Document:

Form of Amended and Restated Operating Agreement of Eldorado Resorts LLC

 Exhibit 4.1 
 FORM OF SECOND AMENDED AND RESTATED 
 OPERATING AGREEMENT 
 OF ELDORADO RESORTS LLC, 
 a Nevada limited liability Company 
 This SECOND AMENDED AND RESTATED OPERATING AGREEMENT (this “Operating Agreement”) is made and entered into as of this
                 day of
                        , 2007, by and among RECREATIONAL ENTERPRISES, INC., a Nevada corporation, HOTEL-CASINO
MANAGEMENT, INC., a Nevada corporation, HOTEL CASINO REALTY INVESTMENTS, INC., a Nevada corporation, LUDWIG J. CORRAO, a married man, GARY L. CARANO QUALIFIED S CORPORATION TRUST, GLENN T. CARANO QUALIFIED S CORPORATION TRUST, GENE R. CARANO
QUALIFIED S CORPORATION TRUST, GREGG R. CARANO QUALIFIED S CORPORATION TRUST, CINDY L. CARANO QUALIFIED S CORPORATION TRUST and NGA ACQUISITIONCO, LLC, a Nevada limited liability company (each, individually, a “Member,” and together,
collectively, the “Members”). 
 RECITAL 
 Eldorado Resorts LLC (the “Company”) was initially formed pursuant to Nevada Revised Statutes, Chapter 86, to be governed according to the terms and conditions hereinafter set forth. 
 Subsequent to the initial formation of the Company, Membership Interests were transferred by individual Members to various family trusts in
accordance with the provisions of the terms of the Operating Agreement and Donald L. Carano, an individual Member of the Company, has determined to sell his individual Membership Interests in the Company to NGA AcquisitionCo, LLC, a Nevada limited
liability company (“NGA”). 
 In addition to the foregoing, the Company has determined to create and issue New Membership
Interests for sale to NGA, and to grant certain rights to NGA as set forth herein. 
 This Second Amended and Restated Operating
Agreement is therefore entered and adopted by the Members of the Company to recognize and consent to these events, and to clarify and update the Operating Agreement. 
 A G R E E M E N T 
 NOW, THEREFORE, in accordance with the recitals set forth above and AS CONSIDERATION
for the representations, warranties, covenants and agreements set forth in this Operating Agreement, as well as for other good and valuable consideration the receipt and sufficiency of which hereby are acknowledged, the parties hereto hereby agree
as follows: 
 ARTICLE I 
 NAME

 The name of the Company is “ELDORADO RESORTS LLC.” 
 ARTICLE II 
 DEFINITIONS 
 Capitalized words and phrases used in this Operating Agreement shall have the following meanings: 
 “Adjusted Capital Account Deficit” means, with respect to any Member or Interest Holder, the deficit balance, if any, in such
Member’s or Interest Holder’s capital account with the Company as of the end of the relevant fiscal year, after giving effect to the following adjustments: 
 (a)  Decrease such deficit by any amount that such Member or Interest Holder is obligated to restore pursuant to this
Operating Agreement or is deemed to be obligated to restore to the Company pursuant to Regulations Section 1.704-1(b)(2)(ii)(c) or the penultimate sentence of each of Regulations Section 1.704-2(g)(1) and Regulations
Section 1.704-2(i)(5); and 
  

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 (b)  Increase such deficit by such Member’s or Interest
Holder’s shares of the items described in Regulations Sections 1.704-1(b)(2)(ii)(d)(4), (5) and (6). 
 “Affiliate” of a Member means any other Person controlling, controlled by or under common control with such Member. For the purpose of this definition, the term “control” (including with correlative meanings, the
terms “controlling,” “controlled by” and “under common control with”), as used with respect to any Member, shall mean the possession, directly or indirectly, of the power to direct or cause the direction of the
management and policies of such Person, either through the ownership of a majority of such Person’s equity interests, by contract or otherwise. 
 “Articles of Organization” means the Articles of Organization of ELDORADO RESORTS LLC, as amended from time to time, and as filed with the Nevada Secretary of State. 
 “Board of Managers” means, collectively, all of the Managers of the Company. 
 “Cause” for the removal of any Manager means such Manager has been found by the official action of any applicable gaming authority
to be not suitable to serve in such capacity. 
 “Chapter 86” means Chapter 86 of Nevada Revised Statutes or any
corresponding set of provisions of succeeding law. 
 “Company” means ELDORADO RESORTS LLC, a Nevada limited liability
company. 
 “Company Minimum Gain” has the meaning set forth in Regulations Section 1.704-2(b)(2) for the term
“partnership minimum gain.” 
 “Interest Holder” means the Transferee holder of a Membership Interest that
has not been admitted to the Company as a Member 
 “Internal Revenue Code” means the Internal Revenue Code of 1986,
as amended from time to time, or any corresponding set of provisions of succeeding law. 
 “Majority NGA Holder(s)” at
any time means the holders of a majority of the NGA Interests at such time. 
 “Manager” means the Member, Members or
Non-Member(s) who are referred to as the Manager(s) in ARTICLE V of this Operating Agreement and all successors thereto. 
 “Member” means any holder of a Membership Interest or a New Membership Interest who has become a Member pursuant to the terms and provisions of this Operating Agreement. 
 “Member Minimum Gain” means gain attributable to Member Nonrecourse Debt determined in accordance with Regulations
Section 1.704-2(i). 
  

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 “Member Nonrecourse Debt” has the meaning set forth in Regulations
Section 1.704-2(b)(4) with respect to the term “partner nonrecourse debt.” 
 “Member Nonrecourse
Deduction” has the meaning set forth in Regulations Section 1.704-2(i)(2) with respect to the term “partner nonrecourse deduction.” 
 “Membership Interest” means the respective right of a Member or Interest Holder to an allocative pro-rata share of the economic benefits of the Company, including net profits, net losses
and distributions, based on the percentage represented by the total capital contributed to the Company by the holder of such Membership Interest (and/or its predecessors in interest) in relation to the total capital contributed to the Company with
respect to all outstanding Membership Interests. For the avoidance of doubt, the term “Membership Interests” includes the New Membership Interests and the capital contributed by a Member as of the date hereof shall be determined in
accordance with Section 9.1. 
 “Membership Voting Interest” means, with respect to the Members only, the right
to vote on matters as to which this Operating Agreement requires or permits the Members to vote in accordance with the terms and provisions of Section 8.3 of this Operating Agreement. Only Members who have become such in accordance with the
terms and provisions of this Operating Agreement, including holders of Membership Interests and New Membership Interests, shall have Membership Voting Interests. The voting power of any Membership Voting Interest shall be determined under the terms
and provisions of Section 8.3 of this Operating Agreement. 
 “Net Profits” or “Net Losses” for
each fiscal year of the Company shall mean the net income or net loss of the Company, determined by the method of accounting for the Company as selected by the Board of Managers for federal income tax purposes, including, without limitation, each
item of Company income, gain, loss and deduction with the following adjustments: 
 (a)  Any income of the
Company that is exempt from federal income taxation shall be included as income; 
 (b)  Any expenditure of
the Company described in Internal Revenue Code Section 705(a)(2)(B) or treated as Internal Revenue Code Section 705(a)(2)(B) expenditures pursuant to Regulations Section 1.704-1(b)(2)(iv)(i) shall be treated as current expenses;

 (c)  No effect shall be given to adjustments made pursuant to Internal Revenue Code Section 743;

 (d)  The basis of property contributed to the Company shall initially be treated as equal to the agreed
upon valuation of such property, and all gain, loss, depreciation and amortization on such property shall be determined and based on such agreed upon value in accordance with Regulations Section 1.704-1(b)(2)(iv)(g); 
 (e)  If the Company distributes any property in kind, the difference between the fair market value of such property
immediately before such distribution and the basis (or, if applicable, the carrying value determined pursuant to subparagraph (d) or subparagraph (f) of this definition of “Net Profits” and “Net Losses”) of such
property shall be treated as gain or loss in accordance with Regulations Section 1.704-1(b)(2)(iv)(e); 
 (f)  In the event of a revaluation of Company property as described in subparagraph (d) of Section 10.1 of this Operating Agreement, “Net Profits” and “Net Losses” of the Company shall be adjusted in
accordance with 

  

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Regulations Section 1.704-1(b)(2)(iv)(g) (and for avoidance of doubt, such revaluation is being effected in conjunction with NGA’s admission to the Company);
and 
 (g)  Any item of income or loss that is specially allocated pursuant to Section 11.2 of this
Operating Agreement shall not be taken into account. 
 “New Membership Interest” means the Membership Interests to be
issued by the Company to NGA pursuant to Article IX of this Operating Agreement with all rights and limitations as set forth herein. 
 “NGA Interests” means, (i) any of the Membership Interests held by NGA as of the date hereof, (ii) any Membership Interests otherwise held from time to time by the NGA and (iii) any securities issued or
issuable directly or indirectly with respect to the Membership Interests referred to in clause (i) or (ii) by way of dividend or split or in connection with a combination of shares, recapitalization, merger, consolidation or other
reorganization, provided that NGA Interests shall continue to be NGA Interests only so long as such securities are owned by the NGA or any Affiliate of NGA. 
 “Nonrecourse Deductions” has the meaning set forth in Regulations Section 1.704-2A(b)(1). 
 “Operating Agreement” means this Operating Agreement of ELDORADO RESORTS LLC, as amended from time to time. Words appearing in this Operating Agreement such as “herein,”
“hereinafter,” “hereof and “hereunder” refer to this Operating Agreement as a whole, unless the context otherwise requires. 
 “Purchase Agreement” means that certain Purchase Agreement dated the              day of
                    , 2007, by and among Eldorado Resorts, LLC, NGA AcquisitionCo, LLC, and Donald L. Carano, relating to the purchase and
sale of Membership Interests of the Company. 
 “Registration Rights Agreement” means that certain Registration Rights
Agreement, dated the date hereof, by and among the Company and NGA. 
 “Regulations” means the regulations issued by
the United States Treasury Department under the Internal Revenue Code. 
 “The Transaction” means the transactions
contemplated by the Purchase Agreement relating to the purchase and sale of Membership Interests of the Company. 
 “Transferee” means a third person or entity to whom a Transferring Member sells, transfers, assigns or otherwise disposes of all or any portion of a Membership Interest. 
 “Transferring Member” means a Member who sells, transfers, assigns or otherwise disposes of all or any portion of such
Member’s Membership Interest to any third person or entity. 
  

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 ARTICLE III 
 PRINCIPAL OFFICE/REGISTERED OFFICE 
 Section  3.1  Principal Office. The principal office
of the Company in the State of Nevada shall be located at 345 North Virginia Street, Reno, Washoe County, Nevada 89501. The Company may have such other offices, either within or without the State of Nevada, as the Board of Managers may designate or
as the business of the Company from time to time may require. 
 Section  3.2  Registered Office. The address of the registered office of the Company is 100 W. Liberty Street, 10th Floor, Reno, Nevada 89501, and the Company’s agent for service of process at such address is SIERRA CORPORATE SERVICES. The Company’s registered office and agent for service of process may be changed from time to time by
action of the Board of Managers and by filing the prescribed form with the Nevada Secretary of State. 
 ARTICLE IV 
 PURPOSES AND POWERS 
 Section  4.1  Purposes. The Company may engage in any lawful activity except insurance. The character and general nature of the business to be conducted by the Company is (a) to operate, manage and conduct
gaming in a gaming casino on or within the premises known as the Eldorado Hotel & Casino located at 345 North Virginia Street, Reno, Nevada, (b) to own, directly or indirectly, interests in the gaming casino known as the Silver Legacy
Resort Casino located at 407 North Virginia Street, Reno, Nevada, (c) to own an interest in, directly or indirectly and operate a gaming casino known as Eldorado Shreveport located in Shreveport, Louisiana, and (d) to engage in such other
legal and lawful purposes permitted by law except insurance. 
 Section  4.2  Powers. The Company shall have
all the powers granted to a limited liability company under the laws of the State of Nevada. 
 Section  4.3  Term. The Company shall have perpetual existence. 
 ARTICLE V 
 MANAGERS 
 Section  5.1  Authorized Number of Managers. The Company shall be managed by a Board of Managers. The authorized number of Managers shall be FIVE (5) until amended or changed by a Resolution amending such
exact number of Managers duly adopted by the Members as provided in subparagraph (a) of Section 5.9 of this Operating Agreement. A Manager need not be a Member. The Board of Managers after closing the Transaction shall be the following
persons: 
  

	 	 1.
	 Donald L. Carano 

  

	 	 2.
	 Recreational Enterprises, Inc., a Nevada corporation (“REI”) 

  

	 	 3.
	 Hotel-Casino Management, Inc., a Nevada corporation (“HCM”) 

  

	 	 4.
	 NGA AcquisitionCo, a Nevada limited liability company (“NGA”) 

  

	 	 5.
	 Leslie Heisz 

  

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 By REI’s execution of this Operating Agreement, REI shall be deemed to have designated Gary L.
Carano as REI’s corporate representative for all determinations to be made by the Board of Managers and Donald L. Carano and Leslie Heisz as its other designated Managers. By HCM’s execution of this Operating Agreement, HCM shall be deemed
to have designated Raymond I. Poncia, Jr., President of HCM, as HCM’s corporate representative for all determinations to be made by the Board of Managers. By NGA’s execution of this Operating Agreement, NGA shall be deemed to have
designated as of the date hereof Thomas Reeg as NGA’s representative for all determinations to be made by the Board of Managers. Such respective designations of REI, HCM and NGA may be respectively changed by REI, HCM and NGA from time to time
and at any time during REI’s, HCM’s and NGA’s respective standing as a Manager by providing written notice of such change to the Secretary of the Company. Every corporation or limited liability company that is elected by the Members
to the Board of Managers under this Operating Agreement thereupon shall promptly designate a representative as such organization’s representative for all determinations to be made by the Board of Managers during the term of such
organization’s standing as a Manager. Any such designation of any such organization may be changed by such organization from time to time and at any time during such organization’s standing as a Manager by providing written notice of such
change to the Secretary of the Company. All acts, approvals and resolutions adopted by the Board of Managers may be implemented and executed on behalf of a Manager that is a corporation by any officer of such corporation. 
 Section  5.2  Appointment and Term of Managers. So long as REI or its Affiliate is a Member, REI shall have the right to
designate THREE (3) Managers to serve on the Board; so long as HCM or its Affiliate is a Member HCM shall be entitled to appoint ONE (1) person to the Board of Managers; and so long as NGA or its Affiliate is a Member, NGA shall be
entitled to appoint ONE (1) person to the Board of Managers. The Members shall designate the respective Managers each year at the annual meeting and each Manager shall hold office until the expiration of the term for which such Manager has been
designated and until his successor has been designated, except in the case of death, removal or resignation. Notwithstanding any other provision of this Operating Agreement, (i) the right NGA to designate a Manager cannot be changed or amended
without the express written consent of NGA; (ii) the right of HCM to designate a Manager cannot be changed or amended without the express written consent of HCM; and (iii) the right of REI to designate THREE (3) Managers cannot be
changed or amended without the express written consent of REI. 
 Section  5.3  Removal. Resignation and
Vacancies. Any Manager may be removed from office, with Cause, by the affirmative vote or written consent of the Members holding more than FIFTY PERCENT (50%) of the total outstanding Membership Voting Interests. Any Manager may resign as a
Manager at any time by giving written notice of resignation to the remaining Managers. Any such resignation shall take effect on the date of the receipt of such notice or such later date as specified therein. Unless otherwise specified in such
notice, the acceptance of such resignation shall not be necessary to make it effective. Any vacancy on the Board whether removal for Cause, death or resignation shall be filled through reappointment by the Member who appointed the departing Manager

 Section  5.4  General Authority. Subject to the terms and provisions of Sections 5.8 and 5.9 of this
Operating Agreement and all other provisions of this Operating Agreement requiring approval of Company or Manager action by the affirmative vote or written consent of the Members holding a specified percentage of Membership Voting Interests, the
Board of Managers shall have control over the management of the business and affairs of the Company, shall have authority to do all things necessary to carry on the business and affairs of the Company and hereby is authorized to take any action of
any kind and to do anything and everything that the Board of Managers deems necessary or appropriate with respect to the business and affairs of the Company in accordance with the terms and provisions of this Operating Agreement and applicable law.
Notwithstanding the foregoing, as provided further in Section 5.11 of this Operating 

  

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Agreement, the Board of Managers hereby delegates full power and authority to the, President to make all policies and decisions with respect to the day-to-day
management and operation of the business and affairs of the Company, subject to the terms and provisions of Sections 5.8 and 5.9 of this Operating Agreement and all other provisions of this Operating Agreement requiring approval of Company or
Manager action by the affirmative vote or written consent of the Members holding a specified percentage of Membership Voting Interests. With respect to each Company matter as to which the Board of Managers has decision-making authority and
responsibility, each Manager shall be entitled to ONE (1) vote. If the Board of Managers consists of more than ONE (1) Manager, then the presence of a majority of the authorized number of Managers at a meeting of the Board of Managers
constitutes a quorum for the transaction of Company business, except as otherwise provided in this Operating Agreement. If there is less than a quorum at any meeting of the Board of Managers, a majority of the Board of Managers present may adjourn
the meeting from time to time, provided that notice of adjournment and the time and place of the rescheduled meeting shall be given to all the Managers not in attendance. Managers may participate in a meeting through use of conference telephone or
similar communications equipment, so long as all Managers participating in such meeting can hear one another. Participation in a meeting as permitted by the immediately-preceding sentence hereof constitutes presence in person at such meeting. The
Board of Managers may fix times and places for regular meetings of the Board of Managers and no additional notice of such meetings need be given. A special meeting of the Board of Managers shall be held whenever called by any Manager then in office,
at such time and place as shall be specified in the notice or waiver thereof. Notice of each special meeting shall be given by the person calling the meeting to each Manager personally, or by faxing or emailing and telephoning the same not later
than three days before the meeting. Every act done or decision made by a majority of the Managers present at a meeting duly held at which a quorum is present shall be regarded as the act of the Board of Managers, unless a greater number is required
by law, by the Articles of Organization or by this Operating Agreement. 
 Except where expressly provided to the contrary in this
Operating Agreement, and except for policies and decisions with respect to the day-to-day management and operation of the business and affairs of the Company made or to be made by the President pursuant to the authority of the Chief Executive
Officer, President and Presiding Manager provided by this Section 5.4 and Section 5.11 of this Operating Agreement or as otherwise delegated by the Board of Managers to the President, all policies and decisions with respect to control over
the management of the business and affairs of the Company shall be made by the Board of Managers and shall be binding on all of the Members and the Interest Holders. Except as provided in Sections 5.8 and 5.9 of this Operating Agreement and all
other provisions of this Operating Agreement requiring approval of Company or Manager action by the affirmative vote or written consent of the Members holding a specified percentage of Membership Voting Interests, the Members and the Interest
Holders as such shall have no right to participate in the management or control of the business and affairs of the Company, and the Members as such shall have only the voting rights specifically set forth in this Operating Agreement or as otherwise
required and not subject to waiver under Chapter 86. In addition to the general management authority provided to the Board of Managers in this Section 5.4, the Board of Managers shall have the following specific rights, subject to compliance
with the other terms and provisions of this Operating Agreement: 
 (a)  In any single transaction or series
of related transactions having a value equaling or exceeding FIVE MILLION DOLLARS ($5,000,000), to cause the Company to contract to sell, sell, lease, exchange, grant any option on, convert to condominiums or otherwise transfer or dispose of any of
the real or personal property of the Company or any portion thereof or any interest therein as from time to time may be deemed by the Board of Managers to be appropriate or expedient, including the sale of time-sharing units and/or condominiums
located on property of the Company; 
  

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 (b)  To fix, on an annual basis, compensation, if any, for each of the
Managers; 
 (c)  To approve, adopt and implement such new or additional incentive compensation policies and
plans for the benefit of the Managers, officers, agents and/or employees of the Company, such as the Performance and Appreciation Rights Plan and the Deferred Compensation Plan of the Company in effect before the date of this Operating Agreement and
as may be deemed necessary or expedient; provided, however, that, in accordance with the terms and provisions of subparagraph (c) of Section 5.9 of this Operating Agreement, any such new or additional incentive compensation policy or plan
that contemplates the issuance of any form of equity interest in the Company must be approved by the affirmative vote or written consent of the Members holding more than SIXTY-FIVE PERCENT (65%) of the outstanding Membership Voting Interests;

 (d)  To cause the Company to keep or place title to the real property of the Company or any part thereof on
record in the name of the Company, or in the name of a nominee or nominees; 
 (e)  To cause the Company to
institute, prosecute, defend and settle any legal or administrative action or proceeding on behalf of or against the Company having an actual or potential value equaling or exceeding FIVE MILLION DOLLARS ($5,000,000); 
 (f)  To cause the Company to enter into and execute any agreement with other persons, firms, corporations or other
entities, under the terms of which such persons, firms, corporations or other entities become joint venturers or partners or limited liability company members with the Company in the operation of the Company’s properties, or become entitled to
an interest in the properties owned or held by the Company, if, in the opinion of the Board of Managers, the making of any such agreement is in the best interests of the Company; provided, however, that, in accordance with the terms and provisions
of subparagraph (d) of Section 5.9 of this Operating Agreement, any such joint venture or partnership or limited liability company agreement must be approved by the affirmative vote or written consent of the Members holding more than
SIXTY-FIVE PERCENT (65%) of the outstanding Membership Voting Interests; 
 (g)  In any single
transaction or series of related transactions having a value equaling or exceeding FIVE MILLION DOLLARS ($5,000,000), to cause the Company to acquire such real or tangible personal property and intangible property as may be necessary or desirable to
carry on the business of the Company, and to sell, exchange or otherwise dispose of such property; 
 (h)  In
any single transaction or series of related transactions having a value equaling or exceeding FIVE MILLION DOLLARS ($5,000,000), to cause the Company to enter into such loans, mortgages and other financing arrangements or rearrangements, and to
grant such security interests in the assets of the Company, as may be necessary or desirable to carry on the business of the Company and to execute all documents, including chattel and real estate mortgages and deeds of trust, promissory notes,
pledge agreements, assignments and other documents in connection with any such loan, mortgage, financing or refinancing. All of the foregoing powers may be exercised at such price, rental or amount, for cash, securities or other property, for such
periods of time and under such terms as the Board of Managers deems appropriate; provided, however, that, in accordance with the terms and provisions of subparagraph (e) of Section 5.9 of this Operating Agreement, any loan that
hypothecates property of the 

  

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Company and that results in assets of the Company being hypothecated in excess of EIGHTY PERCENT (80%) of the fair market value of all assets of the Company may
only be entered into upon the prior approval by the affirmative vote or written consent of the Members holding more than SIXTY-FIVE PERCENT (65%) of the outstanding Membership Voting Interests; 
 (i)  Notwithstanding any other term or provision of this Operating Agreement, as may be necessary or desirable to carry on
the business of the Company, to cause the Company to effect the private placement of non-convertible debt securities of the Company in any amount deemed appropriate or necessary under Section 4(2) of, and/or Regulation D Rule 506 under, the
Securities Act of 1933, as amended (the “Securities Act”), including, without limitation, sales of such non-convertible debt securities of the Company to any securities dealer or group of securities dealers as principals in such
transactions for the purpose of enabling such securities dealers to re-sell such non-convertible debt securities of the Company to “qualified institutional buyers” as defined in Rule 144A under the Securities Act in reliance on Rule 144A
under the Securities Act and to institutional “accredited investors” as defined in Regulation D under the Securities Act in reliance on Regulation D under the Securities Act; 
 (j)  Notwithstanding any other term or provision of this Operating Agreement, as may be necessary or desirable to carry on
the business of the Company, to cause the Company to effect any registration, including, without limitation, any “shelf” registration, with the Securities and Exchange Commission in compliance with the Securities Act, and the registration
and/or qualification with state securities administrators in compliance with applicable state securities laws, of non-convertible debt securities of the Company, including, without limitation, non-convertible debt securities of the Company issued
and sold by the Company in any private placement under subparagraph (i) of this Section 5.4, for the purpose of effecting a public offering of such securities and/or making such securities re-saleable to the public without restriction;

 (k)  Notwithstanding any other term or provision of this Operating Agreement, as may be necessary or
desirable to carry on the business of the Company, to cause the Company to effect offerings of non-convertible debt securities of the Company that are exempt from the registration requirements of the Securities Act; 
 (l)  Notwithstanding any other term or provision of this Operating Agreement, as may be necessary or desirable to carry on
the business of the Company, to cause the Company to effect public offerings of non-convertible debt securities of the Company; 
 (m)  To cause the Company to effect the registration with the Securities and Exchange Commission in compliance with the Securities Act, and the registration and/or qualification with state securities administrators in
compliance with applicable state securities laws, of equity securities of the Company (or of any parent or successor entity of the Company), for the purpose of effecting public offerings of such securities, including, without limitation, secondary
offerings of such securities (all present and future Members hereby acknowledging that any such transaction may cause the Company thereafter to be taxed under the Internal Revenue Code as a corporation); provided, however, that, in accordance with
the terms and provisions of subparagraph (k) of Section 5.9 of this Operating Agreement, any such registration or qualification of equity securities of the Company (or of any parent or successor entity of the Company) must be approved by
the affirmative vote or written consent of the Members holding more than SIXTY-FIVE PERCENT (65%) of the outstanding Membership Voting Interests; 
  

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 (n)  To cause the Company to effect public offerings of equity securities
of the Company (or of any parent or successor entity of the Company), including, without limitation, secondary offerings of such securities (all present and future Members hereby acknowledging that any such transaction may cause the Company
thereafter to be taxed under the Internal Revenue Code as a corporation); provided, however, that, in accordance with the terms and provisions of subparagraph (1) of Section 5.9 of this Operating Agreement, any such public offering of
equity securities of the Company (or of any parent or successor entity of the Company) must be approved by the affirmative vote or written consent of the Members holding more than SIXTY-FIVE PERCENT (65%) of the outstanding Membership Voting
Interests; 
 (o)  To cause the Company to prepay, modify, amend, renew or extend any authorized Company
indebtedness; 
 (p)  Other than transactions expressly contemplated by this Operating Agreement and
transactions in the ordinary course of business consistent with the past practices of the Company and which, individually exceed One Million Dollars per transaction or Five Million Dollars in the aggregate in any fiscal year, enter into any
agreement or transaction between the Company or any Subsidiary of the Company, on the one hand, and any Member of any Affiliate or a Member (other than Company and its Subsidiaries) on the other; 
 (q)  To amend or waive of any of the provisions of the organizational documents of the Company or any Subsidiary; and

 (r)  To commence any liquidation, dissolution or voluntary bankruptcy, administration, recapitalization or
reorganization of the Company or any Subsidiary in any form of transaction, make any arrangements with creditors, or consent to the entry of an order for relief in an involuntary case, or take the conversion of an involuntary case to a voluntary
case, or consent to the appointment or taking possession by a receiver, trustee or other custodian for all or substantially all of its property, or otherwise seek the protection of any applicable bankruptcy or insolvency law. 
 Section  5.5  General Obligations,. The Board of Managers shall: 
 (a)  Take or cause to be taken all actions that may be necessary or appropriate for the development, maintenance,
preservation and operation of the properties of the Company as first class hotel and gaming casino operations and in accordance with the terms and provisions of this Operating Agreement and applicable laws and regulations; 
 (b)  At all times conduct the affairs of the Company, or cause the affairs of the Company to be conducted, in such a
manner that the Company shall be able to service all debts and financial obligations of the Company; and 
 (c)  Use reasonable best efforts to assure that the Company shall not be deemed an “Investment Company” as such term is defined in the Investment Company Act of 1940, as amended. 
 Section  5.6  Scope of Duties. The Managers shall not be required to devote their full time to the business or affairs
of the Company but shall devote the time reasonably necessary to perform the duties of the Managers under this Operating Agreement and to manage and operate prudently the Company’s business and properties. 
 Section  5.7  Limitation of Liability and Indemnification of Managers. 
 (a)  The Managers shall not be liable for the return of any capital contribution of any Member or Interest Holder or for
any amount of profits thereon, and any return of capital and profits shall be made, if at all, solely from the assets and business of the Company. The Managers shall not be required to pay to the Company or to any 

  

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Member or Interest Holder any deficit in the capital account of any Member or Interest Holder upon dissolution of the Company or otherwise. 
 (b)  No Manager nor any of their Affiliates nor any member, officer, agent or employee of any of the Managers or any of
their Affiliates shall be liable to the Company or to the Members or to the Interest Holders for acts or omissions of such Manager in connection with the business or affairs of the Company, including, without limitation, any breach of fiduciary duty
of such Manager as a Manager, any mistake of judgment of such Manager and any business decision of such Manager (including any decision regarding the timing of any acquisition or disposition of any property of the Company), except for acts or
omissions of such Manager that a final adjudication establishes involved intentional misconduct, fraud or a knowing violation of the law that was material to the cause of action subject to such final adjudication. 
 (c)  In the event that the Board of Managers consists of more than ONE (1) Manager when any alleged liability arises
under this Operating Agreement or in favor of any Member or Interest Holder against the Board of Managers, the liability of each Manager shall be several. Multiple Managers shall have the right separately to agree on indemnification and contribution
obligations among themselves. 
 (d)  Notwithstanding any other term or provision of this Operating Agreement,
but subject to the terms and provisions of Section 18.3 of this Operating Agreement, the Company and/or its successor, trustee or receiver shall indemnify, defend and hold harmless every Manager and its Affiliates and every person who at any
time was but ceased to be a Manager, and the heirs, executors and administrators of every Manager and its Affiliates and of every such person, against all claims, demands, actions, losses, liabilities, damages, costs and expenses, which after the
date of this Operating Agreement arise out of the Company or its business or affairs, including reasonable attorneys’ fees incurred in defending all such matters; provided, however, that, unless otherwise ordered by a court pursuant to Nevada
Revised Statutes Section 86.421, this indemnification provision shall not apply to any of such claims, demands, actions, losses, liabilities, damages, costs or expenses that arise or result from, or otherwise are related to or based on, acts or
omissions of a Manager that a final adjudication establishes involved intentional misconduct, fraud or a knowing violation of the law that was material to the cause of action subject to such final adjudication. 
 (e)  The satisfaction of the indemnification obligations of the Company under this Section 5.7 shall be from and
limited to the assets of the Company, and no Member or Interest Holder shall have any personal liability for the satisfaction of any such indemnification obligation. 
 (f)  Notwithstanding any other term or provision of this Operating Agreement, the terms and provisions of this
Section 5.7 cannot and shall not be amended or repealed under any circumstance, except as may be necessary to increase or expand (but not to reduce) the rights or protections under this Section 5.7 of Managers or other persons referenced
in this Section 5.7 to the maximum extent permitted by Chapter 86, as amended. No amendment or repeal of any term or provision of this Section 5.7 that otherwise would restrict or limit any right or protection of a Manager or other person
under this Section 5.7 shall apply to or have any effect on any such right or protection of any Manager existing at the time of such amendment or repeal or of any person who at any time before such amendment or repeal was but ceased to be a
Manager, or of the heirs, executors and administrators of any such Manager or other person. 
  

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 Section  5.8  Restrictions on Authority of Board of Managers and Chief
Executive Officer and the President. Without the affirmative vote or written consent of the Members holding ONE HUNDRED PERCENT (100%) of the outstanding Membership Voting Interests, neither the Board of Managers nor the Chief Executive
Officer, nor the President shall directly or indirectly: 
 (a)  Do any act in contravention of this Operating
Agreement, as amended from time to time; 
 (b)  Do any act that would make it impossible to carry on the
ordinary business of the Company, provided that actions of the Managers in accordance with the purposes of the Company or rights and powers granted under this Operating Agreement shall not be considered to breach this clause; 
 (c)  Commingle funds of the Company with funds of any other person. 
 Notwithstanding any other term or provision of this Operating Agreement, the terms and provisions of this Section 5.8 cannot be amended or
repealed unless such amendment or repeal first has been approved by the affirmative vote or written consent of the Members holding ONE HUNDRED PERCENT (100%) of the outstanding Membership Voting Interests. 
 Section  5.9  Other Restrictions on Authority of Board of Managers and Chief Executive Officer and President. Without
the affirmative vote or written consent of the Members holding more than SIXTY-FIVE PERCENT (65%) of the outstanding Membership Voting Interests, neither the Board of Managers nor the Chief Executive Officer nor the President shall directly or
indirectly: 
 (a)  Amend the authorized number of Managers set forth in Section 5.1 of this Operating
Agreement; 
 (b)  Cause the Company to merge or otherwise engage in any kind of business combination or
reorganization with another entity or other person; 
 (c)  Approve, adopt and implement such new or
additional incentive compensation policies and plans for the benefit of the Managers, officers, agents and/or employees of the Company that contemplate the issuance of any form of equity interest in the Company as described in subparagraph
(c) of Section 5.4 of this Operating Agreement; 
 (d)  Cause the Company to enter into any joint
venture or partnership or limited liability company agreement as described in subparagraph (f) of Section 5.4 of this Operating Agreement; 
 (e)  Cause the Company to enter into any loan that hypothecates property of the Company and that results in assets of the Company being hypothecated in excess of EIGHTY PERCENT (80%) of the
fair market value of all assets of the Company as described in subparagraph (h) of Section 5.4 of this Operating Agreement and in subparagraph (a)(ix) of Section 5.11 of this Operating Agreement; 
 (f)  Cause or permit any new issuance and sale of Membership Interests by the Company, in any ONE (1) or more related
or unrelated transactions; provided, however, that no new issuance and/or sale of Membership Interests by the Company, in any ONE (1) or more related or unrelated transactions, shall be effected or approved by the Board of Managers in any event
unless with respect thereto the terms and provisions of Section 7.1 of this Operating Agreement first have been satisfied; provided further, however, that all of the preceding terms and provisions of this subparagraph (f) of this
Section 5.9 shall not apply to any new issuance and sale of Membership Interests by the Company effected in accordance with the terms and provisions of Section 9.4 of this Operating Agreement; 
  

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 (g)  Cause or permit any person or entity to which a new issuance and
sale of Membership Interests has been made by the Company in accordance with the terms and provisions of subparagraph (f) of this Section 5.9 to become a Member by reason of or in connection with such new issuance of Membership Interests
by the Company; provided, however, that all of the preceding terms of this subparagraph (g) of this Section 5.9 shall not apply to any new issuance and sale of Membership Interests by the Company effected in accordance with the terms and
provisions of Section 9.4 of this Operating Agreement; 
 (h)  Possess Company property, or assign rights
in specific Company property, for other than a Company purpose; 
 (i)  Purchase or lease Company property
from the Company or sell or lease property to the Company; 
 (j)  Cause the Company to guarantee the
indebtedness of any person or cause or suffer or permit any Company property to secure or become collateral for any indebtedness of any person other than the Company; 
 (k)  Cause the Company (or any parent or successor entity of the Company) to effect the registration with the Securities
and Exchange Commission in compliance with the Securities Act, and/or the registration and/or qualification with state securities administrators in compliance with applicable state securities laws, of equity securities of the Company (or of any
parent or successor entity of the Company), for the purpose of effecting public offerings of such securities, including, without limitation, secondary offerings of such securities, as described in subparagraph (m) of Section 5.4 of this
Operating Agreement (all present and future Members hereby acknowledging that any such transaction may cause the Company thereafter to be taxed under the Internal Revenue Code as a corporation); 
 (l)  Cause the Company (or any parent or successor entity of the Company) to effect public offerings of equity securities
of the Company (or of any parent or successor entity of the Company), including, without limitation, secondary offerings of such securities, as described in subparagraph (n) of Section 5.4 of this Operating Agreement (all present and
future Members hereby acknowledging that any such transaction may cause the Company thereafter to be taxed under the Internal Revenue Code as a corporation); 
 (m)  Cause or permit the Company at any time to have more than ONE HUNDRED (100) Members and/or Interest Holders (including as Members and Interest Holders those persons indirectly owning a
Membership Interest through a partnership, limited liability company, S corporation or grantor trust (such entity, a “Flow-Through Entity”) but only if substantially all of the value of such person’s interest in the Flow-Through
Entity is attributable to the Flow-Through Entity’s interest (direct or indirect) in the Company), as described in Section 21.1 of this Operating Agreement; or 
 (n)  Designate a new “Tax Matters Partner” as described in ARTICLE XXI of this Operating Agreement. 

Section  5.10  Chief Executive Officer (CEO). The Chief Executive Officer shall be elected by a majority vote of the
Board of Managers and shall have the general powers and duties of management usually vested in the office of Chief Executive Officer of a corporation and shall have such other powers and duties as may be prescribed by the Board of Managers including
presiding over all meetings of the Board of Managers and at all meetings of the Members, together with the duties and authority of the President as described in Section 5.11. 
  

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 Section  5.11  Chief Operating Officer, President and Presiding Manager.

 (a)  Authority. The Chief Operating Officer, President and Presiding Manager (hereinafter
“President”) shall have the general powers and duties of management usually vested in the office of Chief Operating Officer/President of a corporation and shall have such other powers and duties as may be prescribed by the Board of
Managers or this Operating Agreement. Subject to the control of the Board of Managers with respect to Company matters requiring a vote of the Board of Managers under this Operating Agreement, the President is the general manager of the Company,
shall have supervising authority over and may exercise general executive power concerning the supervision, direction and control of the day-to-day business and affairs of the Company and shall carry out the decisions voted on by the Board of
Managers and/or by the Members, with the authority from time to time and at any time to delegate to any Assistant Presiding Manager or any other officer or executive employee of the Company such executive powers and duties as the President may deem
advisable. Subject to the terms and provisions of Sections 5.8 and 5.9 of this Operating Agreement and all other provisions of this Operating Agreement requiring approval of Company or Manager action by the affirmative vote or written consent of the
Members holding a specified percentage of Membership Voting Interests, the President shall have authority to do all things necessary to carry on the day-to-day business and affairs of the Company and hereby is authorized to take any action of any
kind and to do anything and everything that the President deems necessary or appropriate with respect to the day-to-day business and affairs of the Company in accordance with the terms and provisions of this Operating Agreement and applicable law.
The President has authority to make all policies and decisions with respect to the day-to-day management and operation of the business and affairs of the Company, subject to the terms and provisions of Sections 5.8 and 5.9 of this Operating
Agreement and all other provisions of this Operating Agreement requiring approval of Company or Manager action by the affirmative vote or written consent of the Members holding a specified percentage of Membership Voting Interests. In addition to
the general authority provided to the President in this Section 5.11, and without limiting the generality of any of the foregoing, the President shall have the following specific rights, subject to compliance with the other terms and provisions
of this Operating Agreement: 
 (i)  On behalf of the Company, to acquire or lease such additional real or
personal property as the President from time to time may deem appropriate or expedient for the operation of the business of the Company; 
 (ii)  On behalf of the Company, to develop and improve, or cause to be developed and improved, the property of the Company; 
 (iii)  To maintain, operate and lease the property of the Company and in connection therewith to execute and deliver on behalf of the Company (A) licenses or other contracts,
(B) checks, drafts and other orders with respect to the payment of Company funds, (C) powers of attorney, consents, waivers and other documents necessary or desirable to procure licenses, permits, surface leases, rights of way and such
other permits, licenses and leases as may be necessary to the conduct of the business of the Company and (D) all other agreements, documents and commitments relating to the affairs of the Company; 
  

 14 

 (iv)  In any single transaction or series of related transactions having
a value of under FIVE MILLION DOLLARS ($5,000,000), on behalf of the Company, to contract to sell, sell, lease, exchange, grant any option on, convert to condominiums or otherwise transfer or dispose of any of the real or personal property of the
Company or any portion thereof or any interest therein as from time to time may be deemed by the President to be appropriate or expedient, including the sale of time-sharing units and/or condominiums located on property of the Company; 

(v)  On behalf of the Company, to select and remove such officers, agents and employees of the Company as may be deemed
necessary or expedient and to assist with the management or operation of Company property, to prescribe such powers and duties for them as are not inconsistent with law, the Articles of Organization or this Operating Agreement and to fix their
compensation; 
 (vi)  On behalf of the Company, to employ and terminate the services of such persons, firms,
corporations or other entities, including any ONE (1) or more of the Members, for or in connection with the business of the Company or the acquisition, development, improvement, operation, maintenance, management, leasing, financing,
refinancing, sale, exchange or other disposition of the property of the Company as may be deemed necessary or expedient and to assist with the management or operation of Company property and to perform Company administrative services, accounting
services, independent auditing services, legal services and other services for the benefit of the Company; 
 (vii)  To institute, prosecute, defend and settle any legal or administrative action or proceeding on behalf of or against the Company having an actual or potential value of under FIVE MILLION DOLLARS ($5,000,000); 
 (viii)  In any single transaction or series of related transactions having a value of under FIVE MILLION DOLLARS
($5,000,000), on behalf of the Company, to acquire such real or tangible personal property and intangible property as may be necessary or desirable to carry on the business of the Company, and to sell, exchange or otherwise dispose of the same;

 (ix)  In any single transaction or series of related transactions having a value of under FIVE MILLION
DOLLARS ($5,000,000), on behalf of the Company, to enter into such loans, mortgages and other financing arrangements or rearrangements, and to grant such security interests in the assets of the Company, as may be necessary or desirable to carry on
the business of the Company and to execute all documents, including chattel and real estate mortgages and deeds of trust, promissory notes, pledge agreements, assignments and other documents in connection with any such loan, mortgage, financing or
refinancing. All of the foregoing powers may be exercised at such price, rental or amount, for cash, securities or other property, for such periods of time and under such terms as the President deems appropriate; provided, however, that, in
accordance with the terms and provisions of subparagraph (e) of Section 5.9 of this Operating Agreement, any loan that hypothecates property of the Company and that results in assets of the Company being hypothecated in excess of EIGHTY
PERCENT (80 %) of the fair market value of all assets of the Company may only be entered into upon the prior approval by the affirmative vote or written consent of the Members holding more than SIXTY-FIVE PERCENT (65%) of the outstanding
Membership Voting Interests; 
  

 15 

 (x)  On behalf of the Company, to operate, manage and collect income from
any real property owned by the Company in accordance with this Operating Agreement; 
 (xi)  On behalf of the
Company, to make any reasonable expenditure for the organization, operation and conduct of the business and affairs of the Company and to negotiate, execute, acknowledge, file, record, deliver and perform any agreement or instrument considered
necessary or appropriate by the President for the conduct of the Company’s business and affairs in accordance with this Operating Agreement or for the implementation of the powers granted to the President under this Operating Agreement;

 (xii)  On behalf of the Company, to obtain or keep in force, or cause to be obtained and kept in force,
fire and extended coverage, workmen’s compensation and public liability insurance in favor of the Company reasonably necessary to cover risks associated with the operation of the business of the Company; and 
 (xiii)  On behalf of the Company, to invest Company funds in commercial paper, government securities, certificates of
deposit, time deposits, bankers’ acceptances, money market funds or similar investments having a maturity generally considered to be short term. 
 (b)  General Obligations. The President shall: 
 (i)  In the absence of the CEO, preside at all meetings of the Board of Managers and at all meetings of the Members; 
 (ii)  Take or cause to be taken all actions that may be necessary or appropriate for the development, maintenance, preservation and operation of the properties of the Company as a first class hotel and gaming casino
and in accordance with the terms and provisions of this Operating Agreement and applicable laws and regulations; 
 (iii)  Execute and cause to be filed original or amended documents and take all other actions that reasonably may be necessary to perfect and maintain the status of the Company as a limited liability company under the laws of the
State of Nevada and of other states or jurisdictions in which the Company engages in business and, if required by law, execute and cause to be recorded appropriate original or amended documents in each county in each state in which the Company owns
real property; 
 (iv)  Take such actions as may be necessary or appropriate in order to qualify the Company
under the laws of any jurisdiction in which the Company is doing business or owns property or in which such qualification is necessary in order to protect the limited liability of the Members or in order to continue in effect such qualification;

 (v)  At all times conduct the affairs of the Company in such a manner that the Company shall be able to
service all debts and financial obligations of the Company; 
 (vi)  At all times use reasonable best efforts
in the conduct of the business of the Company to put all suppliers and other persons with whom the Company does business on notice that the Members and the Interest Holders are not liable for the obligations of the Company, and all agreements to
which the Company is a party shall include a statement to the effect that the Company is a Nevada limited liability company 

  

 16 

 
organized under Chapter 86; provided, however, that the President shall not be liable to the Members or the Interest Holders for any failure to give such notice to
such suppliers or other persons or for any such agreement to fail to contain such statement; and 
 (vii)  Use
reasonable best efforts to assure that the Company shall not be deemed an “Investment Company” as such term is defined in the Investment Company Act of 1940, as amended. 
 Section  5.12  Assistant Presiding Managers. The Managers who are not appointed by the Board of Managers as the Chief
Executive Officer or President shall be Assistant Presiding Managers. Any action taken by any Assistant Presiding Manager acting as such on behalf of the Company shall be subject to the control and direction of the Chief Executive Officer and the
President. Each Assistant Presiding Manager individually acting as such on behalf of the Company shall have no supervising authority over and may not exercise general executive power concerning the supervision, direction and control of the business
and affairs of the Company except as authorized under contract or otherwise as may be necessary and as specifically authorized to carry out the decisions voted on by the Board of Managers and/or the decisions of the Chief Executive Officer or the
President. 
 Section  5.13  Limitations on Manager Authority. If the authorized number of Managers under
Section 5.1 (as may be amended from time to time) is ONE (1), then such sole Manager shall hold the office of Chief Executive Officer and President, and no person shall hold the office of Assistant Presiding Manager. Notwithstanding any other
term or provision of this Operating Agreement, if the authorized number of Managers under Section 5.1 is more than ONE (1), then, except as otherwise expressly provided in Chapter 86 (excluding Sections 86.301 and 86.311 of Chapter 86),
(a) no debt or liability, in any single transaction or series of related transactions having a value equaling or exceeding FIVE MILLION DOLLARS ($5,000,000), may be contracted or incurred by or on behalf of the Company except upon the execution
of the documents creating such debt or liability by both the Chief Executive Officer or the President and ONE (1) Assistant Presiding Manager; (b) instruments and documents providing for the acquisition, mortgage or disposition of property
of the Company, in any single transaction or series of related transactions having a value equaling or exceeding FIVE MILLION DOLLARS ($5,000,000), shall be valid and binding on the Company only if executed by both the Chief Executive Officer or the
President and ONE (1) Assistant Presiding Manager; (c) debt or liability, in any single transaction or series of related transactions having a value of under FIVE MILLION DOLLARS ($5,000,000), may be contracted or incurred by or on behalf
of the Company upon the execution of the documents creating such debt or liability solely by the Chief Executive Officer or the President or solely by any Assistant Presiding Manager but in such latter case only as generally authorized under
contract with the Company or otherwise as may be necessary and as specifically authorized to carry out the decisions voted on by the Board of Managers and/or the decisions or directions of the Chief Executive Officer or the President; and
(d) instruments and documents providing for the acquisition, mortgage or disposition of property of the Company, in any single transaction or series of related transactions having a value of under FIVE MILLION DOLLARS ($5,000,000), shall be
valid and binding on the Company if executed solely by the Chief Executive Officer or the President or solely by any Assistant Presiding Manager but in such latter case only as generally authorized under contract with the Company or otherwise as may
be necessary and as specifically authorized to carry out the decisions voted on by the Board of Managers and/or the decisions or directions of the Chief Executive Officer or the President. If the authorized number of Managers under Section 5.1
is ONE (1), then, except as otherwise expressly provided in Chapter 86 (excluding Sections 86.301 and 86.311 of Chapter 86), (i) no debt may be contracted or liability incurred by or on behalf of the Company except upon the execution of the
documents creating such debt or liability by the Chief Executive Officer or the President, and (ii) instruments and documents providing for the acquisition, mortgage or disposition of property of the Company shall be valid and binding on the
Company only if executed by the Chief Executive Officer or the President. 
  

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 Section  5.14  Directors’ Insurance. The Company shall maintain
directors’ and officers’ liability insurance covering the full Board of Managers in an amount not less than THREE MILLION DOLLARS ($3,000,000). 
 Section  5.15  Standard of Care. Notwithstanding anything to the contrary herein, the members of the Board of Managers shall owe the same fiduciary duties to the Members that a director of a Nevada
corporation owes to the shareholders of such corporation. 
 ARTICLE VI 
 COMPANY OFFICERS 
 Section  6.1  Authority. The terms and
provisions of this ARTICLE VI shall not limit the general authority provided to the Chief Executive Officer or the President by the terms and provisions of Section 5.10 or subparagraph (a)(v) of Section 5.11 of this Operating Agreement.
Notwithstanding any term or provision of this ARTICLE VI, no officer of the Company appointed under this ARTICLE VI shall have any authority to contract or incur any debt or liability on behalf or in the name of the Company or to execute any
instrument or document providing for the acquisition, mortgage or disposition of property of the Company, unless such officer also is a Manager of the Company, in which case such officer shall have such authority but only as provided in
Section 5.13 of this Operating Agreement. 
 Section  6.2  Appointment. Except for such officers as may
be appointed in accordance with the terms and provisions of Section 6.3 of this Operating Agreement, the Board of Managers annually may appoint persons to hold the following respective offices and have the duties associated therewith. Any such
officer of the Company may, but need not, be a Manager. Each such officer of the Company shall hold office until such officer resigns or is removed or otherwise is disqualified to serve, or until such officer’s successor is appointed. Any
single person can hold TWO (2) or more of the following offices and have the duties associated therewith. 
 (a)  Vice Presidents. Each Vice President of the Company shall have such powers and perform such duties as from time to time may be prescribed for them by the Board of Managers or the President. 
 (b)  Chief Financial Officer. The Chief Financial Officer shall have the general powers and duties of management
usually vested in the office of Chief Financial Officer of a corporation and shall have such other powers and duties as may be prescribed by the Board of Managers or the President. 
 (c)  Secretary. The Secretary shall have the general powers and duties of management usually vested in the office
of Secretary of a corporation and shall have such other powers and duties as may be prescribed by the Board of Managers or the President. 
 Section  6.3  Subordinate Officers, Employees and Agents. Notwithstanding the terms and provisions of Section 6.2 of this Operating Agreement, the, President shall have the right at any time and from time to
time to appoint such other officers, employees and agents of the Company as the business of the Company may require in the discretion of the President , including, without limitation, a general manager for the Company’s gaming casino
operations, each of whom shall hold office for such period, have such authority and perform such duties as the President from time to time may determine. 
  

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 Section  6.4  Removal and Resignation. Any officer may be removed,
either with or without cause, by the Board of Managers at any regular or special meeting of the Board of Managers, or, except in the case of an officer appointed by the Board of Managers, by the President (subject, in each case, to the rights, if
any, of an officer under any contract of employment). Any officer may resign at any time by giving written notice to the Board of Managers or to the President or to the Secretary, without prejudice, however, to the rights, if any, of the Company
under any contract to which such officer is a party. Any such resignation shall take effect on the date of the Company’s receipt of such notice or at any later time specified therein, and, unless otherwise specified therein, the acceptance of
such resignation shall not be necessary to make it effective. 
 Section  6.5  Vacancies. A vacancy in any
office because of death, resignation, removal, disqualification or any other cause shall be filled in the manner prescribed in this ARTICLE VI for appointments to such office. 
 Section  6.6  Limitation of Liability and Indemnification of Company Officers. 
 (a)  No officer of the Company shall be liable to the Company or to the Members or to the Interest Holders for acts or omissions of such officer of the Company in connection with the business or
affairs of the Company, including, without limitation, any breach of fiduciary duty of such officer as an officer of the Company, any mistake of judgment of such officer as an officer of the Company and any business decision of such officer as an
officer of the Company, except for acts or omissions of such officer of the Company that a final adjudication establishes involved intentional misconduct, fraud or a knowing violation of the law that was material to the cause of action subject to
such final adjudication. 
 (b)  Notwithstanding any other term or provision of this Operating Agreement, but
subject to the terms and provisions of Section 18.3 of this Operating Agreement, the Company and/or its successor, trustee or receiver shall indemnify, defend and hold harmless every officer of the Company and every person who at any time was
but ceased to be an officer of the Company, and the heirs, executors and administrators of every officer of the Company and of every such person, against all claims, demands, actions, losses, liabilities, damages, costs and expenses, which after the
date of this Operating Agreement arise out of the Company or its business or affairs, including reasonable attorneys’ fees incurred in defending all such matters; provided, however, that, unless otherwise ordered by a court pursuant to Nevada
Revised Statutes Section 86.421, this indemnification provision shall not apply to any of such claims, demands, actions, losses, liabilities, damages, costs or expenses that arise or result from, or otherwise are related to or based on, acts or
omissions of an officer of the Company that a final adjudication establishes involved intentional misconduct, fraud or a knowing violation of the law that was material to the cause of action subject to such final adjudication. 
 (c)  The satisfaction of the indemnification obligations of the Company under this Section 6.6 shall be from and
limited to the assets of the Company, and no Member or Interest Holder shall have any personal liability for the satisfaction of any such indemnification obligation. 
 (d)  Notwithstanding any other term or provision of this Operating Agreement, the terms and provisions of this
Section 6.6 cannot and shall not be amended or repealed under any circumstance, except as may be necessary to increase or expand (but not to reduce) the rights or protections under this Section 6.6 of officers of the Company 

  

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or other persons referenced in this Section 6.6 to the maximum extent permitted by Chapter 86, as amended. No amendment or repeal of any term or provision of this
Section 6.6 that otherwise would restrict or limit any right or protection of an officer of the Company or other person under this Section 6.6 shall apply to or have any effect on any such right or protection of any officer of the Company
existing at the time of such amendment or repeal or of any person who at any time before such amendment or repeal was but ceased to be an officer of the Company, or of the heirs, executors and administrators of any such officer of the Company or
other person. 
 ARTICLE VII 
 RIGHTS AND
RESTRICTIONS OF MEMBERS 
 Section  7.1  Members’ Preemptive Rights. Each Member, and only a
Member, shall have a preemptive right for a period of THIRTY (30) days to subscribe for, purchase or otherwise acquire any Membership Interest or any other equity and/or voting interest in the Company that the Company and/or the Board of
Managers at any time proposes to issue and/or sell or any right or option that the Company and/or the Board of Managers proposes to grant for the purchase of Membership Interests or any other equity and/or voting interest in the Company or for the
purchase of documents, instruments, bonds, securities or obligations of the Company that are convertible into or exchangeable for, or that carry rights to subscribe for, purchase or otherwise acquire, Membership Interests or any other equity and/or
voting interest in the Company, whether now or hereafter authorized or created, and whether the proposed issuance, sale or grant is for cash, property or any other lawful consideration. The Company shall transmit written notice (the “Preemptive
Rights Notice”) to every Member of any such proposed issuance, sale or grant of Membership Interests, other interests, rights or options (collectively, “New Securities”), stating (a) the exact amount and type of New Securities
proposed to be issued, sold or granted, (b) the amount of the purchase price per New Security and for the total number of New Securities proposed to be issued, sold or granted and (c) the terms of the proposed issuance, sale or grant.
Within THIRTY (30) days after the date of the Company’s transmission of the Preemptive Rights Notice, any of the Members that desires to acquire all or any portion of the New Securities proposed to be issued, sold or granted (as specified
in the Preemptive Rights Notice) shall deliver to the Company a written election to purchase such New Securities or a specified number thereof. If the total number of New Securities specified in such elections exceeds the number of New Securities to
be issued, sold or granted (as specified in the Preemptive Rights Notice), then each such Member shall have priority, up to the number of New Securities specified in such Member’s notice of election to purchase, to purchase such proportion of
the New Securities to be issued, sold or granted (as specified in the Preemptive Rights Notice) as the Membership Voting Interests that such Member holds bears to the total Membership Voting Interests held by all of the Members electing to purchase.
If New Securities out of the total number of the New Securities proposed to be issued, sold or granted (as specified in the Preemptive Rights Notice) remain after the application of the foregoing formula, then such remaining New Securities shall be
allocated among the Members that have not received the number of New Securities specified in their notices of election to purchase in the proportion that the number of New Securities specified in each individual Member’s notice of election to
purchase less the number of New Securities allocated to that Member under the foregoing formula bears to the total number of New Securities in all such elections to purchase less all New Securities allocated to Members under the foregoing formula.
If the Members do not purchase the total number of New Securities to be issued, sold or granted (as specified in the Preemptive Rights Notice) within the above-referenced THIRTY (30) day period, then, after the expiration of such THIRTY
(30) day period, but subject to all of the terms and provisions of this Section 7.1 and all 

  

 20 

 
other applicable terms and provisions of this Operating Agreement, such New Securities not purchased by the Members, but only such New Securities, may be issued, sold
or granted by the Board of Managers, as the case may be, to such persons, entities, corporations, partnerships and associations as the Board of Managers in its discretion may determine, but only for the purchase price per New Security and under the
exact terms specified in the Preemptive Rights Notice. If any Member transfers all or any portion of such Member’s Membership Interest to a person who by reason of such transfer becomes an Interest Holder but is not admitted as a Member in
accordance with the terms and provisions of Section 14.2 or Section 14.5 of this Operating Agreement, then such Transferring Member shall continue to be a Member and retain all of the preemptive rights provided by this Section 7.1
theretofore associated with such transferred Membership Interest until such time (if any) as the transferee Interest Holder of such transferred Membership Interest (or such transferee Interest Holder’s successor in interest) is admitted to the
Company as a Member in accordance with the terms and provisions of Section 14.2 of this Operating Agreement. In every such case, the Transferring Member shall continue to be a Member and retain the preemptive rights provided by this
Section 7.1 theretofore associated with the transferred Membership Interest of such Member even if such Member so has transferred such Member’s entire Membership Interest to one or more assignees. The preemptive rights terms and provisions
of this Section 7.1 cannot be amended or repealed unless such amendment or repeal first has been approved by the affirmative vote or written consent of the Members holding ONE HUNDRED PERCENT (100%) of the outstanding Membership Voting
Interests. The preemptive rights terms and provisions of this Section 7.1 shall not apply to any transaction that is effected or proposed to be effected by the Company under any of subparagraphs (i) through (n), inclusive, of
Section 5.4 of this Operating Agreement or under Section 9.4 of this Operating Agreement. 
 Section  7.2  Public Offerings of Securities. Provided that, in accordance with the terms and provisions of subparagraphs (k) and (l) of Section 5.9 of this Operating Agreement, it first has been
reasonably proposed (a) that the Company (or any parent or successor entity of the Company) effect the registration and/or qualification of equity securities of the Company (or of any parent or successor entity of the Company) with the
Securities and Exchange Commission and state securities administrators for the purpose of effecting an initial public offering of such securities and (b) that the Company (or any parent or successor entity of the Company) effect an initial
public offering of equity securities of the Company (or of any parent or successor entity of the Company), and the Members holding more than SIXTY-FIVE PERCENT (65%) of the outstanding Membership Voting Interests have failed or refused to
authorize or approve such proposal within THIRTY (30) days after such proposal is made, any Member that at that time is not a publicly-traded entity shall have the unrestricted right within SIX (6) months after such THIRTY (30) day
period to commence the registration and/or qualification of equity securities of such Member with the Securities and Exchange Commission and state securities administrators for the purpose of effecting an initial public offering of such securities
and to commence an initial public offering of such securities of such Member. At any time and from time to time after the consummation of any such initial public offering of a Member’s equity securities, such Member shall have the unrestricted
right to commence and effect additional public offerings of securities of any class of such Member as such Member in its sole and absolute discretion deems appropriate. Notwithstanding any other term or provision of this Operating Agreement, the
terms and provisions of this Section 7.2 cannot be amended or repealed unless such amendment or repeal first has been approved by the affirmative vote or written consent of the Members holding more than SIXTY-FIVE PERCENT (65%) of the
outstanding Membership Voting Interests. 
  

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 Section  7.3  Restrictions on Members. No Member, otherwise than in such
Member’s capacity as a Manager, without the written consent of the Members holding ONE HUNDRED PERCENT (100%) of the outstanding Membership Voting Interests, shall do any of the following: 
 (a)  Borrow or lend money on behalf of the Company; 
 (b)  Purport to or sell, mortgage, lease or otherwise dispose of or encumber property of the Company; 
 (c)  Purchase any real estate or equipment on behalf of the Company; or 
 (d)  Exercise or represent to any third party that such Member as such has the right to exercise any of the powers of the
Managers described in this Operating Agreement. 
 Notwithstanding any other term or provision of this Operating Agreement, the terms
and provisions of this Section 7.3 cannot be amended or repealed unless such amendment or repeal first has been approved by the affirmative vote or written consent of the Members holding ONE HUNDRED PERCENT (100%) of the outstanding
Membership Voting Interests. 
 Section  7.4  Other Restrictions on Members. No Member, without the written
consent of the Members holding more than FIFTY PERCENT (50%) of the outstanding Membership Voting Interests, shall hypothecate all or any portion of such Member’s Membership Interest. 
 Section  7.5  Admission of New Members. Subject to all of the requirements of applicable gaming law and securities law,
and in accordance with the terms and provisions of subparagraph (g) of Section 5.9 of this Operating Agreement, new Members may be admitted to the Company from time to time in connection with the Company’s issuance and sale of
Membership Interests in accordance with the terms and provisions of subparagraph (f) of Section 5.9 of this Operating Agreement by the affirmative vote or written consent of the existing Members holding more than SIXTY-FIVE PERCENT
(65%) of the outstanding Membership Voting Interests. Subject to all of the requirements of applicable gaming law and securities law, new Members also may be admitted to the Company from time to time in connection with transfers of Membership
Interests effected or to be effected in accordance with the terms and provisions of ARTICLE XIV of this Operating Agreement but only in accordance with the terms and provisions of ARTICLE XIV of this Operating Agreement. Every new Member, before
becoming such, shall complete, execute and deliver to the Company a securities law suitability questionnaire for review by legal counsel in order to ensure that the admission of such new Member as such to the Company can be and is effected in
compliance with all applicable securities law. Every new Member (and such new Member’s spouse, where applicable) shall execute and deliver to the Company and the Members and the Interest Holders a counterpart of this Operating Agreement,
thereby binding such Member (and such Member’s spouse, where applicable) to the terms and provisions of this Operating Agreement, and further shall execute such other documents and instruments as the Board of Managers deems necessary or
appropriate for admission as a Member. Notwithstanding any other term or provision of this Operating Agreement, the terms and provisions of this Section 7.5 cannot be amended or repealed unless such amendment or repeal first has been approved
by the affirmative vote or written consent of the Members holding more than SIXTY-FIVE PERCENT (65%) of the outstanding Membership Voting Interests. 
 Section  7.6  Resignation of Members. Subject to all of the requirements of applicable gaming and other law, a Member may not resign from the Company as a Member before the dissolution and winding up
of the Company in accordance with the terms and provisions of ARTICLE XVII of this Operating Agreement, except upon the transfer of a Member’s entire Membership Interest to a Transferee in accordance with the terms and provisions of ARTICLE XIV
in connection with which transfer such Transferee is admitted as a Member with respect to the entire Membership Interest so transferred, upon which event, the resignation of such Member shall be deemed to have occurred automatically. 
  

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 ARTICLE VIII 
 MEETINGS OF THE MEMBERS 
 Section  8.1  Annual Meetings. The annual meeting of the Members
shall be held at the time and place designated by the Board. 
 Section  8.2  Special Meetings. Special
meetings of the Members may be called at any time by any Manager or by Members holding more than SEVENTEEN PERCENT (17%) of the outstanding Membership Voting Interests by delivering written notice of such meeting to the Managers. 
 Section  8.3  Voting Rights; Membership Voting Interests. Except as otherwise required by Chapter 86, for the purpose of
voting or approving or taking action required or permitted to be taken or approved by the Members under this Operating Agreement, each Member, upon and after becoming such, shall have voting power equaling the percentage of all outstanding
Membership Interests held by such Member and, if applicable, any assignee of such Member that has not been admitted as a Member under either Section 14.2 or Section 14.5 of this Operating Agreement, determined as of the date of giving
notice of the meeting of the Members or as of the date of the notice for proposed action by written consent without a meeting of the Members. For all purposes of this Operating Agreement, such voting power of each Member shall constitute and be such
Member’s individual Membership Voting Interest. If any Member transfers all or any portion of such Member’s Membership Interest to a person who by reason of such transfer becomes an Interest Holder but is not admitted as a Member in
accordance with the terms and provisions of Section 14.2 or Section 14.5 of this Operating Agreement, then such Transferring Member shall continue to be a Member and retain the Membership Voting Interest theretofore associated with such
transferred Membership Interest until such time (if any) as the transferee Interest Holder of such transferred Membership Interest (or such transferee Interest Holder’s successor in interest) is admitted to the Company as a Member in accordance
with the terms and provisions of Section 14.2 of this Operating Agreement, and in all events and for all purposes such Membership Voting Interest theretofore associated with such transferred Membership Interest shall continue to be, and shall
continue to be considered, outstanding. In every such case, the Transferring Member shall continue to be a Member and retain the Membership Voting Interest theretofore associated with the transferred Membership Interest of such Member even if such
Member so has transferred such Member’s entire Membership Interest to one or more assignees. If any such assignee desires to make a further assignment of any Membership Interest, then such assignee shall be subject to all of the terms and
provisions of this Operating Agreement to the same extent and in the same manner as any Member desiring to make such an assignment. 
 Section  8.4  Notice. The Managers shall cause written notice of the annual meeting and any special meeting of the Members to be given to each Member entitled to vote at such meeting, either in person or by first
class mail, postage pre-paid, not less than TEN (10) days nor more than SIXTY (60) days before such meeting. The notice shall specify the place, the day and the hour of such meeting. In addition, the notice for any special meeting shall
specify the purpose or purposes for which such meeting is called. Notice shall be deemed delivered by first class mail if mailed to the address of each Member as such Member’s address appears on the Company’s records. 
 Section  8.5  Waiver of Notice. Any meeting of the Members, however called and noticed or wherever held, shall be as
valid as if duly held after regular call and notice if a quorum (as specified in Section 8.7) is present at such meeting 

  

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and, either before or after such meeting, each of the Members not present at such meeting signs a written waiver of notice or a consent to the holding of such meeting
or an approval of the minutes thereof. All such waivers, consents or approvals shall be filed with the records or made a part of the minutes of the meeting. 
 Section  8.6  Adjourned Meetings and Notice Thereof. Any meeting of the Members, annual, regular or special, whether or not a quorum (as specified in Section 8.7) is
present, may be adjourned from time to time by the vote of the Members holding more than FIFTY PERCENT (50%) of the outstanding Membership Voting Interests present in person or represented by proxy at such meeting, but in the absence of a
quorum no other business may be transacted at such meeting. Other than by announcement at the meeting at which such adjournment is taken, it shall not be necessary to give any notice of an adjournment or of the business to be transacted at an
adjourned meeting; provided, however, that when any meeting of the Members, either annual, regular or special, is adjourned for THIRTY (30) days or more, notice of the adjourned meeting shall be given as in the case of an original meeting.

 Section  8.7  Action by the Members; Meetings; Quorum; Vote Required. The Members may vote only on
matters as to which the Members are authorized to take action in accordance with this Operating Agreement or by applicable law and not subject to modification or waiver. Except as otherwise specifically provided herein, Members may vote on or
approve a matter or take any action by the vote of Members at a meeting, in person or by proxy, or without a meeting by written consent. For any meeting of the Members, the presence in person or by proxy of Members holding more than FIFTY PERCENT
(50%) of the outstanding Membership Voting Interests at the time of the action taken constitutes a quorum. 
 Section  8.8  Action by Written Consent. Any action may be taken by the Members without a meeting if authorized by the written consent of the Members holding more than FIFTY PERCENT (50%) of the outstanding
Membership Voting Interests or such higher percentage as required under Chapter 86 or this Operating Agreement. In no instance where action is authorized by such written consent need a meeting of the Members be called or noticed. 
 Section  8.9  Place of Meetings of the Members. The meetings of the Members shall be held at the location provided for
in the notice thereof. 
 ARTICLE IX 
 CAPITAL CONTRIBUTIONS AND MEMBERSHIP INTERESTS 
 Section  9.1  Capital Contributions. The
capital contributions of the Members shall be the amounts of the capital accounts of the Members as adjusted, including the adjustment referred to in Section 10.1(d) and any adjustment for the distribution contemplated by the Purchase
Agreement. Immediately prior to the Closing of the Transaction for all Members except NGA. The capital contribution of NGA shall be $31,133,250.00 as represented by the par amount of the Shreveport Bonds as set forth in the Purchase Agreement, plus
the capital account of Donald L. Carano immediately prior to the Closing of the Transaction after giving effect to the distribution to be made pursuant to the Purchase Agreement. The Capital Account of the Members shall be set forth on Schedule A
hereof. As of the date of effectiveness of this Operating Agreement, the Company acknowledges having received all initial capital contributions of the Members, which, in accordance with this Section 9.1, have been or shall be credited to the
Members’ respective capital accounts as current capital contributions to the capital of the Company. 
  

 24 

 Section  9.2  Membership Interests. The respective Membership Interests
of the Members as of the close of the Transaction are as follows: 
  

				
	 Member
	  	Membership Interest	 
	 RECREATIONAL ENTERPRISES, INC.
	  	47.0415	%
	 HOTEL-CASINO MANAGEMENT, INC.
	  	24.8037	%
	 HOTEL CASINO REALTY INVESTMENTS, INC.
	  	5.1318	%
	 LUDWIG J. CORRAO
	  	4.2765	%
	 NGA ACQUISITIONCO, LLC
	  	17.0359	%
	 GARY L. CARANO QUALIFIED S CORPORATION TRUST
	  	.34212	%
	 GLENN T. CARANO QUALIFIED S CORPORATION TRUST
	  	.34212	%
	 GENE R. CARANO QUALIFIED S CORPORATION TRUST
	  	.34212	%
	 GREGG R. CARANO QUALIFIED S CORPORATION TRUST
	  	.34212	%
	 CINDY L. CARANO QUALIFIED S CORPORATION TRUST
	  	.34212	%
		  	 	 
		  	100 	%

 Section  9.3  Subsequent Capital Contributions. Subject to the
prior approval of the vote or written consent of Members holding SEVENTY-FIVE PERCENT (75%) of the outstanding Membership Voting Interests at any time and from time to time, the Board of Managers may request, but not require, that every Member
and Interest Holder make additional contributions of capital to the Company. Each such request made to every Member and Interest Holder initially shall be for such proportion of the total additional contribution of capital requested from all of the
Members and the Interest Holders as the Membership Interest that such Member or Interest Holder holds bears to the total Membership Interests held by all of the Members and the Interest Holders. If all of the Members and the Interest Holders do not
make additional contributions of capital to the Company within TEN (10) days after being so requested, then those Members and Interest Holders who make such additional contributions of capital to the Company within that period (the
“Contributing Members and Interest Holders”) collectively and individually shall have the right and option within TEN (10) days after such initial TEN (10) day period to make more additional contributions of capital to the
Company up to the total amount of contributions of capital to the Company requested in accordance with the foregoing but not made (the “Uncontributed Amount”), each Contributing Member and Interest Holder individually (a) first in
such proportion of the total Uncontributed Amount as the Membership Interest that each Contributing Member or Interest Holder holds bears to the total Membership Interests held by all of the Contributing Members and Interest Holders but
(b) ultimately in such proportion of the total Uncontributed Amount as the Membership Interest that each Contributing Member or Interest Holder electing to exercise such right and option holds bears to the total Membership Interests held by all
of the Contributing Members and Interest Holders electing to exercise such right and option. The foregoing formula contemplates the possibility that, within such second TEN (10) day period, any ONE (1) of the Contributing Members or
Interest Holders individually (if no other Contributing Member or Interest Holder elects to contribute any part of the Uncontributed Amount in accordance with the foregoing formula) may make an additional contribution of capital to the Company
equaling the entire Uncontributed Amount. If certain Members and Interest Holders elect to make additional contributions of capital to the Company upon request in accordance with the foregoing terms and provisions, and certain other Members and
Interest Holders elect not to make additional contributions of capital to the Company upon request in accordance with the foregoing terms and provisions, then the Membership Interests of Members and Interest Holders 

  

 25 

 
who elect to make such additional contributions of capital to the Company shall increase accordingly, and the Membership Interests of Members and Interest Holders who
elect not to make such additional contributions of capital to the Company shall be diluted in accordance with the Members’ aggregate capital contributions (with the capital contributions as of the date hereof as set forth on Schedule A attached
hereto. The Board of Managers has no authority to, and shall not, request that any Member or Interest Holder make an additional contribution of capital to the Company except in accordance with the terms and provisions of this Section 9.3.

 Section  9.4  New Membership Interests. Upon the closing of the Transaction, the Company shall issue a
New Membership Interest to NGA in the amount of 14.47% of all Membership Interests in the Company after giving effect to the issuance of the New Membership Interests. Except as otherwise provided in this Section 9.4 and 9.5, the holder of the
New Membership Interest shall have all rights, obligations, limitations and restrictions as all other Members and holders of Membership Interests. The Majority NGA Holder(s) shall be entitled to designate one (1) of the five (5) Managers
serving on the Board of Managers of the Company. The initial designated representative of NGA to serve on the Board of Managers of the Company is Thomas Reeg (Reeg). Except as otherwise provided herein, Reeg shall continue to serve as the designated
representative of NGA, unless replaced by NGA, so long as NGA or an Affiliate of NGA remains a Member of the Company. In the event of the death or disability of Reeg or the termination or resignation of Reeg as a representative of NGA, NGA shall
designate a replacement representative to Reeg which designation shall be subject to the Company’s consent which shall not be unreasonably withheld or delayed. If, for any reason, the designated representative of NGA is determined by any
applicable gaming authority, including without limitation the Nevada Gaming Authorities, not to be suitable or qualified to be a Manager of the Company, NGA will be entitled to nominate a replacement Manager. 
 Section  9.5  NGA Specific Rights. All NGA’s Membership Interests shall be subject to the buy-sell rights, the
transfer restrictions and provisions as provided in this Section 9.5. The buy-sell rights become exercisable only upon the occurrence of a Material Event (as defined below) or at any time after June 14, 2015 (“Trigger Date”).

 (a)  At any time after the occurrence of a Material Event or any time following the Trigger Date, the
Majority NGA Holder shall have the right to sell (“Put”) all but not less than all of its New Membership Interest to Company and Company shall have the right to purchase (“Call”) all but not less than all of NGA’s Membership
Interest, at a price equal to the fair market value of the New Membership Interest and/or NGA’s Membership Interest without discounts for minority ownership and lack of marketability. The purchase price shall be determined by mutual agreement
of NGA and the Company. In the event that after good faith negotiations, or in any event THIRTY (30) days after delivery of the Option Notice (as defined below)(the “Negotiation Period”) the Company and NGA have not mutually agreed on
a purchase price for the NGA Interests, then the purchase price shall be determined by the average of two (2) appraisals by nationally recognized appraisers of private companies with one appraisal obtained and paid for by NGA and one appraisal
obtained and paid for by the Company, if and only if such appraisals are within a 5% range of value based upon the lowest of such appraisals. If the referenced two appraisals are not within a 5% range, the purchase price shall be determined by the
average of a third mutually acceptable, independent, nationally recognized appraiser of private companies (with NGA and Company to each pay one-half of costs) and the next nearest appraisal of the two appraisals engaged by each of the parties unless
the third appraisal is at the mid-point of the original two appraisals, in which event the third appraisal shall be used to established the fair market value. The selection of such appraisers shall occur no later than THIRTY (30) days after
termination of the Negotiation Period. Either NGA or the Company, as the case may be, shall deliver written notice to the other party initiating its applicable Put or Call rights under this Section 9.5 (the “Option Notice”).

  

 26 

 (b)  NGA shall have the right to sell or assign the NGA Interests to an
Affiliate subject to the terms of the Operating Agreement including but not limited to the Put and Call provisions set forth in this Section 9.5 and subject to the consent of the Company which shall not be unreasonably withheld and so long as
the Company’s right to exercise its Call rights are not materially impaired. 
 (c)  So long as a
Material Event has not occurred, NGA or its successors and assigns shall have the right to unilaterally extend the Trigger Date for two one-year extension periods. This right shall be exercised by giving written notice of the extension of the
Trigger Date at least thirty (30) days before reaching the then applicable Trigger Date. 
 (d)  Upon
exercise of either the Call or the Put as provided herein, the transaction shall close on or before one year of the anniversary date of the Option Notice unless delayed by obtaining the necessary approvals from the applicable Gaming Authorities. All
parties agree to proceed in good faith and with due diligence to close any such transaction. Upon close, the purchase price shall be paid in full, in cash, by the Company. 
 (e)  A Material Event for the purpose of allowing Company to exercise the right to Call the NGA Interests shall mean the
loss, forfeiture, surrender or termination of a material license or finding of unsuitability issued by one or more of the applicable Gaming Authorities with respect to Reeg, NGA or any transferee of NGA or any affiliate of NGA. In the event that a
Material Event occurs prior to the Trigger Date or during an extension thereof, NGA or its assignee or affiliate shall provide carry back financing to the Company on terms and conditions reasonably acceptable to the Company. Upon the occurrence of a
Material Event, the Company shall have the right at any time to Call NGA’s Membership Interest if required or ordered by any one or more of the applicable Gaming Authorities and such Call shall be on the terms as provided for herein, unless
other terms are required by any of the applicable Gaming Authorities in which event, the Call shall be on such other terms. 
 (f)  A Material Event for the purpose of allowing NGA or its transferee(s) to exercise the right to Put the NGA Interests to the Company shall mean the loss, forfeiture, surrender or termination of a material license or finding of
unsuitability by the applicable Gaming Authorities with respect to the Company, any affiliate of the Company (other than NGA or its affiliates) including but not limited to the Eldorado Hotel and Casino, the Eldorado Shreveport Hotel and Casino and
the Silver Legacy Hotel and Casino. 
 (g)  In the event of a public offering of equity securities by the
Company in which any Member of the Company is allowed to participate, NGA shall have rights equivalent to other Members of the Company to sell such equity securities of the Company held by NGA on a pro rata basis with the other Members of such
offering. In addition, NGA shall be granted registration rights to conduct a secondary offering in accordance with the Registration Agreement of even date hereof. The Company shall pay all expenses associated with the initial registration and public
offering. Upon such initial public offering, the Put and Call provisions set forth in this Section 9.5 shall terminate and be of no further force and effect. 
  

 27 

 ARTICLE X 
 CAPITAL ACCOUNTS 
 Section  10.1  Composition of Capital Accounts. Separate capital
accounts shall be maintained by the Company for each Member and Interest Holder in accordance with Section 704(b) of the Internal Revenue Code and the Regulations promulgated thereunder, representing the Members’ and the Interest
Holders’ respective capital contributions to the Company. 
 (a)  The capital account of each Member and
Interest Holder shall consist of the capital contribution credited by the Company to such Member’s or Interest Holder’s respective capital account in accordance with the terms and provisions of Sections 9.1 and 9.2 of this Operating
Agreement, increased by the following: 
 (i)  The fair market value of additional capital contributions of
property made by such Member or Interest Holder to the Company (net of liabilities secured by such contributed property to the extent that the Company under Section 752 of the Internal Revenue Code is considered to assume such liabilities or to
take the contributed property subject to such liabilities); 
 (ii)  Additional cash and other forms of
capital contributions made by such Member or Interest Holder in accordance with Section 9.3 of this Operating Agreement; and 
 (iii)  Such Member’s or Interest Holder’s share of the Net Profits and items of income and gain allocated to the Members and the Interest Holders in accordance with ARTICLE XI of this Operating Agreement,
including income and gain as computed for book purposes in accordance with Regulations Section 1.704-1(b)(2)(iv)(g). 
 (b)  The capital account of each Member and Interest Holder shall be decreased by the following: 
 (i)  The amount of money distributed to such Member or Interest Holder by the Company in accordance with ARTICLE XIII of this Operating Agreement; 
 (ii)  The fair market value of property distributed to such Member or Interest Holder by the Company (net of liabilities
secured by such property to the extent that such Member or Interest Holder under Section 752 of the Internal Revenue Code is considered to assume such liabilities or to take such property subject to such liabilities); and 
 (iii)  Allocations to such Member or Interest Holder of Net Losses and Company deductions, including Net Losses and
Company deductions computed for book purposes described in Regulations Section 1.704-1(b)(2)(iv)(g). 
 (c)  In cases where Section 704(c) of the Internal Revenue Code applies to property of the Company, the Members’ and the Interest Holders’ capital accounts shall be adjusted in accordance with Regulations
Section 1.704-1(b)(2)(iv)(g) for allocations to the Members and the Interest Holders of depreciation, depletion, amortization, gain and losses, as computed for book purposes, with respect to such property. 
  

 28 

 (d)  The capital accounts of the Members and the Interest Holders may be
adjusted to reflect a revaluation of Company property (including intangible assets such as goodwill) on the Company’s books to the extent provided in Regulations Section 1.704-1(b)(2)(iv)(f). 
 (e)  The Tax Matters Partner may make all elections for federal income tax purposes, including an election to adjust the
basis of the Company’s property in accordance with Sections 734, 743 and 754 of the Internal Revenue Code, in the event of a transfer of a Membership Interest or a distribution of property by the Company and shall make such election at the
request of NGA. The Members’ and Interest Holders’ capital accounts shall be adjusted to the extent provided in Regulations Section 1.704-1(b)(2)(iv)(m). 
 (f)  The terms and provisions of this Operating Agreement regarding the maintenance of capital accounts are intended to
comply with Section 704(b) of the Internal Revenue Code as amended from time to time (“Section 704(b)”) and the Regulations (especially Regulations Section 1.704-1(b)) as amended from time to time, and shall be interpreted and
applied in a manner consistent with Section 704(b) and the Regulations. In the event that the Board of Managers and/or the Tax Matters Partner determines that it is necessary to modify the manner in which the capital accounts, or debits or
credits thereto, are computed in order to comply with Section 704(b) and the Regulations, the Board of Managers and/or the Tax Matters Partner may make such modification, provided that such modification is not likely to have a material effect
on the amounts distributable to any Member or Interest Holder under ARTICLE XIII of this Operating Agreement or upon the dissolution of the Company. If the Board of Managers and/or the Tax Matters Partner determines that such adjustments are
necessary under Regulations Section 1.704-1(b)(2)(iv), the Board of Managers and/or the Tax Matters Partner shall adjust the amounts debited or credited to capital accounts with respect to (a) any property contributed to the Company or
distributed to the Members and the Interest Holders and (b) any liability that is secured by such contributed or distributed property or that is assumed by the Company. The Board of Managers and/or the Tax Matters Partner also shall make
necessary modifications to the capital accounts if unanticipated events otherwise might cause this Operating Agreement not to comply with Regulations Section 1.704-1(b); provided, however, that the Board of Managers and/or the Tax Matters
Partner shall consult with the Members before doing so to the extent feasible. 
 Section  10.2  No Withdrawal
or Return of Capital Contribution. Except as otherwise expressly provided in this Operating Agreement, no Member or Interest Holder shall have the right to withdraw or receive any return of such Member’s or Interest Holder’s capital
contribution made to the Company. 
 Section  10.3  Transfer of Membership Interest. In the event that any
Membership Interest is transferred in accordance with the terms and provisions of this Operating Agreement, the Transferee shall succeed to the capital account of the Transferring Member to the extent that such capital account relates to the
transferred Membership Interest. 
  

 29 

 ARTICLE XI 
 PROFITS AND LOSSES 
 Section  11.1  Net Profits and Losses. After giving effect to the
special allocations set forth in Sections 11.2 and 11.3 of this Operating Agreement, Net Profits and Net Losses shall be allocated and credited to the Members’ and Interest Holders’ respective capital accounts in proportion to their
respective Membership Interests. 
 Section  11.2  Special Allocations. Notwithstanding Section 11.1 of
this Operating Agreement: 
 (a)  If there is a net decrease in Company Minimum Gain or Member Minimum Gain
during any fiscal year of the Company, then the Members and the Interest Holders shall be allocated items of Company income and gain for such fiscal year (and, if necessary, for subsequent fiscal years) in accordance with Regulations
Section 1.704-2(f) or Section 1.704-2(i)(4), as applicable. 
 (b)  Any Member Nonrecourse
Deductions for any fiscal year shall be specially allocated to the Members and the Interest Holders who bear the economic risk of loss with respect to the Member Nonrecourse Debt to which such Member Nonrecourse Deductions are attributable, in
accordance with Regulations Section 1 704-2(j). 
 (c)  Items of Company income and gain shall be
allocated to the Members and Interest Holders in accordance with the “qualified income offset” requirements of Regulations Section 1.704-1(b)(2)(ii)(d). 
 (d)  To the extent that any allocation of losses would cause or increase an Adjusted Capital Account Deficit as to any
Member or Interest Holder, such allocation of losses shall be reallocated among the other Members and Interest Holders in proportion to their respective Membership Interests, but in a manner that will not produce an Adjusted Capital Account Deficit
as to any other Member or Interest Holder. 
 Section  11.3  Curative Allocations. The allocations set forth
in Section 11.2 of this Operating Agreement (the “Regulatory Allocations”) are intended to comply with certain requirements of Section 704 of the Internal Revenue Code and the Regulations promulgated thereunder. Notwithstanding
any other provision of Section 11.1, the Regulatory Allocations shall be taken into account in allocating other profits, losses and items of income, gain, loss and deduction among the Members and the Interest Holders so that, to the extent
possible, the net amount of such Regulatory Allocations of other profits, losses and other items and the Regulatory Allocations to each Member and Interest Holder shall be equal to the net amount that would have been allocated to each such Member
and Interest Holder if the Regulatory Allocations had not occurred. 
 Section  11.4  Federal Income Tax. It
is the intent of the Company and all of the Members that the Company shall be governed by the applicable terms and provisions of Subchapter K of Chapter 1 of the Internal Revenue Code as amended from time to time (“Subchapter K”) and
similar terms and provisions of state tax laws. No election shall be made by the Company, the Board of Managers, the Tax Matters Partner, any Member or any Interest Holder to be excluded from the application of the terms and provisions of Subchapter
K or from similar state tax laws. 
  

 30 

 Section  11.5  Other Allocation Rules. For any fiscal year of the
Company during which a Membership Interest is assigned by any Member or Interest Holder, the portion of the Net Profits or Net Losses that is allocable in respect of such Membership Interest shall be apportioned between the assignor and the assignee
on any basis selected by the Board of Managers, provided that such basis is permitted by Section 706(d)(2) of the Internal Revenue Code, and provided that any transferor may request, at its expense, that the allocation be effected for all items
or extraordinary items in accordance with a closing of the books. 
 Section  11.6  Tax Allocations.

 (a)  Except as otherwise provided in this Section 11.6, each item of income, gain, loss and deduction
shall be allocated for income tax purposes among the Members and the Interest Holders in the same manner as its correlative item of “book” income, gain, loss or deduction is allocated pursuant to the terms and provisions of this ARTICLE
XI. 
 (b)  Notwithstanding subparagraph (a) of this Section 11.6, income, gain, loss and deduction
with respect to property contributed to the Company by a Member shall be allocated among the Members, pursuant to Regulations promulgated under Section 704(c) of the Internal Revenue Code, so as to take account of the variation, if any, between
the adjusted basis of such property to the Company and its initial value. The Company shall account for such variation under any method approved under Section 704(c) of the Internal Revenue Code and the applicable Regulations as chosen by the
Board of Managers. If the value of any Company asset is adjusted pursuant to subparagraph (d) of Section 10.1 of this Operating Agreement, then subsequent allocations of income, gain, loss and deduction with respect to such asset shall
take account of the variation, if any, between the adjusted basis of such asset for federal income tax purposes and its value in the same manner as under Section 704(c) of the Internal Revenue Code and the applicable Regulations, consistent
with the requirements of Regulations Section 1.704-1(b)(2)(iv)(g), using any method approved under Section 704(c) of the Internal Revenue Code and the applicable Regulations, as chosen by the Board of Managers. Allocations pursuant to this
subparagraph (b) of this Section 11.6 are solely for the purposes of federal, state and local income taxes and shall not affect, or in any way be taken into account in computing, the capital account of any Member or Interest Holder or any
Member’s or Interest Holder’s share of Net Profits, Net Losses, other tax items or distributions pursuant to any provision of this Operating Agreement. 
 ARTICLE XII 
 NO INTEREST 
 No Member or Interest Holder will be credited with interest on such Member’s or Interest Holder’s capital account. 
  

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 ARTICLE XIII 
 DISTRIBUTIONS TO MEMBERS 
 Section  13.1  Distributions. The Board of Managers shall
determine the amount of cash, if any, available for distribution to the Members and the Interest Holders at such times as the Board of Managers deems advisable. The distribution shall be based on all relevant factors, including, without limitation,
the operating expenses and debt service of the Company, sums expended by the Company for capital expenditures and a reasonable reserve for working capital. 
 Section  13.2  Amount of Distributions. Notwithstanding any other provision of this Operating Agreement, no distribution to the Members or the Interest Holders or to any other
person shall be made if, after the distribution is made, the assets of the Company are less than all liabilities of the Company, except liabilities to Members or Interest Holders on account of their capital contributions. 
 Section  13.3  Allocation of Distributions. Distributions made shall be made in proportion to the Members’ and
Interest Holders’ Membership Interests as of the date of distribution, unless otherwise agreed by the vote or written consent of the Members holding ONE HUNDRED PERCENT (100%) of the outstanding Membership Voting Interests. 
 Section  13.4  Mandatory Distributions. Except as provided in Section 13.2 of this Operating Agreement, the Board
of Managers on an annual basis shall distribute to each Member an amount equal to that Member’s allocable share of Net Profits for the applicable year multiplied by the highest marginal income tax rate applicable to individuals under the
Internal Revenue Code; provided, however, that this Section 13.4 shall have no application or force or effect upon and after any event that causes the Company thereafter to be taxed under the Internal Revenue Code as a corporation. 

ARTICLE XIV 
 RESTRICTIONS ON TRANSFER OF MEMBERSHIP
INTERESTS 
 THE TERMS AND PROVISIONS OF THIS ARTICLE XIV ARE SUBJECT TO THE TERMS AND PROVISIONS OF ARTICLE XV OF THIS OPERATING AGREEMENT.

 Section  14.1  Options and Rights to Purchase. Except as otherwise provided in this Operating
Agreement, no Transferring Member shall sell, transfer, assign or otherwise dispose of all or any portion of such Transferring Member’s Membership Interest to any proposed Transferee (a “Proposed Transferee”) without first offering to
sell such Membership Interest to the Company and the Members in the manner provided in this Section 14.1. The Transferring Member shall send to the Company a written offer executed by the Proposed Transferee (the “Proposed
Transferee’s Written Offer”) stating (a) the exact Membership Interest to be purchased by the Proposed Transferee, (b) the amount of the purchase price, (c) the terms of the purchase and (d) the qualifications of the
Proposed Transferee, if any, required to own a Membership Interest. 
 Within THIRTY (30) days after the Company’s receipt of
the Proposed Transferee’s Written Offer (the “Company’s Option Period”), the Company shall have the option and right to purchase all, and only all, of the Membership Interest of the Transferring Member described in the Proposed
Transferee’s Written Offer under the terms set forth in the Proposed Transferee’s Written Offer; provided, however, that such option and right to purchase of the Company shall be NULL and VOID if the sale to the Company of the Membership
Interest of the Transferring Member described in the Proposed 

  

 32 

 
Transferee’s Written Offer would result in the Company having only ONE (1) Member. Whether or not the Company shall exercise such option and right to
purchase shall be determined by the vote or written consent of the Members holding more than FIFTY PERCENT (50%) of the outstanding Membership Voting Interests, excluding the outstanding Membership Voting Interests held by the Transferring
Member. 
 Within FIVE (5) days after the Company’s failure or election not to exercise the Company’s option and right
to purchase provided by this Section 14.1 (for any reason, including that such right and option is NULL and VOID under the immediately-preceding paragraph hereof), the Board of Managers shall forward to each of the Members a copy of the
Proposed Transferee’s Written Offer together with a statement that the Company has failed or elected not to exercise the Company’s option and right to purchase (such statement of the Company, for the purposes of this Section 14.1, the
“Company’s Statement”), who collectively and individually then shall have the right and option, but no obligation, to purchase all, and only all, of the Membership Interest of the Transferring Member described in the Proposed
Transferee’s Written Offer under the terms set forth in the Proposed Transferee’s Written Offer. Any Member desiring to acquire all or a portion of the Membership Interest of the Transferring Member described in the Proposed
Transferee’s Written Offer shall deliver to the Board of Managers a written election to purchase such Membership Interest of the Transferring Member or a specified portion thereof within THIRTY (30) days after the date of the
Company’s Statement (such THIRTY (30) day period, for the purposes of this Section 14.1, the “Members’ Option Period”). If, in accordance with the immediately-preceding sentence hereof, the Company during the
Members’ Option Period receives notice from Members electing to purchase in the aggregate more than the Membership Interest of the Transferring Member described in the Proposed Transferee’s Written Offer, then each purchasing Member shall
have priority, up to the amount of such Membership Interest of the Transferring Member specified in such purchasing Member’s notice, to purchase such proportion of such Membership Interest of the Transferring Member as such purchasing
Member’s Membership Interest bears to the total Membership Interests held by Members electing to purchase. 
 Within FOURTEEN
(14) days after the expiration of the Members’ Option Period, the Board of Managers shall notify each purchasing Member as to what extent, if at all, such purchasing Member’s election was effective. Each such purchasing Member shall
satisfy the terms and conditions of the purchase within TWENTY ONE (21) days after receipt of such Board of Managers’ notification. 
 If, in accordance with the foregoing terms and provisions of this Section 14.1, neither the Company nor the Members have elected to exercise their option and right to purchase all of the Membership Interest of the Transferring Member
described in the Proposed Transferee’s Written Offer, then (provided that, in accordance with subparagraph (d) of Section 17.1 of this Operating Agreement, such sale, transfer, assignment or other disposition does not cause the
Company to dissolve), subject to the remaining terms and provisions of this Section 14.1 and the terms and provisions of Section 14.2 of this Operating Agreement, the Transferring Member may sell, transfer, assign or otherwise dispose of
such Membership Interest of the Transferring Member to the Proposed Transferee under the exact terms specified in the Proposed Transferee’s Written Offer. Notwithstanding the foregoing, the Transferring Member’s sale, transfer, assignment
or other disposition of such Membership Interest of the Transferring Member to the Proposed Transferee under the exact terms specified in the Proposed Transferee’s Written Offer shall be conditioned (the “Gaming Approval Condition”)
on the receipt by the Proposed Transferee, in accordance with the terms and provisions of ARTICLE XV of this Operating Agreement, of a license to hold an ownership interest in a gaming licensee in all jurisdictions where Company operates. Within
SIXTY (60) days after the expiration of the Members’ Option Period, the Proposed Transferee shall file with the applicable Gaming Authorities an application for a gaming license (the “Gaming License Applications”). The Proposed
Transferee shall prosecute the Gaming License Applications with all reasonable diligence and 

  

 33 

 
otherwise use best efforts to obtain the Gaming Licenses as expeditiously as practicable, without delay. Notwithstanding the foregoing, under no circumstance shall the
Proposed Transferee have more than ONE HUNDRED EIGHTY (180) days after the date of filing of the Gaming License Applications with the applicable Gaming Authorities to obtain the Gaming Licenses. If, in accordance with the foregoing terms and
provisions of this Section 14.1, the Transferring Member does not sell, transfer, assign or otherwise dispose of the Membership Interest of the Transferring Member described in the Proposed Transferee’s Written Offer to the Proposed
Transferee under the exact terms specified in the Proposed Transferee’s Written Offer within TWO HUNDRED FIFTY (250) days after the expiration of the Members’ Option Period, then the Transferring Member shall, before so selling,
transferring, assigning or otherwise disposing of such Membership Interest of the Transferring Member to the Proposed Transferee or any other Transferee, re-offer such Membership Interest of the Transferring Member to the Company and the Members in
the manner provided in this Section 14.1. 
 Section  14.2  Substitute Members; Rights of Transferees.
Except as otherwise permitted by Section 14.4 hereof and notwithstanding any other term or provision of this Operating Agreement, a Transferee upon receipt of a Membership Interest shall become a Member only if and when each of the following
conditions is satisfied: 
 (a)  The Transferring Member of the Membership Interest transferred shall send
written notice to the other Members requesting the admission of the Transferee as a substitute Member with respect to the Membership Interest transferred and setting forth the name and address of the Transferee, the Membership Interest transferred
and the effective date of the transfer; provided, however, that the foregoing shall not apply to any transfer of a Membership Interest to a Proposed Transferee under Section 14.1 of this Operating Agreement or to any transfer of all or any
portion of a Membership Interest effected under Section 14.5 of this Operating Agreement (except as otherwise provided therein); 
 (b)  Not less than a “majority in interest” (as hereinafter defined) of the Members (excluding the Transferring Member) must approve of the Transferring Member’s sale, transfer, assignment or other
disposition to the Transferee of the Transferring Member’s Membership Interest so transferred and consent in writing to the admission of such Transferee as a Member, which approval and consent may be given or withheld by any Member in the sole
and absolute discretion of such Member; provided, however, that, with respect to any sale, transfer, assignment or other disposition to a Proposed Transferee under Section 14.1 of this Operating Agreement, the Members (excluding the
Transferring Member) shall vote on such sale, transfer, assignment or other disposition and the admission of such Proposed Transferee as a Member at a special meeting or in writing by no later than TEN (10) days after the expiration of the
Members’ Option Period as defined in Section 14.1 of this Operating Agreement. For the purposes of this subparagraph (b) of this Section 14.2, the term “majority in interest” means a majority in interest in profits of
the Members, which is based on Membership Interests; 
 (c)  The Transferee (and such Transferee’s
spouse, where applicable) shall execute and deliver to the Company and the Members and the Interest Holders a counterpart of this Operating Agreement, thereby binding such Transferee (and such Transferee’s spouse, where applicable) to the terms
and provisions of this Operating Agreement, and further shall execute such other documents and instruments as the Board of Managers deems necessary or appropriate for admission of the Transferee as a substitute Member; and 
 (d)  Unless the Board of Managers approves otherwise, the Transferee shall reimburse the Company for all reasonable
accounting, legal and other expenses incurred by the Company in connection with the transfer of a Membership Interest to such Transferee and the admission of such Transferee as a Member. 
  

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 If a sale, transfer, assignment or other disposition of a Membership Interest to a Transferee under
this ARTICLE XIV is approved and the admission of such Transferee as a Member is consented to as required by subparagraph (b) of this Section 14.2, then such Transferee shall be admitted to all of the rights and powers of a Member,
including holding a Membership Voting Interest, and shall be subject to all of the restrictions and liabilities of the Transferring Member; provided, however, that, in accordance with Nevada Revised Statutes Section 86.351, in every such event
the Transferring Member is not released from liability to the Company. Until such time, if any, as a Transferee is admitted to the Company as a substitute Member in accordance with the terms and provisions of this Section 14.2, (i) such
Transferee shall be an assignee only, and such Transferee only shall receive, to the extent transferred, the distributions and allocations of income, gain, loss, deduction, credit or similar item to which the Transferring Member that transferred its
Membership Interest to such Transferee would be entitled, and (ii) such Transferee shall not be entitled or enabled to exercise any other right or power of a Member, all of such other rights and powers remaining with the Transferring Member. In
every such case, the Transferring Member shall continue to be a Member and retain all rights as such theretofore associated with the transferred Membership Interest of such Member even if such Member so has transferred such Member’s entire
Membership Interest to one or more assignees. If any such Transferee desires to make a further assignment of any Membership Interest, then such Transferee shall be subject to all of the terms and provisions of this Operating Agreement to the same
extent and in the same manner as any Member desiring to make such an assignment. 
 Section  14.3  Additional
Conditions to Transfer. Notwithstanding the terms and provisions of Section 14.1 of this Operating Agreement, no Member shall have the right voluntarily or involuntarily to sell, transfer, assign or otherwise dispose of all or any portion
of any Membership Interest, and no such purported sale, transfer, assignment or other disposition need be recognized by the Company, unless all of the following conditions are satisfied or waived by the Board of Managers: 
 (a)  The sale, transfer, assignment or other disposition shall not of itself cause the Company to be in default under any
indebtedness of the Company; 
 (b)  The Transferring Member shall deliver to the Company an opinion in form
and substance and from legal counsel reasonably acceptable to the Board of Managers stating that such sale, transfer, assignment or other disposition does not violate any federal securities law, or any applicable gaming law, the Transferee shall
deliver such additional documents respecting the Transferee’s investor suitability and other legal or investment matters as the Board of Managers reasonably may require, including, without limitation, the suitability questionnaire referred to
in Section 7.5 of this Operating Agreement, and the Company shall have no duty to participate in, cause or pay for any registration or qualification procedure under federal or state securities law; 
 (c)  The Transferring Member shall deliver to the Company a fully-executed written agreement of sale, transfer, assignment
or other disposition that sets forth the name, address and social security or taxpayer identification number of the Transferee and the terms of such sale, transfer, assignment or other disposition, provided that such terms shall not conflict with
any provision of this Operating Agreement; and 
 (d)  The Transferee (and such Transferee’s spouse,
where applicable), whether or not admitted to the Company as a Member under this Operating Agreement, shall execute and deliver to the Company and the Members and the Interest Holders a counterpart of this Operating Agreement, thereby binding the
Transferee (and such Transferee’s spouse, where applicable) to the terms and provisions of this Operating Agreement. 
  

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 Section  14.4  Permitted Transfers. Notwithstanding Section 14.1 of
this Operating Agreement which shall not be applicable, but subject to the terms and provisions of Section 14.2 of this Operating Agreement and all of the requirements of applicable gaming law and securities law, any Member at any time and from
time to time may transfer all or any portion of such Member’s Membership Interest to any of the persons or entities listed in subparagraphs (a) through (d), inclusive, of this Section 14.4: 
 (a)  To the Company; 
 (b)  To any other existing Member; 
 (c)  To any ONE
(1) or more entities that directly, or indirectly through one or more intermediaries, control, or are controlled by, or are under common control with, any ONE (1) or more of the Members, whether or not such Members, immediately before such
transfer, are the owners of the Membership Interests so transferred; and/or 
 (d)  To any Affiliate of NGA as
provided in Section 9.5(b). 
 Section  14.5  Special Permitted Transfers. Notwithstanding
Section 14.1 of this Operating Agreement, but subject to all of the requirements of applicable gaming law and securities law, all or any portion of the Membership Interests (individually, a “Specially-Permitted Transferable Membership
Interest,” and, collectively, the “Specially-Permitted Transferable Membership Interests”) originally issued to and held as of the date of this Operating Agreement by Ludwig J. Corrao (the “Current Individual Member ) may be
transferred, subject to the limitation set forth below in this Section 14.5, at any time and from time to time by the Current Individual Member and any of the persons or entities listed in subparagraphs (a) through (c), inclusive, of this
Section 14.5 to any of the persons or entities listed in subparagraphs (a) through (c), inclusive, of this Section 14.5 (individually, a “Specially-Permitted Transferee,” and, collectively, the “Specially-Permitted
Transferees”). For the purposes of this Section 14.5, the term “Specially-Permitted Transferable Membership Interests” (i) shall not include Membership Interests acquired by the Current Individual Member after the date of
this Operating Agreement and (ii) shall not include Membership Interests acquired by any other person or entity after the date of this Operating Agreement unless (a) such other person or entity is a Specially-Permitted Transferee, and
(b) such Membership Interests consist of all or any portion of the Membership Interests originally issued to and respectively held by the Current Individual Member as of the date of this Operating Agreement, in which case such Membership
Interests so acquired by such Specially-Permitted Transferee shall be included in the term “Specially-Permitted Transferable Membership Interests” for the purposes of this Section 14.5. Notwithstanding any other term or provision of
this Operating Agreement, but subject to the limitation set forth below in this Section 14.5, all current Members holding ONE HUNDRED PERCENT (100%) of the outstanding Membership Voting Interests, and all future Members effective
immediately upon their execution and delivery to the Company of a counterpart of this Operating Agreement, hereby irrevocably approve by their affirmative written consent (the execution and delivery of this Operating Agreement or any counterpart of
this Operating Agreement constituting such written consent for this purpose) any transfer of all or any portion of the Specially-Permitted Transferable Membership Interests effected under this Section 14.5 and the admission as Members of any or
all of the persons or entities listed in subparagraphs (a) through (c), inclusive, of this Section 14.5 upon the receipt by such persons or entities of all or any portion of such Specially-Permitted Transferable Membership Interests so
transferred. In the alternative, notwithstanding any other term or 

  

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provision of this Operating Agreement, but subject to the limitation set forth below in this Section 14.5, all current Members, and all future Members effective
immediately upon their execution and delivery to the Company of a counterpart of this Operating Agreement, hereby irrevocably agree and bind themselves to be obligated, upon request at any time and from time to time by any holder of
Specially-Permitted Transferable Membership Interests, such request being made in the sole and absolute discretion of such holder of Specially-Permitted Transferable Membership Interests, to approve by their affirmative written consent any transfer
of all or any portion of the Specially-Permitted Transferable Membership Interests effected under this Section 14.5 and the admission as Members of any or all of the persons or entities listed in subparagraphs (a) through (c), inclusive,
of this Section 14.5 upon the receipt by such persons or entities of all or any portion of such Specially-Permitted Transferable Membership Interests so transferred. 
 (a)  To any ONE (1) or more entities that directly, or indirectly through one or more intermediaries, control, or are
controlled by, or are under common control with, any ONE (1) or more of the Members, whether or not such Members, immediately before such transfer, are the owners of the Specially-Permitted Transferable Membership Interest so transferred;

 (b)  To any ONE (1) or more of the respective children and/or other lineal descendants of the holder
of the Specially-Permitted Transferable Membership Interest, by inter-vivos transfer, devise, bequest, declaration of trust (with the trustee of such trust being obligated under the terms of such trust to hold such transferred Specially-Permitted
Transferable Membership Interest subject to the terms and provisions of this Operating Agreement) or any other means; and/or 
 (c)  To a revocable living trust for the benefit of the holder of the Specially- Permitted Transferable Membership Interest to the extent allowed by local law (with the trustee of such revocable living trust being obligated under
the terms of such trust to hold such transferred Specially-Permitted Transferable Membership Interest subject to the terms and provisions of this Operating Agreement), 
 Notwithstanding any other term or provision of this Operating Agreement, but subject to the limitation set forth below in this Section 14.5, effective immediately upon any sale, transfer, assignment
or other disposition of all or any portion of a Specially-Permitted Transferable Membership Interest effected under this Section 14.5 to any of the persons or entities listed in subparagraphs (a) through (c), inclusive, of this
Section 14.5, such person or entity shall be admitted to all of the rights and powers of a Member, including holding a Membership Voting Interest, and shall be subject to all of the restrictions and liabilities of the Transferring Individual
Member; provided, however, that, in accordance with Nevada Revised Statutes Section 86.351, in every such event the Transferring Member is not released from liability to the Company. 
 Section  14.6  Transfer Upon Death of Individual Member. Provided that, in accordance with subparagraph (d) of
Section 17.1 of this Operating Agreement, such event does not cause the Company to be dissolved, and subject to the terms and provisions of Section 14.2 and Section 14.5 of this Operating Agreement, within a period beginning with the
death of any individual Member (a “Decedent Individual Member”) and ending ONE HUNDRED EIGHTY (180) days after the qualification of the Decedent Individual Member’s executor or administrator, the Company shall have the right and
option, but no obligation, to purchase all, and only all, of the Decedent Individual Member’s Membership Interest for the purchase price determined under Section 14.8 of this Operating Agreement and, subject to the remaining terms and
provisions of this Section 14.6, under the terms and provisions of Section 14.9 of this Operating Agreement; provided, however, that such option and right to purchase of the Company shall be NULL and VOID if the sale to the Company of the
Membership Interest of the Decedent Individual Member would result in the Company having only ONE (1) Member. 

  

 37 

 
Whether or not the Company shall exercise such option and right to purchase shall be determined by the vote or written consent of the Members holding more than FIFTY
PERCENT (50%) of the outstanding Membership Voting Interests, excluding the outstanding Membership Voting Interests held by the Decedent Individual Member. 
 Within FIVE (5) days after the Company’s failure or election not to exercise the Company’s option and right to purchase provided by this Section 14.6 (for any reason, including that
such right and option is NULL and VOID under the immediately-preceding paragraph hereof), the Board of Managers shall forward to each of the Members a notice of the Decedent Individual Member’s death together with a statement that the Company
has failed or elected not to exercise the Company’s option and right to purchase (such statement of the Company, for the purposes of this Section 14.6, the “Company’s Statement”), who collectively and individually then shall
have the right and option, but no obligation, to purchase all, and only all, of the Decedent Individual Member’s Membership Interest for the purchase price determined under Section 14.8 of this Operating Agreement and under the terms and
provisions of Section 14.9 of this Operating Agreement. Any Member desiring to acquire all or a portion of the Membership Interest of the Decedent Individual Member shall deliver to the Board of Managers a written election to purchase such
Membership Interest of the Decedent Individual Member or a specified portion thereof within THIRTY (30) days after the date of the Company’s Statement (such THIRTY (30) day period, for the purposes of this Section 14.6, the
“Members’ Option Period”). If, in accordance with the immediately-preceding sentence hereof, the Company during the Members’ Option Period receives notice from Members electing to purchase in the aggregate more than the
Membership Interest of the Decedent Individual Member, then each purchasing Member shall have priority, up to the amount of such Membership Interest of the Decedent Individual Member specified in such purchasing Member’s notice, to purchase
such proportion of such Membership Interest of the Decedent Individual Member as such purchasing Member’s Membership Interest bears to the total Membership Interests held by Members electing to purchase. 
 Within FOURTEEN (14) days after the expiration of the Members’ Option Period, the Board of Managers shall notify each purchasing Member
as to what extent, if at all, such purchasing Member’s election was effective. Each such purchasing Member shall satisfy the terms and conditions of the purchase within TWENTY ONE (21) days after receipt of such Board of Managers’
notification or, if precluded from doing so by probate or other similar proceedings, then as soon as practicable pursuant to such proceedings. 
 If, in accordance with the foregoing terms and provisions of this Section 14.6, neither the Company nor the Members have elected to exercise their option and right to purchase all of the Membership Interest of the Decedent
Individual Member, then (provided that, in accordance with subparagraph (d) of Section 17.1 of this Operating Agreement, such sale, transfer, assignment or other disposition does not cause the Company to dissolve) the executor or
administrator or other authorized representative of the Decedent Individual Member’s estate or any successor of the Decedent Individual Member may sell, transfer, assign or otherwise dispose of the Membership Interest of the Decedent Individual
Member, but only in accordance with the terms and provisions of Section 14.1 and Section 14.2 of this Operating Agreement. 
 If, in accordance with the foregoing terms and provisions of this Section 14.6, either the Company or the Members have elected to exercise their option and right to purchase all of the Membership Interest of the Decedent Individual
Member, then the executor or administrator or other authorized representative of the Decedent Individual Member’s estate shall apply for and obtain any necessary court approval or confirmation of the sale of the Membership Interest of the
Decedent Individual Member, and the Company shall file the necessary proofs of death and collect the proceeds of outstanding insurance policies on the life of the Decedent Individual Member owned by the Company, if any. If the purchase price is
fully funded by the proceeds of such insurance policies, then the Company shall pay the purchase price 

  

 38 

 
in cash from the proceeds of such insurance policies, and the remaining proceeds, if any, shall be Company property. If the purchase price is not fully funded by the
proceeds of such insurance policies, then the Company shall pay the purchase price in cash up to the full amount of the proceeds of such insurance policies and shall pay any remaining portion of the purchase price in accordance with the terms and
provisions of Section 14.9 of this Operating Agreement. In order to ensure that all or a substantial part of the purchase price for the Membership Interest of an individual Member will be available immediately in cash upon such individual
Member’s death, the Company may procure and make subject to this Operating Agreement insurance on the lives of any or all of the individual Members. The Company shall be the beneficiary and sole owner of all insurance policies issued to the
Company subject to this Operating Agreement. The Company shall pay all premiums falling due under such insurance policies. The Company shall have the right at any time to procure additional insurance policies on the lives of the individual Members
and make such insurance policies subject to this Operating Agreement in order to keep the value of the insurance policies owned by the Company in parity with the value of the outstanding Membership Interests. The Company shall be the beneficiary and
sole owner of all such additional insurance policies. Other insurance policies may be substituted for insurance policies made subject to this Operating Agreement, and insurance policies subject hereto may be withdrawn. Any addition, substitution or
withdrawal of insurance policies shall be endorsed and signed by the Company and all of the Managers. 
 Section  14.7  Triggering Events - Involuntary Transfer. Provided that, in accordance with subparagraph (d) of Section 17.1 of this Operating Agreement, such event does not cause the Company to be
dissolved, if any of the triggering events (individually, a “Triggering Event”) listed below occurs as to any Member (an “Affected Member”), the Company and the Members who are not Affected Members shall have the rights and
options, but no obligation, to purchase the entire Membership Interest owned by the Affected Member under the remaining terms and provisions of this Section 14.7. 
 (a)  A Member is adjudicated a bankrupt, either voluntary or involuntary; 
 (b)  A Member makes an assignment for the benefit of creditors; 
 (c)  A Member’s Membership Interest is subject to a writ of attachment or charging order; or 
 (d)  The execution of any property settlement agreement between any Member and such Member’s spouse, or the entry of
any decree of divorce or separate maintenance by a court of competent jurisdiction, wherein such spouse is awarded any Membership Interest or a trust is imposed on such Membership Interest for the benefit of such spouse. To the extent that such
Membership Interest is transferred, or to the extent that such Membership Interest is subject to the imposition of any such trust or lien, a Triggering Event as to the Membership Interest so affected shall be deemed to have occurred. 
 During the period that commences as of the date of a Triggering Event and ends ONE HUNDRED EIGHTY (180) days thereafter, the Affected Member
or the authorized representative of the Affected Member may sell, transfer, assign or otherwise dispose of the Membership Interest of the Affected Member, but only in accordance with the terms and provisions of Section 14.1 and
Section 14.2 of this Operating Agreement. If such sale does not occur within such ONE HUNDRED EIGHTY (180) day period, then as soon as reasonably practicable thereafter the Company shall give written notice to the Affected Member or the
authorized representative of the Affected Member of the rights and options of the Company and the Members who are not Affected Members to purchase the Membership Interest of the Affected Member in accordance with the terms and provisions of this
Section 14.7. 
  

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 Within THIRTY (30) days after the date of such written notice of the Company to the Affected
Member or the authorized representative of the Affected Member, the Company shall have the right and option, but no obligation, to purchase all, and only all, of the Affected Member’s Membership Interest for the purchase price determined under
Section 14.8 of this Operating Agreement and under the terms and provisions of Section 14.9 of this Operating Agreement; provided, however, that such option and right to purchase of the Company shall be NULL and VOID if the sale to the
Company of the Membership Interest of the Affected Member would result in the Company having only ONE (1) Member. Whether or not the Company shall exercise such option and right to purchase shall be determined by the vote or written consent of
the Members holding more than FIFTY PERCENT (50%) of the outstanding Membership Voting Interests, excluding the outstanding Membership Voting Interests held by the Affected Member. 
 Within FIVE (5) days after the Company’s failure or election not to exercise the Company’s option and right to purchase provided by
this Section 14.7 (for any reason, including that such right and option is NULL and VOID under the immediately-preceding paragraph hereof), the Board of Managers shall forward to each of the Members a notice of the Triggering Event and the
identity of the Affected Member together with a statement that the Company has failed or elected not to exercise the Company’s option and right to purchase (such statement of the Company, for the purposes of this Section 14.7, the
“Company’s Statement”), who collectively and individually then shall have the right and option, but no obligation, to purchase all, and only all, of the Affected Member’s Membership Interest for the purchase price determined
under Section 14.8 of this Operating Agreement and under the terms and provisions of Section 14.9 of this Operating Agreement. Any Member desiring to acquire all or a portion of the Membership Interest of the Affected Member shall deliver
to the Board of Managers a written election to purchase such Membership Interest of the Affected Member or a specified portion thereof within THIRTY (30) days after the date of the Company’s Statement (such THIRTY (30) day period, for
the purposes of this Section 14.7, the “Members’ Option Period”). If, in accordance with the immediately-preceding sentence hereof, the Company during the Members’ Option Period receives notice from Members electing to
purchase in the aggregate more than the Membership Interest of the Affected Member, then each purchasing Member shall have priority, up to the amount of such Membership Interest of the Affected Member specified in such purchasing Member’s
notice, to purchase such proportion of such Membership Interest t of the Affected Member as such purchasing Member’s Membership Interest bears to the total Membership Interests held by Members electing to purchase. 
 Within FOURTEEN (14) days after the expiration of the Members’ Option Period, the Board of Managers shall notify each purchasing Member
as to what extent, if at all, such purchasing Member’s election was effective. Each such purchasing Member shall satisfy the terms and conditions of the purchase within TWENTY ONE (21) days after receipt of such Board of Managers’
notification or, if precluded from doing so by bankruptcy, divorce or other similar proceedings, then as soon as practicable pursuant to such proceedings. 
 If, in accordance with the foregoing terms and provisions of this Section 14.7, neither the Company nor the Members have elected to exercise their option and right to purchase all of the Membership Interest of the Affected
Member, then (provided that, in accordance with subparagraph (d) of Section 17.1 of this Operating Agreement, such sale, transfer, assignment or other disposition does not cause the Company to dissolve) the Affected Member or the
authorized representative of the Affected Member may sell, transfer, assign or otherwise dispose of the Membership Interest of the Affected Member, but only in accordance with the terms and provisions of Section 14.1 and Section 14.2 of
this Operating Agreement. 
 If, in accordance with the foregoing terms and provisions of this Section 14.7, either the Company or
the Members have elected to exercise their option and right to purchase all of the Membership Interest of the Affected Member, then the Affected Member or authorized representative of the Affected Member shall apply for and obtain any necessary
court approval or confirmation of the sale of the Membership Interest of the Affected Member. 
  

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 Section  14.8  Valuation. The date for determining the valuation of a
Membership Interest for the purposes of this ARTICLE XIV (except Section 14.1 hereof) (the “Determination Date”) shall be the last day of the month immediately preceding the month in which the event requiring a determination of the
purchase price occurs. The purchase price to be paid for a Membership Interest subject to this Operating Agreement shall be determined by appraisal and shall be equal to the appraised value of the Company and allocated among the Membership Interests
outstanding in accordance with each Member’s and Interest Holder’s capital account. All appraisals shall be undertaken by TWO (2) appraisers, ONE (1) selected by the selling party, or such party’s estate, successor or legal
representative, as the case may be, and the other selected by the purchasing party, or such party’s estate, successor or legal representative, as the case may be. The selection of such appraisers shall occur no later than THIRTY (30) days
after the occurrence of the event requiring determination of the purchase price under this Operating Agreement. The appraised value of the Company shall be the valuation arrived at by such TWO (2) appraisers within SIXTY (60) days after
the appointment of the last appraiser to be appointed. If the TWO (2) appraisers cannot agree on such appraised value of the Company within such SIXTY (60) days, then (a) if the appraisers’ valuations are within FIVE PERCENT
(5%) of each other based on the lower of such appraisals, the appraised value of the Company shall be the mean of the TWO (2) valuations, or (b) if the difference between the appraisers’ valuations is greater than FIVE PERCENT
(5%) based on the lower of such appraisals, the appraisers shall select a third appraiser who shall calculate the appraised value of the Company independently, and, except as provided in the immediately-following sentence hereof, the appraised
value of the Company in each such case shall be the average of the TWO (2) valuations arrived at by the TWO (2) out of such THREE (3) appraisers whose valuations are closest in amount. If ONE (1) appraiser’s valuation is the
mean of the valuations determined by the other TWO (2) appraisers, then the appraised value of the Company shall be such mean valuation. If the TWO (2) original appraisers cannot agree upon a third appraiser within THIRTY (30) days
after the end of the SIXTY (60) day period referred to above, then the third appraiser shall be appointed by the Chief Judge of the Second Judicial District Court, County of Washoe, in and for the State of Nevada. The selling party, or such
party’s estate, successor or legal representative, as the case may be, shall pay all fees and costs of the appraiser selected by such party. The purchasing party, or such party’s estate, successor or legal representative, as the case may
be, shall pay all fees and costs of the appraiser selected by such party. All fees and costs of any third appraiser selected in accordance with the foregoing shall be paid equally by the selling party and the purchasing party, or such parties’
estates, successors or legal representatives, as the case may be. For the purposes of an appraisal under this Section 14.8, real estate and improvements shall be valued at fair market value; machinery and equipment shall be valued at
replacement cost or fair market value, whichever is lower; finished inventory shall be valued at cost or fair market value, whichever is lower; goods in process shall be valued at cost, using the cost accounting procedures customarily employed by
the Company in preparing its financial statements; receivables shall be valued at their face amount, less an allowance for uncollectible items that is reasonable in view of the past experience of the Company and a recent review of their
collectability; all liabilities shall be deducted at their face value; and a reserve for contingent liabilities shall be established if appropriate. The value of other comparable companies, if known, also shall be considered. 
 Section  14.9  Payment. The consideration for a Membership Interest transferred to the Company or to other Members under
Section 14.6 or Section 14.7 of this Operating Agreement shall be paid to the Transferring Member or such Transferring Member’s representative or successor, as the case may be, as provided in this Operating Agreement. The terms for
the payment of the purchase price of such a transferred Membership Interest shall be as follows: 
 (a)  Down Payment. A down payment in cash of not less that TWENTY PERCENT (20%) of the purchase price shall be paid within ONE HUNDRED FIFTY (150) days of the Determination Date; and 
  

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 (b)  Promissory Note. The balance of the purchase price shall be
paid in accordance with the terms of a promissory note (the “Note”) to be executed by the Company or by the purchasing Members, as the case may be. The Note shall provide for the payment of a minimum of TWENTY PERCENT (20%) of the
balance of the purchase price, plus accrued interest, on the first anniversary date of the Note, and TWENTY PERCENT (20%) of the initial unpaid principal balance, plus accrued interest, on each anniversary date thereafter to and
including the date of payment in full. Interest shall accrue on the declining principal balance of the Note at the rate of EIGHT PERCENT (8%) per annum from the date of the Note. The Note shall be dated as of the date on which the down payment
is required to be made. The Note shall provide that its maker may prepay all or any portion of the unpaid principal balance and accrued interest at any time, without penalty. The Note shall provide that the entire unpaid principal balance of the
Note, and all accrued interest, shall become due and payable immediately upon the occurrence of any of the following events: 
 (i)  Adjudication of bankruptcy of the maker of the Note; 
 (ii)  Voluntary or involuntary
petition by or on behalf of the maker of the Note for arrangement or reorganization or for the protection of creditors and the debtor, under bankruptcy law; 
 (iii)  Upon default in payment or of any of the terms of the Note by the maker; or 
 (iv)  If the sale is to the Company, upon the sale of all or substantially all of the assets of the Company. 
 Section  14.10  Governmental and Administrative Approvals. The Company shall apply for and use its best efforts to obtain all governmental and administrative approvals required in connection with the purchase and
sale of Membership Interests under this Operating Agreement. The Members shall cooperate in obtaining such approvals and shall execute all documents that may be required to be executed by the Members in connection with such approvals. The
Transferring Member and/or the Transferee shall pay all costs and filing fees in connection with obtaining such approvals. Notwithstanding any other term or provision of this ARTICLE XIV, any and every transaction involving the transfer of any
interest in the Company sought to be consummated in accordance with the terms and provisions of this ARTICLE XIV shall be NULL AND VOID unless such transaction is approved in advance by the applicable Gaming Authorities in accordance with the terms
and provisions of ARTICLE XV of this Operating Agreement. 
 Section  14.11  “Transferring
Member”/Transferring Interest Holder; “Decedent Individual Member”/Decedent Individual Interest Holder; “Affected Member”/Affected Interest Holder. For all purposes of this ARTICLE XIV, (a) the term
“Transferring Member” as it appears in this ARTICLE XIV shall be interpreted to include any Interest Holder who sells, transfers, assigns or otherwise disposes of all or any portion of such Interest Holder’s Membership Interest to any
third person or entity; (b) the term “Decedent Individual Member” as it appears in this ARTICLE XIV shall be interpreted to include any individual Interest Holder who has died; and (c) the term “Affected Member” as it
appears in this ARTICLE XIV shall be interpreted to include any Interest Holder affected by a Triggering Event. Notwithstanding the foregoing, in no event shall any term or provision of this ARTICLE XIV be interpreted to provide to any Interest
Holder any option or right to purchase all or any portion of any Membership Interest. 
  

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 Section  14.12  Entity Member Transfers. If any Member is a closely-held
corporation, limited liability company or unincorporated association or partnership, then, in any single transaction or series of related transactions, the original issuance, sale, transfer, assignment or other disposition of any stock or interest
in such corporation, limited liability company, association or partnership constituting in the aggregate in excess of FIFTY PERCENT (50%) of all such stock or interests then outstanding shall be deemed an assignment or transfer of such
Member’s Membership Interest within the meaning of this Operating Agreement, except as provided below in this Section 14.12. If any Member is a publicly-traded corporation, limited liability company, association or partnership, meaning for
the purposes of this Operating Agreement that such corporation, limited liability company, association or partnership has effected a bona fide initial public offering of any class of its equity securities that were registered for such purpose with
the Securities and Exchange Commission under the Securities Act on Form S-l (or any successor of such form), then, in any single transaction or series of related transactions, the original issuance, sale, transfer, assignment or other disposition of
any stock or interest in such corporation, limited liability company, association or partnership constituting in the aggregate in excess of EIGHTY PERCENT (80%) of all such stock or interests then outstanding shall be deemed an assignment or
transfer of such Member’s Membership Interest within the meaning of this Operating Agreement, except as provided below in this Section 14.12. Notwithstanding the foregoing, in no event shall any public offering of securities of any class
of any Member that is registered with the Securities and Exchange Commission under the Securities Act and effected in accordance with the terms and provisions of Section 7.2 of this Operating Agreement constitute or be deemed an assignment or
transfer of a Membership Interest within the meaning of this Operating Agreement. 
 Notwithstanding any other term or provision of
this Section 14.12, in no event shall the sale, transfer, assignment or other disposition by any person or entity to any of the persons or entities listed in subparagraphs (a) through (c), inclusive, of this Section 14.12 of any stock
or interest in any corporation, limited liability company, association or partnership that is a Member, whether or not closely-held or publicly-traded, be deemed an assignment or transfer of such Member’s Membership Interest within the meaning
of this Operating Agreement. 
 (a)  To any ONE (1) or more entities that directly, or indirectly through
one or more intermediaries, control, or are controlled by, or are under common control with, the current or any future record or beneficial holder of such stock or interest; 
 (b)  To any ONE (1) or more of the respective children and/or other lineal descendants of the current or any future
record or beneficial holder of such stock or interest, by inter-vivos transfer, devise, bequest, declaration of trust or any other means; and/or 
 (c)  To a revocable living trust for the benefit of the current or any future record or beneficial holder of such stock or interest. 
 Notwithstanding any other term or provision of this Operating Agreement, the terms and provisions of this Section 14.12 cannot be amended or
repealed unless such amendment or repeal first has been approved by the affirmative vote or written consent of the Members holding more than SEVENTY-FIVE PERCENT (75%) of the outstanding Membership Voting Interests. 
 Section  14.13  Restrictive Legend. In addition to any other restrictive legend that may be imposed on any certificate
evidencing ownership of any Membership Interest, such certificate shall bear the following legend: 
 THE SECURITIES REPRESENTED BY THIS
CERTIFICATE ARE SUBJECT TO RESTRICTIONS ON TRANSFER AS SET FORTH IN THE OPERATING AGREEMENT OF THE COMPANY. 
  

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 ARTICLE XV 
 GAMING CONTROL ACT RESTRICTIONS 
 Section  15.1  Gaming Act Restrictions. Notwithstanding
anything to the contrary expressed or implied in this Operating Agreement or the Articles of Organization, the sale, assignment, transfer, pledge or other disposition of any interest in the Company when it is a Nevada gaming licensee under the
Gaming Act is ineffective unless approved in advance by the Commission. If at any time the Commission finds that a member which owns any such interest is unsuitable to hold that interest, the Commission shall immediately notify the Company of that
fact. The Company shall, within ten (10) days from the date that it receives the notice from the Commission, return to the unsuitable Member the amount of his capital account as reflected on the books of the Company. Beginning on the date when
the Commission serves notice of a determination of unsuitability, pursuant to the preceding sentence, upon the Company, it is unlawful for the unsuitable Member: (a) to receive any share of the distribution of profits or cash or any other
property of, or payment upon dissolution of, the Company, other than a return of capital as required above; (b) to exercise directly or through a trustee or nominee, any voting right conferred by such interest; (c) to participate in the
management of the business and affairs of the limited liability company; or (d) to receive any remuneration in any form from the Company, for services rendered or otherwise. 
 Section  15.2  Unsuitability of Member. Any member that is found unsuitable by the Commission shall return all evidence
of any ownership in the Company to the Company, at which time the Company shall within ten (10) days, after the Company receives notice from the Commission, return to the Member in cash, the amount of his capital account as reflected on the
books of the Company, and the unsuitable Member shall no longer have any direct or indirect interest in the Company. 
 Section  15.3  Restrictive Legend. In addition to any other restrictive legend that may be imposed on any certificate evidencing ownership of any Membership Interest, such certificate shall bear the following
legend: 
 THE SALE, ASSIGNMENT, TRANSFER, PLEDGE OR OTHER DISPOSITION OF THIS SECURITY IS INEFFECTIVE UNLESS APPROVED IN ADVANCE BY THE
NEVADA GAMING COMMISSION. IF AT ANY TIME SUCH COMMISSION FINDS THAT AN OWNER OF THIS SECURITY IS UNSUITABLE TO CONTINUE TO HAVE AN INVOLVEMENT IN GAMING IN SUCH STATE, SUCH OWNER MUST DISPOSE OF SUCH SECURITY AS PROVIDED BY THE LAWS OF THE STATE OF
NEVADA AND THE REGULATIONS OF THE NEVADA GAMING COMMISSION THEREUNDER, SUCH LAWS AND REGULATIONS RESTRICT THE RIGHT UNDER CERTAIN CIRCUMSTANCES: (A) TO RECEIVE ANY SHARE OF THE DISTRIBUTION OF PROFITS OR CASH OR ANY OTHER PROPERTY OF, OR
PAYMENTS UPON DISSOLUTION OF, THE COMPANY, OTHER THAN A RETURN OF CAPITAL; (B) TO EXERCISE DIRECTLY OR THROUGH A TRUSTEE OR NOMINEE ANY VOTING RIGHT CONFERRED BY SUCH INTEREST; (C) TO PARTICIPATE IN THE MANAGEMENT OF THE BUSINESS AND
AFFAIRS OF THE COMPANY; OR (D) TO RECEIVE ANY REMUNERATION IN ANY FORM FROM THE COMPANY FOR SERVICES RENDERED OR OTHERWISE. 
 Section  15.5  Acceptance of Gaming Control Act Restrictions. The Members and the Interest Holders hereby acknowledge and agree to accept their Membership Interests subject to the restrictions contained in this
ARTICLE XV for so long as such restrictions are required by law. 
  

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 ARTICLE XVI 
 SECURITIES LAWS MATTERS 
 Section  16.1  Securities Law Representations and Warranties.
Each Member hereby represents and warrants to the Company and to all of the other Members all of the following: 
 (a)  Such member is acquiring such Member’s Membership Interest for investment and not with a view to the sale or distribution of any part thereof. 
 (b)  Such member has no present intention to sell or otherwise distribute any part of such Member’s Membership
Interest. 
 (c)  The Company has advised such Member (i) that such Member’s Membership Interest has
not been registered under the Securities Act, as the offering and sale of such Member’s Membership Interest is to be effected in accordance with an exemption from the registration requirements of the Securities Act and similar exemptions under
applicable state securities law, and (ii) that, in this connection, the Company is relying in part on the representations and warranties of such Member set forth herein. 
 (d)  Such Member shall make no disposition of all or any portion of such Member’s Membership Interest unless and
until (i) such Member has notified the Company of the proposed disposition, (ii) such Member has furnished the Company with an opinion of legal counsel to the effect that such disposition will not require registration of such Member’s
Membership Interest under the Securities Act, (iii) such opinion of legal counsel has been concurred with by the Company’s legal counsel, and (iv) the Company has advised such Member of such concurrence. 
 (e)  Such Member has received all such information as such Member deems necessary and appropriate to enable such Member to
evaluate the financial risk inherent in acquiring such Member’s Membership Interest, and such Member acknowledges receipt of satisfactory and complete information covering the business and financial condition of the Company in response to all
inquiries in respect thereof. 
 (f)  Such Member has had the opportunity to consult with such Member’s
investment counselors, attorneys, accountants and other advisors regarding the terms and conditions of this Operating Agreement and its tax and legal consequences. 
 (g)  Such Member has either or both of the following: 
 (i)  a pre-existing business or personal relationship with the Company and/or ONE (1) or more of its Managers; or

 (ii)  sufficient sophistication to make an informed investment decision based on such Member’s
personal knowledge of the business and affairs of the Company, based on such additional information as such Member may have requested and received from the Company and based on the independent inquiries and investigation undertaken by such Member.

 (h)  Such Member understands that such Member’s investment in such Member’s Membership Interest
is speculative and risky. 
  

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 (i)  Such Member understands that such Member has no assurance that the
Company will be a financial success or that such Member’s investment in such Member’s Membership Interest will be recovered. 
 (j)  Such Member has the financial ability to bear the economic risk of such Member’s investment in such Member’s Membership Interest, has adequate means for providing for such Member’s current needs
and personal contingencies and has no need for liquidity with respect to such Member’s Membership Interest. 
 (k)  The Company used no general solicitation or general advertising in connection with the Company’s offer to sell (if any) or the Company’s sale of such Member’s Membership Interest to such Member. 
 (l)  Such Member recognizes that such Member’s Membership Interest is unregistered under the Securities Act and must
be held indefinitely unless it is subsequently registered under the Securities Act or an exemption from such registration is available. 
 (m)  Except pursuant to the Registration Rights Agreement, such Member understands that the Company is under no obligation to register such Member’s Membership Interest under the Securities Act or to comply with
any exemption from such registration. 
 (n)  Such Member understands and agrees that, in addition to any
other restrictive legend that may be imposed on any certificate evidencing ownership of such Member’s Membership Interest, such certificate shall bear the following legend: 
 THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933; THEY HAVE BEEN ACQUIRED BY THE HOLDER FOR INVESTMENT AND MAY NOT BE PLEDGED, HYPOTHECATED, SOLD,
TRANSFERRED OR OTHERWISE DISPOSED OF EXCEPT AS MAY BE AUTHORIZED UNDER THE SECURITIES ACT OF 1933 AND THE RULES AND REGULATIONS PROMULGATED THEREUNDER. 
 (o)  Such Member understands that Rule 144 under the Securities Act presently does not apply and may never apply to the Company’s securities because the Company does not now, and may never,
file reports required by the Exchange Act, and has not made, and may never make, publicly available the information required by Rule 15c2-11 of the Exchange Act. Furthermore, such Member understands that if Rule 144 were available, sales of Company
securities made in reliance thereon could be made only in certain limited amounts, after certain holding periods, and only when specified current information about the Company had been made available to the public, all in accordance with the terms
and in satisfaction of the conditions of Rule 144. Such Member understands that, in the case of Company securities to which Rule 144 is not applicable, compliance with some other exemption under the Securities Act will be required in order for any
re-sale or other transfer of such Company securities to be effected legally. 
 ARTICLE XVII 
 DISSOLUTION AND LIQUIDATION 
 Section  17.1  Events Requiring Dissolution, The Company shall be dissolved upon the occurrence of any of the following events: 
 (a) The sale or disposition of all or substantially all of the property and assets owned by the Company; 
  

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 (b)  The written consent of the Members holding more than SEVENTY FIVE
PERCENT (75%) of the outstanding Membership Voting Interests; or 
 (c)  The death, insanity, retirement,
resignation, expulsion, bankruptcy or dissolution of a Member, or the occurrence of any other event that terminates a Member’s Membership Interest, unless at least TWO (2) Members remain upon and after such event and within NINETY
(90) days after such event not less than a “majority in interest” of all of the remaining Members (as defined in Nevada Revised Statutes Section 86.065) agree in writing to continue the Company. 
 Section  17.2  Liquidation. Upon the occurrence of any event requiring dissolution as set forth in Section 17.1 of
this Operating Agreement, if the Company is not continued as permitted under subparagraph (d) of Section 17.1 of this Operating Agreement, then the Board of Managers in accordance with Nevada Revised Statutes Section 86.491
immediately shall commence settling and closing the Company’s business, collecting and discharging the Company’s obligations, disposing of and conveying the Company’s property and distributing the Company’s assets, but not for
the purpose of continuing the business for which the Company was established. 
 Section  17.3  Distribution of
Assets. During the liquidation of the Company, the Members and the Interest Holders shall continue to share Net Profits and Net Losses in the same proportions as before dissolution. In settling accounts after dissolution, the proceeds from the
liquidation of the Company’s assets (after payment of all expenses of liquidation) shall be applied as follows: 
 (a)  To creditors of the Company, including Members and Interest Holders who are creditors of the Company (other than debts owed to Members and/or Interest Holders for their capital contributions), in the order of priority as
provided by law; and then 
 (b)  To the Members and the Interest Holders in accordance with their positive
capital account balances, as determined after taking into account all capital account adjustments for the taxable year of the Company during which the liquidation of the Company occurs (other than such capital account adjustments made by reason of
this clause); 
 and such distributions shall be made by the end of the taxable year of the Company during which the liquidation of the Company occurs
(or, if later, within NINETY (90) days after the date of such liquidation). 
 Section  17.4  Gains or
Losses. During liquidation, any gain or loss on the disposition of the Company’s property shall be credited or charged to the Members and the Interest Holders in accordance with the terms and provisions of ARTICLE X of this Operating
Agreement. Any property distributed in kind in liquidation shall be valued and treated as if the property were sold for its fair market value and the cash proceeds distributed. The difference between the value of the property distributed in kind and
its book value to the Company shall be treated as a gain or loss on the sale of the property to be allocated between the Members and the Interest Holders in accordance with ARTICLE X of this Operating Agreement. 
  

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 Section  17.5  Right to Defer Sale of Certain Assets. Notwithstanding
any other term or provision of this ARTICLE XVII, if upon dissolution of the Company the Board of Managers determines that an immediate sale of all or a portion of the assets of the Company would cause undue loss to the Members and the Interest
Holders, then the Board of Managers, in order to avoid such loss, after giving notice of intending to do so to all of the Members and the Interest Holders, to the extent not then prohibited by Chapter 86 or any other applicable law, either may defer
the sale of and withhold from distribution for a reasonable time such assets of the Company, unless a sale of such assets is necessary to satisfy the Company’s debts and obligations, or may distribute such assets of the Company to the Members
and the Interest Holders in kind. 
 Section  17.6  Liquidation Distributions in Kind. If any part of the
assets of the Company are to be distributed in kind, then such assets shall be distributed on the basis of their fair market value, and any Member or Interest Holder entitled to any interest in such assets shall receive such interest as a
tenant-in-common with all other Members and Interest Holders so entitled in proportion to their Membership Interests. The fair market value of such assets shall be determined by an independent appraiser that shall be selected by the Board of
Managers. The book value of such assets shall be credited or charged to the Members and the Interest Holders in proportion to their Membership Interests. 
 Section  17.7  Limitation on Recourse at Liquidation. The Members and the Interest Holders shall look solely to the assets of the Company for payment of debts or liabilities owed by the Company to the
Members or Interest Holders and for the return of their capital contributions. If the assets of the Company remaining after the payment or discharge of the debts and liabilities of the Company to persons other than Members and Interest Holders is
insufficient to pay the debts or liabilities owed by the Company to the Members and the Interest Holders and to return their capital contributions, then the Members and the Interest Holders shall have no recourse therefor against the Company or any
other Member or Interest Holder except to the extent that such other Member or Interest Holder may have outstanding debts or obligations owing to the Company. 
 Notwithstanding any other provision of this Agreement to the contrary, upon liquidation of a Member’s Interest in the Company (whether or not in connection with a liquidation of the Company), no
Member shall have any liability to restore any deficit in its Capital Account. In addition, no allocation to any Member of any loss, whether attributable to depreciation or otherwise, shall create any asset of or obligation to the Company, even if
such allocation reduces the Capital Account of any Member or creates or increases a deficit in such Capital Account; it is also the intent of the Members that no Member shall be obligated to pay any such amount to or for the account of the Company
or any creditor of the Company. No creditor of the Company is intended as a third-party beneficiary of this Agreement nor shall any such creditor have any rights hereunder. 
 Section  17.8  Articles of Dissolution. When all debts, liabilities and obligations of the Company have been paid and discharged or adequate provision has been made therefor, and
all of the remaining property and assets have been distributed to the Members and/or the Interest Holders, articles of dissolution shall be prepared, signed, acknowledged and filed with the Nevada Secretary of State in accordance with Nevada Revised
Statutes Sections 86.531 and 86.541. 
  

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 ARTICLE XVIII 
 INDEMNIFICATION 
 Section  18.1  Indemnification of Member. Employee or Agent: Proceeding Other
Than by the Company. Subject to the terms and provisions of Section 18.4 of this Operating Agreement, the Company may indemnify any person who was or is a party or is threatened to be made a party to any threatened, pending or completed
action, suit or proceeding, whether civil, criminal, administrative or investigative, except an action by or in the right of the Company, by reason of the fact that such person is or was a Member, employee or agent of the Company, or is or was
serving at the request of the Company as a manager, member, director, officer, employee or agent of another limited liability company, corporation, partnership, joint venture, trust or other enterprise, against expenses, including attorneys’
fees, judgments, fines and amounts paid in settlement, actually and reasonably incurred by such person in connection with the action, suit or proceeding, if such person acted in good faith and in a manner that such person reasonably believed to be
in or not opposed to the best interests of the Company, and, with respect to a criminal action or proceeding, such person had no reasonable cause to believe that such person’s conduct was unlawful. The termination of any action, suit or
proceeding by judgment, order, settlement or conviction, or upon a plea of nolo contendere or its equivalent, does not, of itself, create a presumption that such person did not act in good faith and in a manner that such person reasonably believed
to be in or not opposed to the best interests of the Company, and that, with respect to any criminal action or proceeding, such person had reasonable cause to believe that such person’s conduct was unlawful. 
 Section  18.2  Indemnification of Member, Employee or Agent: Proceeding by the Company. Subject to the last sentence of
this Section 18.2 and to the terms and provisions of Section 18.4 of this Operating Agreement, the Company may indemnify any person who was or is a party or is threatened to be made a party to any threatened, pending or completed action or
suit by or in the right of the Company to procure a judgment in its favor by reason of the fact that such person is or was a Member, employee or agent of the Company, or is or was serving at the request of the Company as a member, manager, director,
officer, employee or agent of another limited liability company, corporation, partnership, joint venture, trust or other enterprise, against expenses, including amounts paid in settlement and attorneys’ fees actually and reasonably incurred by
such person in connection with the defense or settlement of the action or suit, if such person acted in good faith and in a manner that such person reasonably believed to be in or not opposed to the best interests of the Company. Indemnification
shall not be made for any claim, issue or matter as to which such person has been adjudged by a court of competent jurisdiction, after exhaustion of all appeals therefrom, to be liable to the Company, or for amounts paid in settlement to the
Company, unless and only to the extent that the court in which the action or suit was brought or other court of competent jurisdiction determines upon application that in view of all of the circumstances of the case such person is fairly and
reasonably entitled to indemnity for such expenses as the court deems proper. 
 Section  18.3  Advancement of
Expenses. The expenses (including attorney’s fees) of a Member or Manager or officer of the Company incurred in defending a civil or criminal action, suit or proceeding shall be paid by the Company as they are incurred and in advance of the
final disposition of such action, suit or proceeding, upon the Company’s receipt from such Member or Manager or officer of the Company of an undertaking by or on behalf of such Member or Manager or officer of the Company to repay the entire
amount of monies so advanced by the Company if it ultimately is determined by a final, non-appealable order of a court of competent jurisdiction that such Member or Manager or officer of the Company is not entitled to be indemnified by the Company
(which determination, as to any Manager, shall have been 

  

 49 

 
made under the terms and provisions of subparagraph (d) of Section 5.7 of this Operating Agreement; and which determination, as to any officer of the
Company, shall have been made under the terms and provisions of subparagraph (b) of Section 6.6 of this Operating Agreement). The terms and provisions of this Section 18.3 do not affect any right to advancement of expenses to which
personnel of the Company other than Members or Managers or officers of the Company may be entitled under any contract or otherwise by law. 
 Section  18.4  Authorization for Indemnity. 
 (a)  Successful
Defense. To the extent that any person referred to in Section 18.1 or Section 18.2 of this Operating Agreement has been successful on the merits or otherwise in defense of any action, suit or proceeding described in Section 18.1
or Section 18.2 of this Operating Agreement, or in defense of any claim, issue or matter therein, the Company shall indemnify such person against expenses, including attorneys’ fees, actually and reasonably incurred in connection with such
defense. 
 (b)  Specific Case Authorization. Subject to the terms and provisions of subparagraph
(a) of this Section 18.4, any indemnification under Section 18.1 or Section 18.2 of this Operating Agreement, unless ordered by a court of competent jurisdiction or advanced in accordance with Section 18.3 of this Operating
Agreement, may be made by the Company only as authorized in the specific case upon a determination that indemnification is proper in the circumstances. Except as prohibited by the last sentence of Section 18.2 of this Operating Agreement, the
Members hereby agree that in each specific case the Members shall deem indemnification of a current or former Member to be proper in the circumstances and shall authorize unanimously the indemnification of every current or former Member except in
any case in which liability of such current or former Member is determined by Members holding more than FIFTY PERCENT (50%) of the outstanding Membership Voting Interests that are not owned by parties to the act, suit or proceeding at issue to
have resulted from or have been caused by acts or omissions of such Member that involved intentional misconduct, fraud or a knowing violation of law. In every case, the determination that indemnification is proper in the circumstances may be made
under any of the following subparagraphs (i) through (iv): 
 (i)  By the vote or written consent of a
majority of the authorized number of Managers; provided, however, that the Managers shall have no authority to, and shall not, determine that indemnification is proper for any person in any case in which liability of such person is determined by a
majority of the authorized number of Managers to have resulted from or have been caused by acts or omissions of such person that involved intentional misconduct, fraud or a knowing violation of law; or 
 (ii)  By the vote or written consent of Members holding more than FIFTY PERCENT (50%) of the outstanding
Membership Voting Interests that are not owned by parties to the act, suit or proceeding; provided, however, that the Members shall have no authority to, and shall not, determine that indemnification is proper for any person in any case in which
liability of such person is determined by Members owning more than FIFTY PERCENT (50%) of the Membership Voting Interests that are not owned by parties to the act, suit or proceeding at issue to have resulted from or have been caused by acts or
omissions of such person that involved intentional misconduct, fraud or a knowing violation of law; or 
 (iii)  If Members holding more than FIFTY PERCENT (50%) of the outstanding Membership Voting Interests that are not owned by parties to the act, suit or proceeding so order, by independent legal counsel in a written opinion;
provided, however, that such independent legal counsel shall have no authority to, and 

  

 50 

 
shall not, determine that indemnification is proper for any person in any case in which liability of such person is determined by such independent legal counsel to
have resulted from or have been caused by acts or omissions of such person that involved intentional misconduct, fraud or a knowing violation of law; or 
 (iv)  If Members who are not parties to the act, suit or proceeding cannot be obtained, by independent legal counsel in a written opinion; provided, however, that such independent legal counsel
shall have no authority to, and shall not, determine that indemnification is proper for any person in any case in which liability of such person is determined by such independent legal counsel to have resulted from or have been caused by acts or
omissions of such person that involved intentional misconduct, fraud or a knowing violation of law. 
 Section  18.5  Indemnification of Managers. The terms and provisions of Section 5.7 of this Operating Agreement shall govern the indemnification of Managers under this Operating Agreement. Notwithstanding any
other term or provision of this Operating Agreement, the terms and provisions of this Section 18.5 cannot and shall not be amended or repealed under any circumstance, except as may be necessary to ensure the continued compliance of this
Operating Agreement with Chapter 86. 
 Section  18.6  Indemnification of Company Officers. Notwithstanding
any other term or provision of this ARTICLE XVIII, the terms and provisions of Section 6.6 of this Operating Agreement shall govern the indemnification of officers of the Company under this Operating Agreement. Notwithstanding any other term or
provision of this Operating Agreement, the terms and provisions of this Section 18.6 cannot and shall not be amended or repealed under any circumstance, except as may be necessary to ensure the continued compliance of this Operating Agreement
with Chapter 86. 
 Section  18.7  Limitation on Indemnification Obligation. The satisfaction of the
indemnification obligations of the Company under this ARTICLE XVIII shall be from and limited to the assets of the Company, and no Member or Interest Holder shall have any personal liability for the satisfaction of any such indemnification
obligation. 
 Section  18.8  Company Successor, Trustee or Receiver Liability. The obligations of the
Company under this ARTICLE XVIII shall be binding on any successor, trustee or receiver of the Company. 
 ARTICLE XIX 
 COMPANY BOOKS AND RECORDS 
 The Board of
Managers shall cause the Company to keep the following: 
 (a)  Complete books and records of account in which
shall be entered fully and accurately all transactions and other matters relating to the Company. The Company’s books and records shall be kept on an accrual basis, in accordance with generally accepted accounting principles, except as the
Board of Managers otherwise may determine to be permitted under the Internal Revenue Code; 
 (b)  A current
list of the full name and last known business or residence address of each Member set forth in alphabetical order listing the Member’s capital contribution to the Company and Membership Interest owned by such Member; 
  

 51 

 (c)  A copy of the Articles of Organization and all amendments thereto
and all filings effected by the Company in Nevada and other states; 
 (d)  Copies of the Company’s
federal, state and local income tax returns and reports, if any, for the SIX (6) most recent years (if applicable); 
 (e)  Copies of any then-effective written operating agreement and of financial statements of the Company for the THREE (3) most recent years; and 
 (f)  Unless contained in the Articles of Organization, a writing setting forth: 
 (i)  The amount of cash and a description and statement of the agreed value of the other property or services contributed
to capital by each Member and that each Member has agreed to contribute to the Company; 
 (ii)  The items as
to which or events upon the occurrence of which additional capital contributions agreed to be made by each Member are to be made; 
 (iii)  Any right of a Member to receive, or of a Manager to make, distributions to a Member, which include a return of all or any portion of a Member’s capital contribution; and 
 (iv)  Any event upon the occurrence of which the Company is to be dissolved and its affairs wound up. 
 All such books and records shall be maintained at the principal executive office of the Company and, as to those items designated in subparagraphs
(b) through (f) of this ARTICLE XIX, inclusive, also at the registered office of the Company. In each location, such books and records shall be available for inspection and copying by, and at the expense of, the Members or their
duly-authorized representatives, during reasonable business hours. 
 ARTICLE XX 
 REPORTS 
 The Company shall deliver the following reports to each Member at the
times specified below: 
 (a)  as soon as available and in any event within 45 days after the end of each of
the first three quarters of each fiscal year of the Company, consolidated balance sheets of the Company and its subsidiaries as of the end of such period, and consolidated statements of income and cash flows of the Company and its subsidiaries for
the period then ended prepared in conformity with generally accepted accounting principles in the United States applied on a consistent basis, except as otherwise noted therein, and subject to the absence of footnotes and to year-end adjustments;
and 
 (b)  as soon as available and in any event within 120 days after the end of each fiscal year of the
Company, a consolidated balance sheet of the Company and its subsidiaries as of the end of such year, and consolidated statements of income and cash flows of the Company and its subsidiaries for the year then ended prepared in conformity with
generally accepted accounting principles in the United States applied on a consistent basis, except as otherwise noted therein, together with an auditor’s report thereon of a firm of established national reputation. 
  

 52 

 ARTICLE XXI 
 TAX MATTERS PARTNER 
 21.1  Designation. The Members hereby unanimously designate Recreational
Enterprises, Inc., a Nevada corporation, that as of the date of this Operating Agreement is both a Member and a Manager, as the “Tax Matters Partner” of the Company as defined in Section 6231 of the Internal Revenue Code. Any future
alternative Tax Matters Partner that may be approved by the Members in accordance with the terms and provisions of subparagraph (a) of Section 5.10 of this Operating Agreement shall be both a Member and a Manager of the Company.

 21.2  Powers and Duties. The Tax Matters Partner shall have such powers and perform such duties as provided in
Sections 6221 through 6233 of the Internal Revenue Code with respect to a “tax matters partner” as such term is defined in Section 6231(a)(7) of the Internal Revenue Code. 
 ARTICLE XXII 
 PREVENTION OF TAXATION OF COMPANY AS A CORPORATION BY REASON OF BEING

 TREATED AS A PUBLICLY-TRADED PARTNERSHIP 
 Section  22.1  Number of Members and Interest Holders. Without the prior affirmative vote or written consent of the Members holding more than FIFTY PERCENT (50 %) of the outstanding Membership
Voting Interests, the Company shall not at any time have more than ONE HUNDRED (100) Members and/or Interest Holders (including as Members and Interest Holders every person indirectly owning a Membership Interest through a partnership, limited
liability company, S corporation or grantor trust (such an entity, a “Flow-Through Entity”) but only if substantially all of the value of such person’s interest in the Flow-Through Entity is attributable to the Flow-Through
Entity’s interest (direct or indirect) in the Company). 
 Section  22.2  Compliance With Safe Harbor.
The Board of Managers and the Chief Executive Officer, President and Presiding Manager shall monitor the transfers of Membership Interests to determine (a) whether such Membership Interests are being traded on an “established
securities market” or a “secondary market (or the substantial equivalent thereof)” within the meaning of Section 7704 of the Internal Revenue Code and (b) whether additional transfers of Membership Interests would result in
the Company being unable to qualify for at least ONE (1) of the “safe harbors” set forth in Regulations Section 1.7704-1 (or such other guidance subsequently published by the Internal Revenue Service setting forth safe harbors
under which Membership Interests will not be treated as “readily tradable on a secondary market (or the substantial equivalent thereof)” within the meaning of Section 7704 of the Internal Revenue Code) (the “Safe Harbors”).
The Board of Managers and the Chief Executive Officer, President and Presiding Manager shall take all steps reasonably necessary or appropriate to prevent any trading of Membership Interests or any recognition by the Company of transfers of
Membership Interests made on such markets and, except as otherwise provided in this Operating Agreement, to ensure that the conditions of at least ONE (1) of the Safe Harbors is satisfied. 
 Section  22.3  Prohibited “Market” Transfers. Each Member and Interest Holder hereby covenants and agrees with
the Company for the benefit of the Company and of all other Members and Interest Holders (a) that such Member or Interest Holder currently is not making a market in Membership Interests; (b) that such Member or Interest Holder shall not
transfer any Membership Interest upon an “established securities market” or a “secondary market (or the substantial equivalent thereof)” within the meaning of Section 7704 of the Internal Revenue Code and all regulations,
proposed regulations, revenue rulings or other official pronouncements of the Internal Revenue Service or Treasury 

  

 53 

 
Department that may be promulgated or published; and (c) that, in the event that such regulations, revenue rulings or other pronouncements treat arrangements that
facilitate the selling of a Membership Interest that commonly are referred to as “Matching Services” as being a “secondary market (or the substantial equivalent thereof),” such Member or Interest Holder shall not transfer any
Membership Interest through a Matching Service that is not approved in advance by the Board of Managers. 
 ARTICLE XXIII 
 MISCELLANEOUS 
 Section  23.1  Agreement to Perform Necessary Acts. Each party hereto agrees to perform all further acts and execute and deliver all documents that reasonably may be necessary to carry out the terms and provisions
of this Operating Agreement. 
 Section  23.2  Amendments. Except as otherwise expressly provided in this
Operating Agreement, the terms and provisions of this Operating Agreement may not be waived, altered, amended or repealed, in whole or in part, except with the written consent of the Members holding more than SIXTY-FIVE PERCENT (65%) of the
outstanding Membership Voting Interests, provided, however, that in the event such waiver, alteration, amendment or repeal is specific to any right of NGA specified herein, then such waiver, alteration, amendment or repeal shall require the written
consent of NGA. . 
 Section  23.3  Notices. All notices or other communications required or permitted to be
given under this Operating Agreement shall be in writing and shall be (a) delivered personally, (b) sent via Federal Express (or via another comparable overnight delivery service), (c) sent via facsimile machine or (d) mailed,
certified or registered mail, return receipt requested, to the parties hereto at the addresses set forth in relation to the signature lines of this Operating Agreement. Personally-delivered notices shall be deemed given upon actual personal delivery
to the intended recipient. Facsimile notices shall be deemed given upon completion of transmission of the receiving facsimile machine and the return to the transmitting facsimile machine of an acknowledgement of the receipt thereof. Notices sent via
Federal Express (or via another comparable overnight delivery service) shall be deemed given on the business day immediately following the day of dispatch. Mailed notices shall be deemed given upon the earlier of THREE (3) business days after
deposit into the United States mail, registered or certified, with postage fully-prepaid, or the date of actual receipt as evidenced by the return receipt. 
 Section  23.4  Binding Effect. Subject to the terms and provisions of this Operating Agreement, this Operating Agreement shall be binding on and inure to the benefit of the
parties hereto and their respective successors and assigns. The parties hereto agree for themselves and for their successors and assigns, and their successors in interest, no matter how such succession in interest is acquired, to execute any
instrument that may be necessary or proper to carry out all of the purposes and intentions of this Operating Agreement. The Membership Interest of any successor to any party hereto that is not also a party hereto shall be treated hereunder as if it
has continued and is continuing to be held by such party hereto for the purposes of determining the priorities of the rights of the parties hereto to purchase such Membership Interest under the terms of this Operating Agreement. 
 Section  23.5  Severability. If any sentence, paragraph, clause or combination of the same in this Operating Agreement
is held by a court of competent jurisdiction to be unenforceable in any jurisdiction, then such sentence, paragraph, clause or combination shall be unenforceable in the jurisdiction where it is so held, and the remainder of this Operating Agreement
shall remain binding on the parties hereto in such jurisdiction as if such unenforceable 

  

 54 

 
provision had not been contained herein. The enforceability of such sentence, paragraph, clause or combination of the same in this Operating Agreement otherwise shall
be unaffected and shall remain enforceable in all other jurisdictions. 
 Section  23.6  Governing Law. The
validity, construction, interpretation and enforceability of this Operating Agreement shall be determined and governed by the laws of the State of Nevada. Notwithstanding the foregoing, if any law or set of laws in the State of Nevada requires or
otherwise dictates that the laws of another state or jurisdiction must be applied in any proceeding involving this Operating Agreement, then such Nevada law or set of laws shall be superseded by this Section 23.6, and the remaining laws of the
State of Nevada nonetheless shall be applied in such proceeding. 
 Section  23.7  Choice of Forum. Any
judicial proceeding brought by any party hereto as a result of a dispute or controversy arising out of or related to this Operating Agreement shall be commenced in courts located within Washoe County, Nevada. All parties hereto agree to submit to
the jurisdiction of the federal and state courts located within such county in the event of such a dispute or controversy. 
 Section  23.8  Headings. The headings and captions appearing at the beginning of each ARTICLE and Section of this Operating Agreement are included herein for the convenience of reference only, do not constitute a
part of this Operating Agreement and shall not be deemed to limit, characterize or in any way affect any term or provision of this Operating Agreement. This Operating Agreement shall be enforced and construed as if no headings or captions appeared
herein. 
 Section  23.9  Waiver. No waiver of any breach or default of this Operating Agreement by any
party hereto shall be considered to be a waiver of any other breach or default of this Operating Agreement. 
 Section  23.10  Attorneys’ Fees. If a dispute arises with respect to this Operating Agreement, the party prevailing in such dispute shall be entitled to recover all expenses, including, without limitation,
reasonable attorneys’ fees and expenses, incurred in ascertaining such party’s rights and in preparing to enforce and in enforcing such party’s rights under this Operating Agreement, whether or not it was necessary for such party to
institute suit. 
 Section  23.11  Dispute Resolution. The patties hereto hereby agree that any controversy,
dispute or claim arising out of or relating to this Operating Agreement or any breach of this Operating Agreement shall be resolved in accordance with the terms and provisions of this Section 23.11. 
 (a)  Agreement to Negotiate. Before submitting any controversy, dispute or claim arising out of or relating to this
Operating Agreement or any breach of this Operating Agreement to arbitration, the following procedures shall be followed: 
 (i)  The party desiring to submit any such controversy, dispute or claim to arbitration (“Claimant”) first shall give written notice thereof to the other party (“Recipient”) setting forth in detail the
pertinent facts and circumstances relating to such controversy, dispute or claim; 
 (ii)  Recipient shall
have a period of FIFTEEN (15) days in which to consider the controversy, dispute or claim that is the subject of the notice and to furnish in writing to Claimant a written statement of Recipient’s position with respect thereto; 

 

 55 

 (iii)  Within SEVEN (7) days of Claimant’s receipt of
Recipient’s written statement, Claimant and Recipient shall meet with a mediator, whose identity shall be mutually agreed upon by Claimant and Recipient, in an effort to resolve amicably any difference that may exist between the respective
positions of Claimant and Recipient, and, if such resolution is not achieved, either or both of Claimant and Recipient shall have the right to submit the matter to arbitration. 
 (b)  Procedure for Arbitration. Any controversy, dispute or claim arising out of or relating to this Operating
Agreement or any breach of this Operating Agreement, including any dispute concerning the termination of this Operating Agreement, that has not been resolved in accordance with subparagraph (a) of this Section 23.11 shall be settled by
arbitration in Washoe County, Nevada in accordance with the commercial arbitration rules of the American Arbitration Association then existing. In arbitration, this Operating Agreement (including this provision providing for arbitration in the event
of any controversy, dispute or claim arising out of or relating to this Operating Agreement or any breach of this Operating Agreement that has not been resolved in accordance with subparagraph (a) of this Section 23.11) shall be
specifically enforceable. Judgment upon any award rendered by an arbitrator may be entered in any court having jurisdiction. The prevailing party to an arbitration proceeding commenced hereunder shall be entitled as a part of the arbitration award
to the costs and expenses (including reasonable attorneys’ fees) of investigating, preparing and pursuing an arbitration claim as such costs and expenses are awarded by the arbitrator. 
 Section  23.12  Independence. Notwithstanding the existence of the Company and this Operating Agreement, each Member may
severally engage in whatever activities such Member chooses without having or incurring any obligation to offer any interest in such activity to any party to this Operating Agreement and no Member need disclose to any other Member or the Company any
other business venture or opportunity in which it or its Affiliates may have an interest or business opportunity presented to it, even if such opportunity is of a character similar to the business of the Company. 
 Section  23.13  Confidential Information. Without the affirmative vote or written consent of the Members holding
SEVENTY-FIVE PERCENT (75%) of the outstanding Membership Voting Interests, and except as otherwise required by law, including, without limitation, federal securities law, no Member, either during or after the termination of such Member’s
Membership Interest, shall divulge to others any information not already known to the public pertinent to the services, customers, financial condition or operations of the Company, the businesses of the Company including without limitation the
Eldorado Hotel and Casino, the Silver Legacy Resort and the Eldorado Shreveport Hotel and Casino. Notwithstanding any other term or provision of this Operating Agreement, the terms and provisions of this Section 23.13 cannot be amended or
repealed unless such amendment or repeal first has been approved by the affirmative vote or written consent of the Members holding SEVENTY-FIVE PERCENT (75%) of the outstanding Membership Voting Interests. 
 Section  23.14  Counterparts. This Operating Agreement may be executed in counterparts, each of which shall be deemed to
be an original, but all of which, when taken together, shall constitute one agreement. 
 Section  23.15  Entire
Agreement. This Operating Agreement contains the entire agreement between the parties hereto relating to the subject matter of this Operating Agreement, and no written or oral prior representations, agreements or warranties of any party hereto
shall be of any force or effect unless embodied herein. 
 IN WITNESS WHEREOF, the parties hereto have executed this Operating
Agreement on the date first written above. 
  

 56 

									
	 The “Members”
	 		 	
			
	 RECREATIONAL ENTERPRISES, INC.,
a Nevada corporation
	 		 	
					
	 By:
	 	  	 		 		 	  
		 	 Donald L. Carano,
	 		 		 	 Address

		 	 President
	 		 		 	
			
	 HOTEL-CASINO MANAGEMENT, INC.,
a Nevada corporation
	 		 	
					
	 By:
	 	  	 		 		 	  
		 	 Raymond J. Poncia, Jr.,
	 		 		 	 Address

		 	 President
	 		 		 	
			
	 HOTEL CASINO REALTY INVESTMENTS, INC.,
a Nevada corporation
	 		 	
					
	 By:
	 	  	 		 		 	  
		 	 Raymond J. Poncia, Jr.,
	 		 		 	 Address

		 	 President
	 		 		 	
				
	 NGA ACQUISITIONCO, LLC
a Nevada limited liability company
	 		 		 	
					
	 By:
	 	  	 		 		 	  
		 	 Thomas R. Reeg
	 		 		 	 Address

		 	 Manager
	 		 		 	
		
	 GARY L. CARANO QUALIFIED S CORPORATION TRUST
	 	
					
	 By:
	 	  	 		 		 	  
		 		 		 		 	 Address

		
	 GLENN T. CARANO QUALIFIED S CORPORATION TRUST
	 	
					
	 By:
	 	  	 		 		 	  
		 		 		 		 	 Address

		
	 GENE R. CARANO QUALIFIED S CORPORATION TRUST
	 	
					
	 By:
	 	  	 		 		 	  
		 		 		 		 	 Address

		
	 GREGG R. CARANO QUALIFIED S CORPORATION TRUST
	 	
					
	 By:
	 	  	 		 		 	  
		 		 		 		 	 Address

		
	 CINDY L. CARANO QUALIFIED S CORPORATION TRUST
	 	
					
	 By:
	 	  	 		 		 	  
		 		 		 		 	 Address

  

 57 

									
				
	  	 		 		 	  
	 LUDWIG J. CORRAO
	 		 		 	 Address

	 A married man
	 		 		 	
				
	  	 		 		 	  
	 Spouse
	 		 		 	 Address

 I, the above-consenting spouse, by signing above, acknowledge that I have read the foregoing
Operating Agreement, that I know all of the Operating Agreement’s contents and that I am aware that by the Operating Agreement’s provisions my spouse is obligated to sell all of my spouse’s Membership Interest to the Company and/or to
the other members, upon the occurrence of certain events. I hereby consent to such sale, approve of all of the terms and provisions of the Operating Agreement and agree (i) that all of my spouse’s Membership Interest (whether now held or
hereafter acquired) and all of my interests in such Membership Interest, if any, are subject to the terms and provisions of the Operating Agreement or such other agreement as hereafter may be entered into by and among the Members and (ii) that
I will take no action at any time to hinder the operation of the Operating Agreement or such other agreement as hereafter may be entered into by and among the members on any part of my spouse’s Membership Interest or my interest, if any, in any
of my spouse’s Membership Interest. 
  

 58 

 SCHEDULE A 
 To be provided as of Date of Closing. 
  

 59Purchase Agreement dated as of July 20, 2007

 Exhibit 10.1 
  
  
 PURCHASE AGREEMENT 
 Dated as of July 20, 2007 
 By and Among 
 ELDORADO RESORTS LLC 
 NGA
ACQUISITIONCO, LLC 
 and 
 DONALD L. CARANO 
 Relating To The 
 Purchase and Sale of 
 Membership Interests of 
 Eldorado Resorts LLC 

 Table of Contents 
  

					
	 	  	 	  	Page
		
	 ARTICLE I Certain Definitions
	  	2
		
	 ARTICLE II Purchase and Sale of the Purchased Interest; Closing
	  	8
			
	 Section 2.01
	  	Purchase and Sale	  	8
			
	 Section 2.02
	  	Purchase Price	  	8
			
	 Section 2.03
	  	Closing	  	9
			
	 Section 2.04
	  	Closing Adjustments	  	10
		
	 ARTICLE III Representations and Warranties
	  	11
			
	 Section 3.01
	  	Disclosure Schedules	  	11
			
	 Section 3.02
	  	Representations and Warranties of the Company	  	11
			
	 Section 3.03
	  	Representations and Warranties of Carano	  	24
			
	 Section 3.04
	  	Representations and Warranties of the Purchaser	  	25
		
	 ARTICLE IV Certain Pre-Closing Covenants
	  	28
			
	 Section 4.01
	  	Reasonable Best Efforts	  	28
			
	 Section 4.02
	  	Regulatory Applications	  	28
			
	 Section 4.03
	  	Regulatory Compliance	  	29
			
	 Section 4.04
	  	Ordinary Course	  	29
			
	 Section 4.05
	  	Equity Interests	  	29
			
	 Section 4.06
	  	Indebtedness	  	29
			
	 Section 4.07
	  	Distributions	  	29
			
	 Section 4.08
	  	Liens	  	29
			
	 Section 4.09
	  	Capital Expenditures	  	30
			
	 Section 4.10
	  	Financial Statements and Reports; Filings	  	30
			
	 Section 4.11
	  	Affiliate Transactions	  	30

					
	 Section 4.12
	  	Notice and Cure	  	30
			
	 Section 4.13
	  	Amendments	  	31
			
	 Section 4.14
	  	Acquisitions; Dispositions	  	31
			
	 Section 4.15
	  	Access; Information	  	31
			
	 Section 4.16
	  	Confidentiality	  	31
		
	 ARTICLE V Conditions to the Obligations of the Parties
	  	32
			
	 Section 5.01
	  	Conditions to Each Party’s Obligation	  	32
			
	 Section 5.02
	  	Additional Conditions to Obligation of the Company	  	33
			
	 Section 5.03
	  	Additional Conditions to Obligation of Carano	  	34
			
	 Section 5.04
	  	Additional Conditions to Obligation of Purchaser	  	35
		
	 ARTICLE VI Indemnification
	  	36
			
	 Section 6.01
	  	The Company’s Indemnification of Purchaser	  	36
			
	 Section 6.02
	  	Carano’s Indemnification of Purchaser	  	36
			
	 Section 6.03
	  	Purchaser’s Indemnification of the Company	  	36
			
	 Section 6.04
	  	Purchaser’s Indemnification of Carano	  	36
			
	 Section 6.05
	  	Notice and Defense of Claims	  	36
			
	 Section 6.06
	  	Survival of Representations and Warranties	  	37
			
	 Section 6.07
	  	Remedies	  	38
			
	 Section 6.08
	  	Certain Damages	  	38
		
	 ARTICLE VII Termination
	  	38
			
	 Section 7.01
	  	Termination	  	38
			
	 Section 7.02
	  	Effect of Termination	  	39
		
	 ARTICLE VIII Other
	  	40
			
	 Section 8.01
	  	Notices	  	40
			
	 Section 8.02
	  	Entire Understanding; No Third-Party Beneficiaries	  	41

  

 - ii - 

					
			
	 Section 8.03
	  	Waiver; Amendment	  	41
			
	 Section 8.04
	  	Expenses	  	41
			
	 Section 8.05
	  	Counterparts	  	41
			
	 Section 8.06
	  	Governing Law; Enforcement; Waiver of Jury Trial	  	41
			
	 Section 8.07
	  	Disclaimer of Corporate Opportunity Doctrine	  	42
			
	 Section 8.08
	  	Certain Construction Rules	  	43

					
		
	 ANNEXES
	  	
			
	 A.
	  	Disclosure Schedule of the Company	  	
	 B.
	  	Disclosure Schedule of Carano	  	
	 C.
	  	Articles of Organization of the Company	  	
	 D.
	  	Second Amended and Restated Operating Agreement of the Company	  	
	 E.
	  	Registration Rights Agreement	  	
	 F.
	  	Subsidiaries of the Company	  	
	 G.
	  	Equity Owners of the Company	  	
	 H.
	  	Gaming Authorities	  	
	 I.
	  	Officer’s Certificate-Company	  	
	 J.
	  	Secretary’s Certificate-Company	  	
	 K.
	  	Carano Certificate	  	
	 L.
	  	Officer’s Certificate-Purchaser	  	
	 M.
	  	Secretary’s Certificate-Purchaser	  	
	 N.
	  	Put-Call Agreement	  	
	 O.
	  	Pro Forma Capitalization of the Company	  	

  

 - iii - 

 PURCHASE AGREEMENT 
 THIS PURCHASE AGREEMENT (the “Agreement”) is entered into as of July 20, 2007, by and among the following parties (collectively, the “Parties”, or, individually, the
“Party”): 
 ELDORADO RESORTS LLC, a Nevada limited liability company (the “Company”); 
 NGA ACQUISITIONCO, LLC, a Nevada limited liability company (“Purchaser”); and 
 DONALD L. CARANO (“Carano”). 
 Recitals 
 A.     The Company (i) owns and operates the Eldorado Hotel & Casino in Reno,
Nevada (“Eldorado-Reno”), (ii) owns 96.1858% of Eldorado Limited Liability Company (“ELLC”), a Nevada limited liability company which owns a 50% interest in a Nevada general partnership that owns and operates
the Silver Legacy Resort Casino in Reno, Nevada (“Silver Legacy”), (iii) owns, indirectly through two wholly owned Nevada limited liability companies, a 76.4% interest in Eldorado Shreveport Joint Venture (the
“Louisiana Partnership”), a Louisiana general partnership that owns the Eldorado Casino Shreveport in Shreveport, Louisiana (“Eldorado-Shreveport”), which is managed by the Company, and (iv) owns a 21.25%
interest in Tamarack Crossing, LLC, a Nevada limited liability company that owns and operates Tamarck Junction Casino and Restaurant in Reno, Nevada (“Tamarack”). 
 B.     Carano, the presiding member of the Company’s Board of Managers and the Company’s Chief Executive Officer, owns
beneficially an equity interest in the Company (the “Carano Interest”). The Carano Interest includes a membership interest in the Company directly owned by Carano (the “Directly Owned Carano Interest”) that
represents three percent (3%) of all the membership interests in the Company issued and outstanding on the date of this Agreement, before giving effect to the issuance of the New Membership Interest (as defined). 
 C.     Purchaser desires (i) to purchase from Carano, and Carano desires to sell to Purchaser, the Directly Owned Carano
Interest, and (ii) to purchase from the Company, and the Company desires to sell to Purchaser, a newly authorized membership interest in the Company (the “New Membership Interest”) that represents fourteen and forty-seven one
hundredths percent (14.47%) of all the membership interests in the Company that will be issued and outstanding on the Closing Date after giving effect to the issuance of the New Membership Interest, upon the terms and subject to the conditions
hereinafter set forth in this Agreement. 

 Agreement 
 IN CONSIDERATION of the mutual covenants and conditions herein contained, and intending to be legally bound, the Parties hereby agree as follows: 
 ARTICLE I 
 Certain Definitions 
 The following terms, as used herein, shall have the meanings respectively ascribed to them: 
 “Affiliate” means, with respect to any specified Person, any other Person directly or indirectly controlling or controlled by or under
direct or indirect common control with such specified Person. For the purposes of this definition: (a) “control” when used with respect to any specified Person means the power to direct the management and policies of such Person,
directly or indirectly, whether through the ownership of voting securities, by contract or otherwise; and (b) the terms “controlling” and “controlled” have meanings correlative to the foregoing. 
 “Agreement” has the meaning set forth in the preface to this Agreement, as amended from time to time in accordance with
Section 8.03 hereof. 
 “Articles of Organization” means the Articles of Organization of the Company, as amended and in
effect at the date hereof; a copy of which is included in Annex C hereto. 
 “Benefit Plan” means any Plan established by
the Company or any Subsidiary of the Company, or any predecessor or Affiliate of any of the foregoing, existing at the Closing Date or prior thereto, to which the Company or any Subsidiary of the Company contributes or has contributed, or under
which any employee, former employee or director of the Company or any Subsidiary of the Company or any beneficiary thereof is covered, is eligible for coverage or has benefit rights. 
 “Blocker” means NGA Blocker, LLC, a Nevada limited liability company. 
 “Business Day” means any day other than a Saturday, Sunday, or day on which banking institutions in Washoe County, City of Reno and
State of Nevada are authorized or required by law to remain closed. 
 “CEJV” means Circus and Eldorado Joint Venture, a
Nevada general partnership of which ELLC and Galleon, Inc. are the partners. 
 “Carano” has the meaning set forth in the
preface to this Agreement. 
 “Carano Disclosure Schedule” has the meaning set forth in Section 3.01 hereof.

 “Carano Interest” has the meaning set forth in the Recitals to this Agreement. 
 “Carano-Owed Amount” has the meaning set forth in Section 2.04 hereof. 
  

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 “Chosen Courts” has the meaning set forth in Section 8.06 hereof. 
 “Closing” and “Closing Date” have the meanings set forth in Section 2.03 hereof. 
 “Code” means the Internal Revenue Code of 1986, as amended. 
 “Company” has the meaning set forth in the preface to this Agreement. 
 “Company’s Disclosure Schedule” has the meaning set forth in Section 3.01 hereof. 
 “Company-Controlled Subsidiaries” means the Subsidiaries of the Company other than CEJV and Silver Legacy Capital Corp., a Nevada
corporation wholly owned by CEJV. 
 “Company-Owed Amount” has the meaning set forth in Section 2.04 hereof.

 “Confidentiality Agreement” has the meaning set forth in Section 4.09 hereof. 
 “Contract” means any agreement, lease, license, evidence of Indebtedness, mortgage, indenture, security agreement or other contract
(whether written or oral). 
 “Credit Facility” means the Third Amended and Restated Loan Agreement, dated as of
February 28, 2006, by and among the Company, Bank of America, N.A., as Administrative Agent, and Banc of America Securities LLC, as Lead Arranger and Sole Book Manager. 
 “Defined Benefit Plan” means each Benefit Plan which is subject to Part 3 of Title I of ERISA, Section 412 of the Code or Title IV
of ERISA. 
 “Directly Owned Carano Interest” has the meaning set forth in the Recitals to this Agreement. 
 “Directly Owned Carano Interest Consideration” has the meaning set forth in Section 2.02(i) hereof. 
 “Disclosure Schedules” has the meaning set forth in Section 3.01 hereof. 
 “Distribution” has the meaning set forth in Section 4.07 hereof. 
 “Eldorado Disclosure” means the annual report of the Company and Eldorado Capital Corp., a Nevada corporation (“Eldorado Capital
Corp.”), for the year ended December 31, 2006, and the quarterly report of the Company and Eldorado Capital Corp. for the quarter ended March 31, 2007, each prepared in accordance with requirements of the Eldorado Indenture.

 “Eldorado Indenture” means the Indenture dated April 20, 2004, by and among the Company and Eldorado Capital Corp.,
as issuers, and U.S. Bank National Association, as trustee, relating to the 9% Senior Notes due 2014 issued by the Company and Eldorado Capital Corp., as amended by Supplemental Indentures dated as of August 11, 2005 and November 21, 2006,
respectively. 
  

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 “ELLC” has the meaning set forth in the Recitals to this Agreement. 
 “ERISA” means the Employee Retirement Income Security Act of 1974, as amended. 
 “ERISA Affiliate” means any Person who is in the same controlled group of corporations or who is under common control with the Company
or, before the Closing, the Company or any Subsidiary (within the meaning of Section 414 of the Code). 
 “Exchange
Act” means the Securities Exchange Act of 1934, as amended. 
 “GAAP” means those generally accepted accounting
principles and practices that are recognized as such in the opinions and pronouncements of the Accounting Principles Board of the American Institute of Certified Registered Public Accountants (the “Accounting Board”), the opinions
and pronouncements of the Public Company Accounting Oversight Board (the “PCOAB”) and the statements and pronouncements of the Financial Accounting Standards Board (“FASB”) or other appropriate boards or committees
thereof and that are consistently applied for all periods so as to properly reflect the financial condition, and the results of operations and cash flows, of the applicable Person or Persons, except that any accounting principle or practice required
to be changed in order to continue as a generally accepted accounting principle or practice may be so changed; provided, however, that it is understood that unaudited statements may be prepared in accordance with the requirements of the SEC
applicable to unaudited financial statements on Form 10-Q. 
 “Gaming Authority” means any agency, authority, board, bureau,
commission, department, office or instrumentality of any nature whatsoever of the United States federal or foreign government, any state, province or any city or other political subdivision or otherwise, and whether now or hereafter in existence, or
any officer or official thereof, including the Nevada Gaming Commission, the Nevada State Gaming Control Board, the Louisiana Gaming Board and any other applicable gaming regulatory authority with authority to regulate any gaming operation (or
proposed gaming operation) that is (or is proposed to be) owned, managed or operated by the Company or any of its Subsidiaries. 
 “Governmental Authority” means any court, administrative agency or commission or other federal, state, local or foreign governmental authority or instrumentality, including any Gaming Authority. 
 “Governing Documents” means, with respect to any Person, such Person’s articles or certificate of incorporation and by-laws,
articles of organization or certificate of formation and limited liability company agreement or operating agreement, or other constitutive documents. 
 “Indemnified Party” has the meaning set forth in Section 6.07 hereof. 
  

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 “Indemnifying Party” has the meaning set forth in Section 6.07 hereof. 

“IRS” means the United States Internal Revenue Service. 
 “Investment Company Act” means the Investment Company Act of 1940, as amended. 
 “Lien” means a charge, mortgage, pledge, security interest, restriction (other than a restriction on transfer arising under Securities
Laws), claim, lien, or encumbrance of any nature whatsoever. 
 “Losses” has the meaning set forth in Section 6.01
hereof. 
 “Louisiana Partnership” has the meaning set forth in the Recitals to this Agreement. 
 “Material Adverse Effect” means, with respect to the Company, an effect or change that, individually or in the aggregate with other such
effects or changes, is both material and adverse with respect to the financial condition, results of operations, assets, business or management of the Company and its Subsidiaries, taken as a whole; provided, however, that in determining
whether there has been a Material Adverse Effect, any adverse effect from and after the date hereof shall be disregarded to the extent it results from or is attributable to any of the following: (i) general economic conditions;
(ii) conditions in the businesses in which the Company operates; (iii) the execution of the Agreement (including the identity of Purchaser) or any of the agreements or other documents contemplated hereby and the consummation of the
transactions contemplated hereby and thereby; (iv) any natural disaster or any acts of terrorism, sabotage, military action or war (whether or not declared) or any escalation or worsening thereof; or (v) changes in laws, rules or
regulations of any Governmental Authority or interpretations thereof by any Governmental Authority or changes in accounting rules, in each case as to clauses (i), (ii), (iv) and (v) as do not materially disproportionately impact the
Company and its Subsidiaries, taken as a whole, relative to the operations of other hotel/casino companies in the Reno, Nevada and Shreveport, Louisiana markets. 
 “NGA HoldCo” means NGA HoldCo, LLC, a Nevada limited liability company. 
 “Nevada
Limited Liability Company Act” means Chapter 86 of the Nevada Revised Statutes. 
 “New Membership Interest” has
the meaning set forth in the Recitals to this Agreement. 
 “New Membership Interest Consideration” has the meaning set
forth in Section 2.02(ii) hereof. 
 “Operating Agreement” means the Company’s Second Amended and Restated
Operating Agreement, which shall become effective on the Closing Date, a copy of which is included as Annex D hereto. 
  

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 “Option” with respect to any Person means any security, right, subscription, warrant,
option, “phantom” stock right or other contract that gives the right to (i) purchase or otherwise receive or be issued any shares of capital stock or membership interests of such Person or any security of any kind convertible into or
exchangeable or exercisable for any shares of capital stock or membership interests of such Person or (ii) receive or exercise any benefits or rights similar to any rights enjoyed by or accruing to the holder of shares of capital stock or
membership interests of such Person, including any rights to participate in the equity or income of such Person or to participate in or direct the election of any directors or officers of such Person or the manner in which any shares of capital
stock or membership interests of such Person are voted. 
 “Order” has the meaning set forth in Section 5.01(iv)
hereof. 
 “Party” or “Parties” has the meaning set forth in the preface to this Agreement. 
 “Pension Benefit Plan” means each Benefit Plan which is a pension benefit plan within the meaning of Section 3(2) of ERISA.

 “Permitted Liens” means (A) Liens securing liabilities that, in each case, are existing on the date of this
Agreement disclosed or reserved against in the financial statements included in the Eldorado Disclosure; (B) Liens for Taxes not yet due or payable or being contested in good faith (and, in either case, for which adequate accruals or reserves
have been established in the financial statements included in the Eldorado Disclosure); (C) mechanics or materialmen liens and similar liens arising by operation of law; or (D) Liens that do not materially detract from the value or
materially interfere with any current use of such property or assets. 
 “Person” means any individual, corporation, limited
liability company, partnership, joint venture, association, joint-stock company, trust, business trust, governmental entity, or unincorporated organization. 
 “Previously Disclosed” has the meaning set forth in Section 3.01 hereof. 
 “Proposed 2007 Financing” has the meaning set forth in Section 4.06 hereof. 
 “Purchased
Interest” means collectively the Directly Owned Carano Interest and the New Membership Interest. 
 “Purchaser” has
the meaning set forth in the preface to this Agreement. 
 “Put-Call Agreement” means the Put-Call Agreement to be entered
into by the Parties, a copy of which is included as Annex N hereto. 
 “Qualified Plan” means each Benefit Plan which is
intended to qualify under Section 401 of the Code. 
  

 - 6 - 

 “Registration Rights Agreement” means the Registration Rights Agreement to be entered
into by the Company and Purchaser at Closing, a copy of which is included as Annex E hereto. 
 “Required SEC Registration”
has the meaning set forth in Section 5.01(b) hereof. 
 “Rights” means, with respect to any Person, any Contracts,
securities or obligations convertible into or exercisable or exchangeable for, or giving any Person any right to subscribe for or acquire, or any options, calls or commitments relating to, or any equity interest in or equity appreciation right or
other instrument the value of which is determined in whole or in part by reference to the market price or value of, shares of capital stock or other equity interest in such Person. 
 “SEC” means the United States Securities and Exchange Commission. 
 “Securities Act” means the Securities Act of 1933, as amended. 
 “Securities Laws” means, collectively, the Securities Act, the Exchange Act, the Investment Company Act, and any other federal, state,
local or foreign securities laws. 
 “Sellers” means, collectively, the Company and Carano. 
 “SGHI” has the meaning set forth in Section 2.02(i) hereof. 
 “Shreveport Bonds” means the First Mortgage Notes due 2012 co-issued by the Louisiana Partnership and Shreveport Capital Corporation
pursuant to the Shreveport Indenture. 
 “Shreveport Indenture” means the Amended and Restated Indenture relating to the
Shreveport Bonds dated as of July 21, 2005, among the Louisiana Partnership, Shreveport Capital Corporation, the guarantors listed on the signature page thereto and US Bank National Association, as trustee. 
 “Subject Defined Benefit Plan” means each Defined Benefit Plan listed and described in the Company’s Disclosure Schedule.

 “Subsidiary” means, with respect to any specified Person: 
 (1) any corporation, association or other business entity of which more than 50% of the total voting power of shares of capital stock entitled (without
regard to the occurrence of any contingency) to vote in the election of directors, managers or trustees thereof is at the time owned or controlled, directly or indirectly, by such Person or one or more of the other Subsidiaries of that Person (or a
combination thereof) provided, however, with respect to the Company, Silver Legacy Capital Corp., a Nevada corporation wholly owned by CEJV, shall be deemed to be a Subsidiary of the Company for all purposes hereunder; and 
  

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 (2) any partnership (a) the sole general partner or the managing general partner of which is such
Person or a Subsidiary of such Person or (b) the only general partners of which are such Person or one or more Subsidiaries of such Person (or any combination thereof), provided, however, with respect to the Company, CEJV shall be deemed to be
a Subsidiary of the Company for all purposes hereunder. 
 “Tax Returns” means any return (including, without limitation,
information returns, annual reports or other returns in respect of any benefit plan), declaration, report, claim for refund, information return or statement relating to any Tax, together with all schedules or attachments thereto, and including any
amendments of any of the foregoing. 
 “Tax” or “Taxes” means all taxes, charges, fees, levies or other
assessments, however denominated, and whether imposed by a taxing authority within or without the United States, including, without limitation, all net income, gross income, gross receipts, sales, use, ad valorem, goods and services, capital,
transfer, franchise, profits, license, withholding, payroll, employment, employer health, excise, estimated, severance, stamp, occupation, property or other taxes, custom duties, fees, assessments or charges of any kind whatsoever, together with any
interest and any penalties, additions to tax or additional amounts imposed by any taxing authority. 
 “Third Party Claim”
has the meaning set forth in Section 6.05 hereof. 
 “Transaction Documents” means this Agreement, the Operating
Agreement, the Registration Rights Agreement, the Put-Call Agreement and all other agreements, certificates, documents, instruments and writings at any time delivered by the Company and its Subsidiaries in connection with the transactions
contemplated hereby. 
 ARTICLE II 
 Purchase and Sale of the Purchased Interest; Closing 
 Section 2.01     Purchase and Sale.
Subject to the terms and conditions of this Agreement, at the Closing the Purchased Interest shall be acquired by Purchaser as follows: 
 (i)     Carano shall sell and assign to Purchaser, and Purchaser shall purchase and acquire from Carano, the Directly Owned Carano Interest, and 
 (ii)     the Company shall sell and issue to Purchaser, and Purchaser shall purchase and acquire from the Company, the New Membership
Interest. 
 Section 2.02     Purchase Price. The purchase price for the Purchased Interest shall be paid as
follows: 
 (i)     except as otherwise provided in Section 2.04, in consideration for the Directly Owned Carano
Interest, Purchaser shall transfer to Carano, free and clear of any Liens, ownership of (A) $6,912,113 original principal amount of Shreveport Bonds, which shall include the right to all interest thereon paid after the Closing Date or accrued
thereon after the Closing Date, and (B) a 

  

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stock equity interest representing a capital contribution amount of $286,889 issued by Shreveport Gaming Holdings, Inc., a Delaware corporation
(“SGHI”), including the right to any and all cash and in kind distributions and accruals with respect thereto after the Closing Date (collectively, the “Directly Owned Carano Interest Consideration”), and

 (ii)     except as otherwise provided in Section 2.04, in consideration for the New Membership Interest,
Purchaser shall transfer to the Company, free and clear of any Liens, ownership of $31,133,250 original principal amount of Shreveport Bonds, which shall include the right to all interest thereon paid after the Closing Date or accrued thereon after
the Closing Date (the “New Membership Interest Consideration”). 
 Section 2.03     Closing. Subject to the satisfaction of the conditions in ARTICLE V, the closing of the purchase and sale of the Purchased Interest (the “Closing”) shall occur on the tenth
(10th) Business Day following satisfaction or waiver of all of the conditions in Sections 5.01(ii), 5.01(iii)
and 5.01(v) hereof (such date or a subsequent date as of which the Closing shall be effected as hereinafter provided being referred to herein as the “Closing Date”). The Closing shall take place at the offices of McDonald Carano
Wilson LLP, 100 West Liberty Street, 10th Floor, Reno, Nevada 89501, at 10:00 a.m., local time, on the Closing Date. In the event that on the Closing Date specified in this Section 2.03, or any subsequent date agreed upon as a Closing Date, all
of the conditions to the Parties’ respective obligations to close, as set forth in ARTICLE V hereof, have not then been satisfied or waived (other than those conditions that by their terms may only be satisfied on the Closing Date), the Closing
Date shall be postponed until the same time on any subsequent date agreeable to the Parties. At the Closing the following shall occur: 
 (i)
    Carano shall take such actions, including the execution and delivery of the Operating Agreement or of any other document or instrument in form reasonably acceptable to the parties, necessary to transfer title to the Directly
Owned Carano Interest to Purchaser; 
 (ii)     subject to Section 2.04, Purchaser shall transfer (A) to Carano
its beneficial interest in the portion of the global note representing the Shreveport Bonds portion of the Directly Owned Carano Interest Consideration and the stock equity interest representing a capital contribution amount of $286,889 issued by
SGHI, including in each case, the right to any and all cash and in kind distributions and accruals with respect thereto after the Closing Date and (B) to the Company its beneficial interest in the portion of the global note representing the
Shreveport Bonds that constitutes the New Membership Interest Consideration, including the right to any and all cash and in kind distributions and accruals with respect thereto after the Closing Date; 
 (iii)     the Company and Purchaser shall enter into the Registration Rights Agreement; 
  

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 (iv)     the Operating Agreement shall be executed in accordance with the
requirements of Section 5.01(vi) (which the Parties acknowledge shall have the effect of reducing pro rata the respective percentages of the Company’s total membership interests outstanding represented by the Company’s
currently outstanding membership interests before giving effect to the issuance of the New Membership Interest, including, without limitation, the Directly Owned Carano Interest to be acquired by Purchaser pursuant to this Agreement); 
 (v)     the certifications required by Sections 5.02(iii), 5.03(iii) and 5.04(ii), in form reasonably acceptable to the Parties,
shall be delivered in accordance with the respective requirements of such Sections; 
 (vi)     the Company and Carano
shall each deliver to Purchaser any payments pursuant to Section 2.04; and 
 (vii)     Carano, the Company and
Purchaser shall otherwise execute and deliver or cause to be executed and delivered such other instruments and writings, and shall take or cause to be taken such other actions, as may be reasonably necessary or appropriate to effect the Closing,
including, without limitation, the following deliveries from the Company to Purchaser: (A) a good standing certificate, dated as of a date not earlier than thirty (30) days before the Closing Date, of the Company, as issued by the
Governmental Authority of the State of Nevada having jurisdiction, (B) copies of members’ and managers’ actions of the Company, whereunder the execution and delivery of this Agreement and each of the other Transaction Documents by the
respective parties thereto is authorized, as certified to by the Secretary of the Company, and (C) an incumbency certificate as to the officers of the Company executing this Agreement or any of the agreements or documents contemplated hereby,
as certified to by an officer of the Company. 
 All transactions described in this Section 2.03 shall be deemed to take place
simultaneously and each transaction shall be contingent upon the consummation of all such transactions. 
 Section
2.04     Closing Adjustments. At Closing (A) the Company shall pay Purchaser in cash the amount, if any, of the interest on the Shreveport Bonds to be received by the Company pursuant to Section 2.02(ii) (the
“Section 2.02(ii) Amount of Shreveport Bonds”) that is accrued and unpaid through the Closing Date (the “Company-Owed Amount”), or at the election of the Company, the Company may, in lieu of payment of the Company-Owed
Amount, elect to reduce the Section 2.02(ii) Amount of Shreveport Bonds by an original principal amount of Shreveport Bonds (the “Declined Amount of Section 2.02(ii) Shreveport Bonds”) that, when added to the accrued and
unpaid interest on the Declined Amount of Section 2.02(ii) Shreveport Bonds through the Closing Date, equals the Company-Owed Amount, in which case Purchaser shall deliver to the Company an original principal amount of Shreveport Bonds equal to
the Section 2.02(ii) Amount of Shreveport Bonds less the Declined Amount of Section 2.02(ii) Shreveport Bonds and no cash payment shall be required of the Company pursuant to this Section 2.04, and (B) Carano shall pay Purchaser
in cash the amount, if any, of the interest on the Shreveport Bonds to be received by Carano pursuant to Section 2.02(i) (the “Section 2.02(i) Amount of Shreveport Bonds”) that is accrued and unpaid through the Closing Date
(the “Carano-Owed Amount”), or at the election of Carano, 

  

 - 10 - 

 
Carano may, in lieu of payment of the Carano-Owed Amount, elect to reduce the Section 2.02 (i) Amount of Shreveport Bonds by an original principal
amount of Shreveport Bonds (the “Declined Amount of Section 2.02(i) Shreveport Bonds”) that, when added to the accrued and unpaid interest on the Declined Amount of Section 2.02(i) Shreveport Bonds through the Closing
Date, equals the Carano-Owed Amount, in which case Purchaser shall deliver to Carano an original principal amount of Shreveport Bonds equal to the Section 2.02(i) Amount of Shreveport Bonds less the Declined Amount of Section 2.02(i)
Shreveport Bonds and no cash payment shall be required of Carano pursuant to this Section 2.04. Any election by the Company or Carano pursuant to this Section 2.04 to reduce the original principal amount of Shreveport Bonds otherwise
payable pursuant to Section 2.02 shall be made by written notice to Purchaser in accordance with Section 8.01 not later than five (5) Business Days prior to the Closing Date. 
 ARTICLE III 
 Representations and Warranties 
 Section 3.01     Disclosure Schedules. Attached hereto as Annex A is a disclosure schedule prepared by the Company (the
“Company’s Disclosure Schedule”) and attached hereto as Annex B is a disclosure schedule prepared by Carano (the “Carano Disclosure Schedule” and, collectively with the Company’s Disclosure Schedule, the
“Disclosure Schedules”). Information set forth in either of the Disclosure Schedules or in the Eldorado Disclosure, excluding any disclosure other than statements of fact in any risk factor or in any forward looking statements,
whether in response to an express informational requirement or as an exception to one or more representations, warranties or covenants, to the extent the qualifying nature of the disclosure is readily apparent therefrom is described herein as
“Previously Disclosed.” 
 Section 3.02     Representations and Warranties of the Company. The Company
hereby represents and warrants to, and agrees with, Purchaser as follows: 
 (i)     The Company has delivered to
Purchaser a copy of the Eldorado Disclosure. The financial and other information included in the Eldorado Disclosure is accurate in all material respects as of the dates and for the periods set forth therein and presents fairly, in all material
respects, the financial condition, results of operations and changes in financial position of the Persons reflected therein on a consolidated basis as of such dates and for such periods, in conformity with GAAP consistently applied. The Eldorado
Disclosure, this Agreement (including the Disclosure Schedules and other Annexes hereto) and the other documents, certificates or other writings delivered to Purchaser by or on behalf of the Company in connection with the transactions contemplated
hereby, taken together, do not contain any untrue statement of a material fact or omit to state any material fact necessary to make the statements therein not misleading in light of the circumstances under which they were made. Since March 31,
2007, there has been no change in the financial condition, operations, business or properties of the Company except changes that individually or in the aggregate could not reasonably be expected to have a Material Adverse Effect. There is no fact
known to the Company that could reasonably be expected to have a Material Adverse Effect that has not been set forth herein or in the Eldorado Disclosure, the Disclosure Schedules or in the other documents, certificates and other writings delivered
to Purchaser by or on behalf of the Company specifically for use in connection with the transactions contemplated hereby. 
  

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 (ii)     The Company (A) has been duly organized and is validly existing as a
limited liability company in good standing under the laws of the State of Nevada, (B) has all requisite limited liability company power and authority to carry on its business as it is currently being conducted and as described in the Eldorado
Disclosure and to own, lease and operate its properties, and (C) is duly qualified and in good standing as a foreign limited liability company, authorized to do business in each jurisdiction in which the nature of its business or its ownership
or leasing of property requires such qualification, except where the failure to be so qualified could reasonably be expected to have a Material Adverse Effect. 
 (iii)     Annex F lists each Subsidiary of the Company. Each of the Company’s Subsidiaries (A) has been duly organized or incorporated, as applicable, and is validly existing as a limited
liability company, partnership or corporation in good standing under the laws of the state of its organization or incorporation, (B) has all requisite power (corporate, limited liability company or partnership, as applicable) and authority to
carry on its business as it is currently being conducted and to own, lease and operate its properties, and (C) is duly qualified and in good standing as a foreign limited liability company, partnership or corporation authorized to do business
in each jurisdiction in which the nature of its business or its ownership or leasing of property requires such qualification, except where the failure to be so qualified could reasonably be expected to have a Material Adverse Effect. 
 (iv)     All of the outstanding membership interests of the Company have been duly authorized, validly issued, and are fully paid and
nonassessable and were not issued in violation of any preemptive or similar rights. At March 31, 2007, after giving pro forma effect to the issuance and sale on that date of the New Membership Interest in accordance with the terms of this
Agreement, the Company would have had an authorized and outstanding capitalization as set forth in Annex O, and, as of the date hereof, there has been no material change to the Company’s capitalization at March 31, 2007. Annex G sets forth
a true and complete list of the equity owners of the Company which contains the name and percentage of membership interest held by each equity holder prior to and after giving effect to the transactions contemplated by this Agreement. 
 (v)     Other than this Agreement and the transactions contemplated hereby or by the other Transaction Documents or as Previously
Disclosed, there are no outstanding shareholders agreements, investor rights agreements, operating agreements, voting agreements or other agreements of any nature which in any way restrict or adversely effect the transfer, pledge or voting of any of
the membership interests of the Company or any of its Subsidiaries or subject any of such securities to any put, call, redemption obligation or similar right or obligation of any nature, or require the Company or any of its Subsidiaries to declare
or pay any dividends or distributions or register securities under applicable securities laws, rights, Options, warrants, preemptive rights, rights of 

  

 - 12 - 

 
first refusal or similar rights for the purchase or acquisition from the Company of any securities of the Company nor are there any commitments to issue or
execute any such rights, Options, warrants, preemptive rights or rights of first refusal. Other than as contemplated by this Agreement or by the other Transaction Documents or disclosed in the Company’s Disclosure Schedule, neither the Company
nor any of its Subsidiaries is obligated to issue or sell any of its membership interests to any Person. Other than as contemplated by this Agreement or by the other Transaction Documents or disclosed in the Company’s Disclosure Schedule, there
are no outstanding rights or obligations of the Company to repurchase or redeem any of its equity securities. 
 (vi)
    Annex F sets forth for each Subsidiary of the Company the percentage of such Subsidiary owned by the Company. Except as Previously Disclosed, the Company’s interest in each of its Subsidiaries is owned free and clear of
any Lien, and all such interests have been duly authorized, validly issued, and are fully paid and nonassessable and were not issued in violation of any preemptive or similar rights. 
 (vii)     The Company has all requisite limited liability company power and authority to execute, deliver and perform its obligations
under this Agreement and each of the other Transaction Documents to which the Company is a party and to consummate the transactions contemplated hereby and thereby, including, without limitation, the power and authority to sell and issue the New
Membership Interest as provided herein. 
 (viii)     This Agreement has been duly and validly authorized, executed and
delivered by the Company and is the legal, valid and binding agreement of the Company, enforceable against it in accordance with its terms, (A) except as such enforceability may be limited by applicable bankruptcy, insolvency, fraudulent
conveyance, reorganization, moratorium or similar laws affecting the rights of creditors generally, (B) except as rights to indemnity hereunder may be limited by applicable Federal or state securities laws, and (C) subject to general
principles of equity. 
 (ix)     Each of the Transaction Documents, other than this Agreement, to be executed by the
Company has been duly and validly authorized by the Company and, when duly executed and delivered by the Company, will be the legal, valid and binding obligation of the Company, enforceable against the Company in accordance with its terms
(A) except as rights of indemnity or contribution, or both, may be limited by state and federal securities laws or public policy underlying such laws, (B) except as such enforceability may be limited by applicable bankruptcy, insolvency,
fraudulent conveyance, reorganization, moratorium or similar laws affecting the rights of creditors generally, and (C) subject to general principles of equity. 
 (x)     The sale and issuance of the New Membership Interest in accordance with the terms of this Agreement has been duly and validly authorized by the Company. 
  

 - 13 - 

 (xi)     None of the Company or the Company’s Subsidiaries is or, after giving
effect to the sale and issuance of the Purchased Interest in accordance with the terms hereof (including, without limitation, the receipt of the approvals, authorizations, orders or licenses required from the Gaming Authorities listed on
Annex H and satisfaction of the other conditions in Article V of this Agreement), will be, (A) in violation of its Governing Documents, (B) in default in the performance of any bond, debenture, note, indenture, mortgage, deed of trust
or other agreement or instrument to which it is a party by which it is bound or to which any of its properties is subject, or (C) in violation of any local, state, federal or foreign law, statute, ordinance, rule, regulation, judgment or court
decree (including, without limitation, Environmental Laws (as defined in Section 3.02(xxvi) below) or other statutes, ordinances, rules, regulations, judgments or court decrees) applicable to it or its Subsidiaries or any of its or its
Subsidiaries’ assets or properties (whether owned or leased). To the knowledge of the Company, there exists no condition that, with notice, the passage of time or otherwise, would constitute a default under any such document or instrument that
could reasonably be expected to result, individually or in the aggregate, in a Material Adverse Effect. 
 (xii)     None
of (A) the execution, delivery or performance by the Company of this Agreement and (B) the issuance and sale of the Purchased Interest, in each case, in accordance with the terms hereof (including, without limitation, the receipt of the
approvals, authorizations, orders or licenses required from the Gaming Authorities listed on Annex H and satisfaction of the other conditions in Article V of this Agreement) will violate, conflict with or constitute a breach of any of the terms or
provisions of, or a default under (or an event that with notice or the lapse of time, or both, would constitute a default), or require any additional consent under, or result in the imposition of a Lien on any properties of the Company or any of it
Subsidiaries, or an acceleration of any indebtedness of either of the Company or any of its Subsidiaries pursuant to, (1) the Governing Documents of the Company, or any of its Subsidiaries, (2) any bond, debenture, note, indenture,
mortgage, deed of trust or other agreement or instrument to which the Company or any of its Subsidiaries is a party or by which any of them or their property is or may be bound, (3) any statute, rule or regulation applicable to the Company or
any of its Subsidiaries or any of their assets or properties or (4) any judgment, order or decree of any court or governmental agency or authority having jurisdiction over the Company or any of its Subsidiaries or any of their assets or
properties. 
 (xiii)     Other than the receipt of the approvals, authorizations, orders or licenses required from the
Gaming Authorities listed on Annex H and satisfaction of the other conditions in Article V of this Agreement, (A) no consent, approval, authorization or order of, or filing, registration, qualification, license or permit of or with any
Governmental Authority and (B) no consent by any other Person is required for: (1) the execution, delivery and performance by the Company of this Agreement or (2) the sale and issuance of the Purchased Interest. 
 (xiv)     There is as of the date hereof, (A) no action, suit, investigation or proceeding before or by any court, arbitrator or
governmental agency, body or official, domestic or foreign, now pending or, to the knowledge of the Company, threatened or contemplated to which the Company or any of the Company’s Subsidiaries is or may be a party or to which the business or
property of the Company or any of the Company’s Subsidiaries, is or maybe subject, and (B) no injunction, restraining order or order of any nature by a federal or state court or foreign court of competent jurisdiction to which the Company
or any of the Company’s 

  

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Subsidiaries is or may be subject or to which the business, assets, or property of the Company or any of the Company’s Subsidiaries is or may be
subject, that, in the case of clauses (A) and (B) above, could reasonably be expected to have a Material Adverse Effect or to result in the issuance of an Order restraining, enjoining or otherwise prohibiting or making illegal the
consummation of the transactions contemplated by this Agreement. 
 (xv)     Except as disclosed on the Company’s
Disclosure Schedule, (A) no employees of the Company or any of the Company’s Subsidiaries are represented by a union or similar organization representing employees, (B) there is (1) no unfair labor practice, charge or complaint
pending against the Company or any of the Company’s Subsidiaries nor, to the knowledge of the Company, threatened against any of them, before the National Labor Relations Board, any state or local labor relations board or any foreign labor
relations board, and no significant grievance or significant arbitration proceeding arising out of or under any collective bargaining agreement is pending against the Company or any of the Company’s Subsidiaries or, to the knowledge of the
Company, threatened against any of them, (2) no strike, labor dispute, slowdown or stoppage pending against the Company or any of the Company’s Subsidiaries nor, to the knowledge of the Company, threatened against the Company or any of the
Company’s Subsidiaries, and (3) to the knowledge of the Company, no union representation question existing with respect to the employees of the Company or any of the Company’s Subsidiaries, (C) to the knowledge of the Company, no
collective bargaining organizing activities are taking place or being threatened with respect to the Company or any of the Company’s Subsidiaries, (D) neither the Company nor the Company’s Subsidiaries has violated (1) any
federal, state or local law or foreign law relating to discrimination in hiring, promotion, pay or other terms and conditions of employment, (2) any applicable wage or hour laws, or (3) any other federal, state or local law or foreign law
relating to employment which could reasonably be expected to have a Material Adverse Effect. 
 (xvi)     The
Company’s Disclosure Schedule (i) contains a true and complete list of each of the material Benefit Plans, (ii) identifies each of the Benefit Plans that is a Qualified Plan, and (iii) identifies each Benefit Plan which at any
time during the five-year period preceding the date of this Agreement was a Defined Benefit Plan. 
 (xvii)     Each of
the Benefit Plans is, and its administration is and has been since inception, in all material respects in compliance with, and neither the Company nor any Subsidiary has received any claim or notice that any such Benefit Plan is not in compliance
with, all applicable Laws and Orders and prohibited transactions exemptions, including the requirements of ERISA, the Code, the Age Discrimination in Employment Act, the Equal Pay Act and Title VII of the Civil Rights Act of 1964. Each Qualified
Plan is qualified under Section 401(a) of the Code, and, if applicable, complies with the requirements of Section 401(k) of the Code. Each Benefit Plan which is intended to provide for the deferral of income, the reduction of salary or
other compensation or to afford other tax benefits complies with the requirements of the applicable provisions of the Code or other Laws required in order to provide such tax benefits. 
  

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 (xviii)     Neither the Company nor any Subsidiary is in default in performing any of
its contractual obligations under any of the Benefit Plans or any related trust agreement or insurance contract. All contributions and other payments required to be made by the Company or any Subsidiary to any Benefit Plan with respect to any period
ending before or at or including the Closing Date have been made or reserves adequate for such contributions or other payments have been or will be set aside therefor and have been or will be reflected in Financial Statements in accordance with
GAAP. There are no material outstanding liabilities of any Benefit Plan other than liabilities for benefits to be paid to participants in such Benefit Plan and their beneficiaries in accordance with the terms of such Benefit Plan. 
 (xix)     Neither the Company nor any Subsidiary maintains or is obligated to provide benefits under any life, medical or health plan
(other than as an incidental benefit under a Qualified Plan) which provides benefits to retirees or other terminated employees other than benefit continuation rights under the Consolidated Omnibus Budget Reconciliation of 1985, as amended.

 (xx)     Neither the Company, any Subsidiary, any ERISA Affiliate nor any other corporation or organization controlled
by or under common control with any of the foregoing within the meaning of Section 4001 of ERISA has at any time contributed to any “multiemployer plan”, as that term is defined in Section 4001 of ERISA. 
 (xxi)     To the knowledge of the Company, there are no pending or threatened claims by or on behalf of any Benefit Plan, by any
Person covered thereby, or otherwise, which allege violations of Law which could reasonably be expected to result in liability on the part of Purchaser, the Company, any Subsidiary or any fiduciary of any such Benefit Plan, nor is there any basis
for such a claim. 
 (xxii)     [Reserved] 
 (xxiii)     Complete and correct copies of the following documents have been furnished to Purchaser prior to the execution of this Agreement: 
 (A)     the most recent financial statements with respect to any funded Benefit Plan; and 
 (B)     the most recent actuarial report of the qualified actuary of any Subject Defined Benefit Plan or any other Benefit Plan with
respect to which actuarial valuations are conducted. 
  

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 (xxiv)     The Company’s Disclosure Schedule (with paragraph references
corresponding to those set forth below) contains a true and complete list of each of the following Contracts or other arrangements (true and complete copies or, if none, reasonably complete and accurate written descriptions of which, together with
all amendments and supplements thereto and all waivers of any terms thereof, have been delivered to Purchaser prior to the execution of this Agreement), to which the Company or any Subsidiary of the Company is a party or by which any of their
respective assets and properties is bound: 
 (A)     (1) all Contracts (excluding Benefit Plans) providing for a
commitment of employment or consultation services for a specified or unspecified term or otherwise relating to employment or the termination of employment, the name, position and rate of compensation of each Person party to such a Contract and the
expiration date of each such Contract; and (2) any written or unwritten representations, commitments, promises, communications or courses of conduct (excluding Benefit Plans and any such Contracts referred to in clause (1)) involving an
obligation of the Company or any Subsidiary of the Company to make payments in any year, other than with respect to salary or incentive compensation payments in the ordinary course of business, to any employee exceeding $100,000 or any group of
employees exceeding $500,000 in the aggregate. 
 (B)     all Contracts with any Person containing any provision or
covenant prohibiting or limiting the ability of the Company or any Subsidiary of the Company to engage in any business activity or compete with any Person or prohibiting or limiting the ability of any Person to compete with the Company or any
Subsidiary of the Company; 
 (C)     all partnership, joint venture, shareholders’ or other similar Contracts with
any Person; 
 (D)     all Contracts relating to Indebtedness of the Company or any Subsidiary of the Company in excess
of $5,000,000 or to preferred stock issued by the Company or any Subsidiary of the Company; 
 (E)     all Contracts
providing for (1) the future disposition or acquisition of any assets and properties, other than dispositions or acquisitions in the ordinary course of business consistent with past practice, and (2) any merger or other business
combination; 
 (F)     all Contracts between or among the Company or any Subsidiary of the Company on the one hand, and
the Company, any officer, director or Affiliate (other than the Company or any Subsidiary) of the Company, on the other hand; 
 (G)
    all collective bargaining or similar labor Contracts; 
 (H)     all Contracts that
(1) limit or contain restrictions on the ability of the Company or any Subsidiary of the Company to declare or pay dividends on, to make any other distribution in respect of or to issue or purchase, redeem or otherwise acquire its capital
stock, to incur Indebtedness, to incur or suffer to exist any Lien, to purchase or sell any Assets and Properties, to change the lines of business in which it participates or engages or to engage in any Business Combination or (2) require the
Company or any Subsidiary of the Company to maintain specified financial ratios or levels of net worth or other indicia of financial condition; and 
  

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 (I)     all other Contracts (other than Benefit Plans) that (1) involve the
payment or potential payment, pursuant to the terms of any such Contract, by or to the Company or any Subsidiary of the Company of more than $100,000 annually and (2) cannot be terminated within ninety (90) days after giving notice of
termination without resulting in any material cost or penalty to the Company or any Subsidiary of the Company. 
 (xxv)
    Each Contract required to be disclosed in the Company’s Disclosure Schedule is in full force and effect and constitutes a legal, valid and binding agreement, enforceable in accordance with its terms, of each party
thereto; and except as disclosed in the Company’s Disclosure Schedule neither the Company, any Subsidiary of the Company nor, to the knowledge of the Company, any other party to such Contract is, or has received notice that it is, in violation
or breach of or default under any such Contract (or with notice or lapse of time or both, would be in violation or breach of or default under any such Contract) in any material respect. 
 (xxvi)     Except as Previously Disclosed, (A) neither the Company nor any of the Company’s Subsidiaries is in violation of
or has at any time violated, in any material respect, any foreign, federal, state or local law or regulation relating to the protection of human health and safety, the environment or hazardous or toxic substances or wastes, pollutants or
contaminants (“Environmental Laws”), and (B) to the Company’s knowledge, none of the following are located at any of the real properties or facilities of the Company or any Company Subsidiaries (w) underground or
aboveground storage tanks, (x) asbestos or asbestos-containing materials in any form or condition, (y) electrical equipment containing polychlorinated biphenyls, or (z) landfills or other disposal areas. 
 (xxvii)     Except as Previously Disclosed, there is no pending, actual or alleged material liability or obligation, or, to the
knowledge of the Company, any threatened material liability or obligation (including, without limitation, alleged or potential liability or investigatory costs, cleanup costs, governmental response costs, natural resource damages, property damages,
personal injuries or penalties) of the Company or any of the Company’s Subsidiaries, nor has the Company or any of the Company’s Subsidiaries received any notice of any such material liability or obligation, in each case arising out of,
based on or resulting from (A) the treatment, storage, disposal, arrangement for or permitting the disposal, transportation, handling or release of any Hazardous Material (as defined below) by or on behalf of the Company, any of the
Company’s Subsidiaries or any of their respective predecessors or Affiliates, (B) the presence or release into the environment of any Hazardous Material (as defined below) at any location, whether or not owned by the Company, the
Company’s Subsidiaries or any of their respective predecessors or Affiliates, as the case may be, or (C) any violation or alleged violation of any Environmental Law. The term “Hazardous Material” means (1) any 

  

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“hazardous substance” as defined by the Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended, (2) any
“hazardous waste” as defined by the Resource Conservation and Recovery Act, as amended, (3) any petroleum or petroleum product, (4) any polychlorinated biphenyl, and (5) any pollutant or contaminant or hazardous, dangerous
or toxic chemical, material, waste or substance regulated under or within the meaning of any other law that relates to protection of human health or the environment or imposes liability or standards of conduct concerning any such chemical material.,
waste or substance, including any mold or any other toxic or hazardous biological substance. 
 (xxviii)     Each of the
Company and the Company’s Subsidiaries has such permits, licenses, franchises and authorizations of governmental or regulatory authorities (“Permits”), including, without limitation, any such Permits as may be required from a
Gaming Authority and any such Permits as may be required under any applicable Environmental Laws, as are necessary to own, lease, operate and occupy their respective properties and to conduct their businesses in the manner described in the Eldorado
Disclosure; each of the Company and the Company’s Subsidiaries is in compliance with and has complied with, fulfilled and performed all of its obligations with respect to such Permits and no event has occurred which allows, or after notice or
lapse of time would allow, revocation or termination thereof or could result in any other material impairment of the rights of the holder of any such Permit; such Permits contain no restrictions that are materially burdensome to the Company or any
of the Company’s Subsidiaries, as the case may be; and any Permits necessary in the future to conduct the business of the Company and its Subsidiaries as described in the Eldorado Disclosure are reasonably expected to be granted upon
applications and the Company has no reason to believe that any Gaming Authority or any other Governmental Authority is investigating the Company or any of the Company’s Subsidiaries other than in an ordinary course review or any ordinary course
review of the transactions contemplated hereby. 
 (xxix)     Each of the Company and the Company’s Subsidiaries has
(A) good and valid title (including good, valid, and marketable, fee simple or good and valid leasehold title on all real property, as the case may be) to all of the properties and assets owned by it, free and clear of all Liens other than
Permitted Liens, except as disclosed in the Disclosure Schedules, (B) valid leasehold interests in all the property subject to a lease and each such lease is valid and enforceable in accordance with its terms in all material respects and is in
full force and effect, and (C) peaceful and undisturbed possession under all material leases to which any of them is a party as lessee. No Consent or approval of any landlord or other third party in connection with any such lease is necessary
for the Company to execute this Agreement and consummate the transactions contemplated hereby. All leases to which the Company or any of the Company’s Subsidiaries is a party are valid and binding and no default by the Company or such
Subsidiary, as the case may be, has occurred and is continuing thereunder and, to the knowledge of the Company, no material defaults by the landlord are existing under any such lease, except as could not reasonably be expected to have a Material
Adverse Effect. 
  

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 (xxx)     The tangible properties of the Company and the Company’s Subsidiaries
are in good repair (reasonable wear and tear excepted). The Company and each of its Subsidiaries is in possession of and has good title to, or has valid leasehold interests in or valid rights under contract to use, all tangible personal property
used in or reasonably necessary for the conduct and operation of its business. Except as Previously Disclosed, all such tangible personal property is free and clear of all Liens other than Permitted Liens. 
 (xxxi)     Each of the Company and the Company’s Subsidiaries owns, possesses or has the right to employ all patents, patent
rights, licenses, inventions, copyrights, know-how (including trade secrets and other unpatented and/or unpatentable proprietary or confidential information, software, systems or procedures), trademarks, service marks and trade names, inventions,
computer programs, technical data and information (collectively, the “Intellectual Property”) presently employed by it in connection with the businesses now operated by it or that are proposed to be operated by it. Neither the
Company nor any of the Company’s Subsidiaries have received any written notice that the Company or such Subsidiary, as applicable, is infringing any Intellectual Property of any other Person, no claim is pending or, to the knowledge of the
Company, has been made to such effect that has not been resolved and, to the knowledge of the Company, neither the Company nor any Subsidiary of the Company is infringing any Intellectual Property of any other Person. 
 (xxxii)     All Tax Returns required to be filed by the Company or any of the Company’s Subsidiaries in all jurisdictions have
been so filed. All such Tax Returns are true, complete and correct in all material respects. All Taxes, including withholding taxes, penalties and interest, assessments, fees and other charges due or claimed to be due from such entities or that are
due and payable have been paid, other than those being contested in good faith and for which adequate reserves have been provided or those currently payable without penalty or interest. To the knowledge of the Company, there are no material proposed
additional Tax assessments against the Company or any of the Company’s Subsidiaries, or the assets or property of the Company or any of the Company’s Subsidiaries. Except as disclosed in the Company’s Disclosure Schedule, there are no
current audits, administrative or judicial proceedings relating to the Taxes of the Company and its Subsidiaries and to the knowledge of the Company no such audits or proceedings are threatened. 
 (xxxiii)     Neither the Company nor any of the Company’s Subsidiaries is or, after giving effect to the sale and issuance of
the Purchased Interest, will be an “investment company” or a company “controlled” by an “investment company” within the meaning of the Investment Company Act. 
 (xxxiv)     Each of the Company and the Company’s Subsidiaries maintains a system of internal accounting controls sufficient to
provide reasonable assurance that: (A) transactions are executed in accordance with management’s general or specific authorizations, (B) transactions are recorded as necessary to permit preparation of financial statements in
conformity with generally accepted accounting principles and to maintain accountability for assets, (C) access to assets is permitted only in accordance with management’s general or specific authorization; and (D) the recorded
accountability for assets is compared with the existing assets at reasonable intervals and appropriate action is taken with respect thereto. 
  

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 (xxxv)     Each of the Company and the Company’s Subsidiaries maintains
insurance covering its properties, operations, personnel and businesses. Such insurance insures against such losses and risks as are adequate in accordance with customary industry practice to protect the Company, the Company’s Subsidiaries and
their respective businesses. Neither the Company nor any of the Company’s Subsidiaries has received notice from any insurer or agent of such insurer that substantial capital improvements or other expenditures will have to be made in order to
continue such insurance. All such insurance is outstanding and duly in force on the date hereof and will, on the Closing Date after giving effect to the issuance of the New Membership Interest, be outstanding and duly in force on the terms in effect
on the date hereof, subject only to changes made in the ordinary course of business, consistent with past practice, which do not, singly or in the aggregate, materially alter the coverage thereunder or the risks covered thereby. 
 (xxxvi)     The execution and delivery of this Agreement and the sale and issuance of the Purchased Interest will not constitute or
result in a prohibited transaction within the meaning of Section 406 of ERISA or Section 4975 of the Code. The representation made by the Company in the preceding sentence is made in reliance upon and subject to the accuracy of, and
compliance with, the representations made by Purchaser in Section 3.04(vii) hereof. 
 (xxxvii)     Except as
disclosed in the Company’s Disclosure Schedule or as incurred in the ordinary course of business, since March 31, 2007, neither the Company nor any of the Company’s Subsidiaries has incurred any liabilities or obligations, direct or
contingent, not reflected in the financial statements or the notes thereto included in the Eldorado Disclosure that are or, after giving effect to the issuance of the New Membership Interest, will be material, individually or in the aggregate, to
the Company and the Company’s Subsidiaries, taken as a whole. 
 (xxxviii)     None of the execution, delivery and
performance of this Agreement or the sale and issuance of the Purchased Interest will violate Regulations T, U or X promulgated by the Board of Governors of the Federal Reserve or analogous foreign laws and regulations. 
 (xxxix)     The accountants who have certified the financial statements included as part of the Eldorado Disclosure are independent
accountants. The consolidated financial statements of the Company and the Company’s Subsidiaries contained in the Eldorado Disclosure present fairly in all material respects the financial condition and results of operations of the Company and
the Company’s Subsidiaries at the dates and for the periods indicated. Such financial statements have been prepared in accordance with GAAP. 
  

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 (xl)     Neither the Company nor any of the Company-Controlled Subsidiaries intends
to, nor does the Company or any such Subsidiary, as applicable, believe that it will, incur debts (including any debt incurred by the Company as contemplated by Section 4.06 hereof) beyond its ability to pay such debts as they mature. The
present fair saleable value of the assets of the Company and the Company-Controlled Subsidiaries, taken as a whole, exceeds the amount that will be required to be paid on or in respect of the existing debts and other liabilities (including
contingent liabilities) of the Company and the Company-Controlled Subsidiaries and any additional debt incurred by the Company as contemplated by Section 4.06 hereof as they become absolute and matured. The assets of the Company and the
Company’s Subsidiaries, taken as a whole, do not constitute unreasonably small capital to carry out the business of the Company and the Company’s Subsidiaries, taken as a whole, as conducted or as proposed to be conducted. 
 (xli)     The Company and ELLC are currently treated as partnerships for United States federal income tax purposes. 

(xlii)     Except as Previously Disclosed or incurred in the ordinary course of business subsequent to March 31, 2007,
(A) there is no indebtedness between the Company, on the one hand, and any member, officer, manager, director or Affiliate of the Company, on the other hand, other than usual and customary advances made in the ordinary course of business;
(B) no such member, officer, manager, director or Affiliate provides or causes to be provided any assets, services (other than services as an officer, manager, director or employee) or facilities to the Company; (C) the Company does not
provide or cause to be provided any assets, services or facilities to any such member, officer, manager, director or Affiliate (other than as reasonably necessary for them to perform their duties as officers, managers, directors or employees);and
(D) except for the Company’s Subsidiaries, the Company does not beneficially own, directly or indirectly, any investment in any Affiliate. 
 (xliii)     Except for the execution and delivery of this Agreement and the transactions to take place pursuant hereto on or prior to the Closing Date, and except as disclosed in the Company’s
Disclosure Schedule, since March 31, 2007 there has not been any Material Adverse Effect, or any event or development which, individually or together with other such events, could reasonably be expected to result in a Material Adverse Effect.
Without limiting the foregoing, except for the execution and delivery of this Agreement and the transactions to take place pursuant hereto on or prior to the Closing Date, and, except as disclosed in the Company’s Disclosure Schedule, there has
not occurred between March 31, 2007 and the date hereof: 
 (A)     any declaration, setting aside or payment of
any dividend or other distribution in respect of any class of membership interests of the Company or any Subsidiary not wholly owned by the Company, or any direct or indirect redemption, purchase or other acquisition by the Company or any Subsidiary
of any membership interests of or any Option with respect to the Company or any Subsidiary not wholly owned by the Company; 
  

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 (B)     any authorization, issuance, sale or other disposition by the Company or any
of the Company’s Subsidiaries of any class of membership interests of or Option with respect to the Company or any of the Company’s Subsidiaries, or any modification or amendment of any right of any holder of any outstanding membership
interests of or Option with respect to the Company or any of the Company’s Subsidiaries; 
 (C)     except for the
Proposed 2007 Financings (A) incurrence by the Company or any of the Company’s Subsidiaries of Indebtedness in an aggregate principal amount exceeding $445.0 million (net of any amounts discharged during such period), or (B) any
voluntary purchase, cancellation, prepayment or complete or partial discharge in advance of a scheduled payment date with respect to, or waiver of any right of the Company or any of the Company’s Subsidiaries under, any Indebtedness of or owing
to the Company or any of the Company’s Subsidiaries; 
 (D)     any physical damage, destruction or other casualty
loss (whether or not covered by insurance) affecting any of the plant, real or personal property or equipment of the Company or any of the Company’s Subsidiaries in an aggregate amount exceeding $1.0 million; 
 (E)     any material change in (x) any pricing, investment, accounting, financial reporting, inventory, credit, allowance or
Tax practice or policy of the Company or any of the Company’s Subsidiaries, or (y) any method of calculating any bad debt, contingency or other reserve of the Company or any of the Company’s Subsidiaries for accounting, financial
reporting or Tax purposes, or any change in the fiscal year of the Company or any of the Company’s Subsidiaries; 
 (F)
    any write-off or write-down of or any determination to write off or write down any of the assets and properties of the Company or any of the Company’s Subsidiaries in an aggregate amount exceeding $1.0 million;

 (G)     except for the Proposed 2007 Financings, any acquisition or disposition of, or incurrence of a Lien (other
than a Permitted Lien) on, any assets and properties of the Company or any of the Company’s Subsidiaries, other than in the ordinary course of business consistent with past practice; 
 (H)     any (x) amendment of the Governing Documents of the Company or any of the Company’s Subsidiaries,
(y) recapitalization, reorganization, liquidation or dissolution of the Company or any of the Company’s Subsidiaries or (z) merger or other business combination involving the Company or any of the Company’s Subsidiaries and any
other Person; 
 (I)     any entering into, amendment, modification, termination (partial or complete) or granting of a
waiver under or giving any consent with respect to (A) any Contract which is required (or had it been in effect on the date hereof would have been required) to be disclosed in the Company’s Disclosure Schedule pursuant to
Section 3.02(xxiv) hereof or (B) any material license held by the Company or any of the Company’s Subsidiaries; 
  

 - 23 - 

 (J)     except for capital expenditures to be made in connection with the
construction of the new tower at the Eldorado-Shreveport property, capital expenditures or commitments for additions to property, plant or equipment of the Company and the Company’s Subsidiaries constituting capital assets in an aggregate
amount exceeding $25 million; 
 (K)     any commencement or termination by the Company or any of the Company’s
Subsidiaries of any line of business; 
 (L)     any transaction by the Company or any of the Company’s
Subsidiaries with the Company, any officer, director, member or Affiliate (other than the Company or any Subsidiary) of the Company (A) outside the ordinary course of business consistent with past practice or (B) other than on an
arm’s-length basis, other than pursuant to any Contract in effect on the date of the Eldorado Disclosure and disclosed pursuant to Section 3.02(xxiv) hereof; 
 (M)     any entering into of a Contract to do or engage in any of the foregoing after the date hereof; or 
 (N)     any other transaction involving, or development affecting, the Company or any of the Company’s Subsidiaries outside the ordinary course of business consistent with past practice.

 Section 3.03     Representations and Warranties of Carano. Carano hereby represents and warrants to Purchaser
as follows: 
 (i)     He now is, and at the time of delivery will be, the lawful record and beneficial owner of the
Directly Owned Carano Interest, and at the time of delivery thereof he will have valid and marketable title to the Directly Owned Carano Interest, free and clear of any Lien, or other defect in title; 
 (ii)     He has, and at the time of delivery of the Directly Owned Carano Interest will have, full legal right, power and
authorization, and any approval required by law, to sell, assign, transfer and deliver the Directly Owned Carano Interest to Purchaser in accordance with the terms of this Agreement; and 
 (iii)     This Agreement has been duly executed and delivered by him and is a legal, valid and binding agreement of his enforceable
against him in accordance with its terms and each of the other Transaction Documents to be executed by him will be, when executed by him, duly executed and delivered by him and a legal, valid and binding agreement of his enforceable against him in
accordance with its terms, in each case (A) except as such enforceability may be limited by applicable bankruptcy, insolvency, fraudulent conveyance, reorganization, moratorium or similar laws affecting the rights of creditors generally,
(B) except as rights to indemnity hereunder may be limited by applicable Federal or state securities laws, and (C) subject to general principles of equity. 
  

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 (iv)     The consummation of the transactions contemplated by this Agreement in
accordance with the terms hereof (including without limitation, the receipt of the approvals, authorizations, orders or licenses required from the Gaming Authorities listed on Annex H and satisfaction of the other conditions in Article V of this
Agreement) and the execution, delivery and performance by Carano of this Agreement and each of the other Transaction Documents to which Carano is to be a party will not (A) contravene, result in any breach of, or constitute a default under any
material agreement or instrument to which Carano is a party, (B) conflict with or result in a breach of any of the terms, conditions or provisions of any Order of any court, arbitrator or Governmental Authority applicable to Carano, or
(C) violate any provision of any statute or other rule or regulation of any Governmental Authority applicable to Carano. 
 Section
3.04     Representations and Warranties of the Purchaser. Purchaser hereby represents and warrants to the Company and Carano as follows: 
 (i)     Purchaser has been duly organized and is validly existing as a limited liability company in good standing under the Nevada Limited Liability Company Act. Purchaser is duly qualified to do
business and is in good standing in the States of the United States and foreign jurisdictions where its ownership or leasing of property or the conduct of its business requires it to be so qualified, except where the failure to be so qualified could
not reasonably be expected to have a material adverse effect with respect to the financial condition, results of operations, assets, business or management of Purchaser and its Subsidiaries, taken as a whole. Purchaser has in effect all federal,
state, local and foreign governmental authorizations necessary for it to own or lease its properties and assets and to carry on its business as it is now conducted, except where the failure to be have such authorizations could not reasonably be
expected to have a material adverse effect with respect to the financial condition, results of operations, assets, business or management of Purchaser and its Subsidiaries, taken as a whole. 
 (ii)     All of the issued and outstanding membership interests of Purchaser are owned by Blocker and all of the issued and
outstanding membership interests of Blocker are owned by NGA HoldCo. 
 (iii)     The Directly Owned Carano Interest
Consideration and the New Membership Interest Consideration have been contributed to the capital of Purchaser free and clear of any Liens and Purchaser will not dispose of, sell, assign or convey the Directly Owned Carano Interest Consideration or
the New Membership Interest Consideration except in accordance with the terms of this Agreement. 
 (iv)     Purchaser
has the requisite limited liability company power and authority, and has taken all action necessary, in order (A) to authorize the execution and delivery of, and performance of its obligations under, this Agreement, and (B) to consummate
the transactions contemplated by this Agreement. Without limiting the generality of the foregoing, any action of any other Person, including NGA HoldCo, required to approve or adopt this Agreement and the transactions contemplated by this Agreement
has been duly taken in accordance with the requirements of the Nevada Limited Liability Company Act and the relevant operating agreement. No further action of the member or managers of Purchaser is required in order to consummate the transactions
contemplated by this Agreement. This Agreement constitutes, and each of the other Transaction Documents to be executed by 

  

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Purchaser will when executed by Purchaser constitute, the valid and binding agreement of Purchaser enforceable in accordance with its terms (A) except,
in each case, as the enforceability hereof may be limited by bankruptcy, insolvency, fraudulent conveyance, reorganization, moratorium or other similar laws relating to the enforcement of creditors’ rights generally or by general principles of
equity, and (B) except as rights to indemnity hereunder may be limited by federal and state securities laws. 
 (v)
    The execution, delivery and performance of this Agreement, and the consummation of the transactions contemplated by this Agreement by Purchaser does not and will not (A) conflict with or constitute a breach or violation
of, or a default under, or cause or allow the acceleration or creation of any right, obligation or Lien (with or without the giving of notice, passage of time or both) pursuant to, any law, rule or regulation or any judgment, decree, order or
governmental or non-governmental permit, license, franchise or privilege or any Contract of Purchaser or to which Purchaser or its properties is subject or bound, (B) constitute a breach or violation of, or a default under, the Governing
Documents of Purchaser, or (C) require any consent or approval under any such law, rule, regulation, judgment, decree, order or governmental or non-governmental permit, license, franchise or privilege or the consent or approval of any other
party to such Contract, except, in the case of (A) or (C), where such conflict, breach, violation or default, or the failure to obtain such consent or approval, could not reasonably be expected to have a material adverse effect with respect to
the financial condition, results of operations, assets, business or management of Purchaser and, in the case of (C) except such as have been or will be obtained and made under applicable gaming laws and regulations and the Exchange Act and the
rules and regulations thereunder. 
 (vi)     Purchaser understands that the New Membership Interest and the Directly
Owned Carano Interest are not registered under the Securities Act and are being offered and sold hereunder in reliance upon exemptions from registration under Sections 4(2) and 4(1), respectively, of the Securities Act and applicable regulations
thereunder and similar exemptions for private offerings under applicable state securities laws. Accordingly, Purchaser makes the following representations, warranties, and acknowledgements with the intent that they may be relied upon in determining
the qualification for exemption from registration under the Securities Act and related state securities laws of the sale hereunder of the New Membership Interest and the Directly Owned Carano Interest: 
 (A)     Purchaser is an “accredited investor” within the meaning of Rule 501 of Regulation D promulgated under the
Securities Act. 
 (B)     Purchaser understands that (1) the New Membership Interest is being offered in a
transaction not involving any public offering in the United States and (2) the Directly Owned Carano Interest is a “restricted security” as that term is defined in Rule 144 under the Securities Act and that it is being sold in a
transaction not involving any public offering by an “Affiliate” of the Company as that term is used in Rule 144, and the Purchased Interest shall be subject to the restrictions contained in the legend set forth in Section 3.04(vi)(F)
hereof. 
  

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 (C)     Purchaser acknowledges that the Purchased Interest may not be offered or
sold by Purchaser unless subsequently registered under the Securities Act (if applicable to the transaction) and any other securities laws or unless exemptions from the registration or other requirements of the Securities Act and any other
applicable securities laws are available for the transaction. 
 (D)     Purchaser has such knowledge and experience in
financial and business matters as are necessary in order to evaluate the merits and risks of an investment in the Purchased Interest and is able to bear the economic risks of its investment. 
 (E)     Purchaser has received a copy of the Eldorado Disclosure and has been afforded the opportunity to review the Eldorado
Disclosure and the other documents, books, records and financial and other information that it has requested from the Company, has been afforded the opportunity to ask questions of, and receive answers from, representatives of the Company concerning
the transactions contemplated by this Agreement, including Purchaser’s acquisition of the Purchased Interest, and to obtain any additional information it has deemed necessary in connection with its decision to acquire the Purchased Interest and
to verify the information furnished to it, and has made its own independent decision to acquire the Purchased Interest pursuant to the terms herein. 
 (F)     Purchaser understands that any certificate evidencing the Purchased Interest will be subject to and bear the following restrictive legends: 
 THE INTEREST REPRESENTED BY THIS CERTIFICATE HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “1933 ACT”) OR UNDER ANY
STATE SECURITIES LAW, AND MAY NOT BE OFFERED, SOLD OR OTHERWISE TRANSFERRED, PLEDGED OR HYPOTHECATED UNLESS AND UNTIL SUCH INTEREST IS REGISTERED UNDER THE 1933 ACT AND, AS APPLICABLE, REGISTERED OR QUALIFIED UNDER STATE SECURITIES LAWS, OR AN
OPINION OF COUNSEL SATISFACTORY TO THE COMPANY IS OBTAINED TO THE EFFECT THAT NO SUCH REGISTRATION OR QUALIFICATION IS REQUIRED. 
 THE
INTEREST REPRESENTED BY THIS CERTIFICATE IS SUBJECT TO THE TERMS AND PROVISIONS OF THE SECOND AMENDED AND RESTATED OPERATING AGREEMENT OF ELDORADO RESORTS LLC IN EFFECT AS OF THE DATE OF THIS CERTIFICATE, AS THE SAME MAY BE AMENDED FROM TIME TO
TIME. 
 (vii)     Purchaser will at all times be using its own funds in any transaction entered into pursuant to this
Agreement and is not using funds of any other Person, and Purchaser is not a Benefit Plan Investor (as defined in Section 3.04(v)(C)). 
  

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 ARTICLE IV 
 Certain Pre-Closing Covenants 
 The Parties agree as follows with respect to the period between the
execution and delivery of this Agreement and the Closing: 
 Section 4.01     Reasonable Best Efforts. Subject to
the terms and conditions of this Agreement, each Party agrees to use its reasonable best efforts in good faith to take, or cause to be taken, all actions, and to do, or cause to be done, all things necessary, proper or advisable under applicable
laws, so as to permit consummation of the transactions contemplated hereby as promptly as practicable and otherwise to enable consummation of the transactions contemplated hereby, and shall cooperate fully with the other Parties to that end,
including cooperating in seeking to obtain any contractual consents required from third parties. 
 Section 4.02    
Regulatory Applications. 
 (a)     Each Party shall use its reasonable best efforts to prepare all documentation,
to effect all filings and to obtain all permits, licenses, consents, approvals and authorizations of all third parties and Governmental Authorities, including any Gaming Authority, necessary to consummate the transactions contemplated by this
Agreement. Each Party will consult with the other Parties, subject to applicable law, and rules or regulations of any Governmental Authority, including any Gaming Authority, with respect to the obtaining of all material permits, licenses, consents,
approvals and authorizations of all third parties and Governmental Authorities necessary or reasonably advisable to consummate the transactions contemplated by this Agreement, and each Party will keep the other Parties apprised of the status of
material matters relating to completion of the transactions contemplated hereby. 
 (b)     Unless precluded by
applicable law, rule or regulation of any Governmental Authority, including any Gaming Authority, each Party agrees, upon request, to furnish, or cause to be furnished, to the others all information concerning itself, its members, managers,
directors, officers, employees and affiliates and such other matters as may be necessary or reasonably advisable in connection with any filing, notice or application made by or on behalf of any of the other Parties with respect to this Agreement or
the transactions contemplated hereby to any third party or Governmental Authority, including any Gaming Authority. 
 (c)
    Without limiting the generality of the foregoing, each of the Parties shall forthwith file, or cause to be filed, such applications with each Gaming Authority as may be necessary or reasonably advisable to obtain all
approvals, licensures and finding by each Gaming Authority for approval of the purchase and sale of the Purchased Interest in accordance with the terms of this Agreement. 
  

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 Section 4.03     Regulatory Compliance. The Company shall use its reasonable
best efforts to maintain, and to cause each of its Company-Controlled Subsidiaries to use its reasonable best efforts to maintain, all of its existing material permits, licenses, authorizations, orders and regulatory approvals necessary to conduct
its business as currently conducted, and comply in all material respects with all regulatory requirements applicable to its business. 
 Section 4.04     Ordinary Course. Except as otherwise described in the Eldorado Disclosure or the Disclosure Schedules, the Company shall operate its business, and shall cause each of its Company-Controlled
Subsidiaries to operate its business, in the ordinary course, consistent with past custom and practice, and shall not engage in any new lines of business or business combination or take any action reasonably likely to have a material adverse effect
upon the ability of the Company to perform any of its obligations under this Agreement. 
 Section 4.05     Equity
Interests. Except as contemplated by this Agreement, neither the Company nor any of its Company-Controlled Subsidiaries shall issue, sell or otherwise permit to become outstanding, or authorize the creation of, any additional equity interests of
the Company or such Subsidiary, as applicable, or any Rights in respect thereof. 
 Section 4.06     Indebtedness.
Except pursuant to the Proposed 2007 Financings (as defined below), the Company and its Company-Controlled Subsidiaries shall not (i) incur any Indebtedness in an aggregate principal amount exceeding $445.0 million (net of any
amounts of Indebtedness discharged during such period), or (ii) voluntarily purchase, cancel, prepay or otherwise provide for a complete or partial discharge in advance of a scheduled payment date with respect to, or waive any right of the
Company or any Company-Controlled Subsidiary under, any Indebtedness of or owing to the Company or any Company-Controlled Subsidiary. “Proposed 2007 Financings” means any of the Indebtedness, refinancings and other transactions
contemplated by that certain Commitment Letter, dated March 28, 2007 by and among the Company, ELLC and Merrill Lynch Capital Corporation. 
 Section 4.07     Distributions. Except for the Distributions permitted by Section 4.14 below, the Company and its Company-Controlled Subsidiaries shall not declare, set aside or pay any dividend or other
distribution in respect of any equity interest of the Company or its Company-Controlled Subsidiaries, or directly or indirectly redeem, purchase or otherwise acquire any equity interest of, or any Option with respect to, the Company or its
Company-Controlled Subsidiaries or any Person not wholly owned by the Company. 
 Section 4.08     Liens. Except
pursuant to the Proposed 2007 Financings, the Company and its Company-Controlled Subsidiaries shall not incur any Lien (other than a Permitted Lien) on any assets and properties of the Company and its Company-Controlled Subsidiaries, other than in
the ordinary course of business consistent with past practice. 
  

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 Section 4.09     Capital Expenditures. Except for capital expenditures to be
made in connection with the construction of the new tower at the Eldorado-Shreveport property in an amount not to exceed $110.0 million, the Company and its Company-Controlled Subsidiaries shall not make capital expenditures or commitments
for additions to property, plant or equipment constituting capital assets in an aggregate amount exceeding $25.0 million; 
 Section
4.10     Financial Statements and Reports; Filings. 
 (a)     As promptly as practicable and
in any event no later than forty five (45) days after the end of each fiscal quarter ending after the date hereof and before the Closing Date (other than the fourth quarter) or ninety (90) days after the end of each fiscal year ending
after the date hereof and before the Closing Date, as the case may be, the Company will deliver to Purchaser true and complete copies of (in the case of any such fiscal year) the audited and (in the case of any such fiscal quarter) the unaudited
consolidated balance sheet, and the related audited or unaudited consolidated statements of operations, stockholders’ equity and cash flows, of the Company and its consolidated subsidiaries, in each case as of and for the fiscal year then ended
or as of and for each such fiscal quarter and the portion of the fiscal year then ended, as the case may be, together with the notes, if any, relating thereto, which financial statements shall be prepared on a basis consistent with the audited
financial statements. 
 (b)     As promptly as practicable, the Company will deliver to Purchaser true and complete
copies of such other financial statements, reports and analyses as may be prepared or received by the Company or any of its consolidated subsidiaries relating to the business or operations of the Company or any of its consolidated subsidiaries or as
Purchaser may otherwise reasonably request. 
 (c)     As promptly as practicable, the Company will deliver copies of all
license applications and other filings made by the Company or any of the Company’s Subsidiaries after the date hereof and before the Closing Date with any Governmental or Regulatory Authority, including gaming regulatory authorities (other than
routine, recurring filings made in the ordinary course of business consistent with past practice). 
 Section 4.11    
Affiliate Transactions. Prior to the Closing, neither the Company nor any of its Company-Controlled Subsidiaries will enter into any Contract or amend or modify any existing Contract, and will not engage in any transaction outside the
ordinary course of business not consistent with past practice or not on an arm’s-length basis (other than pursuant to Contracts disclosed in the Company’s Disclosure Schedule), with the Company or any officer, member, manager or Affiliate
of the Company. 
 Section 4.12     Notice and Cure. The Company will notify Purchaser in writing (where
appropriate, through updates to the Disclosure Schedule) of, and contemporaneously will provide Purchaser with true and complete copies of any and all information or documents relating to, and will use all commercially reasonable efforts to cure
before the Closing, any event, transaction or circumstance, as soon as practicable after it becomes known to the Company, occurring after the date of this Agreement that causes or will cause any covenant or agreement of the Company under this
Agreement to be breached or that renders or will render untrue any representation or warranty of the Company contained in this Agreement as if the same were made on or as of the date of such event, 

  

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transaction or circumstance. No notice given pursuant to this Section shall have any effect on the representations, warranties, covenants or agreements
contained in this Agreement for purposes of determining satisfaction of any condition contained herein or shall in any way limit Purchaser’s right to seek indemnity under Article VI hereof. 
 Section 4.13     Amendments. Except as contemplated by this Agreement, the Company shall not amend, modify, or waive
compliance with any provision of any of (i) its Governing Documents, or (ii) any Contract, employee pension or benefit plan of the Company except, with respect to clause (ii) only, in the ordinary course of business consistent with
past practice. 
 Section 4.14     Acquisitions; Dispositions. Except for the Proposed 2007 Financings and
mandatory distributions required by Section 13.4 of the Company’s Amended and Restated Operating Agreement in effect as of the date hereof (“Mandatory Distributions”), the Company shall not purchase or otherwise acquire, nor sell
or otherwise dispose of, any assets and properties, except in the ordinary course of its business, as conducted at the date hereof; provided, however, that, notwithstanding any provision of this Agreement to the contrary, prior to, or
immediately after the Closing Date, the Company shall be allowed to transfer and distribute, in addition to any Mandatory Distributions, up to Ten Million Dollars ($10,000,000.00) to members of the Company other than Purchaser which shall be funded
from an additional borrowing under the Credit Facility (such distribution collectively with the Mandatory Distributions, being herein referred to as the “Distributions”). 
 Section 4.15     Access; Information. Subject to the provisions of Section 4.16, the Company agrees that upon reasonable
prior notice and subject to applicable laws relating to the exchange of information, and in a manner so as to not interfere with the normal business operations of the Company, it shall afford Purchaser and its officers, employees, counsel,
accountants and other authorized representatives, such access during normal business hours throughout the period from the date hereof to the Closing to the books, records (including Tax Returns), properties, personnel and such other information of
the Company, as Purchaser (or any such representative) may reasonably request and, during such period, the Company shall make available to Purchaser (or any such representative) a copy of all other information relating to the financial, business and
legal condition and prospects of the Company as Purchaser (or such representative) may reasonably request, reasonably promptly after such request. All information obtained by Purchaser and its officers, employees, counsel, accountants and other
authorized representatives pursuant to this Section 4.15 shall be deemed to be “Confidential Information” subject to the Confidentiality Agreement. 
 Section 4.16     Confidentiality. Until the filing by NGA HoldCo with the SEC of a registration statement on Form 10-SB, the transactions contemplated by this Agreement shall be maintained
in confidence by the Parties, and neither the Company nor Carano shall identify Newport Global Opportunities Fund, L.P., a Delaware limited partnership (“Newport”), as a party in interest with respect to such transactions, except
(i) to their counsel, accountants and other representatives and (ii) to the extent that disclosure may 

  

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be required (A) by applicable law, including without limitation, any required filing with a Governmental Authority (including any Gaming Authority) or
(B) in order to obtain any consent or approval or take any other action required to be taken pursuant to the terms of this Agreement. The Parties shall confer with each other and mutually approve the content and timing of any public
announcement or other publicly available report regarding the transactions contemplated by this Agreement; provided, however, that each Party shall nevertheless be permitted to issue any press release or report required by applicable law,
rules and regulations of the SEC, the Eldorado Indenture or the Credit Facility. Notwithstanding any provision of this Section 4.16 to the contrary, Newport may disclose to its equity owners and to equity offerees of Newport, and the Company
may disclose to its equity owners, in each case on a confidential basis, the transaction contemplated by this Agreement. Except as otherwise provided in this Section 4.16, that certain Confidentiality Agreement dated September 28, 2006
(the “Confidentiality Agreement”) previously executed by Purchaser and the Company shall remain in full force and effect and is hereby incorporated herein by reference. 
 ARTICLE V 
 Conditions to the Obligations of the Parties 
 Section 5.01     Conditions to Each Party’s Obligation. The obligation of each Party to effect the Closing hereunder is
subject to the fulfillment or written waiver by each of the other Parties at or prior to the Closing of each of the following conditions: 
 (i)     Governmental and Regulatory Consents. All approvals and authorizations of, filings and registrations with, and notifications to, all Governmental Authorities, including each Gaming Authority, required for
the purchase and sale hereunder of the Purchased Interest and the other transactions contemplated by this Agreement and for the prevention of any termination of any material right, privilege, license or franchise of the Company (and in each case,
granted by any Governmental Authority, including, without limitation, any right, privilege, license or franchise granted by any Gaming Authority), shall have been obtained or made and shall be in full force and effect and all waiting periods
required by law or by rule or regulation of any Governmental Authority, including any Gaming Authority, shall have expired. Notwithstanding any provision to the contrary, none of the foregoing shall be deemed to have been obtained or made if the
same shall be subject to any condition or restriction the effect of which is that such condition or restriction could reasonably be expected to have a Material Adverse Effect. 
 (ii)     Proceedings. There shall exist no action, suit, investigation, litigation or proceeding affecting the Company or any
of its Affiliates or threatened before any court, governmental agency or arbitrator that (i) could reasonably be expected to have a Material Adverse Effect or (ii) purports to affect the legality, validity or enforceability of any
Transaction Document or the consummation of the transactions contemplated herein or by any of the Transaction Documents. 
  

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 (iii)     Actions of NGA HoldCo. NGA HoldCo shall have filed with the SEC a
registration statement on Form 10-SB (or such other form as the SEC may require) to register its membership interests under Section 12(g) of the Exchange Act (the “Required SEC Registration”) and the Required SEC Registration
shall have become effective in accordance with the provisions of Section 12(g) of the Exchange Act and any applicable rules or regulations thereunder, and such registration shall not have been terminated and no action shall have been taken by
NGA HoldCo, the SEC or any other Person seeking such termination. 
 (iv)     No Injunction. No Governmental
Authority of competent jurisdiction, including any Gaming Authority, shall have, after the date of this Agreement, enacted, issued, promulgated, enforced or entered any statute, rule, regulation, judgment, decree, injunction or other order (whether
temporary, preliminary or permanent) that is in effect and prohibits or materially restricts or materially adversely affects the consummation of the transactions contemplated by this Agreement (an “Order”). 
 (v)     Third Party Consents. All consents or approvals of all Persons, other than Governmental Authorities, including,
without limitation, any approvals under, or amendments to, the Company’s First Amended and Restated Operating Agreement as in effect on the date hereof, the Shreveport Indenture, the Eldorado Indenture and the Credit Facility and any approval,
from SGHI, required for or in connection with the execution, delivery and performance of this Agreement and the consummation of the purchase and sale of the Purchased Interest and other transactions contemplated by this Agreement shall have been
obtained and shall be in full force and effect. 
 (vi)     Operating Agreement. At Closing, the Amended and
Restated Operating Agreement of the Company, in the form included as Annex D hereto, shall be duly executed by all of the parties named on the signature pages thereof. 
 (vii)     Put-Call Agreement. At Closing, the Put-Call Agreement, in the form included as Annex N hereto, shall be duly executed by Carano, Purchaser and the Company. 
 Section 5.02     Additional Conditions to Obligation of the Company. In addition to the conditions set forth in
Section 5.01, the obligation of the Company to effect the Closing hereunder is also subject to the fulfillment or written waiver by the Company at or prior to the Closing of each of the following conditions: 
 (i)     Representations and Warranties of Purchaser. The representations and warranties of Purchaser set forth in this
Agreement that are qualified as to materiality shall be true and correct, and the respective representations and warranties of Purchaser set forth in this Agreement that are not so qualified shall be true and correct in all material respects, in
each case as of the date of this Agreement and as of the Closing Date as though made on and as of the Closing Date, except that representations and warranties that by their terms speak only as of the date of this Agreement or some other date need be
true and correct only as of such date; and the Company shall have received from Purchaser a certificate, dated the Closing Date, signed on its behalf by an executive officer of Purchaser to such effect with respect to its representations and
warranties. 
  

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 (ii)     Performance of Obligations of Purchaser. Purchaser shall have
performed and complied in all material respects with all covenants and conditions required to be performed or complied with by it under this Agreement at or prior to the Closing Date; and the Company shall have received from Purchaser a certificate,
dated the Closing Date, signed on its behalf by an executive officer of Purchaser to such effect with respect to the covenants and conditions applicable to it. 
 (iii)     Officers’ Certificates. Purchaser shall have delivered to the Company a certificate, dated the Closing Date and executed in the name and on behalf of Purchaser by the Manager
of Purchaser, substantially in the form and to the effect of Annex L hereto, and a certificate, dated the Closing Date and executed by the Secretary or any Assistant Secretary of Purchaser, substantially in the form and to the effect of Annex M
hereto. 
 Section 5.03     Additional Conditions to Obligation of Carano. In addition to the conditions set forth
in Section 5.01, the obligation of Carano to effect the Closing hereunder is also subject to the fulfillment or written waiver by Carano at or prior to the Closing of each of the following conditions: 
 (i)     Representations and Warranties of Purchaser. The representations and warranties of Purchaser set forth in this
Agreement that are qualified as to materiality shall be true and correct, and the representations and warranties of Purchaser set forth in this Agreement that are not so qualified shall be true and correct in all material respects, in each case as
of the date of this Agreement and as of the Closing Date as though made on and as of the Closing Date, except that representations and warranties that by their terms speak only as of the date of this Agreement or some other date need be true and
correct only as of such date; and Carano shall have received from Purchaser a certificate, dated the Closing Date, signed on its behalf by an executive officer of Purchaser, to such effect with respect to its representations and warranties.

 (ii)     Performance of Obligations of Purchaser. Purchaser shall have performed and complied in all material
respects with all of the covenants and conditions required to be performed or complied with by it under this Agreement at or prior to the Closing Date; and Carano shall have received from Purchaser a certificate, dated the Closing Date, signed on
its behalf by an executive officer of Purchaser, to such effect with respect to the covenants and conditions applicable to it. 
 (iii)     Officers’ Certificates. Purchaser shall have delivered to Carano a certificate, dated the Closing Date and executed in the name and on behalf of Purchaser by the Manager of Purchaser, substantially
in the form and to the effect of Annex L hereto, and a certificate, dated the Closing Date and executed by the Secretary or any Assistant Secretary of Purchaser, substantially in the form and to the effect of Annex M hereto. 
  

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 Section 5.04     Additional Conditions to Obligation of Purchaser. In addition
to the conditions set forth in Section 5.01, the obligation of Purchaser to effect the Closing is also subject to the fulfillment or written waiver by Purchaser at or prior to the Closing of each of the following conditions: 
 (i)     Representations and Warranties of the Company and Carano. The representations and warranties of the Company and Carano
set forth in this Agreement that are qualified as to materiality shall be true and correct, and the representations and warranties of the Company and Carano set forth in this Agreement that are not so qualified shall be true and correct in all
material respects, in each case as of the date of this Agreement and as of the Closing Date as though made on and as of the Closing Date, except that representations and warranties that by their terms speak only as of the date of this Agreement or
some other date need be true and correct only as of such date; and Purchaser shall have received from the Company and Carano, respectively, a certificate, dated the Closing Date (in the case of the certificate from the Company, signed on its behalf
by an executive officer of the Company), to such effect with respect to its or his representations and warranties. 
 (ii)     Officers’ Certificates. 
 (A)     The Company shall have delivered to
Purchaser a certificate, dated the Closing Date and executed in the name and on behalf of the Company by the Chief Executive Office or any Vice President of the Company, substantially in the form and to the effect of Annex I hereto, and a
certificate, dated the Closing Date and executed by the Secretary or any Assistant Secretary of the Company, substantially in the form and to the effect of Annex J hereto. 
 (B)     Carano shall have delivered to Purchaser a certificate, dated the Closing Date, substantially in the form and to the effect
of Annex K hereto. 
 (iii)     Performance of Obligations of the Company and Carano. Each of the Company and
Carano shall have performed and complied with in all material respects all covenants and conditions required to be performed or complied with by it or him under this Agreement at or prior to the Closing Date; and Purchaser shall have received from
the Company and Carano, respectively, a certificate, dated the Closing Date (in the case of the certificate from the Company, signed on its behalf by an executive officer of the Company), to such effect with respect to the covenants and conditions
applicable to it or him. 
 (iv)     No Material Change. Since March 31, 2007, the Company shall not have
experienced any change in its business, operations, earnings, dividends, assets or financial condition which could reasonably be expected to have a Material Adverse Effect. 
  

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 ARTICLE VI 
 Indemnification 
 Section 6.01     The Company’s Indemnification of
Purchaser. After the Closing Date, Purchaser shall, pursuant to this Section 6.01, be entitled to indemnification from the Company against, and shall be held harmless (subject to the limitations set forth 
 herein) by the Company from, any and all damage, loss, liability, fine, deficiency and expense (including, without limitation, interest, court costs, reasonable expenses
of investigation and attorneys’ fees and expenses in connection with any action, suit or proceeding) (“Losses”) incurred or suffered by Purchaser arising out of, related to, or in connection with (i) any breaches of the
Company’s representations and warranties set forth in this Agreement for the period of survival as set forth in Section 6.06, or (ii) the failure by the Company to perform or comply with in any material respect any of the covenants or
conditions on its part to be performed or complied with under this Agreement. 
 Section 6.02     Carano’s
Indemnification of Purchaser. After the Closing Date, Purchaser shall, pursuant to this Section 6.02, be entitled to indemnification from Carano against, and shall be held harmless (subject to the limitations set forth herein) by Carano
from, any and all Losses incurred or suffered by Purchaser arising out of, related to, or in connection with (i) any breaches of Carano’s representations and warranties set forth in this Agreement for the period of survival as set forth in
Section 6.06, or (ii) the failure by Carano to perform or comply with any of the covenants or conditions on his part to be performed or complied with under this Agreement. 
 Section 6.03     Purchaser’s Indemnification of the Company. After the Closing Date, the Company shall, pursuant to this
Section 6.03, be entitled to indemnification from Purchaser, against, and shall be held harmless by Purchaser, from, any and all Losses incurred or suffered by the Company arising out of, related to or in connection with (i) any breaches
of Purchaser’s representations and warranties set forth in this Agreement for the period of survival as set forth in Section 6.06, or (ii) the failure by Purchaser to perform or comply with any of the covenants or conditions on its
part to be performed or complied with under this Agreement. 
 Section 6.04     Purchaser’s Indemnification of
Carano. After the Closing Date, Carano shall, pursuant to this Section 6.04, be entitled to indemnification from Purchaser, against, and shall be held harmless by Purchaser, from, any and all Losses incurred or suffered by Carano arising
out of, related to or in connection with (i) any breaches of Purchaser’s representations and warranties set forth in this Agreement for the period of survival as set forth in Section 6.06, or (ii) the failure by Purchaser to
perform or comply with any of the covenants or conditions on its part to be performed or complied with under this Agreement. 
 Section
6.05     Notice and Defense of Claims. Each Party entitled to indemnification under this ARTICLE VI (the “Indemnified Party”) shall give notice to the Party or Parties required to provide indemnification
(the “Indemnifying Party”) promptly, but not later than forty-five (45) days, after such Indemnified Party receives written notice of any claim, event or matter as to which indemnity may be sought; provided, that the
failure of the Indemnified Party to give notice as provided in this Section 6.05 shall not relieve any Indemnifying Party of its obligations under Sections 6.01 through 6.04, except to the extent that such failure actually and materially
prejudices the rights of any such Indemnifying Party and then only to the extent of such prejudice. In the event of any claim, action, 

  

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suit, proceeding or demand asserted by any Person who is not a Party (or a successor to a Party) to this Agreement (a “Third Party-Claim”)
that is or gives rise to an indemnification claim, the Indemnifying Party may elect to assume and control the defense of any such claim and any litigation resulting therefrom, provided, that counsel for the Indemnifying Party, who shall
conduct the defense of such claim or any litigation resulting therefrom, shall be approved by the Indemnified Party (whose approval shall not be unreasonably withheld or delayed), and the Indemnified Party may participate in such defense at the
Indemnified Party’s expense, which shall include counsel of its choice; provided, further, that the Indemnified Party shall have the right to employ, at the Indemnifying Party’s expense, one counsel of its choice to represent the
Indemnified Party if, in the Indemnified Party’s reasonable judgment, there exists an actual or potential conflict of interest between the Indemnified Party and the Indemnifying Party or if the Indemnifying Party elects not to defend,
compromise or settle a Third-Party Claim; provided, further, that if the Indemnifying Party elects to assume and control the defense but fails to prosecute vigorously and diligently the Third-Party Claim, then the Indemnified Party shall have
the right to defend such Third-Party Claim on behalf of and for the account and risk of the Indemnifying Party. The Indemnifying Party shall be deemed to have waived it right to dispute its liability to the Indemnified Party under this Article VI
with respect to any Third-Party Claim as to which it elects to control the defense. The Indemnifying Party, in the defense of any such claim or litigation, shall not, except with the prior written consent of the Indemnified Party, consent to entry
of any judgment or entry into any settlement (i) that does not include as an unconditional term thereof the giving by the claimant or plaintiff to the Indemnified Party of a release from all liability in respect to such claim or litigation, or
(ii) that could reasonably be expected to restrict materially the conduct of business of Purchaser or the Company as then conducted. 
 Section 6.06     Survival of Representations and Warranties. Notwithstanding any right of Purchaser (whether or not exercised) to investigate the affairs of the Company and the Subsidiaries or any right of any
party (whether or not exercised) to investigate the accuracy of the representations and warranties of the other party contained in this Agreement, the Company, Carano and Purchaser have the right to rely fully upon the representations, warranties,
covenants and agreements of the other contained in this Agreement. The representations, warranties, covenants and agreements of the Company, Carano and Purchaser contained in this Agreement will survive the Closing (a) indefinitely with respect
to (i) the representations and warranties contained in Sections 3.02(iv), (v) and (viii), 3.03(i), (ii) and (iii) and 3.04(iii), and (ii) the covenants and agreements contained in Sections 4.09 and 8.04; (b) until sixty
(60) days after the expiration of all applicable statutes of limitation (including all periods of extension, whether automatic or permissive) with respect to matters covered by Section 3.02(xvii), (xx) and (xxii),
Section 3.02(xv) and (xxvi) (insofar as they relate to ERISA matters); (c) until two years from closing in the case of all other representations and warranties and any covenant or agreement to be performed in whole or in part on or
prior to the Closing; (d) until five years from closing in the case of the representations and warranties contained in Section 3.02(xxvi) (insofar as they relate to Environmental Law), (xxvii) and (xxviii); or (e) with respect to
each other covenant or agreement contained in this Agreement, until sixty (60) days following the last date on which such covenant or 

  

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agreement is to be performed or, if no such date is specified, indefinitely; provided that any representation, warranty, covenant or agreement that would
otherwise terminate in accordance with clause (b), (c), (d) or (e) above will continue to survive if a notice of a claim shall have been timely given pursuant to Section 6.05 on or prior to such termination date, until the related
claim for indemnification has been satisfied or otherwise resolved as provided in Section 6.05. 
 Section 6.07    
Remedies. 
 THE PARTIES ACKNOWLEDGE AND AGREE THAT THE REMEDIES SET FORTH IN THIS ARTICLE VI ARE INTENDED TO BE, AND SHALL BE, THE
SOLE AND EXCLUSIVE REMEDIES WITH RESPECT TO ANY AND ALL BREACHES OF ANY REPRESENTATION, WARRANTY, COVENANT OR AGREEMENT OF ANY PARTY UNDER THIS AGREEMENT OR ANY ACTUAL OR ALLEGED FAILURE TO PERFORM UNDER OR IN CONNECTION WITH THIS AGREEMENT OR
MISREPRESENTATION RELATING TO THE SUBJECT MATTER OF THIS AGREEMENT; PROVIDED, HOWEVER, THAT THIS SECTION 6.07 SHALL NOT PRECLUDE ANY REMEDY OTHERWISE AVAILABLE FOR FRAUD OR VIOLATION OF FEDERAL OR STATE SECURITIES LAWS. 
 Section 6.08     Certain Damages. NO PARTY NOR ANY OF THEIR RESPECTIVE AFFILIATES OR REPRESENTATIVES SHALL BE LIABLE TO ANY
OTHER PARTY OR TO ANY OF ITS AFFILIATES OR REPRESENTATIVES FOR PUNITIVE, SPECIAL, EXEMPLARY, INCIDENTAL, INDIRECT, CONSEQUENTIAL, REMOTE, OR SPECULATIVE DAMAGES IN CONNECTION WITH THIS AGREEMENT AND THE TRANSACTIONS CONTEMPLATED HEREBY, REGARDLESS
OF WHETHER SUCH DAMAGES ARE BASED ON CONTRACT, TORT, STRICT LIABILITY, VIOLATION OF LAW, OR ANY OTHER LEGAL OR EQUITABLE PRINCIPLE; PROVIDED, HOWEVER, THAT THIS SECTION 6.08 SHALL NOT PRECLUDE ANY DAMAGES OTHERWISE AVAILABLE FOR FRAUD OR VIOLATION
OF FEDERAL OR STATE SECURITIES LAWS. 
 ARTICLE VII 
 Termination 
 Section 7.01     Termination. This Agreement may be
terminated: 
 (i) Consent. At any time prior to the Closing, by the mutual consent of the Parties. 
 (ii)     Breach. 
 (A)     At any time prior to the Closing, by the Company or Carano in the event of either: (1) a breach by Purchaser of any representation or warranty contained herein, which breach cannot be or has not been cured
within thirty (30) days after the giving of written notice to the breaching party of such breach; or (2) a breach by Purchaser of any of the covenants or conditions contained herein, which breach cannot be or has not been cured within ten
(10) Business Days after the giving of written notice to the breaching party of such breach and which breach in the case of either of (1) or (2) above, would cause any condition set forth in Article V hereof not to be satisfied.

  

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 (B)     At any time prior to the Closing, by the Purchaser in the event of either:
(1) a breach by any of the other Parties of any representation or warranty contained herein, which breach cannot be or has not been cured within thirty (30) days after the giving of written notice to the breaching party of such breach; or
(2) a breach by any of the other Parties of any of the covenants or conditions contained herein, which breach cannot be or has not been cured within ten (10) Business Days after the giving of written notice to the breaching party of such
breach and which breach in the case of either of (1) or (2) above, would cause any condition set forth in Article V hereof not to be satisfied. 
 (iii)     Delay. At any time prior to the Closing, by the Company, Carano or Purchaser in the event that the Closing shall have failed to occur on or before December 31, 2007, except
to the extent that such failure arises out of or results from any breach of this Agreement by, or knowing action or inaction of, the Party seeking to terminate pursuant to this Section 7.01(iii). 
 (iv)     No Approval. By the Company, Carano or Purchaser if the approval of any Governmental Authority required for
consummation of the purchase and sale of the Purchased Interest and/or any other transactions contemplated by this Agreement shall have been denied by final non-appealable action of such Governmental Authority, or such Governmental Authority shall
have requested the permanent withdrawal of any application therefor, or any such approval shall be made subject to any condition or restriction described in the last sentence of Section 5.01(i). 
 (v)     Order. At any time prior to the Closing by the Company, Carano or Purchaser if any Order permanently restraining,
enjoining or otherwise prohibiting consummation of the purchase and sale of the Purchased Interest and/or any other transactions contemplated by this Agreement shall become final and non-appealable or any law, rule or regulation is in effect or is
adopted or issued, which has the effect of prohibiting the purchase and sale of the Purchased Interest and/or any other transactions contemplated by this Agreement. 
 Section 7.02     Effect of Termination. In the event of termination of this Agreement pursuant to this ARTICLE VII, no Party shall have any liability or further obligation to any other
Party, except (a) as set forth in Sections 4.16 and 8.04, and (b) that termination will not relieve a breaching party from liability for any breach of this Agreement. 
  

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 ARTICLE VIII 
 Other 
 Section 8.01     Notices. All notices, requests and other
communications hereunder to a Party shall be in writing and shall be deemed given (a) on the date of delivery, if personally delivered or delivered by facsimile copy (with confirmation), (b) on the first business day following the date of
dispatch, if delivered by a nationally recognized next-day courier service, or (c) on the third Business Day following the date of mailing, if mailed by registered or certified mail (return receipt requested), in each case to such Party at its
address or facsimile number set forth below or such other address or number as such Party may specify by notice to the Parties. 
 If to
the Company: 
 Eldorado Resorts LLC 
 345 N. Virginia Street 
 Reno, Nevada 89501 
 Attention: Chief Financial Officer 
 Facsimile: (775) 348-7513 
 with a copy to: 
 John Frankovich, Esq.

 McDonald Carano Wilson LLP 
 100 West Liberty Street, 10th Floor 
 Reno, NV 89501 
 Facsimile: (775) 788-2020 
 If to Carano: 
 Donald L. Carano 
 Executive Officer -
Eldorado Hotel 
 345 North Virginia Street 
 Reno, NV 89501 
 Facsimile: (775) 348-9259 
 with a copy to: 
 John Frankovich, Esq.

 McDonald Carano Wilson LLP 
 100 West Liberty Street, 10th Floor 
 Reno, NV 89501 
 Facsimile: (775) 788-2020 
 If to Purchaser: 
 Newport Global Advisors 
 Newport Global
Opportunities Fund LP 
 21 Waterway Avenue, Suite 150 
 The Woodlands, Texas 77380 
 Attention: Mr. Thomas Reeg, Managing Director 
 Facsimile: (713) 559-7499 
  

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 With a copy to: 
 Milbank, Tweed, Hadley & McCloy LLP 
 601 South Figueroa Street, 30th Floor 
 Los Angeles, CA 90017 
 Attention: Ken
Baronsky 
 Facsimile: (213) 892-4733 
 Section 8.02     Entire Understanding; No Third-Party Beneficiaries. This Agreement represents the entire understanding of the Parties with reference to the transactions contemplated hereby
and this Agreement supersedes any and all other oral or written agreements heretofore made with respect to the subject matter hereof. Nothing in this Agreement, expressed or implied, is intended to confer upon any Person, other than the Parties, or
their respective successors and permitted assigns, any rights, remedies, obligations or liabilities under or by reason of this Agreement. 
 Section 8.03     Waiver; Amendment. Prior to the Closing, any provision of this Agreement may be (a) waived by the Party benefited by the provision, or (b) amended or modified at any time, by an
agreement in writing among the Parties approved or authorized and executed by each Party in the same manner as this Agreement. 
 Section
8.04     Expenses. Each Party will bear all expenses incurred by it in connection with this Agreement and the transactions contemplated hereby, including, without limitation, all accounting, legal, gaming application and
licensure fees, SEC registration fees and investment banking fees. 
 Section 8.05     Counterparts. This
Agreement may be executed in two or more counterparts, each of which shall be deemed to constitute an original. 
 Section
8.06     Governing Law; Enforcement; Waiver of Jury Trial. 
 (a)     This Agreement shall be
governed by, and interpreted in accordance with, the laws of the State of Nevada applicable to contracts made and to be performed entirely within such State. The Parties hereby irrevocably submit to the exclusive jurisdiction of the state district
court of Washoe County, Nevada (the “Chosen Court”) in respect of the interpretation and enforcement of the provisions of this Agreement and of the documents referred to in this Agreement, and in respect of the transactions
contemplated hereby, and hereby waive, and agree not to assert, as a defense in any action, suit or proceeding for the interpretation or enforcement hereof or of any such document, that it is not subject thereto or that such action, suit or
proceeding may not be brought or is not maintainable in the Chosen Court or that the venue thereof may not be appropriate or that this Agreement or any such document may not be enforced in or by the Chosen Court, and the Parties irrevocably agree
that all claims with respect to such action or proceeding shall be heard and determined in the Chosen Court. The Parties hereby consent to and grant the Chosen Court exclusive jurisdiction over the person of such Parties and over the subject matter
of such dispute and agree that mailing of process or other papers in connection with any such action or proceeding in the manner provided in Section 8.01 or in such other manner as may be permitted by law shall be valid and sufficient service
thereof. 
  

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 (b)     EACH PARTY ACKNOWLEDGES AND AGREES THAT ANY CONTROVERSY THAT MAY ARISE UNDER
THIS AGREEMENT IS LIKELY TO INVOLVE COMPLICATED AND DIFFICULT ISSUES, AND THEREFORE EACH SUCH PARTY HEREBY IRREVOCABLY AND UNCONDITIONALLY WAIVES ANY RIGHT SUCH PARTY MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION DIRECTLY OR INDIRECTLY
ARISING OUT OF OR RELATING TO THIS AGREEMENT, OR THE TRANSACTIONS CONTEMPLATED BY THIS AGREEMENT. EACH PARTY CERTIFIES AND ACKNOWLEDGES THAT (i) NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE,
THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER, (ii) EACH PARTY UNDERSTANDS AND HAS CONSIDERED THE IMPLICATIONS OF THIS WAIVER, (iii) EACH PARTY MAKES THIS WAIVER VOLUNTARILY, AND
(iv) EACH PARTY HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION 8.06(b). 
 Section 8.07     Disclaimer of Corporate Opportunity Doctrine. Each of the parties hereto acknowledges that the Purchaser and its Affiliates may review the business plans and related
proprietary information of many enterprises, including enterprises which may have products or services which compete directly or indirectly with those of the Company or its Subsidiaries. Nothing in this Agreement shall preclude or in any way
restrict the Purchaser or its Affiliates from investing or participating in any particular enterprise, or trading in the securities thereof, whether or not such enterprise has products or services that compete with those of the Company or any of its
Subsidiaries. Except as the Purchaser or its Affiliates may otherwise agree in writing after the date hereof with respect to itself or its Affiliates (or its or its Affiliates’ employees, officers, directors, partners, members, stockholders, or
agents): (i) such Persons shall have the right to, and shall have no duty (contractual or otherwise) not to, directly or indirectly: (A) engage in the same or similar business activities or lines of business as the Company or any of its
Subsidiaries and (B) do business with any client or customer of the Company or any of its Subsidiaries; (ii) no such Person shall be liable to the Company or any of its Subsidiaries or stockholders for breach of any duty (contractual or
otherwise) by reason of any such activities or of such Person’s participation therein; and (iii) in the event that any such Person acquires knowledge of a potential transaction or matter that may be a corporate opportunity for the Company
or its Subsidiaries on the one hand, and any such Person on the other hand, or any other person, no such Person shall have any duty (contractual or otherwise) to communicate or present such corporate opportunity to the Company or any of its
Subsidiaries or any of its stockholders and, notwithstanding any provision of this Agreement to the contrary, such Persons shall not be liable to the Company or its Subsidiaries or shareholders for breach of any duty (contractual or otherwise) by
reason of the fact that any such Person directly or indirectly pursues or acquires such opportunity for itself, directs such opportunity to another person, or does not present such opportunity to the Company or its Subsidiaries or stockholders.

  

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Notwithstanding any other provision of this Section 8.07 to the contrary, this Section 8.07 is not intended to, and shall not, relieve any Person
who is or becomes a party to the Operating Agreement, as the same may be amended from time to time, or is or becomes an officer or member of the Board of Managers of the Company from the obligations of such Person under the Operating Agreement, as
the same may be amended from time to time. 
 Section 8.08     Certain Construction Rules. The article and section
headings and captions and the table of contents contained in this Agreement are for convenience of reference only and shall in no way define, limit, extend, or describe the scope or intent of any provisions of this Agreement. Whenever the context
may require, any pronoun used in this Agreement shall include the corresponding masculine, feminine or neuter forms, and the singular form of nouns, pronouns, and verbs shall include the plural and vice versa. In addition, as used in this Agreement,
unless otherwise provided to the contrary, (A) all references to days, months or years shall be deemed references to calendar days, months or years, and (B) any reference to a “Section,” “Article,” or
“Schedule” shall be deemed to refer to a section or article of this Agreement or a schedule attached to this Agreement. The words “hereof,” “herein,” “hereunder,” and words of similar import referring to this
Agreement refer to this Agreement as a whole and not to any particular provision of this Agreement. Unless otherwise specifically provided for herein, the term “or” shall not be deemed to be exclusive. The term “including” shall
mean “including without limitation.” A reference to any matter on a Schedule to this Agreement does not constitute a stipulation that such matter is “material” or would have a “Material Adverse Effect.” 
 [Signature page to follow] 
  

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 IN WITNESS WHEREOF, the Parties have executed this Agreement, in the case of the Company and Purchaser,
by their duly authorized officers, as of the date first above stated. 
  

			
	ELDORADO RESORTS LLC
		
	By:	 	/s/ Donald L. Carano
		 	CEO
	
	NGA ACQUISITIONCO, LLC
		
	By:	 	/s/ Thomas R. Reeg
	
	CARANO
	
	/s/ Donald L. Carano
	Donald L. Carano

  

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