Progressive Gaming establishes Toronto headquartered division

Progressive Gaming's Toronto based operation will focus on providing best-in-industry customer service and generating revenue through the continued expansion of the company's installed base of system products and services provided to customers in all Canadian Provinces.

KC Flynn, a senior executive with more than 16 years of experience working with gaming operators in many Canadian Provinces, has been appointed Senior Vice President/General Manager of the new Canadian division. He will report to Robert J. Parente, Executive Vice President, Americas, of Progressive Gaming.

As of March 31, 2008, Progressive Gaming had an installed base of over 35,000 slot management systems in 5 Canadian Provinces, which reflected year-over-year growth of 12%.

Russel McMeekin, President and CEO of Progressive Gaming, commented: “Establishing Toronto based, customer-centric operations focused exclusively on the Canadian market facilitates access to our valuable Crown Corporation clients as we collaborate on the introduction of products aimed at optimizing gaming revenues. There is a significant opportunity to further grow the installed base of our Casinolink and Table iD systems in casinos across Canada through expansions at existing properties, new property openings and new contract wins. The Canadian gaming market continues to be a key element of our growth plan and this new division, in concert with our existing service center in Calgary, will further our geographical expansion opportunities.”

“In addition, our recently announced agreement with IGT, which provides for the integration of IGT's sb NexGen displays and related bonusing applications, represents an opportunity for our Canadian customers to update their slot floors with new, revenue-enhancing products. Implementing IGT's sb NexGen displays with Casinolink provides a unique solution for casinos in markets such as Provinces in Canada where the promotion of gaming offerings and services is primarily restricted to in-casino opportunities. The approval of NexGen displays for Casinolink is expected to generate, in 2009, approximately us$ 4 - us$ 6 million in additional EBITDA, worldwide, on top of what we expect to generate for non-NexGen and related applications revenues. With the increased customer touch points enabled by our new Canadian division, we expect our Canadian customers will be a significant portion of this additional EBITDA. We also believe that EBITDA contributions from these offerings will accelerate in 2010 and beyond.”

McMeekin concluded: “KC brings to Progressive Gaming extensive experience in advertising, marketing and market research on behalf of clients such as the Ontario Lottery and Gaming Corporation, the British Columbia Lottery Corporation and the Canadian Gaming Association. As we continue to execute our growth strategy, KC is uniquely qualified to drive the continued expansion of our operations in gaming jurisdictions in all Canadian Provinces."