Under the contract, the company will provide facilities management services for the Arizona Lottery's central computer systems, software, data center operations, retailer telecommunications network, retail point-of-sale and player self-service technology and peripherals, in-store digital advertising content system, mobile applications and marketing services as well as technical and marketing staff support. The effective date of the agreement is August 31, 2015 and will remain in effect for five years after the date on which the Company completes installation, and obtains the Lottery's acceptance of the gaming system.
The Arizona Lottery's five-year contract with Scientific Games, which was awarded after a competitive procurement process, will replace a competitor's system and is expected to begin on or about August 31, 2016 and may be extended by the Lottery for up to an additional five years. The Lottery's total retail sales were $750 million (USD) in fiscal year 2015.
Arizona Lottery Executive Director, Tony V. Bouie, said: "The Arizona Lottery has aggressive growth goals. Scientific Games, as an industry leader in innovation, gives us the best opportunity for significant retail sales growth in an ever-changing environment."
Scientific Games began providing instant games to the Arizona Lottery at the Lottery's inception in 1981 and has provided instant games and licensed properties to the Lottery throughout the years. The Company proposed a comprehensive suite of innovative products and services that focus on supporting the Arizona Lottery's strategic plans to meet evolving consumer needs and maximize total lottery sales and profits in the coming years.
Pat McHugh, Senior Vice President, North American Lottery Systems for Scientific Games, said: "The Arizona Lottery has worked hard to establish a very strong brand with consumers in the state for more than three decades. Under our instant products contract with the Lottery, Scientific Games has been a part of their remarkable success growing instant game sales in Arizona. We appreciate the continued trust in our products and services, and we look forward to also innovating with the Lottery on their draw game portfolio to help drive total sales and maximize profits for the Lottery and their retailers."