Document:

Prepared by MERRILL CORPORATION

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EXHIBIT 10.28    
  

    "RCT" means the material omitted has been filed separately with the Securities and

Exchange Commission with an application requesting confidential treatment.

AGREEMENT  

    THIS AGREEMENT, which is effective May 1, 1998, by and between KMART CORPORATION, a Michigan corporation located at 3100 West Big Beaver Road, Troy,
Michigan 48084 (hereinafter referred to as "Kmart") and CARDIVAN COMPANY, a Nevada corporation, located at 1110 Palms Airport Drive, Las Vegas, Nevada, 89119 (hereinafter referred to as "Cardivan"). 

    WHEREAS,
Kmart desires Cardivan to continue the installation, operation, maintenance and servicing of gaming devices (the "Devices") in all stores of Kmart in the State of Nevada; and 

    WHEREAS,
Cardivan agrees to take all necessary steps to install, operate and maintain Devices pursuant to the terms of this Agreement. 

    NOW,
THEREFORE, in consideration of the mutual covenants and agreements herein contained, the parties agree as follows: 

    1.  Cardivan
shall install, operate, service and remove subject to the terms hereof, Devices at the Kmart store locations set forth on the attached Exhibit A.
Should Kmart open or acquire additional stores within the State of Nevada during the term of this Agreement, Kmart will use its best efforts to provide to Cardivan adequate space for the installation
and operation of the maximum number of Devices allowable by law. Cardivan will accept existing space allocations within existing Kmart stores. However should Kmart reduce the space allocation in an
existing store, a per Device monthly rent adjustment will be required during the term of this Agreement. The minimum number of Devices to be installed and operated in each existing store is detailed
on Exhibit A. Cardivan may elect to reduce or add to the number of Devices at any location subject to the terms of this Agreement. Installation, maintenance, removal and replacement of said
Devices shall be performed only at the time specified by the Kmart district manager of the store involved. The area in which Devices shall be located in the stores shall be mutually agreed upon
between Kmart and Cardivan. 

    2.  In
full consideration for the rights hereby granted, Cardivan shall pay to Kmart the amounts set forth in the attached Exhibit B for each existing store as
of May 1, 1998. All payments will be made on the first day of each month for the previous month. The minimum amount to be paid by Cardivan to Kmart for each store shall be based on the minimum
number of Devices listed in Exhibit B for each store. The minimum monthly fees per store will be paid by Cardivan even if Cardivan elects to reduce the number of Devices in a store below the
minimum number provided in Exhibit B. Provided, if Cardivan elects to install additional Devices in a store above the minimum number listed in Exhibit B for a store, Cardivan agrees to
pay to Kmart an additional amount for each such Device based on the monthly fee per Device listed in Exhibit B for the store in which the additional Device(s) is installed and operated. 

Should
Kmart open or acquire additional stores in the State of Nevada during the term of this Agreement, Cardivan shall have the option within thirty (30) days of notification by Kmart to
Cardivan to exercise its exclusive right to operate Devices within each of the stores under the terms and conditions of this Agreement. During the term of this Agreement, the fees due with respect to
such new locations will be based on the actual number of Devices at such locations at the then applicable monthly fee. For the RCT period following the date such new location is open for business by
Kmart, the monthly fee per Device shall be RCT; provided that if Kmart has not taken all steps required to be taken by it to permit Cardivan to commence operations at such New Location, the RCT period
shall not commence until all such actions have been taken. 

Kmart
acknowledges that Cardivan has prepaid the monthly fees through July 31, 1998 for the Kmart store #3894 located in Elko, Nevada pursuant to a previous agreement entered into between the
parties on September 1, 1997. 

    3.  Payments by Cardivan shall be mailed or delivered to Kmart Corporation at 3100 West Big Beaver Road, Troy, MI 48084, Accounts Receivable—Attn: D.
Matyanowski. Kmart may direct Cardivan to send payments to another address by giving Cardivan written notice at least thirty days in advance of such address change. All payments made by Cardivan
hereunder shall be accompanied by a report giving a breakdown by store of the amount paid and the calendar month to which the payment relates. Notification of the installation of any new Devices
(except Devices installed to replace old Devices) shall be given to Kmart at the then current address for payments not less than thirty (30) days prior to the installation. 

    4.  All
Devices installed by Cardivan hereunder and subject to this Agreement, together with the contents of their cash boxes shall remain the sole property of Cardivan
and Kmart shall acquire no ownership interest therein. All taxes and assessments of any kind by reason of or as a condition precedent to the ownership or operation of Devices by Cardivan in the stores
shall be paid promptly and in full by Cardivan, but Cardivan shall not be liable for any tax measured by Kmart's income. Cardivan warrants that prior to installation of any Device hereunder it shall
have paid the proper licensing agency or agencies the licensing fee or fees necessary for operation of Devices and that it
shall have procured from said agency or agencies all licenses necessary for operation of Devices. Cardivan agrees that it shall maintain in force such licenses and pay any and all license fees as they
become due during the term of this Agreement. 

Cardivan
agrees to reimburse, indemnify, defend and hold Kmart harmless from and against any damage, loss, expense or penalty or any claim or action therefore: (1) by or on behalf of any taxing
authority arising out of Cardivan's payment or failure of payment of any taxes and/or assessments (including license fees) imposed by reason of or as a condition precedent to the ownership or
operation of the Devices covered hereunder, and (2) as a result of Cardivan's failure to obtain and/or maintain in force any licenses necessary for the operation of Devices covered hereunder. 

    5.  All
costs and expenses incurred for the installing, maintaining and removing of said Devices shall be paid by Cardivan, together with the costs of restoring to
their condition on the date of installation, reasonable wear and tear excepted, the areas in the stores occupied by said Devices, which restoration Cardivan hereby agrees to perform promptly after the
removal of any or all of said Devices and/or upon termination of this Agreement. If Cardivan fails or refuses to so remove and restore for more than thirty (30) consecutive calendar days after
termination of this Agreement or its receipt of directions from Kmart to do so, Kmart may so remove and restore and may place said removed Devices in public storage in Clark County, Nevada for
Cardivan's account and at Cardivan's risk. 

    6.  Cardivan
shall, at its own expense, employ a sufficient number of persons to supply change or coins (furnished by Cardivan) to patrons of the Devices at each of the
stores covered by this Agreement. In the event that Kmart deems one or more of Cardivan's Change Persons or other employees working at a Location or Locations is conducting themselves in a manner that
is unsatisfactory to Kmart, Kmart may inform Cardivan verbally or in writing of such conduct. Cardivan shall address the matter within twenty-four (24) hours with the Affected
Employee and correct the violation. If Kmart notifies Cardivan, verbally or in writing, of a second incident by the Affected Employee, Cardivan shall replace the Affected Employee as quickly as
possible subject to existing federal, state and local laws. 

    7.  Cardivan
shall service said Devices, and its employees shall be present to render change service, during the hours when said store is open to the public. 

    8.  In
the event an Existing Location is closed for renovation for a period of thirty (30) days or more, the Fees with respect to such renovated Existing
Location shall be RCT monthly fee RCT following the date such renovated Existing Location is reopened for business by Kmart; provided that if Kmart has not taken all steps required to be taken by it
to permit Cardivan to recommence operations at such Existing Location, the RCT period shall not commence until all such actions have been taken. Should Cardivan decline to exercise such option Kmart
may license another operator of Devices for such new store. 

    9.  Cardivan shall be responsible for and does represent that it shall comply with all federal, state and local laws, rules and regulations applicable to its operations
under this Agreement. 

    10. Cardivan
is and at all times shall be an independent contractor in the performance of this Agreement. Cardivan will exercise control over its employees and shall be
solely responsible for the payment of any wages, salaries or other remuneration of its employees and for the payment of any payroll taxes, contributions for unemployment insurance, social security,
pensions or annuities which are imposed as a result of the employment of its employees. 

    11. The
risk of loss, damage, destruction or disappearance of any property of Cardivan on the premises shall, as between Kmart and Cardivan, be exclusively that of
Cardivan. 

    12. Cardivan
shall not advertise the presence of the Devices covered by this Agreement, except in accordance with Kmart's prior written approval. 

    13. If
Kmart decides to alter its smoking policies in the Gaming Spaces from those currently in effect, Kmart agrees to discuss the need for such change with Cardivan
and to secure Cardivan's prior written consent for such change, unless and to the extent such change is required by law or regulation. 

    14. Cardivan
shall reimburse, indemnify, defend and hold Kmart harmless from and against any damage, loss, expense or penalty or any claim, demand, action or proceeding
therefor by or on behalf of any person or entity (including Cardivan employees), arising out of the installation, maintenance, service, existence, operation, repair or removal of Devices including but
not limited to claims of libel, slander, assault, false arrest, bodily injury or property damage (hereinafter "such claims"), provided Kmart gives Cardivan reasonable notice of any such claims made or
brought against Kmart. Cardivan shall assume the defense or other disposition of any such claims within a reasonable period of time after notice of same. 

    15. Cardivan
shall provide and maintain in effect during the term hereof and any extension thereof workers' compensation insurance covering all employees engaged in its
business and in the installation, maintenance, service, operation, repair or removal of said Devices, or provide workers' compensation on a self-insured basis in compliance with applicable
Nevada regulations, and shall likewise provide and maintain public liability insurance with policy limits of $2,000,000 per occurrence and aggregate combined for bodily injury and property damages.
Kmart shall be named as an additional insured under said policy or policies. Such insurance shall specifically protect Cardivan and Kmart as its interest may appear against the contractual liability
assumed by Cardivan hereunder, and certificates of such insurance shall be promptly delivered to Kmart. 

    16. Cardivan
will indemnify and save Kmart harmless from and against all claims, demands or actions arising out of infringement or alleged infringement of U.S. Patents,
copyrights, trademark or servicemark rights if such claims, demands or actions are made or brought against Kmart as a result of the presence of said Devices in its stores. 

    17. Notices
hereunder for Cardivan shall be directed to it at 1110 Palms Airport Drive, Las Vegas, Nevada 89119, Attn: Senior Vice President—Operations and
notices for Kmart shall be directed to it at 3100 West Big Beaver Road, Troy, Michigan 48084, Attn: General Counsel or to such other addresses as either party may hereafter specify in writing. Notices
shall be effective on the date recipient signs for receipt of said notice. 

    18. The
entire understanding of the parties with relation to the subject matter hereof is contained herein. No modification of this Agreement shall be effective unless
made in writing and signed by both parties. Neither party shall assign this Agreement or any interest in it or assign or subcontract the performance of any obligation hereunder without the prior
written consent of the other party; subject to such prior written consent, this Agreement shall bind the successors and assigns of both parties. 

    19. This Agreement shall become effective as of May 1, 1998 and shall expire on June 30, 2010; provided, however, that either party may terminate this
Agreement effective as of July 1, 2005 or July 1, 2008, provided that written notice is given to the non-terminating party by RCT. Further, if Kmart elects to eliminate the
Devices in all Kmart stores in Nevada, Kmart may terminate this

 

Agreement effective July 1 of any year commencing July 1, 2005, provided that Kmart gives written notice by RCT of same year to Cardivan, and such notice indicates Kmart's intention to
eliminate the Devices and any and all gaming operations through June 30, 2010. In addition, either party may terminate this Agreement at any time during the term if the other party breaches or
is in default of the performance of its obligations hereunder, and such breach or default continues for thirty (30) consecutive days after written notice thereof is mailed to the party
breaching or in default, such termination to be effective on said thirtieth (30th) day. In the event any of the Kmart stores covered by this Agreement close, Cardivan's gaming operations as to such
store only shall be suspended during such closing, if temporary and, if permanent, Cardivan's gaming operations as to such store only shall terminate effective as of the date of the store closing.
Termination shall not affect rights or obligations accrued hereunder prior to the effective date of termination. In addition, in the event that (i) Kmart should effect a material reduction in
the hours of operation of the locations, from the hours of operation in effect on the date of this Agreement, or (ii) there should be a change in the laws or regulations applicable to the
operation of gaming devices in retail facilities which has the effect of materially reducing the revenues received by Cardivan from its operation of the Devices hereunder, the parties shall negotiate
in good faith to arrive at an equitable adjustment to the terms of the Agreement.

 

    20. Both
of the parties hereto agree that they will be bound by and comply with any rule, regulation or statute of the State of Nevada relating to Devices herein
described; together with city and county ordinance pertaining to Devices. 

    21. Notwithstanding
the provisions of paragraph 19 above, this Agreement shall terminate on the effective date of any law, ordinance, regulations or final
judicial decision which, directly or in effect, renders operations hereunder unlawful, or requires Kmart to meet the licensing of the Nevada Gaming Commission. Should a new tax or a current tax
increase be imposed on the gaming operations (other than increases in rate of income, sales or excise taxes which are of general application to persons in addition to those dealing with Devices)
during the term of this Agreement that has the effect of materially reducing the operating income earned by Cardivan from its operation of Devices at Kmart stores, Kmart and Cardivan agree to
negotiate in good faith to arrive at an equitable adjustment to the terms of this Agreement. 

    22. RCT

    23. This
Agreement and the information contained herein, including but not limited to the fees payable to Kmart by Cardivan, is confidential and shall not be disclosed
to any person except the gaming licensing authorities of the State of Nevada upon proper request, unless and to the extent required by laws or regulations applicable to the parties. 

    24. This
Agreement shall supersede and replace the Agreement dated September 1, 1997 between Kmart and Cardivan. 

    IN
WITNESS WHEREOF, the parties have executed this Agreement as of this 2nd day of June, 1998. 

	CARDIVAN COMPANY	 	KMART CORPORATION
	

By:	
 	

/s/ George Congdon
	
 	

By:	
 	

/s/ D. W. Keeble

	

Its:	
 	

President
	
 	

Its:	
 	

Executive Vice President

EXHIBIT A  

	Store #
 
	 	Location
	 	Min. # of

Devices
	 	Hours of Operation

	Super Kmart	 	 	 	 
	4933	 	4855 Summit Ridge, Reno, Nv 89503	 	15	 	24 hours
	4943	 	3456 North Carson Street, Carson City, NV 89706	 	15	 	24 hours
	
Kmart	
 	

 	
 	

 
	3095	 	2671 Las Vegas Blvd. N., N. Las Vegas, NV 89030	 	15	 	8a-10p
	3110	 	3800 Kietzke Lane, Reno, NV 89502	 	16	 	8a-10p
	3592	 	5050 E. Bonanza Road, Las Vegas, NV 89110	 	16	 	8a-10p
	3680	 	3760 E. Sunset Road, Las Vegas, NV 89120	 	15	 	8a-10p
	3719	 	4500 N. Rancho Drive, Las Vegas, NV 89130	 	16	 	8a-10p
	3857	 	732 S. Racetrack Road, Henderson, NV 89015	 	15	 	8a-10p
	3894	 	2450 Mountain City Hwy., Elko, NV 89801	 	15	 	8a-10p M-Sa 8a-9p Sun.
	4151	 	2125 Oddie Blvd., Sparks, NV 89431	 	16	 	8a-10p
	4369	 	2975 E. Sahara Avenue, Las Vegas, NV 89104	 	15	 	8a-10p
	7586	 	3455 S. Rainbow Blvd., Las Vegas, NV 89102	 	15	 	8a-10p

EXHIBIT B  

 For the Period RCT  

	Store
 
	 	Monthly Fee per Device
	 	# of Devices
	 	Total Due Per Month

	Super Kmart Store #	 	 	 	 	 	 
	4933	 	RCT	 	15	 	RCT
	4943	 	RCT	 	15	 	RCT
	
Kmart Store #	
 	

 	
 	

 	
 	

 
	3095	 	RCT	 	15	 	RCT
	3110	 	RCT	 	16	 	RCT
	3592	 	RCT	 	16	 	RCT
	3680	 	RCT	 	15	 	RCT
	3719	 	RCT	 	16	 	RCT
	3857	 	RCT	 	15	 	RCT
	3894	 	RCT	 	15	 	RCT
	4151	 	RCT	 	16	 	RCT
	4369	 	RCT	 	15	 	RCT
	7586	 	RCT	 	15	 	RCT
	 	 	 	 	Total All:	 	RCT

EXHIBIT B  

 For the Period RCT  

	Store
 
	 	Monthly Fee per Device
	 	# of Devices
	 	Total Due Per Month

	Super Kmart Store #	 	 	 	 	 	 
	4933	 	RCT	 	15	 	RCT
	4943	 	RCT	 	15	 	RCT
	
Kmart Store #	
 	

 	
 	

 	
 	

 
	3095	 	RCT	 	15	 	RCT
	3110	 	RCT	 	16	 	RCT
	3592	 	RCT	 	16	 	RCT
	3680	 	RCT	 	15	 	RCT
	3719	 	RCT	 	16	 	RCT
	3857	 	RCT	 	15	 	RCT
	3894	 	RCT	 	15	 	RCT
	4151	 	RCT	 	16	 	RCT
	4369	 	RCT	 	15	 	RCT
	7586	 	RCT	 	15	 	RCT
	 	 	 	 	Total All:	 	RCT

EXHIBIT B  

 For the Period RCT  

	Store
 
	 	Monthly Fee per Device
	 	# of Devices
	 	Total Due Per Month

	Super Kmart Store #	 	 	 	 	 	 
	4933	 	RCT	 	15	 	RCT
	4943	 	RCT	 	15	 	RCT
	
Kmart Store #	
 	

 	
 	

 	
 	

 
	3095	 	RCT	 	15	 	RCT
	3110	 	RCT	 	16	 	RCT
	3592	 	RCT	 	16	 	RCT
	3680	 	RCT	 	15	 	RCT
	3719	 	RCT	 	16	 	RCT
	3857	 	RCT	 	15	 	RCT
	3894	 	RCT	 	15	 	RCT
	4151	 	RCT	 	16	 	RCT
	4369	 	RCT	 	15	 	RCT
	7586	 	RCT	 	15	 	RCT
	 	 	 	 	Total All:	 	RCT

EXHIBIT B  

 For the Period RCT  

	Store
 
	 	Monthly Fee per Device
	 	# of Devices
	 	Total Due Per Month

	Super Kmart Store #	 	 	 	 	 	 
	4933	 	RCT	 	15	 	RCT
	4943	 	RCT	 	15	 	RCT
	
Kmart Store #	
 	

 	
 	

 	
 	

 
	3095	 	RCT	 	15	 	RCT
	3110	 	RCT	 	16	 	RCT
	3592	 	RCT	 	16	 	RCT
	3680	 	RCT	 	15	 	RCT
	3719	 	RCT	 	16	 	RCT
	3857	 	RCT	 	15	 	RCT
	3894	 	RCT	 	15	 	RCT
	4151	 	RCT	 	16	 	RCT
	4369	 	RCT	 	15	 	RCT
	7586	 	RCT	 	15	 	RCT
	 	 	 	 	Total All:	 	RCT

EXHIBIT B  

 For the Period RCT  

	Store
 
	 	Monthly Fee per Device
	 	# of Devices
	 	Total Due Per Month

	Super Kmart Store #	 	 	 	 	 	 
	4933	 	RCT	 	15	 	RCT
	4943	 	RCT	 	15	 	RCT
	
Kmart Store #	
 	

 	
 	

 	
 	

 
	3095	 	RCT	 	15	 	RCT
	3110	 	RCT	 	16	 	RCT
	3592	 	RCT	 	16	 	RCT
	3680	 	RCT	 	15	 	RCT
	3719	 	RCT	 	16	 	RCT
	3857	 	RCT	 	15	 	RCT
	3894	 	RCT	 	15	 	RCT
	4151	 	RCT	 	16	 	RCT
	4369	 	RCT	 	15	 	RCT
	7586	 	RCT	 	15	 	RCT
	 	 	 	 	Total All:	 	RCT

EXHIBIT B  

 For the Period RCT  

	Store
 
	 	Monthly Fee per Device
	 	# of Devices
	 	Total Due Per Month

	Super Kmart Store #	 	 	 	 	 	 
	4933	 	RCT	 	15	 	RCT
	4943	 	RCT	 	15	 	RCT
	
Kmart Store #	
 	

 	
 	

 	
 	

 
	3095	 	RCT	 	15	 	RCT
	3110	 	RCT	 	16	 	RCT
	3592	 	RCT	 	16	 	RCT
	3680	 	RCT	 	15	 	RCT
	3719	 	RCT	 	16	 	RCT
	3857	 	RCT	 	15	 	RCT
	3894	 	RCT	 	15	 	RCT
	4151	 	RCT	 	16	 	RCT
	4369	 	RCT	 	15	 	RCT
	7586	 	RCT	 	15	 	RCT
	 	 	 	 	Total All:	 	RCT

EXHIBIT B  

 For the Period RCT  

	Store
 
	 	Monthly Fee per Device
	 	# of Devices
	 	Total Due Per Month

	Super Kmart Store #	 	 	 	 	 	 
	4933	 	RCT	 	15	 	RCT
	4943	 	RCT	 	15	 	RCT
	
Kmart Store #	
 	

 	
 	

 	
 	

 
	3095	 	RCT	 	15	 	RCT
	3110	 	RCT	 	16	 	RCT
	3592	 	RCT	 	16	 	RCT
	3680	 	RCT	 	15	 	RCT
	3719	 	RCT	 	16	 	RCT
	3857	 	RCT	 	15	 	RCT
	3894	 	RCT	 	15	 	RCT
	4151	 	RCT	 	16	 	RCT
	4369	 	RCT	 	15	 	RCT
	7586	 	RCT	 	15	 	RCT
	 	 	 	 	Total All:	 	RCT

EXHIBIT B  

 For the Period RCT  

	Store
 
	 	Monthly Fee per Device
	 	# of Devices
	 	Total Due Per Month

	Super Kmart Store #	 	 	 	 	 	 
	4933	 	RCT	 	15	 	RCT
	4943	 	RCT	 	15	 	RCT
	
Kmart Store #	
 	

 	
 	

 	
 	

 
	3095	 	RCT	 	15	 	RCT
	3110	 	RCT	 	16	 	RCT
	3592	 	RCT	 	16	 	RCT
	3680	 	RCT	 	15	 	RCT
	3719	 	RCT	 	16	 	RCT
	3857	 	RCT	 	15	 	RCT
	3894	 	RCT	 	15	 	RCT
	4151	 	RCT	 	16	 	RCT
	4369	 	RCT	 	15	 	RCT
	7586	 	RCT	 	15	 	RCT
	 	 	 	 	Total All:	 	RCT

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EXHIBIT 10.28Prepared by MERRILL CORPORATION

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EXHIBIT 10.29    
  

 
  "RCT" means the material omitted has been filed separately with the Securities and
  Exchange Commission with an application requesting confidential treatment.    
  

 
 

LICENSE AGREEMENT    
  

    THIS AGREEMENT is entered into as of the 24th day of April 1997, between Lucky Stores, Inc., a Nevada corporation ("Licensor"), and Cardivan
Company, a Nevada corporation ("Licensee"). Licensee and Licensor are collectively referred to as "the Parties". 

    1.  Purpose.  This Agreement sets forth the terms and conditions under which the Licensee shall have the
exclusive right to operate certain gaming devices (the "Devices") (i) within each of the stores operated by Licensor in the State of Nevada which are designated on Exhibit "A" attached hereto
and incorporated herein by reference (the "Existing Locations"), and (ii) in any additional stores opened or acquired by Licensor or an affiliate of Licensor for business to the public in the
state of Nevada during the term of this Agreement which become subject to this Agreement pursuant to Section 4(d) hereof (the "New Locations", together with the Existing Locations, the
"Licensed Locations"). Notwithstanding the foregoing, an off-site replacement of a Licensed Location which constitutes a "replacement store" in accordance with Licensor's internal
policies, which opens concurrently with the closing of the Licensed Location it is replacing, and which is located not more than one mile from the Licensed Location it is replacing, shall not
constitute a New Location for purposes of this Agreement. 

    2.  License.  Licensor hereby grants to Licensee the use of such amount of space (the "Gaming Space") as
is reasonably required to set up the number of Devices currently permitted at such Licensed Location. For purposes of illustration, the Gaming Space at a Licensed Location in which 15 bill validator-
equipped Devices are located would not be required to contain more than 450 square feet of space. The Gaming Space shall be located as close to the entrance and checkstand of the Licensed Location as
is reasonably practicable with the exact location and square footage of the Gaming Space to be determined by mutual agreement of the parties. Licensee is also hereby granted an exclusive right to
operate up to the maximum number of Devices currently allowed by the State of Nevada in each of the Licensed Locations. Notwithstanding the foregoing, the size of the Gaming Space and the location of
the Devices in each of the Existing Locations shall be continued in the same manner as at the time of the execution of this Agreement except as changes thereto are made from time to time by mutual
agreement between Licensor and Licensee. Licensor agrees to use its best efforts to expand the size of
the Gaming Space at the Existing Locations where such expansion is required in order to replace the Devices currently located in such Existing Locations with an equal number of Devices containing bill
validators and shall use its best efforts to complete any such required expansions by April 30, 1998. In the event that Licensor is not able to complete any such required expansions by
April 30, 1998, the parties shall negotiate in good faith to arrive at an appropriate adjustment to the monthly fees payable hereunder; provided, that in no event shall the fee for any Licensed
Location be reduced to an amount less than RCT per month. 

    3.  Term.  The term of the license for each Licensed Location shall begin on July 1, 1997 and
shall expire at midnight on June 30, 2003. In addition, Licensee may, at its sole option, extend the term of this Agreement for an additional period of five years commencing on July 1,
2003 and expiring at midnight on June 30, 2008 (the "Option Period") by giving written notice to Licensor of its intention to do so no earlier than RCT and no later than RCT; provided, that
such option may only be exercised if (i) Licensee concurrently exercises its option to extend the term of that certain License Agreement between Licensee and American Drug Stores, Inc.
("ADS") dated of even date herewith, and (ii) Corral United, Inc. concurrently exercises its option to extend the term of that certain License Agreement between Corral
United, Inc. and ADS dated of even date herewith. Licensee shall have no option to renew or extend this License Agreement beyond June 30, 2008.

 

    4.  Fees.  

	a.
	During
the initial term of this License Agreement, Licensee agrees to pay Licensor the following amount per Licensed Location per month: 

	Period
	 	Per Licensed Location Per Month

	RCT	 	RCT
	RCT	 	RCT

	b.
	During
the Option Period the Licensee agrees to pay Licensor the following amount per Licensed Location per month: 

	Option Period
 
	 	Per Licensed Location Per Month

	RCT	 	RCT
	RCT	 	RCT

	c.
	The
monthly amounts set forth above shall be subject to increase from time to time during the term of this Agreement and any extension hereof as follows. During the
one-month period prior to each of RCT and RCT, respectively, Licensee shall determine the average monthly fee per Device being paid by Licensee to other customers pursuant to written
contracts having a remaining duration of one year or more, or which may be paid pursuant to contracts under negotiation, for comparable store locations (the "Comparable Rent"). If the Comparable Rent
is greater than the fee provided for above by more than 5%, the monthly fee shall be increased to the Comparable Rent for the duration of the applicable period.

	d.
	During
the term of this Agreement, if Licensor opens or acquires any New Location and Licensor determines to include Devices at such New Location, Exhibit A hereto shall be
amended to include such New Location and the monthly fees payable hereunder shall be adjusted accordingly. In the case of a New Location opened or acquired on or after RCT, the fees due pursuant to
this Section 4 with respect to such New Location shall be RCT fee during the RCT period following the date such New Location is opened for business by Licensor; provided, that if Licensor has
not taken all steps required to be taken by it to permit Licensee to commence operations at such New Location, the RCT period shall not commence until all such actions have been taken. In addition, in
the event an Existing Location is closed for renovation for a period of RCT or more, the Fees with respect to such renovated Existing Location shall be RCT fee due pursuant to this Section 4
during the RCT period following the date such renovated Existing Location is reopened for business by Licensor; provided, that if Licensor has not taken all steps required to be taken by it to permit
Licensee to recommence operations at such Existing Location, the RCT period shall not commence until all such actions have been taken.

	e.
	The
above fee shall be due and payable on the first day of every month. If any of the above fees are not paid when due or within fifteen (15) days thereafter, Licensee shall
pay Licensor interest on all amounts delinquent from the date of delinquency until paid at a rate equal to 150 percent of the prime rate charged preferred customers by Bank of America Nevada,
determined as of the first day of the month preceding such delinquency and adjusted as of the first day of each month during the period of such delinquency, but not to exceed the greater of
24 percent per annum or the highest rate permitted by applicable law.

	f.
	Licensor
and Licensee agree that as of June 30, 1997, Licensor will hold a security deposit (the "Security Deposit") in the amount of RCT pursuant to agreements previously
entered into between the parties, which amount consists of the principal amount of the original security deposit together with interest accrued thereon through June 30, 1997. Commencing
July 1, 1997, no further interest shall be
payable by Licensor to Licensee with respect to the Security Deposit and commencing June 1, 1998 and on each June 1, thereafter, RCT of such Security Deposit shall be applied as an
offset against the monthly fees payable by Licensee under this Agreement until such time as the Security Deposit has been exhausted. 

	g.
	In
the event that (i) Licensor should effect a material reduction in the hours of operation of the Licensed Locations, considered as a whole, from the hours of operation in
effect on the date of this Agreement, or (ii) there should be a change in the laws or regulations applicable to the operation of gaming devices in retail food and drug facilities which has the
effect of materially reducing the revenues received by Licensee from its operation of the Devices hereunder, the parties shall negotiate in good faith to arrive at an equitable adjustment to the terms
of the Agreement. 

    5.  Taxes.  Licensee agrees to pay all taxes (other than real estate taxes) payable in connection with
the conduct of its business in the Licensed Locations, including personal property taxes levied against the Devices, fixtures, and other personal property of the Licensee in the Licensed Locations.
Licensee will pay all social security, unemployment, and old age benefit taxes, state, federal, and local, or other similar taxes due with respect to employees or wages paid to employees of the
Licensee in the Licensed Locations. Licensee will maintain and pay all license fees, federal, state, county, or city, necessary for its operations in the Licensed Locations. 

    6.  Use and Operation.  Licensee agrees to use the Gaming Space within the Licensed Locations as a
department for the sole purpose of operating the Devices in such space and will at all times conduct said department and all branches of its business in a first-class business like and attractive
high-grade and proper manner, including, without limitation, (1) maintaining the Devices in good condition and repair at its own expense and at no expense to Licensor;
(2) replacing any out of date Devices at its own expense with modern, up-to-date Devices from time to time; (3) employing a change cashier or installing money
changing devices so that the store cashiers in the Licensed Location will not be required to make change for the operation of the Devices; and (4) not employing any person or persons within the
Licensed Locations deemed objectionable by Licensor, Licensee agreeing upon request of Licensor to remove any such objectionable employee as quickly as reasonably possible under existing federal,
state, and local laws. Signs of such type and size as may be mutually agreed upon by Licensor and Licensee shall be placed by Licensee in a conspicuous place at each of the Licensed Locations stating
that Licensee is the owner and operator of the Devices. Licensor shall not change the smoking policies in the Gaming Spaces from those currently in effect without the prior written consent of
Licensee, unless and to the extent such change is required by law or regulation. 

    7.  Title to Property.  All personal property (including, without limitation, the Devices) placed on the
Licensed Locations by Licensee shall be and remain the personal property of Licensee (except as provided in Section 12 with respect to default) and, upon the expiration or earlier termination
of this Agreement, Licensee shall within ten (10) days thereafter and at its sole expense, remove from the
Licensed Locations all such personal property and restore such Licensed Locations to their original conditions, ordinary wear and tear excepted. 

    8.  General Covenants.  Licensee agrees to comply with all applicable laws, ordinances, and governmental
regulations now in force or hereafter enacted relating to the business operations of the Licensee in the Licensed Locations; to make any and all alterations, repairs, and changes, at its expense,
required by any such laws, ordinances, or governmental regulations; to maintain the Gaming Space occupied by Licensee within each of the Licensed Locations in a clean state and in good condition and
repair; not to make any alterations in such space without the prior written consent of Licensor; and at the expiration or termination of this Agreement, to surrender peaceable possession thereof to
Licensor in as good condition as it received the same, loss or damage by fire (except if caused by the act or neglect of Licensee or its employees) and wear and tear resulting from reasonable use
excepted. 

    9.  Indemnification and Insurance.  Licensee agrees to indemnify and hold Licensor harmless from all
claims, demands, causes of action, losses, damages, and liability, including costs and expenses and reasonable attorneys' fees incurred by Licensor in connection with any claim by third parties,
including employees of Licensee, for injury to or death or damage to property occurring in or on or about the portions of the Licensed Locations licensed to Licensee or arising out of operations
conducted by Licensee. Licensee, at its own cost and expense, shall maintain commercial general liability and 

automobile liability insurance with a limit of not less than $1,000,000 applicable to any one occurrence. Such insurance shall name Licensor as an additional insured with respect to operations
conducted in connection with this Agreement. Licensee shall maintain Workers' Compensation insurance for its employees in the form required by the State of Nevada or provide Workers' Compensation on a
self-insured basis in compliance with applicable Nevada regulations. Licensee shall, upon request, provide Licensor with certificate(s) evidencing the foregoing insurance coverages.
Whether or not it elects to insure its personal property at locations covered by this Agreement, Licensee hereby waives any right of recovery from Licensor for any loss or damage to such property
resulting from any of the perils insured against in the standard form fire insurance policy with Extended Coverages and Vandalism and Malicious Mischief Endorsements. To the extent that any insurance
maintained by Licensee includes coverage against additional perils, this waiver shall apply with respect to loss damage resulting from such other perils. 

    10.  Termination of License.  If Licensor ceases to do business in any of the Licensed Locations for any
reason whatsoever, this License Agreement shall terminate as to the Licensed Locations where such business is discontinued, effective at the time of such discontinuance, and thereafter the license
fees payable under this Agreement will be reduced pro rata for the affected Licensed Locations. This License Agreement will continue to apply to all remaining Licensed Locations. 

    11.  Interruption of Business.  If the business of any Licensed Locations subject to this Agreement is
substantially interrupted by reason of a major remodeling, fire, other casualty, or any other cause not
the fault of Licensee, and such interruption substantially and adversely affects the business of Licensee in such Licensed Location, then, from and after such interruption and until the cause thereof
has been corrected or eliminated, the fees due Licensor hereunder for such Licensed Locations shall be equitably reduced or abated to the extent agreed between the parties. 

    12.  Default.  If Licensee (i) defaults in the payment of the fees payable by it hereunder or
fails to perform any other of its obligations under this Agreement, and Licensee fails to cure such default within a period of fifteen (15) days after written notice from Licensor, or
(ii) Licensee defaults in the payment of fees or performance of its other obligations under that certain License Agreement between Licensee and American Drug Stores, Inc. ("ADS") dated
of even date herewith, and such default is not cured within the grace period provided therein, or (iii) Corral United, Inc., an affiliate of Licensee, defaults in the payment of fees or
performance of its obligations under that certain License Agreement between Corral United, Inc. and ADS dated of even date herewith and such default is not cured within the applicable grace
period provided therein, then, in any of such events, Licensor shall have all rights and remedies now or hereafter provided by law and, in addition, may do any one or more of the following: 

	(a)
	Terminate
this Agreement by giving written notice to Licensee; resume possession of the space occupied by Licensee in the Licensed Locations; retain all Devices, fixtures, and other
personal property of Licensee remaining on such space and full right and authority to sell, lease, or otherwise dispose of the same or to store the same, all at the expense of Licensee; and to recover
from Licensee all fees due under this Agreement had it not been terminated, less the net amount realized by Licensor from any such sale, lease, or other disposition.

	(b)
	Without
terminating this Agreement, reenter and assume possession of the space so licensed and of all Devices, fixtures, and other personal property of Licensee located therein and
relet the space and sell, lease, or otherwise dispose of the Devices, fixtures, and other personal property, all on such terms and conditions as Licensor deems advisable, and in any such event,
Licensee shall pay promptly upon demand the difference between the fees due under this Agreement for the period of such reletting (but not beyond the term of this Agreement) and the net amount
received by Licensor from such reletting and from such sale, lease, or other disposition.

	(c)
	To
treat all amounts due and not paid by Licensee to the date of such default, together with all amounts payable under this Agreement during the remaining term of this Agreement
following such default, as an indebtedness of Licensee immediately due and payable to 

Licensor
and recover the same, together with interest thereof at the rate of 150 percent of the prime rate charged preferred customers by Bank of America Nevada, determined as of the first day
of the month preceding such default and adjusted as of the first day of each month during the period of such default, both before and after judgment from the date of such default until paid, but not
to exceed the greater of 24 percent per annum or the highest amount permitted by applicable law. 

In
the event of any such default, Licensee shall have no right to remove any Devices, fixtures, or other personal property of Licensee from the space licensed, and Licensor shall have a lien thereon
as security for the payment of all amounts due Licensor under the Agreement. 

    13.  Assignment and Subletting, Successors and Assigns.  Licensee may not assign this Agreement or sublet
any of the space within any of the Licensed Locations covered by this Agreement, whether by operation of law or otherwise without prior written approval of Licensor, except that Licensee may assign
this Agreement to a wholly-owned subsidiary of Jackpot Enterprises, Inc. without such prior written approval; provided, that such assignee agrees to be bound by all of the terms and conditions
of this Agreement and Licensee guarantees the payment and performance by such assignee of its obligations hereunder during the remaining term hereof. Subject to such provision, this Agreement shall
bind and its benefits shall inure to the parties hereto, their successors, and assigns. 

    14.  Notices and Demands.  All notices and demands made pursuant to this Agreement shall be sufficient if
made in writing and delivered personally or by registered or certified mail to Lucky Stores, Inc., C/O American Stores Properties, Inc., 6565 Knott Avenue, Buena Park, California
90260-1158, Attention: Dennis N. Palmer, Senior Vice President—Markets West, or to Licensee at 1110 Palms Airport Drive, Las Vegas, Nevada 89119. All notices mailed shall be
deemed given when mailed. 

    15.  Relationship Between the Parties.  The relationship of Licensor and Licensee shall be solely that of
licensor and licensee and nothing herein contained shall be construed to constitute Licensor and Licensee as landlord and tenant, sublandlord and subtenant, partners, joint venturers or any other
relationship whatsoever. 

    16.  Confidentiality.  This Agreement and the information contained herein, including but not limited to
the fees payable to Licensor by Licensee, is confidential and shall not be disclosed to any person except the gaming licensing authorities of the State of Nevada upon proper request, unless and to the
extent required by laws or regulations applicable to the parties. 

    17.  Prior Agreement.  This Agreement shall supersede and replaces the License Agreement dated
October 31, 1991, as amended, between Licensor and Licensee at the time the initial term of this Agreement commences on July 1, 1997. 

    IN
WITNESS WHEREOF, this Agreement has been executed as of the day and year first above written. 

	

 	
 	

LUCKY STORES, INC.
	

 	
 	

By:	
 	

/s/ Mark N. Schneider
 Mark N. Schneider
 Vice President
	

 	
 	

CARDIVAN COMPANY
	

 	
 	

By:	
 	

/s/ George Congdon
 George Congdon
 President

 
 

EXHIBIT A TO LICENSE AGREEMENT BETWEEN
  LUCKY STORES, INC. AND CARDIVAN COMPANY DATED APRIL 24, 1997    
  

	Location
 
	 	No. of Machines
	 	Store Hours

	1.	Lucky Store No. 121-681

4500 East Tropicana

Las Vegas, NV	 	15	 	24 hours
	

2.	

Lucky Store No. 121-684

610 N. Nellis Blvd.

Las Vegas, NV	
 	

16	
 	

6 a.m. to 12 a.m.
	

3.	

Lucky Store No. 121-685

4801 W. Spring Mtn.

Road Las Vegas, NV	
 	

15	
 	

24 hours
	

4.	

Lucky Store No. 121-704

4120 South Rainbow

Las Vegas, NV	
 	

15	
 	

6 a.m. to 12 a.m.
	

5.	

Lucky Store No. 121-732

2400 East Bonanza

Las Vegas, NV	
 	

17	
 	

6 a.m. to 12 a.m.
	

6.	

Lucky Store No. 121-733

2747 S. Maryland Parkway

Las Vegas, NV	
 	

15	
 	

24 hours
	

7.	

Lucky Store No. 121-734

3736 East Desert Inn

Las Vegas, NV	
 	

15	
 	

6 a.m. to 12 a.m.
	

8.	

Lucky Store No. 121-735

1200 South Decatur

Las Vegas, NV	
 	

17	
 	

6 a.m. to 12 a.m.
	

9.	

Lucky Store No. 121-697

2021 E. Lake Mead Blvd.

Las Vegas, NV	
 	

15	
 	

6 a.m. to 12 a.m.
	

10.	

Lucky Store No. 121-739

1300 E. Flamingo Rd.

Las Vegas, NV	
 	

15	
 	

24 hours
	

11.	

Lucky Store No. 121-587

2300 E. Tropicana

Las Vegas, NV	
 	

15	
 	

24 hours
	

12.	

Lucky Store No. 121-784

2851 Green Valley Pkwy.

Las Vegas, NV	
 	

15	
 	

24 hours
	

13.	

Lucky Store No. 121-785

724 Boulder Hwy.

Las Vegas, NV	
 	

15	
 	

24 hours
	

14.	

Lucky Store No. 121-786

1760 E. Charleston

Las Vegas, NV	
 	

17	
 	

6 a.m. to 12 a.m.

	

15.	

Lucky Store No. 121-787

1001 S. Rainbow Blvd.

Las Vegas, NV	
 	

20	
 	

24 hours
	

16.	

Lucky Store No. 121-683

7271 S. Eastern Ave.

Las Vegas, NV	
 	

15	
 	

24 hours
	

17.	

Lucky Store No. 121-585

6850 W. Spring Mtn. Rd.

Las Vegas, NV	
 	

15	
 	

24 hours
	

18.	

Lucky Store No. 121-586

4420 E. Bonanza

Las Vegas, NV	
 	

20	
 	

24 hours
	

19.	

Lucky Store No. 121-687

2835 S. Nellis

Las Vegas, NV	
 	

15	
 	

24 hours
	

20.	

Lucky Store No. 121-788

6140 W. Lake Mead

Las Vegas, NV	
 	

15	
 	

24 hours
	

21.	

Lucky Store No. 121-590

2550 S. Fort Apache

Las Vegas, NV	
 	

15	
 	

6 a.m. to 12 a.m.
	

22.	

Lucky Store No. 121-589

8350 W. Cheyenne

Las Vegas, NV	
 	

15	
 	

24 hours
	

23.	

Lucky Store No. 121-721

5975 W. Tropicana

Las Vegas, NV	
 	

15	
 	

24 hours
	

24.	

Lucky Store No. 121-742

1324 W. Craig Rd.

Las Vegas, NV	
 	

15	
 	

6 a.m. to 12 a.m.

QuickLinks

EXHIBIT 10.29

"RCT" means the material omitted has been filed separately with the Securities and Exchange Commission with an application requesting confidential treatment.

LICENSE AGREEMENT

EXHIBIT A TO LICENSE AGREEMENT BETWEEN LUCKY STORES, INC. AND CARDIVAN COMPANY DATED APRIL 24, 1997

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