NEW YORK, Dec. 21, 2010 /PRNewswire-FirstCall/ -- Scientific Games Corporation (Nasdaq: SGMS) today announced that the Company has been awarded a contract to supply instant tickets and cooperative services to Dutch lottery operator, De Lotto. The contract, which is anticipated to begin in April 2011, has an initial term of four years and includes additional contract extension options. Under the terms of the contract, Scientific Games will be consulting on marketing and game design and providing field sales support, in addition to printing and distributing tickets. Revenues to Scientific Games will be based on a percentage of instant ticket retail sales.
"We see growth potential for instant tickets in the Netherlands, as De Lotto's instant ticket sales in 2009 represented roughly 20% of lottery sales, compared with almost 60% of lottery sales in the U.S.," said Scientific Games Chairman and CEO Lorne Weil. "We believe we can expand instant ticket penetration through both the addition of our cooperative services and by working with De Lotto to implement best practices."
"Scientific Games has been a trusted partner since we started selling instant tickets in 1993," said Harrie Linders, CEO of De Lotto. "We look forward to working with them to improve our games and product positioning within the boundaries of our license and gambling policy of the Netherlands."
With the brands Lotto, Toto, Lucky Day and Scratch, De Lotto spans a population of 16.7 million people across a land-based retail network of lottery terminals. Total De Lotto sales in 2009 were $442.1 million (euro 333.4 million), of which $90.0 million (euro 67.9 million) were generated by the sale of instant tickets.
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 include instant lottery games, lottery gaming systems, terminals and services, and internet applications, as well as server-based interactive gaming machines. Scientific Games serves customers in approximately 50 countries. For more information, please visit our web site at www.scientificgames.com.
Cindi Buckwalter, Investor Relations
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," "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 projected 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; inability to fully realize, and risks associated with, our deferred tax assets; 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, joint ventures and strategic investments and relationships; seasonality; inability to identify and capitalize on trends and changes in the lottery and gaming industries; 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 foreign operations; influence of certain stockholders; dependence on key personnel; failure to perform on 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, including under the heading "Risk Factors" in our 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.
SOURCE Scientific Games Corporation