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Vol. 34 No. 9 -- Monday March 6, 2006
MDI Entertainment Inc.
Oberthur Gaming Technologies
KEBA AG
  • Lottery Fiscal Year Sales Reach $1 Billion To Date. Full Story
  • WLA Welcomes Lottery Dynamics as Associate Member and Platinum Contributor. Full Story
  • Scientific Games to Supply New VLT System to West Virginia Lottery. Six-Year, $6.2M Pact Provides Hardware, Software, Maintenance for 20K VLTs. Full Story
  • Design A Game From Scratch” Promotion. Full Story
  • Minister Names Head of New Olympic Lottery Distributor. Full Story
  • 2005 Record Year for Lottery Winnings!. Full Story
  • Aristocrat Names Brad Johnson Vice President, Marketing for the Americas. Full Story
  • New Mexico Lottery Passes $200 Million Milestone for Lottery Success Scholarships. Full Story
  • Cathy Marshall Joins MDI Entertainment Team. Full Story
  • Self-service innovations for a competitive edge! KEBA at the CeBIT 06. Full Story
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Lottery Fiscal Year Sales Reach $1 Billion To Date, Crushing Past Records

BALTIMORE, Maryland, USA (February 23, 2006) – Overall sales for the Maryland Lottery’s current fiscal year just hit $1 billion, setting a record for the earliest date, in any fiscal year, that the Lottery has reached the billion-dollar mark.  “Attaining this milestone so soon in the fiscal year is quite an accomplishment,” said an elated Buddy Roogow, Director of the Maryland Lottery.

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The record was set following one of the Lottery’s biggest weeks in history. During the first week of February, the Lottery generated nearly $35 million in sales.That same week, scratch-off sales exceeded $11 million for the first time, and Pick 4 sales reached an all-time high of almost $5 million. Keno and Keno Bonus recently experienced their largest week as well, producing more than $10.2 million in sales. 

The increased sales volume has players faring well. Many are experiencing some of the Lottery’s biggest payouts.  Pick 3 and Pick 4 players, in particular, are enjoying a spate of good luck. Among the good fortune, during the first week of February, Pick 3 payouts averaged 98%. At the same time, Pick 4 payouts averaged more than 97%, hitting their highest level since July 2005. 

Roogow attributes the Lottery’s success to the launch of a variety of brand-new games and promotions in the first half of the fiscal year. “We are committed to making players’ experiences fun by refreshing playing options and introducing concepts they haven’t seen before,” said Roogow.

Multi-Match, a new Lotto-style game that recently replaced Lotto, provides players with more ways to win, more prizes, and better overall odds. Introduced in early February, Multi-Match sales are averaging 44% more per week than previous Lotto sales.

With the turn of the calendar year, the Lottery also introduced players to a new $20 price point by unveiling $20 Million Mania. The new price point is being well received by players and has contributed to the scratch-off category’s recent spike in sales.

The Lottery’s fiscal year runs through June 30, 2006. If sales continue at this pace, the Lottery is likely to exceed sales and revenue estimates for the year.  Lottery revenues are directed to the State’s General Fund to assist programs such as education, public health, public safety, the environment, and human resources.

SOURCE: Maryland Lottery.
CONTACT: Jimmy White, 410-230-8800.

WLA Welcomes Lottery Dynamics as Associate Member and Platinum Contributor

BASEL, Switzerland (February 27, 2006) -- The WLA is pleased to welcome Lottery Dynamics LLD as an associate member and Platinum Contributor. Based in Irving, Texas, Lottery Dynamics LLC offers proprietary programs designed to re-energize lotto and other lottery games by highlighting player choice, player value and player excitement. The company’s programs work with any matrix and any currency around the world.

"The WLA Contributors Program enables supplier organizations to support WLA events and selected projects in a structured, transparent way," said WLA President Arch Gleason. "Lottery Dynamics' decision to join the WLA and to sign up as a Contributor underscores the Association’s unique value as a gateway to the worldwide state lottery community."

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"This is both a tremendous honor and opportunity for Lottery Dynamics, which had its commercial launch only 18 months ago at the WLA Convention in Durban," said Stephan Egli, Chairman and President of Lottery Dynamics. "We feel privileged that we will be joining the ranks of established industry leaders in helping to shape the future of this $200 billion global marketplace."

Lottery Dynamics currently offers two programs, Lotto Gold+™ and Lotto Silver+™, which are designed to help revitalize sales of the core lottery product through multiple-priced ticket offerings and higher jackpots. The company believes that its patented programs have the potential to raise lottery revenue significantly without sacrificing traditional profit margins and the subsequent transfer of funds to good causes.

For more information Karen Lazarovic, VP Corporate Communications, can be contacted at klazarovic@lotterydynamics.com.

About the WLA Contributors Program

The WLA Contributors Program helps to fund major events and certain WLA projects and is open to any associate member wishing to take part. There are three levels of Contributor – Platinum, Gold and Silver – each with a corresponding fee and a clearly defined set of privileges. Further information is available from the Basel business office.

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


Scientific Games to Supply New VLT System to West Virginia Lottery
Six-Year, $6.2M Pact Provides Hardware, Software, Maintenance for 20K VLTs

NEW YORK, USA (February 28, 2006) -- Scientific Games [Nasdaq: SGMS] will supply a new AEGIS-Video™ Central Monitoring System (CMS) to the West Virginia Lottery under terms of a contract announced today. The CMS will run the lottery's network of 20,000 video lottery terminals (VLTs) at four race tracks and 1,600 additional retail locations throughout the state. The contract runs for six years with four one-year option years. The contract is valued at $6.2 million over its initial term.

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The new CMS will include both new hardware and software to run equipment from ten different licensed gaming manufacturers in the West Virginia network, and while it will upgrade to the Slot Accounting System (SAS) 6.01 communication protocol, it will be compatible with legacy equipment using older SAS and IGT's ICIS protocols. The new system will allow the lottery to rapidly update its video lottery gaming capabilities across its network, including terminals located at racetracks and in retail outlets.

"West Virginia is one of the pioneers of video lotteries, so we're pleased that AEGIS-Video will be keeping them on the leading edge of video lottery operations in the United States," said Brennen Lawrence, Vice President and General Manager of Video Gaming Systems of Scientific Games. "The Lottery has played a critical role in supporting the state's racing industry -- along with education, seniors and parks -- and keeping the games running smoothly will ensure that it will be able to do even more in the future."

"Scientific Games has been an innovator in the video lottery industry for years and the AEGIS System offers the West Virginia Lottery the necessary tools to continue our success," said Lottery Director John Musgrave. "With the AEGIS-Video central monitoring system, we'll be able to bring our players all the newest games and gaming experiences without having to replace all our incumbent terminals at once, and that's a perfect way to mark the 20th anniversary of the West Virginia Lottery."

Scientific Games provides video gaming central systems and or services to the Maine Gaming Control Board, New Mexico Gambling Control Board, South Dakota Lottery, Soceite Des Lottery Video Du Quebec (Canada), Islandsspil (Iceland), Manitoba (Canada) and are in the process of implementing AEGIS-Video Systems to the Delaware Lottery, and Independent Gaming Corp (Australia).

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Now celebrating "20 Years of Winning for West Virginians," the West Virginia Lottery supports state programs for education, senior citizens, parks and tourism. Lottery revenues have helped finance more than 40,000 computers for the public schools, handicapped access in the state parks, and transportation and home health care for seniors. After transferring profits to the state's general fund in its early years of operation, the lottery has been dedicated to specified beneficiaries since 1989.

About Scientific Games

Scientific Games Corporation 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. Scientific Games' customers are in the United States and more than 60 other countries. For more information about Scientific Games, please visit our web site at www.scientificgames.com.

Company Contact: Investor Relations, Scientific Games Corporation, 212-754-2233

SOURCE: Scientific Games.


Design A Game From Scratch” Promotion - Alice Hayes Creates New Instant-Scratch Game

DES MOINES, Iowa, USA (February 24, 2006) - A new lottery scratch ticket that just hit retail stores this week is the work of Alice Hayes of Webster City.

Dream'n of dollarsThe 69-year-old came up with the concept behind the “Dream’n of Dollars” scratch ticket. Last May, Hayes entered the Iowa Lottery’sDesign A Game From Scratch” contest. She won the $3,000 top prize for her artwork.
The Dream’n of Dollars ticket features a couple tucked in bed with just the tops of their heads peeking out from under the covers. Above them are scenes from their happy dreams of big winnings. Players play by scratching off alarm clocks. Players that find a “Z” win the prize shown below that symbol. Players that find a “ZZ” win double the prize shown below that symbol.
Hayes said, “I thought that when they scratched it off, they’d wake up and win!”

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Hayes, a lab assistant at Electrolux, said she came up with the idea for her game as bedtime approached one night.

Hayes’ entry was among more than 1,900 that the Iowa Lottery received in its “Design A Game From Scratch” contest. Iowans were invited to submit their original ideas for instant-scratch games for the chance to win cash prizes.

Dream’n of Dollars is a $2 scratch game. The overall odds of winning in the game are 1 in 4. Nine top prizes, each worth $12,000, are still up for grabs in the game. More than 620 prizes worth $100 are also available for this instant-scratch game.

Since the Iowa Lottery’s inception in 1985, more than $1.9 billion has been awarded in prizes and nearly $950 million has been raised for state programs.

SOURCE: Iowa Lottery.


Minister Names Head of New Olympic Lottery Distributor

LONDON, United Kingdom (February 24, 2006) -- Olympics Minister Tessa Jowell has appointed Janet Paraskeva, Chief Executive of the Law Society of England and Wales, to head the new Olympic Lottery Distributor (OLD).

The body's key role will be to ensure proper, timely and effective distribution of Lottery money to fund the provision of facilities, services and functions required for the staging of the 2012 London Olympic & Paralympic Games.

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The OLD came into existence in July 2005, following London's success in being selected as 2012 host city, and has been operating since then with an Interim Board.

Janet Paraskeva will take over as Chair of the OLD on March 1, serving a four year term. She will be joined by other board members, who will be appointed shortly.

Welcoming Janet Paraskeva to her new role, Tessa Jowell said:

"Janet, her board and staff will play an important role in distributing Olympic Lottery funding that, with London Council tax, will be the bedrock of the 2012 Games.

"The OLD will work closely with the Olympic Delivery Authority - which will be its main grant recipient - to ensure that Lottery monies raised for the Olympic good cause go straight to the projects at the heart of the London Games and provide real and continuing value for money.

"Earlier this month I helped launch the latest scratchcard game to help pay for the 2012 Games, with a Winter Olympic theme. Sales are going well and we have already raised more than £11 million - but this is just the beginning.

"I am very grateful to the Interim Board for their important work in the OLD's start up phase."

SOURCE: Department for Culture, Media and Sport (National) distributed by GNN.

2005 Record Year for Lottery Winnings!

AUGUSTA, Maine, USA (February 24, 2006) --- Maine State Lottery officials announced today that 2005 was a record setting year for prize winners. Players won $129 million in 2005, an increase of 10.25% over 2004 winnings. “People win everyday,” said Maine State Lottery Director Dan Gwadosky. “In fact, the Lottery awarded on average $2.4 million every week during 2005.” “It’s amazing when you think about the winners,” added Gwadosky. “Since 1985, there have been 188 millionaires thanks to the Maine State Lottery, with the most recent being Janet DeCosta who won $1.25 million on an instant scratch game.” While there is always interest in the jackpot games, Gwadosky explained that it is the everyday winners who reinforce the Lottery’s attraction and success.

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5,820 winners each won $1,000 or more in 2005 # Winners Prize Amount 23 $100,000 and over 22 $50,000-$99,999 301 $10,000-$49,999 5,474 $1,000-$9,999

According to Lottery officials, the Maine State Lottery reached $200 million in sales last year with instant scratch tickets accounting for the majority of total sales. 62% of all revenues were returned to players in prize winnings. 14% was distributed for store commissions, vendor fees, and administrative expenses, while the remaining 24% or $50 million was deposited into the state’s General Fund, which was then redistributed to over 200 various state agencies. Since its inception, the Lottery has returned $732 million to the General Fund.

With current year-end sales up 10%, 2006 should be an even bigger year for winners,” added Gwadosky. “And in addition to the obvious benefits for the winners and the state’s General Fund, Lottery sales have a significant impact on the more than 1,400 retail stores that sell lottery tickets. Last year, stores earned $15 million in commissions. That translates into an average store commission of $10,700 dollars. It truly is a win-win situation.

The Maine State Lottery was established in 1974 by Maine voters in a statewide referendum.

SOURCE: Maine lottery.


Aristocrat Names Brad Johnson Vice President, Marketing for the Americas

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LAS VEGAS, Nevada, USA (February 27, 2006) --
Aristocrat Technologies, Inc. today announced that Brad Johnson has been named Vice President, Marketing for its Americas business.

Johnson will oversee all of Aristocrat Technologies’ marketing activities, including product management, public relations, brand communication, trade shows, advertising, and promotions. 

He will report directly to Aristocrat Technologies President Gavin Isaacs and work closely with Kent Young, Aristocrat’s Global General Manager of Marketing.

SOURCE: Aristocrat Technologies, Inc.


New Mexico Lottery Passes $200 Million Milestone for Lottery Success Scholarships

ALBUQUERQUE, New Mexico, USA (February 28, 2006) -- The New Mexico Lottery Authority announced Tuesday that it has passed the $200 million mark in money raised for the popular Lottery Success Scholarship program. 

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With a $2.8 million wire transfer to State Treasurer Doug Brown, the Lottery has raised $202,712,799 for the Lottery-funded and merit-based instate tuition scholarship.       

This latest milestone comes just two years after the Lottery reached $200 million raised for New Mexico education, including both the Lottery Success Scholarship and an earlier program that helped finance school construction and repairs (public school capital outlay).

The Lottery has now raised $269,266,649 for New Mexico education, which includes $66,553,850 raised between 1996 and 2001 for public school capital outlay grants.

Tuesday's wire transfer represents Lottery profits through January 31.  February profits, including those generated by this month's huge Powerball jackpot, won't be known until the second half of March.

"Without the strong support of the people of New Mexico, our elected officials and more than 1,100 Lottery retailers across the state, this accomplishment could have taken much longer," said interim CEO Tom Romero.  "Surpassing $200 million just for the Lottery Success Scholarship in less than ten years is an honor and privilege for the Lottery's staff and board of directors."

According to the latest data from the New Mexico Higher Education Department, nearly 38,000 students have attended college in the state with Lottery Success Scholarships through the Spring 2005 semester. 

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The Lottery Success Scholarship was designed for New Mexico students of all ages who attend a public college or university after graduating high school or receiving a GED. 

Although the Lottery raises money for the Lottery Success Scholarship, the Higher Education Department administers the program.  Additional information about it is available at www.nmlottery.com , and by clicking on the "scholarship" link, or by going to http://www.hed.state.nm.us/ and clicking on the "financial aid" link.

The Lottery began operations in April 1996.  For five years profits were divided among the Lottery Success Scholarship and the Public School Capital Outlay programs.  Since 2001 all profits have been earmarked for the Lottery Success Scholarship.

SOURCE: New Mexico Lottery.
CONTACT: Lance Ross, Phone: 505-342-7616 or 800-642-6689, ext. 7616,
Email: lross@nmlottery.com.


Cathy Marshall Joins MDI Entertainment Team

ALPHARETTA, Georgia, USA (March 2, 2006) -- Lottery industry veteran Cathy Marshall has joined MDI Entertainment, a wholly-owned subsidiary of Scientific Games Corporation (NASDAQ: SGMS), as a Regional Vice President of Sales, bringing a wealth of knowledge and experience to MDI customers.

"Cathy's vibrancy, relaxed personality and enthusiasm are a welcome addition to our MDI team," said Steve Saferin, MDI president. "There are few people in the industry who have the experience and knowledge of what we do and Cathy is right up there among the best. We are very happy to have her as part of the MDI family!"

Prior to joining MDI, Marshall was a Regional Director at Scientific Games. She will now work with MDI customers in the following states: Colorado, Florida, Georgia, Illinois, Iowa, Maryland, Minnesota, Nebraska, New York, Oklahoma, Virginia and Wisconsin, some of which she handled as part of her responsibilities as a regional director. She said she looks forward to the new challenges of promoting the licensed-products side of the business, an area she believes is a strong part of growth for the lottery industry.

"MDI Entertainment is an incredible division of Scientific Games, with an unbelievable group of people working hard to make sure lotteries can offer the most fun, hip and exciting games to its players,” Marshall said. “I’m thrilled to join this exciting group.

Marshall has more than 18 years of lottery experience. Before joining Scientific Games in 1997, Marshall was a training specialist for eight years for GOVA, Inc., a lottery-specific field service and training company.

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As Regional Director at Scientific Games, she was responsible for instant game development, marketing, sales, promotions and research for seven state lotteries as well as the U.S. Virgin Islands and Norsk Tipping/Norway. She also managed staff responsible for various functions of operations from marketing to data processing and participated in quarterly and annual marketing planning programs for lottery jurisdictions, recommending game themes, product line ups, prize funds and tactical marketing planning.

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.

SOURCE: MDI Entertainment.
CONTACT: Jeff Schweig, Phone: 678-297-5212.


Self-service innovations for a competitive edge! KEBA at the CeBIT 06

LINZ, Austria (February 2006) -- At this year’s CeBIT (Hall 17 Stand D23) KEBA is displaying both proven and visionary solutions on the subject of customer self-service under the motto "Self-service innovations for a competitive edge".

KEBA offers proven solutions in the areas of cash-recycling and non-cash transactions. As a leader in technology and innovation in the cash-recycling sector with an installation base of more than 1,000 cash recyclers and pay-in/pay-out systems at banking institutions in Germany and Austria, KEBA can draw upon a vast amount of know-how in this promising self-service segment. The manufacturer selection made by FinanzIT in the summer of 2005, in which KEBA was awarded the status of an innovator in the area of cash-recycling and account information terminals, is proof and acknowledgement of their services in these fields.

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The Rondo 4cashcycle+ terminal from KEBA is the most reliable product on the market and provides an industry yardstick with its trend setting cassette technology for self-service recycling. Rondo 4cashcycle+ is impressive in the field with its high levels of availability (> 97%) and simple, intuitive operation for the user.

The emphasis on cost effectiveness and low TCO (Total Cost of Ownership) is not just paid lip service at KEBA. Cash handling costs, for example, are reduced by extending the refilling and emptying intervals. And the 4ecomp+ cost effectiveness tool makes it easy to calculate the criteria in favor of cash recycling for each individual branch office situation.

In addition to the successful cash recycling products, the profitable non-cash solutions are also presented. These online bank transfer terminals and self-service form acceptance terminals from KEBA present an economical replacement for the mechanical stamping boxes. These systems integrate the new Tosca 3 scanner, a KEBA proprietary development, which makes the possibilities of pay-in form processing even more simple and secure.

Visionary solutions are discussed by KEBA with the presentation of a study in biometric recognition and a new type of display screen. The display screen ensures maximum discretion for the user as well as high commercial appeal for the operating institution. The new Rondo configuration tool can be used to put together the optimum Rondo constellation that ideally meets the individual requirements of the particular branch office. There’s lots of exciting information to grab your attention this year on the KEBA booth at the CeBIT.

KEBA at the CeBIT in Hanover, 9.3.-15.3.2006, Hall 17, Booth D23. Find out about economical self-service solutions with an innovative edge.

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