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Exhibit 10.16    
  

 
 

EMPLOYMENT AGREEMENT    
  

        AGREEMENT, dated April 1, 2002, by and between Wynn Resorts, LLC, a Nevada limited liability company (the "Company"), and Ronald J. Kramer (the
"Executive"). 

        IN
CONSIDERATION of the premises and the mutual covenants set forth below, the parties hereby agree as follows: 

        1.    Employment.    The Company shall employ the Executive, and the Executive hereby accepts such employment, on the
terms and conditions hereinafter set forth. 

        2.    Term.    The period of employment of the Executive by the Company under this Agreement (the "Employment Period")
shall commence on the date hereof (the "Commencement Date") and shall continue through March 31, 2003. The Employment Period may be sooner terminated by either party in accordance with
Section 6 of this Agreement. 

        3.    Position and Duties.    During the Employment Period, the Executive shall serve as President of the Company, and
shall report solely and directly to Stephen A. Wynn ("Wynn"). The Executive's powers and duties primarily shall be advising Wynn, the Company or any Affiliate (as defined hereinafter) respecting
acquisitions, mergers, strategic planning, financial strategies and the placement of debt and/or equity, and such other powers and duties as may be,agreed to between Wynn and the Executive. The
Executive shall devote the whole of the Executive's normal and customary working time and best efforts solely to the performance of the Executive's duties under this Agreement. Notwithstanding the
above, the Executive shall be !permitted, to the extent such activities do not materially interfere with the performance by the Executive of his duties and responsibilities hereunder, to
(i) manage the Executive's personal, financial and legal affairs, (ii) serve on civic and charitable boards or committees, (iii) serve on the board or committees of the entities
identified on Exhibit "A" and (iv) perform consulting services, directly or through an affiliate, for the entities identified on Exhibit "B". 

        4.    Place of Performance.    The principal place of employment of the Executive shall be at the Company's principal
executive offices in Las Vegas, Nevada; provided, however, that the Executive shall not be required to reside in Las Vegas, Nevada, and specifically shall be permitted to reside in New York, New York. 

        5.    Compensation and Related Matters. 

        (a)  Base Salary.    During the Employment Period, the Company shall pay the Executive a base salary at the rate of
$1,000,000 per year (the "Base Salary"). The Executive's Base Salary shall be paid in approximately equal installments in accordance with the Company's customary payroll practices. 

        (b)  Bonus.    In addition to the Base Salary, the Executive shall be paid a bonus or bonuses as follows: 

        (i)    not
less than $1,250,000 earned upon the completion of the commitment for the financing for the Le Reve Las Vegas project if such financing is committed for during the
Employment Period, and payable from the first proceeds received therefrom whenever received; and 

        (ii)  a
fair and reasonable amount payable at closing arising out of any merger or acquisition transaction and its associated debt or equity financing that is entered into by
Wynn, the Company or any Affiliate and respecting which the Executive materially participated in during the Employment Period. 

        (c)  Expenses.    The Company promptly shall reimburse the Executive for all reasonable and necessary business
expenses upon the presentation of itemized statements of such expenses. Such expenses shall include first class airfare for all air travel, including flying from the Executive's 

 

residence in New York to and from Las Vegas. In addition, during the Employment Period, the Executive shall be entitled to, at the sole expense of the Company, the use of an automobile in Las Vegas
appropriate to his position. 

        (d)  Vacation.    The Executive shall be entitled to 4 weeks of paid vacation, as well as paid holidays and sick
days in accordance with the Company's policies. 

        (e)  Services Furnished.    During the Employment Period, the Company shall furnish the Executive with office space
and secretarial assistance in Las Vegas, and such other facilities and services as are reasonable and necessary for him to perform his duties as President. 

        (f)    Welfare, Pension. Incentive Benefit Plans and Perquisites.    During the Employment Period, the Executive (and
his spouse and dependents to the extent provided therein) shall be entitled to participate in and be covered under all the welfare benefit plans or programs maintained by the Company from time to time
for the benefit of its senior executives including, without limitation, all medical, hospitalization, dental, disability, life, accidental death and dismemberment and travel accident insurance plans
and programs. The Company shall at all times provide to the Executive (and his spouse and dependents to the extent provided under the applicable plans or programs) (subject to modifications affecting
all senior executive officers) the same type and levels of participation and benefits as are being provided to other senior executives (and their spouses and dependents to the extent provided under
the applicable plans or programs) on the Commencement Date. In addition, during the Employment Period, the Executive shall be eligible to participate in all pension, retirement, savings and other
employee benefit plans and programs maintained from time to time by the Company for the benefit of its senior executives. 

        6.    Termination.    The Executive's employment hereunder may be terminated during the Employment Period under any
one of the following circumstances: 

        (a)  Death.    The Executive's employment hereunder shall terminate upon his death. 

        (b)  Disability.    If, as a result of the Executive's incapacity due to physical or mental illness, the Executive
shall have been substantially unable to perform his duties hereunder for an entire period of six (6) consecutive months, and within thirty (30) days after written Notice of Termination
is given after such six (6) month period, the Executive shall not have returned to the substantial performance of his duties on a full-time basis, the Company shall have the right
to terminate the Executive's employment hereunder for "Disability", and such termination in and of itself shall not be, nor shall it be deemed to be, a breach of this Agreement. 

        (c)  Cause.    The Company shall have the right to terminate the Executive's employment for Cause, and such
termination in and of itself shall not be, nor shall it be deemed to be, a breach of this Agreement. For purposes of this Agreement, the Company shall have "Cause" to terminate the Executive's
employment upon: 

        (i)    the
conviction of the Executive of a felony by a court of competent jurisdiction; 

        (ii)  the
indictment of the Executive by a state or federal grand jury of competent jurisdiction for embezzlement or misappropriation of the Company's or any Affiliate's
funds or for any act of dishonesty or lack of fidelity towards the Company or any Affiliate; 

        (iii)  a
decree of a court of competent jurisdiction that the Executive is not mentally competent or is unable to handle his own affairs; 

        (iv)  the
written confession by the Executive of any act of dishonesty towards the Company or any Affiliate, or any embezzlement or misappropriation of the Company's or any
Affiliate's funds; 

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        (v)  the
payment (or, by the operation solely of the effect of a deductible, the failure of payment) by a surety or insurer of a claim under a fidelity bond issued to the
benefit of the Company or any Affiliate reimbursing the Company or an Affiliate for a loss due the wrongful act or wrongful omission to act of the Executive (the occurrence of which shall cause the
Executive to be indebted to the Company for the lesser of either (A) the loss incurred or (B) the sums paid by the Company to the Executive pursuant to this Agreement); 

        (vi)  the
Executive's breach of any of the restrictive covenants set forth in Sections 10 and 11 of this Agreement; 

        (vii) the
Executive's failure to timely obtain (if necessary) and thereafter to maintain in force and in good standing any and all licenses, permits and/or approvals
required of the Executive by the relevant governmental authorities for the discharge of the obligations of the Executive under this Agreement; 

        (viii)the
Executive's material violation of any statutory or common law duty of loyalty to the Company, Wynn or any Affiliate; or 

        (ix)  willful
misconduct that is materially and demonstrably injurious economically to the Company or any Affiliate; 

        provided, however, that Executive's disability due to illness or accident or any other
mental or physical incapacity shall not constitute "Cause" as defined herein. 

For
purposes of this Section 6(c), no act, or failure to act, by the Executive shall be considered "willful" unless committed in bad faith and without a reasonable belief that the act or
omission was in the best interests of the Company or Wynn, or any entity in control of, controlled by or under common control with the Company or Wynn ("Affiliate"). The Executive shall have ten
(10) days after receipt of a Notice of Termination to remedy the facts and circumstances claimed to provide the basis for termination for Cause. 

        (d)  Good Reason.    The Executive may terminate his employment for "Good Reason" within ninety (90) days
after the Executive has actual knowledge of the occurrence, without the written consent of the Executive, of one of the following events: 

        (i)    (A)
any change in the duties or responsibilities of the Executive that is inconsistent in any material and adverse respect with the Executive's position, powers, duties
or status with the Company (including any material and adverse diminution of such position, powers, duties or status); or (B) a material and adverse change in the Executive's position, powers,
duties and status with the Company. 

        (ii)  a
reduction in the Executive's Base Salary or the opportunity to earn a bonus pursuant to Section 5(b); 

        (iii)  the
taking of any action by the Company or any Affiliate which would materially and adversely affect the Executive's participation in or reduce the Executive's
benefits under any material employee benefit plan, compensation plan, welfare benefit plan or fringe benefit plan, unless the Executive is permitted to participate in other plans providing the
Executive with substantially equivalent benefits at no additional cost; 

        (iv)  any
purported termination of the Executive's employment for Cause which is not effected pursuant to Section 6(c) (and for purposes of this Agreement, no such
purported termination shall be effective); 

        (v)  the
Company's or any Affiliate's failure to provide in all material respects the indemnification set forth in Section 12; or 

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        (vi)  any
other breach of a provision of this Agreement by the Company or any Affiliate. 

For
purposes of clauses (i) through (vi) above, an isolated, insubstantial and inadvertent action taken in good faith and which is remedied by the Company within ten (10) days
after receipt of notice thereof given by the Executive shall not constitute Good Reason. The Executive's right to terminate employment for Good Reason shall not be affected by the Executive's
incapacity due to mental or physical illness and the Executive's continued employment shall not constitute consent to, or a waiver of rights with respect to, any event or condition constituting Good
Reason. 

        (e)  Without Cause.    The Company shall have the right to terminate the Executive's employment hereunder without
Cause by providing the Executive with a Notice of Termination, at least thirty (30) days prior to such termination, and such termination shall not in and of itself be, nor shall it be deemed to
be, a breach of this Agreement. 

        7.    Termination Procedure. 

        (a)  Notice of Termination.    Any termination of the Executive's employment by the Company or by the Executive
during the Employment Period (other than termination pursuant to Section 6(a)) shall be communicated by written Notice of Termination to the other party hereto in accordance with
Section 15. For purposes of this Agreement, a "Notice of Termination" shall mean a notice given in good faith which shall indicate the specific termination provision in this Agreement relied
upon and shall set forth in reasonable detail the facts and circumstances claimed to provide a basis for termination of the Executive's employment under the provision so indicated. 

        (b)  Date of Termination.    "Date of Termination" shall mean (i) if the Executive's employment is terminated
by his death, the date of his death, (ii) if the Executive's employment is terminated pursuant to Section 6(b), thirty (30) days after Notice of Termination (provided that the
Executive shall not have returned to the substantial performance of his duties on a full-time basis during such thirty (30) day period), and (iii) if the Executive's
employment is terminated for any other reason, the date on which it is determined by the Executive or the Company in good faith that the Company or the Executive, as the case may be, has failed to
remedy the facts,arid circumstances claimed to provide the basis for termination for Good Reason or for Cause. 

        8.    Compensation Upon Termination or During Disability.    In the event the Executive is disabled or his employment
terminates during the Employment Period, the Company shall provide the Executive with the payments and benefits set forth below. The Executive acknowledges and agrees that the payments set forth in
this Section 8 constitute liquidated damages for termination of his employment during the Employment Period. 

        (a)  Termination By Company without Cause or By The Executive for Good Reason.    If the Executive's employment is
terminated by the Company without Cause or by the Executive for Good Reason: 

        (i)    within
five (5) business days following such termination, the Company shall pay to the Executive: 

	(A)
	the
unpaid balance of the $1,000,000 Base Salary without any discount or reduction for termination during the Employment Period;

	(B)
	the
additional amount of $1,250,000, unless the Executive previously has been paid at least $1,250,000 pursuant to Section 5(b)(i);

	(C)
	the
additional amounts, if any, earned and not paid pursuant to Section 5(b)(ii); and

	(D)
	any
accrued vacation pay; and 

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        (ii)  the
Company shall maintain in full force and effect, for the, continued benefit of the Executive, his spouse and his dependents for the balance of the Employment Period
the medical, hospitalization, dental and life insurance programs in which the Executive, his spouse and his dependents were participating immediately prior to the Date of Termination at the level in
effect and upon substantially the same terms and conditions (including, without limitation, contributions required by the Executive for such benefits) as existed immediately prior to the Date of
Termination; provided, that, if the Executive, his spouse or his dependents cannot continue to
participate in the Company programs providing such benefits, the Company shall arrange to provide the Executive, his spouse and his dependents with the economic equivalent of such benefits which they
otherwise would have been entitled to receive under such plans and programs ("Continued Benefits"), provided,  that, such Continued Benefits shall terminate
on the date or dates the Executive receives equivalent coverage and benefits, without waiting period or
pre-existing condition limitations, under the plans and programs of a subsequent employer (such coverage and benefits to be determined on a coverage-by-coverage or
benefit-by-benefit basis); and 

        (iii)  the
Company shall reimburse the Executive pursuant to Section 5(c) for expenses incurred, but not paid prior to such termination of employment; and 

        (iv)  the
Executive shall not be entitled to any other rights, compensation and/or benefits as may be due to the Executive in accordance with the terms and provisions of any
severance or separation agreements, plans or programs of the Company. 

        (b)  Termination by Company for Cause or by the Executive without Good Reason.    If the Executive's employment is
terminated by the Company for Cause or by the Executive (other than for Good Reason): 

        (i)    the
Company shall pay the Executive his Base Salary, any bonus pursuant to Section 5(b) earned and not paid, and his accrued vacation pay through the Date of
Termination, as soon as practicable following the Date of Termination; and 

        (ii)  the
Company shall reimburse the Executive pursuant to Section 5(c) for expenses incurred, but not paid prior to such termination of employment; and 

        (iii)  the
Executive shall not be entitled to any other rights, compensation and/or benefits as may be due to the Executive in accordance with the terms and provisions of any
severance or separation agreements, plans or programs of the Company. 

        (c)  Disability.    During any period that the Executive fails to perform his duties "hereunder as a result of
incapacity due to physical or mental illness ("Disability Period"), the Executive shall continue to receive his full Base Salary and, if earned, the bonuses set forth in Section 5(b) until his
employment is terminated pursuant to Section 6(b). In the event the Executive's employment is terminated for Disability pursuant to Section 6(b): 

        (i)    the
Company shall pay to the Executive his Base Salary, any bonus pursuant to Section 5(b) earned and not paid, and accrued vacation pay through the Dale, of
Termination, as soon as practicable following the Date of Termination; and 

        (ii)  the
Company shall reimburse the Executive pursuant to Section 5(c) for reasonable expenses incurred, but not paid prior to such termination of employment; and 

        (iii)  the
Executive shall not be entitled to any other rights, compensation and/or benefits as may be due to the Executive in accordance with the terms and provisions of any
severance or separation agreements, plans or programs of the Company. 

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        (d)  Death.    If the Executive's employment is terminated by his death: 

        (i)    the
Company shall pay in a lump sum to the Executive's beneficiary, legal representatives or estate, as the case may be, the Executive's Base Salary, any bonus pursuant
to Section 5(b) earned and not paid, and accrued vacation pay through the Date of Termination; and 

        (ii)  the
Company shall reimburse the Executive's beneficiary, legal representatives or estate, as the case may be, pursuant to Section 5(c) for expenses incurred but
not paid prior to such termination of employment; and 

        (iii)  the
Executive's beneficiary, legal representatives or estate, as the case may be, shall not be entitled to any other rights, compensation and benefits as may be due to
any such persons or estate in accordance with the terms and provisions of any severance or separation agreements, plans or programs of the Company. 

        (e)  No Mitigation.    The Executive shall not be required to mitigate amounts payable under this Agreement by
seeking other employment or otherwise, and there shall be no offset against amounts due the Executive under this Agreement on account of subsequent employment or, earnings. 

        9.    Licensing Requirements.    The Executive acknowledges and agrees that, in order for him to discharge the duties
required under this Agreement, he may be required to apply for or hold a license, registration, permit or other approval ("License") issued by one or more gaming regulatory authorities (the
"Authorities") pursuant to the provisions of the relevant gaming regulatory statutes and the regulations promulgated thereunder. In the event the Executive fails to apply for and secure, or the
Authorities refuse to originally issue or renew the Executive's License, then the Executive, at the Company's sole cost and expense, shall promptly defend such action and shall take such reasonable
steps as may be required to either remove the objections or secure the Authorities' approval, respectively. The foregoing notwithstanding, if the source of the objections or the Authorities' refusal
to issue or renew the Executive's License arise as a result of any of the events described in Section 6(c) of this Agreement, then the Company's obligations under this Section 9 shall
not be operative and the Executive shall promptly reimburse Company upon demand for any expenses incurred by Company pursuant to this Section 9. The Company and the Executive agree that this
Section 9 shall apply in the event the Executive's duties require that the Executive also be licensed by governmental agencies other than the Authorities. 

        10.  Confidential Information. 

        (a)  Confidential Information.    The Executive shall hold in a fiduciary capacity for the benefit of the Company
and shall maintain strict confidentiality of all trade secrets and confidential information, knowledge or data relating to the Company and its businesses and investments, which shall have been
obtained by the Executive during the Executive's employment by the Company and which is not
generally available public knowledge (other than by acts by the Executive in violation of this Agreement). Except as may be required or appropriate in connection with his carrying out his duties under
this Agreement, the Executive shall not, without the prior written consent of the Company, Wynn or as may otherwise be required by law or any legal process, or as is necessary in connection with any
adversarial proceeding against, the Executive, Wynn or an Affiliate of the Company (in which case the Executive shall use his reasonable best efforts in cooperating with the Company, Wynn or an
Affiliate in obtaining a protective order against disclosure by a court of competent jurisdiction), communicate or divulge any such trade secrets, or confidential information, knowledge or data to
anyone other than the Company, Wynn or an Affiliate and those designated by the Company or Wynn on behalf of the Company, an Affiliate or Wynn in the furtherance of its or his business or to perform
duties hereunder. 

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        (b)  Remedies.    The Executive hereby expressly acknowledges that any breach or threatened breach by the Executive
of any of the terms set forth in Section 10 of this Agreement may result in significant and continuing injury to the Company, the monetary value of which would be impossible to establish.
Therefore, the Executive agrees that the Company shall be entitled to apply for injunctive relief in a court of appropriate jurisdiction. 

        11.  Restrictive Covenant; No Solicitation. 

        (a)  Noncompete.    The Executive hereby covenants and agrees that, during the Employment Period or a period of
1 year after termination of this Agreement by the Executive for other than Good Reason, whichever period is shorter, the Executive shall not directly or indirectly, either as a principal,
agent, employee, employer, consultant, partner, member or manager of a limited liability company, shareholder of a closely held corporation, or shareholder in excess of two (2%) per cent of a publicly
traded corporation, corporate officer or director, or in any other individual or representative capacity, engage or otherwise participate in any manner or fashion in any business that is in
competition in any manner whatsoever with the gaming or hotel operations of the Company or an Affiliate of the Company, in or about any market in which the Company or Affiliate has or plans gaming or
hotel operations. The Executive hereby further covenants and agrees that the restrictive covenant contained in this Section 11 is reasonable as to duration, terms and geographical area and that
the same protects the legitimate interests of the Company and its Affiliates, imposes no undue hardship on the Executive, and is not injurious to the public. Notwithstanding the foregoing, the
provisions of this Section 11(a) shall not apply in the event of a termination under Section 8(a). 

        (b)  Nonsolicitation.    The Executive hereby further covenants and, agrees that, for the period described in
Section 11(a), the Executive shall not directly or indirectly, and the Executive shall not suffer others to, solicit or attempt to solicit for employment any management level employee of the
Company or an Affiliate of the Company with or on behalf of any business that is in competition in any manner whatsoever with the principal business activity of the Company or Affiliate, in or about
any market in which the Company or Affiliate has or plans gaming operations. 

        (c)  Remedies.    The Executive hereby expressly acknowledges that any breach or threatened breach by the Executive
of any of the terms set forth in Section 11 of this Agreement may result in significant and continuing injury to the Company, the monetary value of which would be impossible to establish.
Therefore, the Executive agrees that the Company shall be entitled to apply for injunctive relief in a court of appropriate jurisdiction. 

        12.  Indemnification.    The Company agrees that if the Executive is made a party or threatened to be made a party
to any action, suit or proceeding, whether civil, criminal, administrative or investigative (a "Proceeding"), by reason of the fact that the Executive is or was a director, officer, employee or agent
of the Company, Wynn or any Affiliate or is or was serving at the request of the Company, Wynn or any Affiliate as a trustee, director, officer, member, employee or agent of a corporation,
partnership, joint venture, trust or other enterprise, including, without limitation, service with respect to employee benefit plans, whether or not the basis of such Proceeding is alleged action in
an official capacity as a trustee, director, officer, member, employee or agent while serving as a trustee, director, officer, member, employee or, agent, the Executive shall be indemnified and held
harmless by the Company to the fullest extent authorized by Nevada law, as the same exists or may hereafter be amended, against all Expenses incurred or suffered by the Executive in connection
therewith, and such indemnification shall continue as to the Executive even if the Executive has ceased to be a trustee, director, officer, member, employee or agent or is no longer employed by the
Company and shall inure to the benefit of his heirs, executors and administrators. As used in this Agreement, the term "Expenses" shall include, without limitation, damages, losses, judgments,
liabilities, fines, penalties, excise taxes, settlements, 

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costs, attorneys' fees, accountants' fees, and disbursements and costs of attachment or similar bonds, investigations, and any expenses of establishing a right to indemnification under this
Agreement. 

        13.  Arbitration.    Except as provided for in Sections 10 and 11 of this Agreement, if any contest or dispute
arises between the parties with respect to this Agreement, or a breach thereof, such contest or dispute shall be submitted to binding arbitration for resolution in Las Vegas, Nevada, in accordance
with Commercial Arbitration Rules of the American Arbitration Association then in effect. The decision of the arbitrator shall be final and binding on both parties, and any court of competent
jurisdiction may enter judgment upon the award. Each party shall pay its own legal fees and expenses relating to such arbitration, regardless of outcome, unless the arbitrator determines that the
other party has acted in bad faith. 

        14.    Successors; Binding Agreement. 

        (a)  Company's Successors.    No rights or obligations of the Company under this Agreement may be assigned or
transferred except that the Company will require any successor (whether direct or indirect, by purchase, merger, consolidation or otherwise) to all or substantially all of the business and/or assets
of the Company to expressly assume and agree. to. perform this Agreement in the same manner and to the same extent that the Company would be required to perform it if no such succession had taken
place. As used in this Agreement, "Company" shall mean the Company as hereinbefore defined and any successor to its business and/or assets (by merger, purchase or otherwise) which executes and
delivers the agreement provided for in this Section 14 or which otherwise becomes bound by all the terms and provisions of this Agreement by operation of law. 

        (b)  The Executive's Successors.    No rights or obligations of the Executive under this Agreement may be assigned
or transferred by the Executive other than his rights to payments or benefits hereunder, which may be transferred only by will or the laws of descent and distribution. Upon the Executive's death, this
Agreement and all rights of the Executive hereunder shall inure to the benefit of and be enforceable by the Executive's beneficiary or beneficiaries, personal or legal representatives, or estate, to
the extent any such person succeeds to the Executive's interests under this Agreement. The Executive shall be entitled to select and change a beneficiary or beneficiaries to receive any benefit or
compensation payable hereunder following the Executive's death by giving the Company written notice thereof. In the event of the Executive's death or a judicial determination of his incompetence,
reference in this Agreement to the Executive shall be deemed, where appropriate, to refer to his beneficiary(ies), estate or other legal representative(s). If the Executive should die following his
Date of Termination while any amounts would still be payable to him hereunder if he had continued to live, all such amounts unless otherwise provided herein shall be paid in accordance with the terms
of this Agreement to such person or persons so appointed in writing by the Executive, or otherwise to his legal representatives or estate. 

        15.  Notice.    For the purposes of this Agreement, notices, demands and all other communications provided for in
this Agreement shall be in writing and shall be deemed to have been duly given when delivered either personally or by United States certified or registered mail, return receipt requested, postage
prepaid, addressed as follows: 

        (a)  If to the Executive: 

Ronald
J. Kramer

829 Park Avenue

New York, NY 10021 

With
a copy to: 

Steven
M. Pesner

Akin, Gump, Strauss, Hauer & Feld, L.L.P.

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590 Madison Avenue

New York, NY 10022 

        (b)  If to the Company: 

Stephen
A. Wynn

Wynn Resorts, LLC

3145 Las Vegas Boulevard South

Las Vegas, NV 89109 

With
a copy to: 

Wynn
Resorts, LLC

3145 Las Vegas Boulevard South

Las Vegas, NV 89109

Attn: Legal Department 

or
to such other address as any party may have furnished to the others in writing in accordance herewith, except that notices of change of address shall be effective only upon receipt. 

        16.  Miscellaneous.    No provisions of this Agreement may be amended, modified, or waived unless such amendment or
modification is agreed to in writing signed by the Executive and by a duly authorized officer of the Company, and such waiver is set forth in writing and signed by the party to be charged. No waiver
by either party hereto at any time of any breach by the other party hereto of any condition or provision of this Agreement to be performed by such other party shall be deemed a waiver of similar or
dissimilar provisions or conditions at the same or at any prior or subsequent time. No agreements or representations, oral or otherwise, express or implied, with respect to the subject matter hereof
have been made by either party which are not set forth expressly in this Agreement. The respective rights and obligations of the parties "hereunder of this Agreement shall survive the Executive's
termination of employment and the termination of this Agreement to the extent necessary for the intended preservation of such rights and obligations. The validity, interpretation, construction and
performance of this Agreement shall be governed by the laws of the State of Nevada without regard to its conflicts of law principles. 

        17.  Validity.    The invalidity or unenforceability of any provision or provisions of this Agreement shall not
affect the validity or enforceability of any other provision of this Agreement, which shall remain in full force and effect. 

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

        19.  Entire Agreement.    Except as other provided herein, this Agreement sets forth the entire agreement of the
parties hereto in respect of the subject matter contained herein and supersedes all prior agreements, promises, covenants, arrangements, communications, representations or warranties, whether oral or
written, by any officer, employee or representative of any party hereto in respect of such subject matter. Except as other provided herein, any prior agreement of the parties hereto in respect of the
subject matter contained herein is hereby terminated and cancelled. 

        20.  Withholding.    All payments hereunder shall be subject to any required withholding of Federal, state and local
taxes pursuant to any applicable law or regulation. 

        21.  Noncontravention.    The Company represents that the Company is not prevented from entering into, or performing
this Agreement by the terms of any law, order, rule or regulation, its by-laws or declaration of trust, or any agreement to which it is a party, other than which would not have a material
adverse effect on the Company's ability to enter into or perform this Agreement. 

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        22.  Section Headings.    The section headings in this Agreement are for convenience of reference only, and they
form no part of this Agreement and shall not affect its interpretation. 

        IN
WITNESS WHEREOF, the parties hereto have executed this Agreement on the date first above written. 

	 	 	"COMPANY"

Wynn Resorts, LLC

By Valvino Lamore, LLC,

Its Sole Member
	

 	
 	

By:	
 	

/s/  STEPHEN A. WYNN      
 Stephen A. Wynn

Managing Member
	

 	
 	

"EXECUTIVE"
	

 	
 	

 	
 	

/s/  RONALD J. KRAMER      
 Ronald J. Kramer

Valvino
Lamore, LLC, for good and valuable consideration, hereby guarantees the full and prompt payment of all amounts due or to become due to the Executive pursuant to the Agreement without any right
of offset whatsoever, and agrees to be bound by and to comply with all of the terms and conditions of the Agreement, and further agrees to be bound by Section 13 of tie Agreement as if it was
the Company. 

	VALVINO LAMORE, LLC	 	 
	

By:	
 	

/s/  STEPHEN A. WYNN      
 Stephen A. Wynn, Managing Member	
 	

 	
 	

 

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EXHIBIT "A"    
  

TMP
Worldwide

Griffon Corp.

Lakes Gaming

New Valley Corp.

Utendahl Capital

Corsair Partners

Mt. Sinai Children's Center Foundation 

11

  

 
 

EXHIBIT "B"    
  

TMP
Worldwide

Griffon Corp.

Aeroflex Inc.

Dresdner Bank 

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Exhibit 10.16

EMPLOYMENT AGREEMENT

EXHIBIT "A"

EXHIBIT "B"QuickLinks
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Exhibit 10.17  

 
  CONTRIBUTION AGREEMENT    
  

        THIS CONTRIBUTION AGREEMENT is made and entered into effective as of June    , 2002, by and among
Stephen A. Wynn, an individual ("Wynn"), Aruze USA, Inc., a Nevada corporation ("Aruze"), Baron
Asset Fund, a Massachusetts business trust, on behalf of the Baron Asset Fund Series, and Baron Asset Fund, a Massachusetts business trust, on behalf of the Baron Growth Fund Series (each of the
foregoing, individually, a "Holder," and, collectively, the "Holders"), Kenneth R. Wynn Family Trust
dated February    , 1985("KRW"), and Wynn Resorts, Limited, a Nevada corporation (the
"Corporation"). 

        WHEREAS,
each Holder owns an interest (an "LLC Interest") in Valvino Lamore, LLC, a Nevada limited liability company (the
"LLC"); 

        WHEREAS,
the Holders constitute all of the members of the LLC; 

        WHEREAS,
the Holders wish to change the form of entity which conducts the LLC's business from a limited liability company to a corporation and, to that end, the Holders have entered into
the Stockholders Agreement and Wynn has formed the Corporation (with Wynn currently owning one share of Common Stock of the Corporation); 

        WHEREAS,
each Holder has agreed to contribute to the Corporation all of his or its LLC Interest, effective as of the Closing Date, in exchange for Common Stock and, immediately following
such exchange, the Holders shall own all of the outstanding capital stock of the Corporation; 

        WHEREAS,
under Paragraph 14 of the Third Amendment, each Holder irrevocably constituted and appointed Wynn, as the Managing Member of the LLC, as such Holder's true and lawful
attorney-in-fact, in its name, place, and stead, to make, execute, acknowledge, and file any document that may be necessary or advisable to consummate the transactions
contemplated by Paragraph 12 of the
Third Amendment, including without limitation the execution of assignments to effectuate a direct transfer of the LLC Interests by the Holders to the Corporation; and 

        WHEREAS,
concurrently herewith, KRW and the LLC are entering into that certain Share Purchase Agreement (the "KRW Transaction") pursuant
to which, subject to certain conditions but otherwise as soon as practicable hereafter, KRW will contribute $1.2 million in cash to the LLC in exchange for an LLC Interest and will be admitted
as a member of the LLC. 

        NOW,
THEREFORE, in light of the above recitals and in consideration of the mutual agreements contained herein and other good and valuable consideration, the receipt and sufficiency of
which are hereby acknowledged, the parties hereby agree as follows: 

1.    Definitions.  

	1.1.
	"Agreement" means this Contribution Agreement.

	1.2.
	"Closing Conditions" means the closing conditions contained in Section 6 of this Agreement.

	1.3.
	"Closing Date" means the date as of which all of the Closing Conditions are satisfied or a date, as determined by the Corporation, as
soon as practicable thereafter.

	1.4.
	"Common Shares" has the meaning given that term in the Operating Agreement.

	1.5.
	"Common Stock" means shares of common stock, $0.01 par value per share, of the Corporation.

	1.6.
	"Operating Agreement" means that certain Amended and Restated Operating Agreement of the LLC, as it may be amended and/or restated
from time to time.

	1.7.
	"Stockholders Agreement" means that certain Stockholders Agreement, dated as of April 11, 2002, by and among the Holders, as it
may be amended and/or restated from time to time. 

 

	1.8.
	"Third Amendment" means that certain Third Amendment to Amended and Restated Operating Agreement of Valvino Lamore, LLC, dated as of
April 11, 2002. 

2.    Contribution.  

	2.1.
	Contribution of LLC Interests.    Each Holder hereby agrees to assign, transfer, convey, and deliver to the Corporation, as
a contribution, such Holder's respective LLC Interest, effective upon the Closing Date, in a transaction intended to qualify under Section 351 of the Internal Revenue Code of 1986, as amended.
The Corporation hereby agrees to acquire and accept such contribution. Wynn, as the Managing Member of the LLC, hereby expressly consents to the transactions contemplated hereby.

	2.2.
	Deliveries.    As of the Closing Date, each Holder shall execute and deliver to the Corporation (i) an Assignment in
substantially the form attached hereto as Exhibit A (the "Assignment"), and (ii) for purposes of cancellation, all Membership Certificates
issued by the LLC to the Holder as a member of the LLC. 

3.    Issuance of Common Stock.  

        As of the Closing Date, as consideration for the contribution of the LLC Interests to the Corporation pursuant to this Agreement, the Corporation shall issue to
each Holder that percentage of the issued and outstanding shares of Common Stock that corresponds to the percentage of the issued and outstanding Common Shares of the LLC that such Holder holds
immediately prior to the Closing Date. Notwithstanding the foregoing, because Wynn currently holds one share of Common Stock, as consideration for the contribution of his LLC Interest, Wynn shall be
entitled to one fewer share of Common Stock than he would otherwise be entitled to under this Section 3. 

4.    Representations and Warranties.  

	4.1.
	Representations and Warranties of the Corporation.    The Corporation hereby represents and warrants to each Holder that:
(i) it has full power and authority to execute and deliver this Agreement and to consummate the transactions contemplated hereby, (ii) the execution and delivery of this Agreement and
the consummation of the transactions contemplated hereby have been duly and validly authorized by all necessary action on the part of the Corporation, (iii) this Agreement has been duly and
validly executed and delivered by the Corporation and is a valid and binding agreement of the Corporation, enforceable against the Corporation in accordance with its terms, except (a) as such
enforcement may be subject to bankruptcy, insolvency, or similar laws now or hereafter in effect relating to creditors rights generally and (b) as the remedy of specific performance and
injunctive and other forms of equitable relief may be subject to equitable defenses and to the discretion of the court before which any proceeding therefor may be brought.

	4.2.
	Representations and Warranties of Each Holder.    Each Holder shall represent and warrant to the Corporation as set forth in
the Assignment. 

5.    Status as a Stockholder; Issuance of Stock Certificates.  

        At the time of the contribution of the LLC Interests to the Corporation pursuant to this Agreement, or as soon as practicable thereafter, the Corporation shall
deliver or cause to be delivered to the Holders certificates representing the Common Stock; provided, however, that upon making such contributions, the Holders shall be considered stockholders of the
Corporation for all purposes notwithstanding that certificates evidencing such shares have not yet been delivered to them by the Corporation. 

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6.    Conditions to the Parties' Obligations at Closing.  

        The obligations of each of the Holders and of the Corporation under this Agreement are subject to the fulfillment of the following conditions: 

	6.1.
	Hart-Scott-Rodino Filing:    All waiting periods under the Hart-Scott-Rodino Antitrust Improvements
Act of 1976 with respect to the contribution of the LLC Interests by Wynn and Aruze shall have expired or terminated.

	6.2.
	PUC Application:    All applicable approvals shall have been received from the Public Utilities Commission of Nevada in
respect of an application under NRS 704.329 relating to transactions affecting Desert Inn Improvement Company, a Nevada corporation and a "small water" public utility, which is wholly owned by Desert
Inn Water Company, a Nevada limited liability company, which in turn is wholly owned by the LLC. 

7.    KRW as Holder.  

        If the KRW Transaction is consummated, then KRW shall be treated as a Holder hereunder and shall be bound by all of the terms and conditions, and be subject to
all of the restrictions and obligations, applicable to a Holder hereunder. 

8.    General Provisions.  

	8.1.
	Construction.    In the interpretation of this Agreement, the singular may be read as the plural, and  vice versa, the neuter gender as the masculine or feminine, and vice versa, and the future tense as the
past or present, and vice versa, all interchangeably as the context may require in order to effectuate fully the intent of the parties and the
transactions contemplated herein. Syntax shall yield to the substance of the terms and provisions hereof. The section headings in this Agreement are inserted only as a matter of convenience, and in no
way define, limit, extend, or interpret the scope of this Agreement or of any particular section.

	8.2.
	Assignment.    None of the parties may assign their rights under this Agreement without the prior written consent of the
other parties; provided, however, that the Corporation may assign its rights, benefits, or obligations under this Agreement to one or more entities controlled by or affiliated with it, without the
prior consent of any other party hereto. This Agreement shall be binding on and inure to the benefit of the parties and their respective successors and permitted assigns.

	8.3.
	No Third-Party Benefits.    None of the provisions of this Agreement is intended to benefit, or to be enforceable by, any
third-party beneficiaries.

	8.4.
	Governing Law.    The laws of the State of Nevada applicable to contracts made in that State, without giving effect to its
conflict of law rules, shall govern the validity, construction, performance, and effect of this Agreement.

	8.5.
	Consent to Jurisdiction.    Each party hereto consents to the jurisdiction of the Courts of the State of Nevada in the event
any action is brought for declaratory relief or enforcement of any of the terms and provisions of this Agreement.

	8.6.
	Amendment and Waiver.    This Agreement may not be modified or amended except by an instrument in writing signed by the
Corporation and all the Holders. No waiver of any provision of this Agreement or of any rights or obligations of any party under this Agreement shall be effective unless in writing and signed by the
party or parties waiving compliance, and shall be effective only in the specific instance and for the specific purpose stated in that writing. 

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	8.7.
	Counterparts.    This Agreement may be executed in one or more counterparts, each of which shall be deemed an original, but
all of which together shall constitute one and the same instrument.

	8.8.
	Additional Documents.    Each party hereto agrees to execute any and all further documents and writings and to perform such
other actions which may be or become necessary or expedient to effectuate and carry out this Agreement.

	8.9.
	Severability.    Any provision hereof that is prohibited or unenforceable shall be ineffective only to the extent of such
prohibition or unenforceability without invalidating the remaining provisions hereof.

	8.10.
	Integration.    This Agreement, the Stockholders Agreement, and the Operating Agreement contain the entire understanding of
the parties with respect to the subject matter hereof or thereof. There are no restrictions, agreements, promises, representations, warranties, covenants, or undertakings with respect to the subject
matter hereof other than those expressly set forth or referred to herein or therein. This Agreement, the Stockholders Agreement, and the Operating Agreement supersede all prior agreements and
understandings between the parties with respect to their subject matter. 
[SIGNATURES BEGIN ON FOLLOWING PAGE]

4

 

Signature Page to Contribution Agreement  

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

	 	 	/s/  STEPHEN A. WYNN      

	 	 	STEPHEN A. WYNN
	

 	
 	
ARUZE USA, INC.
	

 	
 	

By:	

/s/  STEPHEN A. WYNN      
 Stephen A. Wynn, as Attorney-in-Fact
	

 	
 	
BARON ASSET FUND, ON BEHALF OF THE BARON ASSET FUND SERIES
	

 	
 	

By:	

/s/  STEPHEN A. WYNN      
 Stephen A. Wynn, as Attorney-in-Fact
	

 	
 	
 BARON ASSET FUND, ON BEHALF OF THE BARON GROWTH FUND SERIES
	

 	
 	

By:	

/s/  STEPHEN A. WYNN      
 Stephen A. Wynn, as Attorney-in-Fact
	

 	
 	
 KENNETH R. WYNN FAMILY TRUST DATED FEBRUARY    , 1985
	

 	
 	

By:	

 Kenneth R. Wynn, Trustee
	

 	
 	
WYNN RESORTS, LIMITED
	

 	
 	

By:	

/s/  STEPHEN A. WYNN      

	 	 	 	Stephen A. Wynn,
 Chief Executive Officer

5

 
Signature Page to Contribution Agreement  

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

	

 	
 	

STEPHEN A. WYNN
	

 	
 	
ARUZE USA, INC.
	

 	
 	

By:	

 Stephen A. Wynn, as Attorney-in-Fact
	

 	
 	
BARON ASSET FUND, ON BEHALF OF THE BARON ASSET FUND SERIES
	

 	
 	

By:	

 Stephen A. Wynn, as Attorney-in-Fact
	

 	
 	
BARON ASSET FUND, ON BEHALF OF THE BARON GROWTH FUND SERIES
	

 	
 	

By:	

 Stephen A. Wynn, as Attorney-in-Fact
	

 	
 	
KENNETH R. WYNN FAMILY TRUST DATED FEBRUARY    , 1985
	

 	
 	

By:	

/s/  KENNETH R. WYNN      

	 	 	 	Kenneth R. Wynn, Trustee
	

 	
 	
WYNN RESORTS, LIMITED
	

 	
 	

By:	

 Stephen A. Wynn,
 Chief Executive Officer

6

EXHIBIT A

ASSIGNMENT OF MEMBERSHIP INTEREST 

        FOR
VALUABLE CONSIDERATION,                        (the "Assignor") hereby assigns,
conveys, transfers, and delivers, as a contribution, to Wynn
Resorts, Limited, a Nevada corporation (the "Assignee"), and the Assignee hereby acquires and accepts, as a contribution, from the Assignor, all of the
right, title, and interest in and to the Assignor's LLC Interest in Valvino Lamore, LLC, a Nevada limited liability company. All capitalized terms not defined in this Assignment of Membership Interest
(the "Assignment") shall have the meanings ascribed to them in that certain Contribution Agreement (the "Contribution
Agreement") made and entered into effective as of June    , 2002, by and among the Assignor, the Assignee, and certain other parties. 

        The
Assignor hereby represents, warrants, and covenants to the Assignee as follows: 

        1.    Accredited Investor Status.    The Assignor is an "accredited investor" as defined in Securities and Exchange
Commission ("SEC") Rule 501(a) in that the Assignor satisfies at least one of the following six criteria: (1) is an individual who is a
director or executive officer of the Assignee, or (2) is an individual who has a net worth or joint net worth with his or her spouse in excess of $1 million at the time of his or her
acquisition, or (3) is an individual who has an individual income in excess of $200,000 in each of the two most recent calendar years, or joint income with his or her spouse in excess of
$300,000 in each of those years and has a reasonable expectation of reaching the same income level in the current year, or (4) is an entity, not formed for the specific purpose of acquiring the
Common Stock, which has total assets of at least $5 million and the acquisition of the Common Stock is directed by a sophisticated person, or (5) any investment company registered under
the Investment Company Act of 1940 or a business development company as defined in Section 2(a)(48) of such Act, or (6) is an entity in which all of the equity owners meet the
requirements of (1), (2), (3), (4), or (5) above. The Assignor has a preexisting personal or business relationship with the Assignee or any of its officers, directors, or controlling persons. 

        2.    Stock Unregistered.    The Assignor acknowledges that the Common Stock has not been registered under the
Securities Act of 1933, as amended, or qualified under any applicable blue sky laws in reliance, in part, on the representations and warranties herein, and the following restrictive legend (or similar
legend) shall be placed on the certificates representing the Common Stock issued to the Assignor: 

        "The
securities represented by this certificate have not been registered under the Securities Act of 1933, as amended, or the securities laws of any state, and may not be sold or
otherwise disposed of except pursuant to an effective registration statement under such Act and applicable state securities laws or an applicable exemption to the registration requirements of such Act
and of such laws." 

The
Assignor understands that the shares of Common Stock are and will be "restricted securities" under the federal securities laws in that such securities will be acquired from the Assignee in a
transaction not involving a public offering, and that under such laws and applicable regulations such securities may be resold without registration under the Act only in certain limited circumstances
and that otherwise such securities must be held indefinitely. 

        3.    Financial Resources.    The Assignor's financial situation is such that the Assignor can afford to bear the
economic risk of holding the Common Stock for an indefinite period of time, has no need for liquidity with respect to the Assignor's investment therein, has adequate means to provide for the
Assignor's current needs and personal contingencies, and can afford to suffer the complete loss of the Assignor's investment in the Common Stock. 

        4.    Acquisition for Investment.    The Assignor is acquiring the Common Stock solely for investment, for the
Assignor's account and not with a view to, or for resale in connection with, the distribution or other disposition thereof, except for such distributions and dispositions that are effected 

in compliance with the Securities Act of 1933, as amended, the rules and regulations of the SEC promulgated thereunder and all applicable state securities and blue sky laws. 

        5.    Title.    The Assignor has good and marketable title to the LLC Interest proposed to be contributed by the
Assignor hereunder and full right, power, and authority to contribute the LLC Interests hereunder, free and clear of all encumbrances (other than those imposed by the Securities Act of 1933, as
amended, and the securities or blue sky laws of certain jurisdictions and the Operating Agreement); and upon delivery and exchange of the LLC Interest hereunder, the Assignee will acquire good and
marketable title thereto, free and clear of all encumbrances. 

        This
Assignment is delivered pursuant to the Contribution Agreement and is subject to the terms and conditions thereof. 

        Dated
as of the    day of            , 2002. 

	 	 	ASSIGNOR
	

 	
 	

 [Name of Assignor]
	 	 	 	 
	 	 	 	 
	 	 	ASSIGNEE
	

 	
 	

Wynn Resorts, Limited
	

 	
 	

By:	

 
	 	 	 	
 Stephen A. Wynn,
 Chief Executive Officer

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CONTRIBUTION AGREEMENT

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