| Bridging the Gap- Internet Gaming in Todays U.S.
Market GREENWICH, Rhode Island (March
20, 2009) -- Various forms of online gambling are legal and regulated in many
countries, including most European Union member countries and several Caribbean
nations.
With the first bill related
to online skill games introduced in the United States Senate this past
September, is it only a matter of time before the U.S. allows legalized online
gambling? In case the answer is yes, many lottery
conferences have included online gambling legalization as a topic in their
business programs to help lotteries prepare themselves.
Most lotteries today have developed some form of an
Internet strategy, but these strategies are inherently limited by what U.S.
lotteries may legally offer on the Internet. Should Internet gaming ever
be legalized in the U.S., the Internet channel for U.S. lotteries will be
drastically different as will be the strategies employed to leverage this new
channel. And as many European lotteries who offer Internet games can tell you,
it takes some time to take advantage of all the new interactive
opportunities. Recognizing the need for advance
planning and preparation on the Internet gambling front,
GTECH® has been working on several
categories of games and promotions which can be offered in the current U.S.
market. Three examples of these game
categories are: 1) Internet Games connected
to Instant Tickets, 2) Internet Promotions, and
3) Virtual Prizes.  1) Internet Games connected to Instant
Tickets (Game Lounge) GTECH has been working
for the past year with a talented content partner, Ingenio, who has designed
and developed a suite of exciting interactive games, including Game Lounge.
Game Lounge is a suite of Internet-based games connected to instant ticket
games sold at retail locations. Players purchase instant tickets that include
access codes for games on the lotterys web site. The winning outcome is
connected to the barcode on the instant ticket and can be validated by any
lottery retailer. This approach makes all Game Lounge offerings legal under
current U.S. law. A demo can be found at
www.futurelotteries.com.
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Established in 1998,
Ingenio, a subsidiary of Loto-Quebec, is
involved in the research and development of new gaming products and marketing
channels worldwide and GTECH is very excited to be working with them to pitch
Game Lounge to U.S. and other lotteries who are looking for that type of
consumer interaction. In fact, Ingenio has already deployed Game Lounge for
Loto-Quebec. Game Lounge is an example of an opportunity that can be used under
today's legal environment to begin a transition from a purely retailer-focused
sales channel to a more diversified one that combines a retail sale with any
computer connected to the Internet. 2) Internet
Promotions GTECH Printing Corporation (GPC) has
access to the creative and technical resources of IGI Europrint, a subsidiary
of GTECH Corporation that has created hundreds of promotions, including many
Internet-based games. Since 1980, IGI Europrint has
developed more than 500 successful lottery promotions for 25 customers
including both lottery and major retail brands. They have extensive experience
in the design, development and implementation of Internet-based promotions.
Many applications have been developed for lotteries, while others have been
developed for other businesses looking to build sales by promoting their
products via new channels. For example, IGI ran a
promotion for three of the National Lotterys online games that included
bar-coded coupons distributed in national newspaper chains. Enticed by prizes
of up to £200,000, more than 8.5 million prize-seekers tuned in to
Lottery drawings over a four-week period to see if theyd won. And in a
separate promotion that was implemented in 1995 and is still running today, IGI
has distributed more than 2.5 billion cards via newspapers in support of the
National Lotterys instant games. 3) Virtual
Prizes GTECH Printing is preparing to launch their
new, state-of-the-art printing press in just a few months. This printing
press will change the reality of what can be packaged with an instant ticket,
thereby making instant tickets even more fun for players. Today, second chance
drawings via the Internet are used at most U.S. lotteries, but the response
rate varies greatly. The problem may not be the success of second chance
drawings but the prizes themselves.
GTECHs approach is to
offer prizes that better align with players who regularly use the
Internet. These prizes focus on what really appeals to the typical
Internet user and looks beyond the typical T-shirt or gift pack to offer the
types of prizes todays gamers value most, such as music downloads, mobile
games, once-in-a-lifetime trips/concerts, virtual prizes in video games, etc.
Indeed, when players are asked to disclose some
personal information in order to enter a second chance drawing, the prize must
be significant enough to make it worth their time. Twenty-five music
downloads or a T-shirt might cost the same amount, but to an Internet-savvy
player, the value of music downloads is probably much higher.
By looking to content that lotteries can implement today
under current U.S. regulations, lotteries can begin to position themselves now
to be ready for the future model in whatever form that future takes. Although
current U.S. law prohibits full-fledged Internet gaming, there are game
categories such as those described here that can at least allow a lottery to
move incrementally toward an Internet future. CONTACT:
Cheryl Sullivan, Sr. Marketing Specialist, Marketing Communications GTECH
Corp,
Georgia Lottery
VP Wins Marketer of the Year Award
ATLANTA, Georgia (March 20, 2009) James Hutchinson,
vice president of marketing for the Georgia
Lottery Corp., has been named Corporate Marketer of the Year by the Atlanta
Chapter of the American Marketing Association (AMA Atlanta). Hutchinson
received his award at the Atlanta Marketer of the Year (AMY) Awards on
Thursday.
 |
| James
Hutchinson, vice president of marketing for the Georgia Lottery Corp., is
pictured holding his Atlanta Marketer of the Year Awards
trophy |
Winning this
award has truly been a highlight of my career, and I am so grateful to be
recognized by AMA Atlanta, he said. As a marketer, my goals
have always been to stretch my imagination and color outside the
lines. I also believe in creating from the heart, which ultimately is
what connects you with the consumer. Hutchinson was recognized for his leadership and
achievement in 2008. A marketing professional for 25 years, he joined the
Georgia Lottery in 2005 after serving as chief marketing officer for the
Florida Lottery. As a sales and marketing
organization, James plays a vital role in our companys bottom
line, said Margaret
DeFrancisco, Georgia Lottery president and CEO. I am thrilled that
his incredible talent and efforts have been acknowledged by his
peers. We are all so proud of
James, said Chris Hall, president and CEO of BBDO Atlanta, the
Georgia Lotterys advertising agency. We have enjoyed a very
rewarding partnership with him and are pleased to see his visionary work
recognized.
Hutchinsons
career began at Oshmans Sporting Goods, where he quickly worked his way
up to senior management. After 10 years of managing the in-house agency, he
moved to Atlanta to lead the worldwide marketing division of The Athletes
Foot. In 1997, Hutchinson joined the Walt Disney
Company to create synergistic retail programs. These programs allowed American
Express, the Coca-Cola Co., Kodak and other marketing partners to develop
exclusive Disney-themed merchandise for specific retailers. While at Disney,
James also led the effort to procure corporate sponsorships for Disneys
Wide World of Sports. About the Georgia Lottery
Corporation Since its first year, the
Georgia Lottery Corporation has returned over $10.5 billion to the state of
Georgia for education. All Georgia Lottery profits go to pay for specific
educational programs including Georgias HOPE Scholarship Program and
Georgias Prekindergarten Program. More than 1.1 million students have
received HOPE, and more than 940,000 4-year-olds have attended the statewide,
voluntary prekindergarten program. For more
information, please visit the Media Center on the Georgia Lottery Web site
at: www.galottery.com CONTACT: Tandi Reddick, Media Relations Manager, Georgia
Lottery Corporation, P: (404) 215-5062, F: (404) 215-8983, C: (404) 323-4644,
Email: treddick@galottery.org.
Kentucky Lottery Sales and Profits Continue to
Grow LOUISVILLE, Kentucky (March
20, 2009) -- The Kentucky Lottery
Corporations (KLCs) board of directors was presented today with
financial results from the first eight months of the fiscal year (July
February) as well as projected results for the remainder of the year.
VP of Finance Rick Kelley advised the board that:
Sales through February 28 were $532.8 million
(including $27.9 million in free scratch-off tickets). This is $25.4 million or
5% more than the prior fiscal year. Total sales net of free scratch-off tickets
were $504.9 million, which is $2.5 million less than the prior years cash
sales and $6.5 million (or 1.3%) more than budgeted. Prize expense for the first eight months of the
fiscal year was $314.6 million, compared to $319.5 million last year and $300.8
million budgeted. Even in light of higher sales,
operating expenses continue to be reduced. Operating expenses
through February were $21.4 million, compared to $24.3 million last year and
$23.1 million budgeted. Income
before dividend transfers was $130.5 million, compared to $126.3
million last year and $137.6 million budgeted.
These sales
numbers are remarkable, especially in light of several factors weve faced
during the past few months, said KLC President and CEO
Arch Gleason. We lost $4.5
million in sales during the January ice storm. At their height of the storm,
one out of every three of our retailers was down and unable to sell tickets. It
took us the better part of two weeks to get some back up and running in Western
Kentucky. Weve also been
able so far to produce better-than-expected results in a poor
economy, Gleason said. I still believe lottery tickets are
an inexpensive form of entertainment, players enjoy them, and are still willing
to spend discretionary income on our products. Well have to see however
the effect of unemployment rates on our operation, as were moving into
uncharted territory there. The KLCs
Sr. Vice President of Finance and Administration Howard Kline presented an
updated FY 09 sales and dividend projection to the board. Kline said the
KLC should end the year with results that are close to what was projected in
January. Sales for FY 09 are projected to be between $807 million and
$815 million (including approximately $49 million in free tickets). Kline added
that, depending on actual results, this will allow the KLC to transfer between
$200.5 and $202.5 million in dividends to the Commonwealth, which would be the
second-largest amount ever turned over to the state. This number is between $8
and $10 million more than the $192.1 million in dividends paid during the last
fiscal year, but is between $5 and $7 million less than what the Commonwealth
expects. A company in the private sector
especially given our current economic situation would love to see
sales and profitability results like these, said KLC Board Chairman
Keith Griffee. In other board business, the chairman
of the board was re-elected and a new vice chairman of the board was elected.
Keith Griffee was tapped for his second term as board chairman. A banker with
Porter Bancorp, Inc. and a resident of Mt. Washington, Griffee has served on
the board since 2003. The boards new vice-chair is Mark Sommer, a KLC
board member since 2006. Mr. Sommer is a partner in the law firm of Greenebaum
Doll and McDonald PLLC specializing in the practice of tax law.
The board also approved:
- The purchase of drawing ball sets
along with a contract renewal for drawing machine repair and maintenance from
SmartPlay Inc./Garron
Lottery Products.
- Renewal of a contract with
British Standards Institute for ISO 27001 recertification.
- Renewal of a contract with
Arbitron Media services for media buying software.
- Renewal of a contract with Elsym
Consulting for support of the KLCs internal control system and future
development of new game capabilities for on-line and instant games.
- A new contract with Gaming Labs International for lottery
ball calibration and random number generator testing
- A personal services contract with
Delehanty Consulting for security evaluation services, and
- Rules and regulations for 13
scratch-off games and three pull-tab games.
The next meeting of the
KLCs board of directors will be May 29. The meeting will begin at 9:30 AM
EST, and will be held at the KLC headquarters at 1011 West Main Street in
Louisville. Committee meetings will begin at 8:30 AM EST.
SOURCE: Kentucky Lottery.
Education
Lottery Hits the Road Again With Popular Harley-Davidson®
Game Two Other Instant
Games Also Being Introduced RALEIGH, North
Carolina (March 23, 2009) - Back by popular demand and even better than before,
the North Carolina Education Lottery
(NCEL) is introducing a Harley-Davidson® instant game, which offers a
total of nine chances to win a 2009 Harley-Davidson® Fat Bob®
Motorcycle. Two more games, Triple Fortune and Diamond Dash, also will be
introduced and all three games will be in stores starting Tuesday, March
24.
With the
Harley-Davidson® game, players will have a chance to scratch their way to
win one of six 2009 Harley-Davidson® Fat Bob® Motorcycles instantly or
players may enter each non-winning Harley-Davidson® ticket into any of the
three second chance drawings where the NCEL will award one motorcycle per
drawing. Plus, the NCEL also will award over a
thousand Harley-Davidson® merchandise prize packs in the second chance
drawings! Players may enter as many non-winning tickets as they want.
More details and the rules
of the game are available on the How to Play brochure available at retail
locations and can be viewed on the NCEL Web site at
www.nc-educationlottery.org.
The $3 Harley-Davidson® ticket also offers eight top
prizes of $75,000 and chances to win many other prizes of $500, $100 and
more! Triple Fortune is a $2 instant scratch-off game
with over $6.5 million in total prizes including eight top prizes of $30,000.
The game has over $2.3 million in prizes between $20 and $500. Players who
scratch and reveal a money bag symbol win double the prize
shown or if they reveal a star symbol they win triple the
prize shown. Diamond Dash is a $1 instant scratch-off
game featuring 25 top prizes of $2,500 plus over 179,000 prizes of $5 up to
$250! Players who uncover a diamond symbol in the play area
on the ticket win the prize shown for that symbol. CONTACT: Pamela Walker, Phone: (919) 301-3308.
Gaming Standards Association Brings Standards to
Asia's GEM Expo GSA
Exhibiting, Speaking at Gaming Tradeshow LAS
VEGAS, Nevada (March 23, 2009) -- The Gaming Standards Association has actively
been bringing its message of protocol standards, certification and education to
gaming markets across the world all year, and now GSA is turning its attention
to the Philippines. GSA will exhibit and speak at Asia's Gaming &
Entertainment and Leisure Expo (Asia's GEM Expo) April 1-3 at the SMX
Convention Center in Manila, The Philippines. GSA will
be located in stand #H-1, where the company will be discussing the benefits of
standardization and how protocol standards apply to the worldwide gaming
industry. In addition, GSA will also present its certification program and
traveling education curriculum.
GSA President Peter DeRaedt
will be a featured speaker at the conference. A well-versed and well-traveled
gaming industry veteran, DeRaedt will bring his expertise and global vision to
the session, "Trends and Advances in Gaming Technology." The session takes
place April 1 at 10:15 a.m. in the convention center. DeRaedt previewed his address: "This is an incredibly
exciting time in the gaming industry. Manufacturers across the globe are
developing products with astounding abilities. I will discuss the technological
trends and how open standards developed by GSA are fueling the products of the
future." About the Gaming Standards Association
(GSA): The Gaming Standards Association (GSA) is
an international trade association that creates benefits for gaming
manufacturers, suppliers, operators and regulators. We facilitate the
identification, definition, development, promotion, and implementation of open
standards to enable innovation, education, and communication for the benefit of
the entire industry. Since its incorporation on May 6, 1998, GSA has members
representing a wide cross section of the global gaming industry.
GSA's new Game-to-System (G2S) Protocol has been named
"Best Productivity-Enhancement Technology" by Global Gaming Business
Magazine; one of the "Top Three International Gaming Products" by IGWB
Magazine; one of Casino Journal magazine's "Top 3 Most Innovative
Products"; and one of Casino Enterprise Management's "Top 10 Slot Floor
Technologies." For more information, visit
www.gamingstandards.com.
SOURCE: Gaming Standards Association. CONTACT: Peter
DeRaedt, President of Gaming Standards Association, +1-775-829-2336,
pres@gamingstandards.com or Paul
Speirs, President of Steinbeck Communications, +1-702-413-4278,
paulspeirs@cox.net for the Gaming
Standards Association.
Qorvis,
SmithGifford Win Four ADDY Awards for Virginia Lottery
Advertising WASHINGTON, DC (March
25, 2009) -- Qorvis Communications, one of the largest independent, integrated
communications firms in the U.S., and its creative partner SmithGifford, today
announced they won four 2009 Advertising Club of Metropolitan Washington ADDYs
for television advertising created and produced for the
Virginia Lottery.
The TV spot called
"Dodgeball, 'Near Miss'" earned Best in Category for the
Broadcast category and a Gold ADDY in the Television, Regional/National TV,
Single Consumer Products category. The ad promotes one of the computer
generated Fast Play Games. It is based on the traditional schoolyard game of
dodgeball, but with a twist: "The More You Miss, the More You Win." The
other winners were "Harley Davidson, 'The Man'" and "Tax Free
Millions, 'Sheep,'" which promote scratchers and claimed Silver ADDYs in
the Television, Regional/National TV, Single Consumer Products category.
"Qorvis and SmithGifford are honored to win four ADDYs
for our collaborative work for the Virginia Lottery," said Karen Gauthier,
Qorvis managing director, who manages the communications team for the Virginia
Lottery. "It is always exciting and humbling to receive the recognition from
our industry peers." Bruce Gifford, creative director, SmithGifford,
commented: "We're grateful to the Virginia Lottery for being as excited
about this spot as we were. And frankly, they had the best throwing arms
on set." The winning team was led by Karen
Gauthier. Bruce Gifford was the creative director. SmithGifford's Drew Magary
was the senior writer and Dana Cole was the producer. The 2009 ADDY? Awards were presented on March 19 at the
Carnegie Institute of Science by the Advertising Club of Metropolitan
Washington. About Qorvis Communications
LLC Qorvis Communications is one of the nation's largest
independent, integrated communications firms. Formed in August 2000, Qorvis
provides its clients with expertise in the areas of public and media relations,
advertising, public affairs, investor relations and financial services
communications, grassroots campaigns, Internet-based campaigns, social media
strategies, and research and opinion surveys. For more information, visit
www.qorvis.com.
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\About SmithGifford
SmithGifford is a full-service advertising agency
in Falls Church, Va., just outside Washington, D.C. We're a group of smart
people who do really nice work. Sometimes we are referred to as a group of nice
people who do really smart work. During the last five years we've attracted a
handful of carefully selected clients who want to build strong brands using
highly creative thinking. We are proud of the work we have done for them and
even more proud of the results. For more information, go to
www.smithgifford.com.
About The Advertising Club of Metropolitan
Washington Since 1918, The Advertising Club of
Metropolitan Washington has served as the premier industry organization for
area advertising professionals. The D.C. Ad Club celebrated the 41st Annual
ADDY? Awards, recognizing the best in creative excellence in advertising in the
metropolitan Washington, D.C. area. Our ADDY Awards are the first level in a
three-tiered competition sponsored by the American Advertising Federation
(AAF). With 60,000 entries nationwide, the ADDY Awards is the nation's largest
advertising competition. For more information, visit
www.dcadclub.com.
CONTACT: Renate,
Geerlingsrgeerlings@qorvis.com,
202-255-2744. 
Camelot Launch New National Lottery
Website
Personalised Services, Game Selector Tool and User-Friendly Design Are
Just Part of the Makeover WATFORD, UK (March
25, 2009) -- One of the UKs top e-commerce websites(1) is re-launching
with a whole host of new and exciting features now available to players, along
with a fresh look. The
National Lotterys next-generation
website at www.national-lottery.co.uk
already has over 4.4 million registered users and is the first of many new
leading-edge services and games that will be introduced throughout the third
lottery Licence. The new website has been
overhauled to provide an even more user-friendly experience for players,
highlighting the games to play and the Good Causes that benefit from National
Lottery funding. The key features of the new site
include:
- Game Selector
tool where players can filter by game type, top prize, price,
launch date and theme, to find the perfect game for them;
- Dedicated Results
Checker now displaying all National Lottery draw results for
the past 180 days, so players can easily see if they have won;
- Enhanced Continuous Play
function allowing players to set up their Lotto and Thunderball
entries by Direct Debit, as well as the ability to change numbers, edit details
and play by Lucky Dip, all helping to make sure that they never forget to enter
a draw;
- Alerts service
a wide range of alerts is now available for players to sign up to,
meaning they are always up-to-date about upcoming Rollovers on Lotto and
EuroMillions draws;
- Player account
an advanced and secure My Account function, holding all the
information on a players tickets bought online and with a Direct Debit,
in one place;
- A new and improved help
hub providing answers to a whole range of frequently-asked
questions; and
- New design
with exciting animation and improved site navigation.
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Camelot is also introducing a new
Take the tour section to help players find their way around
the new website in their first few visits, and ensure they can get the best out
of it. Available directly from the homepage, it includes a virtual tour
area which showcases the most popular sections of the site, with quick links to
the main player areas: Play games, Check
results, My account and Good Causes and
winners. Step-by-step user-friendly guides
are available so that players can easily find out how to play by Direct Debit,
with the Play by Text service, and through Sky Active as
well as how to start a syndicate. The Good Causes area
of the site gives players access and insight into how the £22
billion-plus The National Lottery has so far raised for the Good Causes has
helped to fund more than 300,000 individual awards, benefitting communities
throughout the UK. The National Lottery website is
part of the companys range of interactive services, including the website
at www.national-lottery.co.uk, through Sky Active and the Play by Text mobile
phone service, which together have recently delivered double digit growth to
reach sales of £230.1m an increase of £66.8m in the Half
Year to 27 September 2008. Martin Pugh, Commercial
Director at Camelot, said: Im very excited to unveil our
new and improved National Lottery website. Weve listened to our
players and built the new website with games that are even easier to find, a
My Account centre with an at-a-glance summary displaying all their
tickets, and an evolutionary design which looks fantastic but
importantly is still intuitive to use. Our market-leading interactive services have enjoyed
consistent growth since their launch, and this has been set against the
backdrop of an overall increase in National Lottery sales. Our
interactive services raise an average of over £2.5 million per week,
helping to boost the £22 billion-plus so far raised for the Good
Causes.
The new website
makes it even easier for our players to enjoy National Lottery games in a way
that suits them with all the protection youd expect from The
National Lottery. The news follows the
recent release of the National Lotterys first online 3D Instant Win Game
(IWG). Prize Hunter is an adventure game which sees players transported
to an exotic jungle where they must gather as many pieces of bounty as
possible, up to a winning top prize of £50,000. The game is already
one of the top three best-selling Interactive Instant Win Games(2).
Prize Hunter joins a fun and exciting range of IWGs
available to players, including All Star Family Fortunes, Scrabble,
Snakes & Ladders and the ever-popular Weekly Grand. All the Good
Causes money raised by IWGs goes towards the 2012 Olympic Games and Paralympic
Games helping to reach Camelots target of raising £750
million for London 2012 from designated lottery games. So far more than
£375 million has been raised, which is on schedule.
Camelot was the first organisation to receive
accreditation from GamCare the UKs Centre for information, advice
and help regarding the social impact of gambling for all three of its
interactive platforms: the internet at
www.national-lottery.co.uk, Sky
Active and Play by Text on mobile phones.
1. Source: Comscore data 2. Based
on Camelots average weekly sales data. For
further information, please CONTACT: Lisa Hancox, Corporate PR Manager: 020
7632 5716, Camelot Press Office: 020 7632 5711. French Government Proposes An Online Gambling
Law European Lotteries
Welcomes French Move Against Uncontrolled Online Gambling
LAUSANNE, Switzerland (March 25, 2009) -- Today, the
French government has adopted an online gambling draft law, providing for a
strictly controlled opening of the market in the fields of online sports
betting, online horserace betting and online poker in France. Online casino
games and online slot-machine style games will remain prohibited under the
online gambling law.
The draft proposes a
financing of bets benefiting grassroots sports and an involvement of the sports
associations in the organisation of sports betting. This is the model defended
by European Lotteries whereby betting needs to be of benefit for sport and the
general interest, along the lines of European Lotteries code of good
conduct on sports betting which as been signed by 46 lotteries in Europe.
The proposal establishes strict licensing criteria and
severe sanctions against unlicensed operators who make services available in
France. It contains strong measures to combat fraud and protect consumers as
operators are obliged to allow all transactions involving French customers to
be audited. It protects the French players from unlicensed operators who will
be prevented from interacting with French customers via IP and payments
blocking mechanisms. Dr. Winfried Wortmann, President of
European Lotteries, comments: European
Lotteries agrees with the French Government that gambling, including betting,
is not an ordinary economic activity and that online gambling operators must
comply with national consumer protection and public order requirements of the
country of residence of the consumer. The commercial gambling industry does not
have the right to flood citizens in EU Member States with a limitless range of
gambling services. Dr. Wortmann also notes
that the draft is fully in line with the recently adopted European Parliament
resolution on online gambling (Schaldemose report, March 10)
which called for measures to tackle problems of fraud and money-laundering,
gambling addiction and underage gambling and confirmed that online gambling
operators must comply with the laws of the EU Member State where the consumer
resides.
The proposal will now be
presented to the French Parliament and notified to the European Commission. All
Member States can submit their comments during the notification procedure.
The law should enter into force on January 1, 2010.
European Lotteries offers its full cooperation to the
Committees in the French Parliament that will now examine the draft law.
For further information please CONTACT: Rupert Hornig,
General Delegate, EL (English, German), Tel: + 32.(0)2.234.38.20, Email:
eu.representation@european-lotteries.org
or Philippe Vlaemminck/Annick Hubert, EL legal advisors (French, Dutch,
English) Tel: + 32.(0)2.787.97.10, Email: pv@vlaemminck.com;
ah@vlaemminck.com
About European Lotteries European Lotteries (EL) is the European umbrella organisation
of national lotteries operating games of chance for the public benefit. EL has
members from over 40 European countries including all 27 EU Member States. The
associations EU members contribute more than 20 billion EUR p.a. to the
state budgets and the funding of sport, culture, social projects, research and
other causes of general interest. Unlike many commercial online gambling
operators, El members only offer gambling and betting services in the
jurisdictions in which they are licensed by the respective national
government. SOURCE: European Lotteries.
Lottomaticas GTECH Subsidiary Chosen as Preferred Bidder by the
New York Lottery for New Online/Instant System Lottery Contract
Expected Revenues to
GTECH in Excess of $ 550 Million Over The Seven-Year Contract Term
ROME (Italy) and PROVIDENCE, Rhode Island (March 23,
2009) -- Lottomatica S.p.A.s
wholly-owned subsidiary, GTECH
Corporation, announced that it has been chosen as the preferred bidder to
negotiate a seven-year integrated services contract with the
New York Lottery to provide new online
lottery solutions and services. The Lottery has the option to extend the
contract for an additional three years. GTECHs proposed solution set
includes a full suite of online and instant systems, up to 20,000 online
lottery terminals, a variety of self-service lottery products and multimedia
technology, a new wireless telecommunications network, instant-ticket
warehousing, and ongoing services.
The proposed contract,
which is expected to commence in March 2010, follows a competitive procurement
process. The New York Lottery estimates the total value of the contract to be
more than $550 million over the contract period. Subject to a protest period
which ends on April 3, 2009, the finalization of the contract is slated for
approval by the Attorney General and the State Comptroller by June 10, 2009,
but may go beyond that date. GTECH has been a lottery technology and services
provider to the New York Lottery since 1986. We are honored to have the largest lottery in North
America and one of the most respected in the world, the New York Lottery,
remain as our valued customer, said GTECH President and CEO
Jaymin B. Patel. Lotteries from
around the world look to the New York Lottery as a model for balanced and
sustainable growth among their online, monitor, and instant game portfolios. As
the Lotterys online vendor, GTECH will continue delivering the maximum
player experience, integrity, security, and profitability, in order to ensure
the New York Lottery continues to be the standard bearer for the global lottery
industry. We are pleased to continue
our successful partnership with GTECH and look forward to a new generation of
state-of-the-art equipment. The New York Lottery makes extreme demands on its
full service system, with huge transaction volume, complexity of operations,
diverse geography, extensive marketing and constantly-evolving game choices.
Reliability, integrity, and experience are critical to a successful
relationship, and GTECH has consistently delivered on all these
points, said Gordon
Medenica, Director of the New York Lottery. Under
the proposed new contract, GTECH will provide its Enterprise Series solution,
specifically tailored to offer a best practices technology approach to support
the New York Lotterys successful business plan with the flexible tools
needed to increase sales and revenue contributions to education. In addition,
GTECH will install and maintain up to 20,000 new Altura® lottery terminals,
as well as a new IP-communications network. GTECH will also introduce ES
MultiMedia digital advertising displays to stimulate increased brand awareness
of the New York Lottery product line across the entire retail network at the
point-of-sale. The Company will expand the Lotterys self-service network
through additional Ticket-Scan ticket-checker units. Additionally, the
Lottery has the option to purchase other self-service products from GTECH
including Lottery To Go and Instant To Go vending machines. Over
the duration of the new contract, GTECH will continue providing the operation
and maintenance of the central system; terminal maintenance; warehousing and
distribution of instant tickets; field service; marketing consultancy; and
hotline management.
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We are proud of
our successful 23-year partnership with the New York Lottery,
continued Mr. Patel. During that time, we have been privileged to
assist them in launching new online and monitor games, expanding their retailer
base to more than 16,000 locations today, and helping them to achieve record
sales. Over the next several years, we will continue to work together with the
Lottery on enhancing their product and game portfolio, and providing them with
a flexible platform to launch the next-generation of gaming technology, in
order to maximize even greater returns for education programs in New
York. The New York Lottery recorded more
than $7.5 billion in total sales in its fiscal year 2008, an impressive $2.6
billion of which was allocated to educational programs in New York.
About Lottomatica S.p.A. Lottomatica is a market leader in the Italian gaming industry
and one of the largest Lottery operators in the world based on total wagers
and, through its subsidiary GTECH Corporation, is a leading provider of lottery
and gaming technology solutions worldwide. Together, the Company is the only
vertically integrated full service lottery company. Lottomatica is majority
owned by De Agostini, which belongs to a century-old publishing and media
services group. Lottomatica is listed on the Stock Exchange of Milan under the
trading symbol LTO. In 2008, the Company had approximately
2.1 billion in revenues and 7,500 employees in over 50 countries when
combined with GTECH.
For further
information:
Simone Piattelli Palmarini Lottomatica
S.p.A Media Communications T. (+39) 06 51899877 M. (+39) 335
5305097 |
Robert K. Vincent GTECH
Corporation Public Affairs T. (+1) 401 3927452 |
Simona DAgostino
Lottomatica S.p.A Investor Relations T. (+39) 06 51899742 M.
(+39) 335 7729138 |
SOURCE: Lottomatica S.p.A. 
EU Concludes Investigation of US Internet Gambling
Laws WASHINGTON, DC (March 26,
2009) -- The European Commission has finalized its draft report following an
investigation into United States measures affecting foreign suppliers of
Internet gambling services. The investigation has found that US laws on remote
gambling and their enforcement against EU companies constitute an obstacle to
trade that is inconsistent with WTO rules. Although
the provisional conclusions of the report imply that WTO proceedings against US
measures would be justified, the report also indicates that the issue should be
taken up with the US Administration, with a view to finding a negotiated
solution. The report, completed in the framework of the EU Trade Barriers
Regulation (TBR), will now be sent to EU member states for comments on the
findings, and will be made public once finalized.
EU Trade Commissioner
Catherine Ashton said:"It is for the US to decide how best to regulate
Internet gambling in its market, but this must be done in a way that fully
respects WTO obligations. I am hopeful that we can find a swift, negotiated
solution to this issue." The report released today
to Member States is the result of a formal examination procedure initiated on
11 March 2008, following a complaint lodged by the Remote Gambling Association
(RGA). The report concludes that US laws deny access and discriminate against
foreign suppliers of gambling and betting services inconsistently with US WTO
obligations. European companies are still now subject
to legal proceedings by US authorities based on their past activities on the US
online gambling and betting market. The proceedings are continuing despite the
withdrawal of European companies from the US market in 2006 following changes
in the US regulatory framework. The report comes to the conclusion that these
proceedings are legally not justified and discriminatory.
This investigation takes account of the fact that the EU
and the US agreed in December 2007 on a compensation package in exchange of the
loss of trade opportunities as a result of the US intention to withdraw its WTO
commitments on gambling and betting services. Once this withdrawal occurs, the
US would no longer be obliged to guarantee future access to its gambling and
betting market, but this does not mean that it could disregard its obligations
in respect of past trade. Click here to download Fact
sheet:
Trade
Barriers Regulation investigation into US Internet gambling laws - Brussels, 26
March 2009 CONTACT: Delegation of the European
Commission to the United States, Anthony Smallwood, 202-862-9523 or Kasper
Zeuthen, 202-862-9530 SOURCE: Delegation of the
European Commission to the United States.  |