1 CONFIDENTIAL

LiquidityLiquidityLas Vegas – 16 November 2010Las Vegas – 16 November 2010

William Scott – VP Commercial GTECH G2William Scott – VP Commercial GTECH G2

Liquidity Sharing across jurisdictions Liquidity Sharing across jurisdictions and regulations (Danish case)and regulations (Danish case)

May, 20May, 20thth 2010 2010

2 CONFIDENTIAL

Liquidity...improves players experience

• Peer to Peer Games, such as Poker, require liquidity> Players online at all times of the day> Similar experience, game choice and value> Tournaments require large number of players

• Casino and Bingo also require “liquidity”> Some are pari-mutuel game – In Bingo more

players means higher prizes> Jackpot games - Casino progressives require play> Experience - Table games are more fun with

more players

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3 CONFIDENTIAL

Current Poker Networks

• Cross Border Networks> Licensed in countries such as Malta, Isle of Man, Gibraltar

etc;> Players from numerous countries – Europe or beyond

• County Networks – Ring fenced> Licensed in countries such as Italy, France, Sweden etc;> Players from a single country

• Country Networks – Non Ring fenced> Licensed in countries such as Austria and Denmark> Share liquidity with other jurisdictions

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4 CONFIDENTIAL

Regulation impact on poker liquidity

• Countries in Europe are regulating gaming > Regulated – Austria, France, Italy and Sweden> Proposing Regulation – Canada, California, Denmark, Greece,

Florida, New Jersey, Romania etc;• Regulation needs to take into account liquidity issues

> Low liquidity levels will not stop cross leakage> Negative impact on player experience

• Regulation needs to address> Similar tax (and therefore rake) levels> Poker rules harmonized> Agreements in place to share liquidity

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5 CONFIDENTIAL

Technical minimum liquidity requirements

• Minimums to technically maintain a Poker network are as follows:

5

• Base on Italy, the maximum networks that can be supported are as follows (Note that not all will have the minimum liquidity):

0

5

10

15

Germany

13

UK

11

France

10

Italy

8

Spain

7

Canada

7

Netherland

4

Belgium

3

Romania

3

Sweden

3

Denmark

2

Greece

2

Finland

2

Ireland

2

Californ

ia

7

NewYo

rk

5

Illinois

3

NewJerse

y

3

Florid

a

5

Daily Unique Players

Daily RMP

Daily Max Concurrents

Daily Peak Cash

Daily Registrations

First Time Players

Monthly RMP

Daily Rake

4,333 2,146 1,000 420 120 90 10,342 € 22,000

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Issues to be addressed by regulators

• Sharing of liquidity for small populations> Between various country (state) and/or cross

border networks • Harmonization of poker rules• Similar tax and rake percentages• Poker servers based in an agreed location• Network management

> Fraud and Security, including dispute resolution

> Information sharing> Network settlement

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7 CONFIDENTIAL

GTECH G2

• GTECH G2 brings together, under one brand, the combined expertise of GTECH and its extensive lottery insight with leaders in the interactive gaming

• A complete gaming portfolio of poker, bingo, casino, sportsbetting, fully managed services and instant games.

• The group includes Boss Media, a leading innovator in software and systems for Poker, Casino and Bingo entertainment; Finsoft , a leading provider of enterprise-wide real time trading solutions for the commercial sports betting industry – both interactive and retail; St Minver, a fully managed service provider of Internet games to media, lifestyle, and other brands; and Dynamite Idea, a developer of unique, innovative digital instant and side games.

• Consolidating combined talent and expertise into one premiere brand means that GTECH G2 can provide a flexible digital solution to all customers, large or small, wherever they may be.

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