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GTECH FISCAL YEAR 2004 REVENUES EXCEED $1 BILLION
Company Announces Fiscal 2004 Fourth Quarter and Record Year-End Results

(West Greenwich, Rhode Island  -- April 15, 2004) - GTECH Holdings Corporation (NYSE:GTK) today announced fourth quarter and year-end earnings for fiscal year 2004 ended February 28, 2004.

"Fiscal 2004 was a record-breaking year at GTECH. We earned record revenues of $1.051 billion, an increase of seven percent over 2003," said GTECH President and Chief Executive Officer W. Bruce Turner. "Our net income rose 29 percent to $183 million and diluted earnings per share increased approximately 17 percent to $2.84, including the impact of the one-time, non-cash gain in the third quarter. Our gross profit margins also eclipsed all earlier records, at approximately 43 percent."

GTECH Senior Vice President and Chief Financial Officer Jaymin B. Patel said, "We are pleased with the results for both the fourth quarter and the year, and are confident that our strategic focus, executed by our management team, will produce solid growth, profitability, and value creation for our shareholders in fiscal 2005 and beyond."

Operating Results
Revenues for the fourth quarter of fiscal 2004 totaled $279.6 million, up $9.6 million over revenues of $270.0 million in the fourth quarter of fiscal 2003. Net income was $47.8 million, or $0.72 per diluted share, up 14.0% over net income of $41.9 million, or $0.72 per diluted share for the same period last year.

Revenues for fiscal 2004 were $1.05 billion, up 7.4% over revenues of $978.8 million in fiscal 2003. Net income was $183.2 million, or $2.84 per diluted share, up substantially over net income of $142.0 million, or $2.43 per diluted share, for the same period last year. Net income in fiscal 2004 includes a one-time, non-cash, after-tax gain of $3.3 million, or $0.05 per diluted share, associated with the consolidation of the partnership that owns the Company's world headquarters in West Greenwich, Rhode Island.

Cash Flow and Investments
During fiscal 2004, the Company generated $414.3 million of cash from operations. This was principally used to fund investments in new contract assets and the acquisitions of PolCard and Interlott, totaling $390.6 million. At the end of fiscal 2004, GTECH had no borrowings under its $300 million credit facility.

During fiscal 2004, the Company paid cash dividends of approximately $30.0 million.

Financial Outlook
The Company provided guidance for the full year and first quarter of fiscal 2005. For the fiscal year ending February 26, 2005, the Company expects total revenue growth of approximately 20% to 21%, reflecting full year contributions from PolCard and Interlott, and partial year contributions from Spielo and Leeward Islands Lottery Holding Company (LILHCo). The Company expects service revenue growth in the range of 7% to 9%, reflecting a 4% to 6% increase in same store sales, net contract wins, and the impact of acquisitions, offset by several factors, including contractual rate changes and fluctuations in foreign exchange rates against the U.S. Dollar. The Company expects product sales in the range of $210 million to $220 million.

GTECH expects to maintain service margins in the range of 41% to 43% and expects product margins in the range of 36% to 38%.

The Company will record a gain on the sale of its equity interest in Harrington Raceway, and will incur a net expense associated with the tender and make-whole premiums related to the early retirement of its 7.87% private placement notes due May 2007. The net impact of these transactions will result in a pre-tax gain in the range of $5 million to $6 million to be recorded in other income in the first quarter.

Based upon a diluted share estimate of 68.0 million shares, the Company believes that earnings per share will be in the range of $3.00 to $3.10 for fiscal 2005. This estimate includes the net impact of the first quarter transactions previously described.

For the first quarter of fiscal 2005, ending May 29, 2004, the Company expects service revenues to increase 12% to 14% and product sales in the range of $30 million to $35 million. The Company expects service margins in the range of 41% to 43% and product margins in the range of 37% to 39%. Based upon this operating outlook, combined with the one-time events mentioned above, the Company expects fully diluted earnings per share to be in the range of $0.72 to $0.77 per share.

Fourth Quarter and Full Year Highlights
In the fourth quarter of fiscal 2004, GTECH continued to execute against its growth strategy by securing contracts with new and existing customers internationally.

The Beijing Welfare Lottery Center signed a new multi-year contract with GTECH for Club Keno® and additional lottery products and services. In addition, the Company's customer in Mexico, Pronosticos para la Asistencia Publica, awarded GTECH a new six-year online lottery contract, and Sistemas Tecnicos de Loterias del Estado (STL), the operator of the online system for the National Lottery in Spain, signed a contract with GTECH for 2,500 Altura® terminals.

Also in the quarter, the Company signed a 10-year integrated services contract with the Mahapola Higher Education Scholarship Trust Fund to provide online, instant, and passive lottery technology and management services in Sri Lanka. Last month, a lawsuit was filed by the Development Lotteries Board, a Sri Lanka state agency that operates a competing national lottery, alleging that the lottery contract was an illegal delegation by Mahapola, in excess of its statutory authority to conduct a lottery. The Company expects this matter to be resolved without material impact on its fiscal 2005 outlook.

After the close of the quarter, the Illinois Lottery notified GTECH of its intent to award a five-year contract to provide Instant Ticket Dispensing Machines (ITDMs) and ongoing maintenance and support services, marking the Company's first win with the combined GTECH/Interlott brand and technology. In addition, GTECH was named the apparent successful bidder to provide the Washington Lottery with Lottery Product Vending Machines (LPVMs) under a three-year contract.

In fiscal 2004, GTECH secured multi-year integrated services contracts with customers in Wisconsin, Florida, and Tennessee following highly competitive procurements. The Company also successfully delivered its Enterprise Series architecture to customers in California, Georgia, and Tennessee.

"In total, GTECH was awarded 11 new contracts and 10 extensions during fiscal 2004 representing over $1.8 billion in revenues to GTECH over the life of the contracts," continued Mr. Turner.

Also in the fiscal year, GTECH successfully completed the acquisitions of PolCard and Interlott. The Company expects to finalize the acquisitions of Spielo and LILHCo in June.

Other Developments - Brazil
In late March 2004, federal prosecutors in Brazil recommended that criminal charges be brought against nine individuals, including four senior officers of GTECH's customer, Caixa Economica Federal (Caixa); a former senior vice president of GTECH Holdings Corporation and president of GTECH Brazil; and the marketing director of GTECH Brazil. Individuals related to GTECH could be charged with offering an improper inducement in connection with the negotiation of the Caixa contract extension, and with effectively co-authoring or aiding and abetting certain allegedly fraudulent or inappropriate management practices of the Caixa management who agreed to enter into the contract extension.

The recommendations require judicial review and concurrence to proceed. Controversies have arisen in relation to the scope and manner of the investigation and the political motivation of the prosecutor.

The Company is cooperating fully with investigators and has encouraged employees and former employees to do the same. Because these proceedings are in their initial stages, it is impossible for GTECH to assess their merits, or their financial statement impact, if there will be any. The Company's reputation for integrity is an important factor in its business dealings with lottery and other governmental agencies. The Brazilian situation is a serious matter and the Company is treating it as such. As with any such allegations, if proven, they potentially could have a negative impact on the Company's business.

As previously stated, GTECH believes that the Company has responded appropriately in this matter. In light of the prosecutor's recommendations against GTECH's representatives in Brazil, the Company has broadened its investigation to make certain that all parties involved acted appropriately.

Certain statements contained in this press release are forward looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such statements include, without limitation, statements relating to the prospects and financial outlook for the Company, which reflect management assumptions regarding: (i) the future prospects for and stability of the lottery industry and other businesses in which the Company is engaged or expects to be engaged, (ii) the future operating and financial performance of the Company (including, without limitation, expected future growth in revenues, profit margins and earnings per share), and (iii) the ability of the Company to retain existing business and to obtain and retain new business. Such forward looking statements reflect management's assessment based on information currently available, but are not guarantees and are subject to risks and uncertainties that could cause actual results to differ materially from those contemplated in the forward looking statements.

These risks and uncertainties include, but are not limited to, those set forth above, in the Company's subsequent press releases and on reports by the Company on Forms 10 K, 10 Q and 8 K, and other reports and filings with the Securities and Exchange Commission, as well as risks and uncertainties respecting: (i) the potential impact of extensive and evolving government regulations upon the Company's business; (ii) the ability of the Company to continue to retain and extend its existing contracts and win new contracts; (iii) the possibility of slower than expected growth or declines in sales of lottery goods and services by the Company or the Company's customers; (iv) exposure to foreign currency fluctuations; (v) risks and uncertainties inherent in doing business in foreign jurisdictions; (vi) the relatively large percentage of the Company's revenues attributable to a relatively small number of the Company's customers; (vii) the possibility of significant fluctuation of quarterly operating results; (viii) the intensity of competition in the lottery industry; (ix) the possibility of substantial penalties under and/or termination of the Company's contracts; (x) the ability of the Company to respond to technological change and to satisfy the future technological demands of its customers; (xi) opposition to expansion of lottery and gaming; (xii) the Company's ability to attract and retain key employees; (xiii) the possibility of adverse determinations in pending legal proceedings; (xiv) the possibility that the Company's non-lottery ventures may fail; and (xv) the Company's business prospects and future success rely heavily upon the integrity of its employees and executives and the security of its systems.

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GTECH, a leading global information technology company with over $1 billion in revenues and 5,000 people in 44 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 financial services transaction processing. For more information about the Company, please visit GTECH's website at http://www.gtech.com/.

Consolidated statement of operations to follow:

Fourth Quarter Income Statement

Consolidated Income Statement

Consolidated Balance Sheet

Consolidated Statement of Cash Flows