GPI reports financial results for the fourth quarter and year-end 2008

Gross profit for the quarter was us$ 5.5 million, or 35% of revenues, compared to us$ 6.8 million, or 34% of revenues, in the same period a year ago. Net income for the fourth quarter of 2008 was us$ 1.8 million and up 100% compared to a net income of us$ 0.9 million in the fourth quarter of 2007.

For the year ended December 31, 2008, revenues were us$ 60.5 million, which were up 3% compared to revenues of us$ 58.8 million in the year ended December 31, 2007. Gross profit for the year was us$ 19.9 million, or 33% of revenues, compared to us$ 17.5 million, or 30% of revenues, in 2007.

Net income for the year ended December 31, 2008 was us$ 4.5 million compared to us$ 0.2 million for the year ended December 31, 2007. As of December 31, 2008, the company had cash and marketable securities of us$ 13.1 million, compared to us$ 9.4 million as of December 31, 2007. It had us$ 38.8 million of stockholders' equity, compared to us$ 35.1 million as of December 31, 2007.

As of December 31, 2008, our backlog of unfilled orders, which are expected to be filled in 2009, was us$ 13 million. Over us$ 8 million of the backlog is for orders from two casinos in Asia that are expected to be delivered in the middle of the year, which the Company previously announced with its press release on January 16, 2009. At December 31, 2007, our backlog was us$ 11.1 million.

Commenting on the results, Gerard Charlier, President and CEO, said, "We are pleased with our fourth quarter and year end results for 2008, especially given the difficult economic environment. Our continuing efforts to reduce costs contributed to these results. The move of our Bud Jones chip production from Las Vegas to Mexico is improving operating margins and we have made staff reductions as well as other cost reductions.”

He added: “This past year was the company's second best year in terms of both revenues and net income. However, the challenges facing the gaming industry will make 2009 a difficult year, especially in the first quarter. Nonetheless, we are positioning the company to meet the challenges we face and believe we can find success in the marketplace, such as the large orders we announced in January for the City of Dreams casino in Macau and the Newport City casino in Manila."