Exhibit 10.2
PNC LEASING, LLC
PNCBANK
SCHEDULE OF LEASED EQUIPMENT
(CONDITIONAL SALE)
SCHEDULE NUMBER: -001
MASTER LEASE AGREEMENT NO.:
MASTER LEASE AGREEMENT DATE: JANUARY 27, 2000
LESSEE: MOUNTAINEER PARK, INC. SUPPLIER: INTERNATIONAL GAME TECHNOLOGY
STATE ROUTE 2 9295 PROTOTYPE WAY
P.O. BOX 358 RENO, NV 89511
CHESTER, WV 26034
1. SCHEDULE. This Schedule of Leased Equipment ("SCHEDULE") is hereby made
a part of the Lease referenced above between the undersigned Lessor and
Lessee, the terms and conditions of which are incorporated herein by
reference.
2. EQUIPMENT. The Equipment subject to the Lease is described on the
Supplement to Schedule of Leased Equipment ("SUPPLEMENT") attached
hereto and incorporated herein, and includes all additions and
accessions thereto, substitutions therefor and replacements thereto but
does not include any earnings, revenues, cash and/or other proceeds
generated from the Equipment or other such interest derived from or by
the Equipment.
3. TITLE OF EQUIPMENT. At Lessee's request, Lessor has purchased the
Equipment as a buyer in the ordinary course of business for value.
Title to the Equipment shall remain with Lessor at all times. Lessee
shall have no right, title or interest in or to the Equipment except as
expressly set forth in the Lease.
4. EQUIPMENT LOCATION. The Equipment shall be located at the address
stated in the Supplement and shall not be removed without Lessor's
prior written consent.
5. INTERIM RENTAL TERM. The interim rental term as respects the Equipment
described herein shall commence on the date of Lessor's first advance
of funds for the purchase of the Equipment and shall terminate on the
day before the commencement of the base lease term.
6. NOTICES. Except as otherwise provided in the Lease, all notices,
demands, requests, consents, approvals and other communications
required or permitted hereunder must be in writing and will be
effective upon receipt. Such notices and other communications may be
hand-delivered, sent by facsimile transmission with confirmation of
delivery and a copy sent by first-class mail, or sent by nationally
recognized overnight courier service, to a party's address set forth in
the Lease or to such other address as any party may give to the other
in writing for such purpose with a copy to their respective counsel as
follows:
LESSEE'S COUNSEL: Ruben & Aronson, LLP
3299 K Street
Washington, D.C. 20007
ATTENTION: Robert L. Ruben
Facsimile: (202) 965-3700
LESSOR'S COUNSEL: Tucker Arensberg, P.C.
1500 One PPG Place
Pittsburgh, PA 15222
ATTENTION: Terry J. Himes
Facsimile: (412) 594-5573
7. LEASE TERM. The base term of the Lease as respects the Equipment is set
forth in the Supplement. Notwithstanding paragraph 31(f) of the Lease,
Lessee shall not have the option to terminate the Lease prior to the
expiration of the base term except as provided in the Lease. Provided
that no Event of Default exists under the Lease, Lessor may also, but
shall not be obligated to, evaluate requests for early termination. The
granting of such requests shall be subject to Lessor's sole discretion.
8. END OF LEASE PURCHASE. Lessee will purchase all of the Equipment
described in the Schedule at the price specified on Supplement
("PURCHASE PRICE") at the end of the rental term. The purchase of the
Equipment shall occur AS IS, WHERE IS, WITHOUT ANY REPRESENTATIONS OR
WARRANTIES WHATSOEVER except that Lessor shall transfer its rights to
the Items of Equipment free of any lien or encumbrance created due to
the acts or omissions of the Lessor.
9. [RESERVED]
10. TITLE OF EQUIPMENT. Lessee shall be entitled to claim all depreciation,
cost recovery, and other tax benefits with respect to the Equipment.
11. RETURN OF EQUIPMENT. Upon the occurrence of an Event of Default, upon
demand by Lessor and subject to West Virginia law applicable to gaming
equipment, Lessee shall return the Equipment, freight and insurance
prepaid, to Lessor (or Lessor's nominee) at a location designated by
Lessor. The Equipment and all parts thereto shall be free and clear of
all liens (other than Lessor liens), and shall be free of all residual
materials, cleaned, painted, complete with no missing components or
attachments, and fully operational and able to perform its required
task effectively, without repair or overhaul, within the original
tolerances and specifications set by the manufacturer. Any and all
costs of dismantling, packing and removal of the Equipment shall also
be paid by Lessee. If the Equipment is returned in a condition other
than that required, Lessee shall promptly pay for all necessary
repairs.
12. INSURANCE. In addition to the requirements contained in the Lease,
the following insurance requirements shall apply:
LIABILITY COVERAGE:
(a) General liability including/comprehensive form:
premises/operations; products/completed operations;
contractual liability; independent contractors; broad form
property damage; personal injury; and collapse hazard.
(b) Bodily Injury and Property Damage Combined Single Limit
Per Occurrence: $3,000,000.
(c) Fire-legal liability-custody, care or control, each
occurrence: $1,000,000.
PROPERTY COVERAGE: All risk of physical loss; Equipment must
be insured for at least the total original cost.
13. COVENANTS. By executing and delivering to Lessor, the Lessee Acceptance
Certificate contained in the Supplement, Lessee warrants, covenants and
agrees that (a) Lessee has received all of the Equipment described in
this Schedule at the location described in paragraph 4 hereof; (b)
Lessee has duly inspected and accepts such Equipment without
reservation; (c) Lessee is unconditionally bound to pay to Lessor the
total rent and other payments due under the Lease, whether or not the
Equipment described herein may now or hereafter become unsatisfactory
in any respect; (d) notwithstanding anything contained herein, Lessor
and Lessee shall continue to have all rights which either of them might
otherwise have with respect to the Equipment described herein against
any manufacturer or seller of the Equipment or any part thereof; and
(e) Lessee has reviewed the areas within its business and operations
which could be adversely affected by, and has developed or is
developing a program to address on a timely basis the risk that certain
computer applications used by Lessee may be unable to recognize and
properly perform date-sensitive functions involving dates prior to and
after December 31, 1999 (the "YEAR 2000 PROBLEM"). The Year 2000
Problem will not result, and is not reasonably expected to result, in
any material adverse effect on the business, properties, assets,
financial condition, results of operations or prospects of Lessee, or
the ability of Lessee to duly and punctually pay or perform its
obligations hereunder and under the related documents.
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WITNESS the due execution hereof with the intent to be legally bound this 27th
day of January, 2000.
LESSOR: PNC LEASING, LLC LESSEE: MOUNTAINEER PARK, INC.
BY: /s/ Michael J. Woodring BY: /s/ Edson R. Arneault
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TITLE: VP TITLE: President
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