EXHIBIT 10.50

 

FIRST AMENDMENT TO CREDIT AGREEMENT

 

THIS FIRST AMENDMENT TO CREDIT AGREEMENT is made and dated as of June 10, 2005
(the “First Amendment”) among BOYD GAMING CORPORATION, a Nevada corporation (the
“Borrower”), the various financial institutions parties hereto (collectively,
the “Lenders”), and BANK OF AMERICA, N.A. (“Bank of America”), as administrative
agent (in such capacity, the “Administrative Agent”) for the Lenders and amends
that certain Credit Agreement dated as of May 20, 2004 (as the same may be
amended or modified from time to time, the “Credit Agreement”).

 

R E C I T A L S

 

WHEREAS, the Borrower has requested the Administrative Agent and the Lenders to
amend certain provisions of the Credit Agreement, and the Administrative Agent
and the Lenders are willing to do so, on the terms and conditions specified
herein;

 

WHEREAS, the Borrower desires to refinance and replace all outstanding Term
Loans under the Credit Agreement with a new class of Term B Loans under the
Credit Agreement (the “Term B Loans”) up to an aggregate principal amount of
$496,250,000, having identical terms with, and having the same rights and
obligations under the Loan Documents, as the Term Loans, as set forth in the
Loan Documents, except as such terms are amended hereby;

 

WHEREAS, each Term Loan Lender who executes and delivers a consent to this First
Amendment shall be deemed, upon the effectiveness of this First Amendment, to
have exchanged its Term Loan Commitment and Term Loans (which Term Loan
Commitment and Term Loans shall thereafter be deemed terminated, it being
understood and agreed, however, that, notwithstanding anything set forth herein
to the contrary, the Term B Commitments and Term B Loans amend and restate in
their entirety, and are not in payment or satisfaction of, the Term Loan
Commitments and the Term Loans and there is no novation of the Term Loan
Commitments or the Term Loans) for a Term B Commitment (a “Term B Commitment”)
and Term B Loans in the same aggregate principal amount as such Lender’s
outstanding Term Loans as set forth in Schedule 2.01 to the Credit Agreement as
in effect immediately prior to the Term B Facility Effective Date and such
Lender shall thereafter become a Term B Lender (each, in such capacity, a “Term
B Lender”);

 

WHEREAS, each Person who executes and delivers a consent to this First Amendment
as a term loan lender other than pursuant to an exchange of term loans described
in Section 2.01(a)(ii) of the Credit Agreement as amended hereby (each, in such
capacity, an “Additional Term B Lender”), will make Term B Loans on the Term B
Facility Effective Date (as defined below) (each, an “Additional Term B Loan”)
to the Borrower in an aggregate principal amount equal to the amount set forth
opposite its name on Schedule 2.01 to the Credit Agreement under the caption
Additional Term B Loans, as amended as of the Term B Facility Effective Date,
the proceeds of which will be used by the Borrower to refinance in full the
outstanding principal amount of Term Loans of Term Loan Lenders, if any, who do
not execute and deliver a consent

 

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to this First Amendment, it being understood that an Additional Term B Lender
may be a Term Loan Lender prior to the Term B Facility Effective Date;

 

WHEREAS, the Borrower shall pay to each Term Loan Lender all accrued and unpaid
interest on its Term Loans to the Term B Facility Effective Date on such Term B
Facility Effective Date;

 

WHEREAS, the Borrower has requested that the Lenders amend the Credit Agreement
(i) to effect the changes described above and (ii) to make other amendments as
described below; and

 

WHEREAS, the Lenders have agreed, subject to the terms and conditions
hereinafter set forth, to amend the Credit Agreement in certain respects as set
forth below.

 

NOW, THEREFORE, for good and valuable consideration, the receipt and adequacy of
which are hereby acknowledged, the parties hereby agree as follows:

 

1. Terms. All terms used herein shall have the same meanings as in the Credit
Agreement unless otherwise defined herein.

 

2. Amendment. The Credit Agreement is hereby amended as follows:

 

(a) The definition of the term “Aggregate Revolving Commitments” in Section 1.01
of the Credit Agreement is hereby amended and restated to read in its entirety
as follows:

 

“Aggregate Revolving Commitments” means the Revolving Commitments of all
Revolving Lenders. As of June 30, 2005, the Aggregate Revolving Commitments are
$1,350,000,000.

 

(b) The definition of the term “Applicable Rate” in Section 1.01 of the Credit
Agreement is hereby amended and restated to read in its entirety as follows:

 

“Applicable Rate” means in the case of Credit Extensions under the Revolving
Commitment, from time to time, the following rates per annum (expressed in basis
points), based upon the Total Leverage Ratio as set forth below:

 

Applicable Rate

 

Pricing Level

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   Total Leverage Ratio

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   Unused Fee

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   Eurodollar Rate +
Letters of Credit

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   Base Rate +

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1

   > 4.50    37.5    175.0    50.0

2

   4.00 < x £ 4.50    30.0    150.0    25.0

3

   3.50 < x £ 4.00    25.0    125.0    0.00

4

   3.00 < x £ 3.50    25.0    100.0    0.00

5

   £ 3.00    20.0    75.0    0.00

 

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The Applicable Rate for Term B Loans shall be 150 basis points per annum in the
case of Eurodollar Rate Loans and 25 basis points in the case of Base Rate
Loans.

 

Any increase or decrease in the Applicable Rate resulting from a change in the
Total Leverage Ratio shall become effective as of the first Business Day
immediately following the date a Compliance Certificate is delivered pursuant to
Section 6.02(b) in the case of the first three fiscal quarters of any fiscal
year and immediately following the date a certification of the Total Leverage
Ratio is delivered pursuant to Section 6.02(c) in the case of the final quarter
of any fiscal year; provided, however, that if a Compliance Certificate is not
delivered when due in accordance with Section 6.02(b) or a certification of
Total Leverage Ratio is not delivered when due in accordance with Section
6.02(c), then Pricing Level 1 shall apply as of the first Business Day after the
date on which such Compliance Certificate was required to have been delivered
and shall continue to apply until the first Business Day after the date such
certificate is delivered.

 

(c) The definition of the term “Consolidated EBITDA” in Section 1.01 of the
Credit Agreement is hereby amended by deleting the phrase “plus the Borrower’s
share of any net income before any pre-opening expenses of MDDC” and replacing
it with the phrase “plus the Borrower’s share of any MDDC Adjusted Net Income”
and by inserting the phrase “or other future mergers or acquisitions” after the
word “Merger” and prior to the final parenthetical phrase of such definition.

 

(d) The definition of the term “EBITDA” in Section 1.01 of the Credit Agreement
is hereby amended and restated to read in its entirety as follows:

 

“EBITDA” means, for any period, a Person’s consolidated earnings before
depreciation, amortization, interest expense, pre-opening expenses, non-cash
stock based compensation expense, non-cash rent expense, extraordinary items and
taxes, all as determined in accordance with GAAP.

 

(e) The definition of the term “Letter of Credit Sublimit” in Section 1.01 of
the Credit Agreement is hereby amended by deleting the figure “$30,000,000” and
replacing it with the figure “$75,000,000.”

 

(f) The definition of the term “Revolving Loan Maturity Date” in Section 1.01 of
the Credit Agreement is hereby amended and restated to read in its entirety as
follows:

 

“Revolving Loan Maturity Date” means June 30, 2010.

 

(g) The definition of the term “Swing Line Sublimit” in Section 1.01 of the
Credit Agreement is hereby amended by deleting the figure “$30,000,000” and
replacing it with the figure “$50,000,000.”

 

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(h) The definition of the term “Term Loan Commitment” in Section 1.01 of the
Credit Agreement is hereby amended and restated in its entirety to read as
follows:

 

““Term B Commitment” means, as to each Term B Lender at any time, its
obligations to make Term B Loans to the Borrower pursuant to Section 2.01(a) in
an aggregate principal amount at any one time outstanding not to exceed the
amount set forth opposite such Lender’s name on Schedule 2.01 hereto under the
caption “Total Term B Commitment” or in the Assignment and Assumption pursuant
to which such Lender becomes a party hereto, as applicable, as such amount may
be adjusted from time to time in accordance with this Agreement.”

 

(i) The definition of the term “Term Loan Lender” in Section 1.01 of the Credit
Agreement is hereby amended and restated to read in its entirety as follows:

 

“Term Loan Lender” means any Term B Lender.

 

(j) The definition of the term “Term Loan” in Section 1.01 of the Credit
Agreement is hereby amended and restated to read in its entirety as follows:

 

“Term Loan” means a Loan made by any Term B Lender.

 

(k) The definition of the term “Term Loan Maturity Date” is hereby amended and
restated to read in its entirety as follows:

 

“Term Loan Maturity Date” means, in the case of the Term B Loans made on the
Term B Facility Effective Date, June 30, 2011.

 

(l) The definition of the term “Term Note” in Section 1.01 of the Credit
Agreement is hereby amended and restated to read in its entirety as follows:

 

“Term B Note” means a promissory note of the Borrower payable to the order of
any Term B Lender, in substantially the form of Exhibit C-1 hereto, evidencing
the indebtedness of the Borrower to such Lender resulting from the Term B Loans
made or deemed made by such Lender.”

 

(m) The following definitions shall be added to Section 1.01 of the Credit
Agreement in appropriate alphabetical sequence:

 

“Additional Term B Commitment” means, as to each Additional Term B Lender, the
commitment of such Additional Term B Lender to make Additional Term B Loans on
the Term B Facility Effective Date, in an amount set forth next to the name of
such Additional Term B Lender on Schedule 2.01 thereto under the caption
“Additional Term B Commitment”.

 

“Additional Term B Lender” means a Person with an Additional Term B Commitment
to make Additional Term B Loans to the Borrower

 

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on the Term B Facility Effective Date, it being understood that an Additional
Term B Lender may also be an Original Term Loan Lender.

 

“Additional Term B Loan” means a term loan or term loans made pursuant to
Section 2.01(a)(iii) of this Agreement on the Term B Facility Effective Date.

 

“First Amendment” means the First Amendment to Credit Agreement, dated as of
June 10, 2005, among the Borrower, the Administrative Agent and the Lenders
party thereto.

 

“First Amendment Effective Date” is defined in Section 4.1 of the First
Amendment.

 

“MDDC Adjusted Net Income” means, for any period, the net income of MDDC plus
(i) any pre-opening expenses during such period, plus (or minus) (ii) any loss
or gain arising from a change in GAAP during such period, plus (iii) any charges
for the early retirement of debt during such period, plus (or minus) (iv) any
non-recurring, non-cash losses or gains during such period.

 

“Minimum Title Insurance Amount” means at any date, $1,500,000,000 minus the
amount of all scheduled repayments and optional prepayments (exclusive of any
such amounts that were refinanced) of Original Term Loans and Term B Loans
hereof on or prior to such date.

 

“Original Term Loan” means the aggregate outstanding principal amount of the
“Term Loans” as defined hereunder prior to the First Amendment Effective Date.

 

“Original Term Loan Commitment” means, as to each Original Term Loan Lender, its
Pro Rata Share of the Original Term Loan as set forth in the records of the
Administrative Agent.

 

“Original Term Loan Lender” means any Lender that holds an Original Term Loan
and/or an Original Term Loan Commitment.

 

“Term B Facility Effective Date” is defined in Section 4.2 of the First
Amendment.

 

“Term B Lender” means, collectively, (a) each Term Loan Lender that executes and
delivers a consent to the First Amendment on or prior to the Term B Facility
Effective Date and (b) each Additional Term B Lender.

 

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“Term B Loan” means a term loan or term loans made pursuant to Sections
2.01(a)(i) or 2.01(a)(iii) or deemed made pursuant to Section 2.01(a)(ii).

 

(n) Section 2.01(a) of the Credit Agreement is hereby amended and restated to
read in its entirety as follows:

 

“(a) The Term Loans. (i) Each Original Term Loan Lender has advanced to the
Borrower one or more loans in an amount equal to its Pro Rata Share of the
Original Term Loan Commitment. Amounts borrowed under this Section 2.01(a) and
repaid or prepaid may not be reborrowed.

 

(ii) Subject to the terms and conditions hereof, each Original Term Loan Lender
with a Term B Commitment severally agrees to exchange its Original Term Loans
for a like principal amount of Term B Loans on the Term B Facility Effective
Date, and from and after the Term B Facility Effective Date such Original Term
Loans shall be deemed refinanced in full and such Term B Loans shall be deemed
made hereunder.

 

(iii) Subject to the terms and conditions hereof, each Additional Term B Lender
severally agrees to make Additional Term B Loans to the Borrower on the Term B
Facility Effective Date in a principal amount not to exceed its Additional Term
B Commitment on the Term B Facility Effective Date. The Borrower shall refinance
all outstanding Original Term Loans of Original Term Loan Lenders that do not
execute and deliver a consent to the First Amendment on the Term B Facility
Effective Date with the gross proceeds of the Additional Term B Loans.

 

(iv) The Borrower hereby irrevocably authorizes and directs the Administrative
Agent to apply the proceeds of the Additional Term B Loans made on the Term B
Facility Effective Date to refinance and replace the Original Term Loans of the
Original Term Loan Lenders that do not execute and deliver a consent to the
First Amendment on the Term B Facility Effective Date.

 

(v) On the Term B Facility Effective Date the Borrower shall pay all accrued and
unpaid interest on the Original Term Loans to the Original Term Loan Lenders;
provided, however, it is understood that the existing Interest Periods of the
Term Loans prior to the Term B Facility Effective Date shall continue on and
after the Term B Facility Effective Date and shall accrue interest at the
Applicable Rate in effect on and after the Term B Facility Effective Date.

 

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(vi) Upon the Term B Facility Effective Date, the Term B Loans shall have the
same terms, rights and obligations as the Original Term Loans as set forth in
the Loan Documents, except as modified by the First Amendment, and all
references to “Term Loans”, “Term Loan Commitment”, “Term Note” and “Term Loan
Lenders” in the Loan Documents shall be deemed to be references to “Term B
Loans”, “Term B Commitment”, “Term B Note” and “Term B Lenders”, respectively.”

 

(o) Section 2.07(a) of the Credit Agreement is hereby amended and restated to
read in its entirety as follows:

 

(a) The Borrower shall make repayments of the Term B Loans on the last day of
each fiscal quarter of the Borrower, commencing June 30, 2005 in an amount equal
to $1,250,000 plus, in the event that the Term B Commitment shall be increased
pursuant to Section 2.14, 0.25% of the aggregate principal amount of Increased
Term Loans advanced on any Increase Effective Date. The Borrower shall repay the
outstanding principal amount of all Term B Loans on the Term B Loan Maturity
Date.

 

(p) Effective on the date on which the Borrower notifies the Administrative
Agent that it has received all regulatory approvals necessary in connection
therewith, Section 2.14(a) of the Credit Agreement is hereby amended to read in
its entirety as follows:

 

“(a) Provided there exists no Default, upon notice to the Administrative Agent
the Borrower may from time to time request an increase in the Revolving
Commitment or Term B Loans (or other term loans) in accordance with this Section
(the amount of any such increase, the “Increased Revolving Commitment” or
“Increased Term Loan”, as applicable). The aggregate amount of all increases
shall not exceed $500,000,000 (it being acknowledged and agreed that such amount
is in addition to any increase made pursuant to this section as of or prior to
the First Amendment Effective Date). Any such request for an increase shall be
in a minimum amount of $5,000,000.”

 

(q) Section 6.02(a) of the Credit Agreement is hereby amended and restated to
read in its entirety as follows:

 

(a) concurrently with the delivery of the financial statements referred to in
Section 6.01(a), a certificate of its independent certified public accountants
certifying such financial statements and stating that in making the examination
necessary therefor no knowledge was obtained of any Default under Article VII
hereof or, if any such Default shall exist, stating the nature and status of
such event;

 

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(r) Section 6.11 of the Credit Agreement is hereby amended by adding the
following sentence at the end thereof: “Proceeds of the Term B Loans shall be
used solely to refinance and replace the Term Loans.”

 

(s) Section 6.14 of the Credit Agreement is hereby amended and restated to read
in its entirety as follows:

 

6.14 Significant Subsidiaries. Promptly upon the determination that any
Subsidiary other than Omaha Partners has become a Significant Subsidiary, the
Borrower shall cause such Significant Subsidiary to execute and deliver to the
Administrative Agent for the benefit of the Lenders (i) an amendment to the
Guaranty, if such Subsidiary is not already a party thereto, joining such
Subsidiary as a party thereto, (ii) legal opinions in form and substance
satisfactory to the Administrative Agent, and (iii) the documentation required
by clauses (xiii) and (xiv) of Section 4.01(a) hereof in respect of such
Subsidiary.

 

(t) There shall be added to the Credit Agreement a new Section 6.15 reading in
its entirety as follows:

 

6.15 Title Insurance. Until the Aggregate Commitments shall have permanently
been reduced below the Minimum Title Insurance Amount, the Borrower shall
maintain Title Policies with aggregate coverage in an amount equal to the
Minimum Title Insurance Amount. It is understood and agreed that no incremental
title insurance shall be required with respect to the increase of the Aggregate
Revolving Commitments from $1,100,000,000 to $1,350,000,000 pursuant to the
First Amendment or with respect to any subsequent increase of the Aggregate
Revolving Commitments pursuant to Section 2.14. It is further agreed that if the
aggregate amount of title insurance coverage shall fall below the Minimum Title
Insurance Amount (or if the Aggregate Commitments shall have permanently been
reduced below such amount, such lesser amount) as a result of repayment of the
Term B Loans, additional title insurance shall be required to bring the
aggregate coverage back to the Minimum Title Insurance Amount (or such lesser
amount).

 

(u) Section 7.02(i) of the Credit Agreement is hereby amended by deleting the
figure “$250,000,000” in clause (i) thereof and replacing it with the figure
“$400,000,000.”

 

(v) Section 7.06(d) of the Credit Agreement is hereby amended by deleting the
figure “$35,000,000” in clause (i) thereof and replacing it with the figure
“$60,000,000.”

 

(w) A new proviso shall be added to the end of clause (a) of Section 7.09 of the
Credit Agreement reading in its entirety as follows:

 

“and provided, further, that the foregoing clause (a) shall not apply to any
non-recourse Indebtedness permitted under Section 7.03(d) of any Subsidiary
formed or acquired after June 1, 2005 which is not a Significant Subsidiary so
long as any negative pledge in favor of the

 

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holder of any such Indebtedness relates solely to the property financed by or
the subject of such Indebtedness and so long as no assets having a value of more
than $1,000,000 or a value over $10,000,000 in the aggregate of the Borrower and
the Guarantors are transferred to any such Subsidiary during the term of this
Agreement;”

 

(x) Section 7.10 of the Credit Agreement is hereby amended and restated in its
entirety to read as follows:

 

7.10 [Intentionally omitted].

 

(y) Section 7.11(b) of the Credit Agreement is hereby amended and restated in
its entirety to read as follows:

 

(b) Senior Leverage Ratio. Permit the Senior Leverage Ratio on the last day of
any period of four fiscal quarters of the Borrower set forth below to be greater
than the ratio set forth below opposite such period:

 

Four Fiscal Quarters Ending

--------------------------------------------------------------------------------

   Maximum Senior
Leverage Ratio

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June 30, 2005 through June 30, 2007

   3.50 to 1.00

September 30, 2007 and December 31, 2007

   3.25 to 1.00

March 31, 2008 and each fiscal quarter thereafter

   3.00 to 1.00

 

(z) Section 7.11(c) of the Credit Agreement is hereby amended and restated in
its entirety to read as follows:

 

(c) Total Leverage Ratio. Permit the Total Leverage Ratio on the last day of any
period of four fiscal quarters of the Borrower set forth below to be greater
than the ratio set forth below opposite such period:

 

Four Fiscal Quarters Ending

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   Maximum Total
Leverage Ratio

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June 30, 2005 through March 31, 2009

   5.00 to 1.00

June 30, 2009 and each fiscal quarter thereafter

   4.50 to 1.00

 

(aa) Section 7.12 of the Credit Agreement is hereby amended and restated in its
entirety to read as follows:

 

7.12 [Intentionally omitted.]

 

(bb) Exhibit C-1 of the Credit Agreement is hereby amended and restated in its
entirety in the form of new Exhibit C-1 attached hereto.

 

(cc) Schedule 2.01 to the Credit Agreement is hereby amended and restated in its
entirety in the form of new Schedule 2.01 attached hereto.

 

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3. Representations and Warranties. The Borrower represents and warrants to the
Administrative Agent and the Lenders that, on and as of the date hereof, and
after giving effect to this First Amendment:

 

3.1 Authorization. The execution, delivery and performance by the Borrower of
this First Amendment has been duly authorized by all necessary action, and this
First Amendment has been duly executed and delivered by the Borrower.

 

3.2 Binding Obligation. This First Amendment constitutes the legal, valid and
binding obligation of the Borrower, enforceable against it in accordance with
its terms, except as enforceability may be limited by applicable bankruptcy,
insolvency, reorganization or similar laws affecting creditors’ rights generally
and by principles of equity.

 

3.3 No Legal Obstacle to Amendment. The execution, delivery and performance of
this First Amendment will not (a) contravene the Organizational Documents of the
Borrower; (b) contravene any contractual restriction binding on or affecting the
Borrower or its property which contravention would have a Material Adverse
Effect; (c) contravene any court decree, order or Legal Requirement binding on
or affecting the Borrower; or (d) result in, or require the creation or
imposition of, any Lien on any of the Borrower’s properties. Except as have been
obtained prior to the date hereof and subject to Section 2(p) hereof, no
authorization or approval of any governmental authority is required to permit
the execution, delivery or performance by the Borrower of this First Amendment,
or the transactions contemplated hereby.

 

3.4 Incorporation of Certain Representations. After giving effect to the terms
of this First Amendment, the representations and warranties of the Borrower set
forth in Article V of the Credit Agreement are true and correct in all respects
on and as of the date hereof as though made on and as of the date hereof, except
as to such representations made as of an earlier specified date.

 

3.5 Default. No Default or Event of Default under the Credit Agreement has
occurred and is continuing.

 

4. Conditions, Effectiveness.

 

4.1 Conditions. This First Amendment shall become effective as of the date fist
written above (the “First Amendment Effective Date”) upon satisfaction of each
of the following conditions:

 

(a) The Administrative Agent shall have received a Consent of Lender in the form
of Exhibit B executed by each of the Revolving Lenders.

 

(b) The Administrative Agent shall have received an affirmation letter
substantially in the form of Exhibit A from each of the Guarantors.

 

(c) The Administrative Agent shall have received a fee on behalf of each
Revolving Lender (including the Administrative Agent) who has returned an
executed Consent of Lender in the form of Exhibit B to the Administrative Agent
or its counsel, Mayer, Brown, Rowe & Maw LLP, by 5:00 p.m., Los Angeles time, on
June 15, 2005, which fee shall be in an

 

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amount equal to 0.05% of such Revolving Lender’s aggregate Revolving Commitment
under the Credit Agreement (without giving effect to the $250,000,000 increase
of the Aggregate Revolving Commitments pursuant to this First Amendment).

 

(d) The Administrative Agent shall have received a fee on behalf of each
Revolving Lender (including the Administrative Agent) who has increased its
Revolving Commitment in an amount equal to 0.125% of such incremental amount.

 

(e) The Administrative Agent shall have received new Revolving Notes from the
Borrower in favor of each Revolving Lender that has increased its Revolving
Commitment or assumed a new Revolving Commitment and requested a new Revolving
Note.

 

(f) To the extent determined necessary by the Administrative Agent, the
Administrative Agent shall have received executed counterparts of amendments to
the Deeds of Trust reflecting the terms of this First Amendment.

 

(g) The Administrative Agent shall have received payment of all fees and
expenses payable to it and its counsel in connection with this First Amendment.

 

4.2 Term B Loans. Notwithstanding the provisions in Section 4.1 of this First
Amendment, the portions of this First Amendment relating to the refinancing and
replacement of the Term Loans with the Term B Loans shall become effective as of
the date (the “Term B Facility Effective Date”) when, and only when, each of the
following conditions set forth in this Section 4.2 shall have been satisfied to
the satisfaction of the Administrative Agent:

 

(a) The First Amendment Effective Date shall have occurred.

 

(b) The Administrative Agent shall have received a Consent of Lender from each
Original Term Loan Lender, or in lieu of one or more Original Term Loan Lenders,
one or more Additional Term B Lenders providing Additional Term B Commitments in
an amount sufficient to refinance all of the principal of the Original Term
Loans owed to such non-consenting Original Term Loan Lenders.

 

(c) Each Term B Lender shall have received, if requested, one or more Notes
payable to the order of such Lender duly executed by the Borrower in
substantially the form of Exhibit C-1 to the Credit Agreement, as modified by
this First Amendment, evidencing the Term B Loans.

 

(d) Simultaneously with the making of the Term B Loans, the Borrower shall have
paid to all the Original Term Loan Lenders all accrued and unpaid interest on
the Term Loans to the Term B Facility Effective Date plus additional amounts, if
any, owing pursuant to Section 3.05 of the Credit Agreement.

 

(e) All documents executed or submitted pursuant hereto shall be satisfactory in
form and substance to the Administrative Agent and its counsel.

 

(f) No Default or Event of Default shall have occurred and be continuing, or
would occur as a result of the transactions contemplated by this First
Amendment.

 

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5. Miscellaneous.

 

5.1 Waiver of Compensation. In connection with the increase in the Aggregate
Revolving Commitments from $1,100,000,000 to $1,350,000,000, it will be
necessary for the Borrower to prepay certain Revolving Loans prior to the last
day of the Interest Period for such Loans. By its execution of a Consent of
Lender, each Revolving Lender and each Original Term Loan Lender that is
assuming a Term B Commitment hereby waives any right such Lender may now or
hereafter have for any loss, cost or expense incurred by such Revolving Lender
as a result of such prepayment, whether pursuant to Section 3.05 of the Credit
Agreement or otherwise.

 

5.2 Effectiveness of the Credit Agreement and the Notes. Except as hereby
expressly amended, the Credit Agreement and the Notes shall each remain in full
force and effect, and are hereby ratified and confirmed in all respects on and
as of the date hereof.

 

5.3 Waivers. This First Amendment is limited solely to the matters expressly set
forth herein and is specific in time and in intent and does not constitute, nor
should it be construed as, a waiver or amendment of any other term or condition,
right, power or privilege under the Credit Agreement or under any agreement,
contract, indenture, document or instrument mentioned therein; nor does it
preclude or prejudice any rights of the Administrative Agent or the Lenders
thereunder, or any exercise thereof or the exercise of any other right, power or
privilege, nor shall it require the Required Lenders to agree to an amendment,
waiver or consent for a similar transaction or on a future occasion, nor shall
any future waiver of any right, power, privilege or default hereunder, or under
any agreement, contract, indenture, document or instrument mentioned in the
Credit Agreement, constitute a waiver of any other right, power, privilege or
default of the same or of any other term or provision.

 

5.4 Counterparts. This First Amendment may be executed in any number of
counterparts, and all of such counterparts taken together shall be deemed to
constitute one and the same instrument.

 

5.5 Governing Law. This First Amendment shall be governed by and construed in
accordance with the laws of Nevada.

 

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IN WITNESS WHEREOF, the parties hereto have caused this First Amendment to be
duly executed and delivered as of the date first written above.

 

BOYD GAMING CORPORATION By:  

/s/ Paul J. Chakmak

Name:

 

Paul J. Chakmak

Title:

 

Senior Vice President–Finance and Treasurer

BANK OF AMERICA, N.A.,

as Administrative Agent

By:

  /s/ Chris M. Levine

Name: 

  Chris M. Levine

Title:

  Assistant Vice President

 

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EXHIBIT A

to First Amendment

to Credit Agreement

 

June 10, 2005

 

The Guarantors under the

hereinafter-described

Credit Agreement

 

  Re: Boyd Gaming Corporation

 

Gentlemen:

 

Please refer to (1) the Credit Agreement, dated as of May 20, 2004, as amended
(as so amended, the “Credit Agreement”), by and among BOYD GAMING CORPORATION, a
Nevada corporation (the “Borrower”), the various financial institutions parties
thereto (collectively, the “Lenders”), and BANK OF AMERICA, N.A. (“Bank of
America”), as administrative agent (in such capacity, the “Administrative
Agent”) for the Lenders and (2) the Guaranty dated May 20, 2004 from the
addressee in favor of the Lenders and the Administrative Agent (the “Guaranty”).
Pursuant to an amendment dated of even date herewith, a copy of which is
attached hereto, certain terms of the Credit Agreement were amended. We hereby
request that you (i) acknowledge and reaffirm all of your obligations and
undertakings under the Guaranty and (ii) acknowledge and agree that the Guaranty
is and shall remain in full force and effect in accordance with the terms
thereof.

 

Please indicate your agreement to the foregoing by signing in the space provided
below, and returning the executed copy to the undersigned.

 

BANK OF AMERICA, N.A.,

as Administrative Agent

By:    

Name: 

   

Title:

   

 

A-1

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Acknowledged and Agreed to

as of the date hereof:

MARE-BEAR, INC.,

a Nevada corporation

By:

   

Name:

 

Paul J. Chakmak

Title:

 

Senior Vice President and Treasurer

SAM-WILL, INC.,

a Nevada corporation

By:

   

Name:

 

Paul J. Chakmak

Title:

 

Senior Vice President and Treasurer

BOYD TUNICA, INC.,

a Mississippi corporation

By:

   

Name:

 

Paul J. Chakmak

Title:

 

Senior Vice President and Treasurer

CALIFORNIA HOTEL FINANCE CORPORATION, a Nevada corporation

By:

   

Name:

 

Paul J. Chakmak

Title:

 

Vice President and Treasurer

CALIFORNIA HOTEL AND

CASINO, a Nevada corporation

By:

   

Name:

 

Paul J. Chakmak

Title:

 

Senior Vice President and Treasurer

 

BOYD ATLANTIC CITY, INC.,

a New Jersey corporation

By:

   

Name:

 

Paul J. Chakmak

Title:

 

Vice President and Treasurer

 

A-2

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ELDORADO, INC.,
a Nevada corporation By:    

Name:

 

Paul J. Chakmak

Title:

 

Senior Vice President and Treasurer

PAR-A-DICE GAMING CORPORATION,
an Illinois corporation By:    

Name:

 

Paul J. Chakmak

Title:

 

Vice President and Treasurer

BOYD KENNER, INC.,
a Louisiana corporation By:    

Name:

 

Paul J. Chakmak

Title:

 

Senior Vice President and Treasurer

BOYD LOUISIANA L.L.C.,
a Nevada limited liability company By:    

Name:

 

Paul J. Chakmak

Title:

 

Authorized Signer

M.S.W., INC.,
a Nevada corporation By:    

Name:

 

Paul J. Chakmak

Title:

 

Senior Vice President and Treasurer

TREASURE CHEST CASINO, L.L.C.,
a Louisiana limited liability company By:    

Name:

 

Paul J. Chakmak

Title:

 

Authorized Signer

 

A-3

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BLUE CHIP CASINO, LLC,

an Indiana limited liability company

By:   BOYD GAMING CORPORATION, a
Nevada corporation, its sole member    

By:

       

Name:

 

Paul J. Chakmak

   

Title:

 

Senior Vice President-Finance and Treasurer

 

BOYD LOUISIANA RACING, INC.,

a Louisiana corporation

By:

   

Name:

 

Paul J. Chakmak

Title:

 

Senior Vice President and Treasurer

 

BOYD RACING, L.L.C.,

a Louisiana limited liability company

By:   

BOYD LOUISIANA RACING, INC.,

a Louisiana corporation, its sole member

   

By:

       

Name:

 

Paul J. Chakmak

   

Title:

 

Senior Vice President and Treasurer

 

BOYD SHREVEPORT, L.L.C.,
a Louisiana limited liability company By:    BOYD KENNER, INC., a Louisiana
corporation, its sole member    

By:

       

Name:

 

Paul J. Chakmak

   

Title:

 

Senior Vice President and Treasurer

 

BOYD RED RIVER, L.L.C.,

a Louisiana limited liability company

By:    BOYD GAMING CORPORATION, a
Nevada corporation, its sole member    

By:

       

Name:

 

Paul J. Chakmak

   

Title:

  Senior Vice President-Finance
and Treasurer

 

A-4

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RED RIVER ENTERTAINMENT OF SHREVEPORT

PARTNERSHIP IN COMMENDAM, a

Louisiana partnership in commendam

By:

 

BOYD SHREVEPORT, L.L.C.,

a Louisiana limited liability company, its general partner

   

By:

 

BOYD KENNER, INC., a Louisiana

corporation, its sole member

       

By:

           

Name:

 

Paul J. Chakmak

       

Title:

 

Senior Vice President and Treasurer

COAST CASINOS, INC., a Nevada corporation

By:

   

Name:

 

Paul J. Chakmak

Title:

 

Vice President and Assistant Treasurer

COAST HOTELS AND CASINOS, INC.,

a Nevada corporation

By:

   

Name:

 

Paul J. Chakmak

Title:

 

Vice President and Assistant Treasurer

 

A-5

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EXHIBIT B

to First Amendment

to Credit Agreement

 

CONSENT OF LENDER

 

Reference is hereby made to the Credit Agreement dated as of May 20, 2004 among
Boyd Gaming Corporation, the Lenders party thereto and Bank of America, N.A., as
Administrative Agent.

 

The undersigned Lender hereby consents to the execution and delivery of the
First Amendment to the Credit Agreement by the Administrative Agent on its
behalf, substantially in the form of the most recent draft thereof presented to
the undersigned Lender.

 

Dated:                     , 2005

 

 

[Name of Institution]

By:

   

Name:

   

Title:

   

 

B-1

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EXHIBIT C-1

to First Amendment

to Credit Agreement

 

FORM OF TERM B NOTE

 

June     , 2005

 

FOR VALUE RECEIVED, the undersigned (the “Borrower”) hereby promises to pay to
                                              or registered assigns (the
“Lender”), in accordance with the provisions of the Agreement (as hereinafter
defined), the principal amount of each Term Loan from time to time made by the
Lender to the Borrower under that certain Credit Agreement, dated as of May 20,
2004, as amended by that certain First Amendment to Credit Agreement dated as of
June 10, 2005 (as further amended, restated, extended, supplemented or otherwise
modified in writing from time to time, the “Agreement;” the terms defined
therein being used herein as therein defined), among the Borrower, the Lenders
from time to time party thereto, Bank of America, N.A., as Administrative Agent
and L/C Issuer, and Wells Fargo Bank, N.A., as Swing Line Lender.

 

The Borrower promises to pay interest on the unpaid principal amount of each
Term Loan from the date of such Term Loan until such principal amount is paid in
full, at such interest rates and at such times as provided in the Agreement. All
payments of principal and interest shall be made to the Administrative Agent for
the account of the Lender in Dollars in immediately available funds at the
Administrative Agent’s Office. If any amount is not paid in full when due
hereunder, such unpaid amount shall bear interest, to be paid upon demand, from
the due date thereof until the date of actual payment (and before as well as
after judgment) computed at the per annum rate set forth in the Agreement.

 

This Term B Note is one of the Term B Notes referred to in the Agreement, is
entitled to the benefits thereof and may be prepaid in whole or in part subject
to the terms and conditions provided therein. This Note is also entitled to the
benefits of the Guaranty and is secured by the Collateral. Upon the occurrence
and continuation of one or more of the Events of Default specified in the
Agreement, all amounts then remaining unpaid on this Term B Note may become, or
may be declared to be, immediately due and payable all as provided in the
Agreement. Term Loans made by the Lender shall be evidenced by one or more loan
accounts or records maintained by the Lender in the ordinary course of business.
The Lender may also attach schedules to this Term B Note and endorse thereon the
date, amount and maturity of its Term Loans and payments with respect thereto.

 

The Borrower, for itself, its successors and assigns, hereby waives diligence,
presentment, protest and demand and notice of protest, demand, dishonor and
non-payment of this Term B Note.

 

C-1-1

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THIS TERM B NOTE SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS
OF THE STATE OF NEVADA.

 

BOYD GAMING CORPORATION

By:

   

Name:

   

Title:

   

 

C-1-2

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TERM LOANS AND PAYMENTS WITH RESPECT THERETO

 

Date

--------------------------------------------------------------------------------

 

Type of Loan
Made

--------------------------------------------------------------------------------

 

Amount of
Loan Made

--------------------------------------------------------------------------------

 

End of

Interest Period

--------------------------------------------------------------------------------

 

Amount of
Principal or
Interest Paid

This Date

--------------------------------------------------------------------------------

 

Outstanding
Principal
Balance This

Date

--------------------------------------------------------------------------------

 

Notation

Made By

--------------------------------------------------------------------------------

___________   ___________   ___________   ___________   ___________  
___________   ___________ ___________   ___________   ___________   ___________
  ___________   ___________   ___________ ___________   ___________  
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___________ ___________   ___________   ___________   ___________   ___________
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___________   ___________   ___________   ___________ ___________   ___________
  ___________   ___________   ___________   ___________   ___________
___________   ___________   ___________   ___________   ___________  
___________   ___________ ___________   ___________   ___________   ___________
  ___________   ___________   ___________ ___________   ___________  
___________   ___________   ___________   ___________   ___________ ___________
  ___________   ___________   ___________   ___________   ___________  
___________ ___________   ___________   ___________   ___________   ___________
  ___________   ___________ ___________   ___________   ___________  
___________   ___________   ___________   ___________ ___________   ___________
  ___________   ___________   ___________   ___________   ___________
___________   ___________   ___________   ___________   ___________  
___________   ___________ ___________   ___________   ___________   ___________
  ___________   ___________   ___________ ___________   ___________  
___________   ___________   ___________   ___________   ___________ ___________
  ___________   ___________   ___________   ___________   ___________  
___________

 

C-1-3