Document:

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                                                                    EXHIBIT 10.2

                         [NATIONAL CITY BANK LETTERHEAD]

                                January 18, 2000

Bayfront Ventures
3290 Lien Street
Rapid City, SD 57709
Attn.:  Bob Drew

Dear Bob:

                  The National City Bank of Evansville (the "Bank") is pleased
to extend to Bayfront Ventures (the "Borrower") a committed line of credit (the
"Line of Credit"). This letter agreement (the "Loan Agreement") outlines the
terms and conditions pertaining to the Line of Credit.

                  1.  LINE OF CREDIT.

                  (a) The Bank agrees to make loans (the "Advances") to the
Borrower from time to time from the Closing Date to and including the first
anniversary of the closing date, in an aggregate amount not to exceed $500,000
outstanding at any one time. The "Closing Date" is the date, not later than
February 1, 2000, when all of the conditions precedent specified in part A of
Annex I have been met.

                  (b) The Borrower may prepay the Advances from time to time in
whole or in part without premium or penalty. The Borrower may also reborrow
amounts previously prepaid, subject to the provisions of paragraph 1(c).

                  (c) By requesting any Advance, the Borrower shall be deemed to
have represented that all of the conditions precedent specified in part B of
Annex I have been satisfied as of the date of the request. Each Advance must be
in the amount of $5,000 or more. If a written or telephonic request for an
Advance is received on or before 2:00 p.m. Indiana time on a business day, the
requested Advance will be disbursed in such a way as the Bank and the Borrower
may agree or, in the absence of a contrary agreement, by crediting the
Borrower's account number _______________ (the "Business Account") on the same
business day. If a request is received later than 2:00 p.m., the Advance will be
disbursed on the next business day.

                  2.  USE OF PROCEEDS.

                  The proceeds of the Advances made by the Bank under this Loan
Agreement shall be used by the Borrower for the Borrower's general business
purposes.

<PAGE>   2
Bob Drew
January 18, 2000
Page 2

                  3.  THE NOTE.

                  The Borrower's obligation to repay any Advances under the Line
of Credit shall be evidenced by and payable pursuant to the terms of a single
revolving promissory note in the form of Exhibit A (the "Note").

                  4.  COLLATERAL AND GUARANTEES.

                  The papers described below (the "Security Instruments") shall
secure and guarantee repayment of the Advances:

                  o   A guaranty in the form of Exhibit B, whereby Princesa
                      Partners, a Florida general partnership ("Princesa
                      Partners"), shall have guaranteed payment of the
                      Borrower's obligations under this Loan Agreement,
                      including the Borrower's obligation to repay the Advances
                      with interest called for by the Note and pay costs and
                      expenses pursuant to paragraph 10 of this Loan Agreement
                      (collectively the "Obligations").

                  o   A security agreement executed by the Borrower and Princesa
                      Partners, substantially in the form of Exhibit C, and
                      covering the property described therein (the "Security
                      Agreement").

                  o   A ship mortgage of Princesa Partners substantially in the
                      form of Exhibit D, and covering the vessel Princesa,
                      official number 1073261 (the "Ship Mortgage").

                  o   A guaranty in the form of Exhibit E (the "Concorde
                      Guaranty") whereby Concorde Gaming Corporation, a Colorado
                      corporation ("Concorde"), shall have guaranteed payment of
                      the Obligations.

                  5.  PAYMENT.

                  All payments of principal and interest under the Note and of
any amounts payable hereunder shall be made in immediately available funds. In
the event any payment is not received from the Borrower on the date it is due,
the Bank is authorized to debit the Business Account for the amount of such
payment at the close of business on the due date or at any time thereafter.

<PAGE>   3
Bob Drew
January 18, 2000
Page 3

                  6.  REPORTING.

                  So long as the Bank is committed to make Advances or any
Obligations are outstanding, the Borrower will deliver the following information
to the Bank, with such detail and supporting documentation as the Bank may
reasonably request:

                  o   As soon as practicable, and in any event within 45 days
                      after the end of each fiscal quarter commencing with the
                      fiscal quarter ending December 31, 1999, a copy of the
                      financial statements of the Borrower, Princesa Partners
                      and Concorde for such quarter, consisting of their
                      respective balance sheets as at the end of such quarter
                      and their related statements of income for such quarter
                      and for the year-to-date then ended, all prepared in such
                      a manner as to present substantially the same information
                      as would be presented in financial statements prepared in
                      accordance with GAAP.

                  o   As soon as practicable, but in any event within 120 days
                      after the end of each fiscal year of the Borrower,
                      Princesa Partners and Concorde, commencing with the fiscal
                      year ending September 30, 1999, copies of their annual
                      financial statements, consisting of their respective
                      balance sheets as of the end of such year, and their
                      related statements of income for such year, all prepared
                      in accordance with GAAP, and accompanied by the audit
                      report of Concorde prepared by a certified public account
                      reasonably acceptable to the Bank, containing an
                      unqualified opinion thereon, and a copy of such
                      accountant's management letters to the Borrower and
                      Princesa Partners. o Such other financial information
                      concerning the Borrower, Princesa Partners and Concorde as
                      the Bank may reasonably request.

                  7.  SPECIAL COVENANTS.

                  The Borrower will comply with the following special covenants
so long as the Bank is obligated to make Advances or any Obligations are
outstanding:

                  o   The Borrower will pay off the line of credit and not
                      reborrow for one period of at least 30 consecutive days
                      during the term of this Loan Agreement.

                  o   The Borrower will comply with the financial covenants set
                      forth in paragraphs 19(l), (m) and (n) of the Guaranty,
                      Subordination Agreement, Security Agreement and Indemnity
                      made as of October 22, 1998 by the

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Bob Drew
January 18, 2000
Page 4

                      Borrower for the benefit of certain lenders listed therein
                      (the "Prior Agreement"); provided, however, that the
                      Borrower's obligation to comply with such financial
                      covenants shall continue notwithstanding payment of the
                      obligations guaranteed by the Borrowers pursuant to the
                      terms of the prior agreement.

                  o   The Borrower will maintain a depositary account at a
                      financial institution located in Miami Dade County,
                      Florida, and will daily deposit the Gross Cash Receipts in
                      excess of operating cash needs in such account. The
                      Borrower will instruct the depositary institution to
                      transmit all of the funds deposited in such account to the
                      Business Account via automated clearinghouse each day, as
                      soon as such funds are available for withdrawal under such
                      depositary institution's funds availability rules.

                  8.  OTHER COVENANTS.

                  The Borrower will comply with the additional covenants set
forth in Annex II so long as the Borrower has any obligations to the Bank under
this Loan Agreement, whether or not evidenced by the Note.

                  9.  EVENTS OF DEFAULT.

                  Each of the following shall be an "Event of Default"
hereunder:

                  o   The Borrower shall fail to make any payment due under this
                      Loan Agreement or under the Note, and the failure to pay
                      shall continue for a period of ten days after the Bank
                      mails to Borrower written notice of the Borrower's failure
                      to make any payment.

                  o   The Borrower, Princesa Partners or Concorde shall be named
                      a debtor in a petition filed under the U.S. Bankruptcy
                      Code.

                  o   Any representation made by or on behalf of the Borrower in
                      connection with this Loan Agreement or the transactions
                      contemplated hereby shall prove to have been materially
                      false or misleading when made.

                  o   The Borrower shall fail to comply with any covenant
                      contained in this Loan Agreement (except the covenant to
                      pay the principal of and interest on the Note and any
                      amounts due under this Loan Agreement when due), in Annex
                      II or in any Security Instrument, and the Borrower shall
                      fail to cure such breach within the applicable period of
                      grace, if any.

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Bob Drew
January 18, 2000
Page 5

                  o   Princesa Partners or Concorde shall notify the Bank that
                      it repudiates its guaranty.

                  o   An Event of Default, as therein defined, shall occur under
                      any of the Loan Documents defined in paragraph 11(a).

                  Upon or after the occurrence of any Event of Default or event
which, with the giving of notice or passage of time, would be an Event of
Default, the Bank may terminate its commitment to make Advances. Upon the
occurrence of an Event of Default, the Bank may also demand payment in full of
the principal of and interest on the Note and any amounts owing under this Loan
Agreement and commence exercising its remedies under any security instruments.

                  10.  COSTS AND EXPENSES.

                  The Borrower will pay on demand to the Bank all of the costs
and expenses incurred by the Bank in connection with the negotiation, drafting,
execution, administration and enforcement of this Loan Agreement, the Note and
the other instruments to be delivered in connection with this Loan Agreement,
including the reasonable fees and out-of-pocket expenses of counsel with respect
thereto.

                  11.  MISCELLANEOUS.

                  This Loan Agreement and the other documents and instruments to
be delivered to the Bank in connection with this Loan Agreement (the "Loan
Documents") shall be governed by and construed in accordance with the laws of
the state of Indiana.

                  o   No failure of delay on the part of the Bank in exercising
                      any right, power or remedy under the Loan Documents shall
                      operate as a waiver thereof.

                  o   The Loan Documents shall be binding upon and shall inure
                      to the benefit of the Borrower, Princesa Partners,
                      Concorde and the Bank and their respective successors and
                      assigns; provided, however, that the Borrower shall not
                      have the right to assign any rights hereunder without the
                      prior written consent of the Bank.

                  o   This Loan Agreement may not be amended except by a writing
                      signed by both an officer on behalf of the Bank and an
                      authorized representative of the Borrower.

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Bob Drew
January 18, 2000
Page 6

                  o   The Loan Documents take the place of any preliminary
                      discussions between the Bank and the Borrower and
                      supercede any previous written agreements or
                      understandings between the Bank and the Borrower.

                  12.  ACCEPTANCE.

                  The Borrower's signature below indicates its approval of all
of the terms of this Loan Agreement. This Loan Agreement shall become a contract
binding upon the Bank and the Borrower and their respective successors, assigns,
heirs and representatives if it is accepted on or before January 21, 2000, and
if a fee of $3,000 is paid to the Bank by that date. If this Loan Agreement is
not accepted by that date it shall be of no further force or effect.

                                          Very truly yours,

                                          NATIONAL CITY BANK OF EVANSVILLE

                                          By
                                            ------------------------------------
                                            Its Executive Vice President

Enclosures

Accepted and agreed to this
____ day of ______________, 2000.

BAYFRONT VENTURES

By Concorde Cruises, Inc., its General Partner

By
  --------------------------------------------
  Its President

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Bob Drew
January 18, 2000
Page 7

and by

GOLDCOAST ENTERTAINMENT CRUISES, INC., Its General Partner

By
  -------------------------------------
  Its President

<PAGE>   8
                                                                         Annex I

                              CONDITIONS TO LENDING

                                     Part A

- The Bank will not make the first Advance under the Loan Agreement to which
these conditions are annexed (the "Loan Agreement") until the Bank receives the
following items, each in form and substance satisfactory to the Bank:

         1. A duplicate (or counterpart) of the Loan Agreement duly accepted on
behalf of the Borrower.

         2. The Note, duly executed on behalf of the Borrower.

         3. Each Security Instrument described in paragraph 4 of the Loan
Agreement, duly executed on behalf of each party thereto.

         4. Financing statements sufficient, when filed, to perfect the security
interests granted under any security agreements described in paragraph 4 of the
Loan Agreement.

         5. Current searches in all appropriate filing offices showing that (i)
no state or federal tax liens have been filed and remain in effect against the
Borrower; (ii) no financing statements have been filed and remain in effect
against the Borrower except such as the Bank reasonable approves; and (iii) no
liens have been filed and remain in effect against the vessel Princesa, except
the First Preferred Ship Mortgage made as of October 15, 1998, in favor of the
Bank, individually and as agent for certain Lenders.

         6. A certified copy of the resolutions of the General Partners of the
Borrower evidencing approval of the Loan Agreement and the other Loan Documents.

         7. Copies of the Partnership Agreement of the Borrower, certified by a
partner of the Borrower as being true and correct copies thereof.

         8. A signed copy of a certificate of one or more officers of a general
partner of the Borrower which shall certify the names of the persons authorized
to sign the Loan Agreement and the other Loan Documents to be delivered pursuant
to the Loan Agreement and to request Advances under the Loan Agreement.

         9. A signed opinion of counsel for the Borrower addressed to the Bank
(i) to the effect that no litigation is pending or threatened against the
Borrower, except such as has been disclosed to the Bank or is covered by
insurance, (ii) to the effect that the Loan Documents have been duly and validly
authorized, executed and delivered by the Borrower and are enforceable, except
as limited by applicable bankruptcy, insolvency, reorganization,

<PAGE>   9

moratorium or similar laws affecting the enforcement of creditors' rights
generally and except to the extent that general equitable principles may limit
the right to obtain specific performance, and (iii) addressing other matters as
the bank may reasonably request.

         10.      A closing fee of $5,000.00

Part B

         The obligation of the Bank to make each Advance (including the initial
Advance) shall be subject to the further conditions that on the date of such
Advance (a) the representations and warranties made by the Borrower to induce
the Bank to enter into the Loan Agreement are correct on and as of the date of
such Advance as though made on and as of such date, except to the extent that
such representations and warranties related solely to an earlier date; and (b)
no event has occurred and is continuing, or would result from such Advance,
which constitutes an Event of Default.

<PAGE>   10
                                                                        Annex II

                                 OTHER COVENANTS

         The Borrower will comply with the additional covenants set forth below
so long as the Bank has any obligations under the letter agreement to which
these covenants are attached (the "Loan Agreement") or any amount is outstanding
under the Note:

         1. The Borrower will keep accurate books of record and account in which
true and complete entries will be made in accordance with generally accepted
accounting principles consistently applied and, upon request of the Bank, will
give any representative of the Bank access to, and permit such representative to
examine, copy or make extracts from, any and all books, records and documents in
its possession, to inspect any of its properties and to discuss its affairs,
finances and accounts with any of its principal officers, all at such times
during normal business hours and as often as the Bank may reasonably request.

         2. The Borrower will comply with the requirements of applicable laws
and regulations, the non-compliance with which would materially and adversely
affect its business or the financial condition of the Borrower.

         3. The Borrower will pay or discharge before delinquent, (a) all taxes,
assessments and governmental charges levied or imposed upon it or upon its
income or profits, or upon any properties belonging to it, prior to the date on
which penalties attach thereto, (b) all federal, state and local taxes required
to be withheld by it, and (c) all lawful claims for labor, materials and
supplies which, if unpaid, might be law become a lien or charge upon any
properties of the Borrower; provided, that the Borrower shall not be required to
pay any such tax, assessment, charge or claim whose amount, applicability or
validity is being contested in good faith by appropriate proceedings.

         4. The Borrower will keep and maintain all of its properties necessary
or useful in its business in good condition, repair and working order; provided,
however, that nothing in this paragraph shall prevent the Borrower from
discontinuing the operation and maintenance of any of its properties if such
discontinuance is, in the judgment of the Borrower, desirable in the conduct of
its business and not disadvantageous in any material respect to the Bank.

         5. The Borrower will obtain and maintain insurance with insurers
believed by the Borrower to be responsible and reputable, in such amounts and
against such risks, including without limitation, liability insurance, property
and casualty insurance and business interruption insurance, as is usually
carried by companies engaged in similar business and owning similar properties
in the same general areas in which the Borrower operates. The policies of
insurance maintained by the Borrower pursuant to this paragraph shall name the
Bank as loss payee.

         6. The Borrower will preserve and maintain its general partnership
existence and all of its rights, privileges and franchises; provided, however,
that the Borrower shall not be

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required to preserve any of its rights, privileges and franchises if its general
partners shall determine that the preservation thereof is no longer desirable in
the conduct of the business of the Borrower and that the loss thereof is not
disadvantageous in any material respect to the Bank.

         7. Except for a) existing encumbrances of which the Borrower has
advised the Bank in writing, and b) the creation of purchase money security
interests of less than $100,000 in either slot machines or computer equipment,
the Borrower will not, without the prior written consent of the Bank, create,
incur, assume or suffer to exist any mortgage, deed of trust, pledge, lien,
security interest or other charge or encumbrance of any nature on any of its
assets, now owned or hereafter acquired, or assign or otherwise convey any right
to receive income or give its consent of the subordination of any right or claim
of the Borrower to any right or claim of any other person.

         8. The Borrower will not sell, lease, assign, transfer or otherwise
dispose of all or a substantial part of its assets (whether in one transaction
or in a series of transactions) to any other person.

         9. Except for its planned merger with Princesa Partners, the Borrower
will not consolidate with or merge into any person, or permit any other person
to merge into it, or acquire (in a transaction analogous in purpose or effect to
a consolidation or merger) all or substantially all the assets of any other
person.

         10. The Borrower will not adopt, permit or consent to any change in
accounting principles other than as required by GAAP and will not adopt, permit
or consent to any change in its fiscal year.<PAGE>   1
                                                                    EXHIBIT 10.3

                               SECURITY AGREEMENT

                  This Security Agreement is made and given as of this 18th day
of January, 2000, by BAYFRONT VENTURES, a Florida general partnership (the
"Borrower") and PRINCESA PARTNERS, a Florida general partnership ("Princesa") in
favor of National City Bank of Evansville ( the "Lender").

                                    Recitals

                  A. The Lender and the Borrower have entered into a Loan
Agreement of even date herewith (the "Loan Agreement"), pursuant to which the
Lender will make loans to the Borrower from time to time in an aggregate amount
not to exceed $500,000 (the "Loan") outstanding at any one time for the
Borrower's general business purposes. The Loan is to be evidenced by a single
revolving promissory note (together with any renewals, extensions or amendments,
the "Note"). Princesa has guaranteed payment of the Borrower's obligations under
the Loan Agreement and the Note pursuant to a Guaranty of even date herewith
(the "Guaranty"). All capitalized terms used herein, unless otherwise defined
shall have the meaning ascribed to such terms in the Loan Agreement.

                  B. The Borrower and Princesa are and will be the owners of
certain furniture, fixtures and equipment more fully described in Exhibit A
attached hereto (collectively, the "Equipment"), free and clear of any liens or
security interests, except such liens as are permitted by the Loan Agreement and
by Article 3, Section 3.1 of a loan agreement dated October 22, 1998 (the "Prior
Agreement") by and between Princesa and certain lenders including the Lender.

                  C. As security for the repayment of the Loan and Princesa's
obligations under the Guaranty, the Lender has required that the Borrower and
Princesa execute and deliver to the Lender this security agreement (the
"Security Agreement"), granting a security interest to the Lender in, among
other things, the Equipment.

                  D. The Note, the Loan Agreement, the Guaranty, this Security
Agreement and any other instruments or documents given as security for the Loan
are referred to herein as the "Loan Documents".

                  NOW, THEREFORE, in consideration of the foregoing and for
other good and valuable consideration, the receipt and adequacy of which are
hereby acknowledged by the Borrower and Princesa, it is agreed as follows:

                  1. Grant of Security Interest. As security for the payment and
performance of the Note and all other liabilities, obligations and indebtedness
of the Borrower and Princesa to the Lender, due or to become due, direct or
indirect, absolute or contingent, joint or several, howsoever created, arising
or evidenced, now or hereafter at any time created, arising or evidenced under
or pursuant to the Loan Documents (hereinafter collectively referred to as the

<PAGE>   2

"Obligations"), the Borrower and Princesa do hereby transfer, assign and grant
to the Lender, its successors and assigns, a security interest in all of their
rights, title and interest in and to the following (hereinafter collectively
referred to as the "Collateral"), whether now owned or hereafter acquired or
arising:

                  (a) The Equipment; and

                  (b) All improvements, accessions, appurtenances, substitutions
         and replacements to the Equipment, and all insurance proceeds and
         condemnation awards payable therefrom or with respect thereto, together
         with all proceeds and products thereof and all rights thereto.

                  2. The Borrower and Princesa represent, warrant, covenant and
agree:

                  (a) Organization. The Borrower and Princesa are general
         partnerships, duly organized and existing pursuant to their respective
         partnership agreements, and the Borrower and Princesa have full power
         and authority to execute, deliver and perform the Loan Documents and to
         own property and conduct business as presently conducted and as
         proposed to be conducted.

                  (b) Authorization, Etc. The execution, delivery and
         performance of this Security Agreement is duly authorized by all
         necessary action on the part of the Borrower and Princesa and will not
         (i) require any consent or approval of any entity which has not been
         obtained; (ii) to their knowledge after due inquiry, violate any
         provision of law, or (iii) violate any order of any court or other
         agency of government having jurisdiction over the Borrower or Princesa,
         the partnership agreement of the Borrower, the partnership agreement of
         Princesa, or any provision of any indenture, agreement or other
         instrument to which the Borrower or Princesa is a party or by which
         they or any of their properties are bound. This Security Agreement
         constitutes the legal, valid and binding obligation of the Borrower and
         Princesa, enforceable against them in accordance with its terms
         (subject to limitations as to enforceability which might result from
         bankruptcy, insolvency or other similar laws affecting creditors'
         rights generally).

                  (c) Performance by Borrower. Without the Lender's prior
         written consent, neither the Borrower nor Princesa shall:

                           (i) sell, transfer or assign, or offer to sell,
                  transfer or assign, all or any part of the Collateral or
                  permit all or any part of the Collateral to be sold,
                  transferred or assigned;

                           (ii) remove or consent to the removal of any of the
                  Equipment from the vessel Princesa as described in the Ship
                  Mortgage referred to in the Loan Agreement, except as
                  necessary for repair of such Equipment, in the ordinary course
                  of business;

                                      -2-
<PAGE>   3

         unless 1) any such Equipment sold, transferred, assigned or removed is
         promptly replaced with Equipment of at least equal value and utility,
         and the security interest granted pursuant to this Security Agreement
         attaches as a valid security interest in such replacement Equipment, or
         2) the aggregate market value of all collateral sold, transferred,
         assigned or removed and not replaced during the calendar year has not
         exceeded $50,000.

                  (d) Title to Collateral. The Borrower or Princesa, as the case
         may be, has good marketable title to all of the Collateral and none of
         the Collateral is subject to any lien or security interest except for
         the security interest created by this Security Agreement or the Prior
         Agreement, including purchase money security interests in and financing
         leases of equipment (used in the "Facilities" as defined in the Prior
         Agreement) (the "Permitted Liens"). The Borrower and Princesa, other
         than as disclosed, have not granted, and will not grant or permit to
         exist, any lien or security interests in all or a portion of the
         Collateral except Permitted Liens. The Borrower and Princesa shall
         defend the Collateral against all claims and demands of all and any
         other persons at any time claiming any interest therein adverse to the
         Lender except for persons claiming Permitted Liens.

                  (e) Actions and Proceedings. To the best of the Borrower's or
         Princesa's knowledge, there is no action, suit or proceeding at law or
         in equity or by or before any governmental instrumentality or other
         agency now pending or threatened against or affecting the Borrower or
         Princesa which, if adversely determined, would have a material adverse
         effect on the Borrower's or Princesa's interest in the Collateral or
         would adversely affect the rights of the Borrower or Princesa to pledge
         and assign all or a part of the Collateral or the rights and security
         afforded the Lender hereunder.

                  (f) Insurance. The Borrower or Princesa, as the case may be,
         agrees it will keep the Equipment insured at all times in accordance
         with the requirements set forth in Section 6.2 of the Prior Agreement.

                  (g) Costs of Collection. In the event of any action or
         proceeding to collect or realize upon the Collateral or to enforce any
         of the Lender's rights hereunder, the Borrower shall pay all of the
         Lender's reasonable costs and expenses, including without limitation
         attorneys' fees and legal expenses incurred by the Lender, in
         connection with or arising out of such collection or enforcement.

                  (h) Equipment to Remain Personal Property. The Borrower and
         Princesa agree that, regardless of the manner of affixation, the
         Equipment shall remain personal property and shall not become part of
         the vessel Princesa, aboard which it is to be used, nor part of any
         leasehold interest in real estate comprising the Project (as defined in
         the Prior Agreement) or a fixture.

                                      -3-
<PAGE>   4

                  3. Events of Default. It shall be an Event of Default under
this Security Agreement upon the happening of any of the following:

                  (a) an "Event of Default" shall occur and be continuing under
         the Loan Agreement; or

                  (b) failure to comply with or perform in any material respect
         any of the terms, conditions or covenants of this Security Agreement.

                  4. Remedies. Upon an Event of Default, the Lender may declare
all Obligations immediately due and payable, and may, at its option, without
notice, exercise any one or more of the following rights or remedies:

                  (a) either in person or by agent, with or without bringing any
         action or proceeding, or by a receiver to be appointed by a court,
         enforce and exercise all of the powers, rights and privileges of the
         Borrower or Princesa, as the case may be, in respect of rights of
         payment constituting Collateral and all of the powers, rights and
         privileges reserved or granted to the Lender under this Security
         Agreement; and

                  (b) may without demand, advertisement or notice of any kind
         (except such notice as may be required under the applicable Uniform
         Commercial Code (the "Code")) all of which are, to the extent permitted
         by law, hereby expressly waived, lease or dispose of the Collateral by
         public or private sale; and

                  (c) exercise any of the remedies available to a secured party
         under the Code; and

                  (d) proceed to protect and enforce this Security Agreement by
         suits or proceedings or otherwise, for the enforcement of any other
         legal or equity available to the Lender; and

                  (e) take possession of the Collateral.

                  In the event that any notice is required to be given under the
Code such requirements for reasonable notice shall be satisfied by giving at
least ten (10) days' notice prior to the event or thing giving rise to the
requirement of notice. Upon an Event of Default, the Borrower and Princesa shall
make the Collateral available to the Lender at its direction.

                  5. Further Assurances. The Borrower and Princesa, as the case
may be, shall execute and deliver to the Lender, promptly and at the Borrower's
expense or Princesa's, such other documents and assurances and take such further
action as the Lender may reasonably request in order to effectively carry out
the intent and purpose of this Security Agreement and to establish and protect
the rights, interests and remedies of the Lender hereunder. This shall include,

                                      -4-
<PAGE>   5

without limitation, providing Code financing statements and evidence of tax
filings and payments. The Borrower and Princesa agree that the Lender is
authorized, at its option, to file a carbon, photographic or other reproduction
of this Security Agreement as a financing statement, and such shall be
sufficient as a financing statement under the Code, and to file financing
statements or amendments thereto without the signature of the Borrower or
Princesa and, if a signature is required by law, then the Borrower or Princesa,
as the case may be, appoints Lender as their attorney-in-fact solely for the
purpose of executing any such financing statements.

                  6. Cumulative Remedies. All of the Lender's rights and
remedies herein are cumulative and in addition to any rights or remedies
available at law or in equity including the Code, and may be exercised
concurrently or separately. The Borrower shall pay all reasonable costs,
expenses, losses and legal costs (including attorneys' fees) incurred by the
Lender as a result of enforcing any terms or conditions of this Security
Agreement.

                  7. No Liability Imposed on Lender. The Lender shall not be
obligated to perform or discharge, nor does it hereby undertake to perform or
discharge any obligation, duty or liability, nor shall this Security Agreement
operate to place responsibility for the control, care, management or repair of
the Equipment upon the Lender, nor shall it operate to make the Lender
responsible for any dangerous or defective condition of the Equipment.

                  8. Indemnification. The Borrower and Princesa shall and do
hereby agree to indemnify against and to hold the Lender, its respective
officers, agents and employees, harmless of and from any and all liability, loss
or damage which any one or more of them may or might incur under or by reason of
this Security Agreement and of and from any and all claims and demands
whatsoever which may be asserted against any one or more of them by reason of
any alleged obligations or undertakings on their part to perform or discharge
any of the terms, covenants or agreements, excepting the gross negligence or
willful misconduct of Lender, its officers, agents and employees. Should Lender
incur any such liability, should Lender be required to defend against any such
claims or demands or should a judgment be entered against Lender, the amount
thereof, including costs, expenses, and reasonable attorneys' fees, which upon
payment by Lender shall bear interest thereon at the highest Default Rate (as
defined in the Prior Agreement) which would be applicable to any Note upon the
occurrence of an Event of Default under the Loan Agreement, shall be secured
hereby, and shall be added to the Obligations and the Borrower shall reimburse
the Lender for the same immediately upon demand.

                  9. Attorney in Fact. Upon the occurrence of any Event of
Default and at any time during the continuance thereof, the Borrower hereby
irrevocably appoints the Lender and its successors and assigns as its agent and
attorney-in-fact, which appointment shall be irrevocable during the term of this
Agreement, and which appointment is coupled with an interest, to exercise any
rights or remedies hereunder with respect to the Collateral or to endorse any
checks which constitute part of the Collateral.

                                      -5-
<PAGE>   6

                  10. Expenses of Lender. All reasonable expenses in protecting,
storing, warehousing, insuring, handling and shipping of the Collateral, all
costs of keeping the Collateral free of liens, encumbrances and security
interests (other than the security interests created by this Agreement) and the
removing of the same and all excise, property, sales and use taxes imposed by
state, federal or local authority on any of the Collateral or with respect to
the sale thereof, shall be borne and paid for by the Borrower or Princesa, as
the case may be, and if the Borrower fails promptly to pay any amounts thereof
when due, the Lender may, at its option, but shall not be required to, pay the
same, and upon payment, the same shall constitute Obligations and shall bear
interest at the highest interest rate specified in the Note and shall be secured
by the security interests granted hereunder.

                  11. Continuing Rights. The rights and powers of the Lender or
receiver hereunder shall continue and remain in full force and effect until all
Obligations are paid in full.

                  12. Books and Records. The Lender shall have the same rights
to inspect, and the same duties with regards to confidentiality of, the
Borrower's books and records with respect to the Collateral, as are provided in
the Loan Agreement. The Lender shall have the authority, at any time, to require
the Borrower or Princesa as the case may be to place upon the Borrower's or
Princesa's books and records relating to the Collateral and other rights to
payment covered by the security interest created in this Security Agreement
hereby a notation stating that any such Collateral and other rights of payment
are subject to a security interest in favor of the Lender.

                  13. Principal Place of Business. The location of the principal
places of business of the Borrower and Princesa are set forth on the signature
page and will not be changed without thirty (30) days' prior written notice to
the Lender. The Borrower and Princesa represent that their respective books and
records concerning their respective accounts and chattel paper are located at
such address.

                  14. Name of Borrower. The Borrower's and Princesa's true names
are as set forth in the preamble hereto. The Borrower and Princesa have not used
any other name within the past five (5) years. The Borrower and Princesa agree
that they will not change names without thirty (30) days' written notice to the
Lender.

                  15. Successors and Assigns. This Security Agreement and each
and every covenant, agreement and provision hereof shall be binding upon the
Borrower and Princesa and their successors and assigns and shall inure to the
benefit of the Lender and its respective successors and assigns.

                  16. Severability. It is the intent of this Security Agreement
to confer to the Lender the rights and benefits hereunder to the full extent
allowable by law including all rights available under the Code. The
unenforceability or invalidity of any provisions hereof shall not render any
other provision or provisions herein contained unenforceable or invalid. Any
provisions found to be unenforceable shall be severable from this Security
Agreement.

                                      -6-
<PAGE>   7

                  17. Notices. Notices permitted or required to be given
hereunder shall be deemed sufficient if given in the manner specified in the
Loan Agreement.

                  18. Captions and Headings. The captions and headings of the
various sections of this Security Agreement are for convenience only and are not
to be construed as confining or limiting in any way the scope or intent of the
provisions hereof. Whenever the context requires or permits, the singular shall
include the plural, the plural shall include the singular and the masculine,
feminine and neuter shall be freely interchangeable.

                  19. Governing Law; Jurisdiction, Etc. The provisions of the
Loan Agreement regarding governing law, jurisdiction, choice of forum and
enforcement of remedies are incorporated into this Security Agreement by
reference.

                                      -7-
<PAGE>   8

                  IN WITNESS WHEREOF, the Borrower and Princesa have caused this
Security Agreement to be executed as of the date first above written.

                                         BAYFRONT VENTURES

                                         By CONCORDE CRUISES, INC., Its
                                            General Partner

                                         By
                                           --------------------------------
                                           Its President

                                         Address of Principal Place of Business:
                                         100 South Biscayne Boulevard, Suite 850
                                         Miami, FL 33131

                                         Tax Identification No. 65-0721278

                                         PRINCESA PARTNERS

                                         By CONAMI, INC., Its General Partner

                                         By
                                           --------------------------------
                                           Its President

                                         Address of Principal Place of Business:
                                         Princesa Partners
                                         100 South Biscayne Blvd., Suite 850
                                         Miami, FL 33131

                                         Tax Identification No. 91-1927972

                                      -8-
<PAGE>   9
                                                                       EXHIBIT A

                Description of Furniture, Fixtures and Equipment

                  The "Equipment" consists of all furniture, furnishings,
machinery and equipment of the Borrower or Princesa, whether now or hereafter
existing or owned, that is now or hereafter used, usable or intended to be used
in connection with, or located or intended to be located in, on or at, the
gaming vessel Princesa (as defined in the other Loan Documents), and shall
include, without limitation, all present and future slot, "keno" and other
gaming machines, equipment and devices, and all machinery, equipment, supplies,
furniture and furnishings used for or in connection with coin and money
changing, counting or storage, kitchen, dining room and food service facilities,
cleaning and maintenance, security and surveillance, office, bookkeeping and
back room facilities, and internal and external communications, and all
furniture, furnishings, equipment and supplies.

                                       A-1

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