Gtech Ukrainian National Lottery

GTECH Signs Agreement To Provide Online Lottery To New Customer In Ukraine
Company to Expand Its Operations in Eastern Europe

(West Greenwich, Rhode Island  — August 28, 2000) – GTECH (NYSE: GTK) today announced it has signed a new facilities management agreement to provide online lottery equipment and services to the Ukrainian National Lottery, the operator of the National Lottery in Ukraine. The agreement is for a term through 2010, subject to the Lottery’s option to discontinue some of the services if the five-year revenue forecast is not achieved.

Under the terms of the agreement, GTECH will convert the Lottery’s existing system provided by another vendor, and will expand the Lottery’s existing terminal base of 1,000 terminals to approximately 5,000 Tiffany™ terminals over the next two years. In addition, GTECH will provide a variety of ongoing services including the installation and maintenance of the central system hardware and software, terminals, and marketing support.

The Company will install and maintain a secure, nationwide communications network consisting of leased lines and GTECH’s private radio network, providing real-time, two-way liaison between the central system and the terminals.

“This contract is a great opportunity for GTECH to expand its operations in Eastern Europe, an area of tremendous growth potential,” said GTECH chairman Bruce Turner. “It highlights GTECH’s unique ability to provide our customers with superior lottery products and services, while showcasing our flexible network communications capabilities.”

The Ukrainian National Lottery was established in December 1997. Proceeds from the Lottery are allocated to Ukraine’s pension fund and priority civic and community projects.

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GTECH Holdings Corporation is a leading global supplier of systems and services to the lottery and gaming/entertainment industries. GTECH provides customized solutions to meet the needs of lotteries, governments and corporations on six continents. For more information about the Company, please visit GTECH’s website at http://www.gtech.com.