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Vol. 33 No. 4 -- Monday October 24, 2005
MDI Entertainment Inc.
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  • Veikkaus and GTECH Start Joint Venture. Full Story
  • Ticket Sales for Big New Lottery Game Kick-Off. Full Story
  • New Cash Spectacular Game Nothing Short of Spectacular . Full Story
  • MDI Adds Popular Puzzle Sudoku™ to Portfolio of Licenses. Full Story
  • Loto-Québec on Target to Reduce the Number of VLT Sites. Full Story
  • GTECH Selected by the Arizona Lottery for New Online Lottery System. Full Story
  • Former Virginia Lottery Board Chair Wins Top Prize In Scratch Game. Full Story
  • Lotterywest Picks Up Best Brand Award. Full Story
  • SAL Draws New Manager. Full Story
  • Lotterywest Extends its Contract With Oberthur Gaming Technologies. Full Story

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Veikkaus and GTECH Start Joint Venture

VEIKKAUS, Finland (October 17, 2005) -- Veikkaus has started a joint venture together with the US game system supplier GTECH. The new company will focus on game and technology development and it was launched to meet Veikkaus' needs in particular. GTECH's involvement provides us with better resources and gives us the opportunity to launch the best of the new innovations even on international markets.

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Risto Rautee gave up his position as Veikkaus' Vice President for Development, to join the new company. He will run the company in cooperation with GTECH's Dan Bergeron. Other previous members of Veikkaus' staff to start in the new company are Timo Jylhä, Riku Nordlund and Lotte Mielck.

The company started its operations on October 1 and will operate under a temporary name for the time being. GTECH holds an 81 percent equity stake in the joint venture, with the remaining 19 percent being held by Veikkaus.

GTECH's CEO W. Bruce Turner and Veikkaus' CEO Risto Nieminen are both Members of the Board of the new company.

SOURCE: Veikkaus' eNews distributed by Veikkaus Communications.
For further information, please
CONTACT: Senior Director of Business Operations Risto Rautee + 358 400 459847.


Ticket Sales for Big New Lottery Game Kick-Off Today

NEW ZEALAND (October 16, 2005) -- Ticket sales for Big Wednesday, New Zealand’s exciting new lottery game, start Monday October 17, says New Zealand Lotteries Commission (NZ Lotteries) Chief Executive Trevor Hall.

 “Tickets will go on sale from 6:30am. Players can buy them from more than 780 outlets throughout New Zealand.

 “Our retailers are telling us that their customers are really excited about Big Wednesday, and we’re expecting sales to be brisk,” says Mr Hall.

The first televised draw will be on TV One at about 8:20pm on Wednesday 26 October.

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 “We’re giving players 10 days to buy tickets for the first draw, so they’ll have plenty of time to enter the first ever Big Wednesday draw.  After the first draw, there will be a Big Wednesday draw every Wednesday,” says Mr Hall.

 “In the first week of Big Wednesday, the First Division prize starts with $2 million cash, a Porsche 911 Carrera sports car and a luxurious Range Rover Vogue V8.

"If the First Division prize isn’t won in any week, it will jackpot with either more luxury prizes, or cash, being added to it.

 “And to add more spice for Big Wednesday players, every week one lucky ticket holder will win a ‘second chance’ prize. The prize they win will be either $25,000 cash or a Mercedes Benz luxury car.

Mr Hall says Big Wednesday is a jackpotting game with long odds and great prizes that will appeal to a wide range of players.

 “Most overseas lotteries offer players games throughout the week and we’re delighted that we can do the same for Kiwis.

A range of ticket options are available for purchase in every Lotto outlet across New Zealand from 17 October. There are dips of various sizes, and self-select coupon entries too. The minimum entry ticket for Big Wednesday costs $4.

About NZ Lotteries:

NZ Lotteries (New Zealand Lotteries Commission) was established in 1987 and operates in the New Zealand market as a crown entity under the Gambling Act 2003. Its purpose is to provide safe gaming that allows New Zealanders to play and win and contribute money back to New Zealand communities. For more information: www.nzlotteries.co.nz

SOURCE: NZ Lotteries media release.
For more information please
CONTACT: Helen Morgan-Banda, Head of Communications, Phone: +64 4, 802 7020, Mobile: +64 21 753 925

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Scientific Games Launch New Instant Ticket Press in UK; Takes Queen's Award for Enterprise
New Press in Leeds to Produce Up to 5 Billion Tickets per Year

NEW YORK, USA (October 18, 2005) -- Scientific Games (Nasdaq: SGMS - News) announced the start of production of instant tickets for the United Kingdom National Lottery management company Camelot on a newly installed press at its European headquarters in Leeds. At the same time, the company was honored with a Queen's Award for Enterprise in the International Trade category.

The newly installed high-speed, high-security press of the firm's Scientific Games International Ltd. (SGIL) subsidiary will be capable of producing up to five billion tickets per year, both for the market in the United Kingdom and other European lotteries. The instant ticket market in the United Kingdom is approximately $1.4 billion per year.

With increased production from the press, the company will add workers to its 530 person roster in the UK over the next few months. Since 2000, Scientific Games has invested more than $49 million in the plant. Tickets for the UK National Lottery had previously been printed in the company's Georgia plant and shipped to the United Kingdom.

The Queen's Award honored the steadily increasing export operations from SGIL's UK facility. Over the past 6 years, SGIL's goods exported as a percentage of total revenue increased to 80%, direct sales outside the UK increased by 238%, while employment increased by 124%.

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"We are excited to begin manufacturing locally for the European market with the launch of our UK press," said Scientific Games Chairman and CEO Lorne Weil. "On behalf of our people in Leeds and Scientific Games staffers worldwide, I wish to express our sincere appreciation and gratitude to Her Majesty the Queen for honoring our contribution to both the British and the global economy with such a prestigious award."

About Scientific Games

Scientific Games Corporation is the leading integrated supplier of instant tickets, systems and services to lotteries, and the leading supplier of wagering systems and services to pari-mutuel operators. It is also a licensed pari-mutuel gaming operator in Connecticut 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 http://www.scientificgames.com.

SOURCE: Scientific Games Corporation media release.
Company Contact: Investor Relations, Phone: 212-754-2233.


New Cash Spectacular Game Nothing Short of Spectacular

JEFFERSON CITY, Missouri, USA (October 13, 2005) -- A new $10 Missouri Lottery Scratchers game is living up to its name. "$100 Million Cash Spectacular" got off to a spectacular start during its first five weeks of sales, returning close to $10 million in prizes to players and making up approximately 26 percent of total Scratchers sales.

"This game is designed to make a lot of winners," said Bill Burton, instant game product manager for the Missouri Lottery. "It looks like it is working."

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Burton noted that sales of the new game are about four times higher for the first five weeks than previous $10 Scratchers games. The new game has generated approximately $1.7 million for public education programs in these first five weeks alone.

"We’ve already had one person claim a $1 million prize," said Burton. "There are still nine more $1 million prizes left. To date, we’ve had more than 1,000 winners of $500 or more."

The new "$100 Million Cash Spectacular" game, which officially started on Sept. 10, has the highest payout in the Lottery’s history and offers more than $102.5 million in cash prizes, including 10 top prizes of $1 million. More than 75.14 percent of the $10 game’s sales will be returned to players as prizes.

For more information about the Missouri Lottery’s new "$100 Million Cash Spectacular" game, visit the Lottery’s Web site at www.molottery.com.

SOURCE: Missouri Lottery media release.


MDI Adds Popular Puzzle Sudoku™ to Portfolio of Licenses; “The Puzzle That Ate the World” now available to Lotteries

ALPHARETTA, Georgia, USA (October 13, 2005) -- Sudoku™ – the original logic-based numbers placement puzzle – is available to lotteries now that MDI Entertainment, a wholly-owned subsidiary of Scientific Games Corporation (NASDAQ: SGMS),  has signed an exclusive agreement with Wayne Gould, the modern game’s founder, and Puzzles by Pappocom for the rights to license the extremely popular brand.

Known as one of the fastest growing puzzles in the world, Sudoku – then called Number Place – first appeared in 1979 in New York. But in 1997, retired judge Wayne Gould discovered the puzzle in Japan and spent six years developing a computer program that randomly generates the puzzles. In 2004, Sudoku was published for the first time in The Times of London and quickly attained international popularity.

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Gould, who is working closely with MDI to develop a series of game plays to reflect his game’s original concept and intrigue, said he is excited about this new partnership and taking Sudoku to a new level.

I’m looking forward to Sudoku breaking another boundary,” Gould said. “It seems to be unstoppable. I know MDI will continue my role and look after Sudoku in the Lottery world!

The new agreement gives lotteries the rights to the Sudoku name, logo, website and likenesses. In keeping with MDI’s commitment to offering its clients the absolute best products, the Sudoku puzzles will be developed and verified by Mr. Gould himself.

 “Sudoku is a game-style already well known to the world’s puzzle fans and isn’t exclusive to any one entity,” said Steve Saferin, MDI president. “However, MDI’s agreement is the only one in the Lottery industry with rights to the modern game’s developer and Mr. Gould’s immense experience in bringing to life games with instant attraction. With his expertise, MDI can translate the original game’s appeal to our clients’ players and introduce Sudoku to an entire new audience. We know our players enjoy numbers games and Mr. Gould’s original Sudoku is the gold standard of numbers games.

The puzzle’s attraction is that the rules are simple but the line of reasoning required to solve it is challenging. Depending on the difficulty level, the puzzle can take anywhere from 10 minutes to 10 hours and beyond. Currently, Pappocom’s Sudoku runs in over 200 publications in 54 countries including the New York Post, the Washington Post, and The Times of London.

About Scientific Games

Scientific Games Corporation (www.scientificgames.com) is the leading integrated supplier of instant tickets, systems and services to lotteries, and the leading supplier of wagering systems and services to pari-mutuel operators. It is also a licensed pari-mutuel gaming operator in Connecticut and the Netherlands, and is a leading supplier of prepaid phone cards to telephone companies.

MDI Entertainment, a wholly-owned subsidiary of Scientific Games Corporation, is the worldwide leader in licensed lottery games and promotions.

SOURCE: MDI Entertainment media release.
CONTACT: Jeff Schweig, Phone: 678-297-5212.


Loto-Québec on Target to Reduce the Number of VLT Sites

MONTRÉAL, Quebec, Canada (October 14, 2005) - In unveiling its Development Plan in May 2004, Loto-Québec announced its intention to reduce by 31% the number of sites equipped with video lottery terminals (VLTs) by the year 2007. Today, this target is well on its way to being realized, with the number of sites already down by 444 - from 3,663 to 3,219 - according to the latest compilation.

 Originally, the Corporation envisioned 2,521 VLT sites in operation in 2007, representing 1,142 fewer than in 2004. With the implementation of voluntary removal programs, that figure should be able to be cut by 100 additional sites.

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 In the fall of 2004, the provincial Cabinet approved a plan for the reconfiguration of the VLT network. In so doing, Loto-Québec received the green light to remove 2,500 terminals from the network of licensed establishments, with the intention of relocating most of these units to gaming centres.

 Shortly after obtaining this authorization, the Corporation sent out a letter to bar owners advising them that the units would be removed in November 2005 at the earliest.

 While the notices conveyed to bar owners remain valid, the removal of all VLTs concerned will be complete in 2007, thus respecting the timetable proposed in the Development Plan. This recovery timetable hinges, in particular, on the process of privatization of Québec racetracks and on the pace at which the new gaming centres are to be established.

 "Based on the findings of various scientific studies," underlines Alain Cousineau, President of Loto-Québec, "the Corporation is taking concrete actions to reduce accessibility to video lottery terminals by promoting their reconfiguration."

SOURCE: Loto Quebec media release.
For more information please
CONTACT: Jean-Pierre Roy, Media Relations Department, Phone: (514) 499-5151.

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GTECH Selected by the Arizona Lottery as the Preferred Bidder for New Online Lottery System, Terminals, and Communications Network

WEST GREENWICH, Rhode Island, USA (October 18, 2005) -- GTECH Holdings Corporation (NYSE: GTK - News) today announced that its wholly-owned subsidiary, GTECH Corporation, was selected by the Arizona Lottery as the preferred bidder for a new online lottery system, terminals, and communications network. The proposed five-year integrated services contract is expected to commence August 31, 2006, and will include five one-year renewal options. This award is the result of a competitive bidding process.

"GTECH has worked in close partnership with the Arizona Lottery for more than two decades, and we are appreciative of their continued confidence in our company," said GTECH President and CEO W. Bruce Turner. "In our proposal, we offered the Lottery an integrated solution that provides an enabling platform, our industry-leading Enterprise Series (ES) solution, and the most diverse point-of-sale solutions for the rapidly growing and changing Arizona retail environment. In addition, we offered a portfolio of game content strategies and an ever-expanding portfolio of new game concepts that will produce sustainable and responsible revenue growth for the state of Arizona."

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Upon successful completion of a new contract, GTECH will convert the Lottery's existing system to the Company's Enterprise Series™ technology platform and replace the existing terminal base with approximately 2,600 Altura® terminals. In addition, GTECH will provide an IP-based communications network.

"GTECH's solution is designed to adapt to accelerating shifts in retail distribution and the latest trends in consumer communications, and enables the expansion of entertainment choices, play value, and consumer access," continued Mr. Turner.

GTECH will continue to provide ongoing services to the Arizona Lottery including central system and terminal maintenance; field service; marketing support; and hotline management.

GTECH has provided lottery products and services to the Arizona Lottery since 1984. Under the terms of the proposed agreement with the Lottery, GTECH expects to generate revenues of approximately $35 million to $40 million over the five-year term.

GTECH is a leading gaming technology and services company. With more than $1.25 billion in annual revenues and 5,300 people in over 50 countries, GTECH provides integrated technology, creative content, and business services to effectively manage and grow today's evolving gaming markets. In targeted emerging economies, GTECH also leverages its operational presence and infrastructure to supply commercial transaction processing services. For more information about the Company, please visit GTECH's website at http://www.gtech.com.

SOURCE: GTECH Holdings Corporation media release.
CONTACT: Robert K. Vincent, Public Affairs, Phone: 401-392-7452.


Former Virginia Lottery Board Chair Wins Top Prize In Scratch Game

RICHMOND, Virginia, USA (October 19, 2005) For the 10 years that Virginia Hall of Danville served on the Virginia Lottery Board, she was barred by law from playing Virginia Lottery games.

But even with a 10-year break, she never lost her enjoyment of Lottery games.

When she left the state board in January of 2004, she was able to resume playing. "I enjoy it," she said. "It's for a good cause: education." But that enjoyment took on a whole different meaning when the Extreme Cash ticket she played turned out to be a $100,000 top prize winner!

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"It just proves that anybody who buys a ticket can win!" she told Lottery officials when she claimed her prize. She purchased the winning ticket at Quick N Plenty Market, located at 395 Mount Cross Road in Danville. She had $15 worth of winning tickets to redeem, which she used to play Extreme Cash. When she scratched the ticket and realized it was a top prize winner, she said she felt "utter disbelief." But she knew just who to call. "I went and called my child who is a CPA," she said.

She intends to use at least part of her winnings to help with college for her three grandchildren, so "it will continue to go to education."

Extreme Cash is one of more than 50 scratch games offered by the Virginia Lottery. Players can win up to 16 times on each ticket. Prizes range from $5 all the way up to $100,000. Ms. Hall is the second player to win the top prize of $100,000 in the game, so that means there are still two top prize winning tickets out there waiting to be scratched. All Virginia Lottery profits go to K-12 public school education in the Commonwealth of Virginia. In fiscal year 2005, the Lottery turned over more than $423 million for education.

SOURCE Virginia Lottery Press Release


Lotterywest Picks Up Best Brand Award

ADELAIDE, South Australia (October 19, 2005) -- Lotterywest has been rated as one of the strongest brands in Western Australia in this year's Branding Awards conducted by WA Business News.

Lotterywest was rated WA's third strongest brand, after BankWest, a major Western Australian Bank, and Bunnings, a very well known hardware chain. 2005 sees Lotterywest also placed ahead of longstanding brands such as RAC (the state's Automobile Association celebrating its 100th anniversary this year), as well as major sporting names such as The West Coast Eagles (WA's premiere football team). In 2004 Lotterywest was ranked fifth in the same awards. Lotterywest's dynamic new brand has won the award for the second year in a row, after undergoing a major redevelopment of its corporate identity only two years ago in April 2003.

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The organisation was formerly known as the Lotteries Commission of Western Australia, a name it had held for the past 70 years. The updated corporate identity has been part of the organisation's long term positioning and marketing strategy to ensure the ongoing success of Western Australia's lottery. The rebranding and renaming of the organisation honours the integral relationship Lotterywest has with the Western Australian community, where it is the only lotteries in Australia to give a percentage of its lotteries sales directly back to the community, in the form of grants.

In accepting the 2005 WA Business News Branding Award, Lotterywest's Chief Executive Officer, Jan Stewart, says she believes the award acknowledges that the Lotterywest brand is now well-established as one of the most recognised and respected local brands, especially in highlighting the emphasis of Lotterywest's partnership with the many community and non profit organisations in Western Australia.

"Our planned and coordinated branding strategy has been very important in positioning Lotterywest as an important brand within the WA community and our own research tells us that Lotterywest is now well recognised and valued as a unique local brand." Mrs Stewart also believes that it's no coincidence that Lotterywest has grown in stature as a brand and has contributed to recent growth in sales due to the rollout of the Lotterywest shopfit.

"There's no doubt that the recognition of the Lotterywest brand has been further enhanced by the rollout of our retail shopfit and that this has been an important factor in lifting the profile of our brand in a very busy retail environment." she added.

SOURCE: Lotterywest media release. For more information please
CONTACT: Angelika Fawcett, 9340 5227 / 0438 996 884.


SA Lotteries Draws New Manager

ADELAIDE, South Australia (Tuesday, 18 October 2005) SA Lotteries is pleased to welcome Bernadette Tieste to its management team in the role of Manager - Corporate Communications.

Bernadette will be responsible for all corporate communications activities involving SA Lotteries. Commenting on the new appointment, SA Lotteries' Chief Executive, June Roache said Bernadette brings over ten years' experience in corporate communications and public relations to SA Lotteries.

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Bernadette's most recent role was as Strategic Communications Adviser at the Adelaide City Council where she was responsible for corporate and strategic communications, issues management, media liaison and speech writing. As a journalist, Bernadette has worked both in Australia and overseas. Previous employment also includes working as an Editor for an international communications company in Osaka, Japan and other public relations related posts at the City of Norwood, Payneham and St Peters and Wheelchair Sports SA.

"We are delighted to have Bernadette join SA Lotteries - a proud South Australian corporate which has been been making a difference to the community for nearly four decades, says Ms Roache." SA Lotteries' corporate focus is to promote, conduct and distribute lotteries games in a responsible manner for the benefit of all South Australians.

SOURCE SA Lotteries Press Release


Lotterywest Extends its Contract With Oberthur Gaming Technologies

SYDNEY, NSW, Australia (October 20, 2005) -- Oberthur Gaming Technologies Pty. Limited ("OGT") is pleased to announce a two-year extension of its contract awarded by Lotterywest. The original two-year contract, signed in 2003, named OGT as the exclusive supplier for instant tickets and related services and included three one-year extension options.

"We are pleased to continue our strong working relationship with OGT", said John Cheyne, Director of Sales and Marketing of Lotterywest. "Business complexities diminish when dealing with professional, talented and competent business partners such as OGT".

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"At OGT, we are thrilled with this two-year extension", said Klaus Tietjens, Director of Sales at OGT - Australia. "Lotterywest is a valued client, and we are proud of the confidence they have shown towards our organization. We will ensure this long-lasting association continues successfully into the future."

About Oberthur Gaming Technologies

With more than 35 years of lottery-specific expertise and over a century's experience in the security printing industry, Oberthur Gaming Technologies (www.oberthurgt.com) is the world's leader in the printing of innovative instant lottery tickets. Comprehensive services include strategic game planning and innovative conceptual design with OGT's Dream Team™, mobile gaming, Cyber Games™ as well as state-of-the-art Global Operations and Lottery Distribution System (GOLDS). OGT currently supplies a full range of high quality products and services to 100 clients in some 50 countries. The company has production units and offices in Montreal, Canada; San Antonio, Texas; Atlanta, Georgia; Philadelphia, Pennsylvania in the U.S.; Paris, France; Vienna, Austria; and Sydney, Australia.

SOURCE: Lyse Trudel, Communications Officer, Oberthur Gaming Technologies, (+1-514) 254-3600, ext. 101, Email: lyse.trudel@mtl.oberthurgt.com
For information: Klaus Tietjens, Director of Sales, Oberthur Gaming

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