Scientific Games Targets European Market

8 May 2006

EUROPE – As reported by the Financial Times: "Scientific Games, the dominant player in the US instant lottery ticket market, is jockeying for a larger stake in Europe after buying a UK maker of betting terminals last month.

"'The traditional lotto market has matured in Europe,' said Lorne Weill, chief executive of Scientific Games. 'Growth needs to come from other product areas', such as instant 'scratch' tickets and video lottery terminals.

"Instant lottery tickets are a high-growth market. In Italy annual sales of instant lottery tickets have mushroomed from $250m-$300m a few years ago to $4bn today. US sales have grown at a compound annual rate of 16 per cent over the past six years to about $25bn today.

"Germany and Spain are expected to be high-growth markets for scratch tickets.

"Mr Weill also predicted that lotteries and betting would become available on mobile phones in Europe within a decade…"

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