Agreement and Plan of Merger (2004)Full Document 

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EXECUTION VERSION

AGREEMENT AND PLAN OF MERGER

dated as of

June 15, 2004

among

MGM MIRAGE,

MANDALAY RESORT GROUP

AND

MGM MIRAGE ACQUISITION CO. #61,

A WHOLLY OWNED SUBSIDIARY OF MGM MIRAGE

 


 

TABLE OF CONTENTS

         
    Page
ARTICLE I
       
THE MERGER; CLOSING
       
SECTION 1.01. The Merger
    1  
SECTION 1.02. Effective Time
    1  
SECTION 1.03. Effects of the Merger
    1  
SECTION 1.04. Conversion of Shares
    1  
SECTION 1.05. Payment of Shares
    2  
SECTION 1.06. Stock Options; Restricted Stock.
    4  
SECTION 1.07. The Closing
    4  
ARTICLE II
       
THE SURVIVING CORPORATION; DIRECTORS AND OFFICERS
       
SECTION 2.01. Articles of Incorporation
    4  
SECTION 2.02. Bylaws
    5  
SECTION 2.03. Directors and Officers
    5  
ARTICLE III
       
REPRESENTATIONS AND WARRANTIES OF PARENT AND MERGER SUBSIDIARY
       
SECTION 3.01. Organization and Qualification
    5  
SECTION 3.02. Authority; Non-Contravention; Approvals
    6  
SECTION 3.03. Proxy Statement
    7  
SECTION 3.04. Ownership of Company Common Stock
    7  
SECTION 3.05. Funding of Merger Consideration
    7  
SECTION 3.06. Reports, Financial Statements, etc.
    8  
SECTION 3.07. Brokers and Finders
    8  
ARTICLE IV
       
REPRESENTATIONS AND WARRANTIES OF THE COMPANY
       
SECTION 4.01. Organization and Qualification
    8  
SECTION 4.02. Capitalization
    9  
SECTION 4.03. Subsidiaries
    10  
SECTION 4.04. Authority; Non-Contravention; Approvals
    11  
SECTION 4.05. Reports and Financial Statements
    12  
SECTION 4.06. Absence of Undisclosed Liabilities
    12  
SECTION 4.07. Absence of Certain Changes or Events
    13  
SECTION 4.08. Litigation
    13  
SECTION 4.09. Proxy Statement
    13  
SECTION 4.10. No Violation of Law
    13  
SECTION 4.11. Compliance with Agreements
    14  
SECTION 4.12. Taxes
    14  

 


 

TABLE OF CONTENTS
(Continued)

         
    Page
SECTION 4.13. Employee Benefit Plans; ERISA; Employment Agreements
    15  
SECTION 4.14. Labor Controversies
    16  
SECTION 4.15. Environmental Matters
    16  
SECTION 4.16. Title to Assets
    18  
SECTION 4.17. Company Stockholders’ Approval
    18  
SECTION 4.18. Brokers and Finders
    18  
ARTICLE V
       
COVENANTS
       
SECTION 5.01. Conduct of Business by the Company Pending the Merger
    18  
SECTION 5.02. Control of the Company’s Operations
    20  
SECTION 5.03. Acquisition Proposals
    20  
SECTION 5.04. Access to Information
    22  
SECTION 5.05. Notices of Certain Events
    23  
SECTION 5.06. Merger Subsidiary
    24  
SECTION 5.07. Employee Benefits
    24  
SECTION 5.08. Meeting of the Company’s Stockholders
    25  
SECTION 5.09. Proxy Statement
    26  
SECTION 5.10. Public Announcements
    26  
SECTION 5.11. Expenses and Fees
    26  
SECTION 5.12. Agreement to Cooperate
    27  
SECTION 5.13. Directors’ and Officers’ Indemnification
    29  
SECTION 5.14. Company Securities
    31  
SECTION 5.15. Company Debt Instruments
    31  
ARTICLE VI
       
CONDITIONS TO THE MERGER
       
SECTION 6.01. Conditions to the Obligations of Each Party
    31  
SECTION 6.02. Conditions to Obligation of the Company to Effect the Merger
    32  
SECTION 6.03. Conditions to Obligations of Parent and Subsidiary to Effect the Merger
    32  
ARTICLE VII
       
TERMINATION
       
SECTION 7.01. Termination
    33  
ARTICLE VIII
       
MISCELLANEOUS
       
SECTION 8.01. Effect of Termination
    34  
SECTION 8.02. Non-Survival of Representations and Warranties
    35  
SECTION 8.03. Notices
    35  
SECTION 8.04. Interpretation
    36  

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TABLE OF CONTENTS
(Continued)

         
    Page
SECTION 8.05. Assignment; Governing Law; Forum
    36  
SECTION 8.06. Counterparts
    36  
SECTION 8.07. Amendments; No Waivers
    37  
SECTION 8.08. Entire Agreement
    37  
SECTION 8.09. Severability

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