Alliance Gaming and IGT Settle Litigation and Cross-License Intellectual Property.

LAS VEGAS--(BUSINESS WIRE)--Sept. 24, 1999--

Alliance Gaming Corp. (NASDAQ:ALLY) and International Game Technology (NYSE:IGT) jointly announced today that they are taking unprecedented steps to promote the development of new applications for the gaming industry. As industry leaders, Alliance and IGT have joined forces to expand revenue opportunities for their customers.

IGT and Alliance's Bally Gaming & Systems business unit have agreed to:

1. Cross-license patents that promote cashless gaming. These patents

cover certain technology and methods that equip gaming devices

and systems with cashless features;

2. License Bally to use and further develop IGT's SAS protocol on

Bally's gaming devices and SDS(R) computerized monitoring system.

Bally has agreed to implement the SAS protocol in its system and

machines. Among other capabilities this will facilitate standard

ticket printing and acceptance directly at a gaming device, which

is compatible across Bally and IGT product lines; and

3. License IGT to use Bally's DMK patent, which provides a

distributive processing system for communicating between gaming

devices, slot monitoring systems, and players. IGT will withdraw

its related foreign opposition proceedings challenging the

patent's validity.

In addition, effective immediately, IGT has agreed to waive certain provisions of agreements it has with Atlantic City casinos to permit Bally to install its wide-area progressive system, Thrillions(tm). In return, Bally will withdraw its antitrust lawsuit against IGT in New Jersey.

Alliance Gaming is a diversified gaming company with headquarters in Las Vegas. The company is engaged primarily in the design, manufacture and distribution of advanced gaming devices and systems worldwide, and is the nation's largest gaming machine route operator and operates two regional casinos. Additional information about the company can be found on the Alliance Gaming Web site at: http://www.ally.com

IGT is a world leader in the design, development and manufacture of microprocessor-based gaming products and software systems in all jurisdictions where gaming is legal.

This news release may contain "forward-looking" statements within the meaning of the Securities Act of 1933, as amended, and is subject to the safe harbor created thereby. Such information involves important risks and uncertainties that could significantly affect the results in the future and, accordingly such results may differ from those expressed in any forward-looking statements. Future operating results may be adversely affected as a result of a number of risks detailed from time to time in the company's filings with the Securities and Exchange Commission.