MelcoLot Limited (MelcoLot), the Hong Kong listed company in which INTRALOT is a substantial shareholder, has entered into an agreement with the China Welfare Lottery (CWL) in the municipality of Chongqing, for the provision of INTRALOT's LOTOSTM Horizon system and related services. The initial term of the contract is five years, which will renew automatically for five more years by mutual consent.
Consequently INTRALOT entered into an agreement with MelcoLot to deliver, implement and maintain the LOTOSTM Horizon Hardware and Application Software for the duration of the contract and any extensions thereof. Moreover, INTRALOT will provide 2,000 LOTOSTM Horizon Multimedia Controllers, which will allow the Chongqing Welfare Lottery to create, manage and broadcast rich multimedia content throughout its retail network that exceeds 2,500 points of sale.
LOTOSTM Horizon is an advanced integrated system for the creation, delivery and management of rich multimedia content at multiple, geographically dispersed lottery venues. It utilizes the latest advances in interactive multimedia, digital television and data broadcasting technologies, providing lottery organizations with powerful information, messaging and promotion mechanisms.
China's Welfare Lottery was launched in 1987 to raise welfare funds through lottery sales. The value of the Lottery's sales in China as of the end of May 2010 had reached almost RMB 450 billion (US$ 66 billion), helping to raise about RMB 149 million since the welfare program was first launched. This fund has been used to build and expand more than 150,000 welfare facilities, including social welfare institutes, homes for the elderly in rural areas, sheltering centers for homeless minors and schools for orphans.
The municipality of Chongqing has a population of 31 million and apart from its rich history, it is also considered to be one of China's upcoming industrial and technological centres. The provision of the LOTOSTM Horizon system in collaboration with MelcoLot, a long standing partner of Chongqing Welfare Lottery, paves the way for the potential introduction of additional innovative gaming technologies in the future. In fact MelcoLot is already in discussions with the Chongqing Welfare Lottery for increasing the scope of the co-operation in further areas of interest, following the launch of the LOTOSTM Horizon system.
Mr. Chris Moumouris, Managing Director of INTRALOT Asia, stated: "We are really pleased to undertake this important project in the People's Republic of China. We will provide our state-of-the-art LOTOSTM Horizon System that apart from its undisputable technological excellence is a valuable tool for the Lottery to satisfy the needs of its players for more exciting gaming experiences and will position the Chongqing Welfare Lottery as one of the most technologically advanced lotteries in the country. We are confident that Chongqing will be the first of many projects that INTRALOT will undertake in the People's Republic of China, since the commencement of its partnership with MelcoLot. With our support MelcoLot will assist CWL in its endeavor to increase its contribution to good causes."
Mr. Henry Ko, MelcoLot CEO, stated: "It is our honour to be selected by our long standing partner, the Chongqing Welfare Lottery, for this project. We believe that MelcoLot's experience coupled with INTRALOT's global technology excellence and international operational expertise will greatly benefit the Chongqing Welfare Lottery and its stakeholders. This project is just the first step for the introduction of additional innovative gaming technologies in the future, in Chongqing and elsewhere in the People's Republic of China."