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Pennsylvania Department of Revenue Selects GTECH as Preferred
Vendor for New Gaming Central Control System
WEST GREENWICH, R.I., March 4 /PRNewswire-FirstCall/ -- GTECH Holdings
Corporation (NYSE:GTK) today announced that its wholly-owned subsidiary, GTECH
Corporation, has been selected as the preferred vendor by the Pennsylvania
Department of Revenue (DOR) for a gaming central control system. The system
will monitor and control the gaming machines yet to be installed under the
Commonwealth of Pennsylvania's gaming initiative. At the program's maturity,
it is anticipated that up to 61,000 gaming devices at approximately 14 venues
throughout the state will be connected to the central system. The DOR's
decision is the result of a competitive procurement involving nine other
bidders.
"We could not be more pleased and excited about partnering with the
Pennsylvania DOR on a project of this magnitude," said GTECH President and CEO
W. Bruce Turner. "GTECH's proven Enterprise Series solution will not only
provide the DOR with the highest level of quality, security, and reliability,
but it will also position slot venues to gain and retain players by
facilitating the rapid introduction of compelling games and services.
"Moreover, Enterprise Series supports the introduction of best-in-breed
products and services, and accommodates the ever-changing world of IT
technologies," continued Mr. Turner.
Subject to the successful negotiation of a five-year integrated services
contract with the DOR, which is likely to be finalized by May of this year, the
Company will install GTECH's Enterprise Series(TM) Gaming Central Control
system and provide maintenance and ongoing services to the DOR. The new system
will allow the state regulators to monitor individual slot machines, in real
time, to ensure the integrity of slots gaming, and support in-house and
wide-area progressive slot machines as approved by the Pennsylvania Gaming
Control Board. In addition to using a widely-accepted gaming industry protocol
to allow slot machine manufacturers to communicate with the statewide system,
GTECH's central system is also capable of supporting additional protocols as
they become available. The new system is expected to be operational in early
2006.
GTECH is the current gaming (or video) central system provider to customers in
Rhode Island, Oregon, Italy, Sweden, and Alberta and Saskatchewan (Canada), and
is in the process of implementing new gaming central systems in Atlantic
(Canada), Oregon, and Jamaica. In addition, GTECH is also installing the first
ever multi-state, multi-vendor wide area progressive system for the Video
Gaming Group of the Multi-State Lottery Association (MUSL).
Although the value of the contract is still subject to negotiation, the
Pennsylvania DOR estimates that its annual costs will not exceed $6.3 million
once all 14 slot venues are fully operational.
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. The Company identifies
forward looking statements by words such as "may," "will," "should," "could,"
"expect," "plan," "anticipate," "intend," "believe," "estimate," "continue," or
similar words that refer to the future. 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 more than 5,400 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/.
Contact:
Robert K. Vincent
Public Affairs
GTECH Corporation
401-392-7452
DATASOURCE: GTECH Holdings Corporation
CONTACT: Robert K. Vincent, Public Affairs of GTECH Corporation,
+1-401-392-7452
Web site: http://www.gtech.com/