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October 11, 2002 Scott Petersen, Chief Executive Officer Re: Amendment to Nintendo License Agreement Dear Scott: In response to your request and your concerns regarding the continuing economic downturn in the travel and lodging industry, we have prepared the following proposal to amend the Confidential License Agreement for Use of Nintendo Video Game Systems with Hotel Guest Entertainment System between Nintendo of America Inc. (Nintendo) and LodgeNet Entertainment Corporation (LodgeNet) effective as of May 18, 1998, as amended by letter of December 12, 2001 (hereinafter, the License Agreement) to reflect our recent discussions and our commitment to the continuation of our relationship, as follows: 1. Payment Terms: At Paragraph 8.1, the following new sentence shall be inserted immediately after the 4th sentence:
2. Revised Royalty Rates and Terms: At Paragraph 8.3, following new subparagraph 8.3.4 shall be inserted:
3. Minimum Hotel Term: Paragraph 8.4, entitled Minimum Royalty Terms for Each Licensed Hotel, shall be deleted in its entirety.
4. Continuing Use of Licensed Games: Paragraph 13.6 shall be deleted and replaced with the following new Paragraph 13.6: 13.6 Option to Extend Use of Licensed Games Only. Provided this Agreement has not been terminated due to breach or default by LODGENET, upon Notice to NINTENDO within 90 days prior to the expiration of the Term, LODGENET (and its Approved Subdistributors and Licensed Hotels) may extend this Agreement and continue use of the Licensed Games on the Nintendo Systems as a part of the Hotel Guest System for up to five (5) years after the expiration of the Term, provided that LODGENET shall continue to perform or guarantee all of the obligations under the terms of this Agreement with respect to use of such Licensed Games (including the removal of Licensed Game titles prior to the expiration date on the Game List, the payment of applicable royalties and the deliver and/or maintenance of reports and records), provided further, that NINTENDO shall have no continuing obligation to sell or provide warranties regarding the Nintendo Systems or the N64 Controllers, and, provided further, that neither party shall be bound by any obligation under paragraph 14.2 herein. Thereafter, the rights of LODGENET may be extended on a year to year basis, upon mutual written agreement of the parties. This letter and its contents will be confidential and will not be disclosed by Nintendo or LodgeNet, except to our authorized representatives and to our respective parent corporations. I believe these changes reflect our mutual agreement and understanding. Except as otherwise provided herein, all other terms and conditions of the License Agreement shall remain unchanged. If you have any questions, please contact me. If this proposal is in order, please sign as indicated below and return a copy of this letter to me at your earliest convenience.
ACCEPTED & AGREED TO: LODGENET ENTERTAINMENT CORPORATION
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