nthony Sanfilippo, Multimedia President and CEO, commented: “With annual revenue of approximately us$ 1 billion, VLT operations in New York have proven to be a major success with funds benefiting education and racing purses. We are delighted to extend our agreement for this growing video lottery market and believe this extension is an endorsement of our proven ability to provide the Lottery with leading technology and support services. New York VLT revenue has grown consistently since we began operations in the state in 2004. We believe this contract extension will result in improved cash flow from our operation of the central determinant system in New York based on growth initiatives under consideration by the state and the future opening of a facility at Aqueduct.”
“The development of VLT operations at Aqueduct, within the New York City market, is attracting marquee companies in the gaming industry, including national and international operators, who are interested in operating this facility. When the facility ultimately opens, Aqueduct is expected to increase the total number of installed units in the State by approximately 35%. Finally, as the company further extends the functionality of our central determinant system, we believe that Multimedia clearly provides the best of breed solution to address potential future video lottery operations similar to the model established in New York.”
Gordon Medenica, Director of the New York Lottery, said, “We are pleased to extend our relationship with Multimedia Games. Since this relationship began in 2004, they have proven to be an excellent partner and their operation of the central determinant system has been an important part of the success of VLT operations in New York State.”
There are currently approximately 13,000 VLTs installed at 8 facilities in the state from which the company generated approximately us$ 7 million in revenue in fiscal 2008.