WINNIPEG, May 18, 2017 /CNW/ - Pollard Banknote Limited (TSX: PBL) ("Pollard Banknote") is pleased to announce that it has been awarded a five-year contract extension by the Ontario Lottery and Gaming Corporation ("OLG") for the supply of instant ticket games and related services. The new agreement commences August 1, 2017, and has an expected value during the renewal period of approximately $100 million.
Pollard Banknote has been a trusted supplier of a full range of instant ticket products and services to OLG for the past 30 years and has served as its primary supplier for the past 10 years. As a result of winning a long-term contract with the Lottery, Pollard Banknote—wishing to support economic development within the province—opened an instant ticket finishing plant in Sault Ste. Marie, Ontario in 2008.
In its first year of operation, the Sault Ste. Marie finishing plant had a staff of 33 and packaged 700 million tickets. Currently the Sault Ste. Marie operation has grown to employ 65 people and package almost 2 billion tickets annually for lotteries around the world. With the latest contract extension, Pollard Banknote will increase the number of jobs in Sault Ste. Marie from the current 65 positions to 100 full-time positions by January 31, 2018. These additional jobs will expand Pollard Banknote's finishing capacity to complement our growing ticket production volumes associated with our expanded capacity from our new Tresu press installation and higher production from our instant ticket facilities.
In the past 10 years, OLG has reached many milestones in its business including instant tickets. Instant products such as Bingo, Crossword and Cash for Life are a significant part of OLG's lottery business with annual sales of over $1.1 billion.
Pollard Banknote has worked closely with the Lottery team at OLG, contributing to record levels of growth by launching many of Pollard Banknote's patented and exclusive product innovations, while maintaining the highest standards of quality, integrity, and security. Significant drivers of sales include the Lottery's first $30 game, $250 Million Golden Treasures, enhanced with gorgeous golden Scratch FX®, and the Lottery's Instant Crossword category, printed by Pollard Banknote.
"Our continued partnership with Pollard Banknote will allow OLG to maintain the excellent integrity levels in terms of ticket specifications and security that we have come to expect from Pollard and which are required to support our growing lottery business," said Stephen Rigby, President and Chief Executive Officer of OLG.
"Pollard Banknote is very proud of our multi-year partnership with OLG. OLG is a long-valued customer, and we have worked hard to increase sales and offer OLG an expanding selection of innovative products and services to meet the consumer behaviour of its jurisdiction. We embrace this opportunity to help OLG continue its impressive growth in its instant ticket category to maximize revenues that support the operation of hospitals, amateur sport, and local and provincial charities," said Doug Pollard, Co-Chief Executive Officer, Pollard Banknote. "Our Sault Ste. Marie operation has been an innovation leader in our company, developing new methods to drive our manufacturing efficiency. We are thrilled that the leadership and hard work of our dedicated staff are being rewarded with this contract extension and the additional jobs being created in Sault Ste. Marie."
OLG is the Ontario government agency that delivers gaming entertainment in a socially responsible manner. OLG conducts and manages gaming facilities, the sale of province-wide lottery games, PlayOLG Internet gaming, the delivery of bingo and other electronic gaming products at Charitable Gaming Centres and is helping to build a more sustainable horse racing industry in Ontario. Since 1975, OLG has provided nearly $44 billion to the Province and the people of Ontario. These payments to the province support the operation of hospitals, amateur sport through the Quest for Gold program, local and provincial charities and problem gambling prevention, treatment and research.
About Pollard Banknote
Pollard Banknote is a leading lottery partner to more than 60 lotteries worldwide, providing high quality instant ticket products, licensed games and strategic marketing and management services for both traditional instant games and the emerging iLottery space of web, mobile and social channels. The company is a proven innovator and has decades of experience helping lotteries to maximize player engagement, sales, and proceeds for good causes. Pollard Banknote also plays a major role in the charitable pull-tab and bingo markets in North America. Established in 1907, Pollard Banknote is owned approximately 73.5% by the Pollard family and 26.5% by public shareholders and is publicly traded on the TSX (PBL). For more information, please visit our website at www.pollardbanknote.com.
Certain statements in this press release may constitute "forward-looking" statements and information, which involve known and unknown risks, uncertainties, and other factors that may cause actual results, performance, or achievements to be materially different from any future results, performance, or achievements expressed or implied by such forward-looking statements. When used in this document, such statements include such words as "may," "will," "expect," "believe," "plan," and other similar terminology. These statements reflect management's current expectations regarding future events and operating performance and speak only as of the date of this document. There should not be an expectation that such information will in all circumstances be updated, supplemented, or revised whether as a result of new information, changing circumstances, future events, or otherwise.
SOURCE Pollard Banknote Limited
For further information: Doug Pollard, Co-Chief Executive Officer, E-mail: email@example.com; John Pollard, Co-Chief Executive Officer, E-mail: firstname.lastname@example.org; Rob Rose, Chief Financial Officer, E-mail: email@example.com; Pollard Banknote Limited, Telephone: (204) 474-2323