GTECH awarded Pennsylvania, West Virginia lottery contracts

Jan 16, 2008, 10:39 am (2 comments)


Lottomatica SpA said its wholly-owned subsidiary GTECH has been told by the Pennsylvania State Lottery of its intent to award GTECH a 5-year contract to provide online and instant integrated services.

The proposed contract, which is expected to kick in in January 2009, includes five 1-year extension options exercisable at the Lottery's discretion.

The Pennsylvania Lottery ranks sixth in the US in terms of total lottery sales, with revenues of $3.076 billion in its most recent fiscal year.

Lottomatica said further details of the deal will be released after the final agreement is signed.

"Of the largest lotteries in the United States, those with more than $2 billion in total annual sales, GTECH now counts all of them as customers," GTECH chairman and CEO Jaymin B. Patel said.

GTECH also wins West Virginia contract

Lottomatica also announced that its unit GTECH Corp has signed a five-year contract to supply online and scratch card services to the West Virginia Lottery, worth $40 million in sales over the concession.

GTECH will supply online lottery management services, 2,000 terminals, and a wireless communication network, it said.

According to GTECH, the contract was won in a public tender, adding the contract starts July 1, 2008.

Wire reports

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Scientific Games lost both of these contracts...their stock is down 40% from yesterday on this news. PA was a cash cow for them - the lottery will be saving about $25 million per year.


Thumbs UpThis is great news. GTech builds high quality terminals, and Pennsylvania needs them because their current terminals are utter crap. The card readers on these things are terrible, and it's also very slow.

And the instant game news is also good, hopefully they will be able to get some more innovative play features on these things. 

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