Document:

Point Cadet Compromise and Settlement Agreement

 Exhibit 10.29 
 POINT CADET COMPROMISE AND SETTLEMENT AGREEMENT 
 THIS AGREEMENT is made and entered on the 15th day of August, 2002, by and between the following parties— 
 the SECRETARY OF STATE for and on behalf of the State of Mississippi in his capacity as land commissioner for the State of Mississippi and as trustee of the Public Trust for Tidelands and
Submerged Lands (STATE); 
 the CITY OF BILOXI, a municipal corporation (CITY); 
 the BOARD OF TRUSTEES OF STATE INSTITUTIONS OF HIGHER LEARNING in its own capacity and on behalf of the University of Southern
Mississippi, the Gulf Coast Research Laboratory, and the J. L. Scott Marine Education Center (collectively IHL); and 
 ISLE
OF CAPRI CASINOS, INC. and RIVERBOAT CORPORATION OF MISSISSIPPI, a Mississippi corporation, doing business as the Isle of Capri Casino (ISLE). 
 WHEREAS, STATE, CITY, IHL and ISLE desire to resolve long-standing, conflicting claims and disputes in and to the following described property, in the City of Biloxi, Second Judicial District of Harrison
County, Mississippi: 
 Said property is bounded on the North by U. S. Highway 90, also known as East Beach Boulevard; on the
West by an extension into the Gulf of Mexico of the east line of Lot 3, Block 4 of the Summerville Addition, a subdivision in the City of Biloxi, a map or plat of said subdivision being of record in the Office of the Chancery Clerk of Harrison
County, Mississippi; on the South and East by the Gulf of Mexico and/or Mississippi Sound and the Bay of Biloxi, LESS AND EXCEPT the property covered and described in the Sublease and Agreement by and between, Casino Parking, Inc., Covacevich
Yacht & Sail, Inc. and the City of Biloxi on September 24, 1993, a Recording Memorandum being of record in Book 263, Page 97, in the Office of the Chancery Clerk of Harrison County, Second Judicial District. 
 (Hereinafter referred to as POINT CADET PROPERTY, which is designated by cross-hatching on the plat on Exhibit A attached hereto.)

 AND WHEREAS, upon entry into the Union in 1817, the State of Mississippi became the sovereign owner for the use and
benefit of the people of all water bottoms and submerged lands and all lands within the ebb and flow of the tide and up to the line of mean high tide, said lands being commonly known as public trust tidelands and submerged lands; 
  

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 AND WHEREAS, the State of Mississippi’s title to and ownership of the public
trust tidelands may not be alienated or otherwise affected by avulsion or by filling or other artificial or non-natural means; 
 AND WHEREAS, the State of Mississippi asserts that POINT CADET PROPERTY was public trust tidelands at the time of statehood and has at all times since remained public trust tidelands; 
 AND WHEREAS, by various agreements, deeds and condemnation proceedings, CITY has acquired rights and claims to rights to a portion
of POINT CADET PROPERTY generally lying west of a line described as a southward extension of the West line of Lot 4 Block 5 of the Summerville Addition of the City of Biloxi, and CITY likewise claims ownership of said westerly part of POINT CADET
PROPERTY; CITY also claims leasehold interests in some of POINT CADET PROPERTY lying east of such southerly line extension; 
 AND WHEREAS, IHL acquired rights and claims to rights to a portion of POINT CADET PROPERTY generally lying East of a line described as the southward extension of the West line of Lot 4 Block 5 of the Summerville Addition of the City
of Biloxi, by three Quitclaim Deeds from the United States of America filed in the Land Records of the Chancery Clerk of the Second Judicial District of Harrison County, Mississippi: 
 Quitclaim dated November 1, 1973 in Book 44, Pages 374-386, 
 Quitclaim dated March 27, 1973 in Book 38, Pages 449-459 and 
 Quitclaim dated June 2, 1966 in Book 570, Pages 536-547. 
 IHL likewise claims ownership of said easterly part of POINT CADET
PROPERTY; 
 AND WHEREAS, ISLE does not claim any fee ownership of POINT CADET PROPERTY, but does hold leasehold
interests in POINT CADET PROPERTY on which it operates its business; 
 AND WHEREAS, unresolved disputes arising from
conflicting claims in and to POINT CADET PROPERTY have been an impediment to further development and the financing of development upon POINT CADET PROPERTY; 
 AND WHEREAS, believing it is in their best interests, STATE, CITY, IHL and ISLE desire to amicably resolve said disputes, and so avoid the financial costs, loss of time and the danger of
loss of possession of property which would inevitably result from potentially protracted litigation, and to enable continued use and development in a planned and orderly fashion without the uncertainties, added expense and delays caused by uncertain
titles and the possibility of litigation. 
  

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 NOW THEREFORE, in consideration of the premises and of the interests hereinbefore
identified and in recognition of the benefits hereunder flowing to each party under this AGREEMENT, STATE, CITY, IHL and ISLE, each intending to be bound by the entirety of this AGREEMENT, hereby agree as follows: 
  

	 I.
	 Definitions 

  

	 	 (1)
	 STATE LEASES shall mean and include the following tidelands leases— 

 (a) Lease from the Secretary of State to City of Biloxi dated July 15, 1988, of record in Book 197, Page 531, in the office of the
Chancery Clerk of Harrison County, Second Judicial District, together with any additional amendments thereto, covering the property designated by cross-hatching on the plat on Exhibit B attached hereto; 
 (b) Lease from the Secretary of State to City of Biloxi dated July 15, 1988, of record in Book 197, Page 546, in the office of the
Chancery Clerk of Harrison County, Second Judicial District, and Addendum to said lease dated April 26, 1995, of record in Book 283, Page 369, in the office of the Chancery Clerk of Harrison County, Second Judicial District, together with any
additional amendments thereto, covering the property designated by cross-hatching on the plat on Exhibit C attached hereto; 
  

	 	 (2)
	 IHL LEASE shall mean and include the following lease— 

 (a) Lease from the Board of Trustees of State Institutions of Higher Learning for and on behalf of the Gulf Coast Research Laboratory to Point Cadet Development Corporation dated December 2,
1985, of record in Book 165, Page 351, in the office of the Chancery Clerk of Harrison County, Second Judicial District, and First Addendum to Lease dated August 9, 1988, of record in Book 199, Page 275, in the office of the Chancery Clerk of
Harrison County, Second Judicial District, together with any additional amendments thereto, covering the property designated by cross-hatching on the plat on Exhibit D attached hereto; 
  

	 	 (3)
	 CITY LEASES shall mean and include the following leases— 

 (a) Lease from Point Cadet Development Corporation to Seventy-Six, Inc. dated May 12, 1986, of record in Book 177, Page 455, in the office of the Chancery Clerk of Harrison County, Second
Judicial District; Addendum to lease dated August 1, 1992, of record in Book 246, Page 502, in the office of the Chancery Clerk of Harrison County, Second Judicial District; Second Addendum to lease dated April 13, 1994, of record in Book
275, Page 559, in the office of the Chancery Clerk of Harrison County, Second Judicial District; Third Addendum to lease dated April 26, 1995, of record in Book 283, Page 315, in the office of the Chancery Clerk of Harrison County, Second
Judicial District; Renewal of said lease for additional term of 5 years beginning July 1, 1999, together with any 

  

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additional amendments and restatements to said lease and all renewals and extensions as provided therein, said lease generally referred to as the
“CASINO LEASE,” covering the properties designated by cross-hatching on the plat on Exhibit E attached hereto. 
 (b) Lease from the City of Biloxi, Mississippi to Riverboat Corporation of Mississippi dated April 13, 1994, a recording memorandum of which is of record Book 275, Page 570, in the office of the Chancery Clerk of Harrison County,
Second Judicial District; First Amendment to Lease dated April 26, 1995, of record in Book 283, Page 349, in the office of the Chancery Clerk of Harrison County, Second Judicial District; together with any additional amendments and restatements
to said lease and all renewals and extensions as provided therein, said lease generally referred to as the “HOTEL LEASE,” covering property designated by cross-hatching on the plat on Exhibit F attached hereto. 
 (c) The proposed ILSE lease covering NEW TRACT A and NEW TRACT B as described in Section V of this AGREEMENT. 
  

	 	 (4)
	 BERTH RENTAL AGREEMENT shall mean the Amendment and Restatement of Berth Rental Agreement dated May 12, 1992 between Biloxi Port Commission (BPC) and ISLE,
as amended by the Second Amendment to Berth Rental Agreement between BPC and ISLE dated August 13, 1996, and the Third Amendment to Berth Rental Agreement dated December 14, 1999, between BPC and ISLE, as it may from time to time be
further amended, modified, supplemented, restated, renewed or extended, covering the property designated by cross-hatching on the plat on Exhibit G attached hereto. 

  

	 	 (5)
	 ACCESS LEASE shall mean the Agreement dated November 3, 1997, between ISLE and IHL, as extended, covering the ACCESS TRACT. 

  

	 	 (6)
	 ACCESS TRACT shall mean the property designated by cross-hatching on the plat on Exhibit H attached hereto. 

  

	 	 (7)
	 SCOTT LEASE shall mean the lease from STATE and CITY to IHL described in Paragraph II(5) hereof. 

  

	 	 (8)
	 SCOTT CENTER shall mean the Gulf Coast Research Laboratory / J. L. Scott Marine Education Center. 

  

	 	 (9)
	 NEW TRACT A shall mean the property designated by Cross-hatching on the plat on Exhibit I attached hereto. 

  

	 	 (10)
	 NEW TRACT B shall mean the property designated by cross-hatching on the plat on Exhibit J attached hereto. 

  

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	 	 (11)
	 PARK CONVERSION TRACT shall mean the property designated by cross-hatching on the plat on Exhibit K attached hereto. 

  

	 	 (12)
	 BERTH EXPANSION TRACT shall mean the property designated by cross-hatching on the plat on Exhibit L attached hereto. 

  

	 II.
	 Settlement 

 (1) As a resolution of the tidelands boundary issues between STATE and CITY and in consideration of the mutual covenants, promises, and revenue sharing provisions contained in Paragraph IV hereof, it is agreed that (i) the interest of
CITY in the POINT CADET PROPERTY is a vested undivided one-third (1/3) interest; (ii) the interest of the State of Mississippi in the POINT CADET PROPERTY is a vested undivided two-thirds (2/3) interest; (iii) the undivided
two-thirds (2/3) interest of the State of Mississippi encompasses the claim of STATE that the POINT CADET PROPERTY is Public Trust Tidelands, together with the claim of IHL under deeds from the United States of America identified hereinabove;
(iv) that in lieu of litigating the claims of STATE, CITY and IHL to the POINT CADET PROPERTY, STATE, CITY and IHL agree to accept the benefits and obligations of this AGREEMENT and hereinafter be bound thereby; and (v) STATE and CITY
shall hereafter hold and administer the POINT CADET PROPERTY according to the terms of this AGREEMENT. 
 (2) All future
renewals, leases, assignments, easements, consents, waivers and other agreements including amendments and restatements thereto affecting POINT CADET PROPERTY or any interests therein must be executed jointly by STATE and CITY. Except with regard to
IHL’s participation in the NEW MASTER PLAN provided for in Paragraph VI hereof, IHL hereby irrevocably appoints and authorizes STATE to act in its behalf for all intents and purposes concerning POINT CADET PROPERTY, including execution of any
and all renewals, leases, assignments, easements, consents, waivers and other agreements including amendments and restatements thereto. In acting for IHL under this AGREEMENT, STATE will endeavor to maximize income for the benefit of IHL in
executing any and all future renewals, leases, assignments, easements, consents, waivers and other agreements including amendments and restatements thereto affecting said property. Prior to execution of any such renewals, leases, assignments,
easements, consents, waivers and other agreements including amendments and restatements, STATE will discuss such execution with IHL. 
 (3) STATE and CITY agree that POINT CADET PROPERTY shall be held as a tenancy in common as public trust property. 
 (4) STATE and CITY recognize that immediately prior to the execution of this AGREEMENT, IHL, an official body of the State of Mississippi, is in possession of a portion of POINT CADET PROPERTY generally lying east of
a southward extension of the west line of Lot 4, Block 5 of the Summerville Addition of the City of Biloxi, a map or plat of said subdivision being of record in the Office of the Chancery Clerk of Harrison County, Mississippi, Second Judicial
District subject however to the IHL LEASE, the ACCESS LEASE and the Intergovernmental Agreement between the Mississippi Commission on Natural Resources, IHL and CITY, as recorded in Land Deed Book 176, Page 369. IHL acknowledges that possession is

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 held for the use and benefit of the Gulf Coast Research Laboratory and the property in its exclusive
possession is currently occupied and used by the SCOTT CENTER. 
 (5) STATE and CITY will execute a lease to IHL for the use
and benefit of the Gulf Coast Research Laboratory. The lease will cover that portion of POINT CADET PROPERTY situated generally east of a line described as the southward extension of the West line of Lot 4 Block 5 of the Summerville Addition of the
City of Biloxi subject to existing leases on said property and LESS AND EXCEPT the property included in the IHL LEASE and designated by cross-hatching on that plat on Exhibit D attached hereto and NEW TRACT A and subject to (a) the right
of ISLE to use ACCESS TRACT for surface parking and access to NEW TRACT A and property covered by CASINO LEASE, (b) public access for Point Cadet Marina and property shown on Exhibit D, and (c) the Intergovernmental Agreement
between the Mississippi Commission on Natural Resources, IHL and CITY, as recorded in Land Deed Book 176, Page 369, in the Office of the Chancery Clerk of Harrison County, Second Judicial District. The rights of the ISLE under this provision shall
be coextensive with the term of its lease on NEW TRACT A and CASINO LEASE. The purpose of SCOTT LEASE shall be limited to the use by the Gulf Coast Research Laboratory to further its mission and purposes and specifically for the operation and
expansion of the SCOTT CENTER and/or other educationally sound programs, operations or facilities consistent with the NEW MASTER PLAN and all future amendments and updates to said plan. Any property included in the SCOTT LEASE that is subsequently
developed under the NEW MASTER PLAN will be released from the SCOTT LEASE, and STATE and CITY will execute a new lease for such development purposes. Subject to Paragraph IV(6) hereof, rent under any such new leases for development purposes will be
shared pursuant to IV(2) hereof. The SCOTT LEASE shall be exempt from any use or rental fees pursuant to MISS. CODE ANN. §29-15-13 and § 29-1-15. The term of the SCOTT LEASE shall be for 40
years with an option to renew for an additional 25 years, unless sooner terminated by the failure to use lease premises for the permitted purposes of the lease. 
  

	 III.
	 Status of Existing Leases and Obligations of the Parties Thereunder 

 (1) Upon execution and court approval of this AGREEMENT, (i) IHL and CITY shall execute a full release and termination of IHL LEASE
effective as of the date of court approval of this AGREEMENT, and (ii) STATE, IHL, CITY and ISLE recognize that the ACCESS LEASE expires by its own terms. Thereafter the right of IHL to occupy any part of POINT CADET PROPERTY and to receive
payments shall be governed by this AGREEMENT. 
 (2) Notwithstanding the termination of IHL LEASE, but subject to the
limitations contained in Paragraph IV(6) of this AGREEMENT, CITY shall pay to IHL each year to December 31, 2085 a sum equal to one-hundred twenty-five thousand and no/100 dollars ($125,000.00) less the amount of any payments to IHL made
pursuant to Section IV hereof. CITY and IHL shall enter an agreement regarding the time and manner of making the payment provided for in this paragraph and shall advise the Secretary of State regarding the disbursement from the “Point Cadet
Leasing Fund” of IHL’s share of rent under Section IV hereof. 
 (3) Promptly after execution and court approval of
this AGREEMENT, (i) STATE, CITY and ISLE shall execute amendments to CITY LEASES removing the lease provision 
  

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 requiring ISLE to pay all rents under IHL LEASE beginning in the year 2016 and removing the lease
provision requiring ISLE to pay one-half of rents under STATE LEASES, and otherwise deleting references therein to IHL and IHL LEASE; (ii) the CITY LEASES shall also be amended to extend the terms as being capable of running through
December 31, 2085 (including through the exercise of options by ISLE in its discretion) and to change the place for payment of rents thereunder consistent with Paragraph VIII hereof; (iii) the terms of the STATE LEASES shall be amended so
that the terms thereof are 40 years from the effective date of this AGREEMENT, with an option to renew for an additional 25 years; and (iv) STATE, CITY and ISLE agree to amend existing easements as necessary or appropriate to accommodate the
dredging, landfilling, wharfing and construction as contemplated by the cross-hatching on the plat on Exhibit L attached hereto. STATE, CITY and ISLE also shall be entitled to otherwise amend the CITY LEASES upon mutual agreement. 

(4) (a) In lieu of the rent provided in STATE LEASES, it is hereby agreed by STATE, CITY and ISLE that the annual rent to STATE
for the “Public Trust Tidelands Fund” shall be five hundred thousand and no/100 dollars ($500,000.00) payable on or before June 30th of each year, beginning June 30, 2002, during the term of STATE LEASES. Said rent shall
thereafter be adjusted every five years during the remaining term of STATE LEASES based on the All Urban Consumer Price Index-All Items (CPI) with the first adjustment effective beginning June 30, 2007 (for purposes of this paragraph,
hereinafter referred to as “State Rent”). So long as ISLE is a tenant of POINT CADET PROPERTY, ISLE hereby agrees to pay the full amount of “State Rent” as set forth in this AGREEMENT. It is specifically agreed and understood
that the terms of this paragraph setting the “State Rent” shall apply to all property covered and included in STATE LEASES whether or not a part of POINT CADET PROPERTY. It is acknowledged and agreed that, the rent obligation created in
this Paragraph III(4) hereof is the only rent obligation of the ISLE to the STATE under the STATE LEASES. If the CITY LEASES are ever amended and restated and the STATE LEASES become subsumed or incorporated therein, then the substance of this
paragraph shall be incorporated therein. 
 (b)
However, in the event that STATE and CITY lease any portion of POINT CADET PROPERTY covered by STATE LEASES to a non-governmental entity other than an entity owned or controlled by ISLE (for purposes of this paragraph, hereinafter referred to as
“Entity”), then each such lease shall provide that the “Entity” lessee shall be responsible for paying a portion of the “State Rent” to be calculated in the following manner: total number of square feet of property
included in STATE LEASES covered in “Entity” lease divided by the total number of square feet covered by STATE LEASES multiplied by the “State Rent.” During the existence of any such “Entity” lease, the obligation of
ISLE to pay the full amount of “State Rent” shall be reduced by that portion of “State Rent” required to be paid by “Entity” lessees under “Entity” leases. “Entity” leases shall further provide that
at the beginning of the first year of any “Entity” lease having an effective date other than June 30
th, the “Entity” lessee shall reimburse ISLE for “Entity” lessee’s prorated share of
“State Rent,” and in furtherance of such provision, “Entity” shall pay ISLE such prorated share of “State Rent” contemporaneously with the execution and deliver of the “Entity” lease. Thereafter, ISLE and each
“Entity” lessee shall pay “State Rent” on or before June 30th of each year in the manner
provided in Paragraph VIII hereof. CITY and STATE agree that the amount of “State Rent” is based upon the current commercial use of the site by the ISLE, and should the ISLE or a successor in interest to the ISLE no longer be contractually
bound to pay this sum, then the STATE and the CITY agree to re-evaluate the amount of “State Rent” due based upon the use of the property at that time. 
  

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 (5) STATE, CITY, IHL and ISLE acknowledge and recognize STATE LEASES and CITY LEASES,
which shall remain binding in all of their terms and provisions, except as may be inconsistent with the terms of this AGREEMENT. In the event of a conflict between STATE LEASES and this AGREEMENT or CITY LEASES and this AGREEMENT, then the terms of
this AGREEMENT shall control. Except as provided herein, all obligations and duties of any party to STATE LEASES and CITY LEASES shall remain the sole obligation and duty of each party in the same manner after this AGREEMENT as existed before this
AGREEMENT. Unless otherwise expressly provided in herein, this AGREEMENT is not intended to and shall not be construed to cause another party to assume or share any duties or obligations under the existing leases that were not an obligation of the
party prior to this AGREEMENT. 
 (6) Notwithstanding the provisions contained in Paragraph III(5) of this AGREEMENT, the
parties to this AGREEMENT acknowledge and recognize the following agreements affecting parts of POINT CADET PROPERTY, insofar as said agreements otherwise remain in force and effect, in addition to the existing STATE LEASES and CITY LEASES:

 (a) Intergovernmental Agreement between the Mississippi Commission on Natural Resources, IHL and CITY, as recorded in Land
Deed Book 176, Page 369, of the land record in the Office of the Chancery Clerk of Harrison County, Second Judicial District; 
 (b) The unrecorded Concession Agreement dated September 30, 1987, between the Point Cadet Development Corporation and Juan Hebert, Danny Pitalo, and George Pitalo (d/b/a Marina Point, Inc.); 
 (c) The Marina Lease between the Point Cadet Development Corporation and the Biloxi Port Commission dated May 23, 1986, as recorded
in Land Deed Book 176, Page 257; and as amended by an agreement dated November 17, 1986, which was recorded in Land Deed Book 179, Page 10, and by an agreement dated March 22, 1995, which was recorded in Land Deed Book 285, Page 115, of
record in the Office of the Chancery Clerk of Harrison County Second Judicial District. 
 (d) Boardwalk Easement between CITY
and Biloxi Port Commission dated February 10, 1989, and recorded in Land Deed Book 207, Page 42. 
 (e) A parking lot
agreement styled Modification of Memorandum of Agreement between CITY and Biloxi Port Commission dated July 5, 1989; 
 (f) All agreements, contracts, or covenants either created by or incurred in conjunction with the issuance of bonds or any other form of secured financing which encumbers any portion of the POINT CADET PROPERTY or is secured 
  

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by a pledge of either rents generated by or income created by any portion of the POINT CADET PROPERTY. 
 (g) Declaration of Shared Facilities Agreement dated April 26, 1995 by ISLE. 
  

	 IV.
	 The Division of Rents under Existing and Future Leases 

 (1) From and after the effective date of this AGREEMENT, all rents due or to become due under the terms and provisions of existing CITY LEASES, or under any future amendments, restatements,
extensions or renewals thereof, as well as under any new leases of the property included in CITY LEASES or any portion thereof, shall be divided and shared as follows: 
 (a) CITY will receive all rents up to an amount equal to two million seven hundred thirty-three thousand and no/100 dollars ($2, 733,000.00). 
 (b) All rents in excess of two million seven hundred thirty-three thousand and no/100 dollars ($2,733,000.00) will be divided as
follows— 
 One-third (1/3) to STATE 
 One-third (1/3) to IHL 
 One-third (1/3) to CITY. 

(2) All rents under any new leases of POINT CADET PROPERTY, or any portion thereof, other than new leases identified in Paragraph
IV(1) hereof, shall be divided and shared as follows— 
 One-third (1/3) to STATE 
 One-third (1/3) to IHL 
 One-third (1/3) to CITY. 
 (3) The collection and disbursement of all rents under
existing and future leases shall be made in accordance with Paragraph VIII hereof. This AGREEMENT upon court approval shall constitute notice to all obligated to pay rent of the change in rent collection procedures set forth in Article VIII hereof.

 (4) The share of rents allocated to STATE under this AGREEMENT shall be paid over to the “Public Trust Tidelands
Fund” upon disbursement from the “Point Cadet Leasing Fund” as defined in Article VIII of this AGREEMENT. 
 (5) The share of rents allocated to IHL will be dedicated to and used exclusively for the operation and expansion of SCOTT CENTER and/or other educationally sound programs, operations or facilities on POINT CADET PROPERTY upon disbursement
from the “Point Cadet Leasing Fund” as defined in Article VIII hereof. 
  

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 (6)(a) In the event that IHL abandons use of POINT CADET PROPERTY by the Gulf Coast
Research Laboratory and SCOTT CENTER, and/or other educationally sound programs, operations or facilities, in lieu of rent provided in Paragraph IV hereof, IHL shall receive the sum of One Million Two Hundred and Fifty Thousand Dollars
($1,250,000.00) payable in ten (10) equal annual installments, and thereafter all rights of IHL under this AGREEMENT and the SCOTT CENTER LEASE will terminate. STATE shall be responsible for paying two-thirds (2/3) of said sum and CITY
shall be responsible for paying one-third (1/3) of said sum. 
 (b) In the event operations of SCOTT
CENTER and/or other educationally sound programs, operations or facilities on POINT CADET PROPERTY are impeded, impaired, disturbed or ceased due to Acts of God, civil disturbance, acts of war, or other events outside the control of IHL, IHL shall
within one (1) year of the occurrence of such event elect whether to abandon use of Point Cadet Property pursuant to provisions of Paragraph IV(6)(a) hereof or whether to proceed under this Paragraph IV(6)(b) hereof. In the event IHL elects to
proceed under this Paragraph IV(6)(b) hereof, then IHL shall: (i) continue to receive rents as provided in Paragraph IV hereof; (ii) construct, repair or rebuild the SCOTT CENTER or other educationally sound programs, operations or
facilities on the POINT CADET PROPERTY; and (iii) complete the process of resuming operations on the POINT CADET PROPERTY within five (5) years, which period will be extended by STATE and CITY upon a showing by IHL of good faith effort to
resume operations. In the event IHL does not resume operation of the SCOTT CENTER or other educationally sound programs, operations or facilities within said five (5) year period, or any extensions thereof, then all rights of IHL under this
AGREEMENT and the SCOTT CENTER LEASE shall terminate, and the share of rent allocated to IHL under this AGREEMENT will thereafter be paid to STATE for the “Public Trust Tidelands Fund.” 
 (7) At the time provided in existing leases, ISLE will furnish STATE and CITY with detailed computations showing how rents were
calculated. The computation detail shall show at a minimum, rent computations for each lease and shall detail gross gaming and non-gaming revenues under each lease. Such information shall be deemed and held as confidential, commercial, financial and
proprietary. In addition, ISLE, at reasonable and mutually agreeable times, will make its financial records available to the STATE and CITY, in order to verify the accuracy of any rental payments on POINT CADET PROPERTY. 
  

	 V.
	 Proposed ISLE Multi-level Parking Garage 

 (1) STATE, CITY and IHL find acceptable, and hereby consent to, the placement on the southerly part of NEW TRACT A of a parking garage having (i) parking on grade level and at least an additional five elevated
parking levels, (ii) dimensions of approximately 260 feet by 310 feet +/-, and (iii) capacity for at least 1000 cars +/-, and having access thereto, all as generally depicted on the plat on Exhibit I-1 attached hereto. STATE, CITY
and ISLE shall enter into a lease regarding NEW TRACT A and NEW TRACT B concerning development and operation by ISLE of such garage and other parking and hotel and related facilities, and also incorporating rights to and over the ACCESS TRACT
(subject to Paragraph II(4) hereof). 
  

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 (2) ISLE agrees that (i) within ninety (90) days after ISLE begins to use the
new multi-level parking garage, ISLE will submit to CITY and STATE and IHL and applicable planning authorities in Harrison County, Mississippi, a plan to convert the PARK CONVERSION TRACT to a park area with green space, including some part thereof
reserved for parking for park users, and (ii) following receipt of approvals from CITY, STATE and applicable authorities, ISLE will implement the plan (collectively, the “Conversion”); provided, that ISLE’s obligation to fund the
Conversion shall not exceed $75,000. Provided, at all times there shall continue to be available to the public for use as parking for the Point Cadet Marina the same number of ground level parking spaces dedicated for that purpose as is now provided
and available. 
  

	 VI.
	 New Master Plan 

 (1) STATE, CITY, IHL and ISLE will work cooperatively to develop a NEW MASTER PLAN for the expansion of SCOTT CENTER and/or other educationally sound programs, operations or facilities and future development of POINT CADET PROPERTY. Each
party will have an independent and equal voice in the development of the NEW MASTER PLAN and updates and amendments thereto. Proposed development under Paragraph V hereof may proceed in advance of the development of the NEW MASTER PLAN. The NEW
MASTER PLAN will, in any event, permit hotels and retail and parking facilities on NEW TRACT A and NEW TRACT B. 
 (2) The
development of the NEW MASTER PLAN will be funded by contributions of Sixty thousand and no/100 dollars ($60,000.00) each from STATE, CITY, IHL and ISLE. Each party shall designate two representatives to form a committee for development of the NEW
MASTER PLAN. 
  

	 VII.
	 ISLE Exclusivity 

 Notwithstanding anything in this AGREEMENT to the contrary, all parties acknowledge that (i) ISLE entered into other agreements identified herein (including without limitation, the CASINO LEASE and the BERTH RENTAL AGREEMENT) which
grant certain exclusivity rights to ISLE; and (ii) ISLE would not enter into this AGREEMENT without the covenant (hereby agreed to by all parties) that the exclusivity provisions in those agreements shall be applicable to and binding upon all
parties hereto and shall inure to the benefit of ISLE as if set out herein and shall apply to not just the POINT CADET PROPERTY, but also all waters contiguous, within or adjacent thereto where gaming or gambling is authorized under applicable law,
and shall be referenced in any deed, lease, deed of trust, or other instrument of conveyance as assignment. 
  

	 VIII.
	 Court Approval of this Agreement of Settlement and Compromise 

 (1) Upon execution of this AGREEMENT by all parties, said parties shall cooperate and use their best efforts to file an appropriate proceeding in the Chancery Court of the Harrison County, Second
Judicial District, to obtain court approval of the terms and provisions of this AGREEMENT. The petition to the Court will include a request that the judgment of the Court approving the terms and provisions of this settlement include directions to
the State Treasurer to create or designate a special fund called the “Point Cadet Leasing Fund” to be administered by the Secretary of State. 
  

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 (2) Rents under STATE LEASES and CITY LEASES and any new leases of the POINT CADET
PROPERTY, or any portion thereof, will be paid to the “Point Cadet Leasing Fund.” Disbursements from the “Point Cadet Leasing Fund” shall be made by the State Treasurer upon direction of the Secretary of State in accordance with
the terms of this AGREEMENT. STATE and CITY shall enter an agreement establishing the manner and times for making disbursements from the “Point Cadet Leasing Fund.” 
 (3) STATE, CITY, IHL and ISLE hereby agree and stipulate that no resolution reached in this AGREEMENT will be used in any proceeding or litigation, either offensively or defensively, relating to
any claim or interest involving any other property beyond the POINT CADET PROPERTY. 
  

	 IX.
	 Miscellaneous 

 (1) IHL shall be solely responsible for obtaining release of any covenant contained in the deeds from the United States, necessary to accomplish the purpose of this AGREEMENT. 
 (2) ISLE shall be solely responsible for obtaining from its lenders or mortgagees any consents or approvals required for the ISLE to
enter this AGREEMENT. 
 (3) Each party to this AGREEMENT shall be solely responsible and shall assume the defense of any
claim arising under its chain of title. 
 (4) This AGREEMENT shall be binding on and inure to the benefit of the successors
and assigns of the parties hereto. 
 (5) Point Cadet Development Corporation acknowledges the terms and conditions of this
AGREEMENT and agrees to be bound hereby and to execute and deliver such other documentation as may from time to time be necessary or appropriate in furtherance of the terms hereof. 
 (6) The Attorney General of the State of Mississippi approves this AGREEMENT in his capacity as legal counsel for STATE and IHL.

 (7) The parties hereto agree to amend this AGREEMENT from time to time to incorporate more specific descriptions of
property and tracts depicted on the plats on exhibits attached hereto, as such descriptions become available. 
 (8) To the
extent the rights, obligations, covenants and duties herein affect the use, possession, disposition, assignment, transfer, lease or encumbrance of real property, those rights obligations, covenants, and duties shall run with the land described
herein as the POINT CADET PROPERTY. 
  

 Page 12 of 15 

	 X.
	 Effective Date of Agreement 

 This AGREEMENT shall take effect and shall be recorded with the Chancery Clerk of Harrison County, Second Judicial District following entry of a judgment of the Chancery Court of Harrison County, Second Judicial
District. 
  

			
	 STATE OF MISSISSIPPI, BY AND
THROUGH ERIC CLARK, SECRETARY OF STATE
  
 AND
  
 ERIC CLARK, SECRETARY OF STATE, AS
TRUSTEE
OF THE PUBLIC TRUST TIDELANDS

		
	 By
	 	 /s/ Eric Clark

		 	 ERIC CLARK

		 	 Executed this the 12th day of August,
2002

	
	 BOARD OF TRUSTEES OF STATE INSTITUTIONS OF
HIGHER LEARNING, FOR ITSELF AND ON BEHALF OF THE UNIVERSITY OF
SOUTHERN MISSISSIPPI, THE GULF COAST RESEARCH LABORATORY, AND THE J. L. SCOTT MARINE
EDUCATION CENTER

		
	 By
	 	 /s/ Bryce Griffis

		 	 BRYCE GRIFFIS, PRESIDENT

		 	 Executed this the 15th day of August,
2002

		
	 Attest
	 	 /s/ Thomas D. Layzell

		 	 THOMAS D. LAYZELL, COMMISSIONER OF HIGHER EDUCATION

		 	 Executed this the 15th day of August,
2002

  

 Page 13 of 15 

			
	 CITY OF BILOXI

		
	 By
	 	 /s/ A. J. Holloway

		 	 A. J. HOLLOWAY, MAYOR

		 	 Executed this the 15th day of August, 2002

		
	 Attest
	 	 /s/ Brenda H. Johnston

		 	 BRENDA H. JOHNSTON, MUNICIPAL CLERK

		 	 Executed this the 15th day of August, 2002

					
	
	 ISLE OF CAPRI CASINOS, INC,
A DELAWARE CORPORATION
  
 AND
  
 RIVERBOAT CORPORATION OF MISSISSIPPI, A MISSISSIPPI CORPORATION, DOING BUSINESS AS
THE ISLE OF CAPRI CASINO

			
		 	 By
	 	 /s/ 

		 	 Name
	 	 John M. Gallaway

		 	 Office
	 	 President

		 		 	 Executed this the 15th day of August, 2002

			
		 	 Attest
	 	 /s/ 

		 	 Name
	 	 Rexford A. Yeisley

		 	 Office
	 	 Senior Vice President & CFO

		 		 	 Executed this the 15th day of August, 2002

  

 Page 14 of 15 

	
	 APPROVED BY:

	
	 /s/ Ronnie Musgrove Governor

	 RONNIE MUSGROVE GOVERNOR

	 Executed this the 13th day of August
2002

			
	
	 MIKE MOORE, ATTORNEY GENERAL FOR THE STATE
OF MISSISSIPPI IN HIS CAPACITY AS LEGAL COUNSEL FOR, ERIC CLARK,
SECRETARY OF STATE AND BOARD OF TRUSTEES OF STATE INSTITUTIONS OF
HIGHER LEARNING

		
	By	 	 /s/ Mike Moore

		 	 MIKE MOORE

		 	 Executed this the 13th day of
August, 2002

	
	 POINT CADET DEVELOPMENT CORPORATION

		
	By	 	 /s/ A. J. Holloway

		 	 A. J. HOLLOWAY, PRESIDENT

		 	 Executed this the 15th day of
August, 2002

		
	Attest	 	 /s/ Harold McDonald

		 	 HAROLD MCDONALD, SECRETARY

		 	 Executed this the 15th day of
August, 2002

  

 Page 15 of 15Biloxi Waterfront Project Garage-Podium Lease and Easement

 Exhibit 10.30 
 BILOXI WATERFRONT PROJECT GARAGE-PODIUM LEASE 
 [AND EASEMENT] 
 THIS AGREEMENT LEASE (herein called this “Lease”), made on the
15th day of August, 2002, by and between the SECRETARY OF STATE for and on behalf of the State of Mississippi in his capacity as land commissioner
for the State of Mississippi and as trustee of the Public Trust for Tidelands and Submerged Lands (herein called “STATE”) and as authorized representative of the State Institutions of Higher Learning (herein called
“IHL”), and CITY OF BILOXI, MISSISSIPPI, a municipal corporation organized and existing under the laws of the State of Mississippi (herein called “City”, and herein collectively with STATE called
“LANDLORD”), ISLE OF CAPRI CASINOS, INC., a Delaware corporation (herein called “Guarantor”), and RIVERBOAT CORPORATION OF MISSISSIPPI, a Mississippi corporation, (herein called
“Tenant” or “RCM”), whose permanent resident addresses are declared to be: 
  

					
	 for Landlord
	  	 City of Biloxi
	  	 City of Biloxi

		  	 140 Lameuse Street             or
	  	 P. O. Box 429

		  	 Biloxi, MS 39530
	  	 Biloxi, MS 39533

			
		  	 Secretary of State
	  	
		  	 401 E. Mississippi St                 or
	  	 P.O. Box 136

		  	 Jackson, MS
	  	 Jackson, MS 39205-0136

		
	 and for Tenant Riverboat Corporation of Mississippi
	  	
		  	 C/O Isle of Capri Casino
	  	
		  	 1641 Popps Ferry Road
	  	
		  	 Biloxi, MS 39532
	  	

 respectively. 
 ARTICLE I. 
 DEFINITIONS, GRANT AND TERM 
 Section I.1. Definitions. 
 For purposes of interpretation and implementation of this Lease, the following terms shall be have the designated definitions or meanings: 
 “Access Tract” – the property designate by cross-hatching on the plat on Exhibit H, attached hereto and more particularly described therein; 
 “Biloxi Waterfront-Point Cadet Project” or “Biloxi Waterfront Point Cadet Project area” – whenever those
terms are used in this Lease they shall be defined to have the same definition and usage as they have when used In a similar context in the Casino Lease and the Hotel Lease; 
  

 1 

 “Casino Lease”– the “Biloxi Waterfront-Point Cadet Project
Lease” dated May 12,1986, executed by the Point Cadet Development Corporation as lessor and Seventy-Six, Inc., as lessee, as thereafter: i) assigned by Seventy-Six, Inc. to the Factory, Inc, and by the Factory, Inc. to RCM, ii) assigned by
PCDC to the City; and iii) assigned and amended, including the Addendum to Lease dated August 1,1992, executed by the City of Biloxi and Riverboat Corporation of Mississippi; the Second Addendum to Lease dated April 13,1994; the Third
Addendum to Casino Lease effective April 26, 1995; including all renewals thereof and other amendments, supplements, modifications, and restatements thereto as made from time to time. 
 “City” – the City of Biloxi, Mississippi. 
 “Comps” – food, beverages, and lodging furnished to Tenant’s customers free of charge as an inducement to patronize the gaming establishment now operated by Tenant
pursuant to the Casino Lease. 
 “Construction Period” – the construction period shall begin on the
Execution Date of this Lease and shall terminate on the earlier of: Twelve (12) months from such date; or the date that Phase I of the Facilities is opened; 
 “Covacevich Property” – refers to the property described in the Sublease and Agreement by and between, Casino Parking Inc., Covacevich Yacht & Sail, Inc. and the
City of Biloxi on September 24, 1993, a Recording Memorandum of which being of record in Book 263, Page 97, in the Office of the Chancery Clerk of Harrison County, Second Judicial District; 
 “Execution Date” – August 15, 2002. 
 “Facilities” – Phase I of the Facilities, Phase II of the Facilities, and Phase III of the Facilities, as the case may be or collectively; 
 “Floor” – see Section 3.1; 
 “Force Majeure” – any severe weather conditions, strike, lockout, civil commotion, war, war-like operation, invasion, rebellion, hostilities, military or usurped power,
sabotage, government regulations or controls, inability to obtain any material through Act of God, or any other cause whatever beyond the control of that party; 
 “Gross Cash Revenue” – see Section 3.3; 
 “Gross Retail Revenue” – see Section 3.3; 
  

 2 

 “Guaranteed Rent Amounts” – for Guaranteed Rent Amounts (for Floor
Rent, Phase I Supplemental Rent, Phase II Supplemental Rent, Phase III Supplemental Rent, and Interim and Additional Interim guaranteed rent amounts), see Section 3.1; 
 “Hancock/Harrison Market” – Hancock County and Harrison County (both judicial districts), Mississippi; 
 “Hotel Lease” – the “Biloxi Waterfront-Point Cadet Project Lease” dated April 13, 1994, executed by
the City of Biloxi and Riverboat Corporation of Mississippi, as amended by First Amendment to Biloxi Waterfront Lease dated April 26, 1995, including any renewals thereof and other amendments, supplements, modifications, and restatements made
thereto from time to time. 
 “IHL” – the Board of Trustees of State Institutions of Higher Learning.

 “Landlord” – collectively the City of Biloxi, Mississippi, and the State of Mississippi by and
through the Secretary of State both as administrator and Trustee of Public Trust Tidelands and as authorized representative of IHL. 
 “Lease Year” – for purposes of facilitating rent computations, the parties intend to conform the Lease Year for this Lease with the corresponding period for the Casino Lease, therefore, this term shall mean the twelve
month period beginning on August 1 and each successive twelve month period thereafter during this Lease’s term. 
 “Leased Premises” – see Section 1.2(a); 
 “New Tract A” – the
property designated by cross-hatching on the plat on Exhibit I, attached hereto and as described therein; 
 “New
Tract B” – the property designated by cross-hatching on the plat on Exhibit J, attached hereto and as described therein; 
 “Phase I of the Facilities” – a public parking garage consistent with the terms allowed in the Settlement Agreement to be constructed on New Tract “A”. 
 “Phase II of the Facilities” – a hotel proposed to be built on New Tract “B”, containing at least two
hundred (200) rooms, or (ii) two (2) or more restaurant facilities containing at least two hundred (200) seats in the aggregate; 
 “Phase III of the Facilities” – a hotel proposed to be built on the garage podium to be constructed on New Tract “A”; 
 “Point Cadet Settlement Agreement” – The Point Cadet Compromise and Settlement Agreement dated August 15, 2002 among
(i) the Secretary of State for and on behalf of the 

  

 3 

 
State of Mississippi in his capacity as land commissioner for the State of Mississippi and as trustee for the Public Trust for Tidelands and Submerged Lands,
ii) the City, iii) the IHL in its own capacity and on behalf of the University of Southern Mississippi, the Gulf Coast Research Laboratory, and the J. L. Scott Marine Education Center, and iv) RCM, as it may from time to time be amended, modified,
supplemented, or restated; 
 “RCM” – Riverboat Corporation of Mississippi, a Mississippi corporation;

 “State” – State of Mississippi, as represented by the Secretary of State in his capacity as land
commissioner for the State of Mississippi and as trustee for the Public Trust for Tidelands and Submerged Lands; 
 “Tenant” – Riverboat Corporation of Mississippi, a Mississippi corporation, its successors or assigns, and any person or entity which succeeds to the rights of Tenant under this lease; 
 “Tidelands Leases” – the agreements between the State of Mississippi and the City of Biloxi, Mississippi dated
July 15, 1988 and recorded in Deed Book 197 at Pages 546-561 of the Land Records maintained in the Second Judicial District Office of the Chancery Clerk of Harrison County, Mississippi (the “fee simple tidelands lease”) and in
Deed Book 197 at Pages 531-545 of said records (the “IHL Tidelands Lease”), as thereafter amended. 
 Section 1.2.
Leased Premises and Easement. 
 (a) In consideration of the rents hereinafter set out to be paid by Tenant, and in
further consideration of the mutual covenants and promises hereinafter set out to be observed and performed by Tenant and Landlord, Landlord demises and leases to Tenant, and Tenant rents from Landlord, that certain real property located in the
Biloxi Waterfront-Point Cadet Project, in Biloxi, Mississippi, as described with more particularity as New Tract A and New Tract B (the “Leased Premises”); and Landlord further grants the Tenant a non-exclusive easement for the purpose of
ingress and egress, as well as for use for surface parking, across the Access Tract. 
 (b) Tenant will have no riparian or
littoral rights in the Leased Premises, except for the right to construct and maintain bulkheads for the purpose of shore protection on those portions of the Leased Premises bounded by the Mississippi Sound. 
 (c) The parties acknowledge that Tenant contemplates expanding New Tract A in the area of its southwestern boundary by filling or
wharfing submerged lands, as designated on Exhibit L, attached hereto, which will require the consent and cooperation of other public entities. To the extent that the consent or cooperation of Landlord is required in order to implement any such
change, Landlord agree not to unreasonably withhold, delay, or condition such consent or cooperation. Further, subject to the consent and permitting of other applicable public entities, all riparian and littoral rights created by such changes shall
inure to the benefit of Landlord as if the newly created shoreline were the original boundary of New Tract A. The parties further agree that any such artificial accretion, as well as any natural accretions, to New Tract A shall automatically be
included in the definition of New Tract A and shall be subject to all of the terms and conditions of this Lease. 
  

 4 

 (d) Tenant has inspected the Leased Premises and accepts same in its present condition.
Landlord makes no warranty regarding the condition of the Leased Premises and makes no covenant to alter, repair or construct any improvements on the Leased Premises. 
 (e) Tenant acknowledges the presence of fuel tanks and fuel lines on New Tract A which are being used by the Biloxi Port Commission in conjunction with the Point Cadet Marina and Tenant accepts
the Leased Premises in its “as is” condition. Tenant assumes responsibility for relocating said tanks and fuel lines at no cost or expense to Landlord and indemnifies and holds Landlord harmless for any cost, expense or damage which may
result from or be associated with the relocation of said fuel tanks and fuel lines. The location of the existing tanks and the proposed relocation is shown on Exhibit K, attached hereto (depicting the Park Conversion Tract under the Point Cadet
Settlement Agreement and the parking area south thereof). 
 (f) The easement over the Access Tract in favor of Tenant shall
be coextensive with the term of this Lease. Tenant shall be entitled to construct and maintain over the Access Tract such access roads to the Phase I and Phase III Facilities (located on New Tract A) as it deems appropriate from time to time, and
otherwise to provide surface parking and landscaping; provided, however, that such access routes and parking will be available at all times to all other tenants and customers of the Biloxi Waterfront-Point Cade Project, including but not limited to
employees and staff of both the J. L. Scott Marine Education Center, the former Gulf Marine State Park property, and the Point Cadet Marina, as well as members of the public and customers, of and visitors to those entities and any other tenant of
the Point Cadet site of the Biloxi Waterfront-Point Cadet Project; and provided further that Tenant shall maintain the road along the northern and eastern perimeter as set forth in Section 6.1(b) hereof to provide access for vehicular traffic
to and from the Biloxi Waterfront-Point Cadet Project area to the east of New Tract A. 
 Section I.3. Use of Additional Areas. 

 Tenant’s use and occupation of the Leased Premises shall include the use, in common with others entitled thereto, of
the common areas, employees’ parking areas, service roads, common mall areas, hallways, loading facilities, sidewalks, customer car parking areas and other facilities as may be designated from time to time by Landlord as common areas for the
use and benefit of the tenants, customers, patrons and general public users of the Biloxi Waterfront-Point Cadet Project; subject, however, to the terms and conditions of the Casino Lease and the Hotel Lease as they affect such area and to
reasonable rules and regulations of the use thereof as prescribed from time to time by Landlord. 
 Section I.4. Term and
Commencement. 
 (a) The primary term of this Lease shall commence on the Execution Date and continue for forty
(40) years; however, Tenant shall have the right to terminate this Lease on July 31, 2009 

  

 5 

 
(and on each successive fifth anniversary of that date for the remainder of the primary term) by giving the Landlord written notice of such intent to
terminate at lease 6 months prior to each such potential termination date. Tenant may extend this Lease for one (1) extended term of twenty-five (25) years by giving Landlord written notice of the intent to exercise such option. Such
notice must be received by Landlord at least six (6) months prior to the termination of each option period thereafter for the exercise of each succeeding option period. Notice to extend the comparable term of the Hotel Lease or the casino Lease
shall constitute appropriate notice hereunder. The City hereby agrees to grant additional extensions sufficient to extend the term of this Lease to coincide with the term of the Hotel Lease, subject to the agreement and consent of the State at the
time of such extension; and the State acknowledges and grants to the Tenant the right, exclusive of all other persons, to further continue leasing the Leased Premises for that additional time as provided in Section 29-1-107, Mississippi Code of
1972, as amended. During the initial extension period, if exercised, as well as during any additional subsequent extension period, the Tenant shall have the option to terminate this Lease at the end of each successive fifth Lease Year of such
extension period by giving the Landlord written notice of that intention at least six months prior to the end of any such fifth Lease Year. Should Tenant either terminate this Lease in any manner provided above or end it by non-renewal, or should
Tenant either terminate or end by non-renewal the Casino Lease or the Hotel Lease, Tenant’s exclusive right to operate or conduct a gaming or gambling enterprise shall also terminate, revoked, and rescinded whether such exclusive rights are
granted in this Lease or in any other agreement. Notice of termination or non-renewal of the Casino Lease by Tenant shall be deemed notice of termination or cancellation of this Lease without need for separate notice. 
 (b) Upon the Execution Date, Tenant shall be liable for payment of all sums and charges which become due hereunder, including but not
limited to Guaranteed Rent Amounts (which shall progressively become due as set out in Section 3.1), percentage rent, additional rent and all other sums and charges which are required to be paid by Tenant hereunder. All sums payable hereunder
other than Guaranteed Rent Amounts shall be due and payable upon receipt of an invoice as provided for herein or as otherwise specified herein. 
 ARTICLE II. 
 CANCELLATION AND EXCUSE OF PERFORMANCE 
 Section II.1. Excuse of Performance – Force Majeure. 
 Anything elsewhere in this Lease to the contrary notwithstanding, neither party shall be deemed in default with respect to the performance of any of the non-monetary obligations, terms, covenants and conditions of this Lease to be performed
by it if any failure of its performance shall be due to any Force Majeure, and the time for performance by that party shall be extended by the period of delay resulting from or due to any above said causes. 
  

 6 

 ARTICLE III. 
 RENT 
 Section III.1. Guaranteed Rent. 
 (a) Interim Floor Rent Guaranty. Tenant guaranties payments to the City for Lease Year ending July 31, 2003 (and thereafter for each
Lease Year until the Floor Rent Guaranty provided in subsection 3.1 (b) takes effect), as combined base rent and percentage rent from the Hotel Lease and the Casino Lease of an aggregate sum of at least $2,500,000.00, such that the total
combined base rent and percentage rent payable to the Landlord by Tenant under those two leases is no less than $2,500,000.00 (the “Interim Floor”). If such payments to the City in any given Lease Year when this Interim Floor Rent Guaranty
is applicable fall below the Interim Floor, Tenant agrees to pay to Landlord, prior to sixty (60) days following such Lease Year, the difference between the Interim Floor and the aggregate of those base and percentage rent payments made by
Tenant during that preceding Lease Year. 
 (b) Floor Rent Guaranty. By August 31 following the earlier of either the
opening of Phase I of the Facilities or eighteen (18) months from the Execution Date, Tenant shall guaranty payments to the City for the Lease Year in which such event occurs as combined base rent and percentage rent from the Hotel Lease, the
Casino Lease, and this Lease of an aggregate sum of at least $2,733,000, such that total combined base rent and percentage rent payable to the Landlord by Tenant under those three leases is no less than $2,733,000 (the “Floor”).
Thereafter, if payments to the City in any given Lease Year fall below the Floor, Tenant agrees to pay to Landlord, prior to August 31 following such Lease Year, the difference between the Floor and the aggregate of those base and percentage
rent payments made by Tenant during that preceding Lease Year. The first such payment shall be pro-rated based upon the greater of either the portion of the previous Lease Year that said Phase I Facility was open or six months. The first such
payment shall be pro-rated based upon the greater of either the portion of the previous Lease Year that said Phase I Facility was open or six months; provided that if the Phase I Facility is open in the Lease Year ending July 31, 2003, the
first such payment shall be pro-rated based upon the portion of the previous Lease Year that said Phase I Facility was open. 
 (c) Phase I Supplemental Guaranteed Rent. In addition to the rent guaranty provided in subsection (b), by August 31 following the earlier of either the opening of Phase I of the Facilities, or eighteen (18) months from the
Execution Date, Tenant guaranties that Landlord will receive as Supplemental Guaranteed Rent for the Leased Premises the amount, if any, by which the “New Revenue Amount” [which is defined as the amount by which the aggregate of both i)
the total of base rent and percentage rent paid to the City of Biloxi under the Hotel Lease and the Casino Lease during the previous Lease Year period, and ii) the Percentage Rent from this Lease for the same period, exceed the sum of $2,733,000.00]
of the Lease Year in which such event occurs, and thereafter for each Lease Year, is less than the sum of Five Hundred Thousand ($500,000.00) Dollars. For example, when it is both initiated and coupled with the guaranty set out in subsection
(b) above, the Phase I Supplemental Guaranteed Rent will result in a minimum guaranteed rent to the Landlord from the aggregate of the Casino Lease, the Hotel Lease, and this Lease of at least 

  

 7 

 
$3,233,000.00. The first such payment shall be pro-rated based upon the greater of either the portion of the previous Lease Year that said Phase I Facility
was open or six months; provided that if the Phase I Facility opens in the Lease Year ending July 31, 2003, the first such payment shall be prorated based upon the portion of the previous Lease Year that said Phase I Facility was open.

 (d) Phase II Supplemental Guaranteed Rent. In addition to the rent guaranty provided in subsection (b) (and as a
successor guaranty to the Phase I Supplemental Guaranteed Rent formula), on the earlier of either the August 31 following the opening of Phase II of the Facilities, or August 31, 2005, the Tenant guaranties that Landlord will receive as
Supplemental Guaranteed Rent for the Leased Premises the amount, if any, by which the “New Revenue Amount” [which is defined as the amount by which the aggregate of both i) the total of base rent and percentage rent paid to the City of
Biloxi under the Hotel Lease and the Casino Lease during the previous twelve month period, and ii) the Percentage Rent from this Lease for the same period, exceed the sum of $2,733,000.00] of the Lease Year in which such event occurs, and thereafter
for each Lease Year, is less than the sum of Seven Hundred Fifty Thousand ($750,000.00) Dollars. For example, when it is both initiated and coupled with the guaranty set out in subsection (b) above, the Phase II Supplemental Guaranteed Rent
will result in a minimum guaranteed rent to the Landlord from the aggregate of the Casino Lease, the Hotel Lease, and this Lease of at least $3,483,000.00 [subject to the Market Adjustment provision in subsection (f) below]. The first such
payment shall be pro-rated based upon the portion of the previous Lease Year that said Phase II Facility was open. 
 (e)
Phase III Supplemental Guaranteed Rent. In addition to the rent guaranty provided in subsection (b) (and as a successor guaranty to the Phase II Supplemental Guaranteed rent formula, and subject further to the operation of subsection 3.1(f)),
on the earlier of either the August 31 following the opening of Phase III of the Facilities, or August 31, 2008, the Tenant guaranties that Landlord mill receive as Supplemental Guaranteed Rent for the Leased Premises the amount, if any,
by which the “New Revenue Amount” [which is defined as the amount by which the aggregate of both i) the total of base rent and percentage rent paid to the City of Biloxi under the Hotel Lease and the Casino Lease during the previous twelve
month period, and ii) the Percentage Rent from this Lease for the same period, exceed the sum of $2,733,000.00] of the Lease Year in which such event occurs, and thereafter for each Lease Year, is less than the sum of One Million ($1,000,000.00)
Dollars. For example, when it is both initiated and coupled with the guaranty set out in subsection (b) above, the Phase III Supplemental Guaranteed Rent will result in a minimum guaranteed rent to the Landlord from the aggregate of the Casino
Lease, the Hotel Lease, and this Lease of at least $3,733,000.00 [subject to the Market Adjustment provision in subsection (f) below]. After the Phase III Guaranteed Rent has been in effect for one year, it shall be subject to the provisions of
subparagraph (f) below. The first such payment shall be pro-rated based upon the portion of the previous Lease Year that said Phase III Facility was open. 
 (f) Market Adjustments to Phase II Guaranty and Phase III Guaranty. 
 1.) Beginning one year after the Phase II Supplemental Rent Guaranty becomes applicable, in any Lease Year in which both: i) the overall gaming market in the combined Harrison County/Hancock County market falls below $1,250,000,000.00
(according to the aggregate of all gross gaming revenues reported to the Mississippi Gaming Commission for that period); and ii) the 
  

 8 

 
gross gaming revenue of Tenant from its Biloxi property (according to gross gaming revenues reported to the Mississippi Gaming Commission for that period) is
less than $90,000,000.00; then the Phase II Supplemental Rent Guaranty shall not be applicable but the Phase I Supplemental Rent Guaranty shall be applicable; and, 
 2) Beginning one year after the Phase III Supplemental Rent Guaranty becomes applicable, in any Lease Year in which both: i) the overall gaming market in the combined Harrison County/Hancock
County market falls below $1,250,000,000.00 (according to the aggregate of all gross gaming revenues reported to the Mississippi Gaming Commission for that period); and ii) the gross gaming revenue of Tenant from its Biloxi property (according to
gross gaming revenues reported to the Mississippi Gaming Commission for that period) falls below $100,000,000.00 but is not less than $90,000,000.00; then the Phase III Supplemental Rent Guaranty shall not be applicable but the Phase II Supplemental
Rent Guaranty shall be applicable. 
 3) For example, after this provision (f) takes effect those specific adverse
market conditions cannot reduce the cumulative minimum guaranteed rent [subsections (b), (c), (d), and (e)] below $3,233,000.00. 
 (g) Additional Interim Guaranteed Rent. In addition, until such time as payments under the Phase I Guaranteed Rent begin, Tenant shall annually pay the lesser of $125,000.00 (intended by Landlord and Tenant for the benefit and account of
IHL as provided in the Point Cadet Settlement Agreement) or such lesser amount that Landlord (City) is required to pay IHL under Paragraph III(2) of the Point Cadet Settlement Agreement. This supplemental amount shall be over and above the rent
generated by or required to be paid under the Hotel Lease and the Casino Lease, even though its amount is affected by or calculated from increases in said revenue. The first such payment shall be made one year after the last payment of rent by the
City to IHL under their prior agreement (the IHL Lease). When the Phase I Guaranteed Rent payments begin, this additional guaranteed rent obligation shall terminate. 
 (h) The rent guaranties described in Section 3.1(c) [$500,000.00],
Section 3.1(d) [$750,000.00], Section 3.1(e) [$1,000,000.00], and Section 3.1(b) [$2,733,000.00] above, as well as the floor amount upon which they are based [$2,733,000.00], shall increase every five (5) years in accordance with
the Consumer Price Index based calculation set out in this paragraph. The first such increase shall take effect beginning the sixth (6th) Lease Year, and thereafter increases shall take effect on every fifth anniversary of that date. The new numbers for each such increase shall be the previous year’s numbers increased by the increase in the
Consumer Price Index, as promulgated by the U.S. Department of Labor or successor entity for the previous five (5) year period, but not to exceed a total increase of ten percent (10%) in any single five (5) year period. 
 (i) All rental payments provided above shall be payable to Landlord at such place as is set forth in the Point Cadet Settlement
Agreement, without any demand therefor, and without any deduction or set-off whatsoever. Supplemental Guaranteed Rent payments for each applicable Lease Year must be paid within the first month (August 1-31) following that Lease Year. Landlord may
charge interest on all past-due payments of base rental in accordance with the provisions of Section 20.4. 
  

 9 

 Section III.2. Percentage Rent. 
 (a) Upon completion of each Phase of the Facilities, Tenant shall pay to Landlord, in the manner and upon the conditions and at the time
hereinafter set forth during each Lease Year of the term hereof, percentage rent equivalent to four percent (4%) of Gross Retail Revenue and Gross Cash Revenue generated by all food, beverage, hotel, lodging, retail facilities and all other
commercial activities located on or in that Phase of the Facilities, whether said Gross Retail Revenue or Gross Cash Revenue is generated by Tenant, by a subcontractor of Tenant, by an approved sublessee of Tenant, or by any other person or entity
operating on the Leased Premises, whether in privity with Tenant, with the approval or consent of Tenant, or by mere sufferance of Tenant. 
 (b) Percentage Rent under this Lease shall be considered in the Supplemental Rent computations under Sections 3.1(b), 3.1(c), and 3.1(d), however: i) where more than the minimum rent amounts guaranteed therein are
generated and paid by Tenant in any given time period, Percentage Rent under this Lease is due in addition to all other forms of rent due by Tenant; and ii) where less than the minimum rent amounts guaranteed therein are generated by Tenant from the
sources cited therein, it shall be considered as being subsumed in and a part of the guaranteed rent amount actually paid by Tenant. 
 (c) Percentage rent for each month shall become due and payable twenty (20) days after the last day of each month of each Lease Year. 
 (d) All percentage rent shall be payable at such place as is set forth in the Point Cadet Settlement Agreement, without any prior demand therefor, and without any set-off or deduction whatsoever.
Landlord may charge interest on all past-due payments owed by Tenant as percentage rent hereunder in accordance with the provisions of Section 20.4. 
 Section III.3. “Gross Retail Revenue” and “Gross Cash Revenue” Defined. 
 (a) “Gross Retail Revenue” and “Gross Cash Revenue” shall mean, without any double counting, the total amount of the actual sales price, whether for cash or on credit or partly for cash and partly on credit, of all:
(1) retail or wholesale sales of merchandise and services, including all gift and merchandise certificates; (2) all lay-away sales; (3) all credit charges and carrying charges; (4) all other receipts of business conducted in or
from the Leased Premises; (5) all mail or telephone orders received or filled at or from the Leased Premises; (6) all deposits not refunded to purchaser; (7) all orders taken in and from the Leased Premises whether or not said orders
are filled elsewhere (provided that such orders filled elsewhere and subject to a percentage rent payable to Landlord under the Hotel Lease or the Casino Lease shall not be subject to an additional percentage rent under this Sublease);
(8) revenues and receipts received by Tenant through any vending machine or other coin-operated device either operated by Tenant or from which Tenant receives revenues; (9) revenues received by Tenant based upon sales, revenues and
receipts made or received by any 

  

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subtenant, concessionaire, licensee and any other person or persons permitted to use the Leased Premises; (10) all receipts from the operation of a
hotel or other lodging facility; (11) all food and beverage revenues; and (12) revenues received by Tenant based upon all uses of the Leased Premises by Tenant, its successors or its assigns, any subtenant, concessionaire, licensee and any
other person or persons permitted to use the Leased Premises. 
 (b) No deduction shall be made from the amount included in
“Gross Cash Revenue” or “Gross Retail Revenue” on account of the payment of any franchise, income or gross receipts tax, or any other tax based upon the income of Tenant. “Gross Cash Revenue” and “Gross Retail
Revenue” shall not, however, include any sums collected and paid out for: any sale or retail excise tax (including, but not limited to, any hotel or motel room use tax or tourism tax) imposed by any duly constituted governmental authority, if
stated and collected separately from the price of the merchandise or service sold; nor the amount of returns to shippers or manufacturers; nor the amount of any cash or credit refund made upon any sale where the merchandise sold, or some part
thereof, is thereafter returned by the purchaser and accepted by Tenant; nor sales of fixtures which are not a part of Tenant’s stock in trade. Each sale upon installment or credit shall be treated as a sale in the month during which Tenant
shall receive payment from its customers. 
 (c) Notwithstanding anything to the contrary contained herein, the terms
“Gross Retail Revenue” or “Gross Cash Revenue” shall not include the value of Comps. 
 Section III.4. Additional
Rent. 
 Tenant shall pay all other sums of money or charges required to be paid by Tenant to Landlord under this Lease,
whether or not the same be designated “additional rent.” These amounts and charges shall be due and payable immediately upon receipt by Tenant of an invoice therefor. All sums of money or other charges payable by Tenant under this section
shall be payable at such place as is set forth in the Point Cadet Settlement Agreement, without any set-off or deduction whatsoever. Landlord may charge interest on all such past-due payments owed by Tenant, regardless of whether they are designated
as additional rent, in accordance with the provisions of Section 20.4. 
 Section III.5. Taxes on Rentals. 
 In the event that any federal, state, local or other governmental authority shall impose or assess any tax, levy or other charge on or
against all or any part of the rentals paid or to be paid by Tenant under the terms of this Lease, and Landlord is thereby required to collect from Tenant and/or pay such tax, levy or charge to such authority, Tenant covenants and agrees, within ten
(10) days from written demand therefor, to pay to or reimburse Landlord (as the case may be) all such charges as may be imposed or assessed, which, for the purposes of this Lease, shall be deemed to be due from Tenant as additional rent.

  

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 Section III.6. Property Taxes. 
 Tenant shall be responsible for payment of all taxes, including, but not limited to, taxes on Tenant’s leasehold interest, all
improvements located on the Leased Premises and the Access Tract, and all personal property of Tenant and its licensees, concessionaires, assigns and subtenants, which may be levied or assessed against such property and the Leased Premises and the
Access Tract by any lawful authority. 
 Section III.7. Limits on Liability–Insurance. 
 Landlord shall not be liable to Tenant or to any of its employees, agents, invitees, visitors, or any other person whomsoever, for any
damage to person or damage to property on or about the Leased Premises and the Access Tract or in the common areas, caused by the negligence or misconduct of Tenant, its employees, licensees, concessionaires, or any other person entering the Leased
Premises and the Access Tract, either under express or implied invitation of Tenant, or arising out of the use of the Leased Premises and the Access Tract by Tenant, or arising out of the conduct of Tenant’s business therein, or arising out of
any breach or default by Tenant in the performance of its obligations hereunder, and Tenant hereby agrees to indemnify Landlord and hold it harmless from any loss, expense or claim, including reasonable attorneys’ fees arising out of any damage
or injury. 
 Section III.8. Public Liability Insurance. 
 Tenant agrees to procure and maintain at its sole cost and expense throughout the term of this Lease a policy or policies of insurance insuring Landlord, IHL, and Tenant against all claims,
demands or actions arising out of or in connection with the use and occupancy of the Leased Premises and the Access Tract by Tenant or its employees, licensees, concessionaires, subtenants, or any other person entering the Leased Premises or the
Access Tract either under express or implied invitation of Tenant, or arising out of the use of the Leased Premises or the Access Tract by Tenant, its employees, licensees, concessionaires, subtenants, or any other person or corporation by express
or implied invitation of Tenant, or by the condition of the Leased Premises or the Access Tract; the limits of such policies to be in an amount not less than One Million Dollars ($1,000,000.00) for injuries or death to any one person and not less
than Three Million Dollars ($3,000,000.00) for injuries or death concerning more than one person as a result of one accident and not less than One Hundred Thousand Dollars ($100,000.00) for property damaged or destroyed; said policy or policies to
be written by an insurance company satisfactory to Landlord and naming Landlord as an additional insured. 
  

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 Section III.9. Fire and Casualty Insurance. 
 Tenant shall keep the Leased Premises and the Access Tract insured throughout the term(s) of this Lease against loss or damage by fire and
such other risks as may be included in the broadest form of extended coverage insurance from time to time available in such amounts sufficient to prevent Landlord from becoming a co-insurer within the terms of applicable policies and, in any event,
in an amount not less than eighty percent (80%) of the then insurable value of the Leased Premises, Access Tract, and improvements. Landlord shall be named in all such policies of insurance as a named insured as its interest may appear.

 ARTICLE IV. 
 REPORTS,
RECORDS AND AUDIT 
 Section IV.1. Reports by Tenant. 
 (a) Tenant shall submit to Landlord on or before the thirtieth (30th) day following each month during the term hereof (including the thirtieth (30th) day of the month following the end
of the term) at the place then fixed for the payment of rent, a written statement signed by Tenant, and certified by it to be true and correct, showing the amount of Gross Retail Revenue and Gross Cash Revenue for the preceding month. 
 (b) Tenant shall submit to Landlord on or before the one hundred twentieth (120th) day following the end of each Lease Year, and
after the termination of this Lease, at the place then fixed for the payment of rent, an audited financial statement, certified to be true and correct, showing the amount of Gross Retail Revenue and Gross Cash Revenue during the preceding Lease Year
and duly certified to Tenant by an independent certified public accountant. 
 (c) The statements referred to herein shall be
prepared in conformity with generally accepted accounting principles and shall be in sufficient detail to permit Landlord to determine compliance with the terms of this Lease and to verify the applicable amount of percentage and additional rent.
Should Landlord fail to receive such report in a timely fashion, Landlord shall give written notice to Tenant of its intent to exercise its right to cause a complete audit to be made of Tenant’s records that relate to the revenues from the
Leased Premises for the period for which the required report has not been furnished. Upon receipt of such notice, Tenant shall have seven (7) days to provide the report. If Tenant does not provide the report in said time period, Landlord may
cause such audit to be made, the cost of which shall be paid by Tenant to Landlord immediately upon the completion of said audit. 
 (d) All reports and other information concerning Tenant provided to or otherwise obtained by Landlord pursuant to this Article are deemed by Tenant to be confidential, commercial, financial, and proprietary, and to the extent that permitted
or required by the Mississippi Public Records Act they shall be held as such by Landlord. 
  

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 Section IV.2. Tenant’s Records. 
 (a) Tenant, during the term of this Lease, shall maintain and keep, or cause to be maintained and kept, on the Leased Premises or at its
home office, a full, complete and accurate record and account of all revenues, all sales of merchandise and services and all sums of money paid or payable for or on account of or arising out of the business and all business transactions conducted
in, at or from said Leased Premises by or for the account of Tenant and all subtenants, concessionaires, licensees and other persons conducting business in the Leased Premises, for each day of the term hereof. 
 (b) Such records and accounts, and all supporting records and data, at all times during the term hereof, and for a twelve (12) month
period thereafter, shall be made available to Landlord for inspection, audit and copying or reproduction at said Leased Premises by Landlord and its duly authorized agents or representatives at all reasonable times during ordinary business hours.
All such records shall conform to sound and accepted accounting practices and shall indicate all amounts of Gross Retail Revenue and Gross Cash Revenue at, in and upon the Leased Premises for each day of the term hereof and shall be supported by tax
reports, sales slips, sales checks, bank deposit records and other supporting data. Tenant shall keep and preserve or cause to be kept and preserved said records for not less than twelve (12) months after the due date and payment of the
percentage rental based thereon and due under the terms hereof. 
 (c) Tenant hereby authorizes the tax collector or
collectors of the appropriate governmental and taxing authorities, including, without limitation, the Mississippi State Tax Commission, the Tax Assessor’s Office of Harrison County, Mississippi, the Office of the Tax Collector of Harrison
County, Mississippi and the Tax Collector of the City of Biloxi, to disclose to Landlord, upon its request, Tenant’s sales and/or excise tax returns filed with such authorities covering the original and any renewal term of this Lease.

 Section IV.3. Right to Examine Books. 
 The acceptance by Landlord of payments of percentage rent shall be without prejudice to Landlord’s right to an examination of Tenant’s books, records and supporting data relating to its Gross Retail Revenue
and Gross Cash Revenue and inventories of merchandise at the Leased Premises in order to verify the amount of annual Gross Retail Revenue and Gross Cash Revenue made in and from the Leased Premises. 
 Section IV.4. Audit. 
 (a) At its option, Landlord may cause, at any reasonable time upon ninety-six (96) hours prior written notice to Tenant, during the term of this Lease, and for the twelve (12) month period following the due date of any percentage
rent due hereunder, a complete audit to be made of Tenant’s records that relate to the sales in the Leased Premises for the period covered by any statement or report issued by Tenant as above set forth. 
  

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 (b) If such audit shall disclose an error, difference or discrepancy of five percent
(5%) or more with respect to any rent, including, without limitation, percentage rent due hereunder, theretofore computed and paid by Tenant for such period, Tenant shall promptly pay to Landlord the cost of said audit in addition to any
deficiency disclosed by such audit, which deficiency shall be payable in any event. Any information obtained by Landlord as a result of such audit shall be held in strict confidence by Landlord to the fullest extent authorized by law. 
 (c) If such audit shall disclose that Tenant shall have overpaid its rent theretofore computed, Landlord shall credit any such over
payment to subsequent rent payments. 
 Section IV.5. HUD Compliance. 
 (a) Tenant shall provide all information required by the Department of Housing and Urban Development (HUD), or its successor agency, in
the implementation of its Community Development Block Grant Program and its Urban Development Action Grant Program, and any other applicable federal program, as they pertain or apply to the Biloxi Waterfront-Point Cadet Project. 
 (b) If Landlord is penalized, fined or assessed in any manner by HUD based upon the failure of Tenant to provide such information in a
timely manner, or if Landlord suffers any financial loss by reason of such failure, then Tenant shall indemnify Landlord for such loss and shall pay all such sums due. This payment obligation shall constitute additional rent under this Lease.

 ARTICLE V. 
 CONSTRUCTION, ALTERATION AND RELOCATION 
 Section V.1. Tenant’s Obligation. 
 (a) Tenant shall, at Tenant’s cost and expense, construct Phase I of the Facilities in or on the Leased Premises for Tenant’s
use and occupancy substantially in accordance with plans and specifications consistent with the type and quality of development at the Biloxi Waterfront-Point Cadet Project–Point Cadet site, and as approved by applicable regulatory bodies. The
cost of said improvements shall be not less than Fifteen Million ($15,000,000.00) Dollars. Any equipment or work which Tenant or Tenant’s contractor installs or constructs in or on the Leased Premises on Tenant’s behalf shall be paid for
by Tenant prior to the date that Tenant opens for business. The taking of possession of the Leased Premises by Tenant shall be conclusive evidence that the Leased Premises were in good and satisfactory condition in accordance with the terms of this
Lease at the time such possession was taken, subject to the ability of Tenant to obtain necessary permits from the City of Biloxi in conformity with the intent of this Lease. 
 (b) Tenant shall have the right to construct, operate, and maintain, all at its own expense, such additional retail, food, beverage, hotel and entertainment facilities on New Tract B, as well as
on top of the initial improvements (garage) contemplated for New Tract A, as it deems appropriate in its business judgment. 
  

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 Section V.2. Changes and Additions to Project. 
 Subject to Article VII of the Point Cadet Settlement Agreement and to Section 7.3 of this Lease, the Hotel Lease, and the Casino
Lease, Landlord reserves the right to construct and remove other buildings or improvements in the Biloxi Waterfront-Point Cadet Project area (other than property therein leased to Tenant) from time to time and to make alterations thereof or
additions thereto and to build additional stories on any such building or buildings and to construct double-deck or elevated parking facilities. Landlord further reserves the right to enter and use the Leased Premises and the Access Tract for the
purpose of installing, repairing and removing wiring, piping, ducts and conduits for service of the Leased Premises or other buildings in the Biloxi Waterfront-Point Cadet Project, provided that Landlord shall not unreasonably interfere with the use
of the Leased Premises by Tenant. 
 Section V.3. Tenant Shall Discharge All Liens. 
 Tenant shall promptly pay all its contractors and materialmen, so as to minimize the possibility of a lien attaching to the Leased
Premises and the Access Tract; and should any such lien be made or filed, Tenant shall bond against or discharge the same within ten (10) days after written request by Landlord. 
 ARTICLE VI. 
 CONDUCT OF BUSINESS BY TENANT 
 Section VI.1. Use of Leased Premises. 
 (a) Tenant shall not use, permit or suffer the use of the Leased Premises or any part thereof for any purpose other than the following: Parking facilities and resort hotel facilities, either casino related or
otherwise, and those activities which are ancillary to a resort hotel, including, without limitation, dining, amusement, sports or entertainment facilities, transportation service or other related activities or enterprises and any additions or
improvements thereto, provided that such use is also in compliance with applicable zoning laws, provided further that gaming is not authorized on the Leased Premises (except to the extent hereinafter provided), and Tenant agrees that the Leased
Premises are leased exclusively for said business and commercial purposes. Although gaming is not authorized on or from the Leased Premises, Tenant may operate the commercial enterprises authorized by this Lease in physical conjunction with or
connection to its gaming activities authorized under the Casino Lease, as amended; and Tenant may continue to operate its existing gaming enterprise as authorized under the Casino Lease. 
 (b) The parties acknowledge that Landlord, the Biloxi Port Commission and their subtenants utilize a portion of the property subject to
the Casino Lease, as well as portions of New Tract A and the Access Tract for access to the Point Cadet Marina and other property in the Biloxi Waterfront Project-Point Cadet Site. The parties agree to amend the Boardwalk Agreement, which is
recorded in Land Deed Book 207, at Page 42, to designate the relocation of said boardwalk easement as necessitated by the new construction contemplated by this Lease. Further, Landlord 
  

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hereby retains a twenty-four (24) foot wide easement for purposes of ingress and egress across the roads to be built on the property, the location of
which shall be hereafter mutually agreed to by the parties and shall be consistent with the design of the proposed new garage on New Tract A. Landlord acknowledges the right of Tenant to construct improvements consistent with the terms and
conditions of this Lease on said easement; however, any improvements so constructed, excluding support structures, must be constructed a sufficient elevation above improved surface level to permit vehicular traffic and must be constructed in such a
manner to permit the public, Landlord, and its assigns and subtenants to exercise the rights of ingress and egress retained herein. After the roads are constructed, a separate easement shall be executed by the parties which shall include a metes and
bounds description of the easement retained by Landlord. 
 (c) All parking on the Leased Premises and the Access Tract shall
be open to the general public, including Port Commission employees and users of the Point Cadet Marina. 
 Section VI.2. Operation of
Business. 
 (a) Tenant shall occupy the Leased Premises promptly after the commencement of the original term of this
Lease and thereafter continuously during the term of this Lease. Tenant shall conduct and operate in said Leased Premises the business permitted under Section 6.1 continuously during such occupancy. 
 (b) Tenant covenants that it will use, occupy and operate the entire Leased Premises continuously and without interruption during the
entire term in a manner consistent with all of the terms, covenants and conditions of this Lease which will enhance the Biloxi Waterfront-Point Cadet Project as a whole and its reputation as a desirable place to visit, shop, dine and patronize and
which will achieve the maximum volume of sales so that Landlord will receive the maximum amount of percentage rent for the Leased Premises. The foregoing notwithstanding: (i) Tenant shall have the right to temporarily cease operation of any of its
businesses operated on or from the Leased Premises for ordinary business purposes; and (ii) Tenant shall be entitled to exercise its business judgement in determining whether to construct any Phase of the Facilities as defined herein. 
 (c) Tenant agrees that upon completion of Phase II and Phase III of the Facilities it will: (i) maintain displays of merchandise in
and keep any display windows of the Leased Premises well lighted in accordance with the rules and regulations promulgated by Landlord; (ii) store in or on the Leased Premises only such merchandise as will be offered for sale at retail from the
Leased Premises or the premises leased under the Hotel Lease and the Casino Lease; (iii) utilize only those portions of the Leased Premises as are reasonably required for office and storage purposes; (iv) be open for business during normal
business hours each and every day of each year of this Lease, except as provided for herein; and (v) provide, at Tenant’s expense, such security devices or personnel as may be reasonably required to prevent theft, vandalism and other
losses or nuisances on the Leased Premises and the Access Tract. 
  

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 (d) Tenant shall procure, at Its sole expense, any permits and licenses required for the
transaction of business with respect to the Leased Premises and shall otherwise comply with all applicable laws, ordinances and governmental regulations pertaining to the conduct of such business. 
 Section VI.3. Competition. 
 Tenant shall not violate any exclusive right given by Landlord to any other tenant of the Biloxi Waterfront-Point Cadet Project area; provided, that such exclusive right does not conflict with Tenant’s then existing operations, if
authorized under this Lease, or Tenant’s exclusive rights. 
 Section VI.4. Storage, Office Space. 
 Although Tenant may warehouse, store and/or stock in the Leased Premises such goods as are reasonably necessary to operate its lodging
business, and businesses ancillary thereto, Tenant shall use the Leased Premises for income-producing business enterprises as provided in Section 6.1 herein upon completion of Phase II of the Facilities and shall not use the Leased Premises
primarily as a warehouse or storage facility. 
 Section VI.5. Merchandise. 
 Tenant shall offer only such goods, wares and merchandise as are, in Landlord’s opinion, of the quality and kind suitable for sale on
the Leased Premises or consistent with the standards that Landlord seeks to maintain in the Biloxi Waterfront-Point Cadet Project. Tenant agrees promptly upon written request of Landlord to remove all such goods, wares or merchandise as are
reasonably objectionable to Landlord. 
 ARTICLE VII. 
 COMMON AREAS AND FACILITIES; PARKING 
 Section VII.1. Use of Common Areas. 
 (a) Common areas shall include the parking lots within the areas of the Biloxi Waterfront-Point Cadet Project shown upon Exhibits attached
to the Casino Lease and the Hotel Lease (except where they are included in and have thereby become a part of the Leased Premises) for the non-exclusive use (in common with such others as Landlord may prescribe, including, but not limited to, the
occupants, employees and customers of other tenants of Landlord and any other business upon the areas of the Biloxi Waterfront-Point Cadet Project not owned by Landlord as well as general public users of the Biloxi Waterfront-Point Cadet Project) of
Tenant, its agents, employees and customers for vehicle parking; provided, however, that such use shall be subject to the provisions of Sections 7.2 and 7.3 of this Lease; and provided further that Landlord may, as it shall from time to time see
fit, but subject to the provisions of Section 7.3 of this Lease, reduce the parking area (which in this sentence shall be construed to include the pavements, curbs, gutters, parking lot lighting, and drainage systems, walls, fences, easements,
landscaping, access driveways, footways and other passageways) by erecting on said parking area, store buildings or other structures or improvements of any kind, including, but not limited to, extensions to buildings now shown on said plat. Subject
to the provisions of Section 7.3 of this Lease, Landlord may, in its discretion, construct double-deck or multi-level parking facilities. 
  

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 (b) Landlord agrees that should the common areas, including the parking lots within the
areas of the Biloxi Waterfront-Point Cadet Project, be made available by Landlord for the non-exclusive use of additional tenants of the Biloxi Waterfront-Point Cadet Project and their employees and customers after the commencement of this Lease,
Landlord shall use its best efforts to require each such additional tenant to construct additional parking facilities at the Biloxi Waterfront-Point Cadet site in an amount sufficient to satisfy the requirements of the zoning ordinances applicable
to the businesses operated by those additional tenants; however, if a court of competent jurisdiction should adjudicate that Landlord is without the authority to require any such additional tenant to provide said parking, then the failure of
Landlord to require it shall not be deemed a breach of this Lease, nor shall Tenant be entitled to any compensation from Landlord for such failure. 
 Section VII.2. Control of Common Areas by Landlord. 
 (a) Subject to the provisions of Section 7.3 of
this Lease, all parking areas, access roads, wharves and facilities which may be furnished by Landlord in or at the Biloxi Waterfront-Point Cadet Project (including employee parking areas, truck way or ways, driveways, loading docks and areas,
ramps, landscaped and planting areas, retaining walls, stairways, bus stops, first aid stations, comfort stations, lighting facilities, signs, music program service, if any), and all other areas and improvements for the general use, in common, of
tenants, their officers, agents, employees and customers, shall at all times be subject to the exclusive control and management of Landlord, and Landlord shall have the right from time to time to establish, modify and enforce reasonable rules and
regulations with respect to all facilities and areas mentioned in this section. Landlord shall have the right to construct, maintain and operate lighting facilities on all said areas and improvements and to police the same. 
 (b) Subject to the provisions of Section 7.3 of this Lease, Landlord shall have the right from time to time: to change the location
and arrangement of the parking areas and other facilities referred to in this section; to change truck routes to such extent as Landlord may desire, provided that the Leased Premises, the Access Tract, and Tenant’s businesses under the Hotel
and Casino Leases are adequately served by the new route; to restrict parking by tenants, their officers, agents and employees to employee parking areas; to construct surface or elevated parking areas and facilities; to establish and from time to
time change the level of parking surfaces; to close all or any portion of said areas or facilities to such extent as may, in the opinion of Landlord’s counsel, be legally sufficient to prevent a dedication thereof or the accrual of any rights
to any person or to the public therein; to close temporarily all or any portion of the parking areas or facilities; to discourage non-customer parking; and to dedicate or convey property for public, utility or drainage use; and perform such other
acts in and to said areas and improvements as, in the use of good judgment, Landlord shall determine to be advisable, with a view to the improvement of the convenience and use thereof by tenants, their officers, agents, employees and customers.

  

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 Section VII.3. Parking Facilities. 
 (a) Throughout the term hereof, Tenant shall provide primary vehicular parking facilities for the use of its customers, employees and
concessionaires through parking facilities constructed and maintained by Tenant, at Tenant’s expense, on the Leased Premises, the Access Tract, and other premises leased by Tenant. 
 (b) In addition, and subject to the provisions of subparagraph (c) of this section, Landlord shall continue to make the surface
parking spaces, including both those spaces designated as permanent and those spaces south of U.S. Highway 90 designated as temporary in the Casino Lease, which are now available to Tenant at the Point Cadet site south of U.S. Highway 90 (excluding:
17 parking spaces attributable to the Covacevich Property; Port Commission parking for the Point Cadet Marina; IHL parking for the Marine Education Center; and parking for the former Gulf Marine State Park area; and further excluding those portions
now contained in the Leased Premises of this Lease) available to Tenant as surface parking for the term of the Casino Lease on a non-exclusive basis. Surface parking as referred to herein shall mean ground level parking with no buildings, decks or
other superstructures located above the surface parking. 
 (c) The parties acknowledge that changes may be required from
time to time to the entrance of the Point Cadet project site south of U.S. Highway 90 and that it is in the best interest of both parties that such changes be made in a manner that is cosmetically appealing and safe for vehicular and pedestrian
traffic, yet also accommodates as many surface parking spaces as possible. The parties agree that, subject to the approval by Tenant of the change in design to be utilized, Landlord may at its own expense redesign the entrance and portion of the
parking lot fronting U.S. Highway 90 and may incorporate the area indicated in the document attached as Exhibit P-3 to the Hotel Lease into such design. A reconfiguration of the parking facilities at the Point Cadet site pursuant to this
subparagraph (c) shall not be construed as a violation of subparagraph (b) of this section. It is the intent of the parties that the parcel identified by reference as Exhibit P-3 to the Hotel Lease is one and the same as that parcel
described on Exhibit P-3 of the Casino Lease. 
 (d) Should Tenant remove or displace any parking facilities located on the
Leased Premises which were designated as permanent parking or temporary parking under the Casino Lease, the Hotel Lease, or this Lease, Landlord shall neither be required to replace any such lost parking spaces nor to compensate Tenant for the loss
of use of those parking spaces, and Landlord shall not be considered in default of any provision of this Lease, the Hotel Lease, or the Casino Lease regarding parking based upon the loss of such parking. 
 (e) The parties acknowledge that in order to construct Phase I of the Facilities, some of the parking for the Point Cadet Marina will be
displaced. During the construction of Phase I, Tenant agrees at Tenant’s expense to maintain in areas approved by Landlord and the Biloxi Port Commission adequate temporary parking for the use of patrons and visitors to the Point Cadet Marina.
In addition, Tenant agrees to provide transportation for the Marina patrons from the temporary parking area to the Point Cadet Marina during the Construction Period. 
  

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 (f) Following construction of Phase I of the Facilities, Tenant agrees to maintain at
Tenant’s expense one hundred forty-seven (147) reserved parking spaces for the use of patrons and visitors to the Point Cadet Marina, subject to approval of the location of such reserved parking spaces by the Biloxi Port Commission. The
Biloxi Port Commission shall have the authority to designate whether these parking spaces are reserved for Port Commission employees, specific lessees, contractors, or slip tenants of the Biloxi Port Commission, the general public, or any other
person designated by the Biloxi Port Commission. 
 Section VII.4. Maintenance and Repair of Parking Facilities. 
 (a) Tenant will maintain in good repair and in a clean, neat and attractive condition and will supply and pay for public utilities
consumed in the operation of: its parking facilities located on the Leased Premises; those parking spaces south of U.S. Highway 90 formerly designated as temporary in the Casino Lease but now designated as permanent in the Hotel Lease; and those
parking spaces made available to all Biloxi Waterfront-Point Cadet Project area tenants on a non exclusive basis for Tenant’s patrons, customers or employees. For purposes hereof and for purposes of this Lease, the term “parking
facilities” shall include the appurtenant landscape areas, lighting and sprinkler system. 
 (b) At such time in the
future that the parking areas constructed, improved or maintained by Tenant shall be used jointly with another tenant or other tenants of the Biloxi Waterfront-Point Cadet project area, other than the Biloxi Port Commission, Tenant will be entitled
to demand and receive from such other tenant(s) participation in the costs of repairs, maintenance, and utility costs relating to the non-exclusive parking area(s) by way of contributions, on a fair and equitable pro-rata basis according to the
respective volume of use thereof attributable to the various tenants. 
 Section VII.5. Total Condemnation of the Parking Area.

 (a) If the whole of the common parking areas in the Biloxi Waterfront-Point Cadet Project area South of U.S. Highway 90
not leased to Tenant shall be acquired or condemned by any qualified condemning authority other than Landlord or its successors or assigns, through eminent domain proceedings for any public or quasi-public use or purpose, then Tenant shall have the
option to terminate this Lease by notifying Landlord in writing of such election within ninety (90) days from the date of title vesting in such proceeding, and all rentals shall be paid up to that date, and Tenant shall have no claim against
Landlord for the value of any unexpired term of this Lease. Nevertheless, if Landlord shall give written notice to Tenant within fourteen (14) days of such acquisition that it will provide common public parking facilities reasonably equivalent
in size and capacity and within the Biloxi Waterfront-Point Cadet Project area, and within ninety (90) days from the date of such acquisition take steps to provide common public parking facilities reasonably equivalent in size and capacity and
within the Biloxi Waterfront-Point Cadet Project site, then this Lease shall continue in full force and effect and be unaffected by such acquisition. 
  

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 (b) The removal or relocation of parking spaces as contemplated by Section 7.3 of
this Lease shall not be subject to the provisions of this subsection. The parties acknowledge that the parking spaces may be removed or relocated during the term(s) of this Lease upon the conditions provided in Section 7.3 and agree that such
relocation or removal shall not cause this Lease to cease and terminate as contemplated above. 
 ARTICLE VIII. 
 TENANT’S LIABILITY FOR MAINTENANCE AND SUPERVISION 
 Section VIII.1. Tenant’s Responsibilities. 
 (a) Tenant shall at all times keep
the Leased Premises (including maintenance of exterior entrances, all glass and show window moldings) and all partitions, doors, fixtures, equipment and appurtenances thereof (including lighting, heating and plumbing fixtures, escalators, elevators
and any air-conditioning system) and the surface and landscaping of the Access Tract, in good order, condition and repair (including reasonably periodic painting). If Landlord shall be required to make any repairs or restoration by reason of
Tenant’s negligent acts or omission to act, Landlord may add the cost of such repairs to the rent which shall thereafter become due. 
 (b) In pursuance of its obligation of maintenance, Tenant agrees: to keep the inside and outside of all glass in the doors and windows of the Leased Premises clean; to keep all exterior surfaces of the Leased Premises
clean; to replace promptly at its own expense with glass of like kind and quality any plate glass or window glass of the Leased Premises which may become cracked or broken; not to place or maintain any merchandise or other articles in the vestibule
or entry of the Leased Premises or on the footwalk adjacent thereto or elsewhere on the exterior thereof; to maintain the Leased Premises at its own expense in a clean, orderly and sanitary condition and free of insects, rodents, vermin and other
pests; not to permit undue accumulations of garbage, trash, rubbish and other refuse, to remove the same at its own expense and to keep such refuse in proper containers (or trash room maintained by Tenant) on the interior of the Leased Premises
until called for to be removed; not to use or permit the use of any apparatus for sound reproduction or transmission or of any musical instrument in such a manner as to create a nuisance; to keep all mechanical apparatus free of vibration and noise
which may be transmitted beyond the confines of the Leased Premises; not to cause or permit objectionable odors to emanate or be dispelled from the Leased Premises; to comply with the regulations of any federal, state, municipal or other public
authority having jurisdiction in the Leased Premises and surrounding waters, and all recommendations of any public or private agency having authority over insurance rates with respect to the use or occupancy of the Leased Premises by Tenant; not to
park, and to require its employees to refrain from parking, any vehicle on Landlord’s land except in such places as may be designated by Landlord for the use of Tenant and its employees; not to overload the electric wiring serving the Leased
Premises or within the Leased Premises and to install at its own expense, but only after obtaining Landlord’s written approval, any electric wiring which may be required in connection with Tenant’s apparatus; to repair promptly at its own
expense any damage to the Leased Premises regardless of fault or by whom such damage shall be caused, unless caused by Landlord, its agents, employees or contractors; in case of default of any such repairs by Tenant, Landlord may make the same and
Tenant agrees to pay the 
  

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 cost thereof to Landlord promptly upon Landlord’s demand therefor; and to conduct its business in
the Leased Premises in all respects in a dignified manner and in accordance with high standards of operations; and to comply with Section 7.4 hereof. 
 Section VIII.2. Landlord’s Right to Intervene. 
 If Tenant refuses or neglects to
repair property as required hereunder and to the reasonable satisfaction of Landlord as soon as reasonably possible after written demand, Landlord may make such repairs without liability to Tenant for any loss or damage that may accrue to
Tenant’s merchandise, fixtures or other property or to Tenant’s business by reason thereof; and upon completion thereof, Tenant shall pay Landlord’s cost for making such repairs, upon presentation of a bill therefor, as additional
rent. This provision shall be construed as a right of Landlord and not an obligation. Landlord shall have the option to exercise this right in its sole discretion or may elect any other remedy available to it, but in no event shall this be construed
as an obligation of Landlord to any third party or subtenant of Tenant. 
 Section VIII.3. Surrender of Leased Premises, Trade Fixtures,
Improvements. 
 (a) Tenant may remove all its detachable and movable trade fixtures brought in by Tenant before
surrendering the Leased Premises and the Access Tract as aforesaid and shall repair any damage to the Leased Premises and the Access Tract caused thereby. Any such trade fixtures not removed by Tenant prior to surrender of possession, at the option
of Landlord, either shall become the property of Landlord or may be removed by Landlord at the expense of Tenant. Tenant agrees to pay for the removal of any such abandoned trade fixtures, and this obligation of Tenant to remove or pay for such
removal shall survive the expiration or termination of the possessory rights of Tenant created by this Lease and the expiration or other termination of this Lease. 
 (b) All alterations, additions, improvements and fixtures (other than detachable and movable trade fixtures which may be made or installed by Tenant upon the Leased Premises and the Access Tract)
shall remain upon and be surrendered with the Leased Premises and the Access Tract and become the property of Landlord at the termination or cancellation of this Lease, unless Landlord requests their removal by Tenant prior to the termination of
this Lease, in which event Tenant shall remove the same at Tenant’s expense. All such alterations, additions, improvements and fixtures not requested by Landlord to be removed prior to surrender of possession shall become the property of
Landlord without credit or compensation to Tenant; all such alterations, additions, improvements and fixtures which Landlord has requested Tenant to remove but which have not been removed prior to surrender of possession may be removed by Landlord
at the expense of Tenant. Landlord agrees to give Tenant written notice under Sections 8.3(a) and 8.3(b) within thirty (30) days after the termination of this Lease of its intent to remove any such alterations, additions, improvements and
fixtures at the expense of Tenant and to remove such items in a reasonable amount of time thereafter commensurate with the difficulty and expense of such removal. Tenant agrees to pay for the removal of any such alterations, additions, improvements
and fixtures, and this obligation of Tenant to remove or pay for such removal shall survive the expiration or termination of the possessory rights of Tenant created by this Lease and the expiration or other termination of this Lease. 
  

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 ARTICLE IX. 
 LANDLORD’S OBLIGATION 
 Section IX.1. Landlord’s Disclaimer. 
 Landlord shall be under no liability to replace, repair, maintain, alter or take any other action with reference to the Leased Premises or
Access Tract or any part thereof, or any plumbing, heating, cooling, gas, electrical or other mechanical installation therein. 
 Section
IX.2. Use of Leased Premises and Access Tract. 
 Landlord represents and warrants that the Leased Premises and the Access
Tract are currently zoned for the intended uses specified in Section 6.1 hereof and otherwise contemplated by or authorized under this Lease, either as a permitted use or as a conditional use, and that it is aware of no moratorium or ordinance
in effect which would prohibit the use of the Leased Premises or the Access Tract in the manner contemplated by this Lease. 
 Section
IX.3. Tenant Right to Cure. 
 Landlord (City) covenants that it will use its best efforts to comply with all terms and
conditions contained in the Tidelands Leases and to remain a tenant in good standing thereunder. Landlord (City) further agrees that if it receives notice that it is in default thereunder, it will within twenty (20) days of receipt of such
notice give Tenant written notice of such default. If Landlord (City) is unable to cure any such default in a timely manner, Tenant shall have the right to cure such default and offset any costs of curing against any future payments of rent and
additional rent due under this Lease. 
 Section IX.4. Consent under Hotel Lease. 
 This Lease constitutes the written consent required by Section 6.03 of the Hotel Lease. Landlord hereby acknowledges that the
operation of any business authorized by this Lease or operated by Tenant pursuant to this Lease shall not be a violation of Section 6.03 of the Hotel Lease. 
 Section IX.5. Consent under Casino Lease. 
 Landlord acknowledges that the
construction of Phase I of the Facilities shall satisfy the requirement of Section 1.01(c) of the Second Addendum to the Casino Lease requiring Tenant to construct permanent improvements on the east eight-five (85) feet of the property
leased under the Casino Lease. 
  

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 ARTICLE X. 
 DISPLAYS, SIGNS, AWNINGS, PAINTING, 
 ALTERATIONS, TRADE FIXTURES 
 Section X.1. Displays. 
 Tenant shall install and maintain at all times after completion of Phase II of the Facilities displays of merchandise in the show windows of the Leased Premises, and Tenant agrees promptly upon order of Landlord to remove all or any part of
such displays as are objectionable to Landlord or to take such other action with reference thereto as Landlord may reasonably direct. Tenant agrees to maintain all such displays in good condition and repair at all times. 
 Section X.2. Signs. 
 All signs and advertising matters of any other kind shall be erected and maintained in conformity with the ordinances of the City of Biloxi and shall be compatible with the existing structures and uses at the Point Cadet project area.
Tenant agrees to maintain all such signs, decorations, lettering and advertising matter in good condition and repair at all times. 
 Section X.3. Awnings. 
 Should Tenant erect an awning or other device protecting against the sun or the
elements, Tenant agrees that it will at its own expense keep such awning or device in good condition and repair and that it will replace or recover the same whenever it shall become shabby or unattractive in appearance. 
 Section X.4. Painting. 
 Tenant shall not paint or decorate any part of the exterior of the Leased Premises without first obtaining Landlord’s written approval of such painting or decoration, and Tenant agrees to remove promptly upon order of Landlord any
paint or any such decoration which has been applied to or installed upon the exterior of the Leased Premises without Landlord’s prior written approval or to take such other action with reference thereto as Landlord may direct. 
 Section X.5. Alterations. 
 Except for constructing the Facilities in substantial conformity to the plans as approved by Landlord, Tenant shall not alter the facade of the improvements constructed on the Leased Premises and shall not make any structural alterations
thereto without first obtaining Landlord’s written approval of such alteration, but such approval shall not be unreasonably withheld, conditioned, or delayed. The foregoing shall not be considered a waiver of Tenant’s obligation to comply
with applicable permitting requirements. 
  

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 Section X.6. Trade Fixtures. 
 All trade fixtures and apparatus installed by Tenant in the Leased Premises other than alterations referred to in Section 10.5 above,
shall remain the property of Tenant and be removable at any time, provided Tenant be not in default at the time of any covenant of this Lease. Tenant shall promptly and at its own expense repair any damage to the Leased Premises in removing any such
trade fixtures and apparatus. 
 ARTICLE XI. 
 INSURANCE AND INDEMNITY 
 Section XI.1. Liability Insurance. 
 Subject to the limitations provided in Section 3.8, Tenant shall, during the entire term and any extension hereof, keep in full force
and effect a policy of public liability and property damage insurance with respect to the Leased Premises and the Access Tract and the business operated by Tenant and any subtenants of Tenant on the Leased Premises and the Access Tract in which the
limits of public liability shall not be less than One Million Dollars ($1,000,000.00) per person and Three Million Dollars ($3,000,000.00) per incident and in which the property damage liability shall be not less than One Hundred Thousand Dollars
($100,000.00). The policy shall name Landlord, any person, firms or corporations designated by Landlord, and Tenant as insured and shall contain a clause that the insurer will not cancel or change the insurance without first giving Landlord ten
(10) days’ prior written notice. The insurance shall be in an insurance company approved by Landlord, and a copy of the policy or a certificate of insurance shall be delivered to Landlord. 
 Section XI.2. Increase in Fire Insurance Premium. 
 Tenant agrees that it will not keep, use, sell or offer for sale in or upon the Leased Premises or the Access Tract any article which may be prohibited by the standard form of fire insurance policy. 
 In the event Tenant’s use or occupancy of the Leased Premises or the Access Tract causes any increase of premium for the fire,
boiler and/or casualty rates on the Leased Premises or the Access Tract or any part thereof above the rate for the least hazardous type of occupancy legally permitted in the Leased Premises, Tenant shall pay the additional premium on the fire,
boiler and/or casualty insurance policies by reason thereof. Tenant also shall pay in such event any additional premium on the rent insurance policy that may be carried by Landlord for its protection against rent loss through fire. Bills for such
additional premiums shall be rendered by Landlord to Tenant within sixty (60) days of their receipt by Landlord and shall be due from and payable by Tenant within fourteen (14) days of their receipt by Tenant, and the amount thereof shall
be deemed to be and be paid as additional rent. 
  

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 Section XI.3. Indemnification of Landlord. 
 Tenant will indemnify Landlord and save it harmless from and against any and all claims, actions, damages, liability and expense in
connection with loss of life, personal injury and/or damage to property arising from or out of any occurrence in, upon or at the Leased Premises and the Access Tract, or the occupancy or use by Tenant of the Leased Premises and the Access Tract or
any part thereof, occasioned wholly or in part by any act or omission of Tenant, its agents, contractors, employees, servants, lessees or concessionaires. In case Landlord shall, without having committed any willful act or act of gross negligence on
its part, be made a party to any litigation commenced by or against Tenant, then Tenant shall protect and hold Landlord harmless and shall pay all costs, expenses and reasonable attorney’s fees incurred or paid by Landlord in connection with
such litigation. 
 Section XI.4. Tenant’s Compliance. 
 If any activity of Tenant shall cause any insurance policy maintained by Landlord on any property or activity at the Biloxi Waterfront-Point Cadet project area, including, but not limited to, a
fire insurance policy, to be threatened with cancellation, then Tenant shall, during the term and any extension granted herein, comply with the rules, regulations and requirements of the Fire Rating Authority applicable to any such policy of
Landlord and Landlord’s underwriters in order to prevent such cancellation. 
 ARTICLE XII. 
 UTILITIES 
 Section XII.1.
Connection and Use of Utilities. 
 Tenant shall, at its sole expense, arrange for the entry and connection of all
necessary utility services to the Leased Premises. Tenant shall pay all charges for water, sewage service, fuels, electricity, steam, gas, telephone service and other utilities used in or at the Leased Premises for any purpose and for all charges
for water used on the surface of the Access Tract and for electricity for lighting thereon. 
 ARTICLE XIII. 
 OFFSET STATEMENT, ATTORNMENT, SUBORDINATION 
 Section XIII.1. Offset Statement. 
 Within ten(10) days after request therefor by Landlord, or in the
event that upon any sale, assignment or hypothecation of the Leased Premises, the Access Tract, and/or the land thereunder by Landlord, an offset statement shall be required from Tenant, Tenant agrees to deliver in recordable form a certificate to
any proposed mortgagee or purchaser, or to Landlord, certifying (if such be the case) that this Lease is in full force and effect and that there are no defenses or offsets thereto, or stating those claimed by Tenant. 
  

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 Section XIII.2. Attornment. 
 Tenant shall, in the event any proceedings are brought for the foreclosure of, or in the event of exercise of the power of sale under, any
mortgage or deed of trust made by Landlord covering the Leased Premises or the Access Tract, attorn to the purchaser upon any such foreclosure or sale and recognize such purchaser as Landlord under this Lease, provided Tenant either receives a
non-disturbance agreement from the purchaser reasonably satisfactory to Tenant or such a provision is included in any applicable deed of trust and is in effect upon such attornment. 
 Section XIII.3. Subordination. 
 Landlord reserves the right to
subject and/or subordinate its interest in this Lease at all times to the lien of any mortgage or deed of trust now or hereafter placed upon Landlord’s interest in the Leased Premises or the Access Tract, or upon the land or premises of which
the Leased Premises and Access Tract are a part, or upon any building now or hereafter placed by Landlord upon the land of which the Leased Premises forms a part, and to all advances made or hereafter to be made upon the security thereof, all
without the necessity of Tenant joining in any such subordination; however, upon request of Landlord, Tenant shall execute and deliver such further instrument evidencing Tenant’s consent to the subordination by Landlord of its interest in this
Lease as Landlord may reasonably request, provided Landlord’s proposed lender executes a non-disturbance agreement reasonably satisfactory to Tenant. It is further understood and agreed, however, that neither such subordination of
Landlord’s interest, nor any foreclosure of any such mortgage or deed of trust, shall affect Tenant’s right to continue in possession of the Leased Premises or use of the Access Tract under the terms of this Lease so long as Tenant shall
not default in the performance of Tenant’s obligations hereunder. 
 ARTICLE XIV. 
 ASSIGNMENT AND SUBLETTING 
 Section
XIV.1. Consent Required. 
 (a) Landlord hereby consents to the mortgage by Tenant of Tenant’s interest in this Lease
as additional collateral for the financing obtained by Tenant in the amount of $500,000,000.00. Such consent is on the same terms and conditions as those contained in the consents signed by City and State in April 2002 and all of the terms and
conditions of said consents are incorporated herein. Neither said mortgage nor this consent shall extend to or affect the interest of Landlord as lessor, or its reversionary interest under this Lease, or the estate of Landlord in any to any land or
building and improvements now or hereafter erected on the Leased Premises or the Access Tract. Any further or additional mortgage, pledge, or encumbrance of Tenant’s interest in this Lease shall require the written consent of Landlord as
provided herein, which shall not be unreasonably withheld, conditioned, or delayed. 
  

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 (b) Except as provided in Section 14.1(a) above, Tenant may not assign this
Lease in whole or in part, or sublet all or any part of the Leased Premises, without the prior written consent of Landlord, which consent shall not be unreasonably withheld, conditioned, or delayed. The consent by Landlord to any assignment or
subletting shall not constitute a waiver of the necessity for such consent to any subsequent assignment or subletting. This prohibition against assigning or subletting shall be construed to include a prohibition against any assignment or subletting
by operation of law or otherwise. If this Lease is assigned or if the Leased Premises or any part thereof be underlet or occupied by anybody other than Tenant pursuant to said written consent of Landlord, Landlord may collect rent from the assignee,
undertenant or occupant and apply the net amount collected to the rent herein reserved, but no such assignment, underletting, occupancy or collection shall be deemed a release of Tenant from the further performance by Tenant of covenants on the part
of Tenant herein contained. After any approved assignment or sublease, Tenant and any guarantor of Tenant shall remain fully liable on this Lease and shall not be released from liability for performing any of the terms, covenants and conditions of
this Lease and such release unless specifically released in writing therefrom by Landlord, and sublessee or assignee specifically agrees to comply with the provisions of Section 24.10 of this Lease. Should Landlord consent to an assignment or
subletting of this Lease, Landlord shall not unreasonably withhold, condition, or delay its consent to the release of liability of Tenant and any guarantor of Tenant from their obligations under this Lease, provided the determination of
reasonableness of a denial or release of liability may include the same factors used to determine the reasonableness of the consent to assignment or subletting but shall be an independent determination. 
 Section XIV.2. Benefits and Burdens on Assignment. 
 This Lease and agreement and the covenants and conditions herein contained shall inure to the benefit of and be binding upon Landlord, its successors and assigns, and shall be binding upon Tenant, its heirs,
successors and assigns, and shall inure to the benefit of Tenant and only such assigns of Tenant to whom the assignment by Tenant has been consented to in writing by Landlord. Nothing contained in this Lease shall in any manner restrict
Landlord’s right to assign or encumber this Lease in its sole discretion. 
 ARTICLE XV. 
 WASTE, GOVERNMENTAL REGULATIONS 
 AND
TENANT’S COVENANTS 
 Section XV.1. Waste or Nuisance. 
 Tenant shall not commit or suffer to be committed either any waste upon the Leased Premises or the Access Tract, or any nuisance or other
act or thing which may either disturb the quiet enjoyment of any other tenant in the Biloxi Waterfront-Point Cadet Project or which may disturb the quiet enjoyment of any person within five hundred (500) feet of the boundaries of the Biloxi
Waterfront-Point Cadet Project. 
  

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 Section XV.2. Governmental Regulations. 
 Tenant shall, at Tenant’s sole cost and expense, comply with all of the requirements of all county, municipal, state, federal and
other applicable governmental authorities, now in force, or which may hereafter be in force, pertaining to the said Leased Premises and the Access Tract, and shall faithfully observe in the use of the Leased Premises all municipal and county
ordinances and state and federal statutes now in force or which may hereafter be in force. 
 Section XV.3. Tenant’s Covenants. 

 Tenant agrees that in all hiring or employment made possible by or as a result of this Lease contract, (a) there will
not be any discrimination against any employee or applicant for employment because of race, color, religion, sex or national origin; and (b) affirmative action will be taken to ensure that applicants are employed and that employees are treated
during employment without regard to their race, color, religion, sex or national origin. This non-discrimination requirement shall apply to employment, upgrading, demotion or transfer, recruitment or recruitment advertising, layoff or termination,
rates of pay or other forms of compensation, and selection of training, including apprenticeships, and also to any and all other areas of employment in which discrimination could be prevalent. There shall be posted in conspicuous places on the
facilities constructed on the Leased Premises notices available to employees and applicants for employment which set forth the provisions of this clause. All solicitations or advertisements for employees shall state that all qualified applicants
will receive consideration for employment without regard to race, color, religion, sex or national origin. 
 Section XV.4.
Non-Discrimination. 
 Tenant agrees that no person in the United States shall, on the ground of race, color, religion,
sex or national origin, be excluded from participation in, be denied the benefits of or be subject to discrimination under any program or activity made possible by or resulting from this Lease contract. Tenant shall comply with all requirements
imposed by or pursuant to Title VI of the Civil Rights Act of 1964. 
 Section XV.5. Flood Insurance. 
 Tenant shall, if the Leased Premises are located in an area identified by the HUD Secretary as a special flood hazard area and in which
the sale of flood insurance has been made available under the National Flood Insurance Act of 1968, as amended, 42 U.S.C. 4001, et. seq., carry flood insurance insuring the Leased Premises. Said insurance shall name Landlord as an additional
insured. 
  

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 Section XV.6. HUD Paint Regulations. 
 Tenant agrees that in all construction or rehabilitation of structures situated on the Leased Premises, it will fully comply with any and
all HUD lead-based paint regulations, 24 C.F.R. Part 35, insofar as said regulations apply to construction of the type done by Tenant. 
 ARTICLE XVI. 
 DESTRUCTION OF LEASED PREMISES 
 Section XVI.1. Destruction of Leased Premises. 
 (a) In the
event that the improvements to the Leased Premises necessary for the operation of Tenant’s business shall be damaged or destroyed by fire or other casualty insurable under standard fire and extended coverage insurance, Tenant shall proceed with
reasonable diligence and at its sole cost and expense to rebuild and repair those improvements on the Leased Premises, as hereinafter provided. 
 (b) Tenant’s obligation to rebuild and repair under this article shall in any event be limited to restoring the improvements to the Leased Premises to substantially the condition in which the same existed prior
to the casualty, and Tenant agrees that, promptly after completion of such work, it will proceed with reasonable diligence and at its sole cost and expense to rebuild, repair and restore its sign, fixtures, equipment and other ancillary improvements
necessary to conduct the business or businesses contemplated by this Lease. 
 (c) Tenant agrees that during any period of
reconstruction or repair of the Leased Premises, it will continue the operation of its business within the Leased Premises to the extent practicable. 
 (d) Tenant shall be excused from the requirement to rebuild the improvements to the Leased Premises as provided in this section if such destruction takes place within the last three (3) years of the primary term
of this Lease, or within the last two (2) years of any option period; provided, that Tenant’s choice not to reconstruct said improvements shall not excuse Tenant from its obligations to pay rent under this Lease; and, provided further,
that should Tenant elect not to rebuild the improvements under the circumstances provided herein, Tenant shall remove all improvements, or the remains thereof, within four (4) months of the casualty. 
 ARTICLE XVII. 
 EMINENT DOMAIN 

 Section XVII.1. Total Condemnation. 
 (a) If the whole of the Leased Premises shall be acquired or condemned by any qualified condemning authority other than Landlord or its successors or assigns through eminent domain 

  

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proceedings for any public or quasi-public use or purpose, then the term of this Lease shall cease and terminate as of the date of title vesting in such
proceeding, and all rentals shall be paid up to that date, and Tenant shall have no claim against Landlord for the value of any unexpired term of this Lease. Tenant shall have the right to assert a claim in any such condemnation proceeding for all
compensation it is entitled to under the laws of the State of Mississippi and the Constitution and laws of the United States of America. 
 (b) If the whole of the Leased Premises and the Access Tract shall be acquired or condemned by Landlord for any public purpose or quasi-public purpose, then all rentals shall be paid up to the date of vesting of
title, and the term of this Lease shall terminate upon the acquisition of the interest of Tenant by Landlord for “just compensation” in the manner provided by law. 
 (c) The term “acquired or condemned through eminent domain proceedings for any public or quasi-public use” as used throughout this article shall include a sale or transfer to such body
under threat of eminent domain or condemnation. 
 Section XVII.2. Partial Condemnation. 
 (a) If any part of the Leased Premises or the Access Tract shall be acquired or condemned by any qualified condemning authority other than
Landlord or its successors or assigns, through eminent domain proceedings for any public or quasi-public use or purpose, and in the event such partial taking or condemnation shall render the Leased Premises and the Access Tract unsuitable for the
business of Tenant, then the term of this Lease shall cease and terminate as of the date of title vesting in such proceeding, and all rental shall be paid up to that date, and Tenant shall have no claim against Landlord for the value of any
unexpired term of this Lease. Tenant shall have the right to assert a claim in any such condemnation proceeding for all compensation it is entitled to under the laws of the State of Mississippi and the Constitution and laws of the United States of
America. 
 (b) If any part of the Leased Premises or the Access Tract shall be acquired or condemned by Landlord for any
public purpose or quasi-public purpose and such partial taking or condemnation renders the Leased Premises unsuitable for the business of Tenant, then all rentals shall be paid up to the date of vesting of title, and the term of this Lease shall
terminate upon the acquisition of the interest of Tenant by Landlord for “just compensation” in the manner provided by law. 
 (c) In the event of a partial taking or condemnation which is not extensive enough to render the Leased Premises or the Access Tract unsuitable for the business of Tenant, then Landlord shall give written notice to
Tenant within fourteen (14) days of such acquisition that it will restore the Leased Premises or the Access Tract to a condition comparable to that existing at the time of such acquisition or condemnation less the portion lost in the taking and
shall within ninety (90) days from the date of title vesting restore the Leased Premises or the Access Tract to a condition comparable to that existing at the time of such acquisition or condemnation less the portion lost in the taking. In that
event, this Lease shall continue in full force and effect and the minimum annual rent, but not the percentage rent or any other charge payable by Tenant hereunder as rent or additional rent, shall be reduced proportionately as to the portion of the
overall site (Casino Lease, Hotel Lease and this Lease) lost in the taking. 
  

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 Section XVII.3. Condemnation Award. 
 Subject to the paramount and prior rights to the condemnation award, if any, of the holder of any mortgage, such condemnation award
(whether in respect to total or partial taking of the Leased Premises or the Access Tract, as improved) shall be divided between Landlord and Tenant in proportion to the fair market value of their respective interests in the Leased Premises or the
Access Tract, as improved, as provided by law; accordingly, the portion of the award attributable to Tenant’s leasehold interest as lessee shall be received by Tenant, and the portion of the award attributable to Landlord’s interest as
lessor, if applicable, shall be received by Landlord. 
 ARTICLE XVIII. 
 TENANT’S PROPERTY 
 Section XVIII.1. Taxes on Leasehold. 

Tenant shall be responsible for and shall pay before delinquency all municipal, county or state taxes, including special assessments,
assessed during the term of this Lease against any leasehold interest or against personal property of any kind placed in, upon or about the Leased Premises or the Access Tract by Tenant. 
 Section XVIII.2. Loss and Damage. 
 (a) Landlord shall not be
liable for any damage to property of Tenant or subtenant or the property of others entrusted to Tenant or to employees of Tenant nor for the loss of or damage to any property of Tenant by theft or otherwise. 
 (b) Landlord shall not be liable for any injury or damage to persons or property resulting from: fire, explosion, steam, gas,
electricity, water, wind, rain, or snow; or leaks from any part of the Leased Premises or from the pipes or plumbing works, or from the street or subsurface or from any other place, or by dampness or by any other cause of whatsoever nature.

 (c) Landlord shall not be liable for any such damage caused by other tenants or persons in the Leased Premises or the
Access Tract, occupants of adjacent property, of the Biloxi Waterfront-Point Cadet Project, or the public, or caused by operations in construction of any private, public or quasi-public work. 
 (d) Landlord shall not be liable for any latent defect in the Leased Premises. All property of Tenant kept or stored on the Leased
Premises or the Access Tract shall be so kept or stored at the risk of Tenant only, and Tenant shall hold Landlord harmless from any claims arising out of damage to the same, including subrogation claims by Tenant’s insurance carriers, unless
such damage shall be caused by the willful act or gross neglect of Landlord. 
  

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 (e) In case Landlord shall, without having committed any willful act or gross negligence
on its part, be made a party to any litigation regarding losses or damages described in this section, then Tenant shall protect and hold Landlord harmless and shall pay all costs, expenses and reasonable attorneys’ fees incurred or paid by
Landlord in connection with such litigation, and Tenant shall also pay all costs, expenses and reasonable attorneys’ fees that may be incurred or paid by Landlord pursuant to the enforcement of any of the covenants and agreements in this Lease.

 ARTICLE XIX. 
 ADVERTISING 
 Section XIX.1. Solicitation of Business. 
 Tenant and Tenant’s employees and agents shall not solicit business in the parking or other common areas, nor shall Tenant distribute
any handbills or other advertising matter in automobiles parked in the parking area or in other common areas. 
 Section XIX.2.
Advertising. 
 Tenant shall use its best efforts to refer to Landlord’s development as “Biloxi Point
Cadet” in all printed advertising material, shopping bags, signs and all other printed references to the location of the Leased Premises and shall include the address and identity of its business activity in the Leased Premises in all
advertisements made by Tenant in which the address and identity of any other local business activity of like character conducted by Tenant shall be mentioned. 
 Section XIX.3. Use. 
 (a) The Leased Premises may be used only for the purpose or
purposes specified in Section 6.1 above and for no other purpose or purposes without the prior written consent of Landlord. The Access Tract may be used for the purposes specified in the grant of easement thereon under Section 1.2 hereof
and for no other purposes without the prior written consent of Landlord. 
 (b) Tenant shall not at any time leave the Leased
Premises vacant but shall in good faith continuously throughout the term of this Lease conduct and carry on in the entire Leased Premises the type of business for which the Leased Premises are leased. 
 (c) Tenant shall operate its business in an efficient and reputable manner so as to produce (subject to Tenant’s rights to exercise
its business judgment under the circumstances provided herein) the maximum amount of revenues and sales from the Leased Premises and shall, except during reasonable periods for repairing, cleaning and decorating, keep the Leased Premises and the
Access Tract open to the public for business with adequate personnel in attendance on all days and during all hours (including evenings) established by Landlord as business hours for the Biloxi Waterfront-Point Cadet Project and during any other
hours when the Leased Premises are open to the public for business. 
  

 34 

 (d) Tenant shall not conduct within the Leased Premises or the Access Tract any fire,
auction or bankruptcy sales or operate within the Leased Premises as a “wholesale” or “factory outlet” store, a cooperative store, a “second-hand” store, a “surplus” store or a store commonly referred to as a
“discount house.” Tenant shall not advertise that it sells products or services at “discount,” “cut-price” or “cut-rate” prices. 
 (e) Tenant shall not: permit any objectionable or unpleasant odors to emanate from the Leased Premises or the surface of the Access Tract; nor place or permit any radio, television, loud-speaker
or amplifier on the roof or outside the Leased Premises or the Access Tract or where the same can be seen or heard from outside the building; nor place an antenna, awning or other projection on the exterior of the Leased Premises or the Access
Tract; nor solicit business or distribute leaflets or other advertising material in the common areas of the Biloxi Waterfront-Point Cadet Project; nor take any other action which would constitute a nuisance or would disturb or endanger other tenants
of the Biloxi Waterfront-Point Cadet Project or unreasonably interfere with their use of their respective premises; nor do anything which would tend to injure the reputation of the Biloxi Waterfront-Point Cadet Project. 
 ARTICLE XX. 
 DEFAULT OF TENANT 

 Section XX.1. Default. 
 (a) In the event of: any failure of Tenant to pay any base, minimum, guaranteed, or percentage rental due hereunder within ten (10) days after the same shall become due; or any failure of Tenant to pay any ad
valorem tax due to be paid by Tenant or its subtenant pursuant to this Lease within thirty (30) days after it becomes due; or any failure of Tenant to pay any additional rental due hereunder within ten (10) days after receipt by Tenant of
written notice that same shall become due; or any failure of Tenant to pay any other amount or sum due hereunder, regardless of whether it is designated as additional rent, within ten (10) days after receipt by Tenant of written notice that
same shall become due; then Tenant shall be deemed to be in default hereunder and to have committed a breach hereof. 
 (b)
In the event Tenant fails to perform any other of the terms, conditions or covenants of this Lease (other than the payment of money or rent as specified in subparagraph (a) above) and such failure is not remedied within thirty (30) days
after written notice of such default shall have been given to Tenant, then Tenant shall be deemed to be in default hereunder and to have committed a breach hereof. The thirty (30) day period shall be suspended if Tenant has begun to cure or
remedy such failure and cannot with due diligence cure said default within the thirty (30) day period; provided, however, Tenant must continue to exercise due diligence in completing the cure or remedy of any such non-monetary default or
failure, and the thirty (30) day period shall be suspended only so long as Tenant continues to diligently complete said cure or remedy. 
  

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 (c) The foregoing notwithstanding, if: Tenant or an agent of Tenant shall falsify any
report required to be furnished to Landlord pursuant to the terms of this Lease; or Tenant or any guarantor of this Lease makes an assignment for the benefit of creditors, or petitions for or enters into an arrangement; or Tenant shall abandon said
Leased Premises, or suffer this Lease to be taken under any writ of execution; then Tenant shall be deemed to be in default hereunder and to have committed a breach hereof. 
 (d) Landlord may cancel and terminate this Lease if at any time during the term or any extension thereof a petition in bankruptcy or insolvency, for reorganization or for the appointment of a
receiver or trustee of all or a portion of Tenant’s property is filed by or against Tenant or any guarantor of this Lease in any court under any federal or state statute, and within ninety (90) days thereafter Tenant or any guarantor of
this Lease fails to secure a discharge thereof or provide Landlord adequate assurance, satisfactory to Landlord, that all of Tenant’s obligations under this Lease will be met, or if Tenant or any guarantor of this Lease makes an assignment for
the benefit of creditors or petitions for or enters into an arrangement for discharge of debt. Landlord shall exercise its right to cancel and terminate within a reasonable time after it receives notice that any of the above events have occurred. If
Landlord exercises such right, neither Tenant nor any person claiming through or under Tenant by virtue of any statute, court order or agreement shall be entitled to possession or to remain in possession of the Leased Premises and the easement over
the Access Tract but shall forthwith quit and surrender the premises; and Landlord, in addition to the other rights and remedies it has by virtue of any other provision contained in this Lease or any statute or rule of law, may retain as liquidated
damages any rent, security, deposit or monies received by it from Tenant or others on Tenant’s behalf. 
 (e) In the
event Landlord fails to perform any of the terms, conditions or covenants of this Lease to be observed or performed by Landlord for more than thirty (30) days after written notice of such default shall have been given to Landlord, Tenant shall
be entitled to pursue any and all remedies at law or in equity to which it may be entitled to enforce such obligation of Landlord. The thirty (30) day period shall be suspended if Landlord has begun to cure or remedy such failure and cannot
with due diligence cure said default within the thirty (30) day period; provided, however, Landlord must continue to exercise due diligence in completing the cure or remedy of any such non-monetary default or failure, and the thirty
(30) day period shall be suspended only so long as Landlord continues to diligently complete said cure or remedy. 
 Section XX.2.
Remedies. 
 (a) In the event of any default hereof by Tenant, Landlord, besides other rights or remedies it may have,
shall have the immediate right of re-entry and may remove all persons and property from the Leased Premises and the Access Tract, and such property may be removed and stored in a public warehouse or elsewhere at the cost of and for the account of
Tenant, all without service of notice and without being deemed guilty of trespass or becoming liable for any loss or damage which may be occasioned thereby. 
  

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 (b) Should Landlord elect to re-enter, as herein provided, or should it take possession
pursuant to legal proceedings or pursuant to any notice provided for by law, it may either terminate this Lease or it may from time to time without terminating this Lease make such alterations and repairs as may be necessary in order to relet the
Leased Premises, and relet said Leased Premises or any part thereof for such term or terms (which may be for a term extending beyond the term of this Lease) and at such rental or rentals and upon such other terms and conditions as Landlord in its
sole discretion may deem advisable; upon each such reletting all rentals received by Landlord from such reletting shall be applied, first, to the payment of any indebtedness other than rent due hereunder from Tenant to Landlord; second, to the
payment of any costs and expenses of such reletting, including brokerage fees and attorneys’ fees and of costs of such alterations and repairs; third, to the payment of rent due and unpaid hereunder; and the residue, if any, shall be held by
Landlord and applied in payment of future rent as the same may become due and payable hereunder. If such rentals received from such reletting during any month be less than that to be paid during that month by Tenant hereunder, Tenant shall pay any
such deficiency to Landlord. Such deficiency shall be calculated and paid monthly. No such re-entry or taking possession of said Leased Premises by Landlord shall be construed as an election on its part to terminate this Lease unless a written
notice of such intention be given to Tenant or unless the termination thereof be decreed by a court of competent jurisdiction. Notwithstanding any such reletting without termination, Landlord may at any time thereafter elect to terminate this Lease
for such previous breach. 
 (c) Should Landlord at any time terminate this Lease for any breach, in addition to any other
remedies it may have, it may recover from Tenant all damages it may incur by reason of such breach, including the cost of recovering the Leased Premises and the easement over the Access Tract, reasonable attorneys’ fees, and including the worth
at the time of such termination of the excess, if any, of the amount of rent and charges equivalent to rent reserved in this Lease for the remainder of the stated term over the then reasonable rental value of the Leased Premises and the Access Tract
for the remainder of the stated term, all of which amounts shall be immediately due and payable from Tenant to Landlord. 
 (d) In determining the rent which would be payable by Tenant hereunder, subsequent to default, the annual rent for each year of the unexpired term shall be equal to the average annual minimum and percentage rents paid by Tenant from the
commencement of the term to the time of default, or during the preceding three (3) full calendar years, whichever period is shorter. Without limitation of Landlord’s other rights and remedies, and regardless of whether or not Landlord
shall have re-entered, relet or terminated this Lease, in the event of any default or breach by Tenant, at the election of Landlord: (i) the entire rent for the whole term of this Lease and any other indebtedness of Tenant to Landlord hereunder
shall be immediately due and payable, or (ii) Landlord may proceed for past-due installments and indebtedness only, reserving Landlord’s right to proceed later for the remaining installments and subsequently maturing indebtedness. All
rights and remedies of Landlord, as set forth in this Lease, shall be in addition to such other rights and remedies as Landlord may have under any applicable law. 
  

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 (e) To the fullest extent allowable by law, Landlord shall have a lien on the goods,
furniture and effects belonging to Tenant for all rents and sums payable hereunder and all other charges due Landlord hereunder, which lien shall be superior to all other liens of any kind or character whatsoever. No goods, furniture and effects
shall be removed from the Leased Premises without the written consent of Landlord, except in the ordinary course of business, until all rents and other applicable charges have been paid. 
 Section XX.3. Legal Expenses. 
 In the event of any default
hereof by Landlord or Tenant, the parties agree to pay, in addition to any amounts which may be due under this Lease, the prevailing party’s reasonable attorneys’ fees, whether incurred prior to filing of suit or afterwards, necessary to
enforce the other party’s obligations under this Lease. 
 Section XX.4. Interest. 
 Without waiving, or in any manner affecting, any of the other rights or remedies
which Landlord has under this Lease or by reason of applicable law, Landlord may charge, after the expiration of any specified period for performance, interest on all past-due payments of rent and any other payments and sums due by Tenant and
collectible hereunder, at the lesser of one and one-half percent (1 1/2%) per month, or any part thereof, or the
maximum lawful rate of interest which may be charged; provided that no such interest may be charged if it is not lawful to do so. 
 ARTICLE XXI. 
 HOLDING OVER 
 Section XXI.1. Holding Over. 
 Any holding over after the expiration of the term
hereof, without the written consent of Landlord, shall be construed to be a tenancy from month to month at the rents herein specified (prorated on a monthly basis) and shall otherwise be on the terms and conditions herein specified, so far as
applicable. However, no holding over shall result in the waiver, loss or diminution of any of Landlord’s rights, either under the terms of this Lease or under applicable law. 
 ARTICLE XXII. 
 ACCESS RESERVATIONS AND RELEASES OF LANDLORD 
 Section XXII.1. Access. 
 Landlord shall have the right to enter upon the Leased Premises at any reasonable time upon reasonable notice to Tenant for the purpose of determining compliance with the terms, conditions and obligations of Tenant under this Lease, or of
making repairs, alterations or additions to adjacent premises. 
  

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 Section XXII.2. Non-Exclusive Remedies. 
 The mention in this Lease of any specific right or remedy shall not preclude Landlord from exercising any other right or from having any
other remedy or from maintaining any action to which it may be otherwise, entitled either at law or in equity. 
 ARTICLE XXIII.

 QUIET ENJOYMENT 
 Section XXIII.1. Landlord’s Covenant. 
 Upon payment by Tenant of the rents provided, and upon the
observance and performance of all the covenants, terms and conditions on Tenant’s part to be observed and performed, Tenant shall peaceably and quietly hold and enjoy the Leased Premises and the non-exclusive easement over the Access Tract for
the term hereby demised without hindrance or interruption by Landlord or any other person or persons lawfully or equitably claiming by, through or under Landlord, subject, nevertheless, to the terms and conditions of this Lease. 
 ARTICLE XXIV. 
 MISCELLANEOUS 

 Section XXIV.1. Waiver. 
 The waiver by Landlord of any breach of any term, covenant or condition herein contained shall not be deemed to be a waiver of such term, covenant or condition or any subsequent breach of the same or any other term,
covenant or condition herein contained. The subsequent acceptance of rent hereunder by Landlord shall not be deemed to be a waiver of any preceding breach by Tenant of any term, covenant or condition of this Lease, other than the failure of Tenant
to pay the particular rental so accepted, regardless of Landlord’s knowledge of such preceding breach at the time of acceptance of such rent. No covenant, term or condition of this Lease shall be deemed to have been waived by Landlord, unless
such a waiver be in writing by Landlord. 
 Section XXIV.2. Accord and Satisfaction. 
 No payment by Tenant or receipt by Landlord of a lesser amount than the monthly rent herein stipulated shall be deemed to be other than on
account of the earliest stipulated rent, nor shall any endorsement or statement on any check or any letter accompanying any check or payment as rent be deemed an accord and satisfaction, and Landlord may accept such check or payment without
prejudice to Landlord’s right to recover the balance of such rent or pursue any other remedy in this Lease provided. 
  

 39 

 Section XXIV.3. Entire Agreement. 
 This Lease, and the exhibits attached hereto and forming a part hereof, as well as the Point Cadet Settlement Agreement, set forth all the
covenants, promises, agreements, conditions and understandings between Landlord and Tenant concerning the Leased Premises and the Access Tract; and there are no covenants, promises, agreements, conditions or understandings, either oral or written,
between them other than as herein and therein set forth. Except as herein otherwise provided, no subsequent alteration, amendment, change or addition to this Lease shall be binding upon Landlord or Tenant unless reduced to writing and signed by
them. 
 Section XXIV.4. No Partnership. 
 Landlord does not, in any way or for any purpose, become a partner of Tenant in the conduct of its business, or otherwise, or joint venturer or a member of adjoining enterprises with Tenant. The provisions of this
Lease relating to the percentage rent payable hereunder are included solely for the purpose of providing a method whereby the rent is to be measured and ascertained. 
 Section XXIV.5. Notices. 
 All notices required or options granted under this Lease
shall be given or exercised in writing and shall be deemed to be properly served if delivered in writing personally, or sent by certified mail with return receipt requested, to Tenant at its office as set out in the preamble of this Lease, or at
such other address as may be specified by Tenant in written notice to Landlord, and to Landlord at both the office of the Municipal Clerk of the City of Biloxi, 140 Lameuse Street, Biloxi, Mississippi 39530, and the Assistant Secretary of State for
Public Lands at P.O. Box 136, Jackson, MS, 39205-0136, or such other addresses as may be provided by Landlord in written notice to Tenant. 
 Section XXIV.6. Captions and Section Numbers. 
 The captions, section numbers and article numbers appearing
in this Lease are inserted only as a matter of convenience and in no way define, limit, construe or describe the scope or intent of such sections or articles of this Lease nor in any way affect this Lease. 
 Section XXIV.7. Showing and Posting. 
 During the period of one (1) year prior to the expiration of this Lease or any renewal thereof, Landlord may show the Leased Premises and the Access Tract and all parts thereof to prospective tenants during
normal business hours and any legal holiday on which Tenant shall conduct business; and during such period, Landlord shall have the right to display on the exterior of the Leased Premises (but not in any window or doorway thereof) the customary sign
“For Rent.” 
  

 40 

 Section XXIV.8. Recording. 
 Tenant shall not record this Lease without the written consent of Landlord; however, upon the request of either party hereto, the other party shall join in the execution of the memorandum or
so-called “short form” of this Lease for the purposes of recordation. Said memorandum or short form of this Lease shall describe the parties, the Leased Premises, the easement over the Access Tract, and the term of this Lease and shall
incorporate this Lease by reference. Tenant shall record this Lease or said short form at the request of Landlord and shall pay the cost of recording same. 
 Section XXIV.9. Law to Apply. 
 The laws of the State of Mississippi shall govern the
interpretation, validity, performance and enforcement of this Lease. If any provision of this Lease should be held to be invalid or unenforceable, the validity and enforceability of the remaining provisions of this Lease shall not be affected
thereby. 
 Section XXIV.10. Additional Assurance of Rental Payment. 
 As additional assurance to Landlord of the payment of rents when due, Tenant covenants and agrees that, at all times during the term(s) of
this Lease, it will maintain a net worth of at least One Million Dollars ($1,000,000.00), verified by way of a compliance letter furnished as part of an annual audit of Tenant performed by certified public accountants, or Tenant will furnish
Landlord the written guaranty of rent payment by Tenant’s parent corporation, which shall in that event be required to maintain a net worth of at least One Million Dollars ($1,000,000.00) verified in a similar manner. 
 Section 24.11. Authority of Signatories and Parties. 
 All of the signatories hereto and the parties they represent (including but not limited to City, State, RCM, and Isle of Capri Casinos) each represent and warrant that to the best of their
knowledge, information, and belief they are fully and completely authorized to execute, deliver and perform this Lease as well as any amendments, modifications, supplements, restatements, consents, and waivers hereto or hereof. 
 Section 24.12 Covenant of Guarantor. 
 Isle of Capri Casinos, Inc., executes this agreement as a guarantor of the performance of RCM, and hereby covenants that in the event of a default of any duty or obligation of RCM under this agreement, or of any
covenant made by RCM in this agreement, it will perform or cause to be performed said duty or obligation in the time and the manner required herein, including but not limited to the payment of any monetary obligation; and further hereby agrees that
any remedy or lawful means of enforcement for such default which may be available to the Landlord, or its successors or assigns, for any such default may be enforced against the guarantor in the same manner as against the Tenant. 
  

 41 

 Section 24.13 Agreement to Cooperate. 
 The parties agree to use their best good faith efforts to cooperate with each other to carry out the intents and purposes of this Lease.
Tenant agrees to file a proper application for a building permit for the parking garage. If the City fails to issue the building permit, then this agreement is canceled. 
 [Remainder of page intentionally left blank.] 
  

 42 

									
	 LANDLORD:
	 		 	 CITY OF BILOXI, MISSISSIPPI

				
		 		 	 By:
	 	 /s/ Mayor A. J. Holloway

		 		 		 	 Mayor A. J. Holloway

		 		 		 	 Executed this the 15th day of August, 2002

				
		 		 	 Attest:
	 	 /s/ Brenda Johnston

		 		 		 	 Brenda Johnston, Municipal Clerk

		 		 		 	 Executed this the 15th day of August, 2002

			
		 		 	 STATE OF MISSISSIPPI, BY AND THROUGH
 ERIC CLARK, SECRETARY OF STATE
  
 AND
  
 ERIC CLARK,
SECRETARY OF STATE,
 AS TRUSTEE OF THE PUBLIC TRUST TIDELANDS

				
		 		 	 By:
	 	 /s/ Eric Clark

		 		 		 	 Eric Clark

		 		 		 	 Executed this the 14th day of August, 2002

			
	 TENANT:
	 		 	 RIVERBOAT CORPORATION OF MISSISSIPPI,
 a Mississippi corporation

				
		 		 	 By:
	 	 /s/ John M. Gallaway

		 		 		 	 President

		 		 		 	 Executed this the 15th day of August, 2002

				
		 		 	 By:
	 	 /s/ Rexford A. Yeisley

		 		 		 	 Assistant Secretary

		 		 		 	 Executed this the 15th day of August, 2002

  

 43 

									
			
	 GUARANTOR:
	 		 	 ISLE OF CAPRI CASINOS, INC.,
 a Delaware corporation

				
		 		 	 By:
	 	 /s/ John M. Gallaway

		 		 		 	 President

		 		 		 	 Executed this the 15th day of August, 2002

				
		 		 	 By:
	 	 /s/ Rexford A. Yeisley

		 		 		 	 Assistant Secretary

		 		 		 	 Executed this the 15th day of August, 2002

 STATE OF MISSISSIPPI 
 COUNTY OF HARRISON 
 Personally appeared before me, the undersigned authority in and for the said county and state, on this 15th day of August, 2002, within my
jurisdiction, the within named A. J. Holloway and Brenda Johnston, who acknowledged that they are the Mayor and Municipal Clerk, respectively, of the CITY OF BILOXI, MISSISSIPPI, and that in said representative capacity they executed the above and
foregoing instrument, after first having been duly authorized so to do. 
  

	
	
	 /s/ Tracy Jo Hill

	 NOTARY PUBLIC

  

					
	 My Commission Expires:
 June 11, 2006
  
	  	

	  	(SEAL)
		  	  	

  

 44 

 STATE OF MISSISSIPPI 
 COUNTY OF HARRISON 
 Personally
appeared before me, the undersigned authority in and for the said county and state, on this 15th day of August, 2002, within my jurisdiction, the within
named John Gallaway, who acknowledged that he is President of RIVERBOAT CORPORATION OF MISSISSIPPI, a Mississippi corporation, and that for and on behalf of the said corporation, and as its act and deed, he executed the above and foregoing
instrument, after first having been duly authorized by said corporation so to do. 
  

	
	
	 /s/ Tracy Jo Hill

	 NOTARY PUBLIC

  

						
	 My Commission Expires:
 June 11, 2006
  
	  	 

	  	(SEAL	)
		  	  		

  

 45 

 ISLE OF CAPRI CASINOS, INC. 
 EXECUTION AND ACKNOWLEDGMENT 
 IN WITNESS WHEREOF, Isle of Capri
Casinos, Inc. has duly executed this Agreement as of the Execution Date. 
  

			
	 ISLE OF CAPRI CASINOS, INC.
 GUARANTOR

		
	 By:
	 	 /s/ Rexford A. Yeisley

		 	 Vice President

 (SEAL) 
 STATE OF MISSISSIPPI 
 COUNTY OF HARRISON 
 PERSONALLY appeared before me, the undersigned authority in and for the said
county and state, on this 15th day of August, 2002, within my jurisdiction, the within named Rexford A. Yeisley, who acknowledged that he/she is
Vice President of ISLE OF CAPRI CASINOS, INC., and that for and on behalf of said corporation, and as its act and deed, he/she executed the above and foregoing instrument, after first having been duly authorized by said corporation so to do. 

	
	
	 /s/ Tracy Jo Hill

	 NOTARY PUBLIC

  

						
	 My Commission Expires:
 June 11, 2006
  
	  	 

	  	(SEAL	)
		  	  		

  

 46 

 This Lease was approved by the
Governor of the State of Mississippi on the 14th day of August, 2002. 
  

	
	
	 /s/ Ronnie Musgrove

	 RONNIE MUSGROVE, GOVERNOR OF THE STATE OF MISSISSIPPI

 STATE OF MISSISSIPPI 
 COUNTY OF HINDS 
 Personally appeared before me, the undersigned authority in and for the said county and state, on this 14th
day of August, 2002, within my jurisdiction, the within named RONNIE MUSGROVE, who acknowledged that he is GOVERNOR OF THE STATE OF MISSISSIPPI and that in said representative capacity he executed the above and foregoing instrument, after
first having been duly authorized so to do. 
  

	
	
	 /s/ Illegible

	 NOTARY PUBLIC

  

						
	 My Commission Expires:
	  		  	(SEAL	)
	 [Illegible]
	  	  		

  

 47 

 STATE OF MISSISSIPPI 
 COUNTY OF HARRISON 
 Personally
appeared before me, the undersigned authority in and for the said county and state, on this 14th day of August,
2002, within my jurisdiction, the within named ERIC CLARK, who acknowledged that he is SECRETARY OF STATE OF THE STATE OF MISSISSIPPI and that in said representative capacity he executed the above and foregoing instrument, after first
having been duly authorized so to do. 
  

	
	
	 /s/ Illegible

	 NOTARY PUBLIC

  

						
	 My Commission Expires:
	  		  	(SEAL	)
	 [Illegible]
	  	  		

  

 48 

 EXHIBIT LIST 
 (This list is not compiled by alphabetical or numerical order, but is based upon 
 the Exhibits already
identified in other agreements relating to the subject property) 
 Exhibit H - Access Tract 
 Exhibit I - New Tract A 
 Exhibit J - New
Tract B 
 Exhibit K - Park Conversion Tract 
 Exhibit L - Berth Expansion Area or Dredge, Wharf, or Fill Area 
 Exhibit P-3 - Parking Exhibit (entrance)
from Hotel and Casino Leases 
  

 49 

 

 

 

 

 

 

 

 

 

 

 

 
 Shaded area City retains right to “redesign” entrance. As per Sect 24.13 of the Illegible.

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