8-K

                                  UNITED STATES

                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 8-K

                                 CURRENT REPORT

    Pursuant to Section 13 or 15(d) of the Securities and Exchange Act of 1934

        Date of Report (Date of earliest event reported): March 4, 2008

                          RIVIERA HOLDINGS CORPORATION
             (exact name of registrant as specified in its charter)

      Nevada                     000-21430                 88-0296885
  (State or other              (Commission              (IRS Employer
  jurisdiction of               File Number)             Identification No.)
  incorporation)


  2901 Las Vegas Boulevard
  Las Vegas, Nevada                                                 89109
  (Address of principal executive offices)                        (Zip code)

  Registrant's telephone number, including area code (702) 794-9527


    (Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions (see General Instruction A.2. below):

[] Written communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
[] Soliciting material pursuant to Rule 14a-12 under the Exchange Act
(17 CFR 240.14a-12)
[] Pre-commencement communications pursuant to Rule 14d-2(b)
under the Exchange Act (17 CFR 240.14d-2(b))
[] Pre-commencement communications
pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))


Item 5.02 Departure of Directors or Certain Officers, Election of Directors;
Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.

On March 4, 2008, the Company's Board of Directors  approved the Third Amendment
to our  employment  agreementwith  William  L.  Westerman,  our Cheif  Executive
Officer and Chairman of the Board.  The Third Amendment  provides that effective
as of January 1, 2008 Mr.  Westerman  is eligible to  participate  in the senior
management  incentive  compensation  plan. The Third Amendment also provides for
the payment to Mr. Westerman of a discretionary  bonus in the amount of $300,000
prior to March 15, 2008, for Mr. Westerman's  contribution to our performance in
2007.

On March 4, the Company also awarded  bonuses to our other  Executive  Officers,
payable prior to March  15,  2008 as  follows:  (i)Robert  Vannucci was awarded
a 2007 incentive  bonus  in the  amount  of  $203,434;  and  Mark  Lefever  and
Tullio Marchionne  were each awarded a 2007  incentive  bonus in the amount of
$114,761 and a discretionary bonus in the amount of $35,239.

In  addition  to  the  named  Executive  Officers,  Incentive  Bonuses  totaling
approximately  $900,000  were awarded to 113 Riviera Las Vegas and Riviera Black
Hawk participants.

Item 9.01 Financial Statements and Exhibits.

        (a) Not applicable.
        (b) Not applicable.
        (c) Not applicable.
        (d) Exhibits:

Exhibit 10.01 William Westerman Employment Agreement Third Amendment dated
March 4, 2008




                                   SIGNATURES

        Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.

  Date: March 10, 2008              RIVIERA HOLDINGS CORPORATION

                                    By: /s/ Mark Lefever
                                    Mark Lefever
                                    Treasurer and Chief Financial Officer

EX-10

                                 THIRD AMENDMENT
                             TO EMPLOYMENT AGREEMENT
                                     BETWEEN

                              WILLIAM L. WESTERMAN
                                       AND
                        RIVIERA HOLDINGS CORPORATION AND
                          RIVIERA OPERATING CORPORATION


         This THIRD AMENDMENT dated as of March 4, 2008, to the Employment
Agreement by and among RIVIERA HOLDINGS CORPORATION ("RHC"), and its
wholly-owned subsidiary, RIVIERA OPERATING CORPORATION ("ROC") (collectively the
"Company"), and WILLIAM L. WESTERMAN ("Executive").

         WHEREAS, the Parties entered into an Employment Agreement dated as of
November 21, 1996 (the "Agreement"), and said Agreement is currently in effect;

         WHEREAS, on December 6, 2000, the Parties amended the Agreement by way
of a First Amendment to Employment Agreement ("First Amendment");

         WHEREAS, on July 15, 2003, the Parties again amended the Agreement by
way of a Second Amendment to Employment Agreement ("Second Amendment");

         WHEREAS, the Company and Executive desire that the terms of the
Agreement and amendments thereto be further amended; and

         WHEREAS, this Third Amendment to Employment Agreement ("Third
Amendment"), has been approved by the Company's Board of Directors and
Compensation Committee.

         NOW, THEREFORE, in consideration of the mutual agreements hereinafter
set forth, the parties hereto agree as follows:

1.  Paragraph 5 of the Agreement, as amended by the Second Amendment, shall be
        changed as follows:

                  5.       Incentive Bonus.

                           (a) Effective January 1, 2008, Executive is eligible
                           to participate in the Company's Incentive
                           Compensation Plan (the "Plan"). The Plan provides for
                           an annual target that is established by the Company's
                           Compensation Committee and approved by the Company's
                           full Board of Directors in or around each November of
                           the year preceding the applicable year. Incentive
                           Bonuses are paid prior to March 15 of the year
                           following the year in which the Incentive Bonus is
                           earned. The Plan also provides for awards of
                           discretionary bonuses.

                           (b) Executive shall be paid a discretionary bonus in
                           the amount of $300,000 prior to March 15, 2008, for
                           his contribution to the Company's excellent
                           performance in 2007.

2.                Except as amended by this Third Amendment, the terms and
                  conditions of the Agreement, the First Amendment and Second
                  Amendment shall remain in full force and effect.

         IN WITNESS WHEREOF, the parties have duly executed this Third Amendment
as of the day and year first written above.



RIVIERA HOLDINGS CORPORATION                RIVIERA OPERATING CORPORATION



By: _____________________________           By: _____________________________
     Mark Lefever, Treasurer                     Mark Lefever, Treasurer




EXECUTIVE


- -------------------------------
WILLIAM L. WESTERMAN