Document:

exv10w1w30

 

EXHIBIT 10.1(30)

GUARANTY AGREEMENT

     This Guaranty Agreement (this “Guaranty”) is made as of the 21st day of September,
2005, by MGM MIRAGE, a Delaware corporation (the “Guarantor”), in favor of BANK OF AMERICA,
N.A., a national banking association (“Administrative Agent”), as Administrative Agent for
the benefit of the Lenders (individually a “Lender” and collectively the “Lenders”)
from time to time party to a Construction Loan Agreement of even date herewith and between
Borrower, Administrative Agent and Lenders.

Preliminary Statements

     Administrative Agent, Lenders and Turnberry/MGM Grand Tower B, LLC, a Nevada limited liability
company (“Borrower”), have entered into, are entering into concurrently herewith, or
contemplate entering into, that certain Construction Loan Agreement of even date herewith (herein
called, as it may hereinafter be modified, supplemented, restated, extended or renewed and in
effect from time to time, the “Loan Agreement”) which Loan Agreement sets forth the terms
and conditions of a construction loan (the “Loan”) being made to Borrower to finance, in
part, the construction of a condominium project containing 576 residential condominium units, one
hotel condominium unit and related amenities, all to be located on an approximately three (3) acre
parcel of land, said project to be known as “The Residences at MGM Grand – Tower B” and to be
located in Clark County, Nevada, all as more particularly described in the Loan Agreement.

     A condition precedent to Lenders’ obligation to make the Loan to Borrower is Guarantor’s
execution and delivery to Administrative Agent of this Guaranty.

     The Loan is, or will be, evidenced by various promissory notes each made of even date herewith
by Borrower and payable to each of the Lenders in the aggregate stated principal amount of
$170,000,000.00 (such notes, as they may hereafter be renewed, extended, supplemented, increased or
modified and in effect from time to time, and all other notes given in substitution therefor, or in
modification, renewal, or extension thereof, in whole or in part, are herein called the
“Notes”).

     Borrower and Administrative Agent and/or any of the Lenders may from time to time enter into
one or more “Swap Transactions” as defined in the Deed of Trust.

     This Guaranty is one of the Loan Documents described in the Loan Agreement. Any capitalized
term used and not defined in this Guaranty shall have the meaning given to such term in the Loan
Agreement. In addition, the following terms have the meanings set forth after each:

“Applicable Percentage” means 50%, provided that the Applicable Percentage shall be reduced
to 25% at all times when each of the following conditions have been satisfied:

     (i) Administrative Agent shall have received and approved Contracts of Sale with aggregate
projected Net Sales Proceeds of not less than $230,000,000, and each of such Contracts of Sale
shall either remain in full force and effect, or have been closed with the Release Price therefor
having been paid (“100% Sales Coverage”);

     (ii) construction of all Improvements shall be 50% complete, on time and in accordance with
the Budget, as determined by Administrative Agent and its construction consultant; and

     (iii) there shall not then exist a Default or Potential Default.

If for any reason 100% Sales Coverage fails to be maintained after the Applicable Percentage has
been reduced to 25%, then the Applicable Percentage shall revert to 50% until 100% Sales Coverage
is again achieved.

 

 

“Other Monetary Obligations” means all interest (including interest accruing after the
commencement of any bankruptcy or insolvency proceeding by or against Borrower, whether or not
allowed in such proceeding), fees, late charges, costs, expenses, indemnification indebtedness, and
other sums of money (other than the Principal Indebtedness) now or hereafter due and owing, or
which Borrower is obligated to pay, pursuant to (a) the terms of the Notes, the Loan Agreement, the
Deed of Trust, the Environmental Agreement, any application, agreement, note or other document
executed and delivered in connection with any Letter of Credit, any Swap Transaction or any other
Loan Documents, including the making of required Borrower’s Deposits, and any indemnifications
contained in the Loan Documents, now or hereafter existing, and (b) all renewals, extensions,
refinancings, future advances, modifications, supplements or amendments of such indebtedness, or
any of the Loan Documents, or any part thereof.

“Principal Indebtedness” means all principal now or hereafter due and owing, or which
Borrower is obligated to pay, pursuant to (a) the terms of the Notes, the Loan Agreement, the Deed
of Trust, any application, agreement, note or other document executed and delivered in connection
with any Letter of Credit, any Swap Transactions or any other Loan Documents, now or hereafter
existing, and (b) all renewals, extensions, refinancings, future advances, modifications,
supplements or amendments of such indebtedness, or any of the Loan Documents, or any part thereof.

Statement of Agreements

     For good and valuable consideration, the receipt and adequacy of which are hereby
acknowledged, and as a material inducement to Administrative Agent and Lenders to extend credit to
Borrower, Guarantor hereby guarantees to Administrative Agent for the benefit of Lenders, their
respective successors, endorsees and assigns, the prompt and full payment and performance of the
indebtedness and obligations described below in this Guaranty (collectively called the
“Guaranteed Obligations”), this Guaranty being upon the following terms and conditions:

1. Guaranty of Principal Indebtedness. Guarantor hereby unconditionally and irrevocably
guarantees to Administrative Agent for the benefit of Lenders, their respective successors,
endorsees and assigns, the punctual payment when due, whether by lapse of time, by acceleration of
maturity, or otherwise, of the Applicable Percentage of the Principal Indebtedness. Administrative
Agent shall have the right to apply any sums paid by Guarantor to any portion of the Principal
Indebtedness.

     This Guaranty covers the Applicable Percentage of all Principal Indebtedness, whether
presently outstanding or arising subsequent to the date hereof, including all amounts advanced by
Administrative Agent or any Lender in stages or installments. The guaranty as set forth in this
Section 1: (a) shall not be limited, restricted or reduced by the terms of the guaranties
set forth in Sections 2 and 3, (b) is not joint, but is several, separate and apart from,
and non-cumulative with, the guaranty of payment of any other Loan guarantors, and (c) is a
continuing guaranty of payment and not a guaranty of collection.

2. Guaranty of Other Monetary Obligations. Guarantor hereby unconditionally and
irrevocably guarantees to Administrative Agent for the benefit of Lenders, their respective
successors, endorsees and assigns, the punctual payment when due, whether by lapse of time, by
acceleration of maturity, or otherwise, of 50% of all Other Monetary Obligations.

     This Guaranty covers 50% of all Other Monetary Obligations, whether presently outstanding or
arising subsequent to the date hereof, including all amounts advanced by Administrative Agent or
any Lender in stages or installments. The guaranty set forth in this Section 2: (a) shall
not be limited, restricted or reduced by the terms of the guaranties set forth in Sections 1
and 3, (b) is not joint, but is several, separate and apart from, and non-cumulative with, the
guaranty of payment of any other Loan guarantors, and (c) is a continuing guaranty of payment and
not a guaranty of collection.

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3. Guaranty of Performance. Guarantor additionally hereby jointly and severally with all
other guarantors of the Loan, unconditionally and irrevocably guarantees to Administrative Agent
for the benefit of the Lenders the timely performance of all obligations of Borrower under all of
the Loan Documents other than the Principal Indebtedness and the Other Monetary Obligations,
including, without limiting the generality of the foregoing:

     (a) that the Improvements will be constructed in accordance with the Loan Agreement and with
the Plans;

     (b) that the Improvements will be completed, lien free, and ready for occupancy, including
delivery of any permits, certificates, or governmental approvals required by law or the Loan
Agreement, on or before the Completion Date required in the Loan Agreement; and

     (c) that Borrower will duly and punctually perform and observe all other terms, covenants, and
conditions of the Note, the Deed of Trust, the Loan Agreement, the Environmental Agreement or any
other Loan Document, or any Swap Transaction whether according to the present terms thereof, at any
earlier or accelerated date or dates as provided therein, or pursuant to any extension of time or
to any change or changes in the terms, covenants, or conditions thereof now or hereafter made or
granted.

     If a Default (as such term is defined in the Loan Agreement) has occurred and is continuing,
Administrative Agent may, at its option, without notice to Guarantor or anyone else, complete the
Improvements either before or after commencement of foreclosure proceedings or before or after
exercise of any other right or remedy of Administrative Agent against Borrower or Guarantor, with
such changes or modifications in the Plans as Administrative Agent deems necessary and expend such
sums as Administrative Agent, in its sole and absolute discretion, deems necessary or advisable to
complete the Improvements, and Guarantor hereby waives any right to contest any such expenditures
by Administrative Agent. The amount of any and all expenditures made by Administrative Agent for
the foregoing purposes shall bear interest from the date made until repaid to Administrative Agent,
at a rate per annum equal to the interest rate provided for in the Loan Agreement and, together
with such interest, shall be due and payable by Guarantor to Administrative Agent upon demand.
Administrative Agent does not have and shall never have any obligation to complete the Improvements
or take any other action. The obligations and liability of Guarantor under this Section 3
shall not be limited, restricted or reduced by the terms of the guaranties set forth in
Sections 1 and 2.

4. Primary Liability of Guarantor.

     (a) This Guaranty is an absolute, irrevocable and unconditional guaranty of payment and
performance. This Guaranty shall be effective as a waiver of, and Guarantor hereby expressly
waives, any and all rights to which Guarantor may otherwise have been entitled under any suretyship
laws in effect from time to time, including any right or privilege, whether existing under statute,
at law or in equity, to require Administrative Agent to take prior recourse or proceedings against
any collateral, security or Person (hereinafter defined) whatsoever.

     (b) Guarantor hereby agrees that in the event of (i) a Default by Borrower in payment or
performance of the Guaranteed Obligations, or any part thereof, when such indebtedness or
performance becomes due, either by its terms or as the result of the exercise of any power to
accelerate, or (ii) the failure of Guarantor to perform completely and satisfactorily the
covenants, terms and conditions of any of the Guaranteed Obligations as may be required pursuant to
this Guaranty (individually and collectively a “Default”), then upon the occurrence of such
Default, the Guaranteed Obligations, for purposes of this Guaranty, shall be deemed immediately due
and payable at the election of Administrative Agent, and Guarantor shall, on demand and without
presentment, protest, notice of protest, further notice of nonpayment or of dishonor, default or
nonperformance, or notice of acceleration or of intent to accelerate, or any other notice
whatsoever, without any notice having been given to Guarantor previous to such demand of the
acceptance by Administrative Agent of this Guaranty, and without any notice having been given to
Guarantor previous to such demand of the creating or incurring of such indebtedness or of such
obligation to perform, all such notices being hereby waived by Guarantor, pay the amount due to
Administrative Agent or perform or observe the agreement, covenant, term or condition, as the case
may be, and pay all damages and all costs and expenses that may arise in consequence of such
Default (including, without limitation, all reasonable
attorneys’ fees and expenses, investigation costs, court costs, and any and all other costs and
expenses incurred by

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Administrative Agent in connection with the collection and enforcement of the
Notes or any other Loan Document), whether or not suit is filed thereon, or whether at maturity or
by acceleration, or whether before or after maturity, or whether in connection with bankruptcy,
insolvency or appeal. It shall not be necessary for Administrative Agent, in order to enforce such
payment or performance by Guarantor, first to institute suit or pursue or exhaust any rights or
remedies against Borrower or others liable on such indebtedness or for such performance, or to
enforce any rights against any security that shall ever have been given to secure such indebtedness
or performance, or to join Borrower or any others liable for the payment or performance of the
Guaranteed Obligations or any part thereof in any action to enforce this Guaranty, or to resort to
any other means of obtaining payment or performance of the Guaranteed Obligations; provided,
however, that nothing herein contained shall prevent Administrative Agent from suing on the Notes
or foreclosing the Deed of Trust or from exercising any other rights thereunder, and if such
foreclosure or other remedy is availed of, only the net proceeds therefrom, after deduction of all
charges and expenses of every kind and nature whatsoever, shall be applied in reduction of the
amount due on the Notes and Deed of Trust, and Administrative Agent shall not be required to
institute or prosecute proceedings to recover any deficiency as a condition of payment hereunder or
enforcement hereof. At any sale of the Property or other collateral given for the Indebtedness or
any part thereof, whether by foreclosure or otherwise, Administrative Agent may at its discretion
purchase all or any part of the Property or collateral so sold or offered for sale for its own
account and may, in payment of the amount bid therefor, deduct such amount from the balance due it
pursuant to the terms of the Notes, Deed of Trust, and other Loan Documents.

     (c) After a Default, suit may be brought or demand may be made against Borrower or against all
parties who have signed this Guaranty or any other guaranty covering all or any part of the
Guaranteed Obligations, or against any one or more of them, separately or together, without
impairing the rights of Administrative Agent against any party hereto. Any time that Administrative
Agent is entitled to exercise its rights or remedies hereunder, after a Default it may in its
discretion elect to demand payment and/or performance. After a Default, if Administrative Agent
elects to demand performance, it shall at all times thereafter have the right to demand payment
until all of the Guaranteed Obligations have been paid and performed in full. If Administrative
Agent elects to demand payment, it shall at all times thereafter have the right to demand
performance until all of the Guaranteed Obligations have been paid and performed in full.

5. Certain Agreements and Waivers by Guarantor.

     (a) Guarantor acknowledges that the obligations undertaken herein involve the guaranty of
obligations of persons or entities other than Guarantor and, in full recognition of that fact,
consents and agrees that Lender may, at any time and from time to time, without notice or demand,
and without affecting the enforceability or continuing effectiveness hereof: (a) supplement,
modify, amend, extend, renew, accelerate or otherwise change the time for payment or the terms of
the Guaranteed Obligations or any part thereof, including any increase or decrease of the rate(s)
of interest thereon; (b) supplement, modify, amend or waive, or enter into or give any agreement,
approval or consent with respect to, the Guaranteed Obligations or any part thereof, or any of the
Loan Documents to which Guarantor is not a party or any additional security or guaranties, or any
condition, covenant, default, remedy, right, representation or term thereof or thereunder; (c)
accept new or additional instruments, documents or agreements in exchange for or relative to any of
the Loan Documents or the Guaranteed Obligations or any part thereof; (d) accept partial payments
on the Guaranteed Obligations; (e) receive and hold additional security or guaranties for the
Guaranteed Obligations or any part thereof; (f) release, reconvey, terminate, waive, abandon, fail
to perfect, subordinate, exchange, substitute, transfer and/or enforce any security or guaranties,
and apply any security and direct the order or manner of sale thereof as Lender in its sole and
absolute discretion may determine; (g) release any Person from any personal liability with respect
to the Guaranteed Obligations or any part thereof; (h) settle, release on terms satisfactory to
Lender or by operation of applicable Laws or otherwise liquidate or enforce any Guaranteed
Obligations and any security or guaranty therefor in any manner, consent to the transfer of any
security and bid and purchase at any sale; and/or (i) consent to the merger, change or any other
restructuring or termination of the limited liability company existence or other existence of
Borrower or any other guarantor of the Loan, and correspondingly restructure the Guaranteed
Obligations, and any such merger, change, restructuring or termination shall not affect the
liability of Guarantor or the continuing effectiveness hereof, or the enforceability hereof with
respect to all or any part of the Guaranteed Obligations.

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     Upon the occurrence and during the continuance of any Default, Lender may enforce this
Guaranty independently as to Guarantor and independently of any other remedy or security Lender at
any time may have or hold in connection with the Guaranteed Obligations. Guarantor expressly
waives any right to require Lender to marshal assets in favor of Borrower, and agrees that Lender
may proceed against Borrower, or against any other guarantor of the Loan, or upon or against any
security or remedy, before proceeding to enforce this Guaranty, in such order as Lender shall
determine in its sole and absolute discretion. Lender may file a separate action or actions
against Borrower and/or any other guarantor of the Loan without respect to whether action is
brought or prosecuted with respect to any security or against any other person or entity, or
whether any other person or entity is joined in any such action or actions. Guarantor agrees that
Lender and Borrower or any other guarantor of the Loan may deal with each other in connection with
the Guaranteed Obligations or otherwise, or alter any contracts or agreements now or hereafter
existing between any of them, in any manner whatsoever, all without in any way altering or
affecting the security of this Guaranty. Lender’s rights hereunder shall be reinstated and
revived, and the enforceability of this Guaranty shall continue, with respect to any amount at any
time paid on account of the Guaranteed Obligations which thereafter shall be required to be
restored or returned by Lender upon the bankruptcy, insolvency or reorganization of Borrower or any
other guarantor of the Loan, all as though such amount had not been paid. The rights of Lender
created or granted herein and the enforceability of this Guaranty with respect to Guarantor at all
times shall remain effective to guaranty the full amount of all the Guaranteed Obligations, even
though the Guaranteed Obligations, or any part thereof, or any security or guaranty therefor, may
be or hereafter may become invalid or otherwise unenforceable as against Borrower or any other
guarantor of the Loan or surety and whether or not Borrower or any other guarantor of the Loan
shall have any personal liability with respect thereto. Guarantor expressly waives any and all
defenses now or hereafter arising or asserted by reason of (a) any disability or other defense of
Borrower or any other guarantor of the Loan with respect to the Guaranteed Obligations, (b) the
unenforceability or invalidity of any security or guaranty for the Guaranteed Obligations or the
lack of perfection or continuing perfection or failure of priority of any security for the
Guaranteed Obligations, (c) the cessation for any cause whatsoever of the liability of Borrower or
any other guarantor of the Loan (other than by reason of the full payment and performance of all
Guaranteed Obligations), (d) any failure of Lender to marshal assets in favor of Borrower or any
other guarantor of the Loan, (e) except as otherwise provided in this Guaranty, any failure of
Lender to give notice of sale or other disposition of any collateral securing any Guaranteed
Obligation to Guarantor or any other person or entity or any defect in any notice that may be given
in connection with any sale or disposition of any collateral securing any Guaranteed Obligation,
(f) any failure of Lender to comply with applicable Laws in connection with the sale or other
disposition of any collateral securing any Guaranteed Obligation or other security for any
Guaranteed Obligation, including without limitation, any failure of Lender to conduct a
commercially reasonable sale or other disposition of any collateral securing any Guaranteed
Obligation or other security for any Guaranteed Obligation, (g) any act or omission of Lender or
others that directly or indirectly results in or aids the discharge or release of Borrower or any
other guarantor of the Loan or the Guaranteed Obligations or any security or guaranty therefor by
operation of law or otherwise, (h) any Law which provides that the obligation of a surety or
guarantor must neither be larger in amount nor in other respects more burdensome than that of the
principal or which reduces a surety’s or guarantor’s obligation in proportion to the principal
obligation, (i) any failure of Lender to file or enforce a claim in any bankruptcy or other
proceeding with respect to any person or entity, (j) the election by Lender, in any bankruptcy
proceeding of any person or entity, of the application or non-application of Section 1111(b)(2) of
the United States Bankruptcy Code, (k) any extension of credit or the grant of any lien under
Section 364 of the United States Bankruptcy Code, (l) any use of cash collateral under Section 363
of the United States Bankruptcy Code, (m) any agreement or stipulation with respect to the
provision of adequate protection in any bankruptcy proceeding of any Person, (n) the avoidance of
any lien in favor of Lender for any reason, (o) any bankruptcy, insolvency, reorganization,
arrangement, readjustment of debt, liquidation or dissolution proceeding commenced by or against
any person or entity, including any discharge of, or bar or stay against collecting, all or any of
the Guaranteed Obligations (or any interest thereon) in or as a result of any such proceeding, or
(p) any action taken by Lender that is authorized by this Section or any other provision of any
Loan Document. Guarantor expressly waives all setoffs and counterclaims and all presentments,
demands for payment or performance, notices of nonpayment or nonperformance, protests, notices of
protest, notices of dishonor and all other notices or demands of any kind or nature whatsoever with
respect to the Guaranteed Obligations, and all notices of acceptance of this Guaranty or of the
existence, creation or incurrence of new or additional Guaranteed Obligations.

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     (b) In the event any payment by Borrower or any other Person to Administrative Agent is held
to constitute a preference, fraudulent transfer or other voidable payment under any bankruptcy,
insolvency or similar law, or if for any other reason Administrative Agent is required to refund
such payment or pay the amount thereof to any other party, such payment by Borrower or any other
party to Administrative Agent shall not constitute a release of Guarantor from any liability
hereunder, and this Guaranty shall continue to be effective or shall be reinstated (notwithstanding
any prior release, surrender or discharge by Administrative Agent of this Guaranty or of
Guarantor), as the case may be, with respect to, and this Guaranty shall apply to, any and all
amounts so refunded by Administrative Agent or paid by Administrative Agent to another Person
(except Guarantor) (which amounts shall constitute part of the Guaranteed Obligations), and any
interest paid by Administrative Agent and any reasonable attorneys’ fees, costs and expenses paid
or incurred by Administrative Agent in connection with any such event. It is the intent of
Guarantor and Administrative Agent that the obligations and liabilities of Guarantor hereunder are
absolute and unconditional under any and all circumstances and that until the Guaranteed
Obligations are fully and finally paid and performed, and not subject to refund or disgorgement,
the obligations and liabilities of Guarantor hereunder shall not be discharged or released, in
whole or in part, by any act or occurrence that might, but for the provisions of this Guaranty, be
deemed a legal or equitable discharge or release of a guarantor. Administrative Agent shall be
entitled to continue to hold this Guaranty in its possession for the longer of (i) the period after
which any performance of obligations under the Environmental Agreement shall accrue, or (ii) a
period (the “Post Payment and Performance Period”) of one year from the date the Guaranteed
Obligations are paid and performed in full and for so long thereafter as may be necessary to
enforce any obligation of Guarantor hereunder and/or to exercise any right or remedy of
Administrative Agent hereunder.

     (c) If acceleration of the time for payment of any amount payable by Borrower under the Notes,
the Loan Agreement, or any other Loan Document (other than this Guaranty) is stayed or delayed by
any law or tribunal, all such amounts shall nonetheless be payable by Guarantor on demand by
Administrative Agent.

     (d) Guarantor waives: (i) to the extent permitted in paragraph 40.495(4) of the Nevada Revised
Statutes (“NRS”), the benefits of the one-action rule under NRS Section 40.430, and (ii) to
the extent permitted by NRS 104.3605, discharge under NRS 104.3605(9).

6. Subordination. If, for any reason whatsoever, Borrower is now or hereafter becomes
indebted to Guarantor:

     (a) such indebtedness and all liens, security interests and rights now or hereafter existing
with respect to property of Borrower securing such indebtedness shall be subordinate to the
Guaranteed Obligations and to all liens, security interests and rights now or hereafter existing to
secure the Guaranteed Obligations;

     (b) Guarantor shall not be entitled to enforce or receive payment, directly or indirectly, of
any such indebtedness of Borrower to Guarantor (except that prior to a Default, partnership or
limited liability company distributions by Borrower in the ordinary course of Borrower’s business
shall be permitted) until the Guaranteed Obligations have been fully and finally paid and
performed, but such restriction shall not apply during the Post-Payment and Performance Period; and

     (c) in the event of receivership, bankruptcy, reorganization, arrangement or other debtor
relief or insolvency proceedings involving Borrower as debtor, Administrative Agent shall have the
right to prove its claim in any such proceeding so as to establish its rights hereunder and shall
have the right to receive directly from the receiver, trustee or other custodian (whether or not a
Default shall have occurred or be continuing under any of the Loan Documents), dividends and
payments that are payable upon any obligation of Borrower to Guarantor now existing or hereafter
arising, and to have all benefits of any security therefor, until the Guaranteed Obligations have
been fully and finally paid and performed. If, notwithstanding the foregoing provisions, Guarantor
should receive any payment, claim or distribution that is prohibited as provided above in this
Section 6, Guarantor shall pay the same to Administrative Agent immediately, Guarantor
hereby agreeing that it shall receive the payment, claim or distribution in trust for
Administrative Agent and shall have absolutely no dominion over the same except to pay it
immediately to Administrative Agent.

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7. Other Liability of Guarantor or Borrower. If Guarantor is or becomes liable, by
endorsement or otherwise, for any indebtedness owing by Borrower to Administrative Agent other than
under this Guaranty, such liability shall not be in any manner impaired or affected hereby, and the
rights of Administrative Agent hereunder shall be cumulative of any and all other rights that
Administrative Agent may have against Guarantor. If Borrower is or becomes indebted to
Administrative Agent for any indebtedness other than or in excess of the Indebtedness for which
Guarantor is liable under this Guaranty, any payment received or recovery realized upon such other
indebtedness of Borrower to Administrative Agent may, except to the extent paid by Guarantor on the
Indebtedness or specifically required by law or agreement of Administrative Agent to be applied to
the Indebtedness, in Administrative Agent’s sole discretion, be applied upon indebtedness of
Borrower to Administrative Agent other than the Indebtedness. This Guaranty is independent of (and
shall not be limited by) any other guaranty now existing or hereafter given. Further, Guarantor’s
liability under this Guaranty is in addition to any and all other liability Guarantor may have in
any other capacity.

8. Lender Assigns. This Guaranty is for the benefit of Administrative Agent, as
administrative agent for the Lenders, and their successors and assigns, and in the event of an
assignment of the Guaranteed Obligations, or any part thereof, the rights and benefits hereunder,
to the extent applicable to the Guaranteed Obligations so assigned, may be transferred with such
Guaranteed Obligations. Guarantor waives notice of any transfer or assignment of the Guaranteed
Obligations, or any part thereof, and agrees that failure to give notice of any such transfer or
assignment will not affect the liabilities of Guarantor hereunder.

9. Binding Effect. This Guaranty is binding not only on Guarantor, but also on Guarantor’s
successors and assigns. If this Guaranty is signed by more than one Person, then all of the
obligations of Guarantor arising hereunder shall be jointly and severally binding on each of the
undersigned, and their respective heirs, personal representatives, successors and assigns, and the
term “Guarantor” shall mean all of such Persons and each of them individually.

10. Governing Law; Forum; Consent to Jurisdiction. The validity, enforcement, and
interpretation of this Guaranty, shall for all purposes be governed by and construed in accordance
with the laws of the State of Nevada and applicable United States federal law, and is intended to
be performed in accordance with, and only to the extent permitted by, such laws. All obligations
of Guarantor hereunder are payable and performable at the place or places where the Guaranteed
Obligations are payable and performable. Guarantor hereby irrevocably submits generally and
unconditionally for Guarantor and in respect of Guarantor’s property to the nonexclusive
jurisdiction of any state court, or any United States federal court, sitting in the State of
Nevada, and to the jurisdiction of any state or United States federal court sitting in the state in
which any of the Land is located, over any suit, action or proceeding arising out of or relating to
this Guaranty or the Guaranteed Obligations. Guarantor hereby irrevocably waives, to the fullest
extent permitted by law, any objection that Guarantor may now or hereafter have to the laying of
venue in any such court and any claim that any such court is an inconvenient forum. Final judgment
in any such suit, action or proceeding brought in any such court shall be conclusive and binding
upon Guarantor and may be enforced in any court in which Guarantor is subject to jurisdiction.
Guarantor hereby releases, to the extent permitted by applicable law, all errors and all rights of
exemption, appeal, stay of execution, inquisition, and other rights to which Guarantor may
otherwise be entitled under the laws of the United States of America or any State or possession of
the United States of America now in force or which may hereinafter be enacted. The authority and
power to appear for and enter judgment against the Guarantor shall not be exhausted by one or more
exercises thereof or by any imperfect exercise thereof and shall not be extinguished by any
judgment entered pursuant thereto. To the extent permitted by applicable law, such authority may be
exercised on one or more occasions or from time to time in the same or different jurisdiction as
often as the Administrative Agent shall deem necessary and desirable.

11. Invalidity of Certain Provisions. If any provision of this Guaranty or the application
thereof to any Person or circumstance shall, for any reason and to any extent, be declared to be
invalid or unenforceable, neither the remaining provisions of this Guaranty nor the application of
such provision to any other Person or circumstance shall be affected thereby, and the remaining
provisions of this Guaranty, or the applicability of such provision to other Persons or
circumstances, as applicable, shall remain in effect and be enforceable to the maximum extent
permitted by applicable law.

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12. Attorneys’ Fees and Costs of Collection. After a Default, Guarantor shall pay on
demand all reasonable attorneys’ fees and all other reasonable costs and expenses incurred by
Administrative Agent in the enforcement of or preservation of Administrative Agent’s rights under
this Guaranty including, without limitation, all reasonable attorneys’ fees and expenses,
investigation costs, and all court costs, whether or not suit is filed hereon, or whether at
maturity or by acceleration, or whether before or after maturity, or whether in connection with
bankruptcy, insolvency or appeal. Guarantor agrees to pay interest on any expenses or other sums
due to Administrative Agent under this Section 12 that are not paid when due, at a rate per
annum equal to the interest rate provided for in the Notes. Guarantor’s obligations and
liabilities under this Section 12 shall survive any payment or discharge in full of the
Guaranteed Obligations.

13. Payments. All sums payable under this Guaranty shall be paid in lawful money of the
United States of America that at the time of payment is legal tender for the payment of public and
private debts.

14. Controlling Agreement. It is not the intention of Administrative Agent or Guarantor to
obligate Guarantor to pay interest in excess of that lawfully permitted to be paid by Guarantor
under applicable law. Should it be determined that any portion of the Guaranteed Obligations or
any other amount payable by Guarantor under this Guaranty constitutes interest in excess of the
maximum amount of interest that Guarantor, in Guarantor’s capacity as guarantor, may lawfully be
required to pay under applicable law, the obligation of Guarantor to pay such interest shall
automatically be limited to the payment thereof in the maximum amount so permitted under applicable
law. The provisions of this Section 14 shall override and control all other provisions of
this Guaranty and of any other agreement between Guarantor and Administrative Agent.

15. Representations, Warranties, and Covenants of Guarantor. Guarantor hereby represents,
warrants, and covenants that (a) Guarantor expects to derive a material and substantial benefit,
directly or indirectly, from the making of the Loan to Borrower and from the making of this
Guaranty by Guarantor; (b) this Guaranty is duly authorized and valid, and is binding upon and
enforceable against Guarantor; (c) Guarantor is not, and the execution, delivery and performance by
Guarantor of this Guaranty will not cause Guarantor to be, in violation of or in default with
respect to any law or in default under any agreement or restriction by which Guarantor is bound or
affected; and (d) Guarantor has full power and authority to enter into and perform this Guaranty.

     In addition to the foregoing, Guarantor represents and warrants to Lender that Guarantor has
established adequate means of obtaining from Borrower, on a continuing basis, financial and other
information pertaining to the business, operations and condition (financial and otherwise) of
Borrower and its properties, and Guarantor now is and hereafter will be completely familiar with
the businesses, operations and condition (financial and otherwise) of Borrower and its properties.
Guarantor hereby expressly waives and relinquishes any duty on the part of Lender (should any such
duty exist) to disclose to Guarantor any matter, fact or thing related to the businesses,
operations or condition (financial or otherwise) of Borrower or its properties, whether now known
or hereafter known by Lender during the life of this Guaranty. With respect to any of the
Guaranteed Obligations, Lender need not inquire into the powers of Borrower or the members or
employees acting or purporting to act on Borrower’s behalf, and all Guaranteed Obligations made or
created in good faith reliance upon the professed exercise of such powers shall be secured hereby.

16. Notices. All notices, requests, consents, demands and other communications required or
which any party desires to give hereunder or under any other Loan Document shall be in writing and,
unless otherwise specifically provided in such other Loan Document, shall be deemed sufficiently
given or furnished if delivered by personal delivery by nationally recognized overnight courier
service, or by registered or certified United States mail, postage prepaid, addressed to the party
to whom directed at the addresses specified in this Guaranty (unless changed by similar notice in
writing given by the particular party whose address is to be changed) or by facsimile. Any such
notice or communication shall be deemed to have been given either at the time of personal delivery
or, in the case of courier or mail, as of the date of first attempted delivery at the address and
in the manner provided herein, or, in the case of facsimile, upon receipt; provided that, service
of a notice required by any applicable statute shall be considered complete when the requirements
of that statute are met. Notwithstanding the foregoing, no notice of change of address shall be
effective except upon actual receipt. This Section shall not be construed in any way to affect or
impair any waiver of notice or demand provided in this Guaranty or in any Loan Document or to
require giving of notice or demand to or upon any Person in any situation or for any reason.

Guaranty Agreement

Page 8

 

 

17. Cumulative Rights. The exercise by Administrative Agent of any right or remedy
hereunder or under any other Loan Document, or at law or in equity, shall not preclude the
concurrent or subsequent exercise of any other right or remedy. Administrative Agent shall have
all rights, remedies and recourses afforded to Administrative Agent by reason of this Guaranty or
any other Loan Document or by law or equity or otherwise, and the same (a) shall be cumulative and
concurrent, (b) may be pursued separately, successively or concurrently against Guarantor or others
obligated for the Guaranteed Obligations, or any part thereof, or against any one or more of them,
or against any security or otherwise, at the sole and absolute discretion of Administrative Agent,
(c) may be exercised as often as occasion therefor shall arise, it being agreed by Guarantor that
the exercise of, discontinuance of the exercise of or failure to exercise any of such rights,
remedies, or recourses shall in no event be construed as a waiver or release thereof or of any
other right, remedy, or recourse, and (d) are intended to be, and shall be, nonexclusive. No
waiver of any default on the part of Guarantor or of any breach of any of the provisions of this
Guaranty or of any other document shall be considered a waiver of any other or subsequent default
or breach, and no delay or omission in exercising or enforcing the rights and powers granted herein
or in any other document shall be construed as a waiver of such rights and powers, and no exercise
or enforcement of any rights or powers hereunder or under any other document shall be held to
exhaust such rights and powers, and every such right and power may be exercised from time to time.
The granting of any consent, approval or waiver by Administrative Agent shall be limited to the
specific instance and purpose therefor and shall not constitute consent or approval in any other
instance or for any other purpose. No notice to or demand on Guarantor in any case shall of itself
entitle Guarantor to any other or further notice or demand in similar or other circumstances. No
provision of this Guaranty or any right, remedy or recourse of Administrative Agent with respect
hereto, or any default or breach, can be waived, nor can this Guaranty or Guarantor be released or
discharged in any way or to any extent, except specifically in each case by a writing intended for
that purpose (and which refers specifically to this Guaranty) executed, and delivered to Guarantor,
by Administrative Agent.

18. Term of Guaranty. This Guaranty shall continue in effect until all the Guaranteed
Obligations are fully and finally paid, performed and discharged.

19. Financial Statements. Guarantor shall provide to Administrative Agent, concurrently
with the provision thereof to the Administrative Agent or other primary creditor representative
under its Primary Senior Credit Agreement, as and when required by the terms of such Primary Senior
Credit Agreement, copies of Guarantor’s quarterly and annual financial statements and other
financial information required to be given in Article 7 of the Primary Senior Credit Agreement.
The foregoing requirement may be satisfied by Guarantor’s provision of a hyperlink to an internet
posting of such financial statements. “Primary Senior Credit Agreement” means the Fourth
Amended and Restated Loan Agreement dated as of November 22, 2004, executed by, among others, MGM
Mirage, as borrower, and Bank of America, N.A., as administrative agent, and any senior credit
facility executed by the aforementioned parties which replaces same, as the same may be modified,
amended or extended from time to time.

20. Disclosure of Information. Administrative Agent and/or any Lender may sell or offer to
sell the Loan or interests in the Loan to one or more assignees or participants and may disclose to
any such assignee or participant or prospective assignee or participant, to Administrative Agent’s
or such Lender’s affiliates, including without limitation Banc of America Securities LLC, to any
regulatory body having jurisdiction over Administrative Agent and/or such Lender and to any other
parties as necessary or appropriate in Administrative Agent’s and/or such Lender’s reasonable
judgment, any information Administrative Agent and/or such Lender now has or hereafter obtains
pertaining to the Guaranteed Obligations, this Guaranty, or Guarantor, including, without
limitation, information regarding any security for the Guaranteed Obligations or for this Guaranty,
credit or other information on Guarantor, Borrower, and/or any other party liable, directly or
indirectly, for any part of the Guaranteed Obligations.

21. Waiver of Rights of Subrogation. Notwithstanding anything to the contrary elsewhere
contained herein or in any other Loan Document to which any Guarantor is a party, Guarantor hereby
expressly waives with respect to Borrower and Borrower’s successors and assigns (including any
surety) and any other person or entity which is directly or indirectly a creditor of Borrower, any
and all rights at Law or in equity to subrogation, to reimbursement, to exoneration, to
contribution, to setoff or to any other rights that could accrue to a surety against a principal,
to a guarantor against a maker or obligor, to an accommodation party against the party
accommodated, or to a holder or transferee against a maker, and which Guarantor may have or
hereafter acquire against Borrower or
any other such person or entity in connection with or as a result of Guarantor’s execution,
delivery and/or performance of this

Guaranty Agreement

Page 9

 

 

Guaranty or any other Loan Document to which Guarantor is a
party. Guarantor agrees that it shall not have or assert any such rights against Borrower or
Borrower’s successors and assigns or any other person or entity (including any surety) which is
directly or indirectly a creditor of Borrower, either directly or as an attempted setoff to any
action commenced against Guarantor by Borrower (as borrower, co-borrower or in any other capacity),
Lender or any other such person or entity. Guarantor hereby acknowledges and agrees that this
waiver is intended to benefit Borrower and Lender and shall not limit or otherwise affect
Guarantor’s liability hereunder, under any other Loan Document to which Guarantor is a Party, or
the enforceability hereof or thereof.

22. No Fiduciary Relationship. The relationship between Administrative Agent and Lenders
to the Guarantor is solely that of lenders and guarantor, by reason of this Guaranty.
Administrative Agent and Lenders have no fiduciary or other special relationship with or duty to
Guarantor and none is created hereby or may be inferred from any course of dealing or act or
omission of Administrative Agent or Lenders.

23. Interpretation. The term “Lenders” shall be deemed to include any subsequent holder(s)
of the Note(s). Whenever the context of any provisions hereof shall require it, words in the
singular shall include the plural, and words in the plural shall include the singular. Captions
and headings in the Loan Documents are for convenience only and shall not affect the construction
of the Loan Documents.

24. Time of Essence. Time shall be of the essence in this Guaranty with respect to all of
Guarantor’s obligations hereunder.

25. Counterparts. This Guaranty may be executed in multiple counterparts, each of which,
for all purposes, shall be deemed an original, and all of which taken together shall constitute but
one and the same agreement.

26. Entire Agreement. This Guaranty embodies the entire agreement between Administrative
Agent and Guarantor with respect to the guaranty by Guarantor of the Guaranteed Obligations. This
Guaranty supersedes all prior agreements and understandings, if any, with respect to the guaranty
by Guarantor of the Guaranteed Obligations. No condition or conditions precedent to the
effectiveness of this Guaranty exist. This Guaranty shall be effective upon execution by Guarantor
and delivery to Administrative Agent. This Guaranty may not be modified, amended or superseded
except in a writing signed by Administrative Agent and Guarantor referencing this Guaranty by its
date and specifically identifying the portions hereof that are to be modified, amended or
superseded.

27. Non-Involvement of Tracinda. The parties hereto acknowledge that neither Kirk
Kerkorian nor Tracinda Corporation, individually or collectively, is a party to this Guaranty or
any of the other Loan Documents executed as of the date hereof. Accordingly, the parties hereto
hereby agree that in the event (i) there is any alleged breach or default by any party under this
Agreement or any such Loan Document, or (ii) any party hereto has any claim arising from any such
Loan Document, no party hereto, nor any party claiming through it (to the extent permitted by
applicable Law), shall commence any proceedings or otherwise seek to impose any liability
whatsoever against Mr. Kerkorian or Tracinda Corporation under any such Loan Document by reason of
such alleged breach, default or claim.

28. Dispute Resolution.

     (a) Arbitration. Except to the extent expressly provided below, any Dispute (as
defined below) shall, upon the request of either party, be determined by binding arbitration in
accordance with the Federal Arbitration Act, Title 9, United States Code (or if not applicable, the
applicable state law), the then-current rules for arbitration of financial services disputes of the
American Arbitration Association, or any successor thereof (“AAA”) and the “Special Rules”
set forth below. “Dispute” means any controversy, claim or dispute between or among the
parties to this Guaranty, including any controversy, claim or dispute arising out of or relating to
(a) this Guaranty, (b) any other Loan Documents, (c) any related agreements or instruments, or (d)
the transaction contemplated herein or therein (including any claim based on or arising from an
alleged personal injury or business tort). In the event of any inconsistency, the Special Rules
shall control. The filing of a court action is not intended to constitute a waiver of the right of
Borrower, Guarantor or Administrative Agent, including the suing party, thereafter to require
submittal of the Dispute to arbitration. Any party to this Guaranty may bring an action,
including a summary or expedited proceeding, to compel arbitration of any Dispute in any court
having jurisdiction over such action. For the purposes of this Dispute Resolution Section only,
the terms “party” and “parties” shall include any parent

Guaranty Agreement

Page 10

 

 

corporation, subsidiary or affiliate of
Administrative Agent or any Lender involved in the servicing, management or administration of any
obligation described in or evidenced by this Guaranty, together with the officers, employees,
successors and assigns of each of the foregoing.

     (b) Special Rules.

          (i) The arbitration shall be conducted in any U.S. state where real or tangible personal
property collateral is located, or if there is no such collateral, in the city and county where
Administrative Agent is located pursuant to its address for notice purposes in this Guaranty.

          (ii) The arbitration shall be administered by AAA, who will appoint an arbitrator. If AAA is
unwilling or unable to administer or legally precluded from administering the arbitration, or if
AAA is unwilling or unable to enforce or legally precluded from enforcing any and all provisions of
this Dispute Resolution Section, then any party to this Guaranty may substitute another arbitration
organization that has similar procedures to AAA and that will observe and enforce any and all
provisions of this Dispute Resolution Section. All Disputes shall be determined by one arbitrator;
however, if the amount in controversy in a Dispute exceeds Five Million Dollars ($5,000,000), upon
the request of any party, the Dispute shall be decided by three arbitrators (for purposes of this
Guaranty, referred to collectively as the “arbitrator”).

          (iii) All arbitration hearings will be commenced within ninety (90) days of the demand for
arbitration and completed within ninety (90) days from the date of commencement; provided, however,
that upon a showing of good cause, the arbitrator shall be permitted to extend the commencement of
such hearing for up to an additional sixty (60) days.

          (iv) The judgment and the award, if any, of the arbitrator shall be issued within thirty (30)
days of the close of the hearing. The arbitrator shall provide a concise written statement setting
forth the reasons for the judgment and for the award, if any. The arbitration award, if any, may
be submitted to any court having jurisdiction to be confirmed and enforced, and such confirmation
and enforcement shall not be subject to arbitration.

          (v) The arbitrator will give effect to statutes of limitations and any waivers thereof in
determining the disposition of any Dispute and may dismiss one or more claims in the arbitration on
the basis that such claim or claims is or are barred. For purposes of the application of the
statute of limitations, the service on AAA under applicable AAA rules of a notice of Dispute is the
equivalent of the filing of a lawsuit.

          (vi) Any dispute concerning this arbitration provision, including any such dispute as to the
validity or enforceability of this provision, or whether a Dispute is arbitrable, shall be
determined by the arbitrator; provided, however, that the arbitrator shall not be permitted to vary
the express provisions of these Special Rules or the Reservations of Rights in subsection (c)
below.

          (vii) The arbitrator shall have the power to award legal fees and costs pursuant to the terms
of this Guaranty.

          (viii) The arbitration will take place on an individual basis without reference to, resort to,
or consideration of any form of class or class action.

     (c) Reservations of Rights. Nothing in this Guaranty shall be deemed to (i) limit the
applicability of any otherwise applicable statutes of limitation and any waivers contained in this
Guaranty, or (ii) apply to or limit the right of Administrative Agent (A) to exercise self help
remedies such as (but not limited to) setoff, or (B) to foreclose judicially or nonjudicially
against any real or personal property collateral, or to exercise judicial or nonjudicial power of
sale rights, (C) to obtain from a court provisional or ancillary remedies such as (but not limited
to) injunctive relief, writ of possession, prejudgment attachment, or the appointment of a
receiver, or (D) to pursue rights against a party to this Guaranty in a third-party proceeding in
any action brought against Administrative Agent in a state, federal or international court,
tribunal or hearing body (including actions in specialty courts, such as
bankruptcy and patent courts). Administrative Agent may exercise the rights set forth in
clauses (A) through (D), inclusive, before, during or after the pendency of any arbitration
proceeding brought pursuant to this Guaranty. Neither the exercise of self help remedies nor the
institution or maintenance of an action for foreclosure or

Guaranty Agreement

Page 11

 

 

provisional or ancillary remedies shall
constitute a waiver of the right of any party, including the claimant in any such action, to
arbitrate the merits of the Dispute occasioning resort to such remedies. No provision in the Loan
Documents regarding submission to jurisdiction and/or venue in any court is intended or shall be
construed to be in derogation of the provisions in any Loan Document for arbitration of any
Dispute.

     (d) Conflicting Provisions for Dispute Resolution. If there is any conflict between
the terms, conditions and provisions of this Section and those of any other provision or agreement
for arbitration or dispute resolution, the terms, conditions and provisions of this Section shall
prevail as to any Dispute arising out of or relating to (i) this Guaranty, (ii) any other Loan
Document, (iii) any related agreements or instruments, or (iv) the transaction contemplated herein
or therein (including any claim based on or arising from an alleged personal injury or business
tort). In any other situation, if the resolution of a given Dispute is specifically governed by
another provision or agreement for arbitration or dispute resolution, the other provision or
agreement shall prevail with respect to said Dispute.

     (e) Jury Trial Waiver in Arbitration. By agreeing to this Section, the parties
irrevocably and voluntarily waive any right they may have to a trial by jury in respect of any
Dispute.

29. WAIVER OF JURY TRIAL. WITHOUT INTENDING IN ANY WAY TO LIMIT THE PARTIES’ AGREEMENT TO
ARBITRATE ANY “DISPUTE” (FOR PURPOSES OF THIS SECTION, AS DEFINED IN SECTION 28 ABOVE) AS SET FORTH
IN THIS AGREEMENT, TO THE EXTENT ANY “DISPUTE” IS NOT SUBMITTED TO ARBITRATION OR IS DEEMED BY THE
ARBITRATOR OR BY ANY COURT WITH JURISDICTION TO BE NOT ARBITRABLE OR NOT REQUIRED TO BE ARBITRATED,
GUARANTOR AND ADMINISTRATIVE AGENT WAIVE TRIAL BY JURY IN RESPECT OF ANY SUCH “DISPUTE” AND ANY
ACTION ON SUCH “DISPUTE.” THIS WAIVER IS KNOWINGLY, WILLINGLY AND VOLUNTARILY MADE BY GUARANTOR
AND ADMINISTRATIVE AGENT, AND GUARANTOR AND ADMINISTRATIVE AGENT HEREBY REPRESENT THAT NO
REPRESENTATIONS OF FACT OR OPINION HAVE BEEN MADE BY ANY PERSON OR ENTITY TO INDUCE THIS WAIVER OF
TRIAL BY JURY OR TO IN ANY WAY MODIFY OR NULLIFY ITS EFFECT. THIS PROVISION IS A MATERIAL
INDUCEMENT FOR THE PARTIES ENTERING INTO THE LOAN DOCUMENTS. GUARANTOR AND ADMINISTRATIVE AGENT
ARE EACH HEREBY AUTHORIZED TO FILE A COPY OF THIS SECTION IN ANY PROCEEDING AS CONCLUSIVE EVIDENCE
OF THIS WAIVER OF JURY TRIAL. GUARANTOR FURTHER REPRESENTS AND WARRANTS THAT IT HAS BEEN
REPRESENTED IN THE SIGNING OF THIS AGREEMENT AND IN THE MAKING OF THIS WAIVER BY INDEPENDENT LEGAL
COUNSEL, OR HAS HAD THE OPPORTUNITY TO BE REPRESENTED BY INDEPENDENT LEGAL COUNSEL SELECTED OF ITS
OWN FREE WILL, AND THAT IT HAS HAD THE OPPORTUNITY TO DISCUSS THIS WAIVER WITH COUNSEL.

     THE LOAN DOCUMENTS REPRESENT THE FINAL AGREEMENT BETWEEN THE PARTIES AND MAY NOT BE
CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES.
THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES.

[Signature page follows.]

Guaranty Agreement

Page 12

 

 

     IN WITNESS WHEREOF, Guarantor duly executed this Guaranty as of the date first written
above.

	 	 	 	 	 	 	 
	 	 	Guarantor:
	 
	 	 	 	 	 	 
	Addresses of Guarantor:
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	3600 Las Vegas Blvd. South	 	MGM MIRAGE, a Delaware corporation
	Las Vegas, Nevada 89109
	 	 	 	 	 	 
	Attn: Bryan L. Wright
	 	 	 	 	 	 
	Fax: 702-693-8677
	 	 	 	 	 	 
	bwright@mgmmirage.com

	 	By:
	 	/s/ Bryan L. Wright	 	 
	 

	 	 	 	 

Bryan L. Wright, Sr. Vice President,
	 	 
	and

	 	 	 	Assistant General Counsel and	 	 
	 

	 	 	 	Assistant Secretary	 	 

	 	 	 	 	 
	3600 Las Vegas Blvd. South	 	(Corporate Seal)
	Las Vegas, Nevada 89109	 	 
	Attn:

	 	Gary Jacobs,	 	 
	 

	 	Executive Vice President, General Counsel	 	 
	Fax: 702-693-7628	 	 
	gary_jacobs@mgmmirage.com	 	 
	 
	 	 	 	 
	Address of Administrative Agent:	 	 
	 
	 	 	 	 
	Bank of America, N.A.	 	 
	100 Southeast 2nd Street	 	 
	14th Floor	 	 
	Miami, Florida 33131-2100	 	 
	Attn:

	 	Real Estate Administration	 	 
	 

	 	FL7-950-14-05	 	 
	Fax No.: (305) 533-2456	 	 

	 	 	 	 	 	 	 
	STATE
OF Nevada

	 	 	)	 	 	 
	 

	 	 	:ss	 
	COUNTY
OF Clark

	 	 	)	 	 	 

     The foregoing instrument was acknowledged before me this 21st day of September, 2005,
by Bryan L. Wright, as Sr. Vice President, Assistant General Counsel and Assistant Secretary of MGM
Mirage, a Delaware corporation, who is personally known to me or produced
______ as identification.

	 	 	 	 	 
	 

	 	/s/ Katherine M. Smith	 	 
	 

	 	 

Notary State of Nevada
	 	 
	 

	 	Name of Notary: Katherine M. Smith	 	 
	 

	 	Notary Expiration Date: 6/28/06	 	 

(Notary Seal)

Guaranty Agreement

Page 13exv10w3w9

 

EXHIBIT 10.3(9)

Deferred Compensation Plan II

Amendment One

MGM MIRAGE, a Delaware corporation, hereby amends, effective as of January 1, 2005, the MGM MIRAGE
Deferred Compensation Plan II (“Plan II”) as follows:

	1.	 	Section 16.18 is added as follows:
	 
	 	 	“Cancellation of Deferral Elections or Termination of Participation During 2005.
Subject to the Committee’s approval, in its sole discretion, during the 2005 calendar year,
a Participant or the Company may elect to (i) cancel, in whole or in part, the Participant’s
deferral elections for amounts subject to Code Section 409A, or (ii) terminate the
Participant’s participation in the plan for amounts subject to Code Section 409A. All
amounts that are subject to the cancellation of deferral elections or the termination of
plan participation shall be includible in the Participant’s income during 2005, or, if
later, in the first taxable year in which the amounts become earned and vested. The
foregoing is to be interpreted and administered in accordance Q&A-20 of IRS Notice 2005-1.”
	 
	2.	 	Except as expressly provided herein, the provisions of Plan II will continue in their
entirety as set forth immediately prior to the effective date of this amendment.

This Amendment was signed as of the date written below.

Dated:
December 21, 2005

	 	 	 	 	 	 	 
	 	 	MGM MIRAGE, a Delaware Corporation  
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Gary N. Jacobs	 	 
	 

	 	 	 	 	 	 
	 

	 	Its:
	 	Exec VP, Gen Counsel, Secretary

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