The Official Publication of the North American Association of State & Provincial

LotteryMarch Issue 2011 Insights

Member Lotteries Profile in Success: 4th Quarter Calendar Sales by Product The Commission 2009 vs. 2010 by Patricia McQueen, Staff Writer, NASPL

Managing a Wildfire with a Water Pistol

The Newest “mini” Multi-State Game The Story of Holly Lahti, the Rolls out in , and the January Jackpot Kentucky and Virginia by David Workman, Idaho Lottery Public Relations In This Issue

Lottery Insights March Issue 2011

From the President NASPL Lottery Leadership Jeff Anderson, Director, Idaho Lottery Institute - Update Page 4 Page 22

Internet Gambling Bill Wins MDI Launches 300th Web NASPL Staff Support from Major Indian Site for a Lottery Customer Gaming Association Page 24 David B. Gale Page 6 Executive Director Intralot Launches Live New Jersey Governor Sitting Presenter Bingo Thomas C. Tulloch Director of Administration on Bill Legalizing Web Betting Page 26 Page 8 Andrew White IGT Launch Triple Bonus (NSI) Project Manager Profile in Success: Spin Roulette™ The Page 27 Tamika Ligon Program Planning Coordinator Patricia McQueen, Staff Writer, NASPL Page 10 Managing a Wildfire with John Koenig a Water Pistol Graphic Designer Smyrna Boys & Girls Club Receives The Story of Holly Lahti, the Idaho $15,000 in Educational Technology Lottery and the January Mega Janine Hutzell Accounting Courtesy of GTECH Corporation Millions Jackpot GTECH’s After School Advantage David Workman, Idaho Lottery Cindy Horn Initiative Helps Local Children Public Relations Tradeshow Coordinator Bridge the Digital Divide Page 28 Page 14 Patricia McQueen Staff Writer Gaming Laboratories The Newest “mini” International’s 10th Annual Multi-State Game North American Roundtable Circulation: Decades of Dollars rolls out in Draws Record Crowds Lottery Insights ISSN 1528-123X, Georgia, Kentucky and Virginia Page 36 March 2011, Volume No. Page 16 Twelve, Issue Three. Published monthly by NASPL (North American 4th Quarter Calendar Sales by Association of State and Provincial Gaming Standards Association Product - 2009 vs. 2010 Lotteries) Welcomes Board Members and Page 38 Officers 1 South Broadway, Page 18 Future Seminars & Conferences Geneva, OH 44041 Page 43 © 2011 All rights reserved. First in the Nation to Offer Scratch Game Based Upon NASPL email: [email protected] Broadway Hit Musical Web Site: www.naspl.org Page 20 Phone: 440.466.5630 Fax: 440.466.5649

2 | Lottery Insights/March 2011 Lottery Insights/March 2011 | 3

8,5x11inches From the NASPL President

The North American security and integrity of the games we offer Lottery Industry is now and in the future. evolving at a rapid pace. Managing How do we discover the right path? Empower revenue expectations our greatest asset, the lottery professionals of policy makers in a who work where the work gets done, to find tough economy, keep- the answers. Training and continuing educa- ing our established tion provide the tools to help discover those products fun and answers. The NASPL Lottery Leadership Insti- fresh for our consum- tute and Professional Development Seminar ers, and crafting solu- are two ways you can invest in your people. tions to responsibly Both have been described by present and past capitalize on new opportunities (some yet to lottery leaders as a couple of the most impor- be invented) require vision, foresight, and per- tant services NASPL provides. I encourage you sistence. The good causes we support need us to do all you can to allow as many of your as- more than ever. sociates to participate in both learning events.

The demand for more revenue grows unabat- Success is achieved when preparation meets ed. However, additional revenue on the order opportunity. of magnitude that is expected will not come exclusively from “efficiencies” and the next big I invite your feedback directly to me or to any jackpot. It will be the result of innovation and of your Executive Committee or Committee delivering products consumers demand or may Chairs. demand (they just don’t know what it is yet). Happy Selling! A prime example is intra-state Internet-gam- ing. At press time, legislators in a number of states are considering the approval of online wagering. Regulatory bodies expect us to have answers. As an industry we must respond with solutions that can fit the needs of our varied constituents.

How do we respond? There is an old Sioux proverb – “If you don’t know where you’re Jeff Anderson going, any path will take you there.” Recently, Director, Idaho Lottery I directed NASPL staff to actively engage with NASPL President interested parties in the formation of I-gaming standards for player data base management, technical interoperability, responsible play, age verification, and financial protocols that main- tain the hard-earned trust players have in the

4 | Lottery Insights/March 2011 Lottery Insights/March 2011 | 5 I-Gaminig News

Internet Gambling Bill Wins Support from Major Indian Gaming Association

One of two com- The California Nations Indian Gaming As- peting bills to sociation, known as CNIGA, has voted to legalize Internet endorse Senate Bill 40 by Democratic Sena- gambling in Califor- tor Lou Correa of Santa Ana, Jerome Enci- nia has won sup- nas, director of government affairs told the port from a major newspaper. Indian association representing more Encinas said SB 40 is preferable to the than two dozen casino and non-casino competing measure, Senate Bill 45, because tribes, the ‘Sacramento Bee’ reported today. Correa’s proposal is specific to online poker

6 | Lottery Insights/March 2011 and calls for operators to be existing Califor- Consultants estimate that U.S. citizens place nia businesses or tribes. billions in bets each year on websites oper- ated offshore or outside the nation’s bound- The Indian group opposes SB 45 but its deci- aries, according to SB 40. sion to endorse Correa’s bill was not unani- mous, Encinas said. By legalizing online poker, California could regulate the games to ensure their honesty “We had some tribes that were concerned, and the state, rather than illegal offshore but at the end of the day it passed,” he said. companies, could benefit financially from Hot debate is expected in the Legislature the activity, SB 40 contends. this year over whether to legalize Internet gambling. The Senate Governmental Organi- zation Committee has scheduled an informa- tional hearing on the subject at 4 p.m.

Lottery Insights/March 2011 | 7 I-Gaminig News

New Jersey Governor Sitting on Bill Legalizing Web Betting

New Jersey lawmakers have passed a bill extremely active in their attempts to lobby legalizing Web betting and are waiting to against it. The reason for their concerns see if the governor will sign it. is said to be that the passing of a state legislation would interfere with any future Under the bill, the gambling websites Federal legislation. would be based at Atlantic City’s 11 casinos, which would share in the profits. This argument seems to be yet another Players would have to prove they are state speed bump in the road to legalizing online residents before they could legally gamble gambling in America, but with no clear online. direction from either side it still seems unclear whether or not state or Federal Under the bill, New Jersey casinos could laws will be passed in the near future. see profits of more than $300 million a year, while the state would collect an estimated $28 million.

Governor Chris Christie has not signed onto the bill yet, but may be feeling pressure from New Jersey’s projected $10 billion deficit. And if signed into law, the legislation could provide thousands of new jobs for the state.

But, sources have said that Christie is being pushed from both sides and as of yet hasn’t stated on which he may fall. The indecision has thrown the possibility of the bill passing into some disarray, indeed, if Christie takes the negative side then the bill will be declared virtually dead.

Caesars Entertainment is said to be the main opposition to the bill and have been

8 | Lottery Insights/March 2011 Lottery Insights/March 2011 | 9 Lottery Spotlight

Profile in Success: The Texas Lottery By Patricia McQueen, Staff Writer, NASPL

The cross-selling of As with any other online game and Mega Millions has met launch in Texas, the Lottery the first-year expectations of formed a task force comprised the Texas Lottery, according of representatives from almost to Executive Director Gary every department in the Grief. “Without the introduc- agency with the goal of ensur- tion of Powerball in Texas, the ing a smooth sales launch. The Texas Lottery could not have task force included external exceeded its revenue goals representatives from the sales, for FY2010.” The Texas Lot- marketing, operations and tery ended the 4th quarter tery Commission, which takes software staff of GTECH Texas, for 2010 with a 25% increase, about 90 days. Lottery staff which does all the field mar- while the total change indus- mobilized quickly to present keting for the Lottery. “The try wide was up 13% for the a Powerball rule proposal in group worked long hours to same time period. November 2009, and the rule meet the national launch date was adopted in early January for cross-selling on January 31, Launching a major game suc- 2010. 2010,” noted Grief. cessfully is a challenge for any lottery, and Grief graciously offered to share how it was done in Texas.

Before the Launch Once the cross-selling agree- ment in principle between the Mega Millions states and the Multi-State Lottery Association was announced in October 2009, plans were put into mo- tion to prepare for the Texas launch of Powerball. Each new game requires a game rule to be passed by the Texas Lot-

10 | Lottery Insights/March 2011 All Systems Go Powerball was launched in Texas with a full-scale mass media advertising campaign – the sheer size of the state means that mass media is the most cost-effective way of getting the word out on any new game launch. Two new taglines were used throughout the campaign: “It wasn’t born in Texas, but it got here as fast as it could” and “Powerball is Here.”

In addition, a new slogan was created to celebrate not just Powerball, but Mega Millions, which originally launched in 2003. “Dream Big. Four Days a Week.” was used on in-store POS pieces to communicate the Tuesday-Wednesday-Fri- day-Saturday drawing schedule for the two big multi-state jack- pot games. “[We] wanted to cally placed in the state’s retailer traffic and sales while ensure that retailers and play- largest population areas. There generating additional revenue ers supported both games,” are also 52 Mega Millions for public education in Texas,” said Grief, so the Dream Big billboards and 57 Powerball explained Grief. He added that slogan was used on a playslip billboards throughout the Lotto Texas is an established holder that contained both state. The Powerball billboards brand without a core group Mega Millions and Powerball actually replaced the Lottery’s of some 3.5 million dedicated playslips and was placed at existing Lotto Texas billboards, players every week, regard- the point-of-purchase at many and were converted using bill- less of the jackpot level. The retail locations. board extensions to achieve a absence of billboards for Lotto visual impact of the Powerball Texas did not have a significant The Lottery also revamped bursting off the board. impact on sales for that game. its robust outdoor billboard program to accommodate the “Our decision [to drop the The Texas Lottery has a $32 new game. Six billboards were Lotto Texas billboards] was million annual budget for all introduced to advertise both based on Powerball’s ability to advertising, and once the Powerball and Mega Millions create large triple-digit jack- cross-selling initiative was defi- jackpots – they are strategi- pot amounts that can drive nite, Grief noted that some of

Lottery Insights/March 2011 | 11 Lottery Spotlight

the Lottery’s planned advertis- erball is Here” were placed ing expenses were curtailed to at high visibility, high- make room for the big launch. traffic retailer locations The full mass media advertis- around the state. ing campaign ran in market from January to June, 2010, • Borrowing an idea from with television and radio sup- the , the port running April 19 to May Texas Lottery’s website 23. Total advertising expendi- utilized a “roadblock” ad, tures during the period were making sure all website more than $4.4 million. visitors received the news that Powerball was now Launch-Related Promotions available in the state of Supporting the mass media Texas. Visitors had to read advertising for Powerball and a few things on the road- Mega Millions were a number block before they could of launch-related promotions: pass through to the main Lottery website. • A clerk voucher promotion and listeners would have coinciding with the launch to find a hidden Powerball As noted earlier, the Texas Lot- of the advertising cam- in their city to win prizes. tery is happy with its first-year paign that ran from April cross-selling results. “Without 18 to May 1 to ensure • Customer Appreciation Powerball and Powerplay, we retailer excitement and Days were held around would have had a down year,” support for the game. This the state on the day of the said Grief. “With it, we had a was followed up from June first Powerball drawing positive year, the fourth best 6 to June 23 with a player in Texas. Some of these year in our history, and we free ticket promotion that events included brand am- have a hard time seeing any bassadors who wore Pow- highlighted all three multi- cannibalization of our other million dollar jackpot erball sandwich boards or online products – we were games (Lotto Texas, Mega a big giant red inflatable excited about that.” Millions and Powerball). Powerball. Special promo- Players received a free tions and free food were Lotto Texas Quick Pick and offered at these events, Grief was pleased despite the a free Mega Millions Quick and they created great fact that Powerball sales did Pick when they made a buzz and excitement in the not hit projections. “We know $10 or more Powerball smaller local communities that it wasn’t because of the purchase. where they were held. lack of success of the game, we know it’s because it didn’t • Radio promotions where • Thirty 12-foot tall, roof reach the jackpots - the lotto participating radio sta- mounted inflatable red gods just didn’t smile on us.” tions would give out clues balls branded with “Pow-

12 | Lottery Insights/March 2011 When looking at sales for 2010, it is im- portant to note the impact that the tre- mendous sales leading to the $333 mil- The Texas Lottery Commission lion jackpot in August 2009 had when evaluating sales that followed such an Our Core Values extraordinary jackpot. In the past, the same trends were similarly impacted Integrity and Responsibility — The Commission works hard to after such exceptional sales runs. maintain the public trust by protecting and ensuring the secu- rity of our lottery games, systems, drawings and operational facilities. We value and require ethical behavior by our employ- While it’s hard to tell if any new players ees, licensees and vendors. We promote the integrity of chari- were brought in by Powerball, Grief is table bingo in Texas for the benefit of charitable organizations. sure that the game helps keep people playing by offering another choice. Innovation — We strive to incorporate innovation into our prod- There are always certain players who ucts to provide the citizens of Texas with the best entertainment only play when there’s a relatively experience available through our products. We pursue the use high jackpot in a game. By having both of technology that enhances the services that we provide to our games, if one jackpot reverts to its base customers and reduces our operating expenses. level, players who might otherwise Fiscal Accountability — We emphasize fiscal accountability by wait until its jackpot builds again may ensuring that all expenditures directly or indirectly generate now choose to play a second game revenue, enhance security, fulfill regulatory requirements, im- with a larger jackpot. “It keeps them in prove customer service and/or boost productivity. We recognize the games.” Grief acknowledged that our responsibility in generating revenue for the State of Texas the challenge now is to keep the mo- without unduly influencing players to participate in our games. mentum going after a full year of cross We maximize benefits to charities through the continual exami- nation and review of charitable bingo operations. selling. The $380 million Mega Millions jackpot in early January certainly helped Customer Responsiveness — The Commission takes pride in sales of that game. Grief would like providing exemplary service to the people of Texas through nothing better than to add a $2 game the courteous dissemination of clear and accurate information to his product mix to help increase about our products, services and regulatory functions. We seek sales going forward, but he is the first and respond to feedback expressed by our employees, retailers, to admit that it is very important to get licensees and the playing and non-playing public. We apply this feedback in the development of our products and in the ser- agreement from all jurisdictions and vices that we provide. understand the individual needs and challenges faced by lotteries of all sizes Teamwork — We are committed to creating an environment of before moving in that direction. mutual respect where open, honest communication is our cor- nerstone. We embrace the diversity of our team and individual perspectives in working together to achieve our common goals.

Excellence — We strive for excellence by taking a position of leadership on issues that impact the Commission and achieve challenging goals by focusing on our core values.

Lottery Insights/March 2011 | 13 Industry News

Smyrna Boys & Girls Club Receives $15,000 in Educational Technology Courtesy of GTECH Corporation

GTECH’s After School Advantage Initiative Helps Local Children Bridge the Digital Divide

the Smyrna community who participate in the Club’s after- school program. GTECH is the lottery technology and servic- es provider to the Tennessee Lottery.

This event is part of a nation- wide program that GTECH has implemented called After School Advantage which serves at-risk children who may not have the same access to computers as their peers. Under the program, GTECH donates an average of $15,000 in state-of-the-art computers, In partnership with the Ten- monitors, two laptops, desks, online technology, computer nessee Lottery, GTECH Cor- chairs, webcams, micro- software, and volunteer hours poration donated $15,000 phones, stereo headphones to selected after-school pro- in computer technology and and a variety of educational grams in communities where educational resources to the and creative software such as GTECH provides services Boys & Girls Club of Ruther- Adobe Photoshop and Acous- nationwide. ford County in Smyrna, Ten- tica Mixcraft. The technology nessee as part of GTECH’s donation, which is spread “GTECH’s After School Advan- After School Advantage throughout designated rooms tage program is designed to program. The new state-of- in the building, was installed help close the digital divide the-art computer equipment by GTECH employees and will and open the door of oppor- includes nine Dell flat-panel be used by the children from tunity with the latest technol-

14 | Lottery Insights/March 2011 ogy for children who otherwise ships with peers and adults. The The After School Advantage pro- may not have access to comput- GTECH After School Advantage lab gram allows GTECH to apply its ers. After School Advantage aims will help promote and increase this technological experience, as the to increase children’s interest and academic and educational atmo- world’s leading online lottery proficiency in computers in a safe, sphere. technology services provider, fun learning environment, while to assist in the education of our providing them with the necessary “We are very excited about this nation’s youth. For each After tools to help them become more opportunity and the partnership School Advantage laboratory competitive in school and in to- with GTECH and the After School opening, GTECH donates, on aver- morrow’s job market,” said GTECH Advantage program,” said Boys & age, $15,000 in state-of-the-art Tennessee’s Account Development Girls Clubs of Rutherford County, computers, online technology, Manager, Hal Smith. “We are Smyrna Unit Director, Kelly Rubin. software, furniture, and volunteer thrilled to have reached so many “The new computers and software hours. children through this program.” will allow our children to be as creative as they want to be. This Since GTECH launched the After Tennessee Lottery CEO Rebecca opportunity will help our members School Advantage program on Hargrove, Boys & Girls Clubs Board develop the skills needed to assist April 14, 1999, the Company has members, and children and their them in school and compete suc- installed 152 computer centers in parents, all joined GTECH at the cessfully in life. The career paths 24 states and Canada: Tennessee, computer technology unveiling. they will learn about will be end- Florida, Nevada, Texas, Oregon, less. We are very appreciative of Georgia, California, Kentucky, Ohio, “Not only is GTECH a valuable our Tennessee Education Lottery Arizona, New Jersey, Michigan, partner with the Lottery in raising and GTECH partners.” Washington, Kansas, Wisconsin, dollars for education in Tennes- New York, Colorado, Missouri, see, but they have also taken the Access to and proficiency in com- Louisiana, Illinois, New Mexico, Vir- initiative to broaden their scope puters has become increasingly ginia, Idaho, Rhode Island, Wash- with programs such as After-School important in society, the workplace ington, DC, and Moncton (Canada). Advantage,” said Tennessee Lot- and in schools, the so-called “digi- tery President and CEO, Rebecca tal divide” for low-income house- Hargrove. “This Smyrna facility holds, and families headed by a is just one of the first of what has single parent continues to widen. become an ongoing expansion While public-sector initiatives take of these non-profit programs important steps toward address- throughout Tennessee.” ing these issues, GTECH recognized that their magnitude would require The Boys and Girls Club of Smyrna additional funding and support helps to enhance the quality of from private organizations. GTECH life of approximately 325 chil- saw the opportunity to make a dif- dren ranging from ages 5-17 on a ference through an initiative that daily basis. The Club provides a addressed both issues simultane- safe, captivating environment for ously with its After School Advan- Smyrna youth to learn and adopt tage program. life values and develop relation-

Lottery Insights/March 2011 | 15 Industry News

The Newest “mini” Multi-State Game Decades of Dollars rolls out in Georgia, Kentucky and Virginia

When it comes to “mini” held Monday and Thursday The mini multi-state partner- multi-state games, Georgia, evenings. ship began with in Kentucky and Virginia now September 2001. That jackpot have the tri-fecta. The three “Mini multi-state games are game was succeeded by Win lotteries just launched their the perfect complement to the for Life in February 2006. Win third joint terminal-generated huge-jackpot, very-long-odds for Life, which is still offered game, Decades of Dollars, jackpot games,” said Virginia in Georgia and Virginia, has which began sales January 30. Lottery Executive Director Pau- produced 59 top prize winners la Otto. “Our research showed of $1,000 per week for life. Decades of Dollars offers a top there is a market for a unique prize of $250,000 a year for game with a big payout and Decades of Dollars offers a 30 years – or a one-time cash better odds.” fresh addition to our product option of $4 million. The $2 mix with its prize structure game also offers prize tiers of This is the third time the and great odds,” said Georgia $10,000, $100, $10 and $2. (In Georgia, Kentucky and Corp. President and Virginia, the break-even prize lotteries have joined forces for CEO Margaret R. DeFrancisco. is a free ticket.) Drawings are a terminal-generated venture. “The game has been well re-

16 | Lottery Insights/March 2011 ceived by our players, who find the large top prize especially appeal- ing.”

Decades of Dollars will be branch- ing out to other states soon. Play- ers in Arkansas should be able to play within the next few months.

“We’re projecting a 130% sales increase over Win For Life with the new game, and the initial launch of the game looks very promis- ing,” said Steve Casebeer, senior vice president of sales and market- ing for the . “We launched Decades of Dollars with a terrific TV spot, and we’ve received great media coverage during the first month of sales as we’ve had 11 second-place winners.”

In the first seven drawings, sales in the three states totaled $4.9 mil- lion.

“We’ve enjoyed a long-term record of success with our partners in Vir- ginia and Georgia,” said Casebeer. “The terrific response we’ve had to the game during its first month on the street is encouraging.”

See Right for TV Spots from the Kentucky Lottery Corporation and the Virginia Lottery

Lottery Insights/March 2011 | 17 Industry News

Gaming Standards Association Welcomes Board Members and Officers

The Gaming Standards Association (GSA), ”It is a privilege to work with the leaders of whose open standards are the driving force the gaming industry,” said GSA President behind the new generation of interoperable Peter DeRaedt, and added, “The involvement devices and systems, is pleased to announce and dedication of our board members is vital the newly elected board members to the GSA in bringing our organization forward, and ev- Board of Directors for 2011 and 2012, each eryone’s unique perspective and experience elected to a one-year term. is an absolute asset to our organization as we continue to grow and expand our global The following operators were re-appointed to reach.” the GSA Board of Directors: About the Gaming Standards Association • Tom Beauchamp, Penn National Gaming (GSA): The Gaming Standards Association • Scott Norman, British Columbia Lottery (GSA) is an international trade association Corporation (BCLC) that creates benefits for gaming manufactur- • Melissa Price, Caesars Entertainment ers, suppliers, operators and regulators. We facilitate the identification, definition, -devel The following operator was awarded new opment, promotion, and implementation of membership to the GSA Board of Directors: open standards to enable innovation, educa- tion, and communication for the benefit of • Jeanne-Marie Wilkins, Isle of Capri the entire industry. Established in 1998, GSA’s members represent a wide cross section of The new members will join the eight sitting the global gaming industry. Follow GSA on board members: Lyle Bell, Seminole Tribe of Facebook, LinkedIn and Twitter. Florida; Adrian Marcu, IGT; Rob Siemasko, WMS Gaming; Jim Morrow, Aristocrat Tech- GSA’s Game to System (G2S) Protocol has nologies; Walt Eisele, Bally Technologies; been named “Best Productivity-Enhancement Steve Sutherland, Konami Gaming, Inc.; Bob Technology” by Global Gaming Business Mackenzie, MEI; and Don Doucet, Spielo. Magazine; one of Casino Journal magazine’s “Top 3 Most Innovative Products”; and one of GSA is also pleased to announce that the fol- Casino Enterprise Management’s “Top 10 Slot lowing officers of the Board of Directors have Floor Technologies.” each been re-elected for a one-year term:

• Chair: Lyle Bell, Seminole Tribe of Florida • Vice Chair: Adrian Marcu, International Game Technology (IGT) • Treasurer: Scott Norman, British Colum- bia Lottery Corporation (BCLC) • Secretary: Rob Siemasko, WMS Gaming

18 | Lottery Insights/March 2011 Expect the Unexpected!

October 24-28, 2011 Indianapolis, Indiana

More details coming soon!

INDY FUN FACTS! Indianapolis is the 13th largest city in the United States and it’s the only major city not on a River. The State Tree: Tulip Tree & Poplar Tree; The State Bird: Cardinal; The State Flower: Peoney Industry News

Iowa Lottery First in the Nation to Offer Scratch Game Based Upon Broadway Hit Musical

The Iowa will be the first Lottery has in the nation to become the have a chance first in the na- to win prizes in tion to offer conjunction with an instant- our show.” scratch game The lottery has based upon a been working hit Broadway with the Rock musical. of Ages produc- ers and the Civic The $2 scratch Center since June ticket features to prepare for artwork from the release of the Broadway this one-of-a-kind musical “Rock scratch game. of Ages.” The Iowa Lottery Jeff Chelesvig, has teamed up President and with the Tony®- CEO of the Civic nominated hit show and the Civic Center of Center, said “all the pieces fell into place” for Greater Des Moines to bring a new experi- the new idea. ence to Iowa unlike any other. The Civic Cen- ter will present the hit musical April 19 - 24 “There’s been so much enthusiasm between as part of its Willis Broadway Series. Tickets the Iowa Lottery, the producers of Rock of for this engagement also went on public sale Ages and the Civic Center,” Chelesvig said. recently. “This is a great collaboration, and this cam- paign will be lots of fun for everyone.” “Just like the Iowa Lottery’s slogan, ‘It’s your dream,’ it’s been our dream to bring Rock of The Rock of Ages stage production stars Tony Ages to audiences across America,” said Matt award-nominated Constantine Maroulis of Weaver and Carl Levin, the producers of Rock “American Idol” fame. The show is set in of Ages. “As the first Broadway show to have 1987 on the Sunset Strip, when a small- a lottery ticket, we are honored that Iowans town girl meets a big city rocker and in L.A.’s

20 | Lottery Insights/March 2011 “As the first Broadway show to have a lottery ticket, we are honored that Iowans will be the first in the nation to have a chance to win prizes in conjunction with our show.”

most famous rock club, they fall in love to the “Save your tickets!” urged Wood. “Our greatest songs of the ‘80s. second-chance promotions will give players the chance to win tickets to the Rock of Ages Teri Wood, the Iowa Lottery’s vice president show at the Civic Center, autographed guitars of marketing, said that with the Broadway signed by the Rock of Ages cast and more.” show set to run in April at the Civic Center, the lottery is releasing its game in advance to help spread the word.

“We thought it would be the perfect tie-in to have a rockin’ ticket themed after the show,” she said.

In addition to the instant prizes available in the new game, players can use nonwinning Rock of Ages scratch tickets to enter two second-chance drawings.

The objective of the NSI Certification Program is to encourage and facilitate the adoption and implementation of NSI Best Practices and Technical Standards in lottery industry vendors, retailers, and other lottery industry expert organizations that provide software, hardware, or services to lotteries. The NSI Certification Program provides formal recognition of an organization’s conformance to an industry Best Practice or Technical Standard. Get in NSI!

For more information contact Andrew White at: [email protected] Insights/March or call 440.466.5630 2011 | 21 NASPL Seminars

NASPL Lottery Leadership Institute

The complex and ever-changing work environment has many organizations wondering how to retain the best employees and nurture leaders from within an organization. Great leaders create a level of performance needed to accelerate results in such complex times. Whether you are new to the Lottery Industry or just need to update your knowledge base, the Lottery Leadership Institute Seminar is the program for you.

NASPL’s ROLE Sessions are completed in a controlled learning A major part of NASPL’s Education and Training ef- environment by qualified (traditional and nontra- forts provides a focus on the development of leaders ditional facilitators) and industry leaders (from the who can move the lottery industry forward and at lottery and vendor community). The four days are the same time, accomplish stated goals and objec- not specifically spent in lecture. This seminar also tives for their organization at an affordable cost. incorporates team challenges that include all of the elements necessary to be an effective leader such The NASPL Lottery Leadership Institute Seminar was as teamwork, communication, goal-setting, plan- created to assist lottery personnel in expanding their ning, cooperation, creativity, and task orientation. knowledge of the lottery industry while offering par- Each participant will have the opportunity to actively ticipants the opportunity to refine their leadership participate in large and small group exercises result- skills, expand their problem-solving technique, and ing in a broader understanding of course content learn new strategic planning methods. and lottery operations. In addition to the leadership skills, the course agenda includes Quality Manage- The NASPL 2011 Lottery Leadership Institute Semi- ment, Human Relations, Lottery Business Manage- nar invites inspired and committed individuals from ment and Current Issues. the ranks of lotteries, and the vendor community to raise the bar on sales and revenue growth through innovative projects and creative leadership. To date, During this four-day seminar, attendees will: more than 1,000 individuals from the industry have • Learn the ins and outs of the lottery industry participated in the NASPL Lottery College and our • Learn from each other’s experience Lottery Leadership Institute Seminar programs. • Discover personal leadership strengths • Refine leadership skills through the twelve Those attending the Lottery Leadership Institute segments of leadership Seminar will find it to be a rewarding experience, • Prepare for the changing demands of the resulting in the development of new ways in ap- workplace proaching their jobs. At the same time, participants will gain invaluable information on the background of our industry, as well as networking opportunities This program offers a packed agenda complete with outside their normal job environments. The personal case studies, expert insights, and robust open dia- recognition it brings knowing that an individual was logue—all on hot-button issues that will help foster selected to participate in the Lottery Leadership strategic leadership. Space is limited so reserve it Seminar can be long lasting, and assist in expanding now. Registration deadline, April 22, 2011. If you the appreciation of the other departments within have any questions contact the NASPL Office, their respective organizations. 440-466-5630 or [email protected]

22 | Lottery Insights/March 2011 May 16-20, 2011 Lottery Leadership Institute Hosted by NASPL LLI Ad

Experience What Others Are Talking About

Guest Speaker: Greg Forbes Siegman

Registration Fee $750 Room Rate $122 including tax (attendees are responsible for room charge and incidentals upon check out) Registration deadline April 15 www.quailhollowresort.com Transportation provided by NASPL

Lottery Insights/March 2011 | 23 Vendor Community

MDI Launches 300th Web Site for a Lottery Customer

MDI Entertainment, LLC, a subsidiary of Scien- tific Games Corporation (NASDAQ:SGMS), launched its 300th web site on behalf of a lottery this week. The milestone comes as MDI celebrates its 10-year an- niversary of providing inter- net services to the lottery industry, and just a month after MDI launched its digital “For a decade now, the New maintaining promotional products and services divi- Jersey Lottery has been com- web sites customized to our sion — MDI Interactive. mitted to offering our players needs.” responsible ways to extend MDI began building its ex- their enjoyment of instant “It’s very fitting that we’ve tensive portfolio of internet games online,” said Carole reached this 300th web site achievements in 2001 when Hedinger, Executive Direc- milestone with the New it created its first customer tor of the New Jersey Lot- Jersey Lottery,” said Steve web site for the New Jersey tery. “The 2nd Chance Web Saferin, President, Proper- Lottery. The web site pre- Sites that MDI has built for ties Group and Chief Creative sented a 3rd Chance Sweep- us have been instrumental Officer for Scientific Games. stakes for an MDI-licensed in helping us meet this goal “New Jersey was the first Elvis™ instant ticket. Coin- and, in turn, drive instant lottery to use our internet cidentally, MDI’s 300th web game sales.” services, and they’ve been site is also for the New Jersey a dedicated and innovative Lottery, this time presenting “We’ve enjoyed a great deal internet customer ever since. a 2nd Chance Promotion for of success using online pro- In speaking of many of our another MDI-licensed game motions to support instant accomplishments at MDI, we — Minute To Win It™. The games,” added Foster Krupa, owe as much to the pioneer- site can be viewed at https:// Marketing Director for the ing spirit of the New Jersey newjersey.lotterybonuszone. , “and Lottery as anyone.” com/minutetowinit/home. MDI has become a trusted php. partner in developing and

24 | Lottery Insights/March 2011 Between its first and 300th, MDI has feature interactive 2nd Chance Promotional launched web sites for 33 different lotter- Games. ies and has continued to break new ground, introducing many “firsts” in internet services In 2009, MDI launched Points for Prizes®, an to the industry. In 2005, MDI presented a innovative web-based program that allows web-based loyalty club with the industry’s players from participating lotteries to enter first managed social media program for non-winning instant tickets to accumulate lottery players and other features not previ- and, ultimately, redeem points for a wide ously seen in the industry. The same year, variety of valuable rewards including cloth- MDI unveiled its Easy Entry™ ticket validation ing, household goods, music downloads, system, which allowed the (and electronics, higher-end “aspirational” items many following it) to provide 2nd Chance and more. The following year, MDI, with entry validations online, eliminating the Scientific Games, built and launched the need for players to keep their physical tickets industry’s first internet subscription system after they entered them on the lottery’s 2nd with a shopping cart that allows for multiple Chance Web Site. product purchases (e.g. Mega Millions and Powerball) and a virtual wallet in which win- In 2007, MDI launched its 100th web site for nings accumulate and can be used to extend a lottery customer and created the industry’s subscriptions or add new games to them. first multiple-game internet entry program In recognition of the growing demand and with Play It Again!™ for the Tennessee Lot- need for web-based products and services tery. Play It Again! offers players an addi- within the lottery industry, MDI established tional “last top prize” opportunity and suc- MDI Interactive early this year. This new cessfully extends the productivity of games division is dedicated exclusively to expand- throughout their on-sale periods, while ing upon MDI’s internet product and ser- being an effective litter control measure for vice portfolio and continuously developing lottery retailers. innovative, effective ways to help lotteries engage players on the web and deliver con- Another significant leap forward occurred tent across multiple digital platforms. More in 2008 when MDI introduced the indus- information about MDI Interactive is avail- try’s first animated Flash game in conjunc- able at www.mdiinteractive.com. tion with a 2nd Chance Promotion. Play- ers entered non-winning tickets from an MDI-licensed brand instant game into a 2nd Chance Web Site built by MDI, and then played an animated game featuring the licensed brand to reveal the number of 2nd Chance drawing entries they had won. This game paved the way for many more to follow. Today, approximately half of all the web sites MDI creates for lottery customers

Lottery Insights/March 2011 | 25 Vendor Community

Intralot Launches Live Presenter Bingo

INTRALOT’s subsidiary in Italy, INTRALOT Italia, has enlarged its online gaming portfolio with the introduc- tion of the first live online Bingo in Italy, INTRALOT’s Live Bingo, which will include Live Presenters interacting with players in real time. Combining live presenter interaction, extensive so- cial gaming opportunities, be online, and the fact that pany’s strategy to continu- and the future potential to they can actually see, hear ously develop technological fuse with real-life bingo, the and chat with the presenters innovation and functionality. product has the potential to will optimize the potential It also shows our commit- create a fascinating hybrid of of web 2.0 technologies in a ment to create a commu- the online and offline bingo way that will actually provide nity where gaming is not a spaces. a genuinely satisfying playing solitary experience, but an experience. occasion to socialize through INTRALOT Italia welcomes all entertainment. We are very Bingo lovers to its two virtual In addition, INTRALOT’s Live keen to build on our current Bingo halls (“Holiday” and Bingo players will have the success in the Italian market “Hollywood”), where they opportunity to chat and by launching new products will have the opportunity to interact with their fellow in the country’s interactive win real money and have fun players through the “Bingo space in particular. Online by participating in frequent chat rooms” and participate bingo has only existed in daily draws animated by a in interactive and fun “chat Italy for a year, and yet its Live Presenter at the Hol- games” offered by the Live net worth has rocketed from lywood hall, who “calls” the Presenter, which allow play- zero back in December 2009 numbers, and entertains the ers to be awarded with real to an impressive €18 mil- players in an interactive way. bonuses to play in the online lion turnover per month in INTRALOT’s website will fea- Bingo games. - December 2010. It is a high ture online profiles of each growth market and INTRA- presenter, and presenters Enea Ruzzettu, CEO of IN- LOT is willing to move Bingo will also encourage custom- TRALOT Italy, stated: “The into a new era by offering an ers to link up to them on introduction of a Live Pre- innovative interface which Facebook. Players will know senter in our Online Bingo will have large community when each presenter will game confirms the com- appeal”.

26 | Lottery Insights/March 2011 the licensing of the retailing of public gam- ing announced by AAMS. INTRALOT Italia was awarded licenses to operate fixed odds betting on sports events in a licensed retail network and through internet, as well as About INTRALOT Italia horse racing. INTRALOT Italia retail network INTRALOT Italia, a joint stock company, is a is made up of more than 600 points of sale. subsidiary of the INTRALOT Group, a global With presence in all the Italian regions, its leader in the gaming market and listed technology and professionalism, INTRALOT on the Athens Stock Exchange. INTRALOT Italia offers services based on efficient and Italia was established in December 2006 secure systems of on-line data transmission and participated in the public tender for to its customers.

IGT Launch Triple Bonus Spin Roulette™

International Game Technology the same family as IGT’s mega- sacrificing any of the realism (IGT), a global leader in creating hit, Double Bonus Spin Rou- or the anticipation of casino the major games that play- lette™. Like all Player’s Suite® roulette. ers love and the systems that titles, Triple Bonus Spin Rou- improve the player experience, lette™ is easy for novices and Alex Kelly, vice president, Inter- today announced the online optimised for serious players. active said: “Cutting-edge table release of Triple Bonus Spin It offers players powerful new games have a proven popular- Roulette™. betting features: ity among online users and Triple Bonus Spin Roulette™ is Triple Bonus Spin Roulette™ • “Spray paint” betting allows our latest innovation, one that features all the classic action players to click and drag a will boost an operator’s port- of Player’s Suite® Roulette! string of wagers folio and that their players will with a new bonus game and an thoroughly enjoy. With a host outrageous payout multiplier. If • A history wheel helps of new features, I’m sure it will the ball lands in the extra-wide inform wagering strategy, build on the previous success of bonus well, players earn three providing players with a our Player’s Suite® games and free spins. An optional bonus snapshot of the “hottest” support the established repu- bet can supercharge payouts by and “coldest” numbers tation IGT has for delivering up to 12,000 times the original premium table games.” stake. Players can also select Turbo Mode for a more responsive This exciting new game is from outcome experience without

Lottery Insights/March 2011 | 27 Feature News

ManagingManaging aa WildfireWildfire withwith aa WaterWater PistolPistol The Story of Holly Lahti, the Idaho Lottery and the January Mega Millions Jackpot by David Workman, Idaho Lottery Public Relations

Everything that happened did happen by design. Everything we said was going to happen did. Sometimes, one person’s view of a happy ending and the conven- tional view of a happy ending may be vastly different. In a twenty year career working in public relations, I can say that few stories have tested the journalist ethic or blurred the line between the public’s knowledge and public information as the story of Holly Lahti, Idaho’s $190 million Mega Millions winner. And depending on your perspective, what was a dream for public relations tinkered on the brink of nightmare for about three weeks in January. Ulti- mately at the end of the day, this story had all the classic elements of a huge media frenzy bringing together a unique blend of conflict, coincidence, controversy, contradiction, potential catastrophe, and a lot of cash.

28 | Lottery Insights/March 2011 As a public relations profes- We encourage everyone who a.m. on January 5, 2011. The sional working for the Idaho Lot- played to check their tickets press statement was express tery, and an office of one, I get carefully for winners, to sign – we have a winner, we do not the pleasure of telling people’s their tickets and take them to know where the ticket was sold, stories of winning big and how an Idaho Lottery retailer to be please check your tickets care- they’ve entered happily ever checked. As is routine with the fully, and no additional informa- after with their big fake check Idaho Lottery, we do not dis- tion will be given until later in and bigger bank account. close the store location until the the day. winning ticket has been claimed. Upon receiving the news we’d This is a security feature that We scheduled a press event at had a share of the big January protects the actual winner, it 10 a.m. Mountain Time later Mega Millions jackpot, I knew protects the store, it protects that day. The Lottery’s design I wanted all of Idaho’s local TV the Lottery, and it does keep the team quickly converted a small affiliates and 5 a.m. morning media from pulling up satellite downstairs conference room shows, the people I work with trucks into the store’s parking into a media room. I then every day, to have the story be- lot and camping until the win- phoned and personally invited fore the national morning shows ner comes forward. A ticket is every news organization in Boise reported it at 7 a.m. Mountain not officially claimed in Idaho to attend.

This was a grand moment for Idaho, its citizens, its Lottery players, and our retailers.

Time. This was a grand moment until that ticket arrives in Boise, Before our press conference, we for Idaho, its citizens, its Lot- signed, and has been approved learned that Washington had tery players, and our retailers. through the Idaho Lottery’s released the town of Ephrata I wanted this moment to be security systems. Once that oc- and their store location. About shared first by the news people curs, it becomes a public record. twenty minutes before our press the state’s viewers know and Until then, everything is rumor conference, our security depart- that live in their communities. and hyperbole. ment confirmed our winning ticket had been sold in Post Anytime Idaho has a Powerball We broke the story confirming Falls, a community just inside or Mega Millions winning ticket we had a winner and a share of the Idaho border and about 30 over $200,000, the Idaho Lot- the $380 million Mega Millions miles from Spokane, Washing- tery issues a press release the jackpot in a press release that ton. An opportunity now pre- next morning confirming this. was issued publicly at 12:26 sented itself in that we would

Lottery Insights/March 2011 | 29 Feature News

have contradiction in policy the mystery. Rumors abounded the winner was a young mother between states and coincidence as Post Falls was dying to know of two from Rathdrum and was a in linking the two winning tickets what had happened and who most deserving winner. This was together as we realized that Post had won. on the word of an un-named Falls and Ephrata were only 148 relative claiming to be an Aunt. miles apart. When we did receive credible She claimed the woman had a information from Ady’s Conve- bad husband who was about to When we did announce the nience and Car Wash that they be divorced and did not know town, everyone thought we believed they sold the winning about the win and that the

We had created controversy and contradiction in policy from Washington’s policy and we had just created the first of what would become many mysteries surrounding our winner.

were holding out on them by ticket and who they sold it to, it woman worked at a bank in the not giving up the store. We was decided that it was best not area. were just following routine to speak publicly until the ticket procedures but it had a fabulous was claimed and became an of- Holly Lahti arrived at Lottery effect! We had created contro- ficial Idaho public record. And Headquarters in Boise late on versy and contradiction in policy here is where that line between Tuesday, January 11, 2011. from Washington’s policy and we the public’s knowledge and pub- Somewhere along the way, she had just created the first of what lic information began to blur. As received advice to not speak would become many mysteries an official charged with provid- much to us about herself or her surrounding our winner. We had ing public information, techni- experience and definitely not unleashed our own wildfire that cally, I had no public information to speak to the press, let alone I was now trying to put out with to share without a claim form. allow a photograph of her to a water pistol. When asked by national or lo- be taken. When Holly officially cal media if I had spoken to the claimed her winning ticket, she The media had enough informa- winner, I could truthfully reply, “I expressed these concerns about tion to keep them busy canvass- have not seen a winner with the speaking to the media. What- ing Post Falls looking for the winning ticket here in Boise.” ever her reasoning, we may store location for a few days. never really know the source of The longer the winner didn’t KXLY in Spokane that first Friday her reluctance. There was more come forward also added to afternoon broke the story that to the story than was on the

30 | Lottery Insights/March 2011 surface. And that information is ous route. At first, only the “the media respect her privacy not public unless she chooses good would come out about and not contact her until she’s to share it. her. Then, the media would prepared to speak with you.” camp out in front of her house, I congratulated Holly. She With the paper work completed her relative’s houses, friends’ genuinely thanked me and the and approved, Holly Lahti had houses, visit the bank, go to the Lottery. That was the last time I become a public record, which school where her kids attend, spoke with Holly Lahti. I would means we could no longer in talk to the estranged husband, continue to manage the story good faith withhold her name that they would not relent until for another 13 days. or the name of the store with- they found her. I told her that out violating the law. A press KXLY already had the entire The line between public knowl- event, with or without Holly, story of everything except her edge and public information was going to be necessary. name and once they had that, it was now even more blurry. would be much worse without Issuing true statements of On Wednesday morning Janu- her speaking. Speaking would public information without ary 12, 2011, very early in the actually protect her friends, her in person would open up morning, we received a mes- family and co-workers from controversy, conflict, potential sage from Holly saying she continued questions by the catastrophe and still the matter would not be returning to the media. If she stayed in Boise, of a whole lot of cash. All were Lottery Offices at all, that her I could help her. If she left, I aligning with the public rela- travel plans had changed, and could not. The best course of tions stars for a second frenzy. that she was departing Boise action was to stand up and say, The edge from dream story to immediately. Our dream public “Hi, I’m Holly. I won the Lottery, nightmare just got a lot steeper. relations event was about to this is my story about winning, Our happy ending had literally turn into a national nightmare now please, go away and leave become a runaway wildfire and in a hurry. me alone.” my water pistol was running dry. Under less than ideal condi- I have it on good authority tions, I was able to meet with from ABC National News, CBS Heading into the announce- Holly that morning in person for National News, NBC National ment press conference, we had about 20 minutes. I told her she News, Good Morning America, two questions: how do we do had a choice, she could tell her CNN, the Today Show, Fox and winner awareness without a story herself or everyone who’d Friends, the Associated Press winner? And how does the Lot- ever known her at all would do and Reuters, that had she made tery come out looking like the it for her. I encouraged her to that decision, it would have good guy? have at least one photograph been respected. that we could release with her The answer, without Holly name or else every photo she’d As our conversation ended we present, was for us to at least ever had taken of her would agreed that a press event would respect her wishes for privacy come up. take place at 2 p.m. Moun- knowing full well the media tain Time, her name would be would do everything to find I cautioned that going alone released and a statement by out who Holly really is. We was a much more danger- our Director would request knew without her speaking,

Lottery Insights/March 2011 | 31 Feature News

her mystery was only going to television coverage and visits they would do. They were de- get bigger. She had reasons for after 1 p.m. Pacific Time. termined to get to the bottom not wanting to speak publicly of this story no matter what. and we would not provide the A winner’s press conference in forum for that disclosure. the new Press Room without At the end of the day the a winner was almost more like Associated Press called me. Knowing the story at hand, I a memorial service than the They had a less than glowing felt it best to let the local media excitement we had anticipated. story of Holly and her personal handle it and distribute it again The formal portion of the press arrest record, her estranged to the national networks. A conference was over in about husband’s arrest record, and a media advisory was issued at 5 minutes. Our message was quote from him that was less 10:30 a.m. for a 2 p.m. press simple and plain. Our winner’s than flattering. He found out conference at Lottery Head- name is Holly Lahti, she has his wife had won the jackpot quarters. No details were asked for privacy, and the store from the AP reporter. The AP’s provided. that sold the winning ticket comment to me was, “We was Ady’s Convenience and Car understand why she wanted to By 1 p.m., the satellite trucks Wash in Post Falls, Holly has run and hide, this is pretty bad began rolling in. During a re- not made her determination stuff.” The information about model of our building a couple to take cash or the annuity and her husband included drug of years ago, we purposefully she is traveling to an undis- possession, providing alcohol added video and audio con- closed location and not avail- to minors, kidnapping, assault, nection feed receptacles to able to the media at this time. battery, numerous open con- the exterior of the building for It was carried live on CNN, tainers and moving violations, an event like this, so that one Northwest Cable News and domestic violence – the list was truck could plug into the build- video streamed to NBC’s affili- sobering in length. ing for a pooled live feed out. ate websites at KTVB in Boise Any coverage seen on CNN, and KHQ in Spokane. My comment to the Associated Northwest Cable News, and Press was heartfelt and their NBC came from that feed as it Before I ever even reached the reaction was surprising. I told worked flawlessly. The local lobby, Good Morning America them today was the only mo- affiliates really stepped up to had her address, her age, her ment Holly was ever going to help the national networks. occupation, and her relatives’ have to celebrate winning the names. Satellite trucks in lottery and becoming a gazil- We prepped big fake checks Spokane were mobilized for lionaire. The Associated Press with the store name and Holly’s an assault on the tiny town of deferred running their informa- name for props. At the request Rathdrum, Idaho within min- tion. of my director, I sent an ad- utes. vance copy of the press release Without speaking to the media, to Mary Neubauer in Iowa who At the time of the press event, other people tried to assume helped distribute it to all NASPL we knew Holly had concerns, her identity publicly and pre- Directors and Public Relations but what we didn’t know we tend to be her. Fake fan pages members. I also called Ady’s learned from the media as the and Facebook pages erupted and told them to expect heavy media did exactly what we said on the Internet. A Google

32 | Lottery Insights/March 2011 search on “Holly Lahti” on January 15th revealed international, runaway story. 473,000 pages of results. The Facebook page had over 100,000 posts. More rumors and specula- Inside every large problem is a small one strug- tion ensued over the mysterious Holly Lahti and gling to get out. As week three of this story her untimely disappearance. News media trucks began, the thought occurred to me that despite camped outside of her house in Rathdrum, her all the media attention, all the accusations, all mother’s house, they visited the bank, they the public TV debates, all the news stories, all sought out friends, and they bombarded Ady’s. the mug shots and posturing, that maybe, just Good Morning America and the Today Show maybe our view of a happy ending and Holly’s made an all-out effort to try and find her. could be entirely different. What if, even with all the media exposure, she was having a happy The next day, the same KXLY reporter who broke ending? the story about Holly the week before got ahold of her past information. He called me to tell me We needed to bring some resolution and closure he had the story and asked if I had any comment. to the circus with our own exit strategy. Once I did not. In her absence of telling her own story, she received the check from us, our portion of someone else was going to do it. the public record would be done. We planned to issue a press statement, no press confer- By Friday, Radaronline.com had obtained the ence, downplay it and send it out on a Friday. By now infamous mug shots. This quickly made Monday it would be long forgotten as Idaho, the national and international news for the week- Lottery, and the country moved on. end. Good Morning America called and asked if we would pay the husband anything since under Mid-week, the Associated Press began working Idaho law it seemed he was entitled to half. Over on finding out the real details about the mug that weekend, cable news and other national shots, the husband, and who got what money. network shows debated the legality of who got The Today Show ran a similar piece early in the what, should Holly get divorced. Who would end week as well but had obtained a nice photo of up with what, what kind of strategy the lawyers Holly. on either side should take. Fox News aired an entire mock court hearing on it.

At the Lottery, until the money arrived from MUSL, we could do nothing but sit, wait, and field requests. Oprah called. Ellen called. Even We needed to bring George Lopez Tonight and two new reality TV shows, one real and one fake, called. Private some resolution and investigators contacted us. closure to the circus The media kept one thing constant throughout, with our own exit they all believed there was a good person with a good story to tell. The more the media covered strategy. it the more they hoped she would relent and come forward to tell her side of this growing,

Lottery Insights/March 2011 | 33 Feature News

Holly made her election to take At the end of the day, when coverage ended by January the cash lump sum on Tues- the smoke cleared and the dust 8th while Idaho’s continued day, January 18, 2011. The settled, we would have liked to to peak and valley for three last hurdle that needed clear- have had our signature photo weeks. From January 8 through ing was the timing of the final with the big fake check and January 15, the Idaho Lottery press release. Quite purpose- run a regular press conference, received 11.7 percent of its fully, we withheld issuing the but the three weeks of heavy coverage. This includes four final press statement until we media boosted awareness for days prior to the announce- had confirmation the check had Mega Millions sales in Idaho. In ment of Holly’s name through

Sometimes our version of a happy ending and the winner’s version of a happy ending may be entirely different.

been delivered safely to her January, the Idaho Lottery en- three days after. The final nine location without incident. joyed the best month of Mega days of coverage lasted four Millions sales since cross selling days after she received her final The final statement was issued began nearly a year ago. Over check and saw 16.6 percent of on Friday, January 21, 2011 at the next jackpot run, compara- the total coverage. Does com- 12:45 p.m. Mountain Time. The tive sales were up 72% from ing forward and speaking make statement was definitive. Holly the previous run. the media stop talking about chose cash, Idaho wins, thank you? Yes it does. you all very much. The Associ- In studying the results, our ated Press issued their story assertion that once you speak As a public relations official for with as much details about the the coverage ends is true. The a small state lottery, I get to history of the photographs as Idaho Lottery and this story re- tell the stories of my winners they could provide. They car- ceived over 437.4 million televi- and their happy endings. And ried her selection of the cash sion impressions nationwide indeed, although everything option as we hoped they might from January 5 through Janu- we did we did by design and ev- by timing our story release with ary 25, 2011 with 71.6 percent erything we said would happen theirs. The AP story ended with (313.2 million impressions) of did, sometimes our version of a a discussion of what would that coverage occurring on the happy ending and the winner’s happen to the money when, first three days. By comparison, version of a happy ending may and if, the two divorced. 99 percent of Washington’s be entirely different.

34 | Lottery Insights/March 2011 Professional Development Seminars AKA NASPL 2011 Combined Subcommittee Meetings: Audit, Accounting, I.T., Security, PR, Sales/ Marketing, Product Managers, Legal, Instant Product Distribution

Registration Fee $375 Room Rate $143.25 including tax and complimentary internet access Hotel Reservation Cut-Off July 4, 2011 Registration deadline July 19 Click Here to make Room Reservation Keynote Speakers: Greg Forbes Siegman and Bruce Wilkinson, CSP

July 25th - 28th 2011 Roosevelt Waldorf Astoria Hotel New Orleans, Louisiana Hosted by the Louisiana Lottery

Lottery Insights/March 2011 | 35 Seminar News

Gaming Laboratories International’s 10th Annual North American Roundtable Draws Record Crowds

to the crowd about the impor- tant job gaming regulators do for states, tribes and federal governments.

Next, GLI’s President James Maida and Director of Techni- cal Compliance Patrick Moore spoke about how interactive gaming is continuing to evolve on the operator and supplier fronts. Then, in a discussion lead by FastDash founder Stephanie Maddocks, a panel Tracie Stevens (Left) from the National Indian Gaming comprised of IGT’s Steve Kast- Commission and Jamie Hummingbird (Right) from the ner; Ted Keenan from Bally Cherokee Nation Gaming Commission. Technologies; Steve Martino from the and Gaming Laboratories Inter- so many regulators from so Aristocrat’s Chris Rowe talked national, LLC staged its 10th many jurisdictions would join about the “fun factor” that annual Roundtable last week us for the Roundtable, particu- adaptive and social networking in Las Vegas, drawing a re- larly in this time of budget con- are bringing to gaming. cord crowd of more than 260 straints,” said GLI President and

regulators. Attending the event CEO James R. Maida. “I spoke The afternoon began with Tom were regulators from across to several regulators who could Foley of the Foley Law Group North America – from Canada not get agency funding, so they leading a discussion on where to Panama and everywhere in paid for their own flights and policy meets technology in the between. hotels, because they felt the new digital age, particularly in event was so important.” the era of internet gaming. On The two-day event was held at the panel were The Honorable Treasure Island Casino & Resort The conference began with a Tracie Stevens from the Na- and featured a select team of video address by Senate Major- tional Indian Gaming Commis- gaming industry leaders speak- ity Leader Harry Reid (D, NV) sion; Jamie Hummingbird, from ing on a wide range of today’s who spoke about his vision for the Cherokee Nation Gaming most relevant topics. GLI pres- internet gaming. Following was Commission; and Mark Lippar- ents the event free-of-charge. a keynote address by Rep. Dina elli from the Nevada Gaming Titus, who served Nevada in Control Board. “We are absolutely thrilled that the 111th Congress. She spoke

36 | Lottery Insights/March 2011 Day two of the Roundtable the 2010 election had on gam- will stage its European Regula- began with a video address by ing at a federal and state level. tors Roundtable in May and Rep. Shelley Berkley (D, NV), Tom Foley led panelists Leslie expects to announce plans for whose jurisdiction includes the Lohse, California Tribal Busi- its Latin American Roundtable Las Vegas Strip and Downtown. ness Alliance; Kevin Mullally; later this year. She spoke about what regula- and Whitaker Askew from the tors can expect as internet American Gaming Association. For more than 20 years, Gam- gaming legislation makes its ing Laboratories International, way through this year’s Con- Supplementing the presenta- LLC has been the world leader gress. tions at the conference were in providing independent test- in-depth training modules at ing, inspection and certifica- Next, GLI’s Kevin Mullally led GLI’s Las Vegas lab and a tour tion services to the gaming panelists Dr. Bo Bernard, UNLV; of the facility. In addition, GLI industry. With 16 laboratory Steve Martino; Maryland Lot- celebrated the 10 year Round- locations spread across Africa, tery; and Jeff Wyton, Alberta table anniversary with a cock- Asia, Australia, Europe, North Gaming & Liquor; in a discus- tail reception “shore-side” at America and South America, sion on the impact of new the Treasure Island Nightclub. GLI is the only global organiza- technologies on responsible Nearly 300 regulators and tion of its kind to hold U.S. and gaming. suppliers attended, and the international accreditations for performers from “The Sirens of compliance with ISO/IEC 17025, The morning continued with T.I.” made a guest appearance. 17020 and Guide 65 standards a session on the increas- for technical competence in ing importance of security Presented by GLI University™, the Gaming industry. GLI offers in the digital age led by Nor- the annual Roundtable is a independent third party evalua- man DesRossiers, San Manuel one-of-a-kind event in the gam- tion and certification of Gam- Tribal Gaming Commission; ing industry, where regulators ing technology, devices and and panelists Sean Mason, GLI; gather to learn about the latest systems in addition to providing Craig Durbin, & technological developments network and information secu- Gaming Enforcement; and Scott and their potential regulatory rity assessments. Scepaniak, Mystic Lake Casino impact, and to openly discuss Hotel/Little Six Casino. regulations with one another in For more information, a private setting. GLI University visit www.gaminglabs.com In one of the most lively discus- sions, Salim Adatia from TST, A GLI’s 10th Regulators Roundtable GLI Company, led a discussion on the present and future state of internet and intranet gam- ing. Panelists included John Pappas, Poker Players Alliance; May Scheve Reardon, ; and Mark Clayton of Lionel, Sawyer & Collins.

The Roundtable concluded with an in-depth look at the impact

Lottery Insights/March 2011 | 37 Research

Fourth Quarter Sales By Product 2009 vs. 2010

Pulltab/ Jurisdiction Instant 3 Digit Breakopen 4th QTR ‘09 4th QTR ‘10 4th QTR ‘09 4th QTR ‘10 4th QTR ‘09 4th QTR ‘10 Arizona 80.21 88.08 2.11 2.09 Arkansas 130.20 94.60 0.60 1.42 California 370.50 463.20 32.12 32.24 Colorado 82.50 87.20 Connecticut 146.55 159.83 28.00 31.81 Delaware 8.91 9.84 6.49 6.23 District of Columbia 10.12 13.21 13.73 13.72 Florida 488.90 527.00 74.51 78.00 Georgia 575.53 576.89 119.88 118.17 Idaho 22.62 22.32 0.80 0.99 0.40 0.41 Illinois 300.99 316.51 72.87 72.96 Indiana 118.14 133.18 2.15 2.51 7.12 7.13 Iowa 35.37 40.77 4.98 4.61 1.63 1.63 Kansas 30.67 32.09 2.42 2.35 1.55 1.50 Kentucky 114.90 118.74 3.08 0.15 30.96 30.31 Louisiana 33.70 38.23 11.80 11.83 Maine 38.46 40.09 1.25 1.31 Maryland 125.15 65.62 Massachusetts 756.62 758.67 2.50 2.10 Michigan 186.74 194.79 7.35 6.51 85.92 81.53 Minnesota 79.03 84.34 3.19 3.31 Missouri 161.71 171.65 17.24 15.96 Montana 3.70 Nebraska 15.93 17.08 0.77 0.81 New Hampshire 41.62 41.37 1.28 1.27 New Jersey 321.61 350.34 107.59 107.01 New Mexico 19.42 18.55 0.82 0.92 New York 864.57 879.44 209.67 209.05 North Carolina 227.88 195.89 52.21 66.49 North Dakota Ohio 355.27 386.58 92.24 91.57 Oklahoma 22.32 27.89 1.58 1.46 Oregon 29.99 31.78 Pennsylvania 444.27 498.63 95.37 95.03 Puerto Rico Rhode Island 20.47 20.49 0.03 0.02 South Carolina 156.84 163.93 33.54 31.86 South Dakota 5.20 5.10 Tennessee 215.89 232.65 14.60 14.76 Texas 699.31 710.80 68.46 69.82 Vermont 17.53 17.91 0.40 0.36 Virginia 175.92 192.16 61.39 60.89 Washington 71.99 78.47 4.24 4.14 West Virginia 22.75 29.36 2.13 2.16 Wisconsin 65.26 69.63 0.44 0.73 6.35 6.19 Total(USD) 7,566.41 8,068.13 23.75 19.97 1,264.01 1,340.97

Atlantic 46.88 48.95 29.65 26.48 British Columbia 43.09 51.79 10.96 8.87 0.00 0.00 Loto-Quebec 126.80 126.80 10.40 3.96 Ontario 205.09 226.41 1.73 2.30 14.99 14.86 Western Canada 68.53 76.13 5.22 5.69 Total(CAD) 490.39 530.08 42.34 37.65 30.61 24.51

38 | Lottery Insights/March 2011 Fourth Quarter Sales By Product 2009 vs. 2010

Jurisdiction 4 Digit 5 Digit Lotto 4th QTR ‘09 4th QTR ‘10 4th QTR ‘09 4th QTR ‘10 4th QTR ‘09 4th QTR ‘10

Arizona 9.94 8.75 Arkansas 0.80 California 7.65 7.34 117.56 107.02 Colorado 9.50 9.90 Connecticut 24.64 25.90 9.84 5.90 Delaware 4.66 4.52 District of Columbia 17.49 17.00 4.95 3.02 Florida 59.57 59.00 69.64 70.00 109.66 98.00 Georgia 55.31 48.00 4.82 Idaho Illinois 48.70 49.16 31.44 21.66 Indiana 7.22 7.63 1.19 1.10 14.22 15.35 Iowa 0.69 0.69 Kansas Kentucky 9.37 9.08 2.22 1.65 Louisiana 9.30 9.20 7.30 8.63 Maine 1.01 1.04 5.64 4.49 Maryland 64.53 8.10 Massachusetts 85.80 85.80 11.70 11.20 7.80 7.00 Michigan 90.25 90.27 12.23 11.55 Minnesota Missouri 7.23 7.44 7.81 9.38 6.84 6.39 Montana Nebraska 3.25 2.93 New Hampshire 1.30 1.42 2.82 2.43 New Jersey 69.77 64.72 36.99 33.19 23.87 16.55 New Mexico 1.70 2.44 New York 195.04 198.85 40.30 33.95 North Carolina 14.49 14.32 15.51 13.41 North Dakota Ohio 51.68 54.82 16.40 9.68 Oklahoma 1.38 1.21 Oregon 0.31 0.30 9.99 7.80 Pennsylvania 66.75 63.93 8.56 9.64 20.71 18.75 Puerto Rico Rhode Island 6.44 6.27 South Carolina 15.53 16.45 5.14 4.80 4.41 South Dakota 0.56 0.70 Tennessee 6.83 6.44 2.73 4.30 Texas 14.46 15.33 11.73 12.82 62.88 42.16 Vermont 0.34 0.31 1.45 Virginia 49.59 51.70 7.61 5.41 Washington 3.78 2.65 5.89 4.41 12.52 West Virginia 1.21 1.27 Wisconsin 2.99 3.09 5.78 5.82 4.46 3.46 Total(USD) 929.40 989.27 202.93 187.26 533.52 472.18

Atlantic 0.40 0.40 British Columbia 0.00 0.00 0.00 0.00 10.51 10.94 Loto-Quebec 6.33 18.10 22.80 Ontario 9.62 10.61 Western Canada 1.32 1.10 Total(CAD) 11.34 18.44 0.00 0.00 28.61 33.74

Lottery Insights/March 2011 | 39 Research

Fourth Quarter Sales By Product 2009 vs. 2010

Jurisdiction Spiel/Kicker Cash Lotto Multi-Jurisdiction 4th QTR ‘09 4th QTR ‘10 4th QTR ‘09 4th QTR ‘10 4th QTR ‘09 4th QTR ‘10

Arizona 3.42 3.45 26.09 33.37 Arkansas 9.50 California 33.96 38.81 102.37 Colorado 5.50 4.60 22.50 Connecticut 8.86 8.70 19.17 Delaware 1.44 1.35 7.50 1.03 District of Columbia 0.88 0.49 10.94 Florida 21.77 22.00 90.88 Georgia 32.36 21.60 59.12 2.91 Idaho 0.30 10.02 1.52 Illinois 30.03 30.07 58.87 Indiana 26.27 Iowa 1.02 0.90 16.81 3.59 Kansas 4.07 3.47 12.22 3.39 Kentucky 3.27 2.97 24.15 Louisiana 23.40 Maine 0.82 0.85 6.95 0.97 Maryland 5.75 Massachusetts 12.00 8.90 32.10 Michigan 14.06 12.78 58.46 Minnesota 6.57 6.82 21.89 4.05 Missouri 25.78 Montana 0.95 1.70 Nebraska 0.50 0.45 9.58 0.49 New Hampshire 9.57 1.13 New Jersey 81.67 New Mexico 11.23 New York 92.42 79.93 138.13 North Carolina 46.61 North Dakota 5.77 2.34 Ohio 6.14 4.91 12.82 15.48 55.27 Oklahoma 18.23 2.92 Oregon 1.58 1.42 10.82 Pennsylvania 45.99 43.82 65.39 Puerto Rico Rhode Island 1.26 1.22 9.83 South Carolina 27.31 South Dakota 4.92 1.77 Tennessee 4.89 29.14 Texas 16.92 16.13 61.62 Vermont 0.38 0.39 4.84 0.37 Virginia 7.27 6.80 46.43 Washington 14.41 18.17 West Virginia 1.42 1.36 12.51 1.78 Wisconsin 6.97 6.46 19.43 Total(USD) 6.14 4.91 381.97 353.11 1,351.46 63.33

Atlantic 10.44 13.83 40.59 51.94 British Columbia 10.75 13.19 74.72 93.89 Loto-Quebec 31.80 34.70 175.50 174.60 Ontario 42.93 47.37 295.21 364.96 Western Canada 23.00 29.37 11.40 12.56 122.63 175.70 Total(CAD) 118.92 138.46 11.40 12.56 708.65 861.09

40 | Lottery Insights/March 2011 Fourth Quarter Sales By Product 2009 vs. 2010

Jurisdiction Power Ball Mega Millions Keno 4th QTR ‘09 4th QTR ‘10 4th QTR ‘09 4th QTR ‘10 4th QTR ‘09 4th QTR ‘10

Arizona 20.74 12.91 Arkansas 8.00 6.40 California 148.81 28.70 32.39 Colorado 16.50 6.20 Connecticut 14.30 8.81 Delaware 4.61 2.07 District of Columbia 4.40 2.05 2.85 2.69 Florida 86.00 Georgia 17.78 41.72 31.52 33.80 Idaho 6.44 2.00 Illinois 20.71 47.85 Indiana 20.37 8.94 Iowa 10.60 3.97 Kansas 7.58 2.87 6.87 6.13 Kentucky 17.02 7.10 Louisiana 22.57 Maine 4.84 1.31 Maryland 13.13 27.84 95.08 Massachusetts 14.20 17.70 184.90 187.80 Michigan 17.29 44.09 132.37 127.74 Minnesota 14.36 4.88 Missouri 19.79 8.80 13.70 16.49 Montana 3.40 0.88 Nebraska 7.33 2.74 New Hampshire 6.29 3.12 New Jersey 28.28 63.96 New Mexico 6.48 2.67 New York 41.96 125.03 105.41 110.70 North Carolina 33.90 19.47 North Dakota 2.28 1.21 Ohio 13.99 43.00 27.60 36.78 Oklahoma 12.61 5.38 Oregon 7.53 4.72 23.90 23.01 Pennsylvania 47.80 43.97 Puerto Rico Rhode Island 6.72 3.17 19.34 20.91 South Carolina 19.15 10.52 South Dakota 2.93 0.72 Tennessee 21.27 11.90 Texas 25.20 56.72 Vermont 1.98 0.87 Virginia 15.11 39.27 Washington 7.67 14.58 1.32 1.35 West Virginia 8.47 2.68 1.85 1.60 Wisconsin 15.21 7.58 Total(USD) 0.00 696.79 0.00 870.48 580.33 696.47

Atlantic 3.09 3.16 British Columbia 0.00 0.00 52.65 59.53 Loto-Quebec 35.40 36.10 Ontario 19.59 20.54 Western Canada Total(CAD) 0.00 0.00 0.00 0.00 110.73 119.33

Lottery Insights/March 2011 | 41 Research

Fourth Quarter Sales By Product 2009 vs. 2010

Jurisdiction VLT Other Total Total 4th QTR ‘09 4th QTR ‘10 4th QTR ‘09 4th QTR ‘10 4th QTR ‘09 4th QTR ‘10

Arizona 7.84 7.39 129.61 176.78 Arkansas 0.78 140.30 112.00 California 692.86 829.81 Colorado 7.90 120.00 132.30 Connecticut 8.49 237.06 263.74 Delaware 124.50 114.00 0.50 154.00 143.65 District of Columbia 0.04 0.35 61.00 56.93 Florida 19.39 25.00 934.32 965.00 Georgia 11.55 1.81 885.27 867.50 Idaho 2.50 2.50 36.34 36.48 Illinois 10.63 10.00 553.53 568.92 Indiana 5.89 5.75 182.20 201.96 Iowa 60.50 66.76 Kansas 3.92 3.95 61.72 63.33 Kentucky 2.83 2.05 190.78 189.07 Louisiana 3.50 3.84 89.00 94.30 Maine 0.25 0.00 54.38 54.90 Maryland 25.55 26.53 0.00 457.28 Massachusetts 4.50 5.00 1,097.92 1,098.37 Michigan 8.07 9.38 595.45 595.93 Minnesota 6.68 7.81 117.36 125.57 Missouri 0.27 240.58 255.90 Montana 2.50 0.00 13.13 Nebraska 30.03 31.83 New Hampshire 1.37 1.24 57.96 58.27 New Jersey 641.50 664.05 New Mexico 2.42 33.17 33.48 New York 238.43 257.15 7.85 7.54 1,891.82 1,943.60 North Carolina 356.70 343.48 North Dakota 5.77 5.83 Ohio 10.07 627.49 656.81 Oklahoma 2.97 2.92 46.48 54.39 Oregon 171.88 176.16 2.88 4.99 251.35 257.71 Pennsylvania 9.37 10.00 756.41 831.57 Puerto Rico 0.00 0.00 Rhode Island 108.57 113.70 2.26 2.11 168.20 174.61 South Carolina 2.49 242.77 249.20 South Dakota 159.50 148.45 170.18 159.67 Tennessee 273.49 291.91 Texas 935.38 948.98 Vermont 0.24 0.31 23.73 23.95 Virginia 1.60 1.54 349.81 372.88 Washington 0.00 2.12 119.80 127.91 West Virginia 267.02 266.85 7.82 316.71 315.53 Wisconsin 111.68 118.17 Total(USD) 1,069.90 1,101.86 134.79 168.71 14,044.61 15,033.44

Atlantic 105.72 104.30 12.42 13.06 249.19 262.12 British Columbia 17.31 18.67 219.99 256.88 Loto-Quebec 266.60 250.20 16.60 25.70 681.20 681.19 Ontario 22.51 77.94 611.66 764.98 Western Canada 1.88 2.18 233.98 302.73 Total(CAD) 372.32 354.50 70.72 137.55 1,996.02 2,267.90

42 | Lottery Insights/March 2011 Conferences and Seminars

October 24 - 28, 2011 NASPL ’11 Annual Conference Indianapolis, Indiana Hosted by the

NASPL EVENTS OTHER EVENTS

May 16 - 20, 2011 May 2 - 4, 2011 Lottery Leadership Institute EL/WLA Quail Hollow Sports Betting Seminar + Gen Meeting Cleveland, Ohio & Monitoring Hosted by NASPL SISAL - Milan, Italy

June 13 - 16, 2011 June 5 - 9, 2011 NASPL Spring Directors Meeting EL Gaylord Texan Congress + General Assembly Dallas, Texas Helsinki, Finland Hosted by the Texas Lottery June 15 - 18, 2011 July 25 - 28, 2011 EL/WLA NASPL ’11 Professional Development Security & Risk Management Seminar (Formerly Subcommittee Bulgaria (Sports Totalizator) Meeting) Roosevelt Waldorf Astoria Hotel October 2 - 7, 2011 New Orleans, Louisiana CIBELAE Hosted by the Louisiana Lottery Congress Rio de Janeiro, Brazil October 24 - 28, 2011 NASPL ’11 Annual Conference Indianapolis, Indiana Hosted by the Hoosier Lottery

Lottery Insights/March 2011 | 43