NEW YORK, June 21 /PRNewswire-FirstCall/ -- Scientific Games Corporation (Nasdaq: SGMS) announced that it has been awarded a contract to supply instant tickets and cooperative services to Olifeja UAB, the Lithuanian national lottery operator. The contract begins in June 2010 and will run for ten years, with options to extend for additional one-year increments. The company will handle the supply of instant tickets, including ticket and game design as well as marketing and sales support services. Revenues to Scientific Games will be based on a percentage of sales.
Olifeja UAB currently operates the Lithuanian National Lottery, spanning a population of 3.6 million people across a land-based retail network of lottery terminals, a weekly TV show and a number of unique local Lithuanian games. Total Lithuanian lottery sales in 2009 were $42.0 million, of which $3.3 million were generated by the sale of instant tickets.
"We are extremely pleased to become a partner to the Lithuanian lottery through Olifeja," commented Michael Chambrello, President and CEO of Scientific Games. "Right now instant ticket sales in Lithuania represent less than ten percent of total lottery sales. We see ample opportunity to drive instant ticket sales by implementing our proven best practices and Olifeja is a very receptive partner. Eventually we believe Lithuania can be an excellent model for lotteries throughout Northern Europe."
"After witnessing Scientific Games' success in other European countries, we realized they would be the perfect partner to help grow instant ticket sales in Lithuania," said Mr. Donatas Kazlauskas, Deputy CEO. "We look forward to working together with Scientific Games to improve our games and product positioning and ultimately grow sales for the benefit of the people of Lithuania."
About Scientific Games
Scientific Games Corporation is a leading integrated supplier of instant tickets, systems and services to lotteries worldwide, a leading supplier of server based gaming machines and systems, Amusement and Skill with Prize betting terminals, interactive sports betting terminals and systems, and wagering systems and services to pari-mutuel operators. It is also a licensed pari-mutuel gaming operator in Connecticut, Maine 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 50 other countries.
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; availability and adequacy of cash flow 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; inability to complete the proposed sale of the racing and venue management businesses; seasonality; inability to enhance and develop successful gaming concepts; dependence on suppliers and manufacturers; liability for product defects; 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. 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