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GTECH SELECTED BY THE SOUTH DAKOTA LOTTERY TO NEGOTIATE FIVE-YEAR INTEGRATED SERVICES CONTRACT, FOLLOWING COMPETITIVE PROCUREMENT
PROVIDENCE, RHODE ISLAND – October 28, 2008 - GTECH Corporation announced that it has been selected to negotiate a five-year online lottery contract with the South Dakota Lottery to provide a new online central system, terminals, and ongoing lottery and marketing consultancy services. The proposed five-year integrated services contract, which follows a competitive procurement, is expected to commence on August 3, 2009, and include five one-year extension options. GTECH expects to receive revenues of approximately $10 million to $12 million over the duration of the contract, commencing in the third quarter of 2009.
“We are excited about, and appreciative of, the opportunity to partner with our new customer, the South Dakota Lottery,” said GTECH President and CEO Jaymin B. Patel. “We look forward to helping them grow their business with innovative technology, enabling a holistic approach to optimizing and growing their existing game portfolio, and applying global, field-proven best practices in flexible retail solutions. These will be designed to attract new players in existing and new markets, and provide a full complement of marketing services that will assist the Lottery in reaching new milestones and deliver increased contributions to benefit the residents in South Dakota.”
“The new online system from GTECH will benefit our retailers and players with a number of state-of-the-art features,” said South Dakota Lottery Executive Director Norman Lingle. “Those features, and the savings GTECH offers over our current contract, should result in higher revenue transfers to the state for important programs and projects. That’s the kind of great business partnership everyone looks for.”
Following the successful completion of negotiations with the South Dakota Lottery, and the signing of a definitive agreement, GTECH will replace the Lottery’s existing central system with GTECH’s Enterprise Series™ (ES) solution and initially install approximately 620 online lottery terminals. The Company will also provide the Lottery with ES MultiMedia, which delivers transactions and advertising at the point-of-sale via flat screens, and ongoing services including maintenance of the online central system and terminals, retailer training, and field service. In addition, GTECH will work together with the South Dakota Lottery on comprehensive market research analyses, and provide consultative services for promotions, new games, enhancements, and retailer and sales execution strategies.
GTECH Corporation is a leading gaming technology and services company. With 5,900 people in over 50 countries, GTECH provides innovative technology, creative content, and superior service delivery to effectively manage and grow today’s evolving gaming markets. GTECH is a wholly-owned subsidiary of Lottomatica, one of the world’s largest commercial lottery operators and a market leader in the Italian gaming industry. For more information about the Company, please visit GTECH’s website at www.gtech.com.
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