GTECH Announces Record Revenues and Earnings for Fiscal 2005

GTECH Announces Record Revenues and Earnings for Fiscal 2005
Company Provides Update on Recent Developments in Brazil 


WEST GREENWICH, R.I., April 14  /PRNewswire-FirstCall/ -- GTECH Holdings
Corporation (NYSE:GTK) today announced fourth quarter and year-end earnings for
the fiscal year ended February 26, 2005.

"GTECH's fourth quarter and full-year results provide further validation that
our business is operationally sound, financially strong, and strategically on
track," said GTECH President and CEO W. Bruce Turner.  "We enjoyed significant
growth in total revenues in both the quarter and the year, driven by the
continued strength in same store sales and strong product sales. We also met
our overall financial goals and objectives, despite the unexpected revenue
holdback in Brazil."

"We are pleased with the strong operating performance of the business in fiscal
2005, despite several challenges," said GTECH Senior Vice President and CFO
Jaymin B. Patel.  "The outlook for fiscal 2006 is promising, and we remain
excited about the future.  Our significant successes in the marketplace over
the past 12 months position us well for continued growth, and provide
confidence in our ability to achieve our long-term goals of profitability and
value creation for our shareholders."

Operating Results

Revenues for the fourth quarter of fiscal 2005 were $337.9 million, up 20.9%
over revenues of $279.6 million in the fourth quarter of fiscal 2004. Net
income was $43.8 million, or $0.34 per diluted share, down 8.3% from net income
of $47.8 million, or $0.36 per diluted share for the same period last year.

Revenues for fiscal 2005 were $1.26 billion, up 19.6% over revenues of $1.05
billion in fiscal 2004.  Net income was $196.4 million, or $1.50 per diluted
share, up 7.2% over net income of $183.2 million, or $1.40 per diluted share,
for the same period last year.

Net income in fiscal 2005 includes a one-time, after-tax gain of $7.0 million,
or approximately $0.05 per diluted share, associated with the sale of the
Company's 50% interest in Gaming Entertainment (Delaware) L.L.C.  Net income in
fiscal 2004 includes a one-time, after-tax gain of $3.3 million, or
approximately $0.03 per diluted share, from the consolidation of the
partnership that owns the Company's corporate headquarters in West Greenwich,
Rhode Island.

Earnings per share and dividends per share have been restated to reflect the
2-for-1 common stock split effected in the form of a stock dividend, which was
distributed on July 30, 2004, to shareholders of record as of July 1, 2004.

As required by EITF 04-8, "The Effect of Contingently Convertible Debt on
Diluted Earnings Per Share," which became effective in December 2004, diluted
earnings per share for fiscal 2004 and 2003 have been restated from $1.42 per
share to $1.40 per share and $1.21 per share to $1.11 per share, respectively.
EITF 04-8 requires that all 12.7 million shares underlying the Company's 1.75%
Convertible Debentures be included in diluted earnings per share computations,
if dilutive, regardless of whether the contingency has been met.

Cash Flow and Investments

During fiscal 2005, the Company generated $375.2 million of cash from
operations.  This cash, along with cash generated by the sale of available-
for-sale investment securities, was principally used to fund the Spielo
Manufacturing Incorporated, Leeward Islands Lottery Holding Company, Inc.
(LILHCo), and BillBird S.A. acquisitions of $200.7 million and to fund $245.6
million of systems, equipment, and other assets relating to contracts.  In
addition, the Company issued $300 million of Senior Notes during fiscal 2005;
repaid the remaining $90.0 million of the Company's 7.87% Senior Notes;
repurchased $120.7 million, or 5.3 million shares of the Company's common
stock; and paid cash dividends of $39.8 million.  At February 26, 2005, the
Company had $94.4 million of cash and cash equivalents and $196.8 million of
short-term investment securities on hand.

At the end of fiscal 2005, the Company had no borrowings under its $500 million
senior revolving credit facility.

Developments in Brazil

The Company has recently received written confirmation of an appellate court
decision concerning an appeal of a lower court's order freezing GTECH's
Brazilian assets and imposing a 30% withholding of GTECH's fees from Caixa
Economica Federal (Caixa) as indemnification for potential future liabilities
should a civil suit brought by the Public Ministry prevail.  GTECH has
aggressively defended against the civil suit which the Company believes is
based on outdated and faulty information.  The three judge panel that heard the
appeal issued a unanimous ruling granting partial relief to GTECH that reverses
a substantial portion of the withhold-and-freeze order and discontinues future
withholding.  At the end of fiscal 2005, the amount withheld by Caixa from
GTECH was approximately BRR68 million or US$26 million. The court ordered
amounts in excess of BRR40 million should be returned to the Company.  As of
today, the Company is awaiting the return of withholdings which amount to BRR38
million or US$14 million, representing excess funds held in escrow as of April
8, 2005.

The appellate court decision is subject to appeal by the Federal Attorneys
through a motion for clarification.  If such a motion is not granted, the next
level of appeal is to the Supreme Judicial Court, the highest level appellate
court for civil matters.

As background, GTECH's contract with Caixa expires on May 14, 2005.  Caixa has
announced an aggressive plan to implement a new business model that includes
the in-house development of its own central system application, a phased
de-installation of GTECH retailer terminals, and the eventual takeover of
operations from GTECH.  Caixa has conducted four commodities auctions for
various products and services and is completing its vendor contracting process.

GTECH elected not to participate in the commodity procurements.  Caixa has also
publicly expressed its intent to enter into a new contract with GTECH or extend
its current contract to assist in the migration process.  Negotiations have
recently begun.

The Company will issue updates as appropriate with respect to developments on
the recent court ruling and contract negotiations.

Financial Outlook

The Company provided guidance for the full year and first quarter of fiscal
2006.

For the fiscal year ending February 25, 2006, the Company expects service
revenue growth in the range of 8% to 10%, reflecting a 5% to 6% increase in
same store sales, the net effect of contract wins and the impact of
acquisitions, offset by a number of factors, including contractual rate changes
and fluctuations in certain foreign exchange rates against the U.S. Dollar. 
The Company expects product sales in the range of $180 million to $210 million.

GTECH expects service margins of approximately 40% and product margins in the
range of 38% to 40%.

The Company expects the full year tax rate to be approximately 35%.

Based upon this outlook, the Company believes that earnings per share will be
in the range of $1.53 to $1.58 for fiscal year 2006, excluding the impact of
the adoption of SFAS 123R, share-based payment, which may require companies to
expense stock options beginning in the third quarter of the Company's current
fiscal year.  If GTECH were to adopt this new accounting mandate at that time,
it believes fully diluted earnings per share would be in the range of $1.50 and
$1.55 per share.

For the first quarter of fiscal 2006, ending May 28, 2005, the Company expects
service revenues to increase 5% to 7%, versus the first quarter of last year,
and product sales in the range of $30 million to $35 million. GTECH expects
both service and product margins in the range of 38% to 40%. The Company
expects the effective tax rate to be 36% in the first quarter. Based upon this
outlook, the Company expects earnings per share to be in the range of $0.33 to
$0.36 per share.  This compares to the $0.40 per share reported in the first
quarter of fiscal 2005, which included a one-time gain associated with the sale
of the Company's interest in Harrington Raceway in Delaware.  Excluding that
gain, recurring earnings per share for the first quarter of fiscal 2005 were
$0.35.

In giving guidance, the Company noted that ongoing developments in Brazil could
positively impact both the outlook for the first quarter and full fiscal year. 
As the situation is fluid, the Company indicated it would not include the
potential impact in current guidance until the situation becomes more certain. 
However, it noted that under certain assumptions, incremental service revenues
for the fiscal year ending February 25, 2006 could be in the range of $25
million to $35 million, and incremental earnings per share in the range of
$0.07 to $0.12.  Those assumptions include:

  -- Receipt of 100% of its Caixa-related service revenues during the fiscal
     year;
  -- Release of $14 million from the escrow account, including $11 million
     relating to the fiscal 2005 holdback;
  -- Negotiating a one-year extension with Caixa that would conform to
     Caixa's public goals to accelerate the de-installation of GTECH
     terminals; and
  -- Impact of potential incremental (non-Brazil) investments currently
     being contemplated, in the range of $8 million to $10 million.



In the event that the court order is upheld and the Company receives all monies
due by the end of May, $15 million to $20 million in incremental service
revenues would occur in the first quarter and the impact to fully diluted
earnings per share would be $0.06 to $0.08.  The balance would accrue evenly
throughout the remainder of the fiscal year.  The Company will provide updates
as appropriate.

Fourth Quarter and Full Year Highlights

In the fourth quarter and full year of fiscal 2005, GTECH reasserted its
technology leadership and made significant strategic progress on all sides of
the business -- Lottery, Gaming Solutions, and Commercial Services.

During the quarter, GTECH was selected by the New Zealand Lottery as the lead
bidder for a complete lottery system conversion to include a new integrated
online and instant lottery system and new terminals, following a competitive
procurement.  The Company also signed a two-year contract extension to provide
online lottery products and services for the Argentine National Lottery.  In
addition, GTECH's subsidiary Spielo will provide Sweden's Svenska Spel with
2,000 next-generation wide area video lottery terminals (VLTs).

Also in the quarter, GTECH further strengthened its corporate leadership and
governance with the appointments of Walter DeSocio as Senior Vice President,
General Counsel, and Corporate Secretary; and Paget Alves as a new member of
its Board of Directors.  In addition, GTECH's Board was named the Top
Performing Board of Directors in Gaming by HVS Executive Search, an
international executive recruiting and compensation consulting firm
specializing in the gaming, lodging, and restaurant/retail industries.

During fiscal 2005, GTECH was awarded online lottery contracts in Missouri,
Thailand, Mexico, Finland, Switzerland, and Germany (Thuringen). ONCE in Spain
ordered a total of 12,000 additional handhelds terminals, adding to the
existing base of 7,000 handhelds.  Singapore Pools also signed a five- year
contract with GTECH for ES Connect(TM) and ES Connect(TM) B2B.  In addition,
lottery contracts were extended in Minnesota, Oregon, Colorado, Luxembourg,
South Australia, and Turkey.

Also during the fiscal year, customers in Atlantic (Canada), Jamaica, and Italy
awarded GTECH contracts to supply video lottery (or gaming) central system
solutions and related services.  In December, the Multi State Lottery
Association (MUSL) selected GTECH to supply equipment and service for the first
ever multi-vendor, multi-state video lottery Wide Area Progressive (WAP)
solution.  Spielo was also selected to provide the Oregon Lottery with
approximately 2,000 PowerStation 5(TM) VLTs.  Shortly after the close of the
fiscal year, GTECH was chosen to supply the video central control system by the
Pennsylvania Department of Revenue in a highly competitive procurement process.

GTECH received contracts for Instant Ticket Vending Machines (ITVMs) from
lotteries in Virginia, Illinois, Washington, and Maine, further validating the
Interlott brand.  Moreover, the Arizona and New Mexico lotteries extended the
Company's ITVM contracts for three years and two years, respectively.

Also in the year, GTECH successfully implemented new online systems for
lotteries in Tennessee, Florida, Germany (WestLotto), and Sri Lanka.

In the Commercial Services vertical, GTECH continued to expand its services
offerings around the globe.  GTECH's subsidiary PolCard exceeded expectations
on all fronts, signing on with three new bank customers and three additional
national merchant accounts.  In the third quarter of the year, GTECH acquired
BillBird, a leading bill payment and prepay company in Poland. Since that time,
BillBird has increased transactions per retailer 21%, and grown the overall
retail base from 1,849 to approximately 6,600 VIA(TM) branded retail
points-of-presence.

Additionally, GTECH began selling prepaid mobile phone top-ups through lottery
terminals in Barbados and in Lithuania.  In Trinidad and Tobago, the sale of
prepaid mobile phone top-ups and bill payments also commenced.

"GTECH scored major successes across all three vertical markets:  Lottery,
Gaming Solutions, and Commercial Services, in fiscal 2005," continued Mr.
Turner.  "All told, we won a record 32 new contracts, including extensions and
re-bids, the total contract revenue value of which is estimated to be between
$635 million and $690 million."

Fiscal 2005 was a year of major strategic progress, as well, with successful
acquisitions in all three vertical markets.

"In addition to BillBird, we strengthened our lottery presence in the Caribbean
with the acquisition of LILHCo, and our Gaming Solutions strategy took a big
leap forward when we entered into an agreement with the Gauselmann Group of
Germany to purchase a 50 percent controlling equity interest in Atronic, one of
the world's leading video slot machine manufacturers," said Mr. Turner.

Certain statements contained in this press release are forward looking
statements within the meaning of the United States Private Litigation Reform
Act of 1995.  We identify forward looking statements by words such as "may,"
"will," "should," "could," "expect," "plan," "anticipate," "intend," "believe,"
"estimate," "continue," "project," or similar words that refer to the future. 
Such statements include, without limitation, statements related to:  (i) the
future prospects for and stability of the lottery industry and other businesses
in which we are engaged or expect to be engaged, (ii) our future operating and
financial performance (including, without limitation, expected future growth in
revenues, profit margins and earnings per share), (iii) our ability to retain
existing business and to obtain and retain new business; (iv) our ability to
realize the anticipated benefits of our acquisitions and (v) the results and
effects of legal proceedings.  Such forward looking statements reflect
management's assessment based on information currently available, but are not
guarantees and are subject to risks and uncertainties that could cause actual
results to differ materially from those contemplated in the forward looking
statements.

These risks and uncertainties include, but are not limited to, those set forth
above, in our subsequent press releases and on reports by the Company on Forms
10-K, 10-Q and 8-K, and other reports and filings with the Securities and
Exchange Commission, as well as risks and uncertainties respecting:  (i)
government regulations and other actions affecting the online lottery industry
could have a negative effect on our business and sales; (ii) we may be subject
to adverse determinations in legal proceedings (including previously announced
legal proceedings in Brazil) which could result in substantial monetary
judgments or reputational damage; (iii) our lottery operations are dependent
upon our continued ability to retain and extend our existing contracts and win
new contract; (iv) slow growth or declines in sales of online lottery goods and
services could lead to lower revenues and cash flows; (v) we derive over half
of our revenues from foreign jurisdictions (including over 7.4% in fiscal 2005
from Brazilian operations) and are subject to the economic, political and
social instability risks of doing business in foreign jurisdictions; (vi) our
results of operations are exposed to foreign currency exchange rate
fluctuations which could result in lower revenues, net income and cash flows
when such results are translated into U.S. Dollar accounts; (vii) we have a
concentrated customer base and the loss of any of our larger customers (or
lower sales from any of these customers) could lead to lower revenue; (viii)
our quarterly operating results may fluctuate significantly; (ix) we operating
in a highly competitive environment and increased competition may cause us to
experience lower net cash flows or to lose contracts; (x) we are subject to
substantial penalties for failure to perform under our contracts; (xi) we may
not be able to respond to technological changes or to satisfy future technology
demands of our customers in which case we could fall behind our competitors;
(xii) if we are unable to manage potential risks related to acquisitions, our
business and growth prospects could suffer; (xiii) expansion of the gaming
industry faces opposition which could limit our access to some markets; (xiv)
our business prospects and future success depend upon our ability to attract
and retain qualified employees; (xv) our business prospects and future success
rely heavily upon the integrity of our employees and executives and the
security of our systems; (xvi) our dependence on certain suppliers creates a
risk of implementation delays if the supply contract is terminated or breached,
and any delays may result in substantial penalties and (xvii) our non-lottery
ventures, which are an increasingly important aspect of our business, may fail.

GTECH, a leading global information technology company with over $1 billion in
revenues and 5,300 people in over 50 countries, provides software, networks,
and professional services that power high-performance, transaction processing
solutions.  The Company's core market is the lottery industry, with a growing
presence in commercial gaming technology and financial services transaction
processing.  For more information about the Company, please visit GTECH's
website at http://www.gtech.com/.

  Consolidated financial statements to follow:


               GTECH HOLDINGS CORPORATION AND SUBSIDIARIES

                      CONSOLIDATED INCOME STATEMENTS

                                                     Fourth Quarter
                                                   Fiscal Year Ended
                                             February 26,      February 28,
                                                 2005              2004
                                                 (Dollars in thousands,
                                                 except per share amounts)
  Revenues:
   Services                                     $264,298          $264,689
   Sales of products                              73,570            14,887
                                                 337,868           279,576
  Costs and expenses:
   Costs of services                             164,897           146,246
   Costs of sales                                 53,996             8,693
                                                 218,893           154,939

  Gross profit                                   118,975           124,637

  Selling, general and administrative             29,989            29,594
  Research and development                        13,818            15,896
   Operating expenses                             43,807            45,490

  Operating income                                75,168            79,147

  Other income (expense):
   Interest income                                 1,657             2,030
   Equity in earnings of unconsolidated affiliates   403               116
   Other expense                                  (1,175)           (1,448)
   Interest expense                               (7,470)           (3,922)
                                                  (6,585)           (3,224)

  Income before income taxes                      68,583            75,923

  Income taxes                                    24,740            28,092

  Net income                                     $43,843           $47,831

  Basic earnings per share                         $0.38             $0.40

  Diluted earnings per share                       $0.34             $0.36

  Weighted average shares outstanding -
   basic                                         115,555           118,280

  Weighted average shares outstanding -
   diluted                                       131,075           134,735

  Dividends per share - common stock              $0.085            $0.085


               GTECH HOLDINGS CORPORATION AND SUBSIDIARIES

                      CONSOLIDATED INCOME STATEMENTS

                                                  Fiscal Year Ended
                                      February 26, February 28, February 22,
                                           2005         2004       2003
                                        (Dollars in thousands, except per
                                                  share amounts)
  Revenues:
   Services                              $1,017,683    $957,471   $868,896
   Sales of products                        239,552      93,859    109,894
                                          1,257,235   1,051,330    978,790
  Costs and expenses:
   Costs of services                        616,633     537,839    535,041
   Costs of sales                           157,974      59,226     78,943
                                            774,607     597,065    613,984

  Gross profit                              482,628     454,265    364,806

  Selling, general and administrative       117,253     109,092     96,130
  Research and development                   52,559      57,318     42,852
  Special credit                                  -           -     (1,121)
   Operating expenses                       169,812     166,410    137,861

  Operating income                          312,816     287,855    226,945

  Other income (expense):
   Interest income                            4,615       5,733      3,837
   Equity in earnings of unconsolidated
    affiliates                                2,812       6,236      7,376
   Other income                               5,356       1,889      2,175
   Interest expense                         (19,213)    (10,919)   (11,267)
                                             (6,430)      2,939      2,121

  Income before income taxes                306,386     290,794    229,066

  Income taxes                              109,992     107,594     87,045

  Net income                               $196,394    $183,200   $142,021

  Basic earnings per share                    $1.68       $1.57      $1.24

  Diluted earnings per share                  $1.50       $1.40      $1.11

  Weighted average shares outstanding -
   basic                                    116,739     116,464    114,162

  Weighted average shares outstanding -
   diluted                                  132,559     132,625    129,509

  Dividends per share - common stock          $0.34      $0.255         $-


               GTECH HOLDINGS CORPORATION AND SUBSIDIARIES

                       CONSOLIDATED BALANCE SHEETS

                                              February 26,      February 28,
                                                  2005              2004
  ASSETS                                           (Dollars in thousands)
  CURRENT ASSETS:
   Cash and cash equivalents                     $94,446          $129,339
   Investment securities available-for-sale      196,825           221,850
   Trade accounts receivable, net                168,706           118,902
   Sales-type lease receivables                    3,461             7,705
   Refundable performance deposit                  8,000                 -
   Inventories                                    61,135            76,784
   Deferred income taxes                          31,435            34,396
   Other current assets                           26,646            24,426
    TOTAL CURRENT ASSETS                         590,654           613,402

  SYSTEMS, EQUIPMENT AND OTHER ASSETS
   RELATING TO CONTRACTS, net                    720,438           591,362

  GOODWILL, net                                  331,022           188,612

  PROPERTY, PLANT AND EQUIPMENT, net              74,558            57,576

  INTANGIBLE ASSETS, net                          70,839            28,231

  REFUNDABLE PERFORMANCE DEPOSIT                  12,000            20,000

  SALES-TYPE LEASE RECEIVABLES                     4,756            17,653

  OTHER ASSETS                                    50,874            42,295
    TOTAL ASSETS                              $1,855,141        $1,559,131


  LIABILITIES AND SHAREHOLDERS' EQUITY
  CURRENT LIABILITIES:
   Accounts payable                              $99,234           $80,004
   Accrued expenses                               54,227            47,428
   Employee compensation                          21,862            33,981
   Advance payments from customers                42,865           104,128
   Deferred revenue and advance billings          29,705            14,459
   Income taxes payable                           16,499            12,394
   Taxes other than income taxes                  16,572            19,459
   Short-term borrowings                             334                 -
   Current portion of long-term debt               2,476           106,319
    TOTAL CURRENT LIABILITIES                    283,774           418,172

  LONG-TERM DEBT, less current portion           726,329           463,215

  OTHER LIABILITIES                               83,260            53,736

  DEFERRED INCOME TAXES                          106,010            61,719

  COMMITMENTS AND CONTINGENCIES                        -                 -

  SHAREHOLDERS' EQUITY:
  Preferred Stock, par value $.01 per
   share - 20,000,000 shares
   authorized, none issued                             -                 -
  Common Stock, par value $.01 per
   share - 200,000,000 shares
   authorized, 116,551,144 and 184,590,808
   shares issued; 115,006,751 and 118,395,168
   shares outstanding at February 26, 2005 and
   February 28, 2004, respectively                 1,166               923
  Additional paid-in capital                     278,204           266,320
  Accumulated other comprehensive loss           (43,227)          (70,508)
  Retained earnings                              455,537           839,270
                                                 691,680         1,036,005
  Less cost of 1,544,393 and 66,195,640
   shares in treasury at February 26,
   2005 and February 28, 2004, respectively      (35,912)         (473,716)
                                                 655,768           562,289
    TOTAL LIABILITIES AND SHAREHOLDERS'
     EQUITY                                   $1,855,141        $1,559,131


               GTECH HOLDINGS CORPORATION AND SUBSIDIARIES

                  CONSOLIDATED STATEMENTS OF CASH FLOWS

                                                Fiscal Year Ended
                                      February 26, February 28, February 22,
                                           2005        2004        2003
                                              (Dollars in thousands)
  OPERATING ACTIVITIES
  Net income                              $196,394    $183,200    $142,021
  Adjustments to reconcile net income
   to net cash provided by
   operating activities:
   Depreciation                            145,999     115,324     133,452
   Intangibles amortization                 12,616       3,735       4,733
   Deferred income taxes                    34,740      59,457      (1,567)
   Tax benefit related to stock award
    plans                                   11,254      10,432       8,037
   Minority interest                         3,799       4,502         578
   Equity in earnings of unconsolidated
    affiliates, net of dividends
    received                                 3,461       1,672         316
   Gain on sale of investment              (10,924)          -           -
   Non-cash gain from consolidation of
    West Greenwich Technology
    Associates, L.P.                             -      (5,292)          -
   Termination of interest rate swaps            -           -      11,357
   Other                                    16,438      10,726       2,740
   Changes in operating assets and
    liabilities:
    Trade accounts receivable              (48,207)      3,788     (12,007)
    Inventories                             28,522       3,030      14,387
    Accounts payable                        14,248       2,186      13,734
    Employee compensation                  (15,118)     (4,231)     (1,022)
    Advance payments from customers        (33,994)     51,601     (10,109)
    Deferred revenue and advance billings   15,037      (2,979)      6,954
    Income taxes payable                    11,484     (27,649)      5,590
    Other assets and liabilities           (10,540)      5,565      13,062
  NET CASH PROVIDED BY OPERATING
   ACTIVITIES                              375,209     415,067     332,256

  INVESTING ACTIVITIES
  Acquisitions (net of cash acquired)     (200,730)    (74,442)          -
  Purchases of systems, equipment and
   other assets relating to contracts     (245,592)   (268,010)   (155,556)
  Purchases of available-for-sale
   investment securities                  (246,975)   (242,050)          -
  Maturities and sales of available-
   for-sale investment securities          272,000      20,200           -
  Proceeds from sale of investments         11,773           -       2,560
  Purchases of property, plant and
   equipment                               (12,875)    (12,772)     (5,612)
  Increase in restricted cash               (5,112)          -           -
  Investments in and advances to
   unconsolidated subsidiaries              (2,071)     (2,885)          -
  Refundable performance deposit                 -     (20,000)          -
  License fee                                    -     (12,500)          -
  NET CASH USED FOR INVESTING
   ACTIVITIES                             (429,582)   (612,459)   (158,608)

  FINANCING ACTIVITIES
  Net proceeds from issuance of long-
   term debt                               343,254     252,588           -
  Principal payments on long-term debt    (167,692)    (33,293)    (47,416)
  Purchases of treasury stock             (120,658)          -     (64,032)
  Dividends paid                           (39,830)    (29,977)          -
  Premiums and fees paid in connection
   with the early retirement of debt       (10,610)       (731)     (3,434)
  Proceeds from stock options               13,546      23,943      16,867
  Other                                       (505)     (6,324)      1,822
  NET CASH PROVIDED BY (USED FOR)
   FINANCING ACTIVITIES                     17,505     206,206     (96,193)

  Effect of exchange rate changes on
   cash                                      1,975       4,351       3,624
  INCREASE (DECREASE) IN CASH AND CASH
   EQUIVALENTS                             (34,893)     13,165      81,079

  Cash and cash equivalents at
   beginning of year                       129,339     116,174      35,095

  CASH AND CASH EQUIVALENTS AT END OF
   YEAR                                    $94,446    $129,339    $116,174


DATASOURCE: GTECH Holdings Corporation



CONTACT:  Robert K. Vincent, Public Affairs of GTECH Corporation,

401-392-7452



Web site:  http://www.gtech.com/ 

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