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Exhibit 4.9    
  

REGISTRATION RIGHTS AGREEMENT  

 by and among  

 HERBST GAMING, INC.,  

 and  

 THE GUARANTORS SIGNATORIES HERETO  

 and  

 LEHMAN BROTHERS INC.  

 Dated as of February 7, 2003  

        This Registration Rights Agreement (this "Agreement") is made and entered into as of February 7, 2003, by and among Herbst
Gaming, Inc., a Nevada corporation (the "Company"), certain subsidiaries of the Company listed on the signature pages hereto (collectively, the
"Guarantors"), and Lehman Brothers Inc. (the "Initial Purchaser"), who has agreed to purchase the
Company's 103/4% Senior Secured Notes due 2008 (the "Series A Notes") pursuant to the Purchase Agreement (as defined below). 

        This
Agreement is made pursuant to the Purchase Agreement, dated January 24, 2003, (the "Purchase Agreement"), by and among the
Company, the Guarantors and the Initial Purchaser. In order to induce the Initial Purchaser to purchase the Series A Notes, the Company has agreed to provide the registration rights set forth
in this Agreement. The execution and delivery of this Agreement is a condition to the obligations of the Initial Purchaser as set forth in Section 9(m) of the Purchase Agreement. Capitalized
terms used herein and not otherwise defined shall have the meaning assigned to them in the Indenture, dated August 24, 2001, among the Company, the Guarantors and The Bank of New York, as
Trustee, as amended by the First Supplemental Indenture, dated as of August 23, 2002, the Second Supplemental Indenture, dated as of January 23, 2003 and the Third Supplemental
Indenture, dated as of February 6, 2003 (as amended, the "Indenture"), relating to the Series A Notes and the Series B Notes. 

        The
parties hereby agree as follows: 

SECTION 1. DEFINITIONS  

        As used in this Agreement, the following capitalized terms shall have the following meanings: 

        "Act" shall mean the Securities Act of 1933, as amended. 

        "Affiliate" shall have the meaning set forth in Rule 144 of the Act. 

        "Agreement" shall have the meaning set forth in the preamble hereof. 

        "Broker-Dealer" shall mean any broker or dealer registered under the Exchange Act. 

        "Business Day" shall mean any day except a Saturday, Sunday or other day in the City of New York, or in the city of the corporate trust
office of the Trustee, on which banks are authorized to close. 

        "Certificated Securities" shall mean the Definitive Notes, as defined in the Indenture. 

        "Closing Date" shall mean the date hereof. 

        "Commission" shall mean the Securities and Exchange Commission. 

        "Company" shall have the meaning set forth in the preamble hereof. 

        "Consummate" shall mean the occurrence of (a) the filing and effectiveness under the Act of the Exchange Offer Registration
Statement relating to the Series B Notes to be issued in the Exchange Offer, (b) the maintenance of such Exchange Offer Registration Statement continuously effective and the keeping of
the Exchange Offer open for a period not less than the period required pursuant to Section 3(b) hereof and (c) the delivery by the Company to the Registrar under the Indenture of
Series B Notes in the same aggregate principal amount as the aggregate principal amount of Series A Notes tendered by Holders thereof pursuant to the Exchange Offer. 

        "Consummation Deadline" shall have the meaning set forth in Section 3(a) hereof. 

        "Effectiveness Deadline" shall have the meaning set forth in Sections 3(a) and 4(a) hereof. 

        "Exchange Act" shall mean the Securities Exchange Act of 1934, as amended. 

        "Exchange Offer" shall mean the exchange and issuance by the Company of a principal amount of Series B Notes (which shall be
registered pursuant to the Exchange Offer Registration Statement) equal to the outstanding principal amount of Series A Notes that are tendered by such Holders in connection with such exchange
and issuance. 

 

        "Exchange Offer Registration Statement" shall mean the Registration Statement relating to the Exchange Offer, including the related
Prospectus. 

        "Exempt Resales" shall mean the transactions in which the Initial Purchaser proposes to sell the Series A Notes to certain
"qualified institutional buyers," as such term is defined in Rule 144A under the Act and to certain non U.S. persons, as such term is defined in Rule 902 under the Act, in offshore
transactions in reliance upon Regulation S under the Act. 

        "Filing Deadline" shall have the meaning set forth in Sections 3(a) and 4(a) hereof. 

        "Guarantors" shall have the meaning set forth in the preamble hereof. 

        "Holders" shall have the meaning set forth in Section 2 hereof. 

        "indemnified party" shall have the meaning set forth in Section 8(c) hereof. 

        "indemnifying party" shall have the meaning set forth in Section 8(c) hereof. 

        "Indenture" shall have the meaning set forth in the preamble hereof. 

        "Initial Purchaser" shall have the meaning set forth in the preamble hereof. 

        "Notes" shall mean the Series A Notes and the Series B Notes. 

        "Prospectus" shall mean the prospectus included in a Registration Statement at the time such Registration Statement is declared effective,
as amended or supplemented by any prospectus supplement and by all other amendments thereto, including post-effective amendments, and all material incorporated by reference into such
Prospectus. 

        "Purchase Agreement" shall have the meaning set forth in the preamble hereof. 

        "Recommencement Date" shall have the meaning set forth in Section 6(d) hereof. 

        "Registration Default" shall have the meaning set forth in Section 5 hereof. 

        "Registration Statement" shall mean any registration statement of the Company and the Guarantors relating to (a) an offering of
Series B Notes pursuant to an Exchange Offer or (b) the registration for resale of Transfer Restricted Securities pursuant to the Shelf Registration Statement, in each case,
(i) that is filed pursuant to the provisions of this Agreement and (ii) including the Prospectus included therein, all amendments and supplements thereto (including
post-effective amendments) and all exhibits and material incorporated by reference therein. 

        "Regulation S" shall mean Regulation S promulgated under the Act. 

        "Rule 144" shall mean Rule 144 promulgated under the Act. 

        "Series A Notes" shall have the meaning set forth in the preamble hereof. 

        "Series B Notes" shall mean the Company's 103/4% Series B Senior Secured Notes due 2008 to be issued pursuant
to the Indenture (a) in the Exchange Offer or (b) as contemplated by Section 4 hereof. 

        "Shelf Registration Statement" shall have the meaning set forth in Section 4 hereof. 

        "Suspension Notice" shall have the meaning set forth in Section 6(d) hereof. 

        "TIA" shall mean the Trust Indenture Act of 1939 (15 U.S.C. Section 77aaa-77bbbb) as in effect on the date of the
Indenture. 

        "Transfer Restricted Securities" shall mean each (a) Series A Note, until the earliest to occur of (i) the date on
which such Series A Note is exchanged in the Exchange Offer for a Series B Note which is entitled to be resold to the public by the Holder thereof without complying with the prospectus
delivery requirements of the Act, (ii) the date on which such Series A Note has been 

2

 

disposed of in accordance with a Shelf Registration Statement (and the purchasers thereof have been issued Series B Notes), or (iii) the date on which such Series A Note is
distributed to the public pursuant to Rule 144 under the Act and each (b) Series B Note held by a Broker-Dealer until the date on which such Series B Note is disposed of by
a Broker-Dealer pursuant to the "Plan of Distribution" contemplated by the Exchange Offer Registration Statement (including the delivery of the Prospectus contained therein). 

SECTION 2. HOLDERS  

        A Person is deemed to be a holder of Transfer Restricted Securities (each, a "Holder") whenever such Person owns
Transfer Restricted Securities. 

SECTION 3. REGISTERED EXCHANGE OFFER  

        (a)  Unless
the Exchange Offer shall not be permitted by applicable federal law (after the procedures set forth in Section 6(a)(iii)(A) hereof have been complied
with), the Company and the Guarantors shall (i) cause the Exchange Offer Registration Statement to be filed with the Commission as soon as practicable after the Closing Date, but in no event
later than 45 days after the Closing Date (such 45th day being the "Filing Deadline"), (ii) use their respective best efforts to cause
such Exchange Offer Registration Statement to become effective at the earliest possible time, but in no event later than 120 days after the Closing Date (such 120th day being the
"Effectiveness Deadline"), (iii) in connection with the foregoing, (A) file all pre-effective amendments to such Exchange
Offer Registration Statement as may be necessary in order to cause it to become effective, (B) file, if applicable, a post-effective amendment to such Exchange Offer Registration
Statement pursuant to Rule 430A under the Act and (C) cause all necessary filings, if any, in connection with the registration and qualification of the Series B Notes to be made
under the Blue Sky laws of such jurisdictions as are necessary to permit Consummation of the Exchange Offer, and (iv) commence and Consummate the Exchange Offer as soon as practicable after the
Registration Statement has become effective, but in no event later than 150 days after the Closing Date (such 150th day being the "Consummation
Deadline"). The Exchange Offer shall be on the appropriate form permitting (x) registration of the Series B Notes to be offered in
exchange for the Series A Notes that are Transfer Restricted Securities and (y) resales of Series B Notes by Broker-Dealers that tendered into the Exchange Offer Series A
Notes that such Broker-Dealer acquired for its own account as a result of market-making activities or other trading activities (other than Series A Notes acquired directly from the Company or
any of its Affiliates) as contemplated by Section 3(c) hereof. 

        (b)  The
Company and the Guarantors shall use their respective best efforts to cause the Exchange Offer Registration Statement to be effective continuously, and shall keep
the Exchange Offer open for a period of not less than the minimum period required under applicable federal and state securities laws to Consummate the Exchange Offer; provided,
however, that in no event shall such period be less than 20 Business Days. The Company and the Guarantors shall cause the Exchange Offer to comply with all applicable federal
and state securities laws. No securities other than the Series B Notes shall be included in the Exchange Offer Registration Statement. 

        (c)  The
Company shall include a "Plan of Distribution" section in the Prospectus contained in the Exchange Offer Registration Statement and indicate therein that any
Broker-Dealer who holds Transfer Restricted Securities that were acquired for the account of such Broker-Dealer as a result of market-making activities or other trading activities (other than
Series A Notes acquired directly from the Company or any Affiliate of the Company), may exchange such Transfer Restricted Securities pursuant to the Exchange Offer. Such "Plan of Distribution"
section shall also contain all other information with respect to such sales by such Broker-Dealers that the Commission may require in order to permit such sales pursuant thereto, but such "Plan of
Distribution" shall not name any such Broker-Dealer or disclose the amount of Transfer Restricted Securities held by any such Broker-Dealer, except to the 

3

 

extent required by the Commission as a result of a change in policy, rules or regulations after the date of this Agreement. 

        Because
such Broker-Dealer may be deemed to be an "underwriter" within the meaning of the Act and must, therefore, deliver a Prospectus meeting the requirements of the Act in connection
with its initial sale of any Series B Notes received by such Broker-Dealer in the Exchange Offer, the Company and the Guarantors shall permit the use of the Prospectus contained in the Exchange
Offer Registration Statement by such Broker-Dealer to satisfy such prospectus delivery requirement. To the extent necessary to ensure that the Prospectus contained in the Exchange Offer Registration
Statement is available for sales of Series B Notes by Broker-Dealers, the Company and the Guarantors agree to use their respective best efforts to keep the Exchange Offer Registration Statement
continuously effective, supplemented, amended and current as required by and subject to the provisions of Section 6(a) and (c) hereof and in conformity with the requirements of this
Agreement, the Act and the policies, rules and regulations of the Commission as announced from time to time, for a period of one year from the Consummation Deadline or such shorter period as will
terminate when all Transfer Restricted Securities covered by such Registration Statement have been sold pursuant thereto. The Company and the Guarantors shall provide sufficient copies of the latest
version of such Prospectus to such Broker-Dealers, promptly upon request, and in no event later than one day after such request, at any time during such period. 

SECTION 4. SHELF REGISTRATION  

        (a)  Shelf Registration. If (i) the Exchange Offer is not permitted by applicable law (after the Company and the
Guarantors have complied with the procedures set forth in Section 6(a)(iii)(A) hereof) or (ii) any Holder of Transfer Restricted Securities shall notify the Company within 20 Business
Days following the Consummation Deadline that (A) such Holder was prohibited by law or Commission policy from participating in the Exchange Offer or (B) such Holder may not resell the
Series B Notes acquired by it in the Exchange Offer to the public without delivering a prospectus and the Prospectus contained in the Exchange Offer Registration Statement is not appropriate or
available for such resales by such Holder or (C) such Holder is a Broker-Dealer and holds Series A Notes acquired directly from the Company or any of its Affiliates, then the Company and
the Guarantors shall: 

        (x)  cause
to be filed, on or prior to 30 days after the earlier of (i) the date on which the Company determines that the Exchange Offer Registration Statement
cannot be filed as a result of clause (a)(i) of this Section 4 and (ii) the date on which the Company receives the notice specified in clause (a)(ii) of this
Section 4, (such earlier date, the "Filing Deadline"), a shelf registration statement pursuant to Rule 415 under the Act (which may be an
amendment to the Exchange Offer Registration Statement (the "Shelf Registration Statement")), relating to all Transfer Restricted Securities, and 

        (y)  shall
use their respective best efforts to cause such Shelf Registration Statement to become effective on or prior to 90 days after the Filing Deadline for the
Shelf Registration Statement (such 90th day the "Effectiveness Deadline"). 

        If,
after the Company has filed an Exchange Offer Registration Statement that satisfies the requirements of Section 3(a) hereof, the Company is required to file and make effective
a Shelf Registration Statement solely because the Exchange Offer is not permitted under applicable federal law (i.e., clause (a)(i) of this Section 4), then the filing of the
Exchange Offer Registration Statement shall be deemed to satisfy the requirements of clause (x) of this Section 4(a); provided, that in
such event, the Company shall remain obligated to meet the Effectiveness Deadline set forth in clause (y) of this Section 4(a). 

4

 

        To
the extent necessary to ensure that the Shelf Registration Statement is available for sales of Transfer Restricted Securities by the Holders thereof entitled to the benefit of this
Section 4(a) and the other securities required to be registered therein pursuant to Section 6(b)(ii) hereof, the Company and the Guarantors shall use their respective best efforts
to keep any Shelf Registration Statement required by this Section 4(a) continuously effective, supplemented, amended and current as required by and subject to the provisions of Sections 6(b)
and (c) hereof and in conformity with the requirements of this
Agreement, the Act and the policies, rules and regulations of the Commission as announced from time to time, for a period of at least two years (as extended pursuant to
Section 6(c)(i) hereof) following the Closing Date, or such shorter period as will terminate when all Transfer Restricted Securities covered by such Shelf Registration Statement have
been sold pursuant thereto. 

        (b)  Provision by Holders of Certain Information in Connection with the Shelf Registration Statement. No Holder of Transfer
Restricted Securities may include any of its Transfer Restricted Securities in any Shelf Registration Statement pursuant to this Agreement unless and until such Holder furnishes to the Company in
writing, within 20 days after receipt of a request therefor, the information specified in Item 507 or 508 of Regulation S-K, as applicable, of the Act for use in connection
with any Shelf Registration Statement or Prospectus or preliminary Prospectus included therein. No Holder of Transfer Restricted Securities shall be entitled to liquidated damages pursuant to
Section 5 hereof unless and until such Holder shall have provided all such information. Each selling Holder agrees to promptly furnish additional information required to be disclosed in order
to make the information previously furnished to the Company by such Holder not materially misleading. 

SECTION 5. LIQUIDATED DAMAGES  

        If (a) any Registration Statement required by this Agreement is not filed with the Commission on or prior to the applicable Filing Deadline, (b) any
such Registration Statement has not been declared effective by the Commission on or prior to the applicable Effectiveness Deadline, (c) the Exchange Offer has not been Consummated on or prior
to the Consummation Deadline or (d) any Registration Statement required by this Agreement is filed and declared effective but thereafter ceases to be effective or fails to be usable for its
intended purpose without being succeeded immediately by a post-effective amendment to such Registration Statement that cures such failure and that is itself declared effective immediately
(each such event referred to in clauses (a) through (d) of this Section 5, a "Registration Default"), then the Company and the
Guarantors hereby jointly and severally agree to pay to each Holder of Transfer Restricted Securities affected thereby liquidated damages in an amount equal $.05 per $1,000 principal amount of
Transfer Restricted Securities held by such Holder for each week or portion thereof that the Registration Default continues for the first 90-day period immediately following the occurrence
of such Registration Default. The amount of the liquidated damages shall increase by an additional $.05 per $1,000 principal amount of Transfer Restricted Securities held by such Holder for each week
or portion thereof with respect to each subsequent 90-day period until all Registration Defaults have been cured, up to a maximum amount of liquidated damages of $.50 per $1,000 principal
amount of Transfer Restricted Securities held by such Holder for each week or portion thereof; provided, that the Company and the Guarantors shall in no
event be required to pay liquidated damages for more than one Registration Default at any given time. Notwithstanding anything to the contrary set forth herein, (i) upon filing of the Exchange
Offer Registration Statement (and/or, if applicable, the Shelf Registration Statement), in the case of clause (a) of this Section 5, (ii) upon the effectiveness of the Exchange
Offer Registration Statement (and/or, if applicable, the Shelf Registration Statement), in the case of clause (b) of this Section 5, (iii) upon Consummation of the Exchange Offer,
in the case of clause (c) of this Section 5, or (iv) upon the filing of a post-effective amendment to the Registration Statement or an additional Registration
Statement that causes the Exchange Offer Registration Statement (and/or, if applicable, the Shelf Registration Statement) to again be declared effective or made usable in the case of clause (d)
of this Section 5, the liquidated damages payable with 

5

 

respect to the Transfer Restricted Securities as a result of such clauses (a), (b), (c) or (d) of this Section 5, as applicable, shall cease. 

        All
accrued liquidated damages shall be paid to the Holders entitled thereto, in the manner provided for the payment of interest in the Indenture, on each Interest Payment Date (as
defined in the Notes), as more fully set forth in the Indenture and the Notes. Notwithstanding the fact that any securities for which liquidated damages are due cease to be Transfer Restricted
Securities, all obligations of the Company and the Guarantors to pay liquidated damages with respect to securities shall survive until such time as such obligations with respect to such securities
shall have been satisfied in full. 

SECTION 6. REGISTRATION PROCEDURES  

        (a)  Exchange Offer Registration Statement. In connection with the Exchange Offer, the Company and the Guarantors shall
(i) comply with all applicable provisions of Section 6(c) hereof, (ii) use their respective best efforts to effect such exchange and to permit the resale of Series B Notes
by Broker-Dealers that tendered in the Exchange Offer Series A Notes that such Broker-Dealer acquired for its own account as a result of its market-making activities or other trading activities
(other than Series A Notes acquired directly from the Company or any of its Affiliates) being sold in accordance with the intended method or methods of distribution thereof, and
(iii) comply with all of the following provisions: 

        (A)  If,
following the date hereof there has been announced a change in Commission policy with respect to exchange offers such as the Exchange Offer, that in the reasonable
opinion of counsel to the Company raises a substantial question as to whether the Exchange Offer is permitted by applicable federal law, the Company and the Guarantors hereby agree to seek a
no-action letter or other favorable decision from the Commission allowing the Company and the Guarantors to Consummate an Exchange Offer for such Transfer Restricted Securities. The
Company and the Guarantors hereby agree to pursue the issuance of such a decision to the Commission staff level. In connection with the foregoing, the Company and the Guarantors hereby agree to take
all such other actions as may be requested by the Commission or otherwise required in connection with the issuance of such decision, including without limitation (1) participating in telephonic
conferences with the Commission, (2) delivering to the Commission staff an analysis prepared by counsel to the Company setting forth the legal bases, if any, upon which such counsel has
concluded that such an Exchange Offer should be permitted and (3) diligently pursuing a resolution (which need not be favorable) by the Commission staff. 

        (B)  As
a condition to its participation in the Exchange Offer, each Holder of Transfer Restricted Securities (including, without limitation, any Holder who is a
Broker-Dealer) shall furnish, upon the request of the Company, prior to the Consummation of the Exchange Offer, a written representation to the Company and the Guarantors (which may be contained in
the letter of transmittal contemplated by the Exchange Offer Registration Statement) to the effect that (1) it is not an Affiliate of the Company, (2) it is not engaged in, and does not
intend to engage in, and has no arrangement or understanding with any person to participate in, a distribution of the Series B Notes to be issued in the Exchange
Offer and (3) it is acquiring the Series B Notes in its ordinary course of business. As a condition to its participation in the Exchange Offer each Holder using the Exchange Offer to
participate in a distribution of the Series B Notes shall acknowledge and agree that, if the resales are of Series B Notes obtained by such Holder in exchange for Series A Notes
acquired directly from the Company or an Affiliate thereof, it (x) could not, under Commission policy as in effect on the date of this Agreement, rely on the position of the Commission
enunciated in Morgan Stanley and Co., Inc. (available June 5, 1991) and Exxon Capital Holdings
Corporation (available May 13, 1988), as interpreted in the Commission's letter to Shearman & Sterling dated
July 2, 1993, and similar no-action letters (including, if applicable, any 

6

 

no-action letter obtained pursuant to clause (a)(iii)(A) of this Section 6), and (y) must comply with the registration and prospectus delivery requirements of the Act
in connection with a secondary resale transaction and that such a secondary resale transaction must be covered by an effective registration statement containing the selling security holder information
required by Item 507 or 508, as applicable, of Regulation S-K. 

        (C)  Prior
to effectiveness of the Exchange Offer Registration Statement, the Company and the Guarantors shall provide a supplemental letter to the Commission
(1) stating that the Company and the Guarantors are registering the Exchange Offer in reliance on the position of the Commission enunciated in Exxon Capital Holdings
Corporation (available May 13, 1988), Morgan Stanley and Co., Inc. (available June 5, 1991) as interpreted
in the Commission's letter to Shearman & Sterling dated July 2, 1993, and, if applicable, any no-action letter obtained
pursuant to clause (a)(iii)(A) of this Section 6, (2) including a representation that neither the Company nor any Guarantor has entered into any arrangement or understanding with
any Person to distribute the Series B Notes to be received in the Exchange Offer and that, to the best of the Company's and each Guarantor's information and belief, each Holder participating in
the Exchange Offer is acquiring the Series B Notes in its ordinary course of business and has no arrangement or understanding with any Person to participate in the distribution of the
Series B Notes received in the Exchange Offer and (3) any other undertaking or representation required by the Commission as set forth in any no-action letter obtained
pursuant to clause (a)(iii)(A) of this Section 6, if applicable. 

        (b)  Shelf Registration Statement. In connection with the Shelf Registration Statement, the Company and the Guarantors shall: 

        (i)    comply
with all the provisions of Section 6(c) hereof and use their respective best efforts to effect such registration to permit the sale of the Transfer
Restricted Securities being sold in accordance with the intended method or methods of distribution thereof (as indicated in the information furnished to the Company pursuant to Section 4(b)
hereof), and pursuant thereto the Company and the Guarantors shall prepare and file with the Commission a Registration Statement relating to the registration on any appropriate form under the Act,
which form shall be available for the sale of the Transfer Restricted Securities in accordance with the intended method or methods of distribution thereof within the time periods and otherwise in
accordance with the provisions hereof, and 

        (ii)  issue,
upon the request of any Holder or purchaser of Series A Notes covered by any Shelf Registration Statement contemplated by this Agreement, Series B
Notes having an aggregate principal amount equal to the aggregate principal amount of Series A Notes sold pursuant to the Shelf Registration Statement and surrendered to the Company for
cancellation; the Company shall register Series B Notes on the Shelf Registration Statement for this purpose and issue the Series B Notes to the purchaser(s) of securities subject to the
Shelf Registration Statement in the names as such purchaser(s) shall designate. 

        (c)  General Provisions. In connection with any Registration Statement and any related Prospectus required by this Agreement,
the Company and the Guarantors shall: 

        (i)    use
their respective best efforts to keep such Registration Statement continuously effective and provide all requisite financial statements for the period specified in
Sections 3 or 4 of this Agreement, as applicable. Upon the occurrence of any event that would cause any such Registration Statement or the Prospectus contained therein (A) to contain an untrue
statement of material fact or omit to state any material fact necessary to make the statements therein not misleading or (B) not to be effective and usable for resale of Transfer Restricted
Securities during the period required by this Agreement, the Company and the Guarantors shall file promptly an appropriate amendment to such Registration Statement curing such defect, and, if
Commission 

7

 

review is required, use their respective best efforts to cause such amendment to be declared effective as soon as practicable; 

        (ii)  prepare
and file with the Commission such amendments and post-effective amendments to the applicable Registration Statement as may be necessary to keep such
Registration Statement effective for the applicable period set forth in Sections 3 or 4 hereof, as the case may be; cause the Prospectus to be supplemented by any required Prospectus supplement, and
as so supplemented to be filed pursuant to Rule 424 under the Act, and to comply fully with Rules 424, 430A and 462, as applicable, under the Act in a timely manner; and comply with the
provisions of the Act with respect to the disposition of all securities covered by such Registration Statement during the applicable period in accordance with the intended method or methods of
distribution by the sellers thereof set forth in such Registration Statement or supplement to the Prospectus; 

        (iii)    advise
each Holder promptly and, if requested by such Holder, confirm such advice in writing, (A) when the Prospectus or any Prospectus supplement or
post-effective amendment has been filed, and, with respect to any applicable Registration Statement or any post-effective amendment thereto, when the same has become effective,
(B) of any request by the Commission for amendments to the Registration Statement or amendments or supplements to the Prospectus or for additional information relating thereto, (C) of
the issuance by the Commission of any stop order suspending the effectiveness of the Registration Statement under the Act or of the suspension by any state securities commission of the qualification
of the Transfer Restricted Securities for offering or sale in any jurisdiction, or the initiation of any proceeding for any of the preceding purposes, (D) of the existence of any fact or the
happening of any event that makes any statement of a material fact made in the Registration Statement, the Prospectus, any amendment or supplement thereto or any document incorporated by
reference therein untrue, or that requires the making of any additions to or changes in the Registration Statement in order to make the statements therein not misleading, or that requires the making
of any additions to or changes in the Prospectus in order to make the statements therein, in the light of the circumstances under which they were made, not misleading. If at any time the Commission
shall issue any stop order suspending the effectiveness of the Registration Statement, or any state securities commission or other regulatory authority shall issue an order suspending the
qualification or exemption from qualification of the Transfer Restricted Securities under state securities or Blue Sky laws, the Company and the Guarantors shall use their respective best efforts to
obtain the withdrawal or lifting of such order at the earliest possible time; 

        (iv)    subject
to Section 6(c)(i) hereof, if any fact or event contemplated by Section 6(c)(iii)(D) hereof shall exist or have occurred, prepare a
supplement or post-effective amendment to the Registration Statement or related Prospectus or any document incorporated therein by reference or file any other required document so that, as
thereafter delivered to the purchasers of Transfer Restricted Securities, the Prospectus shall not contain an untrue statement of a material fact or omit to state any material fact necessary to make
the statements therein, in the light of the circumstances under which they were made, not misleading; 

        (v)    furnish
to each Holder in connection with such exchange or sale, if any, before filing with the Commission, copies of any Registration Statement or any Prospectus
included therein or any amendments or supplements to any such Registration Statement or Prospectus (including all documents incorporated by reference after the initial filing of such Registration
Statement), which documents shall be subject to the review and comment of such Holders in connection with such sale, if any, for a period of at least five Business Days, and the Company shall not file
any such Registration Statement or Prospectus or any amendment or supplement to any such Registration Statement or Prospectus (including all such documents incorporated by reference) to which such
Holders shall reasonably object within five Business Days after the receipt thereof. A Holder shall be deemed to have reasonably objected to such filing if such Registration Statement, amendment, 

8

 

Prospectus or supplement, as applicable, as proposed to be filed, contains an untrue statement of a material fact or omits to state any material fact necessary to make the statements therein not
misleading or fails to comply with the applicable requirements of the Act; 

        (vi)    promptly
prior to the filing of any document that is to be incorporated by reference into a Registration Statement or Prospectus, provide copies of such document to the
Initial Purchaser and each Holder in connection with such exchange or sale, if any, make the Company's and each Guarantor's representatives available for discussion of such document and other
customary due diligence matters, and include such information in such document prior to the filing thereof as such Holders may reasonably request; 

        (vii)    make
available, at reasonable times, for inspection by each Holder and any attorney or accountant retained by such Holders, all financial and other records, pertinent
corporate documents of the Company and the Guarantors (other than portions of agreements and other documents that we are granted confidential treatment by the Commission) and cause the Company's and
each Guarantor's
officers, directors and employees to supply all information reasonably requested by any such Holder, attorney or accountant in connection with such Registration Statement or any
post-effective amendment thereto subsequent to the filing thereof and prior to its effectiveness; 

        (viii)    if
requested by any Holders in connection with such exchange or sale, promptly include in any Registration Statement or Prospectus, pursuant to a supplement or
post-effective amendment if necessary, such information as such Holders may reasonably request to have included therein, including, without limitation, information relating to the "Plan of
Distribution" of the Transfer Restricted Securities; and make all required filings of such Prospectus supplement or post-effective amendment as soon as practicable after the Company is
notified of the matters to be included in such Prospectus supplement or post-effective amendment; 

        (ix)    furnish
to each Holder in connection with such exchange or sale without charge, at least one copy of the Registration Statement, as first filed with the Commission, and
of each amendment thereto, including all documents incorporated by reference therein and all exhibits, including exhibits incorporated therein by reference, (other than portions of agreements and
other documents that we are granted confidential treatment by the Commission); 

        (x)    deliver
to each Holder without charge, as many copies of the Prospectus (including each preliminary prospectus) and any amendment or supplement thereto as such Persons
reasonably may request; the Company and the Guarantors hereby consent to the use (in accordance with law) of the Prospectus and any amendment or supplement thereto by each selling Holder in connection
with the offering and the sale of the Transfer Restricted Securities covered by the Prospectus or any amendment or supplement thereto; 

        (xi)    upon
the request of any Holder, enter into such agreements (including underwriting agreements) and make such representations and warranties and take all such other
actions in connection therewith in order to expedite or facilitate the disposition of the Transfer Restricted Securities pursuant to any applicable Registration Statement contemplated by this
Agreement as may be reasonably requested by any Holder in connection with any sale or resale pursuant to any applicable Registration Statement. In such connection, the Company and the Guarantors
shall: 

        (A)  upon
request of any Holder, furnish (or in the case of paragraphs (2) and (3) of this Section 6(c)(xi)(A), use its best efforts to cause to be
furnished) to each Holder, upon Consummation of the Exchange Offer or upon the effectiveness of the Shelf Registration Statement, as the case may be: 

        (1)  a
certificate, dated such date, signed on behalf of the Company and each Guarantor by (x) the President or any Vice President of the Company and such 

9

 

Guarantor and (y) a principal financial or accounting officer of the Company and such Guarantor, confirming, as of the date thereof, the matters set forth in Sections 9(g) and (h) of
the Purchase Agreement and such other similar matters as such Holders may reasonably request; 

        (2)  an
opinion, dated the date of Consummation of the Exchange Offer or the date of effectiveness of the Shelf Registration Statement, as the case may be, of counsel for the
Company and the Guarantors covering matters similar to those set forth in paragraph (c) of Section 9 of the Purchase Agreement and such other matters as such Holder may reasonably
request, and in any event including a statement to the effect that such counsel has participated in conferences with officers and other representatives of the Company and the Guarantors,
representatives of the independent public accountants for the Company and the Guarantors and have considered the matters required to be stated therein and the statements contained therein, although
such counsel has not independently verified the accuracy, completeness or fairness of such statements; and that such counsel advises that, on the basis of the foregoing (relying as to materiality to
the extent such counsel deems appropriate upon the statements of officers and other representatives of the Company and the Guarantors and without independent check or verification), no facts came to
such counsel's attention that caused such counsel to believe that the applicable Registration Statement, at the time such Registration Statement or any post-effective amendment thereto
became effective and, in the case of the Exchange Offer Registration Statement, as of the date of Consummation of the Exchange Offer, contained an untrue statement of a material fact or omitted to
state a material fact required to be stated therein or necessary to make the statements therein not misleading, or that the Prospectus contained in such Registration Statement as of its date and, in
the case of the opinion dated the date of Consummation of the Exchange Offer, as of the date of Consummation, contained an untrue statement of a material fact or omitted to state a material fact
necessary in order to make the statements therein, in the light of the circumstances under which they were made, not misleading. Without limiting the foregoing, such counsel may state further that
such counsel assumes no responsibility for, and has not independently verified, the accuracy, completeness or fairness of the financial statements, notes and schedules and other financial data
included in any Registration Statement contemplated by this Agreement or the related Prospectus; and 

        (3)  a
customary comfort letter, dated the date of Consummation of the Exchange Offer, or as of the date of effectiveness of the Shelf Registration Statement, as the case may
be, from the Company's independent accountants, in the customary form and covering matters of the type customarily covered in comfort letters to underwriters in connection with underwritten offerings,
and affirming the matters set forth in the comfort letters delivered pursuant to Section 9(e) of the Purchase Agreement; and 

        (B)  deliver
such other documents and certificates as may be reasonably requested by the selling Holders to evidence compliance with the matters covered in clause (A)
of this Section 6(c)(xi) and with any customary conditions contained in the any agreement entered into by the Company and the Guarantors pursuant to clause (xi) of this
Section 6(c); 

        (xii)    prior
to any public offering of Transfer Restricted Securities, cooperate with the selling Holders and their counsel in connection with the registration and
qualification of the Transfer Restricted Securities under the securities or Blue Sky laws of such jurisdictions as the selling Holders may request and do any and all other acts or things necessary or
advisable to enable the disposition in such jurisdictions of the Transfer Restricted Securities covered by the applicable Registration Statement; provided,
however,
that neither the Company nor any Guarantor shall be required to register or qualify as a foreign corporation where it is not now so qualified or to take 

10

 

any action that would subject it to the service of process in suits or to taxation, other than as to matters and transactions relating to the Registration Statement, in any jurisdiction where it is
not now so subject; 

        (xiii)    in
connection with any sale of Transfer Restricted Securities that will result in such securities no longer being Transfer Restricted Securities, (A) cooperate
with the Holders to facilitate the timely preparation and delivery of certificates representing Transfer Restricted Securities to be sold and not bearing any restrictive legends and
(B) register such Transfer Restricted Securities in such denominations and such names as the selling Holders may request at least two Business Days prior to such sale of Transfer Restricted
Securities; 

        (xiv)    use
their respective best efforts to cause the disposition of the Transfer Restricted Securities covered by the Registration Statement to be registered with or
approved by such other governmental agencies or authorities as may be necessary to enable the seller or sellers thereof to consummate the disposition of such Transfer Restricted Securities, subject to
the proviso contained in clause (xii) of this Section 6(c); 

        (xv)    provide
a CUSIP number for all Transfer Restricted Securities not later than the effective date of a Registration Statement covering such Transfer Restricted Securities
and provide the Trustee under the Indenture with printed certificates for the Transfer Restricted Securities which are in a form eligible for deposit with the Depository Trust Company; 

        (xvi)    otherwise
use their respective best efforts to comply with all applicable rules and regulations of the Commission, and make generally available to its security holders
with regard to any applicable Registration Statement, as soon as practicable, a consolidated earnings statement meeting the requirements of Rule 158 (which need not be audited) covering a
twelve-month period beginning after the effective date of the Registration Statement (as such term is defined in paragraph (c) of Rule 158 under the Act); 

        (xvii)    cause
the Indenture to be qualified under the TIA not later than the effective date of the first Registration Statement required by this Agreement and, in connection
therewith, cooperate with the Trustee and the Holders to effect such changes to the Indenture as may be required for such Indenture to be so qualified in accordance with the terms of the TIA; and
execute and use its best efforts to cause the Trustee to execute all documents that may be required to effect such changes and all other forms and documents required to be filed with the Commission to
enable such Indenture to be so qualified in a timely manner; and 

        (xviii)    provide
promptly to each Holder, upon request, each document filed with the Commission pursuant to the requirements of Sections 13 or 15(d) of the Exchange Act. 

        (d)  Restrictions on Holders. Each Holder agrees by acquisition of a Transfer Restricted Security that, upon receipt of the
notice referred to in Section 6(c)(iii)(C) hereof or any notice from the Company of the existence of any fact of the kind described in Section 6(c)(iii)(D) hereof (in each case, a
"Suspension Notice"), such Holder shall forthwith discontinue disposition of Transfer Restricted Securities pursuant to the applicable Registration
Statement until (i) such Holder has received copies of the supplemented or amended Prospectus contemplated by Section 6(c)(iv) hereof, or (ii) such Holder is advised in
writing by the Company that the use of the Prospectus may be resumed, and has received copies of any additional or supplemental filings that are incorporated by reference in the Prospectus (in each
case, the "Recommencement Date"). Each Holder receiving a Suspension Notice hereby agrees that it shall either (i) destroy any Prospectuses,
other than permanent file copies, then in such Holder's possession which have been replaced by the Company with more recently dated Prospectuses or (ii) deliver to the Company (at the Company's
expense) all copies, other than permanent file copies, then in such Holder's possession of the Prospectus covering such Transfer Restricted Securities that was current at the time of receipt of the
Suspension Notice. The time period 

11

 

regarding the effectiveness of such Registration Statement set forth in Sections 3 or 4 herein, as applicable, shall be extended by a number of days equal to the number of days in the period from and
including the date of delivery of the Suspension Notice to the date of delivery of the Recommencement Date. 

SECTION 7. REGISTRATION EXPENSES  

        (a)  All
expenses incident to the Company's and the Guarantors' performance of or compliance with this Agreement shall be borne by the Company, regardless of whether a
Registration Statement becomes effective, including without limitation: (i) all registration and filing fees and expenses; (ii) all fees and expenses of compliance with federal
securities and state Blue Sky or securities laws; (iii) all expenses of printing (including printing certificates for the Series B Notes to be issued in the Exchange Offer and printing
of Prospectuses), messenger and delivery services and telephone; (iv) all fees and disbursements of counsel for the Company, the Guarantors and the Holders of Transfer Restricted Securities;
(v) all application and filing fees in connection with listing the Series B Notes on a national securities exchange or automated quotation system pursuant to the requirements hereof; and
(vi) all fees and disbursements of independent certified public accountants of the Company and the Guarantors (including the expenses of any special audit and comfort letters required by or
incident to such performance). 

        The
Company shall, in any event, bear its and the Guarantors' internal expenses (including, without limitation, all salaries and expenses of its officers and employees performing legal
or accounting duties), the expenses of any annual audit and the fees and expenses of any Person, including special experts, retained by the Company or the Guarantors. 

        (b)  In
connection with any Registration Statement required by this Agreement (including, without limitation, the Exchange Offer Registration Statement and the Shelf
Registration Statement), the Company and the Guarantors shall reimburse the Initial Purchaser and the Holders of Transfer Restricted Securities who are tendering Series A Notes into in the
Exchange Offer and/or selling or reselling Series A Notes or Series B Notes pursuant to the "Plan of Distribution" contained in the Exchange Offer Registration Statement or the Shelf
Registration Statement, as applicable, for the reasonable fees and disbursements of not more than one counsel, who shall be Latham & Watkins LLP, unless another firm shall be chosen by the
Holders of a majority in principal amount of the Transfer Restricted Securities for whose benefit such Registration Statement is being prepared. 

SECTION 8. INDEMNIFICATION  

        (a)  The
Company and the Guarantors agree, jointly and severally, to indemnify and hold harmless each Holder, its directors, officers and each Person, if any, who controls
such Holder (within the meaning of Section 15 of the Act or Section 20 of the Exchange Act), from and against any and all losses, claims, damages, liabilities, judgments, (including
without limitation, any legal or other expenses incurred in connection with investigating or defending any matter, including any action that could give rise to any such losses, claims, damages,
liabilities or judgments) caused by any untrue statement or alleged untrue statement of a material fact contained in any Registration Statement, preliminary prospectus or Prospectus (or any amendment
or supplement thereto) provided by the Company to any Holder or any prospective purchaser of Series B Notes or registered Series A Notes, or caused by any omission or alleged omission to
state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, except insofar as such losses, claims, damages, liabilities or judgments are
caused by an untrue statement or omission or alleged untrue statement or omission that is based upon information relating to any of the Holders furnished in writing to the Company by any of the
Holders. 

12

 

        (b)  Each
Holder of Transfer Restricted Securities agrees, severally and not jointly, to indemnify and hold harmless the Company and the Guarantors, and their respective
directors and officers, and each person, if any, who controls (within the meaning of Section 15 of the Act or Section 20 of the Exchange Act) the Company, or the Guarantors to the same
extent as the foregoing indemnity from the Company and the Guarantors set forth in Section 8(a) hereof, but only with reference to information relating to such Holder furnished in writing to
the Company by such Holder expressly for use in any Registration Statement. In no event shall any Holder, its directors, officers or any Person who controls such Holder be liable or responsible for
any amount in excess of the amount by which the total amount received by such Holder with respect to its sale of Transfer Restricted Securities pursuant to a Registration Statement exceeds
(i) the amount paid by such Holder for such Transfer Restricted Securities and (ii) the amount of any damages that such Holder, its directors, officers or any Person who
controls such Holder has otherwise been required to pay by reason of such untrue or alleged untrue statement or omission or alleged omission. 

        (c)  In
case any action shall be commenced involving any person in respect of which indemnity may be sought pursuant to Section 8(a) or 8(b) hereof (the
"indemnified party"), the indemnified party shall promptly notify the person against whom such indemnity may be sought (the
"indemnifying person") in writing and the indemnifying party shall assume the defense of such action, including the employment of counsel reasonably
satisfactory to the indemnified party and the payment of all fees and expenses of such counsel, as incurred (except that in the case of any action in respect of which indemnity may be sought pursuant
to both Sections 8(a) and 8(b) hereof, a Holder shall not be required to assume the defense of such action pursuant to this Section 8(c) hereof, but may employ separate counsel and participate
in the defense thereof, but the fees and expenses of such counsel, except as provided below, shall be at the expense of the Holder). Any indemnified party shall have the right to employ separate
counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of the indemnified party unless (i) the employment of such
counsel shall have been specifically authorized in writing by the indemnifying party, (ii) the indemnifying party shall have failed to assume the defense of such action or employ counsel
reasonably satisfactory to the indemnified party or (iii) the named parties to any such action (including any impleaded parties) include both the indemnified party and the indemnifying party,
and the indemnified party shall have been advised by such counsel that there may be one or more legal defenses available to it which are different from or additional to those available to the
indemnifying party (in which case the indemnifying party shall not have the right to assume the defense of such action on behalf of the indemnified party). In any such case, the indemnifying party
shall not, in connection with any one action or separate but substantially similar or related actions in the same jurisdiction arising out of the same general allegations or circumstances, be liable
for the fees and expenses of more than one separate firm of attorneys (in addition to any local counsel) for all indemnified parties and all such fees and expenses shall be reimbursed as they are
incurred. Such firm shall be designated in writing by a majority of the Holders, in the case of the parties indemnified pursuant to Section 8(a) hereof, and by the Company and the Guarantors,
in the case of parties indemnified pursuant to Section 8(b) hereof. The indemnifying party shall indemnify and hold harmless the indemnified party from and against any and all losses, claims,
damages, liabilities and judgments by reason of any settlement of any action (i) effected with its written consent or (ii) effected without its written consent if the settlement is
entered into more than twenty business days after the indemnifying party shall have received a request from the indemnified party for reimbursement for the fees and expenses of counsel (in any case
where such fees and expenses are at the expense of the indemnifying party) and, prior to the date of such settlement, the indemnifying party shall have failed to comply with such reimbursement
request. No indemnifying party shall, without the prior written consent of the indemnified party, effect any settlement or compromise of, or consent to the entry of judgment with respect to, any
pending or threatened action in respect of which the indemnified party is or could have been a party and indemnity or contribution may be or could have been sought hereunder by the 

13

 

indemnified party, unless such settlement, compromise or judgment (i) includes an unconditional release of the indemnified party from all liability on claims that are or could have been the
subject matter of such action and (ii) does not include a statement as to or an admission of fault, culpability or a failure to act, by or on behalf of the indemnified party. 

        (d)  To
the extent that the indemnification provided for in this Section 8 is unavailable to an indemnified party in respect of any losses, claims, damages,
liabilities or judgments referred to therein, then each
indemnifying party, in lieu of indemnifying such indemnified party, shall contribute to the amount paid or payable by such indemnified party as a result of such losses, claims, damages, liabilities or
judgments (i) in such proportion as is appropriate to reflect the relative benefits received by the Company and the Guarantors, on the one hand, and the Holders, on the other hand, from their
sale of Transfer Restricted Securities or (ii) if the allocation provided by Section 8(d)(i) hereof is not permitted by applicable law, in such proportion as is appropriate to
reflect not only the relative benefits referred to in Section 8(d)(i) hereof but also the relative fault of the Company and the Guarantors, on the one hand, and of the Holder, on the
other hand, in connection with the statements or omissions which resulted in such losses, claims, damages, liabilities or judgments, as well as any other relevant equitable considerations. The
relative fault of the Company and the Guarantors, on the one hand, and of the Holder, on the other hand, shall be determined by reference to, among other things, whether the untrue or alleged untrue
statement of a material fact or the omission or alleged omission to state a material fact relates to information supplied by the Company or such Guarantor, on the one hand, or by the Holder, on the
other hand, and the parties' relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission. The amount paid or payable by a party as a result of
the losses, claims, damages, liabilities and judgments referred to above shall be deemed to include, subject to the limitations set forth in Section 8(a) hereof, any legal or other fees or
expenses reasonably incurred by such party in connection with investigating or defending any action or claim. 

        The
Company, the Guarantors and each Holder agree that it would not be just and equitable if contribution pursuant to this Section 8(d) were determined by pro rata allocation
(even if the Holders were treated as one entity for such purpose) or by any other method of allocation which does not take account of the equitable considerations referred to in the immediately
preceding paragraph. The amount paid or payable by an indemnified party as a result of the losses, claims, damages, liabilities or judgments referred to in the immediately preceding paragraph shall be
deemed to include, subject to the limitations set forth above, any legal or other expenses reasonably incurred by such indemnified party in connection with investigating or defending any matter,
including any action that could have given rise to such losses, claims, damages, liabilities or judgments. Notwithstanding the provisions of this Section 8, no Holder, its directors, its
officers or any Person, if any, who controls such Holder shall be required to contribute, in the aggregate, any amount in excess of the amount by which the total received by such Holder with respect
to the sale of Transfer Restricted Securities pursuant to a Registration Statement exceeds (i) the amount paid by such Holder for such Transfer Restricted Securities and (ii) the amount
of any damages which such Holder has otherwise been required to pay by reason of such untrue or alleged untrue statement or omission or alleged omission. No person guilty of fraudulent
misrepresentation (within the meaning of Section 11(f) of the Act) shall be entitled to contribution from any person who was not guilty of such fraudulent misrepresentation. The Holders'
obligations to contribute pursuant to this Section 8(d) are several in proportion to the respective principal amount of Transfer Restricted Securities held by each Holder hereunder and not
joint. 

SECTION 9. RULE 144A AND RULE 144  

        The Company and each Guarantor agrees with each Holder, for so long as any Transfer Restricted Securities remain outstanding and during any period in which the
Company or such Guarantor (i) is not subject to Section 13 or 15(d) of the Exchange Act, to make available, upon request of any Holder, to such Holder or beneficial owner of Transfer
Restricted Securities in connection with any sale thereof 

14

 

and any prospective purchaser of such Transfer Restricted Securities designated by such Holder or beneficial owner, the information required by Rule 144A(d)(4) under the Act in order to permit
resales of such Transfer Restricted Securities pursuant to Rule 144A, and (ii) is subject to Section 13 or 15(d) of the Exchange Act, to make all filings required thereby in a
timely manner in order to permit resales of such Transfer Restricted Securities pursuant to Rule 144. 

SECTION 10. MISCELLANEOUS  

        (a)  Remedies. The Company and the Guarantors acknowledge and agree that any failure by the Company and/or the Guarantors to
comply with their respective obligations under Sections 3 and 4 hereof may result in material irreparable injury to the Initial Purchaser or the Holders for which there is no adequate remedy at law,
that it will not be possible to measure damages for such injuries precisely and that, in the event of any such failure, the Initial Purchaser or any Holder may obtain such relief as may be required to
specifically enforce the Company's and the Guarantor's obligations under Sections 3 and 4 hereof. The Company and the Guarantors further agree to waive the defense in any action for specific
performance that a remedy at law would be adequate. 

        (b)  No Inconsistent Agreements. Neither the Company nor any Guarantor shall, on or after the date of this Agreement, enter
into any agreement with respect to its securities that is inconsistent with the rights granted to the Holders in this Agreement or otherwise conflicts with the provisions hereof. Neither the Company
nor any Guarantor has previously entered into any agreement that remains in effect on the date hereof granting any registration rights with respect to its securities to any Person. The rights granted
to the Holders hereunder do not in any way conflict with and are not inconsistent with the rights granted to the holders of the Company's and the Guarantors' securities under any agreement in effect
on the date hereof. 

        (c)  Amendments and Waivers. The provisions of this Agreement may not be amended, modified or supplemented, and waivers or
consents to or departures from the provisions hereof may not be given unless (i) in the case of Section 5 hereof and this Section 10(c)(i), the Company has obtained the written
consent of Holders of all outstanding Transfer Restricted Securities and (ii) in the case of all other provisions hereof, the Company has obtained the written consent of Holders of a majority
of the outstanding principal amount of Transfer Restricted Securities (excluding Transfer Restricted Securities held by the Company or its Affiliates). Notwithstanding the foregoing, a waiver or
consent to departure from the provisions hereof that relates exclusively to the rights of Holders whose Transfer Restricted Securities are being tendered pursuant to the Exchange Offer, and that does
not affect directly or indirectly the rights of other Holders whose Transfer Restricted Securities are not being tendered pursuant to such Exchange Offer, may be given by the Holders of a majority of
the outstanding principal amount of Transfer Restricted Securities subject to such Exchange Offer. 

        (d)  Third Party Beneficiary. The Holders shall be third party beneficiaries to the agreements made hereunder between the
Company and the Guarantors, on the one hand, and the Initial Purchaser, on
the other hand, and shall have the right to enforce such agreements directly to the extent they may deem such enforcement necessary or advisable to protect its rights or the rights of Holders
hereunder. 

        (e)  Notices. All notices and other communications provided for or permitted hereunder shall be made in writing by
hand-delivery, first-class mail (registered or certified, return receipt requested), telex, telecopier, or air courier guaranteeing overnight delivery: 

        (i)    if
to a Holder, at the address set forth on the records of the Registrar under the Indenture, with a copy to the Registrar under the Indenture; and 

15

 

        (ii)  if
to the Company or the Guarantors: 

Herbst
Gaming, Inc.

3440 West Russell Road

Las Vegas, Nevada 89118

Telecopier No.: (702) 740-4630

Attention: Mary E. Higgins

with a copy to: 

Kummer
Kaempfer Bonner & Renshaw 

3800
Howard Hughes Parkway

Seventh Floor

Las Vegas, Nevada 89109

Telecopier No.: (702) 796-7181

Attention: John N. Brewer, Esq. 

        All
such notices and communications shall be deemed to have been duly given: at the time delivered by hand, if personally delivered; five Business Days after being deposited in the mail,
postage prepaid, if mailed; when receipt acknowledged, if telecopied; and on the next business day, if timely delivered to an air courier guaranteeing overnight delivery. 

        Copies
of all such notices, demands or other communications shall be concurrently delivered by the Person giving the same to the Trustee at the address specified in the Indenture. 

        Upon
the date of filing of the Exchange Offer or a Shelf Registration Statement, as the case may be, notice shall be delivered to the Initial Purchaser in the form attached hereto as  Exhibit A.

        (f)    Successors and Assigns. This Agreement shall inure to the benefit of and be binding upon the successors and assigns of
each of the parties, including without limitation and without the need for an express assignment, subsequent Holders; provided, that nothing herein
shall be deemed to permit any assignment, transfer or other disposition of Transfer Restricted Securities in violation of the terms hereof or of the Purchase Agreement or the Indenture. If any
transferee of any Holder shall acquire Transfer Restricted Securities in any manner, whether by operation of law or otherwise, such Transfer Restricted Securities shall be held subject to all of the
terms of this Agreement, and by taking and holding such Transfer Restricted Securities such Person shall be conclusively deemed to have agreed to be bound by and to perform all of the terms and
provisions of this Agreement, including the restrictions on resale set forth in this Agreement and, if applicable, the Purchase Agreement, and such Person shall be entitled to receive the benefits
hereof. 

        (g)  Counterparts. This Agreement may be executed in any number of counterparts and by the parties hereto in separate
counterparts, each of which when so executed shall be deemed to be an original and all of which taken together shall constitute one and the same agreement. 

        (h)  Headings. The headings in this Agreement are for convenience of reference only and shall not limit or otherwise affect
the meaning hereof. 

        (i)    Governing Law. THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK,
WITHOUT REGARD TO THE CONFLICT OF LAW RULES THEREOF. 

        (j)    Severability. In the event that any one or more of the provisions contained herein, or the application thereof in any
circumstance, is held invalid, illegal or unenforceable, the validity, legality and enforceability of any such provision in every other respect and of the remaining provisions contained herein shall
not be affected or impaired thereby. 

        (k)  Entire Agreement. This Agreement is intended by the parties as a final expression of their agreement and intended to be a
complete and exclusive statement of the agreement and understanding of the parties hereto in respect of the subject matter contained herein. There are no restrictions, promises, warranties or
undertakings, other than those set forth or referred to herein with respect to the
registration rights granted with respect to the Transfer Restricted Securities. This Agreement supersedes all prior agreements and understandings between the parties with respect to such subject
matter. 

(Signature
Pages Follow) 

16

   
        IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first written above. 

	

 	
 	

HERBST GAMING, INC.,

a Nevada corporation
	

 	
 	

By:	

/s/  EDWARD J. HERBST      

	 	 	 	Name:	Edward J. Herbst
	 	 	 	Title:	President
	

 	
 	

E-T-T, Inc.
	

 	
 	

By:	

/s/  EDWARD J. HERBST      

	 	 	 	Name:	Edward J. Herbst
	 	 	 	Title:	President
	

 	
 	

FLAMINGO PARADISE GAMING, LLC
	

 	
 	

By:	

/s/  EDWARD J. HERBST      

	 	 	 	Name:	Edward J. Herbst
	 	 	 	Title:	Manager
	

 	
 	

MARKET GAMING, INC.
	

 	
 	

By:	

/s/  EDWARD J. HERBST      

	 	 	 	Name:	Edward J. Herbst
	 	 	 	Title:	President
	

 	
 	

E-T-T ENTERPRISES, LLC
	

 	
 	

By:	

/s/  EDWARD J. HERBST      

	 	 	 	Name:	Edward J. Herbst
	 	 	 	Title:	Manager
	

 	
 	

CARDIVAN COMPANY
	

 	
 	

By:	

/s/  EDWARD J. HERBST      

	 	 	 	Name:	Edward J. Herbst
	 	 	 	Title:	President

S-1

 

	

 	
 	

CORRAL COIN, INC.
	

 	
 	

By:	

/s/  EDWARD J. HERBST      

	 	 	 	Name:	Edward J. Herbst
	 	 	 	Title:	President
	

 	
 	

CORRAL COUNTRY COIN, INC.
	

 	
 	

By:	

/s/  EDWARD J. HERBST      

	 	 	 	Name:	Edward J. Herbst
	 	 	 	Title:	President

	LEHMAN BROTHERS INC.	 	 
	

By:	
 	

 
	
 	

 
	 	 	Name:	 	 	 	 
	 	 	Title:	 	 	 	 

       

	

LEHMAN BROTHERS INC.	
 	

 
	

By:	
 	

/s/  MICHAEL MAZZEL       
	
 	

 
	 	 	Name:	 	Michael Mazzel	 	 
	 	 	Title:	 	Managing Director	 	 

S-2

 
 

EXHIBIT A    
  

 
 

NOTICE OF FILING OF
  A/B EXCHANGE OFFER REGISTRATION STATEMENT    
  

	To:	 	Lehman Brothers Inc.

745 Seventh Avenue

New York, New York 10019

Attention: Robert Hedlund

Fax: (212) 526-1714
	

From:	
 	

Herbst Gaming, Inc.

103/4% Senior Secured Notes due 2008
	

Date:	
 	

                        , 2003

        For
your information only (NO ACTION REQUIRED): 

        Today,                        ,
2003, we filed [an A/B Exchange Registration Statement] [a Shelf Registration Statement] with the Securities and
Exchange Commission. We currently expect this registration statement to be declared effective within    business days of the date hereof. 

QuickLinks

Exhibit 4.9

EXHIBIT A

NOTICE OF FILING OF A/B EXCHANGE OFFER REGISTRATION STATEMENTQuickLinks
 -- Click here to rapidly navigate through this document

 
 

Exhibit 10.24    
  

Assessor's
Parcel No.:_________________________ 

	 	 	When recorded mail to:
	

 	
 	

John N. Brewer

Kummer Kaempfer Bonner & Renshaw

3800 Howard Hughes Pkwy.

Seventh Floor

Las Vegas, NV 89109

LEASEHOLD DEED OF TRUST, ASSIGNMENT OF LEASES AND RENTS, 

SECURITY
AGREEMENT AND FIXTURE FILING 

E-T-T, Inc.,
a Nevada corporation

Trustor 

National
Title Co., a Nevada corporation

Trustee 

and

The
Bank of New York, a New York banking corporation

Beneficiary 

Dated
February    , 2003 

 
 

LEASEHOLD DEED OF TRUST, ASSIGNMENT OF LEASES AND RENTS,
  SECURITY AGREEMENT AND FIXTURE FILING    
  

        THIS LEASEHOLD DEED OF TRUST, ASSIGNMENT OF LEASES AND RENTS, SECURITY AGREEMENT AND FIXTURE FILING ("Deed of Trust"), is made as of February    ,
2003, by E-T-T, Inc., a Nevada corporation, as trustor ("Trustor"), to National Title Co., a Nevada corporation, as trustee ("Trustee"), for the benefit of The Bank of
New York, a New York banking corporation, as trustee ("Beneficiary") acting on behalf of the holders of the Notes issued pursuant to that certain Indenture dated as of August 24, 2001, as
amended (the "Indenture") among Herbst Gaming, Inc., as issuer, Beneficiary, as trustee and each of the Guarantors (as defined in the Indenture). All capitalized terms used herein and not
otherwise defined shall have the meanings ascribed to them in the Indenture. 

W I T N E S S E T H:  

        Trustor hereby covenants and agrees as follows: 

ARTICLE I.  

 Grant of Security Interests  

        1.01    Property.    Trustor does hereby irrevocably grant, bargain, sell, pledge, assign, hypothecate, convey,
mortgage, transfer, warrant and set over unto Trustee IN TRUST, WITH POWER OF SALE, for the benefit and security of Beneficiary and the ratable benefit and security of the holders of the Notes, all of
Trustor's right, title and interest in and to all of the following property, whether now owned or existing or hereafter acquired or arising, (all of Trustor's right, title and interest therein and
thereto being collectively referred to herein as the "Property"): 

        (a)  The
real property described in Exhibit A attached hereto and by this reference incorporated herein, including,
without limitation, (i) any easements and rights of ingress and egress appurtenant to the above described property, (ii) any street or road adjacent or contiguous to the above described
property,
(iii) any strips, gores or pieces of land abutting, adjoining, adjacent to or contiguous to the above described property (owned or claimed by deed, limitation or otherwise), and (iv) all
air rights with respect thereto (collectively, the "Land"); 

        (b)  Any
and all buildings and all other improvements now on or in, or hereafter constructed on or in, the Land (collectively, the "Improvements" and, together with the Land,
the "Real Property"); 

        (c)  Any
and all lands, fixtures, structures, improvements, pipelines, tenements, hereditments, goods, inventory, equipment, machinery, appliances, construction or other
materials and supplies, personal property, tools, crops and other farm products, plants, trees, shrubs, vines, books, records and files, of whatever kind or description and wherever situated, now
owned by, or at any time hereafter acquired by or for, Trustor and contiguous or appurtenant to the Land, and all other things of whatsoever kind and in any way or at any time belonging or appurtenant
to, or used in connection with, any Property and all additions and/or accessions to, and all substitutions for, the foregoing; 

        (d)  Any
and all Leases (as hereinafter defined) now held or hereafter acquired by Trustor, including, but not limited to, all of Trustor's right, title and interest in and
to that lease ("Ground Lease") described in Exhibit B attached hereto and incorporated herein by reference, and all, bonuses, rents, revenues,
security deposits, issues, royalties (including all oil, gas and mineral royalties), profits and other consideration arising from the Leases, in connection with or belonging or appertaining to any of
Trustor's property now or hereafter subject to the lien of this Deed of Trust; 

 

        (e)  Any
and all additions, betterments and improvements hereafter acquired or constructed upon or in connection with any of Trustor's property, now or at any time hereafter
subject to the lien of this Deed of Trust; 

        (f)    Any
and all rights, powers, easements, rights of way, interests in land, franchises, privileges, immunities, possessory or prescriptive rights, and, to the extent
assignable, permits, licenses (excluding Gaming Licenses), options, development rights, entitlements and authorizations now or hereafter owned or possessed by Trustor that now or at any time hereafter
may be necessary for, or appurtenant to, the use, operation, management, maintenance, renewal, alteration or improvement of any of the Property, including, without limitation, to any and all rights to
(i) utilities and fees or charges paid in connection therewith, (ii) reimbursements or other rights pertaining to utilities or utility services thereto, and (iii) the present or
future use or availability of waste water facilities, water, water and storm
drainage or other utility facilities to the extent the same pertain to or benefit any of the Property, including all reservations of or commitments covering any such use in the future, whether now
owned or hereafter acquired; 

        (g)  All
contract rights of whatever nature, whenever acquired, relating to the other Property described in this Section 1.01, including, without limitation,
architectural and engineering plans, specifications, drawings, tests, reports or studies, contracts for goods or services and management contracts, all warranties and guaranties under such contracts
and all rights under architect's contracts, construction contracts, completion bonds, performance bonds and payment bonds, all accounts, general intangibles, documents, instruments and chattel paper
arising from or in connection with such other Property, including all books and records in connection therewith, all rights, claims, suits or demands that Trustor now has or may hereafter acquire with
respect to any damage to the Property; 

        (h)  All
oil and gas or other mineral rights in or pertaining to the Land and all royalty, leasehold and other rights of Trustor pertaining thereto, now owned or hereafter
acquired; 

        (i)    All
refundable utility, tenant, escrow and governmental fees and deposits, and all refundable fees and deposits of every other nature, now owned or hereafter acquired,
relating to the Property; 

        (j)    All
water and all water rights, including riparian and other water rights in or pertaining to the Land (whether or not appurtenant thereto), now owned or hereafter
acquired, including, without limitation, shares of stock evidencing the same and any rights under contracts for the purchase or supply of water, and all deposits made with or other security given to
utility companies by Trustor with respect to the Land or any buildings or other improvements thereon; 

        (k)  All
shrubbery, trees, vines and other plants of every kind and nature and all crops of every type and nature, annual and perennial, whether growing or to be grown at any
time, all harvested crops wherever stored and any document of title or other document representing a storage obligation, including, but not limited to, warehouse receipts, negotiable or nonnegotiable,
which may be received for crops in which Trustor has any right, title or interest, wherever stored; 

        (l)    All
of the interest, right, title and other claim or demand, both in law and in equity, including claims or demands with respect to any insurance policies, returned
premiums or casualty awards, or the proceeds of any thereof, which Trustor now has or may hereafter acquire in or as a result of any of the Property, and any other proceeds from any sale or
disposition thereof which Trustor now has or may hereafter acquire and any and all awards made as a result of the taking by eminent domain, or by any proceeding or purchase in lieu thereof, of the
whole or any part of such Property, all of which awards, damages, premiums and payments are hereby assigned to Beneficiary and may be at any time collected by it subject to the terms and conditions
hereof; 

2

 

        (m)  All
names under which any portion of the Property may be operated or known, including trademarks and trade names, and any goodwill associated with the Property; and 

        (n)  With
respect to the Property, all of the right, title, interest and claim whatsoever, at law or in equity, to all other reversions, remainders, proceeds, rents,
revenues, issues, earnings, income, products and profits thereof. 

        TO
HAVE AND TO HOLD the Property unto Trustee, its successors and assigns in trust, forever, for the purpose of securing the indebtedness and obligations described in Section 1.02
below. 

        1.02    Obligations and Indebtedness Secured.    This Deed of Trust is given for the purpose of securing
(a) payment of the indebtedness evidenced by Trustor's $217,000,000 principal amount of 103/4% Senior Secured Notes due 2008 (the "Notes") issued pursuant to the Indenture, and
any extension, modification or renewal thereof, (b) payment of such additional sums as may hereafter be advanced hereunder for the account of Trustor, with interest thereon, (c) the
prompt payment when due of all fees, expenses, and other amounts at any time payable by Trustor under the terms of the Loan Documents (as hereinafter defined), (d) performance of each and
every term, covenant and condition of the Indenture and each and every instrument or document to which Trustor is a party securing payment of the Notes or executed in connection with or pursuant to
the Indenture (such documents together with any modifications, renewals, extensions, or replacements thereof are collectively referred to as the "Loan Documents"), and (e) the payment and
performance when due of Trustor's obligations under any guaranty, including, without limit, any Guarantees, or indemnity issued by Trustor for the benefit of Beneficiary and the holders of the Notes
(collectively, the "Holders"). 

        1.03    Security Agreement; Fixture Filing.    This Deed of Trust shall, as to any rents, equipment, furnishings and
other personal property covered hereby (collectively, the "Personal Property") and constituting a portion of the Property, be deemed to constitute a security agreement, and Trustor hereby grants to
Beneficiary, as secured party, for the benefit of the Holders, a security interest therein pursuant to the Nevada Uniform Commercial Code. Trustor agrees, as necessary, to execute any supplements to
this Deed of Trust, any separate security agreement and any financing statements and continuation statements in order to include specifically any after acquired Personal Property or otherwise to
perfect the security interest granted hereby. Upon the occurrence of an Event of Default, Beneficiary shall have all of the rights and remedies therein provided or otherwise provided by law or by this
Deed of Trust or the other Loan Documents, including but not limited to the right but not the obligation to require Trustor to assemble the Personal Property and make it available to Beneficiary at a
place to be designated by Beneficiary which is reasonably convenient to both parties, and subject to applicable Gaming Laws, the right to take possession of such Personal Property with or without
demand and with or without process of law and the right to sell and dispose of the same and distribute the proceeds according to law. The parties hereto agree that any requirement of reasonable notice
shall be met if Beneficiary sends such notice to Trustor at least ten days prior to the date of sale, disposition or other event giving rise to the required notice, and that the proceeds of any
disposition of any such Personal Property may be applied by Beneficiary first to the expenses in connection therewith, including
reasonable attorneys' fees and other legal expenses incurred, and then to payment of the other obligations. The parties hereto further agree that any sale of the Personal Property held
contemporaneously with any sale of the Land or other Property and upon the same notice as required in the Nevada Uniform Commercial Code shall be deemed to be a public sale conducted in a commercially
reasonable manner. With respect to the Personal Property that has become so attached to the real property covered hereby that an interest therein arises under the real property law of the State of
Nevada, this Deed of Trust shall also constitute a financing statement and a fixture filing under NRS § 104.9502. 

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ARTICLE II.  

 Warranties and Covenants of Trustor  

        2.01    Performance of Loan Documents.    Trustor covenants and agrees to comply with each and every provision hereof,
and with each and every provision of the Loan Documents, and shall promptly pay when due the indebtedness evidenced by the Notes and guaranteed by the Trustor and all other sums required to be paid by
the Trustor under this Deed of Trust and the Loan Documents. 

        2.02    General Representations, Covenants and Warranties.    Trustor represents and warrants that: 

        (a)  To
Trustor's knowledge, the landlord, as identified in Exhibit B, (together with its successors, "Landlord"), has
full, complete and marketable fee simple title to the land described on Exhibit A; 

        (b)  Trustor
has a valid and subsisting interest as lessee under the Ground Lease, the Ground Lease is in full force and effect, there are no defaults thereunder and no event
has occurred or is occurring which after notice or passage of time or both will result in such a default, and the Ground Lease is free and clear of all liens, charges and encumbrances, except for the
lien of this Deed of Trust, and only those liens expressly set forth on Schedule 1 attached hereto; 

        (c)  True
and correct copies of the Ground Lease have been delivered by Trustor to Beneficiary and there are no modifications, amendments, cancellations or concessions not
indicated by the copies so delivered; 

        (d)  This
Deed of Trust is and will remain a valid and enforceable first priority lien on the lessee's interest in the Lease and all other interests in the Property
encumbered hereby; 

        (e)  All
information and financial statements furnished or to be furnished toBeneficiary by or on behalf of Trustor in connection herewith or the Notes or any other
instrument or obligation secured hereby are true and correct and not misleading; 

        (f)    Trustor
has not performed any act and is not bound by any instrument which would prevent Beneficiary from enforcing this Deed of Trust; 

        (g)  Trustor
has all requisite power and authority and all licenses, permits and authorizations necessary to own and operate its properties and businesses as currently
operated and conducted or proposed to be; 

        (h)  The
Notes, Deed of Trust and all other instruments securing the Notes, and all other Loan Documents are valid and binding obligations of the parties thereto, enforceable
in accordance with their terms; 

        (i)    Trustor
has not received any notice, nor is it aware after a reasonable, prudent and diligent inquiry, that it is in non-compliance with any requirements of
the Employee Retirement Income Security Act of 1974, as amended ("ERISA") and the regulations thereunder and there exist no "reportable events," as that term is defined in Section 4043 of
ERISA, with respect to Trustor; 

        (j)    None
of the transactions in connection with which this Deed of Trust is given will violate or result in a violation of Section 7 of the Securities Exchange Act of
1934, as amended, or any regulations issued pursuant thereto, including, without limitation, Regulations T, U and X of the Board of Governors of the Federal Reserve System; 

        (k)  The
Property has utilities available to it sufficient to serve the current and anticipated use of the Property, and such utilities are located through private
rights-of-way or properly dedicated public roads; 

4

 

        (l)    The
Land is accessible by way of abutting public streets or to public streets over properly granted or dedicated private rights-of-way; and 

        (m)  Trustor
is not a foreign corporation, foreign partnership, foreign trust, or foreign estate (as those terms are defined in the Internal Revenue Code of 1986, as amended,
or the regulations thereunder); Trustor's United States employer identification number is 88-0314675 and Trustor's office address is 3440 West Russell Road, Las Vegas, Nevada 89118.
Trustor understands that the certification in this clause (m) may be disclosed to the Internal Revenue Service by Beneficiary and that any false statement contained herein could be punished by
fine, imprisonment, or both. The person or persons executing this Deed of Trust each declares under penalties of perjury that he had examined this certification and to the best of his knowledge and
belief it is true, correct and complete, and further declares that he has authority to sign this certification on behalf of Trustor. 

        2.03    Representations and Warranties with Respect to the Leases.    Trustor represents and warrants with respect to
all Leases, whether entered into now or hereafter, that throughout the stated term thereof: 

        (a)  It
has a valid and subsisting interest as lessor under said Leases; 

        (b)  The
Leases are in full force and effect; 

        (c)  There
are no defaults thereunder and no event has occurred or is occurring which after notice or passage of time or both will result in such a default; 

        (d)  The
Leases and the rents, issues and profits thereof are subject to no encumbrances of any kind except for this Deed of Trust; and 

        (e)  True
and correct copies of said Leases have been, or upon execution will be, delivered by Trustor to Beneficiary and there are no modifications, amendments,
cancellations or concessions not indicated by the copies so delivered. 

        2.04    Representations and Warranties with Respect to the Ground Lease.    

        2.04.1    Trustor
will pay or cause to be paid, as the case may be, payments and charges required to be paid by Trustor under or pursuant to the provisions of the Ground Lease.
Trustor shall deliver to Beneficiary reasonable evidence of payment of such rents and impositions and other payments and charges. 

        2.04.2.    Trustor
will diligently perform and observe all of the terms, covenants and conditions of the Ground Lease required to be performed and observed by Trustor to the
end that all things shall be done which are necessary to keep unimpaired Trustor's rights under the Ground Lease. 

        2.04.3.    Trustor
will promptly advise Beneficiary in writing of the giving of any notice by Landlord of any default by Trustor in the performance or observance of any of the
terms, covenants or conditions of the Ground Lease on the part of Trustor to be performed or observed and Trustor will deliver to Beneficiary a true copy of each such notice. 

        2.04.4.    Trustor
shall execute and deliver, on request of Beneficiary, such instruments as Beneficiary may deem useful or required to permit Beneficiary to cure any default
under the Ground Lease or permit Beneficiary to take such other actions as Beneficiary considers desirable to cure or remedy the matter in default and preserve the interest of Beneficiary in the
Ground Lease, the leasehold created thereby and the Property. 

        2.04.5.    Trustor
will promptly notify Beneficiary in writing of any default by Landlord in the performance or observance of any of the terms, covenants or conditions on the
part of Landlord to be performed or observed. 

5

 

        2.04.6.    Trustor
will, promptly upon request by Beneficiary, give its unqualified consent in writing to any and all modifications of the Ground Lease which Landlord agrees to
make at the request of Beneficiary for the purpose of improving, maintaining or preserving Beneficiary's security in the Ground Lease or the Property. 

        2.04.7.    Trustor
will not release, surrender, modify or terminate the Ground Lease without the prior written consent of Beneficiary except to the extent permissible under the
terms of the Indenture. 

        2.04.8.    Without
the written consent of Beneficiary, which consent shall not be unreasonably withheld, the estate created by the Ground Lease shall not merge with any other
estate in the Property, but any interest in the Property hereinafter acquired by Trustor shall also be encumbered hereby. 

        2.04.9.    Notwithstanding
anything to the contrary herein contained with respect to the Ground Lease: 

        (a)  The
lien of this Deed of Trust attaches to all of Trustor's rights and remedies at any time arising under or pursuant to Subsection 365(h) of Title 11 of the United
States code entitled "Bankruptcy," as now or hereafter in effect (together with any successor statute, the "Bankruptcy Code"), including, without limitation, all of Trustor's rights to remain in
possession of the Real Property. 

        (b)  Trustor
shall not, without Beneficiary's written consent, elect to treat the Ground Lease as terminated under Subsection 365(h)(1) of the Bankruptcy Code. Any such
election made without Beneficiary's prior written consent shall be void. If Landlord rejects the Ground Lease under Section 365 of the Bankruptcy Code, Trustor shall remain in possession of the
Property. Neither the lien of this Deed of Trust nor Beneficiary's rights with respect to the Ground Lease shall be affected or impaired by Landlord's rejection of the Ground Lease under
Section 365 of the Bankruptcy Code. 

        (c)  As
further security for the obligations secured hereby, Trustor hereby unconditionally assigns, transfers and sets over to Beneficiary all of Trustor's claims and rights
to the payment of damages arising from any rejection by Landlord of the Ground Lease under the Bankruptcy Code. Beneficiary shall have the right, but not the obligation, to proceed in its own name or
in the name of Trustor in respect of any claim, suit, action or proceeding relating to the rejection of the Ground Lease, including, without limitation, the right to file and prosecute any proofs of
claim, complaints, motions, applications, notices and other documents in any case in respect of Landlord under the Bankruptcy Code. This assignment constitutes a present, irrevocable and unconditional
assignment of the foregoing claims, rights and remedies, and shall continue in effect until this Deed of Trust has been released of record or all of the obligations secured by this Deed of Trust shall
have been satisfied and discharged in full. Any amounts received by Beneficiary or Trustor as damages arising out of the rejection of the Ground Lease as aforesaid shall be applied first to all
reasonable costs and expenses of Beneficiary and Trustee (including, without limitation, attorneys' fees and costs) incurred in connection with the exercise of any of its rights or remedies under this
Section 2.04.9 and then in accordance with the other applicable provisions of this Deed of Trust and the Indenture. 

        (d)  If,
pursuant to any applicable section of the Bankruptcy Code, Trustor seeks to offset, counterclaim, deduct, and/or assert a defense against the rent or other sums due
under the Ground Lease, the amount of any damages caused by the non-observance and/or non-performance of Landlord under the Ground Lease, Trustor shall, prior to such offset,
counterclaim, defense and/or deduction notify Beneficiary of its intent to do so, setting forth with specificity the amounts proposed to be offset, counterclaimed, deducted, and/or defended against
and for what purposes. Beneficiary shall thereupon have the right, but not the obligation, to object to all or any part of such offset, counterclaim, deduction and/or defense and, in the event of such
objection, Trustor 

6

 

shall not effect any such offset, counterclaim and/or deduction. Neither Beneficiary's failure to object to any such offset, counterclaim, deduction and/or defense nor any objection or other
communication between Beneficiary and Trustor shall constitute an approval of any such offset, counterclaim, deduction and/or defense by Beneficiary. Trustor expressly agrees to pay, protect,
indemnify and save harmless Beneficiary from and against any and all claims, demands, actions, suit, proceedings, damages, losses, liabilities, judgments, costs and expenses of every kind and nature
(including reasonable attorneys' fees) arising from or relating to any offset, counterclaim, deduction and/or assertion of a defense by Trustor as herein described. 

        (e)  If
any action, proceeding, motion and/or notice shall be commenced or filed with respect to Landlord or the Property, or any part thereof, in connection with the
Bankruptcy Code, Beneficiary shall have the right, but not the obligation, to the exclusion of Trustor, exercisable upon five (5) days prior written notice, to conduct and control any
litigation with counsel of Beneficiary's choice. Beneficiary may proceed in its own name or in the name of Trustor in connection with any such litigation, and Trustor expressly agrees to execute and
deliver all and every power, consent, authorization and other documents required by Beneficiary in connection therewith. Trustor shall pay to Beneficiary on demand any and all costs and expenses
(including reasonable attorneys' fees) paid or incurred and payable by Beneficiary in connection with such proceedings and the costs and expenses shall be secured by the lien of this Deed of Trust.
Trustor also agrees not to commence any action, suit, proceeding and/or case or file any application or make any motion in respect of the Ground Lease in the event of Landlord's bankruptcy without the
prior written consent of Beneficiary, which consent shall not be unreasonably withheld. 

        (f)    Trustor
shall promptly after obtaining knowledge thereof notify Beneficiary orally of any filing by or against Landlord of a petition under the Bankruptcy Code. Trustor
shall thereafter promptly give written notice of such filing to Beneficiary, setting forth any information available to Trustor as to the date of such filing, the court in which such petition was
filed, and the relief sought therein. Trustor shall promptly deliver to Beneficiary, following its receipt thereof, copies of any and all notices, summonses, pleadings, applications and other
documents received by Trustor in connection with any such petition and any proceedings relating thereto. 

        (g)  If
there shall be filed by or against Trustor a petition under the Bankruptcy Code and Trustor, as lessee under the Ground Lease, shall determine to reject the Ground
Lease, Trustor shall give Beneficiary not less than ten (10) days prior notice of the date on which Trustor shall apply to the bankruptcy court or other judicial body with appropriate
jurisdiction or authority to reject the Ground Lease. Beneficiary shall have the right, but not the obligation, to serve upon Trustor within such ten (10) day period a notice stating that
(i) Beneficiary demands that Trustor assume and assign the Ground Lease to Beneficiary pursuant to Section 365 of the Bankruptcy Code and (ii) Beneficiary covenants to cure or
provide adequate assurance of prompt cure of all defaults and provide adequate assurance of future performance under the Ground Lease. If Beneficiary serves upon Trustor the notice described in the
preceding sentence, Trustor shall not seek to reject the Ground Lease and shall comply with the demand provided for in clause (i) of the preceding sentence within thirty (30) days after
the notice shall have been given, subject to the performance by Beneficiary of the covenant provided for in clause (ii) of the preceding sentence. Effective upon the entry of an order for
relief in respect of Trustor under Chapter 7 of the Bankruptcy Code Trustor hereby assigns and transfers to Beneficiary a non-exclusive right to apply to the bankruptcy court or other
judicial body with appropriate jurisdiction for an order extending the period during which the Ground Lease may be rejected or assumed. 

        (h)  All
references herein to sections of the Bankruptcy Code shall also constitute references to successors to such sections and similar provisions of any law. 

7

 

        2.04.10.    Trustor
shall enforce with due diligence all of the obligations of Landlord under the Ground Lease, to the end that Trustor may enjoy all of the rights and
privileges granted to it under the Ground Lease. 

        2.04.11.    Nothing
contained in this Section 2.04 or elsewhere in this Deed of Trust, and no exercise of any rights or remedies by Beneficiary, shall constitute, or
shall be deemed in any manner or at any time to constitute, an assumption by Beneficiary of any of the lessee's obligations under the Ground Lease. 

        2.04.12.    Trustor
will, within ten (10) days after reasonable demand from Beneficiary, request from Landlord and deliver to Beneficiary, to the extent provided by
Landlord, a certificate that the Ground Lease is unmodified and in full force and effect and the date to which the rentals and other charges payable thereunder have been paid and stating whether to
Landlord's knowledge Trustor is in default in the performance of any covenants, agreements or conditions contained in the Ground Lease and, if so, specifying each such default. 

        2.05    Improvements, Compliance with Laws and Waste.    Trustor shall complete in a good and workmanlike manner any
building or other improvements which may be constructed on the Property and pay when due all claims for labor performed and materials furnished therefor. Trustor shall comply with all laws, rules,
ordinances, regulations, covenants, conditions, restrictions, easements and agreements pertaining to the Property or Trustor's use thereof. Trustor shall not commit or permit any waste thereon, not
abandon the Property and not commit, suffer or permit any act to be done in or upon the Property in violation of law. 

        2.06    Governmental Requirements.    Trustor shall not by act or omission permit any lands or improvements not
subject to the lien of this Deed of Trust to include the Property or any part thereof in fulfillment of any governmental requirement. Similarly, no lands or other improvements not subject to the lien
of this Deed of Trust shall be included with the Property in fulfillment of any governmental requirement. Trustor shall not by act or omission impair the integrity of the Property as a single zoning
lot separate and apart from all other premises. 

        2.07    Use of Property.    Unless required by applicable law, Trustor shall use and operate the Property in a manner
consistent with the use existing at the time this Deed of Trust was executed. Trustor shall not initiate or acquiesce in any change in any zoning or other land use classification now or hereafter in
effect and affecting the Property or any part thereof nor shall Trustor otherwise change or attempt to change the use of the Property or any portion thereof without in each case obtaining
Beneficiary's prior written consent thereto. 

        2.08    Maintenance of Property.    Trustor will keep and maintain or cause to be kept and maintained the Property in
good order, condition and repair. 

        2.09    Repair and Removal of Property.    Except as otherwise expressly permitted by the Indenture, no building,
structure, fixture or other improvement shall be erected, removed, demolished, or materially changed or altered without the prior written consent of Beneficiary, which consent shall not be
unreasonably withheld. Except as expressly permitted by the Indenture, Trustor will not remove or permit the removal of the Personal Property or any part thereof (including renewals, replacements and
other after-acquired property) from the Real Property without the prior written permission of Beneficiary, which permission shall not be unreasonably withheld, provided that obsolete and worn out
articles may be removed concurrently with the replacement or renewal thereof with property of at least substantially equal value and of substantially equal usefulness in the operation of the Property.
Trustor will promptly notify Beneficiary of any fire or other casualty causing damage to the Property. Trustor will promptly and in good and workmanlike manner repair and restore any improvement which
may be damaged or destroyed. Trustor will promptly replace any lost, stolen, damaged or destroyed Personal Property. 

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        2.10    Costs, Fees and Expenses.    Trustor agrees to pay and discharge all costs, fees and expenses in connection
with this Deed of Trust, including, but not limited to, Beneficiary's and Trustee's costs and expenses, including attorneys' fees, in any litigation with respect hereto, in connection herewith, any
transactions related hereto, the Property or any interest therein and the cost of evidence of title and Trustee's fees in connection with sale, whether completed or not, which amounts shall become due
upon demand by either Beneficiary or Trustee. 

        2.11    Insurance.    So long as the lien of this Deed of Trust shall remain in effect and the obligations shall
remain outstanding, Trustor agrees to maintain policies of insurance protecting the property as required by the Indenture. 

        2.12    Condemnation.    Trustor immediately upon obtaining knowledge of the institution of any proceedings for the
condemnation or other taking of the Property, any part thereof, or any interest therein, will notify Beneficiary of the pendency of such proceedings and Trustor shall appear in and prosecute any such
action or proceeding. Beneficiary may, but shall not be required to, participate in any such proceedings and Trustor from time to time will deliver to Beneficiary all instruments requested by it to
permit such participation. Trustor shall pay all of Beneficiary's costs and expenses, including, but not limited to, attorneys' fees, incurred in any such proceedings. For the purposes hereof, any
proceeding to acquire any interest in or affecting the value of the Property, or seeking damages therefor, including, but not limited to, severance or change of grade, whether by court action or
purchase in lieu thereof, shall be deemed a proceeding for condemnation and any award for inverse condemnation shall be deemed condemnation proceeds. 

        2.13    Condemnation Proceeds.    If all or any part of the Property shall be damaged, diminished in value or taken
through condemnation or eminent domain proceedings, or if a consent settlement is entered or a transfer is made under threat of such proceedings, either temporarily or permanently, then any and all
compensation, awards and other payments or relief therefor to which Trustor is entitled shall be deemed part of the Property and subject to the lien of this Deed of Trust and all such proceeds shall
be paid to the Trustor and distributed in accordance with the Indenture. 

        2.14    Taxes and Other Obligations.    Trustor shall pay when due, before delinquency, all taxes, assessments,
levies, utility fees and all other fees and charges of every kind and nature, whether of a like or different nature, imposed upon or assessed against or which may become a lien on the Property, or any
part thereof, or arising from, by reason of or in connection therewith, the use thereof or this Deed of Trust. In addition, Trustor shall file all required tax forms with the appropriate governmental
authorities on or before the day they become due. Trustor will, within 15 days after the due date therefor, deliver to Beneficiary receipts evidencing payment of taxes, assessments, levies,
fees and charges as required in this Section 2.14. 

        2.15    Reserves for Taxes and Insurance Premiums.    At any time after the occurrence of an Event of Default and if
required by Beneficiary, Trustor shall pay Beneficiary or such depository as Beneficiary may designate on a monthly basis, in addition to the installments payable under the Notes, on the same date as
such installments are due and payable, a sum equal to one-twelfth (1/12) of annual taxes, assessments, levies, fees, charges and insurance premiums required to be paid by
Trustor hereunder. If the amount so paid is not sufficient to pay such taxes, assessments, levies, fees, charges and premiums when due, then Trustor will immediately pay Beneficiary or such
depository, as the case may be, on demand, amounts sufficient to pay the same. Sums deposited by Trustor pursuant hereto may be used to pay such taxes, assessments, levies, fees, charges and insurance
premiums when due provided that Trustor has furnished Beneficiary with all tax statements, premium notices and other such notices at least 30 days prior to the date that any such taxes,
assessments, levies, fees, charges or premiums may be due; provided, however, that Beneficiary may elect to apply the funds deposited with it or such depository in such manner as Beneficiary may deem
desirable, in its sole and absolute discretion. Nothing herein shall impose on Beneficiary or such depository the obligation to pay any amount on 

9

 

account of taxes, assessments, levies, fees, charges or premiums in excess of the amount then deposited with Beneficiary or such depository pursuant hereto. Beneficiary and any depository may
commingle funds deposited hereunder with their general funds and no interest shall accrue or be allowed on any payments made pursuant to this section. Payments or deposits pursuant to this section, if
made, shall not be deemed to be a waiver or release of any other right or remedy available hereunder to Beneficiary in an Event of Default. Transfer of title to the Property shall automatically
transfer the interest of the then Trustor in any deposits made pursuant to this section. 

        2.16    Notice of Actions.    If any action or proceeding shall be instituted for any purpose affecting the Ground
Lease, the leasehold created thereby, the Property, any part thereof, any interest therein, title thereto or this Deed of Trust, or should Trustor receive any notice from any governmental agency
relating to the structure, use or occupancy of the Property, Trustor will immediately upon service thereof on or by Trustor, deliver to Beneficiary true copies of each notice, petition, summons,
complaint, notice of motion, order to show cause, and all other process, pleadings and papers, however designated, served in any action or proceeding. Immediately upon becoming aware of any
development or other information which may materially and adversely affect the property, business, prospects, profits or condition (financial or otherwise) of Trustor or the Property or the ability of
Trustor to perform the obligations secured hereby, Trustor shall notify Beneficiary of the nature of such development or
information and such anticipated effect. Without limiting the generality of the foregoing, Trustor shall promptly notify Beneficiary of any substantial change in the occupancy rate of the Real
Property. 

        2.17    Defense of Actions.    Trustor promises and agrees that if during the existence of this Deed of Trust there be
commenced or pending any suit, action, arbitration, or other proceeding affecting the Ground Lease, the leasehold created thereby or the Property, any part thereof, or in relation thereto, the title
thereto or this Deed of Trust, or if any adverse claim for or against any of the foregoing, or any part thereof, be made or asserted, it will appear in and defend any such matter and will pay all
costs and damages arising because of such proceeding. Beneficiary may elect to appear in any such proceeding. Subject to any applicable Gaming Law, Beneficiary shall have the option to control such
action or defense, whether or not Beneficiary elects to appear. If Beneficiary elects to appear in any such action or proceeding, Beneficiary shall have the right to retain counsel of its choice.
Trustor shall be solely responsible for any and all expenses and costs, including, but not limited to, the fees of counsel retained by Beneficiary, which are incurred pursuant to this section. If
Beneficiary elects to appear in or control any action or proceeding, Trustor agrees to indemnify Beneficiary against, release Beneficiary from, and hold Beneficiary harmless from any damages,
liability, costs, expenses, litigation, or claims incurred in or in connection with such action or appearance or in the exercise of such control, except as a result of Beneficiary's gross negligence
or willful misconduct. 

        2.18    Liens.    Trustor will not permit or suffer the filing of any mechanics', materialmen's, or other liens
against the Property, any part thereof, any interest therein, or the revenue, rents, issues, income and profits arising therefrom. If any lien shall be filed against the Property, any part thereof, or
any interest therein, Trustor agrees to discharge the same of record within 10 days after the same shall have been filed. 

        2.19    Prescriptive Easements and Adverse Possession.    Trustor shall take any and all such action as may be
necessary to prevent any third parties from acquiring any prescriptive easement upon, over, or across any part of the Property, or from acquiring any rights whatsoever to or against the Property by
virtue of adverse possession. 

        2.20    Transfers of the Property.    Any sale, agreement to sell, transfer, assignment, mortgage, pledge,
hypothecation or encumbrance, including, but not limited to, the granting of any option to do any of the foregoing, whether voluntary or involuntary, by agreement, operation of law or otherwise, of
the whole or any portion of Trustor's right, title or interest in and to the Property or any portion thereof shall be in accordance with the terms of the Indenture. 

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        2.21    Lease or License of the Property.    Any lease or license for the use of the Property, or any part thereof,
shall be in accordance with the terms of the Indenture. 

        2.22    Employee Benefit Plans.    Immediately upon becoming aware of the occurrence of any (i) "reportable
event," as such term is defined in Section 4043 of ERISA, or (ii) "prohibited transaction," as such term is defined in Section 4975 of the Internal Revenue Code of 1986, as
amended, in connection with any pension plan or any trust created thereunder, a written notice specifying the nature thereof, what action Trustor is taking or proposes to take with respect thereto,
and, when known, any action taken or proposed to be taken by the Internal Revenue Service and/or the Department of Labor with respect thereto shall be delivered to Beneficiary. Trustor will not at any
time permit any pension plan maintained by it or to which Trustor is a contributing employer to (a) engage in any "prohibited transaction," as such term is defined in Section 4975 of the
Internal Revenue Code of 1986, as amended; (b) incur any "accumulated funding deficiency," as such term is defined in Section 302 of ERISA, whether or not waived; or (c) terminate
any such pension plan in a manner which could result in the imposition of a lien on the Property pursuant to Section 4068 of ERISA. Trustor shall not take any action which will cause or effect
any withdrawal, complete or partial, or any resulting withdrawal liability, with respect to any such plan. Trustor shall promptly pay all contributions to any employee benefit plan to which it is
required to pay. 

        2.23    Performance of the Leases.    Trustor will diligently perform and observe all of the terms, covenants and
conditions of the Leases to be performed and observed by Trustor to the end that all things shall be done which are necessary to keep unimpaired Trustor's rights under the Leases. Trustor will
promptly advise Beneficiary in writing of the giving of any notice by the lessee under any Lease of any default by Trustor in the performance or observance of any of the terms, covenants or conditions
thereof on the part of Trustor to be performed or observed and Trustor will deliver to Beneficiary a true copy of each such notice. Trustor shall enforce, short of termination thereof, the performance
of each and every term, covenant and condition of each such Lease to be performed by the lessee thereunder. Trustor shall execute and deliver such instruments as may be useful or required to permit
Beneficiary to cure any default under the Leases or permit Beneficiary to take such other actions to cure or remedy the matter in default and preserve the interest of Beneficiary in the Leases and the
Property. Trustor will promptly notify Beneficiary in writing of any default by the lessee under any Lease in the performance or observance of any of the terms, covenants or conditions on the part of
said lessee to be performed or observed. Trustor shall not collect any of the rent, income and profits arising or accruing under the Leases more than one month in advance, and in no event prior to the
time when the same become due under the terms thereof. Trustor will not discount any future accruing rents. Trustor shall not execute any other assignments of the Leases or any interest therein or any
of the rents thereunder. Any other provision hereof to the contrary notwithstanding, no lien or other encumbrance may be prior to any Lease (other than the liens pursuant to the Indenture) if the
result of such priority might be to allow such Lease to be terminated without the consent of Beneficiary. 

        2.24    Subordination of Leases.    Trustor acknowledges and agrees that said Leases are and shall be subordinate
hereto and that upon any sale or deed in lieu of sale hereunder such lessees shall attorn to the purchaser or grantee, as the case may be, and recognize the same as lessor under said Leases as fully
as if such purchaser or grantee had been named as lessor under such Leases, but without any claim or offset against such purchaser or grantee for any liability of any previous lessor. Such lessees
shall from time to time during the term hereof, within ten days after demand therefor by Beneficiary, execute and deliver to Beneficiary, or any party designated by Beneficiary, a certificate in
recordable form certifying that attached thereto is a true and correct copy of such lessee's Lease, the term of said lease, the date to which all rentals and other charges have been paid, the amount
of any security deposit, that no rent has been prepaid or discounted, that such Lease is in full force and effect, and that no defaults have occurred thereunder (or specifying the nature of such
defaults). 

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        2.25    Books and Records.    Trustor shall keep and maintain at an office in Las Vegas, Nevada, complete, accurate
and customary records and books of account with respect to all of Trustor's business transactions with respect to the Property and shall retain the same intact throughout the term hereof. Beneficiary
or its representatives shall be entitled at all reasonable times to inspect and make copies and extracts of all such records and books of account, which right of inspection, copying and extracting
shall include the right to remove said records and books of account from Trustor's places of business for reasonable periods of time. 

        2.26    Estoppel Certificate.    Trustor agrees at any time and from time to time during the term hereof and within
ten days after demand therefor from Beneficiary, to execute and deliver to Beneficiary, or any party designated by Beneficiary, a certificate in recordable form certifying the amount then due pursuant
to this Deed of Trust and the obligations secured hereby, the terms of payment thereof, the dates to which payments have been paid, that this Deed of Trust and all instruments and obligations secured
hereby are in full force and effect and that there are no defenses or offsets thereto, or specifying in what regards this Deed of Trust or such obligations are not in full force and effect and the
nature of any defense or offsets thereto, together with such other information as Beneficiary may request. 

        2.27    Conditional Sale Agreements.    Trustor shall pay promptly all installments due others upon leases,
conditional sale agreements and/or security agreements relating to fixtures, furnishings and equipment now or hereafter constituting a portion of the Property. 

        2.28    Security Agreement and Financing Statements.    Trustor shall execute, acknowledge and deliver to Beneficiary,
and, if applicable, cause to be recorded or filed at Trustor's cost and expense, any and all such mortgages, assignments, transfers, assurances, financing statements and other instruments and
documents and do such acts necessary for the better perfecting, assuring, conveying, assigning, transferring and confirming unto Beneficiary the property and rights herein conveyed or assigned or
intended now or hereafter so to be. Unless prohibited by law, Trustor hereby authorizes Beneficiary to execute and file any such financing statements or continuation statements as provided to it on
Trustor's behalf and/or without Trustor's signature. Trustor shall not change its name, identity or corporate structure without notifying Beneficiary at least 60 days in advance. 

        2.29    Indemnification.    Trustor will protect, indemnify, save harmless and defend Beneficiary, Trustee and the
Holders from and against any and all liability, loss, costs, charges, penalties, obligations, expenses, attorneys' fees, litigation, judgments, damages, claims and demands imposed upon or incurred by
or asserted against Beneficiary, the Holders and/or Trustee by reason of (a) ownership by Trustee or Beneficiary of its interest in the Property pursuant to this Deed of Trust, (b) any
accident or injury to or death of persons or loss of or damage to or loss of the use of property occurring on or about the Property or any part thereof or the adjoining sidewalks, curbs, vaults and
vault spaces, if any, streets,
alleys or ways, (c) any use, non-use or condition of the Property or any part thereof or of the adjoining sidewalks, curbs, vaults and vault spaces, if any, streets, alleys or ways,
(d) any failure on the part of Trustor to perform or comply with any of the terms of this Deed of Trust or any instrument or agreement secured hereby, (e) performance of any labor or
services or the furnishing of any materials or other property in respect of the Property or any part thereof made or suffered to be made by or on behalf of Trustor, (f) any negligence or
tortious act on the part of Trustor or any of its respective agents, contractors, lessees, licensees or invitees, or (g) any work in connection with any alterations, changes, new construction
or demolition of the Property, whether or not permitted hereunder. All amounts payable to Beneficiary, Trustee or the Holders, as the case may be, under this Section 2.29 shall be payable on
demand and shall be deemed indebtedness secured by this Deed of Trust. 

        2.30    Subordination.    All obligations of Trustor to any of its affiliates, including, but not limited to, any of
its shareholders, partners or members are hereby subordinated to the obligations secured by this Deed of Trust and such obligations may be paid unless prohibited by the Indenture or upon the
occurrence of a Default or an Event of Default (as defined herein). 

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   ARTICLE III.  

 Assignment of Leases and Rents  

        3.01    Assignment of Leases and Rents.    As additional security for the obligations secured by this Deed of Trust
pursuant to Section 1.02, Trustor hereby absolutely and unconditionally assigns and transfers to Beneficiary, all of Trustor's right, title and interest in the following: 

        (a)  all
leases, subleases, occupancy agreements, licenses, usufructs, rental contracts and other agreements written or oral, now or hereafter existing relating to the use or
occupancy of all or any portion of the Property, together with all guarantees, modifications, extensions and renewals thereof subject to applicable Gaming Laws (collectively, the "Leases"); 

        (b)  any
and all guaranties of the obligations of the tenants (the "Tenants") under any of such Leases; and 

        (c)  subject
to the provisions of Section 3.03 below, the immediate and continuing right to collect and receive all of the rents, income, receipts, revenues, issues
and profits now due or that may become due or to which Trustor may now or shall hereafter (whether during any applicable period of redemption, or otherwise) become entitled or may demand or claim,
arising or issuing from or out of the Leases, or from or out of the Property or any part thereof, subject to applicable Gaming Laws (collectively, the "Rents"). 

        3.02    Rights of Beneficiary.    Subject to the provisions of Section 3.03 below, Beneficiary shall have the
right, power and authority (but not the obligation) to: (a) notify any person that the Leases have been assigned to Beneficiary and that all Rents are to be paid directly to Beneficiary,
whether or not Beneficiary has commenced or completed foreclosure or taken possession of the Property; (b) settle, compromise, release, extend the time of payment of, and make allowances,
adjustments and discounts of any Rents or other obligations under the Leases; (c) enforce payment of Rents and other rights
under the Leases, prosecute any action or proceeding, and defend against any claim with respect to Rents and Leases; (d) without regard to the adequacy of Beneficiary's security, enter upon but
not take possession of the Property, or take possession of and operate the Property; (e) lease all or any part of the Property; and/or (f) perform any and all obligations of Trustor
under the Leases and exercise any and all rights of Trustor therein contained to the full extent of Trustor's rights and obligations thereunder, with or without the bringing of any action or the
appointment of a receiver, and any other rights and remedies under any applicable Nevada laws; provided, however, that the acceptance by Beneficiary of this Deed of Trust, with all of the rights,
power, privileges, and authority created, will not, prior to entry on and taking of possession of the Property by Beneficiary, be deemed or construed to make Beneficiary a
mortgagee-in-possession, nor in any event obligate Beneficiary to appear in or defend any action or proceeding relating to the Leases. Trustor shall deliver a copy of this Deed
of Trust to each Tenant under a Lease and to each manager and managing agent or operator of the Property. Trustor irrevocably directs any Tenant, manager, managing agent, or operator of the Property,
without any requirement for notice to or consent by Trustor, to comply with all demands of Beneficiary under this Deed of Trust and to turn over to Beneficiary on demand all Rents which it receives. 

        3.03    Trustor's Limited License.    Provided that no Default or Event of Default (as defined herein) has occurred
and is continuing, Trustor shall have the right under a license granted hereby and Beneficiary hereby grants to Trustor a license to collect, but not more than one month in advance (except as regards
security and similar deposits and payments of last months' rentals), all of the Rents arising from or out of the Leases or any renewals or extensions thereof, or from or out of the Property or any
part thereof. After the occurrence and during the continuance of an Event of Default, Beneficiary shall have the right, but not the obligation, to use and apply any Rents received hereunder in
accordance with this Deed of Trust and the Indenture, and Trustor irrevocably waives the right to direct the application of any and all payments at any time or times thereafter received by the 

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Beneficiary from or on behalf of Trustor, and Trustor hereby irrevocably agrees that the Beneficiary shall have the continuing exclusive right to apply and to reapply any and all payments received at
any time or times after the occurrence and during the continuance of an Event of Default against the obligations in accordance with this Deed of Trust and the Indenture. If an Event of Default occurs
and is continuing, and without the necessity of Beneficiary entering upon and taking and maintaining full control of the Property (by agent, court appointed receiver or otherwise), the license granted
hereby shall be deemed revoked and the license shall immediately be revocable by Beneficiary upon which revocation Beneficiary will be entitled to immediate possession of all rents and revenues
generated by the Property. 

        3.04    Trustor's Obligations.    Trustor represents and warrants that, as of the date hereof, it occupies the
Property, and there are no Leases in effect with respect to the Property except for unrecorded month-to-month leases and as expressly set forth on  Schedule 1 hereto. With respect to any Leases
entered into after the date hereof, Trustor shall, in addition to any other obligations of Trustor
provided for herein with respect to such Leases, at its sole cost and expense: (i) cause all tenant improvements to be constructed in a workmanlike manner and in accordance with all applicable
laws, ordinances, rules and regulations; (ii) to the extent that Trustor is no longer in occupancy of any material portion of the Property, use reasonable efforts to keep such unoccupied
portions of the Property leased at all times to lessees which Trustor reasonably and in good faith believes are creditworthy at rents not less than the fair market rental value (including, but not
limited to, free or discounted rents to the extent the market so requires); (iii) appear in and defend any action or proceeding arising under, growing out of or in any manner connected with the
Leases or the
obligations, duties or liabilities of the landlord or of any lessees thereunder; (iv) promptly execute (and use reasonable efforts to cause all necessary third parties to execute) and record
any additional assignments of landlord's interest under any Lease to Beneficiary and specific subordinations of any Lease to this Deed of Trust; and (v) furnish Beneficiary a written statement
containing the names of all lessees and the terms of all Leases, including the spaces occupied and the rentals payable thereunder. 

        3.05    Limitation.    The acceptance by Beneficiary of the assignment provided in this Article III, together
with all of the rights, powers, privileges and authority created in this Article III or elsewhere in this Deed of Trust, shall not, prior to entry upon and taking possession of the Property by
Beneficiary be deemed or construed to constitute Beneficiary a "mortgagee in possession" or to obligate Beneficiary to appear in or defend any action or proceeding relating to the Leases, the Rents or
the Property or to take any action hereunder or to expend any money or incur any expenses or perform or discharge any obligation or responsibility for any security deposits or other deposits delivered
to Trustor by any Tenant and not assigned and delivered to Beneficiary, nor shall Beneficiary be liable in any way for any injury or damage to person or property sustained by any person or persons,
firm or corporation in or about the Property. 

        3.06    Right of Subordination.    Notice is hereby given to each Tenant under a Lease of such right to subordinate.
No subordination referred to in this Section shall constitute a subordination to any lien or other encumbrance, whenever arising, or improve the right of any junior lienholder. Nothing herein shall be
construed as subordinating this Deed of Trust to any Lease. 

ARTICLE IV.  

 Trustee's and Beneficiary's Rights  

        4.01    No Waiver or Release of any Event of Default or any Provisions, Covenants and Conditions.    The waiver or
release by Beneficiary or Trustee of any Default or Event of Default or of any of the provisions, covenants and conditions hereof on the part of Trustor to be kept and performed shall not be a waiver
or release of any preceding or subsequent breach of the same or any other provision, covenant or condition contained herein. The subsequent acceptance of any sum in payment of any 

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indebtedness secured hereby or any other payment hereunder by Trustor to Beneficiary or Trustee shall not be construed to be a waiver or release of any preceding breach by Trustor of any provision,
covenant or condition of this Deed of Trust other than the failure of Trustor to pay the particular sum so accepted, regardless of Beneficiary's or Trustee's knowledge of such preceding breach at the
time of acceptance of such payment. No payment by Trustor or receipt by Beneficiary of a lesser amount than the amount herein provided shall be deemed to be other than on account of the earliest sums
due and payable hereunder, nor shall any endorsement or statement on any check or any letter accompanying
any check or payment be deemed an accord and satisfaction, and Beneficiary may accept any check or payment without prejudice to Beneficiary's right to recover the balance of such sum or pursue any
other remedy provided in this Deed of Trust. The consent by Beneficiary or Trustee to any matter or event requiring such consent shall not constitute a waiver of the necessity for such consent to any
subsequent matter or event. 

        4.02    Bankruptcy Petition Filing.    Notwithstanding the right otherwise provided to Trustor to collect rent and
other payments pursuant to the Leases while Trustor is not in default under the Notes or this Deed of Trust, if there is filed any petition in bankruptcy by or against any lessee under any of the
Leases or there is appointed a receiver or trustee to take possession of all or a substantial portion of the assets of such lessee or there is a general assignment by such lessee for the benefit of
creditors, or any action is taken by or against such lessee under any state or federal insolvency law or bankruptcy act, or any similar law now or hereafter in effect, Beneficiary is appointed a
creditor of such lessee and is entitled to recover on any claim or right of recovery that Trustor may have against such lessee or its receiver or trustee; provided, however, that Beneficiary shall not
be obligated to pursue any such claim or right of recovery. 

        4.03    Right of Entry.    Beneficiary may make or cause to be made reasonable entries upon and inspection of the
Property. 

        4.04    Successor Trustees.    Beneficiary may, at any time, by instrument in writing, appoint a successor or
successors to the Trustee named herein or acting hereunder, which instrument, executed and acknowledged by Beneficiary, and recorded in the Office of the County Recorder, Clark County, Nevada, shall
be conclusive proof of the proper substitution of such successor trustee, who shall have all the estate, powers, duties and trusts in the premises vested in or conferred on the original trustee. If
there be more than one trustee, either may act alone and execute these trusts upon the request of Beneficiary and his acts shall be deemed to be the acts of all trustees, and the recital in any
conveyance executed by such sole trustee of such requests shall be conclusive evidence thereof, and of the authority of such sole trustee to act. 

        4.05    Releases, Modifications and Waivers.    Without affecting the liability of Trustor or any other person or
entity, except any person or entity expressly released in writing, for payment of any indebtedness secured hereby or for performance of any of the obligations or any of the terms, covenants and
conditions hereof, and without affecting the rights of Trustee and Beneficiary with respect to any security not expressly released in writing, at any time and from time to time, without notice or
consent other than consent of Beneficiary, Trustee and/or Beneficiary may: 

        (a)  Release
any person or entity liable for payment of all or any part of the indebtedness or for the performance of any obligation; 

        (b)  Make
any agreement extending the time or otherwise altering the terms of payment of all or any part of said indebtedness or modifying or waiving any obligation or
subordinating, modifying or otherwise dealing with the lien or charge hereof; 

        (c)  Exercise
or refrain from exercising or waive any right either of them may have; 

        (d)  Accept
additional security of any kind; and, 

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        (e)  Release
or otherwise deal with any property, real or personal, securing the obligations secured hereby. 

        4.06    Attorney-In-Fact.    If Trustor fails to execute, acknowledge or deliver to
Beneficiary any and all mortgages, assignments, transfers, assurances, financing statements, maps, and other instruments or documents required to be so executed, acknowledged or delivered hereunder,
within 15 days after Beneficiary's demand or such lesser period as may be provided elsewhere herein, then Trustor hereby appoints Beneficiary as Trustor's true and lawful
attorney-in-fact to act in Trustor's name, place and stead to execute, acknowledge and deliver the same. 

        4.07    Payment of Trustor's Obligations.    Whenever under any provision of this Deed of Trust Trustor shall be
obligated to make any payment or expenditure, or to do any act or thing, or to incur any liability whatsoever, and Trustor fails, refuses or neglects to perform as herein required, Beneficiary shall
be entitled, but shall not be obligated, to make any such payment or expenditure or to do any such act or thing, or to incur any such liability, all on behalf of and at the cost and for the account of
Trustor. In such event, the amount thereof shall be paid by Trustor on demand of Beneficiary. Such amount shall be added to the principal balance due under the Notes and shall accrue interest thereon
in accordance with the terms of the Indenture. Without limiting the generality of the foregoing, any act or payment by Beneficiary to cure, forestall, prevent or mitigate an Event of Default hereunder
shall be at the sole option of Beneficiary, shall be at the cost of Trustor and shall be reimbursed to Beneficiary as above provided. Beneficiary shall not be bound to inquire into the validity of any
apparent or threatened tax, assessment, adverse title, lien, encumbrance, claim, or charge before making an advance for the purpose of preventing, removing or paying the same. Beneficiary shall be
subrogated to all rights, equities and liens discharged by any such expenditure. All funds advanced by Beneficiary pursuant to this Section 4.07 or any other provision of this Deed of Trust for
the performance of any obligation of Trustor or to protect Beneficiary's security shall be deemed obligatory advances regardless of the person or entity to whom such funds are furnished and such
advances, together with interest thereon, shall be secured by this Deed of Trust. 

ARTICLE V.  

 Default and Remedies  

        5.01    Events of Default.    As used in this Deed of Trust, each of the following events shall constitute an "Event
of Default" hereunder: 

        (a)  Any
default in the performance of any term, covenant or condition contained herein and such event or circumstance, if capable of being cured, is not cured within
35 days after written notice thereof is given by Trustee or Beneficiary to Trustor; or 

        (b)  The
occurrence of any "Event of Default" under the terms of the Indenture or any other Loan Document. 

        All
notice and cure periods provided herein, in the Indenture or in any other Loan Document shall run concurrently with any notice or cure periods provided by law. Without limiting the
foregoing, Beneficiary or the Trustee shall be entitled to cause a notice of breach and election to sell to be recorded and mailed if any event occurs which, with the giving of notice and/or passage
of time, would constitute an Event of Default hereunder or thereunder or would entitle Beneficiary to accelerate the indebtedness secured hereby and the recording and mailing to Trustor of such notice
of breach and election to sell shall constitute notice of a failure to perform pursuant hereto or thereto. 

        5.02    Rights and Remedies.    

        (a)  At
any time after the occurrence of a Default or an Event of Default, Beneficiary may exercise any and all of its rights provided hereunder, under the Indenture or
applicable law, subject to 

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applicable Gaming Laws. Without limiting the generality of the foregoing, any Personal Property may, at the sole and absolute option of Beneficiary, (i) be sold hereunder, (ii) be sold
pursuant to the Uniform Commercial Code of the State of Nevada, or (iii) be dealt with by Beneficiary in any other manner provided by statute, law or equity. Without limiting the foregoing,
Beneficiary may require Trustor to assemble the Personal Property and make it available to Beneficiary at a place to be designated by Beneficiary. At any time after the occurrence of a Default or an
Event of Default, Beneficiary shall be the attorney-in-fact of Trustor with respect to any and all matters pertaining to the Property with full power and authority to give
instructions with respect to the collection and remittance
of payments, to endorse checks, to enforce the rights and remedies of Trustor, and to execute on behalf of Trustor and in Trustor's name any instruction, agreement or other writing required therefor.
This power shall be irrevocable and deemed to be a power coupled with an interest. Beneficiary may, in its sole discretion, appoint Trustee as the agent of Beneficiary for the purpose of disposition
of the Personal Property in accordance with the Uniform Commercial Code. Trustor acknowledges and agrees that a disposition of the Personal Property in accordance with Beneficiary's rights and
remedies in respect to real property as hereinabove provided is a commercially reasonable disposition thereof. 

        (b)  At
any time after the occurrence of an Event of Default, Beneficiary may, to the full extent permitted by law, including any applicable Gaming Law, in addition to all
other rights and remedies, forthwith after any such Event of Default, enter upon and take possession of the Property, complete any buildings or other improvements under construction, construct new
improvements and make modifications to and/or demolish any of the foregoing. In connection therewith Beneficiary shall have the power to file any and all notices and obtain any and all necessary
permits and licenses, including, but not limited to, the filing of notices of completion and the obtaining of certificates of occupancy. Beneficiary shall also have the right but not the obligation to
receive all of the rents, issues and profits of the Property, overdue, due or to become due, and to apply the same, after payment of all necessary charges and expenses, including attorneys' fees, on
account of the indebtedness secured hereby. Beneficiary may do any and all of the foregoing in its own name or in the name of Trustor and Trustor hereby irrevocably appoints Beneficiary as its
attorney-in-fact for such purposes. Beneficiary may also, at any time after such default, apply to any court of competent jurisdiction for the appointment of a receiver and
Trustor agrees that such appointment shall be made upon a prima facie showing of a claimed Event of Default without reference to any offsets or defenses against such Event of Default and without
regard to whether any portion of the Property is in danger of being lost, removed, injured or destroyed or of waste, whether income from the Property is in danger of being lost or whether the Property
is or may become insufficient to discharge the obligations secured by this Deed of Trust. Such receiver shall have all the rights and powers provided Beneficiary pursuant to this section or otherwise
provided hereunder or by law. Said receiver may borrow monies and issue certificates therefor. Said certificates shall be a lien on the Property subordinate only to this Deed of Trust and the Leases;
provided, however, that should any of said certificates be acquired by Beneficiary the amount thereof shall constitute additional indebtedness secured hereby. Such receiver may lease all or any
portion of the Property on such terms and for such a term (which may extend beyond the terms of such receiver's appointment and/or, if Beneficiary so consents, sale of the Property hereunder) as such
receiver may deem appropriate in its sole and absolute discretion. The entering upon and taking possession of the Property pursuant to this section and the collection of the rents, issues and profits
therefrom shall not cure or waive any Event of Default or notice thereof hereunder or invalidate any act of Beneficiary pursuant thereto. 

        (c)  Should
default be made by Trustor in payment or performance of any indebtedness or other obligation or agreement secured hereby and/or in performance of any agreement
herein, or should an Event of Default otherwise occur hereunder, Beneficiary may, subject to NRS § 107.080, declare all sums secured hereby immediately due by delivery to Trustee of a
written notice of breach and election to sell (which notice Trustee shall cause to be recorded and mailed as required by law). 

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        (d)  After
three months shall have elapsed following recordation of any such notice of breach, Trustee shall sell the property subject hereto at such time and at such place
in the State of Nevada as Trustee, in its sole discretion, shall deem best to accomplish the objects of these trusts, having first given notice of such sale as then required by law. In the conduct of
any such sale Trustee may act itself or through any auctioneer, agent or attorney. The place of sale may be either in the county in which the property to be sold, or any part thereof, is situated, or
at an office of the Trustee located in the State of Nevada. 

          (i)  Upon
the request of Beneficiary or if required by law Trustee shall postpone sale of all or any portion of said property or interest therein by public announcement at
the time fixed by said notice of sale, and shall thereafter postpone said sale from time to time by public announcement at the time previously appointed. 

        (ii)  At
the time of sale so fixed, Trustee shall sell the property so advertised or any part thereof or interest therein either as a whole or in separate parcels, to the
highest bidder for cash in lawful money of the United States, payable at time of sale, and shall deliver to such purchaser a deed or deeds or other appropriate instruments conveying the property so
sold, but without covenant or warranty, express or implied. Beneficiary and Trustee may bid and purchase at such sale. To the extent of the indebtedness secured hereby, Beneficiary need not bid for
cash at any sale of all or any portion of the Property pursuant hereto, but the amount of any successful bid by Beneficiary shall be applied in reduction of said indebtedness. Trustor hereby agrees,
if it is then still in possession, to surrender, immediately and without demand, possession of said property to any purchaser. 

        (e)  Trustee
shall apply the proceeds of any such sale to payment of expenses of sale and all charges and expenses of Trustee and of these trusts, including cost of evidence
of title and Trustee's fee in connection with sale; all sums expended under the terms hereof, not then repaid, with accrued interest in accordance with the terms of the Indenture; all other sums then
secured hereby, and the remainder, if any, to the person or persons legally entitled thereto. 

        (f)    Beneficiary,
from time to time before Trustee's sale, may rescind any notice of breach and election to sell by executing, delivering and causing Trustee to record a
written notice of such rescission. The exercise by Beneficiary of such right of rescission shall not constitute a waiver of any breach or default then existing or subsequently occurring, or impair the
right of Beneficiary to execute and deliver to Trustee, as above provided, other notices of breach and election to sell, nor otherwise affect any term, covenant or condition hereof or under any
obligation secured hereby, or any of the rights, obligations or remedies of the parties thereunder. 

        (g)  Notwithstanding
any other provision of this Deed of Trust, to the extent required under applicable law, the consummation of the transactions contemplated hereby and the
exercise of remedies hereunder may be subject to applicable Gaming Laws, as amended from time to time. Due to various legal restrictions, including, without limitation, licensing of operators of
gaming facilities and prior approval of the sale or disposition of assets of a licensed gaming operation, the sale of collateral consisting of gaming equipment may be denied by the relevant Gaming
Authorities or delayed pending Gaming Authority approval. 

        5.03    Leases.    The collection of Rents and the application thereof by Beneficiary or any receiver obtained by
Beneficiary shall not cure or waive any Event of Default or notice thereof, or invalidate any act of Beneficiary pursuant thereto. In the exercise of the powers herein granted Beneficiary, Beneficiary
shall not be deemed to have affirmed any Lease or subordinated the lien hereof thereto nor shall any liability be asserted or enforced against Beneficiary, all such liability being hereby expressly
waived and released by Trustor. Neither Beneficiary nor any receiver shall be obligated to perform or discharge any obligation, duty or liability under any Lease or under or by reason of the
assignment contained in this Deed of Trust and Trustor shall and does hereby agree to protect, 

18

 

indemnify, save harmless and defend Beneficiary and such receiver from and against any and all liability, loss, costs, charges, penalties, obligations, expenses, attorneys' fees, litigation,
judgments, damages, claims and demands which they may or might incur by reason of, arising from, or in connection with the Leases, such assignment, any alleged obligations or undertakings on their
part to perform or discharge any of the terms, covenants or agreements contained in the Leases, any alleged affirmation of or subordination to the Leases, or any action taken by Beneficiary or such
receiver pursuant to any provision of this Deed of Trust. Without limiting the generality of the foregoing, no security deposited by the lessee with the lessor under the terms of any Lease hereby
assigned has been transferred to Beneficiary, and Beneficiary assumes no liability for any security so deposited. 

ARTICLE VI.  

 Miscellaneous  

        6.01    Reconveyance of Property.    Upon receipt of a written request from Beneficiary reciting that all sums and
obligations secured hereby have been paid and/or performed, and upon payment of its fees, Trustee shall reconvey without warranty the property then held hereunder. The recitals in such reconveyance of
any matters of fact shall be conclusive proof of the truth thereof. The grantee in such reconveyance may be described in general terms as "the person or persons legally entitled thereto." 

        6.02    Waiver and Release.    Trustor, for itself and for all persons hereafter claiming through or under it or who
may at any time hereafter become holders of liens junior to the lien of this Deed of Trust, hereby expressly waives and releases all rights to direct the order in which any of the Property or any
interest therein shall be sold in the event of any sale or sales pursuant hereto and to have any of the Property and/or any other property now or hereafter constituting security for any of the
indebtedness secured hereby or any interest therein marshaled upon any sale under this Deed of Trust or of any other security for any of said indebtedness. 

        6.03    Further Assurances.    Trustor shall, upon demand by Beneficiary or Trustee, or otherwise necessary, execute,
acknowledge (if appropriate) and deliver any and all documents and instruments and do or cause to be done all further acts reasonably necessary or appropriate to effectuate the provisions hereof. 

        6.04    Usury Savings Clause.    Nothing contained herein or in the Loan Documents shall be deemed to require the
payment of interest or other charges by Trustor in excess of the amounts that may be lawfully charged to the Trustor pursuant to the Loan Documents or under the applicable usury laws. In the event
Beneficiary shall collect monies which are deemed to constitute interest which would increase the effective interest rate to a rate in excess of that permitted to be charged by applicable law, all
such sums deemed to constitute interest in excess of the legal rate shall, upon such determination, at the option of Beneficiary, be returned to Trustor or credited against the principal balance of
any obligation secured hereby then outstanding. 

        6.05    No Liability for Clean-up of Hazardous Materials.    In the event that the Beneficiary is required
to acquire title to an asset for any reason, or take any managerial action of any kind in regard thereto, in order to carry out any fiduciary or trust obligation for the benefit of another, which in
the Beneficiary's sole discretion may cause the Beneficiary to be considered an "owner or operator" under the provisions of the Comprehensive Environmental Response, Compensation and Liability Act
(CERCLA), 42 U.S.C. §9601. et seq., or otherwise cause the Beneficiary to incur liability under CERCLA or any other federal, state or local
law, the Beneficiary reserves the right to, instead of taking such action, either resign as Beneficiary or arrange for the transfer of the title or control of the asset to a court appointed receiver. 

        The
Beneficiary shall not be liable to the Trustor or the Holders or any other person for any environmental claims or contribution actions under any federal, state or local law, rule or
regulation by 

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reason of the Beneficiary's actions and conduct as authorized, empowered and directed hereunder or relating to the discharge, release or threatened release of hazardous materials into the
environment. 

        6.06    Notices.    Any and all notices and demands to Trustor, Trustee or to Beneficiary, required or desired to be
given hereunder shall be in writing and shall be given by deposit in the United States mail, certified or registered, postage prepaid, return receipt requested or if made by Federal Express or other
similar delivery service keeping records of deliveries and attempted deliveries or made by telecopy. Service by United States Mail or by Federal Express or other similar delivery service shall be
conclusively deemed made on the first business day delivery is attempted or upon receipt, whichever is sooner; provided, however, that service of any notice of breach or notice of sale as required by
law will, if mailed, be effective on the date of mailing. Facsimile transmissions received during business hours during a business day shall be deemed received on such business day. Facsimile
transmissions received at any other time shall be deemed received on the next business day. 

        Any
notice or demand to Beneficiary shall be addressed to Beneficiary at: 

The
Bank of New York

101 Barclay Street

New York, NY 10286

Telecopier No.: (212) 815-5915

Attention: Corporate Trust Administration 

        Any
notice or demand to Trustee shall be addressed to Trustee at: 

National
Title Co.

714 East Sahara Avenue

Las Vegas, Nevada 89104

Telecopier No.: (702) 737-9255 

        Any
notice or demand to Trustor shall be addressed to Trustor at: 

E-T-T, Inc.

3440 West Russell Road

Las Vegas, Nevada 89118

Telecopier No.: (702) 740-4630

Attention: Mary E. Higgins 

        With
a copy to: 

Kummer
Kaempfer Bonner & Renshaw

3800 Howard Hughes Parkway

Seventh Floor

Las Vegas, Nevada 89109

Telecopier No.: (702) 796-7181

Attention: John N. Brewer, Esq. 

Any
party hereto may change its address for the purpose of receiving notices or demands as herein provided by a written notice given in the manner aforesaid to the other party hereto, which notice of
change of address shall not become effective, however, until the actual receipt thereof by the other party. Whenever any law requires Beneficiary to give reasonable notice of any act, election, or
event, or proposed act, election, or event, said requirement shall be deemed complied with if Beneficiary gives Trustor ten (10) days written notice as herein provided. Information concerning
the security interest may be obtained from Beneficiary at the above address. 

        6.07    Successors in Interest.    This Deed of Trust applies to, inures to the benefit of, and binds all parties
hereto, their heirs, legatees, devisees, administrators, executors, successors and assigns. 

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        6.08    Public Record.    Trustee accepts these trusts when this Deed of Trust, duly executed and acknowledged, is
made a public record as provided by law. 

        6.09    Action by Trustor.    Where any provision in this Deed of Trust refers to action to be taken by Trustor, or
which Trustor is prohibited from taking, such provision shall be applicable whether such action is taken directly or indirectly by Trustor. 

        6.10    Severability.    If any term, provision, covenant or condition of this Deed of Trust, or any application
thereof, should be held by a court of competent jurisdiction to be invalid, void, or unenforceable, all provisions, covenants and conditions of this Deed of Trust and all applications thereof not held
invalid, void or unenforceable, shall continue in full force and effect and shall in no way be affected, impaired or invalidated thereby. If the lien of this Deed of Trust is invalid or unenforceable
as to any part of the Property, or if the lien is invalid or unenforceable as to any part of the indebtedness secured hereby, the unsecured or partially unsecured portion of such indebtedness shall be
completely paid prior to the payment of the remaining and secured or partially secured portion of such indebtedness, and all payments made on such indebtedness, whether voluntary or under foreclosure
or other enforcement action or procedure, shall be considered to have been first paid on and applied to the full payment of that portion of such indebtedness which is not secured or fully secured by
the lien of this Deed of Trust. 

        6.11    Joint and Several Liability.    In the event that Trustor shall consist of more than one person, firm or
corporation, then and in such event all of such persons, firms or corporations shall be jointly and severally liable hereunder. 

        6.12    Governing Law.    The laws of the State of Nevada shall govern the validity, construction, performance and
effect of this Deed of Trust. 

        6.13    Construction.    This Deed of Trust shall be construed in accordance with its intent and without regard to any
presumption or other rule requiring construction against the party causing the same to be drafted. 

        6.14    Remedies Cumulative.    The various rights, options, elections and remedies of Beneficiary and Trustee
hereunder shall be cumulative and no one of them shall be construed as exclusive of any other, or of any right, option, election or remedy provided in any agreement or by law. 

        6.15    Time.    Time is of the essence of this Deed of Trust and all of the terms, provisions, covenants and
conditions hereof. 

        6.16    Consent of Beneficiary.    Whenever any provision of this Deed of Trust requires Beneficiary's consent or
approval, unless otherwise specifically provided, the same may be granted or withheld by Beneficiary in its sole and absolute discretion. 

        6.17    Context, Interpretation and Headings.    In this Deed of Trust, whenever the context so requires any gender
includes the others, and the singular number includes the plural, and vice-versa, the term Beneficiary shall include any future trustee under the Indenture, and the term Trustor shall mean
the original signator hereof, the successors and assigns thereof and any future owners of any interest in the Property or any portion thereof. In the event the ownership of all or any portion of such
property becomes vested in a person other than the signator hereof, Beneficiary may, without notice to such signator, deal with such successor or successors with reference to this Deed of Trust and to
the indebtedness hereby secured in the same manner as with the signator, without in any way vitiating or discharging such signator's liability hereunder or upon the indebtedness hereby secured. In
this Deed of Trust, the use of words such as "including" or "such as" shall not be deemed to limit the generality of the term or clause to which they have reference, whether or not
non-limiting language (such as "without limitation," or "but not limited to," or words of similar import) is used with reference thereto, but rather shall be deemed to refer to all other
items or matters that could 

21

 

reasonably fall within the broadest possible scope of such general statement, term or matter. The captions and headings appearing at the commencement of the sections, paragraphs and subdivisions
hereof are descriptive only and for convenience in reference to this Deed of Trust and in no way whatsoever define, limit or describe the scope or intent of this Deed of Trust, nor in any way affect
this Deed of Trust. 

        6.18    Effect of NRS § 107.030.    Where not inconsistent with the above, the following covenants, Nos.
1; 2 (full replacement value); 3; 4 (as determined in accordance with the Indenture); 5; 6; 7 (a reasonable percentage); 8 and 9 of NRS § 107.030 are hereby adopted and made a part of this
Deed of Trust. 

        6.19    Rights of Beneficiary.    In acting hereunder, Beneficiary is entitled to all rights, privileges, benefits,
protections, immunities and indemnities accorded to it under the Indenture. 

[signature page to follow]

22

   
        IN WITNESS WHEREOF, Trustor has executed this Deed of Trust the day and year first above written. 

	 	 	TRUSTOR:
	

 	
 	

E-T-T, Inc.
	

 	
 	

By:	
 	

/s/  EDWARD J. HERBST      

	 	 	Name:	 	Edward J. Herbst

	 	 	Title:	 	President

S-1

 

	STATE OF NEVADA	 	)
	 	 	) ss.
	COUNTY OF CLARK	 	)

        This
instrument was acknowledged before me on February 7, 2003 by Edward J. Herbst as President of E-T-T, Inc. 

	 	 	/s/  JANICE R. DONELSON      
 NOTARY PUBLIC

My Commission Expires 11/20/03
	 	 	 
	/s/  JANICE R. DONELSON      
 Notary Public-Nevada

No. 99-39315-1

My Appt. exp. November 20, 2003	 	 

S-2

  

 
 

Exhibit A    
    
    Legal Description of Real Property    
  

A-1

  

 
 

Exhibit B    
    
    Ground Lease    
  

B-1

  

 
 

Schedule 1    
    
    Permitted Exceptions    
  

S-1

QuickLinks

Exhibit 10.24

LEASEHOLD DEED OF TRUST, ASSIGNMENT OF LEASES AND RENTS, SECURITY AGREEMENT AND FIXTURE FILING

Exhibit A Legal Description of Real Property

Exhibit B Ground Lease

Schedule 1 Permitted Exceptions

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