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Vol. 43 No. 6
Monday May 12, 2008
Wincor Nixdorf
QLot

Schafer Systems Inc.

  • Lottomatica Announce 2008 First-Quarter Results Ended March 31, 2008. Full Story
  • Annual Shareholders General Meeting: With Robust Results & Rapid International Expansion INTRALOT Leads The Gaming Industry Full Story
  • Scientific Games First Quarter Revenues Rise 6% to $257 Million. Full Story
  • McGuinty Government, OLG and Pollard Banknote Deliver New Jobs as Part of $150 Million Project. Full Story
  • Iowa Lottery Implements Receipt Phase of Player Security Program. Full Story
  • Grab A Piece of Adventure” With The National Lottery, Camelot Launches New Indiana Jones™ Scratchcard Campaign. Full Story
  • Delaware Lottery Deals Winning Hand; Second-Chance Winners Enjoy 'Deal or No Deal' Travel Package. Full Story
  • Tipp24 First-Quarter Profit Rises 15% on Rising Internet Gambling Revenue, Regulations Slow Customer Growth, Political and Legal Situation Still Unresolved. Full Story
  • ELOT Receives Australian Patent for the Online Sales of Provincial Lottery Tickets; Could Boost Sales 15 Percent. Full Story
  • Maryland Lottery Celebrates 35th Anniversary. Full Story

Smartplay International Inc.

KEBA AG




 

Lottomatica Announce 2008 First-Quarter Results Ended March 31, 2008

Financial Highlights

• Group net income of €55 million, compared to €45 million in first quarter of 2007, and earnings per share of €0.28, compared to €0.23 in the first quarter of 2007

• At constant currency, first quarter 2008 EBITDA of €216 million (€205 million reported), compared to €212 million in 2007

• Delivering results as forecasted and confident about guidance

Business Highlights

• Revenue growth driven by Scratch & Win and Sports Betting in Italy

• Sports betting launched in Taiwan; Contract wins in Michigan, Kansas and Mexico

• Integrating and consolidating gaming machine subsidiaries Atronic and Spielo

Lottomatica Group 2008 First-Quarter Results

ROME, Italy - PROVIDENCE, Rhode Island (May 06, 2008) – The Board of Directors of Lottomatica S.p.A., chaired by Mr. Lorenzo Pellicioli, today approved the consolidated accounts for the first quarter ended March 31, 2008.

Lorenzo Pellicioli, Chairman & CEO of Lottomatica Group, commented: “Lottomatica Group has delivered a solid performance in the first quarter of 2008. In Italy our lottery business continues to achieve strong results and we are seeing further growth in new markets. In the U.S., GTECH has signed some important contracts this quarter, such as the Michigan Lottery, and recent acquisitions are being successfully integrated. In the international gaming market, the recent launch of a sports betting network in Taiwan will help to reinforce Lottomatica Group as a global player.”

Stefano Bortoli, CFO of Lottomatica Group, said: “The good financial performance of the Group in the first quarter was driven by our core lottery business and innovative growth in new markets. In the U.S., GTECH’s results were impacted by the translation effect of the euro-dollar exchange rate but the business continues to perform strongly. We remain on track to deliver on the targets set out in our 2008-2010 strategic plan.”

Revenues for the first quarter ended March 31, 2008 totaled €448.5 million, including approximately €195.2 million from GTECH operations and €253.3 million from Lottomatica operations. Overall, revenues grew 3% year-on-year (more than 8% growth at constant currency), while revenues from Lottomatica grew 20.2% year-on-year.

EBITDA was up 2% at constant currency, while reported EBITDA was €204.6 million, down slightly compared to the first quarter of 2007, with a 45.6% margin.

Operating income was €134.5 million for the quarter, down 4% over the same period last year. Operating income margins were approximately 30%. Net income was €55.4 million for the quarter ended March 31, 2008, up 23.1% over the first quarter of 2007, primarily due to the reduction in the effective tax rate in Italy. Net income also benefited from the natural hedge of the Company’s capital structure, which is primarily U.S. dollar denominated debt. The strengthening of the Euro against the U.S. dollar improved the Company’s net financial position.

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GTECH Operating Results and Business Highlights

At constant currency GTECH’s first quarter 2008 revenues were €219 million compared to €224 million in the first three months of 2007 (€215 million when adjusted for the sale of Polcard). As reported, revenue contribution for the three months of GTECH operations was €195.2 million (€176.1 million from the Lottery segment, and €19.1 million from Gaming Solutions). Same store revenue growth was 3%. The expected benefits of government gaming expansion activities are likely to improve same store revenues during the second half of the year. Product sales performance was affected by non-recurring sales in the first quarter of 2007.

At constant exchange rates, EBITDA for the first three months of 2008 was €81 million, compared to €90 million in the first quarter of 2007 (€86 million when adjusted for the sale of Polcard). As reported EBITDA for the first quarter of 2008 amounted to €70 million.

In the first quarter of 2008, GTECH continued to focus on its core lottery business, capitalized on new technology opportunities in sports-betting, and entered the interactive gaming space through strategic acquisitions.

During the quarter, GTECH signed a four-year contract extension to continue providing software licensing and additional software products and services to Veikkaus Oy, the operator of the Finnish National Lottery. In April, GTECH and newly-acquired subsidiary Boss Media were chosen by Veikkaus to provide a platform and services for a nationwide Internet bingo game.

In January, GTECH acquired a 50% controlling interest in the Atronic group of companies, and is expected to acquire the remaining 50% in the second quarter of 2008.

After the close of the quarter, GTECH signed a six-year integrated services contract to provide new lottery technology and ongoing services to the Michigan Lottery. In addition, the Company, in conjunction with its Spielo subsidiary, was recently named the successful bidder by the Kansas Lottery to supply and operate the central gaming system that will monitor electronic gaming machines at six gaming facilities in the state.

On May 2, 2008, GTECH along with Taipei Fubon Bank and the Hong Kong Jockey Club, successfully launched the first legalized sports lottery in Taiwan, with over 272 retailers in the country. The number of retailers is expected to grow to 1,000 by June. Approvals have been granted for internet and tele-wagering channels which are expected to launch in the next three months.

Lottomatica Operating Results and Business Highlights

Lottomatica delivered significant revenue and EBITDA growth in the first quarter of 2008, both in the Lottery and the Gaming Solutions businesses.

Revenues grew approximately 20.2% to €253.3 million, from €210.7 million in the first quarter of 2007. EBITDA grew to €135 million from €122 million in the first quarter of 2007. Growth was driven primarily by the expansion of Scratch & Win and fixed odds sports-betting.

Lotto and instant-ticket wagers grew approximately 5.7% to €4.0 billion in the first quarter of 2008, from €3.8 billion for the same period last year, as a strong Instants lottery performance more than offset the Lotto late-numbers effect.

Total Lotto wagers were €1.5 billion, stable compared to the last quarter of 2007, and slightly below the €1.6 billion in the first quarter of 2007, due to a decrease in the quantity of late numbers in the first quarter of 2008, compared to the same period last year. Lotto revenues were €97.1 million, compared to €104.4 million in the same period last year.

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The continued strong performance of instant tickets resulted in sales of approximately €2.5 billion, compared to sales of approximately €2.1 billion in the first quarter of 2007. Approximately 679 million Scratch & Win tickets were sold in the first quarter, compared to 636 million in the same period last year. The average price point grew to approximately €3.7, compared to €3.4 in the previous year, mainly driven by the introduction of a second €10 lottery ticket in January 2008. Revenues for the Instant Lottery business totaled €88.0 million, compared with €76.5 million during the first quarter of 2007, an increase of 15%.

Pool games and betting generated €32.7 million of revenues from €193.9 million of wagers in the first quarter of 2008, due to the strong performance of the fixed odds sports-betting operations, which commenced in August 2007. At the end of the first quarter of this year, approximately 1,110 of the fixed odds sports-betting points-of-sale were operational, out of the 1,145 contracts secured. Revenue from fixed odds sports-betting is equal to gross wagers net of prize payouts.

Revenues from Gaming Solutions were €15.5 million, up 278% over last year. This was driven by the increased placement of Amusement with Prizes (AWP) machines, from approximately 13,000 machines installed at the end of first quarter of 2007, to 38,000 machines installed as of March 31, 2008.

Consolidated Cash Flow and Net Financial Position

At the close of the quarter, Lottomatica Group had a Net Financial Position of €2.4 billion, with Cash and Equivalents of approximately €296.2 million at the end of the period. Net Cash Flows from Operating Activities generated €62.9 million, compared to €59.8 million in the same period last year.

Consolidated Shareholders' Equity

Consolidated shareholders' equity totaled €1.6 billion.

Other Information

In December 2003, Lottomatica issued a €360 million bond that is due in December 2008. The Euro bond has a fixed coupon payment of 4.80%, payable annually each December.

SOURCE: Lottomatica S.p.A.

NASPL08

Annual Shareholders General Meeting: “With Robust Results & Rapid International Expansion INTRALOT Leads The Gaming Industry”

ATHENS, Greece (May 6, 2008) -- The company during the last years succeeded to overpass the geographical boundaries and to become a big multinational company of the 5 continents”, underlined INTRALOT S.A. CEO, Mr. Constantinos Antonopoulos, during the Annual General Meeting of the shareholders that was held today.

INTRALOT further strengthened its leading position around the globe by adding in its portfolio 14 very important new contracts in countries with a total population exceeding 450 million making decisive steps forward. Having won around 65% of the international tenders that have been procured during the last three years globally, where its main competitors have participated, INTRALOT is the new champion of the industry. Satisfying its clients’ needs in the most adequate and integrated way, INTRALOT has built an excellent reputation in the lottery sector. The company’s success story constitutes its credentials to new markets, new cultures and new gaming challenges”, added Mr. Antonopoulos.

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During the Annual General Meeting Mr. Antonopoulos guided the audience to the operations of INTRALOT worldwide through a video and commented on the steps that the company has made in Europe, North and South America, Asia, Australia and Africa.

Total International Revenues for the INTRALOT Group represented 82.8% of total Group turnover in 2007 compared to 75.2% in 2006, validating the strong presence of INTRALOT in the global market. Moreover, the General Meeting of shareholders approved the distribution of a total dividend of €0,33 per share (including the interim dividend of €0.15).

Concerning the company’s guidance for 2008, consolidated turnover is expected to reach €1.150 million and profits after taxes and minorities €125 million, an increase of 37.6% and 11,3% respectively, compared to 2007.

INTRALOT has already charted the path to lead the new era of the gaming market worldwide. “The three major drivers that will shape the gaming market in the following years are the forthcoming privatizations of various state lotteries, the liberalization of the markets in Europe and recently in Australia and the need for the legalization of the betting markets in the vast Asian continent. These three forces have already started to create new, exciting opportunities that INTRALOT aims to seize and in some of which is already placed. Our target is to continue our successful operation in the existing markets and further penetrate in the new and challenging ones”, Mr. Antonopoulos concluded his presentation.

About INTRALOT (www.intralot.com)

INTRALOT, a public listed company, is the leading supplier of integrated gaming and transaction processing systems, innovative game content and sports betting management, to state-licensed gaming organizations worldwide. It’s broad portfolio of products & services, its know-how of Lottery, Betting & Video Lottery operations and its leading-edge technology, give INTRALOT a competitive advantage which contributes directly to customers’ efficiency, profitability and growth. With presence in more than 40 countries, with 4.200 people and revenues of €835,5 m. for 2007, INTRALOT has established its presence on all 5 continents.

For more information please CONTACT: Ms Persa Kartsoli, Head of Corporate Affairs, Phone: +30-210 6156000, Fax: +30-210 6106800, email: kartsoli@intralot.com.

 

 

Scientific Games First Quarter Revenues Rise 6% to $257 Million

Net income per diluted share of $0.21; $0.24 excluding Global Draw earn-out accrual and phone card restructuring charges; $0.31 excluding stock compensation expense

NEW YORK, USA (May 8, 2008) -- Scientific Games Corporation (Nasdaq: SGMS) today reported first quarter 2008 revenues of $257.0 million, up 6% from $242.3 million in the first quarter of 2007. Net income was $19.9 million or $0.21 per diluted share, down from net income of $24.8 million or $0.26 per diluted share in the first quarter of 2007. Non-GAAP adjusted net income, excluding the Global Draw Limited earn-out accrual, phone card business restructuring cost, and stock compensation expense was $29.0 million or $0.31 per non-GAAP diluted share, compared to non-GAAP adjusted net income of $30.0 million or $0.32 per non-GAAP diluted share in the first quarter of 2007.

EBITDA for the first quarter of 2008 was $76.9 million, up from $75.8 million in the first quarter of 2007. Adjusted EBITDA increased 8% to $89.9 million for the first quarter of 2008, compared to adjusted EBITDA of $82.9 million for the first quarter of 2007.

During the quarter ended March 31, 2008, Scientific Games recorded charges of $1.8 million, or $0.01 per share, for a portion of the Global Draw contingent earn-out, $2.8 million, or $0.02 per share, for the phone card business restructuring costs and a charge of $8.5 million, or $0.06 per share, for stock compensation expense.

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Printed Products

Printed Products Group revenue increased by 19% overall to $135.9 million in the first quarter; Printed Products Group service revenue for the quarter was $127.2 million, 22% ahead of the first quarter of 2007. Excluding revenues from Oberthur Gaming Technologies (OGT) of $19.5 million, the Pennsylvania cooperative service contract re-pricing, and instant tickets shipped to China, 'same store' sales growth in the quarter was just under 9%. Holding all of these things constant and excluding licensed products, 'same store' sales were up 15% in the quarter. Once again we saw strong results from instant ticket sales in the U.K. and in Italy.

As expected, overall margins in the Printed Products Group improved sequentially from 39% in the fourth quarter of 2007 to 43% in the first quarter of this year, and nearly back to the pre-OGT level of 44% recorded in the first quarter of 2007. The integration of OGT was completed part way through the first quarter of 2008 and we expect to see the full benefits accruing in future quarters. First quarter revenue and gross margin were further impacted by the fact that while close to a billion instant tickets were manufactured and delivered to China, revenue was recognized on less than a quarter of the production, with the balance expected to be recognized in the second quarter.

As mentioned previously, the Printed Products Group underwent a restructuring of the phone card business in the Leeds, England plant in the first quarter 2008 and incurred a charge of $2.8 million, predominantly for employee termination. The redesign of our phone card product allows us to significantly reduce the number of employees needed to package the product and we expect margins to improve from this segment going forward.

During the quarter, Scientific Games announced the successful launch of Olympic-themed instant lottery tickets by the China Sports Lottery (CSL) in the People's Republic of China ("PRC"). The program debuted on Sunday, March 23rd, in the Shandong province with over 1,500 initial retail locations. CSL has achieved approximately 1.3 billion Yuan or US$180 million in sales since this launch. CSL and Scientific Games have now expanded into nine provinces with 13,500 retailers with plans to expand into additional provinces approximately every two weeks until all 31 provinces in the PRC sell CSL instant tickets.

These initial results are all due to our successful design, installation and operation of the national instant ticket network with the CSL, comprising a central monitoring and control system and a national call center. We expect to have 40,000 instant ticket validation terminals online by the start of the Beijing Olympics, and at least 90,000 terminals by the end of 2009. Our CSL printing agreement to establish a state-of-the-art instant ticket production facility in China is also on track to be complete by the end of the year.

Subsequent to the end of the quarter, Scientific Games announced it had been awarded its fourth cooperative service contract in Germany with the Sachsen-Anhalt Lottery to supply instant tickets and cooperative services to 2.5 million people and approximately 670 retailers.

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Lottery Systems Group

A year to year decline in one-time lottery equipment sales of nearly $3 million accounted for the overall decline in Lottery Systems Group revenue in the quarter. While Lottery Systems Group margins declined slightly to 45% from 46% in 2007, domestic system margins, which have been increasing steadily for several quarters, improved once again by nearly a full percentage point to 45%.

During the first quarter of 2008, Scientific Games announced a contract to supply 25,000 Leonardo/WAVE(TM) terminals to SISAL S.p.A., a leading Italian lottery and gaming company. Terminal deliveries will begin in the second quarter of this year and continue for the next 36 months.

The Televisa Mexican lottery contract continued to have a negative impact on earnings, costing the company $2.8 million, approximately $0.02 per share, in the first quarter of 2008. As previously indicated, we believe the launch of instant tickets is the key to future profitability. At the present time, progress has been made in this regard, and we are cautiously optimistic that instant tickets will be launched during the second half of 2008.

Subsequent to the end of the quarter, after an open and competitive procurement process, the Pennsylvania Department of Revenue announced it selected Scientific Games to enter into negotiations for its lottery systems contract to supply a new range of lottery equipment, including the "next-generation" WAVE(TM) terminal. The contract begins in January 2009, will have an initial term of five years, and will provide for five one-year extension options. Also during the quarter we were granted a nine-month contract extension by the West Virginia Lottery to allow our previously announced protest to run its course.

Diversified Gaming

Global Draw's 'same store' sales were up 36% in win per shop for the first quarter of 2008 versus 2007; and 17% on a win per terminal basis, both achieving record highs. By the end of the first quarter, Global Draw had connected 547 William Hill betting shops, representing approximately 2,100 dual-screen Nevada terminals, to the Global Draw server-based satellite network. The total Global Draw installed base in the U.K. has now reached 11,746 terminals. Initial installations into Corporacion Interamericana de Entretenimiento (CIE) in Mexico are performing ahead of expectations, recording win per day in excess of competitive products. Global Draw is also witnessing progress on expanding this network elsewhere in Latin America, Eastern Europe and Asia.

In contrast to strong revenue growth in Global Draw, revenues within Diversified Gaming were down in the racing-related businesses and in Games Media Limited. The former was impacted by the shift of the racing communications business from our own books to the Roberts Communications Network, LLC joint venture in the second quarter of 2007. Games Media was impacted by the strategic shift in its business mix from one-time sale of analog machines in the first quarter of last year, to a digital, participation-based recurring revenue model at present. As previously reported, the roll-out of the new Games Media model, which builds on the Global Draw infrastructure, is proceeding exceedingly well. Lastly, as indicated earlier in this release, Diversified Gaming profits were impacted by nearly $2 million due to the Global Draw earn-out accrual.

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During the quarter, Scientific Games signed new contracts with Nassau Regional Off-Track Betting Corporation to replace the existing totalisator services agreement for the provision of wagering systems hardware, software, service, wagering devices and a new digital Interactive Voice Response (IVR) telephone wagering system as well as provide for the implementation of a new Trackplay(TM) advanced deposit wagering (ADW) website. We also signed four new contracts with customers in Germany and Finland for the provision of pari-mutuel wagering systems, terminal and services.

Information about the use of non-GAAP financial information is provided under the section "Non-GAAP Disclosure" below. The non-GAAP measures (adjusted net income, diluted adjusted net income per share, EBITDA and adjusted EBITDA) are reconciled to the corresponding GAAP measures in the financial schedules accompanying this release.

Share Repurchase Program

During the quarter Scientific Games purchased 1,000,000 shares at an aggregate cost of approximately $18.0 million or $18.03 per share. The remaining authorization under our stock repurchase program totaled $172 million at March 31, 2008.

Convertible Debentures

A market price event did not occur for the quarter ended March 31, 2008 and, accordingly, the Convertible Debentures are not convertible during the current quarter ending June 30, 2008. During the first quarter of 2008, the average price of the Company's common stock did not exceed the specified conversion price of $29.10 of the Convertible Debentures. Because of this, no additional shares of common stock have been included in the weighted average number of diluted shares for the first quarter of 2008.

Conference Call Details

We invite you to join our conference call tomorrow at 8:30 a.m. Eastern. To access the call live via webcast please visit www.scientificgames.com and click on the webcast link under the Investors tab. To access the call by telephone, please dial (866) 510-0712 (US & Canada) or (617) 597-5380 (International) fifteen minutes before the start of the call. The Conference ID# is 46874432. The call will be archived for replay on the Company's website for 30 days.

About Scientific Games

Scientific Games Corporation is the leading integrated supplier of instant tickets, systems and services to lotteries worldwide, a leading supplier of fixed odds betting terminals and systems, Amusement and Skill with Prize betting terminals, interactive sports betting terminals and systems, and wagering systems and services to pari-mutuel operators. It is also a licensed pari-mutuel gaming operator in Connecticut, Maine 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, 212-754-2233.

 

NASPL08

 

Orazietti Announces Grand Opening of New Ontario Lottery Ticket Finishing Plant in Sault Ste. Marie

$150 Million, New Jobs For Lottery Tickets in the Sault

McGuinty Government, OLG and Pollard Banknote Deliver New Jobs as Part of $150 Million Project

Orazietti is seen with Gordon Pollard, Co-Chief Executive Officer, Pollard Banknote, and Kelly McDougald, OLG Chief Executive Officer

SAULT STE. MARIE, Ontario, Canada (May 5, 2008) - In cooperation with the Ontario government and the Ontario Lottery and Gaming Corporation (OLG), Pollard Banknote Limited was welcomed to the Sault Ste. Marie business community today with the official opening of its new Instant ticket finishing plant, David Orazietti, MPP announced today.

"Through our government and Ontario Lottery and Gaming we are delivering new jobs with an estimated impact of more than $32 million to Sault Ste. Marie that will further strengthen the local economy," said David Orazietti, MPP. "Congratulations to Pollard Banknote on their successful opening, as today's announcement signals the start of another exciting opportunity for our community."

In cooperation with the Ontario government, the Ontario Lottery and Gaming Corporation and Pollard Banknote Ltd. signed a 10 year, $150 million contract to print lottery tickets in July of 2007.

The contract included the establishment of a 22,000 square foot ticket finishing plant in Sault Ste. Marie, now fully complete and operational.

The Instant ticket finishing plant will employ 33 people initially, expanding to approximately 60 employees as production demands dictate and as employee training is complete.

The positions will range from machine operators to office support, responsible for converting rolls of already printed tickets into finished books of tickets ready for distribution and sale across Ontario.

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"Our company is extremely proud to demonstrate our commitment to OLG and to Ontario by developing our Sault Ste. Marie facility," said Gordon Pollard. "We also deeply appreciate the long-term commitment that OLG has made to us through this significant contract."

The ticket finishing operation will boost Sault Ste. Marie's economy by adding $32 million to the community over the course of the contract.

This includes the projected direct payroll, including salaries and benefits, of approximately $19 million over the initial 10-year period.

Moreover, there is expected to be a further $13 million in additional local salaries from spin-off benefits from the new facility.

"This contract helps ensure that our Instant business will continue to generate significant profits for the province," said Kelly McDougald, OLG CEO, "provides great games to our customers; protects public trust through continuous improvement in ticket security and prize validations; and assists us in being a good partner to the community of Sault Ste. Marie by attracting new jobs to support the local economy."

The opening of this facility is part of the ongoing commitment the provincial government and OLG have made to Sault Ste. Marie.

Former premier David Peterson made the decision to move the Ontario Lottery Corporation to Sault Ste. Marie in 1986.

Today, there are nearly 900 corporate and casino OLG employees in Sault Ste. Marie with a combined estimated annual payroll of $48 million.

OLG has, and continues to be, a positive contributor to the community of Sault Ste. Marie.

The community has received 5% of all slot revenues from the local charity casino totalling $11.7 million to date; the vast majority of which is being directed toward the capital construction of the new Sault Area Hospital and physician recruitment.

The Ontario crown corporation also made a $750,000 donation on March 20, 2006 to the fundraising campaign for the new Sault Area Hospital.

The opening of this ticket finishing facility is just one of the many ways the McGuinty government is contributing to Sault Ste. Marie’s prosperity.

Some of the other important initiatives include:

  • 90 percent funding to build the new Sault Area Hospital.
  • $44.8 million to build new schools.
  • $7.8 million to build the Donald Doucet Youth Centre.
  • $5.6 million to build the OPP forensic lab.
  • $5.6 million toward construction of Carmen’s Way.
  • $4.7 million toward construction of the Steelback Centre.
  • $3.6 million to expand Flakeboard Ltd.
  • $3 million to build the Sutherland Group Communication Centre.
  • $2.7 million toward construction of Algoma Residential Community Hospice (ARCH).
  • $1.6 million to expand the Group Health Centre.
  • $1 million to expand the Waterfront Walkway.

Since 2003, we have made unprecedented investments in numerous sectors of our local economy, as well as in areas of key provincial services and today we have taken another positive step forward by creating new job opportunities in the our community,” said Orazietti.

SOURCE: News Release, David Orazietti, MPP

 

Iowa Lottery Implements Receipt Phase of Player Security Program

Starting Monday, Players Can Receive a Receipt After Checking or Cashing Most Lottery Tickets

DES MOINES, Iowa, USA (May 2, 2008) - Starting Monday, Iowa Lottery players can receive a receipt every time they check or cash a lotto or instant-scratch ticket at a lottery retailer.

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The receipts are the second phase of the Iowa Lottery's enhanced player security program. The lottery began implementing new security initiatives in March. At that time, the lottery's “Sign it. It's yours” campaign began, requiring players to sign the backs of their tickets before they can be checked or cashed by an Iowa Lottery retailer. The lottery also began a public awareness campaign at that time to inform the public about the new procedures and players' rights and responsibilities when it comes to checking and cashing lottery tickets.

On Monday, another initiative will begin. Receipts will be available for every instant-scratch or lotto ticket that is checked or cashed. Two receipts will be printed - one for the retailer and one for the lottery player - that will show the results of a particular ticket and whether it has won a prize. Receipts will not be involved for pull-tab tickets, as the amount of any pull-tab prize won is already printed under the tabs on the front of the ticket.

The new procedure is designed to help ensure that players are paid the prizes they rightfully have won. When a player wins a prize, the receipt will show the amount won, eliminating any possibility of confusion over the winnings that should be paid out.

The Iowa Lottery wants to do everything it can to prevent even the slightest possibility of fraud,” said Iowa Lottery Acting CEO Ken Brickman. “By having the player sign the back of the ticket and having a receipt available any time a lotto or scratch ticket is checked or cashed, both the player and retailer are protected.”

The Iowa Lottery also reminds the public that there are a variety of ways to learn about the lottery and its products:

  • Watch the televised drawings in lotto games.
  • Check information on the lottery Web site at www.ialottery.com.
  • Ask a retailer to print winning numbers reports from the lottery terminal.
  • Call one of the lottery's five regional offices around the state for information.
  • Listen to lottery results on local radio stations.
  • Check lottery results in local newspapers.
  • Call the lottery's winning numbers hot line at 515-323-4633.
  • Sign up for the lottery's VIP Club and receive e-mails of winning numbers and drawing results.
  • Sign up for the lottery's text-messaging service that sends winning numbers and other information directly to a player’s text-enabled mobile device.

Since the Iowa Lottery's inception in 1985, more than $2.1 billion has been awarded in prizes and more than $1.1 billion has been raised for state programs.

 SOURCE: The Iowa Lottery.

 

“Grab A Piece of Adventure” With The National Lottery

Camelot Launches New Indiana Jones™ Scratchcard Campaign

UNITED KINGDOM (May 7, 2008) -- National Lottery operator Camelot is launching a new TV and cinema advertising campaign to support its exciting new Indiana Jones Scratchcard game. The launch coincides with the much-anticipated launch of the new Indiana Jones film – Indiana Jones™ and the Kingdom of the Crystal Skull – which hits cinema screens throughout the UK later this month.

The new advert opens on a swerving army truck racing along a dusty road. A tense-looking driver in desert army uniform is behind the wheel. The ad then cuts to an Indiana Jones-like character in a brown fedora hat and battered leather jacket who is clinging on to the end of a whip while being dragged behind the vehicle. A close-up shows the man gritting his teeth at the sheer pain and effort of trying to hold on.

Suddenly, we hear the familiar Scratchcard sound as a scratch effect sweeps across the screen. The man’s grimace has been replaced with a broad smile. The ad pulls back to reveal the reason behind his smile – he is no longer being dragged along by the speeding truck but is being pulled by a speedboat and standing on water skis.

As he glides smoothly across the turquoise water, a butler water-skis into view to hand the man a refreshing fruit drink, and a voiceover says: “Grab a piece of adventure with the new Indiana Jones Scratchcard from The National Lottery”. The ad finishes with a close-up of the Scratchcard superimposed over the two men water skiing together behind the boat. 

The new TV campaign breaks on Sunday 11 May and will run until Sunday 8 June. The advert will also be shown in cinemas throughout the country for a week from Friday 23 May and then in Carlton screens for a further week. In addition, the new £2 Scratchcard – which offers five top prizes of £60,000 ¬– will receive in-store support material, including Scratchcard dispenser header cards and advertising on in-store digital media screens, throughout the duration of the campaign.

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Launching the new campaign, Richard Bateson, Controller of Game Development & Scratchcards at Camelot, said: “We always see a fantastic response from players to entertainment-themed Scratchcards, and we expect the new Indiana Jones game to be a great seller. Developing new products is key to the success of The National Lottery. We constantly review and refresh our portfolio of games, and are very confident that the new Indiana Jones Scratchcard will be the latest in a long line of film-based National Lottery Scratchcard successes.

The TV and cinema adverts, together with our supporting in-store Point of Sale material, will allow us to gain maximum exposure for the game and to capitalise on the excitement surrounding the new film. The new Scratchcard will offer a fabulous opportunity for players the length and breadth of the country to grab their own piece of adventure – and help raise even more money for Good Causes.”

The campaign was created by Abbott Mead Vickers BBDO with media planning handled by MPG and media buying by OMD.

For further information, please contact: Rob Dwight, Media Relations Manager: 020 7632 5748, Camelot Press Office: 020 7632 5711.

 

 

Delaware Lottery Deals Winning Hand; Second-Chance Winners Enjoy 'Deal or No Deal' Travel Package

DOVER, Delaware, USA (May 1, 2008) -- Rita Branum, of Newark, and Charles Hodgson, of North Ocean City, Md., have returned from paradise - or so they said. The lucky winners of the Delaware Lottery's Deal or No Deal instant game second-chance drawing recently enjoyed an expenses-paid, five-day, four-night trip to Hollywood, along with a chance to play the real Deal or No Deal game for up to $1 million.

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Branum, who traveled with family, was thrilled with the prize package. "Everything was so nice about the whole trip. The backstage tour of the studios and the tour of the famous Hollywood homes were both great. I had an amazing hotel room with a view of Hollywood Boulevard on one side and the famous Hollywood sign out the other window."

The 49-year-old Delaware native earned a chance to compete on the real Deal or No Deal show, and walked away with $6,200.

"I opened all the big suitcases right in the beginning, so I never really had a good chance [to win the $1 million], but it was just fun being up there," she recalled. "It wasn't the money, it was just the experience that was great."

"I was telling [game show host Howie Mandel] how nervous I was and he just kept saying 'Don't be nervous.' Then he was talking to my family, and they must have said something that made him laugh so hard, but I missed that part. I was just in my own space there trying to calm down and enjoy the moment."

Hodgson, who traveled with his wife, youngest daughter and her friend, said everything about the experience was fantastic. "The trip was perfect and I could not have been more happy. I'm very grateful and, really, still in hog heaven."

The $10,000 suitcase that Hodgson took home from the Deal or No Deal preliminary rounds likely contributed to his euphoria.

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"I didn't get to be a contestant on the real show, but I'm not complaining," said the 69-year-old retiree. "It was just a thrill being out there and being on stage. I know my family really got a kick out of seeing me up there. It's a once-in-a-lifetime experience."

Both Hodgson and Branum said they are eager to see what kind of game-show scratch off ticket the Delaware Lottery introduces next. "I'm definitely going to keep playing," Hodgson said. "I love these games!"

The prize package included round-trip airfare, hotel accommodations and ground transfers between a Los Angeles airport, the hotel, and television studio.

Licensing rights for the Delaware Lottery's Deal or No Deal instant game were obtained from MDI Entertainment, LLC.

Since the start of operations in 1975, the Delaware Lottery has contributed more than $2.6 billion to the state's General Fund to help finance needed state services that benefit everyone in Delaware. The Lottery offers a variety of games: POWERBALL®, HOT LOTTO®, MULTI-WIN LOTTO, PLAY 3, PLAY 4, and assorted Instant Games.

Winner Privacy is our Policy.

The Delaware Lottery only publishes winner names with their consent.

SOURCE: Delaware Lottery.

 

Tipp24 First-Quarter Profit Rises 15% on Rising Internet Gambling Revenue

Tipp24 AG - Report on the First Quarter of 2008

Regulations Slow Customer Growth of Tipp24

Political and Legal Situation Still Unresolved

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HAMBURG, Germany (May 5, 2008) -- In the first three months of its fiscal year 2008, Tipp24 AG raised earnings before interest and taxes (EBIT) by 22.3 percent to EUR 2.7 (2.2) million, compared with the same period last year. The EBIT margin fell by 1.1 percentage points to 23.6 percent. EBIT was burdened above all by the negative contribution of the Abroad segment, due mainly to start-up costs in the UK. Initial investments for the new Skill-Based Games division and increased expenses for legal and consultation services resulted in a higher cost basis. The EBIT margin in Germany was up 4.7 percentage points to 32.3 percent.

The introduction of the new State Treaty on Gaming on 1 January 2008 resulted in two special items: Tipp24 is obliged to tighten its mechanisms for the protection of minors when registering new customers. This involves checks with the German credit reference agency (“Schufa”) and successfully passing the “PostIdent” identification process. Tipp24 also fulfilled higher authentication requirements. These regulations significantly impede the development of new customer figures and result in greatly increased customer acquisition costs in Germany.

At the same time, Tipp24 discontinued its marketing of the state-run sporting bet Oddset and the Keno lottery. According to the new State Treaty on Gaming, Internet marketing of these products is no longer allowed. In fiscal year 2007, these products accounted for around 5 percent of domestic billings.

Renewed growth in revenue and billings

Due to the more difficult registration process, year-on-year growth in registered customers amounted to just 33 (69) thousand. At EUR 86.8 million, billings were up 26.2 percent over the previous year. Revenues – consisting mainly of commissions and additional fees – rose by 27.7 percent to EUR 11.4 (8.9) million in the period under review.

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Jens Schumann, Chairman of the Executive Board of Tipp24 AG, states: “Four months after its introduction, the legality of the new State Treaty on Gaming – which severely restricts key areas of Tipp24’s business activities or even completely forbids them – is more contested than ever. In addition to formal infringement proceedings brought against the Federal Republic of Germany by the EU Commission in late January, numerous German administrative courts have since questioned the legality of the State Treaty. At the same time, the first state lotteries are reporting significant income losses. The original aims of the State Treaty – legal certainty and income security – have not been achieved. We believe it is therefore essential that politicians put an end to these unwanted excesses by modifying the State Treaty on Gaming.”

Opportunity: deregulation conceals growth potential

Recently announced verdicts on a European level and various proceedings at German administrative courts, also with reference to European law, may also result in steps towards deregulation in the medium term with an impact on lotteries. As an internationally aligned company, Tipp24 may benefit more than average from such a development.

Deregulation would also probably result in a complete clarification of the legal situation in Italy and thus provide our Italian subsidiary Puntogioco24 with the opportunity to freely pursue its business interests.

 

Key figures for Q.I 2008

 

Q.I   2008 2007 Change
Billings € million 86.8 68.8 + 26.2%
- Germany € million 79.9 63.7 + 25.3%
- Abroad € million 6.9 5.0 + 37.4%
Revenue € million 11.4 8.9 + 27.7%
- Germany € million 9.8 7.7 + 26.8%
- Abroad € million 1.6 1.2 + 32.9%
Operating expenses € million - 8.4 - 6.5 + 29.0%
EBITDA € million 3.0 2.4 + 24.0%
EBIT € million 2.7 2.2 + 22.3%
EBT € million 3.3 2.7 + 20.5%
Net profit € million 1.9 1.6 + 14.6%

 

(Rounding differences due to presentation of figures in Euro million)

 

About Tipp24 AG:

Tipp24 was established in 1999 and is now the market leader for lottery products in the Internet on the basis of billings. The company has succeeded in achieving impressive growth rates right from the start. Almost all state lottery products are supplied. It only takes a few mouse clicks to buy a lottery ticket – round the clock, quickly and reliably. The ticket receipt is kept safely, winners are notified about their prizes automatically by text message and e-mail and prizes are credited automatically. Subsidiaries of Tipp24 (www.tipp24.de) are Ventura24 in Spain (www.ventura24.es), Puntogioco24 (www.puntogioco24.it) in Italy and MyLotto24 (www.mylotto24.co.uk) in the UK. Shares in Tipp24 AG have beent traded at the Frankfurt Stock Exchange since 2005.

CONTACT: Andrea Fratini, Head of Media and Public Relations, Phone: +49 40 32 55 33-660, Fax: +49 40 32 55 33-5600

SOURCE: Tipp24 AG.

QLot

ELOT Receives Australian Patent for the Online Sales of Provincial Lottery Tickets; Could Boost Sales 15 Percent

Similar Patents Received From U.S., China and Canadian Governments

STAMFORD, CT (May 5, 2008) -- eLOT, Inc., announced today it had received a patent from the Australian government for eLOTTERY’s e-commerce system that will facilitate Internet sales of lottery tickets in the country’s six States and two Mainland Territories with a screening and verification function on the Internet.

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The company is a leading application service provider of Internet marketing, advertising and e-commerce technologies for government-operated lotteries that now include the United States, China, the provinces of Canada; and Australia with its population of 21 million. 

Specifically, Australian Patent #2002336547 covers the eLOT system that:

1.) Enables lottery administrators to receive player and ticket information;

2.) Screens and verifies that players satisfy State and Territory eligibility criteria;

3.) Stores player and ticket information; and

4.) Determines winning ticket numbers and notifies winners upon receipt of those numbers.

We believe the economic climate in Australia’s main population centers appears very favorable to expanding the sales and distribution of lottery products to the Internet,” according to  eLOT  Chief Operating Officer Michael Yacenda. “Research we’ve done in the U.S. indicate that the on-line sale of lottery tickets using our Internet technology and knowledge of consumer e-marketing practices could boost ticket purchases by as much as 15 percent, and we feel a similar scenario is possible in Australia,” he said.

eLOT Patent Specifics

The company and its eLOTTERY Inc. subsidiary (http://www.elottery.com) have received patents for internet sales of lottery ‘number’ and instant games along with subscription services in the United States (US patent #s 6,322,446, 6,383,078 and 6,869,358; China patent #01823772.X260658; and Canada patent #2,468,279.

Applications are filed and pending in Europe, Mexico and India.

CONTACTS: Mike Yacenda, eLOT, Inc., 203-461-8398 or Vic Emmanuel, VJE Consultants, 914-305-5198.

 

Maryland Lottery Celebrates 35th Anniversary

BALTIMORE, Maryland, USA (May 5, 2008) -- Disco was in its heyday, bell bottoms ruled and flower power was in full bloom when the Maryland Lottery launched its first game back in 1973.  This May marks the 35th Anniversary of the agency and over three decades of providing revenue and entertainment for the citizens of Maryland. Since its debut, sales have totaled more than $28.6 billion, returning more than $10.5 billion to the state’s coffers, supporting essential services in Maryland’s communities.

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Lottery Director Buddy Roogow is very proud of the Lottery’s record of achievement. “It is the third-largest contributor to the state’s general fund and every year we develop trend-setting products and initiatives with even more ways to win,” said Mr. Roogow.

The seventh state to institute a lottery, Maryland’s first tickets went on sale on May 15, 1973 with the introduction of its inaugural game, Twin Win. This 50-cent game offered weekly prizes ranging from $25 to $50,000 as well as periodic “Millionaire Drawings.”

The first online game, Pick 3, was introduced in July 1976, followed by Pick 4 in 1983. In the fall of 1983, the Maryland Lottery entered into larger jackpot games with the introduction of Lotto, and in 1993 debuted Keno – still going strong after 15 years. Currently, the agency features eight “online” games -- Pick 3, Pick 4, Bonus Match 5, Keno, Multi-Match, Racetrax™, Hold ‘Em and the multi-state Mega Millions. In addition, the Lottery offers an average of more than 50 scratch-offs annually and continues to introduce several new game promotions and second-chance drawings each year.

To herald its anniversary, the Maryland Lottery will hold 70’s-themed parties at several Lottery retailer locations throughout May. 

The celebrations will feature strobe lights, disco balls, music of the era and dance contests. Prizes and giveaways will include tie-dye t-shirts and disco ball key chains. Radio stations will be on hand to help host the parties. To further commemorate the occasion, the Lottery has adapted the slogan “Groovin’ since 1973” and incorporated the line into its decorations, anniversary garb and memorabilia.

SOURCE: Maryland Lottery. For Information CONTACT: Carole Everett, 410-230-8800.



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