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Mar 06, 2014
NEW YORK – March 6, 2014 – Scientific Games Corporation (NASDAQ: SGMS) (the “Company”) today announced that it has signed a new contract with the North Dakota Lottery to implement and operate an online lottery system, and to provide a range of services and marketing support. Scientific Games, the service provider to the Lottery since its inception, will also be providing the Sciplay™ interactive platform, which includes systems for internet subscriptions, player registration and player rewards programs.
Under the terms of the contract, Scientific Games is responsible for installing supporting terminals, terminal communications and point of sales equipment and approximately 450 WAVE™ lotter retail terminals. This includes 50 PlayCentral® EX draw game only Self-Service Lottery Terminals and Lottery InMotion™ system, which allows the Lottery and its retailers to feature more advertising at the point-of-sale. The Company will also be upgrading North Dakota to the AEGIS-EF® central management system, one of the most advanced systems in the lottery industry, as well as providing its Points for Prizes® program, which allows players to enter lottery tickets into an exclusive Players Club member section of the Lottery’s website to earn rewards points.
Scientific Games has been the provider to North Dakota since 2004, when the State launched its lottery program, and for the past 10 years has provided a lottery solution that has helped to achieve an average annual growth rate of nearly 20 percent. The contract, which was awarded through a competitive procurement process, is schedule to begin July 6, 2014 and runs for eight years, and may be extended by the Lottery for an additional two-year period.
“We truly appreciate the trust the North Dakota Lottery team has placed in us and we are very proud of our longstanding relationship and the success we have worked so hard together to achieve,” stated Pat McHugh, President of North American Lottery Systems for Scientific Games. “We have been there since the beginning, and with the innovative new products and services we’ll be adding in North Dakota, we look forward to even greater success in the years ahead.”
About Scientific Games
Scientific Games Corporation is a leading developer of technology-based products and services and associated content for worldwide gaming and lottery markets. The Company's portfolio includes instant and draw-based lottery games; electronic gaming machines and game content; server-based lottery and gaming systems; sports betting technology; loyalty and rewards programs; and social, mobile and interactive content and services. For more information, please visit: www.scientificgames.com.
Company Contacts
Investor Relations
Cindi Buckwalter, (212) 754-2233
William Pfund, (847) 785-3167
Forward-Looking Statements
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," "should," "could," "potential," "opportunity," or similar terminology. Forward-looking statements may contain expectations regarding activities, financial position, operations, synergies and other results following our acquisition of WMS. These statements are based upon management's current expectations, assumptions and estimates and are not guarantees of timing, future results or performance. Actual results may differ materially from those contemplated 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; effect of indebtedness on our operations and financial condition; availability and adequacy of cash flows to satisfy obligations and indebtedness or future needs; protection of our intellectual property; ability to license third party intellectual property; intellectual property rights of others; security and integrity of software and systems; reliance on information technology 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, strategic equity investments and relationships; inability of our joint venture to meet the net income targets or otherwise to realize the anticipated benefits under its private management agreement with the Illinois Lottery; inability of our joint venture to meet the net income targets or other requirements under its agreement to provide marketing and sales services to the New Jersey Lottery or otherwise to realize the anticipated benefits under such agreement (including as a result of a protest); failure to realize the anticipated benefits related to the award to our consortium of an instant ticket concession in Greece; the seasonality of our business; disruption of our current plans and operations in connection with our acquisition of WMS; failure to achieve the intended benefits of the WMS acquisition, including due to the inability to realize synergies in the anticipated amounts or within the contemplated time-frames or cost expectations, or at all; inability to identify and capitalize on trends and changes in the lottery and gaming industries, including the potential expansion of regulated gaming via the internet; inability to enhance and develop successful gaming concepts; slow growth of gaming jurisdictions or the casino industry; decline in the replacement cycle of gaming machines; consolidation or ownership changes in the casino industry; dependence on suppliers and manufacturers; liability for product defects; fluctuations in foreign currency exchange rates and other factors associated with international operations; influence of certain stockholders; dependence on key personnel; failure to perform under our 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 ("SEC"), including in our Annual Report on Form 10-K filed with the SEC on March 12, 2013 and in our subsequent 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.