock accordingly.

 

     3.4.  Reservation  of  Common  Stock.  The  corporation  shall at all times

reserve and keep  available,  out of its authorized  but unissued  Common Stock,

such  number  of  shares  of  Common  Stock as would  become  issuable  upon the

conversion of all shares of Class B Stock then outstanding.

 

     3.5.  Investigation of Facts. In connection with any transfer or conversion

of any stock of the corporation pursuant to or as permitted by the provisions of

Section  2 of this  Article  FOURTH,  or in  connection  with the  making of any

determination referred to in subsection 2.6,

 

          (i)  the  corporation  shall  be  under  no  obligation  to  make  any

     investigation  of  facts  unless  an  officer,  employee  or  agent  of the

     corporation  responsible  for making  such  transfer  or  determination  or

     issuing Common

 

                                       9

 

<PAGE>

 

     Stock pursuant to such  conversion has  substantial  reason to believe,  or

     unless the Board of  Directors  (or a committee  of the Board of  Directors

     designated for the purpose)  determines that there is substantial reason to

     believe, that any affidavit or other document is incomplete or incorrect in

     a material respect or that an investigation would disclose facts upon which

     any  determination  referred to in subsection 2.6 should be made, in either

     of which  events  the  corporation  shall  make or  cause  to be made  such

     investigation  as it may deem  necessary or desirable in the  circumstances

     and have a reasonable time to complete such investigation, and

 

          (ii) neither the  corporation nor any director,  officer,  employee or

     agent of the corporation shall be liable in any manner for any action taken

     or omitted in good faith.

 

                                   SECTION 4.

 

                              SUBSCRIPTION RIGHTS.

 

     4.1.  Special Right of  Subscription -- Class B Stock. No shares of Class B

Stock and no  obligations  or shares  convertible  into shares of Class B Stock,

whether now or hereafter  authorized  and whether  unissued or in the  treasury,

shall be issued, for money paid, property or any other consideration, unless the

holders  of  Class B Stock  shall  first  have  been  given a  special  right to

subscribe  thereto,  on a ratable basis, at a price not less favorable than that

at which such  shares or  obligations  are to be offered to others.

 

     4.2. Other Subscription Rights Denied.  Except for the special subscription

rights  conferred  on  the  holders  of  Class  B  Stock  by the  provisions  of

subsections  4.1 and 4.3,  no  holder of stock of the  corporation  of any class

shall have any pre-emptive or preferential right to subscribe to or purchase any

shares  of any  class of  stock of the  corporation,  whether  now or  hereafter

authorized  and  whether  unissued  or  in  the  treasury,  or  any  obligations

 

convertible  into shares of any class of stock of the  corporation,  at any time

issued or sold, or any right to subscribe to or purchase any thereof.

 

     4.3.  Discretionary  Offering of Common Stock. If the Board of Directors in

its discretion should at any time offer shares of Common Stock, or any shares or

obligations  convertible  into  shares  of Common  Stock,  for  subscription  or

purchase by the holders of Common  Stock,  then there shall be offered to all of

the holders of Class B Stock for  subscription  or purchase on a ratable  basis,

and at the same  price per  share or unit,  shares  of stock of that  class,  or

shares or  obligations  convertible  into shares of stock of that class,  as the

case may be;  provided,  however,  that  from and  after the time when the total

number of  outstanding  shares of Class B Stock shall  first have  fallen  below

33,749,932,  there shall be offered to the holders of the outstanding  shares of

such stock for  subscription  or  purchase  shares of Common  Stock or shares or

obligations convertible into shares of Common Stock, as the case may be, in lieu

of additional shares of Class B Stock or shares or obligations  convertible into

shares of Class B Stock, as the case may be.

 

 

                                   SECTION 5.

 

                              RIGHTS TO DIVIDENDS.

 

     When and as dividends  are declared  (other than  dividends  declared  with

respect to Preferred  Stock),  whether payable in cash, in property or in shares

of  stock of the  corporation  (other  than  shares  of Class B Stock or  Common

Stock),  the holders of Class B Stock and the  holders of Common  Stock shall be

entitled to share  equally,  share for share,  in such  dividends.  No dividends

shall be  declared  or paid in shares  of Class B Stock or  Common  Stock of the

corporation,  except dividends,  otherwise ratable, payable in shares of Class B

Stock to  holders  of that  class of stock,  and in  shares  of Common  Stock to

holders of that class of stock; provided,  however, that from and after the time

when the total  number of  outstanding  shares of Class B Stock shall first have

fallen below  33,749,932,  any such  dividend  shall be declared and paid to the

holders of shares of Class B Stock in shares of Common Stock.

 

                                       10

 

<PAGE>

 

                                   SECTION 6.

 

                                  ADJUSTMENTS.

 

     6.1. Increase in Outstanding  Stock. If the corporation shall in any manner

increase  the number of  outstanding  shares of Class B Stock,  then each of the

share  numbers set forth in the Table below and  appearing  in the  provision of

this Article  FOURTH set forth in such Table opposite such share number shall be

deemed to be increased  by a number  bearing the same  proportion  to such share

number that such increase in the number of  outstanding  shares of Class B Stock

bears to the number of shares of Class B Stock outstanding  immediately prior to

such increase;  and in each such case all of such provisions and this subsection

6.1 shall be applied so as to give effect to such share numbers as so increased.

If any such  increase  shall be  effected by  amendment  of the  Certificate  of

Incorporation, then such amendment shall itself increase each of the appropriate

share numbers in accordance with the foregoing.

 

 

                                      TABLE

 

      Provision

      Share Number

      1.3a......................................................     60,749,880

      1.3b......................................................     60,749,880

      1.3b......................................................     33,749,932

      1.3c......................................................     33,749,932

      1.7.......................................................     33,749,932

      2.1.......................................................     33,749,932

      2.2(iii)..................................................     33,749,932

      2.2(iv)...................................................     33,749,932

      2.2(v)....................................................      8,437,480

      2.2 (last paragraph)......................................     33,749,932

      2.4.......................................................     33,749,932

      2.5.......................................................     33,749,932

      4.3.......................................................     33,749,932

      5.........................................................     33,749,932

 

 

     6.2.  Consolidation  or Combination  of Shares.  If the  corporation  shall

effect the  consolidation  or combination of all  outstanding  shares of Class B

Stock by  amendment of the  Certificate  of  Incorporation,  so as to reduce the

number of outstanding  shares  thereof,  then such amendment shall also decrease

each of the share numbers set forth in the Table in subsection 6.1 and appearing

in the  provision of this Article  FOURTH set forth in such Table  opposite such

share number,  by a number bearing the same proportion to such share number that

the decrease in the number of outstanding shares of stock of such class effected

by such  consolidation or combination  bears to the number of shares of stock of

such  class  outstanding  immediately  prior  to  the  effective  date  of  such

consolidation or combination.

 

                                   SECTION 7.

 

                           RIGHTS OF COMMON STOCK AND

                         CLASS B STOCK UPON DISSOLUTION.

 

 

     Subject  to the  rights  of the  holders  of  shares of any class or series

ranking  prior to or on a parity with the Common Stock or the Class B Stock,  as

the case may be, upon liquidation, dissolution or winding up of the corporation,

in the event of any  liquidation,  dissolution or winding up of the corporation,

whether voluntary or involuntary:  (i) before any payment or distribution of the

assets of the corporation  (whether  capital or surplus) shall be

 

                                       11

 

<PAGE>

 

made to or set apart for the holders of Class B Stock, the holders of the shares

of Common Stock shall be entitled to receive  $0.50 per share (the "Common Stock

Initial Liquidation Amount"); (ii) before any additional payment or distribution

of the assets of the corporation  (whether  capital or surplus) shall be made to

or set apart for the holders of Common Stock following the payment of the Common

Stock Initial Liquidation Amount, the holders of Class B Stock shall be entitled

to receive $1.00 per share (the "Class B Liquidation Amount");  and (iii) before

any additional payment or distribution of the assets of the corporation (whether

capital  or  surplus)  shall be made to or set apart for the  holders of Class B

Stock  following the payment of the Class B Liquidation  Amount,  the holders of

Common  Stock shall be entitled to receive  $0.50 per share (the  "Common  Stock

Additional  Liquidation  Amount" and,  together  with the Common  Stock  Initial

Liquidation  Amount,  the "Common  Stock  Liquidation  Amount").  Following  the

payment or setting apart for payment of the Common Stock Liquidation  Amount and

the Class B  Liquidation  Amount,  the holders of Common Stock and Class B Stock

shall  participate  pari passu and be entitled to receive,  on a pro rata basis,

the remaining  assets of the  corporation  or proceeds  therefrom  available for

distribution  to the  holders of Common  Stock and Class B Stock.  If,  upon any

liquidation,  dissolution  or winding up of the  corporation,  the assets of the

corporation  or proceeds  thereof:  (i)  distributable  among the holders of the

shares of Common  Stock shall be  insufficient  to pay in full the Common  Stock

Initial Liquidation Amount and liquidating payments on any other shares of stock

ranking,  as to  liquidation,  dissolution  or winding  up, on a parity with the

Common Stock, then such assets,  or the proceeds  thereof,  shall be distributed

among the holders of shares of Common Stock and any such other stock  ratably in

accordance with the respective  amounts which would be payable on such shares of

Common Stock and any such other stock if all amounts  payable  thereon were paid

in full;  (ii)  distributable  among the  holders of the shares of Class B Stock

shall  be  insufficient  to pay in full  the  Class  B  Liquidation  Amount  and

liquidating  payments on any other shares of stock ranking,  as to  liquidation,

dissolution or winding up, on a parity with the Class B Stock, then such assets,

or the proceeds  thereof,  shall be  distributed  among the holders of shares of

Class B Stock and any such other stock ratably in accordance with the respective

amounts  which  would be  payable  on such  shares of Class B Stock and any such

other  stock  if  all  amounts  payable   thereon  were  paid  in  full;   (iii)

distributable  among  the  holders  of the  shares  of  Common  Stock  shall  be

insufficient to pay in full the Common Stock Additional  Liquidation  Amount and

liquidating  payments on any other shares of stock ranking,  as to  liquidation,

dissolution or winding up, on a parity with the Common Stock,  then such assets,

or the proceeds  thereof,  shall be  distributed  among the holders of shares of

Common Stock and any such other stock ratably in accordance  with the respective

amounts which would be payable on such shares of Common Stock and any such other

stock if all amounts payable thereon were paid in full. For the purposes of this

Section 7, (i) a  consolidation  or merger of the  corporation  with one or more

corporations,  (ii) a sale  or  transfer  of  all  or  substantially  all of the

corporation's  assets or (iii) a statutory share exchange shall not be deemed to

be a liquidation, dissolution or winding up, voluntary or involuntary.

 

                                   SECTION 8.

 

                           ALL SHARES OTHERWISE EQUAL.

 

     Except as herein otherwise expressly provided,  shares of Class B Stock and

Common  Stock  shall  all be of equal  rank and shall all  entitle  the  holders

thereof to the same rights and privileges.

 

                                   SECTION 9.

 

                                PREFERRED STOCK.

 

     9.1. Preferred Stock.  Shares of Preferred Stock may be issued from time to

time in one or more series. Subject to the limitations set forth in this Article

FOURTH and any limitations  prescribed by the law of the State of Delaware,  the

Board of Directors is expressly  authorized,  prior to issuance of any series of

Preferred Stock, to fix by resolution or resolutions  providing for the issue of

any series the number of shares  included  in such  series and the  designation,

relative powers, preferences and rights, and the qualifications,  limitations or

restrictions of such series.  Pursuant to the foregoing general authority vested

in the Board of Directors,  but (except as provided in the proviso to clause (v)

of this subsection  9.1) not in limitation of the powers  conferred on the Board

of  Directors  thereby  and by the law of the  State of  Delaware,  the Board of

Directors is expressly  authorized  to determine  with respect to each series of

Preferred Stock:

 

                                      12

 

<PAGE>

 

          (i) the  distinctive  designation  of such  series  and the  number of

     shares  (which  number from time to time may be  decreased  by the Board of

     Directors, but not below the number of such shares then outstanding, or may

     be  increased  by the  Board of  Directors  unless  otherwise  provided  in

     creating such series)  constituting such series;

 

          (ii) the rate and time at which,  and the  preferences  and conditions

     under  which,  dividends  shall be  payable on shares of such  series,  the

     status of such  dividends as  cumulative,  or  non-cumulative,  the date or

     dates from which dividends, if cumulative, shall accumulate, and the status

     of such shares as participating or  non-participating  after the payment of

     dividends as to which such shares are entitled to any preference;

 

          (iii) the  right,  if any,  of  holders  of  shares of such  series to

     convert such shares  into,  or to exchange  such shares for,  shares of any

     other class or classes  (other than Class B) or of any other  series of the

     same class, the prices or rates of conversion or exchange,  and adjustments

     thereto,  and any other terms and conditions  applicable to such conversion

     or exchange;

 

          (iv) the rights and  preferences,  if any, of the holders of shares of

     such series upon the liquidation,  dissolution or winding up of the affairs

     of, or upon any  distribution  of the  assets of,  the  corporation,  which

     amount may vary depending upon whether such  liquidation,  dissolution,  or

     winding up is  voluntary or  involuntary,  and, if  voluntary,  may vary at

     different   dates,  and  the  status  of  the  shares  of  such  series  as

     participating  or  non-participating  after  the  satisfaction  of any such

     rights and preferences;

 

          (v) the voting powers, if any, of the holders of shares of such series

     which may,  without  limiting the generality of the foregoing,  include (A)

     the general right to one vote (or more or less than one vote) per share on

     every matter  (including,  without  limitation,  the election of directors)

     voted on by the  stockholders  without  regard to class and (B) the limited

     right to vote,  as a series by  itself or  together  with  other  series of

     Preferred  Stock or together with all series of Preferred Stock as a class,

     upon such matters, under such circumstances and upon such conditions as the

     Board of  Directors  may fix,  including,  without  limitation,  the right,

     voting as a series by itself or  together  with other  series of  Preferred

     Stock or together with all series of Preferred  Stock as a class,  to elect

     one or more directors of the corporation in the event there shall have been

     a  default  in the  payment  of  dividends  on any  one or more  series  of

     Preferred Stock; provided, however, that, notwithstanding the provisions of

     the preceding  subclause (B) or any other provisions of this subsection 9.1

     to  the  contrary,  the  holders  of  Preferred  Stock,  considered  in the

     aggregate  (whether  voting by  individual  series or  together  with other

     series of Preferred Stock or together with all series of Preferred Stock as

     a  class),  shall  not have  the  right to a  separate  class  vote for the

     election of one or more  directors of the  corporation  except in the event

     there shall have been a default in the payment of  dividends  on any one or

     more series of Preferred Stock and, in such event, shall not have the right

     to a separate class vote for more than a total of two directors;

 

        (vi) the times,  terms and  conditions,  if any,  upon which shares of

     such series shall be subject to redemption,  including the amount which the

     holders  of  shares  of such  series  shall be  entitled  to  receive  upon

     redemption  (which  amount  may  vary  under  different  conditions  or  at

     different redemption dates) and the amount, terms, conditions and manner of

     operation of any  purchase,  retirement  or sinking fund to be provided for

     the shares of such series;

 

          (vii)  the  limitations,  if any,  applicable  while  such  series  is

     outstanding on the payment of dividends or making of  distributions  on, or

     the  acquisition  or  redemption  of,  Common Stock or Class B Stock or any

     other  class of  shares  ranking  junior,  either as to  dividends  or upon

     liquidation, to the shares of such series;

 

          (viii) the conditions or  restrictions,  if any, upon the issue of any

     additional shares (including  additional shares of such series or any other

     class)  ranking  on a parity  with or prior to the  shares  of such  series

     either as to dividends or upon liquidation; and

 

          (ix)  any  other  relative  powers,   preferences  and  participating,

     optional or other special rights,  and the  qualifications,  limitations or

     restrictions thereof, of shares of such series;

 

                                      13

 

<PAGE>

 

     in  each  case,  so far as not  inconsistent  with  the  provisions  of the

     Certificate  of  Incorporation  or the law of the  State of  Delaware.  All

     shares of Preferred Stock shall be identical and of equal rank except as to

     the  particulars  that may be fixed by the Board of  Directors  as provided

     above,  and all shares of each series of Preferred Stock shall be identical

     and of equal rank except as to the dates from which  cumulative  dividends,

     if any, thereon shall be cumulative.

 

     9.2. Full Voting Preferred Stock. As used in this Article FOURTH,  the term

"Full  Voting  Preferred  Stock" shall mean  Preferred  Stock of any one or more

series  the  holders  of  which  shall  be  entitled  to  vote on  every  matter

(including,  without  limitation,  the  election of  directors)  voted on by the

stockholders without regard to class.

 

                                   SECTION 10.

 

                            MISCELLANEOUS PROVISIONS.

 

     10.1.  Original Stock Ledger  Conclusive.  In determining the number or the

record  holders of outstanding  shares of any class of stock of the  corporation

for the purpose of computing or determining  the method of computing the vote or

determining  the right to vote at any meeting of  stockholders  or of a class of

stockholders,  the original  stock ledger of the  corporation as at the close of

business  on the record date fixed for such  meeting  or, if the stock  transfer

books of the  corporation  shall  have  been  closed  for a  period  immediately

preceding the date of such meeting, then as at the close of business on the date

as of which such stock  transfer  books were so closed,  shall be conclusive for

all purposes, and in determining the number or the record holders of outstanding

shares  of any class of stock of the  corporation  for any  other  purpose,  the

original stock ledger of the corporation as at the close of business on the date

as of which  the  determination  is being  made,  shall  be  conclusive  for all

purposes;  all notwithstanding any other provision of this Article FOURTH or any

entries made on the books of the  corporation  pursuant to the last paragraph of

subsection 2.3 subsequent to the close of business on such record or other date.

 

     10.2.  Treasury Stock Not  Outstanding.  The term  "outstanding" as used in

this Article FOURTH with reference to shares of stock of the  corporation  shall

not include any stock held in the treasury of the corporation.

 

     10.3. Singular and Plural. Wherever a term shall be used in the singular in

this Article  FOURTH,  it shall be deemed in all  appropriate  circumstances  to

include also the plural,  and wherever a term shall be so used in the plural, it

shall similarly be deemed to include also the singular.

 

     10.4. References. Unless otherwise stated, all references contained in this

Article FOURTH to Sections, subsections, paragraphs, clauses or subclauses refer

to Sections,  subsections,  paragraphs,  clauses or  subclauses  of this Article

FOURTH.

 

     10.5.  Captions or  Headings.  The  captions or headings  contained in this

Article FOURTH are for purposes of reference only and shall not limit or affect,

or have any bearing on the construction or  interpretation  of, any of the terms

or provisions of this Article FOURTH.

 

 

                                   SECTION 11.

 

                      SERIES B CUMULATIVE PREFERRED STOCK.

 

     The  provisions  of the  corporation's  Certificate  of  the  Designations,

Powers,  Preferences  and  Relative,  Participating  or  Other  Rights,  and the

Qualifications,  Limitations or Restrictions Thereof, of the Series B Cumulative

Preferred Stock are set forth below:

 

                                      14

 

<PAGE>

 

     (1) Number of Shares and Designation. Twenty-three thousand (23,000) shares

of the  preferred  stock,  $1.00  par  value,  of  the  corporation  are  hereby

constituted as a series of the preferred stock designated as Series B Cumulative

Preferred Stock (the "Series B Preferred Stock").

 

     (2)  Definitions.  For  purposes  of the  Series  B  Preferred  Stock,  the

following terms shall have the meanings indicated:

 

          "Board  of  Directors"  shall  mean  the  board  of  directors  of the

     corporation  or any  committee  authorized  by such Board of  Directors  to

     perform any of its responsibilities  with respect to the Series B Preferred

     Stock.

 

          "Business  Day" shall mean any day other than a Saturday,  Sunday or a

     day on which banking  institutions  in the State of New York are authorized

     or obligated by law or executive order to close.

 

          "Class B Stock" shall mean the Class B Stock of the  corporation,  par

     value $0.01 per share.

 

          "Common  Stock"  shall mean the Common Stock of the  corporation,  par

     value $0.01 per share.

 

          "Dividend  Payment  Date" shall have the meaning  specified in Section

     3(a) hereof.

 

          "Dividend Periods" shall mean quarterly dividend periods commencing on

     the first day of  March,  June,  September  and  December  of each year and

     ending  on and  including  the day  preceding  the  first  day of the  next

     succeeding Dividend Period (other than the Initial Dividend Period).

 

          "Initial  Dividend  Period"  shall mean the period  commencing  on the

     Issue Date and ending on (and including) February 28, 1993.

 

          "Issue Date" shall mean the first date on which any shares of Series B

     Preferred Stock are issued.

 

          "Person" shall mean any individual, firm, partnership,  corporation or

     other  entity,  and shall include any successor (by merger or otherwise) of

     such entity.

 

          "Transfer  Agent" means Chemical Bank or such other agent or agents of

     the  corporation  as may be  designated  by the Board of  Directors  of the

     corporation as the transfer agent for the Series B Preferred Stock.

 

     (3)  Dividends.  (a) The holders of shares of the Series B Preferred  Stock

shall be entitled to receive, when, as and if declared by the Board of Directors

out of funds legally available therefor, cash dividends at the rate per annum of

$4,125 per share of Series B Preferred Stock. Such dividends shall be cumulative

from the Issue  Date,  whether or not in any  Dividend  Period or Periods  there

shall be funds of the  corporation  legally  available  for the  payment of such

dividends, and shall be payable quarterly, when, as and if declared by the Board

of Directors,  on the first Business Day of March, June,  September and December

of each year (each a "Dividend Payment Date"),  commencing on the first Business

Day next succeeding the Initial Dividend Period, or at such additional times and

for such interim periods, if any, as determined by the Board of Directors.  Each

such dividend  shall be payable in arrears to the holders of record of shares of

the  Series B  Preferred  Stock,  as they  appear  on the stock  records  of the

 

corporation at the close of business on such record dates, not more than 60 days

preceding  the  payment  dates  thereof,  as  shall  be  fixed  by the  Board of

Directors.  Accrued and unpaid  dividends for any past  Dividend  Periods may be

declared and paid at any time, without reference to any regular Dividend Payment

Date,  to holders of record on such date,  not  exceeding 45 days  preceding the

payment date thereof, as may be fixed by the Board of Directors.

 

     (b) The amount of dividends  payable for each full Dividend  Period for the

Series B Preferred  Stock shall be computed by dividing the annual dividend rate

by four. The amount of dividends  payable for the Initial Dividend Period on the

Series B  Preferred  Stock,  or any other  period  shorter or longer than a full

Dividend Period on the Series B Preferred Stock,  shall be computed on the basis

of twelve  30-day  months  and a  360-day  year.  Holders  of

 

                                     15

 

<PAGE>

 

shares of Series B Preferred  Stock called for  redemption on a redemption  date

between a dividend payment record date and the respective  Dividend Payment Date

shall not be entitled to receive the dividend  payable on such Dividend  Payment

Date. Holders of shares of Series B Preferred Stock shall not be entitled to any

dividends,  whether payable in cash,  property or stock, in excess of cumulative

dividends,  as herein provided, on the Series B Preferred Stock. No interest, or

sum of money in lieu of  interest,  shall be payable in respect of any  dividend

payment or payments on the Series B Preferred Stock which may be in arrears.

 

     (c) So long as any shares of the Series B Preferred Stock are  outstanding,

no  dividends,  except as described in the next  succeeding  sentence,  shall be

declared or paid or set apart for payment on any class or series of stock of the

corporation  ranking,  as to dividends,  on a parity with the Series B Preferred

Stock,   for  any  period  unless  full   cumulative   dividends  have  been  or

contemporaneously are declared and paid or declared and a sum sufficient for the

payment  thereof set apart for such payment on the Series B Preferred  Stock for

all Dividend Periods terminating on or prior to the date of payment of such full

cumulative  dividends.  When  dividends are not paid in full or a sum sufficient

for such payment is not set apart, as aforesaid, upon the shares of the Series B

Preferred Stock and any other class or series of stock ranking on a parity as to

dividends with the Series B Preferred Stock, all dividends  declared upon shares

of the Series B Preferred Stock and all dividends declared upon such other stock

shall be declared pro rata so that the amounts of dividends  per share  declared

on the Series B Preferred  Stock and such other stock shall in all cases bear to

each other the same ratio that accrued  dividends per share on the shares of the

Series B Preferred Stock and such other stock bear to each other.

 

     (d) So long as any shares of the Series B Preferred Stock are  outstanding,

no  dividends  (other  than  dividends  or  distributions  paid in shares of, or

options, warrants or rights to subscribe for or purchase shares of Common Stock,

Class B Stock or other stock ranking junior to the Series B Preferred  Stock, as

to dividends  and upon  liquidation)  shall be declared or paid or set apart for

payment or other  distribution  declared or made upon the Common Stock,  Class B

Stock or any other  stock of the  corporation  ranking  junior  to the  Series B

Preferred Stock, as to dividends or upon liquidation nor shall any Common Stock,

nor any Class B Stock nor any other such stock of the corporation ranking junior

to the  Series  B  Preferred  Stock,  as to  dividends  or upon  liquidation  be

redeemed,  purchased or otherwise  acquired for any consideration (or any moneys

be paid to or made available for a sinking fund for the redemption of any shares

of any such stock) by the corporation (except by conversion into or exchange for

stock of the corporation  ranking junior to the Series B Preferred  Stock, as to

dividends and upon  liquidation)  unless,  in each case (i) the full  cumulative

dividends  on all  outstanding  shares of the Series B  Preferred  Stock and any

other stock of the  corporation  ranking on a parity with the Series B Preferred

Stock, as to dividends or upon liquidation shall have been paid or set apart for

payment for all past Dividend  Periods and dividend periods with respect to such

other stock and (ii) sufficient  funds shall have been set apart for the payment

of the  dividend  for the current  Dividend  Period with respect to the Series B

Preferred  Stock and the dividend  period with respect to any other stock of the

corporation  ranking  on a parity  with  the  Series B  Preferred  Stock,  as to

dividends or upon liquidation.

 

     (4)  Liquidation   Preference.   (a)  In  the  event  of  any  liquidation,

dissolution or winding up of the corporation,  whether voluntary or involuntary,

before any payment or  distribution  of the assets of the  corporation  (whether

capital  or  surplus)  shall be made to or set apart for the  holders  of Common

Stock,  Class B Stock or any other  series or class or  classes  of stock of the

corporation  ranking junior to the Series B Preferred Stock,  upon  liquidation,

dissolution or winding up, the holders of the shares of Series B Preferred Stock

shall be  entitled  to receive  $50,000  per share  plus an amount  equal to all

dividends (whether or not earned or declared) accrued and accumulated and unpaid

thereon to the date of final  distribution  to such  holders;  but such  holders

shall  not be  entitled  to any  further  payment.  If,  upon  any  liquidation,

dissolution or winding up of the corporation,  the assets of the corporation, or

proceeds  thereof,  distributable  among the  holders  of the shares of Series B

Preferred  Stock shall be insufficient  to pay in full the  preferential  amount

aforesaid and liquidating  payments on any other shares of stock ranking,  as to

 

liquidation,  dissolution or winding up, on a parity with the Series B Preferred

Stock, then such assets, or the proceeds thereof, shall be distributed among the

holders of shares of Series B Preferred  Stock and any such other stock  ratably

in accordance with the respective  amounts which would be payable on such shares

of Series B  Preferred  Stock and any such other  stock if all  amounts  payable

thereon  were  paid  in  full.  For the  purposes  of this  Section  (4),  (i) a

consolidation or merger of the corporation with one or more corporations, (ii) a

sale or transfer of

 

                                      16

 

<PAGE>

 

all or substantially all of the corporation's  assets or (iii) a statutory share

exchange  shall not be deemed to be a  liquidation,  dissolution  or winding up,

voluntary or involuntary.

 

     (b)  Subject to the rights of the  holders of shares of any series or class

or classes  of stock  ranking  on a parity  with or prior to Series B  Preferred

Stock,  upon  liquidation,  dissolution  or winding  up,  upon any  liquidation,

dissolution or winding up of the corporation, after payment shall have been made

in full to the holders of Series B Preferred  Stock, as provided in this Section

(4),  any other series or class or classes of stock  ranking  junior to Series B

Preferred Stock, upon liquidation,  dissolution or winding up shall,  subject to

the respective  terms and provisions (if any) applying  thereto,  be entitled to

receive any and all assets remaining to be paid or distributed,  and the holders

of Series B Preferred Stock shall not be entitled to share therein.

 

     (5)  Redemption  at the Option of the  Corporation.  (a) Series B Preferred

Stock may not be redeemed by the  corporation  prior to December 1, 2002,  on or

after which the corporation,  at its option, may, subject to the next succeeding

paragraph,  redeem the shares of Series B Preferred  Stock, in whole or in part,

out of funds  legally  available  therefor,  at any  time or from  time to time,

subject to the notice provisions and provisions for partial redemption described

below,  at a  redemption  price of $50,000  per share,  plus an amount  equal to

accrued and unpaid dividends, if any, to the date fixed for redemption,  whether

or not earned or declared.

 

     In addition to any other  requirement for or condition to the redemption of

the Series B Preferred  Stock set forth in this  Section  (5),  the  corporation

shall not redeem any shares of Series B Preferred Stock pursuant to this Section

(5)(a) unless within the two-year period ending on the date fixed for redemption

the corporation shall have issued sufficient shares of Common Stock to result in

receipt by the  corporation  of net proceeds from such issuances of an aggregate

amount at least equal to the aggregate  liquidation  preference of the shares of

Series B Preferred Stock proposed to be redeemed.

 

     (b) In the event that full  cumulative  dividends on the Series B Preferred

Stock and any other class or series of stock of the corporation  ranking,  as to

dividends,  on a parity with the Series B Preferred  Stock have not been paid or

declared  and set apart for  payment,  the Series B  Preferred  Stock may not be

redeemed  in part and the  corporation  may not  purchase  or acquire  shares of

Series B  Preferred  Stock or such other  stock  otherwise  than  pursuant  to a

purchase  or  exchange  offer made on the same terms to all holders of shares of

Series B Preferred Stock and such other stock.

 

     (c) In the event the corporation  shall redeem shares of Series B Preferred

Stock,  notice of such  redemption  shall be given by first class mail,  postage

prepaid,  mailed not less than 10 nor more than 60 days prior to the  redemption

date,  to each holder of record of the shares to be redeemed,  at such  holder's

address as the same appears on the stock records of the  corporation.  Each such

notice shall state:  (1) the redemption date; (2) the number of shares of Series

B Preferred  Stock to be redeemed  and, if less than all the shares held by such

holder are to be  redeemed,  the number of such shares to be redeemed  from such

holder; (3) the redemption price; (4) the place or places where certificates for

such shares are to be surrendered for payment of the redemption  price;  and (5)

that  dividends  on the  shares  to be  redeemed  shall  cease to accrue on such

redemption  date.  Notice  having been mailed as  aforesaid,  from and after the

redemption  date (unless  default shall be made by the  corporation in providing

money for the payment of the redemption  price),  (i) dividends on the shares of

the Series B  Preferred  Stock so called for  redemption  shall cease to accrue,

(ii) said  shares  shall no longer  be deemed to be  outstanding,  and (iii) all

rights of the holders thereof as  stockholders  of the  corporation  (except the

right to receive from the  corporation  the  redemption  price without  interest

thereon)  shall  cease.  The  corporation's  obligation  to  provide  moneys  in

accordance  with the  preceding  sentence  shall be deemed  fulfilled  if, on or

before the redemption  date, the corporation  shall deposit with a bank or trust

company (which may be an affiliate of the  corporation)  having an office in the

Borough of Manhattan,  City of New York,  and having a capital and surplus of at

least  $50,000,000,   funds  necessary  for  such  redemption,  in  trust,  with

irrevocable  instructions  that such funds be applied to the  redemption  of the

shares of  Series B  Preferred  Stock so called  for  redemption.  Any  interest

accrued on such funds shall be paid to the  corporation  from time to time.  Any

funds so deposited  and  unclaimed at the end of two years from such  redemption

date shall be released or repaid to the corporation, after which, subject to any

applicable laws relating to escheat or

 

                                       17

 

<PAGE>

 

unclaimed  property,  the holder or holders of such shares of Series B Preferred

Stock so called for redemption shall look only to the corporation for payment of

the redemption price.

 

     Upon surrender in accordance with said notice of the  certificates  for any

such shares so redeemed  (properly  endorsed or assigned  for  transfer,  if the

Board of Directors shall so require and the notice shall so state),  such shares

shall  be  redeemed  by the  corporation  at  the  applicable  redemption  price

aforesaid.  If fewer than all the outstanding shares of Series B Preferred Stock

are to be redeemed,  shares to be redeemed shall be selected by the  corporation

from  outstanding  shares of Series B Preferred Stock not previously  called for

redemption  by lot or pro  rata (as  nearly  as may be) or by any  other  method

determined by the corporation in its sole  discretion to be equitable.  If fewer

than  all  the  shares  represented  by  any  certificate  are  redeemed,  a new

certificate  shall be issued  representing the unredeemed shares without cost to

the holder thereof.

 

     (6) Shares to be Retired.  All shares of Series B Preferred Stock purchased

or  redeemed  by the  corporation  shall be retired  and  canceled  and shall be

restored to the status of  authorized  but unissued  shares of preferred  stock,

without designation as to series.

 

     (7)  Ranking.  Any class or  classes of stock of the  corporation  shall be

deemed to rank:

 

          (i) prior to the Series B Preferred  Stock,  as to  dividends or as to

     distribution of assets upon liquidation,  dissolution or winding up, if the

     holders of such class shall be entitled to the receipt of  dividends  or of

     amounts  distributable upon liquidation,  dissolution or winding up, as the

     case may be, in preference or priority to the holders of Series B Preferred

     Stock;

 

          (ii) on a parity with the Series B Preferred Stock, as to dividends or

     as to distribution of assets upon  liquidation,  dissolution or winding up,

     whether or not the dividend rates,  dividend payment dates or redemption or

     liquidation  prices per share thereof be different from those of the Series

     B Preferred  Stock,  if the holders of such class of stock and the Series B

     Preferred Stock shall be entitled to the receipt of dividends or of amounts

     distributable upon liquidation,  dissolution or winding up, as the case may

     be, in  proportion  to their  respective  amounts  of  accrued  and  unpaid

     dividends per share or liquidation  prices,  without preference or priority

     one over the other; and

 

          (iii) junior to the Series B Preferred Stock, as to dividends or as to

     the distribution of assets upon liquidation,  dissolution or winding up, if

     such  stock  shall be Common  Stock or Class B Stock or if the  holders  of

     Series B Preferred  Stock shall be entitled to receipt of  dividends  or of

     amounts  distributable upon liquidation,  dissolution or winding up, as the

     case may be, in  preference  or  priority  to the holders of shares of such

     stock.

 

     (8) Voting.  Except as herein  provided or as  otherwise  from time to time

required  by law,  holders  of Series B  Preferred  Stock  shall  have no voting

rights.  Whenever,  at any time or times,  dividends  payable  on the  shares of

Series B Preferred  Stock at the time  outstanding  shall be in arrears for such

number of Dividend  Periods,  which  Dividend  Periods need not be  consecutive,

which  shall in the  aggregate  contain  not less than 540 days,  the holders of

Series B Preferred Stock shall have the exclusive right,  voting separately as a

class with holders of shares of any one or more other series of preferred  stock

ranking on a parity with the Series B Preferred Stock as to dividends, or on the

distribution  of assets  upon  liquidation,  dissolution  or winding up and upon

which like voting rights have been conferred and are  exercisable,  to elect two

directors  of the  corporation  at the  corporation's  next  annual  meeting  of

stockholders and at each subsequent annual meeting of stockholders. At elections

for such directors, each holder of Series B Preferred Stock shall be entitled to

one vote for each  share  held (the  holders  of  shares of any other  series of

preferred stock ranking on such a parity being entitled to such number of votes,

if any,  for each  share of stock  held as may be  granted  to  them).  Upon the

vesting of such right of the  holders of Series B Preferred  Stock,  the maximum

authorized  number of members of the Board of Directors shall  automatically  be

increased by two and the two vacancies so created shall be filled by vote of the

holders of outstanding  Series B Preferred  Stock (either alone or together with

the holders of shares of any one or more other series of preferred stock ranking

on such a parity and having like voting  rights) as hereinafter  set forth.  The

right of holders of Series B Preferred Stock,  voting  separately as a class, to

elect  (either  alone or together  with the holders of shares of any one or more

 

                                       18

 

<PAGE>

 

other series of preferred  stock ranking on such a parity and having like voting

rights) members of the Board of Directors as aforesaid shall continue until such

time as all dividends  accumulated  on Series B Preferred  Stock shall have been

paid in full, at which time such right shall  terminate,  except as herein or by

law  expressly  provided,  subject to  revesting  in the event of each and every

subsequent default of the character above mentioned.

 

     If the office of any director  elected by the holders of Series B Preferred

Stock,  voting as a class,  becomes  vacant  by  reason  of death,  resignation,

retirement,  disqualification or removal from office or otherwise, the remaining

director elected by the holders of Series B Preferred Stock,  voting as a class,

may choose a successor who shall hold office for the  unexpired  term in respect

of which such vacancy occurred. Upon any termination of the right of the holders

of Series B Preferred Stock to vote for directors as herein  provided,  the term

of office of all directors then in office  elected by Series B Preferred  Stock,

voting as a class, shall terminate  immediately.  Whenever the term of office of

the directors  elected by the holders of Series B Preferred  Stock,  voting as a

class, shall so terminate and the special voting powers vested in the holders of

Series B Preferred  Stock shall have expired,  the number of directors  shall be

such number as may be provided for in the By-Laws  irrespective  of any increase

made pursuant to the provisions of this Section (8).

 

     So long as any shares of the Series B Preferred  Stock remain  outstanding,

the  consent  of the  holders of at least  two-thirds  of the shares of Series B

Preferred Stock  outstanding at the time given in person or by proxy,  either in

writing  or at any  special or annual  meeting,  shall be  necessary  to permit,

effect or validate any one or more of the following:

 

     (a)  The  authorization,  creation  or  issuance,  or any  increase  in the

authorized  or issued  amount,  of any class or series of stock ranking prior to

Series B Preferred  Stock as to  dividends  or the  distribution  of assets upon

liquidation, dissolution or winding up, or

 

     (b) The amendment,  alteration or repeal, whether by merger,  consolidation

or otherwise,  of any of the provisions of the Certificate of  Incorporation  of

the  corporation,  as amended,  which would  materially and adversely affect any

right,  preference or voting power of Series B Preferred Stock or of the holders

thereof;  provided,  however,  that any  increase  in the  amount of  authorized

preferred stock or the creation and issuance of other series of preferred stock,

or any  increase  in the amount of  authorized  shares of such  series or of any

other series of preferred stock, in each case ranking on a parity with or junior

to the Series B Preferred Stock with respect to the payment of dividends and the

distribution of assets upon liquidation, dissolution or winding up, shall not be

deemed to materially  and adversely  affect such rights,  preferences  or voting

powers.

 

     The foregoing voting provisions shall not apply if, at or prior to the time

when the act with respect to which such vote would  otherwise be required  shall

be effected,  all outstanding shares of Series B Preferred Stock shall have been

redeemed or sufficient  funds shall have been  deposited in trust to effect such

redemption, scheduled to be consummated within three months after such time.

 

     (9) Record  Holders.  The  corporation  and the Transfer Agent may deem and

treat the record  holder of any shares of Series B  Preferred  Stock as the true

and lawful owner thereof for all purposes,  and neither the  corporation nor the

Transfer Agent shall be affected by any notice to the contrary.

 

FIFTH. The amount of capital with which the corporation  will commence  business

is One Thousand Dollars ($1,000).

 

SIXTH. The corporation is to have perpetual existence.

 

SEVENTH.  The private property of the  stockholders  shall not be subject to the

payment of corporate debts to any extent whatever.

 

EIGHTH. The following provisions are inserted for the management of the business

and for the conduct of the affairs of the corporation:

 

                                       19

 

<PAGE>

 

                                   SECTION 1.

 

                        POWERS OF THE BOARD OF DIRECTORS.

 

 

     1.1.  General.  In  furtherance,  and  not in  limitation,  of  the  powers

conferred by statute, the Board of Directors is expressly authorized:

 

          (1) To make,  alter or repeal the By-Laws of the  corporation;  to set

     apart out of any funds of the corporation available for dividends a reserve

     or reserves for any proper purpose and to abolish the same in the manner in

     which it was created,  and to fix and  determine  and to vary the amount of

     the  working  capital  of  the  corporation;   to  determine  the  use  and

     disposition  of the working  capital and of any surplus or net profits over

     and above the capital of the corporation determined as provided by law, and

     to fix the times for the declaration and payment of dividends; to authorize

     and cause to be executed  mortgages and liens,  without limit as to amount,

     upon the real and  personal  property  of the  corporation;  and to fix and

     determine the fees and other  compensation to be paid by the corporation to

     its directors;

 

          (2) To determine from time to time whether and to what extent,  and at

     what times and  places,  and under what  conditions  and  regulations,  the

     accounts and books of the corporation (other than the stock ledger), or any

     of  them,  shall  be  open  to  inspection  of  the  stockholders;  and  no

     stockholder  shall have any right to inspect any account,  book or document

     of the corporation  except as conferred by statute,  unless authorized by a

     resolution of the stockholders or directors;

 

          (3) To  make  donations  for the  public  welfare  or for  charitable,

     scientific  or  educational  purposes;  and to  cause  the  corporation  to

     cooperate with other corporations or with natural persons, or to act alone,

     in  the  creation  and   maintenance  of  community  funds  or  charitable,

     scientific, or educational instrumentalities, and to make donations for the

     public welfare or for charitable, scientific, or educational purposes; and

 

          (4) To  designate,  by  resolution  passed by a majority of the entire

     Board, one or more committees,  each committee to consist of two or more of

     the  directors  of the  corporation,  which to the extent  provided  in the

     resolution  or in the  By-Laws  of the  corporation,  shall  have  and  may

     exercise  the powers of the Board of  Directors  in the  management  of the

     business and affairs of the corporation,  and may authorize the seal of the

     corporation to be affixed to all papers which may require it.

 

     1.2. Powers Conferred by By-Laws. The corporation may in its By-Laws confer

powers upon its directors in addition to the  foregoing,  and in addition to the

powers and authorities expressly conferred upon them by the laws of the State of

Delaware.

 

                                   SECTION 2.

 

                          MEETING, OFFICERS AND BOOKS.

 

     If the By-Laws so provide,  the  stockholders  and the  directors  may hold

their meetings,  and the  corporation may have one or more offices,  outside the

State of Delaware.  The books of the  corporation  (subject to the provisions of

the laws of the State of Delaware)  may be kept outside of the State of Delaware

at such places as from time to time may be designated by the Board of Directors.

 

                                      20

 

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                                   SECTION 3.

 

                              VALIDITY OF CONTRACT.

 

     No contract,  transaction  or act of the  corporation  shall be affected or

invalidated by the fact that any of the directors of the  corporation are in any

wise  interested  in or  connected  with  any  other  party  to  such  contract,

transaction  or act or are themselves  parties to such contract,  transaction or

act,  provided that such interest shall be fully disclosed or otherwise known to

the Board of  Directors,  or a  majority  thereof,  at a meeting of the Board at

which such contract,  transaction  or act is authorized,  ratified or confirmed;

and any such director may be counted in determining the existence of a quorum at

any such meeting and may vote  thereat in  connection  with such  authorization,

ratification  or  confirmation  with like  force and effect as if he were not so

interested or connected or was not a party to such contract, transaction or act.

 

                                   SECTION 4.

 

                                  RATIFICATION.

 

     The  Board  of  Directors  in  its  discretion  may  submit  for  approval,

ratification  or  confirmation  by the  stockholders  at any meeting thereof any

contract,  transaction or act of the Board or of any officer,  agent or employee

of the corporation,  and any such contract,  transaction or act which shall have

been so  approved,  ratified or  confirmed  by the  holders of Common  Stock and

holders of Class B Stock, voting as provided in subsection 1.6 of Article FOURTH

hereof  shall  be as  valid  and  binding  upon  the  corporation  and  upon the

stockholders  thereof as though it had been  approved  and  ratified by each and

every stockholder of the corporation.

 

 

                                   SECTION 5.

 

      LIMITATION ON LIABILITY OF DIRECTORS; INDEMNIFICATION AND INSURANCE.

 

     5.1.  Limitation on Liability of Directors.  A director of the  corporation

shall  not be  personally  liable to the  corporation  or its  stockholders  for

monetary  damages  for  breach  of  fiduciary  duty as a  director,  except  for

liability

 

          (i)  for  any  breach  of  the  director's  duty  of  loyalty  to  the

     corporation or its stockholders,

 

          (ii)  for  acts  or  omissions  not in good  faith  or  which  involve

     intentional misconduct or a knowing violation of law,

 

          (iii) under Section 174 of the Delaware General Corporation Law or

 

          (iv) for any transaction  from which the director  derived an improper

     personal benefit.

 

     If the Delaware  General  Corporation  Law is amended after approval by the

stockholders  of this  subsection 5.1 of Article  EIGHTH to authorize  corporate

action further eliminating or limiting the personal liability of directors, then

the liability of a director of the corporation shall be eliminated or limited to

the fullest  extent  permitted by the Delaware  General  Corporation  Law, as so

amended.

 

     5.2.  Effect of Any Repeal or Modification of Subsection 5.1. Any repeal or

modification of subsection 5.1 of this Article EIGHTH by the stockholders of the

corporation  shall not adversely affect any right or protection of a director of

the corporation existing at the time of such repeal or modification.

 

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     5.3. Indemnification and Insurance.

 

     5.3a. Right to  Indemnification.  Each person who was or is made a party or

is  threatened  to be made a party  to or is  involved  in any  action,  suit or

proceeding, whether civil, criminal, administrative,  investigative or otherwise

(hereinafter a "proceeding"),  by reason of the fact that he or she, or a person

of whom he or she is the legal representative,  is or was a director, officer or

employee  of  the  corporation  or is or  was  serving  at  the  request  of the

corporation  as a director,  officer or employee of another  corporation or of a

partnership,  joint venture,  trust or other enterprise,  including service with

respect to  employee  benefit  plans,  whether the basis of such  proceeding  is

alleged action in an official capacity as a director,  officer or employee or in

any other  capacity while serving as a director,  officer or employee,  shall be

indemnified  and  held  harmless  by  the  corporation  to  the  fullest  extent

authorized by the Delaware  General  Corporation  Law, as the same exists or may

hereafter be amended (but, in the case of any such amendment, only to the extent

that such amendment  permits the corporation to provide broader  indemnification

rights  than  said  law  permitted  the  corporation  to  provide  prior to such

amendment), against all expense, liability and loss (including penalties, fines,

judgments,  attorney's fees, amounts paid or to be paid in settlement and excise

taxes or penalties  imposed on fiduciaries  with respect to (i) employee benefit

plans,  (ii)  charitable  organizations  or (iii)  similar  matters)  reasonably

incurred  or  suffered  by  such  person  in   connection   therewith  and  such

indemnification  shall  continue as to a person who has ceased to be a director,

officer  or  employee  and  shall  inure  to the  benefit  of his or her  heirs,

executors and  administrators;  provided,  however,  that the corporation  shall

indemnify  any  such  person  seeking   indemnification  in  connection  with  a

proceeding  (or part  thereof)  initiated by such person (other than pursuant to

subsection  5.3b of this  Article  EIGHTH)  only if  such  proceeding  (or  part

thereof) was authorized by the Board of Directors of the corporation.  The right

to indemnification  conferred in this subsection 5.3a of Article EIGHTH shall be

a contract right and shall include the right to be paid by the  corporation  the

expenses  incurred  in  defending  any such  proceeding  in advance of its final

disposition;  provided,  however,  that if the Delaware General  Corporation Law

requires,  the payment of such expenses incurred by a director or officer in his

or her capacity as a director or officer (and not in any other capacity in which

service was or is rendered by such person while a director or officer, including

without limitation, service to an employee benefit plan) in advance of the final

disposition of a proceeding  shall be made only upon delivery to the corporation

of an  undertaking,  by or on behalf of such  director or officer,  to repay all

amounts so advanced if it shall  ultimately be determined  that such director or

officer is not entitled to be indemnified  under this subsection 5.3a of Article

EIGHTH or otherwise.

 

     5.3b.  Right of Claimant to Bring Suit. If a claim which the corporation is

obligated to pay under  subsection  5.3a of this  Article  EIGHTH is not paid in

full by the  corporation  within 60 days after a written claim has been received

by the  corporation,  the claimant may at any time thereafter bring suit against

the  corporation to recover the unpaid amount of the claim and, if successful in

whole or in part,  the claimant shall be entitled to be paid also the expense of

prosecuting  such claim. It shall be a defense to any such action (other than an

action  brought  to  enforce a claim for  expenses  incurred  in  defending  any

proceeding in advance of its final disposition  where the required  undertaking,

if any is required,  has been tendered to the corporation) that the claimant has

not met the  standards of conduct which make it  permissible  under the Delaware

General  Corporation  Law for the  corporation to indemnify the claimant for the

amount  claimed,  but  the  burden  of  proving  such  defense  shall  be on the

corporation.  Neither the  failure of the  corporation  (including  its Board of

Directors,  independent  legal  counsel  or its  stockholders)  to  have  made a

determination  prior to the commencement of such action that  indemnification of

the  claimant  is  proper  in the  circumstances  because  he or she has met the

applicable  standard of conduct set forth in the  Delaware  General  Corporation

Law, nor an actual  determination  by the  corporation  (including  its Board of

Directors,  independent legal counsel or its stockholders) that the claimant has

not met such applicable standard of conduct, shall be a defense to the action or

create a presumption  that the claimant has not met the  applicable  standard of

conduct.

 

     5.3c.  Miscellaneous.  The provisions of this Section 5.3 of Article EIGHTH

shall cover claims, actions, suits and proceedings,  civil or criminal,  whether

now pending or hereafter  commenced,  and shall be  retroactive to cover acts or

omissions or alleged acts or omissions which heretofore have taken place. If any

part of this  Section  5.3 of  Article  EIGHTH  should be found to be invalid or

ineffective  in any  proceeding,  the  validity  and  effect  of  the  remaining

provisions shall not be affected.

 

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     5.3d.  Non-Exclusivity  of  Rights.  The right to  indemnification  and the

payment of expenses  incurred in defending a proceeding  in advance of its final

disposition  conferred  in this  Section  5.3 of  Article  EIGHTH  shall  not be

exclusive  of any other  right  which any person may have or  hereafter  acquire

under any  statute,  provision  of the  Certificate  of  Incorporation,  By-Law,

agreement, vote of stockholders or disinterested directors or otherwise.

 

     5.3e. Insurance. The corporation may maintain insurance, at its expense, to

protect itself and any director,  officer,  employee or agent of the corporation

or another corporation,  partnership,  joint venture,  trust or other enterprise

against any such  expense,  liability  or loss,  whether or not the  corporation

would have the power to indemnify such person against such expense, liability or

loss under the Delaware General Corporation Law.

 

     5.3f. Indemnification of Agents of the Corporation. The corporation may, to

the extent authorized from time to time by the Board of Directors,  grant rights

to  indemnification,  and  rights  to be paid by the  corporation  the  expenses

incurred in defending any proceeding in advance of its final disposition, to any

agent of the corporation to the fullest extent of the provisions of this Section

5.3 of Article  EIGHTH with respect to the  indemnification  and  advancement of

expenses of directors, officers and employees of the corporation.

 

 

                                   SECTION 6.

 

                             LIMITATION OF ACTIONS.

 

     Every asserted right of action by or on behalf of the  corporation or by or

on behalf of any stockholder  against any past,  present or future member of the

Board of Directors,  or any committee thereof, or any officer or employee of the

corporation or any subsidiary thereof,  arising out of or in connection with any

bonus, supplemental compensation,  stock investment,  stock option or other plan

or plans for the benefit of any employee,  irrespective  of the place where such

right of  action  may  arise or be  asserted  and  irrespective  of the place of

residence of any such director,  member, officer or employee, shall cease and be

barred upon the expiration of three years from the later of the following dates:

(a) the date of any  alleged  act or  omission in respect of which such right of

action  may be  asserted  to  have  arisen,  or (b)  the  date  upon  which  the

corporation shall have made generally available to its stockholders  information

with respect to, as the case may be, the aggregate  amount credited for a fiscal

year to a bonus or supplemental compensation reserve, or the aggregate amount of

awards  in a  fiscal  year  of  bonuses  or  supplemental  compensation,  or the

aggregate  amount of stock  optioned or made  available  for  purchase  during a

fiscal year, or the aggregate amount expended by the corporation during a fiscal

year in connection with any other plan for the benefit of such employees, to all

or any part of which  such  asserted  right of  action  may  relate;  and  every

asserted  right of  action by or on behalf of any  employee,  past,  present  or

future,  or any spouse,  child,  or legal  representative  thereof,  against the

corporation or any subsidiary  thereof  arising out of or in connection with any

such plan,  irrespective  of the place where such  asserted  right of action may

arise or be asserted, shall cease and be barred by the expiration of three years

from the date of the  alleged  act or omission in respect of which such right of

action shall be asserted to have arisen.

 

     NINTH. The corporation reserves the right to amend, alter, change or repeal

any provision contained in this Certificate of Incorporation,  in the manner now

or hereafter  prescribed by the law of the State of Delaware,  and all rights of

the stockholders herein are granted subject to this reservation.

 

                                       23

 

<PAGE>

 

     IN WITNESS WHEREOF, this Restated Certificate of Incorporation,  which only

restates  and  integrates  and does not  further  amend  the  provisions  of the

Restated  Certificate of Incorporation of this corporation as heretofore amended

or supplemented,  there being no discrepancies  between those provisions and the

provisions of this Restated  Certificate  of  Incorporation,  and it having been

duly adopted by the corporation's  Board of Directors in accordance with Section

245 of the  Delaware  General  Corporation  Law,  has  been  signed  by its duly

authorized officer this 2nd day of August, 2000.

 

 

                                                FORD MOTOR COMPANY

 

 

 

                                                By:/s/John M. Rintamaki

                                                   ----------------------------

                                                   John M. Rintamaki

                                                   Secretary

 

[As Filed: 03-22-2001]