Document:

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                                                                    Exhibit 10.2

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                            STOCK PURCHASE AGREEMENT

                           Dated as of June 30, 1999

                                  By and Among

                   GULFSTREAM PARK RACING ASSOCIATION, INC.,
                             a Florida corporation,

                                      and

                     GULFSTREAM HOLDINGS, INC. OF ILLINOIS,
                            an Illinois corporation,

                                      and

                                MI VENTURE INC.,
                            a Delaware corporation.

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                               TABLE OF CONTENTS
                               -----------------

Section                                                               Page
---------                                                             ----

1.      DEFINITIONS.............................................         1
        1.1       Definitions ..................................         1
        1.2       Other Definitional Provisions ................         7

2.      PURCHASE AND SALE OF SHARES; CLOSING....................         7
        2.1       Purchase and Sale of Shares ..................         7
        2.2       Purchase Price ...............................         7
        2.3       Closing ......................................         7
        2.4       Sales and Transfer Taxes .....................         8

3.      REPRESENTATIONS AND WARRANTIES OF COMPANY...............         8
        3.1       Organization and Good Standing ...............         8
        3.2       No Other Subsidiary ..........................         9
        3.3       Capital Structure ............................         9
        3.4       Ownership of Shares ..........................         9
        3.5       Power; Authorization and Approvals; Enforceability     9
        3.6       Governmental Consents ........................         10
        3.7       No Conflict ..................................         10
        3.8       Real Property ................................         11
        3.9       Brokers and Finders ..........................         11
        3.10      Tax Returns ..................................         11
        3.11      Financial Statements .........................         12
        3.12      Properties ...................................         12
        3.13      Intangible Personal Property .................         12
        3.14      Condition and Sufficiency of Assets ..........         13
        3.15      Insurance ....................................         13
        3.16      No Material Adverse Change ...................         13
        3.17      Employment Agreements ........................         13
        3.18      Legal Proceedings; Orders ....................         14
        3.19      Employee Benefit Plans .......................         14
        3.20      Compliance with Laws .........................         16
        3.21      Absence of Certain Changes and Events ........         16
        3.22      Contracts ....................................         17
        3.23      Environmental Compliance .....................         18
        3.24      Accuracy of Representations and Warranties ...         19

4.      REPRESENTATIONS AND WARRANTIES OF PURCHASER.............         19
        4.1       Organization and Good Standing ...............         19
        4.2       Power; Authorization and Approvals ...........         19
        4.3       Enforceability ...............................         19

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        4.4       Governmental Consents ........................         20
        4.5       No Conflict ..................................         20
        4.6       Investment Intent ............................         20
        4.7       Brokers and Finders ..........................         20
        4.8       Subsidiary ...................................         21

5.      REPRESENTATIONS AND WARRANTIES OF SELLER................         21
        5.1       Organization and Good Standing ...............         21
        5.2       Capital Structure ............................         21
        5.3       Ownership of Shares ..........................         21
        5.4       Power; Authorization and Approvals; Enforceability     21
        5.5       Governmental Consents ........................         22
        5.6       No Conflict ..................................         22
        5.7       Brokers and Finders ..........................         22

6.      COVENANTS OF SELLER AND COMPANY.........................         23
        6.1       No Solicitation ..............................         23
        6.2       No Changes with Respect to Shares; Waiver of Rights    23
        6.3       Conduct of Business ..........................         23
        6.4       Conduct of Business - Affirmative Covenants ..         25
        6.5       Access to Information and Personnel ..........         26
        6.6       Best Efforts .................................         27
        6.7       Resignations of Directors ....................         27
        6.8       Payment of Accrued Amounts ...................         27
        6.9       Tax Matters ..................................         28

7.      COVENANTS OF PURCHASER..................................         28
        7.1       Confidentiality ..............................         28
        7.2       Best Efforts .................................         29
        7.3       Purchaser's Financial Ability ................         29

8.      CONDITIONS TO CLOSING...................................         29
        8.1       Conditions Precedent to Purchaser's Performance        29
        8.1.1     Compliance with this Agreement ...............         29
        8.1.2     No Material Adverse Change ...................         30
        8.1.3     No Default ...................................         30
        8.1.4     No Illegality ................................         30
        8.1.5     Governmental Consents and Approvals ..........         30
        8.1.6     Absence of Legal Challenge to Acquisition ....         30
        8.1.7     Approval of Documentation ....................         30
        8.1.8     Share Certificates ...........................         30
        8.1.9     Director and Officer Resignations ............         31
        8.1.10    Execution of Agreements ......................         31
        8.1.11    Opinion of Counsel ...........................         31
        8.1.12    Corporate Action .............................         31
        8.1.13    Survey .......................................         31
        8.1.14    Title ........................................         31
        8.1.15    Release of Liens; Repayment of Outstanding
                  Loan and Mortgage Balance ....................         31
        8.1.16    Limited Support Letters ......................         32
        8.1.17    SunTrust Waiver ..............................         32
        8.1.18    Termination of Arrangements with Affiliates ..         32
        8.2       Conditions Precedent to Seller's Performance .         32
        8.2.1     Compliance with this Agreement ...............         32
        8.2.2     No Illegality ................................         33
        8.2.3     Government Consents and Approvals ............         33
        8.2.4     Absence of Legal Challenge to Acquisition ....         33
        8.2.5     Corporate Action .............................         33
        8.2.6     Approval of Documentation ....................         33
        8.2.7     Execution of Agreements ......................         33
        8.2.8     Opinion of Counsel ...........................         33
        8.2.9     Payment of Accrued Interest and Fees .........         33

9.      TERMINATION PRIOR TO CLOSING............................         34
        9.1       Termination ..................................         34
        9.2       Effect of Termination ........................         35

10.     INDEMNIFICATION..........................................        35
        10.1      Indemnification by Seller ....................         35
        10.2      Indemnification by Purchaser .................         36
        10.3      Third Party Claims ...........................         36
        10.4      As Is Transaction; No Warranties: ............         37

11.     POST-CLOSING MATTERS.....................................        38
        11.1      Survival of Representations and Warranties ...         38
        11.2      Select Employees of Company ..................         38

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12.     MISCELLANEOUS............................................        38
        12.1      No Public Announcement .......................         38
        12.2      Expenses .....................................         38
        12.3      Notices and Legal Process ....................         39
        12.4      Counterparts .................................         40
        12.5      Waiver .......................................         40
        12.6      Entire Agreement .............................         41
        12.7      Binding Agreement; Assignment ................         41
        12.8      Governing Law ................................         41
        12.9      Captions .....................................         41
        12.10     Parties in Interest ..........................         41
        12.11     Severability; Construction ...................         41
        12.12     Schedules and Exhibits .......................         41
        12.13     Waiver of Right to Jury Trial ................         41

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     THIS STOCK PURCHASE AGREEMENT is made as of June 30, 1999, by and among
GULFSTREAM PARK RACING ASSOCIATION, INC., a Florida corporation (the "Company"),
GULFSTREAM HOLDINGS, INC. OF ILLINOIS, an Illinois corporation (the "Seller"),
each with its principal office at 901 S. Federal Highway, Hallandale, Florida
33009, and MI VENTURE INC., a Delaware corporation (the "Purchaser") with its
principal office in c/o Magna International Inc., 337 Magna Drive, Aurora,
Ontario, Canada L4G7K1.

                              W I T N E S S E T H:

     WHEREAS, the Company is the owner and operator of a race course in
Hallandale, Florida commonly known and referred to as "Gulfstream Park" and is
engaged in the operation of a thoroughbred horse racing and pari-mutuel wagering
business at Gulfstream Park and related activities conducted under a permit
issued by the State of Florida and a racing license issued by the Division of
Pari-Mutuel Wagering of the Department of Business and Professional Regulation
of the State of Florida;

     WHEREAS, the Seller owns 100% of the issued and outstanding shares of
capital stock of the Company;

     WHEREAS, subject to the terms and conditions set forth herein, the Seller
wishes to sell, assign, transfer and convey to the Purchaser, and the Purchaser
wishes to purchase and acquire, 100% of the issued and outstanding shares of
capital stock of the Company.

     NOW, THEREFORE, in consideration of the above premises and the mutual
agreements and covenants set forth below, the parties hereto hereby agree as
follows:

 1.  DEFINITIONS.
     -----------

      1.1 Definitions.  In this Agreement, unless the context otherwise
          -----------
requires, all of the terms defined in the preamble or recitals hereto shall have
the same meanings herein and the following terms shall have the meanings
respectively set forth opposite them:

"Acquisition Agreements"                the Escrow Trust Instructions and the
                                        Confidentiality Agreement.

"Affiliate"                             a person or entity that directly or
                                        indirectly, through one or more
                                        intermediaries, controls or is
                                        controlled by, or is under common
                                        control with, the person or entity
                                        specified.  For purposes of Section
                                        1.1, "control" shall be defined as
                                        (a) 50% or more common equity
                                        ownership, or (b) the ability to
                                        direct
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                                        the management or policies of a company,
                                        whether by contract or otherwise.

"Agreement"                             this Agreement, as amended, modified and
                                        supplemented from time to time.

"Annual Financial                       the audited balance sheets of the
                                        Company as of December 31, 1997 and 1998
                                        and the related audited statements of
                                        operations, statements of shareholders'
                                        equity and cash flow of the Company for
                                        the fiscal years ended on each such
                                        date, accompanied by the reports thereon
                                        of PricewaterhouseCoopers.

"Balance Sheet"                         the term defined in Section 3.11.

"Bank"                                  the Bank of Nova Scotia.

"Business"                              the operation of a thoroughbred horse
                                        racing and pari-mutuel wagering business
                                        and related activities at Gulfstream
                                        Park conducted under the Pari-Mutuel
                                        Wagering Permit.

"Canadian Securities Acts"              the securities laws, rules and
                                        regulations of each of the provinces and
                                        territories of Canada, and any related
                                        national policy guidelines, as in effect
                                        from time to time.

"Closing"                               the consummation of the purchase and
                                        sale of the Shares pursuant to
                                        Section 2.

"Closing Date"                          the date that each of the conditions
                                        set forth in Section 8 will have been
                                        satisfied or waived in accordance
                                        with this Agreement.

"COBRA"                                 the Consolidated Omnibus Budget
                                        Reconciliation Act of 1985, as
                                        amended.

"Code"                                  the Internal Revenue Code of 1986, as
                                        amended, and the regulations
                                        promulgated thereunder.

"Confidentiality                        the Confidentiality Agreement, dated
Agreement"                              as of March 30, 1999 between Magna
                                        and the Company.

"Contracts"                             all material contracts, commitments,
                                        obligations and

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                                        agreements of the Company or its
                                        Subsidiaries, whether written or oral.

"Corporate Records"                     the Articles of Incorporation and bylaws
                                        and all amendments thereto, stock
                                        ledgers, all minutes of the proceedings
                                        of the Board of Directors and
                                        shareholders, corporate seals, and all
                                        other documents relating to the
                                        organization and corporate maintenance
                                        of a corporation.

"Credit Agreement"                      the Credit Agreement, dated as of
                                        February 17, 1994, between the Company
                                        and the Bank, as amended, modified and
                                        supplemented from time to time, and any
                                        related credit and collateral documents.

"Damages"                               the term defined in Section 10.1.

"Demand Note"                           the Demand Note, dated as of March 23,
                                        1990, by the Company to the order of
                                        Orient Corporation, as assigned to the
                                        Mortgagee and as amended, modified and
                                        supplemented from time to time, and any
                                        related credit and collateral documents.

"Division"                              the Division of Pari-Mutuel Wagering of
                                        the Department of Business and
                                        Professional Regulation of the State of
                                        Florida.

"Dollar(s)", "$" and                    lawful currency of the United States of
                                        America which is legal tender for the
                                        payment of public and private debts in
                                        the United States of America.

"ERISA"                                 the Employee Retirement Income Security
                                        Act of 1974, as amended, and the
                                        regulations promulgated thereunder.

"ERISA Affiliate"                       the term defined in Section 3.19.1.

"ERISA Benefit Plans"                   the term defined in Section 3.19.1.

"Escrow Trustee"                        Chicago Title and Trust Company or other
                                        Person acceptable to the Seller and the
                                        Purchaser.

"Escrow Trust Instructions"             the escrow trust instructions
                                        substantially in the form attached
                                        hereto as Exhibit 1 to be dated as of
                                        the Closing Date among the Purchaser,
                                        the Seller and the Escrow Trustee.

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"Employees"                             all employees of the Company.

"GAAP"                                  U.S. generally accepted accounting
                                        principles applied on a basis consistent
                                        with those used by the Company in
                                        connection with the preparation of the
                                        Company's financial statements referred
                                        to in Section 3.11.

"Governmental Authority"                any foreign, federal, state, local or
                                        other governmental authority or
                                        regulatory body.

"Gulfstream Park"                       the race course in Hallandale, Florida
                                        commonly known and referred to as
                                        "Gulfstream Park".

"Hazardous Substance"                   the term defined in Section 3.23.

"HSR Act"                               the Hart-Scott-Rodino Antitrust
                                        Improvements Act of 1976, as amended,
                                        and the rules and regulations
                                        promulgated thereunder.

"Indemnified Seller Parties"            the term defined in Section 10.2.

"Indemnitor"                            the term defined in Section 10.1.

"Intangible Personal Property"          any domestic and foreign patent, patent
                                        application, invention disclosure,
                                        trademark, trademark registration, trade
                                        name, service mark and application for
                                        any of the foregoing, and any other
                                        trade secrets and proprietary know-how
                                        owned or used by the Company in the
                                        conduct of Business.

"IRS"                                   the Internal Revenue Service.

"Liabilities"                           all contractual or non-contractual
                                        obligations, debts or liabilities of any
                                        nature of the Company, whether accrued
                                        or unaccrued, contingent or absolute,
                                        direct or indirect, recorded or
                                        unrecorded, potential or realized.

"Licenses"                              all licenses, permits, franchises,
                                        rights and privileges issued by any
                                        Governmental Authority necessary for the
                                        conduct of the Business as presently
                                        conducted.

"Lien"                                  any charge, claim, equitable interest,
                                        lien, option, pledge, security interest,
                                        right of first refusal, or restriction
                                        of any

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                                        kind, including any restriction on use,
                                        voting, transfer, receipt of income, or
                                        exercise of any other attribute of
                                        ownership.

"Magna"                                 Magna International Inc.

"Material Adverse Effect"               any condition, circumstance, change
                                        or effect (or any development that
                                        would reasonably be expected to
                                        result in any condition,
                                        circumstance, change or effect) that
                                        is materially adverse to the assets,
                                        business, financial condition,
                                        results of operations or prospects of
                                        the Company.

"Mortgagee"                             Orient Corporation, in its own
                                        capacity or as agent for Orient
                                        Corporation (USA).

"Outstanding Loan and                   all amounts of principal due and
Mortgage Balance"                       owing by the Company to: (i) the Bank
                                        pursuant to the Credit Agreement; and
                                        (ii) the Mortgagee pursuant to the
                                        Demand Note.

"Pari-Mutuel Wagering                   the license issued to the Company by
Permit"                                 the Division and the permit issued by
                                        the State of Florida with respect to
                                        the thoroughbred horse racing and
                                        pari-mutuel wagering operations and
                                        related activities of the Company,
                                        including, without limitation, the
                                        conduct of live racing and
                                        simulcasting.

"Pension Plans"                         the term defined in Section 3.19.1.

"Person"                                a natural person, partnership,
                                        corporation, limited liability
                                        company, business trust, joint stock
                                        company, trust, unincorporated
                                        association, joint venture,
                                        Governmental Authority or other
                                        entity of whatever nature.

"Proceeding"                            any action, arbitration, audit,
                                        hearing, investigation, litigation or
                                        suit (whether civil, criminal,
                                        administrative or investigative)
                                        commenced, brought, conducted or
                                        heard by or before or otherwise
                                        involving any Governmental Authority
                                        or arbitrator.

"Property"                              all real property owned by the
                                        Company.

"Purchase Price"                        the term defined in Section 2.2.

                                      -5-
<PAGE>

"Requirement of Law"                    as to any legal entity, the Articles of
                                        Incorporation and bylaws or other
                                        organizational or constituent documents
                                        of such legal entity, and any law,
                                        treaty, rule or regulation or order,
                                        writ, injunction, decree or
                                        determination of an arbitrator or court
                                        order or Governmental Authority, in each
                                        case applicable to or binding upon such
                                        legal entity or to which any of its
                                        property is subject.

"SEC"                                   the Securities and Exchange Commission
                                        of the United States of America and any
                                        successor Governmental Authority.

"Schedules"                             all schedules to this Agreement.

"Securities Act"                        the Securities Act of 1933, as amended,
                                        and the rules and regulations of the SEC
                                        promulgated thereunder, all as in effect
                                        from time to time.

"Share Certificates"                    the stock certificate(s) representing
                                        the Shares.

"Shares"                                the term defined in Section 2.1.

"Subsidiary"                            with respect to any Person (the
                                        "Owner"), any corporation or other
                                        Person of which securities or other
                                        interests having the power to elect a
                                        majority of that corporation's or other
                                        Person's board of directors or similar
                                        governing body, or otherwise having
                                        power to direct the business and
                                        policies of that corporation or other
                                        Person (other than securities or other
                                        interests having such power only upon
                                        the happening of a contingency that has
                                        not occurred) are held by the Owner or
                                        one or more of its Subsidiaries; and,
                                        when used without reference to a
                                        particular person, a Subsidiary of the
                                        Company.

"Tax Returns"                           federal, state, local and foreign
                                        franchise, income, sales, gross receipts
                                        and all other tax returns and statements
                                        (including any information return) that
                                        are required to be filed with any
                                        Governmental Authority.

"Taxes"                                 all federal, state, local, foreign and
                                        other tax liabilities of any and all
                                        kinds arising out of the Seller's
                                        ownership or operation of the Company
                                        and any obligation of the Company with
                                        respect to any and all taxes, including
                                        without limitation, income, profits,
                                        premiums, estimated, excise, sales, use,
                                        gross receipts, franchise, transfer,
                                        withholding, employment,

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                                        unemployment compensation,
                                        payroll-related and property taxes,
                                        import duties and other governmental
                                        charges, whetheror not measured in whole
                                        or in part by net income, and including
                                        deficiencies, interest, additions or tax
                                        or interest and penalties with respect
                                        thereto, and including expenses
                                        associated with contesting any proposed
                                        adjustment relating to the foregoing and
                                        including any liability for the payment
                                        of any amounts described above as a
                                        result of being a "Transferee" as
                                        defined in Section 6901 of the Code.

"Welfare Plans"                         the  term defined in Section 3.19.1.

      1.2 Other Definitional Provisions. The words "hereof", "herein" and
          -----------------------------
"hereunder" and words of similar import when used in this Agreement shall refer
to this Agreement as a whole and not to any particular provision of this
Agreement, and Section, Schedule and Exhibit referenced are

to this Agreement unless otherwise specified.  The meanings given to terms
defined herein shall be equally applicable to both the singular and plural forms
of such terms.  All references to specific statutes shall be to statutes of the
United States of America, unless otherwise indicated.

 2.  PURCHASE AND SALE OF SHARES; CLOSING.
     ------------------------------------

      2.1 Purchase and Sale of Shares.  Upon the terms and subject to the
          ---------------------------
conditions set forth in this Agreement, at the Closing, the Purchaser shall
purchase at the Purchase Price from the Seller, and the Seller shall sell,
assign, transfer, convey and deliver to the Purchaser, one hundred percent
(100%) of the issued and outstanding shares of capital stock of the Company (the
"Shares"), in consideration of the Purchaser's payment of the Purchase Price to
the Seller in accordance with this Agreement.  No election under Section 338 of
the Code will be made in connection with the sale and purchase of the Shares.

      2.2 Purchase Price.  The Purchase Price to be paid at the Closing for the
          --------------
Shares shall be $95,000,000.

      2.3 Closing.   Subject to the conditions set forth in Section 8, unless
          -------                                           -------
this Agreement shall have been terminated pursuant to the provisions of Section
                                                                        -------
9, the Closing shall take place on the Closing Date at the offices of Masuda,
Funai, Eifert & Mitchell, Ltd., One East Wacker Drive, Chicago, Illinois 60601
or at such other place and time as the parties may mutually agree.

          2.3.1  At the Closing, against the delivery of the Purchase Price as
     provided in Section 2.2, the Seller shall, in accordance with the Escrow
                 -------
     Trust Instructions: (1) deliver or cause to be delivered to the Escrow
     Trustee the Share Certificates, duly endorsed or accompanied by stock
     powers duly executed; (2) cause the Mortgagee to execute and deliver to the
     Escrow Trustee for recording a release and full reconveyance with respect
     to the

                                      -7-
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     mortgage in favor of the Mortgagee encumbering the Property; (3) cause the
     Bank to execute and deliver to the Escrow Trustee for recording a release
     and full reconveyance with respect to the mortgage in favor of the Bank
     encumbering the Property; (4) cause the Bank to execute and deliver to the
     Escrow Trustee a release of all Liens in favor of the Bank encumbering the
     Shares; (5) cause the Seller, the Mortgagee and the Bank to deliver to the
     Escrow Trustee for recording releases of all Liens on the assets of the
     Company in favor of the Seller, the Mortgagee or the Bank; and (6) deliver
     to the Purchaser all instruments and documents required to be delivered
     pursuant to Section 8.1. At the Closing, upon payment of all amounts
                 -------

     specified in Section 6.8 and all applications of funds under the Escrow
                  -------
     Trust Instructions, all credit facilities, loan agreements, guaranty fee
     arrangements and consulting agreements with the Seller, the Mortgagee and
     any Affiliates thereof shall terminate.

          2.3.2  At the Closing, against the delivery of the Share Certificates,
     the Purchaser shall: (1) pay to the Escrow Trustee, in accordance with the
     Escrow Trust Instructions, the Outstanding Loan and Mortgage Balance; (2)
     pay to the Seller, in accordance with the Escrow Trust Instructions, the
     difference between the Purchase Price and the Outstanding Loan and Mortgage
     Balances; and (3) deliver to the Seller all instruments and documents
     required to be delivered pursuant to Section 8.2.
                                          -------

      2.4 Sales and Transfer Taxes.  The Purchaser shall pay, or cause to be
          ------------------------
paid, all transfer Taxes and fees, recordation or similar Taxes or fees, deed,
stamp, documentary, intangible property or other Taxes, recording charges, fees,
or other similar cost or expense of any kind required in connection with the
effectuation of the transactions contemplated by this Agreement, regardless of
whether such Tax or fee is imposed on the Seller or the Company.

 3.  REPRESENTATIONS AND WARRANTIES OF COMPANY.
     -----------------------------------------

As a material inducement to the Purchaser to enter into this Agreement and to
purchase the Shares, the Company hereby represents and warrants to the Purchaser
as follows:

      3.1      Organization and Good Standing.  The Company is a corporation
               ------------------------------
duly organized, validly existing and in good standing under the laws of the
State of Florida.  Schedule 3.1 sets forth those jurisdictions in which the
                   --------
Company is qualified to do business as a foreign corporation.  The Company is
qualified to do business as a foreign corporation and is in good standing in
each state where the nature of the Business or its ownership, lease or operation
of property or the conduct of the Business requires it to be so qualified,
except to the extent that the failure of the Company to be so qualified in good
standing would not, individually or in the aggregate with all such other
failures, have a Material Adverse Effect.  The Company has all necessary
corporate power and authority and legal right to conduct the Business as it is
now being conducted and to own or use the assets that it purports to own or use,
except to the extent the failure to have such power, authority or legal right
would not, individually or in the aggregate, have a Material Adverse Effect.
Complete, current and correct copies of the Corporate Records of the Company
have been delivered to the Purchaser prior

                                      -8-
<PAGE>

to the date hereof, and no changes have been made thereto since the date of
delivery of which the Purchaser has not received notice. At the Closing, all of
the Corporate Records of the Company will be in the possession of the Company or
the agents of the Company who will deliver the same to the Purchaser at the
Closing or as otherwise directed by the Purchaser.

      3.2 No Other Subsidiary.  Except as set forth in Schedule 3.2, the Company
          -------------------                          --------
does not have any Subsidiaries.  Schedule 3.2 contains a complete and accurate
                                 ------------
list of each Subsidiary of the Company, showing its name, its jurisdiction of
incorporation, other jurisdictions in which it is authorized to do business, and
its capitalization (including the identity of each stockholder and the number of
shares held by each).  Each Subsidiary is a corporation duly organized, validly
existing and in good standing under the laws of its jurisdiction of
incorporation, with full corporate power and authority to conduct its business
as it is now being conducted and to own or use the properties and assets that it
purports to own or use.  All of the outstanding shares of capital stock of each
Subsidiary of the Company have been duly and validly issued, are fully paid and
nonassessable and are owned, or record and beneficially, by the Company.

      3.3 Capital Structure.  The authorized capital stock of the Company
          -----------------
consists of 13,040 shares of voting common stock, $1.00 par value, of which
11,232 shares are issued and outstanding and constitute the Shares.  All of the
Shares are equal in rights, preferences and privileges, were duly and validly
issued in accordance with the laws of the State of Florida, are fully paid and
nonassessable, with no statutory or other liability attaching to the ownership
thereof (other than Taxes regularly imposed on property of such type by the
State of Florida), and were not issued in violation of any preemptive or similar
rights.  Except as set forth in Schedule 3.3, there are no outstanding
subscription rights, options, warrants, convertible debt or securities, calls,
agreements, arrangements, commitments, plans, understandings or other rights of
any kind to which the Company is a party or by which it is bound, with respect
to the sale, transfer, issuance or voting of, or granting of rights to acquire,
any shares of the capital stock of any class or series of, or other equity
interest in, the Company or any securities convertible or exchangeable into or
evidencing the right to purchase any shares of the capital stock of any class or
series of, or other equity interest in, the Company or obligating the Company to
grant, extend or enter into any such option, warrant, call, right, commitment or
agreement.

      3.4 Ownership of Shares.  Except as set forth in Schedule 3.4, the Seller
          -------------------                          --------
is the owner, beneficially and of record, of all of  the Shares, free and clear
of all Liens, with full power and authority to deliver title and transfer to the
Shares to the Purchaser in accordance with the terms of this Agreement.

      3.5 Power; Authorization and Approvals; Enforceability.  The Company has
          --------------------------------------------------
the power to enter into this Agreement and each of the Acquisition Agreements to
which it is a party and to consummate the transactions contemplated hereby and
thereby.  The execution, delivery and performance by the Company of this
Agreement and each of the Acquisition Agreements have been or will on the
Closing Date have been duly and validly authorized and approved by all required
actions and no other corporate action on the part of the Company is necessary
for the execution,

                                      -9-
<PAGE>

delivery and performance of this Agreement and each of the Acquisition
Agreements and to consummate the transactions contemplated hereby and thereby.
This Agreement and each of the Acquisition Agreements are legal, valid and
binding obligations of the Company, enforceable in accordance with their
respective terms, except as enforceability may be limited by bankruptcy,
insolvency, reorganization, moratorium and other similar laws relating to or
affecting creditors' rights generally or by equitable principles.

      3.6 Governmental Consents.    Except for compliance  by the Purchaser and
          ---------------------
the Seller with the HSR Act and the procurement by the Purchaser and the Seller
of the approval by the Division of the transaction contemplated hereby, no
approval, consent, order or authorization of, or registration, declaration  or
filing with, any court or Governmental Authority is required in connection with
the execution, delivery and performance by the Company of this Agreement and the
Acquisition Agreements to which it is a party or the consummation by the Company
of the transactions contemplated hereby and thereby, except for: (1) such
consents, approvals, orders, authorizations, obligations, declarations and
filings as may be required under applicable state securities laws or applicable
to the Purchaser; and (2) such other consents, authorizations, filings,
approvals and registrations that, if not obtained or made, would not
individually or in the aggregate have a Material Adverse Effect.

      3.7 No Conflict.  Except as set forth in Schedule 3.7, neither the
          -----------                          --------
execution and delivery of this Agreement and any of the Acquisition Agreements
by the Company nor the consummation of the transactions contemplated hereby and
thereby by the Company will:

          (1) violate, or result in a violation of any Requirement of Law
          imposed upon the Company or any of its Subsidiaries;

          (2) violate, or be in conflict with, or constitute a default (or an
          event which, with the giving of notice or lapse of time or both, would
          constitute a default) under, or give rise to any right of termination,
          cancellation or acceleration under any of the terms, conditions or
          provisions of any contract to which the Company is a party or by which
          the Company or any of its Subsidiaries or any of their respective
          assets may be bound.

          (3) cause the Purchaser, the Company or any Subsidiary of the Company
          to become subject to, or to become liable for the payment of, any
          Taxes (other than Taxes with respect to the documentary stamp tax and
          general intangible property taxes of the State of Florida;

          (4) cause any of the assets owned by the Company or any of its
          Subsidiaries to be reassessed or revalued by any taxing authority or
          other Governmental Authority; or

                                      -10-
<PAGE>

          (5) result in the imposition or creation of any Lien upon or with
          respect to any of the assets owned or used by the Company or any of
          its Subsidiaries.

      3.8 Real Property.  Schedule 3.8 contains a complete, current and correct
          -------------   --------
legal description of the Property.  Except as set forth in Schedule 3.8, the
                                                           --------
Company has good and valid title to the Property.

      3.9 Brokers and Finders.  Except for accountants and attorneys acting as
          -------------------
such (and not as brokers, finders or in other like capacity), all negotiations
on behalf of the Company relating to this Agreement and the transactions
contemplated hereby have been carried on directly by the Company without the
intervention of any broker, finder, investment banker or other third party
representing the Company.  The Company has not engaged or authorized any broker,
finder, investment banker or other third party to act on behalf of the Company,
directly or indirectly, as a broker, finder, investment broker or in any other
like capacity in connection with this Agreement or the transactions contemplated
hereby, or has consented to or acquiesced in anyone so acting, and the Company
knows of no claim for compensation from any such broker, finder, investment
banker or other third party for so acting or of any basis for such a claim.  The
Seller shall have full responsibility for any claim for compensation from any
such party claiming to have acted on behalf of the Company or the Seller and the
Company and the Purchaser shall have no liability therefor.

      3.10     Tax Returns.
               -----------

          3.10.1  The Company has: (1) timely filed (or timely extended) all Tax
     Returns due on or after December 31, 1994, and prior to the date hereof;
     and (2) paid within the time (including extensions) and in the manner
     prescribed by law or established reasonable reserves and reflected in the
     Annual Financial Statements for the payment of all Taxes accrued or payable
     by the Company for all periods covered by such Tax Returns to the date
     hereof.

          3.10.2  The Tax Returns due on or after December 31, 1994 and prior to
     the date hereof are complete and accurate in all material respects, and no
     tax assessment or deficiency which has not been paid or for which an
     adequate reserve has not been set aside, has been made or proposed against
     the Company, nor are any of such Tax Returns now being or threatened to be
     examined or audited, and no consents waiving or extending any applicable
     statute or limitation thereunder, have been filed.  Prior to the date
     hereof, the Company has delivered to the Purchaser complete, current and
     correct copies of all of the Company's federal and state income tax returns
     for the periods ending on or after December 31, 1994 and prior to the date
     hereof.

          3.10.3  The Tax Returns filed on or after December 31, 1994 and prior
     to the date hereof by (or that include on a consolidated basis) any of the
     Company or any of its Subsidiaries are true, correct, and complete.  There
     is no tax sharing agreement with the

                                      -11-
<PAGE>

     Seller that will require any payment by the Company or any of its
     Subsidiaries after the date of this Agreement.

          3.10.4  The U.S. Federal and state income Tax Returns of the Company
     and its Subsidiaries have been audited by the IRS or relevant state
     authorities or are closed by the applicable statute of limitations for all
     taxable years through March 31, 1995.

      3.11     Financial Statements.  The Company has delivered to the
               --------------------
Purchaser:  (1) consolidated balance sheets of the Company and Subsidiary as at
December 31 in each of the years 1995 through 1997 and the related consolidated
statements of income, changes in stockholders' equity, and cash flow for each of
the fiscal years then ended, together with the report thereon of Coopers &
Lybrand LLP, independent certified public accountants; (2) a consolidated
balance sheet of the Company as at December 31, 1998 (including the notes
thereto, the "Balance Sheet"), and the related consolidated statements of
income, changes in stockholders' equity, and cash flow for the fiscal year then
ended, together with the report thereon of PriceWaterhouseCoopers LLP,
independent certified public accountants; and (3) an unaudited consolidated
balance sheet of the Company and its Subsidiary as of April 30, 1999 (the
"Interim Balance Sheet") and the related unaudited consolidated statement of
income for the 4 months then ended.  Such financial statements fairly present
the financial condition and the results of operations of the Company and its
Subsidiaries for the periods referred to in such financial statements, subject,
in the case of interim financial statements, to normal recurring year-end
adjustments (the effect of which will not, individually or in the aggregate, be
materially adverse) and the absence of notes (that, if presented, would not
differ materially from those included in the Balance Sheet) and exclusive of
federal and state income tax accruals; and the financial statements referred to
in this Section 3.11 reflect the consistent application of such accounting
        -------
principles throughout the periods involved.  No financial statements of any
Person other than the Company and Avant Advertising, Inc. are required by GAAP
to be included in the consolidated financial statements of the Company.

      3.12     Properties.    Except as set forth in Schedule 3.12, the Company
               ----------                            --------
has good and valid title to all of its assets (except for real properties and
leased or licensed properties and assets) except for (i) minor defects in title
that individually or in the aggregate could not reasonably be expected to have a
Material Adverse Effect; or (ii) statutory or other similar liens securing
payments not yet due. All such assets of the Company are free and clear of all
title defects, liens, claims, charges, security interests or other encumbrances.
There is no material defect in the normal operating condition and repair of the
equipment owned or leased by the Company, except for ordinary, routine
maintenance and repairs which are not material in cost.

      3.13     Intangible Personal Property.  Schedule 3.13 attached hereto
               ----------------------------   --------
contains a complete, current and correct list of the Intangible Personal
Property. Except as set forth on Schedule 3.13, the Company has the right and
                                 --------
authority to use the Intangible Personal Property in connection with the conduct
of the Business in the manner presently conducted, and such use does not
conflict with, infringe upon or violate any trademark, trade name, copyright,
patent or patent rights, trade secret rights or any other intellectual property
rights of any other Person.  There have not been any actions

                                      -12-
<PAGE>

or other judicial or adversary proceedings involving the Company concerning the
ownership, use, infringement, validity of the Intangible Personal Property, nor
have any such actions or proceedings been threatened.

      3.14     Condition and Sufficiency of Assets.  The buildings, plants,
               -----------------------------------
structures, and equipment of the Company and its Subsidiaries are structurally
sound, are in good operating condition and repair, and are adequate for the uses
to which they are being put, and none of such buildings, plants, structures, or
equipment is in need of maintenance or repairs except for ordinary, routine
maintenance and repairs that are not material in nature or cost.  The building,
plants, structures, and equipment of the Company and its Subsidiaries are
sufficient for the continued conduct of the Business after the Closing in
substantially the same manner as conducted prior to  the Closing.

      3.15     Insurance.  Schedule 3.15 attached hereto contains a complete,
               ---------   --------
current and correct description of all material Insurances.  All policies for
such Insurance are in full force and effect, all premiums with respect thereto
invoiced as of the date hereof have been paid, and no notice of cancellation,
termination or denial of coverage has been received with respect to any such
policy. Such policies:

          3.15.1  are adequate for compliance with all Requirements of Law and
     of all agreements or instruments to which the Company is a party, or
     pursuant to which any of their respective properties or assets may be
     subject;

          3.15.2  are adequate for conducting the Business as presently
     conducted in the ordinary course;

          3.15.3  are valid, outstanding and enforceable policies issued by
     reputable insurance companies;

          3.15.4  provide adequate insurance coverage for the properties, assets
     and operations of the Company as presently conducted; and

          3.15.5  will remain in full force and effect up to the dates set forth
     in Schedule 3.15, without the payment of additional premiums and will not
        --------
     in any way be affected by, or terminate or lapse by reason of, the
     transactions contemplated by this Agreement.

Schedule 3.15 attached hereto also describes all claims of the Company which are
--------
pending under such insurance policies or have been paid to the Company since
January 1, 1998.  Prior to the date hereof, complete, current and correct copies
of all of the policies of insurance which are maintained by or for the Company
have been made available to the Purchaser.

      3.16     No Material Adverse Change.  Since the date of the Balance Sheet,
               --------------------------
there has not been any material adverse change in the business, operations,
properties, prospects, assets, or

                                      -13-
<PAGE>

condition of the Company, and no event has occurred or circumstance exists that
may result in such a material adverse change.

      3.17     Employment Agreements.  Except as set forth on Schedule 3.17,
               ---------------------                          --------
none of the Company or any of its Subsidiaries is a party to any employment,
consulting, non-competition, severance, or indemnification agreement with any
current or former executive officer or director of Company or any of its
Subsidiaries.  True and complete copies of the agreements set forth on Schedule
                                                                       --------
3.17 have been furnished to the Purchaser prior to the date hereof.

      3.18     Legal Proceedings; Orders.  Except as set forth on Schedule 3.18,
               -------------------------                          --------
there is no pending or threatened Proceedings:

          3.18.1  that has been commenced by or against the Company or any of
     its Subsidiaries or that otherwise relates to or may affect the business
     of, or any of the assets owned, or used by, the Company or any of its
     Subsidiaries; or

          3.18.2  that challenges, or that may have the effect of preventing,
     delaying making illegal, or otherwise interfering with, the sale of the
     Shares by the Seller to the Purchaser.

     The Proceedings listed in Schedule 3.18, if decided adversely to the
                               --------
Company, would  not reasonably be expected to have a Material Adverse Effect.

      3.19     Employee Benefit Plans.
               ----------------------

          3.19.1  Set forth in Schedule 3.19.1 is a true and complete list of
                               --------
     each "employee pension benefit plan" (as such term is defined in Section
                                                                      -------
     3(2) of ERISA) maintained by the Company or an ERISA Affiliate, or with
     respect to which the Company or an ERISA Affiliate is or will be required
     to make any payment, or which provides or will provide benefits to present
     or prior employees of the Company or an ERISA Affiliate due to such
     employment (the "Pension Plans").  The Company does not currently maintain
     a Pension Plan subject to Section 3(2) of ERISA.  Set forth in Schedule
                                                                    --------
     3.19.1 is a true and complete list of each "employee welfare benefit plan"
     (as such term is defined in Section 3(1) of ERISA) maintained by the
                                 -------
     Company, or with respect to which the Company is or will be required to
     make any payment, or which provides or will provide benefits to present or
     prior employees of the Company due to such employment (the "Welfare Plans")
     (the Pension Plans and Welfare Plans being the "ERISA Benefit Plans").
     Neither the Company nor any ERISA Affiliate has maintained or made (or been
     required to make) payments to any other "employee pension benefit plan" (as
     such term is defined in Section 3(2) of ERISA) or any "multi employer plan"
                             -------
     (as such term is defined in Section 3137) of ERISA).  For purposes of this
                                 -------
     Agreement, "ERISA Affiliate" means (i) any corporation which at any time on
     or before the Closing Date is or was a member of the same controlled group
     of corporations (within the meaning of Section 414(b) of the Code) as the
                                            -------
     Company; (ii) any partnership, trade or business (whether or not
     incorporated) which at any time on or before the Closing Date

                                      -14-
<PAGE>

     is or was under common control (within meaning of Section 414(c) of the
                                                       -------
     Code) with the Company; and (iii) any entity which at any time on ore
     before the Closing Date is or was a member of the same affiliated service
     group (within the meaning of Section 414(m) of the Code) as either the
                                  -------
     Company, any corporation described in clause (i) or any partnership, trade
     or business described in clause (ii) of this paragraph.

          3.19.2  Other than those listed in Schedule 3.19.1, set forth in
                                             --------
     Schedule 3.19.2 is a true and complete list of each of the following to
     --------
     which the Company is a party or with respect to which it is or will be
     required to make any payment (the "Non-ERISA Commitments"):

               (1) each retirement, saving, profit sharing, deferred
          compensation, severance, stock ownership, stock purchase, stock
          option, performance, bonus, incentive, vacation or holiday pay,
          hospitalization or other medical, disability, life or other insurance,
          or other welfare, benefit or fringe benefit plan, policy, trust,
          understanding or arrangement of any kind, whether written or oral; and

               (2) each employment agreement, understanding or arrangement of
          any kind, whether written or oral, with or for the benefit of any
          present or prior officer, director, employee, agent or consultant
          (including, without limitation, each employment, compensation,
          deferred compensation, severance or consulting agreement or
          arrangement, confidentiality agreement, covenant not to compete, and
          any agreement or arrangement associated with a change in ownership or
          control of the Company, but excluding employment agreements terminable
          by the Company without premium or penalty or notice of thirty (30)
          days or less under which the only monetary obligation of the Company
          is to make current wage or salary payments and provide current fringe
          benefits).

     The Company has delivered, or will deliver prior to the Closing, to the
     Purchaser correct and complete copies of (i) all written Non-ERISA
     Commitments and (ii) all insurance and annuity policies and contracts and
     other documents relevant to any Non-ERISA Commitment. Schedule 3.19.2
                                                           --------
     contains a complete and accurate description of all oral Non-ERISA
     Commitments.  Except as disclosed on Schedule 3.19.1 or Schedule 3.19.2,
                                          --------           --------
     none of the ERISA Benefit Plans or the Non-ERISA Commitments is subject to
     the law of any jurisdiction outside of the United States of America.

          3.19.3  The Company has delivered to the Purchaser with respect to
     each ERISA Benefit Plan, correct and complete copies of (i) all plan
     documents and amendments thereto, trust agreements and amendments thereto
     and insurance and annuity contracts and policies, (ii) the current summary
     plan description, (iii) the Annual Reports (Form 5500 series) and
     accompanying schedules, as filed, for the most recently completed three
     plan years for which such reports have been filed, (iv) the most recent
     determination letter issued by the IRS and

                                      -15-
<PAGE>

     the application submitted with respect to such letter, and (v) all
     correspondence with the IRS, Department of Labor and Pension Benefit
     Guaranty Corporation concerning any controversy.

          3.19.4  There is no pending or, to the best knowledge of the Company,
     threatened claim in respect of any of the ERISA Benefit Plans other than
     claims for benefits in the ordinary course of business.  Each of the ERISA
     Benefit Plans (i) has been administered in accordance with its terms and
     (ii) complies in form, and has been administered in accordance, with the
     requirements of ERISA and, where applicable, the Code.  The Company and
     each ERISA Affiliate has complied with the health care continuation
     requirements of Part 6 of Title I of ERISA.  The Company has no obligation
     under any ERISA Benefit Plan or otherwise to provide health or other
     welfare benefits to any prior employees or any other person, except as
     required by Part 6 of Title I of ERISA.  The consummation of the
     transactions contemplated by this Agreement will not result in an increase
     in the amount of compensation or benefits or accelerate the vesting or
     timing of payment of any compensation or benefits payable to or in respect
     of any participant.

          3.19.5  Neither the Company nor any other "disqualified person"
     (within the meaning of Section 4975 of the Code) or "party in interest"
                           --------
     (within the meaning of Section 3(14) of ERISA) has taken any action with
                            -------
     respect to any ERISA Benefit Plan which could subject any such plan (or its
     related trust) or the Company or any officer, director or employee of any
     of the foregoing to the penalty or tax under Section 502(i) or Section
                                                  -------           -------
     502(1) of ERISA or Section 4975 of the Code.
                        -------

      3.20     Compliance with Laws.  Except as set forth in Schedule 3.20, the
               --------------------                          --------
Business has been conducted in compliance in all material respects with all
Requirement of Law, except where such failure to comply with and such
Requirement of Law would not reasonably be expected to have, individually or in
the aggregate, a Material Adverse Effect.

      3.21     Absence of Certain Changes and Events.  Except as set forth in
               -------------------------------------
Schedule 3.21, since the date of the Balance Sheet, the Company and its
-------------
Subsidiaries have conducted their businesses only in the ordinary course of
business and there has not been any:

          3.21.1   change in authorized or issued capital stock; grant of any
     stock option or right to purchase shares of capital stock; issuance of any
     security convertible into such capital stock; grant of any registration
     rights; purchase, redemption, retirement, or other acquisition of any
     shares of any such capital stock; or declaration or payment of any dividend
     or other distribution or payment in respect of shares of capital stock;

          3.21.2   amendment to the Articles of Incorporation or Bylaws;

          3.21.3   payment or increase of any bonuses, salaries, or other
     compensation to any stockholder, director, officer, or (except in the
     ordinary course of business) employee or

                                      -16-
<PAGE>

     entry into any employment, severance, or similar contract with any
     director, officer, or employee;

          3.21.4   adoption of, or increase in the payments to or benefits
     under, any profit sharing, bonus, deferred compensation, savings,
     insurance, pension, retirement, or other employee benefit plan;

          3.21.5  damage to or destruction or loss of any asset or property,
     whether or not covered by insurance, which had a Material Adverse Effect;

          3.21.6   entry into, termination of, or receipt of notice of
     termination of any license, broadcasting agreement, or similar agreement;

          3.21.7   sale (other than sales of inventory in the ordinary course of
     business), lease, or other disposition of or mortgage, pledge or any
     imposition of any Lien on any asset;

          3.21.8   material change in the accounting methods; or

          3.21.9   agreement, whether oral or written, to do any of the
     foregoing.

      3.22     Contracts.
               ---------

          3.22.1   Schedule 3.22 contains (except as indicated on such Schedule)
                   --------
     a complete and accurate list, and the Company has delivered to the
     Purchaser a true and complete copy, of the following:

               (1)  each Contract that involves performance of services or
          delivery of goods or materials by the Company or any of its
          Subsidiaries of an amount or value in excess of $50,000;

               (2)  each Contract that involves performance of services or
          delivery of goods or materials to the Company or any of its
          Subsidiaries of an amount or value in excess of $50,000;

               (3 )  each Contract that was not entered into in the ordinary
          course of business and that involves expenditures or receipts of the
          Company or any of its Subsidiaries in excess of $50,000;

               (4)  each lease, rental or occupancy agreement, license,
          installment and conditional sale agreement, and other applicable
          Contract affecting the ownership of, leasing of, title to, use of, or
          any leasehold or other interest in, any real or personal property
          (except personal property leases and installment and conditional sales

                                      -17-
<PAGE>

          agreements having a value per item or aggregate payments of less than
          $50,000 and with terms of less than one year);

               (5)  each licensing agreement or other Contract with respect to
          patents, trademarks, copyrights, or other intellectual property,
          including agreements with current or former employees, consultants, or
          contractors regarding the appropriation or the non-disclosure of any
          of the intellectual property assets of the Company;

               (6)  each collective bargaining agreement and other Contract to
          or with any labor union or other employee representative of a group of
          employees;

               (7)  each joint venture, partnership, and other Contract (however
          named) involving a sharing of profits, losses, costs, or liabilities
          by any the Company or any of its Subsidiaries with any other Person;

               (8) each Contract containing covenants that in any way purport to
          restrict the business activity of any of the Company or any of its
          Subsidiaries or any Affiliate of the Company or limit the freedom of
          the Company or any of its Subsidiaries or any Affiliate of the Company
          to engage in any line of business or to compete with any Person;

               (9)  each Contract providing for payments to or by any Person
          based on sales, purchases, or profits, other than direct payments for
          goods;

               (10) each power of attorney that is currently effective and
          outstanding;

               (11)  each Contract entered into other than in the ordinary
          course of business that contains or provides for an express
          undertaking by any of the Company or any of its Subsidiaries to be
          responsible for consequential damages;

               (12) each Contract for capital expenditures in excess of $50,000;

               (13)  each written warranty, guaranty, and or other similar
          undertaking with respect to contractual performance extended by the
          Company or any of its Subsidiaries other than in the ordinary course
          of business; and

               (14) each amendment, supplement, and modification (whether oral
               or written) in respect of any of the foregoing.

          3.22.2   Except as set forth in Schedule 3.22, there are no
                                          --------
     renegotiations of, attempts to renegotiate, or outstanding rights to
     renegotiate, any material amounts paid or payable to the Company or any of
     its Subsidiaries under current or completed Contracts with any Person and
     no such Person has made written demand for such renegotiation.

                                      -18-
<PAGE>

      3.23     Environmental Compliance.   Except as set forth in Schedule 3.23:
               ------------------------                           --------
(1) the Company and its Subsidiaries have not generated, used, transported,
treated, stored, released or disposed of, or suffered or permitted anyone else
to generate, use, transport, treat, store, release or dispose of, any Hazardous
Substance at or about the Property in violation of any Requirement of Law; (2)
there has not been any generation, use, transportation, treatment, storage,
release or disposal of any Hazardous Substance in connection with the conduct of
the Business or the use of the Property or, to the knowledge of the Company, any
nearby or adjacent properties, which has created or might reasonably be expected
to create any liability with respect to the Property under any Requirement of
Law or which would require reporting to or notification of any Governmental
Authority with respect to the Property; (3) no asbestos or polychlorinated
biphenyl or underground storage tank is contained in or located at the Property,
other than in compliance with applicable Requirements of Law; and (4) no
Hazardous Substance handled or dealt with at the Property has been and is being
handled or dealt with in any manner other than in compliance with all
Requirements of Law; other than, with respect to  the foregoing four sub-clauses
of this Section 3.23, where the cost of remediation of which would not
        -------
reasonably be expected to exceed in the aggregate $150,000. For purposes hereof,
"Hazardous Substance" means (but shall not be limited to) substances that are
defined or listed in, or otherwise classified pursuant to, any applicable laws
as "hazardous substances," "hazardous materials," "hazardous wastes" or "toxic
substances," or any other formulation intended to define, list or classify
substances by reason of deleterious properties such as ignitability,
corrosivity, reactivity, radioactivity, carcinogenicity, reproductive toxicity,
or "EP toxicity," and petroleum and drilling fluids, produced waters and other
wastes associated with the exploration, development or production of crude oil,
natural gas or geothermal energy.

      3.24     Accuracy of Representations and Warranties.  No representation or
               ------------------------------------------
warranty made in this Agreement or any of the Acquisition Agreements and no
statement contained in any document, schedule or certificate furnished or to be
furnished by Company to the Purchaser contains as of the date hereof, or will
contain as of the Closing Date, any untrue statement of a material fact or omits
or will omit to state a material fact necessary in order to make the statements
so made, in light of the circumstances under which they are made, not
misleading.

4.   REPRESENTATIONS AND WARRANTIES OF PURCHASER.
     -------------------------------------------

As a material inducement to the Seller and the Company to enter into this
Agreement and to sell the Shares, the Purchaser makes the representations and
warranties set forth in this Section 4.
                             -------

      4.1 Organization and Good Standing.  The Purchaser is a corporation duly
          ------------------------------
organized, validly existing and in good standing under the laws of the State of
Delaware.

      4.2 Power; Authorization and Approvals. The Purchaser has all necessary
          ----------------------------------
corporate power and authority to enter into this Agreement and each of the
Acquisition Agreements and to consummate the transactions contemplated hereby
and thereby.  The execution, delivery and

                                      -19-
<PAGE>

performance by the Purchaser of this Agreement and each of the Acquisition
Agreements have been duly and validly authorized and approved by all required
corporate actions on the part of the Purchaser and no other corporate action on
the part of the Purchaser is necessary for the execution, delivery and
performance of this Agreement and each of the Acquisition Agreements and to
consummate the transactions contemplated hereby and thereby.

      4.3 Enforceability.  This Agreement and each of the Acquisition Agreements
          --------------
are legal, valid and binding obligations of the Purchaser, enforceable in
accordance with their respective terms, except as enforceability may be limited
by bankruptcy, insolvency, reorganization, moratorium and other similar laws
relating to or affecting creditors' rights generally or by equitable principles.

      4.4 Governmental Consents.    Except for compliance by the Seller and the
          ---------------------
Purchaser with the HSR Act and the procurement by the Purchaser and the Seller
of the approval by the Division of the transaction contemplated hereby, no
approvals, consents, order or authorization of, or registration, declaration or
filing with, any court or Governmental Authority is required in connection with
the execution, delivery and performance by the Purchaser of this Agreement and
the Acquisition Agreements or the consummation by the Purchaser of the
transactions contemplated hereby and thereby, except for: (1) such consents,
approvals, orders, authorizations, obligations, declarations and filings as may
be required under applicable state securities laws; and (2) such other consents,
authorizations, filings, approvals and registrations that, if not obtained or
made, would not individually or in the aggregate have a Material Adverse Effect.

      4.5 No Conflict.  Neither the execution and delivery of this Agreement and
          -----------
any of the Acquisition Agreements by the Purchaser, nor the consummation of the
transactions contemplated hereby and thereby by the Purchaser, will:

               (a) subject to compliance with the statute and regulation set
          forth in Section 4.4 applicable to the Purchaser, violate or result in
                   -------
          a violation of, any Requirement of Law; or

               (b) violate, or be in conflict with, or constitute a default (or
          any event which, with the giving of notice or lapse of time or both,
          would constitute a default) under any material agreement or instrument
          to which the Purchaser is a party or by which the Purchaser is bound.

      4.6 Investment Intent.  The Purchaser acknowledges and is aware that no
          -----------------
Shares are registered under the Securities Act or under any state securities
laws or under any Canadian Securities Acts.  The Purchaser is purchasing such
Shares solely for investment, with no present intention to distribute any of the
Shares to any Person.  The Purchaser shall not sell or otherwise dispose of the
Shares except in compliance with the registration requirements or exemption
provisions under the Securities Act, the Canadian Securities Acts and the rules
and regulations promulgated thereunder and any other applicable securities laws.

                                      -20-
<PAGE>

      4.7 Brokers and Finders.  Except for accountants and attorneys acting as
          -------------------
such (and not as brokers, finders or in other like capacity), all negotiations
on behalf of the Purchaser relating to this Agreement and the transactions
contemplated hereby have been carried on directly by the Purchaser without the
intervention of any broker, finder, investment banker of any broker, finder,
investment banker or other third party representing the Purchaser.  The
Purchaser has not engaged or authorized any broker, finder, investment banker or
other third party to act on behalf of the Purchaser, directly or indirectly, as
a broker, finder, investment banker or in any other like capacity in connection
with this Agreement or the transactions contemplated hereby, or has consented to
or acquiesced in anyone so acting, and the Purchaser knows of no claim for
compensation from any such broker, finder, investment banker or other third
party for so acting or of any basis for such a claim. The Purchaser shall be
liable for any such claim for compensation and the Seller and the Company shall
have no liability therefor.

      4.8 Subsidiary.   Magna owns, directly or indirectly (through one of
          ----------
Magna's wholly-owned Subsidiaries), 100% of the issued and outstanding shares of
capital stock of the Purchaser.

On the Closing Date, Magna will own, directly or indirectly (through one of
Magna's wholly-owned Subsidiaries), more than 50% of the issued and outstanding
shares of capital stock of the Purchaser.

5.   REPRESENTATIONS AND WARRANTIES OF SELLER.
     ----------------------------------------

As a material inducement to the Purchaser to enter into this Agreement and to
purchase the Shares, the Seller hereby represents and warrants to the Purchaser
as follows:

      5.1      Organization and Good Standing.  The Seller is a corporation duly
               ------------------------------
organized, validly existing and in good standing under the laws of the State of
Illinois.  The Seller has all necessary corporate power and authority and legal
right to conduct the business in which it is engaged, except to the extent the
failure to have such power, authority or legal right would not, individually or
in the aggregate, have a Material Adverse Effect.

      5.2 Capital Structure.  Except as set forth in Schedule 5.2, with respect
          -----------------                          --------
to the Seller, there are no outstanding options, warrants, calls, rights,
commitment or agreements of any kind to which the Seller is party or by which it
is bound relating to the sale, issuance or voting of, or the granting of rights
to acquire, any shares of the capital stock of any class or series of, or other
equity interest in, the Company or any securities convertible or exchangeable
into or evidencing the right to purchase any shares of capital stock of any
class or series of, or other equity interest in, the Company or obligating the
Company to grant, extend or enter into any such option, warrant, call, right,
commitment or agreement.

      5.3 Ownership of Shares.  Except as set forth in Schedule 5.3:  (1) the
          -------------------                          --------
Seller is the owner, beneficially and of record, of all of the Shares and has
good and valid title to the Shares, free and clear of all Liens, with full power
and authority to deliver and transfer title to the Shares to the Purchaser in
accordance with the terms of this Agreement; and (2) the Seller is not a party
to any

                                      -21-
<PAGE>

voting trust agreement or any other contract, agreement, arrangement,
commitment, plan or understanding restricting or otherwise relating to voting or
dividend rights or privileges with respect to the Shares, or which restricts the
sale, transfer or assignment of the Shares.

      5.4 Power; Authorization and Approvals; Enforceability.  The Seller has
          --------------------------------------------------
all necessary corporate power and authority to enter into this Agreement and
each of the Acquisition Agreements to which it is a party and to consummate the
transactions contemplated hereby and thereby.  The execution, delivery and
performance by the Seller of this Agreement and each of such Acquisition
Agreements have been duly and validly authorized and approved by all required
corporate action on the part of the Seller and no other corporate action on the
part of the Seller is necessary for the execution, delivery and performance of
this Agreement and each of the Acquisition Agreements and to consummate the
transactions contemplated hereby and thereby.  This Agreement and each of such
Acquisition Agreements are legal, valid and binding obligations of the Seller,
enforceable in accordance with their respective terms, except as enforceability
may be limited by bankruptcy, insolvency, reorganization, moratorium and other
similar laws relating to or affecting creditors' rights generally or by
equitable principles.

      5.5 Governmental Consents.    Except for compliance by the Seller and the
          ---------------------
Purchaser under the HSR Act and the procurement by the Purchaser and the Seller
of the approval by the Division of the transaction contemplated hereby, no
approval, consent, order or authorization of, or registration, declaration or
filing with, any court or Governmental Authority is required in connection with
the execution, delivery and performance by the Seller of this Agreement and the
Acquisition Agreements or the consummation by the Seller of the transactions
contemplated hereby and thereby, except for: (1) such consents, approvals,
orders, authorizations, obligations, declarations and filings as may be required
under applicable state securities laws or applicable to the Purchaser; and (2)
such other consents, authorizations, filings, approvals and registrations that,
if not obtained or made, would not individually or in the aggregate have a
Material Adverse Effect.

      5.6 No Conflict.  Neither the execution and delivery of this Agreement and
          -----------
any of the Acquisition Agreements by the Seller nor the consummation of the
transactions contemplated hereby and thereby by the Seller will:

          (1) violate, or result in a violation of any Requirement of Law
          imposed upon the Seller; or

          (2) except as set forth in Schedule 5.6 violate, or be in conflict
                                     --------
          with, or constitute a default (or an event which, with the giving of
          notice or lapse of time or both, would constitute a default) under, or
          give rise to any right of termination, cancellation or acceleration
          under any of the terms, conditions or provisions of any contract to
          which the Seller is a party or by which the Seller or any of its
          respective properties or assets may be bound.

                                      -22-
<PAGE>

      5.7 Brokers and Finders.  Except as set forth in Schedule 5.7 and for
          -------------------                          --------
accountants and attorneys acting as such (and not as brokers, finders or in
other like capacity), all negotiations on behalf of the Seller relating to this
Agreement and the transactions contemplated hereby have been carried on directly
by the Seller with the Purchaser without the intervention of any broker, finder,
investment banker or other third party representing the Seller. Except as set
forth in Schedule 5.7, the Seller has not engaged or authorized any broker,
         --------
finder, investment banker or other third party to act on behalf of the Seller,
directly or indirectly, as a broker, finder, investment broker or in any other
like capacity in connection with this Agreement or the transactions contemplated
hereby, or has consented to or acquiesced in anyone so acting, and the Seller
knows of no claim for compensation from any such broker, finder, investment
banker or other third party for so acting on behalf of the Seller or of any
basis for such a claim.  The Seller shall have full responsibility for any such
claim for compensation and the Purchaser and the Company shall have no liability
therefor.

6.   COVENANTS OF SELLER AND COMPANY.
     -------------------------------

      6.1 No Solicitation.   Prior to the earlier of the Closing or termination
          ---------------
of this Agreement, the Seller and the Company shall not, and shall cause their
respective officers, directors, employees and agents not to, initiate, solicit
or encourage, directly or indirectly, any inquiries or the making of any
proposal with respect to, or engage in any negotiations concerning, enter into
any agreements with, any Person relating to any acquisition, business
combination or purchase of all or any substantial portion of the assets of, or
any equity interest in, the Company.  The Seller and the Company shall
immediately cease and cause to be terminated any existing activities,
discussions or negotiations with any parties (other than the Purchaser)
conducted heretofore with respect to any of the foregoing.

      6.2 No Changes with Respect to Shares; Waiver of Rights.   Prior to the
          ---------------------------------------------------
earlier of the Closing or termination of this Agreement, the Seller will not (i)
sell, dispose of or otherwise transfer any interest in any of the Shares; (ii)
grant any Liens; or permit any Lien to exist, on any of the Shares; (iii) vote
in favor of any merger, consolidation, reorganization or other extraordinary
transactions involving the Company; or (iv) enter into any agreement to effect
any of the foregoing.

      6.3 Conduct of Business.  During the period from the date hereof to the
          -------------------
Closing Date, without the prior written consent of the Purchaser, and except
with respect to the 1999 Breeders Cup, or as expressly contemplated by this
Agreement (including, in particular, Section 6.8), the Company shall operate and
                                     -------
carry on the Business only in the ordinary course of business and consistent
with past practices, and shall use commercially reasonably efforts to preserve
intact its present business organization, keep available the services of its
present officers, Employees and consultants and preserve its present
relationships with customers, suppliers, Employees, and others having business
relationships.  Without limiting the generality of the foregoing, and except as
otherwise provided in this Agreement, prior to the Closing Date, the Company
shall not, without the prior written consent of the Purchaser:

                                      -23-
<PAGE>

          (a) offer, issue, deliver, or agree to issue, sell or deliver any
          capital stock of any class, options, warrants, subscriptions or other
          similar rights or securities of which the Company is the issuer or
          grantor, or agree to grant or issue, any options, warrants, incentive
          awards or similar rights calling for issuance of such securities or
          enter into any registration rights agreements or evidences of
          indebtedness convertible into Shares or any other capital stock of the
          Company;

          (b) split, reclassify, subdivide or change the rights and privileges
          of, or redeem, repurchase or otherwise acquire any shares of the
          capital stock of the Company;

          (c) settle, pay, discharge, compromise or satisfy any claims,
          liabilities or obligations, except for the payment, discharge or
          satisfaction of liabilities or obligations in the ordinary course of
          business consistent with past practice or in accordance with their
          terms as in effect on the date hereof, or any lawsuit or any other
          claim asserted against the Company, any of its officers, directors,
          shareholders, Employees, representatives or agents;

          (d) other than in the ordinary course of business and consistent with
          past practices, prepay any indebtedness, or pledge or subject to any
          Lien any asset of the Company;

          (e) other than in the ordinary course of business and consistent with
          past practices, declare or pay any bonuses or any increases in salary,
          commissions or other compensation to any of the Employees, independent
          contractors or agents of the Company, or amend any existing, or enter
          into any new employment, engagement or consulting contracts except to
          the extent required under existing employee benefit plans, agreements
          or arrangements as in effect on the date hereof;

          (f) effect any recapitalization of the capital stock of the Company or
          amend, whether by merger; consolidation or otherwise, the Articles of
          Incorporation or the bylaws of the Company;

          (g) violate any Requirement of Law or relinquish, suffer, terminate or
          agree to the suspension of any rights, or (except where the same are
          not required) the termination or suspension of any of the Licenses;

          (h) enter into any new transactions with Affiliates or alter the terms
          of any existing arrangements between the Company and Affiliates;

          (i) declare, set aside or pay any dividend on or make any distribution
          with respect to the Shares or any other shares of capital stock of the
          Company;

                                      -24-
<PAGE>

          (j) sell, assign, lease, encumber or otherwise transfer or dispose any
          of the properties or assets of the Company, except in the ordinary
          course of business and consistent with past practices;

          (k) other than in the ordinary course of business and consistent with
          past practices, borrow any funds, incur, assume or guarantee any loans
          or any other obligations of others or provide indemnities for others
          in excess of $500,000;

          (l) purchase or lease any interest in real property;

          (m) enter into any employment agreements or establish, enter into,
          adopt, amend or terminate any employee benefit plan or arrangement for
          the benefit of any directors, officers or employees, or terminate any
          ERISA Benefit Plans or take any action with respect to the terms of
          such ERISA Benefit Plans which would adversely affect the accrued
          benefits of the Employees;

          (n) other than in the ordinary course of business and consistent with
          past practices, enter into any contracts or commitments or make
          capital expenditures  for amounts in excess of $500,000 in the
          aggregate;

          (o) take any action or omit to take any action that would result in a
          cancellation or breach of, or with notice or lapse of time or both
          would constitute a default under, any Contract to which the Company is
          a party or by which it or its assets may be bound;

          (p) merge or consolidate with, or purchase all or substantially all of
          the shares of capital stock (or other equity securities) or assets of,
          any Person;

          (q) become a general or limited partner of any partnership;

          (r) take any action or omit to take any action that would cause any
          representation made by the Seller under Section 6 above to be made
                                                  -------
          untrue, or would result in the breach of any warranty made by the
          Seller under Section 6 above;
                       -------

          (s) change or alter the manner of keeping the books, accounts or
          records of  the Company or in the accounting practices of the Company;

          (t) take any actions which are reasonably likely to have a Material
          Adverse Effect; and

          (u) commit the Company to do any of the things described in this

Section 6.3.
-------

                                      -25-
<PAGE>

      6.4 Conduct of Business - Affirmative Covenants.  Prior to the Closing
          -------------------------------------------
Date, the Company shall take any and all actions which may be necessary to
conduct the Business in  the ordinary course of business and consistent with
past practices, including, without limitation, actions to:

          (a) maintain its good standing and qualification to do business in all
          jurisdictions where required to be qualified to do business;

          (b) maintain all the Licenses which are necessary for the conduct of
          the Company's Business and operations;

          (c) continue to maintain its properties, assets and equipment in
          customary repair, order and working condition, reasonable wear and use
          excepted;

          (d) duly comply with all Requirements of Law imposed upon the Company;

          (e) duly comply with the terms, conditions or provisions of all
          Contracts to which the Company or its respective properties or assets
          may be bound;

          (f) maintain in force and effect the current insurance with respect to
          the Business;

          (g) pay and discharge, before the same shall become delinquent, all
          Taxes, imposed on or against the income or profits or any of the
          properties, assets or equipment of the Company;

          (h) pay all costs and expenses of the Company as they become due and
          payable in the ordinary course of business and consistent with past
          practices;

          (i) timely file or extend Tax Returns which are required to be filed
          by the Company;

          (j) use commercially reasonable efforts to keep intact the present
          business organization of the Company, including the services of its
          present officers, directors, Employees, representatives and agents;

          (k) use commercially reasonable efforts to preserve the present
          relationships of the Company with all customers, clients, accounts,
          distributors, sales representatives, suppliers and other Persons
          having business relationships with the Company;

          (l) maintain the books, records and accounts of the Company with
          completeness and accuracy in the ordinary course of business and
          consistent with past practices; and

                                      -26-
<PAGE>

          (m)       timely file or cause to be timely filed any and all
                    applicable reports, statements or filings with all court or
                    Governmental Authority.

      6.5 Access to Information and Personnel.
          -----------------------------------

          6.5.1  Subject to the terms and conditions set forth in the
     Confidentiality Agreement, the Purchaser may make or cause to be made such
     additional investigation of the Business and assets of the Company and its
     financial and legal condition as the Purchaser deems reasonably necessary
     or advisable to familiarize itself therewith further.  The Company shall
     (and the Seller shall cause the Company to) permit the Purchaser and its
     accountants, counsel and other representatives to have, during the period
     from the date hereof to the Closing Date, reasonable access to the
     premises, customers, books and records of the Company (including such books
     and records as relate to Taxes of the Company) relating to the business of
     the Company, for all periods ending prior to or as of the Closing Date,
     during normal business hours and upon reasonable advance notice.  The
     Company shall furnish the Purchaser with such financial and operating data
     and other information with respect to the Business and assets of the
     Company as the Purchaser will from time to time reasonably request,
     provided the same can be provided to the Purchaser without undue expense to
     the Company.  Any information regarding the Company heretofore obtained
     from the Company by the Purchaser or its representatives, or hereafter
     obtained from the Company, shall be subject to the terms of the
     Confidentiality Agreement and such information shall be held by the
     Purchaser and its representatives in accordance with the terms of the
     Confidentiality Agreement.

          6.5.2  No investigation pursuant to this Section shall affect any
     representation or warranty in this Agreement of any party hereto or any
     condition to the obligations of the parties hereto.

      6.6 Best Efforts.  The Seller shall use its best efforts to cause the
          ------------
transactions contemplated hereby to be consummated on or before August 30, 1999
and to take or to cause the Company to take any and all actions which may be
required to be taken under this Agreement prior to the Closing Date.  The Seller
shall proceed as soon as practicable in the procurement of all permits,
consents, approvals and termination of waiting periods and in the taking of any
other action, and the satisfaction of all other requirements prescribed by law
or otherwise necessary for consummation of the transactions contemplated hereby
on the terms herein provided, and shall diligently prosecute the same, including
without limitation, within 10  business days of the execution of this Agreement,
effect the filing(s) required from the Company and the Seller under the HSR Act
and request early termination of the waiting period under such HSR Act.

      6.7 Resignations of Directors.  On or prior to the Closing Date, all of
          -------------------------
the members of the Board of Directors and each of the officers of the Company
appointed or elected prior to the Closing Date shall have submitted their
resignations to the Company in form and content satisfactory to the Purchaser
and effective as of the Closing Date.

                                      -27-
<PAGE>

      6.8 Payment of Accrued Amounts.   Prior to the Closing, the Company shall
          --------------------------
pay: (1) to the Seller, all consultancy fees and guaranty fees payable by the
Company to the Seller and accrued to and including the Closing Date; (2) to the
Escrow Trustee for payment to the Bank, all amounts of interest accrued to and
including the Closing Date under the Credit Agreement, together with all other
amounts (including break funding costs, if any, but excluding amounts of
principal) payable by the Company thereunder to and including the Closing Date;
and (3) to the Escrow Trustee for payment to the Mortgagee, all amounts of
interest accrued to and including the Closing Date owing to the Mortgagee under
the Demand Note, together with all other amounts (excluding amounts of
principal) payable by the Company to the Mortgagee thereunder to and including
the Closing Date; provided, however, that (i) all such payments shall be
pursuant to agreements in existence on the date of this Agreement (and not
subsequently amended or modified) which are disclosed in the Schedules to this
Agreement; (ii) such payments shall not include amounts for which the Seller is
responsible under Section 12.2 and (iii) the aggregate amount of all payments to
                  -------
be made by the Company under this Section 6.8 prior to the Closing (other than
                                  -------
amounts paid in the ordinary course of business) shall not exceed $1,500,000.

      6.9 Tax Matters.
          -----------

          6.9.1   The Seller shall make an election to waive the net operating
     loss carryback period pursuant to Section 172(b)(3) of the Code with
     respect to its tax year ended March 31, 2000.

          6.9.2   Following the filing of the Seller's Federal income tax return
     for the period ended March 31, 2000, the Seller shall provide the Purchaser
     with a copy thereof to enable the Purchaser to determine if there are any
     net operating loss carryovers, tax credit carryovers or other attribute
     carryovers available for the Purchaser's post acquisition Federal income
     tax return.

          6.9.3   After the Closing, the Seller shall inform the Purchaser of
     any adjustments proposed by the Internal Revenue Service or other taxing
     authority with respect to tax years of the Seller ending on or before March
     31, 2000 which may have a materially adverse impact on the Purchaser.  The
     Seller will advise the Purchaser of the terms of any proposed settlement of
     such adjustments which would have a material adverse impact on the
     Purchaser and provide the Purchaser with a reasonable opportunity, at the
     Purchaser's sole cost and expense, to object to such settlement but only to
     the extent that tax counsel to the Seller shall have concluded in its
     opinion that any such objection by the Purchaser shall not adversely effect
     the position of the Seller.

7.  COVENANTS OF PURCHASER.
     ----------------------

      7.1 Confidentiality.  The Purchaser shall not, without the prior written
          ---------------
consent of the Seller, disclose or acquiesce in the disclosure by any person or
entity, or use or enable the use to the

                                      -28-
<PAGE>

competitive detriment of the Seller and/or the Company, any non-public
information regarding (1) the Company and the Business or financial condition of
the Company, other than after the Closing, or (2) the Seller and the Business or
financial condition of the Company, contained in any documents or otherwise
furnished at any time to the Purchaser by or on behalf of the Company or the
Seller, to any person or organization except the Purchaser's legal counsel,
accountants, financial advisors, investment bankers and its other authorized
agents and representatives, and to such persons only to the extent required for
activities directly related to the purchase of the Shares or other transactions
contemplated by this Agreement and the Purchaser shall ensure that such agents
and representatives comply with the confidential obligation of the Purchaser
hereunder, except to the extent such information has been publicly disclosed or
is otherwise in the public domain or is required to be disclosed by law or by a
court of competent jurisdiction or Governmental Authority.

      7.2 Best Efforts.  The Purchaser shall use its best efforts to cause the
          ------------
transactions contemplated hereby to be consummated on or before August 30, 1999,
and to take any and all actions which may be required to be taken by the
Purchaser under this Agreement prior to the Closing Date.  The Purchaser shall
proceed as soon as is practicable in the procurement of all permits, consents,
approvals and termination of waiting periods and in the taking of any other
action  and the satisfaction of all other requirements prescribed by law or
otherwise necessary for consummation of the transactions contemplated hereby on
the terms herein provided, and shall diligently prosecute the same, including,
without limitation: (i) within 30 business days of execution of this Agreement
make the filing of the initial transfer application with the Division in
connection with the transfer of the Pari-Mutuel Wagering Permit; and (ii) within
10 business days of the execution of this Agreement make the filing required
under the HSR Act and shall request early termination of the waiting period
under the HSR Act.    The Purchaser shall bear all expenses and fees in
connection with the transfer of the Pari-Mutuel Wagering Permit, including any
such expenses and fees incurred by the Seller or the Company.

      7.3 Purchaser's Financial Ability.  On or prior to the date hereof, the
          -----------------------------
Purchaser shall have delivered to the Seller a letter from Magna confirming that
the Purchaser will have the financial ability to fulfill its obligations
hereunder and the Seller shall be entitled to rely upon such letter from Magna.

8.  CONDITIONS TO CLOSING.
     ---------------------

      8.1 Conditions Precedent to Purchaser's Performance.   The obligation of
          -----------------------------------------------
the Purchaser to consummate the purchase of the Shares in accordance with this
Agreement is subject to the fulfillment of each of the following conditions, any
of which may be waived in writing by the Purchaser, in whole or in part, in its
sole discretion:

           8.1.1   Compliance with this Agreement.
                   ------------------------------

                                      -29-
<PAGE>

               (1) Each of the Seller and the Company shall have performed and
          satisfied in all material respects all covenants, obligations,
          agreements and conditions required by this Agreement to be performed
          and satisfied by it on or prior to the Closing Date;

               (2) The representations and warranties of the Company and the
          Seller contained in Sections 3 and 5, respectively, shall be true,
                              --------
          correct and complete in all material respects as of the date when
          made, and as of the Closing Date, with the same force and effect as if
          such representations and warranties had been made on the Closing Date,
          except: (i) for changes permitted or contemplated by this Agreement;
          (ii) to the extent they expressly refer to an earlier time in which
          case they shall be true and correct as of such time, and (iii) for
          representations and warranties not containing any materiality
          qualifier, in which case such representations and warranties shall be
          true and correct in all material respects; and

               (3) The Company shall have delivered to the Purchaser a
          certificate, dated as of the Closing Date, signed by it as to the
          matters relating to it described in Sections 8.1.1(1), 8.1.1(2) with
                                              --------
          respect to the representations in Section 3, and 8.1.2.; and the
                                            -------
          Seller shall have delivered to the Purchaser a certificate, dated as
          of the Closing Date, signed by it as to the matters relating to it
          described in Sections 8.1.1(1) and 8.1.1(2) with respect to the
                       --------
          representations set forth in Section 5.
                                       -------

           8.1.2  No Material Adverse Change.  As of the Closing Date, there
                  --------------------------
     shall have been no change in the financial condition, results of
     operations, assets or business of the Company since the date hereof that is
     a Material Adverse Effect.

           8.1.3  No Default.  As of the Closing Date, the Company shall not be
                  ----------
     in default under, and no event shall have occurred which would constitute a
     default (or any event which with the giving of notice or lapse of time or
     both, would constitute a default) under, any Contract to which the Company
     is a party.

           8.1.4  No Illegality.  It shall not have become illegal, on or prior
                  -------------
     to the Closing Date, under any statute, rule, order or regulation of or in
     any applicable jurisdiction for the Purchaser to perform the transactions
     contemplated by this Agreement, provided that such illegality shall not
     have arisen by reason of any wrongful act or omission to act by the
     Purchaser.

           8.1.5  Governmental Consents and Approvals.  Any and all necessary
                  -----------------------------------
     approvals and consents from Governmental Authority and other third parties
     to complete the transactions contemplated hereby shall have been obtained,
     such approvals and consents shall not have expired or been withdrawn as of
     the Closing Date and all applicable waiting periods shall have expired or
     terminated.

                                      -30-
<PAGE>

           8.1.6  Absence of Legal Challenge to Acquisition.  As of the Closing
                  -----------------------------------------
     Date, there shall be no litigation, action, investigation, inquiry,
     proceeding, order, writ, injunction, judgment, decree, or other legal
     restraint or prohibition pending or threatened relating to or affecting the
     Purchaser in any court, or by any Governmental Authority prohibiting the
     consummation of the purchase and sale of the Shares or any of the other
     transactions specified in or required by the terms of this Agreement,
     which, in the reasonable opinion of legal counsel for the Purchaser could
     make it necessary not to consummate such transactions.

           8.1.7  Approval of Documentation.  The form and substance of all
                  -------------------------
     certificates, instruments and other documents delivered to the Purchaser by
     the Seller under this Agreement shall be satisfactory in all material
     respects to the Purchaser and its legal counsel.

           8.1.8  Share Certificates.  The Seller shall have delivered to the
                  ------------------
     Escrow Trustee, for delivery to the Purchaser pursuant to the Escrow Trust
     Instructions, the Share Certificates, free and clear of any and all Liens
     (other than restrictions on transfer or resale imposed by federal or state
     securities laws or laws of any Governmental Authority regulating the
     Business).

           8.1.9  Director and Officer Resignations. All of the directors and
                  ---------------------------------
     officers of the Company (other than R. Douglas Donn and Mark Gunderson)
     shall have tendered their written resignations as such, effective upon
     consummation of the Closing.

           8.1.10  Execution of Agreements.  Each of the Acquisition Agreements
                   -----------------------
     shall have been executed in form and substance acceptable to the Purchaser.

           8.1.11  Opinion of Counsel.  The  Purchaser shall have received the
                   ------------------
     written opinions of Romanik, Huss & Ivers, Florida counsel to the Company,
     and Masuda, Funai, Eifert & Mitchell, Ltd., Illinois counsel to the Company
     and the Seller, addressed to the Purchaser and dated as of the Closing Date
     substantially in the respective forms of Exhibits 2 and 3.
                                              --------

           8.1.12 Corporate Action.  The Purchaser shall have received: (1) from
                  ----------------
     the Seller: (i) a copy of the resolutions adopted by the Board of Directors
     of the Seller authorizing the execution, delivery and performance by the
     Seller of this Agreement, certified by the Secretary or the Assistant
     Secretary of the Seller; and (ii) an incumbency certificate of the
     Secretary or the Assistant Secretary of the Seller as to the incumbency and
     signature of the officer of the Seller executing this Agreement and any
     certificate delivered to the Seller hereunder; and (2) from the Company:
     (i) a copy of the resolutions adopted by the Board of Directors of the
     Company authorizing the execution, delivery and performance by the Company
     of this Agreement, certified by the Secretary or the Assistant of the
     Company; and (ii) an incumbency certificate by the Secretary or the
     Assistant Secretary of the Company as to the incumbency and signature of
     the officer of the Company executing this Agreement.

                                      -31-
<PAGE>

           8.1.13 Survey.  The Purchaser shall have received, at it sole cost
                  ------
     and expense, an ALTA Survey of the Property inform and substance reasonably
     satisfactory to the Purchaser.

           8.1.14 Title.  Concurrently with the Closing, the Purchaser shall
                  -----
     have received from a title insurance company selected by the Purchaser, at
     the Purchaser's sole cost and expense, an ALTA extended coverage owner's
     title insurance policy insuring the Purchaser's fee title in the Property
     in an amount not less than the portion of the Purchase Price allocated to
     such Property, subject only to such exceptions as are reasonably acceptable
     to the Purchaser and containing such endorsements as are reasonably
     requested by the Purchaser.

           8.1.15 Release of Liens; Repayment of Outstanding Loan and Mortgage
                  ------------------------------------------------------------
     Balance. The Purchaser shall have received confirmation: (1) from the
     -------
     Escrow Trustee that the Escrow Trustee has received all documents and
     instruments and all funds required under the Escrow Trust Instructions to
     release all Liens specified in Section 2.3.1; (2) from the Bank, the amount
                                    -------
     of principal, accrued interest and fees and all other amounts owing by the
     Company to the Bank to and including the Closing Date under the Credit
     Agreement; and (3) from the Mortgagee, the amount of principal, accrued
     interest and fees and all other amounts owing by the Company to the
     Mortgagee to and including the Closing Date under the Demand Note.

           8.1.16  Limited Support Letters.  The Purchaser shall have received
                   -----------------------
     from each of the shareholders of the Seller a letter in the form of Exhibit
                                                                         -------
     6.

           8.1.17  SunTrust Waiver.  The Purchaser shall have received a waiver
                   ---------------
     (in form and substance satisfactory to the Purchaser) from SunTrust Bank,
     South Florida, National Association ("SunTrust"), as lessor under a Master
     Lease Agreement, dated October 30, 1998, as amended, between SunTrust and
     the Company, with respect to the transaction contemplated hereby.

           8.1.18  Termination of Arrangements with Affiliates.  The Purchaser
                   -------------------------------------------
     shall have received evidence, reasonably satisfactory to the Purchaser,
     that all of the obligations, agreements and undertakings of the Company
     with the Seller, any Affiliate of the Seller and any lawyer, accountant or
     other professional that also provides services to the Seller or any
     Affiliate of the Seller shall have been terminated (unless waived by the
     Purchaser).

      8.2 Conditions Precedent to Seller's Performance.  The obligation of the
          --------------------------------------------
Seller to consummate the sale of the Shares in accordance with this Agreement is
subject to the fulfillment of each of the following conditions, any of which may
be waived in writing by the Seller, in whole or in part, in its sole discretion:

           8.2.1    Compliance with this Agreement.
                    ------------------------------

                                      -32-
<PAGE>

               (1) The Purchaser shall have performed and satisfied all
          covenants, obligations, agreements and conditions required by this
          Agreement to be performed and satisfied by it, on or prior to the
          Closing Date;

               (2) The representations and warranties of the Purchaser contained
          in Section 4 above shall be true, correct and complete in all material
             -------
          respects as of the date when made, on or and as of the Closing Date,
          with the same force and effect as if such representations and
          warranties had been made on the Closing Date, except for (i) changes
          permitted or contemplated by this Agreement; (ii) to the extent they
          expressly refer to an earlier time in which case they shall be true
          and correct as of such time, and (ii) for representations and
          warranties not containing any materiality qualifier, in which case
          such representations and warranties shall be true and correct in all
          material respects; and

               (3) The Purchaser shall have delivered to the Seller and the
          Company a certificate dated as of the Closing Date, signed by the
          Purchaser as to the matters described in Section 8.2.1(1) and
                                                   -------
          8.2.1(2).

           8.2.2  No Illegality.  It shall not have become illegal, on or prior
                  -------------
     to the Closing, under any statute, rule, order or regulation of or in any
     applicable jurisdiction for the Seller to perform the transactions
     contemplated by this Agreement, provided that such illegality shall not
     have arisen by reason of any wrongful act or omission to act by the Seller.

           8.2.3  Government Consents and Approvals.  Any and all necessary
                  ---------------------------------
     material approvals and consents from any Governmental Authority and other
     third parties to complete the transactions contemplated hereby shall have
     been obtained, such approvals and consents shall not have expired or been
     withdrawn as of the Closing Date and all applicable waiting periods shall
     have expired or terminated.

           8.2.4  Absence of Legal Challenge to Acquisition.  As of the Closing
                  -----------------------------------------
     Date, there shall be no litigation, action, investigation, inquiry,
     proceeding, order, writ, injunction, judgment or decree, or other legal
     restraint or prohibition pending or threatened relating to or affecting the
     Purchaser, the Seller or the Company in any court, or by any Governmental
     Authority prohibiting the consummation of the purchase and sale of the
     Shares or any of the other transactions specified in or required by the
     terms of this Agreement, which, in the reasonable opinion of legal counsel
     for the Seller would make it necessary not to consummate such transactions.

           8.2.5   Corporate Action.  The Seller shall have received: (1) a copy
                   ----------------
     of the resolution adopted by the Board of Directors of the Purchaser
     authorizing the execution, delivery and performance by the Purchaser of
     this Agreement, certified by the Secretary or Assistant Secretary of the
     Purchaser; and (2) an incumbency certificate of the Secretary or

                                      -33-
<PAGE>

     Assistant Secretary of the Purchaser as to the incumbency and signature of
     the officer of the Purchaser executing this Agreement and any certificate
     delivered to the Seller hereunder.

           8.2.6  Approval of Documentation.  The form and substance of all
                  -------------------------
     certificates, instruments and other documents delivered to the Seller by
     the Purchaser under this Agreement shall be satisfactory in all material
     respects to the Seller and its legal counsel.

           8.2.7  Execution of Agreements.  Each of the Acquisition Agreements
                  -----------------------
     shall have been executed in form and substance acceptable to the Seller.

           8.2.8  Opinion of Counsel.  The Seller shall have received the
                  ------------------
     written opinion of O'Melveny & Myers LLP, counsel of the Purchaser,
     addressed to the Seller and dated as of the Closing Date substantially in
     the form of Exhibit 4.
                 -------

           8.2.9  Payment of Accrued Interest and Fees.   The Seller shall have
                  ------------------------------------
     received:  (1) subject to the maximum amount permitted under Section
                                                                  -------
     6.8(iii), payment of all consultancy fees and guaranty fees payable to the
     Seller by the Company accrued to and including the Closing Date; and (2)
     confirmation from the Escrow Trustee of the receipt by the Escrow Trustee
     of the following: (i) from the Purchaser, the Purchase Price; and (ii) from
     the Company, all amounts of interest and fees accrued to and including the
     Closing Date and all other amounts (other than principal) due and owing by
     the Company to the Bank under the Credit Agreement and (subject to the
     maximum amount permitted under Section 6.8(iii)) the Mortgagee under the
                                    -------
     Demand Note.

9.  TERMINATION PRIOR TO CLOSING.
     ----------------------------

      9.1 Termination.  This Agreement may be terminated at any time prior to
          -----------
the Closing:

          (a) by mutual agreement of the Seller and the Purchaser;

          (b) (i) by the Purchaser upon written notice given to the Seller in
          the event that the Seller, contrary to the terms of this Agreement,
          fails or refuses to consummate the transactions contemplated hereby or
          to take any other action referred to herein necessary to consummate
          the transactions contemplated hereby, after affording such Seller a
          30-day period after notice in which to cure such failure or refusal or
          (ii) by the Seller upon written notice given to the Purchaser in the
          event that the Purchaser, contrary to the terms of this Agreement,
          fails or refuses to consummate the transactions contemplated hereby or
          to take any other action referred to herein necessary to consummate
          the transactions contemplated hereby, after affording the Purchaser a
          30-day period after notice in which to cure such failure or refusal;

                                      -34-
<PAGE>

          (c) (i) by the Purchaser upon notice given to the Seller if the
          Closing will not have taken place on or before November 30, 1999;
          provided that the failure of the Closing to occur on or before such
          date is not the result of the breach of any covenants, agreements,
          representations or warranties hereunder of the Purchaser or; (ii) by
          the Seller upon written notice given to the Purchaser if the Closing
          will not have taken place on or before November 30, 1999, provided
          that the failure of the Closing to occur on or before such date is not
          the result of the breach of the covenants, agreements, representations
          or warranties hereunder of the Seller;

          (d) either the Purchaser or the Seller upon notice given to the other
          if any court or Governmental Authority of competent jurisdiction will
          have issued a final permanent order, enjoining or otherwise
          prohibiting the transactions contemplated by this Agreement;

          (e) by the Purchaser, upon a breach of any representation, warranty,
          covenant or agreement on the part of the Company or the Seller set
          forth in this Agreement, or if any representation or warranty of the
          Company or the Seller shall have become untrue, in either case such
          that the conditions set forth in Sections 8.1 or 8.2  would not be
                                           --------
          satisfied as of the time of such breach or as of the time such
          representation or warranty shall have become untrue, provided that if
                                                               --------
          such inaccuracy in the Company's or the Seller's representations and
          warranties or breach by the Company or the Seller is curable through
          the exercise of its reasonable efforts and for so long as the Company
          or the Seller continues to exercise such reasonable efforts, the
          Purchaser may not terminate this Agreement under this Section 9.1(e);
                                                                -------

          (f) by the Seller, upon a breach of any representations, warranty,
          covenant or agreement on the part of the Purchaser set forth in this
          Agreement, or if any representation or warranty of the Purchaser shall
          have become untrue, in either case such that the conditions set forth
          in Sections 8.1 or 8.2 would not be satisfied as of the time of such
             --------
          breach or as of the time such representation or warranty shall have
          become untrue, provided that if such inaccuracy in the Purchaser's
                         --------
          representations and warranties or breach by the Purchaser is curable
          through the exercise of its reasonable efforts and for so long as the
          Purchaser continues to exercise such reasonable efforts, the Company
          may not terminate this Agreement under this Section 9.1(f).
                                                      -------

      9.2 Effect of Termination.   In the event of the termination of this
          ---------------------
Agreement as provided in Section 9.1, all of the obligations and liabilities of
                         -------
the parties under this Agreement shall terminate and each party hereto shall pay
its own fees and expenses incurred in connection with the negotiation,
preparation, execution and performance of this Agreement, including without
limitation the fees and expenses of attorneys, accountants and other advisors;

provided that nothing in this Section 9.2 shall relieve any party from any
--------                      -------
liability for any breach of this Agreement.  Any

                                      -35-
<PAGE>

termination of this Agreement shall not affect the parties' respective covenants
and obligations under the Confidentiality Agreement.

10.  INDEMNIFICATION.
     ---------------

      10.1     Indemnification by Seller.  The Seller (sometimes referred to in
               -------------------------
this Section 10 as "Indemnitors") shall defend, indemnify and hold the Purchaser
     -------
and its officers, directors, shareholders, employees, lawyers, accountants and
agents (the "Indemnified Purchaser Parties"), harmless from and against any and
all claims, demands, damages, liabilities, losses, costs, interest, penalties
and expenses (including reasonable attorneys' fees) of any kind or nature
whatsoever (collectively, "Damages") that may be asserted against, or sustained
or incurred by the Indemnified Purchaser Parties or any of them: (i) within 6
months from the Closing, as a result of a breach of any representation in

Section 5 (other than Section 5.3) or any covenant of the Seller contained in
-------               -------
Section 6 of this Agreement or (ii) within 12 months from the Closing, as a
-------
result of a breach of the representation in Section 5.3; provided, however,
                                            -------
that: (1) the amount to be indemnified by the Indemnitors to the Indemnified
Purchaser Parties under this Section 10.1 shall be reduced by the amount, if
                             -------
any, actually paid by the Indemnified Purchaser Parties' insurance carrier to
cover the Damages to be indemnified; (2) the Seller shall have no liability
under Section 10.1(i) until the aggregate amount of Damages of the Purchaser
      -------
(after any reductions as a result of the preceding proviso) exceed $500,000 and
then only for the amount that such Damages exceed $500,000; and (3) in no event
shall the aggregate liability of the Seller with respect to all claims of
indemnification under Section 10.1(i)exceed $500,000 and under Section 10.1(ii)
                      -------                                  -------
exceed $6,000,000.

      10.2     Indemnification by Purchaser.  The Purchaser agrees to defend,
               ----------------------------
indemnify and hold the Seller and its officers, directors, shareholders,
employees, lawyers accountants and agents (the "Indemnified Seller Parties")
harmless from and against any and all claims, demands, damages, liabilities,
losses, costs, interest, penalties and expenses (including reasonable attorneys'
fees) of any kind or nature whatsoever which: (i) may be asserted against the
Indemnified Seller Parties or sustained or suffered by the Indemnified Seller
Parties based upon, related to, or arising out of a breach of any
representation, warranty or covenant contained in Sections 4 and 7; and (ii) may
                                                  --------
be asserted against the Indemnified Seller Parties or sustained or suffered by
the Indemnified Seller Parties based upon, or related to, or arising out of: (1)
any business or transactions conducted by the Company after the Closing Date,
and (2) any act or omission of the Purchaser or the Company or their respective
officers, directors, shareholders, employees or agents occurring after the
Closing Date and not related to sub-clause (i) above; provided, that the amount
to be indemnified by the Purchaser to the Indemnified Seller Parties under this

Section 10.2 shall be reduced by the amount, if any, actually paid by the
-------
Indemnified Seller Parties' insurance carrier to cover the loss to be
indemnified.

      10.3     Third Party Claims.  If a claim by a third party is made against
               ------------------
any of the indemnified parties, and if such indemnified party intends to seek
indemnity with respect thereto under this Section 10, such indemnified party
                                          -------
shall promptly notify in writing the Purchaser or the

                                      -36-
<PAGE>

Seller, as the case may be, of such claim. If any indemnified party or parties
fails to provide the foregoing written notice in a timely manner, which failure
to notify results in or otherwise gives rise to any material prejudice to the
defense of such claim, the indemnified party or parties shall be deemed to have
waived its, his, her or their rights to indemnification under this Section 10
                                                                   -------
from the indemnifying party or parties with respect to the claim for which
timely written notice was not given. The indemnifying party shall have thirty
(30) days after receipt of such notice to commence to undertake, conduct and
control, through counsel of its own choosing and at its expense, the settlement
or defense therefor, and the indemnified party shall cooperate in connection
therewith, provided that:

          10.3.1  the indemnifying party shall not thereby permit to exist any
     lien or adverse charge upon any asset of any indemnified party;

          10.3.2  the indemnifying party shall permit the indemnified party to
     participate in such settlement or defense through counsel chosen by the
     indemnified party, provided that the fees and expenses of such counsel
     shall be borne by the indemnified party;

          10.3.3   the indemnifying party shall promptly reimburse the
     indemnified party for the full amount of any loss resulting from such claim
     and all related expenses incurred by the indemnified party within the
     limits of this Section 10, except for counsel fees under Section 10.3.2;
                    -------                                   -------
     and

          10.3.4  the indemnified party shall have the right to employ its own
     counsel, at such indemnified party's expense if such indemnified party
     reasonably concludes that such action, suit or proceedings involves to a
     significant extent matters beyond the scope of the indemnity agreement
     contained in this Section 10, or that there may be defenses available to it
                       -------
     which are different from or additional to those available to the
     indemnifying party, except that the portion of such fees and expenses
     reasonably related to matters covered by the indemnity agreement set forth
     in this Section 10 shall be borne by the indemnifying party.  So long as
             -------
     the indemnifying party is reasonably contesting any such claim in good
     faith, the indemnified party shall not pay or settle any such claim.
     Notwithstanding the foregoing, the indemnified party shall have the right
     to pay or settle any such claim, provided that in such event the
     indemnified party shall waive any right to indemnity therefor by the
     indemnifying party. If the indemnifying party does not notify the
     indemnified party within 30 days after receipt of the indemnified party's
     written notice of a claim of indemnity hereunder that it elects to
     undertake the defense thereof, the indemnified party shall have the right
     to contest, settle or compromise the claim in the exercise of its exclusive
     discretion at the expense of the indemnifying party. The indemnified party
     shall, however, notify the indemnifying party in writing of any compromise
     or settlement of any such claim.

      10.4     As Is Transaction; No Warranties:  NOTWITHSTANDING SECTION 10.1,
               ---------------------------------                  -------
AND EXCEPT FOR THE EXPRESS REPRESENTATIONS AND WARRANTIES AND COVENANTS SET
FORTH IN THIS AGREEMENT, THE SHARES AND ALL ASSETS OF THE COMPANY,

                                      -37-
<PAGE>

INCLUDING WITHOUT LIMITATION THE PROPERTY, IS PURCHASED AND SOLD "AS IS." THE
PURCHASE PRICE AND THE TERMS AND CONDITIONS SET FORTH HEREIN ARE THE RESULT OF
ARM'S-LENGTH BARGAINING BETWEEN SOPHISTICATED PARTIES OF EQUIVALENT BARGAINING
POWER FAMILIAR WITH TRANSACTIONS OF THIS KIND AND REPRESENTED BY COMPETENT
COUNSEL, AND SAID PRICE, TERMS AND CONDITIONS REFLECT THE FACT THAT THE
PURCHASER SHALL HAVE THE BENEFIT OF, AND IS RELYING UPON, NO STATEMENTS,
REPRESENTATIONS OR WARRANTIES WHATSOEVER, MADE BY OR ENFORCEABLE AGAINST THE
SELLER RELATING TO THE COMPANY, THE PROPERTY OR OTHER ASSETS, EXCEPT SUCH
REPRESENTATIONS AND WARRANTIES AND OTHER PROVISIONS AS ARE EXPRESSLY SET FORTH
IN THIS AGREEMENT. THE PURCHASER REPRESENTS, WARRANTS AND COVENANTS TO THE
SELLER THAT, EXCEPT FOR THE SELLER'S AND THE COMPANY'S EXPRESS REPRESENTATIONS
AND WARRANTIES AND COVENANTS SPECIFIED IN THIS AGREEMENT, THE PURCHASER IS
RELYING SOLELY UPON THE PURCHASER'S OWN INVESTIGATION OF THE COMPANY AND THE
PROPERTY. IF THE SELLER OBTAINS OR HAS OBTAINED THE SERVICES, OPINIONS OR WORK
PRODUCT OF SURVEYORS, ARCHITECTS, ENGINEERS, ESCROW TRUSTEE, GOVERNMENTAL
AUTHORITIES OR ANY OTHER PERSON OR ENTITY WITH RESPECT TO THE COMPANY OR THE
PROPERTY, THEN THE PURCHASER AND THE SELLER AGREE THAT THE SELLER SHALL DO SO
ONLY FOR THE CONVENIENCE OF BOTH PARTIES, AND THE RELIANCE BY THE PURCHASER UPON
ANY SUCH SERVICES, OPINIONS OR WORK PRODUCT SHALL NOT CREATE OR GIVE RISE TO ANY
LIABILITY OF OR AGAINST THE SELLER.

THE PURCHASER HEREBY EXPRESSLY ACKNOWLEDGES THAT, PRIOR TO THE CLOSING, THE
PURCHASER WILL HAVE HAD THE OPPORTUNITY TO INVESTIGATE ALL PHYSICAL AND ECONOMIC
ASPECTS OF THE COMPANY AND ITS ASSETS AND TO MAKE ALL INSPECTIONS AND
INVESTIGATIONS OF THE COMPANY AND THE PROPERTY WHICH THE PURCHASER DEEMS
NECESSARY OR DESIRABLE TO PROTECT ITS INTERESTS IN ACQUIRING THE COMPANY AND THE
PROPERTY, INCLUDING, WITHOUT LIMITATION, ALL LICENSES AND OTHER PERMITS RELATED
TO OPERATION OF THE BUSINESS, BUILDING PERMITS, CERTIFICATES OF OCCUPANCY,
ENVIRONMENTAL AUDITS AND ASSESSMENTS, TOXIC SUBSTANCE REPORTS, SURVEYS,
INVESTIGATION OF LAND USE AND DEVELOPMENT RIGHTS, AND THE CONDITION OF THE
PROPERTY AND ALL IMPROVEMENTS THEREON (INCLUDING WITHOUT LIMITATION WITH RESPECT
TO ANY ENVIRONMENTAL HAZARDS OR CONDITIONS).  EXCEPT AS MAY BE SET FORTH IN THIS
AGREEMENT, THE PURCHASER DOES HEREBY WAIVE, AND THE SELLER DOES HEREBY DISCLAIM,
ALL WARRANTIES OF ANY TYPE OR KIND WHATSOEVER WITH RESPECT TO THE COMPANY, THE
BUSINESS OR THE PROPERTY, WHETHER EXPRESS OR IMPLIED, INCLUDING, BY WAY OF
DESCRIPTION BUT NOT LIMITATION, THOSE OF FITNESS FOR A PARTICULAR PURPOSE AND
USE.

                                      -38-
<PAGE>

11.  POST-CLOSING MATTERS.
     --------------------

      11.1     Survival of Representations and Warranties.  The respective
               ------------------------------------------
representations and warranties of the parties contained herein or in any
certificates or the documents delivered prior to or at the Closing shall not be
deemed waived or otherwise affected by any investigation made by any party
hereto, and shall survive for 6 months following the Closing, except that the
representation and warranty of the Seller contained in Section 5.3 shall survive
                                                       -------
for 12 months following the Closing.

      11.2       Select Employees of Company.  The Purchaser shall retain all
                 ---------------------------
employees of the Company listed in Exhibit 5, upon similar or the same terms and
                                   -------
conditions of employment, as are effective as of the date hereof, for a minimum
period of one year.

12.  MISCELLANEOUS.
     -------------

      12.1     No Public Announcement.  No party hereto shall make any public
               ----------------------
announcement concerning the transactions contemplated by this Agreement without
the prior approval of the other parties, except as such announcement may be
required by law or the rules and regulations of a stock exchange, in which case
the party required to make the announcement shall use all reasonable efforts to
provide the other party with reasonable time under the circumstances to comment
on such announcement in advance of such announcement.

      12.2     Expenses.  Whether or not the transactions contemplated hereby
               --------
are consummated, the Purchaser on behalf of itself, and the Seller, on behalf of
itself, shall each bear its own expenses in connection with the purchase and
sale of the Shares and the other transactions contemplated by this Agreement,
including the fees of attorneys, accountants, advisors, brokers, investment
bankers and other representatives; provided, however, that the Purchaser shall
pay all the fees, costs and expenses of Florida regulatory counsel (as selected
by the Purchaser and the Seller) relating to filings with and obtaining
approvals from the Division with respect to the transactions contemplated by
this Agreement.

      12.3     Notices and Legal Process.  Except as otherwise provided in this
               -------------------------
Agreement, all notices and other communications and legal process shall be in
writing and shall be personally delivered, transmitted by facsimile or overnight
courier, as elected by the party giving such notice, addressed as follows:

          (a)  If to the Company:

               Gulfstream Park Racing Association, Inc.
               901 South Federal Highway
               Hallandale, Florida 33009
               Facsimile:     954-457-6125
               Attention:     R. Douglas Donn

                                      -39-
<PAGE>

               With a copy to:

               Masuda, Funai, Eifert & Mitchell, Ltd.
               One East Wacker Drive
               Suite 3200
               Chicago, Illinois 60601-2002
               Facsimile: 312-245-7467
               Attention:     Keith W. Groebe, Esq.

          (b)  If to the Seller:

               Gulfstream Holding, Inc. of Illinois
               c/o Orient Corporation
               11 F Sunshine 60 Building
               3-1-1, Higashi Ikebukuro
               Toshima-ku, Tokyo 170-6062 Japan
               Facsimile: 81-3-3985-8407
               Attention:     Mr. Akihiro Terada

                                      -40-
<PAGE>

               With a copy to:

               Masuda, Funai, Eifert & Mitchell, Ltd.
               One East Wacker Drive
               Suite 3200
               Chicago, Illinois 60601-2002
               Facsimile: 312-245-7467
               Attention:     Keith W. Groebe, Esq.

          (c)  If to the Purchaser:

               MI Venture Inc.
               c/o Magna International Inc.
               337 Magna Drive
               Aurora, Ontario, Canada L4G7K1
               Facsimile:     905-726-7177
               Attention:  Mr. James Nicol

               With a copy to:

               O'Melveny & Myers LLP
               400 South Hope Street
               Los Angeles, California 90071-2899
               Facsimile:     213-430-6407
               Attention:  Frederick B. McLane, Esq.

Notices shall be deemed to have been given: (i) on the date of receipt, if
delivered personally, or (ii) on the next business day after transmission, if by
facsimile (and appropriate confirmations have been received by the noticing
party).  Any party hereto may change its address or telecopier number specified
above by giving written notice to the other parties hereto in the same manner as
specified in this Section 12.3.
                  -------

      12.4     Counterparts.  This Agreement may be executed in any number of
               ------------
counterparts, each of which shall be an original, and all of which together
shall constitute but one and the same instrument.

      12.5     Waiver.  Any party may by written instrument extend the time for
               ------
the performance of any of the obligations or other acts of any other party
hereunder and may waive: (1) any inaccuracies of any other party in the
representations or warranties contained in this Agreement or in any document
delivered pursuant hereto, (2) compliance with any of the covenants,
undertakings or agreements of any other party, or satisfaction of any of the
conditions to its obligations, contained in this Agreement, or (3) the
performance (including performance to the satisfaction of a party or its legal
counsel) by any other party of any of its obligations set out herein.

                                      -41-
<PAGE>

      12.6     Entire Agreement.  Unless otherwise specifically agreed in
               ----------------
writing, this Agreement and the Schedules attached hereto, together with the
Acquisition Agreements, represent the entire understanding of the parties with
reference to the transactions set forth herein, and supersede all prior
representations, warranties, understandings and agreements heretofore made by
the parties, and neither this Agreement nor any provisions hereof may be
amended, waived, modified or discharged except by an agreement in writing signed
by the party against whom the enforcement of any amendment, waiver, change or
discharge is sought.

      12.7     Binding Agreement; Assignment.  This Agreement shall be binding
               -----------------------------
upon and inure to the benefit of the parties hereto and their respective
successors and assigns.  Neither the Purchaser nor the Seller may  transfer or
assign its rights or obligations under this Agreement without obtaining the
prior written consent of the other.

      12.8     Governing Law.  This Agreement shall be governed by, and
               -------------
construed in accordance with, the laws of the State of Illinois.

      12.9     Captions.  The captions of the various Sections and subsections
               --------
hereof and on the Schedules attached hereto are for convenience of reference
only, and shall not affect the meaning or construction of any provision hereof
or of any such Schedules.

      12.10    Parties in Interest.  Nothing in this Agreement, whether express
               -------------------
or implied, is intended to confer any rights or remedies under or by reason of
this Agreement on any persons other than the parties to it and their respective
successors and assigns, nor is anything in this Agreement intended to relieve or
discharge the obligation or liability of any third persons to any party to this
Agreement, nor shall any provision give any third persons any right of
subrogation or action over or against any party to this Agreement.

      12.11    Severability; Construction.  In the event any provision hereof is
               --------------------------
determined to be invalid or unenforceable, the remaining provisions hereof shall
be deemed severable therefrom and shall remain in full force and effect.

      12.12    Schedules and Exhibits.  All Schedules referred to in this
               ----------------------
Agreement are attached hereto and are incorporated herein by this reference as
if fully set forth herein.  For purposes of this Agreement, any item in a
Schedule relating to a specific representation and warranty shall be deemed
disclosed in connection with all other representations and warranties.

      12.13    Waiver of Right to Jury Trial.  EACH PARTY HERETO KNOWINGLY,
               -----------------------------
WILLINGLY AND VOLUNTARILY WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, ANY
RIGHT SUCH PARTY MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION
DIRECTLY OR INDIRECTLY ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS
AGREEMENT OR ANY OF THE OTHER ACQUISITION AGREEMENTS TO WHICH SUCH PARTY IS A
PARTY.  EACH PARTY HERETO (i) CERTIFIES THAT NO REPRESENTATIVE OR LAWYER OF ANY
OTHER PARTY HERETO HAS REPRESENTED, EXPRESSLY OR OTHERWISE THAT SUCH OTHER PARTY
WOULD NOT, IN THE EVENT

                                      -42-
<PAGE>

OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER, AND (II) ACKNOWLEDGES THAT
SUCH PARTY AND THE OTHER PARTIES HERETO HAVE BEEN INDUCED TO ENTER INTO THIS
AGREEMENT, THE ACQUISITION AGREEMENTS AND THE TRANSACTIONS CONTEMPLATED HEREBY
AND THEREBY BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS
CONTAINED IN THIS SECTION 12.13.
                  -------

                           [Signature Page to Follow]

                                      -43-
<PAGE>

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

GULFSTREAM PARK RACING
ASSOCIATION, INC.

By: __________________________________________________________
Name: R. Douglas Donn
Title:    President

GULFSTREAM HOLDINGS, INC. OF ILLINOIS

By: __________________________________________________________
Name: Takeshi Doden
Title:    President

MI VENTURE INC.

By: ___________________________________________________________
Name:     James Nicol
Title:

                                      -44-<PAGE>

                                                                    Exhibit 10.3

================================================================================

                            STOCK PURCHASE AGREEMENT

                          Dated as of October 21, 1999

                                  By and Among

                      THE EDWARD J. DEBARTOLO CORPORATION,
                              an Ohio corporation,

                                       and

                              OKLAHOMA RACING LLC,
                       an Ohio limited liability company,

                                       and

                                MI VENTURE INC.,
                             a Delaware corporation.

================================================================================
<PAGE>

                                TABLE OF CONTENTS
1.    DEFINITIONS.................................................1

2.    SALE AND TRANSFER OF SHARES; CLOSING........................9

      2.1  SHARES.................................................9

      2.2  PURCHASE PRICE.........................................9

      2.3  CLOSING................................................9

      2.4  CLOSING OBLIGATIONS....................................9

3.    REPRESENTATIONS AND WARRANTIES OF SELLERS..................10

      3.1  ORGANIZATION AND GOOD STANDING........................10

      3.2  AUTHORITY; NO CONFLICT................................10

      3.3  CAPITALIZATION........................................11

      3.4  FINANCIAL STATEMENTS..................................12

      3.5  BOOKS AND RECORDS.....................................13

      3.6  TITLE TO PROPERTIES; ENCUMBRANCES.....................13

      3.7  CONDITION AND SUFFICIENCY OF ASSETS...................14

      3.8  ACCOUNTS RECEIVABLE...................................14

      3.9  INVENTORY.............................................15

      3.10 NO UNDISCLOSED LIABILITIES............................15

      3.11 TAXES.................................................15

      3.12 NO MATERIAL ADVERSE CHANGE............................16

      3.13 EMPLOYEE BENEFITS.....................................16

      3.14 COMPLIANCE WITH LEGAL REQUIREMENTS; GOVERNMENTAL
           AUTHORIZATIONS........................................23

      3.15 LEGAL PROCEEDINGS; ORDERS.............................24

      3.16 ABSENCE OF CERTAIN CHANGES AND EVENTS.................25

      3.17 CONTRACTS; NO DEFAULTS................................26

      3.18 INSURANCE.............................................29

      3.19 ENVIRONMENTAL MATTERS.................................30

      3.20 EMPLOYEES.............................................31

      3.21 LABOR RELATIONS; COMPLIANCE...........................32

      3.22 INTELLECTUAL PROPERTY.................................32

      3.23 CERTAIN PAYMENTS......................................33

      3.24 DISCLOSURE............................................34
<PAGE>

                                TABLE OF CONTENTS
                                  (continued)

                                                               Page

      3.25 RELATIONSHIPS WITH RELATED PERSONS....................34

      3.26 INVESTMENT INTENT OF EJDC.............................34

      3.27 BROKERS OR FINDERS....................................34

4.    REPRESENTATIONS AND WARRANTIES OF BUYER....................35

      4.1  ORGANIZATION AND GOOD STANDING........................35

      4.2  AUTHORITY; NO CONFLICT................................35

      4.3  CAPITALIZATION........................................35

      4.4  FINANCIAL STATEMENTS..................................36

      4.5  NO UNDISCLOSED LIABILITIES............................36

      4.6  NO MATERIAL ADVERSE CHANGE............................36

      4.7  CERTAIN PROCEEDINGS...................................36

      4.8  INVESTMENT INTENT OF BUYER............................36

      4.9  BROKERS OR FINDERS....................................37

5.    COVENANTS OF SELLERS PRIOR TO CLOSING DATE.................37

      5.1  ACCESS AND INVESTIGATION..............................37

      5.2  OPERATION OF THE BUSINESSES OF THE ACQUIRED
           COMPANIES.............................................37

      5.3  NEGATIVE COVENANT.....................................38

      5.4  REQUIRED APPROVALS....................................38

      5.5  NOTIFICATION..........................................38

      5.6  SATISFACTION OF INDEBTEDNESS..........................38

      5.7  NO NEGOTIATION........................................39

      5.8  BEST EFFORTS..........................................39

      5.9  ACQUISITION OF REMINGTON PARK LAND BY BUYER...........39

      5.10 401(k) PLAN...........................................39

      5.11 ACCESS TO SELLER ACCOUNTING RECORDS...................39

      5.12 REMINGTON LEASE.......................................39

      5.13 ACQUIRED COMPANY FINANCIAL DATA.......................40

6.    COVENANTS OF BUYER.........................................40

      6.1  ACCESS AND INVESTIGATION..............................40

                                       ii
<PAGE>

                                TABLE OF CONTENTS
                                  (continued)

                                                               Page

      6.2  APPROVALS OF GOVERNMENTAL BODIES......................40

      6.3  BEST EFFORTS..........................................40

      6.4  EMPLOYEES.............................................40

      6.5  DIRECTORSHIP..........................................41

      6.6  NOTIFICATION..........................................41

      6.7  REFUNDS OF PURSE MONEY TO SELLER......................41

7.    TAX MATTERS................................................42

      7.1  TAX PERIODS ENDING ON OR BEFORE THE CLOSING DATE......42

      7.2  TAX PERIODS BEGINNING BEFORE AND ENDING AFTER
           CLOSING DATE..........................................42

      7.3  REFUNDS AND TAX BENEFITS..............................43

      7.4  COOPERATION ON TAX MATTERS............................43

8.    CONDITIONS PRECEDENT TO BUYER'S OBLIGATION TO CLOSE........43

      8.1  ACCURACY OF REPRESENTATIONS...........................44

      8.2  SELLERS' PERFORMANCE..................................44

      8.3  CONSENTS..............................................44

      8.4  ADDITIONAL DOCUMENTS..................................44

      8.5  NO PROCEEDINGS........................................45

      8.6  NO CLAIM REGARDING STOCK OWNERSHIP OR SALE PROCEEDS...45

      8.7  HSR ACT...............................................45

      8.8  COMMISSION APPROVALS..................................45

9.    CONDITIONS PRECEDENT TO SELLERS' OBLIGATION TO CLOSE.......45

      9.1  ACCURACY OF REPRESENTATIONS...........................45

      9.2  BUYER'S PERFORMANCE...................................46

      9.3  ADDITIONAL DOCUMENTS..................................46

      9.4  NO PROCEEDINGS........................................46

      9.5  HSR ACT...............................................46

10.   TERMINATION................................................46

      10.1 TERMINATION EVENTS....................................46

      10.2 EFFECT OF TERMINATION.................................47

                                      iii
<PAGE>

                                TABLE OF CONTENTS
                                  (continued)

                                                               Page

11.   INDEMNIFICATION; REMEDIES..................................47

      11.1 SURVIVAL..............................................47

      11.2 INDEMNIFICATION AND PAYMENT OF DAMAGES BY EJDC........47

      11.3 INDEMNIFICATION AND PAYMENT OF DAMAGES BY BUYER.......48

      11.4 TIME LIMITATIONS......................................48
      11.5 LIMITATIONS ON AMOUNT-- EJDC..........................49

      11.6 LIMITATIONS ON AMOUNT-- BUYER.........................49

      11.7 PROCEDURE FOR INDEMNIFICATION-- THIRD PARTY CLAIMS....49

      11.8 PROCEDURE FOR INDEMNIFICATION-- OTHER CLAIMS..........50

      11.9 DETERMINATION OF DAMAGES, ETC.........................50

12.   GENERAL PROVISIONS.........................................51

      12.1 EXPENSES..............................................51

      12.2 PUBLIC ANNOUNCEMENTS..................................51

      12.3 CONFIDENTIALITY.......................................51

      12.4 NOTICES...............................................52

      12.5 FURTHER ASSURANCES....................................52

      12.6 WAIVER................................................53

      12.7 ENTIRE AGREEMENT AND MODIFICATION.....................53

      12.8 DISCLOSURE LETTER.....................................53

      12.9 ASSIGNMENTS, SUCCESSORS, AND NO THIRD-PARTY RIGHTS....53

      12.10SEVERABILITY..........................................54

      12.11SECTION HEADINGS, CONSTRUCTION........................54

      12.12TIME OF ESSENCE.......................................54

      12.13GOVERNING LAW.........................................54

      12.14COUNTERPARTS..........................................54

                                       iv
<PAGE>

                                    EXHIBITS

Exhibit 4.1          Description of Buyer's Business
Exhibit 8.4(a)       Form of Legal Opinion of Sellers' Counsel
Exhibit 8.4(b)       Form of Legal Opinion of Sellers' Oklahoma Counsel
Exhibit 9.3(a)       Form of Legal Opinion of Buyer's Counsel

                                    SCHEDULES

Schedule 6.4         Key Management Employees

                                       v
<PAGE>

                            STOCK PURCHASE AGREEMENT

           This Stock Purchase Agreement ("Agreement") is made as of October 21,
1999, by MI Venture Inc., a Delaware corporation ("Buyer"), The Edward J.
DeBartolo Corporation, an Ohio corporation ("EJDC"), and Oklahoma Racing LLC, an
Ohio limited liability company ("OR" and, collectively with EJDC, "Sellers").

                                    RECITALS

           EJDC desires to sell, and Buyer desires to purchase, all of the
issued and outstanding shares (the "Thistledown Shares") of capital stock of
Thistledown, Inc., an Ohio corporation ("Thistledown") which owns and operates a
thoroughbred horse racing and pari-mutuel wagering business at Thistledown
Racetrack, for the consideration and on the terms set forth in this Agreement;
and

           OR desires to sell, and Buyer desires to purchase, all of the issued
and outstanding shares (the "Remington Shares" and, collectively with the
Thistledown Shares, the "Shares") of capital stock of Remington Park, Inc., an
Oklahoma corporation ("Remington") which owns and operates a thoroughbred horse
racing and pari-mutuel wagering business at Remington Park Racetrack, for the
consideration and on the terms set forth in this Agreement.

                                    AGREEMENT

           The parties, intending to be legally bound, hereby agree as follows:

1.    DEFINITIONS

           For purposes of this Agreement, the following terms have the meanings
specified or referred to in this Section 1:

           "Acquired Companies"--Thistledown and Remington,
            ------------------
collectively.

           "Applicable Contract" -- any Contract (a) under which any Acquired
            -------------------
Company has or may acquire any rights, (b) under which any Acquired Company has
or may become subject to any obligation or liability, or (c) by which any
Acquired Company or any of the assets owned or used by it is or may become
bound.

           "Balance Sheets" -- as defined in Section 3.4(b).
            --------------

           "Best Efforts" -- the efforts that a prudent Person desirous of
            ------------
achieving a result would use in similar circumstances to ensure that such result
is achieved as expeditiously as possible.

           "Book Value" -- means the excess of total assets over total
            ----------
liabilities of a Person, as shown on any specified balance sheet of such Person.
<PAGE>

           "Breach" -- a "Breach" of a representation, warranty, covenant,
            ------
obligation, or other provision of this Agreement or any instrument delivered
pursuant to this Agreement will be deemed to have occurred if there is any
inaccuracy in or breach of, or any failure to perform or comply with, such
representation, warranty, covenant, obligation, or other provision, and the term
"Breach" means any such inaccuracy, breach, failure, claim, occurrence, or
circumstance.

           "Buyer" -- as defined in the first paragraph of this Agreement.
            -----

           "Buyer Disclosure Letter" -- the disclosure letter delivered by Buyer
            -----------------------
to Sellers concurrently with the execution and delivery of this Agreement.

           "Buyer Shares" -- means (i) if the Proposed Acquisition has not
            ------------
occurred prior to the Closing, the number of shares of Class A Subordinate
Voting Stock which is equal to .82173% of the total number of shares of equity
stock of Buyer outstanding at Closing (as adjusted to reflect (a) the issuance
of the Buyer Shares and (b) the deemed exchange of all Exchangeable Shares
outstanding at such time) and (ii) if the Proposed Acquisition has occurred
prior to the Closing, the number of shares of Class A Subordinate Voting Stock
which is equal to .82173% of the total number of shares of equity stock of Buyer
outstanding immediately upon closing of the Proposed Acquisition (as adjusted to
reflect (a) the issuance of the Buyer Shares and (b) the deemed exchange of all
Exchangeable Shares outstanding at such time), less any shares of equity stock
of Buyer issued in connection with the Proposed Acquisition or the acquisition
of any other horse racing or pari-mutuel wagering business prior to the Closing.
For all purposes hereunder, the value of the Buyer Shares shall be $4,500,000.

           "Class A Subordinate Voting Stock" -- as defined in Section 4.3(a).
            --------------------------------

           "Cleanup" -- as defined in the definition of Environmental, Health
            -------
and Safety Liabilities.

           "Closing" -- as defined in Section 2.3.
            -------

           "Closing Date" -- the date and time as of which the Closing actually
            ------------
takes place.

           "Commissions"-- the Ohio Commission and the Oklahoma Commission.
            -----------

           "Consent" -- any approval, consent, ratification, waiver, or other
            -------
authorization (including any Governmental Authorization).

           "Contemplated Transactions" -- all of the transactions contemplated
            -------------------------
by this Agreement, including:

           (a)  the sale of the Shares by Sellers to Buyer;

           (b) the performance by Buyer and Sellers of their respective
covenants and obligations under this Agreement;

           (c) Buyer's acquisition and ownership of the Shares and exercise of
control over the Acquired Companies, and

                                       2
<PAGE>

           (d) Buyer's issuance of the Buyer Shares to EJDC.

           "Contract" -- any agreement, contract, obligation, promise, or
            --------
undertaking (whether written or oral and whether express or implied) that is
legally binding.

           "Damages" -- as defined in Section 11.2.
            -------

           "Disclosure Letter" -- the disclosure letters delivered by Sellers to
            -----------------
Buyer concurrently with the execution and delivery of this Agreement.

           "EJDC" -- as defined in the first paragraph of this Agreement.
            ----

           "Encumbrance" -- any charge, claim, community property interest,
            -----------
condition, equitable interest, lien, option, pledge, security interest, right of
first refusal, or restriction of any kind, including any restriction on use,
voting, transfer, receipt of income, or exercise of any other attribute of
ownership other than those imposed by operation of law.

           "Environment" -- soil, land surface or subsurface strata, surface
            -----------
waters (including navigable waters, ocean waters, streams, ponds, drainage
basins, and wetlands), groundwaters, drinking water supply, stream sediments,
ambient air (including indoor air), plant and animal life, and any other
environmental medium or natural resource.

           "Environmental,  Health and Safety Liabilities" -- any cost, damages,
            ---------------------------------------------
expense,  liability,  obligation,  or other responsibility arising from or under
Environmental  Law or  Occupational  Safety and Health Law and  consisting of or
relating to:

           (a) any  environmental,  health,  or  safety  matters  or  conditions
(including on-site or off-site  contamination,  occupational  safety and health,
and regulation of chemical substances or products);

           (b)  fines,  penalties,  judgments,  awards,  settlements,  legal  or
administrative  proceedings,  damages,  losses,  claims,  demands and  response,
investigative, remedial, or inspection costs and expenses;

           (c) financial  responsibility for cleanup costs or corrective action,
including any required investigation,  cleanup, removal,  containment,  or other
remediation  or  response  actions  ("Cleanup")  required  or  requested  by any
Governmental Body or any other Person and for any natural resource damages; or

           (d)  any other required compliance, corrective,
investigative, or remedial measures.

The terms "removal," "remedial," and "response action" include the types of
activities covered by the United States Comprehensive Environmental Response,
Compensation, and Liability Act, 42 U.S.C. ss. 9601 et seq., as amended.

           "Environmental Law" -- any Legal Requirement that requires or relates
            -----------------
to:

                                       3
<PAGE>

           (a) advising appropriate authorities, employees, and the public of
intended or actual releases of pollutants or hazardous substances or materials,
violations of discharge limits, or other prohibitions and of the commencements
of activities, such as resource extraction or construction, that could have
significant impact on the Environment;

           (b) preventing or reducing to acceptable levels the release of
pollutants or hazardous substances or materials into the Environment;

           (c) reducing the quantities, preventing the release, or minimizing
the hazardous characteristics of wastes that are generated;

           (d) assuring that products are designed, formulated, packaged, and
used so that they do not present unreasonable risks to human health or the
Environment when used or disposed of;

           (e) protecting resources, species, or ecological amenities;

           (f) reducing to acceptable levels the risks inherent in the
transportation of hazardous substances, pollutants, oil, or other potentially
harmful substances;

           (g) cleaning up pollutants that have been released, preventing the
Threat of Release, or paying the costs of such clean up or prevention; or

           (h) making responsible parties pay private parties, or groups of
them, for damages done to their health or the Environment, or permitting
self-appointed representatives of the public interest to recover for injuries
done to public assets.

           "ERISA" -- the Employee Retirement Income Security Act of 1974 or any
            -----
successor law, and regulations and rules issued pursuant to that act or any
successor law.

           "Exchangeable Shares" -- shares of a direct or indirect subsidiary of
            -------------------
Buyer to be issued as set forth in the second paragraph of Part 4.3(a) of the
Buyer Disclosure Letter.

           "Facilities" -- any real property, leaseholds, or other interests
            ----------
currently or formerly owned or operated by any Acquired Company and any
buildings, plants or structures currently or formerly owned or operated by any
Acquired Company.

           "GAAP" -- generally accepted United States accounting principles,
            ----
applied on a basis consistent with the basis on which the Balance Sheets and the
other financial statements referred to in Section 3.4 were prepared.

           "Governmental Authorization" -- any approval, consent, license,
            --------------------------
permit, waiver, or other authorization issued, granted, given, or otherwise made
available by or under the authority of any Governmental Body or pursuant to any
Legal Requirement.

                                       4
<PAGE>

           "Governmental Body" -- any:
            -----------------

           (a) nation, state, county, city, town, village, district, or other
jurisdiction of any nature;

           (b) federal, state, local, municipal, foreign, or other government;

           (c)  governmental  or  quasi-governmental  authority  of  any  nature
(including any governmental agency, branch, department,  official, or entity and
any court or other tribunal);

           (d) multi-national organization or body; or

           (e) body exercising, or entitled to exercise, any administrative,
executive, judicial, legislative, police, regulatory, or taxing authority or
power of any nature.

           "Hazardous Activity" -- the distribution, generation, handling,
            ------------------
importing, management, manufacturing, processing, production, refinement,
Release, storage, transfer, transportation, treatment, or use (including any
withdrawal or other use of groundwater) of Hazardous Materials in, on, under,
about, or from the Facilities or any part thereof into the Environment.

           "Hazardous Materials" -- any waste or other substance that is listed,
            -------------------
defined, designated, or classified as, or otherwise determined to be, hazardous,
radioactive, or toxic or a pollutant or a contaminant under or pursuant to any
Environmental Law, including any admixture or solution thereof, and specifically
including petroleum and all derivatives thereof or synthetic substitutes
therefor and asbestos or asbestos-containing materials.

           "HSR Act" -- the Hart-Scott-Rodino Antitrust Improvements Act of 1976
            -------
or any successor law, and regulations and rules issued pursuant to that act or
any successor law.

           "Indemnified Persons" -- as defined in Section 11.2.
            -------------------

           "Intellectual Property Assets" -- as defined in Section 3.22.
            ----------------------------

           "Interim Balance Sheets" -- as defined in Section 3.4(b).
            ----------------------

           "IRC" -- the Internal Revenue Code of 1986 or any successor law, and
            ---
regulations issued by the IRS pursuant to the Internal Revenue Code or any
successor law.

           "IRS" -- the United States Internal Revenue Service or any successor
            ---
agency, and, to the extent relevant, the United States Department of the
Treasury.

           "Knowledge" -- an individual will be deemed to have "Knowledge" of a
            ---------
particular fact or other matter if such individual is actually aware of such
fact or other matter. A Person (other than an individual) will be deemed to have
"Knowledge" of a particular fact or other matter if any individual who is
serving as a director, executive officer, general partner, executor, or trustee
of such Person (or in any similar capacity) has, or at any time had, Knowledge
of such fact or other matter.

                                       5
<PAGE>

           "Legal Requirement" -- any federal, state, local, municipal, foreign,
            -----------------
international, multinational, or other administrative order, constitution, law,
ordinance, regulation, statute, or treaty.

           "Occupational Safety and Health Law" -- any Legal Requirement
            ----------------------------------
designed to provide safe and healthful working conditions and to reduce
occupational safety and health hazards.

           "Ohio Commission" -- the Ohio State Racing Commission.
            ---------------

           "Oklahoma Commission" -- the Oklahoma Horse Racing Commission.
            -------------------

           "OR" -- as defined in the first paragraph of this Agreement.
            --

           "Order" -- any award, decision, injunction, judgment, order, ruling,
            -----
subpoena, or verdict entered, issued, made, or rendered by any court,
administrative agency, or other Governmental Body or by any arbitrator.

           "Ordinary Course of Business" -- an action taken by a Person will be
            ---------------------------
deemed to have been taken in the "Ordinary Course of Business" only if:

           (a) such action is consistent with the past practices of such Person
and is taken in the ordinary course of the normal day-to-day operations of such
Person; and

           (b) such action is not required to be authorized by the board of
directors of such Person (or by any Person or group of Persons exercising
similar authority) and is not required to be specifically authorized by the
parent company (if any) of such Person.

           "Organizational Documents" -- (a) the articles or certificate of
            ------------------------
incorporation and the bylaws or code of regulation of a corporation; (b) the
partnership agreement and any statement of partnership of a general partnership;
(c) the limited partnership agreement and the certificate of limited partnership
of a limited partnership; (d) the articles of organization and any operating
agreement of a limited liability company; (e) any charter or similar document
adopted or filed in connection with the creation, formation, or organization of
a Person; and (f) any amendment to any of the foregoing.

           "Person" -- any individual, corporation (including any non-profit
            ------
corporation), general or limited partnership, limited liability company, joint
venture, estate, trust, association, organization, labor union, or other entity
or Governmental Body.

           "Plan" -- as defined in Section 3.13.
            ----

           "Pro Forma Balance Sheet" -- as defined in Section 4.4(b).
            -----------------------

           "Proceeding" -- any action, arbitration, audit, hearing,
            ----------
investigation, litigation, or suit (whether civil, criminal, administrative,
investigative, or informal) commenced, brought, conducted, or heard by or before
any Governmental Body or arbitrator.

                                       6
<PAGE>

           "Proposed Acquisition" -- means the purchase by Buyer of all of the
            --------------------
outstanding shares of certain thoroughbred horse racing and pari-mutuel wagering
subsidiaries of Hilton Group plc, as set forth in the first paragraph of Part
4.3(a) of the Buyer Disclosure Letter.

           "Purchase Price" -- as defined in Section 2.2.
            --------------

           "Racetrack Employees" -- all persons who, on or prior to the date
            -------------------
hereof, are (i) employees of an Acquired Company or (ii) employees of EJDC whose
principal place of employment is at either Thistledown Racetrack or Remington
Park Racetrack.

           "Real Property" -- the real property (i) owned by Thistledown on
            -------------
which Thistledown Racetrack is located and (ii) leased by Remington on which
Remington Park Racetrack is located.

           "Related Person" -- with respect to a particular individual:
            --------------

           (a)  each other member of such individual's Family;

           (b) any Person that is directly or indirectly controlled by such
individual or one or more members of such individual's Family;

           (c) any Person in which such individual or members of such
individual's Family hold (individually or in the aggregate) a Material Interest;
and

           (d) any Person with respect to which such individual or one or more
members of such individual's Family serves as a director, officer, partner,
executor, or trustee (or in a similar capacity).

           With respect to a specified Person other than an individual:

           (a) any Person that directly or indirectly controls, is directly or
indirectly controlled by, or is directly or indirectly under common control with
such specified Person;

           (b) any Person that holds a Material Interest in such specified
Person;

           (c) each Person that serves as a director, officer, partner,
executor, or trustee of such specified Person (or in a similar capacity);

           (d) any Person in which such specified Person holds a Material
Interest; and

           (e) any Person with respect to which such specified Person serves as
a general partner or a trustee (or in a similar capacity).

           For purposes of this definition, (a) the "Family" of an individual
includes (i) the individual, (ii) the individual's spouse and (iii) any child of
an individual or the individual's spouse residing with the individual, and (b)
"Material Interest" means direct or indirect beneficial ownership (as defined in
Rule 13d-3 under the Securities Exchange Act of 1934) of voting
securities or other voting

                                       7
<PAGE>

interests representing at least 50% of the outstanding voting power of a Person
or equity securities or other equity interests representing at least 50% of the
outstanding equity securities or equity interests in a Person.

           "Release" -- any spilling, leaking, emitting, discharging,
            -------
depositing, escaping, leaching, dumping, or other releasing into the
Environment, whether intentional or unintentional.

           "Remington" -- as defined in the Recitals of this Agreement.
            ---------

           "Remington Lease" - the lease agreement dated June 13, 1986, amended
            ---------------
January 7, 1987, between the Trustees and Oklahoma Racing Associates which was
subsequently assigned by Oklahoma Racing Associates to Remington.

           "Remington Shares" -- as defined in the Recitals of this Agreement.
            ----------------

           "Representative" -- with respect to a particular Person, any
            --------------
director, officer, employee, agent, consultant or advisor of such Person,
including legal counsel, accountants, and financial advisors.

           "Securities Act" -- the Securities Act of 1933 or any successor law,
            --------------
and regulations and rules issued pursuant to that act or any successor law.

           "Sellers" -- as defined in the first paragraph of this Agreement.
            -------

           "Shares" -- as defined in the Recitals of this Agreement.
            ------

           "Subsidiary" -- with respect to any Person (the "Owner"), any
            ----------
corporation or other Person of which securities or other interests having the
power to elect a majority of that corporation's or other Person's board of
directors or similar governing body, or otherwise having the power to direct the
business and policies of that corporation or other Person (other than securities
or other interests having such power only upon the happening of a contingency
that has not occurred), are held by the Owner or one or more of its
Subsidiaries.

           "Tax" -- any tax (including any income tax, capital gains tax,
            ---
value-added tax, sales tax, property tax, gift tax, or estate tax), levy,
assessment, deficiency, or other fee, and any related charge or amount
(including any fine, penalty, interest, or addition to tax), imposed, assessed,
or collected by or under the authority of any Governmental Body or payable
pursuant to any tax-sharing agreement or any other Contract relating to the
sharing or payment of any such tax, levy, assessment, deficiency, or fee.

           "Tax Return" -- any return (including any information return),
            ----------
report, statement, schedule, notice, form, or other document or information
filed with or submitted to, or required to be filed with or submitted to, any
Governmental Body in connection with the determination, assessment, collection,
or payment of any Tax or in connection with the administration, implementation,
or enforcement of or compliance with any Legal Requirement relating to any Tax.

           "Thistledown" -- as defined in the Recitals of this Agreement.
            -----------

                                       8
<PAGE>

           "Thistledown Interim Balance Sheet" -- as defined in Section 3.4(a).
            ---------------------------------

           "Thistledown Shares" -- as defined in the Recitals of this Agreement.
            ------------------

           "Threat of Release" -- a substantial likelihood of a Release that may
            -----------------
require action in order to prevent or mitigate damage to the Environment that
may result from such Release.

           "Threatened" -- a claim, Proceeding, dispute, action, or other matter
            ----------
will be deemed to have been "Threatened" if any demand or statement has been
made (orally or in writing) or any notice has been given (orally or in writing),
or if any other event has occurred or any other circumstances exist, that would
lead a prudent Person to conclude that such a claim, Proceeding, dispute,
action, or other matter is likely to be asserted, commenced, taken, or otherwise
pursued in the future.

           "Trade Secrets" -- as defined in Section 3.22(a).
            -------------

           "Trustees" - The Trustees of the Oklahoma City Zoological Trust.
            --------

2.    SALE AND TRANSFER OF SHARES; CLOSING

      2.1    SHARES

           Subject to the terms and conditions of this Agreement, at the
Closing, Sellers will sell and transfer the Shares to Buyer, and Buyer will
purchase the Shares from Sellers.

      2.2   PURCHASE PRICE

           The purchase price for the Thistledown Shares will be $9,500,000 in
cash plus the Buyer Shares (collectively, the "Thistledown Purchase Price"). The
purchase price for the Remington Shares will be $10,000,000 in cash (the
"Remington Purchase Price," and collectively with the Thistledown Purchase
Price, the "Purchase Price").

      2.3   CLOSING

           The purchase and sale (the "Closing") provided for in this Agreement
will take place at the offices of Sellers' counsel at 2300 BP Tower, 200 Public
Square, Cleveland, Ohio, at 10:00 a.m. (local time) on the later of (i) October
29, 1999 or (ii) the date that is two business days following the receipt of all
Governmental Authorizations required in order for the Buyer and the Sellers to
consummate the Contemplated Transactions, or at such other time and place as the
parties may agree. Subject to the provisions of Section 10, failure to
consummate the purchase and sale provided for in this Agreement on the date and
time and at the place determined pursuant to this Section 2.3 will not result in
the termination of this Agreement and will not relieve any party of any
obligation under this Agreement.

                                       9
<PAGE>

      2.4   CLOSING OBLIGATIONS

           At the Closing:

     (a)   Sellers will deliver to Buyer:

           (i) certificates representing the Shares, endorsed to Buyer or
endorsed in blank for transfer to Buyer; and

           (ii) a certificate executed by each Seller to the effect that each of
such Seller's representations and warranties in this Agreement was accurate in
all material respects as of the date of this Agreement and is accurate in all
material respects as of the Closing Date as if made on the Closing Date (giving
full effect to any supplements to the Disclosure Letter that were delivered by
Sellers to Buyer prior to the Closing Date in accordance with Section 5.5); and

     (b)   Buyer will deliver to EJDC:

           (i) $9,5000,000 in immediately available funds by wire transfer to
the account specified by EJDC;

           (ii) certificates representing the Buyer Shares; and

           (iii) a certificate executed by Buyer to the effect that each of
Buyer's representations and warranties in this Agreement was accurate in all
respects as of the date of this Agreement and is accurate in all respects as of
the Closing Date as if made on the Closing Date; and

     (c)   Buyer will deliver to OR:

           (i) $10,000,000 in immediately available funds by wire transfer to
the account specified by OR; and

           (ii) a certificate executed by Buyer to the effect that each of
Buyer's representations and warranties in this Agreement was accurate in all
respects as of the date of this Agreement and is accurate in all respects as of
the Closing Date as if made on the Closing Date.

      3.    REPRESENTATIONS AND WARRANTIES OF SELLERS

           EJDC represents and warrants as to itself and jointly and severally
as to Remington and severally as to Thistledown, and OR represents and warrants
as to itself and, for the period from December 1, 1998 to the Closing Date, as
to Remington, to Buyer as follows:

      3.1   ORGANIZATION AND GOOD STANDING

           (a) Each Acquired Company is a corporation duly organized, validly
existing, and in good standing under the laws of its jurisdiction of
incorporation, with full

                                       10
<PAGE>

corporate power and authority to conduct its business as it is now being
conducted, to own or use the properties and assets that it purports to own or
use, and to perform all its obligations under Applicable Contracts. Neither
Acquired Company is required to be qualified to do business as a foreign
corporation under the laws of any other state or other jurisdiction. Neither
Acquired Company has any Subsidiary.

           (b) Sellers have delivered to Buyer copies of the Organizational
Documents of each Acquired Company, as currently in effect.

      3.2   AUTHORITY; NO CONFLICT

           (a) This Agreement constitutes the legal, valid, and binding
obligation of Sellers, enforceable against Sellers in accordance with its terms.
Sellers have the absolute and unrestricted right, power, authority, and capacity
to execute and deliver this Agreement and to perform their obligations under
this Agreement.

           (b) Except as set forth in Part 3.2 of the Disclosure Letter, neither
the execution and delivery of this Agreement nor the consummation or performance
of any of the Contemplated Transactions will, directly or indirectly (with or
without notice or lapse of time):

           (i) contravene, conflict with, or result in a violation of (A) any
provision of the Organizational Documents of Sellers or the Acquired Companies,
or (B) any resolution adopted by the board of directors or the stockholders of
Sellers or any Acquired Company;

           (ii) contravene, conflict with, or result in a violation of, or give
any Governmental Body or other Person the right to challenge any of the
Contemplated Transactions or to exercise any remedy or obtain any relief under,
any Legal Requirement or any Order to which any Acquired Company or either
Seller, or any of the assets owned or used by any Acquired Company, may be
subject;

           (iii) contravene, conflict with, or result in a violation of any of
the terms or requirements of, or give any Governmental Body the right to revoke,
withdraw, suspend, cancel, terminate, or modify, any Governmental Authorization
that is held by Sellers or any Acquired Company or that otherwise relates to the
business of, or any of the assets owned or used by, any Acquired Company;

           (iv) to Sellers' Knowledge, cause any Acquired Company to become
subject to, or to become liable for the payment of, any Tax in the States of
Ohio or Oklahoma;

           (v) to Sellers' Knowledge, cause any of the assets owned by any
Acquired Company to be reassessed or revalued by any taxing authority or other
Governmental Body in the States of Ohio or Oklahoma;

           (vi) contravene, conflict with, or result in a violation or breach of
any provision of, or give any Person the right to declare a default or exercise
any remedy

                                       11
<PAGE>

under, or to accelerate the maturity or performance of, or to cancel, terminate,
or modify, any Applicable Contract; or

           (vii) result in the imposition or creation of any Encumbrance upon or
with respect to any of the assets owned or used by any Acquired Company.

Except as set forth in Part 3.2 of the Disclosure Letter, no Seller or Acquired
Company is or will be required to give any notice to or obtain any Consent from
any Person in connection with the execution and delivery of this Agreement or
the consummation or performance of any of the Contemplated Transactions.

      3.3   CAPITALIZATION

           (a) The authorized equity securities of Thistledown consist of 500
shares of common stock, without par value, of which 250 shares are issued and
outstanding and constitute the Thistledown Shares. EJDC is and will be on the
Closing Date the record and beneficial owner and holder of the Thistledown
Shares, free and clear of all Encumbrances.

           (b) The authorized equity securities of Remington consist of 500
shares of common stock, par value $1.00 per share, of which 500 shares are
issued and outstanding and constitute the Remington Shares. OR is and will be on
the Closing Date the record and beneficial owner and holder of the Remington
Shares, free and clear of all Encumbrances, other than as set forth in Part
3.3(b) of the Disclosure Letter.

           (c) All of the outstanding equity securities of each Acquired Company
have been duly authorized and validly issued and are fully paid and
nonassessable. Except as set forth in Part 3.3(c) of the Disclosure Letter,
there are no Contracts relating to the issuance, sale, or transfer of any equity
securities or other securities of any Acquired Company. None of the outstanding
equity securities or other securities of any Acquired Company was issued in
violation of the Securities Act or any other Legal Requirement. Except as set
forth in Part 3.3(c) of the Disclosure Letter, no Acquired Company owns, or has
any Contract to acquire, any equity securities or other securities of any Person
or any direct or indirect equity or ownership interest in any other business.

      3.4   FINANCIAL STATEMENTS

           (a) EJDC has delivered to Buyer: (i) consolidated balance sheets of
Thistledown as at December 31 in each of the years 1994 through 1997, and the
related consolidated statements of income and changes in stockholders' equity
for each of the fiscal years then ended, (ii) a consolidated balance sheet of
Thistledown as at December 31, 1998 (the "Thistledown Balance Sheet"), and the
related consolidated statements of income, changes in stockholders' equity, and
cash flow for the fiscal year then ended, and (iii) an unaudited balance sheet
of Thistledown as at July 31, 1999 (the "Thistledown Interim Balance Sheet") and
the related unaudited consolidated statements of income, changes in
stockholders' equity, and cash flow for the seven months then ended.

           (b) OR has delivered to Buyer: (i) balance sheets of Remington as at
December 31 in each of the years 1994 through 1997, and the related statements
of income,

                                       12
<PAGE>

changes in stockholders' equity, and cash flow for each of the fiscal years then
ended, together with the report thereon of Hill, Barth & King, independent
certified public accountants, (ii) a balance sheet of Remington as at December
31, 1998 (including the notes thereto, the "Remington Balance Sheet" and,
collectively with the Thistledown Balance Sheet, the "Balance Sheets"), and the
related statements of income, changes in stockholders' equity, and cash flow for
the fiscal year then ended, together with the report thereon of Hill, Barth &
King, independent certified public accountants, and (iii) an unaudited balance
sheet of Remington and its Subsidiaries as at July 31, 1999 (collectively with
the Thistledown Interim Balance Sheet, the "Interim Balance Sheets") and the
related unaudited statements of income, changes in stockholders' equity, and
cash flow for the seven months then ended, including in each case the notes
thereto.

           (c) Except as set forth in Part 3.4(c) of the Disclosure Letter, such
financial statements and notes fairly present the financial condition and the
results of operations, changes in stockholders' equity, and cash flow of the
Acquired Companies as at the respective dates of and for the periods referred to
in such financial statements, all in accordance with GAAP, subject, in the case
of interim financial statements, to normal recurring year-end adjustments (the
effect of which will not, individually or in the aggregate, be materially
adverse) and the absence of notes (that, if presented, would not differ
materially from those included in the applicable Balance Sheet); the financial
statements referred to in this Section 3.4 reflect the consistent application of
such accounting principles throughout the periods involved, except as disclosed
in the notes to such financial statements or in Part 3.4(c) of the Disclosure
Letter. No financial statements of any Person are required by GAAP to be
included in the consolidated financial statements of either Thistledown or
Remington, other than those included.

      3.5   BOOKS AND RECORDS

           The books of account, minute books, stock record books, and other
records of the Acquired Companies, all of which have been made available to
Buyer, are complete and correct and have been maintained in accordance with
sound business practices, including the maintenance of an adequate system of
internal controls. The minute books of the Acquired Companies contain accurate
and complete records of all meetings held of, and corporate action taken by, the
stockholders, the Boards of Directors, and committees of the Boards of Directors
of the Acquired Companies, and no meeting of any such stockholders, Board of
Directors, or committee has been held for which minutes have not been prepared
and are not contained in such minute books. At the Closing, all of those books
and records will be in the possession of the Acquired Companies.

      3.6   TITLE TO PROPERTIES; ENCUMBRANCES

           (a) Part 3.6(a) of the Disclosure Letter contains a complete and
accurate list of all real property, leaseholds, or other interests therein owned
by any Acquired Company. Sellers have delivered or made available to Buyer
copies of the deeds and other instruments (as recorded) by which the Acquired
Companies acquired such real property and interests, and copies of all title
insurance policies, opinions, abstracts, and surveys in the possession of
Sellers or the Acquired Companies and relating to such property or interests.
The Acquired Companies own (with good and marketable title in the case of real
property, subject

                                       13
<PAGE>

only to the matters permitted by the following sentence) all the properties and
assets (whether real, personal, or mixed and whether tangible or intangible)
that they purport to own located in the facilities owned or operated by the
Acquired Companies or reflected as owned in the books and records of the
Acquired Companies, including all of the properties and assets reflected in the
Balance Sheets and the Interim Balance Sheets (except for assets held under
capitalized leases disclosed or not required to be disclosed in Part 3.6(a) of
the Disclosure Letter and personal property sold since the date of the Balance
Sheets and the Interim Balance Sheets, as the case may be, in the Ordinary
Course of Business), and all of the properties and assets purchased or otherwise
acquired by the Acquired Companies since the date of the Balance Sheets (except
for personal property acquired and sold since the date of the Balance Sheets in
the Ordinary Course of Business and consistent with past practice).

           (b) All material properties and assets reflected in the Balance
Sheets and the Interim Balance Sheets are free and clear of all Encumbrances and
are not, in the case of real property, subject to any rights of way, building
use restrictions, exceptions, variances, reservations, or limitations of any
nature except, with respect to all such properties and assets: (a) mortgages or
security interests shown on the Balance Sheets or the Interim Balance Sheets as
securing specified liabilities or obligations, with respect to which no default
(or event that, with notice or lapse of time or both, would constitute a
default) exists, (b) mortgages or security interests incurred in connection with
the purchase of property or assets after the date of the Interim Balance Sheets
(such mortgages and security interests being limited to the property or assets
so acquired), with respect to which no default (or event that, with notice or
lapse of time or both, would constitute a default) exists, (c) liens for current
taxes not yet due, (d) leases described in Part 3.6(b) of the Disclosure Letter,
and (e) with respect to real property (i) minor imperfections of title, if any,
none of which is substantial in amount, materially detracts from the value or
impairs the use of the property subject thereto, or impairs the operations of
any Acquired Company, (ii) rights of way, restrictions, variances, reservations
or limitations described in the surveys and title insurance policies delivered
to Buyer by Sellers, and (iii) zoning laws and other land use restrictions that
do not impair the present use of the property subject thereto. Except as set
forth in Part 3.6(b) of the Disclosure Letter, all buildings, plants, and
structures owned or leased by the Acquired Companies lie wholly within the
boundaries of the real property owned by the Acquired Companies and do not
encroach upon the property of, or otherwise conflict with the property rights
of, any other Person.

      3.7   CONDITION AND SUFFICIENCY OF ASSETS

           The buildings, plants, structures, and equipment of the Acquired
Companies are, to Sellers' Knowledge, structurally sound, are in adequate
operating condition and repair, and are adequate for the uses to which they are
being put, and, to Sellers' Knowledge, none of such buildings, plants,
structures, or equipment is in need of maintenance or repairs except for
ordinary, routine maintenance and repairs that are not material in nature or
cost. The building, plants, structures, and equipment of the Acquired Companies
are sufficient for the continued conduct of the Acquired Companies' businesses
after the Closing in substantially the same manner as conducted prior to the
Closing.

                                       14
<PAGE>

      3.8   ACCOUNTS RECEIVABLE

           All accounts receivable of the Acquired Companies that are reflected
on the Balance Sheets or the Interim Balance Sheets or on the accounting records
of the Acquired Companies as of the Closing Date (collectively, the "Accounts
Receivable") represent or will represent valid obligations arising from sales
actually made or services actually performed in the Ordinary Course of Business.
Unless paid prior to the Closing Date, the Accounts Receivable are or will be as
of the Closing Date current and collectible net of the respective reserves shown
on the Balance Sheets or the Interim Balance Sheets or on the accounting records
of the Acquired Companies as of the Closing Date (which reserves are adequate
and calculated consistent with past practice and, in the case of the reserve as
of the Closing Date, will not represent a greater percentage of the Accounts
Receivable as of the Closing Date than the reserve reflected in the Interim
Balance Sheets represented of the Accounts Receivable reflected therein and will
not represent a material adverse change in the composition of such Accounts
Receivable in terms of aging). Part 3.8 of the Disclosure Letter contains a
complete and accurate list of all Accounts Receivable as of the date of the
Interim Balance Sheets, which list sets forth the aging of such Accounts
Receivable.

      3.9   INVENTORY

           All inventory of the Acquired Companies, whether or not reflected in
the Balance Sheets or the Interim Balance Sheets, consists of a quality and
quantity usable and salable in the Ordinary Course of Business, except for
obsolete items and items of below-standard quality, all of which have been
written off or written down to net realizable value in the Balance Sheets or the
Interim Balance Sheets or on the accounting records of the Acquired Companies as
of the Closing Date, as the case may be. All inventories not written off have
been priced at the lower of cost or market on a first in, first out basis.

      3.10  NO UNDISCLOSED LIABILITIES

           Except as set forth in Part 3.10 of the Disclosure Letter, the
Acquired Companies have no liabilities or obligations of any nature (whether
known or unknown and whether absolute, accrued, contingent, or otherwise) except
for liabilities or obligations reflected or reserved against in the Balance
Sheets or the Interim Balance Sheets and liabilities incurred in the Ordinary
Course of Business since the respective dates thereof.

      3.11  TAXES

          (a) Except as set forth in Part 3.11 of the Disclosure Letter, the
     Acquired Companies have filed or caused to be filed (since January 1, 1994)
     all material Tax Returns that are or were required to be filed by or with
     respect to any of them, either separately or as a member of a group of
     corporations, pursuant to applicable Legal Requirements. Part 3.11 of the
     Disclosure Letter contains a complete and accurate list of all such Tax
     Returns relating to income or franchise taxes filed since January 1, 1994,
     and Sellers have delivered to Buyer (i) all Tax Returns relating to income
     and franchise Taxes filed by the Acquired Companies on a stand-alone basis
     since January 1, 1994 and (ii) all pro forma Tax Returns of the Acquired
     Companies relating to income and

                                       15
<PAGE>

     franchise Taxes filed since January 1, 1994 as part of a consolidated,
     combined or unitary Tax Return with Sellers. The Acquired Companies have
     paid, or made provision for the payment of, all Taxes that have or may have
     become due pursuant to those Tax Returns, or pursuant to any assessment
     received by Sellers or any Acquired Company, except such Taxes, if any, as
     are listed in Part 3.11 of the Disclosure Letter and are being contested in
     good faith and as to which adequate reserves (determined in accordance with
     GAAP) have been provided in the Balance Sheets and the Interim Balance
     Sheets.

          (b) The United States federal and state income Tax Returns of each
     Acquired Company subject to such Taxes have been audited by the IRS or
     relevant state tax authorities or are closed by the applicable statute of
     limitations for all taxable years through 1994. Part 3.11 of the Disclosure
     Letter contains a complete and accurate list of all audits relating to the
     Acquired Companies with respect to all income and franchise Tax Returns
     filed since January 1, 1994, including a reasonably detailed description of
     the nature and outcome of each audit. All deficiencies proposed as a result
     of such audits have been paid, reserved against, settled, or, as described
     in Part 3.11 of the Disclosure Letter, are being contested in good faith by
     appropriate proceedings. Except as described in Part 3.11 of the Disclosure
     Letter, no Seller or Acquired Company has given or been requested to give
     waivers or extensions (or is or would be subject to a waiver or extension
     given by any other Person) of any statute of limitations relating to the
     payment of Taxes of any Acquired Company or for which any Acquired Company
     may be liable.

          (c) The charges, accruals, and reserves with respect to Taxes on the
     Interim Balance Sheets were adequate (determined in accordance with GAAP)
     as of the date of such Interim Balance Sheets, and the Acquired Companies'
     liability for Taxes for Tax periods ending on or before the Closing Date
     will not exceed by a material amount such charges, accruals and reserves,
     as adjusted for operations and transactions in the Ordinary Course of
     Business through the Closing Date. To the Knowledge of Sellers, there
     exists no proposed tax assessment against any Acquired Company, except as
     disclosed in the Balance Sheets or in Part 3.11 of the Disclosure Letter.
     No consent to the application of Section 341(f)(2) of the IRC has been
     filed with respect to any property or assets held, acquired, or to be
     acquired by any Acquired Company. All material Taxes that any Acquired
     Company is or was required by Legal Requirements to withhold or collect
     have been duly withheld or collected and, to the extent required, have been
     paid to the proper Governmental Body or other Person.

          (d) As of the date hereof, there is no tax sharing agreement that will
     require any payment by any Acquired Company after the date of this
     Agreement. No Acquired Company is, or within the five-year period preceding
     the Closing Date has been, an "S" corporation.

      3.12  NO MATERIAL ADVERSE CHANGE

           Since the date of the Balance Sheets, there has not been any material
adverse change in the business, operations, properties, prospects, assets, or
condition of any Acquired Company, and no event has occurred or circumstance
exists that may result in such a material adverse change.

                                       16
<PAGE>

      3.13  EMPLOYEE BENEFITS

          (a) As used in this Section 3.13, the following terms have the
     meanings set forth below.

           "Company Other Benefit Obligation" means an Other Benefit Obligation
            --------------------------------
owed, adopted, or followed by an Acquired Company or an ERISA Affiliate of an
Acquired Company with respect to Racetrack Employees.

           "Company Plan" means all Plans of which an Acquired Company is or was
            ------------
a Plan Sponsor, or to which an Acquired Company otherwise contributes or has
contributed, or in which an Acquired Company otherwise participates or has
participated or any other Plan in which Racetrack Employees participate or which
otherwise provides benefits to Racetrack Employees. All references to Plans are
to Company Plans unless the context requires otherwise.

           "Company VEBA" means a VEBA whose members include Racetrack
            ------------
Employees.

           "ERISA Affiliate" means, with respect to an Acquired Company, any
            ---------------
other person that, together with such company, would be treated as a single
employer under IRC ss. 414.

           "Multi-Employer Plan" means a Company Plan that is a "multi-employer
            -------------------
plan" as defined in ERISA ss. 3(37)(A).

           "Other Benefit Obligations" means all obligations, arrangements, or
            -------------------------
customary practices, whether or not legally enforceable, to provide benefits,
other than salary, as compensation for services rendered, to present or former
directors, employees, or agents, other than obligations, arrangements, and
practices that are Plans. Other Benefit Obligations include consulting
agreements under which the compensation paid does not depend upon the amount of
service rendered, sabbatical policies, severance payment policies, and fringe
benefits within the meaning of IRC ss. 132.

           "PBGC" means the Pension Benefit Guaranty Corporation, or any
            ----
successor thereto.

           "Pension Plan" means a Company Plan that is a "pension plan" as
            ------------
defined in ERISA ss. 3(2)(A).

           "Plan" has the meaning given in ERISA ss. 3(3).
            ----

           "Plan Sponsor" has the meaning given in ERISA ss. 3(16)(B).
            ------------

           "Qualified Plan" means any Plan that meets or purports to meet the
            --------------
requirements of IRC ss. 401(a).

           "Title IV Plans" means all Pension Plans that are subject to Title IV
            --------------
of ERISA, 29 U.S.C.ss.1301 et seq., other than Multi-Employer Plans.

                                       17
<PAGE>

                "VEBA"  means a  voluntary  employees'  beneficiary  association
                 ----
under IRC ss. 501(c)(9).

           (b) (i) Part 3.13(b)(i) of the Disclosure Letter contains a complete
and accurate list of all Company Plans, Company Other Benefit Obligations, and
Company VEBAs, and identifies as such all Company Plans that are (A) defined
benefit Pension Plans, (B) Qualified Plans, (C) Title IV Plans, or (D)
Multi-Employer Plans.

           (ii) Part 3.13(b)(ii) of the Disclosure Letter contains a complete
and accurate list of (A) all ERISA Affiliates of each Acquired Company, and (B)
all Plans (whether or not a Company Plan) of which any such ERISA Affiliate is
or was a Plan Sponsor, in which any such ERISA Affiliate participates or has
participated, or to which any such ERISA Affiliate contributes or has
contributed.

           (iii) Part 3.13(b)(iii) of the Disclosure Letter sets forth, for each
Multi-Employer Plan, as of its last valuation date, and, if available, the
amount of potential withdrawal liability of the Acquired Companies and the
Acquired Companies' other ERISA Affiliates, calculated according to information
made available pursuant to ERISA ss. 4221(e).

           (iv) Part 3.13(b)(iv) of the Disclosure Letter sets forth a
calculation of the liability of the Acquired Companies for post-retirement
benefits other than pensions, made in accordance with Financial Accounting
Statement 106 of the Financial Accounting Standards Board, regardless of whether
any Acquired Company is required by this Statement to disclose such information.

           (c) Except as set forth in Part 3.13(c) of the Disclosure Letter,
Sellers have delivered to Buyer, or will deliver to Buyer as promptly as
practicable after the date of this Agreement:

           (i) all documents that set forth the terms of each Company Plan,
Company Other Benefit Obligation, or Company VEBA and of any related trust,
including (A) all plan descriptions and summary plan descriptions of Company
Plans for which Sellers or the Acquired Companies are required to prepare, file,
and distribute plan descriptions and summary plan descriptions, and (B) all
summaries and descriptions furnished to participants and beneficiaries regarding
Company Plans, Company Other Benefit Obligations, and Company VEBAs for which a
plan description or summary plan description is not required;

           (ii) all personnel, payroll, and employment manuals and policies;

           (iii) all collective bargaining agreements pursuant to which
contributions have been made or obligations incurred (including both pension and
welfare benefits) by the Acquired Companies, or by the ERISA Affiliates of the
Acquired Companies with respect to Racetrack Employees;

           (iv) a written description of any Company Plan or Company Other
Benefit Obligation that is not otherwise in writing;

                                       18
<PAGE>

           (v) all registration statements filed with respect to any Company
Plan;

           (vi) all insurance policies purchased by or to provide benefits under
any Company Plan;

           (vii) all contracts with third party administrators, actuaries,
investment managers, consultants, and other independent contractors that relate
to any Company Plan, Company Other Benefit Obligation, or Company VEBA;

           (viii) all reports submitted within the two years preceding the date
of this Agreement by third party administrators, actuaries, investment managers,
consultants, or other independent contractors with respect to any Company Plan
approved by an Acquired Company, and such reports reasonably requested by Buyer
with respect to any other Company Plan, Company Other Benefit Obligation, or
Company VEBA;

           (ix) samples of all notifications to employees of their rights under
ERISAss.601 et seq. and IRCss.4980B;

           (x) if required to be filed, the Form 5500 filed in each of the most
recent three plan years with respect to each Company Plan, including all
schedules thereto and the opinions of independent accountants;

           (xi) all notices that were given by any Acquired Company or any ERISA
Affiliate of an Acquired Company with respect to any Company Plan, or by any
Company Plan, to the IRS or the PBGC, or any participant or beneficiary,
pursuant to statute, within (A) four years preceding the date of this Agreement
if given with respect to a Company Plan sponsored by an Acquired Company and (B)
two years preceding the date of this Agreement if given with respect to any
other Company Plan, in each case including notices that are expressly mentioned
elsewhere in this Section 3.13;

           (xii) all notices that were given by the IRS, the PBGC, or the
Department of Labor to any Acquired Company, any ERISA Affiliate of an Acquired
Company with respect to any Company Plan, or with respect to any other Plan if
such notice could result in liability to any Acquired Company, or to any Company
Plan within the four years preceding the date of this Agreement;

           (xiii) the most recent determination letter for each Company Plan
that is a Qualified Plan; and

           (xiv) with respect to Title IV Plans, the Form PBGC-1 filed for each
of the three most recent plan years.

           (d) Except as set forth in Part 3.13(d) of the Disclosure Letter:

           (i) The Acquired Companies have performed all of their respective
obligations under all Company Plans, Company Other Benefit Obligations, and
Company VEBAs. The Acquired Companies have made appropriate entries in their
financial

                                       19
<PAGE>

     records and statements for all obligations and liabilities under such
     Plans, VEBAs, and Obligations that have accrued but are not due.

           (ii) No statement, either written or oral, has been made by any
Acquired Company to any Person with regard to any Plan or Other Benefit
Obligation that was not in accordance with the Plan or Other Benefit Obligation
and that could have an adverse economic consequence to any Acquired Company or
to Buyer.

           (iii) The Acquired Companies, with respect to all Company Plans,
Company Other Benefits Obligations, and Company VEBAs, are, and each Company
Plan, Company Other Benefit Obligation, and Company VEBA is, in all material
respects, in compliance with ERISA, the IRC, and other applicable Legal
Requirements including the provisions of such Legal Requirements expressly
mentioned in this Section 3.13, and with any applicable collective bargaining
agreement:

           (A) No non-exempt transaction prohibited by ERISA ss. 406 and no
non-exempt "prohibited transaction" under IRC ss. 4975(c) have occurred with
respect to any Company Plan.

           (B) No Seller or Acquired Company has any liability to the IRS with
respect to any Plan, including any liability imposed by Chapter 43 of the IRC.

           (C) No Seller or Acquired Company has any liability to the PBGC with
respect to any Plan or has any liability under ERISA ss. 502 or ss. 4071.

           (D) All filings required by ERISA and the IRC as to each Plan (other
than Multi-Employer Plans) have been timely filed, and all notices and
disclosures to participants required by either ERISA or the IRC have been timely
provided.

           (E) All contributions and payments made or accrued with respect to
all Company Plans, Company Other Benefit Obligations, and Company VEBAs are
deductible under IRC ss. 162 or ss. 404. No amount, or any asset of any Company
Plan or Company VEBA, is subject to tax as unrelated business taxable income.

           (iv) Each Company Plan that is not a Qualified Plan can be terminated
within thirty days, without payment of any additional contribution or amount and
without the vesting or acceleration of any benefits promised by such Plan.

           (v) Since December 31, 1998, there has been no establishment or
amendment of any Company Plan, Company VEBA, or Company Other Benefit
Obligation.

           (vi) To Seller's Knowledge no event has occurred or circumstance
exists that could result in a material increase in premium costs of Company
Plans and Company Other Benefit Obligations that are insured, or a material
increase in benefit costs of such Plans and Obligations that are self-insured.

           (vii) Other than claims for benefits submitted by participants or
beneficiaries, no claim against, or legal proceeding involving, any Company
Plan, Company

                                       20
<PAGE>

Other Benefit Obligation, or Company VEBA is pending or, to Sellers' Knowledge,
is Threatened.

           (viii) No Company Plan is a stock bonus, pension, or profit-sharing
plan within the meaning of IRC ss. 401(a).

           (ix) Except for defects that can be corrected without meaningful cost
or liability, each Qualified Plan of each Acquired Company is qualified in form
and operation under IRC ss. 401(a); each trust for each such Plan is exempt from
federal income tax under IRC ss. 501(a); each Company VEBA is exempt from
federal income tax; and no event has occurred or circumstance exists that will
or could give rise to disqualification or loss of tax-exempt status of any such
Plan or trust.

           (x) Each Acquired Company and each ERISA Affiliate of an Acquired
Company has met the minimum funding standard, and has made all contributions
required, under ERISA ss. 302 and IRC ss. 402.

           (xi) No Company Plan is subject to Title IV of ERISA.

           (xii) The Acquired Companies have paid all amounts due to the PBGC
pursuant to ERISA ss. 4007.

           (xiii) No Acquired Company or any ERISA Affiliate of an Acquired
Company has ceased operations at any facility or has withdrawn from any Title IV
Plan in a manner that would subject any entity or Sellers to liability under
ERISA ss. 4062(e), ss. 4063, or ss. 4064.

           (xiv) No Acquired Company or any ERISA Affiliate of an Acquired
Company has filed a notice of intent to terminate any Plan or has adopted any
amendment to treat a Plan as terminated. The PBGC has not instituted proceedings
to treat any Company Plan as terminated. No event has occurred or circumstance
exists that may constitute grounds under ERISA ss. 4042 for the termination of,
or the appointment of a trustee to administer, any Company Plan.

           (xv) No amendment has been made, or is reasonably expected to be
made, to any Plan that has required or could require the provision of security
under ERISA ss. 307 or IRC ss. 401(a)(29).

           (xvi) No accumulated funding deficiency, whether or not waived,
exists with respect to any Company Plan; no event has occurred or circumstance
exists that may result in an accumulated funding deficiency as of the last day
of the current plan year of any such Plan.

           (xvii) The actuarial report for each Pension Plan (other than
Multi-Employer Plans) of each Acquired Company and each ERISA Affiliate of each
Acquired Company fairly presents the financial condition and the results of
operations of each such Plan in accordance with GAAP.

                                       21
<PAGE>

           (xviii) Since the last valuation date for each Pension Plan, no event
has occurred or circumstance exists that would increase the amount of benefits
under any such Plan or that would cause the excess of Plan assets over benefit
liabilities (as defined in ERISA ss. 4001) to decrease, or the amount by which
benefit liabilities exceed assets to increase.

           (xix) No reportable event (as defined in ERISA ss. 4043 and in
regulations issued thereunder) has occurred with respect to any Pension Plan.

           (xx) No Seller or Acquired Company has Knowledge of any facts or
circumstances that may give rise to any liability of any Seller, any Acquired
Company, or Buyer to the PBGC under Title IV of ERISA.

           (xxi) Except as set forth in Part 3.13(d)(xxi) of the Disclosure
Letter, no Acquired Company or any ERISA Affiliate of an Acquired Company has
ever established, maintained, or contributed to or otherwise participated in, or
had an obligation to maintain, contribute to, or otherwise participate in, any
Multi-Employer Plan.

           (xxii) Except as set forth in Part 3.13(d)(xxii) of the Disclosure
Letter, no Acquired Company or any ERISA Affiliate of an Acquired Company has
withdrawn from any Multi-Employer Plan with respect to which there is any
outstanding liability as of the date of this Agreement. No event has occurred or
circumstance exists that presents a risk of the occurrence of any withdrawal
from, or the participation, termination, or to Sellers' Knowledge,
reorganization, or insolvency of, any Multi-Employer Plan that could result in
any liability of either any Acquired Company or Buyer to a Multi-Employer Plan.

           (xxiii) No Acquired Company or any ERISA Affiliate of an Acquired
Company has received notice from any Multi-Employer Plan that it is in
reorganization or is insolvent, that increased contributions may be required to
avoid a reduction in plan benefits or the imposition of any excise tax, or that
such Plan intends to terminate or has terminated.

           (xxiv) No Multi-Employer Plan is a party to any pending merger or
asset or liability transfer or is subject to any proceeding brought by the PBGC.

           (xxv) Except to the extent required under ERISA ss. 601 et seq. and
IRC ss. 4980B or as provided through a multi-employer welfare fund covering
collectively bargained employees, no Acquired Company provides health or welfare
benefits for any retired or former employee or is obligated to provide health or
welfare benefits to any active employee following such employee's retirement or
other termination of service.

           (xxvi) Each Acquired Company has the right to modify and terminate
benefits to retirees (other than pensions) with respect to both retired and
active employees, subject to (if applicable) the requirements of collective
bargaining agreements..

           (xxvii) Sellers and all Acquired Companies have complied with the
provisions of ERISAss.601 et seq. and IRCss.4980B.

           (xxviii) No payment that is owed or may become due to any director,
officer, employee, or agent of any Acquired Company will be non-deductible to
the

                                       22
<PAGE>

Acquired Companies or subject to tax under IRCss.280G orss.4999; nor will any
Acquired Company be required to "gross up" or otherwise compensate any such
person because of the imposition of any excise tax on a payment to such person.

           (xxix) The consummation of the Contemplated Transactions will not
result in the payment, vesting, or acceleration of any benefit, except as may be
required by a Qualified Plan pursuant to Section 411(d)(3) of the IRC.

           (e) After the Closing Date, neither Buyer nor the Acquired Companies
will have any liability with respect to any Plan of a pre-Closing Date ERISA
Affiliate.

      3.14  COMPLIANCE WITH LEGAL REQUIREMENTS; GOVERNMENTAL AUTHORIZATIONS

           (a) Except as set forth in Part 3.14 of the Disclosure Letter:

           (i) each Acquired Company is in compliance in all material respects
with Legal Requirements applicable to it or to the conduct or operation of its
business or the ownership or use of any of its assets;

           (ii) no event has occurred or circumstance exists that (with or
without notice or lapse of time) (A) may constitute or result in a material
violation by any Acquired Company of, or a material failure on the part of any
Acquired Company to comply with, any Legal Requirement, or (B) may give rise to
any obligation on the part of any Acquired Company to undertake, or to bear all
or any portion of the cost of, any material remedial action of any nature; and

           (iii) no Acquired Company has received, at any time since January 1,
1996, any written notice or other written communication from any Governmental
Body or any other Person regarding (A) any actual, alleged, possible, or
potential material violation of, or material failure to comply with, any Legal
Requirement that has not been satisfied, withdrawn or otherwise complied with,
or (B) any actual, alleged, possible, or potential obligation on the part of any
Acquired Company to undertake, or to bear all or any portion of the cost of, any
material remedial action of any nature.

           (b) Part 3.14 of the Disclosure Letter contains a complete and
accurate list of each Governmental Authorization that is held by any Acquired
Company or that otherwise relates to the business of, or to any of the assets
owned or used by, any Acquired Company. Each Governmental Authorization listed
or required to be listed in Part 3.14 of the Disclosure Letter is valid and in
full force and effect. Except as set forth in Part 3.14 of the Disclosure
Letter:

           (i) each Acquired Company is in compliance in all material respects
with all of the terms and requirements of each Governmental Authorization
identified or required to be identified in Part 3.14 of the Disclosure Letter;

           (ii) no event has occurred or circumstance exists that may (with or
without notice or lapse of time) (A) constitute or result directly or indirectly
in a material

                                       23
<PAGE>

violation of or a material failure to comply with any term or requirement of any
Governmental Authorization listed or required to be listed in Part 3.14 of the
Disclosure Letter, or (B) result directly or indirectly in the revocation,
withdrawal, suspension, cancellation, or termination of, or any material
modification to, any Governmental Authorization listed or required to be listed
in Part 3.14 of the Disclosure Letter;

           (iii) no Acquired Company has received, at any time since January 1,
1996, any written notice or other written communication from any Governmental
Body or any other Person regarding (A) any actual, alleged, possible, or
potential material violation of or material failure to comply with any term or
requirement of any Governmental Authorization that has not been satisfied,
withdrawn or otherwise complied with, or (B) any actual, proposed, possible, or
potential revocation, withdrawal, suspension, cancellation, termination of, or
material modification to any Governmental Authorization; and

           (iv) all applications required to have been filed for the renewal of
the Governmental Authorizations listed or required to be listed in Part 3.14 of
the Disclosure Letter have been duly filed on a timely basis with the
appropriate Governmental Bodies, and all other filings required to have been
made with respect to such Governmental Authorizations have been duly made on a
timely basis with the appropriate Governmental Bodies.

The Governmental Authorizations listed in Part 3.14 of the Disclosure Letter
collectively constitute all of the Governmental Authorizations necessary to
permit the Acquired Companies to lawfully conduct and operate their businesses
in the manner they currently conduct and operate such businesses.

      3.15  LEGAL PROCEEDINGS; ORDERS

           (a) Except as set forth in Part 3.15 of the Disclosure Letter, there
is no pending Proceeding:

           (i) that has been commenced by or against any Acquired Company or
that otherwise relates to or may affect the business of, or any of the assets
owned or used by, any Acquired Company; or

           (ii) that challenges, or that may have the effect of preventing,
delaying, making illegal, or otherwise interfering with, any of the Contemplated
Transactions.

Except as set forth in Part 3.15 of the Disclosure Letter, to the Knowledge of
Sellers and the Acquired Companies: (1) no such Proceeding has been Threatened
and (2) no event has occurred or circumstance exists that may give rise to or
serve as a basis for the commencement of any such Proceeding. Sellers have
delivered or made available to Buyer copies of all pleadings, correspondence,
and other documents relating to each Proceeding listed in Part 3.15 of the
Disclosure Letter. The Proceedings listed in Part 3.15 of the Disclosure Letter
will not have a material adverse effect on the business, operations, assets,
condition, or prospects of any Acquired Company.

                                       24
<PAGE>

           (b) Except as set forth in Part 3.15 of the Disclosure Letter:

           (i) there is no Order to which any of the Acquired Companies, or any
of the assets owned or used by any Acquired Company, is subject;

           (ii) neither Seller is subject to any Order that relates to the
business of, or any of the assets owned or used by, any Acquired Company; and

           (iii) to the Knowledge of Sellers, no officer, director or employee
of any Acquired Company is subject to any Order that prohibits such officer,
director, agent, or employee from engaging in or continuing any conduct,
activity, or practice relating to the business of any Acquired Company.

           (c) Except as set forth in Part 3.15 of the Disclosure Letter:

           (i) each Acquired Company is in substantial compliance with all of
the terms and requirements of each Order to which it, or any of the assets owned
or used by it, is or has been subject;

           (ii) no event has occurred or circumstance exists that may constitute
or result in (with or without notice or lapse of time) a material violation of
or material failure to comply with any term or requirement of any Order to which
any Acquired Company, or any of the assets owned or used by any Acquired
Company, is subject; and

           (iii) no Acquired Company has received, at any time since January 1,
1996, any written notice or other written communication from any Governmental
Body or any other Person regarding any actual, alleged, possible, or potential
material violation of, or material failure to comply with, any term or
requirement of any Order to which any Acquired Company, or any of the assets
owned or used by any Acquired Company, is or has been subject.

      3.16  ABSENCE OF CERTAIN CHANGES AND EVENTS

           Except as set forth in Part 3.16 of the Disclosure Letter, since the
date of the Interim Balance Sheets, the Acquired Companies have conducted their
businesses only in the Ordinary Course of Business and there has not been any:

           (a) change in any Acquired Company's authorized or issued capital
stock; grant of any stock option or right to purchase shares of capital stock of
any Acquired Company; issuance of any security convertible into such capital
stock; grant of any registration rights; purchase, redemption, retirement, or
other acquisition by any Acquired Company of any shares of any such capital
stock; or declaration or payment of any dividend or other distribution or
payment in respect of shares of capital stock;

           (b) amendment to the Organizational Documents of any Acquired
Company;

                                       25
<PAGE>

           (c) payment or increase by any Acquired Company of any bonuses,
salaries, or other compensation to any stockholder, director, or (except in the
Ordinary Course of Business) officer or employee or entry into any employment,
severance, or similar Contract with any director, officer, or employee;

           (d) adoption of, or increase in the payments to or benefits under,
any profit sharing, bonus, deferred compensation, savings, insurance, pension,
retirement, or other employee benefit plan for or with any employees of any
Acquired Company;

           (e) damage to or destruction or loss of any asset or property of any
Acquired Company, whether or not covered by insurance, materially and adversely
affecting the properties, assets, business, financial condition, or prospects of
the Acquired Companies, taken as a whole;

           (f) entry into, termination of, or receipt of notice of termination
of (i) any license, distributorship, dealer, sales representative, joint
venture, credit, or similar agreement, or (ii) any Contract or transaction
involving a total remaining commitment by or to any Acquired Company of at least
$50,000;

           (g) sale (other than sales of inventory or assets which are obsolete
or no longer useful in the Ordinary Course of Business), lease, or other
disposition of any asset or property of any Acquired Company or mortgage,
pledge, or imposition of any lien or other encumbrance on any material asset or
property of any Acquired Company, including the sale, lease, or other
disposition of any of the Intellectual Property Assets;

           (h) cancellation or waiver of any claims or rights with a value to
any Acquired Company in excess of $50,000;

           (i) repayment by an Acquired Company of any indebtedness owed to
either Seller or any Related Person of either Seller;

           (j) material change in the accounting methods used by any Acquired
Company; or

           (k) agreement, whether oral or written, by any Acquired Company to do
any of the foregoing.

      3.17  CONTRACTS; NO DEFAULTS

           (a) Part 3.17(a) of the Disclosure Letter contains a complete and
accurate list, and Sellers have delivered to Buyer true and complete copies, of:

           (i) each Applicable Contract that involves performance of services or
delivery of goods or materials by one or more Acquired Companies of an amount or
value in excess of $50,000;

                                       26
<PAGE>

           (ii) each Applicable Contract that involves performance of services
or delivery of goods or materials to one or more Acquired Companies of an amount
or value in excess of $50,000;

           (iii) each Applicable Contract that was not entered into in the
Ordinary Course of Business and that involves expenditures or receipts of one or
more Acquired Companies in excess of $50,000;

           (iv) each lease, rental or occupancy agreement, license, installment
and conditional sale agreement, and other Applicable Contract affecting the
ownership of, leasing of, title to, use of, or any leasehold or other interest
in, any real or personal property (except personal property leases and
installment and conditional sales agreements having a value per item or
aggregate payments of less than $25,000 and which either have terms of less than
one year or are terminable by the Acquired Company with notice to the other
party of 90 days or less);

           (v) each licensing agreement or other Applicable Contract with
respect to Intellectual Property Assets, including agreements with current or
former employees, consultants, or contractors regarding the appropriation or the
non-disclosure of any of the Intellectual Property Assets;

           (vi) each collective bargaining agreement and other Applicable
Contract to or with any labor union or other employee representative of a group
of employees;

           (vii) each joint venture, partnership, and other Applicable Contract
(however named) involving a sharing of profits, losses, costs, or liabilities by
any Acquired Company with any other Person;

           (viii) each Applicable Contract containing covenants that in any way
purport to restrict the business activity of any Acquired Company or any
Affiliate of an Acquired Company or limit the freedom of any Acquired Company or
any Affiliate of an Acquired Company to engage in any line of business or to
compete with any Person;

           (ix) each Applicable Contract providing for payments to or by any
Person based on sales, purchases, or profits, other than direct payments for
goods;

           (x) each power of attorney that is currently effective and
outstanding;

           (xi) each Applicable Contract entered into other than in the Ordinary
Course of Business that contains or provides for an express undertaking by any
Acquired Company to be responsible for consequential damages;

           (xii) each Applicable Contract for capital expenditures in excess of
$50,000;

                                       27
<PAGE>

           (xiii) each written warranty, guaranty, and or other similar
undertaking with respect to contractual performance extended by any Acquired
Company other than in the Ordinary Course of Business; and

           (xiv) each amendment, supplement, and modification (whether oral or
written) in respect of any of the foregoing.

Part 3.17(a) of the Disclosure Letter sets forth reasonably complete details
concerning such Contracts described in this Section 3.17(a) ("Material
Contracts"), including the parties to the Contracts.

           (b) Except as set forth in Part 3.17(b) of the Disclosure Letter:

           (i) neither Seller (and no Related Person of either Seller) has or
may acquire any rights under, and neither Seller has or may become subject to
any obligation or liability under, any Material Contract that relates to the
business of, or any of the assets owned or used by, any Acquired Company; and

           (ii) to the Knowledge of Sellers and the Acquired Companies, no
officer, director or employee of any Acquired Company is bound by any Contract
that purports to limit the ability of such officer, director or employee to (A)
engage in or continue any conduct, activity, or practice relating to the
business of any Acquired Company, or (B) assign to any Acquired Company or to
any other Person any rights to any invention, improvement, or discovery.

           (c) Except as set forth in Part 3.17(c) of the Disclosure Letter, to
the Knowledge of Sellers, each Material Contract is in full force and effect and
is valid and enforceable in accordance with its terms.

           (d) Except as set forth in Part 3.17(d) of the Disclosure Letter:

           (i) each Acquired Company is in compliance in all material respects
with the applicable terms and requirements of each Material Contract under which
such Acquired Company has any obligation or liability or by which such Acquired
Company or any of the assets owned or used by such Acquired Company is bound;

           (ii) to the Knowledge of Sellers, each other Person that has any
obligation or liability under any Material Contract under which an Acquired
Company has any rights is in compliance in all material respects with the
applicable terms and requirements of such Material Contract;

           (iii) to the Knowledge of Sellers, no event has occurred or
circumstance exists that (with or without notice or lapse of time) may
contravene, conflict with, or result in a violation or breach of, or give any
Acquired Company or other Person the right to declare a default or exercise any
remedy under, or to accelerate the maturity or performance of, or to cancel,
terminate, or modify, any Material Contract; and

                                       28
<PAGE>

           (iv) no Acquired Company has given to or received from any other
Person, at any time since January 1, 1996, any written notice or other written
communication regarding any actual, alleged, possible, or potential violation or
breach of, or default under, any Material Contract that has not been cured,
withdrawn or otherwise resolved.

           (e) There are no renegotiations of, attempts to renegotiate, or
outstanding rights to renegotiate any material amounts paid or payable to any
Acquired Company under current or completed Material Contracts with any Person
and, to the Knowledge of Sellers and the Acquired Companies, no such Person has
made written demand for such renegotiation.

           (f) The Material Contracts relating to provision of products or
services by the Acquired Companies have been entered into in the Ordinary Course
of Business and have been entered into without the commission of any act alone
or in concert with any other Person, or any consideration having been paid or
promised, that is or would be in material violation of any Legal Requirement.

      3.18  INSURANCE

           (a) Sellers have delivered or made available to Buyer:

           (i) true and complete copies of all policies of insurance to which
any Acquired Company is a party or under which any Acquired Company, or any
director of any Acquired Company, is covered;

           (ii) true and complete copies of all pending applications for
policies of insurance; and

           (iii) any statement by the auditor of any Acquired Company's
financial statements with regard to the adequacy of such entity's coverage or of
the reserves for claims.

           (b) Part 3.18(b) of the Disclosure Letter describes:

           (i) any self-insurance arrangement by or affecting any Acquired
Company, including any reserves established thereunder;

           (ii) any contract or arrangement, other than a policy of insurance,
for the transfer or sharing of any risk by any Acquired Company; and

           (iii) all obligations of the Acquired Companies to third parties with
respect to insurance (including such obligations under leases and service
agreements) and identifies the policy under which such coverage is provided.

           (c) Part 3.18(c) of the Disclosure Letter sets forth, by year, for
the current policy year and each of the three preceding policy years:

           (i) a summary of the loss experience under each policy;

                                       29
<PAGE>

           (ii) a statement describing each claim under an insurance policy,
which sets forth:

           (A) the name of the claimant;

           (B) a description of the policy by insurer, type of insurance, and
period of coverage; and

           (C) the amount and a brief description of the claim; and

           (iii) a statement describing the loss experience for all claims that
were self-insured, including the number and aggregate cost of such claims.

           (d) Except as set forth on Part 3.18(d) of the Disclosure Letter:

           (i) All policies to which any Acquired Company is a party or that
provide coverage to any Acquired Company, or any director or officer of an
Acquired Company are valid, outstanding, and enforceable.

           (ii) The Acquired Companies have given notice to the insurer of all
claims that may be insured thereby.

      3.19  ENVIRONMENTAL MATTERS

           Except as set forth in part 3.19 of the Disclosure Letter:

           (a) Each Acquired Company is, and at all times has been, in material
compliance with, and has not been and is not in violation of or liable under,
any Environmental Law. No Seller or Acquired Company has received any actual or,
to Sellers' Knowledge any Threatened, Order, written notice, or other written
communication from (i) any Governmental Body or private citizen acting in the
public interest, or (ii) the current or prior owner or operator of any
Facilities, of any actual or potential violation or failure to comply with any
Environmental Law, or of any actual or, to Sellers' Knowledge any Threatened,
obligation to undertake or bear the cost of any Environmental, Health, and
Safety Liabilities with respect to any of the Facilities or any other properties
or assets (whether real, personal, or mixed) in which any Acquired Company has
had an interest, or with respect to any property or Facility at or to which
Hazardous Materials were generated, manufactured, refined, transferred,
imported, used, or processed by any Acquired Company, or any other Person for
whose conduct it is or may be held responsible, or from which Hazardous
Materials have been transported, treated, stored, handled, transferred,
disposed, recycled, or received.

           (b) There are no pending or, to the Knowledge of Sellers and the
Acquired Companies, Threatened claims, Encumbrances, or other restrictions of
any nature, resulting from any Environmental, Health, and Safety Liabilities or
arising under or pursuant to any Environmental Law, with respect to or affecting
any of the Facilities or any other properties and assets (whether real,
personal, or mixed) in which any Acquired Company has or had an interest.

                                       30
<PAGE>

           (c) No Acquired Company, or any other Person for whose conduct it is
    or may be held responsible, has any Environmental, Health, and Safety
    Liabilities with respect to the Facilities or with respect to any other
    properties and assets (whether real, personal, or mixed) in which any
    Acquired Company (or any predecessor), has or had an interest.

           (d) There are no Hazardous Materials present on or in the Environment
    at the Facilities, including any Hazardous Materials contained in barrels,
    above or underground storage tanks, landfills, land deposits, dumps,
    equipment (whether moveable or fixed) or other containers, either temporary
    or permanent, and deposited or located in land, water, sumps, or any other
    part of the Facilities, or incorporated into any structure therein or
    thereon, except in material compliance with all applicable Environmental
    Laws.

           (e) There has been no Release or, to the Knowledge of Sellers and the
    Acquired Companies, Threat of Release of any Hazardous Materials at or from
    the Facilities or at any other locations where any Hazardous Materials were
    generated, used, or processed, except in material compliance with all
    applicable Environmental Laws.

           (f) Sellers have delivered or made available to Buyer true and
    complete copies and results of any reports, studies, analyses, tests, or
    monitoring possessed or initiated by Sellers or any Acquired Company
    pertaining to Hazardous Materials or Hazardous Activities in, on, or under
    the Facilities, or concerning compliance by Sellers, any Acquired Company,
    or any other Person for whose conduct the Acquired Companies are or may be
    held responsible, with Environmental Laws and dated within ten years prior
    to the date of this Agreement.

      3.20  EMPLOYEES

           (a) Part 3.20(a) of the Disclosure Letter contains a complete and
accurate list of the following information for each Racetrack Employee,
including each employee on leave of absence or layoff status: employer; name;
job title; current compensation paid or payable; vacation accrued; and service
credited for purposes of vesting and eligibility to participate under any
Acquired Company's pension, retirement, profit-sharing, thrift-savings, deferred
compensation, stock bonus, stock option, cash bonus, employee stock ownership
(including investment credit or payroll stock ownership), severance pay,
insurance, medical, welfare, or vacation plan, other employee pension benefit
plan or employee welfare benefit plan, or any other employee benefit plan.

           (b) To Sellers' Knowledge, no employee of any Acquired Company is a
party to, or is otherwise bound by, any agreement or arrangement, including any
confidentiality, noncompetition, or proprietary rights agreement, between such
employee and any other Person ("Proprietary Rights Agreement") that in any way
adversely affects or will affect (i) the performance of his duties as an
employee of the Acquired Companies, or (ii) the ability of any Acquired Company
to conduct its business, including any Proprietary Rights Agreement with Sellers
or the Acquired Companies by any such employee. Except as set forth

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<PAGE>

in Part 3.20(b) of the Disclosure Letter, to Sellers' Knowledge, no officer or
other key employee of any Acquired Company intends to terminate his employment
with such Acquired Company.

           (c) Part 3.20(c) of the Disclosure Letter contains a complete and
accurate list of the following information for each retired employee of the
Acquired Companies, or their dependents, receiving benefits or scheduled to
receive benefits in the future: name, pension benefit, pension option election,
retiree medical insurance coverage, retiree life insurance coverage, and other
benefits.

      3.21  LABOR RELATIONS; COMPLIANCE

           Except as set forth in Part 3.21 of the Disclosure Letter, no
Acquired Company is a party to any collective bargaining or other labor
Contract. Except as set forth in Part 3.21 of the Disclosure Letter, since
January 1, 1999, there has not been, there is not presently pending or existing,
and there is not Threatened: (a) any strike, slowdown, picketing, work stoppage,
or employee grievance process, (b) any Proceeding against or affecting any
Acquired Company relating to the alleged violation of any Legal Requirement
pertaining to labor relations or employment matters, including any charge or
complaint filed by an employee or union with the National Labor Relations Board,
the Equal Employment Opportunity Commission, or any comparable Governmental
Body, organizational activity, or other labor or employment dispute against or
affecting any of the Acquired Companies or their premises, or (c) any
application for certification of a collective bargaining agent. To Sellers'
Knowledge, no event has occurred or circumstance exists that could provide the
basis for any work stoppage or other labor dispute. There is no lockout of any
employees by any Acquired Company, and no such action is contemplated by any
Acquired Company. To Sellers' Knowledge, each Acquired Company is in compliance
in all material respects with all Legal Requirements relating to employment,
equal employment opportunity, nondiscrimination, immigration, wages, hours,
benefits, collective bargaining, the payment of social security and similar
taxes, occupational safety and health, and plant closing, and no Seller or
Acquired Company has received any actual or, to Sellers' Knowledge any
Threatened, Order, written notice, or other written communication from any
Governmental Body of any actual or potential violation or failure to comply with
any of the foregoing Legal Requirements.

      3.22  INTELLECTUAL PROPERTY

           (a) Intellectual Property Assets-- The term "Intellectual Property
Assets" includes:

           (i) the names "Thistledown" and "Remington," all fictional business
names, trading names, registered and unregistered trademarks, service marks, and
applications (collectively, "Marks");

           (ii) all patents, patent applications, and inventions and discoveries
that may be patentable;

           (iii) all copyrights in both published works and unpublished works:

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<PAGE>

           (iv) all rights in mask works; and

           (v) all know-how, trade secrets, confidential information, customer
lists, software, technical information, data, process technology, plans,
drawings, and blue prints (collectively, "Trade Secrets"); owned, used, or
licensed by any Acquired Company as licensee or licensor.

          (b) Know-How Necessary for the Business-- The Intellectual Property
     Assets are all those necessary for the operation of the Acquired Companies'
     businesses as they are currently conducted. One or more of the Acquired
     Companies is the owner of all right, title, and interest in and to each of
     the Intellectual Property Assets, free and clear of all liens, security
     interests, charges, encumbrances, equities, and other adverse claims, and
     has the right to use without payment to a third party all of the
     Intellectual Property Assets.

           (c) Trademarks

           (i) Part 3.22(c) of Disclosure Letter contains a complete and
accurate list and summary description of all Marks. One or more of the Acquired
Companies is the owner of all right, title, and interest in and to each of the
Marks, free and clear of all liens, security interests, charges, encumbrances,
equities, and other adverse claims.

           (ii) All Marks that have been registered with the United States
Patent and Trademark Office are currently in compliance with all formal legal
requirements (including the timely post-registration filing of affidavits of use
and incontestability and renewal applications), are valid and enforceable, and
are not subject to any maintenance fees or taxes or actions falling due within
ninety days after the Closing Date.

           (iii) No Mark has been or is now involved in any opposition,
invalidation, or cancellation and, to Sellers' Knowledge, no such action is
Threatened with the respect to any of the Marks.

           (iv) To Sellers' Knowledge, there is no potentially interfering
trademark or trademark application of any third party.

           (v) To Sellers' Knowledge, no Mark is infringed or has been
challenged or threatened in any way and none of the Marks used by any Acquired
Company infringes or is alleged to infringe any trade name, trademark, or
service mark of any third party.

      3.23  CERTAIN PAYMENTS

           Since January 1, 1996, no Acquired Company has authorized any
director, officer, agent, or employee of any Acquired Company, or any other
Person associated with or acting for or on behalf of any Acquired Company to (a)
make any illegal or unlawful contribution, gift, bribe, rebate, payoff,
influence payment, kickback, or other payment to any Person, private or public,
regardless of form, whether in money, property, or services (i) to obtain
favorable treatment in securing business, (ii) to pay for favorable treatment
for business secured, (iii) to obtain special concessions or for special
concessions already obtained, for or in respect of any

                                       33
<PAGE>

Acquired Company or any Related Person of an Acquired Company, or (iv) in
violation of any Legal Requirement, (b) established or maintained any fund or
asset that has not been recorded in the books and records of the Acquired
Companies.

      3.24  DISCLOSURE

          (a) No representation or warranty of Sellers in this Agreement and no
     statement in the Disclosure Letter omits to state a material fact necessary
     to make the statements herein or therein, in light of the circumstances in
     which they were made, not misleading.

          (b) No notice given pursuant to Section 5.5 will contain any untrue
     statement or omit to state a material fact necessary to make the statements
     therein or in this Agreement, in light of the circumstances in which they
     were made, not misleading.

      3.25  RELATIONSHIPS WITH RELATED PERSONS

           Except as set forth in Part 3.25 of the Disclosure Letter, no Seller
or to Sellers' Knowledge any Related Person of Sellers or of any Acquired
Company has or has had any interest in any property (whether real, personal, or
mixed and whether tangible or intangible) used in or pertaining to the Acquired
Companies' businesses. Except as set forth in Part 3.25 of the Disclosure
Letter, no Seller or to Sellers' Knowledge any Related Person of Sellers or of
any Acquired Company owns (of record or as a beneficial owner) an equity
interest or any other financial or profit interest in, a Person that has (i) had
business dealings or a material financial interest in any transaction with any
Acquired Company, or (ii) engaged in competition with any Acquired Company with
respect to any line of the products or services of such Acquired Company in any
market presently served by such Acquired Company. Except as set forth in Part
3.25 of the Disclosure Letter, no Seller or any Related Person of Sellers or of
any Acquired Company is a party to any Contract with, or has any claim or right
against, any Acquired Company.

      3.26  INVESTMENT INTENT OF EJDC

           EJDC represents and warrants to Buyer that it is acquiring the Buyer
Shares for its own account and not with a view to their distribution within the
meaning of Section 2(11) of the Securities Act. EJDC understands that: (a) the
Buyer Shares have not been registered under the Securities Act and are being
offered and sold in reliance on an exemption from the registration requirements
of the Securities Act; (b) the Buyer Shares may not be transferred or resold
except as permitted under the Securities Act and applicable state securities
laws pursuant to registration or an exemption therefrom; and (c) the certificate
evidencing the Buyer Shares will bear a legend to the effect that they have not
been registered under the Securities Act and may be transferred or resold only
in compliance with the Securities Act and applicable state securities laws.

                                       34
<PAGE>

      3.27  BROKERS OR FINDERS

           Sellers and their Representatives have incurred no obligation or
liability, contingent or otherwise, for brokerage or finders' fees or agents'
commissions or other similar payment in connection with this Agreement.

      4. REPRESENTATIONS AND WARRANTIES OF BUYER

           Buyer represents and warrants to Sellers as follows:

       4.1   ORGANIZATION AND GOOD STANDING

           Buyer is a corporation duly organized, validly existing, and in good
standing under the laws of the State of Delaware, with full corporate power and
authority to conduct its business as it is now being conducted, to own and use
the properties and assets that it purports to own or use and to perform all of
its obligations under this Agreement. Exhibit 4.1 contains a description of
Buyer's business which is correct and complete in all material respects.

      4.2   AUTHORITY; NO CONFLICT

           (a) This Agreement constitutes the legal, valid, and binding
obligation of Buyer, enforceable against Buyer in accordance with its terms.
Buyer has the absolute and unrestricted right, power, and authority to execute
and deliver this Agreement and to perform its obligations under this Agreement.

           (b) Except for Governmental Authorizations of the Commissions and as
required under the HSR Act, neither the execution and delivery of this Agreement
by Buyer nor the consummation or performance of any of the Contemplated
Transactions by Buyer will give any Person the right to prevent, delay, or
otherwise interfere with any of the Contemplated Transactions pursuant to:

           (i) any provision of Buyer's Organizational Documents;

           (ii) any resolution adopted by the board of directors or the
stockholders of Buyer;

           (iii) any Legal Requirement or Order to which Buyer may be subject;
or

           (iv) any Contract to which Buyer is a party or by which Buyer may be
bound.

      4.3   CAPITALIZATION

           (a) On the date of this Agreement, the authorized equity securities
of Buyer consist of 10,000,000 shares of Class A Common Stock, no par value (the
"Class A Common Stock"), of which 100 shares are issued and outstanding, and
10,000,000 shares of Class C Common Stock, no par value (the "Class C Common
Stock"), of which 3,450,000 shares are issued and outstanding. Prior to the
Closing Date, Buyer's certificate of incorporation will be amended to modify
Buyer's capital stock as follows: (a) shares of class A subordinate voting stock
(the "Class A Subordinate Voting Stock") will be authorized, (b) shares of class
B stock (the "Class B Stock") will be authorized, (c) all shares of Class A
Common Stock outstanding on the date the certificate of incorporation is amended
will be converted into shares of Class B Stock, (d) all shares of Class C Common
Stock outstanding on the date the certificate of

                                       35
<PAGE>

incorporation is amended will be converted into shares of Class A Subordinate
Voting Stock and/or shares of Class B Stock and (e) the share provisions of the
Class A Common Stock and the Class C Common Stock will be eliminated. Except as
set forth in Part 4.3(a) of the Buyer Disclosure Letter, and except as described
herein, Buyer has not issued or granted any options, warrants or other
securities convertible into Class A Subordinate Voting Stock and has not entered
into any agreements or arrangements, other than with its parent or employees,
relating to the issuance of such options, warrants or convertible securities or
to the issuance of Class A Subordinate Voting Stock.

           (b) At the Closing, the Buyer Shares will be duly authorized and
validly issued and fully paid and nonassessable.

      4.4   FINANCIAL STATEMENTS

           (a) Buyer has delivered to Sellers an unaudited consolidated balance
sheet of Buyer as at August 31, 1999 (including the notes thereto), which fairly
presents the financial condition of Buyer in accordance with GAAP, subject to
normal recurring year-end adjustments (the effect of which will not,
individually or in the aggregate, be materially adverse).

           (b) Buyer has delivered to Sellers a pro forma unaudited consolidated
balance sheet of Buyer as at August 31, 1999 (including the notes thereto, the
"Pro Forma Balance Sheet") which reflects (i) certain contributions of capital
and assets to be made to Buyer by Buyer's parent and the reorganization of
Buyer's capital structure prior to the Closing Date, (ii) the acquisition of
Gulfstream Park Racing Association, Inc. and (iii) the acquisition of Remington
and Thistledown pursuant hereto. The Pro Forma Balance Sheet has been prepared
from the applicable historical financial statements, adjusting the combined
amounts for purchase accounting adjustments and any significant differences in
accounting methods used by the entities involved.

      4.5   NO UNDISCLOSED LIABILITIES

           Except as set forth in Part 4.5 of the Buyer Disclosure Letter, Buyer
has no liabilities or obligations of any nature (whether known or unknown and
whether absolute, accrued, contingent or otherwise) except for liabilities
reflected or reserved against in the balance sheets referred to in Section 4.4
and current liabilities incurred in the Ordinary Course of Business since June
30, 1999.

      4.6   NO MATERIAL ADVERSE CHANGE

           Since June 30, 1999, there has not been any material adverse change
in the business, operations, properties, assets or condition of Buyer and its
Subsidiaries, and no event has occurred or circumstance exists that may result
in such a material adverse change.

      4.7   CERTAIN PROCEEDINGS

           There is no pending Proceeding that has been commenced against Buyer
and that challenges, or may have the effect of preventing, delaying, making
illegal, or otherwise

                                       36
<PAGE>

interfering with, any of the Contemplated Transactions. To Buyer's Knowledge, no
such Proceeding has been Threatened.

      4.8   INVESTMENT INTENT OF BUYER

           Buyer is acquiring the Shares for its own account and not with a view
to their distribution within the meaning of Section 2(11) of the Securities Act.

      4.9   BROKERS OR FINDERS

           Buyer and its Representatives have incurred no obligation or
liability, contingent or otherwise, for brokerage or finders' fees or agents'
commissions or other similar payment in connection with this Agreement and will
indemnify and hold Sellers harmless from any such payment alleged to be due by
or through Buyer as a result of the action of Buyer or its officers or agents.

5.    COVENANTS OF SELLERS PRIOR TO CLOSING DATE

      5.1   ACCESS AND INVESTIGATION

           Between the date of this Agreement and the Closing Date, Sellers
will, and will cause each Acquired Company and its Representatives to: (a)
afford Buyer and its Representatives and prospective lenders and their
Representatives (collectively, "Buyer's Advisors") reasonable access during
normal business hours upon reasonable notice to each Acquired Company's general
manager and designated management personnel, properties (including subsurface
testing), contracts, books and records, and other documents and data, (b)
furnish Buyer and Buyer's Advisors with copies of all such contracts, books and
records, and other existing documents and data as Buyer may reasonably request,
and (c) furnish Buyer and Buyer's Advisors with such additional existing
financial, operating, and other data and information as Buyer may reasonably
request.

      5.2   OPERATION OF THE BUSINESSES OF THE ACQUIRED COMPANIES

           Between the date of this Agreement and the Closing Date, Sellers
will, and will cause each Acquired Company to:

          (a) conduct the business of such Acquired Company only in the Ordinary
     Course of Business;

          (b) use their Best Efforts to preserve intact the current business
     organization of such Acquired Company, keep available the services of the
     current officers, employees, and agents of such Acquired Company, and
     maintain the relations and good will with suppliers, customers, landlords,
     creditors, employees, agents, and others having business relationships with
     such Acquired Company;

          (c) confer with Buyer concerning operational matters of a material
     nature; and

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<PAGE>

          (d) otherwise report periodically to Buyer concerning the status of
     the business, operations, and finances of such Acquired Company.

      5.3   NEGATIVE COVENANT

           Except as otherwise expressly permitted by this Agreement, between
the date of this Agreement and the Closing Date, Sellers will not, and will
cause each Acquired Company not to, without the prior consent of Buyer, take any
affirmative action, or fail to take any reasonable action within their or its
control, as a result of which any of the changes or events listed in Section
3.16 is likely to occur.

      5.4   REQUIRED APPROVALS

           As promptly as practicable after the date of this Agreement, Sellers
will, and will cause each Acquired Company to, make all filings required by
Legal Requirements to be made by them in order to consummate the Contemplated
Transactions (including all filings under the HSR Act and with the Commissions).
Between the date of this Agreement and the Closing Date, Sellers will, and will
cause each Acquired Company to: (a) cooperate with Buyer with respect to all
filings that Buyer is required by Legal Requirements to make in connection with
the Contemplated Transactions, and (b) cooperate with Buyer in obtaining all
Consents identified in Section 4.2 (including taking all actions reasonably
requested by Buyer to cause early termination of any applicable waiting period
under the HSR Act and all actions reasonably requested by Buyer to obtain the
approval of the Commissions with respect to the Contemplated Transactions).

      5.5   NOTIFICATION

           Between the date of this Agreement and the Closing Date, each Seller
will promptly notify Buyer in writing if such Seller or any Acquired Company
becomes aware of any fact or condition that causes or constitutes a Breach of
any of Sellers' representations and warranties as of the date of this Agreement,
or if such Seller or any Acquired Company becomes aware of the occurrence after
the date of this Agreement of any fact or condition that would (except as
expressly contemplated by this Agreement) cause or constitute a Breach of any
such representation or warranty had such representation or warranty been made as
of the time of occurrence or discovery of such fact or condition. Should any
such fact or condition require any change in the Disclosure Letter if the
Disclosure Letter were dated the date of the occurrence or discovery of any such
fact or condition, Sellers will promptly deliver to Buyer a supplement to the
Disclosure Letter specifying such change. During the same period, each Seller
will promptly notify Buyer of the occurrence of any Breach of any covenant of
Sellers in this Section 5 or of the occurrence of any event that may make the
satisfaction of the conditions in Section 8 impossible or unlikely.

      5.6   SATISFACTION OF INDEBTEDNESS

           Sellers will cause (a) indebtedness in the amount of $61,529,766.76
owed by Thistledown to either Seller or any Related Person of either Seller and
(b) indebtedness in the amount of $156,673.87 owed by Remington to either Seller
or any Related Person of either Seller, to be contributed to such Acquired
Company as additional paid-in capital prior to Closing.

                                       38
<PAGE>

Sellers will cause all other indebtedness owed by an Acquired Company to either
Seller or any Related Person of either Seller to be paid in full by each
Acquired Company prior to Closing and will cause all indebtedness owed to an
Acquired Company by either Seller or any Related Person of either Seller to be
paid in full prior to Closing.

      5.7   NO NEGOTIATION

           Until such time, if any, as this Agreement is terminated pursuant to
Section 10, Sellers will not, and will cause each Acquired Company and each of
their Representatives not to, directly or indirectly solicit, initiate, or
encourage any inquiries or proposals from, discuss or negotiate with, provide
any non-public information to, or consider the merits of any unsolicited
inquiries or proposals from, any Person (other than Buyer) relating to any
transaction involving the sale of the business or assets (other than in the
Ordinary Course of Business) of any Acquired Company, or any of the capital
stock of any Acquired Company, or any merger, consolidation, business
combination, or similar transaction involving any Acquired Company.

      5.8   BEST EFFORTS

           Between the date of this Agreement and the Closing Date, Sellers will
use their Best Efforts to cause the conditions in Sections 8 and 9 to be
satisfied.

      5.9   ACQUISITION OF REMINGTON PARK LAND BY BUYER

           Between the date of this Agreement and the Closing Date, Sellers will
use commercially reasonably efforts to assist Buyer in securing ownership, upon
commercially reasonable terms satisfactory to Buyer, of the 371.6 acre parcel
upon which the Remington Park Racetrack is situated and the 75 acre parcel
contiguous thereto.

      5.10  401(k) PLAN

           Prior to the Closing, the sponsorship of the Investment Savings and
Retirement Plan of Thistledown Racetrack and Remington Park, Inc. (the
"Racetrack Plan") shall be changed to Thistledown and, as such, the Racetrack
Plan shall be transferred with the Acquired Companies under this Agreement.
Following execution of this Agreement and prior to the Closing, Sellers and
Buyer shall use their Best Efforts to, effective as of or before the Closing,
include the Thistledown collectively-bargained group (Racing Guild of Ohio,
Local 304 ("Local 304 Employees")) currently covered by the DeBartolo Investment
Savings Retirement Plan (the "DeBartolo Plan") in the Racetrack Plan, subject to
collective bargaining requirements. In the event that the Local 304 Employees
cannot be included in the Racetrack Plan on or before the Closing, Sellers shall
allow the Local 304 Employees to continue active participation in the DeBartolo
Plan for a period not extending beyond December 31, 1999, in which case, Buyer
shall fully and promptly reimburse Seller for all costs associated with such
continued participation (including, without limitation, contribution and
administrative costs) and any liability incurred by Seller with respect thereto
other than as a result of its negligence or willful misconduct. Subject to
collective bargaining requirements, as soon as practicable after the Closing and
in no event later than twelve months thereafter, the assets and liabilities
associated with the Local 304 Employees under the DeBartolo Plan shall be
transferred (with any

                                       39
<PAGE>

outstanding plan loans transferred in kind) to the Racetrack Plan or another
qualified plan established by Buyer or a Buyer affiliate in a plan-to-plan
transfer.

      5.11  TRANSITION SERVICES

           Between the Closing Date and December 31, 1999, EJDC will continue to
provide services to the Acquired Companies of the type referred to in Section
3.17(a)(ii), item 1 of the Disclosure Letter for a monthly fee to be agreed upon
by EJDC and Buyer. These services include payroll processing, daily and monthly
computer bookkeeping and accounting functions, tape/information transmission to
administrators for Company Plans that are 401(k) plans and payroll taxes
administration.

      5.12  REMINGTON LEASE

           After the date of this Agreement, Sellers will cooperate in the
efforts of Buyer to obtain an amendment to the provisions of the Remington Lease
giving the Trustees the right to terminate the lease at any time with or without
cause upon 180 days notice.

      5.13  ACQUIRED COMPANY FINANCIAL DATA

           Between the date of this Agreement and the Closing Date, the Sellers
shall use their Best Efforts (but without incurring any out of pocket expense)
to assist Buyer in obtaining such financial and other data relating to the
Acquired Companies as may be necessary or advisable to enable Buyer to file a
prospectus with the Securities and Exchange Commission which complies with the
Securities Act.

6.    COVENANTS OF BUYER

      6.1   ACCESS AND INVESTIGATION

           Between the date of this Agreement and the Closing Date, Buyer will
afford Sellers and their Representatives such access to Buyer's officers, books
and records and other information as Sellers may reasonably request for the
purpose of analyzing the value of the Buyer Shares. Buyer will preserve and keep
for a period of three years the books and records held by the Acquired Companies
on the Closing Date and will make such books and records available to Sellers as
may be reasonably required by Sellers in connection with insurance claims by,
legal proceedings against or governmental investigations of Seller, subject to
restrictions on disclosure of such information under applicable laws and
agreements with third parties. Sellers will maintain in confidence, and will
cause the directors, officers, employees, agents, and advisors of Sellers to
maintain in confidence, any information furnished by Buyer or another party in
connection with this Section 6.1.

      6.2   APPROVALS OF GOVERNMENTAL BODIES

           As promptly as practicable after the date of this Agreement, Buyer
will, and will cause each of its Related Persons to, make all filings required
by Legal Requirements to be made by them to consummate the Contemplated
Transactions (including all filings under the HSR Act and with the Commissions).
Between the date of this Agreement and the Closing Date, Buyer

                                       40
<PAGE>

will, and will cause each Related Person to, cooperate with Sellers with respect
to all filings that Sellers are required by Legal Requirements to make in
connection with the Contemplated Transactions, and (ii) cooperate with Sellers
in obtaining all consents identified in Part 3.2 of the Disclosure Letter;
provided that Buyer will not be required to dispose of or make any change in any
portion of its business or to incur any other burden to obtain a Governmental
Authorization.

      6.3   BEST EFFORTS

           Except as set forth in the proviso to Section 6.2, between the date
of this Agreement and the Closing Date, Buyer will use its Best Efforts to cause
the conditions in Sections 8 and 9 to be satisfied.

      6.4   EMPLOYEES

           Buyer shall, or shall cause the Acquired Companies to, employ and
retain all key management employees of the Acquired Companies and all employees
of EJDC located at the Acquired Companies who are in each case listed on
Schedule 6.4, upon similar or the same terms and conditions of employment as are
effective as of the date hereof, for a minimum period of one year. Buyer shall,
or shall cause the Acquired Companies to, employ all Racetrack Employees of
Thistledown Racetrack as of the Closing Date upon similar or the same terms and
conditions of employment as are effective as of the date hereof, and will be
obligated for all termination and severance costs relating to any terminations
of any such Racetrack Employees after the Closing; provided, however, that Buyer
shall have no obligation to retain, or cause the Acquired Companies to retain,
such employees for any period of time; and provided, further, that Buyer's
obligations under this Section 6.4 shall not create any rights or obligations in
any third party.

      6.5   DIRECTORSHIP

           Immediately after the Closing, Buyer's Board of Directors will expand
its number by one and elect John C. York II to fill the position to act as
Director with all of the same rights of participation and voting as are held by
the other members of Buyer's Board of Directors. Buyer agrees to nominate a
person designated by EJDC as a member of the "management slate" for the Board of
Directors so long as EJDC continues to hold the Buyer Shares obtained pursuant
to this Agreement. Buyer will purchase and maintain customary insurance policies
for the indemnification of all members of its Board of Directors, including the
EJDC nominee, so long as such insurance is available at rates determined by such
Board of Directors to be reasonable.

      6.6   NOTIFICATION

           Between the date of this Agreement and the Closing Date, Buyer will
promptly notify Sellers in writing if Buyer becomes aware of any fact or
condition that constitutes a Breach of any of Buyer's representations and
warranties as of the date of this Agreement, or if Buyer becomes aware of the
occurrence after the date of this Agreement of any fact or condition that would
(except as expressly contemplated by this Agreement) cause or constitute a
Breach of any such representation or warranty had such representation or
warranty been made as of the time of occurrence or discovery of such fact or
condition. Should any such fact or condition require any change in the Buyer
Disclosure Letter if the Buyer Disclosure Letter were dated the date of the
occurrence or discovery of such fact or condition, Buyer will promptly deliver
to

                                       41
<PAGE>

Sellers a supplement to the Buyer Disclosure Letter specifying such change.
During the same period, Buyer will promptly notify Sellers of the occurrence of
any Breach of any covenant of Buyer in this Section 6 or of the occurrence of
any event that may make the satisfaction of the conditions in Section 9
impossible or unlikely.

      6.7   REFUNDS OF PURSE MONEY TO SELLER

           Buyer will, or will cause the Acquired Companies to, forward to EJDC
any amounts received by Buyer or either Acquired Company after the Closing Date
as a refund of purse money which (a) was advanced by either Seller or any
Related Person prior to the Closing Date and (b) is refundable to the payor
pursuant to the letter dated August 10, 1999 from the Oklahoma HBPA to the
Oklahoma Commission.

7.    TAX MATTERS

           The following provisions will govern the allocation of responsibility
as between Buyer and Sellers for certain Tax matters following the Closing Date:

      7.1   TAX PERIODS ENDING ON OR BEFORE THE CLOSING DATE

           Buyer will prepare or cause to be prepared and file or cause to be
filed all Tax Returns for the Acquired Companies for all periods ending on or
prior to the Closing Date which are filed after the Closing Date, other than (i)
income or franchise Tax Returns with respect to periods for which a
consolidated, unitary or combined income or franchise Tax Return of EJDC will
include the operations of either or both of the Acquired Companies (such
consolidated, unitary or combined Tax Returns to be prepared by EJDC) and (ii)
the federal and state income tax returns of Remington for the taxable period
ended December 31, 1998. Buyer will permit Sellers to review and comment on each
such Tax Return described in the preceding sentence prior to filing and will
make such revisions to such Tax Returns as are reasonably requested by Sellers.
In this regard, requested revisions that are consistent with the past practices
and customs of the Acquired Companies shall be deemed to be reasonable. Sellers
will reimburse Buyer for Taxes of the Acquired Companies with respect to such
periods within fifteen (15) days after payment by Buyer or the Acquired
Companies of such Taxes, to the extent that such Taxes are neither (a) reflected
in the reserve for Tax Liability shown on the Interim Balance Sheets, as
adjusted for operations and transactions through the Closing Date, nor (b)
incurred in the Ordinary Course of Business since January 1, 1999. Sellers will
be responsible for the payment of any Taxes of the Acquired Companies for which
a consolidated, unitary or combined income Tax Return of EJDC includes the
operations of the Acquired Companies. EJDC shall provide Buyer with pro forma
Tax Returns of the Acquired Companies relating to such consolidated, unitary or
combined Tax Returns. To the extent reasonably practicable, EJDC shall provide
Buyer with such pro forma Tax Returns at least thirty (30) days prior to filing,
although EJDC shall have no duty or obligation to make any such revisions
thereto as Buyer may request.

`     7.2   TAX PERIODS BEGINNING BEFORE AND ENDING AFTER CLOSING DATE

           Buyer will prepare or cause to be prepared and file or cause to be
filed any Tax Returns of the Acquired Companies for Tax periods which begin
before the Closing Date and

                                       42
<PAGE>

end after the Closing Date. Sellers will pay to Buyer within fifteen (15) days
after the date on which Taxes are paid with respect to such periods an amount
equal to the portion of such Taxes which relates to the portion of such taxable
period ending on the Closing Date, to the extent such Taxes were neither
incurred in the Ordinary Course of Business nor reflected in the reserve or
accruals for Taxes shown on the Interim Balance Sheets, as adjusted for
operations and transactions through the Closing Date. For purposes of this
Section, in the case of any Taxes that are imposed on a periodic basis and are
payable for a taxable period that includes (but does not end on) the Closing
Date, the portion of such Tax which relates to the portion of such taxable
period ending on the Closing Date will (a) in the case of any Taxes other than
Taxes based upon or related to income or receipts, be deemed to be the amount of
such Tax for the entire taxable period multiplied by a fraction, the numerator
of which is the number of days in the taxable period ending on the Closing Date
and the denominator of which is the number of days in the entire taxable period,
and (b) in the case of any Tax based upon or related to income or receipts be
deemed equal to the amount which would be payable if the relevant taxable period
ended on the Closing Date. All determinations necessary to give effect to the
foregoing allocations will be made in a manner consistent with prior practice of
the Acquired Companies.

      7.3   REFUNDS AND TAX BENEFITS

           Any Tax refunds received by Buyer or the Acquired Companies and any
amounts credited against Tax to which Buyer or the Acquired Companies become
entitled, in each case relating to Tax periods or portions thereof ending on or
before the Closing Date, will be for the account of Sellers to the extent that
such Tax refund or credit is not reflected on the Interim Balance Sheets, and
Buyer will pay over to Sellers any such refund or the amount of any such credit
within fifteen (15) days after receipt thereof or entitlement thereto.
Notwithstanding the foregoing: (a) Buyer shall not be required to reimburse
Sellers for net operating losses or other carryovers allocable to the Acquired
Companies which are utilized by the Buyer or the Acquired Companies in taxable
periods beginning on or after the Closing Date and (b) racetrack tax rebates
under Section 3769-20 of the Ohio Revised Code which are utilized by Buyer or
the Acquired Companies in taxable periods beginning on or after the Closing Date
shall not be for the account of, and shall not be paid over to, Sellers.

      7.4   COOPERATION ON TAX MATTERS

           (a) Buyer, the Acquired Companies and Sellers will cooperate fully,
as and to the extent reasonably requested by the other party, in connection with
the filing of Tax Returns pursuant to this Article and any audit, litigation or
other proceeding with respect to Taxes. Such cooperation will include the
retention and (upon the other party's request) the provision of records and
information which are reasonably relevant to any such audit, litigation or other
Proceeding and making employees available on a mutually convenient basis to
provide additional information and explanation of any material provided
hereunder. The Acquired Companies and Sellers agree (i) to retain all books and
records with respect to Tax matters pertinent to the Acquired Companies relating
to any taxable period beginning before the Closing Date until the expiration of
the statute of limitations (and, to the extent notified by Buyer or Sellers, any
extensions thereof) of the respective taxable periods, and to abide by all
record retention agreements entered into with any taxing authority, and (ii) to
give the other party reasonable written notice prior to transferring, destroying
or discarding any such books and

                                       43
<PAGE>

records and, if the other party so requests, the Acquired Companies or Sellers,
as the case may be, will allow the other party to take possession of such books
and records (unless such books and records relate to a consolidated, unitary or
combined Tax Return).

           (b) Buyer and Sellers further agree, upon request, to use their Best
Efforts to obtain any certificate or other document from any Governmental
Authority or any other Person as may be necessary to mitigate, reduce or
eliminate any Tax that could be imposed (including, but not limited to, with
respect to the Contemplated Transactions).

           (c) Buyer and Sellers further agree, upon request, to provide the
other party with all information that either party may be required to report
pursuant to Section 6043 of the IRC and all Treasury Department Regulations
promulgated thereunder.

8.    CONDITIONS PRECEDENT TO BUYER'S OBLIGATION TO CLOSE

           Buyer's obligation to purchase the Shares and to take the other
actions required to be taken by Buyer at the Closing is subject to the
satisfaction, at or prior to the Closing, of each of the following conditions
(any of which may be waived by Buyer, in whole or in part):

      8.1   ACCURACY OF REPRESENTATIONS

           Each of Sellers' representations and warranties in this Agreement
must have been accurate in all material respects as of the date of this
Agreement, and must be accurate in all material respects as of the Closing Date
as if made on the Closing Date, without giving effect to any supplement to the
Disclosure Letter.

      8.2   SELLERS' PERFORMANCE

           (a) Each of the covenants and obligations that Sellers are required
to perform or to comply with pursuant to this Agreement at or prior to the
Closing must have been duly performed and complied with in all material
respects.

           (b) Each document required to be delivered pursuant to Section 2.4
must have been delivered.

      8.3   CONSENTS

           Each of the Consents identified in Part 3.2 of the Disclosure Letter,
and each Consent identified in Section 4.2, must have been obtained and must be
in full force and effect.

      8.4   ADDITIONAL DOCUMENTS

           Each of the following documents must have been delivered to Buyer:

           (a) an opinion of Benesch, Friedlander, Coplan & Aronoff, LLP, dated
the Closing Date, in the form of Exhibit 8.4(a);

                                       44
<PAGE>

           (b) an opinion of Kirk & Chaney, Oklahoma counsel to the Sellers,
dated the Closing Date, in the form of Exhibit 8.4(b);

           (c) one or more ALTA extended owner's or leasehold, as the case may
be, coverage title insurance policies issued by First American Title Insurance
Company, with 50% coinsurance by Commonwealth Land Title Insurance Company,
insuring the Acquired Companies fee title or leasehold interest, as the case may
be, in the Real Property in the amounts of $14,000,000 with respect to
Thistledown and $10,000,000 with respect to Remington, subject only to such
exceptions as are reasonably acceptable to Buyer and containing such
endorsements as are reasonably requested by Buyer;

           (d) written resignations of the directors of the Acquired Companies;

           (e) landlord estoppels from Remington landlords, in form and
substance satisfactory to Buyer; and

           (f) such other documents as Buyer may reasonably request for the
purpose of (i) enabling its counsel to provide the opinion referred to in
Section 9.3(a), (ii) evidencing the accuracy of any of Sellers' representations
and warranties, (iii) evidencing the performance by either Seller of, or the
compliance by either Seller with, any covenant or obligation required to be
performed or complied with by such Seller, (iv) evidencing the satisfaction of
any condition referred to in this Section 8, or (v) otherwise facilitating the
consummation or performance of any of the Contemplated Transactions.

      8.5   NO PROCEEDINGS

           Since the date of this Agreement, there must not have been commenced
against Buyer, or against any Person affiliated with Buyer, any Proceeding (a)
involving any challenge to, or seeking damages or other relief in connection
with, any of the Contemplated Transactions, or (b) that may have the effect of
preventing, delaying, making illegal, or otherwise interfering with any of the
Contemplated Transactions.

      8.6   NO CLAIM REGARDING STOCK OWNERSHIP OR SALE PROCEEDS

           There must not have been made by any Person any claim asserting that
such Person (a) is the holder or the beneficial owner of, or has the right to
acquire or to obtain beneficial ownership of, any stock of, or any other voting,
equity, or ownership interest in, any of the Acquired Companies, or (b) other
than EJDC, with respect to the Remington Purchase Price, is entitled to all or
any portion of the Purchase Price payable for the Shares.

      8.7   HSR ACT

           The waiting period under the HSR Act shall have expired or been
terminated.

                                       45
<PAGE>

      8.8   COMMISSION APPROVALS

           Each of the Commissions shall have approved the Contemplated
Transactions to the extent required by applicable Legal Requirements.

9.    CONDITIONS PRECEDENT TO SELLERS' OBLIGATION TO CLOSE

           Sellers' obligation to sell the Shares and to take the other actions
required to be taken by Sellers at the Closing is subject to the satisfaction,
at or prior to the Closing, of each of the following conditions (any of which
may be waived by Sellers, in whole or in part):

      9.1   ACCURACY OF REPRESENTATIONS

           Each of Buyer's representations and warranties in this Agreement must
have been accurate in all material respects as of the date of this Agreement and
must be accurate in all material respects as of the Closing Date as if made on
the Closing Date.

      9.2   BUYER'S PERFORMANCE

           (a) Each of the covenants and obligations that Buyer is required to
perform or to comply with pursuant to this Agreement at or prior to the Closing
must have been performed and complied with in all material respects.

           (b) Buyer must have delivered each of the documents required to be
delivered by, and made each of the payments required to be made by, Buyer
pursuant to Section 2.4.

      9.3   ADDITIONAL DOCUMENTS

           Buyer must have caused the following documents to be delivered to
Sellers:

           (a) an opinion of O'Melveny & Myers LLP, dated the Closing Date, in
the form of Exhibit 9.3(a); and

           (b) such other documents as Sellers may reasonably request for the
purpose of (i) enabling their counsel to provide the opinions referred to in
Sections 8.4(a) and 8.4(b), (ii) evidencing the accuracy of any representation
or warranty of Buyer, (iii) evidencing the performance by Buyer of, or the
compliance by Buyer with, any covenant or obligation required to be performed or
complied with by Buyer, (iv) evidencing the satisfaction of any condition
referred to in this Section 9, or (v) otherwise facilitating the consummation of
any of the Contemplated Transactions.

      9.4   NO PROCEEDINGS

           Since the date of this Agreement, there must not have been commenced
against either Seller, or against any Person affiliated with either Seller, any
Proceeding (a) involving any challenge to, or seeking damages or other relief in
connection with, any of the Contemplated

                                       46
<PAGE>

Transactions, or (b) that may have the effect of preventing, delaying, making
illegal, or otherwise interfering with any of the Contemplated Transactions.

      9.5   HSR ACT

           The waiting period under the HSR Act shall have expired or been
terminated.

10.   TERMINATION

      10.1  TERMINATION EVENTS

           This Agreement may, by notice given prior to or at the Closing, be
terminated:

           (a) by either Buyer or Sellers if a material Breach of any provision
of this Agreement has been committed by the other party and such Breach has not
been waived;

           (b) by Buyer if any of the conditions in Section 8 has not been
satisfied as of the Closing Date or if satisfaction of such a condition is or
becomes impossible (other than through the failure of Buyer to comply with its
obligations under this Agreement) and Buyer has not waived such condition on or
before the Closing Date; or (ii) by Sellers, if any of the conditions in Section
9 has not been satisfied as of the Closing Date or if satisfaction of such a
condition is or becomes impossible (other than through the failure of Sellers to
comply with their obligations under this Agreement) and Sellers have not waived
such condition on or before the Closing Date;

           (c) by mutual consent of Buyer and Sellers; or

           (d) by either Buyer or Sellers if the Closing has not occurred (other
than through the failure of any party seeking to terminate this Agreement to
comply fully with its obligations under this Agreement) on or before November
30, 1999, or such later date as the parties may agree upon.

      10.2  EFFECT OF TERMINATION

           Each party's right of termination under Section 10.1 is in addition
to any other rights it may have under this Agreement or otherwise, and the
exercise of a right of termination will not be an election of remedies. If this
Agreement is terminated pursuant to Section 10.1, all further obligations of the
parties under this Agreement will terminate, except that the obligations in
Sections 12.1, 12.2 and 12.3 will survive; provided, however, that if this
Agreement is terminated by a party because of the Breach of the Agreement by the
other party or because one or more of the conditions to the terminating party's
obligations under this Agreement is not satisfied as a result of the other
party's failure to comply with its obligations under this Agreement, the
terminating party's right to pursue all legal remedies will survive such
termination unimpaired.

                                       47
<PAGE>

11.   INDEMNIFICATION; REMEDIES

      11.1  SURVIVAL

           All representations, warranties, covenants, and obligations in this
Agreement, the Disclosure Letter, any supplement to the Disclosure Letter and
the certificate delivered pursuant to Section 2.4(a)(ii) will survive the
Closing.

      11.2  INDEMNIFICATION AND PAYMENT OF DAMAGES BY EJDC

           EJDC will indemnify and hold harmless Buyer, the Acquired Companies,
and their respective Representatives, stockholders, controlling persons, and
affiliates (collectively, the "Indemnified Persons") for, and will pay to the
Indemnified Persons the amount of, any loss, liability, claim, damage, expense
(including costs of investigation and defense and reasonable attorneys' fees) or
diminution of value, whether or not involving a third-party claim (collectively,
"Damages"), arising, directly or indirectly, from or in connection with:

           (a) any Breach of any representation or warranty made by Sellers in
this Agreement, the Disclosure Letter, any supplement to the Disclosure Letter,
or any other certificate or document delivered by Sellers pursuant to this
Agreement;

           (b) any Breach by either Seller of any covenant or obligation of such
Seller in this Agreement; or

           (c) any claim by any Person for brokerage or finder's fees or
commissions or similar payments based upon any agreement or understanding
alleged to have been made by any such Person with either Seller or any Acquired
Company (or any Person acting on their behalf) in connection with any of the
Contemplated Transactions.

           The remedies provided in this Section 11.2 will be the exclusive
post-Closing remedies available to Buyer or the other Indemnified Persons.

      11.3  INDEMNIFICATION AND PAYMENT OF DAMAGES BY BUYER

           Buyer will indemnify and hold harmless Sellers, and will pay to
Sellers the amount of any Damages arising, directly or indirectly, from or in
connection with (a) any Breach of any representation or warranty made by Buyer
in this Agreement or in any certificate or document delivered by Buyer pursuant
to this Agreement, (b) any Breach by Buyer of any covenant or obligation of
Buyer in this Agreement, or (c) any claim by any Person for brokerage or
finder's fees or commissions or similar payments based upon any agreement or
understanding alleged to have been made by such Person with Buyer (or any Person
acting on its behalf) in connection with any of the Contemplated Transactions,
or (d) any additional Taxes payable by Sellers (including Taxes payable due to
this indemnification payment) resulting from any transaction not in the Ordinary
Course of Business by the Acquired Companies on the Closing Date after the
Closing. Buyer will also indemnify and hold harmless EJDC, and pay to EJDC the
amount of any Damages arising or resulting from the existence of (i) the 1995
guaranty by EJDC of that certain John Deere Master Lease Agreement dated October
29, 1995 by and between Deere Credit, Inc. and Thistledown's predecessor
(provided that such guaranty relates to that

                                       48
<PAGE>

certain master lease agreement accepted by lessor on January 6, 1996) and (ii)
the 1995 guaranty by EJDC of that certain John Deere Master Lease Agreement
effective September 20, 1995 by and between Deere Credit, Inc. and Remington.
Such indemnification will be in accordance with the provisions set forth in this
Article 11; provided, however that the limitations set forth in Section 11.6
will not apply to any claim for indemnification made pursuant to the preceding
sentence of this Section 11.3.

           The remedies provided in this Section 11.3 will be the exclusive
post-Closing remedies available to Sellers.

      11.4  TIME LIMITATIONS

           If the Closing occurs, Sellers will have no liability with respect to
any representation or warranty, or covenant or obligation to be performed and
complied with prior to the Closing Date, other than those in Sections 3.3, 3.11,
3.13, and 3.19, unless on or before March 31, 2001 Buyer notifies Sellers of a
claim specifying the factual basis of that claim in reasonable detail to the
extent then known by Buyer; a claim with respect to Section 3.11, 3.13, or 3.19
may be made at any time on or before December 31, 2002, or, in the case of
Section 3.11, the expiration of the applicable statute of limitations, whichever
is later; a claim with respect to Section 3.3 may be made at any time. If the
Closing occurs, Buyer will have no liability with respect to any representation
or warranty, or covenant or obligation to be performed and complied with prior
to the Closing Date, other than those in Section 4.3, unless on or before March
31, 2001 Sellers notify Buyer of a claim specifying the factual basis of that
claim in reasonable detail to the extent then known by Sellers; a claim with
respect to Section 4.3 may be made at any time.

      11.5  LIMITATIONS ON AMOUNT-- EJDC

           EJDC will have no liability (for indemnification or otherwise) with
respect to the matters described in clause (a) or, to the extent relating to any
failure to perform or comply prior to the Closing Date, clause (b) of Section
11.2 until the total of all Damages with respect to such matters exceeds
$400,000, and then only for the amount by which such total Damages exceed
$200,000, and its indemnification obligations with respect to such matters shall
be limited, in the aggregate, to $12,500,000. EJDC may make payment with respect
to any indemnification either in cash or by transferring to Buyer an appropriate
number of Buyer Shares at their then current market value.

      11.6  LIMITATIONS ON AMOUNT-- BUYER

           Buyer will have no liability (for indemnification or otherwise) with
respect to the matters described in clause (a) or, to the extent relating to any
failure to perform or comply prior to the Closing Date, clause (b) of Section
11.3 until the total of all Damages with respect to such matters exceeds
$400,000.

      11.7  PROCEDURE FOR INDEMNIFICATION-- THIRD PARTY CLAIMS

           (a) Promptly after receipt by an indemnified party under Section 11.2
or 11.3, of notice of the commencement of any Proceeding against it, such
indemnified party

                                       49
<PAGE>

will, if a claim is to be made against an indemnifying party under such Section,
give notice to the indemnifying party of the commencement of such claim
including reasonable detail relating to such claim to the extent then known by
the indemnified party, but the failure to notify the indemnifying party will not
relieve the indemnifying party of any liability that it may have to any
indemnified party, except to the extent that the indemnifying party demonstrates
that the defense of such action is prejudiced by the indemnified party's failure
to give such notice.

           (b) If any Proceeding referred to in Section 11.7(a) is brought
against an indemnified party and it gives notice to the indemnifying party of
the commencement of such Proceeding, the indemnifying party will be entitled to
participate in such Proceeding and, to the extent that it wishes (unless (i) the
indemnifying party is also a party to such Proceeding and the indemnified party
determines in good faith that joint representation would be inappropriate, or
(ii) the indemnifying party fails to provide reasonable assurance to the
indemnified party of its financial capacity to defend such Proceeding and
provide indemnification with respect to such Proceeding), to assume the defense
of such Proceeding with counsel reasonably satisfactory to the indemnified party
and, after notice from the indemnifying party to the indemnified party of its
election to assume the defense of such Proceeding, the indemnifying party will
not, as long as it diligently conducts such defense, be liable to the
indemnified party under this Section 11 for any fees of other counsel or any
other expenses with respect to the defense of such Proceeding, in each case
subsequently incurred by the indemnified party in connection with the defense of
such Proceeding.

           If the indemnifying party assumes the defense of a Proceeding, (i) it
will be conclusively established for purposes of this Agreement that the claims
made in that Proceeding are within the scope of and subject to indemnification;
(ii) no compromise or settlement of such claims may be effected by the
indemnifying party without the indemnified party's consent unless (A) there is
no finding or admission of any violation of Legal Requirements or any violation
of the rights of any Person and no effect on any other claims that may be made
against the indemnified party, and (B) the sole relief provided is monetary
damages that are paid in full by the indemnifying party; and (iii) the
indemnified party will have no liability with respect to any compromise or
settlement of such claims effected without its consent. If notice is given to an
indemnifying party of the commencement of any Proceeding, such notice
specifically refers to this Section and asserts a right of indemnification
hereunder, and the indemnifying party does not, within ten days after the
indemnified party's notice is given, give notice to the indemnified party of its
election to assume the defense of such Proceeding, the indemnifying party will
be bound by any determination made in such Proceeding or any compromise or
settlement effected by the indemnified party.

           (c) Notwithstanding the foregoing, if an indemnified party determines
in good faith that there is a reasonable probability that a Proceeding may
adversely affect it or its affiliates other than as a result of monetary damages
for which it would be entitled to indemnification under this Agreement, the
indemnified party may, by notice to the indemnifying party, assume the exclusive
right to defend, compromise, or settle such Proceeding, but the indemnifying
party will not be bound by any determination of a Proceeding so defended or any
compromise or settlement effected without its consent (which may not be
unreasonably withheld). Notwithstanding anything to the contrary in this Article
11, including the preceding sentence, EJDC shall have the sole and exclusive
right to defend any Proceeding relating to a

                                       50
<PAGE>

consolidated, combined or unitary Tax Return of EJDC; provided that EJDC shall
promptly notify and keep the Acquired Companies informed of any written or other
significant communications received by it with respect to any such Proceeding
that relates to the Acquired Companies and shall provide the Acquired Companies
with the opportunity to present EJDC with memoranda and position paper with
respect to any such Proceeding (to the extent such Proceeding relates to the
Acquired Companies).

           (d) Sellers hereby consent to the non-exclusive jurisdiction of any
court in which a Proceeding is brought against any Indemnified Person for
purposes of any claim that an Indemnified Person may have under this Agreement
with respect to such Proceeding or the matters alleged therein, and agree that
process may be served on Sellers with respect to such a claim anywhere in the
world.

      11.8  PROCEDURE FOR INDEMNIFICATION-- OTHER CLAIMS

           A claim for indemnification for any matter not involving a
third-party claim may be asserted by notice to the party from whom
indemnification is sought.

      11.9  DETERMINATION OF DAMAGES, ETC.

           In determining Damages, the parties will make appropriate adjustments
for Tax consequences and insurance coverage and will take into account the time
value of money. All payments under this Section 11 will be deemed adjustments to
the Purchase Price.

12.   GENERAL PROVISIONS

      12.1  EXPENSES

           Except as otherwise expressly provided in this Agreement, each party
to this Agreement will bear its respective expenses incurred in connection with
the preparation, execution, and performance of this Agreement and the
Contemplated Transactions, including all fees and expenses of agents,
representatives, counsel, and accountants. Buyer will pay the HSR Act filing
fee. Sellers will pay the cost of the title insurance policy referred to in
Section 8.4(c), including any endorsements requested by Buyer in an amount not
to exceed $45,650. Sellers will cause the Acquired Companies not to incur any
out-of-pocket expenses in connection with the preparation, negotiation and
closing of this Agreement. In the event of termination of this Agreement, the
obligation of each party to pay its own expenses will be subject to any rights
of such party arising from a breach of this Agreement by another party.

      12.2  PUBLIC ANNOUNCEMENTS

           Except pursuant to Legal Requirement, filing under the HSR Act or any
Proceeding before either of the Commissions or with the prior written consent of
the other party, neither Sellers nor Buyer will, or will allow their respective
Representatives to, directly or indirectly make any public comment, statement or
communication with respect to, or otherwise disclose or permit the disclosure
of, the Contemplated Transactions or any of the terms, conditions or other
aspects thereof. If Legal Requirement requires such disclosure, the party under
such requirement must first provide to the other party (no less than 5 business
days prior to

                                       51
<PAGE>

such proposed disclosure) the content of the disclosure, the reasons that such
disclosure is required, the time and place that the disclosure will be made, and
an opportunity to comment upon the form of such proposed disclosure.

      12.3  CONFIDENTIALITY

           Between the date of this Agreement and the Closing Date, Buyer and
Sellers will maintain in confidence, and will cause the directors, officers,
employees, agents, and advisors of Buyer, Sellers and the Acquired Companies to
maintain in confidence, any information furnished by another party or an
Acquired Company in connection with this Agreement or the Contemplated
Transactions, unless (a) such information is already known to such party or to
others not bound by a duty of confidentiality or such information becomes
publicly available through no fault of such party, (b) the use of such
information is necessary or appropriate in making any filing or obtaining any
consent or approval required for the consummation of the Contemplated
Transactions, or (c) the furnishing or use of such information is required by or
necessary or appropriate in connection with legal proceedings.

           If the Contemplated Transactions are not consummated, each party will
return or destroy as much of such written information as the other party may
reasonably request.

      12.4  NOTICES

           All notices, consents, waivers, and other communications under this
Agreement must be in writing and will be deemed to have been duly given when (a)
delivered by hand (with written confirmation of receipt), (b) sent by telecopier
(with written confirmation of receipt), or (c) when received by the addressee,
if sent by a nationally recognized overnight delivery service (receipt
requested), in each case to the appropriate addresses and telecopier numbers set
forth below (or to such other addresses and telecopier numbers as a party may
designate by notice to the other parties):

           Sellers:  The Edward J. DeBartolo Corporation and
                     Oklahoma Racing LLC
                     7620 Market Street
                     Post Office Box 9128
                     Youngstown, Ohio 44513
                     Facsimile:  330-965-4062
                     Attention: Mr. Timon M. Kaple

                     With a copy to:

                     Benesch, Friedlander, Coplan & Aronoff, LLP
                     2300 BP Tower
                     200 Public Square
                     Cleveland, Ohio 44114
                     Facsimile:  216-363-4588
                     Attention:  David S. Inglis, Esq.

                                       52
<PAGE>

              Buyer: MI Venture Inc.
                     c/o Magna International Inc.
                     337 Magna Drive
                     Aurora, Ontario, Canada L4G7K1
                     Facsimile: 905-726-7177
                     Attention:  Mr. James Nicol

                     With a copy to:

                     O'Melveny & Myers LLP
                     400 South Hope Street
                     Los Angeles, California 90071-2899
                     Facsimile: 213-430-6407
                     Attention: Frederick B. McLane, Esq.

      12.5  FURTHER ASSURANCES

           The parties agree (a) to furnish upon request to each other such
further information, (b) to execute and deliver to each other such other
documents, and (c) to do such other acts and things, all as the other party may
reasonably request for the purpose of carrying out the intent of this Agreement
and the documents referred to in this Agreement.

      12.6  WAIVER

           The rights and remedies of the parties to this Agreement are
cumulative and not alternative. Neither the failure nor any delay by any party
in exercising any right, power, or privilege under this Agreement or the
documents referred to in this Agreement will operate as a waiver of such right,
power, or privilege, and no single or partial exercise of any such right, power,
or privilege will preclude any other or further exercise of such right, power,
or privilege or the exercise of any other right, power, or privilege. To the
maximum extent permitted by applicable law, (a) no claim or right arising out of
this Agreement or the documents referred to in this Agreement can be discharged
by one party, in whole or in part, by a waiver or renunciation of the claim or
right unless in writing signed by the other party; (b) no waiver that may be
given by a party will be applicable except in the specific instance for which it
is given; and (c) no notice to or demand on one party will be deemed to be a
waiver of any obligation of such party or of the right of the party giving such
notice or demand to take further action without notice or demand as provided in
this Agreement or the documents referred to in this Agreement.

      12.7  ENTIRE AGREEMENT AND MODIFICATION

           This Agreement supersedes all prior agreements between the parties
with respect to its subject matter (including the Letter of Intent between Buyer
and Sellers dated July 8, 1999) and constitutes (along with the documents
referred to in this Agreement) a complete and exclusive statement of the terms
of the agreement between the parties with respect to its subject matter. This
Agreement may not be amended except by a written agreement executed by the party
to be charged with the amendment.

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<PAGE>

      12.8  DISCLOSURE LETTER

           (a) The disclosures in the Disclosure Letter, and those in any
Supplement thereto, must relate only to the representations and warranties in
the Section of the Agreement to which they expressly relate and not to any other
representation or warranty in this Agreement.

(b)   In the event of any  inconsistency  between the  statements in the body of
      this Agreement and those in the Disclosure Letter (other than an exception
      expressly  set forth as such in the  Disclosure  Letter with  respect to a
      specifically identified representation or warranty), the statements in the
      body of this Agreement will control.

      12.9  ASSIGNMENTS, SUCCESSORS, AND NO THIRD-PARTY RIGHTS

           Neither party may assign any of its rights under this Agreement
without the prior consent of the other parties, except that (a) Buyer may assign
any of its rights under this Agreement to any Subsidiary of Buyer and (b) EJDC
may assign its rights and obligations under this Agreement to an entity owned or
controlled by Denise DeBartolo York in the event that it sells, conveys,
transfers, assigns, contributes or otherwise delivers the Thistledown Shares to
such entity, provided, that (i) such entity specifically assumes all of such
obligations in form and substance satisfactory to Buyer and (ii) EJDC represents
and warrants to Buyer at the time of the assignment that such entity's Book
Value is at that time greater than $100,000,000. Subject to the preceding
sentence, this Agreement will apply to, be binding in all respects upon, and
inure to the benefit of the successors and permitted assigns of the parties.
Nothing expressed or referred to in this Agreement will be construed to give any
Person other than the parties to this Agreement any legal or equitable right,
remedy, or claim under or with respect to this Agreement or any provision of
this Agreement. This Agreement and all of its provisions and conditions are for
the sole and exclusive benefit of the parties to this Agreement and their
successors and assigns.

      12.10 SEVERABILITY

           If any provision of this Agreement is held invalid or unenforceable
by any court of competent jurisdiction, the other provisions of this Agreement
will remain in full force and effect. Any provision of this Agreement held
invalid or unenforceable only in part or degree will remain in full force and
effect to the extent not held invalid or unenforceable.

      12.11 SECTION HEADINGS, CONSTRUCTION

           The headings of Sections in this Agreement are provided for
convenience only and will not affect its construction or interpretation. All
references to "Section" or "Sections" refer to the corresponding Section or
Sections of this Agreement. All words used in this Agreement will be construed
to be of such gender or number as the circumstances require. Unless otherwise
expressly provided, the word "including" does not limit the preceding words or
terms.

                                       54
<PAGE>

      12.12 TIME OF ESSENCE

           With regard to all dates and time periods set forth or referred to in
this Agreement, time is of the essence.

      12.13 GOVERNING LAW

           This Agreement will be governed by the laws of the State of Delaware
without regard to conflicts of laws principles.

      12.14 COUNTERPARTS

           This Agreement may be executed in one or more counterparts, each of
which will be deemed to be an original copy of this Agreement and all of which,
when taken together, will be deemed to constitute one and the same agreement.

                  [Remainder of page intentionally left blank]

                                      55

<PAGE>

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

MI VENTURE INC.

By: _______________________________________

Name: _____________________________________

Title: ____________________________________

THE EDWARD J. DEBARTOLO CORPORATION

By: _______________________________________

Name: _____________________________________

Title: ____________________________________

OKLAHOMA RACING LLC

By: _______________________________________

Name: _____________________________________

Title: ____________________________________

                                      S-1

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