Document:

EX-10.16

 Exhibit 10.16 
  

			
		  	RESTRICTED STOCK AGREEMENT (this “Agreement”) dated as of April 28, 2014, between AP GAMING HOLDCO, INC., a Delaware corporation (the “Company”), and the Grantee set forth on the
signature page to this Agreement (the “Grantee”).

 WHEREAS, the Company, acting through the Company’s Board of Directors has agreed to grant to the
Grantee, effective on the date hereof (the “Grant Date”), Restricted Shares (as defined below) under the AP Gaming Holdco, Inc. 2014 Long-Term Incentive Plan (the “Plan”) on the terms and subject to the conditions
set forth in this Agreement and the Plan; and 
 WHEREAS, as of the date hereof the Grantee is purchasing Shares from the Company
pursuant to the Subscription Agreement and has entered into an adoption agreement, dated as of April 28, 2014, pursuant to which the Grantee became a party to the Securityholders Agreement; and 

WHEREAS, future securities in the Company (including those being acquired pursuant to this Agreement) owned by the Grantee shall be
subject to the terms of the Securityholders Agreement. 
 NOW, THEREFORE, in consideration of the promises and of the mutual
agreements contained in this Agreement, the parties hereto hereby agree as follows: 
 Section 1. The Plan. The terms and
provisions of the Plan are hereby incorporated into this Agreement as if set forth herein in their entirety. In the event of a conflict between any provision of this Agreement and the Plan, the provisions of the Plan shall control. A copy of the
Plan may be obtained from the Company by the Grantee upon request. Capitalized terms used herein and not otherwise defined herein shall have the respective meanings ascribed thereto in the Plan. 

Section 2. Grant. Subject to the terms of this Agreement, the Company hereby grants to the Grantee an Award of Restricted Stock
with respect to an aggregate of 50,000 restricted shares of Common Stock of the Company (subject to adjustment as provided in Article X of the Plan) (the “Restricted Shares”). 

Section 3. Vesting. The Restricted Shares shall vest, and the restrictions imposed on the Restricted Shares pursuant to this
Section 3 shall lapse, in five equal installments on each of the first five anniversaries of the Grant Date; provided that, in each case, the Grantee has not incurred a Termination of Service prior to the applicable vesting date.
Notwithstanding the foregoing, in the event that the Grantee incurs a Termination of Service due to a termination by the Company without Cause or by the Grantee for Good Reason, any Restricted Shares that would have vested had the Grantee remained
employed through the first anniversary of such Termination of Service shall accelerate and vest upon such Termination of Service. Any Restricted Shares that are not vested as of the date of the Grantee’s Termination of Service, and that do not
vest upon such Termination of Service pursuant to the immediately preceding sentence, shall be immediately forfeited upon such Termination of Service. Prior to the vesting of a Restricted 

 
Share, such Restricted Share shall not be transferable by the Grantee by means of sale, assignment, exchange, encumbrance, hypothecation, pledge or otherwise. After vesting of a Restricted Share,
such Restricted Share shall have the same attributes, terms and conditions as other Shares, as set forth in the Securityholders Agreement, and shall be subject to repurchase as set forth in the Securityholders Agreement. 

Section 4. Grantee’s Service. Nothing in this Agreement shall confer upon the Grantee any right to continue as an employee
of, or other service provider to, the Company or any of its Subsidiaries or Affiliates or interfere in any way with the right of the Company, its Subsidiaries or its Affiliates, as the case may be, in their respective sole discretion, to terminate
the Grantee’s employment or service relationship or to increase or decrease the Grantee’s compensation at any time. 

Section 5. Securities Law Representations. The Grantee acknowledges that the Restricted Shares are not being registered under the
Securities Act based, in part, in (i) reliance upon an exemption from registration under Securities and Exchange Commission Rule 701 promulgated under the Securities Act or (ii) the fact that the Grantee is an “accredited
investor” (as defined under the Securities Act and the rules and regulations promulgated thereunder), and, in each of clauses (i) and (ii) above, a comparable exemption from qualification under applicable state securities laws, as
each may be amended from time to time. The Grantee, by executing this Agreement, hereby makes the following representations to the Company and acknowledges that the Company’s reliance on federal and state securities law exemptions from
registration and qualification is predicated, in substantial part, upon the accuracy of these representations: 
  

	 	•	 	The Grantee is acquiring the Restricted Shares solely for the Grantee’s own account, for investment purposes only, and not with a view or an intent to sell, or to offer for resale in connection with any
unregistered distribution, all or any portion of the shares within the meaning of the Securities Act and/or any applicable state securities laws. 

  

	 	•	 	The Grantee is an “accredited investor”, as that term is defined in Rule 501(a)(4) (5) or (6) of Regulation D promulgated under the Securities Act. 

 

	 	•	 	The Grantee has had an opportunity to ask questions and receive answers from the Company regarding the terms and conditions of the Restricted Shares. The Grantee has been furnished with, and/or has access to, such
information as the Grantee considers necessary or appropriate for deciding whether to purchase the Restricted Shares. However, in evaluating the merits and risks of an investment in the Restricted Shares, the Grantee has and will rely only upon the
advice of the Grantee’s own legal counsel, tax advisors, and/or investment advisors. 

  

	 	•	 	The Grantee is aware that any value the Restricted Shares may have depends on their vesting and certain other factors, and that any investment in common shares of a closely held corporation such as the Company is
non-marketable, non-transferable and could require capital to be invested for an indefinite period of time, possibly without return, and at substantial risk of loss. 

  
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	 	•	 	The Grantee understands that the Restricted Shares will be characterized as “restricted securities” under the federal securities laws, and that, under such laws and applicable regulations, such securities may
be resold without registration under the Securities Act only in certain limited circumstances, including in accordance with the conditions of Rule 144 promulgated under the Securities Act, as presently in effect. The Grantee acknowledges receiving a
copy of Rule 144 promulgated under the Securities Act, as presently in effect, and represents that the Grantee is familiar with such rule, and understands the resale limitations imposed thereby and by the Securities Act and the applicable state
securities law. 

  

	 	•	 	The Grantee has read and understands the restrictions, limitations and the Company’s rights set forth in the Securityholders Agreement, the Plan and this Agreement that will be imposed on the Restricted Shares
(including those restrictions and limitations which will continue after the Shares have vested). The Grantee acknowledges that to the extent the Grantee is not a party to the Securityholders Agreement at the time that the Grantee purchases the
Restricted Shares, such purchase shall be treated for all purposes as effecting the Grantee’s simultaneous execution of the Securityholders Agreement and the Grantee shall be bound thereby. 

 

	 	•	 	The Grantee has not relied upon any oral representation made to the Grantee relating to the Restricted Shares or upon information presented in any promotional meeting or material relating to the Restricted Shares.

  

	 	•	 	The Grantee understands and acknowledges that (a) any certificate evidencing the Restricted Shares (or evidencing any other securities issued with respect thereto pursuant to any stock split, stock dividend, merger
or other form of reorganization or recapitalization) when issued shall bear any legends which may be required by applicable federal and state securities laws or the Securityholders Agreement or the Plan, and (b) except as otherwise provided
under the Securityholders Agreement, the Company has no obligation to register the Shares or file any registration statement under federal or state securities laws. The Committee reserves the right to account for Shares through book entry or other
electronic means rather than the issuance of stock certificates. 

 Section 6. Designation of Beneficiary. The
Grantee may appoint any individual or legal entity in writing as his beneficiary to receive any Shares (to the extent not previously terminated or forfeited) under this Agreement upon the Grantee’s death or becoming subject to a Disability. The
Grantee may revoke his designation of a beneficiary at any time and appoint a new beneficiary in writing. To be effective, the Grantee must complete the designation of a beneficiary or revocation of a beneficiary by written notice to the Company
under Section 7 of this Agreement before the date of the Grantee’s death. In the absence of a beneficiary designation, the legal representative of the Grantee’s estate shall be deemed the Grantee’s beneficiary. 

  
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 Section 7. Notices. All notices, claims, certifications, requests, demands and other
communications hereunder shall be in writing and shall be deemed to have been duly given and delivered if personally delivered or if sent by nationally-recognized overnight courier, by telecopy, or by registered or certified mail, return receipt
requested and postage prepaid, addressed as follows: 
 If to the Company, to: 

AP Gaming Holdco, Inc. 
 6680
Amelia Earhart Court 
 Las Vegas, NV 89119 

Facsimile: (702) 722-6705 

Attention: Vic Gallo 
 with a
copy (which shall not constitute notice) to: 
 Apollo Management, L.P. 

9 West 57th Street 
 43rd Floor

 New York, New York 10019 

Facsimile: (646) 350-1501 

Attention: David Sambur 
 If to
the Grantee, at the last address in the records of the Company; or, in all cases, to such other address as the party to whom notice is to be given may have furnished to the other party in writing in accordance herewith. 

Any of the foregoing notice or other communication shall be deemed to have been received (a) in the case of personal delivery, on the date of such
delivery (or if such date is not a business day, on the next business day after the date of delivery), (b) in the case of nationally-recognized overnight courier, on the next business day after the date sent, (c) in the case of telecopy
transmission, when received (or if not sent on a business day, on the next business day after the date sent), and (d) in the case of mailing, on the third business day following that on which the piece of mail containing such communication is
posted. 
 Section 8. Waiver of Breach. The waiver by either party of a breach of any provision of this Agreement must be in
writing and shall not operate or be construed as a waiver of any other or subsequent breach. 
 Section 9. Grantee’s
Undertaking. The Grantee hereby agrees to take whatever additional actions and execute whatever additional documents the Company may in its reasonable judgment deem necessary or advisable in order to carry out or effect one or more of the
obligations or restrictions imposed on the Grantee pursuant to the express provisions of this Agreement and the Plan. 
 Section 10.
Modification of Rights. The rights of the Grantee are subject to modification and termination in certain events as provided in this Agreement and the Plan (with respect to the Restricted Shares granted hereby). Notwithstanding the foregoing,
the Grantee’s rights under this Agreement and the Plan may not be materially impaired without the Grantee’s prior written consent. 

  
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 Section 11. Governing Law. THIS AGREEMENT WILL BE GOVERNED BY AND CONSTRUED IN
ACCORDANCE WITH THE LAWS OF THE STATE OF DELAWARE, WITHOUT GIVING EFFECT TO ANY CHOICE OR CONFLICT OF LAW PROVISION OR RULE (WHETHER OF THE STATE OF DELAWARE OR ANY OTHER JURISDICTION) THAT WOULD CAUSE THE LAWS OF ANY JURISDICTION OTHER THAN THE
STATE OF DELAWARE TO BE APPLIED. IN FURTHERANCE OF THE FOREGOING, THE INTERNAL LAW OF THE STATE OF DELAWARE WILL CONTROL THE INTERPRETATION AND CONSTRUCTION OF THIS AGREEMENT, EVEN IF UNDER SUCH JURISDICTION’S CHOICE OF LAW OR CONFLICT OF LAW
ANALYSIS, THE SUBSTANTIVE LAW OF ANOTHER JURISDICTION WOULD ORDINARILY APPLY. 
 Section 12. Restrictive Covenants. The
purchase, grant and vesting of the Restricted Shares pursuant to this Agreement shall be subject to the Grantee’s continued compliance with the restrictive covenants in Section 9 of the Securityholders Agreement and the restrictive
covenants set forth in any individual agreement between the Grantee and the Company (or one of its Affiliates). 
 Section 13.
Counterparts. This Agreement may be executed in one or more counterparts, and each such counterpart shall be deemed to be an original, but all such counterparts together shall constitute but one agreement. 

Section 14. Entire Agreement. This Agreement, the Plan, the Securityholders Agreement and the other writings specifically referred
to herein constitute the entire agreement between the parties with respect to the subject matter hereof and thereof and supersede all prior written or oral negotiations, commitments, representations and agreements with respect thereto. 

Section 15. Severability. It is the desire and intent of the parties hereto that the provisions of this Agreement be enforced to
the fullest extent permissible under the laws and public policies applied in each jurisdiction in which enforcement is sought. Accordingly, if any particular provision of this Agreement shall be adjudicated by a court of competent jurisdiction to be
invalid, prohibited or unenforceable for any reason, such provision, as to such jurisdiction, shall be ineffective, without invalidating the remaining provisions of this Agreement or affecting the validity or enforceability of such provision in any
other jurisdiction. Notwithstanding the foregoing, if such provision could be more narrowly drawn so as not to be invalid, prohibited or unenforceable in such jurisdiction, it shall, as to such jurisdiction, be so narrowly drawn, without
invalidating the remaining provisions of this Agreement or affecting the validity or enforceability of such provision in any other jurisdiction. 

Section 16. Waiver of Jury Trial. Each party hereto hereby irrevocably and unconditionally waives, to the fullest extent it may
legally and effectively do so, trial by jury in any suit, action or proceeding arising hereunder. 
 Section 17. Dividend and Voting
Rights. After the Grant Date, the Grantee shall be entitled to cash dividends that are payable on the same number of Shares as the Restricted Shares, except that such dividends shall vest only and be payable as and when the underlying Restricted
Shares become vested. In addition, the Grantee shall have voting rights with respect to the Restricted Shares subject to the Award, provided that such rights shall terminate immediately as to any Restricted Shares that are repurchased by the Company
or that are otherwise forfeited. 

  
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 Section 18. Tax Withholding. The Company shall reasonably determine the amount of any
federal, state, local or other income, employment, or other taxes which the Company or any of its subsidiaries may reasonably be obligated to withhold with respect to the grant, vesting, making of an election under Section 83(b) of the Code or
other event with respect to the Restricted Shares. The Company’s obligation to deliver the Restricted Shares or any certificates evidencing the Restricted Shares (or to make a book entry or other electronic notation indicating ownership of the
Restricted Shares), or otherwise remove the restrictive notations or legends on such shares or certificates that refer to nontransferability as set forth in Section 3 of this Agreement, is subject to the condition precedent that the Grantee
either pay or provide for the amount of any such withholding obligations in such manner as may be authorized by the Committee under, or as may otherwise be permitted under, Article XV of the Plan. 

Section 19. Stock Power; Power of Attorney. Concurrent with the execution and delivery of this Agreement, the Grantee shall
deliver to the Company an executed stock power in the form attached hereto as Exhibit A, in blank, with respect to the Restricted Shares and any related Restricted Property. The Grantee, by acceptance of the Award, shall be deemed to appoint,
and does so appoint by execution of this Agreement, the Company and each of its authorized representatives as the Grantee’s attorney(s)-in-fact to (1) effect any transfer to the Company (or other purchaser, as the case may be) of the
Restricted Shares acquired pursuant to this Agreement (including any related Restricted Property) that are repurchased by the Company (or other permitted purchaser), and (2) execute such documents as the Company or such representatives deem
necessary or advisable in connection with any such transfer. 
 [Signature Page Follows]  

  
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 IN WITNESS WHEREOF, the parties hereto have executed this Restricted Stock Agreement as of
the date first written above. 
  

					
	AP GAMING HOLDCO, INC.
		
	By:	 	 /s/ David Sambur

		 	Name:	 	David Sambur
		 	Title:	 	Chief Executive Officer, President, Treasurer and Secretary
	
	DAVID LOPEZ
	
	 /s/ David LopezEX-10.17

 Exhibit 10.17 

Employment Agreement 

THIS EMPLOYMENT AGREEMENT (this “Agreement”) is entered into as of July 1st, 2015 (the “Effective Date”) by
and between AGS, LLC, a Delaware limited liability company (the “Company”), and Sigmund Lee (“Executive”). 

WHEREAS, the Company desires to employ Executive as its Chief Technology Officer pursuant to the terms of this Agreement; and 

WHEREAS, Executive desires to serve in such position. 

NOW, THEREFORE, in consideration of the premises and mutual covenants contained herein and other good and valuable consideration, the receipt
and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: 
 1.Nature of Employment Relationship.
Executive’s employment with the Company will be “at-will,” meaning that either Executive or the Company may terminate the employment relationship at any time and for any reason, either with or
without cause. The “at-will” nature of Executive’s employment may only be changed in an express written agreement signed by both Executive and a duly authorized officer of the Company. 

2.Terms of Employment. 

(a)          Position; Location. During his employment with the Company, Executive
shall serve as Chief Technology Officer of the Company. During his employment, and excluding any periods of vacation and sick leave to which Executive may be entitled, Executive agrees to devote all of his business attention and time to the business
and affairs of the Company and, to the extent necessary to discharge the responsibilities assigned to Executive hereunder, to use his reasonable best efforts to perform faithfully and efficiently such responsibilities. Executive agrees that he will
not engage in any other gainful employment, business or activity without the written consent of the Company. Executive’s services shall be performed in the Atlanta, Georgia area, subject to reasonable business travel at the Company’s
request. 
 (b)          Compensation and Employee Benefits. 

(i)        Base Salary. Executive shall receive an annual base salary (“Base
Salary”) of $300,000, payable in 26 installments in accordance with the Company’s regular payroll practices for salaried employees. The Base Salary and payment schedule are subject to adjustment at the sole discretion of the Company.
If the Base Salary is adjusted at the discretion of the Company, the term “Base Salary” shall refer to such adjusted amount. 

(ii)        Annual Bonus. Executive shall be eligible to receive an annual performance-based
bonus pursuant to an annual managerial bonus plan to be established by the Company, with an annual target bonus equal to 75% of Executive’s Base Salary. Actual annual bonus amounts payable under this Section 2(b)(ii) shall be determined by
the Company in its sole discretion based on the attainment of financial results and earnings targets for the fiscal year in question. Notwithstanding the preceding provisions of this Section 2(b)(ii), Executive’s annual bonus in respect of
(x) the first half of fiscal year 2015 shall be $125,000 (paid no later than the second payroll date following the execution of this Agreement); provided, that if the Executive’s employment with the Company and its affiliates
is terminated for any reason other than (A) by 

 
the Company without “cause” (as defined below) or (B) due to Executive’s death or becoming Disabled (as defined below), in either case, prior to the date on which annual
bonuses for fiscal year 2015 are paid to other senior executives of the Company in the ordinary course of business, Executive will repay to the Company the after-tax portion of such half-year bonus
(i.e, $125,000 less Executive’s income taxes and payroll taxes, as calculated by the Company) within 15 days of such termination, and (y) the second half of fiscal year 2015 shall be determined under the Company’s annual
managerial bonus plan as described in the preceding provisions of this Section 2(b)(ii). 

(iii)        Retention Bonus. The Company shall pay to Executive lump-sum cash retention bonuses of (x) $75,000 on December 31st, 2015, (y) $150,000 on December 31st, 2016
and (z) $75,000 on July 1, 2017, provided in each case that executive remains continuously employed with the Company or its affiliates through such dates. The retention bonuses may be paid within five business days of the dates indicated in the
previous sentence if necessary for administrative convenience. 
 (iv)        Equity. As
soon as reasonably practicable following the Effective Date, Executive shall be granted (a) an option (the “Time-Based Option”) to purchase 75,000 shares of class B non-voting common
stock of AP Gaming Holdco, Inc. (“Holdco”) under the AP Gaming Holdco, Inc. 2014 Long-Term Incentive Plan (the “Plan”), subject to Executive’s execution of a nonqualified stock option agreement (the
“Time-Based Option Agreement”) and the terms and conditions contained therein and in the Plan, and (b) an option (the “Performance-Based Option”) to purchase 20,000 shares of class B non-voting common stock of Holdco under the Plan, subject to Executive’s execution of a nonqualified stock option agreement (the “Performance-Based Option Agreement”) and the terms and
conditions contained therein and in the Plan. Subject to Executive’s continuous employment with the Company or its affiliates, (x) the Time-Based Option shall vest in equal annual installments on each of the first four anniversaries of the
Effective Date and (y) the Performance-Based Option shall cliff vest only upon the Board’s determination, made in its sole discretion, that Holdco’s EBITDA for fiscal year 2017 was at least $140,000,000. 

(v)        Employee Benefit Plans and Vacation. Executive shall be entitled to participate in
the employee health benefits plan provided by the Company for employees and eligible family. Executive will also be eligible for participation in the Company’s 401k plan. Executive shall be entitled to four (4) weeks paid vacation
annually. Vacation will accrue on a monthly basis. Eligibility for participation in these benefits will be determined by the requirements of the plan(s) in effect at the time Executive commences employment and is subject to adjustment pursuant to
the Company’s policies and plans in effect, which may change from time to time. Executive shall also be entitled to participate in employee benefit plans, long term incentive plans, practices, policies and programs generally applicable to
employees of the Company on the same terms applicable to similarly situated senior executives of the company. 

(vi)        Expenses. Executive shall be entitled to receive prompt reimbursement for all
reasonable expenses incurred by Executive in accordance with the Company’s policies. 
 3.Termination of Employment Due to Death or
Disability. Executive’s employment shall terminate automatically upon Executive’s death. If the Company determines in good faith that the Executive becomes Disabled during the Employment Period (pursuant to the definition of Disabled
set forth below), it may give to Executive written notice in accordance with Section 7(b) of this Agreement of its intention to terminate Executive’s employment. In such event, Executive’s employment with the Company shall terminate
effective on the 30th day after receipt of such notice by Executive (the “Disability Effective Date”) unless, within the 30 days after such receipt, Executive returns to full-time performance of Executive’s duties. For
purposes of this Agreement, “Disabled” shall mean the absence of Executive from Executive’s duties with 

 
the Company on a full-time basis for 90 business days within a one-year period as a result of incapacity due to mental or physical illness that is
determined to be permanent by a physician selected by the Company or its insurers and reasonably acceptable to Executive or Executive’s legal representative. 

4.Severance. In the event Executive is terminated by the Company without cause, the Company will pay to Executive severance in an
aggregate amount equal to eighteen (18) months of Executive’s Base Salary (as in effect on the date of termination of employment). For purposes of this section, “cause” includes failure to correct underperformance after written
notification from the CEO or Board of Directors of the Company (the “Board”), illegal and/or fraudulent conduct, conviction of a felony, a determination that Executive’s involvement with the Company would have a negative impact on the
Company’s ability to receive or retain any necessary licenses, willful or material misrepresentation to the Company, or refusal to take any action as reasonably directed by the Board or any individual acting on behalf of or at the direction of
the Board. The determination of whether cause exists shall be made by the Board in its sole discretion. Payment of severance pursuant to this section is conditioned and contingent upon (i) the execution and delivery, within 60 days of
Executive’s termination of employment, by Executive of a waiver and general release in form and substance reasonably satisfactory to the Company that has become irrevocable in accordance with its terms and (ii) Executive’s continued
compliance with the terms of this Agreement. Severance payments will be made in substantially equal installments consistent with the Company’s payroll practices during the twelve-month period following termination of
employment, provided that no payments shall be made until the first payroll date following the effective date of such waiver and general release. 

5.Restrictive Covenants. 

(a)          Confidentiality; Work Product. During Executive’s employment with
the Company and its subsidiaries and thereafter, Executive will not divulge, transmit or otherwise disclose (except as legally compelled by court order), directly or indirectly, any confidential knowledge or information with respect to the
operations, finances, organization or employees of the Company or its affiliates or with respect to trade secret, intellectual property, confidential processes, services, techniques, customers or plans with respect to the Company and its affiliates,
and Executive will not use, directly or indirectly, any confidential or trade secret information of the Company and its affiliates for the benefit of anyone other than the Company or its affiliates; provided, however, that
Executive’s employment by a subsequent employer while Executive still has knowledge of any such confidential or trade secret information shall not constitute a breach of this provision so long as Executive does not disclose the same to any
third party. All new processes, techniques, know-how, inventions, plans, products, patents and devices developed, made or invented by Executive, alone or with others, while an employee of the Company and its
subsidiaries that are related to the business of the Company or its affiliates shall be and become the sole property of the Company, and Executive hereby assigns any and all rights therein or thereto to the Company. All files, records,
correspondence, memoranda, notes or other documents (including, without limitation, those in computer-readable form) or property relating or belonging to the Company and its affiliates, whether prepared by Executive or otherwise coming into his
possession in the course of the performance of his services, shall be the exclusive property of the Company and shall be delivered to the Company and not retained by Executive (including, without limitation, any copies thereof) upon termination of
employment for any reason whatsoever. 
 (b)          Noncompetition. While
employed by the Company and its subsidiaries and for a period of twenty-four (24) months thereafter (the “Restricted Period”), Executive shall not directly or indirectly, own, manage, operate, control, consult with, be employed
by, participate in the ownership, management, operation or control of, or otherwise render services to or engage in, any business that engages in any line of business conducted by the Company and its subsidiaries during the Covered Period (defined
below) within 

 
any jurisdiction or marketing area in which the Company or any of its subsidiaries is doing business or has invested and established good will in demonstrating an intent to do business during the
Covered Period (a “Competitive Business”); provided that Executive’s ownership of securities of 2% or less of any publicly traded class of securities of a public company shall not violate this Section 5(b). The
“Covered Period” shall mean the period beginning as of the Effective Date and ending as of the end of the sixth month following the termination of the Executive’s employment for any reason. 

(c)          Nonsolicitation. During the Restricted Period, Executive shall not,
directly or indirectly, (i) solicit for employment any individual who is then an employee of the Company or its subsidiaries or who was an employee of the Company or its subsidiaries within the 12 months prior to the termination of
Executive’s employment (a “Covered Employee”), or (ii) contract for, hire or employ any Covered Employee earning at least $100,000 in annualized base compensation as of the Covered Employee’s most recent date of
employment with the Company. During the Restricted Period, the Executive shall also not take any action that could reasonably be expected to have the effect of encouraging or inducing any employee, representative, officer or director of the Company
or any of its subsidiaries to cease his or her relationship with the Company or any of its subsidiaries for any reason. In addition, during the Restricted Period, the Executive shall not, with respect to providing services in a Competitive Business,
solicit for business or accept the business of, any person or entity who is, or was at any time within the 12 months prior to the termination of Executive’s employment, a customer of the business conducted by the Company (or potential customer
with whom the Company had initiated contact) or its affiliates. 

(d)          Nondisparagement. At all times during Executive’s employment and
thereafter, Executive shall refrain from all conduct, verbal or otherwise, that disparages or damages the reputation, goodwill, or standing in the community of Apollo Management VIII, LP (“Apollo”), the Company or any of their
respective affiliates; and at all times during Executive’s employment and thereafter, the Company and its subsidiaries will, subject to requirements of law, refrain from all conduct, verbal or otherwise, that disparages or damages the
reputation, goodwill, or standing in the community of Executive. 

(e)          Representations. Executive represents to the Company and its affiliates
that, in fulfilling his duties or responsibilities to the Company and its affiliates or for any other reason, he will not disclose or disseminate any information from any of his former employers that would be considered by such former employers to
be confidential information. In addition, he represents that, except as previously disclosed to AGS in writing, he is not subject to any covenant not to compete that would limit his ability to fulfill his duties and responsibilities hereunder. 

(f)          Remedies. The parties agree that the provisions of Sections 5(a),
5(b), 5(c) and 5(d) (the “Covenants”) have been specifically negotiated by sophisticated commercial parties and agree that all such provisions are reasonable under the circumstances of the activities contemplated by this Agreement.
Executive acknowledges and agrees that the Covenants are reasonable in light of all of the circumstances, are sufficiently limited to protect the legitimate interests of the Company and its affiliates, impose no undue hardship on Executive, and are
not injurious to the public, and further acknowledges and agrees that Executive’s breach of the Covenants will cause the Company irreparable harm, which cannot be adequately compensated by money damages, and that if the Company elects to
prevent Executive from breaching such provisions by obtaining an injunction against Executive, there is a reasonable probability of the Company’s eventual success on the merits. Accordingly, notwithstanding Section 7(a) of this Agreement,
Executive consents and agrees that if the Executive commits any such breach or threatens to commit any breach, the Company shall be entitled to temporary and permanent injunctive relief from a court of competent jurisdiction, without posting any
bond or other security and without the necessity of proof of actual damage, in addition to, and not in lieu of, such other remedies as may be available to the Company for such breach, including 

 
the recovery of money damages. In the event that the Covenants shall be determined by any court of competent jurisdiction to be unenforceable by reason of their extending for too great a period
of time or over too great a geographical area or by reason of their being too extensive in any other respect, they shall be interpreted to extend only over the maximum period of time for which they may be enforceable and/or over the maximum
geographical area as to which they may be enforceable and/or to the maximum extent in all other respects as to which they may be enforceable, all as determined by such court in such action. 

(g)          Survival. The provisions of this Section 5 shall survive
termination of employment for any reason. 
 6.Successors. This Agreement is personal to Executive and without the prior written
consent of the Company shall not be assignable by Executive otherwise than by will or the laws of descent and distribution. This Agreement shall inure to the benefit of and be enforceable by Executive’s legal representatives. This Agreement
shall inure to the benefit of and be binding upon the Company and its successors and assigns. 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 assume expressly 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 as aforesaid that assumes and agrees to perform this Agreement by operation of law, or otherwise. 

7.Miscellaneous. 

(a)          Governing Law and Dispute Resolution. This Agreement shall be governed
by and construed in accordance with the laws of the State of Nevada, without reference to principles of conflict of laws. Subject to Section 5(f) of this Agreement, Executive specifically agrees and consents that any controversy or claim
arising out of or relating to this Agreement shall be settled by final, binding and nonappealable arbitration in Las Vegas, Nevada. Subject to the following provisions, any such arbitration shall be conducted in accordance with the rules of the
American Arbitration Association then in effect. Any award entered by the arbitrators shall be final, binding and nonappealable and judgment may be entered thereon by either party in accordance with applicable law in any court of competent
jurisdiction. This arbitration provision shall be specifically enforceable. The captions of this Agreement are not part of the provisions hereof and shall have no force or effect. The invalidity or unenforceability of any provision of this Agreement
shall not affect the validity or enforceability of any other provision of this Agreement. 

(b)          Notices. All notices and other communications hereunder shall be in
writing and shall be given by hand delivery to the other party or by registered or certified mail, return receipt requested, postage prepaid, or by electronic mail addressed as follows: 

If to the Executive: To the most recent address on file with the Company. 

If to the Company, to: 
 AGS,
LLC 
 ATTN: LEGAL DEPARTMENT 

5475 S. Decatur Blvd. Ste. 100 

Las Vegas, NV 89118 

 Email: legal@playags.com 

Attention: Vic Gallo 
 or to such other address
as either party shall have furnished to the other in writing in accordance herewith. Notice and communications shall be effective when actually received by the addressee. 

(c)          Tax Withholding. The Company may withhold from any amounts payable
under this Agreement such Federal, state, local or foreign taxes as shall be required to be withheld pursuant to any applicable law or regulation. 

(d)          Section 409A. It is intended that payments and benefits made or
provided under this Agreement shall comply with Section 409A or an exemption thereto. For purposes of the limitations on nonqualified deferred compensation under Section 409A, each payment of compensation under this Agreement shall be
treated as a separate payment of compensation for purposes of applying the exclusion under Section 409A for short-term deferral amounts, the separation pay exception or any other exception or exclusion under Section 409A. All payments to
be made upon a termination of employment under this Agreement may only be made upon a “separation from service” under Section 409A to the extent necessary in order to avoid the imposition of penalty taxes on the Executive pursuant to
Section 409A. In no event may the Executive, directly or indirectly, designate the calendar year of any payment under this Agreement. Notwithstanding anything to the contrary in this Agreement, all reimbursements and in-kind benefits provided under this Agreement that are subject to Section 409A shall be made in accordance with the requirements of Section 409A, including, where applicable, the requirement that
(i) any reimbursement is for expenses incurred during the Executive’s lifetime (or during a shorter period of time specified in this Agreement); (ii) the amount of expenses eligible for reimbursement, or
in-kind benefits provided, during a calendar year may not affect the expenses eligible for reimbursement, or in-kind benefits to be provided, in any other calendar year;
(iii) the reimbursement of an eligible expense will be made no later than the last day of the calendar year following the year in which the expense is incurred; and (iv) the right to reimbursement or
in-kind benefits is not subject to liquidation or exchange for another benefit. Without limiting the generality of the foregoing, to the extent required in order to comply with Section 409A, amounts and
benefits to be paid or provided under Section 4 of this Agreement during the period between the Executive’s termination of service with the Company and the six-month anniversary thereof, shall be
paid or provided to the Executive on the first business day after the date that is six months following the date of such termination. 

(e)          Entire Agreement; Amendment. This Agreement constitutes the entire
agreement and understanding between the Company and Executive with respect to the subject matter hereof and supersedes all prior agreements and understandings (whether written or oral), between Executive and the Company or its affiliates, relating
to such subject matter (including, without limitation, Executive’s prior employment agreement dated as of November 6, 2012). This Agreement may not be amended or modified otherwise than by a written agreement executed by the parties hereto
or their respective successors and legal representatives. 
 [Signature Page Follows] 

 IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first
written above. 
 AGS, LLC 

By: AGS Capital, LLC 
 its Sole
Member and Manager 
  

					
	 By:
	 	 /s/ David Lopez
	 	
	 Name:
	 	 David Lopez
	 	
	 Title:
	 	 Chief Executive officer
	 	
	 EXECUTIVE
	 	
	 /s/ Sigmund Lee
	 	
	 Sigmund Lee

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