Scientific Games Announces Leadership Team for Combined Company
NEW YORK, Sept. 17, 2013 /PRNewswire/ -- Scientific Games Corporation (Nasdaq: SGMS) today announced the planned organizational structure and leadership team of the combined company following the closing of the Company's pending merger with WMS Industries Inc. (NYSE: WMS). Post-merger, the senior corporate executives of Scientific Games will remain in their current roles, including A. Lorne Weil, who will serve as Chairman and Chief Executive Officer of the combined company. Operationally, the Company will be organized into two industry groups - Gaming and Lottery.
The Gaming group is expected to be composed of:
- the core WMS Gaming business;
- Scientific Games' server-based gaming business headquartered in the U.K.;
- Gaming-related systems businesses of both Scientific Games and WMS; and
- Williams Interactive.
The Gaming group will be led by William J. Huntley, who will serve as Executive Vice President and Group Chief Executive of Gaming, reporting to Mr. Weil. Mr. Huntley currently serves as Executive Vice President and Chief Executive Officer, Systems, of Scientific Games, and has overseen the successful integration of several major acquisitions for Scientific Games.
The senior management team of the Gaming group will report directly to Mr. Huntley and is anticipated to include:
- Ken S. Lochiatto, President and Chief Operating Officer of WMS Gaming;
- Scott D. Schweinfurth, Chief Financial Officer of Gaming and Chief Integration Officer of Scientific Games;
- Frederick M. Gabbard, Senior Vice President, Product Development;
- Steven W. Beason, Enterprise Chief Technology Officer of Scientific Games;
- Brooks H. Pierce, Chief Revenue Officer of Gaming;
- Phil Horne, Group Managing Director of SG Gaming U.K.; and
- Jordan E. Levin, Managing Director of Williams Interactive.
Orrin J. Edidin will assume the role of Senior Vice President, Strategy and Business Development of Gaming, reporting directly to Mr. Weil. Steve Frater, Executive Chairman of SG Gaming U.K., will continue to report to Mr. Weil. Messrs. Lochiatto, Schweinfurth, Gabbard, Levin, and Edidin currently serve in senior management roles at WMS.
Brian R. Gamache, who has served as Chief Executive Officer of WMS since 2001 and Chairman since July 2008, will continue with Scientific Games in a consulting capacity to provide strategic advice to Mr. Weil and the senior management team as the two companies complete the integration and focus on the continued growth of the Company's global gaming business.
Both of Scientific Games' lottery businesses - Printed Products and Lottery Systems - will be led by James C. Kennedy, who will serve as Executive Vice President, Group Chief Executive of Lottery, reporting to Mr. Weil.
"This announcement is an exciting step forward in the evolution of Scientific Games into a global gaming company with the most comprehensive portfolio of products and services and world-class functional expertise across the lottery and gaming industries," said Mr. Weil. "I am excited about the experienced leadership team we have chosen to take Scientific Games to the next level of success. We are uniting two highly complementary businesses and creating a collaborative team focused on delivering new solutions, truly innovative content, world-class technology and industry-leading services to customers around the globe."
As previously announced on January 31, 2013, Scientific Games entered into an agreement to acquire WMS for $26.00 in cash per common share, or approximately $1.5 billion in the aggregate. The transaction, which remains subject to the approval of gaming regulatory authorities and other customary closing conditions, is expected to close in the fall of 2013. The appointments announced today are based on current expectations and are contingent on the closing of the merger.
About Scientific Games
Scientific Games Corporation is a global leader in providing customized, end-to-end gaming solutions to lottery and gaming organizations worldwide. Scientific Games' integrated array of products and services includes instant lottery games, lottery gaming systems, terminals and services, and internet applications, as well as server-based interactive gaming terminals and associated gaming control systems. For more information, please visit our website at www.scientificgames.com.
WMS Industries Inc. is a leading supplier of innovative gaming entertainment products and services worldwide. The Company designs, develops, manufactures, distributes and markets casino games and gaming machines, video lottery terminals, video gaming terminals and interactive gaming products and services. More information on WMS, and its subsidiaries, WMS Gaming and Williams Interactive, can be found at www.wms.com or www.williamsinteractive.com or visit the Company on Facebook®, Twitter® or YouTube®.
In this press release, the Company makes "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements describe future expectations, plans, results or strategies and can often be identified by the use of terminology such as "may," "will," "estimate," "intend," "continue," "believe," "expect," "anticipate," "should," "could," "potential," "opportunity," or similar terminology. These statements are based upon management's current expectations, assumptions and estimates and are not guarantees of future results or performance. Actual results may differ materially from those contemplated in these statements due to a variety of risks and uncertainties and other factors, including, among other things: competition; material adverse changes in economic and industry conditions; technological change; retention and renewal of existing contracts and entry into new or revised contracts; availability and adequacy of cash flows to satisfy obligations and indebtedness or future needs; protection of intellectual property; security and integrity of software and systems; laws and government regulation, including those relating to gaming licenses, permits and operations; inability to identify, complete and integrate future acquisitions; inability to benefit from, and risks associated with, strategic equity investments and relationships; failure of our Northstar Illinois joint venture to meet the net income targets or otherwise to realize the anticipated benefits under its private management agreement with the Illinois Lottery; failure of our Northstar New Jersey joint venture to meet the net income targets or other requirements under its agreement to provide marketing and sales services to the New Jersey Lottery or otherwise to realize the anticipated benefits under such agreement (including as a result of a protest); failure to realize the anticipated benefits related to the award to our consortium of an instant ticket concession in Greece; the seasonality of our business; failure to complete the pending acquisition of WMS Industries Inc. ("WMS") on a timely basis or at all, including due to the inability to obtain the gaming regulatory approvals required to complete the acquisition; disruption of our current plans and operations in connection with the WMS acquisition; failure to achieve the intended benefits of the WMS acquisition, including due to the inability to realize synergies in the anticipated amounts or within the contemplated time-frames or cost expectations, or at all; inability to identify and capitalize on trends and changes in the lottery and gaming industries, including the potential expansion of regulated gaming via the internet; inability to enhance and develop successful gaming concepts; dependence on suppliers and manufacturers; liability for product defects; fluctuations in foreign currency exchange rates and other factors associated with international operations; influence of certain stockholders; dependence on key personnel; failure to perform under our contracts; resolution of pending or future litigation; labor matters and stock price volatility. Additional information regarding risks and uncertainties and other factors that could cause actual results to differ materially from those contemplated in forward-looking statements is included from time to time in the Company's filings with the Securities and Exchange Commission ("SEC"), including under the heading "Risk Factors" in the Company's Annual Report on Form 10-K filed with the SEC on March 12, 2013 and in its subsequent periodic reports. Forward-looking statements speak only as of the date they are made and, except for the Company's ongoing obligations under the U.S. federal securities laws, the Company undertakes no obligation to publicly update any forward-looking statements whether as a result of new information, future events or otherwise.
Cindi Buckwalter, (212) 754-2233
Aimee Remey, (212) 754-2233
SOURCE Scientific Games Corporation