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HomeMy WebLinkAbout1993-26 - Contract and Lease with Missouri Gaming Company - NOT 1993 ORIGINALBILL N0. /~_~~_ ORDINANCE Q~-2~_ AN ORDINANCE AUTHORIZING THE EXECUTIGN OF A CCNTRACZ AND LEASE WITH MISSCURI GAMING COMPANY FOR THE DEVELOPMENT OF A RIVERBGAT GAMING SITE. WHEREAS, on April 6, 1993, the voters of the City of Riverside approved riverboat gambling by a vote of 285 yes and 138 no, and WHEREAS, the City developed a preliminary request for proposal and proposals were on April 1, 1993 received from eight (8) entities forr.he development of a riverboat. gambling facility, and WHEREAS, a Steering Committee appointed by the City heard the proposals of each applicant who requested to be heard and selected the three proposals which was felt to be best. in the community's interest, and WHEREAS, three subsequent written proposals were presented to the Board of Aldermen and the Steering Committee on May 4, 1993, and WHEREAS, the Steering Committee carefully considered each of the final proposals and unanimously selected the proposal of Missouri Gaming Company. NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF ALDERMEN OF THE CITY OF RIVERSIDE, MISSOURI, AS FOLLOWS: Section 1. The agreement and lease which leases a portion of one of the City's parks and which sets the compensation and terms t.o be paid t_o the City is attached hereto and made a part of this ordinance as though fully set out herein. Section 2. The City intends by this lease to select Missouri as its applicant for riverboat zoning and does by this ordinance support the Lana based economic development of Missouri on the site indicated in the lease. Section 3. The Mayor and City Clerk are directed to take such further action as may be necessary to implement the intent. of this ordinance. PASSED THIS ,~%[~ DAY OF _ __, 1993. `~¢~~~ n MAYCR ---- ATO~T CITY CLERK // APPROVED THIS ~h~t, DAY OF ~~~_'--' 1993. _1 ~~~ . -__12~ c_f_e~, MAYOR 0756S Revised 06/02/93 1 CONTRACT BETWEEN CITY OF RIVERSIDE, MISSOURI AND MISSOURI GAMING COMPANY AND ARGOSY GAMING COMPANY a TAB OF CO NTENTS ACCESS ACCOUNTING RECORDS AMENDMENT AUDII RIGHT TO BANKRUPTCY CONDEMNATION Substantial Condemnation +' Prompt Notice Insubstantial Condemnation CONSIDERATION FOR LEASE Initial Monthly Payment Commencement Date Payment Minimum Rent Adjusted Gross Receipts Admission Fees Percentage Rent COOPERATION IN LICENSING CUMULATIVE REMEDIES DAMAGE OR DESTRUCTION . DEFAULT Monetary Default Non - monetary Default Remedies Re -entry Section 34 22 46 23 30 28 28A 28B 28C 5 5A 5B 5C 5D 5D 5E 2 43 27 35 35A 35B 35C 35D 5 DEFINITIONS - Adjusted Gross Receipts Admission Fees Business Day Commencement Date County Default Docking Fee Estoppel Fiscal Year Golf Course - Tenant's Annual Statement Unavoidable Delay DOCKING FEE ENTIRE AGREEMENT ESTOPPEL CERTIFICATES Rights of Each Party Failure to Execute Estoppel Certificate EXCAVATION OF MARINA F EXHIBITS Argosy Land - City Land Estoppel Certificate Site of Gambling Facility - Performance Bond Guaranty Escrow Agreement FORCE MAJEURE GOLF COURSE (Development Promises) GOVERNING LAW - GUARANTEE OF PERFORMANCE OF CONDITIONS INDEMNIFICATION Section 1 IA 1B 1C 1D lE 1F 1G 1H lI 1J 1K 1L 6 45 wl-� 38A 38B 17 A B C D E F G 33 10 48 8 25 M Section INJUNCTION, RIGHT OF 44 INSURANCE 26 Liability 26A Workers' Compensation 26B First Rent Period 26C Deductibles 26D Policy Requirements and Endorsements 26E - Additional Insureds 26E(1) - Primary Coverage 26E(2) - Contractual Liability 26E(3) - Insurance Carrier Standards 26E(4) Deliveries to City 26F Blanket and Umbrella Policies 26G Missouri's Inability to Obtain Insurance 26H INTERPRETATION 42 LEASE 3 LEASE EXTENSION 9 LIQUIDATED DAMAGES 7 LIQUOR LICENSE 19 MEMORANDUM OF LEASE 32 NET WORTH COVENANT 13 NOTICES 39 ON -SITE IMPROVEMENTS BY MISSOURI 11 PARTIAL INVALIDITY 47 PAYMENT, MEANS OF 24 PERFORMANCE BOND FOR ALL IMPROVEMENTS 14 REPAIRS AND MAINTENANCE 20 RESTRICTIVE COVENANT 40 SECOND BOAT, DESIGN OF 12 ti SECURITY TAXES TERM TERMINATION THIRD PARTY BENEFICIARIES TIME PERIODS TITLE, STATUS OF TRANSFER BY MISSOURI USE OF PROPERTY WAIVERS No Waiver by Silence No Landlord's Lien ZONING CLAUSE Section 15 16 4 36 41 49 31 29 21 37 37A 37B 18 I LEASE AND DEVELOPMENT AGREEMENT This agreement made this �� day of n�f , 1993, by and between THE CITY OF RIVERSIDE, MISSOURI, hereinafter called "City" and MISSOURI GAMING COMPANY, hereinafter called "Missouri". WHEREAS, the City has requested proposals for a riverboat gaming development located on the shores of the Missouri River in Riverside, Missouri, and WHEREAS, Missouri responded to the request for proposals through its parent company, Argosy Gaming Company. In its proposal, Missouri made certain commitments concerning design and operation of the riverboat gaming project and to confer certain economic benefits on the City, provided a license is issued by the State Gaming Commission, and WHEREAS, the City has accepted Missouri's proposal and this agreement sets forth the various development and economic obligations that Missouri has to the City, and WHEREAS, the City and Missouri have mutually agreed that it is in their mutual interest that the City lease to Missouri a portion of their City park (as hereafter defined) for the development of a golf course and that Missouri convey to the City certain real estate owned by it in order to complete the assemblage for the golf course. It is jointly agreed that the z golf course is an attractive amenity next to the gaming site and that the building of the course will benefit both the City and Missouri, and WHEREAS, the City and Missouri have mutually agreed that it is in their interest that the City own and lease to Missouri realty between the gambling site and the City park, and, further to provide that in the event of abandonment of the gambling site that there will be an appropriate barrier between -- the City's park and the gambling site. NOW, THEREFORE, in consideration of the promises and mutual covenants and conditions contained herein, the parties agree as follows: 1. DEFINITIONS For purposes of this Agreement, the following definitions shall apply: A. Adjusted Gross Receipts. Adjusted Gross Receipts from licensed gambling games and devices less winnings paid to wagerers. B. Admission Fee. The fee applicable to each person embarking on the excursion gambling boat with a ticket of admission. If tickets are issued which are good for more than one excursion, the admission fee shall be paid for each person using the ticket on each excursion that the ticket is used. If free passes or - complimentary admission tickets are issued, then L 3 Missouri shall pay the same fee upon these passes or complimentary tickets as if they were sold at the regular and usual admission rate, however, Missouri - may issue fee free passes to actual and necessary officials and employees of Missouri or other persons actually working on the excursion gambling boat. C. Business Day. Any weekday on which banks in Missouri are generally open for the conduct of business with bank personnel, in person, of regular banking business. D. Commencement Date. The date in which the building or the excursion gambling boat are first opened to the public or one (1) year after licensing by the State : -- Gaming Commission whichever shall first occur. E. County. Platte County, Missouri F. Default. Any monetary default or non - monetary default. G. Docking Fee. The fee charged now or hereafter charged by the City for docking. H. Estoppel Certificate. A statement in writing containing all (or, at the option of the requesting party, only some of) the statements set forth in the form attached as Exhibit "C" and containing such additional non - confidential information relating to F1 this lease, the premises and the excursion gambling boats, as the requesting party may reasonably specify. I. Fiscal Year. Missouri's actual fiscal year as in effect from time to time. Such term shall also mean and refer to any partial fiscal year arising because of a change in Missouri's fiscal year or because of a ._ variation between the commencement date of Missouri's fiscal year and the date when Missouri is required to i commence to pay Percentage Rent (subject to proration of any payments calculated on the basis of a fiscal r year). J. Golf Course. A Par -3 golf course located in part on I land belonging to the City and leased to Missouri under the terms of this agreement and in part on land owned by Missouri and all of the land being leased and controlled by the City. K. Tenant's Annual Statement. A statement of the adjusted gross receipts and admission fees for the premises and the excursion gambling boat for each fiscal year for which percentage rent is due under this lease, prepared by the accounting department of Missouri and delivered to City on or before the one hundred twentieth (120th) day following the fiscal year. 5 L... Unavoidable Delay. Delay in performance of any obligation under this lease excluding any obligation to pay money arising from or on account of any cause arising beyond the reasonable control of Missouri to perform the obligation shall be the following, strikes, flood, condemnation, government pre - emption (including Corp of Engineering permits and environmental permit that are processed by Missouri in i a timely manner which the City shall be the sole judge of whether Missouri is using its best efforts to process all such permits in a timely manner), war, riots, and any other cause beyond the party's reasonable control whether similar or dissimilar to the cause specifically enumerated in this paragraph, but in no event shall unavoidable delay be deemed to include any delay caused by the Missouri's financial condition. 2. COOPERATION IN LICENSING The City agrees to cooperate fully with Missouri in supporting and promoting the license application of Missouri and to further cooperate with Missouri in obtaining all necessary permits to operate a riverboat gaming facility. 3. LEASE Missouri leases from the City the following described property in order to permit the building and 6 development of a portion of the golf course, legal attached as Exhibit "A ". 4. TERM The term of this lease shall begin on the date first opened to the public or one (1) year after licensing by the State Gaming Commission whichever shall first occur and shall continue for a period of five (5) years. 5. CONSIDERATION FOR LEASE. A. Initial Monthly Payment. Missouri shall pay to City prior to the beginning of the term the sum of Ten Thousand Dollars ($10,000.00) per month payable monthly in advance from the date of the execution of this lease until the earliest of the following events: i (1) The commencement date (date first opened to the public) or or (2) One (1) year after licensing by the State Gaming Commission whichever shall first occur. B. Commencement Date Payment. On commencement date (date first opened to the public or one (1) year after licensing by the State Gaming Commission whichever shall first occur) the sum of One Million Dollars ($1000,000.00) payable in cash to the City. It is anticipated that the City will use said sum for the finishing of the City Park but shall not be legally required to use the sum for this purpose. It is agreed that this payment is a one time payment and it shall not be construed as an annual payment. C. Minimum Rent. An additional payment of Five Million Dollars ($5,000,000.00) payable in cash in advance rent to the City on commencement date (whichever shall first occur being the earliest of the opening date or one year after licensing by the State Gaming Commission). The minimum guaranteed rent is in the amount of One Million Dollars ($1,000,000.00) per year which shall be paid by Missouri to the City without regard to income from gaming revenues for the first i five (5) years. It is agreed that the interest earned on the advance rent paid to the City is the property of the City and shall under no circumstances be credited or rebated back to Missouri in the event that it should cease operation. If the Tenant shall cease operation of the premises prior to the fifth (5th) anniversary of the commencement date, then all amounts remaining due to the Tenant as advance rent deposit shall be forfeited. D. Adjusted Gross Receipts and Admission Fees. In addition to the payments due in the preceding paragraphs, the City shall be entitled to the adjusted D gross receipts and admission fees now or hereinafter set by state statute, as the same exists as of the time of execution of this document and which is presently designated Senate Bills No. 10 and 11, provided however, in the event that the payment of said fees to the City shall be declared unconstitutional or the percentage payable to the City shall be modified downward by the State Gaming Commission or should for any other reason be legally uncollectable, then the rent shall be increased by an amount equal to the tax revenue and admission fee revenue reduction which is suffered by the City. Notwithstanding any other provision of this paragraph 5D, it is the intention of the parties that if the tax rate in force at the time of the execution of this contract is changed or reduced by court or legislative action in such a fashion that Missouri receives any decrease of the revenue that it has to pay, then the rent to the City shall be correspondingly increased by that amount. If the current tax rate is changed or reduced to the City in any manner so that the net result is no economic benefit or gain to Missouri, then this paragraph 5D, shall be inapplicable, and no increase in rental shall be required. Notwithstanding any other provision, the City shall still receive its $1,000,000.00 per year as provided in paragraph 3C. 9 E. Percentage Rent. As further consideration for this lease, Missouri shall pay in years one through five of this lease, percentage rent in the amount of two percent (28) of the adjusted gross receipts and admission fees in excess of One Hundred Million Dollars ($100,000,000.00). Provided further, in the event that Missouri shall not be required to cruise by the State Gaming Commission, then the percentage rent shall be three percent (38) of adjusted gross receipts in excess of One Hundred Million Dollars ($100,000,000.00) for the first five (5) years of this lease. Provided further in the event that the state statute shall be amended (in such fashion as to provide more than 2% of the adjusted gross receipts) or the Gaming Commission shall order during the first five (5) years of this lease adjusted gross receipts. to the City to be in excess of two percent (2 %), then the percentage rent shall be reduced by the amount of the percentage of increase. 6. DOCKING FEE In the event that any of the fees provided in paragraph 3 are declared invalid by any court, reduced or changed by the State Gaming Commission, then Missouri shall pay an annual docking fee to the City of 10 Riverside equal to the amount declared invalid or reduced. Missouri agrees that it will procure the necessary rights and construct all appropriate infrastructure improvements required -- to dock. the riverboat gambling vessel on its property and not upon property leased to the City. Notwithstanding anything to the contrary in this lease, a building /excursion gambling boat equipment lien shall not constitute a prohibited lien and nothing in this lease shall prohibit Tenant from creating any F building, excursion gambling boat equipment lien. 7. LIQUIDATED DAMAGES IN THE EVENT OF FAILURE TO PERFORM DEVELOPMENT PROMISES Missouri agrees that it shall be obligated to perform all the obligations of this contract and r will provide a street to the City's standards from 169 to the parking lot, a parking lot to the City's standards, and have a boat in operation within one (1) year after licensing or pay F liquidated damages in the amount of $100,000.00 for each month thereafter until the improvements are complete. It is agreed in advance that the actual loss occasioned to the City arising - -- from the breach of this agreement would be difficult of determination. Missouri further agrees within two (2) years after licensing to complete all remaining infrastructure and improvements contemplated in this agreement (including but not limited to the completion of the golf course and completion and having in operation the second boat in Riverside as specified 11 by paragraph 12 or pay liquidated damages in the amount of $100,000.00 per month for each month thereafter until the improvements are complete. It being agreed in advance that the damages occasioned to the City for breach of this agreement would be difficult. of determination. Missouri further agrees that the City may in addition to its remedy of liquidated damages declare this contract null and void if the remaining improvements are not completed within two (2) years after licensing. It is agreed that these liquidated damages shall be in addition to the other consideration due under this lease and not in lieu thereof. 8. GUARANTEE OF PERFOR MANCE OF THE CONDITIONS OF THIS AGREEMENT As consideration for the City entering into this agreement, the Applicant's parent company, Argosy Gaming Company, will upon selection by the City of Riverside of Missouri and the City's passage of a resolution designating Missouri as its riverboat operator execute the attached guaranty to guarantee the performance of all the obligations of this lease and agreement including but not limited to the payment of all sums due under this lease and the performance of all development obligations. 9. LEASE EXTENSION If Missouri has kept its promises and covenants under this agreement, then it may extend the lease for the first initial term for an additional five (5) 12 years under the same terms and conditions as this lease except for the amount of compensation which shall be as follows. If Missouri remains in compliance with all of its obligations of this lease, then Missouri shall have two (2) options of successive five (5) year periods to extend the terms and conditions of this lease under the same terms and conditions except for the compensation provisions which are hereafter spelled out. Argosy shall, at all times during any of the extensions of this lease, be totally liable on its guarantee. Missouri shall give the City notice of its intention to exercise each option within ninety y (90) days of the expiration of the then current term. L A. In years 6 through 20, there shall be no annual guaranty of minimum annual rent but Missouri shall pay in addition to the gaming revenues due by statute the following: 2% of the first $50 Million of adjusted gross receipts 3% on adjusted gross receipts between $50 -100 Million 4% of adjusted gross receipts in excess of $100 -_ Million Provided further, in the event that at any time during this lease or any extension thereof, the boat will not 13 be required to cruise and may remain dock side, then the percentage rent may increase by one percent (18) in every category listed above. It is the intention of the parties to negotiate in good faith for additional extensions of this contract taking into account both the investment of Missouri in the project -and the success to the City of the operation and the income that has been generated to the City. 10. DEVELOPMENT PROMISES WITH REGARD TO GOLF COURSE. As further consideration to cause the City to enter into this agreement, the developer has promised to develop at a cost of not less than $600,000.00 a nine -hole Par 3 golf course at its sole cost. It is agreed that 12 acres of the golf course shall be on Missouri's property and 2 acres but not more than 24 acres of the golf course shall be on the land leased from the , City by Missouri. It is further agreed that the legal description of each tract will be determined by survey by a mutually agreeable surveyor and the appropriate clarifying legal descriptions affixed by Addendum to this contract. Missouri agrees to deposit in escrow the deed for its portion of the land developed as a golf course. If at any time during the term of this lease or any extension thereof, Missouri shall cease operation or breach the terms of this lease, then Missouri agrees that the escrow agent 14 may record the deed to the portion of the land owned by Missouri and the golf course shall be solely the property of the City. Missouri further agrees that in the event the City should decide in its sole discretion that it does not wish to have a golf course developed, then Missouri shall pay to City on commencement date the further sum of $600,000.00. It shall be the obligation of the City if it does not wish the golf course developed to advise Missouri in writing within 120 days after the execution of this lease. Missouri shall at all times keep all realty involving the golf course without lien or encumbrance. In the event the City i' elects not to develop a golf course and to instead take the - cash deposit, then the same shall be payable on commencement date and Missouri's lease of the land described on Exhibit "A' shall remain in full force and effect. Missouri shall cnnAucr no improvements or operations on the City owned leased property without the written consent of the City. Missouri agrees upon request of the City, if the City desires to develop the golf course, to sublease the portion of the realty described on Exhibit 'B" that has developed as a golf course to the City for One Dollar ($1.00) per year. The golf course shall be developed by Missouri by two (2) years - after licensing by the State Gaming Commission. In the event 15 that the golf course is developed, then all revenue and profit r from the golf course shall belong to the City and the obligations of maintenance and operation shall be the obligation of the City. The City shall be required to maintain appropriate liability insurance in the amount set forth in paragraph 26 with Missouri as an additional insured to protect it from liability claims that may arise in the event that City should elect to operate the golf course. The City shall be entitled to secure information to verify the sums promised to be spent on the golf course expenditure and Missouri's failure to expend the sums promised to be spent I shall be regarded as a breach of the terms of paragraph 6 as well as a breach of this agreement. Missouri further agrees to permit no mechanic's, vendor's, laborer's or material supplier's statutory lien or other similar lien arising by reason of work, labor, services, - equipment or materials supplied to Tenant. Missouri shall not be required to build a street within the City park or within the land leased to it by the City. Nor shall it be required to build a bridge over Line Creek. In the event that Missouri desires to build any such road or street, then such improvement shall be entirely the obligation of Missouri and no portion of the One Million Dollar ($1000,000.00) park grant shall be reduced by virtue of such 16 an expenditure. i . It shall be the obligation of Missouri to build all off -site improvements including without limitations, streets, lighting, sewers, drainage and water line to the City's standards from the gaming facility to the present location of the street or utility and include in their sewer and water infrastructure provisions (at no cost to the City) adequate to serve the City park. These facilities shall be made available to the City to connect with at such time as the City develops its park. 11. ON -SITE IMPROVEMENTS BY MISSOURI As further consideration to cause the City to enter into this agreement, Missouri has promised to make the following on -site development expenditures: A. Minimum 30,000 sq. ft. casino B. 70,000 sq. ft. on land support facility, including: - (1) Banquet facility (to accommodate up to 500 people); (2) Gourmet or Theme restaurant; (3) Food Kiosks in a food court setting i (4) Two lounges Sports Bar Nightclub (5) Kitchen facilities; 17 (6) Ticketing; (7) Employee Dining Area; (8) Employee locker room; (9) Maintenance facilities; (10) Offices. C. Hard surfacing parking in compliance with the City's ordinances for not less than 1,000 vehicles. D. In the event Missouri is required to build any roadways for access to its site, then such roadway shall be in compliance with the City's ordinances and not less than 52 feet wide (roadway - four 12 ft. lanes) with street lighting, storm drainage, roadway signaling, drainage, lighting and landscaping. 12. DESIGN OF SECOND BOAT Missouri has represented to the City that it has available to it for its immediate use a boat known as the "Alton Belle% Missouri has also represented that it has the resources, plans and ability to start construction immediately after state licensing, and upon being I notified by the Missouri Gaming Commission of the requirement of whether the new gaming facility shall be required to cruise and to complete and have in service the new boat within one (1) year after licensing and after the requirement of cruising is 18 announced. Said new cruise liner shall be not less than 200 feet long and 50 feet wide with three (3) decks and of a cost of not less than $7,500,000.00 and which will accommodate approximately 1400 passengers and crew, unless navigational, safety, or Coast Guard issues warrant that a different capacity (but not cost) vessel be constructed. The City shall be -- entitled to complete financial information and plans to verify this development expenditure and in the event of the F developer's failure, without written consent from the City which is not to be unreasonably withheld, to build the new gaming facility or to expend the sums promised to be spent -- shall be regarded as a breach of paragraph 7 as well as a breach of this agreement. Provided however, in the event that Missouri is using its best efforts, as determined by the City, to complete the new boat and gaming facility within said time period, then it shall not be regarded as either a breach of i paragraph 7 or a breach of this agreement. 13. NET WORTH COVENANT Missouri will maintain a book net worth at all times equal or exceeding $5,000,000.00 at the close of each fiscal year. No distributions will be made by Missouri which would violate this covenant without the prior -- written consent of the City, which consent shall not be unreasonably withheld. 14. PERFORMANCE BOND FOR ALL IMPROVEMENTS In addition to the liquidated damage clause, Missouri will execute a performance bond for all on -site and infrastructure r 19 improvements to be constructed by Missouri in the form of the attached Exhibit 'E' in the amount of $10 and will place the sum of $6,600 in escrow pursuant to the attached escrow agreement marked Exhibit 'G'. The execution of the escrow agreement and posting of the $6,600,000.00 shall be within fifteen (15) days after the execution of this agreement. The performance bond shall be posted within ninety (90) days and in the event the insurance company writing the performance bond requires more specific contract specifications, the City may extend the time for posting for - the necessary time to develop the specifications. It is agreed between the parties that the purpose of this paragraph is to assure the completion of all improvements and I the payment of all sums due to the City. When the obligations of all construction including the second boat required in this contract are complete, then Missouri and Argosy shall no longer be required to post a performance bond but may be required by the City to post a bond to assure the payment of all sums due to the City. The cost of the escrow agent shall be paid by Missouri. - 15. SECURITY It shall be the obligation of Missouri to provide all security on the facilities to secure a safe and secure environment for the members of the public that enter the facilities. 16. TAXES In the event of any ad valorem tax or other tax being assessed against any of the property described in this agreement, then it shall be the obligation of Missouri to discharaP that #-AY 20 17. EXCAVATION OF MARINA Missouri shall perform such excavation at the site described in Exhibit •D" as is necessary to create an area to operate its riverboat facility, and City agrees to cooperate fully with Missouri to grant the necessary construction permits, obtain the` necessary Corps of Engineer` permits, and to obtain proper zoning, if needed, so that construction may begin as soon as possible. Should Missouri determine that the Marina cannot be completed economically, or alternatively, should permitting or Corps of Engineers issues delay the opening of the gaming facility, Missouri may elect to i proceed with its riverboat gaming facility and related complex without the use of a harbor. Said contingency shall only be permissible by Missouri if a harbor would cause a delay in the opening of a gaming facility. The City agrees that it will be the applicant to the Corps of Engineers for all Section 404 and Section 10 permits with Missouri providing all engineering "- data, etc.; and, Missouri agrees to hold the City harmless from the costs and expenses of the application process. 18. ZONING CLAUSE Missouri has reviewed the proposed zoning for riverboats in the City. In the event this ordinance or ordinance substantially similar is not adopted, then all provisions of this agreement except for the payment of the X10,000.00 per month are expressly conditioned upon the granting by the City of appropriate zoning to allow the 21 operation of a riverboat at the site indicated. In the event that the ordinance in either its present form or in a form substantially similar shall�be adopted, then this contract except for the $10,000.00 per month is contingent upon Missouri's completion of an application and being approved for a special permit to have zoning at the site of the boat and an approved site plan, the Planning Commission waiving screening requirements contained in paragraph 4 (a) and (b) of the - proposed ordinance, and waiving the provisions in paragraphs 7, 8, 10 and modifying parking to not more than 1008 of the legal ! capacity of the commercial boat to be built under paragraph 11 (a), waiving paragraph 17 as to signs so that only the existing general sign ordinances of the City shall apply to this facility, waiving the requirement of sprinkling in paragraph 22.". and waiving he g performance bond requirements of paragraph 23. . Missouri agrees to make an appropriate zoning application within thirty (30) days after the execution of this contract and to process the application in a timely fashion. 19. LIQUOR LICENSE Except for the payment of the $10,000.00 per month initially, this contract is also contingent upon the granting to Missouri by the City of a liquor license for the pavilion area. Missouri agrees to make to the City an application for such a liquor license within thirty (30) days after the execution of this contract and to L 22 Process the liquor application promptly. _. .20. REPAIRS AND MAINTENANCE In the event the improvements to be made by or on behalf of Missouri upon the .subject real estate shall become damaged, destroyed, or in need of repair, Missouri shall have the right to make, at its own cost, repairs or reconstruction of said improvements in conformity with the original design and specifications of said improvements. Any such repairs or reconstruction activity i shall not extend the duration of the term of this Agreement. 21. USE OF PROPERTY Missouri shall comply with all I City and state rules and regulations concerning its utilization of the gaming site for the duration of this agreement. i 22. ACCOUNTING RECORDS Missouri shall maintain (at the Premises or at a central accounting location identified to City upon request) account records and procedures complying with generally accepted accounting principles to enable City to calculate any percentage rent due under this lease. Missouri shall preserve Missouri's books and records relating to each fiscal year for at least one year after the end of such fiscal year. If at the conclusion of such one -year period a dispute is pending between City and Missouri regarding the amount of -- adjusted gross receipts, then Missouri shall continue to preserve such records pending the final disposition of such dispute. 23 T 23. RIGHT TO AUDIT Within and :in no event later than sixty (60) days after receipt of each Missouri's annual statement, City shall be entitled to cause a certified public i accountant designated by City (and approved by Missouri, such approval not to be unreasonably withheld) to audit Missouri's books and records relevant to the calculation of adjusted gross receipts and admission fees reported in such Missouri's annual statement. Any audit shall be performed in a reasonable manner, during ordinary business hours and without unreasonably interfering with Missouri's business. If such audit reveals that adjusted gross receipts and admission fees were understated, then within thirty (30) days after receipt of the l audit with appropriate backup documentation, Missouri shall pay the net additional percentage rent due, if any, on account of the audit corrections. If such audit reveals that adjusted gross receipts and admission fees were overstated, then Missouri shall be entitled to an immediate refund in an amount i equal to any previous overpayment of percentage rent revealed by the audit corrections. Any adjusting payment on account of previous underpayment shall bear interest at the Prime Rate (as determined by the Chase Manhattan Bank of New York) from the date it would have been paid (or the date of Missouri's previous overpayment, if applicable) had Missouri's annual statement been correct until the date actually paid or L 24 credited.: If percentage rent was understated by more than ten percent (10 %) then Missouri shall pay the reasonable cost of such audit; otherwise the audit shall be conducted at City's expense. 24. MEANS OF PAYMENT Tenant shall pay all .rent by either of the following methods, at Missouri's election, which election Missouri may change from time to time by at least thirty (30) days' notice to City; (a) check (subject to collection) delivered to City at the address provided pursuant to Article 39 of this lease; or (b) wire transfer to City's T bank account, which City shall identify to Missouri upon request (and City shall have the right to change the bank i account so designated from time to time by at least thirty (30) _ days' notice to Missouri). 25. INDEMNIFICATION Missouri shall indemnify and hold harmless the City for any and all losses, damages or claims of all types and descriptions which may be claimed against the City as a result of the use of the real estate described in -- this lease or of claims, losses or damages of any kind that may arise as a result of the gaming operation. 26. INSURANCE Missouri shall, at Missouri's sole cost and expenses, during the term, maintain or cause to be maintained, the following insurance (or its then reasonably available equivalent): 25 i A. Liability. Commercial general liability. insurance against claims for personal injury, i death or property damage occurring upon, in or about the premises, including, if Missouri shall operate or dock excursion gambling boats from the V premises, protection and indemnity insurance with respect thereof. The coverage under all such liability insurance shall be at least Five j Million Dollars ($5,000,000.00) in respect of injury or death to a single person, and at least Twenty Million Dollars ($20,000 in respect of any one accident, and not less than Five Million Dollars ($5,000,000.00) for property damage. B. Workers* Compensation. Workers' compensation insurance covering all persons employed in connection with the construction, alteration, repair or operation of the premises, and with respect to whom any claim could be asserted against City or the fee estate. Any or all workers' compensation insurance required by this _. lease may be provided through a self- insurance program, provided that such program is approved by the appropriate State insurance regulator. P11 C. First Rent Period. During the first rent period, Missouri shall also provide' or cause its contractors to maintain contractor's =commercial general liability insurance having a combined single limit of not less than Five Million ! Dollars ($5,000,000.00) (and, if the contractor is undertaking foundation, excavation or demolition work, an endorsement stating that such operations are covered and that the "XCu Exclusions" have been deleted). D. Deductibles. Missouri shall be entitled to determine appropriate deductibles for all T insurance carried. - E. Policy Requirements and Endorsements. All insurance policies required by this lease shall contain (by endorsement or otherwise) the following provisions: (1) Additional Insureds. To the extent consistent with customary insurance practices, liability insurance policies shall name as additional insureds the City ,_ and fee mortgagees. 27 j (2) Primary Coverage. All policies shall be written as primary policies not contributing with or in excess of any coverage that any additional insured may carry. (3) Contractual liability. Policies of liability insurance shall contain contractually assumed liability coverage, relating to Missouri's indemnity obligations under this lease. (4) Insurance Carrier Standards. Each rated insurance carrier shall be authorized to do business in the State and shall have a T "Best's" rating of at least B + -VI or its f equivalent. F. Deliveries to City. Missouri shall deliver to City certificates or certified coverage summaries of the insurance policies required by this lease, at least ten (10) days before expiration of any - then current policy. G. Blanket and Umbrella Policies. Missouri may provide any insurance required by this lease pursuant to a *blanket' or "umbrella" insurance policy, provided that such policy otherwise complies with this lease. M H. Missouri's Inability to Obtain Insurance. If: (a) any insurance required by this lease should, after diligent effort by Missouri, be unobtainable from qualified insurance carriers through no act or omission by Missouri, whether negligent or otherwise; and (b) Missouri shall obtain the maximum insurance obtainable from qualified insurance carriers and give notice to j City of the extent of unavailability of any insurance required to be maintained under this lease, then Missouri's obligation to procure and maintain insurance shall be reduced to levels from time to time obtainable from qualified insurance carriers. 27. DAMAGE OR DESTRUCTION A. No Rent Abatement. There shall be no abatement _ or reduction of any rent or any other sums due under this agreement on account of any casualty. 28. CONDEMNATION A. Substantial Condemnation. If a substantial condemnation shall occur to any of the land rented to Missouri, then this lease shall not terminate and the City shall be entitled to all condemnation awards less only the amount Missouri 29 has spent on the golf course as of the date of the condemnation. A substantial condemnation shall mean any condemnation that renders the use of the golf course uneconomic or impractical. B. Prompt Notice. If either party becomes aware of any condemnation or threatened or contemplated condemnation, then such party shall promptly give notice thereof to the other party. C. Insubstantial Condemnation. In the event of an insubstantial condemnation, then the City shall be entitled to the proceeds. - 29. TRANSFER BY MISSOURI Missouri may assign, sublet, mortgage, pledge or transfer all of its interest under this agreement to any affiliate who acquires all or substantially all of its assets or common stock. No other assignment is permitted without the express written consent of the City which shall not be unreasonably withheld. This paragraph shall not be interpreted to prohibit assignment, routine subleasing of any of the property of Missouri which is not on the leased premises. 30. BANKRUPTCY If Missouri (as debtor in possession) or a trustee in bankruptcy rejects this lease in connection with any proceeding involving Missouri under the United States Bankruptcy Code or any similar state or federal statute for the 30 relief of debtors (a 'Bankruptcy Proceeding'), then City shall have the right to have the escrow agent record the deed heretofore held in escrow and shall be entitled to such other relief as the law may permit in addition to the recording of the lease. 31. STATUS OF TITLE Missouri shall have a right to satisfy itself within thirty (30) days of the execution of this lease of the status of the City's title to the property. So long as the City has not terminated this lease on account of an event of default by Missouri, then Missouri may peaceably and quietly have, hold and enjoy the premises for the term without molestation or disturbance (except as to the sublease to the City). Provided however in the event of such a disturbance of quiet enjoyment or title claim, then Missouri's lease and obligations shall continue and a breach of this covenant shall not exceed a reduction of the rent for the amount that is actually been invested in the golf course on Missouri's land. 32. MEMORANDUM OF LEASE In lieu of recording this document, the parties may record a memorandum of lease. 33. FORCE MAJEURE Missouri's obligation to perform and observe any term, condition, covenant or agreement on Missouri's part to be performed or observed pursuant to this lease (other than Missouri's obligation to pay any item of rent when due) shall be suspended during such time as such r 31 performance or observance is prevented or delayed by reason of any unavoidable delay. 34. ACCESS The City and its agent, representatives and designees shall have the right to enter the realty described in this, lease together with the surrounding realty which is developed at the gambling site after reasonable notice to Missouri during regular business hours. 35. DEFAULT The term 'event of default' shall mean and refer to the occurrence of any one or more of the following circumstances: A. Monetary Default. A monetary default shall occur if Missouri after ten (10) days written notice of default specifying money due to the . City shall fail to pay the same. B. Non - Monetary Default. If a non - monetary - default shall occur and the non - monetary shall continue and not be remedied by Missouri within ninety (90) days after City shall have delivered to Missouri notice of default describing the same in reasonable detail. If Missouri shall not (a) within thirty (30) days after City's notice advise City of Missouri's intention to take all reasonable steps necessary to remedy such non- monetary default due; (b) duly prosecute the WJ cure of such non - monetary default within the period and then diligently prosecute the i" completion of the remedy of the non - monetary default and (c) complete such remedy within sixty (60) days. C. Remedies. City may exercise any or all of the following remedies and any other remedies provided for under this lease or available by i law, all of which shall be cumulative under this lease: (a) City may collect the liquidated i damages and the lease shall remain in full force and effect: (b) City may proceed to collect the I � performance bonds due under this contract; (c) City shall have the right to proceed by appropriate judicial proceedings, either at law or in equity, to enforce performance or observance by Missouri of the applicable provisions of this lease or to recover damages against Missouri for breach of this lease; or (d) City may give Missouri a notice of intention to end the term at the expiration of thirty (30) days from the date of service of such notice of intention. Upon the expiration of such thirty (30) day period, unless Missouri shall have cured L va N 33 i the event of default that gave rise to such notice and, subject to Section 39 of this lease, this lease, the leasehold estate and the term shall terminate and City shall retake possession of the premises and all rights of Missouri shall come to an end with the same effect as if that day were the expiration date of this lease. Missouri shall peaceably and quietly yield up and surrender to City the premises. D. Re- entry. Upon the occurrence of an event of r default and the termination of this lease as provided in this article, City or City's agents and employees may re -enter the land, or any part of the land constituting the golf course or gambling premises either by summary dispossess proceedings or by any suitable action or proceeding at law, and may repossess the same. 36. TERMINATION Upon the termination date, whether by expiration of this lease or by default, it is the intention of the parties that the portion of the golf course owned by Missouri and leased to the City shall become the City's Property together with all improvements thereto and the City may cause the deed placed in escrow to be recorded. Upon the termination date, Missouri shall cause the property L M 34 constituting the gaming operation to be restored to as good of condition as it was prior to this agreement, shall not permit any buildings on its property to become in need to maintenance, a nuisance in violation of the City's ordinances or in breach of state law. in the event the realty owned by Missouri to be developed as a golf course is not developed as a golf course i because of the City's option to take cash pursuant to paragraph 9, then in that event it is expressly agreed that the realty at r the termination of this lease shall become the property of the City. 37. WAIVERS. A. No Waiver by Silence. Failure of either party to complain of any act or omission on the part of the other party shall not be deemed a waiver by the non - complaining party of any of its rights F under this lease. No waiver by either party at any time, express or implied, of any breach of any provisions of this lease shall be a waiver of a breach of any other provision of this lease or a consent to any subsequent breach of the same or any other provision. No acceptance by City of any partial payment shall constitute an accord or satisfaction but shall only be deemed a partial payment on account. 35 B. No Landlord's Lien. City confirms and acknowledges that City has no lien or security interest in any personal property located in, on or at the land, and that such property shall not constitute security for payment of any rent. If any statute or principle of law would grant City T _ any such lien or security interest, then City hereby waives the benefit of any such statute, principle and such lien. City further agrees to execute and cause any fee mortgagees to execute such documentation, in recordable form, as Missouri shall reasonably require to confirm the foregoing waiver. 38. ESTOPPEL CERTIFICATES A. Rights of Each Party. At any time and from time to time, upon not less than ten (10) business days' prior written request (an 'r "Estoppel Certificate Request ") by either party _ to this lease (the "Requesting Party "), the other party to this lease (the "Certifying Party ") shall execute, acknowledge and deliver to the requesting party (or directly to a third party whose name and address are provided by the -- requesting party (a "Third Party") up to four (4) T 36 original counterparts of an estoppel certificate. An estoppel certificate request shall not be valid unless accompanied by (a) up -- to four (4) counterparts of a proposed form of estoppel certificate reflecting present facts and circumstances at the time of the estoppel certificate request; and (b) a certificate by the requesting party that to the best of the requesting party's knowledge the proposed form of estoppel certificate is substantially correct and T- omits no material information required to be disclosed in such estoppel certificate. Any estoppel certificate may be relied upon by any third party to whom an estoppel certificate is required to be directed. B. Failure to Execute Estoppel Certificate. If: (a) the requesting party delivers an estoppel certificate request to the certifying party in -- accordance with the notice provisions of this lease; and (b) ten (10) business days have elapsed from the effectiveness of such estoppel certificate request and during such period the certifying party has failed to execute and — deliver to the requesting party (or its attorneys 37 or the third party(ies) designated by such requesting party) the estoppel certificate counterpart(s) provided by the requesting party, setting forth with reasonable specificity any alleged exceptions to the statements• required to be contained in such estoppel certificate, then the certifying party shall be deemed for all purposes, whether or not this lease has been terminated or is otherwise in full force and effect, to have executed and delivered to the _r third party and the requesting party an estoppel notice, dated as of the effective date of the estoppel certificate request, in the form submitted by the requesting party to the certifying party. -- 39. NOTICES All notices shall be in writing and shall be addressed to Landlord and Tenant as set forth below. Notices shall be: (a) delivered by Federal Express or other courier service to the addresses set forth below, in which case they shall be deemed delivered on the date of delivery to the -- address(es) set forth below; (b) sent by certified mail, return receipt requested, in which case they shall be deemed delivered three (3) business days after deposit in the United States mail, provided that no postal strike is then in effect; or (c) 38 transmitted by facsimile transmission (promptly followed by delivery upon option "a" or "b "), in which case they shall be. deemed delivered the first business day after delivery has been electronically confirmed by the recipient's facsimile machine, as evidenced by the written confirmation produced by the _ sender's facsimile machine. No notice shall be effective unless and until a copy of such notice has been delivered to the intended recipient's mortgagee(s), to the extent such delivery is otherwise required by this lease. Either party may change its address, its facsimile machine number, or the name and address of its attorneys by giving notice in compliance with this lease. Notice of such a change shall be effective only upon receipt. Notice given on behalf of a party by any attorney purporting to represent a party shall constitute notice by such party if the attorney is, in fact, authorized to represent such party. The addresses and facsimile machine numbers of the parties are: Landlord: City Clerk City of Riverside P. 0. Box 9135 4500 High Drive Riverside, Mo. 64168 Telephone No. (816) 741 -3993 with a copy to: - Don Witt Witt & Hicklin, P.C. P. 0. Box 1517 4th & Main Platte City, Mo. 64079 Fax No. (816) 431 -3009 L 39 Tenant: Missouri Gaming Company 219 Piasa Street Alton, Illinois 62002 Fax No. (618) 474 -7636 with a copy to: Argosy Gaming Company 219 Piasa Street Alton, Illinois 62002 Fax No. (618) 474 -7636 40. RESTRICTIVE COVENANT City covenants that during the term of this lease, it will not develop any of the land that it owns for the purposes of operating any gaming facilities. Missouri covenants that it will not during the term of this lease attempt to develop any other gaming facilities within one hundred (100) miles of the City of Riverside. 41. NO THIRD PARTY BENEFICIARIES Nothing in this lease shall be deemed to confer upon any person (other than City, Missouri or any guarantors of Missouri's obligations) any right to insist upon, or to enforce against City or Missouri, the performance or observance of either party of its obligations under this lease. 42. INTERPRETATION No inference in favor of or against any party shall be drawn from the fact that such party has drafted any portion of this lease. The parties have both participated substantially in the negotiation, drafting and revision of this lease with representation by counsel and such 40 other advisers as they have deemed appropriate. Material in brackets constitutes parenthetical material within other parenthetical material and is intended to be part of this lease. The words "include" and "including shall be construed to be followed by the words: "without limitation." 43. CUMULATIVE REMEDIES The remedies to which either party may resort under this lease are cumulative. 44. RIGHT OF INJUNCTION In the event of a breach by - either party of any of its obligations under this lease, the other party shall have the right to seek an injunction, in r addition to the rights and remedies provided for under this lease. 1 45. ENTIRE AGREEMENT This lease contains all the terms, covenants and conditions relating to Missouri's leasing of the land and supersedes and replaces all prior oral or written agreements relating thereto. 46. AMENDMENT Any modification or amendment to this lease must be in writing signed by City and Missouri and - consented to by any leasehold mortgagee(s) having the right to consent to amendments or modifications of this lease pursuant to the terms of this lease. Modifications or amendments of this lease executed by either party may be exchanged and delivered by facsimile transmission, and shall be effective upon such transmission. The parties shall promptly exchange L 41 original signature counterparts of amendments executed by either party and initially exchanged and delivered by facsimile transmission. 47. PARTIAL INVALIDITY If any term 'or provision of this lease or the application of such term or provision to any party or circumstance shall to any extent be invalid or unenforceable, then the remainder of this lease, or the application of such term or provision to persons or circumstances other than those as to which it is invalid or unenforceable, shall not be affected by such invalidity, and each remaining term and provision of this lease shall be valid and be enforced to the fullest extent permitted by law. 48. GOVERNING LAW This lease and its interpretation and performance shall be governed, construed and regulated by the laws of the State of Missouri. It is agreed that it has been executed in Platte County, Missouri. I_ 49. TIME PERIODS Whenever this lease requires either party to perform any action within a specified period, or requires that a particular event occur within a specified period, if the last day of such period is not a business day, then the period shall be deemed extended through the close of _ business on the first business day following such period as initially specified. i 42 IN WITNESS WHEREOF, City and Missouri have duly executed this lease on , 1993. ATT T: City Clerk , ATTEST: Se retaty CITY OF RIVERSS MISSOURI By: ,c Job .C�ii t� rayor MISSOURI G COMPANY By: � r 43 STATE OF MISSOURI ) ss. COUNTY OF PLATTE ) On this day of Te~ 1 1993, before me appeared Betty Burch, to me p rsonally known, who, being by me duly sworn, did say that she is the Mayor of the City of Riverside, a political subdivision, known to me to be the person and .officer whose name is subscribed to the foregoing instrument, acknowledged to me that she executed the same for the purposes and consideration therein expressed, and as the free act and deed of said City, and in the capacity therein stated, all by authority of its Board of Aldermen. IN TESTIMONY WHEREOF, I have hereunto set my hand and affixed my official seal at my office in said County and State the day and year last above written. o ,r ' it,-✓1 .` My commission expires: STATE O ) �` ;tni�t`' s s . DONALD WITT COUNTY OF ✓ � ) row+r F Ta S IATE cw. of rssaAa Fe rn cas�nr wr COkOM rx; E.`r'.7 S FESn=y 27, IM On this day of 7,�� -.� , 1993, .before me appeareU /- , to me personally Known, who beiA� by me my ,sw n, did say that he is the l/ �� of %�,� owl �,. , that the seal affix , d o t e foregoing instru nt a corporate seal of said corporation, and that said instrument was signed and sealed in behalf of said corporation by authority of its Board of Directors, and sa id acknowledged said instrument to be the free act a d d d of said corporation. IN TESTIMONY WHEREOF, affixed my official seal at the day and year last above ...... My commission"'expiies: I have hereunto set my hand and my office in said County and State written. /yam EXHIBIT "A" LEGAL DESCRIPTION OF ARGOSY LAND A tract of. land located in the East one -half of fractional section 8, and the West one -half of fractional Section 9, -- Township 50 North, Range 33 West, Riverside, Platte County, Missouri being more particularly described as follows: Commencing at the Northwest corner of said fractional Section 9; thence S 00 02' 00" E along the West line of said fractional Section 9 a distance of 1,591.58 feet to the point of beginning: of the tract of land to be described; thence S 89 20' 30" E a distance of 1,303.50 feet; thence S 77 44' 30" W a distance of 441.00 feet; thence N 80 48' 00" W a distance of 428.06 feet; thence S 73 0 46' 17" W a distance of 426.00 feet; thence N 43 10' 30" W a distance of 105.00 - feet; thence N 00 39' 30" E a distance of 83.01 feet to the North line of said fractional Section 8; thence S 89 20' 14" E along said North line a distance of 30.00 feet to the point __ of beginning. Contains 2.244 acres more or less. EXH "B" LEGAL DESCRIPTION OF CITY LAND A tract of land being a part of Red X Plaza, a subdivision of land in fractional Section 9, Township 50 North, Range 33 West, Riverside, Platte County, Missouri being more particularly described as follows: Commencing at the Northwest corner of said fractional Section 9; thence S 00 02' 00" E along the West line of said fractional section 9 a distance of 1,591.58 feet; thence S 89 20' 30" E a distance of 1,303.50 feet to the West line of the East one -half of the West one -half of said fractional Section 9; thence S 00 02' 00" E along said West line a distance of 364.64 feet to the point of beginning of the tract of land to be described; thence N 89 40' 39" E a distance of 1,225.37 feet; thence S 00 17' 00" W a distance of X61.99 feet to a meander corner on the North high bank of the Missouri River; thence upstream meandering said North high bank of the Missouri River the following seven courses N 83 25' 56" W a distance of 183.92 feet; thence S 63 54' 14" W a distance of 126.48 feet; thence S 37 55' 46" W a distance of 93.30 feet; thence S 70 33' 12" W a distance of 207.08 feet; thence S 67 56' 46" W a distance of 242.03 feet; thence S 68 53' 35" W a distance of 174.00 feet; thence S 68 55' 28" W a distance of 309.33 feet to the intersection of said meander line with the Southerly prolongation of the West line -- of the East one -half of the West one -half of said fractional Section 9; thence N 00 02' 00" W along said West line a distance of 597.00 feet to the point of beginning contains 9.988 acres more or less. It is expressly agreed that the legal description of the leased property may be amended by the express written agreement of the parties. - r #0847S EXHIBIT 'C' FORM OF ESTOPPEL CERTIFICATE TO: [Name(s) of Third Partie(s)] DATE: [ - _ j RE: Ground Lease (the "Lease') dated [ j between the City of Riverside, Missouri an Mcis's 1i Gaming Company, a Memorandum of which was recorded at Book _ Page in the Official Records of Platte County, State U ssouri. At the request of ( "Requesting Party') , the undersigned ('Certifying Party') certifies that as of the date of this Estoppel certificate each of the following statements is true with respect to the Lease (all of whose definitions shall apply here), except to the extent, if any, that Certifying Party has identified any exceptions to any such statement in the space following such statement. The Lease affects all that certain real property more particularly described in Schedule A attached hereto. 1. Cert ifying Party -- Estate in Premises. Certifying Party is - ]Landlord or Tenant, as applica le under the Lease and has not assigned or conveyed the [Leasehold Estate, Fee Estate as applicable) or any right, title and interest - therein. The only exceptions to this statement are as follows (describe in reasonable detail, including date, parties and nature of interest transferred): 2. No Chan in Lease The Lease has not been amended, modified, surrendered, cancelled or terminated (whether in writing or pursuant to a purported oral amendment, modification, surrender, cancellation or termination) and is in full force and effect. The only exceptions to this statement are as follows (identifying date of each amendment): 3. Term The Term will expire on 4. Rent. As of the date of execution of this Agreement, rent was last paid on 5. No N otice of Default. Certifying Party has not delivered to Requesting ng Party any notice of default (other than as to defaults that have been cured). 2 6.; No Termination of Lease. Certifying Party has not commenced any pending action or sent any presently effective notice to Requesting Party (or received any presently effective notice from Requesting Party) for the purpose of terminating the Lease. Certifying Party is not presently entitled to terminate the Lease. The only exceptions to this statement are as follows: 7. No Certifying Party Bankruptcy There are no actions, whether voluntary or otherwise, pending against Certifying Party under the Bankruptcy Laws of the United States. The only exceptions to this statement are as follows: [CERTIFYING PARTY) By: Its: EXHIBI 'D' LEGAL DESCRIPTION SITE OF GAMBLING FACILITY A tract of land in the hest half of the hest half of Section 9, -- Township 50, Range 33, Riverside, Platte County, Missouri, described as follows: Beginning at a gaspipe monument hitherto set on a Southerly prolongation to the line between Section 8 !_ and 9, in said township and Range, 1591.23 feet Southerly (azimuth 0 26' clockwise from South meridian of Longitude 94 35' 20.444 1927 North American Datum) from the Railroad Rail on end marking the Northeast corner of Section 8 aforesaid; thence Easterly (azimuth 271 07' 20') 1303.5 feet to a stake; thence Southerly (azimuth 0 26 744 feet to water's edge on left bank of Missouri River; thence in a Southwesterly direction along said water's edge to a point which is 1338 feet Southerly from point of beginning; thence Northerly (azimuth 160 26 1338 feet to point of beginning, also all that portion of the East half of fractional Section 8, Township 50 North, Range 33 West and the accretions thereto, bounded and described as follows, to -wit: Beginning at a point in the East line of said fractional Section 8, 1591.25 feet South of the Northeast corner of said section and running thence West parallel to the North line of said fractional j Section 8, 1095 feet; thence South with a line parallel to the East line of said fractional Section 8, 1508.75 feet more or less to the North bank of the Missouri River as said river now flows; thence Northeasterly along the North bank of said Missouri River to the East line of said fractional Section 8, produced South to said Missouri River; thence North with said East line of said fractional Section 8, produced South as aforesaid, 1042.75 feet, more or less, to the point of beginning, all in Platte County, Missouri. (Except that part thereof lying West of the East right of way line of .Interstate Route 635 as now established). L_ EXH IBIT "E" PERFORMANCE BOND KNOW ALL PERSONS BY THESE PRESENTS: That MISSOURI GAMING COMPANY and ARGOSY GAMING COMPANY Name of Principals) 2 19 Pia sa Street, Alton Il 62002 (Address of Principals) —" a corporation, hereinafter called Principal, and '— Name of Surety " (Address of Surety hereinafter called Surety, are held and firmly bound unto CITY OF RIVERSIDE, MISSOUR (Name of City 4500 NW High Driv Riversid Mis souri 64 166 (Address of City) -' hereinafter called City in the total aggregate penal sum of Ten Million Dollars ($10,000,000.00) in lawful money of the United States, for the payment of which sum well and truly to be made, we bind ourselves, our heirs, executors, administrators, successors, and assigns, jointly and severally, firmly by these presents. THE CONDITION OF THIS OBLIGATION is such that whereas, Missouri Gaming Company entered into a certain contract with. the City, dated the day of - 41 1993, and Argosy Gaming Company executed a guaranty to guarantee the performance of the contract and the payment of all sums due to the City of Riverside, a copy of which is hereto attached and made a part hereof for the lease of land and development of a gaming facility and payment of sums to the City of Riverside. NOW, THEREFORE, if Missouri and Argosy shall well, truly and faithfully perform its duties, all the undertakings, covenants, terms, conditions, and agreements of said contract granted during the original term thereof, and any extensions thereof which may be granted by the City, with or without notice to the Surety. If Missouri and Argosy shall satisfy all claims and K demands incurred under such contract, and shall fully indemnify and save harmless the City from all costs and damages which it _. may suffer by reason of failure to do so, and shall and repay the City all outlay and expense which the City may incur in making good any default, then this obligation shall be void, otherwise to remain in full force and effect. PROVIDED, FURTHER, that said Surety, for value received, hereby stipulates and agrees that no amendment, change, extension of time, alteration or addition to the terms of the contract shall .in any way affect its obligation on this Bond, and it does hereby waive notice of any such amendment, change, extension of ,- time, alteration or addition to the terms of the contract. The term "Amendment" wherever used in this bond, and whether referring to this Bond or the Contract, shall include any alteration, addition, extension or modification of any character whatsoever. PROVIDED, FURTHER, that no final settlement between the City and Missouri and Argosy shall abridge the right of the other beneficiary hereunder, whose claim may be unsatisfied. The City is the only beneficiary hereunder. IN WITNESS WHEREOF, this instrument is executed in counterparts, each one of which shall be deemed an origin a this the _ day of , 19 ATTEST: Principal - Missouri Gaming Company (Principal) Secretary (SEAL) By T-53-dress) (Witness as to Principal) ATTEST: Principal - Argosy Gaming Company (Principal Secretary 3 (SEAL) By 7address Witness as to Principal) Address Surety ATTEST: By Witness to Surety (Attorney -in -Fact Address Address NOTE: 1. Date of Bond must not be prior to date of Contract. 2. Accompany this bond with Attorney -in- Fact's Authority from the Surety Company certified to include the date of the bond. L FES- II- S44 :12 FROM: ARGOSY GAMING CO. ID: 616 474 7636 PAGE 2 EXHIBIT GUARANTY This Guaranty giver, by Argosy Gaming Company, G Delaware Corporation, of , ,?�Q s ,¢/.�,,, -z 1. � �� (hereinafter referred to as 'Guarantor") to induce the City of Riverside, Missouri (hereinafter referred to as " " City ) to enter into a contract with Missouri Gaming Company (hereinafter referred to as "Missouri "). In consideration cf the foregoing and of other coot: and valuable consideration, Guarantor agrees that: 1. The Guarantor guarantees the prompt performance by r Missouri of each and every obligation of Missouri as set forth in a contract between City, Missouri and Guarantor dated the day of 1993, including, bull not -- limited to, the prompt payment of all sums due or which become due from Missouri to City and the prompt performance of all development obligations. If Missouri defaults in the performance Of any obligation, including, but not limited to, the payment of any sums due or the performance of any - development obligation, Guarantor will pay to City or. demand the amount of any payment due together with reasonable attorney's fees and all costs and other expenses incurred by City in collecting or compromising the obligation due frcr: Missouri. If Missouri defaults in the performance of any Obligation under the contract other than an obligaticn tv make FES -11 -94 14.13 FROM= ARGOSY GAMING CO. ID: SIB 474 7636 PACE 3 Payment to City, Guarantor will upon demand ray to City such sum of :coney as shall be necessary to complete the performance of the obligation, together with reasonable attcrney's fees and all costs and other expenses incurred by City in collecting or compromising the same. 2. without further authorization _rom or notice to Guarantor, City may alter, compromise, accelerate, extend or change the time or manner of the performance of any of Missouri's obligations as often as City deers necessary and for such periods of tame as City deems necessar_;, except as noted below, Vo exercise or non - exercise by City of any right hereby given to it, no dealing by City with Missouri or any other Guarantor, and no change, impairment or suspension of any right or remedy of City shall in any way affect or increase any of Guarantor's obligations hereunder or give Guarantor any recourse against City. 3 . If legal action is taken to enforce this guaranty or any provision hereof, such acticn may be agairsn Guarantor and may be maintained alone or joined with any action or other - proceeding against Missouri or any other guarantor of Missouri's obligations to City. Prior action or suit against Missouri, whether Elone or jointly with other Guarantors, shall not be a prerequisite to City's right to proceed hereunder in rase of rissouri' default. The rights of City are cumulative and shall not be ex hausted by its exercise c: an of its right:; 2 u FEB -II -94 114 =13 FROM: ARGOSY GAMING CO. ID: 616 474 7636 PAGE 4 hereunder or otherwise against Guarantor or by any number of successive actions until ano unless all indebtedness hereby guaranteed has been paid. a. It is further understood and agreed that _ity may, in its judgment, without notice or consent, accept, release and exchange coliatera_ securing any indebtedness or cblication of Missouri, without limiting or lessening the liability of Guarantor under, this guaranty. 1. In addition tc all liens on and rights of setoff against the money, securities or other property of Xissouri or of Guarantor giver. to City by law, City shall have a lien on and a right of setoff against all money, securities and other property of Guarantor now or hereafter in the possession of City. Each such lien or right of setoff may be exercised without demand or or notice to Guarantor, shat: continue in full force unless specifically waived or released by City in writing, and shall not be deemed waived by any conduct of City or by any failure Lo exercise such right. 6. Notice of acceptance is waived. Guarantor consents to multiple extensions cf any obligations of Missouri to City for Periods of time that may exceed the tern, of the original obligation C the time within which it was recuired to be performed and all such extensions may be made without further notice to Guarantor. This guaranty shall remain in full force 3 FES -11 -94 14:14 FROM: ARGOSY GAMING CO ID: SIB 474 7636 PAGE 5 1 effect until t!issouri has fully performed each and every _ication it is required to perform pursuant to the terr..s of the contract described above. in the event yissouri defaults in any obligation to City prior to the expiration date of the tern of the contract described above or any extensions thereof, Guarantor shall remain fully obligated hereunder. 7. This guaranty and the obligations hereunder shall be binding upon Guarantor and upon, its successors. wIIN ESS WHEREOF, Guarantor has caused this guaranty to be executed by itz duly authorized representative on this day of , 1993. ARGOSY GAMING COMPANY a Delaware Corporation ✓l•c eresiae'nt I A': TLS 4 EXHIBIT "G' ESCROW AGREEMENT THIS ESCROW AGREEMENT, made 'and entered into this day of , 1993, by and among MISSOURI GAMING COMPANY ( "Missouri" , a corporation, the CITY OF RIVERSIDE, MISSOURI, a political subdivision of the State of Missouri ( "City") and ( 'Escrow Agent "). WITNESSETH: WHEREAS, on , 1993, the City of Riverside entered into a contract with Missouri which provided compensation payable from Missouri to City in the amount of $6,600,000.00. on commencement date, and WHEREAS, as a part of the consideration for the reduction of the required performance bond, Missouri has agreed to deposit 6,600,000.00 with the Escrow Agent, and WHEREAS, the parties desire the execution and delivery of an Escrow Agreement, providing for the escrow of the sum of $6,600,000.00, and WHEREAS, Missouri and City desire that T" act as escrow agent, and Escrow Agent is willing to do so, all upon the terms and conditions hereinafter set forth; NOW, THEREFORE, in consideration of the premises and the mutual covenants and agreements herein contained, the parties hereto agree as follows: 1. Pur The purpose of this escrow is to collateralize the obligation of Missouri to City. The City is hereby granted a first priority security interest in the Escrowed Funds pursuant to the terms of this agreement, and the security interest granted shall be superior to the claims of any other creditors including but not limited to the claims of Escrow Agent. 2. Damages for Breach In the event Missouri shall in any manner obstruct the payment of the Escrowed Funds to then Missouri shall be liable for any damages sustained, including but not limited to the payment of attorneys' fees incurred to obtain release of the funds. i 2 3. Appointment City and Missouri hereby jointly appoint Escrow Agent pursuant to and _. for the purposes of this Escrow Agreement. Simultaneously with the execution of this Escrow Agreement, Missouri has cause to be delivered and deposited with the Escrow Agent $6.6 million in cash (or securities of current market value of $6.6 million) to be held in escrow pursuant to the terms and conditions hereof. 4. Acceptance; Interest on Escrowed Funds Escrow Agent hereby acknowledges receipt of the Escrowed Funds and " agrees to act as escrow agent and to hold and dispose of all property deposited with it pursuant to this Escrow Agreement. It is specifically agreed that, so long as the market value of the securities and cash in the account equals or exceeds $6,600,000.00 then Missouri shall be entitled to all interest owned on the Escrowed Funds during the continuation of this Escrow Agreement. r 5. Restrictions on Investments It is mutually agreed that Missouri shall not invest the Escrowed Funds other than in a manner consistent with their present investment Policy which is attached. 6. Disbursement of Funds The Escrow Agent shall disperse the funds upon signed check by both City and Missouri or upon final order of the Circuit Court of the County and State of the political subdivision. ! 7. Termination This Escrow Agreement shall terminate when the Escrowed Funds have been fully released or distributed in accordance with the provisions of Section 5 above. B. Duties. The duties of the Escrow Agent are only as herein specs — 'f ally provided and are purely ministerial in nature and not discretionary. Escrow Agent shall have no obligation or liability hereunder except as a depositary to retain the Escrowed Funds and to dispose of the same in accordance with the terms hereof. Escrow Agent shall not be liable for default by any party hereto because of such party's failure to perform any duties or obligations said party has agreed to perform, and shall have no responsibility to seek performance by any party. 9. Limitation of Liability Escrow Agent shall not be liable in any respect on account of the identity, authority, or rights or persons executing or delivery, or purporting to 03 execute or deliver, any document or item, and may rely absolutely and be fully protected in acting upon any item, document, or other writing believed by it to be authentic in performing its duties hereunder. Escrow Agent may, as a condition to the disbursement of money or property, require from the payee or recipient a receipt thereof, and, upon final. i payment or distribution, require a release from any liability arising out of its execution or performance of this Escrow Agreement. 10. Limitation of Authority. The Escrow Agent shall. have the following au on y: A. Escrow Agent shall be protected in acting upon any written notice, request, waiver, consent, certificate, receipt, authorization, power of attorney or other paper or document which Escrow Agent believes in good faith to be genuine and what it purports to be, including, but not limited to, items directing investment or non - investment of funds, items requesting or authorizing release, disbursement or retainage of the subject matter of this Escrow Agreement and items amending the terms of this Escrow Agreement. 2. In the event of any disagreement between any of the parties to this Escrow Agreement, or between any of them and any other person, resulting in adverse claims or demands being made in connection with the matters covered by this Escrow Agreement, or in the event that Escrow Agent, in good faith, shall be in doubt as to what action it should take hereunder, Escrow Agent may, at its option, refuse to comply with any claims or demands on it, or refuse to take any other action hereunder, so long as such disagreement continues or such doubt exists, and in any such event, Escrow Agent shall not be or become liable in any way or to any person for its failure or refusal to act, and Escrow Agent shall be entitled to continue so to refrain from acting until (a) the rights of all interested parties shall have been fully and finally adjudicated by the court of the agreed jurisdiction, or (b) all differences shall have been adjudged and all doubt resolved by agreement among all of the interested persons, and Escrow Agent shall have been notified thereof in writing signed by all such persons. Notwithstanding the preceding, Escrow Agent may in its discretion obey the order, judgment, decree or levy of any court, whether with or without jurisdiction, and Escrow Agent is hereby authorized in its sole discretion, to comply with and obey (and shall 4 have no liability to any person for so doing) any such orders, judgments, decrees or levies which Escrow Agent is advised by legal counsel of its own choosing is binding upon it. The rights of Escrow Agent under this subparagraph are cumulative of all other rights which it may have by law or otherwise. 3. Escrow Agent shall have no liability for any loss arising from any cause beyond its control, including (but not limited to) the following: (a) any delay, error, omission or default of any mail, telegraph, cable, or wireless agency or operator; and (b) the acts or edicts of any government or governmental agency or other group or entity exercising governmental powers. 4. Without in any way limiting any other provision of this Escrow Agreement, it is expressly understood and agreed that Escrow Agent shall be under no duty or obligation to give any notice, or to do or to omit the doing of any action or anything with respect to the subject matter hereof, except to receive, hold and deliver the same in accordance with the terms of this Escrow Agreement. 5. In the event that any controversy should arise among the parties with respect to this Escrow Agreement, or should the Escrow Agent resign and the parties fail to _r select another Escrow Agent to act in its stead, the Escrow Agent shall have the right to institute a bill of interpleader in the court of agreed jurisdiction to - determine the rights of the parties. 11. Fees Escrow Agent shall be entitled to _ reasonable compensation for its services hereunder. Expenses of the Escrow Agent shall be paid by Missouri. 12. Replacement Escrow Agent Escrow Agent may resign at any time by giving 5 days prior written notice to all parties hereto, but will continue to serve until a successor is appointed. If Escrow Agent resigns, or for any reason is unable to continue to serve as escrow agent or fails to continue to serve as agent hereunder, Missouri may, in writing, appoint a successor escrow agent, subject to such escrow agent being acceptable to City, which acceptance will not be unreasonably withheld. Any successor escrow agent will have the same rights and duties as the original Escrow Agent _ and be governed by the terms and conditions set forth in this Escrow Agreement, including but not limited to the terms and conditions relating to resignation and succession set forth in this paragraph 10. L r 13. Miscellaneous. 5 (a) Any notice, demand or other communication required or permitted hereunder shall be in writing and shall be deemed to have been given if and when personally delivered, or delivered by a nationally recognized overnight courier service, or sent by facsimile transmittal (provided that an original copy of any such notice, demand or communication is -- delivered by a nationally recognized overnight courier service the next business day after such facsimile transmittal), or on the second business day after being deposited in United States registered or certified mail, postage prepaid, and addressed to a party at its address set forth below or to such other address the party to receive such notice may have designated to all other parties by notice in accordance herewith: If to Missouri: with a copy to: If to City: with a copy to: Missouri Gaming Company 219 Piasa Street Alton, Illinois 62002 Fax No. (618) 474 -7636 Argosy Gaming Company 219 Piasa Street Alton, Illinois 62002 Fax No. (618) 474 -7636 City Clerk City of Riverside P. 0. Box 9135 - 4500 High Drive Riverside, Mo. 64168 Telephone No. (B16) 741 -3993 Don Witt Witt & Hicklin, P.C. P. 0. Box 1517 4th & Main Platte City, Mo. 64079 Fax No. (816) 431 -3009 T 11 If to Escrow Agent: or to such other person or address as such party may direct the other parties in writing by notice in accordance herewith. (b) This Escrow Agreement may not be modified or amended except in a writing signed by all parties hereto. (c) Neither this Escrow Agreement, nor any of the riot;ts, duties or obligations of any party hereunder, may be assigned or otherwise delegated by such party without the prior written consent of all other parties hereto, which will not be unreasonably withheld. (d) This Escrow Agreement shall be binding upon the successors and permitted assigns of each party. (e) This Escrow Agreement shall be governed by and construed and interpreted in accordance with the laws of the r State of Missouri applicable to agreements made and to be performed entirely within such State. The invalidity or unenforceability of any provision of this Escrow Agreement shall not affect the validity or enforceability of the remaining provisions hereof. (f) This Escrow Agreement may be executed in counterparts and the counterparts, taken together, shall be deemed to form one original instrument. (g) The additional provisions relating to the Escrow Agent attached hereto as Exhibit A are incorporated herein by reference and made a part hereof, and together with the -- representations, covenants and indemnifications contained in paragraphs 8 and 9, shall survive the termination of this Escrow Agreement. IN WITNESS WHEREOF, the parties hereto have caused this Escrow Agreement to be duly executed as of the day and year first above written. I ATTEST: City Clerk ATTEST: ecretary CITY OF RIVERSIDE, MISSOURI By: Mayor MISSOURI GAMING COMPANY By: President hereby accepts its duties as Escrow Agent hereun er, su sect to the terms and conditions herein set out and acknowledges receipt of the Escrowed Funds. By: TitYe. 1 BILL NO. 9� ORDINANCE AN ORDINANCE AUTHORIZING THE EXECUTION OF A CONTRACT AND LEASE WITH MISSOURI GAMING COMPANY FOR THE DEVELOPMENT OF A RIVERBOAT GAMING SITE. WHEREAS, on April 6, 1993, the voters of the City of Riverside approved riverboat gambling by a vote of 285 yes and 138 no, and WHEREAS, the City developed a preliminary request for proposal and proposals were on April 1, 1993 received from eight (8) entities for the development of a riverboat gambling facility, and WHEREAS, a Steering Committee appointed by the City heard the proposals of each applicant who requested to be heard and selected the three proposals which was felt to be best in the community's interest, and WHEREAS, three subsequent written proposals were presented to the Board of Aldermen and the Steering Committee on May 9, 1993, and WHEREAS, the Steering Committee carefully considered each of the final proposals and unanimously selected the proposal of Missouri Gaming Company. NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF ALDERMEN OF THE CITY OF RIVERSIDE, MISSOURI, AS FOLLOWS: Section 1. The agreement and lease which leases a portion of one of the City's parks and which sets the compensation and -- terms to be paid to the City is attached hereto and made a part of this ordinance as though fully set out herein. Section 2. The City intends by this lease to select Missouri as its applicant for riverboat 2oning and does by this ordinance support the land based economic development of Missouri on the site indicated in the lease. Section 3. The Mayor and City Clerk are directed to take such further action as may be necessary to implement the intent of this ordinance.. PASSED THIS / � C DAY OF r , 1993. MAYOR ------------ - - - - -- ATTF/ST: (i _ APPROVED THIS 1 DAY OF , 1993. MAYO 1159S; 07/06/93 - BILL NO. 3' 3 / ORDINANCE NO. 9 - 3 AN ORDINANCE AMENDING THE CONTRACT AND LEASE WITH MISSOURI GAMING COMPANY AND RATIFYING THE CONTRACT AND LEASE WITH THE MISSOURI GAMING COMPANY AS AMENDED. WHEREAS, the Board of Aldermen on the 3rd day of June, 1993, adopted Ordinance 93 -26 authorizing the City to enter into a contract and lease with the Missouri Gaming Company; and WHEREAS, the City did enter into such contract and lease with Missouri Gaming Company on June 3, 1993; and WHEREAS, the Board of Aldermen have determined that it is in the best interests of the City to amend the contract and lease with the Missouri Gaming Company with particular regard to paragraph 18; and WHEREAS, Paragraph 18 required Missouri to make an appropriate zoning application within thirty (30) days after the execution of this contract and to process the application in a timely fashion. NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF ALDERMEN OF THE CITY OF RIVERSIDE, MISSOURI, AS FOLLOWS: Section 1. This contract is amended to extend the date for _ Missouri to make the appropriate zoning application until ` August 10, 1993. Section 2. The City intends by this ordinance to ratify - the entire contract and lease with Missouri Gaming Company including the amendments hereto attached. Section 3. The Mayor and City Clerk are directed to take such further action as may be necessary to implement the intent of this ordinance. / / PASSED THIS (Q.(.�/ DAY OF / , 1993. 0 MAYOR AT -` CITY CLERK APPROVED THIS &A DAY OF � � 1993. y i r MAYOR f- 1106S; 07/13/93 BILL N0. ORDINANCE NO. ?2 I AN ORDINANCE AMENDING THE CONTRACT AND LEASE WITH MISSOURI GAMING COMPANY AND RATIFYING THE CONTRACT AND LEASE WITH THE MISSOURI GAMING COMPANY AS AMENDED. WHEREAS, the Board of Aldermen on the 3rd day of June, 1993, adopted Ordinance 93 -26 authorizing the City - to enter I into a contract and lease with the Missouri Gaming Company; and WHEREAS, the City did enter into such contract and lease with Missouri Gaming Company on June 3, 1993; and WHEREAS, the City previously amended its contract with the Missouri Gaming Company to permit it to have until August 17, 1993 to file its zoning application; and WL:FREAS, the attachments "1" and "2" to this ordinance have been determined by the City to be in the best interests of the City's residents. NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF ALDERMEN OF THE CITY OF RIVERSIDE, MISSOURI, AS FOLLOWS: Section 1. The amendments to this contract and lease with Missouri Gaming Company which establish the Escrow Agreement designated Amendment "2" is hereby adopted and made a part of this ordinance as though fully set out therein. Section 2. The amendments to this contract marked _ Amendment "3" expanding paragraph 5(c) is made a part of this contract as though fully set out therein. Section 3. The City intends by this ordinance to ratify the entire contract and lease with Missouri Gaming Company including the amendments hereto attached. Section 4. The Mayor and City Clerk are directed to take such further action as may be necessary to implement the intent of this ordinance. PASSED THIS 9 19 DAY OF 1993. MAYOR -- ATTE T: CITY CLERK APPROVED THIS i5V DAY OF , 1993 MAY 4���_ ESCROW AGREEMENT This Escrow Agreement entered into this day of The Missouri Gaming Company City of Riverside, Missouri, of Missouri ( "City ") and Doi Agent "). (the "Escrow Agreement ") made and 1993 by and among ( "MGC "), a Missouri corporation, the a political subdivision of the State ialdson, Lufkin and Jenrette ( "Escrow W I T N E S S E T H: WHEREAS, on June 7, 1993 the City and MGC entered into an agreement pursuant to which MGC, subject to certain conditions, - agreed to advance certain monies to the City constituting advance rent in the amount of $5,000,000, a park grant irn 'the amount of $1,000,000 and a golf course grant in the amount of $600,000 (collectively, these monies constitute the "Obligation "). WHEREAS, as a part of the consideration for the reduction of r the required performance bond as required in the Principal Agreement (as hereinafter defined), MGC has agreed to deposit the Obligation with the Escrow Agent, and WHEREAS, the parties desire the execution and delivery of an Escrow Agreement, providing for the escrow of the Obligation, and WHEREAS, MGC and City desire that Donaldson, Lufkin and Jenrette act as escrow agent, and Escrow Agent is willing to do so, all upon the terms and conditions hereinafter set forth; NOW, THEREFORE, in consideration of the premises and the mutual covenants and agreements herein contained, the parties hereto agree as follows: 1. Incorporation by Reference Reference is made to that certain agreement dated as of June 7, 1993 by and between the City of Riverside, Missouri, the Missouri Gaming Company and Argosy Gaming Company (the "Principal Agreement ") the terms and conditions of which are incorporated herein by reference. Unless otherwise defined herein, capitalized terms shall have the meaning ascribed to such term in the Principal Agreement. 2. Purpose The purpose of this escrow is to collateralize the Obligations of MGC to City under the Agreement. The City is hereby granted a first priority security interest in the Escrowed Funds pursuant to the terms of this Escrow Agreement, and the security interest granted shall be superior to the claims of any r other creditors including but not limited to the claims of Escrow Agent. Subject to Section 7 hereof, the City shall be entitled to the Escrowed Funds in the event MGC breaches or violates, in any material respect, its obligations to the City under the Agreement. 3. Damages for Breach. In the event MGC shall in any manner - obstruct the payment of the Escrowed Funds to the City, then MGC shall be liable for any damages sustained, including but not limited to the payment of attorneys' fees incurred to obtain release of the funds. 4. Appointment City and MGC hereby jointly appoint Donaldson, Lufkin, and Jenrette Escrow Agent pursuant to and for the purposes of this Escrow Ageement. Simultaneously with the execution of this Escrow Agreement, MGC has caused to be delivered and deposited with the Escrow Agent $6.6 million in cash (or 2 securities of current market value of $6.'6 million) to be held in escrow pursuant to the terms and conditions hereof. 5. Acceptance; Interest on Escrowed Funds Escrow Agent hereby acknowledges receipt of the Escrowed Funds and agrees to act as escrow agent and to hold and dispose of all property deposited with it pursuant to this Escrow Agreement. It is specifically agreed that, so long as the market value of the securities and cash in the account equals or exceeds $6,600,000.00, then MGC shall be entitled to all interest owed on the Escrowed Funds during the continuation of this Escrow Agreement. 6. Restrictions on Investments It is mutually agreed that MGC shall not invest the Escrowed Funds other than in a manner consistent with their present investment policy of AAA rated investments or their equivalent. ` 7. Disbursement of Funds The Escrow Agent is authorized to disburse the Obligations as follows: (i) in accordance with the instructions set forth in any written letter of direction executed by both MGC and the City; (ii) upon final order of the circuit court of the county of Platte; (iii) upon the Commencement Date, pursuant to a written letter of direction from the City. 8. Termination of the Escrow Agreement and Return of Funds This Escrow Agreement will terminate and the Obligations shall be returned to MGC upon the failure of MGC to become licensed by the Missouri Gaming Commission pursuant to its initial application for licensure or the failure by the City to satisfy any material term 3 or condition which impacts the ability of the operator to proceed in the fashion set forth in the Agreement. 9. Termination This Escrow Agreement shall terminate when the Escrowed Funds have been fully released or distributed in accordance with the provisions of this Escrow Agreement or upon MGC's substantial fulfillment of its obligations under the Agreement. 10. Duties The duties of the Escrow Agent are only as herein specifically provided and are purely ministerial in nature and not discretionary. Escrow Agent shall have no oblitation or liability hereunder except as a depository to retain the Escrowed i Funds and to dispose of the same in accordance with the terms hereof. Escrow Agent shall not be liable for default by any party hereto because of such party's failure to perform any duties or obligations said party has agreed to perform, and shall have no responsibility, to seek performance by any party. 11. Limitation of Liability Escrow Agent shall not be liable in any respect on account of the identity, authority, or rights of persons executing or delivering, or purporting to execute or deliver, any document or item, and may rely absolutely and be fully protected in acting upon any item, document, or other writing believed by it to be authentic in performing its duties hereunder. - Escrow Agent may, as a condition to the disbursement of money or property, require from the payee or recipient a receipt thereof, and, upon final payment or distribution, require a release from any liability arising out of its execution or performance of this Escrow Agreement. 12. Limitation of Authority The Escrow Agent shall have the following authority: - (a) Escrow Agent shall be protected in acting upon any written notice, request, waiver, consent, certificate, receipt, authorization, power of attorney or other paper or document which Escrow Agent believes in good faith to be genuine and what it purports to be, including, but not limited to, items directing investment or non - investment of funds, items requesting or authorizing release, disbursement or retainage of the subject matter of this Escrow Agreement and items amending the terms of this Escrow Agreement. (b) In the event of any disagreement between any of the -- parties to this Escrow Agreement, or between any of them and any other person, resulting in adverse claims or demands being made in connection with the matters covered by this Escrow Agreement, or in the event that Escrow Agent, in good faith, shall be in doubt as to what action it should take hereunder, Escrow Agent may, at its option, refuse to comply with any claims or demands on it, or refuse to take any other action hereunder, so long as such disagreement continues or such doubt exists, and in any such event, Escrow Agent shall not be or become liable in any way or to any person for its failure or refusal to act, and Escrow Agent shall be entitled to continue so to refrain from acting until (a) the rights of all interested parties hall have been fully and finally - adjudicated by the court of the agreed jurisdiction, or (b) all differences shall have been adjudged and all doubt resolved by agreement among all of the interested persons, and Escrow Agent 5 shall have been notified thereof in writing signed by all such persons. Notwithstanding the preceding, Escrow Agent may in its discretion obey the order, judgment, decree or levy of any court, whether with or without jurisdiction, and Escrow Agent is hereby authorized in its sole discretion, to comply with and obey (and shall have no liability to any person for so doing) any such orders, judgments, decrees or levies which Escrow Agent is advised by legal counsel of its own choosing is binding upon it. The rights of Escrow Agent under this subparagraph are cumulative of all other rights which it may have by law or otherwise. (c) Escrow Agent shall have no liability for any loss arising from any cause beyond its control, including (but not limited to) the following: (a) any delay, error, omission or default of any mail, telegraph, cable, or wireless agency or operator; and p , (b) the acts or edicts of any government or governmental agency or other group or entity exercising governmental powers. (d) Without in any way limiting any other provision of this Escrow Agreement, it is expressly understood and agreed that Escrow Agent shall be under no duty or obligation to give any notice, or to do or to omit the doing of any action or anything with respect to the subject matter hereof, except to receive, hold and deliver the same in accordance with the terms of this Escrow Agreement. (e) In the event that any controversy should arise among the parties with respect to this Escrow Agreement, or should the Escrow Agent resign and the parties fail to select another Escrow Agent to act in its stead, the Escrow Agent shall have the right to institute a bill of interpleader in the court of agreed jurisdiction to determine the rights of the parties. 13. Fees Escrow Agent shall be entitled to reasonable compensation for its services hereunder. Expenses of the Escrow Agent shall be paid by MGC. 14. Replacement Escrow Agent Escrow Agent may resign at any time by giving 5 days' prior written notice to all parties hereto, but will continue to serve until a successor is appointed. If Escrow Agent resigns, or for any reason is unable to continue to serve as escrow agent or fails to continue to serve as agent hereunder, MGC may, in writing, appoint a successor agent, subject -- to such escrow agent being acceptable to City, which acceptance will not be unreasonably withheld. Any successor escrow agent will have the same rights and duties as the original Escrow Agent and be governed by the terms and conditions set forth in this Escrow Agreement, including but not limited to the terms and conditions relating to resignation and succession set forth in this paragraph 14. 15. Miscellaneous (a) Any notice, demand or other communication required or permitted hereunder shall be in writing and shall be deemed to have been given if and when personally delivered, or delivered by a nationally recognized overnight courier service, or sent by - facsimile transmittal (provided that an original copy of any such notice, demand or communication is delivered by a nationally recognized overnight courier service the next business day after -7- such facsimile transmittal), or on the second business day after being deposited in United States registered or certified mail, postage prepaid, and addressed to a party at its address set forth below or to such other address the party to receive such notice may have designated to all other parties by notice in accordance herewith: If to Missouri: -- Missouri Gaming Company 219 Piasa Street Alton, Illinois 62002 Fax No. (618) 474 -7636 With a copy to: Winston & Strawn 35 West Wacker Drive Chicago, Illinois 60601 Attn: Joseph A. Walsh, Jr. If to City: City Clerk City of Riverside P.O. Box 9135 - 4500 High Drive Riverside, MO 64168 Telephone No. (816) 741 -3993 With a copy to: Don Witt Witt & Hicklin, P.C. P.O. Box 157 4th & Main -- Platte City, MO 64079 Fax No. (816) 431 -3009 If to Escrow Agent: Donaldson, Lufkin & Jenrette 140 Broadway 32nd floor New York, New York 10005 -8- or to such other person or address as such party may direct the other parties in writing by notice in accordance herewith. (b) This Escrow Agreement may not be modified or amended except in a writing signed by all parties hereto. (c) Neither this Escrow Agreement, nor any of the rights, duties or obligations of any party hereunder, may be assigned or otherwise delegated by such party without the prior written consent of all other parties hereto, which will not be unreasonably withheld. (d) This Escrow Agreement shall be binding upon the successors and permitted assigns of each party. (e) This Escrow Agreement shall be governed by and construed and interpreted in accordance with the laws of the State of Missouri applicable to agreements made and to be performed entirely within such State. The invalidity or unenforceability of any provision of this Escrow Agreement shall not affect the validity or enforceability of the remaining provisions hereof. (f) This Escrow Agreement may be executed in _ counterparts and the counterparts, taken together, shall be deemed to form one original instrument. (g) The additional provisions relating to the Escrow Agent attached hereto as Exhibit A are incorporated herein by reference and made a part hereof, and together with the _ representation, covenants and indemnifications contained in paragraphs 10 and 11, shall survive the termination of this Escrow Agreement. Wz IN WITNESS WHEREOF, the parties hereto have caused this Escrow Agreement to be duly executed as of the day and year first above written. A7`TEST: City Clerk ATTEST: cr y CITY of RIVERSIDE, MISSOURI B ,B.uh,e�v Mayor MISSOURI G COMPANY By: Donal dson. Lufkin & Jenrette Securities Corporation hereby accepts its duties as Escrow Agent hereunder, subject to the terms and conditions herein set out and acknowledges receipt of the Escrowed Funds. By: Thomas E. Sleg er, - e Title: -10- AMENDMENT NO. 3 Paragraph 5(c) is hereby amended by the following additional words: "The City shall have a first priority security interest in the $5,000,000. payable in cash as advance rent to the City to secure Missouri's payment of all sums due City under the terms of this agreement, whether said deposit is with an independent escrow agent or with the City and the City may expend all or any part of said $5000,000. at any time after it has been deposited with the City." MAYOR ATT�ST: �O CITY CLERK ARGOSY G / AMING COMPANY By ATTEST: ATTEST: fl \ MISSOURI GAMING COMPANY By �,d ..� #'2707S; 02/07/94 BILL NO. 9q ORDINANCE NO. W - / Z AN ORDINANCE AMENDING THE CONTRACT AND LEASE WITH MISSOURI GAMING COMPANY AND RATIFYING THE CONTRACT AND LEASE WITH MISSOURI GAMING COMPANY AS AMENDED. WHEREAS, the Board of Aldermen on the 3rd day of June, 1993, adopted Ordinance 93 -26 authorizing the City to enter into a contract and lease with the Missouri Gaming Company; and WHEREAS, the City did enter into such contract and lease with Missouri Gaming Company on June 3, 1993; and WHEREAS, the City previously amended its contract with the Missouri Gaming Company; and WHEREAS, the Missouri Supreme Court found that certain portions of the gambling referendum to be unconstitutional; and WHEREAS, the attachment to this ordinance which is Amendment No. 4 to the Missouri Gaming Company contract has been determined by the City to be in the best interests of the City's residents. NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF ALDERMEN OF THE CITY OF RIVERSIDE, MISSOURI, AS FOLLOWS: Section 1. The amendment to this contract and lease with Missouri Gaming Company which modifies the original contract and lease and amendments 1 2, and 3 thereto is hereby adopted and made a part of this ordinance as though fully set out therein. Section 2. The amendment to this contract marked Amendment No. 4 is made a part of this contract as though fully set out therein. Section 3. The City intends by this ordinance to ratify the entire contract and lease with Missouri Gaming Company including the amendment hereto attached. Section 4. The Mayor and City Clerk are directed to take such further action as may be necessary to implement the intent of this ordinance. PASSED THIS ZA DAY OF A+�, , 1994. MAYOR ATTdT : X,. ,a i CITY CLERK /� �/ APPROVED THIS 7A DAY OF �� , 1994. I`m I_. ARGOSY /Amendment No. 4 f27035; 02/04/94 Revised 02/07/94 AMENDMENT NO. 4 TO LEASE AND DEVELOPMENT AGREEMENT This agreement made on this %.U. day of February, 1994, by and between THE CITY OF RIVERSIDE, MISSOURI, hereinafter called "City" and MISSOURI GAMING COMPANY, hereinafter called "Missouri ". WHEREAS, the parties on the 7th day of June, 1993, entered into a Lease and Development Agreement for certain land in the City of Riverside which provided among other things for interim monthly payments and a minimum guaranteed rent and payments for a golf course and park; and WHEREAS, a performance bond in the amount of $10,000,000. was required by the contract to be posted in order to secure that the development promises were completed; and - WHEREAS, the contract was amended by Ordinance on July 6, 1993, extending the date for Missouri to hake the appropriate zoning application until August 10, 1993; and WHEREAS, the contract was amended on July 20, 1993, by an escrow agreement by which $6,600,000. was placed in escrow with - the firm of Donaldson, Lufkin and Jenrette; and WHEREAS, the contract was further ar.,ended by Amendment No. 2 3 to provide that the City had a first priority security interest in the $5,000,000. cash as advance rent deposited with the independent escrow agent; and WHEREAS, Missouri and City subsequently entered into a Lease agreement on a portion of the City Park whicl, provided among other things for a monthly payment and monthly rent for the temporary use of the City Park; and WHEREAS, the Supreme Court of the State of Missouri has declared that certain portions of the referendum passed by the voters were unconstitutional thereby necessitating a new statewide election and which may also necessitate an additional - local election; and WHEREAS, Missouri desires to continue to pursue obtaining a gaming license for those activities legally permissible and commence operations within the City of Riverside on the interim site. NOW, THEREFORE, in consideration of the promises and r„utual covenants and conditions contained herein, the parties agree as follows: 1. In the event that Missouri obtains a gaming license and commences operation, then Missouri shall immediately release from the escrow account $600,000. which is part of the development promise of paragraph 10 of the contract. The City agrees that it will delay demand of a release of the remaining $6,000,000. until the question of permitting slot machines is 3 resolved by favorable Stztewide vote of the people and if necessary a local �,rote plus thirty (30) days thereafter. 2. It is agreed and understood that the release of the $600,000. may be used by the City for the building of the golf course but the City may not be requirea to use the $600,000. for this purpose, and may use this sum in any way it deems appropriate. It is further agreed that under no circumstances will the sum be credited or repaid back to Missouri. 3. It is further agreed that all interim rent payments under the initial contract of June 7, 1993 and under the subsequent lease agreement of November 10, 199t, will continue. 4. The parties recognize that it is the position of the City that the remainder of the escrow deposit ($6,000,000) is due on such date when slot garing begins by Missouri in the City of Riverside. It is agreed that the $600,000. shall not be reguired to be repaid to the escrow agent for subsequent payrent to the City of Riverside. 5. The initial contract between the parties provided that the term of the lease begin on commencement date as defined in said contract. The parties mutually agree that the term of this lease is modified so as to begin on a date thirty (30) days after the favorable vote by the citizens of the State approving the constitutional amendments which legalizes games of skill and chance by the citizens of the State of Missouri and by the City if necessary FEE. -11 -94 14:16 FROM: ARGOSY GAMING CO. ID: SIB 474 7636 PACE 9 rr ►. '- . a —�-. r.c a a a .no wa . . e. r. a.lw� ary r c.o I � ` /\ 4 d. The City agrees to defer the requirement of the posting of a $1o,o00,000. performance bond only until ninety (90) days after the favorable vote by the State and City of skill d chan2l is presently anticipated to occur on or about April 5, 1594. 7. The parties agree that all provisions of the initial agreement and amendments thereto shall ramain in full force and affect except as expressly modified by this Amendment. CITY OF RIVERSIDE, ..M//ISSOURI by; Mayor i ATTEST: City Clerk MISSOURI GAMING COMPANY Sy • L w•.-- e;er 5 STATE OF MISSOURI ) ) ss. COUNTY OF PLATTE ) On this S.;U day of February, 1994, before me appeared Betty Burch, to me personally known, who, being by me duly sworn, did say that she is the Mayor of the City of Riverside, a political subdivision, known to me to be the person and officer whose name is subscribed to the foregoing instrument, acknowledged to me that she executed the same for the purposes and consideration therein expressed, and as the free act and deed of said City, and in the capacity therein stated, all by authority of its Board of Aldermen. IN TESTIMONY WHEREOF, I have hereunto set ry hand and affixed my official seal at my office in said County and State the day and year last above written. (0* Aofm Notary ublic My commission expires: i.�)zary Public - State of xistourl Co =dssioned in Platte Count}' ' -y Commission Expires Dec. 21, 19S7 FES -II -S4 14:17 FROM.: AFGOSY GAMING CO. ID: 616 474 7636 PAGE 11 P�. 6 STATE of :LL (at]. — ) ) ss. COUNTY OF dul ) eoN On this L_ day of February, 1994, before tne, appeared I _- (5e L- 6 - ` IAM -% duly did s re personally personally rsonally known, who being by y sworn , Y the W 4 (,• r -.0 of Missouri Gaming Company, that the Seal affixed to the foregoing instrulhent is the corporate seal of said corporation and that said instrument was signed and Sealed in behalf of said corporation by authority of its board of '!racto:c, and said �F_ ;tom M 8cknoulsdced said instrument to to the free pct and deed of said corporation.. _ IN.WITNUS k- iEREOF, I have hereunto set my hand and affixed "y notarial seal at my office in said County and Statee the day and year last above written. I— otary jeablic My commission expires 0I' ;rl(:IAL SEAL" NAISY S. HUBRAHD NUMBr PUKIC — S1r1E n; ILUNO +S HD CUUNIY, IL . KY C0' "S�'ON FXPRES OLC. 9, 1994 0 7 GUARANTY This Guaranty given by Argosy Gaming Company, a Delaware Corporation, (hereinafter referred to as "Guarantor ") to induce the City of Riverside, Aissouri (hereinafter referred to as "City") to enter into a contract with N.issouri Gaming Company (hereinafter referred to as "Missouri "). In consideration of the foregoing and of other good and valuable consideration, Guarantor agrees that: 1. The Guarantor guarantees the prompt performance by Missouri of each and every obligation of Missouri as set forth in a contract between City, N,issouri and Guarantor dated the day of 1994, including, but not limited to, the prompt payment of all sums due or which become -- due from vissouri to City and the prompt performance of all development obligations. If hissouri defaults in the performance of any obligation including, but not limited to, the payment of any sums due or the performance of any development obligation, Guarantor will pay to City on demand _.- the amount of any payment due together with reasonable attorney's fees and all costs and other expenses incurred by City in collecting or compromising the obligation due from Dissouri. If Missouri defaults in the performance of any obligation under the contract other than an obligation to Crake 8 pay'ent to City, Guarantor will upon demand pay to City such sum of money as shall be necessary to conplete the performance of the obligation, together with reasonable attorney's fees and all costs and other expenses incurred by City in collecting or compromising the same. 2. Without further authorization from or notice to Guarantor, City may alter, compromise, accelerate, extend or change the time or manner of the performance of any of N.issouri's obligations as often as City deems necessary and for such periods of time as City deems necessary, except as noted below. No exercise or non - exercise by City of any right hereby given to it, no dealing by City with N,issouri or any other Guarantor, and no change, impairment or suspension of any right or remedy of City shall in any way affect or increase any of Guarantor's obligations hereunder or give Guarantor any recourse against City. 3. If legal action is taken to enforce this guaranty or any provision hereof, such action may be against Guarantor and nay be maintained alone o. joined with any action or other proceeding against Eissouri or any other guarantor of Missouri's obligations to City. Prior action or suit against - N,issouri, whether alone or jointly with other guarantors, shall not be a prerequisite to City's right to proceed hereunder in case of T:issouri's default. The rights of City are cumulative and shall not be exhausted by its exercise of any of its rights Oj hereunder or otherwise against Guarantor or by any number of successive actions until and unless all indebtedness hereby guaranteed has been paid. 4. It is further understood and agreed that City may, in its judgment, without notice or consent, accept, release and exchange collateral securing any indebtedness or obligation of Missouri, without limiting or lessening the liability of Guarantor under this guaranty. 5. In addition to all liens cn and rights of setoff against the money, securities or other property of Missouri or of Guarantor given to City by law, City shall have a lien on and a right of setoff against all money, securities and other property of Guarantor nor. or hereafter in the possession of City. Each such lien or right of setoff may be exercised _ without demand on or notice to Guarantor, shall continue in full force unless specifically waived or released by City in writing, and shall not be deer,ed waived by any conduct of City or by any failure to exercise such right. 6. Notice of acceptance is waived. Guarantor consents to multiple extensions of any obligations of Missouri to City for periods of time that may exceed the term of the original obligation or the time within which it was required to be performed and all such extensions may be made without further notice to Guarantor. This guaranty shall remain in full force and effect until Missouri has fully performed each and every FPE -11 -G4 14 :20 FROM: ARCCSY GAMING CO. ID• 616 474 7636 • � u a� �� • •tea L.• �Ii ."t a1lpl.a V.���.1 PACE 15 10 obligation it is required to perform pursuant to the terms of the contract deseribad above. In the event yissouri defaults in any obligation to City prior to the expiration date of the term of the contract described above or any extensions thereof, Guarantor shall remain fully obligated hereunder. 7. This guaranty and the obligations hereunder shall be Linding upon Guarantor ar.d Lpv^ its successors. IN VITNLSS VHEREOF, Guarantor has caused this guaranty to be executed by its duly authorized representative on this day of 39x4. ARGOSY GAMING COMPANY a Delaware Corporation V14! Frasid nt s «o LTTEST. ecret y T C BILL 140. 31_. 15980S; 06/20/95 ORDINANCE 140. AN ORDINANCE AUTHORIZING AMENDMENT NO. 5 TO THE PERMANENT LEASE AND DEVELOPMENT AGREEMENT. WHEREAS, under the terms of the lease and development agreement, the City agreed to lease certain realty to Missouri, and WHEREAS, the probability of an adjustment of the exact location to be leased was anticipated, and WHEREAS, the exact location of the realty that Missouri wishes to lease has now been determined. ;:OW, THEREFORE, BE IT ORDAINED BY THE BOARD OF ALDERMEN OF THE CITY OF RIVERSIDE, MISSOURI, AS FOLLOWS: Section 1. The Lease and Development Agreement is amended with regard to Exhibit " A " and paragraph 3 on pages 5 and 6 to provide that the realty to be leased by Missouri from the City is legally described as follows: A tract of land located in fractional Section 9, Township 50 North, Range 33 West, Riverside, Platte County, Missouri, being more particularly described as follows: Commencing at the Northwest corner of said fractional Section 9; thence S 00 02' 00" E along the West line of said fractional Section 9 a distance of 1,591.58 feet; thence S 89 20' 30" E a distance of 1303.50 feet; to a point on the East line of the West one -half of the West one -half of said fractional Section 9; thence S 00 02" 00" E along said East line, a distance of 464.56 feet to the point of beginning of the tract of land to be described; thence N 72 35' 37" E a distance of 85.03 feet; thence S 26 46' 19" E a distance of 89.65 feet; thence N 72 35" 37" E a distance of 80.60 feet; thence S 17 27' 24" E a distance of 30.00 feet; thence S 72 35' 37" W a distance of 67.29 feet; thence S 26 46" 19" E a distance of 210.26 feet; thence N 85 16F 41" E a distance of 43.35 feet; thence S 48 20' 49" E a distance of 90.08 feet to a point on the mean vegetation line of the Northerly bank of the Missouri River; thence S 63 32' 09" W meandering along said mean vegetation line a distance of 391.96 feet to a point on the East line of the West one -half, of the West one -half of fractional Section 9; thence N 00 02" 00" W along said East line a distance of 497.08 feet to the point of beginning. Contains 97,762 square feet or 2.244 acres more or less. JUN - 26 -95 "ON 15:26 WITYCHICKLIN PO4 2 -- Section 2. The Kayor is authorized to execute Amendment No. s which is attached to this ordinance ea thnugh fully set out therein. PASSED THIS DAY OF Q m5t� , 1995 t, Av/ MAYOR r lITT Ts CI'T'Y CLERK LPPROVED THIS �Q DIY OF K&YOR as 21D w ITT&HICKLIN P_05 f f Argosy /Amendment No_ 5 56556; 06/01/95 I pKEKDYfl�'T_ N0. TO IXASE AND D WP ,ENT A(fRPx'vsr This agreement made on this 0_Q day of June, 1995, by and between THE CITY OF RIVERSIDE, MISSOURI, hereinafter called "CITY" and MISSOURI GAMING CoMpANY, hereinafter called "MISSOURI". '- WHEREAS, under the terms of the lease and development i agreement, the City agreed to lease certain realty to Vissouri, WHEREAS, the probability of an adjustment of the exact location to be leveed vas anticipated, and -- WHEREAS, the exact location of the realty that Missouri K16 hes to lease has now been determined. NOM, THEREFORE, BE IT AGREED AS VOLLMS: i Section 1. The lease and development agreement is amended with regard to Exhibit "A" and paragraph 3 on pages 5 and 4 to provide that the realty to be leased by Missouri from the City ie legally described as follows: A tract of land located in fractional Section 9, Township 50 North, Rang* 33 Nest# Riverside. Platte County, xiesouri, being more particularly described as follows: Commencing at the Northwest corner Of said fractional section 9 thence s coo 02 00" 8 along the West line of said tractional Section 9 a distance of 1 feet; thence G ago 20f. 30" E a distanoo of 1303.60 tantl to a '._ point on the East line of the Kest one -half of the Kest one -'half of said fractional Section 91 thence 8 00 Oaf i 00" Z along said East line, a distance of 464.56 feet to i tfte point of bcginnin� of the tract or land to be described; thence N 72 35 37" E a distance of 85.03 JUN - 2 6- 9 5 M o N 1!5:M-9 W ITT & H S C K U 2 N 'r F.06 _ 2 feet; thence S 26 46 19" E a distance of 89.65 feet; thence N 72 35' 37" E a distance of 80.60 feet; thenoe 8 17 27f 34n_ 2 a distance of 30.00 feet] thence 8 72 35 37" W a distance of 67.29 feet; thence S 26 46F 19" E a distance or 210.26 feat; thenoe N 95 16' 41" 8 a distance of 43.35 feetl thence S 48 20' 49" L" a distance of 9o.08 feet to a point on the mean vegetation line of the Northerly bank of the Missouri ]River; thence 8 63 32' 09" W meandering along said mean vegetation line a distance of 391.96 feet to a point on the East line of the What one -half, of the Kest one -half of fractional Section 91 thenaa N dne 07" 00" V along said East line a distance of 497.08 feet to the point of beginning. Contains 97,762 square feet or 2.244 acres more or less. - Section 2. It is sutually agreed that the golf course vial not now be located on this realty and that therefore the word •golf courts" is deleted from page 6 or the lease and development agreement, provided however, It is expressly agreed that KissourV s obligations with regard to the golf course 1 shall not otherwise be changed by this amendment. Section 3. The City, its assigns and designees shall be allowed access to and use of Line Creek. CITY Or RIVERSIDE, KI880URI eY mayor Y ATT Ti City Clerk xtssvuxa sarunv Cc�M�ANX T: ecr ary JUN -25 -95 MON 15:29 WITT &HICKLIN P. 07 =2 06 TIIU 04143 rM 2400 740ZP4D 3 -- OSG 74G 0...40 I , STATE OF KISSOURI ) ) s9. I COUNTY or nATTE On this day of June, 1995 before we appeared Betty I Burch, to Mo yoreone+l.)y known, vho, bAinq by to duly aworn, did SLY that she is the Mayor of the City Of Riverside, a political subdivision, known to me to be the person and officer whose I naiae is subacribed to the foregoing instrument, acknowledged to me that she executed the game for the purposes and consideration therein expressed, and as the free act and deed Of said City, and in the capacity therein stated, all by authority ur I.Lu Z"r1) or Allertiaell. 11% TESTIMONY UTEREOF, X have hereunto Bet my hand and Zifixed my official seal at ayy Office in the state of Missouri the day and year laat above vritte Notary Public KY commission expiress i I yak 9� rk•oG JUN -22 -93 THU 84:44 PM 2489 74831P4D 816 T46 6349 P.e7 S STATE OP �. COUNTY 01? 2116;1 On this of June, 1995 before me, Appeared . dpy to me personally n .A _ known, who b nnq by me duly sworn, did cay that ho is tho k�Gpl : Pv&s� of a corporation and that the steal affixed to the fore instrument is the corporate seal of said corporation and tha said instrument wan - cianel and cealyd in bc.iaif of said corporation by au:nority of itr, Award of Dircutora, and acid cc) :ncvledged said instrument to be the free act &(nd deed of said corporation. IN WITNESS WHI3Mr. I have hereunto set my- tiand and affixed my notarial seal at any office in the day and year last above mitten. Notary Fd blic ry commission expires: N M R OIS AL fNER OF ILLINOIS S:11 /01198 -4 12049S; 11/08/93 BILL NO. 9.3'� ORDINANCE NO. 9S'W1 AN ORDINANCE AUTHORIZING THE EXECUTION OF CONTRACT NO. 2 AND THE FIRST ADDENDUM THEREOF. BE IT ORDAINED BY THE BOARD OF ALDERMEN OF THE CITY OF RIVERSIDE, MISSOURI, AS FOLLOWS: Section 1. The Mayor and City Clerk are hereby authorized to execution Contract No. 2 and the First Addendum thereof which is attached Exhibit "A" and made a part of this ordinance as though fully set out herein. Section 2. The purpose of this contract is to enter into a temporary lease for a certain portion of the City's land and to make betwe ne he ncity not Riversidees and eand Missouri ndums to e Gaming a Comagreement Company and Argosy Gaming Company. PASSED THIS V'C�'' DAY OF -/70-V , 1993. I MAtOR ATTE L CITY CLERK APPROVED THIS DAY OF �� , 1993 . L ' �J f MAYOR L I` 12048S; 11/08/93 FIRST ADDENDUM TO CONTRACT NO. 2 BETWEEN THE CITY OF RIVERSIDE, MISSOURI' AND MISSOURI GAMING COMPANY AND ARGOSY GAMING COMPANY (OTHERWISE KNOWN AS TEMPORARY LEASE) WHEREAS, under the terms of the initial contract signed between these parties on or about June 7, 1993, Missouri and Argosy were obligated to post a $10, 000, 000. performance bond on or about September 7, 1993; and - WHEREAS, no performance bond has been posted at this time; and WHEREAS, Missouri and Argosy have requested a temporary lease and the City has previously indicated a pre-disposition to grant such a temporary lease conditioned upon the posting of the performance bond required by the initial contract; and WHEREAS, the initial contract requires the performangm bond for all on-site improvements, the guaranty of all performances due under the contract and the guaranty of all payments due under the contract. , NOW, THEREFORE, BE IT AGREED AS FOLLOWS: 1. The City agrees to execute Contract NO. 2 and this Addendum expressly conditioned upon the representations of Missouri Gaming Company and Argosy Gaming Company that they will be able to post a performance bond or in lieu thereof an escrow deposit of $10,000, 000. in a form satisfactory to the City and in the event that said performance bond and/or escrow deposit is not posted, then this temporary lease shall terminate on February 8, 1994 notwithstanding any other provision of the contract. 2. The City agrees that in the event Missouri Gaming Company is one of the initial six companies granted licenses, then the requirement of the initial contract of June 7, 1993 to post a performance bond to assure the performance of every condition of the contract is by the City waived. It is expressly understood that the obligation of Missouri Gaming Company and the corresponding guaranty of Argosy Gaming Company shall remain in full force and effect to perform each and every provision of the contract. f L 2 1. The City agrees that in the event Missouri Gaming company is ones of the first six companies to rd0viv3 licenses and in the event that Missouri Gaming Company exercises ite option in years SiX 'through twenty of the contract, then the !� obligation Of Missouri Gaminq company and Argosy Gaming Company to pont a Performance bond to assure payment of all sumo duo tha city shall be waived provided however, the obligation of Mieesouxi Gaming Company and A'9o3y Gaming CompanY pursuant to `- afftncns u � shall Aaio rce and � and MissicaningCpanyand rgosy in in GmngCOOPW agrea to post at the and of five (5) years and annually L zhareafter the total mount or payment paid on the lease for the procedi„g year on December 31st as an advance security depocit for the rent due under the contract dated June 7, 1993• L 4. All par�los to this contract agrao that misspUrj Caming Company shall. be deemed liconeed under both contract NO. I and Contract NO. 1 at any time that a liconao or other right j to operate in granted by the Hiccourl Gaming commission. CITY RIVE1�IDE, MISSOURI Ir By: E=-V Muyor ATT ST: _ L city Clerk MISS CANING OMPANY B z L AO Tr a y STATE OF MISSOURI ) bs. L COUNTY OP PLATTE fh) On this . av day of �Al&ajly _ , 1993, before me appeared natty surob, to me ppe �Wor h tbe Ci X of duxy sworn, did as that the is the y Rivoraide, a political subdivision, known to me Go be the d person anofficer whose name is Gubsoribed to the forageing instrument, acknowledged to me that she executed the same for the purposes and consideration therein expressed, and as the free act and deed of Said City, and in the capacity therein stated, all by authority of itc Board of Alderman. L- f L I L r 3 L I IN TgSTj moNY wNEREOF, X have hereunto set my hand and affixed my official .Seal at my office in said County and State L the day and year last abova written. LA M' _ Notary Yu is L , My commission expires: L i -01-0 . L STATE OF?�/'n�S,.. L6S.COUNTY OF �«�� On .his /�� day o! �aJev,tberr 1997. before, me to no personally, who, L bei g by ns duly a ern, did say that he is the �.• d na* O, tm rw v.Acn.r that the seal affixed to the fcrws� a 4 irw�t it the corporate seal of said corporation, L and that said instrument Was signed and sealed in behalf of said corporation by authority of its Aoard of Direotors, and aald ma+ s acknowledged said instrument to be the L free aot and deacT of said corporation, IN TSSTmyy FInuop, r h3vs hereunto set my hand and affixod my official teal at my office in maid county and 5tatu Lthe day and year last above written. No, ary public My commission expirem: L " O=PUBLIC. S7ATE AL ROWIN NOTARILLINOIS My CO6/:0/95 L L L L #1930Sj 10/21/93 Revised 11/04/93 L I fCONTRACT NO. 2 BETWEEN LCITY OF RIVERSIDE, MISSOURI AND r L MISSOURI GAMING COMPANY L AND ARGOSY GAMING COMPANY r i I L L L - L C LEASE AGREEMENT L This agreement made this /O� day of ln� , 1993, by and between THE CITY OF RIVERSIDE, MISSOURI, hereinafter called "City" and MISSOURI GAMING COMPANY, hereinafter called "Missouri" . WHEREAS, the City and Missouri have previously entered into a lease and development agreement relating to a small portion of the existing City park of the City of Riverside; and WHEREAS, the lease and development agreement together with r all amendments thereto remain in full force and effect and are ` not affected by this agreement; and WHEREAS, Missouri has requested the right to lease the entire City park on a temporary basis until the permanent site can be completed; and WHEREAS, the City is willing to lease the park on a temporary basis under the terms expressly agreed to herein. NOW, THEREFORE, in consideration of the promises and mutual .. covenants and conditions contained herein, the parties agree as follows: 1. DEFINITIONS. For purposes of this Agreement, the following definitions shall apply: A. Adjusted Gross Receipts. Adjusted Gross Receipts from licensed gambling games and devices less winnings paid to wagerers. 2 ( �- B. Admission Fee. The fee applicable to each person embarking on the excursion gambling boat with a ticket of admission. If tickets are issued which are good for more than one excursion, the admission fee shall be paid for each person using the ticket on each excursion that the ticket is used. If free passes or complimentary admission tickets are issued, then ` Missouri shall pay the same fee upon these passes or complimentary tickets as if they were sold at the regular and usual admission rate, however, Missouri may issue fee free passes to actual and necessary officials and employees of Missouri or other-; persons actually working on the excursion gambling boat. C. Business Day. Any weekday on which banks in Missouri are generally open for the conduct of business with bank personnel, in person, of regular banking business. D. Commencement Date. The date in which the building or the excursion gambling boat are first opened to the public or one (1) year after licensing by the State Gaming Commission whichever shall first occur. L E. County. Platte County, Missouri F. Default. Any monetary default or non-monetary default. L 3 L L r ' I G. Docking Fee. The fee charged now or hereafter charged by the City for docking. H. Estoppel Certificate. A statement in writing containing all (or, at the option of the requesting party, only some of) the statements set forth in the form attached as Exhibit "C" and containing such additional non-confidential information relating to this lease, the premises and the excursion gambling boats, as the requesting party may reasonably specify. I. Fiscal Year. Missouri's actual fiscal year as in effect from time to time. Such term shall also mean r and refer to any partial fiscal year arising because of a change in Missouri's fiscal year or because of a variation between the commencement date of Missouri's fiscal year and the date when Missouri is required to commence to pay Percentage Rent (subject to proration of any payments calculated on the basis of a fiscal `- year) . J. Golf Course. A Par-3 golf course located in part on land belonging to the City and leased to Missouri under the terms of this agreement and in part on land owned by Missouri and all of the land being leased and �. controlled by the City. K. Tenant's Annual Statement. A statement of the adjusted gross receipts and admission fees for the L a L premises and the excursion gambling boat for each _ fiscal year for which percentage rent is due under this lease, prepared by the accounting department of Missouri and delivered to City on or before the one hundred twentieth (120th) day following the fiscal year. r L. Unavoidable Delay. Delay in performance of any obligation under this lease excluding any obligation to pay money arising from or on account of any cause arising beyond the reasonable control of Missouri to perform the obligation shall be the following, strikes, flood, condemnation, government pre-emption (including Corp of Engineering permits and j' environmental permit that are processed by Missouri in a timely manner which the City shall be the sole judge of whether Missouri is using its best efforts to process all such permits in a timely manner) , war, riots, and any other cause beyond the party's reasonable control whether similar or dissimilar to the cause specifically enumerated in this paragraph, �Lbut in no event shall unavoidable delay be deemed to include any delay caused by the Missouri's financial condition. 2. LEASE. Missouri leases from the City the following �- realty: , 5 (SEE ATTACHED EXHIBIT 11111) - Subject to easements, restrictions and covenants of record and subject to certain streets within the park that were dedicated and never built and are in the process of being vacated. 3 . TERM. The term of this lease shall begin on the 15th day of November, 1993 and expire on the 15th day of November 1995 subject to the following contingencies: A. In the event that Missouri shall encounter unavoidable delay with Corps of Engineers permitting process on the permanent site, then to the extent the City Council of the City of _ Riverside may bind a subsequent City ;Council, both parties agree to use their best efforts to re-negotiate the lease for an additional period of not more than twelve (12) months. B. Notwithstanding the foregoing provision of this lease, Missouri may terminate the lease after thirty (30) days written notice in the event of the following contingencies: ` (1) The permanent site has been completed and is being used for the operation of the riverboat gaming facility; and ` (2) Missouri has removed all improvements or _ additions and restored to the park so far as `- practical to its original condition. L 6 _ (3) OR the application of Missouri to the _ Missouri Gaming Commission has been declined and Missouri had removed all improvements or additions and restored to the park so far as practical to its original condition. C. Notwithstanding the foregoing paragraph 3A, Missouri shall also have a right to extend its lease subject to payment of the monthly fee of Thirty Three Thousand Three Hundred and Thirty Three Dollars ($33, 333. 00) for twenty four (24) months from licensing provided however, nothing in this paragraph shall permit Missouri ta .lease for more than thirty-six (36) months. - 4 . CONSIDERATION FOR LEASE. A. Initial Monthly Payment. Missouri shall pay to City the sum of Seven Hundred Ninety Nine Thousand Nine Hundred Ninety Two Dollars ($779,992 . 00) payable monthly in advance at the rate of Thirty Three _ Thousand Three Hundred and Thirty Three Dollars ($33 , 333 . 00) per month subject to a monthly reduction for early termination pursuant to paragraph 3 above. Notwithstanding any other provision of this lease, the monthly fee of Thirty Three Thousand Three Hundred and Thirty Three Dollars ($33 , 333 .00) shall be reduced to 7 r' f Ten Thousand Dollars ($10,000. 00) per month (in - addition to the Ten Thousand Dollars ($10, 000.00) paid this lease until a license is granted by the Missouri Gaming Commission. - 5. ON-SITE IMPROVEMENTS BY MISSOURI. It is expressly understood that the City shall have no obligation to make any on-site improvement and Missouri shall make the following on-site improvements: A. Build a hard surface parking facility in _ accordance with specifications satisfactory to the City's engineer and/or the City Council. - B. Furnish a maintenance bond in the amount of $5, 000. 00 to assure the maintenance of the hard surface parking facility at all times it is in use. �- C. It is expressly agreed that it shall be the - obligation of Missouri to remove the hard surface parking facility prior to the end of the lease and that the City may have the option to use any rock, asphalt or other materials that have been i used in the construction and/or maintenance of _ the said parking facility and/or streets that are a _ `" required to be removed. It shall be the L L -- - obligation of Missouri to remove the rock and - gravel and to deposit it at the location in the ` City designated by the City. It shall be the obligation of the City to make said elections and designations in such a manner that it does not cause undue delay to Missouri. _ D. The parking facility shall be constructed for 800 passenger vehicles based on size determinations of the City's current zoning order and other ordinances of the City. I L E. The construction of a permanent street for access from the Interstate highway south through the �- City's park in accordance with the City's - ordinances for permanent streets. The street shall be not less then fifty two (52) feet wide (roadway - four (4) twelve (12) foot lanes) with appropriate street lighting, storm drainage, railroad signaling, drainage, lighting, and _ permanent chain link fence. 6. SECURITY. It shall be the obligation of Missouri to - provide all security on the facilities to secure a safe and secure environment for the members of the public that enter the facilities. 7. TAXES. In the event of any ad valorem tax or other tax being assessed against any of the property described in - L 9 -- i this agreement, then it shall be the obligation of Missouri to — discharge that tax. 8 . ZONING CLAUSE. Zoning for the permanent site has already been obtained by Missouri. Missouri shall promptly make an application for the appropriate zoning for this site and/or waivers with regard to the failure to construct a hard surface parking lot in accordance with the City's existing regulations and ordinances for hard surface parking lots. In the event that the zoning is not granted, then this lease shall L - terminate thirty (30) days after the final refusal of the City to grant riverboat gaming on the park property. r 9. LIGHTING. It shall be the obligation of Missouri to construct appropriate lighting to the satisfaction of the City - Engineer for the parking facility. The City may have the option to acquire the lights without cost at the termination of this agreement. It shall be the obligation of Missouri to remove the lights and it shall be the City's obligation for replacement and reinstallation of the lights at the new _ locations. Both parties agree that they will cooperate in attempting to use lights that are adequate for the temporary facility and which may later be used in the City's parks. 10. USE OF PROPERTY. Missouri shall comply with all City and state rules and regulations concerning its utilization _ of the gaming site for the duration of this agreement. 10 �- 11. MEANS OF PAYMENT. Tenant shall pay all rent by — ' either of the following methods, at Missouri's election, which election Missouri may change from time to time by at least thirty (30) days' notice to City; (a) check (subject to collection) delivered to City at the address provided pursuant to Article 26 of this lease; or (b) wire transfer to . City's _ bank account, which City shall identify to Missouri upon request (and City shall have the right to change the bank account so designated from time to time by at least thirty (30) days' notice to Missouri) . 12 . INDEMNIFICATION. Missouri shall indemnify and hold harmless the City for any and all losses, damages or claims of all types and descriptions which may be claimed against the City as a result of the use of the real estate described in this lease or of claims, losses or damages of any kind that may arise as a result of the gaming operation. 13 . INSURANCE. Missouri shall, at Missouri's sole cost and expenses, during the term, maintain or cause to be maintained, the following insurance (or its then reasonably available equivalent) : A. Liability. Commercial general liability insurance against claims for personal injury, Ldeath or property damage occurring upon, in or about the premises, including, if Missouri shall L operate or dock excursion gambling boats from the Lpremises, protection and indemnity insurance with 11 I - respect thereof. The coverage under all such — liability insurance shall be at least Five Million Dollars ($5, 000, 000. 00) in respect of injury or death to a single person, and at least — Twenty Million Dollars ($20,000,000. 00) in respect of any one accident, and not less than — Five Million Dollars ($5, 000, 000. 00) for property damage. B. Workers" Compensation. Workers' compensation insurance covering all persons employed in L connection with the construction, alteration, — repair or operation of the premises, amd - with respect to whom any claim could be asserted — against City or the fee estate. Any or all workers' compensation insurance required by this lease may be provided through a self-insurance — f program, provided that such program is approved by the appropriate State insurance regulator. C. First Rent Period. During the first rent period, Missouri shall also provide or cause its contractors to maintain contractor's commercial general liability insurance having a combined single limit of not less than Five Million — Dollars ($5, 000, 000.00) (and, if the contractor 12 L. r �- is undertaking foundation, excavation or demolition work, an endorsement stating that such operations are covered and that the "XCU Exclusions" have been deleted) . D. Policy Requirements and Endorsements. All insurance policies required by this lease shall contain (by endorsement or otherwise) the ` following provisions: (1) Additional Insureds. The City shall be an additional insured on all policies of liability insurance and workers' compensation insurance. (2) Primary Coverage. All policies shall be written as primary policies not contributing L with or in excess of any coverage that any additional insured may carry. (3) Contractual liability. Policies of liability insurance shall contain contractually assumed liability coverage, relating to Missouri's indemnity obligations under this lease. (4) Insurance Carrier Standards. Each rated insurance carrier shall be authorized to do business in the State and shall have a "Best's" rating of at least B+-VI or its equivalent. 13 L I�- E. Deliveries to City. Missouri shall deliver to City certificates or certified coverage summaries of the insurance policies required by this lease, at least ten (10) days before expiration of any then current policy. F. Blanket and Umbrella Policies. Missouri may provide any insurance required by this lease pursuant to a "blanket" or "umbrella" insurance policy, provided that such policy otherwise complies with this lease. 14 . DAMAGE OR DESTRUCTION. A. No Rent Abatement. There shall be no abatement or reduction of any rent or any other sums due under this agreement on account of casualty, flood, failure to permitting, inability to use the site through the failure of wetlands improvement, Corps of Engineers denials, failure to obtain the right to discharge sewage, or any other reason not specifically set forth in this agreement. 15. CONDEMNATION. A. Substantial Condemnation. In the event a substantial condemnation shall occur to any of the land rented to Missouri, then this lease shall not terminate and the City shall be entitled to all condemnation awards less the 14 amount Missouri has actually spent on the public street and/or parkway. i B. Prompt Notice. If either party becomes aware L of any condemnation or threatened or contemplated condemnation, then such party shall promptly give notice thereof to the other party. C. Insubstantial Condemnation. In the event of an L insubstantial condemnation, then the City shall be entitled to the proceeds. 16. TRANSFER BY MISSOURI. Missouri may assign, sublet, L mortgage, pledge or transfer all of its interest under this agreement to any affiliate who acquires all or substtially L all of its assets or common stock. No other assignment is Lpermitted without the express written consent of the City which shall not be unreasonably withheld. This paragraph shall not L be interpreted to prohibit assignment, routine subleasing of any of the property of Missouri which is not on the leased i �. premises. 17. BANKRUPTCY. If Missouri (as debtor in possession) L or a trustee in bankruptcy rejects this lease in connection with any proceeding involving Missouri under the United States Bankruptcy Code or any similar state or federal statute for the relief of debtors (a "Bankruptcy Proceeding") . City shall be entitled to such other relief as the law may permit in addition L to the recording of the lease. ( 15 I 18 . STATUS OF TITLE. Missouri shall have a right to satisfy itself within thirty (30) days of the execution of this lease of the status of the City's title to the property. So long as the City has not terminated this lease on account of an event of default by Missouri, then Missouri may peaceably and - quietly have, hold and enjoy the premises for the term without molestation or disturbance (except as to the sublease to the City) . 19. MEMORANDUM OF LEASE. in lieu of recording this L document, the parties may record a memorandum of lease. L 20. FORCE MAJEURE. Missouri's obligation to perform and observe any term, condition, covenant or agreement on L Missouri's part to be performed or observed pursuant to this lease (other than Missouri's obligation to pay any item of rent L when due) shall be suspended during such time as such performance or observance is prevented or delayed by reason of any unavoidable delay. �- 21. ACCESS. The City and its agent, representatives and designees shall have the right to enter the realty described in this lease together with the surrounding realty which is developed at the gambling site after reasonable notice to Missouri during regular business hours. 22 . DEFAULT. The term "event of default" shall mean and refer to the occurrence of any one or more of the following L circumstances: 16 L �- A. Monetary Default. A monetary default shall occur if Missouri after ten (10) days written notice of default specifying money due to the City shall fail to pay the same. B. Non-Monetary Default. If a non-monetary default shall occur and the non-monetary shall continue and not be remedied by Missouri within ninety (90) days after City shall have delivered to Missouri notice of default describing the same in reasonable detail. If Missouri shall not (a) L, within thirty (30) days after City's notice advise City of Missouri's intention to take all reasonable steps necessary to remedy such j non-monetary default due; (b) duly prosecute the L cure of such non-monetary default within.: the 'L period and then diligently prosecute the completion of the remedy of the non-monetary L default and (c) complete such remedy within sixty (60) days. L C. Remedies. City may exercise any or all of the following remedies and any other remedies provided for under this lease or available by L law, all of which shall be cumulative under this lease: (a) City may collect the liquidated damages and the lease shall remain in full force 17 y �- and effect: (b) City may proceed to collect the performance bonds due under this contract; (c) City shall have the right to proceed by appropriate judicial proceedings, either at law or in equity, to enforce performance or observance by Missouri of the applicable provisions of this lease or to recover damages against Missouri for breach of this lease; or (d) City may give Missouri a notice of intention to end the term at the expiration of thirty (30) days from the date of service of such notice of f intention. Upon the expiration of such" thirty '�- (30) day period, unless Missouri shall have cured the event of default that gave rise to such notice and, subject to Section 39 of this lease, this lease, the leasehold estate and the term shall terminate and City shall retake possession L of the premises and all rights of Missouri shall Lcome to an end with the same effect as if that day were the expiration date of this lease. Missouri shall peaceably and quietly yield up and surrender to City the premises. D. Re-entry. Upon the occurrence of an event of default and the termination of this lease as �- provided in this article, City or City's agents 18 r and employees may re-enter the land, or any part of the land constituting the golf course or L gambling premises either by summary dispossess I proceedings or by any suitable action or proceeding at law, and may repossess the same. L 23 . TERMINATION. Upon the termination date, whether by expiration of this lease or by default, Missouri shall remove �- all of its improvements and restore the site to the same condition as it was prior to the lease so far as practical. The options of the City to retain and use certain gravel, asphalt, lighting, etc. shall not be affected by this paragraph. The permanent street which is built by Missouri L- will be dedicated as a street and upon acceptance by the City f will be treated as a public street within the park. It is L presently anticipated that the street will be used by both the permanent facility and by the City to serve the City park. 24 . WAIVERS. L A. No Waiver by Silence. Failure of either party to complain of any act or omission on the part of �- the other party shall not be deemed a waiver by the non-complaining party of any of its rights L under this lease. No waiver by either party at i L any time, express or implied, of any breach of any provisions of this lease shall be a waiver of L a breach of any other provision of this lease or 19 L L a consent to any subsequent breach of the same or any other provision. No acceptance by City of any partial payment shall constitute an accord or satisfaction but shall only be deemed a partial payment on account. B. No Landlord's Lien. City confirms and acknowledges that City has n lien or security ` interest in any personal prop rty located in, on or at the land, and that such property shall not constitute security for payment of any rent. If r any statute or principle of law would grant City - any such lien or security interest, then:: City hereby waives the benefit of any such statute, principle and such lien. City further agrees to execute and cause any fee mortgagees to execute f ' such -documentation, in recordable form, as Missouri shall reasonably require to confirm the �- foregoing waiver. iL 25. ESTOPPEL CERTIFICATES. A. Failure to Execute Estoppel Certificate. If: L (a) the requesting party delivers an estoppel certificate request to the certifying party in Laccordance with the notice provisions of this lease; and (b) ten (10) business days have ` elapsed from the effectiveness of such estoppel L20 i,L certificate request and during such period the certifying party has failed to execute and deliver to the requesting party (or its attorneys or the third party(ies) designated by such requesting party) the estoppel certificate counterpart(s) provided by the requesting party, setting forth with reasonable specificity any alleged exceptions to the statements required to be contained in such estoppel certificate, then the certifying party shall be deemed for all purposes, whether or not this lease has been terminated or is otherwise in full force and effect, to have executed and delivered to the third party and the requesting party an estoppel "- notice, dated as of the effective date of the estoppel certificate request, in the form submitted by the requesting party to the certifying party. 26. NOTIc S. All notices shall be in writing and shall be addressed to Landlord and Tenant as set forth below. Notices shall be: (a) delivered by Federal Express or other courier service to the addresses set forth below, in which case _ they shall be deemed delivered on the date of delivery to the address(es) set forth below; (b) sent by certified mail, return receipt requested, in which case they shall be deemed delivered 21 three (3) business * days after deposit in the United States mail, provided that no postal strike is then in effect; or (c) transmitted by facsimile transmission (promptly followed by delivery upon option "a" or "b") , in which case they shall be deemed delivered the first business day after delivery has been electronically confirmed by the recipient's facsimile machine, as evidenced by the written confirmation produced by the sender's facsimile machine. No notice shall be effective unless and until a copy of such notice has been delivered to the intended recipient's mortgagee(s) , to the extent such delivery is otherwise required by this lease. Either party may change its address, - its facsimile machine number, or the, name and address of its attorneys by giving notice in compliance with this lease. Notice of such a change shall be effective only upon receipt. Notice given on behalf of a party by any attorney purporting to represent a party shall constitute notice by such party if the attorney is, in fact, authorized to represent such party. The addresses and facsimile machine numbers of the parties are: Landlord: City Clerk City of Riverside P. O. Box 9135 4500 High Drive Riverside, Mo. 64168 Telephone No. (816) 741-3993 with a copy to: _ Don Witt Witt & Hicklin, P.C. P. O. Box 1517, 4th & Main Platte City, Mo. 64079 Fax No. (816) 431-3009 22 Tenant: Missouri Gaming Company 4443 NW Gateway Riverside, Mo. 64150 Fax No. 741-5423 with a copy to: Argosy Gaming Company Office of General Counsel 219 Piasa Street Alton, Illinois 62002 Fax No. (618) 474-7636 27 . NO THIRD PARTY BENEFICIARIES. Nothing in this lease shall be deemed to confer upon any person (other than City, Missouri or any guarantors of Missouri's obligations) any right to insist upon, or to enforce against City or Missouri, the performance or observance of either party of its obligations under this lease. 28 . INTERPRETATION. No inference in favor of or against any party shall be drawn from the fact that such party has drafted any portion of this lease. The parties have both " participated substantially in the negotiation, drafting and revision of this lease with representation by counsel and such other advisers as they have deemed appropriate. Material in brackets constitutes parenthetical material within other parenthetical material and is intended to be part of this lease. The words "include" and "including" shall be construed to be followed by the words: "without limitation. " 29. CUMULATIVE REMEDIES. The remedies to which either party may resort under this lease are cumulative. 23 f 30. RIGHT OF INJUNCTION. In the event of a breach by either party of any of its obligations under this lease, the other party shall have the right to seek an injunction, in y addition to the rights and remedies provided for under this lease. 31. AMENDMENT. Any modification or amendment to this lease must be in writing signed by City and Missouri and consented to by any - leasehold mortgagee(s) having the right to consent to amendments or modifications of this lease pursuant to the terms of this lease. Modifications or amendments of this lease executed by either party may be exchanged and delivered by facsimile transmission, and shall be effective upon such transmission. The parties shall promptly exchange original signature counterparts of amendments executed by either party and initially exchanged and delivered by facsimile transmission. 32 . PARTIAL INVALIDITY. If any term or provision of this lease or the application of such term or provision to any party or circumstance shall to any extent be invalid or unenforceable, then the remainder of this lease, or the application of such term or provision to persons or circumstances other than those as to which it is invalid or unenforceable, shall not be affected by such invalidity, and each remaining term and provision of this lease shall be valid and be enforced to the fullest extent permitted by law. 24 L - L ♦� . �.+Ap�;p}�TVA W �a �S,�cn���uaf��ana iry�ia tion and perlt7�Lt"�neaabe fin. the lana of the state of Missouri- %t is agreed that it bar- been ecbeen executed in Platte County, '.lissour=. n. . Whenever this: lease racluires either 34• agm party to perform any action within a specified period, ar requires that a particular even: cccur within a specified period, if the last day of such paricd is not a buEiness dayj than tho poria nball ba dccmed oxtondod through the close of bucintEE on the first businecc day fcilowing ruch period sG initially Specified. it shall ba the specific oblivatio•.•j os Miusouri to oomplete L 4..rpAlrwr7 1•wlainry Inv', 4•he .+i�vnn� w..a •.71 light{nry rt•if1t to the operation of any eommerciEi activity on the Frits- SN WITNESS WHEREOF, City and Missouri have duly executed I this lease on /D 1992. CITY OF RIVERSIDE, _MISSOURr i4uyo:.- ATTST: J City clerk U �- MiDDV ma vvM[ NY V. .rAxT T: Secr ary 25 f ' 6TATE OF MISSOURI COUNTY OF PLATTE On this J,►L f��tt,,., day of y 1993, before me ' � Ir appeared Betty Burch, to me personally known, who, being by me duty sworn, did may that she is thR Mayor of the City of Riverside, a political subdivision, known to me to be the person and officer whose name is subscribed to the foregoing instrument, acknowledged to me that she executed the Zama for the purposes and consideration therein expressed, and as the froo not and dood of eaid City, and in tho capacity thormin Y stated, all by authority of its board of Aldermen. IN TESTIMONY WHEREOF, I have hereunto set my hand and affixed my official seal at my office in said County and State the day and year last above written. Notary PUblic 'commission expires: ' i ry r ~ 26 L L L L -y t5TAT8 OF �Ji.f cis ss. COUNTY OF On this 10 f4^ day of �^ � 1993, before mo to ma poroonally Rhovn, wbo, appeared bainq by me duly loom did say that he is the �:�-• beingll%nn...% �� oma^ that th's Seal affixed to the ooregv�gain ns x went i the corporate Seal of said eorgoration, and Chit said lent ant vas signed and sealed in behalf of and said cvrgornt on by actino ladged gaidg its Boins rumentr too brs e the free act aard of I said � Or said c rporation. iN TESTIMONY WHEUEOF, x have hereunto set my band and affixed ley official seal at my ortica in said County anA "ato tha day and year just above written. & k;-00y Publlo --- My commission expiros>: OFFICIAL S A ^ E L 1RO9IN L. BAI.DWIN NOTARY PUBLIC, STATE OF ILt IN01S MY COMMISSION XP186S 6/20/95 L i� 27 I L L EXHIBIT "1" A tract of land located in fractional Section 9, Township 50 North, Range 33 West, Riverside, Platte County, Missouri, being L more particularly described as follows: Commencing at the Northwest corner of said fractional Section 9; thence S 890 20' 14" E along the North line of said fractional Section 9 a distance of 1,303.50 feet to the East line of the West one-half of the West one-half of said fractional Section 9; thence S 000 02' 00" E along said East line a distance of 290.77 feet to a point on the South right-of-way line of the Chicago, Burlington and Quincy Railroad, and the point of beginning of the tract of land to be described: thence S 690 35' 25" E along said South right-of-way line a distance of 910.66 feet to the centerline of Zeke Road as established by the plat of "Red X Plaza" as recorded in the Platte County Recorder's Office in Plat Book 6 at Page 34; thence S 200 24' 35" W along said centerline a distance of 55.00 feet; thence continuing on said centerline on a curve to the left, tangent to the last described course, having a radius of 555. 15 feet, a. chord bearing S 160 47' 18" W, and an arc distance of 70. 19,+ feet; L thence S 690 35' 25" E parallel with said South railroad right-of-way line and along the South line and South line extended of a tract of land described in Book 732 at Page 308, a distance of 439.30 feet to the East line of said tract of land; thence S 000 01' 36" W along said East line and parallel with the East line of the Northeast Quarter of said fractional Section 9, a distance of 1,130.35 feet more or less to the mean vegetation line of the Northerly bank of the Missouri River; thence N 820 55' 52" W meandering along said mean vegetation line a distance of 47.92 feet; thence S 810 52' 31" W continuing along said meander line a distance of 152 .58 feet; thence S 490 18' 07" W continuing along said meander line a distance of 150.97 feet; thence 8 220 00' 16" E continuing along said meander line a distance of 52.58 feet; thence S 800 12' 23" W continuing along said meander line a distance of 111.72 feet; thence S 690 15' 43" W continuing along said meander line a distance of 428. 63 feet; thence S 630 32' 09" W continuing along said meander line a distance of 468.74 feet to a point on the East line of the West one-half of the West one-half of said fractional Section 9; thence departing from said mean vegetation line of the Northerly bank �- of the Missouri River N 000 02' 00" W along the East line of the West one-half of the West one-half of said fractional Section 9 a distance of 2, 262.35 feet more or less to the point L of beginning, Except that part in roads as shown on said plat of "Red X Plaza", contains 47.89 gross acres (2, 086,471 square feet) or 44.68 net acres (1,946, 636 square feet) more or less; L Except the Northern most 125 feet of said Zeke Road which lies South of said South railroad right-of-way line; and except those portions of the above described tract which were previously leased to the Missouri Gaming Company and/or Argosy �- Gaming Company. 28 #27075; 02/07/94 BILL NO. 9Al-l„Z ORDINANCE NO. AN ORDINANCE AMENDING THE CONTRACT AND LEASE WITH MISSOURI GAMING COMPANY AND RATIFYING THE CONTRACT AND LEASE WITH MISSOURI GAMING COMPANY AS AMENDED. WHEREAS, the Board of Aldermen on the 3rd day of June, 1993, adopted Ordinance 93-26 authorizing the City to enter into a contract and lease with the Missouri Gaming Company; and WHEREAS, the city did enter into such contract and lease with Missouri Gaming Company on June 3, 1993; and WHEREAS, the City previously amended its contract with the Missouri Gaming Company; and WHEREAS, the Missouri Supreme Court found that certain portions of the gambling referendum to be unconstitutional; and WHEREAS, the attachment to this ordinance which is Amendment No.determined4 by othe the Cityssouri to be inming the best Company intere interests contract been of the City's residents. NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF ALDERMEN OF THE CITY OF RIVERSIDE, MISSOURI, AS FOLLOWS: Section 1. The amendment to this contract and lease with Missouri Gaming Company which modifies the original contract and lease n adopted and made apart Hofs this ordinance thereto and 3 hereby inance asthough fullyet Out therein. Section 2. The amendment to this contract marked Amendment No. 4 is made a part of this contract as though fully set out therein. Section 3. The City intends by this ordinance to ratify IL the entire contract and lease with Missouri Gaming Company including the amendment hereto attached. Section 4. The Mayor and City Clerk are directed to take such further action as may be necessary to implement the intent of this ordinance. DAY OF , 1994 . PASSED THIS MAYOR ATT T: CITY CLERK �/ , 1994. APPROVED THIS /�DAY OF MAYOR L L L P . 00 4. ARGOSY/Amendment No. 4 12703S; 02/04/94 Revised 02/07/94 axeNnMENT NO, 4 TO LFASE AND DEVELOPMENT AGREEMENT This agreement made on this .CIS day of February, 1994, by and between THE CITY OF RIVERSIDE, MISSOURI, hereinafter called "City" and MISSOURI GAMING COMPANY, hereinafter called "Missouri". WHEREAS, the parties on the 7th day of June, 1993, entered into a Lease and Development Agreement for certain land in the City of Riverside which provided among other things for interim monthly payments and a minimum guaranteed rent and payments for a golf course and park; and WHEREAS, a performance bond in the amount of $10,000,000. was required by the contract to be posted in order to secure that the development promises were completed; and WHEREAS, the contract was amended by Ordinance on July 6, 1993, extending the' date for Missouri to make the appropriate Zoning application until August 30, 1993; and WHEREAS, the contract was amended on July 20, 1993, by an escrow agreement by which $6,600, 000. was placed in escrow with the firm of Donaldson, Lufkin and Jenrette; and wHEREAS, the contract was further amended by Amendment No. P. 06 rti \. 2 3 to provide that the City had a first priority security interest in the $5,000,000. cash as advance rent deposited with the independent escrow agent; and WHEREAS, Missouri and City subsequently entered into a lbabe b9I:UW„1211'6 u11 b porLiori Oi the LILY Yd1rx w1iiCU plu"U” among other things for a monthly payment and monthly rent for the temporary use of the City Park; and WHEREAS, the supreme Court of the State of Missouri has declared that certain portions of the referendum passed by the voters were unconstitutional thereby necessitating a new statewide election and which may also necessitate an additional local election; and WHEREAS, Missouri desires to continue to pursue obtaining a gaming license for those activities legally permissible and commence operations within the City of Riverside on the interim site. NOW, THEREFORE, in consideration of the promises and mutual covenants and conditions contained herein, the parties agYee as follows: 1. In the event that Missouri obtains a gaming license and commences operation, then Milsouri shall immediately release from the escrow account $600,000. which is part of the development promise of paragraph 10 of the contract. The City agrees that it will delay demand of a release of the remaining $6,000,000. until the question of permitting slot machines is P. 137 3 resolved by favora ✓✓s tewwide vote of the people and if 30- necessaryWro -G,a loeallvote pluusthirty (30) days thereafter. 2. it is agreed and understood that the release of the $600,000. may be used by the city for the building of the golf course but the City may not be required to use the $600,000. for this purpose, and may use this sum in any way it deems appropriate. It is further agreed that under no circumstances will the sum be credited or repaid back to Missouri. 3. 1t is further agreed that all interim rent payments under the initial contract of June 7, 1993 and under the subsequent lease agreement of November 10,. 1993, will continue. 4. The parties recognize that it is the position of the �- City that the remainder of the escrow deposit JILAURL99-01 is due on such date when slot claming begins.- by Missouri in the City of Riverside, It is agreed that the 5600.000, shall-0-21 be required to be reoaid to the escrow agent for subseouent L payment to the City of Riverside. 5. The initial contract between the parties provided that the term of the lease begin on commencement date as defined in said contract. The parties mutually agree that the term of this lease is modified so as to begin on a date thirty (30) days after the favorable vote by the citizens of the State as or vine the constitutional amendments which legalizes games of skill end chance by the citizens of the State of Missouri and py the City, if necessary. P. 08 /1 a 4 6. The City agrees to defer the requirement of the posting of a $10,000,000. performance bond only until ninety (90) days after the favorable vote by the State and City legalizing games of skill and which is presently anticipated to occur on or about April 5, 1994. 7, The parties agree that all provisions of the initial agreement and amendments thereto shall remain in full force and effect except as expressly modified by this Amandment. CITY Or RIVERSIDE, MISSOURI By: ALM 46WA44 Mayor ATT T: c Pit'1uh� City Clerk. v MISSOURI GAMING COMPANY By: �;erly'/ et P . 09 5 STATE OF MISSOURI ) ) 6e• COUNTY of PLATTE ) On this ,_L0q., day of February, 1994, before me appeared Betty Burch, to me personally known, who, being by me duly sworn, did say that she is the Mayor of the City of Riverside, a political subdivision, known to me to be the person and officer whose name is subscribed to the foregoing instrument, acknowledged to me that she executed the same for the purposes and consideration therein and in then capacitya therein st ted,and as the free cct all and by deed of said City, " authority of its Board of Aldermen. IN TESTIMONY WHEREOF, I have hereunto set my hand and affixed my official seal at my Office in said County and State the day and year last above written. Notary Vblid My commission expires: a.rtasy Public • state of Missouri Commissioned in Plstte county i� Coasission Bxpises Dec. 21, 3.997 P. le 6 STATE OFt ea I ) ss. COUNTY OF uow ) On this 7A day of February, 1994, before fie, appeared0.1WyL- G' duly sworn, did say ethpersonally known, who being by me Y e is thay(•t A C. F.O• of Missouri Gaming Company, that the seal affixed to the foregoing instrument is the corporate seal of said corporation and that said instrument was signed and sealed in behalf of said corpor tion by authority of its Board of Directors, and said AMA b UV*'" acknowledged said instrument to be the free act and deed of said corporation. IN.WITNES5 WHEREOF, I have hereunto set ply hand and affixed my notarial seal at my office in said County and State, the day and year last above written, J2 Votary lic My commission expires: =PUBLIC-STATE SEAL" . �- HUBBARD TATE OF ILLINOIS- UNTY. Il.IRES DEC. 9, 1994 L L. ` Argoey/Amendment No_ 5 $8556; 06/01/98 AIM== IR& J To mass AND DInMOPHUNT AOREEMM This agreement.made an this AQ day of June, 19956 by and between THE CITY OF RIVERSIDE, MISSOURI, hereinafter called "CITY" and MISSOURI GAMING COMPANY, hereinafter called "MISSOURI". WHEREAS, under the terms of the lease and development agreement, the City agreed to lease certain realty to Missouri, and WHEPIM, the probability of an adjustment of the exact location to be leased was anticipated, and WHEREAS, the exact location of the realty that Missouri Washes to lease has now been determined. NOR. THEREFORE, BE IT AGREED AS FOLLOWS: i section 1. The lease and development agreement is amended with regard to Exhibit "A" and paragraph 3 on pagan 5 and 6 to provide that the realty to be leased by Missouri from the city Is legally described as follows: A tract of land located in fractional Section 9, Township SO. North. Range 33 Woot, RiV"Vida. Platte 1;94nty, Missouri, being more particularly described as followss Commencing at the Northwest corner of said fractional Section 91 thence 6 000 021 00" s along the West line of said fractional Section 9 a distance of 1,591.58 feet; thonce r. ago 20f. 30" E a distance of 1303.50 foOtJ to a i point on the East line of the West ona=half of the Nest one-half of said fractional Section 91 thence S 000 024 00" E along said East line, a distance of 460.56 feet to Me point of beginning of the tract of land to be described; thence N 720 350 37" E a distance of 85.03 2 feet; thence 8 260 460 19" E a distance of 89.65�enoet$ thence N 720 350 37" E a distance of 80.60 feet; 170 270 14" B a distance of 30.00 feet; thence 9 720 3511 37" N a 'distance of 67.29 feet; thence 9 260 46# 1g" E a distance 0! 310.36 teat; thence N 850 16' 41" E a distance of 43.25 feeti thence S 480 20' 49" E a distance of 90.08 feet to a point on the mean vegetation line Of the Northerly bank of the ?Missouri River; thence S 630 321 o9" W meandering along said mean vegetation line a distance of 391.96 feet to a point on the East line of the hest one-half, of the West one-half of fractional Section 9; thanoa N Ono 02' 00" W along said East line a distance of 497.08 feet to the point of beginning. Contains 97,762 square foot or 2.244 acres more or less. Section 2. it is mutually agreed that the golf course will not now be located on this realty and that therefore the word •golf course" is deleted from page 6 OC the lease and development agreement, provided however, it is expressly agreed that "Issourils obligations with regard to the golf course shall not otherwise be changed by this amendment. Section 3. The City, its assigns and designees shall be allowed access to and use of Line Creek. CITY OF RIVERSIDE* MISSOURI $y: i `- Mayor ATT x: City Clerk Alb'tlOtllt1 -IsAlll�a(s/ ecr ary �L a BTATB OF M1880UR1 ) i9. �- COUNTY Or PIATTE on this A&dday of June, 1995, before as appeared Betty Burch, to me yeroonaUy known, who, being by ma duly sworn, Qid may that she is the Mayor of the City of Rivarsida, a political subdivision, known to me to be the person and officer whose name is subscribed to the foregoing instrument, acknowledged to me that she executed the same for the purposes and consideration therein expressed, and as the free act and dead of said City, and in the capacity therein stated, ' all by authority wr iLs board or AldermEn. ;N TZSTXMONX WHEREOF, X have hereunto not my hand and affixed my official seal at my office in the State of Missouri the day and year last above writte 4tt. Notary public My commission expires: f L L L L. iL L . 4 STATE OF �. COUNTY OF21 11 On this �� Py of June, 19950 before not appeared 4 __ tJ to me personally n known, who bAnq 'by me duly swor , did Day that ho Ir. tho Vl 10i1u President or �..�p�c a corporation and that the seal affixed to the forego i g instrument is the corporate seal of said corporation and that said instrument was signed and sealed in behalf of said carpqrAtion by authority of L_ iLe board of Direutore, and said �g acknowledged said instrument to be the free act dnd dead of said corporation. rN wrmus wars OF, X have herikuntp set my_jand and affixed my notarial seal. at my office in Lthe day and year last above written. Notary A blit L Bycommission expires: 11-1- , L OFFICIAL SEAL CAROLYN M ITTNER NOTARY PUBLIC,STATE Of ILLINOIS MY COMMISSION EXPIRES:11/01/90 L I L L.. v