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US – Virginia extends GTECH lottery licence

By - 1 May 2013

GTECH Corporation, part of Lottomatica Group, has signed a three-year contract extension with the Virginia Lottery to continue providing an online/instants central system, self-service lottery products, multimedia messaging display units, as well as instant-ticket warehousing and distribution services.

The extension term will run until October 2017 and is expected to generate total revenues for GTECH of approximately US$65m, starting in the fourth quarter of 2014.

GTECH President and CEO Jaymin Patel, said: “Since GTECH became the online lottery system vendor in Virginia in 2007, online ticket sales have grown nearly 17 per cent. We can attribute much of that growth to the important partnership we have established with the Virginia Lottery, a partnership that fosters open communication and collaboration, with a shared goal in mind of keeping the Lottery moving forward and returning even more dollars for public education in Virginia. What is unique about our partnership is that the Virginia Lottery is the only lottery in the US to share control room operations with GTECH. Our combined knowledge and expertise under this structure allows for a more efficiently run lottery enterprise.”

Alongside providing lottery systems, terminals, a communications network, marketing support, field services, and hotline management, GTECH will also provide instant-ticket warehousing and distribution services directly to the Lottery as part of this contract extension. GTECH currently serves as subcontractor to the existing instants warehousing/distribution vendor whose contract to provide such services to the Virginia Lottery will expire in October 2014.

The Virginia Lottery generates more than US$ 1.3m per day for Virginia’s K-12 public schools.

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