GTECH Completes Acquisition Of Spielo Manufacturing Incorporated

GTECH Completes Acquisition Of Spielo Manufacturing Incorporated



WEST GREENWICH, R.I., April 30  /PRNewswire-FirstCall/ -- GTECH Holdings
Corporation  today announced that it has completed the acquisition of Spielo
Manufacturing Incorporated, a leading provider of video lottery terminals
(VLTs) and related products and services to the global gaming industry.  The
enterprise purchase price for Spielo was an all-cash transaction of
approximately US$150 million.  In addition, Spielo shareholders have received
an initial earn-out payment of approximately US$7 million, as part of a maximum
amount of up to US$35 million, based upon Spielo achieving certain VLT
installation objectives, over time, in New York.

"The acquisition of Spielo furthers our growth strategy in our core lottery
space by broadening and strengthening our offerings in the rapidly growing VLT
business," said GTECH President and CEO W. Bruce Turner.  "With the acquisition
now complete, GTECH is better able to deliver a comprehensive, integrated VLT
solution with a single point of contact and accountability.

Spielo is a great strategic fit for GTECH, with many opportunities to leverage
in areas such as content, online technology, and other innovations," continued
Mr. Turner.  "Our VLT business will also provide an avenue for expanding the
value of our Enterprise Series platform in new ways."

Spielo will operate as a wholly-owned subsidiary of GTECH and its manufacturing
operations will remain in Canada.

GTECH expects that Spielo will provide a revenue contribution of US$70 million
to US$75 million starting in the second quarter of fiscal 2005.  For the first
12 months of operation post-acquisition, Spielo is expected to contribute
revenues of US$90 million to US$100 million, and earnings per share to GTECH in
the range of US$0.01 to US$0.02.

Certain statements contained in this press release are forward looking
statements within the meaning of Section 27A of the Securities Act of 1933 and
Section 21E of the Securities Exchange Act of 1934.  Such statements include,
without limitation, statements relating to the prospects and financial outlook
for the Company, which reflect management assumptions regarding:  (i) the
future prospects for and stability of the lottery industry and other businesses
in which the Company is engaged or expects to be engaged, (ii) the future
operating and financial performance of the Company (including, without
limitation, expected future growth in revenues, profit margins and earnings per
share), and (iii) the ability of the Company to retain existing business and to
obtain and retain new business.  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 the Company's 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)
the potential impact of extensive and evolving government regulations upon the
Company's business; (ii) the ability of the Company to continue to retain and
extend its existing contracts and win new contracts; (iii) the possibility of
slower than expected growth or declines in sales of lottery and gaming goods
and services by the Company or the Company's customers; (iv) exposure to
foreign currency fluctuations; (v) risks and uncertainties inherent in doing
business in foreign jurisdictions; (vi) the relatively large percentage of the
Company's revenues attributable to a relatively small number of the Company's
customers; (vii) the possibility of significant fluctuation of quarterly
operating results; (viii) the intensity of competition in the lottery and
gaming industries; (ix) the possibility of substantial penalties under and/or
termination of the Company's contracts; (x) the ability of the Company to
respond to technological change and to satisfy the future technological demands
of its customers; (xi) opposition to expansion of lottery and gaming; (xii) the
Company's ability to attract and retain key employees; and (xiii) the
possibility of adverse determinations in pending legal proceedings.

GTECH, a leading global information technology company with over $1 billion in
revenues and 5,400 people in 45 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 financial services transaction processing.  For more information
about the Company, please visit GTECH's website at http://www.gtech.com/.

  Contact:
   Robert K. Vincent
   Public Affairs
   GTECH Corporation
   401-392-7452


DATASOURCE: GTECH



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

[phone] 



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

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