SECOND SUPPLEMENTAL INDENTURE

EXHIBIT 4.1

SECOND SUPPLEMENTAL INDENTURE

SECOND SUPPLEMENTAL INDENTURE (this “ Supplemental Indenture ”) dated as of September 11, 2009 (the “ New Notes Issue Date ”), among HARRAH’S OPERATING COMPANY, INC., a Delaware corporation (the “ Issuer ”), HARRAH’S ENTERTAINMENT, INC., a Delaware corporation (the “ Parent Guarantor ”) and U.S. BANK NATIONAL ASSOCIATION, a national banking association, as trustee under the indenture referred to below (the “ Trustee ”).

W I T N E S S E T H :

WHEREAS, Harrah’s Operating Escrow LLC, a Delaware limited liability company, Harrah’s Escrow Corporation, a Delaware corporation (together, the “ Escrow Issuers ”), and the Parent Guarantor have heretofore executed and delivered to the Trustee an indenture (the “ Base Indenture ”) dated as of June 10, 2009, providing for the issuance of 11  ¹ / 4 % Senior Secured Notes due 2017 (the “ Existing Notes ”), initially in the aggregate principal amount of $1,375,000,000;

WHEREAS, the Issuer has heretofore executed and delivered to the Trustee a supplemental indenture (the “ First Supplemental Indenture ” and, together with the Base Indenture, and as further amended, supplemented or otherwise modified, the “ Indenture ”) dated as of June 10, 2009, pursuant to which the Issuer assumed all of the obligations of the Escrow Issuers under the Indenture and the Existing Notes;

WHEREAS, pursuant to Section 2.01 of the Indenture, the Issuer may issue Additional Notes under the Indenture subject to certain conditions as set forth therein;

WHEREAS, the Issuer desires to issue an additional $720,000,000 aggregate principal amount of such Additional Notes (hereinafter, the “ New Notes ”);

WHEREAS, pursuant to Section 9.01 of the Indenture, the Trustee, the Issuer and the Parent Guarantor are authorized to execute and deliver this Supplemental Indenture;

NOW THEREFORE, in consideration of the foregoing and for other good and valuable consideration, the receipt of which is hereby acknowledged, the Issuer, the Parent Guarantor and the Trustee mutually covenant and agree for the equal and ratable benefit of the holders of the Notes (as defined in the Indenture) as follows:

1. Defined Terms . As used in this Supplemental Indenture, terms defined in the Indenture or in the preamble or recital hereto are used herein as therein defined, except that the term “ holders ” in this Supplemental Indenture shall refer to the term “ holders ” as defined in the Indenture and the Trustee acting on behalf of and for the benefit of such holders. The words “ herein ,” “ hereof ” and “ hereby ” and other words of similar import used in this Supplemental Indenture refer to this Supplemental Indenture as a whole and not to any particular section hereof.

2. New Notes . The Issuer shall issue the New Notes under the Indenture, subject to compliance with the terms thereof, with such New Notes to have identical terms to those of the Existing Notes; provided that: