A long history, a great heritage, a bright future! >> Annual Report 2013 Message from the Chairman & CEO 5 6 OPAP Group 8 At a glance 10 Historical Highlights Products 12 18 Corporate Social Responsibility 20 Financial Overview 27 Αnnual Financial Report OPAP Group Company Profile 4 Message from the Chairman & CEO OPAP Group At a glance Historical Highlights Products CSR Financial Overview 5 >> Message from the Chairman & CEO In these challenging, yet exciting, times OPAP, one of the leading private gaming companies worldwide, is facing the future with confidence, as the company enters a new era. An era of business and operational efficiency and corporate ethics excellence that will underline our philosophy in everything we do. During a time of transition for the domestic economy, we are committed to investing in Greece over the long term, while focusing on the sustainable development of the Group. We seek to create value, both internally and externally, by utilizing company’s great potential. At the same time, we aim to capitalize on the opportunities presented in the market to continue achieving outstanding results as innovative market leader. We will pursue our goals on the premise of transparent and open communication with all our stakeholders. Simultaneously, we will focus on delivering quality products offering outstanding and unforgettable experience to exceed our customers’ expectations. We will always follow the principles of open and trustful communication with company’s employees and business associates to create necessary base for mutual growth. Our commitment to evolving OPAP’s business for even better results is of course inspired by a pledge to do our best for being beneficial to the community in which we operate. We understand giving back to society not as an obligation, but as a pivotal part of our corporate existence. In this respect, OPAP is committed to implement and pursue its vision of giving back to the Greek society based on deep understanding of the real needs, and thus building deeper relationships with local communities in the short term and, as well, in the years to come. Kamil Ziegler Chairman of the BoD and CEO OPAP Group Company Profile 6 >> OPAP Group Neurosoft SA 30% Related Companies Glory Technology LTD 20% Message from the Chairman & CEO OPAP Group At a glance Historical Highlights Products CSR Financial Overview 7 OPAP Sports LTD 100% OPAP Cyprus LTD 100% 100% OPAP Services SA 100% OPAP Ιnternational LTD 67% 100% OPAP Investment LTD Hellenic Lotteries SA OPAP Group Company Profile 8 >> At a glance OPAP Group 4,869 points of sale in Greece and Cyprus the largest commercial 100% network in Greece private c. 67% of the total Greek legal gaming market* under new * Based on 2012 Gross Gaming Revenue (GGR) management Message from the Chairman & CEO OPAP Group At a glance Historical Highlights Products CSR Financial Overview 9 No1 Market cap on Athens Exchange gaming company in c. €3.8 bn the Greek market (March 2014) Exclusive concession extended up until 2030 OPAP Group Company Profile 10 >> Historical Highlights 1958 1959 1999 2000 Founding of OPAP (Greek The 1st PRO-PO coupon is OPAP incorporated as a Launch of Stihima Organization of Football issued (The Greek Football Societe Anonyme Prognostics) Pools Game) 20 years exclusive- license contract with the Hellenic State Message from the Chairman & CEO OPAP Group At a glance Historical Highlights Products CSR Financial Overview 11 2001 2003 2011 2013 OPAP is listed in the Athens OPAP Cyprus is established Extension of exclusive Emma Delta acquires Stock market license until 2030 33% of OPAP Award of Video Lottery Acquisition of Terminals (VLT) license Hellenic lotteries 12-year concession KINO is launched OPAP Group Company Profile 12 >> Products OPAP is the leading company in the Greek gaming market owning the largest retail network that enables the Group to effectively offer its products conveniently to the customers. OPAP Group is steadily orientated towards improvement and development of its current games, thus securing stable revenue from the existing portfolio. Message from the Chairman & CEO OPAP Group At a glance Historical Highlights Products CSR Financial Overview 13 Betting games Skill Mutual Fixed Odds Chance Number games OPAP Group Company Profile 14 >> Products Betting games PROPO has been established since 1/3/1959 PROPO-GOAL has been established since and from 7/3/2006 changed into "PROPO 14&7". 3/3/1996. It involves the provision of eight (8) football matches where there will be the The PROPO gives to the players the chance to largest cumulative number of goals of thirty predict the results from a series of Greek and (30) matches and they are published in the international football matches. coupon from number 1 to 30. MONITOR GAMES have been established STIHIMA has been established since since 22/3/2011. Players can participate by filing 29/1/2000 and is a fixed odds betting game, in a coupon at OPAP Agencies; these games are where the payout is pre-determined and known conducted in real time and are broadcasted live to the players before placing their bet, or a on the TV screens of OPAP Agencies. variable odd betting game. Message from the Chairman & CEO OPAP Group At a glance Historical Highlights Products CSR Financial Overview 15 Number games LOTTO has been established since 5/12/1990. It is a PROTO has been established since 10/6/1992. It is game of chance by selecting numbers and has to do with a game of chance that has to do with the exact and in the accurate prediction of 6 numbers from a series of 49 series prediction of the 7 digits of a number starting numbers, from 1 to 49, plus an additional number (7th). from 0.000.000 to 9.999.999 which derives from a draw. JOKER has been established since 16/11/1997. It is a game of chance by selecting numbers from two fields. It EXTRA 5 has been established since 25/11/2002. is about the exact prediction of 5 numbers that are drawn It is a game of chance that has to do with the accurate from a series of 45 numbers (1-45), and 1 number from a prediction of 5 numbers that are drawn from a series second set of 20 numbers (1-20). of 35 numbers, from 1 to 35. SUPER 3 has been established since 25/11/2002. It KINO has been established since 4/10/2004. It is is a game of chance that has to do with the prediction a game of chance that has to do with the accurate of fixed digits -according to the type of the game- of a 3 prediction of 1 to 12 numbers -according to the type digit number, which derives each time after draw. of the game- from a total of 20 numbers that derive each time from a draw from a series of numbers from 1 to 80. GO LUCKY is a range of virtual games that are played on Video Gaming Terminals installed in OPAP Agencies. The player has to forecast the game's outcome, which has to match with the results of a draw of numbers, drawn by chance, that is conducted through OPAP central data-processing centre. OPAP Group Company Profile 16 >> Products Future projects Within the framework of developing its activity and enforcing its presence in the Greek gaming industry, OPAP Group is always on top of market trends and needs, seeking and creating new products to maintain its competitiveness. Message from the Chairman & CEO OPAP Group At a glance Historical Highlights Products CSR Financial Overview 17 2014 is a year of significant new entries to OPAP’s product portfolio, which include: Being the only holder of respective VLTs license, OPAP is launching VLTs to the (Video Lottery Greek market, entering a market that has a proven remarkable performance across Terminals) { Europe. Capitalizing on the penetration of land line betting games, OPAP is developing Online its online activity to offer to its current as gaming well as new players better new customer { experience. OPAP in a JV with Intralot and Scientific Instant Games is launching scratch cards aiming win at growing player base with an instant { win game. OPAP Group Company Profile 18 >> CSR OPAP Group is growing, remaining focused on its commitment to act as a key pillar of Greek society. Our corporate philosophy dictates that being a leading business pillar of the local economy, it is our duty to adopt an active role towards the upgrade of quality of life and give back to society. Corporate Social Responsibility is not just a corporate practice for OPAP. We are determined to set the standards of corporate social contribution in Greece to the highest level, by operating our business and taking large-scale social initiatives that contribute to the real needs of the society. Real needs are the perspective from which we develop our Corporate Social Responsibility programme, focusing in particular to the needs of young people. Especially in the current difficult time for Greece, we feel it is our duty to stand by Greek people and create the infrastructures that will open new potential for the development of Greek sports, entrepreneurship, social welfare. Message from the Chairman & CEO OPAP Group At a glance Historical Highlights Products CSR Financial Overview 19 To this end we have a strategically organized the framework of our CSR programme based on the following pillars Sports Health Employment Create the necessary conditions Support the well-being of all Creating job, entrepreneurship (in terms of infrastructures and people by responding to real and development opportunities human resources) to build a needs in the most crucial of for young people to support the bright future for Greek sports.