ROME, ITALY and PROVIDENCE, RHODE ISLAND (US) – September 16, 2010 – Lottomatica Group announced that the Northstar Lottery Group (Northstar), a consortium in which GTECH Corporation holds an 80 percent controlling interest, has been selected as the private manager by the Illinois Lottery, following a competitive procurement. Scientific Games International holds the remaining 20 percent interest in the consortium. Supporting Northstar as its advertising and consumer marketing partner is Chicago-based Energy BBDO. The 10-year private-management agreement is expected to be signed within the next several weeks, subject to a protest period that ends on September 22, 2010.

In making the announcement, Illinois Governor Pat Quinn said that the Illinois Department of Revenue expects that the Northstar business plan will result in an annual growth rate of 10.6 percent over the first five years, generating approximately $4.8 billion in net income for the State – or an additional $1.1 billion in funding for capital projects and education. Northstar is entitled to receive annual incentive payments should it achieve certain sales targets and has given assurances that provide for payments to the State of Illinois if a minimum, agreed-upon performance level is not achieved.

“We are very pleased with the State’s decision,” said Northstar Chairman and GTECH President & CEO Jaymin B. Patel. “Northstar produced a comprehensive, innovative, and executable growth plan for the Illinois Lottery, based upon extensive consumer and retail market research. With our over 50 years of combined experience in the Illinois market and the new flexible framework, we believe our strategy will unlock the significant potential of the Lottery, in a socially responsible manner, as we work in close collaboration to help them achieve long-term, sustainable growth and even greater returns for good causes.”

“As a member of Northstar, we look forward to the opportunity to responsibly drive sales growth and returns to Illinois,” stated Scientific Games President & CEO Michael R. Chambrello. “This award represents a paradigm shift for the U.S. lottery industry as it is the first time that a commercial enterprise has been charged with the duty of fulfilling a state’s statutory mandate that a lottery responsibly generate additional revenue for good causes. We see this as an opportunity to prove to policy makers across the country how meaningful a commercial business model can be to their state and its residents.”

The senior leadership of Northstar has been identified and is ready to begin the transition to the new operating model immediately. Northstar will be led by Connie Laverty O’Connor, a 30-year lottery veteran who has held senior leadership positions at the New York and Georgia lotteries.

The Request for Proposals called for a private manager, subject to the Illinois Lottery’s control over all significant business decisions, to manage the day-to-day operations of the Illinois Lottery and its core functions, including lottery game development, supply of goods and services, and marketing and advertising, among other things. Once the Private Manager model is fully implemented and its business plan approved by the Lottery, Northstar will be entitled to reimbursement for its operating expenses. A certain number of lottery employees will transition to Northstar under an employee use agreement. Further details will be disclosed upon the execution of the private management agreement with the Illinois Lottery.

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Lottomatica Group is a market leader in the Italian gaming industry and one of the largest Lottery operators in the world based on total wagers and, through its subsidiary GTECH Corporation, is a leading provider of lottery and gaming technology solutions worldwide. Together, the companies are the only vertically integrated full service lottery group. Lottomatica Group is majority owned by De Agostini, which belongs to a century-old publishing and media services group. Lottomatica is listed on the Stock Exchange of Milan under the trading symbol “LTO”. In 2009, Lottomatica Group had approximately €2.2 billion in revenues and 7,600 employees in over 50 countries.