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LOTTOMATICA ANNOUNCES THAT ITS GTECH SUBSIDIARY IS CHOSEN TO PROVIDE LOTTERY SERVICES AND SOLUTIONS FOR THE FIRST LEGALIZED SPORTS LOTTERY IN TAIWAN
LICENSE TO COMMENCE IN APRIL 2008 THROUGH DECEMBER 2013
ANTICIPATED REVENUE OF APPROXIMATELY US$33 MILLION, OVER THE LICENSE PERIOD
ROME (ITALY) - PROVIDENCE, RHODE ISLAND (US), December 24, 2007 - Lottomatica S.p.A. announced that Taiwan Sports Lottery Company (TSLC), a joint venture in which Lottomatica's wholly-owned subsidiary GTECH Corporation will become a 24.5 percent equity member, has signed a contract with Taipei Fubon Bank to be the sport betting solutions and services provider for the operation of the first legalized sports lottery in Taiwan. Taipei Fubon Bank recently won the rights to become the operator of the sports lottery in Taiwan under a license commencing in April 2008, and running through December 2013. This award by Taipei Fubon Bank to TSLC is the result of an open procurement process and has been approved by the Ministry of Finance in Taiwan. "We are pleased to once again partner with Taipei Fubon Bank to bring the first legalized sports lottery to Taiwan ," said GTECH President and incoming CEO, Jaymin B. Patel. " This is also strategically important for us in that we are expanding our offerings beyond traditional lottery-based offerings. Once the system is operational, players will have the ability to place a variety of wagers on local and worldwide sporting events including baseball, basketball, soccer matches and the Olympic games, at a retailer or bank branch, or through a virtual channel such as telephone or internet wagering." GTECH, as the systems integrator and transaction engine vendor to TSLC, will provide its Enterprise SeriesT central system hardware and software, and 1,500 Altura® retailer terminals. In its role as systems integrator, GTECH will also provide communications network design, data center consultancy, and integration of account betting and risk management systems from Hong Kong Jockey Club, a sports betting consultant to Taipei Fubon Bank. In addition, both GTECH and Hong Kong Jockey Club will offer consultation on game, marketing, and operational planning over the term of the license.
With respect to its agreement with TSLC, GTECH expects to receive approximately US$33 million in revenue over the license period, commencing in April 2008 through December 2013. A portion of the proceeds from the sports lottery sales will be used to promote sports in Taiwan.
Lottomatica is one of the world's largest commercial lottery operators and a market leader in the Italian gaming industry. GTECH is a leading gaming technology and services company, providing innovative technology, creative content, and superior service delivery. GTECH and Lottomatica together create a fully integrated lottery operator and gaming technology solutions provider - a combined company with worldwide scale, considerable financial strength, and industry-leading customer solutions. Lottomatica is majority owned by De Agostini, which belongs to a century-old publishing, media, and financial services group. Lottomatica is publicly traded on the Italian Stock Exchange (LTO), and in 2006, had approximately €1.7 billion in revenues and 5,900 employees in over 45 countries when combined with GTECH. For further information: AD HOC Communication Advisors 02/7606741 Mario Pellegatta - Matteo Cidda 335/1415585 This press release and the previous ones are available on the web site: www.adhoccommunication.it Lottomatica web site: www.gruppolottomatica.it GTECH contact: Robert K. Vincent Public Affairs 1-401-392-7452 GTECH web site: www.gtech.com
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