Projo Biz Blog

PROVIDENCE, R.I. -- Providence-based GTECH Holdings Corp. has won a seven-year contract to design online lottery games for the State of New York, the company announced. The state has the option to extend the contract for three additional years.

The $550 million contract is set to begin next March. It is expected to be formally approved by New York regulators in June. The New York Lottery recorded $7.5 billion in sales in the 2008 fiscal year.

"We are honored to have the largest lottery in North America and one of the most respected in the world, the New York Lottery, remain as our valued customer," Jaymin B. Patel, GTECH's president and CEO, said in a statement.

GTECH has helped operate the New York Lottery since 1986. In the new contract, GTECH has offered to set up "a full suite of online and instant systems," 20,000 online lottery terminals, a wireless telecommunications network and other services for New York.

GTECH provides lottery services in Rhode Island, Michigan, West Virginia, Kansas, Virginia, Missouri, Oregon and other locations. It was acquired for $4.8 billion in 2006 by the Italian firm Lottomatica SpA. The following year, longtime CEO W. Bruce Turner left the company. But GTECH has retained its headquarters next to the Providence Place mall.

 Tags  business economy gaming GTECH Corp. lottery Lottomatica Providence

---