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LOTTERY INSIDER
is brought to you with the compliments of

GTECH a leading supplier of systems and services to the lottery industry.

Intralot

Scientific Games

Vol. 29 No. 3 -- Monday October 18, 2004
MDI Entertainment Inc.
FTC
EGET
Oberthur Gaming Technologies
EssNet

Smartplay International Inc.

  • GTECH Receives 90-Day Contract Extension with the Colorado Lottery. Full Story
  • INTRALOT Presents Company Overview at the Citigroup Annual Small/Mid Cap Conference 2004. Full Story
  • PAC-MAN™ CASH Set for World Lottery Debut. Full Story.
  • WestLotto’s "Big Bang" -- Over 4,000 Wincor Nixdorf Lotto Terminals go Live at Once. Full Story.
  • EGET Delivers the First Mobile Joker Poker to the European Licensed Online Gaming Market. Full Story.
  • Delaware Office Workers Claim $214 Million Powerball Jackpot. Full Story.
  • EuroMillions Update. Full Story.
  • British Columbia Lottery Corporation Offers Select Lottery Games Through the Internet. Full Story.
  • Kenilworth Offers to License Roulabette™ System to Lotteries. Full Story.
  • Lotteries Help State's Surf Life Saving Get The Job Done This Summer. Full Story.
  • Big Improvement in New Zealand Lotteries' Result For 2003/2004. Full Story.

Olivetti Tecnost

Schafer Systems Inc.
KEBA AG
Wincor Nixdorf
Spielo
Classifieds


GTECH Receives 90-Day Contract Extension with the Colorado Lottery

WEST GREENWICH, R.I. (October 13, 2004) -- GTECH Holdings Corporation today announced that the Colorado Lottery, pursuant to the provisions of its original contract with GTECH, granted a 90-day contract extension whereby the Company will continue to provide online lottery products and services to the Lottery. GTECH’s current contract with the Lottery is set to expire on October 31, 2004.

The Colorado Lottery had selected Scientific Games Corporation as its vendor to provide equipment and services for a new integrated online and instant-ticket lottery system in October 2002, following a competitive procurement. The contract extension, which was entered into in order to provide the new vendor additional time to convert the system beyond what was previously announced, will commence on November 1, 2004, and continue through January 30, 2005.

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Under the terms of the contract extension, GTECH will continue to provide ongoing services to the Colorado Lottery, including operation and maintenance of the central system hardware and software, terminal maintenance, and hotline management. The Company estimates revenues of $2 million over the 90-day contract extension period.

GTECH has provided online lottery products and services to the Colorado Lottery since 1988.

GTECH, a leading global information technology company with over $1 billion in revenues and more than 5,500 people in over 50 countries, provides software, networks, and professional services that power high-performance, transaction processing solutions. The Company’s core market is the lottery industry, with a growing presence in commercial gaming technology and financial services transaction processing. For more information about the Company, please visit GTECH’s website at http://www.gtech.com.

CONTACT: Robert K. Vincent, Public Affairs, GTECH Corporation, Phone: 401-392-7452

SOURCE: GTECH Holdings Corporation (http://www.gtech.com) media release.


INTRALOT Presents Company Overview at the Citigroup Annual Small/Mid Cap Conference 2004

ATHENS, Greece (October 13, 2004) -- INTRALOT, a leading lottery supplier to State Lotteries around the globe, will participate in the Citigroup Annual Small/Mid Cap Conference in London on Monday, October 18th, 2004.

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INTRALOT’s General Director of Finance and Business Development (CFO), Mr. John Pantoleon and the company’s Financial Analysis and Investor Relations Manager (CFA), Elias Athanasiou, will present an overview of the company to institutional investors from around the world.

INTRALOT is a leading supplier of integrated gaming and transaction processing systems, innovative game designs and value added services to state-licensed gaming organizations and financial services providers worldwide. With 29 subsidiaries and 1,500 people in 26 countries and revenues of € 320 million, the company dominates in Europe, has secured a strong position in South America and has established a foothold in North America, while expanding its presence in S.E. Asia and Australia. Following a highly successful period of rapid growth, INTRALOT currently ranks 3rd on revenues and 2nd on profits among lottery suppliers worldwide.

For more information please CONTACT: Mr. Elias Athanasiou, Financial Analysis and Investor Relations Manager, Tel. +30-210-6156000, Fax: +30-210-6106800, email: athanasiou@intralot.com.

SOURCE: INTRALOT (www.intralot.com) media release.


PAC-MAN™ CASH Set for World Lottery Debut; Delaware Lottery to Introduce Classic Video Game Character as a $2 Instant Game, Featuring a Maze Play Style

ALPHARETTA, Georgia (October 12, 2004) -- PAC-MAN™, the video game that changed an entire industry in the 1980s and is now enjoying a huge resurgence in popularity, will make its world lottery debut as a $2 instant game in the state of Delaware in early November, MDI Entertainment announced today. The wholly-owned subsidiary of Scientific Games is the exclusive provider of PAC-MAN™ lottery licenses in the United States and Canada.

Delaware's Pac-Man Cash Ticket

The Delaware Lottery version of PAC-MAN™ CASH features a unique maze-type play style that replicates the play action consumers have enjoyed for two decades. The MDI-licensed game will also feature a top cash prize of $3,000, a three-in-one video arcade machine featuring Ms. PAC-MAN™, Galaga™ and classic PAC-MAN™, and 64 PAC-MAN™ merchandise prize packs. The arcade machine and prize packs will be awarded in a PAC-MAN™ CASH second chance drawing.

"Our players really enjoy playing licensed games. Recent instant games like TABASCO®, Harley-Davidson® and Wheel of Fortune® have sold very well," said Brian Peters, Delaware Lottery Deputy Director, Marketing and Sales. "The PAC-MAN™, concepts presented in focus group testing did extremely well. We believe that the universal familiarity with the PAC-MAN™ brand will ignite the fascination of all of our lottery scratch game consumers."

Said Steve Saferin, President of MDI: "An enduring principle of instant game success is one that applies equally to video games and their success: ‘keep your game-play simple and your goals fun, entertaining and teasingly challenging to achieve’. Over the years, PAC-MAN™ as an arcade-game, has shown this principle to be true, and it’s why we are now confident PAC-MAN™, marketed as an instant game, will also have great appeal with today’s lottery player."

The animated video game character will celebrate its 25th anniversary in 2005. This fact – combined with PAC-MAN’s evolution into home gaming, mobile gaming and casino gaming, plus its diverse fan base – were the key drivers of MDI’s decision earlier this year to enter into an agreement with NAMCO Holding Corp. for the PAC-MAN™ lottery licensing rights. Lottery products also covered under the three-year agreement include pull tabs, and online (terminal-generated) games and promotions.

Today, PAC-MAN™ is a worldwide pop-culture icon. Just last year, Rolling Stone Magazine named the animated video game character one of ten "American Icon" symbols, along with the Peace Sign™, Levi Jeans® and the "@" symbol.

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About Scientific Games

Scientific Games Corporation (www.scientificgames.com) is the leading integrated supplier of instant tickets, systems and services to lotteries, and the leading supplier of wagering systems and services to pari-mutuel operators. It is also a licensed pari-mutuel gaming operator in Connecticut and the Netherlands, and is a leading supplier of prepaid phone cards to telephone companies. MDI Entertainment, a wholly owned subsidiary of Scientific Games Corporation, is the worldwide leader in licensed lottery games and promotions.

Namco Holding Corporation

Namco Ltd. is a Tokyo-based world leader in the high-tech entertainment industry. Namco participates in the production, distribution, and operation of a diverse set of entertainment products, which include coin-operated arcade machines, home videogame software, game arcades, and mobile games. Namco has created some of the industry's greatest video game franchises: Pac-Man®, Galaga®, Tekken®, Soulcalibur®, and Time Crisis®. For more information about Namco and its products log onto www.namco.com.

SOURCE: MDI Entertainment.
CONTACT: Bob Kowalczyk, Phone: 678-297-5169.


WestLotto’s "Big Bang" -- Over 4,000 Wincor Nixdorf Lotto Terminals go Live at Once

PADERBORN / MÜNSTER, Germany (October 11, 2004) -- On the morning of September 27, WestLotto (Westdeutsche Lotterie GmbH & Co OHG) commenced operation of its 4,000 new Wincor Nixdorf lottery terminals. Even for Wincor Nixdorf, as a manufacturer of terminal solutions, starting up such a large number of terminals at the same time – for the first time – was also a big challenge, and one which has deservedly earned itself the title "Big Bang" – the nickname given to such dramatic events in the lottery world.

The 4,000+ Xion/Mtop terminals had to be pre-loaded with software in a very short space of time at Wincor Nixdorf’s home base in Paderborn before being installed by 30 teams in the lottery outlets across the whole of North-Rhine Westphalia. 85% of the units were installed in the period between the beginning of July and the end of August, with the remaining terminals taken to the outlets during the final two weeks after being used at 41 different locations to train around 8,000 shop employees.

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As well as the terminals and the terminal software, Wincor Nixdorf also supplied download servers which supply the terminals with software updates after installation, and also an installation server for automatic start-up and exchange of encryption data plus an editorial content management system. The content management system can be used by WestLotto to send multimedia data for on-screen display and data to be printed on lottery tickets, enabling increasingly thrillseeking lottery customers to be addressed specifically with information and advertising.

"We regard the project as a big success. Even though we have a great deal of experience with mass rollouts, we’ve never before started up such a large number of terminals", said Rainer Schilbach, Manager of Wincor Nixdorf’s Lottery Solutions business unit. Even in the company’s core business with banks and retailers, such a rapid conversion to a new generation of systems is a first. WestLotto had decided to go for this challenging approach to avoid the time and cost of running two systems – old and new – in tandem. Wincor Nixdorf had been given the thumbs-up in December 2003 to supply the new-generation terminals to Germany’s largest lottery operator, having successfully fought off international competition in the tendering process.

Over 16,000 Xion /Mtop‘s have been sold in Germany alone. As well as WestLotto, the lottery companies in the German provinces of Bavaria, Berlin and Brandenburg, Mecklenburg West-Pomerania, Saarland, Saxony and Lower Saxony are also Wincor Nixdorf customers.

About Wincor Nixdorf

Wincor Nixdorf is one of the world’s leading suppliers of IT solutions to banks (private clients business) and retailers. Its extensive portfolio, consisting of hardware products, software, consulting, maintenance and other services, is aimed at optimizing business processes within branch operations, reducing cost and complexity and, at the same time, improving service to the customer. The company has around 5,000 employees (September 30, 2003) and made net sales revenues of € 1,440 million last fiscal year. Wincor Nixdorf has a presence in over 90 countries, with its own subsidiaries in 30 of these. In terms of dispatches of automated teller machines (in-house estimates) and programmable "ePOS" electronic point-ofsale systems (source: Clarendon Report, April 2004), Wincor Nixdorf is one of the top three suppliers in each market. In Europe, the company is currently the No. 1 in programmable ePOS systems, as measured by dispatch volumes. Wincor Nixdorf’s main production sites are in Paderborn, Germany (alongside corporate HQ), and in Singapore.

SOURCE: Wincor Nixdorf International GmbH media release.
CONTACT: Ulrich Nolte, Tel. +49 (0) 5251 / 6935211, Fax. +49 (0) 5251/ 6935222.

EGET Banner

EGET Delivers the First Mobile Joker Poker to the European Licensed Online Gaming Market

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HELSINKI, Finland (October 11, 2004) -- European Game & Entertainment Technology Ltd Ab (EGET), a Finnish supplier of digital gaming solutions, has delivered the first mobile Video Poker game to a licensed European online gaming operator, Ålands Penningautomatförening (PAF).

The first Video Poker game chosen by PAF, a licensed gaming operator based in the Finnish Aland Islands, for the mobile market is Joker Poker. The delivery aligns perfectly with EGET’s strategic aim to enhance its position as the provider of market leading mobile gaming solutions. This latest delivery builds on the company’s earlier mobile game deliveries to other national operators, which started already in 2002.

"I believe that the Nordic markets are truly ahead of others when it comes to the development and commercial use of mobile gaming solutions. We have already earlier delivered profitable mobile betting solutions to other Finnish and Swedish national gaming operators. Yet Joker Poker is visually and content-wise the most appealing mobile game we have developed so far", comments Lauri Gorski, CEO of EGET.

image2

In order to play Joker Poker a registered player needs a Java supported cellular phone and a GPRS-connection. The game application can then be easily loaded to the phone via PAF’s web site. Logging in to the Joker Poker game is done by using the same codes as the player uses when playing at PAF’s Internet site.

The Joker Poker game follows standard poker rules with jokers added to the game. Five cards are dealt and the player holds the desired ones while having the possibility to change the unwanted cards to new ones. In the case of a winning hand, the player has the option to play a double playoff round, where it is possible to double the winnings. The maximum win amount of one game is € 1,600. "The payback percentage of this game is extremely high according to Scandinavian standards – 97. We have also tested that a GPRS connection time, where the gaming session includes 10 normal games costs approximately 15 cents for the player, while one hour gaming session stays around 60 cents", says Stefan Pettersson, PAF’s Business Development Manager.

For more information, please contact: Ms. Riikka Seppänen (EGET), Marketing Manager at +358-9-413 00 136 or riikka.seppanen@eget.fi or Mr. Stefan Pettersson (PAF), Business Development Manager at +358-18-24 180 or stefan.pettersson@paf.fi

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About EGET

European Game & Entertainment Technology Ltd Ab (EGET) was founded in 1999. EGET specializes in providing digital gaming solutions for licensed gaming operators in fully regulated jurisdictions. EGET is a driving force in the evolution of gaming systems as well as related technology and services. EGET promotes open, interactive, player-centric platforms for casino, lottery, event betting and horse-racing industries.

EGET represents a unique combination of gaming industry know-how and expertise in Internet, mobile and e-commerce technologies, which positions EGET perfectly in the emerging market of interactive online gaming and allows it to respond to the needs of gaming operators and industry regulatory bodies worldwide.

For more information about EGET, please visit www.eget.fi

About PAF

Ålands Penningautomatförening (PAF) is an association under public law with the purpose of acquiring funds for the benefit of social welfare in the province of Åland, Finland, by offering gaming entertainment to the public. PAF’s net proceeds are distributed to cultural, sporting and social activities and causes in the province. PAF was founded in 1967 and operates under the supervision of the Åland government.

PAF’s activities cover both land-based, shipboard and Internet operations. The PAF group is currently providing some 40 ferries and cruise ships with turnkey gaming solutions, making it one of the world’s leading shipboard gaming operators. PAF operates lotteries, bingo, fixed-odds sports betting, tote betting, casinos and amusement games. PAF has today approximately 80.000 registered Internet customers.

For more information about PAF, please visit www.paf.fi

SOURCE: EGET media release.


Delaware Office Workers Claim $214 Million Powerball Jackpot

DOVER, Delaware OOctober 12, 2004) -- A group of employees at a Delaware printing firm is stepping forward to claim a $214.7 million Powerball jackpot, a lawyer for the group said Tuesday.

The lawyer, George B. Smith, said the winners, 33 employees at Sussex Printing Corp. who took part in an office pool, chose the cash option of almost $117 million, rather than annuity payments stretching over 29 years.

"We had a group meeting last night," Smith said in a telephone interview. "I think they're still stunned."

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He said after taxes, each of the workers will receive about $2.2 million.

Smith said the winners made up roughly three-fourths of the work force at Sussex Printing, which publishes a local advertising shopper called The Guide. He declined to identify the winners, and no one answered the telephone at the company Tuesday evening.Delaware Lottery officials confirmed that they validated the sole winning ticket Tuesday afternoon, The (Wilmington) News Journal reported.

Michelle Lewis, the manager of the convenience store that sold the winning ticket, told The News Journal that one of her clerks sold $165 in computer-picked tickets to a man who was buying them for an office pool.

The $214.7 million jackpot is the sixth-largest Powerball jackpot and the 10th-largest lottery jackpot ever, officials said. More than 68 million tickets were purchased.

SOURCE: The Associated Press.


EuroMillions Update

BASEL, Switzerland (October 8, 2004) -- Seven more European lotteries have joined the weekly draw game EuroMillions, launched in February 2004 by La Française des Jeux (France), Loterías y Apuestas del Estado (Spain) and Camelot (UK). The multi-state game's first draw with ten participating lotteries – the 35th since the game launched – was staged in France on October 8, 2004. The new partners are:

About the Game

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EuroMillions is a 5/50 + 2/9 pari-mutuel draw game. The original format has not changed with the expansion from three lotteries to the current ten. The player selects 5 numbers from a total of 50 and 2 Lucky Stars from a total of 9. A quick-pick option and five-week subscriptions are also available, and players can choose a systems play to increase their chances of winning. In all, there are 12 prize levels, with prizes at each level being shared among winners at that level. Last-tier prizes of an average of 9 euros are paid for matching just two numbers and one Lucky Star. The overall chance of winning any prize is 1:24.

A big part of EuroMillions' player appeal comes from its Rolling Jackpot feature. Compared with other draw games organized by the partner lotteries, the odds of winning the jackpot are lower but the top prize amount is higher. Now that there are 10 lotteries taking part in EuroMillions, jackpot amounts should be bigger, but the odds of winning remain the same.

The suspense that builds up around the game as the jackpot gets bigger increasing public awareness and the popularity of the game.

With no first-tier winner in this first draw with ten participating lotteries, the rolling jackpot is expected to reach €17 million on October 15

SOURCE: Word Lottery Association.
CONTACT: Yvonne Schnyder, Secretary General, Phone: +41 61 284 1111, Email: ys@world-lotteries.org.


British Columbia Lottery Corporation Offers Select Lottery Games Through the Internet

KAMLOOPS, British Columbia, Canada (October 8, 2004) -- British Columbia Lottery Corporation (BCLC) today introduced Internet play and purchase as a new way to distribute select lottery products.

B.C. residents aged 19 and over now have the option to make limited purchases of four BCLC sports-based games – Sports Action Point Spread, Oddset, Over/Under and a new Football Pool. Players go to sportsactionbc.com to access PlayNow, a secure Web site that offers these select games for purchase online.

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"The Internet has changed the way we work, communicate and play. More consumers are choosing to use the Internet to shop, bank and access government services," said Kevin Gass, Vice-President, Corporate Communications and Marketing. "By offering select lottery games on the Internet, we are providing an alternate way for our players to buy their favourite games."

The PlayNow site incorporates stringent safeguards, standards and codes of conduct for Internet play. The games are limited to B.C. adults, and have appropriate messages and features in place to encourage responsible play practices, including a $70 maximum weekly limit on the amount that a player may fund their Wallet Account.

"In developing PlayNow, we focused on system integrity and security," said Mr. Gass. "As a result, customers can feel confident they are purchasing lottery products in a regulated online environment they can trust."

Jim Lightbody, Vice-President, Lottery Gaming, said the PlayNow site is another example of BCLC’s commitment to player-focused services that satisfy customer needs and expectations.

"Everything is easy to use – just point and click. Players will be excited to learn that there is also a new game in the Sports Action lineup. The new Football Pool game has a $10,000 guaranteed jackpot each week and can only be purchased through the PlayNow site," said Mr. Lightbody.

In B.C., the Corporation is the provincial Crown mandated to conduct and manage gaming and is the only organization that can lawfully offer Internet gaming in this province.

Revenues from BCLC’s Internet sales will combine with revenues from BCLC’s traditional lottery, bingo and casino gaming to benefit all British Columbians. Last fiscal year, $720 million in net income was returned through government programs for health, education, social, community, charitable and municipal purposes.

What is PlayNow?

PlayNow is a new secure section within British Columbia Lottery Corporation’s (BCLC’s) Web site that houses select lottery games available for purchase on the Internet. Players can access PlayNow from sportsactionbc.com or bclc.com.

What games will be offered?

B.C.’s first lottery products available online are Sports Action Point Spread, Oddset, Over/Under plus a new Sports Action Football Pool game. To enjoy any of these four games, players register online, create a player account and are assigned a Player Account Wallet, at which point they are ready to purchase PlayerCash.

Over the next three years, we plan to offer more of our most popular lottery games and interactive play products on the PlayNow site.

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How do the games work?

Sports Action Point Spread, Oddset and Over/Under games can be played in the same way they are played when purchased from a traditional lottery retailer. The Football Pool game, offered exclusively from the PlayNow Web site, offers a menu of 15 football weekly games with each game assigned a point spread or line. The player predicts the outcome of all 15 games (players decide if the favourite will beat the underdog by the spread or more) for $5.

Players can win prizes for picking 12, 13, 14 or 15 games correctly. The top prize is won when 15 games are matched. The Football Pool game has a $10,000 guaranteed jackpot (win or share) each week and grows until it’s won.

Why can BCLC sell lottery products over the Internet?

Under the Criminal Code of Canada, only the Province or its Agent can conduct and manage gaming on or through a computer.

Does any other lottery jurisdiction offer lottery products over the Internet?

BCLC is the second lottery jurisdiction in North America to offer select lottery products through their Internet site. Atlantic Lottery Corporation (ALC) launched PlaySphere on August 24, 2004 with Lotto 6/49, Atlantic 49 and Lotto Super 7 among their product offerings. Only adult residents of Atlantic Canada can purchase products through PlaySphere.

How much revenue is expected to be generated from PlayNow?

PlayNow is not only a new experience for our players – it’s a new experience for BCLC. The experience of many European jurisdictions that currently offer lottery games through the Internet and within their jurisdiction shows that sales revenues are relatively modest (5 – 8 per cent of total lottery business). We forecast that fiscal year 2005/06 revenues from PlayNow will reach $22 million.

What commitments does BCLC make to its Internet players?

PlayNow is a state-of-the-art, online environment. BCLC’s Internet Gaming Code of Conduct & Responsible Play is available in full at bclc.com. In short, a player can trust that we:

  • Respect privacy: Inform players why we are collecting personal information and how that information will be used. A player’s right to privacy is protected under the B.C. Freedom of Information and Protection of Privacy Act.
  • Restrict play to adult: To play, a player must be 19 years of age or older. That’s the law.
  • Set weekly limit: There is a $70 maximum weekly limit on the amount a player may fund their Wallet Account.
  • Only allow B.C. residents to play: A player must be physically located in British Columbia at the time of game purchase.
  • Help keep it fun: The PlayNow site uses a wide variety of industry-leading responsible play strategies to minimize problem behaviour.
  • Are fair and honest: The integrity and security of our games offered through the Internet will be as high as that for all of our other operations.

What safeguards, controls responsible play features are in place?

BCLC has a variety of safeguards and controls throughout the PlayNow site. These include:

  • Set Weekly Limit: A $70 maximum limit on the amount that a player may fund their Wallet Account.
  • Session log: Time and amount spent is visible on each Web page.
  • Purchase history: Tickets purchased and amount spent for the past 52 weeks.
  • Age control: 19+ and data verification using one of Canada’s major credit bureaus.
  • Residency: Each time a player logs on, a "geo-location" check is automatically performed to verify they are in B.C. If they are out of province, the system will not allow game purchases to take place.
  • Player accounts: User names and password protected.
  • Secure payment methods: Players can choose to use their online bank accounts, Visa or Mastercard to fund their Wallet Account with Player Cash.
  • Player privacy: Meets or exceeds all statutory requirements

How do you know a player is at least aged 19 and in the province of B.C. when they access BCLC games over the Internet?

We have invested in significant safeguards, authentication processes and security measures to ensure the integrity of our games. An individual must register and create a player account before play is enabled. To do this, the player must provide credit card information that will be sent electronically to one of Canada’s major credit bureaus. This third-party validation verifies both age and residency, and then confirms with BCLC the individual’s personal information. BCLC only uses this information to verify age and residency. No financial credit information is required or obtained by BCLC.

The purchase of lottery products can only occur while the player is physically located in B.C. and it is a violation of the PlayNow Player Agreement to attempt to purchase if outside of the province.

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How does a winner collect a prize?

If a player wins any amount under $10,000, the prize will automatically be converted into PlayerCash and credited to the player’s Wallet Account. If the prize amount puts the balance of a player’s Wallet Account over 9999 in PlayerCash vouchers, the prize will be paid by the method selected by the player at the time of registration, either Electronic Funds Transfer (direct bank deposit) or via cheque to the player’s registered address. A player’s Wallet Account cannot exceed the maximum PlayerCash limit, which has been set at 9999 PlayerCash vouchers. (Each voucher is equal to $1.00)

Wins of $10,000 or more must be claimed in person at one of BCLC’s offices within one year of the draw date or one year from the date that the game was completed. BCLC’s Consumer Services is pleased to provide information on how to claim.

Can you still buy Sports Action products from a lottery retailer?

Yes. We’re committed to our traditional lottery retailer networks and will continue to work with them to provide new promotional opportunities and innovative games. We plan to spend $30 million over the next three years in new point-of-sale terminals, customer transaction display units, self-service technologies and new game developments.

Can a registered player purchase products online 24 hours a day?

A registered player can make purchases from the PlayNow Web site from 6 a.m. to 1 a.m., seven days a week.

Will community and charitable organizations share in the revenue?

Like all sales from BCLC gaming, the net income from the PlayNow site will stay in B.C. to enhance the lives of British Columbians.

Last year, BCLC generated almost $1.9 billion in gaming revenues. Lucky lottery and bingo winners took home $643 million. $720 million was directed to public benefits, including health care, education and social initiatives, and municipal and charitable programs. Gaming also sustains more than 8,500 direct jobs in the province and provides $357 million in economic benefits.

For more information on Where the Money Goes, visit www.bclc.com.

What initiatives are in place to reduce the risk of problem gambling in B.C.?

BCLC’s mission is built on a foundation of providing high-quality gaming entertainment in a socially responsible manner for the benefit of all British Columbians. BCLC works in partnership with its service providers and those involved in the prevention and treatment of problem gambling. This partnership was formed to help address issues and provide reliable and accurate information.

To meet the challenges of problem gambling, B.C.’s social responsibility initiatives include:

  • 19+ program: BCLC distributes signage and point-of-sale materials, advising that players must be 19 years of age or older.
  • Voluntary Self-exclusion Program: BCLC administers a program that allows individuals to voluntarily exclude themselves from casinos, commercial bingo halls, Community Gaming Centres and PlayNow for a specified period of time.
  • Employee Appropriate Response Training: ART training helps gaming staff gain the skills and knowledge needed to provide appropriate assistance to customers who are in distress.
  • Provincewide access for problem gamblers: A 24-hour, toll-free Help Line, administered by the Government of B.C., is available at 1-888-795-6111, providing access to counselling services.
  • Provincewide awareness: BCLC makes available brochures, Help Line stickers and posters at all casinos, commercial bingo halls and lottery retail outlets.
  • Prevention and education initiatives: BCLC provides information about products, the availability of the provincewide network of community-based counselling services and the risks associated with gambling.
  • Funding of problem gambling research: BCLC provides support for professional research into problem gambling.

More information about B.C.’s problem and responsible gambling initiatives can be found at: www.bcresponsiblegambling.ca.

SOURCE BCLC media release.


Kenilworth Offers to License Roulabette™ System to Lotteries

MINEOLA, N.Y. (October 12, 2004) -- Kenilworth Systems Corporation (OTC PS: KENS) as a non-member, was invited to present Roulabette™ to members of the World Lottery Association (WLA) at a Seminar, which took place in Playa Herradura, Costa Rica titled: "Is There a Future for Lotto?" and offered its solution for the dilemma it is facing -- how the Lottery industry can sustain growth in an increasingly competitive gambling market. The four (4) day Seminar concluded earlier this month.

To counter this problem, Kenilworth offered to license Roulabette™ to lotteries in Europe and the Americas.

Roulabette™ is a method and system for individuals to watch and play along with live, in-progress casino table game action at homes, hotel/resort rooms, racetracks, sport stadiums, restaurants, pubs and bars and other public gathering places, and wager much like they are in a casino playing at the table.

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The "Bet as You Watch Casino on TV" service would be deployed in conjunction with lottery systems. Players will be able to go to their local lottery agent and make deposits for wagers and/or collect winnings in the same manner as if they are purchasing lottery tickets, using Roulabette™ play cards inserted in the terminal.

The WLA meeting debated issues suggesting Lotto was boring, number extraction would never be an exciting game, the chances of winning are extremely low and that Lotto needs more entertainment value. A consensus of the members found that Lotto sales rely heavily on increasing mega-jackpots, and without high jackpots, Lotto sales stagnate.

Gino Scotto, CEO, who made the presentation, underscored the value of Roulabette™ as the solution. "With tournament play, Roulabette™ can offer both large jackpots and entertainment value."

"Since Roulabette™ is a highly regulated initiative, by licensing lotteries and their operators, Kenilworth’s system can ensure that the underage won’t participate in the casino action," Scotto emphasized.

He added: "Lottery terminal operators must observe the minimum age laws or face criminal penalties. In addition, efforts will be made to identify compulsive gamblers. By monitoring all wagering action, the lottery systems can identify the underaged, problematic gamblers and limit or shut down their participation and obsessive gambling habits."

Herbert Lindo, Chairman and President of Kenilworth estimates that Roulabette™ play worldwide could reach $300 to $500 billion annually in the next five years.

He commented: "Lotteries around the world pride themselves on using their income for social development programs. Roulabette™, by increasing lottery revenue, will enable greater social development in jurisdictions where it is available."

About Kenilworth Systems Corporation

Kenilworth Systems Corporation has been a publicly traded company since 1968 and owns the patents and patent pending rights for Roulabette™. For more information about the Company and the Roulabette™ System, and to view its presentation at the WLA seminar, go to http://www.Roulabette.com.

About the World Lottery Association

The World Lottery Association is headquartered in Basel, Switzerland. The international member organization represents 144 lotteries from 77 countries on all five continents, along with 57 lottery industry suppliers. Additional information may be found at http://www.world-lotteries.org (WLA web site) or +41-61-284-1111.

SOURCE: Kenilworth Systems Corporation media release (http://www.Roulabette.com).


Lotteries Help State's Surf Life Saving Get The Job Done This Summer

SYDNEY, NSW, Australia (October 11, 2004) -- To coincide with the official start of beach patrol this season, NSW Lotteries and Surf Life Saving NSW have joined forces to spread the word on the importance of beach safety by launching a $2 "Surf Life Savers" Instant Scratchie.

The Instant Scratchies game offers a cash prize of up to $100,000 and features six messages promoting awareness of beach and swimming safety which support the work that will be done by thousands of volunteer life savers this summer.

Today, NSW Lotteries handed over a donation of $11,000 worth of the Scratchies to Surf Life Saving NSW Chief Executive Officer, Phil Vanny to assist with their fundraising efforts this season. Mr Vanny said the tickets would be distributed to their eleven branches in NSW and used in raffles and at weekly bar b ques to raise money for the local surf clubs to buy surf lifesaving equipment.

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Mr Vanny thanked NSW Lotteries for both the donation and for using the Scratchie as a vehicle to communicate the work done by lifesavers in our community. " We are a volunteer organisation and constantly need funds to buy new surf life saving gear and really appreciate this gesture of goodwill from NSW Lotteries.

"Education plays a vital role in beach safety and sadly there are still too many people ignoring warnings to swim between the flags, sometimes with fatal consequences. If this Instant Scratchie ticket indirectly assists us in preventing even one drowning this summer it will be worth it," Mr Vanny said.

NSW Lotteries Marketing Director Mr Andrew Everett said that he was proud to support Surf Life Saving NSW with the Instant Scratchies to aid their efforts in raising money.

"These men and women are unsung heroes who give up their time to patrol our beaches and protect the community and fully deserve our support. We hope that the game proves to be popular and helps get the message across, " Mr Everett said.

The $2 "Surf Life Savers" Instant Scratchies are currently on sale at all NSW Lotteries Agencies. NSW Lotteries expects to sell close to two million tickets in the new game through its 1,500 agencies in NSW and the ACT.

SOURCE: NSW Lotteries media release.


Big Improvement in New Zealand Lotteries' Result For 2003/2004

NEW ZEALAND (October 14, 2004) -- An extremely strong first six months, driven by several Powerball jackpots, and a solid performance in the third and fourth quarters, meant New Zealand Lotteries Commission (NZLC) had sales and profit results well above those of the previous financial year, NZLC Chief Executive Trevor Hall announced today.

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Mr Hall said NZLC's Annual Report showed that over the past year the organisation had achieved a significant turnaround in its performance. Sales for the year were 16.4% above the last financial year at $628.8 million. Strong sales coupled with low operating expenses resulted in NZLC making a profit of $133.45 million, 24% ahead of last year.

"Achieving a strong financial result allowed NZLC to give more money back to New Zealand communities," said Mr Hall. "We were delighted to transfer $118.45 million to the Lottery Grants Board to fund arts, sporting and community projects throughout New Zealand, $10.65 million more than in the previous year," he said. "NZLC's financial performance over the past year was, by any measure, an exceptional one. The number of very large Powerball jackpots we had was statistically abnormal and cannot be expected to recur every year.To achieve long-term sustainable growth we must continue to make fundamental changes to the business," said Mr Hall.

He said the first major change to occur was the revamp of Lotto in August this year, the biggest since the game began in 1987. These changes, including the introduction of Winning Wheel, had been received positively by customers. "In looking forward we are focussing on four major areas for investment: continuing to revitalise Lotto, developing new games, expanding and optimising NZLC's retail network and replacing our gaming system. These initiatives, due to come to fruition over the next three years, will place NZLC in a strong position to underpin continued success," said Mr Hall.

SOURCE: New Zealand Lotteries Commission press release.

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