TORONTO, Sept. 9, 2014 /CNW/ - The Ontario Lottery and Gaming Corporation (OLG) today is providing information to correct inaccuracies and misstatements that appeared in media reports concerning its Request for Proposal (RFP) for Lottery announced yesterday.
Several reports contained inaccurate information regarding annual revenues for OLG's Lottery business segment. According to the Public Accounts of Ontario 2012-2013:
- OLG's Total Revenue = $6.6 Billion (All Lines of Business)
- OLG's Lottery Revenue = $3.3 Billion
- OLG's Gaming Revenue = $3.3 Billion (Slots Facilities, Casinos & Resort Casinos)
(Link to Public Accounts of Ontario - www.fin.gov.on.ca/en/budget/paccts/2013/)
OLG provides the Ontario government nearly $2 billion in profits annually. This is the largest source of non-tax revenue for the government. This money goes to hospitals and other government priorities.
Without modernization, both OLG's lottery and gaming businesses would collectively require about $1 billion of public capital investment for maintenance alone. Without action to address the current trends, the $2 billion annual dividend to government would steadily erode.
Modernization is a multi-year plan that will deliver approximately $1 billion annually in additional net profit to the people of Ontario, upon completion in 2018-19. The revenue will include lottery innovation proceeds, gaming modernization benefits, new revenue from internet gaming and other efficiencies.
The transformation of Ontario's lottery and gaming business will help ensure that instead of eroding revenue to government, OLG will be able to provide about $3 billion in an annual dividend to the Province of Ontario, once it is fully complete in five years.
Contrary to published reports, due to commercial sensitivity and the integrity of the procurement process, names of pre-qualified proponents and details of the RFP documents cannot be released while the procurement process is ongoing.
Throughout the procurement process, OLG has engaged the services of a Fairness Monitor to provide oversight and advice to support integrity and fairness. OLG expects to announce the successful service provider in fall 2015.
OLG is a provincial agency responsible for province-wide lottery games and gaming facilities. Since 1975, OLG has provided nearly $38 billion to the Province and the people of Ontario. OLG's annual payments to the Province have helped support health care; education, research, prevention and treatment of problem gambling; amateur sport through the Quest for Gold program; and local and provincial charities.
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THE ONTARIO PROBLEM GAMBLING HELPLINE 1-888-230-3505
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For further information: OLG MEDIA RELATIONS, 1.888.946.6716