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GTECH ANNOUNCES SECOND-QUARTER RESULTS

 WEST GREENWICH, R.I., Sept. 23 /PRNewswire/ -- GTECH (NYSE: GTK) today reported that revenues for the second quarter of fiscal 1994, which ended Aug. 28, 1993, were $146.3 million. This represents a $30 million, or 25.8 percent, increase over revenues of $116.3 million for the second quarter of fiscal 1993.
 Income for the second quarter of fiscal 1994 was $13.1 million, or $.30 per share, compared with $7.9 million, or $.20 per share, for the second quarter a year ago before an extraordinary charge last year related to the early retirement of certain long-term debt. This also compares with net income for the second quarter of last year on a pro forma basis, adjusted for the July 1992 initial public offering and subsequent retirement of debt, of $11.1 million, or $.25 per share.
 Revenues for the first half of fiscal 1994 were $300.2 million which represents a $63.4 million, or 26.8 percent, increase over revenues of $236.8 million in the first half of fiscal 1993.
 Income for the first six months of fiscal 1994 was $30.5 million, or $.70 per share, compared with income of $19.4 million, or $.50 per share, for the comparable period before an extraordinary charge and accounting change last year. This also compares with net income for the first six months of last year on a pro forma basis, reflecting the company's initial public offering, of $26.0 million, or $.60 per share.
 During the quarter, GTECH successfully completed the installation of a new system for the Georgia State Lottery, the company's newest facilities management customer. The company also finalized product sale contracts in Malaysia and China, entered into negotiations for a new contract with the Ohio State Lottery, and received a five-year extension from the Maine, New Hampshire and Vermont lotteries, making GTECH their supplier through the year 2000. In addition, GTECH completed the acquisition of General Instruments' electronic benefits delivery business.
 Also during the second quarter, GTECH's credit rating, assigned by Duff and Phelps to the company's credit facility, was upgraded from BBB to BBB+. Pursuant to the terms and conditions of the credit facility, the upgraded rating resulted in a reduction in GTECH's borrowing rate. Guy B. Snowden, GTECH chairman and CEO, commented on the results of the quarter, "GTECH's record financial performance over the past quarter and six month period reflects continuing growth in our core business. During the quarter, we extended long-term, successful relationships in the United States and signed product sale agreements in China and Malaysia. We are pleased as well to note that our acquisition of a leading electronic benefits delivery system has closed, enabling GTECH to continue to serve the city of New York while exploring potential expansion of these services."
 GTECH designs, produces, implements, operates and services computerized networks for government-sponsored or licensed lotteries on five continents. In addition, GTECH provides a wide variety of instant ticket support services. GTECH currently has contracts to supply and/or operate lottery systems for 26 U.S. customers and 36 jurisdictions outside of the United States.
 AmTote, a wholly owned subsidiary of GTECH, designs, products, implements, operates and services computerized wagering systems for such customers as horse and greyhound racetracks, off-track betting corporations and jai alai frontons.
 GTECH employs approximately 4,000 people worldwide, including approximately 1,000 Rhode Island-based employees.
 GTECH HOLDINGS CORPORATION AND SUBSIDIARIES
 SUMMARY INCOME STATEMENT
 Three Months Ended(a)
 August 28, August 29,
 1993 1992
 Revenues 146.3 116.3
 Gross profit 50.8 43.1
 Operating income 26.2 19.7
 Income before extraordinary
 charge and cumulative effect
 of accounting change 13.1 7.9
 Net income 13.1 (10.6)
 Earnings per common share:
 Income before extraordinary
 charge and cumulative effect
 of accounting change 30 cents 20 cents
 Net income 30 cents (27 cents)
 GTECH HOLDINGS CORPORATION AND SUBSIDIARIES
 SUMMARY INCOME STATEMENTS CONTINUED
 Six Months Ended(a)
 August 28, August 29,
 1993 1992
 Revenues 300.2 236.8
 Gross profit 107.2 94.2
 Operating income 57.9 46.2
 Income before extraordinary
 charge and cumulative effect
 of accounting change 30.5 19.4
 Net income 30.5 3.3
 Earnings per common share:
 Income before extraordinary
 charge and cumulative effect
 of accounting change 70 cents 50 cents
 Net income 70 cents 8 cents
 (a) Dollars in millions except per share amounts.
 -0- 9/23/93
 /CONTACT: Craig Watson of GTECH, 401-392-1000/
 (GTK)


CO: GTECH, Inc. ST: Rhode Island IN: CPR SU: ERN

JL-DJ -- NE003 -- 5080 09/23/93 09:42 EDT
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Publication:PR Newswire
Date:Sep 23, 1993
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