Document:

Exhibit 10 1

		
			Exhibit 10.1
		

		
			 
		

		
			FIRST AMENDMENT TO ASSET PURCHASE AGREEMENT
		

		
			 
		

		
			THIS FIRST AMENDMENT TO ASSET PURCHASE AGREEMENT (this “Amendment”) dated as of October 22, 2013 by and among ARI NETWORK SERVICES, INC., a Wisconsin corporation (“Buyer”), RJ LONGACRE, INC. (F/K/A READY 2 RIDE, INCORPORATED), an Indiana corporation (“Company”), JAMIE AMY-LONGACRE (“Jamie”) and RONALD L. LONGACRE, JR. (“Ronnie”). Capitalized terms used this Amendment that are not defined herein shall have the meanings assigned to them in the Purchase Agreement (as defined, below). 
		

		
			 
		

		
			WITNESSETH:
		

		
			WHEREAS, Buyer, Company, Jamie and Ronnie have entered into that certain Asset Purchase Agreement made and effective as of August 17, 2012 (the “Purchase Agreement”) whereby Buyer acquired substantially all of the assets of Company;
		

		
			 
		

		
			WHEREAS, the Purchase Agreement provides, among other things, that the Contingent Earn-Out Purchase Price, if any, will be paid pursuant to Section 3.7 of the Purchase Agreement; and
		

		
			 
		

		
			WHEREAS, the Parties disagree as to the amount and calculation of the First Contingent Earn-Out Payment, and in order to resolve such dispute, as well as any disputes among the Parties that might arise after the date hereof regarding the amount and calculation of the Second Contingent Earn-Out Payment and the Third Contingent Earn-Out Payment, the Parties have agreed, pursuant to Section 10.7 of the Purchase Agreement, to amend the Purchase Agreement according to the terms of this Amendment.
		

		
			 
		

		
			NOW, THEREFORE, in consideration of the foregoing and the mutual covenants and agreements contained herein, and intending to be legally bound hereby, the Parties hereby agree as follows:
		

		
			 
		

		
			1. Section 3.7. Sections 3.7(a)-(h) of the Purchase Agreement is hereby amended and restated as follows: 
		

		
			 
		

		
			“3.7 Contingent Earn-Out Purchase Price. 
		

		
			 
		

		
			(a) Calculation of Contingent Earn-Out Purchase Price. For purposes of this Agreement, the “Contingent Earn-Out Purchase Price” means an amount equal to the sum of (i) the First Contingent Earn-Out Payment, plus (ii) the Second Contingent Earn-Out Payment, plus (iii) the Third Contingent Earn-Out Payment (if any); provided, that the Contingent Earn-Out Purchase Price shall in no event exceed Three Hundred Seventy-Five Dollars ($375,000), plus forty thousand (40,000) shares of Buyer Stock issued to Company. 
		

		
			 
		

		
			(b) Calculation of First Contingent Earn-Out Payment. For purposes of this Agreement, the “First Contingent Earn-Out Payment” means an amount equal to: 
		

		
			 
		

		
			 
		

		

		

		 

 

		(i) One Hundred Twenty Five Thousand Dollars ($125,000), plus ten thousand (10,000) shares of Buyer Stock issued to Company. 
		

		
			 
		

		
			(c) Calculation of Second Contingent Earn-Out Payment. For purposes of this Agreement, the “Second Contingent Earn-Out Payment” means an amount equal to: 
		

		
			 
		

		
			(i) One Hundred Twenty Five Thousand Dollars ($125,000), plus fifteen thousand (15,000) shares of Buyer Stock issued to Company. 
		

		
			 
		

		
			(d) Calculation of Third Contingent Earn-Out Payment. For purposes of this Agreement, the “Third Contingent Earn-Out Payment” means an amount equal to: 
		

		
			 
		

		
			(i) One Hundred Twenty Five Thousand Dollars ($125,000), plus fifteen thousand (15,000) shares of Buyer Stock issued to Company. 
		

		
			 
		

		
			(e) Earn-Out Period; Earn-Out Amount. For purposes of this Agreement, each of the First Earn-Out Period, Second Earn-Out Period and Third Earn-Out Period shall sometimes be referred to as an “Earn-Out Period”, and each of the First Contingent Earn-Out Payment, Second Contingent Earn-Out Payment and Third Contingent Earn-Out Payment shall sometimes be referred to as an “Earn-Out Amount”.  
		

		
			 
		

		
			(f) Payment of Earn-Out Amounts. Within the thirtieth (30th) calendar day after an Earn-Out Period, Buyer will deliver to Company the applicable Earn-Out Amount in accordance with the terms and conditions of this Section 3.7. With respect to the First Earn-Out Period, Buyer will deliver to Company the applicable Earn-Out Amount within 30 days of the date of this amendment. Stock certificates representing shares of Buyer Stock will contain commercially reasonable legends regarding transfer restrictions pursuant to Rule 144 under the Securities Act. 
		

		
			 
		

		
			(g) Acceleration of Earn-Out Amount Payments. If, prior to the third (3rd) anniversary of the Closing Date, Buyer terminates the employment of both Jamie and Ronnie without Cause (as defined below), then, on or before the thirtieth (30th) calendar day after the effective date of such termination of employment, Buyer will deliver to Company payment in full of all unpaid contingent earn-out payments pursuant to this Section 3.7. For purposes of this Section 3.7,  “Cause” shall mean any of the items constituting “Cause” in the Jamie Employment Agreement or the Ronnie Employment Agreement (as amended), as the case may be. 
		

		
			 
		

		
			(h) Subordination of Contingent Hold Back Purchase Price and Earn-Out Amount Payments. The parties acknowledge and agree that the Contingent Hold Back Purchase Price (if any) and Earn-Out Amounts are subordinated and junior in right of payment to the Senior Debt. For purposes hereof, the “Senior Debt” shall mean the principal of, and interest and premium (if any) on, the indebtedness of Buyer, regardless of whether incurred on, before or after the date hereof, for money borrowed from Silicon Valley Bank (“Senior Lender”), and all renewals, extensions, modifications and refinancings of any such indebtedness (but excluding indebtedness of others guaranteed by Buyer and obligations of Buyer under 
		

		 

 

		capital leases). “Senior Debt” shall include the amount of any payments made to any holder of any Senior Debt or another by or on behalf of Buyer which are recovered from any holder of any Senior Debt by a trustee, receiver, creditor or other party pursuant to applicable federal or state law. Company hereby agrees to sign any subordination agreements or file any UCC amendments requested by any holder of Senior Debt, and if Company refuses to sign such agreements or file such amendments upon request by such a holder of Senior Debt, then Buyer shall have the right to terminate Section 3.6 and Section 3.7 of this Agreement and any payment obligations of Buyer under Section 3.6 and Section 3.7 shall be void. Notwithstanding the foregoing, (i) so long as Buyer has not received from Senior Lender a written notice of the occurrence of an Event of Default (as such capitalized term is defined in that certain Loan and Security Agreement dated as of April 26, 2013 by and among Senior Lender, Buyer and Project Viking II Acquisition, Inc. (the “Loan and Security Agreement”)), Buyer may make, and Company may receive, payment of the Contingent Hold Back Purchase Price as and when due pursuant to Section 3.6, above, and payment of the Earn-Out Amounts as and when due pursuant to Section 3.7(f), above, and (ii) in the event that Buyer receives from Senior Lender a written notice of the occurrence of such an Event of Default, Company’s right to receive payment of the Contingent Hold Back Purchase Price and the Earn-Out Amounts pursuant to clause (i), above, shall be reinstated if and when Buyer cures or Senior Lender waives such Event of Default in compliance with the terms and conditions of the Loan and Security Agreement.” 
		

		
			 
		

		
			2. [INTENTIONALLY OMITTED] 
		

		
			 
		

		
			3. [INTENTIONALLY OMITTED] 
		

		
			 
		

		
			4. Sections 3.10(a)-(b). Sections 3.10(a)-(b) are hereby deleted from the Purchase Agreement in their entirety. 
		

		
			 
		

		
			5. Set-Off. For the avoidance of doubt, and consistent with Section 7.7 of the Purchase Agreement, if Company or Shareholders shall fail to pay any amounts that they are obligated to pay to Buyer under the Purchase Agreement, including any amounts that they are obligated to pay pursuant to the indemnification obligations set forth in Article 7 of the Purchase Agreement, then Buyer may, in addition to any other rights and remedies that may be available to it, upon thirty (30) calendar days’ prior written notice to Company, set-off all or any portion of such amounts against any amounts due and owing from Buyer to Company or any Shareholder under this Agreement (including, but not limited to, pursuant to Section 3.6 and Section 3.7, as amended by this Amendment). Any amounts so set-off shall be deemed to have been paid to Company and/or such Shareholder as of the date on which written demand for payment of the amount in question was given to Company. Buyer shall only exercise its rights of set-off pursuant to the Purchase Agreement, as amended by this Amendment, in good faith. 
		

		
			 
		

		
			6. Terms. To the extent that any terms defined in the Purchase Agreement that haven been stricken and/or are no longer relevant to the Purchase Agreement as a result of this Amendment, including, without limitation, “First Revenue Goal”, “Second Revenue Goal”, “Third Revenue Goal”, “Subject Net Revenues”, “Earn-Out Statement”, “Earn-Out Notice of Objection”, “CPA Firm” and 
		

		 

 

		“Earn-Out Date of Final Determination”, such terms are hereby deleted from the Purchase Agreement in their entirety. 
		

		
			 
		

		
			7. Effect of Amendment. Except to the extent that the Purchase Agreement is modified by this Amendment, the remaining terms and conditions of the Purchase Agreement remain unmodified and in full force and effect. In the event of conflict between the terms and conditions of the Purchase Agreement and the terms and conditions of this Amendment, the terms and conditions of this Amendment will prevail. 
		

		
			 
		

		
			8. Entire Agreement. THE PURCHASE AGREEMENT, TOGETHER WITH THIS AMENDMENT, AND THE EXHIBITS AND SCHEDULES ATTACHED THERETO AND HERETO, CONSTITUTES THE SOLE AND ENTIRE AGREEMENT OF THE PARTIES WITH RESPECT TO THE SUBJECT MATTER CONTAINED HEREIN AND THEREIN, AND SUPERSEDES ALL PRIOR AND CONTEMPORANEOUS UNDERSTANDINGS, AGREEMENTS, REPRESENTATIONS AND WARRANTIES, BOTH WRITTEN AND ORAL, WITH RESPECT TO THE SUBJECT MATTER. 
		

		
			 
		

		
			[Signature page follows.]
		

		
			 
		

		

		

		 

 

		IN WITNESS WHEREOF, the Parties have executed this Amendment as of the day, month and year first above written. 
		

		
			 
		

		
			 
		

		
			BUYER: 
		

		
			 
		

		
			ARI NETWORK SERVICES, INC. 
		

		
			 
		

		
			By:  /s/ Darin R. Janecek
		

		
			Darin R. Janecek, 
		

		
			Vice President of Finance and 
		

		
			Chief Financial Officer 
		

		
			 
		

		
			COMPANY: 
		

		
			 
		

		
			RJ LONGACRE, INC. (F/K/A READY 2 RIDE, INCORPORATED) 
		

		
			 
		

		
			By:  /s/ Jamie Amy-Longacre
		

		
			Jamie Amy-Longacre, President 
		

		
			 
		

		
			JAMIE: 
		

		
			 
		

		
			/s/ Jamie Amy-Longacre 
		

		
			Jamie Amy-Longacre 
		

		
			 
		

		
			RONNIE: 
		

		
			 
		

		
			/s/Ronald L. Longacre, Jr. 
		

		
			Ronald L. Longacre, Jr.LEASE AND OPERATING AGREEMENT 

 

BY AND BETWEEN 

 

WINTER PARK RECREATIONAL ASSOCIATION

 

AND

 

INTRAWEST/WINTER PARK OPERATIONS CORPORATION

 

    	 

    	 

    

  

TABLE OF CONTENTS

 

	 	 	 	Page
	RECITALS	 	1
	ARTICLE I - DEFINITIONS	 	2
	ARTICLE II - LEASED ASSETS	 	12
	2.1	Leases and Subleases	 	12
	2.2	Assignments and Licenses	 	13
	2.3	Assignment of Warranties	 	13
	2.4	Winter Park Restaurant Company	 	14
	2.5	Additional Leased Assets	 	14
	2.6	 Ownership of Leased Assets	 	14
	2.7	Option Agreement Parcels	 	16
	ARTICLE III - LIABILITY ASSUMPTIONS	 	16
	3.1	Delivery of Current Assets	 	16
	3.2	Assumption of Liabilities	 	16
	3.3	Employment of Employees	 	17
	3.4	Employee Benefit Plans	 	17
	ARTICLE IV - TERM	 	19
	4.1	Initial Term	 	19
	4.2	Extension of Initial Term	 	19
	ARTICLE V- LEASE PAYMENTS; OTHER PAYMENTS; ALLOCATION OF CERTAIN EXPENSES	 	20
	5.1	Rental and Other Payments	 	20
	5.2	Credit for Certain Required Quarterly Payments	 	21
	5.3	Capital Expenditures	 	22
	5.4	Payment of Reimbursable Transaction Costs	 	23
	5.5	Allocation of Certain Costs and Revenues	 	23
	5.6	Statement of Amounts Due	 	25
	5.7	Guaranty by Intrawest Corporation	 	25
	ARTICLE VI - PERFORMANCE OBLIGATIONS OF TENANT	 	26
	6.1	General Principles	 	26
	6.2	Triple Net Lease	 	28
	6.3	Shared Resources	 	29
	6.4	Compliance with Applicable Law	 	30
	6.5	Tenant Obligation to Pay Certain Taxes	 	30
	6.6	Compliance with Environmental Laws	 	30
	6.7	Inspection and Landlord’s Access	 	31
	6.8	Non-Competition and Gaming	 	32
	6.9	Development of Leased Assets	 	32
	6.10	Names	 	33
	ARTICLE VII - REPORTS AND AUDITS	 	33
	7.1	Quarterly Reports	 	33
	7.2	Annual Reports	 	34
	7.3	Maintenance of Records	 	34
	7.4	Inspections and Audits of Records	 	35
	7.5	Confidentiality	 	36

 

    	 

    	 

    

 

	ARTICLE VIII - DELIVERY; CONDITION AND INDEMNIFICATION	 	36
	8.1	Delivery and Acceptance of the Leased Assets	 	36
	8.2	Indemnification	 	36
	8.3	Quiet Enjoyment	 	37
	ARTICLE IX - INSURANCE	 	38
	9.1	Coverage	 	38
	9.2	General Insurance Provisions	 	40
	9.3	Settlement and Payment of Claims	 	40
	9.4	Failure to Insure	 	41
	9.5	Adjustment of Insurance Coverage	 	41
	9.6	Prohibition on Acts Affecting Insurance Coverage	 	41
	9.7	Insurance Under Separate Contracts	 	41
	ARTICLE X - INDEBTEDNESS	 	42
	10.1	Agreed-Upon Indebtedness	 	42
	10.2	Use of Agreed-Upon Indebtedness	 	42
	10.3	Security for Agreed-Upon Indebtedness	 	42
	10.4	Repayment of Agreed-Upon Indebtedness	 	43
	10.5	No Limitation on Tenant Right to Borrow	 	43
	10.6	Rights of the Agreed-Upon Indebtedness Lender	 	44
	10.7	Affiliate Lenders	 	48
	10.8	Permitted Equipment Financing	 	49
	ARTICLE XI - NATIONAL FOREST SYSTEM LANDS OPERATING AGREEMENT	 	50
	11.1	Maintenance of Forest Service Permits	 	50
	11.2	Obligations with Respect to Forest Service Permits	 	50
	11.3	Term	 	51
	11.4	Additional Obligations of Tenant to the United States	 	51
	11.5	Forest Service Master Plan	 	51
	ARTICLE XII - CONDITIONS TO EFFECTIVENESS	 	52
	12.1	Conditions	 	52
	ARTICLE XIII - REPRESENTATIONS AND WARRANTIES	 	54
	13.1	Representations and Warranties of Tenant	 	54
	13.2	Representations and Warranties of Landlord	 	55
	ARTICLE XIV - DAMAGE, DESTRUCTION OR DEPRIVATION OF USE; EMINENT DOMAIN	 	58
	14.1	Damage or Destruction of the Leased Assets	 	58
	14.2	Eminent Domain	 	59
	14.3	Right to Terminate Due to Inadequate Snowfall	 	59
	14.4	Effect of Termination	 	59
	14.5	No Abatement if Lease Is Not Terminated	 	59
	ARTICLE XV - DEFAULT AND REMEDIES	 	60
	15.1	Default by Tenant	 	60
	15.2	Remedies of Landlord	 	62
	15.3	Default by Landlord	 	64
	15.4	Remedies of Tenant	 	65
	15.5	No Implied Surrender or Waiver	 	66
	15.6	No Default Resulting from Certain Failures	 	66
	15.7	Non-Binding Mediation	 	66
	ARTICLE XVI - ASSIGNMENT, SUBLETTING AND OTHER TRANSFERS	 	67
	16.1	Consent Required	 	67
	16.2	When Consent Is Not Required	 	67
	16.3	Tenant to Furnish Information	 	68

 

    	 

    	 

    

 

	16.4	No Consideration	 	69
	16.5	Landlord’s Rights	 	69
	16.6	Tenant Pays All Costs	 	69
	16.7	Continuing Tenant Liability	 	69
	ARTICLE XVII - TERMINATION EVENTS	 	70
	17.1	Termination Events	 	70
	17.2	Option	 	71
	ARTICLE XVIII - MISCELLANEOUS	 	73
	18.1	Landlord - Tenant Relationship	 	73
	18.2	Release	 	73
	18.3	Dollar Value	 	74
	18.4	Captions	 	74
	18.5	Partial Invalidity	 	74
	18.6	Attorneys’ Fees	 	74
	18.7	Waiver of Breach	 	74
	18.8	Currency	 	74
	18.9	Written Agreement	 	74
	18.10	Further Assurances	 	75
	18.11	Notices	 	75
	18.12	Governing Law	 	76
	18.13	Counterpart Signatures	 	76
	18.14	City as Beneficiary	 	76
	18.15	Time of the Essence	 	76
	18.l6	Venue	 	76

 

    	 

    	 

    

  

SCHEDULE OF EXHIBITS:

 

	Exhibit A	Additional Considerate on Agreement	 	 Section 5.1(c)
	Exhibit B	Current Capital Maintenance Items	 	ARTICLE I
	Exhibit C	Employee Benefit Plans -  Pension	 	ARTICLE I
	Exhibit D	Employee Benefit Plans - Welfare	 	ARTICLE I
	Exhibit E	Employee Benefit Plans - Additional Plans or Policies	 	ARTICLE I
	Exhibit F	Forest Service Permits	 	ARTICLE I
	Exhibit G	Water Rights	 	ARTICLE I
	Exhibit H	Guaranty Agreement	 	ARTICLE I
	Exhibit I	Owned Real Property	 	ARTICLE I
	Exhibit J	Tangible Personal Property	 	ARTICLE I
	Exhibit K	Transition Costs	 	ARTICLE I
	Exhibit L	Assignment and Assumption Agreement (Intangible Personal Property)	 	Section 2.2
	Exhibit M	License Agreement (Intellectual Property)	 	Section 2.2
	Exhibit N	SERP Liabilities	 	Section 3.4(d)
	Exhibit O	Deferred Compensation Arrangements	 	Section 3.4(f)
	Exhibit P	Terms for Program - Lifetime Ski Pass Holders	 	Section 6.1(m)
	Exhibit Q	Ski Run Names to be Retained	 	Section 6,10(b)
	Exhibit R	Long-Term Liabilities	 	Section 10.2
	Exhibit S	Real Property Landlord Leases from Third Parties	 	Section 13.2(e)(i)
	Exhibit T	Real Property Landlord Leases to Third Parties	 	Section 13,2(e)(ii)
	Exhibit U	Leased Tangible Personal Property	 	Section 13.2(f)
	Exhibit V	Intangible Personal Property - Intellectual Property	 	Section 13.2(g)
	Exhibit W	Intangible Personal Property - Material Permits and Licenses	 	Section 13.2(h)
	Exhibit X	Intangible Personal Property - Material Agreements	 	Section 13,2(i)
	Exhibit Y	Current Assets and Current Liabilities	 	Section 13,2(1)

 

    	 

    	 

    

  

LEASE AND OPERATING AGREEMENT

 

THIS LEASE AND OPERATING
AGREEMENT (this “Agreement” or “Lease”), dated as of December 23, 2002, by and between WINTER
PARK RECREATIONAL ASSOCIATION, a Colorado non-profit corporation (“Landlord”), as agent for the City and
County of Denver, a Colorado municipal corporation (the “City”), pursuant to the Agency Agreement (as hereinafter
defined), and INTRAWEST/WINTER PARK OPERATIONS CORPORATION, a Delaware corporation (“Tenant”). Landlord
and Tenant are referred to collectively herein as the “Parties.”

 

RECITALS:

 

WHEREAS, the Landlord owns, leases
and licenses certain real and personal property located in Grand County, Colorado used in the operation of the mountain resorts
known, as of the date hereof, as Winter Park, Mary Jane and Vasquez (collectively, the “Winter Park Resort”); and

 

WHEREAS, pursuant to that certain
Agreement Between Winter Park Recreational Association and the City and County of Denver, State of Colorado, dated November 22,
1950, the City, as beneficial and residual owner of the Winter Park Resort, appointed Landlord as its agent for purposes of, inter
alia, controlling, developing, managing and operating the Winter Park Resort; and

 

WHEREAS, Landlord has determined
that it is the best interest of Landlord, the City and the Winter Park Resort to allow Tenant to control, develop, manage and operate
the Winter Park Resort, and in connection therewith, to cause Landlord to lease, sublease and transfer certain assets to Tenant
pursuant to the terms of this Agreement and to grant an option to purchase certain developable land to an affiliate of Tenant in
a related transaction; and

 

WHEREAS, Landlord and the City
have expressed their concurrence in this determination by entering into that certain Supplemental Agreement No. VII to
Agreement Between Winter Park Recreational Association and the City and County of Denver dated as of October 4, 2002 (as
amended and restated, the “Agency Agreement”); and

 

WHEREAS, Tenant is committed to
outreach to all qualified people and firms and Landlord and Tenant intend that Tenant will use its resources and the controlling
interest in Winter Park Resort granted to Tenant in this Lease, to endeavor, in a manner consistent with sound business practices,
to improve Winter Park Resort as a mountain resort; and

 

WHEREAS, it is Landlord’s
and Tenant’s desire that Winter Park Resort be economically viable on a stand-alone basis upon expiration of this Lease.

 

    	 

    	 

    

  

NOW, THEREFORE, in consideration
of the premises and the mutual promises herein made, the Parties agree as follows.

 

AGREEMENT:

 

ARTICLE I

 

DEFINITIONS

 

The following terms, when used in this
Agreement, shall have the following meanings:

 

“Accountants”
shall mean the nationally-recognized and respected firm of independent certified public accountants selected
by Tenant and employed by Intrawest Corporation from time to time as its primary accounting firm.

 

“Additional Consideration
Agreement” means the agreement, in the form attached to this Agreement as Exhibit A, to be
executed by Intrawest Holdings and Landlord.

 

“Additional Leased Assets”
shall mean real property, tangible personal property, intellectual property, and intangible personal property to be
used in Resort Operations hereafter acquired, constructed or modified by Tenant, except as otherwise specifically provided in this
Agreement. Without limiting the foregoing, Additional Leased Assets shall include any and all improvements constructed on the Real
Property or the National Forest System Lands, and all real property acquired by Tenant or any affiliate of Tenant within the boundaries
of the National Forest System Lands to the extent such real property is used in connection with Resort Operations.

 

“Affiliate Lender”
shall mean Tenant or any affiliate of Tenant that extends credit from time to time that constitutes Agreed-Upon Indebtedness.

 

“Agency Agreement”
shall have the meaning set forth in the fourth Recital of this Agreement.

 

“Agreed-Upon Indebtedness”
shall mean, as of any measurement date, the outstanding principal amount of debt of Landlord existing as of the Effective
Date plus the amount of additional debt to be incurred as additional Agreed-Upon Indebtedness for the limited purposes specified
in this Agreement with respect to the Winter Park Resort. The maximum principal amount of Agreed-Upon Indebtedness shall not, at
any time during the Term, exceed $33,000,000 less the amount of any principal payments required to be made by Landlord pursuant
to Section 10.4 or otherwise voluntarily made by Landlord in repayment of the Agreed-Upon Indebtedness. Such maximum aggregate
amount shall not be reduced to the extent Tenant or Landlord make repayments of principal for the purpose of refinancing any then-existing
Agreed-Upon Indebtedness or Tenant otherwise makes any other payments of principal that are required to be made pursuant to the
terms of the Agreed-Upon Indebtedness Documents from time to time.

 

“Agreed-Upon Indebtedness Documents”
shall mean all notes, liens, security agreements, collateral assignments and other agreements, certificates, documents
or instruments executed by Landlord in favor of any Agreed-Upon Indebtedness Lender to create, evidence, secure or otherwise document
any Agreed-Upon Indebtedness.

 

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“Agreed-Upon Indebtedness Lender”
shall mean the lender or lenders from time to time extending the credit constituting the Agreed-Upon Indebtedness, and
may include an Affiliate Lender.

 

“Agreement”
or “Lease” shall mean this Lease and Operating Agreement.

 

“Applicable Law”
means any law, rule, regulation, order, decree or other requirement having the force of law and, where applicable, any
interpretation thereof by any authority having jurisdiction with respect thereto or charged with the administration thereof.

 

“Business Acquisition Properly”
shall mean and include any or all of Tenant’s or its affiliate’s rights, title and interest in and to any
business located and operating on, any real property located on, and any personal property used in connection with, any Purchased
Developable Land, but only to the extent that Tenant or its affiliate owns or holds any such right, title or interest during the
Business Acquisition Term.

 

“Business Acquisition Properly
Investment” means the capital invested in a particular item of Business Acquisition Property by Tenant
and its affiliates periodically over the Business Acquisition Property Life.

 

“Business Acquisition Properly
Life” shall mean the period from date of the acquisition, organization or creation of an item of Business
Acquisition Property through the Closing Date for such Business Acquisition Property.

 

“Business Acquisition Property
Return” means the EBITDA accruing to the Tenant or its affiliate from the Business Acquisition Property
periodically over the Business Acquisition Property Life.

 

“Business Acquisition Term”
means (a) if this Agreement remains in effect through the normal expiration of the Term, the last five (5) years of
the Term (as the Term may be extended), or (b) if this Agreement terminates earlier than normal expiration of the Term, one (1)
year after the date of such termination.

 

“Cash Flow for Annual Payment”
shall mean, with respect to the financial results of Tenant during any Fiscal Year, EBITDA, with the following
adjustments: (a) Tenant’s share of general and administrative expenses of Intrawest Corporation shall not be taken into
account (but the allocations of shared costs specified in Section 5.5 shall be taken into account); (b) fines and penalties imposed
by a governmental entity shall not be taken into account; (c) attorneys’ fees and related costs incurred in connection with
any claim made or suit brought by Tenant against Landlord or the City shall not be taken into account unless Tenant is the prevailing
party, in which case such fees and costs shall be taken into account by reducing Cash Flow for Annual Payment; (d) the Required
Interest Payments for such Fiscal Year shall be taken into account by reducing Cash Flow for Annual Payment; (e) the Required
Annual Capital Maintenance Amount for such Fiscal Year shall be taken into account by reducing Cash Flow for Annual Payment; (f)
any expenditure, whether ordinary (i.e., non-capital) or capital, associated with any liability whatsoever, which (i) arises
out of, or in any way relates to, ownership, operation, management or maintenance of Winter Park Resort, (ii) arose prior to the
Effective Date, and (iii) was not reflected and set forth specifically on the schedules attached to this Agreement as Exhibits
R or Y as a Long-Term or Current Liability, shall be taken into account by reducing Cash Flow for Annual Payment either
by taking such expense into account in calculating EBITDA or otherwise by making an adjustment after the calculation of EBITDA.

 

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“City” shall
mean THE CITY AND COUNTY OF DENVER, a Colorado municipal corporation.

 

“Clinton Ditch”
means The Clinton Ditch & Reservoir Company, a Colorado non-profit ditch and reservoir company.

 

“Closing”
shall have the meaning set forth in Section 17.2(b) of this Agreement.

 

“Closing Date”
shall have the meaning set forth in Section 17.2(b) of this Agreement.

 

“Competitive Rentals”
shall mean the rental of sports equipment by Tenant and its affiliates (a) within Clear Creek County five (5) miles
on each side of US Highway 40 from Interstate 70 to the Grand County line, excluding the rental operations of Breeze Ski Rental/MAX
Snowboards located along Interstate 70 at 999 County Road, Dumont, Colorado, or (b) within Grand County, if such sports equipment
is usable at the Winter Park Resort, provided, however, that not included are such rentals obviously intended for use at another
resort property or facility (such as the rental of golf clubs at a golf course) or otherwise to the extent Tenant is able clearly
to establish that such rentals will be used at someplace other than Winter Park Resort (such as the rental of mountain bikes or
backcountry ski equipment for a tour conducted someplace other than at Winter Park Resort).

 

“Current Assets”
shall mean any and all assets of Landlord that would be treated as current assets under GAAP.

 

“Current Capital Maintenance
Items” shall mean those items of scheduled capital maintenance described on Exhibit B attached
hereto.

 

“Current Liabilities”
shall mean any and all liabilities of Landlord that would be treated as current liabilities under GAAP.

 

“Designated Non-Tenant Operator”
shall mean any Non-Tenant Operator designated in good faith by Tenant as one for whom it is not economically feasible
to pay rental rates based on an amount equal to three percent (3%) of such Designated Non-Tenant Operator’s contribution
to Gross Revenues, but including only Non-Tenant Operators which satisfy the following conditions during the Fiscal Year
immediately preceding the Fiscal Year of such designation: (a) the portion of Gross Revenues attributable to any such Non-Tenant Operator’s Resort Operations shall not have accounted for more than one percent (I %) of all Gross Revenues, and
(b) the portion of Gross Revenues attributable to all such Non-Tenant Operators so designated shall not, in the aggregate,
have accounted for more than five percent (5%) of all Gross Revenue. With respect to the first Fiscal Year during which any Designated
Non-Tenant Operator begins its Resort Operations, the portion of Gross Revenues attributable to such Designated Non-Tenant Operator shall be calculated based on Tenant’s reasonable projections.

 

    	4

    	 

    

  

“EBITDA” shall
mean Tenant’s earnings from Gross Revenues, as determined under GAAP, before interest, taxes, depreciation and amortization,
derived solely from Resort Operations or from activities conducted on the Real Property or the National Forest System Lands.

 

“Effective Date”
means the first date on which all Parties have executed this Agreement and all conditions set forth in Section 12.1
of this Agreement have been satisfied or waived by the Party benefiting from such condition.

 

“Employee Benefit Plans”
means the following plans which currently exist or for which continuing liabilities exist:

 

(a)All “employee pension
benefit plans,” as defined in section 3(2) of ERISA, including retirement, pension and profit-sharing plans, which have been
maintained or contributed to by Landlord or its affiliates during any of the last five (5) years, a list of which is attached hereto
as Exhibit C;

 

(b)All “employee
welfare benefit plans,” as defined in section 3(1) of ERISA, which have been maintained or contributed to by Landlord or
its affiliates, including group insurance (including retiree life and medical insurance) and other employee benefit plans or arrangements
and related trust agreements, a list of which is attached hereto as Exhibit D.

 

(c)All additional
employee plans or policies which may or may not be ERISA plans, which have been maintained or contributed to by Landlord or
its affiliates, including bonus incentive, deferred compensation, stock purchase, stock option, and stock bonus plans, and
other employee benefit plans or arrangements and related trust agreements and individual option agreements, a list of which
is attached hereto as Exhibit E.

 

“Encumbrance”
means any item which encumbers or burdens the Leased Assets, including any security interest, restriction, covenant,
reservation, right, easement, lease, other title or interest retention arrangement, and any other encumbrance of any nature whatsoever.

 

“Environmental, Health
and Safety Requirements” shall mean all federal, state, local and foreign statutes, regulations,
ordinances and other provisions having the force or effect of law, all judicial and administrative orders and determinations,
all contractual obligations and all common law concerning public health and safety, worker health and safety, and pollution
or protection of the environment, including without limitation all those relating to the presence, use, production,
generation, handling, transportation, treatment, storage, disposal, distribution, labeling, testing, processing, discharge,
release, threatened release, control, or cleanup of any hazardous materials, substances or wastes, chemical substances or
mixtures, pesticides, pollutants, contaminants, toxic chemicals, petroleum products or byproducts, asbestos, polychlorinated
biphenyls, noise or radiation, each as amended and as now or hereafter in effect.

 

    	5

    	 

    

  

“ERISA”
means the Employee Retirement Income Security Act of 1974, as amended, together with all administrative regulations, rules and
rulings issued thereunder.

 

“Exercise
Notice” shall have the meaning set forth in Section 17.2(b) of this Agreement.

 

“First
Loan Documents” shall mean the Agreed-Upon Indebtedness Documents to be executed and delivered by
Landlord in favor of the initial Agreed-Upon Indebtedness Lender.

 

“Fiscal
Year” shall mean any period during the Term commencing on July 1 and ending on the next ensuing June
30, except for the first Fiscal Year, which shall mean the period commencing on the Effective Date and ending on the next ensuing
June 30.

 

“Forest
Service Master Plan” shall mean the master plan of development and operations required by the terms of the
Forest Service Permits as approved by the U.S. Department of Agriculture, Forest Service.

 

“Forest
Service Permits” shall mean the permits issued from time to time by the U.S. Department of Agriculture, Forest
Service with respect to the right to operate certain of the Leased Assets on those parcels of real property located in Grand County,
Colorado, a copy of those permits existing as of the date of this Agreement being attached hereto as Exhibit
F.

 

“GAAP”
means those generally accepted accounting principles set forth in Statements of the Financial Accounting Standards
Board and in Opinions of the Accounting Principles Board of the American Institute of Certified Public Accountants or which have
other substantial authoritative support in the United States and are applicable in the circumstances, as applied on a consistent
basis.

 

“Governmental
Authority” shall mean any nation or government, any state or political subdivision thereof, any municipal
corporation, and any agency, department or other entity exercising executive, legislative, judicial, regulatory or administrative
functions of or pertaining to government, excluding the City or Landlord as agent for the City.

 

“Gross
Revenue” shall mean the aggregate of all fees, receipts, revenue and income of every kind and nature derived
directly or indirectly from all sources arising from Resort Operations or from activities conducted on the Real Property or the
National Forest System Lands, before deducting any cost or expense, as determined in accordance with GAAP, except as expressly
provided below. Gross Revenue shall include, without limitation, to the extent related to Resort Operations or from activities
conducted on the Real Property or the National Forest System Lands, proceeds of business interruption and business loss insurance
actually paid to

 

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Tenant, deposits not refunded or otherwise retained by Tenant,
and amounts recovered in legal proceedings or settlements thereof. Gross Revenue shall also include fees and charges for central
reservations booking services (without regard to where central reservations are conducted and whether it is central reservations
for activities or housing, but only to the extent relating to activities or accommodations in Grand County, Colorado, excluding
activities or accommodations conducted or owned by Tenant or an affiliate of Tenant that are located outside the Winter Park Resort
and outside the Purchased Developable Land), all sales of Lift tickets for use at the Winter Park Resort, and Competitive Rentals.
Gross Revenue shall not include (a) any fees or revenues (including, without limitation, real estate sales deposits) derived from
the development or operation by Intrawest Development Corp. or a third party of buildings or portions of buildings or improvements
developed on Purchased Developable Land; (b) applicable excise, sales, and use taxes, or any other governmental taxes or charges
collected from third parties; (c) proceeds from financing or refinancing; (d) insurance proceeds received from any insurance policies
pertaining to and invested in the repair or replacement of physical loss or damage to the Real Property or the Tangible Personal
Property and Improvements; (e) any rents or revenues derived from the providing of housing for employees; or (f) income from property
management or rental management businesses conducted on property other than the Real Property and National Forest System Lands.
Any contrary or inconsistent provision of this Lease notwithstanding, if any Resort Operations are conducted by Designated Non-Tenant
Operators, the portion of Gross Revenues attributable to any such Resort Operations and each such Designated Non-Tenant Operator
shall include only the actual amounts paid by such Designated Non-Tenant Operator to Tenant.

 

“Improvements”
shall mean any and all improvements to real property now or hereafter (a) owned or leased by Landlord, whether or not such improvements
are located on land owned or leased by Landlord and (b) used in Resort Operations.

 

“Initial
Term” shall mean the period from the Effective Date through June 30, 2052 or any earlier date
upon which this Agreement may terminate as provided by this Agreement.

 

“Intangible
Personal Property” shall mean all intangible personal property as defined under Colorado law now or hereafter
owned by the Landlord and used or useful in connection with the ownership, operation or maintenance of Resort Operations, excluding
Intellectual Property and excluding real property options to purchase, rights of first refusal, rights of first offer, or other
acquisition rights for real property personal to the Landlord. The term Intangible Personal Property shall not include the Agency
Agreement and any other contract now or hereafter existing for the operation of Landlord as contrasted to operation of the Winter
Park Resort..

 

“Intellectual
Property” shall mean all of the trademarks, service marks, trade names, patents, licenses, permits and copyrights
now or hereafter owned or licensed by Landlord.

 

“Interest
Rate” shall mean one thousand (1,000) basis points in excess of LIBOR (rounded upward, if necessary, to
the nearest one-sixteenth of one percent (1/16 of 1%)). “LIBOR” means the rate of interest per annum for deposits
in U.S. dollars for a period of thirty (30) days which appears on Telerate Page 3750 as of 11:00 a.m., London time, on the
date that is two (2) business days prior to the date of calculation. If for any reason no applicable rate(s) are available on
Telerate Page 3750 for a particular date, LIBOR will be determined in accordance with the definition of
“USD-LIBOR-Reference Banks” contained in the 1991 I SDA Definitions published by the International Swaps and
Derivatives Association, Inc., or any successor or update to such publication.

 

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“Intrawest
Corporation” shall mean Intrawest Corporation, a corporation continued pursuant to the Canadian Business Corporations
Act, which is the ultimate parent entity of Intrawest Holdings.

 

“Intrawest
Development Corp.” shall mean Intrawest/Winter Park Development Corporation, a Delaware corporation and an
affiliate of Tenant.

 

“Intrawest
Holdings” shall mean Intrawest/Winter Park Holdings Corporation, a Delaware corporation, which is the direct
parent entity of both Tenant and Intrawest Development Corp.

 

“Investment
Return Deficiency” means the difference, compounded over the Business Acquisition Property Life by the Return
on Equity, between the present values, as of the beginning of the Business Acquisition Property Life, discounted at the Return
on Equity, of (a) the Business Acquisition Property Investment and (b) the Business Acquisition Property Return, for each Fiscal
Year of the Business Acquisition Property Life. For greater certainty, the present value shall be computed assuming the Business
Acquisition Property Return occurs at the end of each Fiscal Year.

 

“Landlord’
shall mean WINTER PARK RECREATIONAL ASSOCIATION, a Colorado non-profit corporation, and its successors and assigns.

 

“Leased
Assets” shall mean all of the Real Property, Improvements, Tangible Personal Property, Intangible Personal
Property and Intellectual Property now or hereafter owned, leased, or licensed by Landlord and used or useful in the operation
of the Winter Park Resort, excluding only cash paid or owing by Tenant to Landlord, proceeds from condemnation or conveyance of
title in lieu of condemnation (subject to Sections 14.2 and 14,5 of this Agreement) and the Mineral Rights.

 

“Leasehold
Tide Policy” shall mean the ALTA Extended Coverage Leasehold Policy (with standard printed exceptions in such
form deleted and with such endorsements as Tenant may reasonably request) insuring Tenant’s leasehold interest in the Real
Property pursuant to the terms of tins Agreement.

 

“Lift”
shall mean a device which alone or in combination with other devices is primarily designed to move participants in on-mountain
sporting activities from one elevation to another, and may include without limitations tows, chairlifts, gondolas and cable or
cog railways.

 

“Material
Adverse Effect” shall mean (a) a material adverse effect on the business, condition (financial or otherwise),
prospects, operations, performance or properties of a Party at the Winter Park Resort, or (b) a material impairment of the ability
of a Party to perform its obligations under or to remain in compliance with this Agreement.

 

    	8

    	 

    

  

“Mineral
Rights” means the following if owned by Landlord: all oil and oil rights; gas and gas rights; coal and other
solid fuel minerals; metallic minerals and ores thereof, of whatever grade; and all other minerals and mineral rights on, under
or appurtenant to the Real Property.

 

“Mountain
Base Area Cafeteria” shall mean a facility (a) the principal function of which is the efficient and convenient
provision of food and beverages to guests of Winter Park Resort who are participating in on-mountain sports activities as an integral
part of the Resort Operations and (b) which serves a variety of packaged, prepared and/or convenient food and beverages under circumstances
where the guests serve themselves or are served at a counter and, in either case, take their food and beverages to a common seating
area located within, or immediately outside, the same facility. For example, the principal food and beverage facility operated
in the building commonly known as West Portal Station during the 2001-2002 ski season would constitute a Mountain Base Area Cafeteria.

 

“National
Forest System Lands” means those parcels of real property owned by the United States and operated or used
pursuant to the Forest Service Permits. Real property within the boundaries of the Forest Service Permits acquired by Tenant from
the United States as permitted by this Agreement shall upon such acquisition cease to be included with the term National Forest
System Lands.

 

“Non-Tenant
Operator” shall mean any Person conducting Resort Operations other than Tenant.

 

“Option
Agreement” shall mean that certain option agreement of even date herewith whereby Landlord and Intrawest Development
Corp. have agreed that Intrawest Development Corp. shall have the option to purchase certain parcels of the Real Property upon
the terms and conditions contained therein.

 

“PPI
Escalation” means a fraction, the numerator of which is the PPI Index published most recently as of
the date when any escalation is being calculated and the denominator of which is the PPI Index published most recently as of the
Effective Date.

 

“PPI
Index” means the Producers Price Index for Finished Goods as published by the U.S. Department of Labor
Bureau of Labor Statistics.

 

“Parent
Guaranty” means that certain guaranty in the form of Exhibit
H attached hereto, pursuant to which Intrawest Corporation has guaranteed certain of the obligations of Tenant under
this Agreement, of Intrawest Holdings under the Additional Consideration Agreement, and of Intrawest Development Corp. under the
Option Agreement.

 

“Parties”
shall mean Landlord and Tenant.

 

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“Permitted
Equipment Financing” shall mean with respect to certain specific items of Tangible Personal Property, financing
(including leases that would be characterized as capital leases but not those that would be characterized as operating leases)
to be incurred by Tenant that may not exceed in the aggregate a maximum amount of $1,000,000 multiplied by the PPI Escalation
at any given time, as more particularly described in Section 10.8 of this Agreement.

 

‘ “Person”
shall mean any natural person, Governmental Authority, corporation, partnership, limited liability company, joint venture, association,
trust or other entity of any kind.

 

“Purchased
Developable Land” shall mean those parcels of Real Property, if any, that are acquired by Intrawest Development
Corp., or its affiliate or a successor permitted by the terms of the Option Agreement, from time to time pursuant to the Option
Agreement, excluding real property repurchased by Landlord or (b) real property conveyed to Landlord and leased back to Tenant
for the conduct of Resort Operations.

 

“Real
Property” means all real property as defined under Colorado law that is owned or leased by
Landlord from time to time, including without limitation that certain property described on Exhibits
I and S attached hereto, and includes all Improvements, easements, licenses, rights-of-way and other privileges, appurtenances,
hereditaments and rights (including, without limitation, any and all development or zoning rights) belonging and inuring to the
benefit of such real property or otherwise providing rights of use to the Landlord, but shall not include (unless expressly provided
to the contrary): (a) Mineral Rights or Water Rights, (b) Purchased Developable Land, (c) the National Forest System Lands, or
(d) options to purchase, rights of first refusal, rights of first offer, or other acquisition rights personal to the Landlord.

 

“Reimbursable
Transaction Costs” shall mean (a) One Hundred Fifty Thousand Dollars ($150,000) for
Landlord’s future operating expenses, and (b) One Million One Hundred Thousand Dollars ($1,100,000) for the actual
legal fees and financial consultant fees accrued or paid by the City or the Landlord (limited, in the case of the Landlord,
to fees accrued or paid from and after July 6, 2002) in connection with the requests for qualification and proposal leading
to, and the negotiation and delivery of, this Agreement, the Option Agreement, and the other instruments and agreements
relating thereto and in connection with the consummation thereof.

 

“Rental
Payments” shall mean all cash obligations from Tenant to Landlord pursuant to this Agreement.

 

“Required
Annual Capital Maintenance Amount” shall mean an amount equal to six percent (6%) of Gross Revenue during
any Fiscal Year.

 

“Required
Interest Payments” shall mean the interest payments required to be paid on the Agreed-Upon
Indebtedness during any Fiscal Year pursuant to the terms and conditions of the Agreed-Upon Indebtedness Documents.

 

“Required
Quarterly Payment” shall mean a regular installment in the amount of $500,000 due and payable in advance
each July 1, October 1, January 1 and April 1, commencing on October 1, 2002. Such amounts are to be paid by Intrawest
Holdings pursuant to the Additional Consideration Agreement for the period beginning October 1, 2002, and ending September
30, 2012, and thereafter such amounts are to be paid by Tenant as Rental Payments through the remainder of the Term.

 

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“Resort
Operations” shall mean (a) all activities and operations of Tenant or any lessee, sublessee, licensee, franchisee
or other user of every kind and nature for, relating to or in the support of the on-mountain activities of snowsliding, mountain
biking and mountain hiking or other on-mountain recreational activities conducted or required by this Agreement to be conducted
on any or all of the Real Property and the National Forest System Lands; (b) sales of Lift tickets; (c) Competitive Rentals; and
(d) central reservations (without regard to where central reservations are conducted and whether it is central reservations for
activities or housing, but only to the extent relating to activities or accommodations in Grand County, Colorado excluding any
activities or accommodations that are conducted or owned by Tenant or an affiliate of Tenant that are located outside the Winter
Park Resort and outside the Purchased Developable Land).

 

“Return
on Equity” shall mean the geometric average rate of return (expressed as a percentage) earned by Intrawest
Corporation (or its permitted successor and assign) on its collective corporate equity over the Business Acquisition Property Life.

 

“Revenue-Based
Annual Payment” shall mean a Rental Payment, the amount of which is determined as a percentage of Gross Revenue
as more particularly described in Section 5.1(d).

 

“Tangible
Personal Property” shall mean all motor vehicles, machines, machinery, Lifts, tows, snow grooming equipment,
snow making equipment, component parts thereof, furniture, fixtures, other equipment, inventory, and other items of tangible personal
property under Colorado law now or hereafter owned by the Landlord and used or useful in connection with the ownership, operation
or maintenance of Resort Operations, including, without limitation, the tangible personal property described on Exhibit
J attached hereto.

 

“Taxes”
shall mean all taxes, fees and assessments due, imposed, assessed or levied against any Leased Assets (or the purchase,
ownership, delivery, leasing, possession, use or operation thereof) by any federal, state or local government or taxing
authority, including, without limitation, all license and registration fees, and all sales, use, personal property, real
property, possessory interest, excise, gross receipts, value added, franchise, stamp or other taxes, imposts, duties  and
charges, together with any penalties, fines or interest thereon in any way relating thereto. Notwithstanding the foregoing,
Taxes shall not mean any obligations imposed by the United States of America or any state thereof or political subdivision
thereof which are on, or measured by, the income of Landlord.

 

“Tenant”
shall mean INTRAWEST/WINTER PARK OPERATIONS CORPORATION, a Delaware corporation, and its permitted successors and
assigns,

 

“Term”
shall mean the Initial Term, as extended and as it may be terminated early, pursuant to the provisions of this Agreement.

 

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“Third
Party Lender” means an Agreed-Upon Indebtedness Lender other than an Affiliate Lender.

 

“Title
Company” shall mean Grand County Title and Escrow Company, Inc.

 

“Transition
Costs” shall mean certain costs and expenses that have been or are anticipated to be incurred by Tenant in
connection with the initial transition of the control and operation of the Winter Park Resort from Landlord to Tenant, including,
without limitation, those costs identified on Exhibit
K attached hereto.

 

“Water
Rights” means,
to the extent the same are owned or leased by Landlord or are held by it under an exchange agreement: all water and water rights,
water contracts and agreements, ditches and ditch rights, water and ditch company stock (including Clinton Ditch rights), wells
and well permits, springs, rights in canals and laterals, aqueducts, reservoirs, appropriations and franchises upon, leading to,
connected with or had and enjoyed in connection with the Real Property or the National Forest System Lands, and including all
rights in the Diamond Bar Tee No. 2 Ditch. The Water Rights include without limitation those rights described on Exhibit
G attached as a part hereof.

 

“Winter
Park Resort” means the recreational resort and its related activities carried on within the Real Property
and the National Forest System Lands known, as of the date hereof, as Winter Park, Mary Jane and Vasquez.

 

ARTICLE II

 

LEASED
ASSETS

 

2.1
Leases and Subleases. Subject to the terms and conditions set forth in this Agreement, commencing on the Effective
Date, Landlord hereby leases or subleases to Tenant, as applicable, and Tenant hereby leases or subleases from Landlord, as applicable,
the following Leased Assets:

 

(a)The Real Property;

 

(b)The Water Rights; and

 

(c)The Tangible Personal Property.

 

The Mineral Rights are specifically excluded from the Leased
Assets, provided, however, that Landlord shall not exploit the same without obtaining the prior written consent of Tenant, and
Tenant’s consent shall not be unreasonably withheld taking into account the facts and circumstances, including without limitation
present or future potential interference with Resort Operations and development of Purchased Developable Land and the aesthetic
effect of such exploitation. Tenant shall have the right to excavate, remove, use, dispose of or sell any sand and gravel within
the Real Property as Tenant deems appropriate for development of the Real Property or the Purchased Developable Land, and Landlord
shall, if requested to do so by Tenant, execute any documentation or agreements reasonably required by Tenant evidencing such rights.
The amendment, modification or termination of any or all licenses and permits relating to Water Rights shall require the prior
consent or approval of Landlord (which Landlord shall not unreasonably withhold) unless such action has obtained the prior consent
or approval of the Board of Water Commissioners for the City.

 

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2.2
Assignments and Licenses. Concurrently herewith, Landlord is delivering to Tenant an assignment and assumption agreement
in the form attached hereto as Exhibit
L, pursuant to which Landlord is assigning to Tenant all Intangible Personal Property concurrent with the Term of this Agreement.
Throughout the Term, Tenant shall have the right to amend, modify and terminate Intangible Personal Property rights in connection
with Resort Operations without the consent or approval of Landlord, provided, however, that the consent and approval of Landlord
(which Landlord may grant or withhold in its sole discretion) shall be required for any amendment, modification or termination
that may have a material adverse effect on the interest of Landlord upon termination of this Lease, whether upon its normal expiration
date or any earlier termination date that may occur with or without default. Also concurrently herewith, Landlord is delivering
to Tenant a licensing agreement in the form attached hereto as Exhibit
M, pursuant to which Landlord is licensing the Intellectual Property to Tenant concurrent with the Term of this Agreement. Throughout
the Term, Tenant shall have the right to amend, modify and terminate the Intellectual Property so licensed in connection with Resort
Operations without the consent or approval of Landlord, provided, however, that the consent and approval of Landlord (which Landlord
may grant or withhold in its sole discretion) shall be required for any amendment, modification or termination that may have a
material adverse effect on the interest of Landlord upon termination of this Lease, whether upon its normal expiration date or
any earlier termination date that may occur with or without default. Landlord shall grant to third parties easements and licenses
that are reasonable in their terms and scope to the extent requested by Tenant to protect or enhance Resort Operations.

 

2.3
Assignment of Warranties. Landlord agrees that Tenant may have the benefit as a third party beneficiary of any warranties
or other rights to which Landlord is entitled from any third party with respect to the Leased Assets, and Landlord hereby assigns
(reserving rights for itself upon expiration or earlier termination of the Lease) such benefits to Tenant to the extent the same
may be assignable by the terms of the agreements with such third party and as permitted under law. To the extent such warranties
are not assignable, Landlord shall enforce its rights under such warranties upon the request and at the expense of Tenant, Tenant
agrees that Landlord may have the benefit as a third party beneficiary of any warranties or other rights to which Tenant is entitled
from any third party with respect to the Leased Assets, and Tenant hereby assigns (reserving rights for itself upon expiration
or earlier termination of the Lease) such benefits to Landlord to the extent the same may be assignable by the terms of the agreements
with such third party and as permitted under law. Tenant shall use good faith efforts to add language to its future contracts for
the design, construction or acquisition of Leased Assets to the effect that “Winter Park Recreational Association is a third
party beneficiary hereunder for the purposes of enforcing warranties under this contract.

 

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2.4 Winter
Park Restaurant Company. If requested to do so by Tenant, Landlord shall lease or cause Winter Park Restaurant Company
to sublease to Tenant the real property, personal property and intangible personal property, if any, of the Winter Park Restaurant
Company.

 

2.5
Additional Leased
Assets. In connection with the operation of the Winter Park Resort, Tenant shall have the right to acquire, construct,
modify and replace Additional Leased Assets to be used in Resort Operations. Except to the extent (a) Tenant acquires or constructs
or any Person providing financing retains ownership to such Additional Leased Assets, and such Additional Leased Assets are security
for Permitted Equipment Financing, or (b) Tenant leases assets (other than Lifts and other related equipment such as 
motors, chairs and cable) under a true operating lease under GAAP, these Additional Leased Assets shall at all times thereafter,
including after the termination of this Agreement, be the property of Landlord, and Tenant hereby conveys all such Additional
Leased Assets to Landlord, and Landlord hereby leases all Additional Leased Assets to Tenant pursuant to the terms and conditions
contained in this Agreement. Landlord and Tenant agree to take whatever additional actions are reasonably required to cause such
Additional Leased Assets to be conveyed by Tenant to Landlord, and leased back by Landlord to Tenant, in order to more effectively
vest in Landlord title to the Additional Leased Assets and cause the Additional Leased Assets to be leased back to Tenant in accordance
with this Agreement. To the extent that any National Forest System Lands are acquired by Tenant and are used in connection with
Resort Operations, Tenant shall convey such real property to Landlord, and Landlord shall lease such real property back to Tenant
as Additional Leased Assets under this Agreement. To the extent that Tenant may in the future propose to acquire National Forest
System Lands not for use in Resort Operations, such acquisition is conclusively presumed to modify the boundaries covered by the
Forest Service Permits and is subject to the prior approval of Landlord, which it may grant, withhold or condition in its sole
and absolute discretion.

 

2.6 Ownership
of Leased Assets.

 

(a)True
Lease. All Leased Assets are, and shall remain at all times including after the termination of this Agreement, the property
of Landlord, and Tenant’s interest therein is that of a tenant under a lease, provided, however, that during the Term Tenant
shall control the Leased Assets and the operation of the Winter Park Resort consistent with the provisions of this Lease.

 

(b)Permitted
Equipment Financing and Leases. Notwithstanding anything to the contrary contained herein, Tenant shall have the right to
continue to own (or permit a financing entity to own) or to lease certain items of Tangible Personal Property to the extent and
for a period of time as provided in Section 2.5 and Article X.

 

(c)Tenant’s
Mortgages, Encumbrances and Disposal. Except as otherwise expressly provided in this Agreement and the Option Agreement, Tenant
agrees that, without the prior written consent of Landlord, it will not pledge, loan or mortgage any interest of the Landlord
in the Leased Assets, nor attempt in any manner to dispose of the Leased Assets (except that Tenant shall have the authority to
sell, replace or otherwise dispose of any Tangible Personal Property, and shall remove the same from National Forest System Lands
if located thereon, free and clear of any ownership interest of Landlord, in the ordinary course of business), nor to suffer any
Encumbrances to be incurred or levied on any interest of the Landlord in the Leased Assets (other than leases, subleases, concessions
or licenses for the benefit of the Resort Operations entered into in the ordinary course of business).

 

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(d)Landlord’s
Mortgages, Encumbrances and Disposal. Except with respect to the Agreed-Upon Indebtedness, when Landlord is Winter Park Recreational
Association, the City, an agency or an agent of the City or another entity having at least one director, trustee or manager appointed
by the City or an agency thereof, Landlord will not, without Tenant’s prior written consent, which Tenant may grant or withhold
in its sole discretion, pledge, mortgage, or grant a deed of trust or security interest or other lien with respect to, any interest
of Landlord in the Leased Assets. Any sale, transfer, exchange, lease or other disposition by Landlord of its interest in the
Leased Assets at any time shall be made expressly subject to this Lease and the rights of Tenant hereunder, shall be made expressly
subject to the terms of the Agreed-Upon Indebtedness, and shall not cause a debt service payment obligation of Tenant on Agreed-Upon
Indebtedness. Until the 20th anniversary of the Effective Date, any such sale, transfer, exchange, lease or other disposition
by Landlord of its interest in the Leased Assets shall
be subject to Tenant’s right of first refusal described in Section 2.6(e). From and after the twentieth (20th)
anniversary of the Effective Date and continuing for the balance of the Term, any sale, transfer, exchange, lease or other disposition
by Landlord of its interest in the Leased Assets shall be only made in a public process in which Tenant has the right to participate
on terms and conditions that are not less favorable to Tenant than to any other participant in such process.

 

(e)
Right of First Refusal.
Commencing on the Effective Date and continuing until the twentieth (20th) anniversary of the Effective
Date, Landlord may sell, transfer, exchange, lease or otherwise dispose of any or all of the Leased Assets, but Tenant shall have
a right of first refusal with respect to any offer or agreement to purchase such Leased Assets that Landlord wishes to consummate
on the following terms and conditions:

 

(i)
Any such proposed sale, transfer, exchange, lease or other disposition by Landlord shall be expressly subject to this Lease
and the rights of Tenant hereunder, and shall not cause a debt service payment obligation by Tenant on the Agreed-Upon Indebtedness.

 

(ii)
Tenant shall have the right to purchase such Leased Assets at the same purchase price and on the same terms and conditions
as the agreement with the offeror (the “Offer”).

 

(iii)
Landlord shall, within five (5) business days of receipt of an Offer, deliver a copy of the Offer to Tenant. Tenant shall,
within fifteen (15) business days of receipt of the Offer (the “Offer Period”), give written notice to Landlord as
to whether or not Tenant elects to purchase the Leased Assets. If the Offer includes consideration other than cash, Tenant shall
have the right to substitute the equivalent thereof in cash.

 

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(iv)
The closing of the purchase shall be held at a date agreed to by the Landlord and Tenant, but not later than thirty (30)
days after the closing date specified in the Offer. If Tenant does not notify Landlord of its election to purchase such Leased
Assets within the Offer Period, or if Tenant does not close the purchase in accordance with this section, Landlord may close the
transfer to the proposed transferee on the terms and conditions specified in the Offer, within the later to occur of (A) the period
of time specified in the Offer or (B) sixty (60) days after the end of the Offer Period or after such failure to close, as applicable,
subject to compliance with any other applicable provisions of this section. If such transfer is not made within such period, the
provisions of this section shall again apply to any future agreement to transfer any or all of the Leased Assets.

 

2.7
Option Agreement
Parcels. As partial consideration for Tenant entering into this Agreement with Landlord, Landlord has entered into
the Option Agreement. When title to a given parcel of the Real Property has been conveyed in the event Intrawest Development Corp.
exercises its option to purchase such parcel pursuant to the Option Agreement, such parcel shall cease to be a Leased Asset, subject
to any obligations of the acquiring entity to deliver back to Landlord any space for Resort Operations and any necessary easements,
and subject also to Landlord’s right to repurchase if the acquiring entity fails to commence construction within a certain
period of time, all as provided in this Agreement and the Option Agreement.

 

ARTICLE
III 

 

ASSETS
AND LIABILITIES

 

3.1Delivery
of Current Assets. On the Effective Date, Landlord shall deliver to Tenant all Current Assets, including without
limitation, all cash. Between the date of Tenant’s execution of this Lease and the Effective Date, Landlord shall not expend
cash except in the ordinary course of its business or as reasonably necessary to enter into and conclude this Lease, the Option
Agreement and related transactions (and such latter expenditures shall be credited towards Tenant’s payment of Reimbursable
Transaction Costs).

 

3.2Assumption
of Liabilities. From and after the Effective Date and during the Term, Tenant hereby assumes and agrees to pay or
perform when due all obligations of Landlord of every kind and nature arising out of, or in any way relating to, the Winter Park
Resort, whether such obligations arose before or after the Effective Date, including without limitation, those arising in contract,
tort, or under environmental laws or other regulatory programs, whether contingent or absolute, and whether known or unknown, except
that Tenant does not assume the obligations of Landlord under the Agency Agreement or under this Agreement or any obligations of
Landlord to the City or any of the City’s agencies, agents, employees or officials acting in such capacities, or any obligations
or liabilities resulting or arising out of a breach or default by Landlord under this Agreement, the Option Agreement or any documents
related to this Agreement or the Option Agreement.

 

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3.3
Employment of Employees.
Tenant hereby agrees to employ at the Winter Park Resort all of the current permanent employees of Landlord as of the Effective
Date and as disclosed to Tenant by Landlord in writing, provided, however, that such obligation shall not extend to the Landlord’s
President and CEO, Vice President of Operations, Vice President of Administration, Vice President of Finance, Vice President of
Marketing and Vice President and General Counsel (but as to such excluded employees, Tenant specifically assumes the obligations
under existing severance policies and written employment contracts applicable to them as disclosed to Tenant by Landlord prior
to the Effective Date). This employment obligation for employees not excluded in the preceding sentence is for the express benefit
of Landlord with respect to its liabilities to its employees, does not limit the right of Tenant to terminate employees according
to its normal policies mid practices, does not change the status of all such Winter Park Resort employees as employees “at
will,” and is not for the benefit of the employees themselves, and they are not third party beneficiaries of this Section.
This Section 3.3 does not constitute an employment contract for the benefit of such employees.

 

3.4 Employee
Benefit Plans.

 

(a) Service
Credit. Following the Effective Date, Tenant will provide former employees of Landlord who are hired by Tenant for the
winter or summer season ending June 30, 2003, with credit under each of Tenant’s benefit plans for their service with
Landlord prior to the Effective Date based upon the service credit the employees received under the corresponding
Landlord’s Employee Benefit Plan. In the event the applicable Tenant’s benefit plan has a higher requirement for
computing a participant’s service than the corresponding Landlord’s plan, the service credit provisions of the
Landlord’s plan as disclosed to Tenant will be used in determining the prior service credit (i.e., an employee of
Landlord who has a specific number of years of service credit under the terms of the applicable Landlord’s plan will be
given credit for not less than that same number of years of service under the corresponding Tenant’s plan). Thereafter,
the future service credit under the Tenant’s plans shall be computed under the terms of the applicable Tenant’s
plan provisions. For purposes of this Section 3.4(a), Tenant’s benefit plans and policies are limited to health
insurance, dental insurance, life insurance, voluntary group life insurance, accidental death & dismemberment insurance,
long term disability, vacation, sick days, and 401(k) Retirement Plan.

 

(b)
Pension Plan. Prior to and effective as of the Effective Date, Landlord will amend its pension plan to provide that
all plan participants who are employed by Landlord as of the Effective Date or who accrued a Year of Service (as defined by such
pension plan) with Landlord during the twelve-month period ending on May 31, 2002, are one hundred percent (100%) vested in their
benefits accrued as of the Effective Date. On the Effective Date, all pension plan assets will be transferred by Landlord to Tenant,
and Tenant will assume all obligations and liabilities of Landlord as the employer under the Landlord’s pension plan, including
all plan funding obligations, and will indemnify Landlord from and against all liabilities and obligations with respect to the
pension plan. Following the Effective Date, Tenant will have the right, in its discretion, to continue, freeze or terminate the
pension plan, subject to compliance with all Applicable Laws.

 

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(c) 401(k) Plan. Prior to the Effective Date, Landlord will authorize the termination of its 401(k) plan in accordance with
all Applicable Laws with such termination to be effective as of the day prior to the Effective Date and distributions to be
completed as soon as administratively feasible thereafter. Tenant shall allow all participants in Landlord’s terminated
401(k) plan who are hired by the Tenant and who become participants in Tenant’s 401(k) Plan to rollover their assets
to the extent such assets constitute an “eligible rollover distribution” within the meaning of Internal Revenue
Code Section 402(f)(2)(A), including without limitation participant loans, into the 401(k) plan maintained by Tenant upon
demonstration by Landlord reasonably satisfactory to Tenant that Landlord’s 401(k) plan was qualified pursuant to
Sections 401(a) and 401(k) of the Internal Revenue Code. Tenant shall take all necessary steps relating to Tenant’s 40l(k) plan to ensure that such plan will accept participants’ rollover assets, including without limitation participant
loans, in a manner which allows the rollover to be treated as an eligible rollover distribution. Landlord shall be obligated
to fully terminate the Landlord’s 401(k) plan, obtain an IRS favorable determination letter on the terminated plan, and
complete distributions to plan participants and beneficiaries.

 

(d)
National Sports Center for the Disabled. Tenant will undertake to make its benefit plans available to the National
Sports Center for the Disabled, Inc. (“NSCD”) for participation by NSCD as a participating employer as of the Effective
Date. Tenant’s obligation to make such benefit plans available is conditional upon NSCD undertaking the actions required
to adopt such benefit plans as a participating employer for its employees. For purposes of this paragraph and subject to the foregoing
condition, the benefit plans which Tenant shall be obligated to make available to NSCD are limited to the following: 401(k) Retirement
Plan, health insurance, dental insurance, life insurance, voluntary group life insurance, accidental death & dismemberment
insurance, and long-term disability, provided, however, that Tenant may elect to make additional benefit plans available.

 

(e)
SERP. As of the day prior to the Effective Date, the participants in the Landlord’s Supplemental Executive
Retirement Plan (“SERP”) under the Employee Benefit Plans will be deemed fully vested in their accrued benefits, and
the Landlord shall pay to participants other than the participant noted in a separate written disclosure previously delivered from
Landlord to Tenant the accrued benefit of each participant to be calculated based upon his or her age as of the Effective Date
and the difference between the SERP benefit accrued as of the Effective Date and the estimated Landlord’s pension plan benefit
accrued as of the Effective Date (“Accrued SERP Benefits”). The payments to the participants will be made by Landlord
as of the day prior to the Effective Date and will be subject to required tax withholding. Landlord represents and warrants that
the Accrued SERP Benefits payable to the SERP participants as of August 1, 2002 are shown on Exhibit
N attached hereto. As of the Effective Date, the Tenant will assume all obligations pursuant to the SERP with respect only to the
participant identified in the above-referenced separate written disclosure and the Tenant will make the payments set forth in
Exhibit N to such participant.
The Landlord agrees to transfer to the Tenant on the Effective Date, the remaining assets of the rabbi trust in which the Landlord
currently maintains assets for the benefit of SERP participants.

 

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(f)
Health Insurance.

 

(i)As
of the Effective Date, Tenant will provide health insurance coverage pursuant the terms of the Consolidated Omnibus Reconciliation
Act (“COBRA”) for: (A) former Landlord’s employees who have elected COBRA coverage under the Landlord’s
health insurance plan; (B) former Landlord’s employees who would be eligible to elect COBRA coverage under the Landlord’s
health insurance plan if Landlord were to continue its existing health insurance plan; and (C) Landlord’s employees who are
terminated by Landlord as of the Effective Date and who do not become employees of Tenant after the Effective Date.

 

(ii)As
of the Effective Date, Tenant will assume all obligations to provide health insurance coverage as required under the Landlord’s
contracts with retired employees listed in a separate written disclosure previously delivered by Landlord to Tenant. Tenant will
provide the health coverage required by such contracts and will indemnify Landlord from and against all liabilities and obligations
relating thereto.

 

(iii)From
and after the Effective Date, Tenant will provide health insurance coverage under Tenant’s medical plan to Landlord’s
retirees specified in a separate written disclosure previously delivered from Landlord to Tenant who have coverage under Landlord’s
regular health insurance plan under the plan of insurance available to Tenant’s employees. These retirees will continue to
be eligible for coverage under the Tenant’s health insurance plan until their coverage would have terminated under their
current arrangements with Landlord, and the date of such termination is set forth in such separate disclosure.

 

(g) Deferred Compensation
Arrangements. As of the Effective Date, the Tenant will assume all obligations pursuant to the Deferred Compensation Arrangements
identified on Exhibit
 O and only for participants listed in a separate written disclosure previously delivered from Landlord to Tenant.

 

ARTICLE
IV 

 

TERM

 

4.1
Initial Term.
The initial term of this Agreement shall be approximately fifty (50) years, commencing on the Effective Date and expiring on June
30, 2052 at 5 p.m. MDT, unless sooner terminated by law or pursuant to the terms and conditions of this Agreement.

 

4.2
Extension of Initial
Term. Tenant shall have the option of extending the Term for up to two (2), ten (10) year extension terms, followed
by one (1), six (6) year extension term (each, an “Extension Term”). Tenant shall be deemed to have exercised its
option to extend this Agreement unless at least two (2) years prior to the end of the then current Term or any subsequent extension
term, Tenant shall have notified Landlord in writing of its intention to terminate this Agreement at the conclusion of such Term.

 

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ARTICLE
V 

 

LEASE
PAYMENTS: OTHER PAYMENTS;

ALLOCATION OF CERTAIN EXPENSES

 

5.1Rental
and Other Payments. Tenant hereby covenants and agrees to pay to Landlord, as rent for the Leased Assets, all of
the following Rental Payments and other payments:

 

(a)
Initial Payment. On the Effective Date, Tenant shall pay an initial, one-time payment to Landlord equal to three million
dollars ($3,000,000).

 

(b)
Required Agreed-Upon Indebtedness Payments. On or before the date that any payment of principal or interest is required
to be made pursuant to the terms-of  the Agreed-Upon Indebtedness Documents, Tenant shall pay such amount to the Agreed-Upon
Indebtedness Lender, provided, however, that any such payments of principal by Tenant shall not operate to reduce the maximum
principal amount of the Agreed-Upon Indebtedness. In the event Tenant makes any such payment of principal, Tenant shall be an
Agreed-Upon Indebtedness Lender to the extent of such payment in accordance with Section 10.7 of this Agreement.

 

(c)
Additional Consideration Agreement. Tenant shall cause Intrawest Holdings to execute and deliver to Landlord on the
Closing Date the Additional Consideration Agreement.

 

(d)
Rental Payments. Subject to the provisions contained in Section 5.2(a), on or before July 1, October 1, January 1
and April 1 of each Fiscal Year during the Term beginning October 1,2012, Tenant shall pay to Landlord the Required Quarterly Payment.
Commencing on September 30,2013, and continuing throughout the remainder of the Term, on or before September 30 of each Fiscal
Year, Tenant shall pay to Landlord as additional Rental Payments for the Leased Assets the Revenue-Based Annual Payment in an amount
equal to three percent (3.0%) of Gross Revenue in excess of thirty-three million dollars ($33,000,000) received during the immediately
preceding Fiscal Year (beginning with the Fiscal Year ending June 30,2013), but in no event shall the Revenue-Based Annual Payment
exceed the amount by which Cash Flow for Annual Payment for such immediately preceding Fiscal Year exceeded two million dollars
($2,000,000). Landlord and Tenant shall agree upon the manner in which each Required Quarterly Payment and each Revenue-Based Annual
Payment shall be allocated as consideration for (i) the leasing of Real Property, (ii) the leasing of Tangible Personal Property,
(iii) the assignment of Intangible Personal Property, and (iv) the licensing of Intellectual Property under this Agreement.

 

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(e)Example.
The following calculations of the Required Quarterly Payments for a full Fiscal Year and the Revenue-Based Annual Payment on account
of such Fiscal Year are provided by way of example and not by way of limitation:

 

	 	 	 	 	Example
    1	 	Example
    2
	 	 	 	 	Assumed Gross Revenue for the Fiscal Year	 	$	83,000,000	 	 	$	 83,000,000	 
	 	 	 	 	Less Gross Revenue Threshold	 	 	(33,000,000	)	 	 	(33,000,000	)
	 	 	 	 	Gross Revenue Included in Calculation	 	 	50,000,000	 	 	 	50,000,000	 
	 	 	 	 	Multiplied by 3% factor	 	 	x 3%	 	 	 	x 3%	 
	 	 	 	 	Maximum Revenue Based Annual Payment	 	 	1,500,000	 	 	 	1,500,000	 
	 	 	 	 	Required Aggregate Quarterly Payments made for such Fiscal Year	 	 	2,000,000	 	 	 	2,000,000	 
	 	(A)	 	 	Total Maximum Rent	 	 	3,500,000	 	 	 	3,500,000	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	(B)	 	 	Assumed Cash Flow for Annual Payment for the Fiscal Year	 	 	5,000,000	 	 	 	1,900,000	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	Total
    Rent Payments to Landlord for such Fiscal Year (lesser of line (A) or line (B))	 	$	 3,500,000	 	 	$	1,900,000	 

 

 

5.2Credit
for Certain Required Quarterly Payments.
The following
subparagraphs (a) and (b) relate only to the periods
of time for calculating whether there are applicable certain prepayments or credits, and are not intended to modify the periods
of time when payments are made under the Additional Consideration Agreement or Section 5.1(d) above.

 

(a)Developable
Land Prepayments. For the period beginning as of October 1,2002 and ending on June 30,2012, Intrawest Holdings is obligated
to pay the Required Quarterly Payments under the Additional Consideration Agreement, on the condition that the amount by which
the aggregate of the Required Quarterly Payments exceeds Cash Flow for Annual Payment of Tenant for a given Fiscal Year shall be
considered a conditional prepayment and credited (at Intrawest Development Corp’s discretion) against Intrawest Development
Corp’s obligation to make payments pursuant to and in accordance with the terms of the Option Agreement. The foregoing provision
does not modify the requirement in the Additional Consideration Agreement that Intrawest Holdings also make a Required Quarterly
Payment on July 1,2012.

 

(b)Credit
for Future Required Quarterly Payments. The terms of this paragraph shall apply only for the period beginning as of July 1,2012
and continuing throughout the remainder of the Term. If, for any given Fiscal Year, the Required Quarterly Payments made exceed
Cash Flow for Annual Payment, the amount of such excess shall be credited against and reduce the amount of Required Quarterly Payments
required to be paid in the next succeeding Fiscal Year, such credit to be applied (and thus reducing) the succeeding Required Quarterly
Payments until such excess has been exhausted.

 

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5.3Capital
Expenditures.

 

(a)Tenant
shall make such capital expenditures with respect to the Leased Assets and shall create such Additional Leased Assets as it determines
to be necessary and appropriate in its sole business judgment to satisfy the requirements set forth in this Agreement. In general,
Tenant’s priorities in establishing its capital expenditure plan include, without limitation, maintaining the Leased Assets
in a safe and useable condition with all preventative maintenance procedures performed and replacements made where necessary, addressing
capacity issues, and using its resources to endeavor, in a manner consistent with sound business practices, to improve or at least
maintain the competitive position of Winter Park Resort as a mountain area resort.

 

(b)During
each Fiscal Year, Tenant shall reserve the Required Annual Capital Maintenance Amount from Gross Revenues, which shall be expended
by Tenant from time to time as deemed necessary and appropriate in the sole business judgment of Tenant only to expenditures that
are capitalized under GAAP to repair, upgrade, replace, substitute or otherwise maintain the then existing Leased Assets (including
amounts allocated as contemplated by Section 5.5(d)). Nothing in this paragraph shall be construed to limit the amount that may
be expended by Tenant for capital maintenance. In any Fiscal Year, if Tenant spends an amount in excess of the Required Annual
Capital Maintenance Amount, such excess shall be credited towards the expenditure of the Required Annual Capital Maintenance Amount
for the following Fiscal Year(s) (up to a maximum of five (5) Fiscal Years).

 

(c)Subject
to Tenant obtaining all necessary approvals from the United States Forest Service, Tenant shall complete certain Current Capital
Maintenance Items before December 1,2003, and Tenant shall complete Current Capital Maintenance Items at a cost of not less than
eight million one hundred sixty-five thousand dollars ($8,165,000), not later than December 1,2004, and provide an itemization
thereof to Landlord. During the period beginning on the Effective Date and ending on September 30, 2007, the total amount of capital
expenditures completed or under binding contract for construction by Tenant at the Winter Park Resort for Resort Operations that
support (with support including without limitation base area skier services but expressly not including general base area offices
and administration, employee housing or skier parking) the on-mountain activities of snowsliding, mountain biking and mountain
hiking or other on-mountain recreational activities, when added to the Current Capital Maintenance Items and the aggregate expenditures
from the Required Annual Capital Maintenance Amount, shall not be less than an aggregate of twenty-one million eight hundred eighty
thousand dollars ($21,880,000). If during the period beginning on the Effective Date and ending on September 30,2007, the cumulative
amount of EBITDA is at least forty-seven million dollars ($47,000,000), then the total amount of capital expenditures completed
or under binding contract for construction by Tenant at the Winter Park Resort for Resort Operations that support (with support
including without limitation base area skier services but expressly not including general base area offices and administration,
employee housing or skier parking) the on-mountain activities of snowsliding, mountain

 

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biking, mountain hiking or other on-mountain recreational
activities, when added to the Current Capital Maintenance Items and the aggregate expenditures from the Required Annual Capital
Maintenance Amount, for the period beginning on the Effective Date and ending on September 30, 2009 shall not be less than an aggregate
of forty million dollars ($40,000,000). During the period beginning on the Effective Date and ending on September 30,2012, the
total amount of capital expenditures completed or under binding contract for construction by Tenant at the Winter Park Resort for
Resort Operations that support (with support including without limitation base area skier services but expressly not including
general base area offices and administration, employee housing or skier parking) the on-mountain activities of snowsliding, mountain
biking, mountain hiking or other on-mountain recreational activities, when added to the Current Capital Maintenance Items and the
aggregate expenditures from the Required Annual Capital Maintenance Amount, shall not be less than an aggregate of fifty million
dollars ($50,000,000). If Tenant is substantially impaired from completing these requirements due to a “Force Majeure Event”
(as defined below), Tenant shall have an extension of time for such time as is necessary to mitigate the impairment, but in no
event more than twelve (12) months.

 

(d)“Force
Majeure Event” means labor disputes, fire, unusual delay in transportation, adverse weather conditions, utility shortages,
the effects of laws and regulations, construction material shortages, acts of terrorism or war, unavoidable casualties, acts of
government where the government, though purporting to act in the course of its ordinary and customary procedures, imposes unreasonable
delays or requirements which are beyond its authority or otherwise substantially inconsistent with its ordinary and customary procedures,
or other causes beyond the reasonable control of the Tenant which by the exercise of reasonable efforts the Tenant is unable to
overcome, and which Tenant was not able with reasonable diligence to foresee or avoid. However, Force Majeure Events shall specifically
exclude any financing incapabilities or burdens of the Tenant, or a mere failure of performance by any agent or contractor of the
Tenant.

 

5.4Payment
of Reimbursable Transaction Costs. On the Effective Date, Tenant shall pay as directed by Landlord cash in the amount
of the Reimbursable Transaction Costs, reduced by (a) Reimbursable Transaction Costs that have been paid after July 6, 2002 and
prior to the Effective Date by Landlord and have had the effect of reducing Current Assets and (b) Reimbursable Transaction Costs
that have been accrued after July 6,2002 but not yet paid by WPRA that have the effect of increasing Current Liabilities to be
assumed by Tenant pursuant to Section 3.2 hereof. The amount of the Reimbursable Transaction Costs shall constitute a part of the
Agreed-Upon Indebtedness, and to the extent that the amount so paid by Tenant is not replaced by loan proceeds from a third-party
Agreed-Upon Indebtedness Lender, Tenant shall be treated as an Agreed-Upon Indebtedness Lender as to such amount.

 

5.5Allocation
of Certain Costs and Revenues.

 

(a)Landlord
acknowledges that Tenant and its affiliates operate multiple resorts, and that as a result, Tenant and its affiliates from time
to time share certain operational and overhead costs and expenses including, without limitation, reservation services, sales and
marketing, shared employees, information technology support, training, recruitment, project management, purchasing and risk management,
and that in the future additional types of operational and overhead costs and expenses may arise. Landlord further acknowledges
that from time to time, Tenant and its affiliates derive revenue from shared participation in corporate sponsorship or similar
programs.

 

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(b)
For purposes of determining Gross Revenue, EBITDA, Cash Flow for Annual Payment, and other amounts derived from the financial
performance of Tenant under this Agreement, Tenant and its affiliates will be allocated a portion of such revenues and shared costs
and expenses. Tenant shall be permitted to include such allocated revenues, costs and expenses in the calculation of Gross Revenue,
EBITDA, Cash Flow for Annual Payment, and other amounts derived from the financial performance of Tenant under this Agreement on
the following conditions and principles: (i) that such allocations are at all
times calculated in a manner that is fair and equitable to Landlord; (ii) that such or similar allocations are not made in an inconsistent
manner elsewhere within Intrawest Corporation and its affiliated entities to the disadvantage of Landlord; and (iii) that the allocations
of any such revenues, costs or expenses bear a fair relationship to the benefits derived by the Winter Park Resort from such revenues,
costs or expenses.

 

(c)
The Parties specifically agree that: (i) under current circumstances where Intrawest Corporation and its affiliated entities
operate village-based ski resorts, allocations for costs incurred by the Enterprise Group (a group of senior management individuals
within the Intrawest Corporation group of companies who work with resort operating managers to develop and execute the strategy
for operating initiatives and to transfer best practices) may be based pro rata on skier visit days if that forms the basis for
such allocations for internal business purposes among the other resorts owned by Intrawest Corporation or its affiliates; (ii)
that allocations for costs incurred by the IT Group (a group of individuals and systems within the Intrawest Corporation group
of companies that, among other things, improve communication and relationships with guests and enhance guest services and convenience
through the application of information technology) may be based on a reasonable charge per hour if that forms the basis for such
allocations for internal business purposes among the other resorts owned by Intrawest Corporation or its affiliates; (iii) that
allocations between or among Winter Park Resort and one or more other resorts in Colorado with respect to a resource shared between
them may be on an equal basis if their access to and benefit from such resource is approximately equal or may be based pro rata
on a count of resort traffic (such as ski visit days in the case of a resource shared between Winter Park Resort and Copper Mountain);
(iv) that trade and joint programs with third parties (such as co-marketing) shall be allocated a reasonable credit for the revenue
value and shall be charged a reasonable amount for the cost; and (v) that the value of Lift tickets provided or sold at a discount
to guests in a program of Tenant or its affiliates whose revenues are not included in Gross Revenue (such as Club Intrawest) shall
be included in Gross Revenue at the regular or discounted (as applicable) third party price for a comparable ticket.

 

(d)
In addition to the allocation of revenues and expenses as described in this Section, Tenant and its affiliates from time
to time also share certain capital expenditures, including, without limitation uniform computer systems used by Tenant and its
affiliates.
To the extent that Tenant is allocated amounts pertaining to such capital expenditures, such allocations may be credited by Tenant
against the Required Annual Capital Maintenance Amount for such Fiscal Year on the condition that such allocations are at all times
calculated according to the conditions and principles set forth in subparagraph (b) above.

 

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5.6Statement
of Amounts Due. Concurrently with each payment required by Section 5.1(d), Tenant shall deliver to Landlord a written
statement, signed by an officer of Tenant, showing the calculation of the amounts due pursuant to such Sections, and setting forth
in reasonable detail the financial statement information supporting such calculations. Such statements shall include a description
of the manner in which all allocated costs were allocated pursuant to Section 5.5 and setting forth in reasonable detail the information
necessary to verify the allocations.

 

5.7Guaranty
by Intrawest Corporation. Pursuant to the terms and conditions of the Parent Guaranty, Intrawest Corporation has
guaranteed Tenant’s obligations to make payments under this Article V, proven damages on default for accrued and accelerated
rent, and Tenant’s indemnity obligations to Landlord, if any, for wrongful or negligent acts.

 

ARTICLE
VI 

 

PERFORMANCE
OBLIGATIONS OF TENANT

 

6.1General
Principles.

 

(a)Tenant
shall use its controlling interest in the Winter Park Resort to conduct the Resort Operations in accordance with high quality industry
standards for a recreational mountain resort that plans to become a destination resort. Tenant intends to make a reasonable level
of investment of resources in the Winter Park Resort to improve its current competitive position and reputation within the resort
industry and the quality of its operating assets, subject to and without expanding the specific obligations of Tenant to invest
capital set forth elsewhere in this Lease, and otherwise subject to prudent business-oriented policies of Intrawest Corporation.
Tenant is committed to outreach to all qualified people and firms and anticipates using its human, intellectual and technological
resources to endeavor, in a manner consistent with sound business practices, to improve Winter Park Resort by improving on-mountain
services and in general improving the on-mountain experience for guests of Winter Park Resort. In addition, Tenant intends to attempt
to broaden the appeal of the Winter Park Resort beyond the winter experience by creating activities and experiences for guests
at more times of the year. Finally, it is Landlord’s and Tenant’s desire that Winter Park Resort be economically viable
on a stand-alone basis upon the expiration of the Term.

 

(b)Intrawest
Corporation is a leader in North America in the development and operation of village-based recreational resorts and, in particular,
ski resorts. Tenant shall provide a quality experience to its guests and shall not discriminate in devoting resources and attention
to Winter Park Resort relative to the other ski resorts controlled by Intrawest Corporation or its affiliates. Tenant shall devote
to Winter Park Resort an appropriate share of its human, intellectual and technological resources, exercising sound business judgment
and conforming to industry standards for high quality mountain resorts of a size and character comparable to Winter Park Resort,
taking into consideration the needs and requirements of Winter Park Resort as its size and character develop and evolve over the
Term.

 

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(c)Tenant
shall continue to operate, maintain and promote the Winter Park Resort as a quality resort experience both for day and for overnight
guests. Except as otherwise prohibited because of a Force Majeure Event, and subject to snow and weather conditions, Tenant shall
conduct the Resort Operations for skiing and snowboarding daily during the periods from Thanksgiving Day through Easter Day, and
for summer activities from July 4th weekend through Labor Day weekend.

 

(d)Tenant
or any lessee, sublessee, licensee, franchisee or other user of or through Tenant shall conduct the following activities and
functions as seasonally appropriate solely on the Real Property and the National Forest System Lands: (i) Lifts, (ii) trails
that are operated for a fee and that are used in connection with on-mountain sports activities such as
snowsliding, mountain-biking and mountain-hiking, (iii) snowsliding schools, (iv) day-skier parking, (v) ski patrol, (vi)
children’s day care, (vii) public lockers for day skiers, (viii) Mountain Base Area Cafeterias, and (ix) on-mountain
maintenance facilities. Tenant or any lessee, sublessee, licensee, franchisee or other user of or through Tenant shall
conduct the following activities and functions as seasonally appropriate on the Real Property and the National Forest System
Lands to the extent conducted by Landlord on the Effective Date: (i) first aid, (ii) mountain sports equipment rentals, and
(iii) retail sales of athletic equipment, apparel and accessories. Tenant may conduct any other commercial, residential or
recreational activities on the Real Property and the National Forest System Lands consistent with this Agreement and the
Forest Service Permits.

 

(e)Tenant
shall not conduct its operations at the Winter Park Resort in a manner that would involve any illegal purposes or would constitute
waste or a nuisance or would be likely to materially impair the value of the Leased Assets.

 

(f)Subject
to the provisions of this Agreement, Tenant shall at all times hold open its facilities and provide service to all members of the
public who shall conform to and abide by reasonable rules and regulations adopted by Tenant applicable to all users in compliance
with all Applicable Laws prohibiting discrimination.

 

(g)Tenant
shall use commercially reasonable efforts to ensure that the level of service, staffing and standards of hospitality at Winter
Park Resort are comparable to those of other resorts of a similar size and character (as the size and character of Winter Park
Resort develop and evolve over the Term), which reasonable efforts shall include continuing training and development of employees.
The management, maintenance and operation of the Winter Park Resort and all services and facilities therein at all times during
the Term shall be under the supervision and direction of an active, qualified, competent and experienced on-site manager subject
at all times to the direction and control of Tenant.

 

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(h)Tenant
shall take all proper and lawful steps (as reasonably deemed appropriate by Tenant) to discipline and/or terminate employees who
participate in criminal acts in the Winter Park Resort, including illegal gambling, prostitution, illegal serving of alcoholic
beverages, or acts of fraud and theft.

 

(i)Tenant
agrees that it will procure, or cause to be procured, without expense to Landlord, all permits and licenses required by Applicable
Laws for the conduct of any operation or facility that is operated by Tenant in the Winter Park Resort.

 

(j) Tenant agrees to use its
good faith efforts (for example, by publicizing job opportunities in the media and on the internet) to recruit full-time and seasonal
employees from within the City; provided, however, that this agreement by Tenant shall not be construed to limit in any way (other
than the exercise of good faith) the right of Tenant to employ the persons of its choosing.

 

(k) Tenant shall continue
to provide the financial and other support to the National Sports Center for the Disabled during the Term at least to the
same extent as Landlord is required to provide such support to it under that certain Commercial Lease and License Agreement
dated October 1, 2001, a copy of which Landlord has delivered to Tenant.

 

(1) Tenant agrees to continue
in good faith to provide programs and special considerations that benefit the City’s and other youth to at least the same
extent as was provided during the 2001-2002 season.

 

(m) Landlord has certified to
Tenant a list, dated as of the Effective Date, of all persons who have been issued lifetime ski passes for the Winter Park Resort.
Tenant agrees to honor the terms of all such passes during the Term in accordance with the privileges accorded such passes under
Landlord’s lifetime ski pass program, the terms and conditions of which are described on Exhibit
P attached hereto.

 

(n) Tenant shall maintain, replace
and develop as necessary, space and facilities for Resort Operations on the Real Property and the National Forest System Lands
at least equal in functional capacity to the amount of such space presently existing at the Winter Park Resort as of the Effective
Date and such additional space as may be appropriate to the development of any new portal providing ski Lift access onto the mountains
at the Winter Park Resort.

 

(o) Tenant shall establish a
Winter Park Advisory Committee having no more than six (6) members, and the senior management members of Tenant shall meet with
such committee at least semi-annually. The members of the committee shall include representatives of the Fraser Valley business
and residential communities and governmental entities, as well as Landlord. The purpose of the committee is to provide a forum
in which matters of concern for or relating to the Winter Park Resort and its impact on the Fraser Valley can be identified and
discussed. The committee is an advisory board and is not a decision-making body.

 

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6.2Triple
Net Lease.

 

(a)This
Agreement is intended and shall be construed to be a “triple net lease,” and, except as may be specifically provided
in this Agreement, Tenant (i) assumes all responsibilities, duties, obligations, guarantees, risks, charges, taxes, assessments,
costs or expenses of any nature of any kind whatsoever, and (ii) shall pay to Landlord, without notice, absolutely net throughout
the Term, the Rental Payments provided for in this Agreement, free of any expense, charge or deduction whatsoever, with respect
to the Leased Assets or the ownership, leasing, operation, management, maintenance, repairs, improving, use or occupancy thereof.

 

(b)In
addition to all other obligations of Tenant specified in this Agreement, Tenant is responsible to pay all ordinary and necessary
operating and maintenance expenses of the Winter Park Resort, including without limitation (i) salaries, wages and employee benefits
of Tenant’s Winter Park Resort employees, (ii) repairs, maintenance and utilities, (iii) operating and administrative expenses
of the operation of the Winter Park Resort, (iv) costs of marketing, advertising and business promotion, (v) sales and use taxes
and ad
valorem real and personal property taxes, (vi) insurance premiums, (vii) funding of the Required Annual Capital Maintenance
Amount, (viii) the shared fees and charges allocated pursuant to Section 5.5, (ix) costs of deductibles or retentions, settlements,
awards, attorneys’ fees and related costs attributable to items or expenses specified hereunder, (x) fees and charges
under the Forest Service Permits, (xi) ground rent, (xii) the cost of supplies and materials used in the operation of the Winter
Park Resort, and (xiii) principal and interest and any penalties, late charges or other payments or expenses, including transactional
costs, under the Agreed-Upon Indebtedness (subject to the specific provisions relating thereto in this Agreement), the Permitted
Equipment Financing and any other leasehold mortgage and any other borrowings of Tenant.

 

(c)Under
no circumstances or conditions, whether now existing or hereafter arising, or whether within or beyond the present contemplation
of the parties except to the extent expressly provided herein to the contrary, (i) shall Landlord be expected or required to make
any payment of any kind whatsoever by reason of its estate or interest in the Leased Assets or by reason of any rights or interest
of Landlord under this Agreement, nor (ii) shall there be any abatement, diminution, or reduction of, setoffs against or deductions
from the Rental Payments, except as may be specifically provided in this Agreement or the Option Agreement.

 

(d)The
obligations of Tenant to make the payments required hereunder and to perform and observe the other agreements on its part contained
herein shall be absolute and unconditional and shall not be subject to any defense (other than payment) or any right of set off
(except as may be specifically provided in this Agreement), counterclaim, abatement or otherwise, and Tenant (i) will not suspend
or discontinue, or permit the suspension or discontinuance of, any payments required to be paid hereunder, (ii) will perform and
observe all of its other agreements contained in this Agreement, and (iii) will not suspend the performance of its obligations
hereunder for any cause, including, without limiting the generality of the foregoing, any acts or circumstances that may constitute
failure of consideration, failure of or a defect of title to the Leased Assets or any part thereof, destruction, damage or condemnation
to or of all or any part of the Leased Assets, commercial frustration of purpose, or any change in the tax or other laws or administrative
rulings of or administrative actions by the United States of America or the State of Colorado or any political subdivision of either.

 

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(e)Nothing
contained in this Section 6.2 shall be construed to release Landlord from the performance of any of the agreements on its part
herein contained; and in the event Landlord shall fail to perform any such agreement on its part, Tenant may institute such action
against Landlord as Tenant may deem necessary to compel performance, provided that no such action shall (i) violate the covenants
on the part of Tenant contained in this Agreement, or (ii) diminish the Rental Payments required to be paid by Tenant hereunder.
Tenant may, however, at its own cost and expense and in its own name or in the name of Landlord (provided Landlord is a necessary
party under law) prosecute or defend any action or proceeding or take any other action involving third persons which Tenant deems
reasonably necessary in order to secure or protect its rights hereunder with respect to the Leased Assets, and in such event Landlord
hereby agrees to reasonably cooperate with Tenant in all material respects and to take all action reasonably necessary to effect
the substitution of Tenant for Landlord in any such action or proceeding if Tenant shall so request; provided that Landlord shall
not be required to take any action which, in the reasonable judgment of Landlord would be prejudicial to the rights or interests
of Landlord in connection with such action or proceeding or the facts giving rise thereto.

 

(f)Notwithstanding
anything in this Agreement to the contrary, Tenant shall not include in its calculation of Cash Flow for Annual Payment or capital
expenditures, as appropriate, the cost of developing any main line or right-of-way infrastructure such as roads and utilities,
provided, however, that the cost of extensions of such infrastructure from the main lines or rights-of-way solely to the Leased
Assets for the purpose of providing service or access to Resort Operations may be so included.

 

6.3Shared
Resources. As part of Tenant’s exercise of its controlling interest in Winter Park Resort, Tenant
shall make available to the Winter Park Resort, and shall not discriminate against the Winter Park Resort with respect to, access
to its various shared resources and Intrawest Corporation’s combined expertise in the planning, design, construction, operation
and marketing of pedestrian villages and facilities on mountain. This expertise is embodied, without limitation, in a Resort Enterprise
Team, programs such as Leadership, Sales and Development Schools, a resort reservations network, an information technology group,
a company-wide customer relationship management database and technical support, and a lodging and sales group, all as may exist
and/or be available from time to time. The collective advantage of being a member of the Intrawest Corporation group of resorts,
which shall similarly be provided to Winter Park Resort on a non-discriminatory basis, also includes opportunities such as global
purchasing and corporate sponsorships as may be available from time to time.

 

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6.4Compliance
with Applicable Law. At all times during the Term, Tenant shall comply with and cause the Leased Assets to comply
with all laws applicable to the Leased Assets or the operation, use or possession thereof.

 

6.5Tenant
Obligation to Pay Certain Taxes. During the Term, Tenant shall file all required Tax returns (to the extent that
it is legally permissible) and pay promptly all Taxes directly to the applicable Governmental Authority. Tenant may, in good faith
and with due diligence, contest any Taxes levied on all or any portion of the Leased Assets, upon furnishing security reasonably
acceptable to Landlord in an amount equal to 150% of such Taxes, and in such event may permit any lien securing such contested
Taxes to remain undischarged and unsatisfied during the period of such contest and appeal therefrom if (a) Tenant shall effectively
prevent or stay the execution, foreclosure or enforcement of such lien; or (b) such contest or appeal shall prevent or stay the
execution or enforcement or foreclosure of such lien. If such lien is so stayed and such stay thereafter expires or if by nonpayment
of any such items the Leased Assets or any portion thereof will be subject to loss or forfeiture, then Tenant shall forthwith pay
and cause to be satisfied and discharged such lien. Landlord shall cooperate in all material respects with Tenant in any such contest
at Tenant’s sole cost and expense. Tenant shall give timely notice to Landlord of all such liens of which it becomes aware;
Tenant shall, with respect to all Taxes that are required to be paid by Tenant, (i) reimburse Landlord upon receipt of written
request for reimbursement for any Taxes charged to or assessed against Landlord, (ii) on request of Landlord, submit to Landlord
written evidence of Tenant’s payment of Taxes, and (iii) send a copy of all reports or returns relating to Taxes to Landlord.

 

6.6Compliance
with Environmental Laws.

 

(a)Tenant,
in conducting any activity on the Real Property, shall comply with all applicable local, state or federal Environmental, Health
and Safety Requirements, including, but not limited to, such Requirements regarding the storage, use and disposal of Hazardous
Materials and regarding releases or threatened releases of Hazardous Materials to the environment. For purposes of this Lease the
term “Hazardous Materials” shall mean asbestos and asbestos-containing materials, special wastes, polychlorinated biphenyls
(PCBs), used oil or any petroleum products, natural gas, radioactive source material, pesticides, and any solid waste or hazardous
waste as defined at 42 U.S.C. §§ 6903(27) and 6903(5) of the Solid Waste Disposal Act, any hazardous substance as defined
at 42 U.S.C. § 9601(14) of the Comprehensive Environmental Response, Compensation and Liability Act, any criteria pollutant
or hazardous air pollutant regulated under the Clean Air Act, 42 U.S.C. § 7401 et
seq., and any rules or regulations promulgated pursuant to such statutes or any other applicable federal or state statute.

 

(b)
Tenant shall acquire all necessary federal, state and local environmental permits and comply with all applicable federal,
state and local environmental permit requirements relating to Tenant’s use of the Real Property.

 

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(c)
Tenant agrees to ensure that (1) the Additional Leased Assets are designed, operated and maintained in a manner that mitigates
environmental impact through commercially reasonable preventive measures, and (2) all Leased Assets at all times comply with all
applicable federal, state and local environmental requirements. Tenant agrees to comply with all Applicable Laws regarding discharge
or disposal of any Hazardous Materials to floors, floor drains, storm or sanitary sewer systems, surface or ground water, or the
land surface at the Real Property.

 

(d)
In the case of a release, spill or leak of Hazardous Materials, Tenant shall immediately contact all applicable federal,
state and local agencies that are required to be contacted under such circumstances and to take any and all actions as may be required
by such agencies to control and/or remediate the release, spill or leak. Tenant shall reimburse the Landlord for any penalties
and all cost and expense, including, without limitation, reasonable attorney’s fees incurred by the Landlord as a result
of the release or disposal by Tenant of any Hazardous Materials on the Real Property. Tenant shall also immediately notify Landlord
in writing of the existence of a release, spill or leak, and the control and remediation response actions taken, and any responses,
notifications or actions taken by any federal, state or local agency with regard to such release, spill or leak.

 

(e)Tenant
shall make available for inspection and copy upon reasonable notice and at reasonable times, any or all of the documents and materials
that Tenant has prepared pursuant to any requirement under this Section or submitted to any governmental or regulatory agency under
this Section. If there is a requirement to file any notice or report of a release or threatened release of Hazardous Materials
on, under or about the Real Property, Tenant shall provide a copy of such report or notice to Landlord.

 

If Tenant fails to comply with any applicable Environmental,
Health and Safety Requirement, upon reasonable notice to Tenant and opportunity for Tenant to cure such failure (or commence and
be diligently pursuing such cure) within ten (10) days of such notice, Landlord may elect, in addition to its rights and remedies
described elsewhere in this Agreement, to enter the Real Property and take such measures as may be necessary to ensure compliance
with such Requirements, all at Tenant’s expense. In the event of Tenant’s failure to take immediate measures to control
a release, spill or leak of Hazardous Materials at the Real Property, the notice and opportunity to cure provision in this section
is hereby waived to allow Landlord to take immediate action if Landlord so elects.

 

6.7Inspection
and Landlord’s Access. Landlord, through its duly authorized agents, shall have at any reasonable time the
full and unrestricted right to enter the Real Property for the purpose of periodic inspection for compliance with the terms of
this Agreement; provided, however, that except in the case of emergency (in which event no notice shall be necessary), such right
shall be exercised upon reasonable prior notice to Tenant and with an opportunity for Tenant to have an employee or agent present.

 

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6.8 Non-Competition and Gaming.

 

(a)
Tenant, for itself and its affiliates, agrees that it shall not conduct or maintain and, to the extent it is legally able
to do so, it will not allow third parties to conduct or maintain the following activities and facilities on the Purchased Developable
Land: (i) Lifts, (ii) trails that are operated for a fee and that are used in connection with on-mountain sports activities such
as snowsliding, mountain biking and mountain hiking, (iii) snowsliding schools,
(iv) day-skier parking, (v) ski patrol, (vi) children’s day care, (vii) public lockers for day skiers, (viii) Mountain Base
Area Cafeterias, and (ix) on-mountain maintenance facilities.

 

(b)
Tenant, for itself and its affiliates, agrees that, to the extent it is legally able to do so, it will not allow third parties
to rent snowsliding equipment on the Purchased Developable Land. Tenant and its affiliates shall have the right to rent snowsliding
equipment on the Purchased Developable Land, provided however, to the extent that such activity is Competitive Rentals, the revenue
therefrom shall be included in Gross Revenue.

 

(c)
If and when gaining is a legally permitted activity at the Winter Park Resort, the Parties acknowledge that such activity
can significantly affect the Winter Park Resort in ways that cannot currently be predicted. Therefore, Tenant and Landlord and
their affiliates shall not conduct such activity on the Real Property or on the Purchased Developable Land until Tenant and Landlord
shall have first determined with one another in good faith the potential impact of gaining activity on the long-term economic viability
of the Winter Park Resort and made such modificiations to this Lease and the Option Agreement as they mutually deem appropriate
at that time to protect their respective interests and investments (including, without limitation, the interest of Landlord in
preserving the Winter Park Resort as an economically viable stand alone business upon the expiration of the Term).

 

6.9Development
of Leased Assets.

 

(a)
All construction work shall be performed in a good and workmanlike manner and in accordance with all Applicable Laws.

 

(b)
Subject to Tenant’s right to contest as set forth in Section 6.9(c), Tenant shall not permit any mechanic’s
lien for labor or materials furnished or alleged to have been furnished to it to attach to any portion of the Leased Assets; and
Tenant herein agrees that if any mechanic’s lien is filed upon any portion of the Leased Assets (except to the extent such
mechanic’s lien is caused by Landlord), Tenant shall protect and save harmless Landlord against any loss, liability or expense
whatsoever by reason thereof and shall proceed with or defend, at its own expense, such action or proceedings as may be necessary
to remove such lien from the records. Upon receipt of notice thereof by Landlord, Landlord shall promptly give Tenant written notice
of the existence of any such mechanic’s lien in the Leased Assets, but the failure of Landlord to give such notice shall
not affect the responsibilities of Tenant as set forth in this Section.

 

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(c)Tenant
may, in good faith and with due diligence, contest any mechanic’s lien or other lien filed or established against all or
arty portion of the Leased Assets, upon either removing the lien of record or by posting a bond in accordance with applicable Colorado
law, or upon furnishing security reasonably acceptable to Landlord in an amount equal to 150% of such claim or lien, and in such
event may permit such lien or charge to remain undischarged and unsatisfied during the period of such contest and appeal therefrom
if (i) Tenant shall effectively prevent or stay the execution, foreclosure or enforcement of such lien or charge; or (ii) such
contest or appeal shall prevent or stay the execution or enforcement or foreclosure of such lien or charge. If such lien or charge
is so stayed and such stay thereafter expires or if by nonpayment of any such items the Leased Assets or any portion thereof will
be subject to loss or forfeiture, then Tenant shall forthwith pay and cause to be satisfied and discharged such lien or charge
or secure such payment by posting additional bond in form reasonably satisfactory to Landlord, Landlord shall cooperate in all
material respects with Tenant in any such contest at Tenant’s sole cost and expense. Tenant shall give timely notice to Landlord
of all such claims and liens of which it becomes aware.

 

(d)Tenant
shall timely establish and record appropriate legal instruments that run with the title to the Real Property to evidence all necessary
or appropriate legal rights, including without limitation access easements and reciprocal easement agreements, in connection with
any development of the Real Property so that, when the Term expires (whether by maturity or by acceleration as provided in this
Agreement), Landlord shall be able to efficiently and effectively operate the Winter Park Resort, including any Purchased Developable
Land repurchased by or on behalf of Landlord or the City, as a stand-alone operation from the Purchased Developable Land.

 

6.10 Names.

 

(a)
Tenant will retain the words “Winter Park” and “Mary Jane” prominently in the name of the Winter
Park Resort in all promotional literature and primary signage.

 

(b)
Tenant will retain the names of those ski runs identified on Exhibit
Q attached hereto that commemorate individuals who have been important in the history of the Winter Park Resort.

 

(c)
Tenant will consider the Winter Park Resorts heritage and history in naming or renaming most ski runs.

 

ARTICLE
VII

 

REPORTS
AND AUDITS

 

7.1
Quarterly Reports.
Tenant agrees to furnish to Landlord in a form reasonably acceptable to Landlord not later than the thirtieth (30th) day immediately
succeeding each Fiscal Year quarter during the Term other than the last quarter of each Fiscal Year, and the month immediately
succeeding the expiration or termination of this Agreement, a true and correct statement of Gross Revenue and component items (in
summary form) of Cash Flow for Annual Payment (EBITDA, Required Annual Capital Maintenance Amounts, and Required Interest Payments)
for the preceding quarter, certified by the chief financial officer of Tenant.

 

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7.2Annual
Reports. Not later than ninety (90) days after the end of each Fiscal Year, Tenant shall deliver to Landlord and
to the City annual report statements (in form and substance reasonably satisfactory to Landlord) that include:

 

(a)Statements
of the Gross Revenue and Cash Flow for Annual Payment for the immediately preceding Fiscal Year (or portion thereof) included
in the Term, which statements shall specify all Gross Revenue and component items of Cash Flow for Annual Payment (EBITDA, Required
Annual Capital Maintenance Amounts, and Required Interest Payments), and shall be certified by the Accountants and acknowledged
by an officer of Tenant as being accurate and complete.

 

(b)A
statement from the chief financial officer of Tenant certifying that all fees and charges and all allocated costs comply with the
categories, descriptions and limitations specified in this Agreement.

 

(c)Audited
financial statements of the Tenant prepared by the Accountants on a non-consolidated basis, consistent with the form and information
required to be disclosed by GAAP.

 

7.3Maintenance
of Records. Tenant shall, at all times during the Term, and consistent with good business practices:

 

(a)
Prepare and maintain for the Winter Park Resort, in accordance with GAAP, adequate records that shall show all Gross Revenue
received by Tenant, which records shall include, but need not be limited to, (i) copies of all gross income, sales, retail or excise
tax returns filed with any governmental authority; (ii) bank deposit records; (iii) such other records, if any, which would normally
be examined by an independent accountant pursuant to generally accepted auditing standards in performing an audit of gross receipts;
and (iv) the records, if any, of subleases, assignees, concessionaires, or licensees, furnished to Tenant in connection with such
operations.

 

(b)
Prepare and maintain for the Winter Park Resort in accordance with GAAP adequate records, that shall show all component
items necessary and appropriate in determining Cash Flow for Annual Payment, which records shall include but need not be limited
to such records that would be examined by an independent accountant pursuant to generally accepted auditing standards in performing
an audit of such items.

 

(c)
Prepare and maintain, in accordance with reasonable practices consistent with the manner in which Tenant maintains such
records at its other resorts, all skier and other paying guest visit records for the Winter Park Resort.

 

(d)
Keep safe at the Winter Park Resort, or with the Landlord’s approval not to be unreasonably withheld, at another location
in the greater metropolitan Denver area or elsewhere in Colorado within a fifty (50) mile radius of Copper Mountain or the Winter
Park Resort, for a period ending not less than three (3) years after the close of each Fiscal Year, all of such records for each
Fiscal Year.

 

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(e)
Maintain, in a manner consistent with good business practices, a written inventory of the Leased Assets (other than units
of personal property that individually have only a nominal value, such as office supplies, silverware and spare mechanical parts).

 

7.4Inspections
and Audits of Records. Until the expiration of three (3) years after the final Rental Payment, Tenant shall permit
Landlord and duly authorized representatives of the City (and for the purposes of this Section, Landlord and Tenant specifically
acknowledge that the City is an intended third party beneficiary and shall have the right to enforce the provisions of this Section
which Landlord and Tenant may not modify without the prior written consent of the City), including without limitation the Mayor,
Manager of Parks and Recreation and the City Auditor:

 

(a)At
all reasonable times to examine the books, documents, accounts, papers and records of Tenant pertinent to transactions related
to this Agreement.

 

(b)At
any time after five (5) business days prior notice to Tenant of its intention to do so, cause to be made a complete audit of the
records of Tenant for any or all of the most recent three (3) Fiscal Years during the Term. No such audit with respect to a Fiscal
Year may be requested earlier than ninety (90) days after the end of such Fiscal Year. Any audit as described in this Section shall
be at Landlord’s or the City’s expense except that if such audit discloses that, to the detriment of Landlord, actual
Gross Revenue or actual Cash Flow for Annual Payment for any Fiscal Year exceeded by more than five percent (5%) the amount reported
to Landlord, the cost of such audit shall be paid by Tenant if for such Fiscal Year the amount of Rental Payments actually made
by Tenant was less than the amount payable. The acceptance of Rental Payments by Landlord computed on the basis of statements furnished
by Tenant shall be without prejudice to Landlord’s and the City’s rights to inspect and/or audit the records pertaining
to Gross Revenue and component items of Cash Flow for Annual Payment as authorized under this Section and upon the discovery following
any such examination or audit of any discrepancy in the reporting of Gross Revenue and component items of Cash Flow for Annual
Payment whereby rent has previously been underpaid, such deficiency together with interest thereon at the Interest Rate shall be
immediately due and payable. If the inspection and/or audit under this Section reveals that rent has previously been overpaid,
such overpayment shall be credited against the obligation of Tenant to make Rental Payments for the subsequent Fiscal Year or promptly
repaid to Tenant, as determined by Landlord in its sole discretion; provided that after the Term any such excess shall be promptly
repaid to Tenant.

 

(c)Tenant
agrees that the City, and its authorized representatives, may inspect any sales tax return or report and accompanying schedules
and data which Tenant may file with any municipal or state agency, and, solely for purposes of permitting the City to inspect such
materials, Tenant waives any rights of confidentiality which it may have in connection therewith, except as specifically provided
in Section 7.5 below.

 

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7.5Confidentiality.
If any documents submitted by any Person to Landlord or the City under this Agreement are deemed by such Person to be confidential
business data, trade secrets, or otherwise not subject to public disclosure, such Person shall be required to clearly mark the
documents as “Confidential” prior to delivering or making them available to Landlord or the City. If the City, or Landlord
if applicable, receives a request for the production or disclosure of documents so marked, it will decline disclosure and notify
such Person of such request; provided, however, that if any action is commenced against City or Landlord under the Colorado Open
Public Records Act or otherwise seeking to compel production or disclosure of the documents, the Person asserting the confidentiality
of such documents shall immediately intervene in such action, and whether or not such intervention is permitted, shall defend,
indemnify and hold City and Landlord harmless from any costs, damages, penalties or other consequences of City’s or Landlord’s
refusal to disclose or produce such documents.

 

ARTICLE
VIII 

 

DELIVERY;
CONDITION; QUITE ENJOYMENT AND INDEMNIFICATION

 

8.1Delivery
and Acceptance of the Leased Assets. Landlord and Tenant acknowledge that Landlord shall tender possession of the
Leased Assets to Tenant on the Effective Date. Except for the representations and warranties made by Landlord pursuant to Article
XIII, Tenant accepts the Leased Assets “AS IS”, and hereby acknowledges that Landlord is not obligated to do any improvements
or modifications to the Leased Assets.

 

8.2Indemnification.

 

(a)
Tenant shall defend, indemnify, hold harmless and reimburse Landlord and the City (and for the purposes of this Section,
Landlord and Tenant specifically acknowledge that the City is an intended third party beneficiary and shall have the right to enforce
the provisions of this Section which Landlord and Tenant may not modify without the prior written consent of the City), and their
elected and appointed officials, officers, agents and employees from, for and against any and all loss, liability, damages, penalties,
expenses and costs of whatever nature, causes of action, suits, claims, penalties, expenses, costs, demands, judgments, costs of
defense, awards and settlements including, without limitation, payments of claims or liability resulting from any injury or death
of any person or damage to or other destruction of any property, in any way arising out of use of the Leased Assets and resulting
directly or indirectly from: (i) the willful misconduct or the negligent or tortious act or omission of Tenant or any sublessee,
licensee, concessionaire, guest, invitee, contractor or subcontractor of Tenant or any of them, or their respective employees;
(ii) the negligent or willful misconduct of Tenant or any sublessee in their use or occupancy of the Winter Park Resort or the
use, design, construction or operation of the Leased Assets; or (iii) the violation by Tenant of any agreement, covenant or condition
of this Agreement (collectively, “Liabilities”); provided, however, that Tenant need not indemnify or save harmless
Landlord or City, or their elected and appointed officials, officers, trustees, agents and employees, from, for and against any
Liabilities resulting from the sole fraud, willful misconduct, negligence or breach of fiduciary duty of their elected and appointed
officials, officers, trustees, agents and employees. The provisions of this Section are limited to indemnification for third party
claims, and shall survive the termination of this Agreement.

 

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(b)Tenant
agrees to defend, indemnify and hold harmless Landlord and the City, and their elected and appointed officials, officers, agents
and employees, from and against any and all claims or liability for compensation under any workers’ compensation statute
arising out of injuries sustained by any employee of Tenant, or any sublessee, licensee, concessionaire, contractor or subcontractor
of Tenant or any of them, except to the extent caused by the willful misconduct or grossly negligent act or omission of Landlord
or the City, or their elected and appointed officials, officers, agents, employees, licensees (other than Tenant), contractors
or subcontractors. However, nothing in this Section is intended or shall be construed to obligate Tenant to defend, indemnify or
hold harmless Landlord or the City from or against any claim or liability under any workers’ compensation statute arising
out of any injury sustained by any employee of Landlord or the City in the course of his or her employment with Landlord or the
City. Tenant covenants that it shall cause its sublessees, licensees, concessionaires, contractors and subcontractors to maintain
in effect at all times workers’ compensation insurance as required by law.

 

(c)Tenant
shall control the defense of any claim, action, proceeding or suit for which Tenant indemnifies Landlord or the City pursuant to
this Section. Landlord and City shall be invited to attend and participate in all meetings (including those related to settlement)
and to appear and participate in all judicial proceedings and the right to approve the terms of any settlement related to such
claim, action, proceeding or suit. If such legal action will not create future liability for Landlord or the City in any respect,
then Tenant shall not be required to involve Landlord or the City in any such meetings or proceedings and may settle any such matters
without the requirement of obtaining the approval of Landlord or the City.

 

(d)Without
limiting the generality of any other provision hereof, Tenant shall reimburse Landlord and City for reasonable attorneys’
fees, expert witness fees and investigation expenses, including utilizing City’s Law Department, incurred by them in the
active defense and handling of any suits and claims against which Tenant is required to provide indemnification under this Article
VIII and in enforcing the provisions of this Agreement; provided that City or Landlord and not Tenant shall absorb at its own expense
those attorneys’ fees incurred for routine monitoring and other relatively passive activity.

 

8.3Quiet
Enjoyment. Subject to the terms and conditions of this Agreement and the Forest Service Permits, Landlord warrants
that so long as this Agreement is in full force and effect, Tenant’s peaceable and quiet enjoyment of the Leased Assets
shall not be disturbed by Landlord or any Person claiming through or under Landlord.

 

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ARTICLE
IX

 

INSURANCE

 

9.1
Coverage.
Without limiting any of the other obligations or liabilities of Tenant under this Agreement, Tenant shall maintain the following:

 

(a) Insurance
for casualties affecting the Improvements and Tangible Personal Property on an All Risk Special Cause of Loss Form including
Difference in Conditions/Flood and Earthquake Coverage. Coverage shall include Change in Building Ordinance resulting in
increased costs after a covered cause of loss. Coverage shall also include demolition, increased cost of construction and
loss to undamaged portions of the building caused by enforcement of any building, zoning or land use law after a covered
cause of loss. The limits of insurance must be equal to the full replacement cost of the Improvements and Tangible Personal
Property. In addition, insurance for casualties shall also include Boiler and Machinery Insurance insuring against loss or
damage to boilers, pressure vessels and other machinery. Boiler and Machinery Coverage may be provided as a part of the
property insurance form or separately. Tenant shall be named insured, with Landlord and City named as additional insureds, as
their interests may appear on all applicable property insurance policies. Coverage shall also include Loss of Business Income
Insurance covering loss of income, extra expense and loss of rents. Such coverage shall include loss caused by action of a
civil authority that prohibits access to the Leased Assets. Coverage shall also be provided for contingent business
interruption, off-premises services time element losses, and shall also cover leased property alterations and new structures.
Business Income Time Element coverage shall also include an extended period of indemnity of 180 days or a peak season
coverage form. Business Income Insurance coverages shall provide sufficient proceeds for continuing expenses to make full
payments to Landlord of its rent based on the greater of $2,000,000 per Fiscal Year or the annual average amount of Rental
Payments payable to Landlord for the previous three (3) Fiscal Years. All such insurance shall include a waiver of rights of
subrogation against Tenant, Landlord and the City. Any coinsurance penalties shall be eliminated or coinsurance shall be
waived via the use of an agreed value endorsement. Property coverage may be provided on a blanket basis or through
separate policies and programs.

 

(b)
Commercial General Liability Insurance on an occurrence basis, insuring against any and all claims for bodily injury, death,
personal injury and property damage for all of Landlord’s and Tenant’s operations associated with Leased Assets. Policy
limits of not less that $25,000,000 per occurrence shall be provided. Required limits may be provided via a combination of primary,
excess and umbrella policy layers. Such liability insurance shall provide coverage for premises operations, products and completed
operations, explosion and underground hazards, as well as contractual liability insurance specifically covering, but not limited
to, the contractual obligations assumed by Tenant pursuant to this Agreement, liquor legal liability, independent contractors,
employees as additional insureds, and cross-liability coverage. Landlord and the City shall be listed as additional insureds.

 

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(c)Business
Automobile Liability Insurance, Symbol 1, insuring against liability arising from the operation, maintenance and use of all
owned, non-owned, hired, leased and rented trucks, automobiles and other vehicles for bodily injury, death or property
damage, with a combined single limit for each occurrence of not less than $10,000,000. The Landlord and the City must be
listed as additional insureds. A waiver of rights of subrogation against Tenant, Landlord and the City shall be required.
Coverage limits may be provided via a combination of primary, excess and umbrella policies.

 

(d)Colorado
Worker’s Compensation Insurance with statutory limits including an All States Endorsement and Employer’s Liability
Insurance with liability limits of no less that $1,000,000 covering persons employed by Tenant in connection with the occupancy,
use or operation of the Leased Assets. Such insurance must contain a waiver of subrogation against Landlord, and the City.

 

(e)Comprehensive
Crime Insurance including Computer Fraud and Fidelity Bonds or employee dishonesty coverage with reasonable limits acceptable to
Landlord covering Tenant’s employees in job classifications normally bonded or in a money handling capacity.

 

(f) Director’s and Officers
Liability Insurance covering the activities and operational decisions made by officials, executives and managers of Tenant with
limits of no less that $2,000,000 per claim. Coverage may be written on a claims made basis, and coverage shall be concurrent throughout
the Term of this Agreement. All preparatory work undertaken by officials and managers of Tenant shall be covered as part of prior
acts coverage, and an extended reporting and discovery period of no less than two years shall survive this Agreement.

 

(g)Environmental
Impairment/Pollution Liability Insurance coverage shall be provided with a per-incident limit of no less than $10,000,000. Coverages
shall include claims for bodily injury and property damage, claims for contract damages, diminution of property values, environmental
cleanup costs and civil fines/penalties. Coverage shall also be provided for non-owned disposal sites. Landlord and the City shall
be listed as additional insureds. Such insurance shall include a waiver of subrogation against Tenant, Landlord and the City.

 

(h)Such
other insurance in amounts as Landlord in its reasonable judgment deems advisable for protection against claims, liabilities, damages,
risks or perils and as at the time are customarily insured against with respect to improvements similar in character, size, general
location, use and occupancy to the Improvements.

 

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9.2General
Insurance Provisions.

 

(a)All
insurance described in this Section shall be in a form and written by a company or companies with a Best Rating of A-VIII (A-VII
or better for participating companies) or better and which lawfully can write insurance in the State of Colorado.

 

(b)Any
deductibles or self-insured retention, including off-shore retention/insurance programs, greater than $10,000
associated with the above coverage requirements and policies shall be funded at the sole risk of Tenant. Further, deductible and
or self-insured retention/off-shore insurance programs in excess of $10,000
shall be subject to review and approval by the City’s Director of Risk Management on an annual basis and/or when significant
changes are made to such programs. Pertinent supporting certified financial reports shall be submitted for such approval along
with an explanatory cover letter.

 

(c)During
construction, contractors shall be included as additional insureds under the policies provided by the Tenant. Certificates of insurance
shall be provided to the Landlord and the City as such construction projects arise.

 

(d)Tenant
shall deliver certificates of insurance, within twenty (20)
days after the Effective Date, to Landlord (with copies to the City’s Director of Risk Management or such other person who
has that responsibility). The certificates must be reasonably satisfactory to the Landlord and the City’s Director of Risk
Management. If such certificates are unavailable within such 20-day period, Tenant shall provide within such time a letter from
a recognized insurance broker certifying the coverages and limits in effect applicable to this Agreement, and Tenant shall continue
to diligently pursue the delivery of the certificates.

 

(e)Upon
the Landlord’s or the City’s request, Tenant shall make available for review at the offices of the City’s Director
of Risk Management certified copies of the insurance policies.

 

(f)Each
such policy and certificate must contain a special endorsement providing that such policy will not be canceled or materially changed
or altered without first giving forty-five (45) days prior notice to the City’s Director of Risk Management.

 

(g)Not
less than sixty (60) days prior to the expiration or anniversary of such policies, Tenant shall deliver to Landlord confirmation
that such policies are being renewed or replaced, in accordance with all of the provisions of this Section. An endorsement shall
be included to each policy prohibiting cancellation of such policy without at least forty-five (45) days’ prior written notice
to Landlord and the City. Tenant shall deliver to the City’s Director of Risk Management any renewal certificates for such
insurance at least seven (7) days prior to the expiration of any such policies.

 

9.3Settlement
and Payment of Claims. Except as otherwise specified in this Section, the loss, if any, under any property
policies provided for in this Article IX  shall be adjusted with the insurance companies by Tenant, subject to the approval
of the Landlord, Landlord’s approval shall not be unreasonably withheld or delayed so long as there is no Event of
Default hereunder. Proceeds of insurance resulting from any property loss shall be paid to Tenant and disbursed for the
purpose or paying for the cost of restoring the Improvements pursuant to Tenant’s obligations under this Agreement.
Proceeds from any liability insurance shall be used to discharge the liability to which such proceeds pertain.

 

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9.4Failure
to Insure. Failure by Tenant to take out or maintain any insurance required hereunder shall not relieve Tenant
from any liability under this Agreement, nor shall the insurance requirements hereof be construed to conflict with or
otherwise limit any contractual obligations, including those of indemnification, of Tenant herein. If at any time Tenant
fails or neglects to insure the Leased Assets as aforesaid, or to deliver such policies or certificates as aforesaid, the
Landlord may, but shall not be obligated to, effect such insurance by obtaining policies issued by companies satisfactory to
Landlord. The amount of the premium or premiums paid for such insurance by Landlord shall be payable by Tenant to Landlord
immediately, with interest thereon at the Interest Rate from the date of payment of such premium or premiums by Landlord to
the date of such reimbursement by Tenant.

 

9.5Adjustment
of Insurance Coverage. Notwithstanding the above, Tenant agrees that the City’s Director of Risk
Management may at its election reevaluate the reasonableness of the amounts of insurance coverage required herein every three
(3) years, and if such amounts have become inadequate, in such Director’s commercially reasonable judgment consistent
with industry standards, to provide the coverage intended by this Agreement, the Director may require such additional
insurance or policy amounts as necessary to provide such intended coverage. Any terms used in this Article IX that are terms
of art within the insurance industry shall, as such terms change from time to time, be deemed to be replaced with any such
changed term that is closest in meaning to the original term.

 

9.6Prohibition
on Acts Affecting Insurance Coverage. Tenant shall not do or permit
to be done anything, either by act or failure to act, which shall cause the cancellation of any policy of property insurance for
the Leased Assets or any part thereof. Further, if Tenant shall do or permit to be done anything, either by act or failure to act,
that shall cause an increase in the premiums for property insurance for such property, then Tenant shall either pay the amount
of such increase or purchase additional insurance with terms reasonably satisfactory to the City’s Director of Risk Management,
and such increase costs shall be taken into account (by reducing EBITDA) in the amount of Cash Flow for Annual Payment.

 

9.7Insurance
Under Separate Contracts. All contracts and agreements between Tenant and any third parties relating to the design
and construction of the Improvements which  contain insurance and indemnification provisions in favor of Tenant shall also extend
the protection afforded by such insurance and indemnification provisions in favor of Landlord and the City.

 

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ARTICLE
X 

 

INDEBTEDNESS

 

10.1
Agreed-Upon Indebtedness.
To the extent arranged by Tenant at its expense and from time to time during the Term, Tenant may cause Landlord to incur or refinance
Agreed-Upon Indebtedness on the condition that at no time during the Term shall the aggregate outstanding principal amount of
Agreed-Upon Indebtedness exceed thirty-three million dollars ($33,000,000) over the Term, less principal payments required to be
made by Landlord pursuant to Section 10.4 or otherwise voluntarily made by Landlord. Such maximum aggregate amount shall not be
reduced to the extent Tenant or Landlord makes repayments of principal for the purpose of refinancing any then-existing Agreed-Upon
Indebtedness or Tenant makes any other payments of principal that are required to be made pursuant to the terms of the Agreed-Upon
Indebtedness Documents from time to time. Except for payments of principal that Landlord is required to make pursuant to Section
10.4 of this Agreement, Tenant is required to make all  payments of principal and interest for the Agreed-Upon Indebtedness during
the Term. Agreed-Upon Indebtedness may not be borrowed again in the manner of a revolving debt to the extent of principal payments
made by or on behalf of the Landlord. The terms of the Agreed-Upon Indebtedness shall be subject to the approval of Landlord, which
approval shall not be unreasonably withheld, delayed or conditioned, and Landlord shall execute, have acknowledged, and deliver
such Agreed-Upon Indebtedness Documents as may be required by the Agreed-Upon Indebtedness Lender to evidence and otherwise document
the Agreed-Upon Indebtedness from time to time and to provide the security for any Agreed-Upon Indebtedness specified in Section
10.3 of this Agreement, provided that the terms of such Agreed-Upon Indebtedness
Documents are commercially reasonable and do not impose upon Landlord any obligations or requirements that are outside the scope
of Landlord’s obligations and requirements under applicable laws or as set forth in this Lease, the Option Agreement or the
First Loan Documents. Landlord agrees that it will not withhold, delay or condition its approval of Agreed-Upon Indebtedness Documents
that have terms and conditions comparable in substance to the First Loan Documents that Landlord executes in connection with the
Closing. Nothing in this Section shall restrict the right of Tenant to incur other indebtedness, which does not constitute Agreed-Upon
Indebtedness, in accordance with Section 10.6 below.

 

10.2
Use of Agreed-Upon
Indebtedness. Unless otherwise agreed between Landlord and Tenant, Landlord shall pay, or shall authorize each Agreed-Upon
Indebtedness Lender to pay, promptly and directly to Tenant the net proceeds of Agreed-Upon Indebtedness that represent the increase
over the amount of outstanding indebtedness of Landlord existing immediately prior to the Effective Date, which net proceeds Tenant
shall use only to fund the amount of (a) the Current Capital Maintenance Items, (b) the Reimbursable Transaction Costs, (c)
those certain long-term liabilities described on Exhibit
R attached as a part hereof, and (d) the Transition Costs.

 

10.3
 Security for Agreed-Upon
Indebtedness. Landlord shall, at the request of Tenant, execute, have acknowledged and deliver such collateral instruments
as the Agreed-Upon Indebtedness Lender may require to secure the repayment of the Agreed-Upon Indebtedness with a lien encumbering
the Real Property that is “Development Parcels” (as defined in the Option Agreement) but not Real Property that is
“Resort Operations Space”, “Resort Parcels”, “Lift Parcels” or “Resort Operations Core
Area” (as those terms are defined in the Option Agreement); provided, however, Landlord shall have no obligation to execute
any such collateral instrument if the terms of such collateral instrument, or the recording of such collateral instrument, would
violate or result in a default under any Agreed-Upon Indebtedness that is secured by a senior lien on the Development Parcels.
Landlord shall have no obligation to offer as collateral for Agreed-Upon Indebtedness any Resort Operations Space, Resort Parcels,
Lift Parcels or “Resort Operations Core Area” (as defined in the Option Agreement) or any of its assets other than
the Development Parcels. Upon request of the Agreed-Upon Indebtedness Lender, Tenant shall encumber its leasehold estate, rights,
title and interest under this Agreement as security for the Agreed-Upon Indebtedness. The security or lien of any Affiliate Lender
shall not be in the form of an instrument containing, and no Affiliate Lender shall have a right to, a power of sale. Notwithstanding
the provisions of Section 16.1 of this Lease, Tenant at all times shall have the right, without Landlord’s consent, to encumber
its leasehold estate, rights, title and interest under this Agreement as security for the Agreed-Upon Indebtedness or, subject
to Article XVI of this Lease, any indebtedness separate from the Agreed-Upon Indebtedness.

 

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10.4Repayment
of Agreed-Upon Indebtedness. The Option Agreement sets forth the conditions upon which Intrawest Development
Corp. or its affiliate or a successor permitted by the terms of the Option Agreement may, from time to time, exercise its
option to purchase parcels of the Real Property and the price at which parcels of land may be purchased thereunder. Landlord
shall apply no less than ninety percent (90%) of the net proceeds to be received by Landlord from the purchase by Intrawest
Development Corp. or its affiliate or a successor permitted by the terms of the Option Agreement of parcels of the Real
Property pursuant to the Option Agreement to the repayment of Agreed-Upon Indebtedness. If requested by Tenant, Landlord
agrees that Intrawest Development Corp. may deliver the portion of the Development Parcel purchase price to be paid against
the principal of the Agreed-Upon Indebtedness directly to the Agreed-Upon Indebtedness Lender, and further agrees to take
such actions, and execute such instruments as may be necessary to authorize the Agreed-Upon Indebtedness Lender to accept
such payments and apply such payments to the prepayment of the Agreed-Upon Indebtedness. Landlord reserves the right to make
other payments of principal as it in its sole discretion may determine from time to time, and Tenant agrees not to enter into
any loan agreement or document with respect to the Agreed-Upon Indebtedness that restricts or conditions that right, except
as mutually agreed between Landlord and Tenant. If the Agreed-Upon Indebtedness has been paid in full at a time when Landlord
is entitled to receive proceeds from the purchase by Intrawest Development Corp. of parcels of the Real Property pursuant to
the Option Agreement, then all of such proceeds shall be paid directly to Landlord.

 

10.5No
Limitation on Tenant Right to Borrow. Nothing herein shall restrict the right of Tenant to obtain indebtedness
separate from the Agreed-Upon Indebtedness, including without limitation the Permitted Equipment Financing, so long as neither
the Landlord nor the City shall have any liability with respect to such other indebtedness (including the Permitted Equipment
Financing), the payment of interest thereon does not affect Cash Flow for Annual Payment, and except to the extent required in
connection with Permitted Equipment Financing as to certain Tangible Personal Property, such indebtedness is not secured by any
Encumbrance on the Leased Assets (other than such Encumbrance by Tenant of its rights under this Agreement to its lenders).

 

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10.6Rights
of the Agreed-Upon Indebtedness Lender.

 

(a)No
cancellation, surrender, or modification of this Agreement shall be effective as to any Agreed-Upon Indebtedness Lender unless
notice has been provided to said Agreed-Upon Indebtedness Lender at least sixty (60) days prior to the effective date of said cancellation,
surrender, or modification. With respect to any such cancellation or surrender, Agreed-Upon Indebtedness Lender shall have the
rights given to it in this Section. With respect to a modification, such modification shall be effective after said sixty (60)
days notice unless the Agreed-Upon Indebtedness Lender shall provide notice of its objection to Landlord and Tenant before the
expiration of said sixty (60) day period, in which event the modification shall not be effective. It is acknowledged and agreed
by Landlord and Tenant that Tenant shall have the sole obligation to obtain any consents that may be required by an Agreed-Upon
Indebtedness Lender (which consents, at the discretion of such Agreed-Upon Indebtedness Lender, may be given to Landlord and Tenant
in advance as to certain subjects or categories of modifications).

 

(b)Landlord,
upon giving Tenant any notice of an Event of Default or termination of this Agreement, or notice of a matter on which Landlord
may predicate or claim an Event of Default, shall, at the same time, provide a copy of such notice to the Agreed-Upon Indebtedness
Lender. Any notice to be given by Landlord or Tenant to an Agreed-Upon Indebtedness Lender pursuant to any provision of this Section
shall be deemed properly given if done so in accordance with the notice provisions of this Agreement. From and after the date such
notice has been given to the Agreed-Upon Indebtedness Lender and prior to Landlord’s exercise of any rights or remedies
hereunder, such Agreed-Upon Indebtedness Lender shall have the same period, after the giving of such notice, for remedying any
Event of Default or acts or omissions which are the subject matter of such notice or for causing the same to be remedied, as is
provided to Tenant herein, plus, in each instance, the additional periods of time specified below, if any, to remedy, commence
remedying or cause to be remedied the Events of Default or acts or omissions which are the subject matter of such notice. Landlord
shall accept such performance by or at the instigation of such Agreed-Upon Indebtedness Lender as if the same had been done by
Tenant. Tenant hereby authorizes the Agreed-Upon Indebtedness Lender to take any such action at such Agreed-Upon Indebtedness Lender’s
option and hereby authorizes entry in the Real Property and access to the Leased Property by the Agreed-Upon Indebtedness Lender
for such purpose.

 

(c)Anything
contained in this Agreement to the contrary notwithstanding, if any Event of Default shall occur which entitles Landlord to terminate
this Agreement, Landlord shall have the right to terminate this Agreement only if Landlord shall notify the Agreed-Upon Indebtedness
Lender of Landlord’s intent to so terminate at least sixty (60) days in advance of the proposed effective date of such termination,
provided, however, that the provisions of subparagraph (d) below shall apply if, during such 60-day termination notice period the
Agreed-Upon Indebtedness, Lender shall;

 

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(i)Notify
Landlord of such Agreed-Upon Indebtedness Lender’s desire to cure such Event of Default;

 

(ii)Make
or cause to be made to Landlord all Rental Payments and other payments then due and in arrears and which may become due during
such 60-day period; and

 

(iii)Comply
or in good faith, with reasonable diligence and continuity, commence to comply with all nonmonetary requirements of this Agreement
then the subject of an Event of Default and reasonably susceptible of being complied with by such Agreed-Upon Indebtedness Lender.

 

(d)If
Landlord elects to terminate this Agreement by reason of any Event of Default of Tenant, and if an Agreed-Upon Indebtedness Lender
shall have proceeded in the manner provided for by subparagraph (c) above, the specified date for the termination of this Agreement
as fixed by Landlord in its termination notice shall be extended to a period of time as may be required for the Agreed-Upon Indebtedness
Lender, proceeding with reasonable diligence, to complete the acquisition or sale of Tenant’s interest in this Agreement
by foreclosure or other appropriate means plus an additional sixty (60) days, provided that such Agreed-Upon Indebtedness Lender
shall, during such period:

 

(i)Make
or cause to be made the Rental Payments and other monetary obligations of Tenant under this Agreement as the same become due, and
continue its good faith efforts to perform all of Tenant’s other obligations under this Agreement;

 

(ii)If
not enjoined or stayed, take steps to acquire or sell Tenant’s interest in this Agreement by foreclosure or other appropriate
means and procedures which shall be completed with due diligence; and

 

(iii)In
good faith and with due diligence, and subject to any requirements or conditions of the Forest Service Permits, use its best efforts
to maintain the continued operations of the Winter Park Resort by application for a receiver (and Landlord hereby consents to the
appointment of a receiver), agreement with Tenant or other legal means.

 

(e)If
at the end of such period described above in subparagraph (d) such Agreed-Upon Indebtedness Lender is complying with the foregoing
requirements, this Agreement shall not then terminate, and the time for completion by such Agreed-Upon Indebtedness Lender of its
foreclosure or other proceedings shall continue so long as such Agreed-Upon Indebtedness Lender is enjoined or stayed and thereafter
for so long as such Agreed-Upon Indebtedness Lender proceeds to complete steps to acquire or sell Tenant’s interest in this
Agreement by foreclosure or by other appropriate means with diligence and continuity, provided the Agreed-Upon Indebtedness Lender
continues to comply with subparagraph (d) above. Nothing in this subparagraph, however, shall be construed to extend this Agreement
beyond the Term nor to require an Agreed-Upon Indebtedness Lender to continue such foreclosure proceedings after any Event of Default
has been cured.

 

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(f)If
an Agreed-Upon Indebtedness Lender is complying with all of the terms of the Agreement, upon the acquisition of Tenant’s
estate herein by such Agreed-Upon Indebtedness Lender or its designee or any other purchaser at a foreclosure sale or otherwise,
this Agreement shall continue in full force and effect as if Tenant had not defaulted under this Agreement.

 

(g)The
Agreed-Upon Indebtedness Lender, as such, shall not be required to assume the performance of any of the terms, covenants, or conditions
on the part of Tenant to be performed hereunder; but the Agreed-Upon Indebtedness Lender upon foreclosure or any purchaser at any
sale of this Agreement and of the leasehold estate hereby created in any proceedings for the foreclosure of any security interest
in the Tenant’s rights under this Agreement, or the assignee or transferee of this Agreement and of the leasehold estate
hereby created under any instrument of assignment or transfer in lieu of the foreclosure shall be deemed to have agreed to perform
all of the terms, covenants, and conditions on the part of Tenant to be performed hereunder accruing from and after the date of
such foreclosure, purchase and assignment, but only for so long as such purchaser or assignee is the holder of the leasehold estate.

 

(h)Any
Agreed-Upon Indebtedness Lender or other acquirer of the leasehold estate of Tenant pursuant to foreclosure, assignment in lieu
of foreclosure, or other proceedings may, upon acquiring Tenant’s leasehold estate, sell and assign the leasehold estate
to such Persons as qualified assignees as provided in this Agreement. Upon any such sale and assignment by the Agreed-Upon Indebtedness
Lender, such Agreed-Upon Indebtedness Lender shall be released from all liability under this Lease thereafter arising. Notwithstanding
the terms of Section 16.1 of this Agreement, Landlord shall not unreasonably withhold or delay its consent to a proposed assignee,
sublessee or transferee from the Agreed-Upon Indebtedness Lender or pursuant to a foreclosure of the Agreed-Upon Indebtedness
so long as the proposed assignee, sublessee or transferee:

 

(i)Has,
in the reasonable judgment of Landlord, the financial capacity and access to capital markets necessary to operate, maintain, develop
and add to the Leased Assets being assigned, sublet or transferred in the manner and consistent with the standards set forth in
this Agreement;

 

(ii)Is
not “insolvent” within the meaning of the Colorado Uniform Commercial Code, and provides a certificate from its chief
financial officer to the Landlord stating that such Person is not insolvent under the meaning of the federal bankruptcy law;

 

(iii)Has,
in the reasonable judgment of Landlord, both adequate resort and real estate development experience, in operating, maintaining
and developing regional and destination ski resorts, provided, however, that if circumstances have changed at the time of the proposed
assignment, sublease or transfer such that skiing is not the predominant amenity at the Winter Park Resort, then the core business
of the proposed assignee, sublessee or transferee shall be relevant to the predominant resort activity or activities then existing
at the Winter Park Resort; and

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(iv)Has
a good business and moral reputation as determined by the Landlord in its reasonable and informed judgment.

 

(i)Nothing
contained in this Section 10.6
shall require any Agreed-Upon Indebtedness Lender, as a condition to its exercise of any of its rights hereunder, to cure
any Event of Default of Tenant not reasonably susceptible of being cured, including without limitation, an assignment for the
benefit of creditors by Tenant, the failure by Tenant to discharge a judgment or attachment, or the appointment of a receiver
or trustee for Tenant or its assets, in order to comply with the provisions hereof. If this Agreement is deemed terminated by
operation of law in connection with such an Event of Default, then Landlord agrees that with respect to an Agreed-Upon Indebtedness
Lender this Agreement shall nevertheless be deemed to have continued in full force and effect on the same terms and conditions
as set forth in this Agreement for the remainder of the Lease Term, and Landlord agrees to enter into a new Lease with such Agreed-Upon
Indebtedness Lender or its assignee, subject to Agreed-Upon Indebtedness Lender fulfilling the requirements of this Section 10.6.
Landlord and Tenant each acknowledges that Events of Default not reasonably susceptible of being cured by an Agreed-Upon Indebtedness
Lender shall include but not be limited to (i) any assignment or attempted assignment by Tenant in violation of this Lease; (ii)
any Event of Default which relates uniquely and specifically to Tenant as an entity (e.g.,
any dissolution or bankruptcy of Tenant); and (iii) any of the Events of Default specified in Sections 15.1 (d) through
(k) and (n).

 

(j)If the Agreed-Upon Indebtedness
Lender shall foreclose upon the Tenant’s interest in this Agreement or assumes the Agreement in lieu of foreclosure, the
acquiring party shall be bound by the terms and conditions of this Agreement, and in the exercise of any of its remedies will have
no greater rights than Tenant except as otherwise expressly provided in this Article X. Notwithstanding any contrary or inconsistent
provision of this Agreement, if any Third Party Lender succeeds to Tenant’s estate, rights, title and interest under this
Agreement, by a foreclosure, a conveyance or assignment in lieu of foreclosure, or otherwise, such Third Party Lender (but no other
Person, such as a purchaser at any foreclosure sale or any Person succeeding to Tenant’s estate, rights, title and interest
by any conveyance or assignment by such Third Party Lender) shall be relieved of, and have no obligation to pay or perform, Tenant’s
obligations set forth in Section 5.3(b) of this Lease (but such Third Party Lender shall perform Tenant’s obligations set
forth in Section 5.3(b) to the extent that there is sufficient Cash Flow for Annual Payment after payment of any Required Quarterly
Payments) and 5.3(c) of this Lease. Any Person succeeding to the right, title and interest of Tenant by a conveyance or assignment
by any Agreed-Upon Indebtedness Lender shall be bound by, and shall pay and perform, all of Tenant’s obligations under said
Sections 5.3(b) (with such obligations accruing to the extent there is not sufficient Cash Flow for Annual Payment after payment
of any Required Quarterly Payments during the time such Third Party Lender holds Tenant’s estate, rights, title and interests
under this Agreement) and 5.3(c), but the deadlines for funding any deficiency in the Required Annual Capital Maintenance Amount
under Section 5.3(b) and for achieving the specified levels of capital expenditures under Section 5.3(c) shall be delayed by a
period equal to the length of time such Third Party Lender held Tenant’s estate, rights, title and interests under this Agreement.

 

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10.7Affiliate
Lenders. An Affiliate Lender may be an Agreed-Upon Indebtedness Lender, and in such event the Affiliate Lender shall
have all of the rights of an Agreed-Upon Indebtedness Lender. At any time that an Affiliate Lender is an Agreed-Upon Indebtedness
Lender, the terms of the Agreed-Upon Indebtedness shall be no more burdensome to Landlord than the terms of any Agreed-Upon Indebtedness
Documents for the benefit of the most senior  Third Party Lender, subject to the following conditions:

 

(a)The
lien  granted by Landlord according to Section 10.3 of this Agreement and any other security for the Agreed-Upon Indebtedness
owed to any Affiliate Lender shall be subordinate to the lien and other security relating to any Agreed-Upon Indebtedness
owed to any Third Party Lender.

 

(b)The
Agreed-Upon Indebtedness Documents with respect to Agreed-Upon Indebtedness owed to an Affiliate Lender shall provide that, after
(i) a default in the payment or performance of any then outstanding obligations owed to Landlord by Tenant, Intrawest Development
Corp., Intrawest Holdings, Intrawest Corporation, or any of their affiliates, (ii) notice to the defaulting party describing the
nature of such default, and (iii) the expiration of any period to cure such default provided under the agreements or documents
creating, evidencing or securing such obligations, the Landlord shall have the right to set off a credit against the Agreed-Upon
Indebtedness owed to such Affiliate Lender in an amount equal to any sums past due or otherwise then immediately payable with respect
to any such outstanding obligations owed to Landlord by Tenant, Intrawest Development Corp., Intrawest Holdings, Intrawest Corporation,
or any of their affiliates. Any amount so set off or credited shall be applied first to any costs and charges of enforcing Landlord’s
rights and remedies, then to accrued interest, and last to principal.

 

(c)Any
Agreed-Upon Indebtedness owed to an Affiliate Lender, if not refinanced at an earlier date with Agreed-Upon Indebtedness advanced
by a Third Party Lender, shall be due and payable at the earlier of (i) immediately upon the ordinary expiration of the Term of
this Agreement, as the same may be extended, or (ii) one (1) year after the date of any early termination of this Agreement.

 

(d)If,
at the time an Affiliate Lender advances any Agreed-Upon Indebtedness, Landlord owes no Agreed-Upon Indebtedness to any Third Party
Lender, the Agreed-Upon Indebtedness Documents relating to the Agreed-Upon Indebtedness owed to such Affiliate Lender shall be
in substance the same as the First Loan Documents, except that (i) the lien of such Affiliate Lender shall not in any event be
in the form of an instrument containing a power of sale, and (ii) the rate of interest in effect under such Agreed-Upon Indebtedness
Documents (at all times other than after an Event of Default or after maturity) shall be equal to the average cost (expressed as
a percentage) of all funds borrowed by Intrawest Corporation (or its permitted successor and assign) at the time of such advance.

 

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10.8Permitted
Equipment Financing.

 

(a)From
time to time during the Term, Tenant may incur Permitted Equipment Financing in conjunction with financing the acquisition, repair,
improvement or replacement of specific items of Tangible Personal Property other than Lifts and components of Lifts. The maximum
principal amount of such Permitted Equipment Financing at any given time may not exceed, in the aggregate, $1,000,000, multiplied
by the PPI Escalation. To the extent Permitted Equipment Financing is used to acquire, repair, improve or replace specific items
of Tangible Personal Property, Tenant shall be permitted to retain ownership of and encumber such items of Tangible Personal Property.
Upon expiration of the term and payment in full of the Permitted Equipment Financing, Tenant shall convey any such Tangible Personal
Property free and clear of all Encumbrances to Landlord, and Landlord shall lease such Tangible Personal Property to Tenant as
Additional Leased Assets.

 

(b)In
negotiating the terms of any Permitted Equipment Financing, Intrawest shall ensure that pursuant to its terms, any Permitted Equipment
Financing shall be due and payable by Intrawest prior to or immediately upon expiration or earlier termination of this Agreement.

 

(c)Any
contrary or inconsistent provision of this Agreement notwithstanding, Tenant may lease assets (other than (i) Lifts, (ii) related
equipment such as motors, chairs and cable, and (iii) improvements on National Forest System Lands if the leasing of such improvements
is prohibited by the Forest Service Permits) from third parties under a true operating lease under GAAP, and may hold the lessee’s
interest, and exercise the lessee’s rights, under any such leases during the Term. Upon the expiration or earlier termination
of this Agreement, Tenant shall assign to Landlord any rights, title and interests held by Tenant under any such leases remaining
unexpired or undetermined at that time if requested by Landlord.

 

(d)Neither
Landlord nor the City shall have any liability whatsoever with respect to any Permitted Equipment Financing or any true operating
leases in the name of Tenant, unless Landlord shall elect to assume the same upon termination of this Agreement. 

 

(e)Landlord
shall execute, have acknowledged, and deliver to Tenant at Tenant’s expense from time to time any certificates, documents
and instruments reasonably requested by Tenant for the purpose of evidencing or confirming Landlord’s agreements and obligations
under this Section 10.8. Landlord shall also execute, have acknowledged, and deliver any waivers, consents, acknowledgements and
grants of  access reasonably requested by the lessor under the lease of any Tangible Personal Property or Intangible Personal
Property or any lender providing Permitted Equipment Financing for the limited purpose of permitting any such lessor or lender
to enter upon the Leased Assets, to take possession of its leased property or the collateral for any such Permitted Equipment Financing
or otherwise to exercise its rights and remedies under any such lease or the documentation evidencing or securing such Permitted
Equipment Financing, and Landlord shall not charge any such lessor or lender (or Tenant) a rental or other fee for such waivers,
consents, acknowledgements or grants.

 

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ARTICLE
XI

 

NATIONAL
FOREST SYSTEM LANDS OPERATING AGREEMENT

 

11.1Maintenance
of National Forest Service Permits

 

(a)Landlord
is the current permittee under the Forest Service Permits. Concurrently herewith, Landlord and Tenant are going through the process
of requesting that the United States approve the Tenant as the controlling operator (pursuant to 32 CFR 251.55(a)) of the improvements
on the National Forest System Lands.

 

(b)Landlord
and Tenant agree that during the term of the Forest Service Permits, as they may be extended or reissued from time to time, Tenant shall be maintained as the controlling operator of the
National Forest System Lands to the maximum extent permitted by the United States applicable rules, regulations and policies.
Tenant shall not cause to be made any expansion, contraction or other modification to the boundaries covered by the Forest Service
Permits without the prior approval of Landlord, which approval shall be in its sole and absolute discretion. During the term of
the Forest Service Permits, Landlord and Tenant agree to execute and deliver from time to time all other appropriate agreements
and other instruments, and take any other actions not inconsistent with this Agreement as may be necessary to comply with the
foregoing.

 

(c)Landlord
and Tenant agree that they shall cooperate in requesting that any Forest Service Permits in effect upon expiration of the Term
shall be reissued in the name of Landlord, or such other name as Landlord shall designate consistent with U.S. Department of Agriculture,
Forest Service applicable rules, regulations and policies.

 

(d)Landlord
and Tenant acknowledge that the Forest Service Permits do not convey an interest in land or establish a leasehold interest in National
Forest System Lands.

 

11.2
Obligations With Respect
to Forest Service Permits. Tenant shall take any and all actions necessary to maintain the Forest Service Permits
in full force and effect in all respects, including without limitation compliance with their conditions and the payment of all
applicable fees and charges. Tenant shall take all actions necessary to cause all renewals of the Forest Service Permits to be
made when necessary. Nothing contained in this Agreement shall be construed to relieve Landlord from any obligations it may have
to the United States through the Forest Service Permits or United States applicable rules, regulations and policies.

 

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11.3Term.
Notwithstanding the Term of the Lease, the term of the operating agreements contained in this Agreement with respect to the operation
of the improvements to be conducted on National Forest System Lands shall not extend beyond the term of the Forest Service Permits,
as they may be extended or reissued from time to time. Tenant shall make such applications and renewals and otherwise use its best
efforts to continue the term of the Forest Service Permits at least to the Term of the Lease, and Landlord shall cooperate as may
be required by U.S. Department of Agriculture, Forest Service applicable rules, regulations and policies. Nothing in this Lease
shall be construed to obligate the United States in any way beyond the term of the Forest Service Permits existing from time to
time.

 

11.4Additional
Obligations of Tenant to the United States. As the controlling party in possession and operator of the improvements
on the National Forest System Lands:

 

(a)Tenant
shall include the United States as an additional named insured under the insurance policies it is required to maintain under the
Lease;

 

(b)With
respect to the National Forest System Lands, Tenant shall indemnify the United States, for any and all injury, loss or damage,
including fire suppression costs, the United States may suffer as a result of claims, demands, losses, or judgments caused by Tenant’s
use or occupancy;

 

(c)Tenant
acknowledges and agrees that, notwithstanding provisions of the Lease to the contrary, the Forest Service Permits and consents
given pursuant thereto, are not assignable and may not be transferred except pursuant to U.S. Department of Agriculture, Forest
Service applicable rules, regulations and policies.

 

11.5Forest
Service Master Plan. Underlying the Forest Service Permits is the Forest Service Master Plan. Tenant agrees that
all Resort Operations shall at all times be conducted in conformance with the Forest Service Master Plan and that no expansion,
contraction or other modification shall be made to the boundaries covered by the Forest Service Master Plan without the prior approval
of Landlord and of the United States, which approvals shall be in their sole and absolute discretion. Tenant shall have the right
to facilitate changes to the Forest Service Master Plan consented to by the United States without the consent or approval of Landlord,
if such changes do not include the expansion, contraction or other modification to the boundaries covered by the Forest Service
Permits. Furthermore, Tenant agrees that it shall have the obligation to propose revisions, updates or replacements of the Forest
Service Master Plan as required by the United States applicable rules, regulations and policies and when required in accordance
with Tenant’s planning for the development of the Winter Park Resort. Subject to the requirement that no expansion, contraction
or other modification be made to the boundaries covered by the Forest Service Master Plan without the prior discretionary approval
of Landlord and the United States, upon the request and at the expense of Tenant, Landlord shall cooperate in a reasonable manner
with respect to other changes proposed by Tenant to the Forest Service Permits and in connection with Tenant’s revising,
updating or replacing the Forest Service Master Plan. Tenant shall promptly deliver to Landlord a copy of all changes made to the
Forest Service Master Plan.

 

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ARTICLE
XII 

 

CONDITIONS
TO EFFECTIVENESS

 

12.1Conditions.
The effectiveness of this Agreement against any Party shall be subject to the satisfaction or waiver, on or before
December 31, 2002, of the conditions set forth in Section 12.1, and if such conditions are not timely waived or satisfied then
this Agreement shall not become effective and neither Party shall have any rights or obligations hereunder:

 

(a)Execution
and Delivery of Transaction Documents. The execution of all documents and the doing of everything to be done pursuant to the
terms of this Agreement on or before the Effective Date, including without limitation execution and delivery of the Option Agreement,
the Additional Consideration Agreement, the Parent Guaranty, and the agreements assigning or licensing assets and assuming liabilities.

 

(b)Legal
Opinions.

 

(i)Jacobs
Chase Frick Kleinkopf & Kelley, LLC, legal counsel to Tenant, shall have delivered its opinion in form and substance satisfactory
to the Landlord and the City.

 

(ii)Canadian
legal counsel to Tenant shall have delivered its opinion in form and substance satisfactory to Landlord, addressed to the Landlord
and the City, stating that the Parent Guaranty is the valid, binding and enforceable obligation of Intrawest Corporation, enforceable
in accordance with its terms, subject only to standard defenses of a nature as would apply under Colorado law.

 

(iii)Ireland,
Stapleton, Pryor & Pascoe, P.C., legal counsel to the Landlord and the City, shall have delivered its opinion in form and substance
satisfactory to the Tenant and Tenant’s affiliates.

 

(c)Payments.
Tenant shall have delivered to Landlord, by wire transfer or certified check, the initial payment required under Section 5.1(a)
and Intrawest Holdings shall have delivered the initial Required Quarterly Payment required to be paid pursuant to the Additional
Consideration Agreement.

 

(d)Leasehold
Title Policy. Tenant shall have received the Leasehold Title Policy or a written agreement from the Title Company acknowledging
that all requirements for the issuance of the Leasehold Title Policy (other than the payment of the premium) have been satisfied
and committing to issue the Leasehold Title Policy, which Leasehold Title Policy shall include no exceptions to title to the Real
Property that are unacceptable to Tenant in its reasonable judgment.

 

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(e)Evidence
of Corporate Authorization.

 

(i)Landlord
Authorization. Tenant shall have received a copy of resolutions duly adopted by the members (if any) and board of directors
of Landlord authorizing the execution and delivery of this Agreement, the First Loan Documents, the other documents described in
this Section 12.1, and any other related documents by Landlord and the consummation of the transactions herein and therein contemplated
to be consummated by Landlord, duly certified, as of the Effective Date, by the secretary or any assistant secretary of Landlord;
and

 

(ii)Tenant
Authorization. Landlord shall have received a copy of resolutions duly adopted by the board of directors of Tenant authorizing
the execution and delivery of this Agreement by Tenant and the related documents to which Tenant is a party and the consummation
of the transactions herein and therein contemplated to be consummated by Tenant, duly certified, as of the Effective Date, by the
secretary or any assistant secretary of Tenant.

 

(iii)Intrawest
Corporation and Intrawest Holdings Authorizations. Landlord shall have received a copy of resolutions duly adopted by
the board of directors of Intrawest Corporation authorizing the execution and delivery of the Parent Guaranty, duly certified,
as of the Effective Date, by the secretary or any assistant secretary of Intrawest Corporation. Landlord shall have received a
copy of resolutions duly adopted by the board of directors of Intrawest Holdings authorizing the execution and delivery of the
Additional Consideration Agreement, duly certified, as of the Effective Date, by the secretary or any assistant secretary of Intrawest
Holdings.

 

(iv)City
Authorization. The City shall have duly adopted an ordinance approving an agreement between Landlord and the City that
approves the execution by Landlord of this Agreement and the other documents related hereto.

 

(f)Tenant
shall have approved the terms of the First Loan Documents (together with any terms relating to prepayment or refinancing of any
existing indebtedness of Landlord) and Landlord shall have executed, had acknowledged, and delivered to the initial Agreed-Upon
Indebtedness Lender the First Loan Documents, provided that the First Loan Documents are consistent with Article X above.

 

(g)Tenant
shall have received an assignment of any and all rights (including without limitation any rights of first refusal, rights of first
offer, non-compete rights or other rights or options) that Hines Interests Limited Partnership or any of its affiliates may have
with respect to the Leased Assets or the Developable Land (as defined in the Option Agreement), in form and substance satisfactory
to both Landlord and Tenant; and  Landlord shall have consented to such assignment, and Landlord and Tenant shall have agreed
to terminate all such assigned rights and assumed obligations.

 

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(h)The
Forest Service Permits andapprovals thereunder shall be issued by the United States in a manner that is satisfactory to Tenant
and Landlord.

 

(i)No
governmental agency shall have brought or threatened to bring any enforcement, injunctive or other action objecting to the transactions
represented and contemplated by this Agreement and the transactions will not otherwise result in the violation of any Applicable
Law.

 

(j)Landlord and Tenant shall
have received from The Colorado Arlberg Club, a Colorado non-profit corporation, either an amendment or a waiver of any claim that
this Agreement or the actions contemplated hereby cause a default under the terms of that certain Lease dated August 28, 1980,
as amended, between Landlord as lessee and The Colorado Arlberg Club, as lessor, with such amendment or waiver being in form and
substance satisfactoiy to both Landlord and Tenant.

 

(k)Landlord and Tenant shall
haveexecuted a certificate confirming the Effective Date of this Agreement.

 

(1)Landlord and Tenant shall
have obtained all consents, approvals and other assurances as either Party may require so that the consummation of the transactions
contemplated by this Agreement will not (i) result in the breach, termination, cancellation, acceleration or suspension of any
agreement or contract; or (ii) result in the violation, termination, cancellation, suspension or revocation of any license, permit
or consent; in either case resulting in a Material Adverse Effect on Resort Operations or otherwise materially and adversely affecting
the ability for Tenant to perform its obligations under this Agreement.

 

ARTICLE
XIII

 

REPRESENTATIONS
AND WARRANTIES

 

13.1Representations
and Warranties of Tenant. Tenant hereby represents and warrants
to Landlord that on the Effective Date:

 

(a)Organization.
Tenant is a corporation duly organized, validly existing and in good standing under the laws of the state of its formation.

 

(b)Authorization.
This Agreement has been duly authorized, executed and delivered by Tenant and constitutes a valid, legal and binding agreement,
enforceable against Tenant in accordance with its terms, except to the extent that the enforcement of remedies herein provided
may be limited under applicable bankruptcy and insolvency laws, public policy and equitable principles.

 

(c)Approvals
and Consents. No approval, consent or withholding of objections is required from any Governmental Authority with respect to
the entry into or performance by Tenant of this Agreement, except such as have already been obtained.

 

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(d)No
Violation. Tenant has adequate power and capacity to enter into, and perform its obligations under, this Agreement. The entry
into and performance by Tenant of this Agreement will not: (i) violate any judgment, order, law or regulation applicable to Tenant
or any provision of Tenant’s certificate of incorporation or bylaws; or (ii) except as otherwise disclosed in writing from
Tenant to Landlord, result in any breach of, constitute a default under, or result in the creation of any Encumbrance upon any
Leased Asset pursuant to, any indenture, mortgage, deed of trust, bank loan or credit agreement or other contract, agreement or
instrument (other than this Agreement) to which Tenant is a party.

(e)No
Suits or Proceedings. There are no suits or proceedings pending or, to the knowledge of Tenant (except as Tenant has disclosed
in writing to Landlord), threatened in court or before any commission, board or other administrative agency against or affecting
Tenant, which will have a Material Adverse Effect.

 

13.2Representations
and Warranties of Landlord. For purposes of this Section 13.2, the phrase “to the best knowledge of Landlord”
means only the actual conscious knowledge of Landlord’s President and CEO, Vice President of Operations, Vice President of
Administration, Vice President of Finance, Vice President of Marketing, and Vice President, General Counsel, provided, however,
that the individuals who hold such positions shall not be held personally liable for any errors or omissions they may make other
than by fraud or willful misconduct. The contents of Exhibits
mentioned in this Section 13.2 may be modified on or prior to the Effective Date with the mutual consent of the Parties. Landlord
hereby represents and warrants to Tenant that on the Effective Date:

 

(a)Organization.
Landlord is a non-profit corporation duly organized, validly existing and in good standing under the laws of the state of its formation.

 

(b)Authorization.
This Agreement has been duly authorized, executed and delivered by Landlord and constitutes a valid, legal and binding agreement,
enforceable against Landlord in accordance with its terms, except to the extent that the enforcement of remedies herein provided
may be limited under applicable bankruptcy and insolvency laws, public policy and equitable principles.

 

(c)Approvals
and Consents. No approval, consent or withholdings of objections is required from any Governmental Authority with respect to
the entry into or performance by Landlord of this Agreement, except such as have already been obtained.

 

(d)No
Violation. Landlord has adequate power and capacity to enter into, and perform its obligations under, this Agreement. The entry
into and performance by Landlord of this Agreement will not: (i) violate any judgment, order, law or regulation applicable to Landlord
or any provision of Landlord’s articles of incorporation or bylaws; or (ii) result in any breach of, constitute a default
under, or result in the creation of, any Encumbrance upon any Leased Asset pursuant to any indenture, mortgage, deed of trust,
bank loan or credit agreement or other contract, agreement or instrument (other than this Agreement) to which Landlord is a party.

 

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(e)Leasehold
Interests. Exhibit
S lists by title, date, parties and premises all leases for real property by which Landlord leases any real property from third
parties.

 

(f)Tangible
Personal Property. Exhibit
U lists by title, date, parties and equipment all material leases (including conditional sales contracts) for motor vehicles, machines,
machinery, Lifts, tows, snow grooming equipment, snowmaking equipment, component parts thereof, furniture, fixtures, equipment
and all other items of Tangible Personal Property by which Landlord leases (as lessee) any such tangible personal property from
third parties. Exhibit
J lists all of the material Tangible Personal Property to which Landlord holds title.

 

(g)Intellectual
Property. Exhibit
V lists all of the Intellectual Property as of the date of this Agreement, owned or licensed by Landlord.

 

(h)Intangible
Personal Property - Material Permits and Licenses. To the best knowledge of Landlord, Exhibit
W lists all of the existing licenses, permits, consents, registrations and filings which, if not obtained, held or
made would have a Material Adverse Effect on the Resort Operations or that are necessary for the execution or performance by Tenant
of its obligations under this Agreement, including without limitation, the Forest Service Permits, special use permits, tramway
registrations, child care licenses, liquor licenses, water permits, underground storage tank registrations, other environmental
permits, and FCC permits.

 

(i)Intangible
Personal Property - Material Agreements. Exhibit
X lists all of the notes, guarantees, contracts and other agreements involving a present or future liability of at
least ten thousand dollars ($10,000) to which Landlord is a party by title, date, and parties. To the best knowledge of Landlord,
there are no other contracts (written or oral) involving a present or future liability of at least ten thousand dollars ($10,000)
concerning the operation of Winter Park Resort that are not identified on Exhibit
X. Exhibit
T lists by title, date, parties and premises all leases for real property by which Landlord leases any real property to third
parties.

 

(j) No Undisclosed Litigation
or Arbitration. Except as set forth in a separate written disclosure previously delivered by Landlord to Tenant, there is no
action, arbitration, claim, dispute, suit, inquiry, proceeding or investigation by or before any court, governmental agency or
commission, or arbitration panel pending or, to Landlord’s knowledge as of the date of this Agreement, threatened (except
as set forth in incident reports maintained by Landlord in the ordinary course of business to which Tenant has been given access
by Landlord), against Landlord. Landlord is not subject to any judgment, order or decree entered in any lawsuit or proceeding that
has not yet been satisfied or which is a continuing obligation of Landlord.

 

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(k) Compliance with Law.
Landlord has not received written notice and, to the best knowledge of Landlord, there has been no assertion of any violation of
law with respect to the Winter Park Resort.

 

(l) Current Assets and Current
Liabilities. Exhibit
Y lists all material Current Assets and all Current Liabilities with respect to the Winter Park Resort as of July 6,
2002.

 

(m) Compliance with
ERISA. All payments to the Pension Benefit Guaranty Corporation with respect to the employee benefit pension plans have
been paid, and, to the best knowledge of Landlord, all Employee Benefit Plans comply in all material respects to the
requirements of ERISA and also are in compliance, in all material respects, with the Internal Revenue Code of 1986, as
amended, and all applicable regulations and rulings thereafter. Each Employee Benefit Plan has been administered in
accordance with the terms of the governing plan documents and has been maintained in all material respects, in form and in
operation, in accordance with Applicable Laws, including the qualification requirements set forth in Section 401(a) of the
Internal Revenue Code, as applicable. With respect to the form of the Pension Plan, Tenant acknowledges that the Pension Plan
is currently under review by the Internal Revenue Service in connection with the plan’s request for a favorable
determination letter and that the Internal Revenue Service may request additional amendments to the Plan as a condition to
the Plan’s qualification. The Landlord has made all required contributions within the time period prescribed by
Applicable Laws to each Employee Benefit Plan. To the best knowledge of the Landlord, there are no claims, either asserted or
unasserted, against any Employee Benefit Plan by either a participant or government authority, or any breaches of any
fiduciary duty or prohibited transactions that could potentially trigger liability on the part of the plan, the plan sponsor
or the plan administrator or disqualify an Employee Benefit Plan, or cause “tax-qualified” benefits under an
Employee Benefit Plan to become taxable.

 

(n) Labor Matters. (i)
There are no union contracts or collective bargaining agreements applicable to any employee of Landlord; (ii) there is no unfair
labor practice complaint against Landlord pending before the National Labor Relations Board; (iii) there is no labor strike, dispute,
slowdown or stoppage actually pending or, to Landlord’s knowledge, threatened, against Landlord; and (iv) there is no current
union representation question pending with respect to the employees of Landlord.

 

(o)Environmental Matters.

 

(i)Landlord
has not received any written (or, to Landlord’s best knowledge, oral) notice, report or other information from any governmental
agency or any environmental consultant regarding any actual or alleged violation of any Environmental, Health and Safety Requirements,
or any liabilities or potential liabilities (whether accrued, absolute, contingent, unliquidated or otherwise), including any investigatory,
remedial or corrective obligations, relating to any of them or to any of the Leased Assets arising under any Environmental, Health
and Safety Requirements.

 

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(ii)Landlord
has delivered to Tenant true and correct copies of all Phase I Environmental Assessment Reports with respect to the Winter Park
Resort of which it has knowledge.

 

(p)Water Rights.
To the best of its knowledge, Landlord has not abandoned any of its Water Rights. Upon execution of this Agreement, Landlord shall
produce the original stock certificates for the shares it owns in Clinton Ditch, and a notation shall be made on the face of such
shares that they are subject to this Agreement. Landlord shall notify the Clinton Ditch of the leasehold interests of Tenant in
said shares.

 

(q) No Brokers or Finders.
Landlord has not employed any broker or finder or incurred any liability for any brokerage fees, commissions or finders’
fees in connection with the transactions contemplated by this Agreement.

 

(r)No Federal Income
Taxes. All Federal income taxes of Landlord that are due and payable as of the Effective Date have been paid.

 

ARTICLE XIV

 

DAMAGE,
DESTRUCTION OR DEPRIVATION OF USE; EMINENT DOMAIN

 

14.1Damage
or Destruction of the Leased Assets.

 

(a)If
the Improvements shall be destroyed or damaged in whole or in part by fire or other casualty (including any casualty for which
insurance was not obtained or obtainable) of any kind or nature, ordinary or extraordinary, foreseen or unforeseen, Tenant shall
give to Landlord prompt notice thereof. If Tenant does not have the right (because the damage does not constitute Major Damage)
or otherwise elects not to exercise its right to terminate this Agreement pursuant to Section 14.1(b), then Tenant shall promptly
repair, alter, restore, replace and rebuild the same at least to the extent of the value and the character of the Improvements
existing immediately prior to such occurrence, but Tenant shall have no obligation to expend sums in excess of (i) any proceeds
of insurance actually received by Tenant, (ii) if Tenant fails to carry any insurance it is required to carry under Article IX
of this Agreement, the dollar equivalent of the proceeds of insurance that Tenant would have received if it had carried all such
insurance required under said Article IX, (iii) deductibles and co-payment amounts under any insurance policies, (iv) the Required
Annual Capital Maintenance Amount for each Fiscal Year, and (v) the capital expenditures that Tenant is required to make from time
to time under Section 5.3(c) of this Agreement. Landlord shall in no event be called upon to repair, alter, replace, restore, or
rebuild such Improvements, or any portion thereof, nor to pay any of the costs or expenses thereof; provided that any insurance
proceeds paid to Landlord in connection therewith shall be made available by Landlord to Tenant.

 

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(b)In
the event of Major Damage, Tenant may elect to terminate this Lease effective as of the date of such Major Damage by written notice
to Landlord given within ninety (90) days after the date of such Major Damage. The phrase “Major Damage” shall mean
any damage or destruction to the Improvements to the extent that it materially and adversely affects the practical ability for
Tenant to resume operations of the Winter Park Resort on a commercially reasonable basis, taking into account all factors, including
Tenant’s obligations under this Agreement, within three (3) years after the casualty event.

 

14.2
Eminent Domain.
If so much of the Leased Assets shall be taken by right of eminent domain so as to materially and adversely affect the practical
ability of Tenant to operate the Winter Park Resort as a resort area on a commercially reasonable basis, taking into account all
factors, including Tenant’s obligations under this Agreement, then Tenant may elect to terminate this Lease effective as
of the date of such taking by written notice to Landlord given within ninety (90) days after the date of such taking. As used herein,
“taking by right of eminent domain” includes any condemnation or any conveyance in lieu of or under threat of any taking.
If Leased Assets shall be taken by right of eminent domain but not so as to materially and adversely affect the practical ability
of the Winter Park Resort to operate as a resort area on a commercially reasonable basis taking into account all factors, then
the proceeds of such taking shall be paid to Landlord and Tenant, as their interests may appear.

 

14.3Right
to Terminate Due to Inadequate Snowfall. If, either for three (3) consecutive years or for five (5) years in any
consecutive seven (7) year period, Tenant reasonably determines that, inadequate snowfall materially and adversely affects the
practical ability of the Tenant to operate Winter Park Resort on a commercially reasonable basis, and, as a result, Tenant actually
causes Winter Park Resort to be closed for the business of snowsliding for at least sixty (60) days during each such ski season
(which for these purposes shall be deemed to be the period from Thanksgiving Day through Easter Day), then Tenant may elect to
terminate this Agreement by giving written notice to Landlord (which termination shall be effective as of the date of such notice)
within ninety (90) days after the last day of the ski season that gave rise to Tenant’s right to terminate.

 

14.4 Effect
of Termination. In the event of termination of  this Agreement pursuant to Section 14.1, 14.2 or 14.3, in
addition to the provisions of Article XVII of this Agreement, Tenant shall surrender to Landlord the Leased Assets and all
interest therein under this Agreement, and Landlord may re-enter and take possession of the Leased Assets and remove Tenant
therefrom. Tenant shall make all Rental Payments hereunder, duly apportioned as of the date of such termination of this
Agreement, and Landlord and Tenant shall be discharged from all obligations arising hereunder after the date of such
termination. In the event of any such termination, any awards, compensation or insurance payments on account of such damage,
destruction, deprivation of use or condemnation shall be assigned by Tenant to Landlord. Landlord and Tenant agree to take
such actions and execute such documents as are reasonably necessary in the event of termination of this Agreement pursuant to
Section 14.1,14.2 or 14.3.

 

14.5
No Abatem ent
if Lease Is Not Terminated. In the event of any damage, destruction, deprivation of use or taking that does not
result in the termination of this Agreement pursuant to Section 14.1, 14.2 or 14.3, there shall be no reduction, change or abatement
of any payment payable by or on the part of Tenant hereunder or in the method of computing, accounting for, or 
paying the same, and in no event shall there be any reduction, change or abatement of any payment hereunder on the
condition that all proceeds of any insurance or any condemnation proceeds pertaining to such damage, destruction, deprivation
of use or taking shall be paid to or for the account of Tenant.

 

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ARTICLE
XV 

 

DEFAULT
AND REMEDIES

 

15.1Default
by Tenant. The occurrence or existence of any one or more of the following events or circumstances shall constitute
an Event of Default hereunder by Tenant and, subject to the provisions hereof and the rights of an Agreed-Upon Indebtedness Lender,
shall give rise to the right of Landlord, by notice to Tenant, to exercise its remedies in accordance with Section 15.2:

 

(a)Tenant
fails to pay when due any Required Interest Payments, and from and after October 1, 2012, any Required Quarterly Payments or,
from and after September 30, 2013, any Revenue-Based Annual Payment, and does not cure such failure within five (5) business
days after Landlord shall have given to Tenant written notice specifying such failure;

 

(b)Tenant
fails in any material respect to perform or observe any of the material covenants or conditions to be performed or observed by
Tenant under this Agreement or any of the related documents hereto so as to have a Material Adverse Effect on Landlord, and Tenant
does not cure such failure within thirty (30) days after Landlord shall have given to Tenant written notice specifying such failure
(or within such period, if any, as may be reasonably required to cure such failure if it is of such nature that it cannot be cured
within such period, on the condition that Tenant commences to cure such default within such period and proceeds with reasonable
diligence thereafter to cure such default fully);

 

(c)Intrawest
Development Corp. or its successor or assignee is in default of the Option Agreement and all opportunities to cure the same have
expired by the terms of such agreement;

 

(d)Tenant
shall become insolvent (as such term is defined under Section 101 of the Federal Bankruptcy Code, 11 U.S.C. 101
et seq.
(the “Federal Bankruptcy Code”), or any successor statute thereto); or shall fail to pay its debts generally as
they mature; or shall seek the benefit of any present or future federal or state insolvency statute; or shall make a general
assignment for the benefit of creditors, or file a voluntary petition in bankruptcy or a petition or answer seeking an arrangement
of its indebtedness under the Federal Bankruptcy Code or under any other law or statute of the United States or of any state thereof,
or consent to the appointment of a receiver, trustee, custodian, liquidator or other similar official, of all or substantially
all of its property; or an order for relief shall be entered by or against Tenant under any chapter of the Federal Bankruptcy Code
and shall not be dismissed or stayed within sixty (60) days after the entering of the order of appointment of receiver or trustee;

 

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(e)By
order or decree of a court, Tenant shall be adjudged a debtor or bankrupt, or an order shall be made approving a petition filed
by any of its creditors or by any of its stockholders, seeking its reorganization or the readjustment of its indebtedness under
the Federal Bankruptcy Code or under any other law or statute of the United States or any state, and such adjudication, order or
decree shall not be stayed or vacated within sixty (60) days of its issuance;

 

(f)A
petition under any chapter of the Federal Bankruptcy Code or an action under any federal or state insolvency law or statute shall
be filed against Tenant and shall not be dismissed or stayed within sixty (60) days after the filing thereof;

 

(g)By
or pursuant to, or under authority of any legislative act, resolution or rule, or any order or decree of any court or governmental
board, agency or officer, a receiver, trustee, custodian, liquidator or other similar official shall take possession or control
of the Leased Assets or all or substantially all of the property of Tenant, and such possession or control shall continue in effect
for a period of sixty (60) days;

 

(h)Except
in conjunction with a permitted assignment pursuant to Section 16.2,Tenant
shall become a Person in legal dissolution, liquidation or otherwise in termination;

 

(i)Except
in conjunction with a permitted assignment pursuant to Section 16.2, the
leasehold, license or other interest of or rights of Tenant hereunder shall be transferred to, pass to, or devolve upon, by
operation of law or otherwise, any other person, firm, corporation or other entity, by, in connection with, or as a result
of, any bankruptcy, insolvency, trusteeship, liquidation or other proceeding or occurrence;

 

(j)Except in conjunction
with a permitted assignment pursuant to Section 16.2,Tenant shall become
a merged corporation in a merger or a constituent corporation in a consolidation subsequent to which the surviving corporation
does not comply with the requirements of an approved assignee or otherwise transfers its interest under this Agreement without
the prior written consent of the Landlord if such consent is required;

 

(k)Intrawest Corporation,
Tenant or any of Tenant’s subsidiaries, or any of their respective executive officers and directors, shall be or have been
convicted of a felony or misdemeanor, in either case which involves dishonesty, misrepresentation, fraud, deceit, misappropriation
or theft, and any such Person shall not have been removed from his position within ninety (90) days after Tenant or Intrawest Corporation
has actual knowledge of the fact of such conviction;

 

(1)Tenant knowingly permits
any Person to use for any illegal purpose any portion of the Leased Assets;

 

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(m) Unless otherwise contemplated
in this Agreement because of casualty or condemnation or lack of snowfall, Tenant shall cease to occupy or use a material portion
of the Leased Assets, or shall otherwise cease to operate with Winter Park Resort as a resort as contemplated by this Agreement,
for a continuous period of six (6)
consecutive months or longer or for eight (8)
months in any consecutive twelve (12)
month period; or

 

(n) Any representation or warranty
of Tenant contained in this Agreement was false or incorrect in any material respect as of the date of such representation or warranty
so as to have a Material Adverse Effect on Landlord.

 

15.2Remedies
of Landlord. If Tenant shall default under this Agreement as set forth in Section 15.1 above, Landlord shall have
the following rights and remedies, in addition to all other rights and remedies at law or equity, and none of the following, regardless
of whether exercised by Landlord, shall preclude the exercise of any other right or remedy whether herein set forth or existing
at law or equity:

 

(a)Landlord
shall have the right to terminate this Agreement by giving Tenant notice in writing at any time. No act by or on behalf of Landlord,
such as entry onto, or repossession of, the Leased Assets by Landlord to perform maintenance and repairs and efforts to relet the
Leased Assets, other than giving Tenant written notice of termination, shall terminate this Agreement. If Landlord gives such notice
of termination, this Agreement and the Term hereof as well as the right, title and interest of Tenant under this Agreement shall
wholly cease and expire in the same manner and with the same force and effect on the date specified in such notice as if such date
were the expiration date of the Term without the necessity of re-entry or any other act on Landlord’s part (provided, however,
Landlord may elect to exclude Tenant from the Leased Assets and enter into or repossess the Leased Assets, in all manner and methods
allowable by law without liability by reason of such exclusion, entry or repossession), and without discharging any of Tenant’s
obligations under this Agreement.

 

(b)In
any calculation of actual damages payable to Landlord that is determined, in whole or in part, on the present value of future
net Rental Payments, then, notwithstanding the fact that Rental Payments after the tenth Fiscal Year are based on a formula,
Tenant and Landlord stipulate that in determining the present value of such future net Rental Payments, the parties shall
make the conclusive presumption that Gross Revenue and Cash Flow for Annual Payment for the remaining Term would have been
the same as the average of Gross Revenue and the average of Cash Flow for Annual Payment for the most recent five (5) Fiscal
Years prior to the Event of Default, in each case annually increased over the balance of the Term at a reasonable rate of
inflation, with the aggregate result discounted to a present value using a reasonable discount rate. Tenant shall be entitled
to a reduction in the actual damages determined according to the foregoing provisions of this paragraph, which reduction
shall be equal to the present value of any rent and other sums that Landlord can be reasonably expected to receive upon
reletting the Leased Assets, whether or not Landlord actually attempts to relet the Leased Assets. Notwithstanding that
Landlord shall have no obligation to relet the Leased Assets, Landlord shall otherwise be required to mitigate damages
arising out of any Event of Default. If any law shall limit the amount of such damages to less than the amount agreed to
herein, Landlord shall be entitled to the maximum amount allowable under such law. Nothing herein shall be construed to
affect or prejudice Landlord’s right to prove, and claim in full, that unpaid rent accrued prior to termination of this
Agreement.

 

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(c)Landlord
may, without demand or notice, re-enter and take possession of the Leased Assets or any part thereof, expel Tenant and those claiming
through or under Tenant, and remove the effects of any and all such Persons without being deemed guilty of any manner of trespass,
without prejudice to any remedies for arrears of Rental Payments or preceding breach of covenants and without terminating this
Agreement or otherwise relieving Tenant of any obligation hereunder. Should Landlord elect to re-enter as provided in this paragraph,
or should Landlord take possession pursuant to legal proceedings or pursuant to any notice provided for by law, Landlord may, from
time to time, without terminating this Agreement, relet the Leased Assets or any part thereof for such term or terms and at such
rental or rentals, and upon such other conditions as Landlord may in its absolute discretion deem advisable, with the right to
make alterations and repairs to the Leased Assets. No such re-entry, repossession or reletting of the Leased Assets by Landlord
shall be construed as an election on Landlord’s part to terminate this Agreement unless a written notice of termination is
given to Tenant by Landlord. No such re-entry, repossession or reletting of the Leased Assets shall relieve Tenant of its liability
and obligation under this Agreement, all of which shall survive such 

re-entry, repossession or reletting.

 

(d)If
Tenant shall default in making any payment required to be made by Tenant (other than payments due to Landlord under this Agreement)
or shall default in performing any other obligations of Tenant under this Agreement, Landlord may, but shall not be obligated to,
make such payment or, on behalf of Tenant, expend such sum as may be necessary to perform such obligation. All sums so expended
by Landlord shall be repaid by Tenant to Landlord on demand. No such payment or expenditure by Landlord shall be deemed a waiver
of Tenant’s default, nor shall it affect any other right or remedy of Landlord by reason of such default.

 

(e)From
time to time, take whatever action at law or in equity appears necessary or desirable to collect the Rental Payments and any other
amounts payable by Tenant hereunder then due and thereafter to become due, and to enforce the performance and observance of any
obligation, agreement or covenant of Tenant under this Agreement. Any suit or suits for the recovery of any such deficiency or
damages, or a sum equal to any rent or additional amounts payable hereunder, may be brought by Landlord, from time to time at Landlord’s
election, and nothing herein contained shall be deemed to require Landlord to await the date upon which this Agreement would have
expired by limitation. Any suit brought by Landlord to enforce collection of such difference for any one month shall not prejudice
Landlord’s right to enforce the collection of any difference for any subsequent month. In addition to the foregoing, and
without regard to whether this Agreement has been terminated, Tenant shall pay to Landlord all costs incurred by Landlord, including
reasonable attorneys’ fees, with respect to any successful lawsuit or successful action instituted or taken by Landlord to
enforce any of the provisions of this Agreement. Landlord expressly waives all claims to consequential, exemplary or punitive damages.
Tenant’s liability shall survive the institution of summary proceedings and the issuance of any warrant hereunder.

 

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(f)It
is understood and agreed that, unless specifically waived in this Agreement, the remedies set forth in this Agreement shall be
in addition to all other remedies which are or may be available to Landlord, as the case may be, at law or in equity. All the remedies
herein given to Landlord and all rights and remedies given to Landlord by law shall be cumulative and concurrent. No termination
of this Agreement or the taking or recovering of the Leased Assets shall deprive Landlord of any of its remedies or actions against
Tenant for Rental Payments due for damages or for the breach of any covenant herein, nor shall the bringing of any action for Rental
Payments due or breach of any covenant, or the resorting to any other remedy herein provided for the recovery of Rental Payments
due be construed as a waiver of the right to obtain possession of the Leased Assets.

 

(g)As
used in this Agreement the terms “re-enter,” “re-entry,” “take possession,” “repossess”
and “repossession” are not restricted to their technical legal meanings.

 

15.3Default
by Landlord.

 

(a)The
occurrence or existence of any one or more of the following events or circumstances shall constitute an Event of Default hereunder
by Landlord and, subject to the provisions hereof, shall give rise to the right of Tenant, by notice to Landlord, to exercise its
remedies in accordance with Section 15.4:

 

(i)If
Landlord has breached any representation or warranty contained in this Agreement or any of the documents related hereto so as to
have a Material Adverse Effect upon Tenant; or

 

(ii) If Landlord has breached
any covenant contained in this Agreement or any of the documents related hereto in any material respect so as to  have a Material
Adverse Effect upon Tenant and such breach has continued without cure for a period of thirty (30) days after the notice of breach.

 

(b)The
occurrence or existence of any one or more of the following events or circumstances shall constitute an Event of Default hereunder
by Landlord and, subject to the provisions hereof, shall give rise to the right of Tenant, by notice to Landlord, to terminate
this Agreement, in addition to all other rights that Tenant may exercise in accordance with Section 15.4:

 

(i)Landlord
shall become insolvent (as such term is defined under Section 101 of the Federal Bankruptcy Code, 11
U.S.C. 101 et
seq. (the “Federal Bankruptcy Code”), or any successor statute thereto); or shall fail to pay its debts
generally as they mature; or shall seek the benefit of any present or future federal or state insolvency statute; or shall make
a general assignment for the benefit of creditors, or file a voluntary petition in bankruptcy or a petition or answer seeking an
arrangement of its indebtedness under the Federal Bankruptcy Code or under any other law or statute of the United States or of
any state thereof, or consent to the appointment of a receiver, trustee, custodian, liquidator or other similar official, of all
or substantially all of its property; or an order for relief shall be entered by or against Landlord under any chapter of the Federal
Bankruptcy Code and shall not be dismissed or stayed within sixty (60) days after the entering of the order of appointment of receiver
or trustee;

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(ii)By
order or decree of a court, Landlord shall be adjudged a debtor or bankrupt, or an order shall be made approving a petition filed
by any of its creditors or by any of its stockholders, seeking its reorganization or the readjustment of its indebtedness under
the Federal Bankruptcy Code or under any other law or statute of the United States or any state, and such adjudication, order or
decree shall not be stayed or vacated within sixty (60) days of its issuance;

 

(iii)A
petition under any chapter of the Federal Bankruptcy Code or an action under any federal or state insolvency law or statute shall
be filed against Landlord and shall not be dismissed or stayed within sixty (60) days after the filing thereof; or

 

(iv)By
or pursuant to, or under authority of any legislative act, resolution or rule, or any order or decree of any court or governmental
board, agency or officer, a receiver, trustee, custodian, liquidator or other similar official shall take possession or control
of the Leased Assets or all or substantially all of the property of Landlord, and such possession or control shall continue in
effect for a period of sixty (60) days.

 

15.4Remedies
of Tenant.

 

(a)Upon
an Event of Default under subparagraph (a) of Section 15.3 above that remains uncured by Landlord, then Tenant shall have the right
to seek such remedies as may exist in equity and, in addition, shall have the right to the recovery of such damages as may exist
at law, provided, however, that Tenant expressly waives all claims to consequential, exemplary or punitive damages. In addition
to the foregoing, and without regard to whether this Agreement has been terminated, Landlord shall pay to Tenant all costs incurred
by Tenant, including reasonable attorneys’ fees, with respect to any successful lawsuit or successful action instituted or
taken by Tenant to enforce any of the provisions of this Agreement. Notwithstanding the foregoing, Tenant shall not have the right
to terminate this Agreement upon an Event of Default as described above in subparagraph (a) of Section 15.3, and the obligations
of Tenant under this Agreement shall continue unabated.

 

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(b)Upon
an Event of Default under subparagraph (b) of Section 15.3 above that remains uncured by Landlord, then Tenant shall have the right
to seek such remedies and damages as may exist at law or in equity, provided, however, that Tenant expressly waives all claims
to consequential, exemplary or punitive damages. In addition to the  foregoing, and without regard to whether this Agreement has
been terminated, Landlord shall pay to Tenant all costs incurred by Tenant, including reasonable attorneys’ fees, with respect
to any successful lawsuit or successful action instituted or taken by Tenant to enforce any of the provisions of this Agreement.
Included within the foregoing remedies, Tenant shall have the right to terminate this Agreement upon an Event of Default as described
above in subparagraph (b) of Section 15.3.

 

15.5No
Implied Surrender or Waiver. The failure of Landlord or Tenant to seek redress for the other Party’s default
under, or to insist upon the strict performance of, any covenant or condition of this Agreement shall not prevent a subsequent
act, which would have originally constituted a default by Tenant or Landlord, from having all the force and effect of an original
default by Tenant or Landlord. If it should be necessary or proper for a Party to bring any action under this Agreement or to place
this Agreement with any attorney for the enforcement of any of such Party’s rights hereunder, then the prevailing Party agrees
to pay to the other Party’s reasonable attorneys’ fees and all expenses and court costs. The acceptance by Landlord
of payment for any period or periods after a violation or Event of Default of any of the terms, conditions and covenants of this
Agreement shall not constitute a waiver or diminution of, nor create any limitation upon, any right of Landlord pursuant to this
Agreement to terminate this Agreement for subsequent violation or Event of Default, or for continuation or repetition of the original violation or Event of Default.

 

15.6No
Default Resulting from Certain Failures. This Agreement contains certain references to (a) the desire of
Landlord and Tenant for Winter Park Resort to be economically viable on a stand-alone basis upon expiration of the Term, and
(b) Tenant investing resources to improve (or at least maintain) Winter Park Resort’s competitive position (and
reputation). Those references are statements of the Parties’ desires and intentions (the “Stated
Intentions”). The parties acknowledge that achievement of the Stated Intentions depends on a multitude of factors, some
of which are beyond the control of Tenant. For that reason, the inability or failure of Winter Park Resort to achieve the
Stated Intentions shall not imply that Tenant has failed to act in a manner consistent with sound business practices or high
quality industry standards, and the inability or failure of Winter Park Resort to achieve the Stated Intentions itself shall
not be a basis for deeming Tenant to be in breach or default under this Agreement.

 

15.7Non-Binding
Mediation. In the event of a dispute regarding Tenant’s performance of any non-monetary obligation pursuant
to this Agreement, Landlord and Tenant will submit the dispute to non-binding mediation pursuant to the rules established for such
proceedings by the American Arbitration Association. Both Parties shall include at least one senior-level person with decision-making
authority on their teams. If such non-binding mediation is unsuccessful, then Landlord and Tenant will have all rights and remedies
that are otherwise available to them under this Agreement.

 

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ARTICLE XVI

 

ASSIGNMENT, SUBLETTING AND OTHER TRANSFERS

 

16.1Consent
Required. Except as permitted in Section 16.2 below, Tenant may not voluntarily, by operation of law or otherwise,
without Landlord’s prior written consent:

 

(a)Assign,
convey, mortgage, encumber or otherwise transfer all or any part of its interest under this Agreement;

 

(b)Sublet
or grant a license or concession with respect to all or any part of the Leased Assets in a transaction or series of related transactions
that (i) including options to renew has a term equal to eighty percent (80%) or more of the useful life of the Leased Asset, or
(ii) results in a transfer of title to a material asset for less than fair market value, or (iii) would produce annual gross revenue
of more than five percent (5%) of total annual Gross Revenue;

 

(c)Enter
into any agreement with any third party for the operation or management of all or any part of the Winter Park Resort except pursuant
to a permitted sublease or license or concession; or

 

(d)Permit
any change in the control of Tenant’s business, whether by sale of assets, transfer of stock or other equity interests, merger,
consolidation, spin-off or otherwise.

 

Landlord shall not unreasonably withhold or delay its consent
so long as there is pending no Event of Default or circumstance that with the passage of time or giving of notice would be an Event
of Default, so long as the granting of such consent will not violate the terms of the Forest Service Permits or applicable United
States laws, rules or regulations relating thereto, and so long as the proposed assignee, sublessee or transferee is also an affiliate
of the position of the optionee under the Option Agreement (unless otherwise consented by Landlord in its sole and absolute discretion).
Whether or not it is unreasonable for the Landlord to withhold its consent shall be based on all of the facts and circumstances,
including without limitation the continuing obligations, if any, of Tenant or Intrawest Corporation.

 

16.2When
Consent Is Not Required.

 

(a)Notwithstanding
anything to the contrary contained in Section 16.1 above, Tenant may, without Landlord’s consent so long as there is pending
no Event of Default or circumstance that with the passage of time or giving of notice would be an Event of Default, so long as
the granting of such consent will not violate the terms of the Forest Service Permits or applicable United States laws, rules
or regulations relating thereto, and so long as the proposed assignee, sublessee or transferee is also an affiliate of the optionee
under the Option Agreement (unless otherwise consented by Landlord in its sole and absolute discretion):

 

(i)Assign
all or any portion of its interest under this Agreement;

 

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(ii)Sublet,
license or grant licenses or concessions with respect to all or any portion of the Leased Assets; or

 

(iii)Permit
a change in the control of Tenant’s business;

 

to (A) a Person that owns or controls, is owned or controlled
by, or is under common ownership or control with Tenant, or (B) in conjunction with an amalgamation, consolidation, merger or any
other similar corporate reorganization of Tenant or Intrawest Corporation, including, without limitation, a going private transaction
of Tenant or Intrawest Corporation (but not including as a “similar corporate reorganization” one in which there is
a spin off or split up of a significant part of the business or assets of the Tenant or Intrawest Corporation if following such
spin-off or split-up there has been a change of control). Tenant shall also be permitted without Landlord’s consent, so long
as there is pending no Event of Default or circumstance that with the passage of time or giving of notice would be an Event of
Default and so long as Tenant’s actions will not violate the terms of the Forest Service Permits or applicable United States
laws, rules or regulations relating thereto, to make any collateral assignment of the rights of Tenant under this Agreement to
any lender or lenders of Tenant. As used in this Section 16.2, “ownership” and “control” mean direct or
indirect ownership or control of more than fifty percent (50%) of all outstanding equity interests in a Person.

 

(b)Anything
to the contrary in this Article XVI notwithstanding, if Tenant or Intrawest Corporation is a corporation whose voting shares are
regularly and publicly traded on a recognized stock exchange, a change of control in Tenant’s or Intrawest Corporation’s
business will not require Landlord’s consent as long as the voting shares continue to be so publicly traded, and as long
as Landlord receives reasonably satisfactory assurances that Tenant’s business operations from the Leased Assets will not
be adversely affected following the change of control.

 

(c)The
provisions of Section 16.1 shall be subject to the applicable provisions of Article X of this Lease upon a foreclosure by the Agreed-Upon
Indebtedness Lender of Tenant’s interest in this Lease or a conveyance of such interest in lieu of foreclosure.

 

16.3Tenant
to Furnish Information. All requests for Landlord’s consent to an assignment, subletting or other transfer
under Section 16.1 above shall be in writing and specify in detail reasonably satisfactory to Landlord:

 

(a)The
name, address and telephone number of the proposed assignee, sub-lessee or other transferee and, if it is not an individual, the
names of the Persons that own or control the proposed assignee, sub-lessee or transferee;

 

(b)Details
of the prior business experience of the proposed assignee, sub-lessee or other transferee (including experience in the business
for which the Leased Assets may be operated pursuant to this Agreement) and the specific terms and conditions of the proposed assignment,
subletting or other transfer;

 

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(c)Bank
and other credit references, business reputation references, financial statements and such other information as Landlord may reasonably
require to assess the business and financial responsibility and standing of the proposed assignee, sublessee or other transferee;
and

 

(d)Any
proposed changes to this Lease, the Option Agreement or the Parent Guaranty.

 

16.4No
Consideration. Unless, in connection with any assignment or sublease or any other permitted transfer by
Tenant, there are changes to this Lease, the Option Agreement, the Additional Consideration Agreement, or the Parent Guaranty,
Landlord shall not be entitled to any consideration in connection with any assignment or sublease or any other permitted transfer
by Tenant, provided, however, that Tenant shall be responsible for Landlord’s costs as provided in Section 16.6.

 

16.5Landlord’s
Rights. If Tenant requests Landlord’s consent to an assignment, subletting or other transfer under
Section 16.1 above, Landlord shall, within ninety (90) days after its receipt of such request, notify Tenant in writing that:

 

(a)Landlord
grants its consent; or

 

(b)Landlord
refuses to grant its consent, in which event Landlord shall set forth in detail the reasons (if Landlord’s withholding of
consent is required by the terms of this Agreement to be reasonable) Landlord refuses to grant its consent.

 

16.6Tenant
Pays All Costs. Landlord’s consent to an assignment, subletting or other transfer under Section 16.1
above shall be subject to the requirement that all costs incurred in connection therewith and in connection with processing
the application for consent (including any credit reports, and preparation  and negotiation of any documentation) shall be
paid by Tenant within thirty (30) days after invoicing by Landlord with reasonable detail of the costs incurred (whether or
not Landlord consents to the proposed assignment, sublease or transfer), if it is within the right of Landlord to withhold
consent).

 

16.7Continuing
Tenant Liability. Notwithstanding any assignment, conveyance, pledge, mortgage, sublease or any other transfer
of the Leased Assets or any rights hereunder, Tenant shall remain fully liable for the payment of all amounts due hereunder and
fully responsible for all liabilities hereunder and for the performance of all of its other obligations hereunder, unless Tenant
is expressly released therefrom pursuant to the terms of the approved assignment, conveyance, pledge, mortgage, sublease or any
other transfer of the Leased Assets or any rights hereunder. The provisions of Section 16.7 shall be subject to the applicable
provisions of Article X of this Lease upon a foreclosure by the Agreed-Upon Indebtedness Lender of Tenant’s interest in
this Lease or a conveyance of such interest in lieu of foreclosure.

 

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ARTICLE XVII

 

TERMINATION
EVENTS

 

17.1Termination
Events. Immediately upon termination of this Agreement for any reason, whether upon the normal expiration
of the Term or early termination as permitted by the terms of this Agreement by Landlord or Tenant, the following events shall
occur (provided, however, that the failure of this Section to provide for a specific event that is otherwise required by the Terms
of this Agreement shall not be deemed to waive such other requirement):

 

(a)Tenant
shall pay to Landlord any outstanding financial obligations specified by the terms of this Agreement.

 

(b)To
the extent not previously conveyed, Tenant shall convey to Landlord by special warranty deed, special warranty bill of sale and
assignment or vehicle title transfer, as applicable, all real
and personal (tangible and intangible) property that does or should constitute Leased Assets under the terms of this
Agreement, and shall physically deliver the same to Landlord or its designee.

 

(c)Tenant
shall transfer to Landlord the assets or, if appropriate, stock (at Landlord’s election) of any subsidiary entity of Tenant
that holds Real Property, Tangible Personal Property, Intellectual Property, or Personal Property used in the Resort Operations,
including without limitation any entity that holds a liquor license.

 

(d)Tenant
shall claim no further interest in the Forest Service Permits or any other governmental licenses or permits (including without
limitation liquor licenses) and shall execute such documents as Landlord may reasonably request to assist in effecting the removal
of Tenant from (and, if necessary the reissuance to Landlord of) the Forest Service Permits and the transfer of other licenses
and permits to Landlord or its designee.

 

(e)Tenant
shall deliver to Landlord or its designee all books and records in the possession or under the control of Tenant relating to the
Winter Park Resort, including without limitation financial records, contracts, incident reports, maintenance logs, depreciation
schedules and engineering reports. To the extent that a specialized resource such as a proprietary computer program is required
in order to view, copy or use such books and records, Tenant shall license the same to Landlord at no cost.

 

(f)Tenant
shall permit all employees who work on a regular basis at least seventy-five percent (75%) of their time at the Winter Park Resort
to be employed by Landlord or its designee, without condition or penalty.

 

(g)Landlord
or its designee approved by the Agreed-Upon Indebtedness Lender shall cause Tenant and Intrawest Corporation to be released from
any liability for the Agreed-Upon Indebtedness.

 

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(h)Tenant
shall deliver to Landlord all cash or cash equivalents that represent the unexpended portion of the Required Annual Capital Maintenance
Amount, provided, however, that all other cash assets shall remain the property of Tenant.

 

(i)Upon
the expiration of the Term or other termination of this Lease, Tenant shall peaceably quit and surrender the Leased Assets to Landlord
in good order, condition and repair, ordinary wear and tear and Landlord’s own acts of taking possession excepted, so that
Landlord can repossess the Leased Assets no later than 5:00 p.m., MDT, of the day upon which this Agreement expires, without further
notice. The Leased Assets shall be surrendered free and clear of any and all liens, encumbrances or charges, other than those that
exist as of the Effective Date and as otherwise authorized or provided in this Agreement. Tenant expressly waives any notice to
vacate at the expiration or other termination of this Agreement.

 

(j) If Tenant retains all or
any material portion of the Leased Assets after the termination of this Agreement by lapse of time or otherwise, and continues
to hold such Leased Assets for ten (10) days after receiving written notice from Landlord, such holding over shall constitute a
tenancy at sufferance with respect to such retained portion, terminable by Landlord at any time upon notice to Tenant thereof,
at a rental equal to a multiple of two times (2x)
the rental rates described in Section 5.1(d) hereof paid by Tenant applicable in the Fiscal Year prior to the termination hereof.
All other provisions of this Agreement shall remain in full force and effect during such holding over period.

 

17.2Option.
Tenant hereby grants to Landlord an option to purchase and, if Landlord exercises such option in accordance with this Section 17.2,
agrees to sell, transfer, convey, assign and deliver to Landlord, and Landlord shall have the right to purchase and acquire from
Tenant pursuant to such option, the Business Acquisition Property, subject to the following terms and conditions:

 

(a)Landlord
may exercise such option only during the Business Acquisition Term.

 

(b)Landlord
may exercise such option, if at all, only by one or more written notices to Tenant (each an “Exercise Notice”) from
time to time during the Business Acquisition Term. Each Exercise Notice shall identify (i) the item or items of Business Acquisition
Property for which the option is being exercised, (ii) the date (the “Closing Date”) for the consummation of the sale,
transfer, conveyance, assignment and/or delivery of such Business Acquisition Property by Tenant to Landlord (the “Closing”),
which date shall be not less than thirty (30) days after the date Landlord delivers such Exercise Notice to Tenant nor later
than the twelve (12) months (if this Lease expires by the passage of time) or not later than eighteen (18) months (if this Lease
terminates for any reason other than the passage of time) after the expiration or other termination of this Agreement, and (iii)
the location of the Closing, which shall be within Grand County or Denver County, Colorado. Each Exercise Notice may exercise Landlord’s
option under this Section 17.2 with respect to one, some or all of the Business Acquisition Property, and the delivery of an Exercise
Notice with respect to any Business Acquisition Property shall not prevent Landlord from subsequently exercising such option with
respect to any or all of the remaining Business Acquisition Property at any time during the Business Acquisition Term.

 

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(c)Landlord
expressly acknowledges that Tenant shall have the unqualified right to sell, transfer, convey, assign any businesses, assets or
real or personal property (including without limitation any business, asset or real or personal property which is, or may become,
Business Acquisition Property), free and clear of Landlord’s option under this Section 17.2 and without any obligation to
obtain Landlord’s consent or approval or to communicate in any way with Landlord with respect to such sale, transfer, conveyance
or assignment, at any time before Landlord delivers an Exercise Notice with respect to any such business, asset or real or personal
property constituting Business Acquisition Property. The option granted to Landlord under this Section 17.2 shall not constitute
an interest in real property but shall constitute a contractual obligation of Tenant to Landlord. Such option shall not encumber,
and shall not run with the land comprising, the Leased Assets,
the Purchased Developable Land or any other real property. Upon Tenant’s request, Landlord shall execute, have acknowledged,
and deliver to Tenant or any Person designated by Tenant any waiver, consent, certificate, document or instrument evidencing or
confirming the terms of this Section 17.2(c) or any other provisions of this Section 17.2.

 

(d)If
Landlord exercises its option under this Section 17.2, the purchase price for the Business Acquisition Property specified in the
Exercise Notice shall be equal to the greater of one dollar ($1) or the Investment Return Deficiency, as determined by the Accountants
in their sole and absolute discretion, absent bad faith (the “Purchase Price”). Tenant shall cause the Accountants
to deliver to Landlord a certification of the Investment Return Deficiency and the Purchase Price with respect to any item of Business
Acquisition Property within sixty (60) days after Tenant receives a written request from Landlord which states (i) a description
of the Business Acquisition Property and (ii) a proposed Closing Date. Notwithstanding the foregoing, Landlord shall not be required
to pay a Purchase Price that exceeds the fair market value of the Business Acquisition Property. If Landlord and Tenant cannot
agree on the amount of the fair market value of the Business Acquisition Property, a duly qualified appraiser selected by the American
Arbitration Association at the request and expense of Landlord shall select the fair market value from between that value as claimed
by Landlord and that value as claimed by Tenant. Landlord shall pay the Purchase Price to Tenant at the Closing in immediately
available funds.

 

(e)Landlord
shall pay all costs and expenses, other than the fees of Tenant’s attorneys and the Accountants, related to the Closing,
including without limitation (i) any stamp, excise or other tax payable on the recording of the deed, assignment or other documents
transferring title to the Business Acquisition Property, (ii) all recording fees, and (iii) the cost of preparing a commitment
for title insurance covering the Business Acquisition Property and the premium for the issuance of such title insurance.

 

(f)The
following charges shall be prorated between Landlord and Tenant, on a daily basis, as of 12:01 a.m., Mountain Time, on the Closing
Date: (i) rents, fees and other payments (including advance payments) prepaid or payable to Tenant under any lease, occupancy agreement
or license affecting any interest in the Business Acquisition Property; and (ii) any charges customarily apportioned between sellers
and buyers of commercial real estate in Colorado.

 

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(g)At
the Closing, Tenant shall convey title to the Business Acquisition Property to Landlord by special warranty deed and special warranty
bill of sale and/or assignment, but Tenant shall have the right to list as exceptions to the special warranty in such deed, bill
of sale and/or assignment any Encumbrances (other than mortgages, deeds of trust and other monetary liens) that would constitute
defects in, or breaches of, such special warranty. Landlord shall take title to, and possession of, the Business Acquisition Property
in such condition, and subject to such Encumbrances, as existing of the Closing Date, without any representations or warranties
whatsoever, expressed or implied (which representations and warranties Landlord shall be deemed to have waived), except that Tenant
shall pay off, discharge and release all mortgages, deeds of trust and other monetary liens affecting the Business Acquisition
Property.

 

(h)Landlord
shall have the right, at any time before the delivery of such deed, bill of sale and/or assignment, to terminate the exercise of
its option under this Section 17.2 with respect to any Business Acquisition Property.

 

(i)Tenant
shall be subject to specific performance of its obligations under this Section.

 

ARTICLE XVIII 

 

MISCELLANEOUS

 

18.1Landlord
- Tenant Relationship.
Nothing contained in this Agreement creates any relationship between the parties other than the relationship of lessor and lessee.
Whether under the provisions of this Agreement or otherwise, neither Tenant nor any agent, employee, representative, consultant,
contractor, or subcontractor of Tenant shall have any power or authority to do any act or thing or to make any contract or agreement
which will bind Landlord or the City, nor shall Landlord or the City nor any agent, employee, representative, consultant, contractor
or subcontractor of Landlord or the City have any power or authority to do any act or thing or to make any contract or agreement
which will bind Tenant. Neither Landlord nor the City shall have any responsibility to Tenant or to any consultant, contractor,
subcontractor, supplier, materialmen, workman or other person, firm, or corporation who shall engage in or participate in any design
and construction of any Improvements, or additions, alterations, changes or replacements thereto.

 

18.2Release.
Tenant hereby waives, releases and discharges any and all claims, whether contingent or absolute, whether known or unknown, Tenant
or its affiliates might have against all current and prior Trustees and Officers of Landlord arising out of or relating to their
actions as Trustees or Officers of Landlord and the operation, maintenance and development of the Winter Park Resort prior to the
Effective Date; provided that, with respect to any Officer specifically referenced in Section 13.2 hereof, this release shall be
ineffective to the extent of errors or omissions in the representations and warranties contained in such section which are a direct
result of fraud or willful misconduct of such Officer.

 

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18.3Dollar
Value. Unless otherwise specifically provided in this Agreement, amounts specified in dollars shall not be adjusted
for inflation or otherwise.

 

18.4Captions.
The captions and headings appearing in this Agreement have been inserted as a matter of convenience and for reference only and
in no way define, limit or enlarge the scope or meaning of this Agreement or any of its provisions.

 

18.5
Partial Invalidity.
If for any reason whatsoever, any term, obligation or condition of this Agreement, or the application thereof to any Person or
circumstance, is to any extent held or rendered invalid, unenforceable or illegal, then:

 

(a)Such
term, obligation or condition shall be deemed to be independent of the remainder of the Agreement and to be severable and divisible
therefrom, and its invalidity, unenforceability or illegality shall not affect, impair or invalidate the remainder of the Agreement
or any part thereof; and

 

(b)The
remainder of the Agreement not affected, impaired or invalidated will continue to be applicable and enforceable to the fullest
extent permitted by law against any Person and circumstance other than those as to which it has been held or rendered invalid,
unenforceable and illegal.

 

18.6Attorneys’
Fees. Notwithstanding anything to the contrary contained in this Agreement, if either Party institutes legal proceedings
against the other with respect to the Agreement, or the use, occupancy or condition of the Leased Assets, the nonprevailing party
shall pay to the prevailing party an amount equal to all reasonable attorneys’ fees and disbursements and all other reasonable
costs and expenses incurred by the prevailing party in connection therewith.

 

18.7Waiver
of Breach. No waiver or breach of any covenant, condition or agreement herein contained shall operate as a waiver
of the covenant, condition or agreement itself, or of any subsequent breach thereof.

 

18.8Currency.
All transactions referred to in this Agreement shall be made in the lawful money of the United States of America. All references
to payment in this Agreement include reference to payments by cash, check, wire or electronic funds transfer and other methods
of payment made and used from time to time in the United States of America.

 

18.9Written
Agreement. It is understood and agreed by and between the Parties hereto that this Agreement contains the final
and entire agreement between said parties, and that they shall not be bound by any terms, statements, conditions or representations,
oral or written, express or implied, not herein contained except for any prior agreement with respect to indemnification. This
Agreement may not be modified orally or in any manner other than by written agreement signed by the Parties hereto.

 

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18.10Further
Assurances. The Parties shall execute, have acknowledged, deliver and/or record from time to time such other
appropriate additional or supplemental agreements, certificates and other documents and instruments, and take such other actions
as may be necessary to make this Agreement legally effective, binding and enforceable between them and against third Persons and
as may otherwise be reasonably required to carry out the intent of this Agreement.

 

18.11Notices.
Any notice to be given to any party pursuant to any provision of this Agreement shall be in writing, shall be (a) hand-delivered
to such party at the address(es) set forth below (or at such other address(es) as may be specified by notice as herein provided),
(b) sent by telecopy to the facsimile number for such party listed below (or to such other number as may be specified by notice
as herein provided, or (c) sent by FedEx or other nationally recognized overnight courier service to the address of such party;
and, if hand-delivered, shall be deemed received when delivered; if sent by facsimile, shall be deemed received upon confirmation
of receipt either by telephone or by facsimile; and if sent by FedEx or other nationally-recognized overnight courier service,
shall be deemed received one business day after having been deposited with FedEx or such other nationally-recognized overnight
courier service if designated for next day delivery, addressed as follows:

 

	 	To Tenant:	Intrawest/Winter Park Operations Corporation
	 	 	P.O. Box 5178
	 	 	325 Lake Dillon Drive, Suite 205
	 	 	Dillon, Colorado 80436
	 	 	Facsimile No.: 970-468-1808
	 	 	Confirmation No.: 970-468-1822
	 	 	 
	 	With copies to:	Intrawest Corporation
	 	 	Suite 800,200 Burrard Street
	 	 	Vancouver, BC
	 	 	CANADA V6C 3L6
	 	 	Attention: Gary L. Raymond
	 	 	AND
	 	 	Corporate Secretary
	 	 	Facsimile No.: (604) 669-0605
	 	 	Confirmation No.: (604) 669-9777
	 	 	 
	 	And to:	Jacobs Chase Frick Kleinkopf & Kelley, LLC
	 	 	1050 17th Street, Suite 1500
	 	 	Denver, Colorado 80265
	 	 	Attention: David D. Kleinkopf and Steven M. Cohen
	 	 	Facsimile No.: (303) 685-4869
	 	 	Confirmation No.: (303) 685-4800

 

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	 	To Landlord:	Winter Park Recreational Association
	 	 	Attention: President

 c/o Richard C. Linquanti, Esq.
	 	 	Ireland, Stapleton, Pryor & Pascoe, P.C.
	 	 	1675 Broadway, Suite 2600 Denver, Colorado 80202
	 	 	Facsimile No.: (303) 623-2062
	 	 	Confirmation No.: (303) 623-2700
	 	 	 
	 	With copies to:	Denver City Attorney’s Office
	 	 	1437 Bannock Street, Room 353
	 	 	Denver, Colorado 80202-5375
	 	 	Attention: Supervisor, Land Use and Revenue
	 	 	Facsimile No.: (720) 913-3180
	 	 	Confirmation No.: (720) 913-3280
	 	 	 
	 	And to:	Ireland, Stapleton, Pryor & Pascoe, P.C.
	 	 	1675 Broadway, Suite 2600
	 	 	Denver, Colorado 80206
	 	 	Attention: Richard C. Linquanti
	 	 	Facsimile No.: (303) 623-2062
	 	 	Confirmation No.: (303) 623-2700

 

18.12Governing
Law. This Agreement shall be construed and governed by the laws of the State of Colorado and the United
States, as applicable. Should any provision of this Agreement and/or its conditions be illegal or not enforced under the laws
of said state, it or they shall be considered severable and the Agreement and its conditions shall remain in force and be binding
upon the parties hereto as though the said provision had never been included.

 

18.13Counterpart
Signatures. This Agreement may be executed in one or more counterparts, each of which shall be deemed an
original but all of which together will constitute one and the same instrument.

 

18.14City
as Beneficiary. The City is a third party beneficiary of the Landlord’s rights under this Agreement.

 

18.15Time
of the Essence. Time is of the essence for the performance of all obligations and the taking of all actions
provided for in this Agreement.

 

18.16Venue.
The Parties agree that any litigation brought by either of them that relates to this Lease shall be brought in the state or federal
courts in Denver, Colorado.

 

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IN WITNESS WHEREOF, Landlord and
Tenant have caused this Agreement to be executed by their duly authorized officers, as of the day and year first above written.

 

	 	 	LANDLORD:
	 	 	 
	 	 	WINTER PARK RECREATIONAL ASSOCIATION
	 	 	 
	

	 	By: 	

/s/ Rick Pederson
	 	 	Name:	Rick Pederson
	 	 	Title:	President

	 	 	TENANT:
	 	 	 
	 	 	INTRAWEST/WINTER PARK OPERATIONS CORPORATION
	 	 	 
	

	 	By: 	

/s/ Gary L. Raymond
	 	 	Name:	Gary L. Raymond
	 	 	Title:	President

 

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	STATE OF COLORADO	)	 	 	 
	 	)	ss.	 	 
	CITY AND COUNTY OF DENVER	)	 	 	 

 

The foregoing instrument was acknowledged
before me this 20 day of December, 2002, by Rick Pederson as President of Winter Park Recreational Association, a Colorado non-profit
corporation.

 

	WITNESS my hand and official seal.	 	 
	

	 	 	

/s/ Sharon Smith
	 	 	 	Notary Public
	 	 	 	 
	My commission expires: 7-10-04.	 	 	[SEAL]

	STATE OF COLORADO	)	 	 	 
	 	)	ss.	 	 
	CITY AND COUNTY OF DENVER	)	 	 	 

 

The foregoing instrument was acknowledged
before me this 20
day of December, 2002 by Gary L. Raymond as President of Intrawest/Winter Park Operations Corporation, a Delaware corporation.

 

	WITNESS my hand and official seal.	 	 
	

	 	 	

/s/ Sharon Smith
	 	 	 	Notary Public
	 	 	 	 
	My commission expires: 7-10-04.

         

         

         
	 	 	[SEAL]

  

    	 

    	 

    

EXHIBIT A TO LEASE AND OPERATING
AGREEMENT

ADDITIONAL CONSIDERATION AGREEMENT

This Agreement is entered into as of
_________________, 2002, by and between INTRAWEST/WINTER PARK HOLDINGS CORPORATION, a Delaware corporation (“Intrawest
Holdings Corp”), and WINTER PARK RECREATIONAL ASSOCIATION, a Colorado nonprofit corporation (“WPRA”).

WPRA, as Landlord, and INTRAWEST/WINTER
PARK OPERATIONS CORPORATION, a Delaware corporation (together with its successors and assigns, “Intrawest Ops
Corp”), as Tenant, wish to execute that certain Lease and Operating Agreement of even date herewith (the “Lease”),
pursuant to which WPRA will lease or sublease to Intrawest Ops Corp certain real and personal property located in Grand County,
Colorado used in the operation of the mountain resorts known, as of the date hereof, as Winter Park, Mary Jane and Vasquez (collectively,
the “Winter Park Resort”). WPRA and INTRAWEST/WINTER PARK INTRAWEST DEVELOPMENT CORPORATION, a Delaware
corporation (“Intrawest Development Corp”), wish to execute an Option Agreement of even date herewith (the “Option”)
under which WPRA will grant to Intrawest Development Corp the option to purchase certain real property (“Developable Real
Property”) in the immediate vicinity of the Winter Park Resort.

Intrawest Holdings Corp is the direct
parent corporation of Intrawest Ops Corp and Intrawest Development Corp. In order to induce WPRA to enter into the Lease with Intrawest
Ops Corp and the Option with Intrawest Development Corp, Intrawest Holdings Corp is willing to enter into this Agreement, which
WPRA is willing to accept as a necessary and sufficient inducement to enter into the Lease and Option.

Intrawest Corporation, a corporation
continued pursuant to the Canada Business Corporation Act (“Intrawest Corp”), is the ultimate parent corporation of
Intrawest Holdings Corp. Intrawest Corp has guaranteed Intrawest Holding Corp’s payment obligations under this Agreement
pursuant to a separate guaranty agreement that has been delivered to WPRA.

Now, therefore, in consideration of
the covenants set forth in this Agreement, Intrawest Holdings Corp and WPRA agree as follows, for their mutual benefit and for
the third-party benefit of Intrawest Ops Corp, Intrawest Development Corp and the CITY AND COUNTY OF DENVER, a Colorado
municipal corporation (the “City”), as applicable.

1. As used in this Agreement, the term
“Required Quarterly Payment” shall mean payments in the amount of $500,000 due and payable each July 1, October 1,
January 1 and April 1 from October 1, 2002 and ending with the payment on July 1, 2012 (each a “Required Quarterly Payment
Date”). On each Required Quarterly Payment Date, beginning effective October 1, 2002 and ending with the payment on July
1, 2012, Intrawest Holdings Corp shall pay to the City the Required Quarterly Payment without any abatement, diminution, or reduction
of, setoff or deduction.

    	
 

    	 

    

2. The term “Cash Flow for Annual
Payment” when used in this Agreement shall have the same meaning as defined for such term in the Lease. The amount by which
the aggregate of the Required Quarterly Payments exceeds Cash Flow for Annual Payment of Intrawest Ops Corp for a given Fiscal
Year (July 1-June 30) shall be considered a prepayment and credited with respect to Intrawest Development Corp’s option to
acquire parcels pursuant to and in accordance with the terms of the Option. The first Fiscal Year shall be a short year covering
the period October 1, 2002 through June 30, 2003.

3. The occurrence or existence of any
one or more of the following events or circumstances shall constitute a “Default” by Intrawest Holdings Corp under
this Agreement and shall give rise to the right of WPRA or the City, by notice to Intrawest Holdings Corp, to exercise its remedies
as set forth below in paragraph 4:

	 	 
	 	(a) Intrawest Holdings Corp fails to pay when due any Required Quarterly Payment, and does not cure such failure within five (5) business days after WPRA or the City shall have given to Intrawest Holdings Corp written notice specifying such failure;
	 	 
	 	(b) WPRA declares an Event of Default by Intrawest Ops Corp under the Lease and the default is not cured as therein provided, and WPRA has elected to exercise its right to accelerate future Rental Payments under the Lease as a result of such Event of Default;
	 	 
	 	(c) Intrawest Holdings Corp shall become insolvent (as such term is defined under Section 101 of the Federal Bankruptcy Code, 11 U.S.C. 101 et seq. (the “Federal Bankruptcy Code”), or any successor statute thereto); or shall fail to pay its debts generally as they mature; or shall seek the benefit of any present or future federal or state insolvency statute; or shall make a general assignment for the benefit of creditors, or file a voluntary petition in bankruptcy or a petition or answer seeking an arrangement of its indebtedness under the Federal Bankruptcy Code or under any other law or statute of the United States or of any state thereof, or consent to the appointment of a receiver, trustee, custodian, liquidator or other similar official, of all or substantially all of its property; or an order for relief shall be entered by or against Intrawest Holdings Corp under any chapter of the Federal Bankruptcy Code and shall not be dismissed or stayed within sixty (60) days after the entering of the order of appointment of receiver or trustee;
	 	 
	 	(d) By order or decree of a court, Intrawest Holdings Corp shall be adjudged a debtor or bankrupt, or an order shall be made approving a petition filed by any of its creditors or by any of its stockholders, seeking its reorganization or the readjustment of its indebtedness under the Federal Bankruptcy Code or under any other law or statute of the United States, and such adjudication, order or decree shall not be stayed or vacated within sixty (60) days of its issuance;
	 	 
	 	(e) A petition under any chapter of the Federal Bankruptcy Code or an action under any federal or state insolvency law or statute shall be filed against Intrawest Holdings Corp and shall not be dismissed or stayed within sixty (60) days after the filing thereof;
	 	 
	 	(f) By or pursuant to, or under authority of any legislative act, resolution or rule, or any order or decree of any court or governmental board, agency or officer, a receiver, trustee, custodian, liquidator or other similar official shall take possession or control of all or substantially all of the property of Intrawest Holdings Corp, and such possession or control shall continue in effect for a period of sixty (60) days; or

    	
2

    	 

    

	 	 
	 	(g) Except in conjunction with a permitted assignment pursuant to Section 16.2 of the Lease, Intrawest Holdings Corp shall become a person in legal dissolution, liquidation or otherwise in termination.

4. (a) For the purposes of this Paragraph
4, the following terms shall have the meanings hereinafter set forth:

	 	 	 
	 	 	          (i) The “Damages Calculation Date” means the date as of which damages under this Paragraph 4 are calculated.
	 	 	 
	 	 	          (ii) The “Default Period” means the period from the occurrence of an uncured Default through (and including) September 30, 2012.
	 	 
	 	(b) If a Default occurs under this Agreement and remains uncured, then WPRA or the City shall have the right to a claim for damages equal to (i) any and all Required Quarterly Payments which have accrued or which would accrue in the absence of a Default over the Default Period but which remain unpaid as of the Damages Calculation Date, plus (ii) all costs and expenses of collecting such damages, including reasonable attorneys’ fees. If WPRA declares a Default that is solely the occurrence of an Event of Default under the Lease that is not cured as therein provided, and WPRA has elected to exercise its right to accelerate future Rental Payments under the Lease as a result of such Event of Default, the amount payable under (b)(i) above shall be discounted to present value and shall be reduced by the then present value of any rent and other sums that WPRA can reasonably be expected to receive over the Default Period upon reletting the “Leased Assets” (as defined in the Lease), whether or not Landlord actually attempts to relet the Leased Assets, but only to the extent such rent and other sums have not been applied to reduce WPRA’s actual damages in accordance with Section 15.2 of the Lease. Except as expressly provided above, all payments shall be made by Intrawest without any abatement, diminution, or reduction of, setoff, discount or deduction. Landlord shall have no obligation to relet the Leased Assets, but WPRA shall otherwise be required to mitigate damages arising out of a Default.
	 	 
	 	(c) If any law shall limit the amount of such damages to less than the amount for which this Paragraph 4 provides, WPRA shall be entitled to the maximum amount allowable under such law, WPRA expressly waives all claims to consequential, exemplary or punitive damages.

5. If the Lease terminates on or before
September 1, 2012, for any reason other than as a result of an Event of Default under the Lease, then this Agreement, and all of
the obligations of WPRA and Intrawest Holdings Corp under this Agreement, shall terminate as of the date of the termination of
the Lease. Intrawest Holdings Corp shall pay the Required Quarterly Payments due from time to time up to and including such termination
date, and, if such termination occurs on a date other than a Required Quarterly Payment Date, then the Required Quarterly Payment
payable for the partial quarter immediately before such termination date shall be prorated at the daily rate at which the Required
Quarterly Payments accrue under this Agreement for each day of such partial quarter falling on or before such termination date.

    	
3

    	 

    

6. Amounts specified in dollars shall
mean U.S. Dollars, shall not be adjusted for inflation or otherwise, and shall not be discounted to present value or otherwise.

7. Intrawest Holdings Corp hereby waives,
releases and discharges any and all claims, whether contingent or absolute, whether known or unknown, Intrawest Holdings Corp or
its affiliates might have against all current and prior Trustees and Officers of WPRA arising out of or relating to their actions
as Trustees or Officers of WPRA and the operation, maintenance and development of the Winter Park Resort prior to the Effective
Date of the Lease; provided that, with respect to any Officer specifically referenced in Section 13.2 of the Lease, this release
shall be ineffective to the extent of errors or omissions in the representations and warranties contained in such section which
are a direct result of fraud or willful misconduct of such Officer.

8. If for any reason whatsoever, any
term, obligation or condition of this Agreement, or the application thereof to any person or circumstance, is to any extent held
or rendered invalid, unenforceable or illegal, then:

	 	 
	 	(a) Such term, obligation or condition shall be deemed to be independent of the remainder of the Agreement and to be severable and divisible therefrom, and its invalidity, unenforceability or illegality shall not affect, impair or invalidate the remainder of the Agreement or any part thereof; and
	 	 
	 	(b) The remainder of the Agreement not affected, impaired or invalidated will continue to be applicable and enforceable to the fullest extent permitted by law against any person and circumstance other than those as to which it has been held or rendered invalid, unenforceable and illegal.

9. No waiver or breach of any covenant,
condition or agreement herein contained shall operate as a waiver of the covenant, condition or agreement itself, or of any subsequent
breach thereof.

10. It is understood and agreed by and
between the parties hereto that this Agreement contains the final and entire agreement between said parties, and that they shall
not be bound by any terms, statements, conditions or representations, oral or written, express or implied, not herein contained.
This Agreement may not be modified orally or in any manner other than by written agreement signed by the parties hereto.

11. The parties shall execute, have acknowledged
and deliver from time to time such other appropriate additional or supplemental agreements, certificates and other documents and
instruments, and take such other actions as may be necessary to make this Agreement legally effective, binding and enforceable
between them and against third persons and as may otherwise be reasonably required to carry out the intent of this Agreement,

    	
4

    	 

    

12. Any notice to be given to any party
pursuant to any provision of this Agreement shall be in writing, shall be (a) hand-delivered to such party at the address(es) set
forth below (or such other address(es) specified by notice as herein provided), (b) sent by telecopy to the facsimile number for
such party listed below (or such other number specified by notice as herein provided), or (c) sent by FedEx or other nationally-recognized
overnight courier service to the address of such party; and, if hand-delivered, shall be deemed received when delivered; if sent
by facsimile, shall be deemed received upon confirmation of receipt either by telephone or by facsimile; and if sent by FedEx or
other nationally-recognized overnight courier service, shall be deemed received one business day after having been deposited with
FedEx or such other nationally-recognized overnight courier service if designated for next day delivery, addressed as follows:

	 	 	 
	 	To Intrawest Holdings Corp:	Intrawest Corporation 
	 	 	Suite 800, 200 Burrard Street
	 	 	Vancouver, BC
	 	 	CANADA V6C 3L6
	 	 	Attention: Gary L. Raymond
	 	 	AND 
	 	 	Corporate Secretary 
	 	 	Facsimile No.: (604) 669-0605 
	 	 	Confirmation No.: (604) 669-9777
	 	 	 
	 	And to:	Jacobs Chase Frick Kleinkopf & Kelley, LLC 
	 	 	1050 17th Street, Suite 1500 
	 	 	Denver, Colorado 80265 
	 	 	Attention: David D. Kleinkopf
	 	 	and Steven M. Cohen 
	 	 	Facsimile No.: (303) 685-4869 
	 	 	Confirmation No.: (303) 685-4800
	 	 	 
	 	To WPRA:	Winter Park Recreational Association
	 	 	c/o Ireland, Stapleton, Pryor & Pascoe, P.C.
	 	 	1675 Broadway, Suite 2600
	 	 	Denver, Colorado 80206
	 	 	Attention: Richard Linquanti
	 	 	Facsimile No.: (303) 623-2062
	 	 	Confirmation No.: (303) 623-2700
	 	 	 
	 	With copies to:	Denver City Attorney’s Office
	 	 	1437 Bannock Street, Room 353
	 	 	Denver, Colorado 80202-5375
	 	 	Attention: Supervisor, Land Use and Revenue
	 	 	Facsimile No.: (720) 913-3180
	 	 	Confirmation No.: (720) 913-3280

    	
5

    	 

    

	 	 	 
	 	And to: 	Ireland, Stapleton, Pryor & Pascoe, P.C.
	 	 	1675 Broadway, Suite 2600 
	 	 	Denver, Colorado 80206 
	 	 	Attention: Richard Linquanti 
	 	 	Facsimile No.: (303) 623-2062 
	 	 	Confirmation No.: (303) 623-2700

13. This Agreement shall be construed
and governed by the laws of the State of Colorado.

14. This Agreement may be executed in
counterparts, both of which shall be deemed an original but all of which together will constitute one and the same instrument.

15. The City is a third party beneficiary
of WPRA’s rights under this Agreement.

16. Time is of the essence for the performance
of all obligations and the taking of all actions provided for in this Agreement.

17. This Agreement shall be binding upon
and inure to the benefit of the parties hereto, their successors and assigns.

     IN
WITNESS WHEREOF, Intrawest Holdings Corp and WPRA have caused this Agreement to be executed by their duly authorized officers,
as of the day and year first above written.

	 	 	 	 	 
	 	WINTER PARK RECREATIONAL 

ASSOCIATION
	 	 	 	 	 
	 	By:	 	 	 
	 	Name:	 
	 	Title:	 	 
	 	 	 	 	 
	 	INTRAWEST/WINTER PARK HOLDINGS 

CORPORATION
	 	 	 	 	 
	 	By:	 	 	 
	 	Name:	 
	 	Title:	 	 

    	
6

    	 

    

EXHIBIT B

TO LEASE AND OPERATING AGREEMENT

Current
Capital Maintenance Items

ON MOUNTAIN CAPITAL

	 	 	 
	 	BUILDINGS
	 	a)	 Replace Water Tanks as appropriate
	 	b)	 Upgrade FF&E for F&B facilities
	 	 	 
	 	LIFTS
	 	a)	 Upgrades, improvements and replacements of various Lift systems
	 	 	 
	 	SKI TRAILS AND SNOWMAKING
	 	a)	 Snowboard Park and Halfpipe
	 	b)	 Snowmaking Improvements
	 	c)	 Replace Compressors as appropriate
	 	 	 
	 	MOUNTAIN INFRASTRUCTURE
	 	a)	 Switchgear and Transformer upgrades
	 	 	 
	 	VEHICLES AND EQUIPMENT
	 	a)	 Reduce average age of Grooming fleet
	 	b)	 Reduce average age of Snowmobiles and Trucks
	 	c)	 Acquire new Grooming Equipment (winch, pipe, shaper)
	 	 	 
	 	SOFT COSTS
	 	a)	 Surveying, mapping, engineering, planning, environmental, permits, legal, construction management, etc.

 

    	
 

    	 

    

EXHIBIT C 

TO LEASE AND OPERATING AGREEMENT

EMPLOYEE
BENEFIT PLANS - PENSION

	 	 
	Pension Plan (Defined Benefit)	WPRA Pension Plan (Amended and Restated June 1, 1997)
	 	 
	401 (k) Savings and Investment Plan	WPRA Savings & Investment Plan
	 	 
	Supplemental Executive Retirement Plan	WPRA Supplemental Executive Retirement Plan, Plan & Trust Documents Board Resolution, as of January 25, 1992
	 	 
	 	•	First Amendment, May 1, 1994
	 	 	 
	 	•	Second Amendment, September 1, 1996

    	
CC-1

    	 

    

EXHIBIT D

TO LEASE AND OPERATING AGREEMENT

EMPLOYEE
BENEFIT PLANS – WELFARE

*Early Education Center
(Low cost childcare for dependent ages 2 months to 6 years) 

*Scholarship Program

*Jury Duty time off

*Dental Insurance (Employee
Paid) 

*Sick Leave

*Vacation

*Funeral Leave

*Holiday Flex Time (48
hours)

	 	 
	Life Insurance	Group Benefits Plan January 1, 2002
	 	 
	Voluntary Group Life Insurance	Group Benefits Plan January 1, 2002
	 	 
	Accidental Death and Dismemberment Insurance	Group Benefits Plan January 1, 2002
	 	 
	Short Term Disability	Group Benefits Plan January 1, 2002
	 	 
	Long Term Disability	Group Benefits Plan January 1, 2002
	 	 
	Health Insurance	Group Benefits Plan January 1, 2002
	 	 
	Flexible Spending Account Plan	Health Care Flexible Spending Account Plan WPRA January 1, 2002
	 	 
	 	Dependant Care Flexible Spending Account Plan WPRA January 1 2002

* Winter Park Resort
2001-2002 Employee Handbook

    	
DD-1

    	 

    

EXHIBIT E 

TO LEASE AND OPERATING AGREEMENT

EMPLOYEE
BENEFIT PLANS - ADDITIONAL PLANS OR POLICIES

*Employee Assistance
Program

*Employee Discounts
(retail, repair, rental, and food in WPRA and tenant operated outlets)

*Fitness Program (using
WPRA fitness center)

*Real Deal/Reciprocal
Skiing/Riding

*Summer Program privileges
(summer pass at no cost and discounted activity tickets)

*Employee Shuttle Service

*No cost and discounted
Snowcat and Snowshoe Tours through WPRA Tour Center

*Direct Deposit

*Complimentary Employee
Ski Passes

*Discounted Dependent
Ski Pass 

OR Discounted one-day tickets

*Complimentary Ski or
Ride Lessons

*Notary Service

*Credit Union Membership
Available

*Emergency Service Volunteer
Time Off

	 	 
	Senior Officer Physical Examinations	No document (historic company policy not reduced to writing)
	 	 
	Severance Policy	“Benefits Paid Out at Termination” (Revised 4/19/01) (Policy Summary),
	 	 
	 	VP Severance Plan adopted June 3, 2000 by Resolution of the WPRA Board.

*Winter Park Resort
2001-2002 Employee Handbook

    	
EE-1

    	 

    

EXHIBIT F 

TO LEASE AND OPERATING AGREEMENT

 

Filed as Exhibit 10.4 to the Registration
Statement

 

    	 

    	 

    

Date/Time of Last Edit

September 16, 2002 2:36 pm

EXHIBIT G 

TO LEASE AND OPERATING AGREEMENT

WATER RIGHTS

	 	 	 
	WATER RIGHTS OWNED OR LEASED BY

WINTER PARK RECREATIONAL ASSOCIATION
	Snowmaking Water

	 	Decree/Agreement

	Denver Water Board Collection System 

(physical source)	WPRA may divert 450 acre feet annually subject to snowmaking return flow recapture requirements	Per Clinton Reservoir-Fraser River Water Agreement dated 07/21/1992
	Clinton Ditch & Reservoir Company 

(replacement water)	WPRA is 8.63% shareholder. 90 acre feet (consumptive use) of Clinton Reservoir water is released annually to repay Denver Water Board	92CW332
	Bypass Water (Municipal Water)

	Decree/Agreement

	Vasquez Wells 

(physical source)	Vasquez Well No. B1 - 25 gpm conditional

	92CW333

	 	Vasquez Well No. B2 - 25 gpm conditional

	92CW333

	 	Vasquez Well No. B3 - 25 gpm conditional

	92CW333

	 	Vasquez Well No. B4 - 25 gpm conditional

	92CW333

	 	Vasquez Well No. B5 - 25 gpm conditional

	92CW333

	 	Vasquez Well No. B6 - 25 gpm conditional

	92CW333

	 	Vasquez Well No. M1 - 25 gpm conditional

	92CW333

	 	Vasquez Well No. M2 - 25 gpm conditional

	92CW333

	 	Vasquez Well No. M3 - 25 gpm conditional

	92CW333

	 	Vasquez Well No. T1 - 25 gpm conditional

	92CW333

	 	Vasquez Well No. T2 - 25 gpm conditional

	92CW333

	 	Vasquez Well No. T3 - 25 gpm conditional

	92CW333

	Denver Water Board Collection System/Points of Rediversion (physical source)	W.P. Base Diversion Point No. 1 - 0.67 cfs absolute (APD)	92CW333

	 	W.P. Base Diversion Point No. 2 - 0.67 cfs absolute (APD)	92CW333

	 	Vasquez Mountain Canal Diversion Point (APD)	92CW333

 

    	  

    	
 

    

Date/Time of Last Edit

September 16, 2002 2:36 pm

	 	 	 
	Terms and Conditions Affecting Use of Bypass Water	(a) Annual diversions limited to 74 acre feet; 66.5 acre feet for Vasquez Wells and 7.5 acre feet for W.P. Base Diversion Nos. 1 and 2

	 
	(replacement source)	 	 
	 	(b) 44 acre feet can be delivered yearly from 9/15 - 5/15	 
	 	(c) 30 acre feet can be delivered year round (i.e. also available 5/16 - 9/14)	 
	 	(d) To be replaced with 9.27 acre feet of Windy Gap or Wolford Mountain Reservoir water obtained under Middle Park water allotment contracts	MPWCD/WPRA Water Allotment Contract dated 04/19/95; MPWCD/WPRA Standby Contract for Wolford Mountain Reservoir Water dated 02/14/02.
	20% Water (Municipal Water)

	Decree/Agreement

	Purchase of Original 20% Water from the City of Arvada	WPRA conveyed Arvada water to Denver Water Board. In exchange, WPRA may divert 16 acre feet annually from Winter Park and Mary Jane wells	DWB/WPRA Agreement Concerning 20% Water dated 02/27/92, as amended by Agreement dated 07/28/92
	Purchase of Additional 20% Water from the City of Arvada	25.44 acre feet of Additional 20% Water. WPRA’s interests in certain additional “20% Water” which includes, without limitation, 0.3661 cfs of water from the Diamond Bar Tee No. 2 Ditch, said ditch having been adjudicated by decree dated August 11, 1906, under Priority No. 114, with an appropriation date of September 15, 1900, and having its source of supply Ranch Creek, a tributary of the Fraser River, together with a proportionate interest in that restrictive covenant recorded in the Grand County real property records at Reception No. 298702. WPRA is negotiating with Denver Water Board to arrange for deliveries of the water using Denver’s delivery facilities and structures.	DWB/WPRA Temporary Delivery Agreement dated 10/30/00; no permanent agreement in place
	On-Mountain Wells at Winter Park and Mary Jane (physical source)	Sunspot Well No. 1 - 20 gpm absolute	91CW240/98CW169
	 	Sunspot Well No. 2 - 5 gpm absolute

	91CW240/98CW169

	 	Snoasis Well No. 1 - 10 gpm absolute

	91CW240

	 	Snoasis Well No. 2 - 10 gpm absolute

	91CW240

	 	Lunch Rock Well No. 1 - 25 gpm absolute

	91CW240/98CW169

	 	Lunch Rock Well No. 2 - 25 gpm conditional

	91CW240/98CW169

 

    	
2

    	
 

    

Date/Time
of Last Edit 

September 16, 2002 2:36 pm

	 	 	 
	 	Wilson Way Building Well No. 1 - 14 gpm absolute

	91CW240/98CW168/ 98CW169
	 	Mary Jane Maintenance Building Well No. 1 - 15 gpm absolute	91CW240/98CW168

	 	Mary Jane Day Center Well DC No. 2 - 20 gpm absolute	91CW240/98CW168

	 	Sunspot Well No. 4 - 25 gpm absolute	92CW319

 

    	
3

    	 

    

Date/Time of Last Edit

September 16, 2002 2:36 pm

	 	 	 
	Terms and Conditions Affecting Use of On-Mountain Wells (replacement source)	(a) Total cumulative diversions not to exceed 16 acre feet annually	 
	 	(b) To be replaced with 2.0 acre feet of Windy Gap or Wolford Mountain Reservoir water obtained under Middle Park Water Allotment Contracts	MPWCD/WPRA Water Allotment Contract dated 05/05/92; MPWCD/WPRA Standby Contract for Wolford Mountain Reservoir Water dated 02/14/02
	Base Area Domestic and Irrigation Water

	Decree/Agreement

	Treated Domestic Water Supplied by the Winter Park Water and Sanitation District	 	 
	Raw Water for Irrigation of Winter Park Base Area	Provided by taps in the Denver Water Board’s Siphon Nos. 1 and 1A. This irrigation water is accounted for out of WPRA’s Bypass Water entitlement	92CW333
	Raw Water for Irrigation of Mary Jane Base Area

	Irrigation of less than one acre of landscaping adjacent to Mary Jane Day Center from Mary Jane Day Center Well DC #2

	91CW240
	USFS Special Use Permit Limitations

	 
	The WPRA Special Use Permit contains the following language that may affect the ownership of water rights acquired by WPRA for use in the operation of the Winter Park Resort.

Section 34. d.

“... All water right acquired or claimed by the permittee during the term of this permit which involve diversions of water directly from National Forest System lands, to the extent the same are applied to beneficial use on National Forest System lands authorized under this permit, shall be acquired by the permittee and transferred to the United States. Such transactions are subject to the permit holder’s right of use.”	 

 

    	
4

    	
 

    

 

EXHIBIT H

TO LEASE AND OPERATING AGREEMENT

GUARANTY AGREEMENT

          THIS
GUARANTY AGREEMENT is entered into as of _______________, 2002, between (i) INTRAWEST CORPORATION, a corporation duly
continued under the Canada Business Corporations Act (the “Guarantor”), and (ii) WINTER PARK RECREATIONAL ASSOCIATION,
a Colorado non-profit corporation (the “WPRA”), for itself and as agent for the City and County of Denver, a Colorado
municipal corporation.

RECITALS

          WPRA
owns, leases and licenses certain real and personal property located in Grand County, Colorado used in the operation of the mountain
resorts known, as of the date hereof, as Winter Park, Mary Jane and Vasquez (collectively, the “Winter Park Resort Area”).

          Pursuant
to a certain Lease of even date herewith (the “Lease”), between WPRA and Intrawest/Winter Park Operations Corporation,
a Delaware corporation (the “Tenant”), WPRA has agreed to allow the Tenant to operate the Winter Park Resort Area,
and in connection therewith, has agreed to lease or sublease certain assets to the Tenant in accordance with the terms and conditions
of the Lease.

          Pursuant
to a certain Option Agreement of even date herewith (the “Option Agreement”), between WPRA and Intrawest/Winter Park
Development Corporation, a Delaware corporation (the “Optionee”), the WPRA has granted to the Optionee an option to
purchase certain developable land within the Winter Park Resort Area in accordance with the terms and conditions of the Option
Agreement.

          Pursuant
to a certain Additional Consideration Agreement of even date herewith (the “Consideration Agreement”) between WPRA
and Intrawest/Winter Park Holdings Corporation, a Delaware corporation (“Holdings”), which is the parent corporation
to Tenant and Optionee, WPRA will receive certain quarterly payments from Holdings from October 1, 2002 through July 1, 2012, to
induce WPRA to enter into the Lease and the Option Agreement.

          Guarantor
is the ultimate parent entity of Holdings, Tenant, and Optionee. It is a condition precedent to the effectiveness of the Lease
and the Option Agreement that the Guarantor guarantee to the WPRA the payment of certain of the obligations of the Tenant to the
WPRA under the Lease, of the Optionee to the WPRA under the Option Agreement and of Holdings under the Consideration Agreement.

 

    	
1

    	 

    

          Accordingly,
for good and valuable consideration, the receipt and adequacy of which is hereby acknowledged, and in order to induce the WPRA
to enter into the Lease, the Option Agreement and the Consideration Agreement, the Guarantor agrees with the WPRA as follows:

ARTICLE I 

DEFINITIONS

          Section
1.1 Certain Terms. The following
terms, when used in this Agreement, including the introductory paragraph and Recitals hereto, shall, unless the context otherwise
requires, have the following meanings:

          “Agreement”
or “Guaranty” means this Guaranty Agreement.

          “Consideration
Agreement” is defined in the introductory paragraphs hereto.

          “Guaranteed
Obligations” is defined in Section 2.1 hereof.

          “Guarantor”
is defined in the introductory paragraphs hereto.

          “Holdings”
is defined in the introductory paragraphs hereto.

          “Lease”
is defined in the introductory paragraphs hereto.

          “Option
Agreement” is defined in the introductory paragraphs hereto.

          “Optionee”
is defined in the introductory paragraphs hereto.

          “Proven
Damages” means damages claimed by WPRA and not contested, or damages awarded after trial or arbitration, as applicable,
on a disputed claim and no longer subject to appeal.

          “Tenant”
is defined in the introductory paragraphs hereto.

          “WPRA”
is defined in the introductory paragraph hereto.

          Section
1.2 Lease and Option Agreement Definitions.
Unless otherwise defined herein or the context otherwise requires, terms used in this Agreement that are defined in the Lease shall
have the meanings given to such terms in the Lease. Terms used in this Agreement that are defined in the Option Agreement but not
in the Lease shall have the meanings given to such terms in the Option Agreement.

          Section
1.3 General Provisions Relating to Definitions.
Terms for which meanings are defined in this Agreement shall apply equally to the singular and plural forms of the terms defined.
Whenever the context may require, any pronoun shall include the corresponding masculine, feminine and neuter forms. The term “including”
means including, without limiting the generality of any description preceding such term. Each reference herein to any person shall
include a reference to such person’s successors and assigns. References to any instrument defined in this Agreement refer
to such instrument as originally executed or, if subsequently amended or supplemented from time to time, as so amended or supplemented
and in effect at the relevant time or reference thereto.

 

    	
2

    	 

    

ARTICLE II 

THE
GUARANTY

          Section
2.1 Guaranty of Guaranteed Obligations.
The Guarantor hereby absolutely, unconditionally and irrevocably, guarantees, the punctual payment in full of all Guaranteed Obligations.
The term “Guaranteed Obligations” means and includes (a) any and all of Tenant’s financial obligations under
Article V of the Lease (including without limitation Tenant’s obligation to pay rent to WPRA, to reserve and expend the Required
Annual Capital Maintenance Amount, and to pay to WPRA the Reimbursable Transaction Costs), (b) Tenant’s obligations under
the Lease to pay to WPRA any Proven Damages (including without limitation any Proven Damages that consist of accelerated rent)
due thereunder as a result of an Event of Default, (c) Tenant’s obligation under Article VIII of the Lease to indemnify WPRA
as described therein, (d) Optionee’s obligation under Article III of the Option Agreement to pay for sufficient Development
Parcels for the development of 570 Residential Units on the terms and conditions described in such Option Agreement, (e) Optionee’s
obligation under Article V of the Option Agreement to pay the Actual Sales Price, and (f) Holdings’ obligation to make the
payments to WPRA under the Consideration Agreement, whether any of the foregoing obligations now exist or arise after the Effective
Date and whether such obligations are absolute or contingent, liquidated or unliquidated.

          Section
2.2 Liability of Guarantor Absolute.
The Guarantor agrees that its obligations hereunder are irrevocable, absolute, independent and unconditional and shall not be affected
by any circumstance which constitutes a legal or equitable discharge of a guarantor or surety, other than a defense based on payment
in full of the Guaranteed Obligations, defenses that Tenant, Optionee or Holdings may properly assert based on the satisfaction
or failure to satisfy conditions, or the occurrence of contingencies, set forth in the Lease, the Option Agreement or the Consideration
Agreement, and any defense Tenant, Optionee or Holdings may properly assert arising from WPRA’s failure to pay or perform
its obligations under the Lease, the Option Agreement or the Consideration Agreement (collectively, the “Permitted Defenses”).
In furtherance of the foregoing and without limiting the generality thereof, the Guarantor agrees as follows:

	 	 
	 	          (a) WPRA shall not be required first to resort for payment of the Guaranteed Obligations to Tenant, Optionee or Holdings, before enforcing this Guaranty.
	 	 
	 	          (b) The WPRA may enforce this Guaranty upon the occurrence and during the continuance of an Event of Default under the Lease, the Option Agreement or the Consideration Agreement.
	 	 
	 	          (c) The obligations of the Guarantor hereunder are independent of the obligations of the Tenant under the Lease, of the Optionee under the Option Agreement, and of Holdings under the Consideration Agreement, and a separate action or actions may be brought and prosecuted against Guarantor whether or not any action is brought against the Tenant, Optionee or Holdings, and whether or not the Tenant, Optionee or Holdings, is joined in any such action or actions.

 

    	
3

    	 

    
 

	 	          (d) The Guarantor’s payment of a portion, but not all, of the Guaranteed Obligations shall in no way limit, affect, modify or abridge the Guarantor’s liability for any portion of the Guaranteed Obligations which has not been paid. Without limiting the generality of the foregoing, if the WPRA is awarded a judgment in any suit brought to enforce the Guarantor’s covenant to pay a portion of the Guaranteed Obligations, such judgment shall not be deemed to release such Guarantor from its covenant to pay the portion of the Guaranteed Obligations that is not the subject of such suit.
	 	 
	 	          (e) Subject to the terms of the Lease, the Option Agreement and the Consideration Agreement, the WPRA from time to time may, upon such terms as it deems appropriate, without notice to or demand upon the Guarantor and without affecting the validity or enforceability of this Guaranty or giving rise to any reduction, limitation, impairment, discharge or termination of the Guarantor’s liability hereunder (i) change any payments, (ii) settle, compromise, release or discharge, or accept or refuse any offer of performance with respect to, or substitutions for, the Guaranteed Obligations or any agreement relating thereto; (iii) request and accept other guaranties of the Guaranteed Obligations and take and hold security for the payment of this Guaranty or the Guaranteed Obligations; (iv) release, surrender, exchange, substitute, compromise, settle, rescind, waive, alter, subordinate or modify, with or without consideration, any security for payment of the Guaranteed Obligations, any other guaranties of the Guaranteed Obligations, including, without limitation, any obligation of any person with respect to the Guaranteed Obligations; (v) enforce and apply any security now or hereafter held by or for the benefit of the WPRA in respect of the Guaranty or the Guaranteed Obligations and direct the order or manner of sale thereof, or exercise any other right or remedy that the WPRA may have against any such security, including foreclosure on any such security pursuant to one or more judicial or non-judicial sales, whether or not every aspect of any such sale is commercially reasonable, and even though such action operates to impair or extinguish any right of reimbursement or subrogation or other right or remedy of such Guarantor against the Tenant or any security for the Guaranteed Obligations; and (vi) exercise any other rights available to it under the Lease, the Option Agreement and the Consideration Agreement and under any other related documents.

 

    	
4

    	 

    

	 	 
	 	          (f) This Guaranty and the obligations of the Guarantor hereunder shall be valid and enforceable and shall not be subject to any reduction, limitation, impairment, discharge or termination for any reason (other than the Permitted Defenses), including without limitation the occurrence of any of the following, whether or not the Guarantor shall have had notice or knowledge of any of them: (i) any failure or omission to assert or enforce, or agreement or election not to assert or enforce, or the stay or enjoining, by order of court, by operation of law or otherwise, of the exercise or enforcement of, any claim or demand or any right, power or remedy with respect to the Guaranteed Obligations or any agreement relating thereto, or with respect to any other guaranty of or security for the payment of the Guaranteed Obligations; (ii) any rescission, waiver, amendment or modification of, or any consent to departure from, any of the terms or provisions (including without limitation provisions relating to Events of Default) of the Lease, the Option Agreement or the Consideration Agreement, or of any other guaranty or security for the Guaranteed Obligations; (iii) the Guaranteed Obligations, or any agreement relating thereto, at any time being found to be illegal, invalid or unenforceable in any respect; (iv) the WPRA’s consent to the change, reorganization or termination of the corporate structure or existence of the Tenant, the Optionee or Holdings; (v) any failure to perfect or continue perfection of a security interest in any collateral which secures any of the Guaranteed Obligations; (vi) any defenses, set-offs or counterclaims which the Tenant, Optionee or Holdings may allege or assert against the Guarantor, or which the Guarantor may allege or assert against the Tenant, the Optionee or Holdings, including but not limited to failure of consideration, breach of warranty, statute of frauds, statute of limitations, accord and satisfaction and usury; and (vii) any other act or thing or omission, or delay to do any act or thing, other than Permitted Defenses, which may or might in any manner or to any extent vary the risk of the Guarantor as an obligor in respect of the Guaranteed Obligations.

Section
2.3 Waivers by Guarantor.
The Guarantor hereby waives to the fullest extent permitted by law, for the benefit of the WPRA:

	 	 
	 	          (a) Any right to require the WPRA, as a condition of payment by such Guarantor, to (i) proceed against the Tenant, the Optionee, Holdings, or any other person, (ii) proceed against or exhaust any security held from the Tenant, the Optionee, Holdings, or any other person, or (iii) pursue any other remedy in the power of the WPRA whatsoever;
	 	 
	 	          (b) Any defense arising by reason of the incapacity, lack of authority or any disability of the Tenant, the Optionee or Holdings, including, without limitation, any defense based on or arising out of the lack of validity or the unenforceability of the Guaranteed Obligations or any agreement or instrument relating thereto or by reason of the cessation of the liability of the Tenant, the Optionee or Holdings from any cause other than payment in full of the Guaranteed Obligations or any of the Permitted Defenses;
	 	 
	 	          (c) Any defense based upon any statute or rule of law which provides that the obligation of a surety must be neither larger in amount nor in other respects more burdensome than that of the principal;
	 	 
	 	          (d) Any defense based upon any of the WPRA’s errors or omissions in the administration of the Guaranteed Obligations;
	 	 
	 	          (e) (i) Any principles or provisions of law, statutory or otherwise, which are or might be in conflict with the terms of this Guaranty and any legal or equitable discharge of the Guarantor’s obligations hereunder, (ii) the benefit of any statute of limitations affecting the Guarantors liability hereunder or the enforcement hereof, (iii) any rights to set-offs, recoupments and counterclaims, and (iv) promptness, diligence or any requirement that the WPRA protect, secure, perfect or insure any security interest or lien or any property subject thereto;

 

    	
5

    	 

    

	 	 
	 	           (f) Notices, demand, presentment, protest, notices of protest, notices of dishonor and notices of any action or inaction, including acceptance of this Guaranty, notices of default under the Lease, the Option Agreement or the Consideration Agreement, notices of any extension or modification of the Guaranteed Obligations or any agreement related thereto, notices of any extension of credit to the Tenant, the Optionee or Holdings, and notices of any of the matters referred to in Section 2.2 and any right to consent to any thereof; and
	 	 
	 	          (g) Any defenses or benefits that may be derived from or afforded by law which limit the liability of or exonerate guarantors or sureties, or which may conflict with the terms of this Guaranty, other than Permitted Defenses.

Section
2.4 Payment by Guarantor.
The Guarantor hereby agrees that upon the failure of the Tenant, the Optionee or Holdings to pay any Guaranteed Obligations when
and as the same shall become due, the Guarantor will forthwith upon demand pay, or cause to be paid, in cash, to the WPRA such
Guaranteed Obligations.

Section
2.5 Expenses. The Guarantor
agrees to pay, or cause to be paid, and to save the WPRA harmless against liability for, any and all reasonable costs and expenses
(including reasonable fees and disbursements of counsel and allocated costs of internal counsel) incurred or expended by the WPRA
in connection with the enforcement of or preservation of any rights under this Guaranty.

Section
2.6 Continuing Guaranty.
This Guaranty is a continuing guaranty and shall remain in effect until all of the Guaranteed Obligations shall have been paid
in full.

Section
2.7 Rights Cumulative. The
rights, powers and remedies given to the WPRA by this Guaranty are cumulative and shall be in addition to and independent of all
rights, powers and remedies given to the WPRA by virtue of any statute or rule of law or any agreement between the Tenant, the
Optionee or Holdings and the WPRA. Any forbearance or failure to exercise, and any delay by the WPRA in exercising, any right,
power or remedy hereunder shall not impair any such right, power or remedy or by construed to be a waiver thereof, nor shall it
preclude the further exercise of any such right, power or remedy.

Section
2.8 Bankruptcy; Post-Petition Interest; Reinstatement of Guaranty.

	 	 
	 	          (a) The obligations of the Guarantor under this Guaranty shall not be reduced, limited, impaired, discharged, deferred, suspended or terminated by any proceeding, voluntary or involuntary, involving the bankruptcy, insolvency, receivership, reorganization, liquidation or arrangement of the Tenant, the Optionee or Holdings, or by any defense which the Tenant, the Optionee or Holdings may have by reason of the order, decree or decision of any court or administrative body resulting from any such proceeding.

 

    	
6

    	 

    

	 	 
	 	          (b) The Guarantor acknowledges and agrees that any interest on any portion of the Guaranteed Obligations which accrues after the commencement of any proceeding referred to in clause (a) above (or, if interest on any portion of the Guaranteed Obligations ceases to accrue by operation of law by reason of the commencement of said proceeding, such interest as would have accrued on such portion of the Guaranteed Obligations if said proceedings had not been commenced) shall be included in the Guaranteed Obligations. The Guarantor will permit any trustee in bankruptcy, receiver, debtor in possession, assignee for the benefit of creditors or similar person to pay the WPRA, or allow the claim of the WPRA in respect of, any such interest accruing after the date on which such proceeding is commenced.
	 	 
	 	          (c) The obligations of the Guarantor hereunder shall continue and remain in full force and effect or be reinstated, as the case may be, in the event that all or any part of such payment(s) are rescinded or recovered directly or indirectly from the WPRA as a preference, fraudulent transfer or otherwise, and any such payments which are so rescinded or recovered shall constitute Guaranteed Obligations for all purposes under this Guaranty.

ARTICLE III

REPRESENTATIONS,
WARRANTIES AND CERTAIN COVENANTS

The
Guarantor hereby represents and warrants to the WPRA that the following statements are true and correct:

Section
3.1Corporate Existence. The Guarantor is duly organized, validly existing and in good standing as a corporation
continued under the Canada Business Corporations Act, has the corporate power to own its assets and to transact the business
in which it is now engaged and is in good standing under the laws of each jurisdiction where its ownership or lease of
property or the conduct of its business requires such qualification, except for failures to be so qualified, authorized or
licensed that would not in the aggregate have a material adverse effect on the operations or financial condition of the
Guarantor.

Section
3.2 Corporate Power; Authorization; Enforceable Obligations. The Guarantor has the corporate power, authority and legal right
to execute, deliver and perform this Guaranty, and all obligations required under this Guaranty, and has taken all necessary corporate
action to authorize the execution, delivery and performance of this Guaranty and all obligations required thereunder. No consent
of any other person including, without limitation, stockholders and creditors of Guarantor, and no license, permit, approval or
authorization of, exemption by, notice or report to, or registration, filing or declaration with, any governmental authority is
required by Guarantor in connection with this Guaranty or the execution, delivery, performance, validity or enforceability of this
Guaranty and the obligations required thereunder except for such consents which have been validly obtained. This Guaranty has been
executed and delivered by a duly authorized officer of the Guarantor, and this Guaranty constitutes the legally valid and binding
obligation of the Guarantor, enforceable against the Guarantor in accordance with its terms, except as enforcement may be limited
by applicable bankruptcy, insolvency, reorganization, moratorium or other similar laws or equitable principles relating to or limiting
creditors’ rights generally.

 

    	
7

    	 

    

Section
3.3 No Legal Bar to this Guaranty.
The execution, delivery and performance of this Guaranty will not violate any provision of any existing law or regulation binding
on the Guarantor, or any order, judgment, award or decree of any court, arbitrator or governmental authority binding on the Guarantor,
or the certificate of continuance or bylaws of the Guarantor, or any mortgage, indenture, lease, contract or other agreement, instrument
or undertaking by which the Guarantor is a party or by which the Guarantor or any of its assets may be bound, and will not result
in, or require, the creation or imposition of any lien on any of its property, assets or revenues pursuant to the provisions of
any such mortgage, indenture, lease, contract or other agreement, instrument or undertaking.

ARTICLE IV 

MISCELLANEOUS

Section
4.1 Amendments, etc. No amendment
or waiver of any provision of this Agreement nor consent to any departure by the Guarantor herefrom shall in any event be effective
unless the same shall be in writing and signed by the WPRA, and then such waiver or consent shall be effective only in the specific
instance and for the specific purpose for which it is given. This Guaranty shall be binding upon Guarantor and its successors and
assigns and shall inure to the benefit of WPRA and its successors and assigns.

Section
4.2 Release. Guarantor hereby
waives, releases and discharges any and all claims, whether contingent or absolute, whether known or unknown, Guarantor or its
affiliates might have against all current and prior Trustees and Officers of WPRA arising out of or relating to their actions as
Trustees or Officers of WPRA and the operation, maintenance and development of the Winter Park Resort prior to the Effective Date
of the Lease; provided that, with respect to any Officer specifically referenced in Section 13.2 of the Lease, this release shall
be ineffective to the extent of errors or omissions in the representations and warranties contained in such section which are a
direct result of fraud or willful misconduct of such Officer.

Section
4.3 Illegality. Any invalidity
or unenforceability of any provision or application of this Guaranty shall not affect other lawful provisions and applications
thereof, and to this end the provisions of this Guaranty are declared to be severable.

Section
4.4 Consent to Jurisdiction.
Guarantor (i) irrevocably agrees that any suit, action or other legal proceeding arising out of or relating to this Guaranty may
be brought in the State Courts of the State of Colorado or in the United States District Court for the District of Colorado, (ii)
consents to the jurisdiction of each such court in any suit, action or proceeding, (iii) waives any objection which it may have
to the laying of venue of any such suit, action or proceeding in any such courts and any claim that any such suit, action or proceeding
has been brought in an inconvenient forum, and (iv) agrees that a final judgment in any such suit, action or proceeding shall be
conclusive and may be enforced in other jurisdictions by suit on the judgment or in any other manner provided by law.

 

    	
8

    	 

    

Section
4.5 Governing
Law. This Agreement shall in all respects be construed in accordance with and governed by the internal laws of the
State of Colorado.

Section
4.6 Counterparts.
This Agreement may be executed by the parties hereto in counterparts, each of which shall be deemed to be an original and both
of which shall constitute together but one and the same agreement.

Section
4.7 Beneficiary.
The City is a third party beneficiary of WPRA’s rights under this Agreement.

IN
WITNESS WHEREOF, the Guarantor has executed this Guaranty by its duly authorized officer on ___________, 2002.

	 	 	 	 
	 	 	GUARANTOR:
	 	 	 
	 	 	INTRAWEST CORPORATION, a corporation 

duly continued under the Canada Business 

Corporations Act
	 	 	 
	 	 	By:	 
	 	 	Title:	 
	 	 	 	 	 

The
foregoing Guaranty Agreement is hereby accepted by the WPRA as of the date first above written.

	 	 	 
	 	WINTER PARK RECREATIONAL 

ASSOCIATION, a Colorado non-profit 

corporation
	 	 
	 	By:	 
	 	Title:	 

 

    	
9

    	 

    

 

EXHIBIT I

TO LEASE AND OPERATING AGREEMENT

Owned Real Property

The land, and all buildings, fixtures
and other improvements on such land constituting real property in the State of Colorado, described as follows:

PARCEL A

The Village at Winter Park I,

THE VILLAGE AT WINTER PARK MINOR SUBDIVISION,

according to the plat recorded July 6, 1994 at Reception No. 94007421.

PARCEL B

The Village at Winter Park II,

THE VILLAGE AT WINTER PARK MINOR SUBDIVISION,

according to the plat recorded July 6, 1994 at Reception No. 94007421.

PARCEL C

West Parcel,

W.E. EVANS TRACT AT WINTER PARK SUBDIVISION EXEMPTION,

according to the plat filed for the record September 25, 1996 at Reception No. 96008223.

EXCEPT from the above described parcel that portion lying
within Winter Park Drive.

PARCEL D

TOWNSHIP 2 SOUTH, RANGE 75 WEST OF THE 6TH P.M.

Tract 41

PARCEL E

TOWNSHIP 2 SOUTH, RANGE 75 WEST of the 6th P.M.

Tracts “A” and “B” and “C” of Exchange Survey No. 367

EXCEPT any portion lying within Winter
Park Drive, also known as Grand County Road No. 70, as conveyed to the Town of Winter Park by instrument recorded February 10,
1998 at Reception No. 98001154, and as corrected by instrument recorded February 26, 1998 at Reception No. 98001777.

 

    	I-1

    	 

    

PARCEL F

TOWNSHIP 2 SOUTH, RANGE 75 WEST OF THE 6TH P.M.

Tracts 38A and 40

EXCEPT from Tract 40 that portion thereof
conveyed to the Town of Winter Park for “Old Town Drive” by Warranty Deed recorded February 10, 1998 at Reception No.
98001153,

AND EXCEPT from Tract 40 that portion
thereof conveyed to the Department of Transportation by Warranty Deed recorded February 4, 2002 at Reception No. 2002-001262.

PARCEL G

TOWNSHIP 2 SOUTH, RANGE 75 WEST OF THE 6TH P.M.

Section 10: Tracts 38B, 45 and 49

EXCEPT from Tract 38B that portion thereof
conveyed to the Department of Transportation, State of Colorado, by Warranty Deed recorded August 1, 2002 at Reception No. 2002-008001.

AND EXCEPT from Tract 49 that portion
thereof conveyed to the Town of Winter Park for Winter Park Drive by Deed recorded ___________________, 2002 at Reception No. 2002-___________________.

PARCEL H

Tracts 44A-1, 44A-2, 44A-3 and 44A-4,

MINOR SUBDIVISION PLAT OF TRACT 44A,

according to the plat recorded February 26, 1998 at Reception No. 98001776.

PARCEL I

Tract 8003, a tract of land located immediately
east of Tract 44A, Township 2 South, Range 75 West of the 6th P.M., described by metes and bounds in Interchange Deed recorded
January 9, 1997 at Reception No. 97000243 as follows:

Beginning at A.P. #1 S.T.A. 8003, a standard
USFS monument on the westerly right-of-way of U.S. Highway 40; Thence S81°31’44”W,
48.76 feet to A.P. #2 identical with original corner #1 of Tract 44A, a standard USFS monument; Thence S21°22’54”E,
51.49 feet on the 1-9 line of Tract 44A to A.P. #3 identical with corner #9 of Tract 44A, a cross marked on a rock; thence S09°04’57”E,
178.56 feet on line 8-9 of Tract 44A, to A.P. #4, a standard USFS monument; Thence N 80°57’16”E,
69.13 feet to A.P. #5 being a point on the westerly right-of-way line of U.S. Highway No. 40, a standard USFS monument; Thence
N16°16’48”W, 196.02 feet to A.P. #6, a standard USFS monument; Thence continuing
along said right-of-way 34.60 feet along the arc of a curve to the left, having a radius of 1332.50 feet and a central angle of
01°29’16”, (chord bears N20°23’20”W,
34.60 feet) to A.P. #1, the point of beginning.

 

    	I-2

    	 

    

PARCEL J

All that portion of the following described
parcel of land lying northeasterly of the northeasterly line of that certain parcel of land conveyed to Grand County, Colorado,
by deed recorded in Book 232 at Page 187 of the records of Grand County, Colorado:

A portion of the Mary Jane Placer Mining
claim (U.S. Mineral Survey No. 16378) in the Fraser Mining District, and embracing portions of Sections 10 and 15, suspended, Township
2 South, Range 75 West of the 6th P.M., more particularly described as follows:

Commencing at Corner No. 1 of said Mining Claim;

Thence North 76°46’15”
West and along Line 1-4 of said Mining Claim, for a distance of 490.16 feet to a point on the Northerly boundary of Iron Horse
Subdivision Second Replat;

Thence South 45°18’00”
East and along the Northeasterly boundary line of said subdivision, for a distance of 574.64 feet to a point on Line 2-1 of said
Mining Claim;

Thence North 13°14’15”
East and along said Line 2-1, for a distance of 300.00 feet to the point of beginning.

PARCEL K

Lot 5,

FIRST REPLAT OF THE VILLAGE AT WINTER PARK,

according to the plat recorded June 3, 1998
at Reception No. 98005921,

AND

Lots 7, 8 and 9,

SECOND REPLAT OF THE VILLAGE AT WINTER PARK,

according to the plat recorded January 20,
2000 at Reception No. 2000-000625, and as amended by the plat recorded January 20, 2000 at Reception No. 2000-000626.

 

    	I-3

    	 

    

PARCEL L

A tract of land in the SW1⁄4SE1⁄4NW1⁄4
Section 33, Township 1 South, Range 75 West of the 6th P.M., described as follows:

Beginning at the Northwest corner of
said Lot 9, Block 2, Hide-Away Park; thence North 49°05’31” East, 91.40 feet
to a Northerly corner of said Lot 9; thence South 89°57’58” East, 24.00 feet;
thence South 03°27’59” East, 205.51 feet to the South line of the tract conveyed
to the Town of Winter Park by deed recorded in Book 334 at Page 199; thence North 79°50’27”
West, 83.22 feet to a point of curve; thence on a curve to the left having a radius of 230.44 feet and a length of 19.46 feet,
to the TRUE POINT OF BEGINNING; thence continuing on the curve to the left having a radius of 230.44 feet and a length of 56.41
feet; thence South 39°52’57” East, 91.49 feet to the west line of said Lot
9; thence North 01°55’42” West, 71.91 feet along the West line of said Lot
9 to the True Point of Beginning.

AND

Lots 11 and 13,

Block 2,

HIDEAWAY PARK

AND

Lot 9,

Block 2,

HIDEAWAY PARK

EXCEPT that portion conveyed to Town
of Winter Park, Colorado, a Colorado Home Rule Municipality, by instrument recorded August 17, 1983 in Book 334 at Page 199.

PARCEL M

All that portion of the SE1⁄4NW1⁄4
of Section 33, Township 1 South, Range 75 West of the 6th P.M., described as follows:

Beginning at the Northwesterly corner
of Lot 9, Block 2, Hideaway Park from whence the Northeast corner of the SW1⁄2SE1⁄4NW1⁄4 of said Section 33 bears
N 01°46’ W, 78.00 feet; thence Southerly, along the West line of said Block 2 and
said West line extended, 421.20 feet; thence N 42°07’ W, 297.30 feet; thence N 42°55’
E, 273.30 feet to the Point of Beginning.

EXCEPT that tract of land as conveyed
by L. E. Hauptman to H. S. Nelson by instrument recorded December 21, 1949 in Book 100 at Page 11 and re-recorded October 11, 1982
in Book 141 at Page 325.

ALSO EXCEPT that tract of land as conveyed
by Rule and Order of the Grand County District Court recorded May 24, 1984 in Book 351 at Page 57.

 

    	I-4

    	 

    

PARCEL N

A tract of land in the SW1⁄4SE1⁄4NW1⁄4
and in the N1⁄2NW1⁄4NE1⁄4SW1⁄4 of Section 33, Township 1 South, Range 75 West of the 6th P.M., described as
follows:

Beginning at the most Southerly corner
of Wintermoor Townhouses, First Filing;

thence North 43°00’22”
East, 100.16 feet;

thence North 13°56’03”
West, 119.22 feet;

thence North 46°59’32”
West, 174.73 feet to a point on the Southeasterly right of way line of Vasquez Creek Road;

thence North 43°00’22”
East, along said right of way line, 135.21 feet;

thence South 42°07’23”
East, 297.16 feet;

thence South 1°32’48”
East, 384.54 feet;

thence North 47°13’14”
West, 291.23 feet to the point of beginning.

PARCEL O

Condominium Unit 4,

Court 20,

MEADOW RIDGE LODGES - COURTS 14-22,

according to the maps filed for record and
according to the Condominium Declaration for Meadow Ridge Lodges - Courts No. 14, 15, 16, 17, 18A, 18B, 19, 20, 21 and 22 recorded
October 9, 1975 in Book 220 at Page 204, as amended by instrument recorded July 22, 1976 in Book 227 at Page 88, subject to the
terms, conditions, provisions and obligations of said condominium declaration, as amended.

PARCEL P

Condominium Unit 5,

Court No. 12,

MEADOW RIDGE LODGES - Courts 9, 10, 11, 12, 13A and 13B,

according to the Maps filed for record as amended,
and according to the Condominium Declaration for Meadow Ridge Lodges - Courts 9, 10, 11, 12 and 13, recorded May 11, 1973 in Book
196 at Page 699, as amended by instruments recorded June 18, 1975 in Book 217 at Page 9 and in Book 217 at Page 19.

PARCEL Q

Condominium Unit 6,

MEADOW RIDGE LODGES - COURT NO. 4,

according to the map thereof filed for record
as amended and according to the Condominium Declaration for Meadow Ridge Lodges - Court No. 4 recorded October 11, 1972 in Book
191 at Page 278, subject to the terms, conditions, provisions and obligations of said Condominium Declaration.

 

    	I-5

    	 

    

PARCEL R

Condominium Unit 1,

Court No. 10,

MEADOW RIDGE LODGES - Courts 9, 10, 11, 12, 13A and 13B,

according to the Maps filed for record as amended,
and according to the Condominium Declaration for Meadow Ridge Lodges - Courts 9, 10, 11, 12 and 13, recorded May 11, 1973 in Book
196 at Page 699, as amended by instruments recorded June 18, 1975 in Book 217 at Page 9 and in Book 217 at Page 19.

PARCEL
S

Condominium Unit 16,

Court 8,

MEADOW RIDGE LODGES - COURTS NO. 7 and 8,

according to the map thereof filed for record
as amended and according to the Condominium Declaration for Meadow Ridge Lodges - Courts No. 7 and 8 recorded May 25, 1973 in Book
197 at Page 237.

PARCEL T

Condominium Unit 2,

Court No. 12,

MEADOW RIDGE LODGES - Courts 9, 10, 11, 12, 13A and 13B,

according to the Maps filed for record as amended,
and according to the Condominium Declaration for Meadow Ridge Lodges - Courts 9, 10, 11, 12 and 13, recorded May 11, 1973 in Book
196 at Page 699, as amended by instruments recorded June 18, 1975 in Book 217 at Page 9 and in Book 217 at Page 19.

PARCEL U

Condominium Unit 204,

Building F,

WINTER PARK LODGE II,

according to the Map filed for record, as amended,
and according to the Condominium Declaration for Winter Park Lodge II recorded February 7, 1977 in Book 233 at Page 391, as amended
by instruments recorded June 15, 1977 in Book 236 at Page 325; September 2, 1981 in Book 297 at Page 970; May 28, 1982 in Book
311 at Page 366; October 15, 1982 in Book 317 at Page 532; January 31, 1983 in Book 322 at Page 870; May 27, 1983 in Book 329 at
Page 172; May 16, 1990 in Book 463 at Page 895 and January 29, 1996 at Reception No. 96000792.

 

    	I-6

    	 

    

PARCEL V

Condominium Unit 101,

Building C,

WINTER PARK LODGE II,

according to the Map filed for record, as amended,
and according to the Condominium Declaration for Winter Park Lodge II recorded February 7, 1977 in Book 233 at Page 391, as amended
by instruments recorded June 15, 1977 in Book 236 at Page 325; September 2, 1981 in Book 297 at Page 970; May 28, 1982 in Book
311 at Page 366; October 15, 1982 in Book 317 at Page 532; January 31, 1983 in Book 322 at Page 870; May 27, 1983 in Book 329 at
Page 172; May 16, 1990 in Book 463 at Page 895 and January 29, 1996 at Reception No. 96000792.

PARCEL W

Condominium Unit 202,

Building D,

WINTER PARK LODGE II,

according to the Map filed for record, as amended,
and according to the Condominium Declaration for Winter Park Lodge II recorded February 7, 1977 in Book 233 at Page 391, as amended
by instruments recorded June 15, 1977 in Book 236 at Page 325; September 2, 1981 in Book 297 at Page 970; May 28, 1982 in Book
311 at Page 366; October 15, 1982 in Book 317 at Page 532; January 31, 1983 in Book 322 at Page 870; May 27, 1983 in Book 329 at
Page 172; May 16, 1990 in Book 463 at Page 895 and January 29, 1996 at Reception No. 96000792.

PARCEL X

Condominium Unit 101,

Building B,

WINTER PARK LODGE II,

according to the Map filed for record, as amended,
and according to the Condominium Declaration for Winter Park Lodge II recorded February 7, 1977 in Book 233 at Page 391, as amended
by instruments recorded June 15, 1977 in Book 236 at Page 325; September 2, 1981 in Book 297 at Page 970; May 28, 1982 in Book
311 at Page 366; October 15, 1982 in Book 317 at Page 532; January 31, 1983 in Book 322 at Page 870; May 27, 1983 in Book 329 at
Page 172; May 16, 1990 in Book 463 at Page 895 and January 29, 1996 at Reception No. 96000792.

PARCEL Y

Condominium Unit No. 1,

Building No. C,

THE DIVIDE AT FOREST MEADOWS,

as shown on the Condominium Maps for The Divide
at Forest Meadows filed April 5, 1983, under Reception No. 202512 and October 5, 1983, under Reception No. 208433 and subject to
the Condominium Declaration for The Divide at Forest Meadows recorded April 5, 1983 in Book 326 at Page 304, as amended by instrument
recorded October 5, 1983, in Book 337 at Page 122 and any and all supplements or amendments to the Condominium Declaration and
Maps as are or may be subsequently recorded.

 

    	I-7

    	 

    

PARCEL Z

Condominium Unit No. 3,

Building No. D,

THE DIVIDE AT FOREST MEADOWS,

as shown on the Condominium Maps for The Divide
at Forest Meadows filed April 5, 1983, under Reception No. 202512 and October 5, 1983, under Reception No. 208433 and subject to
the Condominium Declaration for The Divide at Forest Meadows recorded April 5, 1983 in Book 326 at Page 304, as amended by instrument
recorded October 5, 1983, in Book 337 at Page 122 and any and all supplements or amendments to the Condominium Declaration and
Maps as are or may be subsequently recorded.

PARCEL AA

Condominium Unit 303,

Building D,

SILVERCREST CONDOMINIUMS,

according to the maps filed for record and
according to the Condominium Declaration recorded May 10, 1979 in Book 258 at Page 109 and as amended by instrument recorded December
3, 1979 in Book 268 at Page 775 and November 25, 1970 in Book 284 at Page 69.

PARCEL BB

Lots 13, 14, 15 and that part of Lot 16 lying South of the
right-of-way of U.S. Highway 40, Block 7, TABERNASH,

TOGETHER WITH those portions of the alley
in said Block 7, and those portions of 4th Street adjacent to said Block 7, as vacated by Resolution No. 1976-7-3 of the Board
of County Commissioners of Grand County recorded in Book 227 at Page 351 under Reception No. 143026.

PARCEL CC

Lots 3, 4, 5, 6, 7, 8 and 32, Block 4, and

Lots 3, 4 and 8, Block 2,

GRAND MEADOWS SUBDIVISION, according to the plat recorded February 20, 1998 at Reception No. 98001466.

 

    	I-8

    	 

    

PARCEL DD

Condominium Unit 303,

and Garage Unit 3,

Building E,

WINTER PARK LODGE II,

according to the Map filed for record, as amended,
and according to the Condominium Declaration for Winter Park Lodge II recorded February 7, 1977 in Book 233 at Page 391, as amended
by instruments recorded June 15, 1977 in Book 236 at Page 325; September 2, 1981 in Book 297 at Page 970; May 28, 1982 in Book
311 at Page 366; October 15, 1982 in Book 317 at Page 532; January 31, 1983 in Book 322 at Page 870; May 27, 1983 in Book 329 at
Page 172; May 16, 1990 in Book 463 at Page 895 and January 29, 1996 at Reception No. 96000792.

PARCEL EE

Condominium Unit 3,

Court No. 11

MEADOW RIDGE LODGES - Courts 9, 10, 11, 12, 13A and 13B,

according to the Maps filed for record as amended,
and according to the Condominium Declaration for Meadow Ridge Lodges - Courts 9, 10, 11, 12 and 13, recorded May 11, 1973 in Book
196 at Page 699, as amended by instruments recorded June 18, 1975 in Book 217 at Page 9 and in Book 217 at Page 19.

Parcels FF and GG are not owned by WPRA
as of 9-18-02 but are under contract pursuant to a letter agreement between LDM Development, Fru-Con Development Corp and winter
Park Recreational Association dated August 3, 2001 with a closing scheduled to occur prior to 10-01-02. There are no assurances
that the closing will occur prior to October 1 and closing may not occur until after execution of the Lease and Operating Agreement
or may not occur at all.

PARCEL FF

Outlot B,

MINOR SUBDIVISION OF COMBINED BLOCK A, IRON
HORSE SUBDIVISION - SECOND REPLAT, BEING A MINOR SUBDIVISION OF COMBINED BLOCK A, IRON HORSE SUBDIVISION - SECOND REPLAT, according
the plat recorded __________________, 2002 at Reception No. 2002-__________________.

 

    	I-9

    	 

    

PARCEL GG

Outlot G,

BRIDGER’S CACHE SUBDIVISION,

according to the plat recorded _________, 2002 at Reception No. 2002-_______________.

	NOTE:	For the purposes of this Exhibit I, “recorded” means recorded with the office of the Clerk and Recorder of Grand County, Colorado.

 

    	I-10

    	 

    

 

EXHIBIT J

TO LEASE AND OPERATING AGREEMENT

TANGIBLE PERSONAL
PROPERTY

	 
	List of Assets
	 
	Buildings
	 
	Snoasis (On USFS Property)
	Sunspot Patrol Headquarters (On USFS Property)
	Mary Jane Maintenance Buildings (On USFS Property)
	Utah Junction (On USFS Property)
	Bullfrog Patrol Building (On USFS Property)
	Iron Horse Lift Restrooms (On USFS Property)
	Vasquez Patrol HQ/Sundance Cafe (On USFS Property)
	 
	Lunch Rock Warming House (On USFS Property)
	Sunspot Restaurant (On USFS Property)
	Olympia/Looking Glass Comfort Station (On USFS Property)
	Lunch Rock Patrol Building (On USFS Property)
	Discovery Park Rest Rooms (On USFS Property)
	NASTAR Start/Finish Building (On USFS Property)
	Moose Wallow Log Cabin (On USFS Property)
	Explosive Cache (On USFS Property)
	Cold Storage Building (On USFS Property)
	Sunspot Water Treatment w/Equipment (On USFS Property)
	 
	Lifts
	Eskimo
	Prospector Express
	Looking Glass
	Gemini
	Olympia Express
	Arrow Triple Chair
	Outrigger Triple Chair
	Hand Car Tow
	Zephyr Express
	Discovery
	High Lonesome Express
	Pioneer Express
	Endeavour
	Discovery Park Carpet
	Mount Maury Carpet

 

    	
 

    	 

    

	 
	List of Assets
	Sorenson Park Carpet
	Mary Jane
	Summit Express
	Iron Horse
	Pony Express
	Challenger
	Galloping Goose
	Sunnyside
	Timberline

	 	 
	Snow Vehicles
	1982	LMC 1200C Spryte
	1991	LMC 3700CF With Tiller & Lite Bar
	1985	Kassbohrer PB 270 With Attachments
	1986	LMC 3700C with Attachments
	1989	LMC 3700C with Attachments
	1990	LMC 3700C with Attachments
	1990	LMC 3700C with Attachments
	1991	LMC 3700C with Attachments
	1991	LMC 3700C with Attachments
	1993	LMC 3700C with Attachments
	1993	LMC 3700C with Attachments
	1993	LMC 3700C with Attachments
	1993	LMC 3700C with Attachments
	1993	LMC 3700C with Attachments
	1994	LMC 3700C with Attachments
	1994	Bombardier 400T with Attachments
	1995	LMC 3700C with Attachments
	1996	Bombardier MP2 Plus with Attachments
	1996	Bombardier MP2 Plus with Attachments
	1990	LMC 3700C with Attachments/Winch
	1998	Piston Bully with Attachments
	1998 	Bombardier BR180 with Attachments
	1992 	Haul Trailers-4
	1992 	People Sled
	1983	Highway Sander
	 	 
	Snowmobiles
	1995-	Polaris Indy 440 Tran Sport (black)
	1995-	Polaris Indy 440 Tran Sport (black)
	1995-	Polaris Indy Wide Track 500 GT
	2000-	Polaris Wide Track 500 LX
	1997-	Polaris Indy 440 Tran Sport
	2000-	Polaris Wide Track 500 LX

 

    	
 

    	 

    

	 	 
	List of Assets
	2000-	Polaris 550 Sport Touring
	1999-	Polaris 440 Tran Sport
	1999-	Polaris 440 Sport Touring
	1999-	Polaris 440 Tran Sport
	1999-	Polaris 440 Sport Touring
	1999-	Polaris 440 Tran Sport
	1998-	Polaris 440 Sport Touring
	1999-	Polaris 440 Tran Sport
	2001-	Polaris 340 Touring
	1998-	Polaris 440 Tran Sport Touring
	1998-	Polaris 440 Tran Sport Touring
	1997-	Polaris Indy 440 Tran Sport
	1995-	Polaris Indy 440 Tran Sport (black)
	2000-	Polaris 550 Sport Touring
	1996-	Polaris Indy Wide Track 500 GT
	1997-	Polaris Indy 440 Tran Sport
	2000-	Polaris Wide Track 500 LX
	1999-	Polaris 440 Tran Sport
	1998-	Polaris 440 Sport Touring
	2000-	Polaris Wide Track 500 LX
	1997-	Polaris Indy 440 Tran Sport
	1995-	Polaris Indy 440 Sport (black)
	1999-	Polaris 440 Tran Sport
	1998-	Polaris 440 Sport Touring
	1998-	Polaris 440 Sport Touring
	1998-	Polaris 440 Tran Sport
	1998-	Polaris 440 Sport Touring
	1998-	Polaris 440 Sport Touring
	1998-	Polaris 440 Sport Touring
	1998-	Polaris 440 Sport Touring
	2000-	Polaris Wide Track 500 LX (FS-6)
	1998-	Polaris 440 Tran Sport (FS-4)
	1994-	Polaris Indy Wide Track 500 LX (FS-3)
	1995-	Polaris Indy 440 Tran Sport (CP-1)
	1998-	Polaris 440 Tran Sport (SM-1)
	 	 
	Vehicles
	1981 	Blue Bird Bus
	1982 	Ford Pickup
	1983 	Chevy Flatbed
	1984 	Bronco II
	1984 	Ford Ranger
	1984 	GMC Bus
	1985 	Ford Bus

 

    	
 

    	 

    

	 	 
	List of Assets
	1985	Ford F800 Van
	1985	Ford Pickup
	1985	Thomas Bus-2
	1986	Ford Pickup-7
	1986	Ford Flatbed-2
	1986	Ford Dump Truck
	1986	Ford F250 Pickup
	1986	GMC 28 Passenger Bus-2
	1986	GMC Pickup
	1987	Ford Pickup
	1987	Nissan Pickup
	1987	Versa Lift-Cherry Picker
	1988	Ford Club Wagon-2
	1989	Ford F350 Pickup
	1989	Chevrolet S10 Pickup
	1989	Chevrolet Pickup
	1989	Subaru GL Wagon
	1990	Chevrolet Pickup-2
	1990	KW K130 Truck
	1990	AFBI Terrtrac TT-Hill Tractor
	1991	Ford Ranger Pickup
	1991	Chevrolet 1 Ton
	1991	Nissan Pickup
	1991	Ford Pickup
	1992	Ford Explorer XL
	1992	Ford Pickup
	1993	Ford 15 Passenger Van
	1993	Ford Mini Coach
	1993	Ford F150 Pickup
	1993	Ford F250 Pickup
	1993	Chevrolet 3/4 Ton Truck
	1993	Chevrolet Pickup
	1994	Dodge Caravan(Denver)
	1993	Asphalt Sweepster
	1994	Dodge Pickup
	1994	Dodge Ram Pickup
	1994	Ford F150 Pickup
	1994	Chevrolet Blazer
	1994	GMC Pickup
	1994	Ford F350 Pickup
	1995	Dodge Pickup
	1995	Ford Aerostar Van
	1995	Ford F150 Pickup
	1995	Freightliner Dump
	1996	Ford E350 Van-2

 

    	
 

    	 

    

	 	 
	List of Assets
	1996	Ford F150 Pickup-2
	1996	Homemade Trailer
	1997	Ford E350 Van
	1997	Winch Cable
	1997	Clark Mdl. TW40 36 Volt Electric Forklift
	1997	Super Haul Snow Box
	1999	Melore Bobcat
	2000	Chevrolet Pickup

	 
	Snowmaking
	Booster Pumphouse
	Control Building
	Primary Pumphouse
	Sleeper Pumphouse
	MJ Pump Vault
	Drainage Valve Bldg-Upper Block House
	Drainage Valve Bldg-Lower Block House
	Sleeper Snowmaking Expansion
	Hydrants
	Guns
	Pipes
	Compressors
	Weather Station

	 
	Utility Equipment
	AT&T Lease
	Cathodic Protection System
	Electrical Systems/Power Feeds/Power Lines
	Energy Savings/Control Program
	Fuel Management System
	Fuel Storage Tanks/Pumps
	Lighting
	Sound Systems
	 
	Landscaping (Including lights, signage, banners, trash recepticals, fencing, etc.)
	Base of Ski Area

 

    	
 

    	 

    

	 
	List of Assets
	Base Village
	Mary Jane
	 
	Railroad Containment Berm
	 
	Alpine Slide
	Sleds (237)
	Alpine Slide Track
	Arrow Lift Modification
	Landscape
	Ramps & Walkway
	Sled Mover Bottom
	Sled Mover Top
	Storage Building-Alpine Slide
	 
	Equipment
	Audio Visual Equipment
	Bar Code Scanners
	Base Operations Equipment/Tools
	Bike Stands/Barriers
	Carpet
	Children’s Center Rental Equipment
	Competition Center Equipment
	Comptrol Ticketing/Season Pass System
	Computer Equipment
	Credit Card/Cash Registers/POS Systems
	Disc Golf Baskets
	Employee Housing Furniture/Fixtures
	Fleet Maintenance Program
	Food & Beverage Equipment/Furniture
	Front Range Sales Office - furnishings and fixtures
	Kronos Software
	Local Area Network
	Lockers
	Marketing/Advertising Equipment
	Messaging System
	Microsoft Office Software
	Mini Golf Course
	Office Equipment/Furniture
	Outdoor Climbing Wall
	Patrol Equipment
	Playground Equipment
	Radio Equipment
	Rental Bikes/Scooters

 

    	
 

    	 

    

	 
	List of Assets
	Rental Equipment
	Retail Equipment
	Security System
	Signage
	Snowblowers
	Special Events Equipment
	Sports Science Equipment
	Tents
	Uniforms
	Weather Station
	Y2K Hardware/Software
	 
	3 Portable Marketing backdrops for shows, sales, etc.
	Various Original Artwork
	 
	Webcam Equipment (Camera, Cables, etc.)
	Balcony House
	Children’s Center
	Mary Jane (2)
	 
	Mountain Cam
	Video and Transmitting equipment located at
	Winter Park Mountian Lodge

 

    	
 

    	 

    

EXHIBIT K 

TO LEASE AND OPERATING AGREEMENT

Transition Costs

	 	 
	(a)	Vacation and Sick Payout
	(b)	Funding of SERP Benefits, Accrued SERP Liability and Deferred Compensation Liability
	(c)	Existing Management Contracts and Severance Costs (including associated costs)
	(d)	Pension Plan Consultants
	(e)	Ongoing Administrative Costs re: Pension Plan
	(f)	Pension Termination Costs
	(g)	401k Termination Costs
	(h) 	Continued Provision of Benefits to Seasonal Employees 
	(i)	Continued Provision of Retiree Medical Coverage 
	(j)	Benefits Consultants – Rollover to Intrawest Plans 
	(k)	Compensation Review Costs
	(l)	Training and Other Integration Costs

 

    	
 

    	 

    

EXHIBIT L

TO LEASE AND OPERATING AGREEMENT

ASSIGNMENT AND
ASSUMPTION AGREEMENT 

(Intangible Personal Property)

This ASSIGNMENT
AND ASSUMPTION AGREEMENT (this “Agreement”) is made as of _________________, 2002 between Winter Park Recreational
Association, a Colorado nonprofit corporation (“WPRA”) for itself and as agent for the City and County of Denver and
Intrawest/Winter Park Operations Corporation, a Delaware corporation (“Intrawest”).

          A.
WPRA, as landlord, entered into that certain Lease and Operating Agreement, dated _________, 2002, with Intrawest as tenant (the
“Lease”) concerning the Winter Park Resort as described therein.

          B.
WPRA desires to assign to Intrawest all of WPRA’s right, title and interest in and to all contracts to which WPRA is a party,
not including (i) the Lease and any document described therein to which Intrawest or an affiliate is a party, (ii) those items
that are being separately licensed to Intrawest pursuant to that certain License Agreement between the parties of even date herewith,
(iii) contracts that constitute real property as defined under Colorado law that is being separately leased or subleased to Intrawest
pursuant to the Lease, (iv) any governmental rights not transferable as a matter of law, and (v) any other agreement now or hereafter
existing for the operation of WPRA as contrasted to operation of the Winter Park Resort (“Assigned Contracts”); and
Intrawest desires to assume all of WPRA’s obligations under the Assigned Contracts.

          NOW
THEREFORE, in consideration of the Lease and the promises and agreements made therein and other good and valuable consideration,
the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows:

          1.
Assignment. WPRA hereby sells, assigns, sets over, transfers and conveys to Intrawest all of WPRA’s right, title and
interest in and to the Assigned Contracts.

          2.
Assumption. Intrawest hereby assumes all of the obligations and liabilities of WPRA under the Assigned Contracts.

          3.
Termination. Upon termination of the Lease for any reason, Intrawest shall immediately execute an agreement by which all
Assigned Contracts contemplated in this Agreement that are still in effect at the time of such termination, as well as all agreements
entered into by Intrawest following the date of execution of this Agreement, which constitute Leased Assets (defined in the Contract),
shall be assigned to and assumed by WPRA, or such other party as WPRA shall designate in writing. All such agreements which are
assigned to WPRA upon termination of this Agreement shall be free and clear of any and all liens or encumbrances.

 

    	
1

    	 

    

Executed as of the date first
written above.

	 	 	 	 
	 	WPRA:
	 	 
	 	Winter Park Recreational Association,

a Colorado nonprofit corporation
	 	 
	 	By:	 	 
	 	 
	 	INTRAWEST:
	 	 
	 	Intrawest/Winter Park Operations Corporation, 

a Delaware corporation
	 	 
	 	By:	 	 

 

    	
2

    	 

    

 

EXHIBIT M

TO LEASE AND OPERATING AGREEMENT

LICENSE AGREEMENT 

(Intellectual Property)

     THIS
LICENSE AGREEMENT (“Agreement”) is entered into and effective as of __________, 2002 by and between Winter Park Recreational
Association, a Colorado nonprofit corporation (“WPRA”) for itself and as agent for the City and County of Denver and
Intrawest/Winter Park Operations Corporation, a Delaware corporation and Intrawest/Winter Park Development Corporation, a Delaware
corporation (collectively, “Intrawest”).

Recitals:

     A.
WPRA is the owner of certain trademarks, service marks, trade names, patents, licenses, permits and copyrights, which are described
or listed on Exhibit A attached hereto (“Intellectual Property”).

     B.
WPRA wishes to grant, and Intrawest wishes to receive, a license to use WPRA’s Intellectual Property on the terms set forth
below.

Agreement:

     NOW,
THEREFORE, in consideration of the mutual covenants and agreements set forth in the Lease and Option Agreement (defined below),
and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereto
agree as follows:

1. Grant of License. WPRA
hereby grants to Intrawest and Intrawest hereby accepts, subject to the terms and conditions of this Agreement, an exclusive, royalty-free
license (the “License”) to use the Intellectual Property in connection with all of Intrawest’s operations and
activities undertaken by Intrawest with respect to the Winter Park Resort pursuant to that certain Lease and Operating Agreement
(the “Lease”) and that certain Option Agreement (the “Option Agreement”) between WPRA and Intrawest. WPRA
hereby grants to Intrawest the right to sublicense its rights hereunder, so long as such sublicensee agrees to be bound by the
terms of this Agreement. Intrawest will notify WPRA of the terms of any such sublicense as well as the identity of the sublicensee,
promptly after entering into any such sublicense.

 

    	1

    	 

    

2. Ownership of Licensed Mark.

     2.1.
Intrawest acknowledges WPRA’s exclusive right, title and interest in and to the Intellectual Property, all goodwill associated
therewith and all rights relating thereto, and will not at any time do or cause to be done any act or thing contesting or in any
way impairing or tending to impair any part of the Intellectual Property, or WPRA’s rights in and to such Intellectual Property.
Any use of the Intellectual Property by Intrawest or sublicensee will inure to the benefit of WPRA.

     2.2.
Intrawest will take any and all reasonable and necessary actions to protect the validity and strength of the Intellectual Property.
Such action may include without limitation, (i) assuming responsibility for the defense of any lawsuit challenging or affecting
rights to the Intellectual Property, and/or (ii) instituting litigation to protect its rights to the Intellectual Property. WPRA
shall cooperate with Intrawest (at Intrawest’s expense) in connection with any such lawsuit or litigation if reasonably requested
to do so by Intrawest. Should Intrawest choose to or be required to take any action with respect to the Intellectual Property,
all reasonable costs and expenses of such action will be borne by Intrawest, and Intrawest will indemnify, defend and hold WPRA
harmless from and against any and all such costs and expenses (including, without limitation, attorneys’ fees and disbursements).
All damages, profits, penalties, attorneys’ fees and other consideration, compensation or reimbursement, which may be recovered,
will be accounted for as provided in the Lease.

3. Right of Inspection of Materials
Upon reasonable notice, WPRA will have the right to inspect at any time any materials being used by Intrawest in order to determine
if the use of the Intellectual Property on or in such materials is consistent with the terms of this Agreement. Upon notice from
WPRA that any materials do not, in its reasonable judgement, comply with the terms of this Agreement, Intrawest agrees to amend
such materials, prior to further use, to the reasonable satisfaction of WPRA.

4. Term This Agreement
will terminate immediately upon termination of the Lease for any reason. Upon termination, Intrawest will immediately cease use
of the Intellectual Property. Any remaining inventory of products using the Intellectual Property, as well as all rights in and
to the Intellectual Property, will be surrendered and assigned, if necessary, to WPRA free and clear of any liens, encumbrances
or charges. At termination, the term “Intellectual Property” shall include any and all items of the type listed on
Exhibit A attached hereto, which were created by Intrawest in connection with its obligations under the Lease and Option Agreement
subsequent to the date of execution of this Agreement and which are unique, exclusive and specifically related to Winter Park Resort.

 

    	2

    	 

    

5. Miscellaneous This Agreement may not be modified
other than by a written amendment executed by each of the parties hereto. This Agreement will be construed in accordance with,
and be governed by, the laws of the State of Colorado. If any provision or part thereof in this Agreement is held invalid, illegal
or unenforceable for any reason, the remainder of this Agreement will nonetheless remain in full force and effect. This Agreement
will benefit and be binding upon the parties hereto and their respective heirs, representatives, successors and assigns. This Agreement
constitutes the entire understanding and agreement of the parties hereto with respect to the subject matter covered in it and supersedes
all prior agreements and understandings, written or oral, among any of the parties with respect to such subject matter.

     IN
WITNESS WHEREOF, the parties hereto have executed and delivered this Agreement as of the day and year first above written.

Winter Park Recreational Association

a Colorado nonprofit corporation

	 	 	 
	By:	 	 

Intrawest/Winter Park Operations Corporation

a Delaware corporation

	 	 	 
	By:	 	 

Intrawest/Winter Park Development Corporation,

a Delaware corporation

	 	 	 
	By:	 	 

 

    	3

    	 

    

Exhibit A

Intellectual Property

1. All copyrights

2. All patents

3. All licenses and permits which give WPRA rights to the Intellectual Property

4. Goodwill

5. All trademarks, trade names and service marks, including but not limited to those listed on the pages attached hereto including, without limitation, those described on the following
pages.

 

    	4

    	 

    

 

	 	 	 	 	 	 
	Trademark	Owner	Goods/Services & 

Class Number	Federal or 

State (Colorado)	Registration 

Number	Expiration/Renewal 

Date
	COLORADO’S FAVORITE (Words)	Winter Park Recreational Association	
        Clothing (Int’l 25) Ski Resort Services (Int’l
        41)

         
	Federal	1,999,321 (Federal)	September 10, 2006
	COLORADO’S FAVORITE (Stylized)	Winter Park Recreational Association	Clothing (Int’l, State 25) Ski Resort Services (Int’l, State 41)	Federal & State	1,999,322 (Federal) 

951015689 (State) 951015640 (State)	
        September 10, 2006 (Federal)

        February 7, 2005 (State)

        February 7, 2005 (State)

         

	COLORADO’S FAVORITE SKI RESORT (Words)	
        Winter
        Park Recreational Association

         
	Clothing (Int’l 25)	Federal	2,013,187 (Federal)	November 5, 2006
	COLORADO’S FAVORITE SKI RESORT (Stylized)	Winter Park Recreational Association	Clothing (Int’l, State 25) Ski Resort Services (Int’l 41)	Federal & State	2,020,248 (Federal) 

941135081 (State)	
        December 3, 2006 (Federal)
        

        December 6, 2004 (State)

         

	COLORADO’S FAVORITE SKI RESORT (Stylized)	Winter Park Recreational Association	
        Education
        & Entertainment (State 41)

         
	State	941135080	December 6, 2004
	COME PEDAL THE PARK (Words)	Winter Park Recreational Association	
        Education
        & Entertainment (State 41)

         
	State	941135076	December 6, 2004

 

    	5

    	 

    

 

	 	 	 	 	 	 
	Trademark	Owner	Goods/Services & 

Class Number	Federal or 

State (Colorado)	Registration 

Number	Expiration/Renewal 

Date
	COME PEDAL THE PARK (Words)	Winter Park Recreational Association	
        Utensils & Containers (State 21)

         
	State	941135077	December 6, 2004
	COME PLAY AT THE PARK (Words)	Winter Park Recreational Association	
        Education & Entertainment
        (State 41)

         
	State	941135075	December 6, 2004
	DISCOVERY PARK (Words)	Winter Park Recreational Association	
        Education & Entertainment
        (State 41)

         
	State	941135078	December 6, 2004
	JANE GANG (Words)	Winter Park Recreational Association	
        Education & Entertainment
        (State 41)

         
	State	951015688	February 7, 2005
	NO PAIN NO JANE (Words)	Winter Park Recreational Association	Clothing (State 25)	State	941135070	December 6, 2004
	NO PAIN NO JANE (Words)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	941135071	December 6, 2004
	PARSENN BOWL (Words)	Winter Park Recreational Association	Clothing (State 25) (State 41)	State	951100533 

95110532	August 9, 2005 

August 9, 2005
	PARSENN BOWL (Words & Design)	Winter Park Recreational Association	Clothing (State 41)	State	941135079	December 6, 2004
	PERFORMANCE LAB (Words)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	961141501	October 30, 2006
	POWDER EXPRESS (Stylized)	Winter Park Recreational Association	Clothing (State 25)	State	941143805	December 27, 2004
	POWDER EXPRESS (Stylized)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	941143806	December 27, 2004

 

    	6

    	 

    

 

	 	 	 	 	 	 
	Trademark	Owner	Goods/Services & 

Class Number	Federal or 

State (Colorado)	Registration 

Number	Expiration/Renewal 

Date
	POWDER PLUS (Stylized)	Winter Park Recreational Association	Education & Entertainment (State 41)	State Renewal	911097560 

20011204412C	December 2, 2001

October 23, 2001
	THE JANE GANG	Winter Park Recreational Association	APPLICATION FILED
	THE JANE GANG	Winter Park Recreational Association	APPLICATION FILED
	PREFERENCE PRICING (Words)	Winter Park Recreational Association	Education & Entertainment (State 41)	State Renewal	911097561 

200112044130	December 2, 2001 

October 31, 2011
	RIDER IMPROVEMENT CENTER (Words & Design)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	971001561	January 6, 2007
	RIDER IMPROVEMENT CENTER (Words)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	961141500	October 30, 2006
	SKIER IMPROVEMENT CENTER (Words & Design)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	961141499	October 30, 2006
	SNOWBALL EXPRESS (Words)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	941135074	December 6, 2004
	SPRING SPLASH (Words)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	941135073	December 6, 2004
	SUNSPOT (Words)	Winter Park Recreational Association	Restaurant Services (Int’l 42)	Federal	1,800,300	October 19, 2003
	SUNSPOT (Words & Design)	Winter Park Recreational Association	Jewelry, Jewelry Pins (Int’l 14); Water Bottles and Mugs (Int’l 21); Clothing (Int’l 25)	Federal	1,864,634	November 29, 2004
	THE LODGE AT SUNSPOT (Words)	Winter Park Recreational Association	Restaurant Services (Int’l 42)	Federal	1,800,302	October 19, 2003
	THE LODGE AT SUNSPOT (Words & Design)	Winter Park Recreational Association	Restaurant Services (Int’l 42)	Federal	1,800,301	October 19, 2003
	WE GUARANTEE YOU’LL NOTICE THE DIFFERENCE (Words)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	941135072	December 6, 2004
	MARY JANE (Words & Design)	Winter Park Recreational Association	Clothing (State 25)	State	941143807	December 27, 2004
	MARY JANE (Words & Design)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	941143808	December 27, 2004

 

    	7

    	 

    

 

	 	 	 	 	 	 
	Trademark	Owner	Goods/Services & 

Class Number	Federal or 

State (Colorado)	Registration 

Number	Expiration/Renewal 

Date
	MARY JANE (Words)	Winter Park Recreational Association	Ski Instruction & Providing Facilities for Skiing (Int’l 41)	Federal	1,189,581	February 9, 2002 Renewed/good through 2/9/2022
	MARY JANE (Stylized)	Winter Park Recreational Association	Stationery (Int’l 16); T-shirts (Int’l 25); Ski Resort Services (Int’l 41)	Federal	1,990,886	August 6, 2006 ABANDONED – NO LONGER IN USE
	GUEST CENTERED TEACHING	Winter Park Recreational Association	State 41	State	961141498	October 30, 2006
	WINTER PARK ‘N RIDE (Words & Design)	Winter Park Recreational Association	Transport of Passengers by Bus (Int’l 39)	Federal	2,444,337	April 17, 2011
	THE LIFT RESORT SHUTTLE (Words & Design)	Winter Park Recreational Association	Transport of Passengers by Bus (Int’l 39)	Federal (APPLICATION FILED 3/17/2000)	Serial No. 2,546,036	March 12, 2012
	WINTER PARK RESORT (Words & Design)	Winter Park Recreational Association	Education & Entertainment (State 107)	State	T29456	March 17, 2005
	WINTER PARK RESORT (Words & Design)	Winter Park Recreational Association	Providing Facilities for Skiing, Lessons, Tennis Facilities (Int’l 41); Arranging for Lodging & Meals at Ski Resort (Int’l 42)	Federal	1,401,619	July 15, 2006
	WP (Stylized)	Winter Park Recreational Association	Ski, Ski Equipment Rental, Restaurant Services, Restaurant Services (Int’l 42); Ski Instruction, Providing Facilities for Skiing (Int’l 41)	Federal	961,726	June 19, 2003
	WINTER PARK RESORT (Stylized & Design)	Winter Park Recreational Association	Stationery, Postcards, Photographic Prints, Playing Cards (Int’l 16); Clothing (Int’l 25); Golf Balls, Board Games (Int’l 28)	Federal	2,000,722	September 17, 2006
	WINTER PARK RECREATIONAL ASSOCIATION (Trade Name)	Winter Park Recreational Association	Registered Trade Name	State	L01-08092-000	 

 

    	8

    	 

    

 

	 	 	 	 	 	 
	Trademark	Owner	Goods/Services & 

Class Number	Federal or 

State (Colorado)	Registration 

Number	Expiration/Renewal 

Date
	EXTREMELY COLORADO (Words)	Winter Park Recreational Association	Stationery (Int’l 16); T-shirts (Int’l 25); Ski Resort Services (Int’l 41)	Federal	2,002,327	September 24, 2006
	EXTREMELY COLORADO (Words)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	941143810	December 27, 2004
	ROCKFEST AT WINTER PARK (Words)	Winter Park Recreational Association	Promoting Musical Concerts of Others (Int’l 35)	Federal (SUPPLEMENTAL REGISTER)	2,367,265	July 11, 2010
	EXTREMELY COLORADO (Words)	Winter Park Recreational Association	Clothing (State 25)	State	941143809	December 27, 2004
	FANCIFUL DESIGN OF V AND MOUNTAIN (Design)	Winter Park Recreational Association	Marketing, Advertising, Promotional Services for Retail, Residential, Resort Complex (Int’l 35)	Federal (APPLICATION FILED 3/17/2000)	Serial No. 76003101	 
	THE VILLAGE AT WINTER PARK (Word)	Winter Park Recreational Association	Ski Resort Lodge (Int’l 42)	Federal (SUPPLEMENTAL REGISTER)	2,572,300	May 21, 2012
	WEST PORTAL OUTFITTERS AND STAR (Design)	Winter Park Recreational Association	Retail Store Services (Int’l 35)	Federal (APPLICATION FILED 3/17/2000)	Serial No. 76003017	 
	WEST PORTAL RENTALS AND REPAIRS (Stylized)	Winter Park Recreational Association	Retail Store Services (Int’l 35)	Federal (APPLICATION FILED 3/17/2000)	2,566,564	May 7, 2002
	WEST PORTAL BOOTS + BOARDS (Words & Design)	Winter Park Recreational Association	Retail Store Services (Int’l 35)	Federal	2,438,461	March 27, 2011
	SLOPESIDE GEAR & SPORTS (Words & Design)	Winter Park Recreational Association	Retail Store Services (Int’l 35)	Federal (APPLICATION FILED 3/17/2000)	Serial No. 76003020	 
	BASE CAMP 9000 AND COMPASS (Words & Design)	Winter Park Recreational Association	Retail Store Services (Int’l 35)	Federal (APPLICATION FILED 3/17/2000)	2,544,030	March 5, 2012
	WINTER PARK CENTRAL RESERVATIONS	Winter Park Recreational Association	Marketing, promotions, travel	State	378052	 
	ROCKFEST AT WINTER PARK	Winter Park Recreational Association	Entertainment services, promotion, sponsorship of music festivals	Federal	2367265 (Serial No. 751701806)	July 11, 2010

 

    	9

    	 

    

 

	 	 	 	 	 	 
	Trademark	Owner	Goods/Services & 

Class Number	Federal or 

State (Colorado)	Registration 

Number	Expiration/Renewal 

Date
	WINTER PARK RESORT TRAVEL SERVICES	Winter Park Recreational Association	Travel agency	State	278486	N/A

 

    	10

    	 

    

EXHIBIT N 

TO LEASE AND OPERATING AGREEMENT

SERP Liabilities

	 	 	 	 	 
	Retiree No. 1	 	$242,243	 	As of June 30, 2002
	Current Mgmt SERP	 	$320,700	 	As of August 1, 2002
	 	 	 	 	 
	 	 	$562,943	 	 

 

    	 

    	 

    

EXHIBIT O 

TO LEASE AND OPERATING AGREEMENT

Deferred Compensation Arrangements

	 	 	 	 	 
	Retiree No. 2	 	$52,500 	 	As of Sept 1, 2002
	Retiree No. 3	 	$43,700	 	As of Sept 1, 2002
	 	 	 	 	 
	 	 	$96,200	 	 

    	 

    	 

    

Date/Time
of Last Edit

August 28, 2002 12:48 pm

EXHIBIT P 

TO LEASE AND OPERATING AGREEMENT

TERMS FOR PROGRAM - LIFETIME SKI PASS
HOLDERS

	 	 
	A.	All Except Trustees
	 	 
	Holders shall be entitled to lift privileges for themselves for their natural lives.
	 
	B.	Vested Trustees
	 	 
	Holders shall be entitled to lift privileges for themselves and their immediate families for their natural lives. Immediate families consist of: (a) spouse or “significant” other; (b) children (c) spouses of children. Holders will be provided lift privileges through the issuance of bar-coded photo passes which shall be valid for lift. These privileges are assigned specifically to the individual to whom it is issued and abuse of the privilege will result in its loss. Grandchildren, through the age of 18, will be issued photo passes upon the request of the Holder.
	 
	C.	Unvested Trustees
	 	 
	Holders shall be entitled to lift privileges for themselves and their spouse or “significant” other for their natural lives, and the holder’s children through the age of 18. Holders will be provided lift privileges through the issuance of bar-coded photo passes which shall be valid for lift. These privileges are assigned specifically to the individual to whom it is issued and abuse of the privilege will result in its loss

    	 

    	 

    

EXHIBIT Q

TO LEASE AND OPERATING AGREEMENT

SKI RUN NAMES TO BE RETAINED

	 
	Hughes
	Larry Sale
	Little Pierre
	Mulligan’s Mile
	Balch 
	Bradley’s Bash
	Cranmer
	Cranmer Cutoff
	Allen Phipps
	Over-n-Underwood
	Engle Dive 
	Butch’s Breezeway
	Jack Kendrick
	Bill Wilson’s Way
	Ski Papa
	Groswold Discovery Park
	Sorensen Park
	Bellmar Bowl
	Johnstone’s Junction
	Willett’s Way
	Brian’s Run
	Retta’s Run
	Baldy’s Chute
	Jeff’s Chute
	Norwegian
	Drunken Frenchman
	Feebleminded
	Topher’s Trees
	Swede’s Ridge

    	 

    	 

    

EXHIBIT R

TO LEASE AND OPERATING AGREEMENT

Long-Term Liabilities

Winter Park Recreational Association

	 	 	 	 	 
	Description	 	Balance

09/28/02
	 	 	 	 
	County Note	 	 	 
	Principal (4/15 payment)	 	 	  3,164,840.77
	Interest (4/15 payment)	 	 	 
	Interest (10/15 payment)	 	 	 
	Total	 	 	 
	 	 	 	 
	Long Term Note	 	 	 
	Principal (5/1 payment)	 	 	 14,596,625.00
	Interest (5/1 payment)	 	 	 
	Interest (10/30 payment)	 	 	 
	Total	 	 	 
	 	 	 	 	 
	Totals	 	 	17,761,465.77	 
	 	 	 	 	 

    	 

    	 

    

EXHIBIT S

TO LEASE AND OPERATING AGREEMENT

Real Property Landlord Leases from
Third Parties

PARCEL HH

The leasehold estate and all other
rights, title and interests created or granted under the Second Amended and Restated Ground Lease Agreement between The
Colorado Arlberg Club, a Colorado nonprofit corporation, as lessor, and Winter Park Recreational Association, a Colorado
nonprofit corporation, as lessee, and evidenced by Memorandum of Second Amended and Restated Ground Lease Agreement dated
December 20, 2002 and recorded ___________________, which leasehold estate covers those certain parcels of land described as
follows:

Parcel HH-1:

That portion of the Mary Jane Placer
Mining Claim (U.S. Mineral Survey No. 16378) located in the Fraser Mining District, and embracing portions of Sections 10 and 15,
suspended, Township 2 South, Range 75 West of the 6th P.M., described as follows:

Beginning at Corner No. 2 of said Mary Jane Placer Mining
Claim;

thence N13°14’15”E, along Line 2-1 of said Mary Jane Placer Mining Claim, 984.00 feet;

thence N76°59’56”W, 152.00 feet;

thence S80°09’43”W, 300.00 feet;

thence S57°47’49”W, 480.30 feet;

thence S13°14’15”W, parallel with Line 1-2 of said Mary Jane Placer Mining Claim, 523.6 feet to Line 3-2 thereof;

thence S76°46’00”E, along Line 3-2 of said Mary Jane Placer Mining Claim, 765.00 feet to the Point of Beginning.

Parcel HH-2:

That portion of the MARY JANE PLACER
MINING CLAIM (U.S. Mineral Survey No. 16378) located in the Fraser Mining District, and embracing portions of Sections 10 and 15,
suspended, Township 2 South, Range 75 West of the 6th P.M., described as follows:

Beginning at Corner No. 2 of said Mary Jane Placer Mining
Claim;

thence N13°14’15”E, along Line 2-1 of said Mary Jane Placer Mining Claim, 984.00 feet;

thence N76°59’56”W, 152.00 feet;

thence S80°09’43”W, 300.00 feet;

thence S57°47’49”W, 480.30 feet to the TRUE POINT OF BEGINNING;

thence S13°14’15”W, parallel with Line 1-2 of said Mary Jane Placer Mining Claim, 523.6 feet to Line 3-2 thereof;

 

    	S-1

    	 

    

thence N76°46’00”W, along Line 2-3 of said
Mary Jane Placer Mining Claim, 865.00;

thence N13°14’15”E, parallel with Line 2-1 of said Mary Jane Placer Mining Claim, 523.60 feet to a point that bears
N76°46’00”W from the True Point of Beginning;

thence S76°46’00”E, parallel with Line 3-2 of said Mary Jane Placer Mining Claim, 865.00 feet to the TRUE POINT
OF BEGINNING.

Parcel HH-3:

That portion of the MARY JANE PLACER MINING CLAIM (U.S. Mineral
Survey No. 16378) located in the Fraser Mining District, and embracing portions of Sections 10 and 15, suspended, Township 2 South,
Range 75 West of the 6th P.M., described as follows:

Beginning at Corner No. 4 of said Mary Jane Placer Mining
Claim;

thence S76°46’15”E, along Line 4-1 of said Mary Jane Placer Mining Claim, 250.00 feet;

thence S13°14’00”W, parallel with Line 4-3 of said Mary Jane Placer Mining Claim, 1,150.00;

thence N76°46’l5”W, parallel with Line 1-4 of said Mary Jane Placer Mining Claim, 250.00 feet to Line 3-4 thereof;

thence N13°14’00”E, along Line 3-4 of said Mary Jane Placer Mining Claim 1.150.00 feet to the Point of Beginning.

Parcel HH-4:

That portion of the MARY JANE PLACER MINING CLAIM (U.S. Mineral
Survey No. 16378) located in the Fraser Mining District, and embracing portions of Sections 10 and 15, suspended, Township 2 South,
Range 75 West of the 6th P.M., described as follows:

Commencing at Corner No. 2 of said Mary Jane Placer; thence
N13°14’15”E, 984.00 feet; thence N76°59’56”W, 152.00 feet; thence S80°09’43”W,
81.85 feet to the TRUE POINT OF BEGINNING;

Thence continuing S80°09’43”W, 218.15 feet;

Thence N06°48’42”W, 231.45 feet;

Thence S57°47’04”E, 139.13
feet to a point of curve to the right

Thence Southeasterly, 53.69 feet along the arc of said curve
to the right to a point tangent, said arc having a radius of 230.00 feet, a delta angle of 13°22’28” and being
subtended by a chord that bears S51°05’50”E, 53.57 feet;

Thence S44°24’36”E, 118.62 feet to the TRUE
POINT OF BEGINNING.

 

    	S-2

    	 

    

PARCEL II

Leasehold estate and all other rights, title and interests
created or granted under the Master Lease and Purchase Option Agreement between The Vailco Group, LLC, a Colorado limited liability
company, and Winter Park Services, Inc., a Colorado corporation, a Memorandum of which was recorded on September 28, 2000 under
Reception No. 2000-009066, which covers the real property described as follows:

Lot 3 Block B of the Indian Meadows Golf Course and Subdivision
First Filing according to the plat recorded February 23, 1999 at Reception No. 99001600 and a Replat of Lot 3, Block a Indian Meadows
Golf Course and Subdivision on First Filing, Filed July 22, 1999 at Reception No. 99007661 of the Records of the Clerk and Recorder
of the County of Grand, State of Colorado

	 	 
	NOTE:	For the purposes of this Exhibit S, “recorded” means recorded with the office of the Clerk and Recorder of Grand County, Colorado.

 

    	S-3

    	 

    

EXHIBIT S

TO LEASE AND OPERATING AGREEMENT

SCHEDULE OF LEASES

Winter Park Recreational Association (“WPRA”) as Lessee

	 	 	 	 	 	 	 	 	 
	 	Lessor	 	 	Property	 	 	Date of Lease	 
	 	 	 	 	 	 	 	 	 
	 	Columbine West, LLC

(Front Range Ticket Office)	 	 	620 SF, Suite 209, 400 S. McCaslin

Boulevard, Boulder, Colorado	 	 	10/1/98	 
	 	Crestview at Winter Park

Limited Partnership (Central Reservations)	 	 	6000 SF (including 5’ into interior mall) and 2 parking spaces in garage	 	 	11/21/97	 
	 	Mercy Services Corporation, a Nebraska non-profit corporation	 	 	Part of first floor of 505 Willow Lane (Wapiti Meadows), Fraser, Colorado for Child Development Center (Day Care)	 	 	11/4/98	 
	 	 	 	 	 	 	 	 	 
	 	Zephyr Mountain Development, LLC	 	 	5326 SF at 201 Zephyr Way	 	 	11/1/99	 
	 	USFS	 	 	Sunspot Communications Site	 	 	7/11/2000	 
	 	USFS	 	 	Bullfrog Communications Site	 	 	9/6/1997	 

    	 

    	 

    

EXHIBIT T

TO LEASE AND OPERATING AGREEMENT

REAL PROPERTY LANDLORD LEASES TO THIRD
PARTIES

	 	 	 	 	 	 	 	 	 
	 	Lessee	 	 	Property	 	 	Date of Lease	 
	 	ALTA Colorado, L.L.C., a Utah limited partnership (Vintage Hotel)	 	 	Land lease at base of Winter Park for 124-room hotel	 	 	9/1/98	 
	 	Amaze Venture, Inc.	 	 	Space located in main base area to operate a outdoor maze during the summer.	 	 	7/1/93]	 
	 	Andrew L. Arnold, M.D. d/b/a 7 Mile Medical Clinic	 	 	Total of 2494 SF in Childrens Center Building	 	 	6/1/99	 
	 	Invisible, Inc., a Colorado Corporation (Coffee Tea Market)	 	 	1203 SF on Second level of Balcony House	 	 	5/1/97	 
	 	National Sports Center for the Disabled, Inc., a Colorado non-profit corporation	 	 	1900 SF on first floor of Balcony House

266 SF in basement of Balcony House

2985 SF on first floor of West Portal Station

324 SF in basement of West Portal Station

260 SF on 2nd floor of WPRA Administration Building

Licenses to use:

West Parcel of Evans Tract

Tract 41

Village at Winter Park I

Parcels leased from Arlberg Club

Land under easement created by quitclaim to WPRA as grantee, Book 280, Page 676

Land used by WPRA under Special Use Permit #1019 from Forest Service

All WPRA parking facilities (tenant pays for use on same basis as public)

	 	 	10/1/2000	 
	 	Proloc, Inc. (now known as TAK Enterprises per WPRA)	 	 	Space in Balcony House (ski storage)	 	 	11/1/2000	 
	 	SharpShooter/Spectrum Venture, LLC	 	 	Space in Balcony House	 	 	11/1/2000	 
	 	Winter Park Restaurant Company	 	 	Any within boundaries of Forest Service Permit land as well as the space located at 6827 County Road 5, Fraser	 	 	7/7/1997 	 
	 	Eskimo Ski Club	 	 	Balcony House Lower Level	 	 	11/1/2001	 
	 	National Weather Service	 	 	Space on Tract 38B for weather monitor site	 	 	7/28/01 	 
	 	Winter Park Restaurant Company	 	 	All food service facilities owned by WPRA i	 	 	7/7/1997	 
	 	Denver Water Dept.	 	 	Tract 38B Admin Site	 	 	9/28/2001	 

 

    	 

    	 

    

EXHIBIT T

TO LEASE AND OPERATING AGREEMENT

COMMUNICATION SITE LEASES

	 	 	 
	BULLFROG COMMUNICATION SITE
	 	 	 
	 	Union Cellular	1994
	 	Comnet Cellular	1996
	 	(Verizon Wireless)	 
	 	MetroCall	1997
	 	Air Touch Paging	1998
	 	(Verizon Wireless Messaging Services)
	 	Fraser Valley Rec. District	1988
	 	 	 
	SUNSPOT DIGITAL COMMUNICATION SITE
	 	 	 
	 	Colorado CallCom	1997
	 	(Western Paging)	 
	 	Nextel	1998
	 	Sprint	2000
	 	Qwest	2001
	 	Voicestream	2001
	 	Denver Water (in negotiations)

    	 

    	 

    

EXHIBIT U 

TO LEASE AND OPERATING AGREEMENT

LEASED TANGIBLE
PERSONAL PROPERTY

	 	 	 
	Snowcat Leases

One Master Lease

Lessor = CIT Group/Equipment Financing, Inc.
	 	 	 
	 	Description	Start Date
	 	 	 
	 	7 Pisten Bully 200 “C”

w/Accessories	12/21/1999
	 	 	 
	 	1 Bombardier BR-180

w/Accessories	12/21/1999
	 	 	 
	 	2 Pisten Bully 200 w/ 

Accessories and cabins	12/07/2000
	 	 	 
	 	Pitney Bowes mail machine
	 	 	 
	 	Ski rack lease from Keelan

    	 

    	 

    

EXHIBIT U (cont)

LEASED TANGIBLE PERSONAL PROPERTY

(Honda Sponsorship Leased Vehicles)

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Unit #	 	VIN #	 	Model	 	Year	 	Department	 	Tab #	 	Plate #	 	Title #	 	Expires(Month/Year) 	 	Status
	301	 	4S6DM58W9Y4418463	 	Passport	 	2000	 	Front Range	 	G383241	 	476CSB	 	53E149627	 	Feb-03 	 	Registered
	302	 	4S6DM58W5Y4410795	 	Passport	 	2000	 	Front Range	 	B235108	 	984CSA	 	53E148863	 	Dec-02 	 	Registered
	303	 	JHLRD1865YS018216	 	CRV	 	2000	 	Mail Car/Finance	 	G382101	 	293CSB	 	53E149212	 	Jan-03 	 	Registered
	304	 	JHLRD1840YC060138	 	CRV	 	2000	 	Security	 	B235109	 	985CSA	 	53E148292	 	Dec-02 	 	Registered
	305	 	JHLRD174XYC056518	 	CRV	 	2000	 	Security	 	F389906	 	986CSB	 	53E149487	 	May-03 	 	Registered
	306	 	4S6DM58W6Y4419067	 	Passport	 	2000	 	Security	 	G382102	 	171CSB	 	53E149035	 	Jan-03 	 	Registered

    	 

    	 

    

EXHIBIT V

TO LEASE AND OPERATING AGREEMENT

WINTER PARK
RECREATIONAL ASSOCIATION 

INTANGIBLE PERSONAL
PROPERTY

	 	 	 	 	 	 
	Trademark	Owner	Goods/Services &

Class Number	Federal or 

State (Colorado)	Registration 

Number	Expiration/Renewal 

Date
	COLORADO’S FAVORITE (Words)	Winter Park Recreational Association	Clothing (Int’l 25) Ski Resort Services (Int’l 41)	Federal	1,999,321 (Federal)	September 10, 2006
	COLORADO’S FAVORITE (Stylized)	Winter Park Recreational Association	Clothing (Int’l, State 25) Ski Resort Services (Int’l, State 41)	Federal & State	1,999,322 (Federal) 

951015689 (State) 

951015640 (State)	September 10, 2006 (Federal) February 7, 2005 (State) February 7, 2005 (State)
	COLORADO’S FAVORITE SKI RESORT (Words)	Winter Park Recreational Association	Clothing (Int’l 25)	Federal	2,013,187 (Federal)	November 5, 2006
	COLORADO’S FAVORITE SKI RESORT (Stylized)	Winter Park Recreational Association	Clothing (Int’l, State 25) Ski Resort Services (Int’l 41)	Federal & State	2,020,248 (Federal) 

941135081 (State)	December 3, 2006 (Federal) December 6, 2004 (State)
	COLORADO’S FAVORITE SKI RESORT (Stylized)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	941135080	December 6, 2004
	COME PEDAL THE PARK (Words)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	941135076	December 6, 2004
	COME PEDAL THE PARK (Words)	Winter Park Recreational Association	Utensils & Containers (State 21)	State	941135077	December 6, 2004
	COME PLAY AT THE PARK (Words)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	941135075	December 6, 2004

 

    	 

    	 

    

 

	 	 	 	 	 	 
	Trademark	Owner	Goods/Services &

 Class Number	Federal or 

State (Colorado)	Registration 

Number	Expiration/Renewal 

Date
	DISCOVERY PARK (Words)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	941135078	December 6, 2004
	JANE GANG (Words)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	951015688	February 7, 2005
	NO PAIN NO JANE (Words)	Winter Park Recreational Association	Clothing (State 25)	State	941135070	December 6, 2004
	NO PAIN NO JANE (Words)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	941135071	December 6, 2004
	PARSENN BOWL (Words)	Winter Park Recreational Association	Clothing (State 25) (State 41)	State	951100533

95110532	August 9, 2005 August 9, 2005
	PARSENN BOWL (Words & Design)	Winter Park Recreational Association	Clothing (State 41)	State	941135079	December 6, 2004
	PERFORMANCE LAB (Words)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	961141501	October 30, 2006
	POWDER EXPRESS (Stylized)	Winter Park Recreational Association	Clothing (State 25)	State	941143805	December 27, 2004
	POWDER EXPRESS (Stylized)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	941143806	December 27, 2004
	POWDER PLUS (Stylized)	Winter Park Recreational Association	Education & Entertainment (State 41)	State Renewal	911097560

20011204412C	December 2, 2001 October 23, 2001
	THE JANE GANG	Winter Park Recreational Association	APPLICATION FILED
	THE JANE GANG	Winter Park Recreational Association	APPLICATION FILED
	PREFERENCE PRICING (Words)	Winter Park Recreational Association	Education & Entertainment (State 41)	State Renewal	911097561

200112044130	December 2, 2001 October 31, 2011
	RIDER IMPROVEMENT CENTER (Words & Design)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	971001561	January 6, 2007
	RIDER IMPROVEMENT CENTER (Words)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	961141500	October 30, 2006
	SKIER IMPROVEMENT CENTER (Words & Design)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	961141499	October 30, 2006
	SNOWBALL EXPRESS (Words)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	941135074	December 6, 2004

 

    	2

    	 

    

 

		 	 	 	 	 
	Trademark	Owner	Goods/Services &

 Class Number	Federal or 

State (Colorado)	Registration

Number	Expiration/Renewal

Date
	SPRING SPLASH (Words)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	941135073	December 6, 2004
	SUNSPOT (Words)	Winter Park Recreational Association	Restaurant Services (Int’l 42)	Federal	1,800,300	October 19, 2003
	SUNSPOT (Words & Design)	Winter Park Recreational Association	Jewelry, Jewelry Pins (Int’l 14); Water Bottles and Mugs (Int’l 21); Clothing (Int’l 25)	Federal	1,864,634	November 29, 2004
	THE LODGE AT SUNSPOT (Words)	Winter Park Recreational Association	Restaurant Services (Int’l 42)	Federal	1,800,302	October 19, 2003
	THE LODGE AT SUNSPOT (Words & Design)	Winter Park Recreational Association	Restaurant Services (Int’l 42)	Federal	1,800,301	October 19, 2003
	WE GUARANTEE YOU’LL NOTICE THE DIFFERENCE (Words)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	941135072	December 6, 2004
	MARY JANE (Words & Design)	Winter Park Recreational Association	Clothing (State 25)	State	941143807	December 27, 2004
	MARY JANE (Words & Design)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	941143808	December 27, 2004
	MARY JANE (Words)	Winter Park Recreational Association	Ski Instruction & Providing Facilities for Skiing (Int’l 41)	Federal	1,189,581	February 9, 2002 Renewed/good through 2/9/2022
	MARY JANE (Stylized)	Winter Park Recreational Association	Stationery (Int’l 16); T-shirts (Int’l 25); Ski Resort Services (Int’l 41)	Federal	1,990,886	August 6, 2006 ABANDONED – NO LONGER IN USE
	GUEST CENTERED TEACHING	Winter Park Recreational Association	State 41	State	961141498	October 30, 2006
	WINTER PARK ‘N RIDE (Words & Design)	Winter Park Recreational Association	Transport of Passengers by Bus (Int’l 39)	Federal	2,444,337	April 17, 2011
	THE LIFT RESORT SHUTTLE (Words & Design)	Winter Park Recreational Association	Transport of Passengers by Bus (Int’l 39)	Federal (APPLICATION FILED 3/17/2000)	Serial No. 2,546,036	March 12, 2012
	WINTER PARK RESORT (Words & Design)	Winter Park Recreational Association	Education & Entertainment (State 107)	State	T29456	March 17, 2005

 

    	3

    	 

    

 

	 	 	 	 	 	 
	Trademark	Owner	Goods/Services & 

Class Number	Federal or 

State (Colorado)	Registration 

Number	Expiration/Renewal

 Date
	WINTER PARK RESORT (Words & Design)	Winter Park Recreational Association	Providing Facilities for Skiing, Lessons, Tennis Facilities (Int’l 41); Arranging for Lodging & Meals at Ski Resort (Int’l 42)	Federal	1,401,619	July 15, 2006
	WP (Stylized)	Winter Park Recreational Association	Ski, Ski Equipment Rental, Restaurant Services, Restaurant Services (Int’l 42); Ski Instruction, Providing Facilities for Skiing (Int’l 41)	Federal	961,726	June 19, 2003
	WINTER PARK RESORT (Stylized & Design)	Winter Park Recreational Association	Stationery, Postcards, Photographic Prints, Playing Cards (Int’l 16); Clothing (Int’l 25); Golf Balls, Board Games (Int’l 28)	Federal	2,000,722	September 17, 2006
	WINTER PARK RECREATIONAL ASSOCIATION (Trade Name)	Winter Park Recreational Association	Registered Trade Name	State	L01-08092-000	 
	EXTREMELY COLORADO (Words)	Winter Park Recreational Association	Stationery (Int’l 16); T-shirts (Int’l 25); Ski Resort Services (Int’l 41)	Federal	2,002,327	September 24, 2006
	EXTREMELY COLORADO (Words)	Winter Park Recreational Association	Education & Entertainment (State 41)	State	941143810	December 27, 2004
	ROCKFEST AT WINTER PARK (Words)	Winter Park Recreational Association	Promoting Musical Concerts of Others (Int’l 35)	Federal (SUPPLEMENTAL REGISTER)	2,367,265	July 11, 2010
	EXTREMELY COLORADO (Words)	Winter Park Recreational Association	Clothing (State 25)	State	941143809	December 27, 2004
	FANCIFUL DESIGN OF V AND MOUNTAIN (Design)	Winter Park Recreational Association	Marketing, Advertising, Promotional Services for Retail, Residential, Resort Complex (Int’l 35)	Federal (APPLICATION FILED 3/17/2000)	Serial No. 76003101	 
	THE VILLAGE AT WINTER PARK (Word)	Winter Park Recreational Association	Ski Resort Lodge (Int’l 42)	Federal (SUPPLEMENTAL REGISTER)	2,572,300	May 21, 2012

 

    	4

    	 

    

 

	 	 	 	 	 	 
	Trademark	Owner	Goods/Services &

Class Number	Federal or 

State (Colorado)	Registration 

Number	Expiration/Renewal 

Date
	WEST PORTAL OUTFITTERS AND STAR (Design)	Winter Park Recreational Association	Retail Store Services (Int’l 35)	Federal (APPLICATION FILED 3/17/2000)	Serial No. 76003017	 
	WEST PORTAL RENTALS AND REPAIRS (Stylized)	Winter Park Recreational Association	Retail Store Services (Int’l 35)	Federal (APPLICATION FILED 3/17/2000)	2,566,564	May 7, 2002
	WEST PORTAL BOOTS + BOARDS (Words & Design)	Winter Park Recreational Association	Retail Store Services (Int’l 35)	Federal	2,438,461	March 27, 2011
	SLOPESIDE GEAR & SPORTS (Words & Design)	Winter Park Recreational Association	Retail Store Services (Int’l 35)	Federal (APPLICATION FILED 3/17/2000)	Serial No. 76003020	 
	BASE CAMP 9000 AND COMPASS (Words & Design)	Winter Park Recreational Association	Retail Store Services (Int’l 35)	Federal (APPLICATION FILED 3/17/2000)	2,544,030	March 5, 2012
	WINTER PARK CENTRAL RESERVATIONS	Winter Park Recreational Association	Marketing, promotions, travel	State	378052	 
	ROCKFEST AT WINTER PARK	Winter Park Recreational Association	Entertainment services, promotion, sponsorship of music festivals	Federal	2367265 (Serial No. 751701806)	July 11, 2010
	WINTER PARK RESORT TRAVEL SERVICES	Winter Park Recreational Association	Travel agency	State	278486	N/A

 

    	5

    	 

    

EXHIBIT V (cont.)

	Additional Intangible Personal Property
	WPRA Development
	Access Road Study
	ADA Study of W.P. Facilities
	Admin. & Balcony House Programing Design
	Beavers-Cooper Creek Gondola Eng.
	City Land-Planned Urban Development
	East Side Pumpback Engineering
	Economic Studies
	Environment Assessment-Environmental Impact Studies
	Fraser River Trail Engineering
	Highway Alignment Project Arch., Eng., Legal
	Jim Creek Boreal Toad Habitat Enhancement Study 00-01
	L.V. Creek Habitat Enhancement 00-01
	Leland Creek Access-Leland Gulch Road Survey
	Looking Glass Replacement Planning
	Mapping 82-87 City Land
	Maps (Various)
	Parking Structure Design
	Seasonal Employee Housing Plans
	Sewer Engineering
	Snowmaking Cathotic Protection Study
	Snowmaking Expansion Study SE Group
	Special Studies
	Transportation Study Base Area
	Vasquez Ridge Expansion Planning
	Master Plan Update - Winter Park-Mary Jane-Vasquez
	Water Engineering (Various)
	Winter Park Mary Jane Preliminary PUD
	Winter Park Village – Resort Ops Planning Study – ’97
	Zephyr Italian Grill Planning
	 
	WP Village Development
	Base Area Consulting
	Base Area FDP including Vested Rights Agreement

    	 

    	 

    

EXHIBIT V (cont.)

	 
	Base Area Economic Survey & Development
	Base Area Land Surveys
	Base Area Planning & Development
	Base Village Design/Legal Service/Architecture
	Base Village Phase II Environmental Services
	Hotel Study
	Property Tax
	Small Tracts Act – Tract 8003
	Transport Study
	Water & Sewer Planning
	 
	Copyrights
	Various Copyrighted Materials
	Including Brochures, Trail Maps,
	Promotional Material, Training Manuals, etc.
	 

 

    	 

    	 

    

Date/Time of Last Edit

August 8, 2002 12:41 pm

EXHIBIT W

TO LEASE AND OPERATING AGREEMENT

WINTER PARK RECREATIONAL ASSOCIATION

SCHEDULE OF MATERIAL PERMITS AND LICENSES

	 	 	 
	Party	Term	Purpose
	Winter Park Restaurant Association (Licensee)	6/12/01 – 6/12/03 (renews annually unless cancelled)	To allow WPRA to offer food for events held on the Plaza (Lot 3).
	Denver Water Board (Licensor)	2/28/97-	Evans Tract
	Denver Water Board (Licensor)	12/30/80	Vasquez-St. Louis Collection Conduit
	Denver Water Board (Licensor)	10/14/86	Allows WPRA to construct, utilize, maintain, repair and replace Alpine Slide Recreational facility.
	Denver Water Board (Licensor)	 	Allows use of bypass water for irrigation at Winter Park base
	Denver and Rio Grande Western Railroad (Licensee)	10/14/96	WPRA allowed to use right-of-way on the East Parcel; Rio Grande has right to relocate west roadbed.
	Town of Winter Park (Licensor), Winter Park Restaurant Co., West Portal Station(Licensee)	Expires 12/2/2002	Liquor license with optional premises.
	Town of Winter Park (Licensor), Winter Park Restaurant Co., Mary Jane Day Center(Licensee)	Expires 12/2/2002	Liquor license with optional premises.
	Town of Winter Park (Licensor), Winter Park Restaurant CoThe Lodge at Sunsport(Licensee)	Expires 9/23/2002	Liquor license with optional premises.
	Town of Winter Park (Licensor), Winter Park Restaurant Snoasis (Licensee)	Expires 12/2/2002	Liquor license with optional premises (3 locations).
	Town of Winter Park (Licensor), Winter Park Restaurant CoLunch Rock Restaurant (Licensee)	Expires 12/26/2002	Liquor license.
	U.S. Forest Service	12/8/83 – annually	Annual Special Use Permit
	U.S. Forest Service	12/8/83 – 12/31/2013	Term Special Use Permit

 

    	 

    	 

    

Date/Time of Last Edit

August 8, 2002 12:41pm

	 	 	 
	Winter Park Village Company Master Association (Licensor)	11/1/2000 – 10/31/2003	Snowmaking and Grooming of Lot 3, including “great lawn” and plaza north of Zephyr Mountain Lodge
	Winter Park/Mary Jane PUD – Town of Winter Park	To be renewed 11/02	PUD for Mary Jane Base Area
	Winter Park Resort Master Development Plan – USFS	Renewal December 2005	USFS Approved Development Plan
	Winter Park Village FDP and Vesting Rights Agreement – Town of Winter Park	July 2012	FDP for Development South of Balcony House, at Winter Park Base
	CDOT US 40 Highway Access Permit	Renewal is October annually	 
	WPPY981 FCC License	3/23/2000-3/23-2005	2 way radio system YB trunked business
	FCC License WPFD 902	7/16/1999-6/28/2004	Scanning frequency IB business
	FCC License KKM-882	2001	Secondary operation frequency

 

    	 

    	 

    

Exhibit W (cont.) 

Material Licenses

	 	 	 	 	 
	Party	 	Term	 	Purpose
	Hazardous Materials	 	 	 	 
	Permit No. HMP-11032	 	5/6/02-5/6/03	 	Transportation of Hazardous Materials
	 	 	 	 	 
	Explosives Permit No. 

5-CO-049-20-3J-02100	 	Exp. 9/1/03	 	20-Manufacturer of High Explosives
	 	 	 	 	 
	Lodge at Sunspot

ID No. 471701	 	Exp. 4/30/02	 	Certificate of Inspection Elevator License
	 	 	 	 	 
	Snoasis

ID No. 572144	 	Exp. 4/30/02	 	Certificate of Inspection Elevator License
	 	 	 	 	 
	West Portal Passenger

ID No.E026202	 	Exp. 4/30/02	 	Certificate of Inspection Elevator License
	 	 	 	 	 
	West Portal Freight

ID No. E026201	 	Exp. 4/30/02	 	Certificate of Inspection Elevator License
	 	 	 	 	 
	Children’s Center 

ID No. E88591	 	Exp. 4/30/02	 	Certificate of Inspection Elevator License
	 	 	 	 	 
	Mary Jane Lodge Freight 

ID No. E54088	 	Exp. 4/30/02	 	Certificate of Inspection Elevator License
	 	 	 	 	 
	Mary Jane Club Car Rest. 

ID No. 13533	 	Exp. 4/30/02	 	Certificate of Inspection Elevator License
	 	 	 	 	 
	Mary Jane Catering 

ID No. 13631	 	Exp. 4/30/02	 	Certificate of Inspection Elevator License
	 	 	 	 	 
	Wapiti Child Care 

Lie. No. 31019	 	Exp. 11/01	 	State of CO Child Care License
	 	 	 	 	 
	WPRA Empl. Nursery 

Lie. No.45487	 	Exp. 9/02	 	State of CO Child Care License
	 	 	 	 	 
	Looking Glass 

WP-004	 	11/02/01	 	State of Colorado CPTSB Lift Licenses
	 	 	 	 	 
	Outrigger 

WP-005	 	11/02/01	 	State of Colorado CPTSB Lift Licenses

    	 

    	 

    

 

	 	 	 	 	 
	Arrow 

WP-007	 	11/02/01	 	State of Colorado CPTSB Lift Licenses
	 	 	 	 	 
	Challenger 

WP-008	 	11/02/01	 	State of Colorado CPTSB Lift Licenses
	 	 	 	 	 
	Discovery 

WP-009	 	11/02/01	 	State of Colorado CPTSB Lift Licenses
	 	 	 	 	 
	Galloping Goose 

WP-010	 	11/02/01	 	State of Colorado CPTSB Lift Licenses
	 	 	 	 	 
	Iron Horse 

WP-013	 	11/02/01	 	State of Colorado CPTSB Lift Licenses
	 	 	 	 	 
	Hand Car 

WP-017	 	11/02/01	 	State of Colorado CPTSB Lift Licenses
	 	 	 	 	 
	Sunnyside 

WP-020	 	11/02/01	 	State of Colorado CPTSB Lift Licenses
	 	 	 	 	 
	Zephyr Express 

WP-021	 	11/02/01	 	State of Colorado CPTSB Lift Licenses
	 	 	 	 	 
	Gemini Express 

WP-022	 	11/02/01	 	State of Colorado CPTSB Lift Licenses
	 	 	 	 	 
	Endeavor 

WP-023	 	11/02/01	 	State of Colorado CPTSB Lift Licenses
	 	 	 	 	 
	Prospector 

WP-024	 	11/02/01	 	State of Colorado CPTSB Lift Licenses
	 	 	 	 	 
	Sorenson Park 

WP-025	 	11/02/01	 	State of Colorado CPTSB Lift Licenses
	 	 	 	 	 
	Mt. Maury 

WP-026	 	11/02/01	 	State of Colorado CPTSB Lift Licenses
	 	 	 	 	 
	Olympia Express 

WP-027	 	11/02/01	 	State of Colorado CPTSB Lift Licenses
	 	 	 	 	 
	Eskimo Express 

WP-029	 	11/02/01	 	State of Colorado CPTSB Lift Licenses
	 	 	 	 	 
	Summit Express 

WP-018	 	11/02/01	 	State of Colorado CPTSB Lift Licenses

    	 

    	 

    

 

	 	 	 	 	 
	High Lonesome 

WP-012	 	11/02/01	 	State of Colorado CPTSB Lift Licenses
	 	 	 	 	 
	Pioneer Express 

WP-015	 	11/02/01	 	State of Colorado CPTSB Lift Licenses
	 	 	 	 	 
	Pony Express 

WP-016	 	11/02/01	 	State of Colorado CPTSB Lift Licenses
	 	 	 	 	 
	Conveyor 

WP-028	 	11/02/01	 	State of Colorado CPTSB Lift Licenses
	 	 	 	 	 
	Timberline(3P)

SC-005	 	11/02/01	 	State of Colorado CPTSB Lift Licenses
	 	 	 	 	 
	PUC No. 8572	 	 	 	Certificate of Convenience & Necessity
	 	 	 	 	 
	West Portal Food & Beverage	 	7/1/02-6/30/03	 	Town of Winter Park License to do business
	 	 	 	 	 
	Slopeside Gear & Sport	 	7/1/02-6/30/2003	 	Town of Winter Park License to do business
	 	 	 	 	 
	West Portal Retail	 	7/1/02-6/30/2003	 	Town of Winter Park License to do business
	 	 	 	 	 
	Mary Jane Restaurant	 	7/1/02-6/30/2003	 	Town of Winter Park License to do business
	 	 	 	 	 
	Mary Jane Cafeteria	 	7/1/02-6/30/2003	 	Town of Winter Park License to do business
	 	 	 	 	 
	Snoasis	 	7/1/02-6/30/2003	 	Town of Winter Park License to do business
	 	 	 	 	 
	Sunspot	 	7/1/02-6/30/2003	 	Town of Winter Park License to do business
	 	 	 	 	 
	Winter Park/Mary Jane Ski Area	 	7/1/02-6/30/2003	 	Town of Winter Park License to do business
	 	 	 	 	 
	Central Reservations	 	7/1/02-6/30/2003	 	Town of Winter Park License to do business
	 	 	 	 	 
	Lunch Rock Café	 	7/1/02-6/30/2003	 	Town of Winter Park License to do business

    	 

    	 

    

 

	 	 	 	 	 
	Sundance Café	 	7/1/02-6/30/2003	 	Town of Winter Park License to do business
	 	 	 	 	 
	The Jane Shop	 	7/1/02-6/30/2003	 	Town of Winter Park License to do business
	 	 	 	 	 
	West Portal Station	 	12/31/02	 	License to Operate a Retail Food Establishment
	 	 	 	 	 
	Mary Jane Day Center	 	12/31/02	 	License to Operate a Retail Food Establishment
	 	 	 	 	 
	The Lodge at Sunspot	 	12/31//02	 	License to Operate a Retail Food Establishment
	 	 	 	 	 
	Snoasis	 	12/31/03	 	License to Operate a Retail Food Establishment
	 	 	 	 	 
	Lunch Rock	 	12/31/02	 	License to Operate a Retail Food Establishment
	 	 	 	 	 
	Sundance Café	 	12/31/02	 	License to Operate a Retail Food Establishment
	 	 	 	 	 
	Boxcar Deli	 	12/31/02	 	License to Operate a Retail Food Establishment
	 	 	 	 	 
	Club Car/Pepperoni’s	 	12/31/02	 	License to Operate a Retail Food Establishment
	 	 	 	 	 
	American Society of Composers, 

Authors and Publishers – 

Club Car	 	Either party may terminate	 	to allow recorded music to be played
	 	 	 	 	 
	American Society of Composers, 

Authors and Publishers – 

Derailer	 	Either party may terminate	 	to allow recorded music to be played
	 	 	 	 	 
	BMI Music License – Club Car	 	12/31/02	 	License to play recorded music
	 	 	 	 	 
	BMI Music License – Club Car	 	12/31/02	 	License to play recorded music
	 	 	 	 	 
	BMI Music License – Derailer	 	12-31/02	 	License to play recorded music

    	 

    	 

    

Primary Water Board Easements
and Licenses

	 	 
	1.	Exclusive Dominant Easements between the Board and WPRA, dated December 13, 1996 (the “Exclusive Easement”)
	 	 
	2.	Non-Exclusive Utility Easements between the Board and WPRA, dated December 13, 1996 (the “Utility Easement”)
	 	 
	3.	Non-Exclusive Road Easements between the Board and WPRA, dated December 13, 1996 (the “Road Easement”)
	 	 
	4.	Easement Agreement dated June 15, 1994, between WPRA and DWB, for the purpose of maintaining telemetering lines across Tract 41.
	 	 
	5.	Amendment to Easement Agreement between the Board and WPRA, dated December 13, 1996 (the “Easement Agreement”)
	 	 
	6.	Partial Relinquishment executed by the Board, dated December 13, 1996 (the “Relinquishment”)
	 	 
	7.	License Agreement between the Board and WPRA, dated February 28, 1997, including Attachment A, “Termination of Existing Licenses” (the “License Agreement”)
	 	 
	8.	Siphon 1 Exclusive Dominant Easement between the Board and WPRA, dated June 30, 1998.
	 	 
	9.	Siphon !A Exclusive Dominant Easement between the Board, WPRA and Winter Park Village, Inc., dated June 30, 1998.
	 	 
	10.	Non-Exclusive Road Easement Agreement between the Board, WPRA and WPV, dated June 30, 1998.
	 	 
	11.	Non-Exclusive Utility Easements Agreement between the Board, WPRA and WPV, dated June 30, 1998.
	 	 
	12.	Amended Exclusive Dominant Easements between the Board and WPRA, dated June 30, 1998.

    	 

    	 

    

Exhibit X

TO LEASE AND OPERATING AGREEMENT

Intangible
Personal Property –Material Agreements

	 	 
	Contract Name	Date of Contract
	Utilities/Transportation	 
	Carrier	5/01/021
	CDOT	Annual
	Copy Concepts (copier)	10/30/98
	Corridor Agreement	8/3/01
	Dover	1/11/93
	East Grand Water Quality Control Board	Annual
	Fones West (T-3 Lines Partnership)	2001
	Gray Oil Company	3/12/98
	Ivara Software	7/12/99
	License Agreement (parking ZML)	2000
	License and Concessionaire Agreement (Winter Park Restaurant Company)	6/12/01
	Middle Park Water Conservancy District (Windy Gap)	Annual
	Middle Park Water Conservancy District (Wolford)	Annual
	Mountain Parks Electric Agreement for electric service.	8/8/97
	MPE, Light lease	Month to month
	Orkin Pest Control	Month to month
	Tiger Natural Gas	11/01/01
	W&S Parking lease	11/1/99
	Winter Park Water & Sanitation District – P.I.L.O.T. (payment in lieu of taxes)	Annual
	Employee Housing	 
	Steve Kleinman – Deed of Trust	7/01
	Tabernash Sewer Tap	6/26/01
	Communications Site	 
	Legacy Communications, Inc.	4/1/99
	Food & Beverage	 
	Campbell Soup Branding Partnership Agreement	10/27/00
	Einstein/Noah Bagel Corp.	10/31/00
	Good Times Drive Thru	10/24/00
	Harney & Sons Teas, Inc.	12/00
	Nobel/SYSCO	11/26/01
	Peak Amusements	10/29/00
	Seattle’s Best/Equipment Loan Agreement	9/12/00
	Tolin Mechanical Systems	11/8/01
	Vend Equipment Buyer Agreement	5/2/97

    	 

    	 

    

Exhibit X 

TO LEASE AND OPERATING AGREEMENT

Intangible Personal Property –Material
Agreements

	 	 
	Competition Center	 
	Kaleidoscope Sports & Entertainment LLC, (Nastar Membership)	2002-03 ski season
	Miller Storage, Inc.	10/10/00
	Retail	 
	Bianchi USA Inc.	4/27/95
	Merchant Card Management Systems, Inc. (MCMS)	8/21/00
	Rossignol Ski Company, Inc.	6/29/00
	Sport Select	10/13/98
	Lifts	 
	Keystone Resorts Management Inc.	7/13/93
	Poma of America, Inc.	2/28/99
	Equipment	 
	Snowcats (5)	4/23/02
	Snowmobiles (25)	3/26/02
	Bank Loan Documents	 
	Assignment of Leases and Rents and Other Income	9/30/93
	Collateral Trust Agreement	9/30/93
	Deed of Trust and Security Agreement	9/30/93
	Financing Agreement	9/30/93
	Intellectual Property Security Agreement	9/30/93
	Revolving Credit Agreement	9/30/93
	Sports Facilities Financing Agreement	9/30/93
	Term Loan Agreement	9/30/93
	IT	 
	ARIN ASN	Annual
	Cisco smartnet (Cisco 7500 Router)	Annual
	Datalink Contract 9730 Tape Library	Annual
	Internet Domain Names owned by WPRA	Annual
	ISP Customer Contracts	Annual
	McAfee Anti-Virus	Monthly
	Microsoft License Agreement	Bi-Annually
	Pinnacle Access	Annual
	SNMPc License	Annual
	Sprint ISP	Monthly
	SurfControl	Annual
	T-1 Data Circuits	Monthly
	Verisign SSL Keys	Annual
	Veritas	08/07/01
	Central Reservations	 
	Alamo Rent a Car	11/01/01
	Amtrak	9/30/01

    	 

    	 

    

Exhibit X

TO LEASE AND OPERATING AGREEMENT

Intangible Personal Property –Material
Agreements

	 	 
	Apollo/Galileo	6/1/02
	Aspect Customer Agreement	7/6/01
	Aspect Professional Services Agreement	7/6/01
	AT&T Phone Contract	1/28/99
	AT&T Tariff & Service Contract	Month to month
	Avis	“evergreen”
	Centennial (Front Range office space)	9/24/98
	Central Reservations Subscribers	May/June 2002
	Crestview (Central Res office Space) (Now Winter Park Station)	11/21/97
	Continental Airlines	Annual
	Frontier Airlines	Annual
	Hertz	Annual
	Radixx (Central Res. Software)	11/4/98
	Travel Guard Trip Insurance	6/01/01
	WORLDRES	10/1/01
	Marketing	 
	Alpen Glow Magazine	9/26/00
	Anytime Weather	3/1/01
	AT&T	1/01
	Barnhart Advertising	2/15/00
	Byron Hetzler Photography	2/24/00
	Certified Brochure Distribution	8/1/02
	Clear Channel Concerts (BGP)	5/1/02
	ClearChannel Interactive	4/15/02
	Cliff Bar, Inc.	10/31/01
	CollegeClub	4/1/02
	Colorado College	9/02
	Colorado Rockies (advertising)	3/17/00
	Colorado.com	4/15/02
	Colorado-Directory.com	1/29/03
	Coloradofishing.net	5/1/02
	ColoradoResortNet.com	4/1/02
	Continental Airlines	“evergreen”
	Central Reservations Subscriber Agreement	annual
	CTM Brochure Distribution	01/02
	CU Recreation Guide	9/1/02
	David Pahl Photography	04/01
	Delta Airlines, Inc.	1/1/01
	Denver Newspaper Agency	4/2/01
	DIA advertising display	6/1/02
	DU Sponsorship	7/01/02
	Entertainment	4/1/02

    	 

    	 

    

Exhibit X 

TO LEASE AND OPERATING AGREEMENT

Intangible
Personal Property –Material Agreements

	 	 
	Expedia, Inc	7/31/01
	Grand County Brochure Delivery, Inc.	5/02
	Granton Marketing	9/02
	Gregg Adams, Photographer	 
	Guest Guide Advertising	Winter 2001
	Hertz	11/13/00
	Honda (RPAlpha Group)	11/00
	Ken Redding Photography	03/01
	Lease for space (WPML Mtn Cam)	11/1/00
	Luce Press Clippings	6/14/02
	McGraw-Hill Broadcasting	11/1/00
	Media Authorization	6/1/02
	Medialinq.com	 
	Menu Guide (advertising)	Summer 2002
	National Sales Team, LLC	05/02
	Nuggets agreement	5/1/02
	Pepsi	7/1/98
	Rod Walker Photography	04/00
	RSN.com	 
	Sister Mountain Agreement	2002
	SkiCentral.com	4/15/02
	Sno Country Mountain Reports	Annual
	Snow Ski Mailing	6/11/02
	Snowreport.com	4/15/02
	The AMI Group (internet snow report)	Annual
	The Weather Channel (tv snow report)	Annual
	Ticketing contracts	5/1/02
	Tiga Advertising (busses)	1/1/00
	TripStream.com	 
	United Airlines, Inc	6/11/01
	Weather.com	 
	Wholesaler Agreements 2001-2002 (Various, see attached list)	 
	Winter Park Station	6/1/03
	World Wide Ski Corp (Budweiser)	10/01/99
	Miscellaneous	 
	City Agreement	Nov., 1950
	Monticello	11/1/96
	Monticello	3/19/97
	Option and Master Development agreement	11/4/97
	Snowmaking and Grooming License Agreement (AML)	11/00
	Town of Winter Park (P.I.L.O.T.)	Annual

    	 

    	 

    

Exhibit X 

TO LEASE AND OPERATING AGREEMENT

Intangible
Personal Property –Material Agreements

	 	 
	Town of Winter Park (Fraser River Trail)	Unspecified
	Trust Agreement – Wells Fargo	 
	Savings and Investment Plan – Wells Fargo	9/1/00
	National Ski Areas Association	Annual
	Mountain States Employers Council	Annual
	Colorado Ski Country	Annual
	Grand Lake Chamber of Commerce	Annual
	Insurance	 
	Aon Agent – Chubb Group of Insurance Companies	5/28/02
	Aon Agent – Chubb Group of Insurance Companies	6/10/02
	Aon Agent – Genesis Insurance Co.	5/1/02
	Aon Agent – Hartford Steam Boiler	 
	Aon Agent – Royal Indemnity Co.	5/1/02
	Aon Agent – Safety National	11/1/01
	Aon Agent – CNA (Columbia Casualty Company Non Admitted)	7/2/02
	Aon Agent – Great American California, UT; Federal Insurance Co.; New York Marine and General Insurance Co.	5/1/02
	CEMMI	1/1/02
	Dry Creek Surgery	6/1/02
	Reliance Standard Life	8/1/01
	ReliaStar Life Insurance Co./ING Employee Benefits	1/1/02
	Standard Insurance Company	1/1/99
	United Dental Care of Colorado, Inc.	1/1/02
	Colorado West Regional Mental Health	8/1/01
	Denman, Gray & Co	1/1/02
	Mountain States Administration	1/1/02
	Mountain Medical Affiliates	1/1/02
	Protective Dental Care	1/1/02
	Royal Indemnity Co	6/1/02

    	 

    	 

    

Exhibit X 

TO LEASE AND OPERATING AGREEMENT

Intangible
Personal Property –Material Agreements

	 	 
	Royal Indemnity Co	 
	Any Mountain Tours	 
	Apple Vacations	 
	Arke Reizen	 
	Aspen Ski Tours	 
	Carolina Tours, Inc.	 
	Colorado Hosts	 
	Crossroad Adventures	 
	Crystal Holidays	 
	D&D Ski Vacations	 
	Education Overland	 
	Expedia Inc.	 
	Gogo Liberty Tours	 
	Group Trips Unlimited	 
	High Point Travel	 
	Holiday World	 
	JTM Tours	 
	Kincaid Coachlines	 
	Kingdom Tour & Travel	 
	Lynx Ski Travel	 
	Mark Travel	 
	Mogul Ski & Snowboard Tours	 
	Mountain Escapes	 
	Mountain Sports Travel	 
	Neilson Ski Holidays	 
	Ripley’s Mountain Adventure	 
	RMA Ski Tours	 
	Rocky Mountain Vacations	 
	Sitzmark Travel	 
	Ski Celebration	 
	Ski Independence	 
	Ski the Rockies of Colorado	 
	Snowball Tours	 
	Snowtime	 
	Sport America Tours	 
	Sportours	 
	Sports Travel	 
	Target Sport Adventures	 
	Whitewood Tours	 
	Winter Ski & Sports	 

In addition, those Leases detailed in Exhibits S and T as
well as the various Agreements concerning water rights detailed in Exhibit E are incorporated
herein by reference.

    	 

    	 

    

EXHIBIT Y 

CURRENT ASSETS AND CURRENT LIABILITIES

As of 7/06/02

	 	 	 	 	 
	Winter Park Recreational Association	 	 	 	 
	 	 	07/06/02 

$	 
	Current Assets	 	 	 	 
	Cash Balances	 	$	121,116.77	 
	Temporary Investments	 	 	1,458,292.68	 
	Investment Reserve	 	 	2,879,063.79	 
	Accounts Receivable	 	 	712,158.23	 
	Inventories	 	 	837,197.19	 
	Prepaid Expenses	 	 	342,676.09	 
	Total Current Assets	 	 	6,350,504.75	 
	 	 	 	 	 
	Current Liabilities	 	 	 	 
	Accounts Payable	 	 	657,715.50	 
	Deposits from Customers	 	 	25,883.28	 
	Salaries Payable	 	 	1,268,899.86	 
	Accrued Payroll Taxes	 	 	121,246.92	 
	Accrued Fringe Benefits	 	 	1,052,806.12	 
	Deferred Income	 	 	2,088,330.67	 
	Sales Tax Payable	 	 	18,347.01	 
	Accrued Expenses	 	 	191,655.92	 
	Long Term Debt - Current Portion	 	 	4,055,661.66	 
	Total Current Liabilites	 	 	9,480,546.94

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